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: 811-21622
Thrivent Cash Management Trust
(Exact name of registrant as specified in charter)
625 Fourth Avenue South
Minneapolis, Minnesota 55415
(Address of principal executive offices) (Zip code)
John D. Jackson
Assistant Secretary
625 Fourth Avenue South
Minneapolis, Minnesota 55415
(Name and address of agent for service)
Registrants telephone number, including area code: (612) 844-7190
Date of fiscal year end: October 31
Date of reporting period: October 31, 2018
Item 1. | Report to Stockholders |
ANNUAL REPORT
OCTOBER 31, 2018
THRIVENT CASH MANAGEMENT TRUST
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THRIVENT CASH MANAGEMENT TRUST
William D. Stouten, Portfolio Manager
Investment in Thrivent Cash Management Trust (the Trust) involves risks including credit, government securities, interest rate, Money Market fund, prepayment and redemption risks. A detailed description of each risk can be found in the significant risks section of the accompanying notes to financial statements.
Thrivent Cash Management Trust (the Trust) seeks to maximize current income to the extent consistent with the preservation of capital and maintenance of liquidity. The Trust qualifies as a government money market fund under the revised money market rules established by the Securities and Exchange Commission (SEC) that went into effect in October 2016. As a government money market fund, the Trust continues to offer a stable $1.00 share price and is not required to impose redemption gates or liquidity fees. However, it must invest at least 99.5% of its total assets in government securities, cash and repurchase agreements collateralized by government securities. The Trust is also required to maintain a weighted average maturity (WAM) of not more than 60 days and a weighted average life (WAL) of not more than 120 days.
For the 12-month period ended October 31, 2018, the Trust earned a return of 1.70%. At the end of the reporting period, the net assets in the Trust totaled approximately $539 million and consisted of collateral from securities-lending activity. The Trust also ended the period with 100% of its net assets invested directly in U.S. government obligations or U.S. government-supported securities to comply with the revised guidelines for government money market funds. Within the portfolio, we continued to invest heavily in variable-rate demand notes (VRDNs), which represented more than 50% of net assets at the Trusts fiscal year-end. Although VRDNs may have a longer final maturity, the ones held in the Trust can be put back to the issuer within seven days at par. In addition, their coupons reset weekly, which makes them a useful tool in reducing the Trusts interest rate sensitivity.
At period end, the Trusts WAL was 36 days, while its WAM remained very short at 13 days. We believe maintaining a short WAM is appropriate due to the volatility of securities-lending collateral. This positioning will help us lessen the price sensitivity of the portfolio to changes in interest rates. Our primary focus in managing the Trust continues to center on maintaining safety, liquidity and a $1.00 share price.
Portfolio Composition (% of Portfolio) |
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U.S. Government Agency Debt |
68.6% | |||
U.S. Treasury Debt |
19.9% | |||
Investment Company |
11.5% | |||
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Total |
100.0% |
Thrivent Cash Management Trust
As of October 31, 2018*
7-Day Yield |
2.18 | % | ||
7-Day Yield Gross of Waivers |
2.15 | % | ||
7-Day Effective Yield |
2.20 | % | ||
7-Day Effective Yield Gross of Waivers |
2.17 | % |
Average Annual Total Returns**
For the Period Ended October 31, 2018 |
1- Year |
5- Year |
10- Year |
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Total Return |
1.70 | % | 0.59 | % | 0.43 | % |
* | Seven-day yields of the Thrivent Cash Management Trust refer to the income generated by an investment in the Trust over a specified seven-day period. Effective yields reflect the reinvestment of income. A yield gross of waivers represents what the yield would have been if the investment adviser were not waiving or reimbursing certain expenses. Yields are subject to daily fluctuation and should not be considered an indication of future results. |
** | Annualized total returns represent past performance and reflect changes in share prices, the reinvestment of all dividends and capital gains, and the effects of compounding. The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions. |
Past performance is not an indication of future results. Current performance may be lower or higher than the performance data quoted. The prospectus contains more complete information on the investment objectives, risks, charges and expenses of the Trust. Investors should read and consider carefully before investing. To obtain a prospectus, call 1-800-THRIVENT.
An investment in the Trust is not insured or guaranteed by the FDIC or any other government agency. Although the Trust seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Trust.
2
(unaudited)
As a shareholder of the Trust, you incur ongoing costs, including management fees and other Trust expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Trust and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from May 1, 2018 through October 31, 2018.
Actual Expenses
In the table below, the first line provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first line under the heading entitled Expenses Paid during Period to estimate the expenses you paid on your account during the period.
Hypothetical Example for Comparison Purposes
In the table below, the second line provides information about hypothetical account values and hypothetical expenses based on the Trusts actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Trusts actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Trust and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical example that appears in the shareholder reports of the other funds.
Beginning Account Value 5/1/2018 |
Ending Account
Value 10/31/2018 |
Expenses Paid During Period 5/1/2018 - 10/31/2018* |
Annualized
Expense Ratio |
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Thrivent Cash Management Trust |
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Actual |
$ | 1,000 | $ | 1,010 | $ | 0.25 | 0.05 | % | ||||||||
Hypothetical** |
$ | 1,000 | $ | 1,025 | $ | 0.26 | 0.05 | % |
* | Expenses are equal to the Funds annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/365 to reflect the one-half year period. |
** | Assuming 5% annualized total return before expenses. |
3
Report of Independent Registered Public Accounting Firm
To the Board of Trustees of Thrivent Cash Management Trust and Shareholders of Thrivent Cash Management Trust
Opinion on the Financial Statements
We have audited the accompanying statement of assets and liabilities, including the schedule of investments, of Thrivent Cash Management Trust (the Fund) as of October 31, 2018, the related statement of operations for the year ended October 31, 2018, the statement of changes in net assets for each of the two years in the period ended October 31, 2018, including the related notes, and the financial highlights for each of the five years in the period ended October 31, 2018 (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of October 31, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period ended October 31, 2018 and the financial highlights for each of the five years in the period ended October 31, 2018 in conformity with accounting principles generally accepted in the United States of America.
Basis for Opinion
These financial statements are the responsibility of the Funds management. Our responsibility is to express an opinion on the Funds financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of October 31, 2018 by correspondence with the custodian, transfer agent, and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.
December 17, 2018
We have served as the auditor of one or more investment companies in Thrivent Financial for Lutherans investment company complex since 1987.
PricewaterhouseCoopers LLP, 45 South Seventh Street, Suite 3400, Minneapolis, MN 55402
T: (612) 596 6000, F: (612) 373 7160, www.pwc.com/us
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THRIVENT CASH MANAGEMENT TRUST
Schedule of Investments as of October 31, 2018
The accompanying Notes to Financial Statements are an integral part of this schedule. |
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THRIVENT CASH MANAGEMENT TRUST
Schedule of Investments as of October 31, 2018
Fair Valuation Measurements
The following table is a summary of the inputs used, as of October 31, 2018, in valuing Cash Management Trusts assets carried at fair value or amortized cost, which approximates fair value.
Investments in Securities |
Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Investment Company |
63,085,000 | 63,085,000 | | | ||||||||||||
U.S. Government Agency Debt |
377,286,947 | | 377,286,947 | | ||||||||||||
U.S. Treasury Debt |
109,093,394 | | 109,093,394 | | ||||||||||||
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Total Investments at Amortized Cost |
$ | 549,465,341 | $ | 63,085,000 | $ | 486,380,341 | $ | | ||||||||
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There were no significant transfers between Levels during the period ended October 31, 2018. Transfers between Levels are identified as of the end of the period.
The accompanying Notes to Financial Statements are an integral part of this schedule.
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THRIVENT CASH MANAGEMENT TRUST
Statement of Assets and Liabilities
As of October 31, 2018 |
Cash Management Trust |
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Assets |
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Investments at cost |
$ | 549,465,341 | ||
Investments in unaffiliated securities at value (#) |
549,465,341 | * | ||
Cash |
3,843 | |||
Dividends and interest receivable |
703,796 | |||
Prepaid expenses |
2,382 | |||
Prepaid trustee fees |
1,091 | |||
Receivable for: |
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Expense reimbursements |
14,156 | |||
Total Assets |
550,190,609 | |||
Liabilities |
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Distributions payable |
903,519 | |||
Accrued expenses |
12,049 | |||
Payable for: |
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Investments purchased |
9,983,192 | |||
Investment advisory fees |
19,665 | |||
Commitments and contingent liabilities^ |
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Total Liabilities |
10,918,425 | |||
Net Assets |
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Capital stock (beneficial interest) |
539,287,577 | |||
Distributable earnings/(accumulated loss) |
(15,393 | ) | ||
Total Net Assets |
$ | 539,272,184 | ||
Shares of beneficial interest outstanding |
539,287,577 | |||
Net asset value per share |
$ | 1.00 | ||
(#) Includes securities on loan of |
$ | |
* | Securities held by the Trust are valued on the basis of amortized cost, which approximates market value. |
^ | Commitments and contingent liabilities accrual. Additional information can be found in the accompanying Notes to Financial Statements. |
The accompanying Notes to Financial Statements are an integral part of this statement.
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THRIVENT CASH MANAGEMENT TRUST
Statement of Operations
For the year ended October 31, 2018 |
Cash Management Trust |
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Investment Income |
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Dividends |
$ | 759,519 | ||
Interest |
8,732,109 | |||
Total Investment Income |
9,491,628 | |||
Expenses |
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Adviser fees |
250,307 | |||
Administrative service fees |
90,000 | |||
Audit and legal fees |
36,252 | |||
Custody fees |
14,234 | |||
Insurance expenses |
5,984 | |||
Printing and postage expenses |
6,540 | |||
Transfer agent fees |
30,000 | |||
Trustees fees |
7,622 | |||
Other expenses |
10,430 | |||
Total Expenses Before Reimbursement |
451,369 | |||
Less: |
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Reimbursement from adviser |
(173,250 | ) | ||
Total Net Expenses |
278,119 | |||
Net Investment Income/(Loss) |
9,213,509 | |||
Realized and Unrealized Gains/(Losses) |
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Net realized gains/(losses) on: |
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Investments |
(16,736 | ) | ||
Net increase from payments by affiliates |
2,238 | * | ||
Net Realized and Unrealized Gains/(Losses) |
(14,498 | ) | ||
Net Increase/(Decrease) in Net Assets Resulting From Operations |
$ | 9,199,011 |
* | Net increase from payments by affiliates. Additional information can be found in the accompanying Notes to Financial Statements. |
The accompanying Notes to Financial Statements are an integral part of this statement.
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THRIVENT CASH MANAGEMENT TRUST
Statement of Changes in Net Assets
Cash Management Trust | ||||||||
For the periods ended |
10/31/2018 | 10/31/2017 | ||||||
Operations |
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Net investment income/(loss) |
$ | 9,213,509 | $ | 5,003,840 | ||||
Net realized gains/(losses) |
(14,498 | ) | (2,718 | ) | ||||
Net Change in Net Assets Resulting From Operations |
9,199,011 | 5,001,122 | ||||||
Distributions to Shareholders (%) |
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From net investment income/net realized gains |
(9,213,509 | ) | N/A | |||||
From net investment income |
N/A | (5,003,840 | ) | |||||
From net realized gains |
N/A | (51,232 | ) | |||||
Total Distributions to Shareholders |
(9,213,509 | ) | (5,055,072 | ) | ||||
Capital Stock Transactions |
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Sold |
5,871,139,521 | 5,939,336,359 | ||||||
Redeemed |
(6,074,459,386 | ) | (5,854,266,270 | ) | ||||
Total Capital Stock Transactions |
(203,319,865 | ) | 85,070,089 | |||||
Net Increase/(Decrease) in Net Assets |
(203,334,363 | ) | 85,016,139 | |||||
Net Assets, Beginning of Period |
742,606,547 | 657,590,408 | ||||||
Net Assets, End of Period |
$ | 539,272,184 | $ | 742,606,547 | ||||
Capital Stock Share Transactions |
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Sold |
5,871,139,521 | 5,939,336,359 | ||||||
Redeemed |
(6,074,459,386 | ) | (5,854,266,270 | ) | ||||
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Total Capital Stock Share Transactions |
(203,319,865 | ) | 85,070,089 | |||||
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(%) | Distributions to Shareholders. Additional information can be found in the accompanying Notes to Financial Statements Recent Accounting Pronouncements Disclosure Update and Simplification. |
The accompanying Notes to Financial Statements are an integral part of this statement.
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THRIVENT CASH MANAGEMENT TRUST
NOTES TO FINANCIAL STATEMENTS
October 31, 2018
10
THRIVENT CASH MANAGEMENT TRUST
NOTES TO FINANCIAL STATEMENTS
October 31, 2018
11
THRIVENT CASH MANAGEMENT TRUST
NOTES TO FINANCIAL STATEMENTS
October 31, 2018
12
THRIVENT CASH MANAGEMENT TRUST
NOTES TO FINANCIAL STATEMENTS
October 31, 2018
13
THRIVENT CASH MANAGEMENT TRUST
FINANCIAL HIGHLIGHTS
FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD *
Income From Investment Operations | Less Distributions From |
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Net Asset Value, Beginning of Period |
Net Investment Income /(Loss) |
Net Realized and Unrealized Gain/(Loss) on Investments(a) |
Total from Investment Operations |
Net Investment Income |
Net Realized Gain on Investments |
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CASH MANAGEMENT TRUST |
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Year Ended 10/31/2018 |
$ | 1.00 | $ | 0.02 | $ | 0.00 | $ | 0.02 | $ | (0.02 | ) | $ | | |||||||||||
Year Ended 10/31/2017 |
1.00 | 0.01 | 0.00 | 0.01 | (0.01 | ) | 0.00 | |||||||||||||||||
Year Ended 10/31/2016 |
1.00 | 0.00 | 0.00 | | 0.00 | | ||||||||||||||||||
Year Ended 10/31/2015 |
1.00 | 0.00 | 0.00 | | 0.00 | | ||||||||||||||||||
Year Ended 10/31/2014 |
1.00 | 0.00 | 0.00 | | 0.00 | |
(a) | The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of portfolio shares. |
(b) | Total investment return assumes dividend reinvestment and does not reflect any deduction for applicable sales charges. Not annualized for periods less than one year. |
* | All per share amounts have been rounded to the nearest cent. |
** | Computed on an annualized basis for periods less than one year |
The accompanying Notes to Financial Statements are an integral part of this statement.
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THRIVENT CASH MANAGEMENT TRUST
FINANCIAL HIGHLIGHTSCONTINUED
RATIOS/SUPPLEMENTAL DATA
Ratio to Average Net Assets** | Ratio to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly** |
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Total |
Net Asset Value, End of Period |
Total Return(b) |
Net Assets, End of Period (in millions) |
Expenses | Net Investment Income/(Loss) |
Expenses | Net
Investment Income/(Loss) |
Portfolio Turnover Rate |
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$ (0.02) |
$ | 1.00 | 1.70 | % | $ | 539.3 | 0.05 | % | 1.66 | % | 0.08 | % | 1.63 | % | N/A | |||||||||||||||||
(0.01) |
1.00 | 0.80 | % | 742.6 | 0.05 | % | 0.80 | % | 0.08 | % | 0.77 | % | N/A | |||||||||||||||||||
0.00 |
1.00 | 0.31 | % | 657.6 | 0.05 | % | 0.27 | % | 0.06 | % | 0.26 | % | N/A | |||||||||||||||||||
0.00 |
1.00 | 0.07 | % | 2,255.8 | 0.05 | % | 0.07 | % | 0.06 | % | 0.06 | % | N/A | |||||||||||||||||||
0.00 |
1.00 | 0.05 | % | 1,736.6 | 0.05 | % | 0.05 | % | 0.06 | % | 0.04 | % | N/A |
The accompanying Notes to Financial Statements are an integral part of this statement.
15
(Unaudited)
PROXY VOTING
The policies and procedures that the Trust uses to determine how to vote proxies relating to portfolio securities are attached to the Trusts Statement of Additional Information. The Trust files a report of how it voted proxies relating to portfolio securities on Form N-PX with the SEC. You may request a free copy of the Statement of Additional Information or the report of how the Trust voted proxies relating to portfolio securities during the most recent 12-month period ended June 29 by calling 800-847-4836. You also may review the Statement of Additional Information or the report of how the Trust voted proxies relating to portfolio securities during the most recent 12-month period ended June 29 at SEC.gov.
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS
The Trust files its Schedule of Portfolio Holdings on Form N-Q with the SEC for the first and third quarters of each fiscal year. You may request a free copy of the Trusts Forms N-Q by calling 800-847-4836. The Trusts Forms N-Q also are available at SEC.gov. You also may review and copy the Forms N-Q for the Trust at the SECs Public Reference Room in Washington, DC. You may get information about the operation of the Public Reference Room by calling 800-SEC-0330.
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BOARD OF TRUSTEES AND OFFICERS
The following table provides information about the Trustees and Officers of the Trust. The Board is responsible for the management and supervision of the Trusts business affairs and for exercising all powers except those reserved to the shareholders. Each Trustee oversees the Trust and also serves as:
| Trustee of Thrivent Mutual Funds, a registered investment company consisting of 24 funds that offer Class A and Class S shares. |
| Director of Thrivent Series Fund, Inc., a registered investment company consisting of 29 funds that serve as underlying funds for variable contracts issued by Thrivent Financial and Thrivent Life Insurance Company and separate accounts of insurance companies not affiliated with Thrivent Financial. |
| Trustee of Thrivent Core Funds, a registered investment company consisting of four funds that are established solely for investment by Thrivent entities. |
David Royal also serves as Trustee of Thrivent Church Loan and Income Fund, a closed-end registered investment company.
Thrivent Series Fund, Inc., Thrivent Mutual Funds, Thrivent Cash Management Trust, Thrivent Core Funds, and Thrivent Church Loan and Income Fund are referred to herein as the Fund Complex. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, by calling 800-847-4836.
Interested Trustees (1)(2)(3)(4)
Name (Year of Birth) Year Elected |
Principal Occupation(s) and Directorships of Public Companies and Other Investment Companies During the Past Five Years | |
David S. Royal (1971) 2015 |
Chief Investment Officer, Thrivent Financial since 2017; VP, President, Mutual Funds, Thrivent Financial from 2015 to 2017; Vice President and Deputy General Counsel from 2006 to 2015. Currently, Director of Childrens Cancer Research Fund and Advisory Board member of Twin Bridge Capital Partners; Director of Fairview Hospital Foundation until 2017. | |
Russell W. Swansen (1957) 2009 |
Retired; Chief Investment Officer, Thrivent Financial from 2003 to 2017. Currently, Advisory Board member of Twin Bridge Capital Partners, Advisory Board member of Invenshure LLC, and Director of Intellectual Takeout; Director of Childrens Cancer Research Fund until 2017. |
Independent Trustees (2)(3)(4)(5)
Name (Year of Birth) Year Elected |
Principal Occupation(s) and Directorships of Public Companies and Other Investment Companies During the Past Five Years | |
Janice B. Case (1952) 2011 |
Retired. Independent Trustee of North American Electric Reliability Corporation (the electric reliability organization (ERD) for North America) since 2008. | |
Robert J. Chersi (1961) 2017 |
Founder of Chersi Services LLC (consulting firm) since 2012; Executive Director of Center for Global Governance, Reporting & Regulation and Adjunct Professor of Finance and Economics at Pace University since 2013; Helpful Executive in Research (counseling) in the Department of Accounting & Information Systems at Rutgers University since 2013. Director and Chairman of the Audit Committee of Brightsphere Investment Group plc since 2016; Advisory Board member of the Pace University Lubin School of Business. | |
Richard A. Hauser (1943) 2004 |
Retired; Member, PowerHaus Advisors LLC since 2016; Vice President and Assistant General Counsel, The Boeing Company from 2007 to 2016. | |
Marc S. Joseph (1960) 2011 |
Managing Director of Granite Ridge LLP (consulting and advisory firm) since 2009; Managing Director of Triangle Crest (private investing and consulting firm) since 2004. | |
Paul R. Laubscher (1956) 2009 |
Portfolio Manager for U.S. private real estate portfolios of IBM Retirement Funds. | |
James A. Nussle (1960) 2011 |
President and Chief Executive Officer of Credit Union National Association since September 2014; President and Chief Operating Officer of Growth Energy (trade association) from 2010 through August 2014; Advisory Board member of AVISTA Capital Partners (private equity firm) from 2010 to 2015; CEO of The Nussle Group LLC (consulting firm) since 2009. Advisory Board member of AVISTA Capital Partners and Director of Portfolio Recovery Associates (PRAA) since 2010. |
17
BOARD OF TRUSTEES AND OFFICERS
Independent Trustees (2)(3)(4)(5)
Name (Year of Birth) Year Elected |
Principal Occupation(s) and Directorships of Public Companies and Other Investment Companies During the Past Five Years | |
Verne O. Sedlacek (1954) 2017 |
Chief Executive Officer of E&F Advisors LLC (consulting) since 2015; President & Chief Executive Officer of the Commonfund from 2003 to 2015. Director of Association of Governing Boards of Universities and Collleges since 2007; Trustee of Valparaiso University since 2015; Trustee of Museum of American Finance since 2015; Chairman of the Board of Directors of AGB Institutional Strategies since 2016. | |
Constance L. Souders (1950) 2007 |
Retired. |
18
BOARD OF TRUSTEES AND OFFICERS
Executive Officers (2)(4)
Name (Year of Birth) Position Held With Trust |
Principal Occupation(s) During the Past Five Years | |
David S. Royal (1971) Trustee, President and Chief Investment Officer |
Chief Investment Officer, Thrivent Financial since 2017; VP, President, Mutual Funds, Thrivent Financial from 2015 to 2017; Vice President and Deputy General Counsel from 2006 to 2015. | |
Gerard V. Vaillancourt (1967) Treasurer and Principal Accounting Officer |
Vice President, Mutual Fund Accounting since 2006. | |
Michael W. Kremenak (1978) Secretary and Chief Legal Officer |
Vice President, Thrivent Financial since 2015; Senior Counsel, Thrivent Financial from 2013 to 2015; Vice President and Assistant General Counsel at Nuveen Investments from 2011 to 2013. | |
Ted S. Dryden (1965) Chief Compliance Officer |
Vice President, Chief Compliance Officer - Thrivent Funds, Thrivent Financial since 2018; Director, Chief Compliance Officer - Thrivent Funds, Thrivent Financial from 2010 to 2018. | |
Janice M. Guimond (1964) Vice President |
Vice President, Investment Operations, Thrivent Financial since 2004. | |
Kathleen M. Koelling (1977) Privacy and Identity Theft and Anti-Money Laundering Officer (6) |
Vice President, Deputy General Counsel, Thrivent Financial since 2018; Vice President, Managing Counsel, Thrivent Financial from 2016 to 2018; Privacy and Identity Theft and Anti-Money Laundering Officer, Thrivent Financial since 2011; Senior Counsel, Thrivent Financial from 2002 to 2016. | |
Kathryn A. Stelter (1962) Vice President |
Vice President, Mutual Funds Chief Operations Officer, Thrivent Financial since 2017; Director, Mutual Fund Operations, Thrivent Financial from 2014 to 2017; Director, Mutual Fund Operations at Hartford Funds from 2006 to 2014. | |
Troy A. Beaver (1967) Vice President |
Vice President, Mutual Funds Marketing & Distribution, Thrivent Financial since 2015; Vice President, Marketing, American Century Investments from 2006 to 2015. | |
James M. Odland (1955) Assistant Secretary |
Vice President, Managing Counsel, Thrivent Financial since 2005. | |
Jill M. Forte (1974) Assistant Secretary |
Senior Counsel, Thrivent Financial since 2017; Counsel, Thrivent Financial from 2015 to 2017; Associate Counsel, Ameriprise Financial, Inc. from 2013 to 2015; Manager - Legal Affairs, Ameriprise Financial, Inc. from 2010 to 2013. | |
John D. Jackson (1977) Assistant Secretary |
Senior Counsel, Thrivent Financial since 2017; Associate General Counsel, RBC Global Asset Management (US) Inc. from 2011 to 2017. | |
Sarah L. Bergstrom (1977) Assistant Treasurer |
Head of Mutual Fund Accounting, Thrivent Financial since 2017; Director, Fund Accounting Administration, Thrivent Financial from 2007 to 2017. |
(1) | Interested person of the Trust as defined in the 1940 Act by virtue of a position with Thrivent Financial. Mr. Royal is considered an interested person because of his principal occupation with Thrivent Financial. Mr. Swansen is considered an interested person because of his past occupation with Thrivent Financial. |
(2) | Each Trustee generally serves an indefinite term until her or his successor is duly elected and qualified. Officers serve at the discretion of the Board until their successors are duly appointed and qualified. |
(3) | Each Trustee, other than Mr. Royal, oversees 58 portfolios. Mr. Royal oversees 59 portfolios. |
(4) | The address for each Trustee and Officer unless otherwise noted is 625 Fourth Avenue South, Minneapolis, MN 55415. |
(5) | The Trustees other than Mr. Royal and Mr. Swansen are not interested persons of the Trust and are referred to as Independent Trustees. |
(6) | The address for this Officer is 4321 North Ballard Road, Appleton, WI 54913. |
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This report is submitted for the information of shareholders
of Thrivent Cash Management Trust. It is not authorized
for distribution to prospective investors unless preceded or
accompanied by the current prospectus for Thrivent Cash
Management Trust, which contains more complete information
about the Trust, including investment objectives, risks, charges
and expenses.
Item 2. | Code of Ethics |
As of the end of the period covered by this report, registrant has adopted a code of ethics (as defined in Item 2 of Form N-CSR) applicable to registrants Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer. No waivers were granted to such code of ethics during the period covered by this report. A copy of this code of ethics is filed as an exhibit to this Form N-CSR.
Item 3. | Audit Committee Financial Expert |
Registrants Board of Trustees has determined that Robert J. Chersi, an independent trustee, is the Audit Committee Financial Expert.
Item 4. | Principal Accountant Fees and Services |
(a) | Audit Fees |
The aggregate fees billed by registrants independent public accountants, PricewaterhouseCoopers LLP (PwC), for each of the last two fiscal years for professional services rendered in connection with the audit of registrants annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements were $16,520 for the year ended October 31, 2017 and $35,396 for the year ended October 31, 2018.
(b) | Audit-Related Fees |
The aggregate fees PwC billed to registrant for each of the last two fiscal years for assurance and other services that are reasonably related to the performance of registrants audit and are not reported under Item 4(a) were $0 for the year ended October 31, 2017 and $0 for the year ended October 31, 2018. The aggregate fees PwC billed to registrants investment adviser and any entity controlling, controlled by, or under common control with registrants investment adviser for assurance and other services directly related to the operations and financial reporting of registrant were $1,000 for the year ended October 31, 2017 and $3,515 for the year ended October 31, 2018. The 2017 payments were for corporate action consultation services. The 2018 payments were for review of SEC comment letter.
(c) | Tax Fees |
The aggregate tax fees PwC billed to registrant for each of the last two fiscal years for tax compliance, tax advice and tax planning services were $9,371 for the year ended October 31, 2017 and $2,755 for the year ended October 31, 2018. These fees include payment for tax return compliance services, excise distribution review services, and other tax related matters. The aggregate tax fees PwC billed to registrants investment adviser and any entity controlling, controlled by, or under common control with registrants investment adviser for services directly related to the operations and financial reporting of registrant were $0 for the year ended October 31, 2017 and $0 for the year ended October 31, 2018.
(d) | All Other Fees |
The aggregate fees PwC billed to registrant for each of the last two fiscal years for products and services provided, other than the services reported in paragraphs (a) through (c) of this item, were $0 for the years ended October 31, 2017 and October 31, 2018. The aggregate fees PwC billed to registrants investment adviser and any entity controlling, controlled by, or under common control with registrants investment adviser for products and services provided, other than the services reported in paragraphs (a) through (c) of this item, were $3,600 for the year ended October 31, 2017 and $23,550 for the year ended October 31, 2018. The 2017 payments were for access to a PwC-sponsored online library that provides interpretive guidance regarding U.S. and foreign accounting standards. The 2018 payments were for access to a PwC-sponsored online library that provides interpretive guidance regarding U.S. and foreign accounting standards and for fees related to the merger of certain series of Thrivent Mutual Funds and certain series of Thrivent Series Fund, Inc. These figures are also reported in response to item 4(g) below.
(e) | Registrants audit committee charter provides that the audit committee (comprised of the independent Trustees of registrant) is responsible for pre-approval of all auditing services performed for the registrant. The audit committee also is responsible for pre-approval (subject to the de minimis exceptions for non-audit services described in Section 10A(i)(1)(B) of the Securities Exchange Act of 1934) of all non-auditing services performed for the registrant or an affiliate of registrant. In addition, registrants audit committee charter permits a designated member of the audit committee to pre-approve, between meetings, one or more audit or non-audit service projects, subject to an expense limit and notification to the audit committee at the next committee meeting. Registrants audit committee pre-approved all fees described above that PwC billed to registrant. |
(f) | Less than 50% of the hours billed by PwC for auditing services to registrant for the fiscal year ended October 31, 2018 were for work performed by persons other than full-time permanent employees of PwC. |
(g) | The aggregate non-audit fees billed by PwC to registrant and to registrants investment adviser and any entity controlling, controlled by, or under common control with registrants investment adviser for the fiscal years ending October 31, 2017 and October 31, 2018 were $3,600 and $23,550 respectively. These figures are also reported in response to item 4(d) above. |
(h) | Registrants audit committee has considered the non-audit services provided to the registrant and registrants investment adviser and any entity controlling, controlled by, or under common control with registrants investment adviser as described above and determined that these services do not compromise PwCs independence. |
Item 5. | Audit Committee of Listed Registrants |
Not applicable.
Item 6. | Investments |
(a) | Registrants Schedule of Investments is included in the report to shareholders filed underItem 1. |
(b) | Not applicable to this filing. |
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 |
There have been no material changes to the procedures by which shareholders may recommend nominees to registrants board of trustees.
Item 11. | Controls and Procedures |
(a) Registrants principal executive and principal financial officers, or persons performing similar functions, have concluded that registrants disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) are effective, based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.
(b) Registrants principal executive and principal financial officers, or persons performing similar functions, are aware of no change in registrants internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during registrants most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, registrants 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) | Any code of ethics, or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy the Item 2 requirements through filing of an exhibit: See EX-99.CODE attached hereto. |
(a)(2) | A separate certification for each principal executive officer and principal financial officer of the registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)) in the exact form set forth below: See EX-99.CERT attached hereto. |
(a)(3) | Any written solicitation to purchase securities under Rule 23c-1 under the 1940 Act (17 CFR 270.23c-1) sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons: Not applicable. |
(a)(4) | Change in the registrants independent public accountant: Not applicable |
(b) | If the report is filed under Section 13(a) or 15(d) of the Exchange Act, provide the certifications required by Rule 30a-2(b) under the 1940 Act (17 CFR 270.30a-2(b)), Rule 13a-14(b) or Rule 15d-14(b) under the Exchange Act (17 CFR 240.13a-14(b) or 240.15d-14(b)), and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350) as an exhibit. A certification furnished pursuant to this paragraph will not be deemed filed for purposes of Section 18 of the Exchange Act (15 U.S.C. 78r), or otherwise subject to the liability of that section. Such certification will not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act, except to the extent that the registrant specifically incorporates it by reference: See EX-99.906CERT 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.
Date: December 28, 2018 | THRIVENT CASH MANAGEMENT TRUST | |||||
By: | /s/ David S. Royal | |||||
David S. Royal | ||||||
President and Chief Investment Officer |
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.
Date: December 28, 2018 | By: | /s/ David S. Royal | ||||
David S. Royal | ||||||
President and Chief Investment Officer | ||||||
(principal executive officer) | ||||||
Date: December 28, 2018 | By: | /s/ Gerard V. Vaillancourt | ||||
Gerard V. Vaillancourt | ||||||
Treasurer and Principal Accounting Officer | ||||||
(principal financial officer) |
CODE OF ETHICS
(Sarbanes-Oxley Act of 2002, Section 406)
for
PRINCIPAL EXECUTIVE OFFICER
PRINCIPAL FINANCIAL OFFICER
AND
PRINCIPAL ACCOUNTING OFFICER
OF
THRIVENT MUTUAL FUNDS
THRIVENT CASH MANAGEMENT TRUST
THRIVENT SERIES FUND, INC.
THRIVENT CORE FUNDS
AND
THRIVENT CHURCH LOAN AND INCOME FUND
November 14, 2018
I. CODE OF ETHICS
It is the policy of the Thrivent Mutual Funds, Thrivent Cash Management Trust, Thrivent Series Fund, Inc., Thrivent Core Funds and Thrivent Church Loan and Income Fund (collectively, the Funds) that the President, as chief executive officer, and the Treasurer, as chief financial officer and chief accounting officer (or persons performing similar functions), of each Fund adhere to and advocate the following principles governing their professional and ethical conduct in the fulfillment of their responsibilities:
A. | Act with honesty and integrity, and ethically handle actual or apparent conflicts between his or her personal, private interests and the interests of the Funds, including receiving improper personal benefits as a result of his or her position. |
B. | Take such actions as are necessary as to ensure that periodic reports filed with the Securities and Exchange Commission and other public communications contain information which provides full, fair, accurate, timely and understandable disclosure. Such actions shall include adoption and maintenance of adequate disclosure controls and procedures. |
C. | Comply with laws of federal, state, and local governments applicable to the Funds, and the rules and regulations of private and public regulatory agencies having jurisdiction over the Funds. |
D. | Act in good faith, responsibly, with due care and diligence, without misrepresenting or omitting material facts or allowing independent judgment to be compromised. |
E. | Respect the confidentiality of information acquired in the course of the performance of his or her responsibilities except when authorized or otherwise legally obligated to disclose such information. Do not use confidential information acquired in the course of the performance of his or her responsibilities for personal advantage. |
F. | Proactively promote ethical behavior among subordinates and peers. |
G. | Use Fund assets and resources employed or entrusted in a responsible manner. |
H. | Do not use Fund information, assets, opportunities or ones position with the Funds for personal gain. Do not compete directly or indirectly with the Funds. |
I. | Promptly report any violation of this Code to the Chief Compliance Officer. |
J. | Comply in all respects with (a) the Funds Code of Ethics; (b) Thrivent Financial for Lutherans Code of Conduct, and (c) Thrivent Financial for Lutherans and Thrivent Asset Management, LLCs Policy on Insider Trading. |
K. | Acknowledge and certify compliance with the foregoing annually and file a copy of such certification with the Audit Committee of each Funds Board of Directors/Trustees (Fund Board). |
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II. ADMINISTRATION OF CODE
A. | Chief Compliance Officer. |
The Independent Directors of each Fund Board shall appoint a Chief Compliance Officer, who shall have overall responsibility for ensuring this Code is adhered to. In such capacity, the Chief Compliance Officer shall report to each Fund Boards Audit Committee. The Chief Compliance Officer shall be a person who has sufficient status within Thrivent Financial for Lutherans to engender respect for the Code and the authority adequately to deal with the persons subject to the Code regardless of their stature in the company.
B. | Amendments |
Any material amendment to this Code shall be disclosed in accordance with the requirements of Rule 30b2-1(a) under the Investment Company Act of 1940, as amended (the 1940 Act), and form N-CSR. Form N-CSR does not require disclosure of technical, administrative or other non-substantive amendments.
C. | Waivers |
A waiver of a provision of this Code must be requested whenever there is a reasonable likelihood that a contemplated action will violate the Code. Requests for waivers must be in writing and submitted to the Chief Compliance Officer, who shall make a recommendation to the Audit Committee for final determination. Any waiver or implicit waiver shall be disclosed in accordance with the requirements of Rule 30b2-1(a) under the 1940 Act and Form N-CSR.
As used herein, waiver means any approval by the Audit Committee of a material departure from a provision of this Code. Implicit waiver means failure by the Chief Compliance Officer or the Audit Committee to take action within a reasonable period of time regarding a material departure from a provision of the Code that has been made known to an executive officer (as defined by Rule 3b-7 under the Securities Exchange Act of 1934, as amended) of the Funds.
D. | Violations |
Upon learning of a violation or potential violation of this Code, the Chief Compliance Officer shall prepare a written report to Audit Committee providing full details and recommendations for further action.
The Audit Committee will, in consultation with the Chief Compliance Officer and/or such legal counsel as the Audit Committee deems appropriate, make the final determination of whether a violation has occurred and the action, if any, to be taken in response thereto. The Audit Committee may take into account the qualitative and quantitative materiality of the violation from the perspective of either the determent to the Fund or the benefit to the violating officer, the policy behind the provision violated and such other facts and circumstances as it deems advisable under all of the facts and circumstances.
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Any material violation shall be reported in accordance with the requirements of Rule 30b2-1 of the 1940 Act and Form N-CSR.
E. | Regulatory Filing |
A copy of this Code of Ethics shall be filed as an exhibit to each Funds annual report on Form N-CSR.
F. | Records |
The Chief Compliance Officer or Chief Legal Officer shall retain copies of all records required by Form N-CSR and/or rules and regulations promulgated under the 1940 Act.
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CERTIFICATION
I, David S. Royal, certify that:
1. | I have reviewed this report on Form N-CSR of Thrivent Cash Management Trust; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; |
4. | The registrants other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: |
a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
c) | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and |
d) | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer(s) and I have disclosed to registrants auditors and the audit committee of the registrants board of directors (or persons performing the equivalent functions): |
a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize, and report financial information; and |
b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
Date: December 28, 2018
/s/ David S. Royal | ||||||
David S. Royal | ||||||
President and Chief Investment Officer | ||||||
(principal executive officer) |
CERTIFICATION
I, Gerard V. Vaillancourt, certify that:
1. | I have reviewed this report on Form N-CSR of Thrivent Cash Management Trust; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; |
4. | The registrants other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: |
a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
c) | Evaluated the effectiveness of the registrants disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and |
d) | Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and |
5. | The registrants other certifying officer(s) and I have disclosed to registrants auditors and the audit committee of the registrants board of directors (or persons performing the equivalent functions): |
a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants ability to record, process, summarize, and report financial information; and |
b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants internal control over financial reporting. |
Date: December 28, 2018
/s/ Gerard V. Vaillancourt | ||||||
Gerard V. Vaillancourt | ||||||
Treasurer and Principal Accounting Officer | ||||||
(principal financial officer) |
CERTIFICATION UNDER SECTION 906 OF SARBANES-OXLEY ACT OF 2002
Name of Registrant: Thrivent Cash Management Trust
In connection with the Report on Form N-CSR for the above-named issuer, the undersigned hereby certify, to the best of their knowledge, that:
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2. | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Issuer. |
Date: December 28, 2018 | ||||||
/s/ David S. Royal | ||||||
David S. Royal | ||||||
President and Chief Investment Officer | ||||||
(principal executive officer) | ||||||
Date: December 28, 2018 | ||||||
/s/ Gerard V. Vaillancourt | ||||||
Gerard V. Vaillancourt | ||||||
Treasurer and Principal Accounting Officer | ||||||
(principal financial officer) |