Review of Period
|
|
Economic Overview
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2
|
Outlook
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2
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Government Fund
|
3
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Core Bond Fund
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4
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Institutional Bond Fund
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5
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Investment Grade Corporate Bond Fund
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6
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Portfolio of Investments
|
|
Government Fund
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7
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Core Bond Fund
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8
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Institutional Bond Fund
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10
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Investment Grade Corporate Bond Fund
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11
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Statements of Assets and Liabilities
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13
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Statements of Operations
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14
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Statements of Changes in Net Assets
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15
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Financial Highlights
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16
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Notes to Financial Statements
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19
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Other Information
|
25
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FUND-AT-A-GLANCE
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Objective: Madison Mosaic Government Fund provides investors with monthly dividends by investing in bonds and other securities issued or guaranteed by the U.S. Government.
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Net Assets: $5.3 million
|
Date of Inception: July 21, 1983
|
Ticker: MADTX
|
TOP TEN HOLDINGS AS OF 6/30/12
|
|
% of net assets
|
|
U.S. Treasury Note, 3.125%, 10/31/16
|
12.60%
|
Freddie Mac, 2.5%, 5/27/16
|
7.10%
|
Federal Home Loan Bank, 3.375%, 6/12/20
|
5.62%
|
Fannie Mae, 2.375%, 4/11/16
|
5.05%
|
Federal Home Loan Bank, 1.375%, 5/28/14
|
4.85%
|
Fannie Mae, 2.375%, 7/28/15
|
4.01%
|
Fannie Mae, 1.625%, 10/26/15
|
3.94%
|
U.S. Treasury Note, 0.5%, 11/15/13
|
3.81%
|
U.S. Treasury Note, 3.75%, 11/15/18
|
3.34%
|
Freddie Mac, 4.5%, 7/15/13
|
2.98%
|
SECTOR ALLOCATION AS A PERCENTAGE OF NET ASSETS
AS OF 6/30/12
|
|
Mortgage Backed Securities
|
13.3%
|
U.S. Agency Notes
|
54.2%
|
U.S. Treasury Notes
|
29.6%
|
Cash and Other
|
2.9%
|
FUND-AT-A-GLANCE
|
Objective: Madison Mosaic Core Bond Fund provides relatively higher income by investing in a mix of higher, medium and lower-rated corporate bonds.
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Net Assets: $8.7 million
|
Date of Inception: July 21, 1983
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Ticker: MADBX
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TOP TEN HOLDINGS AS OF 6/30/12
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|
% of net assets
|
|
U.S. Treasury Note, 3.125%, 5/15/19
|
6.87%
|
U.S. Treasury Bond, 5.375%, 2/15/31
|
5.87%
|
Freddie Mac, 5%, 2/16/17
|
3.42%
|
U.S. Treasury Note, 2.625%, 11/15/20
|
3.16%
|
Ginnie Mae 698089, 4%, 4/15/39
|
3.04%
|
U.S. Treasury Bond, 3.75%, 8/15/41
|
2.78%
|
Freddie Mac J17506, 3%, 12/1/26
|
2.31%
|
Kimberly-Clark Corp., 6.125%, 8/1/17
|
2.12%
|
Valero Energy Corp., 6.125%, 2/1/20
|
2.00%
|
ConocoPhillips, 4.6%, 1/15/15
|
1.89%
|
SECTOR ALLOCATION AS A PERCENTAGE OF NET ASSETS
AS OF 6/30/12
|
|
Consumer Discretionary
|
2.9%
|
Consumer Staples
|
10.1%
|
Energy
|
6.3%
|
Financials
|
15.5%
|
Health Care
|
5.8%
|
Industrials
|
2.7%
|
Information Technology
|
8.3%
|
Materials
|
1.2%
|
Utilities
|
0.9%
|
Mortgage Backed Securities
|
21.7%
|
U.S. Government and Agency Obligations
|
22.5%
|
Cash and Other
|
2.1%
|
FUND-AT-A-GLANCE
|
Objective: The Madison Mosaic Institutional Bond Fund seeks total investment return through a combination of intermediate corporate and government bonds.
|
Net Assets: $115.8 million
|
Date of Inception: May 1, 2000
|
Ticker: MIIBX
|
TOP TEN HOLDINGS AS OF 6/30/12
|
|
% of net assets
|
|
U.S. Treasury Note, 4.25%, 8/15/14
|
4.67%
|
U.S. Treasury Note, 2%, 11/30/13
|
4.42%
|
U.S. Treasury Note, 1.375%, 1/15/13
|
4.35%
|
U.S. Treasury Note, 3%, 2/28/17
|
3.82%
|
Freddie Mac, 2.875%, 2/9/15
|
3.67%
|
U.S. Treasury Note, 0.75%, 9/15/13
|
3.47%
|
Freddie Mac, 2.5%, 5/27/16
|
3.46%
|
Fannie Mae, 1.375%, 11/15/16
|
3.32%
|
Fannie Mae, 4.625%, 10/15/14
|
3.08%
|
U.S. Treasury Note, 2.625%, 11/15/20
|
2.14%
|
SECTOR ALLOCATION AS A PERCENTAGE OF NET ASSETS
AS OF 6/30/12
|
|
Consumer Discretionary
|
1.0%
|
Consumer Staples
|
9.6%
|
Energy
|
1.9%
|
Financials
|
16.3%
|
Health Care
|
4.4%
|
Industrials
|
3.0%
|
Information Technology
|
10.2%
|
Materials
|
1.4%
|
Telecommunications Services
|
1.7%
|
U.S. Government & Agency Obligations
|
43.9%
|
Cash & Other
|
6.6%
|
FUND-AT-A-GLANCE
|
Objective: The Madison Mosaic Investment Grade Corporate Bond Fund provides investors with monthly income by investing in investment grade corporate securities.
|
Net Assets: $18.5 million
|
Date of Inception: July 1, 2007
|
Ticker: COINX
|
TOP TEN HOLDINGS AS OF 6/30/12
|
|
% of net assets
|
|
General Electric Capital Corp., 6.75%, 3/15/32
|
2.86%
|
Comcast Corp., 6.45%, 3/15/37
|
2.78%
|
Oracle Corp., 5.75%, 4/15/18
|
2.76%
|
Abbott Laboratories, 5.875%, 5/15/16
|
2.72%
|
Cisco Systems Inc., 5.5%, 2/22/16
|
2.67%
|
Wells Fargo & Co., 5.625%, 12/11/17
|
2.60%
|
Walgreen Co., 5.25%, 1/15/19
|
2.59%
|
American Express Co., 6.15%, 8/28/17
|
2.57%
|
Kraft Foods Inc., 5.375%, 2/10/20
|
2.57%
|
Berkshire Hathaway Finance Corp., 5.4%, 5/15/18
|
2.56%
|
SECTOR ALLOCATION AS A PERCENTAGE OF NET ASSETS
AS OF 6/30/12
|
|
Consumer Discretionary
|
9.6%
|
Consumer Staples
|
18.2%
|
Energy
|
11.3%
|
Financials
|
26.8%
|
Health Care
|
5.3%
|
Industrials
|
2.7%
|
Information Technology
|
14.3%
|
Materials
|
7.4%
|
Utilities
|
2.2%
|
Cash & Other
|
2.2%
|
Par Value
|
Value (Note 1)
|
|
MORTGAGE BACKED SECURITIES - 13.3%
|
||
Fannie Mae - 3.8%
|
||
5.5%, 2/1/18 Pool # 555345
|
$ 13,678
|
$ 14,866
|
5%, 6/1/18 Pool # 555545
|
28,410
|
30,765
|
6.5%, 5/1/32 Pool # 636758
|
7,182
|
8,222
|
6.5%, 6/1/32 Pool # 254346
|
8,504
|
9,736
|
6%, 8/1/32 Pool # 254405
|
14,105
|
15,886
|
4.5%, 12/1/35 Pool # 745147
|
87,136
|
93,644
|
5.5%, 1/1/38 Pool # 953589
|
24,511
|
26,751
|
199,870
|
||
Freddie Mac - 7.5%
|
||
5.5%, 8/1/17 Pool # E90778
|
10,782
|
11,696
|
4.5%, 11/1/23 Pool # G13342
|
25,020
|
26,633
|
3%, 12/1/26 Pool # J17506
|
95,682
|
100,284
|
3%, 1/1/27 Pool # G18420
|
95,667
|
100,268
|
6.5%, 6/1/32 Pool # C01364
|
8,199
|
9,341
|
4%, 10/1/40 Pool # A94362
|
138,703
|
147,422
|
395,644
|
||
Ginnie Mae - 2.0%
|
||
7%, 9/20/27 Pool # 2483
|
5,518
|
6,581
|
6%, 2/15/38 Pool # 676516
|
24,038
|
27,018
|
4%, 4/15/39 Pool # 698089
|
64,161
|
70,310
|
103,909
|
||
Total Mortgage Backed Securities
(Cost $663,679)
|
699,423
|
|
U.S. GOVERNMENT AND AGENCY OBLIGATIONS - 83.8%
|
||
Fannie Mae - 24.3%
|
||
3.625%, 2/12/13
|
150,000
|
153,085
|
4.75%, 2/21/13
|
150,000
|
154,263
|
4.375%, 7/17/13
|
150,000
|
156,367
|
4.625%, 10/15/13
|
125,000
|
131,983
|
2.375%, 7/28/15
|
200,000
|
211,197
|
1.625%, 10/26/15
|
200,000
|
207,330
|
2.375%, 4/11/16
|
250,000
|
265,790
|
1,280,015
|
||
Par Value
|
Value (Note 1)
|
|
Federal Home Loan Bank - 15.4%
|
||
4%, 9/6/13
|
$150,000
|
$ 156,590
|
3.125%, 12/13/13
|
100,000
|
104,063
|
1.375%, 5/28/14
|
250,000
|
255,178
|
3.375%, 6/12/20
|
265,000
|
295,778
|
811,609
|
||
Freddie Mac - 14.5%
|
||
4.5%, 7/15/13
|
150,000
|
156,656
|
2.875%, 2/9/15
|
125,000
|
132,790
|
2.5%, 5/27/16
|
350,000
|
373,746
|
1.25%, 5/12/17
|
100,000
|
101,441
|
764,633
|
||
U.S. Treasury Bond - 3.8%
|
||
0.5%, 11/15/13
|
200,000
|
200,602
|
U.S. Treasury Note - 25.8%
|
||
4%, 11/15/12
|
150,000
|
152,150
|
0.625%, 1/31/13
|
150,000
|
150,404
|
4.25%, 8/15/14
|
100,000
|
108,242
|
3.125%, 10/31/16
|
600,000
|
663,422
|
4.5%, 5/15/17
|
90,000
|
106,186
|
3.75%, 11/15/18
|
150,000
|
175,724
|
1,356,128
|
||
Total U.S. Government and Agency Obligations (Cost $4,270,166)
|
4,412,987
|
|
Repurchase Agreement - 2.5%
|
||
With U.S. Bank National Association issued 6/29/12 at 0.01%, due 7/2/12, collateralized by $134,108 in Fannie Mae Pool #555745 due 9/1/18. Proceeds at maturity are $131,478 (Cost $131,478)
|
131,478
|
|
TOTAL INVESTMENTS - 99.6% (Cost $5,065,323)
|
5,243,888
|
|
NET OTHER ASSETS AND LIABILITIES - 0.4%
|
20,923
|
|
TOTAL ASSETS - 100.0%
|
$ 5,264,811
|
Par Value
|
Value (Note 1)
|
|
CORPORATE NOTES AND BONDS - 53.7%
|
||
Consumer Discretionary - 2.9%
|
||
Comcast Cable Communications Holdings Inc., 8.375%, 3/15/13
|
$ 27,000
|
$ 28,464
|
Comcast Corp., 5.3%, 1/15/14
|
100,000
|
106,438
|
McDonald’s Corp., 5.35%, 3/1/18
|
100,000
|
120,222
|
255,124
|
||
Consumer Staples - 10.1%
|
||
Bottling Group LLC., 5.125%, 1/15/19
|
100,000
|
117,928
|
Costco Wholesale Corp., 5.5%, 3/15/17
|
100,000
|
119,438
|
CVS Caremark Corp., 5.75%, 6/1/17
|
100,000
|
118,227
|
Kellogg Co., 4.45%, 5/30/16
|
100,000
|
110,756
|
Kimberly-Clark Corp., 6.125%, 8/1/17
|
150,000
|
183,957
|
Sysco Corp., 5.25%, 2/12/18
|
100,000
|
119,508
|
Walgreen Co., 4.875%, 8/1/13
|
100,000
|
104,461
|
874,275
|
||
Energy - 6.3%
|
||
BP Capital Markets PLC, 3.875%, 3/10/15
|
52,000
|
55,759
|
ConocoPhillips, 4.6%, 1/15/15
|
150,000
|
164,319
|
Devon Energy Corp., 6.3%, 1/15/19
|
125,000
|
153,571
|
Valero Energy Corp., 6.125%, 2/1/20
|
150,000
|
173,451
|
547,100
|
||
Financials - 15.5%
|
||
Allstate Corp./The, 6.2%, 5/16/14
|
100,000
|
110,046
|
American Express Credit Corp., 5.875%, 5/2/13
|
150,000
|
156,285
|
Bank of New York Mellon Corp./The, 4.3%, 5/15/14
|
150,000
|
159,993
|
Berkshire Hathaway Finance Corp., 4.85%, 1/15/15
|
100,000
|
110,091
|
General Electric Capital Corp., 4.8%, 5/1/13
|
100,000
|
103,398
|
Goldman Sachs Group Inc./The, 5.75%, 10/1/16
|
100,000
|
106,972
|
JPMorgan Chase & Co., 3.7%, 1/20/15
|
150,000
|
156,557
|
Markel Corp., 6.8%, 2/15/13
|
75,000
|
77,315
|
National Rural Utilities Cooperative Finance Corp., 4.75%, 3/1/14
|
100,000
|
106,669
|
US Bancorp, 4.2%, 5/15/14
|
100,000
|
106,477
|
Wells Fargo & Co., 4.375%, 1/31/13
|
150,000
|
153,311
|
1,347,114
|
||
Health Care - 5.8%
|
||
Abbott Laboratories, 5.6%, 11/30/17
|
100,000
|
121,049
|
Eli Lilly & Co., 4.2%, 3/6/14
|
100,000
|
106,107
|
Merck & Co. Inc., 4%, 6/30/15
|
150,000
|
163,768
|
Pfizer Inc., 5.35%, 3/15/15
|
100,000
|
111,878
|
502,802
|
||
Par Value
|
Value (Note 1)
|
|
Industrials - 2.7%
|
||
Danaher Corp., 3.9%, 6/23/21
|
$100,000
|
$ 111,612
|
United Parcel Service Inc., 5.5%, 1/15/18
|
100,000
|
120,283
|
231,895
|
||
Information Technology - 8.3%
|
||
Cisco Systems Inc., 5.5%, 2/22/16
|
100,000
|
116,136
|
Google Inc., 3.625%, 5/19/21
|
100,000
|
110,959
|
Hewlett-Packard Co., 5.5%, 3/1/18
|
100,000
|
113,267
|
Oracle Corp., 4.95%, 4/15/13
|
100,000
|
103,569
|
Texas Instruments Inc., 2.375%, 5/16/16
|
150,000
|
157,879
|
Western Union Co./The, 5.93%, 10/1/16
|
100,000
|
116,131
|
717,941
|
||
Materials - 1.2%
|
||
EI du Pont de Nemours & Co., 4.75%, 11/15/12
|
100,000
|
101,556
|
Utilities - 0.9%
|
||
Dominion Resources Inc., 5.7%, 9/17/12
|
75,000
|
75,771
|
Total Corporate Notes and Bonds (Cost $4,396,722)
|
4,653,578
|
|
MORTGAGE BACKED SECURITIES - 21.7%
|
||
Fannie Mae - 10.6%
|
||
5%, 2/1/19 Pool # 725341
|
23,515
|
25,464
|
6%, 3/1/21 Pool # 745406
|
34,435
|
37,887
|
5.5%, 3/1/21 Pool # 837199
|
41,529
|
45,421
|
6.5%, 5/1/32 Pool # 636758
|
9,576
|
10,962
|
4.5%, 12/1/35 Pool # 745147
|
87,136
|
93,644
|
5%, 2/1/36 Pool # 745275
|
88,955
|
96,534
|
5%, 3/1/36 Pool # 745355
|
118,832
|
128,956
|
5.5%, 5/1/36 Pool # 745516
|
38,732
|
42,490
|
6%, 12/1/36 Pool # 256514
|
48,013
|
52,918
|
6%, 12/1/36 Pool # 902070
|
44,947
|
49,539
|
6%, 12/1/36 Pool # 903002
|
45,629
|
50,290
|
5.5%, 1/1/37 Pool # 905805
|
82,781
|
90,452
|
5.5%, 1/1/38 Pool # 953589
|
24,511
|
26,751
|
6%, 1/1/38 Pool # 965649
|
26,691
|
29,418
|
5%, 4/1/38 Pool # 889260
|
132,135
|
143,063
|
923,789
|
||
Freddie Mac - 8.1%
|
||
5%, 2/1/21 Pool # G11911
|
43,146
|
46,387
|
4.5%, 4/1/23 Pool # J07302
|
89,309
|
95,064
|
4.5%, 11/1/23 Pool # G13342
|
50,041
|
53,265
|
3%, 12/1/26 Pool # J17506
|
191,364
|
200,568
|
3%, 1/1/27 Pool # G18420
|
143,501
|
150,403
|
6%, 8/1/36 Pool # A51727
|
32,864
|
36,123
|
6.5%, 11/1/36 Pool # C02660
|
47,218
|
53,026
|
5%, 9/1/38 Pool # G04815
|
62,525
|
67,222
|
702,058
|
Par Value
|
Value (Note 1)
|
|
MORTGAGE BACKED SECURITIES (continued)
|
||
Ginnie Mae - 3.0%
|
||
4%, 4/15/39 Pool # 698089
|
$240,603
|
$ 263,664
|
Total Mortgage Backed Securities (Cost $1,776,510)
|
1,889,511
|
|
U.S. GOVERNMENT AND AGENCY OBLIGATIONS - 22.5%
|
||
Freddie Mac - 3.4%
|
||
5%, 2/16/17
|
250,000
|
297,116
|
U.S. Treasury Bond - 8.6%
|
||
5.375%, 2/15/31
|
350,000
|
510,070
|
3.75%, 8/15/41
|
200,000
|
241,219
|
751,289
|
||
U.S. Treasury Note - 10.5%
|
||
3.125%, 10/31/16
|
35,000
|
38,700
|
3.125%, 5/15/19
|
525,000
|
596,777
|
2.625%, 11/15/20
|
250,000
|
274,824
|
910,301
|
||
Total U.S. Government and Agency Obligations (Cost $1,774,621)
|
1,958,707
|
|
Value (Note 1)
|
||
Repurchase Agreement - 1.2%
|
||
With U.S. Bank National Association issued 6/29/12 at 0.01%, due 7/2/12, collateralized by $106,898 in Fannie Mae Pool #555745 due 9/1/18. Proceeds at maturity are $104,802 (Cost $104,802)
|
$ 104,802
|
|
TOTAL INVESTMENTS - 99.1% (Cost $8,052,655)
|
8,606,598
|
|
NET OTHER ASSETS AND LIABILITIES - 0.9%
|
79,940
|
|
TOTAL ASSETS - 100.0%
|
$ 8,686,538
|
LLC Limited Liability Company
|
PLC Public Limited Company
|
Par Value
|
Value (Note 1)
|
|
CORPORATE NOTES AND BONDS - 49.5%
|
||
Consumer Discretionary - 1.0%
|
||
McDonald’s Corp., 5.35%, 3/1/18
|
$1,000,000
|
$ 1,202,217
|
Consumer Staples - 9.6%
|
||
Coca-Cola Co./The, 4.875%, 3/15/19
|
2,000,000
|
2,378,546
|
PepsiCo Inc., 4.65%, 2/15/13
|
1,500,000
|
1,538,763
|
Procter & Gamble Co./The, 4.7%, 2/15/19
|
1,500,000
|
1,781,790
|
Sysco Corp., 5.25%, 2/12/18
|
1,000,000
|
1,195,079
|
Walgreen Co., 4.875%, 8/1/13
|
125,000
|
130,577
|
Walgreen Co., 5.25%, 1/15/19
|
1,500,000
|
1,708,731
|
Wal-Mart Stores Inc., 4.55%, 5/1/13
|
125,000
|
129,273
|
Wal-Mart Stores Inc., 4.5%, 7/1/15
|
2,000,000
|
2,218,184
|
11,080,943
|
||
Energy - 1.9%
|
||
BP Capital Markets PLC, 3.875%, 3/10/15
|
518,000
|
555,447
|
ConocoPhillips, 4.6%, 1/15/15
|
1,500,000
|
1,643,183
|
2,198,630
|
||
Financials - 16.3%
|
||
Allstate Corp./The, 6.2%, 5/16/14
|
2,000,000
|
2,200,920
|
American Express Co., 4.875%, 7/15/13
|
1,500,000
|
1,560,294
|
Bank of New York Mellon Corp./The, 4.3%, 5/15/14
|
1,500,000
|
1,599,924
|
Berkshire Hathaway Finance Corp., 4.85%, 1/15/15
|
1,450,000
|
1,596,314
|
General Electric Capital Corp., 5.625%, 9/15/17
|
2,000,000
|
2,297,770
|
John Deere Capital Corp., 1.4%, 3/15/17
|
2,000,000
|
2,007,610
|
JPMorgan Chase & Co., 3.7%, 1/20/15
|
2,000,000
|
2,087,430
|
National Rural Utilities Cooperative Finance Corp., 4.75%, 3/1/14
|
1,450,000
|
1,546,705
|
US Bancorp, 4.2%, 5/15/14
|
1,500,000
|
1,597,155
|
Wells Fargo & Co., 5.625%, 12/11/17
|
2,000,000
|
2,338,240
|
18,832,362
|
||
Health Care - 4.4%
|
||
Abbott Laboratories, 5.6%, 11/30/17
|
2,000,000
|
2,420,988
|
Eli Lilly & Co., 4.2%, 3/6/14
|
450,000
|
477,480
|
Pfizer Inc., 5.35%, 3/15/15
|
2,000,000
|
2,237,562
|
5,136,030
|
||
Industrials - 3.0%
|
||
Caterpillar Inc., 3.9%, 5/27/21
|
1,500,000
|
1,673,487
|
United Parcel Service Inc., 5.5%, 1/15/18
|
1,500,000
|
1,804,251
|
3,477,738
|
||
Information Technology - 10.2%
|
||
Cisco Systems Inc., 5.5%, 2/22/16
|
2,000,000
|
2,322,722
|
Google Inc., 3.625%, 5/19/21
|
1,500,000
|
1,664,379
|
Intel Corp., 1.95%, 10/1/16
|
2,000,000
|
2,074,762
|
International Business Machines Corp., 4.75%, 11/29/12
|
1,000,000
|
1,018,587
|
Par Value
|
Value (Note 1)
|
|
Microsoft Corp., 3%, 10/1/20
|
$1,500,000
|
$ 1,633,029
|
Oracle Corp., 4.95%, 4/15/13
|
1,000,000
|
1,035,685
|
Texas Instruments Inc., 2.375%, 5/16/16
|
2,000,000
|
2,105,054
|
11,854,218
|
||
Materials - 1.4%
|
||
EI du Pont de Nemours & Co., 3.25%, 1/15/15
|
1,500,000
|
1,596,487
|
Telecommunication Services - 1.7%
|
||
AT&T Inc., 1.6%, 2/15/17
|
2,000,000
|
2,004,778
|
Total Corporate Notes and Bonds (Cost $55,525,743)
|
57,383,403
|
|
U.S. GOVERNMENT AND AGENCY OBLIGATIONS - 43.9%
|
||
Fannie Mae - 6.4%
|
||
4.625%, 10/15/14
|
3,250,000
|
3,563,554
|
1.375%, 11/15/16
|
3,750,000
|
3,842,216
|
7,405,770
|
||
Federal Home Loan Bank - 1.8%
|
||
3.625%, 5/29/13
|
2,000,000
|
2,061,480
|
Freddie Mac - 11.1%
|
||
5.125%, 7/15/12
|
2,250,000
|
2,253,103
|
4.5%, 7/15/13
|
2,250,000
|
2,349,844
|
2.875%, 2/9/15
|
4,000,000
|
4,249,276
|
2.5%, 5/27/16
|
3,750,000
|
4,004,423
|
12,856,646
|
||
U.S. Treasury Note - 24.6%
|
||
4%, 11/15/12
|
2,000,000
|
2,028,672
|
1.375%, 1/15/13
|
5,000,000
|
5,032,620
|
0.75%, 9/15/13
|
4,000,000
|
4,023,284
|
2%, 11/30/13
|
5,000,000
|
5,120,900
|
4.25%, 8/15/14
|
5,000,000
|
5,412,110
|
3%, 2/28/17
|
4,000,000
|
4,421,564
|
2.625%, 11/15/20
|
2,250,000
|
2,473,418
|
28,512,568
|
||
Total U.S. Government and Agency Obligations (Cost $50,040,097)
|
50,836,464
|
|
Repurchase Agreement - 5.7%
|
||
With U.S. Bank National Association issued 6/29/12 at 0.01%, due 7/2/12, collateralized by $6,671,876 in Fannie Mae Pool #555745 due 9/1/18. Proceeds at maturity are $6,541,048 (Cost $6,541,042)
|
6,541,042
|
|
TOTAL INVESTMENTS - 99.1% (Cost $112,106,882)
|
114,760,909
|
|
NET OTHER ASSETS AND LIABILITIES - 0.9%
|
1,062,139
|
|
TOTAL ASSETS - 100.0%
|
$115,823,048
|
Par Value
|
Value (Note 1)
|
|
CORPORATE NOTES AND BONDS - 97.8%
|
||
Consumer Discretionary - 9.6%
|
||
Comcast Corp., 6.45%, 3/15/37
|
$420,000
|
$ 512,481
|
DIRECTV Holdings LLC./DIRECTV Financing Co. Inc., 5%, 3/1/21
|
400,000
|
440,217
|
McDonald’s Corp., 5.8%, 10/15/17
|
20,000
|
24,318
|
Target Corp., 5.875%, 7/15/16
|
20,000
|
23,756
|
Target Corp., 5.375%, 5/1/17
|
400,000
|
472,327
|
Time Warner Inc., 6.25%, 3/29/41
|
250,000
|
291,739
|
1,764,839
|
||
Consumer Staples - 18.2%
|
||
Coca-Cola Refreshments USA Inc., 7.375%, 3/3/14
|
10,000
|
11,079
|
CVS Caremark Corp., 5.75%, 6/1/17
|
400,000
|
472,910
|
General Mills Inc., 5.65%, 2/15/19
|
380,000
|
459,334
|
Kellogg Co., 1.875%, 11/17/16
|
400,000
|
405,533
|
Kimberly-Clark Corp., 6.125%, 8/1/17
|
10,000
|
12,264
|
Kraft Foods Inc., 6.5%, 8/11/17
|
20,000
|
24,293
|
Kraft Foods Inc., 5.375%, 2/10/20
|
400,000
|
474,097
|
PepsiCo Inc., 5.5%, 1/15/40
|
275,000
|
347,116
|
Sysco Corp., 0.55%, 6/12/15
|
200,000
|
198,788
|
Sysco Corp., 5.25%, 2/12/18
|
25,000
|
29,877
|
Walgreen Co., 5.25%, 1/15/19
|
420,000
|
478,445
|
Wal-Mart Stores Inc., 3.25%, 10/25/20
|
420,000
|
451,482
|
3,365,217
|
||
Energy - 11.3%
|
||
BP Capital Markets PLC, 3.875%, 3/10/15
|
13,000
|
13,940
|
ConocoPhillips, 4.6%, 1/15/15
|
420,000
|
460,091
|
Devon Energy Corp., 5.625%, 1/15/14
|
15,000
|
16,049
|
Devon Energy Corp., 5.6%, 7/15/41
|
400,000
|
465,873
|
Marathon Oil Corp., 6%, 10/1/17
|
400,000
|
471,642
|
Occidental Petroleum Corp., 1.5%, 2/15/18
|
200,000
|
200,889
|
Valero Energy Corp., 6.625%, 6/15/37
|
410,000
|
461,206
|
2,089,689
|
||
Financials - 26.8%
|
||
Allstate Corp./The, 5%, 8/15/14
|
400,000
|
432,978
|
American Express Co., 4.875%, 7/15/13
|
25,000
|
26,005
|
American Express Co., 6.15%, 8/28/17
|
400,000
|
474,424
|
Bank of New York Mellon Corp./The, 4.3%, 5/15/14
|
425,000
|
453,312
|
Berkshire Hathaway Finance Corp., 4.85%, 1/15/15
|
20,000
|
22,018
|
Berkshire Hathaway Finance Corp., 5.4%, 5/15/18
|
400,000
|
473,008
|
General Electric Capital Corp., 6.75%, 3/15/32
|
425,000
|
527,780
|
Par Value
|
Value (Note 1)
|
|
Goldman Sachs Group Inc./The, 5.125%, 1/15/15
|
$ 20,000
|
$ 20,893
|
Goldman Sachs Group Inc./The, 3.625%, 2/7/16
|
250,000
|
250,236
|
JPMorgan Chase & Co., 4.75%, 3/1/15
|
20,000
|
21,426
|
JPMorgan Chase & Co., 4.25%, 10/15/20
|
400,000
|
420,940
|
National Rural Utilities Cooperative Finance Corp., 4.75%, 3/1/14
|
425,000
|
453,345
|
Simon Property Group LP, 4.125%, 12/1/21
|
400,000
|
426,988
|
US Bancorp, 4.2%, 5/15/14
|
25,000
|
26,619
|
US Bancorp, 2.2%, 11/15/16
|
400,000
|
412,963
|
Wells Fargo & Co., 5.625%, 12/11/17
|
410,000
|
479,339
|
Wells Fargo & Co., 4.6%, 4/1/21
|
15,000
|
16,765
|
4,939,039
|
||
Health Care - 5.3%
|
||
Abbott Laboratories, 5.875%, 5/15/16
|
425,000
|
501,574
|
Merck & Co. Inc., 3.875%, 1/15/21
|
400,000
|
450,675
|
Pfizer Inc., 5.35%, 3/15/15
|
25,000
|
27,970
|
980,219
|
||
Industrials - 2.7%
|
||
Caterpillar Inc., 5.2%, 5/27/41
|
20,000
|
24,355
|
CSX Corp., 6.15%, 5/1/37
|
20,000
|
24,620
|
Norfolk Southern Corp., 3.25%, 12/1/21
|
400,000
|
414,287
|
United Parcel Service Inc., 5.5%, 1/15/18
|
20,000
|
24,057
|
487,318
|
||
Information Technology - 14.3%
|
||
Cisco Systems Inc., 5.5%, 2/22/16
|
425,000
|
493,578
|
Hewlett-Packard Co., 4.75%, 6/2/14
|
400,000
|
423,109
|
Hewlett-Packard Co., 3.75%, 12/1/20
|
25,000
|
24,973
|
Intel Corp., 1.95%, 10/1/16
|
300,000
|
311,214
|
Intel Corp., 3.3%, 10/1/21
|
20,000
|
21,423
|
International Business Machines Corp., 4.75%, 11/29/12
|
20,000
|
20,372
|
International Business Machines Corp., 1.95%, 7/22/16
|
400,000
|
411,880
|
Oracle Corp., 5.75%, 4/15/18
|
420,000
|
510,226
|
Texas Instruments Inc., 1.375%, 5/15/14
|
400,000
|
404,604
|
Western Union Co./The, 5.93%, 10/1/16
|
20,000
|
23,226
|
2,644,605
|
||
Materials - 7.4%
|
||
Alcoa Inc., 5.95%, 2/1/37
|
250,000
|
241,787
|
ArcelorMittal, 6.25%, 2/25/22
|
250,000
|
245,289
|
Dow Chemical Co./The, 4.125%, 11/15/21
|
400,000
|
429,860
|
EI du Pont de Nemours & Co., 4.75%, 11/15/12
|
25,000
|
25,389
|
EI du Pont de Nemours & Co., 3.25%, 1/15/15
|
400,000
|
425,730
|
1,368,054
|
Par Value
|
Value (Note 1)
|
|
CORPORATE NOTES AND BONDS (continued)
|
||
Utilities - 2.2%
|
||
Dominion Resources Inc., 5.7%, 9/17/12
|
$410,000
|
$ 414,215
|
Total Corporate Notes and Bonds (Cost $17,589,751)
|
18,053,195
|
|
Repurchase Agreement - 1.1%
|
||
With U.S. Bank National Association issued 6/29/12 at 0.01%, due 7/2/12, collateralized by $204,409 in Fannie Mae Pool #555745 due 9/1/18. Proceeds at maturity are $200,401 (Cost $200,401)
|
200,401
|
|
TOTAL INVESTMENTS - 98.9% (Cost $17,790,152)
|
18,253,596
|
|
NET OTHER ASSETS AND LIABILITIES - 1.1%
|
205,351
|
|
TOTAL ASSETS - 100.0%
|
$ 18,458,947
|
LLC Limited Liability Company
|
PLC Public Limited Company
|
Government
Fund
|
Core Bond
Fund
|
Institutional Bond Fund
|
Investment Grade Corporate Bond Fund
|
|
ASSETS
|
||||
Investments, at value (Notes 1 and 2)
|
||||
Investment securities
|
$ 5,112,410
|
$ 8,501,796
|
$108,219,867
|
$ 18,053,195
|
Repurchase agreements
|
131,478
|
104,802
|
6,541,042
|
200,401
|
Total investments*
|
5,243,888
|
8,606,598
|
114,760,909
|
18,253,596
|
Receivables
|
||||
Interest
|
30,743
|
88,255
|
1,045,106
|
200,397
|
Capital shares sold
|
198
|
1,076
|
369,630
|
48,722
|
Total assets
|
5,274,829
|
8,695,929
|
116,175,645
|
18,502,715
|
LIABILITIES
|
||||
Payables
|
||||
Dividends
|
186
|
1,102
|
239,392
|
30,808
|
Capital shares redeemed
|
5,688
|
1,995
|
61,307
|
–
|
Management fees
|
1,724
|
2,897
|
28,101
|
6,006
|
Service fees
|
1,199
|
2,147
|
17,797
|
4,454
|
Auditor fees
|
1,000
|
1,000
|
4,000
|
2,000
|
Independent trustee fees
|
250
|
250
|
2,000
|
500
|
Waived fees
|
(29)
|
–
|
–
|
–
|
Total liabilities
|
10,018
|
9,391
|
352,597
|
43,768
|
NET ASSETS
|
$ 5,264,811
|
$ 8,686,538
|
$115,823,048
|
$ 18,458,947
|
Net assets consists of:
|
||||
Paid in capital
|
$5,070,461
|
$8,111,555
|
$112,868,592
|
$17,995,372
|
Accumulated net realized gains
|
15,785
|
21,040
|
300,429
|
131
|
Net unrealized appreciation on investments
|
178,565
|
553,943
|
2,654,027
|
463,444
|
Net Assets
|
$ 5,264,811
|
$ 8,686,538
|
$115,823,048
|
$ 18,458,947
|
CLASS Y SHARES:
|
||||
Net Assets
|
$ 5,264,811
|
$ 8,676,387
|
$115,823,048
|
$ 18,458,947
|
Shares of beneficial interest outstanding
|
485,937
|
1,208,928
|
10,335,074
|
1,615,232
|
Net Asset Value and redemption price per share
|
$10.83
|
$7.18
|
$11.21
|
$11.43
|
CLASS R6 SHARES:1
|
||||
Net Assets
|
$ 10,151
|
|||
Shares of beneficial interest outstanding
|
1,414
|
|||
Net Asset Value and redemption price per share
|
$7.18
|
|||
*INVESTMENT SECURITIES, AT COST
|
$ 5,065,323
|
$ 8,052,655
|
$112,106,882
|
$ 17,790,152
|
1
|
Class R6 shares are not available for the Government, Institutional Bond and Investment Grade Corporate Bond Funds.
|
Government
Fund
|
Core Bond
Fund
|
Institutional Bond Fund
|
Investment Grade Corporate Bond Fund
|
|
INVESTMENT INCOME (Note 1)
|
||||
Interest income
|
$56,188
|
$148,462
|
$ 896,050
|
$250,384
|
Other income
|
–
|
–
|
–
|
109
|
Total investment income
|
56,188
|
148,462
|
896,050
|
250,493
|
EXPENSES (Notes 3 and 4)
|
||||
Investment advisory fees
|
10,463
|
17,836
|
160,551
|
35,942
|
Other expenses:
|
||||
Service agreement fees
|
5,816
|
11,844
|
93,683
|
23,906
|
Auditor fees
|
1,000
|
1,000
|
4,000
|
2,000
|
Independent trustee fees
|
500
|
500
|
4,000
|
1,000
|
Waived fees
|
(29)
|
–
|
–
|
–
|
Total other expenses
|
7,287
|
13,344
|
101,683
|
26,906
|
Total expenses
|
17,750
|
31,180
|
262,234
|
62,848
|
NET INVESTMENT INCOME
|
38,438
|
117,282
|
633,816
|
187,645
|
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
|
||||
Net realized gain on investments
|
13,442
|
49,522
|
353,305
|
131
|
Change in net unrealized appreciation (depreciation) of investments
|
(4,611)
|
14,115
|
153,573
|
248,762
|
NET GAIN ON INVESTMENTS
|
8,831
|
63,637
|
506,878
|
248,893
|
TOTAL INCREASE IN NET ASSETS RESULTING FROM OPERATIONS
|
$47,269
|
$180,919
|
$1,140,694
|
$436,538
|
Government Fund
|
Core Bond Fund
|
|||
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
|
2012
|
2011
|
2012
|
2011
|
|
INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS
|
||||
Net investment income
|
$ 38,438
|
$ 93,158
|
$ 117,282
|
$ 248,028
|
Net realized gain on investments
|
13,442
|
47,196
|
49,522
|
12,197
|
Net unrealized appreciation (depreciation) on investments
|
(4,611)
|
44,311
|
14,115
|
261,165
|
Net increase in net assets resulting from operations
|
47,269
|
184,665
|
180,919
|
521,390
|
DISTRIBUTION TO SHAREHOLDERS
|
||||
From net investment income
|
||||
Class Y
|
(38,438)
|
(93,158)
|
(117,185)
|
(248,028)
|
Class R6
|
–
|
–
|
(97)
|
–
|
From net capital gains
|
||||
Class Y
|
–
|
(44,407)
|
–
|
–
|
Class R6
|
–
|
–
|
–
|
–
|
Total distributions
|
(38,438)
|
(137,565)
|
(117,282)
|
(248,028)
|
CAPITAL SHARE TRANSACTIONS (Note 7)
|
(72,384)
|
233,715
|
(222,647)
|
(523,472)
|
NET INCREASE (DECREASE) IN NET ASSETS
|
(63,553)
|
280,815
|
(159,010)
|
(250,110)
|
NET ASSETS
|
||||
Beginning of period
|
$5,328,364
|
$5,047,549
|
$8,845,548
|
$9,095,658
|
End of period
|
$5,264,811
|
$5,328,364
|
$8,686,538
|
$8,845,548
|
Institutional Bond Fund
|
Investment Grade
Corporate Bond Fund
|
|||
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
|
2012
|
2011
|
2012
|
2011
|
|
INCREASE IN NET ASSETS RESULTING FROM OPERATIONS
|
||||
Net investment income
|
$ 633,816
|
$ 1,034,945
|
$ 187,645
|
$ 68,187
|
Net realized gain (loss) on investments
|
353,305
|
(52,876)
|
131
|
20,796
|
Net unrealized appreciation on investments
|
153,573
|
1,255,427
|
248,762
|
147,554
|
Net increase in net assets resulting from operations
|
1,140,694
|
2,237,496
|
436,538
|
236,537
|
DISTRIBUTIONS TO SHAREHOLDERS
|
||||
From net investment income
|
||||
Class Y
|
(633,816)
|
(1,034,945)
|
(187,645)
|
(68,187)
|
From net capital gains
|
||||
Class Y
|
–
|
(59,296)
|
–
|
(23,110)
|
Total distributions
|
(633,816)
|
(1,094,241)
|
(187,645)
|
(91,297)
|
CAPITAL SHARE TRANSACTIONS (Note 7)
|
10,467,534
|
51,317,599
|
659,600
|
16,336,110
|
NET INCREASE IN NET ASSETS
|
10,974,412
|
52,460,854
|
908,493
|
16,481,350
|
NET ASSETS
|
||||
Beginning of period
|
$104,848,636
|
$ 52,387,782
|
$17,550,454
|
$ 1,069,104
|
End of period
|
$115,823,048
|
$104,848,636
|
$18,458,947
|
$17,550,454
|
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
|||||
2012
|
2011
|
2010
|
2009
|
2008
|
2007
|
|
CLASS Y
|
||||||
Net asset value, beginning of period
|
$10.82
|
$10.72
|
$10.63
|
$10.81
|
$10.30
|
$9.94
|
Investment operations:
|
||||||
Net investment income1
|
0.08
|
0.20
|
0.26
|
0.27
|
0.32
|
0.33
|
Net realized and unrealized gain (loss) on investments
|
0.01
|
0.19
|
0.10
|
(0.15)
|
0.51
|
0.36
|
Total from investment operations
|
0.09
|
0.39
|
0.36
|
0.12
|
0.83
|
0.69
|
Less distributions:
|
||||||
From net investment income
|
(0.08)
|
(0.20)
|
(0.26)
|
(0.27)
|
(0.32)
|
(0.33)
|
From net capital gains
|
–
|
(0.09)
|
(0.01)
|
(0.03)
|
–
|
–
|
Total distribution
|
(0.08)
|
(0.29)
|
(0.27)
|
(0.30)
|
(0.32)
|
(0.33)
|
Net asset value, end of period
|
$10.83
|
$10.82
|
$10.72
|
$10.63
|
$10.81
|
$10.30
|
Total return (%)
|
0.83
|
3.65
|
3.40
|
1.19
|
8.17
|
7.10
|
Ratios and supplemental data
|
||||||
Net assets, end of period (in thousands)
|
$5,265
|
$5,328
|
$5,048
|
$4,300
|
$5,071
|
$2,986
|
Ratio of expenses to average net assets before fee waiver (%)
|
0.682
|
0.69
|
0.68
|
0.69
|
0.78
|
1.15
|
Ratio of expenses to average net assets after fee waiver (%)
|
0.682
|
N/A
|
N/A
|
N/A
|
N/A
|
N/A
|
Ratio of net investment income to average net assets before fee waiver (%)
|
1.472
|
1.81
|
2.39
|
2.55
|
3.00
|
3.30
|
Ratio of net investment income to average net assets after fee waiver (%)
|
1.472
|
N/A
|
N/A
|
N/A
|
N/A
|
N/A
|
Portfolio turnover3 (%)
|
17
|
45
|
20
|
38
|
67
|
18
|
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
|||||
2012
|
2011
|
2010
|
2009
|
2008
|
2007
|
|
CLASS Y
|
||||||
Net asset value, beginning of period
|
$7.13
|
$6.89
|
$6.76
|
$6.74
|
$6.58
|
$6.44
|
Investment operations:
|
||||||
Net investment income1
|
0.09
|
0.21
|
0.21
|
0.21
|
0.27
|
0.26
|
Net realized and unrealized gain (loss) on investments
|
0.05
|
0.24
|
0.13
|
0.02
|
0.16
|
0.14
|
Total from investment operations
|
0.14
|
0.45
|
0.34
|
0.23
|
0.43
|
0.40
|
Less distributions from net investment income
|
(0.09)
|
(0.21)
|
(0.21)
|
(0.21)
|
(0.27)
|
(0.26)
|
Net asset value, end of period
|
$7.18
|
$7.13
|
$6.89
|
$6.76
|
$6.74
|
$6.58
|
Total return (%)
|
2.03
|
6.60
|
5.11
|
3.43
|
6.80
|
6.41
|
Ratios and supplemental data
|
||||||
Net assets, end of period (in thousands)
|
$8,676
|
$8,846
|
$9,096
|
$12,501
|
$5,188
|
$4,523
|
Ratio of expenses to average net assets (%)
|
0.702
|
0.70
|
0.70
|
0.70
|
0.80
|
1.12
|
Ratio of net investment income to average net assets (%)
|
2.622
|
2.94
|
3.04
|
3.13
|
4.18
|
4.05
|
Portfolio turnover3 (%)
|
11
|
21
|
32
|
16
|
36
|
41
|
1
|
Based on average daily shares outstanding during the year.
|
2
|
Annualized.
|
3
|
Portfolio Turnover is calculated at the fund level and represents the entire fiscal year or period.
|
(unaudited) Period Ended
June 30,
|
|
2012
|
|
CLASS R61
|
|
Net asset value, beginning of period
|
$7.13
|
Investment operations:
|
|
Net investment income2
|
0.07
|
Net realized and unrealized gain (loss) on investments
|
0.05
|
Total from investment operations
|
0.12
|
Less distributions from net investment income
|
(0.07)
|
Net asset value, end of period
|
$7.18
|
Total return (%)
|
1.54
|
Ratios and supplemental data
|
|
Net assets, end of period (in thousands)
|
$10
|
Ratio of expenses to average net assets (%)
|
0.423
|
Ratio of net investment income to average net assets (%)
|
2.893
|
Portfolio turnover4 (%)
|
11
|
INSTITUTIONAL BOND FUND
|
||||||
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
|||||
2012
|
2011
|
2010
|
2009
|
2008
|
2007
|
|
CLASS Y
|
||||||
Net asset value, beginning of period
|
$11.15
|
$10.94
|
$10.68
|
$10.47
|
$10.41
|
$10.08
|
Investment operations:
|
||||||
Net investment income2
|
0.06
|
0.16
|
0.19
|
0.20
|
0.48
|
0.44
|
Net realized and unrealized gain (loss) on investments
|
0.06
|
0.22
|
0.27
|
0.21
|
0.16
|
0.33
|
Total from investment operations
|
0.12
|
0.38
|
0.46
|
0.41
|
0.64
|
0.77
|
Less distributions:
|
||||||
From net investment income
|
(0.06)
|
(0.16)
|
(0.19)
|
(0.20)
|
(0.48)
|
(0.44)
|
From net capital gains
|
–
|
(0.01)
|
(0.01)
|
–
|
(0.10)
|
–
|
Total distributions
|
(0.06)
|
(0.17)
|
(0.20)
|
(0.20)
|
(0.58)
|
(0.44)
|
Net asset value, end of period
|
$11.21
|
$11.15
|
$10.94
|
$10.68
|
$10.47
|
$10.41
|
Total return (%)
|
1.11
|
3.53
|
4.35
|
3.99
|
6.30
|
7.77
|
Ratios and supplemental data
|
||||||
Net assets, end of period (in thousands)
|
$115,823
|
$104,849
|
$52,388
|
$26,382
|
$2,155
|
$6,413
|
Ratio of expenses to average net assets (%)
|
0.493
|
0.49
|
0.49
|
0.49
|
0.56
|
0.47
|
Ratio of net investment income to average net assets (%)
|
1.183
|
1.48
|
1.76
|
2.21
|
3.70
|
4.21
|
Portfolio turnover4 (%)
|
21
|
9
|
21
|
11
|
73
|
42
|
1
|
Share class launched on February 29, 2012.
|
2
|
Based on average daily shares outstanding during the year.
|
3
|
Annualized.
|
4
|
Portfolio Turnover is calculated at the fund level and represents the entire fiscal year or six-month period.
|
INVESTMENT GRADE CORPORATE BOND FUND
|
||||||
(unaudited) Six-Months Ended
June 30,
|
Year Ended December 31,
|
|||||
2012
|
2011
|
2010
|
2009
|
2008
|
20071
|
|
CLASS Y
|
||||||
Net asset value, beginning of period
|
$11.27
|
$10.81
|
$10.68
|
$10.16
|
$10.26
|
$10.00
|
Investment operations:
|
||||||
Net investment income2
|
0.12
|
0.22
|
0.48
|
0.53
|
0.52
|
0.27
|
Net realized and unrealized gain (loss) on investments
|
0.16
|
0.61
|
0.13
|
0.52
|
(0.09)
|
0.26
|
Total from investment operations
|
0.28
|
0.83
|
0.61
|
1.05
|
0.43
|
0.53
|
Less distributions:
|
||||||
From net investment income
|
(0.12)
|
(0.36)
|
(0.48)
|
(0.53)
|
(0.52)
|
(0.27)
|
From net capital gains
|
–
|
(0.01)
|
–
|
–
|
(0.01)
|
–
|
Total distributions
|
(0.12)
|
(0.37)
|
(0.48)
|
(0.53)
|
(0.53)
|
(0.27)
|
Net asset value, end of period
|
$11.43
|
$11.27
|
$10.81
|
$10.68
|
$10.16
|
$10.26
|
Total return (%)
|
2.47
|
7.83
|
5.81
|
10.58
|
4.29
|
5.37
|
Ratios and supplemental data
|
||||||
Net assets, end of period (in thousands)
|
$18,459
|
$17,550
|
$1,069
|
$987
|
$948
|
$637
|
Ratio of expenses to average net assets (%)
|
0.693
|
0.69
|
0.06
|
–
|
–
|
–
|
Ratio of net investment income to average net assets (%)
|
2.073
|
1.98
|
4.44
|
5.05
|
5.21
|
5.29
|
Portfolio turnover4 (%)
|
0
|
10
|
14
|
18
|
5
|
3
|
1
|
For the period July 1, 2007 (commencement of operations) through December 31, 2007
|
2
|
Based on average daily shares outstanding during the year.
|
3
|
Annualized.
|
4
|
Portfolio Turnover is calculated at the fund level and represents the entire fiscal year or period.
|
|
Level 1 –unadjusted quoted prices in active markets for identical investments
|
|
Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rate volatilities, prepayment speeds, credit risk, benchmark yields, transactions, bids, offers, new issues, spreads and other relationships observed in the markets among comparable securities, underlying equity of the issuer; and proprietary pricing models such as yield measures calculated using factors such as cash flows, financial or collateral performance and other reference data, etc.)
|
|
Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)
|
Fund
|
Level 1
|
Level 2
|
Level 3
|
Value at 6/30/12
|
Government
|
||||
Mortgage Backed Securities
|
$ –
|
$ 699,423
|
$ –
|
$ 699,423
|
U.S. Government and Agency Obligations
|
–
|
4,412,987
|
–
|
4,412,987
|
Repurchase Agreement
|
–
|
131,478
|
–
|
131,478
|
Total
|
$ –
|
$ 5,243,888
|
$ –
|
$ 5,243,888
|
Core Bond
|
||||
Corporate Notes and Bonds
|
$ –
|
$ 4,653,578
|
$ –
|
$ 4,653,578
|
Mortgage Backed Securities
|
–
|
1,889,511
|
–
|
1,889,511
|
U.S. Government and Agency Obligations
|
–
|
1,958,707
|
–
|
1,958,707
|
Repurchase Agreement
|
–
|
104,802
|
–
|
104,802
|
Total
|
$ –
|
$ 8,606,598
|
$ –
|
$ 8,606,598
|
Institutional Bond
|
||||
Corporate Notes and Bonds
|
$ –
|
$ 57,383,403
|
$ –
|
$ 57,383,403
|
U.S. Government and Agency Obligations
|
–
|
50,836,464
|
–
|
50,836,464
|
Repurchase Agreement
|
–
|
6,541,042
|
–
|
6,541,042
|
Total
|
$ –
|
$114,760,909
|
$ –
|
$114,760,909
|
Investment Grade Corporate Bond Fund
|
||||
Corporate Notes and Bonds
|
$ –
|
$ 18,053,195
|
$ –
|
$ 18,053,195
|
Repurchase Agreement
|
–
|
200,401
|
–
|
200,401
|
Total
|
$ –
|
$ 18,253,596
|
$ –
|
$ 18,253,596
|
Please see the Portfolio of Investments for each Fund for a listing of all securities within each caption.
|
2011
|
2010
|
|
Government Fund:
|
||
Distributions paid from:
|
||
Ordinary income
|
$106,536
|
$121,062
|
Long-term capital gains
|
31,029
|
1,819
|
Core Bond Fund:
|
||
Distributions paid from ordinary income
|
$248,028
|
$357,455
|
Institutional Bond Fund:
|
||
Distributions paid from:
|
||
Ordinary income
|
$1,073,254
|
$1,028,225
|
Long-term capital gains
|
20,987
|
11,212
|
Investment Grade Corporate Bond Fund:
|
||
Distributions paid from:
|
||
Ordinary income
|
$69,098
|
$46,400
|
Long-term capital gains
|
$22,199
|
–
|
Government Fund:
|
|
Accumulated net realized gains
|
$ 15,785
|
Net unrealized appreciation on investments
|
178,565
|
$194,350
|
|
Core Bond Fund:
|
|
Accumulated net realized gains
|
$ 21,040
|
Net unrealized appreciation on investments
|
553,943
|
$574,983
|
|
Institutional Bond Fund:
|
|
Accumulated net realized gains
|
$ 300,429
|
Net unrealized appreciation on investments
|
2,654,027
|
$2,954,456
|
|
Investment Grade Corporate Bond Fund:
|
|
Accumulated net realized gains
|
$ 131
|
Net unrealized appreciation on investments
|
463,444
|
$463,575
|
Fund
|
Short-Term Losses
|
Long-Term Losses
|
Expire
|
Core Bond
|
$17,156
|
–
|
December 31, 2014
|
10,131
|
–
|
December 31, 2017
|
|
Institutional Bond
|
–
|
$52,876
|
Do not expire.
|
Purchases
|
Sales
|
|
Government Fund:
|
||
U.S. Gov’t securities
|
$889,513
|
$903,715
|
Other
|
–
|
–
|
Core Bond Fund:
|
||
U.S. Gov’t securities
|
$679,961
|
$908,364
|
Other
|
293,803
|
101,352
|
Institutional Fund:
|
||
U.S. Gov’t securities
|
$16,881,921
|
$15,060,181
|
Other
|
11,601,100
|
5,042,455
|
Investment Grade
Corporate Bond Fund:
|
||
U.S. Gov’t securities
|
$ –
|
$ –
|
Other
|
897,836
|
40,000
|
Government
Fund
|
Core Bond
Fund
|
|
Aggregate Cost
|
$5,065,323
|
$8,052,655
|
Gross unrealized appreciation
|
178,669
|
554,371
|
Gross unrealized depreciation
|
(104)
|
(428)
|
Net unrealized appreciation
|
$ 178,565
|
$ 553,943
|
Institutional
Bond Fund
|
Investment Grade Corporate Bond Fund
|
|
Aggregate Cost
|
$112,106,882
|
$17,790,152
|
Gross unrealized appreciation
|
2,655,847
|
489,519
|
Gross unrealized depreciation
|
(1,820)
|
(26,075)
|
Net unrealized appreciation
|
$2,654,027
|
$ 463,444
|
(unaudited)
Six-Months
Ended June 30,
|
Year Ended December 31,
|
|
Government Fund
|
2012
|
2011
|
Class Y Shares
|
||
In Dollars
|
||
Shares sold
|
$ 853,551
|
$2,517,691
|
Issued to sharesholder in reinvestment of distributions
|
37,274
|
133,374
|
Total shares issued
|
890,825
|
2,651,065
|
Shares redeemed
|
(963,209)
|
(2,417,350)
|
Net increase (decrease) from capital stock transactions
|
$ (72,384)
|
$ 233,715
|
(unaudited)
Six-Months
Ended June 30,
|
Year Ended December 31,
|
|
Government Fund (cont.)
|
2012
|
2011
|
In Shares
|
||
Shares sold
|
78,870
|
232,868
|
Issued to sharesholder in reinvestment of distributions
|
3,441
|
12,353
|
Total shares issued
|
82,311
|
245,221
|
Shares redeemed
|
(89,030)
|
(223,560)
|
Net increase (decrease)
|
(6,719)
|
21,661
|
Core Bond Fund
|
||
In Dollars
|
||
Class Y Shares
|
||
Shares sold
|
$ 901,423
|
$4,242,785
|
Issued to sharesholder in reinvestment of distributions
|
110,601
|
234,357
|
Total shares issued
|
1,012,024
|
4,477,142
|
Shares redeemed
|
(1,244,768)
|
(5,000,614)
|
Net decrease from capital stock transactions
|
$ (232,744)
|
$ (523,472)
|
Class R6 Shares
|
||
Shares sold
|
$ 10,000
|
|
Issued to sharesholder in reinvestment of distributions
|
97
|
|
Total shares issued
|
10,097
|
|
Shares redeemed
|
–
|
|
Net increase from capital stock transactions
|
$ 10,097
|
In Shares
|
||
Class Y Shares
|
||
Shares sold
|
126,334
|
597,936
|
Issued to sharesholder in reinvestment of distributions
|
15,463
|
33,507
|
Total shares issued
|
141,797
|
631,443
|
Shares redeemed
|
(174,314)
|
(710,106)
|
Net decrease
|
(32,517)
|
(78,663)
|
Class R6 Shares
|
||
Shares sold
|
1,401
|
|
Issued to sharesholder in reinvestment of distributions
|
13
|
|
Total shares issued
|
1,414
|
|
Shares redeemed
|
-
|
|
Net increase
|
1,414
|
(unaudited)
Six-Months
Ended June 30,
|
Year Ended December 31,
|
|
Institutional Bond Fund
|
2012
|
2011
|
Class Y Shares
|
||
In Dollars
|
||
Shares sold
|
$19,794,359
|
$57,622,379
|
Issued to sharesholder in reinvestment of distributions
|
148,223
|
187,051
|
Total shares issued
|
19,942,582
|
57,809,430
|
Shares redeemed
|
(9,475,048)
|
(6,491,831)
|
Net increase from capital stock transactions
|
$10,467,534
|
$51,317,599
|
In Shares
|
||
Shares sold
|
1,766,081
|
5,181,136
|
Issued to sharesholder in reinvestment of distributions
|
13,253
|
16,928
|
Total shares issued
|
1,779,334
|
5,198,064
|
Shares redeemed
|
(846,610)
|
(585,419)
|
Net increase
|
932,724
|
4,612,645
|
Investment Grade
Corporate Bond Fund
|
||
Class Y Shares
|
||
In Dollars
|
||
Shares sold
|
$ 649,586
|
$17,067,503
|
Issued to sharesholder in reinvestment of distributions
|
10,014
|
33,583
|
Total shares issued
|
659,600
|
17,101,086
|
Shares redeemed
|
-
|
(764,976)
|
Net increase from capital stock transactions
|
$ 659,600
|
$16,336,110
|
In Shares
|
||
Shares sold
|
57,007
|
1,525,450
|
Issued to sharesholder in reinvestment of distributions
|
878
|
3,068
|
Total shares issued
|
57,885
|
1,528,518
|
Shares redeemed
|
-
|
(70,047)
|
Net increase
|
57,885
|
1,458,471
|
Based on Actual Total Return1
|
||||
Beginning
Account Value
|
Ending
Account Value
|
Annualized
Expense Ratio
|
Expenses Paid
During the Period2
|
|
Government Fund, Class Y
|
$1,000.00
|
$1,008.27
|
0.68%
|
$3.39
|
Core Bond Fund, Class Y
|
$1,000.00
|
$1,020.34
|
0.70%
|
$3.49
|
Core Bond Fund, Class R6
|
$1,000.00
|
$1,015.35
|
0.42%
|
$2.09
|
Institutional Bond Fund, Class Y
|
$1,000.00
|
$1,011.11
|
0.49%
|
$2.44
|
Investment Grade Corporate Bond Fund, Class Y
|
$1,000.00
|
$1,024.70
|
0.69%
|
$3.51
|
1For the six-months ended June 30, 2012 except for Core Bond R6 shares which was launched on February 29, 2012.
2Expenses are equal to the respective Fund’s annualized expense ratio multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year, then divided by 366.
|
Based on Hypothetical Total Return1
|
||||
Beginning
Account Value
|
Ending
Account Value
|
Annualized
Expense Ratio
|
Expenses Paid
During the Period2
|
|
Government Fund, Class Y
|
$1,000.00
|
$1,025.12
|
0.68%
|
$3.42
|
Core Bond Fund, Class Y
|
$1,000.00
|
$1,025.12
|
0.70%
|
$3.50
|
Core Bond Fund, Class R6
|
$1,000.00
|
$1,025.12
|
0.42%
|
$2.10
|
Institutional Bond Fund, Class Y
|
$1,000.00
|
$1,025.12
|
0.49%
|
$2.45
|
Investment Grade Corporate Bond Fund, Class Y
|
$1,000.00
|
$1,025.12
|
0.69%
|
$3.48
|
1For the six-months ended June 30, 2012 except for Core Bond R6 shares which was launched on February 29, 2012.
2Expenses are equal to the respective Fund’s annualized expense ratio multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year, then divided by 366.
|
(signature)
|
(signature)
|
Katherine L. Frank
|
Greg Hoppe
|
Chief Executive Officer
|
Chief Accounting Officer
|