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: 811-06136
HOMESTEAD FUNDS, INC.
(Exact name of registrant as specified in charter)
4301 Wilson Boulevard
Arlington, VA 22203
(Address of principal executive office – Zip code)
Danielle Sieverling
Homestead Funds, Inc.
4301 Wilson Boulevard
Arlington, VA 22203
(Name and address of agent for service)
Copies to:
Bryan Chegwidden, Esq.
Ropes & Gray LLP
1211 Avenue of the Americas
New York, NY 10036-8704
(Name and addresses of agent for service)
Registrant’s telephone number, including area code: (703) 907-5993
Date of fiscal year end: December 31
Date of reporting period: December 31, 2018
Item 1. Reports to Stockholders.
Performance Evaluation | ||
2 | ||
4 | ||
6 | ||
8 | ||
10 | ||
12 | ||
14 | ||
16 | ||
18 | ||
20 | ||
29 | ||
Portfolio of Investments | ||
30 | ||
32 | ||
37 | ||
48 | ||
49 | ||
50 | ||
52 | ||
54 |
56 | ||
58 | ||
60 | ||
Financial Highlights | ||
64 | ||
65 | ||
66 | ||
67 | ||
68 | ||
69 | ||
70 | ||
71 | ||
72 | ||
81 | ||
83 | ||
84 |
Investment Advisor: RE Advisers Corporation | |
Marc Johnston, CFP, ChFC, CAIAMoney Market Portfolio ManagerBA, General Arts, Villanova University; MBA, Northeastern University |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
Daily Income Fund | 1.08 | 0.26 | 0.16 |
Yield | ||
Annualized 7-day current yield quoted 12/31/18 | 1.58% |
Security Diversification | ||
% of Total Investments | ||
as of 12/31/17 | as of 12/31/18 | |
U.S. government and agency obligations | 89.5 | 94.4 |
Short-term and other assets | 10.5 | 5.6 |
Total | 100.0% | 100.0% |
Maturity | ||||
as of 12/31/17 | as of 12/31/18 | |||
Average weighted maturity | 38 days | 39 days |
Investment Advisor: RE Advisers Corporation | |
Mauricio Agudelo, CFASenior Fixed Income Portfolio ManagerBS, Finance, The University of Maryland, Robert H. Smith School of Business | |
Ivan Naranjo, CFA, FRMFixed Income Portfolio ManagerBS, Finance, The University of Maryland, Robert H. Smith School of Business |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
Short-Term Government Securities Fund | 1.20 | 0.83 | 1.23 | |||
ICE BofAML 1-5 Year U.S. Treasury Index | 1.52 | 1.09 | 1.33 |
Security Diversification | ||
% of Total Investments | ||
as of 12/31/17 | as of 12/31/18 | |
U.S. government and agency obligations | 49.0 | 58.1 |
Corporate bonds–government guaranteed | 28.4 | 21.3 |
Corporate bonds–other | 4.7 | 8.4 |
Asset-backed securities | 2.7 | 3.4 |
Mortgage-backed securities | 2.9 | 2.2 |
Certificates of deposit | 3.8 | 1.5 |
Municipal bonds | 0.3 | 0.3 |
Short-term and other assets | 8.2 | 4.8 |
Total | 100.0% | 100.0% |
Maturity | ||||
as of 12/31/17 | as of 12/31/18 | |||
Average weighted maturity | 1.76 | 1.71 |
Investment Advisor: RE Advisers Corporation | |
Mauricio Agudelo, CFASenior Fixed Income Portfolio ManagerBS, Finance, The University of Maryland, Robert H. Smith School of Business | |
Ivan Naranjo, CFA, FRMFixed Income Portfolio ManagerBS, Finance, The University of Maryland, Robert H. Smith School of Business |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
Short-Term Bond Fund | 1.69 | 1.41 | 3.64 | |||
ICE BofAML 1-5 Year Corp./Gov. Index | 1.40 | 1.37 | 2.17 |
Security Diversification | ||
% of Total Investments | ||
as of 12/31/17 | as of 12/31/18 | |
Corporate bonds–other | 29.2 | 37.4 |
Asset-backed securities | 20.4 | 21.7 |
Municipal bonds | 20.1 | 14.5 |
U.S. government and agency obligations | 6.0 | 11.4 |
Yankee bonds | 11.6 | 10.3 |
Mortgage-backed securities | 1.9 | 0.8 |
Corporate bonds–government guaranteed | 0.1 | 0.0 |
Certificates of deposit | 0.4 | 0.0 |
Short-term and other assets | 10.3 | 3.9 |
Total | 100.0% | 100.0% |
Maturity | ||||
as of 12/31/17 | as of 12/31/18 | |||
Average weighted maturity | 1.72 | 1.52 |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
Stock Index Fund | -4.95 | 7.90 | 12.51 | |||
Standard & Poor's 500 Stock Index | -4.38 | 8.49 | 13.12 |
Sector Diversification* | ||
% of Total Investments as of 12/31/18 | ||
Information technology | 19.3 | |
Health care | 15.0 | |
Financials | 12.9 | |
Communication services | 9.8 | |
Consumer discretionary | 9.6 | |
Industrials | 9.1 | |
Consumer staples | 7.0 | |
Energy | 5.1 | |
Utilities | 3.3 | |
Real estate | 2.9 | |
Materials | 2.6 | |
Short-term and other assets | 3.4 | |
Total | 100.0% |
Top 10 Equity Holdings | ||
% of Total Investments as of 12/31/18 | ||
Microsoft Corp. | 3.6 | |
Apple, Inc. | 3.3 | |
Alphabet, Inc. | 2.9 | |
Amazon.com, Inc. | 2.8 | |
Berkshire Hathaway, Inc. | 1.8 | |
Johnson & Johnson | 1.6 | |
JPMorgan Chase & Co. | 1.5 | |
Facebook, Inc. | 1.4 | |
Exxon Mobil Corp. | 1.3 | |
Pfizer, Inc. | 1.1 | |
Total | 21.3% |
Investment Advisor: RE Advisers Corporation | |
Prabha Carpenter, CFASenior Equity Portfolio ManagerBA, Economics, University of Madras; MBA with distinction in Finance and BS in Business Economics, The American University |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
Value Fund | -6.36 | 7.58 | 12.46 | |||
Standard & Poor's 500 Value Index | -8.95 | 6.06 | 11.21 |
Sector Diversification* | ||
% of Total Investments as of 12/31/18 | ||
Information technology | 22.6 | |
Health care | 21.9 | |
Financials | 13.7 | |
Industrials | 12.2 | |
Materials | 10.2 | |
Energy | 10.2 | |
Communication services | 5.5 | |
Consumer discretionary | 2.7 | |
Short-term and other assets | 1.0 | |
Total | 100.0% |
Top 10 Equity Holdings | ||
% of Total Investments as of 12/31/18 | ||
Visa Inc. | 5.4 | |
Pfizer, Inc. | 5.0 | |
Microsoft Corp. | 5.0 | |
Southwest Airlines Co. | 4.5 | |
Cisco Systems, Inc. | 4.4 | |
DowDuPont, Inc. | 4.3 | |
Bristol-Myers Squibb Co. | 4.3 | |
Parker-Hannifin Corp. | 4.2 | |
Avery Dennison Corp. | 4.1 | |
Alphabet, Inc. | 4.0 | |
Total | 45.2% |
Subadvisor: T. Rowe Price Associates | |
Taymour Tamaddon, CFAPortfolio ManagerBS, Applied Physics, Cornell University; MBA, Finance, Dartmouth |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
Growth Fund | 3.96 | 11.72 | 17.54 | |||
Russell 1000 Growth Index | -1.51 | 10.40 | 15.29 |
Sector Diversification* | ||
% of Total Investments as of 12/31/18 | ||
Information technology | 26.0 | |
Health care | 21.0 | |
Consumer discretionary | 20.5 | |
Communication services | 15.4 | |
Industrials | 8.8 | |
Financials | 4.1 | |
Utilities | 1.1 | |
Consumer staples | 1.0 | |
Short-term and other assets | 2.1 | |
Total | 100.0% |
Top 10 Equity Holdings | ||
% of Total Investments as of 12/31/18 | ||
Amazon.com, Inc. | 8.3 | |
Alphabet, Inc. | 7.2 | |
Microsoft Corp. | 6.5 | |
Boeing Co. | 5.1 | |
Visa Inc. | 4.8 | |
Facebook, Inc. | 3.8 | |
UnitedHealth Group, Inc. | 3.1 | |
Cigna Corp. | 2.9 | |
Tencent Holdings Ltd. ADR | 2.4 | |
Intuitive Surgical, Inc. | 2.3 | |
Total | 46.4% |
Investment Advisor: RE Advisers Corporation | |
Prabha Carpenter, CFASenior Equity Portfolio ManagerBA, Economics, University of Madras; MBA with distinction in Finance and BS in Business Economics, The American University |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
Small-Company Stock Fund | -26.18 | 0.12 | 12.38 | |||
Russell 2000 Index | -11.01 | 4.41 | 11.97 |
Sector Diversification | ||
% of Total Investments as of 12/31/18 | ||
Industrials | 22.9 | |
Financials | 21.9 | |
Information technology | 16.0 | |
Consumer discretionary | 14.5 | |
Materials | 8.2 | |
Health care | 7.9 | |
Communication services | 0.6 | |
Energy | 0.3 | |
Short-term and other assets | 7.7 | |
Total | 100.0% |
Top 10 Equity Holdings | ||
% of Total Investments as of 12/31/18 | ||
STERIS PLC | 4.2 | |
BJ’s Restaurants, Inc. | 4.2 | |
Dycom Industries, Inc. | 3.9 | |
Encore Capital Group, Inc. | 3.7 | |
Cracker Barrel Old Country Store, Inc. | 3.5 | |
ManTech International Corp. | 3.5 | |
Werner Enterprises, Inc. | 3.5 | |
Core-Mark Holding Company, Inc. | 3.5 | |
National General Holdings Corp. | 3.4 | |
Descartes Systems Group Inc. (The) | 3.4 | |
Total | 36.8% |
Subadvisor: Harding Loevner LP | |
Ferrill D. Roll, CFACo-Lead Portfolio ManagerBA, Economics, Stanford University | |
Alexander T. Walsh, CFACo-Lead Portfolio ManagerBA, North American Studies, McGill University |
Average Annual Total Returns (periods ended 12/31/18) | ||||||
1 YR % | 5 YR % | 10 YR % | ||||
International Equity Fund* | -12.74 | 0.61 | 5.20 | |||
MSCI® EAFE® Index | -13.79 | 0.53 | 6.32 |
Country Diversification | ||
% of Total Investments as of 12/31/18 | ||
Japan | 17.0 | |
Germany | 16.9 | |
Switzerland | 11.5 | |
France | 10.8 | |
Britain | 7.2 | |
Sweden | 5.4 | |
Hong Kong | 4.1 | |
Singapore | 3.4 | |
United States of America | 3.4 | |
Israel | 3.3 | |
Spain | 3.0 | |
Canada | 2.2 | |
South Africa | 1.3 | |
Taiwan | 1.1 | |
Denmark | 1.0 | |
Republic of South Korea | 1.0 | |
Brazil | 1.0 | |
Italy | 0.9 | |
China, India, Mexico and Russia | 2.2 | |
Short-term and other assets | 3.3 | |
Total | 100.0% |
Top 10 Equity Holdings | ||
% of Total Investments as of 12/31/18 | ||
AIA Group Ltd. | 4.1 | |
Allianz SE REG | 4.0 | |
Nestlé SA ADR | 4.0 | |
Royal Dutch Shell PLC | 3.5 | |
DBS Group Holdings Ltd. | 3.4 | |
Check Point Software Technologies Ltd. | 3.3 | |
L’Oréal SA | 3.2 | |
Keyence Corp. | 2.9 | |
Bayer AG REG | 2.9 | |
Air Liquide SA | 2.9 | |
Total | 34.2% |
Daily Income Fund | Beginning Account Value July 1, 2018 | Ending Account Value December 31, 2018 | Expenses Paid During the Perioda | Annualized Expense Ratio for the Six Month Period Ended December 31, 2018 |
Actual Return | $1,000.00 | $1,006.70 | $3.83 | 0.76% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,021.18 | $3.86 | 0.76% |
Short-Term Government Securities Fundb | ||||
Actual Return | $1,000.00 | $1,011.60 | $3.80 | 0.75% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,021.22 | $3.82 | 0.75% |
Short-Term Bond Fund | ||||
Actual Return | $1,000.00 | $1,011.00 | $3.94 | 0.78% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,021.09 | $3.96 | 0.78% |
Stock Index Fundc | ||||
Actual Return | $1,000.00 | $926.60 | $2.79 | 0.57% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,022.11 | $2.93 | 0.57% |
Value Fund | ||||
Actual Return | $1,000.00 | $958.10 | $3.00 | 0.61% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,021.93 | $3.10 | 0.61% |
Growth Fund | ||||
Actual Return | $1,000.00 | $919.40 | $4.11 | 0.85% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,020.71 | $4.33 | 0.85% |
Small-Company Stock Fund | ||||
Actual Return | $1,000.00 | $755.50 | $4.13 | 0.93% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,020.30 | $4.75 | 0.93% |
International Equity Fundb | ||||
Actual Return | $1,000.00 | $864.40 | $4.66 | 0.99% |
Hypothetical Return (5% return before expenses) | $1,000.00 | $1,020.00 | $5.05 | 0.99% |
a. | The dollar amounts shown as “Expenses Paid During the Period” are equal to each Fund’s annualized expense ratio multiplied by the average account value over the period, multiplied by 184, then divided by 365 (to reflect the half-year period). |
b. | Reflects fee waiver and expense limitation agreements in effect during the period. |
c. | The Stock Index Fund is a feeder fund that invests substantially all of its assets in a Master Portfolio. The example reflects the expenses of both the feeder fund and the Master Portfolio. |
U.S. Government & Agency Obligations | 94.4% of portfolio | ||||
Interest Rate / Yield | Maturity Date | Face Amount | Value | |
Federal Agricultural Mortgage Corp. | 2.23% | 01/04/19 | $2,711,000 | $2,710,498 |
Federal Farm Credit Bank | 2.04 | 01/02/19 | 300,000 | 299,983 |
Federal Farm Credit Bank | 2.23 | 01/16/19 | 3,000,000 | 2,997,220 |
Federal Farm Credit Bank | 2.26 | 01/16/19 | 500,000 | 499,537 |
Federal Farm Credit Bank | 2.51 | 05/07/19 | 600,000 | 594,792 |
Federal Home Loan Bank | 2.16 | 01/04/19 | 2,000,000 | 1,999,642 |
Federal Home Loan Bank | 2.26 | 01/11/19 | 5,500,000 | 5,496,562 |
Federal Home Loan Bank | 2.30 | 01/22/19 | 2,000,000 | 1,997,334 |
Federal Home Loan Bank | 2.28 | 01/23/19 | 3,500,000 | 3,495,145 |
Federal Home Loan Bank | 2.28 | 01/24/19 | 3,500,000 | 3,494,924 |
Federal Home Loan Bank | 2.29 | 01/29/19 | 5,000,000 | 4,991,133 |
Federal Home Loan Bank | 2.31 | 01/30/19 | 3,500,000 | 3,493,481 |
Federal Home Loan Bank | 2.32 | 02/05/19 | 5,000,000 | 4,988,771 |
Federal Home Loan Bank | 2.34 | 02/06/19 | 4,000,000 | 3,990,640 |
Federal Home Loan Bank | 2.35 | 02/08/19 | 6,500,000 | 6,483,945 |
Federal Home Loan Bank | 2.37 | 02/13/19 | 3,500,000 | 3,490,134 |
Federal Home Loan Bank | 2.36 | 02/22/19 | 2,000,000 | 1,993,226 |
Federal Home Loan Bank | 2.41 | 03/08/19 | 4,000,000 | 3,982,400 |
Federal Home Loan Bank | 2.30 | 03/11/19 | 1,000,000 | 995,630 |
Federal Home Loan Bank | 2.40 | 03/18/19 | 5,000,000 | 4,974,772 |
Federal Home Loan Bank | 2.44 | 03/27/19 | 225,000 | 223,714 |
Federal Home Loan Bank | 2.44 | 04/29/19 | 1,500,000 | 1,488,102 |
Federal Home Loan Bank | 2.53 | 06/21/19 | 1,000,000 | 988,125 |
Federal Home Loan Mortgage Corp. | 2.27 | 01/18/19 | 3,500,000 | 3,496,273 |
Federal Home Loan Mortgage Corp. | 2.36 | 02/20/19 | 2,000,000 | 1,993,472 |
Federal Home Loan Mortgage Corp. | 2.39 | 03/04/19 | 5,000,000 | 4,979,531 |
Federal Home Loan Mortgage Corp. | 2.38 | 03/11/19 | 4,000,000 | 3,981,830 |
Federal National Mortgage Assoc. | 2.21 | 01/02/19 | 3,500,000 | 3,499,787 |
Federal National Mortgage Assoc. | 2.24 | 01/09/19 | 5,000,000 | 4,997,522 |
Federal National Mortgage Assoc. | 2.38 | 02/20/19 | 2,000,000 | 1,993,431 |
Federal National Mortgage Assoc. | 2.37 | 02/27/19 | 3,750,000 | 3,735,987 |
Federal National Mortgage Assoc. | 2.40 | 03/13/19 | 2,500,000 | 2,488,216 |
U.S. Treasury Bill | 2.21 | 01/03/19 | 5,000,000 | 4,999,399 |
U.S. Treasury Bill | 2.22 | 01/10/19 | 3,000,000 | 2,998,372 |
U.S. Treasury Bill | 2.20 | 01/17/19 | 3,500,000 | 3,496,571 |
U.S. Treasury Bill | 2.30 | 01/24/19 | 3,500,000 | 3,494,949 |
U.S. Treasury Bill | 2.28 | 02/07/19 | 3,000,000 | 2,992,978 |
U.S. Treasury Bill | 2.32 | 02/14/19 | 3,500,000 | 3,490,073 |
U.S. Treasury Bill | 2.31 | 02/21/19 | 3,500,000 | 3,488,546 |
U.S. Treasury Bill | 2.31 | 02/28/19 | 2,000,000 | 1,992,557 |
U.S. Treasury Bill | 2.36 | 03/07/19 | 3,500,000 | 3,485,067 |
U.S. Treasury Bill | 2.37 | 03/14/19 | 3,750,000 | 3,732,259 |
U.S. Treasury Bill | 2.35 | 03/21/19 | 5,000,000 | 4,974,219 |
U.S. Treasury Note | 1.30 | 01/15/19 | 3,000,000 | 2,998,750 |
U.S. Treasury Note | 1.25 | 01/31/19 | 5,500,000 | 5,495,026 |
U.S. Treasury Note | 0.75 | 02/15/19 | 5,000,000 | 4,990,057 |
U.S. Treasury Note | 1.00 | 03/15/19 | 5,500,000 | 5,484,851 |
Total U.S. Government & Agency Obligations | ||||
(Cost $154,949,433) | 154,949,433 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Money Market Fund | 5.6% of portfolio | ||||
Interest Rate /Yield | Shares | Value | ||
State Street Institutional U.S. Government Money Market Fund, Premier Class | 2.27%(a) | 9,222,655 | $9,222,655 | |
Total Money Market Fund | ||||
(Cost $9,222,655) | 9,222,655 | |||
Total Investments in Securities | ||||
(Cost $164,172,088) | 100.0% | $164,172,088 |
(a) | 7-day yield at December 31, 2018. |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
U.S. Government & Agency Obligations | 58.1% of portfolio | ||||
Interest Rate / Yield | Maturity Date | Face Amount | Value | |
AID-Tunisia | 1.42% | 08/05/21 | $1,000,000 | $966,700 |
AID-Ukraine | 1.47 | 09/29/21 | 2,000,000 | 1,933,142 |
Government Trust Certificate (Israel Trust) | 0.00(a) | 04/01/21 | 639,000 | 602,888 |
National Archives Facility Trust | 8.50 | 09/01/19 | 6,768 | 6,924 |
Overseas Private Investment Corp. | 1.30 | 06/15/19 | 71,429 | 71,014 |
Overseas Private Investment Corp. | 2.26(b) | 02/11/20 | 2,000,000 | 2,037,600 |
Overseas Private Investment Corp. | 2.98(b) | 11/11/20 | 1,000,000 | 1,004,560 |
Overseas Private Investment Corp. | 3.37 | 05/15/21 | 172,593 | 173,460 |
Overseas Private Investment Corp. | 2.07 | 05/15/21 | 179,860 | 178,583 |
Overseas Private Investment Corp. | 2.52 | 09/15/22 | 1,063,636 | 1,054,532 |
Overseas Private Investment Corp. | 2.51 | 05/15/25 | 1,757,408 | 1,731,584 |
Overseas Private Investment Corp. | 2.43(c) | 06/15/25 | 2,000,000 | 2,000,000 |
Private Export Funding Corp. | 1.45 | 08/15/19 | 974,000 | 966,003 |
Private Export Funding Corp. (d) | 3.27 | 11/08/21 | 1,000,000 | 1,012,782 |
U.S. Department of Housing & Urban Development | 5.45 | 08/01/19 | 1,316,000 | 1,319,112 |
U.S. Department of Housing & Urban Development | 1.88 | 08/01/19 | 2,000,000 | 1,989,682 |
U.S. Department of Housing & Urban Development | 6.07 | 08/01/21 | 40,000 | 40,134 |
U.S. Department of Housing & Urban Development | 6.12 | 08/01/22 | 29,000 | 29,107 |
U.S. Department of Housing & Urban Development | 5.77 | 08/01/26 | 172,000 | 172,536 |
U.S. Treasury Note | 0.75 | 02/15/19 | 2,000,000 | 1,996,121 |
U.S. Treasury Note | 1.63 | 04/30/19 | 2,000,000 | 1,994,375 |
U.S. Treasury Note | 1.50 | 05/31/19 | 6,000,000 | 5,975,625 |
U.S. Treasury Note | 1.00 | 06/30/19 | 2,000,000 | 1,985,000 |
U.S. Treasury Note | 1.63 | 07/31/19 | 1,000,000 | 994,648 |
U.S. Treasury Note | 1.00 | 08/31/19 | 1,000,000 | 989,375 |
U.S. Treasury Note | 1.75 | 09/30/19 | 2,000,000 | 1,987,031 |
U.S. Treasury Note | 1.00 | 11/30/19 | 2,000,000 | 1,970,547 |
U.S. Treasury Note | 1.88 | 12/31/19 | 1,000,000 | 992,734 |
U.S. Treasury Note | 1.25 | 01/31/20 | 1,440,000 | 1,419,172 |
U.S. Treasury Note | 1.13 | 03/31/20 | 1,000,000 | 982,583 |
U.S. Treasury Note | 1.13 | 04/30/20 | 1,000,000 | 981,124 |
U.S. Treasury Note | 2.50 | 06/30/20 | 500,000 | 499,569 |
U.S. Treasury Note | 2.63 | 08/31/20 | 500,000 | 500,604 |
U.S. Treasury Note | 1.38 | 09/15/20 | 500,000 | 490,483 |
U.S. Treasury Note | 1.63 | 10/15/20 | 500,000 | 492,132 |
U.S. Treasury Note | 1.75 | 11/15/20 | 500,000 | 492,921 |
U.S. Treasury Note | 1.88 | 12/15/20 | 500,000 | 493,944 |
U.S. Treasury Note | 2.00 | 01/15/21 | 500,000 | 494,858 |
U.S. Treasury Note | 2.25 | 02/15/21 | 500,000 | 497,186 |
U.S. Treasury Note | 2.38 | 04/15/21 | 1,000,000 | 997,321 |
Total U.S. Government & Agency Obligations | ||||
(Cost $44,710,969) | 44,517,696 |
Corporate Bonds Guaranteed by Export-Import Bank of the United States | 21.3% of portfolio | ||||
Consumer Discretionary | 0.2% | ||||
Ethiopian Leasing (2012) LLC | 2.68 | 07/30/25 | 121,580 | 121,119 |
Total Consumer Discretionary | 121,119 | |||
Energy | 7.9% | ||||
Petroleos Mexicanos | 2.00 | 12/20/22 | 400,000 | 392,980 |
Petroleos Mexicanos | 1.95 | 12/20/22 | 1,002,400 | 983,714 |
Petroleos Mexicanos | 2.38 | 04/15/25 | 793,650 | 783,468 |
Petroleos Mexicanos | 2.46 | 12/15/25 | 700,000 | 692,683 |
Reliance Industries Ltd. | 2.06 | 01/15/26 | 118,500 | 115,337 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Corporate Bonds Guaranteed by Export-Import Bank of the United States | 21.3% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
Energy | 7.9% (Continued) | ||||
Reliance Industries Ltd. | 1.87% | 01/15/26 | $1,578,947 | $1,528,422 |
Reliance Industries Ltd. | 2.44 | 01/15/26 | 1,578,947 | 1,562,021 |
Total Energy | 6,058,625 | |||
Financials | 13.0% | ||||
Altitude Investments 17 LLC | 2.68 | 11/08/25 | 614,481 | 603,518 |
Export Leasing 2009 LLC | 1.86 | 08/28/21 | 207,718 | 205,194 |
Lulwa Ltd. | 1.83 | 03/26/25 | 548,549 | 532,165 |
Mexican Aircraft Finance IV | 2.54 | 07/13/25 | 300,222 | 297,746 |
Mexican Aircraft Finance V | 2.33 | 01/14/27 | 371,250 | 364,729 |
MSN 41079 and 41084 Ltd. | 1.63 | 12/14/24 | 1,044,886 | 1,009,360 |
Penta Aircraft Leasing 2013 LLC | 1.69 | 04/29/25 | 1,119,083 | 1,081,168 |
Safina Ltd. | 1.55 | 01/15/22 | 699,271 | 686,599 |
Safina Ltd. | 2.00 | 12/30/23 | 1,391,338 | 1,364,580 |
Salmon River Export LLC | 2.19 | 09/15/26 | 167,428 | 163,541 |
Sandalwood 2013 LLC | 2.82 | 02/12/26 | 417,045 | 417,822 |
Santa Rosa Leasing LLC | 1.69 | 08/15/24 | 49,823 | 48,387 |
Santa Rosa Leasing LLC | 1.47 | 11/03/24 | 524,124 | 504,523 |
Tagua Leasing LLC | 1.90 | 07/12/24 | 1,180,087 | 1,152,414 |
Tagua Leasing LLC | 1.73 | 09/18/24 | 506,819 | 491,718 |
Union 11 Leasing LLC | 2.41 | 01/23/24 | 472,434 | 468,215 |
Union 16 Leasing LLC | 1.86 | 01/22/25 | 546,919 | 532,040 |
VCK Lease SA | 2.59 | 07/24/26 | 85,140 | 84,522 |
Total Financials | 10,008,241 | |||
Industrials | 0.2% | ||||
Sayarra Ltd. | 2.77 | 10/29/21 | 163,101 | 163,054 |
Total Industrials | 163,054 | |||
Total Corporate Bonds Guaranteed by Export-Import Bank of the United States | ||||
(Cost $16,660,900) | 16,351,039 |
Corporate Bonds–Other | 8.4% of portfolio | ||||
Communication Services | 0.4% | ||||
Comcast Corp. | 3.30 | 10/01/20 | 150,000 | 150,546 |
Comcast Corp. | 2.85(c) | 10/01/21 | 150,000 | 148,577 |
Total Communication Services | 299,123 | |||
Financials | 4.2% | ||||
Athene Global Funding (d) | 3.61(c) | 04/20/20 | 300,000 | 301,730 |
Bank of Amercia Corp. | 3.05(c) | 10/01/21 | 250,000 | 248,163 |
Capital One Financial Co. | 3.38(c) | 05/12/20 | 250,000 | 250,000 |
Citibank NA | 3.28(c) | 06/12/20 | 250,000 | 249,316 |
Citigroup Inc. | 3.45(c) | 04/25/22 | 150,000 | 148,026 |
Fifth Third Bank | 2.30 | 03/15/19 | 250,000 | 249,687 |
Goldman Sach Group, Inc. | 3.20 | 06/05/20 | 150,000 | 149,706 |
Jackson National Life Global Funding (d) | 2.20 | 01/30/20 | 175,000 | 173,333 |
JP Morgan Chase Bank NA | 3.09(c) | 04/26/21 | 250,000 | 248,955 |
MetLife Global Funding I (d) | 1.75 | 09/19/19 | 500,000 | 495,140 |
Morgan Stanley & Co. LLC | 3.17(c) | 02/10/21 | 250,000 | 247,207 |
Protective Life Global Funding (d) | 1.56 | 09/13/19 | 250,000 | 247,074 |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Corporate Bonds–Other | 8.4% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
Financials | 4.2% (Continued) | ||||
Wells Fargo Bank NA | 2.40% | 01/15/20 | $250,000 | $247,846 |
Total Financials | 3,256,183 | |||
Health Care | 0.9% | ||||
CVS Health Corp. | 3.40(c) | 03/09/20 | 150,000 | 149,728 |
CVS Health Corp. | 3.49(c) | 03/09/21 | 150,000 | 148,791 |
Halfmoon Parent, Inc. (d) | 3.14(c) | 03/17/20 | 100,000 | 99,358 |
Halfmoon Parent, Inc. (d) | 3.20 | 09/17/20 | 100,000 | 99,571 |
Halfmoon Parent, Inc. (d) | 3.40 | 09/17/21 | 100,000 | 99,768 |
Halfmoon Parent, Inc. (d) | 3.44(c) | 09/17/21 | 100,000 | 98,588 |
Total Health Care | 695,804 | |||
Utilities | 2.9% | ||||
DTE Gas Co. | 5.00 | 10/01/19 | 250,000 | 253,673 |
Duke Energy Florida Project Finance, LLC | 1.20 | 03/01/20 | 211,777 | 209,456 |
Duke Energy Florida, LLC | 2.10 | 12/15/19 | 250,000 | 247,980 |
Oncor Electric Delivery Co. LLC | 2.15 | 06/01/19 | 300,000 | 299,107 |
Sempra Energy, Inc. | 2.94(c) | 01/15/21 | 300,000 | 294,962 |
Southwest Gas Corp. | 4.45 | 12/01/20 | 125,000 | 126,918 |
Spire Inc. | 2.55 | 08/15/19 | 110,000 | 109,286 |
Union Electric Co. | 5.10 | 10/01/19 | 250,000 | 253,425 |
WEC Energy Group Inc. | 3.38 | 06/15/21 | 150,000 | 149,900 |
WGL Holdings Inc. | 3.11(c) | 11/29/19 | 250,000 | 249,924 |
Total Utilities | 2,194,631 | |||
Total Corporate Bonds–Other | ||||
(Cost $6,476,205) | 6,445,741 |
Asset-Backed Securities | 3.4% of portfolio | ||||
Ally Master Owner Trust 17-3 | 2.74(c) | 06/15/22 | 250,000 | 250,537 |
American Credit Acceptance Receivables Trust 18-1 (d) | 2.72 | 03/10/21 | 82,048 | 81,974 |
Avant Loans Funding Trust 18-A (d) | 3.09 | 06/15/21 | 74,430 | 74,294 |
Exeter Automobile Receivables Trust 17-2 (d) | 2.11 | 06/15/21 | 37,929 | 37,863 |
Exeter Automobile Receivables Trust 18-3 (d) | 2.90 | 01/18/22 | 138,774 | 138,589 |
Exeter Automobile Receivables Trust 18-4 (d) | 3.05 | 12/15/21 | 435,075 | 434,256 |
Flagship Credit Auto Trust 17-1 (d) | 1.93 | 12/15/21 | 32,388 | 32,314 |
Foursight Capital Automobile Receivables Trust 17-1 (d) | 2.37 | 04/15/22 | 47,165 | 46,892 |
Foursight Capital Automobile Receivables Trust 18-2 (d) | 3.32 | 04/15/22 | 200,000 | 200,253 |
Freedom Financial 18-2 (d) | 3.99 | 10/20/25 | 228,490 | 228,735 |
GLS Auto Receivables Trust 17-1 (d) | 2.67 | 04/15/21 | 75,625 | 75,451 |
GLS Auto Receivables Trust 18-3 (d) | 3.35 | 08/15/22 | 138,189 | 138,243 |
Prosper Marketplace Issuance Trust 17-2 (d) | 2.41 | 09/15/23 | 6,395 | 6,391 |
Prosper Marketplace Issuance Trust 18-2 (d) | 3.35 | 10/15/24 | 211,040 | 210,638 |
Small Business Administration 02-20K | 5.08 | 11/01/22 | 2,839 | 2,900 |
Small Business Administration 04-20B | 4.72 | 02/01/24 | 9,334 | 9,580 |
Small Business Administration 04-20C | 4.34 | 03/01/24 | 17,577 | 17,935 |
Small Business Administration 16-10E | 1.80 | 09/01/26 | 299,073 | 291,835 |
Small Business Administration 16-10F | 2.17 | 11/01/26 | 153,048 | 150,315 |
Small Business Administration 99-20D | 6.15 | 04/01/19 | 393 | 393 |
Small Business Administration Pool # 100075 | 3.50 | 05/25/19 | 689 | 688 |
Small Business Administration Pool # 503278 | 2.88(c) | 02/25/21 | 5,908 | 5,903 |
Small Business Administration Pool # 503463 | 3.13(c) | 09/25/21 | 156 | 154 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Asset-Backed Securities | 3.4% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
United Auto Credit Securitization Trust 18-2 (d) | 2.89% | 03/10/21 | $169,966 | $169,747 |
Total Asset-Backed Securities | ||||
(Cost $2,615,864) | 2,605,880 |
Mortgage-Backed Securities | 2.2% of portfolio | ||||
FDIC Structured Sale Guaranteed Notes 2010-S3 (d) | 2.74 | 12/03/20 | 94,452 | 93,094 |
GNMA #2602 | 6.00 | 06/20/28 | 13,167 | 14,191 |
GNMA #616274 | 5.00 | 02/15/19 | 21 | 21 |
GNMA #8004 | 3.75(c) | 07/20/22 | 6,060 | 6,155 |
GNMA #80053 | 3.38(c) | 03/20/27 | 1,185 | 1,218 |
GNMA #80058 | 3.63(c) | 04/20/27 | 967 | 984 |
GNMA #8006 | 3.75(c) | 07/20/22 | 4,784 | 4,860 |
GNMA #80185 | 3.63(c) | 04/20/28 | 11,034 | 11,350 |
GNMA #80264 | 3.38(c) | 03/20/29 | 7,577 | 7,601 |
GNMA #80283 | 3.63(c) | 05/20/29 | 7,997 | 8,239 |
GNMA #80300 | 3.75(c) | 07/20/29 | 7,016 | 7,253 |
GNMA #80309 | 3.75(c) | 08/20/29 | 3,580 | 3,701 |
GNMA #80363 | 3.38(c) | 01/20/30 | 22,551 | 23,279 |
GNMA #8038 | 3.75(c) | 08/20/22 | 3,115 | 3,165 |
GNMA #8040 | 3.75(c) | 08/20/22 | 7,719 | 7,875 |
GNMA #80426 | 3.75(c) | 07/20/30 | 791 | 817 |
GNMA #80452 | 3.75(c) | 09/20/30 | 6,937 | 7,119 |
GNMA #80475 | 3.13(c) | 12/20/30 | 6,426 | 6,476 |
GNMA #80577 | 3.38(c) | 02/20/32 | 1,106 | 1,145 |
GNMA #80684 | 3.63(c) | 04/20/33 | 2,437 | 2,440 |
GNMA #8076 | 3.13(c) | 11/20/22 | 3,390 | 3,419 |
GNMA #81129 | 3.63(c) | 10/20/34 | 70,687 | 71,964 |
GNMA #8157 | 3.38(c) | 03/20/23 | 5,294 | 5,375 |
GNMA #8191 | 3.63(c) | 05/20/23 | 9,293 | 9,439 |
GNMA #8259 | 3.75(c) | 08/20/23 | 2,726 | 2,781 |
GNMA #8384 | 3.38(c) | 03/20/24 | 1,314 | 1,325 |
GNMA #8423 | 3.63(c) | 05/20/24 | 2,066 | 2,105 |
GNMA #8459 | 3.75(c) | 07/20/24 | 3,349 | 3,427 |
GNMA #8518 | 3.13(c) | 10/20/24 | 3,878 | 3,929 |
GNMA #8532 | 3.13(c) | 10/20/24 | 4,347 | 4,454 |
GNMA #8591 | 3.38(c) | 02/20/25 | 7,461 | 7,495 |
GNMA #8638 | 3.63(c) | 06/20/25 | 4,171 | 4,216 |
GNMA #8648 | 3.75(c) | 07/20/25 | 11,676 | 11,681 |
GNMA #8663 | 3.75(c) | 07/20/25 | 6,184 | 6,347 |
GNMA #8680 | 4.00(c) | 08/20/20 | 714 | 708 |
GNMA #8687 | 3.75(c) | 08/20/25 | 2,012 | 2,045 |
GNMA #8702 | 3.13(c) | 10/20/20 | 937 | 941 |
GNMA #8747 | 3.13(c) | 11/20/25 | 3,934 | 4,015 |
GNMA #8807 | 3.75(c) | 07/20/21 | 1,699 | 1,712 |
GNMA #8836 | 3.75(c) | 09/20/21 | 2,747 | 2,787 |
GNMA #8847 | 3.63(c) | 04/20/26 | 4,979 | 5,102 |
GNMA #8869 | 3.13(c) | 11/20/21 | 7,719 | 7,780 |
GNMA #8873 | 3.13(c) | 11/20/21 | 2,967 | 2,961 |
GNMA #8877 | 3.63(c) | 05/20/26 | 1,081 | 1,095 |
GNMA #8883 | 3.13(c) | 12/20/21 | 2,565 | 2,593 |
GNMA #8915 | 3.38(c) | 02/20/22 | 2,588 | 2,611 |
GNMA #8934 | 3.38(c) | 03/20/22 | 4,306 | 4,318 |
GNMA #8978 | 3.63(c) | 05/20/22 | 11,604 | 11,847 |
GNMA #MA0668 | 2.00 | 12/20/27 | 59,403 | 57,570 |
GNMA 2003-11 | 4.00 | 10/17/29 | 9,951 | 9,970 |
GNMA 2003-26 | 2.76(c) | 04/16/33 | 2,141 | 2,150 |
GNMA 2003-97 | 4.50 | 03/20/33 | 1,194 | 1,196 |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Mortgage-Backed Securities | 2.2% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
GNMA 2004-17 | 4.50% | 12/20/33 | $20,536 | $21,206 |
GNMA 2010-113 | 2.50 | 02/16/40 | 153,448 | 150,602 |
GNMA 2012-143 | 1.50 | 12/16/27 | 351,099 | 333,514 |
GNMA 2013-131 | 2.66(c) | 09/16/43 | 163,887 | 164,514 |
NCUA Guaranteed Notes 2011-C1 | 3.05(c) | 03/09/21 | 517,289 | 516,555 |
Total Mortgage-Backed Securities | ||||
(Cost $1,665,872) | 1,656,732 |
Municipal Bond | 0.3% of portfolio | ||||
Wisconsin | 0.3% | ||||
Wisconsin, Public Finance Authority | 2.75 | 06/01/20 | 225,000 | 221,555 |
Total Wisconsin | 221,555 | |||
Total Municipal Bond | ||||
(Cost $225,000) | 221,555 |
Certificates of Deposit | 1.5% of portfolio | ||||
HSBC Bank USA NA | 3.10(c) | 11/17/20 | 246,000 | 245,951 |
JP Morgan Chase Bank, NA | 1.50(c) | 04/22/21 | 200,000 | 197,327 |
Morgan Stanley Bank NA | 1.95 | 12/09/19 | 250,000 | 248,261 |
Wells Fargo Bank NA | 2.70 | 04/16/19 | 500,000 | 499,723 |
Total Certificates of Deposit | ||||
(Cost $1,195,145) | 1,191,262 |
Commercial Paper | 4.8% of portfolio | ||||
Cintas Corp. (d) | 2.80 | 01/02/19 | 3,668,000 | 3,667,470 |
Total Commercial Paper | ||||
(Cost $3,667,715) | 3,667,470 |
Money Market Fund | less than 0.1% of portfolio | ||||
Shares | ||||
State Street Institutional U.S. Government Money Market Fund, Premier Class | 2.27(e) | 819 | 819 | |
Total Money Market Fund | ||||
(Cost $819) | 819 | |||
Total Investments in Securities | ||||
(Cost $77,218,489) | 100.0% | $76,658,194 |
(a) | Zero coupon rate, purchased at a discount. |
(b) | Interest is paid at maturity. |
(c) | Variable coupon rate as of December 31, 2018. |
(d) | Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. The securities have been determined to be liquid under criteria established by the Fund's Board of Directors. The total of such securities at period-end amounts to $8,263,548 and represents 10.8% of total investments. |
(e) | 7-day yield at December 31, 2018. |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Corporate Bonds–Other | 37.4% of portfolio | ||||
Interest Rate / Yield | Maturity Date | Face Amount | Value | |
Communication Services | 0.9% | ||||
Comcast Corp. | 3.30% | 10/01/20 | $3,025,000 | $3,036,012 |
Comcast Corp. | 3.45 | 10/01/21 | 1,010,000 | 1,020,196 |
Comcast Corp. | 2.85(a) | 10/01/21 | 825,000 | 817,173 |
Total Communication Services | 4,873,381 | |||
Consumer Discretionary | 1.8% | ||||
ABC Inc. | 8.75 | 08/15/21 | 810,000 | 922,183 |
Harley-Davidson Financial Services, Inc. (b) | 3.65(a) | 03/02/21 | 450,000 | 449,492 |
Philip Morris International Inc. | 1.38 | 02/25/19 | 3,275,000 | 3,266,793 |
Philip Morris International Inc. | 1.88 | 11/01/19 | 2,200,000 | 2,173,561 |
Volkswagen Group of America, Inc. (b) | 3.88 | 11/13/20 | 1,060,000 | 1,064,965 |
Volkswagen Group of America, Inc. (b) | 3.39(a) | 11/13/20 | 2,200,000 | 2,185,306 |
Total Consumer Discretionary | 10,062,300 | |||
Consumer Staples | 2.6% | ||||
Alberto-Culver Co. | 5.15 | 06/01/20 | 375,000 | 386,008 |
Coca-Cola Co. (The) | 1.55 | 09/01/21 | 475,000 | 460,532 |
Coca-Cola Co. (The) | 2.20 | 05/25/22 | 420,000 | 408,206 |
Colgate-Palmolive Co. | 1.75 | 03/15/19 | 1,025,000 | 1,022,612 |
Hershey Co. (The) | 2.90 | 05/15/20 | 875,000 | 874,410 |
Mead Johnson Nutrition Co. | 3.00 | 11/15/20 | 4,125,000 | 4,112,128 |
PepsiCo Inc. | 1.50 | 02/22/19 | 350,000 | 349,310 |
PepsiCo Inc. | 1.35 | 10/04/19 | 875,000 | 864,551 |
Procter & Gamble Co. (The) | 1.90 | 11/01/19 | 1,625,000 | 1,612,659 |
Procter & Gamble Co. (The) | 1.85 | 02/02/21 | 350,000 | 343,732 |
Procter & Gamble Co. (The) | 1.70 | 11/03/21 | 475,000 | 462,814 |
Procter & Gamble Co. (The) | 2.15 | 08/11/22 | 1,150,000 | 1,115,820 |
Unilever Capital Corp. | 2.75 | 03/22/21 | 2,625,000 | 2,612,271 |
Total Consumer Staples | 14,625,053 | |||
Energy | 1.9% | ||||
ANR Pipeline Co. | 9.63 | 11/01/21 | 3,175,000 | 3,679,154 |
Chevron Corp. | 3.03(a) | 11/15/19 | 2,175,000 | 2,177,946 |
Chevron Corp. | 2.19 | 11/15/19 | 375,000 | 373,177 |
Chevron Corp. | 2.42 | 11/17/20 | 700,000 | 693,421 |
Colonial Pipeline Co. (b) | 3.50 | 10/15/20 | 875,000 | 876,432 |
Exxon Mobil Corp. | 1.82 | 03/15/19 | 1,050,000 | 1,048,066 |
Occidental Petroleum Corp. | 9.25 | 08/01/19 | 1,025,000 | 1,060,338 |
Phillips 66 | 3.29(a) | 02/26/21 | 975,000 | 964,097 |
Total Energy | 10,872,631 | |||
Financials | 10.8% | ||||
AMBAC Assurance Corp. (b) | 5.10 | 06/07/20 | 2,871 | 3,818 |
AMBAC LSNI LLC (b) | 7.80(a) | 02/12/23 | 12,432 | 12,447 |
Ares Capital Corp. | 3.50 | 02/10/23 | 1,175,000 | 1,116,751 |
Athene Global Funding (b) | 2.75 | 04/20/20 | 575,000 | 569,628 |
Athene Global Funding (b) | 3.61(a) | 04/20/20 | 1,200,000 | 1,206,919 |
Athene Global Funding (b) | 4.00 | 01/25/22 | 1,400,000 | 1,414,275 |
Bank of America Corp. | 2.74(a) | 01/23/22 | 2,100,000 | 2,068,064 |
Bank of America Corp. | 3.44(a) | 07/23/24 | 2,210,000 | 2,169,063 |
Bank of America Corp. | 3.86(a) | 07/23/24 | 1,030,000 | 1,027,483 |
Caterpillar Financial Services Corp. | 3.15 | 09/07/21 | 875,000 | 877,268 |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Corporate Bonds–Other | 37.4% of portfolio (Continued) | ||||
Interest Rate / Yield | Maturity Date | Face Amount | Value | |
Financials | 10.8% (Continued) | ||||
Citibank, NA | 3.05% | 05/01/20 | $2,175,000 | $2,171,933 |
Citibank, NA | 2.85 | 02/12/21 | 1,650,000 | 1,635,034 |
Citibank, NA | 3.40 | 07/23/21 | 875,000 | 876,077 |
Daimler Finance North America LLC (b) | 3.25(a) | 11/05/21 | 1,325,000 | 1,316,531 |
Fifth Third Bank | 2.30 | 03/15/19 | 1,200,000 | 1,198,498 |
Flagstar Bancorp Inc. | 6.13 | 07/15/21 | 2,975,000 | 3,112,454 |
HSBC Bank USA NA | 4.88 | 08/24/20 | 2,575,000 | 2,630,955 |
Hyundai Capital America, Inc. (b) | 2.55 | 04/03/20 | 1,325,000 | 1,308,078 |
Hyundai Capital America, Inc. (b) | 3.61(a) | 04/03/20 | 875,000 | 871,813 |
Hyundai Capital America, Inc. (b) | 3.80(a) | 09/18/20 | 2,275,000 | 2,272,438 |
Hyundai Capital America, Inc. (b) | 2.75 | 09/18/20 | 975,000 | 959,834 |
IBM Credit LLC | 1.63 | 09/06/19 | 1,300,000 | 1,287,392 |
Industrial And Commercial Bank of China Ltd. NY | 3.23 | 11/13/19 | 1,600,000 | 1,597,571 |
J.P. Morgan Chase & Co. | 4.02(a) | 12/05/24 | 800,000 | 806,761 |
Jackson National Life Global Funding (b) | 2.20 | 01/30/20 | 1,250,000 | 1,238,094 |
John Deere Capital Corp. | 3.03(a) | 09/10/21 | 660,000 | 653,410 |
John Deere Capital Corp. | 3.13 | 09/10/21 | 220,000 | 220,395 |
Main Street Capital Corp. | 4.50 | 12/01/22 | 4,065,000 | 4,083,407 |
Morgan Stanley | 3.65(a) | 01/20/22 | 1,277,000 | 1,272,811 |
New York Life Global Funding (b) | 2.00 | 04/09/20 | 1,300,000 | 1,284,946 |
Nissan Motor Acceptance Corp. (b) | 3.42(a) | 09/21/21 | 880,000 | 862,650 |
Prospect Capital Corp. | 5.88 | 03/15/23 | 2,050,000 | 2,060,443 |
Protective Life Global Funding (b) | 1.56 | 09/13/19 | 2,075,000 | 2,050,717 |
Reliance Standard Life Global Funding II (b) | 2.50 | 01/15/20 | 5,550,000 | 5,496,340 |
Reliance Standard Life Global Funding II (b) | 2.38 | 05/04/20 | 5,650,000 | 5,576,285 |
Toyota Motor Credit Corp. | 2.97(a) | 09/18/20 | 440,000 | 437,308 |
Wells Fargo Bank NA | 3.33(a) | 07/23/21 | 1,025,000 | 1,023,975 |
Wells Fargo Bank NA | 3.63 | 10/22/21 | 625,000 | 628,671 |
Wells Fargo Bank NA | 2.99(a) | 10/22/21 | 1,325,000 | 1,309,310 |
Total Financials | 60,709,847 | |||
Health Care | 3.1% | ||||
AbbVie Inc. | 3.38 | 11/14/21 | 440,000 | 439,724 |
AbbVie Inc. | 3.75 | 11/14/23 | 440,000 | 437,747 |
Bayer US Finance II LLC (b) | 3.50 | 06/25/21 | 1,325,000 | 1,315,569 |
Bayer US Finance II LLC (b) | 3.45(a) | 06/25/21 | 1,325,000 | 1,307,350 |
Bristol-Myers Squibb Co. | 1.60 | 02/27/19 | 1,000,000 | 997,730 |
CVS Health Corp. | 3.13 | 03/09/20 | 875,000 | 873,157 |
CVS Health Corp. | 3.40(a) | 03/09/20 | 1,250,000 | 1,247,730 |
CVS Health Corp. | 3.35 | 03/09/21 | 1,300,000 | 1,295,657 |
Halfmoon Parent, Inc. (b) | 3.14(a) | 03/17/20 | 835,000 | 829,643 |
Halfmoon Parent, Inc. (b) | 3.20 | 09/17/20 | 4,350,000 | 4,331,344 |
Halfmoon Parent, Inc. (b) | 3.40 | 09/17/21 | 835,000 | 833,065 |
Halfmoon Parent, Inc. (b) | 3.44(a) | 09/17/21 | 835,000 | 823,205 |
Johnson & Johnson | 1.88 | 12/05/19 | 775,000 | 768,712 |
Merck & Co., Inc. | 1.85 | 02/10/20 | 475,000 | 470,691 |
Pfizer Inc. | 2.20 | 12/15/21 | 1,250,000 | 1,230,306 |
Total Health Care | 17,201,630 | |||
Industrials | 2.4% | ||||
BNSF Railway Co. | 3.80 | 01/01/20 | 330,000 | 328,405 |
Burlington Northern & Santa Fe Railway Co. | 4.58 | 01/15/21 | 184,765 | 186,459 |
Burlington Northern & Santa Fe Railway Co. | 4.83 | 01/15/23 | 53,852 | 54,952 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Corporate Bonds–Other | 37.4% of portfolio (Continued) | ||||
Interest Rate / Yield | Maturity Date | Face Amount | Value | |
Industrials | 2.4% (Continued) | ||||
DowDuPont Inc. | 3.42%(a) | 11/15/20 | $1,125,000 | $1,124,399 |
General Dynamics Corp. | 2.88 | 05/11/20 | 3,075,000 | 3,076,669 |
General Electric Co. | 2.50 | 03/28/20 | 6,930,000 | 6,767,152 |
Johnson Controls Inc. (b) | 5.00 | 03/30/20 | 831,000 | 848,238 |
Ryder System, Inc. | 3.50 | 06/01/21 | 220,000 | 220,276 |
TTX Co. (b) | 2.25 | 02/01/19 | 800,000 | 799,121 |
Total Industrials | 13,405,671 | |||
Information Technology | 3.2% | ||||
Amazon.com, Inc. (b) | 1.90 | 08/21/20 | 975,000 | 960,795 |
Apple Inc. | 1.70 | 02/22/19 | 1,250,000 | 1,247,706 |
Apple Inc. | 2.10 | 05/06/19 | 2,100,000 | 2,095,428 |
Apple Inc. | 1.10 | 08/02/19 | 3,075,000 | 3,044,469 |
Apple Inc. | 1.50 | 09/12/19 | 3,050,000 | 3,023,260 |
Apple Inc. | 2.50 | 02/09/22 | 975,000 | 959,577 |
International Business Machines Corp. | 2.50 | 01/27/22 | 700,000 | 681,505 |
Microsoft Corp. | 1.10 | 08/08/19 | 3,100,000 | 3,069,181 |
Microsoft Corp. | 2.00 | 11/03/20 | 950,000 | 939,680 |
Microsoft Corp. | 2.40 | 02/06/22 | 1,675,000 | 1,655,628 |
Total Information Technology | 17,677,229 | |||
Materials | 0.5% | ||||
3M Co. | 1.63 | 09/19/21 | 450,000 | 436,609 |
PPG Industries, Inc. | 2.30 | 11/15/19 | 2,200,000 | 2,185,655 |
Total Materials | 2,622,264 | |||
Utilities | 10.2% | ||||
Alabama Power Co. | 5.13 | 02/15/19 | 700,000 | 701,584 |
Atlantic City Electric Co. | 4.35 | 04/01/21 | 3,150,000 | 3,200,314 |
California Water Service Co. | 5.88 | 05/01/19 | 1,725,000 | 1,740,950 |
Dominion Energy Inc. | 2.58 | 07/01/20 | 325,000 | 319,864 |
DTE Gas Co. | 5.00 | 10/01/19 | 2,100,000 | 2,130,850 |
Duke Energy Florida Project Finance, LLC | 1.20 | 03/01/20 | 3,505,640 | 3,467,220 |
Duke Energy Florida, LLC | 2.10 | 12/15/19 | 3,225,000 | 3,198,938 |
Duke Energy Kentucky, Inc. (b) | 4.65 | 10/01/19 | 1,325,000 | 1,338,454 |
Empire District Electric Co. | 4.65 | 06/01/20 | 5,225,000 | 5,318,163 |
Entergy Louisiana LLC | 4.80 | 05/01/21 | 1,175,000 | 1,203,155 |
Entergy Texas, Inc. | 4.10 | 09/01/21 | 1,220,000 | 1,229,958 |
Nevada Power Co. | 2.75 | 04/15/20 | 1,300,000 | 1,296,881 |
Northern Natural Gas Co. (b) | 4.25 | 06/01/21 | 475,000 | 484,498 |
Oncor Electric Delivery Co. LLC | 2.15 | 06/01/19 | 2,940,000 | 2,931,250 |
Oncor Electric Delivery Co. LLC | 5.75 | 09/30/20 | 660,000 | 686,829 |
Public Service Co. of New Hampshire | 4.50 | 12/01/19 | 2,575,000 | 2,614,491 |
SanDiego Gas & Electric Co. | 1.91 | 02/01/22 | 2,486,020 | 2,439,298 |
Southern California Edison Co. | 3.88 | 06/01/21 | 1,050,000 | 1,058,736 |
Southern California Edison Co. | 1.85 | 02/01/22 | 4,095,000 | 3,982,749 |
Southern Natural Gas Company, LLC | 4.40 | 06/15/21 | 1,100,000 | 1,115,634 |
Southwest Gas Corp. | 4.45 | 12/01/20 | 825,000 | 837,661 |
Spire Inc. | 2.55 | 08/15/19 | 830,000 | 824,616 |
Toledo Edison Co. | 7.25 | 05/01/20 | 250,000 | 262,575 |
Union Electric Co. | 5.10 | 10/01/19 | 4,150,000 | 4,206,855 |
WEC Energy Group Inc. | 3.38 | 06/15/21 | 825,000 | 824,450 |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Corporate Bonds–Other | 37.4% of portfolio (Continued) | ||||
Interest Rate / Yield | Maturity Date | Face Amount | Value | |
Utilities | 10.2% (Continued) | ||||
Westar Energy Inc. | 5.10% | 07/15/20 | $1,275,000 | $1,308,862 |
Western Massachusetts Electric Co. | 3.50 | 09/15/21 | 250,000 | 251,837 |
WGL Holdings Inc. | 2.25 | 11/01/19 | 2,125,000 | 2,099,961 |
WGL Holdings Inc. | 3.11(a) | 11/29/19 | 1,875,000 | 1,874,431 |
WGL Holdings Inc. | 3.33(a) | 03/12/20 | 3,500,000 | 3,477,686 |
Wisconsin Power and Light Co. | 5.00 | 07/15/19 | 560,000 | 565,533 |
Total Utilities | 56,994,283 | |||
Total Corporate Bonds–Other | ||||
(Cost $210,327,380) | 209,044,289 |
Asset-Backed Securities | 21.7% of portfolio | ||||
ACC Trust 18-1 (b) | 3.70 | 12/21/20 | 617,179 | 617,462 |
Access Group Inc. 01 | 3.05(a) | 05/25/29 | 456,612 | 452,003 |
Access Group Inc. 05-B | 2.71(a) | 07/25/35 | 1,144,453 | 1,131,153 |
Ally Master Owner Trust 15-2 | 1.83 | 01/15/21 | 725,000 | 724,613 |
Ally Master Owner Trust 17-3 | 2.74(a) | 06/15/22 | 750,000 | 751,610 |
Ally Master Owner Trust 17-3 | 2.04 | 06/15/22 | 900,000 | 887,137 |
American Airlines 13-2 | 4.95 | 07/15/24 | 1,466,077 | 1,488,141 |
American Credit Acceptance Receivables Trust 18-1 (b) | 2.72 | 03/10/21 | 1,427,640 | 1,426,351 |
American Credit Acceptance Receivables Trust 18-4 (b) | 3.38 | 12/13/21 | 3,150,000 | 3,151,185 |
Avant Loans Funding Trust 18-A (b) | 3.09 | 06/15/21 | 1,468,754 | 1,466,059 |
Avant Loans Funding Trust 18-B (b) | 3.42 | 01/18/22 | 1,910,251 | 1,907,482 |
Axis Equipment Finance Receivables LLC 16-A (b) | 2.21 | 11/20/21 | 325,927 | 324,674 |
California Republic Auto Receivable Trust 15-3 | 2.13 | 05/17/21 | 1,093,508 | 1,089,078 |
CCR Inc. MT-100 Payment Rights Master Trust 12-C (b) | 4.75 | 07/10/22 | 895,833 | 887,657 |
College Loan Corp Trust 07-2 | 2.59(a) | 01/25/24 | 19,395,000 | 19,208,403 |
Consumer Loan Underlying Bond 17-NP2 (b) | 2.55 | 01/16/24 | 10,823 | 10,819 |
Consumer Loan Underlying Bond 17-P1 (b) | 2.42 | 09/15/23 | 342,079 | 341,117 |
Consumer Loan Underlying Bond 17-P2 (b) | 2.61 | 01/15/24 | 698,937 | 694,803 |
Consumer Loan Underlying Bond 18-NP1 (b) | 2.99 | 05/15/24 | 90,642 | 90,552 |
Consumer Loan Underlying Bond 18-P2 (b) | 3.47 | 10/15/25 | 1,183,297 | 1,179,325 |
Consumer Loan Underlying Bond 18-P3 (b) | 3.82 | 01/15/26 | 1,375,000 | 1,374,109 |
CPS Auto Trust 17-A (b) | 1.68 | 08/17/20 | 55,850 | 55,793 |
Credit Acceptance Auto Loan Trust 17-1 (b) | 2.56 | 10/15/25 | 1,100,000 | 1,092,946 |
Credit Acceptance Auto Loan Trust 17-2 (b) | 2.55 | 02/17/26 | 1,525,000 | 1,511,704 |
Credit Acceptance Auto Loan Trust 17-3 (b) | 2.65 | 06/15/26 | 1,025,000 | 1,015,560 |
Credit Acceptance Auto Loan Trust 18-1 (b) | 3.01 | 02/16/27 | 1,525,000 | 1,513,200 |
Credit Acceptance Auto Loan Trust 18-2 (b) | 3.47 | 05/17/27 | 2,200,000 | 2,195,822 |
Credit Acceptance Auto Loan Trust 18-3 (b) | 3.55 | 08/15/27 | 1,100,000 | 1,108,234 |
Credit Suisse ABS Trust 18-LD1 (b) | 3.42 | 07/25/24 | 1,173,309 | 1,171,504 |
Edlinc Student Loan Funding Trust 12-A (b) | 5.10(a) | 10/01/25 | 1,259,611 | 1,270,785 |
Education Loan Asset Backed Trust 13-1 (b) | 3.31(a) | 11/25/33 | 5,835,660 | 5,669,163 |
Element Rail Leasing I LLC 14-1 (b) | 2.30 | 04/19/44 | 1,240,496 | 1,230,329 |
Element Rail Leasing I LLC 15-1 (b) | 2.71 | 02/19/45 | 509,230 | 503,100 |
Element Rail Leasing I LLC 16-1 (b) | 3.97 | 03/19/46 | 312,250 | 315,652 |
Entergy New Orleans Storm Recovery Fund 15-1 | 2.67 | 06/01/27 | 665,104 | 654,185 |
Exeter Automobile Receivables Trust 17-1 (b) | 1.96 | 03/15/21 | 61,123 | 61,046 |
Exeter Automobile Receivables Trust 17-2 (b) | 2.11 | 06/15/21 | 221,251 | 220,870 |
Exeter Automobile Receivables Trust 17-3 (b) | 2.05 | 12/15/21 | 309,927 | 308,042 |
Exeter Automobile Receivables Trust 18-3 (b) | 2.90 | 01/18/22 | 832,642 | 831,534 |
Exeter Automobile Receivables Trust 18-4 (b) | 3.05 | 12/15/21 | 1,544,516 | 1,541,608 |
Flagship Credit Auto Trust 15-3 (b) | 2.38 | 10/15/20 | 38,298 | 38,269 |
Flagship Credit Auto Trust 17-1 (b) | 1.93 | 12/15/21 | 248,304 | 247,737 |
Ford Credit Floorplan Master Owner Trust 16-1 | 1.76 | 02/15/21 | 1,250,000 | 1,247,625 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Asset-Backed Securities | 21.7% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
Ford Credit Floorplan Master Owner Trust 16-1 | 3.21%(a) | 02/15/21 | $1,250,000 | $1,251,390 |
Foursight Capital Automobile Receivables Trust 16-1 (b) | 2.87 | 10/15/21 | 249,118 | 248,544 |
Foursight Capital Automobile Receivables Trust 17-1 (b) | 2.37 | 04/15/22 | 339,591 | 337,620 |
Foursight Capital Automobile Receivables Trust 18-1 (b) | 2.85 | 08/16/21 | 911,147 | 909,461 |
Foursight Capital Automobile Receivables Trust 18-2 (b) | 3.32 | 04/15/22 | 1,350,000 | 1,351,709 |
Freedom Financial 18-1 (b) | 3.61 | 07/18/24 | 1,874,089 | 1,873,490 |
Freedom Financial 18-2 (b) | 3.99 | 10/20/25 | 1,188,149 | 1,189,420 |
FRS I LLC 13-1 (b) | 1.80 | 04/15/43 | 165,205 | 164,650 |
GLS Auto Receivables Trust 17-1 (b) | 2.67 | 04/15/21 | 597,438 | 596,066 |
GLS Auto Receivables Trust 18-1 (b) | 2.82 | 07/15/22 | 1,867,342 | 1,860,645 |
GLS Auto Receivables Trust 18-3 (b) | 3.35 | 08/15/22 | 967,321 | 967,702 |
Gracie Point International Premium Financing 18-A (b) | 3.61(a) | 03/01/20 | 7,360,000 | 7,360,000 |
KeyCorp Student Loan Trust 00-A | 2.63(a) | 05/25/29 | 234,822 | 234,086 |
KeyCorp Student Loan Trust 00-B | 2.65(a) | 07/25/29 | 384,577 | 382,002 |
KeyCorp Student Loan Trust 04-A | 2.77(a) | 01/27/43 | 438,025 | 405,233 |
KeyCorp Student Loan Trust 05-A | 2.78(a) | 09/27/40 | 353,588 | 326,744 |
KeyCorp Student Loan Trust 06-A | 2.69(a) | 09/27/35 | 401,910 | 401,943 |
Longtrain Leasing III LLC 2015-1 (b) | 2.98 | 01/15/45 | 477,915 | 471,675 |
Marlette Funding Trust 18-2 (b) | 3.06 | 07/17/28 | 1,432,078 | 1,429,912 |
Marlette Funding Trust 18-3 (b) | 3.20 | 09/15/28 | 2,308,580 | 2,305,809 |
Marlette Funding Trust 18-4 (b) | 3.71 | 12/15/28 | 2,145,380 | 2,150,269 |
Nelnet Private Education Loan Trust 16-A (b) | 3.60 | 12/26/40 | 1,504,861 | 1,486,258 |
NP SPE II LLC 17-1 (b) | 3.37 | 10/21/47 | 492,285 | 486,066 |
Oscar US Funding Trust 17-2 (b) | 2.45 | 12/10/21 | 730,000 | 722,112 |
Oscar US Funding Trust 18-1 (b) | 2.91 | 04/12/21 | 1,519,323 | 1,515,860 |
Oscar US Funding Trust 18-2 (b) | 3.15 | 08/10/21 | 930,000 | 928,836 |
Prosper Marketplace Issuance Trust 17-2 (b) | 2.41 | 09/15/23 | 151,347 | 151,257 |
Prosper Marketplace Issuance Trust 18-2 (b) | 3.35 | 10/15/24 | 3,967,560 | 3,960,003 |
Santander Drive Auto Receivables Trust 18-2 | 2.75 | 09/15/21 | 550,000 | 548,606 |
SLC Student Loan Trust 05-1 | 2.51(a) | 02/15/45 | 993,516 | 938,904 |
SLM Student Loan Trust 03-11 | 2.98(a) | 12/15/38 | 505,170 | 480,746 |
SLM Student Loan Trust 04-A | 2.73(a) | 06/15/33 | 1,868,502 | 1,851,251 |
SLM Student Loan Trust 04-B | 2.66(a) | 03/15/24 | 3,248,279 | 3,236,127 |
SLM Student Loan Trust 05-A | 2.53(a) | 06/15/23 | 936,874 | 934,572 |
SLM Student Loan Trust 06-A | 2.62(a) | 06/15/39 | 1,251,414 | 1,213,848 |
Small Business Administration 02-20K | 5.08 | 11/01/22 | 9,937 | 10,151 |
SoFi Consumer Loan Program Trust 17-1 (b) | 3.28 | 01/26/26 | 600,606 | 600,307 |
SoFi Consumer Loan Program Trust 17-3 (b) | 2.77 | 05/25/26 | 778,609 | 771,696 |
SoFi Consumer Loan Program Trust 17-4 (b) | 2.50 | 05/26/26 | 627,856 | 620,599 |
SoFi Consumer Loan Program Trust 18-3 (b) | 3.20 | 08/25/27 | 469,738 | 468,765 |
SoFi Consumer Loan Program Trust 18-4 (b) | 3.54 | 11/26/27 | 2,092,206 | 2,094,482 |
SoFi Professional Loan Program Trust 18-C (b) | 3.08 | 01/25/48 | 1,450,715 | 1,447,389 |
ThunderRoad Motorcycle Trust 16-1 (b) | 4.00 | 09/15/22 | 165,903 | 165,821 |
United Auto Credit Securitization Trust 18-2 (b) | 2.89 | 03/10/21 | 1,121,776 | 1,120,333 |
Upgrade Receivables Trust 18-1 (b) | 3.76 | 11/15/24 | 1,497,130 | 1,496,183 |
Veros Autos Receivable Trust 17-1 (b) | 2.84 | 04/17/23 | 223,485 | 222,820 |
World Financial Network Credit Card Master Note Trust 17-B | 1.98 | 06/15/23 | 3,500,000 | 3,476,326 |
World Financial Network Credit Card Master Note Trust 18-B | 3.46 | 07/15/25 | 1,200,000 | 1,212,505 |
Total Asset-Backed Securities | ||||
(Cost $120,603,313) | 121,388,634 |
Municipal Bonds | 14.5% of portfolio | ||||
Alaska | 0.1% | ||||
Alaska Student Loan Corp. | 3.01(a) | 08/25/31 | 507,675 | 505,603 |
Total Alaska | 505,603 |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Municipal Bonds | 14.5% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
California | 0.5% | ||||
Adelanto California Public Utility Authority | 3.25% | 07/01/21 | $750,000 | $757,380 |
Adelanto California Public Utility Authority | 3.63 | 07/01/23 | 795,000 | 814,843 |
Desert Sands California Unified School District | 2.28 | 06/01/19 | 375,000 | 374,456 |
Fresno County CA Pension Obligation | 0.00(c) | 08/15/22 | 650,000 | 568,536 |
University of California | 2.85 | 05/15/20 | 540,000 | 540,437 |
Total California | 3,055,652 | |||
Florida | 0.8% | ||||
Florida State Board of Administration Finance Corp. | 2.16 | 07/01/19 | 4,375,000 | 4,362,313 |
Total Florida | 4,362,313 | |||
Illinois | 0.6% | ||||
Illinois, State of Sales Tax Revenue | 2.23 | 06/15/19 | 3,625,000 | 3,604,664 |
Total Illinois | 3,604,664 | |||
Indiana | 0.1% | ||||
Indiana Bond Bank | 2.08 | 01/15/19 | 300,000 | 299,946 |
Total Indiana | 299,946 | |||
Louisiana | 0.3% | ||||
New Orleans Louisiana | 2.80 | 09/01/19 | 1,725,000 | 1,724,862 |
Total Louisiana | 1,724,862 | |||
Mississippi | Less than 0.1% | ||||
Mississippi, State of | 2.40 | 10/01/22 | 225,000 | 221,861 |
Total Mississippi | 221,861 | |||
Missouri | Less than 0.1% | ||||
Missouri Higher Education Loan Authority | 3.34(a) | 01/26/26 | 183,240 | 183,207 |
Total Missouri | 183,207 | |||
New Jersey | 3.7% | ||||
New Jersey Economic Development Authority | 0.00(c) | 02/15/19 | 4,990,000 | 4,969,092 |
New Jersey Economic Development Authority | 0.00(c) | 02/15/20 | 11,325,000 | 10,872,000 |
New Jersey Economic Development Authority | 0.00(c) | 02/15/21 | 1,350,000 | 1,250,505 |
New Jersey Economic Development Authority | 0.00(c) | 02/15/22 | 1,005,000 | 896,229 |
New Jersey Economic Development Authority | 0.00(c) | 02/15/24 | 3,200,000 | 2,622,688 |
Total New Jersey | 20,610,514 | |||
New York | 4.2% | ||||
New York City, NY Transitional Finance Authority | 1.85 | 05/01/19 | 2,025,000 | 2,018,318 |
New York City, NY Transitional Finance Authority | 2.45 | 08/01/20 | 1,000,000 | 993,690 |
New York City, NY Transitional Finance Authority | 2.75 | 11/01/20 | 2,695,000 | 2,694,542 |
New York City, NY Transitional Finance Authority | 2.85 | 02/01/21 | 2,775,000 | 2,777,553 |
New York City, NY Transitional Finance Authority | 2.15 | 02/01/21 | 2,100,000 | 2,072,469 |
New York State Urban Development Corp. | 2.35 | 03/15/20 | 4,350,000 | 4,325,640 |
New York State Urban Development Corp. | 2.38 | 03/15/21 | 4,375,000 | 4,343,062 |
New York State Urban Development Corp. | 2.10 | 03/15/22 | 3,975,000 | 3,920,185 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Municipal Bonds | 14.5% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
New York | 4.2% (Continued) | ||||
Utility Debt Securitization Authority, NY | 2.04% | 06/15/21 | $164,000 | $163,467 |
Total New York | 23,308,926 | |||
North Carolina | 0.2% | ||||
North Carolina Housing Finance Agency | 4.00 | 01/01/30 | 810,000 | 818,513 |
North Carolina State Education Assistance Authority | 3.31(a) | 07/25/39 | 496,130 | 497,420 |
Total North Carolina | 1,315,933 | |||
Oklahoma | 0.1% | ||||
Oklahoma Student Loan Authority | 3.01(a) | 02/25/32 | 373,611 | 371,582 |
Total Oklahoma | 371,582 | |||
Pennsylvania | 2.2% | ||||
Pennsylvania Higher Education Assistance Agency (b) | 2.87(a) | 05/25/57 | 155,496 | 155,661 |
Philadelphia Pennsylvania Authority for Industrial Development | 0.00(c) | 04/15/19 | 2,500,000 | 2,477,475 |
Philadelphia Pennsylvania Authority for Industrial Development | 0.00(c) | 04/15/20 | 5,285,000 | 5,051,614 |
Philadelphia Pennsylvania Authority for Industrial Development | 0.00(c) | 04/15/20 | 3,380,000 | 3,236,046 |
Philadelphia Pennsylvania Authority for Industrial Development | 0.00(c) | 04/15/22 | 1,400,000 | 1,247,988 |
Total Pennsylvania | 12,168,784 | |||
Puerto Rico | 1.2% | ||||
Puerto Rico Highway & Transportation Authority | 5.50 | 07/01/19 | 1,800,000 | 1,823,598 |
Puerto Rico Highway & Transportation Authority | 6.25 | 07/01/21 | 2,400,000 | 2,512,152 |
Puerto Rico Sales Tax Financing Corp. | 5.25 | 08/01/19 | 3,175,000 | 1,472,406 |
Puerto Rico Sales Tax Financing Corp. | 4.38 | 08/01/20 | 905,000 | 415,169 |
Puerto Rico, Commonwealth of | 5.50 | 07/01/19 | 250,000 | 253,277 |
Total Puerto Rico | 6,476,602 | |||
Vermont | 0.1% | ||||
Vermont Student Assistance Corp. | 3.21(a) | 07/28/34 | 653,298 | 654,938 |
Total Vermont | 654,938 | |||
Wisconsin | 0.4% | ||||
Wisconsin, Public Finance Authority | 2.82 | 03/01/20 | 910,000 | 906,997 |
Wisconsin, Public Finance Authority | 2.75 | 06/01/20 | 1,575,000 | 1,550,887 |
Total Wisconsin | 2,457,884 | |||
Total Municipal Bonds | ||||
(Cost $83,314,649) | 81,323,271 |
U.S. Government & Agency Obligations | 11.4% of portfolio | ||||
Overseas Private Investment Corp. | 1.30 | 06/15/19 | 85,714 | 85,216 |
Overseas Private Investment Corp. | 2.52 | 09/15/22 | 1,551,136 | 1,537,859 |
Private Export Funding Corp. (b) | 2.10 | 12/19/19 | 875,000 | 868,214 |
Tennessee Valley Authority | 0.00(c) | 06/15/21 | 595,000 | 556,059 |
U.S. Department of Housing & Urban Development | 1.88 | 08/01/19 | 950,000 | 945,099 |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
U.S. Government & Agency Obligations | 11.4% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
U.S. Department of Housing & Urban Development | 6.07% | 08/01/21 | $10,000 | $10,034 |
U.S. Department of Housing & Urban Development | 6.12 | 08/01/22 | 19,000 | 19,070 |
U.S. Treasury Note | 1.63 | 04/30/19 | 1,975,000 | 1,969,445 |
U.S. Treasury Note | 1.38 | 09/30/19 | 2,175,000 | 2,154,864 |
U.S. Treasury Note | 1.50 | 10/31/19 | 13,100,000 | 12,977,646 |
U.S. Treasury Note | 1.25 | 01/31/20 | 2,175,000 | 2,143,541 |
U.S. Treasury Note | 2.25 | 03/31/20 | 2,175,000 | 2,166,005 |
U.S. Treasury Note | 1.50 | 06/15/20 | 4,800,000 | 4,729,904 |
U.S. Treasury Note | 2.63 | 08/31/20 | 2,200,000 | 2,202,659 |
U.S. Treasury Note | 1.63 | 10/15/20 | 12,225,000 | 12,032,625 |
U.S. Treasury Note | 1.38 | 10/31/20 | 2,175,000 | 2,130,468 |
U.S. Treasury Note | 2.75 | 11/30/20 | 2,080,000 | 2,089,033 |
U.S. Treasury Note | 2.00 | 01/15/21 | 7,850,000 | 7,769,271 |
U.S. Treasury Note | 2.38 | 04/15/21 | 4,800,000 | 4,787,141 |
U.S. Treasury Note | 2.88 | 11/15/21 | 1,625,000 | 1,642,980 |
U.S. Treasury Note | 2.88 | 09/30/23 | 710,000 | 721,510 |
Total U.S. Government & Agency Obligations | ||||
(Cost $63,878,359) | 63,538,643 |
Yankee Bonds | 10.3% of portfolio | ||||
ABN AMRO Bank N.V. (b) | 2.10 | 01/18/19 | 650,000 | 649,826 |
ABN AMRO Bank N.V. (b) | 3.08(a) | 01/18/19 | 900,000 | 900,103 |
African Development Bank | 8.80 | 09/01/19 | 1,960,000 | 2,035,418 |
Alibaba Group Holding Ltd. | 2.50 | 11/28/19 | 1,275,000 | 1,268,061 |
América Móvil SAB de CV | 5.00 | 10/16/19 | 1,471,000 | 1,490,290 |
América Móvil SAB de CV | 5.00 | 03/30/20 | 2,200,000 | 2,237,889 |
AstraZeneca PLC | 3.31(a) | 08/17/23 | 220,000 | 214,410 |
Bayerische Landesbank | 1.38 | 08/09/19 | 4,400,000 | 4,351,481 |
CNOOC Nexen Finance (2015) Australia Pty Ltd. | 2.63 | 05/05/20 | 425,000 | 420,804 |
Coca-Cola European Partners PLC | 3.50 | 09/15/20 | 825,000 | 827,677 |
Corporación Andina de Fomento | 2.00 | 05/10/19 | 4,400,000 | 4,384,103 |
Daimler Finance North America LLC (b) | 3.10 | 05/04/20 | 650,000 | 646,359 |
Daimler Finance North America LLC (b) | 2.97(a) | 05/04/20 | 450,000 | 447,492 |
Daimler Finance North America LLC (b) | 2.30 | 02/12/21 | 1,650,000 | 1,609,762 |
Daimler Finance North America LLC (b) | 3.05(a) | 02/12/21 | 1,650,000 | 1,632,638 |
Daimler Finance North America LLC (b) | 3.35 | 05/04/21 | 875,000 | 872,260 |
Daimler Finance North America LLC (b) | 3.13(a) | 05/04/21 | 425,000 | 421,215 |
Deutsche Bank AG | 2.85 | 05/10/19 | 1,250,000 | 1,242,490 |
Deutsche Bank AG | 4.53(a) | 05/10/19 | 750,000 | 747,592 |
Hydro-Quebec | 6.27 | 01/03/26 | 80,000 | 94,176 |
Landesbank Baden-Wuerttemberg | 2.13 | 01/31/20 | 3,000,000 | 2,970,699 |
Landesbank Baden-Wuerttemberg | 7.63 | 02/01/23 | 1,175,000 | 1,385,465 |
Mizuho Bank Ltd. (b) | 2.65 | 09/25/19 | 250,000 | 249,125 |
Santander UK PLC | 2.50 | 03/14/19 | 250,000 | 249,722 |
Santander UK PLC | 4.26(a) | 03/14/19 | 250,000 | 250,454 |
Shell International Finance BV | 1.38 | 09/12/19 | 3,000,000 | 2,967,444 |
Shell International Finance BV | 3.13(a) | 09/12/19 | 3,000,000 | 3,002,616 |
Shell International Finance BV | 2.13 | 05/11/20 | 665,000 | 658,160 |
Sinopec Group Overseas Development (2015) Ltd. (b) | 2.50 | 04/28/20 | 1,075,000 | 1,061,642 |
Sinopec Group Overseas Development (2016) Ltd. (b) | 1.75 | 09/29/19 | 2,200,000 | 2,176,880 |
Sinopec Group Overseas Development (2017) Ltd. (b) | 2.38 | 04/12/20 | 2,175,000 | 2,149,178 |
Sinopec Group Overseas Development (2020) Ltd. (b) | 2.25 | 09/13/20 | 2,200,000 | 2,159,846 |
Standard Chartered Bank PLC. (b) | 2.10 | 08/19/19 | 700,000 | 693,863 |
Standard Chartered Bank PLC. (b) | 3.77(a) | 08/19/19 | 450,000 | 451,948 |
Sumitomo Mitsui Banking Corp. | 1.97 | 01/11/19 | 1,350,000 | 1,349,666 |
Sumitomo Mitsui Banking Corp. | 2.09 | 10/18/19 | 1,300,000 | 1,285,506 |
Sumitomo Mitsui Banking Corp. | 2.51 | 01/17/20 | 1,300,000 | 1,290,291 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Yankee Bonds | 10.3% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
Sumitomo Mitsui Banking Corp. | 2.80%(a) | 01/17/20 | $875,000 | $874,231 |
Syngenta Finance N.V. (b) | 3.70 | 04/24/20 | 1,300,000 | 1,290,402 |
Syngenta Finance N.V. (b) | 3.93 | 04/23/21 | 425,000 | 419,178 |
Takeda Pharmaceutical Co., Ltd. (b) | 3.80 | 11/26/20 | 450,000 | 452,625 |
Toyota Motor Corp. | 3.18 | 07/20/21 | 1,325,000 | 1,324,072 |
TransCanada PipeLines Ltd. | 7.13 | 01/15/19 | 2,045,000 | 2,047,651 |
Tyco Electronics Group SA | 3.20(a) | 06/05/20 | 220,000 | 219,497 |
Total Yankee Bonds | ||||
(Cost $57,730,821) | 57,474,207 |
Mortgage-Backed Securities | 0.8% of portfolio | ||||
ACE Securities Corp. 06-ASL1 | 2.60(a) | 02/25/36 | 217,059 | 107,663 |
Adjustable Rate Mortgage Trust 05-10 | 4.23(a) | 01/25/36 | 43,054 | 39,716 |
American Business Financial Services 02-1 | 7.01 | 12/15/32 | 44,964 | 44,882 |
American Home Mortgage Investment Trust 05-03 | 5.47 | 09/25/35 | 3,337 | 3,300 |
Amresco Residential Securities 98-1 | 7.23(a) | 10/25/27 | 28,361 | 30,354 |
Banc of America Alternative Loan Trust Inc. 07-2 | 5.75 | 06/25/37 | 54,415 | 48,728 |
Banc of America Funding Corp. 04-A | 4.75(a) | 09/20/34 | 4,976 | 5,067 |
Banc of America Funding Corp. 05-G | 3.78(a) | 10/20/35 | 106,682 | 104,138 |
Banc of America Funding Corp. 07-5 | 6.50 | 07/25/37 | 18,583 | 15,467 |
Banc of America Mortgage Securities Inc. 02-J | 4.92(a) | 09/25/32 | 2,427 | 2,369 |
Bayview Financial Acquisition Trust 06-D | 5.93 | 12/28/36 | 1,198,244 | 1,209,771 |
Bear Stearns Adjustable Rate Mortgage Trust 04-10 | 4.14(a) | 01/25/35 | 111,592 | 111,814 |
Bear Stearns Adjustable Rate Mortgage Trust 05-12 | 4.48(a) | 02/25/36 | 16,596 | 15,772 |
Bear Stearns ALT-A Trust 04-11 | 4.69(a) | 11/25/34 | 8,048 | 7,917 |
Bear Stearns ALT-A Trust 05-4 | 4.03(a) | 05/25/35 | 51,171 | 51,584 |
Bear Stearns ALT-A Trust 05-9 | 3.96(a) | 11/25/35 | 29,237 | 23,274 |
Bear Stearns ALT-A Trust 06-6 | 4.46(a) | 11/25/36 | 112,189 | 102,345 |
Bear Stearns Asset Backed Securities Trust 03-3 | 3.50(a) | 06/25/43 | 29,775 | 29,825 |
Bear Stearns Asset Backed Securities Trust 04-HE5 | 4.19(a) | 07/25/34 | 33,106 | 32,827 |
Bear Stearns Structured Products Inc., 00-1 (b) | 7.33(a) | 08/28/33 | 74 | 73 |
CDC Mortgage Capital Trust 02-HE1 | 2.93(a) | 01/25/33 | 198,326 | 195,866 |
Chase Mortgage Finance Corp. 05-A1 | 4.22(a) | 12/25/35 | 4,320 | 4,172 |
Chaseflex Trust 05-2 | 6.00 | 06/25/35 | 70,572 | 66,407 |
CITICORP Mortgage Securities, Inc. 07-1 | 5.36(d) | 03/25/37 | 61,654 | 62,830 |
Cityscape Home Equity Loan Trust 96-2 | 8.10 | 08/25/26 | 46,041 | 45,857 |
Conseco Finance Securitizations Corp. 01-2 | 7.10 | 02/01/33 | 89,437 | 92,683 |
Contimortgage Home Equity Loan Trust 95-2 | 8.10 | 08/15/25 | 20,484 | 12,790 |
Countrywide Alternative Loan Trust 04-24CB | 6.00 | 11/25/34 | 28,331 | 28,351 |
Countrywide Alternative Loan Trust 05-43 | 3.86(a) | 10/25/35 | 17,873 | 15,479 |
Countrywide Asset Backed Certificate 02-S2 (e) | 5.98 | 01/25/17 | 1,688 | 1,681 |
Countrywide Asset Backed Certificate 02-S4 (e) | 4.54(a) | 10/25/17 | 7,709 | 7,818 |
Countrywide Asset Backed Certificate 04-S1 | 5.12 | 02/25/35 | 11,721 | 11,763 |
Countrywide Asset Backed Certificate 07-S1 | 5.69 | 11/25/36 | 5,006 | 5,093 |
Countrywide Home Loans 03-49 | 4.42(a) | 12/19/33 | 10,730 | 10,887 |
Countrywide Home Loans 05-HYB8 | 3.96(a) | 12/20/35 | 53,469 | 51,218 |
Countrywide Home Loans 06-HYB5 | 3.84(a) | 09/20/36 | 33,742 | 28,844 |
Credit Suisse First Boston Mortgage 03-AR24 | 4.51(a) | 10/25/33 | 91,258 | 90,530 |
Credit Suisse First Boston Mortgage 04-AR3 | 4.12(a) | 04/25/34 | 24,533 | 24,896 |
Credit Suisse First Boston Mortgage 05-10 | 5.25 | 11/25/20 | 21,249 | 19,380 |
Encore Credit Receivables Trust 05-3 | 3.05(a) | 10/25/35 | 69,381 | 69,422 |
FHLMC 780754 | 4.43(a) | 08/01/33 | 1,196 | 1,258 |
First Alliance Mortgage Loan Trust 94-1 | 5.85 | 04/25/25 | 3,268 | 3,260 |
First Horizon Mortgage Alternative Mortgage Securities 04-AA3 | 4.22(a) | 09/25/34 | 9,232 | 9,098 |
FNMA 813842 | 3.97(a) | 01/01/35 | 5,677 | 5,845 |
GMAC Mortgage Corp. Loan Trust 06-HE3 | 5.75 | 10/25/36 | 16,859 | 17,603 |
GNMA 2003-11 | 4.00 | 10/17/29 | 51,669 | 51,769 |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Mortgage-Backed Securities | 0.8% of portfolio (Continued) | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
GNMA 2003-26 | 2.76%(a) | 04/16/33 | $4,816 | $4,838 |
GNMA 2004-17 | 4.50 | 12/20/33 | 8,604 | 8,884 |
Green Tree Financial Corp. 98-5 | 6.22 | 03/01/30 | 36,693 | 38,274 |
GS Mortgage Loan Trust 03-10 | 4.53(a) | 10/25/33 | 44,334 | 43,444 |
GS Mortgage Loan Trust 05-8F | 5.50 | 10/25/20 | 5,867 | 5,733 |
GS Mortgage Loan Trust 05-AR6 | 3.92(a) | 09/25/35 | 16,110 | 16,115 |
IMPAC Secured Assets Corp. 03-3 | 4.85(a) | 08/25/33 | 58,984 | 59,592 |
Indymac Indx Mortgage Loan Trust 05-AR15 | 3.87(a) | 09/25/35 | 18,815 | 17,266 |
JP Morgan Mortgage Trust 05-A2 | 4.05(a) | 04/25/35 | 99,203 | 98,314 |
Lehman ABS Manufactured Housing Contract 01-B | 4.35 | 04/15/40 | 3,296 | 3,304 |
Master Adjustable Rate Mortgages Trust 04-13 | 4.67(a) | 04/21/34 | 7,888 | 8,077 |
Master Adjustable Rate Mortgages Trust 05-1 | 4.36(a) | 01/25/35 | 5,188 | 5,107 |
Master Alternative Loans Trust 03-5 | 6.00 | 08/25/33 | 23,165 | 23,432 |
Master Asset Backed Securities Trust 07-NCW (b) | 2.62(a) | 05/25/37 | 272,217 | 254,063 |
Master Asset Securitization Trust 07-1 | 6.00 | 10/25/22 | 7,728 | 7,584 |
Merrill Lynch Mortgage Investors Trust 03-A2 | 4.32(a) | 02/25/33 | 13,954 | 13,654 |
Morgan Stanley Mortgage Loan Trust 05-5AR | 4.37(a) | 09/25/35 | 17,649 | 14,982 |
Nomura Asset Acceptance Corporation 07-1 | 5.96 | 03/25/47 | 118,307 | 119,569 |
Option One Mortgage Loan Trust 07-FXD2 | 5.90 | 03/25/37 | 9,641 | 9,417 |
Prime Mortgage Trust 05-2 | 5.00 | 07/25/20 | 2,741 | 2,722 |
Residential Asset Securitization Trust 04-A3 | 5.25 | 06/25/34 | 4,281 | 4,287 |
Residential Asset Securitization Trust 05-A14 | 5.50 | 12/25/35 | 95,735 | 78,526 |
Residential Funding Mortgage Securities I 05-SA2 | 3.97(a) | 06/25/35 | 16,947 | 13,882 |
Salomon Brothers Mortgage Securities 97-LB6 | 6.82 | 12/25/27 | 4 | 4 |
Structured Adjustable Rate Mortgage Loan Trust 04-11 | 4.18(a) | 08/25/34 | 18,658 | 18,153 |
Structured Adjustable Rate Mortgage Loan Trust 04-4 | 4.24(a) | 04/25/34 | 139,472 | 143,291 |
Structured Adjustable Rate Mortgage Loan Trust 06-1 | 4.12(a) | 02/25/36 | 8,882 | 8,514 |
Structured Adjustable Rate Mortgage Loan Trust 06-4 | 4.10(a) | 05/25/36 | 43,257 | 38,199 |
Structured Asset Mortgage Investments 04-AR5 | 3.85(a) | 10/19/34 | 18,254 | 17,830 |
Structured Asset Securities Corp. 03-37A | 4.37(a) | 12/25/33 | 68,391 | 67,613 |
Structured Asset Securities Corp. 98-RF1 (b) | 5.32(a) | 04/15/27 | 12,472 | 12,352 |
Washington Mutual Mortgage Securities Corp. 04-AR14 | 4.31(a) | 01/25/35 | 37,238 | 37,985 |
Washington Mutual Mortgage Securities Corp. 04-AR3 | 3.96(a) | 06/25/34 | 20,585 | 20,904 |
Wells Fargo Mortgage Backed Securities Trust 04-B | 4.19(a) | 02/25/34 | 5,814 | 5,853 |
Wells Fargo Mortgage Backed Securities Trust 04-E | 4.35(a) | 05/25/34 | 9,023 | 9,226 |
Wells Fargo Mortgage Backed Securities Trust 04-EE | 4.57(a) | 12/25/34 | 6,674 | 6,909 |
Wells Fargo Mortgage Backed Securities Trust 04-F | 4.22(a) | 06/25/34 | 21,081 | 21,053 |
Wells Fargo Mortgage Backed Securities Trust 04-I | 4.77(a) | 07/25/34 | 1,709 | 1,745 |
Wells Fargo Mortgage Backed Securities Trust 04-K | 4.48(a) | 07/25/34 | 24,405 | 24,815 |
Wells Fargo Mortgage Backed Securities Trust 04-K | 4.49(a) | 07/25/34 | 10,380 | 10,852 |
Wells Fargo Mortgage Backed Securities Trust 04-K | 4.49(a) | 07/25/34 | 11,547 | 11,849 |
Wells Fargo Mortgage Backed Securities Trust 04-R | 4.73(a) | 09/25/34 | 12,322 | 12,711 |
Wells Fargo Mortgage Backed Securities Trust 05-AR14 | 4.54(a) | 08/25/35 | 5,867 | 5,951 |
Wells Fargo Mortgage Backed Securities Trust 05-AR15 | 4.73(a) | 09/25/35 | 48,082 | 48,422 |
Wells Fargo Mortgage Backed Securities Trust 05-AR16 | 4.75(a) | 10/25/35 | 13,631 | 13,418 |
Wells Fargo Mortgage Backed Securities Trust 06-AR19 | 4.86(a) | 12/25/36 | 8,090 | 7,550 |
Total Mortgage-Backed Securities | ||||
(Cost $4,264,533) | 4,317,951 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Corporate Bond Guaranteed by Export-Import Bank of the United States | less than 0.1% of portfolio | ||||
Interest Rate /Yield | Maturity Date | Face Amount | Value | |
Energy | Less than 0.1% | ||||
Petroleos Mexicanos | 2.46% | 12/15/25 | $307,300 | $304,088 |
Total Energy | 304,088 | |||
Total Corporate Bond Guaranteed by Export-Import Bank of the United States | ||||
(Cost $303,811) | 304,088 |
Commercial Paper | 3.9% of portfolio | ||||
Cintas Corp. (b) | 2.80 | 01/02/19 | 11,728,000 | 11,726,305 |
Consolidated Edison, Inc. | 2.95 | 01/02/19 | 10,000,000 | 9,998,554 |
Total Commercial Paper | ||||
(Cost $21,726,268) | 21,724,859 |
Money Market Fund | less than 0.1% of portfolio | ||||
Shares | ||||
State Street Institutional U.S. Government Money Market Fund, Premier Class | 2.27(f) | 1,937 | 1,937 | |
Total Money Market Fund | ||||
(Cost $1,937) | 1,937 | |||
Total Investments in Securities | ||||
(Cost $562,151,071) | 100.0% | $559,117,879 |
(a) | Variable coupon rate as of December 31, 2018. |
(b) | Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration, normally to qualified institutional buyers. The securities have been determined to be liquid under criteria established by the Fund's Board of Directors. The total of such securities at period-end amounts to $153,043,552 and represents 27.4% of total investments. |
(c) | Zero coupon rate, purchased at a discount. |
(d) | Step coupon security, the current rate may be adjusted upwards before maturity date. |
(e) | Security did not mature on maturity date. While additional principal and interest have been received past the maturity date, the amount and timing of future payments is uncertain. |
(f) | 7-day yield at December 31, 2018. |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Cost | Value | |
Investment in S&P 500 Index Master Portfolio | $48,480,023 | $134,049,424 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Common Stocks | 99.0% of portfolio | ||
Shares | Value | |
Communication Services | 5.5% | ||
Diversified Telecommunication Services | ||
Verizon Communications, Inc. | 234,000 | $13,155,480 |
Interactive Media & Services | ||
Alphabet, Inc., Class C (a) | 34,000 | 35,210,740 |
Total Communication Services | 48,366,220 | |
Consumer Discretionary | 2.7% | ||
Distributors | ||
Genuine Parts Co. | 240,400 | 23,083,208 |
Total Consumer Discretionary | 23,083,208 | |
Energy | 10.2% | ||
Energy Equipment & Services | ||
Helmerich & Payne, Inc. | 110,000 | 5,273,400 |
Oil, Gas & Consumable Fuels | ||
Chevron Corp. | 295,000 | 32,093,050 |
ConocoPhillips | 452,400 | 28,207,140 |
Marathon Oil Corp. | 163,100 | 2,338,854 |
Royal Dutch Shell PLC ADR | 353,000 | 21,158,820 |
Total Energy | 89,071,264 | |
Financials | 13.7% | ||
Banks | ||
Bank of America Corp. | 750,200 | 18,484,928 |
Citigroup, Inc. | 296,000 | 15,409,760 |
JPMorgan Chase & Co. | 342,600 | 33,444,612 |
Wells Fargo & Co. | 221,000 | 10,183,680 |
Insurance | ||
Allstate Corp. | 369,000 | 30,490,470 |
Chubb Ltd. | 85,469 | 11,040,885 |
Total Financials | 119,054,335 | |
Health Care | 21.9% | ||
Health Care Equipment & Supplies | ||
Abbott Laboratories | 399,000 | 28,859,670 |
Medtronic PLC | 198,465 | 18,052,376 |
Life Sciences Tools & Services | ||
Mettler-Toledo International, Inc. (a) | 45,000 | 25,451,100 |
Pharmaceuticals | ||
Bristol-Myers Squibb Co. | 719,700 | 37,410,006 |
Merck & Co., Inc. | 456,000 | 34,842,960 |
Pfizer, Inc. | 1,007,000 | 43,955,550 |
Roche Holding AG ADR | 90,000 | 2,797,200 |
Total Health Care | 191,368,862 |
Common Stocks | 99.0% of portfolio (Continued) | ||
Shares | Value | |
Industrials | 12.2% | ||
Airlines | ||
Southwest Airlines Co. | 844,100 | $39,233,768 |
Industrial Conglomerates | ||
Honeywell International, Inc. | 231,100 | 30,532,932 |
Machinery | ||
Parker-Hannifin Corp. | 246,400 | 36,748,096 |
Total Industrials | 106,514,796 | |
Information Technology | 22.6% | ||
Communications Equipment | ||
Cisco Systems, Inc. | 893,500 | 38,715,355 |
Electronic Equipment, Instruments & Components | ||
TE Connectivity Ltd. | 262,850 | 19,879,346 |
IT Services | ||
Leidos Holdings Inc. | 250,750 | 13,219,540 |
Visa Inc., Class A | 356,000 | 46,970,640 |
Semiconductors & Semiconductor Equipment | ||
Intel Corp. | 703,000 | 32,991,790 |
Software | ||
Microsoft Corp. | 427,000 | 43,370,390 |
Tyler Technologies, Inc. (a) | 10,000 | 1,858,200 |
Total Information Technology | 197,005,261 | |
Materials | 10.2% | ||
Chemicals | ||
DowDuPont, Inc. | 711,900 | 38,072,412 |
Containers & Packaging | ||
Avery Dennison Corp. | 400,000 | 35,932,000 |
Bemis Co., Inc. | 333,600 | 15,312,240 |
Total Materials | 89,316,652 | |
Total Common Stocks | ||
(Cost $459,347,432) | 863,780,598 |
Money Market Fund | 1.0% of portfolio | ||
State Street Institutional U.S. Government Money Market Fund, Premier Class, 2.27% (b) | 8,788,539 | 8,788,539 |
Total Money Market Fund | ||
(Cost $8,788,539) | 8,788,539 | |
Total Investments in Securities | ||
(Cost $468,135,971) | 100.0% | $872,569,137 |
(a) | Non-income producing. |
(b) | 7-day yield at December 31, 2018. |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Common Stocks | 97.9% of portfolio | ||
Shares | Value | |
Communication Services | 15.4% | ||
Entertainment | ||
Activision Blizzard, Inc. | 18,100 | $842,917 |
Netflix, Inc. (a) | 8,045 | 2,153,325 |
Interactive Media & Services | ||
Alphabet, Inc., Class C (a) | 4,470 | 4,629,177 |
Alphabet, Inc., Class A (a) | 9,042 | 9,448,528 |
Facebook, Inc., Class A (a) | 56,531 | 7,410,649 |
IAC/InterActiveCorp (a) | 5,000 | 915,200 |
Tencent Holdings Ltd. ADR | 116,933 | 4,615,345 |
Total Communication Services | 30,015,141 | |
Consumer Discretionary | 20.5% | ||
Auto Components | ||
Aptiv PLC | 35,578 | 2,190,537 |
Automobiles | ||
Tesla Inc. (a) | 7,244 | 2,410,803 |
Hotels, Restaurants & Leisure | ||
Hilton Worldwide Holdings, Inc. | 27,128 | 1,947,790 |
Las Vegas Sands Corp. | 21,700 | 1,129,485 |
McDonald's Corp. | 6,956 | 1,235,177 |
Restaurant Brands International Inc. | 23,800 | 1,244,740 |
Internet & Direct Marketing Retail | ||
Alibaba Group Holding Ltd. ADR (a) | 23,891 | 3,274,739 |
Amazon.com, Inc. (a) | 10,782 | 16,194,241 |
Booking Holdings, Inc. (a) | 2,097 | 3,611,915 |
Multiline Retail | ||
Dollar General Corp. | 23,120 | 2,498,810 |
Specialty Retail | ||
Ross Stores, Inc. | 27,000 | 2,246,400 |
Textiles, Apparel & Luxury Goods | ||
NIKE, Inc., Class B | 24,500 | 1,816,430 |
Total Consumer Discretionary | 39,801,067 | |
Consumer Staples | 1.0% | ||
Tobacco | ||
Philip Morris International, Inc. | 27,502 | 1,836,034 |
Total Consumer Staples | 1,836,034 | |
Financials | 4.1% | ||
Capital Markets | ||
Charles Schwab Corp. | 80,357 | 3,337,226 |
Intercontinental Exchange, Inc. | 24,075 | 1,813,570 |
Morgan Stanley | 33,855 | 1,342,351 |
TD Ameritrade Holding Corp. | 29,009 | 1,420,280 |
Total Financials | 7,913,427 | |
Health Care | 21.0% | ||
Biotechnology | ||
Alexion Pharmaceuticals, Inc. (a) | 11,143 | 1,084,882 |
Vertex Pharmaceuticals, Inc. (a) | 19,735 | 3,270,287 |
Common Stocks | 97.9% of portfolio (Continued) | ||
Shares | Value | |
Health Care | 21.0% (Continued) | ||
Health Care Equipment & Supplies | ||
Becton, Dickinson & Co. | 18,235 | $4,108,710 |
Intuitive Surgical, Inc. (a) | 9,346 | 4,475,987 |
Stryker Corp. | 26,908 | 4,217,829 |
Health Care Providers & Services | ||
Anthem, Inc. | 10,193 | 2,676,987 |
Centene Corp. (a) | 10,676 | 1,230,943 |
Cigna Corp. | 29,669 | 5,634,736 |
HCA Healthcare, Inc. | 25,680 | 3,195,876 |
Humana, Inc. | 5,506 | 1,577,359 |
UnitedHealth Group, Inc. | 24,283 | 6,049,381 |
WellCare Health Plans, Inc. (a) | 4,640 | 1,095,458 |
Pharmaceuticals | ||
Eli Lilly & Co. | 18,201 | 2,106,220 |
Total Health Care | 40,724,655 | |
Industrials | 8.8% | ||
Aerospace & Defense | ||
Boeing Co. | 30,809 | 9,935,902 |
Northrop Grumman Corp. | 8,384 | 2,053,242 |
Spirit AeroSystem Holdings, Inc., Class A | 13,999 | 1,009,188 |
Commercial Services & Supplies | ||
Waste Connections, Inc. | 20,650 | 1,533,263 |
Industrial Conglomerates | ||
Honeywell International, Inc. | 7,331 | 968,572 |
Machinery | ||
Fortive Corp. | 11,831 | 800,485 |
Road & Rail | ||
Kansas City Southern | 9,358 | 893,221 |
Total Industrials | 17,193,873 | |
Information Technology | 26.0% | ||
IT Services | ||
Fidelity National Information Services, Inc. | 6,573 | 674,061 |
Global Payments, Inc. | 20,608 | 2,125,303 |
PayPal Holdings, Inc. (a) | 31,200 | 2,623,608 |
Visa Inc., Class A | 70,373 | 9,285,014 |
Semiconductors & Semiconductor Equipment | ||
ASML Holding NV ADR | 5,000 | 778,100 |
Maxim Integrated Products, Inc. | 19,481 | 990,609 |
Software | ||
Intuit, Inc. | 17,160 | 3,377,946 |
Microsoft Corp. | 124,696 | 12,665,373 |
Red Hat, Inc. (a) | 24,289 | 4,266,120 |
salesforce.com, Inc. (a) | 19,900 | 2,725,703 |
ServiceNow, Inc. (a) | 8,687 | 1,546,720 |
Splunk Inc. (a) | 15,400 | 1,614,690 |
VMware, Inc., Class A | 22,513 | 3,087,208 |
Workday, Inc., Class A (a) | 11,276 | 1,800,551 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Common Stocks | 97.9% of portfolio (Continued) | ||
Shares | Value | |
Information Technology | 26.0% (Continued) | ||
Technology Hardware, Storage & Peripherals | ||
Apple, Inc. | 19,200 | $3,028,608 |
Total Information Technology | 50,589,614 | |
Utilities | 1.1% | ||
Multi-Utilities | ||
Sempra Energy | 11,834 | 1,280,320 |
Water Utilities | ||
American Water Works Co., Inc. | 10,100 | 916,777 |
Total Utilities | 2,197,097 | |
Total Common Stocks | ||
(Cost $146,056,044) | 190,270,908 |
Money Market Fund | 2.1% of portfolio | ||
Shares | Value | |
State Street Institutional U.S. Government Money Market Fund, Premier Class, 2.27% (b) | 4,133,811 | $4,133,811 |
Total Money Market Fund | ||
(Cost $4,133,811) | 4,133,811 | |
Total Investments in Securities | ||
(Cost $150,189,855) | 100.0% | $194,404,719 |
(a) | Non-income producing. |
(b) | 7-day yield at December 31, 2018. |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Common Stocks | 92.3% of portfolio | ||
Shares | Value | |
Communication Services | 0.6% | ||
Diversified Telecommunication Services | ||
ORBCOMM Inc. (a) | 355,505 | $2,936,471 |
Total Communication Services | 2,936,471 | |
Consumer Discretionary | 14.5% | ||
Distributors | ||
Core-Mark Holding Company, Inc. | 728,631 | 16,940,671 |
Hotels, Restaurants & Leisure | ||
BJ’s Restaurants, Inc. | 406,990 | 20,581,484 |
Cracker Barrel Old Country Store, Inc. | 107,262 | 17,146,904 |
Textiles, Apparel & Luxury Goods | ||
G-III Apparel Group, Ltd. (a) | 585,252 | 16,322,678 |
Total Consumer Discretionary | 70,991,737 | |
Energy | 0.3% | ||
Energy Equipment & Services | ||
RPC, Inc. | 150,000 | 1,480,500 |
Total Energy | 1,480,500 | |
Financials | 21.9% | ||
Banks | ||
FB Financial Corp. | 161,577 | 5,658,427 |
Glacier Bancorp, Inc. | 404,000 | 16,006,480 |
Metropolitan Bank Holding Corp. (a) | 200,000 | 6,170,000 |
National Bankshares, Inc. (Virginia) (b) | 381,799 | 13,908,938 |
State Bank Financial Corp. | 431,510 | 9,316,301 |
Texas Capital Bancshares, Inc. (a) | 126,917 | 6,484,189 |
Consumer Finance | ||
Encore Capital Group, Inc. (a) | 763,789 | 17,949,041 |
Insurance | ||
Kinsale Capital Group, Inc. | 266,808 | 14,823,853 |
National General Holdings Corp. | 691,963 | 16,752,424 |
Total Financials | 107,069,653 | |
Health Care | 7.9% | ||
Health Care Equipment & Supplies | ||
ICU Medical, Inc. (a) | 30,000 | 6,888,900 |
STERIS PLC | 193,762 | 20,703,470 |
Health Care Providers & Services | ||
AMN Healthcare Services, Inc. (a) | 90,000 | 5,099,400 |
Life Sciences Tools & Services | ||
NanoString Technologies, Inc. (a) | 395,418 | 5,864,049 |
Total Health Care | 38,555,819 | |
Industrials | 22.9% | ||
Aerospace & Defense | ||
BWX Technologies, Inc. | 40,000 | 1,529,200 |
Common Stocks | 92.3% of portfolio (Continued) | ||
Shares | Value | |
Industrials | 22.9% (Continued) | ||
Commercial Services & Supplies | ||
Interface, Inc. | 193,624 | $2,759,142 |
Construction & Engineering | ||
Dycom Industries, Inc. (a) | 353,105 | 19,081,794 |
Primoris Services Corp. | 677,400 | 12,958,662 |
Machinery | ||
NN, Inc. | 1,348,200 | 9,046,422 |
Standex International Corp. | 18,702 | 1,256,400 |
Welbilt, Inc. (a) | 759,400 | 8,436,934 |
Road & Rail | ||
Covenant Transportation Group, Inc., Class A (a) | 605,200 | 11,619,840 |
Knight-Swift Transportation Holdings Inc. | 607,732 | 15,235,841 |
Werner Enterprises, Inc. | 574,181 | 16,961,307 |
Trading Companies & Distributors | ||
Applied Industrial Technologies, Inc. | 246,874 | 13,316,384 |
Total Industrials | 112,201,926 | |
Information Technology | 16.0% | ||
Electronic Equipment, Instruments & Components | ||
Belden Inc. | 337,585 | 14,100,925 |
IT Services | ||
Cass Information Systems, Inc. | 295,434 | 15,634,368 |
ManTech International Corp., Class A | 325,082 | 17,000,163 |
Software | ||
Descartes Systems Group Inc. (The) (a) | 628,898 | 16,640,641 |
j2 Global, Inc | 217,154 | 15,066,145 |
Total Information Technology | 78,442,242 | |
Materials | 8.2% | ||
Chemicals | ||
Ingevity Corp. (a) | 40,000 | 3,347,600 |
PolyOne Corp. | 449,246 | 12,848,435 |
Construction Materials | ||
Summit Materials, Inc., Class A (a) | 1,140,829 | 14,146,280 |
Containers & Packaging | ||
Myers Industries, Inc. | 633,639 | 9,574,285 |
Total Materials | 39,916,600 | |
Total Common Stocks | ||
(Cost $415,855,767) | 451,594,948 |
Exchange Traded Fund | 1.4% of portfolio | ||
iShares Core S&P Small-Cap ETF | 100,000 | 6,932,000 |
Total Exchange Traded Fund | ||
(Cost $7,016,614) | 6,932,000 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Money Market Fund | 6.3% of portfolio | ||
Shares | Value | |
State Street Institutional U.S. Government Money Market Fund, Premier Class, 2.27% (c) | 30,867,942 | $30,867,942 |
Total Money Market Fund | ||
(Cost $30,867,942) | 30,867,942 | |
Total Investments in Securities | ||
(Cost $453,740,323) | 100.0% | $489,394,890 |
(a) | Non-income producing. |
(b) | During the period ended December 31, 2018, investments in issuers considered to be affiliates of the Fund for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, were as follows: |
Affiliate Persons | Shares Held at December 31, 2017 | Shares Purchased | Shares Sold | Shares Held at December 31, 2018 | Value at December 31, 2018 | Income | Realized Gain (Loss) | Change in Unrealized Appreciation (Depreciation) |
National Bankshares, Inc. (Virginia) | 415,717 | — | 33,918 | 381,799 | $13,908,938 | $503,018 | $479,941 | $(3,443,827) |
(c) | 7-day yield at December 31, 2018. |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Common Stocks | 94.2% of portfolio | ||
Shares | Value | |
Brazil | 0.3% | ||
Ambev SA ADR | 52,620 | $206,270 |
Total Brazil | 206,270 | |
Britain | 7.2% | ||
HSBC Holdings PLC | 120,820 | 996,732 |
Royal Dutch Shell PLC, Class B | 77,805 | 2,326,174 |
Unilever PLC | 28,014 | 1,470,813 |
Total Britain | 4,793,719 | |
Canada | 2.2% | ||
Canadian National Railway Co. | 19,707 | 1,460,486 |
Total Canada | 1,460,486 | |
China | 0.8% | ||
Baidu, Inc. ADR (a) | 3,275 | 519,415 |
Total China | 519,415 | |
Denmark | 1.0% | ||
Novozymes A/S, Class B | 15,400 | 688,109 |
Total Denmark | 688,109 | |
France | 10.8% | ||
Air Liquide SA | 15,285 | 1,898,023 |
Dassault Systèmes SE | 15,676 | 1,861,992 |
L’Oréal SA | 9,135 | 2,090,310 |
LVMH Moët Hennessy—Louis Vuitton SE | 4,368 | 1,278,844 |
Total France | 7,129,169 | |
Germany | 16.3% | ||
adidas AG | 3,246 | 678,378 |
Allianz SE REG | 13,111 | 2,634,723 |
Bayer AG REG | 27,482 | 1,911,339 |
Bayerische Motoren Werke AG | 12,386 | 1,004,568 |
FUCHS PETROLUB SE | 3,802 | 152,700 |
Infineon Technologies AG | 80,005 | 1,601,833 |
SAP SE ADR | 17,931 | 1,785,031 |
Symrise AG | 13,571 | 1,005,517 |
Total Germany | 10,774,089 | |
Hong Kong | 4.1% | ||
AIA Group Ltd. | 326,800 | 2,714,665 |
Total Hong Kong | 2,714,665 | |
India | 0.6% | ||
HDFC Bank Ltd. ADR | 1,990 | 206,144 |
ICICI Bank Ltd. ADR | 16,680 | 171,637 |
Total India | 377,781 |
Common Stocks | 94.2% of portfolio (Continued) | ||
Shares | Value | |
Israel | 3.3% | ||
Check Point Software Technologies Ltd. (a) | 21,460 | $2,202,869 |
Total Israel | 2,202,869 | |
Italy | 0.9% | ||
Tenaris, SA ADR | 26,281 | 560,311 |
Total Italy | 560,311 | |
Japan | 17.0% | ||
Chugai Pharmaceutical Co., Ltd. | 12,800 | 742,390 |
Dentsu Inc. | 16,800 | 750,300 |
FANUC Corp. | 5,000 | 758,798 |
JGC Corp. | 47,400 | 667,121 |
Keyence Corp. | 3,800 | 1,920,694 |
Komatsu Ltd. | 28,700 | 616,761 |
Kubota Corp. | 90,700 | 1,289,184 |
M3, Inc. | 93,500 | 1,259,559 |
MonotaRO Co., Ltd. | 48,800 | 1,202,985 |
Park24 Co., Ltd. | 31,200 | 687,060 |
Sysmex Corp. | 15,300 | 726,613 |
Unicharm Corp. | 18,700 | 604,794 |
Total Japan | 11,226,259 | |
Mexico | 0.5% | ||
Fomento Economico Mexicano, SAB de CV ADR | 2,740 | 235,777 |
Grupo Financiero Banorte SAB de CV | 24,635 | 120,256 |
Total Mexico | 356,033 | |
Republic of South Korea | 0.3% | ||
Samsung Electronics Co., Ltd. GDR | 228 | 197,568 |
Total Republic of South Korea | 197,568 | |
Russia | 0.3% | ||
Yandex NV, Class A (a) | 8,295 | 226,868 |
Total Russia | 226,868 | |
Singapore | 3.4% | ||
DBS Group Holdings Ltd. | 129,300 | 2,248,507 |
Total Singapore | 2,248,507 | |
South Africa | 1.3% | ||
Aspen Pharmacare Holdings Ltd. | 11,000 | 102,935 |
Naspers Ltd., Class N | 3,108 | 622,273 |
Sasol Ltd. | 4,521 | 134,348 |
Total South Africa | 859,556 |
Portfolio of Investments | The accompanying notes are an integral part of these financial statements. |
Common Stocks | 94.2% of portfolio (Continued) | ||
Shares | Value | |
Spain | 2.5% | ||
Banco Bilboa Vizcaya Argentaria SA | 247,406 | $1,314,174 |
Grifols, SA | 12,266 | 322,005 |
Total Spain | 1,636,179 | |
Sweden | 5.4% | ||
Alfa Laval AB | 38,672 | 831,343 |
Atlas Copco AB, Class A | 67,427 | 1,608,675 |
Epiroc AB, Class A (a) | 32,467 | 308,586 |
Skandinaviska Enskilda Banken AB, Class A | 85,289 | 829,085 |
Total Sweden | 3,577,689 | |
Switzerland | 11.5% | ||
Lonza Group AG REG | 4,490 | 1,167,197 |
Nestlé SA ADR | 32,335 | 2,624,397 |
Roche Holding AG REG | 7,472 | 1,854,990 |
Sonova Holding AG REG | 5,909 | 971,712 |
Temenos Group AG REG | 8,331 | 1,001,076 |
Total Switzerland | 7,619,372 | |
Taiwan | 1.1% | ||
Taiwan Semiconductor Manufacturing Co. Ltd. ADR | 20,200 | 745,582 |
Total Taiwan | 745,582 | |
United States of America | 3.4% | ||
Linde PLC | 9,284 | 1,473,776 |
Schlumberger Ltd. | 21,353 | 770,416 |
Total United States of America | 2,244,192 | |
Total Common Stocks | ||
(Cost $57,552,448) | 62,364,688 |
Preferred Stocks | 2.5% of portfolio | ||
Shares | Value | |
Brazil | 0.7% | ||
Itaú Unibanco Holding SA ADR | 47,730 | $436,252 |
Total Brazil | 436,252 | |
Germany | 0.6% | ||
FUCHS PETROLUB SE | 9,378 | 387,706 |
Total Germany | 387,706 | |
Republic of South Korea | 0.7% | ||
Samsung Electronics Co., Ltd. REG GDR | 618 | 445,353 |
Total Republic of South Korea | 445,353 | |
Spain | 0.5% | ||
Grifols, SA ADR | 19,289 | 354,146 |
Total Spain | 354,146 | |
Total Preferred Stocks | ||
(Cost $1,189,363) | 1,623,457 |
Money Market Fund | 3.3% of portfolio | ||
State Street Institutional U.S. Government Money Market Fund, Premier Class, 2.27% (b) | 2,197,975 | 2,197,975 |
Total Money Market Fund | ||
(Cost $2,197,975) | 2,197,975 | |
Total Investments in Securities | ||
(Cost $60,939,786) | 100.0% | $66,186,120 |
(a) | Non-income producing. |
(b) | 7-day yield at December 31, 2018. |
The accompanying notes are an integral part of these financial statements. | Portfolio of Investments |
Assets | Daily Income Fund | Short-Term Government Securities Fund |
Investments in securities, at value (cost: $164,172,088, $77,218,489, $562,151,071, $48,480,023, $468,135,971, $150,189,855, $453,740,323 and $60,939,786, respectively) | $164,172,088 | $76,658,194 |
Investment securities sold | — | — |
Dividends, interest, and tax reclaims | 94,069 | 286,704 |
Capital shares sold | 280,693 | 50,174 |
Prepaid expenses | 17,607 | 10,065 |
Total Assets | 164,564,457 | 77,005,137 |
Liabilities | ||
Investment securities purchased | — | — |
Accrued expenses | 39,842 | 29,669 |
Independent Director's deferred compensation | 63,624 | 25,359 |
Due to RE Advisers | 88,020 | 30,057 |
Due to custodian | — | — |
Capital shares redeemed | 517,727 | 915 |
Dividends | 1,455 | 950 |
Total Liabilities | 710,668 | 86,950 |
Net Assets | $163,853,789 | $76,918,187 |
Net Assets Consist Of: | ||
Distributable earnings (losses) | (63,625) | (591,381) |
Paid-in-capital applicable to outstanding shares of 163,917,373, 14,954,120, 108,629,252, 7,172,452, 18,767,937, 20,098,696, 19,048,273 and 9,076,900, respectively | 163,917,414 | 77,509,568 |
Net Assets | $163,853,789 | $76,918,187 |
Net Asset Value Per Share | $1.00 | $5.14 |
Statements of Assets and Liabilities | The accompanying notes are an integral part of these financial statements. |
Short-Term Bond Fund | Stock Index Fund | Value Fund | Growth Fund | Small-Company Stock Fund | International Equity Fund |
$559,117,879 | $134,049,424 | $872,569,137 | $194,404,719 | $489,394,890 | $66,186,120 |
822,134 | 38,904 | 5,772,585 | 295,380 | 9,261,723 | 242,998 |
3,060,193 | — | 895,843 | 88,153 | 386,669 | 247,292 |
622,383 | 40,998 | 768,185 | 148,785 | 812,678 | 13,276 |
34,577 | 16,234 | 47,507 | 21,535 | 32,851 | 13,247 |
563,657,166 | 134,145,560 | 880,053,257 | 194,958,572 | 499,888,811 | 66,702,933 |
822,134 | — | 1,846,126 | — | 6,921,325 | 485,863 |
180,975 | 59,389 | 231,178 | 45,915 | 149,341 | 48,442 |
133,477 | 26,473 | 223,774 | 18,495 | 165,399 | 47,976 |
352,779 | 45,610 | 470,034 | 132,316 | 444,094 | 30,722 |
85 | — | — | — | — | — |
119,067 | 79,902 | 2,016,169 | 294,717 | 5,216,082 | 8,054 |
16,110 | — | — | — | — | — |
1,624,627 | 211,374 | 4,787,281 | 491,443 | 12,896,241 | 621,057 |
$562,032,539 | $133,934,186 | $875,265,976 | $194,467,129 | $486,992,570 | $66,081,876 |
(3,184,859) | 85,579,473 | 411,733,325 | 44,983,466 | 76,990,186 | (101,167) |
565,217,398 | 48,354,713 | 463,532,651 | 149,483,663 | 410,002,384 | 66,183,043 |
$562,032,539 | $133,934,186 | $875,265,976 | $194,467,129 | $486,992,570 | $66,081,876 |
$5.17 | $18.67 | $46.64 | $9.68 | $25.57 | $7.28 |
The accompanying notes are an integral part of these financial statements. | Statements of Assets and Liabilities |
Investment Income | Daily Income Fund | Short-Term Government Securities Fund |
Interest | $3,011,363 | $1,615,917 |
Dividends | — | — |
Allocated from Master Portfolio | ||
Dividends | — | — |
Interest | — | — |
Total Investment Income | 3,011,363 | 1,615,917 |
Expenses | ||
Management fees | 829,885 | 343,623 |
Shareholder servicing fees | 151,648 | 81,002 |
Custodian and accounting fees | 82,988 | 99,267 |
Director and Board meeting expenses | 44,101 | 20,164 |
Legal and audit fees | 42,506 | 21,344 |
Registration fees | 35,347 | 27,094 |
Printing | 18,304 | 12,587 |
Communication | 11,428 | 6,263 |
Insurance | 6,599 | 2,861 |
Other expenses | 6,595 | 15,692 |
Administration fees | — | — |
Allocated from Master Portfolio | — | — |
Total Expenses | 1,229,401 | 629,897 |
Less fees waived by RE Advisers | — | (57,161) |
Net Expenses | 1,229,401 | 572,736 |
Net Investment Income | 1,781,962 | 1,043,181 |
Realized and Unrealized Gain (Loss) on Investments | ||
Net realized gain on investments | — | 1,404 |
Net change in unrealized apprecation (depreciation) | — | (143,002) |
Net Gain (Loss) On Investments | — | (141,598) |
Net Increase (Decrease) In Net Assets From Operations | $1,781,962 | $901,583 |
(a) | Includes foreign tax withholding expense of $14,164 in Value Fund, $8,458 in Growth Fund, and $168,466 in International Equity Fund. |
(b) | Represents realized and unrealized gain on investments allocated from the Master Portfolio. |
Statements of Operations | The accompanying notes are an integral part of these financial statements. |
Short-Term Bond Fund | Stock Index Fund | Value Fund | Growth Fund | Small-Company Stock Fund | International Equity Fund |
$15,370,584 | $— | $512,089 | $72,019 | $473,138 | $42,156 |
— | — | 22,131,898(a) | 1,992,593(a) | 10,880,283 | 1,743,201(a) |
— | 2,850,014 | — | — | — | — |
— | 47,722 | — | — | — | — |
15,370,584 | 2,897,736 | 22,643,987 | 2,064,612 | 11,353,421 | 1,785,357 |
3,306,894 | — | 4,903,641 | 1,335,112 | 7,496,933 | 562,289 |
205,547 | 171,080 | 415,542 | 171,065 | 347,963 | 141,220 |
230,128 | 50,098 | 204,840 | 80,151 | 201,078 | 102,695 |
153,928 | 40,792 | 281,541 | 49,058 | 276,850 | 19,648 |
141,763 | 38,890 | 247,314 | 47,049 | 219,705 | 20,448 |
55,239 | 30,784 | 73,547 | 31,795 | 81,637 | 24,633 |
41,476 | 25,865 | 72,875 | 25,430 | 55,666 | 23,559 |
20,718 | 16,959 | 45,246 | 16,188 | 34,857 | 14,817 |
21,975 | 5,597 | 41,649 | 6,298 | 47,247 | 2,758 |
57,135 | 23,569 | 28,791 | 8,357 | 22,760 | 7,041 |
— | 371,514 | — | — | — | — |
— | 57,496 | — | — | — | — |
4,234,803 | 832,644 | 6,314,986 | 1,770,503 | 8,784,696 | 919,108 |
— | — | — | — | — | (176,748) |
4,234,803 | 832,644 | 6,314,986 | 1,770,503 | 8,784,696 | 742,360 |
11,135,781 | 2,065,092 | 16,329,001 | 294,109 | 2,568,725 | 1,042,997 |
203,351 | 1,283,303(b) | 81,100,003 | 19,033,343 | 217,695,361 | 1,091,500 |
(1,270,313) | (10,109,545)(b) | (156,332,971) | (13,337,473) | (433,694,859) | (11,742,258) |
(1,066,962) | (8,826,242) | (75,232,968) | 5,695,870 | (215,999,498) | (10,650,758) |
$10,068,819 | $(6,761,150) | $(58,903,967) | $5,989,979 | $(213,430,773) | $(9,607,761) |
The accompanying notes are an integral part of these financial statements. | Statements of Operations |
Daily Income Fund | ||
Year Ended December 31, 2018 | Year Ended December 31, 2017 | |
Increase (Decrease) In Net Assets | ||
Operations | ||
Net investment income | $1,781,962 | $321,540 |
Net realized gain on investments | — | — |
Net change in unrealized appreciation (depreciation) | — | — |
Increase (decrease) in net assets from operations | 1,781,962 | 321,540 |
Distributions to Shareholders(a) | ||
Distributions to shareholders | (1,781,962) | (327,804) |
Total Distributions to shareholders | (1,781,962) | (327,804) |
Capital Share Transactions | ||
Net capital share transactions | (10,073,437) | (21,924,369) |
Total increase (decrease) in net assets from capital transactions | (10,073,437) | (21,924,369) |
Total Increase (Decrease) In Net Assets | (10,073,437) | (21,930,633) |
Net Assets(b) | ||
Beginning of year | $173,927,226 | $195,857,859 |
End of year | $163,853,789 | $173,927,226 |
(a) | Distributions from net investment income and from realized gains are no longer required to be separately disclosed. See Note 8. For the year ended December 31, 2017, distributions from net investment income and net realized gains were $327,804 and $0 for the Daily Income Fund, $760,216 and $26,366 for the Short-Term Government Securities Fund, $8,723,255 and $201,698 for the Short-Term Bond Fund, $1,289,561 and $0 for the Stock Index Fund, $19,512,051 and $38,098,789 for the Value Fund, $0 and $11,978,459 for the Growth Fund, $2,147,900 and $52,725,579 for the Small-Company Stock Fund, $695,011 and $0 for the International Equity Fund, respectively. |
(b) | Parenthetical disclosure of undistributed net investment income is no longer required. See Note 8. For the year ended December 31, 2017, end of year net assets included undistributed net investment income of -$63,625 for the Daily Income Fund, -$25,359 for the Short-Term Government Securities Fund, -$133,171 for the Short-Term Bond Fund, $605,727 for the Stock Index Fund, -$144,426 for the Value Fund, -$18,495 for the Growth Fund, -$150,589 for the Small-Company Stock Fund and -$47,771 for the International Equity Fund. |
Statements of Changes in Net Assets | The accompanying notes are an integral part of these financial statements. |
Short-Term Government Securities Fund | Short-Term Bond Fund | Stock Index Fund | |||
Year Ended December 31, 2018 | Year Ended December 31, 2017 | Year Ended December 31, 2018 | Year Ended December 31, 2017 | Year Ended December 31, 2018 | Year Ended December 31, 2017 |
$1,043,181 | $757,509 | $11,135,781 | $8,660,533 | $2,065,092 | $1,902,527 |
1,404 | 36,075 | 203,351 | 267,593 | 1,283,303 | 890,088 |
(143,002) | (143,248) | (1,270,313) | (920,260) | (10,109,545) | 22,891,278 |
901,583 | 650,336 | 10,068,819 | 8,007,866 | (6,761,150) | 25,683,893 |
(1,059,685) | (786,582) | (11,376,055) | (8,924,953) | (2,625,112) | (1,289,561) |
(1,059,685) | (786,582) | (11,376,055) | (8,924,953) | (2,625,112) | (1,289,561) |
1,651,517 | 2,452,567 | 13,097,696 | 10,145,252 | (1,773,979) | (2,338,989) |
1,651,517 | 2,452,567 | 13,097,696 | 10,145,252 | (1,773,979) | (2,338,989) |
1,493,415 | 2,316,321 | 11,790,460 | 9,228,165 | (11,160,241) | 22,055,343 |
$75,424,772 | $73,108,451 | $550,242,079 | $541,013,914 | $145,094,427 | $123,039,084 |
$76,918,187 | $75,424,772 | $562,032,539 | $550,242,079 | $133,934,186 | $145,094,427 |
The accompanying notes are an integral part of these financial statements. | Statements of Changes in Net Assets |
Value Fund | ||
Year Ended December 31, 2018 | Year Ended December 31, 2017 | |
Increase (Decrease) In Net Assets | ||
Operations | ||
Net investment income | $16,329,001 | $19,564,125 |
Net realized gain on investments | 81,100,003 | 38,097,841 |
Net change in unrealized appreciation (depreciation) | (156,332,971) | 149,259,290 |
Increase (decrease) in net assets from operations | (58,903,967) | 206,921,256 |
Distributions to Shareholders(a) | ||
Distributions to shareholders | (89,984,419) | (57,610,840) |
Total Distributions to shareholders | (89,984,419) | (57,610,840) |
Capital Share Transactions | ||
Net capital share transactions | (94,554,235) | 13,570,649 |
Total increase (decrease) in net assets from capital transactions | (94,554,235) | 13,570,649 |
Total Increase (Decrease) In Net Assets | (243,442,621) | 162,881,065 |
Net Assets(b) | ||
Beginning of year | $1,118,708,597 | $955,827,532 |
End of year | $875,265,976 | $1,118,708,597 |
(a) | Distributions from net investment income and from realized gains are no longer required to be separately disclosed. See Note 8. For the year ended December 31, 2017, distributions from net investment income and net realized gains were $327,804 and $0 for the Daily Income Fund, $760,216 and $26,366 for the Short-Term Government Securities Fund, $8,723,255 and $201,698 for the Short-Term Bond Fund, $1,289,561 and $0 for the Stock Index Fund, $19,512,051 and $38,098,789 for the Value Fund, $0 and $11,978,459 for the Growth Fund, $2,147,900 and $52,725,579 for the Small-Company Stock Fund, $695,011 and $0 for the International Equity Fund, respectively. |
(b) | Parenthetical disclosure of undistributed net investment income is no longer required. See Note 8. For the year ended December 31, 2017, end of year net assets included undistributed net investment income of -$63,625 for the Daily Income Fund, -$25,359 for the Short-Term Government Securities Fund, -$133,171 for the Short-Term Bond Fund, $605,727 for the Stock Index Fund, -$144,426 for the Value Fund, -$18,495 for the Growth Fund, -$150,589 for the Small-Company Stock Fund and -$47,771 for the International Equity Fund. |
Statements of Changes in Net Assets | The accompanying notes are an integral part of these financial statements. |
Growth Fund | Small-Company Stock Fund | International Equity Fund | |||
Year Ended December 31, 2018 | Year Ended December 31, 2017 | Year Ended December 31, 2018 | Year Ended December 31, 2017 | Year Ended December 31, 2018 | Year Ended December 31, 2017 |
$294,109 | $(177,856) | $2,568,725 | $1,768,637 | $1,042,997 | $665,498 |
19,033,343 | 12,531,408 | 217,695,361 | 61,526,126 | 1,091,500 | 1,442,275 |
(13,337,473) | 33,478,879 | (433,694,859) | 76,877,680 | (11,742,258) | 13,349,482 |
5,989,979 | 45,832,431 | (213,430,773) | 140,172,443 | (9,607,761) | 15,457,255 |
(20,113,936) | (11,978,459) | (122,418,197) | (54,873,479) | (1,151,141) | (695,011) |
(20,113,936) | (11,978,459) | (122,418,197) | (54,873,479) | (1,151,141) | (695,011) |
30,570,695 | 26,884,927 | (454,592,108) | (130,083,090) | 2,702,686 | 5,401,845 |
30,570,695 | 26,884,927 | (454,592,108) | (130,083,090) | 2,702,686 | 5,401,845 |
16,446,738 | 60,738,899 | (790,441,078) | (44,784,126) | (8,056,216) | 20,164,089 |
$178,020,391 | $117,281,492 | $1,277,433,648 | $1,322,217,774 | $74,138,092 | $53,974,003 |
$194,467,129 | $178,020,391 | $486,992,570 | $1,277,433,648 | $66,081,876 | $74,138,092 |
The accompanying notes are an integral part of these financial statements. | Statements of Changes in Net Assets |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
Income from investment operations | |||||
Net investment income | 0.01 | —(a,b,c) | —(a,b,c) | —(a,b,c) | —(a,b,c) |
Net realized and unrealized gain (loss) on investments | — | — | — | — | — |
Total from investment operations | 0.01 | — | — | — | — |
Distributions | |||||
Net investment income | (0.01) | —(c) | —(c) | —(c) | —(c) |
Net realized gain | — | — | — | — | — |
Total distributions | (0.01) | — | — | — | — |
Net Asset Value, End of Year | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
Total Return | 1.08% | 0.18% | 0.01% | 0.01% | 0.01% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $163,854 | $173,927 | $195,858 | $193,156 | $196,771 |
Ratio of net investment income to average net assets | 1.07% | 0.17%(a,b) | 0.00%(a,b,d) | 0.00%(a,b,d) | 0.00%(a,b,d) |
Ratio of gross expenses before voluntary expense limitation to average net assets | 0.74% | 0.71% | 0.71% | 0.68% | 0.66% |
Ratio of expenses to average net assets | 0.74% | 0.66%(a,b) | 0.37%(a,b) | 0.14%(a,b) | 0.09%(a,b) |
(a) | On January 27, 2009, RE Advisers voluntarily and temporarily reduced the amount of the expense limitation from 0.80% to 0.50%. Additionally, effective August 14, 2009, RE Advisers agreed to further waive fees or reimburse expenses to the extent necessary to assist the Fund in attempting to maintain a positive yield. The temporary waiver continued through May 11, 2017. |
(b) | Excludes excess investment management fees and other expenses voluntarily waived and reimbursed by RE Advisers. |
(c) | Less than $0.01 per share. |
(d) | Less than 0.01%. |
Financial Highlights | The accompanying notes are an integral part of these financial statements. |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $5.15 | $5.16 | $5.18 | $5.20 | $5.19 |
Income from investment operations | |||||
Net investment income | 0.07 | 0.05 | 0.04 | 0.04 | 0.05 |
Net realized and unrealized gain (loss) on investments | (0.01) | (0.01) | (0.02) | (0.02) | 0.01 |
Total from investment operations | 0.06 | 0.04 | 0.02 | 0.02 | 0.06 |
Distributions | |||||
Net investment income | (0.07) | (0.05) | (0.04) | (0.04) | (0.05) |
Net realized gain | —(a) | —(a) | —(a) | —(a) | —(a) |
Total distributions | (0.07) | (0.05) | (0.04) | (0.04) | (0.05) |
Net Asset Value, End of Year | $5.14 | $5.15 | $5.16 | $5.18 | $5.20 |
Total Return | 1.20% | 0.87% | 0.45% | 0.46% | 1.16% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $76,918 | $75,425 | $73,108 | $73,048 | $76,661 |
Ratio of net investment income to average net assets | 1.37%(b) | 1.02%(b) | 0.81%(b) | 0.84% | 0.95% |
Ratio of gross expenses before expense limitation to average net assets | 0.82% | 0.81% | 0.78% | 0.77% | 0.71% |
Ratio of expenses to average net assets | 0.75%(b) | 0.75%(b) | 0.75%(b) | 0.77% | 0.71% |
Portfolio turnover rate | 40% | 33% | 26% | 32% | 20% |
(a) | Less than $0.01 per share. |
(b) | Excludes expenses in excess of a 0.75% contractual expense limitation with RE Advisers, in effect through April 30, 2019. |
The accompanying notes are an integral part of these financial statements. | Financial Highlights |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $5.19 | $5.19 | $5.18 | $5.23 | $5.22 |
Income from investment operations | |||||
Net investment income | 0.10 | 0.08 | 0.08 | 0.07 | 0.07 |
Net realized and unrealized gain (loss) on investments | (0.02) | —(a) | 0.01 | (0.05) | 0.01 |
Total from investment operations | 0.08 | 0.08 | 0.09 | 0.02 | 0.08 |
Distributions | |||||
Net investment income | (0.10) | (0.08) | (0.08) | (0.07) | (0.07) |
Net realized gain | —(a) | —(a) | — | — | — |
Total distributions | (0.10) | (0.08) | (0.08) | (0.07) | (0.07) |
Net Asset Value, End of Year | $5.17 | $5.19 | $5.19 | $5.18 | $5.23 |
Total Return | 1.69% | 1.65% | 1.75% | 0.43% | 1.56% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $562,033 | $550,242 | $541,014 | $542,251 | $571,695 |
Ratio of net investment income to average net assets | 2.02% | 1.59% | 1.49% | 1.38% | 1.35% |
Ratio of expenses to average net assets | 0.77% | 0.76% | 0.76% | 0.74% | 0.73% |
Portfolio turnover rate | 39% | 32% | 31% | 20% | 26% |
(a) | Less than $0.01 per share. |
Financial Highlights | The accompanying notes are an integral part of these financial statements. |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $20.02 | $16.67 | $15.20 | $15.33 | $13.74 |
Income from investment operations | |||||
Net investment income | 0.32 | 0.27 | 0.25 | 0.25 | 0.22 |
Net realized and unrealized gain (loss) on investments | (1.30) | 3.26 | 1.47 | (0.13) | 1.59 |
Total from investment operations | (0.98) | 3.53 | 1.72 | 0.12 | 1.81 |
Distributions | |||||
Net investment income | (0.37) | (0.18) | (0.25) | (0.25) | (0.22) |
Net realized gain | — | — | — | — | — |
Total distributions | (0.37) | (0.18) | (0.25) | (0.25) | (0.22) |
Net Asset Value, End of Year | $18.67 | $20.02 | $16.67 | $15.20 | $15.33 |
Total Return | -4.95% | 21.16% | 11.33% | 0.79% | 13.15% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $133,934 | $145,094 | $123,039 | $114,436 | $116,163 |
Ratio of net investment income to average net assets | 1.39% | 1.42% | 1.57% | 1.49% | 1.49% |
Ratio of expenses to average net assets | 0.56% | 0.55% | 0.58% | 0.54% | 0.54% |
Portfolio turnover rate (a) | N/A | N/A | N/A | N/A | N/A |
(a) | See Appendix for the portfolio turnover of the S&P 500 Index Master Portfolio. |
The accompanying notes are an integral part of these financial statements. | Financial Highlights |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $55.26 | $47.70 | $46.77 | $50.79 | $45.46 |
Income from investment operations | |||||
Net investment income | 0.91 | 1.00 | 1.10 | 0.94 | 0.78 |
Net realized and unrealized gain (loss) on investments | (4.39) | 9.52 | 4.60 | (1.59) | 5.41 |
Total from investment operations | (3.48) | 10.52 | 5.70 | (0.65) | 6.19 |
Distributions | |||||
Net investment income | (0.91) | (1.00) | (1.10) | (0.94) | (0.78) |
Net realized gain | (4.23) | (1.96) | (3.67) | (2.43) | (0.08) |
Total distributions | (5.14) | (2.96) | (4.77) | (3.37) | (0.86) |
Net Asset Value, End of Year | $46.64 | $55.26 | $47.70 | $46.77 | $50.79 |
Total Return | -6.36% | 22.17% | 12.26% | -1.28% | 13.66% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $875,266 | $1,118,709 | $955,828 | $899,158 | $938,857 |
Ratio of net investment income to average net assets | 1.55% | 1.92% | 2.26% | 1.85% | 1.64% |
Ratio of expenses to average net assets | 0.60% | 0.60% | 0.62% | 0.59% | 0.61% |
Portfolio turnover rate | 1% | 7% | 9% | 8% | 2% |
Financial Highlights | The accompanying notes are an integral part of these financial statements. |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $10.36 | $8.07 | $8.00 | $7.79 | $7.92 |
Income from investment operations | |||||
Net investment income | 0.02 | — | — | — | — |
Net realized and unrealized gain (loss) on investments | 0.41 | 3.04 | 0.19 | 0.73 | 0.66 |
Total from investment operations | 0.43 | 3.04 | 0.19 | 0.73 | 0.66 |
Distributions | |||||
Net investment income | (0.02) | — | — | — | — |
Net realized gain | (1.09) | (0.75) | (0.12) | (0.52) | (0.79) |
Total distributions | (1.11) | (0.75) | (0.12) | (0.52) | (0.79) |
Net Asset Value, End of Year | $9.68 | $10.36 | $8.07 | $8.00 | $7.79 |
Total Return | 3.96% | 37.68% | 2.54% | 9.43% | 8.38% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $194,467 | $178,020 | $117,281 | $114,329 | $93,717 |
Ratio of net investment income (loss) to average net assets | 0.14% | (0.12)% | (0.14)%(a) | (0.32)% | (0.32)%(a) |
Ratio of gross expenses before expense limitation to average net assets | 0.86% | 0.93% | 0.98% | 0.95% | 0.97% |
Ratio of expenses to average net assets | 0.86% | 0.93% | 0.95%(a) | 0.95% | 0.95%(a) |
Portfolio turnover rate | 34% | 37% | 39% | 40% | 49% |
(a) | Excludes expenses in excess of a 0.95% contractual expense limitation with RE Advisers, in effect through April 30, 2019. |
The accompanying notes are an integral part of these financial statements. | Financial Highlights |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $44.11 | $41.13 | $35.45 | $39.28 | $36.86 |
Income from investment operations | |||||
Net investment income | 0.15 | 0.08 | 0.14 | 0.15 | 0.14 |
Net realized and unrealized gain (loss) on investments | (11.45) | 4.86 | 6.55 | (2.19) | 2.80 |
Total from investment operations | (11.30) | 4.94 | 6.69 | (2.04) | 2.94 |
Distributions | |||||
Net investment income | (0.15) | (0.08) | (0.14) | (0.15) | (0.14) |
Net realized gain | (7.09) | (1.88) | (0.87) | (1.64) | (0.38) |
Total distributions | (7.24) | (1.96) | (1.01) | (1.79) | (0.52) |
Net Asset Value, End of Year | $25.57 | $44.11 | $41.13 | $35.45 | $39.28 |
Total Return | -26.18% | 11.99% | 18.85% | -5.18% | 7.97% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $486,993 | $1,277,434 | $1,322,218 | $1,211,351 | $1,059,800 |
Ratio of net investment income to average net assets | 0.26% | 0.14% | 0.34% | 0.43% | 0.38% |
Ratio of expenses to average net assets | 0.90% | 0.88% | 0.89% | 0.86% | 0.89% |
Portfolio turnover rate | 5% | 7% | 14% | 16% | 3% |
Financial Highlights | The accompanying notes are an integral part of these financial statements. |
Year Ended December 31, | |||||
For a Share Outstanding Throughout Each Year | 2018 | 2017 | 2016 | 2015 | 2014 |
Net Asset Value, Beginning of Year | $8.49 | $6.69 | $6.44 | $7.17 | $8.13 |
Income from investment operations | |||||
Net investment income | 0.12 | 0.08 | 0.07 | 0.47 | 0.24 |
Net realized and unrealized gain (loss) on investments | (1.20) | 1.80 | 0.24 | (0.72) | (0.96) |
Total from investment operations | (1.08) | 1.88 | 0.31 | (0.25) | (0.72) |
Distributions | |||||
Net investment income | (0.13) | (0.08) | (0.06) | (0.48) | (0.24) |
Net realized gain | — | — | — | — | — |
Total distributions | (0.13) | (0.08) | (0.06) | (0.48) | (0.24) |
Net Asset Value, End of Year | $7.28 | $8.49 | $6.69 | $6.44 | $7.17 |
Total Return | -12.74% | 28.12% | 4.85% | -3.48% | -8.90% |
Ratios/Supplemental Data | |||||
Net assets, end of year (thousands) | $66,082 | $74,138 | $53,974 | $53,144 | $207,774 |
Ratio of net investment income to average net assets | 1.39%(a) | 1.03%(a) | 1.22%(a,b) | 1.87%(a,b) | 3.04% |
Ratio of gross expenses before voluntary expense limitation to average net assets | 1.23% | 1.25% | 1.46% | 1.01% | 0.97% |
Ratio of expenses to average net assets | 0.99%(a) | 0.99%(a) | 0.97%(a,b) | 0.87%(a,b) | 0.97% |
Portfolio turnover rate | 16% | 11% | 112%(c) | 62% | 24% |
(a) | Excludes expenses in excess of a 0.99% contractual expense limitation with RE Advisers, in effect through April 30, 2019. |
(b) | RE Adviser waived additional management fees equal to the difference between the fee that would have been paid to the previous subadviser, Mercator and the fee paid to SSgA Funds Management Inc., beginning September 7, 2015 through January 14, 2016, the period in which SSgA Funds Management Inc. was subadviser. |
(c) | Unusually high due to change in strategy and subadviser on January 15, 2016. |
The accompanying notes are an integral part of these financial statements. | Financial Highlights |
Notes to Financial Statements |
Daily Income Fund | Level 1 | Level 2 | Level 3 | Total |
U.S. Government & Agency Obligations | $ — | $154,949,433 | $ — | $154,949,433 |
Money Market Fund | 9,222,655 | — | — | 9,222,655 |
Total | $9,222,655 | $154,949,433 | $ — | $164,172,088 |
Notes to Financial Statements |
Short-Term Government Securities Fund | Level 1 | Level 2 | Level 3 | Total |
U.S. Government & Agency Obligations | $ — | $44,517,696 | $ — | $44,517,696 |
Corporate Bonds Guaranteed by Export-Import Bank of the United States | — | 16,351,039 | — | 16,351,039 |
Corporate Bonds–Other | — | 6,445,741 | — | 6,445,741 |
Asset-Backed Securities | — | 2,605,880 | — | 2,605,880 |
Mortgage-Backed Securities | — | 1,656,732 | — | 1,656,732 |
Municipal Bond | — | 221,555 | — | 221,555 |
Commercial Paper | — | 3,667,470 | — | 3,667,470 |
Certificates of Deposit | — | 1,191,262 | — | 1,191,262 |
Money Market Fund | 819 | — | — | 819 |
Total | $819 | $76,657,375 | $ — | $76,658,194 |
Short-Term Bond Fund | ||||
Corporate Bonds–Other | $ — | $209,044,289 | $ — | $209,044,289 |
Asset-Backed Securities | — | 121,388,634 | — | 121,388,634 |
Municipal Bonds | — | 81,323,271 | — | 81,323,271 |
U.S. Government & Agency Obligations | — | 63,538,643 | — | 63,538,643 |
Yankee Bonds | — | 57,474,207 | — | 57,474,207 |
Mortgage-Backed Securities | — | 4,317,951 | — | 4,317,951 |
Corporate Bond Guaranteed by Export-Import Bank of the United States | — | 304,088 | — | 304,088 |
Commercial Paper | — | 21,724,859 | — | 21,724,859 |
Money Market Fund | 1,937 | — | — | 1,937 |
Total | $1,937 | $559,115,942 | $ — | $559,117,879 |
Value Fund | ||||
Common Stocks | $863,780,598 | $ — | $ — | $863,780,598 |
Money Market Fund | 8,788,539 | — | — | 8,788,539 |
Total | $872,569,137 | $ — | $ — | $872,569,137 |
Growth Fund | ||||
Common Stocks | $190,270,908 | $ — | $ — | $190,270,908 |
Money Market Fund | 4,133,811 | — | — | 4,133,811 |
Total | $194,404,719 | $ — | $ — | $194,404,719 |
Small-Company Stock Fund | ||||
Common Stocks | $451,594,948 | $ — | $ — | $451,594,948 |
Exchange Traded Fund | 6,932,000 | — | — | 6,932,000 |
Money Market Fund | 30,867,942 | — | — | 30,867,942 |
Total | $489,394,890 | $ — | $ — | $489,394,890 |
International Equity Fund | ||||
Common Stocks | $9,408,630 | $52,956,058 | $ — | $62,364,688 |
Preferred Stocks | 1,623,457 | — | — | 1,623,457 |
Money Market Fund | 2,197,975 | — | — | 2,197,975 |
Total | $13,230,062 | $52,956,058 | $ — | $66,186,120 |
Notes to Financial Statements |
Notes to Financial Statements |
Undistributed Net Investment Income | Undistributed Capital Gains | Paid in Capital | |
Daily Income Fund | $— | $— | $— |
Short-Term Gov. Securities Fund | $(794) | $794 | $— |
Short-Term Bond Fund | $16,110 | $(16,110) | $— |
Stock Index Fund | $195,625 | $1,253,495 | $(1,449,120) |
Value Fund | $— | $— | $— |
Growth Fund | $(1,400) | $1,400 | $— |
Small-Company Stock Fund | $(58,256) | $(64,738,225) | $64,796,481 |
International Equity Fund | $(13,134) | $5,381,327 | $(5,368,193) |
Ordinary Income | Long-Term Gain | Return of Capital | Total Distributions | |
Daily Income Fund | $1,781,962 | $— | $— | $1,781,962 |
Short-Term Gov. Securities Fund | $1,044,071 | $15,614 | $— | $1,059,685 |
Short-Term Bond Fund | $11,180,740 | $195,315 | $— | $11,376,055 |
Stock Index Fund | $2,625,112 | $— | $— | $2,625,112 |
Value Fund | $16,389,345 | $73,595,074 | $— | $89,984,419 |
Growth Fund | $1,391,923 | $18,722,013 | $— | $20,113,936 |
Small-Company Stock Fund | $2,497,047 | $119,921,150 | $— | $122,418,197 |
International Equity Fund | $1,151,141 | $— | $— | $1,151,141 |
Ordinary Income | Long-Term Gain | Return of Capital | Total Distributions | |
Daily Income Fund | $327,804 | $— | $— | $327,804 |
Short-Term Gov. Securities Fund | $780,516 | $6,066 | $— | $786,582 |
Short-Term Bond Fund | $8,733,870 | $191,083 | $— | $8,924,953 |
Stock Index Fund | $1,289,561 | $— | $— | $1,289,561 |
Value Fund | $19,512,051 | $38,094,378 | $4,411 | $57,610,840 |
Growth Fund | $653 | $11,977,806 | $— | $11,978,459 |
Small-Company Stock Fund | $1,784,728 | $53,082,550 | $6,201 | $54,873,479 |
International Equity Fund | $677,198 | $— | $17,813 | $695,011 |
Notes to Financial Statements |
Undistributed Ordinary Income | Undistributed Long-Term Gain | Net Unrealized Appreciation/ Depreciation | Capital Loss Carryforward/ Late Year Loss Deferral | Other Book/Tax Differences | Total Distributable Earnings (Losses) | |
Daily Income Fund | $— | $— | $— | $— | $(63,625) | $(63,625) |
Short-Term Gov. Securities Fund | $— | $— | $(560,295) | $(4,886) | $(26,200) | $(591,381) |
Short-Term Bond Fund | $— | $— | $(3,033,191) | $(11,165) | $(140,503) | $(3,184,859) |
Stock Index Fund | $255,713 | $— | $83,859,500 | $— | $1,464,260 | $85,579,473 |
Value Fund | $19,004 | $7,504,929 | $404,433,166 | $— | $(223,774) | $411,733,325 |
Growth Fund | $14,575 | $1,887,858 | $43,891,079 | $(791,551) | $(18,495) | $44,983,466 |
Small-Company Stock Fund | $28,232 | $41,472,807 | $35,654,546 | $— | $(165,399) | $76,990,186 |
International Equity Fund | $— | $— | $5,241,709 | $(5,294,135) | $(48,741) | $(101,167) |
Tax Cost | Tax Appreciation | Tax Depreciation | Net Tax Appreciation (Depreciation) | |
Daily Income Fund | $164,172,088 | $— | $— | $— |
Short-Term Gov. Securities Fund | $77,218,489 | $62,669 | $(622,964) | $(560,295) |
Short-Term Bond Fund | $562,151,070 | $2,020,539 | $(5,053,730) | $(3,033,191) |
Value Fund | $468,135,971 | $411,955,635 | $(7,522,469) | $404,433,166 |
Growth Fund | $150,513,640 | $50,181,231 | $(6,290,152) | $43,891,079 |
Small-Company Stock Fund | $453,740,344 | $83,292,276 | $(47,637,730) | $35,654,546 |
International Equity Fund | $60,944,411 | $9,408,550 | $(4,166,841) | $5,241,709 |
Purchases | Proceeds from Sale | |
Short-Term Gov. Securities Fund | $7,046,590 | $11,321,716 |
Short-Term Bond Fund | $197,403,412 | $202,117,289 |
Value Fund | $11,351,250 | $167,187,627 |
Growth Fund | $77,202,025 | $68,147,495 |
Small-Company Stock Fund | $45,614,923 | $636,384,739 |
International Equity Fund | $14,178,235 | $11,506,432 |
Notes to Financial Statements |
Purchases | Proceeds from Sale | |
Short-Term Gov. Securities Fund | $27,620,991 | $15,716,776 |
Short-Term Bond Fund | $36,848,291 | $2,592,036 |
Notes to Financial Statements |
Shares Sold | Shares Issued In Reinvestment of Dividends | Total Shares Issued | Total Shares Redeemed | Net Increase (Decrease) | |
Year Ended December 31, 2018 | |||||
In Dollars | |||||
Daily Income Fund | $99,834,828 | $1,759,707 | $101,594,535 | $(111,667,972) | $(10,073,437) |
Short-Term Government Securities Fund | $13,050,967 | $1,047,397 | $14,098,364 | $(12,446,847) | $1,651,517 |
Short-Term Bond Fund | $92,746,007 | $11,174,708 | $103,920,715 | $(90,823,019) | $13,097,696 |
Stock Index Fund | $19,057,748 | $2,608,256 | $21,666,004 | $(23,439,983) | $(1,773,979) |
Value Fund | $92,336,077 | $87,189,015 | $179,525,092 | $(274,079,327) | $(94,554,235) |
Growth Fund | $51,575,108 | $19,984,976 | $71,560,084 | $(40,989,389) | $30,570,695 |
Small-Company Stock Fund | $96,766,231 | $120,348,694 | $217,114,925 | $(671,707,033) | $(454,592,108) |
International Equity Fund | $10,465,592 | $1,138,797 | $11,604,389 | $(8,901,703) | $2,702,686 |
In Shares | |||||
Daily Income Fund | 99,834,828 | 1,759,707 | 101,594,535 | (111,667,972) | (10,073,437) |
Short-Term Government Securities Fund | 2,546,237 | 204,330 | 2,750,567 | (2,428,212) | 322,355 |
Short-Term Bond Fund | 17,930,290 | 2,160,822 | 20,091,112 | (17,558,653) | 2,532,459 |
Stock Index Fund | 926,146 | 135,267 | 1,061,413 | (1,134,986) | (73,573) |
Value Fund | 1,675,097 | 1,843,395 | 3,518,492 | (4,996,418) | (1,477,926) |
Growth Fund | 4,553,819 | 2,027,070 | 6,580,889 | (3,662,673) | 2,918,216 |
Small-Company Stock Fund | 2,368,470 | 4,481,052 | 6,849,522 | (16,759,137) | (9,909,615) |
International Equity Fund | 1,233,468 | 156,000 | 1,389,468 | (1,049,807) | 339,661 |
Notes to Financial Statements |
Shares Sold | Shares Issued In Reinvestment of Dividends | Total Shares Issued | Total Shares Redeemed | Net Increase (Decrease) | |
Year Ended December 31, 2017 | |||||
In Dollars | |||||
Daily Income Fund | $106,733,220 | $322,539 | $107,055,759 | $(128,980,128) | $(21,924,369) |
Short-Term Government Securities Fund | $14,556,313 | $774,324 | $15,330,637 | $(12,878,070) | $2,452,567 |
Short-Term Bond Fund | $78,765,070 | $8,736,276 | $87,501,346 | $(77,356,094) | $10,145,252 |
Stock Index Fund | $16,292,299 | $1,281,692 | $17,573,991 | $(19,912,980) | $(2,338,989) |
Value Fund | $89,125,547 | $56,692,399 | $145,817,946 | $(132,247,297) | $13,570,649 |
Growth Fund | $39,036,609 | $11,945,685 | $50,982,294 | $(24,097,367) | $26,884,927 |
Small-Company Stock Fund | $170,128,814 | $54,342,130 | $224,470,944 | $(354,554,034) | $(130,083,090) |
International Equity Fund | $11,961,638 | $688,038 | $12,649,676 | $(7,247,831) | $5,401,845 |
In Shares | |||||
Daily Income Fund | 106,733,220 | 322,539 | 107,055,759 | (128,980,128) | (21,924,369) |
Short-Term Government Securities Fund | 2,814,475 | 149,767 | 2,964,242 | (2,489,172) | 475,070 |
Short-Term Bond Fund | 15,130,563 | 1,678,281 | 16,808,844 | (14,861,983) | 1,946,861 |
Stock Index Fund | 891,000 | 63,639 | 954,639 | (1,088,323) | (133,684) |
Value Fund | 1,740,708 | 1,040,240 | 2,780,948 | (2,571,633) | 209,315 |
Growth Fund | 3,965,416 | 1,149,309 | 5,114,725 | (2,471,889) | 2,642,836 |
Small-Company Stock Fund | 4,049,254 | 1,226,682 | 5,275,936 | (8,467,705) | (3,191,769) |
International Equity Fund | 1,525,545 | 81,594 | 1,607,139 | (934,627) | 672,512 |
Notes to Financial Statements |
Independent | (Unaudited)
Name, Address and Date of Birth | Position(s) Held With the Fund | Term of Office and Length of Time Served | Principal Occupation(s) During Past Five Years | Number of Portfolios Overseen by Director | Other Directorships Held by Director |
James F. Perna 4301 Wilson Boulevard Arlington, VA 22203 12/01/47 | Director; Chairman of the Board; Member of Audit Committee; Member of Compensation Committee | 1990-Present | Solo Practitioner (attorney) (2008-Present). | 8 | None |
Douglas W. Johnson 4301 Wilson Boulevard Arlington, VA 22203 06/02/55 | Director; Chairman of the Audit Committee; Member of Compensation Committee | 2003-Present | CEO, Blue Ridge (Electric Membership Corporation) (1989-Present). | 8 | None |
Kenneth R. Meyer 4301 Wilson Boulevard Arlington, VA 22203 08/11/44 | Director; Chairman of Compensation Committee; Member of Audit Committee | 2005-Present | Retired (2004-Present). | 8 | None |
Anthony M. Marinello 4301 Wilson Boulevard Arlington, VA 22203 04/13/46 | Director; Member of Audit Committee; Member of Compensation Committee | 1990-Present | Retired (2004-Present). | 8 | None |
Sheldon C. Petersen 4301 Wilson Boulevard Arlington, VA 22203 02/21/53 | Director; Member of Audit Committee; Member of Compensation Committee | 2005-Present | CEO, National Rural Utilities Cooperative Finance Corporation (1995-Present). | 8 | None |
Mark Rose 4301 Wilson Boulevard Arlington, VA 22203 04/19/53 | Director; Member of Audit Committee; Member of Compensation Committee | 2005-Present | Consultant, Public Affairs (self-employed) (2017-Present) CEO and General Manager, Bluebonnet Electric Cooperative (2012-2017). | 8 | None |
Peter J. Tonetti 4301 Wilson Boulevard Arlington, VA 22203 02/11/53 | Director; Member of Audit Committee; Member of Compensation Committee | 2010-Present | Retired (2015-Present); Chief Investment Officer, Hamilton College (2008-2015). | 8 | None |
Interested | (Unaudited)
Name, Address and Date of Birth | Position(s) Held With the Fund | Term of Office and Length of Time Served | Principal Occupation(s) During Past Five Years | Number of Portfolios Overseen by Director | Other Directorships Held by Director |
Mark D. Santero (1) 4301 Wilson Boulevard Arlington, VA 22203 5/29/61 | Director; President; Chief Executive Officer | 2018-present | RE Advisers Corporation, President, Chief Executive Officer and Director (2018-Present); Chief Executive Officer, The Dreyfus Corporation (2016-2017); Chief Operating Officer, BNY Mellon Investment Management (2014-2016); OppenheimerFunds Distributor, Inc., Managing Director and Head of Private Client and Trust Banking Group (2010-2014) | 8 | Not Applicable |
Danielle C. Sieverling 4301 Wilson Boulevard Arlington, VA 22303 02/25/71 | Chief Compliance Officer | 2005-present | Secretary, RE Advisers (2017-2018); Chief Compliance Officer, RE Advisers (2005-present); Vice President, Chief Risk and Compliance Officer, NRECA (2015-present); Vice President and Chief Compliance Officer, Management Advisory Services, NRECA (2008-2015); Chief Compliance Officer, Chief Executive Officer, and Director, RE Investment Corporation (2017 present); Director, RE Investment Corporation (2016);Vice President and Director, RE Investment Corporation (2015-2016); Chief Compliance Officer, RE Investment Corporation (2005-2014) | Not Applicable | Not Applicable |
Amy M. DiMauro 4301 Wilson Boulevard Arlington, VA 22203 07/29/71 | Treasurer | 2007-present | Treasurer and Director, RE Investment Corporation (2006-present); Treasurer and Director, RE Advisers Corporation (2010-present); Senior Director, Finance & Accounting — Mutual Funds, NRECA (2014-present); Director, Finance & Accounting — Mutual Funds, NRECA (2007-2014); Treasurer and Director, Electric Cooperative Life Insurance Co. (2013-present); Treasurer and Director, Cooperating Insurance Services Co. (2013-present) | Not Applicable | Not Applicable |
John (Jack) Delaney 4301 Wilson Boulevard Arlington, VA 22203 12/19/83 | Secretary | 2017-present | Secretary, RE Advisers (2018-present); Counsel, Securities Compliance, NRECA (2017-Present); Senior Counsel, The Rock Creek Group, LP (2014-2017); Associate Attorney, Ruddy Law Office PLLC (2011-2014) | Not Applicable | Not Applicable |
Jennifer (Laurie) Webster 4301 Wilson Boulevard Arlington, VA 22203 12/19/63 | Chief Operations Officer | 2017-present | President and Director, RE Investment Corporation (2018-present); Chief Operations Officer, RE Investment Corporation (2017-present); Vice President of Operations and Client Services, RE Advisers (2017-present); Chief Operating Officer, Solomon Hess Capital Management (2017-2017); V.P. Investment Operations and Indexing, Calvert Investments (2014-2017); Director Securities Operations, Calvert Investments (2006-2014) | Not Applicable | Not Applicable |
(1) | Mr. Santero is a director who is an “interested person” of Homestead Funds within the meaning of Section 2(a)(19) of the 1940 Act due to his affiliation with RE Advisers and its affiliates. |
Fund | Qualified Dividend Income for Individuals | Dividends Received Deduction for Corporations |
Daily Income Fund | 0% | 0% |
Short-Term Government Securities Fund | 0% | 0% |
Short-Term Bond Fund | 0% | 0% |
Stock Index Fund | 95% | 89% |
Value Fund | 100% | 98% |
Growth Fund | 100% | 96% |
Small-Company Stock Fund | 90% | 90% |
International Equity Fund | 84% | 84% |
Fund | Record Date | Distributions of Short-Term Capital Gains | Distributions of Long-Term Capital Gains |
Short-Term Government Securities Fund | 6/28/2018 | $– | $0.0011 |
Short-Term Bond Fund | 6/28/2018 | $0.0001 | $0.0002 |
Short-Term Bond Fund | 12/14/2018 | $– | $0.0017 |
Value Fund | 12/14/2018 | $– | $4.2282 |
Growth Fund | 6/28/2018 | $0.0026 | $0.0922 |
Growth Fund | 12/14/2018 | $0.0583 | $0.9343 |
Small-Company Stock Fund | 6/28/2018 | $– | $0.3874 |
Small-Company Stock Fund | 12/14/2018 | $– | $6.7022 |
Common Stocks | 99.2% of net assets | ||
Shares | Value | |
Aerospace & Defense | 2.5% | ||
Arconic, Inc. | 341,858 | $5,763,726 |
Boeing Co. | 428,984 | 138,347,340 |
General Dynamics Corp. | 227,286 | 35,731,632 |
Harris Corp. | 97,397 | 13,114,506 |
Huntington Ingalls Industries, Inc. | 33,853 | 6,442,564 |
L3 Technologies, Inc. | 65,545 | 11,382,545 |
Lockheed Martin Corp. | 201,269 | 52,700,275 |
Northrop Grumman Corp. | 141,439 | 34,638,411 |
Raytheon Co. | 232,252 | 35,615,844 |
Textron, Inc. | 201,917 | 9,286,163 |
TransDigm Group, Inc. (a) | 40,064 | 13,624,164 |
United Technologies Corp. | 660,214 | 70,299,587 |
Total Aerospace & Defense | 426,946,757 | |
Air Freight & Logistics | 0.6% | ||
C.H. Robinson Worldwide, Inc. | 108,947 | 9,161,353 |
Expeditors International of Washington, Inc. | 138,922 | 9,459,199 |
FedEx Corp. | 198,649 | 32,048,043 |
United Parcel Service, Inc., Class B | 566,300 | 55,231,239 |
Total Air Freight & Logistics | 105,899,834 | |
Airlines | 0.4% | ||
Alaska Air Group, Inc. | 97,974 | 5,961,718 |
American Airlines Group, Inc. | 325,899 | 10,464,617 |
Delta Air Lines, Inc. | 512,953 | 25,596,354 |
Southwest Airlines Co. | 414,210 | 19,252,481 |
United Continental Holdings, Inc. (a) | 187,441 | 15,694,435 |
Total Airlines | 76,969,605 | |
Auto Components | 0.1% | ||
Aptiv PLC | 221,644 | 13,646,621 |
BorgWarner, Inc. | 166,763 | 5,793,346 |
Goodyear Tire & Rubber Co. | 178,104 | 3,635,103 |
Total Auto Components | 23,075,070 | |
Automobiles | 0.4% | ||
Ford Motor Co. | 3,212,762 | 24,577,629 |
General Motors Co. | 1,073,242 | 35,899,945 |
Harley-Davidson, Inc. | 128,117 | 4,371,352 |
Total Automobiles | 64,848,926 | |
Banks | 5.6% | ||
Bank of America Corp. | 7,418,602 | 182,794,353 |
BB&T Corp. | 628,862 | 27,242,302 |
Citigroup, Inc. | 1,990,808 | 103,641,464 |
Citizens Financial Group, Inc. | 395,170 | 11,748,404 |
Comerica, Inc. | 129,051 | 8,864,513 |
Fifth Third Bancorp | 546,407 | 12,856,957 |
First Republic Bank | 135,767 | 11,798,152 |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Banks | 5.6% (Continued) | ||
Huntington Bancshares, Inc. | 848,449 | $10,113,512 |
JPMorgan Chase & Co. | 2,699,522 | 263,527,338 |
KeyCorp | 828,871 | 12,250,713 |
M&T Bank Corp. | 116,427 | 16,664,197 |
People's United Financial, Inc. | 288,648 | 4,165,191 |
PNC Financial Services Group, Inc. (b) | 375,510 | 43,900,874 |
Regions Financial Corp. | 833,745 | 11,155,508 |
SunTrust Banks, Inc. | 372,254 | 18,776,492 |
SVB Financial Group (a) | 42,320 | 8,037,414 |
U.S. Bancorp | 1,235,788 | 56,475,512 |
Wells Fargo & Co. | 3,446,830 | 158,829,926 |
Zions Bancorporation | 169,912 | 6,922,215 |
Total Banks | 969,765,037 | |
Beverages | 1.9% | ||
Brown-Forman Corp., Class B | 140,474 | 6,683,753 |
Coca-Cola Co. | 3,107,865 | 147,157,408 |
Constellation Brands, Inc., Class A | 135,909 | 21,856,885 |
Molson Coors Brewing Co., Class B | 149,204 | 8,379,297 |
Monster Beverage Corp. (a) | 327,366 | 16,112,954 |
PepsiCo, Inc. | 1,147,079 | 126,729,288 |
Total Beverages | 326,919,585 | |
Biotechnology | 2.6% | ||
AbbVie, Inc. | 1,223,789 | 112,821,108 |
Alexion Pharmaceuticals, Inc. (a) | 183,191 | 17,835,476 |
Amgen, Inc. | 517,553 | 100,752,043 |
Biogen, Inc. (a) | 164,209 | 49,413,772 |
Celgene Corp. (a) | 571,377 | 36,619,552 |
Gilead Sciences, Inc. | 1,053,135 | 65,873,594 |
Incyte Corp. (a) | 140,255 | 8,918,815 |
Regeneron Pharmaceuticals, Inc. (a) | 63,237 | 23,619,020 |
Vertex Pharmaceuticals, Inc. (a) | 208,396 | 34,533,301 |
Total Biotechnology | 450,386,681 | |
Building Products | 0.3% | ||
Allegion PLC | 75,427 | 6,012,286 |
AO Smith Corp. | 112,161 | 4,789,275 |
Fortune Brands Home & Security, Inc. | 110,954 | 4,215,143 |
Johnson Controls International PLC | 756,759 | 22,437,904 |
Masco Corp. | 243,172 | 7,110,349 |
Total Building Products | 44,564,957 | |
Capital Markets | 2.7% | ||
Affiliated Managers Group, Inc. | 41,062 | 4,001,081 |
Ameriprise Financial, Inc. | 115,616 | 12,066,842 |
Bank of New York Mellon Corp. | 743,335 | 34,988,778 |
Appendix | The accompanying notes are an integral part of these financial statements. |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Capital Markets | 2.7% (Continued) | ||
BlackRock, Inc. (b) | 98,827 | $38,821,222 |
Cboe Global Markets, Inc. | 89,139 | 8,720,468 |
Charles Schwab Corp. | 981,869 | 40,777,020 |
CME Group, Inc. | 290,773 | 54,700,217 |
E*Trade Financial Corp. | 202,442 | 8,883,155 |
Franklin Resources, Inc. | 234,994 | 6,969,922 |
Goldman Sachs Group, Inc. | 282,687 | 47,222,863 |
Intercontinental Exchange, Inc. | 464,012 | 34,954,024 |
Invesco Ltd. | 327,515 | 5,482,601 |
Moody's Corp. | 136,735 | 19,148,369 |
Morgan Stanley | 1,070,571 | 42,448,140 |
MSCI, Inc. | 70,484 | 10,391,456 |
Nasdaq, Inc. | 91,261 | 7,444,160 |
Northern Trust Corp. | 183,352 | 15,326,394 |
Raymond James Financial, Inc. | 107,809 | 8,022,068 |
S&P Global, Inc. | 204,305 | 34,719,592 |
State Street Corp. | 312,117 | 19,685,219 |
T. Rowe Price Group, Inc. | 197,462 | 18,229,692 |
Total Capital Markets | 473,003,283 | |
Chemicals | 2.1% | ||
Air Products & Chemicals, Inc. | 178,647 | 28,592,452 |
Albemarle Corp. | 84,262 | 6,494,072 |
Celanese Corp., Series A | 111,857 | 10,063,774 |
CF Industries Holdings, Inc. | 183,499 | 7,984,042 |
DowDuPont, Inc. | 1,871,326 | 100,078,514 |
Eastman Chemical Co. | 111,653 | 8,162,951 |
Ecolab, Inc. | 206,675 | 30,453,561 |
FMC Corp. | 106,998 | 7,913,572 |
International Flavors & Fragrances, Inc. | 84,285 | 11,316,947 |
Linde PLC | 448,068 | 69,916,531 |
LyondellBasell Industries NV, Class A | 258,818 | 21,523,305 |
Mosaic Co. | 281,703 | 8,228,545 |
PPG Industries, Inc. | 195,880 | 20,024,812 |
Sherwin-Williams Co. | 67,060 | 26,385,428 |
Total Chemicals | 357,138,506 | |
Commercial Services & Supplies | 0.4% | ||
Cintas Corp. | 71,953 | 12,087,384 |
Copart, Inc. (a) | 163,712 | 7,822,159 |
Republic Services, Inc. | 180,384 | 13,003,883 |
Rollins, Inc. | 113,328 | 4,091,141 |
Waste Management, Inc. | 318,486 | 28,342,069 |
Total Commercial Services & Supplies | 65,346,636 | |
Communications Equipment | 1.1% | ||
Arista Networks, Inc. (a) | 41,379 | 8,718,556 |
Cisco Systems, Inc. | 3,659,285 | 158,556,819 |
F5 Networks, Inc. (a) | 48,294 | 7,825,077 |
Juniper Networks, Inc. | 273,875 | 7,369,976 |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Communications Equipment | 1.1% (Continued) | ||
Motorola Solutions, Inc. | 135,278 | $15,562,381 |
Total Communications Equipment | 198,032,809 | |
Construction & Engineering | 0.1% | ||
Fluor Corp. | 106,594 | 3,432,327 |
Jacobs Engineering Group, Inc. | 95,037 | 5,555,863 |
Quanta Services, Inc. | 116,201 | 3,497,650 |
Total Construction & Engineering | 12,485,840 | |
Construction Materials | 0.1% | ||
Martin Marietta Materials, Inc. | 49,878 | 8,572,532 |
Vulcan Materials Co. | 105,823 | 10,455,312 |
Total Construction Materials | 19,027,844 | |
Consumer Finance | 0.7% | ||
American Express Co. | 570,527 | 54,382,634 |
Capital One Financial Corp. | 390,922 | 29,549,794 |
Discover Financial Services | 277,910 | 16,391,132 |
Synchrony Financial | 529,981 | 12,433,354 |
Total Consumer Finance | 112,756,914 | |
Containers & Packaging | 0.3% | ||
Avery Dennison Corp. | 73,011 | 6,558,578 |
Ball Corp. | 272,557 | 12,532,171 |
International Paper Co. | 337,912 | 13,638,128 |
Packaging Corp. of America | 74,956 | 6,255,828 |
Sealed Air Corp. | 123,671 | 4,308,698 |
WestRock Co. | 201,966 | 7,626,236 |
Total Containers & Packaging | 50,919,639 | |
Distributors | 0.1% | ||
Genuine Parts Co. | 117,590 | 11,290,992 |
LKQ Corp. (a) | 249,504 | 5,920,730 |
Total Distributors | 17,211,722 | |
Diversified Consumer Services | 0.0% | ||
H&R Block, Inc. | 162,767 | 4,129,399 |
Total Diversified Consumer Services | 4,129,399 | |
Diversified Financial Services | 1.9% | ||
Berkshire Hathaway, Inc., Class B (a) | 1,581,022 | 322,813,072 |
Jefferies Financial Group, Inc. | 226,543 | 3,932,786 |
Total Diversified Financial Services | 326,745,858 | |
Diversified Telecommunication Services | 2.1% | ||
AT&T, Inc. | 5,923,729 | 169,063,225 |
CenturyLink, Inc. | 783,101 | 11,863,980 |
The accompanying notes are an integral part of these financial statements. | Appendix |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Diversified Telecommunication Services | 2.1% (Continued) | ||
Verizon Communications, Inc. | 3,359,635 | $188,878,680 |
Total Diversified Telecommunication Services | 369,805,885 | |
Electric Utilities | 2.0% | ||
Alliant Energy Corp. | 187,487 | 7,921,326 |
American Electric Power Co., Inc. | 398,438 | 29,779,256 |
Duke Energy Corp. | 576,733 | 49,772,058 |
Edison International | 265,461 | 15,070,221 |
Entergy Corp. | 149,796 | 12,892,942 |
Evergy, Inc. | 217,814 | 12,365,301 |
Eversource Energy | 260,648 | 16,952,546 |
Exelon Corp. | 782,343 | 35,283,669 |
FirstEnergy Corp. | 398,299 | 14,956,127 |
NextEra Energy, Inc. | 385,535 | 67,013,694 |
PG&E Corp. (a) | 411,966 | 9,784,192 |
Pinnacle West Capital Corp. | 89,581 | 7,632,301 |
PPL Corp. | 590,949 | 16,741,585 |
Southern Co. | 836,566 | 36,741,979 |
Xcel Energy, Inc. | 418,295 | 20,609,395 |
Total Electric Utilities | 353,516,592 | |
Electrical Equipment | 0.5% | ||
AMETEK, Inc. | 191,707 | 12,978,564 |
Eaton Corp. PLC | 354,261 | 24,323,560 |
Emerson Electric Co. | 510,668 | 30,512,413 |
Rockwell Automation, Inc. | 99,491 | 14,971,406 |
Total Electrical Equipment | 82,785,943 | |
Electronic Equipment, Instruments & Components | 0.5% | ||
Amphenol Corp., Class A | 245,630 | 19,900,942 |
Corning, Inc. | 655,695 | 19,808,546 |
FLIR Systems, Inc. | 117,964 | 5,136,152 |
IPG Photonics Corp. (a)(c) | 28,468 | 3,225,140 |
Keysight Technologies, Inc. (a)(c) | 148,733 | 9,233,345 |
TE Connectivity Ltd. | 280,854 | 21,240,988 |
Total Electronic Equipment, Instruments & Components | 78,545,113 | |
Energy Equipment & Services | 0.5% | ||
Baker Hughes a GE Co. | 406,947 | 8,749,360 |
Halliburton Co. | 720,748 | 19,157,482 |
Helmerich & Payne, Inc. | 86,463 | 4,145,036 |
National Oilwell Varco, Inc. | 304,208 | 7,818,146 |
Schlumberger Ltd. | 1,137,997 | 41,058,932 |
TechnipFMC PLC | 339,977 | 6,656,750 |
Total Energy Equipment & Services | 87,585,706 | |
Entertainment | 0.8% | ||
Activision Blizzard, Inc. | 622,893 | 29,008,127 |
Electronic Arts, Inc. (a) | 247,957 | 19,566,287 |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Entertainment | 0.8% (Continued) | ||
Netflix, Inc. (a) | 355,186 | $95,069,085 |
Total Entertainment | 143,643,499 | |
Equity Real Estate Investment Trusts (REITs) | 2.9% | ||
Alexandria Real Estate Equities, Inc. (c) | 92,153 | 10,619,712 |
American Tower Corp. | 357,515 | 56,555,298 |
Apartment Investment & Management Co., Class A | 124,190 | 5,449,457 |
AvalonBay Communities, Inc. | 114,660 | 19,956,573 |
Boston Properties, Inc. | 128,040 | 14,410,902 |
Crown Castle International Corp. (c) | 337,162 | 36,625,908 |
Digital Realty Trust, Inc. (c) | 169,518 | 18,062,143 |
Duke Realty Corp. | 282,346 | 7,312,761 |
Equinix, Inc. | 65,823 | 23,206,557 |
Equity Residential | 303,181 | 20,012,978 |
Essex Property Trust, Inc. | 54,620 | 13,393,370 |
Extra Space Storage, Inc. (c) | 101,159 | 9,152,866 |
Federal Realty Investment Trust (c) | 58,674 | 6,925,879 |
HCP, Inc. (c) | 394,067 | 11,006,291 |
Host Hotels & Resorts, Inc. | 587,833 | 9,799,176 |
Iron Mountain, Inc. | 227,333 | 7,367,863 |
Kimco Realty Corp. | 327,508 | 4,797,992 |
Macerich Co. (c) | 84,574 | 3,660,363 |
Mid-America Apartment Communities, Inc. | 90,873 | 8,696,546 |
Prologis, Inc. | 515,336 | 30,260,530 |
Public Storage (c) | 122,299 | 24,754,541 |
Realty Income Corp. | 242,553 | 15,290,541 |
Regency Centers Corp. | 135,215 | 7,934,416 |
SBA Communications Corp. (a)(c) | 93,147 | 15,079,568 |
Simon Property Group, Inc. | 252,034 | 42,339,192 |
SL Green Realty Corp. (c) | 67,577 | 5,343,989 |
UDR, Inc. | 218,971 | 8,675,631 |
Ventas, Inc. (c) | 291,737 | 17,092,871 |
Vornado Realty Trust | 137,769 | 8,545,811 |
Welltower, Inc. (c) | 306,752 | 21,291,656 |
Weyerhaeuser Co. | 621,963 | 13,596,111 |
Total Equity Real Estate Investment Trusts (REITs) | 497,217,492 | |
Food & Staples Retailing | 1.5% | ||
Costco Wholesale Corp. | 357,246 | 72,774,583 |
Kroger Co. | 651,913 | 17,927,607 |
Sysco Corp. | 390,426 | 24,464,093 |
Walgreens Boots Alliance, Inc. | 656,392 | 44,851,265 |
Walmart, Inc. | 1,158,132 | 107,879,996 |
Total Food & Staples Retailing | 267,897,544 | |
Food Products | 1.1% | ||
Archer-Daniels-Midland Co. | 458,597 | 18,788,719 |
Appendix | The accompanying notes are an integral part of these financial statements. |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Food Products | 1.1% (Continued) | ||
Campbell Soup Co. | 153,093 | $5,050,538 |
Conagra Brands, Inc. | 385,346 | 8,230,990 |
General Mills, Inc. | 487,545 | 18,985,002 |
Hershey Co. | 112,215 | 12,027,204 |
Hormel Foods Corp. | 216,638 | 9,246,110 |
J.M. Smucker Co. | 90,226 | 8,435,229 |
Kellogg Co. | 209,079 | 11,919,594 |
Kraft Heinz Co. | 515,749 | 22,197,837 |
Lamb Weston Holdings, Inc. | 121,446 | 8,933,568 |
McCormick & Co., Inc. | 100,395 | 13,979,000 |
Mondelez International, Inc., Class A | 1,183,371 | 47,370,341 |
Tyson Foods, Inc., Class A | 244,391 | 13,050,479 |
Total Food Products | 198,214,611 | |
Health Care Equipment & Supplies | 3.4% | ||
Abbott Laboratories | 1,426,328 | 103,166,304 |
ABIOMED, Inc. (a) | 37,398 | 12,155,846 |
Align Technology, Inc. (a) | 60,034 | 12,572,921 |
Baxter International, Inc. | 403,483 | 26,557,251 |
Becton, Dickinson & Co. | 218,659 | 49,268,246 |
Boston Scientific Corp. (a) | 1,127,328 | 39,839,772 |
Cooper Cos., Inc. | 39,378 | 10,021,701 |
Danaher Corp. | 500,974 | 51,660,439 |
Dentsply Sirona, Inc. | 177,298 | 6,597,259 |
Edwards Lifesciences Corp. (a) | 170,390 | 26,098,636 |
Hologic, Inc. (a) | 214,270 | 8,806,497 |
IDEXX Laboratories, Inc. (a) | 71,317 | 13,266,388 |
Intuitive Surgical, Inc. (a) | 93,301 | 44,683,715 |
Medtronic PLC | 1,091,802 | 99,310,310 |
ResMed, Inc. | 117,913 | 13,426,753 |
Stryker Corp. | 253,113 | 39,675,463 |
Varian Medical Systems, Inc. (a)(c) | 72,395 | 8,203,077 |
Zimmer Biomet Holdings, Inc. | 167,668 | 17,390,525 |
Total Health Care Equipment & Supplies | 582,701,103 | |
Health Care Providers & Services | 3.2% | ||
AmerisourceBergen Corp. | 124,565 | 9,267,636 |
Anthem, Inc. | 210,484 | 55,279,413 |
Cardinal Health, Inc. | 238,006 | 10,615,068 |
Centene Corp. (a) | 167,119 | 19,268,821 |
Cigna Corp. (c) | 310,561 | 58,981,745 |
CVS Health Corp. | 1,054,857 | 69,114,231 |
DaVita, Inc. (a) | 100,411 | 5,167,150 |
HCA Healthcare, Inc. | 219,296 | 27,291,387 |
Henry Schein, Inc. (a) | 121,008 | 9,501,548 |
Humana, Inc. | 112,843 | 32,327,263 |
Laboratory Corp. of America Holdings (a) | 80,802 | 10,210,141 |
McKesson Corp. | 161,421 | 17,832,178 |
Quest Diagnostics, Inc. | 108,467 | 9,032,047 |
UnitedHealth Group, Inc. | 782,326 | 194,893,053 |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Health Care Providers & Services | 3.2% (Continued) | ||
Universal Health Services, Inc., Class B | 71,817 | $8,370,989 |
WellCare Health Plans, Inc. (a) | 39,702 | 9,373,245 |
Total Health Care Providers & Services | 546,525,915 | |
Health Care Technology | 0.1% | ||
Cerner Corp. (a) | 271,259 | 14,224,822 |
Total Health Care Technology | 14,224,822 | |
Hotels, Restaurants & Leisure | 1.8% | ||
Carnival Corp. | 328,205 | 16,180,507 |
Chipotle Mexican Grill, Inc. (a) | 19,446 | 8,396,588 |
Darden Restaurants, Inc. | 103,045 | 10,290,074 |
Hilton Worldwide Holdings, Inc. | 244,453 | 17,551,725 |
Marriott International, Inc., Class A | 230,943 | 25,071,172 |
McDonald's Corp. | 627,040 | 111,343,493 |
MGM Resorts International | 417,840 | 10,136,798 |
Norwegian Cruise Line Holdings Ltd. (a) | 174,241 | 7,386,076 |
Royal Caribbean Cruises Ltd. | 140,499 | 13,739,397 |
Starbucks Corp. | 1,009,956 | 65,041,167 |
Wynn Resorts Ltd. | 78,376 | 7,752,170 |
Yum! Brands, Inc. | 255,012 | 23,440,703 |
Total Hotels, Restaurants & Leisure | 316,329,870 | |
Household Durables | 0.3% | ||
D.R. Horton, Inc. | 272,286 | 9,437,433 |
Garmin Ltd. | 97,192 | 6,154,197 |
Leggett & Platt, Inc. | 104,824 | 3,756,892 |
Lennar Corp., Class A | 233,087 | 9,125,356 |
Mohawk Industries, Inc. (a) | 50,377 | 5,892,094 |
Newell Brands, Inc. | 362,328 | 6,735,678 |
PulteGroup, Inc. | 204,600 | 5,317,554 |
Whirlpool Corp. | 50,020 | 5,345,637 |
Total Household Durables | 51,764,841 | |
Household Products | 1.7% | ||
Church & Dwight Co., Inc. | 203,326 | 13,370,718 |
Clorox Co. | 104,561 | 16,117,032 |
Colgate-Palmolive Co. | 705,271 | 41,977,730 |
Kimberly-Clark Corp. | 281,123 | 32,031,155 |
Procter & Gamble Co. | 2,024,260 | 186,069,979 |
Total Household Products | 289,566,614 | |
Independent Power and Renewable Electricity Producers | 0.1% | ||
AES Corp. | 525,092 | 7,592,830 |
NRG Energy, Inc. (c) | 233,163 | 9,233,255 |
Total Independent Power and Renewable Electricity Producers | 16,826,085 |
The accompanying notes are an integral part of these financial statements. | Appendix |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Industrial Conglomerates | 1.4% | ||
3M Co. | 473,972 | $90,310,625 |
General Electric Co. | 7,082,769 | 53,616,561 |
Honeywell International, Inc. | 601,924 | 79,526,199 |
Roper Technologies, Inc. | 84,684 | 22,569,980 |
Total Industrial Conglomerates | 246,023,365 | |
Insurance | 2.4% | ||
Aflac, Inc. | 615,899 | 28,060,358 |
Allstate Corp. | 280,580 | 23,184,325 |
American International Group, Inc. | 723,743 | 28,522,712 |
Aon PLC | 196,028 | 28,494,630 |
Arthur J Gallagher & Co. | 152,665 | 11,251,411 |
Assurant, Inc. | 39,718 | 3,552,378 |
Brighthouse Financial, Inc. (a) | 89,617 | 2,731,526 |
Chubb Ltd. | 374,213 | 48,340,835 |
Cincinnati Financial Corp. | 120,003 | 9,290,632 |
Everest Re Group Ltd. | 33,888 | 7,379,451 |
Hartford Financial Services Group, Inc. | 296,680 | 13,187,426 |
Lincoln National Corp. | 171,057 | 8,776,935 |
Loews Corp. | 219,232 | 9,979,441 |
Marsh & McLennan Cos., Inc. | 408,802 | 32,601,959 |
MetLife, Inc. | 807,297 | 33,147,615 |
Principal Financial Group, Inc. | 209,736 | 9,264,039 |
Progressive Corp. | 473,257 | 28,551,595 |
Prudential Financial, Inc. | 341,996 | 27,889,774 |
Torchmark Corp. | 79,754 | 5,944,066 |
Travelers Cos., Inc. | 216,296 | 25,901,446 |
Unum Group | 173,973 | 5,111,327 |
Willis Towers Watson PLC | 106,833 | 16,223,659 |
Total Insurance | 407,387,540 | |
Interactive Media & Services | 4.6% | ||
Alphabet, Inc., Class C (a) | 249,959 | 258,860,040 |
Alphabet, Inc., Class A (a) | 243,209 | 254,143,677 |
Facebook, Inc., Class A (a) | 1,955,168 | 256,302,973 |
Twitter, Inc. (a) | 592,383 | 17,025,087 |
Total Interactive Media & Services | 786,331,777 | |
Internet & Direct Marketing Retail | 3.5% | ||
Amazon.com, Inc. (a) | 334,211 | 501,974,896 |
Booking Holdings, Inc. (a) | 37,742 | 65,007,575 |
eBay, Inc. (a) | 741,038 | 20,800,937 |
Expedia Group, Inc. | 98,694 | 11,117,879 |
TripAdvisor, Inc. (a) | 79,971 | 4,313,636 |
Total Internet & Direct Marketing Retail | 603,214,923 | |
IT Services | 4.7% | ||
Accenture PLC, Class A | 518,678 | 73,138,785 |
Akamai Technologies, Inc. (a) | 130,397 | 7,964,649 |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
IT Services | 4.7% (Continued) | ||
Alliance Data Systems Corp. | 37,366 | $5,607,889 |
Automatic Data Processing, Inc. | 357,047 | 46,816,003 |
Broadridge Financial Solutions, Inc. | 92,811 | 8,933,059 |
Cognizant Technology Solutions Corp., Class A | 473,813 | 30,077,649 |
DXC Technology Co. | 230,909 | 12,277,432 |
Fidelity National Information Services, Inc. | 267,848 | 27,467,812 |
Fiserv, Inc. (a) | 325,896 | 23,950,097 |
FleetCor Technologies, Inc. (a)(c) | 73,081 | 13,572,603 |
Gartner, Inc. (a) | 72,178 | 9,227,235 |
Global Payments, Inc. | 127,143 | 13,112,258 |
International Business Machines Corp. | 740,479 | 84,170,248 |
Jack Henry & Associates, Inc. | 61,172 | 7,739,481 |
Mastercard, Inc., Class A | 738,235 | 139,268,033 |
Paychex, Inc. | 262,944 | 17,130,802 |
PayPal Holdings, Inc. (a) | 958,915 | 80,635,162 |
Total System Services, Inc. | 139,838 | 11,367,431 |
VeriSign, Inc. (a) | 87,970 | 13,045,071 |
Visa Inc., Class A | 1,427,936 | 188,401,876 |
Western Union Co. | 346,907 | 5,918,233 |
Total IT Services | 819,821,808 | |
Leisure Products | 0.1% | ||
Hasbro, Inc. | 92,868 | 7,545,525 |
Mattel, Inc. (a) | 265,484 | 2,652,185 |
Total Leisure Products | 10,197,710 | |
Life Sciences Tools & Services | 1.0% | ||
Agilent Technologies, Inc. | 260,809 | 17,594,175 |
Illumina, Inc. (a) | 119,944 | 35,974,804 |
IQVIA Holdings, Inc. (a) | 130,739 | 15,187,950 |
Mettler-Toledo International, Inc. (a) | 20,842 | 11,787,818 |
PerkinElmer, Inc. | 88,109 | 6,920,962 |
Thermo Fisher Scientific, Inc. | 327,648 | 73,324,346 |
Waters Corp. (a)(c) | 60,370 | 11,388,800 |
Total Life Sciences Tools & Services | 172,178,855 | |
Machinery | 1.5% | ||
Caterpillar, Inc. | 480,924 | 61,111,013 |
Cummins, Inc. | 122,227 | 16,334,416 |
Deere & Co. | 262,034 | 39,087,612 |
Dover Corp. | 116,678 | 8,278,304 |
Flowserve Corp. | 100,523 | 3,821,885 |
Fortive Corp. | 235,008 | 15,900,641 |
Illinois Tool Works, Inc. | 250,555 | 31,742,813 |
Ingersoll-Rand PLC | 201,326 | 18,366,971 |
PACCAR, Inc. | 287,065 | 16,402,894 |
Parker-Hannifin Corp. | 109,487 | 16,328,891 |
Pentair PLC | 123,808 | 4,677,466 |
Appendix | The accompanying notes are an integral part of these financial statements. |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Machinery | 1.5% (Continued) | ||
Snap-on, Inc. | 44,395 | $6,450,150 |
Stanley Black & Decker, Inc. | 125,019 | 14,969,775 |
Xylem, Inc. | 142,778 | 9,526,148 |
Total Machinery | 262,998,979 | |
Media | 2.4% | ||
CBS Corp., Class B | 280,090 | 12,245,535 |
Charter Communications, Inc., Class A (a) | 144,268 | 41,112,052 |
Comcast Corp., Class A | 3,698,140 | 125,921,667 |
Discovery, Inc., Class A (a) | 127,330 | 3,150,144 |
Discovery, Inc., Class C (a) | 283,312 | 6,538,841 |
DISH Network Corp., Class A (a) | 182,512 | 4,557,325 |
Interpublic Group of Cos., Inc. | 305,107 | 6,294,357 |
News Corp., Class A | 295,564 | 3,354,651 |
News Corp., Class B | 95,128 | 1,098,728 |
Omnicom Group, Inc. | 185,440 | 13,581,626 |
Twenty-First Century Fox, Inc., Class A | 857,684 | 41,271,754 |
Twenty-First Century Fox, Inc., Class B | 399,373 | 19,082,042 |
Viacom, Inc., Class B | 280,105 | 7,198,699 |
Walt Disney Co. | 1,212,038 | 132,899,967 |
Total Media | 418,307,388 | |
Metals & Mining | 0.2% | ||
Freeport-McMoRan, Inc. | 1,197,969 | 12,351,060 |
Newmont Mining Corp. | 437,535 | 15,160,588 |
Nucor Corp. | 251,026 | 13,005,657 |
Total Metals & Mining | 40,517,305 | |
Multi-Utilities | 1.1% | ||
Ameren Corp. | 201,176 | 13,122,710 |
CenterPoint Energy, Inc. | 416,359 | 11,753,815 |
CMS Energy Corp. | 234,825 | 11,659,061 |
Consolidated Edison, Inc. | 254,339 | 19,446,760 |
Dominion Energy, Inc. | 535,780 | 38,286,839 |
DTE Energy Co. | 149,973 | 16,542,022 |
NiSource, Inc. | 288,178 | 7,305,312 |
Public Service Enterprise Group, Inc. | 411,377 | 21,412,173 |
SCANA Corp. | 113,326 | 5,414,716 |
Sempra Energy | 222,945 | 24,120,420 |
WEC Energy Group, Inc. | 258,937 | 17,933,977 |
Total Multi-Utilities | 186,997,805 | |
Multiline Retail | 0.5% | ||
Dollar General Corp. | 216,532 | 23,402,779 |
Dollar Tree, Inc. (a) | 195,034 | 17,615,471 |
Kohl's Corp. | 132,816 | 8,811,013 |
Macy's, Inc. | 244,606 | 7,284,367 |
Nordstrom, Inc. | 88,174 | 4,109,790 |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Multiline Retail | 0.5% (Continued) | ||
Target Corp. | 429,147 | $28,362,325 |
Total Multiline Retail | 89,585,745 | |
Oil, Gas & Consumable Fuels | 4.8% | ||
Anadarko Petroleum Corp. | 414,553 | 18,174,004 |
Apache Corp. | 301,654 | 7,918,418 |
Cabot Oil & Gas Corp. | 341,434 | 7,631,050 |
Chevron Corp. | 1,553,741 | 169,031,483 |
Cimarex Energy Co. | 76,071 | 4,689,777 |
Concho Resources, Inc. (a) | 164,557 | 16,914,814 |
ConocoPhillips | 935,807 | 58,347,566 |
Devon Energy Corp. | 376,109 | 8,477,497 |
Diamondback Energy, Inc. | 128,285 | 11,892,020 |
EOG Resources, Inc. | 472,586 | 41,214,225 |
Exxon Mobil Corp. | 3,443,768 | 234,830,540 |
Hess Corp. | 198,149 | 8,025,035 |
HollyFrontier Corp. | 124,536 | 6,366,280 |
Kinder Morgan, Inc. | 1,553,280 | 23,889,446 |
Marathon Oil Corp. | 694,813 | 9,963,618 |
Marathon Petroleum Corp. | 563,292 | 33,239,861 |
Newfield Exploration Co. (a) | 149,552 | 2,192,432 |
Noble Energy, Inc. | 382,556 | 7,176,751 |
Occidental Petroleum Corp. | 615,255 | 37,764,352 |
ONEOK, Inc. | 337,239 | 18,194,044 |
Phillips 66 | 346,242 | 29,828,748 |
Pioneer Natural Resources Co. | 139,903 | 18,400,043 |
Valero Energy Corp. | 346,389 | 25,968,783 |
Williams Cos., Inc. | 1,000,001 | 22,050,022 |
Total Oil, Gas & Consumable Fuels | 822,180,809 | |
Personal Products | 0.1% | ||
Coty, Inc., Class A | 348,716 | 2,287,577 |
Estee Lauder Cos., Inc., Class A | 179,443 | 23,345,534 |
Total Personal Products | 25,633,111 | |
Pharmaceuticals | 5.2% | ||
Allergan PLC | 259,395 | 34,670,736 |
Bristol-Myers Squibb Co. | 1,329,425 | 69,103,511 |
Eli Lilly & Co. | 766,629 | 88,714,308 |
Johnson & Johnson | 2,182,044 | 281,592,778 |
Merck & Co., Inc. | 2,114,321 | 161,555,268 |
Mylan NV (a) | 428,272 | 11,734,653 |
Nektar Therapeutics (a)(c) | 137,507 | 4,519,855 |
Perrigo Co. PLC | 99,598 | 3,859,422 |
Pfizer, Inc. | 4,693,044 | 204,851,371 |
Zoetis, Inc. | 391,636 | 33,500,543 |
Total Pharmaceuticals | 894,102,445 | |
Professional Services | 0.3% | ||
Equifax, Inc. | 95,836 | 8,925,207 |
IHS Markit Ltd. (a)(c) | 296,698 | 14,232,603 |
Nielsen Holdings PLC | 282,363 | 6,587,529 |
The accompanying notes are an integral part of these financial statements. | Appendix |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Professional Services | 0.3% (Continued) | ||
Robert Half International, Inc. | 95,017 | $5,434,972 |
Verisk Analytics, Inc. (a) | 136,276 | 14,859,535 |
Total Professional Services | 50,039,846 | |
Real Estate Management & Development | 0.1% | ||
CBRE Group, Inc., Class A (a) | 251,416 | 10,066,697 |
Total Real Estate Management & Development | 10,066,697 | |
Road & Rail | 1.0% | ||
CSX Corp. | 654,890 | 40,688,316 |
JB Hunt Transport Services, Inc. | 69,115 | 6,430,459 |
Kansas City Southern | 80,675 | 7,700,429 |
Norfolk Southern Corp. | 222,841 | 33,323,643 |
Union Pacific Corp. | 599,062 | 82,808,340 |
Total Road & Rail | 170,951,187 | |
Semiconductors & Semiconductor Equipment | 3.7% | ||
Advanced Micro Devices, Inc. (a) | 727,098 | 13,422,229 |
Analog Devices, Inc. | 300,091 | 25,756,811 |
Applied Materials, Inc. | 803,199 | 26,296,735 |
Broadcom, Inc. | 336,163 | 85,479,528 |
Intel Corp. | 3,710,169 | 174,118,231 |
KLA-Tencor Corp. | 127,217 | 11,384,649 |
Lam Research Corp. | 127,713 | 17,390,679 |
Maxim Integrated Products, Inc. | 230,848 | 11,738,621 |
Microchip Technology, Inc. | 195,091 | 14,030,945 |
Micron Technology, Inc. (a) | 913,727 | 28,992,558 |
NVIDIA Corp. (c) | 496,600 | 66,296,100 |
Qorvo, Inc. (a) | 105,305 | 6,395,173 |
QUALCOMM, Inc. | 986,383 | 56,135,056 |
Skyworks Solutions, Inc. | 141,213 | 9,464,095 |
Texas Instruments, Inc. | 778,230 | 73,542,735 |
Xilinx, Inc. | 205,839 | 17,531,308 |
Total Semiconductors & Semiconductor Equipment | 637,975,453 | |
Software | 6.2% | ||
Adobe Systems, Inc. (a) | 397,590 | 89,950,762 |
ANSYS, Inc. (a) | 66,528 | 9,509,512 |
Autodesk, Inc. (a) | 179,650 | 23,104,786 |
Cadence Design Systems, Inc. (a) | 224,041 | 9,741,303 |
Citrix Systems, Inc. | 102,013 | 10,452,252 |
Fortinet, Inc. (a) | 115,150 | 8,110,014 |
Intuit, Inc. | 211,621 | 41,657,594 |
Microsoft Corp. | 6,286,142 | 638,483,443 |
Oracle Corp. | 2,074,557 | 93,666,249 |
Red Hat, Inc. (a) | 143,919 | 25,277,933 |
salesforce.com, Inc. (a) | 623,736 | 85,433,120 |
Symantec Corp. | 506,961 | 9,579,028 |
Synopsys, Inc. (a) | 118,824 | 10,009,734 |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Software | 6.2% (Continued) | ||
Take-Two Interactive Software, Inc. (a) | 95,019 | $9,781,256 |
Total Software | 1,064,756,986 | |
Specialty Retail | 2.3% | ||
Advance Auto Parts, Inc. | 58,023 | 9,136,302 |
AutoZone, Inc. (a) | 20,720 | 17,370,405 |
Best Buy Co., Inc. | 186,826 | 9,894,305 |
CarMax, Inc. (a) | 139,174 | 8,730,385 |
Foot Locker, Inc. | 90,561 | 4,817,845 |
Gap, Inc. | 168,153 | 4,331,621 |
Home Depot, Inc. | 920,702 | 158,195,018 |
L Brands, Inc. | 179,580 | 4,609,819 |
Lowe's Cos., Inc. | 655,284 | 60,522,030 |
O'Reilly Automotive, Inc. (a) | 65,600 | 22,588,048 |
Ross Stores, Inc. | 305,994 | 25,458,701 |
Tiffany & Co. | 86,414 | 6,957,191 |
TJX Cos., Inc. | 1,012,995 | 45,321,396 |
Tractor Supply Co. | 97,245 | 8,114,123 |
Ulta Salon Cosmetics & Fragrance, Inc. (a) | 46,924 | 11,488,872 |
Total Specialty Retail | 397,536,061 | |
Technology Hardware, Storage & Peripherals | 3.8% | ||
Apple, Inc. | 3,668,793 | 578,715,408 |
Hewlett Packard Enterprise Co. | 1,175,551 | 15,529,029 |
HP, Inc. | 1,296,190 | 26,520,047 |
NetApp, Inc. | 200,968 | 11,991,761 |
Seagate Technology PLC | 206,875 | 7,983,306 |
Western Digital Corp. | 230,118 | 8,507,462 |
Xerox Corp. | 170,445 | 3,367,993 |
Total Technology Hardware, Storage & Peripherals | 652,615,006 | |
Textiles, Apparel & Luxury Goods | 0.7% | ||
Hanesbrands, Inc. | 286,625 | 3,591,411 |
Michael Kors Holdings Ltd. (a) | 115,668 | 4,386,131 |
NIKE, Inc., Class B | 1,040,306 | 77,128,287 |
PVH Corp. | 60,782 | 5,649,687 |
Ralph Lauren Corp. | 42,619 | 4,409,362 |
Tapestry, Inc. | 230,910 | 7,793,213 |
Under Armour, Inc., Class A (a)(c) | 144,596 | 2,555,011 |
Under Armour, Inc., Class C (a) | 157,544 | 2,547,486 |
VF Corp. | 269,863 | 19,252,026 |
Total Textiles, Apparel & Luxury Goods | 127,312,614 | |
Tobacco | 0.9% | ||
Altria Group, Inc. | 1,530,663 | 75,599,446 |
Philip Morris International, Inc. | 1,266,521 | 84,552,942 |
Total Tobacco | 160,152,388 |
Appendix | The accompanying notes are an integral part of these financial statements. |
Common Stocks | 99.2% of net assets (Continued) | ||
Shares | Value | |
Trading Companies & Distributors | 0.2% | ||
Fastenal Co. | 237,729 | $12,430,849 |
United Rentals, Inc. (a) | 68,409 | 7,013,975 |
W.W. Grainger, Inc. | 36,250 | 10,235,550 |
Total Trading Companies & Distributors | 29,680,374 | |
Water Utilities | 0.1% | ||
American Water Works Co., Inc. | 148,954 | 13,520,555 |
Total Water Utilities | 13,520,555 | |
Total Common Stocks | ||
(Cost $12,321,833,084) | 17,123,413,269 |
Short-Term Securities | 3.5% of net assets | ||
BlackRock Cash Funds: Institutional, SL Agency Shares, 2.60% (b)(d)(e) | 118,748,723 | 118,760,598 |
Short-Term Securities | 3.5% of net assets (Continued) | ||
Shares | Value | |
BlackRock Cash Funds: Treasury, SL Agency Shares, 2.41% (b)(d) | 479,801,017 | $479,801,017 |
Total Short-Term Securities | ||
(Cost $598,558,779) | 598,561,615 | |
Total Investments | ||
(Cost $12,920,391,863) | 102.7% | 17,721,974,884 | |
Liabilities in Excess of Other Assets | (2.7)% | (465,046,075) | |
Net Assets | 100.0% | $17,256,928,809 |
(a) | Non-income producing. |
(b) | During the period ended December 31, 2018, investments in issuers considered to be affiliates of the Master Portfolio for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, and/or related parties of the Master Portfolio were as follows: |
Affiliate Persons and/or Related Parties | Shares Held at December 31, 2017 | Shares Purchased | Shares Sold | Shares Held at December 31, 2018 | Value at December 31, 2018 | Income | Realized Gain (Loss)1 | Change in Unrealized Appreciation (Depreciation) |
BlackRock Cash Funds: Institutional, SL Agency Shares | 70,033,981 | 48,714,7422 | — | 118,748,723 | 118,760,598 | $326,0563 | $(3,809) | $(367) |
BlackRock Cash Funds: Treasury, SL Agency Shares | 164,203,034 | 315,597,9832 | — | 479,801,017 | 479,801,017 | 5,196,320 | — | — |
BlackRock, Inc. | 73,422 | 25,405 | — | 98,827 | 38,821,222 | 1,024,669 | — | (9,450,411) |
PNC Financial Services Group, Inc.4 | 285,955 | 94,316 | (4,761) | 375,510 | N/A | 1,057,699 | (27,842) | (20,322,296) |
Total | $637,382,837 | $7,604,744 | $(31,651) | $(29,773,074) |
1 | Includes net capital gain distributions, if applicable. |
2 | Represents net shares purchased. |
3 | Represents all or portion of securities lending income earned from the reinvestment of cash collateral from loaned securities, net of fees, and collateral investment expenses, and other payments to and from borrowers of securities. |
4 | As of period, the entity is no longer an affiliate of the Fund. |
(c) | Security, or a portion of security, is on loan. |
(d) | 7-day yield at December 31, 2018. |
(e) | All or a portion of security was purchased with the cash collateral from loaned securities. |
The accompanying notes are an integral part of these financial statements. | Appendix |
Derivative Financial Instruments Outstanding as of Period End - Futures Contracts | ||||
Contracts Long | Issue | Expiration | Notional Amount (000) | Unrealized Appreciation (Depreciation) |
831 | S&P 500 E-Mini Index | March 2019 | $104,091 | $377,323 |
Assets-Derivative Financial Instruments | Commodity Contracts | Credit Contract | Equity Contracts | Foriegn Currency Exchange Contracts | Interest Rate Contracts | Other Contracts | Total |
Futures contracts net unrealized appreciation1 | — | — | $377,323 | — | — | — | $377,323 |
1 | Includes cumulative appreciation (depreciation) on futures contracts if any, as reported in the Schedule of Investments. Only current day's variation margin is reported within the Statements of Assets & Liabilities. |
Commodity Contracts | Credit Contract | Equity Contracts | Foreign Currency Exchange Contracts | Interest Rate Contracts | Other Contracts | Total | |
Realized Gain (Loss) From: | |||||||
Futures contracts | — | — | $(27,387,735) | — | — | — | $(27,387,735) |
Net Change in Unrealized Appreciation (Depreciation) on: | |||||||
Futures contracts | — | — | $(669,769) | — | — | — | $(669,769) |
Average Quarterly Balances on Outstanding Derivative Financial Instruments | |||||||
Futures contracts: Average notional value of contracts—long | $253,293,330 |
Appendix | The accompanying notes are an integral part of these financial statements. |
Level 1 | Level 2 | Level 3 | Total | |
Assets: | ||||
Investments: | ||||
Long-Term Investments: Common Stocks(a) | $17,123,413,269 | $— | $— | $17,123,413,269 |
Short-Term Securities: Money Market Funds | 598,561,615 | — | — | 598,561,615 |
$17,721,974,884 | $— | $— | $17,721,974,884 | |
Derivative Financial Instruments(b) | ||||
Assets: | ||||
Equity contracts | $377,323 | $— | $— | $377,323 |
(a) | See above Schedule of Investments for values in each industry. |
(b) | Derivative financial instruments are futures contracts. Futures contracts are valued at the unrealized appreciation (depreciation) on the instrument. |
The accompanying notes are an integral part of these financial statements. | Appendix |
Assets | |
Investments in securities, at value (including securities loaned of $116,456,859) (cost: $12,290,742,554) | $17,084,592,047 |
Investments at value—affiliated (cost—$629,649,309) | 637,382,837 |
Cash pledged for futures contracts | 21,791,800 |
Investment securities sold | 5,048,344 |
Dividends—unaffiliated | 19,068,503 |
Dividends—affiliated | 803,886 |
Securities lending income—affiliated | 30,995 |
Variation margin on futures contracts | 2,060,803 |
Contributions from investors | 30,540,612 |
Prepaid expenses | 83,302 |
Total Assets | 17,801,403,129 |
Liabilities | |
Collateral on securities loaned at value | 118,776,309 |
Investment securities purchased | 424,894,174 |
Accrued expenses | 138,632 |
Investment advisory fees | 568,180 |
Trustees' fees | 69,898 |
Professional fees | 27,127 |
Total Liabilities | 544,474,320 |
Net Assets | $17,256,928,809 |
Net Assets Consist Of: | |
Unrealized appreciation (depreciation) of investments | 4,801,960,344 |
Investors’ capital | 12,454,968,465 |
Net Assets | $17,256,928,809 |
Appendix | The accompanying notes are an integral part of these financial statements. |
Investment Income | |
Dividends—unaffiliated | 308,025,729 |
Dividends—affiliated | 7,278,688 |
Securities lending—affiliated—net | 326,056 |
Foreign taxes withheld | (1,288,770) |
Total Investment Income | 314,341,703 |
Expenses | |
Investment advisory | 6,423,330 |
Officer and Trustees | 274,342 |
Professional | 87,662 |
Total Expenses | 6,785,334 |
Less fees waived and/or reimbursed by the Manager | (562,789) |
Total Expenses After Fees Waived and/or Reimbursed | 6,222,545 |
Net Investment Income | 308,119,158 |
Realized And Unrealized Gain (Loss) | |
Net realized gain from: | |
Investments—unaffiliated | 96,396,174 |
Investments—affiliated | (31,651) |
Futures contracts | (27,387,735) |
Net Realized Gain | 68,976,788 |
Net change in unrealized appreciation (depreciation) on: | |
Investments—unaffiliated | (1,272,159,977) |
Investments—affiliated | (29,773,074) |
Futures contracts | (669,769) |
Net Change In Unrealized Appreciation (Depreciation) | (1,302,602,820) |
Net Realized And Unrealized Loss | $(1,233,626,032) |
Net Decrease In Net Assets From Operations | $(925,506,874) |
The accompanying notes are an integral part of these financial statements. | Appendix |
Year Ended December 31, 2018 | Year Ended December 31, 2017 | |
Increase (Decrease) In Net Assets | ||
Operations | ||
Net investment income | $308,119,158 | $235,116,198 |
Net realized gain on investments | 68,976,788 | 54,267,728 |
Net change in unrealized appreciation (depreciation) | (1,302,602,820) | 2,098,921,474 |
Net Increase (decrease) in net assets from operations | (925,506,874) | 2,388,305,400 |
Capital Transactions | ||
Proceeds from contributions | 9,671,286,018 | 7,322,029,278 |
Value of withdrawals | (5,263,924,715) | (5,727,019,300) |
Total increase in net assets from capital transactions | 4,407,361,303 | 1,595,009,978 |
Total Increase In Net Assets | 3,481,854,429 | 3,983,315,378 |
Net Assets | ||
Beginning of year | $13,775,074,380 | $9,791,759,002 |
End of year | $17,256,928,809 | $13,775,074,380 |
Appendix | The accompanying notes are an integral part of these financial statements. |
Year Ended December 31, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | |
Total Return | -4.38% | 21.77% | 11.92% | 1.35% | 13.63% |
Ratio to Average Net Assets | |||||
Total expenses | 0.04% | 0.04% | 0.04% | 0.05% | 0.05% |
Total expenses after fees waived and/or reimbursed | 0.04% | 0.04% | 0.04% | 0.04% | 0.04% |
Net investment income | 1.92% | 1.93% | 2.11% | 2.00% | 1.98% |
Supplemental Data | |||||
Net assets, end of year (000) | $17,256,929 | $13,775,074 | $9,791,759 | $7,209,857 | $5,748,578 |
Portfolio turnover rate | 12% | 11% | 4% | 2% | 3% |
The accompanying notes are an integral part of these financial statements. | Appendix |
Target Fund | Fair Value of Invesments | Cost of Investments |
S&P 500 Master Index Portfolio | $1,473,476,973 | $726,300,157 |
Appendix | Notes to Financial Statements |
Notes to Financial Statements | Appendix |
Counterparty | Securities Loaned at Value | Cash Collateral Received1 | Net Amount |
Barclay's Capital, Inc. | $17,577 | $(17,577) | — |
Citigroup Global Markets, Inc. | 23,453,228 | (23,453,228) | — |
Credit Suisse Securities (USA) LLC | 2,311,353 | (2,311,353) | — |
Deutsche Bank Securities, Inc. | 681,991 | (681,991) | — |
Goldman Sachs & Co. | 12,574,197 | (12,574,197) | — |
HSBC Bank PLC | 8,143,500 | (8,143,500) | — |
JP Morgan Securities LLC | 4,552,897 | (4,552,897) | — |
Merrill Lynch, Pierce, Fenner & Smith, Inc. | 30,257,214 | (30,257,214) | — |
UBS AG | 21,393,593 | (21,393,593) | — |
UBS Securities LLC | 2,403,843 | (2,403,8439) | — |
Wells Fargo Securities LLC | 10,667,466 | (10,667,466) | — |
$116,456,859 | $(116,456,859) | $— | |
1Cash collateral with a value of $118,776,309 has been received in connection with securities lending agreements. Collateral received in excess of the value of securities loaned from |
Appendix | Notes to Financial Statements |
Notes to Financial Statements | Appendix |
Purchases | Sales | Net Realized Gain (Loss) |
$544,942,477 | $81,328,722 | $101,182,547 |
Appendix | Notes to Financial Statements |
Tax cost | $12,650,650,060 |
Gross unrealized appreciation | $5,675,608,741 |
Gross unrealized depreciation | $(604,283,917) |
Net unrealized appreciation | $5,071,324,824 |
Notes to Financial Statements | Appendix |
Appendix | Notes to Financial Statements |
S&P 500 Index Master Portfolio | Independent Trustees1
Name and Year of Birth2 | Position(s) Held | Length of Time Served3 | Principal Occupation(s) During Past Five Years | Number of BlackRock- Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen | Public Company and Investment Company Directorships During Past Five Years |
Rodney D. Johnson 1941 | Chair of the Board and Trustee4 | Since 2009 | President, Fairmount Capital Advisors, Inc. from 1987 to 2013; Member of the Archdiocesan Investment Committee of the Archdiocese of Philadelphia from 2004 to 2012; Director, The Committee of Seventy (civic) from 2006 to 2012; Director, Fox Chase Cancer Center from 2004 to 2011; Director, The Mainstay (nonprofit) since 2016. | 24 RICs consisting of 138 Portfolios | None |
Mark Stalnecker 1951 | Chair Elect of the Board4 and Trustee | Since 2018 (Chair Elect of the Board); Since 2015 (Trustee) | Chief Investment Officer, University of Delaware from 1999 to 2013; Trustee and Chair of the Finance and Investment Committees, Winterthur Museum and Country Estate from 2005 to 2016; Member of the Investment Committee, Delaware Public Employees’ Retirement System since 2002; Member of the Investment Committee, Christiana Care Health System from 2009 to 2017; Member of the Investment Committee, Delaware Community Foundation from 2013 to 2014; Director and Chair of the Audit Committee, SEI Private Trust Co. from 2001 to 2014. | 24 RICs consisting of 138 Portfolios | None |
S&P 500 Index Master Portfolio | Independent Trustees1 (Continued)
Name and Year of Birth2 | Position(s) Held | Length of Time Served3 | Principal Occupation(s) During Past Five Years | Number of BlackRock- Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen | Public Company and Investment Company Directorships During Past Five Years |
Susan J.Carter 1956 | Trustee | Since 2016 | Director, Pacific Pension Institute from 2014 to 2018; Advisory Board Member, Center for Private Equity and Entrepreneurship at Tuck School of Business since 1997; Senior Advisor, Commonfund Capital, Inc. (“CCI”) (investment adviser) in 2015; Chief Executive Officer, CCI from 2013 to 2014; President & Chief Executive Officer, CCI from 1997 to 2013; Advisory Board Member, Girls Who Invest from 2015 to 2018 and Board Member thereof since 2018; Advisory Board Member, Bridges Fund Management since 2016; Trustee, Financial Accounting Foundation since 2017; Practitioner Advisory Board Member, Private Capital Research Institute (PCRI) since 2017. | 24 RICs consisting of 138 Portfolios | None |
Collette Chilton 1958 | Trustee | Since 2015 | Chief Investment Officer, Williams College since 2006; Chief Investment Officer, Lucent Asset Management Corporation from 1998 to 2006. | 24 RICs consisting of 138 Portfolios | None |
Neil A. Cotty 1954 | Trustee | Since 2016 | Bank of America Corporation from 1996 to 2015, serving in various senior finance leadership roles, including Chief Accounting Officer, from 2009 to 2015, Chief Financial Officer of Global Banking, Markets and Wealth Management from 2008 to 2009, Chief Accounting Officer from 2004 to 2008, Chief Financial Officer of Consumer Bank from 2003 to 2004, Chief Financial Officer of Global Corporate Investment Bank from 1999 to 2002. | 24 RICs consisting of 138 Portfolios | None |
Cynthia A. Montgomery 1952 | Trustee | Since 2009 | Professor, Harvard Business School since 1989; Director, McLean Hospital from 2005 to 2012. | 24 RICs consisting of 138 Portfolios | Newell Rubbermaid, Inc. (manufacturing) |
S&P 500 Index Master Portfolio | Independent Trustees1 (Continued)
Name and Year of Birth2 | Position(s) Held | Length of Time Served3 | Principal Occupation(s) During Past Five Years | Number of BlackRock- Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen | Public Company and Investment Company Directorships During Past Five Years |
Joseph P. Platt 1947 | Trustee | Since 2009 | General Partner, Thorn Partners, LP (private investments) since 1998; Director, WQED Multi-Media (public broadcasting not-for-profit) since 2001; Chair, Basic Health International (nonprofit) since 2015. | 24 RICs consisting of 138 Portfolios | Greenlight Capital Re, Ltd. (reinsurance company); Consol Energy Inc. |
Robert C. Robb, Jr. 1945 | Trustee | Since 2009 | Partner, Lewis, Eckert, Robb and Company (management and financial consulting firm) since 1981 and Principal since 2010. | 24 RICs consisting of 138 Portfolios | None |
Kenneth L. Urish 1951 | Trustee | Since 2009 | Managing Partner, Urish Popeck & Co., LLC (certified public accountants and consultants) since 1976; Past-Chairman of the Professional Ethics Committee of the Pennsylvania Institute of Certified Public Accountants and Committee Member thereof since 2007; Member of External Advisory Board, The Pennsylvania State University Accounting Department since founding in 2001;Principal, UP Strategic Wealth Investment Advisors, LLC since 2013; Trustee, The Holy Family Institute from 2001 to 2010; President and Trustee, Pittsburgh Catholic Publishing Associates from 2003 to 2008; Director, Inter-Tel from 2006 to 2007. | 24 RICs consisting of 138 Portfolios | None |
Claire A. Walton 1957 | Trustee | Since 2016 | Chief Operating Officer and Chief Financial Officer of Liberty Square Asset Management, LP from 1998 to 2015; General Partner of Neon Liberty Capital Management, LLC since 2003; Director, Boston Hedge Fund Group from 2009 to 2018; Director, Woodstock Ski Runners since 2013; Director, Massachusetts Council on Economic Education from 2013 to 2015. | 24 RICs consisting of 138 Portfolios | None |
S&P 500 Index Master Portfolio | Independent Trustees1 (Continued)
Name and Year of Birth2 | Position(s) Held | Length of Time Served3 | Principal Occupation(s) During Past Five Years | Number of BlackRock- Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen | Public Company and Investment Company Directorships During Past Five Years |
Frederick W. Winter 1945 | Trustee | Since 2009 | Director, Alkon Corporation since 1992; Dean Emeritus of the Joseph M. Katz School of Business, University of Pittsburgh, Dean and Professor from 1997 to 2005, Professor until 2013. | 24 RICs consisting of 138 Portfolios | None |
1 The address of each Trustee is c/o BlackRock, Inc., 55 East 52nd Street, New York, NY 10055. | |||||
2 Independent Trustees serve until their resignation, retirement, removal or death, or until December 31 of the year in which they turn 75. The Board may determine to extend the terms of Independent Trustees on a case-by-case basis, as appropriate. The Board has approved extending the mandatory retirement age for Rodney D. Johnson until December 31, 2018. | |||||
3 In connection with the acquisition of Barclays Global Investors by BlackRock, Inc. (“BlackRock”) in December 2009, certain Independent Trustees were elected to the Board. As a result, although the chart shows certain Independent Trustees as joining the Board in 2009, those Independent Trustees first became members of the boards of other funds advised by BlackRock Advisors, LLC or its affiliates as follows: Rodney D. Johnson, 1995; Cynthia A. Montgomery, 1994; Joseph P. Platt, 1999; Robert C. Robb, Jr., 1999; Kenneth L. Urish, 1999; and Frederick W. Winter, 1999. | |||||
4 Mr. Stalnecker was approved as Chair Elect of the Board effective January 1, 2018. It is expected that, effective January 1, 2019, Mr. Stalnecker will assume the position of Chair of the Board and Mr. Johnson will retire as Chair of the Board. |
S&P 500 Index Master Portfolio | Interested Trustees1,2
Name and Year of Birth | Position(s) Held | Length of Time Served | Principal Occupation(s) During Past Five Years | Number of BlackRock- Advised Registered Investment Companies (“RICs”) Consisting of Investment Portfolios (“Portfolios”) Overseen | Public Company and Investment Company Directorships During Past Five Years |
Robert Fairbairn 1965 | Trustee | Since 2018 | Senior Managing Director of BlackRock, Inc. since 2010; oversees BlackRock’s Strategic Partner Program and Strategic Product Management Group; Member of BlackRock’s Global Executive and Global Operating Committees; Co-Chair of BlackRock’s Human Capital Committee; Member of the Board of Managers of BlackRock Investments, LLC since 2011; Global Head of BlackRock’s Retail and iShares® businesses from 2012 to 2016. | 127 RICs consisting of 304 Portfolios | None |
John M. Perlowski 1964 | Trustee, President and Chief Executive Officer | Since 2015 (Trustee); Since 2010 (President and Chief Executive Officer) | Managing Director of BlackRock, Inc. since 2009; Head of BlackRock Global Accounting and Product Services since 2009; Advisory Director of Family Resource Network (charitable foundation) since 2009. | 127 RICs consisting of 304 Portfolios | None |
1 The address of each Trustee is c/o BlackRock, Inc., 55 East 52nd Street, New York, NY 10055. | |||||
2Mr. Fairbairn and Mr. Perlowski are both “interested persons,” as defined in the 1940 Act, of the Trust/MIP based on their positions with BlackRock and its affiliates. Mr. Fairbairn and Mr. Perlowski are also board members of the BlackRock Equity-Bond Complex and the BlackRock Closed-End Complex. |
S&P 500 Index Master Portfolio | Officers Who Are Not Trustees1
Name and Year of Birth2 | Position(s) Held | Length of Time Served3 | Principal Occupation(s) During Past Five Years | ||
Thomas Callahan 1968 | Vice President | Since 2016 | Managing Director of BlackRock, Inc. since 2013; Head of BlackRock’s Global Cash Management Business since 2016; Co-Head of the Global Cash Management Business from 2014 to 2016; Deputy Head of the Global Cash Management Business from 2013 to 2014; Member of the Cash Management Group Executive Committee since 2013; Chief Executive Officer of NYSE Liffe U.S. from 2008 to 2013. | ||
Jennifer McGovern 1977 | Vice President | Since 2014 | Managing Director of BlackRock, Inc. since 2016; Director of BlackRock, Inc. from 2011 to 2015; Head of Product Structure and Oversight for BlackRock’s U.S. Wealth Advisory Group since 2013. | ||
Neal J. Andrews 1966 | Chief Financial Officer | Since 2009 | Managing Director of BlackRock, Inc. since 2006. | ||
Jay M. Fife 1970 | Treasurer | Since 2009 | Managing Director of BlackRock, Inc. since 2007. | ||
Charles Park 1967 | Chief Compliance Officer | Since 2014 | Anti-Money Laundering Compliance Officer for the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex from 2014 to 2015; Chief Compliance Officer of BlackRock Advisors, LLC and the BlackRock-advised Funds in the Equity-Bond Complex, the Equity-Liquidity Complex and the Closed-End Complex since 2014; Principalof and Chief Compliance Officer for iShares® Delaware Trust Sponsor LLC since 2012 and BlackRock Fund Advisors (“BFA”) since 2006; Chief Compliance Officer for the BFA-advised iShares® exchange traded funds since 2006; Chief Compliance Officer for BlackRock Asset Management International Inc. since 2012. | ||
John MacKessy 1972 | Anti-Money Laundering Compliance Officer | Since 2018 | Director of BlackRock, Inc. since 2017; Global Head of Anti-Money Laundering at BlackRock , Inc. since 2017; Director of AML Monitoring and Investigations Group of Citibank from 2015 to 2017; Global Anti-Money Laundering and Economic Sanctions Officer for MasterCard from 2011 to 2015. | ||
Benjamin Archibald 1975 | Secretary | Since 2012 | Managing Director of BlackRock, Inc. since 2014; Director of BlackRock, Inc. from 2010 to 2013; Secretary of the iShares® exchange traded funds since 2015; Secretary of the BlackRock-advised mutual funds since 2012. | ||
1 The address of each Officer is c/o BlackRock, Inc., 55 East 52nd Street, New York, NY 10055. | |||||
2 Officers of the Trust/MIP serve at the pleasure of the Board. |
Item 2. Code of Ethics.
Homestead Funds, Inc. has adopted a Senior Officer Code of Ethics, as defined in Item 2 of Form N-CSR, which applies to its principal executive officer, principal financial officer, principal accounting or controller, or persons performing similar functions. The Senior Officer Code of Ethics is available on Homestead Funds, Inc.’s website at www.homesteadfunds.com or without charge, upon request, by calling the Chief Compliance Officer at 1-800-258-3030. During the period covered by this report, no substantive amendments were approved or waivers were granted to the Senior Officer Code of Ethics.
Item 3. Audit Committee Financial Expert.
The Board of Directors of Homestead Funds, Inc. has determined that the Board's Audit Committee does not have an “audit committee financial expert” as the Securities and Exchange Commission has defined that term. After carefully considering all of the factors involved in the definition of “audit committee financial expert,” the Board determined that none of the members of the Audit Committee met all five qualifications in the definition, although each of the members of the Audit Committee met some of the qualifications. The Board also determined that because of the collective general financial expertise of the Audit Committee members, as well as the types of funds in Homestead Funds, Inc. and the nature of the accounting and valuation issues they have presented, it did not appear that the Audit Committee as a whole lacked any necessary skill to fulfill the functions of an Audit Committee.
Item 4. Principal Accountant Fees and Services.
(a) | Audit Fees1 |
Fiscal Year 2017 | $220,000 |
Fiscal Year 2018 | $230,000 |
(b) | Audit-Related Fees |
Fiscal Year 2017 | $0 |
Fiscal Year 2018 | $0 |
(c) | Tax Fees |
Fiscal Year 2017 | $0 |
Fiscal Year 2018 | $0 |
(d) | All Other Fees |
Fiscal Year 2017 | $0 |
Fiscal Year 2018 | $0 |
____________________
1
| These fees were for professional services rendered for the audits of the financial statements of Daily Income Fund, Short-Term Government Securities Fund, Short-Term Bond Fund, Stock Index Fund, Value Fund, Small-Company Stock Fund, International Equity Fund, and Growth Fund, including services that are normally provided in connection with the Funds' statutory and regulatory filings. |
(e)(1) | The Registrant’s audit committee is directly responsible for approving the services to be provided by the principal accountant. |
(2) | None of the services provided to the Registrant described in paragraphs (b)-(d) of Item 4 were approved by the Audit Committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X. |
(f) | Not applicable. |
(g) | The National Rural Electric Cooperative Association paid the Funds’ principal accountant $44,001 and $177,130 in 2018 and 2017, respectively, for consulting services. The National Rural Electric Cooperative Association is the parent company, hence a controlling entity of RE Advisers Corporation, the investment adviser that provided ongoing services to Homestead Funds for each of its last two fiscal years. |
(h) | Homestead Funds’ Audit Committee considered the provision of non-audit services, which were not approved by the Audit Committee pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, that the principal accountant rendered to the National Rural Electric Cooperative Association, a controlling entity of RE Advisers Corporation, the investment adviser that provided ongoing services to Homestead Funds for each of its last two fiscal years. The Audit Committee determined that these services were compatible with maintaining the principal accountant’s independence. |
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Investments.
(a) | The Registrant’s schedule of investments in unaffiliated issuers is included in the report to shareholders under Item 1 of this Form N-CSR. |
(b) | Not applicable. |
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
Not applicable.
Item 11. Controls and Procedures.
(a) | Disclosure Controls and Procedures. The registrant’s principal executive officer and principal financial officer concluded that the registrant's Disclosure Controls and Procedures are effective based on their evaluation of the Disclosure Controls and Procedures as of a date within 90 days of the filing date of this report. |
(b) | Internal Control. There were no changes in registrant's internal control over financial reporting that occurred during the registrant's second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the registrant's internal control over financial reporting. |
Item 12. Disclosure of Securities Lending Activities For Closed-End Management Investment Companies.
Not applicable.
Item 13. Exhibits.
(a)(1) | Not required with this filing.
|
(a)(2) | A separate certification for the principal executive officer and principal financial officer of the registrant, as required by Rule 30a-2(a) under the Investment Company Act of 1940, is filed herewith.
|
(a)(3) | Not applicable.
|
(a)(4) | Not applicable. |
(b) | A certification by the registrant’s principal executive officer and principal financial officer, as required by Section 906 of the Sarbanes-Oxley Act of 2002 and Rule 30a-2(b) under the Investment Company Act of 1940, is attached hereto. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
HOMESTEAD FUNDS, INC.
By: | /s/ Mark D. Santero |
| Mark D. Santero |
| President, Chief Executive Officer and Director |
Date: March 8, 2019
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: | /s/ Mark D. Santero |
| Mark D. Santero |
| President, Chief Executive Officer and Director |
Date: March 8, 2019
By: | /s/ Amy M. DiMauro |
| Amy M. DiMauro |
| Treasurer |
Date: March 8, 2019