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Russell Investment Funds

Filed: 31 Aug 11, 8:00pm
Table of Contents

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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: 811-05371

Russell Investment Funds

(Exact name of registrant as specified in charter)

1301 2nd Avenue 18th Floor, Seattle Washington 98101

(Address of principal executive offices) (Zip code)

Mary Beth Rhoden, Secretary and Chief Legal Office

Russell Investment Funds

18th Floor

Seattle, Washington 98101

206-505-4846

(Name and address of agent for service)

Registrant’s telephone number, including area code: 206-505-7877

Date of fiscal year end: December 31

Date of reporting period: January 1, 2011 – June 30, 2011

 

 

 


Table of Contents

Item 1. Reports to Stockholders


Table of Contents

LOGO

 

2011 SEMI-ANNUAL REPORT

 

 

Russell

Investment Funds

 

 

JUNE 30, 2011

FUND

Multi-Style Equity Fund

Aggressive Equity Fund

Non-U.S. Fund

Core Bond Fund

Global Real Estate Securities Fund (formerly Real Estate Securities Fund)

 

LOGO


Table of Contents

Russell Investment Funds

Russell Investment Funds is a series investment company with ten different investment portfolios referred to as Funds. These financial statements report on five of these Funds.


Table of Contents

Russell Investment Funds

Semi-annual Report

June 30, 2011 (Unaudited)

Table of Contents

 

   Page 
Multi-Style Equity Fund   3  
Aggressive Equity Fund   10  
Non-U.S. Fund   20  
Core Bond Fund   31  
Global Real Estate Securities Fund   59  
Notes to Schedules of Investments   66  
Statements of Assets and Liabilities   67  
Statements of Operations   69  
Statements of Changes in Net Assets   70  
Financial Highlights   72  
Notes to Financial Highlights   74  
Notes to Financial Statements   75  
Basis for Approval of Investment Advisory Contracts   92  
Shareholder Requests for Additional Information   97  
Disclosure of Information about Fund Trustees and Officers   98  
Adviser, Money Managers and Service Providers   103  


Table of Contents

Russell Investment Funds

Copyright © Russell Investments 2011. All rights reserved.

Russell Investments is a Washington, USA corporation, which operates through subsidiaries worldwide and is a subsidiary of The Northwestern Mutual Life Insurance Company.

Fund objectives, risks, charges and expenses should be carefully considered before investing. A prospectus containing this and other important information must precede or accompany this material. Please read the prospectus carefully before investing.

Securities distributed through Russell Financial Services, Inc., member FINRA and part of Russell Investments.

Performance quoted represents past performance and does not guarantee future results. The investment return and principal value of an investment will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted.


Table of Contents

Russell Investment Funds

Multi-Style Equity Fund

Shareholder Expense Example — June 30, 2011 (Unaudited)

 

 

 

Fund Expenses

The following disclosure provides important information regarding each Fund’s Expense Example, which appears on each Fund’s individual page in this Semi-annual Report. Please refer to this information when reviewing the Expense Example for a Fund.

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including advisory fees and other Fund expenses. The Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period indicated, which for this Fund is from January 1, 2011 to June 30, 2011.

Actual Expenses

The information in the table under the heading “Actual Performance” provides information about actual account values and actual expenses. You may use the information in this column, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first column in the row entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The information in the table under the heading “Hypothetical Performance (5% return before expenses)” provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the 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 Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the information under the heading “Hypothetical Performance (5% return before expenses)” is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. The fee and expenses shown in this section do not reflect any Insurance Company Separate Account or Policy Charges.

 

   Actual
Performance
   Hypothetical
Performance
(5% return
before expenses)
 

Beginning Account Value

    

January 1, 2011

  $1,000.00    $1,000.00  

Ending Account Value

    

June 30, 2011

  $1,052.30    $1,020.38  

Expenses Paid During Period*

  $4.53    $4.46  

 

*Expenses are equal to the Fund’s annualized expense ratio of 0.89% (representing the six month period annualized), multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). May reflect amounts waived, reimbursed and/or other credits. Without any waivers, reimbursements and/or other credits, expenses would have been higher.
 

 

Multi-Style Equity Fund 3


Table of Contents

Russell Investment Funds

Multi-Style Equity Fund

Schedule of Investments — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      
Common Stocks - 96.0%      
Consumer Discretionary - 15.5%      

Abercrombie & Fitch Co. Class A

   16,400       1,098  

Amazon.com, Inc. (Æ)

   16,318       3,337  

American Eagle Outfitters, Inc.

   64,100       817  

Apollo Group, Inc. Class A (Æ)

   4,200       183  

Avon Products, Inc.

   34,000       952  

Bed Bath & Beyond, Inc. (Æ)

   36,371       2,123  

BorgWarner, Inc. (Æ)

   4,400       355  

Carnival Corp.

   5,300       199  

Chico’s FAS, Inc.

   2,800       43  

Clear Channel Outdoor Holdings, Inc. Class A (Æ)

   2,900       37  

Coach, Inc.

   27,000       1,726  

Comcast Corp. Class A

   70,037       1,775  

Costco Wholesale Corp.

   15,600       1,267  

DIRECTV, Inc. Class A (Æ)

   8,590       437  

Estee Lauder Cos., Inc. (The) Class A

   8,789       925  

Ford Motor Co. (Æ)(Ñ)

   128,527       1,772  

Gap, Inc. (The)

   49,900       903  

Hanesbrands, Inc. (Æ)

   24,400       697  

Harman International Industries, Inc.

   2,900       132  

Home Depot, Inc.

   70,355       2,549  

Hyatt Hotels Corp. Class A (Æ)

   4,200       171  

JC Penney Co., Inc.

   5,665       196  

Johnson Controls, Inc.

   96,453       4,018  

Kohl’s Corp.

   15,700       785  

Las Vegas Sands Corp. (Æ)

   35,105       1,482  

Liberty Global, Inc. Class A (Æ)

   7,000       315  

Limited Brands, Inc.

   8,010       308  

Lowe’s Cos., Inc.

   127,305       2,967  

McDonald’s Corp.

   41,100       3,466  

MGM Resorts International (Æ)

   18,800       248  

Newell Rubbermaid, Inc.

   10,400       164  

Nielsen Holdings NV (Æ)

   44,073       1,373  

Nike, Inc. Class B

   18,600       1,674  

Omnicom Group, Inc.

   20,800       1,002  

priceline.com, Inc. (Æ)

   2,086       1,068  

Royal Caribbean Cruises, Ltd. (Æ)

   25,000       941  

Stanley Black & Decker, Inc.

   17,112       1,233  

Staples, Inc.

   49,500       782  

Starbucks Corp.

   80,308       3,171  

Starwood Hotels & Resorts
Worldwide, Inc. (ö)

   6,000       336  

Target Corp.

   16,900       793  

TE Connectivity, Ltd.

   16,022       589  

Tesla Motors, Inc. (Æ)(Ñ)

   6,400       186  

Tiffany & Co.

   15,100       1,185  

Time Warner, Inc.

   98,964       3,600  

TJX Cos., Inc.

   30,692       1,612  

Viacom, Inc. Class A

   82,443       4,206  

Wal-Mart Stores, Inc.

   28,400       1,509  

Walt Disney Co. (The)

   69,418       2,710  

Warnaco Group, Inc. (The)(Æ)

   18,400       961  
      

 

 

 
       64,378  
      

 

 

 
   Principal
Amount ($)
or Shares
     Market
Value
$
 
Consumer Staples - 9.0%      

Archer-Daniels-Midland Co.

   58,000       1,749  

Clorox Co. (Ñ)

   9,300       627  

Coca-Cola Co. (The)

   115,566       7,776  

Colgate-Palmolive Co.

   14,300       1,250  

ConAgra Foods, Inc.

   58,673       1,515  

Corn Products International, Inc.

   1,000       55  

Dr Pepper Snapple Group, Inc.

   6,600       277  

General Mills, Inc.

   31,900       1,188  

Hansen Natural Corp. (Æ)

   1,100       89  

Hershey Co. (The)

   11,527       655  

HJ Heinz Co.

   18,000       959  

Kellogg Co.

   4,500       249  

Kimberly-Clark Corp.

   9,300       619  

Kraft Foods, Inc. Class A

   78,267       2,758  

Kroger Co. (The)

   20,000       496  

Mead Johnson Nutrition Co. Class A

   7,200       486  

PepsiCo, Inc.

   115,696       8,148  

Philip Morris International, Inc.

   7,600       507  

Procter & Gamble Co. (The)

   73,349       4,663  

Safeway, Inc. (Ñ)

   28,200       659  

Sara Lee Corp.

   11,900       226  

Walgreen Co.

   32,400       1,376  

Whole Foods Market, Inc.

   16,539       1,049  
      

 

 

 
       37,376  
      

 

 

 
Energy - 10.8%      

Alpha Natural Resources, Inc. (Æ)

   9,600       436  

Anadarko Petroleum Corp.

   19,000       1,458  

Apache Corp.

   20,662       2,549  

Arch Coal, Inc.

   2,700       72  

Cabot Oil & Gas Corp.

   12,783       848  

Cameron International Corp. (Æ)

   14,700       739  

Chevron Corp.

   40,300       4,144  

ConocoPhillips

   46,913       3,528  

Devon Energy Corp.

   31,255       2,463  

Diamond Offshore Drilling, Inc. (Ñ)

   1,800       127  

Dresser-Rand Group, Inc. (Æ)

   19,300       1,037  

El Paso Corp.

   33,727       681  

EnCana Corp.

   14,600       450  

Ensco PLC - ADR

   10,090       538  

EOG Resources, Inc.

   11,648       1,218  

Exxon Mobil Corp.

   13,600       1,106  

Halliburton Co.

   71,747       3,660  

Marathon Oil Corp.

   77,093       4,062  

Murphy Oil Corp.

   6,900       453  

National Oilwell Varco, Inc.

   25,524       1,997  

Occidental Petroleum Corp.

   50,222       5,226  

Oceaneering International, Inc.

   5,200       211  

Patterson-UTI Energy, Inc.

   10,800       341  

Pioneer Natural Resources Co.

   11,008       986  

QEP Resources, Inc.

   1,500       63  

Rosetta Resources, Inc. (Æ)

   2,870       148  

Rowan Cos., Inc. (Æ)

   4,800       186  

Royal Dutch Shell PLC - ADR

   9,900       704  

Schlumberger, Ltd.

   34,500       2,980  

SM Energy Co.

   2,600       191  
 

 

 4   Multi-Style Equity Fund


Table of Contents

Russell Investment Funds

Multi-Style Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Statoil ASA - ADR

   33,300       847  

Total SA - ADR

   9,700       561  

Unit Corp. (Æ)

   3,600       219  

Valero Energy Corp.

   10,100       258  

Walter Energy, Inc. Class A

   520       60  

Williams Cos., Inc. (The)

   12,200       369  
      

 

 

 
       44,916  
      

 

 

 
Financial Services - 13.6%      

ACE, Ltd.

   7,900       520  

Allied World Assurance Co. Holdings, Ltd.

   4,400       253  

Allstate Corp. (The)

   49,350       1,507  

American Express Co.

   51,481       2,661  

American Financial Group, Inc.

   7,500       268  

Ameriprise Financial, Inc.

   5,100       294  

Assurant, Inc.

   10,100       366  

Assured Guaranty, Ltd.

   5,800       95  

Axis Capital Holdings, Ltd.

   11,800       365  

Bank of America Corp.

   88,300       968  

Bank of New York Mellon Corp. (The)

   65,565       1,680  

BB&T Corp.

   113,718       3,053  

BlackRock, Inc. Class A

   7,600       1,458  

Capital One Financial Corp.

   15,794       816  

Charles Schwab Corp. (The)

   78,250       1,287  

Chubb Corp.

   7,600       476  

Citigroup, Inc.

   24,300       1,012  

City National Corp.

   3,300       179  

CNA Financial Corp.

   3,500       102  

Discover Financial Services

   28,187       754  

Equifax, Inc.

   700       24  

Federated Investors, Inc. Class B (Ñ)

   19,600       467  

Goldman Sachs Group, Inc. (The)

   14,550       1,937  

Hartford Financial Services Group, Inc.

   41,000       1,081  

HCC Insurance Holdings, Inc.

   8,800       277  

Hospitality Properties Trust (ö)

   6,300       153  

Hudson City Bancorp, Inc.

   35,600       292  

Huntington Bancshares, Inc.

   183,271       1,202  

Interactive Brokers Group, Inc. Class A

   7,400       116  

Jefferies Group, Inc.

   20,400       416  

JPMorgan Chase & Co.

   158,000       6,469  

KeyCorp

   66,200       551  

Liberty Property Trust (ö)

   5,100       166  

Lincoln National Corp.

   37,100       1,057  

Mastercard, Inc. Class A

   3,368       1,015  

Mercury General Corp.

   11,600       458  

MetLife, Inc.

   119,269       5,234  

Morgan Stanley

   64,900       1,493  

Northern Trust Corp.

   27,176       1,249  

People’s United Financial, Inc.

   30,100       405  

PNC Financial Services Group, Inc.

   19,200       1,144  

Progressive Corp. (The)

   13,600       291  

Protective Life Corp.

   3,300       76  

Prudential Financial, Inc.

   24,500       1,558  

Public Storage (ö)

   1,900       217  

Reinsurance Group of America, Inc. Class A

   1,900       116  

Selective Insurance Group, Inc.

   2,300       37  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Sovran Self Storage, Inc. (ö)

   1,200       49  

SunTrust Banks, Inc.

   37,500       968  

Symetra Financial Corp.

   4,500       60  

Transatlantic Holdings, Inc.

   2,900       142  

Travelers Cos., Inc. (The)

   9,100       531  

Unum Group

   4,000       102  

US Bancorp

   69,896       1,783  

Valley National Bancorp (Ñ)

   35,150       478  

Visa, Inc. Class A

   11,957       1,007  

Webster Financial Corp.

   1,400       29  

Wells Fargo & Co.

   174,760       4,903  

Weyerhaeuser Co. (ö)

   30,579       668  
      

 

 

 
       56,335  
      

 

 

 
Health Care - 11.8%      

Abbott Laboratories

   49,100       2,584  

Aetna, Inc.

   10,800       476  

Allergan, Inc.

   51,115       4,255  

AMERIGROUP Corp. Class A (Æ)

   3,400       240  

AmerisourceBergen Corp. Class A

   25,500       1,055  

Amgen, Inc. (Æ)

   8,700       508  

Baxter International, Inc.

   13,700       818  

Biogen Idec, Inc. (Æ)

   4,000       428  

Boston Scientific Corp. (Æ)

   59,800       413  

Cerner Corp. (Æ)(Ñ)

   9,800       599  

Cigna Corp.

   1,900       98  

Covance, Inc. (Æ)

   8,400       499  

Coventry Health Care, Inc. (Æ)

   13,000       474  

Covidien PLC

   42,347       2,254  

Cubist Pharmaceuticals, Inc. (Æ)

   8,700       313  

Dendreon Corp. (Æ)

   16,100       635  

Eli Lilly & Co. (Ñ)

   15,900       597  

Express Scripts, Inc. Class A (Æ)

   12,000       648  

Gilead Sciences, Inc. (Æ)

   9,920       411  

Hologic, Inc. (Æ)

   19,700       397  

Hospira, Inc. (Æ)

   7,650       433  

Humana, Inc.

   500       40  

Illumina, Inc. (Æ)

   8,737       657  

Johnson & Johnson

   51,750       3,442  

Lincare Holdings, Inc.

   16,100       471  

Medco Health Solutions, Inc. (Æ)

   28,200       1,594  

Medicis Pharmaceutical Corp. Class A

   5,500       210  

Medtronic, Inc.

   22,216       856  

Merck & Co., Inc.

   78,341       2,764  

Pfizer, Inc.

   363,191       7,482  

Sanofi-Aventis SA - ADR

   67,500       2,711  

St. Jude Medical, Inc.

   7,920       378  

Stryker Corp.

   50,929       2,989  

Teleflex, Inc.

   7,300       446  

Teva Pharmaceutical Industries, Ltd. - ADR

   11,250       542  

Thermo Fisher Scientific, Inc. (Æ)

   20,517       1,321  

UnitedHealth Group, Inc.

   8,490       438  

Valeant Pharmaceuticals International, Inc.

   4,010       208  

Vertex Pharmaceuticals, Inc. (Æ)

   21,800       1,134  

Warner Chilcott PLC Class A

   47,000       1,134  

Watson Pharmaceuticals, Inc.
Class B (Æ)

   18,965       1,304  
 

 

Multi-Style Equity Fund 5


Table of Contents

Russell Investment Funds

Multi-Style Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

WellCare Health Plans, Inc. (Æ)

   600       31  

WellPoint, Inc.

   5,700       449  
      

 

 

 
       48,736  
      

 

 

 
Materials and Processing - 3.9%      

Bemis Co., Inc.

   16,400       554  

Celanese Corp. Class A

   14,455       771  

Cliffs Natural Resources, Inc.

   3,601       333  

Dow Chemical Co. (The)

   10,210       368  

Eastman Chemical Co.

   14,902       1,520  

EI du Pont de Nemours & Co.

   36,710       1,983  

Freeport-McMoRan Copper & Gold, Inc.

   15,600       825  

Huntsman Corp.

   35,800       675  

MeadWestvaco Corp.

   10,200       340  

Monsanto Co.

   42,110       3,054  

Nucor Corp.

   18,500       763  

Packaging Corp. of America

   8,381       235  

Potash Corp. of Saskatchewan, Inc.

   28,040       1,598  

Precision Castparts Corp.

   2,900       477  

Sealed Air Corp.

   42,632       1,015  

Steel Dynamics, Inc.

   33,300       541  

Temple-Inland, Inc.

   2,682       80  

Textron, Inc.

   4,300       102  

Vulcan Materials Co. (Ñ)

   21,300       821  
      

 

 

 
       16,055  
      

 

 

 
Producer Durables - 11.7%      

3M Co.

   32,131       3,047  

Accenture PLC Class A

   68,114       4,117  

Agilent Technologies, Inc. (Æ)

   17,922       916  

AO Smith Corp.

   1,900       80  

Boeing Co. (The)

   23,300       1,723  

Caterpillar, Inc.

   24,044       2,560  

Chicago Bridge & Iron Co. NV

   3,100       121  

CNH Global NV (Æ)

   300       12  

Convergys Corp. (Æ)

   9,800       134  

CSX Corp.

   19,200       503  

Cummins, Inc.

   1,810       187  

Danaher Corp.

   21,000       1,113  

Deere & Co.

   12,882       1,062  

Delta Air Lines, Inc. (Æ)

   87,156       799  

Eaton Corp.

   2,000       103  

Emerson Electric Co.

   18,600       1,046  

FedEx Corp.

   25,736       2,441  

Fluor Corp.

   35,350       2,286  

Gardner Denver, Inc.

   1,100       92  

General Dynamics Corp.

   26,957       2,009  

General Electric Co.

   129,100       2,435  

Harsco Corp.

   18,000       587  

Honeywell International, Inc.

   59,115       3,522  

Kansas City Southern (Æ)

   1,700       101  

KBR, Inc.

   10,200       384  

Kennametal, Inc.

   2,700       114  

Kirby Corp. (Æ)

   300       17  

Lexmark International, Inc. Class A (Æ)

   8,300       243  

Lockheed Martin Corp.

   8,300       672  

Manpower, Inc.

   17,515       940  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Moody’s Corp.

   25,530       979  

Pentair, Inc.

   32,917       1,328  

Pitney Bowes, Inc.

   36,976       850  

Raytheon Co.

   9,600       479  

Republic Services, Inc. Class A

   23,700       731  

Rockwell Automation, Inc.

   12,010       1,042  

Rockwell Collins, Inc.

   5,460       337  

RR Donnelley & Sons Co. (Ñ)

   25,600       502  

Ryder System, Inc.

   4,200       239  

Skywest, Inc.

   2,900       44  

Synopsys, Inc. (Æ)

   13,200       339  

Terex Corp. (Æ)

   9,800       279  

Tidewater, Inc.

   9,900       533  

Union Pacific Corp.

   4,600       480  

United Continental Holdings, Inc. (Æ)

   54,300       1,229  

United Parcel Service, Inc. Class B

   60,449       4,408  

URS Corp. (Æ)

   6,600       295  

Waste Management, Inc.

   12,700       473  

Xerox Corp.

   40,000       416  
      

 

 

 
       48,349  
      

 

 

 
Technology - 15.8%      

Acme Packet, Inc. (Æ)

   4,760       334  

Alcatel-Lucent - ADR (Æ)

   78,600       454  

Altera Corp.

   6,300       292  

Amdocs, Ltd. (Æ)

   13,100       398  

Amphenol Corp. Class A

   21,189       1,144  

Apple, Inc. (Æ)

   29,024       9,740  

Applied Materials, Inc.

   160,711       2,091  

Avago Technologies, Ltd.

   30,000       1,140  

BCE, Inc.

   50,900       1,999  

Broadcom Corp. Class A

   7,600       256  

CA, Inc.

   6,400       146  

Check Point Software Technologies,
Ltd. (Æ)(Ñ)

   13,800       785  

Citrix Systems, Inc. (Æ)

   14,600       1,168  

Cognizant Technology Solutions Corp. Class A (Æ)

   21,444       1,573  

Corning, Inc.

   25,800       468  

Diebold, Inc.

   10,900       338  

Electronic Arts, Inc. (Æ)

   21,000       496  

EMC Corp. (Æ)

   22,900       631  

Google, Inc. Class A (Æ)

   8,455       4,281  

Harris Corp.

   9,200       415  

Hewlett-Packard Co.

   25,400       925  

Intel Corp.

   84,300       1,868  

International Business Machines Corp.

   14,437       2,477  

JDS Uniphase Corp. (Æ)

   20,989       350  

Juniper Networks, Inc. (Æ)

   22,612       712  

Koninklijke Philips Electronics NV (Ñ)

   20,000       514  

Linear Technology Corp.

   19,400       641  

LSI Corp. (Æ)

   53,500       381  

Maxim Integrated Products, Inc.

   35,900       918  

Mentor Graphics Corp. (Æ)

   5,200       67  

Micron Technology, Inc. (Æ)

   47,800       358  

Microsoft Corp.

   154,300       4,011  

MKS Instruments, Inc.

   4,800       127  
 

 

 6   Multi-Style Equity Fund


Table of Contents

Russell Investment Funds

Multi-Style Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

  Principal
Amount ($)
or Shares
     Market
Value
$
 
     

Motorola Mobility Holdings,
Inc. (Æ)(Ñ)

  2,012       44  

Motorola Solutions, Inc. (Æ)

  10,842       499  

NetApp, Inc. (Æ)

  29,841       1,575  

Oracle Corp.

  159,476       5,248  

QUALCOMM, Inc.

  131,546       7,471  

Red Hat, Inc. (Æ)

  12,700       583  

Riverbed Technology, Inc. (Æ)

  6,200       245  

Salesforce.com, Inc. (Æ)

  9,970       1,486  

SanDisk Corp. (Æ)

  10,868       451  

Texas Instruments, Inc.

  84,719       2,781  

VeriFone Systems, Inc. (Æ)

  6,800       302  

VMware, Inc. Class A (Æ)

  4,900       491  

Vodafone Group PLC - ADR

  97,900       2,615  
     

 

 

 
      65,289  
     

 

 

 
Utilities - 3.9%     

American Electric Power Co., Inc.

  19,200       723  

AT&T, Inc.

  39,100       1,228  

Calpine Corp. (Æ)

  56,289       908  

DTE Energy Co.

  8,800       440  

Duke Energy Corp.

  25,900       488  

Edison International

  11,600       450  

Energen Corp.

  100       6  

Entergy Corp.

  6,600       451  

Exelon Corp.

  23,400       1,003  

Frontier Communications Corp.

  63,200       510  

Great Plains Energy, Inc.

  21,700       450  

Kinder Morgan, Inc.

  57,733       1,658  

MDU Resources Group, Inc.

  22,700       511  

MetroPCS Communications, Inc. (Æ)

  42,890       738  

NextEra Energy, Inc.

  33,369       1,917  

NII Holdings, Inc. (Æ)

  1,500       64  

NiSource, Inc. (Ñ)

  23,500       476  

NV Energy, Inc.

  22,600       347  

Pepco Holdings, Inc.

  21,300       418  

PG&E Corp.

  11,100       467  

PPL Corp.

  11,500       320  

Public Service Enterprise Group, Inc.

  6,200       202  

Questar Corp.

  9,400       166  

Southern Co.

  2,600       105  

Telephone & Data Systems, Inc.

  2,400       75  

Veolia Environnement SA - ADR (Ñ)

  14,300       405  

Verizon Communications, Inc.

  43,700       1,626  
     

 

 

 
      16,152  
     

 

 

 
Total Common Stocks
(cost $337,953)
      397,586  
     

 

 

 
Short-Term Investments - 3.9%      

Russell U.S. Cash Management Fund

  16,009,854(¥     16,010  
     

 

 

 
Total Short-Term Investments
(cost $16,010)
      16,010  
   Principal
Amount ($)
or Shares
     Market
Value
$
 
Other Securities - 0.8%      

Russell Investment Funds
Liquidating Trust (×)

   114,347(¥     135  

Russell U.S. Cash Collateral Fund (×)

   3,251,308(¥     3,251  
      

 

 

 
Total Other Securities
(cost $3,366)
       3,386  
      

 

 

 
Total Investments - 100.7%
(identified cost $357,329)
       416,982  
Other Assets and Liabilities,
Net - (0.7%)
       (2,745
      

 

 

 
Net Assets - 100.0%       414,237  
      

 

 

 
 

 

See accompanying notes which are an integral part of the financial statements.

 

Multi-Style Equity Fund 7


Table of Contents

Russell Investment Funds

Multi-Style Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except contract amounts)

 

 

Futures Contracts  Number of
Contracts
   

Notional
Amount

   Expiration
Date
  Unrealized
Appreciation
(Depreciation)
$
 
          
          

Long Positions

          

Russell 1000 Mini Index Futures

   27     USD     1,976    09/11   76  

S&P 500 E Mini Index Futures (CME)

   173     USD     11,379    09/11   361  

S&P 500 Index Futures (CME)

   7     USD     2,302    09/11   75  

S&P Midcap 400 E Mini Index Futures (CME)

   14     USD     1,367    09/11   57  
          

 

 

 

Total Unrealized Appreciation (Depreciation) on Open Futures Contracts (å)

           569  
          

 

 

 

 

 

 

Presentation of Portfolio Holdings — June 30, 2011 (Unaudited)

Amounts in thousands

 

   Market Value   

% of Net
Assets

 
Portfolio Summary  Level 1   Level 2   Level 3   Total   
          

Common Stocks

          

Consumer Discretionary

  $64,378    $    $    $64,378     15.5  

Consumer Staples

   37,376               37,376     9.0  

Energy

   44,916               44,916     10.8  

Financial Services

   56,335               56,335     13.6  

Health Care

   48,736               48,736     11.8  

Materials and Processing

   16,055               16,055     3.9  

Producer Durables

   48,349               48,349     11.7  

Technology

   65,289               65,289     15.8  

Utilities

   16,152               16,152     3.9  

Short-Term Investments

        16,010          16,010     3.9  

Other Securities

        3,386          3,386     0.8  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Investments

   397,586     19,396          416,982     100.7  
  

 

 

   

 

 

   

 

 

   

 

 

   

Other Assets and Liabilities, Net

           (0.7
          

 

 

 
           100.0  
          

 

 

 

Other Financial Instruments

          

Futures Contracts

   569               569     0.1  
  

 

 

   

 

 

   

 

 

   

 

 

   

Total Other Financial Instruments*

  $569    $    $    $569    
  

 

 

   

 

 

   

 

 

   

 

 

   

 

*Other financial instruments reflected in the Schedule of Investments, such as futures, forwards, and swap contracts which are valued at the unrealized appreciation/depreciation on the instruments.

For a description of the levels see note 2 in the Notes to Financial Statements.

 

See accompanying notes which are an integral part of the financial statements.

 

 8   Multi-Style Equity Fund


Table of Contents

Russell Investment Funds

Multi-Style Equity Fund

Fair Value of Derivative Instruments — June 30, 2011 (Unaudited)

Amounts in thousands

 

 

Derivatives not accounted for as hedging instruments  Equity
Contracts
 
  

Location: Statement of Assets and Liabilities - Assets

  

Daily variation margin on futures contracts*

  $569  
  

 

 

 
Derivatives not accounted for as hedging instruments  Equity
Contracts
 

Location: Statement of Operations - Net realized gain (loss)

  

Futures contracts

  $238  
  

 

 

 

Location: Statement of Operations - Net change in unrealized appreciation (depreciation)

  

Futures contracts

  $395  
  

 

 

 

 

*Includes cumulative appreciation/depreciation of futures contracts as reported in Schedule of Investments. Only current day’s variation margin is reported within the Statement of Assets and Liabilities

For further disclosure on derivatives see note 2 in Notes to Financial Statements.

 

See accompanying notes which are an integral part of the financial statements.

 

Multi-Style Equity Fund 9


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Shareholder Expense Example — June 30, 2011 (Unaudited)

 

 

 

Fund Expenses

The following disclosure provides important information regarding each Fund’s Expense Example, which appears on each Fund’s individual page in this Semi-annual Report. Please refer to this information when reviewing the Expense Example for a Fund.

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including advisory fees and other Fund expenses. The Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period indicated, which for this Fund is from January 1, 2011 to June 30, 2011.

Actual Expenses

The information in the table under the heading “Actual Performance” provides information about actual account values and actual expenses. You may use the information in this column, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first column in the row entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The information in the table under the heading “Hypothetical Performance (5% return before expenses)” provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate

of return of 5% per year before expenses, which is not the 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 Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the information under the heading “Hypothetical Performance (5% return before expenses)” is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. The fee and expenses shown in this section do not reflect any Insurance Company Separate Account or Policy Charges.

 

   Actual
Performance
   Hypothetical
Performance
(5% return
before expenses)
 
    

Beginning Account Value

    

January 1, 2011

  $1,000.00    $1,000.00  

Ending Account Value

    

June 30, 2011

  $1,065.20    $1,019.64  

Expenses Paid During Period*

  $5 .33    $5 .21  

 

*Expenses are equal to the Fund's annualized expense ratio of 1.04% (representing the six month period annualized), multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). May reflect amounts waived, reimbursed and/or other credits. Without any waivers, reimbursements and/or other credits, expenses would have been higher.
 

 

 10   Aggressive Equity Fund


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      
Common Stocks - 96.6%      
Consumer Discretionary - 11.1%      

1-800-Flowers.com, Inc. Class A (Æ)

   1,000       3  

Abercrombie & Fitch Co. Class A

   3,500       234  

Acacia Research - Acacia Technologies (Æ)

   23,541       865  

Amerco, Inc. (Æ)

   5,493       528  

Arctic Cat, Inc. (Æ)

   3,300       44  

Ascena Retail Group, Inc. (Æ)

   8,780       299  

Bebe Stores, Inc.

   49,700       303  

Big 5 Sporting Goods Corp.

   700       6  

BJ’s Wholesale Club, Inc. (Æ)

   7,800       392  

Callaway Golf Co.

   39,050       243  

Charming Shoppes, Inc. (Æ)

   28,000       116  

Chico’s FAS, Inc.

   6,200       94  

Choice Hotels International, Inc.

   3,700       123  

Christopher & Banks Corp.

   52,862       304  

Clear Channel Outdoor Holdings, Inc. Class A (Æ)

   6,015       76  

CROCS, Inc. (Æ)

   26,357       680  

Daktronics, Inc.

   4,600       50  

Dick’s Sporting Goods, Inc. (Æ)

   12,112       466  

Dollar Tree, Inc. (Æ)

   13,300       887  

Elizabeth Arden, Inc. (Æ)

   3,900       113  

Federal-Mogul Corp. (Æ)

   3,884       89  

Finish Line, Inc. (The) Class A

   14,904       319  

Flextronics International, Ltd. (Æ)

   18,570       119  

Foot Locker, Inc.

   26,060       620  

Fossil, Inc. (Æ)

   6,600       778  

Fred’s, Inc. Class A

   21,340       308  

Gentex Corp.

   29,418       889  

Harman International Industries, Inc.

   10,800       492  

Hillenbrand, Inc.

   18,070       427  

HOT Topic, Inc.

   8,800       65  

Hyatt Hotels Corp. Class A (Æ)

   2,800       114  

Interpublic Group of Cos., Inc. (The)

   18,000       225  

Jones Group, Inc. (The)

   50,320       546  

Kenneth Cole Productions, Inc. Class A (Æ)

   20,664       258  

Leapfrog Enterprises, Inc. Class A (Æ)

   2,200       9  

Lear Corp.

   2,800       150  

Liberty Global, Inc. Class A (Æ)

   1,100       50  

LKQ Corp. (Æ)

   36,342       949  

Marchex, Inc. Class A

   1,200       11  

MDC Holdings, Inc.

   15,360       378  

Meredith Corp. (Ñ)

   14,600       454  

Movado Group, Inc.

   2,700       46  

Multimedia Games Holding Co., Inc. (Æ)

   2,400       11  

New York & Co., Inc. (Æ)

   3,300       16  

Newell Rubbermaid, Inc.

   2,000       32  

Oxford Industries, Inc.

   9,990       337  

Panera Bread Co. Class A (Æ)

   4,852       609  

Papa John’s International, Inc. (Æ)

   7,800       259  

PC Mall, Inc. (Æ)

   300       2  

Perry Ellis International, Inc. (Æ)

   1,600       40  

Pool Corp.

   17,111       510  

Quiksilver, Inc. (Æ)

   13,900       65  

RadioShack Corp. (Ñ)

   26,460       352  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

RealD, Inc. (Æ)(Ñ)

   6,198       145  

Regis Corp.

   3,160       48  

Rick’s Cabaret International, Inc. (Æ)

   900       8  

Ross Stores, Inc.

   8,580       688  

Ruby Tuesday, Inc. (Æ)

   16,696       180  

Sinclair Broadcast Group, Inc. Class A

   12,300       135  

Sotheby’s Class A

   1,657       72  

Standard Motor Products, Inc.

   22,000       335  

Steven Madden, Ltd. (Æ)

   25,412       954  

Stewart Enterprises, Inc. Class A

   23,100       169  

Superior Industries International, Inc.

   17,703       391  

Tempur-Pedic International, Inc. (Æ)

   4,818       327  

Texas Roadhouse, Inc. Class A

   27,520       483  

TRW Automotive Holdings Corp. (Æ)

   6,800       401  

Wendy’s/Arby’s Group, Inc. Class A

   124,960       633  

Wet Seal, Inc. (The) Class A (Æ)

   19,900       89  

Williams-Sonoma, Inc.

   20,250       739  

WMS Industries, Inc. (Æ)

   8,908       274  

Wolverine World Wide, Inc.

   17,594       734  

Wyndham Worldwide Corp.

   6,600       222  

XO Group, Inc. (Æ)

   1,600       16  
      

 

 

 
       22,398  
      

 

 

 
Consumer Staples - 2.1%      

Andersons, Inc. (The)

   4,263       180  

Church & Dwight Co., Inc.

   7,200       292  

Constellation Brands, Inc. Class A (Æ)

   20,400       425  

Corn Products International, Inc.

   26,000       1,437  

Dean Foods Co. (Æ)

   8,900       109  

Fresh Del Monte Produce, Inc.

   6,100       163  

Hansen Natural Corp. (Æ)

   1,300       105  

Imperial Sugar Co.

   200       4  

Nash Finch Co.

   1,800       64  

Omega Protein Corp. (Æ)(Ñ)

   2,100       29  

Pantry, Inc. (The)(Æ)

   2,800       53  

Sanderson Farms, Inc. (Ñ)

   8,010       383  

Smart Balance, Inc. (Æ)

   9,300       48  

Spartan Stores, Inc.

   4,600       90  

Susser Holdings Corp. (Æ)

   900       14  

TreeHouse Foods, Inc. (Æ)(Ñ)

   15,930       870  
      

 

 

 
       4,266  
      

 

 

 
Energy - 6.5%      

Alon USA Energy, Inc.

   1,200       14  

Alpha Natural Resources, Inc. (Æ)

   8,599       391  

Arch Coal, Inc.

   5,900       157  

Berry Petroleum Co. Class A

   5,800       308  

Cabot Oil & Gas Corp.

   700       46  

Cloud Peak Energy, Inc. (Æ)

   13,900       296  

Complete Production Services, Inc. (Æ)

   19,014       634  

Comstock Resources, Inc. (Æ)(Ñ)

   8,299       239  

Core Laboratories NV

   5,704       636  

Dresser-Rand Group, Inc. (Æ)

   3,700       199  

Exterran Holdings, Inc. (Æ)

   9,876       196  

Frontier Oil Corp.

   13,700       443  

Global Geophysical Services, Inc. (Æ)

   1,000       18  

Global Industries, Ltd. (Æ)

   40,664       223  
 

 

Aggressive Equity Fund 11


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
   Market
Value
$
 
    

Gulf Island Fabrication, Inc.

   1,800     58  

Helmerich & Payne, Inc.

   16,119     1,066  

Mitcham Industries, Inc. (Æ)

   3,000     52  

Newfield Exploration Co. (Æ)

   6,220     423  

Newpark Resources, Inc. (Æ)

   13,657     124  

Oceaneering International, Inc.

   13,400     543  

Oil States International, Inc. (Æ)

   3,100     248  

Patterson-UTI Energy, Inc.

   36,743     1,161  

Penn Virginia Corp.

   40,300     532  

Precision Drilling Corp. (Æ)

   20,544     295  

Rosetta Resources, Inc. (Æ)

   16,600     855  

Rowan Cos., Inc. (Æ)

   11,281     438  

SEACOR Holdings, Inc.

   4,300     430  

SM Energy Co.

   3,700     272  

Sunoco, Inc.

   6,687     279  

Superior Energy Services, Inc. (Æ)

   17,460     648  

Tesoro Corp. (Æ)

   10,700     245  

Tetra Technologies, Inc. (Æ)

   14,096     179  

Thompson Creek Metals Co., Inc. - ADR (Æ)

   22,600     226  

Unit Corp. (Æ)

   10,281     626  

Walter Energy, Inc. Class A

   3,909     453  

Western Refining, Inc. (Æ)(Ñ)

   7,800     141  
    

 

 

 
     13,094  
    

 

 

 
Financial Services - 17.7%    

Advance America Cash Advance Centers, Inc.

   8,100     56  

Affiliated Managers Group, Inc. (Æ)

   8,279     840  

Allied World Assurance Co. Holdings, Ltd.

   4,000     230  

American Assets Trust, Inc. (ö)

   17,000     382  

American Capital Agency Corp. (ö)

   23,900     696  

American Financial Group, Inc.

   11,400     407  

Ameriprise Financial, Inc.

   3,253     188  

Anworth Mortgage Asset Corp. (ö)

   24,360     183  

Apartment Investment & Management Co. Class A (ö)

   7,000     179  

Apollo Commercial Real Estate Finance, Inc. (ö)

   4,000     64  

Arch Capital Group, Ltd. (Æ)

   2,900     93  

Ares Capital Corp.

   25,180     405  

Argo Group International Holdings, Ltd.

   1,500     45  

Arthur J Gallagher & Co.

   3,400     97  

Artio Global Investors, Inc. Class A

   4,800     54  

Ashford Hospitality Trust, Inc. (ö)

   3,410     42  

Assurant, Inc.

   10,700     388  

Astoria Financial Corp.

   23,480     300  

Axis Capital Holdings, Ltd.

   13,300     412  

Banco Latinoamericano de Comercio Exterior SA Class E

   3,300     57  

Bank of Hawaii Corp.

   2,800     130  

BioMed Realty Trust, Inc. (ö)

   22,050     424  

BOK Financial Corp.

   1,400     77  

Boston Private Financial Holdings, Inc. (Ñ)

   47,121     310  

Brandywine Realty Trust (ö)

   27,200     315  

Brookline Bancorp, Inc.

   30,900     286  

Brown & Brown, Inc.

   4,100     105  

Bryn Mawr Bank Corp.

   300     6  
 �� Principal
Amount ($)
or Shares
   Market
Value
$
 

Camden Property Trust (ö)

   4,700     299  

Capitol Federal Financial, Inc.

   34,191     402  

CapLease, Inc. (ö)

   10,900     54  

Cardinal Financial Corp.

   1,000     11  

Center Financial Corp. (Æ)

   3,100     20  

Chemical Financial Corp.

   700     13  

Chesapeake Lodging Trust (ö)

   33,000     563  

City National Corp.

   6,700     363  

Cogdell Spencer, Inc. (ö)

   6,000     36  

Colonial Properties Trust (ö)

   15,962     326  

CommonWealth REIT (ö)

   6,800     176  

Community Bank System, Inc.

   5,462     135  

Community Trust Bancorp, Inc.

   1,000     28  

Cousins Properties, Inc. (ö)

   13,769     118  

Delphi Financial Group, Inc. Class A

   5,300     155  

DiamondRock Hospitality Co. (ö)

   50,269     539  

Dime Community Bancshares, Inc.

   11,000     160  

Dollar Financial Corp. (Æ)

   5,938     129  

Duff & Phelps Corp. Class A

   25,000     321  

Dynex Capital, Inc. (ö)

   45,264     438  

East West Bancorp, Inc.

   39,910     807  

Education Realty Trust, Inc. (ö)

   12,800     110  

Endurance Specialty Holdings, Ltd.

   7,200     298  

Evercore Partners, Inc. Class A

   500     17  

Everest Re Group, Ltd.

   2,000     164  

Excel Trust, Inc. (ö)

   6,390     70  

Extra Space Storage, Inc. (ö)

   6,400     137  

Ezcorp, Inc. Class A (Æ)

   21,074     750  

Fair Isaac Corp.

   4,500     136  

FBL Financial Group, Inc. Class A

   1,400     45  

First Financial Bankshares, Inc. (Ñ)

   2,850     98  

First Interstate Bancsystem, Inc. Class A

   1,100     16  

Flagstone Reinsurance Holdings SA

   65,890     555  

Flushing Financial Corp.

   1,500     20  

Forestar Group, Inc. (Æ)

   16,243     267  

Franklin Street Properties Corp. (ö)

   22,243     287  

Fulton Financial Corp. (Ñ)

   30,900     331  

Glacier Bancorp, Inc.

   8,800     119  

Gladstone Capital Corp.

   2,700     25  

Government Properties Income Trust (ö)

   5,600     151  

Green Dot Corp. Class A (Æ)(Ñ)

   100     3  

Greenhill & Co., Inc. (Ñ)

   8,665     466  

Hanmi Financial Corp. (Æ)(Ñ)

   33,100     35  

Hanover Insurance Group, Inc. (The)

   6,400     241  

Hatteras Financial Corp. (ö)

   8,800     248  

HCC Insurance Holdings, Inc.

   12,400     391  

Healthcare Realty Trust, Inc. (ö)

   19,000     392  

Hercules Technology Growth Capital, Inc.

   26,600     280  

Home Bancshares, Inc.

   2,750     65  

Horace Mann Educators Corp.

   7,600     119  

Hospitality Properties Trust (ö)

   29,829     723  

Hudson Pacific Properties, Inc. (ö)

   1,600     25  

Hudson Valley Holding Corp.

   778     15  

Iberiabank Corp.

   6,800     392  

Inland Real Estate Corp. (ö)

   13,000     115  

Interactive Brokers Group, Inc. Class A

   8,000     125  
 

 

 12   Aggressive Equity Fund


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

  Principal
Amount ($)
or Shares
  Market
Value
$
 
  

Invesco Mortgage Capital, Inc. (ö)

  27,000    571  

Investment Technology Group, Inc. (Æ)

  1,900    27  

JER Investors Trust, Inc. (Æ)(Þ)

  1,771      

Jones Lang LaSalle, Inc.

  3,700    349  

KeyCorp

  23,238    194  

Kite Realty Group Trust (ö)

  3,100    15  

Knight Capital Group, Inc. Class A (Æ)

  22,154    244  

Kohlberg Capital Corp. (Ñ)

  2,800    22  

Lakeland Financial Corp.

  300    7  

LaSalle Hotel Properties (ö)

  23,935    630  

Lazard, Ltd. Class A

  14,230    528  

Liberty Property Trust (ö)

  12,700    414  

LTC Properties, Inc. (ö)

  5,300    147  

Mack-Cali Realty Corp. (ö)

  10,200    336  

MCG Capital Corp.

  12,800    78  

Meadowbrook Insurance Group, Inc.

  7,785    77  

Medical Properties Trust, Inc. (ö)

  21,100    243  

MFA Financial, Inc. (ö)

  44,600    359  

Mission West Properties, Inc. (ö)

  800    7  

Montpelier Re Holdings, Ltd.

  15,800    284  

NBT Bancorp, Inc.

  2,000    44  

Nelnet, Inc. Class A

  11,400    251  

OceanFirst Financial Corp.

  1,700    22  

Old National Bancorp

  10,900    118  

OneBeacon Insurance Group, Ltd. Class A

  1,200    16  

Oritani Financial Corp.

  13,890    178  

Parkway Properties, Inc. (ö)

  2,700    46  

PennantPark Investment Corp. (Ñ)

  27,758    311  

PennyMac Mortgage Investment Trust (ö)

  11,300    187  

Piedmont Office Realty Trust, Inc. Class A (Ñ)(ö)

  8,900    181  

Pinnacle Financial Partners, Inc. (Æ)

  30,180    470  

Piper Jaffray Cos. (Æ)

  8,509    245  

Post Properties, Inc. (ö)

  7,800    318  

PrivateBancorp, Inc. Class A

  56,670    782  

Prosperity Bancshares, Inc.

  17,256    756  

Protective Life Corp.

  11,600    268  

PS Business Parks, Inc. (ö)

  2,300    127  

Raymond James Financial, Inc.

  16,163    519  

Realty Income Corp. (ö)

  2,300    77  

Reinsurance Group of America, Inc. Class A

  4,000    243  

Renasant Corp.

  1,900    28  

Republic Bancorp, Inc. Class A

  1,200    24  

Resource Capital Corp. (Ñ)(ö)

  44,713    283  

Safety Insurance Group, Inc.

  1,300    55  

Sandy Spring Bancorp, Inc.

  1,200    22  

Selective Insurance Group, Inc.

  23,400    381  

Signature Bank NY (Æ)

  11,190    640  

Simmons First National Corp. Class A

  200    5  

SL Green Realty Corp. (ö)

  6,000    497  

Sovran Self Storage, Inc. (ö)

  3,800    156  

StellarOne Corp.

  19,587    237  

Sterling Bancorp Class N

  27,120    257  

Stifel Financial Corp. (Æ)

  1,400    50  

Susquehanna Bancshares, Inc.

  22,100    177  

SVB Financial Group (Æ)

  6,810    407  

Symetra Financial Corp.

  34,470    463  
  Principal
Amount ($)
or Shares
  Market
Value
$
 

Texas Capital Bancshares, Inc. (Æ)

  9,730    251  

TICC Capital Corp. (Ñ)

  9,100    87  

Transatlantic Holdings, Inc.

  7,600    372  

Trustmark Corp. (Ñ)

  10,200    239  

Two Harbors Investment Corp. (ö)

  43,400    467  

UMB Financial Corp.

  8,400    352  

Umpqua Holdings Corp.

  24,200    280  

Union First Market Bankshares Corp.

  600    7  

United Financial Bancorp, Inc.

  1,500    23  

Unitrin, Inc.

  1,900    56  

Universal Health Realty Income Trust (ö)

  600    24  

Urstadt Biddle Properties, Inc. Class A (ö)

  2,600    47  

Washington Federal, Inc.

  45,570    748  

Webster Financial Corp.

  12,100    254  

WesBanco, Inc.

  600    12  
  

 

 

 
   35,687  
  

 

 

 
Health Care - 12.2%  

Affymetrix, Inc. (Æ)

  15,000    119  

Albany Molecular Research, Inc. (Æ)

  24,017    116  

Amedisys, Inc. (Æ)

  6,968    186  

AMERIGROUP Corp. Class A (Æ)

  13,340    940  

Analogic Corp.

  4,130    217  

Angiodynamics, Inc. (Æ)

  2,700    38  

Array Biopharma, Inc. (Æ)

  4,800    11  

Assisted Living Concepts, Inc. Class A

  1,200    20  

Brookdale Senior Living, Inc. Class A (Æ)

  15,636    379  

CardioNet, Inc. (Æ)

  3,500    19  

Catalyst Health Solutions, Inc.(Æ)

  14,730    822  

Cerner Corp. (Æ)(Ñ)

  5,820    356  

Chemed Corp.

  3,900    256  

Computer Programs & Systems, Inc.

  8,500    540  

Conmed Corp. (Æ)

  8,966    255  

Cooper Cos., Inc. (The)

  12,353    979  

Coventry Health Care, Inc. (Æ)

  26,900    981  

Cross Country Healthcare, Inc. (Æ)

  1,300    10  

Cynosure, Inc. Class A (Æ)

  15,920    192  

Cytokinetics, Inc. (Æ)

  18,800    24  

Endo Pharmaceuticals Holdings, Inc. (Æ)

  11,200    450  

Ensign Group, Inc. (The)

  3,800    115  

Five Star Quality Care, Inc. (Æ)

  62,997    366  

Forest Laboratories, Inc. (Æ)

  3,400    134  

Gentiva Health Services, Inc. (Æ)

  9,418    196  

Greatbatch, Inc. (Æ)

  10,536    283  

Harvard Bioscience, Inc. (Æ)

  39,716    212  

Health Management Associates, Inc. Class A (Æ)

  69,386    748  

Health Net, Inc. (Æ)

  30,350    974  

Healthsouth Corp. (Æ)

  20,914    549  

Healthspring, Inc. (Æ)

  11,455    528  

Henry Schein, Inc. (Æ)

  6,264    448  

HMS Holdings Corp. (Æ)

  7,450    573  

Hologic, Inc. (Æ)

  27,614    557  

Humana, Inc.

  6,900    556  

IDEXX Laboratories, Inc. (Æ)

  5,614    435  

Illumina, Inc. (Æ)

  6,197    466  
 

 

Aggressive Equity Fund 13


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

  Principal
Amount ($)
or Shares
  Market
Value
$
 
  

Impax Laboratories, Inc. (Æ)

  13,833    301  

Kindred Healthcare, Inc. (Æ)

  15,825    340  

LifePoint Hospitals, Inc. (Æ)

  6,616    259  

Medicines Co. (The)(Æ)

  10,300    170  

Medicis Pharmaceutical Corp. Class A

  11,881    453  

Mednax, Inc. (Æ)

  9,931    716  

Molina Healthcare, Inc. (Æ)

  16,650    452  

Omnicell, Inc. (Æ)

  1,100    17  

Palomar Medical Technologies, Inc. (Æ)

  2,300    26  

Par Pharmaceutical Cos., Inc. (Æ)

  16,800    554  

PerkinElmer, Inc.

  27,568    742  

Perrigo Co.

  7,150    627  

Progenics Pharmaceuticals, Inc. (Æ)

  4,100    29  

Quality Systems, Inc.

  3,800    332  

RTI Biologics, Inc. (Æ)

  2,900    8  

STERIS Corp.

  11,600    406  

SuperGen, Inc. (Æ)

  9,500    28  

SurModics, Inc. (Æ)

  2,700    30  

SXC Health Solutions Corp. (Æ)

  20,320    1,196  

Symmetry Medical, Inc. (Æ)

  25,947    233  

Triple-S Management Corp. Class B (Æ)

  2,400    52  

Universal Health Services, Inc. Class B

  10,819    558  

Varian Medical Systems, Inc. (Æ)

  4,141    290  

Viropharma, Inc. (Æ)

  22,400    414  

Warner Chilcott PLC Class A

  22,400    541  

Watson Pharmaceuticals, Inc. Class B (Æ)

  8,000    550  

WebMD Health Corp. Class A (Æ)

  9,218    420  

WellCare Health Plans, Inc. (Æ)

  5,200    267  

Wright Medical Group, Inc. (Æ)

  7,900    119  

Zoll Medical Corp. (Æ)

  6,910    392  
  

 

 

 
   24,572  
  

 

 

 
Materials and Processing - 9.1%  

A Schulman, Inc.

  19,850    500  

Airgas, Inc.

  8,294    581  

Albemarle Corp.

  13,065    904  

Ameron International Corp.

  3,531    232  

Apogee Enterprises, Inc.

  28,300    362  

Aptargroup, Inc.

  6,900    361  

Arch Chemicals, Inc.

  10,920    376  

Ashland, Inc.

  8,200    530  

Ball Corp.

  21,600    831  

Buckeye Technologies, Inc.

  20,387    550  

Cabot Corp.

  7,210    287  

Clarcor, Inc.

  8,829    417  

Comfort Systems USA, Inc.

  9,800    104  

Commercial Metals Co.

  26,400    379  

Crown Holdings, Inc. (Æ)

  14,300    555  

Domtar Corp.

  7,300    691  

Eastman Chemical Co.

  5,200    531  

Fastenal Co.

  10,193    367  

Georgia Gulf Corp. (Æ)

  2,800    68  

Gibraltar Industries, Inc. (Æ)

  2,600    29  

HB Fuller Co.

  19,976    488  

Horsehead Holding Corp. (Æ)

  22,579    301  

Insteel Industries, Inc.

  2,800    35  

Interline Brands, Inc. (Æ)

  15,300    281  
  Principal
Amount ($)
or Shares
  Market
Value
$
 

KapStone Paper and Packaging Corp. (Æ)

  21,500    357  

Kaydon Corp.

  15,230    568  

Kraton Performance Polymers, Inc. (Æ)

  16,350    640  

MeadWestvaco Corp.

  4,000    133  

Mercer International, Inc. (Æ)(Ñ)

  16,501    166  

Minerals Technologies, Inc.

  3,900    259  

NCI Buildings Systems, Inc. (Æ)

  2,400    27  

Neenah Paper, Inc.

  1,800    38  

Noranda Aluminum Holding Corp. (Æ)

  10,200    154  

OM Group, Inc. (Æ)

  11,090    451  

Owens & Minor, Inc.

  9,680    334  

Packaging Corp. of America

  13,900    389  

PolyOne Corp.

  12,800    198  

Polypore International, Inc. (Æ)

  5,057    343  

Quaker Chemical Corp.

  500    22  

Quanex Building Products Corp.

  7,200    118  

Reliance Steel & Aluminum Co.

  5,500    273  

RTI International Metals, Inc. (Æ)

  7,955    305  

Schnitzer Steel Industries, Inc. Class A

  5,955    343  

Schweitzer-Mauduit International, Inc.

  5,700    320  

Scotts Miracle-Gro Co. (The) Class A

  4,786    246  

Timken Co.

  16,600    838  

Titanium Metals Corp.

  15,488    284  

TPC Group, Inc. (Æ)

  21,980    862  

Universal Forest Products, Inc.

  8,950    214  

Valspar Corp.

  3,600    130  

WR Grace & Co. (Æ)

  10,948    500  
  

 

 

 
   18,272  
  

 

 

 
Producer Durables - 19.5%  

AAR Corp.

  4,100    111  

ABM Industries, Inc.

  22,080    515  

Actuant Corp. Class A

  9,873    265  

Aecom Technology Corp. (Æ)

  9,008    246  

AGCO Corp. (Æ)

  10,839    535  

Aircastle, Ltd.

  13,800    176  

Alaska Air Group, Inc. (Æ)

  8,600    589  

Albany International Corp. Class A

  4,200    111  

Alexander & Baldwin, Inc.

  6,833    329  

Ametek, Inc.

  6,350    285  

AO Smith Corp.

  8,400    355  

Applied Industrial Technologies, Inc.

  12,600    449  

Astec Industries, Inc. (Æ)

  6,703    248  

Atlas Air Worldwide Holdings, Inc. (Æ)

  10,463    623  

Avery Dennison Corp.

  2,100    81  

BE Aerospace, Inc. (Æ)

  29,466    1,202  

Brady Corp. Class A

  10,800    346  

Briggs & Stratton Corp.

  19,790    393  

Bristow Group, Inc.

  2,140    109  

CAI International, Inc. (Æ)

  12,054    249  

Cascade Corp.

  1,500    71  

Celadon Group, Inc. (Æ)

  1,900    27  

Ceradyne, Inc. (Æ)

  6,624    258  

Chart Industries, Inc. (Æ)

  5,837    315  

Chicago Bridge & Iron Co. NV

  16,415    639  

Consolidated Graphics, Inc. (Æ)

  2,380    131  

Convergys Corp. (Æ)

  14,800    202  
 

 

 14   Aggressive Equity Fund


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
   Market
Value
$
 
    

Con-way, Inc.

   700     27  

Corrections Corp. of America (Æ)

   4,700     102  

Crane Co.

   5,300     262  

Cubic Corp.

   6,400     326  

Curtiss-Wright Corp.

   7,900     256  

DHT Holdings, Inc.

   14,000     54  

Diana Shipping, Inc. (Æ)

   28,485     312  

Douglas Dynamics, Inc.

   4,100     65  

Dycom Industries, Inc. (Æ)

   2,500     41  

Electro Rent Corp.

   5,474     94  

Electronics for Imaging, Inc. (Æ)

   8,152     140  

EMCOR Group, Inc. (Æ)

   8,400     246  

EnerSys (Æ)

   16,770     577  

EnPro Industries, Inc. (Æ)

   8,186     394  

Esterline Technologies Corp. (Æ)

   8,800     671  

Flir Systems, Inc.

   8,211     277  

Forward Air Corp.

   170     6  

G&K Services, Inc. Class A

   5,580     189  

General Cable Corp. (Æ)

   6,842     291  

Genesee & Wyoming, Inc. Class A (Æ)

   6,888     404  

Granite Construction, Inc.

   4,600     113  

Great Lakes Dredge & Dock Corp.

   12,800     71  

Group 1 Automotive, Inc.

   13,020     536  

H&R Block, Inc.

   6,900     111  

Harsco Corp.

   9,100     297  

Heidrick & Struggles International, Inc.

   700     16  

HUB Group, Inc. Class A (Æ)

   12,260     462  

IHS, Inc. Class A (Æ)

   6,482     541  

Insituform Technologies, Inc. Class A (Æ)

   6,542     137  

JB Hunt Transport Services, Inc.

   5,300     250  

Joy Global, Inc.

   8,780     836  

Kadant, Inc. (Æ)

   2,000     63  

Kansas City Southern (Æ)

   4,900     291  

KBR, Inc.

   47,199     1,777  

Kelly Services, Inc. Class A (Æ)

   4,900     81  

Kennametal, Inc.

   14,700     620  

Kirby Corp. (Æ)

   11,890     673  

Knight Transportation, Inc.

   38,650     656  

Layne Christensen Co. (Æ)

   13,787     419  

LB Foster Co. Class A

   300     10  

Lexmark International, Inc. Class A (Æ)

   10,500     307  

Lincoln Electric Holdings, Inc.

   4,720     169  

Littelfuse, Inc.

   3,200     188  

Manitowoc Co., Inc. (The)

   22,771     383  

Manpower, Inc.

   800     43  

MAXIMUS, Inc.

   8,500     702  

McDermott International, Inc. (Æ)

   41,048     813  

McGrath Rentcorp

   13,656     384  

Middleby Corp. (Æ)

   2,259     212  

Moog, Inc. Class A (Æ)

   4,200     183  

MSC Industrial Direct Co. Class A

   6,780     450  

MYR Group, Inc. (Æ)

   2,800     66  

NACCO Industries, Inc. Class A

   800     77  

National Instruments Corp.

   15,541     461  

Navistar International Corp. (Æ)

   12,684     716  

On Assignment, Inc. (Æ)

   3,500     34  

OSI Systems, Inc. (Æ)

   7,132     307  

Primoris Services Corp.

   2,000     26  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Quality Distribution, Inc. (Æ)

   1,200       16  

RailAmerica, Inc. (Æ)

   4,900       74  

Resources Connection, Inc.

   45,020       542  

Roper Industries, Inc.

   5,353       446  

RSC Holdings, Inc. (Æ)

   25,913       310  

Ryder System, Inc.

   10,800       614  

Saia, Inc. (Æ)

   1,100       19  

SeaCube Container Leasing, Ltd.

   3,200       55  

Sensata Technologies Holding NV (Æ)

   10,117       381  

SFN Group, Inc. (Æ)

   2,400       22  

Skywest, Inc.

   23,700       357  

Snyders-Lance, Inc.

   2,170       47  

Southwest Airlines Co.

   23,724       271  

Steelcase, Inc. Class A

   16,100       183  

Stericycle, Inc. (Æ)

   4,159       371  

Sterling Construction Co., Inc. (Æ)

   1,400       19  

SYKES Enterprises, Inc. (Æ)

   16,700       360  

Synopsys, Inc. (Æ)

   14,800       381  

TAL International Group, Inc.

   13,300       460  

Teledyne Technologies, Inc. (Æ)

   15,455       778  

Tetra Tech, Inc. (Æ)

   6,600       149  

Textainer Group Holdings, Ltd.

   14,073       433  

Titan International, Inc.

   9,082       220  

Toro Co. (The)

   4,300       260  

Towers Watson & Co. Class A

   6,100       401  

TransDigm Group, Inc. (Æ)

   4,517       412  

Trimble Navigation, Ltd. (Æ)

   14,478       574  

Triumph Group, Inc.

   9,420       937  

TrueBlue, Inc. (Æ)

   3,500       51  

Tsakos Energy Navigation, Ltd.

   31,200       312  

Tutor Perini Corp.

   11,724       225  

Unifirst Corp.

   1,500       84  

URS Corp. (Æ)

   15,483       692  

Wabtec Corp.

   9,230       607  

Waste Connections, Inc.

   11,953       379  

Waters Corp. (Æ)

   4,500       431  

Watts Water Technologies, Inc. Class A

   4,800       170  

Werner Enterprises, Inc.

   10,000       251  
      

 

 

 
       39,369  
      

 

 

 
Technology - 13.0%      

Actuate Corp. (Æ)

   4,800       28  

ADTRAN, Inc.

   13,606       527  

Amdocs, Ltd. (Æ)

   3,700       112  

American Reprographics Co. (Æ)

   2,300       16  

Amkor Technology, Inc. (Æ)

   13,900       86  

Amphenol Corp. Class A

   11,208       605  

Ansys, Inc. (Æ)

   15,051       824  

AOL, Inc. (Æ)

   11,700       232  

Arris Group, Inc. (Æ)

   5,900       68  

Aruba Networks, Inc. (Æ)

   24,997       739  

Atmel Corp. (Æ)

   22,662       319  

Avago Technologies, Ltd.

   16,219       616  

Aviat Networks, Inc. (Æ)

   11,400       45  

Avnet, Inc. (Æ)

   3,200       102  

AVX Corp.

   7,100       108  

Brightpoint, Inc. (Æ)

   6,000       49  
 

 

Aggressive Equity Fund 15


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Brocade Communications Systems, Inc. (Æ)

   7,900       51  

Ceva, Inc. (Æ)

   12,163       370  

Ciber, Inc. (Æ)

   15,500       86  

Coherent, Inc. (Æ)

   7,033       389  

Cohu, Inc.

   23,840       313  

Comtech Telecommunications Corp.

   3,400       95  

Concur Technologies, Inc. (Æ)

   3,696       185  

Cray, Inc. (Æ)

   5,800       37  

CSG Systems International, Inc. (Æ)

   14,737       272  

Cypress Semiconductor Corp.

   12,474       264  

Electro Scientific Industries, Inc. (Æ)

   38,752       748  

Emulex Corp. (Æ)

   48,623       419  

Equinix, Inc. (Æ)

   8,010       810  

Exar Corp. (Æ)

   4,500       28  

F5 Networks, Inc. (Æ)

   4,245       468  

FEI Co. (Æ)

   11,200       428  

Fortinet, Inc. (Æ)

   8,598       235  

Hittite Microwave Corp. (Æ)

   8,351       517  

HomeAway, Inc. (Æ)

   397       15  

Hurco Cos., Inc. (Æ)

   800       26  

Hutchinson Technology, Inc. (Æ)(Ñ)

   1,100       2  

IAC/InterActiveCorp (Æ)

   18,862       720  

Informatica Corp. (Æ)

   10,200       596  

Infospace, Inc. (Æ)

   1,500       14  

Inphi Corp. (Æ)

   9,240       161  

Integrated Device Technology, Inc. (Æ)

   48,800       384  

Intermec, Inc. (Æ)

   9,900       109  

International Rectifier Corp. (Æ)

   17,668       495  

Intersil Corp. Class A

   37,000       475  

Intevac, Inc. (Æ)

   1,000       10  

JDS Uniphase Corp. (Æ)

   34,529       576  

Kemet Corp. (Æ)

   45,400       650  

Keynote Systems, Inc.

   3,800       82  

KLA-Tencor Corp.

   2,300       93  

Knology, Inc. (Æ)

   2,600       39  

Kulicke & Soffa Industries, Inc. (Æ)

   14,100       157  

Lam Research Corp. (Æ)

   13,100       580  

LSI Corp. (Æ)

   62,500       445  

LTX-Credence Corp. (Æ)

   22,700       203  

Mentor Graphics Corp. (Æ)

   36,500       467  

Methode Electronics, Inc.

   22,900       266  

Micrel, Inc.

   41,510       439  

MICROS Systems, Inc. (Æ)

   13,020       647  

Microsemi Corp. (Æ)

   13,899       285  

Mindspeed Technologies, Inc. (Æ)

   3,300       26  

MKS Instruments, Inc.

   5,500       145  

Molex, Inc. (Ñ)

   13,900       358  

Multi-Fineline Electronix, Inc. (Æ)

   10,192       220  

Netlogic Microsystems, Inc. (Æ)

   7,085       286  

Newport Corp. (Æ)

   6,700       122  

NICE Systems, Ltd. - ADR (Æ)

   17,416       633  

Novellus Systems, Inc. (Æ)

   7,400       267  

Opnet Technologies, Inc.

   8,600       352  

Opnext, Inc. (Æ)

   17,500       40  

PMC - Sierra, Inc. (Æ)

   53,421       404  

Polycom, Inc. (Æ)

   4,904       315  

Radisys Corp. (Æ)

   1,900       14  
   Principal
Amount ($)
or Shares
   Market
Value
$
 

RealNetworks, Inc. (Æ)

   15,100     51  

RightNow Technologies, Inc. (Æ)

   9,800     318  

Rovi Corp. (Æ)

   14,940     858  

Rudolph Technologies, Inc. (Æ)

   2,000     21  

SBA Communications Corp. Class A (Æ)(Ñ)

   10,775     411  

Seachange International, Inc. (Æ)

   4,400     47  

Silicon Graphics International Corp. (Æ)(Ñ)

   6,100     105  

Silicon Image, Inc. (Æ)

   26,900     174  

Silicon Laboratories, Inc. (Æ)

   1,900     78  

Sourcefire, Inc. (Æ)

   23,612     703  

Standard Microsystems Corp. (Æ)

   5,400     146  

SuccessFactors, Inc. (Æ)

   11,566     340  

Symmetricom, Inc. (Æ)

   2,400     14  

Synchronoss Technologies, Inc. (Æ)

   8,790     279  

Tekelec (Æ)

   12,300     112  

TeleCommunication Systems, Inc. Class A (Æ)

   6,500     31  

THQ, Inc. (Æ)

   19,900     72  

Tier Technologies, Inc. Class B (Æ)

   21,377     107  

Trident Microsystems, Inc. (Æ)

   14,400     10  

Ultratech, Inc. (Æ)

   3,500     106  

United Online, Inc.

   40,726     245  

VeriFone Systems, Inc. (Æ)

   10,126     449  

Vishay Intertechnology, Inc. (Æ)

   11,193     168  
    

 

 

 
     26,154  
    

 

 

 
Utilities - 5.4%    

Allete, Inc.

   10,490     431  

Alliant Energy Corp.

   14,000     570  

Approach Resources, Inc. (Æ)

   32,650     739  

Atmos Energy Corp.

   9,700     323  

Black Hills Corp.

   21,202     638  

California Water Service Group

   24,640     461  

Chesapeake Utilities Corp.

   1,200     48  

El Paso Electric Co.

   31,700     1,023  

Energen Corp.

   4,500     254  

Great Plains Energy, Inc.

   10,100     209  

Idacorp, Inc.

   2,400     95  

Integrys Energy Group, Inc.

   3,700     192  

Laclede Group, Inc. (The)

   1,100     42  

MetroPCS Communications, Inc. (Æ)

   17,200     296  

NII Holdings, Inc. (Æ)

   10,986     466  

NiSource, Inc. (Ñ)

   10,300     209  

Northwest Natural Gas Co.

   7,380     333  

NorthWestern Corp.

   18,695     619  

NTELOS Holdings Corp.

   9,480     194  

NV Energy, Inc.

   33,100     508  

OGE Energy Corp.

   10,200     513  

Otter Tail Corp.

   12,150     256  

Pinnacle West Capital Corp.

   8,400     374  

PNM Resources, Inc.

   16,100     270  

Portland General Electric Co.

   16,130     408  

Premiere Global Services, Inc. (Æ)

   4,200     34  

Questar Corp.

   3,200     57  

Southwest Gas Corp.

   6,200     239  

Stone Energy Corp. (Æ)

   4,900     149  

SureWest Communications

   800     13  
 

 

 16   Aggressive Equity Fund


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
   Market
Value
$
 
    

Telephone & Data Systems, Inc.

   5,800     180  

UGI Corp.

   12,100     386  

UIL Holdings Corp.

   8,450     273  
    

 

 

 
     10,802  
    

 

 

 
Total Common Stocks
(cost $161,094)
     194,614  
    

 

 

 
Short-Term Investments - 3.2%    

Russell U.S. Cash Management Fund

   6,374,037(¥   6,374  
    

 

 

 
Total Short-Term Investments
(cost $6,374)
     6,374  
    

 

 

 
Other Securities - 2.4%    

Russell Investment Funds Liquidating Trust(X)

   253,519(¥   257  

Russell U.S. Cash Collateral Fund(X)

   4,594,792(¥   4,595  
    

 

 

 
Total Other Securities
(cost $4,848)
     4,852  
    

 

 

 
Total Investments - 102.2%
(identified cost $172,316)
     205,840  

Other Assets and Liabilities,

Net - (2.2%)

     (4,405
    

 

 

 
Net Assets - 100.0%     201,435  
    

 

 

 

A portion of the portfolio has been fair valued as of period end.

 

See accompanying notes which are an integral part of the financial statements.

 

Aggressive Equity Fund 17


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except contract amounts)

 

 

Futures Contracts  Number of
Contracts
  

Notional
Amount

   Expiration
Date
  Unrealized
Appreciation
(Depreciation)
$
 
         
         

Long Positions

         

S&P Midcap 400 E Mini Index Futures (CME)

   70    USD     6,836    09/11   283  
         

 

 

 

Total Unrealized Appreciation (Depreciation) on Open Futures Contracts (å)

          283  
         

 

 

 

 

 

 

Presentation of Portfolio Holdings — June 30, 2011 (Unaudited)

Amounts in thousands

 

   Market Value   

% of Net
Assets

 
Portfolio Summary  Level 1   Level 2   Level 3   Total   
          
          

Common Stocks

          

Consumer Discretionary

  $22,398    $    $    $22,398     11.1  

Consumer Staples

   4,266               4,266     2.1  

Energy

   13,094               13,094     6.5  

Financial Services

   35,687               35,687     17.7  

Health Care

   24,572               24,572     12.2  

Materials and Processing

   18,272               18,272     9.1  

Producer Durables

   39,369               39,369     19.5  

Technology

   26,154               26,154     13.0  

Utilities

   10,802               10,802     5.4  

Short-Term Investments

        6,374          6,374     3.2  

Other Securities

        4,852          4,852     2.4  
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Investments

   194,614     11,226          205,840     102.2  
  

 

 

   

 

 

   

 

 

   

 

 

   

Other Assets and Liabilities, Net

           (2.2
          

 

 

 
           100.0  
          

 

 

 

Other Financial Instruments

          

Futures Contracts

   283               283     0.1  
  

 

 

   

 

 

   

 

 

   

 

 

   

Total Other Financial Instruments*

  $283    $    $    $283    
  

 

 

   

 

 

   

 

 

   

 

 

   

 

*Other financial instruments reflected in the Schedule of Investments, such as futures, forwards, and swap contracts which are valued at the unrealized appreciation/depreciation on the instruments.

For a description of the levels see note 2 in the Notes to Financial Statements.

 

See accompanying notes which are an integral part of the financial statements.

 

 18   Aggressive Equity Fund


Table of Contents

Russell Investment Funds

Aggressive Equity Fund

Fair Value of Derivative Instruments — June 30, 2011 (Unaudited)

Amounts in thousands

 

 

Derivatives not accounted for as hedging instruments  Equity
Contracts
 
  

Location: Statement of Assets and Liabilities - Assets

  

Daily variation margin on futures contracts*

  $283  
  

 

 

 
Derivatives not accounted for as hedging instruments  Equity
Contracts
 

Location: Statement of Operations - Net realized gain (loss)

  

Futures contracts

  $385  
  

 

 

 

Location: Statement of Operations - Net change in unrealized appreciation (depreciation)

  

Futures contracts

  $161  
  

 

 

 

 

*Includes cumulative appreciation/depreciation of futures contracts as reported in Schedule of Investments. Only current day’s variation margin is reported within the Statement of Assets & Liabilities

For further disclosure on derivatives see note 2 in Notes to Financial Statements.

 

See accompanying notes which are an integral part of the financial statements.

 

Aggressive Equity Fund 19


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Shareholder Expense Example — June 30, 2011 (Unaudited)

 

 

 

Fund Expenses

The following disclosure provides important information regarding each Fund’s Expense Example, which appears on each Fund’s individual page in this Semi-annual Report. Please refer to this information when reviewing the Expense Example for a Fund.

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including advisory fees and other Fund expenses. The Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period indicated, which for this Fund is from January 1, 2011 to June 30, 2011.

Actual Expenses

The information in the table under the heading “Actual Performance” provides information about actual account values and actual expenses. You may use the information in this column, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first column in the row entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The information in the table under the heading “Hypothetical Performance (5% return before expenses)” provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the 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 Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the information under the heading “Hypothetical Performance (5% return before expenses)” is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. The fee and expenses shown in this section do not reflect any Insurance Company Separate Account or Policy Charges.

 

   Actual
Performance
   Hypothetical
Performance
(5% return
before expenses)
 
  �� 

Beginning Account Value

    

January 1, 2011

  $1,000.00    $1,000.00  

Ending Account Value

    

June 30, 2011

  $1,047.20    $1,019.59  

Expenses Paid During Period*

  $5.33    $5.26  

 

*Expenses are equal to the Fund's annualized expense ratio of 1.05% (representing the six month period annualized), multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). May reflect amounts waived, reimbursed and/or other credits. Without any waivers, reimbursements and/or other credits, expenses would have been higher.
 

 

 20   Non-U.S. Fund


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      
Common Stocks - 91.0%      
Australia - 0.9%      

Billabong International, Ltd. (Ñ)

   197,100       1,275  

QBE Insurance Group, Ltd.

   43,656       810  

Westpac Banking Corp.

   58,670       1,408  
      

 

 

 
       3,493  
      

 

 

 
Austria - 0.2%      

Erste Group Bank AG

   11,564       606  
      

 

 

 
Belgium - 0.5%      

Anheuser-Busch InBev NV Class 2

   21,756       1,262  

KBC Groep NV (Ñ)

   17,798       699  
      

 

 

 
       1,961  
      

 

 

 
Bermuda - 1.1%      

Esprit Holdings, Ltd.

   163,300       509  

Li & Fung, Ltd. (Ñ)

   1,368,000       2,751  

RenaissanceRe Holdings, Ltd.

   13,200       923  
      

 

 

 
       4,183  
      

 

 

 
Brazil - 2.0%      

Anhanguera Educacional Participacoes SA

   25,300       539  

BM&FBovespa SA

   79,600       527  

BR Malls Participacoes SA

   104,200       1,192  

Brookfield Incorporacoes SA

   448,400       2,186  

OGX Petroleo e Gas Participacoes SA (Æ)

   364,300       3,405  
      

 

 

 
       7,849  
      

 

 

 
Canada - 1.8%      

Canadian National Railway Co. (Þ)

   59,648       4,766  

Imax Corp. (Æ)(Ñ)

   13,670       443  

Pacific Rubiales Energy Corp.

   67,064       1,798  
      

 

 

 
       7,007  
      

 

 

 
Cayman Islands - 0.7%      

Baidu, Inc. - ADR (Æ)(Ñ)

   6,513       913  

Sina Corp. (Æ)(Ñ)

   8,870       923  

Youku.com, Inc. - ADR (Æ)(Ñ)

   27,746       953  
      

 

 

 
       2,789  
      

 

 

 
Czech Republic - 0.2%      

Komercni Banka AS

   2,854       696  
      

 

 

 
Denmark - 1.3%      

Danske Bank A/S (Æ)

   135,251       2,511  

Novo Nordisk A/S Class B

   15,135       1,898  

Novozymes A/S Class B

   4,886       795  
      

 

 

 
       5,204  
      

 

 

 
Finland - 0.4%      

Pohjola Bank PLC Class A

   105,825       1,368  
      

 

 

 
France - 7.6%      

Air France-KLM

   54,306       834  

Air Liquide SA Class A

   14,098       2,021  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Capital Gemini SA

   25,000       1,465  

Casino Guichard Perrachon SA (Æ)

   2,700       255  

CNP Assurances

   39,164       854  

Credit Agricole SA

   80,710       1,214  

Danone

   22,781       1,700  

Dassault Systemes SA

   933       79  

GDF Suez

   33,900       1,241  

Lagardere SCA

   17,531       741  

Legrand SA - ADR

   29,715       1,251  

LVMH Moet Hennessy Louis Vuitton
SA - ADR

   14,742       2,653  

Natixis

   72,658       365  

Pernod-Ricard SA(Ñ)

   25,236       2,487  

Publicis Groupe SA - ADR

   16,799       938  

Rallye SA

   46,885       1,948  

Sanofi - ADR

   30,082       2,418  

Schneider Electric SA

   29,759       4,971  

SCOR SE - ADR

   43,680       1,241  

UBISOFT Entertainment (Æ)(Ñ)

   98,245       985  
      

 

 

 
       29,661  
      

 

 

 
Germany - 6.8%      

Adidas AG

   11,247       892  

BASF SE

   23,056       2,256  

Bayer AG

   21,622       1,738  

Beiersdorf AG (Æ)

   22,722       1,474  

Commerzbank AG (Æ)

   396,970       1,707  

Deutsche Boerse AG

   13,652       1,036  

E.ON AG

   37,700       1,070  

Henkel AG & Co. KGaA

   7,262       416  

Linde AG

   22,549       3,953  

MAN SE (Ñ)

   2,646       353  

Merck KGaA

   10,833       1,177  

MTU Aero Engines Holding AG

   43,771       3,492  

Muenchener Rueckversicherungs AG

   5,199       794  

SAP AG - ADR

   16,890       1,022  

Siemens AG

   19,320       2,653  

ThyssenKrupp AG - ADR

   16,960       880  

Volkswagen AG

   7,906       1,453  
      

 

 

 
       26,366  
      

 

 

 
Hong Kong - 1.8%      

AIA Group, Ltd. (Æ)

   200,400       697  

China Unicom Hong Kong, Ltd. (Ñ)

   1,240,000       2,511  

CNOOC, Ltd.

   634,000       1,490  

Hang Lung Properties, Ltd. - ADR

   297,000       1,230  

Hong Kong Exchanges and Clearing, Ltd. (Ñ)

   58,478       1,231  
      

 

 

 
       7,159  
      

 

 

 
India - 1.0%      

ICICI Bank, Ltd. - ADR

   57,935       2,856  

Infosys Technologies, Ltd. - ADR

   16,280       1,062  
      

 

 

 
       3,918  
      

 

 

 
Ireland - 0.2%      

Accenture PLC Class A

   15,200       918  
      

 

 

 
 

 

Non-U.S. Fund 21


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      
Isle of Man - 0.4%      

Genting International PLC (Æ)(Ñ)

   1,068,000       1,685  
      

 

 

 
Israel - 0.2%      

Teva Pharmaceutical Industries, Ltd. - ADR

   16,900       815  
      

 

 

 
Italy - 3.4%      

Banca Popolare di Milano Scarl (Ñ)

   175,200       414  

Enel SpA (Ñ)

   257,100       1,679  

ENI SpA - ADR

   134,807       3,196  

Finmeccanica SpA

   204,247       2,472  

Snam Rete Gas SpA

   334,525       1,980  

Telecom Italia SpA

   874,500       1,217  

UniCredit SpA

   693,941       1,468  

Unione di Banche Italiane SCPA (Ñ)

   121,136       682  
      

 

 

 
       13,108  
      

 

 

 
Japan - 14.1%      

Amada Co., Ltd.

   167,700       1,290  

Canon, Inc. (Ñ)

   154,400       7,364  

Dai-ichi Life Insurance Co., Ltd. (The)

   500       700  

Dena Co., Ltd. (Ñ)

   26,100       1,126  

Denso Corp.

   32,300       1,199  

Fanuc, Ltd.

   16,000       2,668  

Honda Motor Co., Ltd. (Ñ)

   92,400       3,562  

Hoya Corp.

   60,100       1,332  

Inpex Corp.

   251       1,853  

ITOCHU Corp.

   233,600       2,430  

Japan Tobacco, Inc.

   296       1,142  

Komatsu, Ltd. (Ñ)

   39,900       1,241  

Lawson, Inc. (Ñ)

   21,500       1,129  

Mabuchi Motor Co., Ltd. (Ñ)

   32,800       1,657  

Marubeni Corp.

   231,000       1,535  

Mitsubishi UFJ Financial Group, Inc.

   186,700       909  

Mori Seiki Co., Ltd. (Ñ)

   83,100       1,101  

MS&AD Insurance Group Holdings

   46,400       1,088  

Nintendo Co., Ltd.

   6,800       1,280  

Nissan Motor Co., Ltd.

   61,600       647  

Nomura Holdings, Inc.

   112,300       556  

NTT DoCoMo, Inc. - ADR

   2,050       37  

NTT DoCoMo, Inc.

   900       1,606  

Omron Corp. (Ñ)

   15,700       436  

Shin-Etsu Chemical Co., Ltd.

   69,400       3,723  

Sumitomo Corp.

   142,200       1,938  

Sumitomo Mitsui Financial Group, Inc.

   48,400       1,490  

Sumitomo Realty & Development Co., Ltd.

   73,000       1,632  

Suzuken Co., Ltd.

   16,675       385  

THK Co., Ltd.

   50,500       1,285  

Toshiba Corp. (Ñ)

   165,000       873  

Toshiba TEC Corp.

   100,479       439  

Toyota Motor Corp.

   35,400       1,490  

Yamada Denki Co., Ltd. (Ñ)

   14,030       1,145  

Yokogawa Electric Corp. (Ñ)

   240,100       2,059  
      

 

 

 
       54,347  
      

 

 

 
Jersey - 0.4%      

Experian PLC

   10,948       139  

WPP PLC

   119,009       1,490  
      

 

 

 
       1,629  
      

 

 

 
   Principal
Amount ($)
or Shares
     Market
Value
$
 
Luxembourg - 0.7%      

APERAM

   1,793       58  

ArcelorMittal

   35,673       1,241  

Millicom International Cellular SA

   13,845       1,437  
      

 

 

 
       2,736  
      

 

 

 
Netherlands - 7.2%      

Aegon NV

   178,657       1,218  

Akzo Nobel NV

   64,247       4,053  

ASML Holding NV Class G

   58,502       2,156  

European Aeronautic Defence and Space Co. NV (Ñ)

   51,690       1,730  

Heineken NV

   51,981       3,127  

ING Groep NV (Æ)

   501,855       6,191  

Koninklijke Philips Electronics NV (Ñ)

   76,429       1,961  

LyondellBasell Industries NV Class A

   42,865       1,651  

Randstad Holding NV (Æ)

   26,296       1,215  

Reed Elsevier NV

   93,400       1,254  

Sensata Technologies Holding NV (Æ)

   43,114       1,623  

Unilever NV

   36,450       1,194  

Wolters Kluwer NV

   27,587       611  
      

 

 

 
       27,984  
      

 

 

 
Norway - 0.9%      

DnB NOR ASA

   154,500       2,154  

Statoil ASA Class N (Ñ)

   49,300       1,248  
      

 

 

 
       3,402  
      

 

 

 
Russia - 0.4%      

Gazprom OAO - ADR (Æ)

   115,940       1,698  
      

 

 

 
Singapore - 1.9%      

Jardine Cycle & Carriage, Ltd.

   130,100       4,573  

Keppel Corp., Ltd. - ADR

   35,200       318  

Singapore Telecommunications, Ltd.

   236,000       608  

United Overseas Bank, Ltd.

   125,400       2,015  
      

 

 

 
       7,514  
      

 

 

 
South Africa - 0.2%      

MTN Group, Ltd.

   39,432       840  
      

 

 

 
South Korea - 0.4%      

Samsung Electronics Co., Ltd.

   1,842       1,432  
      

 

 

 
Spain - 2.1%      

Amadeus IT Group SA (Æ)(Ñ)

   34,308       714  

Banco Santander SA - ADR

   288,789       3,331  

Criteria Caixacorp SA

   134,114       936  

Inditex SA

   19,313       1,764  

Indra Sistemas SA (Ñ)

   41,100       850  

Red Electrica Corp. SA (Ñ)

   6,654       402  
      

 

 

 
       7,997  
      

 

 

 
Sweden - 0.4%      

Hennes & Mauritz AB Class B

   17,970       619  

Skandinaviska Enskilda Banken AB Class A

   55,751       456  

Svenska Cellulosa AB Class B

   27,062       381  
      

 

 

 
       1,456  
      

 

 

 
 

 

 22   Non-U.S. Fund


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      
Switzerland - 8.6%      

ACE, Ltd.

   19,550       1,287  

Cie Financiere Richemont SA

   13,398       877  

Credit Suisse Group AG (Æ)

   27,999       1,088  

GAM Holding AG

   45,001       738  

Givaudan SA (Æ)

   915       968  

Helvetia Holding AG (Æ)

   5,215       2,233  

Julius Baer Group, Ltd. (Æ)

   85,127       3,514  

Nestle SA

   80,440       5,000  

Novartis AG

   63,300       3,877  

Roche Holding AG

   21,700       3,631  

Sonova Holding AG (Æ)

   5,252   ��   492  

Swatch Group AG (The) Class B

   5,043       2,544  

Swiss Reinsurance Co., Ltd. (Æ)

   12,364       694  

TE Connectivity, Ltd.

   45,900       1,687  

UBS AG (Æ)

   190,938       3,482  

Zurich Financial Services AG (Æ)

   5,653       1,429  
      

 

 

 
       33,541  
      

 

 

 
Taiwan - 1.8%      

Hon Hai Precision Industry Co., Ltd.

   425,840       1,469  

Hon Hai Precision Industry Co.,
Ltd. - GDR

   70,168       479  

Siliconware Precision Industries Co.

   239,000       309  

Siliconware Precision Industries Co. - ADR

   283,200       1,761  

Taiwan Semiconductor Manufacturing Co., Ltd. - ADR (Ñ)

   247,131       3,117  
      

 

 

 
       7,135  
      

 

 

 
Thailand - 0.3%      

Bangkok Bank PCL

   234,000       1,208  
      

 

 

 
United Kingdom - 19.2%      

Aegis Group PLC

   755,902       1,940  

Anglo American PLC

   49,374       2,447  

ARM Holdings PLC

   130,207       1,231  

Aviva PLC

   116,621       821  

BAE Systems PLC

   279,500       1,429  

Barclays PLC

   1,311,774       5,399  

BG Group PLC

   36,495       828  

BP PLC

   620,999       4,575  

BP PLC - ADR

   7,300       323  

Burberry Group PLC

   28,466       662  

Cable & Wireless Worldwide PLC

   1,473,200       1,088  

Carillion PLC

   213,025       1,285  

Compass Group PLC

   134,190       1,294  

Dairy Crest Group PLC

   183,609       1,090  

Diageo PLC

   105,452       2,155  

GlaxoSmithKline PLC - ADR

   19,300       413  

Hays PLC

   247,512       409  

Home Retail Group PLC

   227,803       598  

HSBC Holdings PLC

   781,104       7,750  

Imperial Tobacco Group PLC

   119,547       3,975  

National Grid PLC

   229,814       2,262  

Reckitt Benckiser Group PLC

   47,479       2,621  

Reed Elsevier PLC

   55,484       505  

Rio Tinto PLC

   15,750       1,137  

Rolls-Royce Holdings PLC (Æ)

   104,974       1,087  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Royal Bank of Scotland Group
PLC - ADR (Æ)

   1,267,698       786  

Royal Dutch Shell PLC Class A

   156,233       5,547  

Royal Dutch Shell PLC Class A

   42,196       1,504  

Sage Group PLC (The)

   530,567       2,460  

Smith & Nephew PLC

   114,460       1,221  

Smiths Group PLC

   53,305       1,028  

Standard Chartered PLC

   136,313       3,582  

Tesco PLC

   242,666       1,567  

Travis Perkins PLC

   106,950       1,699  

Tullow Oil PLC

   54,323       1,081  

Vodafone Group PLC - ADR

   1,827,892       4,858  

Xstrata PLC

   60,727       1,339  
      

 

 

 
       73,996  
      

 

 

 
United States - 1.7%      

Citigroup, Inc.

   45,117       1,879  

MercadoLibre, Inc.

   12,261       973  

Philip Morris International, Inc.

   50,400       3,365  

Synthes, Inc. (Æ)Þ)

   3,021       532  
      

 

 

 
       6,749  
      

 

 

 
Virgin Islands, British - 0.2%      

Arcos Dorados Holdings, Inc. Class A

   30,767       649  
      

 

 

 

Total Common Stocks

(cost $308,103)

       353,099  
      

 

 

 
Preferred Stocks - 0.4%      
Brazil - 0.3%      

Usinas Siderurgicas de Minas
Gerais SA (Æ)

   116,800       1,025  
      

 

 

 
Germany - 0.1%      

Porsche Automobil Holding SE

   6,600       524  
      

 

 

 

Total Preferred Stocks

(cost $1,409)

       1,549  
      

 

 

 
Warrants & Rights - 0.0%      
Spain - 0.0%      

Criteria Caixacorp SA (Æ)
2015 Rights

   134,114       10  
      

 

 

 

Total Warrants & Rights

(cost $10)

       10  
      

 

 

 
Short-Term Investments - 7.4%      
United States - 7.4%      

Russell U.S. Cash Management Fund

   28,509,243(¥)       28,509  
      

 

 

 

Total Short-Term Investments

(cost $28,509)

  

  

     28,509  
      

 

 

 
 

 

Non-U.S. Fund 23


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      
Other Securities - 10.1%      

Russell Investment Funds Liquidating Trust ×)

   873,312(¥)       898  

Russell U.S. Cash Collateral Fund ×)

   38,404,531(¥)       38,405  
      

 

 

 

Total Other Securities

(cost $39,278)

       39,303  
      

 

 

 

Total Investments - 108.9%

(identified cost $377,309)

       422,470  

Other Assets and Liabilities,

Net - (8.9%)

       (34,697
      

 

 

 
Net Assets - 100.0%       387,773  
      

 

 

 

 

 

A portion of the portfolio has been fair valued as of period end.

 

See accompanying notes which are an integral part of the financial statements.

 

 24   Non-U.S. Fund


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except contract amounts)

 

 

Futures Contracts  Number of
Contracts
        Notional
Amount
   Expiration
Date
   Unrealized
Appreciation
(Depreciation)
$
 
          
          
Long Positions          

ASX SPI 200 Index Futures (Australia)

   18     AUD     2,070     09/11     20  

CAC 40 Index Futures (France)

   64     EUR     2,547     07/11     141  

DAX Index Futures (Germany)

   13     EUR     2,402     09/11     90  

EURO STOXX 50 Index Futures (EMU)

   164     EUR     4,671     09/11     247  

FTSE 100 Index Futures (UK)

   56     GBP     3,305     09/11     144  

Hang Seng Index Futures (Hong Kong)

   7     HKD     7,850     07/11     19  

S&P TSE 60 Index Futures (Canada)

   21     CAD     3,201     09/11     72  

TOPIX Index Futures (Japan)

   48     JPY     407,760     09/11     261  
          

 

 

 

Total Unrealized Appreciation (Depreciation) on Open Futures Contracts (å)

           994  
          

 

 

 

 

See accompanying notes which are an integral part of the financial statements.

 

Non-U.S. Fund 25


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands

 

Foreign Currency Exchange Contracts 
           

Counter

Party

  Amount
Sold
   Amount
Bought
  Settlement
Date
   Unrealized
Appreciation

(Depreciation)
$
 
           
Bank of America  USD  105    AUD  100   09/21/11       
Bank of America  USD  102    CAD  100   09/21/11     1  
Bank of America  USD  289    EUR  200   09/21/11     �� 
Bank of America  USD  163    GBP  100   09/21/11     (3
Bank of America  USD  64    HKD  500   09/21/11       
Bank of America  USD  125    JPY  10,000   09/21/11     (1
Barclays Bank PLC  USD  57    GBP  36   07/01/11       
Barclays Bank PLC  USD  79    GBP  49   07/01/11       
Barclays Bank PLC  USD  86    GBP  53   07/01/11       
Barclays Bank PLC  USD  325    GBP  203   07/01/11     1  
BNP Paribas  USD  382    AUD  364   09/21/11     5  
BNP Paribas  USD  510    CAD  499   09/21/11     7  
BNP Paribas  USD  173    HKD  1,346   09/21/11       
Brown Brothers Harriman & Co.  JPY  1,819    USD  22   07/01/11       
Brown Brothers Harriman & Co.  JPY  1,350    USD  17   07/05/11       
Brown Brothers Harriman & Co.  JPY  2,457    USD  30   07/05/11       
Brown Brothers Harriman & Co.  JPY  3,806    USD  47   07/05/11       
Brown Brothers Harriman & Co.  USD  22    CHF  19   07/01/11       
Brown Brothers Harriman & Co.  USD  44    CHF  36   07/01/11       
Brown Brothers Harriman & Co.  USD  54    CHF  46   07/05/11       
Brown Brothers Harriman & Co.  USD  287    EUR  200   09/21/11     3  
Brown Brothers Harriman & Co.  USD  163    GBP  100   09/21/11     (3
Brown Brothers Harriman & Co.  USD  125    JPY  10,000   09/21/11     (1
Credit Suisse First Boston  CHF  102    USD  123   07/01/11     2  
Credit Suisse First Boston  USD  382    AUD  364   09/21/11     4  
Credit Suisse First Boston  USD  510    CAD  499   09/21/11     7  
Credit Suisse First Boston  USD  84    GBP  53   07/01/11       
Credit Suisse First Boston  USD  79    GBP  49   07/05/11       
Credit Suisse First Boston  USD  851    GBP  521   09/21/11     (16
Deutsche Bank AG  EUR  1,602    USD  2,310   07/01/11     (13
Deutsche Bank AG  JPY  1,517    USD  19   07/01/11       
Deutsche Bank AG  SEK  325    USD  51   07/05/11       
Deutsche Bank AG  USD  382    AUD  364   09/21/11     4  
Deutsche Bank AG  USD  2,197    EUR  1,507   09/21/11     (17
Deutsche Bank AG  USD  428    GBP  266   07/01/11       
Deutsche Bank AG  USD  851    GBP  521   09/21/11     (16
Deutsche Bank AG  USD  173    HKD  1,346   09/21/11       
Deutsche Bank AG  USD  971    JPY  77,417   09/21/11     (9
HSBC Bank PLC  USD  564    EUR  400   09/21/11     15  
HSBC Bank PLC  USD  2,197    EUR  1,507   09/21/11     (17
HSBC Bank PLC  USD  851    GBP  521   09/21/11     (16
HSBC Bank PLC  USD  173    HKD  1,346   09/21/11       
HSBC Bank PLC  USD  971    JPY  77,417   09/21/11     (9
JP Morgan Chase Bank  USD  105    AUD  100   09/21/11     1  
JP Morgan Chase Bank  USD  382    AUD  364   09/21/11     4  
JP Morgan Chase Bank  USD  102    CAD  100   09/21/11     2  
JP Morgan Chase Bank  USD  510    CAD  499   09/21/11     7  
JP Morgan Chase Bank  USD  2,197    EUR  1,507   09/21/11     (17
JP Morgan Chase Bank  USD  161    GBP  100   09/21/11     (1
JP Morgan Chase Bank  USD  851    GBP  521   09/21/11     (16
JP Morgan Chase Bank  USD  64    HKD  500   09/21/11       
JP Morgan Chase Bank  USD  173    HKD  1,346   09/21/11       
JP Morgan Chase Bank  USD  125    JPY  10,000   09/21/11     (1
JP Morgan Chase Bank  USD  971    JPY  77,417   09/21/11     (9
Royal Bank of Canada  USD  510    CAD  499   09/21/11     7  
Royal Bank of Canada  USD  2,197    EUR  1,507   09/21/11     (17
Royal Bank of Canada  USD  851    GBP  521   09/21/11     (16

 

See accompanying notes which are an integral part of the financial statements.

 

 26   Non-U.S. Fund


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands

 

Foreign Currency Exchange Contracts 

Counter

Party

  Amount
Sold
   Amount
Bought
  Settlement
Date
   Unrealized
Appreciation

(Depreciation)
$
 
           
Royal Bank of Canada  USD  173    HKD  1,346   09/21/11       
Royal Bank of Canada  USD  970    JPY  77,417   09/21/11     (8
Royal Bank of Scotland PLC  EUR  26    USD  38   07/01/11       
Royal Bank of Scotland PLC  EUR  500    USD  713   09/21/11     (10
Royal Bank of Scotland PLC  SGD  108    USD  87   07/01/11     (1
Royal Bank of Scotland PLC  USD  103    AUD  100   09/21/11     3  
Royal Bank of Scotland PLC  USD  101    CAD  100   09/21/11     2  
Royal Bank of Scotland PLC  USD  5    EUR  4   07/01/11       
Royal Bank of Scotland PLC  USD  5    EUR  4   07/01/11       
Royal Bank of Scotland PLC  USD  20    EUR  14   07/01/11       
Royal Bank of Scotland PLC  USD  285    EUR  200   09/21/11     4  
Royal Bank of Scotland PLC  USD  160    GBP  100   09/21/11       
Royal Bank of Scotland PLC  USD  64    HKD  500   09/21/11       
Societe Generale  USD  382    AUD  364   09/21/11     5  
Societe Generale  USD  510    CAD  499   09/21/11     7  
Societe Generale  USD  2,198    EUR  1,507   09/21/11     (18
Societe Generale  USD  971    JPY  77,417   09/21/11     (8
State Street Bank & Trust Co.  AUD  100    USD  105   09/21/11     (1
State Street Bank & Trust Co.  AUD  200    USD  212   09/21/11     (1
State Street Bank & Trust Co.  CAD  300    USD  307   09/21/11     (3
State Street Bank & Trust Co.  EUR  33    USD  48   07/05/11       
State Street Bank & Trust Co.  EUR  100    USD  143   09/21/11     (1
State Street Bank & Trust Co.  EUR  650    USD  951   09/21/11     11  
State Street Bank & Trust Co.  GBP  30    USD  48   07/05/11       
State Street Bank & Trust Co.  GBP  100    USD  162   09/21/11     2  
State Street Bank & Trust Co.  GBP  300    USD  493   09/21/11     12  
State Street Bank & Trust Co.  HKD  500    USD  64   09/21/11       
State Street Bank & Trust Co.  HKD  800    USD  103   09/21/11       
State Street Bank & Trust Co.  JPY  302,299    USD  3,543   07/08/11     (213
State Street Bank & Trust Co.  JPY  311,886    USD  3,669   07/08/11     (205
State Street Bank & Trust Co.  JPY  40,000    USD  499   09/21/11     2  
State Street Bank & Trust Co.  SEK  239    USD  37   07/01/11     (1
State Street Bank & Trust Co.  SEK  148    USD  23   07/05/11       
State Street Bank & Trust Co.  SGD  68    USD  55   07/05/11       
State Street Bank & Trust Co.  SGD  232    USD  189   07/05/11       
State Street Bank & Trust Co.  USD  10    AUD  10   07/05/11       
State Street Bank & Trust Co.  USD  19    AUD  17   07/05/11       
State Street Bank & Trust Co.  USD      BRL     07/05/11       
State Street Bank & Trust Co.  USD  7    BRL  12   07/05/11       
State Street Bank & Trust Co.  USD  7    CHF  6   07/05/11       
State Street Bank & Trust Co.  USD  9    CHF  7   07/05/11       
State Street Bank & Trust Co.  USD  22    CHF  18   07/05/11       
State Street Bank & Trust Co.  USD  24    CHF  20   07/05/11       
State Street Bank & Trust Co.  USD  41    CHF  35   07/05/11       
State Street Bank & Trust Co.  USD  9    CZK  156   07/07/11       
State Street Bank & Trust Co.  USD  1    EUR  1   07/01/11       
State Street Bank & Trust Co.  USD  4    EUR  3   07/01/11       
State Street Bank & Trust Co.  USD  5    EUR  3   07/01/11       
State Street Bank & Trust Co.  USD  13    EUR  9   07/01/11       
State Street Bank & Trust Co.  USD  13    EUR  9   07/01/11       
State Street Bank & Trust Co.  USD  16    EUR  11   07/01/11       
State Street Bank & Trust Co.  USD  19    EUR  13   07/01/11       
State Street Bank & Trust Co.  USD  5    EUR  3   07/05/11       
State Street Bank & Trust Co.  USD  7    EUR  5   07/05/11       
State Street Bank & Trust Co.  USD  7    EUR  5   07/05/11       
State Street Bank & Trust Co.  USD  8    EUR  5   07/05/11       

 

See accompanying notes which are an integral part of the financial statements.

 

Non-U.S. Fund 27


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands

 

Foreign Currency Exchange Contracts 

Counter

Party

  Amount
Sold
   Amount
Bought
  Settlement
Date
   Unrealized
Appreciation

(Depreciation)
$
 
           
State Street Bank & Trust Co.  USD  9    EUR  7   07/05/11       
State Street Bank & Trust Co.  USD  12    EUR  8   07/05/11       
State Street Bank & Trust Co.  USD  16    EUR  11   07/05/11       
State Street Bank & Trust Co.  USD  17    EUR  12   07/05/11       
State Street Bank & Trust Co.  USD  20    EUR  14   07/05/11       
State Street Bank & Trust Co.  USD  21    EUR  14   07/05/11       
State Street Bank & Trust Co.  USD  23    EUR  16   07/05/11       
State Street Bank & Trust Co.  USD  25    EUR  17   07/05/11       
State Street Bank & Trust Co.  USD  27    EUR  19   07/05/11       
State Street Bank & Trust Co.  USD  35    EUR  24   07/05/11       
State Street Bank & Trust Co.  USD  36    EUR  25   07/05/11       
State Street Bank & Trust Co.  USD  42    EUR  29   07/05/11       
State Street Bank & Trust Co.  USD  6    GBP  4   07/05/11       

State Street Bank & Trust Co.

  USD  7    GBP  4   07/05/11       

State Street Bank & Trust Co.

  USD  11    GBP  7   07/05/11       

State Street Bank & Trust Co.

  USD  13    GBP  8   07/05/11       

State Street Bank & Trust Co.

  USD  15    GBP  9   07/05/11       

State Street Bank & Trust Co.

  USD  18    GBP  11   07/05/11       

State Street Bank & Trust Co.

  USD  19    GBP  12   07/05/11       

State Street Bank & Trust Co.

  USD  19    GBP  12   07/05/11       

State Street Bank & Trust Co.

  USD  21    GBP  13   07/05/11       

State Street Bank & Trust Co.

  USD  24    GBP  15   07/05/11       

State Street Bank & Trust Co.

  USD  36    GBP  22   07/05/11       

State Street Bank & Trust Co.

  USD  36    GBP  22   07/05/11       

State Street Bank & Trust Co.

  USD  7    HKD  52   07/05/11       

State Street Bank & Trust Co.

  USD  7    HKD  54   07/05/11       

State Street Bank & Trust Co.

  USD  8    HKD  63   07/05/11       

State Street Bank & Trust Co.

  USD  10    HKD  75   07/05/11       

State Street Bank & Trust Co.

  USD  8    JPY  639   07/05/11       

State Street Bank & Trust Co.

  USD  15    JPY  1,200   07/05/11       

State Street Bank & Trust Co.

  USD  15    JPY  1,243   07/05/11       

State Street Bank & Trust Co.

  USD  16    JPY  1,267   07/05/11       

State Street Bank & Trust Co.

  USD  18    JPY  1,428   07/05/11       

State Street Bank & Trust Co.

  USD  22    JPY  1,786   07/05/11       

State Street Bank & Trust Co.

  USD  27    JPY  2,131   07/05/11       

State Street Bank & Trust Co.

  USD  658    JPY  53,177   07/08/11     2  

State Street Bank & Trust Co.

  USD  5    SEK  29   07/05/11       

State Street Bank & Trust Co.

  USD  9    SEK  57   07/05/11       

State Street Bank & Trust Co.

  USD  8    SGD  9   07/05/11       

UBS AG

  USD  105    AUD  100   09/21/11     1  

UBS AG

  USD  103    CAD  100   09/21/11     1  

UBS AG

  USD  575    EUR  400   09/21/11     4  

UBS AG

  USD  160    GBP  100   09/21/11       

UBS AG

  USD  66    JPY  5,316   07/01/11       

UBS AG

  USD  102    JPY  8,206   07/01/11       

UBS AG

  USD  45    JPY  3,599   07/05/11       

UBS AG

  USD  124    JPY  10,000   09/21/11     1  

Westpac Banking Corp.

  USD  382    AUD  364   09/21/11     5  

Westpac Banking Corp.

  USD  510    CAD  499   09/21/11     7  

Westpac Banking Corp.

  USD  14    EUR  9   07/05/11       

Westpac Banking Corp.

  USD  84    EUR  58   07/05/11       

Westpac Banking Corp.

  USD  2,197    EUR  1,507   09/21/11     (17

Westpac Banking Corp.

  USD  851    GBP  521   09/21/11     (16

Westpac Banking Corp.

  USD  173    HKD  1,346   09/21/11       

Westpac Banking Corp.

  USD  971    JPY  77,417   09/21/11     (9
           

 

 

 

Total Unrealized Appreciation (Depreciation) on Open Foreign Currency Exchange Contracts

     (571
           

 

 

 

 

See accompanying notes which are an integral part of the financial statements.

 

 28   Non-U.S. Fund


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Presentation of Portfolio Holdings — June 30, 2011 (Unaudited)

Amounts in thousands

 

   Market Value  

% of Net
Assets

 
Portfolio Summary  Level 1  Level 2  Level 3   Total  
       

Common Stocks

       

Australia

  $   $3,493   $    $3,493    0 .9  

Austria

       606         606    0 .2  

Belgium

       1,961         1,961    0 .5  

Bermuda

   923    3,260         4,183    1 .1  

Brazil

   7,849             7,849    2 .0  

Canada

   7,007             7,007    1 .8  

Cayman Islands

   2,789             2,789    0 .7  

Czech Republic

       696         696    0 .2  

Denmark

       5,204         5,204    1 .3  

Finland

       1,368         1,368    0 .4  

France

       29,661         29,661    7 .6  

Germany

       26,366         26,366    6 .8  

Hong Kong

       7,159         7,159    1 .8  

India

   3,918             3,918    1 .0  

Ireland

   918             918    0 .2  

Isle of Man

       1,685         1,685    0 .4  

Israel

   815             815    0 .2  

Italy

       13,108         13,108    3 .4  

Japan

   37    54,310         54,347    14 .1  

Jersey

       1,629         1,629    0 .4  

Luxembourg

   1,437    1,299         2,736    0 .7  

Netherlands

   3,274    24,710         27,984    7 .2  

Norway

       3,402         3,402    0 .9  

Russia

       1,698         1,698    0 .4  

Singapore

       7,514         7,514    1 .9  

South Africa

       840         840    0 .2  

South Korea

       1,432         1,432    0 .4  

Spain

       7,997         7,997    2 .1  

Sweden

       1,456         1,456    0 .4  

Switzerland

   3,668    29,873         33,541    8 .6  

Taiwan

   4,878    2,257         7,135    1 .8  

Thailand

       1,208         1,208    0 .3  

United Kingdom

   5,870    68,126         73,996    19 .2  

United States

   6,217    532         6,749    1 .7  

Virgin Islands, British

   649             649    0 .2  

Preferred Stocks

   1,025    524         1,549    0 .4  

Warrants & Rights

   10             10    

Short-Term Investments

       28,509         28,509    7 .4  

Other Securities

       39,303         39,303    10 .1  
  

 

 

  

 

 

  

 

 

   

 

 

  

 

 

 

Total Investments

   51,284    371,186         422,470    108 .9  
  

 

 

  

 

 

  

 

 

   

 

 

  

Other Assets and Liabilities, Net

        (8 .9
       

 

 

 
        100 .0  
       

 

 

 

Other Financial Instruments

       

Futures Contracts

   994             994    0 .3  

Foreign Currency Exchange Contracts

   (13  (558       (571  (0 .1
  

 

 

  

 

 

  

 

 

   

 

 

  

Total Other Financial Instruments**

  $981   $(558 $    $423   
  

 

 

  

 

 

  

 

 

   

 

 

  

 

* Less than .05% of net assets.

 

** Other financial instruments reflected in the Schedule of Investments, such as futures, forwards, and swap contracts which are valued at the unrealized appreciation/depreciation on the instruments.

For a description of the levels see note 2 in the Notes to Financial Statements.

 

See accompanying notes which are an integral part of the financial statements.

 

Non-U.S. Fund 29


Table of Contents

Russell Investment Funds

Non-U.S. Fund

Fair Value of Derivative Instruments — June 30, 2011 (Unaudited)

Amounts in thousands

 

 

Derivatives not accounted for as hedging instruments  Foreign Currency
Contracts
   Equity
Contracts
 
    

Location: Statement of Assets and Liabilities - Assets

    

Unrealized appreciation on foreign currency exchange contracts

  $139    $  

Daily variation margin on futures contracts*

        994  
  

 

 

   

 

 

 

Total

  $139    $994  
  

 

 

   

 

 

 

Location: Statement of Assets and Liabilities - Liabilities

    

Unrealized depreciation on foreign currency exchange contracts

  $710    $  

Daily variation margin on futures contracts*

          
  

 

 

   

 

 

 

Total

  $710    $  
  

 

 

   

 

 

 

 

Derivatives not accounted for as hedging instruments  Foreign Currency
Contracts
  Equity
Contracts
 
   

Location: Statement of Operations - Net realized gain (loss)

   

Futures contracts

  $   $(368

Foreign currency-related transactions

   2,020      
  

 

 

  

 

 

 

Total

  $2,020   $(368
  

 

 

  

 

 

 

Location: Statement of Operations - Net change in unrealized appreciation (depreciation)

   

Futures contracts

  $   $983  

Foreign currency-related transactions

   (811    
  

 

 

  

 

 

 

Total

  $(811 $983  
  

 

 

  

 

 

 

 

*Includes cumulative appreciation/depreciation of futures contracts as reported in Schedule of Investments. Only current day's variation margin is reported within the Statement of Assets and Liabilities

For further disclosure on derivatives see note 2 in Notes to Financial Statements.

 

See accompanying notes which are an integral part of the financial statements.

 

 30   Non-U.S. Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Shareholder Expense Example — June 30, 2011 (Unaudited)

 

 

 

Fund Expenses

The following disclosure provides important information regarding each Fund’s Expense Example, which appears on each Fund’s individual page in this Semi-annual Report. Please refer to this information when reviewing the Expense Example for a Fund.

Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including advisory fees and other Fund expenses. The Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period indicated, which for this Fund is from January 1, 2011 to June 30, 2011.

Actual Expenses

The information in the table under the heading “Actual Performance” provides information about actual account values and actual expenses. You may use the information in this column, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first column in the row entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

The information in the table under the heading “Hypothetical Performance (5% return before expenses)” provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the 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 Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the information under the heading “Hypothetical Performance (5% return before expenses)” is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher. The fee and expenses shown in this section do not reflect any Insurance Company Separate Account or Policy Charges.

 

   Actual
Performance
   Hypothetical
Performance
(5% return
before expenses)
 
    
    
Beginning Account Value    

January 1, 2011

  $1,000 .00    $1,000 .00  

Ending Account Value June 30, 2011

  $1,027 .00    $1,021 .32  

Expenses Paid During Period*

  $3 .52    $3 .51  

 

*Expenses are equal to the Fund's annualized expense ratio of 0.70% (representing the six month period annualized), multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). May reflect amounts waived, reimbursed and/or other credits. Without any waivers, reimbursements and/or other credits, expenses would have been higher.
 

 

Core Bond Fund 31


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      
Long-Term Investments - 84.4%      
Asset-Backed Securities - 6.3%      

Access Group, Inc.
Series 2008-1 Class A
1.574% due 10/27/25 (Ê)

   690       697  

ACE Securities Corp.
Series 2005-SD3 Class A
0.586% due 08/25/45 (Ê)

   72       67  

Ameriquest Mortgage Securities, Inc.
Series 2004-R10 Class A5
0.576% due 11/25/34 (Ê)

            

Series 2005-R11 Class A2C
0.416% due 01/25/36 (Ê)

   795       789  

Asset Backed Securities Corp. Home
Equity
Series 2005-HE5 Class M3
0.666% due 06/25/35 (Ê)

   1,050       742  

Bayview Financial Acquisition Trust
Series 2006-A Class 1A3
5.865% due 02/28/41

   190       148  

Black Diamond CLO, Ltd.
Series 2007-1A Class AD
0.523% due 04/29/19 (Ê)(Þ)

   750       700  

Brazos Higher Education Authority
Series 2005-3 Class A14
0.357% due 09/25/23 (Ê)

   348       345  

Series 2010-1 Class A1
1.157% due 05/25/29 (Ê)

   283       283  

Series 2010-1 Class A2
1.457% due 02/25/35 (Ê)

   500       476  

Series 2011-1 Class A2
1.057% due 02/25/30 (Ê)

   700       700  

Series 2011-2 Class A2
1.097% due 07/25/29 (Ê)

   800       792  

Centex Home Equity
Series 2006-A Class AV4
0.436% due 06/25/36 (Ê)

   700       417  

Chatham Light CLO, Ltd.
Series 2005-2A Class A1
0.523% due 08/03/19 (Å)(Ê)

   495       481  

CIT Education Loan Trust
Series 2007-1 Class A
0.337% due 03/25/42 (Ê)(Þ)

   547       500  

CIT Mortgage Loan Trust
Series 2007-1 Class 2A1
1.186% due 10/25/37 (Ê)(Þ)

   64       62  

Series 2007-1 Class 2A2
1.436% due 10/25/37 (Ê)(Þ)

   130       99  

Series 2007-1 Class 2A3
1.636% due 10/25/37 (Ê)(Þ)

   180       94  

Citigroup Mortgage Loan Trust, Inc.
Series 2007-WFH1 Class A3
0.336% due 01/25/37 (Ê)

   1,045       783  

Series 2007-WFH1 Class A4
0.386% due 01/25/37 (Ê)

   840       386  

Series 2007-WFH4 Class A2B
1.236% due 07/25/37 (Ê)

   1,290       696  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Conseco Financial Corp.
Series 1996-10 Class M1
7.240% due 11/15/28

   700       738  

Series 1999-2 Class A5
6.680% due 12/01/30

   712       714  

Countrywide Home Equity Loan Trust
Series 2006-HW Class 2A1B
0.369% due 11/15/36 (Ê)

   304       234  

Educational Funding of the South, Inc.
Series 2011-1 Class A2
0.922% due 04/25/35 (Ê)

   210       198  

EFS Volunteer LLC
Series 2010-1 Class A2
1.124% due 10/25/35 (Ê)(Þ)

   500       474  

First Franklin Mortgage Loan Asset
Backed Certificates
Series 2006-FF15 Class A3
0.236% due 11/25/36 (Ê)

   6       6  

Series 2007-FF1 Class A2B
0.276% due 01/25/38 (Ê)

   742       523  

GMAC Mortgage Corp. Loan Trust
Series 2007-HE3 Class 1A1
7.000% due 09/25/37

   43       33  

Series 2007-HE3 Class 2A1
7.000% due 09/25/37

   56       41  

Goal Capital Funding Trust
Series 2010-1 Class A
0.957% due 08/25/48 (Ê)(Þ)

   92       92  

GSAA Trust
Series 2006-2 Class 2A3
0.456% due 12/25/35 (Ê)

   320       283  

HSBC Home Equity Loan Trust
Series 2005-1 Class A
0.476% due 01/20/34 (Ê)

   155       139  

Series 2006-4 Class A3V
0.336% due 03/20/36 (Ê)

   800       771  

Series 2007-1 Class AS
0.386% due 03/20/36 (Ê)

   529       470  

Series 2007-2 Class M2
0.556% due 07/20/36 (Ê)

   1,300       805  

Series 2007-3 Class APT
1.386% due 11/20/36 (Ê)

   233       208  

HSI Asset Securitization Corp. Trust
Series 2006-HE2 Class 2A1
0.236% due 12/25/36 (Ê)

   1       1  

Indymac Residential Asset Backed Trust
Series 2006-H2 Class A
0.336% due 06/28/36 (Ê)

   216       116  

IXIS Real Estate Capital Trust
Series 2005-HE1 Class M2
0.921% due 06/25/35 (Ê)

   325       300  

Jasper CLO, Ltd.

      

Series 2005-1A Class A
0.543% due 08/01/17 (Ê)(Þ)

   1,871       1,759  

JPMorgan Mortgage Acquisition Corp.

      

Series 2006-HE1 Class A4
0.476% due 01/25/36 (Ê)

   2,350       935  
 

 

 32   Core Bond Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Knowledgeworks Foundation

      

Series 2010-1 Class A
1.207% due 02/25/42 (Ê)

   283       278  

Lehman XS Trust

      

Series 2006-9 Class A1B
0.346% due 05/25/46 (Ê)

   235       129  

Series 2006-13 Class 1A2
0.356% due 09/25/36 (Ê)

   226       130  

Series 2006-19 Class A2
0.356% due 12/25/36 (Ê)

   241       136  

Long Beach Mortgage Loan Trust
Series 2004-4 Class 1A1
0.746% due 10/25/34 (Ê)

   5       4  

Series 2004-4 Class M1
0.786% due 10/25/34 (Ê)

   1,000       773  

Mastr Asset Backed Securities Trust
Series 2005-WMC1 Class M1
0.606% due 03/25/35 (Ê)

   137       136  

Merrill Lynch First Franklin Mortgage
Loan Trust
Series 2007-1 Class A2B
0.356% due 04/25/37 (Ê)

   171       93  

Missouri Higher Education Loan
Authority
Series 2010-1 Class A1
1.207% due 11/26/32 (Ê)

   847       849  

Monument Park CDO, Ltd.
Series 2004-1A Class A1
0.824% due 01/20/16 (Ê)(Þ)

   416       410  

Morgan Stanley ABS Capital I
Series 2006-HE1 Class A4
0.476% due 01/25/36 (Ê)

   1,950       1,003  

Series 2007-HE2 Class A2B
0.276% due 01/25/37 (Ê)

   1,043       553  

Series 2007-HE5 Class A2C
0.436% due 03/25/37 (Ê)

   800       287  

Nelnet Student Loan Trust
Series 2010-3A Class A
1.054% due 07/27/48 (Ê)(Þ)

   364       366  

Series 2011-1A Class A
1.036% due 02/25/43 (Ê)(Þ)

   969       972  

Popular ABS Mortgage Pass-Through Trust
Series 2005-6 Class A3
5.680% due 01/25/36

   120       107  

Series 2006-D Class A3
0.446% due 11/25/46 (Ê)

   1,300       789  

Renaissance Home Equity Loan Trust
Series 2005-2 Class AF4
4.934% due 08/25/35

   85       70  

Series 2006-1 Class AF6
5.746% due 05/25/36

   166       109  

Residential Asset Mortgage Products, Inc.
Series 2003-RS9 Class AI6A
6.110% due 10/25/33

   381       372  

Series 2003-RS11 Class AI6A
5.980% due 12/25/33

   116       110  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Residential Asset Securities Corp.
Series 2003-KS4 Class AIIB
0.766% due 06/25/33 (Ê)

   31       16  

Series 2007-KS2 Class AI1
0.256% due 02/25/37 (Ê)

   11       11  

SG Mortgage Securities Trust
Series 2006-OPT2 Class A3C
0.336% due 10/25/36 (Ê)

   1,500       432  

SLM Student Loan Trust
Series 2006-5 Class A6B
0.394% due 10/25/40 (Ê)

   490       435  

Series 2008-2 Class A1

      

0.574% due 01/25/15 (Ê)

   23       23  

Series 2008-7 Class A2
0.774% due 10/25/17 (Ê)

   2,800       2,802  

Small Business Administration
Participation Certificates
Series 2005-20G Class 1
4.750% due 07/01/25

   575       616  

Soundview Home Equity Loan Trust
Series 2005-OPT3 Class A4
0.486% due 11/25/35 (Ê)

   525       496  

Structured Asset Securities Corp.
Series 2006-BC3 Class A2
0.236% due 10/25/36 (Ê)

   3       3  

Series 2006-BC6 Class A2
0.266% due 01/25/37 (Ê)

   593       583  

Washington Mutual Asset-Backed Certificates
Series 2006-HE2 Class A3
0.336% due 05/25/36 (Ê)

   623       345  

WG Horizons CLO
Series 2006-1A Class A1
0.515% due 05/24/19 (Ê)(Þ)

   800       750  
      

 

 

 
       32,285  
      

 

 

 
Corporate Bonds and Notes - 18.8%      

Abbey National Treasury Services PLC
1.573% due 04/25/13 (ž)

   300       300  

1.602% due 06/10/13 (ž)

   2,000       1,999  

ACCO Brands Corp.
10.625% due 03/15/15

   225       251  

Allstate Life Global Funding Trusts
5.375% due 04/30/13

   200       216  

Ally Financial, Inc.
7.500% due 12/31/13 (Ñ)

   1,900       2,030  

7.500% due 09/15/20

   100       105  

Altria Group, Inc.
9.700% due 11/10/18

   150       197  

American Express Bank FSB
Series BKNT
5.500% due 04/16/13

   300       321  

6.000% due 09/13/17

   400       451  

American Express Centurion Bank
Series BKN1
6.000% due 09/13/17

   400       451  
 

 

Core Bond Fund 33


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

American Express Co.
7.000% due 03/19/18

   200       235  

American International Group, Inc.
5.600% due 10/18/16

   700       733  

5.450% due 05/18/17

   1,000       1,044  

5.850% due 01/16/18

   900       942  

Amgen, Inc.
6.900% due 06/01/38

   1,000       1,183  

Anadarko Petroleum Corp.
6.375% due 09/15/17

   250       287  

8.700% due 03/15/19 (Ñ)

   150       191  

Anheuser-Busch InBev Worldwide, Inc.
4.125% due 01/15/15

   225       242  

Appalachian Power Co.
Series O
5.650% due 08/15/12

   65       68  

Arch Coal, Inc.
7.000% due 06/15/19 (Þ)

   350       349  

Arizona Public Service Co.
5.800% due 06/30/14

   100       111  

6.250% due 08/01/16

   75       86  

Ashtead Capital, Inc.
9.000% due 08/15/16 (Þ)

   100       104  

AT&T, Inc.
4.950% due 01/15/13

   200       212  

2.950% due 05/15/16

   350       354  

5.500% due 02/01/18 (Ñ)

   200       223  

6.300% due 01/15/38

   900       953  

6.400% due 05/15/38

   175       188  

BAC Capital Trust XV
1.054% due 06/01/56 (Ê)

   375       261  

Bank of America Corp.
0.750% due 09/11/12 (Ê)(Ñ)

   700       699  

3.625% due 03/17/16 (Ñ)

   300       301  

5.625% due 10/14/16

   115       123  

6.000% due 09/01/17

   335       360  

5.750% due 12/01/17

   140       149  

5.625% due 07/01/20 (Ñ)

   175       181  

5.875% due 01/05/21 (Ñ)

   225       236  

Bank of America NA
Series BKNT
0.527% due 06/15/16 (Ê)

   600       545  

6.100% due 06/15/17

   775       830  

BankAmerica Capital III
Series *
0.848% due 01/15/27 (Ê)

   350       283  

BB&T Corp.
3.200% due 03/15/16 (Ñ)

   325       332  

Bear Stearns Cos. LLC (The)
6.950% due 08/10/12

   600       641  

7.250% due 02/01/18

   445       529  

Boardwalk Pipelines, LP
5.875% due 11/15/16

   225       251  

Boston Scientific Corp.
4.500% due 01/15/15

   275       290  

7.000% due 11/15/35

   63       67  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Brandywine Operating Partnership, LP
4.950% due 04/15/18

   275       279  

Burlington Northern Santa Fe LLC
6.875% due 12/01/27

   25       29  

6.750% due 03/15/29

   10       11  

Calpine Construction Finance Co., LP and CCFC Finance Corp.
8.000% due 06/01/16 (Ñ)(Þ)

   800       864  

Capital One Capital III
7.686% due 08/15/36

   150       153  

Case New Holland, Inc.
7.750% due 09/01/13

   125       135  

Caterpillar Financial Services Corp.
4.850% due 12/07/12

   100       106  

Cellco Partnership / Verizon Wireless Capital LLC
8.500% due 11/15/18

   175       227  

CenterPoint Energy Resources Corp.
6.125% due 11/01/17

   50       57  

Charter Communications Operating LLC / Charter Communications Operating Capital
10.875% due 09/15/14 (Þ)

   125       138  

Chase Capital III
Series C
0.804% due 03/01/27 (Ê)

   295       244  

CHS/Community Health Systems, Inc.
8.875% due 07/15/15 (Ñ)

   660       680  

Chubb Corp.
6.375% due 03/29/67

   175       181  

Cimarex Energy Co.
7.125% due 05/01/17

   50       53  

CIT Group, Inc.
7.000% due 05/01/14 (Ñ)

   47       48  

7.000% due 05/01/15

   285       285  

7.000% due 05/01/17

   198       197  

6.625% due 04/01/18 (Ñ)(Þ)

   105       109  

Series .
7.000% due 05/01/16

   141       141  

Citigroup Capital XXI
8.300% due 12/21/57

   830       848  

Citigroup, Inc.
5.500% due 08/27/12

   200       210  

5.625% due 08/27/12

   200       209  

5.500% due 04/11/13 (Ñ)

   700       743  

5.850% due 07/02/13

   100       107  

2.262% due 08/13/13 (Ê)

   100       102  

6.375% due 08/12/14

   150       166  

5.000% due 09/15/14

   400       419  

4.750% due 05/19/15 (Ñ)

   175       185  

4.700% due 05/29/15 (Ñ)

   50       53  

5.850% due 08/02/16 (Ñ)

   220       242  

6.000% due 08/15/17

   850       931  

6.125% due 11/21/17

   525       580  

5.375% due 08/09/20 (Ñ)

   120       125  

6.125% due 08/25/36

   300       288  

6.875% due 03/05/38

   450       501  

8.125% due 07/15/39

   150       188  
 

 

 34   Core Bond Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Columbus Southern Power Co.
Series C
5.500% due 03/01/13

   10       11  

Comcast Holdings Corp.
10.625% due 07/15/12

   125       137  

CommScope, Inc.
8.250% due 01/15/19 (Þ)

   225       232  

Continental Airlines 1999-1 Class A
Pass Through Trust
Series 991A
6.545% due 02/02/19 (Ñ)

   182       191  

Continental Airlines 2007-1 Class A
Pass Through Trust
Series 071A
5.983% due 04/19/22

   142       146  

Continental Airlines 2009-1
Pass Through Trust
Series 09-1
9.000% due 07/08/16

   235       269  

Credit Suisse USA, Inc.
5.500% due 08/15/13

   45       49  

CSC Holdings LLC
8.500% due 04/15/14

   415       460  

8.500% due 06/15/15

   365       394  

CVS Caremark Corp.
5.750% due 05/15/41

   425       418  

DCP Midstream LLC
9.750% due 03/15/19 (Þ)

   100       131  

Dell, Inc.
4.700% due 04/15/13

   400       426  

Delta Air Lines, Inc.
9.500% due 09/15/14 (Þ)

   382       407  

Developers Diversified Realty Corp.
9.625% due 03/15/16

   85       103  

7.500% due 04/01/17

   250       283  

DIRECTV Holdings LLC / DIRECTV Financing Co., Inc.
3.500% due 03/01/16

   350       361  

6.000% due 08/15/40

   100       101  

Discover Bank
Series BKNT
8.700% due 11/18/19

   250       302  

DJO Finance LLC
10.875% due 11/15/14

   275       293  

Dow Chemical Co. (The)
7.600% due 05/15/14

   424       492  

Duke Realty, LP
6.750% due 03/15/20 (Ñ)

   200       224  

Dynegy Roseton / Danskammer Pass Through Trust Series B
Series B
7.670% due 11/08/16

   700       623  

Edison Mission Energy
7.000% due 05/15/17

   675       547  

El Paso Corp.
Series GMTN
8.050% due 10/15/30

   200       237  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

El Paso Natural Gas Co.
7.500% due 11/15/26

   100       117  

El Paso Pipeline Partners Operating Co. LLC
6.500% due 04/01/20 (Ñ)

   300       336  

Energy Transfer Partners, LP
5.950% due 02/01/15

   300       332  

Enterprise Products Operating LLC
6.650% due 04/15/18

   125       145  

Series A
8.375% due 08/01/66

   100       108  

Farmers Exchange Capital
7.050% due 07/15/28 (Þ)

   500       515  

7.200% due 07/15/48 (Þ)

   300       302  

Fifth Third Bancorp
3.625% due 01/25/16

   125       126  

8.250% due 03/01/38

   1,100       1,315  

Fifth Third Bank
Series BKNT
0.371% due 05/17/13 (Ê)

   250       246  

First Niagara Financial Group, Inc.
6.750% due 03/19/20

   125       138  

Ford Motor Credit Co. LLC
7.500% due 08/01/12

   1,000       1,046  

FPL Energy Wind Funding LLC
6.876% due 06/27/17 (Þ)

   184       166  

Freeport-McMoRan Copper & Gold, Inc.
8.375% due 04/01/17

   300       328  

Frontier Communications Corp.
6.250% due 01/15/13 (Ñ)

   325       339  

GE Capital Trust I
6.375% due 11/15/67

   198       203  

General Electric Capital Corp.
1.159% due 05/22/13 (Ê)

   75       76  

5.900% due 05/13/14

   350       389  

5.625% due 05/01/18

   230       252  

4.375% due 09/16/20

   300       297  

5.875% due 01/14/38

   300       303  

6.375% due 11/15/67

   1,900       1,947  

Series EMTN
0.595% due 03/20/14 (Ê)

   400       391  

Series GMTN
6.875% due 01/10/39

   200       226  

General Electric Co.
5.250% due 12/06/17

   150       166  

GenOn REMA LLC

      

Series B

      

9.237% due 07/02/17

   380       407  

Goldman Sachs Group, Inc. (The)
6.000% due 05/01/14

   150       165  

3.625% due 02/07/16

   285       288  

6.250% due 09/01/17

   600       662  

6.150% due 04/01/18

   400       435  

7.500% due 02/15/19

   550       640  

6.000% due 06/15/20

   150       161  

6.750% due 10/01/37

   800       800  
 

 

Core Bond Fund 35


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Series MTNB
0.674% due 07/22/15 (Ê)

   100       95  

Goodyear Tire & Rubber Co. (The)
10.500% due 05/15/16 (Ñ)

   195       219  

HCA, Inc.
8.500% due 04/15/19

   300       332  

7.875% due 02/15/20

   475       516  

Series WI
9.250% due 11/15/16

   250       265  

HCP, Inc.
6.000% due 01/30/17

   175       193  

6.700% due 01/30/18

   425       475  

5.375% due 02/01/21

   125       129  

Health Care REIT, Inc.
4.700% due 09/15/17

   400       411  

4.950% due 01/15/21 (Ñ)

   300       292  

5.250% due 01/15/22 (Ñ)

   200       199  

6.500% due 03/15/41

   200       196  

Healthcare Realty Trust, Inc.
6.500% due 01/17/17

   950       1,057  

Hewlett-Packard Co.
0.534% due 05/24/13 (Ê)

   700       702  

Historic TW, Inc.
8.050% due 01/15/16 (Ñ)

   195       233  

HSBC Bank USA NA
4.875% due 08/24/20

   250       246  

Indiantown Cogeneration, LP
Series A-10
9.770% due 12/15/20

   262       279  

International Lease Finance Corp.
6.500% due 09/01/14 (Þ)

   720       763  

6.750% due 09/01/16 (Þ)

   100       107  

Ipalco Enterprises, Inc.
5.000% due 05/01/18 (Þ)

   125       122  

iPCS, Inc.
2.398% due 05/01/13 (Ê)

   440       430  

JPMorgan Chase & Co.
5.375% due 01/15/14

   170       185  

6.000% due 01/15/18

   200       222  

4.250% due 10/15/20

   300       294  

Series 1
7.900% due 04/29/49 (Æ)(ƒ)(Ñ)

   300       322  

JPMorgan Chase Bank NA
Series BKNT
5.875% due 06/13/16

   70       77  

6.000% due 10/01/17

   570       634  

JPMorgan Chase Capital XIII
Series M
1.196% due 09/30/34 (Ê)

   480       410  

JPMorgan Chase Capital XX
Series T
6.550% due 09/29/36 (Ñ)

   200       200  

JPMorgan Chase Capital XXI
Series U
1.223% due 02/02/37 (Ê)

   335       266  

JPMorgan Chase Capital XXIII
1.261% due 05/15/47 (Ê)

   545       431  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

KCP&L Greater Missouri Operations Co. 11.875% due 07/01/12

   640       705  

Kinder Morgan Energy Partners, LP 5.950% due 02/15/18

   700       780  

Kraft Foods, Inc.
6.125% due 02/01/18

   200       230  

6.125% due 08/23/18 (Ñ)

   125       143  

6.500% due 02/09/40 (Ñ)

   175       194  

L-3 Communications Corp.
Series B
6.375% due 10/15/15

   225       231  

Lehman Brothers Holdings, Inc.
5.625% due 01/24/13 (Ø)

   200       53  

6.200% due 09/26/14 (Ø)

   200       53  

Liberty Property, LP
4.750% due 10/01/20

   275       276  

Manufacturers & Traders Trust Co.
5.585% due 12/28/20

   84       83  

MarkWest Energy Partners, LP
Series B
8.750% due 04/15/18

   100       109  

MBNA Capital B
Series B
1.073% due 02/01/27 (Ê)

   985       799  

MBNA Corp.
6.125% due 03/01/13

   200       214  

Merrill Lynch & Co., Inc.
6.050% due 08/15/12

   100       105  

5.450% due 02/05/13

   1,000       1,061  

6.050% due 05/16/16

   300       315  

6.400% due 08/28/17

   325       354  

6.875% due 04/25/18

   500       553  

MetLife, Inc.
4.750% due 02/08/21

   350       357  

6.400% due 12/15/36 (Ñ)

   100       98  

Metropolitan Life Global Funding I
5.125% due 06/10/14 (Þ)

   200       219  

Mirant Mid Atlantic Pass Through
Trust B
Series B
9.125% due 06/30/17

   362       389  

Morgan Stanley
0.726% due 10/18/16 (Ê)

   435       400  

5.450% due 01/09/17

   225       238  

5.550% due 04/27/17

   425       451  

6.250% due 08/28/17

   600       649  

5.950% due 12/28/17

   125       134  

6.625% due 04/01/18

   550       606  

5.625% due 09/23/19

   175       180  

Series GMTN

2.761% due 05/14/13 (Ê)

   200       205  

National City Bank
Series BKNT
0.622% due 06/07/17 (Ê)

   700       656  

Nationwide Financial Services
5.375% due 03/25/21 (Þ)

   375       377  

NBCUniversal Media LLC
4.375% due 04/01/21 (Þ)

   525       520  
 

 

 36   Core Bond Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

NCUA Guaranteed Notes
Series A4
3.000% due 06/12/19

   400       395  

Nevada Power Co.
Series L
5.875% due 01/15/15

   100       112  

Newfield Exploration Co.
7.125% due 05/15/18

   150       159  

News America, Inc.
6.150% due 02/15/41 (Þ)

   300       297  

8.250% due 10/17/96

   20       24  

Nextel Communications, Inc.
Series C
5.950% due 03/15/14

   205       205  

Series E

6.875% due 10/31/13

   260       262  

NGPL PipeCo LLC
6.514% due 12/15/12 (Þ)

   200       210  

Nielsen Finance LLC
11.500% due 05/01/16

   312       365  

Nisource Finance Corp.
6.400% due 03/15/18

   145       164  

6.125% due 03/01/22

   335       369  

NRG Energy, Inc.
7.375% due 01/15/17 (Ñ)

   100       105  

7.625% due 01/15/18 (Þ)

   90       90  

7.875% due 05/15/21 (Þ)

   125       125  

Oncor Electric Delivery Co. LLC
6.800% due 09/01/18

   550       643  

Panhandle Eastern Pipeline Co., LP
8.125% due 06/01/19

   450       544  

Philip Morris International, Inc.
6.375% due 05/16/38

   100       113  

Plains Exploration & Production Co.
7.625% due 06/01/18

   350       368  

Plastipak Holdings, Inc.
8.500% due 12/15/15 (Þ)

   100       103  

PNC Bank NA
Series BKNT
6.875% due 04/01/18

   175       206  

Pokagon Gaming Authority
10.375% due 06/15/14 (Þ)

   250       258  

Progress Energy, Inc.
5.625% due 01/15/16

   40       45  

7.050% due 03/15/19

   200       240  

ProLogis, LP
1.875% due 11/15/37

   150       148  

Prudential Financial, Inc.
3.875% due 01/14/15

   375       391  

4.500% due 11/15/20

   100       99  

Prudential Holdings LLC
8.695% due 12/18/23 (Þ)

   550       667  

Public Service Co. of New Mexico
7.950% due 05/15/18

   260       293  

Puget Sound Energy, Inc.
Series A
6.974% due 06/01/67 (Ñ)

   125       124  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Pulte Group, Inc.
5.250% due 01/15/14

   1,000       1,020  

Qwest Communications International, Inc.
8.000% due 10/01/15

   548       596  

Qwest Corp.
7.625% due 06/15/15 (Ñ)

   100       113  

8.375% due 05/01/16

   175       207  

Range Resources Corp.
7.500% due 10/01/17

   50       53  

7.250% due 05/01/18

   100       106  

Reinsurance Group of America, Inc.
6.750% due 12/15/65

   275       263  

Rensselaer Polytechnic Institute
5.600% due 09/01/20

   325       347  

Rock-Tenn Co.
5.625% due 03/15/13

   25       26  

RSC Holdings, Inc.
10.000% due 07/15/17 (Þ)

   325       362  

Sabine Pass LNG, LP
7.250% due 11/30/13

   780       800  

7.500% due 11/30/16

   65       67  

Series 144a
7.500% due 11/30/16 (Þ)

   380       390  

Santander Holdings USA, Inc.
4.625% due 04/19/16

   130       131  

SGS International, Inc.
12.000% due 12/15/13

   35       36  

Simon Property Group, LP
6.100% due 05/01/16

   130       149  

5.650% due 02/01/20

   275       297  

4.375% due 03/01/21 (Ñ)

   100       98  

SLM Corp.
6.250% due 01/25/16

   250       259  

Series MTNA
5.000% due 04/15/15 (Ñ)

   1,800       1,809  

Southern Union Co.
7.200% due 11/01/66 (Ñ)

   740       688  

Springleaf Finance Corp.
6.900% due 12/15/17

   300       275  

Series MTNI
4.875% due 07/15/12 (Ñ)

   275       274  

State Street Capital Trust III
5.237% due 01/29/49 (Ê)(ƒ)

   200       200  

Steel Dynamics, Inc.
7.750% due 04/15/16

   275       289  

SunTrust Banks, Inc.
3.600% due 04/15/16

   200       202  

Symetra Financial Corp.
6.125% due 04/01/16 (Å)

   150       158  

Target Corp.
5.125% due 01/15/13

   400       426  

Tennessee Gas Pipeline Co.
8.000% due 02/01/16

   200       242  

7.500% due 04/01/17

   75       91  

8.375% due 06/15/32

   100       126  

Time Warner, Inc.
5.875% due 11/15/16

   400       457  
 

 

Core Bond Fund 37


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Transatlantic Holdings, Inc.
8.000% due 11/30/39

   150       164  

UAL 2009-1 Pass Through Trust
Series 09-1
10.400% due 11/01/16

   91       103  

Union Electric Co.
6.400% due 06/15/17

   205       238  

Union Pacific Corp.
4.163% due 07/15/22 (Å)

   349       345  

UnitedHealth Group, Inc.
4.875% due 02/15/13

   200       211  

6.000% due 06/15/17

   3       3  

6.500% due 06/15/37 (Ñ)

   45       49  

Wachovia Corp.
5.625% due 10/15/16

   100       109  

5.750% due 02/01/18

   500       553  

WCI Finance LLC / WEA Finance LLC 5.400% due 10/01/12 (Þ)

   75       79  

WEA Finance LLC / WT Finance Aust Pty, Ltd.
7.500% due 06/02/14 (Þ)

   205       236  

6.750% due 09/02/19 (Þ)

   95       108  

Wells Fargo & Co.
5.625% due 12/11/17

   300       331  

Series K

7.980% due 03/29/49(ƒ)

   3,300       3,563  

Williams Cos., Inc. (The)
7.875% due 09/01/21 (Ñ)

   261       323  

8.750% due 03/15/32

   175       223  

Windstream Corp. Series WI
8.625% due 08/01/16

   175       182  

ZFS Finance USA Trust II
6.450% due 12/15/65 (Ñ)(Þ)

   300       305  
      

 

 

 
       96,787  
      

 

 

 
International Debt - 10.1%      

Abbey National Treasury Services PLC 3.875% due 11/10/14 (Þ)

   870       886  

4.000% due 04/27/16

   275       273  

Achmea Hypotheekbank NV
3.200% due 11/03/14 (Þ)

   900       945  

AK Transneft OJSC Via TransCapitalInvest, Ltd.
8.700% due 08/07/18 (Þ)

   100       123  

Anglo American Capital PLC
9.375% due 04/08/19 (Þ)

   100       132  

ANZ National International, Ltd.
6.200% due 07/19/13 (Þ)

   600       654  

ArcelorMittal
6.125% due 06/01/18 (Ñ)

   175       187  

ARES CLO Funds
Series 2003-7A
Class A1B
0.818% due 05/08/15 (Å)(Ê)

   221       220  

Series 2005-10A
Class A3
0.487% due 09/18/17 (Å)(Ê)

   343       336  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

AstraZeneca PLC
5.900% due 09/15/17

   100       117  

Australia & New Zealand Banking Group, Ltd.
1.118% due 05/08/13 (Ê)

   300       301  

AWAS Aviation Capital, Ltd.
7.000% due 10/15/16 (Þ)

   347       357  

Banco Santander Brazil SA
2.347% due 03/18/14 (Ê)(Þ)

   200       201  

Bank of Montreal
2.850% due 06/09/15 (Þ)

   100       104  

Bank of New York Mellon SA
Institucion de Banca Multiple
9.625% due 05/02/21 (Þ)

   200       204  

Bank of Scotland PLC
5.250% due 02/21/17 (Þ)

   200       214  

Barclays Bank PLC
5.450% due 09/12/12 (Ñ)

   1,300       1,370  

6.050% due 12/04/17 (Þ)

   200       212  

BBVA Bancomer SA
7.250% due 04/22/20 (Ñ)(Þ)

   300       315  

6.500% due 03/10/21 (Þ)

   200       204  

BM&FBovespa SA
5.500% due 07/16/20 (Þ)

   100       104  

BNP Paribas SA
0.693% due 04/08/13 (Ê)(Ñ)

   680       675  

5.186% due 06/29/49 (ƒ)(Þ)

   300       276  

BP Capital Markets PLC
3.200% due 03/11/16 (Ñ)

   200       203  

4.500% due 10/01/20

   300       306  

Braskem Finance, Ltd.
5.750% due 04/15/21 (Þ)

   300       302  

BRFkredit AS
2.050% due 04/15/13 (Þ)

   1,400       1,429  

Canadian Imperial Bank of Commerce 2.750% due 01/27/16 (Ñ)(Þ)

   200       205  

Canadian Natural Resources, Ltd.
5.150% due 02/01/13

   100       106  

Cemex SAB de CV
5.246% due 09/30/15 (Ê)(Þ)

   280       270  

Cie de Financement Foncier
2.125% due 04/22/13 (Þ)

   1,400       1,420  

Corp. Nacional del Cobre de Chile
7.500% due 01/15/19 (Þ)

   200       241  

Covidien International Finance SA
4.200% due 06/15/20

   175       178  

Credit Suisse NY
6.000% due 02/15/18

   770       831  

CSN Islands XI Corp.
6.875% due 09/21/19 (Ñ)(Þ)

   200       218  

Deutsche Bank AG
6.000% due 09/01/17 (Ñ)

   600       669  

Dexia Credit Local SA
0.753% due 04/29/14 (Ê)(Þ)

   500       498  

DnB NOR Boligkreditt
2.100% due 10/14/15 (Þ)

   1,200       1,186  

2.900% due 03/29/16 (Þ)

   1,100       1,120  

Dolphin Energy, Ltd.
5.888% due 06/15/19 (Ñ)(Þ)

   115       124  
 

 

 38   Core Bond Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Electricite De France
5.500% due 01/26/14 (Þ)

   200       220  

6.500% due 01/26/19 (Þ)

   200       234  

6.950% due 01/26/39 (Þ)

   200       234  

Endurance Specialty Holdings, Ltd.
6.150% due 10/15/15

   100       107  

Enel Finance International NV
6.250% due 09/15/17 (Þ)

   300       331  

Export-Import Bank of Korea
5.875% due 01/14/15

   700       768  

FIH Erhvervsbank A/S
2.450% due 08/17/12 (Þ)

   500       511  

Gazprom International SA for
Gazprom Series regs
7.201% due 02/01/20

   52       57  

Gazprom OAO Via Gaz Capital SA
Series REGS
9.250% due 04/23/19

   110       137  

HBOS PLC
Series GMTN
6.750% due 05/21/18 (Þ)

   825       794  

HSBC Bank PLC
3.100% due 05/24/16 (Þ)

   800       795  

HSBC Bank USA NA
Series CLN
Zero coupon due 08/15/40

   590       791  

HSBC Finance Corp.
1.797% due 04/05/13 (Ê)

   300       430  

HSBC Holdings PLC
6.500% due 05/02/36

   100       103  

6.500% due 09/15/37

   100       103  

Indian Oil Corp., Ltd.
4.750% due 01/22/15

   400       416  

ING Bank NV
1.297% due 03/15/13 (Ê)(Ñ)(Þ)

   600       601  

1.652% due 06/09/14 (Å)(Ê)

   300       301  

2.375% due 06/09/14 (Ñ)(Þ)

   375       373  

2.500% due 01/14/16 (Þ)

   800       786  

Intelsat Jackson Holdings SA
9.500% due 06/15/16

   580       608  

7.250% due 04/01/19 (Þ)

   375       372  

Intesa Sanpaolo SpA
2.658% due 02/24/14 (Ê)(Þ)

   200       200  

Israel Government AID Bond
5.500% due 09/18/33

   400       447  

Korea Electric Power Corp.
5.125% due 04/23/34 (Þ)

   60       63  

Lloyds TSB Bank PLC
6.500% due 09/14/20 (Ñ)(Þ)

   100       94  

Majapahit Holding BV
Series REGS
7.750% due 10/17/16

   100       116  

Mexico Government International Bond
6.050% due 01/11/40

   260       276  

Morgan Stanley Bank AG for OAO Gazprom
Series REGS
9.625% due 03/01/13

   900       1,006  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

MUFG Capital Finance 1, Ltd.
6.346% due 07/29/49 (ƒ)

   200       203  

National Australia Bank, Ltd.
5.350% due 06/12/13 (Þ)

   800       858  

Nexen, Inc.
7.500% due 07/30/39

   150       168  

Noble Group, Ltd.
6.750% due 01/29/20 (Þ)

   100       105  

Nordea Eiendomskreditt AS
1.875% due 04/07/14 (Þ)

   700       707  

North American Development Bank
4.375% due 02/11/20

   400       417  

PE Paper Escrow GmbH
12.000% due 08/01/14 (Þ)

   200       226  

Permanent Master Issuer PLC
Series 2011-1A Class 1A3
2.617% due 07/15/42 (Ê)(Þ)

   700       1,014  

Petrobras International Finance Co.—Pifco 3.875% due 01/27/16

   400       407  

7.875% due 03/15/19

   800       969  

5.375% due 01/27/21

   130       133  

Petroleos Mexicanos
8.000% due 05/03/19 (Ñ)

   320       395  

PPL WEM Holdings PLC
5.375% due 05/01/21 (Þ)

   300       311  

Province of Ontario Canada
1.375% due 01/27/14

   200       201  

PTTEP Canada International Finance, Ltd. 5.692% due 04/05/21 (Þ)

   210       209  

Qatar Government International Bond 5.250% due 01/20/20 (Þ)

   520       554  

QBE Gap Funding II, LP
7.250% due 05/24/41 (Þ)

   250       251  

Ras Laffan Liquefied Natural Gas
Co., Ltd. III
5.838% due 09/30/27 (Þ)

   250       252  

Series REGS
6.750% due 09/30/19 (Å)

   300       345  

Resona Bank, Ltd.
5.850% due 09/29/49 (ƒ)(Þ)

   100       100  

Royal Bank of Scotland Group PLC
6.990% due 10/29/49 (ƒ)(Ñ)(Þ)

   300       270  

Series 1
9.118% due 03/31/49 (ƒ)

   300       304  

Royal Bank of Scotland PLC (The)
3.250% due 01/11/14

   500       507  

4.875% due 08/25/14 (Þ)

   1,000       1,041  

5.625% due 08/24/20

   200       200  

Russia Government International Bond
Series REGS
7.500% due 03/31/30

   104       122  

RZD Capital, Ltd.
5.739% due 04/03/17

   500       531  

Santander US Debt SA Unipersonal
2.991% due 10/07/13 (Þ)

   400       399  

SLM Corp.
1.044% due 06/17/13 (Ê)

   150       208  
 

 

Core Bond Fund 39


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Sparebank 1 Boligkreditt AS
1.250% due 10/25/13 (Þ)

   1,100       1,099  

2.625% due 05/27/16 (Þ)

   1,100       1,101  

Stadshypotek AB
1.450% due 09/30/13 (Þ)

   300       302  

State of Qatar
5.150% due 04/09/14

   100       109  

Swedbank AB
2.900% due 01/14/13 (Þ)

   800       828  

Swedbank Hypotek AB
0.696% due 03/28/14 (Ê)(Þ)

   300       302  

Teck Resources, Ltd.
10.750% due 05/15/19

   200       253  

Telecom Italia Capital SA
7.200% due 07/18/36

   225       212  

Telemar Norte Leste SA
5.500% due 10/23/20 (Þ)

   125       123  

TNK-BP Finance SA
Series REGS
7.500% due 07/18/16

   120       135  

TransCanada PipeLines, Ltd.
6.350% due 05/15/67

   225       226  

Transnet, Ltd.
4.500% due 02/10/16 (Þ)

   350       361  

Transocean, Inc.
6.000% due 03/15/18 (Ñ)

   100       111  

6.500% due 11/15/20

   200       224  

Turkiye Garanti Bankasi AS
2.774% due 04/20/16 (Å)(Ê)

   200       199  

UBS AG
5.850% due 12/31/17 (Å)

   270       136  

Series BKNT
5.875% due 12/20/17 (Å)

   400       439  

5.750% due 04/25/18

   100       108  

UPCB Finance III, Ltd.
6.625% due 07/01/20 (Ñ)(Þ)

   200       198  

Vale Overseas, Ltd.
5.625% due 09/15/19 (Ñ)

   400       427  

Vimpel Communications Via VIP
Finance Ireland, Ltd. OJSC
7.748% due 02/02/21 (Þ)

   200       206  

VIP Finance Ireland, Ltd. for OJSC
Vimpel Communications
Series REGS
9.125% due 04/30/18

   100       113  

Virgin Media Finance PLC
9.125% due 08/15/16

   250       263  

Series 1
9.500% due 08/15/16

   125       141  

Vivendi SA
5.750% due 04/04/13 (Þ)

   400       429  

Weatherford International, Ltd.
9.625% due 03/01/19

   225       291  

Wells Fargo & Co.
0.933% due 03/23/16

   400       567  

Westchester CLO, Ltd.
Zero coupon due 08/01/22

   1,319       1,238  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Westpac Banking Corp.
3.585% due 08/14/14 (Þ)

   700       745  

White Nights Gazprom
10.500% due 03/08/14

   200       238  

10.500% due 03/25/14

   300       357  
      

 

 

 
       51,878  
      

 

 

 
Loan Agreements - 0.3%      

Caesars Entertainment Operating Co., Inc., Term Loan
3.250% due 01/28/15

   500       450  

CIT Group, Inc. Term Loan
3 6.250% due 08/11/15

   500       503  

HCA, Inc., Term Loan A
3.496% due 05/01/18

   507       499  
      

 

 

 
       1,452  
      

 

 

 
Mortgage-Backed Securities - 38.2%      

ABN Amro Mortgage Corp.
Series 2003-13 Class A3
5.500% due 01/25/34

   1,868       1,883  

Adjustable Rate Mortgage Trust
Series 2004-5 Class 2A1
2.801% due 04/25/35

   48       45  

Series 2007-1 Class 1A1
3.010% due 03/25/37

   1,053       533  

American Home Mortgage Assets
Series 2007-4 Class A2
0.376% due 08/25/37 (Ê)

   883       633  

American Home Mortgage Investment Trust
Series 2004-4 Class 4A
2.403% due 02/25/45 (Ê)

   69       61  

Arkle Master Issuer PLC
Series 2010-2A Class 1A1
1.661% due 05/17/60 (Ê)(Þ)

   600       602  

Banc of America Commercial Mortgage, Inc.
Series 2002-PB2 Class A4
6.186% due 06/11/35

   457       463  

Series 2005-2 Class A4
4.783% due 07/10/43

   315       322  

Series 2005-2 Class A5
4.857% due 07/10/43

   745       801  

Series 2006-1 Class A4
5.372% due 09/10/45

   280       303  

Series 2006-2 Class A4
5.924% due 05/10/45

   200       221  

Series 2006-4 Class A4
5.634% due 07/10/46

   500       547  

Banc of America Funding Corp.
Series 2005-D Class A1
2.783% due 05/25/35 (Ê)

   78       75  

Series 2006-3 Class 5A8
5.500% due 03/25/36

   475       444  

Series 2006-A Class 4A1
5.472% due 02/20/36 (Ê)

   341       272  

Series 2006-I Class 5A1
6.041% due 10/20/46 (Ê)

   1,192       1,012  
 

 

 40   Core Bond Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Series 2007-4 Class 3A1
0.556% due 06/25/37 (Ê)

   1,221       685  

Banc of America Large Loan, Inc.
Series 2010-HLTN Class HLTN
1.937% due 11/15/15 (Ê)(Þ)

   98       90  

Banc of America Mortgage Securities, Inc. Series 2004-1 Class 5A1
6.500% due 09/25/33

   6       6  

Series 2004-11 Class 2A1
5.750% due 01/25/35

   189       194  

Series 2005-H Class 2A5
3.199% due 09/25/35 (Ê)

   220       163  

Series 2006-B Class 1A1
3.202% due 10/20/46 (Ê)

   66       34  

Banc of America Re-Remic Trust
Series 2011-STRP Class A1
1.274% due 01/17/49 (Þ)

   953       944  

Bear Stearns Adjustable Rate Mortgage Trust
Series 2003-1 Class 6A1
2.727% due 04/25/33

   23       22  

Series 2003-8 Class 4A1
3.070% due 01/25/34

   71       68  

Series 2004-9 Class 22A1
3.582% due 11/25/34 (Ê)

   45       43  

Series 2005-2 Class A1
2.710% due 03/25/35 (Ê)

   709       663  

Series 2007-3 Class 1A1
5.230% due 05/25/47

   261       188  

Bear Stearns Alt-A Trust
Series 2005-4 Class 23A1
2.652% due 05/25/35

   159       124  

Series 2005-7 Class 22A1
2.916% due 09/25/35

   383       278  

Series 2005-10 Class 24A1
2.649% due 01/25/36

   368       195  

Series 2006-1 Class 21A2
2.790% due 02/25/36

   467       196  

Bear Stearns Commercial Mortgage Securities
Series 2002-PBW1 Class A2
4.720% due 11/11/35

   765       786  

Series 2005-T20 Class A4A
5.296% due 10/12/42

   890       975  

Series 2006-PW14 Class A4
5.201% due 12/11/38

   1,600       1,722  

Series 2006-T22 Class A4
5.707% due 04/12/38

   505       559  

Breidenbach Capital Consulting, LLC
11.047% due 04/26/37

   594       185  

Citigroup Mortgage Loan Trust, Inc.
Series 2005-11 Class A2A
2.670% due 12/25/35 (Ê)

   46       42  

Series 2006-AR7 Class 1A4A
5.329% due 11/25/36

   556       392  

Series 2007-10 Class 2A3A
5.889% due 09/25/37

   504       317  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Series 2007-10 Class 2A4A
6.063% due 09/25/37 (Ê)

   308       216  

Series 2007-AR8 Class 2A1A
5.673% due 07/25/37

   746       523  

Citigroup/Deutsche Bank Commercial Mortgage Trust
Series 2005-CD1 Class A4
5.394% due 07/15/44

   340       370  

Commercial Mortgage Pass Through Certificates
Series 2006-C8 Class A4
5.306% due 12/10/46

   200       214  

Countrywide Alternative Loan Trust
Series 2005-32T1 Class A7
0.436% due 08/25/35 (Ê)

   21       20  

Series 2005-48T1 Class A6
5.500% due 11/25/35

   897       628  

Series 2006-36T2 Class 1A9
1.086% due 12/25/36 (Ê)

   275       131  

Series 2006-45T1 Class 2A2
6.000% due 02/25/37

   1,098       750  

Series 2006-OA16 Class A2
0.376% due 10/25/46 (Ê)

   1,527       927  

Series 2006-OA19 Class A1
0.366% due 02/20/47 (Ê)

   660       343  

Series 2007-15CB Class A5
5.750% due 07/25/37

   651       492  

Series 2007-OA11 Class A1A
1.558% due 11/25/47 (Ê)

   876       477  

Countrywide Home Loan Mortgage Pass Through Trust
Series 2003-52 Class A1
2.831% due 02/19/34

   105       95  

Series 2004-22 Class A3
3.094% due 11/25/34

   146       122  

Series 2004-HYB9 Class 1A1
2.789% due 02/20/35

   239       196  

Series 2005-1 Class 2A1
0.476% due 03/25/35 (Ê)

   1,427       827  

Series 2005-3 Class 1A2
0.476% due 04/25/35 (Ê)

   22       14  

Series 2005-HYB9 Class 3A2A
3.017% due 02/20/36 (Ê)

   46       36  

Series 2007-1 Class A1
6.000% due 03/25/37

   1,285       1,089  

Series 2007-2 Class A2
6.000% due 03/25/37

   2,100       1,742  

Series 2007-4 Class 1A10
6.000% due 05/25/37

   2,000       1,553  

Series 2007-HY1 Class 1A2
5.415% due 04/25/37

   47       5  

Credit Suisse First Boston Mortgage
Securities Corp.
Series 2005-9 Class 2A1
5.500% due 10/25/35

   316       297  

Credit Suisse Mortgage Capital Certificates
Series 2006-8 Class 4A1
6.500% due 10/25/21

   401       309  
 

 

Core Bond Fund 41


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Series 2006-C2 Class A3
5.850% due 03/15/39

   100       109  

Series 2007-2 Class 3A4
5.500% due 03/25/37

   1,000       880  

DBUBS Mortgage Trust
Series 2011-LC2A Class A2
3.386% due 06/10/16 (Þ)

   900       902  

Deutsche ALT-A Securities, Inc.
Alternate Loan Trust
Series 2005-AR1 Class 2A3
1.946% due 08/25/35

   465       256  

Series 2007-AR3 Class 2A4
0.536% due 06/25/37 (Ê)

   500       129  

Series 2007-OA1 Class A1
0.336% due 02/25/47 (Ê)

   2,121       1,124  

Series 2007-OA2 Class A1
1.050% due 04/25/47 (Ê)

   1,185       759  

Fannie Mae
2.707% due 2017 (Ê)

   25       25  

6.000% due 2017

   23       25  

3.740% due 2018

   899       927  

3.840% due 2018

   210       217  

4.500% due 2018

   101       109  

4.506% due 2019 (Ê)

   700       742  

3.375% due 2020 (Ê)

   299       292  

3.416% due 2020 (Ê)

   199       196  

3.584% due 2020 (Ê)

   597       593  

3.632% due 2020 (Ê)

   200       198  

3.665% due 2020 (Ê)

   816       814  

3.763% due 2020 (Ê)

   1,587       1,593  

4.250% due 2020

   785       819  

5.500% due 2020

   85       92  

4.301% due 2021

   498       517  

5.500% due 2021

   120       130  

5.500% due 2022

   235       255  

5.500% due 2023

   190       207  

4.500% due 2025

   1,203       1,285  

3.500% due 2026

   4,138       4,220  

6.000% due 2026

   382       418  

6.000% due 2027

   213       234  

6.000% due 2028

   16       18  

6.000% due 2032

   222       246  

5.000% due 2033

   83       89  

5.500% due 2033

   15       16  

6.000% due 2033

   11       12  

5.000% due 2034

   678       724  

5.500% due 2034

   579       632  

5.000% due 2035

   2,054       2,197  

5.500% due 2035

   5       6  

3.727% due 2036 (Ê)

   250       251  

5.500% due 2037

   1,792       1,951  

6.000% due 2037

   110       122  

5.500% due 2038

   1,709       1,865  

6.000% due 2038

   1,273       1,405  

4.500% due 2039

   1,487       1,550  

4.000% due 2040

   2,093       2,102  

4.500% due 2040

   362       377  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

3.500% due 2041

   10,971       10,505  

4.000% due 2041

   1,518       1,522  

15 Year TBA(Ï)
3.500%

   6,000       6,109  

30 Year TBA(Ï)
4.000%

   4,500       4,940  

4.500%

   4,000       4,138  

5.000%

   1,000       1,063  

6.000%

   5,235       5,750  

6.500%

            

Series 2003-343 Class 6
Interest Only STRIP
5.000% due 10/01/33

   133       27  

Series 2003-345 Class 18
Interest Only STRIP
4.500% due 12/01/18

   302       30  

Series 2003-345 Class 19
Interest Only STRIP
4.500% due 01/01/19

   334       32  

Series 2005-365 Class 12
Interest Only STRIP
5.500% due 12/01/35

   506       84  

Series 2006-369 Class 8
Interest Only STRIP
5.500% due 04/01/36

   92       18  

Fannie Mae REMICS
Series 1999-56 Class Z
7.000% due 12/18/29

   58       66  

Series 2003-32 Class FH
0.586% due 11/25/22 (Ê)

   98       98  

Series 2003-35 Class FY
0.586% due 05/25/18 (Ê)

   168       168  

Series 2006-27 Class SH
Interest Only STRIP
6.514% due 04/25/36 (Ê)

   2,783       409  

Series 2006-48 Class LG
Zero coupon due 06/25/36

   2       2  

Series 2007-30 Class AF
0.496% due 04/25/37 (Ê)

   96       96  

Series 2010-95 Class S
Interest Only STRIP
6.414% due 09/25/40 (Ê)

   2,871       529  

Series 2010-112 Class PI
Interest Only STRIP
6.000% due 10/25/40

   3,047       587  

Fannie Mae Whole Loan
Series 2003-W1 Class 1A1
6.351% due 12/25/42

   28       32  

Federal Home Loan Mortgage Corp. Multifamily Structured Pass
Through Certificates
Series 2011-K011 Class A2
4.084% due 11/25/20

   200       207  

Federal Home Loan Mortgage Corp.
Structured Pass Through Securities
Series 2005-63 Class 1A1
1.495% due 02/25/45 (Ê)

   22       21  
 

 

 42   Core Bond Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

First Horizon Asset Securities, Inc.
Series 2005-AR4 Class 2A1
2.876% due 10/25/35 (Ê)

   936       787  

Fosse Master Issuer PLC
Series 2011-1A Class A2
1.619% due 10/18/54 (Ê)(Þ)

   650       649  

Freddie Mac
6.000% due 2016

   9       10  

5.000% due 2018

   144       156  

5.000% due 2019

   279       301  

5.000% due 2020

   261       282  

3.500% due 2025

   1,442       1,471  

2.767% due 2030 (Ê)

   1       1  

5.000% due 2035

   910       971  

5.196% due 2037 (Ê)

   218       231  

5.500% due 2037

   872       937  

6.000% due 2037

   230       255  

5.500% due 2038

   3,671       4,010  

6.000% due 2038

   1,295       1,435  

4.500% due 2039

   2,817       2,934  

6.000% due 2039

   86       96  

4.000% due 2040

   693       696  

5.500% due 2040

   790       856  

4.000% due 2041

   5,198       5,219  

4.500% due 2041

   5,745       5,981  

15 Year TBA(Ï)

      

3.500%

   6,480       6,597  

30 Year TBA(Ï)

      

4.500%

   1,000       1,030  

5.000%

            

Freddie Mac REMICS
Series 2000-2266 Class F
0.637% due 11/15/30 (Ê)

   9       9  

Series 2005-3019 Class IM
Interest Only STRIP
5.500% due 01/15/31

   38       1  

Series 2007-3335 Class BF
0.337% due 07/15/19 (Ê)

   123       122  

Series 2007-3335 Class FT
0.337% due 08/15/19 (Ê)

   260       259  

GE Capital Commercial Mortgage Corp.
Series 2002-1A Class A3
6.269% due 12/10/35

   702       717  

Series 2002-2A Class A3
5.349% due 08/11/36

   760       783  

Ginnie Mae I
3.950% due 2025

   97       100  

4.500% due 2039

   1,753       1,858  

5.500% due 2039

   147       162  

30 Year TBA(Ï)

      

3.500%

            

4.000%

   1,255       1,278  

4.500%

   2,000       2,111  

5.000%

   2,000       2,166  

Ginnie Mae II
3.375% due 2026 (Ê)

   111       116  

2.625% due 2027 (Ê)

   8       8  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

1.750% due 2032 (Ê)

   39       40  

30 Year TBA(Ï)
5.000%

   1,000       1,085  

Government National Mortgage Association
Series 2000-29 Class F
0.686% due 09/20/30 (Ê)

   12       12  

Series 2007-26 Class SD
Interest Only STRIP
6.615% due 05/16/37 (Ê)

   2,620       407  

Series 2010-116 Class MP
3.500% due 09/16/40

   2,009       2,106  

Greenwich Capital Commercial Funding Corp.
Series 2002-C1 Class A4
4.948% due 01/11/35

   685       707  

Series 2004-GG1 Class A7
5.317% due 06/10/36

   880       946  

Series 2006-GG7 Class A4
6.078% due 07/10/38

   1,105       1,227  

Series 2007-GG9 Class A4
5.444% due 03/10/39

   315       338  

GS Mortgage Securities Corp. II
Series 2006-GG6 Class A4
5.553% due 04/10/38

   320       348  

GSR Mortgage Loan Trust
Series 2005-AR7 Class 6A1
5.163% due 11/25/35

   139       132  

Series 2006-2F Class 3A3
6.000% due 02/25/36

   832       647  

Series 2006-3F Class 2A3
5.750% due 03/25/36

   327       313  

Series 2006-8F Class 4A17
6.000% due 09/25/36

   504       434  

Series 2007-AR1 Class 1A1
2.983% due 03/25/37

   1,583       969  

Series 2007-AR2 Class 2A1
2.879% due 05/25/47

   910       643  

Harborview Mortgage Loan Trust
Series 2005-3 Class 2A1A
0.426% due 06/19/35 (Ê)

   1,353       887  

Series 2005-4 Class 3A1
2.775% due 07/19/35

   117       88  

Holmes Master Issuer PLC
Series 2010-1A Class A2
1.678% due 10/15/54 (Ê)(Þ)

   300       301  

Indymac Index Mortgage Loan Trust
Series 2005-AR31 Class 1A1
2.501% due 01/25/36

   563       343  

Series 2006-AR35 Class 2A1A
0.356% due 01/25/37 (Ê)

   496       247  

Series 2006-AR41 Class A3
0.366% due 02/25/37 (Ê)

   1,397       641  

Series 2007-AR5 Class 1A1
4.967% due 05/25/37

   574       262  

JPMorgan Alternative Loan Trust
Series 2006-A2 Class 3A1
2.739% due 05/25/36

   1,010       587  
 

 

Core Bond Fund 43


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

JPMorgan Chase Commercial
Mortgage Securities Corp.
Series 2001-CIB3 Class A3
6.465% due 11/15/35

   312       314  

Series 2005-LDP5 Class A4
5.371% due 12/15/44

   390       426  

Series 2006-CB16 Class A4
5.552% due 05/12/45

   220��      240  

Series 2006-LDP7 Class A4
6.067% due 04/15/45

   650       721  

Series 2006-LDP8 Class A3B
5.447% due 05/15/45

   250       261  

Series 2006-LDP8 Class A4
5.399% due 05/15/45

   290       313  

Series 2007-CB18 Class A4
5.440% due 06/12/47

   1,200       1,283  

Series 2007-LD12 Class A4
5.882% due 02/15/51

   100       109  

Series 2007-LDPX Class A3
5.420% due 01/15/49

   700       751  

JPMorgan Mortgage Trust
Series 2005-A1 Class 6T1
5.015% due 02/25/35 (Ê)

   50       50  

Series 2005-A5 Class TA1
5.430% due 08/25/35

   434       422  

Series 2005-S3 Class 1A2
5.750% due 01/25/36

   84       78  

Series 2007-A1 Class 2A2
3.078% due 07/25/35 (Ê)

   356       324  

Series 2007-A4 Class 3A1
5.823% due 06/25/37

   1,791       1,650  

Series 2007-S3 Class 1A8
6.000% due 08/25/37

   1,277       1,100  

LB-UBS Commercial Mortgage Trust
Series 2006-C1 Class A4
5.156% due 02/15/31

   1,500       1,623  

Series 2007-C1 Class A4
5.424% due 02/15/40

   1,500       1,617  

Lehman Mortgage Trust
Series 2005-3 Class 1A3
5.500% due 01/25/36

   203       155  

Series 2006-8 Class 2A1
0.606% due 12/25/36 (Ê)

   595       292  

Series 2007-8 Class 3A1
7.250% due 09/25/37

   791       419  

Lehman XS Trust
Series 2007-7N Class 1A2
0.426% due 06/25/47 (Ê)

   743       377  

Master Adjustable Rate Mortgages Trust
Series 2007-HF2 Class A1
0.496% due 09/25/37 Ê)

   838       598  

MASTR Alternative Loans Trust
Series 2003-4 Class B1
5.759% due 06/25/33

   139       96  

Series 2004-10 Class 5A6
5.750% due 09/25/34

   138       140  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Mellon Residential Funding Corp.
Series 2000-TBC2 Class A1
0.667% due 06/15/30 (Ê)

   96       92  

Merrill Lynch Floating Trust
Series 2006-1 Class A1
0.257% due 06/15/22 (Ê)(Þ)

   100       99  

Merrill Lynch Mortgage Investors, Inc.
0.396% due 02/25/36 (Ê)

   80       58  

Series 2006-A1 Class 1A1
2.835% due 03/25/36

   761       452  

Merrill Lynch/Countrywide
Commercial Mortgage Trust
Series 2007-6 Class A4
5.485% due 03/12/51

   100       106  

MLCC Mortgage Investors, Inc.
Series 2005-3 Class 5A
0.436% due 11/25/35 (Ê)

   49       42  

Morgan Stanley Capital I
Series 2005-T19 Class A4A
4.890% due 06/12/47

   750       809  

Series 2006-HQ9 Class A4
5.731% due 07/12/44

   515       568  

Series 2006-T23 Class A4
5.989% due 08/12/41

   490       548  

Series 2007-T27 Class A4
5.789% due 06/11/42

   675       747  

NCUA Guaranteed Notes
Series 2010-C1 Class APT
2.650% due 10/29/20

   491       490  

Series 2010-R1 Class 1A
0.640% due 10/07/20 (Ê)

   1,446       1,449  

Series 2010-R2 Class 1A
0.560% due 11/06/17 (Ê)

   1,431       1,431  

Series 2010-R2 Class 2A
0.660% due 11/05/20 (Ê)

   779       777  

Series 2011-R2 Class 1A
0.590% due 02/06/20 (Ê)

   1,070       1,071  

Prime Mortgage Trust
Series 2004-CL1 Class 1A2
0.586% due 02/25/34 (Ê)

   16       15  

Residential Accredit Loans, Inc.
Series 2005-QO5 Class A1
1.278% due 01/25/46 (Ê)

   1,635       961  

Series 2005-QS13 Class 2A3
5.750% due 09/25/35

   317       249  

Series 2007-QO4 Class A1
0.386% due 05/25/47 (Ê)

   1,299       773  

Residential Asset Securitization Trust
Series 2003-A15 Class 1A2
0.636% due 02/25/34 (Ê)

   139       130  

Series 2005-A10 Class A3
5.500% due 09/25/35

   273       228  

Series 2006-A9CB Class A6
6.000% due 09/25/36

   245       136  

Residential Funding Mortgage Securities I
Series 2005-SA4 Class 2A1
3.176% due 09/25/35

   420       297  
 

 

 44   Core Bond Fund


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Series 2006-SA4 Class 2A1
6.058% due 11/25/36

   250       176  

Sequoia Mortgage Trust
Series 2001-5 Class A
0.536% due 10/19/26 (Ê)

   41       37  

Silverstone Master Issuer PLC
Series 2010-1A Class A1
1.674% due 01/21/55 (Ê)(Þ)

   500       500  

Structured Adjustable Rate Mortgage Loan Trust Series
2004-12 Class 3A2
2.561% due 09/25/34

   46       40  

Series 2005-23 Class 1A3
2.626% due 01/25/36

   286       232  

Series 2006-12 Class 2A1
5.381% due 01/25/37

   586       426  

Structured Asset Mortgage Investments, Inc.
Series 2005-AR5 Class A3
0.436% due 07/19/35 (Ê)

   135       124  

Series 2007-AR6 Class A1
1.778% due 08/25/47 (Ê)

   1,191       634  

Structured Asset Securities Corp.
Series 2003-34A Class 5A4
2.546% due 11/25/33 (Ê)

   710       683  

Suntrust Adjustable Rate Mortgage Loan Trust
Series 2007-2 Class 3A3
5.539% due 04/25/37 (Ê)

   2,592       2,011  

Thornburg Mortgage Securities Trust
Series 2006-5 Class A1
0.306% due 10/25/46 (Ê)

   642       637  

Series 2006-6 Class A1
0.296% due 11/25/46 (Ê)

   68       67  

Wachovia Bank Commercial Mortgage Trust
Series 2005-C16 Class A4
4.847% due 10/15/41

   725       778  

Series 2005-C20 Class A7
5.118% due 07/15/42

   800       869  

Series 2005-C21 Class A4
5.380% due 10/15/44

   1,000       1,090  

Series 2006-C27 Class A3
5.765% due 07/15/45

   700       767  

Washington Mutual Alternative Mortgage
Pass-Through Certificates
Series 2006-AR7 Class A1A
1.198% due 09/25/46 (Ê)

   1,312       604  

Series 2006-AR9 Class 2A
1.118% due 11/25/46 (Ê)

   1,669       756  

Series 2007-HY2 Class 2A3
5.159% due 04/25/37

   1,222       735  

Series 2007-OA1 Class 2A
0.998% due 12/25/46 (Ê)

   562       271  

Series 2007-OA5 Class A1A
1.118% due 05/25/47 (Ê)

   1,154       707  

Washington Mutual Mortgage Pass Through Certificates
Series 2005-AR6 Class B3
0.846% due 04/25/45 (Å)(Ê)

   186       8  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Series 2005-AR13 Class A1A1
0.476% due 10/25/45 (Ê)

   26       21  

Series 2006-AR2 Class 1A1
2.567% due 03/25/36

   449       348  

Series 2007-HY3 Class 4B1
2.725% due 03/25/37

   123       6  

Wells Fargo Mortgage Backed Securities Trust
Series 2006-2 Class 2A3
5.500% due 03/25/36

   216       213  

Series 2006-6 Class 1A22
6.000% due 05/25/36 (Ê)

   1,286       1,154  

Series 2006-AR2 Class 2A1
2.756% due 03/25/36

   191       170  

Series 2006-AR10 Class 4A1
2.748% due 07/25/36 (Ê)

   53       42  

Series 2006-AR14 Class 1A7
5.693% due 10/25/36

   1,700       1,401  

Series 2006-AR17 Class A1

      

5.041% due 10/25/36 (Ê)

   987       774  

Series 2007-8 Class 1A16
6.000% due 07/25/37

   201       195  

Series 2007-AR8 Class A1
6.088% due 11/25/37

   342       278  
      

 

 

 
       196,473  
      

 

 

 
Municipal Bonds - 2.8%      

American Municipal Power, Inc.
Revenue Bonds
6.270% due 02/15/50

   250       250  

Chicago Transit Authority Revenue Bonds
6.899% due 12/01/40

   400       426  

City of New York New York General
Obligation Unlimited
6.246% due 06/01/35

   1,100       1,130  

County of Clark Nevada Revenue Bonds
6.820% due 07/01/45

   100       109  

Dallas Area Rapid Transit Revenue Bonds
5.250% due 12/01/48

   100       103  

Illinois Municipal Electric Agency
Revenue Bonds
6.832% due 02/01/35

   100       108  

Irvine Ranch Water District Revenue Bonds
6.622% due 05/01/40

   1,000       1,181  

Los Angeles Unified School District General
Obligation Unlimited
4.500% due 07/01/22 (µ)

   400       413  

New Jersey State Turnpike Authority
Revenue Bonds
7.102% due 01/01/41

   1,000       1,163  

New York City Municipal Water Finance
Authority Revenue Bonds
5.375% due 06/15/43

   525       555  

New York State Dormitory Authority
Revenue Bonds
5.000% due 07/01/40

   225       233  

North Carolina Turnkpike Authority
Revenue Bonds
6.700% due 01/01/39

   100       106  
 

 

Core Bond Fund 45


Table of Contents

Russell Investment Funds

Core Bond Fund

Schedule of Investments, continued — June 30, 2011 (Unaudited)

Amounts in thousands (except share amounts)

 

   Principal
Amount ($)
or Shares
     Market
Value
$
 
      

Northern California Power Agency
Revenue Bonds
7.311% due 06/01/40

   1,000       1,040  

Northstar Education Finance, Inc.
Series 2004-1 Class A4
0.463% due 04/29/19 (Ê)

   1,000       991  

Series 2007-1 Class A1
0.373% due 04/28/30 (Ê)

   475       423  

Series 2007-1 Class A3
0.333% due 01/29/46 (Ê)

   500       447  

Public Power Generation Agency
Revenue Bonds
7.242% due 01/01/41

   100       103  

San Diego County Regional Airport
Authority Revenue Bonds
6.628% due 07/01/40

   100       100  

State of California General Obligation
Unlimited
6.650% due 03/01/22

   250       281  

7.500% due 04/01/34

   425       481  

7.950% due 03/01/36

   110       120  

5.650% due 04/01/39 (Ê)

   100       106  

7.550% due 04/01/39

   405       463  

7.625% due 03/01/40

   400       460  

7.600% due 11/01/40

   325       375  

State of Illinois General Obligation
Unlimited
4.071% due 01/01/14

   100       103  

5.665% due 03/01/18

   750       778  

3.100% due 10/01/33 (Ê)

   700       700  

7.350% due 07/01/35

   550       585  

State of Louisiana Revenue Bonds
3.000% due 05/01/43 (Ê)

   400       406  

University of California Revenue Bonds
6.270% due 05/15/31

   400       406  
      

 

 

 
       14,145  
      

 

 

 
Non-US Bonds - 2.0%      

Argentina Government International Bond
6.500% due 12/15/35

   EUR 1,730       357  

Bundesrepublik Deutschland
3.250% due 07/04/21

   EUR 300       443  

Canada Housing Trust No. 1
4.550% due 12/15/12 (Þ)

   CAD 100       108  

Canadian Government Bond
1.500% due 12/01/12

   CAD 200       208  

1.750% due 03/01/13

   CAD 300       312  

2.000% due 08/01/13

   CAD 300       314  

2.500% due 09/01/13

   CAD 400       422  

2.250% due 08/01/14

   CAD 100       105  

2.000% due 12/01/14

   CAD 1,000       1,038  

FCE Bank plc
7.125% due 01/15/13

   EUR 600       901  

Federative Republic of Brazil
12.500% due 01/05/22

   BRL 300       240  

10.250% due 01/10/28

   BRL 1,400       978  
   Principal
Amount ($)
or Shares
     Market
Value
$
 

Italy Buoni Poliennali Del Tesoro
Series CPI
2.100% due 09/15/21

   EUR 1,042       1,413  

Mexican Bonos
Series M 20
10.000% due 12/05/24

   MXN 3,707       390  

7.500% due 06/03/27

   MXN 723       61  

Morgan Stanley
1.029% due 03/01/13 (Ê)

   EUR 600       859  

Province of Ontario Canada
4.700% due 06/02/37

   CAD 400       436  

4.600% due 06/02/39

   CAD 100       108  

South Africa Government Bond
Series R186
10.500% due 12/21/26

   ZAR 4,140       708  

Series R208
6.750% due 03/31/21

   ZAR 3,170       415  

Spain Government Bond
4.650% due 07/30/25

   EUR 300       390  
      

 

 

 
       10,206  
      

 

 

 

United States Government
Agencies - 1.7%

      

Federal Home Loan Banks
5.375% due 05/15/19

   500       577  

4.500% due 09/13/19

   1,100       1,199  

Federal Home Loan Mortgage Corp.
0.210% due 10/12/12 (Ê)

   2,970       2,971  

Federal National Mortgage Association
0.206% due 08/23/12 (Ê)

   855       856  

0.300% due 09/13/12 (Ê)

   1,455       1,457  

0.216% due 10/18/12 (Ê)

   1,485       1,486  

Tennessee Valley Authority
4.625% due 09/15/60

   100       94  
      

 

 

 
       8,640  
      

 

 

 

United States Government Treasuries - 4.1%

      

United States Treasury Principal
Principal Only STRIP
Zero coupon due 11/15/21

   1,938       1,346  

United States Treasury Inflation

      

Indexed Bonds

      

2.375% due 01/15/27 (Æ)

   2,342       2,670  

1.750% due 01/15/28 (Æ)

   107       112  

3.375% due 04/15/32

   887       1,173  

2.125% due 02/15/41 (Æ)

   806       876  

United States Treasury Notes

      

0.750% due 06/15/14

   400       400  

1.750% due 05/31/16

   520       521  

1.500% due 06/30/16

   315       311  

2.375% due 05/31/18

   3,000       2,984  

2.625% due 11/15/20

   2,330       2,244