UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-4279
Securian Funds Trust
(Exact name of registrant as specified in charter)
400 Robert Street North
St. Paul, Minnesota 55101-2098
(Address of principal executive offices) (Zip code)
David Dimitri, Esq.
400 Robert Street North
St. Paul, Minnesota 55101-2098
(Name and address of agent for service)
Registrant's telephone number, including area code:
(651) 665-3500
Date of fiscal year end: December 31
Date of reporting period: June 30, 2020
ITEM 1. | REPORT TO STOCKHOLDERS. |
Filed herewith.
SECURIAN FUNDS TRUST
Offered in Minnesota Life
Insurance Company and
Securian Life Insurance
Company variable products
Semi-Annual report
June 30, 2020
SFT Core Bond Fund
SFT Dynamic Managed Volatility Fund
SFT Government Money Market Fund
SFT Index 400 Mid-Cap Fund
SFT Index 500 Fund
SFT International Bond Fund
SFT IvySM Growth Fund
SFT IvySM Small Cap Growth Fund
SFT Managed Volatility Equity Fund
SFT Real Estate Securities Fund
SFT T. Rowe Price Value Fund
SFT Wellington Core Equity Fund
TABLE OF CONTENTS
Page No. | |||||||
Fund Reviews | |||||||
SFT Core Bond Fund | 1 | ||||||
SFT Dynamic Managed Volatility Fund | 2 | ||||||
SFT Government Money Market Fund | 3 | ||||||
SFT lndex 400 Mid-Cap Fund | 4 | ||||||
SFT lndex 500 Fund | 5 | ||||||
SFT lnternational Bond Fund | 6 | ||||||
SFT IvySM Growth Fund | 7 | ||||||
SFT IvySM Small Cap Growth Fund | 8 | ||||||
SFT Managed Volatility Equity Fund | 9 | ||||||
SFT Real-Estate Securities Fund | 10 | ||||||
SFT T. Rowe Price Value Fund | 11 | ||||||
SFT Wellington Core Equity Fund | 12 | ||||||
Investments In Securities | |||||||
SFT Core Bond Fund | 13 | ||||||
SFT Dynamic Managed Volatility Fund | 22 | ||||||
SFT Government Money Market Fund | 29 | ||||||
SFT lndex 400 Mid-Cap Fund | 30 | ||||||
SFT lndex 500 Fund | 37 | ||||||
SFT lnternational Bond Fund | 45 | ||||||
SFT IvySM Growth Fund | 51 | ||||||
SFT IvySM Small Cap Growth Fund | 53 | ||||||
SFT Managed Volatility Equity Fund | 55 | ||||||
SFT Real-Estate Securities Fund | 57 | ||||||
SFT T. Rowe Price Value Fund | 58 | ||||||
SFT Wellington Core Equity Fund | 61 | ||||||
Financial Statements | |||||||
Statements of Assets and Liabilities | 64 | ||||||
Statements of Operations | 66 | ||||||
Statements of Changes in Net Assets | 68 | ||||||
Financial Highlights | 73 | ||||||
Notes to Financial Statements | 85 | ||||||
Fund Expense Examples | 101 | ||||||
Proxy Voting and Quarterly Holdings Information | 102 | ||||||
Statement Regarding Basis for Approval of Advisory Contracts | 104 | ||||||
Trustees and Executive Officers | 107 |
SFT Core Bond Fund
Fund Objective
The SFT Core Bond Fund seeks as high a level of long-term total return as is consistent with prudent investment risk. Preservation of capital is a secondary objective. The SFT Core Bond Fund invests in long-term, fixed income, high quality debt instruments. The risks incurred by investing in debt instruments include, but are not limited to, reinvestment of prepaid debt obligations at lower rates of return, and the inability to reinvest at higher interest rates when debt obligations are prepaid more slowly than expected. In addition, the net asset value of the SFT Core Bond Fund may fluctuate in response to changes in interest rates and is not guaranteed.
Performance Update
The Fund's performance for the six-month period ended June 30, 2020, for each class of shares offered was as follows:
Class 1 | 3.54 | percent* | |||||
Class 2 | 3.42 | percent* |
The Fund's benchmark, the Bloomberg Barclays U.S. Aggregate Bond Index, returned 6.14 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
The Bloomberg Barclays U.S. Aggregate Bond Index is an unmanaged benchmark composite representing average market-weighted performance of U.S. Treasury and agency securities, investment-grade corporate bonds and mortgage-backed securities with maturities greater than one year.
1
SFT Dynamic Managed Volatility Fund
Fund Objective
The SFT Dynamic Managed Volatility Fund seeks to maximize risk-adjusted total return relative to its blended benchmark index comprised of 60 percent S&P 500® Index and 40 percent Barclays U.S. Aggregate Bond Index (collectively, the Blended Benchmark Index).
The SFT Dynamic Managed Volatility Fund invests primarily in Class 1 shares of the SFT Index 500 Fund for equity exposure, in a basket of fixed income securities for fixed income exposure and certain derivative instruments. The Fund is subject to risks associated with such investments as described in detail in the prospectus. The net asset value of the Fund will fluctuate and is not guaranteed. It is possible to lose money by investing in the Fund. There is no assurance that efforts to manage Fund volatility will achieve the desired results.
Performance Update
For the six-month period ended June 30, 2020, the Fund had a net return of -0.48 percent*. This return reflects the waiver, reimbursement or payment of certain of the Fund's expenses by its investment advisor.** The Blended Benchmark Index returned 0.98 percent over the same period.
Sector Diversification (shown as a percentage of net assets)
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
** Securian Asset Management, Inc. (Securian AM) and the Securian Funds Trust, on behalf of the SFT Dynamic Managed Volatility Fund (the "Fund"), have entered into an Expense Limitation Agreement, dated May 1, 2013, which limits the operating expenses of the Fund, excluding certain expenses (such as interest expense, acquired fund fees, cash overdraft fees, taxes, brokerage commissions, other expenditures which are capitalized in accordance with the generally accepted accounting principles, and other extraordinary expenses not incurred in the ordinary course of the Fund's business), to 0.80% of the Fund's average daily net assets through April 30, 2021. The Agreement renews annually for a full year each year thereafter unless terminated by Securian AM upon at least 30 days' notice prior to the end of a contract term. The Fund is authorized to reimburse Securian AM for management fees previously waived and/or for the cost of expenses previously paid by Securian AM pursuant to this agreement, provided that such reimbursement will not cause the Fund to exceed any limits in effect at the time of such reimbursement. The Fund's ability to reimburse Securian AM in this manner only applies to fees waived or reimbursements made by Securian AM within the three fiscal years prior to the date of such reimbursement. As of June 30, 2020, Securian AM has waived $3,270,069 pursuant to the agreement, of which $1,693,009 was eligible for recovery as of such date. To the extent that the Fund makes such reimbursements to Securian AM, the amount of the reimbursements will be reflected in the financial statements in the Fund's shareholder reports and in Other Expenses under Fees and Expenses of the Fund.
The Blended Benchmark Index is comprised of 60 percent of the S&P 500® Index and 40 percent of the Bloomberg Barclays U.S. Aggregate Bond Index. The S&P 500® Index is a broad, unmanaged index of 500 common stocks which are representative of the U.S. stock market overall. The Bloomberg Barclays U.S. Aggregate Bond Index is an unmanaged benchmark composite representing average market-weighted performance of U.S. Treasury and agency securities, investment- grade corporate bonds and mortgage-backed securities with maturities greater than one year.
2
SFT Government Money Market Fund
Fund Objective
The SFT Government Money Market Fund seeks maximum current income to the extent consistent with liquidity and the preservation of capital. The Fund invests at least 99.5% of its total assets in cash, government securities, and/or repurchase agreements that are collateralized fully (i.e., collateralized by cash or government securities).
Investment in the SFT Government Money Market Fund is neither insured nor guaranteed by the U.S. Government, and there can be no assurance that the Fund will be able to maintain a stable net asset value of $1.00 per share. It is possible to lose money by investing in the Fund.
Performance Update
For the six-month period ended June 30, 2020, the Fund had a net return of 0.21 percent*. This return reflects the waiver, reimbursement or payment of certain of the Fund's expenses by its investment advisor and principal underwriter.** The Fund's benchmark, the Bloomberg Barclays U.S. Treasury Bill 1-3 Month Index, returned 0.61 percent for the same period.
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Investment in the SFT Government Money Market Fund is neither insured nor guaranteed by the U.S. Government or any other agency, and there can be no assurance that the Fund will be able to maintain a stable net asset value of $1.00 per share. Shares upon redemption may be worth more or less than their original cost.
Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
The Bloomberg Barclays U.S.Treasury Bill 1-3 Month Index is a market value-weighted index of investment-grade fixed-rate public obligations of the U.S. Treasury with maturities of three months, excluding zero coupons.
** Effective May 1, 2012, the Board of Trustees of Securian Funds Trust approved a Restated Net Investment Income Maintenance Agreement among Securian FundsTrust (on behalf of SFT Government Money Market Fund), Securian Asset Management, Inc. (Securian AM) and Securian Financial Services, Inc. (Securian Financial). A similar agreement was previously approved by the Board of Directors of Advantus Series Fund, Inc., the Trust's predecessor, effective October 29, 2009. Under such Agreement, Securian AM agrees to waive, reimburse or pay SFT Government Money Market Fund expenses so that the Fund's daily net investment income does not fall below zero. Securian Financial may also waive its Rule 12b-1 fees. Securian AM and Securian Financial each has the option under the Agreement to recover the full amount waived, reimbursed or paid (the "Expense Waiver") on any day on which the Fund's net investment income exceeds zero. On any day, however, the Expense Waiver does not constitute an obligation of the Fund unless Securian AM or Securian Financial has expressly exercised its right to recover a specified portion of the Expense Waiver on that day, in which case such specified portion is then due and payable by the Fund. In addition, the right of Securian AM and/or Securian Financial to recover the Expense Waiver is subject to the following limitations: (1) if a repayment of the Expense Waiver by the Fund would cause the Fund's net investment income to fall below zero, such repayment is deferred until a date when repayment would not cause the Fund's net investment income to fall below zero; (2) the right to recover any portion of the Expense Waiver expires three years after the effective date of that portion of the Expense Waiver; and (3) any repayment of the Expense Waiver by the Fund cannot cause the Fund's expense ratio to exceed 1.25%. As of June 30, 2020, Securian AM and Securian Financial have collectively waived $4,829,065 pursuant to the Agreement, including expenses waived under the prior agreement with Advantus Series Fund, Inc., of which $197,114 was eligible for recovery as of such date. If Securian AM and Securian Financial exercise their rights to be paid such waived amounts, the Fund's future yield will be negatively affected for an indefinite period. The Agreement is effective through April 30, 2021, and shall continue in effect thereafter, provided such continuance is specifically approved by Securian AM, Securian Financial, and a majority of the Trust's independent Trustees.
Effective November 1, 2017, Securian AM and Securian Funds Trust, on behalf of the SFT Government Money Market Fund, entered into an Expense Limitation Agreement which limits the operating expenses of the Fund, excluding certain expenses, (such as interest expense, acquired fund fees, cash overdraft fees, taxes, brokerage commissions, other expenditures which are capitalized in accordance with GAAP, and other extraordinary expenses not incurred in the ordinary course of the Funds' business), to 0.70% of the Fund's Average daily net assets through April 30, 2021. The Agreement renews annually for a full year each year thereafter unless terminated by Securian AM upon at least 30 days' notice prior to the end of the contract term. The Fund is authorized to reimburse Securian AM for management fees previously waived and/or for the cost of expenses previously paid by Securian AM pursuant to this agreement, provided that such reimbursement will not cause any Fund to exceed any limits in effect at the time of such reimbursement. The Fund's ability to reimburse Securian AM in this manner only applies to fees waived or reimbursements made by Securian AM within the three fiscal years prior to the date of such reimbursement. To the extent that the Fund makes such reimbursements to Securian AM, the amount of the reimbursements will be reflected in the financial statements in the Funds' shareholder reports and in Other Expenses under Fees and Expenses of the Fund in the prospectus. As of June 30, 2020, Securian AM has waived $296,069 pursuant to the agreement, all of which was eligible for recovery as of such date. To the extent that the Fund makes such reimbursements to Securian AM, the amount of the reimbursements will be reflected in the financial statements in the Fund's shareholder reports and in Other Expenses under Fees and Expenses to the Fund.
3
SFT Index 400 Mid-Cap Fund
Fund Objective
The SFT Index 400 Mid-Cap Fund seeks to provide investment results generally corresponding to the aggregate price and dividend performance of publicly traded common stocks that comprise the Standard & Poor's MidCap 400® Index (S&P 400). It is designed to provide an economical and convenient means of maintaining a diversified portfolio in this equity security area as part of an overall investment strategy. The risks incurred by investing in the SFT Index 400 Mid-Cap Fund include, but are not limited to, the risk that the Fund may not be able to replicate the performance of the S&P 400, and the risk of declines in the market for mid-cap stocks or in the equity markets generally.
Performance Update
The Fund's performance for the six-month period ended June 30, 2020, for each class of shares offered was as follows:
Class 1 | -12.90 | percent* | |||||
Class 2 | -13.01 | percent* |
The Fund's benchmark, the Standard and Poor's MidCap 400® Index, returned -12.78 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
"Standard & Poor's®", "S&P®", "Standard & Poor's MidCap 400" and "S&P MidCap 400" are trademarks of the S&P Global, Inc. and have been licensed for use by the Securian Funds Trust—Index 400 Mid-Cap Fund. The Fund is not sponsored, endorsed, sold or promoted by Standard & Poor's and Standard & Poor's makes no representation regarding the advisability of investing in the Fund.
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
S&P MidCap 400® Index consists of 400 domestic stocks chosen for market size (median market capitalization of about $3.6 billion), liquidity and industry group representation. It is a market-weighted index (stock price times shares outstanding), with each stock affecting the index in proportion to its market value.
4
SFT Index 500 Fund
Fund Objective
The SFT Index 500 Fund seeks investment results that correspond generally to the price and yield performance of the common stocks included in the Standard and Poor's 500® Index (S&P 500). It is designed to provide an economical and convenient means of maintaining a broad position in the equity market as part of an overall investment strategy. The risks incurred by investing in the SFT Index 500 Fund include, but are not limited to, the risk that the Fund may not be able to replicate the performance of the S&P 500, and the risk of declines in the equity markets generally.
Performance Update
The Fund's performance for the six-month period ended June 30, 2020, for each class of shares was as follows:
Class 1 | -3.12 | percent* | |||||
Class 2 | -3.24 | percent* |
The Fund's benchmark, the Standard & Poor's 500® Index, returned -3.08 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
"Standard & Poor's®", "S&P®", "Standard & Poor's 500" and "S&P 500" are trademarks of the S&P Global, Inc. and have been licensed for use by Securian Funds Trust—Index 500 Fund. The Fund is not sponsored, endorsed, sold or promoted by Standard & Poor's and Standard & Poor's makes no representation regarding the advisability of investing in the Fund.
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
The S&P 500® Index is a broad, unmanaged index of 500 common stocks which are representative of the U.S. stock market overall.
5
SFT International Bond Fund
Fund Objective
The SFT International Bond Fund seeks to maximize current income consistent with protection of principal. The Fund pursues its objective by investing primarily in debt securities issued by issuers located anywhere in the world. While Securian Asset Management, Inc. (Securian AM) acts as the investment adviser for the Fund, Franklin Advisers, Inc. provides investment advice to the SFT International Bond Fund under a sub-advisory agreement. Investment risks associated with international investing in addition to other risks include currency fluctuations, political and economic instability, and differences in accounting standards when investing in foreign markets.
Performance Update
The Fund's performance for the six-month period ended June 30, 2020, for each class of shares offered was as follows:
Class 1 | -6.24 | percent* | |||||
Class 2 | -6.36 | percent* |
The Fund's benchmark, the FTSE World Government Bond Index, returned 4.08 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
Currency Diversification (shown as a percentage of net assets)
African | 1.62 | % | |||||
Ghana Cedi | 1.62 | % | |||||
Americas | 74.04 | % | |||||
United States Dollar | 70.66 | % | |||||
Argentine Peso | 2.12 | % | |||||
Brazilian Real | 1.24 | % | |||||
Mexican Peso | 0.02 | % | |||||
Canadian Dollar | 0.00 | % | |||||
Asia Pacific | 35.53 | % | |||||
Japanese Yen | 51.87 | % | |||||
Indonesian Rupiah | 2.76 | % | |||||
Republic of Korea Won | 0.11 | % | |||||
Australian Dollar (AUD)** | -19.21 | % | |||||
Europe | -11.19 | % | |||||
Norwegian Krone | 8.92 | % | |||||
Swiss Franc | 6.00 | % | |||||
Swedish krona | 5.40 | % | |||||
Euro** | -31.51 | % |
**A negative figure reflects net "short" exposure, designed to benefit if the value of the associated currency decreases. Conversely, the Fund's value would potentially decline if the value of the associated currency increases.
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
The FTSE World Government Bond Index is a market capitalization weighted index consisting of the government bond markets from over twenty countries. Country eligibility is determined based upon market capitalization and investability criteria. The index includes all fixed-rate bonds with a remaining maturity of one year or longer and with amounts outstanding of at least the equivalent of U.S. $25 million. Government securities typically exclude floating or variable rate bonds, U.S./Canadian savings bonds and private placements. Each bond must have a minimum rating of BBB-/Baa3 by S&P or Moody's.
6
SFT IvySM Growth Fund
Fund Objective
The SFT IvySM Growth Fund seeks to provide growth of capital. The Fund pursues its objective by investing primarily in a diversified portfolio of common stocks issued by large capitalization companies. While Securian Asset Management, Inc. acts as the investment adviser for the Fund, Ivy Investment Management Company (IICO) provides investment advice to the Fund under a sub-advisory agreement. The risks incurred by investing in the Fund include, but are not limited to, the risk of declines in the market for large cap stocks or in the equity markets generally.
Performance Update
For the six-month period ended June 30, 2020, the Fund had a net return of 8.92 percent*. The Fund's benchmark, the Russell 1000 Growth Index, returned 9.81 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
'Ivy' is the registered service mark of Ivy Funds Distributor, Inc., an affiliate of the Ivy Investment Management Company, the Fund's sub-adviser.
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
The Russell 1000 Growth Index is an unmanaged index that measures the performance of those Russell 1000 Index companies with higher price-to-book ratios and higher forecasted growth values. The index measures the performance of the 1,000 largest companies in the Russel 3000 Index, which measures the performance of the 3,000 largest U.S. companies based on total market capitalization.
7
SFT IvySM Small Cap Growth Fund
Fund Objective
The SFT IvySM Small Cap Growth Fund seeks to provide growth of capital. The Fund pursues its objective by investing primarily in a diversified portfolio of common stocks issued by small capitalization companies. While Securian Asset Management, Inc. acts as the investment adviser for the Fund, Ivy Investment Management Company (IICO) provides investment advice to the Fund under a sub-advisory agreement. The risks incurred by investing in the Fund include, but are not limited to, the risk of declines in the market for small cap stocks or in the equity markets generally.
Performance Update
For the six-month period ended June 30, 2020, the Fund had a net return of -0.49 percent*. The Fund's benchmark, the Russell 2000 Growth Index, returned -3.06 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
'Ivy' is the registered service mark of Ivy Funds Distributor, Inc., an affiliate of the Ivy Investment Management Company, the Fund's sub-adviser.
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
The Russell 2000 Growth Index is an unmanaged index of those Russell 2000 Index growth companies with higher price-to-book ratios and higher forecasted growth values. The index is broad-based, comprised of 2,000 of the smallest U.S.-domiciled company common stocks based on total market capitalization.
8
SFT Managed Volatility Equity Fund
Fund Objective
The SFT Managed Volatility Equity Fund seeks to maximize risk-adjusted total return relative to its blended benchmark index comprised of 60 percent S&P 500® Low Volatility Index, 20 percent S&P 500® BMI International Developed Low Volatility Index and 20 percent Bloomberg Barclays U.S. 3-Month Treasury Bellwether Index (collectively, the Blended Benchmark Index).
The SFT Managed Volatility Equity Fund invests at least 80% of its assets in equity securities. Equity securities include those that are equity based, such as ETFs that invest primarily in U.S. and foreign equity securities. The Fund is subject to risks associated with such investments as described in detail in the prospectus. The net asset value of the Fund will fluctuate and is not guaranteed. It is possible to lose money by investing in the Fund. There is no assurance that efforts to manage Fund volatility will achieve the desired results.
Performance Update
For the six-month period ended June 30, 2020, the Fund had a net return of -11.32 percent*. This return reflects the waiver, reimbursement or payment of certain of the Fund's expenses by its investment advisor.** The Blended Benchmark Index, returned -11.41 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
** Securian Asset Management, Inc. (Securian AM) and the Securian Funds Trust, on behalf of the SFT Managed Volatility Equity Fund (the "Fund"), have entered into an Expense Limitation Agreement, dated November 18, 2015, which limits the operating expenses of the Fund, excluding certain expenses (such as interest expense, acquired fund fees, cash overdraft fees, taxes, brokerage commissions, other expenditures which are capitalized in accordance with the generally accepted accounting principles, and other extraordinary expenses not incurred in the ordinary course of the Fund's business), to 0.80% of the Fund's average daily net assets through April 30, 2021. The Agreement renews annually for a full year each year thereafter unless terminated by Securian AM upon at least 30 days' notice prior to the end of a contract term. The Fund is authorized to reimburse Securian AM for management fees previously waived and/or for the cost of expenses previously paid by Securian AM pursuant to this agreement, provided that such reimbursement will not cause the Fund to exceed any limits in effect at the time of such reimbursement. The Fund's ability to reimburse Securian AM in this manner only applies to fees waived or reimbursements made by Securian AM within the three fiscal years prior to the date of such reimbursement. As of June 30, 2020, Securian AM has waived $1,764,561 pursuant to the agreement, of which $1,200,156 was eligible for recovery as of such date. To the extent that the Fund makes such reimbursements to Securian AM, the amount of the reimbursements will be reflected in the financial statements in the Fund's shareholder reports and in Other Expenses under Fees and Expenses of the Fund.
The Blended Benchmark Index is comprised of 60 percent of the S&P 500® Low Volatility Index, 20% S&P 500® BMI International Developed Low Volatility Index and 20% Bloomberg Barclays U.S. 3-MonthTreasury Bellwether Index. The S&P 500® Low Volatility Index measures performance of the 100 least volatile stocks in the S&P 500®. The S&P 500® BMI International Developed Low Volatility Index measures the performance of the 200 least volatile stocks in the S&P Developed Market large/midcap universe. Constituents are weighted relative to the inverse of their corresponding volatility, with the least volatile stocks receiving the highest weights. The Bloomberg Barclays U.S. 3-Month Treasury Bellwether Index tracks the market for the on-the-run 3 month Treasury bill issued by the U.S. government.
9
SFT Real Estate Securities Fund
Fund Objective
The SFT Real Estate Securities Fund seeks above-average income and long-term growth of capital. The Fund intends to pursue its objective by investing primarily in equity securities of companies in the real estate industry. Investment risks associated with investing in the SFT Real Estate Securities Fund, in addition to other risks, include rental income fluctuations, depreciation, property tax value changes, and differences in real estate market value.
Performance Update
The Fund's performance for the six-month period ended June 30, 2020, for each class of shares offered was as follows:
Class 1 | -12.96 | percent* | |||||
Class 2 | -13.07 | percent* |
The Fund's benchmark, the FTSE NAREIT Equity REITs Index, returned -18.71 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
FTSE NAREIT Equity REITs Index is a broad-based index consisting of real estate investment trusts.
10
SFT T. Rowe Price Value Fund
Fund Objective
The SFT T. Rowe Price Value Fund seeks to provide long-term capital appreciation by investing in common stocks believed to be undervalued. Income is a secondary objective. The Fund pursues its objective by taking a value approach to investment selection. Holdings consist primarily of large cap stocks, but may also include stocks of mid-cap and small-cap companies. While Securian Asset Management, Inc. acts as the investment adviser for the Fund, T. Rowe Price Associates, Inc. (T. Rowe Price) provides investment advice to the Fund under a sub-advisory agreement. The Fund's value approach to investing carries the risk that the market will not recognize a security's intrinsic value for a long time or that a stock judged to be undervalued may actually be appropriately priced at a low level.
Performance Update
For the six-month period ended June 30, 2020, the Fund had a net return of -13.88 percent*. The Fund's benchmark, the Russell 1000 Value Index, returned -16.26 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
Russell 1000 Value Index measures the performance of those Russell 1000 companies with lower price-to-book ratios and lower forecasted growth values.
11
SFT Wellington Core Equity Fund
Fund Objective
The SFT Wellington Core Equity Fund seeks long-term capital appreciation. The Fund pursues its objective by investing primarily in a diversified portfolio of common stocks. Securian Asset Management, Inc. acts as the investment adviser for the Fund, Wellington Management Company LLP (Wellington Management) provides investment advice to the Fund under a sub-advisory agreement. Risks associated with investing in the Fund include, but are not limited to, issuer-specific market volatility and risk of declines in the equity markets generally.
Performance Update
The Fund's performance for the six-month period ended June 30, 2020, for each class of shares offered was as follows:
Class 1 | -4.31 | percent* | |||||
Class 2 | -4.43 | percent* |
The Fund's benchmark, the Standard & Poor's 500® Index, returned -3.08 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
* The results shown are past performance and are not an indication of future performance. Current performance may be lower or higher. The investment returns and principal value of an investment will fluctuate so that shares upon redemption may be worth more or less than their original cost. Performance figures of the Fund do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. When such charges are deducted, actual investment performance in a variable policy or contract will be lower.
The S&P 500® Index is a broad, unmanaged index of 500 common stocks which are representative of the U.S. stock market overall.
12
SFT Core Bond Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal | Value(a) | ||||||||||
Long-Term Debt Securities (98.9%) | |||||||||||
Government Obligations (24.8%) | |||||||||||
Other Government Obligations (1.7%) | |||||||||||
Provincial or Local Government Obligations (1.7%) | |||||||||||
Douglas County Public Utility District No. 1, 5.450%, 09/01/40 (b) | $ | 1,185,000 | $ | 1,636,343 | |||||||
Municipal Electric Authority of Georgia, 6.655%, 04/01/57 | 1,176,000 | 1,723,499 | |||||||||
Ohio State Water Development Authority, 4.817%, 12/01/30 | 250,000 | 305,225 | |||||||||
Port Authority of New York & New Jersey | |||||||||||
4.458%, 10/01/62 | 1,150,000 | 1,526,659 | |||||||||
4.926%, 10/01/51 | 2,055,000 | 2,861,053 | |||||||||
Texas A&M University, 4.000%, 05/15/31 | 325,000 | 364,728 | |||||||||
8,417,507 | |||||||||||
U.S. Government Agencies and Obligations (23.1%) | |||||||||||
Federal Home Loan Mortgage Corporation (FHLMC) (5.1%) | |||||||||||
0.833%, 01/25/23 (1-Month USD LIBOR + 0.650%) (c) | 40,970 | 40,996 | |||||||||
1.135%, 10/25/29 (1-Month USD LIBOR + 0.950%) (c) | 450,000 | 417,062 | |||||||||
2.500%, 03/01/28 | 381,278 | 406,311 | |||||||||
2.500%, 04/01/28 | 133,962 | 142,423 | |||||||||
3.000%, 08/01/42 | 476,973 | 515,730 | |||||||||
3.000%, 12/01/42 | 181,428 | 196,170 | |||||||||
3.000%, 01/01/43 | 238,640 | 259,070 | |||||||||
3.000%, 02/01/43 | 566,399 | 617,749 | |||||||||
3.000%, 04/01/43 | 916,841 | 991,400 | |||||||||
3.000%, 10/25/46 | 235,355 | 237,375 | |||||||||
3.485%, 10/25/27 (1-Month USD LIBOR + 3.300%) (c) | 1,000,000 | 1,015,069 | |||||||||
3.500%, 10/01/25 | 150,545 | 158,306 | |||||||||
3.500%, 05/01/32 | 196,235 | 209,916 | |||||||||
3.500%, 03/01/42 | 760,435 | 831,471 | |||||||||
3.500%, 08/01/42 | 585,278 | 640,007 | |||||||||
3.500%, 05/25/45 | 805,449 | 825,276 | |||||||||
3.635%, 10/25/29 (1-Month USD LIBOR + 3.450%) (c) | 4,000,000 | 4,053,839 | |||||||||
4.000%, 09/01/40 | 589,537 | 644,275 | |||||||||
4.000%, 11/01/40 | 1,233,302 | 1,380,519 | |||||||||
4.000%, 02/01/41 | 283,626 | 312,718 | |||||||||
4.000%, 03/01/41 | 268,954 | 300,737 | |||||||||
4.500%, 04/01/23 | 16,000 | 17,156 | |||||||||
4.500%, 09/01/40 | 124,265 | 136,008 | |||||||||
4.500%, 01/01/41 | 527,822 | 587,170 | |||||||||
4.500%, 02/01/41 | 278,147 | 307,212 | |||||||||
4.500%, 03/01/41 | 582,503 | 647,627 | |||||||||
4.500%, 04/01/41 | 464,680 | 523,007 | |||||||||
4.735%, 10/25/24 (1-Month USD LIBOR + 4.550%) (c) | 123,936 | 126,328 | |||||||||
4.985%, 05/25/28 (1-Month USD LIBOR + 4.800%) (c) | 1,591,626 | 1,646,711 |
Principal | Value(a) | ||||||||||
5.000%, 03/01/23 | $ | 9,769 | $ | 10,650 | |||||||
5.000%, 05/01/29 | 21,176 | 23,226 | |||||||||
5.000%, 04/01/35 | 88,409 | 96,632 | |||||||||
5.000%, 08/01/35 | 50,173 | 57,546 | |||||||||
5.000%, 11/01/35 | 89,724 | 102,734 | |||||||||
5.000%, 11/01/39 | 508,597 | 584,477 | |||||||||
5.000%, 04/01/40 | 173,900 | 195,393 | |||||||||
5.000%, 08/01/40 | 122,046 | 140,165 | |||||||||
5.500%, 10/01/20 | 2,562 | 2,570 | |||||||||
5.500%, 11/01/23 | 77,513 | 85,199 | |||||||||
5.500%, 05/01/34 | 550,121 | 635,752 | |||||||||
5.500%, 10/01/34 | 180,925 | 206,875 | |||||||||
5.500%, 07/01/35 | 220,436 | 252,660 | |||||||||
5.500%, 10/01/35 | 224,441 | 257,441 | |||||||||
5.500%, 12/01/38 | 122,181 | 139,717 | |||||||||
5.718%, 07/25/28 (1-Month USD LIBOR + 5.550%) (c) | 2,752,236 | 2,875,816 | |||||||||
6.000%, 09/01/22 | 14,461 | 14,980 | |||||||||
6.000%, 11/01/33 | 290,811 | 339,171 | |||||||||
6.250%, 12/15/23 | 24,037 | 25,592 | |||||||||
6.500%, 09/01/32 | 30,322 | 36,107 | |||||||||
6.500%, 11/01/32 | 27,566 | 32,238 | |||||||||
6.500%, 06/01/36 | 163,936 | 198,807 | |||||||||
7.000%, 12/01/37 | 38,702 | 45,975 | |||||||||
24,547,361 | |||||||||||
Federal National Mortgage Association (FNMA) (6.5%) | |||||||||||
2.500%, 03/01/27 | 215,368 | 229,423 | |||||||||
2.500%, 11/01/27 | 364,892 | 382,099 | |||||||||
2.500%, 03/01/28 | 240,526 | 255,418 | |||||||||
2.500%, 07/01/28 | 335,404 | 357,351 | |||||||||
3.000%, 06/01/22 | 49,408 | 51,912 | |||||||||
3.000%, 09/01/22 | 35,272 | 37,059 | |||||||||
3.000%, 11/01/27 | 157,218 | 165,553 | |||||||||
3.000%, 06/01/28 | 132,693 | 141,335 | |||||||||
3.000%, 09/01/42 | 130,493 | 141,096 | |||||||||
3.000%, 01/01/46 | 417,659 | 442,582 | |||||||||
3.500%, 11/01/25 | 171,952 | 180,904 | |||||||||
3.500%, 01/01/26 | 204,491 | 215,115 | |||||||||
3.500%, 12/01/32 | 162,486 | 173,870 | |||||||||
3.500%, 11/01/40 | 459,937 | 507,652 | |||||||||
3.500%, 01/01/41 | 545,204 | 594,954 | |||||||||
3.500%, 02/01/41 | 747,185 | 814,030 | |||||||||
3.500%, 04/01/41 | 287,374 | 314,251 | |||||||||
3.500%, 11/01/41 | 1,944,125 | 2,132,811 | |||||||||
3.500%, 12/01/41 | 489,476 | 529,339 | |||||||||
3.500%, 05/01/42 | 197,324 | 215,783 | |||||||||
3.500%, 01/01/43 | 475,347 | 514,371 | |||||||||
3.500%, 02/01/43 | 424,864 | 471,876 | |||||||||
3.500%, 05/01/43 | 1,619,589 | 1,780,958 | |||||||||
3.835%, 09/25/29 (1-Month USD LIBOR + 3.650%) (c) | 227,093 | 227,093 | |||||||||
4.000%, 06/25/23 | 45,836 | 46,748 | |||||||||
4.000%, 12/01/40 | 96,804 | 105,477 | |||||||||
4.000%, 04/01/41 | 1,041,586 | 1,157,716 | |||||||||
4.000%, 09/01/41 | 404,856 | 446,157 | |||||||||
4.000%, 11/01/41 | 209,260 | 229,790 | |||||||||
4.000%, 06/01/42 | 566,820 | 622,501 | |||||||||
4.000%, 09/01/43 | 364,578 | 400,412 | |||||||||
4.485%, 02/25/25 (1-Month USD LIBOR + 4.300%) (c) | 1,428,698 | 1,440,226 |
See accompanying notes to financial statements.
13
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
4.500%, 04/01/21 | $ | 510 | $ | 537 | |||||||
4.500%, 04/01/25 | 29,328 | 31,272 | |||||||||
4.500%, 05/25/34 | 537,000 | 632,147 | |||||||||
4.500%, 05/01/35 | 174,816 | 189,562 | |||||||||
4.500%, 07/01/35 | 363,434 | 396,961 | |||||||||
4.500%, 09/01/37 | 145,873 | 159,571 | |||||||||
4.500%, 06/01/39 | 149,481 | 166,295 | |||||||||
4.500%, 04/01/41 | 1,280,155 | 1,459,524 | |||||||||
4.500%, 07/01/41 | 1,106,415 | 1,231,502 | |||||||||
4.500%, 07/01/47 | 375,580 | 426,497 | |||||||||
4.585%, 01/25/24 (1-Month USD LIBOR + 4.400%) (c) | 86,249 | 75,934 | |||||||||
4.635%, 01/25/29 (1-Month USD LIBOR + 4.450%) (c) | 1,648,366 | 1,684,315 | |||||||||
5.000%, 10/01/20 | 2,309 | 2,426 | |||||||||
5.000%, 06/25/23 | 44,274 | 46,142 | |||||||||
5.000%, 07/01/23 | 32,560 | 35,496 | |||||||||
5.000%, 11/01/33 | 164,297 | 188,085 | |||||||||
5.000%, 03/01/34 | 152,487 | 172,511 | |||||||||
5.000%, 05/01/34 | 35,445 | 40,516 | |||||||||
5.000%, 12/01/34 | 174,655 | 200,385 | |||||||||
5.000%, 07/01/35 | 156,024 | 178,987 | |||||||||
5.000%, 08/01/35 | 52,825 | 60,550 | |||||||||
5.000%, 03/01/38 | 83,827 | 96,052 | |||||||||
5.000%, 04/01/38 | 112,668 | 129,171 | |||||||||
5.000%, 06/01/39 | 91,519 | 104,414 | |||||||||
5.000%, 12/01/39 | 378,924 | 437,303 | |||||||||
5.000%, 06/01/40 | 56,669 | 65,128 | |||||||||
5.000%, 04/01/41 | 337,769 | 388,782 | |||||||||
5.500%, 08/01/23 | 20,433 | 22,459 | |||||||||
5.500%, 02/01/24 | 31,236 | 34,333 | |||||||||
5.500%, 04/01/33 | 516,017 | 592,259 | |||||||||
5.500%, 05/01/33 | 9,396 | 10,677 | |||||||||
5.500%, 12/01/33 | 60,415 | 69,383 | |||||||||
5.500%, 01/01/34 | 119,625 | 137,185 | |||||||||
5.500%, 02/01/34 | 121,400 | 137,254 | |||||||||
5.500%, 03/01/34 | 203,523 | 233,792 | |||||||||
5.500%, 04/01/34 | 120,574 | 138,119 | |||||||||
5.500%, 05/01/34 | 4,592 | 5,055 | |||||||||
5.500%, 09/01/34 | 164,986 | 184,619 | |||||||||
5.500%, 10/01/34 | 47,846 | 54,795 | |||||||||
5.500%, 01/01/35 | 79,499 | 91,167 | |||||||||
5.500%, 02/01/35 | 218,791 | 247,258 | |||||||||
5.500%, 04/01/35 | 218,747 | 250,545 | |||||||||
5.500%, 06/01/35 | 36,486 | 40,383 | |||||||||
5.500%, 08/01/35 | 122,499 | 140,251 | |||||||||
5.500%, 10/01/35 | 309,894 | 358,431 | |||||||||
5.500%, 11/01/35 | 60,385 | 69,583 | |||||||||
5.500%, 09/01/36 | 105,994 | 121,367 | |||||||||
5.500%, 12/01/39 | 73,139 | 83,654 | |||||||||
6.000%, 08/01/23 | 27,098 | 28,429 | |||||||||
6.000%, 09/01/32 | 11,227 | 13,070 | |||||||||
6.000%, 10/01/32 | 404,277 | 471,043 | |||||||||
6.000%, 11/01/32 | 356,872 | 415,914 | |||||||||
6.000%, 03/01/33 | 338,230 | 393,235 | |||||||||
6.000%, 04/01/33 | 23,070 | 25,693 | |||||||||
6.000%, 12/01/33 | 111,875 | 130,345 | |||||||||
6.000%, 08/01/34 | 37,266 | 42,399 | |||||||||
6.000%, 09/01/34 | 18,921 | 22,042 | |||||||||
6.000%, 11/01/34 | 12,473 | 14,004 | |||||||||
6.000%, 12/01/34 | 90,840 | 105,949 | |||||||||
6.000%, 11/01/36 | 11,283 | 13,142 | |||||||||
6.000%, 01/01/37 | 112,183 | 130,635 | |||||||||
6.000%, 08/01/37 | 69,390 | 80,729 |
Principal | Value(a) | ||||||||||
6.000%, 12/01/37 | $ | 4,119 | $ | 4,576 | |||||||
6.000%, 10/01/38 | 138,491 | 164,527 | |||||||||
6.500%, 11/01/23 | 18,512 | 19,536 | |||||||||
6.500%, 12/01/31 | 57,576 | 68,778 | |||||||||
6.500%, 02/01/32 | 175,178 | 209,970 | |||||||||
6.500%, 04/01/32 | 124,540 | 146,997 | |||||||||
6.500%, 05/01/32 | 29,952 | 34,173 | |||||||||
6.500%, 07/01/32 | 240,294 | 282,894 | |||||||||
6.500%, 08/01/32 | 94,745 | 111,708 | |||||||||
6.500%, 09/01/32 | 66,109 | 78,372 | |||||||||
6.500%, 10/01/32 | 78,906 | 93,196 | |||||||||
6.500%, 09/01/34 | 9,771 | 11,315 | |||||||||
6.500%, 11/01/34 | 4,207 | 4,954 | |||||||||
6.500%, 03/01/35 | 68,355 | 79,423 | |||||||||
6.500%, 02/01/36 | 14,145 | 15,734 | |||||||||
6.500%, 09/01/37 | 63,553 | 74,093 | |||||||||
6.500%, 11/01/37 | 40,190 | 48,273 | |||||||||
7.000%, 07/01/31 | 51,104 | 62,395 | |||||||||
7.000%, 09/01/31 | 153,704 | 181,897 | |||||||||
7.000%, 11/01/31 | 169,083 | 197,363 | |||||||||
7.000%, 02/01/32 | 77,416 | 92,118 | |||||||||
7.000%, 03/01/32 | 15,610 | 18,786 | |||||||||
7.000%, 07/01/32 | 63,271 | 74,106 | |||||||||
7.000%, 10/01/37 | 15,250 | 16,364 | |||||||||
7.500%, 07/25/22 | 6,648 | 6,822 | |||||||||
7.500%, 04/01/31 | 80,928 | 93,273 | |||||||||
7.500%, 05/01/31 | 19,676 | 22,708 | |||||||||
31,049,476 | |||||||||||
Government National Mortgage Association (GNMA) (2.6%) | |||||||||||
0.004%, 06/17/45 (c) (d) | 347,553 | 36 | |||||||||
0.643%, 07/16/40 (c) (d) | 20,766 | — | |||||||||
1.000%, 12/20/42 | 98,383 | 95,085 | |||||||||
3.000%, 03/15/45 | 1,232,745 | 1,305,526 | |||||||||
3.000%, 04/15/45 | 2,211,388 | 2,341,384 | |||||||||
3.000%, 05/15/45 | 119,210 | 126,664 | |||||||||
3.250%, 04/20/33 | 134,039 | 142,739 | |||||||||
3.250%, 03/20/35 | 1,049,434 | 1,117,934 | |||||||||
3.250%, 11/20/35 | 532,339 | 566,305 | |||||||||
3.250%, 01/20/36 | 946,179 | 1,006,480 | |||||||||
3.500%, 11/15/40 | 69,298 | 74,044 | |||||||||
3.500%, 04/20/46 | 592,243 | 630,260 | |||||||||
3.750%, 03/20/46 | 895,562 | 961,159 | |||||||||
4.000%, 07/20/31 | 312,747 | 336,083 | |||||||||
4.000%, 04/20/39 | 209,949 | 225,416 | |||||||||
4.000%, 12/20/40 | 660,824 | 740,840 | |||||||||
4.000%, 01/15/41 | 41,310 | 44,963 | |||||||||
4.000%, 02/15/41 | 294,504 | 327,040 | |||||||||
4.000%, 10/15/41 | 205,329 | 225,605 | |||||||||
4.000%, 12/20/44 | 107,505 | 117,054 | |||||||||
4.500%, 06/15/40 | 204,722 | 232,222 | |||||||||
5.000%, 05/15/33 | 64,772 | 73,377 | |||||||||
5.000%, 12/15/39 | 78,480 | 90,614 | |||||||||
5.000%, 01/15/40 | 869,520 | 985,730 | |||||||||
5.000%, 07/15/40 | 202,885 | 230,549 | |||||||||
5.500%, 07/15/38 | 208,750 | 243,452 | |||||||||
5.500%, 10/15/38 | 282,086 | 328,565 | |||||||||
8.500%, 10/15/22 | 5,429 | 5,452 | |||||||||
12,574,578 |
See accompanying notes to financial statements.
14
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
U.S. Treasury (8.9%) | |||||||||||
U.S. Treasury Bond | |||||||||||
2.000%, 02/15/50 | $ | 12,016,000 | $ | 13,761,135 | |||||||
5.375%, 02/15/31 (e) | 5,115,000 | 7,600,970 | |||||||||
U.S. Treasury Note | |||||||||||
0.250%, 05/31/25 | 11,917,000 | 11,902,569 | |||||||||
0.250%, 06/30/25 | 1,500,000 | 1,497,071 | |||||||||
0.375%, 03/31/22 | 1,850,000 | 1,856,576 | |||||||||
0.500%, 05/31/27 | 6,020,000 | 6,026,114 | |||||||||
2.250%, 02/15/27 (e) | 150,000 | 167,561 | |||||||||
2.750%, 02/15/28 | 200,000 | 233,297 | |||||||||
43,045,293 | |||||||||||
Vendee Mortgage Trust (0.0%) | |||||||||||
Vendee Mortgage Trust, 7.793%, 02/15/25 | 22,499 | 24,697 | |||||||||
Total government obligations (cost: $113,027,578) | 119,658,912 | ||||||||||
Asset-Backed Securities (14.1%) | |||||||||||
AmeriCredit Automobile Receivables Trust | |||||||||||
2.740%, 12/08/22 | 1,250,000 | 1,267,614 | |||||||||
3.180%, 07/18/23 | 3,250,000 | 3,329,191 | |||||||||
Bank of The West Auto Trust, 3.210%, 04/15/25 (f) | 2,293,000 | 2,338,746 | |||||||||
Bear Stearns Asset Backed Securities Trust, 1.160%, 02/25/34 (1-Month USD LIBOR + 0.975%) (c) | 361,951 | 336,795 | |||||||||
California Republic Auto Receivables Trust, 3.430%, 02/15/22 | 1,000,000 | 1,001,116 | |||||||||
CarMax Auto Owner Trust, 2.950%, 11/15/23 | 1,950,000 | 1,966,500 | |||||||||
Chase Funding Trust | |||||||||||
0.745%, 02/25/33 (1-Month USD LIBOR + 0.560%) (c) | 155,233 | 140,047 | |||||||||
0.825%, 08/25/32 (1-Month USD LIBOR + 0.640%) (c) | 110,704 | 103,470 | |||||||||
Chesapeake Funding II LLC | |||||||||||
3.260%, 11/15/29 (f) | 375,000 | 370,619 | |||||||||
3.380%, 08/15/29 (f) | 275,000 | 278,191 | |||||||||
3.570%, 04/15/30 (f) | 1,200,000 | 1,222,573 | |||||||||
3.710%, 05/15/29 (f) | 1,885,000 | 1,901,814 | |||||||||
Commonbond Student Loan Trust | |||||||||||
2.550%, 05/25/41 (f) | 328,309 | 335,921 | |||||||||
5.280%, 05/25/41 (f) | 45,414 | 49,083 | |||||||||
Commonbond Student Loan Trust 2018-A-GS | |||||||||||
0.685%, 02/25/44 (1-Month USD LIBOR + 0.500%) (c) (f) | 602,786 | 593,486 | |||||||||
3.210%, 02/25/44 (f) | 1,610,364 | 1,655,564 | |||||||||
Commonbond Student Loan Trust 2019-A-GS, 2.540%, 01/25/47 (f) | 3,686,234 | 3,828,032 | |||||||||
Drive Auto Receivables Trust, 5.300%, 07/15/24 (f) | 1,045,000 | 1,071,641 |
Principal | Value(a) | ||||||||||
Earnest Student Loan Program LLC | |||||||||||
2.650%, 01/25/41 (f) | $ | 2,785,502 | $ | 2,818,938 | |||||||
2.720%, 01/25/41 (f) | 234,632 | 238,106 | |||||||||
3.020%, 05/25/34 (f) | 303,304 | 305,348 | |||||||||
Entergy Gulf States Reconstruction Funding 1 LLC, 5.930%, 06/29/22 | 147,625 | 150,419 | |||||||||
Exeter Automobile Receivables Trust 2016-2, 8.250%, 04/17/23 (f) | 1,676,895 | 1,720,098 | |||||||||
Foursight Capital Automobile Receivables Trust, 5.280%, 08/15/24 (f) | 3,850,000 | 3,911,916 | |||||||||
GM Financial Consumer Automobile Receivables Trust, 2.770%, 07/17/23 | 800,000 | 815,572 | |||||||||
Home Partners of America 2018-1 Trust, 1.094%, 07/17/37 (1-Month USD LIBOR + 0.900%) (c) (f) | 1,361,719 | 1,341,712 | |||||||||
Invitation Homes 2018-SFR1 Trust | |||||||||||
1.444%, 03/17/37 (1-Month USD LIBOR + 1.250%) (c) (f) | 3,500,000 | 3,440,885 | |||||||||
1.644%, 03/17/37 (1-Month USD LIBOR + 1.450%) (c) (f) | 1,000,000 | 972,862 | |||||||||
Invitation Homes 2018-SFR3 Trust | |||||||||||
1.194%, 07/17/37 (1-Month USD LIBOR + 1.000%) (c) (f) | 1,996,613 | 1,981,769 | |||||||||
1.844%, 07/17/37 (1-Month USD LIBOR + 1.650%) (c) (f) | 1,500,000 | 1,467,477 | |||||||||
Invitation Homes 2018-SFR4 Trust, 1.594%, 01/17/38 (1-Month USD LIBOR + 1.400%) (c) (f) | 4,300,000 | 4,219,965 | |||||||||
Invitation Homes Trust, 1.465%, 06/17/37 (1-Month USD LIBOR + 1.280%) (c) (f) | 1,500,000 | 1,469,335 | |||||||||
Morgan Stanley Dean Witter Capital I, Inc., 0.745%, 08/25/32 (1-Month USD LIBOR + 0.560%) (c) | 178,343 | 168,683 | |||||||||
Progress Residential 2018-SFR1 Trust, 3.684%, 03/17/35 (f) | 500,000 | 506,627 | |||||||||
Progress Residential 2019-SFR2 Trust, 3.446%, 05/17/36 (f) | 2,500,000 | 2,574,224 | |||||||||
Progress Residential Trust, 3.565%, 08/17/34 (f) | 1,525,000 | 1,549,534 |
See accompanying notes to financial statements.
15
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Saxon Asset Securities Trust, 0.725%, 03/25/35 (1-Month USD LIBOR + 0.540%) (c) | $ | 270,238 | $ | 240,632 | |||||||
Sofi Professional Loan Program 2017-F LLC, 2.840%, 01/25/41 (f) | 1,427,407 | 1,459,063 | |||||||||
Sofi Professional Loan Program 2018-A LLC, 2.950%, 02/25/42 (f) | 1,200,000 | 1,230,000 | |||||||||
SoFi Professional Loan Program LLC, 2.650%, 09/25/40 (f) | 1,046,417 | 1,072,700 | |||||||||
Towd Point Mortgage Trust | |||||||||||
3.000%, 06/25/58 (c) (f) | 3,424,856 | 3,613,647 | |||||||||
3.750%, 04/25/55 (c) (f) | 1,455,000 | 1,550,971 | |||||||||
4.477%, 11/25/57 (c) (f) | 3,154,000 | 3,305,273 | |||||||||
Volvo Financial Equipment LLC Series 2018-1, 3.060%, 12/15/25 (f) | 1,300,000 | 1,291,664 | |||||||||
Westlake Automobile Receivables Trust 2017-1, 5.050%, 08/15/24 (f) | 725,000 | 727,629 | |||||||||
Westlake Automobile Receivables Trust 2017-2, 4.630%, 07/15/24 (f) | 850,000 | 861,461 | |||||||||
Westlake Automobile Receivables Trust 2018-1, 2.920%, 05/15/23 (f) | 1,210,105 | 1,213,661 | |||||||||
Total asset-backed securities (cost: $67,504,326) | 68,010,574 | ||||||||||
Other Mortgage-Backed Securities (11.6%) | |||||||||||
Collateralized Mortgage Obligations/Mortgage Revenue Bonds (6.5%) | |||||||||||
Agate Bay Mortgage Trust, 3.796%, 01/25/45 (c) (f) | 226,938 | 229,084 | |||||||||
Bear Stearns Mortgage Securities, Inc., 8.000%, 11/25/29 | 45,342 | 29,616 | |||||||||
Bellemeade Re 2018-1, Ltd., 1.785%, 04/25/28 (1-Month USD LIBOR + 1.600%) (c) (f) (g) | 840,070 | 831,571 | |||||||||
Bellemeade Re 2018-3, Ltd., 2.035%, 10/25/28 ( 1-Month USD LIBOR + 1.850%) (c) (f) (g) | 2,073,741 | 2,053,851 | |||||||||
Citigroup Mortgage Loan Trust, Inc., 3.000%, 09/25/64 (c) (f) | 367,077 | 381,443 | |||||||||
COLT 2018-3 Mortgage Loan Trust, 3.692%, 10/26/48 (c) (f) | 809,448 | 824,453 | |||||||||
COLT 2019-2 Mortgage Loan Trust, 3.337%, 05/25/49 (c) (f) | 1,965,109 | 1,988,337 | |||||||||
CSMC Trust | |||||||||||
3.331%, 08/25/43 (c) (f) | 3,166,806 | 3,134,737 | |||||||||
3.500%, 06/25/47 (c) (f) | 2,550,000 | 2,634,535 | |||||||||
Eagle RE 2020-1 Ltd., 1.635%, 01/25/30 (c) (f) | 4,725,000 | 4,463,014 |
Principal | Value(a) | ||||||||||
GS Mortgage-Backed Securities Trust, 3.106%, 07/25/44 (c) (f) | $ | 2,371,556 | $ | 1,751,560 | |||||||
JP Morgan Mortgage Trust | |||||||||||
3.358%, 10/25/46 (c) (f) | 294,812 | 292,272 | |||||||||
3.397%, 06/25/29 (c) (f) | 196,050 | 195,879 | |||||||||
3.632%, 05/25/43 (c) (f) | 302,662 | 294,662 | |||||||||
4.098%, 11/25/33 (c) | 94,182 | 89,831 | |||||||||
MRFC Mortgage Pass-Through Trust Series 1998-2, 6.750%, 06/25/28 | 4,961 | 5,025 | |||||||||
Prudential Home Mortgage Securities | |||||||||||
7.659%, 09/28/24 (c) (f) | 375 | 357 | |||||||||
7.900%, 04/28/22 (f) | 105 | 105 | |||||||||
PSMC Trust, 3.500%, 02/25/48 (c) (f) | 2,236,846 | 2,264,871 | |||||||||
Radnor RE 2019-1, Ltd., 2.135%, 02/25/29 (1-Month USD LIBOR + 1.950%) (c) (f) (g) | 726,645 | 719,866 | |||||||||
Seasoned Credit Risk Transfer Trust | |||||||||||
4.000%, 07/25/56 (c) | 2,602,000 | 2,590,837 | |||||||||
4.000%, 08/25/56 (c) (f) | 1,200,000 | 1,181,674 | |||||||||
Sequoia Mortgage Trust | |||||||||||
3.176%, 11/25/30 (c) (f) | 544,140 | 548,122 | |||||||||
3.518%, 06/25/43 (c) | 1,630,134 | 1,613,696 | |||||||||
3.701%, 07/25/45 (c) (f) | 435,877 | 444,135 | |||||||||
3.870%, 01/25/45 (c) (f) | 335,449 | 339,595 | |||||||||
Structured Asset Mortgage Investments, Inc., 6.750%, 05/02/30 (c) | 9,657 | 561 | |||||||||
WinWater Mortgage Loan Trust 2015-4, 3.771%, 06/20/45 (c) (f) | 2,804,390 | 2,535,233 | |||||||||
31,438,922 | |||||||||||
Commercial Mortgage-Backed Securities (5.1%) | |||||||||||
BAMLL Commercial Mortgage Securities Trust 2014-520M, 4.325%, 08/15/46 (c) (f) | 1,350,000 | 1,652,625 | |||||||||
BB-UBS Trust, 4.160%, 11/05/36 (c) (f) | 1,000,000 | 925,430 | |||||||||
CFCRE Commercial Mortgage Trust, 3.839%, 12/10/54 | 500,000 | 558,073 | |||||||||
Citigroup Commercial Mortgage Trust 2018-TBR, 1.015%, 12/15/36 (1-Month USD LIBOR + 0.830%) (c) (f) | 4,000,000 | 3,655,851 | |||||||||
CSMC Trust, 3.304%, 09/15/37 (f) | 384,179 | 381,412 | |||||||||
Hometown Commercial Mortgage, 6.057%, 06/11/39 (f) | 28,292 | 13,515 | |||||||||
Irvine Core Office Trust, 2.068%, 05/15/48 (f) | 159,989 | 160,378 |
See accompanying notes to financial statements.
16
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
JPMCC Commercial Mortgage Securities Trust, 3.723%, 03/15/50 | $ | 1,000,000 | $ | 1,125,061 | |||||||
Morgan Stanley Bank of America Merrill Lynch Trust, 3.720%, 12/15/49 | 225,000 | 251,661 | |||||||||
Morgan Stanley Capital I Trust, 3.451%, 08/05/34 (f) | 700,000 | 692,811 | |||||||||
One Market Plaza Trust, 3.614%, 02/10/32 (f) | 2,500,000 | 2,616,436 | |||||||||
UBS Commercial Mortgage Trust | |||||||||||
3.580%, 12/15/50 | 3,500,000 | 3,965,416 | |||||||||
3.724%, 06/15/50 | 2,750,000 | 2,924,668 | |||||||||
4.061%, 12/15/50 (c) | 1,505,000 | 1,638,077 | |||||||||
Wells Fargo Commercial Mortgage Trust | |||||||||||
3.184%, 04/15/50 | 1,544,000 | 1,646,730 | |||||||||
3.637%, 06/15/48 | 1,905,000 | 2,075,228 | |||||||||
24,283,372 | |||||||||||
Total other mortgage-backed securities (cost: $56,211,292) | 55,722,294 | ||||||||||
Corporate Obligations (48.4%) | |||||||||||
Basic Materials (0.3%) | |||||||||||
Chemicals (0.3%) | |||||||||||
Albemarle Corp., 1.442%, 11/15/22 (3-Month USD LIBOR + 1.050%) (c) (f) | 1,530,000 | 1,470,253 | |||||||||
Communications (2.7%) | |||||||||||
Media (1.1%) | |||||||||||
Comcast Corp., 3.300%, 04/01/27 | 2,120,000 | 2,377,516 | |||||||||
The Walt Disney Co., 3.600%, 01/13/51 | 2,750,000 | 3,063,338 | |||||||||
5,440,854 | |||||||||||
Telecommunication (1.6%) | |||||||||||
AT&T, Inc. | |||||||||||
2.300%, 06/01/27 | 650,000 | 672,926 | |||||||||
3.650%, 06/01/51 | 650,000 | 680,563 | |||||||||
4.850%, 07/15/45 | 1,850,000 | 2,198,341 | |||||||||
Crown Castle Towers LLC, 3.222%, 05/15/42 (f) | 2,375,000 | 2,414,441 | |||||||||
Verizon Communications, Inc., 1.492%, 05/15/25 (3-Month USD LIBOR + 1.100%) (c) | 1,500,000 | 1,518,270 | |||||||||
7,484,541 | |||||||||||
Consumer Cyclical (2.4%) | |||||||||||
Auto/Truck Parts & Equipment — Original (1.8%) | |||||||||||
Ford Motor Credit Co. LLC, 5.750%, 02/01/21 | 2,190,000 | 2,198,322 | |||||||||
General Motors Financial Co., Inc., 2.170%, 04/09/21 (3-Month USD LIBOR + 0.850%) (c) | 1,650,000 | 1,640,156 |
Principal | Value(a) | ||||||||||
Hyundai Capital America | |||||||||||
1.308%, 09/18/20 (3-Month USD LIBOR + 1.000%) (c) (f) | $ | 875,000 | $ | 873,512 | |||||||
2.750%, 09/18/20 (f) | 225,000 | 225,490 | |||||||||
2.850%, 11/01/22 (f) | 3,000,000 | 3,061,259 | |||||||||
3.250%, 09/20/22 (f) | 625,000 | 641,965 | |||||||||
8,640,704 | |||||||||||
Retail (0.6%) | |||||||||||
AutoZone, Inc. | |||||||||||
3.625%, 04/15/25 | 1,375,000 | 1,533,264 | |||||||||
4.000%, 04/15/30 | 1,000,000 | 1,159,398 | |||||||||
2,692,662 | |||||||||||
Consumer, Non-cyclical (3.3%) | |||||||||||
Agricultural Products (0.2%) | |||||||||||
Altria Group, Inc., 5.800%, 02/14/39 | 955,000 | 1,181,017 | |||||||||
Drugstore Chains (0.9%) | |||||||||||
CVS Pass-Through Trust | |||||||||||
5.298%, 01/11/27 (f) | 919,178 | 987,897 | |||||||||
5.880%, 01/10/28 | 325,946 | 367,533 | |||||||||
6.036%, 12/10/28 | 1,978,544 | 2,236,182 | |||||||||
6.943%, 01/10/30 | 508,429 | 582,158 | |||||||||
4,173,770 | |||||||||||
Food (0.5%) | |||||||||||
Ingredion, Inc. | |||||||||||
2.900%, 06/01/30 | 1,100,000 | 1,171,220 | |||||||||
3.900%, 06/01/50 | 1,160,000 | 1,326,775 | |||||||||
2,497,995 | |||||||||||
Health Care Products (0.5%) | |||||||||||
Dentsply Sirona, Inc., 3.250%, 06/01/30 | 2,465,000 | 2,591,496 | |||||||||
Pharmaceuticals (1.2%) | |||||||||||
McKesson Corp., 3.650%, 11/30/20 | 1,275,000 | 1,291,392 | |||||||||
Upjohn, Inc. | |||||||||||
2.300%, 06/22/27 (f) | 1,400,000 | 1,444,145 | |||||||||
3.850%, 06/22/40 (f) | 1,000,000 | 1,074,654 | |||||||||
Zoetis, Inc., 3.000%, 05/15/50 | 1,800,000 | 1,854,158 | |||||||||
5,664,349 | |||||||||||
Energy (7.5%) | |||||||||||
Oil & Gas (0.7%) | |||||||||||
Equinor ASA, 3.000%, 04/06/27 (g) | 2,800,000 | 3,077,646 | |||||||||
Oil, Gas & Consumable Fuels (0.9%) | |||||||||||
Marathon Petroleum Corp. | |||||||||||
4.750%, 12/15/23 | 1,884,000 | 2,067,452 | |||||||||
5.850%, 12/15/45 | 2,270,000 | 2,384,521 | |||||||||
4,451,973 | |||||||||||
Pipelines (5.9%) | |||||||||||
Boardwalk Pipelines L.P. | |||||||||||
4.450%, 07/15/27 | 538,000 | 564,992 | |||||||||
4.800%, 05/03/29 | 1,095,000 | 1,166,034 | |||||||||
4.950%, 12/15/24 | 1,000,000 | 1,070,797 |
See accompanying notes to financial statements.
17
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
El Paso Natural Gas Co. LLC, 8.375%, 06/15/32 | $ | 675,000 | $ | 902,172 | |||||||
Enterprise Products Operating LLC, 3.128%, 06/01/67 (3-Month USD LIBOR + 2.778%) (c) | 2,180,000 | 1,700,400 | |||||||||
EQM Midstream Partners L.P., 6.500%, 07/15/48 | 975,000 | 889,980 | |||||||||
Florida Gas Transmission Co. LLC, 2.550%, 07/01/30 (f) | 2,425,000 | 2,483,310 | |||||||||
Kinder Morgan Energy Partners L.P., 5.800%, 03/01/21 | 1,000,000 | 1,032,612 | |||||||||
MPLX L.P. | |||||||||||
1.413%, 09/09/22 (3-Month USD LIBOR + 1.100%) (c) | 2,230,000 | 2,193,004 | |||||||||
5.250%, 01/15/25 | 2,450,000 | 2,547,581 | |||||||||
5.500%, 02/15/49 | 1,700,000 | 1,883,984 | |||||||||
ONEOK, Inc., 7.150%, 01/15/51 | 2,260,000 | 2,745,431 | |||||||||
Sabine Pass Liquefaction LLC, 4.500%, 05/15/30 (f) | 825,000 | 915,918 | |||||||||
Sunoco Logistics Partners Operations L.P., 6.850%, 02/15/40 | 2,150,000 | 2,370,889 | |||||||||
Tennessee Gas Pipeline Co. LLC, 8.375%, 06/15/32 | 1,850,000 | 2,459,624 | |||||||||
Western Midstream Operating L.P. | |||||||||||
3.950%, 06/01/25 | 2,250,000 | 2,107,620 | |||||||||
5.250%, 02/01/50 | 1,665,000 | 1,440,725 | |||||||||
28,475,073 | |||||||||||
Financial (13.8%) | |||||||||||
Banks (9.5%) | |||||||||||
American Express Credit Corp., 1.363%, 09/14/20 (3-Month USD LIBOR + 1.050%) (c) | 1,890,000 | 1,892,207 | |||||||||
Bank of America Corp., 3.974%, 02/07/30 (3-Month USD LIBOR + 1.210%) (c) | 4,040,000 | 4,703,907 | |||||||||
BBVA USA | |||||||||||
3.500%, 06/11/21 | 850,000 | 868,476 | |||||||||
3.875%, 04/10/25 | 2,500,000 | 2,641,016 | |||||||||
Citibank NA, 0.977%, 05/20/22 (3-Month USD LIBOR + 0.600%) (c) | 3,650,000 | 3,656,169 | |||||||||
Citizens Bank NA/Providence, 1.256%, 03/29/23 (3-Month USD LIBOR + 0.950%) (c) | 3,150,000 | 3,154,059 |
Principal | Value(a) | ||||||||||
Discover Bank, 3.450%, 07/27/26 | $ | 1,900,000 | $ | 2,054,124 | |||||||
HSBC Holdings PLC | |||||||||||
0.968%, 09/11/21 (3-Month USD LIBOR + 0.650%) (c) (g) | 1,350,000 | 1,350,630 | |||||||||
3.262%, 03/13/23 (3-Month USD LIBOR + 1.055%) (c) (g) | 1,875,000 | 1,942,422 | |||||||||
JPMorgan Chase & Co. | |||||||||||
3.540%, 05/01/28 (3-Month USD LIBOR + 1.380%) (c) | 1,500,000 | 1,674,134 | |||||||||
3.616%, 10/01/20 (3-Month USD LIBOR + 3.320%) (c) | 1,700,000 | 1,500,250 | |||||||||
4.230%, 07/30/20 (3-Month USD LIBOR + 3.470%) (c) | 734,000 | 668,160 | |||||||||
4.600%, 02/01/25 (c) | 1,175,000 | 1,048,688 | |||||||||
Morgan Stanley | |||||||||||
3.125%, 07/27/26 | 800,000 | 881,840 | |||||||||
5.500%, 07/28/21 | 740,000 | 779,226 | |||||||||
Regions Financial Corp., 3.800%, 08/14/23 | 1,675,000 | 1,821,524 | |||||||||
Synovus Financial Corp., 3.125%, 11/01/22 | 2,580,000 | 2,611,940 | |||||||||
The Goldman Sachs Group, Inc., 1.540%, 10/31/22 (3-Month USD LIBOR + 0.780%) (c) | 1,050,000 | 1,049,664 | |||||||||
Truist Bank, 0.976%, 05/17/22 (3-Month USD LIBOR + 0.590%) (c) | 2,850,000 | 2,858,769 | |||||||||
Truist Financial Corp., 5.050%, 12/15/24 (3-Month USD LIBOR + 3.102%) (c) | 1,770,000 | 1,579,725 | |||||||||
US Bancorp | |||||||||||
3.000%, 07/30/29 | 765,000 | 831,613 | |||||||||
5.300%, 04/15/27 (3-Month USD LIBOR + 2.914%) (c) | 800,000 | 808,000 | |||||||||
Wells Fargo & Co. | |||||||||||
2.393%, 06/02/28 (c) | 4,125,000 | 4,262,009 | |||||||||
3.000%, 10/23/26 | 1,100,000 | 1,198,745 | |||||||||
45,837,297 | |||||||||||
Diversified Financial Services (1.9%) | |||||||||||
Block Financial LLC, 4.125%, 10/01/20 | 2,050,000 | 2,057,601 | |||||||||
DY7 Leasing LLC, 2.578%, 12/10/25 | 57,615 | 60,006 | |||||||||
Export Leasing 2009 LLC, 1.859%, 08/28/21 | 38,160 | 38,360 | |||||||||
Helios Leasing I LLC | |||||||||||
1.825%, 05/16/25 | 66,572 | 67,916 | |||||||||
2.018%, 05/29/24 | 93,667 | 95,713 | |||||||||
Pine Street Trust I, 4.572%, 02/15/29 (f) | 1,450,000 | 1,653,726 |
See accompanying notes to financial statements.
18
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Raymond James Financial, Inc., 4.650%, 04/01/30 | $ | 1,375,000 | $ | 1,638,598 | |||||||
The Charles Schwab Corp., 4.625%, 03/01/22 (3-Month USD LIBOR + 3.315%) (c) | 2,200,000 | 2,073,500 | |||||||||
USAA Capital Corp., 1.500%, 05/01/23 (f) | 1,250,000 | 1,282,475 | |||||||||
8,967,895 | |||||||||||
Insurance (1.9%) | |||||||||||
AIG Global Funding, 0.800%, 07/07/23 (f) (h) | 1,390,000 | 1,390,099 | |||||||||
Equitable Financial Life Global Funding, 1.400%, 07/07/25 (f) (h) | 2,450,000 | 2,451,436 | |||||||||
Teachers Insurance & Annuity Association of America, 4.270%, 05/15/47 (f) | 2,500,000 | 2,967,264 | |||||||||
Unum Group, 5.750%, 08/15/42 (b) | 2,310,000 | 2,451,761 | |||||||||
9,260,560 | |||||||||||
Real Estate Investment Trust — Office Property (0.4%) | |||||||||||
SL Green Operating Partnership L.P., 1.366%, 08/16/21 (3-Month USD LIBOR + 0.980%) (c) | 2,000,000 | 1,970,676 | |||||||||
Real Estate Investment Trust — Residential (0.1%) | |||||||||||
UDR, Inc., 4.000%, 10/01/25 | 400,000 | 446,145 | |||||||||
Health Care (1.1%) | |||||||||||
Health Care Providers & Services (0.7%) | |||||||||||
NYU Langone Hospitals, 4.428%, 07/01/42 | 1,480,000 | 1,679,412 | |||||||||
Sinai Health System, 3.034%, 01/20/36 | 1,315,000 | 1,456,039 | |||||||||
3,135,451 | |||||||||||
Medical Products/Supplies (0.4%) | |||||||||||
Bio-Rad Laboratories, Inc., 4.875%, 12/15/20 | 1,985,000 | 2,018,158 | |||||||||
Industrials (1.4%) | |||||||||||
Aerospace & Defense (0.2%) | |||||||||||
General Dynamics Corp., 3.000%, 05/11/21 | 1,150,000 | 1,176,552 | |||||||||
Machinery (0.7%) | |||||||||||
Westinghouse Air Brake Technologies Corp | |||||||||||
1.613%, 09/15/21 (3-Month USD LIBOR + 1.300%) (c) | 1,925,000 | 1,925,000 | |||||||||
3.200%, 06/15/25 | 1,350,000 | 1,375,647 | |||||||||
3,300,647 |
Principal | Value(a) | ||||||||||
Transportation (0.5%) | |||||||||||
CSX Corp. | |||||||||||
4.250%, 11/01/66 | $ | 1,085,000 | $ | 1,314,934 | |||||||
4.750%, 11/15/48 | 625,000 | 829,778 | |||||||||
2,144,712 | |||||||||||
Technology (1.7%) | |||||||||||
Computers (1.7%) | |||||||||||
Apple, Inc. | |||||||||||
0.750%, 05/11/23 | 965,000 | 975,167 | |||||||||
1.125%, 05/11/25 | 2,435,000 | 2,486,363 | |||||||||
Dell International LLC / EMC Corp., 5.300%, 10/01/29 (f) | 1,475,000 | 1,628,000 | |||||||||
Leidos, Inc. | |||||||||||
2.950%, 05/15/23 (f) | 1,950,000 | 2,031,315 | |||||||||
3.625%, 05/15/25 (f) | 975,000 | 1,062,467 | |||||||||
8,183,312 | |||||||||||
Transportation (3.5%) | |||||||||||
Airlines (3.5%) | |||||||||||
Air Canada 2013-1 Class B Pass Through Trust, 5.375%, 11/15/22 (f) (g) | 687,372 | 619,547 | |||||||||
Air Canada 2017-1 Class A Pass Through Trust, 3.550%, 07/15/31 (f) (g) | 2,007,960 | 1,657,079 | |||||||||
America West Airlines 2000-1 Pass Through Trust, 8.057%, 01/02/22 | 434,598 | 434,198 | |||||||||
American Airlines 2013-1 Class B Pass Through Trust, 5.625%, 07/15/22 (f) | 947,130 | 855,686 | |||||||||
American Airlines 2013-2 Class B Pass Through Trust, 5.600%, 01/15/22 (f) | 767,440 | 767,545 | |||||||||
American Airlines 2016-1 Class B Pass Through Trust, 5.250%, 07/15/25 | 987,629 | 653,297 | |||||||||
American Airlines 2017-1 Class B Pass Through Trust, 4.950%, 08/15/26 | 741,750 | 560,726 | |||||||||
British Airways 2019-1 Class A Pass Through Trust, 3.350%, 12/15/30 (f) | 1,453,945 | 1,199,499 | |||||||||
Delta Air Lines 2015-1 Class B Pass Through Trust, 4.250%, 01/30/25 | 1,287,551 | 1,173,474 | |||||||||
Delta Air Lines 2020 Class A Pass Through Trust, 2.500%, 12/10/29 | 1,900,000 | 1,704,277 | |||||||||
Hawaiian Airlines 2013-1 Class B Pass Through Certificates, 4.950%, 07/15/23 | 1,832,805 | 1,737,407 | |||||||||
United Airlines 2014-1 Class B Pass Through Trust, 4.750%, 10/11/23 | 381,517 | 338,819 | |||||||||
United Airlines 2014-2 Class B Pass Through Trust, 4.625%, 03/03/24 | 1,597,411 | 1,408,115 |
See accompanying notes to financial statements.
19
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
United Airlines 2016-1 Class B Pass Through Trust, 3.650%, 07/07/27 | $ | 969,583 | $ | 715,443 | |||||||
United Airlines 2019-2 Class B Pass Through Trust, 3.500%, 11/01/29 | 1,515,000 | 1,139,168 | |||||||||
US Airways 2012-2 Class B Pass Through Trust, 6.750%, 12/03/22 | 1,624,408 | 1,312,011 | |||||||||
US Airways 2013-1 Class B Pass Through Trust, 5.375%, 05/15/23 | 1,029,865 | 836,577 | |||||||||
17,112,868 | |||||||||||
Utilities (10.7%) | |||||||||||
Electric Companies (0.5%) | |||||||||||
Indianapolis Power & Light Co., 4.700%, 09/01/45 (f) | 1,900,000 | 2,374,298 | |||||||||
Electric Utilities (6.9%) | |||||||||||
Cleco Corporate Holdings LLC, 3.743%, 05/01/26 | 1,125,000 | 1,191,724 | |||||||||
Entergy Mississippi LLC, 3.250%, 12/01/27 | 1,100,000 | 1,186,565 | |||||||||
Entergy Texas, Inc., 3.450%, 12/01/27 | 1,885,000 | 2,050,443 | |||||||||
Eversource Energy, 3.800%, 12/01/23 | 2,400,000 | 2,626,923 | |||||||||
Exelon Generation Co. LLC, 3.250%, 06/01/25 | 2,950,000 | 3,185,121 | |||||||||
FirstEnergy Transmission LLC, 5.450%, 07/15/44 (f) | 2,000,000 | 2,584,416 | |||||||||
IPALCO Enterprises, Inc., 3.700%, 09/01/24 | 1,175,000 | 1,256,191 | |||||||||
MidAmerican Energy Co., 4.250%, 07/15/49 | 1,750,000 | 2,257,438 | |||||||||
Pacific Gas and Electric Co., 1.750%, 06/16/22 | 2,000,000 | 2,003,200 | |||||||||
PacifiCorp, 3.300%, 03/15/51 | 1,410,000 | 1,543,331 | |||||||||
PPL Capital Funding, Inc., 2.973%, 03/30/67 (3-Month USD LIBOR + 2.665%) (c) | 2,175,000 | 1,631,250 | |||||||||
Public Service Co. of Colorado, 3.200%, 11/15/20 | 1,045,000 | 1,045,607 | |||||||||
Southern Power Co., 4.950%, 12/15/46 | 2,450,000 | 2,714,276 | |||||||||
The AES Corp., 3.300%, 07/15/25 (f) | 1,825,000 | 1,879,403 | |||||||||
Vistra Operations Co. LLC, 3.700%, 01/30/27 (f) | 2,550,000 | 2,626,064 | |||||||||
Xcel Energy, Inc., 3.500%, 12/01/49 | 3,040,000 | 3,365,861 | |||||||||
33,147,813 |
Shares/ Principal | Value(a) | ||||||||||
Electric — Integrated (1.5%) | |||||||||||
Ameren Corp., 3.500%, 01/15/31 | $ | 2,150,000 | $ | 2,413,632 | |||||||
Edison International, 4.950%, 04/15/25 | 1,375,000 | 1,506,765 | |||||||||
Exelon Corp., 4.700%, 04/15/50 | 1,410,000 | 1,793,990 | |||||||||
Florida Power & Light Co., 2.850%, 04/01/25 | 1,450,000 | 1,588,859 | |||||||||
7,303,246 | |||||||||||
Gas Utilities (1.8%) | |||||||||||
Piedmont Natural Gas Co., Inc., 3.350%, 06/01/50 | 1,800,000 | 1,973,664 | |||||||||
Southern Co. Gas Capital Corp. | |||||||||||
3.875%, 11/15/25 | 2,605,000 | 2,882,253 | |||||||||
4.400%, 05/30/47 | 775,000 | 920,370 | |||||||||
The East Ohio Gas Co. | |||||||||||
1.300%, 06/15/25 (f) | 1,380,000 | 1,386,500 | |||||||||
3.000%, 06/15/50 (f) | 1,685,000 | 1,677,543 | |||||||||
8,840,330 | |||||||||||
Total corporate obligations (cost: $226,054,485) | 233,062,293 | ||||||||||
Total long-term debt securities (cost: $462,797,681) | 476,454,073 | ||||||||||
Short-Term Securities (1.8%) | |||||||||||
Investment Companies (1.8%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% (i) | 8,860,488 | 8,860,488 | |||||||||
Total short-term securities (cost: $8,860,488) | 8,860,488 | ||||||||||
Total investments in securities (cost: $471,658,169) (j) | 485,314,561 | ||||||||||
Liabilities in excess of cash and other assets (-0.7%) | (3,387,819 | ) | |||||||||
Total net assets (100.0%) | $ | 481,926,742 |
See accompanying notes to financial statements.
20
SFT Core Bond Fund
Investments in Securities – continued
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Security sold within terms of a private placement memorandum exempt from registration under Section 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program. This security has been determined to be illiquid.
(c) Variable rate security.
(d) Interest-only security that entitles holders to receive only interest on the underlying mortgages. The principal amount of the underlying pool represents the notional amount on which current interest is calculated. The yield to maturity of an interest-only security is sensitive to the rate of principal payments on the underlying mortgage assets. The rate disclosed represents the market yield based upon the current cost basis and estimated timing and amount of future cash flows.
(e) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2020, securities with an aggregate market value of $1,597,723 have been pledged to cover margin requirements for the following open futures contracts:
Description | Expiration Date | Number of Contracts | Position Type | Notional Amount | Market Value | Unrealized Appreciation/ (Depreciation)(a) | |||||||||||||||||||||
5 Year U.S. Treasury Note | September 2020 | 192 | Long | $ | 24,082,965 | $ | 24,142,500 | $ | 59,535 | ||||||||||||||||||
10 Year U.S. Ultra | September 2020 | 138 | Short | (21,643,004 | ) | (21,732,844 | ) | (89,840 | ) | ||||||||||||||||||
U.S. Long Bond | September 2020 | 266 | Long | 47,313,356 | 47,497,625 | 184,269 | |||||||||||||||||||||
U.S. Ultra Bond | September 2020 | 61 | Short | (13,257,809 | ) | (13,307,531 | ) | (49,722 | ) | ||||||||||||||||||
$ | 36,599,750 | $ | 104,242 |
(f) Security sold within terms of a private placement memorandum exempt from registration under Section 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program. This security has been determined to be liquid unless otherwise indicated.
(g) Foreign security: The Fund held 2.5% of net assets in foreign securities at June 30, 2020.
(h) Security is issued on a when-issued or forward commitment basis. As of June 30, 2020 the total cost of investments issued on a when-issued or forward commitment basis was $3,834,446.
(i) All or a portion of the security segregated to cover when-issued purchase commitments outstanding or extended settlement trades as of June 30, 2020.
(j) At June 30, 2020 the cost of investments for federal income tax purposes was $471,948,907. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 23,115,025 | |||||
Gross unrealized depreciation | (9,645,129 | ) | |||||
Net unrealized appreciation | $ | 13,469,896 |
See accompanying notes to financial statements.
21
SFT Dynamic Managed Volatility Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal | Value(a) | ||||||||||
Long-Term Debt Securities (31.5%) | |||||||||||
Government Obligations (2.9%) | |||||||||||
U.S. Government Agencies and Obligations (2.9%) | |||||||||||
Federal Home Loan Mortgage Corporation (FHLMC) (0.1%) | |||||||||||
3.000%, 09/01/43 | $ | 111,788 | $ | 119,785 | |||||||
3.500%, 10/01/44 | 169,335 | 181,450 | |||||||||
3.500%, 11/01/44 | 163,416 | 174,809 | |||||||||
3.500%, 12/01/44 | 174,885 | 187,184 | |||||||||
663,228 | |||||||||||
Federal National Mortgage Association (FNMA) (0.2%) | |||||||||||
3.000%, 04/01/43 | 179,502 | 192,366 | |||||||||
3.000%, 05/01/43 | 72,320 | 77,492 | |||||||||
3.000%, 06/01/43 | 231,423 | 248,009 | |||||||||
3.500%, 08/01/42 | 96,098 | 105,086 | |||||||||
3.500%, 02/01/43 | 106,216 | 117,969 | |||||||||
740,922 | |||||||||||
U.S. Treasury (2.6%) | |||||||||||
U.S. Treasury Note, 2.625%, 12/15/21 | 15,000,000 | 15,534,375 | |||||||||
Total government obligations (cost: $16,276,466) | 16,938,525 | ||||||||||
Other Mortgage-Backed Securities (0.3%) | |||||||||||
Commercial Mortgage-Backed Securities (0.3%) | |||||||||||
Bank 2019-BNK18, 3.584%, 05/15/62 | 1,500,000 | 1,727,275 | |||||||||
Total other mortgage-backed securities (cost: $1,544,478) | 1,727,275 | ||||||||||
Corporate Obligations (28.3%) | |||||||||||
Basic Materials (0.2%) | |||||||||||
Chemicals (0.2%) | |||||||||||
Nutrien, Ltd., 3.000%, 04/01/25 (b) | 1,000,000 | 1,071,444 | |||||||||
Mining (0.0%) | |||||||||||
BHP Billiton Finance USA, Ltd., 2.875%, 02/24/22 (b) | 122,000 | 126,317 | |||||||||
Communications (2.0%) | |||||||||||
Cable/Satellite TV (0.4%) | |||||||||||
Comcast Corp. 4.200%, 08/15/34 (c) | 500,000 | 608,476 | |||||||||
4.650%, 07/15/42 (c) | 250,000 | 322,023 | |||||||||
6.400%, 05/15/38 | 1,000,000 | 1,490,097 | |||||||||
2,420,596 | |||||||||||
Diversified Telecommunication Services (0.8%) | |||||||||||
AT&T, Inc. 4.100%, 02/15/28 | 803,000 | 918,596 | |||||||||
4.350%, 06/15/45 | 250,000 | 281,335 | |||||||||
4.500%, 05/15/35 | 1,000,000 | 1,186,699 | |||||||||
4.850%, 07/15/45 | 1,000,000 | 1,188,292 |
Principal | Value(a) | ||||||||||
Verizon Communications, Inc., 5.250%, 03/16/37 | $ | 1,000,000 | $ | 1,338,761 | |||||||
4,913,683 | |||||||||||
Internet & Catalog Retail (0.2%) | |||||||||||
Amazon.com, Inc., 3.875%, 08/22/37 | 1,000,000 | 1,238,206 | |||||||||
Media (0.2%) | |||||||||||
ViacomCBS, Inc. 3.500%, 01/15/25 | 750,000 | 817,320 | |||||||||
4.000%, 01/15/26 | 250,000 | 279,875 | |||||||||
1,097,195 | |||||||||||
Telecommunication (0.3%) | |||||||||||
Crown Castle Towers LLC, 3.663%, 05/15/45 (d) | 1,000,000 | 1,066,770 | |||||||||
Vodafone Group PLC, 4.125%, 05/30/25 (b) | 500,000 | 566,876 | |||||||||
1,633,646 | |||||||||||
Wireless Telecommunication Services (0.1%) | |||||||||||
Rogers Communications, Inc., 4.100%, 10/01/23 (b) | 250,000 | 277,829 | |||||||||
Consumer Cyclical (0.8%) | |||||||||||
Auto/Truck Parts & Equipment — Original (0.1%) | |||||||||||
Harley-Davidson Financial Services, Inc., 3.550%, 05/21/21 (d) | 575,000 | 583,957 | |||||||||
Food & Staples Retailing (0.2%) | |||||||||||
The Kroger Co., 4.450%, 02/01/47 | 1,000,000 | 1,225,854 | |||||||||
Home Furnishings (0.2%) | |||||||||||
Harman International Industries, Inc., 4.150%, 05/15/25 | 1,000,000 | 1,084,928 | |||||||||
Retail (0.3%) | |||||||||||
AutoZone, Inc., 3.250%, 04/15/25 | 1,000,000 | 1,090,185 | |||||||||
Target Corp., 3.500%, 07/01/24 (c) | 750,000 | 837,714 | |||||||||
1,927,899 | |||||||||||
Consumer Staples (1.1%) | |||||||||||
Beverages (0.1%) | |||||||||||
The Coca-Cola Co., 3.200%, 11/01/23 (c) | 500,000 | 544,330 | |||||||||
Consumer Products — Miscellaneous (0.2%) | |||||||||||
Johnson (S.C.) & Son, Inc., 3.350%, 09/30/24 (d) | 750,000 | 805,617 | |||||||||
Food Products (0.4%) | |||||||||||
Archer-Daniels-Midland Co., 3.750%, 09/15/47 | 1,000,000 | 1,198,965 |
See accompanying notes to financial statements.
22
SFT Dynamic Managed Volatility Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
General Mills, Inc., 4.150%, 02/15/43 | $ | 1,000,000 | $ | 1,213,653 | |||||||
2,412,618 | |||||||||||
Household Products (0.2%) | |||||||||||
Kimberly-Clark Corp., 3.900%, 05/04/47 | 1,000,000 | 1,233,234 | |||||||||
Personal Care (0.2%) | |||||||||||
The Estee Lauder Cos., Inc., 4.150%, 03/15/47 | 1,000,000 | 1,263,192 | |||||||||
Consumer, Non-cyclical (1.7%) | |||||||||||
Beverages (0.2%) | |||||||||||
Anheuser-Busch InBev Worldwide, Inc., 4.375%, 04/15/38 | 1,000,000 | 1,135,556 | |||||||||
Commercial Service — Finance (0.1%) | |||||||||||
Moody's Corp., 4.875%, 02/15/24 | 250,000 | 282,509 | |||||||||
Diagnostic Equipment (0.4%) | |||||||||||
Abbott Laboratories 3.875%, 09/15/25 | 750,000 | 862,938 | |||||||||
4.750%, 11/30/36 | 1,000,000 | 1,354,652 | |||||||||
4.750%, 04/15/43 | 250,000 | 335,146 | |||||||||
2,552,736 | |||||||||||
Drugstore Chains (0.0%) | |||||||||||
CVS Pass-Through Trust, 6.943%, 01/10/30 | 155,009 | 177,487 | |||||||||
Food (0.4%) | |||||||||||
Mars, Inc., 3.950%, 04/01/49 (d) | 1,000,000 | 1,245,935 | |||||||||
Tyson Foods, Inc., 5.150%, 08/15/44 | 1,000,000 | 1,239,093 | |||||||||
2,485,028 | |||||||||||
Pharmaceuticals (0.6%) | |||||||||||
AbbVie, Inc., 3.800%, 03/15/25 (d) | 670,000 | 743,375 | |||||||||
Bristol-Myers Squibb Co., 3.875%, 08/15/25 (d) | 1,000,000 | 1,137,591 | |||||||||
Novartis Capital Corp., 3.400%, 05/06/24 (c) | 500,000 | 549,800 | |||||||||
Takeda Pharmaceutical Co., Ltd., 5.000%, 11/26/28 (b) | 1,000,000 | 1,238,845 | |||||||||
3,669,611 | |||||||||||
Energy (3.3%) | |||||||||||
Oil & Gas (0.7%) | |||||||||||
Baker Hughes a GE Co. LLC / Baker Hughes Co-Obligor, Inc., 3.337%, 12/15/27 | 1,000,000 | 1,065,470 | |||||||||
BP Capital Markets America, Inc., 4.234%, 11/06/28 | 1,000,000 | 1,161,943 | |||||||||
Cimarex Energy Co., 3.900%, 05/15/27 | 1,000,000 | 1,011,766 |
Principal | Value(a) | ||||||||||
Valero Energy Corp., 4.350%, 06/01/28 | $ | 1,000,000 | $ | 1,131,920 | |||||||
4,371,099 | |||||||||||
Oil, Gas & Consumable Fuels (0.9%) | |||||||||||
Apache Corp., 3.250%, 04/15/22 | 74,000 | 71,607 | |||||||||
Chevron Corp., 3.191%, 06/24/23 (c) | 250,000 | 267,874 | |||||||||
EOG Resources, Inc., 2.625%, 03/15/23 | 250,000 | 261,924 | |||||||||
Marathon Petroleum Corp., 3.625%, 09/15/24 | 750,000 | 799,689 | |||||||||
Noble Energy, Inc., 3.900%, 11/15/24 | 1,000,000 | 1,006,083 | |||||||||
Phillips 66, 4.650%, 11/15/34 | 1,000,000 | 1,183,047 | |||||||||
Total Capital International SA, 3.750%, 04/10/24 (b) | 750,000 | 828,936 | |||||||||
Valero Energy Corp., 3.650%, 03/15/25 | 1,000,000 | 1,085,898 | |||||||||
5,505,058 | |||||||||||
Pipelines (1.7%) | |||||||||||
Columbia Pipeline Group, Inc., 4.500%, 06/01/25 | 1,000,000 | 1,135,927 | |||||||||
Energy Transfer Operating L.P., 4.900%, 03/15/35 | 1,000,000 | 1,004,952 | |||||||||
Enterprise Products Operating LLC, 5.750%, 03/01/35 | 250,000 | 309,183 | |||||||||
Florida Gas Transmission Co. LLC, 4.350%, 07/15/25 (d) | 1,000,000 | 1,122,339 | |||||||||
Kinder Morgan, Inc., 5.300%, 12/01/34 | 750,000 | 872,504 | |||||||||
Magellan Midstream Partners L.P., 4.200%, 10/03/47 | 1,000,000 | 1,018,143 | |||||||||
MPLX L.P., 5.250%, 01/15/25 | 500,000 | 519,914 | |||||||||
Plains All American Pipeline L.P./PAA Finance Corp., 3.850%, 10/15/23 | 250,000 | 259,254 | |||||||||
Southern Natural Gas Co. LLC, 4.800%, 03/15/47 (d) | 1,500,000 | 1,657,176 | |||||||||
Sunoco Logistics Partners Operations L.P., 4.250%, 04/01/24 | 1,000,000 | 1,069,970 | |||||||||
The Williams Cos., Inc. 3.750%, 06/15/27 | 500,000 | 535,307 | |||||||||
4.300%, 03/04/24 | 500,000 | 543,589 | |||||||||
10,048,258 | |||||||||||
Financial (8.8%) | |||||||||||
Banks (3.5%) | |||||||||||
Associated Banc-Corp., 4.250%, 01/15/25 | 750,000 | 786,512 |
See accompanying notes to financial statements.
23
SFT Dynamic Managed Volatility Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Bank of America Corp. 3.950%, 04/21/25 | $ | 1,000,000 | $ | 1,107,311 | |||||||
4.183%, 11/25/27 | 1,000,000 | 1,144,458 | |||||||||
4.244%, 04/24/38 (3-Month USD LIBOR + 1.814%) (e) | 1,000,000 | 1,215,168 | |||||||||
5.700%, 01/24/22 | 250,000 | 270,322 | |||||||||
Barclays Bank PLC, 2.650%, 01/11/21 (b) | 1,000,000 | 1,009,897 | |||||||||
Capital One Financial Corp. 4.250%, 04/30/25 | 1,500,000 | 1,685,496 | |||||||||
4.750%, 07/15/21 | 250,000 | 260,683 | |||||||||
Citigroup, Inc. 3.300%, 04/27/25 | 750,000 | 823,637 | |||||||||
3.980%, 03/20/30 (3-Month USD LIBOR + 1.338%) (e) | 1,000,000 | 1,149,170 | |||||||||
Discover Bank, 4.250%, 03/13/26 | 500,000 | 562,018 | |||||||||
Fifth Third Bank, 3.950%, 07/28/25 | 1,000,000 | 1,143,196 | |||||||||
HSBC Bank USA NA, 4.875%, 08/24/20 | 250,000 | 251,585 | |||||||||
JPMorgan Chase & Co. 3.125%, 01/23/25 | 1,000,000 | 1,089,888 | |||||||||
4.500%, 01/24/22 | 250,000 | 265,321 | |||||||||
KeyBank NA, 3.180%, 10/15/27 | 1,000,000 | 1,036,741 | |||||||||
PNC Bank NA 2.450%, 07/28/22 | 1,000,000 | 1,037,701 | |||||||||
3.800%, 07/25/23 | 250,000 | 271,894 | |||||||||
4.050%, 07/26/28 | 1,000,000 | 1,171,472 | |||||||||
Regions Financial Corp., 3.800%, 08/14/23 | 2,000,000 | 2,174,954 | |||||||||
Synchrony Bank, 3.000%, 06/15/22 | 1,000,000 | 1,021,052 | |||||||||
The Goldman Sachs Group, Inc., 3.850%, 01/26/27 | 1,000,000 | 1,128,015 | |||||||||
Truist Bank, 2.750%, 05/01/23 | 250,000 | 263,655 | |||||||||
20,870,146 | |||||||||||
Capital Markets (0.4%) | |||||||||||
E*TRADE Financial Corp., 2.950%, 08/24/22 | 1,000,000 | 1,041,217 | |||||||||
The Bank of New York Mellon Corp., 3.442%, 02/07/28 (3-Month USD LIBOR + 1.069%) (e) | 1,000,000 | 1,134,426 | |||||||||
2,175,643 | |||||||||||
Diversified Financial Services (1.1%) | |||||||||||
American Express Credit Corp., 3.300%, 05/03/27 | 1,000,000 | 1,134,259 | |||||||||
CME Group, Inc., 3.000%, 03/15/25 | 1,000,000 | 1,103,836 | |||||||||
Discover Financial Services, 3.750%, 03/04/25 | 1,000,000 | 1,076,378 | |||||||||
Eaton Vance Corp., 3.500%, 04/06/27 | 1,000,000 | 1,097,015 | |||||||||
Pine Street Trust I, 4.572%, 02/15/29 (d) | 1,500,000 | 1,710,751 |
Principal | Value(a) | ||||||||||
TD Ameritrade Holding Corp., 2.950%, 04/01/22 | $ | 700,000 | $ | 728,264 | |||||||
6,850,503 | |||||||||||
Insurance (1.6%) | |||||||||||
American Financial Group, Inc., 4.500%, 06/15/47 | 1,000,000 | 1,032,119 | |||||||||
Assured Guaranty US Holdings, Inc., 5.000%, 07/01/24 | 500,000 | 558,340 | |||||||||
First American Financial Corp., 4.600%, 11/15/24 | 750,000 | 808,229 | |||||||||
Liberty Mutual Group, Inc., 4.250%, 06/15/23 (d) | 750,000 | 814,058 | |||||||||
Manulife Financial Corp., 4.150%, 03/04/26 (b) | 750,000 | 881,399 | |||||||||
Marsh & McLennan Cos., Inc., 4.350%, 01/30/47 | 1,000,000 | 1,252,931 | |||||||||
Metropolitan Life Global Funding I, 3.875%, 04/11/22 (d) | 250,000 | 265,087 | |||||||||
Old Republic International Corp., 4.875%, 10/01/24 | 750,000 | 811,127 | |||||||||
Pacific Life Insurance Co., 4.300%, 10/24/67 (3-Month USD LIBOR + 2.796%) (d) (e) | 1,000,000 | 1,040,893 | |||||||||
StanCorp Financial Group, Inc., 5.000%, 08/15/22 | 750,000 | 793,000 | |||||||||
The Hanover Insurance Group, Inc., 4.500%, 04/15/26 | 1,000,000 | 1,096,565 | |||||||||
9,353,748 | |||||||||||
Property / Casualty Insurance (0.2%) | |||||||||||
Arch Capital Finance LLC, 4.011%, 12/15/26 (c) | 1,000,000 | 1,133,211 | |||||||||
Real Estate Investment Trust — Diversified (0.2%) | |||||||||||
Retail Properties of America, Inc., 4.000%, 03/15/25 (c) | 1,000,000 | 973,533 | |||||||||
Real Estate Investment Trust — Health Care (0.8%) | |||||||||||
Healthcare Realty Trust, Inc., 3.875%, 05/01/25 | 1,000,000 | 1,062,289 | |||||||||
Healthcare Trust of America Holdings L.P., 3.750%, 07/01/27 | 1,000,000 | 1,055,189 | |||||||||
Physicians Realty L.P., 4.300%, 03/15/27 | 1,000,000 | 1,041,586 | |||||||||
Welltower, Inc., 4.125%, 03/15/29 | 1,500,000 | 1,670,233 | |||||||||
4,829,297 |
See accompanying notes to financial statements.
24
SFT Dynamic Managed Volatility Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Real Estate Investment Trust — Office Property (0.1%) | |||||||||||
Alexandria Real Estate Equities, Inc., 4.500%, 07/30/29 | $ | 500,000 | $ | 599,037 | |||||||
Real Estate Investment Trust — Residential (0.1%) | |||||||||||
UDR, Inc., 4.000%, 10/01/25 | 750,000 | 836,522 | |||||||||
Real Estate Investment Trust — Shopping Centers (0.0%) | |||||||||||
Retail Opportunity Investments Partnership L.P., 5.000%, 12/15/23 | 250,000 | 256,710 | |||||||||
Real Estate Investment Trust — Single Tenant (0.2%) | |||||||||||
Office Properties Income Trust, 4.500%, 02/01/25 | 750,000 | 729,380 | |||||||||
Tanger Properties L.P., 3.875%, 12/01/23 | 500,000 | 491,306 | |||||||||
1,220,686 | |||||||||||
Real Estate Investment Trust — Storage (0.1%) | |||||||||||
CubeSmart L.P., 4.375%, 12/15/23 | 500,000 | 545,804 | |||||||||
Specialized REITs (0.5%) | |||||||||||
American Tower Corp., 3.375%, 10/15/26 | 1,000,000 | 1,112,219 | |||||||||
Essex Portfolio L.P., 3.500%, 04/01/25 | 1,000,000 | 1,090,212 | |||||||||
Goodman US Finance Four LLC, 4.500%, 10/15/37 (d) | 500,000 | 570,737 | |||||||||
Healthpeak Properties, Inc., 4.250%, 11/15/23 | 13,000 | 14,150 | |||||||||
2,787,318 | |||||||||||
Health Care (1.7%) | |||||||||||
Health Care Providers & Services (0.7%) | |||||||||||
Aetna, Inc., 3.875%, 08/15/47 | 1,000,000 | 1,128,145 | |||||||||
Anthem, Inc., 4.375%, 12/01/47 | 1,000,000 | 1,244,287 | |||||||||
Laboratory Corp. of America Holdings, 4.000%, 11/01/23 | 250,000 | 272,057 | |||||||||
UnitedHealth Group, Inc. 2.750%, 02/15/23 (c) | 250,000 | 263,552 | |||||||||
3.750%, 07/15/25 (c) | 1,000,000 | 1,139,326 | |||||||||
4,047,367 | |||||||||||
Pharmaceuticals (1.0%) | |||||||||||
AbbVie, Inc., 3.600%, 05/14/25 | 1,000,000 | 1,105,772 | |||||||||
Bristol-Myers Squibb Co., 3.250%, 11/01/23 | 500,000 | 543,935 | |||||||||
Cardinal Health, Inc., 3.750%, 09/15/25 | 1,000,000 | 1,115,599 | |||||||||
Eli Lilly & Co., 3.950%, 05/15/47 | 1,000,000 | 1,239,136 | |||||||||
Mead Johnson Nutrition Co., 5.900%, 11/01/39 | 1,000,000 | 1,398,322 |
Principal | Value(a) | ||||||||||
Mylan, Inc., 4.200%, 11/29/23 | $ | 500,000 | $ | 547,079 | |||||||
5,949,843 | |||||||||||
Industrials (3.9%) | |||||||||||
Aerospace & Defense (1.0%) | |||||||||||
General Dynamics Corp., 3.500%, 05/15/25 | 1,000,000 | 1,118,223 | |||||||||
L3Harris Technologies, Inc., 3.832%, 04/27/25 | 1,000,000 | 1,116,057 | |||||||||
Raytheon Technologies Corp. 3.700%, 12/15/23 (d) | 500,000 | 542,531 | |||||||||
4.050%, 05/04/47 | 1,000,000 | 1,195,035 | |||||||||
4.125%, 11/16/28 | 1,500,000 | 1,766,826 | |||||||||
5,738,672 | |||||||||||
Air Freight & Logistics (0.2%) | |||||||||||
FedEx Corp., 4.400%, 01/15/47 | 1,000,000 | 1,059,926 | |||||||||
Building Products (0.2%) | |||||||||||
CRH America Finance, Inc., 4.400%, 05/09/47 (d) | 1,000,000 | 1,079,028 | |||||||||
Containers & Packaging (0.2%) | |||||||||||
Amcor Finance USA, Inc., 4.500%, 05/15/28 | 1,000,000 | 1,149,841 | |||||||||
Electrical Equipment (0.2%) | |||||||||||
Flex. Ltd., 4.750%, 06/15/25 (b) | 1,000,000 | 1,116,309 | |||||||||
Electronic Parts Distributions (0.2%) | |||||||||||
Avnet, Inc., 3.750%, 12/01/21 | 1,500,000 | 1,539,158 | |||||||||
Environmental Control (0.4%) | |||||||||||
Republic Services, Inc., 3.950%, 05/15/28 | 1,000,000 | 1,167,790 | |||||||||
Waste Management, Inc., 3.900%, 03/01/35 | 1,000,000 | 1,183,534 | |||||||||
2,351,324 | |||||||||||
Industrial Conglomerates (0.2%) | |||||||||||
3M Co., 3.625%, 10/15/47 | 1,000,000 | 1,156,233 | |||||||||
Machinery (0.3%) | |||||||||||
Caterpillar Financial Services Corp. 2.850%, 05/17/24 | 1,000,000 | 1,079,883 | |||||||||
3.750%, 11/24/23 (c) | 750,000 | 829,613 | |||||||||
1,909,496 | |||||||||||
Miscellaneous Manufacturing (0.4%) | |||||||||||
Carlisle Cos., Inc., 3.750%, 12/01/27 | 1,000,000 | 1,096,435 | |||||||||
Textron, Inc. 3.875%, 03/01/25 | 750,000 | 798,033 | |||||||||
4.300%, 03/01/24 | 500,000 | 532,803 | |||||||||
2,427,271 |
See accompanying notes to financial statements.
25
SFT Dynamic Managed Volatility Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Road & Rail (0.0%) | |||||||||||
Kansas City Southern, 4.300%, 05/15/43 | $ | 250,000 | $ | 297,045 | |||||||
Transportation (0.2%) | |||||||||||
Burlington Northern Santa Fe LLC, 3.750%, 04/01/24 | 350,000 | 386,823 | |||||||||
Penske Truck Leasing Co. L.P. / PTL Finance Corp., 3.900%, 02/01/24 (d) | 1,000,000 | 1,066,735 | |||||||||
1,453,558 | |||||||||||
Trucking & Leasing (0.4%) | |||||||||||
GATX Corp. 3.250%, 03/30/25 | 1,000,000 | 1,045,116 | |||||||||
4.550%, 11/07/28 | 1,000,000 | 1,106,481 | |||||||||
2,151,597 | |||||||||||
Information Technology (1.2%) | |||||||||||
Communications Equipment (0.3%) | |||||||||||
Juniper Networks, Inc., 4.500%, 03/15/24 | 500,000 | 554,066 | |||||||||
QUALCOMM, Inc., 4.650%, 05/20/35 | 1,000,000 | 1,329,196 | |||||||||
1,883,262 | |||||||||||
Computers (0.2%) | |||||||||||
Apple, Inc., 4.375%, 05/13/45 (c) | 1,000,000 | 1,318,452 | |||||||||
Interactive Media & Services (0.1%) | |||||||||||
eBay, Inc., 3.450%, 08/01/24 | 750,000 | 818,466 | |||||||||
IT Services (0.2%) | |||||||||||
Global Payments, Inc., 4.800%, 04/01/26 | 750,000 | 877,801 | |||||||||
Software (0.4%) | |||||||||||
Fiserv, Inc., 3.850%, 06/01/25 | 1,000,000 | 1,128,926 | |||||||||
Oracle Corp., 3.800%, 11/15/37 | 1,000,000 | 1,153,882 | |||||||||
2,282,808 | |||||||||||
Materials (0.7%) | |||||||||||
Chemicals (0.5%) | |||||||||||
The Dow Chemical Co., 3.500%, 10/01/24 | 750,000 | 809,558 | |||||||||
The Mosaic Co., 5.450%, 11/15/33 | 200,000 | 212,282 | |||||||||
The Sherwin-Williams Co., 3.950%, 01/15/26 | 1,000,000 | 1,128,353 | |||||||||
Yara International ASA, 4.750%, 06/01/28 (b) (d) | 1,000,000 | 1,150,207 | |||||||||
3,300,400 | |||||||||||
Construction Materials (0.2%) | |||||||||||
Vulcan Materials Co., 4.500%, 06/15/47 | 1,000,000 | 1,116,246 |
Principal | Value(a) | ||||||||||
Transportation (0.4%) | |||||||||||
Airlines (0.2%) | |||||||||||
American Airlines 2015-2 Class A Pass Through Trust, 4.000%, 03/22/29 | $ | 810,551 | $ | 667,242 | |||||||
British Airways 2013-1 Class A Pass Through Trust, 4.625%, 12/20/25 (d) | 684,643 | 637,288 | |||||||||
United Airlines 2013-1 Class A Pass Through Trust, 4.300%, 02/15/27 | 181,932 | 170,631 | |||||||||
1,475,161 | |||||||||||
Transport — Rail (0.2%) | |||||||||||
Norfolk Southern Corp., 3.850%, 01/15/24 | 500,000 | 553,441 | |||||||||
Union Pacific Corp., 3.750%, 03/15/24 | 500,000 | 551,077 | |||||||||
1,104,518 | |||||||||||
Utilities (2.5%) | |||||||||||
Electric Utilities (1.2%) | |||||||||||
Ameren Illinois Co., 3.700%, 12/01/47 | 1,000,000 | 1,155,877 | |||||||||
Arizona Public Service Co., 4.350%, 11/15/45 | 1,000,000 | 1,208,519 | |||||||||
Duke Energy Progress LLC, 3.600%, 09/15/47 | 1,000,000 | 1,152,061 | |||||||||
Entergy Louisiana LLC, 3.300%, 12/01/22 | 250,000 | 263,369 | |||||||||
Northern States Power Co., 3.750%, 12/01/47 | 1,000,000 | 1,155,040 | |||||||||
Oglethorpe Power Corp., 4.250%, 04/01/46 | 800,000 | 889,993 | |||||||||
Oklahoma Gas & Electric Co., 4.150%, 04/01/47 | 1,000,000 | 1,164,447 | |||||||||
PPL Capital Funding, Inc., 3.400%, 06/01/23 | 250,000 | 264,702 | |||||||||
7,254,008 | |||||||||||
Electric — Integrated (0.1%) | |||||||||||
Berkshire Hathaway Energy Co., 3.750%, 11/15/23 | 250,000 | 274,758 | |||||||||
Gas Utilities (0.7%) | |||||||||||
National Fuel Gas Co., 4.750%, 09/01/28 | 1,000,000 | 1,015,000 | |||||||||
ONEOK, Inc. 4.000%, 07/13/27 | 500,000 | 506,886 | |||||||||
4.350%, 03/15/29 | 1,500,000 | 1,578,023 | |||||||||
Washington Gas Light Co., 3.796%, 09/15/46 | 1,000,000 | 1,121,609 | |||||||||
4,221,518 | |||||||||||
Multi-Utilities (0.2%) | |||||||||||
Dominion Energy Gas Holdings LLC, 3.550%, 11/01/23 | 250,000 | 268,614 |
See accompanying notes to financial statements.
26
SFT Dynamic Managed Volatility Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
National Fuel Gas Co., 5.200%, 07/15/25 | $ | 1,000,000 | $ | 1,059,008 | |||||||
1,327,622 | |||||||||||
Water Utilities (0.3%) | |||||||||||
American Water Capital Corp., 3.750%, 09/01/47 | 1,000,000 | 1,161,548 | |||||||||
Aquarion Co., 4.000%, 08/15/24 (d) | 500,000 | 550,634 | |||||||||
1,712,182 | |||||||||||
Total corporate obligations (cost: $151,264,582) | 168,913,915 | ||||||||||
Total long-term debt securities (cost: $169,085,526) | 187,579,715 | ||||||||||
Mutual Funds (34.6%) | |||||||||||
Investment Companies (34.6%) | |||||||||||
iShares iBoxx $ Investment Grade Corporate Bond ETF | 44,500 | 5,985,250 | |||||||||
SFT Index 500 Fund (f) | 14,224,618 | 183,405,197 | |||||||||
SPDR S&P 500 ETF Trust (c) | 36,170 | 11,153,381 | |||||||||
Vanguard S&P 500 ETF | 20,175 | 5,718,200 | |||||||||
Total mutual funds (cost: $123,653,386) | 206,262,028 |
Principal | Value(a) | ||||||||||
Short-Term Securities (30.9%) | |||||||||||
Investment Companies (30.9%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | $ | 184,334,888 | $ | 184,334,888 | |||||||
Total short-term securities (cost: $184,334,888) | 184,334,888 | ||||||||||
Total investments excluding purchased options (97.0%) (cost: $477,073,800) | 578,176,631 | ||||||||||
Total purchased options outstanding (0.0%) (cost: $2,225,519) | 116,211 | ||||||||||
Total investments in securities (cost: $479,299,319) (g) | 578,292,842 | ||||||||||
Cash and other assets in excess of liabilities (3.0%) | 17,755,433 | ||||||||||
Total net assets (100.0%) | $ | 596,048,275 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Foreign security: The Fund held 1.4% of net assets in foreign securities at June 30, 2020.
(c) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2020, securities with an aggregate market value of $18,225,182 have been pledged to cover margin requirements for the following open futures contracts:
Description | Expiration Date | Number of Contracts | Position Type | Notional Amount | Market Value | Unrealized Appreciation/ (Depreciation)(a) | |||||||||||||||||||||
10 Year U.S. Ultra | September 2020 | 4 | Short | $ | (618,958 | ) | $ | (629,937 | ) | $ | (10,979 | ) | |||||||||||||||
5 Year U.S. Treasury Note | September 2020 | 56 | Short | (7,016,490 | ) | (7,041,563 | ) | (25,073 | ) | ||||||||||||||||||
S&P Mid 500® E-Mini Index Future | September 2020 | 94 | Long | 15,014,866 | 14,523,940 | (490,926 | ) | ||||||||||||||||||||
U.S. Long Bond | September 2020 | 25 | Short | (4,385,873 | ) | (4,464,063 | ) | (78,190 | ) | ||||||||||||||||||
U.S. Ultra Bond | September 2020 | 10 | Short | (2,111,536 | ) | (2,181,562 | ) | (70,026 | ) | ||||||||||||||||||
$ | 206,815 | $ | (675,194 | ) |
(d) Security sold within terms of a private placement memorandum exempt from registration under Section 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program. This security has been determined to be liquid unless otherwise indicated.
(e) Variable rate security.
(f) Affiliated security.
(g) At June 30, 2020 the cost of investments for federal income tax purposes was $476,488,951. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 101,353,154 | |||||
Gross unrealized depreciation | (275,932 | ) | |||||
Net unrealized appreciation | $ | 101,077,222 |
See accompanying notes to financial statements.
27
SFT Dynamic Managed Volatility Fund
Investments in Securities – continued
Put Options Purchased:
The Fund had the following put options purchased open at June 30, 2020:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
S&P 500 Index | $ | 2,600 | July 2020 | 130 | $ | 13,000 | $ | 46,800 | |||||||||||||||
S&P 500 Index | 2,520 | July 2020 | 130 | 13,000 | 38,025 | ||||||||||||||||||
S&P 500 Index | 2,450 | July 2020 | 130 | 13,000 | 29,250 | ||||||||||||||||||
S&P 500 Index | 2,660 | July 2020 | 54 | 5,400 | 1,080 | ||||||||||||||||||
S&P 500 Index | 2,625 | July 2020 | 66 | 6,600 | 1,056 | ||||||||||||||||||
$ | 116,211 |
Put Options Written:
The Fund had the following put options written open at June 30, 2020:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
S&P 500 Index | $ | 2,170 | July 2020 | 130 | $ | 13,000 | $ | (15,600 | ) | ||||||||||||||
S&P 500 Index | 2,090 | July 2020 | 130 | 13,000 | (12,675 | ) | |||||||||||||||||
S&P 500 Index | 2,020 | July 2020 | 130 | 13,000 | (11,050 | ) | |||||||||||||||||
S&P 500 Index | 2,970 | July 2020 | 54 | 5,400 | (3,240 | ) | |||||||||||||||||
S&P 500 Index | 2,925 | July 2020 | 66 | 6,600 | (8,910 | ) | |||||||||||||||||
$ | (51,475 | ) |
See accompanying notes to financial statements.
28
SFT Government Money Market Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal | Value(a) | ||||||||||
Short-Term Securities (99.9%) | |||||||||||
U.S. Government Obligations (79.0%) | |||||||||||
Discount Notes (79.0%) | |||||||||||
Federal Farm Credit, 0.108%, 07/28/20 (b) | $ | 2,500,000 | $ | 2,499,794 | |||||||
Federal Home Loan Bank 0.060%, 09/23/20 (b) | 20,000,000 | 19,997,200 | |||||||||
0.085%, 07/06/20 (b) | 20,000,000 | 19,999,722 | |||||||||
0.089%, 07/06/20 (b) | 30,665,000 | 30,664,553 | |||||||||
0.094%, 07/13/20 (b) | 1,500,000 | 1,499,950 | |||||||||
0.100%, 07/17/20 (b) | 10,000,000 | 9,999,533 | |||||||||
0.114%, 08/12/20 (b) | 6,600,000 | 6,599,115 | |||||||||
0.119%, 08/12/20 (b) | 1,100,000 | 1,099,846 | |||||||||
0.125%, 09/01/20 (b) | 10,000,000 | 9,997,847 | |||||||||
0.130%, 08/28/20 (b) | 6,513,000 | 6,511,636 | |||||||||
0.147%, 07/29/20 (b) | 6,700,000 | 6,699,218 | |||||||||
0.150%, 09/02/20 (b) | 8,425,000 | 8,422,789 | |||||||||
0.291%, 09/23/20 (b) | 35,000,000 | 34,976,317 | |||||||||
Total U.S. government obligations | 158,967,520 |
Shares | Value(a) | ||||||||||
Investment Companies (20.9%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 42,035,903 | $ | 42,035,903 | ||||||||
Total short-term securities (cost: $201,003,423) | 201,003,423 | ||||||||||
Total investments in securities (cost: $201,003,423) (c) | 201,003,423 | ||||||||||
Cash and other assets in excess of liabilities (0.1%) | 108,122 | ||||||||||
Total net assets (100.0%) | $ | 201,111,545 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Rate represents annualized yield at date of purchase.
(c) Also represents the cost of securities for federal income tax purposes at June 30, 2020.
See accompanying notes to financial statements.
29
SFT Index 400 Mid-Cap Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (96.4%) | |||||||||||
Communication Services (0.1%) | |||||||||||
Wireless Telecommunication Services (0.1%) | |||||||||||
Telephone & Data Systems, Inc. | 9,886 | $ | 196,534 | ||||||||
Consumer Discretionary (15.5%) | |||||||||||
Auto Components (1.3%) | |||||||||||
Adient PLC (b) (c) | 8,832 | 145,021 | |||||||||
Dana, Inc. | 14,632 | 178,364 | |||||||||
Delphi Technologies PLC (b) (c) | 8,736 | 124,139 | |||||||||
Gentex Corp. | 24,800 | 639,096 | |||||||||
Lear Corp. | 5,522 | 602,008 | |||||||||
The Goodyear Tire & Rubber Co. | 23,566 | 210,798 | |||||||||
Visteon Corp. (b) | 2,800 | 191,800 | |||||||||
2,091,226 | |||||||||||
Automobiles (0.6%) | |||||||||||
Harley-Davidson, Inc. | 15,513 | 368,744 | |||||||||
Thor Industries, Inc. | 5,612 | 597,846 | |||||||||
966,590 | |||||||||||
Distributors (0.7%) | |||||||||||
Pool Corp. | 4,041 | 1,098,627 | |||||||||
Diversified Consumer Services (1.2%) | |||||||||||
Adtalem Global Education, Inc. (b) | 5,246 | 163,413 | |||||||||
Graham Holdings Co. – Class B | 458 | 156,943 | |||||||||
Grand Canyon Education, Inc. (b) | 4,791 | 433,729 | |||||||||
Service Corp. International/US | 18,042 | 701,653 | |||||||||
Strategic Education, Inc. | 2,250 | 345,713 | |||||||||
WW International, Inc. (b) | 4,717 | 119,717 | |||||||||
1,921,168 | |||||||||||
Hotels, Restaurants & Leisure (3.3%) | |||||||||||
Boyd Gaming Corp. | 8,101 | 169,311 | |||||||||
Caesars Entertainment Corp. (b) | 56,805 | 689,045 | |||||||||
Choice Hotels International, Inc. | 3,161 | 249,403 | |||||||||
Churchill Downs, Inc. | 3,596 | 478,807 | |||||||||
Cracker Barrel Old Country Store, Inc. | 2,394 | 265,518 | |||||||||
Dunkin' Brands Group, Inc. | 8,316 | 542,453 | |||||||||
Eldorado Resorts, Inc. (b) | 8,427 | 337,586 | |||||||||
Jack in the Box, Inc. | 2,296 | 170,111 | |||||||||
Marriott Vacations Worldwide Corp. | 3,700 | 304,177 | |||||||||
Papa John's International, Inc. | 2,175 | 172,717 | |||||||||
Penn National Gaming, Inc. (b) | 13,081 | 399,494 | |||||||||
Scientific Games Corp. – Class A (b) | 5,504 | 85,092 |
Shares | Value(a) | ||||||||||
Six Flags Entertainment Corp. | 7,939 | $ | 152,508 | ||||||||
Texas Roadhouse, Inc. | 6,584 | 346,121 | |||||||||
The Wendy's Co. | 18,043 | 392,976 | |||||||||
Wyndham Destinations, Inc. | 8,622 | 242,968 | |||||||||
Wyndham Hotels & Resorts, Inc. | 9,428 | 401,821 | |||||||||
5,400,108 | |||||||||||
Household Durables (1.4%) | |||||||||||
Helen of Troy, Ltd. (b) (c) | 2,604 | 491,010 | |||||||||
KB Home | 8,772 | 269,125 | |||||||||
Taylor Morrison Home Corp. (b) | 13,125 | 253,181 | |||||||||
Tempur Sealy International, Inc. (b) | 4,384 | 315,429 | |||||||||
Toll Brothers, Inc. | 11,705 | 381,466 | |||||||||
TopBuild Corp. (b) | 3,370 | 383,405 | |||||||||
TRI Pointe Group, Inc. (b) | 13,190 | 193,761 | |||||||||
2,287,377 | |||||||||||
Internet & Catalog Retail (1.3%) | |||||||||||
Etsy, Inc. (b) | 12,019 | 1,276,779 | |||||||||
GrubHub, Inc. (b) | 9,277 | 652,173 | |||||||||
TripAdvisor, Inc. | 10,204 | 193,978 | |||||||||
2,122,930 | |||||||||||
Leisure Equipment & Products (0.8%) | |||||||||||
Brunswick Corp. | 8,013 | 512,912 | |||||||||
Mattel, Inc. (b) | 35,133 | 339,736 | |||||||||
Polaris, Inc. | 5,760 | 533,088 | |||||||||
1,385,736 | |||||||||||
Media (1.5%) | |||||||||||
AMC Networks, Inc. – Class A (b) | 4,107 | 96,063 | |||||||||
Cable One, Inc. | 548 | 972,618 | |||||||||
Cinemark Holdings, Inc. | 10,837 | 125,167 | |||||||||
John Wiley & Sons, Inc. – Class A | 4,368 | 170,352 | |||||||||
TEGNA, Inc. | 22,132 | 246,550 | |||||||||
The New York Times Co. – Class A | 14,614 | 614,226 | |||||||||
World Wrestling Entertainment, Inc. – Class A | 4,690 | 203,781 | |||||||||
2,428,757 | |||||||||||
Multiline Retail (0.4%) | |||||||||||
Nordstrom, Inc. | 10,971 | 169,941 | |||||||||
Ollie's Bargain Outlet Holdings, Inc. (b) | 5,727 | 559,241 | |||||||||
729,182 | |||||||||||
Specialty Retail (2.1%) | |||||||||||
Aaron's, Inc. | 6,793 | 308,402 | |||||||||
American Eagle Outfitters, Inc. | 15,755 | 171,730 | |||||||||
AutoNation, Inc. (b) | 5,829 | 219,054 | |||||||||
Dick's Sporting Goods, Inc. | 6,528 | 269,345 | |||||||||
Five Below, Inc. (b) | 5,575 | 596,023 |
See accompanying notes to financial statements.
30
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Foot Locker, Inc. | 10,552 | $ | 307,696 | ||||||||
Murphy USA, Inc. (b) | 2,778 | 312,775 | |||||||||
RH (b) | 1,678 | 417,654 | |||||||||
Sally Beauty Holdings, Inc. (b) | 11,431 | 143,231 | |||||||||
Urban Outfitters, Inc. (b) | 7,117 | 108,321 | |||||||||
Williams-Sonoma, Inc. | 7,867 | 645,173 | |||||||||
3,499,404 | |||||||||||
Textiles, Apparel & Luxury Goods (0.9%) | |||||||||||
Carter's, Inc. | 4,416 | 356,371 | |||||||||
Columbia Sportswear Co. | 2,879 | 231,990 | |||||||||
Deckers Outdoor Corp. (b) | 2,872 | 564,032 | |||||||||
Skechers U.S.A., Inc. – Class A (b) | 13,747 | 431,381 | |||||||||
1,583,774 | |||||||||||
Consumer Staples (3.1%) | |||||||||||
Beverages (0.4%) | |||||||||||
The Boston Beer Co., Inc. – Class A (b) | 1,030 | 552,750 | |||||||||
Food & Staples Retailing (0.7%) | |||||||||||
Casey's General Stores, Inc. | 3,714 | 555,317 | |||||||||
Grocery Outlet Holding Corp. (b) | 6,450 | 263,160 | |||||||||
Sprouts Farmers Market, Inc. (b) | 11,929 | 305,263 | |||||||||
1,123,740 | |||||||||||
Food Products (1.6%) | |||||||||||
Flowers Foods, Inc. | 19,499 | 435,998 | |||||||||
Ingredion, Inc. | 6,722 | 557,926 | |||||||||
Lancaster Colony Corp. | 2,053 | 318,194 | |||||||||
Post Holdings, Inc. (b) | 6,490 | 568,654 | |||||||||
Sanderson Farms, Inc. | 2,018 | 233,866 | |||||||||
The Hain Celestial Group, Inc. (b) | 7,950 | 250,504 | |||||||||
Tootsie Roll Industries, Inc. | 1,699 | 58,225 | |||||||||
TreeHouse Foods, Inc. (b) | 5,630 | 246,594 | |||||||||
2,669,961 | |||||||||||
Household Products (0.2%) | |||||||||||
Energizer Holdings, Inc. | 6,447 | 306,168 | |||||||||
Personal Products (0.2%) | |||||||||||
Edgewell Personal Care Co. (b) | 5,419 | 168,856 | |||||||||
Nu Skin Enterprises, Inc. – Class A | 5,256 | 200,937 | |||||||||
369,793 | |||||||||||
Consumer, Non-cyclical (0.3%) | |||||||||||
IT Services (0.3%) | |||||||||||
CoreLogic, Inc. | 8,042 | 540,583 | |||||||||
Energy (1.4%) | |||||||||||
Energy Equipment & Services (0.2%) | |||||||||||
ChampionX Corp. (b) | 18,813 | 183,615 | |||||||||
Transocean, Ltd. (b) (c) | 58,508 | 107,069 | |||||||||
290,684 |
Shares | Value(a) | ||||||||||
Oil, Gas & Consumable Fuels (1.2%) | |||||||||||
Antero Midstream Corp. | 28,472 | $ | 145,207 | ||||||||
Cimarex Energy Co. | 10,340 | 284,247 | |||||||||
CNX Resources Corp. (b) | 18,945 | 163,874 | |||||||||
EQT Corp. | 25,881 | 307,984 | |||||||||
Equitrans Midstream Corp. | 41,162 | 342,056 | |||||||||
Murphy Oil Corp. | 14,793 | 204,144 | |||||||||
PBF Energy, Inc. – Class A | 10,329 | 105,769 | |||||||||
World Fuel Services Corp. | 6,412 | 165,173 | |||||||||
WPX Energy, Inc. (b) | 41,358 | 263,864 | |||||||||
1,982,318 | |||||||||||
Financial (14.7%) | |||||||||||
Capital Markets (2.8%) | |||||||||||
Affiliated Managers Group, Inc. | 4,784 | 356,695 | |||||||||
Eaton Vance Corp. | 11,515 | 444,479 | |||||||||
Evercore, Inc. – Class A | 4,012 | 236,387 | |||||||||
Factset Research Systems, Inc. | 3,836 | 1,260,011 | |||||||||
Federated Hermes, Inc. – Class B | 9,711 | 230,151 | |||||||||
Interactive Brokers Group, Inc. – Class A | 7,762 | 324,219 | |||||||||
Janus Henderson Group PLC (c) | 15,544 | 328,911 | |||||||||
Legg Mason, Inc. | 8,468 | 421,283 | |||||||||
SEI Investments Co. | 12,585 | 691,923 | |||||||||
Stifel Financial Corp. | 6,919 | 328,168 | |||||||||
4,622,227 | |||||||||||
Commercial Banks (5.9%) | |||||||||||
Associated Banc-Corp. | 15,563 | 212,902 | |||||||||
BancorpSouth Bank | 9,750 | 221,715 | |||||||||
Bank of Hawaii Corp. | 4,014 | 246,500 | |||||||||
Bank OZK | 12,243 | 287,343 | |||||||||
Cathay General Bancorp | 7,654 | 201,300 | |||||||||
CIT Group, Inc. | 9,962 | 206,512 | |||||||||
Commerce Bancshares, Inc. | 10,166 | 604,572 | |||||||||
Cullen/Frost Bankers, Inc. | 5,715 | 426,968 | |||||||||
East West Bancorp, Inc. | 14,329 | 519,283 | |||||||||
First Financial Bankshares, Inc. | 14,386 | 415,611 | |||||||||
First Horizon National Corp. | 31,585 | 314,587 | |||||||||
FNB Corp. | 32,719 | 245,392 | |||||||||
Fulton Financial Corp. | 16,386 | 172,545 | |||||||||
Glacier Bancorp, Inc. | 8,985 | 317,081 | |||||||||
Hancock Whitney Corp. | 8,738 | 185,246 | |||||||||
Home BancShares, Inc. | 15,555 | 239,236 | |||||||||
International Bancshares Corp. | 5,639 | 180,561 | |||||||||
PacWest Bancorp | 11,796 | 232,499 | |||||||||
Pinnacle Financial Partners, Inc. | 7,220 | 303,168 | |||||||||
Prosperity Bancshares, Inc. | 9,384 | 557,222 | |||||||||
Signature Bank | 5,425 | 580,041 | |||||||||
Sterling Bancorp | 19,694 | 230,814 | |||||||||
Synovus Financial Corp. | 14,916 | 306,225 | |||||||||
TCF Financial Corp. | 15,405 | 453,215 | |||||||||
Texas Capital Bancshares, Inc. (b) | 5,018 | 154,906 | |||||||||
Trustmark Corp. | 6,423 | 157,492 | |||||||||
UMB Financial Corp. | 4,279 | 220,582 |
See accompanying notes to financial statements.
31
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Umpqua Holdings Corp. | 22,303 | $ | 237,304 | ||||||||
United Bankshares, Inc. | 12,881 | 356,288 | |||||||||
Valley National Bancorp | 39,669 | 310,212 | |||||||||
Webster Financial Corp. | 9,132 | 261,266 | |||||||||
Wintrust Financial Corp. | 5,781 | 252,167 | |||||||||
9,610,755 | |||||||||||
Consumer Finance (0.4%) | |||||||||||
FirstCash, Inc. | 4,196 | 283,146 | |||||||||
Navient Corp. | 17,273 | 121,429 | |||||||||
SLM Corp. | 37,989 | 267,063 | |||||||||
671,638 | |||||||||||
Diversified Financial Services (0.2%) | |||||||||||
Jefferies Financial Group, Inc. | 22,870 | 355,628 | |||||||||
Diversified REITs (0.2%) | |||||||||||
PS Business Parks, Inc. | 1,977 | 261,755 | |||||||||
Insurance (4.4%) | |||||||||||
Alleghany Corp. (b) (d) | 1,482 | 724,905 | |||||||||
American Financial Group, Inc. | 7,544 | 478,742 | |||||||||
Brighthouse Financial, Inc. (b) | 9,504 | 264,401 | |||||||||
Brown & Brown, Inc. | 23,823 | 971,025 | |||||||||
CNO Financial Group, Inc. | 14,545 | 226,466 | |||||||||
First American Financial Corp. | 11,284 | 541,858 | |||||||||
Genworth Financial, Inc. – Class A (b) | 50,975 | 117,752 | |||||||||
Kemper Corp. | 6,212 | 450,494 | |||||||||
Mercury General Corp. | 2,714 | 110,596 | |||||||||
Old Republic International Corp. | 28,940 | 472,011 | |||||||||
Primerica, Inc. | 4,130 | 481,558 | |||||||||
Reinsurance Group of America, Inc. | 6,868 | 538,726 | |||||||||
RenaissanceRe Holdings, Ltd. (c) | 5,131 | 877,555 | |||||||||
RLI Corp. | 4,000 | 328,400 | |||||||||
Selective Insurance Group, Inc. | 5,959 | 314,278 | |||||||||
The Hanover Insurance Group, Inc. | 3,848 | 389,918 | |||||||||
7,288,685 | |||||||||||
Thrifts & Mortgage Finance (0.8%) | |||||||||||
Essent Group, Ltd. (c) | 11,203 | 406,333 | |||||||||
LendingTree, Inc. (b) | 810 | 234,520 | |||||||||
New York Community Bancorp, Inc. | 46,986 | 479,257 | |||||||||
Washington Federal, Inc. | 7,667 | 205,782 | |||||||||
1,325,892 | |||||||||||
Health Care (10.7%) | |||||||||||
Biotechnology (1.5%) | |||||||||||
Arrowhead Pharmaceuticals, Inc. (b) | 10,277 | 443,864 | |||||||||
Exelixis, Inc. (b) | 31,058 | 737,317 | |||||||||
Ligand Pharmaceuticals, Inc. (b) | 1,603 | 179,295 |
Shares | Value(a) | ||||||||||
Repligen Corp. (b) | 4,711 | $ | 582,327 | ||||||||
United Therapeutics Corp. (b) | 4,449 | 538,329 | |||||||||
2,481,132 | |||||||||||
Health Care Equipment & Supplies (3.5%) | |||||||||||
Avanos Medical, Inc. (b) | 4,749 | 139,573 | |||||||||
Cantel Medical Corp. | 3,713 | 164,226 | |||||||||
Globus Medical, Inc. – Class A (b) | 7,663 | 365,602 | |||||||||
Haemonetics Corp. (b) | 5,067 | 453,800 | |||||||||
Hill-Rom Holdings, Inc. | 6,731 | 738,929 | |||||||||
ICU Medical, Inc. (b) | 1,993 | 367,330 | |||||||||
Integra LifeSciences Holdings Corp. (b) | 7,132 | 335,133 | |||||||||
LivaNova PLC (b) (c) | 4,920 | 236,800 | |||||||||
Masimo Corp. (b) | 5,089 | 1,160,241 | |||||||||
NuVasive, Inc. (b) | 5,190 | 288,875 | |||||||||
Penumbra, Inc. (b) | 3,320 | 593,682 | |||||||||
Quidel Corp. (b) | 3,871 | 866,098 | |||||||||
5,710,289 | |||||||||||
Health Care Providers & Services (2.9%) | |||||||||||
Acadia Healthcare Co., Inc. (b) | 8,984 | 225,678 | |||||||||
Amedisys, Inc. (b) | 3,238 | 642,872 | |||||||||
Chemed Corp. | 1,652 | 745,168 | |||||||||
Encompass Health Corp. | 10,022 | 620,662 | |||||||||
HealthEquity, Inc. (b) | 7,226 | 423,949 | |||||||||
LHC Group, Inc. (b) | 3,000 | 522,960 | |||||||||
Mednax, Inc. (b) | 8,636 | 147,676 | |||||||||
Molina Healthcare, Inc. (b) | 5,996 | 1,067,168 | |||||||||
Patterson Cos., Inc. | 8,721 | 191,862 | |||||||||
Tenet Healthcare Corp. (b) | 10,532 | 190,735 | |||||||||
4,778,730 | |||||||||||
Life Sciences Tools & Services (1.7%) | |||||||||||
Bio-Techne Corp. | 3,849 | 1,016,406 | |||||||||
Charles River Laboratories International, Inc. (b) | 5,063 | 882,734 | |||||||||
PRA Health Sciences, Inc. (b) | 6,414 | 624,018 | |||||||||
Syneos Health, Inc. (b) | 6,241 | 363,538 | |||||||||
2,886,696 | |||||||||||
Pharmaceuticals (1.1%) | |||||||||||
Catalent, Inc. (b) | 16,457 | 1,206,298 | |||||||||
Nektar Therapeutics (b) | 17,960 | 415,954 | |||||||||
Prestige Consumer Healthcare, Inc. (b) | 5,012 | 188,251 | |||||||||
1,810,503 | |||||||||||
Industrials (15.3%) | |||||||||||
Aerospace & Defense (1.1%) | |||||||||||
Axon Enterprise, Inc. (b) | 6,357 | 623,813 | |||||||||
Curtiss-Wright Corp. | 4,218 | 376,583 | |||||||||
Hexcel Corp. | 8,455 | 382,335 | |||||||||
Mercury Systems, Inc. (b) | 5,550 | 436,563 | |||||||||
1,819,294 | |||||||||||
Air Freight & Logistics (0.4%) | |||||||||||
XPO Logistics, Inc. (b) | 9,229 | 712,940 |
See accompanying notes to financial statements.
32
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Airlines (0.2%) | |||||||||||
JetBlue Airways Corp. (b) | 27,315 | $ | 297,733 | ||||||||
Building Products (1.3%) | |||||||||||
Lennox International, Inc. | 3,525 | 821,290 | |||||||||
Owens Corning | 10,922 | 609,011 | |||||||||
Trex Co., Inc. (b) | 5,859 | 762,080 | |||||||||
2,192,381 | |||||||||||
Commercial Services & Supplies (1.6%) | |||||||||||
Clean Harbors, Inc. (b) | 5,131 | 307,758 | |||||||||
Deluxe Corp. | 4,222 | 99,386 | |||||||||
Healthcare Services Group, Inc. | 7,489 | 183,181 | |||||||||
Herman Miller, Inc. | 5,926 | 139,913 | |||||||||
HNI Corp. | 4,248 | 129,861 | |||||||||
KAR Auction Services, Inc. | 13,086 | 180,063 | |||||||||
MSA Safety, Inc. | 3,595 | 411,412 | |||||||||
Stericycle, Inc. (b) | 9,253 | 517,983 | |||||||||
Tetra Tech, Inc. | 5,469 | 432,707 | |||||||||
The Brink's Co. | 5,087 | 231,509 | |||||||||
2,633,773 | |||||||||||
Construction & Engineering (1.3%) | |||||||||||
AECOM (b) | 16,126 | 606,015 | |||||||||
Dycom Industries, Inc. (b) | 3,167 | 129,499 | |||||||||
EMCOR Group, Inc. | 5,554 | 367,341 | |||||||||
Fluor Corp. | 14,196 | 171,488 | |||||||||
KBR, Inc. | 14,411 | 324,968 | |||||||||
MasTec, Inc. (b) | 5,900 | 264,733 | |||||||||
Valmont Industries, Inc. | 2,144 | 243,601 | |||||||||
2,107,645 | |||||||||||
Electrical Equipment (2.0%) | |||||||||||
Acuity Brands, Inc. | 3,939 | 377,120 | |||||||||
Belden, Inc. | 3,808 | 123,950 | |||||||||
EnerSys | 4,207 | 270,847 | |||||||||
Generac Holdings, Inc. (b) | 6,310 | 769,378 | |||||||||
Hubbell, Inc. | 5,444 | 682,460 | |||||||||
nVent Electric PLC (c) | 15,826 | 296,421 | |||||||||
Regal Beloit Corp. | 4,103 | 358,274 | |||||||||
Woodward, Inc. | 5,738 | 444,982 | |||||||||
3,323,432 | |||||||||||
Industrial Conglomerates (0.4%) | |||||||||||
Carlisle Cos., Inc. | 5,561 | 665,485 | |||||||||
Machinery (4.2%) | |||||||||||
AGCO Corp. | 6,293 | 349,010 | |||||||||
Colfax Corp. (b) | 8,467 | 236,229 | |||||||||
Crane Co. | 4,991 | 296,765 | |||||||||
Donaldson Co., Inc. | 12,774 | 594,246 | |||||||||
Graco, Inc. | 16,872 | 809,687 | |||||||||
ITT, Inc. | 8,740 | 513,388 | |||||||||
Kennametal, Inc. | 8,355 | 239,872 | |||||||||
Lincoln Electric Holdings, Inc. | 6,014 | 506,619 | |||||||||
Nordson Corp. | 5,199 | 986,302 | |||||||||
Oshkosh Corp. | 6,887 | 493,247 | |||||||||
Terex Corp. | 6,457 | 121,198 | |||||||||
The Middleby Corp. (b) | 5,629 | 444,353 | |||||||||
The Timken Co. | 6,842 | 311,243 | |||||||||
The Toro Co. | 10,844 | 719,391 | |||||||||
Trinity Industries, Inc. | 9,547 | 203,256 | |||||||||
6,824,806 |
Shares | Value(a) | ||||||||||
Marine (0.2%) | |||||||||||
Kirby Corp. (b) | 6,014 | $ | 322,110 | ||||||||
Professional Services (0.9%) | |||||||||||
ASGN, Inc. (b) | 5,288 | 352,604 | |||||||||
FTI Consulting, Inc. (b) | 3,757 | 430,364 | |||||||||
Insperity, Inc. | 3,690 | 238,854 | |||||||||
Manpowergroup, Inc. | 5,879 | 404,181 | |||||||||
1,426,003 | |||||||||||
Road & Rail (0.9%) | |||||||||||
Avis Budget Group, Inc. (b) | 5,424 | 124,155 | |||||||||
Knight-Swift Transportation Holdings, Inc. | 12,383 | 516,495 | |||||||||
Landstar System, Inc. | 3,886 | 436,437 | |||||||||
Ryder System, Inc. | 5,433 | 203,792 | |||||||||
Werner Enterprises, Inc. | 5,794 | 252,213 | |||||||||
1,533,092 | |||||||||||
Trading Companies & Distributors (0.8%) | |||||||||||
GATX Corp. | 3,503 | 213,613 | |||||||||
MSC Industrial Direct Co., Inc. – Class A | 4,569 | 332,669 | |||||||||
Univar Solutions, Inc. (b) | 14,026 | 236,478 | |||||||||
Watsco, Inc. | 3,283 | 583,389 | |||||||||
1,366,149 | |||||||||||
Information Technology (15.5%) | |||||||||||
Communications Equipment (1.2%) | |||||||||||
Ciena Corp. (b) | 15,560 | 842,730 | |||||||||
InterDigital, Inc. | 3,029 | 171,532 | |||||||||
Lumentum Holdings, Inc. (b) | 7,585 | 617,647 | |||||||||
NetScout Systems, Inc. (b) | 6,436 | 164,504 | |||||||||
ViaSat, Inc. (b) | 5,877 | 225,500 | |||||||||
2,021,913 | |||||||||||
Computers & Peripherals (0.1%) | |||||||||||
NCR Corp. (b) | 12,943 | 224,173 | |||||||||
Electronic Equipment, Instruments & Components (3.5%) | |||||||||||
Arrow Electronics, Inc. (b) | 7,967 | 547,253 | |||||||||
Avnet, Inc. | 10,002 | 278,906 | |||||||||
Cognex Corp. | 17,388 | 1,038,411 | |||||||||
Coherent, Inc. (b) | 2,488 | 325,878 | |||||||||
II-VI, Inc. (b) | 8,788 | 414,969 | |||||||||
Jabil, Inc. | 13,890 | 445,591 | |||||||||
Littelfuse, Inc. | 2,450 | 418,044 | |||||||||
National Instruments Corp. | 11,903 | 460,765 | |||||||||
SYNNEX Corp. | 4,139 | 495,728 | |||||||||
Trimble, Inc. (b) | 25,295 | 1,092,491 | |||||||||
Vishay Intertechnology, Inc. | 13,424 | 204,985 | |||||||||
5,723,021 | |||||||||||
Interactive Media & Services (0.5%) | |||||||||||
j2 Global, Inc. | 4,590 | 290,134 | |||||||||
LogMeIn, Inc. | 4,911 | 416,305 | |||||||||
Yelp, Inc. (b) | 6,558 | 151,687 | |||||||||
858,126 | |||||||||||
IT Services (2.1%) | |||||||||||
Alliance Data Systems Corp. | 4,293 | 193,700 | |||||||||
CACI International, Inc. – Class A (b) | 2,581 | 559,767 |
See accompanying notes to financial statements.
33
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
LiveRamp Holdings, Inc. (b) | 6,617 | $ | 281,024 | ||||||||
MAXIMUS, Inc. | 6,209 | 437,424 | |||||||||
Perspecta, Inc. | 13,824 | 321,132 | |||||||||
Sabre Corp. | 27,904 | 224,906 | |||||||||
Science Applications International Corp. | 4,988 | 387,468 | |||||||||
Teradata Corp. (b) | 10,988 | 228,551 | |||||||||
WEX, Inc. (b) | 4,389 | 724,229 | |||||||||
3,358,201 | |||||||||||
Semiconductors & Semiconductor Equipment (4.6%) | |||||||||||
Cabot Microelectronics Corp. | 2,888 | 402,991 | |||||||||
Cirrus Logic, Inc. (b) | 5,831 | 360,239 | |||||||||
Cree, Inc. (b) | 10,898 | 645,053 | |||||||||
Enphase Energy, Inc. (b) | 8,150 | 387,695 | |||||||||
First Solar, Inc. (b) | 7,672 | 379,764 | |||||||||
MKS Instruments, Inc. | 5,552 | 628,708 | |||||||||
Monolithic Power Systems, Inc. | 4,272 | 1,012,464 | |||||||||
Semtech Corp. (b) | 6,598 | 344,548 | |||||||||
Silicon Laboratories, Inc. (b) | 4,396 | 440,787 | |||||||||
SolarEdge Technologies, Inc. (b) | 5,070 | 703,615 | |||||||||
Synaptics, Inc. (b) | 3,414 | 205,250 | |||||||||
Teradyne, Inc. | 16,788 | 1,418,754 | |||||||||
Universal Display Corp. | 4,294 | 642,468 | |||||||||
7,572,336 | |||||||||||
Software (3.5%) | |||||||||||
ACI Worldwide, Inc. (b) | 11,742 | 316,917 | |||||||||
Blackbaud, Inc. | 5,001 | 285,457 | |||||||||
CDK Global, Inc. | 12,308 | 509,797 | |||||||||
Ceridian HCM Holding, Inc. (b) | 10,280 | 814,896 | |||||||||
CommVault Systems, Inc. (b) | 4,212 | 163,004 | |||||||||
Fair Isaac Corp. (b) | 2,998 | 1,253,284 | |||||||||
Manhattan Associates, Inc. (b) | 6,431 | 605,800 | |||||||||
Paylocity Holding Corp. (b) | 3,680 | 536,875 | |||||||||
PTC, Inc. (b) | 10,545 | 820,296 | |||||||||
Qualys, Inc. (b) | 3,393 | 352,940 | |||||||||
5,659,266 | |||||||||||
Leisure and Consumer Staples (0.6%) | |||||||||||
Food & Staples Retailing (0.3%) | |||||||||||
BJ's Wholesale Club Holdings, Inc. (b) | 12,410 | 462,521 | |||||||||
Food Products (0.3%) | |||||||||||
Darling Ingredients, Inc. (b) | 16,613 | 409,012 | |||||||||
Pilgrim's Pride Corp. (b) | 5,231 | 88,351 | |||||||||
497,363 | |||||||||||
Materials (5.8%) | |||||||||||
Chemicals (2.5%) | |||||||||||
Ashland Global Holdings, Inc. | 6,078 | 419,990 | |||||||||
Cabot Corp. | 5,717 | 211,815 | |||||||||
Ingevity Corp. (b) | 4,142 | 217,745 | |||||||||
Minerals Technologies, Inc. | 3,437 | 161,298 | |||||||||
NewMarket Corp. | 728 | 291,550 |
Shares | Value(a) | ||||||||||
Olin Corp. | 15,986 | $ | 183,679 | ||||||||
PolyOne Corp. | 9,175 | 240,660 | |||||||||
RPM International, Inc. | 13,114 | 984,337 | |||||||||
Sensient Technologies Corp. | 4,190 | 218,550 | |||||||||
The Chemours Co. | 16,631 | 255,286 | |||||||||
The Scotts Miracle-Gro Co. | 3,987 | 536,132 | |||||||||
Valvoline, Inc. | 18,739 | 362,225 | |||||||||
4,083,267 | |||||||||||
Construction Materials (0.2%) | |||||||||||
Eagle Materials, Inc. | 4,159 | 292,045 | |||||||||
Containers & Packaging (1.1%) | |||||||||||
Aptargroup, Inc. | 6,444 | 721,599 | |||||||||
Greif, Inc. – Class A | 2,624 | 90,292 | |||||||||
O-I Glass, Inc. | 15,857 | 142,396 | |||||||||
Silgan Holdings, Inc. | 7,860 | 254,585 | |||||||||
Sonoco Products Co. | 10,161 | 531,319 | |||||||||
1,740,191 | |||||||||||
Metals & Mining (1.8%) | |||||||||||
Allegheny Technologies, Inc. (b) | 12,824 | 130,677 | |||||||||
Carpenter Technology Corp. | 4,745 | 115,209 | |||||||||
Commercial Metals Co. | 12,034 | 245,494 | |||||||||
Compass Minerals International, Inc. | 3,415 | 166,481 | |||||||||
Reliance Steel & Aluminum Co. | 6,445 | 611,824 | |||||||||
Royal Gold, Inc. | 6,601 | 820,636 | |||||||||
Steel Dynamics, Inc. | 21,302 | 555,769 | |||||||||
United States Steel Corp. (d) | 22,292 | 160,948 | |||||||||
Worthington Industries, Inc. | 3,644 | 135,921 | |||||||||
2,942,959 | |||||||||||
Paper & Forest Products (0.2%) | |||||||||||
Domtar Corp. | 5,589 | 117,984 | |||||||||
Louisiana-Pacific Corp. | 11,364 | 291,486 | |||||||||
409,470 | |||||||||||
Real Estate (9.4%) | |||||||||||
Health Care REITs (1.5%) | |||||||||||
Healthcare Realty Trust, Inc. | 13,629 | 399,194 | |||||||||
Medical Properties Trust, Inc. | 53,508 | 1,005,950 | |||||||||
Omega Healthcare Investors, Inc. | 22,980 | 683,195 | |||||||||
Physicians Realty Trust | 20,514 | 359,405 | |||||||||
2,447,744 | |||||||||||
Hotels & Resort REITs (0.3%) | |||||||||||
Park Hotels & Resorts, Inc. | 23,860 | 235,975 | |||||||||
Pebblebrook Hotel Trust | 13,242 | 180,886 | |||||||||
Service Properties Trust | 16,667 | 118,169 | |||||||||
535,030 | |||||||||||
Industrial REITs (0.6%) | |||||||||||
EastGroup Properties, Inc. | 3,896 | 462,105 | |||||||||
First Industrial Realty Trust, Inc. | 12,883 | 495,222 | |||||||||
957,327 |
See accompanying notes to financial statements.
34
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Office REITs (1.9%) | |||||||||||
Corporate Office Properties Trust | 11,360 | $ | 287,862 | ||||||||
Cousins Properties, Inc. | 14,966 | 446,436 | |||||||||
Douglas Emmett, Inc. | 16,696 | 511,899 | |||||||||
Highwoods Properties, Inc. | 10,521 | 392,749 | |||||||||
Hudson Pacific Properties, Inc. | 15,525 | 390,609 | |||||||||
JBG SMITH Properties | 11,907 | 352,090 | |||||||||
Kilroy Realty Corp. | 10,722 | 629,382 | |||||||||
Mack-Cali Realty Corp. | 9,175 | 140,286 | |||||||||
3,151,313 | |||||||||||
Real Estate Management & Development (0.3%) | |||||||||||
Jones Lang LaSalle, Inc. | 5,229 | 540,992 | |||||||||
Residential REITs (0.9%) | |||||||||||
American Campus Communities, Inc. | 13,936 | 487,203 | |||||||||
Camden Property Trust | 9,841 | 897,696 | |||||||||
1,384,899 | |||||||||||
Retail REITs (1.3%) | |||||||||||
Brixmor Property Group, Inc. | 30,023 | 384,895 | |||||||||
National Retail Properties, Inc. | 17,416 | 617,920 | |||||||||
Spirit Realty Capital, Inc. | 10,425 | 363,416 | |||||||||
Taubman Centers, Inc. | 6,150 | 232,224 | |||||||||
The Macerich Co. | 11,775 | 105,622 | |||||||||
Urban Edge Properties | 11,212 | 133,086 | |||||||||
Weingarten Realty Investors | 12,195 | 230,851 | |||||||||
2,068,014 | |||||||||||
Specialized REITs (2.6%) | |||||||||||
CoreCivic, Inc. | 12,115 | 113,396 | |||||||||
CoreSite Realty Corp. | 4,047 | 489,930 | |||||||||
CyrusOne, Inc. | 11,621 | 845,428 | |||||||||
EPR Properties | 7,847 | 259,971 | |||||||||
Lamar Advertising Co. – Class A | 8,717 | 581,947 | |||||||||
Life Storage, Inc. | 4,739 | 449,968 | |||||||||
PotlatchDeltic Corp. | 6,770 | 257,463 | |||||||||
Rayonier, Inc. | 14,023 | 347,630 | |||||||||
Sabra Health Care REIT, Inc. | 20,818 | 300,404 | |||||||||
STORE Capital Corp. | 22,534 | 536,535 | |||||||||
The GEO Group, Inc. | 12,291 | 145,402 | |||||||||
4,328,074 | |||||||||||
Utilities (4.0%) | |||||||||||
Electric Utilities (0.9%) | |||||||||||
ALLETE, Inc. | 5,159 | 281,733 | |||||||||
Hawaiian Electric Industries, Inc. | 11,054 | 398,607 | |||||||||
IDACORP, Inc. | 5,028 | 439,296 | |||||||||
PNM Resources, Inc. | 8,063 | 309,942 | |||||||||
1,429,578 |
Shares | Value(a) | ||||||||||
Gas Utilities (1.5%) | |||||||||||
National Fuel Gas Co. | 9,151 | $ | 383,702 | ||||||||
New Jersey Resources Corp. | 9,697 | 316,607 | |||||||||
ONE Gas, Inc. | 5,271 | 406,131 | |||||||||
Southwest Gas Holdings, Inc. | 5,535 | 382,192 | |||||||||
Spire, Inc. | 5,171 | 339,786 | |||||||||
UGI Corp. | 21,093 | 670,757 | |||||||||
2,499,175 | |||||||||||
Multi-Utilities (1.0%) | |||||||||||
Black Hills Corp. | 6,355 | 360,074 | |||||||||
MDU Resources Group, Inc. | 20,308 | 450,432 | |||||||||
NorthWestern Corp. | 5,033 | 274,399 | |||||||||
OGE Energy Corp. | 20,272 | 615,458 | |||||||||
1,700,363 | |||||||||||
Water Utilities (0.6%) | |||||||||||
Essential Utilities, Inc. | 22,583 | 953,906 | |||||||||
Total common stocks (cost: $136,983,714) | 158,417,450 | ||||||||||
Shares/ Principal | |||||||||||
Short-Term Securities (3.5%) | |||||||||||
Investment Companies (2.9%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 4,820,150 | 4,820,150 | |||||||||
U.S. Government Obligations (0.6%) | |||||||||||
U.S. Treasury Bill, current rate 0.000%, 05/20/21 (d) | 1,000,000 | 998,497 | |||||||||
Total short-term securities (cost: $5,818,701) | 5,818,647 | ||||||||||
Total investments in securities (cost: $142,802,415) (e) | 164,236,097 | ||||||||||
Cash and other assets in excess of liabilities (0.1%) | 164,709 | ||||||||||
Total net assets (100.0%) | $ | 164,400,806 |
See accompanying notes to financial statements.
35
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 1.8% of net assets in foreign securities at June 30, 2020.
(d) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2020, securities with an aggregate market value of $1,750,396 have been pledged to cover margin requirements for the following open futures contracts:
Description | Expiration Date | Number of Contracts | Position Type | Notional Amount | Market Value | Unrealized Appreciation/ (Depreciation)(a) | |||||||||||||||||||||
S&P Mid 400® E-Mini Index Future | September 2020 | 33 | Long | $ | 6,111,118 | $ | 5,871,030 | $ | (240,088 | ) |
(e) At June 30, 2020 the cost of investments for federal income tax purposes was $142,860,621. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 43,163,564 | |||||
Gross unrealized depreciation | (22,028,176 | ) | |||||
Net unrealized appreciation | $ | 21,135,388 |
See accompanying notes to financial statements.
36
SFT Index 500 Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (98.2%) | |||||||||||
Communication Services (2.1%) | |||||||||||
Diversified Telecommunication Services (1.8%) | |||||||||||
AT&T, Inc. | 230,444 | $ | 6,966,322 | ||||||||
CenturyLink, Inc. | 31,882 | 319,776 | |||||||||
Verizon Communications, Inc. | 133,835 | 7,378,324 | |||||||||
14,664,422 | |||||||||||
Media (0.1%) | |||||||||||
Fox Corp. – Class A | 11,082 | 297,219 | |||||||||
Fox Corp. – Class B | 5,150 | 138,226 | |||||||||
ViacomCBS, Inc. – Class B | 17,459 | 407,144 | |||||||||
842,589 | |||||||||||
Wireless Telecommunication Services (0.2%) | |||||||||||
T-Mobile US, Inc. – Class A (b) | 18,440 | 1,920,526 | |||||||||
T-Mobile US, Inc. – Rights, Exp 07/27/20 (b) | 12,370 | 2,078 | |||||||||
1,922,604 | |||||||||||
Consumer Discretionary (13.2%) | |||||||||||
Auto Components (0.1%) | |||||||||||
Aptiv PLC (c) | 8,662 | 674,943 | |||||||||
BorgWarner, Inc. | 6,642 | 234,463 | |||||||||
909,406 | |||||||||||
Automobiles (0.2%) | |||||||||||
Ford Motor Co. | 126,338 | 768,135 | |||||||||
General Motors Co. | 40,731 | 1,030,494 | |||||||||
1,798,629 | |||||||||||
Distributors (0.1%) | |||||||||||
Genuine Parts Co. | 4,610 | 400,886 | |||||||||
LKQ Corp. (b) | 9,831 | 257,572 | |||||||||
658,458 | |||||||||||
Diversified Consumer Services (0.0%) | |||||||||||
H&R Block, Inc. | 6,152 | 87,851 | |||||||||
Entertainment (0.8%) | |||||||||||
The Walt Disney Co. | 58,420 | 6,514,414 | |||||||||
Hotels & Resort REITs (0.1%) | |||||||||||
Hilton Worldwide Holdings, Inc. | 8,967 | 658,626 | |||||||||
Hotels, Restaurants & Leisure (1.4%) | |||||||||||
Carnival Corp. (c) | 15,322 | 251,587 | |||||||||
Chipotle Mexican Grill, Inc. (b) | 859 | 903,977 | |||||||||
Darden Restaurants, Inc. | 4,138 | 313,536 | |||||||||
Domino's Pizza, Inc. | 1,270 | 469,189 | |||||||||
Las Vegas Sands Corp. | 10,868 | 494,929 | |||||||||
Marriott International, Inc. – Class A | 8,689 | 744,908 | |||||||||
McDonald's Corp. | 24,049 | 4,436,319 | |||||||||
MGM Resorts International | 15,952 | 267,994 | |||||||||
Norwegian Cruise Line Holdings, Ltd. (b) (c) | 8,291 | 136,221 |
Shares | Value(a) | ||||||||||
Royal Caribbean Cruises, Ltd. (c) | 5,476 | $ | 275,443 | ||||||||
Starbucks Corp. | 37,779 | 2,780,157 | |||||||||
Wynn Resorts, Ltd. | 3,055 | 227,567 | |||||||||
Yum! Brands, Inc. | 9,727 | 845,373 | |||||||||
12,147,200 | |||||||||||
Household Durables (0.4%) | |||||||||||
DR Horton, Inc. | 10,699 | 593,260 | |||||||||
Garmin, Ltd. (c) | 4,656 | 453,960 | |||||||||
Leggett & Platt, Inc. | 4,219 | 148,298 | |||||||||
Lennar Corp. – Class A | 8,881 | 547,247 | |||||||||
Mohawk Industries, Inc. (b) | 1,913 | 194,667 | |||||||||
Newell Brands, Inc. | 12,281 | 195,022 | |||||||||
NVR, Inc. (b) | 125 | 407,344 | |||||||||
PulteGroup, Inc. | 8,149 | 277,310 | |||||||||
Whirlpool Corp. | 1,935 | 250,641 | |||||||||
3,067,749 | |||||||||||
Internet & Catalog Retail (5.5%) | |||||||||||
Amazon.com, Inc. (b) | 13,552 | 37,387,529 | |||||||||
Booking Holdings, Inc. (b) | 1,324 | 2,108,258 | |||||||||
Expedia Group, Inc. | 4,381 | 360,118 | |||||||||
Netflix, Inc. (b) | 14,240 | 6,479,770 | |||||||||
46,335,675 | |||||||||||
Leisure Equipment & Products (0.0%) | |||||||||||
Hasbro, Inc. | 4,035 | 302,423 | |||||||||
Media (1.2%) | |||||||||||
Charter Communications, Inc. – Class A (b) | 4,875 | 2,486,445 | |||||||||
Comcast Corp. – Class A | 147,313 | 5,742,261 | |||||||||
Discovery, Inc. – Class A (b) | 5,112 | 107,863 | |||||||||
Discovery, Inc. – Class C (b) | 10,231 | 197,049 | |||||||||
DISH Network Corp. – Class A (b) | 8,218 | 283,603 | |||||||||
Live Nation Entertainment, Inc. (b) | 4,529 | 200,771 | |||||||||
News Corp. – Class A | 12,525 | 148,547 | |||||||||
News Corp. – Class B | 3,893 | 46,521 | |||||||||
Omnicom Group, Inc. | 6,912 | 377,395 | |||||||||
The Interpublic Group of Cos., Inc. | 12,598 | 216,182 | |||||||||
9,806,637 | |||||||||||
Multiline Retail (0.5%) | |||||||||||
Dollar General Corp. | 8,141 | 1,550,942 | |||||||||
Dollar Tree, Inc. (b) | 7,654 | 709,372 | |||||||||
Kohl's Corp. | 5,049 | 104,868 | |||||||||
Target Corp. | 16,172 | 1,939,508 | |||||||||
4,304,690 | |||||||||||
Specialty Retail (2.3%) | |||||||||||
Advance Auto Parts, Inc. | 2,199 | 313,247 | |||||||||
AutoZone, Inc. (b) | 755 | 851,731 | |||||||||
Best Buy Co., Inc. | 7,342 | 640,736 | |||||||||
CarMax, Inc. (b) | 5,166 | 462,615 | |||||||||
L Brands, Inc. | 7,504 | 112,335 | |||||||||
Lowe's Cos., Inc. | 24,419 | 3,299,495 | |||||||||
O'Reilly Automotive, Inc. (b) | 2,472 | 1,042,368 |
See accompanying notes to financial statements.
37
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Ross Stores, Inc. | 11,494 | $ | 979,749 | ||||||||
The Gap, Inc. | 6,800 | 85,816 | |||||||||
The Home Depot, Inc. | 34,786 | 8,714,241 | |||||||||
The TJX Cos., Inc. | 38,743 | 1,958,846 | |||||||||
Tiffany & Co. | 3,454 | 421,181 | |||||||||
Tractor Supply Co. | 3,709 | 488,809 | |||||||||
Ulta Salon Cosmetics & Fragrance, Inc. (b) | 1,778 | 361,681 | |||||||||
19,732,850 | |||||||||||
Textiles, Apparel & Luxury Goods (0.6%) | |||||||||||
Hanesbrands, Inc. | 11,256 | 127,080 | |||||||||
NIKE, Inc. – Class B | 40,105 | 3,932,295 | |||||||||
PVH Corp. | 2,292 | 110,131 | |||||||||
Ralph Lauren Corp. | 1,533 | 111,173 | |||||||||
Tapestry, Inc. | 8,860 | 117,661 | |||||||||
Under Armour, Inc. – Class A (b) | 6,024 | 58,674 | |||||||||
Under Armour, Inc. – Class C (b) | 6,355 | 56,178 | |||||||||
VF Corp. | 10,312 | 628,413 | |||||||||
5,141,605 | |||||||||||
Consumer Staples (7.2%) | |||||||||||
Beverages (1.7%) | |||||||||||
Brown-Forman Corp. – Class B | 5,818 | 370,374 | |||||||||
Constellation Brands, Inc. – Class A | 5,419 | 948,054 | |||||||||
Molson Coors Beverage Co. – Class B | 6,014 | 206,641 | |||||||||
Monster Beverage Corp. (b) | 12,091 | 838,148 | |||||||||
PepsiCo, Inc. | 44,876 | 5,935,300 | |||||||||
The Coca-Cola Co. | 125,018 | 5,585,804 | |||||||||
13,884,321 | |||||||||||
Food & Staples Retailing (1.8%) | |||||||||||
Costco Wholesale Corp. | 14,255 | 4,322,259 | |||||||||
CVS Health Corp. | 42,272 | 2,746,412 | |||||||||
Sysco Corp. | 16,417 | 897,353 | |||||||||
The Kroger Co. | 25,427 | 860,704 | |||||||||
Walgreens Boots Alliance, Inc. | 23,832 | 1,010,238 | |||||||||
Walmart, Inc. | 45,797 | 5,485,565 | |||||||||
15,322,531 | |||||||||||
Food Products (1.1%) | |||||||||||
Archer-Daniels-Midland Co. | 17,966 | 716,843 | |||||||||
Campbell Soup Co. | 5,469 | 271,426 | |||||||||
Conagra Brands, Inc. | 15,712 | 552,591 | |||||||||
General Mills, Inc. | 19,538 | 1,204,518 | |||||||||
Hormel Foods Corp. | 9,034 | 436,071 | |||||||||
Kellogg Co. | 8,059 | 532,378 | |||||||||
Lamb Weston Holdings, Inc. | 4,697 | 300,279 | |||||||||
McCormick & Co., Inc. | 3,936 | 706,158 | |||||||||
Mondelez International, Inc. – Class A | 46,168 | 2,360,570 | |||||||||
The Hershey Co. | 4,707 | 610,121 | |||||||||
The JM Smucker Co. | 3,633 | 384,408 | |||||||||
The Kraft Heinz Co. | 20,136 | 642,137 | |||||||||
Tyson Foods, Inc. – Class A | 9,491 | 566,708 | |||||||||
9,284,208 |
Shares | Value(a) | ||||||||||
Household Products (1.7%) | |||||||||||
Church & Dwight Co., Inc. | 7,906 | $ | 611,134 | ||||||||
Colgate-Palmolive Co. | 27,702 | 2,029,448 | |||||||||
Kimberly-Clark Corp. | 11,014 | 1,556,829 | |||||||||
The Clorox Co. | 4,027 | 883,403 | |||||||||
The Procter & Gamble Co. | 80,069 | 9,573,850 | |||||||||
14,654,664 | |||||||||||
Personal Care (0.2%) | |||||||||||
The Estee Lauder Cos., Inc. – Class A | 7,231 | 1,364,345 | |||||||||
Personal Products (0.0%) | |||||||||||
Coty, Inc. – Class A | 9,587 | 42,854 | |||||||||
Tobacco (0.7%) | |||||||||||
Altria Group, Inc. | 60,105 | 2,359,121 | |||||||||
Philip Morris International, Inc. | 50,362 | 3,528,362 | |||||||||
5,887,483 | |||||||||||
Energy (2.7%) | |||||||||||
Energy Equipment & Services (0.2%) | |||||||||||
Baker Hughes Co. | 21,116 | 324,975 | |||||||||
Halliburton Co. | 28,373 | 368,282 | |||||||||
National Oilwell Varco, Inc. | 12,536 | 153,566 | |||||||||
Schlumberger, Ltd. (c) | 44,883 | 825,398 | |||||||||
TechnipFMC PLC (c) | 13,555 | 92,716 | |||||||||
1,764,937 | |||||||||||
Oil, Gas & Consumable Fuels (2.5%) | |||||||||||
Apache Corp. | 12,118 | 163,593 | |||||||||
Cabot Oil & Gas Corp. | 12,891 | 221,467 | |||||||||
Chevron Corp. | 60,383 | 5,387,975 | |||||||||
Concho Resources, Inc. | 6,359 | 327,488 | |||||||||
ConocoPhillips | 34,685 | 1,457,464 | |||||||||
Devon Energy Corp. | 12,377 | 140,355 | |||||||||
Diamondback Energy, Inc. | 5,080 | 212,446 | |||||||||
EOG Resources, Inc. | 18,803 | 952,560 | |||||||||
Exxon Mobil Corp. | 136,753 | 6,115,594 | |||||||||
Hess Corp. | 8,400 | 435,204 | |||||||||
HollyFrontier Corp. | 4,782 | 139,634 | |||||||||
Kinder Morgan, Inc. | 62,903 | 954,239 | |||||||||
Marathon Oil Corp. | 25,561 | 156,433 | |||||||||
Marathon Petroleum Corp. | 20,998 | 784,905 | |||||||||
Noble Energy, Inc. | 15,441 | 138,351 | |||||||||
Occidental Petroleum Corp. | 29,026 | 531,176 | |||||||||
Phillips 66 | 14,123 | 1,015,444 | |||||||||
Pioneer Natural Resources Co. | 5,318 | 519,569 | |||||||||
The Williams Cos., Inc. | 39,238 | 746,307 | |||||||||
Valero Energy Corp. | 13,186 | 775,601 | |||||||||
21,175,805 | |||||||||||
Financial (9.9%) | |||||||||||
Capital Markets (2.6%) | |||||||||||
Ameriprise Financial, Inc. | 3,957 | 593,708 | |||||||||
BlackRock, Inc. | 5,049 | 2,747,110 | |||||||||
CBOE Global Markets, Inc. | 3,454 | 322,189 | |||||||||
CME Group, Inc. | 11,544 | 1,876,362 | |||||||||
E*Trade Financial Corp. | 7,149 | 355,520 | |||||||||
Franklin Resources, Inc. | 8,960 | 187,891 |
See accompanying notes to financial statements.
38
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Intercontinental Exchange, Inc. | 17,698 | $ | 1,621,137 | ||||||||
Invesco, Ltd. (c) | 12,093 | 130,121 | |||||||||
MarketAxess Holdings, Inc. | 1,269 | 635,667 | |||||||||
Moody's Corp. | 5,250 | 1,442,332 | |||||||||
Morgan Stanley | 38,730 | 1,870,659 | |||||||||
MSCI, Inc. | 2,747 | 917,004 | |||||||||
Nasdaq, Inc. | 3,675 | 439,052 | |||||||||
Northern Trust Corp. | 6,711 | 532,451 | |||||||||
Raymond James Financial, Inc. | 3,854 | 265,271 | |||||||||
S&P Global, Inc. | 7,792 | 2,567,308 | |||||||||
State Street Corp. | 11,383 | 723,390 | |||||||||
T Rowe Price Group, Inc. | 7,359 | 908,837 | |||||||||
The Bank of New York Mellon Corp. | 26,060 | 1,007,219 | |||||||||
The Charles Schwab Corp. | 37,048 | 1,250,000 | |||||||||
The Goldman Sachs Group, Inc. | 10,010 | 1,978,176 | |||||||||
22,371,404 | |||||||||||
Commercial Banks (3.6%) | |||||||||||
Bank of America Corp. | 252,536 | 5,997,730 | |||||||||
Citigroup, Inc. | 67,332 | 3,440,665 | |||||||||
Citizens Financial Group, Inc. | 13,798 | 348,262 | |||||||||
Comerica, Inc. | 4,496 | 171,298 | |||||||||
Fifth Third Bancorp | 22,959 | 442,650 | |||||||||
First Republic Bank | 5,455 | 578,175 | |||||||||
Huntington Bancshares, Inc. | 32,802 | 296,366 | |||||||||
JPMorgan Chase & Co. | 98,550 | 9,269,613 | |||||||||
KeyCorp | 31,547 | 384,242 | |||||||||
M&T Bank Corp. | 4,148 | 431,268 | |||||||||
People's United Financial, Inc. | 13,734 | 158,902 | |||||||||
Regions Financial Corp. | 30,952 | 344,186 | |||||||||
SVB Financial Group (b) | 1,632 | 351,745 | |||||||||
The PNC Financial Services Group, Inc. | 13,721 | 1,443,586 | |||||||||
Truist Financial Corp. | 43,575 | 1,636,241 | |||||||||
US Bancorp | 44,333 | 1,632,341 | |||||||||
Wells Fargo & Co. | 120,671 | 3,089,178 | |||||||||
Zions Bancorp NA | 5,299 | 180,166 | |||||||||
30,196,614 | |||||||||||
Consumer Finance (0.5%) | |||||||||||
American Express Co. | 21,348 | 2,032,330 | |||||||||
Capital One Financial Corp. | 14,726 | 921,700 | |||||||||
Discover Financial Services | 9,906 | 496,191 | |||||||||
Synchrony Financial | 17,368 | 384,875 | |||||||||
3,835,096 | |||||||||||
Insurance (3.2%) | |||||||||||
Aflac, Inc. | 23,206 | 836,112 | |||||||||
American International Group, Inc. | 27,856 | 868,550 | |||||||||
Aon PLC (c) | 7,474 | 1,439,492 | |||||||||
Arthur J Gallagher & Co. | 6,055 | 590,302 | |||||||||
Assurant, Inc. | 1,855 | 191,603 | |||||||||
Berkshire Hathaway, Inc. – Class B (b) | 62,876 | 11,223,995 | |||||||||
Chubb, Ltd. (c) | 14,598 | 1,848,399 | |||||||||
Cincinnati Financial Corp. | 4,806 | 307,728 |
Shares | Value(a) | ||||||||||
Everest Re Group, Ltd. (c) | 1,252 | $ | 258,162 | ||||||||
Globe Life, Inc. | 3,074 | 228,183 | |||||||||
Hartford Financial Services Group, Inc. | 11,581 | 446,448 | |||||||||
Lincoln National Corp. | 6,249 | 229,901 | |||||||||
Loews Corp. | 7,827 | 268,388 | |||||||||
Marsh & McLennan Cos., Inc. | 16,502 | 1,771,820 | |||||||||
MetLife, Inc. | 24,951 | 911,210 | |||||||||
Principal Financial Group, Inc. | 8,216 | 341,293 | |||||||||
Prudential Financial, Inc. | 12,775 | 777,997 | |||||||||
The Allstate Corp. | 10,159 | 985,321 | |||||||||
The Progressive Corp. | 18,896 | 1,513,759 | |||||||||
The Travelers Cos., Inc. | 8,177 | 932,587 | |||||||||
Unum Group | 6,513 | 108,051 | |||||||||
Willis Towers Watson PLC (c) | 4,136 | 814,585 | |||||||||
WR Berkley Corp. | 4,566 | 261,586 | |||||||||
27,155,472 | |||||||||||
Health Care (14.0%) | |||||||||||
Biotechnology (2.4%) | |||||||||||
AbbVie, Inc. | 56,999 | 5,596,162 | |||||||||
Alexion Pharmaceuticals, Inc. (b) | 7,126 | 799,822 | |||||||||
Amgen, Inc. | 19,026 | 4,487,472 | |||||||||
Biogen, Inc. (b) | 5,278 | 1,412,129 | |||||||||
Gilead Sciences, Inc. | 40,558 | 3,120,533 | |||||||||
Incyte Corp. (b) | 5,800 | 603,026 | |||||||||
Regeneron Pharmaceuticals, Inc. (b) | 3,326 | 2,074,260 | |||||||||
Vertex Pharmaceuticals, Inc. (b) | 8,440 | 2,450,216 | |||||||||
20,543,620 | |||||||||||
Health Care Equipment & Supplies (3.7%) | |||||||||||
Abbott Laboratories | 57,209 | 5,230,619 | |||||||||
ABIOMED, Inc. (b) | 1,425 | 344,223 | |||||||||
Align Technology, Inc. (b) | 2,343 | 643,013 | |||||||||
Baxter International, Inc. | 16,457 | 1,416,948 | |||||||||
Becton Dickinson and Co. | 9,582 | 2,292,685 | |||||||||
Boston Scientific Corp. (b) | 46,208 | 1,622,363 | |||||||||
Danaher Corp. | 20,346 | 3,597,783 | |||||||||
Dentsply Sirona, Inc. | 7,036 | 310,006 | |||||||||
DexCom, Inc. (b) | 3,000 | 1,216,200 | |||||||||
Edwards Lifesciences Corp. (b) | 20,041 | 1,385,033 | |||||||||
Hologic, Inc. (b) | 8,351 | 476,007 | |||||||||
IDEXX Laboratories, Inc. (b) | 2,788 | 920,486 | |||||||||
Intuitive Surgical, Inc. (b) | 3,756 | 2,140,281 | |||||||||
Medtronic PLC (c) | 43,374 | 3,977,396 | |||||||||
ResMed, Inc. | 4,629 | 888,768 | |||||||||
STERIS PLC (c) | 2,745 | 421,193 | |||||||||
Stryker Corp. | 10,462 | 1,885,148 | |||||||||
Teleflex, Inc. | 1,554 | 565,625 | |||||||||
The Cooper Cos., Inc. | 1,566 | 444,180 | |||||||||
Varian Medical Systems, Inc. (b) | 2,861 | 350,530 | |||||||||
West Pharmaceutical Services, Inc. | 2,330 | 529,306 | |||||||||
Zimmer Biomet Holdings, Inc. | 6,683 | 797,683 | |||||||||
31,455,476 |
See accompanying notes to financial statements.
39
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Health Care Providers & Services (2.4%) | |||||||||||
AmerisourceBergen Corp. | 4,712 | $ | 474,828 | ||||||||
Anthem, Inc. | 8,139 | 2,140,394 | |||||||||
Cardinal Health, Inc. | 9,403 | 490,743 | |||||||||
Centene Corp. (b) | 18,730 | 1,190,291 | |||||||||
Cigna Corp. | 11,934 | 2,239,415 | |||||||||
DaVita, Inc. (b) | 2,755 | 218,031 | |||||||||
HCA Healthcare, Inc. | 8,496 | 824,622 | |||||||||
Henry Schein, Inc. (b) | 4,583 | 267,601 | |||||||||
Humana, Inc. | 4,341 | 1,683,223 | |||||||||
Laboratory Corp. of America Holdings (b) | 3,084 | 512,283 | |||||||||
McKesson Corp. | 5,187 | 795,790 | |||||||||
Quest Diagnostics, Inc. | 4,227 | 481,709 | |||||||||
UnitedHealth Group, Inc. | 30,674 | 9,047,296 | |||||||||
Universal Health Services, Inc. – Class B | 2,430 | 225,723 | |||||||||
20,591,949 | |||||||||||
Health Care Technology (0.1%) | |||||||||||
Cerner Corp. | 9,843 | 674,738 | |||||||||
Life Sciences Tools & Services (1.2%) | |||||||||||
Agilent Technologies, Inc. | 9,955 | 879,723 | |||||||||
Bio-Rad Laboratories, Inc. – Class A (b) | 692 | 312,431 | |||||||||
Illumina, Inc. (b) | 4,742 | 1,756,200 | |||||||||
IQVIA Holdings, Inc. (b) | 5,724 | 812,121 | |||||||||
Mettler-Toledo International, Inc. (b) | 827 | 666,190 | |||||||||
PerkinElmer, Inc. | 3,534 | 346,650 | |||||||||
Thermo Fisher Scientific, Inc. | 12,774 | 4,628,531 | |||||||||
Waters Corp. (b) | 2,044 | 368,738 | |||||||||
9,770,584 | |||||||||||
Pharmaceuticals (4.2%) | |||||||||||
Bristol-Myers Squibb Co. | 73,182 | 4,303,101 | |||||||||
Eli Lilly & Co. | 27,239 | 4,472,099 | |||||||||
Johnson & Johnson | 85,211 | 11,983,223 | |||||||||
Merck & Co., Inc. | 81,637 | 6,312,989 | |||||||||
Mylan NV (b) (c) | 16,670 | 268,054 | |||||||||
Perrigo Co. PLC (c) | 4,373 | 241,696 | |||||||||
Pfizer, Inc. | 179,660 | 5,874,882 | |||||||||
Zoetis, Inc. | 15,361 | 2,105,071 | |||||||||
35,561,115 | |||||||||||
Industrials (7.9%) | |||||||||||
Aerospace & Defense (1.7%) | |||||||||||
General Dynamics Corp. | 7,465 | 1,115,719 | |||||||||
Howmet Aerospace, Inc. | 12,412 | 196,730 | |||||||||
Huntington Ingalls Industries, Inc. | 1,289 | 224,918 | |||||||||
L3Harris Technologies, Inc. | 6,982 | 1,184,636 | |||||||||
Lockheed Martin Corp. | 7,966 | 2,906,953 | |||||||||
Northrop Grumman Corp. | 5,065 | 1,557,183 | |||||||||
Raytheon Technologies Corp. | 47,569 | 2,931,202 | |||||||||
Teledyne Technologies, Inc. (b) | 1,186 | 368,787 | |||||||||
The Boeing Co. | 17,373 | 3,184,471 | |||||||||
TransDigm Group, Inc. | 1,669 | 737,781 | |||||||||
14,408,380 |
Shares | Value(a) | ||||||||||
Air Freight & Logistics (0.5%) | |||||||||||
CH Robinson Worldwide, Inc. | 4,350 | $ | 343,911 | ||||||||
Expeditors International of Washington, Inc. | 5,339 | 405,978 | |||||||||
FedEx Corp. | 7,767 | 1,089,089 | |||||||||
United Parcel Service, Inc. – Class B | 22,769 | 2,531,457 | |||||||||
4,370,435 | |||||||||||
Airlines (0.2%) | |||||||||||
Alaska Air Group, Inc. | 3,943 | 142,973 | |||||||||
American Airlines Group, Inc. | 16,083 | 210,205 | |||||||||
Delta Air Lines, Inc. | 18,360 | 514,998 | |||||||||
Southwest Airlines Co. | 17,346 | 592,886 | |||||||||
United Airlines Holdings, Inc. (b) | 8,093 | 280,099 | |||||||||
1,741,161 | |||||||||||
Building Products (0.4%) | |||||||||||
Allegion PLC (c) | 2,938 | 300,322 | |||||||||
AO Smith Corp. | 4,350 | 204,972 | |||||||||
Carrier Global Corp. | 26,262 | 583,542 | |||||||||
Fortune Brands Home & Security, Inc. | 4,502 | 287,813 | |||||||||
Johnson Controls International PLC (c) | 24,058 | 821,340 | |||||||||
Masco Corp. | 8,530 | 428,291 | |||||||||
Trane Technologies PLC (c) | 7,721 | 687,015 | |||||||||
3,313,295 | |||||||||||
Commercial Services & Supplies (0.4%) | |||||||||||
Avery Dennison Corp. | 2,630 | 300,056 | |||||||||
Cintas Corp. | 2,691 | 716,775 | |||||||||
Copart, Inc. (b) | 6,682 | 556,410 | |||||||||
Republic Services, Inc. | 6,716 | 551,048 | |||||||||
Rollins, Inc. | 4,533 | 192,154 | |||||||||
Waste Management, Inc. | 12,557 | 1,329,912 | |||||||||
3,646,355 | |||||||||||
Construction & Engineering (0.1%) | |||||||||||
Jacobs Engineering Group, Inc. | 4,207 | 356,753 | |||||||||
Quanta Services, Inc. | 4,451 | 174,613 | |||||||||
531,366 | |||||||||||
Electrical Equipment (0.5%) | |||||||||||
AMETEK, Inc. | 7,376 | 659,193 | |||||||||
Eaton Corp. PLC (c) | 12,937 | 1,131,729 | |||||||||
Emerson Electric Co. | 19,324 | 1,198,667 | |||||||||
Rockwell Automation, Inc. | 3,733 | 795,129 | |||||||||
3,784,718 | |||||||||||
Industrial Conglomerates (1.1%) | |||||||||||
3M Co. | 18,585 | 2,899,074 | |||||||||
General Electric Co. | 282,907 | 1,932,255 | |||||||||
Honeywell International, Inc. | 22,700 | 3,282,193 | |||||||||
Roper Technologies, Inc. | 3,381 | 1,312,707 | |||||||||
Textron, Inc. | 7,335 | 241,395 | |||||||||
9,667,624 |
See accompanying notes to financial statements.
40
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Machinery (1.5%) | |||||||||||
Caterpillar, Inc. | 17,505 | $ | 2,214,382 | ||||||||
Cummins, Inc. | 4,771 | 826,623 | |||||||||
Deere & Co. | 10,119 | 1,590,201 | |||||||||
Dover Corp. | 4,589 | 443,114 | |||||||||
Flowserve Corp. | 4,109 | 117,189 | |||||||||
Fortive Corp. | 9,502 | 642,905 | |||||||||
IDEX Corp. | 2,449 | 387,040 | |||||||||
Illinois Tool Works, Inc. | 9,298 | 1,625,755 | |||||||||
Ingersoll Rand, Inc. (b) (c) | 11,144 | 313,369 | |||||||||
Otis Worldwide Corp. | 13,081 | 743,786 | |||||||||
PACCAR, Inc. | 11,138 | 833,679 | |||||||||
Parker Hannifin Corp. | 4,117 | 754,523 | |||||||||
Pentair PLC (c) | 5,349 | 203,209 | |||||||||
Snap-On, Inc. | 1,755 | 243,085 | |||||||||
Stanley Black & Decker, Inc. | 5,001 | 697,039 | |||||||||
Westinghouse Air Brake Technologies Corp. | 5,822 | 335,173 | |||||||||
Xylem, Inc. | 5,751 | 373,585 | |||||||||
12,344,657 | |||||||||||
Professional Services (0.4%) | |||||||||||
Equifax, Inc. | 3,863 | 663,972 | |||||||||
IHS Markit, Ltd. (c) | 12,902 | 974,101 | |||||||||
Nielsen Holdings PLC (c) | 11,461 | 170,311 | |||||||||
Robert Half International, Inc. | 3,652 | 192,935 | |||||||||
United Rentals, Inc. (b) | 2,293 | 341,749 | |||||||||
Verisk Analytics, Inc. | 5,196 | 884,359 | |||||||||
3,227,427 | |||||||||||
Road & Rail (1.0%) | |||||||||||
CSX Corp. | 24,757 | 1,726,553 | |||||||||
JB Hunt Transport Services, Inc. | 2,671 | 321,428 | |||||||||
Kansas City Southern | 3,073 | 458,768 | |||||||||
Norfolk Southern Corp. | 8,285 | 1,454,598 | |||||||||
Old Dominion Freight Line, Inc. | 3,050 | 517,250 | |||||||||
Union Pacific Corp. | 21,947 | 3,710,579 | |||||||||
8,189,176 | |||||||||||
Trading Companies & Distributors (0.1%) | |||||||||||
Fastenal Co. | 18,526 | 793,654 | |||||||||
WW Grainger, Inc. | 1,386 | 435,426 | |||||||||
1,229,080 | |||||||||||
Information Technology (32.9%) | |||||||||||
Communications Equipment (0.9%) | |||||||||||
Arista Networks, Inc. (b) | 1,729 | 363,142 | |||||||||
Cisco Systems, Inc. | 137,163 | 6,397,282 | |||||||||
F5 Networks, Inc. (b) | 1,921 | 267,941 | |||||||||
Juniper Networks, Inc. | 10,716 | 244,968 | |||||||||
Motorola Solutions, Inc. | 5,445 | 763,008 | |||||||||
8,036,341 | |||||||||||
Computers & Peripherals (5.8%) | |||||||||||
Apple, Inc. (d) | 131,775 | 48,071,520 | |||||||||
NetApp, Inc. | 7,153 | 317,379 | |||||||||
Western Digital Corp. | 9,650 | 426,047 | |||||||||
48,814,946 |
Shares | Value(a) | ||||||||||
Electronic Equipment, Instruments & Components (0.5%) | |||||||||||
Amphenol Corp. – Class A | 9,499 | $ | 910,099 | ||||||||
CDW Corp. | 4,564 | 530,246 | |||||||||
Corning, Inc. | 24,548 | 635,793 | |||||||||
FLIR Systems, Inc. | 4,231 | 171,652 | |||||||||
IPG Photonics Corp. (b) | 1,098 | 176,108 | |||||||||
Keysight Technologies, Inc. (b) | 6,005 | 605,184 | |||||||||
Seagate Technology PLC (c) | 7,304 | 353,587 | |||||||||
TE Connectivity, Ltd. (c) | 10,668 | 869,975 | |||||||||
4,252,644 | |||||||||||
Interactive Media & Services (5.6%) | |||||||||||
Akamai Technologies, Inc. (b) | 5,223 | 559,331 | |||||||||
Alphabet, Inc. – Class A (b) | 9,706 | 13,763,593 | |||||||||
Alphabet, Inc. – Class C (b) | 9,460 | 13,372,751 | |||||||||
eBay, Inc. | 21,363 | 1,120,489 | |||||||||
Facebook, Inc. – Class A (b) | 77,771 | 17,659,461 | |||||||||
Twitter, Inc. (b) | 25,377 | 755,981 | |||||||||
47,231,606 | |||||||||||
IT Services (5.5%) | |||||||||||
Accenture PLC – Class A (c) | 20,635 | 4,430,747 | |||||||||
Automatic Data Processing, Inc. | 13,900 | 2,069,571 | |||||||||
Broadridge Financial Solutions, Inc. | 3,641 | 459,458 | |||||||||
Cognizant Technology Solutions Corp. – Class A | 17,484 | 993,441 | |||||||||
DXC Technology Co. | 8,191 | 135,152 | |||||||||
Fidelity National Information Services, Inc. | 19,970 | 2,677,777 | |||||||||
Fiserv, Inc. (b) | 18,188 | 1,775,513 | |||||||||
FleetCor Technologies, Inc. (b) | 2,710 | 681,646 | |||||||||
Gartner, Inc. (b) | 2,830 | 343,364 | |||||||||
Global Payments, Inc. | 9,666 | 1,639,547 | |||||||||
International Business Machines Corp. | 28,677 | 3,463,321 | |||||||||
Jack Henry & Associates, Inc. | 2,488 | 457,867 | |||||||||
Leidos Holdings, Inc. | 4,244 | 397,535 | |||||||||
Mastercard, Inc. – Class A | 28,585 | 8,452,585 | |||||||||
Paychex, Inc. | 10,251 | 776,513 | |||||||||
PayPal Holdings, Inc. (b) | 37,976 | 6,616,558 | |||||||||
The Western Union Co. | 13,289 | 287,308 | |||||||||
VeriSign, Inc. (b) | 3,288 | 680,057 | |||||||||
Visa, Inc. – Class A | 54,566 | 10,540,514 | |||||||||
46,878,474 | |||||||||||
Office Electronics (0.1%) | |||||||||||
Zebra Technologies Corp. – Class A (b) | 1,710 | 437,675 | |||||||||
Semiconductors & Semiconductor Equipment (4.7%) | |||||||||||
Advanced Micro Devices, Inc. (b) | 37,879 | 1,992,814 | |||||||||
Analog Devices, Inc. | 11,867 | 1,455,369 | |||||||||
Applied Materials, Inc. | 29,641 | 1,791,798 | |||||||||
Broadcom, Inc. | 12,989 | 4,099,458 | |||||||||
Intel Corp. | 136,940 | 8,193,120 | |||||||||
KLA Corp. | 5,015 | 975,317 |
See accompanying notes to financial statements.
41
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Lam Research Corp. | 4,758 | $ | 1,539,023 | ||||||||
Maxim Integrated Products, Inc. | 8,619 | 522,398 | |||||||||
Microchip Technology, Inc. | 7,934 | 835,530 | |||||||||
Micron Technology, Inc. (b) | 35,971 | 1,853,226 | |||||||||
NVIDIA Corp. | 19,886 | 7,554,890 | |||||||||
Qorvo, Inc. (b) | 3,659 | 404,429 | |||||||||
QUALCOMM, Inc. | 36,383 | 3,318,493 | |||||||||
Skyworks Solutions, Inc. | 5,372 | 686,864 | |||||||||
Texas Instruments, Inc. | 29,683 | 3,768,851 | |||||||||
Xilinx, Inc. | 7,864 | 773,739 | |||||||||
39,765,319 | |||||||||||
Software (9.6%) | |||||||||||
Activision Blizzard, Inc. | 24,863 | 1,887,102 | |||||||||
Adobe, Inc. (b) | 15,583 | 6,783,436 | |||||||||
ANSYS, Inc. (b) | 2,827 | 824,721 | |||||||||
Autodesk, Inc. (b) | 7,050 | 1,686,289 | |||||||||
Cadence Design Systems, Inc. (b) | 9,017 | 865,271 | |||||||||
Citrix Systems, Inc. | 3,766 | 557,029 | |||||||||
Electronic Arts, Inc. (b) | 9,337 | 1,232,951 | |||||||||
Fortinet, Inc. (b) | 4,339 | 595,614 | |||||||||
Intuit, Inc. | 8,458 | 2,505,175 | |||||||||
Microsoft Corp. | 245,272 | 49,915,305 | |||||||||
NortonLifeLock, Inc. | 17,526 | 347,541 | |||||||||
Oracle Corp. | 67,317 | 3,720,611 | |||||||||
Paycom Software, Inc. (b) | 1,540 | 476,984 | |||||||||
Salesforce.com, Inc. (b) | 29,141 | 5,458,983 | |||||||||
ServiceNow, Inc. (b) | 6,228 | 2,522,714 | |||||||||
Synopsys, Inc. (b) | 4,852 | 946,140 | |||||||||
Take-Two Interactive Software, Inc. (b) | 3,704 | 516,967 | |||||||||
Tyler Technologies, Inc. (b) | 1,286 | 446,088 | |||||||||
81,288,921 | |||||||||||
Technology Hardware Storage & Peripherals (0.2%) | |||||||||||
Hewlett Packard Enterprise Co. | 41,552 | 404,301 | |||||||||
HP, Inc. | 46,249 | 806,120 | |||||||||
Xerox Holdings Corp. | 5,922 | 90,547 | |||||||||
1,300,968 | |||||||||||
Materials (2.4%) | |||||||||||
Chemicals (1.7%) | |||||||||||
Air Products & Chemicals, Inc. | 7,163 | 1,729,578 | |||||||||
Albemarle Corp. | 3,362 | 259,580 | |||||||||
Celanese Corp. | 3,756 | 324,293 | |||||||||
CF Industries Holdings, Inc. | 6,914 | 194,560 | |||||||||
Corteva, Inc. | 24,204 | 648,425 | |||||||||
Dow, Inc. | 23,957 | 976,487 | |||||||||
DuPont de Nemours, Inc. | 23,733 | 1,260,934 | |||||||||
Eastman Chemical Co. | 4,305 | 299,800 | |||||||||
Ecolab, Inc. | 8,035 | 1,598,563 | |||||||||
FMC Corp. | 4,184 | 416,810 | |||||||||
International Flavors & Fragrances, Inc. | 3,389 | 415,017 | |||||||||
Linde PLC (c) | 16,986 | 3,602,901 | |||||||||
LyondellBasell Industries NV – Class A (c) | 8,277 | 543,965 | |||||||||
PPG Industries, Inc. | 7,543 | 800,011 | |||||||||
The Mosaic Co. | 11,261 | 140,875 | |||||||||
The Sherwin-Williams Co. | 2,660 | 1,537,081 | |||||||||
14,748,880 |
Shares | Value(a) | ||||||||||
Construction Materials (0.1%) | |||||||||||
Martin Marietta Materials, Inc. | 1,999 | $ | 412,933 | ||||||||
Vulcan Materials Co. | 4,247 | 492,015 | |||||||||
904,948 | |||||||||||
Containers & Packaging (0.3%) | |||||||||||
Amcor PLC (b) (c) | 50,922 | 519,914 | |||||||||
Ball Corp. | 10,529 | 731,660 | |||||||||
International Paper Co. | 12,641 | 445,090 | |||||||||
Packaging Corp. of America | 2,982 | 297,603 | |||||||||
Sealed Air Corp. | 4,994 | 164,053 | |||||||||
WestRock Co. | 8,350 | 235,971 | |||||||||
2,394,291 | |||||||||||
Metals & Mining (0.3%) | |||||||||||
Freeport-McMoRan, Inc. | 46,961 | 543,339 | |||||||||
Newmont Corp. | 25,958 | 1,602,647 | |||||||||
Nucor Corp. | 9,739 | 403,292 | |||||||||
2,549,278 | |||||||||||
Real Estate (2.8%) | |||||||||||
Health Care REITs (0.2%) | |||||||||||
Healthpeak Properties, Inc. | 17,409 | 479,792 | |||||||||
Ventas, Inc. | 12,011 | 439,843 | |||||||||
Welltower, Inc. | 13,502 | 698,728 | |||||||||
1,618,363 | |||||||||||
Hotels & Resort REITs (0.0%) | |||||||||||
Host Hotels & Resorts, Inc. | 22,800 | 246,012 | |||||||||
Industrial REITs (0.3%) | |||||||||||
Duke Realty Corp. | 11,843 | 419,124 | |||||||||
ProLogis, Inc. | 23,887 | 2,229,373 | |||||||||
2,648,497 | |||||||||||
Office REITs (0.2%) | |||||||||||
Alexandria Real Estate Equities, Inc. | 4,085 | 662,791 | |||||||||
Boston Properties, Inc. | 4,632 | 418,640 | |||||||||
SL Green Realty Corp. | 2,470 | 121,747 | |||||||||
Vornado Realty Trust | 5,124 | 195,788 | |||||||||
1,398,966 | |||||||||||
Real Estate Services (0.1%) | |||||||||||
CBRE Group, Inc. – Class A (b) | 10,777 | 487,336 | |||||||||
Residential REITs (0.3%) | |||||||||||
Apartment Investment & Management Co. – Class A | 4,804 | 180,823 | |||||||||
AvalonBay Communities, Inc. | 4,495 | 695,107 | |||||||||
Equity Residential | 11,242 | 661,254 | |||||||||
Essex Property Trust, Inc. | 2,110 | 483,549 | |||||||||
Mid-America Apartment Communities, Inc. | 3,633 | 416,596 | |||||||||
UDR, Inc. | 9,522 | 355,932 | |||||||||
2,793,261 |
See accompanying notes to financial statements.
42
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Retail REITs (0.2%) | |||||||||||
Federal Realty Investment Trust | 2,243 | $ | 191,126 | ||||||||
Kimco Realty Corp. | 13,989 | 179,619 | |||||||||
Realty Income Corp. | 11,035 | 656,582 | |||||||||
Regency Centers Corp. | 5,432 | 249,274 | |||||||||
Simon Property Group, Inc. | 9,870 | 674,911 | |||||||||
1,951,512 | |||||||||||
Specialized REITs (1.5%) | |||||||||||
American Tower Corp. | 14,393 | 3,721,166 | |||||||||
Crown Castle International Corp. | 13,510 | 2,260,898 | |||||||||
Digital Realty Trust, Inc. | 8,678 | 1,233,231 | |||||||||
Equinix, Inc. | 2,852 | 2,002,960 | |||||||||
Extra Space Storage, Inc. | 4,120 | 380,564 | |||||||||
Iron Mountain, Inc. | 9,230 | 240,903 | |||||||||
Public Storage | 4,847 | 930,091 | |||||||||
SBA Communications Corp. | 3,602 | 1,073,108 | |||||||||
Weyerhaeuser Co. | 24,112 | 541,556 | |||||||||
12,384,477 | |||||||||||
Utilities (3.1%) | |||||||||||
Electric Utilities (1.8%) | |||||||||||
Alliant Energy Corp. | 8,069 | 386,021 | |||||||||
American Electric Power Co., Inc. | 15,950 | 1,270,258 | |||||||||
Duke Energy Corp. | 23,688 | 1,892,434 | |||||||||
Edison International | 12,223 | 663,831 | |||||||||
Entergy Corp. | 6,383 | 598,789 | |||||||||
Evergy, Inc. | 7,248 | 429,734 | |||||||||
Eversource Energy | 10,881 | 906,061 | |||||||||
Exelon Corp. | 31,486 | 1,142,627 | |||||||||
FirstEnergy Corp. | 17,456 | 676,944 | |||||||||
NextEra Energy, Inc. | 15,882 | 3,814,380 | |||||||||
Pinnacle West Capital Corp. | 3,575 | 262,012 | |||||||||
PPL Corp. | 24,848 | 642,072 | |||||||||
The Southern Co. | 34,076 | 1,766,841 | |||||||||
Xcel Energy, Inc. | 16,939 | 1,058,687 | |||||||||
15,510,691 | |||||||||||
Gas Utilities (0.1%) | |||||||||||
Atmos Energy Corp. | 3,873 | 385,673 | |||||||||
ONEOK, Inc. | 14,212 | 472,123 | |||||||||
857,796 |
Shares | Value(a) | ||||||||||
Independent Power Producers & Energy Traders (0.1%) | |||||||||||
AES Corp. | 21,472 | $ | 311,129 | ||||||||
NRG Energy, Inc. | 7,894 | 257,029 | |||||||||
568,158 | |||||||||||
Multi-Utilities (1.0%) | |||||||||||
Ameren Corp. | 7,963 | 560,277 | |||||||||
CenterPoint Energy, Inc. | 17,617 | 328,909 | |||||||||
CMS Energy Corp. | 9,222 | 538,749 | |||||||||
Consolidated Edison, Inc. | 10,801 | 776,916 | |||||||||
Dominion Energy, Inc. | 27,143 | 2,203,469 | |||||||||
DTE Energy Co. | 6,147 | 660,803 | |||||||||
NiSource, Inc. | 12,380 | 281,521 | |||||||||
Public Service Enterprise Group, Inc. | 16,332 | 802,881 | |||||||||
Sempra Energy | 9,461 | 1,109,113 | |||||||||
WEC Energy Group, Inc. | 10,149 | 889,560 | |||||||||
8,152,198 | |||||||||||
Water Utilities (0.1%) | |||||||||||
American Water Works Co., Inc. | 5,772 | 742,625 | |||||||||
Total common stocks (cost: $319,026,308) | 828,850,901 | ||||||||||
Short-Term Securities (1.8%) | |||||||||||
Investment Companies (1.8%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 14,894,810 | 14,894,810 | |||||||||
Total short-term securities (cost: $14,894,810) | 14,894,810 | ||||||||||
Total investments in securities (cost: $333,921,118) (e) | 843,745,711 | ||||||||||
Cash and other assets in excess of liabilities (0.0%) | 311,151 | ||||||||||
Total net assets (100.0%) | $ | 844,056,862 |
See accompanying notes to financial statements.
43
SFT Index 500 Fund
Investments in Securities – continued
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 3.2% of net assets in foreign securities at June 30, 2020.
(d) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2020, securities with an aggregate market value of $12,768,000 have been pledged to cover margin requirements for the following open futures contracts:
Description | Expiration Date | Number of Contracts | Position Type | Notional Amount | Market Value | Unrealized Appreciation/ (Depreciation)(a) | |||||||||||||||||||||
S&P Mid 500® E-Mini Index Future | September 2020 | 96 | Long | $ | 15,061,315 | $ | 14,832,960 | $ | (228,355 | ) |
(e) At June 30, 2020 the cost of investments for federal income tax purposes was $336,189,596. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 527,887,130 | |||||
Gross unrealized depreciation | (20,559,370 | ) | |||||
Net unrealized appreciation | $ | 507,327,760 |
See accompanying notes to financial statements.
44
SFT International Bond Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal(b) | Value(a) | ||||||||||
Long-Term Debt Securities (74.4%) | |||||||||||
Argentina (2.0%) | |||||||||||
Government (2.0%) | |||||||||||
Argentina Treasury Bond BONCER (ARS) 1.100%, 04/17/21 | 9,239,435 | $ | 89,820 | ||||||||
1.200%, 03/18/22 | 55,812,318 | 526,366 | |||||||||
1.400%, 03/25/23 | 32,768,158 | 275,925 | |||||||||
1.500%, 03/25/24 | 32,768,162 | 256,469 | |||||||||
Argentine Bonos del Tesoro (ARS) | |||||||||||
15.500%, 10/17/26 | 59,411,000 | 204,698 | |||||||||
16.000%, 10/17/23 | 29,346,000 | 145,309 | |||||||||
18.200%, 10/03/21 | 28,501,000 | 199,510 | |||||||||
Letras de la Nacion Argentina con Ajuste por CER (ARS) | |||||||||||
3.545%, 12/04/20 (c) (d) | 11,833,800 | 115,173 | |||||||||
1,813,270 | |||||||||||
Brazil (8.0%) | |||||||||||
Government (8.0%) | |||||||||||
Brazil Letras do Tesouro Nacional (BRL) | |||||||||||
1.422%, 07/01/20 (d) | 19,971,000 | 3,637,175 | |||||||||
1.424%, 10/01/20 (d) | 15,020,000 | 2,721,170 | |||||||||
1.427%, 04/01/21 (d) | 340,000 | 60,946 | |||||||||
1.441%, 01/01/22 (d) | 3,100,000 | 540,189 | |||||||||
Brazil Notas do Tesouro Nacional Serie F (BRL) | |||||||||||
10.000%, 01/01/21 | 784,000 | 141,234 | |||||||||
7,100,714 | |||||||||||
Ghana (1.5%) | |||||||||||
Government (1.5%) | |||||||||||
Ghana Government Bond (GHS) | |||||||||||
18.750%, 01/24/22 | 960,000 | 166,617 | |||||||||
19.000%, 11/02/26 | 2,890,000 | 458,201 | |||||||||
19.750%, 03/25/24 | 960,000 | 167,546 | |||||||||
19.750%, 03/15/32 | 2,890,000 | 461,976 | |||||||||
24.500%, 06/21/21 | 50,000 | 9,093 | |||||||||
24.750%, 03/01/21 | 100,000 | 17,963 | |||||||||
24.750%, 07/19/21 | 160,000 | 29,251 | |||||||||
Republic of Ghana Government Bonds (GHS) | |||||||||||
16.250%, 05/17/21 | 130,000 | 22,107 | |||||||||
16.500%, 03/22/21 | 100,000 | 17,093 | |||||||||
17.600%, 11/28/22 | 50,000 | 8,477 | |||||||||
18.250%, 09/21/20 | 50,000 | 8,648 | |||||||||
1,366,972 | |||||||||||
Indonesia (2.7%) | |||||||||||
Government (2.7%) | |||||||||||
Indonesia Treasury Bond (IDR) | |||||||||||
8.375%, 03/15/24 | 7,865,000,000 | 584,163 | |||||||||
9.500%, 07/15/23 | 18,680,000,000 | 1,425,355 | |||||||||
10.000%, 09/15/24 | 1,959,000,000 | 154,279 | |||||||||
10.250%, 07/15/22 | 2,658,000,000 | 201,922 | |||||||||
2,365,719 |
Principal(b) | Value(a) | ||||||||||
Japan (1.8%) | |||||||||||
Government (1.8%) | |||||||||||
Japan Treasury Discount Bill (JPY) | |||||||||||
3.958%, 07/06/20 (d) | 172,600,000 | $ | 1,599,878 | ||||||||
Mexico (8.9%) | |||||||||||
Government (8.9%) | |||||||||||
Mexican Bonos (MXN) | |||||||||||
6.500%, 06/10/21 | 20,100,000 | 883,801 | |||||||||
6.500%, 06/09/22 | 49,538,000 | 2,216,358 | |||||||||
6.750%, 03/09/23 | 26,998,000 | 1,227,990 | |||||||||
7.250%, 12/09/21 | 44,130,000 | 1,977,265 | |||||||||
8.000%, 12/07/23 | 22,829,000 | 1,088,357 | |||||||||
10.000%, 12/05/24 | 9,340,000 | 486,329 | |||||||||
Mexican Udibonos (MXN) | |||||||||||
2.500%, 12/10/20 | 1,778,490 | 77,522 | |||||||||
7,957,622 | |||||||||||
Norway (4.4%) | |||||||||||
Government (4.4%) | |||||||||||
Norway Government Bond (NOK) | |||||||||||
1.500%, 02/19/26 (e) | 1,910,000 | 210,283 | |||||||||
1.750%, 03/13/25 (e) | 3,215,000 | 355,643 | |||||||||
2.000%, 05/24/23 (e) | 8,483,000 | 924,222 | |||||||||
3.000%, 03/14/24 (e) | 9,548,000 | 1,090,368 | |||||||||
3.750%, 05/25/21 (e) | 12,135,000 | 1,298,759 | |||||||||
3,879,275 | |||||||||||
South Korea (16.8%) | |||||||||||
Government (16.8%) | |||||||||||
Korea Treasury Bond (KRW) | |||||||||||
1.375%, 12/10/29 | 4,709,000,000 | 3,909,672 | |||||||||
3.000%, 03/10/23 | 967,000,000 | 849,227 | |||||||||
3.000%, 09/10/24 | 2,419,000,000 | 2,170,272 | |||||||||
3.375%, 09/10/23 | 2,729,000,000 | 2,442,282 | |||||||||
3.500%, 03/10/24 | 1,785,000,000 | 1,618,224 | |||||||||
4.250%, 06/10/21 | 4,577,300,000 | 3,936,155 | |||||||||
14,925,832 | |||||||||||
United States (28.3%) | |||||||||||
Government (28.3%) | |||||||||||
U.S. Treasury Note (USD) | |||||||||||
1.500%, 10/31/24 | 170,000 | 179,197 | |||||||||
1.500%, 11/30/24 | 4,250,000 | 4,483,584 | |||||||||
1.625%, 02/15/26 | 890,000 | 952,091 | |||||||||
1.625%, 10/31/26 | 890,000 | 955,950 | |||||||||
1.750%, 12/31/24 | 3,489,000 | 3,722,600 | |||||||||
2.000%, 02/15/25 | 4,140,000 | 4,470,230 | |||||||||
2.125%, 05/15/25 | 4,950,000 | 5,390,086 | |||||||||
2.125%, 05/31/26 | 405,000 | 445,991 | |||||||||
2.625%, 12/31/25 | 1,641,000 | 1,844,074 | |||||||||
2.875%, 05/31/25 | 2,390,000 | 2,691,457 | |||||||||
25,135,260 | |||||||||||
Total long-term debt securities (cost: $74,724,127) | 66,144,542 |
See accompanying notes to financial statements.
45
SFT International Bond Fund
Investments in Securities – continued
Principal(b) | Value(a) | ||||||||||
Short-Term Securities (23.3%) | |||||||||||
Japan (9.9%) | |||||||||||
Japan Treasury Discount Bill (JPY) 0.001%, 08/24/20 (d) | 369,800,000 | $ | 3,428,535 | ||||||||
0.005%, 08/24/20 (d) | 122,600,000 | 1,136,664 | |||||||||
0.008%, 11/25/20 (d) | 461,000,000 | 4,276,450 | |||||||||
8,841,649 | |||||||||||
Mexico (0.9%) | |||||||||||
Mexico Cetes (MXN) | |||||||||||
0.019%, 02/25/21 (d) | 5,906,000 | 247,670 | |||||||||
0.038%, 07/16/20 (d) | 8,909,000 | 384,697 | |||||||||
0.039%, 09/10/20 (d) | 1,590,900 | 68,185 | |||||||||
0.051%, 07/16/20 (d) | 189,800 | 8,196 | |||||||||
0.051%, 07/23/20 (d) | 113,900 | 4,914 | |||||||||
0.051%, 08/13/20 (d) | 189,800 | 8,165 | |||||||||
0.051%, 09/24/20 (d) | 474,400 | 20,294 | |||||||||
0.052%, 10/22/20 (d) | 265,600 | 11,320 | |||||||||
0.054%, 01/28/21 (d) | 365,700 | 15,391 | |||||||||
0.055%, 12/03/20 (d) | 365,700 | 15,502 | |||||||||
0.061%, 08/13/20 (d) | 111,800 | 4,810 | |||||||||
789,144 | |||||||||||
Norway (0.1%) | |||||||||||
Norway Treasury Bill (NOK) | |||||||||||
0.035%, 09/16/20 (d) (e) | 693,000 | 71,790 | |||||||||
0.039%, 09/16/20 (d) (e) | 346,000 | 35,844 | |||||||||
107,634 |
Principal(b)/ Shares | Value(a) | ||||||||||
United States (5.5%) | |||||||||||
Federal Home Loan Bank (USD) | |||||||||||
0.000%, 07/01/20 (d) | 4,870,000 | $ | 4,870,000 | ||||||||
Investment Companies (6.9%) | |||||||||||
United States (6.9%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 6,091,183 | 6,091,183 | |||||||||
Total short-term securities (cost: $20,656,311) | 20,699,610 | ||||||||||
Total investments in securities (cost: $95,380,438) (f) | 86,844,152 | ||||||||||
Cash and other assets in excess of liabilities (2.3%) | 2,057,424 | ||||||||||
Total net assets (100.0%) | $ | 88,901,576 |
See accompanying notes to financial statements.
46
SFT International Bond Fund
Investments in Securities – continued
Foreign Forward Currency Contracts
On June 30, 2020, International Bond Fund had entered into forward foreign currency contracts that obligate the Fund to deliver currencies at specified future dates. Unrealized appreciation and depreciation on these contracts is included in the accompanying financial statements. The terms of the open contracts were as follows:
Settlement Date | Currency to be delivered – SELL | Currency to be received – BUY | Unrealized Appreciation(a) | Unrealized Depreciation(a) | Counterparty | ||||||||||||||||||||||||||
07/06/20 | 607,000,000 | KRW | 504,572 | USD | $ | – | $ | (118 | ) | DBK | |||||||||||||||||||||
07/13/20 | 972,497 | AUD | 72,995,624 | JPY | – | (980 | ) | HSB | |||||||||||||||||||||||
07/13/20 | 972,497 | AUD | 72,995,624 | JPY | 8,068 | – | HSB | ||||||||||||||||||||||||
07/13/20 | 1,490,050 | AUD | 112,093,484 | JPY | – | (6,065 | ) | JPM | |||||||||||||||||||||||
07/13/20 | 1,490,050 | AUD | 112,093,484 | JPY | 19,247 | – | JPM | ||||||||||||||||||||||||
07/14/20 | 1,680,000 | AUD | 125,451,480 | JPY | 17,788 | – | JPM | ||||||||||||||||||||||||
07/14/20 | 1,680,000 | AUD | 125,451,480 | JPY | – | (11,551 | ) | JPM | |||||||||||||||||||||||
07/15/20 | 716,777 | EUR | 7,513,650 | SEK | – | (8,144 | ) | DBK | |||||||||||||||||||||||
07/15/20 | 716,777 | EUR | 7,513,650 | SEK | 9,495 | – | DBK | ||||||||||||||||||||||||
07/15/20 | 685,425 | EUR | 7,513,700 | SEK | 50,687 | – | DBK | ||||||||||||||||||||||||
07/15/20 | 685,425 | EUR | 7,513,700 | SEK | – | (14,108 | ) | DBK | |||||||||||||||||||||||
07/15/20 | 8,470,000 | AUD | 623,671,510 | JPY | – | (66,312 | ) | DBK | |||||||||||||||||||||||
07/15/20 | 8,158,000 | EUR | 990,364,884 | JPY | – | (105,301 | ) | DBK | |||||||||||||||||||||||
07/15/20 | 8,158,000 | EUR | 990,364,884 | JPY | 121,463 | – | DBK | ||||||||||||||||||||||||
07/15/20 | 8,470,000 | AUD | 623,671,510 | JPY | 16,104 | – | DBK | ||||||||||||||||||||||||
07/23/20 | 20,675 | EUR | 23,475 | USD | 244 | – | UBS | ||||||||||||||||||||||||
07/23/20 | 23,304 | USD | 20,675 | EUR | – | (73 | ) | UBS | |||||||||||||||||||||||
07/29/20 | 514,234,382 | KRW | 443,229 | USD | 15,557 | – | CIT | ||||||||||||||||||||||||
07/31/20 | 764,780 | EUR | 88,722,892 | JPY | – | (6,891 | ) | CIT | |||||||||||||||||||||||
07/31/20 | 764,780 | EUR | 88,722,892 | JPY | – | (29,921 | ) | CIT | |||||||||||||||||||||||
07/31/20 | 573,591 | EUR | 68,940,447 | JPY | – | (3,042 | ) | CIT | |||||||||||||||||||||||
07/31/20 | 573,591 | EUR | 68,940,447 | JPY | – | (2,335 | ) | CIT | |||||||||||||||||||||||
08/04/20 | 2,073,114 | BRL | 363,245 | USD | – | (13,801 | ) | HSB | |||||||||||||||||||||||
08/04/20 | 4,666,800 | BRL | 874,293 | USD | 25,520 | – | JPM | ||||||||||||||||||||||||
08/04/20 | 2,741,800 | BRL | 607,130 | USD | 108,466 | – | JPM | ||||||||||||||||||||||||
08/07/20 | 610,000,000 | KRW | 514,638 | USD | 7,199 | – | DBK | ||||||||||||||||||||||||
08/10/20 | 579,913 | EUR | 636,165 | CHF | 31,053 | – | UBS | ||||||||||||||||||||||||
08/10/20 | 579,913 | EUR | 636,165 | CHF | – | (10,774 | ) | UBS | |||||||||||||||||||||||
08/10/20 | 594,644 | EUR | 636,165 | CHF | 19,510 | – | UBS | ||||||||||||||||||||||||
08/10/20 | 594,644 | EUR | 636,165 | CHF | – | (15,789 | ) | UBS | |||||||||||||||||||||||
08/10/20 | 302,338 | EUR | 318,083 | CHF | 9,839 | – | UBS | ||||||||||||||||||||||||
08/10/20 | 302,338 | EUR | 318,083 | CHF | – | (13,617 | ) | UBS | |||||||||||||||||||||||
08/11/20 | 2,133,000,000 | KRW | 1,748,361 | USD | – | (26,354 | ) | HSB | |||||||||||||||||||||||
08/12/20 | 569,337 | EUR | 624,335 | CHF | 30,514 | – | GSC | ||||||||||||||||||||||||
08/12/20 | 569,337 | EUR | 624,335 | CHF | – | (10,834 | ) | GSC | |||||||||||||||||||||||
08/12/20 | 585,488 | EUR | 624,335 | CHF | 20,694 | – | GSC | ||||||||||||||||||||||||
08/12/20 | 585,488 | EUR | 624,335 | CHF | – | (19,170 | ) | GSC | |||||||||||||||||||||||
08/13/20 | 56,400,000 | JPY | 518,494 | USD | – | (4,559 | ) | DBK | |||||||||||||||||||||||
08/13/20 | 703,807 | EUR | 7,513,700 | SEK | 42,693 | – | DBK | ||||||||||||||||||||||||
08/13/20 | 712,512 | EUR | 7,513,600 | SEK | 27,032 | – | DBK | ||||||||||||||||||||||||
08/13/20 | 712,512 | EUR | 7,513,600 | SEK | – | (21,059 | ) | DBK | |||||||||||||||||||||||
08/13/20 | 703,807 | EUR | 7,513,700 | SEK | – | (26,923 | ) | DBK | |||||||||||||||||||||||
08/13/20 | 524,758 | USD | 56,400,000 | JPY | – | (1,704 | ) | DBK | |||||||||||||||||||||||
08/13/20 | 594,124 | EUR | 624,335 | CHF | 17,162 | – | GSC | ||||||||||||||||||||||||
08/13/20 | 594,124 | EUR | 624,335 | CHF | – | (25,341 | ) | GSC | |||||||||||||||||||||||
08/21/20 | 2,070,687 | AUD | 147,163,551 | JPY | – | (16,955 | ) | JPM | |||||||||||||||||||||||
08/21/20 | 2,070,687 | AUD | 147,163,551 | JPY | – | (44,062 | ) | JPM | |||||||||||||||||||||||
08/21/20 | 1,035,344 | AUD | 76,118,272 | JPY | 19,930 | – | JPM | ||||||||||||||||||||||||
08/21/20 | 1,035,344 | AUD | 76,118,272 | JPY | – | (26,913 | ) | JPM | |||||||||||||||||||||||
08/24/20 | 1,296,969 | AUD | 92,057,085 | JPY | – | (12,038 | ) | CIT | |||||||||||||||||||||||
08/24/20 | 1,296,969 | AUD | 92,057,085 | JPY | – | (27,251 | ) | CIT | |||||||||||||||||||||||
08/24/20 | 917,461 | EUR | 108,413,824 | JPY | – | (14,177 | ) | HSB | |||||||||||||||||||||||
08/24/20 | 917,461 | EUR | 108,413,824 | JPY | – | (11,880 | ) | HSB | |||||||||||||||||||||||
08/24/20 | 384,000 | EUR | 45,339,456 | JPY | – | (1,483 | ) | HSB | |||||||||||||||||||||||
08/24/20 | 384,000 | EUR | 45,339,456 | JPY | – | (9,764 | ) | HSB | |||||||||||||||||||||||
08/25/20 | 917,461 | EUR | 111,229,329 | JPY | 39,370 | – | HSB | ||||||||||||||||||||||||
08/25/20 | 917,461 | EUR | 111,229,329 | JPY | – | (39,323 | ) | HSB | |||||||||||||||||||||||
08/26/20 | 435,531,237 | KRW | 367,165 | USD | 4,527 | – | CIT | ||||||||||||||||||||||||
08/27/20 | 761,860 | USD | 83,444,600 | JPY | 12,138 | – | JPM | ||||||||||||||||||||||||
08/27/20 | 83,444,600 | JPY | 801,136 | USD | 27,139 | – | JPM | ||||||||||||||||||||||||
08/31/20 | 982,926 | USD | 101,585,000 | JPY | – | (40,620 | ) | CIT | |||||||||||||||||||||||
08/31/20 | 30,820,000 | JPY | 292,500 | USD | 6,613 | – | CIT |
See accompanying notes to financial statements.
47
SFT International Bond Fund
Investments in Securities – continued
Settlement Date | Currency to be delivered – SELL | Currency to be received – BUY | Unrealized Appreciation(a) | Unrealized Depreciation(a) | Counterparty | ||||||||||||||||||||||||||
08/31/20 | 514,234,381 | KRW | 426,185 | USD | $ | – | $ | (2,088 | ) | CIT | |||||||||||||||||||||
08/31/20 | 70,765,000 | JPY | 679,513 | USD | 23,094 | – | CIT | ||||||||||||||||||||||||
09/02/20 | 2,650,054 | BRL | 495,504 | USD | 14,017 | – | CIT | ||||||||||||||||||||||||
09/02/20 | 10,080,000 | BRL | 1,798,073 | USD | – | (33,356 | ) | CIT | |||||||||||||||||||||||
09/08/20 | 9,800,000,000 | KRW | 8,280,174 | USD | 118,083 | – | HSB | ||||||||||||||||||||||||
09/10/20 | 880,250 | AUD | 67,361,131 | JPY | 11,149 | – | CIT | ||||||||||||||||||||||||
09/10/20 | 880,250 | AUD | 67,361,131 | JPY | 7,610 | – | CIT | ||||||||||||||||||||||||
09/11/20 | 972,503 | AUD | 72,923,137 | JPY | – | (442 | ) | HSB | |||||||||||||||||||||||
09/11/20 | 972,503 | AUD | 72,923,137 | JPY | 7,284 | – | HSB | ||||||||||||||||||||||||
09/14/20 | 1,285,000 | AUD | 87,062,605 | JPY | – | (31,375 | ) | HSB | |||||||||||||||||||||||
09/14/20 | 1,285,000 | AUD | 87,062,605 | JPY | – | (45,763 | ) | HSB | |||||||||||||||||||||||
09/14/20 | 1,520,000 | AUD | 103,195,916 | JPY | – | (37,190 | ) | JPM | |||||||||||||||||||||||
09/14/20 | 1,520,000 | AUD | 103,195,916 | JPY | – | (52,095 | ) | JPM | |||||||||||||||||||||||
09/14/20 | 1,489,950 | AUD | 111,968,994 | JPY | – | (5,181 | ) | JPM | |||||||||||||||||||||||
09/14/20 | 1,489,950 | AUD | 111,968,994 | JPY | 17,989 | – | JPM | ||||||||||||||||||||||||
09/15/20 | 716,295 | EUR | 7,513,650 | SEK | – | (7,453 | ) | DBK | |||||||||||||||||||||||
09/15/20 | 716,295 | EUR | 7,513,650 | SEK | 8,934 | – | DBK | ||||||||||||||||||||||||
09/16/20 | 715,199 | EUR | 7,513,700 | SEK | 4,386 | – | DBK | ||||||||||||||||||||||||
09/16/20 | 715,199 | EUR | 7,513,700 | SEK | – | (1,674 | ) | DBK | |||||||||||||||||||||||
09/16/20 | 775,083 | USD | 7,425,800 | NOK | – | (5,052 | ) | JPM | |||||||||||||||||||||||
09/16/20 | 779,832 | USD | 7,471,300 | NOK | – | (5,083 | ) | JPM | |||||||||||||||||||||||
09/17/20 | 650,000 | AUD | 47,409,050 | JPY | – | (1,512 | ) | HSB | |||||||||||||||||||||||
09/17/20 | 650,000 | AUD | 47,409,050 | JPY | – | (6,221 | ) | HSB | |||||||||||||||||||||||
09/21/20 | 738,811 | USD | 6,665,800 | NOK | – | (47,566 | ) | JPM | |||||||||||||||||||||||
09/21/20 | 798,160 | USD | 7,607,100 | NOK | – | (9,301 | ) | JPM | |||||||||||||||||||||||
09/22/20 | 508,500,000 | KRW | 421,205 | USD | – | (2,248 | ) | CIT | |||||||||||||||||||||||
09/25/20 | 917,485 | EUR | 110,591,816 | JPY | – | (14,727 | ) | HSB | |||||||||||||||||||||||
09/25/20 | 917,485 | EUR | 110,591,816 | JPY | 8,613 | – | HSB | ||||||||||||||||||||||||
09/30/20 | 764,780 | EUR | 90,136,805 | JPY | – | (584 | ) | CIT | |||||||||||||||||||||||
09/30/20 | 764,780 | EUR | 90,136,805 | JPY | – | (23,547 | ) | CIT | |||||||||||||||||||||||
09/30/20 | 764,780 | EUR | 92,785,786 | JPY | 13,412 | – | CIT | ||||||||||||||||||||||||
09/30/20 | 764,780 | EUR | 92,785,786 | JPY | – | (12,959 | ) | CIT | |||||||||||||||||||||||
09/30/20 | 382,376 | EUR | 45,494,322 | JPY | 1,716 | – | CIT | ||||||||||||||||||||||||
09/30/20 | 382,376 | EUR | 45,494,322 | JPY | – | (9,814 | ) | CIT | |||||||||||||||||||||||
09/30/20 | 573,593 | EUR | 68,975,170 | JPY | – | (2,476 | ) | CIT | |||||||||||||||||||||||
09/30/20 | 573,593 | EUR | 68,975,170 | JPY | – | (2,893 | ) | CIT | |||||||||||||||||||||||
09/30/20 | 915,898 | USD | 8,890,338 | NOK | 6,089 | – | JPM | ||||||||||||||||||||||||
10/05/20 | 18,750 | EUR | 20,980 | USD | – | (124 | ) | GSC | |||||||||||||||||||||||
10/05/20 | 21,203 | USD | 18,750 | EUR | – | (99 | ) | GSC | |||||||||||||||||||||||
10/06/20 | 57,690,000 | MXN | 2,338,183 | USD | – | (128,239 | ) | HSB | |||||||||||||||||||||||
10/07/20 | 43,020,000 | MXN | 2,061,601 | USD | 222,573 | – | HSB | ||||||||||||||||||||||||
10/08/20 | 4,213,000 | MXN | 165,093 | USD | – | (14,985 | ) | CIT | |||||||||||||||||||||||
10/08/20 | 4,323,000 | MXN | 209,785 | USD | 25,005 | – | CIT | ||||||||||||||||||||||||
10/09/20 | 3,247,000 | MXN | 157,343 | USD | 18,570 | – | CIT | ||||||||||||||||||||||||
10/13/20 | 3,694,000 | MXN | 178,442 | USD | 20,637 | – | CIT | ||||||||||||||||||||||||
10/13/20 | 7,130,000 | MXN | 345,008 | USD | 40,419 | – | CIT | ||||||||||||||||||||||||
10/13/20 | 1,578,954 | EUR | 1,774,334 | USD | – | (3,159 | ) | HSB | |||||||||||||||||||||||
10/13/20 | 474,511 | USD | 418,954 | EUR | – | (2,878 | ) | HSB | |||||||||||||||||||||||
10/13/20 | 893,240 | USD | 810,000 | EUR | 18,610 | – | HSB | ||||||||||||||||||||||||
10/13/20 | 381,332 | USD | 350,000 | EUR | 12,677 | – | HSB | ||||||||||||||||||||||||
10/15/20 | 15,933,000 | MXN | 773,304 | USD | 92,810 | – | CIT | ||||||||||||||||||||||||
10/15/20 | 347,550 | EUR | 392,043 | USD | 773 | – | DBK | ||||||||||||||||||||||||
10/16/20 | 294,825 | EUR | 333,683 | USD | 1,761 | – | BOA | ||||||||||||||||||||||||
10/16/20 | 14,589,000 | MXN | 714,597 | USD | 91,575 | – | CIT | ||||||||||||||||||||||||
10/16/20 | 602,000 | EUR | 681,028 | USD | 3,281 | – | HSB | ||||||||||||||||||||||||
10/16/20 | 682,217 | USD | 602,000 | EUR | – | (4,470 | ) | HSB | |||||||||||||||||||||||
10/20/20 | 24,800,000 | JPY | 228,165 | USD | – | (2,102 | ) | CIT | |||||||||||||||||||||||
10/20/20 | 370,000,000 | JPY | 3,453,522 | USD | 18,095 | – | CIT | ||||||||||||||||||||||||
10/20/20 | 3,678,190 | USD | 394,800,000 | JPY | – | (12,496 | ) | CIT | |||||||||||||||||||||||
10/26/20 | 815,540 | EUR | 928,427 | USD | 10,041 | – | DBK | ||||||||||||||||||||||||
10/26/20 | 930,525 | USD | 815,540 | EUR | – | (12,139 | ) | DBK | |||||||||||||||||||||||
10/27/20 | 13,005,000 | MXN | 512,868 | USD | – | (41,823 | ) | CIT | |||||||||||||||||||||||
10/27/20 | 120,000 | EUR | 130,163 | USD | – | (4,974 | ) | HSB | |||||||||||||||||||||||
10/27/20 | 136,013 | USD | 120,000 | EUR | – | (876 | ) | HSB | |||||||||||||||||||||||
10/29/20 | 21,750,000 | MXN | 852,687 | USD | – | (74,788 | ) | CIT | |||||||||||||||||||||||
10/30/20 | 380,791,950 | JPY | 3,505,274 | USD | – | (31,180 | ) | DBK | |||||||||||||||||||||||
10/30/20 | 3,562,842 | USD | 380,791,950 | JPY | – | (26,388 | ) | DBK | |||||||||||||||||||||||
11/04/20 | 10,820,000 | BRL | 1,971,682 | USD | 9,796 | – | CIT |
See accompanying notes to financial statements.
48
SFT International Bond Fund
Investments in Securities – continued
Settlement Date | Currency to be delivered – SELL | Currency to be received – BUY | Unrealized Appreciation(a) | Unrealized Depreciation(a) | Counterparty | ||||||||||||||||||||||||||
11/09/20 | 580,358 | EUR | 636,165 | CHF | $ | 33,026 | $ | – | UBS | ||||||||||||||||||||||
11/09/20 | 580,358 | EUR | 636,165 | CHF | – | (12,674 | ) | UBS | |||||||||||||||||||||||
11/09/20 | 302,588 | EUR | 318,083 | CHF | 10,825 | – | UBS | ||||||||||||||||||||||||
11/09/20 | 302,588 | EUR | 318,083 | CHF | – | (14,629 | ) | UBS | |||||||||||||||||||||||
11/12/20 | 569,752 | EUR | 624,335 | CHF | 32,482 | – | GSC | ||||||||||||||||||||||||
11/12/20 | 569,752 | EUR | 624,335 | CHF | – | (12,697 | ) | GSC | |||||||||||||||||||||||
11/16/20 | 250,000,000 | KRW | 204,282 | USD | – | (4,018 | ) | CIT | |||||||||||||||||||||||
11/23/20 | 1,071,500,000 | KRW | 873,553 | USD | – | (19,321 | ) | CIT | |||||||||||||||||||||||
11/24/20 | 384,000 | EUR | 45,356,928 | JPY | – | (700 | ) | HSB | |||||||||||||||||||||||
11/24/20 | 384,000 | EUR | 45,356,928 | JPY | – | (10,560 | ) | HSB | |||||||||||||||||||||||
11/24/20 | 1,035,344 | AUD | 75,872,468 | JPY | 21,203 | – | JPM | ||||||||||||||||||||||||
11/24/20 | 1,035,344 | AUD | 75,872,468 | JPY | – | (29,127 | ) | JPM | |||||||||||||||||||||||
11/27/20 | 1,494,000,000 | KRW | 1,210,109 | USD | – | (34,911 | ) | DBK | |||||||||||||||||||||||
03/11/21 | 14,445,000 | MXN | 641,436 | USD | 34,425 | – | CIT | ||||||||||||||||||||||||
$ | 1,669,012 | $ | (1,549,189 | ) |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Investments in Securities.
(b) Principal amounts for foreign debt securities are denominated in the currencies indicated. United States debt securities are denominated in U.S. Dollars.
(c) Security sold within terms of a private placement memorandum exempt from registration under Section 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program. This security has been determined to be illiquid.
(d) Rate represents annualized yield at date of purchase.
(e) Security sold within terms of a private placement memorandum exempt from registration under Section 144A of the Securities Act of 1933, as amended, and may be sold only to dealers in that program. This security has been determined to be liquid unless otherwise indicated.
(f) At June 30, 2020 the cost of investments for federal income tax purposes was $95,380,438. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 3,036,593 | |||||
Gross unrealized depreciation | (10,452,084 | ) | |||||
Net unrealized depreciation | $ | (7,415,491 | ) |
See accompanying notes to financial statements.
49
SFT International Bond Fund
Investments in Securities – continued
Currency Legend
ARS Argentine Peso
AUD Australian Dollar
BRL Brazilian Real
CHF Swiss Franc
EUR Euro
GHS Ghanaian Cedi
IDR Indonesian Rupiah
JPY Japanese Yen
KRW South Korean Won
MXN Mexican Peso
NOK Norwegian Krone
SEK Swedish Krona
USD United States Dollar
Counterparty Legend
BOA Bank of America Merrill Lynch
CIT Citibank NA
DBK Deutsche Bank AG
GSC Goldman Sachs
HSB HSBC Bank PLC
JPM JPMorgan Chase Bank NA
UBS UBS AG
See accompanying notes to financial statements.
50
SFT IvySM Growth Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (99.6%) | |||||||||||
Consumer Discretionary (18.3%) | |||||||||||
Automobiles (1.6%) | |||||||||||
Ferrari NV (b) | 49,350 | $ | 8,439,343 | ||||||||
Internet & Catalog Retail (8.8%) | |||||||||||
Amazon.com, Inc. (c) | 12,192 | 33,635,534 | |||||||||
Booking Holdings, Inc. (c) | 8,865 | 14,116,094 | |||||||||
47,751,628 | |||||||||||
Specialty Retail (5.9%) | |||||||||||
O'Reilly Automotive, Inc. (c) | 13,835 | 5,833,804 | |||||||||
Home Depot, Inc. (The) | 49,311 | 12,352,899 | |||||||||
Tractor Supply Co. | 105,076 | 13,847,966 | |||||||||
32,034,669 | |||||||||||
Textiles, Apparel & Luxury Goods (2.0%) | |||||||||||
NIKE, Inc. – Class B | 39,547 | 3,877,584 | |||||||||
VF Corp. | 115,130 | 7,016,022 | |||||||||
10,893,606 | |||||||||||
Consumer Staples (3.6%) | |||||||||||
Beverages (3.1%) | |||||||||||
The Coca-Cola Co. | 371,152 | 16,583,071 | |||||||||
Personal Care (0.5%) | |||||||||||
The Estee Lauder Cos., Inc. – Class A | 14,569 | 2,748,879 | |||||||||
Financial (2.7%) | |||||||||||
Capital Markets (2.7%) | |||||||||||
CME Group, Inc. | 28,690 | 4,663,273 | |||||||||
S&P Global, Inc. | 30,876 | 10,173,024 | |||||||||
14,836,297 | |||||||||||
Health Care (13.9%) | |||||||||||
Biotechnology (1.4%) | |||||||||||
Vertex Pharmaceuticals, Inc. (c) | 26,637 | 7,732,987 | |||||||||
Health Care Equipment & Supplies (4.2%) | |||||||||||
Danaher Corp. | 32,525 | 5,751,396 | |||||||||
Intuitive Surgical, Inc. (c) | 12,450 | 7,094,384 | |||||||||
The Cooper Cos., Inc. | 35,735 | 10,135,875 | |||||||||
22,981,655 | |||||||||||
Health Care Providers & Services (2.8%) | |||||||||||
UnitedHealth Group, Inc. | 51,000 | 15,042,450 | |||||||||
Health Care Technology (3.0%) | |||||||||||
Cerner Corp. | 236,119 | 16,185,957 | |||||||||
Life Sciences Tools & Services (1.1%) | |||||||||||
Mettler-Toledo International, Inc. (c) | 7,763 | 6,253,485 | |||||||||
Pharmaceuticals (1.4%) | |||||||||||
Zoetis, Inc. | 54,368 | 7,450,591 | |||||||||
Industrials (8.8%) | |||||||||||
Aerospace & Defense (1.2%) | |||||||||||
Northrop Grumman Corp. | 21,706 | 6,673,293 |
Shares | Value(a) | ||||||||||
Machinery (3.1%) | |||||||||||
Caterpillar, Inc. | 33,598 | $ | 4,250,147 | ||||||||
Stanley Black & Decker, Inc. | 89,765 | 12,511,446 | |||||||||
16,761,593 | |||||||||||
Professional Services (2.0%) | |||||||||||
CoStar Group, Inc. (c) | 4,834 | 3,435,379 | |||||||||
Verisk Analytics, Inc. | 44,340 | 7,546,668 | |||||||||
10,982,047 | |||||||||||
Road & Rail (2.5%) | |||||||||||
JB Hunt Transport Services, Inc. | 58,358 | 7,022,801 | |||||||||
Union Pacific Corp. | 37,011 | 6,257,450 | |||||||||
13,280,251 | |||||||||||
Information Technology (50.9%) | |||||||||||
Communications Equipment (3.4%) | |||||||||||
Motorola Solutions, Inc. | 129,939 | 18,208,352 | |||||||||
Computers & Peripherals (7.3%) | |||||||||||
Apple, Inc. | 108,601 | 39,617,645 | |||||||||
Interactive Media & Services (8.7%) | |||||||||||
Alphabet, Inc. – Class A (c) | 15,973 | 22,650,513 | |||||||||
Alphabet, Inc. – Class C (c) | 3,752 | 5,303,865 | |||||||||
Facebook, Inc. – Class A (c) | 85,417 | 19,395,638 | |||||||||
47,350,016 | |||||||||||
IT Services (12.2%) | |||||||||||
Broadridge Financial Solutions, Inc. | 77,377 | 9,764,204 | |||||||||
FleetCor Technologies, Inc. (c) | 33,505 | 8,427,513 | |||||||||
Mastercard, Inc. – Class A | 8,922 | 2,638,235 | |||||||||
PayPal Holdings, Inc. (c) | 75,174 | 13,097,566 | |||||||||
VeriSign, Inc. (c) | 37,603 | 7,777,428 | |||||||||
Visa, Inc. – Class A | 128,541 | 24,830,265 | |||||||||
66,535,211 | |||||||||||
Semiconductors & Semiconductor Equipment (2.0%) | |||||||||||
NVIDIA Corp. | 28,061 | 10,660,654 | |||||||||
Software (17.3%) | |||||||||||
Adobe, Inc. (c) | 39,703 | 17,283,113 | |||||||||
Electronic Arts, Inc. (c) | 97,742 | 12,906,831 | |||||||||
Intuit, Inc. | 34,521 | 10,224,775 | |||||||||
Microsoft Corp. | 263,567 | 53,638,520 | |||||||||
94,053,239 | |||||||||||
Real Estate (1.4%) | |||||||||||
Specialized REITs (1.4%) | |||||||||||
American Tower Corp. | 15,792 | 4,082,863 | |||||||||
Equinix, Inc. | 5,133 | 3,604,906 | |||||||||
7,687,769 | |||||||||||
Total common stocks (cost: $361,041,339) | 540,744,688 |
See accompanying notes to financial statements.
51
SFT IvySM Growth Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Short-Term Securities (0.5%) | |||||||||||
Investment Companies (0.5%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 2,771,062 | $ | 2,771,062 | ||||||||
Total short-term securities (cost: $2,771,062) | 2,771,062 | ||||||||||
Total investments in securities (cost: $363,812,401) (d) | 543,515,750 | ||||||||||
Liabilities in excess of cash and other assets (-0.1%) | (315,687 | ) | |||||||||
Total net assets (100.0%) | $ | 543,200,063 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Foreign security: The Fund held 1.6% of net assets in foreign securities at June 30, 2020.
(c) Non-income producing security.
(d) At June 30, 2020 the cost of investments for federal income tax purposes was $364,447,933. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 189,704,263 | |||||
Gross unrealized depreciation | (10,636,446 | ) | |||||
Net unrealized appreciation | $ | 179,067,817 |
See accompanying notes to financial statements.
52
SFT IvySM Small Cap Growth Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (97.0%) | |||||||||||
Communication Services (0.5%) | |||||||||||
Media (0.5%) | |||||||||||
Gray Television, Inc. (b) | 55,823 | $ | 778,731 | ||||||||
Consumer Discretionary (15.5%) | |||||||||||
Auto Components (1.6%) | |||||||||||
Fox Factory Holding Corp. (b) | 31,559 | 2,607,089 | |||||||||
Entertainment (0.5%) | |||||||||||
Monarch Casino & Resort, Inc. (b) | 23,773 | 810,184 | |||||||||
Hotels, Restaurants & Leisure (5.4%) | |||||||||||
Churchill Downs, Inc. | 17,982 | 2,394,303 | |||||||||
Texas Roadhouse, Inc. | 30,370 | 1,596,551 | |||||||||
Wingstop, Inc. | 36,066 | 5,012,092 | |||||||||
9,002,946 | |||||||||||
Household Durables (3.0%) | |||||||||||
Installed Building Products, Inc. (b) | 42,264 | 2,906,918 | |||||||||
TopBuild Corp. (b) | 18,136 | 2,063,333 | |||||||||
4,970,251 | |||||||||||
Leisure Equipment & Products (2.1%) | |||||||||||
Malibu Boats, Inc. – Class A (b) | 47,481 | 2,466,638 | |||||||||
SeaWorld Entertainment, Inc. (b) | 67,587 | 1,000,963 | |||||||||
3,467,601 | |||||||||||
Media (2.0%) | |||||||||||
Nexstar Media Group, Inc. – Class A | 38,583 | 3,229,011 | |||||||||
Textiles, Apparel & Luxury Goods (0.9%) | |||||||||||
Deckers Outdoor Corp. (b) | 7,850 | 1,541,662 | |||||||||
Consumer Staples (1.1%) | |||||||||||
Food Products (1.1%) | |||||||||||
TreeHouse Foods, Inc. (b) | 40,839 | 1,788,748 | |||||||||
Financial (8.1%) | |||||||||||
Capital Markets (4.2%) | |||||||||||
Hamilton Lane, Inc. – Class A | 22,943 | 1,545,670 | |||||||||
Houlihan Lokey, Inc. | 55,808 | 3,105,157 | |||||||||
LPL Financial Holdings, Inc. | 28,959 | 2,270,386 | |||||||||
6,921,213 | |||||||||||
Commercial Banks (1.7%) | |||||||||||
Prosperity Bancshares, Inc. | 21,393 | 1,270,316 | |||||||||
Seacoast Banking Corp. of Florida (b) | 80,673 | 1,645,729 | |||||||||
2,916,045 | |||||||||||
Insurance (1.9%) | |||||||||||
eHealth, Inc. (b) | 19,482 | 1,913,912 | |||||||||
Selectquote, Inc. (b) | 46,415 | 1,175,692 | |||||||||
3,089,604 | |||||||||||
Real Estate (0.3%) | |||||||||||
Community Healthcare Trust, Inc. | 12,204 | 499,143 |
Shares | Value(a) | ||||||||||
Health Care (26.8%) | |||||||||||
Biotechnology (5.5%) | |||||||||||
Acceleron Pharma, Inc. (b) | 2,524 | $ | 240,461 | ||||||||
Amicus Therapeutics, Inc. (b) | 41,883 | 631,596 | |||||||||
CareDx, Inc. (b) | 106,083 | 3,758,521 | |||||||||
Halozyme Therapeutics, Inc. (b) | 17,066 | 457,539 | |||||||||
Insmed, Inc. (b) | 11,601 | 319,492 | |||||||||
Novavax, Inc. (b) | 2,063 | 171,951 | |||||||||
PTC Therapeutics, Inc. (b) | 6,061 | 307,535 | |||||||||
Veracyte, Inc. (b) | 48,714 | 1,261,693 | |||||||||
Vericel Corp. (b) | 144,586 | 1,998,178 | |||||||||
9,146,966 | |||||||||||
Health Care Equipment & Supplies (10.1%) | |||||||||||
Axonics Modulation Technologies, Inc. (b) | 5,540 | 194,509 | |||||||||
Haemonetics Corp. (b) | 31,899 | 2,856,875 | |||||||||
Insulet Corp. (b) | 11,948 | 2,321,019 | |||||||||
iRhythm Technologies, Inc. (b) | 14,154 | 1,640,307 | |||||||||
Novocure, Ltd. (b) (c) | 9,378 | 556,115 | |||||||||
OraSure Technologies, Inc. (b) | 52,774 | 613,762 | |||||||||
Penumbra, Inc. (b) | 13,770 | 2,462,351 | |||||||||
STAAR Surgical Co. (b) | 23,882 | 1,469,698 | |||||||||
Tactile Systems Technology, Inc. (b) | 53,809 | 2,229,307 | |||||||||
Tandem Diabetes Care, Inc. (b) | 23,118 | 2,286,833 | |||||||||
16,630,776 | |||||||||||
Health Care Providers & Services (8.8%) | |||||||||||
1Life Healthcare, Inc. (b) | 47,489 | 1,724,801 | |||||||||
AMN Healthcare Services, Inc. (b) | 43,107 | 1,950,161 | |||||||||
HealthEquity, Inc. (b) | 22,126 | 1,298,132 | |||||||||
HMS Holdings Corp. (b) | 91,673 | 2,969,288 | |||||||||
LHC Group, Inc. (b) | 19,049 | 3,320,622 | |||||||||
PetIQ, Inc. (b) | 93,711 | 3,264,891 | |||||||||
14,527,895 | |||||||||||
Health Care Technology (2.2%) | |||||||||||
Livongo Health, Inc. (b) | 19,246 | 1,447,107 | |||||||||
Omnicell, Inc. (b) | 30,506 | 2,154,333 | |||||||||
3,601,440 | |||||||||||
Life Sciences Tools & Services (0.2%) | |||||||||||
NeoGenomics, Inc. (b) | 11,618 | 359,926 | |||||||||
Industrials (15.3%) | |||||||||||
Aerospace & Defense (2.5%) | |||||||||||
Mercury Systems, Inc. (b) | 52,390 | 4,120,998 | |||||||||
Air Freight & Logistics (1.5%) | |||||||||||
Air Transport Services Group, Inc. (b) | 110,420 | 2,459,053 | |||||||||
Building Products (1.7%) | |||||||||||
Simpson Manufacturing Co., Inc. | 17,146 | 1,446,437 | |||||||||
Trex Co., Inc. (b) | 10,760 | 1,399,553 | |||||||||
2,845,990 |
See accompanying notes to financial statements.
53
SFT IvySM Small Cap Growth Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Commercial Services & Supplies (2.8%) | |||||||||||
Clean Harbors, Inc. (b) | 33,316 | $ | 1,998,294 | ||||||||
The Brink's Co. | 57,873 | 2,633,800 | |||||||||
4,632,094 | |||||||||||
Electrical Equipment (1.2%) | |||||||||||
EnerSys | 30,272 | 1,948,911 | |||||||||
Machinery (3.2%) | |||||||||||
Crane Co. | 32,587 | 1,937,623 | |||||||||
John Bean Technologies Corp. | 20,415 | 1,756,098 | |||||||||
RBC Bearings, Inc. (b) | 12,001 | 1,608,614 | |||||||||
5,302,335 | |||||||||||
Road & Rail (2.0%) | |||||||||||
Knight-Swift Transportation Holdings, Inc. | 81,359 | 3,393,484 | |||||||||
Transportation (0.4%) | |||||||||||
Saia, Inc. (b) | 5,269 | 585,808 | |||||||||
Information Technology (28.2%) | |||||||||||
Communications Equipment (1.4%) | |||||||||||
Viavi Solutions, Inc. (b) | 172,973 | 2,203,676 | |||||||||
Electronic Equipment, Instruments & Components (1.3%) | |||||||||||
Coherent, Inc. (b) | 16,722 | 2,190,247 | |||||||||
Interactive Media & Services (8.4%) | |||||||||||
Envestnet, Inc. (b) | 30,388 | 2,234,734 | |||||||||
Five9, Inc. (b) | 52,556 | 5,816,372 | |||||||||
Mimecast, Ltd. (b) (c) | 64,921 | 2,704,609 | |||||||||
Q2 Holdings, Inc. (b) | 36,680 | 3,146,777 | |||||||||
13,902,492 | |||||||||||
IT Services (2.4%) | |||||||||||
Booz Allen Hamilton Holding Corp. | 23,918 | 1,860,581 | |||||||||
Evo Payments, Inc. – Class A (b) | 43,705 | 997,785 | |||||||||
Switch, Inc. | 59,852 | 1,066,563 | |||||||||
3,924,929 | |||||||||||
Semiconductors & Semiconductor Equipment (4.5%) | |||||||||||
Enphase Energy, Inc. (b) | 43,672 | 2,077,477 | |||||||||
Monolithic Power Systems, Inc. | 20,435 | 4,843,095 | |||||||||
SiTime Corp. (b) | 11,114 | 526,915 | |||||||||
�� | 7,447,487 | ||||||||||
Software (10.2%) | |||||||||||
Globant SA (b) (c) | 26,837 | 4,021,524 | |||||||||
HubSpot, Inc. (b) | 6,571 | 1,474,204 | |||||||||
LivePerson, Inc. (b) | 41,950 | 1,737,989 | |||||||||
Proofpoint, Inc. (b) | 31,143 | 3,460,610 | |||||||||
Smartsheet, Inc. – Class A (b) | 44,323 | 2,256,927 | |||||||||
Varonis Systems, Inc. (b) | 43,993 | 3,892,501 | |||||||||
16,843,755 |
Shares | Value(a) | ||||||||||
Leisure and Consumer Staples (1.5%) | |||||||||||
Food Products (1.5%) | |||||||||||
Nomad Foods, Ltd. (b) (c) | 119,130 | $ | 2,555,339 | ||||||||
Total common stocks (cost: $125,852,516) | 160,245,829 | ||||||||||
Short-Term Securities (2.1%) | |||||||||||
Investment Companies (2.1%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 3,455,368 | 3,455,368 | |||||||||
Total short-term securities (cost: $3,455,368) | 3,455,368 | ||||||||||
Total investments in securities (cost: $129,307,884) (d) | 163,701,197 | ||||||||||
Cash and other assets in excess of liabilities (0.9%) | 1,544,332 | ||||||||||
Total net assets (100.0%) | $ | 165,245,529 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 6.0% of net assets in foreign securities at June 30, 2020.
(d) At June 30, 2020 the cost of investments for federal income tax purposes was $130,074,963. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 39,894,708 | |||||
Gross unrealized depreciation | (6,268,474 | ) | |||||
Net unrealized appreciation | $ | 33,626,234 |
See accompanying notes to financial statements.
54
SFT Managed Volatility Equity Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Mutual Funds (88.7%) | |||||||||||
Investment Companies (88.7%) | |||||||||||
iShares Core High Dividend ETF | 756,457 | $ | 61,386,486 | ||||||||
iShares Edge MSCI Minimum Volatility EAFE ETF | 1,295,413 | 85,574,983 | |||||||||
iShares Edge MSCI Minimum Volatility Emerging Markets ETF | 405,285 | 21,074,820 | |||||||||
iShares Edge MSCI Minimum Volatility USA ETF (b) | 1,839,032 | 111,500,510 | |||||||||
iShares MSCI Germany ETF | 531,232 | 14,401,699 | |||||||||
iShares Short Maturity Bond ETF | 275,245 | 13,765,002 | |||||||||
Total mutual funds (cost: $283,959,663) | 307,703,500 |
Shares | Value(a) | ||||||||||
Short-Term Securities (6.4%) | |||||||||||
Investment Companies (6.4%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 22,127,184 | $ | 22,127,184 | ||||||||
Total investments excluding purchased options (cost: $306,086,847) | 329,830,684 | ||||||||||
Total purchased options outstanding (0.0%) (cost: $1,372,890) | 71,932 | ||||||||||
Total investments in securities (cost: $307,459,737) (c) | 329,902,616 | ||||||||||
Cash and other assets in excess of liabilities (4.9%) | 16,933,730 | ||||||||||
Total net assets (100.0%) | $ | 346,836,346 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2020, securities with an aggregate market value of $27,283,500 have been pledged to cover margin requirements for the following open futures contracts:
Description | Expiration Date | Number of Contracts | Position Type | Notional Amount | Market Value | Unrealized Appreciation/ (Depreciation)(a) | |||||||||||||||||||||
S&P Mid 500® E-Mini Index Future | September 2020 | 887 | Short | $ | (137,673,849 | ) | $ | (137,050,370 | ) | $ | 623,479 |
(g) At June 30, 2020 the cost of investments for federal income tax purposes was $308,880,546. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 22,170,616 | |||||
Gross unrealized depreciation | (558,987 | ) | |||||
Net unrealized appreciation | $ | 21,611,629 |
See accompanying notes to financial statements.
55
SFT Managed Volatility Equity Fund
Investments in Securities – continued
Put Options Purchased:
The Fund had the following put options purchased open at June 30, 2020:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
S&P 500 Index | $ | 2,600 | July 2020 | 80 | $ | 8,000 | $ | 28,800 | |||||||||||||||
S&P 500 Index | 2,520 | July 2020 | 80 | 8,000 | 23,400 | ||||||||||||||||||
S&P 500 Index | 2,450 | July 2020 | 80 | 8,000 | 18,000 | ||||||||||||||||||
S&P 500 Index | 2,660 | July 2020 | 45 | 4,500 | 900 | ||||||||||||||||||
S&P 500 Index | 2,625 | July 2020 | 52 | 5,200 | 832 | ||||||||||||||||||
$ | 71,932 |
Put Options Written:
The Fund had the following put options written open at June 30, 2020:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
S&P 500 Index | $ | 2,170 | July 2020 | 80 | $ | 8,000 | $ | (9,600 | ) | ||||||||||||||
S&P 500 Index | 2,090 | July 2020 | 80 | 8,000 | (7,800 | ) | |||||||||||||||||
S&P 500 Index | 2,020 | July 2020 | 80 | 8,000 | (6,800 | ) | |||||||||||||||||
S&P 500 Index | 2,970 | July 2020 | 45 | 4,500 | (2,700 | ) | |||||||||||||||||
S&P 500 Index | 2,925 | July 2020 | 52 | 5,200 | (7,020 | ) | |||||||||||||||||
$ | (33,920 | ) |
See accompanying notes to financial statements.
56
SFT Real Estate Securities Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (97.4%) | |||||||||||
Consumer Discretionary (0.4%) | |||||||||||
Hotels, Restaurants & Leisure (0.4%) | |||||||||||
Marriott International, Inc. – Class A | 5,800 | $ | 497,234 | ||||||||
Real Estate (97.0%) | |||||||||||
Health Care REITs (9.6%) | |||||||||||
Healthcare Trust of America, Inc. – Class A | 59,900 | 1,588,548 | |||||||||
Healthpeak Properties, Inc. | 128,600 | 3,544,216 | |||||||||
Omega Healthcare Investors, Inc. | 40,800 | 1,212,984 | |||||||||
Physicians Realty Trust | 33,900 | 593,928 | |||||||||
Ventas, Inc. | 22,496 | 823,804 | |||||||||
Welltower, Inc. | 63,000 | 3,260,250 | |||||||||
11,023,730 | |||||||||||
Hotels & Resort REITs (2.1%) | |||||||||||
Host Hotels & Resorts, Inc. | 111,346 | 1,201,423 | |||||||||
Park Hotels & Resorts, Inc. | 68,600 | 678,454 | |||||||||
RLJ Lodging Trust | 55,900 | 527,696 | |||||||||
2,407,573 | |||||||||||
Industrial REITs (15.5%) | |||||||||||
Duke Realty Corp. | 134,300 | 4,752,877 | |||||||||
First Industrial Realty Trust, Inc. | 60,700 | 2,333,308 | |||||||||
ProLogis, Inc. | 114,481 | 10,684,512 | |||||||||
17,770,697 | |||||||||||
Office REITs (9.8%) | |||||||||||
Alexandria Real Estate Equities, Inc. | 27,222 | 4,416,769 | |||||||||
Boston Properties, Inc. | 29,183 | 2,637,560 | |||||||||
Cousins Properties, Inc. | 66,850 | 1,994,136 | |||||||||
Highwoods Properties, Inc. | 30,200 | 1,127,366 | |||||||||
Kilroy Realty Corp. | 17,136 | 1,005,883 | |||||||||
11,181,714 | |||||||||||
Residential REITs (20.7%) | |||||||||||
American Homes 4 Rent – Class A | 120,400 | 3,238,760 | |||||||||
Apartment Investment & Management Co. – Class A | 13,000 | 489,320 | |||||||||
AvalonBay Communities, Inc. | 20,326 | 3,143,212 | |||||||||
Camden Property Trust | 29,400 | 2,681,868 | |||||||||
Equity Lifestyle Properties, Inc. | 22,300 | 1,393,304 | |||||||||
Equity Residential | 23,100 | 1,358,742 | |||||||||
Essex Property Trust, Inc. | 8,516 | 1,951,612 | |||||||||
Invitation Homes, Inc. | 119,200 | 3,281,576 | |||||||||
Mid-America Apartment Communities, Inc. | 13,600 | 1,559,512 | |||||||||
Sun Communities, Inc. | 17,300 | 2,347,264 | |||||||||
UDR, Inc. | 58,100 | 2,171,778 | |||||||||
23,616,948 | |||||||||||
Retail REITs (8.6%) | |||||||||||
Agree Realty Corp. | 22,400 | 1,471,904 | |||||||||
Brixmor Property Group, Inc. | 104,200 | 1,335,844 | |||||||||
Realty Income Corp. | 45,300 | 2,695,350 | |||||||||
Regency Centers Corp. | 20,514 | 941,387 | |||||||||
Simon Property Group, Inc. | 24,179 | 1,653,360 |
Shares | Value(a) | ||||||||||
Taubman Centers, Inc. | 22,800 | $ | 860,928 | ||||||||
Weingarten Realty Investors | 44,700 | 846,171 | |||||||||
9,804,944 | |||||||||||
Specialized REITs (30.7%) | |||||||||||
American Tower Corp. | 4,500 | 1,163,430 | |||||||||
Crown Castle International C orp. | 3,400 | 568,990 | |||||||||
CubeSmart | 28,100 | 758,419 | |||||||||
CyrusOne, Inc. | 41,100 | 2,990,025 | |||||||||
Digital Realty Trust, Inc. | 30,400 | 4,320,144 | |||||||||
Equinix, Inc. | 14,034 | 9,856,078 | |||||||||
Extra Space Storage, Inc. | 17,500 | 1,616,475 | |||||||||
Four Corners Property Trust, Inc. | 19,800 | 483,120 | |||||||||
Gaming and Leisure Properties, Inc. | 36,964 | 1,278,954 | |||||||||
Public Storage | 21,100 | 4,048,879 | |||||||||
QTS Realty Trust, Inc. – Class A | 32,000 | 2,050,880 | |||||||||
STORE Capital Corp. | 62,200 | 1,480,982 | |||||||||
VEREIT, Inc. | 293,200 | 1,885,276 | |||||||||
VICI Properties, Inc. | 129,241 | 2,609,376 | |||||||||
35,111,028 | |||||||||||
Total common stocks (cost: $109,463,586) | 111,413,868 | ||||||||||
Short-Term Securities (2.3%) | |||||||||||
Investment Companies (2.3%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 2,603,935 | 2,603,935 | |||||||||
Total short-term securities (cost: $2,603,935) | 2,603,935 | ||||||||||
Total investments in securities (cost: $112,067,521) (b) | 114,017,803 | ||||||||||
Cash and other assets in excess of liabilities (0.3%) | 316,332 | ||||||||||
Total net assets (100.0%) | $ | 114,334,135 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) At June 30, 2020 the cost of investments for federal income tax purposes was $114,650,941. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 8,036,327 | |||||
Gross unrealized depreciation | (8,669,465 | ) | |||||
Net unrealized depreciation | $ | (633,138 | ) |
See accompanying notes to financial statements.
57
SFT T. Rowe Price Value Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (98.6%) | |||||||||||
Consumer Discretionary (5.6%) | |||||||||||
Auto Components (0.4%) | |||||||||||
Magna International, Inc. (b) | 13,753 | $ | 612,421 | ||||||||
Hotels & Resort REITs (0.6%) | |||||||||||
Hilton Worldwide Holdings, Inc. | 15,200 | 1,116,440 | |||||||||
Hotels, Restaurants & Leisure (2.3%) | |||||||||||
Marriott International, Inc. – Class A | 10,871 | 931,971 | |||||||||
McDonald's Corp. | 8,849 | 1,632,375 | |||||||||
Yum! Brands, Inc. | 17,024 | 1,479,556 | |||||||||
4,043,902 | |||||||||||
Internet & Catalog Retail (0.1%) | |||||||||||
Booking Holdings, Inc. (c) | 120 | 191,081 | |||||||||
Media (0.8%) | |||||||||||
The Walt Disney Co. | 11,868 | 1,323,400 | |||||||||
Multiline Retail (0.1%) | |||||||||||
Target Corp. | 1,500 | 179,895 | |||||||||
Specialty Retail (1.3%) | |||||||||||
O'Reilly Automotive, Inc. (c) | 1,710 | 721,056 | |||||||||
Ross Stores, Inc. | 7,782 | 663,338 | |||||||||
The Home Depot, Inc. | 1,442 | 361,235 | |||||||||
The TJX Cos., Inc. | 8,400 | 424,704 | |||||||||
2,170,333 | |||||||||||
Consumer Staples (2.9%) | |||||||||||
Food & Staples Retailing (0.5%) | |||||||||||
CVS Health Corp. | 13,200 | 857,604 | |||||||||
Walmart, Inc. | 400 | 47,912 | |||||||||
905,516 | |||||||||||
Food Products (1.3%) | |||||||||||
Tyson Foods, Inc. – Class A | 37,376 | 2,231,721 | |||||||||
Tobacco (1.1%) | |||||||||||
Altria Group, Inc. | 20,700 | 812,475 | |||||||||
Philip Morris International, Inc. | 14,616 | 1,023,997 | |||||||||
1,836,472 | |||||||||||
Energy (5.1%) | |||||||||||
Energy Equipment & Services (0.4%) | |||||||||||
Halliburton Co. | 49,205 | 638,681 | |||||||||
Oil, Gas & Consumable Fuels (4.7%) | |||||||||||
Chevron Corp. | 12,775 | 1,139,913 | |||||||||
ConocoPhillips | 8,613 | 361,918 | |||||||||
Enbridge, Inc. (b) | 43,829 | 1,333,278 | |||||||||
EOG Resources, Inc. | 7,678 | 388,968 | |||||||||
Exxon Mobil Corp. | 24,700 | 1,104,584 | |||||||||
Hess Corp. | 5,854 | 303,296 | |||||||||
TC Energy Corp. (b) | 41,395 | 1,774,190 | |||||||||
The Williams Cos., Inc. | 91,683 | 1,743,811 | |||||||||
8,149,958 |
Shares | Value(a) | ||||||||||
Financial (17.2%) | |||||||||||
Capital Markets (5.9%) | |||||||||||
CME Group, Inc. | 5,753 | $ | 935,093 | ||||||||
E*Trade Financial Corp. | 36,040 | 1,792,269 | |||||||||
Intercontinental Exchange, Inc. | 8,006 | 733,350 | |||||||||
Morgan Stanley | 115,135 | 5,561,020 | |||||||||
The Charles Schwab Corp. | 31,730 | 1,070,570 | |||||||||
10,092,302 | |||||||||||
Commercial Banks (3.0%) | |||||||||||
Bank of America Corp. | 189,714 | 4,505,707 | |||||||||
Fifth Third Bancorp | 15,909 | 306,726 | |||||||||
JPMorgan Chase & Co. | 1,900 | 178,714 | |||||||||
Truist Financial Corp. | 3,792 | 142,390 | |||||||||
5,133,537 | |||||||||||
Consumer Finance (1.0%) | |||||||||||
Capital One Financial Corp. | 27,282 | 1,707,580 | |||||||||
Diversified Financial Services (1.1%) | |||||||||||
Equitable Holdings, Inc. | 98,541 | 1,900,856 | |||||||||
Insurance (6.2%) | |||||||||||
American International Group, Inc. | 143,515 | 4,474,798 | |||||||||
Chubb, Ltd. (b) | 10,515 | 1,331,409 | |||||||||
Hartford Financial Services Group, Inc. | 25,214 | 972,000 | |||||||||
Marsh & McLennan Cos., Inc. | 19,237 | 2,065,477 | |||||||||
MetLife, Inc. | 43,700 | 1,595,924 | |||||||||
Principal Financial Group, Inc. | 4,279 | 177,749 | |||||||||
Prudential Financial, Inc. | 2,600 | 158,340 | |||||||||
10,775,697 | |||||||||||
Health Care (15.2%) | |||||||||||
Biotechnology (2.1%) | |||||||||||
AbbVie, Inc. | 36,509 | 3,584,454 | |||||||||
Health Care Equipment & Supplies (7.2%) | |||||||||||
Abbott Laboratories | 3,400 | 310,862 | |||||||||
Becton Dickinson and Co. | 5,326 | 1,274,352 | |||||||||
Boston Scientific Corp. (c) | 45,743 | 1,606,037 | |||||||||
Danaher Corp. | 36,858 | 6,517,600 | |||||||||
Medtronic PLC (b) | 7,209 | 661,065 | |||||||||
Stryker Corp. | 8,313 | 1,497,919 | |||||||||
Zimmer Biomet Holdings, Inc. | 4,118 | 491,525 | |||||||||
12,359,360 | |||||||||||
Health Care Providers & Services (2.3%) | |||||||||||
Anthem, Inc. | 5,323 | 1,399,843 | |||||||||
HCA Healthcare, Inc. | 14,071 | 1,365,731 | |||||||||
UnitedHealth Group, Inc. | 3,931 | 1,159,448 | |||||||||
3,925,022 | |||||||||||
Life Sciences Tools & Services (2.7%) | |||||||||||
Agilent Technologies, Inc. | 13,368 | 1,181,330 | |||||||||
Thermo Fisher Scientific, Inc. | 9,880 | 3,579,919 | |||||||||
4,761,249 |
See accompanying notes to financial statements.
58
SFT T. Rowe Price Value Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Pharmaceuticals (0.9%) | |||||||||||
Bausch Health Cos., Inc. (b) (c) | 33,675 | $ | 615,916 | ||||||||
Elanco Animal Health, Inc. (c) | 45,444 | 974,774 | |||||||||
1,590,690 | |||||||||||
Industrials (9.5%) | |||||||||||
Air Freight & Logistics (0.7%) | |||||||||||
United Parcel Service, Inc. – Class B | 10,300 | 1,145,154 | |||||||||
Building Products (0.1%) | |||||||||||
Johnson Controls International PLC (b) | 3,900 | 133,146 | |||||||||
Construction & Engineering (0.7%) | |||||||||||
Jacobs Engineering Group, Inc. | 13,597 | 1,153,026 | |||||||||
Electrical Equipment (0.7%) | |||||||||||
Rockwell Automation, Inc. | 5,900 | 1,256,700 | |||||||||
Industrial Conglomerates (4.2%) | |||||||||||
General Electric Co. | 625,874 | 4,274,719 | |||||||||
Honeywell International, Inc. | 13,974 | 2,020,501 | |||||||||
Roper Technologies, Inc. | 2,435 | 945,413 | |||||||||
7,240,633 | |||||||||||
Machinery (1.7%) | |||||||||||
Cummins, Inc. | 1,700 | 294,542 | |||||||||
Deere & Co. | 11,800 | 1,854,370 | |||||||||
Otis Worldwide Corp. | 4,300 | 244,498 | |||||||||
Stanley Black & Decker, Inc. | 3,800 | 529,644 | |||||||||
2,923,054 | |||||||||||
Professional Services (0.2%) | |||||||||||
United Rentals, Inc. (c) | 2,400 | 357,696 | |||||||||
Road & Rail (1.2%) | |||||||||||
Norfolk Southern Corp. | 6,599 | 1,158,586 | |||||||||
Union Pacific Corp. | 5,499 | 929,716 | |||||||||
2,088,302 | |||||||||||
Information Technology (22.8%) | |||||||||||
Communications Equipment (0.6%) | |||||||||||
Motorola Solutions, Inc. | 7,508 | 1,052,096 | |||||||||
Computers & Peripherals (1.2%) | |||||||||||
Apple, Inc. | 5,700 | 2,079,360 | |||||||||
Electronic Equipment, Instruments & Components (0.9%) | |||||||||||
Keysight Technologies, Inc. (c) | 15,221 | 1,533,972 | |||||||||
Interactive Media & Services (1.9%) | |||||||||||
Alphabet, Inc. – Class C (c) | 2,338 | 3,305,020 | |||||||||
Facebook, Inc. – Class A (c) | 400 | 90,828 | |||||||||
3,395,848 | |||||||||||
IT Services (0.1%) | |||||||||||
Fiserv, Inc. (c) | 1,200 | 117,144 | |||||||||
Semiconductors & Semiconductor Equipment (11.5%) | |||||||||||
Analog Devices, Inc. | 1,100 | 134,904 |
Shares | Value(a) | ||||||||||
Applied Materials, Inc. | 64,900 | $ | 3,923,205 | ||||||||
ASML Holding NV (b) | 1,593 | 586,272 | |||||||||
Broadcom, Inc. | 4,240 | 1,338,186 | |||||||||
Intel Corp. | 29,400 | 1,759,002 | |||||||||
Micron Technology, Inc. (c) | 40,039 | 2,062,809 | |||||||||
NVIDIA Corp. | 3,450 | 1,310,690 | |||||||||
NXP Semiconductors NV (b) | 22,029 | 2,512,187 | |||||||||
QUALCOMM, Inc. | 43,349 | 3,953,862 | |||||||||
Texas Instruments, Inc. | 12,812 | 1,626,740 | |||||||||
Xilinx, Inc. | 5,500 | 541,145 | |||||||||
19,749,002 | |||||||||||
Software (6.6%) | |||||||||||
Microsoft Corp. | 45,074 | 9,173,010 | |||||||||
Salesforce.com, Inc. (c) | 2,100 | 393,393 | |||||||||
Synopsys, Inc. (c) | 9,119 | 1,778,205 | |||||||||
11,344,608 | |||||||||||
Materials (5.8%) | |||||||||||
Chemicals (3.6%) | |||||||||||
DuPont de Nemours, Inc. | 14,500 | 770,385 | |||||||||
Linde PLC (b) | 21,000 | 4,454,310 | |||||||||
PPG Industries, Inc. | 9,300 | 986,358 | |||||||||
6,211,053 | |||||||||||
Containers & Packaging (2.2%) | |||||||||||
International Paper Co. | 30,245 | 1,064,927 | |||||||||
Packaging Corp. of America | 22,258 | 2,221,348 | |||||||||
WestRock Co. | 17,236 | 487,089 | |||||||||
3,773,364 | |||||||||||
Real Estate (4.6%) | |||||||||||
Industrial REITs (3.5%) | |||||||||||
ProLogis, Inc. | 64,645 | 6,033,318 | |||||||||
Residential REITs (0.6%) | |||||||||||
Sun Communities, Inc. | 7,582 | 1,028,726 | |||||||||
Specialized REITs (0.5%) | |||||||||||
Digital Realty Trust, Inc. | 2,351 | 334,100 | |||||||||
Weyerhaeuser Co. | 22,669 | 509,146 | |||||||||
843,246 | |||||||||||
Utilities (9.8%) | |||||||||||
Electric Utilities (5.8%) | |||||||||||
Edison International | 8,038 | 436,544 | |||||||||
Entergy Corp. | 14,756 | 1,384,260 | |||||||||
NextEra Energy, Inc. | 25,235 | 6,060,690 | |||||||||
The Southern Co. | 40,999 | 2,125,798 | |||||||||
10,007,292 | |||||||||||
Independent Power Producers & Energy Traders (0.1%) | |||||||||||
AES Corp. | 7,500 | 108,675 | |||||||||
Multi-Utilities (3.9%) | |||||||||||
Ameren Corp. | 23,442 | 1,649,379 | |||||||||
Dominion Energy, Inc. | 12,000 | 974,160 | |||||||||
NiSource, Inc. | 25,534 | 580,643 | |||||||||
Sempra Energy | 29,560 | 3,465,319 | |||||||||
6,669,501 | |||||||||||
Total common stocks (cost: $165,915,862) | 169,475,483 |
See accompanying notes to financial statements.
59
SFT T. Rowe Price Value Fund
Investments in Securities – continued
Principal/ Shares | Value(a) | ||||||||||
Preferred Stocks (0.8%) | |||||||||||
Health Care (0.1%) | |||||||||||
Becton Dickinson and Co. Series B, 6.125% | 4,042 | $ | 215,034 | ||||||||
Industrials (0.1%) | |||||||||||
Stanley Black & Decker, Inc. Series C, 5.000% | 154 | 175,408 | |||||||||
Information Technology (0.1%) | |||||||||||
Broadcom, Inc. Series A, 8.000% | 106 | 118,121 | |||||||||
Utilities (0.5%) | |||||||||||
Sempra Energy Series A, 6.000% | 2,248 | 219,697 | |||||||||
Sempra Energy Series B, 6.750% | 430 | 42,252 | |||||||||
The Southern Co. Series 2019, 6.750% | 11,330 | 499,200 | |||||||||
761,149 | |||||||||||
Total Preferred Stocks (cost: $1,299,622) | 1,269,712 | ||||||||||
Long-Term Debt Securities (0.1%) | |||||||||||
Corporate Obligations (0.1%) | |||||||||||
Energy (0.1%) | |||||||||||
Oil & Gas (0.1%) | |||||||||||
Continental Resources, Inc., 4.375%, 01/15/28 | 120,000 | 105,626 | |||||||||
Occidental Petroleum Corp., 2.600%, 08/13/21 | 35,000 | 34,205 | |||||||||
Total long-term debt securities (cost: $81,511) | 139,831 | ||||||||||
Short-Term Securities (0.7%) | |||||||||||
Investment Companies (0.7%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 500,000 | 500,000 | |||||||||
T. Rowe Price Reserve Investment Fund, current rate 0.140% | 666,398 | 666,398 | |||||||||
Total short-term securities (cost: $1,166,398) | 1,166,398 | ||||||||||
Total investments in securities (cost: $168,463,393) (d) | 172,051,424 | ||||||||||
Liabilities in excess of cash and other assets (-0.1%) | (121,054 | ) | |||||||||
Total net assets (100.0%) | $ | 171,930,370 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Foreign security: The Fund held 8.2% of net assets in foreign securities at June 30, 2020.
(c) Non-income producing security.
(d) At June 30, 2020 the cost of investments for federal income tax purposes was $170,503,008. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 12,630,002 | |||||
Gross unrealized depreciation | (11,081,586 | ) | |||||
Net unrealized appreciation | $ | 1,548,416 |
See accompanying notes to financial statements.
60
SFT Wellington Core Equity Fund
Investments in Securities
June 30, 2020
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (99.4%) | |||||||||||
Communication Services (1.6%) | |||||||||||
Diversified Telecommunication Services (1.6%) | |||||||||||
Verizon Communications, Inc. | 32,303 | $ | 1,780,864 | ||||||||
Consumer Discretionary (11.0%) | |||||||||||
Hotels, Restaurants & Leisure (1.5%) | |||||||||||
McDonald's Corp. | 9,257 | 1,707,639 | |||||||||
Internet & Catalog Retail (4.6%) | |||||||||||
Amazon.com, Inc. (b) | 1,898 | 5,236,240 | |||||||||
Media (1.5%) | |||||||||||
The Walt Disney Co. | 14,785 | 1,648,675 | |||||||||
Specialty Retail (1.3%) | |||||||||||
The TJX Cos., Inc. | 28,684 | 1,450,263 | |||||||||
Textiles, Apparel & Luxury Goods (2.1%) | |||||||||||
NIKE, Inc. – Class B | 13,318 | 1,305,830 | |||||||||
VF Corp. | 17,484 | 1,065,475 | |||||||||
2,371,305 | |||||||||||
Consumer Staples (10.8%) | |||||||||||
Beverages (2.6%) | |||||||||||
Constellation Brands, Inc. – Class A | 8,917 | 1,560,029 | |||||||||
Monster Beverage Corp. (b) | 19,477 | 1,350,146 | |||||||||
2,910,175 | |||||||||||
Food & Staples Retailing (3.0%) | |||||||||||
Costco Wholesale Corp. | 5,171 | 1,567,899 | |||||||||
Walmart, Inc. | 15,582 | 1,866,412 | |||||||||
3,434,311 | |||||||||||
Food Products (1.2%) | |||||||||||
Kellogg Co. | 20,357 | 1,344,783 | |||||||||
Household Products (4.0%) | |||||||||||
Colgate-Palmolive Co. | 23,430 | 1,716,482 | |||||||||
The Procter & Gamble Co. | 23,104 | 2,762,545 | |||||||||
4,479,027 | |||||||||||
Energy (0.7%) | |||||||||||
Oil, Gas & Consumable Fuels (0.7%) | |||||||||||
EOG Resources, Inc. | 14,886 | 754,125 | |||||||||
Financial (10.8%) | |||||||||||
Capital Markets (2.2%) | |||||||||||
BlackRock, Inc. | 2,197 | 1,195,366 | |||||||||
Morgan Stanley | 26,991 | 1,303,665 | |||||||||
2,499,031 | |||||||||||
Commercial Banks (5.1%) | |||||||||||
Bank of America Corp. | 88,690 | 2,106,388 | |||||||||
JPMorgan Chase & Co. | 24,131 | 2,269,762 | |||||||||
The PNC Financial Services Group, Inc. | 13,249 | 1,393,927 | |||||||||
5,770,077 |
Shares | Value(a) | ||||||||||
Consumer Finance (1.1%) | |||||||||||
American Express Co. | 12,777 | $ | 1,216,370 | ||||||||
Insurance (2.4%) | |||||||||||
Athene Holding, Ltd. – Class A (b) (c) | 16,743 | 522,214 | |||||||||
Chubb, Ltd. (c) | 8,521 | 1,078,929 | |||||||||
The Allstate Corp. | 11,051 | 1,071,837 | |||||||||
2,672,980 | |||||||||||
Health Care (15.5%) | |||||||||||
Biotechnology (0.5%) | |||||||||||
Incyte Corp. (b) | 5,816 | 604,689 | |||||||||
Health Care Equipment & Supplies (6.8%) | |||||||||||
Abbott Laboratories | 10,692 | 977,570 | |||||||||
Baxter International, Inc. | 19,597 | 1,687,302 | |||||||||
Becton Dickinson and Co. | 4,776 | 1,142,753 | |||||||||
Danaher Corp. | 8,189 | 1,448,061 | |||||||||
Hologic, Inc. (b) | 23,206 | 1,322,742 | |||||||||
Medtronic PLC (c) | 11,180 | 1,025,206 | |||||||||
7,603,634 | |||||||||||
Health Care Providers & Services (2.9%) | |||||||||||
Laboratory Corp. of America Holdings (b) | 5,464 | 907,625 | |||||||||
UnitedHealth Group, Inc. | 7,965 | 2,349,277 | |||||||||
3,256,902 | |||||||||||
Life Sciences Tools & Services (1.7%) | |||||||||||
Thermo Fisher Scientific, Inc. | 5,324 | 1,929,098 | |||||||||
Pharmaceuticals (3.6%) | |||||||||||
Eli Lilly & Co. | 15,488 | 2,542,820 | |||||||||
Merck & Co., Inc. | 20,160 | 1,558,973 | |||||||||
4,101,793 | |||||||||||
Industrials (9.1%) | |||||||||||
Aerospace & Defense (1.1%) | |||||||||||
Raytheon Technologies Corp. | 19,878 | 1,224,882 | |||||||||
Building Products (1.1%) | |||||||||||
Fortune Brands Home & Security, Inc. | 19,949 | 1,275,340 | |||||||||
Commercial Services & Supplies (1.1%) | |||||||||||
Republic Services, Inc. | 14,594 | 1,197,438 | |||||||||
Electrical Equipment (1.2%) | |||||||||||
AMETEK, Inc. | 14,594 | 1,304,266 | |||||||||
Machinery (2.2%) | |||||||||||
IDEX Corp. | 6,029 | 952,823 | |||||||||
Illinois Tool Works, Inc. | 8,947 | 1,564,383 | |||||||||
2,517,206 | |||||||||||
Professional Services (1.0%) | |||||||||||
Equifax, Inc. | 6,660 | 1,144,721 |
See accompanying notes to financial statements.
61
SFT Wellington Core Equity Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Road & Rail (1.4%) | |||||||||||
Norfolk Southern Corp. | 6,190 | $ | 1,086,778 | ||||||||
Uber Technologies, Inc. (b) | 16,164 | 502,377 | |||||||||
1,589,155 | |||||||||||
Information Technology (32.5%) | |||||||||||
Communications Equipment (1.2%) | |||||||||||
Motorola Solutions, Inc. | 9,797 | 1,372,854 | |||||||||
Computers & Peripherals (4.8%) | |||||||||||
Apple, Inc. | 14,718 | 5,369,126 | |||||||||
Electronic Equipment, Instruments & Components (1.9%) | |||||||||||
CDW Corp. | 7,969 | 925,839 | |||||||||
Corning, Inc. | 46,766 | 1,211,239 | |||||||||
2,137,078 | |||||||||||
Interactive Media & Services (6.1%) | |||||||||||
Alphabet, Inc. – Class A (b) | 2,274 | 3,224,646 | |||||||||
Facebook, Inc. – Class A (b) | 12,790 | 2,904,225 | |||||||||
GoDaddy, Inc. – Class A (b) | 10,806 | 792,404 | |||||||||
6,921,275 | |||||||||||
IT Services (5.4%) | |||||||||||
Fidelity National Information Services, Inc. | 8,442 | 1,131,988 | |||||||||
Global Payments, Inc. | 7,889 | 1,338,132 | |||||||||
Leidos Holdings, Inc. | 15,780 | 1,478,112 | |||||||||
Mastercard, Inc. – Class A | 7,264 | 2,147,965 | |||||||||
6,096,197 | |||||||||||
Semiconductors & Semiconductor Equipment (5.5%) | |||||||||||
KLA Corp. | 5,715 | 1,111,453 | |||||||||
Micron Technology, Inc. (b) | 18,503 | 953,275 | |||||||||
QUALCOMM, Inc. | 10,859 | 990,449 | |||||||||
Teradyne, Inc. | 18,501 | 1,563,519 | |||||||||
Texas Instruments, Inc. | 12,780 | 1,622,677 | |||||||||
6,241,373 | |||||||||||
Software (7.6%) | |||||||||||
Microsoft Corp. | 24,077 | 4,899,910 | |||||||||
Salesforce.com, Inc. (b) | 10,168 | 1,904,772 | |||||||||
SS&C Technologies Holdings, Inc. | 13,410 | 757,397 | |||||||||
Workday, Inc. – Class A (b) | 5,103 | 956,098 | |||||||||
8,518,177 | |||||||||||
Materials (1.7%) | |||||||||||
Chemicals (1.7%) | |||||||||||
Ecolab, Inc. | 4,013 | 798,386 | |||||||||
PPG Industries, Inc. | 10,662 | 1,130,812 | |||||||||
1,929,198 | |||||||||||
Real Estate (2.3%) | |||||||||||
Office REITs (0.9%) | |||||||||||
Boston Properties, Inc. | 10,665 | 963,902 | |||||||||
Specialized REITs (1.4%) | |||||||||||
American Tower Corp. | 6,259 | 1,618,202 |
Shares | Value(a) | ||||||||||
Utilities (3.4%) | |||||||||||
Electric Utilities (3.4%) | |||||||||||
American Electric Power Co., Inc. | 20,821 | $ | 1,658,185 | ||||||||
NextEra Energy, Inc. | 9,342 | 2,243,668 | |||||||||
3,901,853 | |||||||||||
Total common stocks (cost: $86,657,787) | 112,094,224 | ||||||||||
Short-Term Securities (0.7%) | |||||||||||
Investment Companies (0.7%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.116% | 760,984 | 760,984 | |||||||||
Total short-term securities (cost: $760,984) | 760,984 | ||||||||||
Total investments in securities (cost: $87,418,771) (d) | 112,855,208 | ||||||||||
Liabilities in excess of cash and other assets (-0.1%) | (109,099 | ) | |||||||||
Total net assets (100.0%) | $ | 112,746,109 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the Notes to Financial Statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 2.3% of net assets in foreign securities at June 30, 2020.
(d) At June 30, 2020 the cost of investments for federal income tax purposes was $87,472,748. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 29,026,136 | |||||
Gross unrealized depreciation | (3,643,676 | ) | |||||
Net unrealized appreciation | $ | 25,382,460 |
See accompanying notes to financial statements.
62
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63
Securian Funds Trust
Statements of Assets and Liabilities
June 30, 2020
(Unaudited)
SFT Core Bond Fund | SFT Dynamic Managed Volatility Fund | SFT Government Money Market Fund | SFT Index 400 Mid-Cap Fund | SFT Index 500 Fund | SFT International Bond Fund | ||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||
Investments in securities, at market value – see accompanying schedule for detailed listing* | |||||||||||||||||||||||||||
Unaffiliated issuers | $ | 485,314,561 | $ | 394,887,645 | $ | 201,003,423 | $ | 164,236,097 | $ | 843,745,711 | $ | 86,844,152 | |||||||||||||||
Affiliated issuers (note 8) | – | 183,405,197 | – | – | – | – | |||||||||||||||||||||
Cash on demand deposit | 97 | – | – | 520,985 | – | – | |||||||||||||||||||||
Due from broker | 200,000 | 16,500,000 | – | – | – | – | |||||||||||||||||||||
Foreign currency on deposit1 | – | – | – | – | – | 55,739 | |||||||||||||||||||||
Receivable: | |||||||||||||||||||||||||||
Fund shares sold | – | – | 203,753 | 672 | 3,095 | – | |||||||||||||||||||||
Investment securities sold (including paydowns) | 1,854,954 | – | – | – | – | 1,761,163 | |||||||||||||||||||||
Dividends and accrued interest | 2,550,700 | 1,597,033 | 4,291 | 164,906 | 657,402 | 413,519 | |||||||||||||||||||||
Refundable foreign income taxes withheld | – | – | – | – | – | 50,449 | |||||||||||||||||||||
Adviser (note 4) | – | 28,225 | 47,940 | – | – | – | |||||||||||||||||||||
Variation margin on futures contracts | – | 224,536 | – | 76,550 | 204,000 | – | |||||||||||||||||||||
Unrealized appreciation on forward foreign currency contracts | – | – | – | – | – | 1,669,012 | |||||||||||||||||||||
Prepaid expenses | 6,771 | 3,188 | 3,656 | 4,673 | 9,795 | 3,969 | |||||||||||||||||||||
Total assets | 489,927,083 | 596,645,824 | 201,263,063 | 165,003,883 | 844,620,003 | 90,798,003 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||
Payable: | |||||||||||||||||||||||||||
Fund shares repurchased | 319,723 | 17,499 | – | 52,676 | 139,848 | 32,374 | |||||||||||||||||||||
Investment securities purchased | 3,335,316 | – | – | 376,576 | – | – | |||||||||||||||||||||
Investment securities purchased on a when-issued or forward – commitment basis (note 2) | 3,841,534 | – | – | – | – | – | |||||||||||||||||||||
Adviser | 268,208 | 387,858 | 58,659 | 58,633 | 239,244 | 79,577 | |||||||||||||||||||||
Variation margin on futures contracts | 33,278 | – | – | – | – | – | |||||||||||||||||||||
Accrued expenses | 202,282 | 140,717 | 92,859 | 115,192 | 184,049 | 235,287 | |||||||||||||||||||||
Unrealized depreciation on forward foreign currency contracts | – | – | – | – | – | 1,549,189 | |||||||||||||||||||||
Options written at value2 | – | 51,475 | – | – | – | – | |||||||||||||||||||||
Total liabilities | 8,000,341 | 597,549 | 151,518 | 603,077 | 563,141 | 1,896,427 | |||||||||||||||||||||
Net assets applicable to outstanding capital stock | $ | 481,926,742 | $ | 596,048,275 | $ | 201,111,545 | $ | 164,400,806 | $ | 844,056,862 | $ | 88,901,576 | |||||||||||||||
Net assets consist of: | |||||||||||||||||||||||||||
Paid in capital** | $ | 372,551,398 | $ | 443,018,242 | $ | 201,109,479 | $ | (20,931,988 | ) | $ | (43,050,455 | ) | $ | 98,364,513 | |||||||||||||
Total distributable earnings | 109,375,344 | 153,030,033 | 2,066 | 185,332,794 | 887,107,317 | (9,462,937 | ) | ||||||||||||||||||||
Net assets | $ | 481,926,742 | $ | 596,048,275 | $ | 201,111,545 | $ | 164,400,806 | $ | 844,056,862 | $ | 88,901,576 | |||||||||||||||
Net assets by class: | |||||||||||||||||||||||||||
Class 1 | $ | 5,213,436 | $ | N/A | $ | N/A | $ | 11,492,043 | $ | 219,884,118 | $ | 1,352,094 | |||||||||||||||
Class 2 | 476,713,306 | 596,048,275 | 201,111,545 | 152,908,763 | 624,172,744 | 87,549,482 | |||||||||||||||||||||
Net asset value per share of outstanding capital stock by class: | |||||||||||||||||||||||||||
Class 1 | 2.662 | N/A | N/A | 4.814 | 12.894 | 2.457 | |||||||||||||||||||||
Class 2 | 2.587 | 16.811 | 1 | 4.678 | 12.529 | 2.387 | |||||||||||||||||||||
* Identified cost | |||||||||||||||||||||||||||
Unaffiliated issuers | $ | 471,658,169 | $ | 372,299,319 | $ | 201,003,423 | $ | 142,802,415 | $ | 333,921,118 | $ | 95,380,438 | |||||||||||||||
Affiliated issuers | – | 107,000,000 | – | – | – | – | |||||||||||||||||||||
** Shares outstanding by class: | |||||||||||||||||||||||||||
Class 1 | 1,958,557 | N/A | N/A | 2,387,381 | 17,053,866 | 550,364 | |||||||||||||||||||||
Class 2 | 184,297,776 | 35,456,512 | 201,111,545 | 32,690,076 | 49,817,358 | 36,676,854 | |||||||||||||||||||||
1 Foreign currency on deposit (cost) | $ | – | $ | – | $ | – | $ | – | $ | – | $ | 56,033 | |||||||||||||||
2 Premiums received | $ | – | $ | 773,096 | $ | – | $ | – | $ | – | $ | – |
See accompanying notes to financial statements.
64
SFT IvySM Growth Fund | SFT IvySM Small Cap Growth Fund | SFT Managed Volatility Equity Fund | SFT Real Estate Securities Fund | SFT T. Rowe Price Value Fund | SFT Wellington Core Equity Fund | ||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||
Investments in securities, at market value – see accompanying schedule for detailed listing* | |||||||||||||||||||||||||||
Unaffiliated issuers | $ | 543,515,750 | $ | 163,701,197 | $ | 329,902,616 | $ | 114,017,803 | $ | 172,051,424 | $ | 112,855,208 | |||||||||||||||
Affiliated issuers (note 8) | – | – | – | – | – | – | |||||||||||||||||||||
Cash on demand deposit | – | 13 | – | – | – | – | |||||||||||||||||||||
Due from broker | – | – | 19,225,000 | – | – | – | |||||||||||||||||||||
Foreign currency on deposit1 | – | – | – | – | 4,249 | – | |||||||||||||||||||||
Receivable: | |||||||||||||||||||||||||||
Fund shares sold | – | – | – | 3,854 | – | – | |||||||||||||||||||||
Investment securities sold (including paydowns) | – | 8,762,083 | – | 493,475 | 642,907 | – | |||||||||||||||||||||
Dividends and accrued interest | 358,854 | 28,822 | 1,712 | 363,724 | 188,421 | 82,807 | |||||||||||||||||||||
Refundable foreign income taxes withheld | – | – | – | – | – | – | |||||||||||||||||||||
Adviser (note 4) | – | – | 21,979 | – | – | – | |||||||||||||||||||||
Variation margin on futures contracts | – | – | – | – | – | – | |||||||||||||||||||||
Unrealized appreciation on forward foreign currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Prepaid expenses | 6,988 | 4,559 | 5,946 | 4,082 | 4,507 | 3,915 | |||||||||||||||||||||
Total assets | 543,881,592 | 172,496,674 | 349,157,253 | 114,882,938 | 172,891,508 | 112,941,930 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||
Payable: | |||||||||||||||||||||||||||
Fund shares repurchased | 144,741 | 216,721 | 81,552 | 62,990 | 9,797 | 18,360 | |||||||||||||||||||||
Investment securities purchased | – | 6,797,761 | – | 300,115 | 696,348 | – | |||||||||||||||||||||
Investment securities purchased on a when-issued or forward – commitment basis (note 2) | – | – | – | – | – | – | |||||||||||||||||||||
Adviser | 411,924 | 154,399 | 236,362 | 96,164 | 137,831 | 89,004 | |||||||||||||||||||||
Variation margin on futures contracts | – | – | 1,884,875 | – | – | – | |||||||||||||||||||||
Accrued expenses | 124,864 | 82,264 | 84,198 | 89,534 | 117,162 | 88,457 | |||||||||||||||||||||
Unrealized depreciation on forward foreign currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Options written at value2 | – | – | 33,920 | – | – | – | |||||||||||||||||||||
Total liabilities | 681,529 | 7,251,145 | 2,320,907 | 548,803 | 961,138 | 195,821 | |||||||||||||||||||||
Net assets applicable to outstanding capital stock | $ | 543,200,063 | $ | 165,245,529 | $ | 346,836,346 | $ | 114,334,135 | $ | 171,930,370 | $ | 112,746,109 | |||||||||||||||
Net assets consist of: | |||||||||||||||||||||||||||
Paid in capital** | $ | 108,638,963 | $ | 57,851,804 | $ | 317,919,033 | $ | 16,143,786 | $ | 101,360,997 | $ | 41,873,961 | |||||||||||||||
Total distributable earnings | 434,561,100 | 107,393,725 | 28,917,313 | 98,190,349 | 70,569,373 | 70,872,148 | |||||||||||||||||||||
Net assets | $ | 543,200,063 | $ | 165,245,529 | $ | 346,836,346 | $ | 114,334,135 | $ | 171,930,370 | $ | 112,746,109 | |||||||||||||||
Net assets by class: | |||||||||||||||||||||||||||
Class 1 | $ | N/A | $ | N/A | $ | N/A | $ | 5,331,026 | $ | N/A | $ | 1,327,603 | |||||||||||||||
Class 2 | 543,200,063 | 165,245,529 | 346,836,346 | 109,003,109 | 171,930,370 | 111,418,506 | |||||||||||||||||||||
Net asset value per share of outstanding capital stock by class: | |||||||||||||||||||||||||||
Class 1 | N/A | N/A | N/A | 4.927 | N/A | 18.048 | |||||||||||||||||||||
Class 2 | 23.797 | 18.686 | 11.997 | 4.788 | 13.622 | 17.773 | |||||||||||||||||||||
* Identified cost | |||||||||||||||||||||||||||
Unaffiliated issuers | $ | 363,812,401 | $ | 129,307,884 | $ | 307,459,737 | $ | 112,067,521 | $ | 168,463,393 | $ | 87,418,771 | |||||||||||||||
Affiliated issuers | – | – | – | – | – | – | |||||||||||||||||||||
** Shares outstanding by class: | |||||||||||||||||||||||||||
Class 1 | N/A | N/A | N/A | 1,081,926 | N/A | 73,558 | |||||||||||||||||||||
Class 2 | 22,826,231 | 8,843,082 | 28,911,162 | 22,767,129 | 12,621,183 | 6,269,152 | |||||||||||||||||||||
1 Foreign currency on deposit (cost) | $ | – | $ | – | $ | – | $ | – | $ | 4,137 | $ | – | |||||||||||||||
2 Premiums received | $ | – | $ | – | $ | 520,004 | $ | – | $ | – | $ | – |
65
Securian Funds Trust
Statements of Operations
Six months ended June 30, 2020
(Unaudited)
SFT Core Bond Fund | SFT Dynamic Managed Volatility Fund | SFT Government Money Market Fund | SFT Index 400 Mid-Cap Fund | SFT Index 500 Fund | SFT International Bond Fund | ||||||||||||||||||||||
Income: | |||||||||||||||||||||||||||
Interest1 | $ | 7,763,123 | $ | 3,323,357 | $ | 745,755 | $ | 130 | $ | – | $ | 1,165,771 | |||||||||||||||
Dividends1 | 35,271 | 851,717 | 123,466 | 1,511,587 | 8,441,235 | 10,718 | |||||||||||||||||||||
Foreign tax withholding | – | – | – | (169 | ) | – | (54,106 | ) | |||||||||||||||||||
Total investment income | 7,798,394 | 4,175,074 | 869,221 | 1,511,548 | 8,441,235 | 1,122,383 | |||||||||||||||||||||
Expenses (note 4): | |||||||||||||||||||||||||||
Investment advisory fee | 961,728 | 1,541,410 | 297,043 | 125,335 | 624,457 | 281,783 | |||||||||||||||||||||
Rule 12b-1 fees | 594,722 | 700,641 | 247,535 | 195,468 | 779,347 | 115,711 | |||||||||||||||||||||
Audit and accounting services | 132,174 | 106,266 | 62,606 | 70,116 | 117,355 | 78,768 | |||||||||||||||||||||
Administrative services fee | 33,417 | 22,575 | 26,752 | 16,211 | 16,211 | 42,517 | |||||||||||||||||||||
Legal fees | 11,388 | 11,388 | 11,388 | 11,388 | 18,648 | 11,486 | |||||||||||||||||||||
Custodian fees | 8,802 | 7,608 | 5,072 | 9,648 | 11,089 | 55,843 | |||||||||||||||||||||
Printing and shareholder reports | 5,320 | 5,320 | 5,320 | 5,320 | 5,320 | 5,320 | |||||||||||||||||||||
Trustee's fees | 11,437 | 11,437 | 11,437 | 11,437 | 11,437 | 11,437 | |||||||||||||||||||||
S&P licensing fee | – | – | – | 10,443 | 30,282 | – | |||||||||||||||||||||
Insurance | 4,555 | 4,555 | 4,555 | 4,555 | 4,555 | 4,555 | |||||||||||||||||||||
Other | 8,400 | 2,084 | 3,078 | 5,166 | 15,212 | 8,598 | |||||||||||||||||||||
Total expenses before fees waived | 1,771,943 | 2,413,284 | 674,786 | 465,087 | 1,633,913 | 616,018 | |||||||||||||||||||||
Less fees waived (note 4) | – | (171,241 | ) | (197,114 | ) | – | – | – | |||||||||||||||||||
Total expenses net of fees waived | 1,771,943 | 2,242,043 | 477,672 | 465,087 | 1,633,913 | 616,018 | |||||||||||||||||||||
Net investment income | 6,026,451 | 1,933,031 | 391,549 | 1,046,461 | 6,807,322 | 506,365 | |||||||||||||||||||||
Realized gains (losses) on investments and foreign currencies: | |||||||||||||||||||||||||||
Investments (note 3) | |||||||||||||||||||||||||||
Unaffiliated issuers | 6,357,401 | 20,932,439 | – | 3,672,891 | 26,433,087 | (3,004,354 | ) | ||||||||||||||||||||
Written options contracts | – | (11,688,682 | ) | – | – | – | – | ||||||||||||||||||||
Swap contracts | – | – | – | – | – | (5,621,871 | ) | ||||||||||||||||||||
Foreign forward currency contracts | – | – | – | – | – | 645,423 | |||||||||||||||||||||
Foreign currency transactions | – | – | – | – | – | 78,853 | |||||||||||||||||||||
Net increase from litigation payments | 471 | – | – | 5,654 | 12,627 | – | |||||||||||||||||||||
Futures contracts | 2,936,894 | (6,157,785 | ) | – | (26,885 | ) | (132,190 | ) | – | ||||||||||||||||||
Net change in unrealized appreciation or depreciation on: | |||||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||||
Unaffiliated issuers, net of foreign capital gains tax2 | 374 | 3,546,224 | – | (29,345,613 | ) | (63,241,121 | ) | (2,594,606 | ) | ||||||||||||||||||
Affiliated issuers (note 8) | – | (5,908,622 | ) | – | – | – | – | ||||||||||||||||||||
Written options contracts | – | 721,621 | – | – | – | – | |||||||||||||||||||||
Swap contracts | – | – | – | – | – | 1,623,904 | |||||||||||||||||||||
Translation of assets and liabilities in foreign currency | – | – | – | – | – | 100,302 | |||||||||||||||||||||
Foreign forward currency contracts | – | – | – | – | – | 1,999,315 | |||||||||||||||||||||
Futures contracts | 471,818 | (5,996,547 | ) | – | (403,051 | ) | (565,488 | ) | – | ||||||||||||||||||
Net gains (losses) on investments | 9,766,958 | (4,551,352 | ) | – | (26,097,004 | ) | (37,493,085 | ) | (6,773,034 | ) | |||||||||||||||||
Net increase (decrease) in net assets resulting from operations | $ | 15,793,409 | $ | (2,618,321 | ) | $ | 391,549 | $ | (25,050,543 | ) | $ | (30,685,763 | ) | $ | (6,266,669 | ) | |||||||||||
1 All income is from unaffiliated issuers. | |||||||||||||||||||||||||||
2 Change in unrealized appreciation or depreciation on deferred foreign capital gains tax | $ | – | $ | – | $ | – | $ | – | $ | – | $ | 32,961 |
See accompanying notes to financial statements.
66
SFT IvySM Growth Fund | SFT IvySM Small Cap Growth Fund | SFT Managed Volatility Equity Fund | SFT Real Estate Securities Fund | SFT T. Rowe Price Value Fund | SFT Wellington Core Equity Fund | ||||||||||||||||||||||
Income: | |||||||||||||||||||||||||||
Interest1 | $ | 11,575 | $ | 12,758 | $ | 7,171 | $ | – | $ | 7,908 | $ | – | |||||||||||||||
Dividends1 | 2,430,068 | 331,673 | 4,782,159 | 2,051,132 | 2,037,781 | 887,957 | |||||||||||||||||||||
Foreign tax withholding | (16,656 | ) | – | – | – | (30,573 | ) | (7,282 | ) | ||||||||||||||||||
Total investment income | 2,424,987 | 344,431 | 4,789,330 | 2,051,132 | 2,015,116 | 880,675 | |||||||||||||||||||||
Expenses (note 4): | |||||||||||||||||||||||||||
Investment advisory fee | 1,726,354 | 681,763 | 1,005,196 | 417,665 | 582,146 | 363,798 | |||||||||||||||||||||
Rule 12b-1 fees | 646,696 | 200,519 | 456,907 | 142,474 | 217,219 | 138,403 | |||||||||||||||||||||
Audit and accounting services | 84,885 | 59,372 | 70,263 | 65,939 | 59,374 | 63,203 | |||||||||||||||||||||
Administrative services fee | 16,211 | 16,211 | 16,260 | 16,211 | 16,211 | 16,211 | |||||||||||||||||||||
Legal fees | 11,388 | 11,388 | 11,388 | 11,388 | 11,388 | 11,388 | |||||||||||||||||||||
Custodian fees | 6,565 | 8,603 | 7,360 | 6,215 | 21,980 | 7,458 | |||||||||||||||||||||
Printing and shareholder reports | 5,320 | 5,320 | 5,320 | 5,320 | 5,320 | 5,320 | |||||||||||||||||||||
Trustee's fees | 11,437 | 11,437 | 11,437 | 11,437 | 11,437 | 11,437 | |||||||||||||||||||||
S&P licensing fee | – | – | – | – | – | – | |||||||||||||||||||||
Insurance | 4,555 | 4,555 | 4,555 | 4,555 | 4,555 | 4,555 | |||||||||||||||||||||
Other | 9,592 | 4,869 | 6,758 | 3,972 | 4,969 | 3,774 | |||||||||||||||||||||
Total expenses before fees waived | 2,523,003 | 1,004,037 | 1,595,444 | 685,176 | 934,599 | 625,547 | |||||||||||||||||||||
Less fees waived (note 4) | – | – | (133,349 | ) | – | – | – | ||||||||||||||||||||
Total expenses net of fees waived | 2,523,003 | 1,004,037 | 1,462,095 | 685,176 | 934,599 | 625,547 | |||||||||||||||||||||
Net investment income | (98,016 | ) | (659,606 | ) | 3,327,235 | 1,365,956 | 1,080,517 | 255,128 | |||||||||||||||||||
Realized gains (losses) on investments and foreign currencies: | |||||||||||||||||||||||||||
Investments (note 3) | |||||||||||||||||||||||||||
Unaffiliated issuers | 33,902,623 | 5,807,683 | 20,227,065 | (4,897,234 | ) | (8,309,939 | ) | 301,930 | |||||||||||||||||||
Written options contracts | – | – | (8,281,191 | ) | – | – | – | ||||||||||||||||||||
Swap contracts | – | – | – | – | – | – | |||||||||||||||||||||
Foreign forward currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Foreign currency transactions | – | – | – | – | 640 | – | |||||||||||||||||||||
Net increase from litigation payments | – | – | – | – | – | 145 | |||||||||||||||||||||
Futures contracts | – | – | (24,012,086 | ) | – | – | – | ||||||||||||||||||||
Net change in unrealized appreciation or depreciation on: | |||||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||||
Unaffiliated issuers, net of foreign capital gains tax2 | 10,726,673 | (6,399,459 | ) | (35,359,224 | ) | (13,829,980 | ) | (19,602,500 | ) | (6,097,866 | ) | ||||||||||||||||
Affiliated issuers (note 8) | – | – | – | – | – | – | |||||||||||||||||||||
Written options contracts | – | – | 486,084 | – | – | – | |||||||||||||||||||||
Swap contracts | – | – | – | – | – | – | |||||||||||||||||||||
Translation of assets and liabilities in foreign currency | – | – | – | – | 161 | – | |||||||||||||||||||||
Foreign forward currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Futures contracts | – | – | (811,861 | ) | – | – | – | ||||||||||||||||||||
Net gains (losses) on investments | 44,629,296 | (591,776 | ) | (47,751,213 | ) | (18,727,214 | ) | (27,911,638 | ) | (5,795,791 | ) | ||||||||||||||||
Net increase (decrease) in net assets resulting from operations | $ | 44,531,280 | $ | (1,251,382 | ) | $ | (44,423,978 | ) | $ | (17,361,258 | ) | $ | (26,831,121 | ) | $ | (5,540,663 | ) | ||||||||||
1 All income is from unaffiliated issuers. | |||||||||||||||||||||||||||
2 Change in unrealized appreciation or depreciation on deferred foreign capital gains tax | $ | – | $ | – | $ | – | $ | – | $ | – | $ | – |
67
Securian Funds Trust
Statements of Changes in Net Assets
Six months ended June 30, 2020 and year ended December 31, 2019
(Unaudited)
SFT Core Bond Fund | SFT Dynamic Managed Volatility Fund | SFT Government Money Market Fund | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||
Operations: | |||||||||||||||||||||||||||
Net investment income | $ | 6,026,451 | $ | 13,478,143 | $ | 1,933,031 | $ | 5,867,064 | $ | 391,549 | $ | 1,284,447 | |||||||||||||||
Net realized gains (losses) on investments | 9,294,766 | 9,488,921 | 3,085,972 | 15,312,921 | – | – | |||||||||||||||||||||
Net change in unrealized appreciation or depreciation of investments | 472,192 | 16,218,224 | (7,637,324 | ) | 70,624,152 | – | – | ||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations | 15,793,409 | 39,185,288 | (2,618,321 | ) | 91,804,137 | 391,549 | 1,284,447 | ||||||||||||||||||||
Distributions to shareholders: | |||||||||||||||||||||||||||
From distributable earnings | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | (391,549 | ) | (1,284,447 | ) | |||||||||||||||||||
Decrease in net assets from distributions | – | – | – | – | (391,549 | ) | (1,284,447 | ) | |||||||||||||||||||
Capital stock transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | 410,277 | 1,334,322 | – | – | – | – | |||||||||||||||||||||
Class 2 | 6,179,346 | 49,742,319 | 32,813,651 | 79,500,104 | 35,066,303 | 139,146,640 | |||||||||||||||||||||
Value of distributions reinvested | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | 391,549 | 1,284,447 | |||||||||||||||||||||
Payments for redemption of shares | |||||||||||||||||||||||||||
Class 1 | (422,959 | ) | (270,848 | ) | – | – | – | – | |||||||||||||||||||
Class 2 | (27,911,028 | ) | (39,982,740 | ) | (11,951,779 | ) | (8,732,213 | ) | (22,697,253 | ) | (24,840,919 | ) | |||||||||||||||
Increase (decrease) in net assets from capital stock transactions | (21,744,364 | ) | 10,823,053 | 20,861,872 | 70,767,891 | 12,760,599 | 115,590,168 | ||||||||||||||||||||
Total increase (decrease) in net assets | (5,950,955 | ) | 50,008,341 | 18,243,551 | 162,572,028 | 12,760,599 | 115,590,168 | ||||||||||||||||||||
Net assets at beginning of period | 487,877,697 | 437,869,356 | 577,804,724 | 415,232,696 | 188,350,946 | 72,760,778 | |||||||||||||||||||||
Net assets at end of period | $ | 481,926,742 | $ | 487,877,697 | $ | 596,048,275 | $ | 577,804,724 | $ | 201,111,545 | $ | 188,350,946 | |||||||||||||||
Capital share transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | 156,444 | 530,425 | – | – | – | – | |||||||||||||||||||||
Class 2 | 2,438,839 | 20,409,568 | 1,972,544 | 5,065,468 | 35,066,303 | 139,146,640 | |||||||||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | 391,549 | 1,284,447 | |||||||||||||||||||||
Payments for redemption of shares | |||||||||||||||||||||||||||
Class 1 | (166,312 | ) | (107,768 | ) | – | – | – | – | |||||||||||||||||||
Class 2 | (11,176,341 | ) | (16,439,579 | ) | (721,114 | ) | (555,947 | ) | (22,697,253 | ) | (24,840,919 | ) | |||||||||||||||
Net change from capital transactions | (8,747,370 | ) | 4,392,646 | 1,251,430 | 4,509,521 | 12,760,599 | 115,590,168 |
See accompanying notes to financial statements.
68
SFT Index 400 Mid-Cap Fund | SFT Index 500 Fund | ||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Operations: | |||||||||||||||||||
Net investment income | $ | 1,046,461 | $ | 2,271,732 | $ | 6,807,322 | $ | 14,404,923 | |||||||||||
Net realized gains (losses) on investments | 3,651,660 | 19,744,824 | 26,313,524 | 90,285,793 | |||||||||||||||
Net change in unrealized appreciation or depreciation of investments | (29,748,664 | ) | 23,403,635 | (63,806,609 | ) | 128,561,149 | |||||||||||||
Net increase (decrease) in net assets resulting from operations | (25,050,543 | ) | 45,420,191 | (30,685,763 | ) | 233,251,865 | |||||||||||||
Distributions to shareholders: | |||||||||||||||||||
From distributable earnings | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Decrease in net assets from distributions | – | – | – | – | |||||||||||||||
Capital stock transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | 1,060,287 | 2,617,325 | 3,189,682 | 8,781,974 | |||||||||||||||
Class 2 | 3,786,758 | 5,969,796 | 3,687,321 | 21,035,749 | |||||||||||||||
Value of distributions reinvested | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | (180,296 | ) | (344,997 | ) | (820,442 | ) | (576,895 | ) | |||||||||||
Class 2 | (13,411,277 | ) | (45,831,458 | ) | (45,717,722 | ) | (142,875,851 | ) | |||||||||||
Increase (decrease) in net assets from capital stock transactions | (8,744,528 | ) | (37,589,334 | ) | (39,661,161 | ) | (113,635,023 | ) | |||||||||||
Total increase (decrease) in net assets | (33,795,071 | ) | 7,830,857 | (70,346,924 | ) | 119,616,842 | |||||||||||||
Net assets at beginning of period | 198,195,877 | 190,365,020 | 914,403,786 | 794,786,944 | |||||||||||||||
Net assets at end of period | $ | 164,400,806 | $ | 198,195,877 | $ | 844,056,862 | $ | 914,403,786 | |||||||||||
Capital share transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | 235,508 | 510,620 | 257,845 | 734,837 | |||||||||||||||
Class 2 | 926,815 | 1,219,957 | 311,920 | 1,806,569 | |||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | (35,400 | ) | (67,702 | ) | (65,651 | ) | (49,423 | ) | |||||||||||
Class 2 | (2,847,027 | ) | (9,253,499 | ) | (3,779,847 | ) | (12,265,757 | ) | |||||||||||
Net change from capital transactions | (1,720,104 | ) | (7,590,624 | ) | (3,275,733 | ) | (9,773,774 | ) |
69
Securian Funds Trust
Statements of Changes in Net Assets – continued
Six months ended June 30, 2020 and year ended December 31, 2019
(Unaudited)
SFT International Bond Fund | SFT IvySM Growth Fund | SFT IvySM Small Cap Growth Fund | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||
Operations: | |||||||||||||||||||||||||||
Net investment income | $ | 506,365 | $ | 4,373,883 | $ | (98,016 | ) | $ | (142,468 | ) | $ | (659,606 | ) | $ | (1,505,495 | ) | |||||||||||
Net realized gains (losses) on investments | (7,901,949 | ) | 2,735,266 | 33,902,623 | 72,857,334 | 5,807,683 | 11,870,330 | ||||||||||||||||||||
Net change in unrealized appreciation or depreciation of investments | 1,128,915 | (5,356,463 | ) | 10,726,673 | 84,915,152 | (6,399,459 | ) | 26,987,819 | |||||||||||||||||||
Net increase (decrease) in net assets resulting from operations | (6,266,669 | ) | 1,752,686 | 44,531,280 | 157,630,018 | (1,251,382 | ) | 37,352,654 | |||||||||||||||||||
Distributions to shareholders: | |||||||||||||||||||||||||||
From distributable earnings | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Decrease in net assets from distributions | – | – | – | – | – | – | |||||||||||||||||||||
Capital stock transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | 105,600 | 293,301 | – | – | – | – | |||||||||||||||||||||
Class 2 | 2,915,019 | 3,454,630 | 975,269 | 802,099 | 257,311 | 5,859,469 | |||||||||||||||||||||
Value of distributions reinvested | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Payments for redemption of shares | |||||||||||||||||||||||||||
Class 1 | (60,905 | ) | (158,050 | ) | – | – | – | – | |||||||||||||||||||
Class 2 | (8,206,598 | ) | (9,594,759 | ) | (47,149,180 | ) | (67,472,882 | ) | (10,481,576 | ) | (29,858,350 | ) | |||||||||||||||
Increase (decrease) in net assets from capital stock transactions | (5,246,884 | ) | (6,004,878 | ) | (46,173,911 | ) | (66,670,783 | ) | (10,224,265 | ) | (23,998,881 | ) | |||||||||||||||
Total increase (decrease) in net assets | (11,513,553 | ) | (4,252,192 | ) | (1,642,631 | ) | 90,959,235 | (11,475,647 | ) | 13,353,773 | |||||||||||||||||
Net assets at beginning of period | 100,415,129 | 104,667,321 | 544,842,694 | 453,883,459 | 176,721,176 | 163,367,403 | |||||||||||||||||||||
Net assets at end of period | $ | 88,901,576 | $ | 100,415,129 | $ | 543,200,063 | $ | 544,842,694 | $ | 165,245,529 | $ | 176,721,176 | |||||||||||||||
Capital share transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | 41,592 | 111,392 | – | – | – | – | |||||||||||||||||||||
Class 2 | 1,186,273 | 1,348,942 | 45,205 | 41,386 | 15,630 | 332,095 | |||||||||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Payments for redemption of shares | |||||||||||||||||||||||||||
Class 1 | (23,904 | ) | (60,030 | ) | – | – | – | – | |||||||||||||||||||
Class 2 | (3,353,363 | ) | (3,760,062 | ) | (2,156,870 | ) | (3,458,081 | ) | (586,521 | ) | (1,679,618 | ) | |||||||||||||||
Net change from capital transactions | (2,149,402 | ) | (2,359,758 | ) | (2,111,665 | ) | (3,416,695 | ) | (570,891 | ) | (1,347,523 | ) |
See accompanying notes to financial statements.
70
SFT Managed Volatility Equity Fund | SFT Real Estate Securities Fund | ||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Operations: | |||||||||||||||||||
Net investment income | $ | 3,327,235 | $ | 7,534,805 | $ | 1,365,956 | $ | 2,117,814 | |||||||||||
Net realized gains (losses) on investments | (12,066,212 | ) | (5,380,256 | ) | (4,897,234 | ) | 8,466,622 | ||||||||||||
Net change in unrealized appreciation or depreciation of investments | (35,685,001 | ) | 50,433,581 | (13,829,980 | ) | 17,952,628 | |||||||||||||
Net increase (decrease) in net assets resulting from operations | (44,423,978 | ) | 52,588,130 | (17,361,258 | ) | 28,537,064 | |||||||||||||
Distributions to shareholders: | |||||||||||||||||||
From distributable earnings | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Decrease in net assets from distributions | – | – | – | – | |||||||||||||||
Capital stock transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 428,321 | 1,057,638 | |||||||||||||||
Class 2 | 6,777,164 | 47,244,395 | 3,111,820 | 1,584,153 | |||||||||||||||
Value of distributions reinvested | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (175,259 | ) | (372,857 | ) | |||||||||||||
Class 2 | (5,994,826 | ) | (7,839,141 | ) | (5,877,550 | ) | (16,787,194 | ) | |||||||||||
Increase (decrease) in net assets from capital stock transactions | 782,338 | 39,405,254 | (2,512,668 | ) | (14,518,260 | ) | |||||||||||||
Total increase (decrease) in net assets | (43,641,640 | ) | 91,993,384 | (19,873,926 | ) | 14,018,804 | |||||||||||||
Net assets at beginning of period | 390,477,986 | 298,484,602 | 134,208,061 | 120,189,257 | |||||||||||||||
Net assets at end of period | $ | 346,836,346 | $ | 390,477,986 | $ | 114,334,135 | $ | 134,208,061 | |||||||||||
Capital share transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 82,942 | 195,847 | |||||||||||||||
Class 2 | 530,161 | 3,734,839 | 655,257 | 304,892 | |||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (35,870 | ) | (70,129 | ) | |||||||||||||
Class 2 | (484,972 | ) | (613,619 | ) | (1,192,304 | ) | (3,250,483 | ) | |||||||||||
Net change from capital transactions | 45,189 | 3,121,220 | (489,975 | ) | (2,819,873 | ) |
71
Securian Funds Trust
Statements of Changes in Net Assets – continued
Six months ended June 30, 2020 and year ended December 31, 2019
(Unaudited)
SFT T. Rowe Price Value Fund | SFT Wellington Core Equity Fund | ||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Operations: | |||||||||||||||||||
Net investment income | $ | 1,080,517 | $ | 2,527,269 | $ | 255,128 | $ | 551,953 | |||||||||||
Net realized gains (losses) on investments | (8,309,299 | ) | 10,493,939 | 302,075 | 5,212,510 | ||||||||||||||
Net change in unrealized appreciation or depreciation of investments | (19,602,339 | ) | 31,861,701 | (6,097,866 | ) | 27,656,503 | |||||||||||||
Net increase (decrease) in net assets resulting from operations | (26,831,121 | ) | 44,882,909 | (5,540,663 | ) | 33,420,966 | |||||||||||||
Distributions to shareholders: | |||||||||||||||||||
From distributable earnings | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Decrease in net assets from distributions | – | – | – | – | |||||||||||||||
Capital stock transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 208,637 | 388,020 | |||||||||||||||
Class 2 | 5,190,208 | 890,940 | 463,966 | 826,629 | |||||||||||||||
Value of distributions reinvested | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (85,637 | ) | (184,716 | ) | |||||||||||||
Class 2 | (7,606,465 | ) | (26,185,195 | ) | (7,181,466 | ) | (13,095,888 | ) | |||||||||||
Increase (decrease) in net assets from capital stock transactions | (2,416,257 | ) | (25,294,255 | ) | (6,594,500 | ) | (12,065,955 | ) | |||||||||||
Total increase (decrease) in net assets | (29,247,378 | ) | 19,588,654 | (12,135,163 | ) | 21,355,011 | |||||||||||||
Net assets at beginning of period | 201,177,748 | 181,589,094 | 124,881,272 | 103,526,261 | |||||||||||||||
Net assets at end of period | $ | 171,930,370 | $ | 201,177,748 | $ | 112,746,109 | $ | 124,881,272 | |||||||||||
Capital share transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 12,005 | 23,139 | |||||||||||||||
Class 2 | 427,367 | 63,184 | 30,356 | 49,861 | |||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (4,763 | ) | (10,670 | ) | |||||||||||||
Class 2 | (524,252 | ) | (1,793,344 | ) | (409,424 | ) | (791,884 | ) | |||||||||||
Net change from capital transactions | (96,885 | ) | (1,730,160 | ) | (371,826 | ) | (729,554 | ) |
See accompanying notes to financial statements.
72
Securian Funds Trust
Financial Highlights
SFT Core Bond Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.571 | $ | 2.355 | $ | 2.368 | $ | 2.257 | $ | 2.157 | $ | 2.148 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .036 | .078 | .077 | .069 | .066 | .066 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments . | .055 | .138 | (.090 | ) | .042 | .034 | (.057 | ) | |||||||||||||||||||
Total from investment operations . | .091 | .216 | (.013 | ) | .111 | .100 | .009 | ||||||||||||||||||||
Net asset value, end of period | $ | 2.662 | $ | 2.571 | $ | 2.355 | $ | 2.368 | $ | 2.257 | $ | 2.157 | |||||||||||||||
Total return (b) | 3.54 | % | 9.18 | % | (0.59 | )% | 4.95 | % | 4.63 | % | 0.41 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 5,213 | $ | 5,060 | $ | 3,640 | $ | 2,608 | $ | 2,113 | $ | 6,243 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .49 | %(d) | .49 | % | .50 | % | .49 | % | .49 | % | .49 | % | |||||||||||||||
Net investment income | 2.75 | %(d) | 3.11 | % | 3.29 | % | 2.96 | % | 2.97 | % | 3.03 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 72.1 | %(e) | 130.4 | % | 151.1 | % | 159.8 | % | 249.6 | % | 179.3 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.501 | $ | 2.297 | $ | 2.316 | $ | 2.212 | $ | 2.120 | $ | 2.117 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .031 | .070 | .069 | .062 | .059 | .059 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | .055 | .134 | (.088 | ) | .042 | .033 | (.056 | ) | |||||||||||||||||||
Total from investment operations . | .086 | .204 | (.019 | ) | .104 | .092 | .003 | ||||||||||||||||||||
Net asset value, end of period | $ | 2.587 | $ | 2.501 | $ | 2.297 | $ | 2.316 | $ | 2.212 | $ | 2.120 | |||||||||||||||
Total return (b) | 3.42 | % | 8.90 | % | (0.84 | )% | 4.69 | % | 4.37 | % | 0.16 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 476,714 | $ | 482,818 | $ | 434,229 | $ | 382,697 | $ | 368,156 | $ | 382,934 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .74 | %(d) | .74 | % | .75 | % | .74 | % | .74 | % | .74 | % | |||||||||||||||
Net investment income | 2.50 | %(d) | 2.87 | % | 3.04 | % | 2.71 | % | 2.68 | % | 2.78 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 72.1 | %(e) | 130.4 | % | 151.1 | % | 159.8 | % | 249.6 | % | 179.3 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
73
Securian Funds Trust
Financial Highlights – continued
SFT Dynamic Managed Volatility Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 16.892 | $ | 13.983 | $ | 14.401 | $ | 12.210 | $ | 11.226 | $ | 11.603 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .057 | .185 | .162 | .116 | .091 | .082 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.138 | ) | 2.724 | (.580 | ) | 2.075 | .893 | (.459 | ) | ||||||||||||||||||
Total from investment operations | (.081 | ) | 2.909 | (.418 | ) | 2.191 | .984 | (.377 | ) | ||||||||||||||||||
Net asset value, end of period | $ | 16.811 | $ | 16.892 | $ | 13.983 | $ | 14.401 | $ | 12.210 | $ | 11.226 | |||||||||||||||
Total return (b) | (0.48 | )% | 20.81 | % | (2.90 | )% | 17.94 | % | 8.77 | % | (3.25 | )% | |||||||||||||||
Net assets, end of period (in thousands) | $ | 596,048 | $ | 577,805 | $ | 415,233 | $ | 373,124 | $ | 281,000 | $ | 203,987 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses before waiver (c) | .86 | %(d) | .90 | % | .98 | % | .98 | % | 1.00 | % | 1.02 | % | |||||||||||||||
Expenses net of waiver (c)(e) | .80 | %(d) | .80 | % | .80 | % | .80 | % | .80 | % | .80 | % | |||||||||||||||
Net investment income | .69 | %(d) | 1.18 | % | 1.12 | % | .87 | % | .79 | % | .71 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | – | %(f) | 1.2 | % | 2.2 | % | 1.7 | % | 1.4 | % | 5.1 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Ratio is net of fees waived by the advisor and distributor (see note 4).
(f) Not Annualized.
74
Securian Funds Trust
Financial Highlights – continued
SFT Government Money Market Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 1.000 | $ | 1.000 | $ | 1.000 | $ | 1.000 | $ | 1.000 | $ | 1.000 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .002 | .015 | .012 | .001 | – | – | |||||||||||||||||||||
Net realized and unrealized gain on investments | – | – | – | – | – | – | |||||||||||||||||||||
Total from investment operations | .002 | .015 | .012 | .001 | – | – | |||||||||||||||||||||
Less distributions: | |||||||||||||||||||||||||||
Distributions from net investment income | (.002 | ) | (.015 | ) | (.012 | ) | (.001 | ) | – | – | |||||||||||||||||
Net asset value, end of period | $ | 1.000 | $ | 1.000 | $ | 1.000 | $ | 1.000 | $ | 1.000 | $ | 1.000 | |||||||||||||||
Total return (b) | 0.21 | % | 1.50 | % | 1.18 | % | 0.13 | % | – | % | – | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 201,112 | $ | 188,351 | $ | 72,761 | $ | 66,980 | $ | 77,795 | $ | 88,829 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses before waiver | .68 | %(c) | .83 | % | .90 | % | .92 | % | .91 | % | .85 | % | |||||||||||||||
Expenses net of waiver (d)(e) | .48 | %(c) | .70 | % | .70 | % | .78 | % | .36 | % | .12 | % | |||||||||||||||
Net investment income | .40 | %(c) | 1.35 | % | 1.18 | % | .13 | % | – | % | – | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) Adjusted to an annual basis.
(d) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(e) Ratio is net of fees waived by the advisor and distributor (see note 4).
75
Securian Funds Trust
Financial Highlights – continued
SFT Index 400 Mid-Cap Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 5.527 | $ | 4.392 | $ | 4.955 | $ | 4.275 | $ | 3.553 | $ | 3.640 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) . | .035 | .067 | .065 | .055 | .045 | .046 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.748 | ) | 1.068 | (.628 | ) | .625 | .677 | (.133 | ) | ||||||||||||||||||
Total from investment operations | (.713 | ) | 1.135 | (.563 | ) | .680 | .722 | (.087 | ) | ||||||||||||||||||
Net asset value, end of period | $ | 4.814 | $ | 5.527 | $ | 4.392 | $ | 4.955 | $ | 4.275 | $ | 3.553 | |||||||||||||||
Total return (b) | (12.90 | )% | 25.82 | % | (11.36 | )% | 15.90 | % | 20.34 | % | (2.39 | )% | |||||||||||||||
Net assets, end of period (in thousands) | $ | 11,492 | $ | 12,088 | $ | 7,662 | $ | 6,378 | $ | 4,290 | $ | 16,847 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) . | .32 | %(d) | .29 | % | .27 | % | .26 | % | .26 | % | .26 | % | |||||||||||||||
Net investment income | 1.49 | %(d) | 1.31 | % | 1.29 | % | 1.21 | % | 1.24 | % | 1.24 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 7.8 | %(e) | 15.1 | % | 14.6 | % | 16.6 | % | 18.5 | % | 16.1 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 5.377 | $ | 4.284 | $ | 4.845 | $ | 4.191 | $ | 3.491 | $ | 3.586 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .028 | .054 | .050 | .042 | .039 | .036 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.727 | ) | 1.039 | (.611 | ) | .612 | .661 | (.131 | ) | ||||||||||||||||||
Total from investment operations | (.699 | ) | 1.093 | (.561 | ) | .654 | .700 | (.095 | ) | ||||||||||||||||||
Net asset value, end of period | $ | 4.678 | $ | 5.377 | $ | 4.284 | $ | 4.845 | $ | 4.191 | $ | 3.491 | |||||||||||||||
Total return (b) | (13.01 | )% | 25.51 | % | (11.58 | )% | 15.61 | % | 20.04 | % | (2.63 | )% | |||||||||||||||
Net assets, end of period (in thousands) | $ | 152,909 | $ | 186,108 | $ | 182,703 | $ | 220,335 | $ | 214,408 | $ | 185,717 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .57 | %(d) | .54 | % | .52 | % | .51 | % | .51 | % | .51 | % | |||||||||||||||
Net investment income | 1.24 | %(d) | 1.09 | % | 1.03 | % | .95 | % | 1.06 | % | .98 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 7.8 | %(e) | 15.1 | % | 14.6 | % | 16.6 | % | 18.5 | % | 16.1 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
76
Securian Funds Trust
Financial Highlights – continued
SFT Index 500 Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 13.309 | $ | 10.144 | $ | 10.629 | $ | 8.745 | $ | 7.829 | $ | 7.737 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .112 | .215 | .192 | .175 | .160 | .147 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.527 | ) | 2.950 | (.677 | ) | 1.709 | .756 | (.055 | ) | ||||||||||||||||||
Total from investment operations | (.415 | ) | 3.165 | (.485 | ) | 1.884 | .916 | .092 | |||||||||||||||||||
Net asset value, end of period | $ | 12.894 | $ | 13.309 | $ | 10.144 | $ | 10.629 | $ | 8.745 | $ | 7.829 | |||||||||||||||
Total return (b) | (3.12 | )% | 31.20 | % | (4.56 | )% | 21.54 | % | 11.72 | % | 1.18 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 219,884 | $ | 224,410 | $ | 164,095 | $ | 167,661 | $ | 133,014 | $ | 110,210 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .21 | %(d) | .20 | % | .20 | % | .20 | % | .20 | % | .21 | % | |||||||||||||||
Net investment income | 1.82 | %(d) | 1.81 | % | 1.74 | % | 1.82 | % | 1.97 | % | 1.88 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 1.0 | %(e) | 2.6 | % | 2.4 | % | 2.7 | % | 3.5 | % | 6.1 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 12.949 | $ | 9.894 | $ | 10.393 | $ | 8.573 | $ | 7.693 | $ | 7.622 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .094 | .181 | .160 | .148 | .136 | .124 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.514 | ) | 2.874 | (.659 | ) | 1.672 | .744 | (.053 | ) | ||||||||||||||||||
Total from investment operations | (.420 | ) | 3.055 | (.499 | ) | 1.820 | .880 | .071 | |||||||||||||||||||
Net asset value, end of period | $ | 12.529 | $ | 12.949 | $ | 9.894 | $ | 10.393 | $ | 8.573 | $ | 7.693 | |||||||||||||||
Total return (b) | (3.24 | )% | 30.88 | % | (4.80 | )% | 21.23 | % | 11.44 | % | 0.93 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 624,173 | $ | 689,994 | $ | 630,692 | $ | 708,275 | $ | 609,796 | $ | 577,069 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .46 | %(d) | .45 | % | .45 | % | .45 | % | .45 | % | .46 | % | |||||||||||||||
Net investment income | 1.57 | %(d) | 1.56 | % | 1.49 | % | 1.57 | % | 1.72 | % | 1.61 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 1.0 | %(e) | 2.6 | % | 2.4 | % | 2.7 | % | 3.5 | % | 6.1 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
77
Securian Funds Trust
Financial Highlights – continued
SFT International Bond Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.620 | $ | 2.570 | $ | 2.533 | $ | 2.499 | $ | 2.418 | $ | 2.517 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .017 | .116 | .091 | .102 | .064 | .063 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.180 | ) | (.066 | ) | (.054 | ) | (.068 | ) | .017 | (.162 | ) | ||||||||||||||||
Total from investment operations | (.163 | ) | .050 | .037 | .034 | .081 | (.099 | ) | |||||||||||||||||||
Net asset value, end of period | $ | 2.457 | $ | 2.620 | $ | 2.570 | $ | 2.533 | $ | 2.499 | $ | 2.418 | |||||||||||||||
Total return (b) | (6.24 | )% | 1.93 | % | 1.46 | % | 1.38 | % | 3.35 | % | (3.92 | )% | |||||||||||||||
Net assets, end of period (in thousands) | $ | 1,352 | $ | 1,396 | $ | 1,237 | $ | 1,134 | $ | 1,097 | $ | 984 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.07 | %(d) | 1.01 | % | .95 | % | .98 | % | 1.00 | % | .89 | % | |||||||||||||||
Net investment income | 1.31 | %(d) | 4.43 | % | 3.57 | % | 3.97 | % | 2.67 | % | 2.55 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 54.6 | %(e) | 23.4 | % | 20.4 | % | 58.7 | % | 54.0 | % | 42.4 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.549 | $ | 2.507 | $ | 2.477 | $ | 2.450 | $ | 2.376 | $ | 2.479 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .013 | .108 | .082 | .093 | .057 | .056 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.175 | ) | (.066 | ) | (.052 | ) | (.066 | ) | .017 | (.159 | ) | ||||||||||||||||
Total from investment operations | (.162 | ) | .042 | .030 | .027 | .074 | (.103 | ) | |||||||||||||||||||
Net asset value, end of period | $ | 2.387 | $ | 2.549 | $ | 2.507 | $ | 2.477 | $ | 2.450 | $ | 2.376 | |||||||||||||||
Total return (b) | (6.36 | )% | 1.68 | % | 1.21 | % | 1.12 | % | 3.09 | % | (4.16 | )% | |||||||||||||||
Net assets, end of period (in thousands) | $ | 87,550 | $ | 99,019 | $ | 103,430 | $ | 106,869 | $ | 109,908 | $ | 112,548 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.32 | %(d) | 1.26 | % | 1.20 | % | 1.23 | % | 1.24 | % | 1.14 | % | |||||||||||||||
Net investment income | 1.08 | %(d) | 4.20 | % | 3.32 | % | 3.72 | % | 2.42 | % | 2.29 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 54.6 | %(e) | 23.4 | % | 20.4 | % | 58.7 | % | 54.0 | % | 42.4 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
78
Securian Funds Trust
Financial Highlights – continued
SFT Ivysm Growth Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 21.848 | $ | 16.007 | $ | 15.662 | $ | 12.120 | $ | 12.012 | $ | 11.253 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | (.004 | ) | (.005 | ) | .008 | .022 | .034 | .001 | |||||||||||||||||||
Net realized and unrealized gain on investments | 1.953 | 5.846 | .337 | 3.520 | .074 | .758 | |||||||||||||||||||||
Total from investment operations | 1.949 | 5.841 | .345 | 3.542 | .108 | .759 | |||||||||||||||||||||
Net asset value, end of period | $ | 23.797 | $ | 21.848 | $ | 16.007 | $ | 15.662 | $ | 12.120 | $ | 12.012 | |||||||||||||||
Total return (b) | 8.92 | % | 36.49 | % | 2.21 | % | 29.22 | % | 0.91 | % | 6.74 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 543,200 | $ | 544,843 | $ | 453,883 | $ | 504,437 | $ | 438,985 | $ | 479,081 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) . | .98 | %(d) | .98 | % | .97 | % | .97 | % | .98 | % | .97 | % | |||||||||||||||
Net investment income | (.04 | )%(d) | (.03 | )% | .04 | % | .16 | % | .29 | % | .01 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 16.8 | %(e) | 29.9 | % | 42.3 | % | 40.5 | % | 52.5 | % | 31.6 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
79
Securian Funds Trust
Financial Highlights – continued
SFT Ivysm Small Cap Growth Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 18.772 | $ | 15.181 | $ | 15.802 | $ | 12.611 | $ | 10.414 | $ | 10.810 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | (.072 | ) | (.146 | ) | (.102 | ) | (.111 | ) | (.076 | ) | (.090 | ) | |||||||||||||||
Net realized and unrealized gain(loss) on investments | (.014 | ) | 3.737 | (.519 | ) | 3.302 | 2.273 | (.306 | ) | ||||||||||||||||||
Total from investment operations | (.086 | ) | 3.591 | (.621 | ) | 3.191 | 2.197 | (.396 | ) | ||||||||||||||||||
Net asset value, end of period | $ | 18.686 | $ | 18.772 | $ | 15.181 | $ | 15.802 | $ | 12.611 | $ | 10.414 | |||||||||||||||
Total return (b) | (0.49 | )% | 23.66 | % | (3.93 | )% | 25.30 | % | 21.10 | % | (3.66 | )% | |||||||||||||||
Net assets, end of period (in thousands) | $ | 165,246 | $ | 176,721 | $ | 163,367 | $ | 184,233 | $ | 163,294 | $ | 145,465 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.25 | %(d) | 1.23 | % | 1.21 | % | 1.22 | % | 1.24 | % | 1.19 | % | |||||||||||||||
Net investment income | (.82 | )%(d) | (.81 | )% | (.59 | )% | (.78 | )% | (.68 | )% | (.80 | )% | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 30.0 | %(e) | 43.3 | % | 53.1 | % | 54.4 | % | 99.2 | % | 65.4 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
80
Securian Funds Trust
Financial Highlights – continued
SFT Managed Volatility Equity Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 (a) | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 13.527 | $ | 11.594 | $ | 12.195 | $ | 10.483 | $ | 10.064 | $ | 10.000 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (b) | .115 | .275 | .220 | .169 | .253 | .066 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (1.645 | ) | 1.658 | (.821 | ) | 1.543 | .166 | (.002 | ) | ||||||||||||||||||
Total from investment operations | (1.530 | ) | 1.933 | (.601 | ) | 1.712 | .419 | .064 | |||||||||||||||||||
Net asset value, end of period | $ | 11.997 | $ | 13.527 | $ | 11.594 | $ | 12.195 | $ | 10.483 | $ | 10.064 | |||||||||||||||
Total return (c) | (11.32 | )% | 16.67 | % | (4.93 | )% | 16.33 | % | 4.16 | % | 0.64 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 346,836 | $ | 390,478 | $ | 298,485 | $ | 261,481 | $ | 200,138 | $ | 25,514 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses before waiver (d) | .87 | %(e) | .90 | % | .97 | % | .99 | % | 1.09 | % | 2.28 | %(e) | |||||||||||||||
Expenses net of waiver (f) | .80 | %(e) | .80 | % | .80 | % | .80 | % | .80 | % | .80 | %(e) | |||||||||||||||
Net investment income | 1.82 | %(e) | 2.17 | % | 1.82 | % | 1.48 | % | 2.43 | % | 5.53 | %(e) | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 19.7 | %(g) | – | % | – | % | 9.2 | % | 8.5 | % | – | %(g) |
(a) The Fund commenced operations on November 18, 2015.
(b) Based on average shares outstanding during the year.
(c) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(d) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(e) Adjusted to an annual basis.
(f) Ratio is net of fees waived by the advisor and distributor (see note 4).
(g) Not Annualized.
81
Securian Funds Trust
Financial Highlights – continued
SFT Real Estate Securities Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 5.661 | $ | 4.534 | $ | 4.781 | $ | 4.526 | $ | 4.324 | $ | 4.108 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .065 | .096 | .085 | .081 | .074 | .066 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.799 | ) | 1.031 | (.332 | ) | .174 | .128 | .150 | |||||||||||||||||||
Total from investment operations | (.734 | ) | 1.127 | (.247 | ) | .255 | .202 | .216 | |||||||||||||||||||
Net asset value, end of period | $ | 4.927 | $ | 5.661 | $ | 4.534 | $ | 4.781 | $ | 4.526 | $ | 4.324 | |||||||||||||||
Total return (b) | (12.96 | )% | 24.87 | % | (5.16 | )% | 5.63 | % | 4.66 | % | 5.25 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 5,331 | $ | 5,858 | $ | 4,122 | $ | 3,583 | $ | 3,085 | $ | 6,750 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .91 | %(d) | .88 | % | .87 | % | .85 | % | .82 | % | .84 | % | |||||||||||||||
Net investment income | 2.56 | %(d) | 1.79 | % | 1.83 | % | 1.75 | % | 1.68 | % | 1.59 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 38.4 | %(e) | 55.5 | % | 70.0 | % | 75.4 | % | 78.0 | % | 65.8 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 5.508 | $ | 4.422 | $ | 4.674 | $ | 4.436 | $ | 4.249 | $ | 4.047 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .056 | .082 | .072 | .070 | .063 | .053 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.776 | ) | 1.004 | (.324 | ) | .168 | .124 | .149 | |||||||||||||||||||
Total from investment operations | (.720 | ) | 1.086 | (.252 | ) | .238 | .187 | .202 | |||||||||||||||||||
Net asset value, end of period | $ | 4.788 | $ | 5.508 | $ | 4.422 | $ | 4.674 | $ | 4.436 | $ | 4.249 | |||||||||||||||
Total return (b) | (13.07 | )% | 24.56 | % | (5.40 | )% | 5.37 | % | 4.40 | % | 4.99 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 109,003 | $ | 128,350 | $ | 116,067 | $ | 132,372 | $ | 143,139 | $ | 145,156 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.16 | %(d) | 1.13 | % | 1.12 | % | 1.10 | % | 1.08 | % | 1.09 | % | |||||||||||||||
Net investment income | 2.28 | %(d) | 1.59 | % | 1.60 | % | 1.55 | % | 1.43 | % | 1.30 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 38.4 | %(e) | 55.5 | % | 70.0 | % | 75.4 | % | 78.0 | % | 65.8 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
82
Securian Funds Trust
Financial Highlights – continued
SFT T. Rowe Price Value Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 15.818 | $ | 12.568 | $ | 13.933 | $ | 11.747 | $ | 10.617 | $ | 10.836 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .086 | .186 | .174 | .153 | .173 | .119 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (2.282 | ) | 3.064 | (1.539 | ) | 2.033 | .957 | (.338 | ) | ||||||||||||||||||
Total from investment operations | (2.196 | ) | 3.250 | (1.365 | ) | 2.186 | 1.130 | (.219 | ) | ||||||||||||||||||
Net asset value, end of period | $ | 13.622 | $ | 15.818 | $ | 12.568 | $ | 13.933 | $ | 11.747 | $ | 10.617 | |||||||||||||||
Total return (b) | (13.88 | )% | 25.86 | % | (9.80 | )% | 18.61 | % | 10.65 | % | (2.02 | )% | |||||||||||||||
Net assets, end of period (in thousands) | $ | 171,930 | $ | 201,178 | $ | 181,589 | $ | 226,215 | $ | 208,513 | $ | 207,698 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.08 | %(d) | 1.06 | % | 1.04 | % | 1.03 | % | 1.03 | % | 1.01 | % | |||||||||||||||
Net investment income | 1.24 | %(d) | 1.28 | % | 1.26 | % | 1.20 | % | 1.59 | % | 1.10 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 71.5 | %(e) | 131.1 | % | 140.0 | % | 90.4 | % | 102.9 | % | 65.0 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
83
Securian Funds Trust
Financial Highlights – continued
SFT Wellington Core Equity Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 18.861 | $ | 14.069 | $ | 14.369 | $ | 11.834 | $ | 11.261 | $ | 11.148 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .062 | .120 | .099 | .084 | .089 | .075 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.875 | ) | 4.672 | (.399 | ) | 2.451 | .484 | .038 | |||||||||||||||||||
Total from investment operations | (.813 | ) | 4.792 | (.300 | ) | 2.535 | .573 | .113 | |||||||||||||||||||
Net asset value, end of period | $ | 18.048 | $ | 18.861 | $ | 14.069 | $ | 14.369 | $ | 11.834 | $ | 11.261 | |||||||||||||||
Total return (b) | (4.31 | )% | 34.06 | % | (2.09 | )% | 21.42 | % | 5.09 | % | 1.01 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 1,328 | $ | 1,251 | $ | 757 | $ | 706 | $ | 696 | $ | 587 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .87 | %(d) | .86 | % | .84 | % | .85 | % | .80 | % | .78 | % | |||||||||||||||
Net investment income | .71 | %(d) | .71 | % | .66 | % | .64 | % | .80 | % | .66 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 12.6 | %(e) | 14.9 | % | 21.6 | % | 138.0 | % | 88.8 | % | 84.6 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2020 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2019 | 2018 | 2017 | 2016 | 2015 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 18.596 | $ | 13.906 | $ | 14.238 | $ | 11.755 | $ | 11.214 | $ | 11.129 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .039 | .077 | .060 | .051 | .060 | .046 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.862 | ) | 4.613 | (.392 | ) | 2.432 | .481 | .039 | |||||||||||||||||||
Total from investment operations | (.823 | ) | 4.690 | (.332 | ) | 2.483 | .541 | .085 | |||||||||||||||||||
Net asset value, end of period | $ | 17.773 | $ | 18.596 | $ | 13.906 | $ | 14.238 | $ | 11.755 | $ | 11.214 | |||||||||||||||
Total return (b) | (4.43 | )% | 33.73 | % | (2.33 | )% | 21.12 | % | 4.83 | % | 0.76 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 111,418 | $ | 123,630 | $ | 102,769 | $ | 120,185 | $ | 113,799 | $ | 128,297 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.12 | %(d) | 1.11 | % | 1.09 | % | 1.10 | % | 1.05 | % | 1.03 | % | |||||||||||||||
Net investment income | .45 | %(d) | .47 | % | .40 | % | .40 | % | .54 | % | .41 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 12.6 | %(e) | 14.9 | % | 21.6 | % | 138.0 | % | 88.8 | % | 84.6 | % |
(a) Based on average shares outstanding during the year.
(b) Total return figures are based on a share outstanding throughout the period and assume reinvestment of distributions at net asset value. Total return figures do not reflect charges pursuant to the terms of the variable life insurance policies and variable annuity contracts funded by separate accounts that invest in the Fund's shares. For periods less than one year, total return presented has not been annualized.
(c) In addition to fees and expenses which the Fund bears directly, the Fund indirectly bears a pro rata share of the fees and expenses of the acquired funds in which it invests. Such indirect expenses are not included in the above reported expense ratios.
(d) Adjusted to an annual basis.
(e) Not Annualized.
84
Securian Funds Trust
Notes to Financial Statements
June 30, 2020
(Unaudited)
(1) Organization
Securian Funds Trust (the "Trust") is a Delaware statutory trust registered under the Investment Company Act of 1940, as amended (the "1940 Act") as a no-load, diversified open-end management investment company, except that SFT International Bond Fund operates as a non-diversified, open-end management investment company. The Trust is a series trust that includes the Funds and share classes listed below:
Fund Name | Share Class 1 | Share Class 2 | |||||||||
SFT Core Bond Fund | P | P | |||||||||
SFT Dynamic Managed Volatility Fund | NA | P | |||||||||
SFT Government Money Market Fund | NA | P | |||||||||
SFT Index 400 Mid-Cap Fund | P | P | |||||||||
SFT Index 500 Fund | P | P | |||||||||
SFT International Bond Fund | P | P | |||||||||
SFT IvySM Growth Fund | NA | P | |||||||||
SFT IvySM Small Cap Growth Fund | NA | P | |||||||||
SFT Managed Volatility Equity Fund | NA | P | |||||||||
SFT Real Estate Securities Fund | P | P | |||||||||
SFT T. Rowe Price Value Fund | NA | P | |||||||||
SFT Wellington Core Equity Fund | P | P |
Securian Asset Management, Inc. ("Securian AM"), a wholly-owned subsidiary of Securian Financial Group, Inc. ("Securian Financial Group"), serves as the investment adviser to each of the Funds in the Trust pursuant to an investment advisory agreement between Securian AM and the Trust. The Trust's prospectus provides a detailed description of each Fund's investment objective, policies and strategies.
Class 2 shares are subject to a 12b-1 distribution fee. Both classes of shares have identical voting, dividend, liquidation and other rights, and the same terms and conditions, except that Class 1 shares are not subject to a 12b-1 distribution fee. Income, expenses (other than Rule 12b-1 fees) and realized and unrealized gains or losses are allocated to each class of shares based upon their relative net assets.
The Trust accounts for the assets, liabilities and operations of each Fund separately. Shares of the Trust are not offered directly to the public, but sold only to Minnesota Life Insurance Company ("Minnesota Life") and Securian Life Insurance Company ("Securian Life") in connection with Minnesota Life and Securian Life variable life insurance policies and variable annuity contracts, and to certain other separate accounts of life insurance affiliates of Minnesota Life and Securian Life, and may also be offered to certain qualified plans.
The Funds are investment companies and follow accounting and reporting guidance under Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 946, "Financial Services—Investment Companies." The significant accounting policies followed consistently by the Trust are as follows:
Use of Estimates
The preparation of financial statements in conformity with U.S. generally accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, including disclosure of contingent assets and liabilities, as of the balance sheet date and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
(2) Summary of Significant Accounting Policies
Investments in Securities
Each Fund's net asset value is generally calculated as of the close of normal trading on the New York Stock Exchange (typically 3:00 p.m. Central Time). Investments in securities traded on a U.S. or foreign securities
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Notes to Financial Statements – continued
(2) Summary of Significant Accounting Policies – (continued)
exchange are valued at the last sale price on that exchange prior to the time when assets are valued; securities traded in the over-the-counter market and listed securities for which no sale was reported on that date are valued on the basis of the last current bid price by an independent pricing service or at a price deemed best to reflect fair value quoted by dealers who make markets in these securities. The pricing service may use models that price securities based on current yields and relative security characteristics, such as coupon rate, maturity date, issuer credit quality and prepayment speeds, as applicable. When market quotations are not readily available, securities are valued at fair value as determined in good faith by the Securian AM Valuation Committee ("the Valuation Committee") under the supervision of the Trust's Board of Trustees (the "Board") and in accordance with Board-approved valuation policies and procedures. The Board has delegated the daily oversight of the securities valuation function to the Valuation Committee whose members ensure the valuations comply with the valuation policies and affirms the reasonableness of the fair valuation determinations. The fair valued securities are reviewed by the Board at their quarterly meetings.
A Fund's investments will also be valued at fair value by the Valuation Committee if Securian AM determines that an event impacting the value of an investment occurred after the close of the security's primary exchange or market (for example, a foreign exchange or market) and before the time the Fund's net asset value is calculated. If a significant event impacting the value of a security or group of securities occurs, the Valuation Committee is immediately notified and the members meet promptly to determine whether fair value pricing is needed in accordance with the Fund's valuation procedures and, if so, to approve the pricing methodology to be used.
Short-term securities, with the exception of those held in the SFT Government Money Market Fund, are valued at market value. Pursuant to Rule 2a-7 of the 1940 Act, all securities in the SFT Government Money Market Fund are valued at amortized cost, which approximates market value, in order to attempt to maintain a constant net asset value of $1.00 per share. However, there is no assurance the SFT Government Money Market Fund will maintain the $1.00 net asset value.
Security transactions are accounted for on the date the securities are purchased or sold. Realized gains and losses are calculated using the first in, first out basis. Paydowns of securities are recorded as receivables as of the due date, which varies by the issuer. Dividend income is recognized on the ex-dividend date or upon dividend notification for certain foreign securities, and interest income, including amortization of bond premium and accretion of bond discount computed on an effective yield basis, is accrued daily.
Foreign Currency Translations and Forward Foreign Currency Contracts
Securities and other assets and liabilities denominated in foreign currencies are translated daily into U.S. dollars at the closing rate of exchange. Foreign currency amounts related to the purchase or sale of securities, income and expenses are translated at the exchange rate on the transaction date.
The Fund isolates the portion of the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities.
Net realized foreign exchange gains or losses arise from sales and maturities of short-term securities, sales of foreign currencies, currency gains or losses realized between trade and settlement dates on security transactions, the difference between the amounts of dividends, interest and foreign withholding taxes recorded on the Fund's books and the U.S. dollar equivalent of the amounts actually received or paid. Net unrealized foreign exchange gains and losses arise from changes in the value of assets and liabilities, other than investments in securities, resulting from changes in the exchange rates.
SFT International Bond Fund may enter into forward foreign currency exchange contracts for operational purposes and to protect against adverse exchange rate fluctuations. A forward foreign currency contract is an agreement between the Fund and a counterparty to buy or sell a foreign currency at a specific exchange rate on
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(2) Summary of Significant Accounting Policies – (continued)
a future date. SFT International Bond Fund may also enter into these contracts for purposes of increasing exposure to a foreign currency or to shift exposure to foreign currency fluctuations from one country to another. The net U.S. dollar value of foreign currency underlying all contractual commitments held by SFT International Bond Fund and the resulting unrealized appreciation or depreciation are determined using foreign currency exchange rates from an independent pricing service. SFT International Bond Fund is subject to the credit risk that the other party will not complete the obligations of the contract. The fair values of the forward foreign currency exchange contracts are obtained from an independent pricing source.
Futures Transactions
To gain exposure to, or for protection from market changes, the Funds (excluding the SFT Government Money Market Fund) may buy and sell financial futures contracts traded on any U.S. or foreign exchange. The Funds may also buy and write put and call options on these futures contracts. Risks of entering into futures contracts and related options include the possibility of an illiquid market and that a change in the value of the contract or option may not correlate with changes in the value of the underlying securities.
Upon entering into a futures contract, a Fund is required to deposit either cash or securities in an amount (initial margin) equal to a certain percentage of the contract value as determined by each relevant clearing agency and is aggregated at a Futures Commission Merchant ("FCM") which is registered with the Commodity Futures Trading Commission or the applicable regulator. Subsequent payments (variation margin) are made or received by a Fund each day. The variation margin payments are equal to the daily changes in the contract value and are recorded as unrealized gains and losses. A Fund recognizes a realized gain or loss when the contract is closed or expired. In the event of default, counterparty risk is significantly reduced as creditors to the FCM do not have claim to a Fund's assets in the segregated account. For a listing of open futures contracts see the Investments in Securities for each Fund.
Interest Rate Swaps
The SFT International Bond Fund may enter into interest rate swap contracts primarily to manage interest rate risk. An interest rate swap is an agreement between the Fund and a counterparty to exchange interest rate cash flows during the life of the agreement. Each party's payment obligation is computed based on different interest rates, applied to a notional amount. Interest rate swaps often exchange payments based on a fixed rate for payments linked to a floating rate (i.e. LIBOR).
These agreements are executed on a registered exchange ("centrally cleared interest rate swaps"), significantly reducing risk from counterparty default. Upon entering into an interest rate swap contract, a Fund is required to pledge an initial margin, and the daily change in fair value is accounted for as a variation margin payable or receivable on the Statement of Assets and Liabilities. Over the term of the contract, contractually required payments to be paid and to be received are accrued daily and recorded as unrealized appreciation and depreciation until the payments are made.
Options Transactions
Each Fund (excluding the SFT Government Money Market Fund) may write (i.e., sell) covered call and secured put options and purchase and sell put and call options written by others. An option is a type of derivative financial instrument. The Funds may invest in derivative financial instruments, including options, in order to manage risk or gain exposure to various other investments or markets. The risk in writing a call option is that the Fund gives up the opportunity for profit if the market price of the security increases. The risk in writing a put option is that a Fund may incur a loss if the market price of the security decreases and the option is exercised.
The risk in buying an option is that the Fund pays a premium whether or not the option is exercised. The Fund also has the additional risk of not being able to enter into a closing transaction if a liquid secondary market does
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Notes to Financial Statements – continued
(2) Summary of Significant Accounting Policies – (continued)
not exist. Option contracts are valued daily and unrealized appreciation or depreciation is recorded. The Fund will realize a gain or loss upon expiration or closing of the option transaction. When an option is exercised, the proceeds on sales for a written call option, the purchase cost for a written put option, or the cost of a security for a purchased put or call option is adjusted by the amount of premium received or paid. The Funds designate collateral consisting of cash, U.S. government securities or other liquid assets sufficient to collateralize the market value of written options.
Repurchase Agreements
Each Fund may enter into repurchase agreements with respect to securities. A repurchase agreement is a transaction in which a Fund acquires a security and simultaneously commits to resell that security to the seller (a bank or securities dealer) at an agreed-upon price on an agreed-upon date. Each Fund requires at all times that the repurchase agreement be collateralized by cash, U.S. Government securities, U.S. Government agencies securities or corporate securities having a value equal to, or in excess of, the value of the repurchase agreement. If the seller of the agreement defaults on its obligation to repurchase the underlying securities at a time when the value of those securities has declined, a Fund may incur a loss upon disposition of the securities. Repurchase agreements are carried at amortized cost. At June 30, 2020, no Funds were invested in repurchase agreements.
Federal Taxes
Each Fund, other than SFT Dynamic Managed Volatility Fund, SFT International Bond Fund, SFT Managed Volatility Equity Fund, and SFT T. Rowe Price Value Fund, qualifies for federal income tax purposes as a partnership under the Internal Revenue Code of 1986, as amended (the "Code"). A Fund is treated, for federal income tax purposes, as a partnership if it has more than one shareholder. A Fund's election to be treated as a partnership is not expected to result in any material adverse federal income tax consequences to any owner of a variable annuity contract or variable life insurance policy, or in the tax treatment of any such contract or policy. As a partnership, a Fund is not subject to income tax, and any income, gains, deductions or losses of the Fund will instead pass through and be taken into account for federal income tax purposes by its partners, which will be Minnesota Life and Securian Life through their respective separate accounts. SFT Dynamic Managed Volatility Fund, SFT Managed Volatility Equity Fund and SFT T. Rowe Price Value Fund are treated as disregarded entities for federal income tax purposes. While the Trust anticipates that each Fund other than SFT Dynamic Managed Volatility Fund, SFT Managed Volatility Equity Fund, and SFT T. Rowe Price Value Fund will always have two shareholders, Minnesota Life and Securian Life, a wholly owned subsidiary of Minnesota Life, such ownership could change and accordingly a Fund may at some time have only one shareholder and would be treated as a disregarded entity for federal income tax purposes. A disregarded entity is disregarded for federal income tax purposes as an entity separate from its owner, and the owner is treated as directly owning the assets of the disregarded entity and takes into account for federal income tax purposes the income, gains, deductions and losses relating to those assets.
SFT International Bond Fund qualifies as a regulated investment company for federal income tax purposes. The Fund's policy is to comply with the requirements of subchapter M of the Internal Revenue Code that are applicable to regulated investment companies and to distribute all (or a sufficient amount) its taxable income and net capital gain to its shareholders. Therefore, no income tax provision is required.
The FASB ASC Topic 740, "Income Taxes" (ASC 740), provides guidance for how uncertain tax positions should be recognized, measured, presented, and disclosed in the financial statements. The Funds have evaluated the implications of ASC 740 for all open tax years, and have determined there is no impact to the Funds' financial statements as of the six months ended June 30, 2020. The Funds' federal and state income returns for which the applicable statutes of limitations have not expired (2016, 2017, 2018 and 2019) remain subject to examination by the Internal Revenue Service and states department of revenue.
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Notes to Financial Statements – continued
(2) Summary of Significant Accounting Policies – (continued)
Net investment income (loss) and net realized gains (losses) may differ for financial statement and tax purposes primarily because of temporary book-to-tax differences.
Distributions to Shareholders
Distributions to shareholders from net investment income and realized gains (if any) for the SFT Government Money Market Fund are declared daily and reinvested at month-end in additional shares of capital stock. Distributions to shareholders from net investment income and realized gains (if any) for the SFT International Bond Fund are generally declared and reinvested in additional shares of capital stock on an annual basis. The SFT International Bond Fund uses consent dividends in place of regular distributions. The Funds within the partnership are not required to distribute taxable income, and Funds other than SFT Government Money Market Fund and SFT International Bond Fund will not distribute taxable income.
Securities Purchased on a When-Issued or Forward Commitment Basis
Delivery and payment for securities which have been purchased or sold by a Fund on a when-issued or forward commitment basis can take place a month or more after the transaction date. During this period, such securities are subject to market fluctuations. As of June 30, 2020, the SFT Core Bond Fund had entered into outstanding, when-issued or forward commitments at a fair value of $3,841,534. The Fund has segregated assets to cover such when-issued and forward commitments.
Cross-Trades
The Funds are permitted to purchase and sell securities ("cross-trade") from and to other Funds within the Trust as well as outside of the Trust, where both accounts are managed by the same sub-adviser pursuant to "Cross-Trading" procedures adopted by the Board. These procedures have been designed to ensure that any cross-trade of securities by a respective Fund from and to another Fund that is or could be considered an affiliate of the Funds under certain limited circumstances by virtue of having a common investment adviser, common officer, or common trustee complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each cross-trade is effected at the current market price to save costs where allowed. Pursuant to these procedures, for the six months ended June 30, 2020, the Funds engaged in the following cross-trades, which resulted in the following net realized gains (losses):
Purchases | Sales | Net Realized Gains (Losses) | |||||||||||||
SFT T. Rowe Price Value Fund | $ | 109,555 | $ | 121,254 | $ | (116,304 | ) |
(3) Investment Security Transactions
The cost of purchases and proceeds from sales of investment securities, other than temporary investments in short-term securities, for the six months ended June 30, 2020 were as follows:
Non-U.S. Government | U.S. Government* | ||||||||||||||||||
Fund | Purchases | Sales | Purchases | Sales | |||||||||||||||
SFT Core Bond Fund | $ | 117,455,981 | $ | 95,465,977 | $ | 201,054,036 | $ | 230,104,992 | |||||||||||
SFT Dynamic Managed Volatility Fund | – | 2,928,437 | – | 162,336 | |||||||||||||||
SFT Index 400 Mid-Cap Fund | 12,597,676 | 15,930,815 | – | – | |||||||||||||||
SFT Index 500 Fund | 7,982,429 | 38,641,634 | – | – | |||||||||||||||
SFT International Bond Fund | 6,761,086 | 14,938,076 | 32,593,782 | 43,058,088 | |||||||||||||||
SFT IvySM Growth Fund | 86,117,396 | 130,041,162 | – | – | |||||||||||||||
SFT IvySM Small Cap Growth Fund | 47,381,750 | 58,218,461 | – | – | |||||||||||||||
SFT Managed Volatility Equity Fund | 64,991,449 | 80,201,313 | – | – | |||||||||||||||
SFT Real Estate Securities Fund | 45,404,559 | 48,050,852 | – | – | |||||||||||||||
SFT T. Rowe Price Value Fund | 124,774,184 | 126,187,700 | – | – | |||||||||||||||
SFT Wellington Core Equity Fund | 14,053,203 | 20,537,093 | – | – |
* Includes U.S. government-sponsored enterprise securities.
89
Securian Funds Trust
Notes to Financial Statements – continued
(4) Expenses and Related Party Transactions
The Funds have an investment advisory agreement with Securian AM, a wholly-owned subsidiary of Securian Financial Group. Under the advisory agreement, Securian AM manages the Funds' investments and provides research, statistical and advisory services and pays related office rental and executive expenses and salaries.
Each Fund of the Trust pays Securian AM an annual fee, based on average daily net assets, in the following amounts:
Fund | Annual Fee on Net Assets | ||||||
SFT Core Bond Fund | 0.40% of net assets to $1 billion; and 0.35% of net assets exceeding $1 billion | ||||||
SFT Dynamic Managed Volatility Fund (a) | 0.55% of all assets | ||||||
SFT Government Money Market Fund | 0.30% of net assets to $1 billion; and 0.25% of net assets exceeding $1 billion | ||||||
SFT Index 400 Mid-Cap Fund | 0.15% of net assets to $1 billion; and 0.10% of net assets exceeding $1 billion | ||||||
SFT Index 500 Fund | 0.15% of net assets to $1 billion; and 0.10% of net assets exceeding $1 billion | ||||||
SFT International Bond Fund | 0.60% of net assets to $1 billion; and 0.55% of net assets exceeding $1 billion | ||||||
SFT IvySM Growth Fund | 0.67% of net assets to $500 million; and 0.625% of next $300 million of net assets; and 0.60% of next $200 million of net assets; and 0.50% of net assets exceeding $1 billion | ||||||
SFT IvySM Small Cap Growth Fund | 0.85% of net assets to $1 billion; and 0.80% of next $2 billion of net assets; and 0.76% of net assets exceeding $3 billion | ||||||
SFT Managed Volatility Equity Fund (a) | 0.55% of all assets | ||||||
SFT Real Estate Securities Fund | 0.70% of net assets to $1 billion; and 0.65% of net assets exceeding $1 billion | ||||||
SFT T. Rowe Price Value Fund | 0.67% of net assets to $1 billion; and 0.65% of next $1.5 billion of net assets; and 0.60% of net assets exceeding $2.5 billion | ||||||
SFT Wellington Core Equity Fund | 0.65% of all assets |
(a) Effective May 1, 2019, the Fund's investment advisory fee is 0.55% of all assets. Prior to May 1, 2019, the Fund's investment advisory fee was 0.65% of all assets.
Securian AM has a sub-advisory agreement with Franklin Advisers, Inc. ("Franklin"), a Registered Investment Advisor for the SFT International Bond Fund, under which Securian AM pays Franklin an annual fee of 0.37% based on average daily net assets.
Securian AM has a sub-advisory agreement with Ivy Investment Management Company ("IICO"), a Registered Investment Advisor for the SFT IvySM Growth Fund and the SFT IvySM Small Cap Growth Fund, under which Securian AM pays IICO an annual fee ranging from 0.33% to 0.55% and 0.40% to 0.82% respectively, based on average daily net assets.
Securian AM has a sub-advisory agreement with T. Rowe Price Associates, Inc. ("T. Rowe Price"), a Registered Investment Advisor for the SFT T. Rowe Price Value Fund, under which Securian AM pays T. Rowe Price an annual fee ranging from 0.25% to 0.48% based on average daily net assets.
Securian AM has a sub-advisory agreement with Wellington Management Company LLP ("Wellington Management"), a Registered Investment Advisor for the SFT Wellington Core Equity Fund, under which Securian AM pays Wellington Management an annual fee ranging from 0.28% to 0.31% based on average daily net assets.
The Trust bears certain other operating expenses including independent trustees' fees, federal registration fees, printing and shareholder report expenses, legal fees, audit fees, custodian fees, compensation paid to the Trust's Chief Compliance Officer, and other miscellaneous expenses. Each Fund will pay all expenses directly related to its individual operations.
90
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Notes to Financial Statements – continued
(4) Expenses and Related Party Transactions – (continued)
Operating expenses not attributable to a specific Fund are generally allocated based upon the proportionate daily net assets of each Fund.
Administrative Services Fee
The Trust has an agreement with Securian Financial Group under which Securian Financial Group provides accounting, legal, security valuations and other administrative services. Each Fund reimburses Securian Financial Group quarterly for the actual costs incurred in performing such services, as determined in accordance with Securian Financial Group's customary cost accounting procedures consistently applied. Total quarterly administrative fees by Fund range from $6,800 to $24,000.
Accounting Services
The Trust has an agreement with State Street Bank and Trust Company ("State Street") in which State Street provides daily fund accounting and investment administration services. In 2020, these fees ranged from 0.01% to 0.05% of net assets depending on the size and makeup of the respective Fund. The fees are based upon a calculation of multiple factors including base fees, size of assets, and certain other fees.
Distribution Fees
The Trust has adopted a Rule 12b-1 Distribution Plan which covers all of its Class 2 shares ("Covered Funds"). Each Covered Fund pays distribution fees at the annual rate of 0.25% of the average daily net assets of the Covered Fund. These fees are paid out of the Covered Fund's assets, which reduces a Covered Fund's net assets as do other Covered Fund expenses. The fees are paid to Securian Financial Services, Inc. ("Securian Financial"), the Trust's underwriter, to pay for distribution-related expenses and activities in connection with the distribution of the Covered Fund's shares. Securian Financial may also use the fees to pay insurance companies, dealers or others for certain non-distribution services as provided for in the distribution plan.
Net Investment Income Maintenance Agreement for the SFT Government Money Market Fund
Effective May 1, 2012, the Board approved a Restated Net Investment Income Maintenance Agreement among Securian Funds Trust (on behalf of SFT Government Money Market Fund), Securian AM and Securian Financial. Under such Agreement, Securian AM agrees to waive, reimburse or pay SFT Government Money Market Fund expenses so that the Fund's daily net investment income does not fall below zero. Securian Financial may also waive its Rule 12b-1 fees. Securian AM and Securian Financial each has the option under the Agreement to recover the full amount waived, reimbursed or paid (the "Expense Waiver") on any day on which the Fund's net investment income exceeds zero. On any day, however, the Expense Waiver does not constitute an obligation of the Fund unless Securian AM or Securian Financial has expressly exercised its right to recover a specified portion of the Expense Waiver on that day, in which case such specified portion is then due and payable by the Fund. In addition, the right of Securian AM and/or Securian Financial to recover the Expense Waiver is subject to the following limitations: (1) if a repayment of the Expense Waiver by the Fund would cause the Fund's net investment income to fall below zero, such repayment is deferred until a date when repayment would not cause the Fund's net investment income to fall below zero; (2) the right to recover any portion of the Expense Waiver expires three years after the effective date of that portion of the Expense Waiver; and (3) any repayment of the Expense Waiver by the Fund cannot cause the Fund's expense ratio to exceed 1.25%.
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Notes to Financial Statements – continued
(4) Expenses and Related Party Transactions – (continued)
As of June 30, 2020, the amounts waived and eligible for recovery are as follows:
Agreement | Advisory Fees Waived for the six months ended | 12b-1 Fees Waived for the six months ended | Recoverable through June 30, | ||||||||||||||||||||
Fund | Date | June 30, 2020* | June 30, 2020* | 2021 | 2022 | ||||||||||||||||||
SFT Government Money Market Fund | May 1, 2012 | $ | 103,780 | $ | 93,334 | $ | 197,114 | $ | 197,114 |
* This amount is reflected in fees waived in the accompanying Statements of Operations.
If Securian AM and Securian Financial exercise their rights to be paid such waived amounts, the Fund's future yield will be negatively affected for an indefinite period. The Agreement shall continue in effect following April 30, 2021, provided such continuance is specifically approved by a majority of the Trust's independent Trustees.
SFT Dynamic Managed Volatility Fund, SFT Government Money Market Fund, and SFT Managed Volatility Fund Expense Waivers
Securian AM and the Trust, on behalf of the SFT Dynamic Managed Volatility Fund, SFT Government Money Market Fund, and SFT Managed Volatility Equity Fund, have entered into Expense Limitation Agreements which limit the operating expenses of these Funds, excluding certain expenses (such as interest expense, acquired fund fees, cash overdraft fees, taxes, brokerage commissions, other expenditures which are capitalized in accordance with GAAP, and other extraordinary expenses not incurred in the ordinary course of the Fund's business), through April 30, 2021.
The Agreements renew annually for a full year each year thereafter unless terminated by Securian AM upon at least 30 days' notice prior to the end of a contract term. The Funds are authorized to reimburse Securian AM for management fees previously waived and/or for the cost of expenses previously paid by Securian AM pursuant to this agreement, provided that such reimbursement will not cause any Fund to exceed any limits in effect at the time of such reimbursement. The Fund's ability to reimburse Securian AM in this manner only applies to fees waived or reimbursements made by Securian AM within the three fiscal years prior to the date of such reimbursement. To the extent that the Fund makes such reimbursements to Securian AM, the amount of the reimbursements will be reflected in the financial statements in the Funds' shareholder reports and in Other Expenses under Fees and Expenses of the Fund in the prospectus.
As of June 30, 2020, the amounts waived and eligible for recovery are as follows:
Agreement | Expense | Advisory Fees Waived for the six months ended | Recoverable through June 30, | ||||||||||||||||||||
Fund | Date | Limit | June 30, 2020* | 2021 | 2022 | ||||||||||||||||||
SFT Dynamic Managed Volatility Fund | May 1, 2013 | 0.80 | % | $ | 171,241 | $ | 1,024,133 | $ | 324,640 | ||||||||||||||
SFT Government Money Market Fund | November 1, 2017 | 0.70 | % | $ | — | $ | 196,813 | $ | 44,522 | ||||||||||||||
SFT Managed Volatility Equity Fund | November 18, 2015 | 0.80 | % | $ | 133,349 | $ | 745,679 | $ | 252,607 |
* This amount is reflected in fees waived in the accompanying Statements of Operations.
92
Securian Funds Trust
Notes to Financial Statements – continued
(5) Illiquid Investments
Non-Money Market Funds – Pursuant to Rule 22e-4 under the Investment Company Act of 1940, no Fund may acquire an "illiquid investment" if, immediately after the acquisition, the Fund would have invested more than 15% of its net assets in illiquid investments. Rule 22e-4 generally defines an illiquid investment as any investment that the Fund reasonably expects cannot be sold or disposed of in current market conditions in seven calendar days or less without the sale or disposition significantly changing the market value of the investment. At June 30, 2020, the SFT Core Bond Fund and SFT International Bond Fund held illiquid securities of $4,088,104, and $115,173 respectively, which represent 0.8% and 0.1% of net assets, respectively.
Government Money Market Funds – Money market funds are governed by Rule 2a-7 under the Investment Company Act of 1940. By definition, a government money market fund is a fund that invests 99.5% or more of its total assets in cash, government securities, and/or repurchase agreements that are collateralized fully. Consequently, the SFT Government Money Market Fund currently limits investments in "illiquid securities" to 0.5% of net assets at the time of purchase. Rule 2a-7 defines an illiquid security as a security that cannot be sold or disposed of in the ordinary course of business within seven calendar days at approximately the value ascribed to it by the Fund. At June 30, 2020, the Fund did not hold illiquid securities.
(6) Fair Value Measurement
The Trust has established a three-tier hierarchy to maximize the use of observable market data and minimize the use of unobservable inputs when determining fair value. The hierarchy also establishes a classification of fair value measurements for disclosure purposes. Inputs refer broadly to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable or unobservable. Observable inputs include information market participants would use in pricing the asset or liability based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the Trust's estimates about the assumptions market participants would use in valuing the financial asset and liability based on the best information available in the circumstances. Level 1 includes unadjusted quoted prices in active markets for identical assets and liabilities. Level 2 includes other significant observable market-based inputs (including quoted prices for similar securities, interest rates, credit risk and prepayment speed). Level 3 includes unobservable inputs, which may include the advisor's own assumptions in determining the fair value of an investment or are based on independent non-binding broker quotes. Other financial instruments are derivative instruments not reflected in total investments, such as futures, forwards, swaps, and written options.
The following is a summary of the levels used for the six months ended June 30, 2020, in valuing the Fund's assets and liabilities (please see the Investments in Securities for each Fund for a listing of all securities within each category):
Fair Value Measurement at June 30, 2020 using | |||||||||||||||||||
Fund | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
SFT Core Bond Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Government Obligations | $ | – | $ | 119,658,912 | $ | – | $ | 119,658,912 | |||||||||||
Asset-Backed Securities | – | 68,010,574 | – | 68,010,574 | |||||||||||||||
Other Mortgage-Backed Securities | – | 55,722,294 | – | 55,722,294 | |||||||||||||||
Corporate Obligations | – | 233,062,293 | – | 233,062,293 | |||||||||||||||
Investment Companies | 8,860,488 | – | – | 8,860,488 | |||||||||||||||
Total Investments | 8,860,488 | 476,454,073 | – | 485,314,561 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | 243,804 | – | – | 243,804 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | (139,562 | ) | – | – | (139,562 | ) |
93
Securian Funds Trust
Notes to Financial Statements – continued
(6) Fair Value Measurement – (continued)
Fair Value Measurement at June 30, 2020 using | |||||||||||||||||||
Fund | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
SFT Dynamic Managed Volatility Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Government Obligations | $ | – | $ | 16,938,525 | $ | – | $ | 16,938,525 | |||||||||||
Other Mortgage-Backed Securities | – | 1,727,275 | – | 1,727,275 | |||||||||||||||
Corporate Obligations | – | 168,913,915 | – | 168,913,915 | |||||||||||||||
Purchased Options | 116,211 | – | – | 116,211 | |||||||||||||||
Investment Companies | 390,596,916 | – | – | 390,596,916 | |||||||||||||||
Total Investments | 390,713,127 | 187,579,715 | – | 578,292,842 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | (675,194 | ) | – | – | (675,194 | ) | |||||||||||||
Written Options | (51,475 | ) | – | – | (51,475 | ) | |||||||||||||
SFT Government Money Market Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
U.S. Government Obligations | – | 158,967,520 | – | 158,967,520 | |||||||||||||||
Investment Companies | 42,035,903 | – | – | 42,035,903 | |||||||||||||||
Total Investments | 42,035,903 | 158,967,520 | – | 201,003,423 | |||||||||||||||
SFT Index 400 Mid-Cap Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 158,417,450 | – | – | 158,417,450 | |||||||||||||||
U.S. Government Obligations | – | 998,497 | – | 998,497 | |||||||||||||||
Investment Companies | 4,820,150 | – | – | 4,820,150 | |||||||||||||||
Total Investments | 163,237,600 | 998,497 | – | 164,236,097 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | (240,088 | ) | – | – | (240,088 | ) | |||||||||||||
SFT Index 500 Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 828,850,901 | – | – | 828,850,901 | |||||||||||||||
Investment Companies | 14,894,810 | – | – | 14,894,810 | |||||||||||||||
Total Investments | 843,745,711 | – | – | 843,745,711 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | (228,355 | ) | – | – | (228,355 | ) | |||||||||||||
SFT International Bond Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Long-Term Debt Securities | – | 66,144,542 | – | 66,144,542 | |||||||||||||||
Short-Term Debt Securities | – | 14,608,427 | – | 14,608,427 | |||||||||||||||
Investment Companies | 6,091,183 | – | – | 6,091,183 | |||||||||||||||
Total Investments | 6,091,183 | 80,752,969 | – | 86,844,152 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Forward Foreign Currency Contracts | – | 1,669,012 | – | 1,669,012 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Forward Foreign Currency Contracts | – | (1,549,189 | ) | – | (1,549,189 | ) | |||||||||||||
SFT IvySM Growth Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 540,744,688 | – | – | 540,744,688 | |||||||||||||||
Investment Companies | 2,771,062 | – | – | 2,771,062 | |||||||||||||||
Total Investments | 543,515,750 | – | – | 543,515,750 |
94
Securian Funds Trust
Notes to Financial Statements – continued
(6) Fair Value Measurement – (continued)
Fair Value Measurement at June 30, 2020 using | |||||||||||||||||||
Fund | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
SFT IvySM Small Cap Growth Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | $ | 160,245,829 | $ | – | $ | – | $ | 160,245,829 | |||||||||||
Investment Companies | 3,455,368 | – | – | 3,455,368 | |||||||||||||||
Total Investments | 163,701,197 | – | – | 163,701,197 | |||||||||||||||
SFT Managed Volatility Equity Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Investment Companies | 329,830,684 | – | – | 329,830,684 | |||||||||||||||
Purchased Options | 71,932 | – | – | 71,932 | |||||||||||||||
Total Investments | 329,902,616 | – | – | 329,902,616 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | 623,479 | – | – | 623,479 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Written Options | (33,920 | ) | – | – | (33,920 | ) | |||||||||||||
SFT Real Estate Securities Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 111,413,868 | – | – | 111,413,868 | |||||||||||||||
Investment Companies | 2,603,935 | – | – | 2,603,935 | |||||||||||||||
Total Investments | 114,017,803 | – | – | 114,017,803 | |||||||||||||||
SFT T. Rowe Price Value Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 169,475,483 | – | – | 169,475,483 | |||||||||||||||
Corporate Obligations | – | 139,831 | – | 139,831 | |||||||||||||||
Preferred Stocks | 1,269,712 | – | – | 1,269,712 | |||||||||||||||
Investment Companies | 1,166,398 | – | – | 1,166,398 | |||||||||||||||
Total Investments | 171,911,593 | 139,831 | – | 172,051,424 | |||||||||||||||
SFT Wellington Core Equity Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 112,094,224 | – | – | 112,094,224 | |||||||||||||||
Investment Companies | 760,984 | – | – | 760,984 | |||||||||||||||
Total Investments | 112,855,208 | – | — | 112,855,208 |
* Investments in Other Financial Instruments are derivative instruments reflected in the Investment in Securities. All derivatives currently held are reflected at the gross unrealized appreciation (depreciation) on the investments.
Level 2 Measurements:
Government obligations comprised of U.S. Treasury, agency and government guaranteed fixed maturity securities – These securities are principally valued using the market approach. Valuation is based primarily on quoted prices in markets that are not active or using matrix pricing or other similar techniques using standard market observable inputs such as the benchmark U.S. Treasury yield curve, the spread of the U.S. Treasury curve for the identical security and comparable securities that are actively traded.
Asset-backed and other mortgage-backed securities comprised of RMBS, CMBS and ABS fixed maturity securities – These securities are principally valued using the market approach. Valuation is based primarily on matrix pricing or other similar techniques using standard market inputs including spreads for actively traded securities, spreads off benchmark yields, expected prepayment speeds and volumes, current and forecasted loss severity, rating, weighted average coupon, weighted average maturity, average delinquency rates, geographic region, debt-service
95
Securian Funds Trust
Notes to Financial Statements – continued
(6) Fair Value Measurement – (continued)
coverage ratios and issuance-specific information including: collateral type, payment terms of the underlying assets, payment priority within the tranche, structure of the security, deal performance and vintage of loans, etc.
Corporate obligations comprised of U.S. corporate and foreign corporate fixed maturity securities – These securities are principally valued using the market and income approaches. Valuation is based primarily on quoted prices in markets that are not active, or using matrix pricing or other similar techniques that use standard market observable inputs such as benchmark yields, spreads off benchmark yields, new issuances, issuer rating, duration, and trades of identical or comparable securities. Investment grade privately placed securities are valued using discounted cash flow methodologies using standard market observable inputs, and inputs derived from, or corroborated by, market observable data including market yield curve, duration, call provisions, observable prices and spreads for similar publicly traded or privately traded issues that incorporate the credit quality and industry sector of the issuer.
Long-term and short-term debt securities comprised of foreign government and state and political subdivision fixed maturity securities – These securities are principally valued using the market approach. Valuation is based primarily on matrix pricing or other similar techniques using standard market observable inputs including benchmark U.S. Treasury or other yields, issuer ratings, broker-dealer quotes, issuer spreads and reported trades of similar securities, including those within the same sub-sector or with a similar maturity or credit rating.
Forward Foreign Currency and Interest Rate Swap Contracts – These derivatives are traded in the over-the-counter derivative market and are principally valued using market price quotations or industry recognized modeling techniques. The significant inputs to the models are observable in the market or can be derived from or corroborated by observable market data. These significant inputs may include interest rates, foreign currency exchange rates, interest rate curves, contractual terms, market prices, and measures of volatility.
The Funds' policy is to recognize transfers between the levels as of the end of the period. There were no transfers of financial assets between Levels 1 and 2 during the period.
(7) Derivative Instruments Reporting
The Trust provides, when applicable, disclosures of the location, by line item, of fair value amounts in the Statement of Assets and Liabilities and the location, by line item, of amounts of gains and losses reported in the Statement of Operations. The derivative instruments outstanding as of period end are disclosed in the Investments in Securities. The following tables represent the average monthly volume of the Fund's derivative transactions during the six months ended June 30, 2020:
Average Notional Amount | |||||||
SFT Core Bond Fund | |||||||
Futures Contracts | $ | 103,326,926 | |||||
SFT Dynamic Managed Volatility Fund | |||||||
Futures Contracts | $ | 116,395,825 | |||||
Written options contracts | $ | 3,084,634 | |||||
SFT Index 400 Mid-Cap Fund | |||||||
Futures Contracts | $ | 6,630,599 | |||||
SFT Index 500 Fund | |||||||
Futures Contracts | $ | 10,289,841 | |||||
SFT International Bond Fund | |||||||
Swap | $ | 11,227,000 | (a) | ||||
Forward foreign currency contracts | $ | 123,335,080 | |||||
SFT Managed Volatility Equity Fund | |||||||
Futures Contracts | $ | 140,949,263 | |||||
Written options contracts | $ | 2,115,508 |
(a) Positions were open for two months during the period.
96
Securian Funds Trust
Notes to Financial Statements – continued
(7) Derivative Instruments Reporting – (continued)
Equity derivatives were purchased or sold to manage the SFT Index 400 Mid-Cap and SFT Index 500 Funds' shareholder liquidity and to attempt to replicate intended stock investments to maintain fully invested Funds. Equity index options are utilized by the SFT Dynamic Managed Volatility Fund and the SFT Managed Volatility Equity Fund to manage the equity exposure while attempting to reduce the volatility and risk of the Funds.
Interest rate derivatives were purchased or sold in the SFT Core Bond Fund, SFT Dynamic Volatility Fund and the SFT International Bond Fund to both manage the average duration of the fixed income portfolio and to hedge against the effects of interest rate changes on a portfolio's current or intended investments.
Foreign exchange derivatives were used to attempt to hedge against the effects of exchange rate changes within the SFT International Bond Fund's current or intended investments in foreign securities, as well as to more efficiently obtain exposure to foreign currencies or to take advantage of cross currency markets in order to benefit from valuation differentials and shifts in pricing within the currency markets.
The tables below detail the risk exposure of each of the Funds from derivative instruments:
Risk Exposure | |||||||||||||||
Equity Contracts | Interest Rate Contracts | Foreign Exchange Contracts | |||||||||||||
SFT Core Bond Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2020 | |||||||||||||||
Assets: | |||||||||||||||
Variation margin on futures contracts* | $ | – | $ | 243,804 | $ | – | |||||||||
Liabilities: | |||||||||||||||
Variation margin on futures contracts* | $ | – | $ | (139,562 | ) | $ | – | ||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2020 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | – | $ | 2,936,894 | $ | – | |||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | – | $ | 471,818 | $ | – | |||||||||
SFT Dynamic Managed Volatility Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2020 | |||||||||||||||
Assets: | |||||||||||||||
Investments in securities, at market value (purchased options) | $ | 116,211 | $ | – | $ | – | |||||||||
Liabilities: | |||||||||||||||
Variation margin on futures contracts* | $ | (490,926 | ) | $ | (184,268 | ) | $ | – | |||||||
Written options contracts | (51,475 | ) | – | – | |||||||||||
Total | $ | (542,401 | ) | $ | (184,268 | ) | $ | – |
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Securian Funds Trust
Notes to Financial Statements – continued
(7) Derivative Instruments Reporting – (continued)
Risk Exposure | |||||||||||||||
Equity Contracts | Interest Rate Contracts | Foreign Exchange Contracts | |||||||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2020 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | (5,045,237 | ) | $ | (1,112,548 | ) | $ | – | |||||||
Purchased options contracts | 20,812,128 | – | – | ||||||||||||
Written options contracts | (11,688,682 | ) | – | – | |||||||||||
Total | $ | 4,078,209 | $ | (1,112,548 | ) | $ | – | ||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | (5,510,392 | ) | $ | (486,155 | ) | $ | – | |||||||
Purchased options contracts | (2,059,283 | ) | – | – | |||||||||||
Written options contracts | 721,621 | – | – | ||||||||||||
Total | $ | (6,848,054 | ) | $ | (486,155 | ) | $ | – | |||||||
SFT Index 400 Mid-Cap Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2020 | |||||||||||||||
Liabilities: | |||||||||||||||
Variation margin on futures contracts* | $ | (240,088 | ) | $ | – | $ | – | ||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2020 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | (26,885 | ) | $ | – | $ | – | ||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | (403,051 | ) | $ | – | $ | – | ||||||||
SFT Index 500 Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2020 | |||||||||||||||
Liabilities: | |||||||||||||||
Variation margin on futures contracts* | $ | (228,355 | ) | $ | – | $ | – | ||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2020 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | (132,190 | ) | $ | – | $ | – | ||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | (565,488 | ) | $ | – | $ | – | ||||||||
SFT International Bond Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2020 | |||||||||||||||
Assets: | |||||||||||||||
Unrealized appreciation on forward foreign currency contracts | $ | – | $ | – | $ | 1,669,012 | |||||||||
Liabilities: | |||||||||||||||
Unrealized depreciation on forward foreign currency contracts | $ | – | $ | – | $ | (1,549,189 | ) |
98
Securian Funds Trust
Notes to Financial Statements – continued
(7) Derivative Instruments Reporting – (continued)
Risk Exposure | |||||||||||||||
Equity Contracts | Interest Rate Contracts | Foreign Exchange Contracts | |||||||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2020 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Swap contracts | $ | – | $ | (5,621,871 | ) | $ | – | ||||||||
Foreign currency contracts | – | – | 645,423 | ||||||||||||
Total | $ | – | $ | (5,621,871 | ) | $ | 645,423 | ||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Swap contracts | $ | – | $ | 1,623,904 | $ | – | |||||||||
Foreign currency contracts | – | – | 1,999,315 | ||||||||||||
Total | $ | – | $ | 1,623,904 | $ | 1,999,315 | |||||||||
SFT Managed Volatility Equity Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2020 | |||||||||||||||
Assets: | |||||||||||||||
Variation margin on futures contracts* | $ | 623,479 | $ | – | $ | – | |||||||||
Investments in securities, at market value (purchased options) | 71,932 | – | – | ||||||||||||
Total | $ | 695,411 | $ | – | $ | – | |||||||||
Liabilities: | |||||||||||||||
Written options contracts | $ | (33,920 | ) | $ | – | $ | – | ||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2020 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | (24,012,086 | ) | $ | – | $ | – | ||||||||
Purchased options contracts | 14,900,322 | – | – | ||||||||||||
Written options contracts | (8,281,191 | ) | – | – | |||||||||||
Total | $ | (17,392,955 | ) | $ | – | $ | – | ||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | (811,861 | ) | $ | – | $ | – | ||||||||
Purchased options contracts | (1,279,808 | ) | – | – | |||||||||||
Written options contracts | 486,084 | – | – | ||||||||||||
Total | $ | (1,605,585 | ) | $ | – | $ | – |
* Includes cumulative appreciation/depreciation of futures and swap contracts as reported in the notes to the Schedules of Investments in Securities. Only the current day's variation margin is reported within the Statement of Assets and Liabilities.
The Funds may be exposed to credit-related losses in the event of nonperformance by counterparties to derivative financial instruments. The Funds manage credit risk related to derivatives by entering into transactions with highly rated counterparties. Generally, the current credit exposure of the derivative contracts is limited to the positive estimated fair value of derivative contracts at the reporting date after taking into consideration the existence of netting arrangements and any collateral received pursuant to credit support annexes. Because exchange traded derivatives are purchased through regulated exchanges and positions are settled regularly, the Funds have minimal exposure to credit-related losses in the event of nonperformance by counterparties to such derivative instruments. For the six months ended June 30, 2020 none of the Funds' derivatives were subject to master netting arrangements.
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Securian Funds Trust
Notes to Financial Statements – continued
(8) Affiliated Ownership
The SFT Dynamic Managed Volatility Fund invests in underlying securities and other investment companies, of which certain underlying funds (the "affiliated underlying funds") may be deemed to be under common control with the SFT Dynamic Managed Volatility Fund because they share the same investment advisor, Securian AM, and because they are overseen by the same Board of Trustees. The SFT Dynamic Managed Volatility Fund will achieve its equity exposure by investing primarily in Class 1 Shares of the SFT Index 500 Fund, an affiliated fund in the Trust that seeks investment results that correspond generally to the price and yield performance of the common stocks included in the Standard & Poor's 500® Index. A summary of all transactions with the affiliated SFT Index 500 Fund as of June 30, 2020 are as follows:
Fund/ Underlying Fund | Balance of Shares Held at June 30, 2020 | Net Realized Gain/(Loss) | Net Change in Unrealized Appreciation/ Depreciation | Distributions Received | Value at June 30, 2020 | ||||||||||||||||||
SFT Dynamic Managed Volatility Fund | |||||||||||||||||||||||
SF | T | Index 500 Fund | 14,224,618 | $ | – | $ | (5,908,622 | ) | $ | – | $ | 183,405,197 |
(9) Other Risks
An outbreak of infectious respiratory illness caused by a novel coronavirus known as COVID-19 was first detected in China in December 2019 and has now been declared a pandemic by the World Health Organization. The impact of COVID-19 could be highly disruptive to economies and markets, adversely impacting individual companies, sectors, industries, markets, currencies, interest and inflation rates, credit ratings, investor sentiment, and other factors affecting the value of a Fund's investments. This may impact liquidity in the marketplace, which in turn may affect the Fund's ability to meet redemption requests. Public health crises caused by the COVID-19 pandemic may exacerbate other pre-existing political, social and economic risks in certain countries or globally. The duration of the COVID-19 pandemic and its effects cannot be determined.
(10) Subsequent Events
Management has evaluated subsequent events for the Trust through the date of the filing, and has concluded there are no events that require disclosure.
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Securian Funds Trust
Other Information
(unaudited)
Fund Expenses Paid by Shareholders
Shareholders of the Trust incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; (the Trust does not impose transaction costs, but you will incur such costs in connection with the variable life insurance policies and variable annuity contracts that invest in the Funds) and exchange fees; and (2) ongoing costs, including management fees; distribution and/or service (12b-1) fees; and other Trust expenses. The examples below are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The examples below are based on an investment of $1,000 invested at the beginning of the period and held for the entire period, January 1, 2020 through June 30, 2020. Expenses paid during the period in the tables below are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by number of days in most recent fiscal half-year divided by 365 to reflect the one-half year period.
Actual Expenses
The table below provides information about actual account values and actual expenses for the Funds. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the table for the fund you own under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.
Actual Expenses | |||||||||||||||||||||||||||||||
CLASS 1 | CLASS 2 | ||||||||||||||||||||||||||||||
Beginning Account Value | Ending Account Value | Annual Expense Ratio | Expenses Paid During Period | Ending Account Value | Annual Expense Ratio | Expenses Paid During Period | |||||||||||||||||||||||||
SFT Core Bond Fund | $ | 1,000 | $ | 1,035.40 | 0.49 | % | $ | 2.48 | $ | 1,034.20 | 0.74 | % | $ | 3.74 | |||||||||||||||||
SFT Dynamic Managed Volatility Fund | 1,000 | NA | NA | NA | 995.20 | 0.80 | % | 3.97 | |||||||||||||||||||||||
SFT Government Money Market Fund | 1,000 | NA | NA | NA | 1,002.10 | 0.48 | % | 2.39 | |||||||||||||||||||||||
SFT Index 400 Mid-Cap Fund | 1,000 | 871.00 | 0.32 | % | 1.49 | 869.90 | 0.57 | % | 2.65 | ||||||||||||||||||||||
SFT Index 500 Fund | 1,000 | 968.80 | 0.21 | % | 1.03 | 967.60 | 0.46 | % | 2.25 | ||||||||||||||||||||||
SFT International Bond Fund | 1,000 | 937.60 | 1.07 | % | 5.15 | 936.40 | 1.32 | % | 6.36 | ||||||||||||||||||||||
SFT IvySM Growth Fund | 1,000 | NA | NA | NA | 1,089.20 | 0.98 | % | 5.09 | |||||||||||||||||||||||
SFT IvySM Small Cap Growth Fund | 1,000 | NA | NA | NA | 995.10 | 1.25 | % | 6.20 | |||||||||||||||||||||||
SFT Managed Volatility Equity Fund | 1,000 | NA | NA | NA | 886.80 | 0.80 | % | 3.75 | |||||||||||||||||||||||
SFT Real Estate Securities Fund | 1,000 | 870.40 | 0.91 | % | 4.23 | 869.30 | 1.16 | % | 5.39 | ||||||||||||||||||||||
SFT T. Rowe Price Value Fund | 1,000 | NA | NA | NA | 861.20 | 1.08 | % | 5.00 | |||||||||||||||||||||||
SFT Wellington Core Equity Fund | 1,000 | 956.90 | 0.87 | % | 4.23 | 955.70 | 1.12 | % | 5.45 |
101
Securian Funds Trust
Other Information – continued
(unaudited)
Hypothetical Example for Comparison Purposes
The table below also provides information about hypothetical account values and hypothetical expenses based on the Funds' actual expense ratios and an assumed rate of return of 5% per year before expenses, which are not the Funds' actual returns. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds' and other funds. To do so, compare the 5% hypothetical example of the funds you own with the 5% hypothetical examples that appear in the shareholder reports of other similar funds.
Hypothetical Expenses | |||||||||||||||||||||||||||||||
CLASS 1 | CLASS 2 | ||||||||||||||||||||||||||||||
Beginning Account Value | Ending Account Value | Annual Expense Ratio | Expenses Paid During Period | Ending Account Value | Annual Expense Ratio | Expenses Paid During Period | |||||||||||||||||||||||||
SFT Core Bond Fund | $ | 1,000 | $ | 1,022.43 | 0.49 | % | $ | 2.46 | $ | 1,021.18 | 0.74 | % | $ | 3.72 | |||||||||||||||||
SFT Dynamic Managed Volatility Fund | 1,000 | NA | NA | NA | 1,020.89 | 0.80 | % | 4.02 | |||||||||||||||||||||||
SFT Government Money Market Fund | 1,000 | NA | NA | NA | 1,022.48 | 0.48 | % | 2.41 | |||||||||||||||||||||||
SFT Index 400 Mid-Cap Fund | 1,000 | 1,023.27 | 0.32 | % | 1.61 | 1,022.03 | 0.57 | % | 2.87 | ||||||||||||||||||||||
SFT Index 500 Fund | 1,000 | 1,023.82 | 0.21 | % | 1.06 | 1,022.58 | 0.46 | % | 2.31 | ||||||||||||||||||||||
SFT International Bond Fund | 1,000 | 1,019.54 | 1.07 | % | 5.37 | 1,018.30 | 1.32 | % | 6.62 | ||||||||||||||||||||||
SFT IvySM Growth Fund | 1,000 | NA | NA | NA | 1,019.99 | 0.98 | % | 4.92 | |||||||||||||||||||||||
SFT IvySM Small Cap Growth Fund | 1,000 | NA | NA | NA | 1,018.65 | 1.25 | % | 6.27 | |||||||||||||||||||||||
SFT Managed Volatility Equity Fund | 1,000 | NA | NA | NA | 1,020.89 | 0.80 | % | 4.02 | |||||||||||||||||||||||
SFT Real Estate Securities Fund | 1,000 | 1,020.34 | 0.91 | % | 4.57 | 1,019.10 | 1.16 | % | 5.82 | ||||||||||||||||||||||
SFT T. Rowe Price Value Fund | 1,000 | NA | NA | NA | 1,019.49 | 1.08 | % | 5.42 | |||||||||||||||||||||||
SFT Wellington Core Equity Fund | 1,000 | 1,020.54 | 0.87 | % | 4.37 | 1,019.29 | 1.12 | % | 5.62 |
Please note that the expenses shown in both tables are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as sales charges (loads), redemption fees, or exchange fees. Therefore, the information provided in the hypothetical example table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Proxy Voting Policies and Procedures
A description of the policies and procedures that Securian AM uses to vote proxies related to each Fund's portfolio securities is set forth in the Trust's Statement of Additional Information which is available without charge, upon request, by calling, toll-free, 800-995-3850 or on the Securities and Exchange Commission's website at www.sec.gov. The Trust will provide this document within three business days of receipt of a request, by first-class mail or other means designed to ensure equally prompt delivery.
102
Securian Funds Trust
Other Information – continued
(unaudited)
Proxy Voting Record
The Trust's proxy voting record for the 12 month period ended December 31 is available by calling, toll-free, 866-330-7355 or on the Securities and Exchange Commission's website at www.sec.gov no later than August 31 each year. The Trust will also provide this information, within three business days of receipt of a request, by first-class mail or other means designed to ensure equally prompt delivery.
Availability of Quarterly Schedule of Investments
The Trust files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. Previously, the Trust filed a complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. The Trust's Forms N-PORT and N-Q are available on the SEC's website at www.sec.gov.
103
Securian Funds Trust
Statement Regarding Basis for Approval of Advisory Contracts
(unaudited)
Each year, the Board of Trustees of Securian Funds Trust (the "Trust") votes on the renewal of the Trust's Investment Advisory Agreement with Securian Asset Management, Inc. ("Securian AM"). The Board most recently unanimously reapproved the Investment Advisory Agreement on January 30, 2020. At this meeting, the Board of Trustees also reapproved the Investment Sub-Advisory Agreements between Securian AM and Franklin Advisers, Inc. (for the International Bond Fund), between Securian AM and Ivy Investment Management Company (for Ivy Growth Fund) between Securian AM and Ivy Investment Management Company (for Ivy Small Cap Growth Fund), between Securian AM and Wellington Management Company LLC (for Wellington Core Equity Fund) and between Securian AM and T. Rowe Price Associates, Inc. (for T. Rowe Price Value Fund). Collectively, the Funds managed by sub-advisers are referred to as the "Sub-Advised Funds".
Trustees receive a variety of information throughout the year about each Fund's investment performance, adherence to investment policies, expenses, sales and redemptions, regulatory compliance and management. Trustees meet at least once each year with each Fund's portfolio management team (or, in the case of the Sub-Advised Funds, representatives of such team). Trustees also receive frequent updates on industry developments and best practices, changes in Securian AM's organization and staffing, brokerage allocation and other matters. Trustees evaluated all information available to them on a Fund-by-Fund basis.
The Trustees also reviewed a memorandum from independent legal counsel outlining their legal duties and responsibilities in connection with this annual review and met alone with independent legal counsel.
Management Fee and Other Expenses
The Trustees reviewed the January 2020 report prepared by Broadridge Financial Solutions, Inc. ("Broadridge") containing comparisons of each Fund's investment management, non-management and total expenses with industry peers independently selected by Broadridge.
Based on this information, the Trustees concluded that the advisory fee payable by each Fund to Securian AM is fair and reasonable. The Trustees also concluded that the advisory fees payable by the Dynamic Managed Volatility and Managed Volatility Equity Funds are for services that are in addition to, rather than duplicative of, services provided pursuant to the advisory agreement of any other fund in which the Dynamic Managed Volatility and Managed Volatility Equity Funds invest.
Fees Charged to Other Advisory Clients of Securian AM
The Trustees observed that Securian AM's advisory fees for non-fund institutional clients are generally lower than the advisory fees charged to a Fund with a similar strategy. The Trustees concluded, however, that the higher fees charged to the Funds are justified by the additional services provided by Securian AM in managing the Funds (including the provision of office facilities, officers, administration and compliance, the coordination of Trust board, committee and vendor functions, regulatory filings and the performance of most Trust operations).
Costs of Services Provided and Profitability to Securian AM
The Trustees review quarterly Board reports on Securian AM's profitability in managing each Fund. The Trustees recognized that comparative profitability information is not generally ascertainable. Nonetheless, the Trustees did not view Securian AM's profitability from any Fund as excessive.
Economies of Scale
The Trustees also reviewed whether current fee levels appropriately capture and share economies of scale (if any) with Fund investors, The Trustees noted that substantially all of Securian AM's Funds have break-points in their fee structures that provides the opportunity for sharing economies of scale with Fund investors as such Funds' assets grow. With respect to each of the Dynamic Managed Volatility and Managed Volatility Equity Funds, the
104
Securian Funds Trust
Statement Regarding Basis for Approval of Advisory Contracts – continued
(unaudited)
Trustees noted that, while such Funds do not currently have management fee break-points, their contractual and actual management fee levels, as well as total expense levels, were in the lowest quintile of their peer group averages, as reported by Broadridge. With respect to the Wellington Core Equity Fund, which likewise currently does not have a management fee breakpoint, the Trustees noted that such Fund's current management fee level falls within the second lowest quintile of its Broadridge peer group.
Investment Results
The Trustees review a quarterly report comparing each Fund's investment performance for the most recently completed calendar quarter and one, three, five and, where applicable, ten-year periods then ended with Broadridge peer groups and with one or more benchmark indices.
The Trustees noted that the Bond Fund was in line with its Lipper peers and benchmark for the most recent quarter and one-year period, but out-performed its peers and benchmark for the three, five and ten-year periods ended December 31, 2019. They noted that the International Bond Fund outperformed its Lipper peers and benchmark for the most recent quarter and for the ten-year period, but substantially underperformed for the one, three and five-year periods. The Trustees observed that the Real Estate Securities Fund underperformed during the one-year period, but performed in line with its peers and benchmark during the most recent quarter and all other periods reported. They then noted that the S&P 400 Index Fund performed in line with its peers and benchmark during all reporting periods, but observed that Lipper does not publish a universe of mid-cap index funds. The Trustees also noted that the S&P 500 Index Fund slightly underperformed its peers and benchmark on a net-of-expenses basis, but performed in line with its benchmark before expenses. They also noted that the Government Money Market Fund's somewhat underperformed its peers and benchmark for all relevant periods due to its relative size. The Trustees then observed that the Dynamic Managed Volatility Fund and the Managed Volatility Equity Fund performed consistently with their objectives and were competitive with their peers. With respect to the Sub-Advised Funds, the Trustees noted that Ivy Growth Fund outperformed its peers and benchmark for the one and three-year periods, was in line with its peers and benchmark for the five-year period, but substantially underperformed its peers and benchmark during the most recent quarter. They noted that the Ivy Small Cap Growth Fund underperformed both its peers and benchmark for the most recent quarter as well as the one-year period, performed in line with its peer and benchmark during the three-year period and outperformed its peers and benchmark during the five-year period. The Trustees then observed that Wellington Core Equity Fund outperformed its peers and benchmark for the most recent quarter and one, three and five-year periods. Finally, the Trustees noted that T. Rowe Price Value Fund substantially underperformed its peers and benchmark during the most recent quarter, performed substantially in line with its peers and benchmark during the one-year period and five-year period, and somewhat outperformed its peers and benchmark during the three-year period. The Trustees reviewed attribution analyses and portfolio positioning on all Funds, particularly the Funds with more recent underperformance. Based on the foregoing, the Trustees concluded that reapproving the Funds' Investment Advisory Agreement and each Sub-Advised Fund's Investment Subadvisory Agreement were in the best interests of each Fund and its shareholders.
Ancillary Benefits to Securian AM and Its Affiliates
The Trustees also considered that Securian AM and its affiliates benefit from certain soft-dollar arrangements. The Trustees noted that Securian AM's profitability would be somewhat lower if it had to pay for these benefits out of its own assets. The Trustees also noted that Securian Financial Services, Inc. (the Trust's distributor) receives 12b-1 fees from the Funds. The Trustees also noted that Minnesota Life Insurance Company, an affiliate of Securian AM, benefits by performing certain legal, compliance and other administrative services for the Trust, in return for a reimbursement of costs it incurs in connection with its provision of such services. The Trustees
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Securian Funds Trust
Statement Regarding Basis for Approval of Advisory Contracts – continued
(unaudited)
also recognize that Securian AM and its affiliates derive reputational and other benefits from their association with the Funds and Trust.
Nature, Extent and Quality of Services Provided by Securian AM
In addition to investment management services, Securian AM provides the Trust with office space, administrative and other services (exclusive of, and in addition to, any such services provided by other Trust services providers) and executive and other personnel as are necessary for its operations. Securian AM pays all of the compensation of management Trustees, officers and employees of the Trust (except that each Fund pays an equitable share of the compensation expense of the Trust's Chief Compliance Officer). The Trustees considered the quality and scope of services provided by Securian AM under the Advisory Agreement and concluded that Securian AM has provided commendable executive and administrative management and other services during and prior to the last year.
Investment Sub-Advisory Agreements
At the January 30, 2020 meeting, the Trustees also unanimously reapproved the Investment Sub-Advisory Agreements for the Sub-Advised Funds. In addition to the Trustees' review of the Sub-Advised Funds' investment performance and expense ratios (as set forth above), the Trustees also requested and evaluated other information, including a report on each sub-adviser's organization and current staffing, a report on brokerage allocation practices and related soft dollar arrangements, assurances that each Sub-Advised Fund will be managed in accordance with its stated investment objectives, policies and limitations, assurances that all disclosures relating to the sub-adviser reflected in the Trust's registration statement are complete and accurate, and assurance that the sub-adviser will operate in full compliance with applicable laws, regulations and exemptive orders. The Trustees also reviewed a summary of each sub-adviser's code of ethics and compliance program. The Trustees requested, but did not receive, an analysis of each sub-adviser's profitability in managing the Fund. However, the Trustees noted that Securian AM is unaffiliated with each sub-adviser and that the Investment Sub-Advisory Agreements were negotiated on an "arm's-length" basis.
The Trustees also reviewed the allocation of duties and responsibilities with respect to each Sub-Advised Fund between Securian AM and the Fund's sub-adviser. The Trustees noted that Securian AM is responsible for the selection, monitoring and oversight of each sub-adviser, the fulfillment or oversight of substantially all of each Sub-Advised Fund's legal and regulatory requirements, the preparation for and facilitation of all Board of Trustee, Audit Committee and Governance Committee meetings, and many other requirements. Based on this review, the Trustees concluded that the allocation of the overall advisory fee of each Sub-Advised Fund between Securian AM and the Sub-Adviser is fair and appropriate. The Trustees also concluded that the portion of each Sub-Advised Fund's overall advisory fee that is retained by Securian AM represents fair and appropriate compensation to Securian AM for its retained duties and responsibilities.
Based on the foregoing factors, the Trustees concluded that reapproving each Investment Sub-Advisory Agreement was in the best interest of each Sub-Advised Fund and its shareholders.
106
Securian Funds Trust
Trustees and Executive Officers
(unaudited)
Under Delaware law, the Board of Trustees of the Trust has overall responsibility for managing the Trust in good faith and in a manner reasonably believed to be in the best interests of the Trust. The Trustees meet periodically throughout the year to oversee the Trust's activities, review contractual arrangements with companies that provide services to the Trust, and review the performance of the Trust and its Funds. One of the four current Trustees is considered an "interested person" (as defined in the Investment Company Act of 1940) of the Trust. The other three Trustees, because they are not interested persons of the Trust, are considered independent ("Independent Trustees") and are not employees or officers of, and have no financial interest in, the Trust's investment adviser, Securian Asset Management, Inc. (Securian AM) or its affiliated companies, including Minnesota Life Insurance Company. 75% of the Board of Trustees is required to be comprised of Independent Trustees.
Only executive officers and other officers who perform policy-making functions with the Trust are listed. None of the Trustees is a director of any public company (a company required to file reports under the Securities Exchange Act of 1934) or of any registered investment companies other than the Trust. Each Trustee serves for an indefinite term, until his or her resignation, death or removal.
Position with Trust
Name, Address(1) and Length of Principal Occupation(s)
and Year of Birth, Time Served(2) During Past 5 Years
Independent Trustees
Julie K. Getchell 1954 Trustee since 2011
Retired; Senior Financial Consultant Cargill, 2009-2012; Chief Financial Officer, La Grosse Global Fund Services, 2007-2009; Senior Managing Director, Black River Asset Management, 2005-2007; Consultant, Black River Asset Management, 2004-2005; Chief Financial Officer, Prestige Resorts & Destinations, 2001-2003; Chief Operating Officer, Insight Investment Management, Inc., 1991-1996; Chartered Financial Analyst; CPA—inactive
Linda L. Henderson 1949 Trustee since 2007
Retired: Professional Adviser, Carlson School of Management, working with faculty and MBA students managing Carlson Growth Fund. Semi-retirement, 2004-2007. RBC Wealth Management (formerly Dain Bosworth and Dain Rauscher) 1985-2004. Senior Vice President and Director of Fixed Income Research and Strategies, 2000-2004. Director of Retail Fixed Income. 1996-2000. Director of Financial Services, 1994-1996. Manager of the Investment Management Group, 1992-1994. Consultant, Investment Management Group, 1991-1992. Investment Executive, 1985-1991. Assistant Professor of Business Administration/Finance, University of Wisconsin-River Falls, 1980-1985. Chartered Financial Analyst
William C. Melton 1947 Trustee since 2002
Retired; member, State of Minnesota Council of Economic Advisors from 1988 to 1994, and again from 2010 to the present; various senior positions at American Express Financial Advisors (formerly Investors Diversified Services and, thereafter, IDS/American Express) from 1982 through 1997, including Chief Economist and, thereafter, Chief International Economist
Interested Trustee and Principal Executive Officer
David M. Kuplic 1957 Trustee since 2016 and President since 2011
Senior Vice President, Minnesota Life Insurance Company since June 2007; President, Securian AM since 2017; Executive Vice President and Director, Securian AM since July 2007; Senior Vice President and Director, Advantus Capital Management, Inc., February 2006 to July 2007; Senior Vice President, Securian Financial Group, Inc. since June 2007; President and Director, MIMLIC Funding, Inc. (entity holding legal title to bonds beneficially owned by certain clients of Securian AM) since July 2007; Senior Vice President, Securian Life Insurance Company since June 2007; President and Director, Marketview Properties, LLC (entity holding real
107
Securian Funds Trust
Trustees and Executive Officers – continued
(unaudited)
estate assets) since January 2010; President and Director, Marketview Properties II, LLC (entity holding real estate assets) since March 2010; President and Director, Marketview Properties III, LLC since January 2012; President, Marketview Properties IV, LLC since January 2012
Other Executive Officers(3)
Gary M. Kleist 1959 Vice President and Treasurer since 2003
Financial Vice President, Chief of Operations and Director, Securian AM since December 1997; Second Vice President, Minnesota Life Insurance Company since February 2000; Second Vice President, Securian Financial Group, Inc. since February 2000; Second Vice President, Securian Life Insurance Company since June 2007; Financial Vice President, Marketview Properties, LLC since January 2010; Financial Vice President, Marketview Properties II, LLC (entities holding certain real estate assets) since March 2010; Financial Vice President, Marketview Properties III, LLC since January 2012; Financial Vice President, Marketview Properties IV, LLC since January 2012
Christopher B. Owens 1977 Vice President since 2020
Second Vice President—Retail Life and Annuity Sales, Securian Financial Group, Inc. since June 2018; National Sales Vice President—Retail Life and Annuity Sales, Securian Financial Group, Inc., October 2011 to June 2018
Michael J. Radmer 1945 Secretary since 1998
Senior Counsel with the law firm of Dorsey & Whitney LLP since January 2016; Partner from 1976 to December 2015
Dorsey & Whitney LLP
50 South Sixth Street
Minneapolis, Minnesota 55402
(1) Unless otherwise noted, the address of each Trustee and officer is the address of the Trust: 400 Robert Street North, St. Paul, Minnesota 55101.
(2) The years reflect when a person became a director or officer of Advantus Series Fund, the predecessor to the Trust.
(3) Although not a 'corporate' officer of the Trust, Michael Steinert, 1975, serves as the Trust's Chief Compliance Officer. Mr. Steinert also serves as Vice President and Chief Compliance Officer of Securian AM.
108
This offering is available through Securian Financial Services, Inc., a registered broker/dealer. Securian Financial Services, Inc. is the distributor of Minnesota Life and Securian Life variable insurance products.
This report may be used as sales literature in connection with the offer or sale of variable annuity or variable life insurance contracts funded by Securian Funds Trust ("Trust") if preceded or accompanied by (a) the current prospectus for the Trust and such contracts and (b) the current applicable variable annuity or variable life performance report.
Securian Financial Services, Inc.
www.securian.com
Securities Dealer, Member FINRA/SIPC.
Registered Investment Advisor
400 Robert Street North, St. Paul, MN 55101-2098
1.888.237.1838
F34490 Rev 8-2020
Minnesota Life Insurance Company
A Securian Company
Securian Life Insurance Company
A New York admitted insurer
400 Robert Street North
St. Paul, MN 55101-2098
PRESORTED STANDARD
U.S. POSTAGE PAID
CAROL STREAM, IL
PERMIT NO. 1480
©2020 Securian Funds Trust All rights reserved.
F34490 Rev 8-2020
Call 1-800-995-3850 to receive your financial documents electronically. It's fast and convenient.
ITEM 2. | CODE OF ETHICS. |
Filed herewith as Exhibit 12(a)(1). During the period covered by this report, there has been no amendment to the code of ethics that relates to any element of the code of ethics definition set forth in paragraph (b) of Item 2 of Form N-CSR, nor has the registrant granted a waiver, including an implicit waiver, 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 that relates to one or more of the items set forth in paragraph (b) of Item 2 of Form N-CSR.
ITEM 3. | AUDIT COMMITTEE FINANCIAL EXPERT. |
The Board of Trustees of the Trust has determined that Julie K. Getchell, a member of the Board's Audit Committee, possesses the technical attributes identified in Instruction 2(b) of Item 3 to Form N-CSR to qualify as an "audit committee financial expert," and has designated Ms. Getchell as the Audit Committee's financial expert. Ms. Getchell is an "independent" Trustee pursuant to paragraph (a)(2) of Item 3 to Form N-CSR.
ITEM 4. | PRINCIPAL ACCOUNTANT FEES AND SERVICES. |
Not applicable at this time. Required only for annual reports on Form N-CSR.
ITEM 5. | AUDIT COMMITTEE OF LISTED REGISTRANTS. |
Not applicable.
ITEM 6. | SCHEDULE OF INVESTMENTS. |
Not applicable. Schedule I – Investments in Securities of Unaffiliated Issuers is included as part of the report to shareholders filed under Item 1 of this Form N-CSR.
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 |
The registrant has a governance committee of its board of trustees, the members of which are all trustees who are not “interested persons” of the registrant, as defined in Section 2(a)(19) of the Investment Company Act of 1940 (“independent trustees”). The governance committee, which operates in accordance with a separate governance committee charter approved by the board of trustees, selects and recommends to the board of trustees individuals for nomination as independent trustees. The names of potential independent director candidates are drawn from a number of sources, including recommendations from management of Securian Asset Management, Inc., the registrant’s investment adviser. Each candidate is evaluated by the governance committee with respect to the relevant business and industry experience that would enable the candidate to serve effectively as an independent director, as well as his or her compatibility with respect to business philosophy and style. The members of the governance committee may conduct an in-person interview of each viable candidate using a standardized questionnaire. When all of the viable candidates have been evaluated and interviewed, the governance committee determines which of the viable candidates should be presented to the board of trustees for selection to become a member of the board of trustees.
Inasmuch as the registrant does not hold annual meetings of shareholders and meetings of shareholders occur only intermittently, the governance committee does not at present consider nominees recommended by shareholders.
ITEM 11. | CONTROLS AND PROCEDURES. |
(a) Based upon their evaluation of the registrant's disclosure controls and procedures as conducted within 90 days of the filing date of this Form N-CSR, the registrant's principal financial officer and principal executive officer have concluded that those disclosure controls and procedures provide reasonable assurance that the material information required to be disclosed by the registrant on this report is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms.
(b) There were no changes in the registrant's internal controls over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the second fiscal quarter of 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. |
(a)(1) Not applicable.
(a)(2) Not applicable.
(a)(3) Not applicable.
(a)(4) Not applicable.
(b) Not applicable.
ITEM 13. | EXHIBITS. |
(a) File the exhibits listed below as part of this Form. Letter or number the exhibits in the sequence indicated.
(1) Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit:
Exhibit 99.CODE ETH attached hereto.
(2) A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2 under the Investment Company Act of 1940 (17 CFR 270.30a-2):
Exhibit 99.CERT attached hereto.
(b) If the report is filed under Section 13(a) or 15(d) of the Securities Exchange Act of 1934, provide the certifications required by Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)), Rule 13a-14(b) or Rule 15d-14 under the Securities Exchange Act of 1934 (17 CFR 240.13a-14(b) or 240.15d-14(b)) and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished pursuant to this paragraph will not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934 (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934, except to the extent that the registrant specifically incorporates it by reference:
Exhibit 99.906 CERT attached hereto
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) Securian Funds Trust
By (Signature and Title) | /s/ David M. Kuplic | |
David M. Kuplic, President |
Date: August 18, 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/ David M. Kuplic | |
David M. Kuplic, President (Principal Executive Officer) |
By (Signature and Title) | /s/ Gary M. Kleist | |
Gary M. Kleist, Treasurer (Principal Financial Officer) |
Date: August 18, 2020