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)
Paul Jason Thibodeaux, 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, 2021
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, 2021
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
SFT Core Bond Fund
SFT Equity Stabilization Fund (Formerly SFT Managed Volatility Equity 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 Real Estate Securities Fund
SFT T. Rowe Price Value Fund
SFT Wellington Core Equity Fund
TABLE OF CONTENTS
Page No. | |||||||
Fund Reviews | |||||||
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund) | 1 | ||||||
SFT Core Bond Fund | 2 | ||||||
SFT Equity Stabilization Fund (Formerly SFT Managed Volatility Equity Fund) | 3 | ||||||
SFT Government Money Market Fund | 4 | ||||||
SFT Index 400 Mid-Cap Fund | 5 | ||||||
SFT Index 500 Fund | 6 | ||||||
SFT International Bond Fund | 7 | ||||||
SFT IvySM Growth Fund | 8 | ||||||
SFT IvySM Small Cap Growth 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 Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund) | 13 | ||||||
SFT Core Bond Fund | 19 | ||||||
SFT Equity Stabilization Fund (Formerly SFT Managed Volatility Equity Fund) | 28 | ||||||
SFT Government Money Market Fund | 30 | ||||||
SFT Index 400 Mid-Cap Fund | 31 | ||||||
SFT Index 500 Fund | 38 | �� | |||||
SFT International Bond Fund | 46 | ||||||
SFT IvySM Growth Fund | 49 | ||||||
SFT IvySM Small Cap Growth Fund | 51 | ||||||
SFT Real Estate Securities Fund | 53 | ||||||
SFT T. Rowe Price Value Fund | 54 | ||||||
SFT Wellington Core Equity Fund | 57 | ||||||
Financial Statements | |||||||
Statements of Assets and Liabilities | 60 | ||||||
Statements of Operations | 62 | ||||||
Statements of Changes in Net Assets | 64 | ||||||
Financial Highlights | 69 | ||||||
Notes to Financial Statements | 81 | ||||||
Fund Expense Examples | 99 | ||||||
Proxy Voting and Quarterly Holdings Information | 100 | ||||||
Statement Regarding Basis for Approval of Advisory Contracts | 101 | ||||||
Statement Regarding Liquidity Risk Management Program | 108 | ||||||
Trustees and Executive Officers | 109 |
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
Fund Objective
The SFT Balanced Stabilization 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 Balanced Stabilization 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 Fund's 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, 2021, the Fund had a net return of 7.54 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 8.28 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 Balanced Stabilization 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 Expense Limitation Agreement was terminated on May 1, 2021. 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. 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.
1
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, 2021, for each class of shares offered was as follows:
Class 1 | -0.25 percent* | ||||||
Class 2 | -0.37 percent* |
The Fund's benchmark, the Bloomberg Barclays U.S. Aggregate Bond Index, returned -1.60 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.
2
SFT Equity Stabilization Fund (Formerly SFT Managed Volatility Equity Fund)
Fund Objective
The SFT Equity Stabilization 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 Equity Stabilization 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 Fund's 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, 2021, the Fund had a net return of 7.01 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 6.58 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 Equity Stabilization 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 Expense Limitation Agreement was terminated on May 1, 2021. 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. 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 percent S&P 500® BMI International Developed Low Volatility Index and 20 percent 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.
3
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, 2021, the Fund had a net return of 0.00 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 0.03 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 Funds Trust (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%. 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, 2022, 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 Fund's business), to 0.70% of the Fund's Average daily net assets through April 30, 2022. The Agreement renews annually for a full year each year thereafter unless terminated by Securian AM upon at least 30 day's 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 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. 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 in the Fund's prospectus.
4
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 MidCap 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 MidCap 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, 2021, for each class of shares offered was as follows:
Class 1 | 17.42 percent* | ||||||
Class 2 | 17.27 percent* |
The Fund's benchmark, the S&P MidCap 400, returned 17.59 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.
S&P MidCap 400® provides investors with a benchmark for mid-sized companies. The index which is distinct from the large-cap S&P 500®, is designed to measure the performance of 400 mid-sized companies, reflecting the distinctive risk and return characteristics of this market segment.
"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 SFT 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.
5
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, 2021, for each class of shares was as follows:
Class 1 | 15.12 percent* | ||||||
Class 2 | 14.97 percent* |
The Fund's benchmark, the S&P 500, returned 15.25 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.
"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 SFT 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.
6
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. The investment adviser for the Fund is Securian Asset Management, Inc. Brandywine Global Investment Management, LLC serves as investment sub-adviser to the Fund and provides investment advice under a sub-advisory agreement. Prior to May 1, 2021 the Fund was sub-advised by Franklin Advisers, Inc. 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, 2021, for each class of shares offered was as follows:
Class 1 | -2.72 percent* | ||||||
Class 2 | -2.84 percent* |
The Fund's benchmark, the FTSE World Government Bond Index, returned -4.75 percent for the same period.
Sector Diversification (shown as a percentage of net assets)
Currency Diversification (shown as a percentage of net assets)
African | 0.42 | % | |||||
South African Rand | 0.42 | % | |||||
Americas | 102.55 | % | |||||
United States Dollar | 98.49 | % | |||||
Mexican Peso | 1.44 | % | |||||
Chilean Peso | 1.38 | % | |||||
Brazilian Real | 0.81 | % | |||||
Colombian Peso | 0.67 | % | |||||
Canadian Dollar** | -0.24 | % | |||||
Asia Pacific | -1.73 | % | |||||
Malaysian Ringgit | 0.57 | % | |||||
Indonesian Rupiah | 0.26 | % | |||||
Thai Baht | 0.14 | % | |||||
Australian Dollar (AUD)** | -0.22 | % | |||||
Japanese Yen** | -2.48 | % | |||||
Europe | -1.24 | % | |||||
Polish Zloty | 1.38 | % | |||||
Russian Ruble | 0.62 | % | |||||
Hungarian Forint | 0.55 | % | |||||
Euro** | -3.79 | % |
**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.
7
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. The investment adviser for the Fund is Securian Asset Management, Inc. Delaware Investments Fund Advisers serves as investment sub-adviser to the Fund and provides investment advice under a sub-advisory agreement. Prior to May 3, 2021, the Fund was sub-advised by Ivy Investment Management Company. 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, 2021, the Fund had a net return of 15.09 percent*. The Fund's benchmark, the Russell 1000 Growth Index, returned 12.99 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 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.
'Ivy' is the registered service mark of Ivy Distributors, Inc., an affiliate of the Delaware Investments Fund Advisers, the Fund's sub-adviser.
8
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. The investment adviser for the Fund is Securian Asset Management, Inc. Delaware Investments Fund Advisers serves as investment sub-adviser to the Fund and provides investment advice under a sub-advisory agreement. Prior to May 3, 2021, the Fund was sub-advised by Ivy Investment Management Company. 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, 2021, the Fund had a net return of 10.66 percent*. The Fund's benchmark, the Russell 2000 Growth Index, returned 8.98 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 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.
'Ivy' is the registered service mark of Ivy Distributors, Inc., an affiliate of the Delaware Investments Fund Advisers, the Fund's sub-adviser.
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, 2021, for each class of shares offered was as follows:
Class 1 | 23.19 percent* | ||||||
Class 2 | 23.04 percent* |
The Fund's benchmark, the FTSE NAREIT Equity REITs Index, returned 21.96 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. The investment adviser for the Fund is Securian Asset Management, Inc. T. Rowe Price Associates, Inc. serves as investment sub-adviser to the Fund and 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, 2021, the Fund had a net return of 18.78 percent*. The Fund's benchmark, the Russell 1000 Value Index, returned 17.05 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. The investment adviser for the Fund is Securian Asset Management, Inc. Wellington Management Company LLP serves as investment sub-adviser to the Fund and provides investment advice 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, 2021, for each class of shares offered was as follows:
Class 1 | 12.56 percent* | ||||||
Class 2 | 12.43 percent* |
The Fund's benchmark, the Standard & Poor's 500® Index, returned 15.25 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 Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal | Value(a) | ||||||||||
Long-Term Debt Securities (25.0%) | |||||||||||
Government Obligations (2.3%) | |||||||||||
U.S. Government Agencies and Obligations (2.3%) | |||||||||||
Federal Home Loan Mortgage Corporation (0.1%) | |||||||||||
3.000%, 09/01/43 | $ | 72,076 | $ | 76,857 | |||||||
3.500%, 10/01/44 | 85,750 | 91,798 | |||||||||
3.500%, 11/01/44 | 82,926 | 88,774 | |||||||||
3.500%, 12/01/44 | 91,092 | 97,517 | |||||||||
354,946 | |||||||||||
Federal National Mortgage Association (0.1%) | |||||||||||
3.000%, 04/01/43 | 116,045 | 123,011 | |||||||||
3.000%, 05/01/43 | 40,511 | 42,940 | |||||||||
3.000%, 06/01/43 | 161,612 | 171,343 | |||||||||
3.500%, 08/01/42 | 70,878 | 77,498 | |||||||||
3.500%, 02/01/43 | 91,303 | 99,928 | |||||||||
514,720 | |||||||||||
U.S. Treasury (2.1%) | |||||||||||
U.S. Treasury Note, 2.625%, 12/15/21 (b) | 15,000,000 | 15,173,437 | |||||||||
Total government obligations (cost: $15,801,371) | 16,043,103 | ||||||||||
Other Mortgage-Backed Securities (0.2%) | |||||||||||
Commercial Mortgage-Backed Securities (0.2%) | |||||||||||
Bank 2019-BNK18, 3.584%, 05/15/62 | 1,500,000 | 1,680,195 | |||||||||
Total other mortgage-backed securities (cost: $1,543,996) | 1,680,195 | ||||||||||
Corporate Obligations (22.5%) | |||||||||||
Basic Materials (0.2%) | |||||||||||
Chemicals (0.2%) | |||||||||||
Nutrien, Ltd., 3.000%, 04/01/25 (c) | 1,000,000 | 1,063,650 | |||||||||
Mining (0.0%) | |||||||||||
BHP Billiton Finance USA, Ltd., 2.875%, 02/24/22 (c) | 122,000 | 123,980 | |||||||||
Communications (1.6%) | |||||||||||
Cable/Satellite TV (0.3%) | |||||||||||
Comcast Corp. | |||||||||||
4.200%, 08/15/34 (b) | 500,000 | 591,776 | |||||||||
4.650%, 07/15/42 (b) | 250,000 | 315,224 | |||||||||
6.400%, 05/15/38 | 1,000,000 | 1,472,730 | |||||||||
2,379,730 | |||||||||||
Diversified Telecommunication Services (0.7%) | |||||||||||
AT&T, Inc. | |||||||||||
2.550%, 12/01/33 (d) | 943,000 | 932,833 | |||||||||
3.550%, 09/15/55 (d) | 1,405,000 | 1,400,354 | |||||||||
3.800%, 12/01/57 (d) | 75,000 | 77,904 | |||||||||
4.500%, 05/15/35 | 1,000,000 | 1,171,038 | |||||||||
Verizon Communications, Inc., 2.987%, 10/30/56 | 1,194,000 | 1,124,264 | |||||||||
4,706,393 |
Principal | Value(a) | ||||||||||
Internet & Catalog Retail (0.2%) | |||||||||||
Amazon.com, Inc., 3.875%, 08/22/37 | $ | 1,000,000 | $ | 1,190,159 | |||||||
Media (0.2%) | |||||||||||
ViacomCBS, Inc. | |||||||||||
3.500%, 01/15/25 | 750,000 | 806,069 | |||||||||
4.000%, 01/15/26 | 250,000 | 277,758 | |||||||||
1,083,827 | |||||||||||
Telecommunication (0.2%) | |||||||||||
Crown Castle Towers LLC, 3.663%, 05/15/45 (d) | 1,000,000 | 1,057,651 | |||||||||
Vodafone Group PLC, 4.125%, 05/30/25 (c) | 500,000 | 557,996 | |||||||||
1,615,647 | |||||||||||
Wireless Telecommunication Services (0.0%) | |||||||||||
Rogers Communications, Inc., 4.100%, 10/01/23 (c) | 250,000 | 267,205 | |||||||||
Consumer Cyclical (0.6%) | |||||||||||
Food & Staples Retailing (0.2%) | |||||||||||
The Kroger Co., 4.450%, 02/01/47 | 1,000,000 | 1,192,735 | |||||||||
Home Furnishings (0.1%) | |||||||||||
Harman International Industries, Inc., 4.150%, 05/15/25 | 1,000,000 | 1,107,764 | |||||||||
Retail (0.3%) | |||||||||||
AutoZone, Inc., 3.250%, 04/15/25 | 1,000,000 | 1,075,585 | |||||||||
Target Corp., 3.500%, 07/01/24 (b) | 750,000 | 813,605 | |||||||||
1,889,190 | |||||||||||
Consumer Staples (0.6%) | |||||||||||
Consumer Products — Miscellaneous (0.1%) | |||||||||||
Johnson (S.C.) & Son, Inc., 3.350%, 09/30/24 (d) | 750,000 | 800,877 | |||||||||
Food Products (0.1%) | |||||||||||
General Mills, Inc., 3.000%, 02/01/51 (d) | 1,002,000 | 1,008,530 | |||||||||
Household Products (0.2%) | |||||||||||
Kimberly-Clark Corp., 3.900%, 05/04/47 | 1,000,000 | 1,209,786 | |||||||||
Personal Care (0.2%) | |||||||||||
The Estee Lauder Cos., Inc., 4.150%, 03/15/47 | 1,000,000 | 1,249,957 | |||||||||
Consumer, Non-cyclical (1.4%) | |||||||||||
Beverages (0.2%) | |||||||||||
Anheuser-Busch InBev Worldwide, Inc., 4.375%, 04/15/38 | 1,000,000 | 1,192,914 |
See accompanying notes to financial statements.
13
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Commercial Service — Finance (0.0%) | |||||||||||
Moody's Corp., 4.875%, 02/15/24 | $ | 250,000 | $ | 274,499 | |||||||
Diagnostic Equipment (0.3%) | |||||||||||
Abbott Laboratories | |||||||||||
3.875%, 09/15/25 | 750,000 | 835,795 | |||||||||
4.750%, 11/30/36 | 1,000,000 | 1,284,679 | |||||||||
4.750%, 04/15/43 | 250,000 | 332,695 | |||||||||
2,453,169 | |||||||||||
Drugstore Chains (0.0%) | |||||||||||
CVS Pass-Through Trust, 6.943%, 01/10/30 | 143,189 | 173,252 | |||||||||
Food (0.4%) | |||||||||||
Mars, Inc., 3.950%, 04/01/49 (d) | 1,000,000 | 1,199,032 | |||||||||
Tyson Foods, Inc., 5.150%, 08/15/44 | 1,000,000 | 1,298,356 | |||||||||
2,497,388 | |||||||||||
Pharmaceuticals (0.5%) | |||||||||||
AbbVie, Inc., 3.800%, 03/15/25 | 670,000 | 731,495 | |||||||||
Bristol-Myers Squibb Co., 3.875%, 08/15/25 | 1,000,000 | 1,113,494 | |||||||||
Novartis Capital Corp., 3.400%, 05/06/24 (b) | 500,000 | 538,910 | |||||||||
Takeda Pharmaceutical Co., Ltd., 5.000%, 11/26/28 (c) | 1,000,000 | 1,204,151 | |||||||||
3,588,050 | |||||||||||
Energy (2.8%) | |||||||||||
Oil & Gas (1.4%) | |||||||||||
Baker Hughes a GE Co. LLC / Baker Hughes Co-Obligor, Inc., 3.337%, 12/15/27 | 1,000,000 | 1,093,081 | |||||||||
BP Capital Markets America, Inc., 4.234%, 11/06/28 | 1,000,000 | 1,161,082 | |||||||||
Chevron Corp., 3.191%, 06/24/23 (b) | 250,000 | 262,169 | |||||||||
Chevron USA, Inc., 3.900%, 11/15/24 | 1,000,000 | 1,097,516 | |||||||||
Cimarex Energy Co., 3.900%, 05/15/27 | 1,000,000 | 1,100,000 | |||||||||
EOG Resources, Inc., 2.625%, 03/15/23 | 250,000 | 258,132 | |||||||||
Marathon Petroleum Corp., 3.625%, 09/15/24 | 750,000 | 807,188 | |||||||||
Phillips 66, 4.650%, 11/15/34 | 1,000,000 | 1,200,509 | |||||||||
Total Capital International SA, 3.750%, 04/10/24 (c) | 750,000 | 813,716 | |||||||||
Valero Energy Corp. | |||||||||||
3.650%, 03/15/25 | 1,000,000 | 1,088,558 | |||||||||
4.350%, 06/01/28 | 1,000,000 | 1,140,570 | |||||||||
10,022,521 |
Principal | Value(a) | ||||||||||
Pipelines (1.4%) | |||||||||||
Columbia Pipeline Group, Inc., 4.500%, 06/01/25 | $ | 1,000,000 | $ | 1,122,503 | |||||||
Energy Transfer L.P. | |||||||||||
4.250%, 04/01/24 | 1,000,000 | 1,077,500 | |||||||||
4.900%, 03/15/35 | 1,000,000 | 1,150,000 | |||||||||
Enterprise Products Operating LLC, 5.750%, 03/01/35 | 250,000 | 314,293 | |||||||||
Florida Gas Transmission Co. LLC, 4.350%, 07/15/25 (d) | 1,000,000 | 1,108,513 | |||||||||
Kinder Morgan, Inc., 5.300%, 12/01/34 | 750,000 | 925,810 | |||||||||
Magellan Midstream Partners L.P., 4.200%, 10/03/47 | 1,000,000 | 1,110,182 | |||||||||
Plains All American Pipeline L.P./PAA Finance Corp., 3.850%, 10/15/23 | 250,000 | 265,000 | |||||||||
Southern Natural Gas Co. LLC, 4.800%, 03/15/47 (d) | 1,500,000 | 1,818,013 | |||||||||
The Williams Cos., Inc. | |||||||||||
3.750%, 06/15/27 | 500,000 | 553,091 | |||||||||
4.300%, 03/04/24 | 500,000 | 543,785 | |||||||||
9,988,690 | |||||||||||
Financial (7.0%) | |||||||||||
Banks (2.7%) | |||||||||||
Associated Banc-Corp., 4.250%, 01/15/25 | 750,000 | 810,219 | |||||||||
Bank of America Corp. | |||||||||||
3.950%, 04/21/25 | 1,000,000 | 1,098,349 | |||||||||
4.183%, 11/25/27 | 1,000,000 | 1,121,302 | |||||||||
4.244%, 04/24/38 (3-Month USD LIBOR + 1.814%) (e) | 1,000,000 | 1,190,358 | |||||||||
5.700%, 01/24/22 | 250,000 | 257,622 | |||||||||
Capital One Financial Corp. | |||||||||||
4.250%, 04/30/25 | 1,500,000 | 1,670,805 | |||||||||
4.750%, 07/15/21 | 250,000 | 250,400 | |||||||||
Citigroup, Inc. | |||||||||||
3.300%, 04/27/25 | 750,000 | 815,890 | |||||||||
3.980%, 03/20/30 (3-Month USD LIBOR + 1.338%) (e) | 1,000,000 | 1,132,164 | |||||||||
Discover Bank, 4.250%, 03/13/26 | 500,000 | 561,339 | |||||||||
Fifth Third Bank, 3.950%, 07/28/25 | 1,000,000 | 1,121,128 | |||||||||
JPMorgan Chase & Co., 3.125%, 01/23/25 | 1,000,000 | 1,071,801 | |||||||||
KeyBank NA, 3.180%, 10/15/27 | 1,000,000 | 1,026,232 | |||||||||
PNC Bank NA | |||||||||||
2.450%, 07/28/22 | 1,000,000 | 1,021,306 | |||||||||
3.800%, 07/25/23 | 250,000 | 266,248 | |||||||||
4.050%, 07/26/28 | 1,000,000 | 1,154,155 | |||||||||
Regions Financial Corp., 3.800%, 08/14/23 | 2,000,000 | 2,132,408 | |||||||||
Synchrony Bank, 3.000%, 06/15/22 | 1,000,000 | 1,022,468 |
See accompanying notes to financial statements.
14
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
Investments in Securities – continued
Principal | Value(a) | ||||||||||
The Goldman Sachs Group, Inc., 3.850%, 01/26/27 | $ | 1,000,000 | $ | 1,099,659 | |||||||
Truist Bank, 2.750%, 05/01/23 | 250,000 | 260,485 | |||||||||
19,084,338 | |||||||||||
Capital Markets (0.3%) | |||||||||||
E*TRADE Financial Corp., 2.950%, 08/24/22 | 1,000,000 | 1,027,303 | |||||||||
The Bank of New York Mellon Corp., 3.442%, 02/07/28 (3-Month USD LIBOR + 1.069%) (e) | 1,000,000 | 1,100,782 | |||||||||
2,128,085 | |||||||||||
Diversified Financial Services (0.9%) | |||||||||||
American Express Credit Corp., 3.300%, 05/03/27 | 1,000,000 | 1,105,187 | |||||||||
CME Group, Inc., 3.000%, 03/15/25 | 1,000,000 | 1,073,633 | |||||||||
Discover Financial Services, 3.750%, 03/04/25 | 1,000,000 | 1,089,297 | |||||||||
Eaton Vance Corp., 3.500%, 04/06/27 | 1,000,000 | 1,092,913 | |||||||||
Pine Street Trust I, 4.572%, 02/15/29 (d) | 1,500,000 | 1,719,121 | |||||||||
TD Ameritrade Holding Corp., 2.950%, 04/01/22 | 700,000 | 711,206 | |||||||||
6,791,357 | |||||||||||
Insurance (1.4%) | |||||||||||
American Financial Group, Inc., 4.500%, 06/15/47 | 1,000,000 | 1,190,593 | |||||||||
Assured Guaranty US Holdings, Inc., 5.000%, 07/01/24 | 500,000 | 557,970 | |||||||||
First American Financial Corp., 4.600%, 11/15/24 | 750,000 | 831,139 | |||||||||
Liberty Mutual Group, Inc., 4.250%, 06/15/23 (d) | 750,000 | 802,110 | |||||||||
Manulife Financial Corp., 4.150%, 03/04/26 (c) | 750,000 | 845,334 | |||||||||
Marsh & McLennan Cos., Inc., 4.350%, 01/30/47 | 1,000,000 | 1,250,542 | |||||||||
Metropolitan Life Global Funding I, 3.875%, 04/11/22 (d) | 250,000 | 257,085 | |||||||||
Old Republic International Corp., 4.875%, 10/01/24 | 750,000 | 836,449 | |||||||||
Pacific Life Insurance Co., 4.300%, 10/24/67 (3-Month USD LIBOR + 2.796%) (d) (e) | 1,000,000 | 1,148,750 | |||||||||
StanCorp Financial Group, Inc., 5.000%, 08/15/22 | 750,000 | 784,608 | |||||||||
The Hanover Insurance Group, Inc., 4.500%, 04/15/26 | 1,000,000 | 1,130,856 | |||||||||
9,635,436 |
Principal | Value(a) | ||||||||||
Property / Casualty Insurance (0.2%) | |||||||||||
Arch Capital Finance LLC, 4.011%, 12/15/26 (b) | $ | 1,000,000 | $ | 1,130,577 | |||||||
Real Estate Investment Trust — Diversified (0.1%) | |||||||||||
Retail Properties of America, Inc., 4.000%, 03/15/25 (b) | 1,000,000 | 1,066,034 | |||||||||
Real Estate Investment Trust — Health Care (0.7%) | |||||||||||
Healthcare Realty Trust, Inc., 3.875%, 05/01/25 | 1,000,000 | 1,082,526 | |||||||||
Healthcare Trust of America Holdings L.P., 3.750%, 07/01/27 | 1,000,000 | 1,116,234 | |||||||||
Physicians Realty L.P., 4.300%, 03/15/27 | 1,000,000 | 1,125,939 | |||||||||
Welltower, Inc., 4.125%, 03/15/29 | 1,500,000 | 1,699,635 | |||||||||
5,024,334 | |||||||||||
Real Estate Investment Trust — Office Property (0.1%) | |||||||||||
Alexandria Real Estate Equities, Inc., 4.500%, 07/30/29 | 500,000 | 587,459 | |||||||||
Real Estate Investment Trust — Shopping Centers (0.0%) | |||||||||||
Retail Opportunity Investments Partnership L.P., 5.000%, 12/15/23 | 250,000 | 269,085 | |||||||||
Real Estate Investment Trust — Single Tenant (0.1%) | |||||||||||
Office Properties Income Trust, 4.500%, 02/01/25 | 750,000 | 813,059 | |||||||||
Tanger Properties L.P., 3.875%, 12/01/23 | 200,000 | 211,277 | |||||||||
1,024,336 | |||||||||||
Real Estate Investment Trust — Storage (0.1%) | |||||||||||
CubeSmart L.P., 4.375%, 12/15/23 | 500,000 | 539,443 | |||||||||
Specialized REITs (0.4%) | |||||||||||
American Tower Corp., 3.375%, 10/15/26 | 1,000,000 | 1,088,439 | |||||||||
Essex Portfolio L.P., 3.500%, 04/01/25 | 1,000,000 | 1,081,285 | |||||||||
Goodman US Finance Four LLC, 4.500%, 10/15/37 (d) | 500,000 | 574,771 | |||||||||
2,744,495 | |||||||||||
Health Care (1.4%) | |||||||||||
Health Care Providers & Services (0.6%) | |||||||||||
Aetna, Inc., 3.875%, 08/15/47 | 1,000,000 | 1,112,052 | |||||||||
Anthem, Inc., 4.375%, 12/01/47 | 1,000,000 | 1,218,097 | |||||||||
Laboratory Corp. of America Holdings, 4.000%, 11/01/23 | 250,000 | 267,062 |
See accompanying notes to financial statements.
15
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
Investments in Securities – continued
Principal | Value(a) | ||||||||||
UnitedHealth Group, Inc. | |||||||||||
2.750%, 02/15/23 (b) | $ | 250,000 | $ | 258,261 | |||||||
3.750%, 07/15/25 (b) | 1,000,000 | 1,110,382 | |||||||||
3,965,854 | |||||||||||
Pharmaceuticals (0.8%) | |||||||||||
AbbVie, Inc., 3.600%, 05/14/25 | 1,000,000 | 1,087,849 | |||||||||
Bristol-Myers Squibb Co., 3.250%, 11/01/23 | 500,000 | 532,006 | |||||||||
Cardinal Health, Inc., 3.750%, 09/15/25 | 1,000,000 | 1,099,485 | |||||||||
Eli Lilly & Co., 3.950%, 05/15/47 | 1,000,000 | 1,204,795 | |||||||||
Mead Johnson Nutrition Co., 5.900%, 11/01/39 | 1,000,000 | 1,432,979 | |||||||||
Mylan, Inc., 4.200%, 11/29/23 | 500,000 | 535,751 | |||||||||
5,892,865 | |||||||||||
Industrials (3.0%) | |||||||||||
Aerospace & Defense (0.8%) | |||||||||||
General Dynamics Corp., 3.500%, 05/15/25 | 1,000,000 | 1,096,132 | |||||||||
L3Harris Technologies, Inc., 3.832%, 04/27/25 | 1,000,000 | 1,095,522 | |||||||||
Raytheon Technologies Corp. | |||||||||||
3.700%, 12/15/23 | 500,000 | 534,417 | |||||||||
4.050%, 05/04/47 | 1,000,000 | 1,171,726 | |||||||||
4.125%, 11/16/28 | 1,500,000 | 1,726,453 | |||||||||
5,624,250 | |||||||||||
Air Freight & Logistics (0.2%) | |||||||||||
FedEx Corp., 4.400%, 01/15/47 | 1,000,000 | 1,198,908 | |||||||||
Building Products (0.2%) | |||||||||||
CRH America Finance, Inc., 4.400%, 05/09/47 (d) | 1,000,000 | 1,200,218 | |||||||||
Containers & Packaging (0.2%) | |||||||||||
Amcor Finance USA, Inc., 4.500%, 05/15/28 | 1,000,000 | 1,161,484 | |||||||||
Electrical Equipment (0.1%) | |||||||||||
Flex. Ltd., 4.750%, 06/15/25 (c) | 1,000,000 | 1,116,723 | |||||||||
Environmental Control (0.2%) | |||||||||||
Republic Services, Inc., 3.950%, 05/15/28 | 1,000,000 | 1,136,510 | |||||||||
Industrial Conglomerates (0.2%) | |||||||||||
3M Co., 3.625%, 10/15/47 | 1,000,000 | 1,157,386 | |||||||||
Machinery (0.3%) | |||||||||||
Caterpillar Financial Services Corp. | |||||||||||
2.850%, 05/17/24 | 1,000,000 | 1,064,942 | |||||||||
3.750%, 11/24/23 (b) | 750,000 | 809,911 | |||||||||
1,874,853 |
Principal | Value(a) | ||||||||||
Miscellaneous Manufacturing (0.3%) | |||||||||||
Carlisle Cos., Inc., 3.750%, 12/01/27 | $ | 1,000,000 | $ | 1,115,569 | |||||||
Textron, Inc. | |||||||||||
3.875%, 03/01/25 | 750,000 | 815,910 | |||||||||
4.300%, 03/01/24 | 500,000 | 540,537 | |||||||||
2,472,016 | |||||||||||
Road & Rail (0.0%) | |||||||||||
Kansas City Southern, 4.300%, 05/15/43 | 250,000 | 289,239 | |||||||||
Transportation (0.2%) | |||||||||||
Burlington Northern Santa Fe LLC, 3.750%, 04/01/24 | 350,000 | 377,465 | |||||||||
Penske Truck Leasing Co. L.P. / PTL Finance Corp., 3.900%, 02/01/24 (d) | 1,000,000 | 1,072,480 | |||||||||
1,449,945 | |||||||||||
Trucking & Leasing (0.3%) | |||||||||||
GATX Corp. | |||||||||||
3.250%, 03/30/25 | 1,000,000 | 1,070,086 | |||||||||
4.550%, 11/07/28 | 1,000,000 | 1,160,890 | |||||||||
2,230,976 | |||||||||||
Information Technology (0.9%) | |||||||||||
Communications Equipment (0.2%) | |||||||||||
QUALCOMM, Inc., 4.650%, 05/20/35 | 1,000,000 | 1,263,549 | |||||||||
Computers (0.2%) | |||||||||||
Apple, Inc., 4.375%, 05/13/45 (b) | 1,000,000 | 1,279,474 | |||||||||
Interactive Media & Services (0.1%) | |||||||||||
eBay, Inc., 3.450%, 08/01/24 | 750,000 | 805,292 | |||||||||
IT Services (0.1%) | |||||||||||
Global Payments, Inc., 4.800%, 04/01/26 | 750,000 | 859,531 | |||||||||
Software (0.3%) | |||||||||||
Fiserv, Inc., 3.850%, 06/01/25 | 1,000,000 | 1,099,016 | |||||||||
Oracle Corp., 3.800%, 11/15/37 | 1,000,000 | 1,099,091 | |||||||||
2,198,107 | |||||||||||
Materials (0.5%) | |||||||||||
Chemicals (0.3%) | |||||||||||
The Mosaic Co., 5.450%, 11/15/33 | 200,000 | 250,883 | |||||||||
The Sherwin-Williams Co., 3.950%, 01/15/26 | 1,000,000 | 1,110,749 | |||||||||
Yara International ASA, 4.750%, 06/01/28 (c) (d) | 1,000,000 | 1,175,278 | |||||||||
2,536,910 |
See accompanying notes to financial statements.
16
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Construction Materials (0.2%) | |||||||||||
Vulcan Materials Co., 4.500%, 06/15/47 | $ | 1,000,000 | $ | 1,214,653 | |||||||
Transportation (0.4%) | |||||||||||
Airlines (0.2%) | |||||||||||
American Airlines 2015-2 Class A Pass Through Trust, 4.000%, 03/22/29 | 763,173 | 749,817 | |||||||||
British Airways 2013-1 Class A Pass Through Trust, 4.625%, 12/20/25 (d) | 563,662 | 591,845 | |||||||||
United Airlines 2013-1 Class A Pass Through Trust, 4.300%, 02/15/27 | 169,471 | 178,777 | |||||||||
1,520,439 | |||||||||||
Transport — Rail (0.2%) | |||||||||||
Norfolk Southern Corp., 3.850%, 01/15/24 | 500,000 | 535,779 | |||||||||
Union Pacific Corp., 3.750%, 03/15/24 | 500,000 | 537,317 | |||||||||
1,073,096 | |||||||||||
Utilities (2.1%) | |||||||||||
Electric Utilities (1.0%) | |||||||||||
Ameren Illinois Co., 3.700%, 12/01/47 | 1,000,000 | 1,139,550 | |||||||||
Arizona Public Service Co., 4.350%, 11/15/45 | 1,000,000 | 1,216,998 | |||||||||
Duke Energy Progress LLC, 3.600%, 09/15/47 | 1,000,000 | 1,103,161 | |||||||||
Entergy Louisiana LLC, 3.300%, 12/01/22 | 250,000 | 258,124 | |||||||||
Northern States Power Co., 3.750%, 12/01/47 | 1,000,000 | 1,131,183 | |||||||||
Oglethorpe Power Corp., 4.250%, 04/01/46 | 800,000 | 885,125 | |||||||||
Oklahoma Gas & Electric Co., 4.150%, 04/01/47 | 1,000,000 | 1,191,723 | |||||||||
6,925,864 | |||||||||||
Electric — Integrated (0.1%) | |||||||||||
Berkshire Hathaway Energy Co., 3.750%, 11/15/23 | 250,000 | 267,149 | |||||||||
Gas Utilities (0.6%) | |||||||||||
National Fuel Gas Co., 4.750%, 09/01/28 | 1,000,000 | 1,119,936 | |||||||||
ONEOK, Inc. | |||||||||||
4.000%, 07/13/27 | 500,000 | 550,547 | |||||||||
4.350%, 03/15/29 | 1,500,000 | 1,692,804 | |||||||||
Washington Gas Light Co., 3.796%, 09/15/46 | 1,000,000 | 1,142,565 | |||||||||
4,505,852 |
Shares/ Principal | Value(a) | ||||||||||
Multi-Utilities (0.2%) | |||||||||||
Dominion Energy Gas Holdings LLC, 3.550%, 11/01/23 | $ | 250,000 | $ | 266,258 | |||||||
National Fuel Gas Co., 5.200%, 07/15/25 | 1,000,000 | 1,124,927 | |||||||||
1,391,185 | |||||||||||
Water Utilities (0.2%) | |||||||||||
American Water Capital Corp., 3.750%, 09/01/47 | 1,000,000 | 1,123,898 | |||||||||
Aquarion Co., 4.000%, 08/15/24 (d) | 500,000 | 542,588 | |||||||||
1,666,486 | |||||||||||
Total corporate obligations (cost: $142,451,959) | 159,383,706 | ||||||||||
Total long-term debt securities (cost: $159,797,326) | 177,107,004 | ||||||||||
Mutual Funds (40.4%) | |||||||||||
Investment Companies (40.4%) | |||||||||||
iShares iBoxx $ Investment Grade Corporate Bond ETF | 44,500 | 5,979,020 | |||||||||
SFT Index 500 Fund (f) | 14,224,618 | 257,604,133 | |||||||||
SPDR S&P 500 ETF Trust (b) | 36,170 | 15,482,930 | |||||||||
Vanguard S&P 500 ETF | 20,175 | 7,939,266 | |||||||||
Total mutual funds (cost: $123,653,386) | 287,005,349 | ||||||||||
Short-Term Securities (32.6%) | |||||||||||
Investment Companies (32.6%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 231,678,388 | 231,678,388 | |||||||||
Total short-term securities (cost: $231,678,388) | 231,678,388 | ||||||||||
Total investments excluding purchased options (98.0%) (cost: $515,129,100) | 695,790,741 | ||||||||||
Total purchased options outstanding (0.2%) (cost: $1,499,447) | 1,637,235 | ||||||||||
Total investments in securities (cost: $516,628,547) (g) | 697,427,976 | ||||||||||
Cash and other assets in excess of liabilities (1.8%) | 12,769,555 | ||||||||||
Total net assets (100.0%) | $ | 710,197,531 |
See accompanying notes to financial statements.
17
SFT Balanced Stabilization Fund (Formerly SFT Dynamic Managed Volatility Fund)
Investments in Securities – continued
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(b) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2021, securities with an aggregate market value of $31,681,415 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 500 E-Mini Index Future | September 2021 | 1,123 | Long | $ | 237,893,647 | $ | 240,804,890 | $ | 2,911,243 |
(c) Foreign security: The Fund held 1.0% of net assets in foreign securities at June 30, 2021.
(d) Security sold within terms of a private placement exempt from registration pursuant to Rule 144A under 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, 2021, the cost of investments for federal income tax purposes was $519,427,141. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 180,744,543 | |||||
Gross unrealized depreciation | (108,522 | ) | |||||
Net unrealized appreciation | $ | 180,636,021 |
Call Options Purchased:
The Fund had the following call options purchased open at June 30, 2021:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
CBOE Volatility Index | $ | 17 | August 2021 | 7,005 | $ | 700,500 | $ | 805,575 | |||||||||||||||
S&P 500 Index | 4,070 | August 2021 | 249 | 24,900 | 831,660 | ||||||||||||||||||
$ | 1,637,235 |
Put Options Written:
The Fund had the following put options written open at June 30, 2021:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
CBOE Volatility Index | $ | 11 | August 2021 | 7,005 | $ | 700,500 | $ | (35,025 | ) | ||||||||||||||
S&P 500 Index | 3,660 | August 2021 | 249 | 24,900 | (241,032 | ) | |||||||||||||||||
$ | (276,057 | ) |
See accompanying notes to financial statements.
18
SFT Core Bond Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal | Value(a) | ||||||||||
Long-Term Debt Securities (99.4%) | |||||||||||
Government Obligations (29.5%) | |||||||||||
Other Government Obligations (1.7%) | |||||||||||
Provincial or Local Government Obligations (1.7%) | |||||||||||
Douglas County Public Utility District No. 1, 5.450%, 09/01/40 | $ | 1,185,000 | $ | 1,616,873 | |||||||
Municipal Electric Authority of Georgia, 6.655%, 04/01/57 | 1,163,000 | 1,806,337 | |||||||||
Ohio State Water Development Authority, 4.817%, 12/01/30 | 250,000 | 306,975 | |||||||||
Port Authority of New York & New Jersey | |||||||||||
4.458%, 10/01/62 | 1,150,000 | 1,526,855 | |||||||||
4.926%, 10/01/51 | 2,055,000 | 2,869,417 | |||||||||
Texas A&M University, 4.000%, 05/15/31 | 325,000 | 358,186 | |||||||||
8,484,643 | |||||||||||
U.S. Government Agencies and Obligations (27.8%) | |||||||||||
Federal Home Loan Mortgage Corporation (3.8%) | |||||||||||
0.736%, 01/25/23 (1-Month USD LIBOR + 0.650%) (b) | 18,738 | 18,746 | |||||||||
1.042%, 10/25/29 (1-Month USD LIBOR + 0.950%) (b) | 450,000 | 428,842 | |||||||||
2.500%, 03/01/28 | 269,929 | 283,210 | |||||||||
2.500%, 04/01/28 | 96,926 | 101,200 | |||||||||
3.000%, 08/01/42 | 352,781 | 375,977 | |||||||||
3.000%, 12/01/42 | 141,794 | 151,136 | |||||||||
3.000%, 01/01/43 | 190,501 | 204,586 | |||||||||
3.000%, 02/01/43 | 475,875 | 513,085 | |||||||||
3.000%, 04/01/43 | 697,853 | 748,706 | |||||||||
3.000%, 10/25/46 | 75,660 | 74,509 | |||||||||
3.392%, 10/25/27 (1-Month USD LIBOR + 3.300%) (b) | 535,024 | 543,057 | |||||||||
3.500%, 10/01/25 | 95,819 | 100,816 | |||||||||
3.500%, 05/01/32 | 112,599 | 117,862 | |||||||||
3.500%, 03/01/42 | 543,599 | 595,980 | |||||||||
3.500%, 08/01/42 | 439,664 | 482,220 | |||||||||
3.500%, 05/25/45 | 371,875 | 374,619 | |||||||||
3.542%, 10/25/29 (1-Month USD LIBOR + 3.450%) (b) | 4,000,000 | 4,174,672 | |||||||||
4.000%, 09/01/40 | 429,149 | 476,941 | |||||||||
4.000%, 11/01/40 | 959,919 | 1,070,747 | |||||||||
4.000%, 02/01/41 | 194,211 | 214,672 | |||||||||
4.000%, 03/01/41 | 217,624 | 244,811 | |||||||||
4.500%, 04/01/23 | 8,199 | 8,885 | |||||||||
4.500%, 09/01/40 | 55,911 | 61,926 | |||||||||
4.500%, 01/01/41 | 335,578 | 371,681 | |||||||||
4.500%, 02/01/41 | 182,649 | 202,505 | |||||||||
4.500%, 03/01/41 | 432,528 | 480,883 | |||||||||
4.500%, 04/01/41 | 360,273 | 408,271 | |||||||||
4.642%, 10/25/24 (1-Month USD LIBOR + 4.550%) (b) | 55,273 | 56,491 | |||||||||
4.892%, 05/25/28 (1-Month USD LIBOR + 4.800%) (b) | 1,307,392 | 1,352,968 |
Principal | Value(a) | ||||||||||
5.000%, 03/01/23 | $ | 4,152 | $ | 4,551 | |||||||
5.000%, 05/01/29 | 16,655 | 18,395 | |||||||||
5.000%, 04/01/35 | 42,343 | 47,442 | |||||||||
5.000%, 08/01/35 | 35,170 | 39,890 | |||||||||
5.000%, 11/01/35 | 53,993 | 60,730 | |||||||||
5.000%, 11/01/39 | 383,634 | 436,398 | |||||||||
5.000%, 04/01/40 | 97,595 | 109,670 | |||||||||
5.000%, 08/01/40 | 79,959 | 90,003 | |||||||||
5.500%, 11/01/23 | 45,245 | 50,473 | |||||||||
5.500%, 05/01/34 | 439,298 | 505,689 | |||||||||
5.500%, 10/01/34 | 171,837 | 197,316 | |||||||||
5.500%, 07/01/35 | 162,051 | 188,761 | |||||||||
5.500%, 10/01/35 | 190,139 | 221,326 | |||||||||
5.500%, 12/01/38 | 108,716 | 125,582 | |||||||||
5.642%, 07/25/28 (1-Month USD LIBOR + 5.550%) (b) | 2,334,663 | 2,451,683 | |||||||||
6.000%, 11/01/33 | 229,038 | 272,028 | |||||||||
6.250%, 12/15/23 | 14,363 | 14,984 | |||||||||
6.500%, 09/01/32 | 23,154 | 27,570 | |||||||||
6.500%, 11/01/32 | 21,617 | 25,328 | |||||||||
6.500%, 06/01/36 | 131,640 | 156,881 | |||||||||
7.000%, 12/01/37 | 37,573 | 44,528 | |||||||||
19,329,232 | |||||||||||
Federal National Mortgage Association (4.5%) | |||||||||||
2.500%, 03/01/27 | 154,030 | 161,270 | |||||||||
2.500%, 11/01/27 | 251,879 | 263,767 | |||||||||
2.500%, 03/01/28 | 174,128 | 181,652 | |||||||||
2.500%, 07/01/28 | 247,434 | 259,176 | |||||||||
3.000%, 06/01/22 | 14,123 | 14,268 | |||||||||
3.000%, 09/01/22 | 11,867 | 12,025 | |||||||||
3.000%, 11/01/27 | 106,363 | 111,769 | |||||||||
3.000%, 06/01/28 | 99,002 | 104,049 | |||||||||
3.000%, 09/01/42 | 98,392 | 104,880 | |||||||||
3.000%, 01/01/46 | 228,599 | 242,022 | |||||||||
3.500%, 11/01/25 | 109,332 | 115,055 | |||||||||
3.500%, 01/01/26 | 134,348 | 141,613 | |||||||||
3.500%, 12/01/32 | 118,184 | 125,793 | |||||||||
3.500%, 11/01/40 | 328,557 | 358,994 | |||||||||
3.500%, 01/01/41 | 397,999 | 433,460 | |||||||||
3.500%, 02/01/41 | 485,105 | 517,741 | |||||||||
3.500%, 04/01/41 | 232,020 | 252,786 | |||||||||
3.500%, 11/01/41 | 1,325,809 | 1,445,421 | |||||||||
3.500%, 12/01/41 | 291,135 | 313,602 | |||||||||
3.500%, 05/01/42 | 137,781 | 149,229 | |||||||||
3.500%, 01/01/43 | 328,360 | 352,621 | |||||||||
3.500%, 02/01/43 | 365,212 | 399,710 | |||||||||
3.500%, 05/01/43 | 1,260,856 | 1,373,986 | |||||||||
3.742%, 09/25/29 (1-Month USD LIBOR + 3.650%) (b) | 184,212 | 191,230 | |||||||||
4.000%, 12/01/40 | 57,629 | 63,093 | |||||||||
4.000%, 04/01/41 | 776,680 | 865,750 | |||||||||
4.000%, 09/01/41 | 258,854 | 283,343 | |||||||||
4.000%, 11/01/41 | 133,251 | 145,527 | |||||||||
4.000%, 06/01/42 | 378,332 | 419,097 | |||||||||
4.000%, 09/01/43 | 251,006 | 273,709 | |||||||||
4.392%, 02/25/25 (1-Month USD LIBOR + 4.300%) (b) | 774,586 | 792,700 | |||||||||
4.492%, 01/25/24 (1-Month USD LIBOR + 4.400%) (b) | 50,202 | 51,513 | |||||||||
4.500%, 04/01/25 | 17,177 | 18,143 | |||||||||
4.500%, 05/25/34 | 537,000 | 622,602 |
See accompanying notes to financial statements.
19
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
4.500%, 05/01/35 | $ | 128,230 | $ | 143,606 | |||||||
4.500%, 07/01/35 | 281,021 | 312,451 | |||||||||
4.500%, 09/01/37 | 110,063 | 122,390 | |||||||||
4.500%, 06/01/39 | 114,987 | 127,453 | |||||||||
4.500%, 04/01/41 | 997,301 | 1,115,014 | |||||||||
4.500%, 07/01/41 | 711,111 | 787,676 | |||||||||
4.500%, 07/01/47 | 291,138 | 324,848 | |||||||||
4.542%, 01/25/29 (1-Month USD LIBOR + 4.450%) (b) | 1,206,295 | 1,261,014 | |||||||||
5.000%, 06/25/23 | 22,736 | 23,302 | |||||||||
5.000%, 07/01/23 | 17,524 | 18,692 | |||||||||
5.000%, 11/01/33 | 123,947 | 140,021 | |||||||||
5.000%, 03/01/34 | 99,083 | 111,918 | |||||||||
5.000%, 05/01/34 | 23,107 | 26,053 | |||||||||
5.000%, 12/01/34 | 133,231 | 152,583 | |||||||||
5.000%, 07/01/35 | 118,969 | 135,922 | |||||||||
5.000%, 08/01/35 | 45,303 | 51,465 | |||||||||
5.000%, 03/01/38 | 62,096 | 72,228 | |||||||||
5.000%, 04/01/38 | 94,361 | 109,195 | |||||||||
5.000%, 06/01/39 | 77,403 | 87,617 | |||||||||
5.000%, 12/01/39 | 303,729 | 343,899 | |||||||||
5.000%, 06/01/40 | 42,018 | 47,476 | |||||||||
5.000%, 04/01/41 | 284,572 | 324,951 | |||||||||
5.500%, 08/01/23 | 10,754 | 11,996 | |||||||||
5.500%, 02/01/24 | 18,239 | 20,346 | |||||||||
5.500%, 04/01/33 | 435,960 | 509,445 | |||||||||
5.500%, 05/01/33 | 6,127 | 7,165 | |||||||||
5.500%, 12/01/33 | 49,013 | 56,909 | |||||||||
5.500%, 01/01/34 | 93,316 | 109,335 | |||||||||
5.500%, 02/01/34 | 99,216 | 115,087 | |||||||||
5.500%, 03/01/34 | 159,085 | 184,487 | |||||||||
5.500%, 04/01/34 | 92,941 | 108,653 | |||||||||
5.500%, 05/01/34 | 3,788 | 4,209 | |||||||||
5.500%, 09/01/34 | 112,507 | 130,307 | |||||||||
5.500%, 10/01/34 | 37,638 | 43,698 | |||||||||
5.500%, 01/01/35 | 63,843 | 74,155 | |||||||||
5.500%, 02/01/35 | 193,988 | 224,193 | |||||||||
5.500%, 04/01/35 | 173,490 | 201,496 | |||||||||
5.500%, 06/01/35 | 18,569 | 21,507 | |||||||||
5.500%, 08/01/35 | 95,357 | 111,920 | |||||||||
5.500%, 10/01/35 | 235,233 | 273,055 | |||||||||
5.500%, 11/01/35 | 44,669 | 51,387 | |||||||||
5.500%, 09/01/36 | 80,977 | 93,930 | |||||||||
5.500%, 12/01/39 | 52,802 | 60,500 | |||||||||
6.000%, 08/01/23 | 14,717 | 15,383 | |||||||||
6.000%, 09/01/32 | 9,155 | 10,873 | |||||||||
6.000%, 10/01/32 | 312,635 | 371,343 | |||||||||
6.000%, 11/01/32 | 331,710 | 394,477 | |||||||||
6.000%, 03/01/33 | 272,628 | 323,846 | |||||||||
6.000%, 12/01/33 | 89,734 | 107,029 | |||||||||
6.000%, 08/01/34 | 27,900 | 32,480 | |||||||||
6.000%, 09/01/34 | 14,624 | 17,574 | |||||||||
6.000%, 11/01/34 | 11,753 | 13,584 | |||||||||
6.000%, 12/01/34 | 74,550 | 88,450 | |||||||||
6.000%, 11/01/36 | 9,786 | 11,753 | |||||||||
6.000%, 01/01/37 | 96,305 | 114,358 | |||||||||
6.000%, 08/01/37 | 53,632 | 64,190 | |||||||||
6.000%, 12/01/37 | 176 | 180 | |||||||||
6.000%, 10/01/38 | 105,065 | 125,884 | |||||||||
6.500%, 11/01/23 | 10,476 | 10,933 | |||||||||
6.500%, 12/01/31 | 45,683 | 53,969 | |||||||||
6.500%, 02/01/32 | 149,903 | 177,108 | |||||||||
6.500%, 04/01/32 | 101,201 | 117,729 | |||||||||
6.500%, 05/01/32 | 24,334 | 28,750 |
Principal | Value(a) | ||||||||||
6.500%, 07/01/32 | $ | 185,695 | $ | 216,696 | |||||||
6.500%, 08/01/32 | 83,144 | 98,244 | |||||||||
6.500%, 09/01/32 | 51,034 | 59,814 | |||||||||
6.500%, 10/01/32 | 65,037 | 75,638 | |||||||||
6.500%, 09/01/34 | 3,252 | 3,814 | |||||||||
6.500%, 11/01/34 | 3,219 | 3,790 | |||||||||
6.500%, 03/01/35 | 55,226 | 65,348 | |||||||||
6.500%, 02/01/36 | 6,577 | 7,676 | |||||||||
6.500%, 09/01/37 | 61,465 | 71,608 | |||||||||
6.500%, 11/01/37 | 35,765 | 42,596 | |||||||||
7.000%, 07/01/31 | 42,382 | 50,841 | |||||||||
7.000%, 09/01/31 | 126,511 | 149,779 | |||||||||
7.000%, 11/01/31 | 130,305 | 153,503 | |||||||||
7.000%, 02/01/32 | 57,912 | 68,211 | |||||||||
7.000%, 03/01/32 | 13,434 | 16,135 | |||||||||
7.000%, 07/01/32 | 51,189 | 60,168 | |||||||||
7.000%, 10/01/37 | 14,814 | 16,612 | |||||||||
7.500%, 07/25/22 | 456 | 458 | |||||||||
7.500%, 04/01/31 | 47,662 | 53,880 | |||||||||
7.500%, 05/01/31 | 18,455 | 21,940 | |||||||||
22,731,794 | |||||||||||
Government National Mortgage Association (1.8%) | |||||||||||
0.004%, 06/17/45 (b) (c) | 283,069 | 32 | |||||||||
1.000%, 12/20/42 | 57,870 | 56,028 | |||||||||
3.000%, 03/15/45 | 733,007 | 765,530 | |||||||||
3.000%, 04/15/45 | 1,197,837 | 1,249,897 | |||||||||
3.000%, 05/15/45 | 80,422 | 85,439 | |||||||||
3.250%, 04/20/33 | 118,235 | 123,770 | |||||||||
3.250%, 03/20/35 | 971,483 | 1,036,552 | |||||||||
3.250%, 11/20/35 | 490,801 | 523,666 | |||||||||
3.250%, 01/20/36 | 818,797 | 873,594 | |||||||||
3.500%, 11/15/40 | 62,578 | 66,766 | |||||||||
3.500%, 04/20/46 | 385,141 | 403,779 | |||||||||
3.750%, 03/20/46 | 721,865 | 768,058 | |||||||||
4.000%, 07/20/31 | 275,234 | 299,430 | |||||||||
4.000%, 04/20/39 | 194,574 | 207,342 | |||||||||
4.000%, 12/20/40 | 548,056 | 604,429 | |||||||||
4.000%, 01/15/41 | 28,708 | 31,679 | |||||||||
4.000%, 02/15/41 | 220,722 | 243,640 | |||||||||
4.000%, 10/15/41 | 145,736 | 160,853 | |||||||||
4.000%, 12/20/44 | 71,730 | 78,057 | |||||||||
4.500%, 06/15/40 | 145,546 | 165,609 | |||||||||
5.000%, 05/15/33 | 45,677 | 52,382 | |||||||||
5.000%, 12/15/39 | 59,515 | 68,588 | |||||||||
5.000%, 01/15/40 | 556,137 | 649,504 | |||||||||
5.000%, 07/15/40 | 122,232 | 138,320 | |||||||||
5.500%, 07/15/38 | 147,389 | 170,268 | |||||||||
5.500%, 10/15/38 | 215,641 | 248,796 | |||||||||
8.500%, 10/15/22 | 2,949 | 2,968 | |||||||||
9,074,976 | |||||||||||
U.S. Treasury (17.7%) | |||||||||||
U.S. Treasury Bond | |||||||||||
1.375%, 11/15/40 | 7,150,000 | 6,428,297 | |||||||||
1.625%, 11/15/50 | 6,927,000 | 6,223,477 | |||||||||
1.875%, 02/15/41 | 4,895,000 | 4,797,100 | |||||||||
1.875%, 02/15/51 | 5,140,000 | 4,908,700 | |||||||||
5.375%, 02/15/31 (d) | 5,115,000 | 6,954,801 | |||||||||
U.S. Treasury Note | |||||||||||
0.125%, 01/15/24 | 5,000,000 | 4,970,312 | |||||||||
0.250%, 05/15/24 | 1,600,000 | 1,591,500 | |||||||||
0.250%, 06/15/24 | 1,500,000 | 1,491,094 |
See accompanying notes to financial statements.
20
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
0.375%, 04/15/24 | $ | 2,325,000 | $ | 2,322,457 | |||||||
0.500%, 05/31/27 | 5,020,000 | 4,863,125 | |||||||||
0.625%, 12/31/27 | 8,000,000 | 7,740,000 | |||||||||
0.750%, 04/30/26 | 2,100,000 | 2,090,156 | |||||||||
0.750%, 05/31/26 | 5,105,000 | 5,077,880 | |||||||||
0.875%, 06/30/26 | 6,500,000 | 6,500,000 | |||||||||
1.125%, 02/29/28 | 8,328,000 | 8,309,782 | |||||||||
1.250%, 05/31/28 | 1,485,000 | 1,490,105 | |||||||||
1.500%, 01/31/27 | 1,500,000 | 1,542,891 | |||||||||
1.625%, 05/15/31 | 4,890,000 | 4,970,991 | |||||||||
1.750%, 12/31/24 | 7,465,000 | 7,769,432 | |||||||||
2.250%, 02/15/27 (d) | 150,000 | 160,406 | |||||||||
2.750%, 02/15/28 | 200,000 | 220,531 | |||||||||
90,423,037 | |||||||||||
Vendee Mortgage Trust (0.0%) | |||||||||||
Vendee Mortgage Trust, 7.793%, 02/15/25 | 13,360 | 14,158 | |||||||||
Total government obligations (cost: $144,035,264) | 150,057,840 | ||||||||||
Asset-Backed Securities (11.8%) | |||||||||||
AmeriCredit Automobile Receivables Trust, 3.180%, 07/18/23 | 3,250,000 | 3,309,159 | |||||||||
AMSR Trust, 2.278%, 08/17/26 (e) (h) | 1,150,000 | 1,150,437 | |||||||||
Bank of The West Auto Trust, 3.210%, 04/15/25 (e) | 2,293,000 | 2,330,495 | |||||||||
Bear Stearns Asset Backed Securities Trust, 1.067%, 02/25/34 (1-Month USD LIBOR + 0.975%) (b) | 361,951 | 361,124 | |||||||||
CarMax Auto Owner Trust, 2.950%, 11/15/23 | 1,950,000 | 1,981,975 | |||||||||
Chase Funding Trust | |||||||||||
0.652%, 02/25/33 (1-Month USD LIBOR + 0.560%) (b) | 148,458 | 143,284 | |||||||||
0.732%, 08/25/32 (1-Month USD LIBOR + 0.640%) (b) | 94,443 | 90,501 | |||||||||
Chesapeake Funding II LLC, 3.570%, 04/15/30 (e) | 1,200,000 | 1,207,262 | |||||||||
Commonbond Student Loan Trust | |||||||||||
2.550%, 05/25/41 (e) | 189,090 | 193,180 | |||||||||
5.280%, 05/25/41 (e) | 27,938 | 30,367 | |||||||||
Commonbond Student Loan Trust 2018-A-GS | |||||||||||
0.592%, 02/25/44 (1-Month USD LIBOR + 0.500%) (b) (e) | 398,835 | 397,260 | |||||||||
3.210%, 02/25/44 (e) | 1,012,348 | 1,045,490 | |||||||||
Commonbond Student Loan Trust 2019-A-GS, 2.540%, 01/25/47 (e) | 2,174,486 | 2,231,669 | |||||||||
Commonbond Student Loan Trust 2021-A-GS, 1.200%, 03/25/52 (e) | 857,397 | 852,544 | |||||||||
Drive Auto Receivables Trust | |||||||||||
3.530%, 12/15/23 (e) | 141,600 | 142,598 | |||||||||
3.990%, 01/15/25 | 1,977,757 | 2,002,481 |
Principal | Value(a) | ||||||||||
Earnest Student Loan Program LLC | |||||||||||
2.650%, 01/25/41 (e) | $ | 1,214,693 | $ | 1,220,147 | |||||||
2.720%, 01/25/41 (e) | 109,173 | 109,346 | |||||||||
3.020%, 05/25/34 (e) | 141,870 | 141,984 | |||||||||
Firstkey Homes Trust, 1.788%, 08/17/28 (e) (h) | 2,075,000 | 2,077,199 | |||||||||
GM Financial Consumer Automobile Receivables Trust, 2.770%, 07/17/23 | 800,000 | 805,507 | |||||||||
Home Partners of America 2018-1 Trust, 0.982%, 07/17/37 (1-Month USD LIBOR + 0.900%) (b) (e) | 1,046,316 | 1,046,316 | |||||||||
Invitation Homes 2018-SFR1 Trust | |||||||||||
1.332%, 03/17/37 (1-Month USD LIBOR + 1.250%) (b) (e) | 3,500,000 | 3,500,000 | |||||||||
1.532%, 03/17/37 (1-Month USD LIBOR + 1.450%) (b) (e) | 999,636 | 999,686 | |||||||||
Invitation Homes 2018-SFR3 Trust | |||||||||||
1.082%, 07/17/37 (1-Month USD LIBOR + 1.000%) (b) (e) | 1,945,160 | 1,945,160 | |||||||||
1.732%, 07/17/37 (1-Month USD LIBOR + 1.650%) (b) (e) | 1,046,521 | 1,046,102 | |||||||||
Invitation Homes 2018- SFR4 Trust, 1.482%, 01/17/38 (1-Month USD LIBOR + 1.400%) (b) (e) | 5,050,000 | 5,050,000 | |||||||||
Invitation Homes Trust, 1.353%, 06/17/37 (1-Month USD LIBOR + 1.280%) (b) (e) | 1,500,000 | 1,500,000 | |||||||||
Kubota Credit Owner Trust 2020-2, 0.410%, 06/15/23 (e) | 1,672,244 | 1,673,621 | |||||||||
Morgan Stanley Dean Witter Capital I, Inc., 0.652%, 08/25/32 (1-Month USD LIBOR + 0.560%) (b) | 178,343 | 174,295 | |||||||||
Navient Private Education Refi Loan Trust | |||||||||||
1.310%, 01/15/69 (e) | 1,675,685 | 1,679,392 | |||||||||
0.940%, 07/15/69 (e) | 2,576,555 | 2,575,418 | |||||||||
Navient Private Education Refi Loan Trust 2021-c, 1.060%, 10/15/69 (e) | 1,275,000 | 1,277,790 | |||||||||
Progress Residential 2019-SFR2 Trust, 3.446%, 05/17/36 (e) | 2,500,000 | 2,539,650 | |||||||||
Saxon Asset Securities Trust, 0.632%, 03/25/35 (1-Month USD LIBOR + 0.540%) (b) | 270,238 | 263,348 | |||||||||
Sofi Professional Loan Program 2017-F LLC, 2.840%, 01/25/41 (e) | 774,719 | 791,639 |
See accompanying notes to financial statements.
21
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Sofi Professional Loan Program 2018-A LLC, 2.950%, 02/25/42 (e) | $ | 739,328 | $ | 750,747 | |||||||
SoFi Professional Loan Program LLC, 2.650%, 09/25/40 (e) | 589,558 | 599,877 | |||||||||
Towd Point Mortgage Trust | |||||||||||
3.000%, 06/25/58 (b) (e) | 2,684,783 | 2,792,476 | |||||||||
3.750%, 04/25/55 (b) (e) | 2,505,000 | 2,620,094 | |||||||||
4.060%, 11/25/57 (b) (e) | 3,154,000 | 3,378,921 | |||||||||
Tricon American Homes Trust, 1.832%, 11/17/39 (e) | 975,000 | 967,015 | |||||||||
Volvo Financial Equipment LLC Series 2018-1, 3.060%, 12/15/25 (e) | 1,300,000 | 1,312,004 | |||||||||
Total asset-backed securities (cost: $59,761,431) | 60,307,560 | ||||||||||
Other Mortgage-Backed Securities (12.7%) | |||||||||||
Collateralized Mortgage Obligations/Mortgage Revenue Bonds (7.3%) | |||||||||||
Agate Bay Mortgage Trust, 3.754%, 01/25/45 (b) (e) | 148,246 | 151,102 | |||||||||
Bear Stearns Mortgage Securities, Inc., 8.000%, 11/25/29 | 30,059 | 28,498 | |||||||||
Bellemeade Re 2018-1, Ltd., 1.692%, 04/25/28 (1-Month USD LIBOR + 1.600%) (b) (e) (f) | 961,413 | 962,032 | |||||||||
Bellemeade Re 2018-3, Ltd., 1.942%, 10/25/28 (1-Month USD LIBOR + 1.850%) (b) (e) (f) | 2,073,741 | 2,079,222 | |||||||||
Citigroup Mortgage Loan Trust, Inc. | |||||||||||
1.000%, 05/25/51 (e) (h) | 2,325,000 | 2,385,486 | |||||||||
3.000%, 09/25/64 (b) (e) | 275,281 | 281,332 | |||||||||
CSMC Trust | |||||||||||
3.302%, 08/25/43 (b) (e) | 1,912,552 | 1,933,644 | |||||||||
3.500%, 06/25/47 (b) (e) | 1,888,408 | 1,926,439 | |||||||||
Eagle RE 2020-1 Ltd., 1.542%, 01/25/30 (b) (e) | 4,725,000 | 4,700,682 | |||||||||
Flagstar Mortgage Trust, 2.500%, 07/25/51 (b) (e) | 2,700,000 | 2,765,813 | |||||||||
GS Mortgage-Backed Securities Trust, 2.464%, 07/25/44 (b) (e) | 2,110,021 | 2,103,313 | |||||||||
JP Morgan Mortgage Trust | |||||||||||
2.512%, 11/25/33 (b) | 63,405 | 63,933 | |||||||||
3.309%, 10/25/46 (b) (e) | 275,532 | 278,917 | |||||||||
3.418%, 06/25/29 (b) (e) | 141,890 | 146,220 | |||||||||
3.606%, 05/25/43 (b) (e) | 145,173 | 146,484 | |||||||||
3.682%, 05/25/47 (e) | 3,003,387 | 2,501,500 | |||||||||
3.528%, 10/25/45 (b) (e) | 1,375,000 | 1,370,646 | |||||||||
2.500%, 08/25/51 (b) (e) | 2,400,000 | 2,425,569 | |||||||||
MRFC Mortgage Pass- Through Trust Series 1998-2, 6.750%, 06/25/28 | 4,203 | 4,267 |
Principal | Value(a) | ||||||||||
Prudential Home Mortgage Securities | |||||||||||
7.480%, 09/28/24 (b) (e) | $ | 204 | $ | 198 | |||||||
Radnor RE 2019-1, Ltd., 2.042%, 02/25/29 (1-Month USD LIBOR + 1.950%) (b) (e) (f) | 726,645 | 728,605 | |||||||||
Seasoned Credit Risk Transfer Trust | |||||||||||
4.000%, 07/25/56 (b) | 2,602,000 | 2,595,809 | |||||||||
4.000%, 08/25/56 (b) (e) | 1,200,000 | 1,219,567 | |||||||||
Sequoia Mortgage Trust | |||||||||||
3.159%, 11/25/30 (b) (e) | 409,804 | 416,915 | |||||||||
3.507%, 06/25/43 (b) | 863,502 | 876,308 | |||||||||
3.718%, 07/25/45 (b) (e) | 319,404 | 326,150 | |||||||||
3.893%, 01/25/45 (b) (e) | 211,268 | 215,641 | |||||||||
Sequoia Mortgage Trust 2017-1, 3.610%, 02/25/47 (b) (e) | 1,117,227 | 1,140,083 | |||||||||
Shellpoint Co-Originator Trust, 3.652%, 04/25/47 (b) (e) | 1,472,971 | 1,493,071 | |||||||||
Structured Asset Mortgage Investments, Inc., 6.750%, 05/02/30 (b) | 9,414 | 352 | |||||||||
WinWater Mortgage Loan Trust 2015-4, 3.722%, 06/20/45 (b) (e) | 1,985,883 | 2,029,380 | |||||||||
37,297,178 | |||||||||||
Commercial Mortgage-Backed Securities (5.4%) | |||||||||||
BAMLL Commercial Mortgage Securities Trust 2014-520M, 4.325%, 08/15/46 (b) (e) | 1,350,000 | 1,597,509 | |||||||||
BB-UBS Trust, 4.160%, 11/05/36 (b) (e) | 1,000,000 | 999,375 | |||||||||
CFCRE Commercial Mortgage Trust, 3.839%, 12/10/54 | 500,000 | 555,325 | |||||||||
Citigroup Commercial Mortgage Trust 2018-TBR, 0.903%, 12/15/36 (1-Month USD LIBOR + 0.830%) (b) (e) | 4,000,000 | 3,996,920 | |||||||||
CSMC Trust, 3.304%, 09/15/37 (e) | 357,244 | 370,484 | |||||||||
Hometown Commercial Mortgage, 6.057%, 06/11/39 (e) | 28,292 | 12,748 | |||||||||
Irvine Core Office Trust, 2.068%, 05/15/48 (e) | 105,356 | 106,858 | |||||||||
JPMCC Commercial Mortgage Securities Trust, 3.723%, 03/15/50 | 1,000,000 | 1,111,550 | |||||||||
Morgan Stanley Bank of America Merrill Lynch Trust, 3.720%, 12/15/49 | 225,000 | 250,569 | |||||||||
Morgan Stanley Capital I Trust, 3.451%, 08/05/34 (e) | 700,000 | 694,694 | |||||||||
One Market Plaza Trust, 3.614%, 02/10/32 (e) | 2,500,000 | 2,551,800 |
See accompanying notes to financial statements.
22
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
One Park Mortgage Trust, 0.773%, 03/15/36 (1-Month USD LIBOR + 0.700%) (b) (e) | $ | 3,050,000 | $ | 3,048,566 | |||||||
UBS Commercial Mortgage Trust | |||||||||||
3.580%, 12/15/50 | 3,500,000 | 3,869,915 | |||||||||
3.724%, 06/15/50 | 2,750,000 | 2,989,277 | |||||||||
4.061%, 12/15/50 (b) | 1,505,000 | 1,669,993 | |||||||||
Wells Fargo Commercial Mortgage Trust | |||||||||||
3.184%, 04/15/50 | 1,544,000 | 1,657,360 | |||||||||
3.637%, 06/15/48 | 1,905,000 | 2,079,441 | |||||||||
27,562,384 | |||||||||||
Total other mortgage-backed securities (cost: $64,299,749) | 64,859,562 | ||||||||||
Corporate Obligations (45.4%) | |||||||||||
Communications (2.6%) | |||||||||||
Media (0.5%) | |||||||||||
Comcast Corp., 3.300%, 04/01/27 | 2,120,000 | 2,334,692 | |||||||||
Telecommunication (2.1%) | |||||||||||
AT&T, Inc. | |||||||||||
2.300%, 06/01/27 | 650,000 | 671,293 | |||||||||
3.550%, 09/15/55 (e) | 4,012,000 | 3,998,732 | |||||||||
3.650%, 06/01/51 | 650,000 | 677,008 | |||||||||
Crown Castle Towers LLC, 3.222%, 05/15/42 (e) | 2,375,000 | 2,373,319 | |||||||||
Verizon Communications, Inc., 3.550%, 03/22/51 | 3,050,000 | 3,249,543 | |||||||||
10,969,895 | |||||||||||
Consumer Cyclical (1.1%) | |||||||||||
Auto/Truck Parts & Equipment — Original (1.1%) | |||||||||||
General Motors Financial Co., Inc., 0.804%, 03/08/24 (SOFRRATE + 0.760%) (b) | 1,775,000 | 1,784,459 | |||||||||
Hyundai Capital America | |||||||||||
2.850%, 11/01/22 (e) | 3,000,000 | 3,083,061 | |||||||||
3.250%, 09/20/22 (e) | 625,000 | 644,144 | |||||||||
5,511,664 | |||||||||||
Consumer, Non-cyclical (3.2%) | |||||||||||
Agricultural Operations (0.6%) | |||||||||||
Bunge, Ltd. Finance Corp. | |||||||||||
1.630%, 08/17/25 | 1,000,000 | 1,010,891 | |||||||||
2.750%, 05/14/31 | 2,000,000 | 2,016,904 | |||||||||
3,027,795 | |||||||||||
Agricultural Products (0.2%) | |||||||||||
Altria Group, Inc., 5.800%, 02/14/39 | 955,000 | 1,176,270 |
Principal | Value(a) | ||||||||||
Drugstore Chains (1.1%) | |||||||||||
CVS Pass-Through Trust | |||||||||||
5.298%, 01/11/27 (e) | $ | 793,129 | $ | 869,555 | |||||||
5.880%, 01/10/28 | 290,716 | 327,781 | |||||||||
6.036%, 12/10/28 | 1,791,333 | 2,068,972 | |||||||||
6.943%, 01/10/30 | 1,858,588 | 2,248,811 | |||||||||
5,515,119 | |||||||||||
Food (0.3%) | |||||||||||
Ingredion, Inc., 3.900%, 06/01/50 | 1,160,000 | 1,302,055 | |||||||||
Pharmaceuticals (0.8%) | |||||||||||
Johnson & Johnson, 2.250%, 09/01/50 | 1,750,000 | 1,633,247 | |||||||||
Viatris, Inc. | |||||||||||
2.300%, 06/22/27 (e) | 1,400,000 | 1,429,583 | |||||||||
3.850%, 06/22/40 (e) | 1,000,000 | 1,061,962 | |||||||||
4,124,792 | |||||||||||
Public Thoroughfares (0.2%) | |||||||||||
Transurban Finance Co. Pty, Ltd., 2.450%, 03/16/31 (e) (f) | 1,100,000 | 1,103,358 | |||||||||
Energy (7.3%) | |||||||||||
Oil & Gas (1.8%) | |||||||||||
Chevron USA, Inc., 3.900%, 11/15/24 | 2,035,000 | 2,233,445 | |||||||||
DT Midstream, Inc. | |||||||||||
4.125%, 06/15/29 (e) | 1,357,000 | 1,375,659 | |||||||||
4.375%, 06/15/31 (e) | 685,000 | 696,988 | |||||||||
Equinor ASA, 3.000%, 04/06/27 (f) | 2,800,000 | 3,033,363 | |||||||||
NGPL PipeCo LLC, 3.250%, 07/15/31 (e) | 1,965,000 | 2,020,706 | |||||||||
9,360,161 | |||||||||||
Oil, Gas & Consumable Fuels (1.3%) | |||||||||||
HollyFrontier Corp., 2.625%, 10/01/23 | 1,700,000 | 1,757,281 | |||||||||
Marathon Petroleum Corp., 5.850%, 12/15/45 | 1,505,000 | 1,932,044 | |||||||||
Valero Energy Corp., 1.269%, 09/15/23 (3-Month USD LIBOR + 1.150%) (b) | 2,500,000 | 2,503,122 | |||||||||
6,192,447 | |||||||||||
Pipelines (4.2%) | |||||||||||
Boardwalk Pipelines L.P. | |||||||||||
4.450%, 07/15/27 | 1,513,000 | 1,705,799 | |||||||||
4.800%, 05/03/29 | 1,095,000 | 1,266,171 | |||||||||
4.950%, 12/15/24 | 1,000,000 | 1,116,172 | |||||||||
El Paso Natural Gas Co. LLC, 8.375%, 06/15/32 | 675,000 | 988,948 | |||||||||
Enterprise Products Operating LLC, 2.912%, 06/01/67 (3-Month USD LIBOR + 2.778%) (b) | 2,180,000 | 2,002,238 | |||||||||
EQM Midstream Partners L.P., 6.500%, 07/15/48 | 975,000 | 1,040,813 |
See accompanying notes to financial statements.
23
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Gray Oak Pipeline LLC, 3.450%, 10/15/27 (e) | $ | 1,525,000 | $ | 1,604,546 | |||||||
Midwest Connector Capital Co. LLC, 3.625%, 04/01/22 (e) | 2,300,000 | 2,338,182 | |||||||||
MPLX L.P., 1.223%, 09/09/22 (3-Month USD LIBOR + 1.100%) (b) | 2,230,000 | 2,232,787 | |||||||||
Sabine Pass Liquefaction LLC, 4.500%, 05/15/30 | 825,000 | 949,781 | |||||||||
Sunoco Logistics Partners Operations L.P., 6.850%, 02/15/40 | 2,150,000 | 2,752,000 | |||||||||
Tennessee Gas Pipeline Co. LLC, 8.375%, 06/15/32 | 1,850,000 | 2,704,110 | |||||||||
The Williams Cos., Inc., 3.350%, 08/15/22 | 628,000 | 643,492 | |||||||||
21,345,039 | |||||||||||
Financial (13.8%) | |||||||||||
Banks (8.1%) | |||||||||||
Athene Global Funding, 3.000%, 07/01/22 (e) | 1,275,000 | 1,306,918 | |||||||||
Bank of America Corp., 3.974%, 02/07/30 (3-Month USD LIBOR + 1.210%) (b) | 4,040,000 | 4,583,396 | |||||||||
BBVA USA, 3.875%, 04/10/25 | 2,500,000 | 2,752,048 | |||||||||
Citigroup, Inc., 3.875%, 02/18/26 (5-Year CMT + 3.417%) (b) | 1,110,000 | 1,140,525 | |||||||||
Citizens Bank NA/ Providence, 1.096%, 03/29/23 (3-Month USD LIBOR + 0.950%) (b) | 3,150,000 | 3,186,445 | |||||||||
Discover Bank, 3.450%, 07/27/26 | 1,900,000 | 2,084,361 | |||||||||
HSBC Holdings PLC, 3.262%, 03/13/23 (3-Month USD LIBOR + 1.055%) (b) (f) | 1,875,000 | 1,912,474 | |||||||||
JPMorgan Chase & Co. | |||||||||||
3.465%, 10/01/21 (3-Month USD LIBOR + 3.320%) (b) | 1,700,000 | 1,695,750 | |||||||||
3.540%, 05/01/28 (3-Month USD LIBOR + 1.380%) (b) | 1,500,000 | 1,651,596 | |||||||||
4.600%, 02/01/25 (SOFRRATE 3.125%) (b) | 1,175,000 | 1,217,594 | |||||||||
Morgan Stanley | |||||||||||
0.529%, 01/25/24 (SOFRRATE + 0.455%) (b) | 3,700,000 | 3,695,379 | |||||||||
3.125%, 07/27/26 | 800,000 | 866,922 | |||||||||
5.500%, 07/28/21 | 740,000 | 742,777 | |||||||||
Regions Financial Corp., 3.800%, 08/14/23 | 1,675,000 | 1,785,892 | |||||||||
Synovus Financial Corp., 3.125%, 11/01/22 | 2,580,000 | 2,654,162 |
Principal | Value(a) | ||||||||||
The Goldman Sachs Group, Inc., 0.966%, 10/31/22 (3-Month USD LIBOR + 0.780%) (b) | $ | 1,050,000 | $ | 1,052,375 | |||||||
Truist Financial Corp., 5.050%, 12/15/24 (3-Month USD LIBOR + 3.102%) (b) | 1,770,000 | 1,831,950 | |||||||||
US Bancorp | |||||||||||
3.000%, 07/30/29 | 765,000 | 827,068 | |||||||||
5.300%, 04/15/27 (3-Month USD LIBOR + 2.914%) (b) | 800,000 | 908,000 | |||||||||
Wells Fargo & Co. | |||||||||||
2.393%, 06/02/28 (b) | 4,125,000 | 4,268,905 | |||||||||
3.000%, 10/23/26 | 1,100,000 | 1,186,101 | |||||||||
41,350,638 | |||||||||||
Diversified Financial Service (1.3%) | |||||||||||
Block Financial LLC, | |||||||||||
2.500%, 07/15/28 | 2,015,000 | 2,011,931 | |||||||||
Macquarie Group, Ltd., | |||||||||||
2.691%, 06/23/32 (SOFRRATE + 1.440%) (b) (e) (f) | 4,575,000 | 4,593,598 | |||||||||
6,605,529 | |||||||||||
Diversified Financial Services (1.8%) | |||||||||||
DY7 Leasing LLC, 2.578%, 12/10/25 | 47,139 | 49,257 | |||||||||
Helios Leasing I LLC, 1.825%, 05/16/25 | 53,746 | 55,113 | |||||||||
Main Street Capital Corp., 3.000%, 07/14/26 | 2,550,000 | 2,619,541 | |||||||||
Pine Street Trust I, 4.572%, 02/15/29 (e) | 1,450,000 | 1,661,817 | |||||||||
Sixth Street Specialty Lending, Inc., 3.875%, 11/01/24 | 1,305,000 | 1,385,429 | |||||||||
The Charles Schwab Corp., 4.625%, 03/01/22 (3-Month USD LIBOR + 3.315%) (b) | 2,200,000 | 2,233,000 | |||||||||
USAA Capital Corp., 1.500%, 05/01/23 (e) | 1,250,000 | 1,275,080 | |||||||||
9,279,237 | |||||||||||
Finance (0.4%) | |||||||||||
State Street Corp., 2.200%, 03/03/31 | 2,001,000 | 2,020,480 | |||||||||
Insurance (1.8%) | |||||||||||
Equitable Financial Life Global Funding, 1.400%, 07/07/25 (e) | 2,450,000 | 2,471,550 | |||||||||
Security Benefit Global Funding, 1.250%, 05/17/24 (e) | 2,250,000 | 2,252,828 | |||||||||
Teachers Insurance & Annuity Association of America, 4.270%, 05/15/47 (e) | 2,500,000 | 2,987,230 | |||||||||
Unum Group, 5.750%, 08/15/42 | 1,300,000 | 1,620,684 | |||||||||
9,332,292 |
See accompanying notes to financial statements.
24
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
Real Estate Investment Trust — Office Property (0.4%) | |||||||||||
SL Green Operating Partnership L.P., 1.136%, 08/16/21 (3-Month USD LIBOR + 0.980%) (b) | $ | 2,000,000 | $ | 2,000,348 | |||||||
Health Care (1.3%) | |||||||||||
Health Care Providers & Services (1.3%) | |||||||||||
NYU Langone Hospitals, 4.428%, 07/01/42 | 1,480,000 | 1,770,577 | |||||||||
Sinai Health System, 3.034%, 01/20/36 | 1,255,000 | 1,285,897 | |||||||||
The New York and Presbyterian Hospital | |||||||||||
2.256%, 08/01/40 | 3,175,000 | 3,001,880 | |||||||||
2.606%, 08/01/60 | 650,000 | 610,599 | |||||||||
6,668,953 | |||||||||||
Industrials (1.5%) | |||||||||||
Transportation (1.5%) | |||||||||||
CSX Corp. | |||||||||||
4.250%, 11/01/66 | 1,085,000 | 1,337,554 | |||||||||
4.750%, 11/15/48 | 625,000 | 808,849 | |||||||||
Kansas City Southern, | |||||||||||
3.125%, 06/01/26 | 1,500,000 | 1,621,877 | |||||||||
Triton Container International, Ltd. | |||||||||||
2.050%, 04/15/26 (e) (f) | 2,340,000 | 2,353,268 | |||||||||
3.150%, 06/15/31 (e) (f) | 1,285,000 | 1,293,193 | |||||||||
7,414,741 | |||||||||||
Technology (0.7%) | |||||||||||
Computers (0.7%) | |||||||||||
Dell International LLC / EMC Corp., 5.300%, 10/01/29 | 1,475,000 | 1,757,902 | |||||||||
Leidos, Inc., 2.950%, 05/15/23 | 1,950,000 | 2,025,563 | |||||||||
3,783,465 | |||||||||||
Transportation (3.7%) | |||||||||||
Airlines (3.7%) | |||||||||||
Air Canada 2017-1 Class A Pass Through Trust, 3.550%, 07/15/31 (e) (f) | 1,896,600 | 1,840,889 | |||||||||
American Airlines 2016-1 Class B Pass Through Trust, 5.250%, 07/15/25 | 779,646 | 767,951 | |||||||||
American Airlines 2017-1 Class B Pass Through Trust, 4.950%, 08/15/26 | 651,250 | 641,481 | |||||||||
British Airways 2019-1 Class A Pass Through Trust, 3.350%, 12/15/30 (e) | 1,307,645 | 1,294,569 | |||||||||
British Airways 2020-1 Class A Pass Through Trust, 4.250%, 05/15/34 (e) | 548,231 | 592,421 |
Principal | Value(a) | ||||||||||
Delta Air Lines 2015-1 Class B Pass Through Trust, 4.250%, 01/30/25 | $ | 1,163,905 | $ | 1,190,096 | |||||||
Delta Air Lines 2020-1 Class A Pass Through Trust, 2.500%, 12/10/29 | 1,728,318 | 1,743,814 | |||||||||
Hawaiian Airlines 2013-1 Class B Pass Through Certificates, 4.950%, 07/15/23 | 1,524,381 | 1,516,759 | |||||||||
JetBlue 2020-1 Class A Pass Through Trust, 4.000%, 05/15/34 | 831,862 | 914,338 | |||||||||
United Airlines 2014-1 Class B Pass Through Trust, 4.750%, 10/11/23 | 319,191 | 323,979 | |||||||||
United Airlines 2014-2 Class B Pass Through Trust, 4.625%, 03/03/24 | 1,347,205 | 1,370,781 | |||||||||
United Airlines 2016-1 Class B Pass Through Trust, 3.650%, 07/07/27 | 869,375 | 860,804 | |||||||||
United Airlines 2019-2 Class B Pass Through Trust, 3.500%, 11/01/29 | 1,357,116 | 1,343,336 | |||||||||
United Airlines 2020-1 Class A Pass Through Trust, 5.875%, 04/15/29 | 1,903,300 | 2,118,771 | |||||||||
United Airlines 2020-1 Class B Pass Through Trust, 4.875%, 07/15/27 | 1,261,650 | 1,337,349 | |||||||||
US Airways 2013-1 Class B Pass Through Trust, 5.375%, 05/15/23 | 958,940 | 959,852 | |||||||||
18,817,190 | |||||||||||
Utilities (10.2%) | |||||||||||
Electric Companies (0.4%) | |||||||||||
Indianapolis Power & Light Co., 4.700%, 09/01/45 (e) | 1,900,000 | 2,346,316 | |||||||||
Electric Utilities (5.8%) | |||||||||||
Cleco Corporate Holdings LLC, 3.743%, 05/01/26 | 1,125,000 | 1,229,221 | |||||||||
Entergy Mississippi LLC, 3.250%, 12/01/27 | 1,100,000 | 1,190,299 | |||||||||
Entergy Texas, Inc., 3.450%, 12/01/27 | 1,885,000 | 2,037,523 | |||||||||
Eversource Energy, 3.800%, 12/01/23 | 2,400,000 | 2,574,139 | |||||||||
Exelon Generation Co. LLC, 3.250%, 06/01/25 | 1,430,000 | 1,539,185 | |||||||||
FirstEnergy Transmission LLC, 5.450%, 07/15/44 (e) | 2,000,000 | 2,482,500 | |||||||||
IPALCO Enterprises, Inc., 3.700%, 09/01/24 | 1,175,000 | 1,263,125 | |||||||||
MidAmerican Energy Co., 4.250%, 07/15/49 | 1,750,000 | 2,168,950 | |||||||||
Pacific Gas and Electric Co. | |||||||||||
1.750%, 06/16/22 | 2,000,000 | 1,999,560 | |||||||||
4.500%, 07/01/40 | 2,425,000 | 2,429,438 |
See accompanying notes to financial statements.
25
SFT Core Bond Fund
Investments in Securities – continued
Principal | Value(a) | ||||||||||
PacifiCorp, 3.300%, 03/15/51 | $ | 1,410,000 | $ | 1,495,621 | |||||||
PPL Capital Funding, Inc., 2.812%, 03/30/67 (3-Month USD LIBOR + 2.665%) (b) | 2,175,000 | 2,131,500 | |||||||||
The AES Corp. | |||||||||||
1.375%, 01/15/26 (e) | 620,000 | 612,841 | |||||||||
3.300%, 07/15/25 (e) | 1,825,000 | 1,952,808 | |||||||||
Vistra Operations Co. LLC, 3.700%, 01/30/27 (e) | 1,275,000 | 1,362,656 | |||||||||
Xcel Energy, Inc., 3.500%, 12/01/49 | 3,040,000 | 3,276,716 | |||||||||
29,746,082 | |||||||||||
Electric — Integrated (2.0%) | |||||||||||
Ameren Corp., 3.500%, 01/15/31 | 2,150,000 | 2,351,588 | |||||||||
Exelon Corp. | |||||||||||
4.050%, 04/15/30 | 1,000,000 | 1,138,956 | |||||||||
4.700%, 04/15/50 | 1,410,000 | 1,782,079 | |||||||||
Florida Power & Light Co. | |||||||||||
0.564%, 07/28/23 (3-Month USD LIBOR + 0.380%) (b) | 3,200,000 | 3,200,000 | |||||||||
2.850%, 04/01/25 | 1,450,000 | 1,545,921 | |||||||||
10,018,544 | |||||||||||
Gas Utilities (2.0%) | |||||||||||
Piedmont Natural Gas Co., Inc., 3.350%, 06/01/50 | 1,800,000 | 1,855,213 | |||||||||
Southern Co. Gas Capital Corp. | |||||||||||
3.875%, 11/15/25 | 2,605,000 | 2,861,624 | |||||||||
4.400%, 05/30/47 | 775,000 | 909,723 | |||||||||
6.000%, 10/01/34 | 1,090,000 | 1,425,062 | |||||||||
The East Ohio Gas Co. | |||||||||||
1.300%, 06/15/25 (e) | 1,380,000 | 1,386,642 | |||||||||
3.000%, 06/15/50 (e) | 1,685,000 | 1,660,315 | |||||||||
10,098,579 | |||||||||||
Total corporate obligations (cost: $220,550,802) | 231,445,681 | ||||||||||
Total long-term debt securities (cost: $488,647,246) | 506,670,643 |
Shares | Value(a) | ||||||||||
Short-Term Securities (0.9%) | |||||||||||
Investment Companies (0.9%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% (g) | 4,492,712 | $ | 4,492,712 | ||||||||
Total short-term securities (cost: $4,492,712) | 4,492,712 | ||||||||||
Total investments in securities (cost: $493,139,958) (i) | 511,163,355 | ||||||||||
Liabilities in excess of cash and other assets (-0.3%) | (1,601,967 | ) | |||||||||
Total net assets (100.0%) | $ | 509,561,388 |
See accompanying notes to financial statements.
26
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 the financial statements.
(b) Variable rate security.
(c) 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.
(d) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2021, securities with an aggregate market value of $1,466,625 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 2021 | 150 | Long | $ | 18,559,347 | $ | 18,514,453 | $ | (44,894 | ) | |||||||||||||||||
10 Year U.S. Ultra | September 2021 | 123 | Short | (17,787,597 | ) | (18,105,985 | ) | (318,388 | ) | ||||||||||||||||||
U.S. Long Bond | September 2021 | 252 | Long | 39,344,320 | 40,509,001 | 1,164,681 | |||||||||||||||||||||
U.S. Ultra Bond | September 2021 | 58 | Short | (10,694,051 | ) | (11,175,875 | ) | (481,824 | ) | ||||||||||||||||||
$ | 29,741,594 | $ | 319,575 |
(e) Security sold within terms of a private placement exempt from registration pursuant to Rule 144A under 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) Foreign security: The Fund held 3.9% of net assets in foreign securities at June 30, 2021.
(g) All or a portion of the security segregated to cover when-issued purchase commitments outstanding or extended settlement trades as of June 30, 2021.
(h) Security is issued on a when-issued or forward commitment basis. As of June 30, 2021, the total cost of investments issued on a when-issued or forward commitment basis was $5,610,407.
(i) At June 30, 2021, the cost of investments for federal income tax purposes was $493,607,588. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 21,549,756 | |||||
Gross unrealized depreciation | (3,674,414 | ) | |||||
Net unrealized appreciation | $ | 17,875,342 |
See accompanying notes to financial statements.
27
SFT Equity Stabilization Fund (formerly SFT Managed Volatility Equity Fund)
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Mutual Funds (88.6%) | |||||||||||
Investment Companies (88.6%) | |||||||||||
BlackRock Short Maturity Bond ETF | 275,245 | $ | 13,807,665 | ||||||||
iShares Core High Dividend ETF | 642,477 | 62,018,305 | |||||||||
iShares Edge MSCI Minimum Volatility EAFE ETF | 1,144,303 | 86,440,649 | |||||||||
iShares Edge MSCI Minimum Volatility Emerging Markets ETF | 358,085 | 22,974,734 | |||||||||
iShares Edge MSCI Minimum Volatility USA ETF (b) | 1,560,982 | 114,903,885 | |||||||||
iShares MSCI Germany ETF | 531,232 | 18,380,627 | |||||||||
Total mutual funds (cost: $251,439,195) | 318,525,865 |
Shares | Value(a) | ||||||||||
Short-Term Securities (10.1%) | |||||||||||
Investment Companies (10.1%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 36,295,599 | $ | 36,295,599 | ||||||||
Total investments excluding purchased options (cost: $287,734,794) | 354,821,464 | ||||||||||
Total purchased options outstanding (0.2%) (cost: $766,156) | 841,520 | ||||||||||
Total investments in securities (cost: $288,500,950) (c) | 355,662,984 | ||||||||||
Cash and other assets in excess of liabilities (1.1%) | 3,951,279 | ||||||||||
Total net assets (100.0%) | $ | 359,614,263 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(b) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2021, securities with an aggregate market value of $12,955,360 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 500 E-Mini Index Future | September 2021 | 246 | Long | $ | 52,112,055 | $ | 52,749,780 | $ | 637,725 |
(c) At June 30, 2021, the cost of investments for federal income tax purposes was $291,205,129. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 64,971,956 | |||||
Gross unrealized depreciation | (17,495 | ) | |||||
Net unrealized appreciation | $ | 64,954,461 |
See accompanying notes to financial statements.
28
SFT Equity Stabilization Fund (formerly SFT Managed Volatility Equity Fund)
Investments in Securities – continued
Put Options Purchased:
The Fund had the following put options purchased open at June 30, 2021:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
CBOE Volatility Index | $ | 17 | August 2021 | 3,600 | $ | 360,000 | $ | 414,000 | |||||||||||||||
S&P 500 Index | 4,070 | August 2021 | 128 | 12,800 | 427,520 | ||||||||||||||||||
$ | 841,520 |
Put Options Written:
The Fund had the following put options written open at June 30, 2021:
Description | Exercise Price | Expiration Date | Number of Contracts | Notional Amount | Value(a) | ||||||||||||||||||
CBOE Volatility Index | $ | 11 | August 2021 | 3,443 | $ | 344,300 | $ | (17,215 | ) | ||||||||||||||
S&P 500 Index | 3,660 | August 2021 | 128 | 12,800 | (123,904 | ) | |||||||||||||||||
$ | (141,119 | ) |
See accompanying notes to financial statements.
29
SFT Government Money Market Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal | Value(a) | ||||||||||
Short-Term Securities (100.1%) | |||||||||||
U.S. Government Obligations (87.6%) | |||||||||||
Discount Notes (87.6%) | |||||||||||
Federal Farm Credit 0.030%, 09/10/21 (b) | $ | 2,500,000 | $ | 2,499,852 | |||||||
0.030%, 10/25/21 (b) | 10,000,000 | 9,999,033 | |||||||||
Federal Home Loan Bank 0.021%, 09/08/21 (b) | 10,000,000 | 9,999,594 | |||||||||
0.028%, 07/14/21 (b) | 5,800,000 | 5,799,937 | |||||||||
0.022%, 09/10/21 (b) | 15,000,000 | 14,999,349 | |||||||||
0.017%, 07/16/21 (b) | 20,000,000 | 19,999,850 | |||||||||
0.019%, 07/12/21 (b) | 10,000,000 | 9,999,939 | |||||||||
0.019%, 07/27/21 (b) | 10,000,000 | 9,999,856 | |||||||||
0.025%, 10/06/21 (b) | 5,000,000 | 4,999,663 | |||||||||
0.025%, 11/26/21 (b) | 10,000,000 | 9,998,972 | |||||||||
0.034%, 08/06/21 (b) | 2,950,000 | 2,949,897 | |||||||||
0.035%, 09/29/21 (b) | 3,000,000 | 2,999,737 | |||||||||
0.036%, 11/03/21 (b) | 5,000,000 | 4,999,375 | |||||||||
0.039%, 08/04/21 (b) | 3,000,000 | 2,999,887 | |||||||||
0.048%, 08/25/21 (b) | 15,000,000 | 14,998,900 | |||||||||
U.S. Treasury Bill 0.001%, 07/29/21 | 15,000,000 | 14,999,994 | |||||||||
0.010%, 08/03/21 | 15,000,000 | 14,999,856 | |||||||||
0.014%, 08/12/21 | 10,000,000 | 9,999,837 | |||||||||
Total U.S. government obligations | 167,243,528 |
Shares | Value(a) | ||||||||||
Investment Companies (12.5%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 23,948,789 | $ | 23,948,789 | ||||||||
Total short-term securities (cost: $191,192,317) | 191,192,317 | ||||||||||
Total investments in securities (cost: $191,192,317) (c) | 191,192,317 | ||||||||||
Liabilities in excess of cash and other assets (-0.1%) | (144,926 | ) | |||||||||
Total net assets (100.0%) | $ | 191,047,391 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the 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, 2021.
See accompanying notes to financial statements.
30
SFT Index 400 Mid-Cap Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (95.4%) | |||||||||||
Communication Services (0.3%) | |||||||||||
Diversified Telecommunication Services (0.2%) | |||||||||||
Iridium Communications, Inc. (b) | 10,795 | $ | 431,692 | ||||||||
Wireless Telecommunication Services (0.1%) | |||||||||||
Telephone & Data Systems, Inc. | 9,153 | 207,407 | |||||||||
Consumer Discretionary (15.4%) | |||||||||||
Auto Components (1.6%) | |||||||||||
Adient PLC (b) (c) | 8,658 | 391,341 | |||||||||
Dana, Inc. | 13,339 | 316,935 | |||||||||
Fox Factory Holding Corp. (b) | 3,824 | 595,244 | |||||||||
Gentex Corp. | 22,198 | 734,532 | |||||||||
Lear Corp. | 5,030 | 881,658 | |||||||||
The Goodyear Tire & Rubber Co. (b) | 25,645 | 439,812 | |||||||||
Visteon Corp. (b) | 2,500 | 302,350 | |||||||||
3,661,872 | |||||||||||
Automobiles (0.5%) | |||||||||||
Harley-Davidson, Inc. | 14,122 | 647,070 | |||||||||
Thor Industries, Inc. | 5,088 | 574,944 | |||||||||
1,222,014 | |||||||||||
Diversified Consumer Services (1.0%) | |||||||||||
Adtalem Global Education, Inc. (b) | 4,542 | 161,877 | |||||||||
Graham Holdings Co. – Class B | 358 | 226,936 | |||||||||
Grand Canyon Education, Inc. (b) | 4,259 | 383,182 | |||||||||
H&R Block, Inc. | 16,674 | 391,506 | |||||||||
Service Corp. International/US | 15,453 | 828,126 | |||||||||
Strategic Education, Inc. | 2,170 | 165,050 | |||||||||
WW International, Inc. (b) | 4,353 | 157,318 | |||||||||
2,313,995 | |||||||||||
Entertainment (0.1%) | |||||||||||
Cinemark Holdings, Inc. (b) | 9,992 | 219,324 | |||||||||
Hotels, Restaurants & Leisure (2.7%) | |||||||||||
Boyd Gaming Corp. (b) | 7,412 | 455,764 | |||||||||
Choice Hotels International, Inc. | 2,595 | 308,442 | |||||||||
Churchill Downs, Inc. | 3,147 | 623,924 | |||||||||
Cracker Barrel Old Country Store, Inc. | 2,180 | 323,643 | |||||||||
Jack in the Box, Inc. | 2,043 | 227,672 | |||||||||
Marriott Vacations Worldwide Corp. (b) | 3,887 | 619,199 | |||||||||
Papa John's International, Inc. | 2,986 | 311,858 | |||||||||
Scientific Games Corp. – Class A (b) | 5,204 | 402,998 | |||||||||
Six Flags Entertainment Corp. (b) | 6,969 | 301,618 | |||||||||
Texas Roadhouse, Inc. | 6,025 | 579,605 |
Shares | Value(a) | ||||||||||
The Wendy's Co. | 16,275 | $ | 381,160 | ||||||||
Travel + Leisure Co. | 7,920 | 470,844 | |||||||||
Wingstop, Inc. | 2,774 | 437,266 | |||||||||
Wyndham Hotels & Resorts, Inc. | 8,583 | 620,465 | |||||||||
6,064,458 | |||||||||||
Household Durables (1.4%) | |||||||||||
Helen of Troy, Ltd. (b) (c) | 2,247 | 512,586 | |||||||||
KB Home | 8,167 | 332,560 | |||||||||
Taylor Morrison Home Corp. (b) | 11,851 | 313,103 | |||||||||
Tempur Sealy International, Inc. | 16,833 | 659,685 | |||||||||
Toll Brothers, Inc. | 10,318 | 596,484 | |||||||||
TopBuild Corp. (b) | 3,013 | 595,911 | |||||||||
TRI Pointe Group, Inc. (b) | 10,883 | 233,223 | |||||||||
3,243,552 | |||||||||||
Internet & Catalog Retail (0.2%) | |||||||||||
TripAdvisor, Inc. (b) | 8,915 | 359,275 | |||||||||
Leisure Equipment & Products (1.4%) | |||||||||||
Brunswick Corp. | 7,159 | 713,180 | |||||||||
Callaway Golf Co. | 10,692 | 360,641 | |||||||||
Mattel, Inc. (b) | 32,054 | 644,285 | |||||||||
Polaris, Inc. | 5,291 | 724,655 | |||||||||
YETI Holdings, Inc. (b) | 6,895 | 633,099 | |||||||||
3,075,860 | |||||||||||
Media (1.1%) | |||||||||||
Cable One, Inc. | 518 | 990,836 | |||||||||
John Wiley & Sons, Inc. – Class A | 3,936 | 236,868 | |||||||||
TEGNA, Inc. | 20,290 | 380,640 | |||||||||
The New York Times Co. – Class A | 13,348 | 581,305 | |||||||||
World Wrestling Entertainment, Inc. – Class A | 4,159 | 240,765 | |||||||||
2,430,414 | |||||||||||
Multiline Retail (0.7%) | |||||||||||
Kohl's Corp. | 14,358 | 791,269 | |||||||||
Nordstrom, Inc. (b) | 10,004 | 365,846 | |||||||||
Ollie's Bargain Outlet Holdings, Inc. (b) | 5,220 | 439,159 | |||||||||
1,596,274 | |||||||||||
Specialty Retail (3.0%) | |||||||||||
American Eagle Outfitters, Inc. | 13,872 | 520,616 | |||||||||
AutoNation, Inc. (b) | 4,955 | 469,784 | |||||||||
Dick's Sporting Goods, Inc. | 6,023 | 603,444 | |||||||||
Five Below, Inc. (b) | 5,146 | 994,568 | |||||||||
Foot Locker, Inc. | 9,491 | 584,930 | |||||||||
Lithia Motors, Inc. Class A | 2,790 | 958,756 | |||||||||
Murphy USA, Inc. | 2,291 | 305,551 | |||||||||
RH (b) | 1,599 | 1,085,721 | |||||||||
Urban Outfitters, Inc. (b) | 6,288 | 259,191 | |||||||||
Williams-Sonoma, Inc. | 7,002 | 1,117,869 | |||||||||
6,900,430 |
See accompanying notes to financial statements.
31
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Textiles, Apparel & Luxury Goods (1.7%) | |||||||||||
Capri Holdings, Ltd. (b) (c) | 13,907 | $ | 795,341 | ||||||||
Carter's, Inc. | 4,037 | 416,497 | |||||||||
Columbia Sportswear Co. | 2,779 | 273,343 | |||||||||
Crocs, Inc. (b) | 5,995 | 698,537 | |||||||||
Deckers Outdoor Corp. (b) | 2,556 | 981,683 | |||||||||
Skechers U.S.A., Inc. – Class A (b) | 12,331 | 614,454 | |||||||||
3,779,855 | |||||||||||
Consumer Staples (2.5%) | |||||||||||
Beverages (0.4%) | |||||||||||
The Boston Beer Co., Inc. – Class A (b) | 885 | 903,408 | |||||||||
Food & Staples Retailing (0.5%) | |||||||||||
Casey's General Stores, Inc. | 3,384 | 658,662 | |||||||||
Grocery Outlet Holding Corp. (b) | 7,995 | 277,107 | |||||||||
Sprouts Farmers Market, Inc. (b) | 10,856 | 269,771 | |||||||||
1,205,540 | |||||||||||
Food Products (1.3%) | |||||||||||
Flowers Foods, Inc. | 18,096 | 437,923 | |||||||||
Ingredion, Inc. | 6,155 | 557,028 | |||||||||
Lancaster Colony Corp. | 1,797 | 347,737 | |||||||||
Post Holdings, Inc. (b) | 5,438 | 589,860 | |||||||||
Sanderson Farms, Inc. | 1,818 | 341,729 | |||||||||
The Hain Celestial Group, Inc. (b) | 7,515 | 301,502 | |||||||||
Tootsie Roll Industries, Inc. | 1,546 | 52,425 | |||||||||
TreeHouse Foods, Inc. (b) | 5,156 | 229,545 | |||||||||
2,857,749 | |||||||||||
Household Products (0.1%) | |||||||||||
Energizer Holdings, Inc. | 5,320 | 228,654 | |||||||||
Personal Products (0.2%) | |||||||||||
Coty, Inc. – Class A (b) | 26,051 | 243,316 | |||||||||
Nu Skin Enterprises, Inc. – Class A | 4,599 | 260,534 | |||||||||
503,850 | |||||||||||
Energy (2.0%) | |||||||||||
Energy Equipment & Services (0.2%) | |||||||||||
ChampionX Corp. (b) | 17,208 | 441,385 | |||||||||
Oil, Gas & Consumable Fuels (1.8%) | |||||||||||
Antero Midstream Corp. | 26,323 | 273,496 | |||||||||
Cimarex Energy Co. | 9,450 | 684,653 | |||||||||
CNX Resources Corp. (b) | 20,243 | 276,519 | |||||||||
EQT Corp. (b) | 25,651 | 570,991 | |||||||||
Equitrans Midstream Corp. | 37,363 | 317,959 | |||||||||
HollyFrontier Corp. | 13,735 | 451,882 | |||||||||
Murphy Oil Corp. | 13,338 | 310,509 | |||||||||
Targa Resources Corp. | 21,014 | 934,072 | |||||||||
World Fuel Services Corp. | 5,811 | 184,383 | |||||||||
4,004,464 |
Shares | Value(a) | ||||||||||
Financial (14.5%) | |||||||||||
Capital Markets (2.2%) | |||||||||||
Affiliated Managers Group, Inc. | 3,827 | $ | 590,162 | ||||||||
Evercore, Inc. – Class A | 3,763 | 529,718 | |||||||||
Factset Research Systems, Inc. | 3,479 | 1,167,587 | |||||||||
Federated Hermes, Inc. – Class B | 8,598 | 291,558 | |||||||||
Interactive Brokers Group, Inc. – Class A | 7,428 | 488,242 | |||||||||
Janus Henderson Group PLC (c) | 15,681 | 608,580 | |||||||||
SEI Investments Co. | 10,893 | 675,039 | |||||||||
Stifel Financial Corp. | 9,658 | 626,418 | |||||||||
4,977,304 | |||||||||||
Commercial Banks (6.5%) | |||||||||||
Associated Banc-Corp. | 14,043 | 287,601 | |||||||||
BancorpSouth Bank | 8,867 | 251,202 | |||||||||
Bank of Hawaii Corp. | 3,689 | 310,688 | |||||||||
Bank OZK | 11,109 | 468,355 | |||||||||
Cathay General Bancorp | 6,882 | 270,876 | |||||||||
CIT Group, Inc. | 9,104 | 469,675 | |||||||||
Commerce Bancshares, Inc. | 9,680 | 721,741 | |||||||||
Cullen/Frost Bankers, Inc. | 5,197 | 582,064 | |||||||||
East West Bancorp, Inc. | 13,037 | 934,623 | |||||||||
First Financial Bankshares, Inc. | 13,076 | 642,424 | |||||||||
First Horizon Corp. | 50,766 | 877,236 | |||||||||
FNB Corp. | 29,353 | 361,922 | |||||||||
Fulton Financial Corp. | 14,944 | 235,816 | |||||||||
Glacier Bancorp, Inc. | 8,777 | 483,437 | |||||||||
Hancock Whitney Corp. | 7,977 | 354,498 | |||||||||
Home BancShares, Inc. | 13,937 | 343,965 | |||||||||
International Bancshares Corp. | 5,078 | 218,049 | |||||||||
PacWest Bancorp | 10,745 | 442,264 | |||||||||
Pinnacle Financial Partners, Inc. | 6,993 | 617,412 | |||||||||
Prosperity Bancshares, Inc. | 8,541 | 613,244 | |||||||||
Signature Bank | 5,286 | 1,298,506 | |||||||||
Sterling Bancorp | 17,700 | 438,783 | |||||||||
Synovus Financial Corp. | 13,657 | 599,269 | |||||||||
Texas Capital Bancshares, Inc. (b) | 4,648 | 295,102 | |||||||||
Trustmark Corp. | 5,812 | 179,010 | |||||||||
UMB Financial Corp. | 3,979 | 370,286 | |||||||||
Umpqua Holdings Corp. | 20,276 | 374,092 | |||||||||
United Bankshares, Inc. | 12,330 | 450,045 | |||||||||
Valley National Bancorp | 37,302 | 500,966 | |||||||||
Webster Financial Corp. | 8,310 | 443,255 | |||||||||
Wintrust Financial Corp. | 5,242 | 396,452 | |||||||||
14,832,858 | |||||||||||
Consumer Finance (0.7%) | |||||||||||
FirstCash, Inc. | 3,724 | 284,662 | |||||||||
Navient Corp. | 16,498 | 318,906 | |||||||||
PROG Holdings, Inc. | 6,189 | 297,877 | |||||||||
SLM Corp. | 29,673 | 621,353 | |||||||||
1,522,798 |
See accompanying notes to financial statements.
32
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Diversified Financial Services (0.3%) | |||||||||||
Jefferies Financial Group, Inc. | 18,385 | $ | 628,767 | ||||||||
Diversified REITs (0.1%) | |||||||||||
PS Business Parks, Inc. | 1,877 | 277,946 | |||||||||
Insurance (3.9%) | |||||||||||
Alleghany Corp. (b) | 1,280 | 853,850 | |||||||||
American Financial Group, Inc. | 6,335 | 790,101 | |||||||||
Brighthouse Financial, Inc. (b) | 7,884 | 359,037 | |||||||||
Brown & Brown, Inc. | 21,499 | 1,142,457 | |||||||||
CNO Financial Group, Inc. | 12,091 | 285,590 | |||||||||
First American Financial Corp. | 10,085 | 628,800 | |||||||||
Kemper Corp. | 5,578 | 412,214 | |||||||||
Kinsale Capital Group, Inc. | 1,920 | 316,358 | |||||||||
Mercury General Corp. | 2,380 | 154,581 | |||||||||
Old Republic International Corp. | 26,047 | 648,831 | |||||||||
Primerica, Inc. | 3,624 | 554,979 | |||||||||
Reinsurance Group of America, Inc. | 6,248 | 712,272 | |||||||||
RenaissanceRe Holdings, Ltd. (c) | 4,562 | 678,917 | |||||||||
RLI Corp. | 3,641 | 380,812 | |||||||||
Selective Insurance Group, Inc. | 5,472 | 444,053 | |||||||||
The Hanover Insurance Group, Inc. | 3,299 | 447,476 | |||||||||
8,810,328 | |||||||||||
Thrifts & Mortgage Finance (0.8%) | |||||||||||
Essent Group, Ltd. (c) | 10,371 | 466,177 | |||||||||
LendingTree, Inc. (b) | 1,050 | 222,474 | |||||||||
MGIC Investment Corp. | 31,184 | 424,102 | |||||||||
New York Community Bancorp, Inc. | 42,741 | 471,006 | |||||||||
Washington Federal, Inc. | 6,654 | 211,464 | |||||||||
1,795,223 | |||||||||||
Health Care (10.6%) | |||||||||||
Biotechnology (2.2%) | |||||||||||
Arrowhead Pharmaceuticals, Inc. (b) | 9,565 | 792,173 | |||||||||
Emergent BioSolutions, Inc. (b) | 4,168 | 262,542 | |||||||||
Exelixis, Inc. (b) | 28,801 | 524,754 | |||||||||
Halozyme Therapeutics, Inc. (b) | 12,300 | 558,543 | |||||||||
Ligand Pharmaceuticals, Inc. (b) | 1,503 | 197,179 | |||||||||
Neurocrine Biosciences, Inc. (b) | 8,689 | 845,614 | |||||||||
Repligen Corp. (b) | 4,693 | 936,817 | |||||||||
United Therapeutics Corp. (b) | 4,112 | 737,734 | |||||||||
4,855,356 |
Shares | Value(a) | ||||||||||
Health Care Equipment & Supplies (3.2%) | |||||||||||
Envista Holdings Corp. (b) | 14,776 | $ | 638,471 | ||||||||
Globus Medical, Inc. – Class A (b) | 7,115 | 551,626 | |||||||||
Haemonetics Corp. (b) | 4,682 | 312,008 | |||||||||
Hill-Rom Holdings, Inc. | 6,108 | 693,808 | |||||||||
ICU Medical, Inc. (b) | 1,791 | 368,588 | |||||||||
Integra LifeSciences Holdings Corp. (b) | 6,510 | 444,242 | |||||||||
LivaNova PLC (b) (c) | 4,490 | 377,654 | |||||||||
Masimo Corp. (b) | 4,651 | 1,127,635 | |||||||||
Neogen Corp. (b) | 9,870 | 454,415 | |||||||||
NuVasive, Inc. (b) | 4,661 | 315,922 | |||||||||
Penumbra, Inc. (b) | 3,118 | 854,519 | |||||||||
Quidel Corp. (b) | 3,507 | 449,317 | |||||||||
STAAR Surgical Co. (b) | 4,350 | 663,375 | |||||||||
7,251,580 | |||||||||||
Health Care Providers & Services (2.9%) | |||||||||||
Acadia Healthcare Co., Inc. (b) | 8,235 | 516,746 | |||||||||
Amedisys, Inc. (b) | 2,994 | 733,320 | |||||||||
Chemed Corp. | 1,546 | 733,577 | |||||||||
Encompass Health Corp. | 9,148 | 713,818 | |||||||||
HealthEquity, Inc. (b) | 7,662 | 616,638 | |||||||||
LHC Group, Inc. (b) | 2,895 | 579,753 | |||||||||
Molina Healthcare, Inc. (b) | 5,367 | 1,358,173 | |||||||||
Patterson Cos., Inc. | 7,993 | 242,907 | |||||||||
Progyny, Inc. (b) | 3,360 | 198,240 | |||||||||
R1 RCM, Inc. (b) | 12,702 | 282,493 | |||||||||
Tenet Healthcare Corp. (b) | 9,814 | 657,440 | |||||||||
6,633,105 | |||||||||||
Life Sciences Tools & Services (1.7%) | |||||||||||
Bio-Techne Corp. | 3,575 | 1,609,679 | |||||||||
Medpace Holdings, Inc. (b) | 2,546 | 449,700 | |||||||||
PRA Health Sciences, Inc. (b) | 5,955 | 983,826 | |||||||||
Syneos Health, Inc. (b) | 9,306 | 832,794 | |||||||||
3,875,999 | |||||||||||
Pharmaceuticals (0.6%) | |||||||||||
Jazz Pharmaceuticals PLC (b) (c) | 5,523 | 981,106 | |||||||||
Nektar Therapeutics (b) | 16,755 | 287,516 | |||||||||
1,268,622 | |||||||||||
Industrials (16.8%) | |||||||||||
Aerospace & Defense (1.0%) | |||||||||||
Axon Enterprise, Inc. (b) | 5,924 | 1,047,363 | |||||||||
Curtiss-Wright Corp. | 3,734 | 443,450 | |||||||||
Hexcel Corp. (b) | 7,699 | 480,418 | |||||||||
Mercury Systems, Inc. (b) | 5,108 | 338,558 | |||||||||
2,309,789 | |||||||||||
Air Freight & Logistics (0.6%) | |||||||||||
XPO Logistics, Inc. (b) | 9,343 | 1,306,992 | |||||||||
Airlines (0.2%) | |||||||||||
JetBlue Airways Corp. (b) | 29,100 | 488,298 |
See accompanying notes to financial statements.
33
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Building Products (1.9%) | |||||||||||
Builders FirstSource, Inc. (b) | 19,036 | $ | 812,076 | ||||||||
Lennox International, Inc. | 3,160 | 1,108,528 | |||||||||
Owens Corning | 9,600 | 939,840 | |||||||||
Simpson Manufacturing Co., Inc. | 3,991 | 440,766 | |||||||||
Trex Co., Inc. (b) | 10,602 | 1,083,630 | |||||||||
4,384,840 | |||||||||||
Commercial Services & Supplies (1.7%) | |||||||||||
Clean Harbors, Inc. (b) | 4,613 | 429,655 | |||||||||
Healthcare Services Group, Inc. | 6,855 | 216,412 | |||||||||
Herman Miller, Inc. | 5,383 | 253,755 | |||||||||
IAA, Inc. (b) | 12,384 | 675,423 | |||||||||
KAR Auction Services, Inc. (b) | 11,466 | 201,228 | |||||||||
MSA Safety, Inc. | 3,395 | 562,144 | |||||||||
Stericycle, Inc. (b) | 8,433 | 603,381 | |||||||||
Tetra Tech, Inc. | 4,977 | 607,393 | |||||||||
The Brink's Co. | 4,572 | 351,313 | |||||||||
3,900,704 | |||||||||||
Construction & Engineering (1.5%) | |||||||||||
AECOM (b) | 13,454 | 851,907 | |||||||||
Dycom Industries, Inc. (b) | 2,767 | 206,225 | |||||||||
EMCOR Group, Inc. | 5,014 | 617,675 | |||||||||
Fluor Corp. (b) | 11,561 | 204,630 | |||||||||
KBR, Inc. | 12,990 | 495,568 | |||||||||
MasTec, Inc. (b) | 5,190 | 550,659 | |||||||||
Valmont Industries, Inc. | 1,944 | 458,881 | |||||||||
3,385,545 | |||||||||||
Electrical Equipment (2.0%) | |||||||||||
Acuity Brands, Inc. | 3,282 | 613,833 | |||||||||
Belden, Inc. | 4,023 | 203,443 | |||||||||
EnerSys | 3,907 | 381,831 | |||||||||
Hubbell, Inc. | 4,992 | 932,705 | |||||||||
nVent Electric PLC (c) | 15,410 | 481,408 | |||||||||
Regal Beloit Corp. | 3,734 | 498,526 | |||||||||
Sunrun, Inc. (b) | 14,806 | 825,879 | |||||||||
Woodward, Inc. | 5,388 | 662,078 | |||||||||
4,599,703 | |||||||||||
Industrial Conglomerates (0.4%) | |||||||||||
Carlisle Cos., Inc. | 4,797 | 918,050 | |||||||||
Machinery (4.7%) | |||||||||||
AGCO Corp. | 5,678 | 740,298 | |||||||||
Colfax Corp. (b) | 10,842 | 496,672 | |||||||||
Crane Co. | 4,562 | 421,392 | |||||||||
Donaldson Co., Inc. | 11,591 | 736,376 | |||||||||
Flowserve Corp. | 11,976 | 482,872 | |||||||||
Graco, Inc. | 15,571 | 1,178,725 | |||||||||
ITT, Inc. | 7,913 | 724,752 | |||||||||
Kennametal, Inc. | 7,683 | 275,973 | |||||||||
Lincoln Electric Holdings, Inc. | 5,472 | 720,717 | |||||||||
Nordson Corp. | 4,967 | 1,090,306 | |||||||||
Oshkosh Corp. | 6,306 | 785,980 | |||||||||
Terex Corp. | 6,369 | 303,292 | |||||||||
The Middleby Corp. (b) | 5,113 | 885,878 |
Shares | �� | Value(a) | |||||||||
The Timken Co. | 6,284 | $ | 506,428 | ||||||||
The Toro Co. | 9,839 | 1,081,109 | |||||||||
Trinity Industries, Inc. | 7,435 | 199,927 | |||||||||
10,630,697 | |||||||||||
Marine (0.2%) | |||||||||||
Kirby Corp. (b) | 5,491 | 332,974 | |||||||||
Professional Services (0.8%) | |||||||||||
ASGN, Inc. (b) | 4,889 | 473,891 | |||||||||
FTI Consulting, Inc. (b) | 3,131 | 427,726 | |||||||||
Insperity, Inc. | 3,281 | 296,504 | |||||||||
Manpowergroup, Inc. | 5,011 | 595,858 | |||||||||
1,793,979 | |||||||||||
Road & Rail (0.9%) | |||||||||||
Avis Budget Group, Inc. (b) | 4,688 | 365,148 | |||||||||
Knight-Swift Transportation Holdings, Inc. | 11,256 | 511,698 | |||||||||
Landstar System, Inc. | 3,527 | 557,337 | |||||||||
Ryder System, Inc. | 4,908 | 364,812 | |||||||||
Werner Enterprises, Inc. | 5,243 | 233,418 | |||||||||
2,032,413 | |||||||||||
Trading Companies & Distributors (0.9%) | |||||||||||
GATX Corp. | 3,199 | 283,016 | |||||||||
MSC Industrial Direct Co., Inc. – Class A | 4,319 | 387,544 | |||||||||
Univar Solutions, Inc. (b) | 15,585 | 379,962 | |||||||||
Watsco, Inc. | 3,083 | 883,711 | |||||||||
1,934,233 | |||||||||||
Information Technology (14.2%) | |||||||||||
Communications Equipment (0.8%) | |||||||||||
Ciena Corp. (b) | 14,241 | 810,171 | |||||||||
Lumentum Holdings, Inc. (b) | 6,975 | 572,159 | |||||||||
NetScout Systems, Inc. (b) | 6,736 | 192,245 | |||||||||
ViaSat, Inc. (b) | 6,255 | 311,749 | |||||||||
1,886,324 | |||||||||||
Computers & Peripherals (0.2%) | |||||||||||
NCR Corp. (b) | 12,030 | 548,688 | |||||||||
Electronic Equipment, Instruments & Components (3.0%) | |||||||||||
Arrow Electronics, Inc. (b) | 6,816 | 775,865 | |||||||||
Avnet, Inc. | 9,144 | 366,491 | |||||||||
Cognex Corp. | 16,231 | 1,364,216 | |||||||||
Coherent, Inc. (b) | 2,255 | 596,087 | |||||||||
II-VI, Inc. (b) | 9,639 | 699,695 | |||||||||
Jabil, Inc. | 12,307 | 715,283 | |||||||||
Littelfuse, Inc. | 2,250 | 573,277 | |||||||||
National Instruments Corp. | 12,095 | 511,377 | |||||||||
SYNNEX Corp. | 3,801 | 462,810 | |||||||||
Vishay Intertechnology, Inc. | 12,196 | 275,020 | |||||||||
Vontier Corp. | 15,513 | 505,413 | |||||||||
6,845,534 | |||||||||||
Interactive Media & Services (0.4%) | |||||||||||
j2 Global, Inc. (b) | 3,862 | 531,218 | |||||||||
Yelp, Inc. (b) | 6,435 | 257,143 | |||||||||
788,361 |
See accompanying notes to financial statements.
34
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
IT Services (2.3%) | |||||||||||
Alliance Data Systems Corp. | 4,570 | $ | 476,148 | ||||||||
CACI International, Inc. – Class A (b) | 2,165 | 552,335 | |||||||||
Concentrix Corp. (b) | 3,801 | 611,201 | |||||||||
Genpact, Ltd. (c) | 16,010 | 727,334 | |||||||||
LiveRamp Holdings, Inc. (b) | 6,286 | 294,499 | |||||||||
MAXIMUS, Inc. | 5,625 | 494,831 | |||||||||
Sabre Corp. (b) | 29,360 | 366,413 | |||||||||
Science Applications International Corp. | 5,327 | 467,338 | |||||||||
Teradata Corp. (b) | 10,072 | 503,298 | |||||||||
WEX, Inc. (b) | 4,082 | 791,500 | |||||||||
5,284,897 | |||||||||||
Semiconductors & Semiconductor Equipment (3.9%) | |||||||||||
Amkor Technology, Inc. | 9,874 | 233,718 | |||||||||
Brooks Automation, Inc. | 6,828 | 650,572 | |||||||||
Cirrus Logic, Inc. (b) | 5,286 | 449,944 | |||||||||
CMC Materials, Inc. | 2,688 | 405,189 | |||||||||
Cree, Inc. (b) | 10,612 | 1,039,233 | |||||||||
First Solar, Inc. (b) | 7,816 | 707,426 | |||||||||
Lattice Semiconductor Corp. (b) | 12,549 | 705,003 | |||||||||
MKS Instruments, Inc. | 5,088 | 905,410 | |||||||||
Semtech Corp. (b) | 5,961 | 410,117 | |||||||||
Silicon Laboratories, Inc. (b) | 4,153 | 636,447 | |||||||||
SolarEdge Technologies, Inc. (b) | 4,767 | 1,317,456 | |||||||||
Synaptics, Inc. (b) | 3,214 | 500,034 | |||||||||
Universal Display Corp. | 3,943 | 876,647 | |||||||||
8,837,196 | |||||||||||
Software (3.4%) | |||||||||||
ACI Worldwide, Inc. (b) | 10,857 | 403,229 | |||||||||
Aspen Technology, Inc. (b) | 6,251 | 859,763 | |||||||||
Blackbaud, Inc. (b) | 4,465 | 341,885 | |||||||||
CDK Global, Inc. | 11,191 | 556,081 | |||||||||
Ceridian HCM Holding, Inc. (b) | 12,069 | 1,157,658 | |||||||||
CommVault Systems, Inc. (b) | 4,230 | 330,659 | |||||||||
Envestnet, Inc. (b) | 5,000 | 379,300 | |||||||||
Fair Isaac Corp. (b) | 2,645 | 1,329,589 | |||||||||
Manhattan Associates, Inc. (b) | 5,847 | 846,879 | |||||||||
Paylocity Holding Corp. (b) | 3,455 | 659,214 | |||||||||
Qualys, Inc. (b) | 3,077 | 309,823 | |||||||||
Sailpoint Technologies Holdings, Inc. (b) | 8,485 | 433,329 | |||||||||
7,607,409 | |||||||||||
Technology Hardware Storage & Peripherals (0.2%) | |||||||||||
Xerox Holdings Corp. | 14,818 | 348,075 | |||||||||
Leisure and Consumer Staples (0.8%) | |||||||||||
Food & Staples Retailing (0.3%) | |||||||||||
BJ's Wholesale Club Holdings, Inc. (b) | 12,603 | 599,651 |
Shares | Value(a) | ||||||||||
Food Products (0.5%) | |||||||||||
Darling Ingredients, Inc. (b) | 14,996 | $ | 1,012,230 | ||||||||
Pilgrim's Pride Corp. (b) | 4,417 | 97,969 | |||||||||
1,110,199 | |||||||||||
Materials (6.0%) | |||||||||||
Chemicals (2.5%) | |||||||||||
Ashland Global Holdings, Inc. | 5,021 | 439,338 | |||||||||
Avient Corp. | 8,390 | 412,452 | |||||||||
Cabot Corp. | 5,165 | 294,043 | |||||||||
Ingevity Corp. (b) | 3,678 | 299,242 | |||||||||
Minerals Technologies, Inc. | 3,013 | 237,033 | |||||||||
NewMarket Corp. | 728 | 234,401 | |||||||||
Olin Corp. | 13,168 | 609,152 | |||||||||
RPM International, Inc. | 11,902 | 1,055,469 | |||||||||
Sensient Technologies Corp. | 3,885 | 336,286 | |||||||||
The Chemours Co. | 15,212 | 529,378 | |||||||||
The Scotts Miracle-Gro Co. | 3,737 | 717,205 | |||||||||
Valvoline, Inc. | 16,642 | 540,199 | |||||||||
5,704,198 | |||||||||||
Construction Materials (0.2%) | |||||||||||
Eagle Materials, Inc. | 3,855 | 547,834 | |||||||||
Containers & Packaging (0.8%) | |||||||||||
Aptargroup, Inc. | 6,035 | 849,970 | |||||||||
Greif, Inc. – Class A | 2,424 | 146,773 | |||||||||
Silgan Holdings, Inc. | 7,203 | 298,925 | |||||||||
Sonoco Products Co. | 9,246 | 618,557 | |||||||||
1,914,225 | |||||||||||
Metals & Mining (2.2%) | |||||||||||
Cleveland-Cliffs, Inc. (b) | 42,225 | 910,371 | |||||||||
Commercial Metals Co. | 11,075 | 340,224 | |||||||||
Compass Minerals International, Inc. | 3,096 | 183,469 | |||||||||
Reliance Steel & Aluminum Co. | 5,855 | 883,519 | |||||||||
Royal Gold, Inc. | 6,029 | 687,909 | |||||||||
Steel Dynamics, Inc. | 18,441 | 1,099,084 | |||||||||
United States Steel Corp. | 24,769 | 594,456 | |||||||||
Worthington Industries, Inc. | 3,151 | 192,778 | |||||||||
4,891,810 | |||||||||||
Paper & Forest Products (0.3%) | |||||||||||
Louisiana-Pacific Corp. | 9,397 | 566,545 | |||||||||
Real Estate (9.1%) | |||||||||||
Health Care REITs (1.2%) | |||||||||||
Healthcare Realty Trust, Inc. | 13,019 | 393,174 | |||||||||
Medical Properties Trust, Inc. | 54,058 | 1,086,566 | |||||||||
Omega Healthcare Investors, Inc. | 21,630 | 784,952 | |||||||||
Physicians Realty Trust | 19,772 | 365,189 | |||||||||
2,629,881 |
See accompanying notes to financial statements.
35
SFT Index 400 Mid-Cap Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Hotels & Resort REITs (0.3%) | |||||||||||
Park Hotels & Resorts, Inc. (b) | 21,734 | $ | 447,938 | ||||||||
Pebblebrook Hotel Trust | 12,074 | 284,342 | |||||||||
732,280 | |||||||||||
Industrial REITs (0.9%) | |||||||||||
EastGroup Properties, Inc. | 3,678 | 604,847 | |||||||||
First Industrial Realty Trust, Inc. | 11,867 | 619,814 | |||||||||
Rexford Industrial Realty, Inc. | 12,273 | 698,947 | |||||||||
1,923,608 | |||||||||||
Office REITs (1.6%) | |||||||||||
Corporate Office Properties Trust | 10,323 | 288,941 | |||||||||
Cousins Properties, Inc. | 13,661 | 502,451 | |||||||||
Douglas Emmett, Inc. | 15,159 | 509,645 | |||||||||
Highwoods Properties, Inc. | 9,563 | 431,961 | |||||||||
Hudson Pacific Properties, Inc. | 13,873 | 385,947 | |||||||||
JBG SMITH Properties | 10,151 | 319,858 | |||||||||
Kilroy Realty Corp. | 9,739 | 678,224 | |||||||||
SL Green Realty Corp. | 6,373 | 509,840 | |||||||||
3,626,867 | |||||||||||
Real Estate Investment Trust (0.4%) | |||||||||||
Apartment Income REIT Corp. | 14,413 | 683,609 | |||||||||
National Storage Affiliates Trust | 6,336 | 320,348 | |||||||||
1,003,957 | |||||||||||
Real Estate Management & Development (0.4%) | |||||||||||
Jones Lang LaSalle, Inc. (b) | 4,715 | 921,594 | |||||||||
Residential REITs (0.8%) | |||||||||||
American Campus Communities, Inc. | 12,670 | 591,942 | |||||||||
Camden Property Trust | 8,977 | 1,190,979 | |||||||||
1,782,921 | |||||||||||
Retail REITs (1.2%) | |||||||||||
Brixmor Property Group, Inc. | 27,291 | 624,691 | |||||||||
National Retail Properties, Inc. | 16,136 | 756,456 | |||||||||
Spirit Realty Capital, Inc. | 10,565 | 505,429 | |||||||||
The Macerich Co. | 15,373 | 280,557 | |||||||||
Urban Edge Properties | 10,109 | 193,082 | |||||||||
Weingarten Realty Investors | 11,025 | 353,572 | |||||||||
2,713,787 | |||||||||||
Specialized REITs (2.3%) | |||||||||||
CoreSite Realty Corp. | 3,947 | 531,266 | |||||||||
CyrusOne, Inc. | 11,250 | 804,600 | |||||||||
EPR Properties (b) | 6,871 | 361,964 | |||||||||
Lamar Advertising Co. – Class A | 7,967 | 831,914 | |||||||||
Life Storage, Inc. | 7,021 | 753,705 |
Shares/ Principal | Value(a) | ||||||||||
PotlatchDeltic Corp. | 6,139 | $ | 326,288 | ||||||||
Rayonier, Inc. | 12,777 | 459,078 | |||||||||
Sabra Health Care REIT, Inc. | 19,785 | 360,087 | |||||||||
STORE Capital Corp. | 22,373 | 772,092 | |||||||||
5,200,994 | |||||||||||
Utilities (3.2%) | |||||||||||
Electric Utilities (0.7%) | |||||||||||
ALLETE, Inc. | 4,726 | 330,725 | |||||||||
Hawaiian Electric Industries, Inc. | 10,034 | 424,238 | |||||||||
IDACORP, Inc. | 4,642 | 452,595 | |||||||||
PNM Resources, Inc. | 7,888 | 384,698 | |||||||||
1,592,256 | |||||||||||
Gas Utilities (1.2%) | |||||||||||
National Fuel Gas Co. | 8,379 | 437,803 | |||||||||
New Jersey Resources Corp. | 8,854 | 350,353 | |||||||||
ONE Gas, Inc. | 4,893 | 362,669 | |||||||||
Southwest Gas Holdings, Inc. | 5,330 | 352,792 | |||||||||
Spire, Inc. | 4,693 | 339,163 | |||||||||
UGI Corp. | 19,180 | 888,226 | |||||||||
2,731,006 | |||||||||||
Multi-Utilities (0.9%) | |||||||||||
Black Hills Corp. | 5,748 | 377,241 | |||||||||
MDU Resources Group, Inc. | 18,490 | 579,476 | |||||||||
NorthWestern Corp. | 4,594 | 276,651 | |||||||||
OGE Energy Corp. | 18,397 | 619,059 | |||||||||
1,852,427 | |||||||||||
Water Utilities (0.4%) | |||||||||||
Essential Utilities, Inc. | 20,544 | 938,861 | |||||||||
Total common stocks (cost: $134,612,625) | 215,530,960 | ||||||||||
Short-Term Securities (4.6%) | |||||||||||
Investment Companies (4.2%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 9,472,186 | 9,472,186 | |||||||||
U.S. Government Obligations (0.4%) | |||||||||||
U.S. Treasury Note, current rate 1.750% (d) | $ | 1,000,000 | 1,014,375 | ||||||||
1,014,375 | |||||||||||
Total short-term securities (cost: $10,486,832) | 10,486,561 | ||||||||||
Total investments in securities (cost: $145,099,457) (e) | 226,017,521 | ||||||||||
Cash and other assets in excess of liabilities (0.0%) | 7,204 | ||||||||||
Total net assets (100.0%) | $ | 226,024,725 |
See accompanying notes to financial statements.
36
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 the financial statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 2.7% of net assets in foreign securities at June 30, 2021.
(d) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2021, securities with an aggregate market value of $1,014,375 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 2021 | 39 | Long | $ | 10,370,441 | $ | 10,500,360 | $ | 129,919 |
(e) At June 30, 2021, the cost of investments for federal income tax purposes was $145,422,099. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 85,546,013 | |||||
Gross unrealized depreciation | (4,820,672 | ) | |||||
Net unrealized appreciation | $ | 80,725,341 |
See accompanying notes to financial statements.
37
SFT Index 500 Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (98.2%) | |||||||||||
Communication Services (1.6%) | |||||||||||
Diversified Telecommunication Services (1.2%) | |||||||||||
AT&T, Inc. | 216,702 | $ | 6,236,684 | ||||||||
Lumen Technologies, Inc. | 30,102 | 409,086 | |||||||||
Verizon Communications, Inc. | 125,653 | 7,040,338 | |||||||||
13,686,108 | |||||||||||
Media (0.1%) | |||||||||||
Fox Corp. – Class A | 9,922 | 368,404 | |||||||||
Fox Corp. – Class B | 4,587 | 161,462 | |||||||||
ViacomCBS, Inc. – Class B | 18,379 | 830,731 | |||||||||
1,360,597 | |||||||||||
Wireless Telecommunication Services (0.3%) | |||||||||||
T-Mobile US, Inc. (b) | 17,711 | 2,565,084 | |||||||||
Consumer Discretionary (14.6%) | |||||||||||
Auto Components (0.1%) | |||||||||||
Aptiv PLC (b) (c) | 8,134 | 1,279,722 | |||||||||
BorgWarner, Inc. | 7,188 | 348,906 | |||||||||
1,628,628 | |||||||||||
Automobiles (1.8%) | |||||||||||
Ford Motor Co. (b) | 118,997 | 1,768,296 | |||||||||
General Motors Co. (b) | 38,666 | 2,287,867 | |||||||||
Tesla, Inc. (b) | 23,416 | 15,915,855 | |||||||||
19,972,018 | |||||||||||
Distributors (0.1%) | |||||||||||
Genuine Parts Co. | 4,310 | 545,086 | |||||||||
LKQ Corp. (b) | 8,409 | 413,891 | |||||||||
Pool Corp. | 1,270 | 582,498 | |||||||||
1,541,475 | |||||||||||
Hotels & Resort REITs (0.1%) | |||||||||||
Hilton Worldwide Holdings, Inc. (b) | 8,365 | 1,008,986 | |||||||||
Hotels, Restaurants & Leisure (1.8%) | |||||||||||
Booking Holdings, Inc. (b) | 1,274 | 2,787,627 | |||||||||
Caesars Entertainment, Inc. (b) | 6,251 | 648,541 | |||||||||
Carnival Corp. (b) (c) | 24,228 | 638,650 | |||||||||
Chipotle Mexican Grill, Inc. (b) | 899 | 1,393,756 | |||||||||
Darden Restaurants, Inc. | 3,938 | 574,909 | |||||||||
Domino's Pizza, Inc. | 1,170 | 545,793 | |||||||||
Las Vegas Sands Corp. (b) | 9,915 | 522,421 | |||||||||
Marriott International, Inc. Class A (b) | 8,111 | 1,107,314 | |||||||||
McDonald's Corp. | 22,635 | 5,228,459 | |||||||||
MGM Resorts International | 12,357 | 527,026 | |||||||||
Norwegian Cruise Line Holdings, Ltd. (b) (c) | 11,227 | 330,186 | |||||||||
Penn National Gaming, Inc. (b) | 4,433 | 339,080 | |||||||||
Royal Caribbean Cruises, Ltd. (b) (c) | 6,575 | 560,716 |
Shares | Value(a) | ||||||||||
Starbucks Corp. | 35,761 | $ | 3,998,437 | ||||||||
Wynn Resorts, Ltd. (b) | 3,125 | 382,188 | |||||||||
Yum! Brands, Inc. | 9,041 | 1,039,986 | |||||||||
20,625,089 | |||||||||||
Household Durables (0.4%) | |||||||||||
DR Horton, Inc. | 9,956 | 899,724 | |||||||||
Garmin, Ltd. (c) | 4,556 | 658,980 | |||||||||
Leggett & Platt, Inc. | 4,019 | 208,224 | |||||||||
Lennar Corp. – Class A | 8,270 | 821,624 | |||||||||
Mohawk Industries, Inc. (b) | 1,713 | 329,221 | |||||||||
Newell Brands, Inc. | 11,423 | 313,790 | |||||||||
NVR, Inc. (b) | 109 | 542,090 | |||||||||
PulteGroup, Inc. | 8,008 | 436,997 | |||||||||
Whirlpool Corp. | 1,935 | 421,869 | |||||||||
4,632,519 | |||||||||||
Internet & Catalog Retail (4.8%) | |||||||||||
Amazon.com, Inc. (b) | 13,011 | 44,759,922 | |||||||||
Etsy, Inc. (b) | 3,821 | 786,515 | |||||||||
Expedia Group, Inc. (b) | 4,293 | 702,807 | |||||||||
Netflix, Inc. (b) | 13,506 | 7,134,004 | |||||||||
53,383,248 | |||||||||||
Leisure Equipment & Products (0.0%) | |||||||||||
Hasbro, Inc. | 3,835 | 362,484 | |||||||||
Media (2.1%) | |||||||||||
Charter Communications, Inc. Class A (b) | 4,180 | 3,015,661 | |||||||||
Comcast Corp. Class A | 139,152 | 7,934,447 | |||||||||
Discovery, Inc. – Class A (b) | 5,118 | 157,020 | |||||||||
Discovery, Inc. – Class C (b) | 9,118 | 264,240 | |||||||||
DISH Network Corp. – Class A (b) | 7,445 | 311,201 | |||||||||
Live Nation Entertainment, | |||||||||||
Inc. (b) | 4,329 | 379,177 | |||||||||
News Corp. – Class A | 11,825 | 304,730 | |||||||||
News Corp. – Class B | 3,693 | 89,925 | |||||||||
Omnicom Group, Inc. | 6,456 | 516,415 | |||||||||
The Interpublic Group of Cos., Inc. | 11,913 | 387,053 | |||||||||
The Walt Disney Co. (b) | 55,145 | 9,692,837 | |||||||||
23,052,706 | |||||||||||
Multiline Retail (0.5%) | |||||||||||
Dollar General Corp. | 7,169 | 1,551,300 | |||||||||
Dollar Tree, Inc. (b) | 7,039 | 700,380 | |||||||||
Target Corp. | 15,015 | 3,629,726 | |||||||||
5,881,406 | |||||||||||
Specialty Retail (2.2%) | |||||||||||
Advance Auto Parts, Inc. | 1,998 | 409,870 | |||||||||
AutoZone, Inc. (b) | 676 | 1,008,741 | |||||||||
Best Buy Co., Inc. | 6,765 | 777,840 | |||||||||
CarMax, Inc. (b) | 4,856 | 627,152 | |||||||||
L Brands, Inc. | 7,023 | 506,077 | |||||||||
Lowe's Cos., Inc. | 21,454 | 4,161,432 | |||||||||
O'Reilly Automotive, Inc. (b) | 2,141 | 1,212,256 | |||||||||
Ross Stores, Inc. | 10,755 | 1,333,620 | |||||||||
The Gap, Inc. | 6,273 | 211,086 |
See accompanying notes to financial statements.
38
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
The Home Depot, Inc. | 32,270 | $ | 10,290,580 | ||||||||
The TJX Cos., Inc. | 36,511 | 2,461,572 | |||||||||
Tractor Supply Co. | 3,509 | 652,885 | |||||||||
Ulta Beauty, Inc. (b) | 1,678 | 580,202 | |||||||||
24,233,313 | |||||||||||
Textiles, Apparel & Luxury Goods (0.7%) | |||||||||||
Hanesbrands, Inc. | 10,536 | 196,707 | |||||||||
NIKE, Inc. Class B | 38,672 | 5,974,437 | |||||||||
PVH Corp. (b) | 2,092 | 225,078 | |||||||||
Ralph Lauren Corp. | 1,433 | 168,822 | |||||||||
Tapestry, Inc. (b) | 8,372 | 364,014 | |||||||||
Under Armour, Inc. – Class A (b) | 5,724 | 121,063 | |||||||||
Under Armour, Inc. – Class C (b) | 5,942 | 110,343 | |||||||||
VF Corp. | 9,694 | 795,296 | |||||||||
7,955,760 | |||||||||||
Consumer Staples (6.0%) | |||||||||||
Beverages (1.4%) | |||||||||||
Brown-Forman Corp. – Class B | 5,518 | 413,519 | |||||||||
Constellation Brands, Inc. Class A | 5,119 | 1,197,283 | |||||||||
Molson Coors Beverage Co. – Class B (b) | 5,714 | 306,785 | |||||||||
Monster Beverage Corp. (b) | 11,173 | 1,020,653 | |||||||||
PepsiCo, Inc. | 41,933 | 6,213,213 | |||||||||
The Coca-Cola Co. | 117,775 | 6,372,805 | |||||||||
15,524,258 | |||||||||||
Food & Staples Retailing (1.6%) | |||||||||||
Costco Wholesale Corp. | 13,398 | 5,301,187 | |||||||||
CVS Health Corp. | 39,888 | 3,328,255 | |||||||||
Sysco Corp. | 15,464 | 1,202,326 | |||||||||
The Kroger Co. | 22,978 | 880,287 | |||||||||
Walgreens Boots Alliance, Inc. | 21,768 | 1,145,214 | |||||||||
Walmart, Inc. | 41,672 | 5,876,585 | |||||||||
17,733,854 | |||||||||||
Food Products (0.9%) | |||||||||||
Archer-Daniels-Midland Co. | 16,928 | 1,025,837 | |||||||||
Campbell Soup Co. | 6,089 | 277,598 | |||||||||
Conagra Brands, Inc. | 14,566 | 529,911 | |||||||||
General Mills, Inc. | 18,512 | 1,127,936 | |||||||||
Hormel Foods Corp. | 8,464 | 404,156 | |||||||||
Kellogg Co. | 7,647 | 491,932 | |||||||||
Lamb Weston Holdings, Inc. | 4,397 | 354,662 | |||||||||
McCormick & Co., Inc. | 7,491 | 661,605 | |||||||||
Mondelez International, Inc. – Class A | 42,633 | 2,662,005 | |||||||||
The Hershey Co. | 4,468 | 778,236 | |||||||||
The JM Smucker Co. | 3,241 | 419,936 | |||||||||
The Kraft Heinz Co. | 19,668 | 802,061 | |||||||||
Tyson Foods, Inc. – Class A | 8,887 | 655,505 | |||||||||
10,191,380 | |||||||||||
Household Products (1.3%) | |||||||||||
Church & Dwight Co., Inc. | 7,373 | 628,327 | |||||||||
Colgate-Palmolive Co. | 25,675 | 2,088,661 | |||||||||
Kimberly-Clark Corp. | 10,207 | 1,365,493 |
Shares | Value(a) | ||||||||||
The Clorox Co. | 3,720 | $ | 669,265 | ||||||||
The Procter & Gamble Co. | 74,305 | 10,025,974 | |||||||||
14,777,720 | |||||||||||
Personal Care (0.2%) | |||||||||||
The Estee Lauder Cos., Inc. Class A | 7,031 | 2,236,420 | |||||||||
Tobacco (0.6%) | |||||||||||
Altria Group, Inc. | 56,167 | 2,678,043 | |||||||||
Philip Morris International, Inc. | 47,302 | 4,688,101 | |||||||||
7,366,144 | |||||||||||
Energy (2.7%) | |||||||||||
Energy Equipment & Services (0.2%) | |||||||||||
Baker Hughes Co. | 22,077 | 504,901 | |||||||||
Halliburton Co. | 26,997 | 624,171 | |||||||||
Nov, Inc. (b) | 11,837 | 181,343 | |||||||||
Schlumberger NV (c) | 42,440 | 1,358,504 | |||||||||
2,668,919 | |||||||||||
Oil, Gas & Consumable Fuels (2.5%) | |||||||||||
APA Corp. | 11,422 | 247,058 | |||||||||
Cabot Oil & Gas Corp. | 12,079 | 210,899 | |||||||||
Chevron Corp. | 58,642 | 6,142,163 | |||||||||
ConocoPhillips | 40,955 | 2,494,159 | |||||||||
Devon Energy Corp. | 18,061 | 527,201 | |||||||||
Diamondback Energy, Inc. | 5,413 | 508,227 | |||||||||
EOG Resources, Inc. | 17,695 | 1,476,471 | |||||||||
Exxon Mobil Corp. | 128,489 | 8,105,086 | |||||||||
Hess Corp. | 8,331 | 727,463 | |||||||||
Kinder Morgan, Inc. | 59,108 | 1,077,539 | |||||||||
Marathon Oil Corp. | 23,920 | 325,790 | |||||||||
Marathon Petroleum Corp. | 19,339 | 1,168,462 | |||||||||
Occidental Petroleum Corp. | 25,465 | 796,290 | |||||||||
Phillips 66 | 13,219 | 1,134,455 | |||||||||
Pioneer Natural Resources Co. | 7,034 | 1,143,166 | |||||||||
The Williams Cos., Inc. | 36,868 | 978,845 | |||||||||
Valero Energy Corp. | 12,358 | 964,913 | |||||||||
28,028,187 | |||||||||||
Financial (11.1%) | |||||||||||
Capital Markets (3.0%) | |||||||||||
Ameriprise Financial, Inc. | 3,560 | 886,013 | |||||||||
BlackRock, Inc. | 4,311 | 3,771,995 | |||||||||
CBOE Global Markets, Inc. | 3,154 | 375,484 | |||||||||
CME Group, Inc. | 10,847 | 2,306,940 | |||||||||
Franklin Resources, Inc. | 8,215 | 262,798 | |||||||||
Intercontinental Exchange, Inc. | 17,028 | 2,021,223 | |||||||||
Invesco, Ltd. (c) | 11,479 | 306,834 | |||||||||
MarketAxess Holdings, Inc. | 1,169 | 541,937 | |||||||||
Moody's Corp. | 4,907 | 1,778,149 | |||||||||
Morgan Stanley | 45,175 | 4,142,096 | |||||||||
MSCI, Inc. | 2,547 | 1,357,755 | |||||||||
Nasdaq, Inc. | 3,475 | 610,905 | |||||||||
Northern Trust Corp. | 6,252 | 722,856 | |||||||||
Raymond James Financial, Inc. | 3,654 | 474,654 | |||||||||
S&P Global, Inc. | 7,340 | 3,012,703 | |||||||||
State Street Corp. | 10,554 | 868,383 |
See accompanying notes to financial statements.
39
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
T Rowe Price Group, Inc. | 6,841 | $ | 1,354,313 | ||||||||
The Bank of New York Mellon Corp. | 24,486 | 1,254,418 | |||||||||
The Charles Schwab Corp. | 45,521 | 3,314,384 | |||||||||
The Goldman Sachs Group, Inc. | 10,326 | 3,919,027 | |||||||||
33,282,867 | |||||||||||
Commercial Banks (4.2%) | |||||||||||
Bank of America Corp. | 228,872 | 9,436,393 | |||||||||
Citigroup, Inc. | 62,735 | 4,438,501 | |||||||||
Citizens Financial Group, Inc. | 12,863 | 590,026 | |||||||||
Comerica, Inc. | 4,196 | 299,343 | |||||||||
Fifth Third Bancorp | 21,365 | 816,784 | |||||||||
First Republic Bank | 5,355 | 1,002,295 | |||||||||
Huntington Bancshares, Inc. | 44,781 | 639,025 | |||||||||
JPMorgan Chase & Co. | 91,874 | 14,290,082 | |||||||||
KeyCorp | 29,442 | 607,977 | |||||||||
M&T Bank Corp. | 3,848 | 559,153 | |||||||||
People's United Financial, Inc. | 12,975 | 222,391 | |||||||||
Regions Financial Corp. | 29,175 | 588,751 | |||||||||
SVB Financial Group (b) | 1,647 | 916,440 | |||||||||
The PNC Financial Services Group, Inc. | 12,830 | 2,447,451 | |||||||||
Truist Financial Corp. | 40,816 | 2,265,288 | |||||||||
US Bancorp | 41,143 | 2,343,917 | |||||||||
Wells Fargo & Co. | 125,455 | 5,681,857 | |||||||||
Zions Bancorp NA | 4,899 | 258,961 | |||||||||
47,404,635 | |||||||||||
Consumer Finance (0.7%) | |||||||||||
American Express Co. | 19,748 | 3,262,962 | |||||||||
Capital One Financial Corp. | 13,703 | 2,119,717 | |||||||||
Discover Financial Services | 9,252 | 1,094,419 | |||||||||
Synchrony Financial | 16,416 | 796,505 | |||||||||
7,273,603 | |||||||||||
Insurance (3.2%) | |||||||||||
Aflac, Inc. | 19,184 | 1,029,413 | |||||||||
American International Group, Inc. | 26,044 | 1,239,694 | |||||||||
Aon PLC (c) | 6,891 | 1,645,295 | |||||||||
Arthur J Gallagher & Co. | 6,145 | 860,792 | |||||||||
Assurant, Inc. | 1,855 | 289,714 | |||||||||
Berkshire Hathaway, Inc. – Class B (b) | 57,525 | 15,987,348 | |||||||||
Chubb, Ltd. (c) | 13,629 | 2,166,193 | |||||||||
Cincinnati Financial Corp. | 4,506 | 525,490 | |||||||||
Everest Re Group, Ltd. (c) | 1,252 | 315,517 | |||||||||
Globe Life, Inc. | 2,874 | 273,749 | |||||||||
Lincoln National Corp. | 5,402 | 339,462 | |||||||||
Loews Corp. | 6,789 | 371,019 | |||||||||
Marsh & McLennan Cos., Inc. | 15,396 | 2,165,909 | |||||||||
MetLife, Inc. | 22,583 | 1,351,593 | |||||||||
Principal Financial Group, Inc. | 7,631 | 482,203 | |||||||||
Prudential Financial, Inc. | 11,958 | 1,225,336 | |||||||||
The Allstate Corp. | 9,085 | 1,185,047 |
Shares | Value(a) | ||||||||||
The Hartford Financial Services Group, Inc. | 10,801 | $ | 669,338 | ||||||||
The Progressive Corp. | 17,759 | 1,744,111 | |||||||||
The Travelers Cos., Inc. | 7,590 | 1,136,299 | |||||||||
Unum Group | 6,112 | 173,581 | |||||||||
Willis Towers Watson PLC (c) | 3,909 | 899,148 | |||||||||
WR Berkley Corp. | 4,166 | 310,075 | |||||||||
36,386,326 | |||||||||||
Health Care (12.5%) | |||||||||||
Biotechnology (1.7%) | |||||||||||
AbbVie, Inc. | 53,605 | 6,038,067 | |||||||||
Alexion Pharmaceuticals, Inc. (b) | 6,704 | 1,231,592 | |||||||||
Amgen, Inc. | 17,438 | 4,250,513 | |||||||||
Biogen, Inc. (b) | 4,545 | 1,573,797 | |||||||||
Gilead Sciences, Inc. | 38,064 | 2,621,087 | |||||||||
Incyte Corp. (b) | 5,588 | 470,118 | |||||||||
Regeneron Pharmaceuticals, Inc. (b) | 3,211 | 1,793,472 | |||||||||
Vertex Pharmaceuticals, Inc. (b) | 7,827 | 1,578,158 | |||||||||
19,556,804 | |||||||||||
Health Care Equipment & Supplies (3.6%) | |||||||||||
Abbott Laboratories | 53,920 | 6,250,946 | |||||||||
ABIOMED, Inc. (b) | 1,425 | 444,757 | |||||||||
Align Technology, Inc. (b) | 2,232 | 1,363,752 | |||||||||
Baxter International, Inc. | 15,261 | 1,228,510 | |||||||||
Becton Dickinson and Co. | 8,860 | 2,154,663 | |||||||||
Boston Scientific Corp. (b) | 43,114 | 1,843,555 | |||||||||
Danaher Corp. | 19,229 | 5,160,294 | |||||||||
Dentsply Sirona, Inc. | 6,579 | 416,188 | |||||||||
DexCom, Inc. (b) | 2,986 | 1,275,022 | |||||||||
Edwards Lifesciences Corp. (b) | 18,866 | 1,953,952 | |||||||||
Hologic, Inc. (b) | 7,757 | 517,547 | |||||||||
IDEXX Laboratories, Inc. (b) | 2,588 | 1,634,451 | |||||||||
Intuitive Surgical, Inc. (b) | 3,656 | 3,362,204 | |||||||||
Medtronic PLC (c) | 40,833 | 5,068,600 | |||||||||
ResMed, Inc. | 4,406 | 1,086,167 | |||||||||
STERIS PLC (c) | 2,975 | 613,743 | |||||||||
Stryker Corp. | 9,980 | 2,592,105 | |||||||||
Teleflex, Inc. | 1,454 | 584,203 | |||||||||
The Cooper Cos., Inc. | 1,466 | 580,932 | |||||||||
West Pharmaceutical Services, Inc. | 2,230 | 800,793 | |||||||||
Zimmer Biomet Holdings, Inc. | 6,338 | 1,019,277 | |||||||||
39,951,661 | |||||||||||
Health Care Providers & Services (2.3%) | |||||||||||
AmerisourceBergen Corp. | 4,412 | 505,130 | |||||||||
Anthem, Inc. | 7,468 | 2,851,282 | |||||||||
Cardinal Health, Inc. | 8,806 | 502,735 | |||||||||
Centene Corp. (b) | 17,634 | 1,286,048 | |||||||||
Cigna Corp. | 10,415 | 2,469,084 | |||||||||
DaVita, Inc. (b) | 2,098 | 252,662 | |||||||||
HCA Healthcare, Inc. | 7,976 | 1,648,958 | |||||||||
Henry Schein, Inc. (b) | 4,183 | 310,337 | |||||||||
Humana, Inc. | 3,930 | 1,739,890 |
See accompanying notes to financial statements.
40
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Laboratory Corp. of America Holdings (b) | 2,984 | $ | 823,136 | ||||||||
McKesson Corp. | 4,848 | 927,132 | |||||||||
Quest Diagnostics, Inc. | 3,927 | 518,246 | |||||||||
UnitedHealth Group, Inc. | 28,642 | 11,469,402 | |||||||||
Universal Health Services, Inc. – Class B | 2,330 | 341,182 | |||||||||
25,645,224 | |||||||||||
Health Care Technology (0.1%) | |||||||||||
Cerner Corp. | 9,145 | 714,773 | |||||||||
Life Sciences Tools & Services (1.2%) | |||||||||||
Agilent Technologies, Inc. | 9,191 | 1,358,522 | |||||||||
Bio-Rad Laboratories, Inc. – Class A (b) | 692 | 445,849 | |||||||||
Charles River Laboratories International, Inc. (b) | 1,510 | 558,579 | |||||||||
Illumina, Inc. (b) | 4,440 | 2,101,052 | |||||||||
IQVIA Holdings, Inc. (b) | 5,833 | 1,413,453 | |||||||||
Mettler-Toledo International, Inc. (b) | 707 | 979,435 | |||||||||
PerkinElmer, Inc. | 3,334 | 514,803 | |||||||||
Thermo Fisher Scientific, Inc. | 11,908 | 6,007,229 | |||||||||
Waters Corp. (b) | 1,844 | 637,305 | |||||||||
14,016,227 | |||||||||||
Pharmaceuticals (3.6%) | |||||||||||
Bristol-Myers Squibb Co. | 67,800 | 4,530,396 | |||||||||
Catalent, Inc. (b) | 5,121 | 553,682 | |||||||||
Eli Lilly & Co. | 24,157 | 5,544,515 | |||||||||
Johnson & Johnson | 79,925 | 13,166,844 | |||||||||
Merck & Co., Inc. | 76,849 | 5,976,547 | |||||||||
Organon & Co. (b) | 7,615 | 230,430 | |||||||||
Perrigo Co. PLC (c) | 3,958 | 181,474 | |||||||||
Pfizer, Inc. | 169,892 | 6,652,971 | |||||||||
Viatris, Inc. | 36,683 | 524,200 | |||||||||
Zoetis, Inc. | 14,389 | 2,681,534 | |||||||||
40,042,593 | |||||||||||
Industrials (8.3%) | |||||||||||
Aerospace & Defense (1.5%) | |||||||||||
General Dynamics Corp. | 6,947 | 1,307,842 | |||||||||
Howmet Aerospace, Inc. (b) | 11,800 | 406,746 | |||||||||
Huntington Ingalls Industries, Inc. | 1,189 | 250,582 | |||||||||
L3Harris Technologies, Inc. | 6,168 | 1,333,213 | |||||||||
Lockheed Martin Corp. | 7,416 | 2,805,844 | |||||||||
Northrop Grumman Corp. | 4,543 | 1,651,063 | |||||||||
Raytheon Technologies Corp. | 45,983 | 3,922,810 | |||||||||
Teledyne Technologies, Inc. (b) | 1,468 | 614,842 | |||||||||
The Boeing Co. (b) | 16,729 | 4,007,599 | |||||||||
TransDigm Group, Inc. (b) | 1,669 | 1,080,327 | |||||||||
17,380,868 |
Shares | Value(a) | ||||||||||
Air Freight & Logistics (0.7%) | |||||||||||
CH Robinson Worldwide, Inc. | 3,950 | $ | 369,997 | ||||||||
Expeditors International of Washington, Inc. | 5,039 | 637,937 | |||||||||
FedEx Corp. | 7,413 | 2,211,520 | |||||||||
United Parcel Service, Inc. Class B | 21,940 | 4,562,862 | |||||||||
7,782,316 | |||||||||||
Airlines (0.3%) | |||||||||||
Alaska Air Group, Inc. (b) | 3,743 | 225,740 | |||||||||
American Airlines Group, Inc. (b) | 19,406 | 411,601 | |||||||||
Delta Air Lines, Inc. (b) | 19,359 | 837,471 | |||||||||
Southwest Airlines Co. (b) | 17,911 | 950,895 | |||||||||
United Airlines Holdings, Inc. (b) | 9,820 | 513,488 | |||||||||
2,939,195 | |||||||||||
Building Products (0.5%) | |||||||||||
Allegion PLC (c) | 2,638 | 367,473 | |||||||||
AO Smith Corp. | 4,050 | 291,843 | |||||||||
Carrier Global Corp. | 24,792 | 1,204,891 | |||||||||
Fortune Brands Home & Security, Inc. | 4,197 | 418,063 | |||||||||
Johnson Controls International PLC (c) | 21,752 | 1,492,840 | |||||||||
Masco Corp. | 7,702 | 453,725 | |||||||||
Trane Technologies PLC (c) | 7,270 | 1,338,698 | |||||||||
5,567,533 | |||||||||||
Commercial Services & Supplies (0.4%) | |||||||||||
Cintas Corp. | 2,690 | 1,027,580 | |||||||||
Copart, Inc. (b) | 6,241 | 822,751 | |||||||||
Republic Services, Inc. | 6,316 | 694,823 | |||||||||
Rollins, Inc. | 6,653 | 227,533 | |||||||||
Waste Management, Inc. | 11,771 | 1,649,235 | |||||||||
4,421,922 | |||||||||||
Construction & Engineering (0.1%) | |||||||||||
Jacobs Engineering Group, Inc. | 3,907 | 521,272 | |||||||||
Quanta Services, Inc. | 4,151 | 375,956 | |||||||||
897,228 | |||||||||||
Electrical Equipment (0.6%) | |||||||||||
AMETEK, Inc. | 6,930 | 925,155 | |||||||||
Eaton Corp. PLC (c) | 12,039 | 1,783,939 | |||||||||
Emerson Electric Co. | 18,197 | 1,751,279 | |||||||||
Generac Holdings, Inc. (b) | 1,917 | 795,843 | |||||||||
Rockwell Automation, Inc. | 3,513 | 1,004,788 | |||||||||
6,261,004 | |||||||||||
Industrial Conglomerates (1.2%) | |||||||||||
3M Co. | 17,559 | 3,487,744 | |||||||||
General Electric Co. | 266,435 | 3,586,215 | |||||||||
Honeywell International, Inc. | 21,080 | 4,623,898 | |||||||||
Roper Technologies, Inc. | 3,262 | 1,533,792 | |||||||||
Textron, Inc. | 6,819 | 468,943 | |||||||||
13,700,592 |
See accompanying notes to financial statements.
41
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Machinery (1.6%) | |||||||||||
Caterpillar, Inc. | 16,628 | $ | 3,618,752 | ||||||||
Cummins, Inc. | 4,471 | 1,090,074 | |||||||||
Deere & Co. | 9,458 | 3,335,931 | |||||||||
Dover Corp. | 4,380 | 659,628 | |||||||||
Fortive Corp. | 10,209 | 711,976 | |||||||||
IDEX Corp. | 2,249 | 494,892 | |||||||||
Illinois Tool Works, Inc. | 8,687 | 1,942,066 | |||||||||
Ingersoll Rand, Inc. (b) | 11,265 | 549,845 | |||||||||
Otis Worldwide Corp. | 12,243 | 1,001,110 | |||||||||
PACCAR, Inc. | 10,479 | 935,251 | |||||||||
Parker Hannifin Corp. | 3,905 | 1,199,264 | |||||||||
Pentair PLC (c) | 4,949 | 334,008 | |||||||||
Snap-On, Inc. | 1,655 | 369,777 | |||||||||
Stanley Black & Decker, Inc. | 4,882 | 1,000,761 | |||||||||
Westinghouse Air Brake Technologies Corp. | 5,314 | 437,342 | |||||||||
Xylem, Inc. | 5,451 | 653,902 | |||||||||
18,334,579 | |||||||||||
Professional Services (0.4%) | |||||||||||
Equifax, Inc. | 3,663 | 877,325 | |||||||||
IHS Markit, Ltd. (c) | 11,367 | 1,280,606 | |||||||||
Nielsen Holdings PLC (c) | 10,810 | 266,683 | |||||||||
Robert Half International, Inc. | 3,352 | 298,228 | |||||||||
United Rentals, Inc. (b) | 2,193 | 699,589 | |||||||||
Verisk Analytics, Inc. | 4,856 | 848,440 | |||||||||
4,270,871 | |||||||||||
Road & Rail (0.9%) | |||||||||||
CSX Corp. | 68,961 | 2,212,269 | |||||||||
JB Hunt Transport Services, Inc. | 2,471 | 402,649 | |||||||||
Kansas City Southern | 2,770 | 784,935 | |||||||||
Norfolk Southern Corp. | 7,582 | 2,012,338 | |||||||||
Old Dominion Freight Line, Inc. | 2,850 | 723,330 | |||||||||
Union Pacific Corp. | 20,162 | 4,434,229 | |||||||||
10,569,750 | |||||||||||
Trading Companies & Distributors (0.1%) | |||||||||||
Fastenal Co. | 17,413 | 905,476 | |||||||||
WW Grainger, Inc. | 1,386 | 607,068 | |||||||||
1,512,544 | |||||||||||
Information Technology (33.8%) | |||||||||||
Communications Equipment (0.8%) | |||||||||||
Arista Networks, Inc. (b) | 1,729 | 626,434 | |||||||||
Cisco Systems, Inc. | 127,903 | 6,778,859 | |||||||||
F5 Networks, Inc. (b) | 1,821 | 339,908 | |||||||||
Juniper Networks, Inc. | 9,907 | 270,957 | |||||||||
Motorola Solutions, Inc. | 5,145 | 1,115,693 | |||||||||
9,131,851 | |||||||||||
Computers & Peripherals (6.0%) | |||||||||||
Apple, Inc. (d) | 476,088 | 65,205,013 | |||||||||
NetApp, Inc. | 6,687 | 547,130 | |||||||||
Seagate Technology Holdings PLC (c) | 6,025 | 529,778 | |||||||||
Western Digital Corp. (b) | 9,234 | 657,184 | |||||||||
66,939,105 |
Shares | Value(a) | ||||||||||
Electronic Equipment, Instruments & Components (0.5%) | |||||||||||
Amphenol Corp. – Class A | 18,137 | $ | 1,240,752 | ||||||||
CDW Corp. | 4,264 | 744,708 | |||||||||
Corning, Inc. | 23,430 | 958,287 | |||||||||
IPG Photonics Corp. (b) | 1,098 | 231,425 | |||||||||
Keysight Technologies, Inc. (b) | 5,562 | 858,828 | |||||||||
TE Connectivity, Ltd. (c) | 9,990 | 1,350,748 | |||||||||
Trimble, Inc. (b) | 7,553 | 618,062 | |||||||||
6,002,810 | |||||||||||
Interactive Media & Services (6.5%) | |||||||||||
Akamai Technologies, Inc. (b) | 4,923 | 574,022 | |||||||||
Alphabet, Inc. Class A (b) | 9,131 | 22,295,984 | |||||||||
Alphabet, Inc. Class C (b) | 8,643 | 21,662,124 | |||||||||
eBay, Inc. | 19,611 | 1,376,888 | |||||||||
Facebook, Inc. Class A (b) | 72,721 | 25,285,819 | |||||||||
Twitter, Inc. (b) | 24,223 | 1,666,785 | |||||||||
72,861,622 | |||||||||||
IT Services (5.0%) | |||||||||||
Accenture PLC – Class A (c) | 19,340 | 5,701,239 | |||||||||
Automatic Data Processing, Inc. | 12,915 | 2,565,177 | |||||||||
Broadridge Financial Solutions, Inc. | 3,541 | 571,978 | |||||||||
Cognizant Technology Solutions Corp. – Class A | 16,007 | 1,108,645 | |||||||||
DXC Technology Co. (b) | 7,663 | 298,397 | |||||||||
Fidelity National Information Services, Inc. | 18,821 | 2,666,371 | |||||||||
Fiserv, Inc. (b) | 18,076 | 1,932,144 | |||||||||
FleetCor Technologies, Inc. (b) | 2,494 | 638,614 | |||||||||
Gartner, Inc. (b) | 2,630 | 636,986 | |||||||||
Global Payments, Inc. | 8,903 | 1,669,669 | |||||||||
International Business Machines Corp. | 27,118 | 3,975,228 | |||||||||
Jack Henry & Associates, Inc. | 2,188 | 357,760 | |||||||||
Leidos Holdings, Inc. | 3,944 | 398,738 | |||||||||
Mastercard, Inc. Class A | 26,550 | 9,693,139 | |||||||||
Paychex, Inc. | 9,687 | 1,039,415 | |||||||||
PayPal Holdings, Inc. (b) | 35,613 | 10,380,477 | |||||||||
The Western Union Co. | 12,420 | 285,287 | |||||||||
VeriSign, Inc. (b) | 2,988 | 680,338 | |||||||||
Visa, Inc. Class A | 51,347 | 12,005,955 | |||||||||
56,605,557 | |||||||||||
Office Electronics (0.1%) | |||||||||||
Zebra Technologies Corp. – Class A (b) | 1,610 | 852,479 | |||||||||
Semiconductors & Semiconductor Equipment (5.6%) | |||||||||||
Advanced Micro Devices, Inc. (b) | 36,852 | 3,461,508 | |||||||||
Analog Devices, Inc. | 11,148 | 1,919,240 | |||||||||
Applied Materials, Inc. | 27,851 | 3,965,982 | |||||||||
Broadcom, Inc. | 12,448 | 5,935,704 | |||||||||
Enphase Energy, Inc. (b) | 4,118 | 756,188 | |||||||||
Intel Corp. | 122,555 | 6,880,238 |
See accompanying notes to financial statements.
42
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
KLA Corp. | 4,698 | $ | 1,523,139 | ||||||||
Lam Research Corp. | 4,358 | 2,835,751 | |||||||||
Maxim Integrated Products, Inc. | 8,073 | 850,571 | |||||||||
Microchip Technology, Inc. | 8,310 | 1,244,339 | |||||||||
Micron Technology, Inc. (b) | 34,012 | 2,890,340 | |||||||||
Monolithic Power Systems, Inc. | 1,310 | 489,220 | |||||||||
NVIDIA Corp. | 18,906 | 15,126,691 | |||||||||
NXP Semiconductors NV (c) | 8,347 | 1,717,145 | |||||||||
Qorvo, Inc. (b) | 3,359 | 657,188 | |||||||||
QUALCOMM, Inc. | 34,235 | 4,893,209 | |||||||||
Skyworks Solutions, Inc. | 5,028 | 964,119 | |||||||||
Teradyne, Inc. | 4,964 | 664,977 | |||||||||
Texas Instruments, Inc. | 27,961 | 5,376,900 | |||||||||
Xilinx, Inc. | 7,394 | 1,069,468 | |||||||||
63,221,917 | |||||||||||
Software (9.1%) | |||||||||||
Activision Blizzard, Inc. | 23,525 | 2,245,226 | |||||||||
Adobe, Inc. (b) | 14,508 | 8,496,465 | |||||||||
ANSYS, Inc. (b) | 2,627 | 911,727 | |||||||||
Autodesk, Inc. (b) | 6,705 | 1,957,190 | |||||||||
Cadence Design Systems, Inc. (b) | 8,406 | 1,150,109 | |||||||||
Citrix Systems, Inc. | 3,728 | 437,183 | |||||||||
Electronic Arts, Inc. | 8,670 | 1,247,006 | |||||||||
Fortinet, Inc. (b) | 4,139 | 985,868 | |||||||||
Intuit, Inc. | 8,350 | 4,092,920 | |||||||||
Microsoft Corp. | 228,587 | 61,924,218 | |||||||||
NortonLifeLock, Inc. | 17,601 | 479,099 | |||||||||
Oracle Corp. | 55,135 | 4,291,708 | |||||||||
Paycom Software, Inc. (b) | 1,540 | 559,744 | |||||||||
PTC, Inc. (b) | 3,100 | 437,906 | |||||||||
Salesforce.com, Inc. (b) | 28,105 | 6,865,208 | |||||||||
ServiceNow, Inc. (b) | 5,980 | 3,286,309 | |||||||||
Synopsys, Inc. (b) | 4,646 | 1,281,320 | |||||||||
Take-Two Interactive Software, Inc. (b) | 3,504 | 620,278 | |||||||||
Tyler Technologies, Inc. (b) | 1,286 | 581,748 | |||||||||
101,851,232 | |||||||||||
Technology Hardware Storage & Peripherals (0.2%) | |||||||||||
Hewlett Packard Enterprise Co. | 39,576 | 577,018 | |||||||||
HP, Inc. | 36,458 | 1,100,667 | |||||||||
1,677,685 | |||||||||||
Materials (2.6%) | |||||||||||
Chemicals (1.7%) | |||||||||||
Air Products & Chemicals, Inc. | 6,748 | 1,941,265 | |||||||||
Albemarle Corp. | 3,492 | 588,262 | |||||||||
Celanese Corp. | 3,381 | 512,560 | |||||||||
CF Industries | |||||||||||
Holdings, Inc. | 6,425 | 330,566 | |||||||||
Corteva, Inc. | 22,371 | 992,154 | |||||||||
Dow, Inc. | 22,624 | 1,431,647 | |||||||||
DuPont de Nemours, Inc. | 16,150 | 1,250,171 | |||||||||
Eastman Chemical Co. | 4,105 | 479,259 | |||||||||
Ecolab, Inc. | 7,583 | 1,561,870 | |||||||||
FMC Corp. | 3,884 | 420,249 |
Shares | Value(a) | ||||||||||
International Flavors & Fragrances, Inc. | 7,484 | $ | 1,118,110 | ||||||||
Linde PLC (c) | 15,789 | 4,564,600 | |||||||||
LyondellBasell Industries NV – Class A (c) | 7,745 | 796,728 | |||||||||
PPG Industries, Inc. | 7,125 | 1,209,611 | |||||||||
The Mosaic Co. | 10,419 | 332,470 | |||||||||
The Sherwin-Williams Co. | 7,226 | 1,968,724 | |||||||||
19,498,246 | |||||||||||
Commercial Services & Supplies (0.1%) | |||||||||||
Avery Dennison Corp. | 2,530 | 531,907 | |||||||||
Construction Materials (0.1%) | |||||||||||
Martin Marietta Materials, Inc. | 1,899 | 668,087 | |||||||||
Vulcan Materials Co. | 4,047 | 704,461 | |||||||||
1,372,548 | |||||||||||
Containers & Packaging (0.3%) | |||||||||||
Amcor PLC (c) | 46,794 | 536,259 | |||||||||
Ball Corp. | 9,899 | 802,017 | |||||||||
International Paper Co. | 11,886 | 728,731 | |||||||||
Packaging Corp. of America | 2,882 | 390,280 | |||||||||
Sealed Air Corp. | 4,594 | 272,195 | |||||||||
WestRock Co. | 8,035 | 427,623 | |||||||||
3,157,105 | |||||||||||
Metals & Mining (0.4%) | |||||||||||
Freeport-McMoRan, Inc. | 44,474 | 1,650,430 | |||||||||
Newmont Corp. | 24,304 | 1,540,387 | |||||||||
Nucor Corp. | 8,988 | 862,219 | |||||||||
4,053,036 | |||||||||||
Real Estate (2.5%) | |||||||||||
Health Care REITs (0.2%) | |||||||||||
Healthpeak Properties, Inc. | 16,326 | 543,493 | |||||||||
Ventas, Inc. | 11,324 | 646,600 | |||||||||
Welltower, Inc. | 12,627 | 1,049,304 | |||||||||
2,239,397 | |||||||||||
Hotels & Resort REITs (0.0%) | |||||||||||
Host Hotels & Resorts, Inc. (b) | 21,409 | 365,880 | |||||||||
Industrial REITs (0.3%) | |||||||||||
Duke Realty Corp. | 11,297 | 534,913 | |||||||||
ProLogis, Inc. | 22,450 | 2,683,449 | |||||||||
3,218,362 | |||||||||||
Office REITs (0.1%) | |||||||||||
Alexandria Real Estate Equities, Inc. | 4,163 | 757,416 | |||||||||
Boston Properties, Inc. | 4,305 | 493,310 | |||||||||
Vornado Realty Trust | 4,677 | 218,276 | |||||||||
1,469,002 | |||||||||||
Real Estate Services (0.1%) | |||||||||||
CBRE Group, Inc. – Class A (b) | 10,133 | 868,702 |
See accompanying notes to financial statements.
43
SFT Index 500 Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Residential REITs (0.3%) | |||||||||||
AvalonBay Communities, Inc. | 4,241 | $ | 885,054 | ||||||||
Equity Residential | 10,354 | 797,258 | |||||||||
Essex Property Trust, Inc. | 2,010 | 603,020 | |||||||||
Mid-America Apartment Communities, Inc. | 3,433 | 578,186 | |||||||||
UDR, Inc. | 8,951 | 438,420 | |||||||||
3,301,938 | |||||||||||
Retail REITs (0.3%) | |||||||||||
Federal Realty Investment Trust | 2,147 | 251,564 | |||||||||
Kimco Realty Corp. | 13,086 | 272,843 | |||||||||
Realty Income Corp. | 11,286 | 753,228 | |||||||||
Regency Centers Corp. | 4,707 | 301,577 | |||||||||
Simon Property Group, Inc. | 9,917 | 1,293,970 | |||||||||
2,873,182 | |||||||||||
Specialized REITs (1.2%) | |||||||||||
American Tower Corp. | 13,841 | 3,739,008 | |||||||||
Crown Castle International Corp. | 13,052 | 2,546,445 | |||||||||
Digital Realty Trust, Inc. | 8,472 | 1,274,697 | |||||||||
Equinix, Inc. | 2,752 | 2,208,755 | |||||||||
Extra Space Storage, Inc. | 4,026 | 659,539 | |||||||||
Iron Mountain, Inc. | 8,695 | 367,972 | |||||||||
Public Storage | 4,630 | 1,392,195 | |||||||||
SBA Communications Corp. | 3,334 | 1,062,546 | |||||||||
Weyerhaeuser Co. | 22,702 | 781,403 | |||||||||
14,032,560 | |||||||||||
Utilities (2.5%) | |||||||||||
Electric Utilities (1.5%) | |||||||||||
Alliant Energy Corp. | 7,519 | 419,259 | |||||||||
American Electric Power Co., Inc. | 15,143 | 1,280,946 | |||||||||
Duke Energy Corp. | 23,339 | 2,304,026 | |||||||||
Edison International | 11,465 | 662,906 | |||||||||
Entergy Corp. | 6,083 | 606,475 | |||||||||
Evergy, Inc. | 6,920 | 418,176 | |||||||||
Eversource Energy | 10,359 | 831,206 | |||||||||
Exelon Corp. | 29,657 | 1,314,102 | |||||||||
FirstEnergy Corp. | 16,464 | 612,626 | |||||||||
NextEra Energy, Inc. | 59,530 | 4,362,358 | |||||||||
Pinnacle West Capital Corp. | 3,375 | 276,649 | |||||||||
PPL Corp. | 23,349 | 653,072 | |||||||||
The Southern Co. | 32,119 | 1,943,521 | |||||||||
Xcel Energy, Inc. | 16,240 | 1,069,891 | |||||||||
16,755,213 |
Shares | Value(a) | ||||||||||
Gas Utilities (0.1%) | |||||||||||
Atmos Energy Corp. | 3,873 | $ | 372,234 | ||||||||
ONEOK, Inc. | 13,469 | 749,415 | |||||||||
1,121,649 | |||||||||||
Independent Power Producers & Energy Traders (0.1%) | |||||||||||
NRG Energy, Inc. | 7,361 | 296,648 | |||||||||
The AES Corp. | 20,221 | 527,162 | |||||||||
823,810 | |||||||||||
Multi-Utilities (0.7%) | |||||||||||
Ameren Corp. | 7,687 | 615,267 | |||||||||
CenterPoint Energy, Inc. | 17,618 | 431,993 | |||||||||
CMS Energy Corp. | 8,704 | 514,232 | |||||||||
Consolidated Edison, Inc. | 10,341 | 741,657 | |||||||||
Dominion Energy, Inc. | 24,467 | 1,800,037 | |||||||||
DTE Energy Co. | 5,847 | 757,771 | |||||||||
NiSource, Inc. | 11,817 | 289,517 | |||||||||
Public Service Enterprise Group, Inc. | 15,302 | 914,142 | |||||||||
Sempra Energy | 9,507 | 1,259,487 | |||||||||
WEC Energy Group, Inc. | 9,518 | 846,626 | |||||||||
8,170,729 | |||||||||||
Water Utilities (0.1%) | |||||||||||
American Water Works Co., Inc. | 5,432 | 837,234 | |||||||||
Total common stocks (cost: $331,841,447) | 1,102,164,176 | ||||||||||
Short-Term Securities (1.9%) | |||||||||||
Investment Companies (1.9%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.250% | 21,649,608 | 21,649,608 | |||||||||
Total short-term securities (cost: $21,649,608) | 21,649,608 | ||||||||||
Total investments in securities (cost: $353,491,055) (e) | 1,123,813,784 | ||||||||||
Liabilities in excess of cash and other assets (-0.1%) | (786,994 | ) | |||||||||
Total net assets (100.0%) | $ | 1,123,026,790 |
See accompanying notes to financial statements.
44
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 the financial statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 3.4% of net assets in foreign securities at June 30, 2021.
(d) Fully or partially pledged as initial margin deposits on open futures contracts.
Holdings of Open Futures Contracts
On June 30, 2021, securities with an aggregate market value of $19,174,400 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 500 E-Mini Index Future | September 2021 | 97 | Long | $ | 20,360,781 | $ | 20,799,710 | $ | 438,929 |
(e) At June 30, 2021, the cost of investments for federal income tax purposes was $356,359,256. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 773,860,272 | |||||
Gross unrealized depreciation | (5,966,815 | ) | |||||
Net unrealized appreciation | $ | 767,893,457 |
See accompanying notes to financial statements.
45
SFT International Bond Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Principal(b) | Value(a) | ||||||||||
Long-Term Debt Securities (90.9%) | |||||||||||
Australia (4.5%) | |||||||||||
Government (4.5%) | |||||||||||
Australia Government Bond (AUD) 5.750%, 07/15/22 | 2,370,000 | $ | 1,885,091 | ||||||||
New South Wales Treasury Corp. (AUD) 4.000%, 04/20/23 | 530,000 | 425,870 | |||||||||
Queensland Treasury Corp. (AUD) 4.250%, 07/21/23 (c) | 1,050,000 | 854,102 | |||||||||
Western Australian Treasury Corp. (AUD) 6.000%, 10/16/23 | 1,110,000 | 944,208 | |||||||||
4,109,271 | |||||||||||
Brazil (3.0%) | |||||||||||
Government (3.0%) | |||||||||||
Brazil Notas do Tesouro Nacional Serie F (BRL) 10.000%, 01/01/27 | 10,750,000 | 2,171,242 | |||||||||
10.000%, 01/01/29 | 2,940,000 | 595,310 | |||||||||
2,766,552 | |||||||||||
Colombia (3.6%) | |||||||||||
Government (3.6%) | |||||||||||
Colombian TES (COP) 6.000%, 04/28/28 | 7,900,000,000 | 2,042,660 | |||||||||
6.250%, 11/26/25 | 4,800,000,000 | 1,309,857 | |||||||||
3,352,517 | |||||||||||
Indonesia (3.3%) | |||||||||||
Government (3.3%) | |||||||||||
Indonesia Treasury Bond (IDR) 9.000%, 03/15/29 | 38,500,000,000 | 3,069,114 | |||||||||
Mexico (10.6%) | |||||||||||
Energy (1.6%) | |||||||||||
Petroleos Mexicanos (USD) 6.750%, 09/21/47 | 240,000 | 212,464 | |||||||||
7.690%, 01/23/50 | 1,300,000 | 1,252,433 | |||||||||
1,464,897 | |||||||||||
Government (9.0%) | |||||||||||
Mexican Bonos (MXN) 7.750%, 11/13/42 | 53,400,000 | 2,783,306 | |||||||||
8.000%, 11/07/47 | 17,300,000 | 917,710 | |||||||||
8.500%, 05/31/29 | 40,800,000 | 2,268,437 | |||||||||
8.500%, 11/18/38 | 42,800,000 | 2,373,418 | |||||||||
8,342,871 | |||||||||||
Russia (0.4%) | |||||||||||
Government (0.4%) | |||||||||||
Russian Federal Bond — OFZ (RUB) 7.650%, 04/10/30 | 29,000,000 | 413,085 |
Principal(b) | Value(a) | ||||||||||
South Africa (5.2%) | |||||||||||
Government (5.2%) | |||||||||||
Republic of South Africa Government Bond (ZAR) 6.500%, 02/28/41 | 40,570,000 | $ | 1,907,861 | ||||||||
8.750%, 02/28/48 | 48,020,000 | 2,845,311 | |||||||||
4,753,172 | |||||||||||
United States (60.3%) | |||||||||||
Consumer, Cyclical (1.0%) | |||||||||||
General Motors Co. (USD) 6.250%, 10/02/43 | 410,000 | 565,824 | |||||||||
6.800%, 10/01/27 | 250,000 | 314,899 | |||||||||
880,723 | |||||||||||
Energy (3.3%) | |||||||||||
Apache Corp. (USD) 4.250%, 01/15/44 | 170,000 | 167,025 | |||||||||
4.750%, 04/15/43 | 580,000 | 592,325 | |||||||||
5.350%, 07/01/49 | 180,000 | 189,450 | |||||||||
Exxon Mobil Corp. (USD) 3.452%, 04/15/51 | 560,000 | 607,661 | |||||||||
Occidental Petroleum Corp. (USD) 4.200%, 03/15/48 | 480,000 | 448,800 | |||||||||
4.400%, 04/15/46 | 520,000 | 501,150 | |||||||||
4.400%, 08/15/49 | 240,000 | 227,100 | |||||||||
6.200%, 03/15/40 | 120,000 | 135,600 | |||||||||
6.600%, 03/15/46 | 180,000 | 213,975 | |||||||||
3,083,086 | |||||||||||
Financial (1.6%) | |||||||||||
Athene Global Funding (USD) 0.739%, 05/24/24 (SOFRRATE + 0.700%) (c) (d) | 1,460,000 | 1,466,287 | |||||||||
Government (51.2%) | |||||||||||
U.S. Treasury Note (USD) 0.099%, 01/31/23 (3-Month U.S. Treasury Money Market Yield + 0.049%) (d) | 47,145,000 | 47,160,338 | |||||||||
Industrial (3.2%) | |||||||||||
Caterpillar Financial Services Corp. (USD) 0.185%, 11/17/22 (SOFRRATE + 0.150%) (d) | 1,105,000 | 1,105,194 | |||||||||
The Boeing Co. (USD) 3.950%, 08/01/59 | 340,000 | 354,444 | |||||||||
5.705%, 05/01/40 | 200,000 | 258,002 | |||||||||
5.805%, 05/01/50 | 570,000 | 766,255 | |||||||||
5.930%, 05/01/60 | 330,000 | 455,932 | |||||||||
2,939,827 | |||||||||||
Total long-term debt securities (cost: $83,092,496) | 83,801,740 |
See accompanying notes to financial statements.
46
SFT International Bond Fund
Investments in Securities – continued
Principal(b)/ Shares | Value(a) | ||||||||||
Short-Term Securities (7.7%) | |||||||||||
United States (5.5%) | |||||||||||
U.S. Treasury Bill (USD) 0.023%, 08/03/21 (e) | 2,800,000 | $ | 2,799,897 | ||||||||
0.028%, 08/03/21 (e) | 2,210,000 | 2,209,919 | |||||||||
5,009,816 | |||||||||||
Investment Companies (2.2%) | |||||||||||
United States (2.2%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 2,049,325 | 2,049,325 | |||||||||
Total short-term securities (cost: $7,059,258) | 7,059,141 | ||||||||||
Total investments in securities (cost: $90,151,754) (f) | 90,860,881 | ||||||||||
Cash and other assets in excess of liabilities (1.4%) | 1,248,324 | ||||||||||
Total net assets (100.0%) | $ | 92,109,205 |
Foreign Forward Currency Contracts
On June 30, 2021, SFT 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 | ||||||||||||||||||||||||||
07/13/21 | 135,135 | USD | 4,200,000 | THB | $ | – | $ | (4,090 | ) | HSB | |||||||||||||||||||||
07/14/21 | 11,500,000 | BRL | 2,118,332 | USD | – | (170,704 | ) | JPM | |||||||||||||||||||||||
07/15/21 | 532,946 | USD | 2,200,000 | MYR | – | (3,294 | ) | BLC | |||||||||||||||||||||||
07/19/21 | 266,398 | USD | 370,000 | NZD | – | (7,871 | ) | GSC | |||||||||||||||||||||||
07/19/21 | 200,000 | NZD | 142,679 | USD | 2,934 | – | HSB | ||||||||||||||||||||||||
07/19/21 | 170,000 | NZD | 122,111 | USD | 3,328 | – | HSB | ||||||||||||||||||||||||
07/20/21 | 1,285,109 | USD | 4,840,000 | PLN | – | (13,628 | ) | GSC | |||||||||||||||||||||||
07/26/21 | 428,411 | USD | 350,000 | EUR | – | (13,142 | ) | JPM | |||||||||||||||||||||||
07/26/21 | 2,710,000 | EUR | 3,274,619 | USD | 59,255 | – | JPM | ||||||||||||||||||||||||
07/26/21 | 590,000 | EUR | 703,559 | USD | 3,535 | – | MSC | ||||||||||||||||||||||||
07/28/21 | 4,100,000,000 | IDR | 283,884 | USD | 1,682 | – | JPM | ||||||||||||||||||||||||
07/28/21 | 121,800,000,000 | IDR | 8,359,643 | USD | – | (23,831 | ) | JPM | |||||||||||||||||||||||
07/28/21 | 5,859,676 | USD | 83,600,000,000 | IDR | – | �� | (105,502 | ) | JPM | ||||||||||||||||||||||
07/29/21 | 15,490,335 | USD | 17,470,000,000 | KRW | 32,207 | – | JPM | ||||||||||||||||||||||||
07/29/21 | 10,500,000,000 | COP | 2,708,978 | USD | – | (99,543 | ) | JPM | |||||||||||||||||||||||
07/29/21 | 16,500,000,000 | KRW | 14,712,176 | USD | 51,504 | – | JPM | ||||||||||||||||||||||||
07/29/21 | 650,000,000 | KRW | 571,982 | USD | – | (5,560 | ) | JPM | |||||||||||||||||||||||
07/29/21 | 320,000,000 | KRW | 282,247 | USD | – | (2,082 | ) | JPM | |||||||||||||||||||||||
08/10/21 | 499,688 | USD | 150,000,000 | HUF | 6,847 | – | GSC | ||||||||||||||||||||||||
08/13/21 | 299,000,000 | MXN | 14,631,869 | USD | – | (310,043 | ) | GSC | |||||||||||||||||||||||
08/13/21 | 7,432,323 | USD | 152,300,000 | MXN | 178,557 | – | GSC | ||||||||||||||||||||||||
08/13/21 | 1,321,323 | USD | 930,000,000 | CLP | – | (45,330 | ) | JPM | |||||||||||||||||||||||
08/16/21 | 270,000 | CAD | 223,473 | USD | 5,434 | – | GSC | ||||||||||||||||||||||||
08/17/21 | 63,500,000 | ZAR | 4,406,841 | USD | – | (15,501 | ) | GSC | |||||||||||||||||||||||
08/17/21 | 1,600,000 | ZAR | 112,003 | USD | 574 | – | HSB | ||||||||||||||||||||||||
08/24/21 | 254,000,000 | JPY | 2,295,595 | USD | 6,070 | – | JPM | ||||||||||||||||||||||||
08/25/21 | 1,270,000 | AUD | 979,081 | USD | 25,414 | – | HSB | ||||||||||||||||||||||||
08/25/21 | 4,570,000 | AUD | 3,558,613 | USD | 126,914 | – | JPM | ||||||||||||||||||||||||
08/26/21 | 146,909 | USD | 11,000,000 | RUB | 2,430 | – | JPM | ||||||||||||||||||||||||
$ | 506,685 | $ | (820,121 | ) |
See accompanying notes to financial statements.
47
SFT International Bond Fund
Investments in Securities – continued
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(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 exempt from registration pursuant to Rule 144A under 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.
(d) Variable rate security.
(e) Rate represents annualized yield at date of purchase.
(f) At June 30, 2021, the cost of investments for federal income tax purposes was $90,151,756. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 1,506,679 | |||||
Gross unrealized depreciation | (1,276,014 | ) | |||||
Net unrealized appreciation | $ | 230,665 |
Holdings of Open Futures Contracts
On June 30, 2021, $171,600 in cash has 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) | |||||||||||||||||||||
U.S. Ultra Bond | September 2021 | 24 | Short | $ | (4,459,476 | ) | $ | (4,624,500 | ) | $ | (165,024 | ) |
Currency Legend
AUD Australian Dollar
BRL Brazilian Real
CAD Canadian Dollar
CLP Chilean Peso
COP Colombian Peso
EUR Euro
HUF Hungarian Forint
IDR Indonesian Rupiah
JPY Japanese Yen
KRW South Korean Won
MXN Mexican Peso
MYR Malaysian Ringgit
NZD New Zealand Dollar
PLN Polish Zloty
RUB Russian Ruble
THB Thai Baht
USD United States Dollar
ZAR South African Rand
Counterparty Legend
BLC Barclays Bank PLC
GSC Goldman Sachs
HSB HSBC Bank PLC
JPM JPMorgan Chase Bank NA
MSC Morgan Stanley and Co., Inc.
See accompanying notes to financial statements.
48
SFT IvySM Growth Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (99.3%) | |||||||||||
Communication Services (0.9%) | |||||||||||
Interactive Media & Services (0.9%) | |||||||||||
Pinterest, Inc. Class A (b) | 80,263 | $ | 6,336,764 | ||||||||
Consumer Discretionary (13.2%) | |||||||||||
Automobiles (1.7%) | |||||||||||
Ferrari NV (c) | 54,140 | 11,155,547 | |||||||||
Hotels, Restaurants & Leisure (1.2%) | |||||||||||
Booking Holdings, Inc. (b) | 3,768 | 8,244,723 | |||||||||
Internet & Catalog Retail (6.5%) | |||||||||||
Amazon.com, Inc. (b) | 12,670 | 43,586,827 | |||||||||
Specialty Retail (2.6%) | |||||||||||
O'Reilly Automotive, Inc. (b) | 10,496 | 5,942,940 | |||||||||
The Home Depot, Inc. | 34,897 | 11,128,305 | |||||||||
17,071,245 | |||||||||||
Textiles, Apparel & Luxury Goods (1.2%) | |||||||||||
NIKE, Inc. Class B | 50,621 | 7,820,438 | |||||||||
Consumer Staples (2.3%) | |||||||||||
Beverages (1.8%) | |||||||||||
The Coca-Cola Co. | 227,939 | 12,333,779 | |||||||||
Personal Care (0.5%) | |||||||||||
The Estee Lauder Cos., Inc. Class A | 10,618 | 3,377,374 | |||||||||
Financial (3.3%) | |||||||||||
Capital Markets (3.3%) | |||||||||||
Intercontinental Exchange, Inc. | 78,073 | 9,267,265 | |||||||||
S&P Global, Inc. | 31,037 | 12,739,137 | |||||||||
22,006,402 | |||||||||||
Health Care (11.9%) | |||||||||||
Health Care Equipment & Supplies (5.0%) | |||||||||||
Danaher Corp. | 30,189 | 8,101,520 | |||||||||
DexCom, Inc. (b) | 5,138 | 2,193,926 | |||||||||
Intuitive Surgical, Inc. (b) | 9,688 | 8,909,472 | |||||||||
The Cooper Cos., Inc. | 35,502 | 14,068,378 | |||||||||
33,273,296 | |||||||||||
Health Care Providers & Services (3.0%) | |||||||||||
UnitedHealth Group, Inc. | 49,696 | 19,900,266 | |||||||||
Health Care Technology (2.5%) | |||||||||||
Cerner Corp. | 217,194 | 16,975,883 | |||||||||
Pharmaceuticals (1.4%) | |||||||||||
Zoetis, Inc. | 48,386 | 9,017,215 | |||||||||
Industrials (6.8%) | |||||||||||
Machinery (1.9%) | |||||||||||
Stanley Black & Decker, Inc. | 61,027 | 12,509,925 | |||||||||
Professional Services (2.5%) | |||||||||||
TransUnion | 84,771 | 9,308,703 | |||||||||
Verisk Analytics, Inc. | 41,412 | 7,235,505 | |||||||||
16,544,208 |
Shares | Value(a) | ||||||||||
Road & Rail (2.4%) | |||||||||||
JB Hunt Transport Services, Inc. | 61,295 | $ | 9,988,020 | ||||||||
Union Pacific Corp. | 28,588 | 6,287,359 | |||||||||
16,275,379 | |||||||||||
Information Technology (60.9%) | |||||||||||
Communications Equipment (3.6%) | |||||||||||
Motorola Solutions, Inc. | 110,518 | 23,965,828 | |||||||||
Computers & Peripherals (7.8%) | |||||||||||
Apple, Inc. | 380,032 | 52,049,183 | |||||||||
Interactive Media & Services (10.2%) | |||||||||||
Alphabet, Inc. Class A (b) | 14,882 | 36,338,719 | |||||||||
Alphabet, Inc. Class C (b) | 2,407 | 6,032,712 | |||||||||
Facebook, Inc. Class A (b) | 74,658 | 25,959,333 | |||||||||
68,330,764 | |||||||||||
IT Services (14.2%) | |||||||||||
Broadridge Financial Solutions, Inc. | 72,413 | 11,696,872 | |||||||||
Gartner, Inc. (b) | 61,634 | 14,927,755 | |||||||||
PayPal Holdings, Inc. (b) | 69,273 | 20,191,694 | |||||||||
VeriSign, Inc. (b) | 73,699 | 16,780,525 | |||||||||
Visa, Inc. Class A | 133,722 | 31,266,878 | |||||||||
94,863,724 | |||||||||||
Semiconductors & Semiconductor Equipment (3.5%) | |||||||||||
NVIDIA Corp. | 29,207 | 23,368,520 | |||||||||
Software (21.6%) | |||||||||||
Adobe, Inc. (b) | 34,665 | 20,301,211 | |||||||||
Electronic Arts, Inc. | 118,546 | 17,050,471 | |||||||||
Intuit, Inc. | 46,267 | 22,678,695 | |||||||||
Microsoft Corp. | 264,471 | 71,645,194 | |||||||||
Salesforce.com, Inc. (b) | 49,558 | 12,105,533 | |||||||||
143,781,104 | |||||||||||
Total common stocks (cost: $342,831,760) | 662,788,394 | ||||||||||
Short-Term Securities (0.8%) | |||||||||||
Investment Companies (0.8%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 5,118,286 | 5,118,286 | |||||||||
Total short-term securities (cost: $5,118,286) | 5,118,286 | ||||||||||
Total investments in securities (cost: $347,950,046) (d) | 667,906,680 | ||||||||||
Liabilities in excess of cash and other assets (-0.1%) | (769,699 | ) | |||||||||
Total net assets (100.0%) | $ | 667,136,981 |
See accompanying notes to financial statements.
49
SFT IvySM Growth Fund
Investments in Securities – continued
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 1.7% of net assets in foreign securities at June 30, 2021.
(d) At June 30, 2021, the cost of investments for federal income tax purposes was $348,785,069. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 319,121,611 | |||||
Gross unrealized depreciation | – | ||||||
Net unrealized appreciation | $ | 319,121,611 |
See accompanying notes to financial statements.
50
SFT IvySM Small Cap Growth Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (97.3%) | |||||||||||
Communication Services (1.6%) | |||||||||||
Diversified Telecommunication Services (1.0%) | |||||||||||
Bandwidth, Inc. Class A (b) | 15,382 | $ | 2,121,485 | ||||||||
Media (0.6%) | |||||||||||
Gray Television, Inc. | 59,965 | 1,403,181 | |||||||||
Consumer Discretionary (16.8%) | |||||||||||
Auto Components (3.1%) | |||||||||||
Fox Factory Holding Corp. (b) | 23,060 | 3,589,520 | |||||||||
Visteon Corp. (b) | 27,480 | 3,323,431 | |||||||||
6,912,951 | |||||||||||
Entertainment (0.9%) | |||||||||||
Monarch Casino & Resort, Inc. (b) | 30,616 | 2,025,861 | |||||||||
Hotels, Restaurants & Leisure (5.7%) | |||||||||||
Churchill Downs, Inc. | 16,513 | 3,273,867 | |||||||||
Marriott Vacations Worldwide Corp. (b) | 25,554 | 4,070,752 | |||||||||
Texas Roadhouse, Inc. | 30,190 | 2,904,278 | |||||||||
Wyndham Hotels & Resorts, Inc. | 35,302 | 2,551,982 | |||||||||
12,800,879 | |||||||||||
Household Durables (0.5%) | |||||||||||
TopBuild Corp. (b) | 5,501 | 1,087,988 | |||||||||
Leisure Equipment & Products (1.3%) | |||||||||||
Malibu Boats, Inc. Class A (b) | 39,840 | 2,921,467 | |||||||||
Leisure Product (0.5%) | |||||||||||
Latham Group, Inc. (b) | 33,117 | 1,058,419 | |||||||||
Media (1.8%) | |||||||||||
Nexstar Media Group, Inc. Class A | 26,960 | 3,986,845 | |||||||||
Specialty Retail (1.2%) | |||||||||||
Lithia Motors, Inc. Class A | 7,936 | 2,727,127 | |||||||||
Textiles, Apparel & Luxury Goods (1.8%) | |||||||||||
Deckers Outdoor Corp. (b) | 10,479 | 4,024,669 | |||||||||
Consumer, Non-cyclical (0.4%) | |||||||||||
Beverages (0.4%) | |||||||||||
The Duckhorn Portfolio, Inc. (b) | 45,587 | 1,005,649 | |||||||||
Energy (0.7%) | |||||||||||
Energy Equipment & Services (0.7%) | |||||||||||
Cactus, Inc. Class A | 26,418 | 970,069 | |||||||||
Liberty Oilfield Services, Inc. Class A (b) | 36,239 | 513,144 | |||||||||
1,483,213 | |||||||||||
Financial (5.0%) | |||||||||||
Capital Markets (3.0%) | |||||||||||
Focus Financial Partners, Inc. Class A (b) | 23,449 | 1,137,277 | |||||||||
Hamilton Lane, Inc. Class A | 17,746 | 1,617,016 | |||||||||
LPL Financial Holdings, Inc. | 6,637 | 895,862 |
Shares | Value(a) | ||||||||||
Open Lending Corp. Class A (b) | 68,793 | $ | 2,964,290 | ||||||||
6,614,445 | |||||||||||
Commercial Banks (2.0%) | |||||||||||
Pinnacle Financial Partners, Inc. | 36,106 | 3,187,799 | |||||||||
Seacoast Banking Corp. of Florida | 40,484 | 1,382,528 | |||||||||
4,570,327 | |||||||||||
Health Care (27.3%) | |||||||||||
Biotechnology (6.7%) | |||||||||||
Blueprint Medicines Corp. (b) | 2,200 | 193,512 | |||||||||
CareDx, Inc. (b) | 75,391 | 6,899,784 | |||||||||
Insmed, Inc. (b) | 37,037 | 1,054,073 | |||||||||
PTC Therapeutics, Inc. (b) | 4,532 | 191,568 | |||||||||
Twist Bioscience Corp. (b) | 4,479 | 596,827 | |||||||||
Veracyte, Inc. (b) | 30,631 | 1,224,627 | |||||||||
Vericel Corp. (b) | 92,987 | 4,881,817 | |||||||||
15,042,208 | |||||||||||
Health Care Equipment & Supplies (6.9%) | |||||||||||
Axonics, Inc. (b) | 55,261 | 3,504,100 | |||||||||
CryoPort, Inc. (b) | 47,732 | 3,011,889 | |||||||||
Penumbra, Inc. (b) | 10,136 | 2,777,872 | |||||||||
Tactile Systems Technology, Inc. (b) | 55,542 | 2,888,184 | |||||||||
Tandem Diabetes Care, Inc. (b) | 32,789 | 3,193,649 | |||||||||
15,375,694 | |||||||||||
Health Care Providers & Services (8.1%) | |||||||||||
1Life Healthcare, Inc. (b) | 48,162 | 1,592,236 | |||||||||
AMN Healthcare Services, Inc. (b) | 34,835 | 3,378,298 | |||||||||
Castle Biosciences, Inc. (b) | 25,761 | 1,889,054 | |||||||||
LHC Group, Inc. (b) | 14,659 | 2,935,611 | |||||||||
PetIQ, Inc. (b) | 142,161 | 5,487,415 | |||||||||
Progyny, Inc. (b) | 47,245 | 2,787,455 | |||||||||
18,070,069 | |||||||||||
Health Care Technology (3.5%) | |||||||||||
Omnicell, Inc. (b) | 24,534 | 3,715,674 | |||||||||
Tabula Rasa HealthCare, Inc. (b) | 40,086 | 2,004,300 | |||||||||
Vocera Communications, Inc. (b) | 53,957 | 2,150,187 | |||||||||
7,870,161 | |||||||||||
Life Sciences Tools & Services (1.7%) | |||||||||||
NeoGenomics, Inc. (b) | 45,895 | 2,073,077 | |||||||||
Quanterix Corp. (b) | 27,121 | 1,590,918 | |||||||||
3,663,995 | |||||||||||
Pharmaceuticals (0.4%) | |||||||||||
Pacira BioSciences, Inc. (b) | 13,941 | 845,940 | |||||||||
Industrials (15.2%) | |||||||||||
Aerospace & Defense (1.4%) | |||||||||||
Mercury Systems, Inc. (b) | 46,365 | 3,073,072 | |||||||||
Air Freight & Logistics (0.7%) | |||||||||||
Air Transport Services Group, Inc. (b) | 72,597 | 1,686,428 |
See accompanying notes to financial statements.
51
SFT IvySM Small Cap Growth Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Commercial Services & Supplies (3.7%) | |||||||||||
Clean Harbors, Inc. (b) | 30,543 | $ | 2,844,775 | ||||||||
The Brink's Co. | 69,375 | 5,330,775 | |||||||||
8,175,550 | |||||||||||
Construction & Engineering (1.4%) | |||||||||||
Valmont Industries, Inc. | 13,059 | 3,082,577 | |||||||||
Electrical Equipment (1.4%) | |||||||||||
EnerSys | 31,559 | 3,084,261 | |||||||||
Machinery (4.9%) | |||||||||||
Altra Industrial Motion Corp. | 49,171 | 3,197,098 | |||||||||
John Bean Technologies Corp. | 15,709 | 2,240,418 | |||||||||
Kennametal, Inc. | 74,188 | 2,664,833 | |||||||||
Kornit Digital, Ltd. (b) (c) | 11,717 | 1,456,775 | |||||||||
RBC Bearings, Inc. (b) | 7,578 | 1,511,205 | |||||||||
11,070,329 | |||||||||||
Road & Rail (1.7%) | |||||||||||
Knight-Swift Transportation Holdings, Inc. | 82,017 | 3,728,493 | |||||||||
Information Technology (28.2%) | |||||||||||
Communications Equipment (1.5%) | |||||||||||
Viavi Solutions, Inc. (b) | 186,237 | 3,288,946 | |||||||||
Computers & Peripherals (1.5%) | |||||||||||
NCR Corp. (b) | 75,204 | 3,430,055 | |||||||||
IT Services (4.5%) | |||||||||||
Evo Payments, Inc. Class A (b) | 76,340 | 2,117,671 | |||||||||
Shift4 Payments, Inc. Class A (b) | 56,358 | 5,281,872 | |||||||||
Switch, Inc. Class A | 128,382 | 2,710,144 | |||||||||
10,109,687 | |||||||||||
Semiconductors & Semiconductor Equipment (4.4%) | |||||||||||
Allegro MicroSystems, Inc. (b) | 92,648 | 2,566,350 | |||||||||
Enphase Energy, Inc. (b) | 3,079 | 565,397 | |||||||||
Monolithic Power Systems, Inc. | 11,174 | 4,172,930 | |||||||||
SiTime Corp. (b) | 19,636 | 2,485,721 | |||||||||
9,790,398 |
Shares | Value(a) | ||||||||||
Software (16.3%) | |||||||||||
Domo, Inc. Class B (b) | 31,020 | $ | 2,507,347 | ||||||||
Five9, Inc. (b) | 42,660 | 7,823,417 | |||||||||
Globant SA (b) (c) | 24,490 | 5,367,718 | |||||||||
LivePerson, Inc. (b) | 53,171 | 3,362,534 | |||||||||
Mimecast, Ltd. (b) (c) | 49,463 | 2,624,012 | |||||||||
Proofpoint, Inc. (b) | 5,168 | 897,992 | |||||||||
Q2 Holdings, Inc. (b) | 37,753 | 3,872,703 | |||||||||
Sailpoint Technologies Holdings, Inc. (b) | 34,708 | 1,772,538 | |||||||||
SimilarWeb, Ltd. (b) (c) | 11,696 | 230,411 | |||||||||
Smartsheet, Inc. Class A (b) | 28,332 | 2,048,970 | |||||||||
Varonis Systems, Inc. (b) | 101,938 | 5,873,667 | |||||||||
36,381,309 | |||||||||||
Leisure and Consumer Staples (2.1%) | |||||||||||
Food & Staples Retailing (0.9%) | |||||||||||
BJ's Wholesale Club Holdings, Inc. (b) | 43,928 | 2,090,094 | |||||||||
Food Products (1.2%) | |||||||||||
Nomad Foods, Ltd. (b) (c) | 95,105 | 2,688,619 | |||||||||
Total common stocks (cost: $145,880,447) | 217,292,391 | ||||||||||
Short-Term Securities (3.2%) | |||||||||||
Investment Companies (3.2%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 7,074,597 | 7,074,597 | |||||||||
Total short-term securities (cost: $7,074,597) | 7,074,597 | ||||||||||
Total investments in securities (cost: $152,955,044) (d) | 224,366,988 | ||||||||||
Liabilities in excess of cash and other assets (-0.5%) | (1,210,629 | ) | |||||||||
Total net assets (100.0%) | $ | 223,156,359 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 5.5% of net assets in foreign securities at June 30, 2021.
(d) At June 30, 2021, the cost of investments for federal income tax purposes was $153,488,937. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 71,676,441 | |||||
Gross unrealized depreciation | (798,390 | ) | |||||
Net unrealized appreciation | $ | 70,878,051 |
See accompanying notes to financial statements.
52
SFT Real Estate Securities Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (99.5%) | |||||||||||
Real Estate (99.5%) | |||||||||||
Diversified REITs (1.9%) | |||||||||||
Essential Properties Realty Trust, Inc. | 46,500 | $ | 1,257,360 | ||||||||
VEREIT, Inc. | 34,800 | 1,598,364 | |||||||||
2,855,724 | |||||||||||
Health Care REITs (8.9%) | |||||||||||
CareTrust REIT, Inc. | 44,200 | 1,026,766 | |||||||||
Healthpeak Properties, Inc. | 37,900 | 1,261,691 | |||||||||
Ventas, Inc. | 89,496 | 5,110,221 | |||||||||
Welltower, Inc. | 70,600 | 5,866,860 | |||||||||
13,265,538 | |||||||||||
Hotels & Resort REITs (5.2%) | |||||||||||
Host Hotels & Resorts, Inc. (b) | 133,146 | 2,275,465 | |||||||||
MGM Growth Properties LLC | 53,000 | 1,940,860 | |||||||||
Park Hotels & Resorts, Inc. (b) | 90,100 | 1,856,961 | |||||||||
Pebblebrook Hotel Trust | 43,600 | 1,026,780 | |||||||||
RLJ Lodging Trust | 43,600 | 664,028 | |||||||||
7,764,094 | |||||||||||
Industrial REITs (11.0%) | |||||||||||
Duke Realty Corp. | 68,100 | 3,224,535 | |||||||||
First Industrial Realty Trust, Inc. | 27,300 | 1,425,879 | |||||||||
ProLogis, Inc. | 98,081 | 11,723,622 | |||||||||
16,374,036 | |||||||||||
Office REITs (6.7%) | |||||||||||
Alexandria Real Estate Equities, Inc. | 15,322 | 2,787,685 | |||||||||
Boston Properties, Inc. | 23,383 | 2,679,458 | |||||||||
Highwoods Properties, Inc. | 39,200 | 1,770,664 | |||||||||
Kilroy Realty Corp. | 38,536 | 2,683,647 | |||||||||
9,921,454 | |||||||||||
Residential REITs (25.6%) | |||||||||||
American Homes 4 Rent – Class A | 117,600 | 4,568,760 | |||||||||
AvalonBay Communities, Inc. | 28,126 | 5,869,615 | |||||||||
Camden Property Trust | 20,300 | 2,693,201 | |||||||||
Equity Lifestyle Properties, Inc. | 40,300 | 2,994,693 | |||||||||
Equity Residential | 25,800 | 1,986,600 | |||||||||
Essex Property Trust, Inc. | 11,300 | 3,390,113 |
Shares | Value(a) | ||||||||||
Invitation Homes, Inc. | 152,400 | $ | 5,682,996 | ||||||||
Mid-America Apartment Communities, Inc. | 15,300 | 2,576,826 | |||||||||
Sun Communities, Inc. | 23,200 | 3,976,480 | |||||||||
UDR, Inc. | 89,500 | 4,383,710 | |||||||||
38,122,994 | |||||||||||
Retail REITs (11.6%) | |||||||||||
Agree Realty Corp. | 28,300 | 1,994,867 | |||||||||
Brixmor Property Group, Inc. | 113,200 | 2,591,148 | |||||||||
Kimco Realty Corp. | 110,400 | 2,301,840 | |||||||||
National Retail Properties, Inc. | 52,100 | 2,442,448 | |||||||||
Realty Income Corp. | 19,300 | 1,288,082 | |||||||||
Regency Centers Corp. | 38,300 | 2,453,881 | |||||||||
Simon Property Group, Inc. | 31,679 | 4,133,476 | |||||||||
17,205,742 | |||||||||||
Specialized REITs (28.6%) | |||||||||||
American Tower Corp. | 18,300 | 4,943,562 | |||||||||
CyrusOne, Inc. | 8,300 | 593,616 | |||||||||
Digital Realty Trust, Inc. | 32,200 | 4,844,812 | |||||||||
Equinix, Inc. | 14,134 | 11,343,948 | |||||||||
Extra Space Storage, Inc. | 28,300 | 4,636,106 | |||||||||
Life Storage, Inc. | 29,950 | 3,215,133 | |||||||||
Public Storage | 25,400 | 7,637,526 | |||||||||
SBA Communications Corp. | 6,300 | 2,007,810 | |||||||||
VICI Properties, Inc. | 104,241 | 3,233,556 | |||||||||
42,456,069 | |||||||||||
Total common stocks (cost: $116,337,577) | 147,965,651 | ||||||||||
Short-Term Securities (0.3%) | |||||||||||
Investment Companies (0.3%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 378,163 | 378,163 | |||||||||
Total short-term securities (cost: $378,163) | 378,163 | ||||||||||
Total investments in securities (cost: $116,715,740) (c) | 148,343,814 | ||||||||||
Cash and other assets in excess of liabilities (0.2%) | 247,037 | ||||||||||
Total net assets (100.0%) | $ | 148,590,851 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(b) Non-income producing security.
(c) At June 30, 2021, the cost of investments for federal income tax purposes was $118,457,346. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 29,998,327 | |||||
Gross unrealized depreciation | (111,859 | ) | |||||
Net unrealized appreciation | $ | 29,886,468 |
See accompanying notes to financial statements.
53
SFT T. Rowe Price Value Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (99.1%) | |||||||||||
Communication Services (1.3%) | |||||||||||
Wireless Telecommunication Services (1.3%) | |||||||||||
T-Mobile US, Inc. (b) | 19,479 | $ | 2,821,144 | ||||||||
Consumer Discretionary (8.8%) | |||||||||||
Automobiles (0.7%) | |||||||||||
General Motors Co. (b) | 26,931 | 1,593,507 | |||||||||
Hotels & Resort REITs (0.7%) | |||||||||||
Hilton Worldwide Holdings, Inc. (b) | 13,393 | 1,615,464 | |||||||||
Hotels, Restaurants & Leisure (3.4%) | |||||||||||
Marriott International, Inc. Class A (b) | 9,799 | 1,337,760 | |||||||||
McDonald's Corp. | 2,374 | 548,370 | |||||||||
MGM Resorts International | 12,900 | 550,185 | |||||||||
Starbucks Corp. | 17,700 | 1,979,037 | |||||||||
Vail Resorts, Inc. (b) | 1,000 | 316,520 | |||||||||
Yum! Brands, Inc. | 25,269 | 2,906,693 | |||||||||
7,638,565 | |||||||||||
Media (1.9%) | |||||||||||
Charter Communications, Inc. Class A (b) | 390 | 281,365 | |||||||||
Comcast Corp. Class A | 18,800 | 1,071,976 | |||||||||
The Walt Disney Co. (b) | 17,290 | 3,039,063 | |||||||||
4,392,404 | |||||||||||
Multiline Retail (0.1%) | |||||||||||
Dollar Tree, Inc. (b) | 2,900 | 288,550 | |||||||||
Specialty Retail (2.0%) | |||||||||||
AutoZone, Inc. (b) | 540 | 805,799 | |||||||||
Lowe's Cos., Inc. | 1,300 | 252,161 | |||||||||
Ross Stores, Inc. | 1,005 | 124,620 | |||||||||
The Home Depot, Inc. | 5,129 | 1,635,587 | |||||||||
The TJX Cos., Inc. | 23,872 | 1,609,450 | |||||||||
4,427,617 | |||||||||||
Consumer Staples (0.5%) | |||||||||||
Food & Staples Retailing (0.5%) | |||||||||||
Walmart, Inc. | 8,300 | 1,170,466 | |||||||||
Energy (0.7%) | |||||||||||
Oil, Gas & Consumable Fuels (0.7%) | |||||||||||
Devon Energy Corp. | 54,685 | 1,596,255 | |||||||||
Financial (20.8%) | |||||||||||
Capital Markets (7.1%) | |||||||||||
Apollo Global Management, Inc. | 12,800 | 796,160 | |||||||||
Morgan Stanley | 92,002 | 8,435,663 | |||||||||
The Charles Schwab Corp. | 61,165 | 4,453,424 | |||||||||
The Goldman Sachs Group, Inc. | 6,292 | 2,388,003 | |||||||||
16,073,250 | |||||||||||
Commercial Banks (7.0%) | |||||||||||
Bank of America Corp. | 171,515 | 7,071,563 | |||||||||
Citigroup, Inc. | 8,600 | 608,450 | |||||||||
JPMorgan Chase & Co. | 13,497 | 2,099,323 |
Shares | Value(a) | ||||||||||
The PNC Financial Services Group, Inc. | 1,996 | $ | 380,757 | ||||||||
Wells Fargo & Co. | 128,837 | 5,835,028 | |||||||||
15,995,121 | |||||||||||
Diversified Financial Services (1.0%) | |||||||||||
Equitable Holdings, Inc. | 75,669 | 2,304,121 | |||||||||
Insurance (5.7%) | |||||||||||
American International Group, Inc. | 97,034 | 4,618,819 | |||||||||
Chubb, Ltd. (c) | 9,201 | 1,462,407 | |||||||||
Loews Corp. | 4,231 | 231,224 | |||||||||
Marsh & McLennan Cos., Inc. | 6,773 | 952,826 | |||||||||
MetLife, Inc. | 47,438 | 2,839,164 | |||||||||
The Hartford Financial Services Group, Inc. | 29,296 | 1,815,473 | |||||||||
The Travelers Cos., Inc. | 6,200 | 928,202 | |||||||||
12,848,115 | |||||||||||
Health Care (14.9%) | |||||||||||
Biotechnology (0.6%) | |||||||||||
AbbVie, Inc. | 11,261 | 1,268,439 | |||||||||
Health Care Equipment & Supplies (5.0%) | |||||||||||
Abbott Laboratories | 12,727 | 1,475,441 | |||||||||
Becton Dickinson and Co. | 799 | 194,309 | |||||||||
Danaher Corp. | 16,993 | 4,560,241 | |||||||||
Medtronic PLC (c) | 23,221 | 2,882,423 | |||||||||
Stryker Corp. | 5,645 | 1,466,176 | |||||||||
Teleflex, Inc. | 1,603 | 644,069 | |||||||||
Zimmer Biomet Holdings, Inc. | 1,400 | 225,148 | |||||||||
11,447,807 | |||||||||||
Health Care Providers & Services (3.5%) | |||||||||||
Anthem, Inc. | 6,230 | 2,378,614 | |||||||||
Centene Corp. (b) | 13,900 | 1,013,727 | |||||||||
Cigna Corp. | 835 | 197,954 | |||||||||
HCA Healthcare, Inc. | 11,811 | 2,441,806 | |||||||||
UnitedHealth Group, Inc. | 4,891 | 1,958,552 | |||||||||
7,990,653 | |||||||||||
Life Sciences Tools & Services (2.9%) | |||||||||||
Agilent Technologies, Inc. | 15,833 | 2,340,276 | |||||||||
Thermo Fisher Scientific, Inc. | 8,228 | 4,150,779 | |||||||||
6,491,055 | |||||||||||
Pharmaceuticals (2.9%) | |||||||||||
AstraZeneca PLC ADR (c) | 23,821 | 1,426,878 | |||||||||
Bausch Health Cos., Inc. (b) | 24,404 | 715,525 | |||||||||
Elanco Animal Health, Inc. (b) | 47,285 | 1,640,317 | |||||||||
Eli Lilly & Co. | 12,400 | 2,846,048 | |||||||||
6,628,768 | |||||||||||
Industrials (13.0%) | |||||||||||
Air Freight & Logistics (1.7%) | |||||||||||
FedEx Corp. | 5,712 | 1,704,061 | |||||||||
United Parcel Service, Inc. Class B | 10,935 | 2,274,152 | |||||||||
3,978,213 |
See accompanying notes to financial statements.
54
SFT T. Rowe Price Value Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Airlines (0.4%) | |||||||||||
Southwest Airlines Co. (b) | 15,608 | $ | 828,629 | ||||||||
Commercial Services & Supplies (0.0%) | |||||||||||
Republic Services, Inc. | 109 | 11,991 | |||||||||
Construction & Engineering (1.0%) | |||||||||||
Jacobs Engineering Group, Inc. | 16,900 | 2,254,798 | |||||||||
Electrical Equipment (0.9%) | |||||||||||
Hubbell, Inc. | 7,396 | 1,381,869 | |||||||||
Schneider Electric SE (c) | 3,592 | 565,184 | |||||||||
1,947,053 | |||||||||||
Industrial Conglomerates (5.0%) | |||||||||||
General Electric Co. | 583,920 | 7,859,563 | |||||||||
Honeywell International, Inc. | 11,931 | 2,617,065 | |||||||||
Siemens AG (c) | 6,324 | 1,002,102 | |||||||||
11,478,730 | |||||||||||
Machinery (1.9%) | |||||||||||
Caterpillar, Inc. | 13,574 | 2,954,109 | |||||||||
Deere & Co. | 2,339 | 824,989 | |||||||||
Fortive Corp. | 8,500 | 592,790 | |||||||||
4,371,888 | |||||||||||
Professional Services (0.3%) | |||||||||||
United Rentals, Inc. (b) | 1,923 | 613,456 | |||||||||
Road & Rail (1.8%) | |||||||||||
CSX Corp. | 24,216 | 776,849 | |||||||||
Norfolk Southern Corp. | 9,906 | 2,629,152 | |||||||||
Union Pacific Corp. | 2,822 | 620,642 | |||||||||
4,026,643 | |||||||||||
Information Technology (21.7%) | |||||||||||
Computers & Peripherals (0.2%) | |||||||||||
Apple, Inc. | 2,400 | 328,704 | |||||||||
Interactive Media & Services (6.8%) | |||||||||||
Alphabet, Inc. Class C (b) | 6,088 | 15,258,476 | |||||||||
Facebook, Inc. Class A (b) | 800 | 278,168 | |||||||||
15,536,644 | |||||||||||
IT Services (1.5%) | |||||||||||
Fiserv, Inc. (b) | 12,551 | 1,341,576 | |||||||||
Visa, Inc. Class A | 8,500 | 1,987,470 | |||||||||
3,329,046 | |||||||||||
Semiconductors & Semiconductor Equipment (8.3%) | |||||||||||
Analog Devices, Inc. | 13,555 | 2,333,629 | |||||||||
Applied Materials, Inc. | 38,618 | 5,499,203 | |||||||||
ASML Holding NV (c) | 2,221 | 1,534,356 | |||||||||
Broadcom, Inc. | 5,125 | 2,443,805 | |||||||||
KLA Corp. | 4,504 | 1,460,242 | |||||||||
Microchip Technology, Inc. | 5,300 | 793,622 | |||||||||
NXP Semiconductors NV (c) | 10,843 | 2,230,622 | |||||||||
QUALCOMM, Inc. | 12,159 | 1,737,886 | |||||||||
Texas Instruments, Inc. | 4,212 | 809,967 | |||||||||
18,843,332 | |||||||||||
Software (4.9%) | |||||||||||
Citrix Systems, Inc. | 4,400 | 515,988 |
Shares | Value(a) | ||||||||||
Microsoft Corp. | 36,057 | $ | 9,767,841 | ||||||||
Salesforce.com, Inc. (b) | 3,677 | 898,181 | |||||||||
11,182,010 | |||||||||||
Materials (8.8%) | |||||||||||
Chemicals (3.5%) | |||||||||||
Eastman Chemical Co. | 3,637 | 424,620 | |||||||||
International Flavors & Fragrances, Inc. | 6,282 | 938,531 | |||||||||
Linde PLC (c) | 12,841 | 3,712,333 | |||||||||
PPG Industries, Inc. | 10,898 | 1,850,153 | |||||||||
The Sherwin-Williams Co. | 3,750 | 1,021,688 | |||||||||
7,947,325 | |||||||||||
Commercial Services & Supplies (0.4%) | |||||||||||
Avery Dennison Corp. | 4,130 | 868,291 | |||||||||
Construction Materials (0.2%) | |||||||||||
Martin Marietta Materials, Inc. | 1,190 | 418,654 | |||||||||
Vulcan Materials Co. | 1,044 | 181,729 | |||||||||
600,383 | |||||||||||
Containers & Packaging (4.7%) | |||||||||||
International Paper Co. | 66,825 | 4,097,041 | |||||||||
Packaging Corp. of America | 16,458 | 2,228,742 | |||||||||
WestRock Co. | 81,314 | 4,327,531 | |||||||||
10,653,314 | |||||||||||
Real Estate (4.4%) | |||||||||||
Health Care REITs (0.9%) | |||||||||||
Welltower, Inc. | 24,797 | 2,060,631 | |||||||||
Industrial REITs (1.9%) | |||||||||||
ProLogis, Inc. | 35,565 | 4,251,084 | |||||||||
Office REITs (0.2%) | |||||||||||
Alexandria Real Estate Equities, Inc. | 2,523 | 459,035 | |||||||||
Residential REITs (0.7%) | |||||||||||
Camden Property Trust | 9,600 | 1,273,632 | |||||||||
Equity Lifestyle Properties, Inc. | 5,770 | 428,769 | |||||||||
1,702,401 | |||||||||||
Specialized REITs (0.7%) | |||||||||||
Equinix, Inc. | 1,800 | 1,444,680 | |||||||||
Weyerhaeuser Co. | 3,267 | 112,450 | |||||||||
1,557,130 | |||||||||||
Utilities (4.2%) | |||||||||||
Electric Utilities (1.7%) | |||||||||||
Evergy, Inc. | 7,600 | 459,268 | |||||||||
NextEra Energy, Inc. | 26,274 | 1,925,359 | |||||||||
The Southern Co. | 24,540 | 1,484,915 | |||||||||
3,869,542 | |||||||||||
Independent Power Producers & Energy Traders (0.2%) | |||||||||||
The AES Corp. | 18,319 | 477,576 | |||||||||
Multi-Utilities (2.3%) | |||||||||||
Ameren Corp. | 1,756 | 140,550 | |||||||||
CMS Energy Corp. | 1,660 | 98,073 | |||||||||
Dominion Energy, Inc. | 7,305 | 537,429 |
See accompanying notes to financial statements.
55
SFT T. Rowe Price Value Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Public Service Enterprise Group, Inc. | 9,482 | $ | 566,455 | ||||||||
Sempra Energy | 27,759 | 3,677,512 | |||||||||
WEC Energy Group, Inc. | 2,196 | 195,334 | |||||||||
5,215,353 | |||||||||||
Total common stocks (cost: $175,684,539) | 224,984,503 | ||||||||||
Preferred Stocks (0.3%) | |||||||||||
Media (0.0%) | |||||||||||
ViacomCBS, Inc., 5.750% | 462 | 34,248 | |||||||||
Utilities (0.3%) | |||||||||||
The AES Corp. , 6.875% | 4,813 | 517,734 | |||||||||
The Southern Co. Series 2019, 6.750% | 5,052 | 255,783 | |||||||||
773,517 | |||||||||||
Total Preferred Stocks (cost: $767,565) | 807,765 |
Shares | Value(a) | ||||||||||
Short-Term Securities (0.5%) | |||||||||||
Investment Companies (0.5%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 500,000 | $ | 500,000 | ||||||||
T. Rowe Price Reserve Investment Fund, current rate 0.030% | 638,037 | 638,037 | |||||||||
Total short-term securities (cost: $1,138,037) | 1,138,037 | ||||||||||
Total investments in securities (cost: $177,590,141) (d) | 226,930,305 | ||||||||||
Cash and other assets in excess of liabilities (0.1%) | 160,138 | ||||||||||
Total net assets (100.0%) | $ | 227,090,443 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 6.5% of net assets in foreign securities at June 30, 2021.
(d) At June 30, 2021, the cost of investments for federal income tax purposes was $178,849,378. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 48,523,805 | |||||
Gross unrealized depreciation | (442,878 | ) | |||||
Net unrealized appreciation | $ | 48,080,927 |
See accompanying notes to financial statements.
56
SFT Wellington Core Equity Fund
Investments in Securities
June 30, 2021
(Unaudited)
(Percentages of each investment category relate to total net assets)
Shares | Value(a) | ||||||||||
Common Stocks (99.7%) | |||||||||||
Communications (1.1%) | |||||||||||
Diversified Telecommunication Services (1.1%) | |||||||||||
Verizon Communications, Inc. | 28,107 | $ | 1,574,835 | ||||||||
Consumer Discretionary (14.5%) | |||||||||||
Automobiles (0.4%) | |||||||||||
Tesla, Inc. (b) | 746 | 507,056 | |||||||||
Media (2.2%) | |||||||||||
The Walt Disney Co. (b) | 17,123 | 3,009,710 | |||||||||
Hotels, Restaurants & Leisure (2.5%) | |||||||||||
Airbnb, Inc. Class A (b) | 5,221 | 799,544 | |||||||||
Booking Holdings, Inc. (b) | 453 | 991,205 | |||||||||
McDonald's Corp. | 7,510 | 1,734,735 | |||||||||
3,525,484 | |||||||||||
Internet & Catalog Retail (5.5%) | |||||||||||
Amazon.com, Inc. (b) | 1,685 | 5,796,669 | |||||||||
Netflix, Inc. (b) | 3,384 | 1,787,463 | |||||||||
7,584,132 | |||||||||||
Specialty Retail (1.6%) | |||||||||||
The TJX Cos., Inc. | 32,197 | 2,170,722 | |||||||||
Textiles, Apparel & Luxury Goods (2.3%) | |||||||||||
NIKE, Inc. Class B | 11,864 | 1,832,869 | |||||||||
VF Corp. | 16,398 | 1,345,292 | |||||||||
3,178,161 | |||||||||||
Consumer Staples (6.6%) | |||||||||||
Beverages (2.3%) | |||||||||||
Constellation Brands, Inc. Class A | 7,862 | 1,838,843 | |||||||||
Monster Beverage Corp. (b) | 14,989 | 1,369,245 | |||||||||
3,208,088 | |||||||||||
Food & Staples Retailing (1.3%) | |||||||||||
Walmart, Inc. | 13,204 | 1,862,028 | |||||||||
Household Products (3.0%) | |||||||||||
Colgate-Palmolive Co. | 16,756 | 1,363,101 | |||||||||
The Procter & Gamble Co. | 20,174 | 2,722,078 | |||||||||
4,085,179 | |||||||||||
Energy (1.3%) | |||||||||||
Oil, Gas & Consumable Fuels (1.3%) | |||||||||||
EOG Resources, Inc. | 21,756 | 1,815,321 | |||||||||
Financial (12.5%) | |||||||||||
Capital Markets (4.0%) | |||||||||||
BlackRock, Inc. | 1,918 | 1,678,192 | |||||||||
Morgan Stanley | 27,794 | 2,548,432 | |||||||||
The Charles Schwab Corp. | 18,375 | 1,337,884 | |||||||||
5,564,508 | |||||||||||
Commercial Banks (6.1%) | |||||||||||
Bank of America Corp. | 77,457 | 3,193,552 | |||||||||
JPMorgan Chase & Co. | 22,023 | 3,425,458 |
Shares | Value(a) | ||||||||||
The PNC Financial Services Group, Inc. | 9,241 | $ | 1,762,813 | ||||||||
8,381,823 | |||||||||||
Consumer Finance (1.5%) | |||||||||||
American Express Co. | 12,284 | 2,029,685 | |||||||||
Insurance (0.9%) | |||||||||||
Chubb, Ltd. (c) | 7,520 | 1,195,229 | |||||||||
Health Care (14.1%) | |||||||||||
Biotechnology (0.9%) | |||||||||||
Regeneron Pharmaceuticals, Inc. (b) | 2,207 | 1,232,698 | |||||||||
Health Care Equipment & Supplies (5.1%) | |||||||||||
Abbott Laboratories | 10,844 | 1,257,145 | |||||||||
Baxter International, Inc. | 17,195 | 1,384,197 | |||||||||
Becton Dickinson and Co. | 5,696 | 1,385,210 | |||||||||
Danaher Corp. | 6,591 | 1,768,761 | |||||||||
Hologic, Inc. (b) | 17,721 | 1,182,345 | |||||||||
6,977,658 | |||||||||||
Health Care Providers & Services (3.2%) | |||||||||||
Laboratory Corp. of America Holdings (b) | 4,383 | 1,209,051 | |||||||||
UnitedHealth Group, Inc. | 7,994 | 3,201,117 | |||||||||
4,410,168 | |||||||||||
Life Sciences Tools & Services (1.4%) | |||||||||||
Thermo Fisher Scientific, Inc. | 3,947 | 1,991,143 | |||||||||
Pharmaceuticals (3.5%) | |||||||||||
Eli Lilly & Co. | 11,453 | 2,628,693 | |||||||||
Merck & Co., Inc. | 29,089 | 2,262,251 | |||||||||
4,890,944 | |||||||||||
Industrials (8.9%) | |||||||||||
Aerospace & Defense (1.2%) | |||||||||||
Raytheon Technologies Corp. | 19,252 | 1,642,388 | |||||||||
Air Freight & Logistics (1.4%) | |||||||||||
FedEx Corp. | 6,635 | 1,979,420 | |||||||||
Building Products (1.1%) | |||||||||||
Fortune Brands Home & Security, Inc. | 15,203 | 1,514,371 | |||||||||
Commercial Services & Supplies (0.5%) | |||||||||||
Republic Services, Inc. | 6,239 | 686,352 | |||||||||
Electrical Equipment (1.0%) | |||||||||||
AMETEK, Inc. | 10,849 | 1,448,341 | |||||||||
Machinery (2.7%) | |||||||||||
Deere & Co. | 3,304 | 1,165,354 | |||||||||
IDEX Corp. | 5,815 | 1,279,591 | |||||||||
Illinois Tool Works, Inc. | 5,482 | 1,225,556 | |||||||||
3,670,501 | |||||||||||
Professional Services (1.0%) | |||||||||||
Equifax, Inc. | 5,994 | 1,435,623 |
See accompanying notes to financial statements.
57
SFT Wellington Core Equity Fund
Investments in Securities – continued
Shares | Value(a) | ||||||||||
Information Technology (35.7%) | |||||||||||
Communications Equipment (1.3%) | |||||||||||
Motorola Solutions, Inc. | 8,454 | $ | 1,833,250 | ||||||||
Computers & Peripherals (5.8%) | |||||||||||
Apple, Inc. | 49,136 | 6,729,666 | |||||||||
NetApp, Inc. | 14,979 | 1,225,582 | |||||||||
7,955,248 | |||||||||||
Electronic Equipment, Instruments & Components (2.2%) | |||||||||||
CDW Corp. | 7,669 | 1,339,391 | |||||||||
Corning, Inc. | 40,331 | 1,649,538 | |||||||||
2,988,929 | |||||||||||
Interactive Media & Services (9.0%) | |||||||||||
Alphabet, Inc. Class A (b) | 3,003 | 7,332,696 | |||||||||
Facebook, Inc. Class A (b) | 11,735 | 4,080,377 | |||||||||
GoDaddy, Inc. Class A (b) | 11,168 | 971,169 | |||||||||
12,384,242 | |||||||||||
IT Services (4.5%) | |||||||||||
Fidelity National Information Services, Inc. | 9,182 | 1,300,814 | |||||||||
Global Payments, Inc. | 6,773 | 1,270,208 | |||||||||
Leidos Holdings, Inc. | 14,357 | 1,451,493 | |||||||||
Mastercard, Inc. Class A | 6,195 | 2,261,733 | |||||||||
6,284,248 | |||||||||||
Semiconductors & Semiconductor Equipment (5.1%) | |||||||||||
Advanced Micro Devices, Inc. (b) | 14,187 | 1,332,585 | |||||||||
KLA Corp. | 3,614 | 1,171,695 | |||||||||
QUALCOMM, Inc. | 9,572 | 1,368,126 | |||||||||
Teradyne, Inc. | 6,588 | 882,528 | |||||||||
Texas Instruments, Inc. | 11,810 | 2,271,063 | |||||||||
7,025,997 | |||||||||||
Software (7.8%) | |||||||||||
Microsoft Corp. | 25,844 | 7,001,140 | |||||||||
Salesforce.com, Inc. (b) | 8,442 | 2,062,127 | |||||||||
SS&C Technologies Holdings, Inc. | 8,940 | 644,216 | |||||||||
Workday, Inc. Class A (b) | 4,654 | 1,111,096 | |||||||||
10,818,579 |
Shares | Value(a) | ||||||||||
Materials (1.2%) | |||||||||||
Chemicals (1.2%) | |||||||||||
PPG Industries, Inc. | 9,458 | $ | 1,605,685 | ||||||||
Real Estate (1.7%) | |||||||||||
Specialized REITs (1.7%) | |||||||||||
American Tower Corp. | 5,467 | 1,476,855 | |||||||||
Gaming and Leisure Properties, Inc. | 19,959 | 924,701 | |||||||||
2,401,556 | |||||||||||
Utilities (2.1%) | |||||||||||
Electric Utilities (2.1%) | |||||||||||
American Electric Power Co., Inc. | 18,075 | 1,528,964 | |||||||||
Duke Energy Corp. | 13,396 | 1,322,453 | |||||||||
2,851,417 | |||||||||||
Total common stocks (cost: $83,659,553) | 137,720,719 | ||||||||||
Short-Term Securities (0.5%) | |||||||||||
Investment Companies (0.5%) | |||||||||||
State Street Institutional U.S. Government Money Market Fund, current rate 0.025% | 660,756 | 660,756 | |||||||||
Total short-term securities (cost: $660,756) | 660,756 | ||||||||||
Total investments in securities (cost: $84,320,309) (d) | 138,381,475 | ||||||||||
Liabilities in excess of cash and other assets (-0.2%) | (210,715 | ) | |||||||||
Total net assets (100.0%) | $ | 138,170,760 |
Investments in Securities Legend
(a) Securities are valued by procedures described in Note 2 of the notes to the financial statements.
(b) Non-income producing security.
(c) Foreign security: The Fund held 0.9% of net assets in foreign securities at June 30, 2021.
(d) At June 30, 2021, the cost of investments for federal income tax purposes was $84,406,105. The aggregate unrealized appreciation and depreciation of investments based on this cost were:
Gross unrealized appreciation | $ | 54,282,030 | |||||
Gross unrealized depreciation | (306,660 | ) | |||||
Net unrealized appreciation | $ | 53,975,370 |
See accompanying notes to financial statements.
58
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59
Securian Funds Trust
Statements of Assets and Liabilities
June 30, 2021
(Unaudited)
SFT Balanced Stabilization Fund(a) | SFT Core Bond Fund | SFT Equity Stabilization Fund(a) | SFT Government Money Market Fund | SFT Index 400 Mid-Cap Fund | SFT Index 500 Fund | ||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||
Investments in securities, at market value – see accompanying schedule for detailed listing* | |||||||||||||||||||||||||||
Unaffiliated issuers | $ | 439,823,843 | $ | 511,163,355 | $ | 355,662,984 | $ | 191,192,317 | $ | 226,017,521 | $ | 1,123,813,784 | |||||||||||||||
Affiliated issuers (Note 8) | 257,604,133 | – | – | – | – | – | |||||||||||||||||||||
Cash on demand deposit | 3,119,261 | – | – | – | 1,295 | 986 | |||||||||||||||||||||
Due from broker1,2 | 9,000,000 | 200,000 | 4,725,000 | – | – | – | |||||||||||||||||||||
Foreign currency on deposit3 | – | – | – | – | – | – | |||||||||||||||||||||
Receivable: | |||||||||||||||||||||||||||
Fund shares sold | 213,043 | 9,097 | – | – | 1,068 | 15,514 | |||||||||||||||||||||
Investment securities sold (including paydowns) | 241,470 | 6,728,667 | 124,129 | – | – | – | |||||||||||||||||||||
Dividends and accrued interest | 1,459,789 | 2,399,389 | 593 | 790 | 190,773 | 639,038 | |||||||||||||||||||||
Refundable foreign income taxes withheld | – | – | – | – | – | – | |||||||||||||||||||||
Adviser (Note 4) | – | – | – | 98,130 | – | – | |||||||||||||||||||||
Variation margin on futures contracts | 370,592 | 49,923 | 81,180 | – | 10,130 | 32,056 | |||||||||||||||||||||
Unrealized appreciation on forward foreign currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Prepaid expenses | 3,731 | 8,865 | 7,593 | 6,964 | 4,080 | 9,087 | |||||||||||||||||||||
Total assets | 711,835,862 | 520,559,296 | 360,601,479 | 191,298,201 | 226,224,867 | 1,124,510,465 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||
Due to custodian | – | – | 37,506 | – | – | – | |||||||||||||||||||||
Payable: | |||||||||||||||||||||||||||
Fund shares repurchased | – | 431,596 | 99,303 | 127,969 | 72,970 | 1,104,198 | |||||||||||||||||||||
Investment securities purchased | 830,000 | 4,605,756 | 426,666 | – | – | – | |||||||||||||||||||||
Investment securities purchased on a when-issued or forward – commitment basis (Note 2) | – | 5,610,407 | – | – | – | – | |||||||||||||||||||||
Adviser | 472,009 | 279,020 | 242,544 | 88,587 | 76,371 | 301,613 | |||||||||||||||||||||
Variation margin on futures contracts . | – | – | – | – | – | – | |||||||||||||||||||||
Accrued expenses | 60,265 | 71,129 | 40,078 | 34,254 | 50,801 | 77,864 | |||||||||||||||||||||
Unrealized depreciation on forward foreign currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Options written at value4 | 276,057 | – | 141,119 | – | – | – | |||||||||||||||||||||
Total liabilities | 1,638,331 | 10,997,908 | 987,216 | 250,810 | 200,142 | 1,483,675 | |||||||||||||||||||||
Net assets applicable to outstanding capital stock | $ | 710,197,531 | $ | 509,561,388 | $ | 359,614,263 | $ | 191,047,391 | $ | 226,024,725 | $ | 1,123,026,790 | |||||||||||||||
Net Assets Consist of: | |||||||||||||||||||||||||||
Paid in capital** | $ | 438,946,007 | $ | 386,396,527 | $ | 283,849,373 | $ | 191,045,325 | $ | (41,908,239 | ) | $ | (94,226,404 | ) | |||||||||||||
Total distributable earnings | 271,251,524 | 123,164,861 | 75,764,890 | 2,066 | 267,932,964 | 1,217,253,194 | |||||||||||||||||||||
Net assets | $ | 710,197,531 | $ | 509,561,388 | $ | 359,614,263 | $ | 191,047,391 | $ | 226,024,725 | $ | 1,123,026,790 | |||||||||||||||
Net assets by class: | |||||||||||||||||||||||||||
Class 1 | $ | N/A | $ | 6,165,308 | $ | N/A | $ | N/A | $ | 20,521,292 | $ | 319,601,747 | |||||||||||||||
Class 2 | 710,197,531 | 503,396,080 | 359,614,263 | 191,047,391 | 205,503,433 | 803,425,043 | |||||||||||||||||||||
Net asset value per share of outstanding capital stock by class: | |||||||||||||||||||||||||||
Class 1 | N/A | 2.744 | N/A | N/A | 7.355 | 18.110 | |||||||||||||||||||||
Class 2 | 20.105 | 2.660 | 13.701 | 1.000 | 7.129 | 17.554 | |||||||||||||||||||||
* Identified cost | |||||||||||||||||||||||||||
Unaffiliated issuers | $ | 409,628,547 | $ | 493,139,958 | $ | 288,500,950 | $ | 191,192,317 | $ | 145,099,457 | $ | 353,491,055 | |||||||||||||||
Affiliated issuers | 107,000,000 | – | – | – | – | – | |||||||||||||||||||||
** Shares outstanding by class: | |||||||||||||||||||||||||||
Class 1 | N/A | 2,246,445 | N/A | N/A | 2,789,994 | 17,648,058 | |||||||||||||||||||||
Class 2 | 35,324,342 | 189,228,023 | 26,247,383 | 191,047,391 | 28,824,387 | 45,768,146 | |||||||||||||||||||||
1 Collateral for open foreign currency contracts | $ | – | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
2 Cash collateral for open futures contracts | $ | – | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
3 Foreign currency on deposit (cost) | $ | – | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
4 Premiums received | $ | 254,380 | $ | – | $ | 130,453 | $ | – | $ | – | $ | – |
(a) See Note 1 of accompanying notes to financial statements regarding former names of the funds.
See accompanying notes to financial statements.
60
SFT International Bond Fund | SFT IvySM Growth Fund | SFT IvySM Small Cap Growth 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 | $ | 90,860,881 | $ | 667,906,680 | $ | 224,366,988 | $ | 148,343,814 | $ | 226,930,305 | $ | 138,381,475 | |||||||||||||||
Affiliated issuers (Note 8) | – | – | – | – | – | – | |||||||||||||||||||||
Cash on demand deposit | 140,143 | – | – | – | 300 | – | |||||||||||||||||||||
Due from broker1,2 | 551,600 | – | – | – | – | – | |||||||||||||||||||||
Foreign currency on deposit3 | 312,455 | – | – | – | – | – | |||||||||||||||||||||
Receivable: | |||||||||||||||||||||||||||
Fund shares sold | 3,950 | – | – | – | – | – | |||||||||||||||||||||
Investment securities sold (including paydowns) | – | – | 1,818,375 | 166,749 | 584,521 | – | |||||||||||||||||||||
Dividends and accrued interest | 656,697 | 289,636 | 23,639 | 401,611 | 96,427 | 65,279 | |||||||||||||||||||||
Refundable foreign income taxes withheld | 22,355 | – | – | – | 1,480 | – | |||||||||||||||||||||
Adviser (Note 4) | – | – | – | – | – | – | |||||||||||||||||||||
Variation margin on futures contracts | – | – | – | – | – | – | |||||||||||||||||||||
Unrealized appreciation on forward foreign currency contracts | 506,685 | – | – | – | – | – | |||||||||||||||||||||
Prepaid expenses | 4,184 | 7,570 | 4,208 | 4,350 | 23,925 | 4,307 | |||||||||||||||||||||
Total assets | 93,058,950 | 668,203,886 | 226,213,210 | 148,916,524 | 227,636,958 | 138,451,061 | |||||||||||||||||||||
Liabilities | |||||||||||||||||||||||||||
Due to custodian | – | – | – | – | – | – | |||||||||||||||||||||
Payable: | |||||||||||||||||||||||||||
Fund shares repurchased | 3,727 | 579,612 | 51,062 | 26,059 | 35,067 | 140,982 | |||||||||||||||||||||
Investment securities purchased | – | – | 2,776,902 | 143,959 | 296,462 | – | |||||||||||||||||||||
Investment securities purchased on a when-issued or forward – commitment basis (Note 2) | – | – | – | – | – | – | |||||||||||||||||||||
Adviser | 77,771 | 481,772 | 205,912 | 121,300 | 178,066 | 106,402 | |||||||||||||||||||||
Variation margin on futures contracts . | 12,516 | – | – | – | – | – | |||||||||||||||||||||
Accrued expenses | 35,610 | 5,521 | 22,975 | 34,355 | 36,920 | 32,917 | |||||||||||||||||||||
Unrealized depreciation on forward foreign currency contracts | 820,121 | – | – | – | – | – | |||||||||||||||||||||
Options written at value4 | – | – | – | – | – | – | |||||||||||||||||||||
Total liabilities | 949,745 | 1,066,905 | 3,056,851 | 325,673 | 546,515 | 280,301 | |||||||||||||||||||||
Net assets applicable to outstanding capital stock | $ | 92,109,205 | $ | 667,136,981 | $ | 223,156,359 | $ | 148,590,851 | $ | 227,090,443 | $ | 138,170,760 | |||||||||||||||
Net Assets Consist of: | |||||||||||||||||||||||||||
Paid in capital** | $ | 105,573,407 | $ | 38,669,587 | $ | 35,081,473 | $ | 8,399,196 | $ | 72,582,522 | $ | 26,031,648 | |||||||||||||||
Total distributable earnings | (13,464,202 | ) | 628,467,394 | 188,074,886 | 140,191,655 | 154,507,921 | 112,139,112 | ||||||||||||||||||||
Net assets | $ | 92,109,205 | $ | 667,136,981 | $ | 223,156,359 | $ | 148,590,851 | $ | 227,090,443 | $ | 138,170,760 | |||||||||||||||
Net assets by class: | |||||||||||||||||||||||||||
Class 1 | $ | 1,668,236 | $ | N/A | $ | N/A | $ | 8,489,579 | $ | N/A | $ | 2,100,469 | |||||||||||||||
Class 2 | 90,440,969 | 667,136,981 | 223,156,359 | 140,101,272 | 227,090,443 | 136,070,291 | |||||||||||||||||||||
Net asset value per share of outstanding capital stock by class: | |||||||||||||||||||||||||||
Class 1 | 2.393 | N/A | N/A | 6.793 | N/A | 25.107 | |||||||||||||||||||||
Class 2 | 2.319 | 32.863 | 28.305 | 6.585 | 20.680 | 24.661 | |||||||||||||||||||||
* Identified cost | |||||||||||||||||||||||||||
Unaffiliated issuers | $ | 90,151,754 | $ | 347,950,046 | $ | 152,955,044 | $ | 116,715,740 | $ | 177,590,141 | $ | 84,320,309 | |||||||||||||||
Affiliated issuers | – | – | – | – | – | – | |||||||||||||||||||||
** Shares outstanding by class: | |||||||||||||||||||||||||||
Class 1 | 697,132 | N/A | N/A | 1,249,672 | N/A | 83,661 | |||||||||||||||||||||
Class 2 | 38,994,806 | 20,300,688 | 7,883,964 | 21,277,391 | 10,981,178 | 5,517,569 | |||||||||||||||||||||
1 Collateral for open foreign currency contracts | $ | 380,000 | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
2 Cash collateral for open futures contracts | $ | 171,600 | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
3 Foreign currency on deposit (cost) | $ | 315,313 | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
4 Premiums received | $ | – | $ | – | $ | – | $ | – | $ | – | $ | – |
61
Securian Funds Trust
Statements of Operations
Six months ended June 30, 2021
(Unaudited)
SFT Balanced Stabilization Fund(a) | SFT Core Bond Fund | SFT Equity Stabilization Fund(a) | SFT Government Money Market Fund | SFT Index 400 Mid-Cap Fund | SFT Index 500 Fund | ||||||||||||||||||||||
Income: | |||||||||||||||||||||||||||
Interest1 | $ | 3,120,289 | $ | 6,552,306 | $ | – | $ | 43,221 | $ | 717 | $ | – | |||||||||||||||
Dividends1 | 240,273 | 925 | 3,893,902 | 4,086 | 1,456,848 | 7,627,577 | |||||||||||||||||||||
Foreign tax withholding | – | – | – | – | – | (713 | ) | ||||||||||||||||||||
Total investment income | 3,360,562 | 6,553,231 | 3,893,902 | 47,307 | 1,457,565 | 7,626,864 | |||||||||||||||||||||
Expenses (Note 4): | |||||||||||||||||||||||||||
Investment advisory fee | 1,888,600 | 987,424 | 970,195 | 276,465 | 165,270 | 773,690 | |||||||||||||||||||||
Rule 12b-1 fees | 858,454 | 609,878 | 440,998 | 243,869 | 252,238 | 948,974 | |||||||||||||||||||||
Audit and accounting services | 118,567 | 137,956 | 68,680 | 70,764 | 70,813 | 115,740 | |||||||||||||||||||||
Administrative services fee | 21,711 | 34,533 | 16,493 | 27,219 | 16,484 | 16,484 | |||||||||||||||||||||
Legal fees | 9,583 | 9,583 | 9,583 | 10,029 | 9,583 | 16,419 | |||||||||||||||||||||
Custodian fees | 10,760 | 7,687 | 10,512 | 4,909 | 8,679 | 11,852 | |||||||||||||||||||||
Printing and shareholder reports | 4,315 | 4,315 | 4,315 | 4,215 | 4,315 | 4,315 | |||||||||||||||||||||
Trustee's fees | 11,405 | 11,405 | 11,405 | 11,405 | 11,405 | 11,405 | |||||||||||||||||||||
S&P Licensing fee | – | – | – | – | 8,183 | 29,852 | |||||||||||||||||||||
Insurance | 5,063 | 5,063 | 5,063 | 5,063 | 5,063 | 5,063 | |||||||||||||||||||||
Other | 1,560 | 7,783 | 6,029 | 2,335 | 4,396 | 14,762 | |||||||||||||||||||||
Total expenses before fees waived | 2,930,018 | 1,815,627 | 1,543,273 | 656,273 | 556,429 | 1,948,556 | |||||||||||||||||||||
Less fees waived (Note 4) | (120,740 | ) | – | (87,034 | ) | (608,966 | ) | – | – | ||||||||||||||||||
Total expenses net of fees waived | 2,809,278 | 1,815,627 | 1,456,239 | 47,307 | 556,429 | 1,948,556 | |||||||||||||||||||||
Net investment income | 551,284 | 4,737,604 | 2,437,663 | – | 901,136 | 5,678,308 | |||||||||||||||||||||
Realized gains (losses) on investments and foreign currencies: | |||||||||||||||||||||||||||
Investments (Note 3) | |||||||||||||||||||||||||||
Unaffiliated issuers | (4,627,362 | ) | (1,157,980 | ) | 4,157,818 | – | 13,247,091 | 23,940,599 | |||||||||||||||||||
Written options contracts | 1,685,164 | – | 875,806 | – | – | – | |||||||||||||||||||||
Foreign forward currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Foreign currency transactions | – | – | – | – | – | – | |||||||||||||||||||||
Net increase from litigation payments | – | 31,764 | – | – | 3,030 | 673 | |||||||||||||||||||||
Futures contracts | 20,011,671 | (1,365,307 | ) | 2,437,553 | – | 1,513,847 | 2,103,557 | ||||||||||||||||||||
Net change in unrealized appreciation or depreciation on: | |||||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||||
Unaffiliated issuers, net of foreign capital gains tax2 | (2,158,409 | ) | (5,059,434 | ) | 13,495,616 | – | 18,876,499 | 116,191,720 | |||||||||||||||||||
Affiliated issuers (Note 8) | 33,826,142 | – | – | – | – | – | |||||||||||||||||||||
Written options contracts | (15,460 | ) | – | (8,402 | ) | – | – | – | |||||||||||||||||||
Translation of assets and liabilities in foreign currency | – | – | – | – | – | – | |||||||||||||||||||||
Foreign forward currency contracts | – | – | – | – | – | – | |||||||||||||||||||||
Futures contracts | 1,113,878 | 483,953 | 637,725 | – | (50,003 | ) | 164,915 | ||||||||||||||||||||
Net gains (losses) on investments | 49,835,624 | (7,067,004 | ) | 21,596,116 | – | 33,590,464 | 142,401,464 | ||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations | $ | 50,386,908 | $ | (2,329,400 | ) | $ | 24,033,779 | $ | – | $ | 34,491,600 | $ | 148,079,772 | ||||||||||||||
1 All income is from unaffiliated issuers. | |||||||||||||||||||||||||||
2 Change in unrealized appreciation or depreciation on deferred foreign capital gains tax | $ | – | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
(a) See Note 1 of accompanying notes to financial statements regarding former names of the funds. |
See accompanying notes to financial statements.
62
SFT International Bond Fund | SFT IvySM Growth Fund | SFT IvySM Small Cap Growth Fund | SFT Real Estate Securities Fund | SFT T. Rowe Price Value Fund | SFT Wellington Core Equity Fund | ||||||||||||||||||||||
Income: | |||||||||||||||||||||||||||
Interest1 | $ | 1,082,062 | $ | 10,196 | $ | 28,681 | $ | – | $ | 16 | $ | 31 | |||||||||||||||
Dividends1 | 446 | 1,906,330 | 265,688 | 1,929,755 | 1,649,347 | 810,067 | |||||||||||||||||||||
Foreign tax withholding | (82,651 | ) | (14,608 | ) | – | – | (15,799 | ) | – | ||||||||||||||||||
Total investment income | 999,857 | 1,901,918 | 294,369 | 1,929,755 | 1,633,564 | 810,098 | |||||||||||||||||||||
Expenses (Note 4): | |||||||||||||||||||||||||||
Investment advisory fee | 270,961 | 2,014,503 | 932,152 | 477,058 | 735,809 | 431,876 | |||||||||||||||||||||
Rule 12b-1 fees | 110,925 | 769,573 | 274,162 | 161,095 | 274,556 | 163,705 | |||||||||||||||||||||
Audit and accounting services | 81,573 | 87,723 | 60,597 | 66,994 | 60,597 | 64,317 | |||||||||||||||||||||
Administrative services fee | 39,874 | 16,484 | 16,484 | 16,484 | 16,484 | 16,484 | |||||||||||||||||||||
Legal fees | 9,414 | 14,372 | 9,583 | 9,583 | 9,414 | 9,583 | |||||||||||||||||||||
Custodian fees | 29,753 | 6,943 | 8,976 | 6,397 | 21,472 | 7,636 | |||||||||||||||||||||
Printing and shareholder reports | 4,315 | 4,315 | 4,315 | 4,315 | 4,315 | 4,315 | |||||||||||||||||||||
Trustee's fees | 11,405 | 11,405 | 11,405 | 11,405 | 11,405 | 11,405 | |||||||||||||||||||||
S&P Licensing fee | – | – | – | – | – | – | |||||||||||||||||||||
Insurance | 5,062 | 5,063 | 5,063 | 5,063 | 5,063 | 5,063 | |||||||||||||||||||||
Other | 9,038 | 36,182 | 4,120 | 3,256 | 4,177 | 3,010 | |||||||||||||||||||||
Total expenses before fees waived | 572,320 | 2,966,563 | 1,326,857 | 761,650 | 1,143,292 | 717,394 | |||||||||||||||||||||
Less fees waived (Note 4) | – | – | – | – | – | – | |||||||||||||||||||||
Total expenses net of fees waived | 572,320 | 2,966,563 | 1,326,857 | 761,650 | 1,143,292 | 717,394 | |||||||||||||||||||||
Net investment income | 427,537 | (1,064,645 | ) | (1,032,488 | ) | 1,168,105 | 490,272 | 92,704 | |||||||||||||||||||
Realized gains (losses) on investments and foreign currencies: | |||||||||||||||||||||||||||
Investments (Note 3) | |||||||||||||||||||||||||||
Unaffiliated issuers | (7,162,354 | ) | 25,673,215 | 27,146,077 | 7,300,634 | 29,893,059 | 7,822,930 | ||||||||||||||||||||
Written options contracts | – | – | – | – | – | – | |||||||||||||||||||||
Foreign forward currency contracts | (3,272,541 | ) | – | – | – | – | – | ||||||||||||||||||||
Foreign currency transactions | (102,874 | ) | – | – | – | (2,460 | ) | – | |||||||||||||||||||
Net increase from litigation payments | – | 7,927 | 5,794 | – | 19,489 | 12,985 | |||||||||||||||||||||
Futures contracts | 108 | – | – | – | – | – | |||||||||||||||||||||
Net change in unrealized appreciation or depreciation on: | |||||||||||||||||||||||||||
Investments | |||||||||||||||||||||||||||
Unaffiliated issuers, net of foreign capital gains tax2 | 5,608,598 | 64,313,359 | (3,891,603 | ) | 20,133,120 | 7,125,755 | 7,780,810 | ||||||||||||||||||||
Affiliated issuers (Note 8) | – | – | – | – | – | – | |||||||||||||||||||||
Written options contracts | – | – | – | – | – | – | |||||||||||||||||||||
Translation of assets and liabilities in foreign currency | (7,475 | ) | – | – | – | (36 | ) | – | |||||||||||||||||||
Foreign forward currency contracts | 2,128,370 | – | – | – | – | – | |||||||||||||||||||||
Futures contracts | (165,024 | ) | – | – | – | – | – | ||||||||||||||||||||
Net gains (losses) on investments | (2,973,192 | ) | 89,994,501 | 23,260,268 | 27,433,754 | 37,035,807 | 15,616,725 | ||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations | $ | (2,545,655 | ) | $ | 88,929,856 | $ | 22,227,780 | $ | 28,601,859 | $ | 37,526,079 | $ | 15,709,429 | ||||||||||||||
1 All income is from unaffiliated issuers. | |||||||||||||||||||||||||||
2 Change in unrealized appreciation or depreciation on deferred foreign capital gains tax | $ | 55,308 | $ | – | $ | – | $ | – | $ | – | $ | – | |||||||||||||||
(a) See Note 1 of accompanying notes to financial statements regarding former names of the funds. |
63
Securian Funds Trust
Statements of Changes in Net Assets
Six months ended June 30, 2021 and year ended December 31, 2020
(Unaudited)
SFT Balanced Stabilization Fund(a) | SFT Core Bond Fund | SFT Equity Stabilization Fund(a) | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||
Operations: | |||||||||||||||||||||||||||
Net investment income | $ | 551,284 | $ | 2,885,317 | $ | 4,737,604 | $ | 11,094,078 | $ | 2,437,663 | $ | 4,962,934 | |||||||||||||||
Net realized gains (losses) on investments | 17,069,473 | 18,085,375 | (2,491,523 | ) | 11,188,237 | 7,471,177 | (20,999,825 | ) | |||||||||||||||||||
Net change in unrealized appreciation or depreciation of investments | 32,766,151 | 44,245,570 | (4,575,481 | ) | 9,630,011 | 14,124,939 | (5,573,289 | ) | |||||||||||||||||||
Net increase (decrease) in net assets resulting from operations | 50,386,908 | 65,216,262 | (2,329,400 | ) | 31,912,326 | 24,033,779 | (21,610,180 | ) | |||||||||||||||||||
Distributions to shareholders: | |||||||||||||||||||||||||||
From distributable earnings | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Decrease in net assets from distributions | – | – | – | – | – | – | |||||||||||||||||||||
Capital stock transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | – | – | 752,137 | 888,112 | – | – | |||||||||||||||||||||
Class 2 | 12,274,406 | 66,737,165 | 26,704,708 | 17,474,501 | 3,265,145 | 10,751,053 | |||||||||||||||||||||
Value of distributions reinvested | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Payments for redemption of shares | |||||||||||||||||||||||||||
Class 1 | – | – | (100,488 | ) | (766,595 | ) | – | – | |||||||||||||||||||
Class 2 | (30,651,719 | ) | (31,570,215 | ) | (12,478,198 | ) | (40,373,412 | ) | (23,266,955 | ) | (24,036,565 | ) | |||||||||||||||
Increase (decrease) in net assets from capital stock transactions | (18,377,313 | ) | 35,166,950 | 14,878,159 | (22,777,394 | ) | (20,001,810 | ) | (13,285,512 | ) | |||||||||||||||||
Total increase (decrease) in net assets | 32,009,595 | 100,383,212 | 12,548,759 | 9,134,932 | 4,031,969 | (34,895,692 | ) | ||||||||||||||||||||
Net assets at beginning of period | �� | 678,187,936 | 577,804,724 | 497,012,629 | 487,877,697 | 355,582,294 | 390,477,986 | ||||||||||||||||||||
Net assets at end of period | $ | 710,197,531 | $ | 678,187,936 | $ | 509,561,388 | $ | 497,012,629 | $ | 359,614,263 | $ | 355,582,294 | |||||||||||||||
Capital share transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | – | – | 275,830 | 332,559 | – | – | |||||||||||||||||||||
Class 2 | 642,370 | 3,896,625 | 10,122,459 | 6,723,644 | 244,900 | 852,322 | |||||||||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Payments for redemption of shares | |||||||||||||||||||||||||||
Class 1 | – | – | (36,881 | ) | (293,488 | ) | – | – | |||||||||||||||||||
Class 2 | (1,591,185 | ) | (1,828,550 | ) | (4,741,144 | ) | (15,912,214 | ) | (1,768,497 | ) | (1,947,315 | ) | |||||||||||||||
Net change from capital transactions | (948,815 | ) | 2,068,075 | 5,620,264 | (9,149,499 | ) | (1,523,597 | ) | (1,094,993 | ) |
(a) See Note 1 of accompanying notes to financial statements regarding former names of the funds.
See accompanying notes to financial statements.
64
SFT Government Money Market Fund | SFT Index 400 Mid-Cap Fund | ||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||
Operations: | |||||||||||||||||||
Net investment income | $ | – | $ | 391,549 | $ | 901,136 | $ | 1,804,434 | |||||||||||
Net realized gains (losses) on investments | – | – | 14,763,968 | 9,896,826 | |||||||||||||||
Net change in unrealized appreciation or depreciation of investments | – | – | 18,826,496 | 11,356,767 | |||||||||||||||
Net increase (decrease) in net assets resulting from operations | – | 391,549 | 34,491,600 | 23,058,027 | |||||||||||||||
Distributions to shareholders: | |||||||||||||||||||
From distributable earnings | |||||||||||||||||||
Class 2 | – | (391,549 | ) | – | – | ||||||||||||||
Decrease in net assets from distributions | – | (391,549 | ) | – | – | ||||||||||||||
Capital stock transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 2,201,932 | 1,964,813 | |||||||||||||||
Class 2 | 16,504,591 | 58,941,198 | 759,620 | 4,604,250 | |||||||||||||||
Value of distributions reinvested | |||||||||||||||||||
Class 2 | – | 391,549 | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (318,691 | ) | (332,878 | ) | |||||||||||||
Class 2 | (22,334,188 | ) | (50,806,705 | ) | (15,281,099 | ) | (23,318,726 | ) | |||||||||||
Increase (decrease) in net assets from capital stock transactions | (5,829,597 | ) | 8,526,042 | (12,638,238 | ) | (17,082,541 | ) | ||||||||||||
Total increase (decrease) in net assets | (5,829,597 | ) | 8,526,042 | 21,853,362 | 5,975,486 | ||||||||||||||
Net assets at beginning of period | 196,876,988 | 188,350,946 | 204,171,363 | 198,195,877 | |||||||||||||||
Net assets at end of period | $ | 191,047,391 | $ | 196,876,988 | $ | 226,024,725 | $ | 204,171,363 | |||||||||||
Capital share transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 306,588 | 404,539 | |||||||||||||||
Class 2 | 16,504,590 | 58,941,198 | 106,683 | 1,091,233 | |||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||
Class 2 | – | 391,549 | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (44,879 | ) | (63,527 | ) | |||||||||||||
Class 2 | (22,334,188 | ) | (50,806,705 | ) | (2,261,292 | ) | (4,722,525 | ) | |||||||||||
Net change from capital transactions | (5,829,598 | ) | 8,526,042 | (1,892,900 | ) | (3,290,280 | ) |
65
Securian Funds Trust
Statements of Changes in Net Assets – continued
Six months ended June 30, 2021 and year ended December 31, 2020
(Unaudited)
SFT Index 500 Fund | SFT International Bond Fund | SFT IvySM Growth Fund | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||||
Operations: | |||||||||||||||||||||||||||
Net investment income | $ | 5,678,308 | $ | 12,682,491 | $ | 427,537 | $ | 1,058,253 | $ | (1,064,645 | ) | $ | (874,827 | ) | |||||||||||||
Net realized gains (losses) on investments | 26,044,829 | 57,681,701 | (10,537,661 | ) | (9,644,165 | ) | 25,681,142 | 63,715,946 | |||||||||||||||||||
Net change in unrealized appreciation or depreciation of investments | 116,356,635 | 81,016,150 | 7,564,469 | 2,268,281 | 64,313,359 | 86,666,599 | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations | 148,079,772 | 151,380,342 | (2,545,655 | ) | (6,317,631 | ) | 88,929,856 | 149,507,718 | |||||||||||||||||||
Distributions to shareholders: | |||||||||||||||||||||||||||
From distributable earnings | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Decrease in net assets from distributions | – | – | – | – | – | – | |||||||||||||||||||||
Capital stock transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | 6,820,311 | 7,352,443 | 215,564 | 323,164 | – | – | |||||||||||||||||||||
Class 2 | 5,470,757 | 12,379,911 | 5,009,515 | 6,978,780 | 533,469 | 1,136,939 | |||||||||||||||||||||
Value of distributions reinvested | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Payments for redemption of shares) | |||||||||||||||||||||||||||
Class 1 | (790,201 | ) | (1,431,736 | ) | (36,283 | ) | (101,613 | ) | – | – | |||||||||||||||||
Class 2 | (39,997,643 | ) | (80,640,952 | ) | (1,688,569 | ) | (10,143,196 | ) | (28,573,582 | ) | (89,240,113 | ) | |||||||||||||||
Increase (decrease) in net assets from capital stock transactions | (28,496,776 | ) | (62,340,334 | ) | 3,500,227 | (2,942,865 | ) | (28,040,113 | ) | (88,103,174 | ) | ||||||||||||||||
Total increase (decrease) in net assets | 119,582,996 | 89,040,008 | 954,572 | (9,260,496 | ) | 60,889,743 | 61,404,544 | ||||||||||||||||||||
Net assets at beginning of period | 1,003,443,794 | 914,403,786 | 91,154,633 | 100,415,129 | 606,247,238 | 544,842,694 | |||||||||||||||||||||
Net assets at end of period | $ | 1,123,026,790 | $ | 1,003,443,794 | $ | 92,109,205 | $ | 91,154,633 | $ | 667,136,981 | $ | 606,247,238 | |||||||||||||||
Capital share transactions: | |||||||||||||||||||||||||||
Proceeds from sales | |||||||||||||||||||||||||||
Class 1 | 398,819 | 543,123 | 89,579 | 130,501 | – | – | |||||||||||||||||||||
Class 2 | 333,649 | 923,044 | 2,145,434 | 2,895,845 | 18,676 | 51,028 | |||||||||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||||||||||
Class 2 | – | – | – | – | – | – | |||||||||||||||||||||
Payments for redemption of shares | |||||||||||||||||||||||||||
Class 1 | (46,251 | ) | (109,305 | ) | (15,069 | ) | (40,555 | ) | – | – | |||||||||||||||||
Class 2 | (2,466,425 | ) | (6,307,407 | ) | (721,945 | ) | (4,168,472 | ) | (949,545 | ) | (3,757,367 | ) | |||||||||||||||
Net change from capital transactions | (1,780,208 | ) | (4,950,545 | ) | 1,497,999 | (1,182,681 | ) | (930,869 | ) | (3,706,339 | ) |
See accompanying notes to financial statements.
66
SFT IvySM Small Cap Growth Fund | SFT Real Estate Securities Fund | ||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||
Operations: | |||||||||||||||||||
Net investment income | $ | (1,032,488 | ) | $ | (1,423,523 | ) | $ | 1,168,105 | $ | 1,768,741 | |||||||||
Net realized gains (losses) on investments | 27,151,871 | 24,114,747 | 7,300,634 | (1,575,537 | ) | ||||||||||||||
Net change in unrealized appreciation or depreciation of investments | (3,891,603 | ) | 34,510,775 | 20,133,120 | (4,155,015 | ) | |||||||||||||
Net increase (decrease) in net assets resulting from operations | 22,227,780 | 57,201,999 | 28,601,859 | (3,961,811 | ) | ||||||||||||||
Distributions to shareholders: | |||||||||||||||||||
From distributable earnings | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Decrease in net assets from distributions | – | – | – | – | |||||||||||||||
Capital stock transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 648,669 | 955,799 | |||||||||||||||
Class 2 | 577,210 | 1,129,856 | 2,031,925 | 5,095,931 | |||||||||||||||
Value of distributions reinvested | |||||||||||||||||||
Class 2 | – | – | – | – | ) | ||||||||||||||
Payments for redemption of shares) | |||||||||||||||||||
Class 1 | – | – | (191,253 | ) | (234,691 | ) | |||||||||||||
Class 2 | (11,482,415 | ) | (23,219,247 | ) | (8,421,634 | ) | (10,142,004 | ) | |||||||||||
Increase (decrease) in net assets from capital stock transactions | (10,905,205 | ) | (22,089,391 | ) | (5,932,293 | ) | (4,324,965 | ||||||||||||
Total increase (decrease) in net assets | 11,322,575 | 35,112,608 | 22,669,566 | (8,286,776 | |||||||||||||||
Net assets at beginning of period | 211,833,784 | 176,721,176 | 125,921,285 | 134,208,061 | |||||||||||||||
Net assets at end of period | $ | 223,156,359 | $ | 211,833,784 | $ | 148,590,851 | $ | 125,921,285 | |||||||||||
Capital share transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 109,099 | 183,812 | |||||||||||||||
Class 2 | 21,285 | 52,292 | 339,198 | 1,052,070 | |||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (30,977 | ) | (47,116 | ) | |||||||||||||
Class 2 | (418,971 | ) | (1,184,615 | ) | (1,383,956 | ) | (2,034,097 | ) | |||||||||||
Net change from capital transactions | (397,686 | ) | (1,132,323 | ) | (966,636 | ) | (845,331 | ) |
67
Securian Funds Trust
Statements of Changes in Net Assets – continued
Six months ended June 30, 2021 and year ended December 31, 2020
(Unaudited)
SFT T. Rowe Price Value Fund | SFT Wellington Core Equity Fund | ||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||
Operations: | |||||||||||||||||||
Net investment income | $ | 490,272 | $ | 1,831,234 | $ | 92,704 | $ | 434,520 | |||||||||||
Net realized gains (losses) on investments | 29,910,088 | (1,273,706 | ) | 7,835,915 | 4,836,299 | ||||||||||||||
Net change in unrealized appreciation or depreciation of investments | 7,125,719 | 19,023,820 | 7,780,810 | 14,746,053 | |||||||||||||||
Net increase (decrease) in net assets resulting from operations | 37,526,079 | 19,581,348 | 15,709,429 | 20,016,872 | |||||||||||||||
Distributions to shareholders: | |||||||||||||||||||
From distributable earnings | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Decrease in net assets from distributions | – | – | – | – | |||||||||||||||
Capital stock transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 357,690 | 436,384 | |||||||||||||||
Class 2 | 2,242,110 | 5,813,976 | 706,360 | 606,908 | |||||||||||||||
Value of distributions reinvested | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (216,096 | ) | (235,014 | ) | |||||||||||||
Class 2 | (19,027,357 | ) | (20,223,461 | ) | (8,682,682 | ) | (15,410,363 | ) | |||||||||||
Increase (decrease) in net assets from capital stock transactions | (16,785,247 | ) | (14,409,485 | ) | (7,834,728 | ) | (14,602,085 | ) | |||||||||||
Total increase (decrease) in net assets | 20,740,832 | 5,171,863 | 7,874,701 | 5,414,787 | |||||||||||||||
Net assets at beginning of period | 206,349,611 | 201,177,748 | 130,296,059 | 124,881,272 | |||||||||||||||
Net assets at end of period | $ | 227,090,443 | $ | 206,349,611 | $ | 138,170,760 | $ | 130,296,059 | |||||||||||
Capital share transactions: | |||||||||||||||||||
Proceeds from sales | |||||||||||||||||||
Class 1 | – | – | 15,246 | 23,395 | |||||||||||||||
Class 2 | 113,243 | 469,196 | 30,953 | 37,494 | |||||||||||||||
Issued on reinvestment of distributions | |||||||||||||||||||
Class 2 | – | – | – | – | |||||||||||||||
Payments for redemption of shares | |||||||||||||||||||
Class 1 | – | – | (9,088 | ) | (12,208 | ) | |||||||||||||
Class 2 | (983,514 | ) | (1,335,815 | ) | (374,499 | ) | (824,599 | ) | |||||||||||
Net change from capital transactions | (870,271 | ) | (866,619 | ) | (337,388 | ) | (775,918 | ) |
See accompanying notes to financial statements.
68
Securian Funds Trust
Financial Highlights
SFT Balanced Stabilization Fund (a)
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 18.697 | $ | 16.892 | $ | 13.983 | $ | 14.401 | $ | 12.210 | $ | 11.226 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (b) | .015 | .082 | .185 | .162 | .116 | .091 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 1.393 | 1.723 | 2.724 | (.580 | ) | 2.075 | .893 | ||||||||||||||||||||
Total from investment operations | 1.408 | 1.805 | 2.909 | (.418 | ) | 2.191 | .984 | ||||||||||||||||||||
Net asset value, end of period | $ | 20.105 | $ | 18.697 | $ | 16.892 | $ | 13.983 | $ | 14.401 | $ | 12.210 | |||||||||||||||
Total return (c) | 7.54 | % | 10.67 | % | 20.81 | % | (2.90 | )% | 17.94 | % | 8.77 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 710,198 | $ | 678,188 | $ | 577,805 | $ | 415,233 | $ | 373,124 | $ | 281,000 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses before waiver (d) | .85 | %(e) | .86 | % | .90 | % | .98 | % | .98 | % | 1.00 | % | |||||||||||||||
Expenses net of waiver (d)(f) | .82 | %(e) | .80 | % | .80 | % | .80 | % | .80 | % | .80 | % | |||||||||||||||
Net investment income | .16 | %(e) | .48 | % | 1.18 | % | 1.12 | % | .87 | % | .79 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | – | %(g) | – | % | 1.2 | % | 2.2 | % | 1.7 | % | 1.4 | % |
(a) See Note 1 of accompanying notes to financial statements regarding former names of the funds.
(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.
69
Securian Funds Trust
Financial Highlights – continued
SFT Core Bond Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.755 | $ | 2.571 | $ | 2.355 | $ | 2.368 | $ | 2.257 | $ | 2.157 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .029 | .067 | .078 | .077 | .069 | .066 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.040 | ) | .117 | .138 | (.090 | ) | .042 | .034 | |||||||||||||||||||
Total from investment operations | (.011 | ) | .184 | .216 | (.013 | ) | .111 | .100 | |||||||||||||||||||
Net asset value, end of period | $ | 2.744 | $ | 2.755 | $ | 2.571 | $ | 2.355 | $ | 2.368 | $ | 2.257 | |||||||||||||||
Total return (b) | (0.25 | )% | 7.15 | % | 9.18 | % | (0.59 | )% | 4.95 | % | 4.63 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 6,165 | $ | 5,530 | $ | 5,060 | $ | 3,640 | $ | 2,608 | $ | 2,113 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .49 | %(d) | .48 | % | .49 | % | .50 | % | .49 | % | .49 | % | |||||||||||||||
Net investment income | 2.16 | %(d) | 2.52 | % | 3.11 | % | 3.29 | % | 2.96 | % | 2.97 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 39.7 | %(e) | 93.0 | % | 130.4 | % | 151.1 | % | 159.8 | % | 249.6 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.673 | $ | 2.501 | $ | 2.297 | $ | 2.316 | $ | 2.212 | $ | 2.120 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .025 | .059 | .070 | .069 | .062 | .059 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.038 | ) | .113 | .134 | (.088 | ) | .042 | .033 | |||||||||||||||||||
Total from investment operations | (.013 | ) | .172 | .204 | (.019 | ) | .104 | .092 | |||||||||||||||||||
Net asset value, end of period | $ | 2.660 | $ | 2.673 | $ | 2.501 | $ | 2.297 | $ | 2.316 | $ | 2.212 | |||||||||||||||
Total return (b) | (0.37 | )% | 6.88 | % | 8.90 | % | (0.84 | )% | 4.69 | % | 4.37 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 503,396 | $ | 491,483 | $ | 482,818 | $ | 434,229 | $ | 382,697 | $ | 368,156 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .74 | %(d) | .73 | % | .74 | % | .75 | % | .74 | % | .74 | % | |||||||||||||||
Net investment income | 1.92 | %(d) | 2.28 | % | 2.87 | % | 3.04 | % | 2.71 | % | 2.68 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 39.7 | %(e) | 93.0 | % | 130.4 | % | 151.1 | % | 159.8 | % | 249.6 | % |
(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.
70
Securian Funds Trust
Financial Highlights – continued
SFT Equity Stabilization Fund (a)
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 12.804 | $ | 13.527 | $ | 11.594 | $ | 12.195 | $ | 10.483 | $ | 10.064 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (b) | .091 | .173 | .275 | .220 | .169 | .253 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | .806 | (.896 | ) | 1.658 | (.821 | ) | 1.543 | .166 | |||||||||||||||||||
Total from investment operations | .897 | (.723 | ) | 1.933 | (.601 | ) | 1.712 | .419 | |||||||||||||||||||
Net asset value, end of period | $ | 13.701 | $ | 12.804 | $ | 13.527 | $ | 11.594 | $ | 12.195 | $ | 10.483 | |||||||||||||||
Total return (c) | 7.01 | % | (5.35 | )% | 16.67 | % | (4.93 | )% | 16.33 | % | 4.16 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 359,614 | $ | 355,582 | $ | 390,478 | $ | 298,485 | $ | 261,481 | $ | 200,138 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses before waiver (d) | .88 | %(e) | .88 | % | .90 | % | .97 | % | .99 | % | 1.09 | % | |||||||||||||||
Expenses net of waiver (f) | .83 | %(e) | .80 | % | .80 | % | .80 | % | .80 | % | .80 | % | |||||||||||||||
Net investment income | 1.38 | %(e) | 1.38 | % | 2.17 | % | 1.82 | % | 1.48 | % | 2.43 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 2.2 | %(g) | 20.1 | % | – | % | – | % | 9.2 | % | 8.5 | % |
(a) See Note 1 of accompanying notes to financial statements regarding former names of the funds.
(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.
71
Securian Funds Trust
Financial Highlights – continued
SFT Government Money Market Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
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) | $ | 191,047 | $ | 196,877 | $ | 188,351 | $ | 72,761 | $ | 66,980 | $ | 77,795 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses before waiver | .67 | %(c) | .68 | % | .83 | % | .90 | % | .92 | % | .91 | % | |||||||||||||||
Expenses net of waiver (d)(e) | .05 | %(c) | .29 | % | .70 | % | .70 | % | .78 | % | .36 | % | |||||||||||||||
Net investment income | – | %(c) | .20 | % | 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).
72
Securian Funds Trust
Financial Highlights – continued
SFT Index 400 Mid-Cap Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 6.264 | $ | 5.527 | $ | 4.392 | $ | 4.955 | $ | 4.275 | $ | 3.553 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .037 | .065 | .067 | .065 | .055 | .045 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 1.054 | .672 | 1.068 | (.628 | ) | .625 | .677 | ||||||||||||||||||||
Total from investment operations | 1.091 | .737 | 1.135 | (.563 | ) | .680 | .722 | ||||||||||||||||||||
Net asset value, end of period | $ | 7.355 | $ | 6.264 | $ | 5.527 | $ | 4.392 | $ | 4.955 | $ | 4.275 | |||||||||||||||
Total return (b) | 17.42 | % | 13.34 | % | 25.82 | % | (11.36 | )% | 15.90 | % | 20.34 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 20,521 | $ | 15,838 | $ | 12,088 | $ | 7,662 | $ | 6,378 | $ | 4,290 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .28 | %(d) | .31 | % | .29 | % | .27 | % | .26 | % | .26 | % | |||||||||||||||
Net investment income | 1.06 | %(d) | 1.27 | % | 1.31 | % | 1.29 | % | 1.21 | % | 1.24 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 7.4 | %(e) | 14.4 | % | 15.1 | % | 14.6 | % | 16.6 | % | 18.5 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 6.079 | $ | 5.377 | $ | 4.284 | $ | 4.845 | $ | 4.191 | $ | 3.491 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .027 | .050 | .054 | .050 | .042 | .039 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 1.023 | .652 | 1.039 | (.611 | ) | .612 | .661 | ||||||||||||||||||||
Total from investment operations | 1.050 | .702 | 1.093 | (.561 | ) | .654 | .700 | ||||||||||||||||||||
Net asset value, end of period | $ | 7.129 | $ | 6.079 | $ | 5.377 | $ | 4.284 | $ | 4.845 | $ | 4.191 | |||||||||||||||
Total return (b) | 17.27 | % | 13.06 | % | 25.51 | % | (11.58 | )% | 15.61 | % | 20.04 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 205,503 | $ | 188,333 | $ | 186,108 | $ | 182,703 | $ | 220,335 | $ | 214,408 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .53 | %(d) | .56 | % | .54 | % | .52 | % | .51 | % | .51 | % | |||||||||||||||
Net investment income | .80 | %(d) | 1.02 | % | 1.09 | % | 1.03 | % | .95 | % | 1.06 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 7.4 | %(e) | 14.4 | % | 15.1 | % | 14.6 | % | 16.6 | % | 18.5 | % |
(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 Index 500 Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 15.732 | $ | 13.309 | $ | 10.144 | $ | 10.629 | $ | 8.745 | $ | 7.829 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .106 | .217 | .215 | .192 | .175 | .160 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 2.272 | 2.206 | 2.950 | (.677 | ) | 1.709 | .756 | ||||||||||||||||||||
Total from investment operations | 2.378 | 2.423 | 3.165 | (.485 | ) | 1.884 | .916 | ||||||||||||||||||||
Net asset value, end of period | $ | 18.110 | $ | 15.732 | $ | 13.309 | $ | 10.144 | $ | 10.629 | $ | 8.745 | |||||||||||||||
Total return (b) | 15.12 | % | 18.20 | % | 31.20 | % | (4.56 | )% | 21.54 | % | 11.72 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 319,602 | $ | 272,088 | $ | 224,410 | $ | 164,095 | $ | 167,661 | $ | 133,014 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .19 | %(d) | .20 | % | .20 | % | .20 | % | .20 | % | .20 | % | |||||||||||||||
Net investment income | 1.26 | %(d) | 1.62 | % | 1.81 | % | 1.74 | % | 1.82 | % | 1.97 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 0.9 | %(e) | 3.3 | % | 2.6 | % | 2.4 | % | 2.7 | % | 3.5 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 15.268 | $ | 12.949 | $ | 9.894 | $ | 10.393 | $ | 8.573 | $ | 7.693 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .082 | .179 | .181 | .160 | .148 | .136 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 2.204 | 2.140 | 2.874 | (.659 | ) | 1.672 | .744 | ||||||||||||||||||||
Total from investment operations | 2.286 | 2.319 | 3.055 | (.499 | ) | 1.820 | .880 | ||||||||||||||||||||
Net asset value, end of period | $ | 17.554 | $ | 15.268 | $ | 12.949 | $ | 9.894 | $ | 10.393 | $ | 8.573 | |||||||||||||||
Total return (b) | 14.97 | % | 17.91 | % | 30.88 | % | (4.80 | )% | 21.23 | % | 11.44 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 803,425 | $ | 731,356 | $ | 689,994 | $ | 630,692 | $ | 708,275 | $ | 609,796 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .44 | %(d) | .45 | % | .45 | % | .45 | % | .45 | % | .45 | % | |||||||||||||||
Net investment income | 1.01 | %(d) | 1.38 | % | 1.56 | % | 1.49 | % | 1.57 | % | 1.72 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 0.9 | %(e) | 3.3 | % | 2.6 | % | 2.4 | % | 2.7 | % | 3.5 | % |
(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.
74
Securian Funds Trust
Financial Highlights – continued
SFT International Bond Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.458 | $ | 2.620 | $ | 2.570 | $ | 2.533 | $ | 2.499 | $ | 2.418 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .014 | .035 | .116 | .091 | .102 | .064 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.079 | ) | (.197 | ) | (.066 | ) | (.054 | ) | (.068 | ) | .017 | ||||||||||||||||
Total from investment operations | (.065 | ) | (.162 | ) | .050 | .037 | .034 | .081 | |||||||||||||||||||
Net asset value, end of period | $ | 2.393 | $ | 2.458 | $ | 2.620 | $ | 2.570 | $ | 2.533 | $ | 2.499 | |||||||||||||||
Total return (b) | (2.72 | )% | (6.18 | )%(c) | 1.93 | % | 1.46 | % | 1.38 | % | 3.35 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 1,668 | $ | 1,531 | $ | 1,396 | $ | 1,237 | $ | 1,134 | $ | 1,097 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (d) | 1.02 | %(e) | .98 | % | 1.01 | % | .95 | % | .98 | % | 1.00 | % | |||||||||||||||
Net investment income | 1.20 | %(e) | 1.40 | % | 4.43 | % | 3.57 | % | 3.97 | % | 2.67 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 99.1 | %(f) | 62.1 | % | 23.4 | % | 20.4 | % | 58.7 | % | 54.0 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 2.385 | $ | 2.549 | $ | 2.507 | $ | 2.477 | $ | 2.450 | $ | 2.376 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .011 | .028 | .108 | .082 | .093 | .057 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | (.077 | ) | (.192 | ) | (.066 | ) | (.052 | ) | (.066 | ) | .017 | ||||||||||||||||
Total from investment operations | (.066 | ) | (.164 | ) | .042 | .030 | .027 | .074 | |||||||||||||||||||
Net asset value, end of period | $ | 2.319 | $ | 2.385 | $ | 2.549 | $ | 2.507 | $ | 2.477 | $ | 2.450 | |||||||||||||||
Total return (b) | (2.84 | )% | (6.43 | )%(c) | 1.68 | % | 1.21 | % | 1.12 | % | 3.09 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 90,441 | $ | 89,624 | $ | 99,019 | $ | 103,430 | $ | 106,869 | $ | 109,908 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (d) | 1.27 | %(e) | 1.23 | % | 1.26 | % | 1.20 | % | 1.23 | % | 1.24 | % | |||||||||||||||
Net investment income | .94 | %(e) | 1.15 | % | 4.20 | % | 3.32 | % | 3.72 | % | 2.42 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 99.1 | %(f) | 62.1 | % | 23.4 | % | 20.4 | % | 58.7 | % | 54.0 | % |
(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) The return includes adjustments in accordance with generally accepted accounting principles required at period end date.
(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) Not Annualized.
75
Securian Funds Trust
Financial Highlights – continued
SFT IvySM Growth Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 28.554 | $ | 21.848 | $ | 16.007 | $ | 15.662 | $ | 12.120 | $ | 12.012 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | (.051 | ) | (.038 | ) | (.005 | ) | .008 | .022 | .034 | ||||||||||||||||||
Net realized and unrealized gain on investments | 4.360 | 6.744 | 5.846 | .337 | 3.520 | .074 | |||||||||||||||||||||
Total from investment operations | 4.309 | 6.706 | 5.841 | .345 | 3.542 | .108 | |||||||||||||||||||||
Net asset value, end of period | $ | 32.863 | $ | 28.554 | $ | 21.848 | $ | 16.007 | $ | 15.662 | $ | 12.120 | |||||||||||||||
Total return (b) | 15.09 | % | 30.69 | % | 36.49 | % | 2.21 | % | 29.22 | % | 0.91 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 667,137 | $ | 606,247 | $ | 544,843 | $ | 453,883 | $ | 504,437 | $ | 438,985 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .96 | %(d) | .97 | % | .98 | % | .97 | % | .97 | % | .98 | % | |||||||||||||||
Net investment income | (.35 | )%(d) | (.16 | )% | (.03 | )% | .04 | % | .16 | % | .29 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 5.6 | %(e) | 28.9 | % | 29.9 | % | 42.3 | % | 40.5 | % | 52.5 | % |
(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 IvySM Small Cap Growth Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 25.579 | $ | 18.772 | $ | 15.181 | $ | 15.802 | $ | 12.611 | $ | 10.414 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | (.128 | ) | (.161 | ) | (.146 | ) | (.102 | ) | (.111 | ) | (.076 | ) | |||||||||||||||
Net realized and unrealized gain(loss) on investments | 2.854 | 6.968 | 3.737 | (.519 | ) | 3.302 | 2.273 | ||||||||||||||||||||
Total from investment operations | 2.726 | 6.807 | 3.591 | (.621 | ) | 3.191 | 2.197 | ||||||||||||||||||||
Net asset value, end of period | $ | 28.305 | $ | 25.579 | $ | 18.772 | $ | 15.181 | $ | 15.802 | $ | 12.611 | |||||||||||||||
Total return (b) | 10.66 | % | 36.26 | % | 23.66 | % | (3.93 | )% | 25.30 | % | 21.10 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 223,156 | $ | 211,834 | $ | 176,721 | $ | 163,367 | $ | 184,233 | $ | 163,294 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.21 | %(d) | 1.24 | % | 1.23 | % | 1.21 | % | 1.22 | % | 1.24 | % | |||||||||||||||
Net investment income | (.94 | )%(d) | (.83 | )% | (.81 | )% | (.59 | )% | (.78 | )% | (.68 | )% | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 27.8 | %(e) | 53.6 | % | 43.3 | % | 53.1 | % | 54.4 | % | 99.2 | % |
(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 Real Estate Securities Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 5.515 | $ | 5.661 | $ | 4.534 | $ | 4.781 | $ | 4.526 | $ | 4.324 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .060 | .087 | .096 | .085 | .081 | .074 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 1.218 | (.233 | ) | 1.031 | (.332 | ) | .174 | .128 | |||||||||||||||||||
Total from investment operations | 1.278 | (.146 | ) | 1.127 | (.247 | ) | .255 | .202 | |||||||||||||||||||
Net asset value, end of period | $ | 6.793 | $ | 5.515 | $ | 5.661 | $ | 4.534 | $ | 4.781 | $ | 4.526 | |||||||||||||||
Total return (b) | 23.19 | % | (2.59 | )% | 24.87 | % | (5.16 | )% | 5.63 | % | 4.66 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 8,490 | $ | 6,461 | $ | 5,858 | $ | 4,122 | $ | 3,583 | $ | 3,085 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .88 | %(d) | .91 | % | .88 | % | .87 | % | .85 | % | .82 | % | |||||||||||||||
Net investment income | 1.97 | %(d) | 1.69 | % | 1.79 | % | 1.83 | % | 1.75 | % | 1.68 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 37.0 | %(e) | 74.9 | % | 55.5 | % | 70.0 | % | 75.4 | % | 78.0 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 5.352 | $ | 5.508 | $ | 4.422 | $ | 4.674 | $ | 4.436 | $ | 4.249 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .050 | .073 | .082 | .072 | .070 | .063 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 1.183 | (.229 | ) | 1.004 | (.324 | ) | .168 | .124 | |||||||||||||||||||
Total from investment operations | 1.233 | (.156 | ) | 1.086 | (.252 | ) | .238 | .187 | |||||||||||||||||||
Net asset value, end of period | $ | 6.585 | $ | 5.352 | $ | 5.508 | $ | 4.422 | $ | 4.674 | $ | 4.436 | |||||||||||||||
Total return (b) | 23.04 | % | (2.83 | )% | 24.56 | % | (5.40 | )% | 5.37 | % | 4.40 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 140,101 | $ | 119,460 | $ | 128,350 | $ | 116,067 | $ | 132,372 | $ | 143,139 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.13 | %(d) | 1.16 | % | 1.13 | % | 1.12 | % | 1.10 | % | 1.08 | % | |||||||||||||||
Net investment income | 1.70 | %(d) | 1.46 | % | 1.59 | % | 1.60 | % | 1.55 | % | 1.43 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 37.0 | %(e) | 74.9 | % | 55.5 | % | 70.0 | % | 75.4 | % | 78.0 | % |
(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.
78
Securian Funds Trust
Financial Highlights – continued
SFT T. Rowe Price Value Fund
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 17.411 | $ | 15.818 | $ | 12.568 | $ | 13.933 | $ | 11.747 | $ | 10.617 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .043 | .147 | .186 | .174 | .153 | .173 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 3.226 | 1.446 | 3.064 | (1.539 | ) | 2.033 | .957 | ||||||||||||||||||||
Total from investment operations | 3.269 | 1.593 | 3.250 | (1.365 | ) | 2.186 | 1.130 | ||||||||||||||||||||
Net asset value, end of period | $ | 20.680 | $ | 17.411 | $ | 15.818 | $ | 12.568 | $ | 13.933 | $ | 11.747 | |||||||||||||||
Total return (b) | 18.78 | % | 10.06 | % | 25.86 | % | (9.80 | )% | 18.61 | % | 10.65 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 227,090 | $ | 206,350 | $ | 201,178 | $ | 181,589 | $ | 226,215 | $ | 208,513 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.04 | %(d) | 1.06 | % | 1.06 | % | 1.04 | % | 1.03 | % | 1.03 | % | |||||||||||||||
Net investment income | .45 | %(d) | 1.01 | % | 1.28 | % | 1.26 | % | 1.20 | % | 1.59 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 48.5 | %(e) | 113.2 | % | 131.1 | % | 140.0 | % | 90.4 | % | 102.9 | % |
(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 Wellington Core Equity Fund
Class 1 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 22.304 | $ | 18.861 | $ | 14.069 | $ | 14.369 | $ | 11.834 | $ | 11.261 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .045 | .116 | .120 | .099 | .084 | .089 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 2.758 | 3.327 | 4.672 | (.399 | ) | 2.451 | .484 | ||||||||||||||||||||
Total from investment operations | 2.803 | 3.443 | 4.792 | (.300 | ) | 2.535 | .573 | ||||||||||||||||||||
Net asset value, end of period | $ | 25.107 | $ | 22.304 | $ | 18.861 | $ | 14.069 | $ | 14.369 | $ | 11.834 | |||||||||||||||
Total return (b) | 12.56 | % | 18.25 | % | 34.06 | % | (2.09 | )% | 21.42 | % | 5.09 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 2,101 | $ | 1,729 | $ | 1,251 | $ | 757 | $ | 706 | $ | 696 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | .83 | %(d) | .86 | % | .86 | % | .84 | % | .85 | % | .80 | % | |||||||||||||||
Net investment income | .39 | %(d) | .61 | % | .71 | % | .66 | % | .64 | % | .80 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 9.4 | %(e) | 23.0 | % | 14.9 | % | 21.6 | % | 138.0 | % | 88.8 | % | |||||||||||||||
Class 2 Shares | |||||||||||||||||||||||||||
Six months ended June 30, 2021 | Year ended December 31, | ||||||||||||||||||||||||||
(unaudited) | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||
Net asset value, beginning of period | $ | 21.936 | $ | 18.596 | $ | 13.906 | $ | 14.238 | $ | 11.755 | $ | 11.214 | |||||||||||||||
Income from investment operations: | |||||||||||||||||||||||||||
Net investment income (a) | .016 | .068 | .077 | .060 | .051 | .060 | |||||||||||||||||||||
Net realized and unrealized gain(loss) on investments | 2.709 | 3.272 | 4.613 | (.392 | ) | 2.432 | .481 | ||||||||||||||||||||
Total from investment operations | 2.725 | 3.340 | 4.690 | (.332 | ) | 2.483 | .541 | ||||||||||||||||||||
Net asset value, end of period | $ | 24.661 | $ | 21.936 | $ | 18.596 | $ | 13.906 | $ | 14.238 | $ | 11.755 | |||||||||||||||
Total return (b) | 12.43 | % | 17.96 | % | 33.73 | % | (2.33 | )% | 21.12 | % | 4.83 | % | |||||||||||||||
Net assets, end of period (in thousands) | $ | 136,070 | $ | 128,567 | $ | 123,630 | $ | 102,769 | $ | 120,185 | $ | 113,799 | |||||||||||||||
Ratios to average net assets: | |||||||||||||||||||||||||||
Expenses (c) | 1.08 | %(d) | 1.11 | % | 1.11 | % | 1.09 | % | 1.10 | % | 1.05 | % | |||||||||||||||
Net investment income | .14 | %(d) | .37 | % | .47 | % | .40 | % | .40 | % | .54 | % | |||||||||||||||
Portfolio turnover rate (excluding short-term securities) | 9.4 | %(e) | 23.0 | % | 14.9 | % | 21.6 | % | 138.0 | % | 88.8 | % |
(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.
80
Securian Funds Trust
Notes to Financial Statements
June 30, 2021
(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) each of whose Funds operate as a no-load, diversified open-end management investment company, except the SFT IvySM Growth Fund and the SFT International Bond Fund which operate as non-diversified, open-end management investment companies. The Trust is a series trust that includes the Funds and share classes listed below:
Fund Name | Share Class 1 | Share Class 2 | |||||||||
SFT Balanced Stabilization Fund (formerly SFT Dynamic Managed Volatility Fund) | NA | ✓ | |||||||||
SFT Core Bond Fund | ✓ | ✓ | |||||||||
SFT Equity Stabilization Fund (formerly SFT Managed Volatility Equity Fund) | NA | ✓ | |||||||||
SFT Government Money Market Fund | NA | ✓ | |||||||||
SFT Index 400 Mid-Cap Fund | ✓ | ✓ | |||||||||
SFT Index 500 Fund | ✓ | ✓ | |||||||||
SFT International Bond Fund | ✓ | ✓ | |||||||||
SFT IvySM Growth Fund | NA | ✓ | |||||||||
SFT IvySM Small Cap Growth Fund | NA | ✓ | |||||||||
SFT Real Estate Securities Fund | ✓ | ✓ | |||||||||
SFT T. Rowe Price Value Fund | NA | ✓ | |||||||||
SFT Wellington Core Equity Fund | ✓ | ✓ |
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 Funds' 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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(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) and in accordance with Board-approved valuation policies and procedures approved by the Trust's Board of Trustees (the Board). 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.
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.
The Funds do not separately report changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities.
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
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(2) Summary of Significant Accounting Policies – (continued)
agreement between the Fund and a counterparty to buy or sell a foreign currency at a specific exchange rate on 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.
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.
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(2) Summary of Significant Accounting Policies – (continued)
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 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, 2021, no Funds were invested in repurchase agreements.
Federal Taxes
Each Fund, other than SFT Balanced Stabilization Fund, SFT Equity Stabilization Fund, SFT International Bond Fund, and SFT T. Rowe Price Value Fund, qualifies as a partnership for federal income tax purposes under the Internal Revenue Code of 1986, as amended (the Code). A Fund is treated for federal income tax purposes, as a partnership for federal income tax purposes 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 considered for federal income tax purposes by its partners, which will be Minnesota Life and Securian Life through their respective separate accounts. SFT Balanced Stabilization Fund, SFT Equity Stabilization 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 Balanced Stabilization Fund, SFT Equity Stabilization 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 considers 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 Code that are applicable to regulated investment companies and to distribute all (or a sufficient amount) of 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, 2021. The Funds' federal and state income returns for which the
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Notes to Financial Statements – continued
(2) Summary of Significant Accounting Policies – (continued)
applicable statutes of limitations have not expired (2017, 2018, 2019 and 2020) remain subject to examination by the Internal Revenue Service and states department of revenue.
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.
The Funds that are partnerships and disregarded entities (those funds other than SFT Government Money Market Fund and SFT International Bond Fund) are not required to and 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, 2021, the SFT Core Bond Fund had entered into outstanding, when-issued or forward commitments at a fair value of $5,613,122. 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 advisor or 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 under 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, 2021, 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 | $ | 70,717 | $ | — | $ | — | |||||||||
SFT Wellington Core Equity Fund | — | 27,120 | 6,398 |
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Notes to Financial Statements – continued
(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, 2021 were as follows:
Non-U.S. Government | U.S. Government* | ||||||||||||||||||
Fund | Purchases | Sales | Purchases | Sales | |||||||||||||||
SFT Balanced Stabilization Fund | $ | — | $ | 6.396,385 | $ | — | $ | 227,018 | |||||||||||
SFT Core Bond Fund | 73,377,268 | 88,317,579 | 143,603,016 | 107,524,477 | |||||||||||||||
SFT Equity Stabilization Fund | 6,748,732 | 33,893,544 | — | — | |||||||||||||||
SFT Index 400 Mid-Cap Fund | 14,536,683 | 26,043,863 | 1,016,836 | — | |||||||||||||||
SFT Index 500 Fund | 9,221,570 | 31,391,854 | — | — | |||||||||||||||
SFT International Bond Fund | 47,625,048 | 24,978,291 | 43,177,249 | 43,759,705 | |||||||||||||||
SFT IvySM Growth Fund | 34,698,407 | 65,651,622 | — | — | |||||||||||||||
SFT IvySM Small Cap Growth Fund | 59,117,151 | 71,505,605 | — | — | |||||||||||||||
SFT Real Estate Securities Fund | 50,012,666 | 51,991,723 | — | — | |||||||||||||||
SFT T. Rowe Price Value Fund | 105,654,115 | 122,398,923 | — | — | |||||||||||||||
SFT Wellington Core Equity Fund | 12,410,186 | 20,332,656 | — | — |
* Includes U.S. government-sponsored enterprise securities.
(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 Balanced Stabilization Fund (a) | 0.55% of assets to $750 million; and 0.50% of assets exceeding $750 million | ||||||
SFT Core Bond Fund (b) | 0.40% of assets to $750 million; and 0.35% of assets exceeding $750 million | ||||||
SFT Equity Stabilization Fund (a) | 0.55% of assets to $750 million; and 0.50% of assets exceeding $750 million | ||||||
SFT Government Money Market Fund (c) | 0.25% of assets to $750 million; and 0.20% of assets exceeding $750 million | ||||||
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 (d) | 0.60% of assets to $300 million; and 0.575% of next $200 million of assets; and 0.55% of next $500 million of assets; and 0.50% of assets exceeding $1 billion | ||||||
SFT IvySM Growth Fund (e) | 0.67% of assets to $300 million; and 0.625% of next $200 million of assets; and 0.60% of next $500 million of assets; and 0.50% of assets exceeding $1 billion | ||||||
SFT IvySM Small Cap Growth Fund (f) | 0.85% of assets to $300 million; and 0.80% of next $200 million of assets; and 0.75% of next $500 million of assets; and 0.70% of assets exceeding $1 billion | ||||||
SFT Real Estate Securities Fund (g) | 0.70% of assets to $300 million; and 0.675% of next $200 million of assets; and 0.65% of next $500 million of assets; and 0.60% of assets exceeding $1 billion | ||||||
SFT T. Rowe Price Value Fund (h) | 0.67% of assets to $300 million; and 0.65% of next $200 million of assets; and 0.625% of next $500 million of assets; and 0.60% of assets exceeding $1 billion | ||||||
SFT Wellington Core Equity Fund (i) | 0.65% of assets to $300 million; and 0.625% of next $200 million of assets; and 0.60% of next $500 million of assets; and 0.55% of assets exceeding $1 billion |
(a) Prior to May 1, 2021, the Fund's investment advisory fee was 0.55% of all assets.
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(4) Expenses and Related Party Transactions – (continued)
(b) Prior to May 1, 2021, the Fund's investment advisory fee was 0.40% of net assets to $1 billion; and 0.35% of net assets exceeding $1 billion.
(c) Prior to May 1, 2021, the Fund's investment advisory fee was 0.30% of net assets to $1 billion; and 0.25% of net assets exceeding $1 billion.
(d) Prior to May 1, 2021, the Fund's investment advisory fee was 0.60% of net assets to $1 billion; and 0.55% of net assets exceeding $1 billion.
(e) Prior to May 1, 2021, the Fund's investment advisory fee was 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.
(f) Prior to May 1, 2021, the Fund's investment advisory fee was 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.
(g) Prior to May 1, 2021, the Fund's investment advisory fee was 0.70% of net assets to $1 billion; and 0.65% of net assets exceeding $1 billion.
(h) Prior to May 1, 2021, the Fund's investment advisory fee was 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.
(i) Prior to May 1, 2021, the Fund's investment advisory fee was 0.65% of all assets.
For the period January 1, 2021 through April 30, 2021, Securian AM had a sub-advisory agreement with Franklin Advisers, Inc. (Franklin), a registered investment adviser for the SFT International Bond Fund, under which Securian AM paid Franklin an annual fee of 0.37% based on average daily net assets. Effective May 1, 2021, Securian AM replaced Franklin with Brandywine Global Investment Management, LLC ("Brandywine") as sub-advisor to SFT International Bond Fund, under which Securian AM pays Brandywine an annual fee of 0.30% based on average daily net assets.
For the period January 1, 2021 through April 30, 2021, Securian AM had 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 paid IICO an annual fee ranging from 0.33% to 0.55% and 0.40% to 0.82%, respectively, based on average daily net assets. On April 30, 2021, Macquarie Group Limited (Macquarie) completed a transaction whereby Macquarie acquired Waddell & Reed Financial, Inc. (WDR), the parent company of IICO (the Transaction). The Transaction constituted a change of control of IICO. As a result of the change of control effected by the Transaction and pursuant to the 1940 Act, the previous investment sub-advisory agreement between IICO and Securian AM was automatically terminated on that date. In anticipation of the Transaction, on March 31, 2021 the Board of Trustees of the Trust voted unanimously to approve a new investment sub-advisory agreement between Securian AM and Delaware Investments Fund Advisers (DIFA), a series of Macquarie Investment Management Business Trust, which took effect at the close of the Transaction (the New Sub-Advisory Agreement). The New Sub-Advisory Agreement was effective May 3, 2021, under which Securian AM pays DIFA an annual fee for SFT IvySM Growth Fund and SFT IvySM Small Cap Growth Fund 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.
Operating expenses not attributable to a specific Fund are generally allocated based upon the proportionate daily net assets of each Fund.
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(4) Expenses and Related Party Transactions – (continued)
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 $7,300 to $24,200.
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 2021, 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 the 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%. 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 runs through April 30, 2022.
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Securian Funds Trust
Notes to Financial Statements – continued
(4) Expenses and Related Party Transactions – (continued)
As of June 30, 2021, 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 | Excess Expense Waived for the six months ended | Total eligible for recovery as of | Expiring June 30, | ||||||||||||||||||||||||||||||
Fund | Date | June 30, 2021* | June 30, 2021* | June 30, 2021* | June 30, 2021 | 2022 | 2023 | 2024 | |||||||||||||||||||||||||||
SFT Government Money Market Fund | May 1, 2012 | $ | 276,465 | $ | 243,869 | $ | 88,632 | $ | 1,384,967 | $ | — | $ | 197,114 | $ | 1,187,853 |
* This amount is reflected in fees waived in the accompanying Statements of Operations.
SFT Balanced Stabilization Fund, SFT Equity Stabilization Fund, and SFT Government Money Market Fund Expense Waivers
Securian AM and the Trust, on behalf of the SFT Balanced Stabilization Fund, SFT Equity Stabilization Fund and SFT Government Money Market 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). The Agreements for SFT Balanced Stabilization Fund and SFT Equity Stabilization Fund were terminated effective May 1, 2021. The SFT Government Money Market Fund Agreement runs through April 30, 2022.
The SFT Government Money Market 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 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 their respective Expense Limitation Agreement, provided that such reimbursement will not cause any Fund to exceed any limits in effect at the time of such reimbursement. A 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 a 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 Funds' prospectus.
As of June 30, 2021, the amounts waived and eligible for recovery are as follows:
Agreement | Expense | Advisory Fees Waived for the six months ended | Total eligible for recovery as of | Expiring June 30, | |||||||||||||||||||||||||||
Fund | Date | Limit | June 30, 2021* | June 30, 2021 | 2022 | 2023 | 2024 | ||||||||||||||||||||||||
SFT Balanced Stabilization Fund | May 1, 2013 | 0.80 | %** | $ | 120,740 | $ | 1,347,612 | $ | 699,492 | $ | 324,640 | $ | 323,480 | ||||||||||||||||||
SFT Equity Stabilization Fund | November 18, 2015 | 0.80 | %** | $ | 87,034 | $ | 973,726 | $ | 493,072 | $ | 252,607 | $ | 228,047 | ||||||||||||||||||
SFT Government Money Market Fund | November 1, 2017 | 0.70 | % | $ | — | $ | 196,813 | $ | 152,291 | $ | 44,522 | $ | — |
* This amount is reflected in fees waived in the accompanying Statements of Operations.
** For the period January 1, 2021 through April 30, 2021.
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Securian Funds Trust
Notes to Financial Statements – continued
(5) Illiquid Investments
Non-Money Market Funds – Pursuant to Rule 22e-4 under the 1940 Act, 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, 2021, the Funds' did not hold illiquid securities.
Government Money Market Funds – Money market funds are governed by Rule 2a-7 under the 1940 Act. 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, 2021, 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, 2021, 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, 2021 using | |||||||||||||||||||
Fund | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
SFT Balanced Stabilization Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Government Obligations | $ | — | $ | 16,043,103 | $ | — | $ | 16,043,103 | |||||||||||
Other Mortgage-Backed Securities | — | 1,680,195 | — | 1,680,195 | |||||||||||||||
Corporate Obligations | — | 159,383,706 | — | 159,383,706 | |||||||||||||||
Purchased Options | 1,637,235 | — | — | 1,637,235 | |||||||||||||||
Investment Companies | 518,683,737 | — | — | 518,683,737 | |||||||||||||||
Total Investments | 520,320,972 | 177,107,004 | — | 697,427,976 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | 2,911,243 | — | — | 2,911,243 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Written Options | (276,057 | ) | — | — | (276,057 | ) |
90
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Notes to Financial Statements – continued
(6) Fair Value Measurement – (continued)
Fair Value Measurement at June 30, 2021 using | |||||||||||||||||||
Fund | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
SFT Core Bond Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Government Obligations | $ | — | $ | 150,057,840 | $ | — | $ | 150,057,840 | |||||||||||
Asset-Backed Securities | — | 60,307,560 | — | 60,307,560 | |||||||||||||||
Other Mortgage-Backed Securities | — | 64,859,562 | — | 64,859,562 | |||||||||||||||
Corporate Obligations | — | 231,445,681 | — | 231,445,681 | |||||||||||||||
Investment Companies | 4,492,712 | — | — | 4,492,712 | |||||||||||||||
Total Investments | 4,492,712 | 506,670,643 | — | 511,163,355 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | 1,164,681 | — | — | 1,164,681 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | (845,106 | ) | — | — | (845,106 | ) | |||||||||||||
SFT Equity Stabilization Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Investment Companies | 354,821,464 | — | — | 354,821,464 | |||||||||||||||
Purchased Options | 841,520 | — | — | 841,520 | |||||||||||||||
Total Investments | 355,662,984 | — | — | 355,662,984 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | 637,725 | — | — | 637,725 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Written Options | (141,119 | ) | — | — | (141,119 | ) | |||||||||||||
SFT Government Money Market Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
U.S. Government Obligations | — | 167,243,528 | — | 167,243,528 | |||||||||||||||
Investment Companies | 23,948,789 | — | — | 23,948,789 | |||||||||||||||
Total Investments | 23,948,789 | 167,243,528 | — | 191,192,317 | |||||||||||||||
SFT Index 400 Mid-Cap Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 215,530,960 | — | — | 215,530,960 | |||||||||||||||
U.S. Government Obligations | — | 1,014,375 | — | 1,014,375 | |||||||||||||||
Investment Companies | 9,472,186 | — | — | 9,472,186 | |||||||||||||||
Total Investments | 225,003,146 | 1,014,375 | — | 226,017,521 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | 129,919 | — | — | 129,919 | |||||||||||||||
SFT Index 500 Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 1,102,164,176 | — | — | 1,102,164,176 | |||||||||||||||
Investment Companies | 21,649,608 | — | — | 21,649,608 | |||||||||||||||
Total Investments | 1,123,813,784 | — | — | 1,123,813,784 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | 438,929 | — | — | 438,929 |
91
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Notes to Financial Statements – continued
(6) Fair Value Measurement – (continued)
Fair Value Measurement at June 30, 2021 using | |||||||||||||||||||
Fund | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||
SFT International Bond Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Long-Term Debt Securities | $ | 83,801,740 | $ | — | $ | 83,801,740 | |||||||||||||
Short-Term Debt Securities | $ | — | 5,009,816 | — | 5,009,816 | ||||||||||||||
Investment Companies | 2,049,325 | — | — | 2,049,325 | |||||||||||||||
Total Investments | 2,049,325 | 88,811,556 | — | 90,860,881 | |||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Forward Foreign Currency Contracts | — | 506,685 | — | 506,685 | |||||||||||||||
Liabilities | |||||||||||||||||||
Other Financial Instruments* | |||||||||||||||||||
Futures Contracts | (165,024 | ) | — | — | (165,024 | ) | |||||||||||||
Forward Foreign Currency Contracts | — | (820,121 | ) | — | (820,121 | ) | |||||||||||||
Total | (165,024 | ) | (820,121 | ) | — | (985,145 | ) | ||||||||||||
SFT IvySM Growth Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 662,788,394 | — | — | 662,788,394 | |||||||||||||||
Investment Companies | 5,118,286 | — | — | 5,118,286 | |||||||||||||||
Total Investments | 667,906,680 | — | — | 667,906,680 | |||||||||||||||
SFT IvySM Small Cap Growth Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 217,292,391 | — | — | 217,292,391 | |||||||||||||||
Investment Companies | 7,074,597 | — | — | 7,074,597 | |||||||||||||||
Total Investments | 224,366,988 | — | — | 224,366,988 | |||||||||||||||
SFT Real Estate Securities Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 147,965,651 | — | — | 147,965,651 | |||||||||||||||
Investment Companies | 378,163 | — | — | 378,163 | |||||||||||||||
Total Investments | 148,343,814 | — | — | 148,343,814 | |||||||||||||||
SFT T. Rowe Price Value Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 224,984,503 | — | — | 224,984,503 | |||||||||||||||
Preferred Stocks | 807,765 | — | — | 807,765 | |||||||||||||||
Investment Companies | 1,138,037 | — | — | 1,138,037 | |||||||||||||||
Total Investments | 226,930,305 | — | — | 226,930,305 | |||||||||||||||
SFT Wellington Core Equity Fund | |||||||||||||||||||
Assets | |||||||||||||||||||
Common Stocks | 137,720,719 | — | — | 137,720,719 | |||||||||||||||
Investment Companies | 660,756 | — | — | 660,756 | |||||||||||||||
Total Investments | 138,381,475 | — | — | 138,381,475 |
* 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
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Securian Funds Trust
Notes to Financial Statements – continued
(6) Fair Value Measurement – (continued)
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 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 – 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, 2 and 3 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
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Securian Funds Trust
Notes to Financial Statements – continued
(7) Derivative Instruments Reporting – (continued)
Investments in Securities. The following tables represent the average monthly volume of the Fund's derivative transactions during the six months ended June 30, 2021:
Average Notional Amount | |||||||
SFT Balanced Stabilization Fund | |||||||
Futures contracts | $ | 201,050,266 | |||||
Purchased options contracts | 1,201,999 | ||||||
Written options contracts | (457,118 | )(a) | |||||
SFT Core Bond Fund | |||||||
Futures contracts | $ | 89,923,134 | |||||
SFT Equity Stabilization Fund | |||||||
Futures contracts | $ | 39,674,778 | |||||
Purchased options contracts | 622,439 | ||||||
Written options contracts | (233,047 | )(a) | |||||
SFT Index 400 Mid-Cap Fund | |||||||
Futures contracts | $ | 8,113,149 | |||||
SFT Index 500 Fund | |||||||
Futures contracts | $ | 14,862,248 | |||||
SFT International Bond Fund | |||||||
Futures contracts | $ | 4,459,476 | (b) | ||||
Forward foreign currency contracts | 101,863,037 | (a) |
(a) Positions were open for five months during the period.
(b) Positions were open for two months during the period.
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 Balanced Stabilization Fund and the SFT Equity Stabilization 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 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.
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Notes to Financial Statements – continued
(7) Derivative Instruments Reporting – (continued)
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 Balanced Stabilization Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2021 | |||||||||||||||
Assets: | |||||||||||||||
Investments in securities, at market value (purchased options) | $ | 1,637,235 | $ | — | $ | — | |||||||||
Variation margin on futures contracts* | 2,911,243 | — | — | ||||||||||||
Total | $ | 4,548,478 | $ | — | $ | — | |||||||||
Liabilities: | |||||||||||||||
Written options contracts | $ | (276,057 | ) | ||||||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2021 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | 20,011,671 | $ | — | $ | — | |||||||||
Purchased options contracts | (5,409,932 | ) | — | — | |||||||||||
Written options contracts | 1,685,164 | — | — | ||||||||||||
Total | $ | 16,286,903 | $ | — | $ | — | |||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | 1,113,878 | $ | — | $ | — | |||||||||
Purchased options contracts | 178,911 | — | — | ||||||||||||
Written options contracts | (15,460 | ) | |||||||||||||
Total | $ | 1,277,329 | $ | — | $ | — | |||||||||
SFT Core Bond Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2021 | |||||||||||||||
Assets: | |||||||||||||||
Variation margin on futures contracts* | $ | — | $ | 1,164,681 | $ | — | |||||||||
Liabilities: | |||||||||||||||
Variation margin on futures contracts* | $ | — | $ | (845,106 | ) | $ | — | ||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2021 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | — | $ | (1,365,307 | ) | $ | — | ||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | — | $ | 483,953 | $ | — |
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Notes to Financial Statements – continued
(7) Derivative Instruments Reporting – (continued)
Risk Exposure | |||||||||||||||
Equity Contracts | Interest Rate Contracts | Foreign Exchange Contracts | |||||||||||||
SFT Equity Stabilization Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2021 | |||||||||||||||
Assets: | |||||||||||||||
Investments in securities, at market value (purchased options) | $ | 841,520 | $ | — | $ | — | |||||||||
Variation margin on futures contracts* | 637,725 | — | — | ||||||||||||
Total | $ | 1,479,245 | $ | — | $ | — | |||||||||
Liabilities: | |||||||||||||||
Written options contracts | $ | (141,119 | ) | $ | — | $ | — | ||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2021 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | 2,437,553 | $ | — | $ | — | |||||||||
Purchased options contracts | (2,859,568 | ) | — | — | |||||||||||
Written options contracts | 875,806 | — | — | ||||||||||||
Total | $ | 453,791 | $ | — | $ | — | |||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | 637,725 | $ | — | $ | — | |||||||||
Purchased options contracts | 97,169 | — | — | ||||||||||||
Written options contracts | (8,402 | ) | — | — | |||||||||||
Total | $ | 726,492 | $ | — | $ | — | |||||||||
SFT Index 400 Mid-Cap Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2021 | |||||||||||||||
Assets: | |||||||||||||||
Variation margin on futures contracts* | $ | 129,919 | $ | — | $ | — | |||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2021 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | 1,513,847 | $ | — | $ | — | |||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | (50,003 | ) | $ | — | $ | — | ||||||||
SFT Index 500 Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2021 | |||||||||||||||
Assets: | |||||||||||||||
Variation margin on futures contracts* | $ | 438,929 | $ | — | $ | — | |||||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2021 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Futures contracts | $ | 2,103,557 | $ | — | $ | — | |||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Futures contracts | $ | 164,915 | $ | — | $ | — |
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Notes to Financial Statements – continued
(7) Derivative Instruments Reporting – (continued)
Risk Exposure | |||||||||||||||
Equity Contracts | Interest Rate Contracts | Foreign Exchange Contracts | |||||||||||||
SFT International Bond Fund | |||||||||||||||
Fair Value of Derivative Instruments on the Statement of Assets and Liabilities as of June 30, 2021 | |||||||||||||||
Assets: | |||||||||||||||
Unrealized appreciation on forward foreign currency contracts | $ | — | $ | — | $ | 506,685 | |||||||||
Liabilities: | |||||||||||||||
Unrealized depreciation on forward foreign currency contracts | $ | — | $ | — | $ | (820,121 | ) | ||||||||
Variation margin on futures contracts* | — | (165,024 | ) | — | |||||||||||
Total | $ | — | $ | (165,024 | ) | $ | (820,121 | ) | |||||||
The Effect of Derivative Instruments on the Statement of Operations for the period ended June 30, 2021 | |||||||||||||||
Net Realized Gain (Loss) on Derivatives: | |||||||||||||||
Foreign currency contracts | $ | — | $ | — | $ | (3,272,541 | ) | ||||||||
Futures contracts | — | 108 | — | ||||||||||||
Total | $ | — | $ | 108 | $ | (3,272,541 | ) | ||||||||
Net Change in Unrealized Appreciation (Depreciation) on Derivatives: | |||||||||||||||
Foreign currency contracts | $ | — | $ | — | $ | 2,128,370 | |||||||||
Futures contracts | — | (165,024 | ) | — | |||||||||||
Total | $ | — | $ | (165,024 | ) | $ | 2,128,370 |
* Includes cumulative appreciation/depreciation of futures 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, 2021 none of the Funds' derivatives were subject to master netting arrangements.
(8) Affiliated Ownership
The SFT Balanced Stabilization 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 Balanced Stabilization Fund because they share the same investment adviser, Securian AM, and because they are overseen by the same Board. The SFT Balanced Stabilization 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
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Notes to Financial Statements – continued
(8) Affiliated Ownership – (continued)
included in the Standard & Poor's 500® Index. A summary of all transactions with the affiliated SFT Index 500 Fund as of June 30, 2021 are as follows:
As of June 30, 2021 | |||||||||||||||||||
Fund/ Underlying Fund | Beginning Value as of January 1, 2021 | Change in Unrealized Appreciation/ Depreciation | Ending Value | Share Balance | |||||||||||||||
SFT Balanced Stabilization Fund | |||||||||||||||||||
SFT Index 500 Fund | $ | 223,777,991 | $ | 33,826,142 | $ | 257,604,133 | 14,224,618 |
(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 was declared a pandemic by the World Health Organization. The impact of COVID-19 has been and could continue to 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) Recent Accounting Pronouncements
In October 2020, the Securities and Exchange Commission (the SEC) adopted new regulations governing the use of derivatives by registered investment companies. Rule 18f-4 will impose limits on the amount of derivatives a fund could enter into, eliminate the asset segregation framework currently used by funds to comply with Section 18 of the 1940 Act, and require funds whose use of derivatives is more than a limited specified exposure to establish and maintain a derivatives risk management program and appoint a derivatives risk manager. While the new rule became effective February 19, 2021, funds will not be required to fully comply with the new rule until August 19, 2022. It is not currently clear what impact, if any, the new rule will have on the availability, liquidity or performance of derivatives. When fully implemented, the new rule may require changes in how a Fund will use derivatives, may adversely affect a Fund's performance, and may increase costs related to a Fund's use of derivatives.
On December 3, 2020, the SEC adopted new rule 2a-5 (the Valuation Rule) under the Investment Company Act of 1940, establishing an updated regulatory framework for fund valuation. The Valuation Rule, in part, provides a framework for good faith fair value determination and permits a Board to designate fair value determinations to a fund's investment adviser. Further, the SEC is rescinding previously issued guidance on related issues. The Valuation Rule became effective on March 8, 2021, with a compliance date of September 8, 2022. Management is currently evaluating the Valuation Rule and its effect on the Funds.
(11) Subsequent Events
Management has evaluated subsequent events for the Trust through the date of the filing, and has concluded there were no material events that would require disclosure.
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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, 2021 through June 30, 2021. 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 entire year.
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 Balanced Stabilization Fund | $ | 1,000 | NA | NA | NA | $ | 1,075.40 | 0.82 | % | $ | 4.22 | ||||||||||||||||||||
SFT Core Bond Fund | 1,000 | $ | 997.50 | 0.49 | % | $ | 2.43 | 996.30 | 0.74 | % | 3.66 | ||||||||||||||||||||
SFT Equity Stabilization Fund | 1,000 | NA | NA | NA | 1,070.10 | 0.83 | % | 4.26 | |||||||||||||||||||||||
SFT Government Money Market Fund | 1,000 | NA | NA | NA | 1,000.00 | 0.05 | % | 0.25 | |||||||||||||||||||||||
SFT Index 400 Mid-Cap Fund | 1,000 | 1,174.20 | 0.28 | % | 1.51 | 1,172.70 | 0.53 | % | 2.86 | ||||||||||||||||||||||
SFT Index 500 Fund | 1,000 | 1,151.20 | 0.19 | % | 1.01 | 1,149.70 | 0.44 | % | 2.35 | ||||||||||||||||||||||
SFT International Bond Fund | 1,000 | 972.80 | 1.02 | % | 4.99 | 971.60 | 1.27 | % | 6.21 | ||||||||||||||||||||||
SFT IvySM Growth Fund | 1,000 | NA | NA | NA | 1,150.90 | 0.96 | % | 5.12 | |||||||||||||||||||||||
SFT IvySM Small Cap Growth Fund | 1,000 | NA | NA | NA | 1,106.60 | 1.21 | % | 6.32 | |||||||||||||||||||||||
SFT Real Estate Securities Fund | 1,000 | 1,231.90 | 0.88 | % | 4.87 | 1,230.40 | 1.13 | % | 6.25 | ||||||||||||||||||||||
SFT T. Rowe Price Value Fund | 1,000 | NA | NA | NA | 1,187.80 | 1.04 | % | 5.64 | |||||||||||||||||||||||
SFT Wellington Core Equity Fund | 1,000 | 1,125.60 | 0.83 | % | 4.37 | 1,124.30 | 1.08 | % | 5.69 |
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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 year. 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 Balanced Stabilization Fund | $ | 1,000 | NA | NA | NA | $ | 1,020.73 | 0.82 | % | $ | 4.11 | ||||||||||||||||||||
SFT Core Bond Fund | 1,000 | $ | 1,022.36 | 0.49 | % | $ | 2.46 | 1,021.12 | 0.74 | % | 3.71 | ||||||||||||||||||||
SFT Equity Stabilization Fund | 1,000 | NA | NA | NA | 1,020.68 | 0.83 | % | 4.16 | |||||||||||||||||||||||
SFT Government Money Market Fund | 1,000 | NA | NA | NA | 1,024.55 | 0.05 | % | 0.25 | |||||||||||||||||||||||
SFT Index 400 Mid-Cap Fund | 1,000 | 1,023.41 | 0.28 | % | 1.40 | 1,022.17 | 0.53 | % | 2.66 | ||||||||||||||||||||||
SFT Index 500 Fund | 1,000 | 1,023.85 | 0.19 | % | 0.95 | 1,022.61 | 0.44 | % | 2.21 | ||||||||||||||||||||||
SFT International Bond Fund | 1,000 | 1,019.74 | 1.02 | % | 5.11 | 1,018.50 | 1.27 | % | 6.36 | ||||||||||||||||||||||
SFT IvySM Growth Fund | 1,000 | NA | NA | NA | 1,020.03 | 0.96 | % | 4.81 | |||||||||||||||||||||||
SFT IvySM Small Cap Growth Fund | 1,000 | NA | NA | NA | 1,018.79 | 1.21 | % | 6.06 | |||||||||||||||||||||||
SFT Real Estate Securities Fund | 1,000 | 1,020.43 | 0.88 | % | 4.41 | 1,019.19 | 1.13 | % | 5.66 | ||||||||||||||||||||||
SFT T. Rowe Price Value Fund | 1,000 | NA | NA | NA | 1,019.64 | 1.04 | % | 5.21 | |||||||||||||||||||||||
SFT Wellington Core Equity Fund | 1,000 | 1,020.68 | 0.83 | % | 4.16 | 1,019.44 | 1.08 | % | 5.41 |
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 SEC'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.
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 SEC'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 investment holdings with the SEC for the first and third quarters of each fiscal year 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.
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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 28, 2021. 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."
The Board receives 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. The Board meets 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). The Board also receives frequent updates on industry developments and best practices, changes in Securian AM's organization and staffing, brokerage allocation and other matters.
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.
The Board considered various factors described below, none of which by itself was considered dispositive. However, the material factors and conclusions that formed the basis for the Board's determination to approve the Advisory Contracts are discussed separately below
Management Fee and Other Expenses
The Trustees reviewed the January 2021 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 and analyzed how several factors contributed to higher expenses for certain Funds, including the size of the Funds. The Trustees reviewed whether current fee levels appropriately capture and share economies of scale (if any) with Fund investors and the Trustees noted that under the proposed revised fee schedule, all of Securian AM's Funds would have break-points in their fee structures that provide the opportunity for sharing economies of scale with Fund investors as such Funds' assets grow. Based on this information, the Trustees concluded that the advisory fee payable by each Fund to Securian AM is fair and reasonable.
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 reviewed 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.
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Statement Regarding Basis for Approval of Advisory Contracts – continued
(unaudited)
Investment Results
The Trustees reviewed 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 ended December 31, 2020 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 five-year period, underperformed its Lipper peers and benchmark for the three and five-year periods, but outperformed its Lipper peers and benchmark for the ten-year period. They noted that the International Bond Fund underperformed its Lipper peers and benchmark for the most recent quarter and for the ten-year period, but substantially underperformed its Lipper peers and benchmark for the one, three and five-year periods. The Trustees observed that the Real Estate Securities Fund underperformed its Lipper peers and benchmark during the most recent quarter, outperformed its Lipper peers and benchmark during the one and three-year periods, and performed in line with its Lipper peers and benchmark during the other periods reported. They then noted that the S&P 400 Index Fund performed in line with its Lipper peers and benchmark during all reporting periods. The Trustees also noted that the S&P 500 Index Fund slightly underperformed its Lipper peers and benchmark during all reporting periods. They also noted that the Government Money Market Fund's somewhat underperformed its Lipper peers and benchmark for all relevant periods. 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 performed in line with its Lipper peers and benchmark during the 3-year period, but underperformed its Lipper peers and benchmark during all other reporting periods. They noted that the Ivy Small Cap Growth Fund underperformed both its Lipper peers and benchmark for the most recent quarter, performed in line with its Lipper peers and benchmark during the one and three-year periods, and outperformed its Lipper peers and benchmark during the five-year period. The Trustees then observed that Wellington Core Equity Fund outperformed its Lipper peers and benchmark for the most recent quarter and three-year period, and performed in line with its Lipper peers and benchmark during the one and five-year periods. Finally, the Trustees noted that T. Rowe Price Value Fund outperformed its Lipper peers and benchmark for each period presented. 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 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
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Statement Regarding Basis for Approval of Advisory Contracts – continued
(unaudited)
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 28, 2021 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.
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Securian Funds Trust
Statement Regarding Basis for Approval of the Investment Sub-Advisory Agreement with Brandywine Global Investment Management, LLC
At a special meeting held on March 31, 2021, the Board of Trustees (the "Board") of Securian Funds Trust (the "Trust") considered the recommendation of Securian Asset Management, Inc. (the "Adviser") that Brandywine Global Investment Management, LLC ("Brandywine") replace Franklin Advisers, Inc. ("Franklin") as the sub-adviser to the SFT International Bond Fund (the "Fund") and unanimously approved a new sub-advisory agreement between the Adviser and Brandywine (the "Brandywine Agreement"). At the meeting, the Board reviewed materials furnished by the Adviser and by Brandywine pertaining to Brandywine and the Brandywine Agreement. The Board also received a presentation from Brandywine's Global Opportunistic Fixed Income—USD Hedged team.
Prior to voting, the Board reviewed the Adviser's recommendation that it approve the Brandywine Agreement with independent legal counsel and received from such counsel an oral summary of the legal standards for consideration of the proposed approval. In its deliberations, the Board considered all factors that the Trustees believed were relevant. The Board based its decision to approve the Brandywine Agreement on the totality of the circumstances and relevant factors, and with a view to past and future long-term considerations.
The Trustees had requested and evaluated other information, including information on Brandywine's organization and current staffing, performance information, and information on its compliance program and practices.
The Trustees reviewed the terms of the Brandywine Agreement. In reaching their determination with respect to the approval of the Brandywine Agreement, the Trustees met in private session with independent legal counsel at which no representatives of the Adviser, Brandywine or their respective affiliates were present.
In their deliberations, the Trustees did not identify any particular information that was all-important or controlling, and each Trustee may have attributed different weights to the various factors. The Trustees evaluated all information available to them regarding the Fund.
The material factors and conclusions that formed the basis for the Trustees' approval of the Brandywine Agreement (including the appropriateness of the fees payable to Brandywine by the Adviser thereunder) were separately discussed by the Trustees. The Trustees determined that the overall arrangements between the Fund and Brandywine, as provided in the Brandywine Agreement, are fair and reasonable in light of the services performed, expenses incurred and such other matters as the Trustees considered relevant in the exercise of their reasonable judgment.
The nature, extent, and quality of services proposed to be provided by Brandywine
In deciding to approve Brandywine as the Fund's sub-adviser, the Board considered the experience and track record of Brandywine's investment management personnel. The Board also took into account Brandywine's investment infrastructure, as well as the risk profiles of its investment process. In addition, the Board considered whether Brandywine is capable of competently managing the Fund; that the nature, extent, and quality of services that Brandywine proposes to provide would be at a level at least equal to the services that have been provided by Franklin; that the services contemplated by the Brandywine Agreement are substantially similar to those provided under the agreement between the Adviser and Franklin (the "Franklin Agreement"); that the Brandywine Agreement contains provisions generally comparable to those of other sub-advisory agreements for other mutual funds; that Brandywine was staffed with a number of experienced personnel; and that Brandywine is supported by a well-capitalized parent company. Based upon all these matters, the Board concluded that the nature, extent and quality of services Brandywine proposes to provide would likely benefit the Fund.
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Statement Regarding Basis for Approval of the Investment Sub-Advisory Agreement with Brandywine Global Investment Management, LLC – continued
Brandywine's investment performance
The Board received information on the investment returns of Brandywine's Global Opportunistic Fixed Income—USD Hedged team, whose strategy was proposed to be used by Brandywine as the sub-adviser to the Fund. Gross investment return information included annualized one-, three-, five-, seven-, and ten-year annualized returns and since inception annualized returns. It was noted that for each of the one-, three-, five-, seven- and ten-year annualized returns, and the annualized returns since inception (July 31, 2004), the strategy utilized by Brandywine's Global Opportunistic Fixed Income—USD Hedged team outperformed the Bloomberg Barclays U.S. Aggregate Index.
On the basis of the information presented, the Board concluded that Brandywine's performance in managing portfolios with strategies substantially similar to that of the Fund has been strong.
The costs of services to be provided and profits to be realized by Brandywine from its relationship with the Fund
The Board did not consider Brandywine's profitability as it has not managed the Fund. However, the Board compared the fee schedule in the Brandywine Agreement to the fee schedule in the Franklin Agreement. The Board noted that the sub-adviser fee in the Brandywine Agreement is lower than the sub-adviser fee in the Franklin Agreement (30 basis points versus 37 basis points). The Board also noted that fees paid to Brandywine will be paid by the Adviser out of the fees it receives from the Fund and that the fees payable by shareholders of the Fund will not change. Based upon its review, the Board concluded that the fees proposed to be paid to Brandywine were reasonable.
The extent to which economies of scale would be realized as the Fund grows, and whether fee levels reflect these economies of scale
The Board noted that the fee schedules in the Brandywine Agreement and the Franklin Agreement do not contain "breakpoints" to reduce the fee rate based upon the size of the Fund's assets. However, they noted that as the Fund grows, it could experience economies of scale.
Based on the foregoing factors, the Trustees concluded that approving the Brandywine Agreement was in the best interest of the Fund and its shareholders.
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Securian Funds Trust
Statement Regarding Basis for Approval of the Investment Sub-Advisory Agreement with Delaware Investments Fund Advisers
At a special meeting held on March 31, 2021, the Board of Trustees (the "Board") of Securian Funds Trust (the "Trust") considered the recommendation of Securian Asset Management, Inc. (the "Adviser") to approve a new sub-advisory agreement between the Adviser and Delaware Investments Fund Advisers, a series of Macquarie Investment Management Business Trust ("DIFA") with respect to the SFT IvySM Growth Fund and the SFT IvySM Small Cap Growth Fund (collectively, the "Funds") (the "DIFA Agreement") upon the termination of the existing sub-advisory agreement with Ivy Investment Management Company ("IICO"). At the meeting, the Board reviewed materials furnished by the Adviser and by DIFA pertaining to DIFA and the DIFA Agreement. The Board also previously received a presentation from personnel of IICO, the current sub-adviser of the Funds, and Macquarie Group Limited ("Macquarie"), the ultimate parent company of DIFA.
Prior to voting, the Board reviewed the Adviser's recommendation that it approve the DIFA Agreement with independent legal counsel and received from such counsel an oral summary of the legal standards for consideration of the proposed approval. In its deliberations, the Board considered all factors that the Trustees believed were relevant. The Board based its decision to approve the DIFA Agreement on the totality of the circumstances and relevant factors, and with a view to past and future long-term considerations. In reaching their determination with respect to the approval of the DIFA Agreement, the Trustees met in private session with independent legal counsel at which no representatives of the Adviser, IICO, DIFA or their respective affiliates were present.
In their deliberations, the Trustees did not identify any particular information that was all-important or controlling, and each Trustee may have attributed different weights to the various factors. The Trustees evaluated all information available to them regarding the Funds.
The material factors and conclusions that formed the basis for the Trustees' approval of the DIFA Agreement (including the appropriateness of the fees payable to DIFA by the Adviser thereunder) were separately discussed by the Trustees. The Trustees determined that the proposed arrangements between the Funds and DIFA, as provided in the DIFA Agreement, are fair and reasonable in light of the services proposed to be performed, expenses incurred and such other matters as the Trustees considered relevant in the exercise of their reasonable judgment.
The nature, extent, and quality of services proposed to be provided by DIFA
In deciding to approve DIFA as the Funds' sub-adviser, the Board considered that the same portfolio managers who currently manage the Funds would be employed by DIFA and would manage the Funds in the identical fashion going forward. The Board also noted the potential for increased support by DIFA's investment infrastructure.
In reviewing the other various matters listed above, the Board concluded that DIFA is a recognized firm capable of competently managing the Funds; that the nature, extent, and quality of services that DIFA could provide were at a level at least equal to the services currently provided by IICO; that the services contemplated by the DIFA Agreement are substantially similar to those provided under the sub-advisory agreement between the Adviser and IICO (the "IICO Agreement"); and that the DIFA Agreement is substantially the same as the IICO Agreement.
The investment performance of DIFA
The Board noted that the current portfolio managers would continue to manage the Funds; accordingly, the Board considered the past performance of the Funds and concluded that, on the basis of the information presented, DIFA would be able to provide acceptable performance going forward.
106
Securian Funds Trust
Statement Regarding Basis for Approval of the Investment Sub-Advisory Agreement with Delaware Investments Fund Advisers – continued
The costs of services to be provided and profits to be realized by DIFA from its relationship with the Funds
The Board did not consider DIFA's projected profitability as this would be a new arrangement for the Funds. However, the Board noted that DIFA would charge the Adviser the same fee that IICO currently charges. The Board also noted that fees that the Adviser would pay to DIFA will be paid out of the fees it receives from the Funds and that the fees payable by shareholders of the Funds will not change. Based upon its review, the Board concluded that the fees proposed to be paid to DIFA were reasonable.
The extent to which economies of scale would be realized as the Funds grow, and whether fee levels reflect these economies of scale
The Board noted that the fee schedules in the both the IICO Agreement and the DIFA Agreement contain "breakpoints" to reduce the fee rate based upon the size of the Funds' assets. Unlike past changes in sub-advisers pursuant to the manager of managers exemptive order, the costs associated with the approval of the DIFA Agreement (such as the cost of preparing and mailing this information statement) will be borne by Macquarie.
Based on the foregoing factors, the Trustees concluded that approving the DIFA Agreement was in the best interest of the Funds and their shareholders.
107
Securian Funds Trust
Statement Regarding Liquidity Risk Management Program
(unaudited)
The Funds have adopted a Liquidity Risk Management Program (the "LRM Program"). The Funds' Board has appointed the Securian AM Liquidity Risk Oversight Committee (the "Committee") as the administrator of the LRM Program. In its capacity as program administrator, the Committee oversees and monitors the LRM Program for the Funds. In addition, the Committee assesses and manages the Funds' liquidity risk, which is the risk that a Fund could not meet requests to redeem shares issued by the Fund without significant dilution of remaining investors' interests in the Fund. The Committee assesses and manages liquidity risk by classifying and reviewing periodically the classification of Fund investments for liquidity risk management purposes; reporting periodically to the Board on Fund liquidity risk and the status of the LRM Program; and determining the policies, procedures and controls necessary to create and maintain the LRM Program, among other means. The Committee's process of determining the degree of liquidity of the Funds' investments is supported by one or more third-party liquidity assessment vendors.
The Funds' Board reviewed a report prepared by the Committee to address the operation of the LRM Program, assess its adequacy and effectiveness of implementation, including (if applicable), the operation of the highly liquid investment minimum and any material changes to the LRM Program for the period from January 1, 2020 through December 31, 2020 (the "Covered Period"). To prepare this report, the Committee discussed the operation and effectiveness of the Funds' third-party liquidity assessment services in light of the liquidity risks posed by each Fund. Additionally, the Committee reviewed portfolio managers' responses to the LRM Program's Annual Liquidity Risk Assessment Review Checklist for each Fund. As a result of its review, the Committee reported the following to the Board:
— The Funds' LRM Program operated effectively during the Covered Period, was adequately designed and was effectively implemented.
— Because each Fund primarily holds assets that are highly liquid investments, the Funds do not have highly liquid investments minimums. It is expected each Fund will continue to primarily hold assets that are highly liquid investments for the foreseeable future.
— There were no material changes to the LRM Program during the Covered Period.
— There were no breaches of any Fund's restriction on holding greater than 15% illiquid assets.
108
Securian Funds Trust
Trustees and Executive Officers
(unaudited)
Under Delaware law, the Board 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 1940 Act) 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 AM or its affiliated companies, including Minnesota Life. 75% of the Board 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.
The Funds' Statement of Additional Information contains additional information about the Funds' Trustees and is available without charge upon request, by calling, toll free, 800-995-3850.
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
109
Securian Funds Trust
Trustees and Executive Officers – continued
(unaudited)
Interested Trustee and Principal Executive Officer
David M. Kuplic 1957 Trustee since 2016 and President since 2011
Senior Vice President, Minnesota Life 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 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 since June 2007; President and Director, Marketview Properties, LLC (entity holding real 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 since February 2000; Second Vice President, Securian Financial Group since February 2000; Second Vice President, Securian Life 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 since June 2018; National Sales Vice President—Retail Life and Annuity Sales, Securian Financial Group, October 2011 to June 2018
Paul Jason Thibodeaux 1979 Secretary since 2021
Senior Investment Counsel, Securian AM since January, 2018; Attorney with the law firm of Gray Plant Mooty (now known as Lathrop GPM, LLP) from 2014 to 2018
(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.
110
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 8-2021
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
©2021 Securian Funds Trust All rights reserved.
F34490 Rev 8-2021
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. The information required by Item 4 is only required in an annual report 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 trustee 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 trustee, 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.
(3) Any written solicitation to purchase securities under Rule 23c-1 under the Investment Company Act of 1940 sent or given during the period covered by this report by or on behalf of the registrant to 10 or more persons:
Not applicable.
(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 (Principal Executive Officer) |
Date: August 23, 2021
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/ Kevin L. Ligtenberg | |
Kevin L. Ligtenberg, Vice President and Treasurer (Principal Financial Officer) |
Date: August 23, 2021