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 | 811-02064 | |||||
PAX WORLD FUNDS SERIES TRUST I | ||||||
(Exact name of registrant as specified in charter) | ||||||
30 Penhallow Street, Suite 400, Portsmouth, NH | 03801 | |||||
(Address of principal executive offices) | (Zip code) | |||||
Pax World Management LLC 30 Penhallow Street, Suite 400, Portsmouth, NH 03801 Attn.: Joseph Keefe | ||||||
(Name and address of agent for service) | ||||||
Registrant’s telephone number, including area code: | 800-767-1729 | |||||
Date of fiscal year end: | December 31 | |||||
Date of reporting period: | 06/30/18 | |||||
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ��3507.
Item 1. Semi-Annual Report to Shareholders
Table of Contents |
Glossary of Terms | 1 |
Letter to Shareholders | 5 |
Portfolio Manager Comments and Highlights | |
Pax Large Cap Fund | 9 |
Pax Mid Cap Fund | 12 |
Pax Small Cap Fund | 15 |
Pax ESG Beta Quality Fund | 18 |
Pax ESG Beta Dividend Fund | 21 |
Pax Global Opportunities Fund | 24 |
Pax Global Environmental Markets Fund | 27 |
Pax Ellevate Global Women’s Leadership Fund | 32 |
Pax MSCI EAFE ESG Leaders Index Fund | 37 |
Pax Core Bond Fund | 41 |
Pax High Yield Bond Fund | 44 |
Pax Balanced Fund | 48 |
Sustainable Investing Update | 51 |
Shareholder Expense Examples | 54 |
Schedules of Investments | 57 |
Statements of Assets and Liabilities | 104 |
Statements of Operations | 108 |
Statements of Changes in Net Assets | 110 |
Statements of Changes in Net Assets—Shares of Beneficial Interest | 116 |
Financial Highlights | 120 |
Notes to Financial Statements | 134 |
Account Options and Services | 165 |
For More Information | |
General Fund Information 800.767.1729
Shareholder Account Information 800.372.7827
Account Inquiries Pax World
Investment Advisers Impax Asset Management LLC | Transfer and Dividend Disbursing Agent BNY Mellon Investment
Custodian State Street Bank and Trust Company |
Glossary of Terms |
Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based index, maintained by Bloomberg L.P. often used to represent investment grade bonds being traded in United States.
Blended Index for the Balanced Fund is composed of 60% S&P 500 Index and 40% Bloomberg Barclays U.S. Aggregate Bond Index.
FTSE Environmental Opportunities Index Series measures the performance of global companies that have significant involvement in environmental business activities, including renewable and alternative energy, energy efficiency, water technology and waste and pollution control. The FTSE Environmental Opportunities Index Series requires companies to have at least 20% of their business derived from environmental markets and technologies. The FTSE Environmental Opportunities Index Series is published by a joint venture of Impax Asset Management, Ltd. (“Impax”) with FTSE International. Impax is also the sub-adviser to the Pax Global Environmental Markets Fund.
ICE BofA Merrill Lynch U.S. High Yield - Cash Pay - BB-B (Constrained 2%) Index tracks the performance of BB- and B rated fixed income securities publicly issued in the major domestic or Eurobond markets, with total index allocation to an individual issuer limited to 2%.
Lipper Core Bond Funds Index tracks the results of the 30 largest mutual funds in the Lipper Core Bond Index Funds Average. The Lipper Core Bond Index Funds Average is a total return performance average of mutual funds tracked by Lipper, Inc. that invest at least 85% in domestic investment-grade debt issues (rated in the top four grades) with any remaining investment in non-benchmark sectors such as high-yield, global and emerging market debt. These funds maintain dollar-weighted average maturities of five to ten years.
Lipper Equity Income Funds Index tracks the results of the 30 largest mutual funds in the Lipper Equity Income Funds Index Average. The Lipper Equity Income Funds Index Funds Average is a total return performance average of mutual funds tracked by Lipper, Inc. that by prospectus language and portfolio practice, seek relatively high current income and growth of income by investing at least 65% of their portfolio in dividend-paying equity securities.
Lipper Global Multi-Cap Core Funds Index tracks the results of the 30 largest mutual funds in the Global Multi-Cap Core Funds Average. The Global Multi-Cap Core Funds Index Average is a total return performance average of mutual funds tracked by Lipper, Inc. that track the results of funds that, by portfolio practice, invest in a variety of market capitalization ranges without concentrating 75% of their equity assets in any one market capitalization range over an extended period of time. Global multi-cap core funds typically have average characteristics compared to the MSCI World Index.
Lipper High Yield Bond Funds Index tracks the results of the 30 largest mutual funds in the Lipper High Yield Bond Funds Average. The Lipper High Yield Bond Funds Average is a total return performance average of mutual funds tracked by Lipper, Inc. that aim at high (relative) current yield from fixed income securities, have no quality or maturity restrictions and tend to invest in lower grade debt issues.
Lipper International Large-Cap Core Funds Index tracks the results of the 30 largest mutual funds in the Lipper International Large-Cap Core Funds Index Average. The Lipper International Large-Cap Core Funds Index Average is a total return performance average of mutual funds tracked by Lipper, Inc. that track the results of funds that, by portfolio practice, invest at least 75% of their equity assets in companies strictly outside of the U.S. with market capitalizations (on a three-year
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Glossary of Terms, continued |
weighted basis) above Lipper’s international large-cap floor. International large-cap core funds typically have an average price-to-cash flow ratio, price-to-book ration, and three-year sales-per-share growth value compared to the S&P/Citigroup World ex-U.S. BMI.
Lipper Large-Cap Core Funds Index tracks the results of the 30 largest mutual funds in the Lipper Large Cap Core Funds Index Average. The Lipper Large Cap Core Funds Index Funds Average is a total return performance average of mutual funds tracked by Lipper, Inc. that invest at least 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) above Lipper’s USDE large-cap floor. Large-cap core funds have more latitude in the companies in which they invest. These funds typically have average characteristics compared to the S&P 500 Index.
Lipper Mid-Cap Core Funds Index tracks the results of the 30 largest mutual funds in the Lipper Mid-Cap Core Funds Average. The Lipper Mid-Cap Core Funds Average is a total return performance average of the mutual funds tracked by Lipper, Inc. that, by portfolio practice, invest at least 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) below Lipper’s USDE mid-cap ceiling. Mid-cap core funds have more latitude in the companies in which they invest. These funds typically have an average price-to-earnings ratio, price-to-book ratio, and three-year sales-per-share growth value, compared to the S&P MidCap 400 Index.
Lipper Multi-Cap Core Funds Index tracks the results of the 30 largest mutual funds in the Lipper Multi-Cap Core Funds Index Average. The Lipper Multi-Cap Core Funds Index Funds Average is a total return performance average of mutual funds tracked by Lipper, Inc. that invest in a variety of market capitalization ranges without concentrating 75% of their equity assets in any one market capitalization range over an extended period of time. These funds typically have average characteristics compared to the S&P SuperComposite 1500 Index.
Lipper Small-Cap Core Funds Index tracks the results of the 30 largest mutual funds in the Lipper Small- Cap Core Funds Average. The Lipper Small-Cap Core Funds Average is a total return performance average of the mutual funds tracked by Lipper, Inc. that, by portfolio practice, invest at least 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) below Lipper’s USDE small-cap ceiling. Small-cap core funds have more latitude in the companies in which they invest. These funds typically have an average price-to-earnings ratio, price-to-book ratio, and three-year sales-per-share growth value, compared to the S&P SmallCap 600 Index.
MSCI All-Country World Index (“ACWI”) Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The MSCI ACWI consists of 47 country indexes comprising 23 developed and 24 emerging market country indexes. The developed market country indexes included are: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, United Kingdom and United States. The emerging market country indexes included are: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates.
MSCI EAFE (Europe, Australasia, Far East) Index is a free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. and Canada. The MSCI EAFE (Net) Index consists of the following 21 developed market
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country indices: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and United Kingdom.
MSCI EAFE ESG Leaders Index is a free float-adjusted market capitalization weighted index designed to measure the performance of equity securities of issuers organized or operating in developed market countries around the world excluding the U.S. and Canada that have high environmental, social and governance (ESG) ratings relative to their sector and industry group peers, as rated by MSCI ESG Research annually. MSCI ESG Research evaluates companies’ ESG characteristics and derives corresponding ESG scores and ratings. Companies are ranked by ESG score against their sector peers to determine their eligibility for the MSCI ESG indices. MSCI ESG Research identifies the highest-rated companies in each peer group to meet the float-adjusted market capitalization sector targets. The rating system is based on general and industry-specific ESG criteria, assigning ratings on a 7-point scale from AAA (highest) to CCC (lowest).
MSCI World Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The MSCI World Index consisted of the following 23 developed market country indices: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom, and the United States.
Morningstar Allocation – 50% to 70% Equity seeks to provide both capital appreciation and income by investing in three major areas: stocks, bonds and cash. These portfolios tend to hold larger positions in stocks than conservative-allocation portfolios. These portfolios typically have 50% to 70% of assets in equities and the remainder in fixed income and cash.
Pax Global Women’s Leadership Index is a customized market capitalization-weighted index consisting of equity securities of issuers organized or operating in countries around the world that demonstrate a commitment to advancing and empowering women through gender diversity on their boards, in management and through other policies and programs, and an understanding of the potential business advantages associated with greater gender diversity, as rated by the Impax Asset Management (IAM) Gender Analytics team, with final approval by the IAM Women’s Index Committee. In addition, the companies comprising the Women’s Index meet certain environmental, social and governance (ESG) or sustainability thresholds, as rated by the IAM Gender Analytics team, with final approval by the IAM Women’s Index Committee.
Russell 1000 Index measures the performance of the 1,000 largest U.S. companies, as measured by market capitalization. It is a subset of the Russell 3000 Index, which measures the largest 3,000 companies. The Russell 1000 Index is comprised of over 90% of the total market capitalization of all listed U.S stocks.
Russell 2000 Index measures the performance of the small-cap segment of the U.S. equity universe. The Russell 2000 Index is a subset of the Russell 3000 Index representing approximately 10% of the total market capitalization of that index. It includes approximately 2,000 of the smallest securities based on a combination of their market cap and current index membership.
Russell Midcap Index measures performance of the mid-capitalization sector of the U.S. equity market. The index is a float-adjusted, capitalization-weighted index of the 800 smallest issuers in the Russell 1000 Index. The index is a subset of the Russell 1000 Index and serves as the underlying index for the Russell Midcap Growth and Value Index series. The Index is reconstituted annually.
S&P 500 Index is an unmanaged index of large capitalization common stocks.
3 |
Glossary of Terms, continued |
Performance for the MSCI ACWI Index, the MSCI EAFE Index, the MSCI EAFE ESG Leaders Index, the MSCI World Index and the Pax Global Women’s Leadership Index are shown “net”, which includes dividend reinvestments after deduction of foreign withholding tax.
Securities Indices above assume reinvestment of all distributions and interest payments, have no policy of sustainable investing and do not take in to account brokerage fees or expenses.
Lipper Indices above are not what are typically considered to be an “index” because they track the performance of other mutual funds rather than changes in the value of a group of securities, a securities index or some other traditional economic indicator.
Diversification does not eliminate the risk of experiencing investment losses.
One cannot invest directly in any index.
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Letter to Shareholders |
by Joseph Keefe, President & CEO |
Dear fellow shareholders,
As we move into the second half of 2018, I am pleased to present you with the Pax World Funds Semi Annual Report.
This is a difficult year to sum up at mid-point. Economic and market developments have been constantly overshadowed by a daily circus of political and news events that is not only unprecedented, but deeply unsettling. The good news for investors is that financial markets seem to be shrugging off – or pricing in – the volatility bedeviling our civic life and geopolitical relations. The underlying economy remains strong, corporate earnings remain healthy, unemployment remains low and inflation remains mostly in check. Whether trade wars or other economic or political miscalculations could upset this fragile balance remains to be seen, but one might take some solace in our nation’s underlying strength and resilience during such chaotic times.
While corporate earnings have been mostly strong, growth has been modest with the S&P 500 Index returning 2.65% year-to-date as of June 30, 2018, all of which was generated in the second quarter after a rather weak first quarter. The Federal Reserve has indicated that it will likely continue to raise interest rates against the backdrop of a 10-year economic expansion, historically high market valuations and early signs of inflation. Tariffs and the potential for an expanded trade war have markets on edge, so the next few months could prove decisive for full-year 2018 performance. As I write, it appears that the U.S. may have taken a step or two back from a budding trade war with our European allies, which would certainly be a positive development.
There are some storm clouds on the horizon that may not be getting the attention they deserve but may have serious long-term, or even near-term, consequences. The global economic recovery is becoming increasingly U.S. centric, for example, with domestic stocks continuing to rebound strongly while international stocks – particularly emerging markets – are performing poorly. Asymmetric growth is less robust growth and may be an early warning sign of an economic slowdown. There is also a troubling global debt overhang – including business, household and government debt – of approximately $247 trillion (yes, trillion) which could prove destabilizing in a rising interest rate environment where tariffs and trade wars have squeezed incomes to the point where it becomes more difficult to service these debts. We have also failed to make critical investments in infrastructure and
5 |
human capital at a time when lower borrowing costs could have facilitated those investments. Investors and markets may love tax cuts – so be it – but macro-economic policy is in many other respects in a state of absolute disarray. Moreover, given that the administration’s economic moves over the next few months will likely be dominated by political calculations involving the 2018 elections, all bets are off.
Pax World Funds, like the economy itself, have held up fairly well amidst all this turmoil. The Pax Large Cap Fund (PAXLX) has performed particularly well year-to-date and over the past year, while the Pax Ellevate Global Women’s Leadership Fund (PXWEX) has kept pace with the benchmark year-to-date and outperformed over the last year.1 Conversely, our funds focusing on higher quality, lower risk companies – e.g., the Pax Small Cap Fund (PXSCX)2 – have lagged in a market dominated by higher risk, momentum investing. That said, we believe our funds are generally positioned well for somewhat slower economic growth and rising interest rates, which will likely be the case over the next 12 months.
We also believe our funds are particularly well positioned, and in fact specifically designed, to take advantage of the opportunities and manage the risks associated with the transition to a more sustainable global economy. This Sustainability Revolution is coming, and indeed underway, and will profoundly shape global markets in the years ahead. We believe sustainable investors can help hasten this transformation while harvesting the investment returns associated with it. So, regardless of what bedevils political and economic policy, we remain focused on serving our shareholders, pursuing a sustainable investing approach that seeks to deliver strong risk-adjusted returns coupled with positive societal impact.
As you probably already know, Pax World Management LLC, the investment adviser to Pax World Funds, was purchased in January by Impax Asset Management PLC, a London-based investment adviser that is equally committed to the principles and practice of sustainable investing. Although our name has changed to Impax Asset Management LLC, the mutual funds will still be called Pax World Funds. In affiliation with our London colleagues, we are now a larger, stronger firm with expanded resources and capabilities. In fact, I am pleased to report that we have already begun delivering on the promise of this combination. In June, we launched the Pax Global Opportunities Fund (PAXGX), sub-advised by our London colleagues, which invests in companies around the world that we believe are particularly well positioned to benefit from the transition to a more sustainable global economy.
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We also continued to press companies to improve their sustainability performance, whether it be adding women to their boards, paying male and female employees equally, or taking steps to reduce emissions and confront the risks of climate change. We remain deeply committed to this work, which we think serves the long-term interests of our shareholders as well as the long-term interests of society and the planet. This summer, the accumulating effects of climate change are being felt as life-threatening heat waves and forest fires are ravaging parts of the globe. Our work has never been more timely, or more important. It is a pleasure to provide you with this interim report, and on behalf of the entire Impax / Pax team, to extend my best wishes for the remainder of 2018.
Sincerely,
Joseph F. Keefe
President
1 | Pax Large Cap Fund performance is available on page 10. Pax Ellevate Global Women’s Leadership Fund performance is available on page 34. |
2 | Pax Small Cap Fund performance is available on page 16. |
7 |
Performance Information |
Commentary The portfolio manager commentaries in this report provide insight from the respective fund managers in an effort to help you examine your fund. The views expressed therein are those of the portfolio managers and are for the period covered by this report. Such commentary does not necessarily represent the views of the Board of Trustees of your fund. The views expressed herein are subject to change at any time based upon market and/or other conditions and Impax Asset Management LLC, Pax Ellevate Management LLC and the funds disclaim any responsibility to update such views. The commentaries should not be relied upon as investment advice.
Historical performance Historical performance can be evaluated in several ways. Each fund’s portfolio highlights provide total and average annual total returns. A comparison of this historical data to an appropriate benchmark is also provided. These performance figures include changes in a fund’s share price, plus reinvestment of any dividends (generally income) and any capital gains (generally profits the fund earns when it sells securities that have grown in value). Past performance does not guarantee future results.
The Funds’ distributor, ALPS Distributors, Inc., is not affiliated with Impax Asset Management LLC (formerly known as Pax World Management LLC), Pax Ellevate Management LLC, Aperio Group LLC, or Impax Asset Management, Ltd.
8 |
June 30, 2018 |
Pax Large Cap Fund |
Portfolio Manager
|
Portfolio Manager Barbara Browning, CFA |
Portfolio Managers’ Comments |
How did the Pax Large Cap Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the Institutional Class and Investor Class of the Fund had total returns of 3.23% and 3.12% respectively, compared to 2.65% for the S&P 500 Index and 1.85% for the Lipper Large-Cap Core Funds Index.
What factors contributed to the Fund’s performance?
Performance was particularly strong in the Consumer Staples, Consumer Discretionary and Health Care sectors. Within Consumer Staples, a generally challenged sector during the period, the Fund benefited as much from ownership in Estée Lauder Companies (up 12.7%) and McCormick & Company (up 15.1%), as it did by avoiding tobacco companies (down 20.3%).
Conversely, Industrials holdings performed weakly for the Fund, as the machinery names we owned were hurt by a combination of cost pressures and trade fears. Technology was another detractor from Fund performance, as stock selection within semiconductors was challenged by volatile stock performance throughout the period.
Can you discuss any significant changes to the Fund’s positioning throughout the period?
We added 14 new stocks to the portfolio in the first half of 2018, using our fundamental ESG integrated approach of seeking companies that exhibit strong and improving financial metrics, and that also demonstrate leadership from an ESG perspective. Examples of these ESG leaders are Xylem and Salesforce.com. Positions that hit our price targets include CME Group and Cisco Systems, which were sold to make room for, in our view, better ideas in the portfolio.
9 |
June 30, 2018 |
Pax Large Cap Fund, continued |
What portfolio holdings contributed positively to performance?
The Fund benefited from ownership in Amazon (up 17.4%), which was among the top gainers during the period as it continues to exhibit exceptional revenue growth in each of its segments. We trimmed the position during the period. Other top performers were Discovery, Inc. (up 28.3%) and Visa (up 10.9%).
What portfolio holdings detracted from performance?
Within Industrials, Stanley Black and Decker (down 12.9%) and Cummins (down 17.3%), struggled the most during the period. We added to Stanley Black and Decker on weakness. Within Financials, Prudential Financial (down 8.9%) was one of the worst performers, as life insurers generally fell out of favor with investors despite generating solid financial returns.
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | |||||
Share Class | Ticker Symbol | YTD | 1 Year | Since Inception1 | ||
Institutional Class2 | PXLIX | 3.23% | 14.90% | 14.95% | ||
Investor Class2 | PAXLX | 3.12% | 14.57% | 14.68% | ||
S&P 500 Index | 2.65% | 14.37% | 15.10% | |||
Lipper Large-Cap Core Funds Index | 1.85% | 13.07% | 13.94% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s inception date is December 16, 2016. |
2 | Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
10 |
June 30, 2018 |
Asset Allocation | Percent of Investments |
U.S. Stocks | 90.9% |
Foreign Stocks | 7.7% |
Cash & Cash Equivalents | 1.4% |
Total | 100.0% |
Top Ten Holdings
Company | Percent of Net Assets |
Microsoft Corp. | 5.3% |
Amazon.com, Inc. | 4.8% |
Apple, Inc. | 3.8% |
Home Depot, Inc., The | 3.1% |
Alphabet, Inc., Class C | 2.9% |
Alphabet, Inc., Class A | 2.9% |
Bank of America Corp. | 2.8% |
Biogen, Inc. | 2.8% |
PepsiCo, Inc. | 2.8% |
JPMorgan Chase & Co. | 2.7% |
Total | 33.9% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
Sector Diversification
Sector | Percent of Net Assets |
Information Technology | 24.7% |
Financials | 14.7% |
Health Care | 13.8% |
Consumer Discretionary | 13.7% |
Industrials | 9.4% |
Consumer Staples | 8.2% |
Energy | 6.1% |
Materials | 3.7% |
Real Estate | 2.3% |
Telecommunication Services | 1.7% |
Other assets and liabilities (net) | 1.7% |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
11 |
June 30, 2018 |
Pax Mid Cap Fund |
Portfolio Manager Nathan Moser, CFA |
Portfolio Manager’s Comments |
How did the Pax Mid Cap Fund (the Fund) perform for the period?
For the six-month period ending June 30, 2018, the Institutional Class and Investor Class shares of the Fund had total returns of -0.96% and -1.17%, respectively, compared to 2.35% for the Russell Midcap Index (the Index) and 1.99% for the Lipper Mid-Cap Core Funds Index.
What factors contributed to the Fund’s performance?
The Fund trailed the Index due to both stock selection and sector exposures. In addition, the Fund’s negative exposure to momentum stocks proved to be a performance headwind. From a sector perspective, positive performance in Industrials and Real Estate was more than offset by negative results in Healthcare and Financials.
Can you discuss any significant changes to the Fund’s positioning throughout the period?
Over the course of the period, we have reduced our Real Estate exposure by trimming our holdings and exiting Forest City, a real estate investment trust (REIT). The reduction was primarily based on securities nearing our estimate of fair value. Secondarily, in our view, we believe that in a rising interest rate environment, real estate may lag other sectors.
What portfolio holdings contributed positively to performance?
Macy’s, a department store operator, was the Fund’s top performer during the period, advancing 40.5%. Macy’s entered the period with muted expectations as evidenced by its low valuation. Strong fourth quarter 2017 and first quarter 2018 results drove shares higher.
SS&C Technologies, a financial services software company, was another notable contributor to Fund performance as it increased 28.6% during the period based on favorable views of the company’s DST Systems acquisition.
12 |
June 30, 2018 |
What portfolio holdings detracted from performance?
Newell Brands, a diversified consumer products company, was the Fund’s largest detractor during the period, declining -15.0%. The company continues to be negatively impacted by a weak end-market and execution issues. Management, at the urging of activist investors, is in the process of selling parts of the business to reduce debt and repurchase shares. We continue to view the shares as attractive from a valuation standpoint.
Hain Celestial Group, a natural and organic food company, declined -29.7% during the period. The company continues to struggle with a difficult operating environment. We believe management is focused on rationalizing the business and will look to re-invest in growth initiatives as well as repurchase shares.
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | |||||
Share Class | Ticker Symbol | YTD | 1 Year | Since Inception1 | ||
Institutional Class2 | PMIDX | -0.96% | 5.05% | 9.38% | ||
Investor Class2 | PWMDX | -1.17% | 4.72% | 9.10% | ||
Russell Midcap Index | 2.35% | 12.33% | 14.29% | |||
Lipper Mid-Cap Core Funds Index | 1.99% | 11.32% | 14.08% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s inception date is March 31, 2016. |
2 | Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
Asset Allocation | Percent of Investments |
U.S. Stocks | 92.0% |
Foreign Stocks | 3.2% |
Cash & Cash Equivalents | 4.8% |
Total | 100.0% |
13 |
June 30, 2018 |
Pax Mid Cap Fund, continued |
Portfolio Highlights (Unaudited), continued |
Top Ten Holdings
Company | Percent of Net Assets |
Biogen, Inc. | 4.4% |
ONE Gas, Inc. | 4.0% |
Newmont Mining Corp. | 3.8% |
Celanese Corp., Class A | 3.7% |
Pioneer Natural Resources Co. | 3.1% |
White Mountains Insurance Group, Ltd. | 3.1% |
Waste Management, Inc. | 3.1% |
Antero Resources Corp. | 3.0% |
Newell Brands, Inc. | 2.9% |
Weyerhaeuser Co., REIT | 2.8% |
Total | 33.9% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
Sector Diversification
Sector | Percent of Net Assets |
Consumer Discretionary | 13.5% |
Industrials | 13.4% |
Financials | 13.1% |
Information Technology | 10.3% |
Health Care | 10.1% |
Energy | 8.4% |
Materials | 8.4% |
Consumer Staples | 8.2% |
Real Estate | 5.8% |
Utilities | 4.0% |
Other assets and liabilities (net) | 4.8% |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
14 |
June 30, 2018 |
Pax Small Cap Fund |
Portfolio Manager Nathan Moser, CFA |
Portfolio Manager’s Comments |
How did the Pax Small Cap Fund (the Fund) perform for the period?
For the six-month period ending June 30, 2018, the Investor Class, Class A and Institutional Class shares of the Fund had total returns of 1.52%, 1.53% and 1.63%, respectively, compared to 7.66% for the Russell 2000 Index (the Index) and 5.27% for the Lipper Small-Cap Core Funds Index.
What factors contributed to the Fund’s performance?
The Fund trailed the Index due to both stock selection and sector exposures. In addition, the portfolio’s value tilt and negative exposure to momentum stocks proved to be a performance headwind. From a sector perspective, positive performance in Utilities and Real Estate was more than offset by negative results in Healthcare and Financials.
Can you discuss any significant changes to the Fund’s positioning throughout the period?
We entered the year with a meaningful overweight to Financials. Over the course of the period, we have reduced the magnitude of this overweight. While we continue to find valuations appealing, we’ve reallocated into more growth focused areas of the market where the Fund was meaningfully underweight. Specifically, we’ve been adding to the Technology and Consumer Discretionary sectors.
What portfolio holdings contributed positively to performance?
Ligand Pharmaceuticals, a biotech company, was the Fund’s top contributor during the period, advancing 51.3%. The combination of strong earnings, positive clinical data and continued licensing wins drove shares higher. Late in the period we began to trim our position as shares neared our estimate of fair value.
Korn/Ferry International, a talent management firm, advanced 50.2% during the period. The company continues to exceed expectations and we believe that it is well positioned as employment trends remain robust.
15 |
June 30, 2018 |
Pax Small Cap Fund, continued |
What portfolio holdings detracted from performance?
Beacon Roofing Supply, a distributor of roofing and other building materials, was the Fund’s worst performer during the period, declining -33.2%. Reported second quarter earnings missed analyst consensus estimates as input costs have risen faster than price, pressuring margins. In addition, as interest rates have risen, investors have become more concerned with the outlook for the broader homebuilding and supplier industry. We continue to view shares positively and believe margins will improve, driving shares higher over time.
Natus Medical, a medical device company, declined -9.7% during the period on lower than expected financial guidance. We continue to view the company’s valuation and fundamentals favorably and have maintained our position.
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | ||||||
Share Class | Ticker Symbol | YTD | 1 Year | 3 Years | 5 Years | 10 Years | |
Investor Class1 | PXSCX | 1.52% | 9.80% | 6.38% | 9.74% | 10.09% | |
Class A1,2,4 | PXSAX | NAV3 | 1.53% | 9.82% | 6.39% | 9.75% | 10.09% |
POP | -4.04% | 3.81% | 4.41% | 8.51% | 9.47% | ||
Institutional Class1 | PXSIX | 1.63% | 10.12% | 6.65% | 10.02% | 10.38% | |
Russell 2000 Index | 7.66% | 17.57% | 10.96% | 12.46% | 10.60% | ||
Lipper Small-Cap Core Funds Index | 5.27% | 15.45% | 10.75% | 11.75% | 10.05% |
See “Glossary of Terms” for descriptions of benchmarks.
The Fund’s inception date is March 27, 2008.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s investment adviser assumed certain expenses during the 5-year and 10-year periods; total returns would have been lower had these expenses not been assumed. Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
2 | A 1.00% CDSC (contingent deferred sales charge) may be charged on any shares sold within 18 months of purchase over $1 million. POP (public offering price) reflects the maximum sales load for the Fund’s Class A Shares of 5.50%. NAV performance does not reflect the deduction of the sales load of the CDSC, which if reflected would reduce the performance shown. |
3 | NAV is Net Asset Value. |
16 |
June 30, 2018 |
4 | Inception of Class A shares is May 1, 2013. The performance information shown for Class A shares includes the performance of Investor Class shares, adjusted to reflect the sales charge applicable to Class A shares, for the period prior to Class A inception. |
Asset Allocation | Percent of Investments |
U.S. Stocks | 96.4% |
Foreign Stocks | 1.4% |
Cash & Cash Equivalents | 2.2% |
Total | 100.0% |
Top Ten Holdings
Company | Percent of Net Assets |
Natus Medical, Inc. | 3.8% |
MRC Global, Inc. | 3.5% |
HomeTrust Bancshares, Inc. | 3.5% |
Antero Resources Corp. | 3.3% |
Unitil Corp. | 3.3% |
Capitol Federal Financial, Inc. | 2.9% |
Ligand Pharmaceuticals, Inc. | 2.6% |
KLX, Inc. | 2.5% |
Valvoline, Inc. | 2.5% |
Beacon Roofing Supply, Inc. | 2.5% |
Total | 30.4% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
Sector Diversification
Sector | Percent of Net Assets |
Financials | 21.3% |
Industrials | 19.8% |
Information Technology | 11.8% |
Consumer Discretionary | 10.3% |
Health Care | 8.4% |
Materials | 5.7% |
Consumer Staples | 5.3% |
Real Estate | 5.3% |
Energy | 5.1% |
Utilities | 3.3% |
Telecommunication Services | 1.1% |
Other assets and liabilities (net) | 2.6% |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
17 |
June 30, 2018 |
Pax ESG Beta Quality Fund |
Portfolio Manager
|
Portfolio Manager
|
Portfolio Manager
|
Portfolio Manager
Sub-Adviser |
Portfolio Managers’ Comments |
How did the Pax ESG Beta Quality Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the ESG Beta Quality Fund Investor Class, Class A, and Institutional Class shares had total returns of 1.03%, 0.98% and 1.17%, respectively, compared to 2.85% for the Russell 1000 Index and 2.36% for the Lipper Multi-Cap Core Funds Index.
What factors contributed positively to performance?
The overweight to quality factors such as profitability and earnings quality contributed positively to Fund returns relative to the Russell 1000 Index. An overweight to the Information Technology sector had a positive contribution as well.
What factors detracted from performance?
The portfolio’s tilt towards value companies, as measured by Earnings Yield, was the largest detractor for the period as value stocks underperformed growth stocks.
Industry exposures, which are driven by factor and environmental, social and governance (ESG) tilts, detracted from relative returns for the period. Particularly, an underweight to the Energy sector hampered relative results amidst a rally in the price of oil.
ESG factors, as measured by the Pax Sustainability Score, detracted from relative results for the period. The Fund overweights the portfolio towards companies with ESG strength. During the period, companies with stronger ESG profiles underperformed those with weaker ESG profiles.
18 |
June 30, 2018 |
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | ||||||
Share Class | Ticker Symbol | YTD | 1 Year | 3 Years | 5 Years | 10 Years | |
Investor Class1 | PXWGX | 1.03% | 13.51% | 9.20% | 12.27% | 8.80% | |
Class A1,2,4 | PXGAX | NAV3 | 0.98% | 13.54% | 9.20% | 12.29% | 8.80% |
POP | -4.56% | 7.32% | 7.15% | 11.02% | 8.18% | ||
Institutional Class1 | PWGIX | 1.17% | 13.81% | 9.48% | 12.56% | 9.07% | |
Russell 1000 Index | 2.85% | 14.54% | 11.64% | 13.37% | 10.20% | ||
Lipper Multi-Cap Core Funds Index | 2.36% | 13.60% | 10.08% | 11.96% | 9.12% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s investment adviser assumed certain expenses during the 5-year and 10-year periods; total returns would have been lower had these expenses not been assumed. Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
2 | A 1.00% CDSC (contingent deferred sales charge) may be charged on any shares sold within 18 months of purchase over $1 million. POP (public offering price) reflects the maximum sales load for the Fund’s Class A Shares of 5.50%. NAV performance does not reflect the deduction of the sales load of the CDSC, which if reflected would reduce the performance shown. |
3 | NAV is Net Asset Value. |
4 | Inception of Class A shares is May 1, 2013. The performance information shown for Class A shares includes the performance of Investor Class shares, adjusted to reflect the sales charge applicable to Class A shares, for the period prior to Class A inception. |
Asset Allocation | Percent of Investments |
U.S. Stocks | 98.6% |
Foreign Stocks | 0.6% |
Cash & Cash Equivalents | 0.8% |
Total | 100.0% |
19 |
June 30, 2018 |
Pax ESG Beta Quality Fund, continued |
Portfolio Highlights (Unaudited), continued |
Top Ten Holdings
Company | Percent of Net Assets |
Amazon.com, Inc. | 3.4% |
Apple, Inc. | 3.2% |
MasterCard, Inc., Class A | 2.5% |
Microsoft Corp. | 2.5% |
Verizon Communications, Inc. | 2.5% |
Alphabet, Inc., Class A | 2.4% |
Texas Instruments, Inc. | 2.4% |
PepsiCo, Inc. | 2.3% |
Johnson & Johnson | 2.2% |
PNC Financial Services Group, Inc. | 2.0% |
Total | 25.4% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
Sector Diversification
Sector | Percent of Net Assets |
Information Technology | 24.8% |
Consumer Discretionary | 15.7% |
Health Care | 12.3% |
Financials | 9.9% |
Consumer Staples | 8.6% |
Industrials | 7.8% |
Real Estate | 5.8% |
Utilities | 5.7% |
Telecommunication Services | 3.8% |
Materials | 3.4% |
Energy | 1.4% |
Other assets and liabilities (net) | 0.8% |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
20 |
June 30, 2018 |
Pax ESG Beta Dividend Fund |
Portfolio Manager
|
Portfolio Manager
|
Portfolio Manager
|
Portfolio Manager
Sub-Adviser |
Portfolio Managers’ Comments |
How did the Pax ESG Beta Dividend Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the ESG Beta Dividend Fund Institutional Class and Investor Class shares had total returns of 1.10% and 0.84%, respectively, compared to 2.85% for the Russell 1000 Index and -0.83% for the Lipper Equity Income Funds Index.
What factors contributed positively to performance?
The tilt towards companies with higher dividend yield was a positive contributor as higher yielding stocks rallied in April and May.
The tilt towards dividend sustainability factors added to relative performance; particularly, the strategy’s exposure to companies with higher profitability. Exposure to companies with higher earnings quality and management quality benefited the Fund as well.
What factors detracted from performance?
The overweight towards the Industrials sector was the largest detractor for the period. The sector has been hampered by concerns over a global trade war.
Environmental, social and governance (ESG) factors, as measured by the Pax Sustainability Score, detracted from relative results for the period. The Fund overweights the portfolio towards companies with ESG strength. During the period, companies with stronger ESG profiles underperformed those with weaker ESG profiles.
21 |
June 30, 2018 |
Pax ESG Beta Dividend Fund, continued |
Portfolio Highlights (Unaudited) |
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | |||||
Share Class | Ticker Symbol | YTD | 1 Year | Since Inception1 | ||
Institutional Class2 | PXDIX | 1.10% | 12.92% | 12.42% | ||
Investor Class2 | PAXDX | 0.84% | 12.62% | 12.11% | ||
Russell 1000 Index | 2.85% | 14.54% | 15.17% | |||
Lipper Equity Income Funds Index | -0.83% | 8.64% | 9.45% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s inception date is December 16, 2016. |
2 | Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
Asset Allocation | Percent of Investments |
U.S. Stocks | 96.0% |
Foreign Stocks | 3.2% |
Cash & Cash Equivalents | 0.8% |
Total | 100.0% |
Top Ten Holdings
Company | Percent of Net Assets |
Amazon.com, Inc. | 3.1% |
Apple, Inc. | 3.0% |
Microsoft Corp. | 3.0% |
Cisco Systems, Inc. | 3.0% |
3M Co. | 2.8% |
Johnson & Johnson | 2.6% |
Texas Instruments, Inc. | 2.4% |
Home Depot, Inc., The | 2.2% |
ONEOK, Inc. | 2.1% |
UnitedHealth Group, Inc. | 2.0% |
Total | 26.2% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
22 |
June 30, 2018 |
Sector Diversification
Sector | Percent of Net Assets |
Information Technology | 28.1% |
Health Care | 13.9% |
Consumer Discretionary | 13.5% |
Industrials | 12.9% |
Financials | 9.0% |
Consumer Staples | 5.0% |
Energy | 4.7% |
Real Estate | 4.5% |
Telecommunication Services | 3.0% |
Utilities | 2.4% |
Materials | 2.2% |
Other assets and liabilities (net) | 0.8% |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
23 |
June 30, 2018 |
Pax Global Opportunities Fund |
Portfolio Manager
|
Portfolio Manager David Winborne |
Portfolio Manager’s Comments |
How did the Pax Global Opportunities Fund (the Fund) perform for the period?
The Pax Global Opportunities Fund commenced operations on June 27, 2018. For the since inception period ended June 30, 2018, the Institutional Class and Investor Class shares of the Fund had total returns of -0.30% and -0.30%, respectively, compared to 0.77% for the MSCI All-Country World (Net) Index and 0.68% for the Lipper Global Multi-Cap Core Funds Index.
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | ||||||
Share Class | Ticker Symbol | Since Inception1 | ||||
Institutional Class2 | PXGOX | -0.30% | ||||
Investor Class2 | PAXGX | -0.30% | ||||
MSCI All-Country World (Net) Index | 0.77% | |||||
Lipper Global Multi-Cap Core Funds Index | 0.68% |
See ‘Glossary of Terms’ for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s inception date is June 27, 2018. |
2 | Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
24 |
June 30, 2018 |
Asset Allocation | Percent of Investments |
U.S. Stocks | 38.6% |
Foreign Stocks | 50.5% |
Cash & Cash Equivalents | 10.9% |
Total | 100.0% |
Top Ten Holdings
Company | Percent of Net Assets |
Visa, Inc., Class A | 5.1% |
Taiwan Semiconductor Manufacturing Co, Ltd | 4.5% |
Danone SA | 4.0% |
Prudential PLC | 3.9% |
Aptiv PLC | 3.9% |
Xylem, Inc. | 3.8% |
Ecolab, Inc. | 3.8% |
HDFC Bank, Ltd. | 3.7% |
Thermo Fisher Scientific, Inc. | 3.5% |
TE Connectivity, Ltd. | 3.1% |
Total | 39.3% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
Sector Diversification
Sector | Percent of Net Assets |
Information Technology | 24.0% |
Materials | 17.6% |
Health Care | 17.3% |
Financials | 14.4% |
Consumer Staples | 7.9% |
Industrials | 7.5% |
Consumer Discretionary | 5.5% |
Telecommunication Services | 2.4% |
Other assets and liabilities (net) | 3.4% |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
25 |
June 30, 2018 |
Pax Global Opportunities Fund, continued |
Portfolio Highlights (Unaudited) |
Geographical Diversification
Country | Percent of Net Assets |
United States | 41.9% |
United Kingdom | 14.4% |
Germany | 9.1% |
Japan | 6.8% |
France | 5.6% |
Netherlands | 5.0% |
Taiwan | 4.5% |
Switzerland | 3.1% |
Hong Kong | 2.3% |
Norway | 2.0% |
Portugal | 1.9% |
Other assets and liabilities (net) | 3.4% |
Total | 100.0% |
26 |
June 30, 2018 |
Pax Global Environmental Markets Fund |
Portfolio Manager
|
Portfolio Manager
|
Portfolio Manager
Sub-Adviser |
Portfolio Managers’ Comments |
How did the Pax Global Environmental Markets Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the Investor Class, Class A, and Institutional Class of the Fund had total returns of -5.17%, -5.17%, and -5.08%, respectively, versus -0.43% for the MSCI All-Country World (Net) Index and -3.38% for the FTSE Environmental Opportunities Index Series (“FTSE EOAS”).
What factors contributed to the Fund’s performance?
Global equity markets finished the first half of the year in slightly negative territory, and markets continued on a volatile path with lots of news to digest. Global first quarter earnings announcements were largely positive, and the U.S. tax reform has bolstered U.S. companies’ capital and operating expenditure budgets. However, concerns about higher interest rates, trade wars, and European politics, amongst others, had investors shying away from more cyclical Industrials, Utilities, and Chinese stocks, and instead favoring Information Technology (IT), conventional Energy, and U.S. listed companies.
The Fund represents a portfolio of differentiated companies whose products and services address growing environmental challenges, focused on persistent and long-term trends. Investing in impactful environmental solution providers has resulted in a portfolio with inherent sector tilts -- overweight in Industrials and Utilities, underweight in IT, and no exposure to conventional Energy or Telecommunication companies. As a result, periods of performance dispersion, as seen previously in the history of this Fund, are not unusual. Over the longer term, the need for solutions in the areas of New Energy, Water, Waste/Resource Recovery and Sustainable Food and Agriculture around
27 |
June 30, 2018 |
Pax Global Environmental Markets Fund, continued |
the globe grow more pressing and more numerous almost by the day. Global policy announcements as well as consumer sentiment continue to be supportive of these global trends.
Can you discuss any significant changes to the Fund’s positioning throughout the period?
The Fund’s relatively low exposure to Emerging Markets was reduced further during the first half of the year. The investment team took advantage of the rebound in a Chinese wind energy name to reduce the position. The portfolio managers continue to look to position the portfolio more defensively.
Exposure to North America increased slightly with a large-cap addition in the Diversified Environmental sub-sector, where market volatility presented an interesting valuation opportunity. The Buildings Energy Efficiency allocation also grew with the addition of a U.S. software company active in the construction and architecture industries with resource-efficient IT-based design tools.
What portfolio holdings contributed positively to performance relative to the FTSE EOAS?
Not surprisingly, portfolio holdings in the IT sector continued to deliver above-index performance and make positive announcements. PTC (Industrial Energy Efficiency, U.S.) announced strong first quarter results, while Autodesk (Buildings Energy Efficiency, US), had an optimistic capital markets day and rose on promising results.
As has been the case for some time, Water Infrastructure holdings contributed to relative outperformance. Ferguson (UK, Water Infrastructure) benefited from an accelerated trend in replacement orders for more energy efficient water boilers and heaters.
What portfolio holdings detracted from performance relative to the FTSE EOAS?
Lagging performance compared to the FTSE EOAS was mainly due to stock-specific reasons. Several holdings disappointed with execution of strategy not coming on the timetable that the market had hoped for. Suez (France, Water Utilities) fell more than other utilities on a profit warning early in the year, while Signify, formerly Philips Lighting, declined after poor results, particularly in the Homes division, amidst a challenging U.S. lighting market.
28 |
June 30, 2018 |
With emerging markets stocks and Utilities struggling the most year-to-date, Beijing Enterprise Water (China, Water Utilities) detracted from relative performance as the company announced weaker fiscal year 2017 results with a more muted outlook for 2018. In addition to weak market sentiment for Chinese stocks, investors have also been concerned about the effect of higher long-term rates on Utilities.
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | ||||||
Share Class | Ticker Symbol | YTD | 1 Year | 3 Years | 5 Years | 10 Years | |
Investor Class1 | PGRNX | -5.17% | 4.14% | 7.35% | 8.96% | 5.84% | |
Class A1,2,4 | PXEAX | NAV3 | -5.17% | 4.14% | 7.35% | 8.97% | 5.85% |
POP | -10.40% | -1.60% | 5.35% | 7.75% | 5.25% | ||
Institutional Class1 | PGINX | -5.08% | 4.37% | 7.61% | 9.23% | 6.11% | |
MSCI ACWI (Net) Index | -0.43% | 10.73% | 8.19% | 9.41% | 5.80% | ||
FTSE Environmental Opportunities Index Series | -3.38% | 8.90% | 9.91% | 11.06% | NA |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s investment adviser assumed certain expenses during each period shown; total returns would have been lower had these expenses not been assumed. Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
2 | A 1.00% CDSC (contingent deferred sales charge) may be charged on any shares sold within 18 months of purchase over $1 million. POP (public offering price) reflects the maximum sales load for the Fund’s Class A Shares of 5.50%. NAV performance does not reflect the deduction of the sales load of the CDSC, which if reflected would reduce the performance shown. |
3 | NAV is Net Asset Value. |
4 | Inception of Class A shares is May 1, 2013. The performance information shown for Class A shares includes the performance of Investor Class shares, adjusted to reflect the sales charge applicable to Class A shares, for the period prior to Class A inception. |
Asset Allocation | Percent of Investments |
Foreign Stocks | 54.8% |
U.S. Stocks | 43.9% |
Cash & Cash Equivalents | 1.3% |
Total | 100.0% |
29 |
June 30, 2018 |
Pax Global Environmental Markets Fund, continued |
Portfolio Highlights (Unaudited), continued |
Top Ten Holdings
Company | Percent of Net Assets |
Sealed Air Corp. | 3.8% |
Siemens AG | 3.4% |
East Japan Railway Co. | 3.4% |
TE Connectivity, Ltd. | 3.4% |
Suez | 3.3% |
Danaher Corp. | 3.3% |
Ecolab, Inc. | 3.0% |
Ferguson PLC | 3.0% |
Praxair, Inc. | 3.0% |
Aptiv PLC | 2.9% |
Total | 32.5% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
Geographical Diversification
Country | Percent of Net Assets |
United States | 43.8% |
United Kingdom | 10.9% |
Japan | 9.3% |
France | 8.4% |
Germany | 5.1% |
Ireland | 3.9% |
Switzerland | 3.4% |
Hong Kong | 3.1% |
China | 3.0% |
Netherlands | 2.0% |
Taiwan | 2.0% |
Spain | 1.7% |
Belgium | 1.3% |
South Korea | 0.5% |
Other assets and liabilities (net) | 1.6% |
Total | 100.0% |
30 |
June 30, 2018 |
Environmental Markets Classification System (EMCS)
Sector | Sub Sector | Percent of Net Assets | ||
Renewable & Alternative Energy | 0.4% | |||
Renewable Energy Developers & Independent Power Producers (IPPs) | 0.4% | |||
Energy Efficiency | 37.2% | |||
Power Network Efficiency | 5.3% | |||
Industrial Energy Efficiency | 4.3% | |||
Buildings Energy Efficiency | 13.5% | |||
Transport Energy Efficiency | 9.6% | |||
Consumer Energy Efficiency | 1.1% | |||
Diversified Energy Efficiency | 3.4% | |||
Water Infrastructure & Technologies | 27.4% | |||
Water Infrastructure | 10.0% | |||
Water Treatment Equipment | 6.8% | |||
Water Utilities | 10.6% | |||
Pollution Control | 12.8% | |||
Pollution Control Solutions | 1.3% | |||
Environmental Testing & Gas Sensing | 8.1% | |||
Public Transportation | 3.4% | |||
Waste Management & Technologies | 3.9% | |||
Waste Technology Equipment | 1.4% | |||
General Waste Management | 2.5% | |||
Food, Agriculture & Forestry | 12.3% | |||
Logistics, Food Safety and Packaging | 8.1% | |||
Sustainable and Efficient Agriculture | 4.2% | |||
Diversified Environmental | 4.4% | |||
Diversified Environmental | 4.4% | |||
Other assets and liabilities (net) | 1.6% | 1.6% | ||
100.0% | 100.0% |
May include companies representing multiple industries within a single “Sector”.
31 |
June 30, 2018 |
Pax Ellevate Global Women’s Leadership Fund |
Portfolio Manager
|
Portfolio Manager Scott LaBreche |
Portfolio Managers’ Comments |
How did the Pax Ellevate Global Women’s Leadership Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the Investor and Institutional Class had total returns of 0.35% and 0.50%, respectively, compared to 0.44% for the Pax Global Women’s Leadership (Net) Index (Women’s Index), 0.43% for the MSCI World (Net) Index (World Index) and -1.27% for the Lipper Global Multi-Cap Core Funds Index.
During the period, the Fund reached its four-year anniversary since adopting a strategic beta investment strategy in June of 2014. Over the four-year period ending June 30, 2018, the Fund has outperformed the World Index: Institutional Class shares and Investor Class shares have returned 7.37% and 7.11%, respectively, versus the World Index return of 6.67%. The Fund’s overweight to the highest-rated quartile of companies within the World Index based on gender diverse leadership has made the greatest contribution to the Fund’s relative outperformance, along with the Fund’s significant underweight to the bottom two quartiles of companies with less gender diverse leadership, according to the Pax Gender Leadership Score.
In addition, the Fund has produced strong results compared with peers. The Institutional Class shares of the Fund (PXWIX)1 has posted a top 22% ranking (out of 138 funds) over the four-year period and a top 7% ranking (out of 149 funds) for the three-year period ended June 30, 2018, based on average annual returns within the Lipper Global Multi-Cap Core classification2.
What is the investment objective of the Fund?
The Fund seeks investment returns that closely correspond to or exceed the price and yield performance, before fees and expenses, of the Women’s Index. The Fund pursues a strategic beta strategy, investing in the companies comprising the Women’s Index, the first index of the highest-rated companies in the world for gender diverse leadership, as rated by Pax World Gender Analytics.
The Fund overweights its portfolio toward Women’s Index companies with greater representation of women on boards and in senior management. Women hold 35% of the board seats and 30% of senior management positions in companies in the
32 |
June 30, 2018 |
Fund, compared to 24% and 17%, respectively, within the World Index. In addition, 91% percent of companies in the Fund have three or more women on the board and 99% have two or more women on the board, compared with 41% and 67%, respectively, for companies in the World Index. 34% of companies in the Fund have a woman CEO or CFO, compared with 14% of companies in the World Index3.
What contributed positively and negatively to performance?
The highest-rated 25% of companies within the World Index based on gender-diverse leadership were a positive contributor to the Fund’s performance, along with the Fund’s significant underweight to the bottom two quartiles of companies with less gender-diverse leadership, according to the Pax Gender Leadership Score.
On a sector basis, stock selection in the Information Technology sector added the most to relative return during the year-to-date period, led by strong results from Intuit, Microsoft and Texas Instruments. An underweight allocation and stock selection in Industrials, led by Machinery and Industrial Conglomerates contributed to performance. In addition, stock selection in both Consumer Discretionary and Consumer Staples, driven by Kering, Target and Estee Lauder produced strong relative results during the year to date period.
Stock selection and an overweight allocation in Financials were significant detractors to relative performance during the six-month period, led by poor performance of Principal Financial Group and the entire Insurance group, due to interest rate uncertainty. In addition, stock selection in Utilities, led by Water and Multi-Utilities companies, detracted from performance.
On a regional basis, the Fund’s European holdings added the most to relative performance, while holdings in the North America and the Pacific regions detracted during the year-to-date period. Within Europe, companies in France and the Netherlands added the most to relative performance, while Canadian and Australian holdings within North American and the Pacific regions detracted from performance.
Footnotes: |
1 | The minimum investment needed for investment in PXWIX is $250,000. |
2 | Data shown represents rankings for the Pax Ellevate Global Women’s Leadership Fund - Institutional Class (PXWIX) in the Lipper Global Multi-Cap Core category based on average annual returns. Lipper rankings are based on total returns (not including sales charges) for the periods indicated and compare total return performance with that of other funds in the category. The Pax Ellevate Global Women’s Leadership Fund - Institutional Class (PXWIX) 1-year 25th percentile rank out of 187 funds, 3-year 7th percentile rank out of 149 funds, 5-year 17th percentile rank out of 124 funds, 10-year 72nd percentile rank out of 90 funds and 4 year 22nd percentile rank out of 124 funds. |
3 | Pax World Gender Analytics, June 30, 2018. The Fund’s investable universe, the Women’s Index, reconstitutes annually in November. |
33 |
June 30, 2018 |
Pax Ellevate Global Women’s Leadership Fund, continued |
Portfolio Highlights (Unaudited) |
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | |||||
Share Class | Ticker Symbol | YTD | 1 Year | 3 Years | 5 Years | 10 Years |
Investor Class1 | PXWEX | 0.35% | 11.57% | 9.29% | 10.36% | 5.10% |
Institutional Class1 | PXWIX | 0.50% | 11.83% | 9.57% | 10.63% | 5.36% |
MSCI World (Net) Index | 0.43% | 11.09% | 8.48% | 9.94% | 6.26% | |
Pax Global Women's Leadership (Net) Index* | 0.44% | 11.10% | 9.74% | N/A | N/A | |
Lipper Global Multi-Cap Core Funds Index | -1.27% | 8.76% | 7.97% | 9.02% | 6.88% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
* | A custom Index calculated by MSCI. Inception date of Women’s Index is February 28, 2014. |
1 | On June 4, 2014 the Pax World Global Women’s Equality Fund merged into the Pax Ellevate Global Women’s Leadership Fund (the fund), pursuant to an Agreement and Plan of Reorganization dated March 4, 2014 (the “Reorganization”). Because the Fund had no investment operations prior to the closing of the Reorganization, Pax World Global Women’s Equality Fund (the “Predecessor Fund”) is treated as the survivor of the Reorganization for accounting and performance reporting purposes. Accordingly, all performance and other information shown for the Fund for periods prior to June 4, 2014 is that of the Predecessor Fund. Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
Asset Allocation | Percent of Investments |
U.S. Stocks | 60.6% |
Foreign Stocks | 38.4% |
Exchange-Traded Funds | 1.0% |
Cash & Cash Equivalents | 0.0%* |
Total | 100.0% |
* | Rounds to less than 0.05%. |
34 |
June 30, 2018 |
Top Ten Holdings
Company | Percent of Net Assets |
Microsoft Corp. | 3.6% |
Facebook, Inc., Class A | 2.3% |
Kellogg Co. | 2.1% |
American Water Works Co., Inc. | 2.1% |
Wolters Kluwer NV | 2.0% |
Target Corp. | 2.0% |
Michael Kors Holdings, Ltd. | 2.0% |
Intuit, Inc. | 1.9% |
Principal Financial Group, Inc. | 1.9% |
Estee Lauder Cos, Inc., The, Class A | 1.8% |
Total | 21.7% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
Sector Diversification
Sector | Percent of Net Assets |
Information Technology | 21.3% |
Financials | 20.7% |
Consumer Discretionary | 14.8% |
Consumer Staples | 12.5% |
Health Care | 8.0% |
Industrials | 6.2% |
Utilities | 5.8% |
Telecommunication Services | 2.9% |
Energy | 2.6% |
Real Estate | 2.3% |
Materials | 1.7% |
Exchange-Traded Funds | 1.0% |
Other assets and liabilities (net) | 0.2% |
Total | 100.0% |
35 |
June 30, 2018 |
Pax Ellevate Global Women’s Leadership Fund, continued |
Portfolio Highlights (Unaudited), continued |
Geographical Diversification
Country | Percent of Net Assets |
United States | 61.5% |
France | 8.2% |
Canada | 5.5% |
Sweden | 4.8% |
United Kingdom | 4.2% |
Australia | 3.7% |
Netherlands | 3.5% |
Germany | 2.2% |
Norway | 1.2% |
Ireland | 1.2% |
Singapore | 1.1% |
Spain | 0.6% |
Switzerland | 0.5% |
Finland | 0.5% |
Hong Kong | 0.3% |
Italy | 0.2% |
Denmark | 0.2% |
Belgium | 0.2% |
Israel | 0.1% |
New Zealand | 0.1% |
South Africa | 0.0%* |
Other assets and liabilities (net) | 0.2% |
Total | 100.0% |
* | Rounds to less than 0.05% |
36 |
June 30, 2018 |
Pax MSCI EAFE ESG Leaders Index Fund |
Portfolio Manager Scott LaBreche |
Portfolio Managers’ Comments |
For the six-month period ended June 30, 2018, the Institutional Class and Investor Class of the Fund had total returns of -2.87% and -2.96%, respectively, compared to -3.08% for the MSCI EAFE ESG Leaders (Net) Index (the “Index”) and -2.75% for the MSCI EAFE (Net) Index (“EAFE Index”), and -3.33% for the Lipper International Large-Cap Core Funds Index.
Investing in international developed companies demonstrating strong ESG characteristics is the Fund’s strategy for delivering long-term investment performance. On a short-term basis, other factors can negatively affect returns and mitigate the impact of this ESG focus, which was the case over the first six-months of the year.
What is the investment objective of the Fund?
The Fund is designed to track the performance of the Index. The Fund and the Index are constructed to have a better ESG profile than the EAFE Index, and the Fund’s holdings averaged an overall rating of AA on MSCI ESG Research’s seven-point scale compared to an overall rating of A for the EAFE Index as of June 30, 20181. Long term, the Fund seeks to generate better risk-adjusted performance than the EAFE Index through its ESG focus.
What contributed positively and negatively to performance?
The Fund’s ESG profile added to relative performance versus the EAFE Index over the year-to-date period. The average-rated and highest-rated ESG companies were positive contributors to performance, while the Fund’s large underweight to ESG laggards detracted slightly. Longer term, since the Fund’s inception, an overweight to the highest-rated ESG companies has contributed to relative performance.
From a sector perspective, six out of eleven sectors produced positive relative results for the Fund. Stock selection in Consumer Staples, led by Personal Products and Food & Staples Retailing and no allocation to Tobacco stocks, contributed to performance. Stock selection in Financials, driven by Banks and Capital Markets holdings, also had a positive impact on relative performance.
Stock selection in Industrials, led by Electronic Equipment and an underweight to Aerospace & Defense companies based on the Fund’s ESG investment policies, detracted the most from relative performance over the first half of the year. An
37 |
June 30, 2018 |
Pax MSCI EAFE ESG Leaders Index Fund, continued |
underweight allocation and stock selection in Energy, led by the sustainability challenged Oil, Gas & Consumable Fuels industry, and stock selection in Health Care, driven by Pharmaceuticals and Biotech, also detracted from performance.
On a regional basis, Europe and the Pacific regions added to relative performance during the year-to-date period versus the MSCI EAFE Index. Within Europe, companies with leading ESG profiles in Germany and Spain added to performance. In the Pacific region, Japan produced the most positive relative results.
1 | MSCI ESG Research evaluates companies’ ESG characteristics and derives corresponding ESG scores and ratings. Companies are ranked by ESG score against their sector peers to determine their eligibility for the MSCI ESG indices. MSCI ESG Research identifies the highest-rated companies in each peer group to meet the float-adjusted market capitalization sector targets. The rating system is based on general and industry-specific ESG criteria, assigning ratings on a 7-point scale from AAA (highest) to CCC (lowest). |
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | |||||
Share Class | Ticker Symbol | YTD | 1 Year | 3 Years | 5 Years | Since Inception |
Institutional Class1 | PXNIX | -2.87% | 5.04% | 3.72% | 5.64% | 4.80% |
Investor Class1,2 | PXINX | -2.96% | 4.77% | 3.46% | 5.35% | 4.53% |
MSCI EAFE ESG Leaders (Net) Index | -3.08% | 5.48% | 4.45% | 6.46% | 5.31% | |
MSCI EAFE (Net) Index | -2.75% | 6.84% | 4.90% | 6.44% | 4.80% | |
Lipper International Large-Cap Core Funds Index | -3.33% | 5.84% | 4.41% | 6.11% | 4.42% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s inception date is January 27, 2011. On March 31, 2014, Pax World International Fund and Pax MSCI EAFE ESG Index ETF merged into the Pax MSCI EAFE ESG Leaders Index Fund (the Fund), a passively managed index fund which seeks investment returns that closely correspond to the price and yield performance, before fees and expenses, of the MSCI EAFE ESG Leaders Index. Based on the similarity of the Fund to Pax MSCI EAFE ESG Index ETF, Pax MSCI EAFE ESG Index ETF (the Predecessor Fund) is treated as the survivor of the mergers for accounting and performance reporting purposes. Accordingly, all performance and other information shown for the Fund for periods prior to March 31, 2014 is that of the Predecessor Fund. Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
38 |
June 30, 2018 |
2 | Inception of the Investor Class is March 31, 2014. The performance information shown for the Investor Class shares for periods prior to March 31, 2014 includes the performance of the Predecessor Fund. These returns have been adjusted to reflect the expenses allocable to Investor Class. |
Asset Allocation | Percent of Investments |
Foreign Stocks | 98.8% |
Exchange-Traded Funds | 1.2% |
Total | 100.0% |
Top Ten Holdings
Company | Percent of Net Assets |
TOTAL SA | 2.2% |
Roche Holding AG | 2.0% |
GlaxoSmithKline PLC | 1.9% |
SAP SE | 1.8% |
Commonwealth Bank of Australia | 1.5% |
BASF SE | 1.4% |
Novo Nordisk A/S, Class B | 1.3% |
Unilever NV | 1.3% |
Siemens AG | 1.3% |
Allianz SE | 1.2% |
Total | 15.9% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
39 |
June 30, 2018 |
Pax MSCI EAFE ESG Leaders Index Fund, continued |
Portfolio Highlights (Unaudited), continued |
Sector Diversification
Sector | Percent of Net Assets |
Financials | 19.7% |
Industrials | 13.6% |
Consumer Discretionary | 12.3% |
Consumer Staples | 10.4% |
Health Care | 10.3% |
Materials | 8.5% |
Information Technology | 8.2% |
Energy | 4.4% |
Telecommunication Services | 3.7% |
Real Estate | 3.6% |
Utilities | 3.5% |
Other assets and liabilities (net) | 0.6% |
Exchange-Traded Funds | 1.2% |
Rights | 0.0%* |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
* | Rounds to less than 0.05% |
Geographical Diversification
Country | Percent of Net Assets |
Japan | 23.0% |
United Kingdom | 12.8% |
France | 10.3% |
Germany | 10.2% |
Australia | 9.9% |
Switzerland | 6.7% |
Netherlands | 5.9% |
Spain | 4.1% |
Sweden | 3.8% |
Denmark | 2.4% |
Hong Kong | 2.2% |
Singapore | 1.4% |
Italy | 1.2% |
Norway | 0.9% |
Finland | 0.8% |
Ireland | 0.7% |
Belgium | 0.6% |
Luxembourg | 0.3% |
Portugal | 0.3% |
Israel | 0.3% |
Austria | 0.2% |
New Zealand | 0.1% |
South Africa | 0.1% |
Other assets and liabilities (net) | 1.8% |
Total | 100.0% |
40 |
June 30, 2018 |
Pax Core Bond Fund |
Portfolio Manager Anthony Trzcinka, CFA |
Portfolio Manager’s Comments |
How did the Pax Core Bond Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the Institutional Class and Investor Class shares of the Fund had total returns of -1.43% and -1.55%, respectively, compared to -1.62% for the Bloomberg Barclays U.S. Aggregate Bond Index and -1.72% for the Lipper Core Bond Funds Index.
What factors contributed to the Fund’s performance?
Performance of the Fund’s corporate, securitized and municipal sectors were positive contributors to performance. Conversely, the Fund’s Treasury positions detracted from performance.
Can you discuss any significant changes to the Fund’s positioning throughout the period?
In general, the Fund continues to be positioned as a high credit quality portfolio. We continue to have the view that we are in the latter part of the credit cycle and choose to focus mainly on higher credit quality companies.
Specifically, during the first half year the Fund continued to increase its holdings in the asset-backed sector including the purchase of a number of securities that help drive positive impact on environmental or social issues. In the first half of the year we added five solar asset-backed securities (ABS) issues, one Tesla Motor ABS and two student loan ABS. High impact holdings in the Fund now stand at 19%.
What portfolio holdings contributed positively to performance?
The Fund’s underweight to agency mortgage-backed securities (MBS) was a top contributor to performance. Our underweight to the sector was mainly due to the Federal Reserve’s announced wind down of its quantitative easing program made during and after the financial crisis. We viewed this as a potential negative for the sector and moved our position to underweight.
What portfolio holdings detracted from performance?
The Fund’s Treasury holdings detracted from performance. The Federal Reserve raised rates during the period and these Treasuries were negatively impacted as a result.
41 |
June 30, 2018 |
Pax Core Bond Fund, continued |
Portfolio Highlights (Unaudited) |
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | |||||
Share Class | Ticker Symbol | YTD | 1 Year | Since Inception1 | ||
Institutional Class2 | PXBIX | -1.43% | -0.62% | 1.47% | ||
Investor Class2 | PAXBX | -1.55% | -0.87% | 1.21% | ||
Bloomberg Barclays US Aggregate Bond Index | -1.62% | -0.40% | 1.95% | |||
Lipper Core Bond Funds Index | -1.72% | -0.45% | 2.05% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s inception date is December 16, 2016. |
2 | Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
Asset Allocation | Percent of Investments |
U.S. Bonds | 96.1% |
Foreign Bonds | 1.1% |
Exchange-Traded Funds | 0.6% |
Cash & Cash Equivalents | 2.2% |
Total | 100.0% |
Top Ten Holdings
Company | Percent of Net Assets |
United States Treasury Note, 3.000%, 02/15/48 | 5.1% |
United States Treasury Note, 2.375%, 08/15/24 | 4.8% |
United States Treasury Note, 2.625%, 02/28/23 | 4.8% |
United States Treasury Note, 2.125%, 11/30/23 | 2.1% |
United States Treasury Note, 1.375%, 01/15/20 | 1.7% |
United States Treasury Note, 4.500%, 02/15/36 | 1.6% |
United States Treasury Note (TIPS), 0.375%, 07/15/27 | 1.4% |
United States Treasury Note, 2.375%, 03/15/21 | 1.4% |
United States Treasury Note, 4.375%, 11/15/39 | 1.4% |
United States Treasury Note (TIPS), 0.125%, 04/15/22 | 0.9% |
Total | 25.2% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable.
Holdings are subject to change.
42 |
June 30, 2018 |
Fixed Income Sector Diversification
Sector | Percent of Net Assets |
Corporate Bonds | 31.0% |
Treasury Bonds | 29.6% |
Mortgage-Backed Bonds | 28.7% |
Municipal Bonds | 5.0% |
Agency/Gov't Related Bonds | 1.8% |
Gov't Bonds | 0.7% |
Community Investment Notes | 0.5% |
Other assets and liabilities (net) | 2.7% |
Total | 100.0% |
Credit Quality*
Bond Rating | Percent of Bonds |
U.S. Government | 56.2% |
AAA | 7.3% |
AA+ | 2.7% |
AA | 2.1% |
AA- | 3.0% |
A+ | 3.0% |
A | 3.8% |
A- | 4.0% |
BBB+ | 3.9% |
BBB | 4.6% |
BBB- | 1.9% |
BB+ | 0.7% |
BB | 1.0% |
BB- | 0.8% |
B+ | 0.6% |
B | 0.2% |
Not Rated | 4.2% |
100.0% |
* | Credit quality ratings by Standard & Poor’s assist investors by evaluating the credit worthiness of many bond issues. AAA: An obligation rated ‘AAA’ has the highest rating assigned by S&P Global Ratings. The obligor’s capacity to meet its financial commitment on the obligation is extremely strong. AA: An obligation rated ‘AA’ differs from the highest-rated obligations only to a small degree. The obligor’s capacity to meet its financial commitment on the obligation is very strong. A: An obligation rated ‘A’ is somewhat more susceptible to the adverse effects of changes in circumstances and economic conditions than obligations in higher-rated categories. However, the obligor’s capacity to meet its financial commitment on the obligation is still strong. BBB: An obligation rated ‘BBB’ exhibits adequate protection parameters. However, adverse economic conditions or changing circumstances are more likely to lead to a weakened capacity of the obligor to meet its financial commitment on the obligation. BB: An obligation rated ‘BB’ is less vulnerable to nonpayment than other speculative issues. However, it faces major ongoing uncertainties or exposure to adverse business, financial, or economic conditions which could lead to the obligor’s inadequate capacity to meet its financial commitment on the obligation. Not Rated: This indicates that no rating has been requested, or that there is insufficient information on which to base a rating, or that Standard & Poor’s does not rate a particular obligation as a matter of policy. |
43 |
June 30, 2018 |
Pax High Yield Bond Fund |
Portfolio Manager’s Comments |
Portfolio Manager
|
Portfolio Manager Kent Siefers |
How did the Pax High Yield Bond Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the Investor Class, Class A, and Institutional Class shares of the Fund had total returns of -0.81%, -0.81%, and -0.55%, respectively, compared to -0.46% for the BofA Merrill Lynch U.S. High Yield—Cash Pay— BB-B (Constrained 2%) Index (the Index) and -0.14% for the Lipper High Yield Bond Funds Index.
What factors contributed to the Fund’s performance?
The Fund’s slight underperformance during the period was primarily driven by negative selection in the Consumer Goods and Retail sectors. Our allocation to the Automotive, Consumer Goods and Financial Services sectors also detracted to some extent. This was offset by positive credit selection in the Telecommunications, Banking and Technology sectors. By credit rating, the Fund’s higher quality BB and B rated names contributed to performance, while the lower quality CC and unrated names detracted from performance. Duration positioning was a modest positive in the period.
Can you discuss any significant changes to the Fund’s positioning throughout the period?
As of June 30, 2018, the average credit quality of the Fund as measured by Standard and Poors was B+. This was substantially similar to the average credit rating as of December 31, 2017. CCC rated bonds decreased to 6% from 7.5% at the beginning of the year. By sector, the Fund increased exposure to the Automotive, Basic Industry and Real Estate sectors while reducing exposure to Retail, Leisure and Telecommunications.
Of note from an ESG perspective, management wrote to eight energy companies held in the Fund during the second quarter seeking clarity on their efforts to manage fugitive methane emissions along with seeking information regarding water risks. The engagement focused on the environmental, economic and regulatory aspects of fugitive methane emissions, which if left unchecked may significantly reduce the benefit of natural gas as a bridge fuel. Information derived from this ongoing engagement will provide us with valuable insight into the companies’ approach to handling these risks and help us better evaluate investment opportunities in the high yield Energy sub-sector.
44 |
June 30, 2018 |
What portfolio holdings contributed positively to performance?
JC Penney, a retail department store operator, was a positive contributor in the beginning of the year after strong holiday season performance. The position was sold and the Fund no longer has exposure to the name.
Frontier Communications, a wireline telecommunications company, performed very well in the period due to stronger than expected financial results and planned re-financing activities.
Windstream Services, a wireline telecommunications company, also performed well as they announced a number of re-financing initiatives which benefited the Fund’s position in the company’s shorter-dated bonds.
What portfolio holdings detracted from performance?
Highridge Brands, a consumer products company, performed poorly due to near-term earnings trends which are under pressure. The company is undergoing a significant repositioning and upgrade of its product portfolio with improvements expected this year and next.
Charlotte Russe, an apparel retailer, continues to perform poorly as they face headwinds from declining mall traffic and competitive pricing pressure.
Chaparral Energy, an energy and production company, has been under selling pressure from investors frustrated with the company’s pace of oil well development and diminishing prospects for a near-term sale of the company.
Portfolio Highlights (Unaudited)
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | ||||||
Share Class | Ticker Symbol | YTD | 1 Year | 3 Years | 5 Years | 10 Years | |
Investor Class1 | PAXHX | -0.81% | 0.96% | 3.78% | 3.29% | 5.16% | |
Class A1,2,4 | PXHAX | NAV3 | -0.81% | 0.96% | 3.78% | 3.32% | 5.17% |
POP | -5.27% | -3.55% | 2.18% | 2.37% | 4.70% | ||
Institutional Class1 | PXHIX | -0.55% | 1.35% | 4.04% | 3.57% | 5.42% | |
BofA Merrill Lynch U.S. High Yield - Cash Pay - BB-B (Constrained 2%) Index | -0.46% | 1.86% | 4.96% | 5.32% | 7.35% | ||
Lipper High Yield Bond Funds Index | -0.14% | 2.54% | 4.49% | 4.84% | 6.67% |
See “Glossary of Terms” for descriptions of benchmarks.
45 |
June 30, 2018 |
Pax High Yield Bond Fund, continued |
Portfolio Highlights (Unaudited), continued |
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | The Fund’s investment adviser assumed certain expenses during the 10-year period: average annual returns would have been lower had these expenses not been assumed. Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
2 | A 1.00% CDSC (contingent deferred sales charge) may be charged on any shares sold within 18 months of purchase over $1 million. POP (public offering price) reflects the maximum sales load for the Fund’s Class A Shares of 4.50%. NAV performance does not reflect the deduction of the sales load of the CDSC, which if reflected would reduce the performance shown. |
3 | NAV is Net Asset Value. |
4 | Inception of Class A shares is May 1, 2013. The performance information shown for Class A shares includes the performance of Investor Class shares, adjusted to reflect the sales charge applicable to Class A shares, for the period prior to Class A inception. |
Asset Allocation | Percent of Investments |
U.S. Bonds | 87.1% |
Foreign Bonds | 8.4% |
U.S. Stocks | 0.7% |
Loans | 0.6% |
Cash & Cash Equivalents | 3.2% |
Total | 100.0% |
Credit Quality
Bond Rating | Percent of Bonds |
U.S. Government | 0.7% |
BBB- | 4.3% |
BB+ | 11.9% |
BB | 18.9% |
BB- | 21.2% |
B+ | 9.8% |
B | 13.4% |
B- | 12.3% |
CCC+ | 4.5% |
CCC | 1.7% |
CC | 0.6% |
Not Rated | 0.7% |
Total | 100.0% |
See bond rating descriptions on page 43.
46 |
June 30, 2018 |
Top Ten Holdings
Company | Percent of Net Assets |
HCA, Inc., 5.875%, 02/15/26 | 1.2% |
Standard Industries, Inc., 144A, 6.000%, 10/15/25 | 1.1% |
Fly Leasing, Ltd., 6.375%, 10/15/21 | 0.8% |
Royal Bank of Scotland Group PLC, 6.125%, 12/15/22 | 0.8% |
First Data Corp., 144A, 5.000%, 01/15/24 | 0.8% |
HCA, Inc., 5.875%, 05/01/23 | 0.7% |
Scientific Games International, Inc., 10.000%, 12/01/22 | 0.7% |
ESH Hospitality, Inc., 144A, 5.250%, 05/01/25 | 0.7% |
Exterran Energy Solutions LP / EES Finance, 8.125%, 05/01/25 | 0.7% |
Manitowoc Co, Inc., The, 144A, 12.750%, 08/15/21 | 0.7% |
Total | 8.2% |
Ten largest holdings do not include money market securities, certificates of deposit, commercial paper or cash and equivalents, if applicable
Holdings are subject to change.
Fixed Income Sector Diversification
Sector | Percent of Net Assets |
Energy | 14.0% |
Basic Industry | 10.6% |
Media | 10.6% |
Telecommunications | 9.2% |
Health Care | 7.7% |
Capital Goods | 6.0% |
Consumer Goods | 4.9% |
Technology & Electronics | 4.7% |
Leisure | 4.1% |
Retail | 4.0% |
Services | 3.9% |
Banking | 3.7% |
Automotive | 3.2% |
Financial Services | 2.5% |
Real Estate | 2.3% |
Utility | 1.7% |
Insurance | 0.7% |
U.S. Government | 0.7% |
Transportation | 0.6% |
Other assets and liabilities (net) | 4.9% |
Total | 100.0% |
May include companies representing multiple industries within a single “Sector”.
47 |
June 30, 2018 |
Pax Balanced Fund |
Portfolio Managers’ Comments |
Portfolio Manager
|
Portfolio Manager
|
Portfolio Manager
|
Portfolio Manager Peter Schwab, CFA |
How did the Pax Balanced Fund (the Fund) perform for the period?
For the six-month period ended June 30, 2018, the Investor Class and Institutional Class of the Fund had total returns of 0.39% and 0.55% respectively, compared to 1.00% for the 60% S&P 500 Index/ 40% Bloomberg Barclays U.S. Aggregate Bond Index blend (the Blended Index) and -0.11 for the Morningstar Allocation--50% to 70% Equity category average.
Longer-term, reflective of its strong performance and risk management versus peers, the Fund’s Institutional Class (PAXIX)1 is rated 4 stars over 3- and 5-year periods out of 674 and 617 Funds respectively, within the Morningstar Allocation--50% to 70% Equity category, based on risk adjusted returns as of 6/30/18.2
What factors contributed to the Fund’s performance?
The Fund’s allocation to Non-U.S. Equities was the primary detractor to performance relative to the Blended Index given the significant performance advantage of the S&P 500 Index relative to the MSCI EAFE Index. While the S&P 500 Index posted a modest positive return of 2.65%, Non-U.S. Developed market equities, as represented by the MSCI EAFE Index, were down -2.75%. A strong U.S. dollar in addition to concerns related to international trade and a potential slowing in synchronized global growth weighed down MSCI EAFE Index performance during the period.
Can you discuss any significant changes to the Fund’s positioning throughout the period?
The Fund maintained a modest tilt toward equities over the first half of the year and trimmed its non-U.S. equities back toward a neutral allocation of 15% of equities.
48 |
June 30, 2018 |
The Fund’s equity allocation remains modestly above its neutral 60% target and fixed income allocation modestly below its 40% target as we continue to balance strong near-term earnings prospects with potential risks including escalating trade tensions, signs of accelerating inflation and early indications of a sooner than expected slow-down in the U.S. economy.
We remain focused on risk at both the Pax Balanced Fund level and within each of the underlying funds to ensure that risk levels are maintained in-line with desired risk tolerance.
What portfolio holdings contributed positively and negatively to performance?
In aggregate, underlying Fund performance modestly detracted from performance. The Pax Mid Cap Fund was the largest detractor from performance as it underperformed the Russell Midcap Index largely due to stock selection challenges in the Financials and Health Care sectors.
Conversely, the Pax Large Cap Fund was the largest contributor to performance as it outperformed its S&P 500 Index benchmark, which was driven by strong stock selection in the Consumer Staples, Consumer Discretionary and Health Care sectors.
1 | The minimum investment needed for investment in PAXIX is $250,000. |
2 | The Morningstar Ratings™ shown are as of 6/30/18. The Morningstar Rating for funds, or ‘star rating’, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five and ten- year (if applicable) Morningstar Rating metrics. The weights are 100% three-year rating for 36-59 months of total returns, 60% five-year rating, 40% three-year rating for 60-119 months of total returns, and 50% ten-year rating, 30% five-year rating, 20% three-year rating for 120 or more months of total returns. While the ten-year overall rating formula seems to give the most weight to the ten-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. |
The Pax Balanced Fund Institutional Class (PAXIX) Morningstar ratings were 3 stars out of 674 funds overall, 4 stars out of 674 funds for 3- years, 4 stars out of 617 funds for 5-years, and 2 stars out of 439 funds for 10-years. |
49 |
June 30, 2018 |
Pax Balanced Fund, continued |
Portfolio Highlights (Unaudited) |
Returns—Period ended June 30, 2018
Total Return | Average Annual Return | |||||
Share Class | Ticker Symbol | YTD | 1 Year | 3 Years | 5 Years | 10 Years |
Investor Class1 | PAXWX | 0.39% | 6.90% | 6.02% | 7.50% | 5.17% |
Institutional Class1 | PAXIX | 0.55% | 7.22% | 6.31% | 7.77% | 5.44% |
S&P 500 Index | 2.65% | 14.37% | 11.93% | 13.42% | 10.17% | |
Blended Index | 1.00% | 8.34% | 7.88% | 8.97% | 7.84% | |
Morningstar Allocation--50% to 70% Equity | -0.11% | 6.58% | 5.59% | 6.85% | 6.27% |
See “Glossary of Terms” for descriptions of benchmarks.
These figures represent past performance, which is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total returns for periods of less than one year have not been annualized. For most recent month-end performance data, please visit www.paxworld.com or call 800.767.1729.
1 | Total return figures include reinvested dividends and capital gains distributions, and changes in principal value, and do not reflect the taxes that a shareholder might pay on Fund distributions or on the redemption of Fund shares. |
Manager Allocations
Fund Allocation | Percent of Net Assets |
Equity | |
Large-Cap/Multi-Cap Core Strategies | |
Pax Large Cap Fund | 37.4% |
Pax ESG Beta Dividend Fund | 7.1% |
Small/Mid-Cap Core Strategies | |
Pax Mid Cap Fund | 6.9% |
Foreign Strategies | |
Pax Global Opportunities Fund | 1.4% |
Pax Global Environmental Markets Fund | 0.5% |
Pax MSCI EAFE Leaders Index Fund | 8.5% |
Total Equity | 61.8% |
Fixed Income | |
Investment Grade/Intermediate | |
Pax Core Bond Fund | 37.5% |
Total Fixed Income | 37.5% |
Cash & Cash Equivalents | 0.7% |
Total | 100.0% |
50 |
June 30, 2018 |
Sustainable Investing Update (Unaudited) |
Senior Vice President
Julie Gorte, Ph.D., |
One of the most delightful benefits of working in sustainable investment is sleeping at night: the work we do gives us the assurance that our days are spent making the world better and more sustainable. It is enormously helpful that so many more investors are, 47 years after Pax World Funds started, seeing the financial logic behind sustainability. The challenges we face are profound enough to need a large community of sustainable investors to solve them.
One place where we make headway is on gender equality. There is a lot of support in the academic and financial literature for the idea that companies that work to empower women tend to do better financially. So, for over a decade, on behalf of Pax World Funds we have used our annual proxy votes to vote against all-male boards, and to vote against the male members of boards with only one woman on them. And over the last five proxy seasons (July 2013 - July 2018), we have voted against 322 all-male board slates.1 The needle moves slowly on board diversity, but it does move: every year, there are fewer companies with all-male boards, particularly among larger companies.
We’ve also expanded our company engagement to cover another key aspect of women’s empowerment: pay equity. We have heard for years companies’ proclamations that they pay men and women equally—given their jobs, skills, education and experience—but the only real numbers we’ve had to prove that point are overall gender pay ratios for the entire economy. There we see the persistent 20-cent gap between women and men (for every dollar made by the average man, the average woman makes about 80 cents).
Some of that may be explained by the “mommy gap”. Very little of it, if any, can be explained by education: women have been getting more college degrees, at every level, than men for over 20 years. It often comes down to unsatisfying explanations like “women are not as likely to ask for and fight for a raise,” “women sort themselves into lower-paying occupations,” “women are not as ambitious.”
None of these reasons stand up to robust factual examination. What we do see, in example after example, is plain, simple discrimination. Not all of it is overt or deliberate, but unconscious bias can still be a powerful factor. And some of it is overt—we’ve been hearing about women dropping out of the workforce who
1 | Note that this figure does not represent 322 unique companies - in many cases, we voted against a board slate put forth by a company over multiple years. |
51 |
June 30, 2018 |
Sustainable Investing Updated (Unaudited), continued |
have been harassed on the job and subsequently finding very little support, and at times outright hostility, from human resources and other channels that should be helpful.
We also know from the United Kingdom (UK), which is the first nation to require widespread company reporting on pay by gender, that almost eight in ten companies pay men more than women, and in some cases the pay gap was more of a yawning chasm: for example, several financial companies reported gender pay gaps over 35%.2 Some of those are American companies, by the way. The UK’s reporting scheme applies to companies with 250 or more employees, regardless of domicile. Equal pay is the law in the United States, but it’s a law that is frightfully easy to evade. That is why we urge companies to assess how their workers are paid. We’ve found that when companies conduct pay audits, they’re often surprised to learn that they don’t actually have equal pay. As the old saying goes, you can’t manage what you don’t measure.
This year, we filed resolutions asking that companies conduct pay audits and commit to paying men and women equally at HP, Inc., Discover Financial Services, KeyCorp, and Oracle. We were able to withdraw the resolutions at the first three3 after all of them agreed to publish commitments to pay equity with detailed information on their processes for managing pay equity, including plans for how they will remediate unexplained pay gaps.
Along with many other asset owners and asset managers who have focused engagements on pay equity, we believe that progress here helps to set a standard that informs all companies, not just the ones we engage specifically. There is a domino effect in sustainability: when leading companies make progress, competitors and aspiring competitors tend to quietly adopt those practices as well. Competition, in this case, is not just a race to the bottom.
All that said, there are times when we face headwinds. Right now, public policy is often just such a headwind: there has been an effort on the part of some companies and trade associations to eliminate or curtail shareholders’ rights to file shareholder proposals. Legislation that has passed the House of Representatives would, if it becomes law, significantly undermine the ability to file shareholder proposals. One trade group has published a deeply flawed study that purports to
2 | Daniele Palumbo & Clara Guibourg, “Gender pay gap: Four things we’ve learnt,” BBC News, April 4, 2018. |
3 | Pax World Funds has refiled its pay equity proposal with Oracle for 2018. Our 2017 shareholder proposal at Oracle on pay equity reporting received support of 38.7% at the Annual General Meeting on November 15, 2017. Excluding inside ownership (Founder and Chief Technology Officer Larry Ellison owns 27% of Oracle’s shares), a majority of independent shareholders supported Pax World Fund’s proposal. |
52 |
June 30, 2018 |
show that shareholder engagement does not add value, and that so-called “main street investors” do not want asset managers to engage companies on sustainability matters.
Those main street investors often have choices, and when they choose Pax World Funds, they can be assured that we will engage companies on sustainability issues, from pay equity to board diversity to mitigating climate change to sustainability reporting. Pax World Funds is also a member of the Shareholder Rights Group, an association of investors formed in 2016 to defend our rights to engage with public companies on long-term value creation.
There is a lot of evidence that more sustainable companies perform better financially, and we therefore believe it makes sense for shareholders to encourage companies to do better when it comes to sustainability issues, from climate change to gender equality. Sustainability is not a ball and chain on profits, but to the contrary, it is a hallmark of companies that add value over the long term. We intend to continue to invest in those companies, and where necessary cajole and persuade them to do better.
53 |
June 30, 2018 |
Shareholder Expense Examples (Unaudited) |
Examples As a shareholder of the Funds, you incur ongoing costs, including management fees; distribution and/or service (12b-1) fees; and other Fund expenses. The examples on the next page are intended to help you understand your ongoing costs (in dollars) of investing in each of the Funds and compare these costs with the ongoing costs of investing in other mutual funds. For more information, see the relevant Fund’s prospectus or talk to your financial adviser.
The examples are based on an investment of $1,000 invested at the beginning of the period and held for the entire period beginning on January 1, 2018 and ending on June 30, 2018.
Please note that Individual Retirement Account (IRA), Coverdell Education Savings, Roth IRA, SEP-IRA, SIMPLE IRA, and 403(b)(7) accounts are charged an annual custodial fee of fifteen dollars. If you are invested in one of these account types, you should add an additional $7.50 to the estimated expenses paid during the period.
Actual Expenses For each Fund, the first table on the next page provides information about actual account values and actual expenses. You may use the information in this table, together with the amount you invested, to estimate the expenses that you paid over the period. For the Fund, 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 under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.
Hypothetical Examples for Comparison Purposes For each Fund, the second table on the following pages provides information about hypothetical account values and hypothetical expenses based on each Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not each Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds and other funds. To do so, compare these 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the tables are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the second 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, our costs would have been higher.
54 |
June 30, 2018 |
Shareholder Expense Examples (Unaudited), continued |
Based on Actual Fund Return | ||||
Beginning Account Value 1/1/18 | Ending Account Value 6/30/18 | Annualized Expense Ratio | Expenses Paid During Period1 | |
Large Cap Fund - Investor | $ 1,000.00 | $ 1,031.20 | 0.95% | $ 4.78 |
Large Cap Fund - Institutional Investor | 1,000.00 | 1,032.30 | 0.70% | 3.53 |
Mid Cap Fund - Investor | 1,000.00 | 988.30 | 1.16% | 5.72 |
Mid Cap Fund - Institutional | 1,000.00 | 990.40 | 0.91% | 4.49 |
Small Cap Fund - Investor | 1,000.00 | 1,015.20 | 1.18% | 5.90 |
Small Cap Fund - Class A | 1,000.00 | 1,015.30 | 1.18% | 5.90 |
Small Cap Fund - Institutional | 1,000.00 | 1,016.30 | 0.93% | 4.65 |
ESG Beta Quality Fund - Investor | 1,000.00 | 1,010.30 | 0.90% | 4.49 |
ESG Beta Quality Fund - Class A | 1,000.00 | 1,009.80 | 0.90% | 4.48 |
ESG Beta Quality Fund - Institutional | 1,000.00 | 1,011.70 | 0.65% | 3.24 |
ESG Beta Dividend Fund - Investor | 1,000.00 | 1,008.40 | 0.90% | 4.48 |
ESG Beta Dividend Fund - Institutional Investor | 1,000.00 | 1,011.00 | 0.65% | 3.24 |
Global Opportunities Fund - Investor2 | 1,000.00 | 997.00 | 1.10% | 0.12 |
Global Opportunities Fund - Institutional2 | 1,000.00 | 997.00 | 0.92% | 0.10 |
Global Environmental Markets Fund - Investor | 1,000.00 | 948.30 | 1.21% | 5.85 |
Global Environmental Markets Fund - Class A | 1,000.00 | 948.30 | 1.21% | 5.85 |
Global Environmental Markets Fund - Institutional | 1,000.00 | 949.20 | 0.96% | 4.64 |
Global Women's Leadership Fund - Investor | 1,000.00 | 1,003.50 | 0.83% | 4.12 |
Global Women's Leadership Fund - Institutional | 1,000.00 | 1,005.00 | 0.58% | 2.88 |
MSCI EAFE ESG Leaders Index Fund - Investor | 1,000.00 | 970.40 | 0.80% | 3.91 |
MSCI EAFE ESG Leaders Index Fund - Institutional | 1,000.00 | 971.30 | 0.55% | 2.69 |
Core Bond Fund - Investor | 1,000.00 | 984.50 | 0.71% | 3.49 |
Core Bond Fund - Institutional Investor | 1,000.00 | 985.70 | 0.46% | 2.26 |
High Yield Bond Fund - Investor | 1,000.00 | 991.90 | 0.97% | 4.79 |
High Yield Bond Fund - Class A | 1,000.00 | 991.90 | 0.97% | 4.79 |
High Yield Bond Fund - Institutional | 1,000.00 | 994.50 | 0.72% | 3.56 |
Balanced Fund - Investor | 1,000.00 | 1,003.90 | 0.30% | 1.49 |
Balanced Fund - Institutional | 1,000.00 | 1,005.50 | 0.05% | 0.25 |
1 | Expenses are equal to each Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period beginning on January 1, 2018 and ending on June 30, 2018). |
2 | Inception date for the Global Opportunities Fund was June 27, 2018. Actual expense calculations are calculated based on the number of days since inception through the end of the period (4 days). |
55 |
June 30, 2018 |
Shareholder Expense Examples (Unaudited), continued |
Based on Hypothetical 5% Return (before expenses) | ||||
Beginning Account Value 1/1/18 | Ending Account Value 6/30/18 | Annualized Expense Ratio | Expenses Paid During Period1 | |
Large Cap Fund - Investor | $ 1,000.00 | $ 1,020.08 | 0.95% | $ 4.76 |
Large Cap Fund - Institutional Investor | 1,000.00 | 1,021.32 | 0.70% | 3.51 |
Mid Cap Fund - Investor | 1,000.00 | 1,019.04 | 1.16% | 5.81 |
Mid Cap Fund - Institutional | 1,000.00 | 1,020.28 | 0.91% | 4.56 |
Small Cap Fund - Investor | 1,000.00 | 1,018.94 | 1.18% | 5.91 |
Small Cap Fund - Class A | 1,000.00 | 1,018.94 | 1.18% | 5.91 |
Small Cap Fund - Institutional | 1,000.00 | 1,020.18 | 0.93% | 4.66 |
ESG Beta Quality Fund - Investor | 1,000.00 | 1,020.33 | 0.90% | 4.51 |
ESG Beta Quality Fund - Class A | 1,000.00 | 1,020.33 | 0.90% | 4.51 |
ESG Beta Quality Fund - Institutional | 1,000.00 | 1,021.57 | 0.65% | 3.26 |
ESG Beta Dividend Fund - Investor | 1,000.00 | 1,020.33 | 0.90% | 4.51 |
ESG Beta Dividend Fund - Institutional Investor | 1,000.00 | 1,021.57 | 0.65% | 3.26 |
Global Opportunities Fund - Investor | 1,000.00 | 1,000.43 | 1.10% | 5.46 |
Global Opportunities Fund - Institutional | 1,000.00 | 1,000.45 | 0.92% | 4.56 |
Global Environmental Markets Fund - Investor | 1,000.00 | 1,018.79 | 1.21% | 6.06 |
Global Environmental Markets Fund - Class A | 1,000.00 | 1,018.79 | 1.21% | 6.06 |
Global Environmental Markets Fund - Institutional | 1,000.00 | 1,020.03 | 0.96% | 4.81 |
Global Women's Leadership Fund - Investor | 1,000.00 | 1,020.68 | 0.83% | 4.16 |
Global Women's Leadership Fund - Institutional | 1,000.00 | 1,021.92 | 0.58% | 2.91 |
MSCI EAFE ESG Leaders Index Fund - Investor | 1,000.00 | 1,020.83 | 0.80% | 4.01 |
MSCI EAFE ESG Leaders Index Fund - Institutional | 1,000.00 | 1,022.07 | 0.55% | 2.76 |
Core Bond Fund - Investor | 1,000.00 | 1,021.27 | 0.71% | 3.56 |
Core Bond Fund - Institutional Investor | 1,000.00 | 1,022.82 | 0.46% | 2.31 |
High Yield Bond Fund - Investor | 1,000.00 | 1,019.98 | 0.97% | 4.86 |
High Yield Bond Fund - Class A | 1,000.00 | 1,019.98 | 0.97% | 4.86 |
High Yield Bond Fund - Institutional | 1,000.00 | 1,021.22 | 0.72% | 3.61 |
Balanced Fund - Investor | 1,000.00 | 1,023.31 | 0.30% | 1.51 |
Balanced Fund - Institutional | 1,000.00 | 1,024.55 | 0.05% | 0.25 |
1 | Expenses are equal to each Funds’ annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period beginning on January 1, 2018 and ending on June 30, 2018). |
56 |
June 30, 2018 |
Schedule of Investments (Unaudited) |
Pax Large Cap Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 98.3% | ||||||||
Consumer Discretionary: 13.7% | ||||||||
Amazon.com, Inc. (a) | 19,604 | $ | 33,322,878 | |||||
Aptiv PLC | 157,200 | 14,404,236 | ||||||
Discovery, Inc., Class A (a)(b) | 483,790 | 13,304,225 | ||||||
Home Depot, Inc., The | 109,600 | 21,382,960 | ||||||
Walt Disney Co., The | 115,130 | 12,066,775 | ||||||
94,481,074 | ||||||||
Consumer Staples: 8.2% | ||||||||
Colgate-Palmolive Co. | 167,000 | 10,823,270 | ||||||
Estee Lauder Cos, Inc., The, Class A | 28,755 | 4,103,051 | ||||||
McCormick & Co., Inc. (b) | 102,600 | 11,910,834 | ||||||
Mondelez International, Inc., Class A | 261,000 | 10,701,000 | ||||||
PepsiCo, Inc. | 175,945 | 19,155,132 | ||||||
56,693,287 | ||||||||
Energy: 6.1% | ||||||||
ConocoPhillips | 227,000 | 15,803,740 | ||||||
Pioneer Natural Resources Co. | 61,214 | 11,584,137 | ||||||
Schlumberger, Ltd. | 213,277 | 14,295,957 | ||||||
41,683,834 | ||||||||
Financials: 14.7% | ||||||||
AXA Equitable Holdings, Inc. (a)(b) | 450,000 | 9,274,500 | ||||||
Bank of America Corp. | 695,400 | 19,603,326 | ||||||
BlackRock, Inc. | 23,100 | 11,527,824 | ||||||
Citizens Financial Group, Inc. | 357,700 | 13,914,530 | ||||||
JPMorgan Chase & Co. | 175,818 | 18,320,236 | ||||||
KeyCorp. | 349,000 | 6,819,460 | ||||||
Prudential Financial, Inc. | 123,700 | 11,567,187 | ||||||
Voya Financial, Inc. | 215,300 | 10,119,100 | ||||||
101,146,163 | ||||||||
Health Care: 13.8% | ||||||||
Becton Dickinson & Co. | 75,300 | 18,038,868 | ||||||
Biogen, Inc. (a) | 66,518 | 19,306,184 | ||||||
Eli Lilly & Co. | 168,000 | 14,335,440 | ||||||
Humana, Inc. | 54,300 | 16,161,309 | ||||||
Thermo Fisher Scientific, Inc. | 64,927 | 13,448,979 | ||||||
Zoetis, Inc. | 164,854 | 14,043,912 | ||||||
95,334,692 | ||||||||
Industrials: 9.4% | ||||||||
Cummins, Inc. | 66,800 | 8,884,400 | ||||||
Ingersoll-Rand PLC | 193,403 | 17,354,051 | ||||||
Stanley Black & Decker, Inc. | 105,463 | 14,006,541 | ||||||
Waste Management, Inc. | 177,727 | 14,456,314 | ||||||
Xylem, Inc. | 150,700 | 10,154,166 | ||||||
64,855,472 | ||||||||
Information Technology: 24.7% | ||||||||
Alphabet, Inc., Class A (a) | 17,423 | 19,673,877 | ||||||
Alphabet, Inc., Class C (a) | 17,675 | 19,719,118 | ||||||
Apple, Inc. | 142,375 | 26,355,035 | ||||||
IBM | 97,000 | 13,550,900 | ||||||
Lam Research Corp. | 42,655 | 7,372,917 | ||||||
Microsoft Corp. | 372,757 | 36,757,567 | ||||||
salesforce.com, Inc. (a) | 90,400 | 12,330,560 | ||||||
TE Connectivity, Ltd. | 183,000 | 16,480,980 | ||||||
Visa, Inc., Class A | 135,900 | 17,999,955 | ||||||
170,240,909 | ||||||||
Materials: 3.7% | ||||||||
DowDuPont, Inc. | 227,600 | 15,003,392 | ||||||
Vulcan Materials Co. (b) | 79,800 | 10,298,988 | ||||||
25,302,380 | ||||||||
Real Estate: 2.3% | ||||||||
Prologis, Inc., REIT | 237,400 | 15,594,806 | ||||||
Telecommunication Services: 1.7% | ||||||||
T-Mobile US, Inc. (a) | 191,500 | 11,442,125 | ||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $541,559,937) | 676,774,742 | |||||||
MONEY MARKET: 1.4% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (c)(d) | 9,734,867 | 9,734,867 | ||||||
(Cost $9,734,867) |
57 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Large Cap Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
SECURITIES PURCHASED WITH CASH COLLATERAL FROM SECURITIES LENDING: 1.8% | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio, 1.902% (c) | 12,657,744 | $ | 12,657,744 | |||||
(Cost $12,657,744) | ||||||||
TOTAL INVESTMENTS: 101.5% | ||||||||
(Cost $563,952,548) | 699,167,353 | |||||||
PAYABLE UPON RETURN OF SECURITIES LOANED — (NET): -1.8% | (12,657,744 | ) | ||||||
OTHER ASSETS AND LIABILITIES — (NET): 0.3% | 1,903,657 | |||||||
NET ASSETS: 100.0% | $ | 688,413,267 |
(a) | Non-income producing security. |
(b) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $38,479,439. |
(c) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(d) | Premier Class shares |
REIT - Real Estate Investment Trust
SEE NOTES TO FINANCIAL STATEMENTS | 58 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Mid Cap Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 95.2% | ||||||||
Consumer Discretionary: 13.5% | ||||||||
Aramark | 50,000 | $ | 1,855,000 | |||||
Carter's, Inc. | 12,671 | 1,373,410 | ||||||
Macy's, Inc. | 58,520 | 2,190,404 | ||||||
Newell Brands, Inc. (a) | 143,403 | 3,698,362 | ||||||
Ross Stores, Inc. | 25,000 | 2,118,750 | ||||||
Sinclair Broadcast Group, Inc., Class A (a) | 50,000 | 1,607,500 | ||||||
Williams-Sonoma, Inc. (a) | 20,000 | 1,227,600 | ||||||
Yum! Brands, Inc. | 40,044 | 3,132,242 | ||||||
17,203,268 | ||||||||
Consumer Staples: 8.2% | ||||||||
Hain Celestial Group, Inc, The (a)(b) | 56,100 | 1,671,780 | ||||||
Lamb Weston Holdings, Inc. | 38,333 | 2,626,194 | ||||||
Maple Leaf Foods, Inc. | 124,900 | 3,158,009 | ||||||
US Foods Holding Corp. (b) | 79,399 | 3,002,870 | ||||||
10,458,853 | ||||||||
Energy: 8.4% | ||||||||
Antero Resources Corp. (b) | 181,900 | 3,883,565 | ||||||
Concho Resources, Inc. (b) | 20,459 | 2,830,503 | ||||||
Pioneer Natural Resources Co. | 21,000 | 3,974,040 | ||||||
10,688,108 | ||||||||
Financials: 13.1% | ||||||||
Alleghany Corp. | 2,500 | 1,437,425 | ||||||
Citizens Financial Group, Inc. | 85,000 | 3,306,500 | ||||||
LegacyTexas Financial Group, Inc. | 63,600 | 2,481,672 | ||||||
Legg Mason, Inc. | 33,993 | 1,180,576 | ||||||
RenaissanceRe Holdings, Ltd. | 10,034 | 1,207,291 | ||||||
White Mountains Insurance Group, Ltd. | 4,324 | 3,920,182 | ||||||
Zions Bancorporation | 60,000 | 3,161,400 | ||||||
16,695,046 | ||||||||
Health Care: 10.1% | ||||||||
Biogen, Inc. (b) | 19,500 | 5,659,680 | ||||||
Catalent, Inc. (b) | 35,791 | 1,499,285 | ||||||
IQVIA Holdings, Inc. (b) | 29,469 | 2,941,596 | ||||||
Laboratory Corp of America Holdings (b) | 15,263 | 2,740,166 | ||||||
12,840,727 | ||||||||
Industrials: 13.4% | ||||||||
Expeditors Intl. of Washington, Inc. | 23,575 | 1,723,333 | ||||||
KLX, Inc. (b) | 40,000 | 2,876,000 | ||||||
Masco Corp. | 40,597 | 1,519,140 | ||||||
nVent Electric PLC (b) | 43,172 | 1,083,617 | ||||||
Pentair PLC | 43,172 | 1,816,678 | ||||||
Robert Half International, Inc. | 38,579 | 2,511,493 | ||||||
Waste Management, Inc. | 48,000 | 3,904,319 | ||||||
WESCO International, Inc. (b) | 30,000 | 1,713,000 | ||||||
17,147,580 | ||||||||
Information Technology: 10.3% | ||||||||
Amdocs, Ltd. | 42,500 | 2,813,075 | ||||||
Citrix Systems, Inc. (b) | 31,393 | 3,291,242 | ||||||
Genpact, Ltd. | 42,110 | 1,218,242 | ||||||
Skyworks Solutions, Inc. | 16,500 | 1,594,725 | ||||||
SS&C Technologies Holdings, Inc. | 52,915 | 2,746,289 | ||||||
Versum Materials, Inc. | 38,526 | 1,431,241 | ||||||
13,094,814 | ||||||||
Materials: 8.4% | ||||||||
Alcoa Corp. (b) | 24,999 | 1,171,953 | ||||||
Celanese Corp., Class A | 42,000 | 4,664,520 | ||||||
Newmont Mining Corp. | 128,309 | 4,838,532 | ||||||
10,675,005 | ||||||||
Real Estate: 5.8% | ||||||||
Jones Lang LaSalle, Inc. | 5,481 | 909,791 | ||||||
Prologis, Inc., REIT | 45,000 | 2,956,050 | ||||||
Weyerhaeuser Co., REIT | 98,482 | 3,590,654 | ||||||
7,456,495 | ||||||||
Utilities: 4.0% | ||||||||
ONE Gas, Inc. | 69,044 | 5,160,349 | ||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $100,371,474) | 121,420,245 |
59 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Mid Cap Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
MONEY MARKET: 4.8% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (c)(d) | 6,075,589 | $ | 6,075,589 | |||||
(Cost $6,075,589) | ||||||||
SECURITIES PURCHASED WITH CASH COLLATERAL FROM SECURITIES LENDING: 0.8% | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio, 1.902% (c) | 984,206 | 984,206 | ||||||
(Cost $984,206) | ||||||||
TOTAL INVESTMENTS: 100.8% | ||||||||
(Cost $107,431,269) | 128,480,040 | |||||||
PAYABLE UPON RETURN OF SECURITIES LOANED — (NET): -0.8% | (984,206 | ) | ||||||
OTHER ASSETS AND LIABILITIES — (NET): 0.0% (e) | 3,016 | |||||||
NET ASSETS: 100.0% | $ | 127,498,850 |
(a) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $8,205,243. |
(b) | Non-income producing security. |
(c) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(d | Premier Class shares |
(e) | Rounds to less than 0.05% |
REIT - Real Estate Investment Trust
SEE NOTES TO FINANCIAL STATEMENTS | 60 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Small Cap Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 97.4% | ||||||||
Consumer Discretionary: 10.3% | ||||||||
AMC Networks, Inc., Class A (a)(b) | 128,416 | $ | 7,987,475 | |||||
BJs Restaurants, Inc. | 98,081 | 5,884,860 | ||||||
Carter's, Inc. | 103,804 | 11,251,316 | ||||||
Michaels Cos, Inc., The (a)(b) | 680,665 | 13,048,348 | ||||||
Sinclair Broadcast Group, Inc., Class A (b) | 459,022 | 14,757,557 | ||||||
Wendy's Co, The (b) | 1,050,944 | 18,055,218 | ||||||
Williams-Sonoma, Inc. (b) | 121,900 | 7,482,222 | ||||||
Wyndham Hotels & Resorts, Inc. | 18,770 | 1,104,239 | ||||||
79,571,235 | ||||||||
Consumer Staples: 5.3% | ||||||||
Hain Celestial Group, Inc, The (a)(b) | 234,163 | 6,978,057 | ||||||
Maple Leaf Foods, Inc. | 751,600 | 19,003,677 | ||||||
Performance Food Group Co. (a) | 409,521 | 15,029,421 | ||||||
41,011,155 | ||||||||
Energy: 5.1% | ||||||||
Antero Resources Corp. (a)(b) | 1,207,756 | 25,785,591 | ||||||
Parsley Energy, Inc., Class A (a) | 466,814 | 14,135,128 | ||||||
39,920,719 | ||||||||
Financials: 21.3% | ||||||||
Capitol Federal Financial, Inc. | 1,691,152 | 22,255,560 | ||||||
FCB Financial Holdings, Inc., Class A (a) | 181,945 | 10,698,366 | ||||||
Hanover Insurance Group, Inc., The | 114,061 | 13,637,133 | ||||||
HomeTrust Bancshares, Inc. (a) | 960,606 | 27,041,059 | ||||||
Investors Bancorp, Inc. | 1,169,175 | 14,953,748 | ||||||
LegacyTexas Financial Group, Inc. | 336,766 | 13,140,609 | ||||||
Meridian Bancorp, Inc. | 983,086 | 18,826,097 | ||||||
RenaissanceRe Holdings, Ltd. | 76,404 | 9,192,929 | ||||||
TheStreet, Inc. (a) | 1,752,775 | 3,821,050 | ||||||
Victory Capital Holdings, Inc., Class A (a)(b) | 1,415,710 | 14,978,212 | ||||||
White Mountains Insurance Group, Ltd. | 19,505 | 17,683,428 | ||||||
166,228,191 | ||||||||
Health Care: 8.4% | ||||||||
Catalent, Inc. (a) | 381,885 | $ | 15,997,163 | |||||
Ligand Pharmaceuticals, Inc. (a)(b) | 96,259 | 19,941,977 | ||||||
Natus Medical, Inc. (a)(b) | 844,445 | 29,133,353 | ||||||
65,072,493 | ||||||||
Industrials: 19.8% | ||||||||
Beacon Roofing Supply, Inc. (a) | 449,764 | 19,168,942 | ||||||
Comfort Systems USA, Inc. | 315,946 | 14,470,327 | ||||||
EMCOR Group, Inc. | 151,400 | 11,533,652 | ||||||
KLX, Inc. (a) | 271,777 | 19,540,766 | ||||||
Korn/Ferry International | 254,141 | 15,738,952 | ||||||
MasTec, Inc. (a)(b) | 352,889 | 17,909,117 | ||||||
MRC Global, Inc. (a)(b) | 1,260,570 | 27,316,552 | ||||||
Thermon Group Holdings, Inc. (a) | 232,230 | 5,311,100 | ||||||
Watts Water Technologies, Inc., Class A | 70,351 | 5,515,518 | ||||||
WESCO International, Inc. (a) | 295,753 | 16,887,496 | ||||||
153,392,422 | ||||||||
Information Technology: 11.8% | ||||||||
Apptio, Inc., Class A (a)(b) | 335,937 | 12,160,919 | ||||||
Cornerstone OnDemand, Inc. (a) | 16,050 | 761,252 | ||||||
Entegris, Inc. | 156,100 | 5,291,790 | ||||||
Envestnet, Inc. (a) | 225,476 | 12,389,906 | ||||||
Imperva, Inc. (a) | 227,912 | 10,996,754 | ||||||
Power Integrations, Inc (b) | 170,377 | 12,446,040 | ||||||
Verint Systems, Inc. (a) | 370,000 | 16,409,500 | ||||||
Versum Materials, Inc. | 158,612 | 5,892,436 | ||||||
Web.com Group, Inc. (a) | 576,544 | 14,903,662 | ||||||
91,252,259 | ||||||||
Materials: 5.7% | ||||||||
Kaiser Aluminum Corp. | 116,174 | 12,094,875 | ||||||
Royal Gold, Inc. | 135,000 | 12,533,400 | ||||||
Valvoline, Inc. (b) | 890,129 | 19,200,083 | ||||||
43,828,358 | ||||||||
Real Estate: 5.3% | ||||||||
CatchMark Timber Trust, Inc, Class A, REIT | 1,235,976 | 15,733,974 | ||||||
Ryman Hospitality Properties, Inc., REIT | 197,012 | 16,381,548 | ||||||
Terreno Realty Corp., REIT | 232,170 | 8,745,844 | ||||||
40,861,366 |
61 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Small Cap Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Telecommunication Services: 1.1% | ||||||||
ORBCOMM, Inc. (a)(b) | 866,213 | $ | 8,748,751 | |||||
Utilities: 3.3% | ||||||||
Unitil Corp. | 500,954 | 25,568,692 | ||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $655,137,282) | 755,455,641 | |||||||
MONEY MARKET: 2.2% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (c)(d) | 17,190,876 | 17,190,876 | ||||||
(Cost $17,190,876) | ||||||||
SECURITIES PURCHASED WITH CASH COLLATERAL FROM SECURITIES LENDING: 0.2% | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio, 1.902% (c) | 1,654,648 | 1,654,648 | ||||||
(Cost $1,654,648) | ||||||||
TOTAL INVESTMENTS: 99.8% | ||||||||
(Cost $673,982,806) | 774,301,165 | |||||||
PAYABLE UPON RETURN OF SECURITIES LOANED — (NET): -0.2% | (1,654,648 | ) | ||||||
OTHER ASSETS AND LIABILITIES — (NET): 0.4% | 2,744,056 | |||||||
NET ASSETS: 100.0% | $ | 775,390,573 |
(a) | Non-income producing security. |
(b) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $114,196,211. |
(c) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(d) | Premier Class shares |
REIT - Real Estate Investment Trust
SEE NOTES TO FINANCIAL STATEMENTS | 62 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax ESG Beta Quality Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 99.2% | ||||||||
Consumer Discretionary: 15.7% | ||||||||
Amazon.com, Inc. (a) | 4,148 | $ | 7,050,770 | |||||
Best Buy Co., Inc. | 16,539 | 1,233,479 | ||||||
BorgWarner, Inc. | 13,724 | 592,328 | ||||||
Darden Restaurants, Inc. | 8,884 | 951,121 | ||||||
Discovery, Inc., Class C (a) | 11,411 | 290,981 | ||||||
Foot Locker, Inc. | 3,918 | 206,283 | ||||||
Gap Inc., The (b) | 32,627 | 1,056,789 | ||||||
Home Depot, Inc., The | 15,500 | 3,024,050 | ||||||
John Wiley & Sons, Inc., Class A | 12,112 | 755,789 | ||||||
Lowe's Cos., Inc. | 4,402 | 420,699 | ||||||
Macy's, Inc. | 18,028 | 674,788 | ||||||
Marriott International, Inc., Class A | 14,364 | 1,818,482 | ||||||
McDonald's Corp. | 9,028 | 1,414,597 | ||||||
Michael Kors Holdings, Ltd. (a) | 13,665 | 910,089 | ||||||
Michaels Cos, Inc., The (a)(b) | 10,960 | 210,103 | ||||||
NIKE, Inc., Class B | 26,027 | 2,073,831 | ||||||
Nordstrom, Inc. (b) | 7,112 | 368,259 | ||||||
Omnicom Group, Inc. (b) | 768 | 58,575 | ||||||
Sally Beauty Holdings, Inc. (a)(b) | 22,255 | 356,748 | ||||||
ServiceMaster Global Holdings, Inc. (a) | 2,607 | 155,038 | ||||||
Starbucks Corp. | 45,300 | 2,212,905 | ||||||
Target Corp. | 25,701 | 1,956,360 | ||||||
TJX Cos., Inc., The | 12,619 | 1,201,076 | ||||||
Tractor Supply Co. | 806 | 61,651 | ||||||
Ulta Beauty, Inc. (a) | 845 | 197,274 | ||||||
VF Corp. | 16,300 | 1,328,776 | ||||||
Viacom, Inc., Class B | 28,024 | 845,204 | ||||||
Walt Disney Co., The | 7,959 | 834,183 | ||||||
Williams-Sonoma, Inc. (b) | 13,332 | 818,318 | ||||||
33,078,546 | ||||||||
Consumer Staples: 8.6% | ||||||||
Clorox Co., The (b) | 1,978 | 267,525 | ||||||
Dr. Pepper Snapple Group, Inc. (a) | 19,439 | 2,371,558 | ||||||
Estee Lauder Cos, Inc., The, Class A | 13,011 | 1,856,540 | ||||||
General Mills, Inc. | 29,116 | 1,288,674 | ||||||
Herbalife Nutrition, Ltd (a) | 7,728 | 415,148 | ||||||
Hershey Co.,The | 6,551 | 609,636 | ||||||
JM Smucker Co., The | 4,375 | 470,225 | ||||||
Kellogg Co. | 18,583 | $ | 1,298,394 | |||||
Kimberly-Clark Corp. | 10,450 | 1,100,803 | ||||||
Kroger Co., The | 31,706 | 902,036 | ||||||
McCormick & Co., Inc. (b) | 804 | 93,336 | ||||||
PepsiCo, Inc. | 45,180 | 4,918,747 | ||||||
Procter & Gamble Co., The | 22,100 | 1,725,126 | ||||||
Sysco Corp. | 6,690 | 456,860 | ||||||
US Foods Holding Corp. (a) | 3,957 | 149,654 | ||||||
Walgreens Boots Alliance, Inc. | 1,835 | 110,128 | ||||||
18,034,390 | ||||||||
Energy: 1.4% | ||||||||
ConocoPhillips | 10,975 | 764,080 | ||||||
EOG Resources, Inc. | 9,596 | 1,194,029 | ||||||
ONEOK, Inc. | 7,385 | 515,695 | ||||||
Pioneer Natural Resources Co. | 32 | 6,056 | ||||||
Southwestern Energy Co. (a)(b) | 23,773 | 125,997 | ||||||
Valero Energy Corp. | 3,826 | 424,036 | ||||||
3,029,893 | ||||||||
Financials: 9.9% | ||||||||
Aflac, Inc. | 72,634 | 3,124,715 | ||||||
Allstate Corp., The | 2,405 | 219,504 | ||||||
Ally Financial, Inc. | 8,336 | 218,987 | ||||||
American Express Co. | 6,578 | 644,644 | ||||||
American National Insurance Co | 3,170 | 379,100 | ||||||
Bank of America Corp. | 8,327 | 234,738 | ||||||
BankUnited, Inc. | 5,904 | 241,178 | ||||||
Discover Financial Services | 1,934 | 136,173 | ||||||
East West Bancorp, Inc. | 22,447 | 1,463,544 | ||||||
FactSet Research Systems, Inc. | 379 | 75,080 | ||||||
Fifth Third Bancorp | 40,683 | 1,167,602 | ||||||
First American Financial Corp. | 14,820 | 766,490 | ||||||
Lincoln National Corp. | 13,962 | 869,135 | ||||||
Morningstar, Inc. | 5,622 | 721,022 | ||||||
PNC Financial Services Group, Inc. | 30,700 | 4,147,570 | ||||||
Prudential Financial, Inc. | 32,620 | 3,050,296 | ||||||
Reinsurance Group of America, Inc. | 13,453 | 1,795,706 | ||||||
Travelers Cos., Inc., The | 6,682 | 817,476 | ||||||
Unum Group | 17,117 | 633,158 | ||||||
20,706,118 |
63 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax ESG Beta Quality Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Health Care: 12.3% | ||||||||
AbbVie, Inc. | 11,649 | $ | 1,079,280 | |||||
ABIOMED, Inc. (a) | 235 | 96,127 | ||||||
Agilent Technologies, Inc. | 17,334 | 1,071,935 | ||||||
Amgen, Inc. | 6,007 | 1,108,832 | ||||||
Anthem, Inc. | 2,937 | 699,094 | ||||||
Biogen, Inc. (a) | 3,447 | 1,000,457 | ||||||
Bristol-Myers Squibb Co. | 3,790 | 209,739 | ||||||
Celgene Corp. (a) | 17,207 | 1,366,580 | ||||||
Centene Corp. (a) | 846 | 104,236 | ||||||
CVS Health Corp. | 5,450 | 350,708 | ||||||
Eli Lilly & Co. | 10,068 | 859,102 | ||||||
Gilead Sciences, Inc. | 4,440 | 314,530 | ||||||
HCA Healthcare, Inc. | 8,476 | 869,638 | ||||||
Humana, Inc. | 7,636 | 2,272,703 | ||||||
IQVIA Holdings, Inc. (a) | 1,162 | 115,991 | ||||||
Johnson & Johnson | 38,356 | 4,654,116 | ||||||
Laboratory Corp of America Holdings (a) | 382 | 68,580 | ||||||
Merck & Co., Inc. | 24,224 | 1,470,397 | ||||||
Quest Diagnostics, Inc. | 1,364 | 149,958 | ||||||
Thermo Fisher Scientific, Inc. | 16,605 | 3,439,560 | ||||||
UnitedHealth Group, Inc. | 15,427 | 3,784,860 | ||||||
Zoetis, Inc. | 7,781 | 662,863 | ||||||
25,749,286 | ||||||||
Industrials: 7.8% | ||||||||
3M Co. | 19,189 | 3,774,860 | ||||||
CSX Corp. | 1,665 | 106,194 | ||||||
Delta Air Lines, Inc. | 1,382 | 68,464 | ||||||
Eaton Corp PLC | 352 | 26,308 | ||||||
Expeditors Intl. of Washington, Inc. | 8,194 | 598,981 | ||||||
Hexcel Corp. | 722 | 47,926 | ||||||
Landstar System, Inc. | 15,792 | 1,724,486 | ||||||
Owens Corning | 1,148 | 72,749 | ||||||
Robert Half International, Inc. | 3,188 | 207,539 | ||||||
Roper Technologies, Inc. | 8,210 | 2,265,221 | ||||||
Ryder System, Inc. (b) | 29,441 | 2,115,630 | ||||||
Stanley Black & Decker, Inc. | 15,174 | 2,015,259 | ||||||
United Parcel Service, Inc., Class B | 16,564 | 1,759,594 | ||||||
W.W. Grainger, Inc. | 2,057 | 634,379 | ||||||
Waste Management, Inc. | 13,039 | 1,060,592 | ||||||
16,478,182 | ||||||||
Information Technology: 24.8% | ||||||||
Accenture PLC, Class A | 13,221 | $ | 2,162,823 | |||||
Alphabet, Inc., Class A (a) | 4,465 | 5,041,833 | ||||||
Alphabet, Inc., Class C (a) | 1,456 | 1,624,390 | ||||||
Apple, Inc. | 36,615 | 6,777,803 | ||||||
CA, Inc. | 5,748 | 204,916 | ||||||
CDW Corp. | 4,390 | 354,668 | ||||||
Cisco Systems, Inc. | 33,712 | 1,450,627 | ||||||
Citrix Systems, Inc. (a) | 3,516 | 368,617 | ||||||
Cognizant Technology Solutions, Class A | 24,303 | 1,919,694 | ||||||
DXC Technology Co. | 807 | 65,052 | ||||||
F5 Networks, Inc. (a) | 6,663 | 1,149,034 | ||||||
Facebook, Inc., Class A (a) | 14,536 | 2,824,636 | ||||||
HP, Inc. | 106,836 | 2,424,109 | ||||||
IBM | 15,980 | 2,232,406 | ||||||
Intel Corp. | 60,776 | 3,021,175 | ||||||
Intuit, Inc. | 2,033 | 415,352 | ||||||
Jabil, Inc. | 7,490 | 207,173 | ||||||
MasterCard, Inc., Class A | 27,033 | 5,312,524 | ||||||
Micron Technology, Inc. (a) | 838 | 43,945 | ||||||
Microsoft Corp. | 52,646 | 5,191,422 | ||||||
ON Semiconductor Corp. (a) | 16,535 | 367,656 | ||||||
Oracle Corp. | 25,848 | 1,138,863 | ||||||
Red Hat, Inc. (a) | 9,990 | 1,342,356 | ||||||
Synopsys, Inc. (a) | 8,798 | 752,845 | ||||||
Texas Instruments, Inc. | 45,595 | 5,026,849 | ||||||
Visa, Inc., Class A (b) | 7,634 | 1,011,123 | ||||||
52,431,891 | ||||||||
Materials: 3.4% | ||||||||
Eastman Chemical Co. | 20,398 | 2,038,984 | ||||||
Ecolab, Inc. | 6,747 | 946,807 | ||||||
LyondellBasell Industries NV, Class A | 3,577 | 392,933 | ||||||
Praxair, Inc. | 9,052 | 1,431,574 | ||||||
WestRock Co. | 39,533 | 2,254,172 | ||||||
7,064,470 | ||||||||
Real Estate: 5.8% | ||||||||
Apple Hospitality REIT, Inc., REIT | 61,277 | 1,095,633 | ||||||
Brixmor Property Group, Inc., REIT | 33,134 | 577,526 | ||||||
CBRE Group, Inc., Class A (a) | 49,387 | 2,357,735 | ||||||
Chimera Investment Corp., REIT | 79,211 | 1,447,977 |
SEE NOTES TO FINANCIAL STATEMENTS | 64 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax ESG Beta Quality Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Real Estate, continued | ||||||||
Hospitality Properties Trust, REIT | 98,315 | $ | 2,812,792 | |||||
Host Hotels & Resorts, Inc., REIT | 48,926 | 1,030,871 | ||||||
Jones Lang LaSalle, Inc. | 4,584 | 760,898 | ||||||
Realogy Holdings Corp. (b) | 11,853 | 270,248 | ||||||
Simon Property Group, Inc., REIT | 6,939 | 1,180,948 | ||||||
Starwood Property Trust, Inc., REIT (b) | 25,724 | 558,468 | ||||||
12,093,096 | ||||||||
Telecommunication Services: 3.8% | ||||||||
AT&T, Inc. | 89,548 | 2,875,386 | ||||||
Verizon Communications, Inc. | 102,420 | 5,152,750 | ||||||
8,028,136 | ||||||||
Utilities: 5.7% | ||||||||
American Water Works Co., Inc. | 36,715 | 3,134,727 | ||||||
CenterPoint Energy, Inc. | 91,449 | 2,534,052 | ||||||
Consolidated Edison, Inc. | 25,752 | 2,008,141 | ||||||
Eversource Energy | 3,182 | 186,497 | ||||||
Exelon Corp. | 48,010 | 2,045,226 | ||||||
NextEra Energy, Inc. | 11,812 | 1,972,958 | ||||||
11,881,601 | ||||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $130,513,766) | 208,575,609 | |||||||
MONEY MARKET: 0.8% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (c)(d) | 1,605,911 | 1,605,911 | ||||||
(Cost $1,605,911) | ||||||||
SECURITIES PURCHASED WITH CASH COLLATERAL FROM SECURITIES LENDING: 0.4% | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio, 1.902% (c) | 836,583 | $ | 836,583 | |||||
(Cost $836,583) | ||||||||
TOTAL INVESTMENTS: 100.4% | ||||||||
(Cost $132,956,260) | 211,018,103 | |||||||
PAYABLE UPON RETURN OF SECURITIES LOANED — (NET): -0.4% | (836,583 | ) | ||||||
OTHER ASSETS AND LIABILITIES — (NET):0.0% (e) | 10,218 | |||||||
NET ASSETS: 100.0% | $ | 210,191,738 |
(a) | Non-income producing security. |
(b) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $6,305,929. |
(c) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(d) | Premier Class shares |
(e) | Rounds to less than 0.05% |
REIT - Real Estate Investment Trust
65 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax ESG Beta Dividend Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 99.2% | ||||||||
Consumer Discretionary: 13.5% | ||||||||
Amazon.com, Inc. (a) | 2,415 | $ | 4,105,017 | |||||
Aptiv PLC | 3,351 | 307,052 | ||||||
Best Buy Co., Inc. | 5,129 | 382,521 | ||||||
Darden Restaurants, Inc. | 12,274 | 1,314,054 | ||||||
Foot Locker, Inc. | 4,348 | 228,922 | ||||||
Gap Inc., The | 7,621 | 246,844 | ||||||
Home Depot, Inc., The | 14,576 | 2,843,778 | ||||||
Interpublic Group of Cos., Inc., The | 5,686 | 133,280 | ||||||
John Wiley & Sons, Inc., Class A | 7,428 | 463,507 | ||||||
Kohl's Corp. | 10,428 | 760,201 | ||||||
L Brands, Inc. (a) | 1,446 | 53,328 | ||||||
Las Vegas Sands Corp. | 9,476 | 723,587 | ||||||
Lowe's Cos., Inc. | 2,325 | 222,200 | ||||||
Macy's, Inc. | 8,663 | 324,256 | ||||||
Marriott International, Inc., Class A | 2,037 | 257,884 | ||||||
McDonald's Corp. | 9,595 | 1,503,441 | ||||||
Ralph Lauren Corp. | 2,349 | 295,316 | ||||||
Royal Caribbean Cruises, Ltd. | 4,657 | 482,465 | ||||||
Signet Jewelers, Ltd. | 3,566 | 198,805 | ||||||
Tapestry, Inc. | 2,626 | 122,660 | ||||||
Target Corp. | 15,910 | 1,211,069 | ||||||
TripAdvisor, Inc. (a)(b) | 1,580 | 88,022 | ||||||
Tupperware Brands Corp. | 16,029 | 661,036 | ||||||
VF Corp. | 546 | 44,510 | ||||||
Walt Disney Co., The | 1,469 | 153,966 | ||||||
Wayfair, Inc. (a) | 2,100 | 249,396 | ||||||
Williams-Sonoma, Inc. (b) | 5,346 | 328,137 | ||||||
17,705,254 | ||||||||
Consumer Staples: 5.0% | ||||||||
Clorox Co., The (b) | 1,730 | 233,983 | ||||||
Coca-Cola Co., The | 7,553 | 331,275 | ||||||
Estee Lauder Cos, Inc., The, Class A | 848 | 121,001 | ||||||
General Mills, Inc. | 20,067 | 888,165 | ||||||
Kellogg Co. | 11,215 | 783,592 | ||||||
Kimberly-Clark Corp. | 4,657 | 490,568 | ||||||
Kroger Co., The | 7,654 | 217,756 | ||||||
PepsiCo, Inc. | 21,230 | 2,311,310 | ||||||
Procter & Gamble Co., The | 10,161 | 793,168 | ||||||
Sysco Corp. | 6,781 | 463,074 | ||||||
6,633,892 | ||||||||
Energy: 4.7% | ||||||||
Baker Hughes a GE Co. | 10,451 | $ | 345,197 | |||||
ConocoPhillips | 3,390 | 236,012 | ||||||
National Oilwell Varco, Inc. | 3,701 | 160,623 | ||||||
Occidental Petroleum Corp. | 9,635 | 806,257 | ||||||
ONEOK, Inc. | 40,312 | 2,814,987 | ||||||
Schlumberger, Ltd. | 21,328 | 1,429,616 | ||||||
Valero Energy Corp. | 3,079 | 341,246 | ||||||
6,133,938 | ||||||||
Financials: 9.0% | ||||||||
Aflac, Inc. | 21,602 | 929,318 | ||||||
American International Group, Inc. | 1,502 | 79,636 | ||||||
Ameriprise Financial, Inc. | 217 | 30,354 | ||||||
Assurant, Inc. | 426 | 44,087 | ||||||
Bank of America Corp. | 29,357 | 827,574 | ||||||
BlackRock, Inc. | 877 | 437,658 | ||||||
CME Group, Inc. | 13,216 | 2,166,367 | ||||||
Cullen/Frost Bankers, Inc. | 3,662 | 396,375 | ||||||
Invesco, Ltd. | 25,060 | 665,594 | ||||||
JPMorgan Chase & Co. | 9,377 | 977,083 | ||||||
MetLife, Inc. | 7,452 | 324,907 | ||||||
Morningstar, Inc. | 4,781 | 613,163 | ||||||
New York Community Bancorp, Inc. (a) | 9,053 | 99,945 | ||||||
People's United Financial, Inc. | 48,009 | 868,483 | ||||||
Principal Financial Group, Inc. | 9,529 | 504,561 | ||||||
ProAssurance Corp. | 9,284 | 329,118 | ||||||
Prudential Financial, Inc. | 3,199 | 299,138 | ||||||
Regions Financial Corp. | 23,014 | 409,189 | ||||||
T Rowe Price Group, Inc. | 2,370 | 275,133 | ||||||
TFS Financial Corp. | 15,248 | 240,461 | ||||||
U.S. Bancorp | 22,746 | 1,137,755 | ||||||
Unum Group | 4,548 | 168,231 | ||||||
11,824,130 | ||||||||
Health Care: 13.9% | ||||||||
Abbott Laboratories | 27,383 | 1,670,089 | ||||||
AbbVie, Inc. | 18,335 | 1,698,738 | ||||||
Align Technology, Inc. (a) | 834 | 285,345 | ||||||
Allergan PLC | 465 | 77,525 | ||||||
Amgen, Inc. | 9,767 | 1,802,891 | ||||||
Anthem, Inc. | 948 | 225,652 | ||||||
Baxter International, Inc. | 5,263 | 388,620 | ||||||
Becton Dickinson & Co. | 515 | 123,373 | ||||||
Bristol-Myers Squibb Co. | 6,032 | 333,811 | ||||||
Cardinal Health, Inc. | 2,354 | 114,946 | ||||||
CVS Health Corp. | 5,085 | 327,220 |
SEE NOTES TO FINANCIAL STATEMENTS | 66 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax ESG Beta Dividend Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Health Care, continued | ||||||||
Eli Lilly & Co. | 14,434 | $ | 1,231,653 | |||||
Gilead Sciences, Inc. | 5,133 | 363,622 | ||||||
Humana, Inc. | 2,684 | 798,839 | ||||||
IDEXX Laboratories, Inc. (a) | 768 | 167,378 | ||||||
Illumina, Inc. (a) | 708 | 197,737 | ||||||
Johnson & Johnson | 28,438 | 3,450,667 | ||||||
Merck & Co., Inc. | 24,814 | 1,506,210 | ||||||
Patterson Cos., Inc. | 20,872 | 473,168 | ||||||
Quest Diagnostics, Inc. | 3,815 | 419,421 | ||||||
UnitedHealth Group, Inc. | 10,854 | 2,662,920 | ||||||
18,319,825 | ||||||||
Industrials: 12.9% | ||||||||
3M Co. | 18,527 | 3,644,631 | ||||||
Dover Corp. | 5,825 | 426,390 | ||||||
Eaton Corp PLC | 15,893 | 1,187,843 | ||||||
Emerson Electric Co. | 29,396 | 2,032,439 | ||||||
Illinois Tool Works, Inc. | 13,385 | 1,854,358 | ||||||
Ingersoll-Rand PLC | 9,262 | 831,079 | ||||||
Nielsen Holdings PLC | 11,347 | 350,963 | ||||||
Pitney Bowes, Inc. | 2,998 | 25,693 | ||||||
Robert Half International, Inc. | 8,803 | 573,075 | ||||||
Rockwell Automation, Inc. | 9,857 | 1,638,529 | ||||||
Ryder System, Inc. | 4,102 | 294,770 | ||||||
Stanley Black & Decker, Inc. | 2,828 | 375,587 | ||||||
Union Pacific Corp. | 5,221 | 739,711 | ||||||
United Parcel Service, Inc., Class B | 11,998 | 1,274,548 | ||||||
W.W. Grainger, Inc. | 3,335 | 1,028,514 | ||||||
Waste Management, Inc. | 7,965 | 647,873 | ||||||
16,926,003 | ||||||||
Information Technology: 28.1% | ||||||||
Accenture PLC, Class A | 15,254 | 2,495,402 | ||||||
Activision Blizzard, Inc. | 5,670 | 432,734 | ||||||
Adobe Systems, Inc. (a) | 4,057 | 989,137 | ||||||
Alphabet, Inc., Class A (a) | 1,953 | 2,205,308 | ||||||
Apple, Inc. | 21,547 | 3,988,565 | ||||||
Autodesk, Inc. (a) | 2,823 | 370,067 | ||||||
Automatic Data Processing, Inc. | 4,917 | 659,566 | ||||||
Booz Allen Hamilton Holding Corp. | 3,260 | 142,560 | ||||||
CA, Inc. | 24,862 | 886,330 | ||||||
Cisco Systems, Inc. | 90,239 | 3,882,984 | ||||||
Corning, Inc. | 7,028 | 193,340 | ||||||
Dell Technologies, Inc., Class V (a) | 4,258 | $ | 360,142 | |||||
DXC Technology Co. | 465 | 37,484 | ||||||
Facebook, Inc., Class A (a) | 2,186 | 424,784 | ||||||
HP, Inc. | 28,588 | 648,662 | ||||||
IBM | 8,077 | 1,128,357 | ||||||
Intel Corp. | 46,923 | 2,332,542 | ||||||
Jack Henry & Associates, Inc. | 2,038 | 265,674 | ||||||
Manhattan Associates, Inc. (a) | 4,066 | 191,143 | ||||||
MasterCard, Inc., Class A | 1,784 | 350,592 | ||||||
Maxim Integrated Products, Inc. | 17,024 | 998,628 | ||||||
Microchip Technology, Inc. (b) | 1,058 | 96,225 | ||||||
Microsoft Corp. | 40,028 | 3,947,161 | ||||||
National Instruments Corp. | 18,170 | 762,777 | ||||||
NetApp, Inc. | 4,257 | 334,302 | ||||||
NVIDIA Corp. | 247 | 58,514 | ||||||
Oracle Corp. | 3,778 | 166,459 | ||||||
Paychex, Inc. | 19,082 | 1,304,255 | ||||||
QUALCOMM, Inc. | 14,032 | 787,476 | ||||||
Red Hat, Inc. (a) | 1,112 | 149,419 | ||||||
Sabre Corp. | 4,174 | 102,847 | ||||||
salesforce.com, Inc. (a) | 5,385 | 734,514 | ||||||
Seagate Technology PLC | 7,430 | 419,572 | ||||||
ServiceNow, Inc. (a) | 441 | 76,059 | ||||||
Square, Inc. (a) | 4,998 | 308,077 | ||||||
Texas Instruments, Inc. | 28,208 | 3,109,932 | ||||||
Twitter, Inc. (a) | 4,787 | 209,048 | ||||||
VMware, Inc. (a) | 2,611 | 383,739 | ||||||
Western Union Co., The | 55,927 | 1,136,996 | ||||||
37,071,373 | ||||||||
Materials: 2.2% | ||||||||
Air Products & Chemicals, Inc. | 2,198 | 342,295 | ||||||
Avery Dennison Corp. | 3,769 | 384,815 | ||||||
Celanese Corp., Class A | 1,047 | 116,280 | ||||||
Eastman Chemical Co. | 1,797 | 179,628 | ||||||
Ecolab, Inc. | 1,088 | 152,679 | ||||||
Praxair, Inc. | 10,482 | 1,657,728 | ||||||
2,833,425 |
67 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax ESG Beta Dividend Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Real Estate: 4.5% | ||||||||
Apple Hospitality REIT, Inc., REIT | 19,546 | $ | 349,482 | |||||
Brixmor Property Group, Inc., REIT | 9,310 | 162,273 | ||||||
Crown Castle International Corp., REIT | 580 | 62,536 | ||||||
Hospitality Properties Trust, REIT | 14,563 | 416,647 | ||||||
Host Hotels & Resorts, Inc., REIT | 18,041 | 380,124 | ||||||
Iron Mountain, Inc., REIT (b) | 20,369 | 713,119 | ||||||
MFA Financial, Inc., REIT | 12,845 | 97,365 | ||||||
Public Storage, REIT | 906 | 205,535 | ||||||
Simon Property Group, Inc., REIT | 3,385 | 576,093 | ||||||
Starwood Property Trust, Inc., REIT (b) | 119,210 | 2,588,049 | ||||||
Uniti Group, Inc., REIT (b) | 15,263 | 305,718 | ||||||
Welltower, Inc., REIT | 1,087 | 68,144 | ||||||
5,925,085 | ||||||||
Telecommunication Services: 3.0% | ||||||||
AT&T, Inc. | 56,137 | 1,802,559 | ||||||
CenturyLink, Inc. | 44,837 | 835,762 | ||||||
Verizon Communications, Inc. | 26,976 | 1,357,163 | ||||||
3,995,484 | ||||||||
Utilities: 2.4% | ||||||||
CenterPoint Energy, Inc. | 47,107 | 1,305,335 | ||||||
Consolidated Edison, Inc. | 13,096 | 1,021,226 | ||||||
Dominion Energy, Inc. | 11,651 | 794,365 | ||||||
3,120,926 | ||||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $102,315,213) | 130,489,335 | |||||||
MONEY MARKET: 0.7% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (c)(d) | 937,525 | 937,525 | ||||||
(Cost $937,525) | ||||||||
SECURITIES PURCHASED WITH CASH COLLATERAL FROM SECURITIES LENDING: 0.4% | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio, 1.902% (c) | 479,208 | 479,208 | ||||||
(Cost $479,208) | ||||||||
TOTAL INVESTMENTS: 100.3% | ||||||||
(Cost $103,731,946) | 131,906,068 | |||||||
PAYABLE UPON RETURN OF SECURITIES LOANED — (NET): -0.4% | (479,208 | ) | ||||||
OTHER ASSETS AND LIABILITIES — (NET): 0.1% | 144,528 | |||||||
NET ASSETS: 100.0% | $ | 131,571,388 |
(a) | Non-income producing security. |
(b) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $3,648,415. |
(c) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(d) | Premier Class shares |
REIT - Real Estate Investment Trust
SEE NOTES TO FINANCIAL STATEMENTS | 68 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Global Opportunities Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 96.6% | ||||||||
Consumer Discretionary: 5.5% | ||||||||
Aptiv PLC | 11,354 | $ | 1,040,367 | |||||
Valeo SA | 8,104 | 441,859 | ||||||
1,482,226 | ||||||||
Consumer Staples: 7.9% | ||||||||
Danone SA | 14,594 | 1,065,544 | ||||||
Jeronimo Martins SGPS SA | 35,350 | 509,199 | ||||||
Sprouts Farmers Market, Inc. (a) | 24,523 | 541,223 | ||||||
2,115,966 | ||||||||
Financials: 14.4% | ||||||||
AIA Group, Ltd. | 70,400 | 613,283 | ||||||
Beazley PLC | 78,373 | 603,942 | ||||||
HDFC Bank, Ltd. | 9,582 | 1,006,302 | ||||||
Hiscox, Ltd. | 30,096 | 603,996 | ||||||
Prudential PLC | 46,377 | 1,057,225 | ||||||
3,884,748 | ||||||||
Health Care: 17.3% | ||||||||
Agilent Technologies, Inc. | 11,029 | 682,033 | ||||||
Becton Dickinson & Co. | 3,450 | 826,482 | ||||||
Danaher Corp. | 5,462 | 538,990 | ||||||
Fresenius SE & Co KGaA | 8,090 | 814,593 | ||||||
Genus PLC | 16,303 | 565,489 | ||||||
Sartorius AG | 1,864 | 277,496 | ||||||
Thermo Fisher Scientific, Inc. | 4,611 | 955,123 | ||||||
4,660,206 | ||||||||
Industrials: 7.5% | ||||||||
Kubota Corp. | 28,500 | 447,306 | ||||||
Tomra Systems ASA | 25,678 | 539,139 | ||||||
Xylem, Inc. | 15,278 | 1,029,431 | ||||||
2,015,876 | ||||||||
Information Technology: 24.0% | ||||||||
Cadence Design Systems, Inc. (a) | 14,017 | 607,076 | ||||||
Cognizant Technology Solutions, Class A | 6,926 | 547,085 | ||||||
Keyence Corp. | 1,300 | 733,218 | ||||||
Oracle Corp. | 12,195 | 537,312 | ||||||
SAP SE | 5,270 | 608,251 | ||||||
Taiwan Semiconductor Manufacturing Co., Ltd. | 172,000 | 1,221,385 | ||||||
TE Connectivity, Ltd. | 9,351 | 842,151 | ||||||
Visa, Inc., Class A | 10,310 | 1,365,560 | ||||||
6,462,038 | ||||||||
Materials: 17.6% | ||||||||
Corbion NV | 17,000 | 541,063 | ||||||
Ecolab, Inc. | 7,314 | 1,026,374 | ||||||
Koninklijke DSM NV | 8,122 | 812,517 | ||||||
Praxair, Inc. | 5,232 | 827,441 | ||||||
Sealed Air Corp. | 18,685 | 793,178 | ||||||
Symrise AG | 8,454 | 739,508 | ||||||
4,740,081 | ||||||||
Telecommunication Services: 2.4% | ||||||||
KDDI Corp. | 24,100 | 659,012 | ||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $26,100,297) | 26,020,153 | |||||||
MONEY MARKET: 11.8% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (b)(c) | 3,167,677 | 3,167,677 | ||||||
(Cost $3,167,677) | ||||||||
TOTAL INVESTMENTS: 108.4% | ||||||||
(Cost $29,267,974) | 29,187,830 | |||||||
OTHER ASSETS AND LIABILITIES — (NET): -8.4% | (2,270,156 | ) | ||||||
NET ASSETS: 100.0% | $ | 26,917,674 |
(a) | Non-income producing security. |
(b) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(c) | Premier Class shares |
69 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Global Opportunities Fund, continued
SUMMARY OF INVESTMENTS BY COUNTRY
Country | Value | Percent of Net Assets | ||||||
France | $ | 1,507,403 | 5.6 | % | ||||
Germany | 2,439,848 | 9.1 | % | |||||
Hong Kong | 613,283 | 2.3 | % | |||||
Japan | 1,839,536 | 6.8 | % | |||||
Netherlands | 1,353,580 | 5.0 | % | |||||
Norway | 539,139 | 2.0 | % | |||||
Portugal | 509,199 | 1.9 | % | |||||
Switzerland | 842,151 | 3.1 | % | |||||
Taiwan | 1,221,385 | 4.5 | % | |||||
United Kingdom | 3,871,019 | 14.4 | % | |||||
United States | 11,283,610 | 41.9 | % | |||||
Money Market | 3,167,677 | 11.8 | % | |||||
Other assets and liabilities (net) | (2,270,156 | ) | -8.4 | % | ||||
TOTAL | $ | 26,917,674 | 100.0 | % |
SEE NOTES TO FINANCIAL STATEMENTS | 70 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Global Environmental Markets Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 98.4% | ||||||||
RENEWABLE & ALTERNATIVE Energy: 0.4% | ||||||||
Renewable Energy Developers & Independent Power Producers (IPPS) : 0.4% | ||||||||
Huaneng Renewables Corp., Ltd. | 8,938,000 | $ | 2,962,618 | |||||
ENERGY EFFICIENCY: 37.2% | ||||||||
Power Network Efficiency: 5.3% | ||||||||
Hubbell, Inc. | 169,389 | 17,911,193 | ||||||
Itron, Inc. (a) | 48,485 | 2,911,524 | ||||||
Schneider Electric SE | 198,195 | 16,483,232 | ||||||
37,305,949 | ||||||||
Industrial Energy Efficiency: 4.3% | ||||||||
Delta Electronics, Inc. | 3,997,475 | 14,328,333 | ||||||
PTC, Inc. (a) | 170,651 | 16,008,770 | ||||||
30,337,103 | ||||||||
Buildings Energy Efficiency: 13.5% | ||||||||
Acuity Brands, Inc. (b) | 69,038 | 7,999,433 | ||||||
Autodesk, Inc. (a) | 78,835 | 10,334,480 | ||||||
Ingersoll-Rand PLC | 224,872 | 20,177,765 | ||||||
Kingspan Group PLC | 148,078 | 7,415,045 | ||||||
Legrand SA | 271,770 | 19,906,347 | ||||||
Sekisui Chemical Co., Ltd. | 879,400 | 14,959,111 | ||||||
Signify NV | 581,354 | 15,040,520 | ||||||
95,832,701 | ||||||||
Transport Energy Efficiency: 9.6% | ||||||||
Aptiv PLC | 223,541 | 20,483,062 | ||||||
BorgWarner, Inc. | 133,078 | 5,743,646 | ||||||
TE Connectivity, Ltd. | 263,083 | 23,693,256 | ||||||
Zhuzhou CRRC Times Electric Co. Ltd. | 3,777,700 | 17,915,580 | ||||||
67,835,544 | ||||||||
Consumer Energy Efficiency: 1.1% | ||||||||
Murata Manufacturing Co., Ltd. | 45,000 | 7,554,435 | ||||||
Diversified Energy Efficiency: 3.4% | ||||||||
Siemens AG | 180,650 | 23,801,688 | ||||||
WATER INFRASTRUCTURE & TECHNOLOGIES: 27.4% | ||||||||
Water Infrastructure: 10.0% | ||||||||
Ferguson PLC | 264,891 | 21,431,739 | ||||||
IDEX Corp. | 120,951 | 16,507,392 | ||||||
Watts Water Technologies, Inc., Class A | 160,544 | 12,586,650 | ||||||
Xylem, Inc. | 297,617 | 20,053,433 | ||||||
70,579,214 | ||||||||
Water Treatment Equipment: 6.8% | ||||||||
Coway Co., Ltd. | 42,047 | 3,267,178 | ||||||
Danaher Corp. | 234,093 | 23,100,297 | ||||||
Ecolab, Inc. | 152,981 | 21,467,824 | ||||||
47,835,299 | ||||||||
Water Utilities: 10.6% | ||||||||
American Water Works Co., Inc. | 211,837 | 18,086,643 | ||||||
Beijing Enterprises Water Group, Ltd. (a) | 21,532,000 | 11,708,324 | ||||||
Pennon Group PLC | 1,009,855 | 10,561,098 | ||||||
Severn Trent PLC | 443,082 | 11,552,822 | ||||||
Suez | 1,788,390 | 23,134,632 | ||||||
75,043,519 | ||||||||
POLLUTION CONTROL: 12.8% | ||||||||
Pollution Control Solutions: 1.3% | ||||||||
Umicore SA | 163,794 | 9,350,578 | ||||||
Environmental Testing & Gas Sensing: 8.1% | ||||||||
Agilent Technologies, Inc. | 281,577 | 17,412,722 | ||||||
Applus Services SA | 905,972 | 12,074,624 | ||||||
Intertek Group PLC | 169,623 | 12,754,048 | ||||||
Waters Corp. (a) | 79,425 | 15,375,886 | ||||||
57,617,280 | ||||||||
Public Transportation: 3.4% | ||||||||
East Japan Railway Co. | 248,100 | 23,759,394 | ||||||
WASTE MANAGEMENT & TECHNOLOGIES: 3.9% | ||||||||
Waste Technology Equipment: 1.4% | ||||||||
China Everbright International, Ltd. | 7,899,000 | 10,172,958 | ||||||
General Waste Management: 2.5% | ||||||||
Waste Management, Inc. | 216,714 | 17,627,517 | ||||||
FOOD, AGRICULTURE & FORESTRY: 12.3% | ||||||||
Logistics, Food Safety & Packaging: 8.1% | ||||||||
GEA Group AG | 362,974 | 12,224,309 | ||||||
Sealed Air Corp. (b) | 631,291 | 26,798,303 | ||||||
WestRock Co. | 321,966 | 18,358,501 | ||||||
57,381,113 |
71 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Global Environmental Markets Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Sustainable & Efficient Agriculture: 4.2% | ||||||||
Kubota Corp. | 1,252,300 | $ | 19,654,767 | |||||
Trimble, Inc. (a) | 298,409 | 9,799,752 | ||||||
29,454,519 | ||||||||
DIVERSIFIED ENVIRONMENTAL: 4.4% | ||||||||
Diversified Environmental: 4.4% | ||||||||
3M Co. | 48,144 | 9,470,888 | ||||||
Praxair, Inc. | 135,013 | 21,352,306 | ||||||
30,823,194 | ||||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $616,447,904) | 695,274,623 | |||||||
MONEY MARKET: 1.3% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (c)(d) | 8,912,294 | 8,912,294 | ||||||
(Cost $8,912,294) | ||||||||
TOTAL INVESTMENTS: 99.7% | ||||||||
(Cost $625,360,198) | 704,186,917 | |||||||
OTHER ASSETS AND LIABILITIES — (NET): 0.3% | 2,458,988 | |||||||
NET ASSETS: 100.0% | $ | 706,645,905 |
(a) | Non-income producing security. |
(b) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $1,284,604. |
(c) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(d) | Premier Class shares |
SUMMARY OF INVESTMENTS BY COUNTRY
Country | Value | Percent of Net Assets | ||||||
Belgium | $ | 9,350,578 | 1.3 | % | ||||
China | 20,878,198 | 3.0 | % | |||||
France | 59,524,211 | 8.4 | % | |||||
Germany | 36,025,997 | 5.1 | % | |||||
Hong Kong | 21,881,282 | 3.1 | % | |||||
Ireland | 27,592,810 | 3.9 | % | |||||
Japan | 65,927,707 | 9.3 | % | |||||
Netherlands | 15,040,520 | 2.0 | % | |||||
South Korea | 3,267,178 | 0.5 | % | |||||
Spain | 12,074,624 | 1.7 | % | |||||
Switzerland | 23,693,255 | 3.4 | % | |||||
Taiwan | 14,328,333 | 2.0 | % | |||||
United Kingdon | 76,782,769 | 10.9 | % | |||||
United States | 308,907,161 | 43.8 | % | |||||
Money Market | 8,912,294 | 1.3 | % | |||||
Other assets and liabilities (net) | 2,458,988 | 0.3 | % | |||||
Total | $ | 706,645,905 | 100.0 | % |
SEE NOTES TO FINANCIAL STATEMENTS | 72 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Ellevate Global Women’s Leadership Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 98.7% | ||||||||
Consumer Discretionary: 14.8% | ||||||||
Accor SA | 2,118 | $ | 103,731 | |||||
Aristocrat Leisure, Ltd. | 6,124 | 139,856 | ||||||
Barratt Developments PLC | 11,423 | 77,436 | ||||||
Bayerische Motoren Werke AG | 3,736 | 337,706 | ||||||
Best Buy Co., Inc. | 3,831 | 285,716 | ||||||
Burberry Group PLC | 4,815 | 136,845 | ||||||
Dollar General Corp. | 3,098 | 305,463 | ||||||
Gap Inc., The | 2,706 | 87,647 | ||||||
H&R Block, Inc. | 2,400 | 54,672 | ||||||
Hasbro, Inc. | 1,343 | 123,972 | ||||||
Hennes & Mauritz AB, Class B | 26,316 | 391,715 | ||||||
Hermes International | 358 | 218,686 | ||||||
Hilton Worldwide Holdings, Inc. | 3,300 | 261,228 | ||||||
Home Depot, Inc., The | 13,266 | 2,588,197 | ||||||
Husqvarna AB, Class B | 4,703 | 44,491 | ||||||
InterContinental Hotels Group PLC | 2,037 | 126,630 | ||||||
Interpublic Group of Cos., Inc., The | 4,453 | 104,378 | ||||||
Kering SA | 6,209 | 3,497,527 | ||||||
Kingfisher PLC | 24,983 | 97,699 | ||||||
Kohl's Corp. | 1,963 | 143,103 | ||||||
lululemon athletica, Inc. (a) | 1,191 | 148,696 | ||||||
Macy's, Inc. | 63,500 | 2,376,805 | ||||||
Marks & Spencer Group PLC | 18,332 | 71,210 | ||||||
Marriott International, Inc., Class A | 16,604 | 2,102,066 | ||||||
Merlin Entertainments PLC | 8,053 | 41,060 | ||||||
Michael Kors Holdings, Ltd. (a) | 67,750 | 4,512,150 | ||||||
Michelin | 1,933 | 233,851 | ||||||
Next PLC | 1,651 | 131,418 | ||||||
Nokian Renkaat OYJ | 1,316 | 51,821 | ||||||
Nordstrom, Inc. | 1,453 | 75,236 | ||||||
Omnicom Group, Inc. (b) | 2,655 | 202,497 | ||||||
Publicis Groupe SA | 2,339 | 160,508 | ||||||
PVH Corp. | 900 | 134,748 | ||||||
Renault SA | 2,169 | 183,761 | ||||||
Schibsted ASA, Class B | 1,106 | 31,201 | ||||||
Singapore Press Holdings, Ltd. | 18,100 | 34,492 | ||||||
Sodexo SA | 4,774 | 476,560 | ||||||
Starbucks Corp. | 16,100 | 786,485 | ||||||
Tabcorp Holdings, Ltd. | 21,545 | 71,025 | ||||||
Tapestry, Inc. | 3,231 | 150,920 | ||||||
Target Corp. | 59,500 | 4,529,139 | ||||||
Taylor Wimpey PLC | 36,916 | 86,901 | ||||||
Telenet Group Holding NV (a) | 596 | 27,748 | ||||||
Tiffany & Co. | 1,494 | 196,610 | ||||||
TJX Cos., Inc., The | 7,187 | 684,059 | ||||||
TUI AG | 4,971 | 108,726 | ||||||
Ulta Beauty, Inc. (a) | 14,620 | 3,413,185 | ||||||
Vail Resorts, Inc. | 500 | 137,095 | ||||||
Valeo SA | 2,704 | 147,432 | ||||||
Viacom, Inc., Class B | 45,569 | 1,374,361 | ||||||
Walt Disney Co., The | 17,102 | 1,792,461 | ||||||
Whitbread PLC | 2,070 | 107,904 | ||||||
33,708,829 | ||||||||
Consumer Staples: 12.4% | ||||||||
Brown-Forman Corp., Class B | 2,950 | 144,580 | ||||||
Campbell Soup Co. (b) | 2,070 | 83,918 | ||||||
Carrefour SA | 6,556 | 105,754 | ||||||
Clorox Co., The (b) | 1,551 | 209,773 | ||||||
Coca-Cola Amatil, Ltd. | 6,127 | 41,674 | ||||||
Coca-Cola Co., The | 45,735 | 2,005,937 | ||||||
Colgate-Palmolive Co. | 9,432 | 611,288 | ||||||
Danone SA | 6,811 | 497,288 | ||||||
Diageo PLC | 28,153 | 1,011,422 | ||||||
Empire Co., Ltd., Class A | 2,000 | 40,148 | ||||||
Essity AB | 962 | 23,667 | ||||||
Estee Lauder Cos, Inc., The, Class A | 29,367 | 4,190,377 | ||||||
General Mills, Inc. | 22,709 | 1,005,100 | ||||||
George Weston, Ltd. | 600 | 48,953 | ||||||
Heineken Holding NV | 1,300 | 124,327 | ||||||
Heineken NV | 2,925 | 293,051 | ||||||
Henkel AG & Co. KGaA | 1,173 | 130,240 | ||||||
Hershey Co.,The | 1,700 | 158,202 | ||||||
ICA Gruppen AB | 908 | 27,779 | ||||||
Ingredion, Inc. | 8,459 | 936,411 | ||||||
JM Smucker Co., The | 1,360 | 146,173 | ||||||
Kellogg Co. | 68,481 | 4,784,766 | ||||||
Kimberly-Clark Corp. | 3,984 | 419,675 | ||||||
Kroger Co., The | 9,956 | 283,248 | ||||||
Loblaw Cos, Ltd. | 2,500 | 128,551 | ||||||
L'Oreal SA | 2,843 | 700,875 | ||||||
Marine Harvest ASA | 4,702 | 93,489 | ||||||
McCormick & Co., Inc. (b) | 1,355 | 157,302 | ||||||
Metro, Inc. | 2,774 | 94,299 |
73 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Ellevate Global Women’s Leadership Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Consumer Staples, continued | ||||||||
Mondelez International, Inc., Class A | 16,959 | $ | 695,319 | |||||
Orkla ASA | 9,197 | 80,464 | ||||||
PepsiCo, Inc. | 16,086 | 1,751,283 | ||||||
Procter & Gamble Co., The | 50,072 | 3,908,620 | ||||||
Remy Cointreau SA | 256 | 33,143 | ||||||
Saputo, Inc. | 2,417 | 80,251 | ||||||
Tesco PLC | 110,399 | 373,545 | ||||||
Tyson Foods, Inc. | 3,400 | 234,090 | ||||||
Unilever NV | 18,380 | 1,024,077 | ||||||
Unilever PLC | 13,901 | 767,898 | ||||||
Walgreens Boots Alliance, Inc. | 9,500 | 570,143 | ||||||
Woolworths Group, Ltd. | 14,721 | 332,455 | ||||||
28,349,555 | ||||||||
Energy: 2.6% | ||||||||
Caltex Australia, Ltd. | 2,943 | 70,825 | ||||||
Cameco Corp. | 4,531 | 50,974 | ||||||
ConocoPhillips | 13,497 | 939,661 | ||||||
Encana Corp. | 11,043 | 144,227 | ||||||
Equinor ASA | 13,055 | 345,207 | ||||||
Imperial Oil, Ltd. | 3,312 | 110,093 | ||||||
Lundin Petroleum AB | 2,113 | 67,067 | ||||||
Neste OYJ | 1,447 | 113,212 | ||||||
Occidental Petroleum Corp. | 8,700 | 728,016 | ||||||
Phillips 66 | 4,977 | 558,967 | ||||||
PrairieSky Royalty, Ltd. | 2,411 | 47,591 | ||||||
Snam SpA | 25,673 | 106,990 | ||||||
TOTAL SA | 27,349 | 1,660,788 | ||||||
TransCanada Corp. | 9,903 | 428,466 | ||||||
Valero Energy Corp. | 5,000 | 554,150 | ||||||
5,926,234 | ||||||||
Financials: 20.7% | ||||||||
Admiral Group PLC | 2,269 | 57,025 | ||||||
Aegon NV | 20,556 | 122,732 | ||||||
Allianz SE | 5,034 | 1,037,279 | ||||||
Allstate Corp., The | 4,141 | 377,949 | ||||||
Ally Financial, Inc. | 5,067 | 133,110 | ||||||
Ameriprise Financial, Inc. | 1,700 | 237,796 | ||||||
AMP, Ltd. | 220,459 | 579,852 | ||||||
Aon PLC | 2,840 | 389,563 | ||||||
Assicurazioni Generali SpA | 14,098 | 235,690 | ||||||
ASX, Ltd. | 2,185 | 104,154 | ||||||
Australia & New Zealand Banking Group, Ltd | 33,142 | 693,648 | ||||||
AXA SA | 21,902 | 535,149 | ||||||
Banco Santander SA | 182,059 | 973,008 | ||||||
Bank Leumi Le-Israel BM | 16,330 | 96,626 | ||||||
Bank of America Corp. | 111,840 | 3,152,769 | ||||||
Bank of Montreal | 7,339 | 567,291 | ||||||
Bank of Nova Scotia, The | 13,626 | 771,551 | ||||||
Bank of Queensland, Ltd. | 4,430 | 33,355 | ||||||
Bankinter SA | 7,607 | 73,811 | ||||||
Bendigo & Adelaide Bank, Ltd. | 5,440 | 43,581 | ||||||
BNP Paribas SA | 12,678 | 784,222 | ||||||
CaixaBank SA | 40,492 | 174,289 | ||||||
Canadian Imperial Bank of Commerce | 4,932 | 429,029 | ||||||
CIT Group, Inc. | 1,643 | 82,824 | ||||||
Citizens Financial Group, Inc. | 5,600 | 217,840 | ||||||
CNP Assurances | 45,674 | 1,037,691 | ||||||
Commonwealth Bank of Australia | 36,174 | 1,950,957 | ||||||
DBS Group Holdings, Ltd. | 20,322 | 395,202 | ||||||
Deutsche Bank AG | 23,319 | 249,478 | ||||||
Deutsche Boerse AG | 2,178 | 289,574 | ||||||
Discover Financial Services | 4,117 | 289,878 | ||||||
DNB ASA | 47,584 | 926,606 | ||||||
East West Bancorp, Inc. | 1,700 | 110,840 | ||||||
Eurazeo SA | 514 | 38,906 | ||||||
EXOR NV | 1,224 | 81,907 | ||||||
First Republic Bank | 1,786 | 172,867 | ||||||
Gjensidige Forsikring ASA | 30,989 | 507,336 | ||||||
Groupe Bruxelles Lambert SA | 911 | 95,837 | ||||||
Hang Seng Bank, Ltd. | 8,700 | 217,242 | ||||||
Hartford Financial Services Group | 12,281 | 627,928 | ||||||
Industrial Alliance Ins & Fin Svc, Inc. | 1,213 | 46,826 | ||||||
Industrivarden AB, Class C | 1,885 | 36,362 | ||||||
Insurance Australia Group, Ltd. | 26,712 | 168,518 | ||||||
Intact Financial Corp. | 18,234 | 1,293,364 | ||||||
Investor AB, Class B | 12,869 | 521,280 | ||||||
KeyCorp. | 196,384 | 3,837,343 | ||||||
Legal & General Group PLC | 67,225 | 235,142 | ||||||
Macquarie Group, Ltd. | 8,337 | 759,803 | ||||||
Manulife Financial Corp. | 22,519 | 404,593 | ||||||
Medibank Pvt, Ltd. | 31,073 | 67,094 | ||||||
MetLife, Inc. | 10,147 | 442,409 |
SEE NOTES TO FINANCIAL STATEMENTS | 74 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Ellevate Global Women’s Leadership Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Financials, continued | ||||||||
Mizrahi Tefahot Bank, Ltd. | 1,575 | $ | 28,976 | |||||
Moody's Corp. | 2,015 | 343,678 | ||||||
MSCI, Inc. | 1,066 | 176,348 | ||||||
Muenchener Rueckversicherungs AG | 1,750 | 367,925 | ||||||
National Australia Bank, Ltd. | 30,300 | 615,230 | ||||||
National Bank of Canada | 8,216 | 394,473 | ||||||
Nordea Bank AB | 34,271 | 328,748 | ||||||
Old Mutual, Ltd. (a) | 55,652 | 110,022 | ||||||
PNC Financial Services Group, Inc. | 5,400 | 729,540 | ||||||
Poste Italiane SpA | 5,895 | 49,203 | ||||||
Principal Financial Group, Inc. | 81,772 | 4,329,826 | ||||||
Progressive Corp., The | 6,600 | 390,390 | ||||||
Quilter PLC (a) | 18,551 | 35,480 | ||||||
Reinsurance Group of America, Inc. | 800 | 106,784 | ||||||
Royal Bank of Canada | 20,503 | 1,543,827 | ||||||
Royal Bank of Scotland Group PLC (a) | 40,490 | 136,311 | ||||||
S&P Global, Inc. | 2,900 | 591,281 | ||||||
Sampo OYJ, Class A | 5,044 | 245,646 | ||||||
Skandinaviska Enskilda Banken AB, Class A | 17,139 | 162,210 | ||||||
Societe Generale SA | 8,658 | 363,895 | ||||||
Standard Chartered PLC | 37,188 | 337,794 | ||||||
Sun Life Financial, Inc. | 6,950 | 279,290 | ||||||
Suncorp Group, Ltd. | 14,623 | 157,702 | ||||||
Svenska Handelsbanken AB, Class A | 17,231 | 190,841 | ||||||
Swedbank AB, Class A | 187,349 | 3,991,702 | ||||||
Synchrony Financial | 8,900 | 297,082 | ||||||
Toronto-Dominion Bank, The | 20,901 | 1,209,719 | ||||||
Travelers Cos., Inc., The | 3,096 | 378,765 | ||||||
U.S. Bancorp | 18,725 | 936,625 | ||||||
UBS Group AG (a) | 41,294 | 633,052 | ||||||
Unum Group | 2,600 | 96,174 | ||||||
Voya Financial, Inc. | 2,086 | 98,042 | ||||||
Wendel SA | 314 | 43,204 | ||||||
Willis Towers Watson PLC | 1,435 | 217,546 | ||||||
Zurich Insurance Group AG | 1,708 | 505,107 | ||||||
47,131,564 | ||||||||
Health Care: 8.0% | ||||||||
Abbott Laboratories | 19,724 | 1,202,967 | ||||||
Aetna, Inc. | 3,771 | 691,979 | ||||||
Alkermes PLC (a)(b) | 1,741 | 71,660 | ||||||
AmerisourceBergen Corp. | 1,912 | 163,036 | ||||||
AstraZeneca PLC | 14,284 | 987,984 | ||||||
Becton Dickinson & Co. | 3,026 | 724,909 | ||||||
Biogen, Inc. (a) | 2,428 | 704,703 | ||||||
Cardinal Health, Inc. | 3,552 | 173,444 | ||||||
CSL, Ltd. | 5,103 | 726,376 | ||||||
CVS Health Corp. | 11,467 | 737,901 | ||||||
DaVita, Inc. (a) | 1,700 | 118,048 | ||||||
Eli Lilly & Co. | 11,195 | 955,269 | ||||||
Essilor International SA | 2,344 | 330,495 | ||||||
Genmab A/S (a) | 656 | 100,937 | ||||||
GlaxoSmithKline PLC | 55,496 | 1,118,851 | ||||||
Healthscope, Ltd. | 19,611 | 31,999 | ||||||
Hologic, Inc. (a) | 3,114 | 123,782 | ||||||
IDEXX Laboratories, Inc. (a) | 985 | 214,671 | ||||||
Ipsen SA | 146 | 22,836 | ||||||
Johnson & Johnson | 30,343 | 3,681,819 | ||||||
Koninklijke Philips NV | 10,616 | 449,778 | ||||||
McKesson Corp. | 2,362 | 315,091 | ||||||
Medtronic PLC | 15,332 | 1,312,572 | ||||||
Orion OYJ, Class B | 1,175 | 31,602 | ||||||
Quest Diagnostics, Inc. | 1,600 | 175,904 | ||||||
Recordati SpA | 588 | 23,300 | ||||||
Ryman Healthcare, Ltd. | 4,513 | 36,556 | ||||||
Sanofi | 12,827 | 1,029,489 | ||||||
Shire PLC | 10,252 | 577,586 | ||||||
Stryker Corp. | 3,900 | 658,554 | ||||||
UCB SA | 1,427 | 111,863 | ||||||
United Therapeutics Corp. (a) | 500 | 56,575 | ||||||
Varian Medical Systems, Inc. (a) | 1,084 | 123,272 | ||||||
Vertex Pharmaceuticals, Inc. (a) | 2,866 | 487,105 | ||||||
18,272,913 | ||||||||
Industrials: 6.2% | ||||||||
Aeroports de Paris | 335 | 75,673 | ||||||
Alfa Laval AB | 3,313 | 78,213 | ||||||
Alstom SA | 1,752 | 80,379 | ||||||
Ashtead Group PLC | 5,633 | 167,747 | ||||||
Atlantia SpA | 5,125 | 151,096 | ||||||
Atlas Copco AB-A SHS (b) | 7,578 | 219,463 | ||||||
Atlas Copco AB-B SHS | 4,403 | 114,706 |
75 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Ellevate Global Women’s Leadership Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Industrials, continued | ||||||||
Auckland International Airport, Ltd. | 10,813 | $ | 49,613 | |||||
Aurizon Holdings, Ltd. | 22,727 | 72,680 | ||||||
Bouygues SA | 2,438 | 104,756 | ||||||
Brambles, Ltd. | 17,951 | 117,853 | ||||||
Cie de Saint-Gobain | 5,641 | 251,278 | ||||||
CSX Corp. | 9,600 | 612,288 | ||||||
Cummins, Inc. | 1,835 | 244,055 | ||||||
Deutsche Lufthansa AG | 2,659 | 63,703 | ||||||
Deutsche Post AG | 10,955 | 355,932 | ||||||
easyJet PLC | 21,665 | 476,628 | ||||||
Edenred | 2,524 | 79,725 | ||||||
Getlink SE | 5,275 | 72,319 | ||||||
Intertek Group PLC | 1,821 | 136,922 | ||||||
Kone OYJ, Class B | 3,816 | 194,027 | ||||||
Legrand SA | 15,992 | 1,171,367 | ||||||
ManpowerGroup, Inc. | 840 | 72,290 | ||||||
MTR Corp., Ltd. | 17,107 | 94,493 | ||||||
Randstad NV | 1,344 | 78,886 | ||||||
Rexel SA | 3,424 | 49,152 | ||||||
Royal Mail PLC | 44,042 | 293,008 | ||||||
Sandvik AB | 12,738 | 224,966 | ||||||
Schneider Electric SE | 6,396 | 531,934 | ||||||
Securitas AB, Class B | 3,533 | 57,934 | ||||||
SEEK, Ltd. | 3,759 | 60,577 | ||||||
Siemens AG | 8,632 | 1,137,315 | ||||||
Siemens Gamesa Renewable Energy SA | 1,554 | 20,773 | ||||||
Skanska AB, Class B | 3,838 | 69,471 | ||||||
Societe BIC SA | 322 | 29,857 | ||||||
Southwest Airlines Co. | 1,730 | 88,022 | ||||||
Stanley Black & Decker, Inc. | 1,800 | 239,058 | ||||||
Sydney Airport | 12,448 | 65,899 | ||||||
Transurban Group | 25,067 | 221,976 | ||||||
United Parcel Service, Inc., Class B | 7,783 | 826,788 | ||||||
Vestas Wind Systems A/S | 2,432 | 150,143 | ||||||
Volvo AB, Class B | 17,638 | 280,323 | ||||||
Weir Group PLC, The | 2,719 | 71,407 | ||||||
Wolters Kluwer NV | 81,067 | 4,554,079 | ||||||
14,108,774 | ||||||||
Information Technology: 21.3% | ||||||||
Accenture PLC, Class A | 7,030 | 1,150,038 | ||||||
Alphabet, Inc., Class A (a) | 3,427 | 3,869,734 | ||||||
Alphabet, Inc., Class C (a) | 3,635 | 4,055,389 | ||||||
Arista Networks, Inc. (a) | 600 | 154,494 | ||||||
ASML Holding NV | 4,382 | 867,131 | ||||||
Auto Trader Group PLC | 10,848 | 60,796 | ||||||
Autodesk, Inc. (a) | 2,308 | 302,556 | ||||||
Capgemini SE | 1,814 | 243,094 | ||||||
CDW Corp. | 1,775 | 143,402 | ||||||
Cisco Systems, Inc. | 92,825 | 3,994,260 | ||||||
Dassault Systemes SA | 1,463 | 204,737 | ||||||
Ericsson, Class B | 183,953 | 1,417,210 | ||||||
Facebook, Inc., Class A (a) | 26,907 | 5,228,568 | ||||||
Hewlett Packard Enterprise Co. | 18,000 | 262,980 | ||||||
Hexagon AB, Class B | 2,917 | 162,089 | ||||||
HP, Inc. | 18,929 | 429,499 | ||||||
IBM | 9,942 | 1,388,897 | ||||||
Ingenico Group SA | 681 | 61,061 | ||||||
Intuit, Inc. | 21,570 | 4,406,859 | ||||||
Leidos Holdings, Inc. | 1,700 | 100,300 | ||||||
MasterCard, Inc., Class A | 10,603 | 2,083,702 | ||||||
Micro Focus International PLC | 1,300 | 22,557 | ||||||
Microsoft Corp. | 82,689 | 8,153,962 | ||||||
Oracle Corp. | 35,400 | 1,559,724 | ||||||
REA Group, Ltd. | 595 | 39,931 | ||||||
salesforce.com, Inc. (a) | 7,800 | 1,063,920 | ||||||
Symantec Corp. | 7,016 | 144,880 | ||||||
Texas Instruments, Inc. | 35,275 | 3,889,069 | ||||||
Twitter, Inc. (a) | 7,200 | 314,424 | ||||||
Visa, Inc., Class A | 20,538 | 2,720,258 | ||||||
Xerox Corp. | 2,507 | 60,168 | ||||||
48,555,689 | ||||||||
Materials: 1.7% | ||||||||
Air Liquide SA | 4,832 | 605,667 | ||||||
Akzo Nobel NV | 2,843 | 242,486 | ||||||
Avery Dennison Corp. | 1,092 | 111,493 | ||||||
BlueScope Steel, Ltd. | 1,733 | 22,118 | ||||||
Boliden AB | 3,086 | 99,596 | ||||||
Boral, Ltd. | 13,227 | 63,814 | ||||||
EMS-Chemie Holding AG | 93 | 59,502 | ||||||
Evonik Industries AG | 1,841 | 62,987 | ||||||
Fortescue Metals Group, Ltd. | 17,566 | 57,036 | ||||||
Frutarom Industries, Ltd. | 437 | 42,979 | ||||||
Goldcorp, Inc. | 9,862 | 135,404 | ||||||
International Flavors & Fragrances, Inc. | 931 | 115,407 | ||||||
Kinross Gold Corp. (a) | 14,100 | 53,090 |
SEE NOTES TO FINANCIAL STATEMENTS | 76 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Ellevate Global Women’s Leadership Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
Materials, continued | ||||||||
Koninklijke DSM NV | 2,047 | $ | 204,780 | |||||
Martin Marietta Materials, Inc. (b) | 800 | 178,664 | ||||||
Methanex Corp. | 989 | 69,933 | ||||||
Newmont Mining Corp. | 18,149 | 684,399 | ||||||
Norsk Hydro ASA | 83,676 | 499,483 | ||||||
Solvay SA | 837 | 105,411 | ||||||
Stora Enso OYJ, Class R | 6,217 | 121,119 | ||||||
UPM-Kymmene OYJ | 6,022 | 214,414 | ||||||
Yara International ASA | 2,004 | 82,910 | ||||||
3,832,692 | ||||||||
Real Estate: 2.3% | ||||||||
Azrieli Group, Ltd. | 479 | 23,809 | ||||||
British Land Co. PLC, The, REIT | 10,764 | 95,229 | ||||||
CapitaLand Commercial Trust,REIT | 28,500 | 34,705 | ||||||
CK Asset Holdings, Ltd. | 29,500 | 233,531 | ||||||
Covivio, REIT | 380 | 39,483 | ||||||
Dexus, REIT | 11,479 | 82,508 | ||||||
Duke Realty Corp., REIT | 4,022 | 116,759 | ||||||
Federal Realty Investment Trust, REIT | 894 | 113,136 | ||||||
First Capital Realty, Inc. | 1,800 | 28,287 | ||||||
Gecina SA, REIT | 552 | 92,216 | ||||||
GGP, Inc., REIT | 6,500 | 132,795 | ||||||
GPT Group, The, REIT | 20,327 | 76,054 | ||||||
Host Hotels & Resorts, Inc., REIT | 8,435 | 177,725 | ||||||
ICADE, REIT | 21,321 | 1,997,103 | ||||||
Iron Mountain, Inc., REIT | 3,100 | 108,531 | ||||||
Jones Lang LaSalle, Inc. | 535 | 88,805 | ||||||
Klepierre SA, REIT | 2,483 | 93,294 | ||||||
Land Securities Group PLC, REIT | 8,365 | 105,385 | ||||||
Link, REIT | 25,000 | 227,985 | ||||||
Mirvac Group, REIT | 225,518 | 361,958 | ||||||
Realty Income Corp., REIT (b) | 3,205 | 172,397 | ||||||
Scentre Group, REIT | 60,073 | 195,180 | ||||||
Suntec Real Estate Investment Trust, REIT | 28,500 | 36,137 | ||||||
UDR, Inc., REIT | 3,113 | 116,862 | ||||||
Unibail-Rodamco - Westfield | 113 | 24,881 | ||||||
Vicinity Centres, REIT | 37,129 | 71,207 | ||||||
Weyerhaeuser Co., REIT | 8,539 | 311,332 | ||||||
5,157,294 | ||||||||
Telecommunication Services: 2.9% | ||||||||
Deutsche Telekom AG (a) | 37,606 | 581,178 | ||||||
Elisa OYJ | 1,605 | 74,147 | ||||||
Iliad SA | 299 | 47,178 | ||||||
Orange SA | 22,510 | 375,740 | ||||||
Proximus SADP | 1,717 | 38,619 | ||||||
Singapore Telecommunications, Ltd. | 885,800 | 1,999,955 | ||||||
Spark New Zealand, Ltd. | 20,703 | 52,249 | ||||||
TDC A/S (a) | 8,229 | 64,814 | ||||||
Tele2 AB, Class B | 58,654 | 686,979 | ||||||
Telefonica Deutschland Holding AG | 8,390 | 33,006 | ||||||
Telenor ASA | 8,472 | 173,511 | ||||||
Telia Co AB | 367,989 | 1,677,252 | ||||||
Telstra Corp., Ltd. | 46,966 | 90,839 | ||||||
Vodafone Group PLC | 300,951 | 728,991 | ||||||
Zayo Group Holdings, Inc. (a) | 2,100 | 76,608 | ||||||
6,701,066 | ||||||||
UTILITIES: 5.8% | ||||||||
AGL Energy, Ltd. | 7,400 | 123,127 | ||||||
Alliant Energy Corp. | 2,646 | 111,979 | ||||||
American Electric Power Co., Inc. | 5,647 | 391,055 | ||||||
American Water Works Co., Inc. | 55,096 | 4,704,096 | ||||||
Atco, Ltd., Class I | 900 | 27,781 | ||||||
AusNet Services | 20,367 | 24,190 | ||||||
Canadian Utilities, Ltd., Class A | 151,776 | 3,832,931 | ||||||
CMS Energy Corp. | 3,200 | 151,296 | ||||||
Consolidated Edison, Inc. | 3,499 | 272,852 | ||||||
Dominion Energy, Inc. | 7,348 | 500,987 | ||||||
Edison International | 3,735 | 236,313 | ||||||
Emera, Inc. | 815 | 26,533 | ||||||
Engie SA | 20,608 | 315,230 | ||||||
Entergy Corp. | 2,100 | 169,659 | ||||||
Fortis, Inc./Canada | 4,781 | 152,815 | ||||||
Fortum OYJ | 5,012 | 119,381 | ||||||
Hydro One, Ltd. | 3,384 | 51,584 | ||||||
Innogy SE | 1,568 | 66,991 | ||||||
Meridian Energy, Ltd. | 14,459 | 30,541 | ||||||
National Grid PLC | 38,197 | 422,118 |
77 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Ellevate Global Women’s Leadership Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS, continued | ||||||||
UTILITIES, continued | ||||||||
Orsted A/S | 2,135 | $ | 128,999 | |||||
Red Electrica Corp. SA | 4,884 | 99,223 | ||||||
Sempra Energy | 7,403 | 859,562 | ||||||
Severn Trent PLC | 2,667 | 69,539 | ||||||
Suez | 4,153 | 53,723 | ||||||
United Utilities Group PLC | 7,694 | 77,350 | ||||||
WEC Energy Group, Inc. (b) | 3,600 | 232,740 | ||||||
13,252,595 | ||||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $200,382,257) | 224,997,205 | |||||||
PREFERRED STOCKS: 0.1% | ||||||||
Consumer Discretionary: 0.0% (c) | ||||||||
Bayerische Motoren Werke AG | 622 | 49,479 | ||||||
Consumer Staples: 0.1% | ||||||||
Henkel AG & Co. KGaA | 2,011 | 256,601 | ||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost $298,484) | 306,080 | |||||||
EXCHANGE-TRADED FUNDS: 1.0% | ||||||||
iShares Core MSCI EAFE ETF | 14,392 | 912,021 | ||||||
iShares Core S&P 500 ETF | 5,184 | 1,415,491 | ||||||
TOTAL EXCHANGE-TRADED FUNDS | ||||||||
(Cost $2,287,333) | 2,327,512 | |||||||
MONEY MARKET: 0.0% (c) | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (d)(e) | 53,709 | 53,709 | ||||||
(Cost $53,709) | ||||||||
TOTAL INVESTMENTS: 99.8% | ||||||||
(Cost $203,021,783) | 227,684,506 | |||||||
OTHER ASSETS AND LIABILITIES — (NET): 0.2% | 431,055 | |||||||
NET ASSETS: 100.0% | $ | 228,115,561 |
(a) | Non-income producing security. |
(b) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $1,135,387. |
(c) | Rounds to less than 0.05%. |
(d) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(e) | Premier Class shares |
REIT - Real Estate Investment Trust
SUMMARY OF INVESTMENTS BY COUNTRY
Country | Value | Percent of Net Assets | ||||||
Australia | $ | 8,335,049 | 3.7 | % | ||||
Belgium | 379,478 | 0.2 | % | |||||
Canada | 12,491,874 | 5.5 | % | |||||
Denmark | 444,893 | 0.2 | % | |||||
Finland | 1,165,369 | 0.5 | % | |||||
France | 18,805,638 | 8.2 | % | |||||
Germany | 5,128,121 | 2.2 | % | |||||
Hong Kong | 773,251 | 0.3 | % | |||||
Ireland | 2,680,156 | 1.2 | % | |||||
Israel | 192,390 | 0.1 | % | |||||
Italy | 566,279 | 0.2 | % | |||||
Netherlands | 8,043,234 | 3.5 | % | |||||
New Zealand | 168,959 | 0.1 | % | |||||
Norway | 2,740,207 | 1.2 | % | |||||
Singapore | 2,500,492 | 1.1 | % | |||||
South Africa | 110,022 | 0.0 | % | |||||
Spain | 1,341,104 | 0.6 | % | |||||
Sweden | 10,874,062 | 4.8 | % | |||||
Switzerland | 1,197,660 | 0.5 | % | |||||
United Kingdom | 9,633,379 | 4.2 | % | |||||
United States | 140,059,180 | 61.5 | % | |||||
Money Market | 53,709 | 0.0 | %* | |||||
Other assets and liabilities (net) | 431,055 | 0.2 | % | |||||
TOTAL | $ | 228,115,561 | 100.0 | % |
* | Rounds to less than 0.05%. |
SEE NOTES TO FINANCIAL STATEMENTS | 78 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax MSCI EAFE ESG Leaders Index Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCKS: 97.7% | ||||||||
Australia: 9.9% | ||||||||
AGL Energy, Ltd. | 79,361 | $ | 1,320,469 | |||||
Amcor, Ltd. | 146,273 | 1,558,492 | ||||||
AMP, Ltd. | 295,033 | 775,996 | ||||||
APA Group | 118,504 | 863,351 | ||||||
Aurizon Holdings, Ltd. | 209,725 | 670,688 | ||||||
Australia & New Zealand Banking Group, Ltd | 307,592 | 6,437,767 | ||||||
Bendigo & Adelaide Bank, Ltd. | 40,352 | 323,266 | ||||||
BlueScope Steel, Ltd. | 52,561 | 670,814 | ||||||
Brambles, Ltd. | 133,573 | 876,942 | ||||||
Caltex Australia, Ltd. | 35,117 | 845,117 | ||||||
Coca-Cola Amatil, Ltd. | 90,801 | 617,596 | ||||||
Commonwealth Bank of Australia | 175,019 | 9,439,224 | ||||||
CSL, Ltd. | 27,628 | 3,932,653 | ||||||
Dexus, REIT | 137,665 | 989,502 | ||||||
Goodman Group, REIT | 183,000 | 1,304,576 | ||||||
GPT Group, The, REIT | 351,695 | 1,315,877 | ||||||
Insurance Australia Group, Ltd. | 260,376 | 1,642,634 | ||||||
LendLease Group | 44,210 | 647,305 | ||||||
Macquarie Group, Ltd. | 27,648 | 2,519,734 | ||||||
Mirvac Group, REIT | 418,144 | 671,125 | ||||||
National Australia Bank, Ltd. | 280,774 | 5,701,006 | ||||||
Newcrest Mining, Ltd. | 61,223 | 994,086 | ||||||
Origin Energy, Ltd. (a) | 55,710 | 413,209 | ||||||
South32 Ltd | 355,735 | 949,928 | ||||||
Stockland, REIT | 332,900 | 978,126 | ||||||
Sydney Airport | 200,039 | 1,058,995 | ||||||
Telstra Corp., Ltd. | 328,455 | 635,278 | ||||||
Transurban Group | 258,174 | 2,286,210 | ||||||
Wesfarmers, Ltd. | 102,317 | 3,733,166 | ||||||
Westpac Banking Corp. | 350,584 | 7,613,621 | ||||||
Woodside Petroleum, Ltd. | 63,938 | 1,675,590 | ||||||
63,462,343 | ||||||||
Austria: 0.2% | ||||||||
OMV AG | 13,397 | 757,704 | ||||||
Voestalpine AG | 7,147 | 328,641 | ||||||
1,086,345 | ||||||||
Belgium: 0.6% | ||||||||
Colruyt SA | 9,728 | 555,181 | ||||||
KBC Group NV | 17,956 | 1,379,022 | ||||||
Solvay SA | 5,128 | 645,813 | ||||||
UCB SA | 5,579 | 437,339 | ||||||
Umicore SA | 12,296 | 701,947 | ||||||
3,719,302 | ||||||||
Denmark: 2.4% | ||||||||
Chr. Hansen Holding A/S | 7,142 | 657,499 | ||||||
Coloplast A/S, Class B | 4,568 | 456,080 | ||||||
Genmab A/S (a) | 5,994 | 922,285 | ||||||
H Lundbeck A/S | 3,454 | 242,079 | ||||||
ISS A/S | 23,406 | 801,701 | ||||||
Novo Nordisk A/S, Class B | 186,338 | 8,607,056 | ||||||
Novozymes A/S, Class B | 17,888 | 904,743 | ||||||
Orsted A/S | 9,937 | 600,404 | ||||||
Pandora A/S | 10,873 | 757,820 | ||||||
Vestas Wind Systems A/S | 21,901 | 1,352,087 | ||||||
William Demant Holding A/S (a) | 8,978 | 360,306 | ||||||
15,662,060 | ||||||||
Finland: 0.8% | ||||||||
Neste OYJ | 7,222 | 565,041 | ||||||
Nokia OYJ | 488,978 | 2,804,717 | ||||||
Nokian Renkaat OYJ | 16,878 | 664,621 | ||||||
Wartsila OYJ Abp | 71,691 | 1,403,476 | ||||||
5,437,855 | ||||||||
France: 10.3% | ||||||||
Accor SA | 23,311 | 1,141,677 | ||||||
Air Liquide SA | 43,673 | 5,474,201 | ||||||
AXA SA | 159,291 | 3,892,081 | ||||||
Capgemini SE | 15,268 | 2,046,062 | ||||||
Carrefour SA | 38,957 | 628,413 | ||||||
Cie de Saint-Gobain | 53,939 | 2,402,709 | ||||||
CNP Assurances | 1,717 | 39,009 | ||||||
Credit Agricole SA | 53,252 | 706,788 | ||||||
Danone SA | 50,990 | 3,722,906 | ||||||
Essilor International SA | 24,124 | 3,401,391 | ||||||
Gecina SA, REIT | 6,896 | 1,152,034 | ||||||
Getlink SE | 59,585 | 816,902 | ||||||
Ingenico Group SA | 4,541 | 407,165 | ||||||
Ipsen SA | 3,223 | 504,106 | ||||||
Kering SA | 6,462 | 3,640,041 | ||||||
L'Oreal SA | 16,724 | 4,122,911 | ||||||
Michelin | 15,967 | 1,931,656 | ||||||
Natixis SA | 58,580 | 414,486 | ||||||
Orange SA | 288,468 | 4,815,147 | ||||||
Renault SA | 20,410 | 1,729,164 | ||||||
Rexel SA | 41,882 | 601,221 | ||||||
Schneider Electric SE | 45,776 | 3,807,041 | ||||||
Societe BIC SA | 3,046 | 282,435 | ||||||
TOTAL SA | 227,946 | 13,842,188 | ||||||
Unibail-Rodamco-Westfield | 9,851 | 2,169,079 |
79 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax MSCI EAFE ESG Leaders Index Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCK, continued | ||||||||
France, continued | ||||||||
Vivendi SA | 103,514 | $ | 2,532,253 | |||||
66,223,066 | ||||||||
Germany: 9.8% | ||||||||
adidas AG | 15,629 | 3,402,709 | ||||||
Allianz SE | 38,760 | 7,986,676 | ||||||
BASF SE | 91,824 | 8,766,305 | ||||||
Bayerische Motoren Werke AG | 32,312 | 2,920,760 | ||||||
Beiersdorf AG | 7,057 | 799,897 | ||||||
Deutsche Boerse AG | 13,766 | 1,830,245 | ||||||
Deutsche Post AG | 73,716 | 2,395,058 | ||||||
Deutsche Wohnen SE (a) | 16,573 | 800,375 | ||||||
E.ON SE | 180,945 | 1,927,878 | ||||||
Evonik Industries AG | 12,137 | 415,252 | ||||||
Fraport AG Frankfurt Airport Svc Worldwide | 6,432 | 618,787 | ||||||
HeidelbergCement AG | 17,128 | 1,438,177 | ||||||
Henkel AG & Co. KGaA | 9,128 | 1,013,499 | ||||||
Merck KGaA | 19,211 | 1,870,140 | ||||||
METRO AG | 25,626 | 315,811 | ||||||
Muenchener Rueckversicherungs AG | 13,341 | 2,804,849 | ||||||
OSRAM Licht AG | 11,274 | 459,132 | ||||||
ProSiebenSat.1 Media SE | 26,096 | 660,359 | ||||||
RWE AG | 34,352 | 780,633 | ||||||
SAP SE | 100,698 | 11,622,330 | ||||||
Siemens AG | 62,813 | 8,275,978 | ||||||
Symrise AG | 19,203 | 1,679,770 | ||||||
62,784,620 | ||||||||
Hong Kong: 2.2% | ||||||||
BOC Hong Kong Holdings, Ltd. | 357,057 | 1,678,145 | ||||||
CLP Holdings, Ltd. | 194,000 | 2,089,648 | ||||||
Hang Seng Bank, Ltd. | 61,800 | 1,543,167 | ||||||
Hong Kong & China Gas Co., Ltd. | 797,702 | 1,524,834 | ||||||
Hong Kong Exchanges and Clearing, Ltd. | 109,051 | 3,263,628 | ||||||
Hysan Development Co, Ltd. | 97,000 | 541,405 | ||||||
Li & Fung, Ltd. | 812,000 | 297,421 | ||||||
MTR Corp., Ltd. | 86,526 | 477,939 | ||||||
Shangri-La Asia, Ltd. | 70,000 | 131,139 | ||||||
Swire Pacific, Ltd., Class A | 99,000 | 1,046,414 | ||||||
Swire Properties, Ltd. | 189,200 | 697,763 | ||||||
Techtronic Industries Co, Ltd. | 106,000 | 588,712 | ||||||
Wharf Real Estate Investment Co, Ltd. | 24,000 | 170,418 | ||||||
14,050,633 | ||||||||
Ireland: 0.7% | ||||||||
CRH PLC | 69,483 | 2,444,017 | ||||||
Kerry Group PLC, Class A | 22,036 | 2,305,734 | ||||||
4,749,751 | ||||||||
Israel: 0.3% | ||||||||
Bank Hapoalim BM | 218,984 | 1,484,543 | ||||||
Bank Leumi Le-Israel BM | 23,619 | 139,756 | ||||||
1,624,299 | ||||||||
Italy: 1.1% | ||||||||
Assicurazioni Generali SpA | 106,342 | 1,777,822 | ||||||
CNH Industrial NV | 92,539 | 977,534 | ||||||
Intesa Sanpaolo SpA | 1,052,735 | 3,045,845 | ||||||
Snam SpA | 304,084 | 1,267,241 | ||||||
7,068,442 | ||||||||
Japan: 23.0% | ||||||||
Aeon Co., Ltd. | 59,600 | 1,274,977 | ||||||
AEON Financial Service Co., Ltd. | 12,200 | 260,031 | ||||||
Aisin Seiki Co., Ltd. | 17,100 | 778,607 | ||||||
Ajinomoto Co., Inc. | 47,000 | 889,666 | ||||||
ANA Holdings, Inc. | 7,000 | 256,849 | ||||||
Asahi Glass Co., Ltd. | 24,600 | 956,841 | ||||||
Asahi Kasei Corp. | 110,000 | 1,394,959 | ||||||
Asics Corp. | 15,900 | 268,409 | ||||||
Astellas Pharma, Inc. | 157,400 | 2,395,404 | ||||||
Benesse Holdings, Inc. | 10,200 | 361,715 | ||||||
Bridgestone Corp. | 5,100 | 199,220 | ||||||
Casio Computer Co., Ltd. | 16,400 | 266,353 | ||||||
Central Japan Railway Co. | 11,300 | 2,339,431 | ||||||
Chugai Pharmaceutical Co., Ltd. | 22,600 | 1,183,348 | ||||||
CyberAgent, Inc. | 6,000 | 359,840 | ||||||
Dai Nippon Printing Co., Ltd. | 44,000 | 983,252 | ||||||
Daifuku Co, Ltd. | 8,000 | 349,533 | ||||||
Daikin Industries, Ltd. | 44,200 | 5,282,477 | ||||||
Daiwa House Industry Co., Ltd. | 57,400 | 1,952,853 | ||||||
Denso Corp. | 52,900 | 2,581,215 | ||||||
Dentsu, Inc. | 18,000 | 852,082 | ||||||
East Japan Railway Co. | 36,800 | 3,524,166 | ||||||
Eisai Co., Ltd. | 32,500 | 2,287,675 | ||||||
Fast Retailing Co., Ltd. | 4,200 | 1,925,008 |
SEE NOTES TO FINANCIAL STATEMENTS | 80 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax MSCI EAFE ESG Leaders Index Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCK, continued | ||||||||
Japan, continued | ||||||||
Fujitsu, Ltd. | 165,000 | $ | 998,500 | |||||
Hitachi Chemical Co., Ltd. | 16,400 | 330,158 | ||||||
Hitachi Construction Machinery Co., Ltd. | 17,700 | 573,834 | ||||||
Hitachi High-Technologies Corp. | 3,400 | 138,313 | ||||||
Hitachi Metals, Ltd. | 29,200 | 302,768 | ||||||
Honda Motor Co., Ltd. | 230,100 | 6,746,759 | ||||||
Hulic Co., Ltd. | 5,200 | 55,500 | ||||||
Inpex Corp. | 63,400 | 658,465 | ||||||
Kajima Corp. | 113,000 | 873,112 | ||||||
Kansai Paint Co., Ltd. | 35,100 | 728,412 | ||||||
Kao Corp. | 90,800 | 6,920,919 | ||||||
KDDI Corp. | 145,100 | 3,967,744 | ||||||
Keio Corp. | 8,200 | 396,226 | ||||||
Keyence Corp. | 8,800 | 4,963,325 | ||||||
Kikkoman Corp. | 18,000 | 908,795 | ||||||
Kobe Steel, Ltd. | 26,400 | 241,257 | ||||||
Komatsu, Ltd. | 81,500 | 2,320,188 | ||||||
Konica Minolta, Inc. | 54,800 | 508,233 | ||||||
Kubota Corp. | 88,000 | 1,381,154 | ||||||
Kuraray Co., Ltd. | 58,000 | 797,698 | ||||||
Kyocera Corp. | 33,900 | 1,906,465 | ||||||
Lawson, Inc. | 5,200 | 324,750 | ||||||
Marui Group Co., Ltd. | 16,500 | 347,079 | ||||||
Mazda Motor Corp. | 40,300 | 494,344 | ||||||
Mitsubishi Estate Co., Ltd. | 162,000 | 2,828,018 | ||||||
Mitsubishi Materials Corp. | 11,400 | 312,760 | ||||||
Mitsubishi UFJ Lease & Finance Co., Ltd. | 54,900 | 336,557 | ||||||
Mitsui Fudosan Co., Ltd. | 88,000 | 2,119,768 | ||||||
Mitsui OSK Lines, Ltd. | 12,700 | 305,413 | ||||||
Mizuho Financial Group, Inc. | 2,150,200 | 3,621,980 | ||||||
Murata Manufacturing Co., Ltd. | 15,500 | 2,602,083 | ||||||
Nagoya Railroad Co., Ltd. | 3,000 | 77,384 | ||||||
NEC Corp. | 22,300 | 611,105 | ||||||
NGK Insulators, Ltd. | 32,000 | 568,578 | ||||||
NGK Spark Plug Co., Ltd. | 16,100 | 457,703 | ||||||
Nikon Corp. | 31,700 | 503,790 | ||||||
Nintendo Co., Ltd. | 9,200 | 3,003,148 | ||||||
Nippon Express Co., Ltd. | 2,000 | 144,925 | ||||||
Nitori Holdings Co, Ltd. | 4,700 | 731,218 | ||||||
Nitto Denko Corp. | 13,400 | 1,011,665 | ||||||
Nomura Real Estate Holdings, Inc. | 2,400 | 53,138 | ||||||
Nomura Research Institute, Ltd. | 7,100 | 343,507 | ||||||
NSK, Ltd. | 40,900 | 420,977 | ||||||
NTT DOCOMO, Inc. | 100,700 | 2,566,072 | ||||||
Obayashi Corp. | 98,500 | 1,022,766 | ||||||
Odakyu Electric Railway Co., Ltd. | 14,400 | 308,821 | ||||||
Omron Corp. | 18,700 | 871,118 | ||||||
Oriental Land Co., Ltd./Japan | 17,600 | 1,845,301 | ||||||
Osaka Gas Co., Ltd. | 12,000 | 248,471 | ||||||
Otsuka Corp. | 1,200 | 46,977 | ||||||
Panasonic Corp. | 196,900 | 2,655,083 | ||||||
Rakuten, Inc. | 18,500 | 124,869 | ||||||
Recruit Holdings Co, Ltd. | 92,700 | 2,560,249 | ||||||
Resona Holdings, Inc. | 222,500 | 1,185,875 | ||||||
Secom Co., Ltd. | 20,300 | 1,556,682 | ||||||
Sekisui House, Ltd. | 88,700 | 1,567,717 | ||||||
Seven & i Holdings Co., Ltd. | 70,300 | 3,066,181 | ||||||
Shimadzu Corp. | 32,000 | 965,471 | ||||||
Shimizu Corp. | 64,000 | 662,403 | ||||||
Shin-Etsu Chemical Co., Ltd. | 30,700 | 2,728,260 | ||||||
Shiseido Co., Ltd. | 34,100 | 2,706,038 | ||||||
Sohgo Security Services Co., Ltd. | 3,300 | 155,257 | ||||||
Sompo Holdings, Inc. | 29,500 | 1,190,325 | ||||||
Sony Corp. | 136,200 | 6,975,395 | ||||||
Stanley Electric Co., Ltd. | 11,800 | 401,791 | ||||||
Sumitomo Chemical Co., Ltd. | 86,000 | 486,384 | ||||||
Sumitomo Electric Industries, Ltd. | 58,200 | 865,587 | ||||||
Sumitomo Metal Mining Co., Ltd. | 29,000 | 1,106,835 | ||||||
Sumitomo Mitsui Trust Holdings Inc | 21,200 | 836,416 | ||||||
Suntory Beverage & Food, Ltd. | 3,100 | 132,533 | ||||||
Sysmex Corp. | 14,700 | 1,369,667 | ||||||
T&D Holdings, Inc. | 61,500 | 922,381 | ||||||
Taisei Corp. | 15,000 | 826,041 | ||||||
Takeda Pharmaceutical Co., Ltd. | 62,500 | 2,629,254 | ||||||
TDK Corp. | 13,100 | 1,333,879 | ||||||
Teijin, Ltd. | 16,100 | 294,915 |
81 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax MSCI EAFE ESG Leaders Index Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCK, continued | ||||||||
Japan, continued | ||||||||
Tobu Railway Co., Ltd. | 3,000 | $ | 91,686 | |||||
Toho Gas Co., Ltd. | 11,400 | 394,918 | ||||||
Tokyo Electron, Ltd. | 13,700 | 2,351,650 | ||||||
Tokyo Gas Co., Ltd. | 36,200 | 961,192 | ||||||
Tokyu Corp. | 91,000 | 1,565,942 | ||||||
Toray Industries, Inc. | 136,000 | 1,073,428 | ||||||
TOTO, Ltd. | 19,700 | 911,828 | ||||||
Unicharm Corp. | 27,600 | 829,773 | ||||||
West Japan Railway Co. | 4,100 | 301,860 | ||||||
Yakult Honsha Co., Ltd. | 9,000 | 601,749 | ||||||
Yamada Denki Co., Ltd. | 125,400 | 622,920 | ||||||
Yamaha Corp. | 18,600 | 965,297 | ||||||
Yamaha Motor Co., Ltd. | 21,600 | 542,240 | ||||||
Yaskawa Electric Corp. | 28,900 | 1,017,716 | ||||||
Yokogawa Electric Corp. | 12,400 | 220,188 | ||||||
148,529,027 | ||||||||
Luxembourg: 0.3% | ||||||||
Millicom International Cellular SA | 2,971 | 174,612 | ||||||
SES SA | 34,186 | 624,910 | ||||||
Tenaris SA | 64,728 | 1,181,287 | ||||||
1,980,809 | ||||||||
Netherlands: 5.9% | ||||||||
Aegon NV | 175,123 | 1,045,592 | ||||||
Akzo Nobel NV | 21,960 | 1,873,018 | ||||||
ASML Holding NV | 35,827 | 7,089,617 | ||||||
EXOR NV | 8,321 | 556,819 | ||||||
ING Groep NV | 371,027 | 5,325,912 | ||||||
Koninklijke Ahold Delhaize NV | 114,600 | 2,736,372 | ||||||
Koninklijke DSM NV | 19,377 | 1,938,456 | ||||||
Koninklijke KPN NV | 320,708 | 872,062 | ||||||
Koninklijke Philips NV | 106,368 | 4,506,594 | ||||||
NN Group NV | 41,970 | 1,702,152 | ||||||
QIAGEN NV (a) | 10,132 | 367,277 | ||||||
RELX NV | 70,825 | 1,505,657 | ||||||
Unilever NV | 152,150 | 8,477,332 | ||||||
37,996,860 | ||||||||
New Zealand: 0.1% | ||||||||
Auckland International Airport, Ltd. | 177,846 | 816,010 | ||||||
Norway: 0.9% | ||||||||
Aker BP ASA | 16,200 | 595,887 | ||||||
Equinor ASA | 82,654 | 2,185,583 | ||||||
Marine Harvest ASA | 11,055 | 219,805 | ||||||
Norsk Hydro ASA | 140,922 | 841,198 | ||||||
Schibsted ASA, Class B | 12,085 | 340,928 | ||||||
Telenor ASA | 67,610 | 1,384,686 | ||||||
5,568,087 | ||||||||
Portugal: 0.3% | ||||||||
EDP - Energias de Portugal SA | 182,333 | 722,679 | ||||||
Galp Energia SGPS SA | 60,311 | 1,147,335 | ||||||
1,870,014 | ||||||||
Singapore: 1.4% | ||||||||
Ascendas Real Estate Investment Trust, REIT | 185,900 | 360,003 | ||||||
CapitaLand Mall Trust, REIT | 399,700 | 486,723 | ||||||
CapitaLand, Ltd. | 204,200 | 472,621 | ||||||
CapitaMall Trust, REIT | 309,900 | 471,060 | ||||||
City Developments, Ltd. | 102,600 | 821,817 | ||||||
DBS Group Holdings, Ltd. | 175,483 | 3,412,621 | ||||||
Keppel Corp., Ltd. | 175,700 | 919,119 | ||||||
Singapore Press Holdings, Ltd. | 263,500 | 502,142 | ||||||
Singapore Telecommunications, Ltd. | 778,300 | 1,757,243 | ||||||
9,203,349 | ||||||||
South Africa: 0.1% | ||||||||
Old Mutual, Ltd. (a) | 362,357 | 716,366 | ||||||
Spain: 4.1% | ||||||||
Amadeus IT Group SA | 42,532 | 3,344,393 | ||||||
Banco Bilbao Vizcaya Argentaria SA | 561,062 | 3,956,926 | ||||||
Bankinter SA | 30,469 | 295,641 | ||||||
CaixaBank SA | 316,567 | 1,362,594 | ||||||
Enagas SA | 17,069 | 497,839 | ||||||
Ferrovial SA | 32,190 | 658,691 | ||||||
Gas Natural SDG SA | 35,311 | 933,476 | ||||||
Grifols SA | 25,477 | 763,617 | ||||||
Iberdrola SA | 673,811 | 5,196,263 | ||||||
Industria de Diseno Textil SA | 93,543 | 3,185,522 | ||||||
Red Electrica Corp. SA | 38,016 | 772,333 | ||||||
Repsol SA | 134,113 | 2,617,762 | ||||||
Telefonica SA | 352,038 | 2,987,900 | ||||||
26,572,957 | ||||||||
Sweden: 3.8% | ||||||||
Assa Abloy AB, Class B | 106,033 | 2,249,129 | ||||||
Atlas Copco AB, Class A (b) | 65,628 | 1,900,621 | ||||||
Atlas Copco AB, Class B (b) | 43,534 | 1,134,139 | ||||||
Boliden AB | 30,706 | 990,989 |
SEE NOTES TO FINANCIAL STATEMENTS | 82 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax MSCI EAFE ESG Leaders Index Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
COMMON STOCK, continued | ||||||||
Sweden, continued | ||||||||
Ericsson, Class B | 274,054 | $ | 2,111,366 | |||||
Essity AB | 28,100 | 691,304 | ||||||
Hennes & Mauritz AB, Class B | 88,982 | 1,324,501 | ||||||
Husqvarna AB, Class B | 63,136 | 597,275 | ||||||
Kinnevik AB, Class B | 27,532 | 938,212 | ||||||
Nordea Bank AB | 284,392 | 2,728,055 | ||||||
Sandvik AB | 155,610 | 2,748,225 | ||||||
Skandinaviska Enskilda Banken AB, Class A | 161,177 | 1,525,440 | ||||||
SKF AB, Class B | 49,693 | 919,930 | ||||||
Svenska Handelsbanken AB, Class A | 136,755 | 1,514,622 | ||||||
Swedbank AB, Class A | 86,114 | 1,834,766 | ||||||
Telia Co AB | 310,741 | 1,416,322 | ||||||
24,624,896 | ||||||||
Switzerland: 6.7% | ||||||||
ABB, Ltd. | 222,405 | 4,851,523 | ||||||
Adecco Group AG | 19,780 | 1,167,298 | ||||||
Chocoladefabriken Lindt & Spruengli AG | 213 | 1,380,585 | ||||||
Clariant AG (a) | 10,200 | 244,070 | ||||||
Givaudan SA | 802 | 1,816,383 | ||||||
Kuehne & Nagel International AG | 9,918 | 1,488,904 | ||||||
LafargeHolcim, Ltd. (a) | 50,859 | 2,472,880 | ||||||
Lonza Group AG (a) | 7,133 | 1,884,869 | ||||||
Roche Holding AG | 58,512 | 12,981,354 | ||||||
SGS SA | 622 | 1,652,774 | ||||||
Sika AG | 13,620 | 1,881,868 | ||||||
Sonova Holding AG | 4,656 | 832,882 | ||||||
STMicroelectronics NV | 54,905 | 1,219,072 | ||||||
Straumann Holding AG | 1,167 | 885,036 | ||||||
Swiss Re AG | 25,239 | 2,203,588 | ||||||
Swisscom AG | 1,720 | 767,694 | ||||||
Vifor Pharma AG | 2,564 | 408,993 | ||||||
Zurich Insurance Group AG | 16,066 | 4,751,195 | ||||||
42,890,968 | ||||||||
United Kingdom: 12.8% | ||||||||
3i Group PLC | 126,892 | 1,502,291 | ||||||
Associated British Foods PLC | 40,079 | 1,445,181 | ||||||
Aviva PLC | 363,246 | 2,410,169 | ||||||
Barratt Developments PLC | 95,639 | 648,329 | ||||||
Berkeley Group Holdings PLC | 3,787 | 188,642 | ||||||
British Land Co. PLC, The, REIT | 80,877 | 715,517 | ||||||
BT Group PLC | 771,064 | 2,211,985 | ||||||
Burberry Group PLC | 43,644 | 1,240,386 | ||||||
Compass Group PLC | 151,900 | 3,237,843 | ||||||
ConvaTec Group PLC | 71,121 | 198,552 | ||||||
Croda International PLC | 28,718 | 1,814,321 | ||||||
Ferguson PLC | 18,053 | 1,460,628 | ||||||
GlaxoSmithKline PLC | 600,354 | 12,103,697 | ||||||
InterContinental Hotels Group PLC | 48,037 | 2,986,230 | ||||||
Intertek Group PLC | 22,344 | 1,680,058 | ||||||
Investec PLC | 45,815 | 323,946 | ||||||
ITV PLC | 409,912 | 937,157 | ||||||
J Sainsbury PLC | 83,402 | 352,938 | ||||||
Johnson Matthey PLC | 26,207 | 1,247,886 | ||||||
Kingfisher PLC | 170,956 | 668,542 | ||||||
Legal & General Group PLC | 468,074 | 1,637,247 | ||||||
London Stock Exchange Group PLC | 29,415 | 1,731,646 | ||||||
Marks & Spencer Group PLC | 138,220 | 536,911 | ||||||
Mondi PLC | 38,167 | 1,029,672 | ||||||
National Grid PLC | 262,198 | 2,897,568 | ||||||
Next PLC | 15,861 | 1,262,516 | ||||||
NMC Health PLC (a) | 6,400 | 301,234 | ||||||
Pearson PLC | 83,249 | 969,493 | ||||||
Prudential PLC | 234,662 | 5,349,431 | ||||||
Quilter PLC (a) | 120,786 | 231,013 | ||||||
Reckitt Benckiser Group PLC | 60,460 | 4,967,686 | ||||||
RELX PLC | 82,364 | 1,758,880 | ||||||
Royal Mail PLC | 100,071 | 665,765 | ||||||
RSA Insurance Group PLC | 97,809 | 874,737 | ||||||
Schroders PLC | 9,995 | 414,760 | ||||||
Segro PLC, REIT | 62,401 | 549,557 | ||||||
Sky PLC | 104,974 | 2,021,675 | ||||||
SSE PLC | 68,230 | 1,217,943 | ||||||
Standard Chartered PLC | 249,098 | 2,262,661 | ||||||
Standard Life Aberdeen PLC | 210,664 | 902,098 | ||||||
Taylor Wimpey PLC | 392,663 | 924,338 | ||||||
Tesco PLC | 668,788 | 2,262,908 | ||||||
Travis Perkins PLC | 2,056 | 38,527 | ||||||
Unilever PLC | 114,588 | 6,329,893 | ||||||
Whitbread PLC | 21,412 | 1,116,153 | ||||||
Wm Morrison Supermarkets PLC | 327,454 | 1,086,165 | ||||||
WPP PLC | 92,002 | 1,445,496 | ||||||
82,160,271 | ||||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $579,838,251) | 628,798,330 |
83 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax MSCI EAFE ESG Leaders Index Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
PREFERRED STOCKS: 0.5% | ||||||||
Germany: 0.4% | ||||||||
Bayerische Motoren Werke AG | 9,007 | $ | 716,488 | |||||
Henkel AG & Co. KGaA | 12,130 | 1,547,772 | ||||||
Sartorius AG | 3,300 | 491,275 | ||||||
2,755,535 | ||||||||
Italy: 0.1% | ||||||||
Intesa Sanpaolo SpA | 159,732 | 482,630 | ||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost $2,834,460) | 3,238,165 | |||||||
EXCHANGE-TRADED FUNDS: 1.2% | ||||||||
iShares Core MSCI EAFE ETF | 123,149 | 7,803,952 | ||||||
(Cost $7,842,038) | ||||||||
RIGHTS: 0.0% (c) | ||||||||
France: 0.0% | ||||||||
Repsol SA | 134,113 | 76,132 | ||||||
(Cost $75,527) | ||||||||
TOTAL INVESTMENTS: 99.4% | ||||||||
(Cost $590,590,276) | 639,916,579 | |||||||
OTHER ASSETS AND LIABILITIES — (NET): 0.6% | 3,554,104 | |||||||
NET ASSETS: 100.0% | $ | 643,470,683 |
(a) | Non-income producing security. |
(b) | Security or partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $95,410. |
(c) | Rounds to less than 0.05% |
REIT - Real Estate Investment Trust
SUMMARY OF INVESTMENTS BY SECTOR
Sector | Value | Percent of Net Assets | ||||||
Consumer Discretionary | $ | 79,313,350 | 12.3 | % | ||||
Consumer Staples | 66,968,436 | 10.4 | % | |||||
Energy | 28,250,248 | 4.4 | % | |||||
Financials | 126,786,005 | 19.7 | % | |||||
Health Care | 66,324,163 | 10.3 | % | |||||
Industrials | 87,898,589 | 13.6 | % | |||||
Information Technology | 52,526,400 | 8.2 | % | |||||
Materials | 54,589,925 | 8.5 | % | |||||
Real Estate | 23,370,574 | 3.6 | % | |||||
Telecommunication Services | 23,556,745 | 3.7 | % | |||||
Utilities | 22,452,060 | 3.5 | % | |||||
Exchange-Traded Funds | 7,803,952 | 1.2 | % | |||||
Rights | 76,132 | 0.0 | %* | |||||
Other assets and liabilities (net) | 3,554,104 | 0.6 | % | |||||
Total | $ | 643,470,683 | 100.0 | % |
* | Rounds to less than 0.05%. |
SEE NOTES TO FINANCIAL STATEMENTS | 84 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
EXCHANGE-TRADED FUNDS: 0.6% | ||||||||
iShares Core U.S. Aggregate Bond ETF | $ | 37,750 | $ | 4,013,580 | ||||
(Cost $4,008,147) | ||||||||
BONDS: 97.3% | ||||||||
Community Investment Notes: 0.5% | ||||||||
Calvert Social Investment Foundation, Inc., 1.500%, 04/30/20 | 3,000,000 | 3,000,000 | ||||||
CINI Investment Note, 2.000%, 10/31/20 (a)(b) | 276,251 | 276,251 | ||||||
Envest Microfinance Fund, LLC, Sr. Note, Series A, 4.000%, 09/15/20 | 100,000 | 96,679 | ||||||
TOTAL COMMUNITY INVESTMENT NOTES | ||||||||
(Cost $3,376,251) | 3,372,930 | |||||||
CORPORATE BONDS: 31.0% | ||||||||
Consumer Discretionary: 3.1% | ||||||||
Amazon.com, Inc., 2.800%, 08/22/24 | 1,000,000 | 964,882 | ||||||
Amazon.com, Inc., 3.875%, 08/22/37 | 500,000 | 489,688 | ||||||
Dollar General Corp., 4.125%, 05/01/28 | 1,000,000 | 982,455 | ||||||
Home Depot, Inc., The, 2.800%, 09/14/27 | 2,000,000 | 1,859,734 | ||||||
Lennar Corp., 4.125%, 12/01/18 (c) | 1,000,000 | 1,003,000 | ||||||
Marriott International, Inc., 3.250%, 09/15/22 | 2,000,000 | 1,971,539 | ||||||
MGM Resorts International, 4.625%, 09/01/26 (c) | 1,000,000 | 930,000 | ||||||
New Red Finance, Inc., 144A, 4.250%, 05/15/24 (c)(d) | 1,000,000 | 950,000 | ||||||
Nexstar Broadcasting, Inc., 144A, 6.125%, 02/15/22 (d) | 1,000,000 | 1,027,500 | ||||||
QVC, Inc., 3.125%, 04/01/19 | 2,000,000 | 1,998,045 | ||||||
Ross Stores, Inc., 3.375%, 09/15/24 | 2,000,000 | 1,976,313 | ||||||
Sirius XM Radio, Inc., 144A, 4.625%, 05/15/23 (c)(d) | 1,500,000 | 1,466,250 | ||||||
Time Warner Cable LLC, 6.750%, 07/01/18 | 1,000,000 | 1,000,000 | ||||||
TJX Cos, Inc., The, 2.250%, 09/15/26 | 1,000,000 | 892,730 | ||||||
Virgin Media Secured Finance PLC, 144A, 5.500%, 08/15/26 (d) | 2,000,000 | 1,877,200 | ||||||
Walt Disney Co., The, 3.750%, 06/01/21 | 2,026,000 | 2,064,418 | ||||||
21,453,754 | ||||||||
Consumer Staples: 1.3% | ||||||||
Anheuser-Busch InBev Finance, Inc., 3.300%, 02/01/23 | 2,000,000 | 1,985,366 | ||||||
Campbell Soup Co., 3.300%, 03/19/25 | 1,000,000 | 930,750 | ||||||
CVS Health Corp., 2.957%, 03/09/20 (e) | 500,000 | 502,051 | ||||||
CVS Health Corp., 4.300%, 03/25/28 | 1,000,000 | 988,351 | ||||||
Kimberly-Clark Corp., 2.650%, 03/01/25 | 2,000,000 | 1,891,949 | ||||||
Lamb Weston Holdings, Inc., 144A, 4.625%, 11/01/24 (d) | 1,000,000 | 977,500 | ||||||
PepsiCo, Inc., 3.000%, 10/15/27 | 1,000,000 | 951,154 | ||||||
Performance Food Group, Inc., 144A, 5.500%, 06/01/24 (d) | 1,000,000 | 990,000 | ||||||
9,217,121 | ||||||||
Energy: 2.3% | ||||||||
AmeriGas Partners LP / Finance Corp., 5.875%, 08/20/26 | 2,000,000 | 1,960,000 | ||||||
Antero Midstream Partners LP/Finance Corp., 5.375%, 09/15/24 | 1,000,000 | 1,012,500 | ||||||
ConocoPhillips Co., 4.950%, 03/15/26 | 1,000,000 | 1,079,466 | ||||||
ConocoPhillips Co., 6.500%, 02/01/39 | 500,000 | 640,547 |
85 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Energy, continued | ||||||||
MidAmerican Energy Co., 3.100%, 05/01/27 | $ | 3,000,000 | $ | 2,890,355 | ||||
Noble Energy, Inc., 3.900%, 11/15/24 | 2,000,000 | 1,974,679 | ||||||
Occidental Petroleum Corp., 3.500%, 06/15/25 | 2,000,000 | 1,985,358 | ||||||
ONEOK Partners, LP, 8.625%, 03/01/19 | 2,000,000 | 2,058,959 | ||||||
Sabine Pass Liquefaction, LLC, 5.625%, 03/01/25 | 1,000,000 | 1,065,099 | ||||||
Sabine Pass Liquefaction, LLC, 5.000%, 03/15/27 | 1,000,000 | 1,016,867 | ||||||
Schlumberger Finance Canada, Ltd., 144A, 2.650%, 11/20/22 (d) | 500,000 | 485,138 | ||||||
16,168,968 | ||||||||
Financials: 14.6% | ||||||||
Allstate Corp., The, 2.764%, 03/29/21 (c)(e) | 1,000,000 | 1,000,872 | ||||||
Ally Financial, Inc., 3.250%, 11/05/18 | 2,000,000 | 2,002,500 | ||||||
American Express Credit Corp., 2.250%, 05/05/21 | 1,400,000 | 1,360,979 | ||||||
Asian Development Bank, 2.750%, 03/17/23 | 3,000,000 | 2,982,554 | ||||||
Asian Development Bank, 2.125%, 03/19/25 | 2,000,000 | 1,896,505 | ||||||
Bank of America Corp., 2.151%, 11/09/20 | 2,000,000 | 1,954,595 | ||||||
Bank of America Corp., 3.499%, 05/17/22 (e) | 3,000,000 | 3,000,190 | ||||||
Bank of America Corp., 3.300%, 01/11/23 | 1,000,000 | 985,945 | ||||||
Bank of America Corp., 3.500%, 04/19/26 | 1,000,000 | 968,246 | ||||||
Bank of New York Mellon Corp., The, 2.200%, 08/16/23 | 2,000,000 | 1,878,610 | ||||||
Bank of New York Mellon Corp., The, 3.400%, 01/29/28 | 1,000,000 | 973,931 | ||||||
BlackRock, Inc., 3.375%, 06/01/22 | 2,350,000 | 2,369,498 | ||||||
Charles Schwab Corp., The, 2.650%, 01/25/23 | 2,000,000 | 1,948,079 | ||||||
Charles Schwab Corp., The, 3.200%, 01/25/28 | 1,000,000 | 958,876 | ||||||
Chubb INA Holdings, Inc., 3.350%, 05/03/26 | 2,000,000 | 1,941,123 | ||||||
CIT Group, Inc., 4.125%, 03/09/21 (c) | 1,000,000 | 996,250 | ||||||
Digital Realty Trust LP, REIT, 3.950%, 07/01/22 | 1,750,000 | 1,769,444 | ||||||
Discover Bank, 3.200%, 08/09/21 (c) | 1,000,000 | 989,337 | ||||||
Discover Bank, 4.250%, 03/13/26 | 1,300,000 | 1,272,784 | ||||||
European Investment Bank, 1.625%, 03/16/20 | 2,000,000 | 1,966,282 | ||||||
European Investment Bank, 1.625%, 08/14/20 | 3,000,000 | 2,935,122 | ||||||
European Investment Bank, 2.000%, 03/15/21 | 3,000,000 | 2,938,240 | ||||||
Fifth Third Bancorp, 2.250%, 06/14/21 | 2,000,000 | 1,949,373 | ||||||
Fifth Third Bancorp, 3.950%, 03/14/28 | 2,000,000 | 1,976,750 | ||||||
Ford Motor Credit Co., LLC, 3.135%, 11/20/18 (e) | 3,000,000 | 3,006,636 | ||||||
Ford Motor Credit Co., LLC, 3.156%, 03/12/19 (e) | 1,000,000 | 1,003,231 | ||||||
Ford Motor Credit Co LLC, 3.589%, 02/15/23 (e) | 4,000,000 | 4,027,191 | ||||||
Goldman Sachs Group, Inc., The, 4.750%, 10/21/45 (c) | 2,000,000 | 1,983,821 | ||||||
ING Bank NV, 144A, 2.000%, 11/26/18 (d) | 2,000,000 | 1,994,852 | ||||||
International Bank for Reconstruction & Development, 2.125%, 03/03/25 | 4,000,000 | 3,806,384 | ||||||
International Bank for Reconstruction & Development, 2.750%, 05/31/36 | 2,000,000 | 1,779,046 |
SEE NOTES TO FINANCIAL STATEMENTS | 86 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Financials, continued | ||||||||
International Finance Corp., 2.500%, 04/15/23 (e) | $ | 3,000,000 | $ | 2,950,203 | ||||
International Lease Finance Corp., 144A, 7.125%, 09/01/18 (d) | 2,010,000 | 2,023,196 | ||||||
JPMorgan Chase & Co., 2.972%, 01/15/23 | 2,000,000 | 1,949,147 | ||||||
JPMorgan Chase & Co, 2.950%, 10/01/26 | 2,000,000 | 1,859,796 | ||||||
Kreditanstalt fuer Wiederaufbau, 2.125%, 06/15/22 (c) | 2,000,000 | 1,945,166 | ||||||
Kreditanstalt fuer Wiederaufbau, 2.375%, 12/29/22 | 3,000,000 | 2,934,766 | ||||||
Morgan Stanley, 2.200%, 12/07/18 | 2,000,000 | 1,997,396 | ||||||
Morgan Stanley, 2.625%, 11/17/21 | 2,000,000 | 1,942,538 | ||||||
Morgan Stanley, 3.539%, 01/20/22 (e) | 4,000,000 | 4,053,641 | ||||||
North American Development Bank, 2.400%, 10/26/22 | 2,000,000 | 1,930,846 | ||||||
PNC Bank NA, 2.625%, 02/17/22 | 2,000,000 | 1,951,050 | ||||||
PNC Bank NA, 3.100%, 10/25/27 | 1,000,000 | 947,649 | ||||||
Prudential Financial, Inc., 7.375%, 06/15/19 | 2,000,000 | 2,083,534 | ||||||
Raymond James Financial, Inc., 3.625%, 09/15/26 | 1,000,000 | 961,996 | ||||||
Royal Bank of Scotland Group PLC, 6.125%, 12/15/22 | 2,000,000 | 2,106,866 | ||||||
Starwood Property Trust, Inc., 144A, 3.625%, 02/01/21 (d) | 1,000,000 | 980,000 | ||||||
Toyota Motor Credit Corp., 2.437%, 01/10/20 (e) | 2,000,000 | 2,003,087 | ||||||
Toyota Motor Credit Corp., 4.250%, 01/11/21 | 1,480,000 | 1,523,194 | ||||||
Toyota Motor Credit Corp., 1.900%, 04/08/21 (c) | 500,000 | 484,562 | ||||||
Toyota Motor Credit Corp., 2.150%, 09/08/22 | 500,000 | 477,134 | ||||||
Travelers Cos, Inc., The, 3.750%, 05/15/46 | 1,000,000 | 918,626 | ||||||
US Bancorp, 1.950%, 11/15/18 | 2,064,000 | 2,059,737 | ||||||
100,701,376 | ||||||||
Health Care: 2.5% | ||||||||
Abbott Laboratories, 3.750%, 11/30/26 | 2,000,000 | 1,969,355 | ||||||
AbbVie, Inc., 3.200%, 05/14/26 | 2,000,000 | 1,870,689 | ||||||
Amgen, Inc., 3.625%, 05/22/24 | 2,000,000 | 1,994,281 | ||||||
Anthem, Inc., 4.101%, 03/01/28 | 1,000,000 | 980,165 | ||||||
Becton Dickinson and Co, 3.363%, 06/06/24 | 1,000,000 | 961,858 | ||||||
Eli Lilly & Co., 3.100%, 05/15/27 | 2,000,000 | 1,916,608 | ||||||
HCA, Inc., 4.500%, 02/15/27 | 1,000,000 | 943,750 | ||||||
HCA, Inc., 5.500%, 06/15/47 (c) | 1,000,000 | 920,000 | ||||||
Merck & Co., Inc., 2.800%, 05/18/23 | 2,000,000 | 1,958,386 | ||||||
Quest Diagnostics, Inc., 3.450%, 06/01/26 | 1,000,000 | 952,654 | ||||||
UnitedHealth Group, Inc., 3.500%, 06/15/23 | 2,000,000 | 2,003,748 | ||||||
Zoetis, Inc., 3.000%, 09/12/27 | 1,000,000 | 926,793 | ||||||
17,398,287 | ||||||||
Industrials: 1.7% | ||||||||
Burlington Northern Santa Fe LLC, 4.050%, 06/15/48 | 1,000,000 | 969,400 | ||||||
Cummins, Inc., 7.125%, 03/01/28 | 1,000,000 | 1,233,521 | ||||||
Ingersoll-Rand Co., 6.443%, 11/15/27 | 2,000,000 | 2,284,060 | ||||||
Masco Corp., 4.375%, 04/01/26 | 1,000,000 | 998,015 |
87 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Industrials, continued | ||||||||
Tesla Energy Operations, Inc., 4.700%, 05/29/25 (b) | $ | 2,000,000 | $ | 1,896,741 | ||||
United Parcel Service, Inc., 2.400%, 11/15/26 | 1,000,000 | 912,808 | ||||||
United Parcel Service, Inc., 3.050%, 11/15/27 | 1,000,000 | 952,955 | ||||||
Waste Management, Inc., 2.900%, 09/15/22 | 2,500,000 | 2,448,501 | ||||||
11,696,001 | ||||||||
Information Technology: 3.0% | ||||||||
Adobe Systems, Inc., 4.750%, 02/01/20 | 1,150,000 | 1,183,565 | ||||||
Apple, Inc., 2.850%, 05/06/21 | 1,000,000 | 998,008 | ||||||
Apple, Inc., 2.850%, 05/11/24 | 500,000 | 484,469 | ||||||
Apple, Inc., 3.000%, 06/20/27 | 2,500,000 | 2,379,006 | ||||||
CA, Inc., 5.375%, 12/01/19 | 1,500,000 | 1,540,316 | ||||||
Cisco Systems, Inc., 2.800%, 03/01/19 (e) | 2,000,000 | 2,006,844 | ||||||
Dell International, LLC/EMC Corp., 144A, 6.020%, 06/15/26 (d) | 1,000,000 | 1,052,009 | ||||||
eBay, Inc., 2.750%, 01/30/23 | 1,000,000 | 964,425 | ||||||
First Data Corp., 144A, 7.000%, 12/01/23 (d) | 1,000,000 | 1,044,080 | ||||||
Intel Corp., 3.150%, 05/11/27 (c) | 1,500,000 | 1,454,592 | ||||||
MasterCard, Inc., 3.500%, 02/26/28 | 1,000,000 | 992,825 | ||||||
Microsoft Corp., 2.875%, 02/06/24 | 1,000,000 | 979,753 | ||||||
Microsoft Corp., 2.400%, 08/08/26 | 3,000,000 | 2,778,156 | ||||||
NetApp, Inc., 3.250%, 12/15/22 | 671,000 | 655,752 | ||||||
Visa, Inc., 3.650%, 09/15/47 | 2,000,000 | 1,873,938 | ||||||
20,387,738 | ||||||||
Materials: 0.4% | ||||||||
ArcelorMittal, 6.125%, 06/01/25 (c) | 500,000 | 541,250 | ||||||
LyondellBasell Industries NV, 6.000%, 11/15/21 | 2,000,000 | 2,141,948 | ||||||
2,683,198 | ||||||||
Real Estate: 0.6% | ||||||||
Alexandria Real Estate Equities, Inc., 4.000%, 01/15/24 | 2,000,000 | 2,013,458 | ||||||
Iron Mountain, Inc., 144A, 4.875%, 09/15/27 (d) | 1,000,000 | 926,250 | ||||||
iStar, Inc., 5.000%, 07/01/19 | 1,000,000 | 998,125 | ||||||
3,937,833 | ||||||||
Telecommunication Services: 1.1% | ||||||||
Discovery Communications, LLC, 3.950%, 03/20/28 (c) | 2,000,000 | 1,897,790 | ||||||
Level 3 Financing, Inc., 5.375%, 01/15/24 | 1,000,000 | 982,000 | ||||||
Sprint Communications, Inc., 144A, 9.000%, 11/15/18 (d) | 2,000,000 | 2,042,500 | ||||||
Verizon Communications, Inc., 3.500%, 11/01/24 | 1,500,000 | 1,452,879 | ||||||
Verizon Communications, Inc., 4.500%, 08/10/33 | 1,000,000 | 970,998 | ||||||
7,346,167 | ||||||||
Utilities: 0.4% | ||||||||
CenterPoint Energy Houston Electric LLC, 2.250%, 08/01/22 | 1,000,000 | 958,376 | ||||||
Southern Power Co., 4.150%, 12/01/25 | 2,000,000 | 2,006,186 | ||||||
2,964,562 | ||||||||
TOTAL CORPORATE BONDS | ||||||||
(Cost $218,057,286) | 213,955,005 | |||||||
U.S. GOVERNMENT AGENCY BONDS: 1.8% | ||||||||
Federal Farm Credit Bank (Agency): 1.1% | ||||||||
1.120%, 08/20/18 | 4,000,000 | 3,995,952 | ||||||
1.140%, 09/04/18 | 3,500,000 | 3,495,230 | ||||||
7,491,182 | ||||||||
Federal Home Loan Bank System (Agency): 0.1% | ||||||||
2.375%, 03/12/21 | 1,000,000 | 988,132 | ||||||
Fannie Mae: 0.6% | ||||||||
1.000%, 12/20/18 | 4,000,000 | 3,976,560 | ||||||
TOTAL U.S. GOVERNMENT AGENCY BONDS | ||||||||
(Cost $12,489,432) | 12,455,874 |
SEE NOTES TO FINANCIAL STATEMENTS | 88 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
BONDS, continued | ||||||||
GOVERNMENT BONDS: 0.7% | ||||||||
U.S. Dept of Housing & Urban Development, 4.620%, 08/01/18 | $ | 5,000,000 | $ | 5,013,645 | ||||
(Cost $4,999,575) | ||||||||
MUNICIPAL BONDS: 5.0% | ||||||||
Alabama Economic Settlement Authority, 3.163%, 09/15/25 | 2,000,000 | 1,983,100 | ||||||
City & County of San Francisco CA , 4.000%, 09/01/48 | 2,000,000 | 1,991,000 | ||||||
City of Los Angeles CA Wastewater System Revenue, 3.144%, 06/01/26 | 2,000,000 | 1,970,220 | ||||||
City of Napa CA Solid Waste Revenue, 2.890%, 08/01/31 | 1,500,000 | 1,397,220 | ||||||
City of San Francisco CA Public Utilities Commission Water R, 2.619%, 11/01/22 | 1,000,000 | 977,420 | ||||||
City of San Francisco CA Public Utilities Commission Water R, 6.000%, 11/01/40 | 2,815,000 | 3,536,907 | ||||||
Commonwealth of Massachusetts, 4.200%, 12/01/21 | 2,000,000 | 2,064,100 | ||||||
Dallas Independent School District, 6.450%, 02/15/35 | 1,000,000 | 1,083,400 | ||||||
Metropolitan Water Reclamation District of Greater Chicago, 4.000%, 12/01/36 | 1,000,000 | 1,004,270 | ||||||
New Jersey Transportation Trust Fund Authority, 6.104%, 12/15/28 | 2,500,000 | 2,628,125 | ||||||
New York City Water & Sewer System, 5.440%, 06/15/43 | 2,500,000 | 3,077,025 | ||||||
Ohio State University/The, 4.910%, 06/01/40 | 2,000,000 | 2,298,520 | ||||||
San Diego County Water Authority Financing Corp., 6.138%, 05/01/49 | 1,500,000 | 1,985,325 | ||||||
Santa Clara Valley Water District, 3.369%, 06/01/27 | 1,305,000 | 1,294,847 | ||||||
State of California, 5.000%, 10/01/28 | 1,000,000 | 1,158,700 | ||||||
State of Georgia, 4.310%, 10/01/26 | 2,000,000 | 2,142,520 | ||||||
State of Oregon, 3.227%, 05/01/24 | 1,000,000 | 1,007,000 | ||||||
Taft Independent School District/TX, 4.207%, 08/15/36 | 1,500,000 | 1,561,740 | ||||||
University of Massachusetts Building Authority, 6.573%, 05/01/39 | 1,800,000 | 1,855,044 | ||||||
TOTAL MUNICIPAL BONDS | ||||||||
(Cost $35,440,564) | 35,016,483 | |||||||
U.S. TREASURY NOTES: 29.6% | ||||||||
1.000%, 10/15/19 | 6,000,000 | 5,891,250 | ||||||
1.375%, 01/15/20 | 12,000,000 | 11,799,609 | ||||||
1.250%, 07/15/20 (TIPS) | 4,594,760 | 4,670,217 | ||||||
2.375%, 03/15/21 | 10,000,000 | 9,940,625 | ||||||
0.125%, 04/15/21 (TIPS) | 3,170,970 | 3,122,631 | ||||||
0.125%, 04/15/22 (TIPS) | 6,180,540 | 6,054,579 | ||||||
2.625%, 02/28/23 | 33,000,000 | 32,871,094 | ||||||
2.125%, 11/30/23 | 15,000,000 | 14,521,875 | ||||||
2.125%, 03/31/24 | 1,000,000 | 965,430 | ||||||
0.125%, 07/15/24 (TIPS) | 4,220,120 | 4,103,444 | ||||||
2.375%, 08/15/24 | 34,000,000 | 33,197,148 | ||||||
0.625%, 01/15/26 (TIPS) | 3,162,900 | 3,146,929 | ||||||
0.375%, 07/15/27 (TIPS) | 10,241,000 | 9,967,113 | ||||||
2.750%, 02/15/28 | 1,000,000 | 991,621 | ||||||
4.500%, 02/15/36 (c) | 9,000,000 | 11,007,773 | ||||||
5.000%, 05/15/37 | 2,000,000 | 2,612,031 | ||||||
4.500%, 05/15/38 | 3,000,000 | 3,719,707 | ||||||
4.375%, 11/15/39 | 8,000,000 | 9,828,438 | ||||||
0.875%, 02/15/47 (TIPS) | 1,037,780 | 1,039,202 | ||||||
3.000%, 02/15/48 | 35,000,000 | 35,125,097 | ||||||
TOTAL U.S. TREASURY NOTES | ||||||||
(Cost $207,215,825) | 204,575,813 |
89 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund, continued
BONDS, continued | ||||||||
MORTGAGE-BACKED SECURITIES: 28.7% | ||||||||
Ginnie Mae (Mortgage-Backed): 1.6% | ||||||||
1.550%, 06/16/36 | $ | 3,136,782 | $ | 3,060,644 | ||||
6.000%, 01/15/38 | 304,319 | 344,209 | ||||||
3.020%, 09/15/41 | 1,907,559 | 1,835,383 | ||||||
3.500%, 11/20/46 | 1,603,052 | 1,611,176 | ||||||
2.888%, 09/16/50 (e) | 2,000,000 | 1,925,192 | ||||||
2.620%, 03/16/55 (e) | 2,159,139 | 2,071,057 | ||||||
10,847,661 | ||||||||
Freddie Mac (Mortgage-Backed): 6.5% | ||||||||
4.000%, 06/01/26 | 2,704,908 | 2,783,111 | ||||||
3.500%, 06/01/28 | 958,778 | 970,921 | ||||||
3.500%, 12/01/30 | 1,800,218 | 1,822,250 | ||||||
4.000%, 08/01/31 | 1,270,451 | 1,314,882 | ||||||
3.000%, 07/01/33 | 1,877,907 | 1,858,960 | ||||||
3.500%, 01/01/34 | 1,670,323 | 1,694,768 | ||||||
3.500%, 03/01/35 | 1,182,168 | 1,195,957 | ||||||
4.000%, 10/01/35 | 3,305,195 | 3,408,476 | ||||||
5.500%, 10/01/39 | 343,087 | 370,099 | ||||||
3.500%, 01/01/41 | 1,131,089 | 1,134,859 | ||||||
4.000%, 04/01/42 | 1,190,695 | 1,224,703 | ||||||
3.500%, 04/01/42 | 1,356,459 | 1,360,972 | ||||||
2.456%, 01/01/43 (e) | 1,995,027 | 1,971,270 | ||||||
4.000%, 08/01/44 | 1,347,632 | 1,386,111 | ||||||
3.500%, 02/01/45 | 2,017,959 | 2,029,690 | ||||||
4.000%, 08/01/47 | 1,824,179 | 1,862,899 | ||||||
3.500%, 09/01/47 | 1,912,922 | 1,904,779 | ||||||
3.500%, 10/01/47 | 2,910,405 | 2,898,016 | ||||||
3.500%, 12/01/47 | 1,916,756 | 1,908,579 | ||||||
3.500%, 03/01/48 | 2,946,278 | 2,933,590 | ||||||
4.000%, 04/01/48 | 5,923,946 | 6,048,186 | ||||||
3.500%, 05/01/48 | 2,985,710 | 2,972,736 | ||||||
45,055,814 | ||||||||
Fannie Mae (Mortgage-Backed): 15.3% | ||||||||
2.480%, 08/01/26 | 2,000,000 | 1,894,874 | ||||||
4.000%, 10/01/26 | 1,112,847 | 1,144,287 | ||||||
3.500%, 12/01/26 | 1,133,841 | 1,148,653 | ||||||
3.270%, 09/01/27 | 2,380,000 | 2,354,542 | ||||||
3.660%, 01/01/29 | 2,000,000 | 2,031,185 | ||||||
4.000%, 01/01/31 | 1,065,301 | 1,094,815 | ||||||
4.500%, 04/01/34 | 1,479,625 | 1,548,955 | ||||||
4.000%, 05/01/34 | 984,812 | 1,015,836 | ||||||
3.500%, 07/01/35 | 1,937,415 | 1,961,075 | ||||||
4.000%, 07/01/36 | 1,512,899 | 1,561,528 | ||||||
3.500%, 09/01/37 | 1,859,695 | 1,871,489 | ||||||
4.000%, 03/01/38 | 2,973,580 | 3,071,911 | ||||||
5.000%, 06/01/40 | 1,208,094 | 1,296,076 | ||||||
3.500%, 12/01/40 | 1,480,338 | 1,486,063 | ||||||
4.000%, 01/01/41 | 1,655,216 | 1,700,521 | ||||||
4.000%, 02/01/41 | 3,613,549 | 3,713,042 | ||||||
4.500%, 03/01/41 | 1,332,693 | 1,402,140 | ||||||
3.500%, 10/01/41 | 1,395,407 | 1,400,808 | ||||||
4.500%, 11/01/41 | 1,250,425 | 1,314,625 | ||||||
4.000%, 01/01/42 | 3,463,344 | 3,564,070 | ||||||
2.709%, 04/01/42 (e) | 1,073,352 | 1,075,126 | ||||||
4.000%, 07/01/42 | 3,285,284 | 3,375,733 | ||||||
3.435%, 09/01/42 (e) | 423,425 | 442,954 | ||||||
3.500%, 06/01/43 | 2,097,081 | 2,100,633 | ||||||
3.000%, 06/01/43 | 1,227,739 | 1,199,995 | ||||||
4.000%, 08/01/43 | 1,492,503 | 1,529,476 | ||||||
2.769%, 09/01/43 (e) | 1,297,344 | 1,352,775 | ||||||
4.000%, 01/01/45 | 1,100,849 | 1,125,025 | ||||||
3.500%, 04/01/45 | 1,238,893 | 1,237,163 | ||||||
4.000%, 06/01/45 | 1,658,520 | 1,707,751 | ||||||
3.500%, 08/01/45 | 4,093,619 | 4,099,599 | ||||||
4.000%, 09/01/45 | 1,950,846 | 2,003,216 | ||||||
4.000%, 10/01/45 | 3,128,607 | 3,193,622 | ||||||
3.500%, 10/01/45 | 2,193,773 | 2,190,708 | ||||||
4.000%, 11/01/45 | 4,525,425 | 4,619,674 | ||||||
3.500%, 04/01/46 | 1,983,925 | 1,981,153 | ||||||
4.000%, 06/01/46 | 2,092,558 | 2,135,797 | ||||||
3.500%, 06/01/46 | 1,658,005 | 1,657,230 | ||||||
3.000%, 06/01/46 | 5,027,827 | 4,879,497 | ||||||
4.000%, 07/01/46 | 2,437,636 | 2,491,584 | ||||||
4.500%, 09/01/46 | 1,376,948 | 1,445,523 | ||||||
4.000%, 10/01/46 | 1,617,381 | 1,650,932 | ||||||
3.000%, 10/01/46 | 1,774,986 | 1,722,708 | ||||||
4.500%, 01/01/47 | 1,810,831 | 1,894,667 | ||||||
4.000%, 01/01/47 | 2,100,117 | 2,148,230 | ||||||
4.000%, 05/01/47 | 3,938,731 | 4,030,824 | ||||||
4.000%, 06/01/47 | 2,734,881 | 2,792,758 | ||||||
3.500%, 08/01/47 | 3,821,430 | 3,813,277 | ||||||
4.500%, 06/01/48 | 1,996,907 | 2,087,387 | ||||||
3.500%, 06/01/48 | 2,978,718 | 2,975,017 | ||||||
105,536,529 | ||||||||
Commercial Mortgage-Backed: 5.3% | ||||||||
Arroyo Mortgage Trust 2018-1, 144A, 3.763%, 04/25/48 (d)(e) | 2,431,555 | 2,432,314 |
SEE NOTES TO FINANCIAL STATEMENTS | 90 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
BONDS, continued | ||||||||
MORTGAGE-BACKED SECURITIES, continued | ||||||||
Commercial Mortgage-Backed, continued | ||||||||
Bayview Opportunity Master Fund IVa Trust 2016, 144A, 4.000%, 04/28/55 (d) | $ | 1,786,951 | $ | 1,805,139 | ||||
Bellemeade Re 2018-1, Ltd., 144A, 3.691%, 04/25/28 (d)(e) | 1,000,000 | 1,004,669 | ||||||
COLT 2018-1 Mortgage Loan Trust, 144A, 2.981%, 02/25/48 (d)(e) | 321,958 | 321,221 | ||||||
Deephaven Residential Mortgage Trust 2018-1, 144A, 3.027%, 12/25/57 (d)(e) | 1,228,165 | 1,219,875 | ||||||
Dell Equipment Finance Trust 2017-2, 144A, 2.470%, 10/24/22 (d) | 750,000 | 739,661 | ||||||
FREMF Mortgage Trust, 144A, 4.768%, 01/25/48 (d)(e) | 2,986,504 | 3,082,222 | ||||||
Invitation Homes 2018-SFR3 Trust, 144A, 3.000%, 07/17/37 (d)(e) | 2,500,000 | 2,504,688 | ||||||
Master Asset Backed Securities Trust 2007-NCW, 144A, 2.691%, 05/25/37 (b)(d)(e) | 1,717,173 | 1,663,972 | ||||||
Metlife Securitization Trust 2017-1, 144A, 3.000%, 04/25/55 (d)(e) | 672,240 | 662,899 | ||||||
Mill City Mortgage Trust 2015-1, 144A, 3.696%, 06/25/56 (d)(e) | 2,000,000 | 2,038,152 | ||||||
Mosaic Solar Loan Trust 2018-1, 144A, 4.010%, 06/22/43 (d) | 952,528 | 956,549 | ||||||
Mosaic Solar Loans 2017-1 LLC, 144A, 4.450%, 06/20/42 (d) | 1,274,275 | 1,302,039 | ||||||
Mosaic Solar Loans 2017-2 LLC, 144A, 3.820%, 09/20/42 (d) | 841,160 | 836,609 | ||||||
Mosaic Solar Loans 2017-2 LLC, 144A, 2.000%, 09/20/42 (d) | 2,000,000 | 1,884,333 | ||||||
Radnor RE 2018-1, Ltd., 144A, 3.491%, 03/25/28 (d)(e) | 3,000,000 | 3,003,319 | ||||||
Sequoia Mortgage Trust 2017-CH2, 144A, 4.000%, 12/25/47 (d)(e) | 821,706 | 829,628 | ||||||
Sequoia Mortgage Trust 2018-CH1, 144A, 4.000%, 02/25/48 (d)(e) | 696,233 | 700,619 | ||||||
SoFi Professional Loan Program 2018-A LLC, 144A, 2.441%, 02/25/42 (d)(e) | 760,235 | 760,668 | ||||||
TES 2017-2 LLC, 144A, 4.120%, 02/20/48 (b)(d) | 1,953,289 | 1,912,719 | ||||||
Tesla Auto Lease Trust 2018-A, 144A, 2.750%, 02/20/20 (d) | 500,000 | 497,781 | ||||||
Towd Point Asset Trust 2018-SL1, 144A, 2.691%, 01/25/46 (d)(e) | 1,957,562 | 1,949,732 | ||||||
Towd Point Mortgage Trust 2015-1, 144A, 3.750%, 11/25/57 (d)(e) | 1,000,000 | 1,007,742 | ||||||
Towd Point Mortgage Trust 2015-1, 144A, 3.620%, 11/25/60 (d)(e) | 2,000,000 | 2,058,817 | ||||||
Towd Point Mortgage Trust 2017-5, 144A, 2.691%, 02/25/57 (d)(e) | 811,029 | 813,808 | ||||||
Vivint Solar Financing V LLC, 144A, 4.730%, 04/30/48 (d) | 1,000,000 | 999,700 | ||||||
36,988,875 | ||||||||
TOTAL MORTGAGE-BACKED SECURITIES | ||||||||
(Cost $203,322,152) | 198,428,879 | |||||||
TOTAL BONDS | ||||||||
(Cost $684,901,085) | 672,818,629 | |||||||
91 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Core Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
CERTIFICATES OF DEPOSIT: 0.1% | ||||||||
Community Credit Union of Lynn, 2.200%, 11/29/22 (b) | $ | 250,000 | $ | 239,909 | ||||
Self-Help Federal Credit Union, 1.700%, 04/13/20 (b) | 250,000 | 245,626 | ||||||
TOTAL CERTIFICATES OF DEPOSIT | ||||||||
(Cost $500,000) | 485,535 | |||||||
MONEY MARKET: 2.1% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (f)(g) | 14,294,598 | $ | 14,294,598 | |||||
TOTAL MONEY MARKET | ||||||||
(Cost $14,294,598) | ||||||||
SECURITIES PURCHASED WITH CASH COLLATERAL FROM SECURITIES LENDING: 0.9% | ||||||||
State Street Navigator Securities Lending Government Money Market Portfolio, 1.902% (f) | 6,513,335 | 6,513,335 | ||||||
(Cost $6,513,335) | ||||||||
TOTAL INVESTMENTS: 101.0% | ||||||||
(Cost $710,217,165) | 698,125,677 | |||||||
PAYABLE UPON RETURN OF SECURITIES LOANED — (NET):- 0.9% | (6,513,335 | ) | ||||||
OTHER ASSETS AND LIABILITIES — (NET):- 0.1% | (1,016,482 | ) | ||||||
NET ASSETS: 100.0% | $ | 690,595,860 |
(a) | Fair valued security. |
(b) | Illiquid security. |
(c) | Security of partial position of this security was on loan as of June 30, 2018. The total market value of securities on loan as of June 30, 2018 was $22,296,453. |
(d) | Security purchased pursuant to Rule 144A of the Securities Act of 1933 and may be resold only to qualified institutional buyers. |
(e) | Rate shown reflects the accrual rate as of June 30, 2018 on securities with variable or step rates. |
(f) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(g) | Premier Class shares |
LP | - Limited Partnership |
REIT - Real Estate Investment Trust
TIPS - Treasury Inflation Protected Securities
SEE NOTES TO FINANCIAL STATEMENTS | 92 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
COMMON STOCKS: 0.4% | ||||||||
Energy: 0.4% | ||||||||
Chaparral Energy, Inc., Class A (a) | 64,025 | $ | 1,210,072 | |||||
Chaparral Energy, Inc., Class B (a)(b)(c) | 19,281 | 345,130 | ||||||
1,555,202 | ||||||||
Health Care: 0.0% | ||||||||
Interactive Health, Inc. (a)(b)(c) | 706 | 0 | ||||||
Retail: 0.0% (d) | ||||||||
Charlotte Russe, Inc. (a)(b) | 7,784 | 15,568 | ||||||
TOTAL COMMON STOCKS | ||||||||
(Cost $2,383,495) | 1,570,770 | |||||||
PREFERRED STOCKS: 0.3% | ||||||||
Health Care: 0.0% | ||||||||
Interactive Health, Inc., 0.000% (b)(c) | 1,412 | 0 | ||||||
LEISURE: 0.3% | ||||||||
RLJ Lodging Trust, REIT, 1.950% | 38,500 | 1,010,240 | ||||||
TOTAL PREFERRED STOCKS | ||||||||
(Cost $1,355,497) | 1,010,240 | |||||||
BONDS: 95.1% | ||||||||
CORPORATE BONDS: 93.8% | ||||||||
Automotive: 3.2% | ||||||||
Allison Transmission, Inc., 144A, 5.000%, 10/01/24 (e) | $ | 950,000 | 936,938 | |||||
Allison Transmission, Inc., 144A, 4.750%, 10/01/27 (e) | 950,000 | 888,250 | ||||||
Delphi Technologies PLC, 144A, 5.000%, 10/01/25 (e) | 1,950,000 | 1,864,688 | ||||||
FXI Holdings, Inc., 144A, 7.875%, 11/01/24 (e) | 950,000 | 931,000 | ||||||
IHO Verwaltungs GmbH, 144A, 4.500%, 09/15/23 (e) | 1,900,000 | 1,826,375 | ||||||
IHO Verwaltungs GmbH, 144A, 4.750%, 09/15/26 (e) | 950,000 | 896,563 | ||||||
Meritor, Inc., 6.250%, 02/15/24 | 2,225,000 | 2,252,813 | ||||||
Nexteer Automotive Group Ltd, 144A, 5.875%, 11/15/21 (e) | 2,000,000 | 2,075,000 | ||||||
TI Group Automotive Systems LLC, 144A, 8.750%, 07/15/23 (e) | 701,000 | 733,036 | ||||||
12,404,663 | ||||||||
Banking: 3.7% | ||||||||
Ally Financial, Inc., 3.500%, 01/27/19 | 1,450,000 | 1,450,000 | ||||||
Ally Financial, Inc., 4.250%, 04/15/21 | 2,000,000 | 2,005,000 | ||||||
Ally Financial, Inc., 4.125%, 02/13/22 | 2,300,000 | 2,264,810 | ||||||
Ally Financial, Inc., 5.750%, 11/20/25 | 1,800,000 | 1,840,500 | ||||||
CIT Group, Inc., 5.000%, 08/01/23 | 1,000,000 | 1,014,100 | ||||||
CIT Group, Inc., 5.250%, 03/07/25 | 500,000 | 505,000 | ||||||
CIT Group, Inc., 6.125%, 03/09/28 | 950,000 | 978,500 | ||||||
Royal Bank of Scotland Group PLC, 6.125%, 12/15/22 | 2,900,000 | 3,054,955 | ||||||
Royal Bank of Scotland Group PLC, 5.125%, 05/28/24 | 900,000 | 908,952 | ||||||
14,021,817 | ||||||||
Basic Industry: 10.6% | ||||||||
Alcoa Nederland Holding BV, 144A, 7.000%, 09/30/26 (e) | 1,450,000 | 1,551,500 | ||||||
Alcoa Nederland Holding BV, 144A, 6.125%, 05/15/28 (e) | 475,000 | 479,156 | ||||||
ArcelorMittal, 6.125%, 06/01/25 | 1,950,000 | 2,110,875 |
93 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Basic Industry, continued | ||||||||
Cleveland-Cliffs, Inc., 144A, 4.875%, 01/15/24 (e) | $ | 1,450,000 | $ | 1,402,875 | ||||
Cleveland-Cliffs, Inc., 5.750%, 03/01/25 | 500,000 | 475,625 | ||||||
Core & Main, LP, 144A, 6.125%, 08/15/25 (e) | 1,500,000 | 1,428,750 | ||||||
FBM Finance, Inc., 144A, 8.250%, 08/15/21 (e) | 2,000,000 | 2,092,500 | ||||||
Ingevity Corp., 144A, 4.500%, 02/01/26 (e) | 1,425,000 | 1,346,625 | ||||||
Koppers, Inc., 144A, 6.000%, 02/15/25 (e) | 950,000 | 952,375 | ||||||
Lennar Corp., 4.125%, 12/01/18 | 1,000,000 | 1,003,000 | ||||||
Lennar Corp., 4.875%, 12/15/23 | 975,000 | 976,219 | ||||||
Lennar Corp., 4.750%, 05/30/25 | 1,000,000 | 971,250 | ||||||
Lennar Corp., 4.750%, 11/29/27 | 950,000 | 895,660 | ||||||
Mercer International, Inc., 6.500%, 02/01/24 | 950,000 | 964,250 | ||||||
Mercer International, Inc., 144A, 5.500%, 01/15/26 (e) | 950,000 | 923,875 | ||||||
Meritage Homes Corp., 5.125%, 06/06/27 | 1,900,000 | 1,771,750 | ||||||
New Enterprise Stone & Lime Co., Inc., 144A, 10.125%, 04/01/22 (e) | 1,000,000 | 1,067,500 | ||||||
New Enterprise Stone & Lime Co., Inc., 144A, 6.250%, 03/15/26 (e) | 950,000 | 961,875 | ||||||
Novelis Corp., 144A, 5.875%, 09/30/26 (e) | 1,000,000 | 960,000 | ||||||
Sappi Papier Holding GmbH, 144A, 7.500%, 06/15/32 (e) | 900,000 | 927,000 | ||||||
SPCM SA, 144A, 4.875%, 09/15/25 (e) | 950,000 | 909,625 | ||||||
Standard Industries, Inc., 144A, 6.000%, 10/15/25 (e) | 4,000,000 | 4,030,000 | ||||||
Taylor Morrison Communities, Inc./Holdings II, Inc., 144A, 5.625%, 03/01/24 (e) | 2,550,000 | 2,506,955 | ||||||
TRI Pointe Group, Inc., 5.250%, 06/01/27 | 1,900,000 | 1,745,625 | ||||||
US Concrete, Inc., 6.375%, 06/01/24 | 1,900,000 | 1,914,250 | ||||||
USG Corp., 144A, 4.875%, 06/01/27 (e) | 900,000 | 922,500 | ||||||
Valvoline, Inc., 5.500%, 07/15/24 | 1,900,000 | 1,923,750 | ||||||
WESCO Distribution, Inc., 5.375%, 06/15/24 | 1,900,000 | 1,873,875 | ||||||
Zachry Holdings, Inc., 144A, 7.500%, 02/01/20 (e) | 1,400,000 | 1,391,250 | ||||||
40,480,490 | ||||||||
Capital Goods: 6.0% | ||||||||
ARD Finance SA, 7.125%, 09/15/23 | 2,000,000 | 2,010,000 | ||||||
ARD Securities Finance SARL, 144A, 8.750%, 01/31/23 (e) | 1,000,000 | 1,022,500 | ||||||
Ardagh Packaging Finance PLC/ Holdings USA, Inc., 144A, 7.250%, 05/15/24 (e) | 500,000 | 521,875 | ||||||
BBA US Holdings, Inc., 144A, 5.375%, 05/01/26 (e) | 1,450,000 | 1,459,076 | ||||||
Bombardier, Inc., 144A, 8.750%, 12/01/21 (e) | 450,000 | 497,250 | ||||||
Bombardier, Inc., 144A, 7.500%, 12/01/24 (e) | 1,450,000 | 1,529,750 | ||||||
Crown Americas LLC / Crown Americas Capital Corp. VI, 144A, 4.750%, 02/01/26 (e) | 1,650,000 | 1,571,625 | ||||||
CTP Transportation Products LLC/Finance, Inc., 144A, 8.250%, 12/15/19 (e) | 1,100,000 | 1,105,500 |
SEE NOTES TO FINANCIAL STATEMENTS | 94 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Capital Goods, continued | ||||||||
Flex Acquisition Co, Inc., 144A, 7.875%, 07/15/26 (e) | $ | 1,000,000 | $ | 998,600 | ||||
Itron, Inc., 144A, 5.000%, 01/15/26 (e) | 1,000,000 | 952,200 | ||||||
Manitowoc Co, Inc., The, 144A, 12.750%, 08/15/21 (e) | 2,250,000 | 2,508,750 | ||||||
Matthews International Corp., 144A, 5.250%, 12/01/25 (e) | 950,000 | 912,000 | ||||||
Mueller Water Products, Inc., 144A, 5.500%, 06/15/26 (e) | 1,900,000 | 1,919,000 | ||||||
OI European Group BV, 144A, 4.000%, 03/15/23 (e) | 2,400,000 | 2,244,000 | ||||||
RBS Global, Inc. / Rexnord LLC, 144A, 4.875%, 12/15/25 (e) | 1,450,000 | 1,370,250 | ||||||
Vertiv Group Corp., 144A, 9.250%, 10/15/24 (e) | 950,000 | 935,750 | ||||||
Vertiv Intermediate Holding Corp., 144A, 12.000%, 02/15/22 (e) | 1,500,000 | 1,460,625 | ||||||
23,018,751 | ||||||||
Consumer Goods: 4.9% | ||||||||
Central Garden & Pet Co., 5.125%, 02/01/28 | 2,000,000 | 1,855,000 | ||||||
Cott Holdings, Inc., 144A, 5.500%, 04/01/25 (e) | 2,400,000 | 2,340,000 | ||||||
Energizer Gamma Acquisition, Inc., 144A, 6.375%, 07/15/26 (e) | 950,000 | 967,812 | ||||||
High Ridge Brands Co., 144A, 8.875%, 03/15/25 (e) | 2,995,000 | 1,347,750 | ||||||
Lamb Weston Holdings, Inc., 144A, 4.625%, 11/01/24 (e) | 1,900,000 | 1,857,250 | ||||||
Performance Food Group, Inc., 144A, 5.500%, 06/01/24 (e) | 2,425,000 | 2,400,750 | ||||||
Post Holdings, Inc., 144A, 5.000%, 08/15/26 (e) | 1,450,000 | 1,355,750 | ||||||
Post Holdings, Inc., 144A, 5.750%, 03/01/27 (e) | 1,950,000 | 1,896,375 | ||||||
Prestige Brands, Inc., 144A, 6.375%, 03/01/24 (e) | 2,000,000 | 1,990,000 | ||||||
Tempur Sealy International, Inc., 5.500%, 06/15/26 | 950,000 | 921,500 | ||||||
US Foods, Inc., 144A, 5.875%, 06/15/24 (e) | 1,900,000 | 1,942,750 | ||||||
18,874,937 | ||||||||
Energy: 14.0% | ||||||||
AmeriGas Partners LP/Finance Corp., 5.625%, 05/20/24 | 1,500,000 | 1,483,125 | ||||||
AmeriGas Partners LP/Finance Corp., 5.750%, 05/20/27 | 950,000 | 907,250 | ||||||
Antero Resources Corp., 5.625%, 06/01/23 | 1,900,000 | 1,933,250 | ||||||
Antero Resources Corp., 5.000%, 03/01/25 | 950,000 | 950,000 | ||||||
Apergy Corp., 144A, 6.375%, 05/01/26 (e) | 950,000 | 966,625 | ||||||
Archrock Partners LP/Finance Corp., 6.000%, 04/01/21 | 1,750,000 | 1,745,625 | ||||||
Archrock Partners LP/Finance Corp., 6.000%, 10/01/22 | 1,000,000 | 995,000 | ||||||
Ascent Resources Utica Holdings LLC, 144A, 10.000%, 04/01/22 (e) | 900,000 | 994,500 | ||||||
CGG Holding US, Inc., 144A, 9.000%, 05/01/23 (e) | 750,000 | 777,188 | ||||||
Chaparral Energy, Inc., 144A, 8.750%, 07/15/23 (e) | 1,900,000 | 1,917,812 | ||||||
Diamond Offshore Drilling, Inc., 7.875%, 08/15/25 | 950,000 | 988,000 | ||||||
Ensco PLC, 7.750%, 02/01/26 | 1,000,000 | 948,450 |
95 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Energy, continued | ||||||||
Exterran Energy Solutions LP / EES Finance, 8.125%, 05/01/25 | $ | 2,400,000 | $ | 2,538,000 | ||||
Extraction Oil & Gas, Inc., 144A, 7.375%, 05/15/24 (e) | 950,000 | 999,875 | ||||||
Extraction Oil & Gas, Inc., 144A, 5.625%, 02/01/26 (e) | 1,000,000 | 958,810 | ||||||
Genesis Energy LP / Finance Corp., 6.000%, 05/15/23 | 1,000,000 | 986,250 | ||||||
Genesis Energy LP / Finance Corp., 5.625%, 06/15/24 | 1,000,000 | 940,000 | ||||||
Great Western Petroleum LLC/Finance Corp., 144A, 9.000%, 09/30/21 (e) | 2,000,000 | 2,050,000 | ||||||
Hess Infrastructure Partners LP/Finance Corp., 144A, 5.625%, 02/15/26 (e) | 1,950,000 | 1,954,875 | ||||||
ION Geophysical Corp., 9.125%, 12/15/21 | 2,250,000 | 2,278,125 | ||||||
Jagged Peak Energy LLC, 144A, 5.875%, 05/01/26 (e) | 950,000 | 933,375 | ||||||
Laredo Petroleum, Inc., 6.250%, 03/15/23 | 1,350,000 | 1,358,438 | ||||||
Oasis Petroleum, Inc., 144A, 6.250%, 05/01/26 (e) | 950,000 | 960,688 | ||||||
Parkland Fuel Corp., 144A, 6.000%, 04/01/26 (e) | 1,900,000 | 1,876,250 | ||||||
Parsley Energy LLC/Finance Corp., 144A, 5.625%, 10/15/27 (e) | 1,950,000 | 1,940,250 | ||||||
Pride International, Inc., 6.875%, 08/15/20 | 1,000,000 | 1,050,000 | ||||||
RSP Permian, Inc., 5.250%, 01/15/25 | 950,000 | 1,020,965 | ||||||
Southwestern Energy Co., 6.700%, 01/23/25 | 500,000 | 491,250 | ||||||
Southwestern Energy Co., 7.500%, 04/01/26 | 950,000 | 988,000 | ||||||
Sunoco LP/ Finance Corp., 144A, 5.500%, 02/15/26 (e) | 500,000 | 475,000 | ||||||
Sunoco LP/ Finance Corp., 144A, 5.875%, 03/15/28 (e) | 900,000 | 850,797 | ||||||
Superior Plus, LP/General Partners, Inc., 144A, 7.000%, 07/15/26 (e) | 1,900,000 | 1,921,375 | ||||||
Tallgrass Energy Partners LP/Finance Corp., 144A, 5.500%, 09/15/24 (e) | 1,900,000 | 1,947,500 | ||||||
Tallgrass Energy Partners LP/Finance Corp., 144A, 5.500%, 01/15/28 (e) | 1,475,000 | 1,452,875 | ||||||
Tapstone Energy, LLC/Finance Corp., 144A, 9.750%, 06/01/22 (e) | 2,000,000 | 1,755,000 | ||||||
Targa Resources Partners LP/Finance Corp., 5.250%, 05/01/23 | 1,350,000 | 1,353,375 | ||||||
Targa Resources Partners LP/Finance Corp., 144A, 5.000%, 01/15/28 (e) | 900,000 | 839,250 | ||||||
Targa Resources Partners LP/Targa Resources Partners Finance, 144A, 5.875%, 04/15/26 (e) | 1,000,000 | 1,008,750 | ||||||
TransMontaigne Partners LP, 6.125%, 02/15/26 | 1,900,000 | 1,928,500 | ||||||
WildHorse Resource Development Corp., 6.875%, 02/01/25 | 1,900,000 | 1,945,125 | ||||||
53,409,523 | ||||||||
Financial Services: 2.5% | ||||||||
Fair Isaac Corp, 144A, 5.250%, 05/15/26 (e) | 950,000 | 958,313 | ||||||
Fly Leasing, Ltd., 6.375%, 10/15/21 | 3,000,000 | 3,101,250 | ||||||
MSCI, Inc., 144A, 5.375%, 05/15/27 (e) | 900,000 | 902,250 |
SEE NOTES TO FINANCIAL STATEMENTS | 96 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Financial Services, continued | ||||||||
Park Aerospace Holdings, Ltd., 144A, 5.250%, 08/15/22 (e) | $ | 1,900,000 | $ | 1,888,144 | ||||
Park Aerospace Holdings, Ltd., 144A, 5.500%, 02/15/24 (e) | 475,000 | 470,150 | ||||||
Springleaf Finance Corp., 6.125%, 05/15/22 | 1,000,000 | 1,025,000 | ||||||
Springleaf Finance Corp., 6.875%, 03/15/25 | 950,000 | 945,250 | ||||||
Springleaf Finance Corp., 7.125%, 03/15/26 | 450,000 | 448,875 | ||||||
9,739,232 | ||||||||
Health Care: 7.7% | ||||||||
Avantor, Inc., 144A, 6.000%, 10/01/24 (e) | 1,400,000 | 1,388,380 | ||||||
Avantor, Inc., 144A, 9.000%, 10/01/25 (e) | 1,500,000 | 1,515,300 | ||||||
Centene Corp., 5.625%, 02/15/21 | 450,000 | 460,631 | ||||||
Centene Corp., 6.125%, 02/15/24 | 900,000 | 950,625 | ||||||
Centene Corp., 144A, 5.375%, 06/01/26 (e) | 950,000 | 964,849 | ||||||
Change Healthcare Holdings LLC/Finance, Inc., 144A, 5.750%, 03/01/25 (e) | 1,000,000 | 949,850 | ||||||
DaVita, Inc., 5.125%, 07/15/24 | 950,000 | 923,281 | ||||||
Endo Dac/Finance, LLC/Finco, Inc., 144A, 6.000%, 07/15/23 (e) | 1,000,000 | 827,500 | ||||||
Endo Dac/Finance, LLC/Finco, Inc., 144A, 5.875%, 10/15/24 (e) | 600,000 | 588,000 | ||||||
Endo Finance, LLC/Finco, Inc., 144A, 7.250%, 01/15/22 (e) | 850,000 | 786,250 | ||||||
HCA, Inc., 5.875%, 05/01/23 | 2,750,000 | 2,860,000 | ||||||
HCA, Inc., 5.375%, 02/01/25 | 1,000,000 | 987,200 | ||||||
HCA, Inc., 5.875%, 02/15/26 | 4,350,000 | 4,398,937 | ||||||
HCA, Inc., 5.250%, 06/15/26 | 500,000 | 497,850 | ||||||
Kindred Healthcare, Inc., 6.375%, 04/15/22 | 550,000 | 569,250 | ||||||
Kindred Healthcare, Inc., 8.750%, 01/15/23 | 1,000,000 | 1,065,630 | ||||||
LifePoint Health, Inc., 5.375%, 05/01/24 | 1,900,000 | 1,835,875 | ||||||
MPT Operating Partnership LP/Finance Corp., 6.375%, 03/01/24 | 1,000,000 | 1,052,500 | ||||||
MPT Operating Partnership LP/Finance Corp., 5.000%, 10/15/27 | 950,000 | 909,625 | ||||||
Ortho-Clinical Diagnostics, Inc., 144A, 6.625%, 05/15/22 (e) | 1,000,000 | 982,500 | ||||||
Sabra Health Care, LP, REIT, 5.125%, 08/15/26 | 2,400,000 | 2,296,998 | ||||||
Teva Pharmaceutical Finance Netherlands III BV, 6.000%, 04/15/24 | 950,000 | 941,945 | ||||||
Teva Pharmaceutical Finance Netherlands III BV, 3.150%, 10/01/26 | 1,950,000 | 1,569,999 | ||||||
29,322,975 | ||||||||
Insurance: 0.7% | ||||||||
AssuredPartners, Inc., 144A, 7.000%, 08/15/25 (e) | 2,000,000 | 1,930,000 | ||||||
Fidelity & Guaranty Life Holdings, Inc., 144A, 5.500%, 05/01/25 (e) | 950,000 | 928,625 | ||||||
2,858,625 | ||||||||
Leisure: 4.1% | ||||||||
Carlson Travel, Inc., 144A, 6.750%, 12/15/23 (e) | 450,000 | 442,125 | ||||||
Carlson Travel, Inc., 144A, 9.500%, 12/15/24 (e) | 1,000,000 | 907,500 | ||||||
Cedar Fair LP, 5.375%, 04/15/27 | 1,400,000 | 1,382,500 | ||||||
ESH Hospitality, Inc., 144A, 5.250%, 05/01/25 (e) | 2,850,000 | 2,757,375 | ||||||
FelCor Lodging LP, 6.000%, 06/01/25 | 950,000 | 978,500 |
97 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Leisure, continued | ||||||||
GLP Capital LP / GLP Financing II, Inc., 5.750%, 06/01/28 | $ | 1,900,000 | $ | 1,923,750 | ||||
Hilton Worldwide Finance, LLC/Corp., 4.625%, 04/01/25 | 450,000 | 439,875 | ||||||
Hilton Worldwide Finance, LLC/Corp., 4.875%, 04/01/27 | 1,425,000 | 1,378,688 | ||||||
MGM Growth Properties Operating Partnership, LP, 4.500%, 09/01/26 | 1,925,000 | 1,797,469 | ||||||
MGM Resorts International, 4.625%, 09/01/26 | 900,000 | 837,000 | ||||||
Scientific Games International, Inc., 10.000%, 12/01/22 | 2,636,000 | 2,822,417 | ||||||
15,667,199 | ||||||||
Media: 10.6% | ||||||||
Altice Financing SA, 144A, 6.625%, 02/15/23 (e) | 2,000,000 | 1,976,000 | ||||||
Altice Financing SA, 144A, 7.500%, 05/15/26 (e) | 1,250,000 | 1,212,125 | ||||||
Altice France SA/France, 144A, 6.000%, 05/15/22 (e) | 1,000,000 | 1,004,800 | ||||||
Altice France SA/France, 144A, 6.250%, 05/15/24 (e) | 1,850,000 | 1,803,750 | ||||||
Altice France SA/France, 144A, 7.375%, 05/01/26 (e) | 1,900,000 | 1,864,755 | ||||||
Altice Luxembourg SA, 144A, 7.750%, 05/15/22 (e) | 1,425,000 | 1,384,030 | ||||||
Altice US Finance I Corp., 144A, 5.375%, 07/15/23 (e) | 1,000,000 | 997,500 | ||||||
AMC Networks, Inc., 4.750%, 08/01/25 | 950,000 | 915,572 | ||||||
Cablevision Systems Corp., 5.875%, 09/15/22 | 1,000,000 | 995,000 | ||||||
CBS Radio, Inc., 144A, 7.250%, 11/01/24 (e) | 900,000 | 861,750 | ||||||
CCO Holdings LLC/Capital Corp., 144A, 4.000%, 03/01/23 (e) | 950,000 | 895,375 | ||||||
CCO Holdings LLC/Capital Corp., 144A, 5.375%, 05/01/25 (e) | 900,000 | 873,000 | ||||||
CCO Holdings LLC/Capital Corp., 144A, 5.750%, 02/15/26 (e) | 2,000,000 | 1,970,000 | ||||||
CCO Holdings LLC/Capital Corp., 144A, 5.500%, 05/01/26 (e) | 1,000,000 | 972,200 | ||||||
CCO Holdings LLC/Capital Corp., 144A, 5.125%, 05/01/27 (e) | 975,000 | 914,672 | ||||||
Cequel Communications Holdings I, LLC/Capital Corp., 144A, 7.500%, 04/01/28 (e) | 1,000,000 | 1,017,200 | ||||||
Cimpress NV, 144A, 7.000%, 06/15/26 (e) | 950,000 | 974,938 | ||||||
Clear Channel Worldwide Holdings, Inc., 7.625%, 03/15/20 | 1,000,000 | 997,790 | ||||||
CSC Holdings LLC, 144A, 10.125%, 01/15/23 (e) | 1,900,000 | 2,099,500 | ||||||
CSC Holdings LLC, 144A, 5.500%, 04/15/27 (e) | 500,000 | 478,750 | ||||||
E.W. Scripps Co., The, 144A, 5.125%, 05/15/25 (e) | 1,450,000 | 1,363,000 | ||||||
Harland Clarke Holdings Corp., 144A, 6.875%, 03/01/20 (e) | 2,000,000 | 1,985,000 | ||||||
Harland Clarke Holdings Corp., 144A, 8.375%, 08/15/22 (e) | 500,000 | 492,500 | ||||||
Nexstar Broadcasting, Inc., 144A, 6.125%, 02/15/22 (e) | 1,150,000 | 1,181,625 | ||||||
Nexstar Broadcasting, Inc., 144A, 5.625%, 08/01/24 (e) | 950,000 | 921,500 |
SEE NOTES TO FINANCIAL STATEMENTS | 98 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Media, continued | ||||||||
Sinclair Television Group, Inc., 144A, 5.625%, 08/01/24 (e) | $ | 1,250,000 | $ | 1,243,750 | ||||
Sirius XM Radio, Inc., 144A, 6.000%, 07/15/24 (e) | 900,000 | 919,125 | ||||||
Sirius XM Radio, Inc., 144A, 5.375%, 04/15/25 (e) | 2,100,000 | 2,076,375 | ||||||
Sirius XM Radio, Inc., 144A, 5.375%, 07/15/26 (e) | 1,950,000 | 1,881,750 | ||||||
Virgin Media Finance PLC, 144A, 6.000%, 10/15/24 (e) | 950,000 | 907,298 | ||||||
Virgin Media Secured Finance PLC, 144A, 5.500%, 08/15/26 (e) | 1,450,000 | 1,360,970 | ||||||
VTR Finance BV, 144A, 6.875%, 01/15/24 (e) | 1,900,000 | 1,916,055 | ||||||
40,457,655 | ||||||||
Real Estate: 2.3% | ||||||||
Five Point Operating Co LP / Five Point Capital Corp., 144A, 7.875%, 11/15/25 (e) | 950,000 | 970,188 | ||||||
Greystar Real Estate Partners LLC, 144A, 5.750%, 12/01/25 (e) | 1,450,000 | 1,410,125 | ||||||
iStar, Inc., 5.000%, 07/01/19 | 950,000 | 948,219 | ||||||
iStar, Inc., 6.500%, 07/01/21 | 1,500,000 | 1,524,375 | ||||||
iStar, Inc., 6.000%, 04/01/22 | 1,000,000 | 1,002,500 | ||||||
iStar, Inc., 5.250%, 09/15/22 | 500,000 | 485,313 | ||||||
Kennedy-Wilson, Inc., 5.875%, 04/01/24 | 700,000 | 682,500 | ||||||
Kennedy-Wilson, Inc., 144A, 5.875%, 04/01/24 (e) | 1,000,000 | 975,000 | ||||||
Starwood Property Trust, Inc., 144A, 3.625%, 02/01/21 (e) | 1,000,000 | 980,000 | ||||||
8,978,220 | ||||||||
Retail: 3.4% | ||||||||
Albertsons Cos, Inc.,144A, 6.085%, 01/15/24 (e)(f) | 950,000 | 954,750 | ||||||
KFC Holding/Pizza Hut Holdings/Taco Bell of America, 144A, 5.000%, 06/01/24 (e) | 500,000 | 494,850 | ||||||
KFC Holding/Pizza Hut Holdings/Taco Bell of America, 144A, 4.750%, 06/01/27 (e) | 1,900,000 | 1,800,250 | ||||||
New Red Finance, Inc., 144A, 4.250%, 05/15/24 (e) | 1,950,000 | 1,805,000 | ||||||
New Red Finance, Inc., 144A, 5.000%, 10/15/25 (e) | 1,950,000 | 1,854,840 | ||||||
PetSmart, Inc., 144A, 8.875%, 06/01/25 (e) | 1,250,000 | 828,125 | ||||||
PetSmart, Inc., 144A, 5.875%, 06/01/25 (e) | 2,000,000 | 1,550,200 | ||||||
Sally Holdings LLC/Capital, Inc., 5.625%, 12/01/25 | 1,900,000 | 1,762,250 | ||||||
SUPERVALU, Inc., 7.750%, 11/15/22 | 1,950,000 | 2,013,374 | ||||||
13,063,639 | ||||||||
Services: 3.9% | ||||||||
Algeco Global Finance PLC, 144A, 8.000%, 02/15/23 (e) | 950,000 | 969,000 | ||||||
Aramark Services, Inc., 144A, 5.000%, 04/01/25 (e) | 1,450,000 | 1,446,375 | ||||||
Aramark Services, Inc., 4.750%, 06/01/26 | 450,000 | 435,937 | ||||||
Aramark Services, Inc., 144A, 5.000%, 02/01/28 (e) | 500,000 | 478,750 | ||||||
GFL Environmental, Inc., 144A, 5.375%, 03/01/23 (e) | 1,900,000 | 1,762,250 | ||||||
Iron Mountain US Holdings, Inc., 144A, 5.375%, 06/01/26 (e) | 475,000 | 453,625 | ||||||
Iron Mountain, Inc., 5.750%, 08/15/24 | 1,950,000 | 1,915,875 |
99 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Services, continued | ||||||||
KAR Auction Services, Inc., 144A, 5.125%, 06/01/25 (e) | $ | 1,450,000 | $ | 1,388,375 | ||||
Prime Security Services Borrower LLC/Finance, Inc., 144A, 9.250%, 05/15/23 (e) | 811,000 | 865,499 | ||||||
Staples, Inc., 144A, 8.500%, 09/15/25 (e) | 1,900,000 | 1,776,500 | ||||||
United Rentals North America, Inc., 5.750%, 11/15/24 | 1,900,000 | 1,938,000 | ||||||
West Corp., 144A, 8.500%, 10/15/25 (e) | 1,500,000 | 1,376,250 | ||||||
14,806,436 | ||||||||
Technology & Electronics: 4.7% | ||||||||
CommScope Technologies LLC, 144A, 5.000%, 03/15/27 (e) | 1,400,000 | 1,321,250 | ||||||
CommScope, Inc., 144A, 5.500%, 06/15/24 (e) | 950,000 | 958,313 | ||||||
Dell International LLC/EMC Corp, 144A, 5.875%, 06/15/21 (e) | 1,450,000 | 1,473,377 | ||||||
Dell International LLC/EMC Corp, 144A, 7.125%, 06/15/24 (e) | 1,450,000 | 1,537,492 | ||||||
Exela Intermediate LLC/Finance, Inc., 144A, 10.000%, 07/15/23 (e) | 975,000 | 1,000,594 | ||||||
First Data Corp., 144A, 7.000%, 12/01/23 (e) | 950,000 | 991,876 | ||||||
First Data Corp., 144A, 5.000%, 01/15/24 (e) | 2,900,000 | 2,889,125 | ||||||
HNA Echotech Panorama Cayman Co. Ltd., 144A, 8.000%, 04/15/21 (e) | 1,600,000 | 1,576,000 | ||||||
Rackspace Hosting, Inc., 144A, 8.625%, 11/15/24 (e) | 950,000 | 957,125 | ||||||
Syniverse Holdings, Inc., 9.125%, 01/15/19 | 1,021,000 | 1,016,532 | ||||||
TIBCO Software, Inc., 144A, 11.375%, 12/01/21 (e) | 2,000,000 | 2,162,500 | ||||||
VeriSign, Inc., 4.750%, 07/15/27 | 950,000 | 910,528 | ||||||
Versum Materials, Inc., 144A, 5.500%, 09/30/24 (e) | 950,000 | 965,580 | ||||||
17,760,292 | ||||||||
Telecommunications: 9.2% | ||||||||
CenturyLink, Inc., 7.500%, 04/01/24 | 1,400,000 | 1,442,000 | ||||||
CenturyLink, Inc., 5.625%, 04/01/25 | 1,450,000 | 1,373,875 | ||||||
Cogent Communications Group, Inc., 144A, 5.375%, 03/01/22 (e) | 1,700,000 | 1,751,000 | ||||||
Equinix, Inc., 5.375%, 04/01/23 | 1,000,000 | 1,028,625 | ||||||
Equinix, Inc., 5.750%, 01/01/25 | 1,000,000 | 1,012,200 | ||||||
Equinix, Inc., 5.375%, 05/15/27 | 1,500,000 | 1,500,000 | ||||||
Frontier Communications Corp, 10.500%, 09/15/22 | 2,000,000 | 1,825,000 | ||||||
Frontier Communications Corp., 6.875%, 01/15/25 | 450,000 | 291,937 | ||||||
Frontier Communications Corp., 11.000%, 09/15/25 | 450,000 | 362,115 | ||||||
Frontier Communications Corp., 144A, 8.500%, 04/01/26 (e) | 900,000 | 871,875 | ||||||
Level 3 Financing, Inc., 5.375%, 01/15/24 | 1,950,000 | 1,914,900 | ||||||
Level 3 Financing, Inc., 5.250%, 03/15/26 | 1,000,000 | 953,600 | ||||||
Level 3 Parent, LLC, 5.750%, 12/01/22 | 900,000 | 902,250 | ||||||
Sprint Capital Corp., 6.875%, 11/15/28 | 1,000,000 | 960,000 | ||||||
Sprint Communications, Inc., 7.000%, 08/15/20 | 1,400,000 | 1,452,500 | ||||||
Sprint Communications, Inc., 6.000%, 11/15/22 | 2,000,000 | 1,987,500 |
SEE NOTES TO FINANCIAL STATEMENTS | 100 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
BONDS, continued | ||||||||
CORPORATE BONDS, continued | ||||||||
Telecommunications, continued | ||||||||
Sprint Corp., 7.250%, 09/15/21 | $ | 2,400,000 | $ | 2,502,000 | ||||
Sprint Corp., 7.875%, 09/15/23 | 1,000,000 | 1,039,375 | ||||||
Sprint Corp., 7.125%, 06/15/24 | 1,000,000 | 1,012,090 | ||||||
Sprint Corp., 7.625%, 03/01/26 | 1,000,000 | 1,022,500 | ||||||
Telecom Italia Capital SA, 7.721%, 06/04/38 | 950,000 | 1,026,000 | ||||||
T-Mobile USA, Inc., 6.000%, 04/15/24 | 2,000,000 | 2,075,000 | ||||||
T-Mobile USA, Inc., 6.375%, 03/01/25 | 1,000,000 | 1,037,700 | ||||||
T-Mobile USA, Inc., 5.125%, 04/15/25 | 500,000 | 503,750 | ||||||
T-Mobile USA, Inc., 6.500%, 01/15/26 | 1,000,000 | 1,033,750 | ||||||
Uniti Group, LP/CSL Capital LLC, 144A, 7.125%, 12/15/24 (e) | 1,000,000 | 910,000 | ||||||
Windstream Services LLC, 7.750%, 10/15/20 | 2,000,000 | 1,805,000 | ||||||
Zayo Group LLC/ Zayo Capital, Inc., 6.375%, 05/15/25 | 1,400,000 | 1,431,500 | ||||||
35,028,042 | ||||||||
Transportation: 0.6% | ||||||||
Air Canada, 144A, 7.750%, 04/15/21 (e) | 1,150,000 | 1,233,375 | ||||||
Great Lakes Dredge & Dock Corp., 8.000%, 05/15/22 | 1,000,000 | 1,025,000 | ||||||
2,258,375 | ||||||||
Utility: 1.7% | ||||||||
AES Corp./VA, 4.500%, 03/15/23 | 950,000 | 942,875 | ||||||
Atlantica Yield PLC, 144A, 7.000%, 11/15/19 (e) | 1,900,000 | 1,976,000 | ||||||
NextEra Energy Operating Partners LP, 144A, 4.500%, 09/15/27 (e) | 1,425,000 | 1,337,719 | ||||||
TerraForm Power Operating LLC, 144A, 4.250%, 01/31/23 (e) | 1,000,000 | 967,500 | ||||||
TerraForm Power Operating LLC, 144A, 5.000%, 01/31/28 (e) | 1,400,000 | 1,331,750 | ||||||
6,555,844 | ||||||||
TOTAL CORPORATE BONDS | ||||||||
(Cost $365,391,287) | 358,706,715 | |||||||
LOANS: 0.6% | ||||||||
Retail: 0.6% | ||||||||
Charlotte Russe, Inc., 8.500%, 12/15/22 (b) | 3,258,827 | 2,444,120 | ||||||
TOTAL LOANS | ||||||||
(Cost $7,378,780) | ||||||||
U.S. TREASURY NOTES: 0.7% | ||||||||
United States Treasury Note, 2.500%, 05/31/20 | 2,500,000 | 2,499,072 | ||||||
TOTAL U.S. TREASURY NOTES | ||||||||
(Cost $2,499,416) | ||||||||
TOTAL BONDS | ||||||||
(Cost $375,269,483) | 363,649,907 | |||||||
CERTIFICATES OF DEPOSIT: 0.3% | ||||||||
Beneficial State Bank, 1.000%, 01/21/19 | 200,000 | 200,000 | ||||||
Self Help Credit Union, 1.300%, 01/04/19 | 100,000 | 100,000 | ||||||
Shared Interest, Inc., 0.700%, 09/30/18 | 500,000 | 500,000 | ||||||
Urban Partnership Bank, 0.300%, 07/01/18 | 100,000 | 100,539 | ||||||
Urban Partnership Bank, 0.300%, 08/03/18 | 100,225 | 100,225 | ||||||
TOTAL CERTIFICATES OF DEPOSIT | ||||||||
(Cost $1,000,764) | 1,000,764 |
101 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax High Yield Bond Fund, continued
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal/ Contracts | Value | ||||||
MONEY MARKET: 2.8% | ||||||||
Beneficial State Bank Money Market Account, 0.200% (g) | $ | 201,025 | $ | 201,025 | ||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (h)(i) | 10,588,664 | 10,588,664 | ||||||
(Cost $10,789,689) | 10,789,689 | |||||||
TOTAL INVESTMENTS: 98.9% | ||||||||
(Cost $390,798,928) | 378,021,370 | |||||||
OTHER ASSETS AND LIABILITIES — (NET): 1.1% | 4,318,385 | |||||||
NET ASSETS: 100.0% | $ | 382,339,755 |
(a) | Non-income producing security. |
(b) | Illiquid security. |
(c) | Security valued using significant unobservable inputs. |
(d) | Rounds to less than 0.05% |
(e) | Security purchased pursuant to Rule 144A of the Securities Act of 1933 and may be resold only to qualified institutional buyers. |
(f) | Rate shown reflects the accrual rate as of June 30, 2018 on securities with variable or step rates. |
(g) | Rate shown represents annualized 30-day yield as of June 30, 2018. |
(h) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(i) | Premier Class shares |
SEE NOTES TO FINANCIAL STATEMENTS | 102 |
June 30, 2018 |
Schedule of Investments (Unaudited), continued |
Pax Balanced Fund
Percent of Net Assets Name of Issuer and Title of Issue | Shares/ Principal | Value | ||||||
AFFILIATED INVESTMENT COMPANIES: 99.3% | ||||||||
Pax Large Cap Fund (a) | 62,910,357 | $ | 683,835,584 | |||||
Pax Mid Cap Fund (a) | 11,446,404 | 125,910,449 | ||||||
Pax ESG Beta Dividend Fund (a) | 11,351,947 | 130,547,394 | ||||||
Pax Global Opportunities Fund (a)(b) | 2,500,000 | 24,925,000 | ||||||
Pax Global Environmental Markets Fund (a) | 635,307 | 9,707,495 | ||||||
Pax MSCI EAFE Leaders Index Fund (a) | 17,623,909 | 154,385,447 | ||||||
Pax Core Bond Fund (a) | 70,172,170 | 685,582,100 | ||||||
TOTAL AFFILIATED INVESTMENT COMPANIES | ||||||||
(Cost $1,736,844,777) | 1,814,893,469 | |||||||
MONEY MARKET: 0.8% | ||||||||
State Street Institutional U.S. Government Money Market Fund, 1.820% (c)(d) | 15,486,496 | 15,486,496 | ||||||
(Cost $15,486,496) | ||||||||
TOTAL INVESTMENTS: 100.1% | ||||||||
(Cost $1,752,331,273) | 1,830,379,965 | |||||||
OTHER ASSETS AND LIABILITIES — (NET):- 0.1% | (1,392,966 | ) | ||||||
NET ASSETS: 100.0% | $ | 1,828,986,999 |
(a) | Institutional Class shares |
(b) | Non-income producing security |
(c) | Rate shown represents annualized 7-day yield as of June 30, 2018. |
(d) | Premier Class shares |
103 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Statements of Assets and Liabilities (Unaudited) |
Large Cap Fund | Mid Cap Fund | Small Cap Fund | ESG Beta Quality Fund | |||||||||||||
ASSETS | ||||||||||||||||
Investments, at cost - Note A | $ | 563,952,548 | $ | 107,431,269 | $ | 673,982,806 | $ | 132,956,260 | ||||||||
Investments in unaffiliated issuers, at value | $ | 699,167,353 | $ | 128,480,040 | $ | 774,301,165 | $ | 211,018,103 | ||||||||
Investments in affiliated issuers, at value | — | — | — | — | ||||||||||||
Total investments, at value - Note A1 | 699,167,353 | 128,480,040 | 774,301,165 | 211,018,103 | ||||||||||||
Cash | 87,031 | — | — | — | ||||||||||||
Foreign currency at value (cost $10,404; $62,610; $1,191,303; $1,147,366; $24,605 and $304,739, respectively) | — | 10,498 | 63,174 | — | ||||||||||||
Prepaid expenses | 36,375 | 21,998 | 63,005 | 1,145 | ||||||||||||
Receivables: | ||||||||||||||||
Capital stock sold | 32,251 | 32,098 | 2,533,922 | 29,159 | ||||||||||||
Dividends and interest - Note A | 222,033 | 56,493 | 414,232 | 163,429 | ||||||||||||
Investment securities sold | 12,271,558 | — | 6,193,081 | — | ||||||||||||
Investment Adviser reimbursement | — | — | — | — | ||||||||||||
Other | 7,341 | 1,086 | 12,335 | 7,572 | ||||||||||||
Total Assets | 711,823,942 | 128,602,213 | 783,580,914 | 211,219,408 | ||||||||||||
LIABILITIES | ||||||||||||||||
Collateral on securities loaned, at value | 12,657,744 | 984,206 | 1,654,648 | 836,583 | ||||||||||||
Payables: | ||||||||||||||||
Capital stock reacquired | 5,000 | — | 532,048 | 43,554 | ||||||||||||
Investment securities purchased | 10,310,350 | — | 5,215,318 | — | ||||||||||||
Dividend payable - Note A | — | — | — | — | ||||||||||||
Payable to bank | — | — | — | — | ||||||||||||
Accrued expenses: | ||||||||||||||||
Investment advisory fees - Note B | 377,038 | 80,540 | 499,517 | 113,919 | ||||||||||||
Distribution expense | 243 | 267 | 46,294 | 32,469 | ||||||||||||
Trustees fees | — | — | — | — | ||||||||||||
Compliance expense | 146 | 1,376 | 1,475 | — | ||||||||||||
Transfer agent fees | 9,590 | — | 173,884 | — | ||||||||||||
Printing and other shareholder communication fees | 4,198 | 3,822 | — | 1,145 | ||||||||||||
Custodian fees | 13,111 | 3,423 | 16,818 | — | ||||||||||||
Legal and audit fees | 24,738 | 17,091 | 24,965 | — | ||||||||||||
Other accrued expenses | 8,517 | 12,638 | 25,374 | — | ||||||||||||
Total Liabilities | 23,410,675 | 1,103,363 | 8,190,341 | 1,027,670 | ||||||||||||
NET ASSETS | $ | 688,413,267 | $ | 127,498,850 | $ | 775,390,573 | $ | 210,191,738 |
1 | Investments at market value include securities loaned. At June 30, 2018, the Large Cap Fund, Mid Cap Fund, Small Cap Fund, ESG Beta Quality Fund, ESG Beta Dividend Fund, Global Environmental Markets Fund, Global Women’s Leadership Fund, EAFE ESG Leaders Fund and Core Bond Fund had total market values of securities on loan of $38,479,439; $8,205,243; $114,196,211; $6,305,929; $3,648,415; $1,284,604; $1,135,387; $95,410 and $22,296,453, respectively. |
SEE NOTES TO FINANCIAL STATEMENTS | 104 |
June 30, 2018 |
ESG Beta Dividend Fund | Global Opportunities Fund | Global Environmental Markets Fund | Global Women's Leadership Fund | EAFE ESG Leaders Index Fund | Core Bond Fund | High Yield Bond Fund | Balanced Fund | |||||||||||||||||||||||
$ | 103,731,946 | $ | 29,267,974 | $ | 625,360,198 | $ | 203,021,783 | $ | 590,590,276 | $ | 710,217,165 | $ | 390,798,928 | $ | 1,752,331,273 | |||||||||||||||
$ | 131,906,068 | $ | 29,187,830 | $ | 704,186,917 | $ | 227,684,506 | $ | 639,916,579 | $ | 698,125,677 | $ | 378,021,370 | $ | 15,486,496 | |||||||||||||||
— | — | — | — | — | — | — | 1,814,893,469 | |||||||||||||||||||||||
131,906,068 | 29,187,830 | 704,186,917 | 227,684,506 | 639,916,579 | 698,125,677 | 378,021,370 | 1,830,379,965 | |||||||||||||||||||||||
4,168 | — | 101,192 | — | — | 6,982 | — | — | |||||||||||||||||||||||
— | 1,191,303 | 1,157,666 | 21,387 | 304,245 | — | — | — | |||||||||||||||||||||||
1,145 | — | 64,641 | — | — | 30,809 | 33,219 | — | |||||||||||||||||||||||
— | — | 972,827 | 516,193 | 3,275,146 | 26,356 | 361,197 | 120,589 | |||||||||||||||||||||||
216,292 | 2,542 | 803,720 | 305,263 | 1,741,058 | 4,263,744 | 5,961,353 | 1,483,240 | |||||||||||||||||||||||
— | — | — | 5,956 | 95,551 | — | 2,324,707 | — | |||||||||||||||||||||||
— | 1,797 | 2,225 | — | — | — | — | — | |||||||||||||||||||||||
228 | — | 87,091 | 40,703 | 1,506,454 | 4,782 | — | — | |||||||||||||||||||||||
132,127,901 | 30,383,472 | 707,376,279 | 228,574,008 | 646,839,033 | 702,458,350 | 386,701,846 | 1,831,983,794 | |||||||||||||||||||||||
479,208 | — | — | — | — | 6,513,335 | — | — | |||||||||||||||||||||||
— | — | 130,562 | 60,662 | 52,563 | 740 | 858,712 | 1,057,122 | |||||||||||||||||||||||
— | 3,461,970 | — | 274,864 | 2,890,024 | 5,053,577 | 2,869,000 | 1,564,557 | |||||||||||||||||||||||
— | — | — | — | — | 2,825 | 284,042 | — | |||||||||||||||||||||||
— | — | — | — | 107,402 | — | — | — | |||||||||||||||||||||||
76,009 | 1,634 | 473,793 | 102,635 | 297,757 | 225,994 | 158,699 | 75,874 | |||||||||||||||||||||||
151 | — | 32,990 | 20,286 | 20,604 | 664 | 39,353 | 299,242 | |||||||||||||||||||||||
— | 205 | — | — | — | — | — | — | |||||||||||||||||||||||
— | 99 | 1,312 | — | — | 129 | 1,419 | — | |||||||||||||||||||||||
— | 40 | 46,771 | — | — | 9,765 | 80,218 | — | |||||||||||||||||||||||
1,145 | 60 | — | — | — | 5,677 | 10,888 | — | |||||||||||||||||||||||
— | 231 | 2,579 | — | — | 15,321 | 18,607 | — | |||||||||||||||||||||||
— | 853 | 22,961 | — | — | 25,946 | 21,927 | — | |||||||||||||||||||||||
— | 706 | 19,406 | — | — | 8,517 | 19,226 | — | |||||||||||||||||||||||
556,513 | 3,465,798 | 730,374 | 458,447 | 3,368,350 | 11,862,490 | 4,362,091 | 2,996,795 | |||||||||||||||||||||||
$ | 131,571,388 | $ | 26,917,674 | $ | 706,645,905 | $ | 228,115,561 | $ | 643,470,683 | $ | 690,595,860 | $ | 382,339,755 | $ | 1,828,986,999 |
105 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Statements of Assets and Liabilities (Unaudited), continued |
Large Cap Fund | Mid Cap Fund | Small Cap Fund | ESG Beta Quality Fund | |||||||||||||
NET ASSETS REPRESENTED BY: | ||||||||||||||||
Paid in Capital | $ | 463,655,065 | $ | 100,201,449 | $ | 631,923,414 | $ | 122,094,394 | ||||||||
Undistributed (distributions in excess of) net investment income | (39,472 | ) | (18,467 | ) | 1,014,506 | 56,294 | ||||||||||
Accumulated net realized gain (loss) | 89,582,869 | 6,267,021 | 42,133,838 | 9,979,532 | ||||||||||||
Net unrealized appreciation (depreciation) of: | ||||||||||||||||
Investments and written options | 135,214,805 | 21,048,771 | 100,318,359 | 78,061,843 | ||||||||||||
Foreign currency translations | — | 76 | 456 | (325 | ) | |||||||||||
NET ASSETS | $ | 688,413,267 | $ | 127,498,850 | $ | 775,390,573 | $ | 210,191,738 | ||||||||
Investor Class | ||||||||||||||||
Net assets | $ | 1,145,404 | $ | 1,285,979 | $ | 202,980,637 | $ | 149,443,708 | ||||||||
Capital Shares Outstanding (unlimited/authorized) | 105,466 | 116,966 | 12,182,463 | 7,566,343 | ||||||||||||
Net asset value per share | $ | 10.86 | $ | 10.99 | $ | 16.66 | $ | 19.75 | ||||||||
Class A | ||||||||||||||||
Net assets | $ | 19,788,797 | $ | 5,624,776 | ||||||||||||
Capital Shares Outstanding (unlimited/authorized) | 1,190,188 | 285,513 | ||||||||||||||
Net asset value per share | $ | 16.63 | $ | 19.70 | ||||||||||||
Institutional Class | ||||||||||||||||
Net assets | $ | 687,267,863 | $ | 126,212,871 | $ | 552,621,139 | $ | 55,123,254 | ||||||||
Capital Shares Outstanding (unlimited/authorized) | 63,238,910 | 11,475,985 | 32,893,968 | 2,715,859 | ||||||||||||
Net asset value per share | $ | 10.87 | $ | 11.00 | $ | 16.80 | $ | 20.30 |
SEE NOTES TO FINANCIAL STATEMENTS | 106 |
June 30, 2018 |
ESG Beta Dividend Fund | Global Opportunities Fund | Global Environmental Markets Fund | Global Women's Leadership Fund | EAFE ESG Leaders Index Fund | Core Bond Fund | High Yield Bond Fund | Balanced Fund | |||||||||||||||||||||||
$ | 103,060,378 | $ | 27,009,652 | $ | 615,928,703 | $ | 198,781,508 | $ | 613,513,561 | $ | 710,499,452 | $ | 450,460,278 | $ | 1,628,387,808 | |||||||||||||||
98,545 | 511 | 187,247 | (41,540 | ) | (1,693,384 | ) | 12,213 | (213,769 | ) | 152,334 | ||||||||||||||||||||
238,343 | (4,695 | ) | 11,702,298 | 4,708,213 | (17,645,143 | ) | (7,824,317 | ) | (55,129,195 | ) | 122,398,165 | |||||||||||||||||||
28,174,122 | (80,144 | ) | 78,826,719 | 24,662,723 | 49,326,303 | (12,091,488 | ) | (12,777,559 | ) | 78,048,692 | ||||||||||||||||||||
— | (7,650 | ) | 938 | 4,657 | (30,654 | ) | — | — | — | |||||||||||||||||||||
$ | 131,571,388 | $ | 26,917,674 | $ | 706,645,905 | $ | 228,115,561 | $ | 643,470,683 | $ | 690,595,860 | $ | 382,339,755 | $ | 1,828,986,999 | |||||||||||||||
$ | 726,692 | $ | 997 | $ | 139,277,894 | $ | 98,376,580 | $ | 99,336,377 | $ | 3,274,922 | $ | 183,130,485 | $ | 1,435,573,619 | |||||||||||||||
63,292 | 100 | 9,172,381 | 3,960,548 | 11,125,775 | 335,126 | 27,909,428 | 64,228,041 | |||||||||||||||||||||||
$ | 11.48 | $ | 9.97 | $ | 15.18 | $ | 24.84 | $ | 8.93 | $ | 9.77 | $ | 6.56 | $ | 22.35 | |||||||||||||||
$ | 16,373,095 | $ | 6,706,601 | |||||||||||||||||||||||||||
1,080,145 | 1,020,386 | |||||||||||||||||||||||||||||
$ | 15.16 | $ | 6.57 | |||||||||||||||||||||||||||
$ | 130,844,696 | $ | 26,916,677 | $ | 550,994,916 | $ | 129,738,981 | $ | 544,134,306 | $ | 687,320,938 | $ | 192,502,669 | $ | 393,413,380 | |||||||||||||||
11,378,247 | 2,700,874 | 36,051,892 | 5,198,406 | 62,128,429 | 70,335,026 | 29,442,366 | 17,324,850 | |||||||||||||||||||||||
$ | 11.50 | $ | 9.97 | $ | 15.28 | $ | 24.96 | $ | 8.76 | $ | 9.77 | $ | 6.54 | $ | 22.71 |
107 | SEE NOTES TO FINANCIAL STATEMENTS |
For the Period Ended June 30, 2018 |
Statements of Operations (Unaudited) |
Large Cap Fund | Mid Cap Fund | Small Cap Fund | ESG Beta Quality Fund | |||||||||||||
Investment Income | ||||||||||||||||
Income | ||||||||||||||||
Dividends (net of foreign withholding tax of $0; $3,759; $22,622; $0; $0; $0; $544,062; $278,929; $1,582,111; $0; $0 and $0 respectively) | $ | 4,967,486 | $ | 916,128 | $ | 4,666,802 | $ | 2,336,743 | ||||||||
Dividends from affiliate - Note C | — | — | — | — | ||||||||||||
Interest | 97,915 | 48,958 | 255,688 | 12,777 | ||||||||||||
Income from securities lending - Note A | 18,628 | 7,854 | 87,482 | 5,044 | ||||||||||||
Other income - Note B | — | — | — | 1,356 | ||||||||||||
Total Income | 5,084,029 | 972,940 | 5,009,972 | 2,355,920 | ||||||||||||
Expenses | ||||||||||||||||
Investment advisory fees - Note B | 2,317,988 | 502,558 | 3,018,273 | 685,702 | ||||||||||||
Distribution expenses - Investor (Note B) | 1,302 | 1,552 | 258,409 | 195,516 | ||||||||||||
Distribution expenses - Class A (Note B) | — | — | 30,094 | 3,519 | ||||||||||||
Transfer agent fees - Note A | 11,817 | 7,355 | 442,688 | — | ||||||||||||
Printing and other shareholder communication fees | — | — | 35,987 | — | ||||||||||||
Custodian fees | 30,507 | 8,876 | 36,635 | — | ||||||||||||
Legal fees and related expenses | 40,988 | 28,132 | 53,756 | — | ||||||||||||
Trustees' fees and expenses - Note B | 30,088 | 16,557 | 32,003 | — | ||||||||||||
Compliance expense | 8,233 | 6,949 | 8,390 | — | ||||||||||||
Audit fees | 24,734 | 17,088 | 24,961 | — | ||||||||||||
Registration fees | 22,307 | 20,349 | 40,452 | — | ||||||||||||
Other expenses | 11,989 | 2,628 | 13,819 | — | ||||||||||||
Total Expenses | 2,499,953 | 612,044 | 3,995,467 | 884,737 | ||||||||||||
Less: Advisory fee waiver - Note B | — | — | — | — | ||||||||||||
Expenses assumed by Adviser - Note B | — | — | — | — | ||||||||||||
Net expenses | 2,499,953 | 612,044 | 3,995,467 | 884,737 | ||||||||||||
Net investment income | 2,584,076 | 360,896 | 1,014,505 | 1,471,183 | ||||||||||||
REALIZED AND UNREALIZED GAIN (LOSS) - Notes A and C | ||||||||||||||||
Net realized gain (loss) on: | ||||||||||||||||
Investments in unaffiliated issuers | 66,921,843 | 3,738,258 | 24,107,412 | 9,296,242 | ||||||||||||
Investment in affiliated issuers | — | — | — | — | ||||||||||||
Foreign currency transactions | — | (203 | ) | (1,230 | ) | (792 | ) | |||||||||
Change in unrealized appreciation (depreciation) on: | ||||||||||||||||
Investments in unaffiliated issuers | (45,489,249 | ) | (5,456,753 | ) | (12,362,183 | ) | (8,526,901 | ) | ||||||||
Investment in affiliated issuers | — | — | — | — | ||||||||||||
Foreign currency translation | — | 76 | 463 | 1,221 | ||||||||||||
Net realized and unrealized gain (loss) on investments and foreign currency | 21,432,594 | (1,718,622 | ) | 11,744,462 | 769,770 | |||||||||||
Net increase in net assets resulting from operations | $ | 24,016,670 | $ | (1,357,726 | ) | $ | 12,758,967 | $ | 2,240,953 |
SEE NOTES TO FINANCIAL STATEMENTS | 108 |
For the Period Ended June 30, 2018 |
ESG Beta Dividend Fund | Global Opportunities Fund | Global Environmental Markets Fund | Global Women's Leadership Fund | EAFE ESG Leaders Index Fund | Core Bond Fund | High Yield Bond Fund | Balanced Fund | |||||||||||||||||||||||
$ | 2,118,564 | $ | 874 | $ | 8,726,128 | $ | 3,328,306 | $ | 14,168,964 | $ | 13,738 | $ | 37,538 | $ | 68,142 | |||||||||||||||
— | — | — | — | — | — | — | 16,321,974 | |||||||||||||||||||||||
8,712 | 1,668 | 132,504 | 2,527 | 2,753 | 10,398,175 | 11,733,662 | 288,030 | |||||||||||||||||||||||
2,106 | — | 3,550 | 2,573 | 7,556 | 37,387 | — | — | |||||||||||||||||||||||
— | — | 4,401 | 1,574 | 1,727 | 12 | 13,039 | 223,088 | |||||||||||||||||||||||
2,129,382 | 2,542 | 8,866,583 | 3,334,980 | 14,181,000 | 10,449,312 | 11,784,239 | 16,901,234 | |||||||||||||||||||||||
474,075 | 1,765 | 2,689,657 | 626,960 | 1,880,255 | 1,363,981 | 989,862 | 479,466 | |||||||||||||||||||||||
657 | — | 184,724 | 115,874 | 151,178 | 3,975 | 237,115 | 1,834,343 | |||||||||||||||||||||||
— | — | 20,088 | — | — | — | 7,434 | — | |||||||||||||||||||||||
— | 40 | 297,833 | — | — | 12,520 | 219,190 | — | |||||||||||||||||||||||
— | 60 | 17,106 | — | — | — | 26,912 | — | |||||||||||||||||||||||
— | 231 | 53,014 | — | — | 44,975 | 40,026 | — | |||||||||||||||||||||||
— | 289 | 43,581 | — | — | 39,246 | 38,383 | — | |||||||||||||||||||||||
— | 205 | 25,873 | — | — | 28,846 | 22,688 | — | |||||||||||||||||||||||
— | 99 | 7,911 | — | — | 8,177 | 7,518 | — | |||||||||||||||||||||||
— | 564 | 22,958 | — | — | 25,942 | 24,701 | — | |||||||||||||||||||||||
— | 674 | 40,532 | — | — | 22,307 | 34,733 | — | |||||||||||||||||||||||
— | 32 | 15,618 | — | — | 12,198 | 7,397 | — | |||||||||||||||||||||||
474,732 | 3,959 | 3,418,895 | 742,834 | 2,031,433 | 1,562,167 | 1,655,959 | 2,313,809 | |||||||||||||||||||||||
— | (131 | ) | — | (35,657 | ) | — | — | — | — | |||||||||||||||||||||
— | (1,797 | ) | (2,225 | ) | — | — | — | — | — | |||||||||||||||||||||
474,732 | 2,031 | 3,416,670 | 707,177 | 2,031,433 | 1,562,167 | 1,655,959 | 2,313,809 | |||||||||||||||||||||||
1,654,650 | 511 | 5,449,913 | 2,627,803 | 12,149,567 | 8,887,145 | 10,128,280 | 14,587,425 | |||||||||||||||||||||||
206,320 | — | 12,227,164 | 221,196 | (5,196,436 | ) | (7,545,536 | ) | (886,936 | ) | (216,540 | ) | |||||||||||||||||||
— | — | — | — | — | — | — | 2,967,771 | |||||||||||||||||||||||
— | (4,695 | ) | (189,224 | ) | 60,372 | (117,686 | ) | — | — | — | ||||||||||||||||||||
(444,339 | ) | (80,144 | ) | (54,054,876 | ) | (2,381,566 | ) | (28,199,673 | ) | (11,314,780 | ) | (11,967,566 | ) | — | ||||||||||||||||
— | — | — | — | — | — | — | (11,344,185 | ) | ||||||||||||||||||||||
— | (7,650 | ) | 10,919 | 3,279 | (66,424 | ) | — | — | — | |||||||||||||||||||||
(238,019 | ) | (92,489 | ) | (42,006,017 | ) | (2,096,719 | ) | (33,580,219 | ) | (18,860,316 | ) | (12,854,502 | ) | (8,592,954 | ) | |||||||||||||||
$ | 1,416,631 | $ | (91,978 | ) | $ | (36,556,104 | ) | $ | 531,084 | $ | (21,430,652 | ) | $ | (9,973,171 | ) | $ | (2,726,222 | ) | $ | 5,994,471 |
109 | SEE NOTES TO FINANCIAL STATEMENTS |
Statements of Changes in Net Assets |
Large Cap Fund | ||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||
Increase (Decrease) in Net Assets | ||||||||
Operations | ||||||||
Investment income, net | $ | 2,584,076 | $ | 7,248,407 | ||||
Net realized gain (loss) on investments and foreign currency transactions | 66,921,843 | 98,387,289 | ||||||
Change in unrealized appreciation (depreciation) on investments and foreign currency translations | (45,489,249 | ) | 39,988,495 | |||||
Net increase (decrease) in net assets resulting from operations | 24,016,670 | 145,624,191 | ||||||
Distributions to shareholders from: | ||||||||
Net investment income | ||||||||
Investor Class | (3,199 | ) | (4,736 | ) | ||||
Class A | ||||||||
Institutional Class | (2,620,349 | ) | (7,210,885 | ) | ||||
Class R | ||||||||
Realized gains | ||||||||
Investor Class | — | (84,125 | ) | |||||
Class A | ||||||||
Institutional Class | — | (79,554,457 | ) | |||||
Class R | ||||||||
Total distributions to shareholders | (2,623,548 | ) | (86,854,203 | ) | ||||
From capital share transactions: | ||||||||
Investor Class | ||||||||
Proceeds from shares sold | 579,181 | 717,200 | ||||||
Proceeds from reinvestment of distributions | 3,169 | 86,920 | ||||||
Cost of shares redeemed | (243,330 | ) | (4,493 | ) | ||||
Net increase (decrease) from Investor Class transactions | 339,020 | 799,627 | ||||||
Class A | ||||||||
Proceeds from shares sold | ||||||||
Proceeds from reinvestment of distributions | ||||||||
Cost of shares redeemed | ||||||||
Net increase from Class A transactions | ||||||||
Institutional Class | ||||||||
Proceeds from shares sold | 1,704,611 | 2,544,197 | ||||||
Proceeds from reinvestment of distributions | 2,612,291 | 86,548,028 | ||||||
Cost of shares redeemed | (57,022,741 | ) | (219,225,445 | ) | ||||
Net increase (decrease) from Institutional Class transactions | (52,705,839 | ) | (130,133,220 | ) | ||||
Class R | ||||||||
Proceeds from shares sold | ||||||||
Proceeds from reinvestment of distributions | ||||||||
Cost of shares redeemed | ||||||||
Net increase (decrease) from Class R transactions | ||||||||
Net increase (decrease) from capital share transactions | (52,366,819 | ) | (129,333,593 | ) | ||||
Net increase (decrease) in net assets | (30,973,697 | ) | (70,563,605 | ) | ||||
Net assets | ||||||||
Beginning of period | 719,386,964 | 789,950,569 | ||||||
End of period (1) | $ | 688,413,267 | $ | 719,386,964 | ||||
(1) Includes undistributed net investment income (loss) | $ | (39,472 | ) | $ | — |
SEE NOTES TO FINANCIAL STATEMENTS | 110 |
Mid Cap Fund | Small Cap Fund | ESG Beta Quality Fund | ||||||||||||||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||||||||||||
$ | 360,896 | $ | 680,244 | $ | 1,014,505 | $ | 2,969,938 | $ | 1,471,183 | $ | 2,567,507 | |||||||||||
3,738,055 | 13,181,376 | 24,106,182 | 21,960,809 | 9,295,450 | 7,104,679 | |||||||||||||||||
(5,456,677 | ) | 5,874,723 | (12,361,720 | ) | 45,319,689 | (8,525,680 | ) | 30,253,019 | ||||||||||||||
(1,357,726 | ) | 19,736,343 | 12,758,967 | 70,250,436 | 2,240,953 | 39,925,205 | ||||||||||||||||
(2,383 | ) | (2,959 | ) | — | (351,030 | ) | (1,084,080 | ) | (1,885,804 | ) | ||||||||||||
— | (58,113 | ) | (40,556 | ) | (68,358 | ) | ||||||||||||||||
(376,980 | ) | (651,484 | ) | — | (2,071,336 | ) | (455,823 | ) | (538,531 | ) | ||||||||||||
— | — | |||||||||||||||||||||
— | (87,870 | ) | — | (3,765,094 | ) | — | (5,389,556 | ) | ||||||||||||||
— | (566,632 | ) | — | (184,711 | ) | |||||||||||||||||
— | (10,183,452 | ) | — | (8,413,570 | ) | — | (1,358,085 | ) | ||||||||||||||
— | — | |||||||||||||||||||||
(379,363 | ) | (10,925,765 | ) | — | (15,225,775 | ) | (1,580,459 | ) | (9,425,045 | ) | ||||||||||||
126,779 | 910,461 | 17,201,956 | 61,624,298 | 3,536,289 | 11,581,693 | |||||||||||||||||
2,378 | 90,616 | — | 3,938,892 | 1,056,657 | 7,125,272 | |||||||||||||||||
(19,072 | ) | (122,675 | ) | (40,238,979 | ) | (129,180,600 | ) | (19,966,721 | ) | (40,487,056 | ) | |||||||||||
110,085 | 878,402 | (23,037,023 | ) | (63,617,410 | ) | (15,373,775 | ) | (21,780,091 | ) | |||||||||||||
1,861,988 | 9,640,883 | 382,338 | 1,805,111 | |||||||||||||||||||
578,488 | 38,464 | 238,860 | ||||||||||||||||||||
(9,410,048 | ) | (24,878,475 | ) | (398,728 | ) | (1,587,676 | ) | |||||||||||||||
(7,548,060 | ) | (14,659,104 | ) | 22,074 | 456,295 | |||||||||||||||||
132,961 | 169,169 | 119,588,720 | 268,927,524 | 16,369,985 | 18,310,653 | |||||||||||||||||
376,980 | 10,834,936 | — | 8,708,526 | 423,212 | 1,646,124 | |||||||||||||||||
(11,045,345 | ) | (54,513,869 | ) | (157,584,528 | ) | (217,140,698 | ) | (4,553,191 | ) | (9,297,910 | ) | |||||||||||
(10,535,404 | ) | (43,509,764 | ) | (37,995,808 | ) | 60,495,352 | 12,240,006 | 10,658,867 | ||||||||||||||
1,343,627 | 60,075 | |||||||||||||||||||||
— | — | |||||||||||||||||||||
(5,989,744 | ) | (1,766,489 | ) | |||||||||||||||||||
(4,646,117 | ) | (1,706,414 | ) | |||||||||||||||||||
(10,425,319 | ) | (42,631,362 | ) | (68,580,891 | ) | (22,427,279 | ) | (3,111,695 | ) | (12,371,343 | ) | |||||||||||
(12,162,408 | ) | (33,820,784 | ) | (55,821,924 | ) | 32,597,382 | (2,451,201 | ) | 18,128,817 | |||||||||||||
139,661,258 | 173,482,042 | 831,212,497 | 798,615,115 | 212,642,939 | 194,514,122 | |||||||||||||||||
$ | 127,498,850 | $ | 139,661,258 | $ | 775,390,573 | $ | 831,212,497 | $ | 210,191,738 | $ | 212,642,939 | |||||||||||
$ | (18,467 | ) | $ | — | $ | 1,014,506 | $ | — | $ | 56,294 | $ | 165,570 |
111 | SEE NOTES TO FINANCIAL STATEMENTS |
Statements of Changes in Net Assets, continued |
ESG Beta Dividend Fund | ||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||
Increase (Decrease) in Net Assets | ||||||||
Operations | ||||||||
Investment income, net | $ | 1,654,650 | $ | 3,280,434 | ||||
Net realized gain (loss) on investments and foreign currency transactions | 206,320 | 212,681 | ||||||
Change in unrealized appreciation (depreciation) on investments and foreign currency translations | (444,339 | ) | 22,087,907 | |||||
Net increase (decrease) in net assets resulting from operations | 1,416,631 | 25,581,022 | ||||||
Distributions to shareholders from: | ||||||||
Net investment income | ||||||||
Investor Class | (7,423 | ) | (6,438 | ) | ||||
Class A | ||||||||
Institutional Class | (1,551,954 | ) | (3,187,814 | ) | ||||
Class R | ||||||||
Realized gains | ||||||||
Investor Class | — | (539 | ) | |||||
Class A | ||||||||
Institutional Class | �� | — | (229,153 | ) | ||||
Class R | ||||||||
Total distributions to shareholders | (1,559,377 | ) | (3,423,944 | ) | ||||
From capital share transactions: | ||||||||
Investor Class | ||||||||
Proceeds from shares sold | 382,474 | 367,609 | ||||||
Proceeds from reinvestment of distributions | 7,239 | 6,555 | ||||||
Cost of shares redeemed | (19,577 | ) | (53,240 | ) | ||||
Net increase (decrease) from Investor Class transactions | 370,136 | 320,924 | ||||||
Class A | ||||||||
Proceeds from shares sold | ||||||||
Proceeds from reinvestment of distributions | ||||||||
Cost of shares redeemed | ||||||||
Net increase from Class A transactions | ||||||||
Institutional Class | ||||||||
Proceeds from shares sold | 261,147 | 35,312 | ||||||
Proceeds from reinvestment of distributions | 1,551,949 | 3,416,958 | ||||||
Cost of shares redeemed | (20,000,306 | ) | (13,000,000 | ) | ||||
Net increase (decrease) from Institutional Class transactions | (18,187,210 | ) | (9,547,730 | ) | ||||
Class R | ||||||||
Proceeds from shares sold | ||||||||
Proceeds from reinvestment of distributions | ||||||||
Cost of shares redeemed | ||||||||
Net increase (decrease) from Class R transactions | ||||||||
Net increase (decrease) from capital share transactions | (17,817,074 | ) | (9,226,806 | ) | ||||
Net increase (decrease) in net assets | (17,959,820 | ) | 12,930,272 | |||||
Net assets | ||||||||
Beginning of period | 149,531,208 | 136,600,936 | ||||||
End of period (1) | $ | 131,571,388 | $ | 149,531,208 | ||||
(1) Includes undistributed net investment income (loss) | $ | 98,545 | $ | 3,272 |
1 | Commencement of Operations on June 27, 2018. |
SEE NOTES TO FINANCIAL STATEMENTS | 112 |
Global Opportunities Fund | Global Environmental Markets Fund | Global Women’s Leadership Fund | ||||||||||||||||
(Unaudited) Period Ended 6/30/181 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | ||||||||||||||
$ | 511 | $ | 5,449,913 | $ | 2,817,286 | $ | 2,627,803 | $ | 2,543,490 | |||||||||
(4,695 | ) | 12,037,940 | 17,876,323 | 281,568 | 6,246,932 | |||||||||||||
(87,794 | ) | (54,043,957 | ) | 87,077,900 | (2,378,287 | ) | 23,053,549 | |||||||||||
(91,978 | ) | (36,556,104 | ) | 107,771,509 | 531,084 | 31,843,971 | ||||||||||||
— | (897,064 | ) | (528,741 | ) | (1,061,820 | ) | (1,337,614 | ) | ||||||||||
(106,456 | ) | (56,756 | ) | |||||||||||||||
— | (4,201,257 | ) | (2,014,280 | ) | (1,525,459 | ) | (1,252,556 | ) | ||||||||||
— | ||||||||||||||||||
— | — | (4,347,511 | ) | — | (911,492 | ) | ||||||||||||
— | (430,243 | ) | ||||||||||||||||
— | — | (11,964,232 | ) | — | (928,150 | ) | ||||||||||||
— | ||||||||||||||||||
— | (5,204,777 | ) | (19,341,763 | ) | (2,587,279 | ) | (4,429,812 | ) | ||||||||||
1,000 | 13,468,445 | 40,712,990 | 16,912,066 | 24,804,794 | ||||||||||||||
— | 853,408 | 4,691,395 | 999,212 | 2,120,984 | ||||||||||||||
— | (20,799,819 | ) | (41,826,396 | ) | (7,068,042 | ) | (27,493,615 | ) | ||||||||||
1,000 | (6,477,966 | ) | 3,577,989 | 10,843,236 | (567,837 | ) | ||||||||||||
3,291,926 | 4,803,904 | |||||||||||||||||
90,651 | 438,414 | |||||||||||||||||
(1,417,150 | ) | (5,977,573 | ) | |||||||||||||||
1,965,427 | (735,255 | ) | ||||||||||||||||
27,008,652 | 173,739,736 | 194,316,210 | 40,853,680 | 51,128,743 | ||||||||||||||
— | 3,434,108 | 12,649,209 | 1,258,103 | 1,718,620 | ||||||||||||||
— | (33,953,399 | ) | (33,654,349 | ) | (4,934,816 | ) | (8,232,557 | ) | ||||||||||
27,008,652 | 143,220,445 | 173,311,070 | 37,176,967 | 44,614,806 | ||||||||||||||
335,410 | ||||||||||||||||||
— | ||||||||||||||||||
(3,425,230 | ) | |||||||||||||||||
(3,089,820 | ) | |||||||||||||||||
27,009,652 | 138,707,906 | 173,063,984 | 48,020,203 | 44,046,969 | ||||||||||||||
26,917,674 | 96,947,025 | 261,493,730 | 45,964,008 | 71,461,128 | ||||||||||||||
— | 609,698,880 | 348,205,150 | 182,151,553 | 110,690,425 | ||||||||||||||
$ | 26,917,674 | $ | 706,645,905 | $ | 609,698,880 | $ | 228,115,561 | $ | 182,151,553 | |||||||||
$ | 511 | $ | 187,247 | $ | (57,889 | ) | $ | (41,540 | ) | $ | (82,064 | ) |
113 | SEE NOTES TO FINANCIAL STATEMENTS |
Statements of Changes in Net Assets, continued |
EAFE ESG Leaders Index Fund | ||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||
Increase (Decrease) in Net Assets | ||||||||
Operations | ||||||||
Investment income, net | $ | 12,149,567 | $ | 14,135,032 | ||||
Net realized gain (loss) on investments and foreign currency transactions | (5,314,122 | ) | 5,405,870 | |||||
Change in unrealized appreciation (depreciation) on investments and foreign currency translations | (28,266,097 | ) | 96,432,097 | |||||
Net increase (decrease) in net assets resulting from operations | (21,430,652 | ) | 115,972,999 | |||||
Distributions to shareholders from: | ||||||||
Net investment income | ||||||||
Investor Class | (1,673,489 | ) | (2,888,709 | ) | ||||
Class A | ||||||||
Institutional Class | (10,167,516 | ) | (12,664,542 | ) | ||||
Class R | ||||||||
Realized gains | ||||||||
Investor Class | — | — | ||||||
Class A | ||||||||
Institutional Class | — | — | ||||||
Class R | ||||||||
Total distributions to shareholders | (11,841,005 | ) | (15,553,251 | ) | ||||
From capital share transactions: | ||||||||
Investor Class | ||||||||
Proceeds from shares sold | 18,303,024 | 47,763,495 | ||||||
Proceeds from reinvestment of distributions | 1,484,610 | 2,643,375 | ||||||
Cost of shares redeemed | (39,626,704 | ) | (45,743,529 | ) | ||||
Net increase (decrease) from Investor Class transactions | (19,839,070 | ) | 4,663,341 | |||||
Class A | ||||||||
Proceeds from shares sold | ||||||||
Proceeds from reinvestment of distributions | ||||||||
Cost of shares redeemed | ||||||||
Net increase from Class A transactions | ||||||||
Institutional Class | ||||||||
Proceeds from shares sold | 119,988,285 | 198,735,762 | ||||||
Proceeds from reinvestment of distributions | 9,523,848 | 12,038,491 | ||||||
Cost of shares redeemed | (117,054,849 | ) | (132,235,626 | ) | ||||
Net increase (decrease) from Institutional Class transactions | 12,457,284 | 78,538,627 | ||||||
Class R | ||||||||
Proceeds from shares sold | 134,742 | |||||||
Proceeds from reinvestment of distributions | — | |||||||
Cost of shares redeemed | (1,330,457 | ) | ||||||
Net increase (decrease) from Class R transactions | (1,195,715 | ) | ||||||
Net increase (decrease) from capital share transactions | (7,381,786 | ) | 82,006,253 | |||||
Net increase (decrease) in net assets | (40,653,443 | ) | 182,426,001 | |||||
Net assets | ||||||||
Beginning of period | 684,124,126 | 501,698,125 | ||||||
End of period (1) | $ | 643,470,683 | $ | 684,124,126 | ||||
(1) Includes undistributed net investment income (loss) | $ | (1,693,384 | ) | $ | (2,001,946 | ) |
SEE NOTES TO FINANCIAL STATEMENTS | 114 |
Core Bond Fund | High Yield Bond Fund | Balanced Fund | ||||||||||||||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||||||||||||
$ | 8,887,145 | $ | 15,892,219 | $ | 10,128,280 | $ | 21,772,151 | $ | 14,587,425 | $ | 27,691,780 | |||||||||||
(7,545,536 | ) | 763,372 | (886,936 | ) | 6,124,601 | 2,751,231 | 167,900,289 | |||||||||||||||
(11,314,780 | ) | 2,146,891 | (11,967,566 | ) | (2,055,990 | ) | (11,344,185 | ) | 46,071,880 | |||||||||||||
(9,973,171 | ) | 18,802,482 | (2,726,222 | ) | 25,840,762 | 5,994,471 | 241,663,949 | |||||||||||||||
(37,474 | ) | (42,304 | ) | (4,732,150 | ) | (11,466,516 | ) | (25,236,307 | ) | (8,898,099 | ) | |||||||||||
(148,373 | ) | (337,464 | ) | |||||||||||||||||||
(8,835,132 | ) | (15,852,783 | ) | (5,247,791 | ) | (10,044,454 | ) | (7,282,069 | ) | (3,417,417 | ) | |||||||||||
(14,343 | ) | — | ||||||||||||||||||||
— | (4,364 | ) | — | — | — | (144,857,198 | ) | |||||||||||||||
— | — | |||||||||||||||||||||
— | (1,023,179 | ) | — | — | — | (45,823,936 | ) | |||||||||||||||
— | — | |||||||||||||||||||||
(8,872,606 | ) | (16,922,630 | ) | (10,128,314 | ) | (21,862,777 | ) | (32,518,376 | ) | (202,996,650 | ) | |||||||||||
1,154,217 | 3,311,065 | 16,539,612 | 60,328,605 | 42,427,887 | 94,095,851 | |||||||||||||||||
36,098 | 46,088 | 4,496,838 | 10,754,166 | 24,194,072 | 148,520,049 | |||||||||||||||||
(797,974 | ) | (494,080 | ) | (33,709,592 | ) | (100,590,330 | ) | (107,921,223 | ) | (380,905,789 | ) | |||||||||||
392,341 | 2,863,073 | (12,673,142 | ) | (29,507,559 | ) | (41,299,264 | ) | (138,289,889 | ) | |||||||||||||
1,577,674 | 2,521,209 | |||||||||||||||||||||
139,420 | 297,767 | |||||||||||||||||||||
(617,633 | ) | (2,702,362 | ) | |||||||||||||||||||
1,099,461 | 116,614 | |||||||||||||||||||||
261,402 | 82,975,921 | 21,175,572 | 73,274,034 | 45,280,978 | 228,761,939 | |||||||||||||||||
8,819,588 | 16,859,170 | 3,680,611 | 7,388,838 | 6,706,676 | 46,821,995 | |||||||||||||||||
(50,772 | ) | (7,051,447 | ) | (31,394,147 | ) | (42,536,098 | ) | (157,543,360 | ) | (49,604,993 | ) | |||||||||||
9,030,218 | 92,783,644 | (6,537,964 | ) | 38,126,774 | (105,555,706 | ) | 225,978,941 | |||||||||||||||
58,321 | 421,792 | |||||||||||||||||||||
14,197 | — | |||||||||||||||||||||
(877,900 | ) | (6,966,369 | ) | |||||||||||||||||||
(805,382 | ) | (6,544,577 | ) | |||||||||||||||||||
9,422,559 | 95,646,717 | (18,111,645 | ) | 7,930,447 | (146,854,970 | ) | 81,144,475 | |||||||||||||||
(9,423,218 | ) | 97,526,569 | (30,966,181 | ) | 11,908,432 | (173,378,875 | ) | 119,811,774 | ||||||||||||||
700,019,078 | 602,492,509 | 413,305,936 | 401,397,504 | 2,002,365,874 | 1,882,554,100 | |||||||||||||||||
$ | 690,595,860 | $ | 700,019,078 | $ | 382,339,755 | $ | 413,305,936 | $ | 1,828,986,999 | $ | 2,002,365,874 | |||||||||||
$ | 12,213 | $ | (2,326 | ) | $ | (213,769 | ) | $ | (213,735 | ) | $ | 152,334 | $ | 18,083,285 |
115 | SEE NOTES TO FINANCIAL STATEMENTS |
Statements of Changes in Net Assets—Shares of Beneficial Interest |
Large Cap Fund | ||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||
Investor Class | ||||||||
Shares sold | 53,367 | 66,582 | ||||||
Shares issued in reinvestment of distributions | 289 | 8,190 | ||||||
Shares redeemed | (22,652 | ) | (412 | ) | ||||
Net increase (decrease) in shares outstanding | 31,004 | 74,360 | ||||||
Class A | ||||||||
Shares sold | ||||||||
Shares issued in reinvestment of distributions | ||||||||
Shares redeemed | ||||||||
Net increase in shares outstanding | ||||||||
Institutional Class | ||||||||
Shares sold | 157,405 | 239,386 | ||||||
Shares issued in reinvestment of distributions | 237,697 | 8,150,188 | ||||||
Shares redeemed | (5,166,028 | ) | (20,122,892 | ) | ||||
Net increase (decrease) in shares outstanding | (4,770,926 | ) | (11,733,318 | ) | ||||
Class R | ||||||||
Shares sold | ||||||||
Shares issued in reinvestment of distributions | ||||||||
Shares redeemed | ||||||||
Net increase (decrease) in shares outstanding |
ESG Beta Dividend Fund | ||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||
Investor Class | ||||||||
Shares sold | 33,669 | 35,024 | ||||||
Shares issued in reinvestment of distributions | 622 | 591 | ||||||
Shares redeemed | (1,681 | ) | (4,934 | ) | ||||
Net increase (decrease) in shares outstanding | 32,610 | 30,681 | ||||||
Class A | ||||||||
Shares sold | ||||||||
Shares issued in reinvestment of distributions | ||||||||
Shares redeemed | ||||||||
Net increase in shares outstanding | ||||||||
Institutional Class | ||||||||
Shares sold | 22,507 | 3,451 | ||||||
Shares issued in reinvestment of distributions | 133,329 | 309,526 | ||||||
Shares redeemed | (1,746,259 | ) | (1,199,017 | ) | ||||
Net increase (decrease) in shares outstanding | (1,590,423 | ) | (886,040 | ) | ||||
Class R | ||||||||
Shares sold | ||||||||
Shares issued in reinvestment of distributions | ||||||||
Shares redeemed | ||||||||
Net increase (decrease) in shares outstanding |
1 | Commencement of Operations on June 27, 2018. |
SEE NOTES TO FINANCIAL STATEMENTS | 116 |
Mid Cap Fund | Small Cap Fund | ESG Beta Quality Fund | ||||||||||||||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||||||||||||
11,523 | 80,710 | 1,062,265 | 3,987,956 | 177,645 | 637,330 | |||||||||||||||||
214 | 8,156 | 257,954 | 52,834 | 366,696 | ||||||||||||||||||
(1,716 | ) | (10,763 | ) | (2,487,306 | ) | (8,379,786 | ) | (991,962 | ) | (2,206,108 | ) | |||||||||||
10,021 | 78,103 | (1,425,041 | ) | (4,133,876 | ) | (761,483 | ) | (1,202,082 | ) | |||||||||||||
115,181 | 626,850 | 19,295 | 100,972 | |||||||||||||||||||
— | 38,071 | 1,928 | 12,339 | |||||||||||||||||||
(579,444 | ) | (1,588,940 | ) | (20,208 | ) | (83,645 | ) | |||||||||||||||
(464,263 | ) | (924,019 | ) | 1,015 | 29,666 | |||||||||||||||||
11,978 | 15,072 | 7,309,681 | 17,270,957 | 791,045 | 964,010 | |||||||||||||||||
33,962 | 974,870 | — | 563,915 | 20,594 | 82,437 | |||||||||||||||||
(995,926 | ) | (4,879,369 | ) | (9,546,855 | ) | (13,931,801 | ) | (222,825 | ) | (509,915 | ) | |||||||||||
(949,986 | ) | (3,889,427 | ) | (2,237,174 | ) | 3,903,071 | 588,814 | 536,532 | ||||||||||||||
87,827 | 3,443 | |||||||||||||||||||||
— | — | |||||||||||||||||||||
(395,092 | ) | (98,567 | ) | |||||||||||||||||||
(307,265 | ) | (95,124 | ) |
Global Opportunities Fund | Global Environmental Markets Fund | Global Women’s Leadership Fund | |||||||||||||||||||
(Unaudited) Period Ended 6/30/181 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||||||||||||
100 | 844,501 | 2,749,891 | 671,566 | 1,082,859 | |||||||||||||||||
— | 55,669 | 294,192 | 39,809 | 88,070 | |||||||||||||||||
— | (1,308,171 | ) | (2,777,243 | ) | (281,327 | ) | (1,180,407 | ) | |||||||||||||
100 | (408,001 | ) | 266,840 | 430,048 | (9,478 | ) | |||||||||||||||
207,465 | 323,083 | ||||||||||||||||||||
5,925 | 27,546 | ||||||||||||||||||||
(89,531 | ) | (386,717 | ) | ||||||||||||||||||
123,859 | (36,088 | ) | |||||||||||||||||||
2,700,874 | 10,840,353 | 12,731,664 | 1,610,738 | 2,182,540 | |||||||||||||||||
— | 222,705 | 788,198 | 49,885 | 70,269 | |||||||||||||||||
— | (2,135,750 | ) | (2,233,222 | ) | (194,888 | ) | (356,803 | ) | |||||||||||||
2,700,874 | 8,927,308 | 11,286,640 | 1,465,735 | 1,896,006 | |||||||||||||||||
24,488 | |||||||||||||||||||||
— | |||||||||||||||||||||
(238,517 | ) | ||||||||||||||||||||
(214,029 | ) |
117 | SEE NOTES TO FINANCIAL STATEMENTS |
Statements of Changes in Net Assets—Shares of Beneficial Interest, continued |
ESG Leaders Index Fund | ||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||
Investor Class | ||||||||
Shares sold | 1,943,187 | 5,515,881 | ||||||
Shares issued in reinvestment of distributions | 166,064 | 296,232 | ||||||
Shares redeemed | (4,205,589 | ) | (5,154,834 | ) | ||||
Net increase (decrease) in shares outstanding | (2,096,338 | ) | 657,279 | |||||
Class A | ||||||||
Shares sold | ||||||||
Shares issued in reinvestment of distributions | ||||||||
Shares redeemed | ||||||||
Net increase in shares outstanding | ||||||||
Institutional Class | ||||||||
Shares sold | 12,945,674 | 22,849,844 | ||||||
Shares issued in reinvestment of distributions | 1,085,958 | 1,367,862 | ||||||
Shares redeemed | (12,886,776 | ) | (15,850,146 | ) | ||||
Net increase (decrease) in shares outstanding | 1,144,856 | 8,367,560 | ||||||
Class R | ||||||||
Shares sold | 16,744 | |||||||
Shares issued in reinvestment of distributions | — | |||||||
Shares redeemed | (156,425 | ) | ||||||
Net decrease in shares outstanding | (139,681 | ) |
SEE NOTES TO FINANCIAL STATEMENTS | 118 |
Core Bond Fund | High Yield Bond Fund | Balanced Fund | ||||||||||||||||||||
(Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | (Unaudited) Period Ended 6/30/18 | Year Ended 12/31/17 | |||||||||||||||||
117,220 | 328,887 | 2,472,458 | 8,846,297 | 1,856,290 | 4,182,153 | |||||||||||||||||
3,681 | 4,573 | 676,817 | 1,574,174 | 1,082,003 | 6,953,188 | |||||||||||||||||
(81,432 | ) | (48,656 | ) | (5,042,646 | ) | (14,741,633 | ) | (4,731,063 | ) | (16,590,657 | ) | |||||||||||
39,469 | 284,804 | (1,893,371 | ) | (4,321,162 | ) | (1,792,770 | ) | (5,455,316 | ) | |||||||||||||
237,571 | 368,582 | |||||||||||||||||||||
20,973 | 43,511 | |||||||||||||||||||||
(92,437 | ) | (394,550 | ) | |||||||||||||||||||
166,107 | 17,543 | |||||||||||||||||||||
26,711 | 8,281,029 | 3,181,199 | 10,775,047 | 1,949,280 | 9,669,399 | |||||||||||||||||
899,248 | 1,673,238 | 555,888 | 1,085,891 | 295,318 | 2,161,680 | |||||||||||||||||
(5,185 | ) | (696,120 | ) | (4,738,748 | ) | (6,257,459 | ) | (3,916,172 | ) | (2,191,046 | ) | |||||||||||
920,774 | 9,258,147 | (1,001,661 | ) | 5,603,479 | (1,671,574 | ) | 9,640,033 | |||||||||||||||
8,593 | 18,244 | |||||||||||||||||||||
2,076 | — | |||||||||||||||||||||
(127,793 | ) | (296,680 | ) | |||||||||||||||||||
(117,124 | ) | (278,436 | ) |
119 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Financial Highlights |
Selected data for a share outstanding throughout each period. |
Income (loss) from investment operations | Distributions to shareholders | |||||||||||||||||||||||
Net asset value, beginning of period | Net investment income1 | Net realized and unrealized gain (loss) | Total from investment operations | From net investment income | From net realized gains | |||||||||||||||||||
Large Cap Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 10.56 | $ | 0.02 | $ | 0.31 | $ | 0.33 | $ | 0.03 | $ | — | ||||||||||||
Year Ended December 31, 2017 | 9.91 | 0.09 | 1.95 | 2.04 | 0.09 | 1.30 | ||||||||||||||||||
Period Ended December 31, 20165 | 10.00 | — | (0.08 | ) | (0.08 | ) | 0.01 | — | ||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 10.57 | $ | 0.04 | $ | 0.30 | $ | 0.34 | $ | 0.04 | $ | — | ||||||||||||
Year Ended December 31, 2017 | 9.91 | 0.10 | 1.97 | 2.07 | 0.11 | 1.30 | ||||||||||||||||||
Period Ended December 31, 20165 | 10.00 | 0.01 | (0.09 | ) | (0.08 | ) | 0.01 | — | ||||||||||||||||
Mid Cap Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 11.14 | $ | 0.01 | $ | (0.14 | ) | $ | (0.13 | ) | $ | 0.02 | $ | — | ||||||||||
Year Ended December 31, 2017 | 10.62 | 0.03 | 1.41 | 1.44 | 0.03 | 0.89 | ||||||||||||||||||
Period Ended December 31, 20166 | 10.00 | 0.14 | 0.70 | 0.84 | 0.12 | 0.10 | ||||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 11.14 | $ | 0.03 | $ | (0.14 | ) | $ | (0.11 | ) | $ | 0.03 | $ | — | ||||||||||
Year Ended December 31, 2017 | 10.61 | 0.05 | 1.42 | 1.47 | 0.05 | 0.89 | ||||||||||||||||||
Period Ended December 31, 20166 | 10.00 | 0.14 | 0.71 | 0.85 | 0.14 | 0.10 |
1 | Based on average shares outstanding during the period. |
2 | Total return represents aggregate total return for the period indicated, includes reinvestment of all dividends and distributions, and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
3 | Ratios representing periods of less than one year have been annualized. |
4 | Not annualized |
5 | Per share data is reflected from the Fund’s inception date of December 16, 2016. |
SEE NOTES TO FINANCIAL STATEMENTS | 120 |
June 30, 2018 |
Ratios to average net assets3 | ||||||||||||||||||||||||||||||
Total distributions | Net asset value, end of period | Total return2 | Net assets end of period (in $000’s) | Net expenses including reimbursements and waivers | Net investment income | Total expenses excluding reimbursements and waivers | Portfolio Turnover4 | |||||||||||||||||||||||
$ | 0.03 | $ | 10.86 | 3.12 | % | $ | 1,145 | 0.95 | % | 0.51 | % | 0.95 | % | 31 | % | |||||||||||||||
1.39 | 10.56 | 20.65 | % | 786 | 0.95 | % | 0.82 | % | 0.95 | % | 57 | % | ||||||||||||||||||
0.01 | 9.91 | (0.83 | %) | 1 | 0.96 | % | 1.06 | % | 0.96 | % | 3 | %7 | ||||||||||||||||||
$ | 0.04 | $ | 10.87 | 3.23 | % | $ | 687,268 | 0.70 | % | 0.72 | % | 0.70 | % | 31 | % | |||||||||||||||
1.41 | 10.57 | 20.96 | % | 718,601 | 0.70 | % | 0.94 | % | 0.70 | % | 57 | % | ||||||||||||||||||
0.01 | 9.91 | (0.83 | %) | 789,950 | 0.71 | % | 1.31 | % | 0.71 | % | 3 | %7 | ||||||||||||||||||
$ | 0.02 | $ | 10.99 | (1.17 | %) | $ | 1,286 | 1.16 | % | 0.30 | % | 1.16 | % | 25 | % | |||||||||||||||
0.92 | 11.14 | 13.57 | % | 1,191 | 1.14 | % | 0.27 | % | 1.14 | % | 34 | % | ||||||||||||||||||
0.22 | 10.62 | 8.35 | % | 306 | 1.15 | % | 1.82 | % | 1.15 | % | 53 | %7 | ||||||||||||||||||
$ | 0.03 | $ | 11.00 | (0.96 | %) | $ | 126,213 | 0.91 | % | 0.54 | % | 0.91 | % | 25 | % | |||||||||||||||
0.94 | 11.14 | 13.91 | % | 138,470 | 0.89 | % | 0.45 | % | 0.89 | % | 34 | % | ||||||||||||||||||
0.24 | 10.61 | 8.41 | % | 173,176 | 0.90 | % | 1.75 | % | 0.90 | % | 53 | %7 |
6 | Per share data is reflected from the Fund’s inception date of March 31, 2016. |
7 | For purposes of calculating the turnover ratio for the Large Cap Fund and Mid Cap Fund, transactions related to the in-kind subscription have been excluded. |
121 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Financial Highlights, continued |
Selected data for a share outstanding throughout each period. |
Income (loss) from investment operations | Distributions to shareholders | |||||||||||||||||||||||
Net asset value, beginning of period | Net investment income1 | Net realized and unrealized gain (loss) | Total from investment operations | From net investment income | From net realized gains | |||||||||||||||||||
Small Cap Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 16.41 | $ | 0.01 | $ | 0.24 | $ | 0.25 | $ | — | $ | — | ||||||||||||
Year Ended December 31, 2017 | 15.34 | 0.03 | 1.30 | 1.33 | 0.02 | 0.24 | ||||||||||||||||||
Year Ended December 31, 2016 | 13.30 | 0.12 | 2.26 | 2.38 | 0.10 | 0.24 | ||||||||||||||||||
Year Ended December 31, 2015 | 13.92 | 0.03 | (0.56 | ) | (0.53 | ) | 0.02 | 0.07 | ||||||||||||||||
Year Ended December 31, 2014 | 13.58 | 0.12 | 0.83 | 0.95 | 0.10 | 0.51 | ||||||||||||||||||
Year Ended December 31, 2013 | 10.58 | 0.10 | 4.43 | 4.53 | 0.11 | 1.42 | ||||||||||||||||||
Class A | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 16.38 | $ | — | $ | 0.25 | $ | 0.25 | $ | — | $ | — | ||||||||||||
Year Ended December 31, 2017 | 15.31 | 0.03 | 1.30 | 1.33 | 0.02 | 0.24 | ||||||||||||||||||
Year Ended December 31, 2016 | 13.28 | 0.12 | 2.25 | 2.37 | 0.10 | 0.24 | ||||||||||||||||||
Year Ended December 31, 2015 | 13.90 | 0.03 | (0.56 | ) | (0.53 | ) | 0.02 | 0.07 | ||||||||||||||||
Year Ended December 31, 2014 | 13.56 | 0.13 | 0.83 | 0.96 | 0.11 | 0.51 | ||||||||||||||||||
Period Ended December 31, 20135 | 11.83 | 0.13 | 3.15 | 3.28 | 0.13 | 1.42 | ||||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 16.53 | $ | 0.03 | $ | 0.24 | $ | 0.27 | $ | — | $ | — | ||||||||||||
Year Ended December 31, 2017 | 15.44 | 0.07 | 1.32 | 1.39 | 0.06 | 0.24 | ||||||||||||||||||
Year Ended December 31, 2016 | 13.38 | 0.16 | 2.27 | 2.43 | 0.13 | 0.24 | ||||||||||||||||||
Year Ended December 31, 2015 | 14.00 | 0.06 | (0.56 | ) | (0.50 | ) | 0.05 | 0.07 | ||||||||||||||||
Year Ended December 31, 2014 | 13.65 | 0.16 | 0.83 | 0.99 | 0.13 | 0.51 | ||||||||||||||||||
Year Ended December 31, 2013 | 10.62 | 0.15 | 4.44 | 4.59 | 0.14 | 1.42 |
1 | Based on average shares outstanding during the period. |
2 | Total return represents aggregate total return for the period indicated, includes reinvestment of all dividends and distributions, and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
3 | Ratios representing periods of less than one year have been annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | 122 |
June 30, 2018 |
Ratios to average net assets3 | ||||||||||||||||||||||||||||||
Total distributions | Net asset value, end of period | Total return2 | Net assets end of period (in $000’s) | Net expenses including reimbursements and waivers | Net investment income | Total expenses excluding reimbursements and waivers | Portfolio Turnover4 | |||||||||||||||||||||||
$ | — | $ | 16.66 | 1.52 | % | $ | 202,981 | 1.18 | % | 0.07 | % | 1.18 | % | 31 | % | |||||||||||||||
0.26 | 16.41 | 8.77 | % | 223,360 | 1.19 | % | 0.18 | % | 1.19 | % | 56 | % | ||||||||||||||||||
0.34 | 15.34 | 17.90 | % | 272,159 | 1.19 | % | 0.82 | % | 1.19 | % | 49 | % | ||||||||||||||||||
0.09 | 13.30 | (3.85 | %) | 216,844 | 1.22 | % | 0.20 | % | 1.23 | % | 48 | % | ||||||||||||||||||
0.61 | 13.92 | 7.06 | % | 103,508 | 1.24 | % | 0.88 | % | 1.37 | % | 167 | % | ||||||||||||||||||
1.53 | 13.58 | 43.24 | % | 45,890 | 1.24 | % | 0.75 | % | 1.66 | % | 162 | % | ||||||||||||||||||
$ | — | $ | 16.63 | 1.53 | % | $ | 19,789 | 1.18 | % | 0.05 | % | 1.18 | % | 31 | % | |||||||||||||||
0.26 | 16.38 | 8.80 | % | 27,100 | 1.19 | % | 0.19 | % | 1.19 | % | 56 | % | ||||||||||||||||||
0.34 | 15.31 | 17.85 | % | 39,477 | 1.19 | % | 0.84 | % | 1.19 | % | 49 | % | ||||||||||||||||||
0.09 | 13.28 | (3.87 | %) | 28,394 | 1.22 | % | 0.19 | % | 1.23 | % | 48 | % | ||||||||||||||||||
0.62 | 13.90 | 7.10 | % | 19,698 | 1.24 | % | 0.91 | % | 1.37 | % | 167 | % | ||||||||||||||||||
1.55 | 13.56 | 28.10 | % | 3,151 | 1.24 | % | 1.36 | % | 1.66 | % | 162 | % | ||||||||||||||||||
$ | — | $ | 16.80 | 1.63 | % | $ | 552,621 | 0.93 | % | 0.33 | % | 0.93 | % | 31 | % | |||||||||||||||
0.30 | 16.53 | 9.10 | % | 580,752 | 0.95 | % | 0.45 | % | 0.95 | % | 56 | % | ||||||||||||||||||
0.37 | 15.44 | 18.17 | % | 482,315 | 0.94 | % | 1.14 | % | 0.94 | % | 49 | % | ||||||||||||||||||
0.12 | 13.38 | (3.62 | %) | 260,786 | 0.97 | % | 0.44 | % | 0.98 | % | 48 | % | ||||||||||||||||||
0.64 | 14.00 | 7.31 | % | 77,469 | 0.99 | % | 1.14 | % | 1.11 | % | 167 | % | ||||||||||||||||||
1.56 | 13.65 | 43.64 | % | 8,507 | 0.99 | % | 1.10 | % | 1.41 | % | 162 | % |
4 | Not annualized |
5 | Per share data is reflected from class inception date of May 1, 2013. |
123 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Financial Highlights, continued |
Selected data for a share outstanding throughout each period. |
Income (loss) from investment operations | Distributions to shareholders | |||||||||||||||||||||||
Net asset value, beginning of period | Net investment income1 | Net realized and unrealized gain (loss) | Total from investment operations | From net investment income | From net realized gains | |||||||||||||||||||
ESG Beta Quality Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 19.69 | $ | 0.14 | $ | 0.06 | $ | 0.20 | $ | 0.14 | $ | — | ||||||||||||
Year Ended December 31, 2017 | 16.90 | 0.23 | 3.45 | 3.68 | 0.23 | 0.66 | ||||||||||||||||||
Year Ended December 31, 2016 | 17.55 | 0.16 | 0.95 | 1.11 | 0.16 | 1.60 | ||||||||||||||||||
Year Ended December 31, 2015 | 18.26 | 0.03 | 0.38 | 0.41 | 0.03 | 1.09 | ||||||||||||||||||
Year Ended December 31, 2014 | 17.08 | 0.12 | 1.87 | 1.99 | 0.11 | 0.70 | ||||||||||||||||||
Year Ended December 31, 2013 | 13.50 | 0.03 | 3.96 | 3.99 | 0.04 | 0.37 | ||||||||||||||||||
Class A | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 19.65 | $ | 0.16 | $ | 0.03 | $ | 0.19 | $ | 0.14 | $ | — | ||||||||||||
Year Ended December 31, 2017 | 16.86 | 0.23 | 3.45 | 3.68 | 0.23 | 0.66 | ||||||||||||||||||
Year Ended December 31, 2016 | 17.52 | 0.17 | 0.93 | 1.10 | 0.16 | 1.60 | ||||||||||||||||||
Year Ended December 31, 2015 | 18.23 | 0.04 | 0.38 | 0.42 | 0.04 | 1.09 | ||||||||||||||||||
Year Ended December 31, 2014 | 17.06 | 0.08 | 1.91 | 1.99 | 0.12 | 0.70 | ||||||||||||||||||
Period Ended December 31, 20135 | 14.39 | — | 3.09 | 3.09 | 0.05 | 0.37 | ||||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 20.23 | $ | 0.17 | $ | 0.07 | $ | 0.24 | $ | 0.17 | $ | — | ||||||||||||
Year Ended December 31, 2017 | 17.34 | 0.28 | 3.55 | 3.83 | 0.28 | 0.66 | ||||||||||||||||||
Year Ended December 31, 2016 | 17.97 | 0.19 | 0.99 | 1.18 | 0.21 | 1.60 | ||||||||||||||||||
Year Ended December 31, 2015 | 18.66 | 0.08 | 0.39 | 0.47 | 0.07 | 1.09 | ||||||||||||||||||
Year Ended December 31, 2014 | 17.44 | 0.16 | 1.91 | 2.07 | 0.15 | 0.70 | ||||||||||||||||||
Year Ended December 31, 2013 | 13.76 | 0.07 | 4.03 | 4.10 | 0.05 | 0.37 | ||||||||||||||||||
ESG Beta Dividend Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 11.50 | $ | 0.12 | $ | (0.02 | ) | $ | 0.10 | $ | 0.12 | $ | — | |||||||||||
Year Ended December 31, 2017 | 9.86 | 0.22 | 1.67 | 1.89 | 0.23 | 0.02 | ||||||||||||||||||
Period Ended December 31, 20166 | 9.96 | 0.01 | (0.10 | ) | (0.09 | ) | 0.01 | — | ||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 11.50 | $ | 0.14 | $ | (0.01 | ) | $ | 0.13 | $ | 0.13 | $ | — | |||||||||||
Year Ended December 31, 2017 | 9.86 | 0.24 | 1.67 | 1.91 | 0.25 | 0.02 | ||||||||||||||||||
Period Ended December 31, 20166 | 9.96 | 0.01 | (0.10 | ) | (0.09 | ) | 0.01 | — |
1 | Based on average shares outstanding during the period. |
2 | Total return represents aggregate total return for the period indicated, includes reinvestment of all dividends and distributions, and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
3 | Ratios representing periods of less than one year have been annualized. |
4 | Not annualized. |
5 | Per share data is reflected from class inception date of May 1, 2013. |
6 | Per share data is reflected from the Fund’s inception date of December 16, 2016. |
SEE NOTES TO FINANCIAL STATEMENTS | 124 |
June 30, 2018 |
Ratios to average net assets3 | ||||||||||||||||||||||||||||||
Total distributions | Net asset value, end of period | Total return2 | Net assets end of period (in $000’s) | Net expenses including reimbursements and waivers | Net investment income | Total expenses excluding reimbursements and waivers | Portfolio Turnover4 | |||||||||||||||||||||||
$ | 0.14 | $ | 19.75 | 1.03 | % | $ | 149,444 | 0.90 | % | 1.34 | % | 0.90 | % | 38 | % | |||||||||||||||
0.89 | 19.69 | 21.89 | % | 164,016 | 0.90 | % | 1.25 | % | 0.90 | % | 36 | % | ||||||||||||||||||
1.76 | 16.90 | 6.26 | % | 161,041 | 1.07 | % | 0.93 | % | 1.09 | % | 80 | % | ||||||||||||||||||
1.12 | 17.55 | 2.20 | % | 161,334 | 1.24 | % | 0.18 | % | 1.28 | % | 26 | % | ||||||||||||||||||
0.81 | 18.26 | 11.66 | % | 159,794 | 1.26 | % | 0.69 | % | 1.32 | % | 29 | % | ||||||||||||||||||
0.41 | 17.08 | 29.61 | % | 141,698 | 1.29 | % | 0.18 | % | 1.35 | % | 27 | % | ||||||||||||||||||
$ | 0.14 | $ | 19.70 | 0.98 | % | $ | 5,625 | 0.90 | % | 1.33 | % | 0.90 | % | 38 | % | |||||||||||||||
0.89 | 19.65 | 21.96 | % | 5,589 | 0.90 | % | 1.25 | % | 0.90 | % | 36 | % | ||||||||||||||||||
1.76 | 16.86 | 6.24 | % | 4,296 | 1.06 | % | 0.96 | % | 1.09 | % | 80 | % | ||||||||||||||||||
1.13 | 17.52 | 2.24 | % | 3,251 | 1.24 | % | 0.20 | % | 1.28 | % | 26 | % | ||||||||||||||||||
0.82 | 18.23 | 11.68 | % | 1,729 | 1.26 | % | 0.47 | % | 1.33 | % | 29 | % | ||||||||||||||||||
0.42 | 17.06 | 21.58 | % | 289 | 1.29 | % | 0.02 | % | 1.35 | % | 27 | % | ||||||||||||||||||
$ | 0.17 | $ | 20.30 | 1.17 | % | $ | 55,123 | 0.65 | % | 1.57 | % | 0.65 | % | 38 | % | |||||||||||||||
0.94 | 20.23 | 22.22 | % | 43,038 | 0.65 | % | 1.48 | % | 0.65 | % | 36 | % | ||||||||||||||||||
1.81 | 17.34 | 6.49 | % | 27,580 | 0.84 | % | 1.08 | % | 0.84 | % | 80 | % | ||||||||||||||||||
1.16 | 17.97 | 2.50 | % | 38,741 | 0.99 | % | 0.44 | % | 1.03 | % | 26 | % | ||||||||||||||||||
0.85 | 18.66 | 11.91 | % | 37,629 | 1.01 | % | 0.91 | % | 1.07 | % | 29 | % | ||||||||||||||||||
0.42 | 17.44 | 29.93 | % | 28,590 | 1.04 | % | 0.48 | % | 1.10 | % | 27 | % | ||||||||||||||||||
$ | 0.12 | $ | 11.48 | 0.84 | % | $ | 727 | 0.90 | % | 2.10 | % | 0.90 | % | 33 | % | |||||||||||||||
0.25 | 11.50 | 19.24 | % | 353 | 0.90 | % | 2.10 | % | 0.90 | % | 31 | % | ||||||||||||||||||
0.01 | 9.86 | (0.89 | %) | 10 | 0.90 | % | 1.93 | % | 0.90 | % | 0 | %7 | ||||||||||||||||||
$ | 0.13 | $ | 11.50 | 1.10 | % | $ | 130,845 | 0.65 | % | 2.27 | % | 0.65 | % | 33 | % | |||||||||||||||
0.27 | 11.50 | 19.44 | % | 149,178 | 0.65 | % | 2.31 | % | 0.65 | % | 31 | % | ||||||||||||||||||
0.01 | 9.86 | (0.89 | %) | 136,601 | 0.65 | % | 2.18 | % | 0.65 | % | 0 | %7 |
7 | For purposes of calculating the turnover ratio for ESG Beta Dividend Fund, transactions related to the in-kind subscription have been excluded. |
125 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Financial Highlights, continued |
Selected data for a share outstanding throughout each period. |
Income (loss) from investment operations | Distributions to shareholders | |||||||||||||||||||||||
Net asset value, beginning of period | Net investment income1 | Net realized and unrealized gain (loss) | Total from investment operations | From net investment income | From net realized gains | |||||||||||||||||||
Global Opportunities Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 20185 (Unaudited) | $ | 10.00 | $ | 0.00 | 6 | $ | (0.03 | ) | $ | (0.03 | ) | $ | — | $ | — | |||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 20185 (Unaudited) | $ | 10.00 | $ | 0.00 | 6 | $ | (0.03 | ) | $ | (0.03 | ) | $ | — | $ | — | |||||||||
Global Environmental Markets Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 16.11 | $ | 0.09 | $ | (0.92 | ) | $ | (0.83 | ) | $ | 0.10 | $ | — | ||||||||||
Year Ended December 31, 2017 | 13.16 | 0.07 | 3.40 | 3.47 | 0.05 | 0.47 | ||||||||||||||||||
Year Ended December 31, 2016 | 11.96 | 0.08 | 1.19 | 1.27 | 0.07 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 12.25 | 0.04 | (0.21 | ) | (0.17 | ) | 0.04 | 0.08 | ||||||||||||||||
Year Ended December 31, 2014 | 12.80 | 0.07 | (0.42 | ) | (0.35 | ) | 0.12 | 0.08 | ||||||||||||||||
Year Ended December 31, 2013 | 9.88 | 0.07 | 3.07 | 3.14 | 0.20 | 0.02 | ||||||||||||||||||
Class A | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 16.09 | $ | 0.09 | $ | (0.92 | ) | $ | (0.83 | ) | $ | 0.10 | $ | — | ||||||||||
Year Ended December 31, 2017 | 13.14 | 0.07 | 3.40 | 3.47 | 0.05 | 0.47 | ||||||||||||||||||
Year Ended December 31, 2016 | 11.94 | 0.08 | 1.19 | 1.27 | 0.07 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 12.23 | 0.04 | (0.21 | ) | (0.17 | ) | 0.04 | 0.08 | ||||||||||||||||
Year Ended December 31, 2014 | 12.78 | 0.04 | (0.38 | ) | (0.34 | ) | 0.13 | 0.08 | ||||||||||||||||
Period Ended December 31, 20137 | 10.75 | (0.02 | ) | 2.29 | 2.27 | 0.22 | 0.02 | |||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 16.22 | $ | 0.13 | $ | (0.95 | ) | $ | (0.82 | ) | $ | 0.12 | $ | — | ||||||||||
Year Ended December 31, 2017 | 13.24 | 0.10 | 3.44 | 3.54 | 0.09 | 0.47 | ||||||||||||||||||
Year Ended December 31, 2016 | 12.03 | 0.11 | 1.20 | 1.31 | 0.10 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 12.31 | 0.07 | (0.21 | ) | (0.14 | ) | 0.06 | 0.08 | ||||||||||||||||
Year Ended December 31, 2014 | 12.86 | 0.08 | (0.40 | ) | (0.32 | ) | 0.15 | 0.08 | ||||||||||||||||
Year Ended December 31, 2013 | 9.92 | 0.09 | 3.10 | 3.19 | 0.23 | 0.02 |
1 | Based on average shares outstanding during the period. |
2 | Total return represents aggregate total return for the period indicated, includes reinvestment of all dividends and distributions, and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
3 | Ratios representing periods of less than one year have been annualized. |
SEE NOTES TO FINANCIAL STATEMENTS | 126 |
June 30, 2018 |
Ratios to average net assets3 | ||||||||||||||||||||||||||||||
Total distributions | Net asset value, end of period | Total return2 | Net assets end of period (in $000’s) | Net expenses including reimbursements and waivers | Net investment income | Total expenses excluding reimbursements and waivers | Portfolio Turnover4 | |||||||||||||||||||||||
$ | — | $ | 9.97 | (0.30 | %) | $ | 1 | 1.10 | % | 0.00 | % | 2.08 | % | 0 | % | |||||||||||||||
$ | — | $ | 9.97 | (0.30 | %) | $ | 26,917 | 0.92 | % | 0.23 | % | 1.73 | % | 0 | % | |||||||||||||||
$ | 0.10 | $ | 15.18 | (5.17 | %) | $ | 139,278 | 1.21 | % | 1.33 | % | 1.21 | % | 8 | % | |||||||||||||||
0.52 | 16.11 | 26.42 | % | 154,325 | 1.23 | % | 0.46 | % | 1.26 | % | 18 | % | ||||||||||||||||||
0.07 | 13.16 | 10.62 | % | 122,610 | 1.29 | % | 0.61 | % | 1.34 | % | 30 | % | ||||||||||||||||||
0.12 | 11.96 | (1.45 | %) | 104,712 | 1.40 | % | 0.31 | % | 1.41 | % | 22 | % | ||||||||||||||||||
0.20 | 12.25 | (2.78 | %) | 96,255 | 1.40 | % | 0.56 | % | 1.46 | % | 27 | % | ||||||||||||||||||
0.22 | 12.80 | 32.01 | % | 94,214 | 1.40 | % | 0.65 | % | 1.54 | % | 20 | % | ||||||||||||||||||
$ | 0.10 | $ | 15.16 | (5.17 | %) | $ | 16,373 | 1.21 | % | 1.39 | % | 1.21 | % | 8 | % | |||||||||||||||
0.52 | 16.09 | 26.45 | % | 15,383 | 1.23 | % | 0.47 | % | 1.26 | % | 18 | % | ||||||||||||||||||
0.07 | 13.14 | 10.62 | % | 13,042 | 1.30 | % | 0.63 | % | 1.34 | % | 30 | % | ||||||||||||||||||
0.12 | 11.94 | (1.44 | %) | 13,330 | 1.40 | % | 0.30 | % | 1.41 | % | 22 | % | ||||||||||||||||||
0.21 | 12.23 | (2.73 | %) | 9,763 | 1.40 | % | 0.31 | % | 1.46 | % | 27 | % | ||||||||||||||||||
0.24 | 12.78 | 21.32 | % | 2,188 | 1.40 | % | (0.23 | %) | 1.54 | % | 20 | % | ||||||||||||||||||
$ | 0.12 | $ | 15.28 | (5.08 | %) | $ | 550,995 | 0.96 | % | 1.71 | % | 0.96 | % | 8 | % | |||||||||||||||
0.56 | 16.22 | 26.79 | % | 439,991 | 0.98 | % | 0.67 | % | 1.02 | % | 18 | % | ||||||||||||||||||
0.10 | 13.24 | 10.91 | % | 209,759 | 1.04 | % | 0.86 | % | 1.09 | % | 30 | % | ||||||||||||||||||
0.14 | 12.03 | (1.21 | %) | 133,930 | 1.15 | % | 0.55 | % | 1.16 | % | 22 | % | ||||||||||||||||||
0.23 | 12.31 | (2.53 | %) | 87,605 | 1.15 | % | 0.63 | % | 1.21 | % | 27 | % | ||||||||||||||||||
0.25 | 12.86 | 32.37 | % | 42,898 | 1.15 | % | 0.78 | % | 1.29 | % | 20 | % |
4 | Not annualized |
5 | Per share data is reflected from the Fund’s inception date of June 27, 2018. |
6 | Rounds to less than $0.01. |
7 | Per share data is reflected from class inception date of May 1, 2013. |
127 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Financial Highlights, continued |
Selected data for a share outstanding throughout each period. |
Income (loss) from investment operations | Distributions to shareholders | |||||||||||||||||||||||
Net asset value, beginning of period | Net investment income1 | Net realized and unrealized gain (loss) | Total from investment operations | From net investment income | From net realized gains | |||||||||||||||||||
Global Women's Leadership Fund5 | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 25.02 | $ | 0.26 | $ | (0.17 | ) | $ | 0.09 | $ | 0.27 | $ | — | |||||||||||
Year Ended December 31, 2017 | 20.56 | 0.39 | 4.69 | 5.08 | 0.36 | 0.26 | ||||||||||||||||||
Year Ended December 31, 2016 | 19.75 | 0.39 | 0.79 | 1.18 | 0.37 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 20.43 | 0.33 | (0.53 | ) | (0.20 | ) | 0.32 | 0.16 | ||||||||||||||||
Year Ended December 31, 2014 | 21.78 | 0.47 | 0.84 | 1.31 | 0.45 | 2.21 | ||||||||||||||||||
Year Ended December 31, 2013 | 17.67 | 0.23 | 4.07 | 4.30 | 0.19 | — | ||||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 25.13 | $ | 0.32 | $ | (0.19 | ) | $ | 0.13 | $ | 0.30 | $ | — | |||||||||||
Year Ended December 31, 2017 | 20.65 | 0.43 | 4.73 | 5.16 | 0.42 | 0.26 | ||||||||||||||||||
Year Ended December 31, 2016 | 19.83 | 0.42 | 0.82 | 1.24 | 0.42 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 20.52 | 0.38 | (0.54 | ) | (0.16 | ) | 0.37 | 0.16 | ||||||||||||||||
Year Ended December 31, 2014 | 21.86 | 0.39 | 0.99 | 1.38 | 0.51 | 2.21 | ||||||||||||||||||
Year Ended December 31, 2013 | 17.71 | 0.29 | 4.08 | 4.37 | 0.22 | — | ||||||||||||||||||
EAFE ESG Leaders Index Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 9.36 | $ | 0.12 | $ | (0.40 | ) | $ | (0.28 | ) | $ | 0.15 | $ | — | ||||||||||
Year Ended December 31, 2017 | 7.79 | 0.21 | 1.57 | 1.78 | 0.21 | — | ||||||||||||||||||
Year Ended December 31, 2016 | 8.13 | 0.20 | (0.35 | ) | (0.15 | ) | 0.19 | — | ||||||||||||||||
Year Ended December 31, 2015 | 8.19 | 0.16 | (0.08 | ) | 0.08 | 0.14 | 0.00 | 9 | ||||||||||||||||
Period Ended December 31, 20146 | 8.84 | 0.20 | (0.70 | ) | (0.50 | ) | 0.11 | 0.04 | ||||||||||||||||
Institutional Class7 | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 9.19 | $ | 0.18 | $ | (0.44 | ) | $ | (0.26 | ) | $ | 0.17 | $ | — | ||||||||||
Year Ended December 31, 2017 | 7.65 | 0.21 | 1.56 | 1.77 | 0.23 | — | ||||||||||||||||||
Year Ended December 31, 2016 | 7.99 | 0.21 | (0.34 | ) | (0.13 | ) | 0.21 | — | ||||||||||||||||
Year Ended December 31, 2015 | 8.05 | 0.18 | (0.08 | ) | 0.10 | 0.16 | 0.00 | 9 | ||||||||||||||||
Year Ended December 31, 2014 | 8.84 | 0.34 | (0.80 | ) | (0.46 | ) | 0.29 | 0.04 | ||||||||||||||||
Year Ended December 31, 2013 | 7.23 | 0.19 | 1.51 | 1.70 | 0.17 | — |
1 | Based on average shares outstanding during the period. |
2 | Total return represents aggregate total return for the period indicated, includes reinvestment of all dividends and distributions, and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
3 | Ratios representing periods of less than one year have been annualized. |
4 | Not annualized. |
5 | Effective June 4, 2014, the Global Women’s Leadership Fund acquired the assets of the Pax World Global Women’s Equality Fund, Pax World Global Women’s Equality Fund (the “Predecessor Fund”) is treated as the survivor of the Reorganization for accounting and performance reporting purposes. Accordingly, all performance and other information shown for periods prior to June 4, 2014 is that of the Predecessor Fund and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
6 | Per share data is reflected from class inception date of March 31, 2014 |
7 | Pax MSCI International ESG Index Fund acquired the assets of Pax World International Fund, a series of Pax World Funds Series Trust I, and the assets of Pax MSCI EAFE ESG Index ETF, a series of Pax World Funds Trust II, on March 31, 2014 (the “Reorganizations”). Pax MSCI EAFE ESG Index ETF (the “Predecessor Fund”) is treated as the survivor of the Reorganizations for accounting and performance reporting purposes. Accordingly, performance information shown for periods prior to the |
SEE NOTES TO FINANCIAL STATEMENTS | 128 |
June 30, 2018 |
Ratios to average net assets3 | ||||||||||||||||||||||||||||||
Total distributions | Net asset value, end of period | Total return2 | Net assets end of period (in $000’s) | Net expenses including reimbursements and waivers | Net investment income | Total expenses excluding reimbursements and waivers | Portfolio Turnover4 | |||||||||||||||||||||||
$ | 0.27 | $ | 24.84 | 0.35 | % | $ | 98,377 | 0.83 | % | 2.39 | % | 0.86 | % | 28 | %8 | |||||||||||||||
0.62 | 25.02 | 24.86 | % | 88,332 | 0.90 | % | 1.69 | % | 0.90 | % | 56 | %8 | ||||||||||||||||||
0.37 | 20.56 | 6.01 | % | 72,771 | 0.92 | % | 1.93 | % | 0.92 | % | 49 | %8 | ||||||||||||||||||
0.48 | 19.75 | (1.08 | %) | 64,587 | 0.98 | % | 1.62 | % | 0.98 | % | 50 | %8 | ||||||||||||||||||
2.66 | 20.43 | 5.95 | % | 55,548 | 1.09 | % | 2.13 | % | 1.22 | % | 134 | %8 | ||||||||||||||||||
0.19 | 21.78 | 24.56 | % | 44,461 | 1.24 | % | 1.17 | % | 1.59 | % | 28 | % | ||||||||||||||||||
$ | 0.30 | $ | 24.96 | 0.50 | % | $ | 129,739 | 0.58 | % | 2.73 | % | 0.61 | % | 28 | %8 | |||||||||||||||
0.68 | 25.13 | 25.14 | % | 93,820 | 0.65 | % | 1.84 | % | 0.65 | % | 56 | %8 | ||||||||||||||||||
0.42 | 20.65 | 6.30 | % | 37,920 | 0.67 | % | 2.09 | % | 0.67 | % | 49 | %8 | ||||||||||||||||||
0.53 | 19.83 | (0.86 | %) | 20,422 | 0.74 | % | 1.85 | % | 0.74 | % | 50 | %8 | ||||||||||||||||||
2.72 | 20.52 | 6.21 | % | 13,146 | 0.78 | % | 1.73 | % | 0.84 | % | 134 | %8 | ||||||||||||||||||
0.22 | 21.86 | 24.88 | % | 1,914 | 0.99 | % | 1.51 | % | 1.34 | % | 28 | % | ||||||||||||||||||
$ | 0.15 | $ | 8.93 | (2.96 | %) | $ | 99,336 | 0.80 | % | 3.42 | % | 0.80 | % | 20 | %10 | |||||||||||||||
0.21 | 9.36 | 23.01 | % | 123,776 | 0.80 | % | 2.38 | % | 0.80 | % | 42 | %10 | ||||||||||||||||||
0.19 | 7.79 | (1.85 | %) | 97,924 | 0.80 | % | 2.55 | % | 0.80 | % | 44 | %10 | ||||||||||||||||||
0.14 | 8.13 | 0.91 | % | 67,823 | 0.80 | % | 1.94 | % | 0.80 | % | 86 | %10 | ||||||||||||||||||
0.15 | 8.19 | (5.75 | %) | 37,603 | 0.80 | % | 2.27 | % | 0.80 | % | 36 | %10,11 | ||||||||||||||||||
$ | 0.17 | $ | 8.76 | (2.87 | %) | $ | 544,134 | 0.55 | % | 3.58 | % | 0.55 | % | 20 | %10 | |||||||||||||||
0.23 | 9.19 | 23.34 | % | 560,348 | 0.55 | % | 2.47 | % | 0.55 | % | 42 | %10 | ||||||||||||||||||
0.21 | 7.65 | (1.63 | %) | 402,694 | 0.55 | % | 2.76 | % | 0.55 | % | 44 | %10 | ||||||||||||||||||
0.16 | 7.99 | 1.16 | % | 324,651 | 0.55 | % | 2.13 | % | 0.55 | % | 86 | %10 | ||||||||||||||||||
0.33 | 8.05 | (5.49 | %) | 89,098 | 0.55 | % | 3.91 | % | 0.55 | % | 36 | %10,11 | ||||||||||||||||||
0.17 | 8.84 | 24.96 | % | 58,549 | 0.55 | % | 2.34 | % | 0.55 | % | 12 | % |
Reorganization is that of the Predecessor Fund. Per share data shown for periods prior to the Reorganization has been restated to reflect the share conversion that occurred upon completion of the Reorganizations.
8 | To manage cash flows, minimize trading costs and equitize cash balances in between trading blocks of securities, the Global Women’s Leadership Fund utilizes one or more exchange-traded funds (ETFs), the combination of which is intended to track the Fund’s broad-based benchmark. These investments are frequent and short-term, however, the Fund is required to include such ETF investment activity in the calculation of its portfolio turnover. Had such transactions been excluded, the portfolio turnover would have been 3% for the period ended June 30, 2018, 25% for the year ended December 31, 2017, 21% for the year ended December 31, 2016, 25% for the year ended December 31, 2015, and 99% for the year ended December 31, 2014. |
9 | Rounds to less than $0.01 |
10 | To manage cash flows, minimize trading costs and equitize cash balances in between trading blocks of securities, the ESG Leaders Index Fund utilizes one or more exchange-traded funds (ETFs) which have an investment objective that tracks the Fund’s broad-based benchmark. These investments are frequent and short-term, however, the Fund is required to include such ETF investment activity in the calculation of its portfolio turnover. Had such transactions been excluded, the portfolio turnover would have been 8% for the period ended June 30, 2018, 16% for the year ended December 31, 2017, 10% for the year ended December 31, 2016, 8% for the year ended December 31, 2015, and 15% for the year ended December 31, 2014. |
11 | For purposes of calculating turnover ratio for the ESG Leaders Index Fund, transactions related to the Reorganization have been excluded. |
129 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Financial Highlights, continued |
Selected data for a share outstanding throughout each period. |
Income (loss) from investment operations | Distributions to shareholders | |||||||||||||||||||||||
Net asset value, beginning of period | Net investment income1 | Net realized and unrealized gain (loss) | Total from investment operations | From net investment income | From net realized gains | |||||||||||||||||||
Core Bond Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 10.04 | $ | 0.10 | $ | (0.26 | ) | $ | (0.16 | ) | $ | 0.11 | $ | — | ||||||||||
Year Ended December 31, 2017 | 10.01 | 0.21 | 0.04 | 0.25 | 0.21 | 0.01 | ||||||||||||||||||
Period Ended December 31, 20165 | 9.93 | 0.01 | 0.08 | 0.09 | 0.01 | — | ||||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 10.04 | $ | 0.13 | $ | (0.27 | ) | $ | (0.14 | ) | $ | 0.13 | $ | — | ||||||||||
Year Ended December 31, 2017 | 10.01 | 0.24 | 0.04 | 0.28 | 0.24 | 0.01 | ||||||||||||||||||
Period Ended December 31, 20165 | 9.93 | 0.01 | 0.08 | 0.09 | 0.01 | — | ||||||||||||||||||
High Yield Bond Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 6.78 | $ | 0.16 | $ | (0.21 | ) | $ | (0.05 | ) | $ | 0.17 | $ | — | ||||||||||
Year Ended December 31, 2017 | 6.71 | 0.35 | 0.07 | 0.42 | 0.35 | — | ||||||||||||||||||
Year Ended December 31, 2016 | 6.25 | 0.38 | 0.45 | 0.83 | 0.37 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 7.03 | 0.40 | (0.78 | ) | (0.38 | ) | 0.40 | — | ||||||||||||||||
Year Ended December 31, 2014 | 7.57 | 0.44 | (0.53 | ) | (0.09 | ) | 0.44 | 0.01 | ||||||||||||||||
Year Ended December 31, 2013 | 7.53 | 0.46 | 0.07 | 0.53 | 0.48 | 0.01 | ||||||||||||||||||
Class A | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 6.79 | $ | 0.16 | $ | (0.21 | ) | $ | (0.05 | ) | $ | 0.17 | $ | — | ||||||||||
Year Ended December 31, 2017 | 6.72 | 0.35 | 0.07 | 0.42 | 0.35 | — | ||||||||||||||||||
Year Ended December 31, 2016 | 6.26 | 0.38 | 0.45 | 0.83 | 0.37 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 7.04 | 0.40 | (0.78 | ) | (0.38 | ) | 0.40 | — | ||||||||||||||||
Year Ended December 31, 2014 | 7.57 | 0.43 | (0.51 | ) | (0.08 | ) | 0.44 | 0.01 | ||||||||||||||||
Period Ended December 31, 20138 | 7.67 | 0.29 | (0.08 | ) | 0.21 | 0.30 | 0.01 | |||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 6.75 | $ | 0.18 | $ | (0.22 | ) | $ | (0.04 | ) | $ | 0.17 | $ | — | ||||||||||
Year Ended December 31, 2017 | 6.68 | 0.36 | 0.08 | 0.44 | 0.37 | — | ||||||||||||||||||
Year Ended December 31, 2016 | 6.23 | 0.39 | 0.45 | 0.84 | 0.39 | — | ||||||||||||||||||
Year Ended December 31, 2015 | 7.01 | 0.42 | (0.78 | ) | (0.36 | ) | 0.42 | — | ||||||||||||||||
Year Ended December 31, 2014 | 7.54 | 0.46 | (0.52 | ) | (0.06 | ) | 0.46 | 0.01 | ||||||||||||||||
Year Ended December 31, 2013 | 7.50 | 0.47 | 0.05 | 0.52 | 0.47 | 0.01 |
1 | Based on average shares outstanding during the period. |
2 | Total return represents aggregate total return for the period indicated, includes reinvestment of all dividends and distributions, and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
3 | Ratios representing periods of less than one year have been annualized. |
4 | Not annualized |
5 | Per share data is reflected from the Fund’s inception date of December 16, 2016. |
6 | For purposes of calculating the turnover rate for the Core Bond Fund, transactions related to the in-kind subscription have been excluded. |
SEE NOTES TO FINANCIAL STATEMENTS | 130 |
June 30, 2018 |
Ratios to average net assets3 | ||||||||||||||||||||||||||||||
Total distributions | Net asset value, end of period | Total return2 | Net assets end of period (in $000’s) | Net expenses including reimbursements and waivers | Net investment income | Total expenses excluding reimbursements and waivers | Portfolio Turnover4 | |||||||||||||||||||||||
$ | 0.11 | $ | 9.77 | (1.55 | %) | $ | 3,275 | 0.71 | % | 2.36 | % | 0.71 | % | 35 | % | |||||||||||||||
0.22 | 10.04 | 2.56 | % | 2,969 | 0.71 | % | 2.11 | % | 0.71 | % | 60 | % | ||||||||||||||||||
0.01 | 10.01 | 0.87 | % | 109 | 0.74 | % | 1.99 | % | 0.74 | % | 1 | %6 | ||||||||||||||||||
$ | 0.13 | $ | 9.77 | (1.43 | %) | $ | 687,321 | 0.46 | % | 2.61 | % | 0.46 | % | 35 | % | |||||||||||||||
0.25 | 10.04 | 2.82 | % | 697,050 | 0.46 | % | 2.34 | % | 0.46 | % | 60 | % | ||||||||||||||||||
0.01 | 10.01 | 0.93 | % | 602,384 | 0.49 | % | 2.23 | % | 0.49 | % | 1 | %6 | ||||||||||||||||||
$ | 0.17 | $ | 6.56 | (0.81 | %) | $ | 183,130 | 0.97 | % | 4.99 | % | 0.97 | % | 35 | % | |||||||||||||||
0.35 | 6.78 | 6.37 | % | 201,953 | 0.99 | % | 5.14 | % | 0.99 | % | 91 | % | ||||||||||||||||||
0.37 | 6.71 | 13.81 | % | 228,936 | 0.99 | % | 5.90 | % | 0.99 | % | 111 | % | ||||||||||||||||||
0.40 | 6.25 | (5.74 | %) | 242,038 | 0.96 | % | 5.82 | % | 0.96 | % | 78 | % | ||||||||||||||||||
0.45 | 7.03 | (1.41 | %)7 | 351,180 | 0.98 | % | 5.81 | % | 0.98 | % | 74 | % | ||||||||||||||||||
0.49 | 7.57 | 6.91 | % | 472,484 | 0.96 | % | 6.05 | % | 0.96 | % | 58 | % | ||||||||||||||||||
$ | 0.17 | $ | 6.57 | (0.81 | %) | $ | 6,707 | 0.97 | % | 4.52 | % | 0.97 | % | 35 | % | |||||||||||||||
0.35 | 6.79 | 6.36 | % | 5,798 | 0.99 | % | 5.13 | % | 0.99 | % | 91 | % | ||||||||||||||||||
0.37 | 6.72 | 13.80 | % | 5,623 | 0.98 | % | 5.88 | % | 0.98 | % | 111 | % | ||||||||||||||||||
0.40 | 6.26 | (5.73 | %) | 5,923 | 0.96 | % | 5.87 | % | 0.96 | % | 78 | % | ||||||||||||||||||
0.45 | 7.04 | (1.27 | %)7 | 3,061 | 0.98 | % | 5.80 | % | 0.98 | % | 74 | % | ||||||||||||||||||
0.31 | 7.57 | 2.78 | % | 786 | 0.96 | % | 5.87 | % | 0.96 | % | 58 | % | ||||||||||||||||||
$ | 0.17 | $ | 6.54 | (0.55 | %) | $ | 192,503 | 0.72 | % | 5.24 | % | 0.72 | % | 35 | % | |||||||||||||||
0.37 | 6.75 | 6.64 | % | 205,555 | 0.74 | % | 5.37 | % | 0.74 | % | 91 | % | ||||||||||||||||||
0.39 | 6.68 | 13.96 | % | 166,051 | 0.74 | % | 6.15 | % | 0.74 | % | 111 | % | ||||||||||||||||||
0.42 | 6.23 | (5.54 | %) | 162,425 | 0.71 | % | 6.08 | % | 0.71 | % | 78 | % | ||||||||||||||||||
0.47 | 7.01 | (1.05 | %)7 | 201,435 | 0.73 | % | 6.07 | % | 0.73 | % | 74 | % | ||||||||||||||||||
0.48 | 7.54 | 7.18 | % | 187,522 | 0.71 | % | 6.32 | % | 0.71 | % | 58 | % |
7 | In 2014, the Investment Adviser reimbursed the Fund $90,278 for a realized loss incurred by the Fund due to a trading error. Before the reimbursement from Adviser for the loss on trading error, the difference in the total return for the year would have been less than 0.005% for each class of shares. |
8 | Per share data is reflected from class inception date of May 1, 2013. |
131 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Financial Highlights, continued |
Selected data for a share outstanding throughout each period. |
Income (loss) from investment operations | Distributions to shareholders | |||||||||||||||||||||||
Net asset value, beginning of period | Net investment income1 | Net realized and unrealized gain (loss) | Total from investment operations | From net investment income | From net realized gains | |||||||||||||||||||
Balanced Fund | ||||||||||||||||||||||||
Investor Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 22.66 | $ | 0.18 | $ | (0.09 | ) | $ | 0.09 | $ | 0.40 | $ | — | |||||||||||
Year Ended December 31, 2017 | 22.34 | 0.30 | 2.55 | 2.85 | 0.20 | 2.33 | ||||||||||||||||||
Year Ended December 31, 2016 | 21.76 | 0.29 | 0.97 | 1.26 | 0.29 | 0.39 | ||||||||||||||||||
Year Ended December 31, 2015 | 23.70 | 0.25 | (0.37 | ) | (0.12 | ) | 0.20 | 1.62 | ||||||||||||||||
Year Ended December 31, 2014 | 24.47 | 0.23 | 1.72 | 1.95 | 0.22 | 2.50 | ||||||||||||||||||
Year Ended December 31, 2013 | 23.73 | 0.28 | 3.54 | 3.82 | 0.21 | 2.87 | ||||||||||||||||||
Institutional Class | ||||||||||||||||||||||||
Period Ended June 30, 2018 (Unaudited) | $ | 23.01 | $ | 0.24 | $ | (0.11 | ) | $ | 0.13 | $ | 0.43 | $ | — | |||||||||||
Year Ended December 31, 2017 | 22.63 | 0.41 | 2.53 | 2.94 | 0.23 | 2.33 | ||||||||||||||||||
Year Ended December 31, 2016 | 22.04 | 0.35 | 0.98 | 1.33 | 0.35 | 0.39 | ||||||||||||||||||
Year Ended December 31, 2015 | 23.97 | 0.32 | (0.37 | ) | (0.05 | ) | 0.26 | 1.62 | ||||||||||||||||
Year Ended December 31, 2014 | 24.73 | 0.29 | 1.74 | 2.03 | 0.29 | 2.50 | ||||||||||||||||||
Year Ended December 31, 2013 | 23.94 | 0.35 | 3.58 | 3.93 | 0.27 | 2.87 |
1 | Based on average shares outstanding during the period. |
2 | Total return represents aggregate total return for the period indicated, includes reinvestment of all dividends and distributions, and does not reflect the deduction of any applicable sales charges. Total returns for periods of less than one year have not been annualized. |
3 | Ratios representing periods of less than one year have been annualized. |
4 | Not annualized |
5 | The expense ratio of the Balanced Fund does not include indirect expenses of the underlying funds in which the Fund invests. |
SEE NOTES TO FINANCIAL STATEMENTS | 132 |
June 30, 2018 |
Ratios to average net assets3 | ||||||||||||||||||||||||||||||
Total distributions | Net asset value, end of period | Total return2 | Net assets end of period (in $000’s) | Net expenses including reimbursements and waivers | Net investment income | Total expenses excluding reimbursements and waivers | Portfolio Turnover4 | |||||||||||||||||||||||
$ | 0.40 | $ | 22.35 | 0.39 | %6 | $ | 1,435,574 | 0.30 | %5 | 1.48 | %6 | 0.30 | %5 | 4 | % | |||||||||||||||
2.53 | 22.66 | 13.16 | % | 1,496,146 | 0.29 | % | 1.33 | % | 0.30 | % | 14 | % | ||||||||||||||||||
0.68 | 22.34 | 5.81 | % | 1,596,717 | 0.77 | % | 1.31 | % | 0.87 | % | 49 | % | ||||||||||||||||||
1.82 | 21.76 | (0.53 | %) | 1,596,682 | 0.87 | % | 1.08 | % | 0.90 | % | 61 | % | ||||||||||||||||||
2.72 | 23.70 | 8.00 | % | 1,740,414 | 0.91 | % | 0.91 | % | 0.92 | % | 52 | % | ||||||||||||||||||
3.08 | 24.47 | 16.34 | % | 1,771,519 | 0.91 | % | 1.12 | % | 0.92 | % | 62 | % | ||||||||||||||||||
$ | 0.43 | $ | 22.71 | 0.55 | %6 | $ | 393,413 | 0.05 | %5 | 1.64 | %6 | 0.05 | %5 | 4 | % | |||||||||||||||
2.56 | 23.01 | 13.42 | % | 506,220 | 0.04 | % | 1.79 | % | 0.05 | % | 14 | % | ||||||||||||||||||
0.74 | 22.63 | 6.06 | % | 279,574 | 0.52 | % | 1.56 | % | 0.62 | % | 49 | % | ||||||||||||||||||
1.88 | 22.04 | (0.23 | %) | 256,640 | 0.62 | % | 1.34 | % | 0.65 | % | 61 | % | ||||||||||||||||||
2.79 | 23.97 | 8.21 | % | 248,979 | 0.66 | % | 1.16 | % | 0.67 | % | 52 | % | ||||||||||||||||||
3.14 | 24.73 | 16.70 | % | 225,325 | 0.66 | % | 1.37 | % | 0.67 | % | 62 | % |
Indirect expenses of the underlying funds for the period of January 1, 2018 through June 30, 2018 were 0.61% and for the year ended December 31, 2017 were 0.61%.
6 | In 2018, the Adviser reimbursed the Fund for expense overpayments related to transfer agent fees in the amount of $223,088 (see Note B). Before the reimbursement by the adviser, total returns for Investor Class and Institutional Class would have remained the same at 0.39% and 0.55%, respectively. The Net Investment Income for Investor Class and Institutional Class would have been 1.46% and 1.62%, respectively. |
133 | SEE NOTES TO FINANCIAL STATEMENTS |
June 30, 2018 |
Notes to Financial Statements (Unaudited) |
Pax World Funds Series Trust I and Pax World Fund Series Trust III
NOTE A—Organization and Summary of Significant Accounting Policies
Organization Pax World Funds Series Trust I (“Trust I”), which is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), is an open-end management investment company organized under the laws of the Commonwealth of Massachusetts on May 25, 2006. As of June 30, 2018, Trust I offered eleven investment funds: Pax Large Cap Fund (the “Large Cap Fund”), Pax Mid Cap Fund (the “Mid Cap Fund”), Pax Small Cap Fund (the “Small Cap Fund”), Pax ESG Beta Quality Fund (the “ESG Beta Quality Fund”), Pax ESG Beta Dividend Fund (the “ESG Beta Dividend Fund”), Pax Global Opportunities Fund (the “Global Opportunities Fund”), Pax Global Environmental Markets Fund (the “Global Environmental Markets Fund”), Pax MSCI EAFE ESG Leaders Index Fund (the “EAFE ESG Leaders Fund”), Pax Core Bond Fund (the “Core Bond Fund”), Pax High Yield Bond Fund (the “High Yield Bond Fund”), and Pax Balanced Fund (the “Balanced Fund”).
Pax World Funds Series Trust III (“Trust III”) is an open-end management investment company that was organized under the laws of the Commonwealth of Massachusetts on December 4, 2013 and registered under the 1940 Act. Pax Ellevate Global Women’s Leadership Fund (the “Global Women’s Leadership Fund”) is a diversified series of Trust III.
These financial statements relate to all funds (each a “Fund”, collectively, the “Funds”) offered under both Trust I and Trust III (each a “Trust”, collectively, the “Trusts”).
Effective June 27, 2018, the Global Opportunities Fund commenced operations.
The Large Cap Fund, Mid Cap Fund, ESG Beta Dividend Fund, Global Opportunities Fund, Global Women’s Leadership Fund, EAFE ESG Leaders Fund, Core Bond Fund and Balanced Fund each offer two classes of shares—Investor Class shares and Institutional Class shares. The Small Cap Fund, ESG Beta Quality Fund, Global Environmental Markets Fund and High Yield Bond Fund each offer three classes of shares—Investor Class shares, Class A shares and Institutional Class shares. Although all share classes generally have identical voting, dividend and liquidation rights, each class votes separately when required by law. Different share classes pay different distribution amounts to the extent the expenses of such classes differ, and distributions in liquidation will be proportional to the net asset value of each share class. Each share class has its own expense structure and sales charges, as applicable.
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The Funds seek to avoid investing in issuers that their investment adviser has determined are involved in the manufacture or sale of weapons or manufacture of tobacco products or engage in business practices that their investment adviser determines to be sub-standard from an ESG or sustainability perspective in relation to their industry, sector, asset class or universe peers.
The Large Cap Fund’s investment objective is to seek long-term growth of capital. The Fund seeks to achieve this objective by investing, under normal market conditions, at least 80% of its assets in equity securities (such as common stocks, securities convertible into common or preferred stocks and warrants) of companies that, when purchased, have market capitalizations within the range of the Standard & Poor’s 500 Index as measured by market capitalization.
The Mid Cap Fund’s investment objective is to seek long-term growth of capital. The Fund seeks to achieve this objective by investing, under normal market conditions, at least 80% of its assets in equity securities (such as common stocks, securities convertible into common or preferred stocks and warrants) of companies that, when purchased, have capitalizations within the range of the Russell Midcap Index as measured by market capitalization.
The Small Cap Fund’s investment objective is to seek long-term growth of capital. The Fund seeks to achieve this objective by investing, under normal market conditions, at least 80% of its assets in equity securities (such as common stocks, securities convertible into common or preferred stocks and warrants) of companies that, when purchased, have capitalizations within the range of the Russell 2000 Index as measured by market capitalization.
The ESG Beta Quality Fund’s investment objective is to seek long-term growth of capital. The Fund seeks to achieve this objective by investing, under normal market conditions, primarily in large-capitalization domestic equity securities that the Adviser believes have strong Environmental, Social and Governance (ESG) profiles and that exhibit higher “quality” characteristics and reasonable valuations.
The ESG Beta Dividend Fund’s primary investment objective is income and capital appreciation. As a secondary objective and to the extent consistent with its primary investment objective, the ESG Beta Dividend Fund seeks capital preservation. The Fund seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in equity securities that pay dividends.
The Global Opportunities Fund’s investment objective is to seek long term growth of capital by investing in companies benefiting from the transition to a more sustainable global economy. The Fund seeks to achieve this objective by investing,
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under normal market conditions, at least 80% of its net assets in companies located around the world, including at least 40% of its net assets in securities of companies that its Adviser or Sub-Adviser believe will benefit from the transition to a more sustainable global economy - the shift away from a depletive economy to one that preserves ecological and societal balance for the benefit of future generations. The Fund seeks to invest in companies with durable business models that are well-positioned to benefit from or avoid the risks associated with this transition. Under normal market conditions, the Global Opportunities Fund will invest primarily in equity securities (such as common stocks, preferred stocks and securities convertible into common or preferred stocks) of companies organized or located outside the United States or doing a substantial amount of business outside the United States, including those located in emerging markets.
The Global Environmental Markets Fund’s investment objective is to seek long term growth of capital by investing in innovative companies around the world whose businesses and technologies focus on environmental markets, including alternative energy and energy efficiency; water infrastructure technologies and pollution control; environmental support services and waste management technologies; and sustainable food, agriculture and forestry. The Fund seeks to achieve this objective by investing, under normal market conditions, at least 80% of its net assets in the foregoing companies and will invest primarily in equity securities (such as common stocks, preferred stocks and securities convertible into common and preferred stocks) of companies located around the world, including at least 40% of its nets assets in securities of non-U.S. issuers, including those located in emerging markets.
The Global Women’s Leadership Fund’s investment objective is to seek investment returns that closely correspond to or exceed the price and yield performance, before fees and expenses, of the Pax Global Women’s Leadership Index (the “Women’s Index”), while maintaining risk characteristics that the Adviser believes are generally similar to those of the Women’s Index. The Fund seeks to achieve this objective by investing, under normal market conditions, more than 80% of its total assets in the component securities of the Women’s Index and in American depositary receipts, global depositary receipts and euro depositary receipts representing the component securities of the Women’s Index, including at least 40% of its net assets (unless market conditions are not deemed favorable, in which case the Global Women’s Leadership Fund would normally invest at least 30% of its assets) in companies organized or located outside the U.S. or doing a substantial amount of business outside the U.S.
The EAFE ESG Leaders Fund’s investment objective is to seek investment returns that closely correspond to the price and yield performance, before fees and expenses, of the MSCI EAFE ESG Leaders Index. The Fund seeks to achieve this objective
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by investing, under normal circumstances, more than 80% of its total assets in the component securities of the MSCI EAFE ESG Leaders Index and in American depositary receipts, global depositary receipts and euro depositary receipts representing the component securities of the MSCI EAFE ESG Leaders Index.
The Core Bond Fund’s investment objective is to seek income and conservation of principal. The Fund seeks to achieve this objective by investing, under normal market conditions, at least 80% of its assets in bonds, which include debt obligations such as mortgage-related securities, securities issued by the United States Government or its agencies and instrumentalities, municipal bonds, corporate bonds and high-impact bonds (which provide financing to support solutions to global sustainability challenges) across the spectrum of issuers, each of which is, at the time of purchase, rated at least investment grade (rated BBB- or higher by Standard and Poor’s Ratings Group or Baa3 or higher by Moody’s Investors Service) or unrated and determined by the Adviser to be of comparable quality.
The High Yield Bond Fund’s primary investment objective is to seek high current income. As a secondary investment objective, the High Yield Bond Fund seeks capital appreciation. The Fund seeks to achieve this objective by investing, under normal market conditions, at least 80% of its assets in high-yield, fixed income securities (such as bonds, notes or debentures) that are rated below BBB- by Standard & Poor’s Ratings Group or below Baa3 by Moody’s Investors Service, similarly rated by another major rating service, or unrated and determined by the High Yield Bond Fund’s investment adviser to be of comparable quality. These fixed income securities are commonly referred to as “junk bonds.”
The Balanced Fund’s primary investment objective is to seek income and conservation of principal. As a secondary investment objective, the Fund seeks long-term growth of capital. The Fund uses a team approach to allocate among multiple underlying funds managed by the Adviser (“Underlying Funds”) in order to seek to achieve its investment objectives. The Adviser will allocate the Fund’s assets among Underlying Funds in its sole discretion. The Fund seeks to achieve its investment objectives, under normal market conditions, by investing (directly or indirectly through the use of Underlying Funds) approximately 50%-75% of its assets in equity securities (such as common stocks, preferred stocks and securities convertible into common or preferred stocks) and 25%-50% of its assets in debt securities (including but not limited to debt securities convertible into equity securities).
Under the Trusts’ organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the Trusts. Additionally, in the normal course of business, the Trusts
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enter into contracts with service providers that contain general indemnification clauses. The Trusts’ maximum exposure under these arrangements is unknown as this could involve future claims that may be made against the Trusts that have not yet occurred. However, based on experience, the Trusts expect this risk of loss to be remote.
Accounting 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 and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Funds apply Investment Company accounting and reporting guidance.
Valuation of Investments For purposes of calculating the net asset value (“NAV”), determined ordinarily as of the close of regular trading (normally 4:00 p.m. Eastern time) (the “NYSE Close”) on the New York Stock Exchange (“NYSE”) on each day that the NYSE is open for trading, the Funds normally use pricing data for domestic equity securities received shortly after the NYSE Close and do not normally take into account trading, clearances or settlements that take place after the NYSE Close. U.S. fixed income and non-U.S. securities are normally priced using data reflecting the earlier closing of the principal markets for those securities, subject to possible fair value adjustments. Information that becomes known to the Funds or their agents after NAV has been calculated on a particular day will not generally be used to retroactively adjust the price of a security or NAV determined earlier that day.
For the purpose of these financial statements, fair values for various types of securities and other instruments are determined on the basis of closing prices or last sales prices on an exchange or other market, or based on quotes or other market information obtained from quotation reporting systems, established market makers or pricing services. Short-term investments having a maturity of 60 days or less are generally valued at amortized cost, which approximates fair value.
Investments denominated in currencies other than the U.S. dollar are converted to U.S. dollars using exchange rates obtained from pricing services. As a result, the NAV of a Fund’s shares may be affected by changes in the value of currencies in relation to the U.S. dollar.
If market quotations are not readily available (including in cases when available market quotations are deemed to be unreliable), the Funds’ investments will be valued as determined in good faith pursuant to policies and procedures approved
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by the Boards of Trustees (so called “fair value pricing”). Fair value pricing may require subjective determinations about the value of a security or other asset, and fair values used to determine a Fund’s NAV may differ from quoted or published prices, or from prices that are used by others, for the same investments. Also, the use of fair value pricing may not always result in adjustments to the prices of securities or other assets held by a Fund. The Boards have delegated to the Advisers’ Best Execution and Valuation Committee the day-to-day responsibility for making fair value pricing determinations with respect to Fund holdings. The Best Execution and Valuation Committee is comprised of representatives of the Advisers, including several members of the Portfolio Management team, the Director of Trading, the Chief Compliance Officer and the Chief Financial Officer. One of the functions of the Best Execution and Valuation Committee is to value securities where current and reliable market quotations are not readily available. The Committee meets periodically and reports to the Board at each quarterly meeting regarding any securities for which fair value pricing was employed during the previous quarter. All actions taken by the Best Execution and Valuation Committee are reviewed and ratified by the Boards.
The Funds may determine that market quotations are not readily available due to events relating to a single issuer (e.g., corporate actions or announcements) or events relating to multiple issuers (e.g., governmental actions or natural disasters). The Funds may determine the fair value of investments based on information provided by pricing services and other third-party vendors, which may recommend fair value prices or adjustments with reference to other securities, indices or assets. In considering whether fair value pricing is required and in determining fair values, the Funds may, among other things, consider significant events (which may be considered to include changes in the value of U.S. securities or securities indices) that occur after the close of the relevant market and the usual time of valuation. At June 30, 2018, four securities were fair valued in good faith pursuant to policies and procedures approved by the Boards of Trustees. The Core Bond Fund held one security fair valued at $276,251, representing 0.04% of the Fund’s net asset value and the High Yield Bond Fund held three securities fair valued at $345,130, representing 0.09% of the Fund’s net asset value.
For those Funds that invest in non-U.S. securities, investors should be aware that many securities markets and exchanges outside the U.S. close prior to the close of the NYSE, and the closing prices for securities in such markets or on such exchanges may not fully reflect events that occur after such close but before the close of the NYSE. As a result, the Funds’ fair value pricing procedures require the Funds to consider changes in the fair value of non-U.S. securities between the time of the closing of the local market’s exchange and the close of the NYSE.
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Notes to Financial Statements (Unaudited), continued |
Generally, if there has been a movement in the U.S. market that exceeds a specified threshold, the Funds will assess whether the closing price on the local exchange is still appropriate. Although the threshold may be revised from time to time and the number of days on which fair value prices will be used will depend on market activity, it is possible that fair value prices will be used by the Funds to a significant extent. The value determined for an investment using the Funds’ fair value pricing procedures may differ from recent market prices for the investment.
Fair Value Measurements Fair value is defined as the price that the Fund would receive upon selling an investment in an orderly transaction between market participants. The three-tier hierarchy of inputs is summarized in the three broad Levels listed below.
● Level 1 | – unadjusted quoted prices in active markets for identical investments |
● Level 2 | – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) |
● Level 3 | – significant unobservable inputs (including the Funds’ own assumptions in determining the fair value of investments) |
Observable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs are inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a general summary of valuation inputs and classifications for different categories of securities.
Equity Securities Equity securities, including common stocks, preferred stocks and exchange-traded funds, for which market quotations are readily available, valued at the last reported sale price or official closing price as reported by an independent pricing service, are generally categorized as Level 1 in the hierarchy. Non-U.S. equity securities may also be valued at official close, or may be valued based on the fair value pricing procedures noted above. When third-party fair value pricing of foreign securities methods are applied, they are generally categorized as Level 2. To the extent that inputs for equity securities are unobservable, values are categorized as Level 3 in the hierarchy.
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Fixed Income Securities Fixed income securities, including Corporate Bonds (both investment-grade and high-yield), U.S. Treasury Obligations, Government Bonds, Mortgage-Backed and Asset-Backed Securities, Bank Loans and Municipal Bonds, are valued at evaluated prices received from independent pricing services, which are evaluated using various inputs and techniques which may include trade activity, broker-dealer quotes, yield curves, coupon rates, default rates, cash flows, models and other inputs, and are generally categorized as Level 2 in the hierarchy. To the extent that inputs for fixed income securities are unobservable, values are categorized as Level 3 in the hierarchy.
Affiliated and Unaffiliated Investment Companies Investments in mutual funds are valued at the Funds’ closing net asset value and are generally categorized as Level 1.
Short-term Investments Short-term securities, including repurchase agreements, with remaining maturities of 60 days or less, which are valued at amortized cost, are generally categorized as Level 2 in the hierarchy.
The following is a summary of the inputs used to value the Funds’ net assets as of June 30, 2018:
Level 1 | Level 2 | Level 3* | Totals | |||||||||||||
Large Cap | ||||||||||||||||
Common Stocks | $ | 676,774,742 | $ | — | $ | — | $ | 676,774,742 | ||||||||
Cash Equivalents | 22,392,611 | — | — | 22,392,611 | ||||||||||||
Total | $ | 699,167,353 | $ | — | $ | — | $ | 699,167,353 | ||||||||
Mid Cap | ||||||||||||||||
Common Stocks | $ | 121,420,245 | $ | — | $ | — | $ | 121,420,245 | ||||||||
Cash Equivalents | 7,059,795 | — | — | 7,059,795 | ||||||||||||
Total | $ | 128,480,040 | $ | — | $ | — | $ | 128,480,040 | ||||||||
Small Cap | ||||||||||||||||
Common Stocks | $ | 755,455,641 | $ | — | $ | — | $ | 755,455,641 | ||||||||
Cash Equivalents | 18,845,524 | — | — | 18,845,524 | ||||||||||||
Total | $ | 744,301,165 | $ | — | $ | — | $ | 744,301,165 | ||||||||
ESG Beta Quality | ||||||||||||||||
Common Stocks | $ | 208,575,609 | $ | — | $ | — | $ | 208,575,609 | ||||||||
Cash Equivalents | 2,442,494 | — | — | 2,442,494 | ||||||||||||
Total | $ | 211,018,103 | $ | — | $ | — | $ | 211,018,103 | ||||||||
ESG Beta Dividend | ||||||||||||||||
Common Stocks | $ | 130,489,335 | $ | — | $ | — | $ | 130,489,335 | ||||||||
Cash Equivalents | 1,416,733 | — | — | 1,416,733 | ||||||||||||
Total | $ | 131,906,068 | $ | — | $ | — | $ | 131,906,068 |
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Notes to Financial Statements (Unaudited), continued |
Level 1 | Level 2 | Level 3* | Totals | |||||||||||||
Global Opportunities | ||||||||||||||||
Common Stocks | $ | 26,020,153 | $ | — | $ | — | $ | 26,020,153 | ||||||||
Cash Equivalents | 3,167,677 | — | — | 3,167,677 | ||||||||||||
Total | $ | 29,187,830 | $ | — | $ | — | $ | 29,187,830 | ||||||||
Global Environmental Markets | ||||||||||||||||
Common Stocks | $ | 383,943,466 | $ | 311,331,157 | $ | — | $ | 695,274,623 | ||||||||
Cash Equivalents | 8,912,294 | — | — | 8,912,294 | ||||||||||||
Total | $ | 392,855,760 | $ | 311,331,157 | $ | — | $ | 704,186,917 | ||||||||
Global Women’s Leadership | ||||||||||||||||
Common Stocks | $ | 153,448,288 | $ | 71,548,917 | $ | — | $ | 224,997,205 | ||||||||
Preferred Stocks | — | 306,080 | — | 306,080 | ||||||||||||
Exchange-Traded Funds | 2,327,512 | — | — | 2,327,512 | ||||||||||||
Cash Equivalents | 53,709 | — | — | 53,709 | ||||||||||||
Total | $ | 155,829,509 | $ | 71,854,997 | $ | — | $ | 227,684,506 | ||||||||
EAFE ESG Leaders | ||||||||||||||||
Common Stocks | $ | 5,543,442 | $ | 623,254,888 | $ | — | $ | 628,798,330 | ||||||||
Preferred Stocks | — | 3,238,165 | — | 3,238,165 | ||||||||||||
Rights | 76,132 | — | — | 76,132 | ||||||||||||
Exchange-Traded Funds | 7,803,952 | — | — | 7,803,952 | ||||||||||||
Total | $ | 13,423,526 | $ | 626,493,053 | $ | — | $ | 639,916,579 | ||||||||
Core Bond | ||||||||||||||||
Exchange-Traded Funds | $ | 4,013,580 | $ | — | $ | — | 4,013,580 | |||||||||
Community Investment Notes | — | 3,096,679 | 276,251 | 3,372,930 | ||||||||||||
Corporate Bonds | — | 213,955,005 | — | 213,955,005 | ||||||||||||
U.S. Gov't Agency Bonds | — | 12,455,874 | — | 12,455,874 | ||||||||||||
Government Bonds | — | 5,013,645 | — | 5,013,645 | ||||||||||||
Municipal Bonds | — | 35,016,483 | — | 35,016,483 | ||||||||||||
U.S. Treasury Notes | — | 204,575,813 | — | 204,575,813 | ||||||||||||
Mortgage-Backed Securities | — | 198,428,879 | — | 198,428,879 | ||||||||||||
Medium Term Certificates of Deposit | — | 485,535 | — | 485,535 | ||||||||||||
Cash Equivalents | 20,807,933 | — | — | 20,807,933 | ||||||||||||
Total | $ | 24,821,513 | $ | 673,027,913 | $ | 276,251 | $ | 698,125,677 | ||||||||
High Yield Bond | ||||||||||||||||
Common Stocks | $ | 1,225,640 | $ | — | $ | 345,130 | $ | 1,570,770 | ||||||||
Preferred Stocks | 1,010,240 | — | 0 | 1,010,240 | ||||||||||||
Corporate Bonds | — | 358,706,715 | — | 358,706,715 | ||||||||||||
Loans | — | 2,444,120 | — | 2,444,120 | ||||||||||||
U.S. Treasury Notes | — | 2,499,072 | — | 2,499,072 | ||||||||||||
Cash Equivalents | 10,789,689 | 1,000,764 | — | 11,790,453 | ||||||||||||
Total | $ | 13,025,569 | $ | 364,650,671 | $ | 345,130 | $ | 378,021,370 |
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Level 1 | Level 2 | Level 3* | Totals | |||||||||||||
Balanced | ||||||||||||||||
Affiliated Investment Companies | $ | 1,814,893,469 | $ | — | $ | — | $ | 1,814,893,469 | ||||||||
Cash Equivalents | 15,486,496 | — | — | 15,486,496 | ||||||||||||
Total | $ | 1,830,379,965 | $ | — | $ | — | $ | 1,830,379,965 |
* | Table includes securities valued at zero. |
See Schedules of Investments for additional detailed industry classifications.
The following is a reconciliation of Level 3 assets for which significant unobservable inputs were used to determine fair value:
Core Bond Fund | ||||
Bonds and Community Investment Notes | ||||
Balance as of December 31, 2017 | $ | 276,251 | ||
Realized gain (loss) | — | |||
Amortization of premium | — | |||
Change in unrealized appreciation (depreciation) | — | |||
Purchases/Received in Exchange | — | |||
Sales/Maturities | — | |||
Transfers in to and/or out of Level Three | — | |||
Balance as of June 30, 2018 | $ | 276,251 |
High Yield Bond Fund | ||||
Stocks | ||||
Balance as of December 31, 2017 | $ | 437,486 | ||
Realized gain (loss) | — | |||
Amortization of premium | — | |||
Change in unrealized appreciation (depreciation) | (92,356 | ) | ||
Purchases/Received in Exchange | — | |||
Sales | — | |||
Transfers in to and/or out of Level Three | — | |||
Balance as of June 30, 2018 | $ | 345,130 |
Transfers in and out of Levels during the year are assumed to be transferred on the last day of the period at their current value. During the year, Level 1 to Level 2 transfers were: $4,109,205 for the Global Women’s Leadership Fund and $23,651,430 for the EAFE ESG Leaders Fund and Level 2 to Level 1 transfers were: $7,415,045 for the Global Environmental Markets Fund, $54,738 for the Global Women’s Leadership Fund and $3,006,695 for the EAFE ESG Leaders Fund. All such transfers were due to utilization of the pricing vendor’s fair value pricing of foreign securities.
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Significant unobservable inputs were used by two Funds for Level 3 fair value measurements. The High Yield Bond Fund holds two securities of the same issuer which are deemed to be valued at zero based on company financial statements, and one security based on proprietary methodology derived from publicly available quotes of an affiliated issuer class of shares. The Core Bond Fund holds a position in a Community Investment note which is valued based on a general obligation by the parent entity to limit investment exposure on the note.
Investment Transactions Investment transactions are recorded as of the date of purchase, sale or maturity. Net realized gains and losses from the sale or disposition of securities are determined on the identified cost basis, which is also used for federal income tax purposes. Corporate actions (including cash dividends) are recorded net of foreign tax withholdings.
Investment Income Dividend income is recorded on the ex-dividend date. Interest income is recorded on the accrual basis and includes accretion of discount and amortization of premiums, if any. The value of additional securities received as dividend payments is recorded as income and as an increase to the cost basis of such securities. The Funds amortize purchase price premium and accrete discount on bonds, if any, over the remaining life of the bonds using the effective interest method of amortization; for callable bonds, the amortization period is to the most likely call date.
Distributions to Shareholders Distributions to shareholders are recorded by each of the Funds on the ex-dividend dates. The Funds (except Core Bond Fund and High Yield Bond Fund) expect to pay dividends of net investment income, if any, semiannually and to make distributions of capital gains, if any, at least annually. The Core Bond Fund and High Yield Bond Fund expect to pay dividends of net investment income, if any, monthly and to make distributions of capital gains, if any, at least annually. A shareholder begins earning dividends on the Core Bond Fund and High Yield Bond Fund shares the day after the Funds receive his or her purchase payment. Income and capital gains distributions are determined in accordance with income tax regulations, which may differ from U.S. generally accepted accounting principles.
Class Accounting Expenses directly attributable to a class of shares, such as 12b-1 distribution fees, are charged to that class. Each Fund has adopted a 12b-1 plan, applicable to certain classes of each of the Funds. Expenses of the Funds that are directly identifiable to a specific Fund, such as transfer agent fees, custody fees and registration fees, are applied to that Fund. Expenses that are not readily identifiable to a specific Fund, such as printing expense, Trustees’ fees and legal fees, are allocated in such a manner as deemed equitable, taking into consideration
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the nature and type of expense and the relative net assets of the Funds. Investment income, realized and unrealized gains and losses are allocated based upon the relative daily net assets of each class of shares.
Federal Income Taxes Each of the Funds intends to elect to be treated and qualify each year as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). If a Fund so qualifies and satisfies certain distribution requirements, such Fund will ordinarily not be subject to federal income tax on its net investment income (which includes short-term capital gains) and net capital gains that it distributes to shareholders. Each Fund expects to distribute all or substantially all of its income and gains to shareholders every year. Therefore, no Federal income or excise tax provision is required. The Funds are treated as separate entities for U.S. Federal income tax purposes.
Foreign Currency Transactions The accounting records of the Funds are maintained in U.S. dollars. In addition, purchases and sales of investment securities, dividend and interest income, and certain expenses are translated at the rates of exchange prevailing on the respective dates of such transactions. Net realized and unrealized foreign currency exchange gains or losses occurring during the holding period of investment securities are a component of realized gain (loss) on investment transactions and unrealized appreciation (depreciation) on investments, respectively.
Non-U.S. Securities Non-U.S. markets can be significantly more volatile than domestic markets, causing the prices of some Fund investments to fluctuate significantly, rapidly and unpredictably. Non-U.S. securities may be less liquid than domestic securities; consequently, a Fund may at times be unable to sell non-U.S. securities at desirable times or prices. Other risks related to non-U.S. securities include delays in the settlement of transactions; less publicly available information about issuers; different reporting, accounting and auditing standards; the effect of political, social, diplomatic or economic events; seizure, expropriation or nationalization of the issuer or its assets; fluctuation in foreign currency exchange rates and the possible imposition of currency exchange controls. If a Fund invests substantially in securities of non-U.S. issuers tied economically to a particular country or geographic region, it will be subject to the risks associated with such country or geographic region to a greater extent than a fund that is more diversified across countries or geographic regions.
Securities Lending The Funds may lend their securities pursuant to a securities lending agreement (Lending Agreement) with State Street Bank and Trust Company. Initial security loans made pursuant to the Lending Agreement are required to be secured by collateral not less than the percentage specified in the agreement,
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Notes to Financial Statements (Unaudited), continued |
ranging from 102% to 105%, depending on the types of securities. Cash collateral received is invested in the State Street Navigator Securities Lending Government Money Market Portfolio, a registered Rule 2a-7 money market fund. Borrowers may also pledge non-cash collateral within the guidelines for acceptable forms of non-cash collateral approved by the Boards of Trustees. At June 30, 2018, non-cash collateral consisted of U.S. Treasuries, short-term U.S. Government Agency obligations and Sovereign debt.
The Funds have the right under the Lending Agreement to recover the securities from the borrower on demand. The primary risk associated with securities lending is if the borrower defaults on its obligation to return the securities loaned because of insolvency or other reasons. The Funds could experience delays and costs in recovering securities loaned or in gaining access to the collateral. In the event the borrower fails to return loaned securities and the collateral received is insufficient to cover the value of the loaned securities and provided such collateral shortfall is not the result of investment losses, the lending agent has agreed to pay the amount of the shortfall to the Funds, or at the discretion of the lending agent, replace the loaned securities.
A portion of the income generated upon investment of the collateral is remitted to the borrower and the remainder is allocated between the Funds and the lending agent. The Funds record security lending income net of such allocation. The Funds continue to receive dividends on the securities loaned, which are accounted for in the same manner as other dividend and interest income.
As of June 30, 2018, the value of securities loaned, payable for collateral due to brokers and non-cash collateral pledged by brokers were as follows:
Fund | Market Value of Securities Loaned | Payable on Collateral Due to Broker | Non-Cash Collateral Value * | Over (Under) Collateralized | ||||||||||||
Large Cap | $ | 38,479,439 | $ | 12,657,744 | $ | 27,207,800 | $ | 1,386,105 | ||||||||
Mid Cap | 8,205,243 | 984,206 | 7,469,971 | 248,934 | ||||||||||||
Small Cap | 114,196,211 | 1,654,648 | 115,886,587 | 3,345,024 | ||||||||||||
ESG Beta Quality | 6,305,929 | 836,583 | 5,643,406 | 174,060 | ||||||||||||
ESG Beta Dividend | 3,648,415 | 479,208 | 3,283,118 | 113,911 | ||||||||||||
Global Environmental Markets | 1,284,604 | — | 1,312,794 | 28,190 | ||||||||||||
Global Women's Leadership | 1,135,387 | — | 1,156,729 | 21,342 | ||||||||||||
EAFE ESG Leaders | 95,410 | — | 101,629 | 6,219 | ||||||||||||
Core Bond | 22,296,453 | 6,513,335 | 16,237,055 | 453,937 |
* | Non-cash collateral is not included in the financial statements. |
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For the Large Cap Fund, Mid Cap Fund, Small Cap Fund, ESG Beta Quality Fund, ESG Beta Dividend Fund, Global Environmental Markets Fund, Women’s Leadership Fund and EAFE ESG Leaders Fund all of the securities on loan at June 30, 2018 are classified as Common Stocks in each Fund’s Schedule of Investments. For the Core Bond Fund all of the securities on loan at June 30, 2018 are classified as Corporate Bonds, U.S. Treasury or Agency securities on the Fund’s Schedule of Investments.
The following table displays a breakdown of transactions accounted for as secured borrowings, the gross obligation by class of collateral pledge, and the remaining contractual maturity of those transactions as of June 30, 2018.
Remaining Contractual Maturity of the Agreements | ||||||||||||||||||||
Securities Lending Transactions | Overnight and Continuous | Up to 30 days | 30-90 days | Greater than 90 days | Total | |||||||||||||||
Core Bond Fund | ||||||||||||||||||||
U.S. Treasury and Agency Securities | $ | 11,156,574 | $ | — | $ | — | $ | — | $ | 11,156,574 | ||||||||||
Corporate Debt | 11,139,879 | — | — | — | 11,139,879 | |||||||||||||||
Total Borrowings | $ | 22,296,453 | $ | — | $ | — | $ | — | $ | 22,296,453 | ||||||||||
Gross amount of recognized liabilities for securities lending transactions | $ | 22,296,453 |
NOTE B—Investment Advisory Fee and Transactions with Affiliated and Other Parties
Trust I and Trust III have entered into Investment Advisory Contracts (the “Management Contracts”) with Impax Asset Management LLC (“IAM”) and Pax Ellevate Management LLC (“PEM”), respectively (each, the “Adviser”, and collectively, the “Advisers”). Pursuant to the terms of the Management Contracts, the Advisers, subject to the supervision of the Boards of Trustees of the Trusts, are responsible for managing the assets of the Funds in accordance with the Funds’ investment objective, investment programs and policies.
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Notes to Financial Statements (Unaudited), continued |
Pursuant to the Management Contracts, the Advisers have contracted to furnish the Funds continuously with an investment program, determining what investments to purchase, sell and exchange for the Funds and what assets to hold uninvested. The Advisers also have contracted to provide office space and certain management and administrative facilities for the Funds. In return for such services, the Funds pay an advisory fee to the Advisers at the following annual rates (expressed as a percentage of the average daily net assets of such Fund):
Average Net Asset Value of Fund | |||
Fund | Assets | Annual Rate | |
Large Cap | All Assets | 0.65 | % |
Mid Cap | All Assets | 0.75 | % |
Small Cap | All Assets | 0.75 | % |
ESG Beta Quality | All Assets | 0.65 | %1 |
ESG Beta Dividend | All Assets | 0.65 | %1 |
Global Opportunities | All Assets | 0.80 | %2 |
Global Environmental Markets | 0.80 | %3 | |
Global Women's Leadership | All Assets | 0.55 | %1,4 |
EAFE ESG Leaders | All Assets | 0.55 | %1 |
Core Bond | All Assets | 0.40 | % |
High Yield Bond | All Assets | 0.50 | % |
Balanced | All Assets | 0.05 | %1 |
1 | The management fee is a unified fee that includes all of the operating costs and expenses of the Fund (other than taxes, charges of governmental agencies, interest, brokerage commissions incurred in connection with portfolio transactions, distribution and/or service fees payable under a plan pursuant to Rule 12b-1 under the Investment Company Act of 1940, acquired fund fees and expenses and extraordinary expenses), including accounting expenses, administrator, transfer agent, custodian fees, legal fees and other expenses. |
2 | The Adviser has voluntarily waived a portion of the management fee from assets attributable to $2 million investment in the Fund. There is no guarantee that the Adviser will continue to provide the waiver in the future. |
3 | Effective May 1, 2018 the management fee changed to 0.80% based on average net assets up to $1 billion; 0.75% for assets of $1 billion to $1.5 billion; 0.70% for assets of $1.5 billion to $2 billion; 0.65% for assets of $2 billion to $3 billion; and 0.60% for assets over $3 billion. Prior to May 1, 2018, the Fund’s advisory fee was 0.80%. Prior to May 1, 2018, the Fund’s annual rate (expressed as percentage of the average daily net assets of the Fund) was 0.80% on all assets. |
4 | Effective February 26, 2018, the Adviser contractually agreed to waive 0.10% of its management fee resulting in a net rate of 0.55%. Effective May 1, 2018, the waiver was replaced with a contractual reduction of the management fee to 0.55%. Prior to May 1, 2018 the Fund’s advisory fee was 0.65%. |
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For the period ended June 30, 2018, the Funds incurred the following advisory fees:
Fund | Amount | |||
Large Cap | $ | 2,317,988 | ||
Mid Cap | 502,558 | |||
Small Cap | 3,018,273 | |||
ESG Beta Quality | 685,702 | |||
ESG Beta Dividend | 474,075 | |||
Global Opportunities | 1,765 | |||
Global Environmental Markets | 2,689,657 | |||
Global Women's Leadership | 626,960 | |||
EAFE ESG Leaders | 1,880,255 | |||
Core Bond | 1,363,981 | |||
High Yield Bond | 989,862 | |||
Balanced | 479,466 |
The Adviser has contractually agreed to reimburse the Funds or limit expenses of the Funds to the extent that each Fund’s respective expenses exceed, on an annual basis, the following percentages of average daily net assets:
Expense Caps | |||
Fund | Investor | Class A | Institutional |
ESG Beta Quality 1 | 0.90% | 0.90% | 0.65% |
ESG Beta Dividend 1 | 0.90% | 0.65% | |
Global Opportunities 2 | 1.23% | 1.23% | 0.98% |
Global Environmental Markets 3 | 1.23% | 1.23% | 0.98% |
Global Women's Leadership 1,4 | 0.80% | 0.55% | |
EAFE ESG Leaders 1 | 0.80% | 0.55% | |
Balanced 1 | 0.30% | 0.05% |
1 | Expense caps for funds represent their respective unified management fees plus distribution and/or service fees payable under a plan pursuant to Rule 12b-1, as applicable to particular classes of shares. |
2 | The Adviser has contractually agreed to reimburse expenses (other than interest, commissions, taxes, extraordinary expenses and acquired fund fees and expenses, if any) to the extent that they exceed the expense caps indicated. The reimbursement arrangement may not be amended or terminated without the approval of the Fund’s Board of Trustees before December 31, 2021. |
3 | The Adviser has contractually agreed to reimburse expenses (other than interest, commissions, taxes, extraordinary expenses and acquired fund fees and expenses, if any) to the extent they exceed the expense caps indicated. This reimbursement arrangement may not be amended or terminated without the approval of the Fund’s Board of Trustees before December 31, 2018. |
4 | Prior to February 26, 2018 expenses were capped at 0.90% and 0.65% of investor Class shares and Institutional Class shares, respectively. |
Such expenses include (i) management and distribution fees; (ii) the fees of affiliated and unaffiliated Trustees; (iii) the fees of the Funds’ custodian and transfer agent; (iv) the fees of the Funds’ legal counsel and independent registered
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Notes to Financial Statements (Unaudited), continued |
public accounting firm; (v) the reimbursement of organizational expenses; and (vi) expenses related to shareholder communications including all expenses of shareholders’ and Boards of Trustees’ meetings and of preparing, printing and mailing reports, proxy statements and prospectuses to shareholders.
For the period ended June 30, 2018, the dollar amount of expense reimbursements were as follows:
Total Expenses Reimbursed by Adviser | ||||||||||||
Fund | Investor | Class A | Institutional | |||||||||
Global Opportunities | $ | — | $ | 1,797 | ||||||||
Global Environmental Markets | 413 | 56 | 1,756 |
In addition, the Adviser voluntarily waived $131 and $35,657 of its management fee from the Global Opportunities Fund and the Global Women’s Leadership Fund, respectively.
In 2018, the Adviser reimbursed the Balanced Fund in the amount of $223,088 for prior payments made in excess of limitations approved by the Board of Trustees. This reimbursement is included in “other income” on the Statement of Operations.
The Trusts have adopted a plan (“Plan”) pursuant to Rule 12b-1 under the 1940 Act that allows the Funds to pay distribution fees for the sale and distribution of certain shares as described below and for personal services rendered to the Fund shareholders in connection with the maintenance of shareholder accounts. Under the Plan, each Fund will pay its Distributor a distribution fee equal to 0.25% of the annual average daily net assets attributable to the Investor Class shares and Class A shares. The Distributor may pay all or any portion of the distribution fee to securities dealers or other organizations (including, but not limited to, any affiliate of the Distributor) as commissions, asset-based sales charges or other compensation with respect to the sale of indicated shares of such Fund, or for providing personal services to investors in the indicated shares of such Fund and/or the maintenance of shareholder accounts, and may retain all or any portion of the distribution fee as compensation for the Distributor’s services as principal underwriter of the indicated shares of such Fund.
Several individuals who are officers and/or Trustees of the Trusts are also employees of the Adviser.
150 |
June 30, 2018 |
NOTE C—Investment Information
Purchases and proceeds from sales of investments for the Funds for the period ended June 30, 2018 were as follows:
Purchases | Sales | |||||||||||||||
Fund | Investments1 | U.S. Gov’t Bonds | Investments1 | U.S. Gov’t Bonds | ||||||||||||
Large Cap | $ | 218,079,407 | $ | — | $ | 272,521,257 | $ | — | ||||||||
Mid Cap | 31,862,086 | — | 41,850,830 | — | ||||||||||||
Small Cap | 236,687,099 | — | 286,063,951 | — | ||||||||||||
ESG Beta Quality | 79,210,924 | — | 82,654,890 | — | ||||||||||||
ESG Beta Dividend | 48,041,580 | — | 65,550,766 | — | ||||||||||||
Global Opportunities | 26,100,296 | — | — | — | ||||||||||||
Global Environmental Markets | 191,680,287 | — | 53,908,735 | — | ||||||||||||
Global Women's Leadership | 105,142,105 | — | 57,093,809 | — | ||||||||||||
EAFE ESG Leaders | 136,364,654 | — | 145,238,807 | — | ||||||||||||
Core Bond | 111,379,704 | 150,426,220 | 62,513,127 | 175,594,369 | ||||||||||||
High Yield | 131,805,695 | — | 148,508,603 | — | ||||||||||||
Balanced | 81,255,251 | 199,737,776 |
1 | Excluding short-term investments and U.S. Government bonds. |
For federal income tax purposes, the identified cost of investments owned at June 30, 2018 as well as the gross unrealized appreciation (depreciation) of investments and resulting net unrealized appreciation (depreciation) as of June 30, 2018 were as follows for the Funds:
Fund | Identified cost of investments for Federal income tax basis | Gross unrealized appreciation | Gross unrealized depreciation | Net unrealized appreciation (depreciation) | ||||||||||||
Large Cap | $ | 563,952,548 | $ | 150,185,998 | $ | 14,971,193 | $ | 135,214,805 | ||||||||
Mid Cap | 107,431,269 | 24,163,998 | 3,115,227 | 21,048,771 | ||||||||||||
Small Cap | 673,982,806 | 121,589,812 | 21,271,453 | 100,318,359 | ||||||||||||
ESG Beta Quality | 132,956,260 | 79,695,794 | 1,633,951 | 78,061,843 | ||||||||||||
ESG Beta Dividend | 103,731,946 | 28,931,975 | 757,853 | 28,174,122 | ||||||||||||
Global Opportunities | 29,267,974 | 159,810 | 239,954 | (80,144 | ) | |||||||||||
Global Environmental Markets | 625,360,198 | 105,187,785 | 26,361,066 | 78,826,719 | ||||||||||||
Global Women's Leadership | 203,021,783 | 33,206,654 | 8,543,931 | 24,662,723 | ||||||||||||
EAFE ESG Leaders | 590,590,276 | 85,567,399 | 36,241,096 | 49,326,303 | ||||||||||||
Core Bond | 710,217,165 | 1,678,731 | 13,770,219 | (12,091,488 | ) | |||||||||||
High Yield | 390,798,928 | 3,716,526 | 16,494,085 | (12,777,559 | ) | |||||||||||
Balanced | 1,752,331,273 | 210,099,802 | 132,051,110 | 78,048,692 |
At June 30, 2018 the Mid Cap Fund, Small Cap Fund, ESG Beta Quality Fund, Global Opportunities Fund, Global Environmental Markets Fund, Global Women’s Leadership Fund and EAFE ESG Leaders Fund had unrealized foreign currency gains (losses) of $76; $456; $(325); $(7,650); $938; $4,657 and $(30,654), respectively.
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Notes to Financial Statements (Unaudited), continued |
Netting Agreements During the ordinary course of business, the Funds may enter into transactions subject to enforceable netting agreements or other similar arrangements (“netting agreements”). Generally, the right to offset in netting agreements allows a Fund to offset any exposure to a specific counterparty with any collateral received or delivered to that counterparty based on the terms of the agreement. Generally, a Fund manages its cash collateral and securities collateral on a counterparty basis. As of June 30, 2018, there is no collateral held at the counterparty that would be offset by a master netting agreement that the Funds have with the counterparty. The Funds did not hold any derivative instruments as of June 30, 2018.
Affiliated Investments The term “affiliated company” includes other investment companies that are managed by a Fund’s Adviser. At June 30, 2018, the Balanced Fund held the following investments in affiliated Funds:
Fund | Shares Held at 12/31/17 | Gross Additions | Gross Reductions | Shares Held at 6/30/2018 | ||||||||||||
Balanced | ||||||||||||||||
Large Cap | 67,837,134 | 237,200 | 5,163,977 | 62,910,357 | ||||||||||||
Mid Cap | 12,404,360 | 33,884 | 991,840 | 11,446,404 | ||||||||||||
ESG Beta Dividend | 12,965,138 | 133,043 | 1,746,234 | 11,351,947 | ||||||||||||
Global Opportunities | — | 2,500,000 | — | 2,500,000 | ||||||||||||
Global Environmental Markets | — | 635,307 | — | 635,307 | ||||||||||||
EAFE ESG Leaders | 26,348,540 | 328,324 | 9,052,955 | 17,623,909 | ||||||||||||
Core Bond | 69,273,277 | 898,893 | — | 70,172,170 |
Fund | Value at 12/31/17 | Dividend Income | Realized Gains/ Losses1 | Net change in Unrealized Appreciation/ Depreciation | Value at 6/30/2018 | |||||||||||||||
Balanced | ||||||||||||||||||||
Large Cap | $ | 717,038,507 | $ | 2,606,827 | $ | 1,953,812 | $ | 19,236,439 | $ | 683,835,584 | ||||||||||
Mid Cap | 138,184,566 | 376,111 | (3,310,589 | ) | 1,660,361 | 125,910,449 | ||||||||||||||
ESG Beta Dividend | 149,099,087 | 1,548,618 | 2,271,376 | (2,371,687 | ) | 130,547,394 | ||||||||||||||
Global Opportunities | — | — | — | (75,000 | ) | 24,925,000 | ||||||||||||||
Global Environmental Markets | — | 73,865 | — | (366,371 | ) | 9,707,495 | ||||||||||||||
EAFE ESG Leaders | 242,143,087 | 2,879,404 | 2,053,173 | (10,690,216 | ) | 154,385,447 | ||||||||||||||
Core Bond | 695,503,701 | 8,837,149 | — | (18,662,027 | ) | 685,582,100 | ||||||||||||||
Total | $ | 1,941,968,948 | $ | 16,321,974 | $ | 2,967,771 | $ | (11,268,501 | ) | $ | 1,814,893,469 |
1 | Includes realized capital gain distributions from an affiliated fund, if any. |
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The Funds are permitted to purchase and sell securities (“cross-trade”) from and to other Funds within the Trusts or other accounts managed by the Advisers pursuant to “Cross-Trading” Procedures adopted by the Trusts’ Boards of Trustees. These procedures have been designed to ensure that any cross-trade of securities by the respective fund from or to another fund or account that is or could be considered an affiliate of the fund under certain limited circumstances by virtue of having a common investment adviser complies with Rule 17a-7 of the 1940 Act. Further, as defined under these procedures, each cross-trade is effected at the current market price to save costs where allowed. Pursuant to these procedures, for the period ended June 30, 2018, the Global Women’s Leadership Fund, the EAFE ESG Leaders Fund and High Yield Bond Fund engaged in cross-trades. The Global Women’s Leadership Fund, the EAFE ESG Leaders Fund and High Yield Bond Fund had total purchases of $477,259, $4,527,289 and $329,250, respectively, and total sales of $4,527,289, $477,259 and $0, respectively. The Global Women’s Leadership Fund and EAFE ESG Leaders Fund had net losses of $31,897 and $1,917, respectively.
Restricted and Illiquid Securities The Funds may purchase certain restricted securities and limited amounts of illiquid securities. The Funds may invest in securities exempt from registration under Rule 144A of the Securities Act of 1933 (“the Act”) which are restricted from sale to the public and may only be sold to a qualified institutional buyer. The Funds do not have the right to demand that such securities be registered. The value of such securities is determined by valuations supplied by a pricing service or, if not available, in good faith by or at the direction of the Boards of Trustees. At June 30, 2018, the High Yield Bond Fund held $204,783,001 or 53.56% of net assets and the Core Bond Fund held $54,825,350 or 7.94% of net assets in securities exempt from registration under Rule 144A of the Act.
At June 30, 2018, the High Yield Bond Fund held $2,804,818 of illiquid securities representing 0.73% of net assets and Core Bond Fund held $6,235,218 of illiquid securities, representing 0.90% of net assets. The Fund will classify as “illiquid” all securities that may no longer be disposed of within seven days in the ordinary course of business at approximately the amount at which the Fund has valued such security for the purpose of calculating the Fund’s net asset value. Illiquid investments may include restricted securities, repurchase agreements that mature in more than seven days or that have a notice or demand feature more than seven days, certain over-the-counter option contracts and participation interests in loans. Because illiquid securities trade less frequently and in smaller volume than liquid securities, the Fund may experience difficulty in closing out positions at prevailing market prices.
153 |
June 30, 2018 |
Notes to Financial Statements (Unaudited), continued |
Security | Acquisition Date Range | Cost | Market Value | ||||||
Core Bond Fund | |||||||||
CINI Investment Note, 2.000%, 10/31/20 | 11/01/14 - 11/01/15 | $ | 276,251 | $ | 276,251 | ||||
Community Credit Union of Lynn, 2.200%, 11/29/22 | 11/14/17 - 11/14/17 | 250,000 | 239,909 | ||||||
Master Asset Backed Securities Trust 2007-NCW, 144A, 2.691%, 05/25/37 | 07/06/17 - 07/06/17 | 1,659,482 | 1,663,972 | ||||||
Self-Help Federal Credit Union, 1.700%, 04/13/20 | 04/06/18 - 04/06/18 | 250,000 | 245,626 | ||||||
TES 2017-2 LLC, 144A, 4.120%, 02/20/48 | 12/08/17 - 02/13/18 | 1,952,618 | 1,912,719 | ||||||
Tesla Energy Operations, Inc., 4.700%, 05/29/25 | 05/26/15 - 05/26/15 | 1,984,086 | 1,896,741 | ||||||
High Yield Bond Fund | |||||||||
Chaparral Energy, Inc., Class B shares | 03/30/17 - 03/30/17 | 19,281 | 345,130 | ||||||
Charlotte Russe, Inc. | 05/21/13 - 01/16/15 | 7,784 | 15,568 | ||||||
Charlotte Russe, Inc., 8.500%, 12/15/22 | 05/21/13 - 01/16/15 | 3,258,827 | 2,444,120 | ||||||
Interactive Health, Inc. | 03/19/04 - 10/01/13 | 706 | 0 | ||||||
Interactive Health, Inc., 0.000% | 03/19/04 - 10/01/13 | 1,412 | 0 |
NOTE D—Tax Information
The timing and characterization of certain income and capital gains distributions are determined annually in accordance with federal tax regulations, which may differ from GAAP. In addition to permanent differences previously noted, temporary differences may arise from recognition of certain items of income, expense, gain or loss in different periods for financial reporting and tax purposes. Such differences will reverse at some time in the future. As a result, net investment income (loss) and net realized gain (loss) on investment transactions for a reporting period may differ significantly from distributions during such period. For tax purposes, short-term capital gains are considered ordinary income.
154 |
June 30, 2018 |
The tax character of distributions paid during 2018 and 2017 was as follows:
Distributions paid in 2018 | Distributions paid in 2017 | |||||||||||||||
Fund | Ordinary income | Long-term capital gains | Ordinary income | Long-term capital gains | ||||||||||||
Large Cap | $ | 2,623,548 | $ | — | $ | 21,849,160 | $ | 65,005,043 | ||||||||
Mid Cap | 379,363 | — | 4,492,596 | 6,433,169 | ||||||||||||
Small Cap | — | — | 11,603,515 | 3,622,260 | ||||||||||||
ESG Beta Quality | 1,580,459 | — | 2,492,693 | 6,932,351 | ||||||||||||
ESG Beta Dividend | 1,559,377 | — | 3,194,252 | 229,692 | ||||||||||||
Global Opportunities | — | — | — | — | ||||||||||||
Global Environmental Markets | 5,204,777 | — | 3,464,879 | 15,876,884 | ||||||||||||
Global Women's Leadership | 2,587,279 | — | 3,688,140 | 741,672 | ||||||||||||
EAFE ESG Leaders | 11,841,005 | — | 15,553,251 | — | ||||||||||||
Core Bond | 8,872,606 | — | 15,895,087 | 1,027,617 | ||||||||||||
High Yield Bond | 10,128,314 | — | 21,862,777 | — | ||||||||||||
Balanced | 32,518,376 | — | 35,128,127 | 167,868,523 |
During the period from November 1, 2017 through December 31, 2017, the Global Environmental Markets Fund incurred a qualified late-year ordinary loss of $57,889 and the Core Bond Fund incurred post-October capital losses of $278,781. These losses are treated for federal income purposes as if they had occurred on January 1, 2018.
As of December 31, 2017, for federal income tax purposes, the following Funds had capital loss carryforwards available to offset future gains, if any, to the extent provided by the Treasury regulations:
No Expiration | ||||||||
Fund | Short-term | Long-term | ||||||
EAFE ESG Leaders | $ | 1,895,584 | $ | 9,071,665 | ||||
High Yield Bond | 26,337,964 | 27,839,051 |
For financial reporting purposes, the capital accounts are adjusted to reflect the tax character of permanent book/tax differences. Reclassifications are primarily due to tax treatment of gain (loss) on foreign currency transactions, tax treatment related to REITs, partnerships, and PFICs, equalization adjustments and adjustments related to previous fund mergers.
Uncertain Tax Positions Management has analyzed the Funds’ tax positions taken for all open tax years which remain subject to examination by the Funds’ major tax jurisdictions (years 2014 through 2017). The Funds recognize interest and penalties, if any, related to tax liabilities as income tax expense in the Statement
155 |
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Notes to Financial Statements (Unaudited), continued |
of Operations. Management has concluded that, as of and during the year ended December 31, 2017, no provision for federal income tax is necessary and, therefore, the Funds did not have a liability for any unrecognized tax expenses.
NOTE E—RECENT ACCOUNTING PRONOUNCEMENTS
In October 2016, the Commission issued Final Rule Release No. 33-10233, Investment Company Liquidity Risk Management Programs. This final rule requires funds to establish a liquidity risk management program and enhances disclosures regarding funds’ liquidity. Some of the requirements of this final rule must be adopted by December 1, 2018; other requirements have been extended to June 1, 2019. Management is currently assessing the impact of this rule to the Funds’ financial statements and other filings.
In October 2016, the Commission issued Final Rule Release No. 33-10234, Investment Company Swing Pricing. This rule permits certain funds to use swing pricing during periods of heavy redemptions and requires certain disclosures regarding the use of swing pricing in forms filed with the SEC. This final rule will be effective November 19, 2018. Management is currently assessing the impact of this rule to the Funds’ financial statements and other filings.
NOTE F—Board Considerations for Approval of Advisory and Subadvisory Agreements
Review Process. The 1940 Act requires that the Trustees of the Trusts request and evaluate, and that IAM and PEM furnish, such information as may reasonably be necessary for the Trustees of the Trusts to evaluate the terms of the relevant Trust’s Management Contracts. Similarly, the 1940 Act requires that the Trustees of Trust I request and evaluate, and that each of Impax Asset Management Ltd. (“Impax”) and Aperio Group, LLC (“Aperio”) (each a “Subadviser” and collectively, the “Subadvisers”) furnish, such information as may reasonably be necessary for the Trustees of Trust I to evaluate the terms of its respective subadvisory contract (each a “Subadvisory Contract” and collectively, the “Subadvisory Contracts”) among Trust I, IAM and such Subadviser. The Trustees who are not “interested persons” (as defined in Section 2(a)(19) of the 1940 Act) of the Trusts (the “Independent Trustees”) met in person in March and June of 2018 for the purpose of considering the Management Contracts and each Subadvisory Contract (the “contract review meetings”). In addition, the Trustees of each Trust consider matters bearing on the relevant Trust and its investment management and other arrangements at their regular meetings throughout the year, including reviews of investment results and performance data at each regular meeting and periodic presentations from the Advisers and each Subadviser.
156 |
June 30, 2018 |
During the course of the contract review meetings, the Trustees met and discussed the Management Contracts and each Subadvisory Contract with representatives of the Advisers. The Independent Trustees were assisted in their evaluation of the Management Contracts and each Subadvisory Contract by independent legal counsel, from whom they received assistance and advice, including a written memorandum regarding the legal standards applicable to the consideration of advisory arrangements, and with whom they met separately from management. The Independent Trustees requested additional information, to which management responded.
In their deliberations, the Trustees did not identify any particular information that was all-important or controlling. Some of the factors that figured particularly in the Trustees’ deliberations are described below, although individual Trustees may have evaluated the information presented differently from one another, or given different weights to various factors in reaching their unanimous conclusion. The Trustees’ conclusions were based, in part, on their consideration of these arrangements during the course of the year and in prior years. The Trustees evaluated the information available to them on a Fund-by-Fund basis, and their determinations were made separately in respect of each Pax Fund; however, they also took into account the common interests of all the Pax Funds in their review.
Nature, Extent and Quality of Services. In considering the Management Contracts and each Subadvisory Contract, the Trustees, including the Independent Trustees, evaluated the nature, extent and quality of the advisory services provided to each Trust by the relevant Adviser and, with respect to Trust I, each Subadviser. They considered the terms of the relevant Management Contract and each Subadvisory Contract, as applicable, and received and considered information provided by management that described, among other matters:
● | the nature and scope of the advisory services provided or to be provided to the Pax Funds and information regarding the experience, qualifications and adequacy of the personnel providing those services, |
● | the investment program used by or to be used by each Adviser and Subadviser to manage the Pax Funds, |
● | possible conflicts of interest and fall-out benefits, |
● | brokerage practices, |
● | the compliance functions of each Adviser and Subadviser, and |
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Notes to Financial Statements (Unaudited), continued |
● | financial results, assets under management and other information relating to the financial resources of each Adviser. |
In addition to considering the Pax Funds’ investment performance (see below), the Trustees of each Trust considered, among other matters, the general oversight of the relevant Trust by its Adviser. They also took into account information concerning the investment philosophies and processes used by the Advisers and each Subadviser in managing the Pax Funds as well as their in-house investment and sustainable research capabilities. They also considered various investment resources available to the Advisers and each Subadviser, including research services acquired with “soft dollars” available to the Advisers and each Subadviser as a result of securities transactions effected for the Pax Funds.
The Trustees considered, among other matters, that each Adviser provides the relevant Trust with office space and personnel, and provides oversight and coordination of the Pax Funds’ third-party service providers. These services include accounting, bookkeeping, tax, legal, audit, custody and transfer agency services, and preparation of prospectuses, shareholder reports and other regulatory filings. They also took into account the Advisers’ compliance and operational functions, as well as the resources being devoted by the Advisers to such functions and the Adviser’s plans to add certain additional resources.
The Trustees concluded, within the context of their overall conclusions regarding the Management Contracts and each Subadvisory Contract, that the scope of the services provided to each Pax Fund and to be provided under the relevant Management Contract, and to each Pax Fund by its applicable Subadviser, was consistent with such Fund’s operational requirements; that the Advisers have the capabilities, resources and personnel necessary to provide the advisory services currently required by each Pax Fund; and that, overall, the nature, extent and quality of the services provided by and to be provided by the Advisers to the relevant Trust, and each applicable Subadviser to each Pax Fund, were sufficient to warrant approval of the Management Contracts and each Subadvisory Contract.
Fund Performance. In connection with the contract review meetings, the Trustees, including the Independent Trustees, reviewed information prepared by Broadridge Financial Solutions, Inc. (“Broadridge”) regarding the total return investment performance of the Pax Funds, comparing each Pax Fund’s investment results with those of other mutual funds within their Broadridge peer group over the one-, three-, five- and ten-year periods (to the extent the Pax Fund had been in existence) ended March 31, 2018. The Trustees, including the Independent Trustees, considered the methodology employed by Broadridge to identify peer groups, including the extent to which such peer groups included other mutual
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funds that employ sustainable or socially responsible investing practices and the extent to which the peer group pursued investment strategies similar to those of the relevant Pax Fund. The Independent Trustees considered, in particular, that the Balanced Fund had outperformed its peer group for the three- and five-year periods. The Independent Trustees also considered that the Balanced Fund’s performance relative to its performance universe had improved since the Fund was restructured in early 2015. The Trustees further considered IAM’s process for determining the Balanced Fund’s allocations between equities and fixed income and between U.S. and international investments. The Independent Trustees considered that the ESG Beta Quality Fund had underperformed its peer group for the three-year period and outperformed its peer group for the five-year period, noting that because the Fund’s name and strategy changed on June 30, 2016, the Fund’s performance for periods prior to June 30, 2016 may not be representative of the performance that it would have achieved had it been following its current investment strategy. The Independent Trustees considered that the Small Cap Fund had underperformed its peer group for the three-year period and performed in line with its peer group for the five-year period. The Independent Trustees considered that the MSCI EAFE ESG Leaders Index Fund had outperformed its peer group for the five-year period, but had underperformed its peer group for the three-year period. The Independent Trustees considered that each of the Mid Cap Fund, the ESG Beta Dividend Fund and the Core Bond Fund did not yet have a three-year record, but had underperformed its peer group for the one-year period. The Independent Trustees considered that the Global Environmental Markets Fund had outperformed its peer group for the three-year period, but had underperformed its peer group for the five-year period. The Independent Trustees considered that the Global Women’s Leadership Fund had outperformed its peer group for the three-year period and had performed in line with its peer group for the five-year period, noting that because the Fund’s name and strategy changed on June 4, 2014, the Fund’s performance for periods prior to June 4, 2014 may not be representative of the performance that it would have achieved had it been following its current investment strategy. The Independent Trustees considered that the High Yield Bond Fund had performed in line with its peer group for the three-year period, but had underperformed its peer group for the five-year period. The Independent Trustees also considered the steps taken by the Adviser to improve the performance of the Pax Funds that had underperformed their peers and/or benchmarks over longer periods, including the addition of an analyst to the investment team for the Small Cap Fund.
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Notes to Financial Statements (Unaudited), continued |
In addition to the information reviewed by the Trustees at the contract review meetings, the Trustees receive, during the year, detailed comparative performance information for each Pax Fund including performance relative to one or more selected securities indices or other benchmarks.
Based on this and other information, the Trustees concluded, within the context of their overall conclusions regarding the Management Contracts and each Subadvisory Contract, that the relevant performance record and process in managing each Pax Fund were sufficient to support approval of the Management Contracts and each Subadvisory Contract.
Fees and Other Expenses. The Trustees, including the Independent Trustees, considered the advisory fees paid by each Pax Fund and proposed to be paid to the relevant Adviser, and the Trustees of Trust I, including the Independent Trustees, considered subadvisory fees paid to each Subadviser by IAM, as well as each Pax Fund’s distribution and service (Rule 12b-1) fees, “other expenses” and total expenses. In doing so, the Trustees reviewed both information provided by management and information prepared by Broadridge regarding the expenses and proposed expenses, as applicable, of each Pax Fund relative to those of each Pax Fund’s Broadridge peer group. The Independent Trustees considered that the total expenses of each of the Pax Funds (after giving effect to the expense reimbursements described below, if applicable), other than the ESG Beta Dividend, MSCI EAFE ESG Leaders Index, Mid Cap and Global Women’s Leadership Funds, were below the median total expenses of its respective peer group. The Independent Trustees also considered that the advisory fees of all Pax Funds other than the ESG Beta Dividend, MSCI EAFE ESG Leaders Index and Global Women’s Leadership Funds (after giving effect to the expense reimbursements described below, if applicable) were below the median combined management and administrative fees of their peer groups. In connection with their review, the Trustees of Trust I considered IAM’s agreement to reimburse the Global Environmental Markets Fund to the extent such Fund’s total operating expenses (other than interest, commissions, taxes, extraordinary expenses and acquired fund fees and expenses, if any) exceed a percentage of average daily net assets per annum of each share class as follows: 0.98% for Institutional Class shares, 1.23% for Individual Investor Class shares and 1.23% for Class A shares before December 31, 2018. The Trustees of Trust I also considered IAM’s agreement to reimburse the Global Opportunities Fund to the extent such Fund’s total operating expenses (other than interest, commissions, taxes, extraordinary expenses and acquired fund fees and expenses, if any) exceed a percentage of average daily net assets per annum of each share class as follows: 0.98% for Institutional Class shares and 1.23% for Investor Class shares before December 31, 2021. The Independent Trustees also noted that, under the
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Management Contracts with respect to the MSCI EAFE ESG Leaders Index Fund the ESG Beta Quality Fund, the ESG Beta Dividend Fund, the Balanced Fund and the Global Women’s Leadership Fund, the relevant Adviser was obligated to pay all of the operating costs and expenses of the Pax Fund (other than taxes, charges of governmental agencies, interest, brokerage commissions incurred in connection with portfolio transactions, distribution and/or service fees payable under a plan pursuant to Rule 12b-1 under the 1940 Act, acquired fund fees and expenses and extraordinary expenses), including accounting expenses, administrator, transfer agent and custodian fees, Fund legal fees and other expenses.
The Trustees of Trust I considered the expenses indirectly borne by the Balanced Fund through its investment in other Pax Funds, and the extent to which the services provided by IAM to the Balanced Fund were distinct from, and not duplicative of the services it provides to such other Pax Funds. The Trustees of each Trust noted that the relevant Adviser, at the time of the contract review meetings, did not have a significant institutional advisory business outside of the Pax Funds, and considered the differences in the services provided and proposed to be provided to institutional clients and those provided to the Pax Funds, as well as differences in the advisory fees charged and proposed to be charged to such clients and those charged to the Pax Funds.
The Trustees, including the Independent Trustees, also considered that none of the Pax Funds with at least five years of performance history (the Small Cap Fund, the ESG Beta Quality Fund, the MSCI EAFE ESG Leaders Index Fund, the Global Women’s Leadership Fund, the Global Environmental Markets Fund, the High Yield Bond Fund and the Balanced Fund) had both lower returns and higher net expenses than its peer group median. The Trustees also noted that the new Pax Funds, including the Large Cap Fund, the Mid Cap Fund, the ESG Beta Dividend Fund, the Core Bond Fund and the Global Opportunities Fund, were excluded from the four-quadrant performance versus expenses summary. Based on this and other information, the Trustees concluded, within the context of their overall conclusions regarding the Management Contracts and each Subadvisory Contract, that the fees and expenses to be charged represented reasonable compensation to the Advisers and each Subadviser in light of the services provided and to be provided. In coming to this conclusion, the Trustees took into account, among other factors, the fee waiver and reimbursement agreement described above.
Costs of Services Provided and Profitability. The Trustees of each Trust, including the Independent Trustees, reviewed information regarding the cost of services provided and to be provided by each Adviser and the estimated profitability of each Adviser’s relationship with the relevant Trust, including a profitability report prepared by management detailing the costs of services provided to each
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Notes to Financial Statements (Unaudited), continued |
Fund (other than the Global Opportunities Fund) by the relevant Adviser, and the estimated profitability to IAM, for the year ended December 31, 2017, of its advisory relationship with each Fund, and the estimated profitability to PEM, for the year ended December 31, 2017, of its advisory relationship with the Global Women’s Leadership Fund. The Trustees recognized that each Adviser should, in the abstract, be entitled to earn a reasonable level of profit for the services provided and to be provided to each Fund, and that it is difficult to make comparisons of profitability from mutual fund advisory contracts because comparative information is not generally available and is affected by numerous factors, including the structure of the particular adviser, the types of funds it manages, its business mix, numerous assumptions about cost allocations and each Adviser’s capital structure and cost of capital. The Trustees of each Trust concluded that, taking all of the foregoing into account, they were satisfied that each Adviser’s level of profitability from its relationship with the relevant Trust was not excessive. The Trustees of Trust I did not consider the profitability of any Subadvisory Contract to the relevant Subadviser because the structure of each Subadvisory Contract is such that any profits to the applicable Subadviser reduce the profitability of IAM, and the fees payable under each Subadvisory Contract were the product of arm’s-length bargaining between the applicable Subadviser and IAM.
Possible Fall-Out Benefits. The Trustees of Trust I, including the Independent Trustees, considered information regarding the direct and indirect benefits to IAM and each Subadviser from their relationships with the respective Pax Funds, including reputational and other “fall out” benefits. During the course of the year, the Trustees of Trust I received presentations from IAM about its trading practices and brokerage arrangements, including its policies with respect to research provided in connection with trade execution for the relevant Pax Funds (soft dollar arrangements), and the Trustees of Trust I accepted the representation of IAM that it fulfills its fiduciary obligation of seeking best execution when engaging in portfolio transactions for the Pax Funds. The Trustees of Trust I considered the receipt of these benefits in light of IAM’s profitability, and concluded that such benefits were not excessive.
The Trustees of Trust III, including the Independent Trustees, considered information regarding the direct and indirect benefits to PEM from its relationship with the Global Women’s Leadership Fund, including reputational and other “fall out” benefits. The Trustees of Trust III considered the receipt of these benefits in light of PEM’s profitability, and concluded that such benefits were not excessive.
Possible Economies of Scale. The Trustees, including the Independent Trustees, considered the extent to which the Advisers and each Subadviser, as applicable, may realize economies of scale or other efficiencies in managing and supporting
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the Pax Funds. They noted that as assets increase, certain fixed costs may be spread across a larger asset base, and it was noted that any economies of scale or other efficiencies might be realized (if at all) across a variety of products and services, including the Pax Funds, and not only in respect of a single Pax Fund. The Independent Trustees noted that many of the Pax Funds are small by industry standards, and that it was therefore not necessary to engage in more substantive discussions of possible breakpoints or other fee reductions at this time. Based on these observations, the Independent Trustees concluded that the Pax Funds’ overall fee arrangements represent an appropriate sharing at the present time between Pax Fund shareholders and the relevant Adviser and Subadviser (where applicable) of any economies of scale or other efficiencies in the management of each Pax Fund at current asset levels.
Conclusions. Based on their evaluation of factors that they deemed to be material, including those factors described above, the Board of Trustees of each Trust, including the Independent Trustees, unanimously concluded that the approval of the Management Contracts with respect to each Pax Fund and the approval of the Subadvisory Contracts for the applicable Pax Funds, was in the best interests of the Pax Funds and that the Management Contracts and the Subadvisory Contracts should be approved.
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Proxy Voting (Unaudited)
You may obtain a description of the Funds’ policies and procedures that the Funds use to determine how to vote proxies relating to their portfolio securities, without charge, upon request by contacting the Funds at 800.767.1729 or on the SEC’s website at www.sec.gov.
The information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge, upon request, by telephoning Pax (toll-free) at 800.767.1729 or visiting Pax’s website at www.paxworld.com and will be available without charge by visiting the SEC’s website at www.sec.gov.
Quarterly Portfolio Holdings Disclosure (Unaudited)
Each Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Each Fund’s Form N-Qs are available on the SEC website at www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 800.SEC.0330. Information contained in each Fund’s Form N-Qs may also be obtained by visiting Pax’s website at www.paxworld.com or telephoning Pax (toll-free) at 800.767.1729.
The Statement of Additional Information includes additional information about the trustees and is available upon request without charge by calling 800.767.1729 between the hours of 9:00 a.m. and 5:30 p.m. Eastern time or by visiting our website at www.paxworld.com.
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Account Options and Services |
At Pax World, we are pleased to offer a variety of account options and shareholder services to help meet your investment needs.
Types of Accounts | Services | |
Regular Accounts: Individual, business and trust accounts are available for all Pax World Funds.
Traditional IRA Contributions to an IRA may be tax-deductible. Taxes are paid only when funds are withdrawn, when investors may be in a lower tax bracket.
Roth IRA Contributions to a Roth IRA are not deductible, but after five years some types of withdrawals are tax-free.
SIMPLE IRA This is an easy-to maintain retirement plan designed for small businesses.
SEP IRA This is an employer funded retirement plan popular with small businesses and self-employed persons.
Education Savings Account & Uniform Gift to Minors Account (UGMA) These plans provide excellent ways to save for a child’s education. | Automatic Investment Plan You may arrange to have a fixed amount automatically deducted from your checking or savings account and invested in your Pax World account on a monthly or quarterly basis. Automatic investment plans do not assure a profit and do not protect against loss in declining markets.
Online Account Access Utilizing a unique ID number and PIN, you can access your Pax World account balances or histories; purchase or redeem fund shares; or make exchanges between different Pax World Funds.
www.paxworld.com Learn all about Pax World Funds through our web site! You can check Fund performance, read about our portfolio managers, view Connection—our quarterly newsletter, and see how we voted on various proxies for the companies in our portfolios. |
Please note that the information contained herein does not constitute tax advice. Always consult your tax advisor before making any tax-related investment decisions.
This semi-annual report is intended for shareholders of the Pax World Funds only, and is not authorized for distribution to other persons unless accompanied or preceded by a prospectus. Please consider the Funds’ investment objectives, risks and charges and expenses carefully before investing. The Funds’ prospectus contains this and other information about the Funds and may be obtained by calling 800.767.1729, emailing info@paxworld.com or visiting www.paxworld.com.
Distributor: ALPS Distributors, Inc. member of FINRA 8/18.
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Item 2. Code of Ethics.
This disclosure is not required for the Semi-annual report filing.
Item 3. Audit Committee Financial Expert.
This disclosure is not required for the Semi-annual report filing.
Item 4. Principal Accountant Fees and Services.
This disclosure is not required for the Semi-annual report filing.
Item 5. Audit Committee of Listed Registrants.
This disclosure is not applicable to the Registrant.
Item 6. Schedule of Investments.
A complete series of schedules of investments are included as part of the Report to Shareholders filed under Item 1
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
This disclosure is not applicable to the Registrant, as it is an open-end investment company.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
This disclosure is not applicable to the Registrant, as it is an open-end investment company.
Item 9. Purchase of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
This disclosure is not applicable to the Registrant, as it is an open-end investment company.
Item 10. Submission of Matters to a Vote of Security Holders.
There have been no material changes to the procedures by which shareholders may recommend nominees to the Registrant’s Board of Directors that have been implemented since the Registrant last provided disclosure in response to the requirements of this Item.
Item 11. Controls and Procedures.
(a) It is the conclusion of the Registrant’s principal executive officer and principal financial officer (or persons performing similar functions), based on an evaluation of the effectiveness of the design and operation of the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended) (the “Disclosure Controls”) as of a date within 90 days of the filing date of this report on Form N-CSR, that the design and operation of the Disclosure Controls are effective to reasonably ensure that information required to be disclosed by the Registrant in this report on Form N-CSR has been recorded, processed, summarized and reported within the time periods specified in the rules and forms of the Securities and Exchange Commission.
(b) There has been no change in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940, as amended) that occurred during the second fiscal quarter of the period covered by this report on Form N-CSR that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting.
Item 12. Exhibits.
(a) | (1) | The registrant’s code of ethics pursuant to Item 2 of Form N-CSR is filed with the registrant’s annual Form N-CSR. | |
(2) | Certifications of the principal executive officer and principal financial officer of the Registrant as required by Rule 30a-2(a) under the Investment Company Act of 1940, as amended, are attached. | ||
(3) | Written solicitation to repurchase securities issued by closed-end companies: not applicable. | ||
(b) | Certification of the principal executive officer and principal financial officer of the Registrant required by Rule 30a-2(b) under the Investment Company Act of 1940, as amended. |
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) | Pax World Funds Series Trust I | ||
By (Signature and Title) | /s/ Joseph F. Keefe | ||
Joseph F. Keefe, President | |||
Date | August 17, 2018 | ||
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf by the Registrant and in the capacities and on the dates indicated. | |||
By (Signature and Title) | /s/ Joseph F. Keefe | ||
Joseph F. Keefe, President (Principal Executive Officer) | |||
Date | August 17, 2018 | ||
By (Signature and Title) | /s/ Alicia K. DuBois | ||
Alicia K. DuBois, Treasurer (Principal Financial Officer) | |||
Date | August 17, 2018 |
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