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: 811-04920

WASATCH FUNDS TRUST

(Exact name of registrant as specified in charter)

505 Wakara Way, 3rd Floor

Salt Lake City, UT 84108

(Address of principal executive offices)(Zip code)

(Name and Address of Agent for Service)	Copy to:
Samuel S. Stewart, Jr. Wasatch Advisors, Inc. 505 Wakara Way, 3rd Floor Salt Lake City, UT 84108	Eric F. Fess, Esq. Chapman & Cutler LLP 111 West Monroe Street Chicago, IL 60603

Registrant’s telephone number, including area code: (801) 533-0777

Date of fiscal year end: September 30

Date of reporting period: September 30, 2015

Item 1: Report to Shareholders.

2015 Annual Report September 30, 2015 Wasatch Funds EQUITY FUNDS/ Wasatch Core Growth Fund. Wasatch Emerging India Fund. Wasatch Emerging Markets Select Fund. Wasatch Emerging Markets Small Cap Fund. Wasatch Frontier Emerging Small Countries Fund. Wasatch Global Opportunities Fund. Wasatch Heritage Growth Fund. Wasatch International Growth Fund. Wasatch International Opportunities Fund. Wasatch Large Cap Value Fund. Wasatch Long/Short Fund. Wasatch Micro Cap Fund. Wasatch Micro Cap Value Fund . Wasatch Small Cap Growth Fund. Wasatch Small Cap Value Fund. Wasatch Strategic Income Fund. Wasatch Ultra Growth Fund. Wasatch World Innovators Fund BOND FUNDS/ Wasatch-1st Source Income Fund. Wasatch-Hoisington U.S. Treasury Fund

Wasatch Funds

Salt Lake City, Utah

www.WasatchFunds.com

800.551.1700

TABLE OF CONTENTS

Letter to Shareholders	2
Wasatch Core Growth Fund® Management Discussion	4
Portfolio Summary	5
Wasatch Emerging India Fund® Management Discussion	6
Portfolio Summary	7
Wasatch Emerging Markets Select Fund® Management Discussion	8
Portfolio Summary	9
Wasatch Emerging Markets Small Cap Fund® Management Discussion	10
Portfolio Summary	11
Wasatch Frontier Emerging Small Countries Fund® Management Discussion	12
Portfolio Summary	13
Wasatch Global Opportunities Fund® Management Discussion	14
Portfolio Summary	15
Wasatch International Growth Fund® Management Discussion	16
Portfolio Summary	17
Wasatch International Opportunities Fund® Management Discussion	18
Portfolio Summary	19
Wasatch Large Cap Value Fund® Management Discussion	20
Portfolio Summary	21
Wasatch Long/Short Fund® Management Discussion	22
Portfolio Summary	23
Wasatch Micro Cap Fund® Management Discussion	24
Portfolio Summary	25
Wasatch Micro Cap Value Fund® Management Discussion	26
Portfolio Summary	27
Wasatch Small Cap Growth Fund® Management Discussion	28
Portfolio Summary	29
Wasatch Small Cap Value Fund® Management Discussion	30
Portfolio Summary	31
Wasatch Strategic Income Fund® Management Discussion	32
Portfolio Summary	33
Wasatch Ultra Growth Fund® Management Discussion	34
Portfolio Summary	35
Wasatch World Innovators Fund® Management Discussion	36
Portfolio Summary	37
Wasatch-1st Source Income Fund® Management Discussion	38
Portfolio Summary	39
Wasatch-Hoisington U.S. Treasury Fund® Management Discussion	40
Portfolio Summary	41
Management Discussions — Definitions of Financial Terms	42
Operating Expenses	44
Schedule of Investments	47
Statements of Assets and Liabilities	92
Statements of Operations	98
Statements of Changes in Net Assets	104
Financial Highlights	112
Notes to Financial Highlights	118
Notes to Financial Statements	119
Report of Independent Registered Public Accounting Firm	143
Supplemental Information	144
Management of the Company	144
Additional Tax Information	145
Proxy Voting Policies, Procedures and Record	146
Quarterly Portfolio Holdings Disclosure on Form N-Q	146
Service Providers	147
Contact Wasatch	147

This material must be accompanied or preceded by a prospectus.

Please read the prospectus carefully before you invest.

Wasatch Funds are distributed by ALPS Distributors, Inc.

1

LETTER TO SHAREHOLDERS — AIR POCKETS!

  Samuel S. Stewart, Jr. PhD, CFA President of
Wasatch Funds DEAR FELLOW SHAREHOLDERS:   Following a long quiet period during which stock prices around the world mostly moved upward, the latter part of the fiscal year was characterized by wild swings and an overall decline in stock prices. In my last quarterly message, I described why we might have entered a new era for the global economy that could make stock prices prone to periodic “air pockets.” And, in fact, market behavior during the most recent quarter was consistent with the possibility of having entered this new economic era. The setup for a possible new era has been fostered by the persistence of slow economic growth around the world since the end of the Global Financial Crisis. This slow growth has continued in the face of massive central-bank stimulus far beyond historical experience. But how could so much stimulus result in so little growth? As I’ve suggested before, much of the answer lies in demographics. With the aging of the global population, people’s needs turn from investments in homes and cars toward savings to generate retirement income. As there’s less demand for investments and more supply of savings, interest rates inevitably drop. Central-bank stimulus has the effect of further adding to the supply of savings, leading to even lower rates.

A lengthy period of low interest rates promotes a lengthy period of high stock prices. The reason stock prices are bid up is that when interest rates are low, stocks are viewed as more attractive. So there’s a rush to buy. Prices will probably stop rising when investors view future stock returns as likely to be more in line with low interest rates.

An unfortunate side effect of high stock prices is increased volatility. The higher the multiple of earnings for which a stock sells, the more volatile the price may be. We experienced such volatility during the most recent quarter as investors feared that a slowdown in China would lead to lower earnings around the globe.

Above all else, air pockets in stock prices are disconcerting. We’d like to avoid them if we could. However, the only sure method of avoiding air pockets is to exit the market entirely — which is not an attractive alternative considering the paltry returns on cash these days.

If the new era has truly moved us beyond the interest-rate cycles that have characterized recorded economic history, there’s one big positive: The economy will be steadier without the booms and busts typical of powerful interest-rate movements. So we may be in for more economic stability, but less stock-price stability.

ECONOMY

Pundits tagged China’s troubles as the main culprit behind market volatility during the latest quarter. And there’s no doubt that growth in the Chinese economy is now slowing. Several years ago, China’s inflation-adjusted gross domestic product (GDP) growth had been as high as 10%. But for 2015, China’s GDP growth is expected to be under 7%.

While growth anywhere near 7% is still attractive compared to most developed markets, many countries and companies around the world had been counting on much higher demand from China in order to meet their own growth projections. For example, South Korea’s exports dropped over 8% in September versus a year earlier following a 15% fall in August — due, in part, to the deceleration in China’s economy. Other victims of weaker-than-expected Chinese demand were commodity exporters like Brazil, which saw its currency decline to the lowest level against the dollar in two decades and its credit rating downgraded by Standard & Poor’s to “junk” status.

In the United States, the news was generally more positive — not because of particularly good economic data, but because expectations had been low. Inflation-adjusted GDP growth for the second calendar quarter was revised to 3.9% from an earlier estimate of 2.3%. Nevertheless, full-year growth for 2015 is still expected to come in below 3%.

Other economic news in the U.S. mostly focused on the Federal Reserve’s (Fed’s) interest-rate policy and on the employment situation. Because the economy has shown modest growth, there’s been some pressure on the Fed to raise interest rates. However, some fear that higher rates would further strengthen the dollar, which could hurt U.S. exports and make dollar-denominated debt more expensive for fragile emerging markets. At its September policy meeting, the Fed cited global economic challenges in its decision to leave short-term interest rates unchanged. Taken together, recent economic data has been entirely consistent with what I’ve postulated as a “lower for longer” interest-rate scenario.

MARKETS

As we ponder what’s in store for the financial markets, let’s first summarize current conditions: The U.S. is doing reasonably well compared to its developed-market peers, but stock valuations are generally high. The outlook for both Europe and Japan is mixed — with some relatively attractive company fundamentals and more-reasonable stock valuations, but with economies still at risk of slipping back into recession.

Among emerging markets, China’s economic growth is slowing and the Chinese government seems to be mishandling conditions related to investor confidence by directly manipulating stock prices and currency exchange rates. Moreover, China’s slowdown is having real effects on other economies, particularly those in the emerging universe.

As we search for attractive investments in the current environment, it’s possible that we’ll be more successful by taking advantage of opportunities from periodic air pockets in stock prices than by waiting for a crash to create the elusive bargains that may never arrive. The recent air pockets triggered by headline concerns regarding China may have offered some of the best buying opportunities we’ll see this year — not necessarily for Chinese shares, but for stocks around the world.

2

SEPTEMBER 30, 2015 (UNAUDITED)

Paradoxically, the slowdown in China could actually improve investment prospects in some other areas, as production costs decline with less competition for commodities like steel, copper and oil. Moreover, still-abundant Chinese capital may also flow to these areas as investment opportunities diminish within China itself.

While our crystal ball is especially cloudy due to the uncertainty of a possible new era, the silver lining is that mixed markets generally have provided a good environment for bottom-up stock pickers like the portfolio managers and analysts at Wasatch Advisors. So far this year, we’ve continued our efforts at tire-kicking around the globe — visiting companies in Canada, Mexico, the United Kingdom, France, Germany, Italy, Spain, Sweden, Switzerland, Egypt, Ethiopia, Israel, Kenya, South Africa, Tanzania, Tunisia, the United Arab Emirates, China, Hong Kong, Malaysia, Pakistan, the Philippines, South Korea, Taiwan, Thailand, Vietnam, Australia, Japan and New Zealand.

WASATCH

Almost 20 years ago, we — at small, Salt Lake City-based Wasatch Advisors — became global investors. One of the reasons, even back then, was we were beginning to see that, despite their size, our U.S. small-cap companies were being affected by international competitors. Fortunately, our stepped-up global research efforts gave us a ringside seat to witness the massive progress made by emerging economies over the last two decades.

I recall my first trip to Beijing. There were few paved roads, and bicycles were the primary means of transportation. Current visitors to Beijing find little remaining evidence of that era, even though it was less than 20 years ago.

One result of being global investors has been that our broad perspective has helped us more readily anticipate trouble spots. For example, our emerging-market portfolios have been underweight in China as we’ve worried about excessive stock valuations in the face of an economy in transition from export-led growth to consumer-led growth.

Our bottom-up analyses of companies around the world also helped us identify Japan as having a potentially rewarding investment environment. And despite stock-market volatility similar to most countries, Japan’s Nikkei 225 was one of the few stock-market indices that were still positive (on a total-return basis) for the year to date through September 30, 2015.

As for our outlook, we believe opportunities in emerging markets have narrowed — with the best opportunities being in places like India, Mexico and Taiwan, where the political environments are fairly good and the economies are not overly dependent on commodity exports. Naturally, our outlook is being reflected in our emerging-market-focused portfolios and in our other international portfolios that include some emerging-market exposure. This means we’re increasing our country concentrations among emerging markets — but we’re still maintaining broad diversification across companies.

With sincere thanks for your continued investment and for your trust,

Sam Stewart

Information in this report regarding market or economic trends, or the factors influencing historical or future performance, reflects the opinions of management as of the date of this report. These statements should not be relied upon for any other purpose. Past performance is no guarantee of future results, and there is no guarantee that the market forecasts discussed will be realized.

CFA^® is a trademark owned by CFA Institute.

Wasatch Advisors is the investment advisor to Wasatch Funds.

The financial crisis of 2007-08, also known as the Global Financial Crisis and 2008 financial crisis, is considered by many economists to have been the worst financial crisis since the Great Depression of the 1930s.

Gross domestic product (GDP) is a basic measure of a country’s economic performance, and is the market value of all final goods and services made within the borders of a country in a year.

A credit rating is an assessment of the credit worthiness of individuals, corporations and countries. It is based upon the history of borrowing and repayment, as well as the availability of assets and extent of liabilities. Ratings are issued by S&P or Moody’s and typically range from AAA (highest) to D (lowest). Ratings and credit quality may change over time. For information on the rating agency’s methodology visit: http://www.standardandpoors.com/home/en/us and http://www.moodys.com.

Valuation is the process of determining the current worth of an asset or company.

The Nikkei 225 Stock Index is a price-weighted index of the 225 top Japanese companies (called the First Section) that are listed on the Tokyo Stock Exchange (TSE).

You cannot invest directly in this or any index.

3

WASATCH CORE GROWTH FUND (WGROX / WIGRX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Core Growth Fund is managed by a team of Wasatch portfolio managers led by JB Taylor and Paul Lambert.

  JB Taylor Lead Portfolio Manager   Paul Lambert Portfolio Manager OVERVIEW   The Wasatch Core Growth Fund — Investor Class returned 10.87% for the 12 months ended September 30, 2015, outperforming the Russell 2000 Index, which

returned 1.25%, and the Russell 2000 Growth Index, which returned 4.04%.

In the most recent quarter, markets saw a dramatic reversal of fortune after enjoying a long-running string of success. Weak economic data from China stoked fears of a contagion affecting a fragile U.S. economy. Adding to the market woes was the sudden emergence of pharmaceutical pricing as a potential hot button in the upcoming election. This news had an immediate impact on the Russell 2000 and Russell 2000 Growth indices, given their large and growing weight in biotech and the long run of outperformance from that industry. The indices and the biotech industry were all down double-digits in the most recent quarter, with the indices giving back most of the gains earned in the previous three quarters. However, biotech still delivered a double-digit return for the 12-month period.

The energy sector was, by far, the biggest detractor from performance for both the Fund and the Russell 2000 Index over the past year. Unlike biotech, energy has suffered a prolonged period of underperformance, and the average energy stock in the Index was down -55%. The sector represents less than 4% of the Index, but the steep drop in stock prices magnified its impact. The Fund was underweight in energy and our stocks were down significantly less, so the sector aided performance relative to the Index.

With scientific knowledge exploding and technology increasingly changing the way we conduct business and interact with the world, it is not surprising that two of the best-performing sectors for the Index and the Fund were health care and information technology. The Fund’s outperformance was even more broad-based, as the financials, industrials and consumer-discretionary sectors were also areas of strength. Together, these five sectors make up the majority of our holdings and we are pleased to report that the Fund outperformed the Index in all of them.

DETAILS OF THE YEAR

Merger and acquisition activity increased significantly during the period after several years of anemic deal flow. The Fund saw four of its holdings acquired at significant premiums: Polypore International, Inc., Life Time Fitness, Inc., Dealertrack Technologies, Inc. and IPC Healthcare, Inc. We worked diligently to redeploy the proceeds from these transactions into new opportunities like fast casual

restaurant chain Zoe’s Kitchen, Inc., discount retailer Five Below, Inc. and growing regional banks like Eagle Bancorp, Inc. and South State Corp.

Transportation provided an interesting contrast in performance among its sub-industries. Trucking stocks were down double-digits on worries of a weakening U.S. economy. Airline stocks, by contrast, were up over 80% during the period. This radical divergence in price performance doesn’t make much sense to us, especially given the tailwind that lower fuel prices provided to both industries. Our view is that the trucking stocks are becoming even more interesting long-run investments as the well-run public trucking companies continue to gain share from the large number of small truckers. The Fund was overweight in these industries, owning two truckers and two small-cap airlines. While, on average, our positions in Knight Transportation, Inc., Spirit Airlines, Inc. and Old Dominion Freight Line, Inc. fell, our large holding in Allegiant Travel Co. significantly improved our returns and was the Fund’s top contributor to performance. Allegiant’s “ultra low cost carrier” business model continues to take market share, and the company benefits from lower oil prices disproportionately compared to its competitors.

A handful of holdings experienced stock-price declines due to weak earnings. Retailers Mattress Firm Holding Corp. and Zumiez, Inc. traded down after management reported lower-than-expected earnings. Despite the short-term weakness, our theses for owning both companies remain intact. Online photo library Shutterstock, Inc. also guided lower due to competitive pressures, and it also experienced some management turnover. We thought the sell-off was overdone and added to our position opportunistically during the period.

OUTLOOK

We believe the U.S economy remains stuck in a low-growth pattern. Our discussions with companies owned in the Fund suggest a U.S. economy that is decelerating but not in decline. Given the severity of the 2008 downturn, this has been a very disappointing recovery and suggests a stock market vulnerable to a growth shock or a significant rise in interest rates. Conversely, such a low-growth backdrop can create opportunity for growth investors, as companies enjoying strong organic growth stand out in a low-growth environment. The Fund’s companies have delivered consistent mid-teens sales growth to drive earnings. We believe this kind of sustainable organic growth has the potential to provide better long-run returns versus larger companies, which have been far more dependent on short-lived sources of earnings growth such as cost cutting and stock repurchases.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

4

WASATCH CORE GROWTH FUND (WGROX / WIGRX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Core Growth (WGROX) — Investor		10.87%		14.94%		7.36%
Core Growth (WIGRX) — Institutional		10.94%		15.01%		7.39%
Russell 2000® Index		1.25%		11.73%		6.55%
Russell 2000® Growth Index		4.04%		13.26%		7.67%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Core Growth Fund — Investor Class: 1.18% / Institutional Class: 1.18%, Net: 1.12%. The expense ratio shown elsewhere in this report may be different. Net expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Performance for the Institutional Class prior to 1/31/2012 is based on the performance of the Investor Class. Performance of the Fund’s Institutional Class prior to 1/31/2012 uses the actual expenses of the Fund’s Investor Class without any adjustments. For any such period of time, the performance of the Fund’s Institutional Class would have been substantially similar to, yet higher than, the performance of the Fund’s Investor Class, because the shares of both classes are invested in the same portfolio of securities, but the classes bear different expenses.

Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Allegiant Travel Co.		3.6%
Cimpress N.V.		2.9%
Tyler Technologies, Inc.		2.7%
Credit Acceptance Corp.		2.7%
SEI Investments Co.		2.6%

Company	% of Net Assets
Cornerstone OnDemand, Inc.		2.5%
Waste Connections, Inc.		2.4%
Spirit Airlines, Inc.		2.4%
ICON plc (Ireland)		2.2%
Seattle Genetics, Inc.		2.2%

* As of September 30, 2015, there were 67 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Russell 2000 Index is an unmanaged total return index of the smallest 2,000 companies in the Russell 3000 Index, as ranked by total market capitalization. The Russell 2000 Index is widely regarded in the industry as accurately capturing the universe of small company stocks. The Russell 2000 Growth Index is an unmanaged total return index that measures the performance of those Russell 2000 Index companies with higher price-to-book ratios and higher forecasted growth values. You cannot invest directly in these or any indices.

5

WASATCH EMERGING INDIA FUND (WAINX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Emerging India Fund is managed by a team of Wasatch portfolio managers led by Ajay Krishnan.

  Ajay Krishnan, CFA Lead Portfolio Manager OVERVIEW   The Wasatch Emerging India Fund gained 12.51% in the 12 months ended September 30, 2015. The Fund outperformed its benchmark, the MSCI India Investable Market Index, which declined -4.29%. After sweeping into power in 2014 on a tide of optimism, Prime Minister Narendra Modi and his Bharatiya Janata Party (BJP) faced the realities inherent in governing a diverse nation

of 1.2 billion people. Key elements of their reform agenda stalled in the upper house of parliament, where the BJP lacks a majority. Given the strong gains in Indian equities during the run-up to Mr. Modi’s election, investors seemed to adopt a wait-and-see attitude for most of the fiscal year.

As the price of oil continued its retreat from the highs of 2013, India remained one of the world’s greatest beneficiaries. Because India imports about 80% of its oil, crude’s steep decline has brought down the country’s inflation rate, as well as its current-account and fiscal deficits. The improved backdrop helped put India’s currency on firmer footing and boosted inflows of foreign capital. Those improvements, in turn, enabled the Reserve Bank of India (RBI) to implement a series of interest-rate cuts to stimulate economic growth. The RBI also was able to relax limits on foreign ownership of India’s debt that were designed to protect its currency from foreign-capital outflows.

During the latter part of the year, weak economic data in China weighed on world stock markets and raised concerns about the health of the global economy. In addition, fears of weaker Chinese demand for oil and other natural resources sent commodity prices lower. These developments impacted India much less than its emerging-market peers. Shipments to China account for less than 10% of India’s exports, the lowest among major Asian economies. Also, as a significant importer of commodities, India has been benefiting from lower prices for oil, industrial commodities and agricultural products.

Our focus on what we believe are high-quality, long-duration businesses helped the Fund post returns ahead of the Index in every sector in which it held investments. With energy stocks faring poorly this year, our lack of investments in the energy sector also helped Fund performance.

DETAILS OF THE YEAR

Our strongest contributor to Fund performance for the year was Marksans Pharma Ltd. This manufacturer of branded and generic drugs exports its products to the U.S., Europe and other countries. The company is one of only a few in India with the technology to manufacture the soft-gelatin capsules commonly known as softgels or liquid gels. Marksans has been benefiting from its new-product offerings, as well as from increased consumer demand for softgel formulations.

Another strong stock in the Fund was Amara Raja Batteries Ltd. The company makes lead-acid storage batteries for industrial and automotive applications. Lower prices for lead and other commodities have been helping Amara Raja by reducing its cost of raw materials.

Our greatest detractor from Fund performance for the year was online travel agency MakeMyTrip Ltd. Although aggressive discounting by a competitor has resulted in slowing sales growth and wider-than-expected losses for MakeMyTrip, it remains India’s leading online travel agency both in airline-ticket sales and hotel bookings. We believe the company’s margins will expand once competition abates, and we continue to own it in the Fund.

Kaveri Seed Co. Ltd., our second-largest detractor, produces and sells agricultural seeds in India. Citing drought conditions and other seasonal factors, the company reported a 5.4% year-over-year drop in consolidated earnings per share and a 20% decrease in sales in its most-recent quarter. Although the company’s share price declined on the news, we consider these normal fluctuations in the company’s business. Going forward, we think Kaveri’s shift from regular varietals to higher-yielding hybrid seeds presents attractive long-term prospects.

OUTLOOK

According to government data, India’s consumer-price index rose just 3.66% in August as oil dipped below $40 per barrel and global food prices fell. Additionally, a recent study found that Indians are spending a smaller share of their earnings on food and more on discretionary consumer items. Over a longer horizon, we believe affordable food costs will continue to play a key role in India’s transition from an agricultural to a consumer economy. Agriculture now accounts for just 18% of India’s economy, compared to approximately 50% in the 1950s.

We expect additional improvements in farming to drive a shift in agricultural acreage away from food production, and toward cash crops such as cotton. Already a large grower of cotton, India has a natural cost advantage over other major producers. As electric-power and transportation infrastructure in rural India improve, we believe the country’s cotton industry holds the promise of future inroads into textile manufacturing.

In the meantime, we look for government spending on infrastructure projects to kick-start a new cycle of capital investment. While the jobs those projects create would provide much of the immediate benefit, we expect the expansion in discretionary incomes to fuel increased demand for consumer goods and services. The final phase of the cycle — though still at least 12 to 18 months away in our view — would be higher capital expenditures and additional job creation from companies seeking to meet increased consumer demand.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

6

WASATCH EMERGING INDIA FUND (WAINX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS	SINCE INCEPTION 4/26/11
Emerging India		12.51%	N/A		10.40%
MSCI India IMI		-4.29%	N/A		-1.29%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Emerging India Fund are 2.57%. The Net Expenses are 1.95%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Marksans Pharma Ltd. (India)		4.1%
Glenmark Pharmaceuticals Ltd. (India)		3.4%
Cognizant Technology Solutions Corp., Class A		3.1%
Natco Pharma Ltd. (India)		3.1%
HCL Technologies Ltd. (India)		2.9%

Company	% of Net Assets
Bajaj Finance Ltd. (India)		2.7%
Repco Home Finance Ltd. (India)		2.7%
MakeMyTrip Ltd. (India)		2.5%
Lupin Ltd. (India)		2.3%
Caplin Point Laboratories Ltd. (India)		2.3%

* As of September 30, 2015, there were 76 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. ††Inception: April 26, 2011. The MSCI India IMI (Investable Market Index) is designed to measure the performance of the large-, mid- and small-cap segments of the Indian market. The Index covers approximately 99% of the free-float adjusted market capitalization of the Indian equity universe. You cannot invest directly in this or any index.

7

WASATCH EMERGING MARKETS SELECT FUND (WAESX / WIESX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Emerging Markets Select Fund is managed by a team of Wasatch portfolio managers led by Ajay Krishnan and Roger Edgley.

  Ajay Krishnan, CFA Lead Portfolio Manager   Roger Edgley, CFA Portfolio Manager OVERVIEW   For the 12 months ended September 30, 2015, the Wasatch Emerging Markets Select Fund —  Investor Class declined -18.81%. The Fund fell slightly less than its benchmark, the

MSCI Emerging Markets Index, which lost -19.28%.

In stark contrast to data showing healthy employment gains and steady growth in the U.S., progress in most of the world’s other developed economies remained anemic. Japan slipped into and out of recession, while Europe also continued to tread a path between recession and expansion. China lowered its growth target for 2015 to around 7%, down from the 7.4% growth recorded in 2014 — the country’s weakest expansion in over 20 years. During the Fund’s fiscal year, weaker conditions in these major importing countries created headwinds for exporters in emerging markets.

As the year progressed, investors focused increasingly on China. Stock markets in Shanghai and Hong Kong surged for much of the year, fueled largely by speculation and a sharp increase in the outstanding balance of margin loans. The Fund failed to benefit from most of the gains in these markets, due to a scarcity of companies with the quality metrics and fundamental growth characteristics we seek.

In August, however, weak economic data in China raised concerns about the health of the global economy and sent Chinese and world equity markets lower. Because China is a large consumer of oil and other natural resources, the impact of falling demand from China was felt especially hard in commodity-exporting countries such as Brazil.

In this environment, our focus on what we believe are high-quality, long-duration businesses serving secular demand growth in their home countries helped the Fund decline slightly less than its benchmark during the year. Because these companies tend to be driven largely by political and economic progress in the countries in which they operate, they also tend to be less sensitive to global economic developments.

DETAILS OF THE YEAR

Our strongest contributor to Fund performance for the year was Grupo Aeroportuario del Pacifico S.A.B. de C.V. The company develops, operates and maintains airports in Mexico under contracts with the government. Grupo Aeroportuario has been benefiting from increasing air travel in Mexico as it adds capacity to its existing airports at favorable costs per passenger.

Indian drug maker Lupin Ltd. was our second-largest contributor. The company markets its branded and generic

pharmaceuticals primarily in India, the U.S. and Japan. Lupin’s stock rebounded from weakness in July after the company announced it had agreed to acquire U.S. peer GAVIS Pharmaceuticals, LLC.* The acquisition is expected to broaden Lupin’s U.S. pipeline and to be accretive to earnings in its first full year.

Our greatest detractor from Fund performance for the year was Qualicorp S.A. The company offers insurance and benefits packages to corporations and affinity groups in Brazil. Qualicorp’s share price slumped on speculation that Brazil’s government is considering measures to stimulate sales of individual health-insurance plans. With general investment conditions in Brazil deteriorating, we sold the stock to seek better opportunities elsewhere.

International Container Terminal Services, Inc. (ICTSI) was our second-largest detractor. Based in the Philippines, ICTSI holds concessions to develop and operate shipping terminals and ports throughout the world. Slowing global trade has impacted both the company and its stock price.

OUTLOOK

We expect worsening political situations and low commodity prices to impact business conditions in a number of countries — and to bring about a narrowing of opportunities in emerging markets. While companies linked to the commodity supply chain are likely to suffer, we believe others will do well. For example, net importers of oil such as India and the Philippines stand to benefit from the falling price of crude. We believe well-situated businesses in these and other countries with stable or improving government policies have the potential to generate attractive investment returns over time.

Even in countries where the investment backdrop is unfavorable, we do not anticipate completely liquidating the Fund’s holdings as we did in Russia last year. For two main reasons, this is especially true in major emerging markets such as Brazil and South Africa. First, we view the poor investment environments in these countries as less dire and more temporary. Second, we think the companies in the Fund are likely to hold their own and benefit significantly when conditions improve.

As far as China is concerned, we believe it remains an attractive place to invest. While geographic regions tied to mining, heavy industry and manufacturing have been slowing, the rest of the country has been experiencing robust growth. Overall, China continues to be both a manufacturing powerhouse and a world leader in innovation. On the negative side, overinvestment has resulted in intense competition in a number of industries. As a result, competitive advantages have been more fleeting and long-duration growth companies have been less common in China than in other countries.

Thank you for the opportunity to manage your assets.

* As of September 30, 2015, the Wasatch Emerging Markets Select Fund was not invested in privately held GAVIS Pharmaceuticals, LLC.

Current and future holdings are subject to risk.

8

WASATCH EMERGING MARKETS SELECT FUND (WAESX / WIESX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS	SINCE INCEPTION 12/13/12
Emerging Markets Select (WAESX) — Investor		-18.81%	N/A		-6.10%
Emerging Markets Select (WIESX) — Institutional		-18.67%	N/A		-5.76%
MSCI Emerging Markets Index		-19.28%	N/A		-6.98%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Emerging Markets Select Fund are Investor Class — Gross: 1.88%, Net: 1.69% / Institutional Class —  Gross: 1.71%, Net: 1.51%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus. Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Being non-diversified, the Fund can invest a larger portion of its assets in the securities of a limited number of companies than a diversified fund. Non-diversification increases the risk of loss to the Fund if the values of these securities decline.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Grupo Aeroportuario del Pacifico S.A.B. de C.V., Class B (Mexico)		5.4%
Glenmark Pharmaceuticals Ltd. (India)		5.1%
Lupin Ltd. (India)		4.6%
HCL Technologies Ltd. (India)		4.2%
Asian Paints Ltd. (India)		3.7%

Company	% of Net Assets
Universal Robina Corp. (Philippines)		3.7%
Medytox, Inc. (Korea)		3.6%
Grupo Financiero Interacciones S.A. de C.V., Class O (Mexico)		3.5%
Axis Bank Ltd. (India)		3.5%
Gentera S.A.B. de C.V. (Mexico)		3.4%

* As of September 30, 2015, there were 33 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. ††Inception: December 13, 2012. The MSCI Emerging Markets Index is a free float-adjusted market capitalization index designed to measure the equity market performance of emerging markets. You cannot invest directly in this or any index.

9

WASATCH EMERGING MARKETS SMALL CAP FUND (WAEMX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Emerging Markets Small Cap Fund is managed by a team of Wasatch portfolio managers led by Roger Edgley, Andrey Kutuzov and Scott Thomas.

  Roger Edgley, CFA Lead Portfolio Manager   Andrey Kutuzov, CFA Associate Portfolio
Manager   Scott Thomas, CFA Associate Portfolio
Manager

OVERVIEW

The Wasatch Emerging Markets Small Cap Fund declined -12.65% for the fiscal year ended September 30, 2015, and outperformed its benchmark, the MSCI Emerging Markets Small Cap Index, which decreased -15.23%.

This has been one of the most difficult periods for emerging markets we can think of. Perceptions of the challenges within emerging markets (both political and economic) have clearly caused broad outflows in bonds and equities, and have caused investors to question the whole basis for emerging markets as an asset class. While the classification brackets are subject to change and the logic can be questioned, emerging markets are still a huge chunk of the world’s economy and population.

DETAILS OF THE YEAR

While China continues to dominate the conversation in emerging markets, there are interesting developments in other markets as well, and we are finding many attractive opportunities. However, we believe opportunities in emerging markets have narrowed — with the best opportunities being in places like India, Korea, Mexico and Taiwan, where the political and macro environments are fairly good and the economies are not overly dependent on commodity exports.

Returns from the Fund’s holdings in India, up more than 20%, significantly outperformed the benchmark’s holdings, which were up just over 4%. The Fund is also significantly overweight here at approximately 18%, while the benchmark is at approximately 10%. India is one of the fastest-growing economies in the world. Currently, we view India as one of the most attractive of the emerging markets. India’s economy and financial markets are well-positioned and the reforms and new initiatives taking place under Prime Minister Narendra Modi seem to be positive. As a significant importer of oil, India stands to benefit from the lower price of crude. In addition, we believe favorable demographics and an expanding middle class will likely drive increasing consumer demand. Lower inflation should also contribute to currency stability.

The number of interesting and high-quality potential investments in India is broad-based. Wasatch’s investment team has been investing in India for over 10 years. On

average, team members visit India two times per year and meet approximately 50 companies each visit. As a result, the Fund has been and we expect will continue to be overweight relative to the Index. Five of the Fund’s top 10 contributors for the year were from India, with Britannia Industries Ltd., which manufactures and sells bakery and dairy products, as the top contributor.

Korea is another market where we believe we can find attractive small-cap investments in the current environment. Performance was only slightly positive for the year and the Fund was underweight versus the benchmark, detracting slightly from performance relative to the Index. Korea has a supportive macro environment with moderate gross domestic product (GDP) growth, a strong current-account position, currency stability versus the U.S. dollar, and a central bank that has provided stimulus to the economy. Corporate governance has been improving and a next generation of entrepreneurs has created a new class of companies. This has been particularly evident in health care, e-commerce and technology. Companies have been increasingly focusing on returns on capital and becoming more shareholder-friendly. We have been increasing our position in Korea over the past year. Hanssem Co. Ltd., which specializes in kitchen furnishings, was one of the Fund’s top contributors for the year.

We have spent and will continue to spend time in China, and we have visited many Chinese companies. We have had challenges finding companies that meet our investment criteria. As a result, we’re comfortable with a portfolio weighting in China well below the benchmark weighting. The Fund’s holdings in China underperformed those in the benchmark and detracted from performance. Biostime International Holdings Ltd., China Animal Healthcare Ltd. and China Singyes Solar Technologies Holdings Ltd. were notable detractors.

OUTLOOK

We expect weak commodity prices and difficult political situations to pose additional challenges for a number of emerging markets, including Brazil, Indonesia, Russia, South Africa and Turkey. The Fund currently holds no investments in Russia, and we’ve recently reduced exposure to each of the other countries mentioned.

As we have said, we see a “narrowing” of the investable markets we believe are attractive in emerging markets. However, we are finding many companies with attractive stock valuations. Given the relatively full valuations around the world, we believe companies with the best prospects for top-line and bottom-line growth are the most likely to be rewarded in the stock market. If we choose individual companies and countries correctly, we believe we can structure a sound and well-diversified portfolio for the Fund, even within a narrower set of countries. Our outlook is brighter for India, Korea, Taiwan and Mexico. We believe favorable demographics and expanding middle classes are likely to drive increasing consumer demand in each of these countries.

We thank our shareholders for their support through a difficult period.

Current and future holdings are subject to risk.

10

WASATCH EMERGING MARKETS SMALL CAP FUND (WAEMX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		SINCE INCEPTION 10/1/07
Emerging Markets Small Cap		-12.65%		0.73%		2.72%
MSCI Emerging Markets Small Cap Index		-15.23%		-2.43%		-1.06%
MSCI Emerging Markets Index		-19.28%		-3.58%		-2.80%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Emerging Markets Small Cap Fund are 2.02%. The Net Expenses are 1.95%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus. Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Poya Co. Ltd. (Taiwan)		1.8%
BGF Retail Co. Ltd. (Korea)		1.8%
D&L Industries, Inc. (Philippines)		1.8%
Medytox, Inc. (Korea)		1.7%
Hanssem Co. Ltd. (Korea)		1.7%

Company	% of Net Assets
Britannia Industries Ltd. (India)		1.6%
Marksans Pharma Ltd. (India)		1.6%
Grupo Aeroportuario del Centro Norte S.A.B. de C.V. (Mexico)		1.6%
Voltronic Power Technology Corp. (Taiwan)		1.5%
Security Bank Corp. (Philippines)		1.4%

* As of September 30, 2015, there were 121 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. ††Inception: October 1, 2007. The MSCI Emerging Markets and Emerging Markets Small Cap indices are free float-adjusted market capitalization indices designed to measure the equity market performance of emerging markets. You cannot invest directly in these or any indices.

11

WASATCH FRONTIER EMERGING SMALL COUNTRIES  FUND (WAFMX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Frontier Emerging Small Countries Fund is managed by a team of Wasatch portfolio managers led by Laura Geritz.

  Laura Geritz, CFA Lead Portfolio Manager OVERVIEW   The Wasatch Frontier Emerging Small Countries Fund declined -14.88% for the fiscal year ended September 30, 2015, and outperformed the MSCI Frontier Emerging Markets Index, which fell
-24.82%. The past year was one of the most challenging periods for frontier markets we have encountered. The tailspin in China’s stock market and its currency devaluation forced the world

to come to grips with China’s economic slowdown and the possibility of slower global growth.

DETAILS OF THE YEAR

Given the broader downturn in the market, most sectors detracted from the performance of the Fund and the benchmark over the past 12 months. Health care was an exception for the Fund. We were overweight in health care and our holdings had a positive return, while the benchmark’s group had a negative return. One of the largest detractors from the Fund’s absolute performance was the financials sector. Our financial stocks were down double-digits, but slightly outperformed those in the Index. The Fund’s lower average weighting of 13.2% compared to 51.1% for the benchmark added significantly to relative outperformance. We have historically been underweight in financials, whereas over half the benchmark is in financials.

Within financials, the following holdings weighed on the Fund’s performance: Zenith Bank plc, Kenya Commercial Bank Ltd., and Guaranty Trust Bank plc. However, The Bank for Foreign Trade of Vietnam JSC was up nicely during the period after the Vietnamese government announced it would lift foreign ownership limits. As a country, we believe Vietnam has attractive macroeconomic characteristics for growth and the potential to benefit from a favorable environment, including the Trans-Pacific Partnership agreement. We believe this Vietnamese bank will continue to be a significant beneficiary.

The consumer-staples sector detracted from the Fund’s absolute performance mainly due to several breweries, including East African Breweries Ltd., which was impacted by regulatory pressure in Tanzania; Nigerian Breweries plc; and Guinness Nigeria plc.

We consider East African Breweries to be one of the highest-quality sub-Saharan African companies. It is the dominant beer and spirits company in Kenya, and has significant market share in neighboring Tanzania and Uganda. The company’s high barriers to entry in distribution and brand recognition pose a significant moat to competitors. The company has been one of the largest beneficiaries in East Africa as consumers in the region gravitate toward branded alcoholic beverages.

Our exposure to the materials sector hurt the Fund’s absolute performance. However, performance relative to the Index in the sector was helped by the better overall return of our materials stocks. The Fund benefited from strong results in some of its materials holdings in Bangladesh led by Berger Paints Bangladesh Ltd., the leading producer of paints in the country with a dominant market position, a strong distribution network, and an established and well-known brand that has been around since the nation’s inception in 1970. Given these dynamics, we believe it is one of Bangladesh’s best companies and, internally at Wasatch, we consider it to be one of the “World’s Best Growth Companies.”

On a country basis, Bangladesh was the main source of strength for the Fund. The Fund was significantly overweight in Bangladesh compared to the benchmark and our holdings had a positive return, while the benchmark’s holdings were down. Our performance in Bangladesh was largely due to our holdings in Olympic Industries Ltd., a biscuit manufacturer; Square Pharmaceuticals Ltd., a manufacturer of generic pharmaceuticals; and Marico Bangladesh Ltd., a fast-moving consumer-goods company. Pakistan also contributed to performance relative to the Index. The Fund was overweight in Pakistan and our holdings outperformed, helped by two cement companies — Lucky Cement Ltd. and Kohat Cement Co. Ltd.

Our holdings in Kenya and Nigeria were sources of weakness in the Fund during the 12-month period. The Fund’s performance in Kenya was hurt most by East African Breweries, which is our largest Kenyan holding. The company continues to face regulatory pressure from authorities in neighboring Tanzania due to its virtual monopoly. Nigeria was the Fund’s largest detractor from absolute performance as the country continues to confront Boko Haram. However, Nigeria also underwent a presidential election that saw the first truly democratic transition in the government since the country’s independence in 1960 — one of the many positive macro developments we witnessed in frontier markets during this year. Many frontier markets remain bright spots of positive change and growth in a growth-challenged world.

OUTLOOK

As the world adjusts to the new normal of China’s slowing growth, various markets that relied on China will have to make major structural changes to their economies. Many frontier markets have been relatively immune to this phenomenon as illustrated by Bangladesh — its companies and by extension its economy are largely driven by local demand.

We are firmly committed to our approach of finding the World’s Best Growth Companies, and we believe that the long-tail, durable growth we have been able to find in frontier markets is attractive.

Thank you for trusting us as stewards of your hard-earned capital.

Current and future holdings are subject to risk.

12

WASATCH FRONTIER EMERGING SMALL COUNTRIES FUND (WAFMX) — Portfolio  Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS	SINCE INCEPTION 1/31/12
Frontier Emerging Small Countries		-14.88%	N/A		9.97%
MSCI Frontier Emerging Markets Index		-24.82%	N/A		2.19%
MSCI Frontier Markets Index		-24.19%	N/A		6.65%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Frontier Emerging Small Countries Fund are 2.24%. The expense ratio shown elsewhere in this report may be different. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in frontier and emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Square Pharmaceuticals Ltd. (Bangladesh)		3.9%
Vietnam Dairy Products JSC (Vietnam)		3.9%
East African Breweries Ltd. (Kenya)		3.2%
Nestlé Nigeria plc (Nigeria)		3.1%
Tanzania Breweries Ltd. (Tanzania, United Republic of)		3.1%

Company	% of Net Assets
Lucky Cement Ltd. (Pakistan)		3.0%
Nigerian Breweries plc (Nigeria)		3.0%
Kuwait Foods Americana (Kuwait)		2.6%
Bank for Foreign Trade of Vietnam JSC (Vietnam)		2.4%
Olympic Industries Ltd. (Bangladesh)		2.3%

* As of September 30, 2015, there were 125 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

 † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. ††Inception: January 31, 2012. The MSCI Frontier Emerging Markets and MSCI Frontier Markets indices are free float-adjusted market capitalization indices designed to measure the equity market performance of the global frontier and emerging markets. You cannot invest directly in these or any indices.

13

WASATCH GLOBAL OPPORTUNITIES FUND (WAGOX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Global Opportunities Fund is managed by a team of Wasatch portfolio managers led by JB Taylor and Ajay Krishnan.

  JB Taylor Lead Portfolio Manager   Ajay Krishnan, CFA Lead Portfolio Manager OVERVIEW   The Wasatch Global Opportunities Fund fell -3.88%
during the 12 months ended September 30, 2015, performing roughly in line with the benchmark MSCI AC

World Small Cap Index, which declined -3.28%.

We’ve all heard the expression, “When America sneezes, the world catches a cold.” It seems the same can now be said about China. That should come as no surprise because China is the second-largest economy in the world, as measured by gross-domestic product (GDP).

During the latter part of the Fund’s fiscal year, global stock markets declined significantly. While the news coming out of China reflected real economic concerns, the main triggers for the declines mostly had to do with ill-conceived government actions: China’s leadership initially encouraged excessive speculation in Chinese shares through massive openings of brokerage accounts, lower margin requirements and monetary stimulus by the People’s Bank of China (the country’s central bank).

Once Chinese markets turned down, the government’s first response was to intervene to support stock prices — a strategy that was soon abandoned, creating even more uncertainty. Next came the government’s effort to intentionally devalue the Chinese yuan against other major currencies. In yet another flip-flop, the central bank later cut its holdings of dollar-denominated U.S. Treasury securities and used the proceeds to prop up the yuan.

So if ill-conceived government actions were the main triggers that set off stock-market avalanches around the world, what have been the underlying conditions that have made markets vulnerable in the first place? We believe these conditions have included slower economic growth, which depresses corporate prospects, and central-bank policies that have encouraged investors to put their money into riskier assets.

DETAILS OF THE YEAR

Our greatest detractor from Fund performance for the year was Qualicorp S.A. The company offers insurance and benefits packages to corporations and affinity groups in Brazil. Qualicorp’s share price slumped on speculation that Brazil’s government is considering measures to stimulate sales of individual health-insurance plans. With general investment conditions in Brazil deteriorating, we sold the stock to seek better opportunities elsewhere.

Another large detractor from Fund performance was online travel agency MakeMyTrip Ltd. Although aggressive

discounting by a competitor has resulted in slowing sales growth and wider-than-expected losses for MakeMyTrip, it remains India’s leading online travel agency both in airline-ticket sales and hotel bookings. We believe the company’s margins will expand once competition abates, and we continue to own it in the Fund.

On the positive side of the ledger, our top contributor was Allegiant Travel Co., which rebounded from its low several months ago. Over the past year, the stock has been on a roller coaster, but has ultimately climbed higher. Early in the period, Allegiant rose based on good revenue and earnings growth, partially due to the lower price of oil. Then, the stock declined due to a backup in the price of crude and the threat of a pilot strike. More recently, the stock has recovered its losses as oil has shown some renewed weakness, and as investors have recognized Allegiant’s competitive advantages and ability to work through its labor disputes.

Medytox, Inc., a Korean health-care company, was also a strong contributor to performance for the year. Medytox develops dermal fillers and biopharmaceuticals for cosmetic applications, and therapeutic applications for the treatment of muscular disorders. The company’s stock soared on optimism that its second-generation botulinum toxin may offer an attractive alternative to BOTOX^® Cosmetic for reducing wrinkles and aging of the face.

OUTLOOK

Regarding ongoing events in China, we think there are a few red flags. First, if China’s economic growth is slowing more than previously expected, this will adversely affect many companies in developed and emerging markets — although some other companies will benefit as production costs decline due to less competition for oil and minerals. Second, the possibility that China will resume its devaluation of the yuan could lead to competitive currency devaluations as other countries seek to maintain export competitiveness. Third, the recent rout in commodity prices could continue because demand growth is slowing, and modern technology is making it increasingly easy to scale production up and down.

Based on the macro themes described above, we believe opportunities in emerging markets have narrowed —  with the best opportunities being in places like India, Mexico and Taiwan, where the political environments are fairly good and the economies are not overly dependent on commodity exports.

In developed markets, where we invest the majority of the Fund’s assets, we have the largest weighting in the United States, although the weighting is significantly below that of the benchmark. We continue to look for new opportunities in the U.S. due to the relative strength of the economy and the prevalence of companies that are performing well. But our U.S. weighting has been held back by the generally high valuations we’ve been finding. Among other developed markets, our largest weightings are in Japan, the United Kingdom and Germany — where stocks are generally less well-researched than those in the U.S.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

14

WASATCH GLOBAL OPPORTUNITIES FUND (WAGOX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS	SINCE INCEPTION 11/17/08
Global Opportunities		-3.88%	8.54%		17.70%
MSCI AC World Small Cap Index		-3.28%	8.14%		15.37%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Global Opportunities Fund are 1.78%. The expense ratio shown elsewhere in this report may be different. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in small and micro cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
SMS Co. Ltd. (Japan)		3.2%
Allegiant Travel Co.		3.2%
Patrizia Immobilien AG (Germany)		2.8%
Medytox, Inc. (Korea)		2.4%
TWi Pharmaceuticals, Inc. (Taiwan)		2.4%

Company	% of Net Assets
Cornerstone OnDemand, Inc.		2.3%
Knight Transportation, Inc.		2.0%
IPG Photonics Corp.		2.0%
Rightmove plc (United Kingdom)		2.0%
Next Co. Ltd. (Japan)		1.9%

* As of September 30, 2015, there were 87 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

† Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. ††Inception: November 17, 2008. The MSCI AC (All Country) World Small Cap Index is a free float-adjusted market capitalization index designed to measure the performance of small capitalization securities in developed and emerging markets. You cannot invest directly in this or any index.

15

WASATCH INTERNATIONAL GROWTH FUND (WAIGX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch International Growth Fund is managed by a team of Wasatch portfolio managers led by Roger Edgley, Linda Lasater and Kabir Goyal.

  Roger Edgley, CFA Lead Portfolio Manager   Linda Lasater, CFA Associate Portfolio Manager   Kabir Goyal, CFA Associate Portfolio Manager

OVERVIEW

The Wasatch International Growth Fund gained 4.83% for the 12 months ended September 30, 2015. Over the same period, the Fund’s benchmark, the MSCI AC World Ex-U.S.A. Small Cap Index, declined -6.42%.

Over the past 12 months, the financial markets faced growing uncertainties. Central bank policy moves, especially those in the U.S. and China, weighed heavily on the markets. In the latter part of the period, investors were particularly concerned about the slowdown in China’s economy, China’s surprise devaluation of the yuan and the Volkswagen emission scandal. Our core and largest-weighted markets including Japan, the United Kingdom (U.K.) and Europe have been experiencing mixed macro developments, but we remain optimistic given the positive advances we have been seeing at a company level. We believe we have populated the Fund with high-quality long-duration growth companies that have the ability to grow over a full market cycle, despite any macroeconomic challenges they may face. Market weakness provided us with opportunities to strengthen positions in our highest-conviction stocks and upgrade the quality of our portfolio with new investments.

DETAILS OF THE YEAR

Japan contributed the most to the Fund’s performance over the past 12 months. Relative to the Index, the Fund was overweight in Japan and our holdings significantly outperformed. The extent of the economic recovery in Japan continues to be debatable, but the overall trend has been positive. The fundamental changes taking place across corporate Japan have resulted in an increased pool of interesting companies that fit our investment criteria. We believe our focus on companies with experienced, high-caliber leadership, innovative or proprietary products or platforms, and outstanding business models has the potential to continue to drive outperformance relative to the benchmark. Two of the Fund’s top 10 contributors to performance were from Japan — Ryohin Keikaku Co. Ltd., which sells knitwear, food and household items, and Nihon M&A Center, Inc., which provides merger and acquisition advisory services to small and medium-size enterprises.

In the U.K., solid domestic demand has been supported by economic data including inflation, employment and wage-growth numbers. There is concern that the strengthening currency could dampen economic activity, particularly for exporters. While a broad-based economic recovery is favorable for companies in general, we believe our holdings are market leaders in their respective categories and are capable of driving organic growth over the long term. For example, Domino’s Pizza Group plc, another of the Fund’s top contributors for the year, continues to grow organically through innovation and strong execution. The company is leveraging the Internet and technology to drive the customer proposition and efficiencies throughout the organization. This is resulting in strong same-store sales, margin expansion and cash generation.

Finally, in Europe, the economic recovery is becoming more entrenched. Growth across the eurozone has been improving, corporate earnings are rising and government debt ratios appear to have stabilized. The recovery has been driven not only by Germany and France, but also by peripheral countries like Spain, Italy and Portugal. Furthermore, with improving consumer sentiment and lower oil prices, household spending and retail sales have started to trend positively, which should further support the economic trajectory.

Germany was a top-contributing country within the Fund led by Patrizia Immobilien AG. Patrizia continues to transform itself from a pure residential property owner in Germany to a pan-European full-service real estate asset manager.

Detractors from performance were also broad-based across geographies and sectors. We sold companies that fell short of our expectations. Among them were several energy holdings. We have kept holdings that, in our opinion, are high-quality companies and leaders in their respective industries. We remain constructive on their prospects over the long term.

OUTLOOK

We are excited about the quality of the companies in the Fund and the opportunities we see for them. Many of our companies offer services that are in high demand that allow them to execute their strategies throughout any economic environment. Furthermore, we believe that improving economic conditions in Japan, Europe and the U.K. are providing a broader pool of investment candidates.

In Japan, we believe the fundamental corporate changes from governance and management perspectives will help drive long-term growth for our companies and increase shareholder value. In Europe, we are seeing a more cyclical recovery, but because the environment has been difficult for such a long period of time, particularly in the peripheral countries, the competitive landscape has improved and the high-quality companies we target have been reaping the benefits of their discipline and strong execution. Finally, in the U.K., the recovery is further along than in other developed regions. We are starting to see compelling opportunities in certain sectors, particularly industrials, which have been impacted by currency and exposure to emerging markets.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

16

WASATCH INTERNATIONAL GROWTH FUND (WAIGX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
International Growth		4.83%		9.13%		8.06%
MSCI AC World Ex-U.S.A. Small Cap Index		-6.42%		3.85%		5.13%
MSCI World Ex-U.S.A. Small Cap Index		-3.71%		5.74%		4.23%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch International Growth Fund are 1.46%. The expense ratio shown elsewhere in this report may be different. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in foreign securities, especially in frontier and emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus. Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Patrizia Immobilien AG (Germany)		3.2%
Domino’s Pizza Group plc (United Kingdom)		2.9%
Domino’s Pizza Enterprises Ltd. (Australia)		2.8%
Nihon M&A Center, Inc. (Japan)		2.8%
Ai Holdings Corp. (Japan)		2.5%

Company	% of Net Assets
Rightmove plc (United Kingdom)		2.4%
SMS Co. Ltd. (Japan)		2.3%
Abcam plc (United Kingdom)		2.2%
CTS Eventim AG & Co KGaA (Germany)		2.0%
Medytox, Inc. (Korea)		2.0%

* As of September 30, 2015, there were 83 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The MSCI AC (All Country) World Ex-U.S.A. Small Cap Index is a free float-adjusted market capitalization index designed to measure the performance of small capitalization securities in developed markets, excluding the United States, and in emerging markets. The MSCI World Ex-U.S.A. Small Cap Index is a free float-adjusted market capitalization index designed to measure the performance of small capitalization securities in developed markets, excluding the United States. You cannot invest directly in these or any indices.

17

WASATCH INTERNATIONAL OPPORTUNITIES FUND (WAIOX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch International Opportunities Fund is managed by a team of Wasatch portfolio managers led by Laura Geritz and Jared Whatcott.

  Laura Geritz, CFA Portfolio Manager   Jared Whatcott, CFA Associate Portfolio Manager OVERVIEW   The Wasatch International Opportunities
Fund fell -1.44% for the 12-month period ended September 30, 2015. Over the same time
period, the
Fund’s benchmark,
the MSCI AC

World Ex-U.S.A. Small Cap Index, lost -6.42%.

Late in the Fund’s fiscal year, just as concerns over Greece began to subside, and developed markets began to take comfort in improving economic data from Europe, China’s muddled handling of its currency and stock markets left global investors disconcerted about the country’s future prospects, its policy responses, and its impact on world economics. The U.S. Federal Reserve’s decision to leave interest rates unchanged, despite reasonably strong domestic economic indicators, further upset global markets and revived debate on the timing of U.S. rate increases. Emerging markets bore the brunt of these concerns, as global investors are estimated to have sold $19 billion worth of emerging-market equities in the third calendar quarter of 2015, the worst sell-off since 2008. As a result, developed-country stocks in the Index held up much better over the latest three-month period than emerging-market stocks, but lagged the more insulated frontier stocks.

DETAILS OF THE YEAR

Given recent increases to our company weights in Japan, the Fund ended the fiscal year with nearly half of its invested assets in developed markets, which is still well under the Index weight of over 78%. As we’ve continued to find and add what we consider to be high-quality, undiscovered micro-cap companies with strong market positions in less-traveled parts of the globe, the portion of the Fund invested in frontier markets has crept up to 10%. The remainder of the Fund is invested in strong, growing companies in the emerging world that we believe have the potential to outperform over time.

The biggest contributor from a country perspective was Japan. Our Japanese holdings significantly outperformed those in the Index. The latest trip to Japan by several members of the international team resulted in us increasing our exposure to Japan, including adding to some companies that we believe are high-quality innovators like Next Co. Ltd., a top online real estate company taking share in a resurgent Japanese market, and SMS Co Ltd., a website operator for senior-care recruitment that also has the potential to disrupt the enterprise resource planning (ERP) systems for nursing facilities in the country. This proved to be beneficial as both

Next and SMS made notable contributions to the Fund’s performance for the 12-month period.

Our decision to remain underweight in China turned out to be a plus. With stocks in Hong Kong and China in free-fall, we benefited from our smaller weight in a few select companies.

By the end of the period, the Fund had eliminated its holdings in Canada. Our lack of exposure to Canada contributed to relative performance. Canada was a weak-performing country within the benchmark, mainly due to the energy and materials sectors, where prices have been hit on concerns of lower demand from China coupled with excess supply.

Malaysia and Indonesia detracted significantly from the Fund’s performance. In Malaysia, the Fund’s overweight position was detrimental and we underperformed the Index in this country. In Indonesia, our stocks underperformed those in the Index and an overweight position hurt.

On a sector basis, the consumer-discretionary sector contributed the most to the Fund’s performance versus the Index. Besides Japanese company Next, which we already mentioned, we also saw strong performance from Poya Co. Ltd., an operator of department stores in Taiwan.

Industrials also contributed favorably to the Fund’s performance over the fiscal year. Electrical-equipment providers Amara Raja Batteries Ltd., a battery producer in India, and Voltronic Power Technology Corp., a Taiwanese power-product manufacturer, were two of the Fund’s top contributors.

The health-care sector detracted from the Fund’s performance — weighed down by Indonesian pharmaceutical company PT Kimia Farma Persero Tbk. Nevertheless, we are excited about the opportunities we see for our health-care holdings over the coming years.

Finally, the financials sector detracted the most from the Fund’s performance. Relative to the Index, the Fund’s performance in the sector was hurt by a substantially underweight position and the underperformance of our financial stocks.

OUTLOOK

From a valuation perspective, the Fund is now near the most attractive levels on a price-to-book and price-to-sales basis we’ve seen in the last three or four years. We are cognizant of equity valuations and expect to trim positions as prices rise and reduce our projected-return calculations. We also expect to add to positions when we see our favorite long-term holdings pull back.

While we can’t know what surprises the global markets have in store for us, we do have confidence that our investment process will continue to point us to companies that have the potential to thrive over time. We are optimistic about the positioning of the Fund, and excited about the great opportunities we have continued to uncover as we have traveled the globe in search of emerging World’s Best Growth Companies.

Thank you for the privilege of managing your money.

Current and future holdings are subject to risk.

18

WASATCH INTERNATIONAL OPPORTUNITIES FUND (WAIOX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
International Opportunities		-1.44%		7.98%		8.72%
MSCI AC World Ex-U.S.A. Small Cap Index		-6.42%		3.85%		5.13%
MSCI World Ex-U.S.A. Small Cap Index		-3.71%		5.74%		4.23%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch International Opportunities Fund are 2.41%. The Net Expenses are 2.25%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in foreign securities, especially in frontier and emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus. Investing in micro cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Next Co. Ltd. (Japan)		2.4%
Ikyu Corp. (Japan)		2.1%
Gurunavi, Inc. (Japan)		2.1%
Jalux, Inc. (Japan)		1.8%
Pepsi-Cola Products Philippines, Inc. (Philippines)		1.7%

Company	% of Net Assets
Doutor Nichires Holdings Co. Ltd. (Japan)		1.7%
Axial Retailing, Inc. (Japan)		1.6%
Voltronic Power Technology Corp. (Taiwan)		1.5%
Famous Brands Ltd. (South Africa)		1.5%
Wawel S.A. (Poland)		1.5%

* As of September 30, 2015, there were 164 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The MSCI AC (All Country) World Ex-U.S.A. Small Cap Index is a free float-adjusted market capitalization index designed to measure the performance of small capitalization securities in developed markets, excluding the United States, and in emerging markets. The MSCI World Ex-U.S.A. Small Cap Index is a free float-adjusted market capitalization index designed to measure the performance of small capitalization securities in developed markets, excluding the United States. You cannot invest directly in these or any indices.

19

WASATCH LARGE CAP VALUE FUND (FMIEX / WILCX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Large Cap Value Fund is managed by a team of Wasatch portfolio managers led by David Powers.

  David Powers, CFA Lead Portfolio Manager OVERVIEW   The Wasatch Large Cap Value Fund — Investor Class lost -6.61% and lagged the -4.42% decline of the Russell 1000 Value Index for the 12 months ended September 30, 2015. The Fund’s holdings in the financials and energy sectors were among the biggest detractors from performance relative to the Index. The U.S. Federal Reserve (Fed) has appeared poised to begin a tightening cycle for some time, as the economy

continues to display modest growth, with improvements in key indicators in areas such as employment and housing. In addition, consumers have been supported by declining energy costs. However, wage gains have been well below levels of past recoveries, and market expectations for the timing of the first Fed rate hike have been consistently pushed back. Longer-term U.S. Treasury yields declined over the period.

Against a weakening global economic backdrop, most leading central banks overseas engaged in extraordinary efforts to stimulate growth. The period also saw elevated geopolitical and macroeconomic uncertainty, with the continued threat in Iraq and Syria from militant fundamentalists with territorial ambitions and ongoing strife in Ukraine. Markets were rattled in mid-2015 by the prospect of Greece leaving the European Union. The Greece crisis was replaced in headlines late in the period by China’s devaluation of the yuan, which sparked fears over the prospect of a global currency war and contributed to further financial market volatility.

DETAILS OF THE YEAR

The leading individual contributor to the Fund’s performance in the 12-month period was consumer electronics icon Apple, Inc. Apple shares benefited from new products and a successful iPhone update cycle. In addition, China has become a sizable and growing market for the company’s products. Apple continues to use its enormous cash reserves to support shareholder-friendly measures such as dividend increases and share buybacks. Within health care, medical device manufacturer Medtronic plc was a standout performer. Medtronic has a number of enormous, established business lines including pacemakers, spinal and cardiovascular implants, and insulin pumps. The company is at the forefront of researching and developing new therapies, and has benefited in recent quarters from increased utilization rates in the wake of the Affordable Care Act. Another significant contributor was real estate investment trust (REIT) EPR Properties. EPR holds entertainment- and leisure-related properties including theaters, casinos and golf courses, and has shown the ability to consistently identify attractive investment opportunities. Shares for EPR and other REITs benefited over the period as expectations eased with respect to the ultimate upward trajectory for interest rates.

The great majority of the Fund’s leading detractors for the period came from the energy sector, led by integrated oil and gas giants Chevron Corp. and Suncor Energy, Inc. One of the Fund’s standouts from last year, LyondellBasell Industries N.V. lagged badly in the most recent 12-month period. Lyondell is a petrochemical refiner and manufacturer of specialized plastics used in a wide range of products. Lyondell uses natural gas in its production process. Most of its competitors rely on oil-based manufacturing and benefited over the period from falling input costs. Eaton Corp. plc was another leading detractor, as industrial stocks were hampered by a slowing global growth outlook. Eaton is a provider of electrical and mechanical systems with substantial cyclical exposure to European markets. We view the stock as inexpensive at current levels and we added to the position on weakness. Eastman Chemical Co. is a commodity and specialty chemical company with a vast line of products used in a wide variety of industrial production processes, ranging from adhesives to plastics to paint additives. The company’s results are heavily tied to the overall global economic climate, and have suffered from softening demand outside the U.S., especially in China. The rise in the dollar has also weighed on the company’s results.

OUTLOOK

Developments around China and emerging markets more broadly have contributed to an investor preference for domestically oriented stocks. This has not been helpful to the Fund’s recent results, as we have seen better value and stronger balance sheets in companies with exposure to international markets.

There is a tremendous amount of stimulus in the global economic system, yet growth remains weak, contributing to the ongoing elevated levels of market volatility. If the overall commodities complex and in particular oil prices stabilize, we could see a recovery in market sentiment.

In the meantime, with the Fed likely on hold for a bit longer, cyclical stocks stand to benefit from reduced concern over higher interest rates, while the earnings outlook for lender-focused franchises within financials would be constrained. More broadly, stocks in aggregate are not inexpensive in view of lowered growth prospects, and we do not see a compelling case to heavily weight any particular segment of the market.

Against this backdrop, the Fund continues to display a higher quality profile than would likely be seen at the earlier stages of a market cycle, with a tilt toward companies featuring larger market capitalizations, higher profitability and stronger balance sheets. The broad emphasis on quality we are seeing in the Fund is an outcome of applying our value-based process, and we believe it has the Fund well-positioned for the longer term.

We thank you for your continued investment.

Current and future holdings are subject to risk.

20

WASATCH LARGE CAP VALUE FUND (FMIEX / WILCX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Large Cap Value (FMIEX) — Investor		-6.61%		7.52%		5.47%
Large Cap Value (WILCX) — Institutional		-6.50%		7.62%		5.52%
Russell 1000® Value Index		-4.42%		12.29%		5.71%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Large Cap Value Fund are Investor Class  — Gross: 1.12%, Net: 1.10% / Institutional Class — Gross: 1.25%, Net: 0.98%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Performance for the Institutional Class prior to 1/31/2012 is based on the performance of the Investor Class. Performance of the Fund’s Institutional Class prior to 1/31/2012 uses the actual expenses of the Fund’s Investor Class without any adjustments. For any such period of time, the performance of the Fund’s Institutional Class would have been substantially similar to, yet higher than, the performance of the Fund’s Investor Class, because the shares of both classes are invested in the same portfolio of securities, but the classes bear different expenses.

Investments in value stocks can perform differently from the market as a whole and from other types of stocks and can continue to be undervalued by the market for long periods of time. Loss of principal is a risk of investing.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
General Electric Co.		4.9%
Johnson & Johnson		4.7%
Citigroup, Inc.		4.5%
JPMorgan Chase & Co.		4.3%
Wells Fargo & Co.		4.3%

Company	% of Net Assets
American International Group, Inc.		4.3%
Cisco Systems, Inc.		4.3%
Pfizer, Inc.		4.2%
Procter & Gamble Co. (The)		3.8%
Duke Energy Corp.		3.6%

* As of September 30, 2015, there were 34 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

 † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Russell 1000 Value Index measures the performance of Russell 1000 Index companies with lower price-to-book ratios and lower forecasted growth values. You cannot invest directly in these or any indices.

21

WASATCH LONG/SHORT FUND (FMLSX / WILSX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Long/Short Fund is managed by a team of Wasatch portfolio managers led by Michael Shinnick and Ralph Shive.

  Michael Shinnick Lead Portfolio Manager   Ralph Shive, CFA Portfolio Manager OVERVIEW   The period saw the world’s leading central banks engage in extraordinary efforts to stimulate growth against the backdrop of a weakening global economy and heightened geopolitical risks.

The prospect of Greece leaving the European Union dominated headlines for much of the period, but was replaced in August by China’s efforts to maintain acceptable growth rates. China’s devaluation of the yuan sparked fears over the prospect of a global currency war breaking out among export-focused economies, leading to elevated financial market volatility. After stabilizing and gaining in the first half of 2015, oil prices resumed their declines in the wake of China’s concerns.

In the U.S., where the Federal Reserve has appeared poised to begin a tightening cycle, the economy continued to display modest growth, with improvements in key indicators in areas such as employment and housing. In addition, consumers continued to benefit from declining energy costs. However, wage gains have remained well below levels of past recoveries.

For the 12 months ended September 30, 2015, the Wasatch Long/Short Fund — Investor Class lost -19.33% and lagged the -0.61% return of the S&P 500 Index. The most significant detractor from the Fund’s performance relative to the Index was overweight exposure to cyclical areas of the market that suffered from the deteriorating global growth outlook, in particular energy-related issues. The short side of the Fund’s portfolio contributed positively to performance, as our short positions were down an average of -4.6%.

DETAILS OF THE YEAR

Leading contributors within the long portfolio included a pair of retailers, Target Corp. and Chico’s FAS, Inc. Within information technology, consumer-electronics icon Apple, Inc. and electronic-transaction processor Global Payments, Inc. provided positive contributions. Real estate investment trusts were one of the better performing areas of the market and Iron Mountain, Inc., Investors Real Estate Trust and American Campus Communities, Inc. all added to performance in the Fund’s long portfolio.

During the period, we moved aggressively to increase the short portfolio and we expect to continue to see more short opportunities as valuations are high in many areas of the market. Short positions that worked well for the Fund included computer-networking company Arista Networks, Inc., specialty grocery store chain Sprouts Farmers Market,

Inc., apparel retailer Men’s Wearhouse, Inc., and luxury-brand retailer Tiffany & Co.

On the downside, our two largest oil and gas exploration and production positions, Denbury Resources, Inc. and Bill Barrett Corp., were the leading detractors for the 12-month period. Both saw their shares suffer severely as oil prices dropped more than 50% during the year on both oversupply from OPEC and demand concerns stemming largely from slowing growth in China. We continue to believe that Denbury Resources, Bill Barrett, and Unit Corp., another leading detractor from the energy sector, have the financial wherewithal to navigate the downturn and generate strong cash flows until commodity prices recover. Outside of energy, significant detractors included low-cost retailing giant Wal-Mart Stores, Inc., semiconductor and mobile-technology company QUALCOMM, Inc., and computer-technology multinational Oracle Corp. We continue to hold these companies based on their below-market valuations and ability to generate steady cash flows to provide strong dividends and major share buyback programs.

With respect to recent changes in the Fund, we have eliminated a number of long positions with gains, including Apple, CNA Financial Corp., Ventas, Inc. and Plum Creek Timber Co., Inc. On the buy side, a significant new position was taken in Whole Foods Market, Inc. We believed the stock had fallen to an attractive valuation, not only on an absolute basis but also relative to its more highly levered peer Kroger Co., which we continue to hold in the short portfolio.

OUTLOOK

The macroeconomic backdrop has been much as we expected, featuring sluggish growth and very low interest rates supported by global quantitative easing. This has led us to maintain a preference for companies displaying high cash earnings yields and/or substantial tangible assets. While we retain our conviction in the soundness of this focus, the Fund’s performance has been disappointing in recent quarters for our shareholders and for us as managers.

While we understand and share this frustration, our disappointment has recently changed to excitement based on the observation that our energy-related stocks have been trading at multi-decade lows in relation to the overall market. As a result, we believe the potential is there for extraordinary returns on many of these issues once commodity prices return to more normal levels. Together, we believe our energy and deep value holdings are composed of attractive companies trading at historically low valuations. Finally, we expect to continue to see abundant opportunities to short stocks, and have moved aggressively to take advantage.

We remain confident that the Long/Short Fund is well-positioned to over time play a valuable role in our shareholders’ investment portfolios.

Thank you for your continued confidence and investment in the Fund.

Current and future holdings are subject to risk.

22

WASATCH LONG/SHORT FUND (FMLSX / WILSX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Long/Short (FMLSX) — Investor		-19.33%		2.78%		3.79%
Long/Short (WILSX) — Institutional		-19.19%		2.85%		3.82%
S&P 500® Index		-0.61%		13.34%		6.80%
Citigroup U.S. Domestic 3-Month Treasury Bills Index		0.02%		0.06%		1.26%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Long/Short Fund are — Investor Class: 1.53% / Institutional Class: 1.42%, Net: 1.42%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. Expenses include dividend expense on short sales and interest expense. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Performance for the Institutional Class prior to 12/13/2012 is based on the performance of the Investor Class. Performance of the Fund’s Institutional Class prior to 12/13/2012 uses the actual expenses of the Fund’s Investor Class without any adjustments. For any such period of time, the performance of the Fund’s Institutional Class would have been substantially similar to, yet higher than, the performance of the Fund’s Investor Class, because the shares of both classes are invested in the same portfolio of securities, but the classes bear different expenses.

The Fund makes short sales of securities, which involve the risk that losses may exceed the original amount invested. Equity investing involves risks, including potential loss of the principal amount invested.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Iron Mountain, Inc.		5.0%
Wal-Mart Stores, Inc.		4.5%
Loews Corp.		4.4%
QUALCOMM, Inc.		4.4%
Oracle Corp.		4.0%

Company	% of Net Assets
Express Scripts Holding Co.		3.6%
Mosaic Co. (The)		3.5%
EMC Corp.		3.5%
Verizon Communications, Inc.		3.2%
Halliburton Co.		3.2%

* As of September 30, 2015, there were 40 long and 17 short holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The S&P 500 Index includes 500 of the United States’ largest stocks from a broad variety of industries. The Index is unmanaged and is a commonly used measure of common stock total return performance. The Citigroup U.S. Domestic 3-Month Treasury Bills Index tracks the performance of U.S. Treasury bills with a remaining maturity of three months. U.S. Treasury bills, which are short-term loans to the U.S. government, are full-faith-and-credit obligations of the U.S. Treasury and are generally regarded as being free of any risk of default. You cannot invest directly in these or any indices.

23

WASATCH MICRO CAP FUND (WMICX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Micro Cap Fund is managed by a team of Wasatch portfolio managers led by Dan Chace.

  Dan Chace, CFA Lead Portfolio Manager OVERVIEW   The Wasatch Micro Cap Fund gained 2.45% during the 12 months ended September 30, 2015. The Fund finished ahead of its benchmark, the Russell Microcap Index, which rose 1.65%. After lagging during the previous fiscal year, small-company stocks and micro caps outperformed the stocks of larger companies. Both the Index and the Fund carried gains of approximately 17% into the final quarter of the fiscal year. At that

time, we noted our concerns about overvaluation in the markets. “For equity markets, valuations remain elevated,” we wrote in our June 30, 2015 commentary. “Unlike the Internet bubble — when reasonably valued stocks unrelated to the bubble were relatively plentiful — today the overvaluation is more widespread.”

Over the following three months, those concerns came to the forefront of investors’ attention. Alongside a multi-year run in equities and lofty valuations, stocks corrected sharply. Though slowing economic growth in China had been hanging over the market for some time, China’s surprise devaluation of the yuan on August 11th rattled investors. The move sparked fears that China’s slowdown was worse than believed and raised doubts about the Chinese government’s ability and confidence to manage it. Micro-cap stocks sold off along with other risk assets, although both the Index and the Fund held on to enough of their earlier gains to finish in positive territory for the fiscal year.

Aside from China, conflicting signals from the U.S. Federal Reserve (Fed) provided an additional source of uncertainty. That the Fed will increase rates is widely expected. The timing of that increase and whether the economy is strong enough to withstand it is a question mark, however. While the U.S. economy has improved — with unemployment declining and the housing market doing better — corporate-profit growth has been slowing.

Looking past the macroeconomic issues and into the Fund, our bottom-up approach focuses on investing in companies that we believe can grow earnings over the next three to five years at a steady clip, regardless of what the macro environment looks like. We believe this approach is particularly timely given the uncertainty embedded in today’s global economy.

DETAILS OF THE YEAR

Our strongest contributor to performance for the year was Cempra, Inc., a clinical-stage pharmaceutical company developing antibiotics for the treatment of bacterial infectious diseases. Cempra’s share price rose on optimism surrounding its lead drug candidate, Solithromycin, which is currently in Phase 3 development for the treatment of community-acquired bacterial pneumonia. In addition, the U.S. Food and Drug Administration granted Fast Track designation to the drug, a positive sign.

Technology company Ellie Mae, Inc. was our second-largest contributor. The company provides on-demand software and services for the U.S. residential-mortgage industry. Ellie Mae’s strong operating performance in the depressed originations market of 2014 confirmed its position as the software provider of choice for mortgage lenders. The company’s rapidly expanding customer base has driven upward revisions in its revenue guidance for 2015.

Our greatest detractor from Fund performance for the year was online travel agency MakeMyTrip Ltd. Although aggressive discounting by a competitor has resulted in slowing sales growth and wider-than-expected losses for MakeMyTrip, it remains India’s leading online agency both in airline-ticket sales and hotel bookings. We believe the company’s margins will expand once competition abates, and we continue to own it in the Fund.

Oil prices weakened further during the fiscal year, impacting the bottom lines of crude producers. These included Comstock Resources, Inc. and Northern Oil and Gas, Inc., two other detractors from Fund performance. We liquidated the Fund’s position in Comstock early in the year because we expected its highly levered business model to face difficulties in an environment of low energy prices. Since then, the company’s stock price has declined significantly. Northern Oil and Gas, which we believed was better positioned to ride out crude’s steep drop, was sold later in the year when oil prices showed few signs of near-term recovery.

OUTLOOK

Looking forward, we don’t expect any immediate improvement in the global economic environment or the volatility in equities. Although we think moderate growth in both the U.S. economy and employment will persist, we are cognizant of the challenges emerging around the world.

One issue confronting investors has been the strength of the U.S. dollar and the exceptional weakness of some currencies, especially in emerging markets. The fear is that a debt crisis may emerge somewhere in the world, especially in countries and companies that have borrowed heavily in dollars. Continued weakness in commodities also appears to reflect expectations of slowing global growth. And expanding high-yield spreads suggest increased stress in the U.S. economy.

Consequently, we have been working to position the Fund toward stable growth companies that we believe are likely to be more insulated from macroeconomic headwinds. These include companies operating in growth markets, and companies with innovative products and services that have the potential to expand despite the uncertainty. We continue to screen for new ideas that fit these characteristics. As a result, the Fund’s portfolio turnover is likely to increase somewhat in the coming quarters.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

24

WASATCH MICRO CAP FUND (WMICX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Micro Cap		2.45%		11.17%		5.06%
Russell Microcap® Index		1.65%		12.35%		4.88%
Russell 2000® Index		1.25%		11.73%		6.55%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Micro Cap Fund are 1.90%. The expense ratio shown elsewhere in this report may be different. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in micro cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
LGI Homes, Inc.		2.6%
Ultimate Software Group, Inc.		2.6%
Tyler Technologies, Inc.		2.5%
City Union Bank Ltd. (India)		2.2%
CareTrust REIT, Inc.		2.1%

Company	% of Net Assets
SPS Commerce, Inc.		2.1%
ICON plc (Ireland)		2.0%
Natco Pharma Ltd. (India)		1.9%
Ensign Group, Inc. (The)		1.9%
Installed Building Products, Inc.		1.9%

* As of September 30, 2015, there were 90 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

† Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Russell Microcap Index is an unmanaged total return index of the smallest 1,000 securities in the small-cap Russell 2000 Index along with the next smallest 1,000 companies, based on a ranking of all U.S. equities by market capitalization. The Russell 2000 Index is an unmanaged total return index of the smallest 2,000 companies in the Russell 3000 Index, as ranked by total market capitalization. The Russell 2000 Index is widely regarded in the industry as accurately capturing the universe of small company stocks. You cannot invest directly in these or any indices.

25

WASATCH MICRO CAP VALUE FUND (WAMVX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Micro Cap Value Fund is managed by a team of Wasatch portfolio managers led by Brian Bythrow.

  Brian Bythrow, CFA Lead Portfolio Manager OVERVIEW   The Wasatch Micro Cap Value Fund gained 9.99% in the 12 months ended September 30, 2015. The Fund outperformed its benchmark, the Russell Microcap Index, which rose 1.65%. With respect to market environment and investor risk appetite, the Fund’s fiscal year broke down roughly into three phases: (1) the first quarter, (2) the two middle quarters, and (3) the final quarter.

During the first quarter, investors demonstrated a robust appetite for risk and drove the Index to a double-digit gain. The biotechnology component of the Index, which serves as a reasonable proxy for risk-taking, surged about 24%. The Fund lagged its benchmark during this period, as the higher-quality, less-speculative companies we seek to own in the Fund did not seem as exciting to investors.

Over the following two quarters, the environment for equities remained positive, but less aggressively so. The Index posted low-single-digit gains in each quarter, and the returns of its red-hot biotechnology component cooled to the mid-teens. As risk appetite moderated, the Fund began to outperform.

In the final quarter of the fiscal year, stocks fell as investors became risk-averse. Weak manufacturing data in China raised doubts about the health of the global economy and weighed on world equity markets. Conflicting signals from the U.S. Federal Reserve (Fed) on when it would start raising interest rates added to the uncertain environment. The Index suffered a double-digit loss for the three months, while its biotechnology stocks declined approximately -29% as a group. The Fund fell much less than the Index during this period, finishing substantially ahead of its benchmark for the full year.

We believe the Fund’s performance over the past 12 months is a direct reflection of our investment approach. When selecting investments for the Fund, we seek innovative micro-cap companies that can differentiate themselves from competitors and gain market share — even under difficult business conditions. At the same time, we generally seek to avoid commodity producers and cyclicals. As the year progressed, investor appetite for risk subsided and our greater focus on innovators and defensive growers increasingly benefited the Fund.

In addition, the Fund’s value mandate largely prevented us from owning the biotechnology stocks that added volatility to the Index. Over the fiscal year, biotechnology stocks represented about 11% of the Index, but less than 3% of the Fund. Nevertheless, our health-care stocks outgained the health-care positions in the Index and were the Fund’s greatest source of outperformance relative to its benchmark. The information-technology sector was another area in which the Fund outperformed significantly.

DETAILS OF THE YEAR

Our strongest contributor to Fund performance for the year was Nobilis Health Corp. In connection with its physician partners, Nobilis develops, owns and operates outpatient-surgery centers in the Dallas and Houston markets. The company began the fiscal year largely unnoticed by investors, with its shares listed only on the Toronto Stock Exchange. When Nobilis received its U.S. listing, however, analyst coverage increased and the company’s stock price rose. Solid operating results and the company’s attractive valuation relative to its peers also helped lift the stock.

Another health-care company, iRadimed Corp., was our second-best contributor. iRadimed makes non-magnetic intravenous (IV) equipment for use in magnetic-resonance imaging (MRI). The exit of its main competitor left iRadimed as the dominant player in the markets it serves. With the stock more than tripling in price during the fiscal year, we trimmed the Fund’s position.

Our greatest detractor from Fund performance for the year was MusclePharm Corp. The company sells sports-nutrition products in the U.S. and internationally. MusclePharm’s share price declined as the company reported wider-than-expected losses. When higher spending to support the company’s ambitious marketing initiatives further delayed its move to profitability, we sold the stock to seek better opportunities elsewhere.

Emerald Oil, Inc. and Comstock Resources, Inc. were our second- and third-largest detractors, respectively. Because small, leveraged energy companies such as these require high oil prices to remain profitable, both were hurt by steep declines in the price of crude. We sold the Fund’s holdings of both companies when it became apparent that OPEC had no immediate plans to address the global oversupply of oil. Since then, the stocks of both companies have declined significantly.

OUTLOOK

Given the high level of global economic uncertainty, we believe world stock markets are likely to remain volatile in the near term. With corporate-earnings growth slowing in the U.S. and equity valuations high by historical standards, we’ve been trimming holdings we consider most vulnerable to bouts of market weakness.

While much attention has been focused on China, recent manufacturing data in the U.S. has been soft as well. We believe sluggishness in both countries may reflect broader weakness in the global economy. The Fed’s reluctance to normalize interest rates is another reason for caution, in our view.

Europe appears to be a pocket of strength, and we continue to research companies there. To the extent that fresh economic weakness in the U.S. causes the greenback to depreciate, we believe emerging markets would stand to benefit from inflows of foreign capital. Meanwhile, we would view a further downturn in global equities as an opportunity to reinvest the Fund’s substantial cash position at more-attractive valuations.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

26

WASATCH MICRO CAP VALUE FUND (WAMVX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Micro Cap Value		9.99%		12.74%		9.52%
Russell Microcap® Index		1.65%		12.35%		4.88%
Russell 2000® Index		1.25%		11.73%		6.55%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Micro Cap Value Fund are 2.02%. The Net Expenses are 1.95%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in micro cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investments in value stocks can perform differently from the market as a whole and from other types of stocks and can continue to be undervalued by the market for long periods of time. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Synergetics USA, Inc.		1.6%
LHC Group, Inc.		1.6%
Atlas Financial Holdings, Inc.		1.4%
Allegiant Travel Co.		1.4%
Marksans Pharma Ltd. (India)		1.3%

Company	% of Net Assets
LGI Homes, Inc.		1.3%
EPAM Systems, Inc.		1.3%
AVG Technologies N.V.		1.2%
Nobilis Health Corp. PIPE		1.2%
Kingstone Cos., Inc.		1.2%

* As of September 30, 2015, there were 114 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Russell Microcap Index is an unmanaged total return index of the smallest 1,000 securities in the small-cap Russell 2000 Index along with the next smallest 1,000 companies, based on a ranking of all U.S. equities by market capitalization. The Russell 2000 Index is an unmanaged total return index of the smallest 2,000 companies in the Russell 3000 Index, as ranked by total market capitalization. The Russell 2000 Index is widely regarded in the industry as accurately capturing the universe of small company stocks. You cannot invest directly in these or any indices.

27

WASATCH SMALL CAP GROWTH FUND (WAAEX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Small Cap Growth Fund is managed by a team of Wasatch portfolio managers led by Jeff Cardon and JB Taylor.

  Jeff Cardon, CFA Lead Portfolio Manager   JB Taylor Portfolio Manager OVERVIEW   The Wasatch Small Cap Growth Fund returned 0.39% for the 12 months ended September 30 2015, underperforming the Russell 2000 Growth Index, which returned

4.04%. The Russell 2000 Index returned 1.25%.

In the most recent quarter, markets saw a dramatic reversal of fortune after enjoying a long running string of success. Weak economic data from China stoked fears of a contagion affecting a fragile U.S. economy. Adding to the market woes was the sudden emergence of pharmaceutical pricing as a potential hot button in the upcoming election. This news had an immediate impact on the Russell 2000 Growth Index given its large biotech weighting and long string of outperformance from that industry. Both the Index and the biotech industry were down double digits in the quarter, but biotech stocks still delivered double-digit returns for the 12-month period.

The energy sector was, by far, the biggest detractor from performance for both the Fund and the Index over the past year. Unlike biotech, energy has suffered a prolonged period of underperformance, and it was down over 50% for the year. Energy represents a much smaller weight in the small cap indices and the Fund, but the magnitude of the decline was meaningful to performance.

With scientific knowledge exploding and technology increasingly changing the way we conduct business and interact with the world, it is not surprising that two of the best performing sectors for the Index and the Fund were health care and information technology. Stock selection in the industrials sector was strong, making it the largest contributor to the Fund’s performance relative to the Index.

DETAILS OF THE YEAR

IPC Healthcare, Inc. was a large contributor to performance over the past year. The stock gained over 40% on the announcement that the company would be acquired by Team Health Holdings, Inc.* for $1.6 billion in cash.

Transportation provided an interesting contrast in performance among its sub-industries. Trucking stocks in the Russell 2000 Growth Index were down -24% for the 12 months on worries of a weakening U.S. economy. Airline stocks, by contrast, were up 85% during the period. This radical divergence in price performance doesn’t make much sense to us, especially given the tailwind that lower fuel prices provided to both industries. Our view is that the trucking stocks are becoming even more interesting long run investments as the well run public trucking companies continue to gain share from the large number of small

truckers. We own two transportation stocks among our top 10 holdings. Knight Transportation, Inc. is a trucking company that we believe is superbly run and has the potential to be one of the market share winners. Allegiant Travel Co. is an ultra-low cost airline taking market share from higher cost competitors. Knight Transportation was down -12% during the period while Allegiant Travel was up 78% and was the Fund’s biggest contributor to performance.

Two retailers were among our worst performers. Zumiez, Inc. and Mattress Firm Holding Corp. both wrestled with earnings weakness during the period. Zumiez is a specialty retailer of action sports apparel and equipment. The company experienced weak demand during the important back-to-school season, but we believe that Zumiez is an extremely well-run company that should grow earnings at a 15-plus% clip over the next five years. Mattress Firm is the leading specialty retailer of mattresses in the country and is taking share from furniture and department stores. The company cited weakness in the oil patch states as contributing to lower forward guidance, but our long-term thesis remains intact.

Two other retailers in the Fund, Monro Muffler Brake, Inc. and O’Reilly Automotive, Inc. were up significantly. Broadly speaking, both companies serve the automobile parts and service industry. This industry is far less cyclical than the typical retailer, and this stable demand profile was attractive to investors in a time of rising economic concerns.

The Fund’s international holdings performed similarly to our domestic holdings, with most of the weakness resulting from our energy-related holdings. On the positive side, German online pet supplies retailer zooplus AG and Indian bank HDFC Bank Ltd. were the largest international contributors to performance.

OUTLOOK

We believe the U.S economy remains stuck in a low-growth pattern. Our discussions with companies owned in the Fund suggest a U.S. economy that is decelerating but not in decline. Given the severity of the 2008 downturn, this has been a very disappointing recovery and suggests a stock market vulnerable to a growth shock or a significant rise in interest rates. Conversely, such a low growth backdrop can create opportunity for growth investors, as companies enjoying strong organic growth stand out in a low growth environment. The Fund’s companies have delivered consistent mid-teens sales growth to drive earnings. We believe this kind of sustainable organic growth has the potential to provide better long run returns versus larger companies, which have been far more dependent on short-lived sources of earnings growth such as cost cutting and stock repurchases.

Thank you for the opportunity to manage your assets.

* As of September 30, 2015, the Wasatch Small Cap Growth Fund was not invested in Team Health Holdings, Inc.

Current and future holdings are subject to risk.

28

WASATCH SMALL CAP GROWTH FUND (WAAEX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Small Cap Growth		0.39%		11.20%		6.90%
Russell 2000® Growth Index		4.04%		13.26%		7.67%
Russell 2000® Index		1.25%		11.73%		6.55%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Small Cap Growth Fund are 1.21%. The expense ratio shown elsewhere in this report may be different. Expenses include direct expenses paid to the Advisor as well as indirect expenses incurred by the Fund as a result of its investments in other investment companies (each an “Acquired Fund”), before any expense reimbursements by the Advisor. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Ultimate Software Group, Inc.		5.4%
Knight Transportation, Inc.		3.3%
Cornerstone OnDemand, Inc.		3.2%
Allegiant Travel Co.		2.8%
ICON plc (Ireland)		2.7%

Company	% of Net Assets
ExamWorks Group, Inc.		2.2%
Monro Muffler Brake, Inc.		2.1%
O’Reilly Automotive, Inc.		2.0%
Seattle Genetics, Inc.		1.9%
FleetMatics Group plc		1.9%

* As of September 30, 2015, there were 101 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Russell 2000 Growth Index is an unmanaged total return index that measures the performance of those Russell 2000 Index companies with higher price-to-book ratios and higher forecasted growth values. The Russell 2000 Index is an unmanaged total return index of the smallest 2,000 companies in the Russell 3000 Index, as ranked by total market capitalization. The Russell 2000 Index is widely regarded in the industry as accurately capturing the universe of small company stocks. You cannot invest directly in these or any indices.

29

WASATCH SMALL CAP VALUE FUND (WMCVX / WICVX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Small Cap Value Fund is managed by a team of Wasatch portfolio managers led by Jim Larkins.

  Jim Larkins Lead Portfolio Manager OVERVIEW   Small-cap value stocks finished the 12-month period ended September 30, 2015 with a loss of -1.60%, as gauged by the Fund’s benchmark, the Russell 2000 Value Index. The Wasatch Small Cap Value Fund — Investor Class returned 2.99%, outperforming the benchmark by a wide margin. The Fund has also outpaced the benchmark in the three-, five- and 10-year periods. We believe there are three important

reasons for this strong long-term track record. First, we have maintained our longstanding discipline of buying what we consider to be high-quality companies at value prices through our “Fallen Angels” strategy, which seeks to identify growth companies that temporarily fall into value territory due to short-term factors. This approach has helped us capture meaningful upside in a number of stocks over time, especially since we invested at valuations we saw as attractively low. Second, we have taken steps to concentrate the Fund by targeting a total number of holdings between 50 and 60 stocks. We believe this puts us in the best position to capitalize on the potential outperformance of our best ideas, as we have found that smaller positions usually have little impact on overall performance — either positively or negatively. Third, but not least, we have been very aggressive in selling positions when our investment thesis has proven incorrect. We believe these aspects of our approach have helped put the Fund in a strong position to capture opportunities within the small-cap asset class.

DETAILS OF THE YEAR

Consistent with our bottom-up approach, stock selection was the primary driver of the Fund’s outperformance of the Index over the past 12 months. Our results were particularly strong within two traditional growth sectors — information technology and consumer discretionary — which help illustrate the potential benefits of our emphasis on faster-growing companies within the value universe. In the consumer-discretionary sector, Skechers, Inc. delivered a substantial gain and was the leading contributor to the Fund’s performance. We started buying the stock four years ago when Skechers was struggling with inventory problems after its Shape-Ups product line went from boom to bust. The stock was deeply depressed at the time, but we saw the potential for the company to exit the down cycle and resume its growth with higher profit margins. This thesis has indeed come to fruition, and we have elected to hold a significant position, rather than selling, since the company’s results have continued to accelerate. Within information technology, our top performers included software company Ebix, Inc., business-services provider Cimpress N.V. (formerly known as Vistaprint) and outsourcing company EPAM Systems, Inc.

Outside of these two sectors, home health care company LHC Group, Inc. was a substantial contributor to the Fund’s results. The Fund had owned the stock in the past, and we decided to visit LHC Group’s headquarters in the autumn of 2014 as part of a routine trip to see other companies in the area. While there, we learned that LHC was just completing four years of heavy system and process implementations that had weighed on profits and growth. We reinitiated a position soon after our visit on the belief that these investments would soon pay off. The profits and growth we expected have indeed come through, as home health care is taking market share by reducing costs for consumers. We have added to our position as the company’s fundamentals have improved, and LHC Group is now among the largest investments in the Fund.

On the negative side, our positions in the energy sector detracted from the Fund’s results. Energy stocks came under broad-based pressure due to uncertainty about the direction of oil prices, weighing on our positions in Northern Oil and Gas, Inc., Comstock Resources, Inc. and Ultra Petroleum Corp. We sold all three stocks due to weak market outlooks and high debt levels.

In terms of portfolio activity, we maintained our longstanding approach of rotating into areas where we saw value and taking profits in stocks where risks were rising. This strategy led us to increase our weighting in the financials sector, which has long been our largest sector underweight versus the benchmark. We believe many regional banks are now in a stronger position to generate growth than they were just two to three years ago, yet this hasn’t been fully reflected in their valuations. We therefore began boosting the Fund’s weighting in this group during the latter half of the period, increasing our existing positions and adding new banks to the portfolio. At the same time as we raised the Fund’s weighting in financials, we sought to take profits in areas where we no longer saw as favorable of a risk/reward profile, such as energy and industrials.

OUTLOOK

We hold a fairly cautious outlook on the broader market, since recent events have raised some legitimate questions about the direction of global growth. We are therefore keeping a close eye on economic developments and the possible impact they may have on our current and prospective holdings. We believe our disciplined approach, together with our emphasis on companies with solid balance sheets, long-run revenue opportunities and healthy competitive positions, have the potential to continue to add value even if broader market conditions remain volatile in the months ahead.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

30

WASATCH SMALL CAP VALUE FUND (WMCVX / WICVX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Small Cap Value (WMCVX) — Investor		2.99%		13.73%		6.48%
Small Cap Value (WICVX) — Institutional		2.97%		13.84%		6.53%
Russell 2000® Value Index		-1.60%		10.17%		5.35%
Russell 2000® Index		1.25%		11.73%		6.55%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Small Cap Value Fund are Investor Class  — 1.20% / Institutional Class — Gross: 1.44%, Net: 1.15%. The expense ratio shown elsewhere in this report may be different. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Performance for the Institutional Class prior to 1/31/2012 is based on the performance of the Investor Class. Performance of the Fund’s Institutional Class prior to 1/31/2012 uses the actual expenses of the Fund’s Investor Class without any adjustments. For any such period of time, the performance of the Fund’s Institutional Class would have been substantially similar to, yet higher than, the performance of the Fund’s Investor Class, because the shares of both classes are invested in the same portfolio of securities, but the classes bear different expenses.

Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investments in value stocks can perform differently from the market as a whole and from other types of stocks and can continue to be undervalued by the market for long periods of time. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Skechers U.S.A., Inc., Class A		3.6%
LHC Group, Inc.		3.5%
AVG Technologies N.V.		3.5%
Ensign Group, Inc. (The)		3.1%
Allegiant Travel Co.		3.0%

Company	% of Net Assets
CareTrust REIT, Inc.		2.8%
LGI Homes, Inc.		2.8%
Customers Bancorp, Inc.		2.7%
Nu Skin Enterprises, Inc. Class A		2.7%
Pinnacle Financial Partners, Inc.		2.7%

* As of September 30, 2015, there were 57 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Russell 2000 Value Index measures the performance of those Russell 2000 Index companies with lower price-to-book ratios and lower forecasted growth values. The Russell 2000 Index is an unmanaged total return index of the smallest 2,000 companies in the Russell 3000 Index, as ranked by total market capitalization. The Russell 2000 Index is widely regarded in the industry as accurately capturing the universe of small company stocks. You cannot invest directly in these or any indices.

31

WASATCH STRATEGIC INCOME FUND (WASIX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Strategic Income Fund is managed by a team of Wasatch portfolio managers led by Sam Stewart.

  Samuel S. Stewart, Jr. PhD, CFA Lead Portfolio Manager OVERVIEW   Over the past few years, I’ve often commented that the performance of the Wasatch Strategic Income Fund
was too good to continue as we enjoyed a near uninterrupted run
of positive results and, as of June 30, 2015, trailing three-year returns of over 15% annualized. Referring to the
quarter ended June 30, I said, “While [the loss we experienced for the quarter] was disappointing, it wasn’t unexpected”. . . after a long string of

positive results. Sadly, last quarter’s loss was a mere prelude to the final three months of the Fund’s fiscal year, which ended September 30, 2015, and may best be described as a disaster.

The last two quarters of the Fund’s fiscal year resulted in disappointing annual performance. The Fund’s -9.54% loss for the 12-month period caused it to fall short of the S&P 500’s -0.61% return (our stock benchmark) and the 2.94% gain of the Barclays Capital U.S. Aggregate Bond Index (our bond benchmark) for the year.

In over 40 years of managing money, I don’t think I’ve ever seen a quarter as bad as the last three-month period was for the Fund. While the Fund’s -11.55% loss was bad, I have seen quarters with greater losses. What made the last three months unprecedented was that almost every stock in the portfolio declined in price. Visa, Inc. was virtually alone as a stock that made a positive contribution to the Fund’s return.

DETAILS OF THE YEAR

Along with Visa, CVS Health Corp. was one of the bright spots for the year. Each company contributed 0.74 of a percentage point to the Fund’s overall return. We sold CVS, a pharmaceutical services provider, when we felt the stock had become overpriced compared to our estimate of fair value.

The most straightforward explanation for the Fund’s performance would be that most of our holdings suffered a business reversal during the year. However, that simply did not happen. We can identify a couple of our holdings that suffered genuine business reversals. For example, the prospects for shipping-container lessor TAL International Group, Inc. dimmed due to China weakness sparking fears of a decline in global trade. TAL’s 64% stock-price decline seems like an over-reaction to me, especially given that nearly all of TAL’s containers are on long-term leases. Nonetheless, the company’s stock decline was almost certainly due to weaker business prospects.

On the other hand, we can also identify several holdings that had positive business developments. For example, the business prospects for NorthStar Realty Finance Corp. actually brightened during the year as the company made progress toward spinning off its European holdings. However, NorthStar’s 23% stock-price decline over the past 12 months did not reflect this improvement.

Most companies in the Fund, as expected, had a year of business as usual.

One way to assess the evolution of our companies’ business prospects is to see what happened to analysts’ earnings estimates. As expected, some estimates fell, while others rose. This made no difference to the market, which marked down almost all of our stocks.

Another way is to examine our companies’ actions regarding dividends. If a company were facing business uncertainty, it would be unusual for it to increase its dividend. Yet, on average, our companies significantly increased their dividends.

Excessively high valuation could be one possible cause for the meltdowns in many of our stocks. If stocks are richly priced, it doesn’t take much to send them into a downward spiral. However, excessive valuation didn’t seem to be the problem. As of June 30, the Fund’s forward price-to-earnings ratio (P/E) was 12, well below the market’s P/E of 15.

I have pondered the question of what did actually happen at length and discussed it with peers. My conclusion is that over the past three months our dividend-oriented portfolio — heavy with financial stocks — acted as a canary in the coal mine for a potential recession. I believe that the unanticipated slowing in China further heightened fears of a potential recession.

OUTLOOK

Should we be worried? Perhaps. But given the solid operating performance of most of our holdings, I believe we should give more weight to what actually happened than to fears of what might happen.

Although I certainly don’t know what the future will bring, I can say that both the continued steady performance of the general economy and our companies is inconsistent with the dire forecast embedded in our results of the last three months.

To keep things in perspective, our three-year track record remains on or above target. As of September 30, 2015, the Fund’s three-year average annual return was 9.79%. It lies between the 12.40% return of our stock benchmark and the 1.71% return of our bond benchmark. This is right on our goal.

As a reminder, the bulk of my personal retirement savings are invested in the Wasatch Strategic Income Fund alongside of yours. The recent poor results have weighed on me personally as I’m sure they have on you. I will continue to be vigilant in overseeing our holdings and replacing more risky securities with those I believe are less risky. I don’t want to give back any more of the gains we’ve accumulated over the past three years.

I’m deeply appreciative that you’ve entrusted your hard-earned savings into my care. I will do all in my power to ensure that they have found a good home.

Current and future holdings are subject to risk.

32

WASATCH STRATEGIC INCOME FUND (WASIX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		SINCE INCEPTION 2/1/06
Strategic Income		-9.54%		11.56%		6.26%
S&P 500® Index		-0.61%		13.34%		6.53%
Barclays Capital U.S. Aggregate Bond Index		2.94%		3.10%		4.74%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Strategic Income Fund are 1.02%. The Net Expenses are 1.01%. The expense ratio shown elsewhere in this report may be different. Expenses include direct expenses paid to the Advisor as well as indirect expenses incurred by the Fund as a result of its investments in other investment companies (each an “Acquired Fund”), before any expense reimbursements by the Advisor. Net Expenses are based on Fund expenses, net of waivers and reimbursements. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

The Fund has a concentration in the financials sector. Investing in concentrated funds can be more volatile and loss of principal could be greater than investing in more diversified funds. The financials sector can be significantly affected by various market factors, which are described in more detail in the prospectus.

With respect to the Fund’s assets invested in fixed income securities, you are subject, but not limited to, the same interest rate, inflation and credit risk associated with the underlying fixed-income securities owned by the Fund. Return of principal is not guaranteed. Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
MFA Financial, Inc.		4.6%
NorthStar Realty Finance Corp.		4.2%
Blackstone Group L.P.		3.9%
Medallion Financial Corp.		3.8%
CBS Corp., Class B		3.8%

Company	% of Net Assets
KKR & Co. L.P.		3.8%
Suncor Energy, Inc. (Canada)		3.7%
Starwood Property Trust, Inc.		3.7%
Magellan Midstream Partners L.P.		3.4%
Nu Skin Enterprises, Inc. Class A		3.2%

* As of September 30, 2015, there were 39 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. ††Inception: February 1, 2006. The S&P 500 Index represents 500 of the United States’ largest stocks from a broad variety of industries. The Index is unmanaged and is a commonly used measure of common stock total return performance. The Barclays Capital U.S. Aggregate Bond Index covers the U.S. investment grade fixed rate bond market, including government and corporate securities, agency mortgage pass-through securities, and asset-backed securities. You cannot invest directly in these or any indices.

33

WASATCH ULTRA GROWTH FUND (WAMCX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch Ultra Growth Fund is managed by a team of Wasatch portfolio managers led by John Malooly.

  John Malooly, CFA Lead Portfolio Manager OVERVIEW   Low interest rates, benign inflation and an improving U.S. economy provided a favorable environment for equities for most of the Fund’s fiscal year, which ended September 30, 2015. For the 12-month period, the Wasatch Ultra Growth Fund gained 4.02%. The Fund performed in line with its benchmark, the Russell 2000 Growth Index, which rose 4.04%. Although the large-cap averages

finished slightly down for the year, small-cap stocks eked out gains. Given the slow pace of economic expansion, investors likely viewed small companies as the only attractive source of earnings growth. In addition, small companies tend to be more focused on domestic markets and may have been perceived as somewhat insulated from international events and less sensitive to currency fluctuations.

These perceptions were tested during the latter part of the year when weak economic data from China raised doubts about the health of the global economy. China’s surprise move in August to devalue its currency seemed to be the tipping point that unnerved investors. Small-cap stocks sold off along with the rest of the market, but the major small-cap averages — as well as the
Fund — held on to enough of their earlier gains to finish the year in the plus column.

Stocks of health-care and information-technology companies benefiting from growth and innovation have driven the Index for several years. Health-care companies have developed new treatments with improved outcomes at lower cost. Information-technology companies have been helping their customers do things “better, faster and cheaper”. While health care and information technology continue to represent a substantial part of our opportunity set, we’ve also added a number of consumer companies that we believe offer attractive long-term prospects.

We generally seek consumer companies that either benefit from using the Internet themselves, or sell products that are not economical to distribute via e-commerce. In what proved to be a volatile year for equities, we were pleased that our consumer-discretionary stocks were the Fund’s top-performing group. We attribute their strong gains to the in-depth analysis and deep due-diligence of the Wasatch investment team.

DETAILS OF THE YEAR

Our strongest contributor to performance for the year was Cempra, Inc., a clinical-stage pharmaceutical company developing antibiotics for the treatment of bacterial infectious diseases. We locked in profits when Cempra’s share price rose on optimism surrounding its lead drug candidate, Solithromycin, which is in Phase 3 development for the treatment of community-acquired bacterial pneumonia.

FleetMatics Group Ltd. was our second-best contributor. The company offers solutions to help service and distribution industries manage commercial vehicle fleets and improve the productivity of their mobile workforces. FleetMatics has been benefiting from better-than-expected earnings driven in part by new products it was able to introduce with minimal disruption of its business.

Our greatest detractor from Fund performance for the year was online travel agency MakeMyTrip Ltd. Although aggressive discounting by a competitor resulted in slowing sales growth and wider-than-expected losses, MakeMyTrip remains India’s leading online travel agency both in airline-ticket sales and hotel bookings. We believe the company’s margins will expand once competition abates, and we continue to own it in the Fund.

Application-software provider Amber Road, Inc. was our second-greatest detractor. The company provides global trade management (GTM) solutions in the U.S. and internationally. Amber Road’s shares tumbled after it lost a large customer that had the scale to bring its GTM services in-house. When the company was unable to replace the lost business and continued to execute poorly, we sold the stock to seek better opportunities elsewhere.

OUTLOOK

We expect volatility in world financial markets to continue. Absent other developments, investors are likely to remain focused on China and the Federal Reserve for direction. Though this year’s moves in Chinese equities have been exaggerated in relation to the fundamentals, limitations in the government’s ability to control China’s economy and stock market are becoming apparent.

With the Federal Reserve delaying a much-anticipated interest-rate hike, U.S. monetary policy is still a source of uncertainty. Although equity investors typically regard interest-rate hikes negatively, current thinking appears to have shifted toward viewing the Fed’s hesitation as reflecting fragility in the U.S. and global economies. Whether investors would actually welcome an increase in rates remains to be seen.

While we are aware of the macro environment, we believe the key long-term driver of markets and stock prices is earnings growth and we are focusing our attention here. We are striving to create and maintain a portfolio of companies that have the characteristics to capture market share. We expect several major investment trends to persist and present opportunities for bottom-up stock picking.

First, we think recent increases to the minimum wage will reinforce demand for technologies to replace human capital. Second, we anticipate a continued favorable environment for medical-device, pharmaceutical and biotechnology companies whose products enable health-care providers to bring down costs with better outcomes for patients. Third, we believe the stocks of innovative companies using disruptive technologies to take market share from competitors have the potential to perform well over time.

Thank you for the opportunity to manage your assets.

Current and future holdings are subject to risk.

34

WASATCH ULTRA GROWTH FUND (WAMCX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Ultra Growth		4.02%		10.16%		5.01%
Russell 2000® Growth Index		4.04%		13.26%		7.67%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch Ultra Growth Fund are 1.49%. The expense ratio shown elsewhere in this report may be different. Expenses include direct expenses paid to the Advisor as well as indirect expenses incurred by the Fund as a result of its investments in other investment companies (each an “Acquired Fund”), before any expense reimbursements by the Advisor. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
FleetMatics Group plc		3.1%
Greenspring Global Partners II-B, L.P.		3.0%
LGI Homes, Inc.		2.6%
Ultimate Software Group, Inc.		2.6%
Cornerstone OnDemand, Inc.		2.6%

Company	% of Net Assets
Balchem Corp.		2.5%
AtriCure, Inc.		2.4%
Seattle Genetics, Inc.		2.3%
Proto Labs, Inc.		2.0%
SPS Commerce, Inc.		2.0%

* As of September 30, 2015, there were 93 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Russell 2000 Growth Index is an unmanaged total return index that measures the performance of those Russell 2000 Index companies with higher price-to-book ratios and higher forecasted growth values. The Russell 2000 Index is an unmanaged total return index of the smallest 2,000 companies in the Russell 3000 Index, as ranked by total market capitalization. You cannot invest directly in these or any indices.

35

WASATCH WORLD INNOVATORS FUND (WAGTX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

The Wasatch World Innovators Fund is managed by a team of Wasatch portfolio managers led by Sam Stewart and Josh Stewart.

  Samuel S. Stewart, Jr. PhD, CFA Lead Portfolio Manager   Josh Stewart Portfolio Manager OVERVIEW   The Wasatch World Innovators Fund returned 0.32% for the fiscal year ended September 30, 2015 and outperformed the -6.21% loss of the MSCI All Country World Investable Market Index. Global

equity markets moved from relative stability during most of the Fund’s fiscal year to broad-based volatility and ultimately a moderate sell-off late in the year.

We think the high valuations of many global assets are the root causes for stalling equity prices. High valuations make investors jittery and magnify every little piece of information that emanates from the U.S. Federal Reserve, China or whatever the headline du jour might be. The good news about flat and down market periods is that as long as companies execute their strategies and grow profits, then these periods mean better prices for investors.

DETAILS OF THE YEAR

In the Fund, we’ve seen dramatic improvements in the prices we’re paying for our companies. Not only has our weighted-average price-to-earnings (P/E) multiple dropped from about 27 times trailing earnings the previous year to 21 times, but that more-recent figure puts us below the benchmark’s P/E of 22 times — which is the first time we’ve had a below-benchmark P/E since we implemented the World Innovators strategy. Unfortunately, some of the P/E improvements have come from falling share prices. But we’ve also rotated into some less-expensive stocks as we’ve been on red alert since about mid-2014 when international markets first started hinting at danger and investor sentiment began moving toward “risk-off” defensive behavior.

Additions to the Fund and weighting changes in existing investments have favored companies that reflect classic quality characteristics — strong returns on investment, positive free cash flow and net-cash balance sheets. We continue to execute our strategy of investing in innovative companies taking market share. But recently when given the option between a rapid sales grower relying on external funding and a moderate grower chipping away market share one customer at a time funded with internal cash flow, we’ve favored the latter. As a result, we’re glad to report that along with better valuations, we’ve maintained or improved upon our quality metrics.

At the company level, long-term holding Abcam plc (United Kingdom) was the Fund’s top contributor to performance for the fiscal year. The stock continued to rise and recover from its sell-off the previous year. Abcam is like the

Amazon.com* for antibodies and other consumables used by life-science research labs around the world. Abcam has consistently grown sales at double-digit rates. In 2014, however, after a year of British pound strengthening, the company — which is based in Cambridge, England — reported the first single-digit annual sales growth in its history, mostly due to currency-translation effects. As other investors sold on disappointment over growth that was down from double digits, we rightly chose to add to our position, focusing on the business quality and potential to gain market share over the long run.

Another strong contributor to performance for the year was MarketAxess Holdings, Inc., a longstanding financial position in the Fund. MarketAxess enables computerized, networked trading. Until recently, financial instruments were traded via auctions, either on the floor of an exchange or, less formally, over the phone. MarketAxess has established a centralized system to modernize trading and permit the electronic submission of trades. While we continue to be impressed with the company, we exited our position on valuation concerns.

Foremost among our mistakes for the fiscal year were our investments in Ocwen Financial Corp. and its sister company Altisource Portfolio Solutions S.A. Ocwen grew dramatically in the wake of the 2007–2009 mortgage crisis by buying mortgage-servicing rights from banks that wanted to exit the servicing business. Eventually, Ocwen became the largest servicer of subprime mortgages in the U.S. And for homeowners unable or unwilling to make mortgage payments, Ocwen would outsource to Altisource much of the work required to deal with the situations. The stocks of both companies declined on charges of improprieties related to refinancings and widespread conflicts of interest. We sold the stocks when it appeared to us that the companies were not likely to resolve their challenges anytime soon.

Another poor performer for year was Kroton Educacional S.A., the largest private for-profit school operator in Brazil. The company made progress integrating the recently acquired second-largest player Anhanguera Educacional. But Brazil’s well-reported economic problems overwhelmed Kroton’s integration progress as investors became concerned about reductions in government support for education.

OUTLOOK

As always, we remain aware of macro themes that cause swings in investor sentiment. But above all, we spend our time focused on uncovering what we believe are the best companies — big and small — from around the world. And we invest the Fund’s assets in the ones we think the market has temporarily underpriced. We’re extremely pleased both as managers and shareholders that our strategy has delivered on Wasatch’s long-term goal to outperform in tough markets.

Finally, thank you for the opportunity you’ve given us to manage your savings, which we’ll do our best to protect and grow.

* As of September 30, 2015, the Wasatch World Innovators Fund held 1.3% of its net assets in Amazon.com, Inc.

Current and future holdings are subject to risk.

36

WASATCH WORLD INNOVATORS FUND (WAGTX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
World Innovators		0.32%		11.81%		7.91%
MSCI AC World IMI		-6.21%		6.99%		4.84%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch World Innovators Fund are 1.74%. The expense ratio shown elsewhere in this report may be different. Expenses include direct expenses paid to the Advisor as well as indirect expenses incurred by the Fund as a result of its investments in other investment companies (each an “Acquired Fund”), before any expense reimbursements by the Advisor. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investing in small cap funds will be more volatile and loss of principal could be greater than investing in large cap or more diversified funds. Investing in foreign securities, especially in emerging markets, entails special risks, such as currency fluctuations and political uncertainties, which are described in more detail in the prospectus.

TOP 10 EQUITY HOLDINGS*

Company	% of Net Assets
Mekonomen AB (Sweden)		3.8%
Abcam plc (United Kingdom)		3.2%
Discover Financial Services		3.1%
Cognizant Technology Solutions Corp., Class A		3.1%
Capital One Financial Corp.		2.9%

Company	% of Net Assets
Advanced Medical Solutions Group plc (United Kingdom)		2.8%
Take-Two Interactive Software, Inc.		2.8%
Activision Blizzard, Inc.		2.8%
DiaSorin S.p.A. (Italy)		2.3%
World Fuel Services Corp.		2.2%

* As of September 30, 2015, there were 82 holdings in the Fund. Foreign currency contracts, written options and repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

SECTOR BREAKDOWN**

** Excludes securities sold short and options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The MSCI AC World IMI (All Country World Investable Market Index) is designed to measure the equity market performance of large, mid and small cap securities across developed and emerging markets throughout the world. You cannot invest directly in this or any index.

37

WASATCH-1ST SOURCE INCOME FUND (FMEQX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

  Paul Gifford, CFA Lead Portfolio Manager OVERVIEW   The Wasatch-1st Source Income Fund returned 1.87% for the year ended September 30, 2015. During
this time, the Barclays Capital U.S. Government/Credit Bond Index returned 2.68%. Longer-term U.S. Treasuries continued their excellent performance in 2015 as the yield on the 10-year Treasury note declined 0.45 of a percentage point and the yield on the 30-year Treasury bond declined 0.34 of

a percentage point. In 2015, the Federal Reserve (Fed) met every six weeks to decide whether to maintain or raise the federal funds target rate (target rate), which added volatility and resulted in a yield on the two-year U.S. Treasury note that ended the 12-month period higher by 0.06 of a percentage point.

DETAILS OF THE YEAR

Meetings of the Fed and the Federal Open Market Committee (FOMC) controlled the direction of the bond markets for what felt like the third consecutive year. Every meeting was drafted as the most important Fed meeting to date and every meeting came back with no change in the 0% to 0.25% target rate, a range it has been in since December 2008.

Central banks around the globe continued to push easy monetary policy. The Fed ended its third round of quantitative easing in October 2014 after buying more than $3.5 trillion in U.S. Treasuries and agency mortgage-backed securities (MBS) since 2009. Still, the Fed plans to remain “broadly accommodative” by reinvesting proceeds from Treasury securities that have matured and prepayments from agency mortgage-backed securities. The European Central Bank (ECB) began a bond-buying program in March 2015 with similar intent to drive investors into riskier assets by keeping bond yields low for an extended period of time and with the additional goal of driving up inflation.

The year 2015 will be known as a year of negative bond yields as illustrated by the target rates and government bonds that fell below zero percent over the past 12 months. The ECB’s target rate of 0.05% has been maintained there since September 2014 and with the bond-buying program it has driven France’s 5-year bond to a yield as low as -0.023%, Germany’s 7-year bond to a yield of -0.097% and the Netherlands 5-year bond to a yield of -0.008%. The target rate of Japan’s central bank was between 0% and 0.10% and Japan’s 5-year bond reached a negative yield of -0.003%. Sweden’s central bank had a target rate of -0.35% and its 5-year bond dropped to -0.081%. The target rate in Switzerland is -0.75% and its 10-year bond yield was as low as -0.299%. Yields have risen from these levels, but continued to remain among the lowest of all major sovereign nations.

In the latter part of the 12-month period, investors fled emerging-market bonds as China devalued its currency and its growth outlook weakened. U.S. Treasury yields declined and the Fed pointed to emerging markets as a reason for the

hesitant decision to keep rates in the 0% to 0.25% range. The International Monetary Fund recommended throughout the year that central banks around the developed world, specifically the Fed, refrain from increasing their benchmark interest rate as this would likely increase corporate failures in emerging economies.

OUTLOOK

We believe the Fed needs to provide a methodical plan for raising rates. Given the stable and growing domestic economy, we think the Fed should move away from its zero-interest rate policy (even if that means a 0.125% increase to a target rate of 0.25%). We also think the first rate increase should take place between December 2015 and March 2016.

For the Fund, we will continue to focus on three major areas of the fixed-income market, but we will add to other fixed-income areas where we believe we can pick up yield, add diversification, and improve the Fund’s long-term return potential.

U.S. Treasuries and government agency bonds have been at the core of the Fund as they have provided price stability and liquidity. These securities provide the Fund with the highest credit quality at Aaa/AA+ by Moody’s and S&P. We have used callable agency bonds to pick up additional yield relative to their benchmark Treasury maturity or more importantly to their benchmark bullet agency maturity. As of September 30, 2015, 22% of the Fund was allocated to these securities — a notable year-over-year decline as we have found other fixed-income segments more attractive.

The Fund’s largest exposure was to corporate bonds, which ended the year at 46% of total assets. This was a slight increase over last year, largely due to increased allocation to strong BBB credits. We believe that in this modestly growing economy, lower-rated investment-grade bonds should be an outperforming part of the corporate bond sector. With a 12% allocation, the Fund is underweight in BBB credits relative to the benchmark’s 14.6% weight, but we expect to increase the Fund’s weighting in that segment as opportunities arise. The average credit rating on our corporate bonds is A2/A.

Agency mortgage-backed securities are the Fund’s third-largest fixed-income sector and ended the fiscal year at around 18% of the Fund — down slightly from the previous year. We like the additional government-guaranteed yield that this sector provides, but are being defensive by owning MBS with a high weighted-average coupon.

We expect to continue to utilize taxable municipals, commercial MBS, agency-backed securities, and preferred stocks to provide yield and diversification for the Fund.

Thank you for entrusting us to manage your assets.

38

WASATCH-1ST SOURCE INCOME  FUND (FMEQX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
Income		1.87%		1.56%		3.21%
Barclays Capital U.S. Intermediate Government/Credit Bond Index		2.68%		2.42%		4.17%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the Wasatch-1st Source Income Fund are 0.71%. The expense ratio shown elsewhere in this report may be different. Expenses include direct expenses paid to the Advisor as well as indirect expenses incurred by the Fund as a result of its investments in other investment companies (each an “Acquired Fund”). See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investments in fixed income funds are subject to the same interest rate, inflation, credit and other risks associated with the underlying bonds. Return of principal is not guaranteed.

TOP 10 FIXED INCOME HOLDINGS*

Holding	Maturity Date		% of Net Assets
U.S. Treasury Note, 3.625%		8/15/19		4.1%
U.S. Treasury Note, 3.250%		12/31/16		3.0%
Federal Home Loan Bank, Series 0000, 1.750%		11/8/22		1.8%
Federal Farm Credit Banks, 2.290%		4/14/22		1.8%
U.S. Treasury Note, 3.625%		2/15/20		1.5%
Citibank Credit Card Issuance Trust, Series 2007-A8, Class A8, 5.650%		9/20/19		1.5%

Holding	Maturity Date		% of Net Assets
Federal National Mortgage Assoc., Series AL2525, 3.500%		6/1/32		1.5%
Federal Home Loan Mortgage Corp., 2.500%		5/27/16		1.4%
BB&T Corp., MTN, 2.150%		3/22/17		1.4%
Federal Farm Credit Banks, 1.970%		4/21/21		1.4%

* As of September 30, 2015, there were 146 holdings in the Fund. Repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

INVESTMENTS & CASH**

** Excludes options written, if any.

  † Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Barclays Capital U.S. Intermediate Government/Credit Bond Index is an unmanaged index considered representative of the performance of government and corporate bonds with maturities of less than 10 years. You cannot invest directly in this or any index.

39

WASATCH-HOISINGTON U.S. TREASURY FUND (WHOSX) — Management Discussion SEPTEMBER 30, 2015 (UNAUDITED)

  Van Hoisington Lead Portfolio Manager OVERVIEW   A sharp slowdown in economic activity and continuing signs of global turmoil led to a solid rally in the long end of the U.S. Treasury bond market over the summer quarter. Wage growth eased as employment gains slowed substantially. In addition, commodity prices fell and inflationary pressures lessened in the face of tepid demand growth. The 30-year Treasury bond yield closed the 12-month period

ended September 30, 2015 at 2.85%, down from 3.12% on June 30, 2015. On September 30, 2014, the long Treasury yield stood at 3.20%.

For the Wasatch-Hoisington U.S. Treasury Fund’s fiscal year ended September 30, 2015, the Fund returned 10.09% compared to a return of 2.94% for its benchmark, the Barclays Capital U.S. Aggregate Bond Index.

DETAILS OF THE YEAR

The Atlanta Federal Reserve Bank’s tracking model, in early October, indicates that real gross domestic product (GDP) grew at slightly less than a 1% annual rate in the third calendar quarter of 2015, compared to the final official estimate of 3.9% for the second quarter. Although third-quarter numbers will undergo many more revisions, a pattern of weakness is apparent in a variety of different developments. In the September meeting, the Federal Open Market Committee (FOMC) lowered its nominal and inflation projections for 2015, 2016 and 2017. At the end of 2014, the FOMC was expecting nominal GDP to grow by 4.1% for the 2015 calendar year. With almost nine months of actual data, the Fed estimates the figure will be 2.5%. In 2014, the actual growth in nominal GDP was 3.9%, down from 4.1% in 2013.

As the Fund’s fiscal year was ending, faltering in the labor markets was quite pronounced. Nonfarm payroll jobs increased by an average 167,000 per month in the third calendar quarter, down from an average monthly gain of 213,000 in the first half of 2015. For the first nine months of 2015, the average monthly job gain was 198,000, or 62,000 per month less than in 2014. A new cycle low in the unemployment rate has little meaning since the labor force participation rate is at a four-decade low.

Growth in the high-value-added industrial sector fell 1.1% over the first eight months of 2015, with the non-automotive sector contracting 1.5%. Even though September production had not been reported as this commentary was being written, complete results are likely to worsen as manufacturing and mining job losses in the final two months of the third quarter offset construction gains that moderated significantly in recent months.

OUTLOOK

The domestic and global economies continue to be hampered by the serious structural impediment to growth emanating from extreme over-indebtedness. Estimates

indicate that public and private debt is presently $60 trillion greater than in 2008. Over this same time, global GDP gained only $12 trillion. Public and private debt relative to GDP is above the deleterious impact range of 250% to 275% in the United States, China, the eurozone, the United Kingdom, Canada, Australia and Japan.

Important cyclical U.S. indicators now also signal softer growth. Cumulative inventory investment in the past six months reached the highest level in 17 years. The highly prescient real after-tax corporate profits fell 1.6% over the past eight quarters. Such a drop has regularly presaged severe slumps in economic activity and often recessions since 1948. Both top-line and core durable goods indicators fell sharply over the past 12 months, which along with poorer profits, point to a decline in capital spending. Although consumer spending has remained firm thus far in 2015, increasing consumer borrowing rather than better income was the sustaining factor. The household saving rate recently dropped to 4.6%, a level at or below that of the economy when it entered the last two recessions as well as the Great Depression in 1929. The trade sector, reflecting poor business conditions in major foreign trading partners and a strong dollar, has pared U.S. growth this year. Given the long lags involved, the highly potent foreign trade multiplier could remain negative for another two years. Although petroleum-drilling activity has fallen sharply, production of oil and gas continued to increase until recently. Thus, the main production declines in this sector lie ahead.

The weakness in top-line growth evident thus far in 2015 is likely to persist. Both the growth in real GDP and the rate of increase in the major price indices are likely to be slower than in 2014 and support a downward trend in long-term Treasury bond yields. Long-term government bond yields in the United States remain higher than in Europe and Japan.

On an annual basis, the 30-year Treasury bond yield has moved in the same direction as the inflation rate almost 80% of the time. At the close of the Fund’s fiscal year, the bond yield was slightly higher than on December 31, 2014. Thus, value-oriented and patient investors who are prepared for the volatility inherent in the long end of the Treasury bond market are presented with an opportunity to add to their positions in this market as new funds become available.

Thank you for the opportunity to manage your assets.

40

WASATCH-HOISINGTON U.S. TREASURY FUND (WHOSX) — Portfolio Summary SEPTEMBER 30, 2015 (UNAUDITED)

AVERAGE ANNUAL TOTAL RETURNS

	1 YEAR		5 YEARS		10 YEARS
U.S. Treasury		10.09%		7.03%		7.59%
Barclays Capital U.S. Aggregate Bond Index		2.94%		3.10%		4.64%

Data shows past performance, which is not indicative of future performance. Current performance may be lower or higher than the performance quoted. To obtain the most recent month-end performance data available, please visit www.WasatchFunds.com. The Advisor may absorb certain Fund expenses, without which total return would have been lower. Investment returns and principal value will fluctuate and shares, when redeemed, may be worth more or less than their original cost.

As of the January 31, 2015 prospectus, the Total Annual Fund Operating Expenses for the
Wasatch-Hoisington U.S. Treasury Fund are 0.70%. The expense ratio shown elsewhere in this report may be different. See the prospectus for additional information regarding Fund expenses.

Wasatch Funds will deduct a 2.00% redemption proceeds fee on Fund shares held 60 days or less. Performance data does not reflect the deduction of fees, including sales charges, or the taxes you would pay on fund distributions or the redemption of fund shares. Fees and taxes, if reflected, would reduce the performance quoted. Wasatch does not charge any sales fees. For more complete information including charges, risks and expenses, read the prospectus carefully.

Investments in fixed income funds are subject to the same interest rate, inflation, credit and other risks associated with the underlying bonds. Return of principal is not guaranteed.

TOP U.S. TREASURY HOLDINGS*

Holding	Maturity Date		% of Net Assets
U.S. Treasury Bond, 2.500%		2/15/45		39.0%
U.S. Treasury Bond, 2.875%		8/15/45		13.7%
U.S. Treasury Bond, 2.875%		5/15/43		13.5%
U.S. Treasury Bond, 3.125%		8/15/44		12.4%

Holding	Maturity Date		% of Net Assets
U.S. Treasury Strip, principal only		5/15/44		9.9%
U.S. Treasury Bond, 3.750%		11/15/43		6.5%
U.S. Treasury Bond, 3.125%		2/15/42		2.6%
U.S. Treasury Bond, 2.750%		11/15/42		0.6%

* As of September 30, 2015, there were 8 holdings in the Fund. Repurchase agreements, if any, are not included in the number of holdings. Portfolio holdings are subject to change at any time. References to specific securities should not be construed as recommendations by the Funds or their Advisor. Current and future holdings are subject to risk.

INVESTMENTS & CASH

† Also includes Other Assets & Liabilities.

GROWTH OF A HYPOTHETICAL $10,000 INVESTMENT

Past performance does not predict future performance. The graph above does not reflect the deduction of fees, sales charges, or taxes that you would pay on fund distributions or the redemption of fund shares. Wasatch does not charge any sales fees. The Barclays Capital U.S. Aggregate Bond Index covers the U.S. investment grade fixed rate bond market, including government and corporate securities, agency mortgage pass-through securities, and asset-backed securities. You cannot invest directly in this or any index.

41

WASATCH FUNDS MANAGEMENT DISCUSSIONS — Definitions of Financial Terms SEPTEMBER 30, 2015 (UNAUDITED)

The Patient Protection and Affordable Care Act (PPACA), commonly called the Affordable Care Act (ACA) or “ObamaCare,” is a United States federal statute signed into law by President Barack Obama on March 23, 2010.

An asset-backed security is backed by a loan, lease or receivables against assets other than real estate and mortgage-backed securities. For investors, asset-backed securities are an alternative to investing in corporate debt.

A bullet bond is a debt instrument whose entire face value is paid at once on the maturity date. Bullet bonds are non-callable. Bullet bonds cannot be redeemed early by an issuer, so they pay a relatively low rate of interest because of the issuer’s exposure to interest-rate risk. Both corporations and governments issue bullet bonds. Bullet bonds come in a variety of maturities, from short- to long-term.

A Consumer Price Index (CPI) is an inflationary indicator that measures the change in the cost of a fixed basket of products and services, including housing, electricity, food, and transportation.

A corporate bond is a debt security issued by a corporation for the purpose of raising money to expand its business.

A credit rating is an assessment of the credit worthiness of individuals and corporations. It is based upon the history of borrowing and repayment, as well as the availability of assets and extent of liabilities. Ratings are issued by S&P or Moody’s and typically range from AAA (highest) to D (lowest). The credit quality of the investments in a Fund’s portfolio does not apply to the safety or stability of the Fund. Ratings and portfolio credit quality may change over time. Unrated securities do not necessarily indicate low quality. The Funds themselves have not been rated by an independent rating agency. For information on the rating agency’s methodology visit: http://www.standardandpoors.com/home/en/us and http://www.moodys.com.

Earnings growth is a measure of growth in a company’s net income over a specific period, often one year.

Earnings-per-share or EPS is the portion of a company’s profit allocated to each outstanding share of common stock. EPS growth rates help investors identify companies that are increasing or decreasing in profitability.

The Federal Funds Target Rate (also known as the Fed Funds Target Rate) is set by a committee within the Federal Reserve system called The Federal Open Market Committee (FOMC). The FOMC usually meets every six weeks, and it is at these meetings that the FOMC votes on whether or not to make changes to the Federal Funds Target Rate.

The Federal Open Market Committee (FOMC), a compo-nent of the Federal Reserve system, is charged under United States law with overseeing the nation’s open market operations. Open market operations are the means of imple-menting monetary policy by which a central bank controls the short term interest rate and the supply of base money in an economy, and thus indirectly the total money supply.

Government agency bonds are debt securities issued by a U.S. government-sponsored agency.

The Great Recession was the steep decline in economic activity during the late 2000s, which is generally considered the largest downturn since the Great Depression. The term “Great Recession” applies to the U.S. recession, which officially lasted from December 2007 to June 2009, and the ensuing global recession in 2009. The economic slump began when the bubble in the U.S. housing market burst and large amounts of mortgage-backed securities and derivatives lost significant value.

Gross domestic product (GDP) is a basic measure of a country’s economic performance and is the market value of all final goods and services made within the borders of a country in a year.

The high-yield spread is the percentage difference in current yields of various classes of high-yield bonds (often junk bonds) compared against investment-grade corporate bonds, Treasury bonds or another benchmark bond measure.

An initial public offering (IPO) is a company’s first sale of stock to the public.

The International Monetary Fund (IMF) is an international organization established in 1945 that aims to promote international trade and monetary cooperation, and stabilization of the world’s currencies. The IMF maintains a monetary pool from which member nations can draw in order to correct a deficit in their balance of payments. It is a specialized agency of the United Nations.

Mortgage-backed securities are debt issues backed by a pool of mortgages. Investors receive payments from the interest and principal payments made on the underlying mortgages. Agency mortgage-backed securities are issued by government-sponsored enterprises such as Ginnie Mae, Fannie Mae or Freddie Mac. Commercial mortgage-backed securities are mortgages backed by commercial rather than residential real estate.

OPEC is an acronym for the Organization of Petroleum Exporting Countries. OPEC was founded in 1960. It is a collective of countries that export large amounts of petroleum and was formed to establish oil-exporting policies and set prices.

The price-to-book ratio is used to compare a company’s book value to its current market price.

The price-to-earnings (P/E) multiple, also known as the P/E ratio, is the price of a stock divided by its earnings per share.

The price-to-sales ratio is a stock’s capitalization divided by the company’s sales over the trailing 12 months. The value is the same whether the calculation is done for the whole company or on a per-share basis.

Quantitative easing is a government monetary policy used to increase the money supply by buying government

42

WASATCH FUNDS MANAGEMENT DISCUSSIONS —Definitions of Financial Terms (continued) SEPTEMBER 30, 2015 (UNAUDITED)

securities or other securities from the market. Quantitative easing increases the money supply by flooding financial institutions with capital in an effort to promote increased lending and liquidity.

Return on assets (ROA) measures a company’s profitability by showing how many dollars of earnings a company derives from each dollar of assets it controls.

Return on capital is a measure of how effectively a company uses the money, owned or borrowed, that has been invested in its operations.

“Risk-off” is when investors become more cautious and take money out of the market, not being willing to risk it, thus risk off.

The S&P 500 Index includes 500 of the United States’ largest stocks from a broad variety of industries. The Index is unmanaged but is a commonly used measure of common stock total return performance.

The Toronto Stock Exchange (TSX) is the largest stock exchange in Canada. The exchange was established in 1852 and formally incorporated in 1878. The exchange is located on Bay Street in Toronto and is owned and operated by the TMX Group.

The Trans-Pacific Partnership agreement is a free trade agreement currently being negotiated by nine countries: The United States, Australia, Brunei Darussalam, Chile, Malaysia, New Zealand, Peru, Singapore and Vietnam.

Valuation is the process of determining the current worth of an asset or company.

The weighted average coupon (WAC) is the weighted-average gross interest rates of the pool of mortgages that underlie a mortgage-backed security (MBS) at the time the securities were issued. A mortgage-backed security’s current WAC can differ from its original WAC as the underlying mortgages pay down at different speeds. In the weighted-average calculation, the principal balance of each underlying mortgage is used as the weighting factor.

World’s Best Growth Companies are defined by Wasatch as companies that we believe possess an identifiable, sustain-

able competitive advantage, are well managed, underfollowed, undervalued and are producing above average earnings growth relative to their industry and country of origin.

Pertaining to the use of MSCI information. Source: MSCI. The MSCI information may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used as a basis for or a component of any financial instruments or products or indices. None of the MSCI information is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such. Historical data and analysis should not be taken as an indication or guarantee of any future performance analysis, forecast or prediction. The MSCI information is provided on an “as is” basis and the user of this information assumes the entire risk of any use made of this information. MSCI, each of its affiliates and each other person involved in or related to compiling, computing or creating any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties or originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages. (www.msci.com)

Pertaining to the use of Russell information. Frank Russell Company is the source and owner of the Russell Index data contained or reflected in this material and all trademarks and copyrights related thereto. This is a presentation of Wasatch Advisors, Inc. The presentation may contain confidential information and unauthorized use, disclosure, copying, dissemination or redistribution is strictly prohibited. Frank Russell Company is not responsible for the formatting or configuration of this material or for any inaccuracy in Wasatch Advisors, Inc.’s presentation thereof.

43

WASATCH FUNDS — OPERATING EXPENSES (UNAUDITED)

EXPENSE EXAMPLE

As a shareholder of Wasatch Funds, you incur two types of costs: (1) transaction costs, including redemption fees and (2) ongoing costs, including management fees and other fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in a Wasatch Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000.00 invested at the beginning of the period and held for the entire six-month period ended September 30, 2015.

ACTUAL EXPENSES

The first line of the table below provides information about actual account values and actual expenses, based upon the actual total return of the fund during the most recent six-month period ended September 30, 2015. You may use the information in this line, together with the amount you invested, to estimate the expenses you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600.00 account value divided by $1,000.00 = 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 this period.

In addition, the Funds charge a $12.50 IRA annual maintenance fee and a $15.00 fee for redemptions paid by wire. To the extent these fees apply to your account, your expenses paid during the period would be higher and your ending account value would be lower than the amounts shown in the table below.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second line of the table on the next page provides information about hypothetical account values and hypothetical expenses based on a fund’s actual expense ratio and

an assumed rate of return of 5% per year before expenses, which is not the fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Wasatch Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

In addition, the Funds charge a $12.50 IRA annual maintenance fee and a $15.00 fee for redemptions paid by wire. To the extent these fees apply to your account, your expe-nses paid during the period would be higher and your ending account value would be lower than the amounts shown in the table on the next page. If another fund’s fees differ from those listed above, your expenses paid and your ending account value could be higher or lower than those of other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs, such as redemption fees. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

A Fund’s annualized expense ratio may vary as a result of various factors including expenses that are not reimbursable under the contractual agreement between the Fund and the Advisor such as interest, taxes, brokerage commissions, other investment related costs, dividend expense on short sales, and extraordinary expenses. The Long/Short Fund —  Investor Class and the Income Fund have no contractual limitation on expenses.

44

SEPTEMBER 30, 2015 (UNAUDITED)

	Account Value				Expenses Paid During Period*		Annualized Expense Ratio*
Fund/Class and Return	Beginning of Period April 1, 2015		End of Period September 30, 2015
Core Growth Fund — Investor Class
Actual		$1,000.00		$940.80		$5.69		1.17%
Hypothetical (5% before expenses)		$1,000.00		$1,019.20		$5.92		1.17%
Core Growth Fund — Institutional Class
Actual		$1,000.00		$940.90		$5.45		1.12%
Hypothetical (5% before expenses)		$1,000.00		$1,019.45		$5.67		1.12%
Emerging India Fund
Actual		$1,000.00		$984.00		$9.70		1.95%
Hypothetical (5% before expenses)		$1,000.00		$1,015.29		$9.85		1.95%
Emerging Markets Select Fund — Investor Class
Actual		$1,000.00		$823.50		$7.77		1.70%
Hypothetical (5% before expenses)		$1,000.00		$1,016.55		$8.59		1.70%
Emerging Markets Select Fund — Institutional Class
Actual		$1,000.00		$823.70		$6.90		1.51%
Hypothetical (5% before expenses)		$1,000.00		$1,017.50		$7.64		1.51%
Emerging Markets Small Cap Fund
Actual		$1,000.00		$891.80		$9.25		1.95%
Hypothetical (5% before expenses)		$1,000.00		$1,015.29		$9.85		1.95%
Frontier Emerging Small Countries Fund
Actual		$1,000.00		$935.80		$10.97		2.26%
Hypothetical (5% before expenses)		$1,000.00		$1,013.74		$11.41		2.26%
Global Opportunities Fund
Actual		$1,000.00		$909.30		$8.62		1.80%
Hypothetical (5% before expenses)		$1,000.00		$1,016.04		$9.10		1.80%
International Growth Fund
Actual		$1,000.00		$1,000.70		$7.47		1.49%
Hypothetical (5% before expenses)		$1,000.00		$1,017.60		$7.54		1.49%
International Opportunities Fund
Actual		$1,000.00		$971.60		$11.12		2.25%
Hypothetical (5% before expenses)		$1,000.00		$1,013.79		$11.36		2.25%
Large Cap Value Fund — Investor Class
Actual		$1,000.00		$924.50		$5.31		1.10%
Hypothetical (5% before expenses)		$1,000.00		$1,019.55		$5.57		1.10%
Large Cap Value Fund — Institutional Class
Actual		$1,000.00		$925.10		$4.83		1.00%
Hypothetical (5% before expenses)		$1,000.00		$1,020.06		$5.06		1.00%
Long/Short Fund — Investor Class
Actual		$1,000.00		$843.70		$7.63		1.65%
Hypothetical (5% before expenses)		$1,000.00		$1,016.80		$8.34		1.65%
Long/Short Fund — Institutional Class
Actual		$1,000.00		$844.50		$6.89		1.49%
Hypothetical (5% before expenses)		$1,000.00		$1,017.60		$7.54		1.49%
Micro Cap Fund
Actual		$1,000.00		$873.90		$8.93		1.90%
Hypothetical (5% before expenses)		$1,000.00		$1,015.54		$9.60		1.90%
Micro Cap Value Fund
Actual		$1,000.00		$979.50		$9.68		1.95%
Hypothetical (5% before expenses)		$1,000.00		$1,015.29		$9.85		1.95%
Small Cap Growth Fund
Actual		$1,000.00		$871.00		$5.72		1.22%
Hypothetical (5% before expenses)		$1,000.00		$1,018.95		$6.17		1.22%

45

WASATCH FUNDS — OPERATING EXPENSES (continued) SEPTEMBER 30, 2015 (UNAUDITED)

	Account Value				Expenses Paid During Period*		Annualized Expense Ratio*
Fund/Class and Return	Beginning of Period April 1, 2015		End of Period September 30, 2015
Small Cap Value Fund — Investor Class
Actual		$1,000.00		$909.90		$5.79		1.21%
Hypothetical (5% before expenses)		$1,000.00		$1,019.00		$6.12		1.21%
Small Cap Value Fund — Institutional Class
Actual		$1,000.00		$910.40		$5.51		1.15%
Hypothetical (5% before expenses)		$1,000.00		$1,019.30		$5.82		1.15%
Strategic Income Fund
Actual		$1,000.00		$862.50		$4.48		0.96%
Hypothetical (5% before expenses)		$1,000.00		$1,020.26		$4.86		0.96%
Ultra Growth Fund
Actual		$1,000.00		$884.00		$6.19		1.31%
Hypothetical (5% before expenses)		$1,000.00		$1,018.50		$6.63		1.31%
World Innovators Fund
Actual		$1,000.00		$971.60		$8.65		1.75%
Hypothetical (5% before expenses)		$1,000.00		$1,016.29		$8.85		1.75%
Income Fund
Actual		$1,000.00		$1,002.00		$3.66		0.73%
Hypothetical (5% before expenses)		$1,000.00		$1,021.41		$3.70		0.73%
U.S. Treasury Fund
Actual		$1,000.00		$941.30		$3.41		0.70%
Hypothetical (5% before expenses)		$1,000.00		$1,021.56		$3.55		0.70%

*Expenses are equal to a fund’s annualized expense ratio as indicated above multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the full fiscal year (183/365).

46

WASATCH CORE GROWTH FUND (WGROX / WIGRX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 89.8%
		Airlines 5.9%
	191,656	Allegiant Travel Co.	$	41,445,610
	583,686	Spirit Airlines, Inc.*		27,608,348
				69,053,958
		Apparel Retail 0.6%
	485,770	Zumiez, Inc.*		7,592,585
		Application Software 7.4%
	225,201	ANSYS, Inc.*		19,849,216
	200,845	Globant S.A.* (Luxembourg)		6,143,849
	207,328	Tyler Technologies, Inc.*		30,956,144
	113,932	Ultimate Software Group, Inc.*		20,394,967
	431,531	Zendesk, Inc.*		8,505,476
				85,849,652
		Asset Management & Custody Banks 3.7%
	623,385	SEI Investments Co.		30,065,859
	801,433	WisdomTree Investments, Inc.		12,927,114
				42,992,973
		Automotive Retail 1.1%
	184,053	Monro Muffler Brake, Inc.		12,432,780
		Biotechnology 4.2%
	1,908,420	Abcam plc (United Kingdom)		16,786,812
	1,326,004	Sangamo BioSciences, Inc.*		7,478,663
	651,027	Seattle Genetics, Inc.*		25,103,601
				49,369,076
		Building Products 1.0%
	359,052	Trex Co., Inc.*		11,967,203
		Consumer Finance 5.1%
	157,107	Credit Acceptance Corp.*		30,929,655
	1,856,400	Mahindra & Mahindra Financial Services Ltd. (India)		6,801,205
	402,155	PRA Group, Inc.*		21,282,042
				59,012,902
		Data Processing & Outsourced Services 0.8%
	256,790	ExlService Holdings, Inc.*		9,483,255
		Distributors 1.0%
	163,176	Pool Corp.		11,797,625
		Diversified Banks 1.9%
	6,656,038	City Union Bank Ltd. (India)		9,336,311
	1,100,909	Yes Bank Ltd. (India)		12,301,102
				21,637,413
		Diversified Capital Markets 1.8%
	628,720	HFF, Inc., Class A		21,225,587
		Diversified Support Services 2.0%
	726,462	Copart, Inc.*		23,900,600
		Environmental & Facilities Services 2.4%
	567,199	Waste Connections, Inc.		27,554,527
		Food Distributors 0.7%
	179,301	United Natural Foods, Inc.*		8,697,891
		Health Care Facilities 1.8%
	496,969	Ensign Group, Inc. (The)		21,185,788
		Health Care REITs 1.3%
	1,326,731	CareTrust REIT, Inc.		15,058,397

Shares			Value
		Health Care Services 3.4%
	508,666	ExamWorks Group, Inc.*	$	14,873,394
	319,161	MEDNAX, Inc.*		24,508,373
				39,381,767
		Homebuilding 1.3%
	589,986	Installed Building Products, Inc.*		14,914,846
		Homefurnishing Retail 1.4%
	379,827	Mattress Firm Holding Corp.*		15,861,576
		Internet Retail 1.7%
	155,634	Blue Nile, Inc.*		5,219,965
	454,756	MakeMyTrip Ltd.* (India)		6,252,895
	236,771	Wayfair, Inc., Class A*		8,301,191
				19,774,051
		Internet Software & Services 7.2%
	448,282	Cimpress N.V.*		34,118,743
	870,722	Cornerstone OnDemand, Inc.*		28,733,826
	444,943	Envestnet, Inc.*		13,334,942
	268,137	Shutterstock, Inc.*		8,108,463
				84,295,974
		IT Consulting & Other Services 3.0%
	335,413	EPAM Systems, Inc.*		24,994,977
	151,928	Luxoft Holding, Inc.*		9,615,523
				34,610,500
		Life Sciences Tools & Services 3.9%
	1,147,000	Divi’s Laboratories Ltd. (India)		19,616,242
	358,224	ICON plc* (Ireland)		25,423,157
				45,039,399
		Oil & Gas Equipment & Services 1.0%
	107,359	Dril-Quip, Inc.*		6,250,441
	298,022	TGS-NOPEC Geophysical Co. ASA (Norway)		5,501,789
				11,752,230
		Oil & Gas Refining & Marketing 0.7%
	244,641	World Fuel Services Corp.		8,758,148
		Personal Products 1.2%
	336,654	Nu Skin Enterprises, Inc., Class A		13,897,077
		Regional Banks 6.9%
	346,902	Eagle Bancorp, Inc.*		15,784,041
	340,636	Independent Bank Corp.		15,703,319
	204,209	South State Corp.		15,697,546
	340,992	Texas Capital Bancshares, Inc.*		17,874,801
	444,763	Webster Financial Corp.		15,846,906
				80,906,613
		Research & Consulting Services 1.6%
	274,977	CEB, Inc.		18,791,928
		Restaurants 1.4%
	410,739	Zoe’s Kitchen, Inc.*		16,220,083
		Semiconductors 3.3%
	250,484	Cavium, Inc.*		15,372,203
	301,196	Monolithic Power Systems, Inc.		15,421,235
	183,180	Power Integrations, Inc.		7,724,701
				38,518,139
		Specialized Consumer Services 0.4%
	533,899	LifeLock, Inc.*		4,676,955
		Specialized Finance 0.6%
	230,065	CRISIL Ltd. (India)		6,458,380

47

WASATCH CORE GROWTH FUND (WGROX / WIGRX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

Shares			Value
		Specialty Chemicals 2.1%
	406,646	Balchem Corp.	$	24,711,877
		Specialty Stores 1.2%
	322,333	Five Below, Inc.*		10,823,942
	88,512	Hibbett Sports, Inc.*		3,098,805
				13,922,747
		Systems Software 1.5%
	852,032	Infoblox, Inc.*		13,615,471
	137,467	Qualys, Inc.*		3,912,311
				17,527,782
		Trucking 3.3%
	627,240	Knight Transportation, Inc.		15,053,760
	375,268	Old Dominion Freight Line, Inc.*		22,891,348
				37,945,108
		Total Common Stocks (cost $774,625,411)		1,046,777,392
		PREFERRED STOCKS 0.4%
		Systems Software 0.4%
	209,500	DocuSign, Inc., Series F Pfd.* *** †		4,000,004
		Total Preferred Stocks (cost $4,000,004)		4,000,004
Principal Amount			Value
		SHORT-TERM INVESTMENTS 10.2%
		Repurchase Agreement 10.2%
	$119,120,957	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $121,660,000 of United States Treasury Notes 1.375% due 9/30/20; value $121,507,925; repurchase proceeds: $119,120,957 (cost $119,120,957)	$	119,120,957
		Total Short-Term Investments (cost $119,120,957)		119,120,957
		Total Investments (cost $897,746,372) 100.4%§		1,169,898,353
		Liabilities less Other Assets (0.4%)		(4,768,876	)
		NET ASSETS 100.0%	$	1,165,129,477
		*Non-income producing. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). †Security purchased in a private placement transaction or under Rule 144A of the Securities Act of 1933 (see Note 9). §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 6.59%. REIT Real Estate Investment Trust. See Notes to Financial Statements.

At September 30, 2015, Wasatch Core Growth Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
India		5.8
Ireland		2.4
Luxembourg		0.6
Norway		0.5
United Kingdom		1.6
United States		89.1
TOTAL		100.0	%

48

WASATCH EMERGING INDIA FUND (WAINX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 96.0%
		Agricultural Products 0.7%
	65,011	Kaveri Seed Co. Ltd. (India)	$	422,481
		Air Freight & Logistics 1.2%
	6,779	Blue Dart Express Ltd. (India)		777,263
		Apparel, Accessories & Luxury Goods 0.8%
	2,393	Page Industries Ltd. (India)		481,980
		Auto Parts & Equipment 3.1%
	2,393	Bosch Ltd. (India)		707,684
	12,480	WABCO India Ltd. (India)		1,303,410
				2,011,094
		Building Products 1.3%
	68,965	Kajaria Ceramics Ltd. (India)		839,600
		Cable & Satellite 0.9%
	364,854	Dish TV India Ltd.* (India)		593,146
		Commodity Chemicals 3.3%
	198,207	Berger Paints India Ltd. (India)		665,325
	131,101	Gulf Oil Lubricants India Ltd. (India)		958,691
	48,959	Supreme Industries Ltd. (India)		462,535
				2,086,551
		Construction Machinery & Heavy Trucks 2.0%
	4,603	Eicher Motors Ltd. (India)		1,251,508
		Consumer Finance 8.8%
	21,982	Bajaj Finance Ltd. (India)		1,728,880
	157,533	Mahindra & Mahindra Financial Services Ltd. (India)		577,146
	153,115	Repco Home Finance Ltd. (India)		1,722,978
	39,469	Shriram City Union Finance Ltd. (India)		1,018,803
	94,327	SKS Microfinance Ltd.* (India)		585,019
				5,632,826
		Data Processing & Outsourced Services 1.1%
	351,140	Vakrangee Ltd. (India)		685,728
		Department Stores 0.2%
	18,683	V-Mart Retail Ltd. (India)		140,891
		Diversified Banks 7.1%
	181,253	Axis Bank Ltd. (India)		1,380,534
	336,065	City Union Bank Ltd. (India)		471,393
	511,048	DCB Bank Ltd.* (India)		1,115,440
	10,096	HDFC Bank Ltd. ADR (India)		616,765
	66,069	IndusInd Bank Ltd. (India)		949,341
				4,533,473
		Diversified Chemicals 1.6%
	17,868	BASF India Ltd. (India)		297,192
	81,789	Pidilite Industries Ltd. (India)		710,539
				1,007,731
		Diversified Real Estate Activities 0.4%
	243,649	Delta Corp. Ltd. (India)		286,007
		Electric Utilities 0.8%
	358,259	OPG Power Ventures plc* (India)		512,284
		Electrical Components & Equipment 2.7%
	82,147	Amara Raja Batteries Ltd. (India)		1,296,795
	28,872	V-Guard Industries Ltd. (India)		398,698
				1,695,493

Shares			Value
		Fertilizers & Agricultural Chemicals 2.7%
	13,992	Bayer CropScience Ltd. (India)	$	778,695
	137,686	UPL Ltd. (India)		966,496
				1,745,191
		Health Care Facilities 1.0%
	27,806	Apollo Hospitals Enterprise Ltd. (India)		610,381
		Heavy Electrical Equipment 0.6%
	88,044	TD Power Systems Ltd. (India)		403,755
		Housewares & Specialties 1.7%
	128,196	LA Opala RG Ltd. (India)		1,088,407
		Industrial Machinery 3.4%
	38,563	AIA Engineering Ltd. (India)		585,542
	42,652	Cummins India Ltd. (India)		706,014
	8,219	FAG Bearings India Ltd. (India)		507,345
	21,018	SKF India Ltd. (India)		404,992
				2,203,893
		Internet Retail 2.5%
	117,549	MakeMyTrip Ltd.* (India)		1,616,299
		Internet Software & Services 0.2%
	8,055	Just Dial Ltd. (India)		121,451
		IT Consulting & Other Services 8.5%
	32,002	Cognizant Technology Solutions Corp., Class A*		2,003,645
	123,905	HCL Technologies Ltd. (India)		1,863,607
	92,762	Persistent Systems Ltd. (India)		941,060
	70,162	Tech Mahindra Ltd. (India)		599,098
				5,407,410
		Life & Health Insurance 2.2%
	179,375	Max India Ltd. (India)		1,398,249
		Life Sciences Tools & Services 1.7%
	64,340	Divi’s Laboratories Ltd. (India)		1,100,357
	4,043	Syngene International Ltd.* (India)		19,833
				1,120,190
		Marine Ports & Services 0.9%
	204,923	Gujarat Pipavav Port Ltd.* (India)		579,094
		Packaged Foods & Meats 2.9%
	29,011	Britannia Industries Ltd. (India)		1,367,636
	3,132	GlaxoSmithKline Consumer Healthcare Ltd. (India)		288,570
	1,920	Nestlé India Ltd. (India)		186,450
				1,842,656
		Personal Products 5.4%
	126,612	Bajaj Corp. Ltd. (India)		865,143
	31,526	Colgate-Palmolive India Ltd. (India)		463,571
	271,006	Dabur India Ltd. (India)		1,140,637
	35,954	Godrej Consumer Products Ltd. (India)		668,549
	3,062	Procter & Gamble Hygiene & Health Care Ltd. (India)		294,829
				3,432,729
		Pharmaceuticals 16.4%
	66,895	Caplin Point Laboratories Ltd. (India)		1,471,993
	76,523	Cipla Ltd. (India)		743,760
	134,902	Glenmark Pharmaceuticals Ltd. (India)		2,164,651
	48,094	Lupin Ltd. (India)		1,493,875
	1,657,210	Marksans Pharma Ltd. (India)		2,622,602
	52,599	Natco Pharma Ltd. (India)		1,976,000
				10,472,881

49

WASATCH EMERGING INDIA FUND (WAINX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

Shares			Value
		Publishing 0.4%
	52,664	D.B. Corp. Ltd. (India)	$	262,483
		Restaurants 0.9%
	22,222	Jubilant Foodworks Ltd. (India)		546,055
		Specialized Finance 2.1%
	26,910	Credit Analysis & Research Ltd. (India)		459,309
	10,586	CRISIL Ltd. (India)		297,170
	9,241	ICRA Ltd. (India)		576,549
				1,333,028
		Specialty Chemicals 0.9%
	44,918	Asian Paints Ltd. (India)		576,652
		Thrifts & Mortgage Finance 3.9%
	199,915	Gruh Finance Ltd. (India)		814,005
	26,528	Housing Development Finance Corp. Ltd. (India)		491,194
	66,170	Indiabulls Housing Finance Ltd. (India)		802,730
	54,403	LIC Housing Finance Ltd. (India)		389,811
				2,497,740
		Wireless Telecommunication Services 1.7%
	470,157	Idea Cellular Ltd. (India)		1,067,015
		Total Common Stocks (cost $46,237,158)		61,283,615
		CORPORATE BONDS 0.0%
		Air Freight & Logistics 0.0%
	532,980	Blue Dart Express Ltd., 9.30%, 11/20/17 (India)		8,688
	304,560	Blue Dart Express Ltd., 9.40%, 11/20/18 (India)		4,779
	228,420	Blue Dart Express Ltd., 9.50%, 11/20/19 (India)		3,591
				17,058
		Total Corporate Bonds (cost $9,200)		17,058

Principal Amount			Value
		SHORT-TERM INVESTMENTS 3.6%
		Repurchase Agreement 3.6%
	$ 2,268,300	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $2,240,000 of United States Treasury Notes 2.125% due 1/31/21; value: $2,317,889; repurchase proceeds: $2,268,300 (cost $2,268,300)	$	2,268,300
		Total Short-Term Investments (cost $2,268,300)		2,268,300
		Total Investments (cost $48,514,658) 99.6%§		63,568,973
		Other Assets less Liabilities 0.4%		280,916
		NET ASSETS 100.0%	$	63,849,889
		*Non-income producing. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 86.34%. ADR American Depositary Receipt. See Notes to Financial Statements.

At September 30, 2015, Wasatch Emerging India Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
India		96.7
United States		3.3
TOTAL		100.0	%

50

WASATCH EMERGING MARKETS SELECT FUND (WAESX / WIESX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 91.2%
		Airport Services 5.4%
	235,624	Grupo Aeroportuario del Pacifico S.A.B. de C.V., Class B (Mexico)	$	2,046,810
		Asset Management & Custody Banks 1.5%
	612,262	Value Partners Group Ltd. (Hong Kong)		579,966
		Biotechnology 3.6%
	3,717	Medytox, Inc. (Korea)		1,344,576
		Construction & Engineering 3.1%
	105,662	Promotora y Operadora de Infraestructura S.A.B. de C.V.* (Mexico)		1,156,380
		Consumer Finance 5.4%
	9,223	Bajaj Finance Ltd. (India)		725,387
	797,806	Gentera S.A.B. de C.V. (Mexico)		1,302,152
				2,027,539
		Diversified Banks 9.9%
	171,598	Axis Bank Ltd. (India)		1,306,995
	244,801	Kasikornbank Public Co. Ltd. (Thailand)		1,151,949
	327,999	National Bank of Ras Al-Khaimah PSC (United Arab Emirates)		629,644
	1,105,612	PT Bank Rakyat Indonesia Persero Tbk (Indonesia)		654,628
				3,743,216
		Diversified Capital Markets 3.5%
	229,933	Grupo Financiero Interacciones S.A. de C.V., Class O (Mexico)		1,309,842
		Drug Retail 1.9%
	72,393	Raia Drogasil S.A. (Brazil)		711,662
		Fertilizers & Agricultural Chemicals 1.9%
	102,225	UPL Ltd. (India)		717,575
		Food Retail 5.6%
	57,477	BIM Birlesik Magazalar A.S. (Turkey)		1,018,550
	174,165	President Chain Store Corp. (Taiwan)		1,086,212
				2,104,762
		Health Care Facilities 4.8%
	2,274,287	Bangkok Dusit Medical Services Public Co. Ltd. (Thailand)		1,159,232
	257,748	Life Healthcare Group Holdings Ltd. (South Africa)		663,000
				1,822,232
		Industrial Machinery 1.4%
	133,315	Weg S.A. (Brazil)		517,855
		Internet Retail 1.1%
	25,264	Vipshop Holdings Ltd. ADR* (China)		424,435
		Internet Software & Services 2.8%
	11,798	MercadoLibre, Inc. (Brazil)		1,074,326
		IT Consulting & Other Services 4.2%
	105,047	HCL Technologies Ltd. (India)		1,579,971
		Life & Health Insurance 3.3%
	124,123	Discovery Ltd. (South Africa)		1,234,821
		Marine Ports & Services 3.2%
	760,493	International Container Terminal Services, Inc. (Philippines)		1,219,877
		Multi-Line Insurance 1.2%
	72,772	BB Seguridade Participacoes S.A. (Brazil)		453,933

Shares			Value
		Multi-Sector Holdings 2.9%
	40,461	GT Capital Holdings, Inc. (Philippines)	$	1,097,557
		Packaged Foods & Meats 5.2%
	335,136	Universal Robina Corp. (Philippines)		1,377,910
	400,901	Vitasoy International Holdings Ltd. (Hong Kong)		598,863
				1,976,773
		Pharmaceuticals 9.6%
	120,185	Glenmark Pharmaceuticals Ltd. (India)		1,928,501
	55,363	Lupin Ltd. (India)		1,719,661
				3,648,162
		Restaurants 1.6%
	207,500	Alsea S.A.B. de C.V. (Mexico)		611,748
		Specialty Chemicals 3.7%
	108,426	Asian Paints Ltd. (India)		1,391,959
		Wireless Telecommunication Services 4.4%
	422,626	Idea Cellular Ltd. (India)		959,144
	1,568,887	PT Tower Bersama Infrastructure Tbk* (Indonesia)		701,589
				1,660,733
		Total Common Stocks (cost $34,714,915)		34,456,710
Principal Amount			Value
		SHORT-TERM INVESTMENTS 9.3%
		Repurchase Agreement 9.3%
	$3,519,811	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $3,470,000 of United States Treasury Bonds 2.125% due 1/31/21; value: $3,590,659; repurchase proceeds: $3,519,811 (cost $3,519,811)	$	3,519,811
		Total Short-Term Investments (cost $3,519,811)		3,519,811
		Total Investments (cost $38,234,726) 100.5%§		37,976,521
		Liabilities less Other Assets (0.5%)		(180,401	)
		NET ASSETS 100.0%	$	37,796,120
		*Non-income producing. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 62.67%. ADR American Depositary Receipt. See Notes to Financial Statements.

51

WASATCH EMERGING MARKETS SELECT FUND (WAESX / WIESX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

At September 30, 2015, Wasatch Emerging Markets Select Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Brazil		8.0
China		1.2
Hong Kong		3.4
India		30.0
Indonesia		3.9
Korea		3.9
Mexico		18.7
Philippines		10.7
South Africa		5.5
Taiwan		3.2
Thailand		6.7
Turkey		3.0
United Arab Emirates		1.8
TOTAL		100.0	%

52

WASATCH EMERGING MARKETS SMALL CAP FUND (WAEMX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 97.3%
		Airport Services 2.4%
	3,069,798	Grupo Aeroportuario del Centro Norte S.A.B. de C.V.* (Mexico)	$	15,232,618
	1,060,525	TAV Havalimanlari Holding A.S. (Turkey)		8,328,652
				23,561,270
		Apparel, Accessories & Luxury Goods 0.9%
	2,943,743	China Lilang Ltd. (China)		2,524,388
	748,198	Makalot Industrial Co. Ltd. (Taiwan)		6,174,359
				8,698,747
		Application Software 0.4%
	348,865	Linx S.A. (Brazil)		3,859,320
		Asset Management & Custody Banks 2.1%
	701,115	CETIP S.A. — Mercados Organizados (Brazil)		5,799,438
	4,256,545	Peregrine Holdings Ltd. (South Africa)		8,886,373
	6,692,422	Value Partners Group Ltd. (Hong Kong)		6,339,409
				21,025,220
		Auto Parts & Equipment 0.7%
	630,430	Cub Elecparts, Inc. (Taiwan)		7,371,724
		Automotive Retail 0.4%
	312,824	Kolao Holdings (Korea)		3,588,451
		Biotechnology 3.3%
	123,049	Cell Biotech Co. Ltd. (Korea)		6,244,494
	98,699	China Biologic Products, Inc.* (China)		8,865,144
	46,650	Medytox, Inc. (Korea)		16,875,020
				31,984,658
		Building Products 1.4%
	11,705,625	China Lesso Group Holdings Ltd. (China)		9,400,910
	377,556	Kajaria Ceramics Ltd. (India)		4,596,479
				13,997,389
		Casinos & Gaming 0.4%
	46,709,540	Melco Crown Philippines Resorts Corp.* (Philippines)		3,734,140
		Catalog Retail 0.2%
	395,221	Momo.com, Inc. (Taiwan)		2,342,788
		Commodity Chemicals 1.1%
	3,174,592	Berger Paints India Ltd. (India)		10,656,204
		Construction Materials 0.9%
	12,600,770	Dongpeng Holdings Co. Ltd. (China)		4,229,259
	521,333	Siam City Cement Public Co. Ltd. (Thailand)		4,883,681
				9,112,940
		Consumer Finance 7.5%
	79,659	Bajaj Finance Ltd. (India)		6,265,164
	5,101,495	Credito Real S.A.B. de C.V. (Mexico)		9,957,416
	1,798,760	Mahindra & Mahindra Financial Services Ltd. (India)		6,590,032
	915,120	Repco Home Finance Ltd. (India)		10,297,695
	357,046	Shriram City Union Finance Ltd. (India)		9,216,336
	1,061,173	SKS Microfinance Ltd.* (India)		6,581,424
	12,308,649	Srisawad Power 1979 Public Co. Ltd. (Thailand)		12,462,952
	5,523,225	Unifin Financiera SAPI de C.V. SOFOM* (Mexico)		12,291,749
				73,662,768

Shares			Value
		Department Stores 1.8%
	1,793,636	Poya Co. Ltd. (Taiwan)	$	17,895,191
		Diversified Banks 1.8%
	8,929,023	EastWest Banking Corp.* (Philippines)		3,822,317
	4,784,684	Security Bank Corp. (Philippines)		14,063,833
				17,886,150
		Diversified Capital Markets 0.7%
	1,220,809	Grupo Financiero Interacciones S.A. de C.V., Class O (Mexico)		6,954,491
		Diversified Chemicals 1.2%
	1,409,818	Pidilite Industries Ltd. (India)		12,247,752
		Diversified Support Services 1.0%
	93,979	KEPCO Plant Service & Engineering Co. Ltd. (Korea)		9,619,057
		Drug Retail 1.2%
	1,828,461	Clicks Group Ltd. (South Africa)		11,865,452
		Electrical Components & Equipment 2.6%
	638,767	Amara Raja Batteries Ltd. (India)		10,083,746
	1,154,710	Voltronic Power Technology Corp. (Taiwan)		15,026,390
				25,110,136
		Electronic Components 1.1%
	560,200	Partron Co. Ltd. (Korea)		4,465,220
	3,236,066	Sunny Optical Technology Group Co. Ltd. (China)		6,474,302
				10,939,522
		Electronic Equipment & Instruments 1.8%
	4,568,461	Chroma ATE, Inc. (Taiwan)		7,819,262
	3,181,614	PAX Global Technology Ltd. (China)		3,316,986
	6,130,144	Wasion Group Holdings Ltd. (China)		6,357,158
				17,493,406
		Electronic Manufacturing Services 0.5%
	6,604,722	Hana Microelectronics Public Co. Ltd. (Thailand)		5,140,747
		Fertilizers & Agricultural Chemicals 2.3%
	204,903	Bayer CropScience Ltd. (India)		11,403,446
	1,540,823	UPL Ltd. (India)		10,815,904
				22,219,350
		Food Retail 1.8%
	102,618	BGF Retail Co. Ltd. (Korea)		17,527,452
		Footwear 0.5%
	115,405	CCC S.A. (Poland)		4,983,786
		Gas Utilities 0.8%
	12,389,006	Towngas China Co. Ltd. (China)		7,647,127
		General Merchandise Stores 0.9%
	1,347,760	Taiwan FamilyMart Co. Ltd. (Taiwan)		8,415,980
		Health Care Equipment 1.5%
	199,850	InBody Co. Ltd. (Korea)		6,589,827
	144,643	Osstem Implant Co. Ltd.* (Korea)		7,987,989
				14,577,816
		Health Care Facilities 1.0%
	5,936,931	Phoenix Healthcare Group Co. Ltd. (China)		9,690,822

53

WASATCH EMERGING MARKETS SMALL CAP FUND (WAEMX) — Schedule of Investments (continued)

Shares			Value
		Health Care Supplies 0.3%
	376,477	Access Bio, Inc. KDR* (Korea)	$	2,985,494
		Highways & Railtracks 1.4%
	8,456,968	PT Jasa Marga Persero Tbk (Indonesia)		2,794,175
	16,633,890	Yuexiu Transport Infrastructure Ltd. (China)		10,542,290
				13,336,465
		Home Furnishings 2.6%
	67,809	Hanssem Co. Ltd. (Korea)		16,418,163
	9,269,014	Man Wah Holdings Ltd. (Hong Kong)		9,068,295
				25,486,458
		Home Improvement Retail 0.4%
	18,963,386	Home Product Center Public Co. Ltd. (Thailand)		3,578,983
		Hotels, Resorts & Cruise Lines 1.6%
	24,003,460	Bloomberry Resorts Corp. (Philippines)		2,681,657
	16,457,575	Minor International Public Co. Ltd. (Thailand)		13,036,376
				15,718,033
		Hypermarkets & Super Centers 2.2%
	191,366	Al Meera Consumer Goods Co. (Qatar)		13,144,322
	5,118,152	Robinsons Retail Holdings, Inc. (Philippines)		8,005,726
				21,150,048
		Industrial Machinery 0.7%
	387,502	Cummins India Ltd. (India)		6,414,280
		Internet Retail 1.7%
	776,331	B2W Cia Digital* (Brazil)		2,900,457
	1,294,374	Interpark Holdings Corp. (Korea)		14,007,826
				16,908,283
		Internet Software & Services 1.9%
	404,236	Addcn Technology Co. Ltd. (Taiwan)		3,634,486
	961,876	PChome Online, Inc. (Taiwan)		11,089,294
	580,512	SouFun Holdings Ltd. ADR (China)		3,831,379
				18,555,159
		IT Consulting & Other Services 3.0%
	829,087	EOH Holdings Ltd. (South Africa)		8,902,854
	541,230	Mindtree Ltd. (India)		12,512,279
	819,689	Persistent Systems Ltd. (India)		8,315,651
				29,730,784
		Leisure Products 1.7%
	1,024,647	Giant Manufacturing Co. Ltd. (Taiwan)		7,471,360
	1,779,274	Merida Industry Co. Ltd. (Taiwan)		9,608,244
				17,079,604
		Life & Health Insurance 0.9%
	1,147,051	Max India Ltd. (India)		8,941,399
		Life Sciences Tools & Services 0.2%
	313,617	Syngene International Ltd.* (India)		1,538,462
		Marine Ports & Services 2.1%
	1,833,292	Gujarat Pipavav Port Ltd.* (India)		5,180,718
	5,510,332	International Container Terminal Services, Inc. (Philippines)		8,838,910
	6,868,874	Westports Holdings Berhad (Malaysia)		6,637,574
				20,657,202
		Movies & Entertainment 0.7%
	95,132	Loen Entertainment, Inc. (Korea)		6,439,524

Shares			Value
		Oil & Gas Equipment & Services 0.6%
	3,654,528	Gulf Marine Services plc (United Arab Emirates)	$	6,359,327
		Oil & Gas Exploration & Production 0.5%
	683,603	Parex Resources, Inc.* (Colombia)		4,732,321
		Other Diversified Financial Services 0.8%
	490,434	PSG Group Ltd. (South Africa)		7,876,153
		Packaged Foods & Meats 4.0%
	333,662	Britannia Industries Ltd. (India)		15,729,485
	3,463,586	Namchow Chemical Industrial Co. Ltd. (Taiwan)		7,432,345
	1,394,616	Ulker Biskuvi Sanayi A.S. (Turkey)		8,828,852
	4,901,610	Vitasoy International Holdings Ltd. (Hong Kong)		7,321,995
				39,312,677
		Pharmaceuticals 6.2%
	13,017,213	China Animal Healthcare Ltd.* *** (China)		873,390
	692,700	Glenmark Pharmaceuticals Ltd. (India)		11,115,135
	1,957,282	Lee’s Pharmaceutical Holdings Ltd. (China)		2,532,584
	9,906,602	Marksans Pharma Ltd. (India)		15,677,599
	349,737	Natco Pharma Ltd. (India)		13,138,662
	1,674,834	TTY Biopharm Co. Ltd. (Taiwan)		4,888,490
	1,888,936	TWi Pharmaceuticals, Inc.* (Taiwan)		12,314,651
				60,540,511
		Property & Casualty Insurance 0.3%
	1,975,993	Qualitas Controladora S.A.B. de C.V.* ** (Mexico)		2,713,702
		Real Estate Development 0.6%
	3,560,478	Corporation Inmobiliaria Vesta S.A.B. de C.V. (Mexico)		5,567,225
		Real Estate Operating Companies 1.1%
	6,536,992	Parque Arauco S.A. (Chile)		11,220,438
		Regional Banks 1.0%
	2,351,224	Bank of Chongqing Co. Ltd. (China)		1,625,715
	1,493,986	Banregio Grupo Financiero S.A.B. de C.V. (Mexico)		7,957,131
				9,582,846
		Reinsurance 0.5%
	13,550,909	Thaire Life Assurance Public Co. Ltd. (Thailand)		4,928,282
		Research & Consulting Services 0.2%
	294,272	Sporton International, Inc. (Taiwan)		1,711,044
		Restaurants 0.9%
	3,165,085	Alsea S.A.B. de C.V. (Mexico)		9,331,243
		Semiconductor Equipment 2.6%
	199,047	Hermes Microvision, Inc. (Taiwan)		7,587,470
	152,285	ISC Co. Ltd. (Korea)		3,267,221
	312,442	Koh Young Technology, Inc. (Korea)		9,061,933
	17,600,316	Xinyi Solar Holdings Ltd. (China)		6,063,032
				25,979,656
		Semiconductors 3.0%
	1,038,226	ASPEED Technology, Inc. (Taiwan)		9,220,397
	527,412	eMemory Technology, Inc. (Taiwan)		5,219,946
	121,204	LEENO Industrial, Inc. (Korea)		4,528,699
	1,122,831	Silergy Corp. (Taiwan)		10,972,227
				29,941,269

54

SEPTEMBER 30, 2015

Shares			Value
		Specialized Finance 0.5%
	2,902,713	Chailease Holding Co. Ltd. (Taiwan)	$	4,563,973
		Specialty Chemicals 2.8%
	81,543,000	D&L Industries, Inc. (Philippines)		17,462,205
	277,348	Frutarom Industries Ltd. (Israel)		10,492,115
				27,954,320
		Specialty Stores 0.9%
	89,012	Hotel Shilla Co. Ltd. (Korea)		8,675,904
		Systems Software 0.5%
	173,166	Tata Elxsi Ltd. (India)		4,981,547
		Technology Hardware, Storage & Peripherals 1.8%
	1,219,533	Ennoconn Corp. (Taiwan)		11,826,723
	911,433	TSC Auto ID Technology Co. Ltd. (Taiwan)		6,093,299
				17,920,022
		Textiles 1.3%
	799,009	Eclat Textile Co. Ltd. (Taiwan)		12,687,188
		Trading Companies & Distributors 1.0%
	415,395	iMarketKorea, Inc. (Korea)		10,320,405
		Wireless Telecommunication Services 0.6%
	12,273,101	PT Tower Bersama Infrastructure Tbk* (Indonesia)		5,488,394
		Total Common Stocks (cost $891,437,088)		954,718,481
		WARRANTS 0.0%
		Consumer Finance 0.0%
	587,195	Srisawad Power 1979 Public Co. Ltd., expiring 6/11/20* (Thailand)		132,663
		Hotels, Resorts & Cruise Lines 0.0%
	967,830	Minor International Public Co. Ltd., expiring 11/3/17* (Thailand)		78,930
		Total Warrants (cost $0)		211,593
		Total Investments (cost $891,437,088) 97.3%§		954,930,074
		Other Assets less Liabilities 2.7%		26,436,653
		NET ASSETS 100.0%	$	981,366,727
		*Non-income producing. **Common units. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 80.57%. ADR American Depositary Receipt. KDR Korean Depositary Receipt. See Notes to Financial Statements.

At September 30, 2015, Wasatch Emerging Markets Small Cap Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Brazil		1.3
Chile		1.2
China		8.8
Colombia		0.5
Hong Kong		2.4
India		21.2
Indonesia		0.9
Israel		1.1
Korea		15.6
Malaysia		0.7
Mexico		7.3
Philippines		6.1
Poland		0.5
Qatar		1.4
South Africa		3.9
Taiwan		20.0
Thailand		4.6
Turkey		1.8
United Arab Emirates		0.7
TOTAL		100.0	%

55

WASATCH FRONTIER EMERGING SMALL COUNTRIES FUND (WAFMX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 93.4%
		Advertising 0.0%
	110,600	Wpp Scangroup Ltd. (Kenya)	$	31,691
		Agricultural & Farm Machinery 0.5%
	894,400	Millat Tractors Ltd. (Pakistan)		5,345,430
		Air Freight & Logistics 1.3%
	5,440,896	Agility Public Warehousing Co. KSC (Kuwait)		10,090,441
	3,381,784	Aramex PJSC (United Arab Emirates)		2,906,045
				12,996,486
		Automobile Manufacturers 0.4%
	403,600	Indus Motor Co. Ltd. (Pakistan)		3,876,477
		Brewers 14.7%
	1,321,873	Carlsberg Brewery Malaysia Berhad (Malaysia)		3,596,623
	7,270,554	Delta Corp. Ltd. (Zimbabwe)		6,034,560
	12,426,342	East African Breweries Ltd. (Kenya)		33,174,931
	4,825,690	Florida Ice & Farm Co. S.A.*** (Costa Rica)		6,201,817
	262,581	Guinness Anchor Berhad (Malaysia)		822,606
	1,074,765	Guinness Ghana Breweries Ltd.* (Ghana)		624,333
	10,748,081	Guinness Nigeria plc (Nigeria)		8,431,898
	2,256,243	Lion Brewery Ceylon plc (Sri Lanka)		9,900,005
	303,177	Murree Brewery Co. Ltd. (Pakistan)		3,168,885
	5,600	Namibia Breweries Ltd. (Namibia)		8,089
	41,600,816	Nigerian Breweries plc (Nigeria)		30,472,354
	140,000	Phoenix Beverages Ltd. (Mauritius)		1,581,028
	1,216	Societe de Limonaderies et Brasseries (Ivory Coast)		347,888
	79,340	Societe Des Brasseries du Maroc (Morocco)		15,075,771
	4,522,446	Tanzania Breweries Ltd. (Tanzania, United Republic of)		31,615,248
	6,852	Union de Cervecerias Peruanas Backus y Johnston S.A.A. (Peru)		27,731
				151,083,767
		Commodity Chemicals 2.0%
	138,050	Berger Paints Bangladesh Ltd. (Bangladesh)		3,811,109
	6,300,185	Chevron Lubricants Lanka plc‡‡ (Sri Lanka)		16,534,452
	27,000	Paints & Chemical Industries Co. S.A.E. (Egypt)		155,171
				20,500,732
		Construction Materials 7.7%
	3,629,560	Bamburi Cement Co. Ltd. (Kenya)		5,823,936
	610,981	Heidelberger Cement Bangladesh Ltd. (Bangladesh)		5,011,312
	5,457,592	Kohat Cement Co. Ltd. (Pakistan)		9,951,388
	18,685,462	Lafarge Africa plc (Nigeria)		9,162,695
	3,450,000	Lafarge Cement Zambia plc (Zambia)		6,623,539
	6,165,336	Lucky Cement Ltd. (Pakistan)		30,981,588
	565,333	Siam City Cement Public Co. Ltd. (Thailand)		5,295,859
	1,710,600	Tanzania Portland Cement Co. Ltd.* (Tanzania, United Republic of)		2,684,692
	11,548,669	Tokyo Cement Co. Lanka plc‡‡ (Sri Lanka)		4,086,578
				79,621,587
		Consumer Finance 0.8%
	15,260,188	Letshego Holdings Ltd. (Botswana)		4,482,299
	24,753,100	People’s Leasing & Finance plc (Sri Lanka)		3,860,283
				8,342,582
		Department Stores 0.1%
	2,951,376	Parkson Retail Asia Ltd. (Malaysia)		663,114

Shares			Value
		Distillers & Vintners 2.2%
	1,104,832	Distell Group Ltd. (South Africa)	$	13,914,573
	4,230,100	Distilleries Co. of Sri Lanka plc (Sri Lanka)		8,243,294
				22,157,867
		Diversified Banks 7.1%
	12,895,610	Bank for Foreign Trade of Vietnam JSC (Vietnam)		24,679,113
	10,426,300	Barclays Bank of Kenya Ltd. (Kenya)		1,314,491
	2,422,735	BBVA Banco Continental S.A. (Peru)		2,269,119
	120,144	BLOM Bank SAL (Lebanon)		1,129,354
	659,681	BLOM Bank SAL GDR (Lebanon)		6,334,337
	4,578,100	CAL Bank Ltd. (Ghana)		1,020,054
	20,087,183	Commercial Bank of Ceylon plc (Sri Lanka)		22,638,334
	1,126,700	Ghana Commercial Bank Ltd. (Ghana)		1,108,768
	1,039,300	Hatton National Bank plc (Sri Lanka)		1,574,028
	9,370,595	Kenya Commercial Bank Ltd. (Kenya)		4,212,819
	2,337,427	MCB Bank Ltd. (Pakistan)		5,101,061
	285,948	Military Commercial Joint Stock Bank (Vietnam)		191,134
	202,000	National Microfinance Bank plc (Tanzania, United Republic of)		264,657
	126,092,227	Stanbic Bank Uganda Ltd. (Uganda)		1,127,043
				72,964,312
		Food Retail 1.4%
	1,500,000	Cargills Ceylon plc (Sri Lanka)		1,804,671
	7,807,103	Choppies Enterprises Ltd. (Botswana)		3,106,837
	24,353,700	OK Zimbabwe (Zimbabwe)		1,461,222
	3,588,143	Philippine Seven Corp. (Philippines)		7,486,813
				13,859,543
		Footwear 0.1%
	76,514	Bata Shoe Co. Bangladesh Ltd. (Bangladesh)		1,351,723
		Health Care Facilities 1.1%
	273,000	Al Noor Hospitals Group plc (United Kingdom)		3,449,807
	653,429	NMC Health plc (United Arab Emirates)		8,253,706
				11,703,513
		Hotels, Resorts & Cruise Lines 0.5%
	5,403,866	Central Plaza Hotel Public Co. Ltd. (Thailand)		5,583,275
		Household Products 1.1%
	25,907	Colgate Palmolive Pakistan Ltd. (Pakistan)		335,277
	1,038,070	Unilever Ghana Ltd.* (Ghana)		2,122,949
	38,054,859	Unilever Nigeria plc (Nigeria)		8,880,613
				11,338,839
		Hypermarkets & Super Centers 1.8%
	245,043	PriceSmart, Inc. (Costa Rica)		18,951,626
		Industrial Conglomerates 0.5%
	4,298,185	Hemas Holdings plc (Sri Lanka)		2,585,603
	3,684,458	Innscor Africa Ltd. (Zimbabwe)		2,173,830
				4,759,433
		Industrial Gases 0.2%
	106,525	Linde Bangladesh Ltd. (Bangladesh)		1,794,249
		Integrated Telecommunication Services 1.6%
	379,784	Sonatel (Senegal)		16,750,726
		Life & Health Insurance 0.2%
	3,450,849	Enterprise Group Ltd. (Ghana)		2,013,758

56

SEPTEMBER 30, 2015

Shares			Value
		Marine Ports & Services 1.5%
	450,953	DP World Ltd. (United Arab Emirates)	$	9,590,109
	3,791,066	International Container Terminal Services, Inc. (Philippines)		6,081,102
				15,671,211
		Multi-Line Insurance 0.8%
	1,285,510	Bao Viet Holdings (Vietnam)		2,672,009
	3,161,249	Botswana Insurance Holdings Ltd. (Botswana)		4,420,861
	2,824	Wafa Assurance (Morocco)		1,058,502
				8,151,372
		Oil & Gas Refining & Marketing 0.1%
	124,955	Attock Petroleum Ltd. (Pakistan)		599,627
		Packaged Foods & Meats 18.3%
	10,448,645	Agthia Group PJSC (United Arab Emirates)		22,834,367
	27,765,415	Cadbury Nigeria plc (Nigeria)		3,204,881
	15,581	Centrale Laitiere* (Morocco)		1,830,989
	6,651,700	Dairibord Holdings Ltd.* *** (Zimbabwe)		553,421
	281,032	Delice Holding (Tunisia)		2,104,296
	104,300	Dutch Lady Milk Industries Berhad (Malaysia)		1,116,887
	134,189	Edita Food Industries-REG S GDR* (Egypt)		2,430,829
	1,638,172	FAN Milk Ltd. (Ghana)		3,193,784
	2,382,300	Grupo Herdez S.A.B. de C.V. (Mexico)		6,299,848
	19,241,094	Juhayna Food Industries (Egypt)		19,732,439
	7,049	Ledo dd (Croatia)		8,757,460
	517,172	National Foods Holdings (Zimbabwe)		1,550,223
	480,831	Nestlé Lanka plc (Sri Lanka)		6,975,963
	74,400	Nestlé Malaysia Berhad (Malaysia)		1,220,324
	7,307,628	Nestlé Nigeria plc (Nigeria)		31,941,858
	31,286	Nestlé Pakistan Ltd. (Pakistan)		3,015,854
	6,069,937	Olympic Industries Ltd. (Bangladesh)		23,615,755
	6,238,929	PT Indofood CBP Sukses Makmur Tbk (Indonesia)		5,290,686
	27,790	Rafhan Maize Products Co. Ltd. (Pakistan)		2,367,370
	8,953,150	Vietnam Dairy Products JSC (Vietnam)		39,858,934
				187,896,168
		Personal Products 1.0%
	464,396	Marico Bangladesh Ltd. (Bangladesh)		10,252,240
		Pharmaceuticals 9.5%
	3,089,170	Abbott Laboratories Pakistan Ltd. (Pakistan)		19,367,374
	1,007,563	DHG Pharmaceutical JSC (Vietnam)		2,980,889
	1,213,542	Egyptian International Pharmaceutical Industrial Co. (Egypt)		12,243,832
	52,471	GlaxoSmithKline Bangladesh Ltd. (Bangladesh)		1,417,114
	15,978,026	GlaxoSmithKline Consumer Nigeria plc (Nigeria)		2,963,705
	1,854,050	GlaxoSmithKline Pakistan Ltd. (Pakistan)		3,797,364
	226,144	Hikma Pharmaceuticals plc (United Kingdom)		7,813,927
	1,513,628	Searle Company Ltd. (The)* (Pakistan)		5,839,451
	12,554,179	Square Pharmaceuticals Ltd. (Bangladesh)		40,370,301
	300,000	Traphaco JSC (Vietnam)		1,080,717
				97,874,674
		Restaurants 2.6%
	3,522,202	Kuwait Foods Americana (Kuwait)		26,617,268
		Soft Drinks 1.2%
	39,139,610	Pepsi-Cola Products Philippines, Inc. (Philippines)		3,433,299
	804,830	Societe Frigorifique et Brasserie de Tunis (Tunisia)		9,198,992
				12,632,291

Shares			Value
		Specialty Chemicals 0.9%
	3,698,992	Akzo Nobel Pakistan Ltd.†† (Pakistan)	$	8,603,542
	863,988	Chemical and Allied Products plc (Nigeria)		164,767
				8,768,309
		Steel 0.6%
	4,877,505	Hoa Phat Group JSC (Vietnam)		6,608,047
		Technology Distributors 1.5%
	7,747,718	FPT Corp. (Vietnam)		15,346,564
		Tobacco 6.0%
	598,500	British American Tobacco Bangladesh Co. Ltd. (Bangladesh)		22,668,689
	1,341,941	British American Tobacco Kenya Ltd. (Kenya)		10,253,608
	1,257,442	Ceylon Tobacco Co. plc (Sri Lanka)		8,503,085
	629,487	Eastern Co. (Egypt)		17,283,850
	307,345	Pakistan Tobacco Co. Ltd. (Pakistan)		2,980,901
				61,690,133
		Wireless Telecommunication Services 4.1%
	103,918,426	Dialog Axiata plc (Sri Lanka)		8,103,603
	14,570,739	Econet Wireless Zimbabwe Ltd. (Zimbabwe)		3,890,387
	5,042,489	GrameenPhone Ltd. (Bangladesh)		18,490,747
	81,157,938	Safaricom Ltd. (Kenya)		11,768,075
				42,252,812
		Total Common Stocks (cost $970,220,337)		960,051,446
		PARTICIPATION NOTES 2.0%
		Health Care Facilities 0.4%
	137,695	Mouwasat Medical Services Co., HSBC Bank plc, 3/5/2018 (Saudi Arabia)		4,516,095
		Hypermarkets & Super Centers 0.7%
	305,376	Abdullah Al Othaim Markets, HSBC Bank, 7/31/17, Series 0012 (Saudi Arabia)		7,471,035
		Restaurants 0.9%
	350,052	Herfy Food Services Co., HSBC Bank, 7/6/17, Series 0000 (Saudi Arabia)		8,797,387
		Total Participation Notes (cost $23,765,157)		20,784,517

57

WASATCH FRONTIER EMERGING SMALL COUNTRIES FUND (WAFMX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

Principal Amount			Value
		SHORT-TERM INVESTMENTS 2.3%
		Repurchase Agreement 2.3%
	$23,472,377	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $23,975,000 of United States Treasury Notes 1.375% due 9/30/20; value: $23,945,031; repurchase proceeds: $23,472,377 (cost $23,472,377)	$	23,472,377
		Total Short-Term Investments (cost $23,472,377)		23,472,377
		Total Investments (cost $1,017,457,871) 97.7%§		1,004,308,340
		Other Assets less Liabilities 2.3%		23,364,720
		NET ASSETS 100.0%	$	1,027,673,060
		*Non-income producing. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). ‡‡Affiliated company (see Note 8). §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 48.89%. GDR Global Depositary Receipt. See Notes to Financial Statements.

At September 30, 2015, Wasatch Frontier Emerging Small Countries Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Bangladesh		13.1
Botswana		1.2
Costa Rica		2.6
Croatia		0.9
Egypt		5.3
Ghana		1.0
Indonesia		0.5
Ivory Coast		<0.1
Kenya		6.8
Kuwait		3.8
Lebanon		0.8
Malaysia		0.8
Mauritius		0.2
Mexico		0.6
Morocco		1.8
Namibia		<0.1
Nigeria		9.7
Pakistan		10.7
Peru		0.2
Philippines		1.7
Saudi Arabia		2.1
Senegal		1.7
South Africa		1.4
Sri Lanka		9.7
Tanzania, United Republic of		3.5
Thailand		1.1
Tunisia		1.2
Uganda		0.1
United Arab Emirates		4.5
United Kingdom		1.2
Vietnam		9.5
Zambia		0.7
Zimbabwe		1.6
TOTAL		100.0	%

58

WASATCH GLOBAL OPPORTUNITIES FUND (WAGOX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 99.9%
		Air Freight & Logistics 0.8%
	62,245	Echo Global Logistics, Inc.*	$	1,220,002
		Airlines 4.7%
	22,923	Allegiant Travel Co.		4,957,099
	49,710	Spirit Airlines, Inc.*		2,351,283
				7,308,382
		Airport Services 1.8%
	560,425	Grupo Aeroportuario del Centro Norte S.A.B. de C.V.* (Mexico)		2,780,880
		Apparel, Accessories & Luxury Goods 1.3%
	74,245	Salvatore Ferragamo Italia S.p.A. (Italy)		1,979,635
		Application Software 4.4%
	52,118	Aveva Group plc (United Kingdom)		1,608,187
	37,445	Globant S.A.* (Luxembourg)		1,145,443
	16,139	Ultimate Software Group, Inc.*		2,889,042
	61,740	Zendesk, Inc.*		1,216,895
				6,859,567
		Auto Parts & Equipment 1.5%
	72,700	Cub Elecparts, Inc. (Taiwan)		850,093
	28,420	Linamar Corp. (Canada)		1,487,786
				2,337,879
		Biotechnology 6.0%
	184,331	Abcam plc (United Kingdom)		1,621,409
	10,379	Medytox, Inc. (Korea)		3,754,466
	240,087	Sangamo BioSciences, Inc.*		1,354,091
	68,094	Seattle Genetics, Inc.*		2,625,704
				9,355,670
		Building Products 0.9%
	43,651	Trex Co., Inc.*		1,454,888
		Construction & Engineering 0.9%
	132,203	Promotora y Operadora de Infraestructura S.A.B. de C.V.* (Mexico)		1,446,848
		Consumer Finance 6.3%
	9,823	Bajaj Finance Ltd. (India)		772,577
	886,812	Credito Real S.A.B. de C.V. (Mexico)		1,730,935
	127,860	Mahindra & Mahindra Financial Services Ltd. (India)		468,435
	36,114	PRA Group, Inc.*		1,911,153
	45,561	Shriram City Union Finance Ltd. (India)		1,176,054
	2,362,250	Srisawad Power 1979 Public Co. Ltd. (Thailand)		2,391,863
	616,897	Unifin Financiera SAPI de C.V. SOFOM* (Mexico)		1,372,883
				9,823,900
		Diversified Chemicals 0.6%
	104,535	Pidilite Industries Ltd. (India)		908,145
		Diversified Real Estate Activities 2.8%
	184,954	Patrizia Immobilien AG* (Germany)		4,419,536
		Diversified Support Services 1.0%
	47,176	Copart, Inc.*		1,552,090
		Drug Retail 1.2%
	16,470	Cosmos Pharmaceutical Corp. (Japan)		1,938,588
		Electrical Components & Equipment 0.6%
	77,386	Voltronic Power Technology Corp. (Taiwan)		1,007,034

Shares			Value
		Electronic Manufacturing Services 2.0%
	40,042	IPG Photonics Corp.*	$	3,041,991
		Fertilizers & Agricultural Chemicals 0.7%
	162,976	UPL Ltd. (India)		1,144,020
		General Merchandise Stores 1.1%
	34,592	Seria Co. Ltd. (Japan)		1,707,823
		Health Care Facilities 2.3%
	41,464	Apollo Hospitals Enterprise Ltd. (India)		910,193
	38,581	Ensign Group, Inc. (The)		1,644,708
	393,090	Life Healthcare Group Holdings Ltd. (South Africa)		1,011,138
				3,566,039
		Health Care Services 1.0%
	53,669	ExamWorks Group, Inc.*		1,569,282
		Health Care Supplies 1.0%
	5,083	Sartorius Stedim Biotech (France)		1,512,354
		Health Care Technology 1.4%
	109,180	M3, Inc. (Japan)		2,170,798
		Homefurnishing Retail 0.7%
	27,797	Mattress Firm Holding Corp.*		1,160,803
		Household Products 1.0%
	69,255	Pigeon Corp. (Japan)		1,619,009
		Industrial Machinery 0.7%
	423,132	Rotork plc (United Kingdom)		1,057,322
		Internet Retail 3.3%
	103,825	MakeMyTrip Ltd.* (India)		1,427,594
	57,480	Vipshop Holdings Ltd. ADR* (China)		965,664
	34,078	Wayfair, Inc., Class A*		1,194,775
	52,917	Yoox S.p.A.* (Italy)		1,592,717
				5,180,750
		Internet Software & Services 12.0%
	17,301	Cimpress N.V.*		1,316,779
	108,034	Cornerstone OnDemand, Inc.*		3,565,122
	112,431	Dip Corp. (Japan)		1,854,543
	69,435	Envestnet, Inc.*		2,080,967
	101,598	Gurunavi, Inc. (Japan)		1,678,503
	20,415	MercadoLibre, Inc. (Brazil)		1,858,990
	294,571	SMS Co. Ltd. (Japan)		4,983,965
	20,745	SPS Commerce, Inc.*		1,408,378
				18,747,247
		IT Consulting & Other Services 1.7%
	100,927	HCL Technologies Ltd. (India)		1,518,003
	128,081	Tech Mahindra Ltd. (India)		1,093,657
				2,611,660
		Leisure Products 1.3%
	362,478	Merida Industry Co. Ltd. (Taiwan)		1,957,415
		Life & Health Insurance 0.7%
	134,822	Max India Ltd. (India)		1,050,953
		Life Sciences Tools & Services 1.3%
	73,631	Fluidigm Corp.*		597,147
	7,320	Syngene International Ltd.* (India)		35,909
	9,841	Tecan Group AG (Switzerland)		1,384,580
				2,017,636
		Marine Ports & Services 1.4%
	1,314,633	International Container Terminal Services, Inc. (Philippines)		2,108,752

59

WASATCH GLOBAL OPPORTUNITIES FUND (WAGOX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

Shares			Value
		Packaged Foods & Meats 1.4%
	44,700	Calbee, Inc. (Japan)	$	1,447,215
	7,661	GlaxoSmithKline Consumer Healthcare Ltd. (India)		705,853
				2,153,068
		Personal Products 0.7%
	26,255	Nu Skin Enterprises, Inc., Class A		1,083,806
		Pharmaceuticals 9.5%
	72,918	Caplin Point Laboratories Ltd. (India)		1,604,526
	39,356	Intra-Cellular Therapies, Inc.*		1,575,814
	36,801	Ipsen S.A. (France)		2,282,183
	62,818	Lupin Ltd. (India)		1,951,225
	1,705,607	Marksans Pharma Ltd. (India)		2,699,192
	28,009	Natco Pharma Ltd. (India)		1,052,222
	567,238	TWi Pharmaceuticals, Inc.* (Taiwan)		3,698,028
				14,863,190
		Publishing 3.8%
	371,200	Next Co. Ltd. (Japan)		2,937,588
	54,939	Rightmove plc (United Kingdom)		3,039,307
				5,976,895
		Regional Banks 2.7%
	19,467	Signature Bank*		2,677,880
	28,888	Texas Capital Bancshares, Inc.*		1,514,309
				4,192,189
		Restaurants 2.6%
	207,063	Domino’s Pizza Group plc (United Kingdom)		2,786,869
	32,415	Zoe’s Kitchen, Inc.*		1,280,068
				4,066,937
		Semiconductor Equipment 0.3%
	13,400	Hermes Microvision, Inc. (Taiwan)		510,794
		Semiconductors 2.3%
	26,309	Cavium, Inc.*		1,614,583
	9,523	U-Blox AG* (Switzerland)		1,916,780
				3,531,363
		Specialty Chemicals 1.8%
	74,943	Frutarom Industries Ltd. (Israel)		2,835,104
		Trading Companies & Distributors 2.6%
	167,400	MISUMI Group, Inc. (Japan)		1,728,421
	99,934	MonotaRO Co. Ltd. (Japan)		2,290,502
				4,018,923
		Trucking 3.1%
	127,966	Knight Transportation, Inc.		3,071,184
	28,499	Old Dominion Freight Line, Inc.*		1,738,439
				4,809,623
		Wireless Telecommunication Services 0.7%
	2,597,842	PT Tower Bersama Infrastructure Tbk* (Indonesia)		1,161,726
		Total Common Stocks (cost $135,542,502)		155,820,516

Shares			Value
		WARRANTS 0.0%
		Consumer Finance 0.0%
	96,800	Srisawad Power 1979 Public Co. Ltd., expiring 6/11/20* (Thailand)	$	21,870
		Total Warrants (cost $0)		21,870
Principal Amount			Value
		SHORT-TERM INVESTMENTS 0.5%
		Repurchase Agreement 0.5%
	$685,704	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $680,000 of United States Treasury Bonds 2.125% due 1/31/21; value: $703,645; repurchase proceeds: $685,704 (cost $685,704)	$	685,704
		Total Short-Term Investments (cost $685,704)		685,704
		Total Investments (cost $136,228,206) 100.4%§		156,528,090
		Liabilities less Other Assets (0.4%)		(560,198	)
		NET ASSETS 100.0%	$	155,967,892
		*Non-income producing. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 54.37%. ADR American Depositary Receipt. See Notes to Financial Statements.

At September 30, 2015, Wasatch Global Opportunities Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Brazil		1.2
Canada		1.0
China		0.6
France		2.4
Germany		2.8
India		11.9
Indonesia		0.7
Israel		1.8
Italy		2.3
Japan		15.6
Korea		2.4
Luxembourg		0.7
Mexico		4.7
Philippines		1.4
South Africa		0.7
Switzerland		2.1
Taiwan		5.2
Thailand		1.6
United Kingdom		6.5
United States		34.4
TOTAL		100.0	%

60

WASATCH INTERNATIONAL GROWTH FUND (WAIGX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 99.1%
		Aerospace & Defense 0.7%
	2,572,058	Senior plc (United Kingdom)	$	9,796,645
		Apparel, Accessories & Luxury Goods 2.2%
	767,100	Moncler S.p.A. (Italy)		13,732,642
	562,882	Salvatore Ferragamo Italia S.p.A. (Italy)		15,008,430
				28,741,072
		Application Software 3.4%
	697,722	Aveva Group plc (United Kingdom)		21,529,368
	1,258,856	Computer Modelling Group Ltd. (Canada)		10,674,179
	3,703,489	Diligent Corp.* (New Zealand)		12,295,086
				44,498,633
		Asset Management & Custody Banks 1.9%
	301,356	Alaris Royalty Corp. (Canada)		6,080,346
	14,699,844	ARA Asset Management Ltd. (Singapore)		13,623,868
	5,961,167	Value Partners Group Ltd. (Hong Kong)		5,646,726
				25,350,940
		Auto Parts & Equipment 1.3%
	326,269	Linamar Corp. (Canada)		17,080,165
		Biotechnology 4.1%
	3,263,052	Abcam plc (United Kingdom)		28,702,403
	71,085	Medytox, Inc. (Korea)		25,714,057
				54,416,460
		Consumer Finance 0.6%
	291,067	Shriram City Union Finance Ltd. (India)		7,513,237
		Data Processing & Outsourced Services 1.0%
	341,300	GMO Payment Gateway, Inc. (Japan)		13,210,602
		Diversified Real Estate Activities 3.2%
	1,769,716	Patrizia Immobilien AG* (Germany)		42,287,943
		Diversified Support Services 1.5%
	194,381	KEPCO Plant Service & Engineering Co. Ltd. (Korea)		19,895,529
		Drug Retail 3.2%
	137,024	Ain Pharmaciez, Inc. (Japan)		6,997,393
	176,937	Cosmos Pharmaceutical Corp. (Japan)		20,826,227
	328,473	Sugi Holdings Co. Ltd. (Japan)		14,749,729
				42,573,349
		Electrical Components & Equipment 2.6%
	1,458,482	Amara Raja Batteries Ltd. (India)		23,023,986
	867,309	Voltronic Power Technology Corp. (Taiwan)		11,286,404
				34,310,390
		Electronic Equipment & Instruments 4.8%
	1,310,013	Ai Holdings Corp. (Japan)		32,443,256
	1,707,279	Halma plc (United Kingdom)		18,672,242
	406,625	Renishaw plc (United Kingdom)		12,428,673
				63,544,171
		Forest Products 0.5%
	192,008	Stella-Jones, Inc. (Canada)		6,183,284

Shares			Value
		General Merchandise Stores 4.0%
	2,564,292	B&M European Value Retail S.A. (United Kingdom)	$	12,655,087
	102,769	Ryohin Keikaku Co. Ltd. (Japan)		20,935,130
	381,295	Seria Co. Ltd. (Japan)		18,824,709
				52,414,926
		Health Care Supplies 1.8%
	78,649	Sartorius Stedim Biotech (France)		23,400,571
		Health Care Technology 3.4%
	1,580,907	EMIS Group plc (United Kingdom)		25,117,570
	987,356	M3, Inc. (Japan)		19,631,343
				44,748,913
		Household Products 1.5%
	845,951	Pigeon Corp. (Japan)		19,776,221
		Human Resource & Employment Services 0.4%
	162,865	Benefit One, Inc. (Japan)		2,761,851
	342,043	Pasona Group, Inc. (Japan)		2,893,384
				5,655,235
		Hypermarkets & Super Centers 0.8%
	1,789,702	Distribuidora Internacional de Alimentacion S.A.* (Spain)		10,830,596
		Industrial Machinery 1.1%
	6,026,591	Rotork plc (United Kingdom)		15,059,241
		Internet Retail 1.5%
	633,915	Yoox S.p.A.* (Italy)		19,079,832
		Internet Software & Services 9.3%
	1,305,775	Auto Trader Group plc* (United Kingdom)		6,719,970
	631,990	carsales.com Ltd. (Australia)		4,350,884
	225,177	Criteo S.A. ADR* (France)		8,453,144
	1,064,944	Dip Corp. (Japan)		17,566,185
	922,507	Gurunavi, Inc. (Japan)		15,240,760
	1,293,400	Infomart Corp. (Japan)		14,670,083
	902,936	Kakaku.com, Inc. (Japan)		14,671,402
	1,774,700	SMS Co. Ltd. (Japan)		30,026,864
	52,237	XING AG (Germany)		11,220,140
				122,919,432
		Investment Banking & Brokerage 0.8%
	255,437	Avanza Bank Holding AB (Sweden)		10,470,196
		Leisure Products 0.6%
	1,330,952	Merida Industry Co. Ltd. (Taiwan)		7,187,264
		Life & Health Insurance 2.0%
	1,470,248	Discovery Ltd. (South Africa)		14,626,571
	1,555,458	Max India Ltd. (India)		12,124,980
				26,751,551
		Life Sciences Tools & Services 2.3%
	634,676	Divi’s Laboratories Ltd. (India)		10,854,366
	133,065	Tecan Group AG (Switzerland)		18,721,583
				29,575,949
		Marine Ports & Services 0.4%
	3,169,344	International Container Terminal Services, Inc. (Philippines)		5,083,822
		Movies & Entertainment 2.0%
	711,588	CTS Eventim AG & Co KGaA (Germany)		26,385,062

61

WASATCH INTERNATIONAL GROWTH FUND (WAIGX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

Shares			Value
		Oil & Gas Equipment & Services 1.4%
	304,639	Pason Systems, Inc. (Canada)	$	4,277,075
	223,197	ShawCor Ltd. (Canada)		4,673,740
	502,358	TGS-NOPEC Geophysical Co. ASA (Norway)		9,274,040
				18,224,855
		Oil & Gas Storage & Transportation 0.6%
	155,504	Gaztransport Et Technigaz S.A. (France)		8,065,158
		Packaged Foods & Meats 3.1%
	509,619	Calbee, Inc. (Japan)		16,499,517
	16,513,449	Vitasoy International Holdings Ltd. (Hong Kong)		24,667,688
				41,167,205
		Pharmaceuticals 5.2%
	1,027,700	Glenmark Pharmaceuticals Ltd. (India)		16,490,579
	347,594	Ipsen S.A. (France)		21,555,750
	5,777,068	Lee’s Pharmaceutical Holdings Ltd. (China)		7,475,118
	174,894	Sawai Pharmaceutical Co. Ltd. (Japan)		10,180,912
	2,038,839	TWi Pharmaceuticals, Inc.* (Taiwan)		13,291,923
				68,994,282
		Property & Casualty Insurance 0.6%
	5,374,656	Qualitas Controladora S.A.B. de C.V.* ** (Mexico)		7,381,207
		Publishing 4.2%
	2,899,971	Next Co. Ltd. (Japan)		22,949,675
	581,010	Rightmove plc (United Kingdom)		32,142,334
				55,092,009
		Research & Consulting Services 3.3%
	66,832	Bertrandt AG (Germany)		6,976,963
	844,025	Nihon M&A Center, Inc. (Japan)		36,902,224
				43,879,187
		Restaurants 6.1%
	244,000	Create Restaurants Holdings, Inc. (Japan)		5,055,174
	1,303,573	Domino’s Pizza Enterprises Ltd. (Australia)		37,053,710
	2,831,329	Domino’s Pizza Group plc (United Kingdom)		38,106,961
				80,215,845
		Semiconductor Equipment 1.4%
	246,490	Hermes Microvision, Inc. (Taiwan)		9,395,949
	412,791	ISC Co. Ltd. (Korea)		8,856,286
				18,252,235
		Semiconductors 1.2%
	79,855	U-Blox AG* (Switzerland)		16,073,135
		Specialty Chemicals 4.7%
	428,291	Chr. Hansen Holding A/S (Denmark)		23,947,873
	177,246	Frutarom Industries Ltd. (Israel)		6,705,242
	2,037,410	Hexpol AB (Sweden)		22,754,689
	79,970	SK Kaken Co. Ltd. (Japan)		7,809,861
				61,217,665
		Textiles 1.2%
	956,274	Eclat Textile Co. Ltd. (Taiwan)		15,184,345

Shares			Value
		Trading Companies & Distributors 3.2%
	1,713,915	MISUMI Group, Inc. (Japan)	$	17,696,338
	1,055,976	MonotaRO Co. Ltd. (Japan)		24,203,128
				41,899,466
		Total Common Stocks (cost $1,055,659,080)		1,304,387,825
Principal Amount			Value
		SHORT-TERM INVESTMENTS 0.9%
		Repurchase Agreement 0.9%
	$12,275,005	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $12,540,000 of United States Treasury Notes 1.375% due 9/30/20; value: $12,524,325; repurchase proceeds: $12,275,005 (cost $12,275,005)	$	12,275,005
		Total Short-Term Investments (cost $12,275,005)		12,275,005
		Total Investments (cost $1,067,934,085) 100.0%§		1,316,662,830
		Liabilities less Other Assets (<0.1%)		(567,742	)
		NET ASSETS 100.0%	$	1,316,095,088
		*Non-income producing. **Common units. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 90.63%. ADR American Depositary Receipt. See Notes to Financial Statements.

At September 30, 2015, Wasatch International Growth Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Australia		3.2
Canada		3.8
China		0.6
Denmark		1.8
France		4.7
Germany		6.7
Hong Kong		2.3
India		5.4
Israel		0.5
Italy		3.7
Japan		31.2
Korea		4.2
Mexico		0.6
New Zealand		0.9
Norway		0.7
Philippines		0.4
Singapore		1.0
South Africa		1.1
Spain		0.8
Sweden		2.5
Switzerland		2.7
Taiwan		4.3
United Kingdom		16.9
TOTAL		100.0	%

62

WASATCH INTERNATIONAL OPPORTUNITIES FUND (WAIOX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 94.9%
		Aerospace & Defense 0.2%
	25,705	Avon Rubber plc (United Kingdom)	$	355,505
	110,720	SWISSPORT Tanzania Ltd.* (Tanzania, United Republic of)		379,319
				734,824
		Air Freight & Logistics 1.6%
	338,660	Allcargo Global Logistics Ltd. (India)		1,545,802
	832,296	Freightways Ltd. (New Zealand)		2,959,156
	12,834	ID Logistics Group* (France)		1,665,725
	104,300	Yusen Logistics Co. Ltd. (Japan)		1,072,427
				7,243,110
		Apparel Retail 0.5%
	804,622	Apranga PVA (Lithuania)		2,408,792
		Apparel, Accessories & Luxury Goods 1.5%
	117,976	Delta-Galil Industries Ltd. (Israel)		3,537,382
	388,488	Makalot Industrial Co. Ltd. (Taiwan)		3,205,922
				6,743,304
		Application Software 0.8%
	204,775	Linx S.A. (Brazil)		2,265,324
	233,075	Logo Yazilim Sanayi Ve Ticaret AS (Turkey)		1,266,607
				3,531,931
		Asset Management & Custody Banks 0.4%
	923,100	Peregrine Holdings Ltd. (South Africa)		1,927,153
		Auto Parts & Equipment 0.4%
	450,000	Hu Lane Associate, Inc. (Taiwan)		1,726,330
		Automotive Retail 0.3%
	59,200	Mekonomen AB (Sweden)		1,370,790
		Brewers 4.0%
	362,475	Carlsberg Brewery Malaysia Berhad (Malaysia)		986,241
	17,933,940	International Breweries plc (Nigeria)		1,621,951
	64,408	Kopparbergs Bryggeri AB (Sweden)		1,444,703
	197,574	Olvi Oyj, Class A (Finland)		4,875,264
	160,100	Royal UNIBREW A/S (Denmark)		5,992,478
	290,700	Sechaba Breweries Ltd. (Botswana)		784,999
	1,227,502	Turk Tuborg Bira ve Malt Sanayii A.S.* (Turkey)		2,445,231
				18,150,867
		Building Products 0.1%
	1,111,666	PT Surya Toto Indonesia Tbk (Indonesia)		508,407
		Cable & Satellite 0.2%
	5,000,000	Hum Network Ltd. (Pakistan)		784,324
		Commodity Chemicals 4.0%
	967,254	Berger Paints India Ltd. (India)		3,246,797
	400,083	Gulf Oil Lubricants India Ltd. (India)		2,925,653
	141,954	SAMHWA Paints Industrial Co. Ltd. (Korea)		1,717,304
	134,965	Sniezka S.A. (Poland)		1,841,830
	350,857	Supreme Industries Ltd. (India)		3,314,688
	155,700	Tikkurila Oyj (Finland)		2,586,736
	1,273,500	Yung Chi Paint & Varnish Manufacturing Co. Ltd. (Taiwan)		2,459,776
				18,092,784

Shares			Value
		Communications Equipment 0.2%
	6,700	Ericsson Nikola Tesla (Croatia)	$	1,028,371
		Construction Materials 0.4%
	144,928	Misr Cement Co. (Egypt)		1,573,282
		Consumer Finance 0.6%
	54,600	KRUK S.A. (Poland)		2,505,255
		Data Processing & Outsourced Services 0.1%
	663,646	My EG Services Berhad (Malaysia)		425,335
		Department Stores 0.5%
	1,883,557	Parkson Retail Asia Ltd. (Malaysia)		423,197
	195,251	Poya Co. Ltd. (Taiwan)		1,948,028
				2,371,225
		Distillers & Vintners 1.9%
	2,015,680	Capevin Holdings Ltd. (South Africa)		1,402,077
	73	Grand Marnier (France)		399,733
	35,911	Jinro Distillers Co. Ltd. (Korea)		1,199,760
	39,621	Laurent-Perrier (France)		3,416,989
	51,794	Muhak Co. Ltd.* (Korea)		2,057,027
				8,475,586
		Diversified Banks 0.8%
	6,220,800	CRDB Bank plc (Tanzania, United Republic of)		1,051,200
	1,714,801	Hatton National Bank plc (Sri Lanka)		2,597,080
				3,648,280
		Diversified Support Services 1.1%
	193,263	Credit Corp. Group Ltd. (Australia)		1,388,004
	181,400	Prestige International, Inc. (Japan)		1,803,661
	422,800	Vicom Ltd. (Singapore)		1,781,891
				4,973,556
		Drug Retail 1.5%
	1,330,808	Green Cross Health Ltd. (New Zealand)		1,893,294
	94,400	Kusuri No Aoki Co. Ltd. (Japan)		4,993,951
				6,887,245
		Electrical Components & Equipment 2.6%
	309,840	Amara Raja Batteries Ltd. (India)		4,891,217
	535,720	Voltronic Power Technology Corp. (Taiwan)		6,971,393
				11,862,610
		Electronic Equipment & Instruments 1.0%
	42,100	Isra Vision AG (Germany)		2,354,488
	450,000	Smart Metering Systems plc (United Kingdom)		2,294,692
				4,649,180
		Fertilizers & Agricultural Chemicals 0.2%
	256,787	Rallis India Ltd. (India)		857,548
		Food Distributors 0.5%
	8,606,200	Premier Marketing Public Co. Ltd. (Thailand)		2,347,469

63

WASATCH INTERNATIONAL OPPORTUNITIES FUND (WAIOX) — Schedule of Investments (continued)

Shares			Value
		Food Retail 6.7%
	9,805,820	7-Eleven Malaysia Holdings Berhad, Class B (Malaysia)	$	3,300,671
	220,344	Axial Retailing, Inc. (Japan)		7,238,437
	5,543,800	BreadTalk Group Ltd. (Singapore)		4,418,832
	3,345,000	Choppies Enterprises Ltd. (Botswana)		1,331,143
	4,415,100	Convenience Retail Asia Ltd. (Hong Kong)		2,270,928
	25,300	Daikokutenbussan Co. Ltd. (Japan)		869,619
	2,432,810	Philippine Seven Corp. (Philippines)		5,076,162
	90,070	Rami Levi Chain Stores Hashikma Marketing 2006 Ltd. (Israel)		3,846,860
	3,399,000	Sheng Siong Group Ltd. (Singapore)		1,972,081
				30,324,733
		General Merchandise Stores 1.1%
	98,972	Seria Co. Ltd. (Japan)		4,886,293
		Health Care Distributors 0.0%
	1,478,600	PT Enseval Putera Megatrading Tbk (Indonesia)		211,950
		Health Care Equipment 0.3%
	55,000	Vieworks Co. Ltd. (Korea)		1,547,779
		Health Care Facilities 6.4%
	35,536,611	Asiri Hospital Holdings plc (Sri Lanka)		5,397,344
	538,000	Capio AB* (Sweden)		3,248,581
	211,422	Instituto de Diagnostico S.A. (Chile)		868,593
	366,900	MD Medical Group Investments plc GDR (Russia)		1,779,465
	430,957	NMC Health plc (United Arab Emirates)		5,443,579
	515,356	Raffles Medical Group Ltd. (Singapore)		1,635,989
	8,846,957	Religare Health Trust** (Singapore)		5,909,811
	1,882,978	Shifa International Hospitals Ltd. (Pakistan)		4,780,500
				29,063,862
		Health Care Technology 1.0%
	147,600	EMIS Group plc (United Kingdom)		2,345,080
	109,300	Nexus AG (Germany)		2,185,149
				4,530,229
		Home Improvement Retail 0.8%
	46,159	Arcland Sakamoto Co. Ltd. (Japan)		994,181
	333,400	DCM Holdings Co. Ltd. (Japan)		2,439,201
				3,433,382
		Household Products 0.7%
	5,076,580	DSG International Thailand Public Co. Ltd. (Thailand)		665,781
	493,300	Jyothy Laboratories Ltd. (India)		2,401,716
				3,067,497
		Human Resource & Employment Services 0.7%
	685,000	104 Corp. (Taiwan)		3,005,004
		Industrial Conglomerates 0.7%
	57,383,777	Expolanka Holdings plc (Sri Lanka)		3,330,127
		Industrial Machinery 1.1%
	461,712	CKD Corp. (Japan)		3,817,502
	79,300	Yushin Precision Equipment Co. Ltd. (Japan)		1,350,129
				5,167,631
		Internet Retail 3.8%
	440,700	Ikyu Corp. (Japan)		9,614,279
	591,286	Trade Me Group Ltd. (New Zealand)		1,387,658
	2,161,368	Webjet Ltd. (Australia)		6,411,234
				17,413,171

Shares			Value
		Internet Software & Services 7.1%
	246,064	Addcn Technology Co. Ltd. (Taiwan)	$	2,212,361
	201,400	Dip Corp. (Japan)		3,322,081
	580,799	Gurunavi, Inc. (Japan)		9,595,394
	215,600	Infomart Corp. (Japan)		2,445,392
	272,980	PChome Online, Inc. (Taiwan)		3,147,137
	345,900	SMS Co. Ltd. (Japan)		5,852,421
	26,252	XING AG (Germany)		5,638,745
				32,213,531
		IT Consulting & Other Services 0.8%
	349,494	EOH Holdings Ltd. (South Africa)		3,752,916
		Leisure Products 0.7%
	175,368	Samchuly Bicycle Co. Ltd. (Korea)		3,053,870
		Marine 0.3%
	6,906,640	2GO Group, Inc.* (Philippines)		1,167,361
		Marine Ports & Services 0.7%
	1,255,700	Asian Terminals, Inc. (Philippines)		310,298
	272,600	Gateway Distriparks Ltd. (India)		1,497,141
	32,469	Piraeus Port Authority S.A. (Greece)		545,578
	38,367	Thessaloniki Port Authority S.A. (Greece)		992,602
				3,345,619
		Multi-Line Insurance 0.7%
	1,379,800	Botswana Insurance Holdings Ltd. (Botswana)		1,929,587
	8,160,671	British-American Investments Co. Kenya Ltd. (Kenya)		1,309,448
				3,239,035
		Multi-Sector Holdings 0.0%
	109,305	Sefalana Holding Co. Ltd. (Botswana)		135,310
		Office Services & Supplies 0.6%
	2,301,800	Riverstone Holdings Ltd. (Singapore)		2,585,838
		Oil & Gas Refining & Marketing 1.0%
	64,100	BP Castrol KK (Japan)		637,097
	9,294	Hankook Shell Oil Co. Ltd. (Korea)		4,046,639
				4,683,736
		Packaged Foods & Meats 9.6%
	71,120	Agro Tech Foods Ltd. (India)		639,257
	7,950	Atlantic Grupa (Croatia)		975,433
	1,293,927	Cloetta AB, Class B* (Sweden)		3,694,294
	1,262,907	Clover Industries Ltd. (South Africa)		1,692,593
	81,100	Dutch Lady Milk Industries Berhad (Malaysia)		868,452
	744,300	Grupo Herdez S.A.B. de C.V. (Mexico)		1,968,256
	38,600	Kotobuki Spirits Co. Ltd. (Japan)		1,269,934
	20,245	Kri-Kri Milk Industry S.A. (Greece)		40,706
	283,061	Pinar Sut Mamulleri Sanayii A.S. (Turkey)		1,871,387
	7,503,000	PT Tiga Pilar Sejahtera Food Tbk (Indonesia)		743,604
	3,626,000	PT Ultrajaya Milk Industry & Trading Co. Tbk* (Indonesia)		983,228
	46,454,981	RFM Corp. (Philippines)		3,976,240
	105,800	Rokko Butter Co. Ltd. (Japan)		1,627,521
	11,374	S&B Foods, Inc. (Japan)		461,613
	2,363,435	TAT Gida Sanayi A.S.* (Turkey)		4,998,682
	269,681	Vigor Alimentos S.A. (Brazil)		621,757
	3,743,120	Vitasoy International Holdings Ltd. (Hong Kong)		5,591,450
	188,100	Warabeya Nichiyo Co. Ltd. (Japan)		3,275,233
	1,100,000	Watt’s Alimentos S.A. (Chile)		1,469,521
	19,788	Wawel S.A. (Poland)		6,627,033
				43,396,194

64

SEPTEMBER 30, 2015

Shares			Value
		Personal Products 1.1%
	5,826,550	Karex Berhad (Malaysia)	$	4,307,461
	104,832	Sarantis S.A. (Greece)		818,547
				5,126,008
		Pharmaceuticals 2.0%
	2,572,177	Lee’s Pharmaceutical Holdings Ltd. (China)		3,328,215
	50,179,400	PT Kimia Farma Persero Tbk (Indonesia)		2,194,391
	7,837,000	PT Tempo Scan Pacific Tbk (Indonesia)		819,285
	175,500	Renata Ltd. (Bangladesh)		2,818,606
				9,160,497
		Publishing 2.9%
	846,129	Morningstar Japan KK (Japan)		2,016,864
	1,389,979	Next Co. Ltd. (Japan)		10,999,960
				13,016,824
		Real Estate Services 0.2%
	106,700	Century 21 Real Estate of Japan Ltd. (Japan)		972,554
		Regional Banks 0.4%
	302,800	Banregio Grupo Financiero S.A.B. de C.V. (Mexico)		1,612,746
		Research & Consulting Services 0.3%
	28,401	Nihon M&A Center, Inc. (Japan)		1,241,741
		Restaurants 10.8%
	10,800	Amiyaki Tei Co. Ltd. (Japan)		424,136
	68,048	AmRest Holdings SE* (Poland)		2,933,695
	29,500	B-R31 Ice Cream Co. Ltd. (Japan)		1,026,366
	5,908,278	Berjaya Food Berhad (Malaysia)		2,889,791
	932,500	Collins Foods Ltd. (Australia)		2,128,681
	165,980	Domino’s Pizza Enterprises Ltd. (Australia)		4,717,937
	497,300	Doutor Nichires Holdings Co. Ltd. (Japan)		7,625,068
	450,900	Fairwood Holdings Ltd. (Hong Kong)		1,276,368
	696,953	Famous Brands Ltd. (South Africa)		6,796,155
	137,600	Hiday Hidaka Corp. (Japan)		3,488,721
	153,972,000	Hop Hing Group Holdings Ltd. (China)		2,292,455
	107,000	KFC Holdings Japan Ltd. (Japan)		2,011,409
	30,000	Kura Corp. (Japan)		952,130
	1,867,437	Restaurant Brands New Zealand Ltd. (New Zealand)		4,705,042
	13,900	Saint Marc Holdings Co. Ltd. (Japan)		424,847
	2,269,963	Spur Corp. Ltd. (South Africa)		5,404,869
				49,097,670
		Soft Drinks 2.6%
	1,987,900	Corp. Lindley S.A.* (Peru)		1,596,756
	89,370,320	Pepsi-Cola Products Philippines, Inc. (Philippines)		7,839,502
	2,429,313	Seven-Up Bottling Co. plc (Nigeria)		2,316,418
				11,752,676
		Specialized Finance 0.1%
	17,121	Korea Ratings Corp. (Korea)		595,111
		Specialized REITs 0.5%
	1,932,270	National Storage REIT (Australia)		2,073,624
		Specialty Chemicals 0.8%
	6,229,947	Chemical and Allied Products plc (Nigeria)		1,188,086
	673,719	DuluxGroup Ltd. (Australia)		2,543,654
				3,731,740

Shares			Value
		Specialty Stores 0.9%
	165,300	Komehyo Co. Ltd. (Japan)	$	3,956,621
		Tobacco 0.3%
	5,249	Karelia Tobacco Co., Inc. S.A. (Greece)		1,423,893
		Trading Companies & Distributors 1.8%
	442,100	Jalux, Inc. (Japan)		8,320,492
		Total Common Stocks (cost $399,414,814)		430,464,823
Principal Amount			Value
		SHORT-TERM INVESTMENTS 5.1%
		Repurchase Agreement 5.1%
	$23,124,583	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $22,795,000 of United States Treasury Notes 2.125% due 1/31/21; value: $23,587,628; repurchase proceeds: $23,124,583 (cost $23,124,583)	$	23,124,583
		Total Short-Term Investments (cost $23,124,583)		23,124,583
		Total Investments (cost $422,539,397) 100.0%§		453,589,406
		Liabilities less Other Assets (<0.1%)		(94,280	)
		NET ASSETS 100.0%	$	453,495,126
		*Non-income producing. **Common units. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 74.29%. GDR Global Depositary Receipt. REIT Real Estate Investment Trust. See Notes to Financial Statements.

65

WASATCH INTERNATIONAL OPPORTUNITIES FUND (WAIOX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

At September 30, 2015, Wasatch International Opportunities Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Australia		4.5
Bangladesh		0.6
Botswana		1.0
Brazil		0.7
Chile		0.5
China		1.3
Croatia		0.5
Denmark		1.4
Egypt		0.4
Finland		1.7
France		1.3
Germany		2.4
Greece		0.9
Hong Kong		2.1
India		4.9
Indonesia		1.3
Israel		1.7
Japan		25.8
Kenya		0.3
Korea		3.3
Lithuania		0.6
Malaysia		3.1
Mexico		0.8
New Zealand		2.5
Nigeria		1.2
Pakistan		1.3
Peru		0.4
Philippines		4.3
Poland		3.2
Russia		0.4
Singapore		4.2
South Africa		4.9
Sri Lanka		2.6
Sweden		2.3
Taiwan		5.7
Tanzania, United Republic of		0.3
Thailand		0.7
Turkey		2.4
United Arab Emirates		1.3
United Kingdom		1.2
TOTAL		100.0	%

66

WASATCH LARGE CAP VALUE FUND (FMIEX / WILCX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 99.3%
		Communications Equipment 4.3%
	400,808	Cisco Systems, Inc.	$	10,521,210
		Computer & Electronics Retail 1.0%
	61,716	GameStop Corp., Class A		2,543,316
		Department Stores 2.1%
	102,533	Macy’s, Inc.		5,261,994
		Diversified Banks 13.2%
	224,762	Citigroup, Inc.		11,150,443
	174,400	JPMorgan Chase & Co.		10,633,168
	206,130	Wells Fargo & Co.		10,584,775
				32,368,386
		Diversified Chemicals 2.2%
	83,692	Eastman Chemical Co.		5,416,546
		Diversified REITs 1.5%
	199,306	Select Income REIT		3,788,807
		Electric Utilities 6.6%
	123,760	Duke Energy Corp.		8,903,295
	265,964	Great Plains Energy, Inc.		7,186,347
				16,089,642
		Electrical Components & Equipment 3.0%
	143,841	Eaton Corp. plc		7,379,043
		Health Care Equipment 2.0%
	73,926	Medtronic plc		4,948,606
		Household Products 3.8%
	130,147	Procter & Gamble Co. (The)		9,362,775
		Hypermarkets & Super Centers 3.1%
	116,419	Wal-Mart Stores, Inc.		7,548,608
		Industrial Conglomerates 4.8%
	472,357	General Electric Co.		11,912,844
		Integrated Oil & Gas 8.5%
	90,218	Chevron Corp.		7,116,396
	126,820	Royal Dutch Shell plc ADR (Netherlands)		6,010,000
	286,841	Suncor Energy, Inc. (Canada)		7,664,391
				20,790,787
		Integrated Telecommunication Services 3.0%
	169,279	Verizon Communications, Inc.		7,365,329
		Investment Banking & Brokerage 2.7%
	38,075	Goldman Sachs Group, Inc. (The)		6,615,912
		Multi-Line Insurance 4.3%
	186,193	American International Group, Inc.		10,579,486
		Oil & Gas Equipment & Services 2.2%
	151,565	Halliburton Co.		5,357,823
		Oil & Gas Exploration & Production 1.0%
	387,624	Encana Corp. (Canada)		2,496,299
		Other Diversified Financial Services 2.8%
	175,469	Voya Financial, Inc.		6,802,933
		Pharmaceuticals 10.9%
	123,070	Johnson & Johnson		11,488,585
	325,228	Pfizer, Inc.		10,215,411
	24,513	Shire plc ADR (Ireland)		5,030,803
				26,734,799

Shares			Value
		Regional Banks 3.2%
	89,049	PNC Financial Services Group, Inc.	$	7,943,171
		Semiconductors 1.8%
	145,389	Intel Corp.		4,382,025
		Specialized REITs 3.2%
	152,020	EPR Properties		7,839,671
		Systems Software 4.5%
	124,252	Microsoft Corp.		5,499,394
	152,084	Oracle Corp.		5,493,274
				10,992,668
		Technology Hardware, Storage & Peripherals 3.6%
	61,979	Apple, Inc.		6,836,284
	74,910	Hewlett-Packard Co.		1,918,445
				8,754,729
		Total Common Stocks (cost $232,455,269)		243,797,409
Principal Amount			Value
		SHORT-TERM INVESTMENTS 0.6%
		Repurchase Agreement 0.6%
	$1,470,547	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $1,450,000 of United States Treasury Notes 2.125% due 1/31/21; value: $1,500,419; repurchase proceeds: $1,470,547 (cost $1,470,547)	$	1,470,547
		Total Short-Term Investments (cost $1,470,547)		1,470,547
		Total Investments (cost $233,925,816) 99.9%		245,267,956
		Other Assets less Liabilities 0.1%		313,027
		NET ASSETS 100.0%	$	245,580,983
		ADR American Depositary Receipt. REIT Real Estate Investment Trust. See Notes to Financial Statements.

At September 30, 2015, Wasatch Large Cap Value Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Canada		4.2
Ireland		2.0
Netherlands		2.5
United States		91.3
TOTAL		100.0	%

67

WASATCH LONG/SHORT FUND (FMLSX / WILSX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 94.5%
		Advertising 2.6%
	1,384,935	Interpublic Group of Cos., Inc. (The)††	$	26,493,807
		Air Freight & Logistics 1.6%
	166,306	United Parcel Service, Inc., Class B††		16,412,739
		Airlines 3.0%
	569,406	United Continental Holdings, Inc.* ††		30,206,988
		Automobile Manufacturers 1.8%
	613,738	General Motors Co.††		18,424,415
		Automotive Retail 2.4%
	739,844	CST Brands, Inc.††		24,903,149
		Communications Equipment 6.6%
	842,156	Cisco Systems, Inc.††		22,106,595
	846,249	QUALCOMM, Inc.††		45,468,959
				67,575,554
		Diversified Banks 1.5%
	307,920	Citigroup, Inc.††		15,275,911
		Diversified REITs 1.5%
	1,916,168	Investors Real Estate Trust		14,831,140
		Electrical Components & Equipment 1.1%
	257,147	Emerson Electric Co.		11,358,183
		Environmental & Facilities Services 1.7%
	434,257	Republic Services, Inc.††		17,891,388
		Fertilizers & Agricultural Chemicals 3.5%
	1,160,945	Mosaic Co. (The)††		36,116,999
		Food Retail 1.4%
	465,927	Whole Foods Market, Inc.		14,746,590
		General Merchandise Stores 2.7%
	357,669	Target Corp.††		28,134,243
		Health Care Equipment 3.2%
	263,000	Medtronic plc		17,605,220
	157,900	Stryker Corp.		14,858,390
				32,463,610
		Health Care Services 3.6%
	457,298	Express Scripts Holding Co.* ††		37,022,846
		Hypermarkets & Super Centers 4.5%
	707,327	Wal-Mart Stores, Inc.††		45,863,083
		Insurance Brokers 1.6%
	185,255	Aon plc		16,415,446
		Integrated Telecommunication Services 3.2%
	762,463	Verizon Communications, Inc.††		33,174,765
		Marine 3.0%
	501,310	Kirby Corp.* ††		31,056,154
		Multi-Line Insurance 4.4%
	1,260,041	Loews Corp.††		45,537,882
		Oil & Gas Drilling 1.4%
	1,231,945	Unit Corp.*		13,871,701
		Oil & Gas Equipment & Services 3.2%
	915,919	Halliburton Co.††		32,377,737

Shares			Value
		Oil & Gas Exploration & Production 5.5%
	5,653,316	Bill Barrett Corp.* †† ‡‡	$	18,655,943
	7,307,093	Denbury Resources, Inc.††		17,829,307
	1,563,523	Southwestern Energy Co.* ††		19,841,107
				56,326,357
		Pharmaceuticals 3.6%
	208,035	Novartis AG ADR (Switzerland)		19,122,577
	435,500	Zoetis, Inc.††		17,933,890
				37,056,467
		Property & Casualty Insurance 0.5%
	140,553	XL Group plc		5,104,885
		Residential REITs 2.0%
	554,435	American Campus Communities, Inc.††		20,092,724
		Restaurants 1.3%
	136,491	McDonald’s Corp.††		13,448,458
		Specialized REITs 6.5%
	1,650,742	Iron Mountain, Inc.††		51,206,017
	721,074	Outfront Media, Inc.		14,998,339
				66,204,356
		Steel 2.4%
	1,405,583	Steel Dynamics, Inc.		24,147,916
		Systems Software 6.7%
	616,256	Microsoft Corp.††		27,275,490
	1,137,706	Oracle Corp.††		41,093,941
				68,369,431
		Technology Hardware, Storage & Peripherals 4.2%
	1,483,691	EMC Corp.††		35,845,974
	1,909,991	Silicon Graphics International Corp.* ‡‡		7,506,265
				43,352,239
		Trading Companies & Distributors 2.3%
	1,622,225	NOW, Inc.* ††		24,008,930
		Total Common Stocks (cost $1,182,218,410)		968,266,093
Principal Amount			Value
		SHORT-TERM INVESTMENTS 5.1%
		Repurchase Agreement 5.1%
	$52,286,876	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $51,545,000 of United States Treasury Notes 2.125% due 1/31/21; value: $53,337,323; repurchase proceeds: $52,286,876 (cost $52,286,876)	$	52,286,876
		Total Short-Term Investments (cost $52,286,876)		52,286,876
		Total Investments (cost $1,234,505,286) 99.6%		1,020,552,969
		Other Assets less Liabilities 0.4%		4,430,919
		NET ASSETS 100.0%	$	1,024,983,888

68

SEPTEMBER 30, 2015

Shares			Value
		SECURITIES SOLD SHORT 25.7%
		Apparel Retail 1.5%
	361,998	Men’s Wearhouse, Inc. (The)	$	15,392,155
		Communications Equipment 1.1%
	181,413	Arista Networks, Inc.*		11,100,662
		Data Processing & Outsourced Services 1.9%
	421,139	Syntel, Inc.*		19,081,808
		Department Stores 2.3%
	2,564,476	JC Penney Co., Inc.*		23,823,982
		Diversified Support Services 0.4%
	113,967	Healthcare Services Group, Inc.		3,840,688
		Electric Utilities 1.3%
	459,746	Exelon Corp.		13,654,456
		Food Distributors 2.0%
	518,380	Sysco Corp.		20,201,269
		Food Retail 2.3%
	650,642	Kroger Co. (The)		23,468,657
		Health Care Equipment 2.0%
	66,850	Inogen, Inc.*		3,245,567
	536,522	Zeltiq Aesthetics, Inc.*		17,184,800
				20,430,367
		Health Care Technology 1.3%
	572,767	Veeva Systems, Inc., Class A*		13,408,475
		Home Entertainment Software 1.8%
	267,767	Electronic Arts, Inc.*		18,141,214
		Housewares & Specialties 2.6%
	544,222	Jarden Corp.*		26,601,571
		Oil & Gas Exploration & Production 0.4%
	412,944	Synergy Resources Corp.*		4,046,851
		Property & Casualty Insurance 1.3%
	355,987	First American Financial Corp.		13,908,412
		Specialized REITs 1.9%
	225,804	American Tower Corp.		19,866,236
		Specialty Stores 1.6%
	208,462	Tiffany & Co.		16,097,436
		Total Securities Sold Short (proceeds $274,609,852)		263,064,239
		*Non-income producing. ††All or a portion of this security has been designated as collateral for short sales (see Note 3). ‡‡Affiliated company (see Note 8). ADR American Depositary Receipt. REIT Real Estate Investment Trust. See Notes to Financial Statements.

At September 30, 2015, Wasatch Long/Short Fund’s investments, excluding short-term investments and securities sold short, were in the following countries (unaudited):

Country	%
Switzerland		2.0
United States		98.0
TOTAL		100.0	%

At September 30, 2015, Wasatch Long/Short Fund’s securities sold short were in the following country (unaudited):

Country	%
United States		100.0
TOTAL		100.0	%

69

WASATCH MICRO CAP FUND (WMICX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 92.3%
		Air Freight & Logistics 0.8%
	117,168	Echo Global Logistics, Inc.*	$	2,296,493
		Apparel Retail 1.0%
	167,365	Zumiez, Inc.*		2,615,915
		Apparel, Accessories & Luxury Goods 1.8%
	10,155	Page Industries Ltd. (India)		2,045,342
	166,409	Superior Uniform Group, Inc.		2,983,713
				5,029,055
		Application Software 11.1%
	349,990	Diligent Corp.* (New Zealand)		1,161,920
	58,097	Ellie Mae, Inc.*		3,867,517
	249,716	Exa Corp.*		2,579,566
	114,622	Globant S.A.* (Luxembourg)		3,506,287
	35,826	Interactive Intelligence Group, Inc.*		1,064,391
	120,179	PROS Holdings, Inc.*		2,660,763
	46,417	Tyler Technologies, Inc.*		6,930,522
	39,117	Ultimate Software Group, Inc.*		7,002,334
	110,814	Workiva, Inc.*		1,683,265
				30,456,565
		Asset Management & Custody Banks 2.3%
	15,534	Diamond Hill Investment Group, Inc.		2,889,945
	137,477	Pzena Investment Management, Inc., Class A		1,223,545
	188,366	Silvercrest Asset Management Group, Inc.		2,036,237
				6,149,727
		Automotive Retail 1.5%
	61,597	Monro Muffler Brake, Inc.		4,160,877
		Biotechnology 3.3%
	278,787	Abcam plc (United Kingdom)		2,452,262
	148,904	Argos Therapeutics, Inc.*		722,184
	176,227	ChemoCentryx, Inc.*		1,066,173
	250,157	Cytokinetics, Inc.*		1,673,550
	48,381	Esperion Therapeutics, Inc.*		1,141,308
	129,918	Inovio Pharmaceuticals, Inc.*		750,926
	210,359	Sangamo BioSciences, Inc.*		1,186,425
				8,992,828
		Data Processing & Outsourced Services 1.5%
	114,225	ExlService Holdings, Inc.*		4,218,329
		Diversified Banks 2.2%
	4,218,211	City Union Bank Ltd. (India)		5,916,813
		Diversified Capital Markets 0.8%
	63,723	HFF, Inc., Class A		2,151,289
		Electronic Equipment & Instruments 0.9%
	21,086	Mesa Laboratories, Inc.		2,348,980
		Electronic Manufacturing Services 1.0%
	36,316	IPG Photonics Corp.*		2,758,927
		Environmental & Facilities Services 0.7%
	185,549	Heritage-Crystal Clean, Inc.*		1,905,588
		Food Distributors 1.0%
	185,952	Chefs’ Warehouse, Inc. (The)*		2,633,080
		General Merchandise Stores 0.2%
	33,986	Ollie’s Bargain Outlet Holdings, Inc.*		549,554

Shares			Value
		Health Care Equipment 4.6%
	76,423	Abaxis, Inc.	$	3,361,848
	209,478	AtriCure, Inc.*		4,589,663
	46,813	Entellus Medical, Inc.*		843,570
	151,770	Novadaq Technologies, Inc.* (Canada)		1,582,961
	71,920	Oxford Immunotec Global plc*		970,920
	142,380	Tandem Diabetes Care, Inc.*		1,254,368
				12,603,330
		Health Care Facilities 1.9%
	123,265	Ensign Group, Inc. (The)		5,254,787
		Health Care REITs 2.1%
	510,134	CareTrust REIT, Inc.		5,790,021
		Health Care Services 0.3%
	31,782	ExamWorks Group, Inc.*		929,306
		Health Care Technology 0.4%
	52,886	HealthStream, Inc.*		1,153,444
		Homebuilding 4.4%
	199,825	Installed Building Products, Inc.*		5,051,576
	259,888	LGI Homes, Inc.*		7,066,355
				12,117,931
		Industrial Machinery 2.4%
	191,470	Arcam AB* (Sweden)		3,370,193
	46,181	Proto Labs, Inc.*		3,094,127
				6,464,320
		Internet Retail 1.3%
	258,154	MakeMyTrip Ltd.* (India)		3,549,618
		Internet Software & Services 7.1%
	55,331	Cornerstone OnDemand, Inc.*		1,825,923
	167,950	Envestnet, Inc.*		5,033,461
	173,301	Reis, Inc.		3,925,268
	174,000	SMS Co. Ltd. (Japan)		2,943,976
	83,193	SPS Commerce, Inc.*		5,647,973
				19,376,601
		Leisure Products 1.3%
	117,222	Malibu Boats, Inc.*		1,638,764
	144,993	MCBC Holdings, Inc.*		1,879,109
				3,517,873
		Life Sciences Tools & Services 2.4%
	122,614	Fluidigm Corp.*		994,400
	76,996	ICON plc* (Ireland)		5,464,406
				6,458,806
		Managed Health Care 2.0%
	79,148	HealthEquity, Inc.*		2,338,823
	417,436	Trupanion, Inc.*		3,151,642
				5,490,465
		Oil & Gas Equipment & Services 0.8%
	157,619	Pason Systems, Inc. (Canada)		2,212,942
		Oil & Gas Refining & Marketing 0.3%
	384,242	Amyris, Inc.*		772,326
		Pharmaceuticals 7.8%
	14,323	Aerie Pharmaceuticals, Inc.*		254,090
	96,749	Akorn, Inc.*		2,757,830
	165,043	Auris Medical Holding AG* (Switzerland)		587,553
	163,308	Cardiovascular Systems, Inc.*		2,586,799
	127,152	Cempra, Inc.*		3,539,912
	111,933	Egalet Corp.*		1,475,277
	68,934	Intra-Cellular Therapies, Inc.*		2,760,117
	139,989	Natco Pharma Ltd. (India)		5,259,003
	65,582	Phibro Animal Health Corp., Class A		2,074,359
				21,294,940

70

SEPTEMBER 30, 2015

Shares			Value
		Publishing 1.5%
	523,000	Next Co. Ltd. (Japan)	$	4,138,897
		Regional Banks 4.8%
	282,404	Avenue Financial Holdings, Inc.*		3,727,733
	125,319	Customers Bancorp, Inc.*		3,220,698
	199,010	People’s Utah Bancorp		3,245,853
	60,017	Pinnacle Financial Partners, Inc.		2,965,440
				13,159,724
		Research & Consulting Services 1.0%
	175,257	Franklin Covey Co.*		2,814,627
		Restaurants 1.2%
	83,103	Zoe’s Kitchen, Inc.*		3,281,737
		Semiconductor Equipment 1.3%
	364,281	PDF Solutions, Inc.*		3,642,810
		Semiconductors 2.1%
	55,867	NVE Corp.		2,711,784
	69,423	Power Integrations, Inc.		2,927,568
				5,639,352
		Specialty Stores 2.0%
	205,890	DavidsTea, Inc.* (Canada)		3,224,237
	60,752	Hibbett Sports, Inc.*		2,126,928
				5,351,165
		Systems Software 4.8%
	116,402	AVG Technologies N.V.*		2,531,744
	70,258	FleetMatics Group plc*		3,448,965
	260,782	Infoblox, Inc.*		4,167,296
	283,766	TubeMogul, Inc.*		2,985,218
				13,133,223
		Technology Hardware, Storage & Peripherals 1.5%
	290,211	Intevac, Inc.*		1,334,970
	1,129,520	USA Technologies, Inc.*		2,812,505
				4,147,475
		Thrifts & Mortgage Finance 1.6%
	1,050,006	Gruh Finance Ltd. (India)		4,275,369
		Trading Companies & Distributors 0.6%
	163,840	CAI International, Inc.*		1,651,507
		Trucking 0.7%
	61,233	Saia, Inc.*		1,895,161
		Total Common Stocks (cost $182,746,791)		252,301,777

Principal Amount			Value
		SHORT-TERM INVESTMENTS 3.2%
		Repurchase Agreement 3.2%
	$8,784,540	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $8,660,000 of United States Treasury Bonds 2.125% due 1/31/21; value: $8,961,126; repurchase proceeds: $8,784,540 (cost $8,784,540)	$	8,784,540
		Total Short-Term Investments (cost $8,784,540)		8,784,540
		Total Investments (cost $191,531,331) 95.5%§		261,086,317
		Other Assets less Liabilities 4.5%		12,224,526
		NET ASSETS 100.0%	$	273,310,843
		*Non-income producing. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 11.55%. REIT Real Estate Investment Trust. See Notes to Financial Statements.

At September 30, 2015, Wasatch Micro Cap Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Canada		2.8
India		8.3
Ireland		2.2
Japan		2.8
Luxembourg		1.4
New Zealand		0.5
Sweden		1.3
Switzerland		0.2
United Kingdom		1.0
United States		79.5
TOTAL		100.0	%

71

WASATCH MICRO CAP VALUE FUND (WAMVX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 84.4%
		Advertising 0.6%
	305,000	InternetQ plc* (United Kingdom)	$	1,000,703
		Airlines 1.4%
	10,000	Allegiant Travel Co.		2,162,500
		Alternative Carriers 1.3%
	100,000	inContact, Inc.*		751,000
	220,000	ORBCOMM, Inc.*		1,227,600
				1,978,600
		Application Software 2.6%
	66,000	Ebix, Inc.		1,647,360
	37,000	ESI Group* (France)		1,031,935
	42,000	Globant S.A.* (Luxembourg)		1,284,780
				3,964,075
		Asset Management & Custody Banks 1.3%
	97,000	Medallion Financial Corp.		735,260
	15,221	River and Mercantile Group plc (United Kingdom)		53,965
	55,759	Silvercrest Asset Management Group, Inc.		602,755
	6,000	Virtus Investment Partners, Inc.		603,000
				1,994,980
		Auto Parts & Equipment 1.3%
	30,000	Gentherm, Inc.*		1,347,600
	56,920	Unique Fabricating, Inc.		631,812
				1,979,412
		Automotive Retail 1.4%
	53,000	Mekonomen AB (Sweden)		1,227,228
	45,985	Yellow Hat Ltd. (Japan)		997,030
				2,224,258
		Biotechnology 1.6%
	130,000	Abcam plc (United Kingdom)		1,143,504
	80,000	Sangamo BioSciences, Inc.*		451,200
	40,000	Vitrolife AB (Sweden)		809,084
				2,403,788
		Brewers 1.2%
	900,000	Turk Tuborg Bira ve Malt Sanayii A.S.* (Turkey)		1,792,835
		Building Products 2.1%
	29,000	Caesarstone Sdot-Yam Ltd. (Israel)		881,600
	29,000	Patrick Industries, Inc.*		1,145,210
	34,000	Trex Co., Inc.*		1,133,220
				3,160,030
		Commercial Printing 0.6%
	150,000	InnerWorkings, Inc.*		937,500
		Commodity Chemicals 0.9%
	111,000	Trecora Resources*		1,378,620
		Communications Equipment 1.7%
	180,000	ShoreTel, Inc.*		1,344,600
	245,000	Telit Communications plc* (United Kingdom)		1,253,039
				2,597,639
		Construction & Engineering 0.7%
	55,643	NV5 Holdings, Inc.*		1,032,734
		Construction Materials 0.6%
	2,706,000	Dongpeng Holdings Co. Ltd. (China)		908,228
		Consumer Finance 0.6%
	24,000	Encore Capital Group, Inc.*		888,000

Shares			Value
		Diversified Banks 0.9%
	1,000,000	City Union Bank Ltd. (India)	$	1,402,683
		Electrical Components & Equipment 0.3%
	500,000	Revolution Lighting Technologies, Inc.*		475,000
		Electronic Equipment & Instruments 1.1%
	58,000	Optex Co. Ltd. (Japan)		1,072,121
	86,000	SuperCom Ltd.* (Israel)		688,000
				1,760,121
		Electronic Manufacturing Services 1.0%
	86,000	Fabrinet*		1,576,380
		Environmental & Facilities Services 0.6%
	305,000	Hudson Technologies, Inc.*		905,850
		Food Distributors 0.7%
	76,000	Chefs’ Warehouse, Inc. (The)*		1,076,160
		General Merchandise Stores 0.8%
	26,000	Seria Co. Ltd. (Japan)		1,283,632
		Health Care Distributors 0.5%
	2,300,000	Universal Health International Group Holding Ltd. (China)		759,523
		Health Care Equipment 2.6%
	75,000	AtriCure, Inc.*		1,643,250
	340,000	Bovie Medical Corp.*		673,200
	70,000	iRadimed Corp.*		1,705,200
				4,021,650
		Health Care Facilities 2.1%
	42,000	Ensign Group, Inc. (The)		1,790,460
	2,199,943	Religare Health Trust** (Singapore)		1,469,573
				3,260,033
		Health Care REITs 0.9%
	120,000	CareTrust REIT, Inc.		1,362,000
		Health Care Services 4.5%
	34,000	Air Methods Corp.*		1,159,060
	900,000	GHP Specialty Care AB* (Sweden)		687,232
	55,000	LHC Group, Inc.*		2,462,350
	73,000	National Research Corp., Class A		871,620
	350,000	Nobilis Health Corp. PIPE*		1,820,461
				7,000,723
		Health Care Supplies 2.7%
	150,000	Cerus Corp.*		681,000
	15,000	Guerbet (France)		1,067,361
	375,000	Synergetics USA, Inc.*		2,463,750
				4,212,111
		Health Care Technology 2.0%
	90,000	Nexus AG (Germany)		1,799,299
	32,000	Software Service, Inc. (Japan)		1,259,010
				3,058,309
		Home Improvement Retail 1.0%
	41,000	Hornbach Baumarkt AG (Germany)		1,534,248
		Homebuilding 2.4%
	64,000	Installed Building Products, Inc.*		1,617,920
	74,000	LGI Homes, Inc.*		2,012,060
				3,629,980

72

SEPTEMBER 30, 2015

Shares			Value
		Homefurnishing Retail 1.4%
	47,000	Kirkland’s, Inc.	$	1,012,380
	53,000	Select Comfort Corp.*		1,159,640
				2,172,020
		Hotel & Resort REITs 0.7%
	90,000	Summit Hotel Properties, Inc.		1,050,300
		Human Resource & Employment Services 0.4%
	169,999	Creek & River Co. Ltd. (Japan)		603,796
		Industrial Machinery 2.3%
	67,000	CKD Corp. (Japan)		553,966
	31,000	Hy-Lok Corp. (Korea)		893,516
	42,000	John Bean Technologies Corp.		1,606,500
	33,000	Yushin Precision Equipment Co. Ltd. (Japan)		561,844
				3,615,826
		Internet Software & Services 0.7%
	134,600	IntraLinks Holdings, Inc.*		1,115,834
		IT Consulting & Other Services 2.6%
	26,000	EPAM Systems, Inc.*		1,937,520
	96,000	Perficient, Inc.*		1,481,280
	500,000	Sysorex Global Holdings Corp.*		515,000
				3,933,800
		Leisure Products 1.4%
	36,700	Malibu Boats, Inc.*		513,066
	52,000	MCBC Holdings, Inc.*		673,920
	67,000	Nautilus, Inc.*		1,005,000
				2,191,986
		Life Sciences Tools & Services 1.1%
	41,000	INC Research Holdings, Inc., Class A*		1,640,000
		Mortgage REITs 1.7%
	260,000	Arbor Realty Trust, Inc.††		1,653,600
	51,000	Colony Capital, Inc., Class A		997,560
				2,651,160
		Packaged Foods & Meats 2.1%
	30,400	John B. Sanfilippo & Son, Inc.		1,558,304
	3,000,000	Kawan Food BHD (Malaysia)		1,647,642
				3,205,946
		Personal Products 0.8%
	30,000	Nu Skin Enterprises, Inc., Class A		1,238,400
		Pharmaceuticals 5.5%
	29,000	Cempra, Inc.*		807,360
	20,000	Intra-Cellular Therapies, Inc.*		800,800
	700,000	Lee’s Pharmaceutical Holdings Ltd. (China)		905,750
	1,300,000	Marksans Pharma Ltd. (India)		2,057,303
	160,000	Moberg Pharma AB* (Sweden)		917,214
	48,000	Natco Pharma Ltd. (India)		1,803,229
	190,000	TWi Pharmaceuticals, Inc.* (Taiwan)		1,238,678
				8,530,334
		Property & Casualty Insurance 3.3%
	140,000	1347 Property Insurance Holdings, Inc.*		1,022,000
	120,000	Atlas Financial Holdings, Inc.*		2,220,000
	208,365	Kingstone Cos., Inc.		1,806,525
				5,048,525
		Regional Banks 4.8%
	107,000	Blue Hills Bancorp, Inc.		1,481,950
	68,000	Customers Bancorp, Inc.*		1,747,600
	51,000	First of Long Island Corp. (The)		1,378,530
	111,000	Investar Holding Corp.		1,719,390
	69,000	People’s Utah Bancorp		1,125,390
				7,452,860

Shares			Value
		Research & Consulting Services 0.8%
	75,000	Franklin Covey Co.*	$	1,204,500
		Residential REITs 0.4%
	50,000	Bluerock Residential Growth REIT, Inc.		599,000
		Restaurants 0.6%
	400,000	Collins Foods Ltd. (Australia)		913,107
		Semiconductor Equipment 0.3%
	49,000	PDF Solutions, Inc.*		490,000
		Semiconductors 1.5%
	302,724	GigOptix, Inc.*		529,767
	140,000	Pixelworks, Inc.*		505,400
	96,000	Tower Semiconductor Ltd.* (Israel)		1,235,520
				2,270,687
		Soft Drinks 0.7%
	12,000,000	Pepsi-Cola Products Philippines, Inc. (Philippines)		1,052,632
		Specialty Chemicals 0.5%
	70,000	Ferro Corp.*		766,500
		Systems Software 1.2%
	85,000	AVG Technologies N.V.*		1,848,750
		Technology Hardware, Storage & Peripherals 1.2%
	28,000	KONA I Co. Ltd. (Korea)		1,042,222
	300,000	USA Technologies, Inc.*		747,000
				1,789,222
		Textiles 0.5%
	2,022,000	Best Pacific International Holdings Ltd. (China)		834,869
		Thrifts & Mortgage Finance 1.8%
	39,000	Anchor BanCorp Wisconsin, Inc.*		1,661,010
	9,000	BofI Holding, Inc.*		1,159,470
				2,820,480
		Trading Companies & Distributors 0.6%
	40,000	iMarketKorea, Inc. (Korea)		993,792
		Trucking 1.5%
	58,000	Roadrunner Transportation Systems, Inc.*		1,067,200
	42,000	Saia, Inc.*		1,299,900
				2,367,100
		Total Common Stocks (cost $104,236,134)		130,123,731
		PREFERRED STOCKS 2.0%
		Oil & Gas Refining & Marketing 0.8%
	500,000	Vertex Energy, Inc., Pfd.* *** †		1,310,000
		Pharmaceuticals 1.2%
	105,263	Acetylon Pharmaceuticals, Inc., Series B Pfd.* *** †		1,801,050
		Total Preferred Stocks (cost $1,954,999)		3,111,050
		WARRANTS 0.0%
		Oil & Gas Refining & Marketing 0.0%
	250,000	Vertex Energy, Inc., expiring 12/24/20* *** †		42,019
		Total Warrants (cost $95,000)		42,019

73

WASATCH MICRO CAP VALUE FUND (WAMVX) — Schedule of Investments (continued) SEPTEMBER 30, 2015

Principal Amount			Value
		SHORT-TERM INVESTMENTS 12.9%
		Repurchase Agreement 12.9%
	$19,808,193	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $20,230,000 of United States Treasury Notes 1.375% due 9/30/20; value: $20,204,713; repurchase proceeds: $19,808,193†† (cost $19,808,193)	$	19,808,193
		Total Short-Term Investments (cost $19,808,193)		19,808,193
		Total Investments (cost $126,094,326) 99.3%§		153,084,993
		Other Assets less Liabilities 0.7%		1,083,871
		NET ASSETS 100.0%	$	154,168,864
		*Non-income producing. **Common units. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). †Security purchased in a private placement transaction or under Rule 144A of the Securities Act of 1933 (see Note 9). ††All or a portion of this security has been designated as collateral for forward foreign currency exchange contracts. As of September 30, 2015, the contracts were no longer held; therefore, the collateral will be subsequently released. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 21.37%. PIPE Private Investment in a Public Equity. REIT Real Estate Investment Trust. See Notes to Financial Statements.

At September 30, 2015, Wasatch Micro Cap Value Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Australia		0.7
China		2.6
France		1.6
Germany		2.5
India		3.9
Israel		2.1
Japan		4.8
Korea		2.2
Luxembourg		1.0
Malaysia		1.2
Philippines		0.8
Singapore		1.1
Sweden		2.7
Taiwan		0.9
Turkey		1.3
United Kingdom		2.6
United States		68.0
TOTAL		100.0	%

74

WASATCH SMALL CAP GROWTH FUND (WAAEX) — Schedule of Investments SEPTEMBER 30, 2015

Shares			Value
		COMMON STOCKS 93.8%
		Aerospace & Defense 1.6%
	684,060	HEICO Corp., Class A	$	31,063,165
		Air Freight & Logistics 2.9%
	36,319,023	Aramex PJSC (United Arab Emirates)		31,209,777
	1,357,122	Echo Global Logistics, Inc.*		26,599,591
				57,809,368
		Airlines 2.8%
	257,301	Allegiant Travel Co.		55,641,341
		Apparel Retail 1.0%
	1,309,779	Zumiez, Inc.*		20,471,846
		Application Software 8.0%
	206,316	Globant S.A.* (Luxembourg)		6,311,206
	286,105	HubSpot, Inc.*		13,266,689
	325,401	Paylocity Holding Corp.*		9,758,776
	608,498	Ultimate Software Group, Inc.*		108,927,227
	1,070,236	Zendesk, Inc.*		21,094,352
				159,358,250
		Automotive Retail 4.1%
	621,656	Monro Muffler Brake, Inc.		41,992,863
	162,913	O’Reilly Automotive, Inc.*		40,728,250
				82,721,113
		Biotechnology 5.5%
	2,124,073	Abcam plc (United Kingdom)		18,683,735
	1,162,454	Argos Therapeutics, Inc.* ‡‡		5,637,902
	1,357,191	ChemoCentryx, Inc.*		8,211,006
	360,606	Esperion Therapeutics, Inc.*		8,506,695
	533,310	Exact Sciences Corp.*		9,594,247
	286,136	Flexion Therapeutics, Inc.*		4,251,981
	987,182	Inovio Pharmaceuticals, Inc.*		5,705,912
	2,064,571	Sangamo BioSciences, Inc.*		11,644,180
	996,987	Seattle Genetics, Inc.*		38,443,819
				110,679,477
		Consumer Finance 0.6%
	3,305,639	Mahindra & Mahindra Financial Services Ltd. (India)		12,110,713
		Data Processing & Outsourced Services 1.5%
	822,058	ExlService Holdings, Inc.*		30,358,602
		Diversified Banks 2.6%
	565,550	HDFC Bank Ltd. ADR (India)		34,549,449
	1,566,515	Yes Bank Ltd. (India)		17,503,591
				52,053,040
		Diversified Capital Markets 0.7%
	437,341	HFF, Inc., Class A		14,764,632
		Diversified Support Services 1.8%
	1,124,516	Copart, Inc.*		36,996,576
		Drug Retail 0.7%
	119,229	Cosmos Pharmaceutical Corp. (Japan)		14,033,754
		Electronic Manufacturing Services 1.7%
	438,553	IPG Photonics Corp.*		33,316,871
		Environmental & Facilities Services 0.1%
	103,023	Tetra Tech, Inc.		2,504,489
		Food Distributors 1.3%
	1,897,093	Chefs’ Warehouse, Inc. (The)* ‡‡		26,862,837

Shares			Value
		Health Care Equipment 2.1%
	597,388	Abaxis, Inc.	$	26,279,098
	117,978	DexCom, Inc.*		10,129,591
	593,260	Tandem Diabetes Care, Inc.*		5,226,621
				41,635,310
		Health Care Facilities 1.3%
	594,026	Ensign Group, Inc. (The)		25,323,328
		Health Care Services 2.2%
	1,517,267	ExamWorks Group, Inc.*		44,364,887
		Homefurnishing Retail 1.6%
	751,690	Mattress Firm Holding Corp.*		31,390,574
		Industrial Machinery 1.2%
	371,805	Proto Labs, Inc.*		24,910,935
		Internet Retail 4.7%
	828,553	Blue Nile, Inc.* ‡‡		27,789,668
	2,036,490	MakeMyTrip Ltd.* (India)		28,001,737
	678,309	Wayfair, Inc., Class A*		23,781,514
	113,995	zooplus AG* (Germany)		14,427,411
				94,000,330
		Internet Software & Services 7.8%
	500,859	Angie’s List, Inc.*		2,524,330
	138,930	Cimpress N.V.*		10,573,962
	1,926,066	Cornerstone OnDemand, Inc.*		63,560,178
	278,678	Demandware, Inc.*		14,402,079
	1,044,959	Envestnet, Inc.*		31,317,421
	305,818	Shutterstock, Inc.*		9,247,936
	356,041	SPS Commerce, Inc.*		24,171,624
				155,797,530
		IT Consulting & Other Services 1.0%
	300,808	Luxoft Holding, Inc.*		19,038,138
		Life Sciences Tools & Services 5.5%
	143,081	Bio-Techne Corp.		13,229,269
	2,003,520	Divi’s Laboratories Ltd. (India)		34,264,632
	1,233,101	Fluidigm Corp.*		10,000,449
	752,549	ICON plc* (Ireland)		53,408,402
				110,902,752
		Managed Health Care 1.2%
	612,868	HealthEquity, Inc.*		18,110,249
	804,065	Trupanion, Inc.*		6,070,691
				24,180,940
		Oil & Gas Drilling 0.1%
	343,142	Seadrill Ltd.*		2,024,538
		Oil & Gas Equipment & Services 0.9%
	156,123	Dril-Quip, Inc.*		9,089,481
	110,894	Exterran Holdings, Inc.		1,996,092
	78,835	Oceaneering International, Inc.		3,096,639
	414,825	RPC, Inc.		3,671,201
				17,853,413
		Oil & Gas Exploration & Production 0.4%
	456,863	EP Energy Corp., Class A*		2,352,844
	450,479	Northern Oil and Gas, Inc.*		1,991,117
	437,069	WPX Energy, Inc.*		2,893,397
				7,237,358
		Packaged Foods & Meats 1.3%
	286,067	GlaxoSmithKline Consumer Healthcare Ltd. (India)		26,357,039

75

WASATCH SMALL CAP GROWTH FUND (WAAEX) — Schedule of Investments (continued)

Shares			Value
		Personal Products 0.7%
	945,654	Colgate-Palmolive India Ltd. (India)	$	13,905,268
		Pharmaceuticals 2.6%
	1,363,036	Auris Medical Holding AG* (Switzerland)		4,852,408
	922,297	Cempra, Inc.*		25,676,749
	518,229	Intra-Cellular Therapies, Inc.*		20,749,889
				51,279,046
		Regional Banks 3.6%
	344,973	Bank of Hawaii Corp.		21,902,336
	563,318	Eagle Bancorp, Inc.*		25,630,969
	653,991	Glacier Bancorp, Inc.		17,258,822
	150,488	Texas Capital Bancshares, Inc.*		7,888,581
				72,680,708
		Research & Consulting Services 0.8%
	721,261	Stantec, Inc. (Canada)		15,795,616
		Restaurants 3.3%
	1,491,986	Jubilant Foodworks Ltd. (India)		36,662,175
	883,565	Papa Murphy’s Holdings, Inc.* ‡‡		12,970,734
	416,860	Zoe’s Kitchen, Inc.*		16,461,802
				66,094,711
		Semiconductors 4.3%
	538,853	Cavium, Inc.*		33,069,408
	327,364	Monolithic Power Systems, Inc.		16,761,037
	715,110	Power Integrations, Inc.		30,156,189
	161,235	Silicon Laboratories, Inc.*		6,697,702
				86,684,336
		Specialty Stores 1.1%
	481,752	Five Below, Inc.*		16,177,232
	147,974	Hibbett Sports, Inc.*		5,180,570
				21,357,802
		Systems Software 4.4%
	754,194	FleetMatics Group plc*		37,023,383
	1,229,162	Infoblox, Inc.*		19,642,009
	585,371	Qualys, Inc.*		16,659,659
	711,894	TubeMogul, Inc.*		7,489,125
	426,883	VASCO Data Security International, Inc.*		7,274,086
				88,088,262
		Trading Companies & Distributors 1.5%
	475,868	MSC Industrial Direct Co., Inc., Class A		29,042,224
		Trucking 3.3%
	2,749,883	Knight Transportation, Inc.††		65,997,192
		Total Common Stocks (cost $1,411,949,047)		1,876,688,311
		PREFERRED STOCKS 1.8%
		Biotechnology 0.0%
	677,966	Nanosys, Inc., Series D Pfd.* *** †		136,135
	161,519	Nanosys, Inc., Series E Pfd.* *** †		135,886
				272,021
		Oil & Gas Equipment & Services 0.6%
	5,818,582	Drilling Info Holdings, Inc., Series B Pfd.* *** †		12,432,564

Shares			Value
		Systems Software 1.2%
	1,114,610	DataStax, Inc., Series E Pfd.* *** †	$	8,000,002
	33,296	DocuSign, Inc., Series B Pfd. * *** †		635,724
	9,974	DocuSign, Inc., Series B-1 Pfd. * *** †		190,435
	23,905	DocuSign, Inc., Series D Pfd. * *** †		456,420
	618,152	DocuSign, Inc., Series E Pfd. * *** †		11,802,438
	157,124	DocuSign, Inc., Series F Pfd.* *** †		2,999,984
				24,085,003
		Total Preferred Stocks (cost $37,534,915)		36,789,588
		LIMITED PARTNERSHIP INTEREST 0.3%
		Asset Management & Custody Banks 0.3%
		Greenspring Global Partners II-B, L.P.* *** †		3,165,480
		Greenspring Global Partners III-B, L.P.* *** †		1,662,383
				4,827,863
		Total Limited Partnership Interest (cost $4,715,091)		4,827,863
Principal Amount			Value
		SHORT-TERM INVESTMENTS 4.4%
		Repurchase Agreement 4.4%
	$87,423,697	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $89,165,000 of United States Treasury Notes 2.125% due 1/31/21; value: $3,492,356; United States Treasury Notes 1.375% due 9/30/20; value: $85,682,763; repurchase proceeds: $87,423,697†† (cost $87,423,697)	$	87,423,697
		Total Short-Term Investments (cost $87,423,697)		87,423,697
		Total Investments (cost $1,541,622,750) 100.3%§		2,005,729,459
		Liabilities less Other Assets (0.3%)		(5,141,826	)
		NET ASSETS 100.0%	$	2,000,587,633
		*Non-income producing. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). †Security purchased in a private placement transaction or under Rule 144A of the Securities Act of 1933 (see Note 9). ††All or a portion of this security has been designated as collateral for purchase commitments (see Note 10). ‡‡Affiliated company (see Note 8). §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 9.64%. ADR American Depositary Receipt. See Notes to Financial Statements.

76

SEPTEMBER 30, 2015

At September 30, 2015, Wasatch Small Cap Growth Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Canada		0.8
Germany		0.8
India		10.6
Ireland		2.8
Japan		0.7
Luxembourg		0.3
Switzerland		0.3
United Arab Emirates		1.6
United Kingdom		1.0
United States		81.1
TOTAL		100.0	%

77

WASATCH SMALL CAP VALUE FUND (WMCVX / WICVX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 96.4%
		Aerospace & Defense 2.7%
	162,809	HEICO Corp., Class A	$	7,393,157
		Airlines 3.0%
	38,734	Allegiant Travel Co.		8,376,228
		Application Software 3.6%
	239,377	Ebix, Inc.		5,974,850
	134,602	Globant S.A.* (Luxembourg)		4,117,475
				10,092,325
		Asset Management & Custody Banks 1.1%
	29,100	Virtus Investment Partners, Inc.		2,924,550
		Auto Parts & Equipment 2.0%
	107,006	Dorman Products, Inc.*		5,445,535
		Building Products 1.0%
	88,463	Caesarstone Sdot-Yam Ltd. (Israel)		2,689,275
		Computer & Electronics Retail 1.0%
	68,516	GameStop Corp., Class A		2,823,544
		Consumer Finance 4.1%
	24,029	Credit Acceptance Corp.*		4,730,589
	64,997	PRA Group, Inc.*		3,439,641
	122,543	Shriram City Union Finance Ltd. (India)		3,163,171
				11,333,401
		Diversified Banks 2.5%
	2,552,010	City Union Bank Ltd. (India)		3,579,661
	307,077	Yes Bank Ltd. (India)		3,431,151
				7,010,812
		Diversified Support Services 1.6%
	136,892	Copart, Inc.*		4,503,747
		Electronic Manufacturing Services 1.8%
	271,187	Fabrinet*		4,970,858
		Fertilizers & Agricultural Chemicals 0.8%
	380,259	Intrepid Potash, Inc.*		2,106,635
		Footwear 4.9%
	61,940	Deckers Outdoor Corp.*		3,596,236
	74,811	Skechers U.S.A., Inc., Class A*		10,030,659
				13,626,895
		Health Care Facilities 3.1%
	201,641	Ensign Group, Inc. (The)		8,595,956
		Health Care REITs 2.8%
	684,712	CareTrust REIT, Inc.		7,771,481
		Health Care Services 4.7%
	98,051	Air Methods Corp.*		3,342,559
	218,495	LHC Group, Inc.*		9,782,021
				13,124,580
		Homebuilding 2.8%
	281,870	LGI Homes, Inc.*		7,664,045
		Homefurnishing Retail 3.7%
	232,187	Kirkland’s, Inc.		5,001,308
	237,961	Select Comfort Corp.*		5,206,587
				10,207,895
		Hotel & Resort REITs 2.6%
	607,299	Summit Hotel Properties, Inc.		7,087,179

Shares			Value
		Internet Software & Services 2.3%
	84,138	Cimpress N.V.*	$	6,403,743
		IT Consulting & Other Services 3.5%
	53,755	EPAM Systems, Inc.*		4,005,823
	89,041	Luxoft Holding, Inc.*		5,635,405
				9,641,228
		Life Sciences Tools & Services 1.0%
	38,026	ICON plc* (Ireland)		2,698,705
		Mortgage REITs 6.2%
	949,169	Arbor Realty Trust, Inc.		6,036,715
	273,865	Colony Capital, Inc., Class A		5,356,800
	858,899	MFA Financial, Inc.		5,849,102
				17,242,617
		Oil & Gas Equipment & Services 0.8%
	169,223	Geospace Technologies Corp.*		2,336,970
		Oil & Gas Exploration & Production 0.8%
	1,086,218	Gran Tierra Energy, Inc.* (Colombia)		2,313,644
		Oil & Gas Refining & Marketing 1.4%
	105,136	World Fuel Services Corp.		3,763,869
		Personal Products 2.7%
	180,055	Nu Skin Enterprises, Inc., Class A		7,432,670
		Pharmaceuticals 2.9%
	154,636	Egalet Corp.*		2,038,103
	3,707,803	Marksans Pharma Ltd. (India)		5,867,748
				7,905,851
		Regional Banks 11.5%
	239,208	Avenue Financial Holdings, Inc.*		3,157,546
	293,901	Customers Bancorp, Inc.*		7,553,256
	116,419	MidSouth Bancorp, Inc.		1,362,102
	178,417	People’s Utah Bancorp		2,909,981
	150,328	Pinnacle Financial Partners, Inc.		7,427,706
	88,551	Prosperity Bancshares, Inc.		4,348,740
	141,617	Webster Financial Corp.		5,045,814
				31,805,145
		Research & Consulting Services 1.2%
	214,023	Franklin Covey Co.*		3,437,209
		Semiconductor Equipment 1.6%
	435,382	PDF Solutions, Inc.*		4,353,820
		Semiconductors 2.5%
	202,284	Diodes, Inc.*		4,322,809
	378,402	Sigma Designs, Inc.*		2,607,190
				6,929,999
		Systems Software 3.5%
	443,264	AVG Technologies N.V.*		9,640,992
		Technology Distributors 1.3%
	351,561	Electro Rent Corp.		3,649,203
		Trucking 3.4%
	133,864	Knight Transportation, Inc.		3,212,736
	39,252	Old Dominion Freight Line, Inc.*		2,394,372
	81,510	Saia, Inc.*		2,522,734
	82,761	Universal Truckload Services, Inc.		1,288,589
				9,418,431
		Total Common Stocks (cost $224,021,507)		266,722,194

78

SEPTEMBER 30, 2015

Shares			Value
		LIMITED PARTNERSHIP INTEREST 1.3%
		Oil & Gas Storage & Transportation 1.3%
	119,053	Delek Logistics Partners L.P.	$	3,595,401
		Total Limited Partnership Interest (cost $5,184,560)		3,595,401
Principal Amount			Value
		SHORT-TERM INVESTMENTS 3.1%
		Repurchase Agreement 3.1%
	$8,564,540	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $8,445,000 of United States Treasury Notes 2.125% due 1/31/21; value: $8,738,650; repurchase proceeds: $8,564,540 (cost $8,564,540)	$	8,564,540
		Total Short-Term Investments (cost $8,564,540)		8,564,540
		Total Investments (cost $237,770,607) 100.8%§		278,882,135
		Liabilities less Other Assets (0.8%)		(2,286,873	)
		NET ASSETS 100.0%	$	276,595,262
		*Non-income producing. §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 5.80%. REIT Real Estate Investment Trust. See Notes to Financial Statements.

At September 30, 2015, Wasatch Small Cap Value Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Colombia		0.9
India		5.9
Ireland		1.0
Israel		1.0
Luxembourg		1.5
United States		89.7
TOTAL		100.0	%

79

WASATCH STRATEGIC INCOME FUND (WASIX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 83.1%
		Asset Management & Custody Banks 11.2%
	162,237	American Capital Senior Floating Ltd.	$	1,799,208
	17,000	Ameriprise Financial, Inc.		1,855,210
	101,500	FS Investment Corp.		945,980
	449,050	Medallion Financial Corp.		3,403,799
	134,379	NorthStar Asset Management Group, Inc.		1,929,683
				9,933,880
		Automotive Retail 0.5%
	8,300	Penske Automotive Group, Inc.		402,052
		Broadcasting 3.8%
	85,100	CBS Corp., Class B		3,395,490
		Cable & Satellite 2.1%
	32,700	Comcast Corp., Class A		1,859,976
		Consumer Finance 6.2%
	37,030	Capital One Financial Corp.		2,685,416
	53,200	Discover Financial Services		2,765,868
				5,451,284
		Data Processing & Outsourced Services 6.3%
	30,200	MasterCard, Inc., Class A		2,721,624
	40,440	Visa, Inc., Class A		2,817,050
				5,538,674
		Diversified REITs 4.8%
	303,100	NorthStar Realty Finance Corp.		3,743,285
	355,714	Star Asia Financial Ltd.* *** †		533,571
				4,276,856
		Fertilizers & Agricultural Chemicals 2.8%
	29,000	Monsanto Co.		2,474,860
		Integrated Oil & Gas 3.7%
	123,785	Suncor Energy, Inc. (Canada)		3,306,307
		Integrated Telecommunication Services 1.0%
	20,200	Verizon Communications, Inc.		878,902
		Mortgage REITs 25.1%
	60,000	American Capital Mortgage Investment Corp.		884,400
	264,000	Capstead Mortgage Corp.		2,610,960
	130,491	Colony Capital, Inc., Class A		2,552,404
	183,200	Great Ajax Corp.		2,266,184
	600,000	MFA Financial, Inc.		4,086,000
	150,000	New Residential Investment Corp.		1,965,000
	159,200	Starwood Property Trust, Inc.		3,266,784
	289,000	Two Harbors Investment Corp.		2,548,980
	153,568	ZAIS Financial Corp.		2,057,811
				22,238,523
		Office REITs 2.0%
	85,000	Gramercy Property Trust, Inc.		1,765,450
		Oil & Gas Exploration & Production 0.6%
	98,492	Evolution Petroleum Corp.		546,631
		Personal Products 5.2%
	33,274	Herbalife Ltd.*		1,813,433
	68,500	Nu Skin Enterprises, Inc., Class A		2,827,680
				4,641,113

Shares			Value
		Railroads 2.1%
	32,600	Canadian National Railway Co. (Canada)	$	1,848,846
		Technology Hardware, Storage & Peripherals 1.9%
	15,600	Apple, Inc.		1,720,680
		Trading Companies & Distributors 3.8%
	114,200	TAL International Group, Inc.*		1,561,114
	8,430	W.W. Grainger, Inc.		1,812,534
				3,373,648
		Total Common Stocks (cost $76,674,884)		73,653,172
		EXCHANGE-TRADED FUNDS 0.9%
		Asset Management & Custody Banks 0.9%
	12,500	PowerShares Dynamic Pharmaceuticals Portfolio		829,375
		Total Exchange-Traded Funds (cost $360,108)		829,375
		LIMITED PARTNERSHIP INTEREST 11.1%
		Asset Management & Custody Banks 7.7%
	109,500	Blackstone Group L.P.		3,467,865
	201,000	KKR & Co. L.P.		3,372,780
				6,840,645
		Oil & Gas Storage & Transportation 3.4%
	49,582	Magellan Midstream Partners L.P.		2,980,374
		Total Limited Partnership Interest (cost $11,432,482)		9,821,019
Principal Amount			Value
		CORPORATE BONDS 0.0%
		Gold 0.0%
	$206,604	Redcorp Ventures Ltd., 13.00%, 7/11/12, Series D* *** † §§ (Canada)	$	804
		Total Corporate Bonds (cost $152,583)		804

80

SEPTEMBER 30, 2015

Principal Amount			Value
	SHORT-TERM INVESTMENTS 3.4%
	Repurchase Agreement 3.4%
$ 3,032,863	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $2,990,000 of United States Treasury Notes 2.125% due 1/31/21; value: $3,093,968; repurchase proceeds: $3,032,863 (cost $3,032,863)	$	3,032,863
	Total Short-Term Investments (cost $3,032,863)		3,032,863
	Total Investments (cost $91,652,920) 98.5%		87,337,233
	Other Assets less Liabilities 1.5%		1,323,690
	NET ASSETS 100.0%	$	88,660,923
	*Non-income producing. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). †Security purchased in a private placement transaction or under Rule 144A of the Securities Act of 1933 (see Note 9). §§In default. REIT Real Estate Investment Trust. See Notes to Financial Statements.

At September 30, 2015, Wasatch Strategic Income Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Canada		6.1
United States		93.9
TOTAL		100.0	%

81

WASATCH ULTRA GROWTH FUND (WAMCX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 92.2%
		Air Freight & Logistics 1.1%
	56,079	Echo Global Logistics, Inc.*	$	1,099,148
		Application Software 8.8%
	94,652	Exa Corp.*		977,755
	37,296	Globant S.A.* (Luxembourg)		1,140,885
	24,367	Interactive Intelligence Group, Inc.*		723,944
	44,694	Paylocity Holding Corp.*		1,340,373
	24,323	QLIK Technologies, Inc.*		886,573
	14,001	Ultimate Software Group, Inc.*		2,506,319
	42,128	Zendesk, Inc.*		830,343
				8,406,192
		Biotechnology 7.9%
	83,574	Argos Therapeutics, Inc.*		405,334
	19,052	Bellicum Pharmaceuticals, Inc.*		276,825
	84,974	ChemoCentryx, Inc.*		514,093
	226,041	Cytokinetics, Inc.*		1,512,214
	17,871	Esperion Therapeutics, Inc.*		421,577
	16,638	Exact Sciences Corp.*		299,318
	5,060	Flexion Therapeutics, Inc.*		75,192
	95,791	Inovio Pharmaceuticals, Inc.*		553,672
	244,503	Sangamo BioSciences, Inc.*		1,378,997
	56,318	Seattle Genetics, Inc.*		2,171,622
				7,608,844
		Building Products 1.3%
	15,795	Caesarstone Sdot-Yam Ltd. (Israel)		480,168
	22,323	Trex Co., Inc.*		744,026
				1,224,194
		Diversified Banks 2.9%
	1,048,081	City Union Bank Ltd. (India)		1,470,125
	122,051	Yes Bank Ltd. (India)		1,363,748
				2,833,873
		Electronic Manufacturing Services 1.9%
	23,441	IPG Photonics Corp.*		1,780,813
		Environmental & Facilities Services 1.3%
	25,556	Waste Connections, Inc.		1,241,511
		Food Distributors 0.6%
	43,002	Chefs’ Warehouse, Inc. (The)*		608,908
		Footwear 1.9%
	13,890	Skechers U.S.A., Inc., Class A*		1,862,371
		General Merchandise Stores 0.2%
	11,965	Ollie’s Bargain Outlet Holdings, Inc.*		193,474
		Health Care Equipment 6.0%
	103,505	AtriCure, Inc.*		2,267,794
	49,546	Entellus Medical, Inc.*		892,819
	88,590	Novadaq Technologies, Inc.* (Canada)		923,994
	73,852	Oxford Immunotec Global plc*		997,002
	71,967	Tandem Diabetes Care, Inc.*		634,029
				5,715,638
		Homebuilding 3.4%
	28,692	Installed Building Products, Inc.*		725,334
	92,322	LGI Homes, Inc.*		2,510,235
				3,235,569
		Industrial Machinery 3.2%
	63,000	Arcam AB* (Sweden)		1,108,906
	29,136	Proto Labs, Inc.*		1,952,112
				3,061,018

Shares			Value
		Internet Retail 1.9%
	91,178	MakeMyTrip Ltd.* (India)	$	1,253,698
	16,655	Wayfair, Inc., Class A*		583,924
				1,837,622
		Internet Software & Services 11.3%
	21,769	Cimpress N.V.*		1,656,838
	75,169	Cornerstone OnDemand, Inc.*		2,480,577
	37,418	Cvent, Inc.*		1,259,490
	27,424	Demandware, Inc.*		1,417,272
	46,829	Reis, Inc.		1,060,677
	44,595	SciQuest, Inc.*		445,950
	19,192	Shutterstock, Inc.*		580,366
	28,084	SPS Commerce, Inc.*		1,906,623
	91,388	Xtera Communications, Inc.* *** †		914
				10,808,707
		IT Consulting & Other Services 1.7%
	16,311	Cognizant Technology Solutions Corp., Class A*		1,021,231
	9,668	Luxoft Holding, Inc.*		611,888
				1,633,119
		Life Sciences Tools & Services 1.6%
	46,713	Fluidigm Corp.*		378,842
	16,347	ICON plc* (Ireland)		1,160,147
				1,538,989
		Managed Health Care 1.4%
	26,757	HealthEquity, Inc.*		790,669
	71,667	Trupanion, Inc.*		541,086
				1,331,755
		Oil & Gas Equipment & Services 0.2%
	2,358	Core Laboratories N.V.		235,328
		Oil & Gas Exploration & Production 0.2%
	18,589	EP Energy Corp., Class A*		95,733
	20,479	WPX Energy, Inc.*		135,571
				231,304
		Oil & Gas Refining & Marketing 0.3%
	144,050	Amyris, Inc.*		289,541
		Packaged Foods & Meats 1.3%
	13,674	GlaxoSmithKline Consumer Healthcare Ltd. (India)		1,259,866
		Pharmaceuticals 5.5%
	20,530	Aerie Pharmaceuticals, Inc.*		364,202
	112,091	Auris Medical Holding AG* (Switzerland)		399,044
	71,810	Cardiovascular Systems, Inc.*		1,137,470
	30,172	Cempra, Inc.*		839,989
	86,868	Egalet Corp.*		1,144,920
	34,900	Intra-Cellular Therapies, Inc.*		1,397,396
				5,283,021
		Regional Banks 2.4%
	83,652	Avenue Financial Holdings, Inc.*		1,104,206
	45,797	Customers Bancorp, Inc.*		1,176,983
				2,281,189
		Restaurants 1.9%
	46,033	Jubilant Foodworks Ltd. (India)		1,131,157
	16,943	Zoe’s Kitchen, Inc.*		669,079
				1,800,236
		Semiconductor Equipment 1.8%
	174,405	PDF Solutions, Inc.*		1,744,050

82

SEPTEMBER 30, 2015

Shares			Value
		Semiconductors 4.8%
	22,558	Cavium, Inc.*	$	1,384,384
	20,591	Monolithic Power Systems, Inc.		1,054,259
	14,675	NVE Corp.		712,325
	34,760	Power Integrations, Inc.		1,465,829
				4,616,797
		Specialized Consumer Services 0.5%
	52,963	LifeLock, Inc.*		463,956
		Specialized Finance 0.7%
	22,618	CRISIL Ltd. (India)		634,932
		Specialty Chemicals 3.0%
	39,512	Balchem Corp.		2,401,144
	468,099	EcoSynthetix, Inc.* (Canada)		462,424
				2,863,568
		Specialty Stores 1.3%
	48,380	DavidsTea, Inc.* (Canada)		757,631
	15,224	Five Below, Inc.*		511,222
				1,268,853
		Systems Software 8.4%
	61,254	FleetMatics Group plc*		3,006,959
	85,126	Infoblox, Inc.*		1,360,314
	5,798	NetSuite, Inc.*		486,452
	49,946	Qualys, Inc.*		1,421,463
	126,699	TubeMogul, Inc.*		1,332,873
	28,472	VASCO Data Security International, Inc.*		485,163
				8,093,224
		Technology Hardware, Storage & Peripherals 0.5%
	105,948	Intevac, Inc.*		487,361
		Trucking 1.0%
	38,441	Knight Transportation, Inc.		922,584
		Total Common Stocks (cost $74,414,576)		88,497,555
		PREFERRED STOCKS 1.7%
		Biotechnology 0.1%
	169,492	Nanosys, Inc., Series D Pfd.* *** †		34,034
	40,380	Nanosys, Inc., Series E Pfd.* *** †		33,972
				68,006
		Health Care Technology 0.6%
	253,064	Data Sciences International, Inc., Series B Pfd.* *** †		574,126
		Oil & Gas Equipment & Services 1.0%
	435,920	Drilling Info Holdings, Inc., Series B Pfd.* *** †		931,430
		Total Preferred Stocks (cost $2,171,238)		1,573,562

Shares			Value
		LIMITED PARTNERSHIP INTEREST 4.7%
		Asset Management & Custody Banks 4.7%
		Greenspring Global Partners II-B, L.P.* *** †	$	2,848,919
		Greenspring Global Partners III-B, L.P.* *** †		1,662,383
				4,511,302
		Total Limited Partnership Interest (cost $4,393,786)		4,511,302
Principal Amount			Value
		SHORT-TERM INVESTMENTS 1.6%
		Repurchase Agreement 1.6%
	$1,582,068	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $1,620,000 of United States Treasury Notes 1.375% due 9/30/20; value: $1,617,975; repurchase proceeds: $1,582,068†† (cost $1,582,068)	$	1,582,068
		Total Short-Term Investments (cost $1,582,068)		1,582,068
		Total Investments (cost $82,561,668) 100.2%§		96,164,487
		Liabilities less Other Assets (0.2%)		(149,195	)
		NET ASSETS 100.0%	$	96,015,292
		*Non-income producing. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). †Security purchased in a private placement transaction or under Rule 144A of the Securities Act of 1933 (see Note 9). ††All or a portion of this security has been designated as collateral for purchase commitments (see Note 10). §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 5.95%. See Notes to Financial Statements.

At September 30, 2015, Wasatch Ultra Growth Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Canada		2.3
India		7.5
Ireland		1.2
Israel		0.5
Luxembourg		1.2
Sweden		1.2
Switzerland		0.4
United States		85.7
TOTAL		100.0	%

83

WASATCH WORLD INNOVATORS FUND (WAGTX) — Schedule of Investments

Shares			Value
		COMMON STOCKS 90.2%
		Aerospace & Defense 1.9%
	252,743	Avon Rubber plc (United Kingdom)	$	3,495,484
		Alternative Carriers 2.1%
	767,227	Gamma Communications plc (United Kingdom)		3,979,933
		Application Software 0.3%
	11,723	Cresco Ltd. (Japan)		165,975
	44,534	Fukui Computer Holdings, Inc. (Japan)		306,068
				472,043
		Asset Management & Custody Banks 2.9%
	34,290	Ameriprise Financial, Inc.		3,742,068
	122,075	NorthStar Asset Management Group, Inc.		1,752,997
				5,495,065
		Automotive Retail 5.9%
	303,000	Mekonomen AB (Sweden)		7,016,038
	40,000	Penske Automotive Group, Inc.		1,937,600
	95,876	Yellow Hat Ltd. (Japan)		2,078,749
				11,032,387
		Biotechnology 5.1%
	683,945	Abcam plc (United Kingdom)		6,016,105
	180,800	Bioventix plc (United Kingdom)		3,023,032
	64,655	OPKO Health, Inc.*		543,749
				9,582,886
		Broadcasting 2.9%
	90,100	CBS Corp., Class B		3,594,990
	70,152	Discovery Communications, Inc.*		1,826,057
				5,421,047
		Cable & Satellite 1.6%
	51,182	Comcast Corp., Class A		2,911,232
		Communications Equipment 0.3%
	18,223	EVS Broadcast Equipment S.A. (Belgium)		470,755
		Computer & Electronics Retail 0.2%
	69,467	FTGroup Co. Ltd. (Japan)		373,264
		Construction Machinery & Heavy Trucks 0.3%
	53,594	Morita Holdings Corp. (Japan)		494,914
		Consumer Electronics 1.9%
	741,454	Sprue Aegis plc (United Kingdom)		3,545,568
		Consumer Finance 8.9%
	74,500	Capital One Financial Corp.		5,402,740
	111,000	Discover Financial Services		5,770,890
	49,000	Encore Capital Group, Inc.*		1,813,000
	35,300	PRA Group, Inc.*		1,868,076
	232,000	SLM Corp.*		1,716,800
				16,571,506
		Data Processing & Outsourced Services 4.1%
	42,150	MasterCard, Inc., Class A		3,798,558
	54,980	Visa, Inc., Class A		3,829,907
				7,628,465
		Education Services 1.6%
	644,000	Kroton Educacional S.A. (Brazil)		1,248,363
	53,415	TAL Education Group ADR* (China)		1,717,292
				2,965,655

Shares			Value
		Fertilizers & Agricultural Chemicals 1.5%
	33,200	Monsanto Co.	$	2,833,288
		Food Retail 1.9%
	49,469	Arcs Co. Ltd. (Japan)		932,214
	441,449	Majestic Wine plc (United Kingdom)		2,518,545
				3,450,759
		Health Care Distributors 0.7%
	38,577	Dvx, Inc. (Japan)		340,328
	5,000	McKesson Corp.		925,150
				1,265,478
		Health Care Equipment 2.9%
	95,600	DiaSorin S.p.A. (Italy)		4,182,963
	121,416	Nikkiso Co. Ltd. (Japan)		812,685
	72	Sorin S.p.A.* (Italy)		208
	20,002	Techno Medica Co. Ltd. (Japan)		413,330
				5,409,186
		Health Care Services 0.5%
	34,286	BML, Inc. (Japan)		954,938
		Health Care Supplies 2.8%
	2,273,388	Advanced Medical Solutions Group plc (United Kingdom)		5,280,365
		Health Care Technology 2.6%
	64,002	Computer Programs and Systems, Inc.		2,696,404
	55,451	Software Service, Inc. (Japan)		2,181,668
				4,878,072
		Home Entertainment Software 5.6%
	169,692	Activision Blizzard, Inc.††		5,241,786
	183,127	Take-Two Interactive Software, Inc.*		5,261,239
				10,503,025
		Home Improvement Retail 0.5%
	39,599	Arcland Sakamoto Co. Ltd. (Japan)		852,891
		Homebuilding 0.3%
	7,886	Token Corp. (Japan)		593,354
		Household Appliances 0.5%
	65,953	SodaStream International Ltd.* (Israel)		907,513
		Human Resource & Employment Services 0.9%
	241,646	Creek & River Co. Ltd. (Japan)		858,270
	65,323	WDB Holdings Co. Ltd. (Japan)		756,865
				1,615,135
		Hypermarkets & Super Centers 1.1%
	14,216	Costco Wholesale Corp.		2,055,207
		Industrial Machinery 1.2%
	26,314	Arcam AB* (Sweden)		463,170
	53,797	Fukushima Industries Corp. (Japan)		1,090,974
	44,406	SLM Solutions Group AG* (Germany)		730,415
				2,284,559
		Internet Retail 3.9%
	4,748	Amazon.com, Inc.*		2,430,454
	62,573	Oisix, Inc.* (Japan)		1,136,340
	2,325	Priceline Group, Inc. (The)*		2,875,699
	68,009	Rakuten, Inc. (Japan)		869,756
				7,312,249
		Internet Software & Services 3.3%
	20,800	Alibaba Group Holding Ltd. ADR* (China)		1,226,576
	6,015	Alphabet, Inc., Class A*		3,839,796
	292,017	NetGem S.A. (France)		717,609

84

SEPTEMBER 30, 2015

Shares			Value
		Internet Software & Services (continued)
	6,528	Xtera Communications, Inc.* *** †	$	65
	13,744	Zillow Group, Inc., Class A*		394,865
				6,178,911
		IT Consulting & Other Services 3.1%
	91,614	Cognizant Technology Solutions Corp., Class A*		5,735,952
		Leisure Products 1.8%
	1,383,283	Photo-Me International plc (United Kingdom)		3,288,953
		Life Sciences Tools & Services 1.3%
	17,490	Tecan Group AG (Switzerland)		2,460,756
		Movies & Entertainment 0.5%
	22,331	Viacom, Inc., Class B		963,583
		Oil & Gas Equipment & Services 0.3%
	5,100	Core Laboratories N.V.		508,980
		Oil & Gas Refining & Marketing 2.2%
	115,900	World Fuel Services Corp.		4,149,220
		Personal Products 2.9%
	33,601	Herbalife Ltd.*		1,831,254
	85,200	Nu Skin Enterprises, Inc., Class A		3,517,056
				5,348,310
		Pharmaceuticals 1.8%
	19,163	Valeant Pharmaceuticals International, Inc.* (Canada)		3,418,296
		Publishing 0.9%
	80,871	New York Times Co. (The)		955,087
	81,433	Next Co. Ltd. (Japan)		644,441
				1,599,528
		Real Estate Services 0.6%
	27,774	Century 21 Real Estate of Japan Ltd. (Japan)		253,156
	6,500	Jones Lang LaSalle, Inc.		934,505
				1,187,661
		Semiconductors 1.6%
	137,000	ARM Holdings plc (United Kingdom)		1,968,829
	250,000	Taiwan Semiconductor Manufacturing Co. Ltd. (Taiwan)		1,001,919
				2,970,748
		Specialty Stores 0.6%
	26,706	Fenix Outdoor International AG (Sweden)		1,061,045
		Systems Software 0.9%
	21,000	Check Point Software Technologies Ltd.* (Israel)		1,665,930
		Technology Hardware, Storage & Peripherals 0.5%
	6,814	Apple, Inc.		751,584
	156,800	Asetek A/S* (Norway)		199,558
				951,142
		Wireless Telecommunication Services 1.0%
	146,600	MTN Group Ltd. (South Africa)		1,885,037
		Total Common Stocks (cost $154,031,350)		168,010,275

Shares			Value
		LIMITED PARTNERSHIP INTEREST 0.1%
		Asset Management & Custody Banks 0.1%
		Greenspring Global Partners II-B, L.P.* *** †	$	316,546
		Total Limited Partnership Interest (cost $321,292)		316,546
Principal Amount			Value
		SHORT-TERM INVESTMENTS 7.8%
		Repurchase Agreement 7.8%
	$14,459,758	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $14,255,000 of United States Treasury Notes 2.125% due 1/31/21; value: $14,750,675; repurchase proceeds: $14,459,758†† (cost $14,459,758)	$	14,459,758
		Total Short-Term Investments (cost $14,459,758)		14,459,758
		Total Investments (cost $168,812,400) 98.1%§		182,786,579
		Other Assets less Liabilities 1.9%		3,485,444
		NET ASSETS 100.0%	$	186,272,023
		*Non-income producing. ***Security was fair valued under procedures adopted by the Board of Trustees (see Note 13). †Security purchased in a private placement transaction or under Rule 144A of the Securities Act of 1933 (see Note 9). ††All or a portion of this security has been designated as collateral for purchase commitments (see Note 10). §The aggregate amount of foreign securities fair valued pursuant to a systematic valuation model as a percent of net assets was 29.86%. ADR American Depositary Receipt. See Notes to Financial Statements.

At September 30, 2015, Wasatch World Innovators Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Belgium		0.3
Brazil		0.7
Canada		2.0
China		1.8
France		0.4
Germany		0.4
Israel		1.5
Italy		2.5
Japan		9.6
Norway		0.1
South Africa		1.1
Sweden		5.1
Switzerland		1.5
Taiwan		0.6
United Kingdom		19.7
United States		52.7
TOTAL		100.0	%

85

WASATCH-1ST SOURCE INCOME FUND (FMEQX) — Schedule of Investments

Principal Amount			Value
		ASSET-BACKED SECURITIES 7.1%
	$1,000,000	Avis Budget Rental Car Funding AESOP, LLC, 2.50%, 7/20/21, Series 2015-1A, Class A	$	1,008,636
	500,000	Avis Budget Rental Car Funding AESOP, LLC, 2.63%, 12/20/21, Series 2015-2A, Class A		505,601
	1,500,000	Citibank Credit Card Issuance Trust, 5.65%, 9/20/19, Series 2007-A8, Class A8		1,630,432
	267,685	Cronos Containers Program I Ltd., 3.27%, 11/18/29, Series 2014-2A, Class A (Bermuda)		272,314
	1,250,000	GE Capital Credit Card Master Note Trust, 2.22%, 1/15/22, Series 2012-2, Class A		1,270,256
	1,000,000	Hertz Vehicle Financing, LLC, 1.83%, 8/25/19, Series 2013-1A, Class A2		996,879
	585,000	World Financial Network Credit Card Master Trust, 1.76%, 5/17/21, Series 2012-B, Class A		590,414
	1,400,000	World Financial Network Credit Card Master Trust, 3.14%, 1/17/23, Series 2012-A, Class A		1,465,342
		Total Asset-Backed Securities (cost $7,754,133)		7,739,874
		COLLATERALIZED MORTGAGE OBLIGATIONS 18.1%
	1,000,000	Banc of America Commercial Mortgage Trust, 5.784%, 4/10/49, Series 2007-2, Class A4†††		1,037,615
	336,426	Federal Home Loan Mortgage Corp., 1.50%, 9/15/22, Series 3760, Class BA		337,730
	656,598	Federal Home Loan Mortgage Corp., 1.50%, 7/15/23, Series 4221, Class HJ		658,685
	40,921	Federal Home Loan Mortgage Corp., 1.50%, 4/15/24, Series 3780, Class TA		41,275
	60,701	Federal Home Loan Mortgage Corp., 2.431%, 12/1/32, Series 847527†††		64,722
	60,043	Federal Home Loan Mortgage Corp., 2.472%, 5/1/31, Series 847292†††		63,417
	13,802	Federal Home Loan Mortgage Corp., 2.48%, 8/1/33, Series 847281†††		14,338
	168,782	Federal Home Loan Mortgage Corp., 3.022%, 1/1/25, Series 775629†††		176,987
	104,620	Federal Home Loan Mortgage Corp., 3.063%, 5/1/25, Series 775617†††		111,008
	363,738	Federal Home Loan Mortgage Corp., 3.50%, 6/15/25, Series 4057, Class VB		389,356
	710,000	Federal Home Loan Mortgage Corp., 3.50%, 7/15/45, Series 4495, Class JC		705,951
	468,743	Federal Home Loan Mortgage Corp., 4.00%, 11/15/38, Series 3740, Class AB		495,473
	39,119	Federal Home Loan Mortgage Corp., 5.50%, 10/1/25, Series C90925		43,338
	160,545	Federal Home Loan Mortgage Corp., 5.50%, 8/1/29, Series C46102		179,845
	254,464	Federal National Mortgage Assoc., 2.034%, 12/1/35, Series 848390†††		266,893
	367,789	Federal National Mortgage Assoc., 2.055%, 1/1/35, Series 825245†††		388,113
	91,411	Federal National Mortgage Assoc., 2.16%, 11/1/34, Series 782320†††		96,803
	1,000,000	Federal National Mortgage Assoc., 2.42%, 4/1/22		1,021,423
	74,607	Federal National Mortgage Assoc., 2.434%, 2/1/21, Series 313380†††		76,344

Principal Amount			Value
		COLLATERALIZED MORTGAGE OBLIGATIONS (continued)
	$      49,824	Federal National Mortgage Assoc., 2.758%, 1/1/18, Series 57735†††	$	49,960
	1,029,134	Federal National Mortgage Assoc., 3.00%, 1/1/28, Series AB7546		1,076,639
	112,968	Federal National Mortgage Assoc., 3.50%, 6/25/23, Series 2003-46, Class LD		117,811
	1,495,374	Federal National Mortgage Assoc., 3.50%, 6/1/32, Series AL2525		1,589,619
	953,659	Federal National Mortgage Assoc., 3.50%, 5/1/33, Series AB9412		1,009,610
	104,110	Federal National Mortgage Assoc., 3.875%, 1/25/39, Series 2009-2, Class WJ		110,144
	11,064	Federal National Mortgage Assoc., 4.00%, 10/25/32, Series 2003-28, Class GA		11,113
	512,000	Federal National Mortgage Assoc., 4.00%, 9/25/33, Series 2014-67, Class VK		558,985
	57,293	Federal National Mortgage Assoc., 4.079%, 7/1/19, Series 070377†††		59,779
	784,404	Federal National Mortgage Assoc., 4.55%, 10/1/33		800,349
	186,031	Federal National Mortgage Assoc., 5.50%, 5/25/23, Series 2003-42, Class EK		205,370
	346,169	Federal National Mortgage Assoc., 8.206%, 11/25/44, Series 2014-73, Class US†††		352,377
	394,003	Government National Mortgage Assoc., 1.625%, 9/20/34, Series 81054†††		410,554
	196,072	Government National Mortgage Assoc., 1.75%, 1/20/30, Series 80364†††		203,444
	469,449	Government National Mortgage Assoc., 1.75%, 6/20/30, Series 80416†††		482,491
	134,618	Government National Mortgage Assoc., 2.125%, 7/20/34, Series 80987†††		139,663
	297,874	Government National Mortgage Assoc., 3.00%, 8/20/38, Series 2010-47, Class CG		303,164
	222,123	Government National Mortgage Assoc., 3.00%, 12/20/38, Series 2010-89, Class PA		224,973
	565,068	Government National Mortgage Assoc., 3.00%, 5/20/39, Series 2010-68, Class YE		585,984
	259,874	Government National Mortgage Assoc., 3.50%, 1/20/37, Series 2009-31, Class PD		261,685
	587,736	Government National Mortgage Assoc., 3.50%, 7/20/40, Series 2012-10, Class LA		619,276
	58,122	Government National Mortgage Assoc., 4.00%, 6/20/38, Series 2009-69, Class WC		58,843
	404,204	Government National Mortgage Assoc., 4.00%, 9/20/38, Series 2009-108, Class WG		421,267
	346,066	Government National Mortgage Assoc., 4.00%, 3/20/39, Series 2009-31, Class TA		363,779
	352,484	Government National Mortgage Assoc., 4.00%, 4/16/39, Series 2009-110, Class AB		377,839
	309,087	Government National Mortgage Assoc., 4.00%, 8/20/39, Series 2009-69, Class PV		332,819
	186,589	Government National Mortgage Assoc., 4.50%, 2/20/38, Series 2009-55, Class NP		199,454
	304,658	Government National Mortgage Assoc., 4.50%, 3/20/39, Series 2009-14, Class AG		330,015
	268,545	Government National Mortgage Assoc., 5.00%, 7/20/34, Series 2004-105, Class MC		278,789
	34,837	Government National Mortgage Assoc., 5.00%, 8/20/39, Series 004513		36,766
	460,861	Government National Mortgage Assoc., 8.268%, 4/20/45, Series 2015-53, Class US, INV FL†††		474,381
	982,431	LB-UBS Commercial Mortgage Trust, 5.858%, 7/15/40, Series 2007-C6, Class A4†††		1,024,116

86

SEPTEMBER 30, 2015

Principal Amount			Value
		COLLATERALIZED MORTGAGE OBLIGATIONS (continued)
	$    330,343	RBSCF Trust, 6.15%, 2/16/51, Series 2010-RR3, Class WBTA†††	$	338,215
	200,000	RBSCF Trust, 5.692%, 4/16/49, Series 2010-RR4, Class MSCA†††		207,695
		Total Collateralized Mortgage Obligations (cost $19,512,085)		19,786,284
		CORPORATE BONDS 45.3%
		Aerospace & Defense 0.9%
	1,000,000	Lockheed Martin Corp., 3.35%, 9/15/21		1,036,200
		Air Freight & Logistics 0.6%
	620,000	United Parcel Service, Inc., 5.50%, 1/15/18		681,002
		Automotive Retail 0.7%
	775,000	AutoZone, Inc., 5.50%, 11/15/15		779,231
		Beverages — Non-alcoholic 1.2%
	500,000	PepsiAmericas, Inc., 5.00%, 5/15/17		530,860
	750,000	PepsiCo, Inc., 5.00%, 6/1/18		820,970
				1,351,830
		Cable & Satellite 0.7%
	750,000	DIRECTV Holdings, LLC / DIRECTV Financing Co., Inc., 5.20%, 3/15/20		819,275
		Construction Machinery & Heavy Trucks 1.4%
	500,000	Caterpillar Financial Services Corp., 5.85%, 9/1/17 MTN		542,802
	1,000,000	John Deere Capital Corp., 2.25%, 4/17/19		1,016,295
				1,559,097
		Consumer Finance 0.9%
	1,000,000	American Express Credit Corp., 2.25%, 8/15/19 MTN		1,003,500
		Cosmetics & Toiletries 0.4%
	337,806	Procter & Gamble — ESOP, 9.36%, 1/1/21, Series A		406,829
		Diversified Banks 5.6%
	750,000	Bank of America Corp., 2.60%, 1/15/19		757,620
	500,000	Bank of America Corp., 3.75%, 7/12/16, Series 1		509,962
	500,000	Bank of America Corp., 5.875%, 1/5/21		572,614
	1,250,000	Goldman Sachs Group, Inc. (The), 4.00%, 3/3/24		1,286,577
	1,000,000	US Bancorp, 2.20%, 11/15/16 MTN		1,014,545
	1,125,000	US Bancorp, 3.00%, 3/15/22 MTN		1,151,608
	700,000	Wachovia Corp., 5.75%, 2/1/18 MTN		765,975
				6,058,901
		Diversified Financial Services 3.4%
	1,000,000	General Electric Capital Corp., 4.65%, 10/17/21 MTN		1,124,788
	1,350,000	General Electric Capital Corp., 5.40%, 2/15/17 MTN		1,427,614
	1,000,000	General Electric Capital Corp., 5.625%, 5/1/18 MTN		1,107,060
				3,659,462
		Diversified Financial Services 1.5%
	750,000	Franklin Resources, Inc., 4.625%, 5/20/20		833,701
	750,000	New York Life Global Funding, 2.15%, 6/18/19		756,425
				1,590,126

Principal Amount			Value
		CORPORATE BONDS (continued)
		Electric Utilities 1.0%
	$ 1,000,000	TECO Finance, Inc., 6.572%, 11/1/17	$	1,099,459
		Enterprise Software & Services 2.1%
	1,000,000	CA, Inc., 5.375%, 12/1/19		1,094,864
	1,250,000	Oracle Corp., 2.50%, 10/15/22		1,221,192
				2,316,056
		Finance — Auto Loans 0.4%
	400,000	Ford Motor Credit Co., LLC, 6.625%, 8/15/17		431,823
		Finance — Credit Card 1.0%
	975,000	American Express Co., 6.15%, 8/28/17		1,057,865
		Finance — Other Services 0.5%
	500,000	Sun Canada Financial Co., 7.25%, 12/15/15		506,456
		Financial Services 0.5%
	500,000	Northern Trust Corp., 3.95%, 10/30/25		523,660
		Instruments — Scientific 0.7%
	700,000	Thermo Fisher Scientific, Inc., 4.70%, 5/1/20		759,438
		Integrated Telecommunication Services 0.9%
	66,549	Ameritech Capital Funding, 9.10%, 6/1/16		69,500
	870,000	AT&T, Inc., 5.50%, 2/1/18		942,682
				1,012,182
		Investment Banking & Brokerage 1.0%
	1,000,000	Morgan Stanley, 5.50%, 7/24/20 MTN		1,122,653
		Medical Instruments 1.1%
	1,100,000	Medtronic, Inc., 4.45%, 3/15/20		1,209,505
		Medical — Health Maintenance Organizations 2.0%
	1,000,000	Anthem, Inc., 4.35%, 8/15/20		1,072,435
	1,000,000	Coventry Health Care, Inc., 5.95%, 3/15/17		1,063,265
				2,135,700
		Movies & Entertainment 1.3%
	1,000,000	Walt Disney Co. (The), 2.75%, 8/16/21		1,024,832
	350,000	Walt Disney Co. (The), 6.00%, 7/17/17, Series C MTN		381,630
				1,406,462
		Multimedia 0.8%
	800,000	NBCUniversal Media, LLC, 5.15%, 4/30/20		902,999
		Office Furnishings 0.5%
	500,000	Steelcase, Inc., 6.375%, 2/15/21		557,660
		Oil Companies — Integrated 2.7%
	750,000	ConocoPhillips, 5.75%, 2/1/19		842,579
	1,000,000	Exxon Mobil Corp., 1.819%, 3/15/19		1,008,341
	1,000,000	Phillips 66, 4.30%, 4/1/22		1,047,816
				2,898,736
		Other Diversified Financial Services 1.3%
	1,350,000	JPMorgan Chase & Co., 4.35%, 8/15/21		1,454,859
		Pharmaceuticals 2.2%
	745,000	AstraZeneca plc, 5.90%, 9/15/17 (United Kingdom)		811,716
	725,000	Pharmacia Corp., 6.50%, 12/1/18		833,278
	575,000	Pharmacia Corp., 6.75%, 12/15/27		730,346
				2,375,340

87

WASATCH-1ST SOURCE INCOME FUND (FMEQX) — Schedule of Investments (continued)

Principal Amount			Value
		CORPORATE BONDS (continued)
		Railroads 1.0%
	$ 1,000,000	Union Pacific Corp., 5.70%, 8/15/18	$	1,120,274
		Regional Banks 3.3%
	1,500,000	BB&T Corp., 2.15%, 3/22/17 MTN		1,519,780
	1,200,000	Fifth Third Bancorp, 5.45%, 1/15/17		1,255,583
	750,000	SunTrust Banks, Inc., 3.50%, 1/20/17		768,412
				3,543,775
		Restaurants 0.5%
	500,000	Yum! Brands, Inc., 5.30%, 9/15/19		552,364
		Semiconductor Equipment 0.9%
	250,000	Applied Materials, Inc., 2.65%, 6/15/16		253,444
	700,000	Applied Materials, Inc., 4.30%, 6/15/21		750,934
				1,004,378
		Specialty Chemicals 1.3%
	1,150,000	Lubrizol Corp., 8.875%, 2/1/19		1,406,450
		Steel 1.0%
	1,000,000	Nucor Corp., 5.75%, 12/1/17		1,078,185
		Total Corporate Bonds (cost $49,055,977)		49,421,732
		MUNICIPAL BONDS 3.1%
	650,000	Arizona State Transportation Board Highway Revenue, 5.00%, 7/1/23		672,529
	695,000	City of Westminster, Colorado 2.415%, 12/1/19, Series B		700,748
	595,609	Minnesota Housing Finance Agency, 2.70%, 9/1/41		594,787
	415,000	Richmond Joint Powers Financing Authority, 8.25%, 7/1/19, Class B		462,252
	500,000	State of Louisiana, 5.00%, 7/15/26, Series C		588,380
	310,000	Township of Robbinsville, 4.00%, 7/15/23, Series B		331,932
		Total Municipal Bonds (cost $3,234,327)		3,350,628
Shares			Value
		EXCHANGE-TRADED FUNDS 0.8%
		Asset Management & Custody Banks 0.8%
	9,000	iShares S&P U.S. Preferred Stock Index Fund ETF	$	347,400
	25,000	Market Vectors Preferred Securities ex Financials ETF		489,750
				837,150
		Total Exchange-Traded Funds (cost $881,693)		837,150

Principal Amount			Value
		U.S. GOVERNMENT AGENCY SECURITIES 13.4%
	$1,500,000	Federal Farm Credit Banks, 1.97%, 4/21/21	$	1,506,212
	2,000,000	Federal Farm Credit Banks, 2.29%, 4/14/22		2,000,208
	1,000,000	Federal Farm Credit Banks, 2.35%, 4/14/22		1,000,233
	1,050,000	Federal Farm Credit Banks, 2.60%, 10/6/22		1,079,148
	1,000,000	Federal Home Loan Bank, 1.04%, 5/29/18		996,766
	1,000,000	Federal Home Loan Bank, 1.15%, 11/28/17		1,004,356
	1,000,000	Federal Home Loan Bank, 1.50%, 12/30/22##		1,001,639
	2,000,000	Federal Home Loan Bank, 1.75%, 11/8/22, Series 0000##		2,001,502
	1,500,000	Federal Home Loan Mortgage Corp., 2.50%, 5/27/16		1,521,280
	420,143	New Valley Generation IV, 4.687%, 1/15/22		459,469
	800,000	Tennessee Valley Authority, 3.875%, 2/15/21		887,020
	1,000,000	Tennessee Valley Authority, 6.25%, 12/15/17, Series E		1,116,232
		Total U.S. Government Agency Securities (cost $14,454,286)		14,574,065
		U.S. TREASURY NOTES 8.6%
	3,125,000	U.S. Treasury Note, 3.25%, 12/31/16		3,232,828
	4,100,000	U.S. Treasury Note, 3.625%, 8/15/19		4,477,860
	1,500,000	U.S. Treasury Note, 3.625%, 2/15/20		1,647,872
		Total U.S. Treasury Notes (cost $9,228,304)		9,358,560
Shares			Value
		PREFERRED STOCKS 1.0%
		Consumer Finance 0.3%
	12,000	Capital One Financial Corp., 6.70%, Series D Pfd.§§§	$	318,000
		Diversified Banks 0.7%
	20,000	Bank of America Corp., 6.625%, Series W Pfd.§§§		515,200
	12,000	Citigroup, Inc., 6.875%, Series L Pfd.§§§		319,320
				834,520
		Total Preferred Stocks (cost $1,145,092)		1,152,520

88

SEPTEMBER 30, 2015

Principal Amount			Value
		SHORT-TERM INVESTMENTS 1.9%
		Repurchase Agreement 1.9%
	$2,029,446	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $2,005,000 of United States Treasury Notes 2.125% due 1/31/21; value: $2,074,718; repurchase proceeds: $2,029,446 (cost $2,029,446)	$	2,029,446
		Total Short-Term Investments (cost $2,029,446)		2,029,446
		Total Investments (cost $107,295,343) 99.3%		108,250,259
		Other Assets less Liabilities 0.7%		708,627
		NET ASSETS 100.0%	$	108,958,886
		†††Variable rate securities. §§§Perpetual maturity. Callable any time after first call date. Maturity date is next call date. ##Step bond. The rate shown is as of September 30, 2015 and will reset at a future date. ESOP Employee Stock Ownership Plan. ETF Exchange-Traded Fund. MTN Medium Term Note. See Notes to Financial Statements.

At September 30, 2015, Wasatch-1st Source Income Fund’s investments, excluding short-term investments, were in the following countries (unaudited):

Country	%
Bermuda		0.2
United Kingdom		0.8
United States		99.0
TOTAL		100.0	%

89

WASATCH-HOISINGTON U.S. TREASURY FUND (WHOSX) — Schedule of Investments SEPTEMBER 30, 2015

Principal Amount			Value
		U.S. GOVERNMENT OBLIGATIONS 98.2%
	$139,000,000	U.S. Treasury Bond, 2.50%, 2/15/45	$	127,963,261
	2,000,000	U.S. Treasury Bond, 2.75%, 11/15/42		1,947,188
	44,400,000	U.S. Treasury Bond, 2.875%, 5/15/43		44,257,787
	45,000,000	U.S. Treasury Bond, 2.875%, 8/15/45		44,977,725
	8,000,000	U.S. Treasury Bond, 3.125%, 2/15/42		8,419,376
	39,000,000	U.S. Treasury Bond, 3.125%, 8/15/44		40,817,985
	18,100,000	U.S. Treasury Bond, 3.75%, 11/15/43		21,310,397
	77,000,000	U.S. Treasury Strip, principal only, 5/15/44		32,389,665
		Total U.S. Government Obligations (cost $324,376,092)		322,083,384

Principal Amount			Value
		SHORT-TERM INVESTMENTS 1.4%
		Repurchase Agreement 1.4%
	$4,582,570	Repurchase Agreement dated 9/30/15, 0.00% due 10/1/15 with State Street Bank and Trust Co. collateralized by $4,685,000 of United States Treasury Notes 1.375% due 9/30/20; value: $4,679,144; repurchase proceeds: $4,582,570 (cost $4,582,570)	$	4,582,570
		Total Short-Term Investments (cost $4,582,570)		4,582,570
		Total Investments (cost $328,958,662) 99.6%		326,665,954
		Other Assets less Liabilities 0.4%		1,194,963
		NET ASSETS 100.0%	$	327,860,917
		See Notes to Financial Statements.

90

(This page intentionally left blank.)

91

WASATCH FUNDS — Statements of Assets and Liabilities

	CORE GROWTH FUND			EMERGING INDIA FUND			EMERGING MARKETS SELECT FUND
Assets:
Investments, at cost
Unaffiliated issuers	$	778,625,415		$	46,246,358		$	34,714,915
Affiliated issuers1		—			—			—
Repurchase agreements		119,120,957			2,268,300			3,519,811
	$	897,746,372		$	48,514,658		$	38,234,726
Investments, at market value
Unaffiliated issuers	$	1,050,777,396		$	61,300,673		$	34,456,710
Affiliated issuers1		—			—			—
Repurchase agreements		119,120,957			2,268,300			3,519,811
		1,169,898,353			63,568,973			37,976,521
Cash		2,658,212			—			—
Foreign currency on deposit (cost of $0, $944,650, $0, $562,822, $16,570,230, $48, $226,054 and $445,053, respectively)		—			948,708			—
Receivable for investment securities sold		7,836,963			—			—
Capital shares receivable		752,399			9,228			6,777
Interest and dividends receivable		404,489			22,916			21,053
Prepaid expenses and other assets		31,325			12,022			7,608
Total Assets		1,181,581,741			64,561,847			38,011,959
Liabilities:
Bank overdraft of foreign currency (cost of $0, $0, $62, $0, $0, $0, $0 and $0, respectively)		—			—			63
Payable for securities purchased		13,392,860			—			—
Capital shares payable		437,981			38,029			38,130
Payable to Advisor		984,712			64,423			24,888
Accrued fund administration fees		16,715			587			267
Accrued expenses and other liabilities		212,364			48,028			36,463
Foreign capital gains taxes payable		1,407,632			560,851			116,028
Line of credit payable		—			—			—
Other payables		—			40			—
Total Liabilities		16,452,264			711,958			215,839
Net Assets	$	1,165,129,477		$	63,849,889		$	37,796,120
Net Assets Consist of:
Capital stock	$	201,409		$	207,875		$	45,083
Paid-in-capital in excess of par		767,762,103			49,754,741			45,905,172
Undistributed net investment income (loss)		(8,200,589	)		(1,394,746	)		(277,867	)
Undistributed net realized gain (loss) on investments and foreign currency translations		134,621,429			784,327			(7,500,611	)
Net unrealized appreciation (depreciation) on investments and foreign currency translations		270,745,125			14,497,692			(375,657	)
Net Assets	$	1,165,129,477		$	63,849,889		$	37,796,120
Net Assets
Investor Class		1,014,515,147			63,849,889			18,526,614
Institutional Class		150,614,330			—			19,269,506
Capital Stock Issued and Outstanding (Unlimited number of shares authorized, $.01 par value)
Investor Class		17,543,616			20,787,487			2,218,050
Institutional Class		2,597,329			—			2,290,284
NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE
Investor Class	$	57.83		$	3.07		$	8.35
Institutional Class	$	57.99		$	—		$	8.41

¹  See Note 8 for information on affiliated issuers.

See Notes to Financial Statements.

92

SEPTEMBER 30, 2015

EMERGING MARKETS SMALL CAP FUND			FRONTIER EMERGING SMALL COUNTRIES FUND			GLOBAL OPPORTUNITIES FUND			INTERNATIONAL GROWTH FUND			INTERNATIONAL OPPORTUNITIES FUND
$	891,437,088		$	962,323,198		$	135,542,502		$	1,055,659,080		$	399,414,814
	—			31,662,296			—			—			—
	—			23,472,377			685,704			12,275,005			23,124,583
$	891,437,088		$	1,017,457,871		$	136,228,206		$	1,067,934,085		$	422,539,397
$	954,930,074		$	951,611,391		$	155,842,386		$	1,304,387,825		$	430,464,823
	—			29,224,572			—			—			—
	—			23,472,377			685,704			12,275,005			23,124,583
	954,930,074			1,004,308,340			156,528,090			1,316,662,830			453,589,406
	—			5,309,168			1,204,075			—			—
	562,822			16,566,410			47			224,951			445,046
	29,472,237			21,354,383			7,518			2,871,599			17,947
	315,902			852,989			20,778			501,262			675,442
	625,153			2,316,337			95,739			2,394,584			1,103,831
	38,892			28,536			13,536			36,623			17,935
	985,945,080			1,050,736,163			157,869,783			1,322,691,849			455,849,607
	—			—			—			—			—
	636,378			10,462,108			1,204,110			3,000,052			1,266,549
	627,049			2,322,889			22,875			1,722,486			123,464
	1,301,907			1,445,768			199,012			1,356,021			595,212
	14,377			15,173			2,165			19,889			6,194
	333,563			579,748			64,739			498,313			234,519
	870,195			8,237,417			408,990			—			128,543
	794,884			—			—			—			—
	—			—			—			—			—
	4,578,353			23,063,103			1,901,891			6,596,761			2,354,481
$	981,366,727		$	1,027,673,060		$	155,967,892		$	1,316,095,088		$	453,495,126
$	4,103,007		$	3,705,563		$	444,216		$	472,095		$	1,657,210
	954,585,806			1,081,050,861			119,321,339			1,088,806,978			399,145,296
	(13,624,992	)		1,547,031			(2,258,540	)		(4,649,406	)		(710,582	)
	(26,331,986	)		(37,177,189	)		18,571,740			(17,218,701	)		22,486,109
	62,634,892			(21,453,206	)		19,889,137			248,684,122			30,917,093
$	981,366,727		$	1,027,673,060		$	155,967,892		$	1,316,095,088		$	453,495,126
	981,366,727			1,027,673,060			155,967,892			1,316,095,088			453,495,126
	—			—			—			—			—
	410,300,730			370,556,323			44,421,593			47,209,464			165,721,038
	—			—			—			—			—
$	2.39		$	2.77		$	3.51		$	27.88		$	2.74
$	—		$	—		$	—		$	—		$	—

93

WASATCH FUNDS — Statements of Assets and Liabilities (continued)

	LARGE CAP VALUE FUND			LONG/SHORT FUND			MICRO CAP FUND
Assets:
Investments, at cost
Unaffiliated issuers	$	232,455,269		$	1,083,841,914		$	182,746,791
Affiliated issuers1		—			98,376,496			—
Repurchase agreements		1,470,547			52,286,876			8,784,540
	$	233,925,816		$	1,234,505,286		$	191,531,331
Investments, at market value
Unaffiliated issuers	$	243,797,409		$	942,103,885		$	252,301,777
Affiliated issuers1		—			26,162,208			—
Repurchase agreements		1,470,547			52,286,876			8,784,540
		245,267,956			1,020,552,969			261,086,317
Cash		—			71,756			95,019
Foreign currency on deposit (cost of $0, $0, $16,958, $9,481, $7, $0, $20 and $0, respectively)		—			—			17,045
Receivable for investment securities sold		2,427,229			11,034,011			14,383,490
Receivable from broker for securities sold short		—			270,028,416			—
Capital shares receivable		10,596			190,630			2,752
Interest and dividends receivable		250,273			1,648,581			94,479
Prepaid expenses and other assets		13,468			46,171			13,971
Total Assets		247,969,522			1,303,572,534			275,693,073
Liabilities:
Securities sold short, at value (proceeds of $0, $274,609,852, $0, $0, $0, $0, $0 and $0, respectively)		—			263,064,239			—
Payable for securities purchased		647,864			1,588,215			1,881,384
Capital shares payable		1,383,954			12,237,731			27,082
Dividends payable to shareholders		15,547			—			—
Payable to Advisor		189,260			1,022,006			413,606
Accrued fund administration fees		4,048			17,813			3,917
Accrued expenses and other liabilities		147,866			315,873			56,241
Foreign capital gains taxes payable		—			—			—
Dividends payable on securities sold short		—			342,769			—
Total Liabilities		2,388,539			278,588,646			2,382,230
Net Assets	$	245,580,983		$	1,024,983,888		$	273,310,843
Net Assets Consist of:
Capital stock	$	277,694		$	828,922		$	379,095
Paid-in-capital in excess of par		215,231,768			1,163,478,575			163,760,254
Undistributed net investment income (loss)		(17,753	)		330,202			(764,789	)
Undistributed net realized gain (loss) on investments, options and foreign currency translations		18,747,134			62,752,893			40,379,170
Net unrealized appreciation (depreciation) on investments and foreign currency translations		11,342,140			(202,406,704	)		69,557,113
Net Assets	$	245,580,983		$	1,024,983,888		$	273,310,843
Net Assets
Investor Class		244,055,823			616,191,755			273,310,843
Institutional Class		1,525,160			408,792,133			—
Capital Stock Issued and Outstanding (Unlimited number of shares authorized, $.01 par value)
Investor Class		27,596,831			49,860,921			37,909,511
Institutional Class		172,602			33,031,279			—
NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE
Investor Class	$	8.84		$	12.36		$	7.21
Institutional Class	$	8.84		$	12.38		$	—

¹  See Note 8 for information on affiliated issuers.

See Notes to Financial Statements.

94

SEPTEMBER 30, 2015

MICRO CAP VALUE FUND		SMALL CAP GROWTH FUND			SMALL CAP VALUE FUND			STRATEGIC INCOME FUND			ULTRA GROWTH FUND
$	106,286,133	$	1,361,180,905		$	229,206,067		$	88,620,057		$	80,979,600
	—		93,018,148			—			—			—
	19,808,193		87,423,697			8,564,540			3,032,863			1,582,068
$	126,094,326	$	1,541,622,750		$	237,770,607		$	91,652,920		$	82,561,668
$	133,276,800	$	1,845,044,621		$	270,317,595		$	84,304,370		$	94,582,419
	—		73,261,141			—			—			—
	19,808,193		87,423,697			8,564,540			3,032,863			1,582,068
	153,084,993		2,005,729,459			278,882,135			87,337,233			96,164,487
	800,328		—			—			7,453			—
	9,407		7			—			24			—
	907,711		196,666			3,496,717			1,532,871			190,929
	—		—			—			—			—
	28,552		1,735,259			181,223			7,125			42
	120,207		220,056			486,439			609,366			4,118
	13,982		52,077			17,584			11,731			9,988
	154,965,180		2,007,933,524			283,064,098			89,505,803			96,369,564
	—		—			—			—			—
	139,096		—			5,734,251			461,608			187,927
	225,372		1,251,227			156,841			271,739			31,499
	—		—			—			19,568			—
	218,345		1,725,694			236,463			53,907			83,350
	2,149		30,496			3,927			1,091			1,211
	52,383		697,857			82,165			36,967			50,285
	158,971		3,640,617			255,189			—			—
	—		—			—			—			—
	796,316		7,345,891			6,468,836			844,880			354,272
$	154,168,864	$	2,000,587,633		$	276,595,262		$	88,660,923		$	96,015,292
$	536,422	$	435,224		$	472,117		$	84,529		$	53,166
	112,275,909		1,249,827,151			264,748,765			91,574,762			74,870,115
	22,777		(12,167,564	)		1,323,863			98,362			1,796,075
	14,513,847		303,652,607			(30,805,865	)		1,219,047			7,143,798
	26,819,909		458,840,215			40,856,382			(4,315,777	)		12,152,138
$	154,168,864	$	2,000,587,633		$	276,595,262		$	88,660,923		$	96,015,292
	154,168,864		2,000,587,633			257,654,762			88,660,923			96,015,292
	—		—			18,940,500			—			—
	53,642,247		43,522,443			43,992,940			8,452,886			5,316,619
	—		—			3,218,736			—			—
$	2.87	$	45.97		$	5.86		$	10.49		$	18.06
$	—	$	—		$	5.88		$	—		$	—

95

WASATCH FUNDS — Statements of Assets and Liabilities (continued) SEPTEMBER 30, 2015

	WORLD INNOVATORS FUND			INCOME FUND			U.S. TREASURY FUND
Assets:
Investments, at cost
Unaffiliated issuers	$	154,352,642		$	105,265,897		$	324,376,092
Repurchase agreements		14,459,758			2,029,446			4,582,570
	$	168,812,400		$	107,295,343		$	328,958,662
Investments, at market value
Unaffiliated issuers	$	168,326,821		$	106,220,813		$	322,083,384
Repurchase agreements		14,459,758			2,029,446			4,582,570
		182,786,579			108,250,259			326,665,954
Foreign currency on deposit (cost of $177, $0 and $0, respectively)		177			—			—
Receivable for investment securities sold		3,606,131			—			—
Capital shares receivable		20,864			84,099			324,134
Interest and dividends receivable		191,197			754,789			1,555,944
Prepaid expenses and other assets		14,377			6,072			26,127
Total Assets		186,619,325			109,095,219			328,572,159
Liabilities:
Payable for securities purchased		487			—			—
Capital shares payable		34,223			23,198			430,642
Dividends payable to shareholders		—			28,542			74,461
Payable to Advisor		236,323			48,601			132,029
Accrued fund administration fees		2,839			1,384			4,489
Accrued expenses and other liabilities		73,430			34,608			69,621
Total Liabilities		347,302			136,333			711,242
Net Assets	$	186,272,023		$	108,958,886		$	327,860,917
Net Assets Consist of:
Capital stock	$	92,336		$	107,018		$	177,975
Paid-in-capital in excess of par		155,962,612			107,911,937			314,090,542
Undistributed net investment income (loss)		(854,667	)		33,864			(20,881	)
Undistributed net realized gain (loss) on investments and foreign currency translations		17,274,408			(48,849	)		15,905,989
Net unrealized appreciation (depreciation) on investments and foreign currency translations		13,797,334			954,916			(2,292,708	)
Net Assets	$	186,272,023		$	108,958,886		$	327,860,917
Net Assets
Investor Class		186,272,023			108,958,886			327,860,917
Capital Stock Issued and Outstanding (Unlimited number of shares authorized, $.01 par value)
Investor Class		9,233,647			10,701,769			17,797,520
NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE
Investor Class	$	20.17		$	10.18		$	18.42

See Notes to Financial Statements.

96

(This page intentionally left blank.)

97

WASATCH FUNDS — Statements of Operations

	CORE GROWTH FUND			EMERGING INDIA FUND			EMERGING MARKETS SELECT FUND
Investment Income:
Interest	$	—		$	2,335	1	$	—
Dividends2
Unaffiliated issuers		9,449,153			366,099			804,291
Affiliated issuers3		—			—			—
Total investment income		9,449,153			368,434			804,291
Expenses:
Investment advisory fees		10,688,626			961,961			691,808
Shareholder servicing fees — Investor Class		1,094,792			134,643			72,121
Shareholder servicing fees — Institutional Class		13,028			—			14,059
Fund administration fees		147,653			8,872			7,599
Fund accounting fees		94,841			29,882			20,203
Reports to shareholders — Investor Class		88,219			16,676			7,019
Reports to shareholders — Institutional Class		15,305			—			8,333
Custody fees		112,966			131,963			77,877
Federal and state registration fees — Investor Class		22,039			20,458			16,082
Federal and state registration fees — Institutional Class		11,723			—			15,056
Legal fees		42,470			2,200			5,704
Trustees’ fees		84,337			4,843			5,038
Interest		20,393			3,092			3,208
Audit fees		30,051			27,651			64,648
Other expenses		51,447			20,568			27,704
Total expenses before reimbursement		12,517,890			1,362,809			1,036,459
Reimbursement of expenses by Advisor		(8,615	)		(109,168	)		(154,653	)
Net Expenses		12,509,275			1,253,641			881,806
Net Investment Income (Loss)		(3,060,122	)		(885,207	)		(77,515	)
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on investments and foreign currency translations
Unaffiliated issuers		134,651,115			1,404,976			(4,968,701	)
Realized foreign capital gains taxes		—			—			—
Change in unrealized appreciation (depreciation) on investments and foreign currency translations		(39,221,978	)		4,977,535			(4,671,524	)
Change in deferred foreign capital gains taxes		(1,407,632	)		(21,244	)		45,707
Net gain (loss) on investments		94,021,505			6,361,267			(9,594,518	)
Net Increase (Decrease) in Net Assets Resulting from Operations	$	90,961,383		$	5,476,060		$	(9,672,033	)

¹  Net of $70 in foreign withholding taxes.

²  Net of $143,550, $0, $80,620, $1,829,756, $3,082,611, $66,972, $1,300,311 and $885,149 in foreign withholding taxes, respectively.

³  See Note 8 for information on affiliated issuers.

See Notes to Financial Statements.

98

SEPTEMBER 30, 2015

EMERGING MARKETS SMALL CAP FUND			FRONTIER EMERGING SMALL COUNTRIES FUND			GLOBAL OPPORTUNITIES FUND			INTERNATIONAL GROWTH FUND			INTERNATIONAL OPPORTUNITIES FUND
$	—		$	138		$	—		$	—		$	—
	16,879,768			30,649,549			1,281,472			15,894,595			7,561,590
	—			1,198,405			—			—			—
	16,879,768			31,848,092			1,281,472			15,894,595			7,561,590
	22,227,159			21,121,963			2,712,557			16,864,727			7,807,882
	1,259,742			2,487,124			245,257			1,949,944			1,166,698
	—			—			—			—			—
	174,414			165,977			24,877			185,816			55,361
	124,148			124,992			34,307			125,970			64,688
	98,693			140,605			26,532			164,811			79,362
	—			—			—			—			—
	1,321,413			3,178,498			117,443			495,832			408,008
	33,694			58,878			19,435			70,192			24,465
	—			—			—			—			—
	46,044			43,440			6,403			46,719			13,354
	116,557			109,007			15,928			114,556			30,701
	46,103			31,258			8,614			49,639			8,019
	27,651			37,764			29,716			27,651			30,179
	114,926			42,226			28,807			81,471			40,196
	25,590,544			27,541,732			3,269,876			20,177,328			9,728,913
	(777,036	)		(353,665	)		—			—			(711,799	)
	24,813,508			27,188,067			3,269,876			20,177,328			9,017,114
	(7,933,740	)		4,660,025			(1,988,404	)		(4,282,733	)		(1,455,524	)
	(8,663,125	)		(36,935,977	)		21,415,472			(14,432,781	)		22,684,497
	(1,595,031	)		(272,291	)		(225,021	)		(1,355,001	)		—
	(137,918,497	)		(155,547,957	)		(24,967,008	)		76,535,745			(30,512,597	)
	3,183,240			(931,594	)		23,374			826,499			297,563
	(144,993,413	)		(193,687,819	)		(3,753,183	)		61,574,462			(7,530,537	)
$	(152,927,153	)	$	(189,027,794	)	$	(5,741,587	)	$	57,291,729		$	(8,986,061	)

99

WASATCH FUNDS — Statements of Operations (continued)

	LARGE CAP VALUE FUND			LONG/SHORT FUND			MICRO CAP FUND
Investment Income:
Dividends1
Unaffiliated issuers	$	8,045,769		$	36,253,587		$	3,256,608
Total investment income		8,045,769			36,253,587			3,256,608
Expenses:
Investment advisory fees		2,966,653			23,062,568			5,403,854
Shareholder servicing fees — Investor Class		474,117			1,747,766			211,185
Shareholder servicing fees — Institutional Class		3,391			18,754			—
Fund administration fees		45,100			296,746			42,534
Fund accounting fees		33,851			170,441			39,638
Reports to shareholders — Investor Class		34,225			139,386			19,305
Reports to shareholders — Institutional Class		3,042			36,152			—
Custody fees		8,949			85,491			35,339
Federal and state registration fees — Investor Class		19,364			57,748			19,453
Federal and state registration fees — Institutional Class		9,945			31,450			—
Legal fees		13,403			88,815			10,753
Trustees’ fees		31,792			210,310			26,028
Dividends on securities sold short		—			4,873,643			—
Interest		7,926			1,611,675			5,974
Audit fees		32,203			30,297			26,574
Other expenses		22,776			91,875			29,902
Total expenses before reimbursement		3,706,737			32,553,117			5,870,539
Reimbursement of expenses by Advisor		(78,001	)		—			—
Net Expenses		3,628,736			32,553,117			5,870,539
Net Investment Income (Loss)		4,417,033			3,700,470			(2,613,931	)
Realized and Unrealized Gain (Loss):
Net realized gain (loss) on investments and foreign currency translations
Unaffiliated issuers		23,888,706			126,017,493			42,447,306
Affiliated issuers		—			(12,793,567	)		—
Net realized gain (loss) on options written		—			(1,377,491	)		—
Net realized loss on short positions		—			(2,298,097	)		—
Realized foreign capital gains taxes		—			—			—
Change in unrealized appreciation (depreciation) on investments, options, securities sold short and foreign currency translations		(44,068,657	)		(484,033,257	)		(31,053,244	)
Change in deferred foreign capital gains taxes		—			—			470,871
Net gain (loss) on investments		(20,179,951	)		(374,484,919	)		11,864,933
Net Increase (Decrease) in Net Assets Resulting from Operations	$	(15,762,918	)	$	(370,784,449	)	$	9,251,002

¹  Net of $77,086, $104,106, $31,243, $37,595, $95,490, $0, $25,428 and $0 in foreign withholding taxes, respectively.

See Notes to Financial Statements.

100

SEPTEMBER 30, 2015

MICRO CAP VALUE FUND			SMALL CAP GROWTH FUND			SMALL CAP VALUE FUND			STRATEGIC INCOME FUND			ULTRA GROWTH FUND
$	2,235,759		$	10,871,749		$	5,928,453		$	3,972,665		$	273,323
	2,235,759			10,871,749			5,928,453			3,972,665			273,323
	2,788,024			22,985,458			2,919,175			802,258			1,082,388
	197,877			3,405,167			327,860			154,858			170,974
	—			—			4,168			—			—
	21,950			316,556			40,237			15,787			14,910
	32,961			191,610			35,568			18,686			25,533
	22,467			211,918			28,757			16,812			15,754
	—			—			3,314			—			—
	41,847			396,862			33,230			5,121			17,774
	18,733			56,608			28,109			21,864			17,554
	—			—			10,330			—			—
	6,256			81,546			12,142			4,043			3,754
	13,468			195,054			24,209			9,560			9,075
	—			—			—			—			—
	8,139			48,245			5,884			2,516			2,021
	30,421			29,574			30,051			29,716			35,574
	23,136			100,042			28,220			10,461			27,050
	3,205,279			28,018,640			3,531,254			1,091,682			1,422,361
	(90,485	)		—			(9,265	)		(387	)		—
	3,114,794			28,018,640			3,521,989			1,091,295			1,422,361
	(879,035	)		(17,146,891	)		2,406,464			2,881,370			(1,149,038	)
	18,698,763			339,817,590			10,286,478			3,027,134			9,017,957
	—			—			—			—			—
	272,422			—			—			—			—
	—			—			—			—			—
	(100,772	)		—			(34,167	)		—			—
	(2,846,124	)		(286,889,716	)		(5,535,405	)		(15,972,843	)		(3,043,910	)
	(114,088	)		(3,640,617	)		(134,463	)		—			—
	15,910,201			49,287,257			4,582,443			(12,945,709	)		5,974,047
$	15,031,166		$	32,140,366		$	6,988,907		$	(10,064,339	)	$	4,825,009

101

WASATCH FUNDS — Statements of Operations (continued) SEPTEMBER 30, 2015

	WORLD INNOVATORS FUND			INCOME FUND			U.S. TREASURY FUND
Investment Income:
Interest	$	—		$	2,391,128		$	8,700,522
Dividends1
Unaffiliated issuers		2,143,061			118,755			—
Total investment income		2,143,061			2,509,883			8,700,522
Expenses:
Investment advisory fees		3,196,182			601,316			1,561,066
Shareholder servicing fees — Investor Class		320,819			52,465			313,537
Fund administration fees		29,274			15,057			43,167
Fund accounting fees		33,817			36,487			28,934
Reports to shareholders — Investor Class		25,495			5,177			25,582
Custody fees		41,469			11,484			10,487
Federal and state registration fees — Investor Class		26,065			17,657			32,230
Legal fees		7,569			3,846			10,693
Trustees’ fees		19,400			9,659			24,142
Interest		4,204			2,390			6,149
Audit fees		27,651			27,897			27,651
Other expenses		23,068			7,408			11,085
Net Expenses		3,755,013			790,843			2,094,723
Net Investment Income (Loss)		(1,611,952	)		1,719,040			6,605,799
Realized and Unrealized Gain (Loss):
Net realized gain on investments and foreign currency translations
Unaffiliated issuers		20,035,191			407,021			40,074,870
Change in unrealized depreciation on investments and foreign currency translations		(17,578,392	)		(23,148	)		(26,646,790	)
Net gain on investments		2,456,799			383,873			13,428,080
Net Increase in Net Assets Resulting from Operations	$	844,847		$	2,102,913		$	20,033,879

¹  Net of $86,027, $0 and $0 in foreign withholding taxes, respectively.

See Notes to Financial Statements.

102

(This page intentionally left blank.)

103

WASATCH FUNDS — Statements of Changes in Net Assets

	CORE GROWTH FUND						EMERGING INDIA FUND
	Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
Operations:
Net investment income (loss)	$	(3,060,122	)	$	(6,177,677	)	$	(885,207	)	$	(176,149	)
Net realized gain (loss) on investments, foreign currency translations and foreign capital gains taxes		134,651,115			27,736,790			1,404,976			364,946
Change in unrealized appreciation (depreciation) on investments, foreign currency translations and deferred capital gains taxes		(40,629,610	)		10,095,753			4,956,291			9,544,806
Net increase (decrease) in net assets resulting from operations		90,961,383			31,654,866			5,476,060			9,733,603
Dividends paid from:
Investor Class
Net investment income		—			—			(29,439	)		—
Net realized gains		(22,822,588	)		(13,292,735	)		—			—
		(22,822,588	)		(13,292,735	)		(29,439	)		—
Institutional Class
Net investment income		—			—			—			—
Net realized gains		(1,317,073	)		(446,532	)		—			—
		(1,317,073	)		(446,532	)		—			—
Capital share transactions:
Investor Class
Shares sold		257,284,741			115,859,006			53,513,984			24,342,312
Shares issued to holders in reinvestment of dividends		22,299,104			12,976,194			28,983			—
Shares redeemed		(190,917,065	)		(211,661,828	)		(39,349,330	)		(5,867,945	)
Redemption fees		32,774			25,585			59,862			4,219
Net increase (decrease)		88,699,554			(82,801,043	)		14,253,499			18,478,586
Institutional Class
Shares sold		105,047,781			35,358,853			—			—
Shares issued to holders in reinvestment of dividends		1,317,073			440,938			—			—
Shares redeemed		(5,212,229	)		(6,736,116	)		—			—
Redemption fees		561			1,298			—			—
Net increase (decrease)		101,153,186			29,064,973			—			—
Total increase (decrease) in net assets		256,674,462			(35,820,471	)		19,700,120			28,212,189
Net assets:
Beginning of period		908,455,015			944,275,486			44,149,769			15,937,580
End of period	$	1,165,129,477		$	908,455,015		$	63,849,889		$	44,149,769
Undistributed net investment income (loss) included in net assets at end of period	$	(8,200,589	)	$	(5,205,477	)	$	(1,394,746	)	$	(374,508	)
Capital share transactions — shares:
Investor Class
Shares sold		4,323,060			2,145,922			17,696,899			9,809,678
Shares issued to holders in reinvestment of dividends		385,598			235,867			10,029			—
Shares redeemed		(3,235,178	)		(3,921,819	)		(13,093,287	)		(2,585,822	)
Net increase (decrease) in shares outstanding		1,473,480			(1,540,030	)		4,613,641			7,223,856
Institutional Class
Shares sold		1,739,883			657,897			—			—
Shares issued to holders in reinvestment of dividends		22,720			7,998			—			—
Shares redeemed		(86,771	)		(124,326	)		—			—
Net increase (decrease) in shares outstanding		1,675,832			541,569			—			—

See Notes to Financial Statements.

104

SEPTEMBER 30, 2015

EMERGING MARKETS SELECT FUND						EMERGING MARKETS SMALL CAP FUND						FRONTIER EMERGING SMALL COUNTRIES FUND
Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
$	(77,515	)	$	(13,125	)	$	(7,933,740	)	$	(4,636,032	)	$	4,660,025		$	8,757,360
	(4,968,701	)		(599,872	)		(10,258,156	)		7,560,059			(37,208,268	)		16,000,201
	(4,625,817	)		5,414,601			(134,735,257	)		71,426,344			(156,479,551	)		90,644,068
	(9,672,033	)		4,801,604			(152,927,153	)		74,350,371			(189,027,794	)		115,401,629
	(85,929	)		(21,719	)		(1,814,628	)		—			(6,526,410	)		(1,526,061	)
	—			—			—			(38,681,435	)		(19,311,554	)		—
	(85,929	)		(21,719	)		(1,814,628	)		(38,681,435	)		(25,837,964	)		(1,526,061	)
	(151,968	)		(64,529	)		—			—			—			—
	—			—			—			—			—			—
	(151,968	)		(64,529	)		—			—			—			—
	7,293,767			11,991,899			180,971,456			347,159,450			490,118,465			717,734,281
	85,177			21,418			1,494,676			32,124,819			24,103,894			1,410,893
	(10,592,721	)		(17,169,685	)		(504,253,544	)		(742,856,437	)		(596,403,419	)		(239,125,817	)
	596			1,504			14,069			103,958			25,583			105,062
	(3,213,181	)		(5,154,864	)		(321,773,343	)		(363,468,210	)		(82,155,477	)		480,124,419
	3,739,143			4,995,578			—			—			—			—
	151,968			63,952			—			—			—			—
	(11,784,081	)		(4,047,799	)		—			—			—			—
	4,245			82			—			—			—			—
	(7,888,725	)		1,011,813			—			—			—			—
	(21,011,836	)		572,305			(476,515,124	)		(327,799,274	)		(297,021,235	)		593,999,987
	58,807,956			58,235,651			1,457,881,851			1,785,681,125			1,324,694,295			730,694,308
$	37,796,120		$	58,807,956		$	981,366,727		$	1,457,881,851		$	1,027,673,060		$	1,324,694,295
$	(277,867	)	$	(45,607	)	$	(13,624,992	)	$	(10,619,495	)	$	1,547,031		$	6,400,383
	723,608			1,205,798			67,698,717			129,784,853			162,889,608			227,204,205
	8,392			2,201			561,908			12,214,760			7,800,613			458,082
	(1,085,598	)		(1,710,416	)		(190,175,016	)		(279,567,746	)		(198,903,713	)		(75,182,416	)
	(353,598	)		(502,417	)		(121,914,391	)		(137,568,133	)		(28,213,492	)		152,479,871
	363,354			500,828			—			—			—			—
	14,899			6,539			—			—			—			—
	(1,202,260	)		(395,228	)		—			—			—			—
	(824,007	)		112,139			—			—			—			—

105

WASATCH FUNDS — Statements of Changes in Net Assets (continued)

	GLOBAL OPPORTUNITIES FUND						INTERNATIONAL GROWTH FUND
	Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
Operations:
Net investment income (loss)	$	(1,988,404	)	$	(1,764,940	)	$	(4,282,733	)	$	(877,249	)
Net realized gain (loss) on investments, foreign currency translations and foreign capital gains taxes		21,190,451			26,427,867			(15,787,782	)		15,327,889
Net realized gain (loss) on options written		—			—			—			—
Net realized loss on short positions		—			—			—			—
Change in unrealized appreciation (depreciation) on investments, options, securities sold short, foreign currency translations and deferred capital gains taxes		(24,943,634	)		(16,328,571	)		77,362,244			(88,535,593	)
Net increase (decrease) in net assets resulting from operations		(5,741,587	)		8,334,356			57,291,729			(74,084,953	)
Dividends paid from:
Investor Class
Net investment income		(470,408	)		(189,507	)		(284,964	)		—
Net realized gains		(26,548,276	)		(23,360,745	)		(8,896,949	)		(35,584,097	)
		(27,018,684	)		(23,550,252	)		(9,181,913	)		(35,584,097	)
Institutional Class
Net investment income		—			—			—			—
Net realized gains		—			—			—			—
		—			—			—			—
Capital share transactions:
Investor Class
Shares sold		24,113,199			38,477,656			304,243,470			813,164,902
Shares issued to holders in reinvestment of dividends		26,821,337			23,300,598			8,765,593			32,446,727
Shares redeemed		(54,874,473	)		(74,373,069	)		(466,136,694	)		(641,869,274	)
Redemption fees		3,950			14,624			26,761			81,566
Net increase (decrease)		(3,935,987	)		(12,580,191	)		(153,100,870	)		203,823,921
Institutional Class
Shares sold		—			—			—			—
Shares issued to holders in reinvestment of dividends		—			—			—			—
Shares redeemed		—			—			—			—
Redemption fees		—			—			—			—
Net increase (decrease)		—			—			—			—
Total increase (decrease) in net assets		(36,696,258	)		(27,796,087	)		(104,991,054	)		94,154,871
Net assets:
Beginning of period		192,664,150			220,460,237			1,421,086,142			1,326,931,271
End of period	$	155,967,892		$	192,664,150		$	1,316,095,088		$	1,421,086,142
Undistributed net investment income (loss) included in net assets at end of period	$	(2,258,540	)	$	(1,357,807	)	$	(4,649,406	)	$	(2,419,315	)
Capital share transactions — shares:
Investor Class
Shares sold		6,305,552			8,688,395			10,961,555			28,317,499
Shares issued to holders in reinvestment of dividends		7,229,471			5,368,811			333,419			1,128,974
Shares redeemed		(14,099,286	)		(17,155,917	)		(17,143,695	)		(22,521,529	)
Net increase (decrease) in shares outstanding		(564,263	)		(3,098,711	)		(5,848,721	)		6,924,944
Institutional Class
Shares sold		—			—			—			—
Shares issued to holders in reinvestment of dividends		—			—			—			—
Shares redeemed		—			—			—			—
Net increase (decrease) in shares outstanding		—			—			—			—

See Notes to Financial Statements.

106

SEPTEMBER 30, 2015

INTERNATIONAL OPPORTUNITIES FUND						LARGE CAP VALUE FUND						LONG/SHORT FUND
Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
$	(1,455,524	)	$	(1,305,624	)	$	4,417,033		$	8,534,068		$	3,700,470		$	29,098,226
	22,684,497			35,150,911			23,888,706			154,870,921			113,223,926			171,383,910
	—			—			—			—			(1,377,491	)		5,865,618
	—			—			—			—			(2,298,097	)		(37,870,789	)
	(30,215,034	)		906,191			(44,068,657	)		(83,122,286	)		(484,033,257	)		(43,861,459	)
	(8,986,061	)		34,751,478			(15,762,918	)		80,282,703			(370,784,449	)		124,615,506
	—			—			(4,717,198	)		(8,959,912	)		(13,117,322	)		—
	(32,985,697	)		(18,321,459	)		(90,487,206	)		(220,160,713	)		(75,718,399	)		(35,737,283	)
	(32,985,697	)		(18,321,459	)		(95,204,404	)		(229,120,625	)		(88,835,721	)		(35,737,283	)
	—			—			(58,397	)		(170,579	)		(10,613,371	)		—
	—			—			(1,885,955	)		(3,657,318	)		(50,288,258	)		(19,002,705	)
	—			—			(1,944,352	)		(3,827,897	)		(60,901,629	)		(19,002,705	)
	185,060,513			101,294,846			12,556,127			37,422,394			230,166,705			799,289,456
	32,189,321			17,919,621			94,061,044			224,799,356			86,127,189			32,545,875
	(61,450,925	)		(74,216,881	)		(160,845,016	)		(489,674,350	)		(1,090,754,118	)		(659,696,589	)
	8,758			15,807			3,511			17,989			43,449			24,288
	155,807,667			45,013,393			(54,224,334	)		(227,434,611	)		(774,416,775	)		172,163,030
	—			—			213,244			612,575			168,746,062			322,177,847
	—			—			1,934,190			3,810,756			58,822,477			18,483,415
	—			—			(6,667,455	)		(9,439,909	)		(626,995,982	)		(167,604,694	)
	—			—			—			27			74,853			29,540
	—			—			(4,520,021	)		(5,016,551	)		(399,352,590	)		173,086,108
	113,835,909			61,443,412			(171,656,029	)		(385,116,981	)		(1,694,291,164	)		415,124,656
	339,659,217			278,215,805			417,237,012			802,353,993			2,719,275,052			2,304,150,396
$	453,495,126		$	339,659,217		$	245,580,983		$	417,237,012		$	1,024,983,888		$	2,719,275,052
$	(710,582	)	$	(20,725	)	$	(17,753	)	$	(22,352	)	$	330,202		$	20,796,346
	65,274,231			33,826,542			1,202,742			2,671,871			15,339,817			49,006,963
	12,055,926			6,265,602			9,575,413			18,290,490			5,703,787			2,006,527
	(21,478,869	)		(24,700,939	)		(15,418,721	)		(36,210,359	)		(75,345,316	)		(40,344,871	)
	55,851,288			15,391,205			(4,640,566	)		(15,247,998	)		(54,301,712	)		10,668,619
	—			—			21,708			43,989			11,145,839			19,643,613
	—			—			196,684			310,272			3,892,950			1,138,141
	—			—			(681,797	)		(650,406	)		(44,674,081	)		(10,209,928	)
	—			—			(463,405	)		(296,145	)		(29,635,292	)		10,571,826

107

WASATCH FUNDS — Statements of Changes in Net Assets (continued)

	MICRO CAP FUND						MICRO CAP VALUE FUND
	Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
Operations:
Net investment income (loss)	$	(2,613,931	)	$	(5,477,220	)	$	(879,035	)	$	(2,353,762	)
Net realized gain on investments, foreign currency translations and foreign capital gains taxes		42,447,306			37,100,367			18,597,991			20,469,961
Net realized gain on options written		—			—			272,422			1,322,199
Change in unrealized appreciation (depreciation) on investments, options, foreign currency translations and deferred capital gains taxes		(30,582,373	)		(32,943,005	)		(2,960,212	)		(13,401,279	)
Net increase (decrease) in net assets resulting from operations		9,251,002			(1,319,858	)		15,031,166			6,037,119
Dividends paid from:
Investor Class
Net investment income		(57,541	)		—			—			—
Net realized gains		(13,743,034	)		—			(21,640,698	)		(28,293,837	)
		(13,800,575	)		—			(21,640,698	)		(28,293,837	)
Capital share transactions:
Investor Class
Shares sold		8,870,349			19,894,352			18,213,412			30,540,367
Shares issued to holders in reinvestment of dividends		13,148,507			—			21,205,896			27,559,024
Shares redeemed		(37,976,905	)		(47,941,399	)		(37,443,746	)		(43,540,916	)
Redemption fees		3,154			7,491			2,428			11,225
Net increase (decrease)		(15,954,895	)		(28,039,556	)		1,977,990			14,569,700
Institutional Class
Shares sold		—			—			—			—
Shares redeemed		—			—			—			—
Redemption fees		—			—			—			—
Net increase		—			—			—			—
Total increase (decrease) in net assets		(20,504,468	)		(29,359,414	)		(4,631,542	)		(7,687,018	)
Net assets:
Beginning of period		293,815,311			323,174,725			158,800,406			166,487,424
End of period	$	273,310,843		$	293,815,311		$	154,168,864		$	158,800,406
Undistributed net investment income (loss) included in net assets at end of period	$	(764,789	)	$	(4,090,280	)	$	22,777		$	(680,747	)
Capital share transactions — shares:
Investor Class
Shares sold		1,119,278			2,556,405			6,134,016			9,343,898
Shares issued to holders in reinvestment of dividends		1,700,971			—			7,655,558			8,612,195
Shares redeemed		(4,853,557	)		(6,167,148	)		(12,687,971	)		(13,712,525	)
Net increase (decrease) in shares outstanding		(2,033,308	)		(3,610,743	)		1,101,603			4,243,568
Institutional Class
Shares sold		—			—			—			—
Shares redeemed		—			—			—			—
Net increase in shares outstanding		—			—			—			—

See Notes to Financial Statements.

108

SEPTEMBER 30, 2015

SMALL CAP GROWTH FUND						SMALL CAP VALUE FUND						STRATEGIC INCOME FUND
Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
$	(17,146,891	)	$	(18,534,122	)	$	2,406,464		$	(1,310,821	)	$	2,881,370		$	2,015,317
	339,817,590			224,696,107			10,252,311			26,792,880			3,027,134			6,566,435
	—			—			—			—			—			—
	(290,530,333	)		(173,771,617	)		(5,669,868	)		(4,346,303	)		(15,972,843	)		3,882,627
	32,140,366			32,390,368			6,988,907			21,135,756			(10,064,339	)		12,464,379
	—			—			—			—			(4,052,160	)		(2,306,293	)
	(210,961,388	)		(82,224,931	)		—			—			(5,830,282	)		(993,476	)
	(210,961,388	)		(82,224,931	)		—			—			(9,882,442	)		(3,299,769	)
	306,525,902			342,634,806			42,777,490			99,914,166			67,443,100			34,399,605
	202,491,582			77,677,538			—			—			9,799,845			3,262,457
	(549,309,702	)		(637,938,505	)		(57,465,289	)		(56,117,629	)		(63,607,687	)		(18,452,922	)
	63,180			67,655			12,491			35,940			14,686			4,988
	(40,229,038	)		(217,558,506	)		(14,675,308	)		43,832,477			13,649,944			19,214,128
	—			—			11,214,884			409,846			—			—
	—			—			(2,892,431	)		(361,935	)		—			—
	—			—			2,995			—			—			—
	—			—			8,325,448			47,911			—			—
	(219,050,060	)		(267,393,069	)		639,047			65,016,144			(6,296,837	)		28,378,738
	2,219,637,693			2,487,030,762			275,956,215			210,940,071			94,957,760			66,579,022
$	2,000,587,633		$	2,219,637,693		$	276,595,262		$	275,956,215		$	88,660,923		$	94,957,760
$	(12,167,564	)	$	(11,643,426	)	$	1,323,863		$	(1,019,565	)	$	98,362		$	(126,326	)
	5,977,502			6,608,019			6,914,700			16,975,454			5,399,978			2,774,574
	4,103,173			1,486,367			—			—			806,797			269,033
	(10,734,199	)		(12,384,521	)		(9,548,655	)		(9,716,502	)		(5,270,070	)		(1,537,984	)
	(653,524	)		(4,290,135	)		(2,633,955	)		7,258,952			936,705			1,505,623
	—			—			1,844,006			67,540			—			—
	—			—			(450,381	)		(63,395	)		—			—
	—			—			1,393,625			4,145			—			—

109

WASATCH FUNDS — Statements of Changes in Net Assets (continued)

	ULTRA GROWTH FUND						WORLD INNOVATORS FUND
	Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
Operations:
Net investment income (loss)	$	(1,149,038	)	$	(1,339,513	)	$	(1,611,952	)	$	(2,638,098	)
Net realized gain (loss) on investments, foreign currency translations and foreign capital gains taxes		9,017,957			31,334,090			20,035,191			27,258,295
Change in unrealized appreciation (depreciation) on investments, foreign currency translations and deferred capital gains taxes		(3,043,910	)		(21,390,497	)		(17,578,392	)		(17,034,854	)
Net increase in net assets resulting from operations		4,825,009			8,604,080			844,847			7,585,343
Dividends paid from:
Investor Class
Net investment income		(50,881	)		—			—			—
Net realized gains		(29,102,465	)		(10,009,711	)		(25,428,998	)		(14,888,675	)
		(29,153,346	)		(10,009,711	)		(25,428,998	)		(14,888,675	)
Capital share transactions:
Investor Class
Shares sold		4,721,549			7,691,766			23,707,197			94,143,976
Shares issued to holders in reinvestment of dividends		28,117,008			9,777,591			23,823,818			13,963,650
Shares redeemed		(15,331,162	)		(64,930,348	)		(89,996,316	)		(114,430,418	)
Redemption fees		2,527			2,841			10,860			25,794
Net increase (decrease)		17,509,922			(47,458,150	)		(42,454,441	)		(6,296,998	)
Total increase (decrease) in net assets		(6,818,415	)		(48,863,781	)		(67,038,592	)		(13,600,330	)
Net assets:
Beginning of period		102,833,707			151,697,488			253,310,615			266,910,945
End of period	$	96,015,292		$	102,833,707		$	186,272,023		$	253,310,615
Undistributed net investment income (loss) included in net assets at end of period	$	1,796,075		$	1,162,957		$	(854,667	)	$	(1,855,109	)
Capital share transactions — shares:
Investor Class
Shares sold		228,979			306,155			1,119,343			3,997,947
Shares issued to holders in reinvestment of dividends		1,481,402			391,104			1,171,279			595,464
Shares redeemed		(738,870	)		(2,526,727	)		(4,257,523	)		(4,922,563	)
Net increase (decrease) in shares outstanding		971,511			(1,829,468	)		(1,966,901	)		(329,152	)

See Notes to Financial Statements.

110

SEPTEMBER 30, 2015

INCOME FUND						U.S. TREASURY FUND
Year Ended September 30, 2015			Year Ended September 30, 2014			Year Ended September 30, 2015			Year Ended September 30, 2014
$	1,719,040		$	2,020,770		$	6,605,799		$	5,436,735
	407,021			79,678			40,074,870			(5,386,264	)
	(23,148	)		132,168			(26,646,790	)		26,028,553
	2,102,913			2,232,616			20,033,879			26,079,024
	(1,693,986	)		(2,049,307	)		(6,608,427	)		(5,436,357	)
	—			—			—			—
	(1,693,986	)		(2,049,307	)		(6,608,427	)		(5,436,357	)
	19,309,510			15,034,005			263,443,321			80,288,379
	1,594,129			1,993,127			6,348,154			5,215,126
	(29,108,583	)		(30,750,807	)		(180,211,720	)		(74,727,614	)
	2,724			7,237			192,080			14,175
	(8,202,220	)		(13,716,438	)		89,771,835			10,790,066
	(7,793,293	)		(13,533,129	)		103,197,287			31,432,733
	116,752,179			130,285,308			224,663,630			193,230,897
$	108,958,886		$	116,752,179		$	327,860,917		$	224,663,630
$	33,864		$	6,356		$	(20,881	)	$	22,071
	1,896,861			1,477,971			14,002,689			5,015,853
	156,439			196,157			341,021			324,073
	(2,856,744	)		(3,026,250	)		(9,698,391	)		(4,794,925	)
	(803,444	)		(1,352,122	)		4,645,319			545,001

111

WASATCH FUNDS — Financial Highlights

			Income (Loss) from Investment Operations												Less Distributions
	Net Asset Value Beginning of Period		Net Investment Income (Loss)			Net Realized and Unrealized Gains (Losses) on Investments			Total from Investment Operations			Redemption Fees (See Note 2)			Dividends from Net Investment Income			Distributions from Net Realized Gains			Total Distributions
Core Growth Fund — Investor Class
Year ended 9/30/15	$	53.46		(0.14	)15		5.95			5.81			—	4		—			(1.44	)		(1.44	)
Year ended 9/30/14	$	52.49		(0.39	)		2.12			1.73			—	4		—			(0.76	)		(0.76	)
Year ended 9/30/13	$	41.41		(0.12	)		11.19			11.07			0.01			—			—			—
Year ended 9/30/12	$	32.63		(0.26	)		9.04			8.78			—	4		—			—			—
Year ended 9/30/11	$	29.95		(0.19	)		2.87			2.68			—	4		—			—			—
Core Growth Fund — Institutional Class
Year ended 9/30/15	$	53.58		0.06			5.79			5.85			—	4		—			(1.44	)		(1.44	)
Year ended 9/30/14	$	52.57		(0.23	)		2.00			1.77			—	4		—			(0.76	)		(0.76	)
Year ended 9/30/13	$	41.44		(0.07	)		11.20			11.13			—	4		—			—			—
Period ended 9/30/128	$	38.32		(0.16	)		3.28			3.12			—			—			—			—
Emerging India Fund
Year ended 9/30/15	$	2.73		(0.04	)		0.38			0.34			—	4		—	4		—			—	4
Year ended 9/30/14	$	1.78		(—	)4		0.95			0.95			—	4		—			—			—
Year ended 9/30/13	$	2.02		(0.01	)		(0.23	)		(0.24	)		—	4		—			—			—
Year ended 9/30/12	$	1.83		(0.01	)		0.21			0.20			—	4		(0.01	)		—			(0.01	)
Period ended 9/30/1110	$	2.00		—	4		(0.17	)		(0.17	)		—	4		—			—			—
Emerging Markets Select Fund — Investor Class
Year ended 9/30/15	$	10.31		(0.04	)		(1.89	)		(1.93	)		—	4		(0.03	)		—			(0.03	)
Year ended 9/30/14	$	9.56		(0.01	)		0.77			0.76			—	4		(0.01	)		—			(0.01	)
Period ended 9/30/1313	$	10.00		—	4		(0.44	)		(0.44	)		—	4		—			—			—
Emerging Markets Select Fund — Institutional Class
Year ended 9/30/15	$	10.37		(0.03	)		(1.88	)		(1.91	)		—	4		(0.05	)		—			(0.05	)
Year ended 9/30/14	$	9.61		—	4		0.78			0.78			—	4		(0.02	)		—			(0.02	)
Period ended 9/30/1314	$	10.00		(—	)4		(0.39	)		(0.39	)		—	4		—			—			—
Emerging Markets Small Cap Fund
Year ended 9/30/15	$	2.74		(0.03	)		(0.32	)		(0.35	)		—	4		—	4		—			—	4
Year ended 9/30/14	$	2.67		(0.01	)		0.14			0.13			—	4		—			(0.06	)		(0.06	)
Year ended 9/30/13	$	2.66		0.01			0.01			0.02			—	4		(0.01	)		—			(0.01	)
Year ended 9/30/12	$	2.16		0.01			0.49			0.50			—	4		—			—			—
Year ended 9/30/11	$	2.37		—	4		(0.21	)		(0.21	)		—	4		—	4		—			—	4
Frontier Emerging Small Countries Fund
Year ended 9/30/15	$	3.32		0.02			(0.50	)		(0.48	)		—	4		(0.02	)		(0.05	)		(0.07	)
Year ended 9/30/14	$	2.97		0.03			0.33			0.36			—	4		(0.01	)		—			(0.01	)
Year ended 9/30/13	$	2.41		0.01			0.55			0.56			—	4		—	4		—	4		—	4
Period ended 9/30/129	$	2.00		0.01			0.40			0.41			—	4		—			—			—
Global Opportunities Fund
Year ended 9/30/15	$	4.28		(0.05	)		(0.08	)		(0.13	)		—	4		(0.01	)		(0.63	)		(0.64	)
Year ended 9/30/14	$	4.58		(0.05	)		0.23			0.18			—	4		—	4		(0.48	)		(0.48	)
Year ended 9/30/13	$	4.15		(0.02	)		0.93			0.91			—	4		—			(0.48	)		(0.48	)
Year ended 9/30/12	$	3.68		(0.03	)		0.93			0.90			—	4		—			(0.43	)		(0.43	)
Year ended 9/30/11	$	3.97		(0.02	)		(0.13	)		(0.15	)		—	4		—			(0.14	)		(0.14	)
International Growth Fund
Year ended 9/30/15	$	26.78		(0.09	)		1.39			1.30			—	4		(0.01	)		(0.19	)		(0.20	)
Year ended 9/30/14	$	28.76		(0.02	)		(1.24	)		(1.26	)		—	4		—			(0.72	)		(0.72	)
Year ended 9/30/13	$	22.44		0.07			6.32			6.39			0.01			(0.08	)		—			(0.08	)
Year ended 9/30/12	$	17.21		0.09			5.14			5.23			—	4		—			—			—
Year ended 9/30/11	$	18.66		—	4		(1.46	)		(1.46	)		0.01			—			—			—
International Opportunities Fund
Year ended 9/30/15	$	3.09		(0.01	)		(0.04	)		(0.05	)		—	4		—			(0.30	)		(0.30	)
Year ended 9/30/14	$	2.94		(0.01	)		0.33			0.32			—	4		—			(0.17	)		(0.17	)
Year ended 9/30/13	$	2.41		(—	)4		0.53			0.53			—	4		—			—			—
Year ended 9/30/12	$	2.24		—	4		0.44			0.44			—	4		—			(0.27	)		(0.27	)
Year ended 9/30/11	$	2.57		(0.01	)		(0.25	)		(0.26	)		—	4		—			(0.07	)		(0.07	)
Large Cap Value Fund — Investor Class
Year ended 9/30/15	$	12.69		0.15			(0.69	)		(0.54	)		—	4		(0.16	)		(3.15	)		(3.31	)
Year ended 9/30/14	$	16.57		0.21			1.49			1.70			—	4		(0.22	)		(5.36	)		(5.58	)
Year ended 9/30/13	$	14.31		0.22			2.37			2.59			—	4		(0.20	)		(0.13	)		(0.33	)
Year ended 9/30/12	$	11.85		0.20			2.46			2.66			—	4		(0.20	)		—			(0.20	)
Year ended 9/30/11	$	12.64		0.17			(0.79	)		(0.62	)		—	4		(0.17	)		—			(0.17	)

See Notes to Financial Highlights and Notes to Financial Statements.

112

(for a share outstanding throughout each period)

					Ratios to Average Net Assets												Supplemental Data
Net Asset Value End of Period		Total Return (%)1			Expenses Net of Waivers and Reimbursements (%)2			Expenses Before Waivers and Reimbursements (%)2			Net Investment Income Net of Waivers and Reimbursements (%)2			Net Investment Income Before Waivers and Reimbursements (%)2			Net Assets End of Period (000s)		Portfolio Turnover Rate1 3
$	57.83		10.87			1.17	5		1.17	5		(0.29	)15		(0.29	)15	$	1,014,515		39%
$	53.46		3.26			1.18	5		1.18	5		(0.64	)		(0.64	)	$	859,086		26%
$	52.49		26.76			1.21	5		1.21	5		(0.39	)		(0.39	)	$	924,304		16%
$	41.41		26.91			1.23	5		1.23	5		(0.70	)		(0.70	)	$	581,371		28%
$	32.63		8.95			1.22			1.22			(0.57	)		(0.57	)	$	433,294		27%
$	57.99		10.94			1.12	5		1.13	5		(0.29	)15		(0.30	)15	$	150,614		39%
$	53.58		3.31			1.13	5		1.19	5		(0.59	)		(0.65	)5	$	49,369		26%
$	52.57		26.86			1.12	5		1.32	5		(0.32	)		(0.52	)5	$	19,971		16%
$	41.44		8.14			1.12	5		1.55	5		(0.62	)		(1.05	)	$	9,101		28%
$	3.07		12.51			1.95	5		2.12	5		(1.38	)		(1.55	)	$	63,850		36%
$	2.73		53.37			1.96	5		2.58	5		(0.76	)		(1.38	)	$	44,150		13%
$	1.78		(11.88	)		1.95	5		2.99	5		(0.99	)		(2.03	)	$	15,938		40%
$	2.02		11.42			1.95	5		3.41	5		(0.65	)		(2.11	)	$	13,658		17%
$	1.83		(8.50	)		1.95			4.85			(0.07	)		(2.97	)	$	10,580		2%
$	8.35		(18.81	)		1.70	6		2.00	6		(0.23	)		(0.53	)	$	18,527		46%
$	10.31		7.92			1.69	5		1.88	5		(0.09	)		(0.28	)	$	26,502		59%
$	9.56		(4.40	)		1.69	5		2.40	5		0.04			(0.67	)	$	29,374		43%
$	8.41		(18.67	)		1.51	6		1.77	6		(0.06	)		(0.32	)	$	19,270		46%
$	10.37		8.13			1.51	5		1.71	5		0.05			(0.15	)	$	32,306		59%
$	9.61		(3.90	)		1.50	5		2.21	5		(0.18	)		(0.89	)	$	28,861		43%
$	2.39		(12.65	)		1.95	5		2.01	5		(0.63	)		(0.69	)	$	981,367		59%
$	2.74		4.90			1.95	5		2.02	5		(0.28	)		(0.35	)	$	1,457,882		55%
$	2.67		0.85			1.95	5		2.06	5		0.21			0.09		$	1,785,681		41%
$	2.66		23.15			1.95	5		2.13	5		0.29			0.11		$	1,482,265		39%
$	2.16		(8.85	)		1.96			2.19			0.22			(0.01	)	$	774,198		48%
$	2.77		(14.88	)		2.25	5		2.28	5		0.39			0.36		$	1,027,673		34%
$	3.32		11.97			2.24	5		2.24	5		0.79			0.79		$	1,324,694		22%
$	2.97		22.88			2.25	5		2.43	5		0.81			0.63		$	730,694		13%
$	2.41		20.50			2.25	5		3.64	5		1.31			(0.08	)	$	33,045		5%
$	3.51		(3.88	)		1.81	5		1.81	5		(1.10	)		(1.10	)	$	155,968		54%
$	4.28		3.94			1.78	5		1.78	5		(0.83	)		(0.83	)	$	192,664		42%
$	4.58		24.23			1.80	5		1.80	5		(0.70	)		(0.70	)	$	220,460		43%
$	4.15		26.69			1.84	5		1.84	5		(0.61	)		(0.61	)	$	153,582		38%
$	3.68		(4.21	)		1.94			1.94			(0.41	)		(0.41	)	$	199,855		59%
$	27.88		4.83			1.50	5		1.50	5		(0.32	)		(0.32	)	$	1,316,095		46%
$	26.78		(4.53	)		1.46	5		1.46	5		(0.06	)		(0.06	)	$	1,421,086		42%
$	28.76		28.63			1.49	5		1.49	5		0.25			0.25		$	1,326,931		44%
$	22.44		30.39			1.57	6		1.57	6		0.51			0.51		$	434,824		44%
$	17.21		(7.77	)		1.66			1.66			(0.01	)		(0.01	)	$	281,481		70%
$	2.74		(1.44	)		2.25	5		2.43	5		(0.36	)		(0.54	)	$	453,495		25%
$	3.09		11.53			2.25	5		2.41	5		(0.40	)		(0.56	)	$	339,659		38%
$	2.94		21.99			2.25	5		2.42	5		(0.03	)		(0.20	)	$	278,216		49%
$	2.41		22.33			2.25	6		2.48	6		(0.16	)		(0.39	)	$	194,563		41%
$	2.24		(10.49	)		2.25			2.55			(0.58	)		(0.88	)	$	151,569		108%
$	8.84		(6.61	)		1.10	5		1.12	5		1.34			1.32		$	244,056		39%
$	12.69		11.78			1.11	5 11		1.12	5 11		1.38			1.37		$	409,169		53%
$	16.57		18.40			1.10	5		1.16	5		1.27			1.21		$	786,910		47%
$	14.31		22.50			1.10	5		1.15	5		1.42			1.37		$	1,298,365		14%
$	11.85		(5.08	)		1.10			1.11			1.24			1.23		$	1,546,471		26%

113

WASATCH FUNDS — Financial Highlights (continued)

			Income (Loss) from Investment Operations												Less Distributions
	Net Asset Value Beginning of Period		Net Investment Income (Loss)			Net Realized and Unrealized Gains (Losses) on Investments			Total from Investment Operations			Redemption Fees (See Note 2)			Dividends from Net Investment Income			Distributions from Net Realized Gains			Total Distributions
Large Cap Value Fund — Institutional Class
Year ended 9/30/15	$	12.69		(0.04	)		(0.49	)		(0.53	)		—	4		(0.17	)		(3.15	)		(3.32	)
Year ended 9/30/14	$	16.57		0.20			1.52			1.72			—	4		(0.24	)		(5.36	)		(5.60	)
Year ended 9/30/13	$	14.31		0.22			2.39			2.61			—	4		(0.22	)		(0.13	)		(0.35	)
Period ended 9/30/128	$	13.77		0.12			0.57			0.69			—	4		(0.15	)		—			(0.15	)
Long/Short Fund — Investor Class
Year ended 9/30/15	$	16.29		0.02			(3.00	)		(2.98	)		—	4		(0.14	)		(0.81	)		(0.95	)
Year ended 9/30/14	$	15.82		0.17			0.65			0.82			—	4		—			(0.35	)		(0.35	)
Year ended 9/30/13	$	13.66		(0.04	)		2.23			2.19			—	4		—			(0.03	)		(0.03	)
Year ended 9/30/12	$	11.85		(0.02	)		1.83			1.81			—	4		—			—			—
Year ended 9/30/11	$	11.74		(0.04	)		0.16			0.12			—	4		(0.01	)		—			(0.01	)
Long/Short Fund — Institutional Class
Year ended 9/30/15	$	16.32		0.06			(3.02	)		(2.96	)		—	4		(0.17	)		(0.81	)		(0.98	)
Year ended 9/30/14	$	15.83		0.18			0.66			0.84			—	4		—			(0.35	)		(0.35	)
Period ended 9/30/1314	$	13.80		(0.01	)		2.07			2.06			—	4		—			(0.03	)		(0.03	)
Micro Cap Fund
Year ended 9/30/15	$	7.36		(0.08	)16		0.28			0.20			—	4		—	4		(0.35	)		(0.35	)
Year ended 9/30/14	$	7.42		(0.14	)		0.08			(0.06	)		—	4		—			—			—
Year ended 9/30/13	$	5.71		(0.10	)		1.81			1.71			—	4		—			—			—
Year ended 9/30/12	$	4.40		(0.09	)		1.40			1.31			—	4		—			—			—
Year ended 9/30/11	$	4.44		(0.06	)		0.02			(0.04	)		—	4		—			—			—
Micro Cap Value Fund
Year ended 9/30/15	$	3.02		(0.02	)17		0.31			0.29			—	4		—			(0.44	)		(0.44	)
Year ended 9/30/14	$	3.45		(0.04	)		0.18			0.14			—	4		—			(0.57	)		(0.57	)
Year ended 9/30/13	$	2.85		(0.03	)		0.91			0.88			—	4		—			(0.28	)		(0.28	)
Year ended 9/30/12	$	2.24		(0.04	)		0.65			0.61			—	4		—			—			—
Year ended 9/30/11	$	2.38		(0.04	)		(0.10	)		(0.14	)		—	4		—			—			—
Small Cap Growth Fund
Year ended 9/30/15	$	50.25		(0.40	)		0.93			0.53			—	4		—			(4.81	)		(4.81	)
Year ended 9/30/14	$	51.31		(0.41	)		1.03			0.62			—	4		—			(1.68	)		(1.68	)
Year ended 9/30/13	$	43.82		(0.15	)		10.53			10.38			—	4		—			(2.89	)		(2.89	)
Year ended 9/30/12	$	35.37		(0.29	)		10.40			10.11			—	4		—			(1.66	)		(1.66	)
Year ended 9/30/11	$	34.24		(0.13	)		1.26			1.13			—	4		—			—			—
Small Cap Value Fund — Investor Class
Year ended 9/30/15	$	5.69		0.05	18		0.12			0.17			—	4		—			—			—
Year ended 9/30/14	$	5.12		(0.02	)		0.59			0.57			—	4		—			—			—
Year ended 9/30/13	$	3.81		(0.01	)		1.32			1.31			—	4		—			—			—
Year ended 9/30/12	$	3.12		(0.03	)		0.72			0.69			—	4		—			—			—
Year ended 9/30/11	$	3.08		(0.02	)		0.06			0.04			—	4		—			—			—
Small Cap Value Fund — Institutional Class
Year ended 9/30/15	$	5.72		0.05	18		0.11			0.16			—	4		—			—			—
Year ended 9/30/14	$	5.14		(0.03	)		0.61			0.58			—			—			—			—
Year ended 9/30/13	$	3.82		(0.01	)		1.33			1.32			—	4		—			—			—
Period ended 9/30/128	$	3.68		(0.01	)		0.15			0.14			—			—			—			—
Strategic Income Fund
Year ended 9/30/15	$	12.63		0.30			(1.38	)		(1.08	)		—	4		(0.44	)		(0.62	)		(1.06	)
Year ended 9/30/14	$	11.08		0.32			1.74			2.06			—	4		(0.35	)		(0.16	)		(0.51	)
Year ended 9/30/13	$	9.30		0.33			1.78			2.11			—	4		(0.33	)		—			(0.33	)
Year ended 9/30/12	$	7.57		0.16			1.77			1.93			—	4		(0.20	)		—			(0.20	)
Year ended 9/30/11	$	7.51		0.25			0.06			0.31			—	4		(0.25	)		—			(0.25	)
Ultra Growth Fund
Year ended 9/30/15	$	23.67		(0.26	)		1.54			1.28			—	4		(0.01	)		(6.88	)		(6.89	)
Year ended 9/30/14	$	24.57		(0.06	)		0.80			0.74			—	4		—			(1.64	)		(1.64	)
Year ended 9/30/13	$	22.83		(0.15	)		4.96			4.81			—	4		—			(3.07	)		(3.07	)
Year ended 9/30/12	$	20.11		(0.08	)		3.98			3.90			—	4		—			(1.18	)		(1.18	)
Year ended 9/30/11	$	19.80		(0.17	)		0.48			0.31			—	4		—			—			—
World Innovators Fund
Year ended 9/30/15	$	22.62		(0.21	)		0.30			0.09			—	4		—			(2.54	)		(2.54	)
Year ended 9/30/14	$	23.15		(0.24	)		0.91			0.67			—	4		—			(1.20	)		(1.20	)
Year ended 9/30/13	$	18.55		(0.12	)		4.72			4.60			—	4		—			—			—
Year ended 9/30/12	$	14.71		(0.12	)		3.96			3.84			—	4		—			—			—
Year ended 9/30/11	$	13.65		(0.13	)		1.19			1.06			—	4		—			—			—

See Notes to Financial Highlights and Notes to Financial Statements.

114

(for a share outstanding throughout each period)

					Ratios to Average Net Assets												Supplemental Data
Net Asset Value End of Period		Total Return (%)1			Expenses Net of Waivers and Reimbursements (%)2			Expenses Before Waivers and Reimbursements (%)2			Net Investment Income Net of Waivers and Reimbursements (%)2			Net Investment Income Before Waivers and Reimbursements (%)2			Net Assets End of Period (000s)		Portfolio Turnover Rate1 3
$	8.84		(6.50	)		0.98	5		1.44	5		1.40			0.94		$	1,525		39%
$	12.69		11.95			0.98	5		1.25	5		1.52			1.25		$	8,068		53%
$	16.57		18.54			0.98	5		1.35	5		1.37			1.00		$	15,444		47%
$	14.31		5.02			0.98	5		1.31	5		1.44			1.11		$	15,511		14%
$	12.36		(19.33	)		1.61	7		1.61	7		0.12			0.12		$	616,192		44%
$	16.29		5.21			1.53	7 12		1.53	7 12		1.05			1.05		$	1,696,707		47%
$	15.82		16.09			1.51	7		1.51	7		(0.22	)		(0.22	)	$	1,479,371		47%
$	13.66		15.27			1.51	7		1.51	7		(0.20	)		(0.20	)	$	1,537,220		71%
$	11.85		0.98			1.63	7		1.63	7		(0.44	)		(0.44	)	$	833,298		82%
$	12.38		(19.19	)		1.47	7		1.47	7		0.25			0.25		$	408,792		44%
$	16.32		5.33			1.42	7		1.42	7		1.18			1.18		$	1,022,568		47%
$	15.83		14.99			1.39	7		1.40	7		(0.16	)		(0.17	)	$	824,780		47%
$	7.21		2.45			1.90	5		1.90	5		(0.85	)16		(0.85	)16	$	273,311		31%
$	7.36		(0.81	)		1.97			1.97			(1.67	)		(1.67	)	$	293,815		26%
$	7.42		29.95			2.13	5		2.13	5		(1.28	)		(1.28	)	$	323,175		17%
$	5.71		29.77			2.14	5		2.14	5		(1.50	)		(1.50	)	$	289,449		25%
$	4.40		(0.90	)		2.14			2.14			(1.05	)		(1.05	)	$	253,415		30%
$	2.87		9.99			1.96	6		2.02	6		(0.55	)17		(0.61	)17	$	154,169		53%
$	3.02		3.26			2.03	5		2.09	5		(1.31	)		(1.37	)	$	158,800		71%
$	3.45		33.92			2.25	5		2.25	5		(0.92	)		(0.92	)	$	166,487		66%
$	2.85		27.23			2.25	5		2.31	5		(1.27	)		(1.33	)	$	138,299		78%
$	2.24		(5.88	)		2.25			2.28			(1.21	)		(1.24	)	$	142,795		94%
$	45.97		0.39			1.22	5		1.22	5		(0.75	)		(0.75	)	$	2,000,588		31%
$	50.25		1.09			1.21	5		1.21	5		(0.75	)		(0.75	)	$	2,219,638		23%
$	51.31		25.34			1.23	5		1.23	5		(0.42	)		(0.42	)	$	2,487,031		10%
$	43.82		29.41			1.24	5		1.24	5		(0.73	)		(0.73	)	$	1,824,781		20%
$	35.37		3.30			1.23			1.23			(0.32	)		(0.32	)	$	1,297,982		23%
$	5.86		2.99			1.21	5		1.21	5		0.82	18		0.82	18	$	257,655		57%
$	5.69		11.13			1.20	5		1.20	5		(0.52	)		(0.52	)	$	265,521		50%
$	5.12		34.38			1.26	5		1.27	5		(0.21	)		(0.22	)	$	201,581		40%
$	3.81		22.12			1.46	5		1.46	5		(0.73	)		(0.73	)	$	166,330		55%
$	3.12		1.30			1.78			1.78			(0.65	)		(0.65	)	$	169,401		46%
$	5.88		2.97			1.15	5		1.20	5		0.92	18		0.87	18	$	18,941		57%
$	5.72		11.28			1.15	5		1.44	5		(0.49	)		(0.78	)	$	10,436		50%
$	5.14		34.55			1.15	5		1.46	5		(0.11	)		(0.42	)	$	9,359		40%
$	3.82		3.80			1.15	5		1.66	5		(0.42	)		(0.93	)	$	7,243		55%
$	10.49		(9.54	)		0.95	5		0.95	5		2.51			2.51		$	88,661		78%
$	12.63		18.94			0.95	5		0.96	5		2.59			2.58		$	94,958		69%
$	11.08		23.01			0.95	5		1.06	5		3.16			3.05		$	66,579		54%
$	9.30		25.61			0.95	5		1.14	5		1.74			1.55		$	44,635		57%
$	7.57		3.94			0.95			1.21			2.99			2.73		$	24,057		62%
$	18.06		4.02			1.31	5		1.31	5		(1.06	)		(1.06	)	$	96,015		38%
$	23.67		2.66			1.26	5		1.26	5		(1.00	)		(1.00	)	$	102,834		38%
$	24.57		24.52			1.29	5		1.29	5		(0.64	)		(0.64	)	$	151,697		25%
$	22.83		20.13			1.32	5		1.32	5		(0.35	)		(0.35	)	$	143,259		43%
$	20.11		1.57			1.42			1.42			(0.51	)		(0.51	)	$	134,203		60%
$	20.17		0.32			1.76	5		1.76	5		(0.76	)		(0.76	)	$	186,272		100%
$	22.62		2.69			1.73	5		1.73	5		(0.89	)		(0.89	)	$	253,311		111%
$	23.15		24.80			1.77	5		1.79	5		(0.84	)		(0.86	)	$	266,911		84%
$	18.55		26.10			1.85	5		1.85	5		(0.99	)		(0.99	)	$	167,934		66%
$	14.71		7.77			1.95			1.95			(0.84	)		(0.84	)	$	72,493		85%

115

WASATCH FUNDS — Financial Highlights (continued)

			Income (Loss) from Investment Operations											Less Distributions
	Net Asset Value Beginning of Period		Net Investment Income (Loss)		Net Realized and Unrealized Gains (Losses) on Investments			Total from Investment Operations			Redemption Fees (See Note 2)			Dividends from Net Investment Income			Distributions from Net Realized Gains			Total Distributions
Income Fund
Year ended 9/30/15	$	10.15		0.16		0.03			0.19			—	4		(0.16	)		—			(0.16	)
Year ended 9/30/14	$	10.13		0.17		0.02			0.19			—	4		(0.17	)		—			(0.17	)
Year ended 9/30/13	$	10.44		0.17		(0.31	)		(0.14	)		—			(0.17	)		—			(0.17	)
Year ended 9/30/12	$	10.32		0.20		0.12			0.32			—	4		(0.20	)		—			(0.20	)
Year ended 9/30/11	$	10.34		0.25		(0.02	)		0.23			—	4		(0.25	)		—			(0.25	)
U.S. Treasury Fund
Year ended 9/30/15	$	17.08		0.38		1.33			1.71			0.01			(0.38	)		—			(0.38	)
Year ended 9/30/14	$	15.33		0.45		1.75			2.20			—	4		(0.45	)		—			(0.45	)
Year ended 9/30/13	$	18.75		0.44		(3.08	)		(2.64	)		0.01			(0.44	)		(0.35	)		(0.79	)
Year ended 9/30/12	$	18.75		0.42		0.77			1.19			0.01			(0.42	)		(0.78	)		(1.20	)
Year ended 9/30/11	$	17.17		0.52		2.63			3.15			0.02			(0.52	)		(1.07	)		(1.59	)

See Notes to Financial Highlights and Notes to Financial Statements.

116

(for a share outstanding throughout each period)

					Ratios to Average Net Assets										Supplemental Data
Net Asset Value End of Period		Total Return (%)1			Expenses Net of Waivers and Reimbursements (%)2			Expenses Before Waivers and Reimbursements (%)2			Net Investment Income Net of Waivers and Reimbursements (%)2		Net Investment Income Before Waivers and Reimbursements (%)2		Net Assets End of Period (000s)		Portfolio Turnover Rate1 3
$	10.18		1.87			0.72	5		0.72	5		1.57		1.57	$	108,959		44%
$	10.15		1.91			0.70	5		0.70	5		1.66		1.66	$	116,752		13%
$	10.13		(1.34	)		0.71			0.71			1.67		1.67	$	130,285		35%
$	10.44		3.16			0.70	5		0.70	5		1.97		1.97	$	139,186		48%
$	10.32		2.26			0.71			0.71			2.42		2.42	$	135,617		43%
$	18.42		10.09			0.67	5		0.67	5		2.12		2.12	$	327,861		131%
$	17.08		14.54			0.70	5		0.70	5		2.77		2.77	$	224,664		28%
$	15.33		(14.43	)		0.71	5		0.71	5		2.46		2.46	$	193,231		34%
$	18.75		6.66			0.72	5		0.72	5		2.33		2.33	$	271,495		13%
$	18.75		22.06			0.75			0.76			3.44		3.43	$	187,368		44%

117

WASATCH FUNDS — Notes to Financial Highlights SEPTEMBER 30, 2015

  ¹ Not annualized for periods less than one year.

  ² Annualized for periods less than one year.

  ³ Portfolio turnover is calculated on the basis of the Fund as a whole without distinguishing between the classes of shares issued.

  ⁴ Represents amounts less than $.005 per share.

  ⁵ Includes interest expense of less than 0.005%.

  ⁶ Includes interest expenses of more than 0.005%.

  ⁷ Includes interest expense and dividend payments for securities sold short. The ratios excluding such expenses are listed below:

	Expenses Net of Waivers and Reimbursements2		Expenses Before Waivers and Reimbursements2
Long/Short Fund — Investor Class
Year ended 9/30/15		1.30%		1.30%
Year ended 9/30/14		1.27%		1.27%
Year ended 9/30/13		1.28%		1.28%
Year ended 9/30/12		1.27%		1.27%
Year ended 9/30/11		1.30%		1.30%
Long/Short Fund — Institutional Class
Year ended 9/30/15		1.16%		1.16%
Year ended 9/30/14		1.16%		1.16%
Period ended 9/30/1314		1.17%		1.18%

  ⁸ Institutional class inception date was January 31, 2012.

  ⁹ Fund inception date was January 31, 2012.

¹⁰ Fund inception date was April 26, 2011.

¹¹ Includes extraordinary expenses of 0.01% (see Note 7).

¹² Includes extraordinary expenses of less than 0.01% (see Note 7).

¹³ Fund inception date was December 13, 2012.

¹⁴ Institutional class inception date was December 13, 2012.

¹⁵  Investment Income per share reflects a large, non-recurring dividend which amounted to $0.17 and $0.08 per share for the Investor Class and Institutional Class, respectively. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been as follows:

	Investor Class			Institutional Class
Net Investment Income
Net of Waivers and Reimbursements		(0.58	)%		(0.59	)%
Net Investment Income
Before Waivers and Reimbursements		(0.58	)%		(0.60	)%

¹⁶  Investment Income per share reflects a large, non-recurring dividend which amounted to $0.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (1.40)%.

¹⁷  Investment Income per share reflects a large, non-recurring dividend which amounted to $0.01. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (1.04)% for Net Investment Income Net of Waivers and Reimbursements and (1.10)% for Net Investment Income Before Waivers and Reimbursements.

¹⁸  Investment Income per share reflects a large, non-recurring dividend which amounted to $0.05 and $0.05 per share for the Investor Class and Institutional Class, respectively. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been as follows:

	Investor Class			Institutional Class
Net Investment Income
Net of Waivers and Reimbursements		(0.00	)%19		0.10%
Net Investment Income
Before Waivers and Reimbursements		(0.00	)%19		0.05%

¹⁹  Amount is less than 0.005%.

See Notes to Financial Statements.

118

WASATCH FUNDS — Notes to Financial Statements SEPTEMBER 30, 2015

1. ORGANIZATION

Wasatch Funds Trust (the “Trust”) is a Massachusetts business trust registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company and consists of 19 series or funds (each a “Fund” and collectively the “Funds”). The Core Growth Fund, Emerging India Fund, Emerging Markets Small Cap Fund, Frontier Emerging Small Countries Fund, Global Opportunities Fund, International Growth Fund, International Opportunities Fund, Large Cap Value Fund, Long/Short Fund, Micro Cap Fund, Micro Cap Value Fund, Small Cap Growth Fund, Small Cap Value Fund, Strategic Income Fund, Ultra Growth Fund, World Innovators Fund, Wasatch-1st Source Income Fund (“Income Fund”) (sub-advised), and Wasatch-Hoisington U.S. Treasury Fund (“U.S. Treasury Fund”) (sub-advised) are each diversified funds. The Emerging Markets Select Fund is a non-diversified fund. Each Fund maintains its own investment objective(s). The Heritage Growth Fund was liquidated on April 30, 2015.

On November 9, 2011, the Trust re-designated the shares of the Funds into Investor Class shares effective January 31, 2012, and authorized and designated a new Institutional Class of shares in the Funds. Currently five funds offer Institutional Class shares: Core Growth Fund, Large Cap Value Fund and Small Cap Value Fund, which commenced operations on January 31, 2012, as well as the Emerging Markets Select Fund and Long/Short Fund, which commenced operations on December 13, 2012. Each class of shares for each Fund has identical rights and privileges except with respect to purchase minimums, distribution and service charges, shareholder services, voting rights on matters affecting a single class of shares, and the exchange and conversion features. The Funds have entered into an investment advisory agreement with Wasatch Advisors, Inc. (the “Advisor” or “Wasatch”) as investment advisor.

The Core Growth, Emerging India, Emerging Markets Select, Emerging Markets Small Cap, Frontier Emerging Small Countries, Global Opportunities, International Growth, International Opportunities, Large Cap Value, Long/Short, Micro Cap, Micro Cap Value, Small Cap Growth, Small Cap Value, Strategic Income, Ultra Growth and World Innovators Funds are referred to herein as the “Equity Funds.”

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant policies related to investments of the Funds held at September 30, 2015. These policies are in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Valuation of Securities — All investments in securities are recorded at their estimated fair value as described in Note 14.

Foreign Currency Translations — Values of investments denominated in foreign currencies are converted into U.S. dollars using the current exchange rates each business day

(generally 2:00 p.m. Eastern Time). Purchases and sales of investments and dividend income are translated into U.S. dollars using the current prevailing exchange rate on the transaction date. The effect of changes in foreign exchange rates on realized and unrealized gains or losses on securities is reflected as a component of such gains or losses. Transactions in foreign denominated assets may involve greater risks than domestic transactions.

Investment in Securities and Related Investment Income — Security transactions are accounted for on the trade date. Gains or losses on securities sold are determined on the identified cost basis. Dividend income and distributions to shareholders are recorded on the ex-dividend date except that certain dividends from foreign securities may be recorded after the ex-dividend date based on when the Fund is informed of the dividend. Interest income and estimated expenses are accrued daily. Bond discount and premiums are amortized using the interest method. To the extent dividends received include return of capital or capital gain distributions; such distributions are recorded as a reduction to cost of the related security or as realized gain/loss.

Expenses — The Funds contract for various services on a collective basis. Most expenses are directly attributable to each Fund and therefore are charged accordingly. Expenses that are not directly attributable to one or more Funds are allocated among applicable Funds on an equitable and consistent basis considering such things as the nature and type of expense and the relative net assets of the Funds.

Use of Management Estimates — The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported changes in net assets during the reporting period. Actual results could differ from those estimates.

Guarantees and Indemnifications — In the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties which provide general indemnifications. The maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds and/or their affiliates that have not yet occurred. Based on experience, however, the risk of loss is expected to be remote.

Redemption Fees — The Funds deduct a fee of 2.00% from redemption proceeds on shares of the Funds held 60 days or less. Redemption fees retained by the Funds are credited to additional paid-in capital.

New Accounting Pronouncements — In May 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-07 entitled Fair Value Measurement (Topic 820) — Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent) which is intended to address the diversity in practice of how investments measured at net asset value with redemption dates in the future (including periodic redemption dates) are categorized within the fair value hierarchy. The FASB guidance allows reporting entities to exclude investments measured at net asset value (NAV) per share under the existing practical

119

WASATCH FUNDS — Notes to Financial Statements (continued)

expedient in ASC 820 from the fair value hierarchy. ASU 2015-07 is effective for interim and annual reporting periods in fiscal years that begin after December 15, 2015. At this time, management is evaluating the implications of ASU 2015-07 and its impact to financial statements.

Other — Income, expenses, and realized and unrealized gains or losses on investments are generally allocated to each class of shares based on its relative net assets, except that each class separately bears expenses related specifically to that class, such as certain shareholder servicing fees.

3. SECURITIES AND OTHER INVESTMENTS

Repurchase Agreements — The Funds may engage in repurchase transactions. Under the terms of a typical repurchase agreement, a fund takes possession of an underlying debt obligation subject to an obligation of the seller to repurchase and the fund to resell the obligation at an agreed upon price and time. The market value of the collateral must be at least equal at all times to the total amount of the repurchase obligation, including interest. Generally, in the event of counterparty default, the fund has the right to use the collateral to offset losses incurred. Refer to Note 15 (Offsetting) for more information about the offsetting of assets and liabilities.

Short Sales — The Long/Short Fund and to a lesser extent the other Equity Funds may enter into short sales whereby a fund sells a security it generally does not own (the security is borrowed), in anticipation of a decline in the security’s price. The initial amount of a short sale is recorded as a liability which is marked-to-market daily. Fluctuations in the value of the short liability are recorded as unrealized gains or losses. If a Fund shorts a security when also holding a long position in the security (a “short against the box”), as the security’s price declines, the short position increases in value, offsetting the long position’s decrease in value. The opposite effect occurs if the security’s price rises. A Fund realizes a gain or loss upon closing of the short sale (returning the security to the counterparty by way of purchase or delivery of a long position owned). Possible losses from short sales may be unlimited, whereas losses from security purchases cannot exceed the total amount invested. The Funds are liable to the buyer for any dividends payable on securities while those securities are in a short position. These dividends are an expense of the Funds. The Funds designate collateral consisting of cash, U.S. government securities or other liquid assets sufficient to collateralize the market value of short positions. Refer to Note 15 (Offsetting) for more information about the offsetting of assets and liabilities.

Participation Notes — The Frontier Emerging Small Countries and the Global Opportunities Funds may invest in Participation Notes (P-Notes). P-Notes are promissory notes that are designed to offer a return linked to the performance of a particular underlying equity security or market. P-Notes are issued by banks or broker-dealers and allow a fund to gain exposure to common stocks in markets where direct investment is not allowed, such as Saudi Arabia.

While the holder of a P-Note is entitled to receive from the bank or broker-dealer any dividends or other distributions paid on the underlying securities, the holder is not entitled to the same rights as an owner of the underlying securities, such as voting rights. Income received from P-Notes is recorded as dividend income in the Statement of Operations. P-Notes are considered general unsecured contractual obligations of the bank or broker-dealer. Risks associated with P-Notes include the possible failure of a counterparty (i.e., the issuing bank or broker-dealer) to perform in accordance with the terms of the agreement, inability to transfer or liquidate the notes, potential delays or an inability to redeem the notes before maturity under certain market conditions, and limited legal recourse against the issuer of the underlying common stock.

4. FINANCIAL DERIVATIVE INSTRUMENTS

Foreign Currency Contracts — The Funds may enter into foreign currency contracts to settle planned purchases or sales of securities or to protect against a possible loss resulting from the adverse change in the relationship between the U.S. dollar and a foreign currency involved in an underlying transaction. Foreign currency contracts are agreements between two parties to buy and sell a currency at a set price on a future date. The market value of a foreign currency contract fluctuates with changes in currency exchange rates. Foreign currency contracts are marked-to-market daily and the change in market value is recorded by a fund as unrealized appreciation or depreciation. When a foreign currency contract is closed, the fund records a realized gain or loss equal to the difference between the value at the time it was opened and the value at the time it was closed. These contracts may involve market risk in excess of the unrealized gain or loss reflected in the Schedule of Investments. In addition, a fund could be exposed to credit risk if a counterparty is unable or unwilling to meet the terms of the contracts or if the value of the currency changes unfavorably. In connection with these contracts, the Funds may segregate cash and/or securities in a sufficient amount as collateral in accordance with the terms of the respective contracts.

Options Transactions — The Equity Funds and the Income Fund may buy and sell put and call options and write covered put and call options, including over-the-counter options, on portfolio securities where the completion of the obligation is dependent upon the credit standing of another party. Options are a type of derivative financial instrument. The Funds may invest in derivative financial instruments, including options, in order to manage risk or gain exposure to various other investments or markets. The risk in writing a call option is that a fund gives up the opportunity for profit if the market price of the security increases. The risk in writing a put option is that a fund may incur a loss if the market price of the security decreases and the option is exercised. The risk in buying an option is that a fund pays a premium whether or not the option is exercised. A fund also has the additional risk of not being able to enter into a closing transaction if a liquid secondary market does

120

SEPTEMBER 30, 2015

not exist. Possible losses from uncovered written options may be unlimited. Option contracts are valued daily and unrealized appreciation or depreciation is recorded. A fund will realize a gain or loss upon expiration or closing of the option transaction. When an option is exercised, the proceeds on sales for a written call option, the purchase cost for a written put option, or the cost of a security for a purchased

put or call option is adjusted by the amount of premium received or paid. The Funds designate collateral consisting of cash, U.S. government securities or other liquid assets sufficient to collateralize the market value of written options. Refer to Note 15 (Offsetting) for more information about the offsetting of assets and liabilities.

Options written activity during the year ended September 30, 2015 was as follows:

	Options Outstanding at 9/30/2014		Written		Closed			Exercised			Expired			Options Outstanding at 9/30/2015
Long/Short Fund
Premium amount	$	2,054,471	$	—	$	(2,054,471	)	$	—		$	—		$	—
Number of contracts		5,066		—		(5,066	)		—			—			—
Micro Cap Value Fund
Premium amount	$	206,836	$	125,104	$	(36,230	)	$	(132,836	)	$	(162,874	)	$	—
Number of contracts		830		500		(150	)		(650	)		(530	)		—

5. PURCHASES AND SALES OF SECURITIES

Cost of investment securities purchased and proceeds from sales of investment securities, excluding U.S. government and short-term securities for the year ended September 30, 2015 are summarized below:

	Core Growth Fund		Emerging India Fund		Emerging Markets Select Fund		Emerging Markets Small Cap Fund		Frontier Emerging Small Countries Fund		Global Opportunities Fund
Purchases	$	451,294,768	$	37,620,078	$	24,310,992	$	738,417,559	$	401,931,377	$	96,900,557
Sales		393,210,334		21,977,747		38,355,298		1,054,161,691		512,834,090		127,943,051
	International Growth Fund		International Opportunities Fund		Large Cap Value Fund		Long/Short Fund		Micro Cap Fund		Micro Cap Value Fund
Purchases	$	611,944,738	$	204,803,852	$	124,709,761	$	785,799,825	$	91,109,836	$	78,691,903
Sales		762,823,175		97,850,185		272,077,992		1,687,098,128		131,846,384		109,058,498
	Small Cap Growth Fund		Small Cap Value Fund		Strategic Income Fund		Ultra Growth Fund		World Innovators Fund		Income Fund
Purchases	$	697,047,054	$	161,996,178	$	92,976,277	$	40,315,726	$	193,788,887	$	31,822,371
Sales		979,580,846		171,676,165		84,273,085		51,547,618		277,982,757		25,776,841

Purchases and sales of U.S. government securities in the Income Fund were $15,780,254 and $29,089,124, respectively. Purchases and sales of U.S. government securities in the U.S. Treasury Fund were $486,172,009 and $401,985,531, respectively.

6. FEDERAL INCOME TAX INFORMATION

It is each Fund’s policy to comply with the requirements under Subchapter M of the Internal Revenue Code applicable to regulated investment companies and to distribute substantially all taxable income to shareholders. The Funds are no longer subject to examination by tax authorities for years prior to 2012. At this time, management believes there are no uncertain tax positions which, based on their technical merit, would not be sustained upon examination and for which it is reasonably possible that the total of amounts of unrecognized tax benefits will significantly change in the next 12 months. Accordingly, no provision for federal income or excise taxes has been made.

121

WASATCH FUNDS — Notes to Financial Statements (continued)

As of September 30, 2015 the cost and unrealized appreciation (depreciation) of securities on a tax basis were as follows:

	Core Growth Fund			Emerging India Fund			Emerging Markets Select Fund			Emerging Markets Small Cap Fund			Frontier Emerging Small Countries Fund			Global Opportunities Fund			International Growth Fund
Cost	$	898,369,790		$	49,778,772		$	38,486,886		$	902,332,541		$	1,017,541,133		$	136,859,070		$	1,068,073,673
Gross appreciation	$	337,260,147		$	15,971,440		$	4,324,783		$	165,941,231		$	143,205,416		$	30,764,580		$	331,735,932
Gross (depreciation)		(65,731,584	)		(2,181,239	)		(4,835,148	)		(113,343,698	)		(156,438,209	)		(11,095,560	)		(83,146,775	)
Net appreciation (depreciation)	$	271,528,563		$	13,790,201		$	(510,365	)	$	52,597,533		$	(13,232,793	)	$	19,669,020		$	248,589,157
	International Opportunities Fund			Large Cap Value Fund			Long/Short Fund			Micro Cap Fund			Micro Cap Value Fund			Small Cap Growth Fund			Small Cap Value Fund
Cost	$	422,565,340		$	235,316,189		$	966,653,534		$	191,696,207		$	126,185,836		$	1,541,486,221		$	238,877,257
Gross appreciation	$	75,526,286		$	27,807,519		$	124,220,055		$	89,261,293		$	34,967,922		$	643,520,107		$	59,040,101
Gross (depreciation)		(44,502,220	)		(17,855,752	)		(333,384,859	)		(19,871,183	)		(8,068,765	)		(179,276,869	)		(19,035,223	)
Net appreciation (depreciation)	$	31,024,066		$	9,951,767		$	(209,164,804	)	$	69,390,110		$	26,899,157		$	464,243,238		$	40,004,878
	Strategic Income Fund			Ultra Growth Fund			World Innovators Fund			Income Fund			U.S. Treasury Fund
Cost	$	92,968,748		$	81,192,824		$	169,912,041		$	107,334,866		$	328,958,662
Gross appreciation	$	5,882,175		$	28,476,779		$	23,222,303		$	1,238,952		$	5,340,761
Gross (depreciation)		(11,513,690	)		(13,505,116	)		(10,347,765	)		(323,559	)		(7,633,469	)
Net appreciation (depreciation)	$	(5,631,515	)	$	14,971,663		$	12,874,538		$	915,393		$	(2,292,708	)

The difference between book-basis and tax-basis unrealized gains is primarily attributable to the tax deferral of losses on wash sales, unrealized appreciation on passive foreign investment companies and other temporary tax adjustments.

The components of accumulated earnings on a tax basis as of September 30, 2015 were as follows:

	Core Growth Fund			Emerging India Fund			Emerging Markets Select Fund			Emerging Markets Small Cap Fund			Frontier Emerging Small Countries Fund
Undistributed ordinary income	$	—		$	—		$	—		$	—		$	1,618,530
Undistributed capital gains		134,683,253			958,577			—			—			—
Accumulated earnings		134,683,253			958,577			—			—			1,618,530
Accumulated capital and other losses		(7,638,995	)		(240,970	)		(7,449,963	)		(29,088,292	)		(37,177,189	)
Other undistributed ordinary losses		—			(63,912	)		(76,355	)		—			(59,868	)
Net unrealized appreciation (depreciation)*		270,121,707			13,233,578			(627,816	)		51,766,205			(21,464,836	)
Total accumulated earnings	$	397,165,965		$	13,887,273		$	(8,154,134	)	$	22,677,913		$	(57,083,363	)
	Global Opportunities Fund			International Growth Fund			International Opportunities Fund			Large Cap Value Fund			Long/Short Fund
Undistributed ordinary income	$	—		$	—		$	—		$	—		$	672,971
Undistributed capital gains		18,765,769			—			22,512,052			20,137,507			69,510,993
Accumulated earnings		18,765,769			—			22,512,052			20,137,507			70,183,964
Accumulated capital and other losses		(1,814,716	)		(21,731,308	)		(699,607	)		(2,206	)		—
Other undistributed ordinary losses		(6,989	)		—			(9,926	)		(15,547	)		(342,769	)
Net unrealized appreciation (depreciation)*		19,258,273			248,547,323			30,890,101			9,951,767			(209,164,804	)
Total accumulated earnings	$	36,202,337		$	226,816,015		$	52,692,620		$	30,071,521		$	(139,323,609	)

122

SEPTEMBER 30, 2015

	Micro Cap Fund			Micro Cap Value Fund			Small Cap Growth Fund			Small Cap Value Fund			Strategic Income Fund
Undistributed ordinary income	$	—		$	1,928,982		$	—		$	1,281,073		$	—
Undistributed capital gains		40,544,046			12,699,325			305,128,196			—			2,658,710
Accumulated earnings		40,544,046			14,628,307			305,128,196			1,281,073			2,658,710
Accumulated capital and other losses		(765,970	)		—			(15,398,444	)		(29,656,425	)		—
Other undistributed ordinary losses		—			—			—			—			(25,473	)
Net unrealized appreciation (depreciation)*		69,393,419			26,728,226			460,595,506			39,749,732			(5,631,604	)
Total accumulated earnings	$	109,171,495		$	41,356,533		$	750,325,258		$	11,374,380		$	(2,998,367	)
	Ultra Growth Fund			World Innovators Fund			Income Fund			U.S. Treasury Fund
Undistributed ordinary income	$	—		$	—		$	62,406		$	53,580
Undistributed capital gains		7,303,385			18,376,506			—			15,905,989
Accumulated earnings		7,303,385			18,376,506			62,406			15,959,569
Accumulated capital and other losses		(1,183,037	)		(1,024,842	)		(9,326	)		—
Other undistributed ordinary losses		—			—			(28,542	)		(74,461	)
Net unrealized appreciation (depreciation)*		14,971,663			12,865,412			915,393			(2,292,708	)
Total accumulated earnings	$	21,092,011		$	30,217,076		$	939,931		$	13,592,400

* On investments, securities sold short, derivatives and foreign currency denominated assets and liabilities.

Dividends from net investment income and net realized gains, if any, are declared and paid at least annually for all Funds, except for dividends from net investment income in four funds. The Income Fund declares and pays dividends monthly. The Large Cap Value, Strategic Income and U.S. Treasury Funds declare and pay dividends quarterly. The amount of dividends and distributions from net investment income and net realized gains are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP. The Funds may utilize earnings and profits distributed to shareholders on redemption of shares as part of the dividends paid deduction (tax equalization).

To the extent these book and tax differences are permanent in nature, such amounts are reclassified at the end of the fiscal year among additional paid-in capital, undistributed net investment income (loss), and undistributed net realized gain (loss) on investments, options and foreign currency translations.

Accordingly, at September 30, 2015, reclassifications were recorded as follows:

	Core Growth Fund			Emerging India Fund			Emerging Markets Select Fund			Emerging Markets Small Cap Fund			Frontier Emerging Small Countries Fund
Increase (decrease) paid-in-capital in excess of par	$	(97,162	)	$	—		$	(8,600	)	$	(2,741,657	)	$	—
Increase (decrease) undistributed net investment income		65,010			(105,592	)		83,152			6,742,871			(2,986,967	)
Increase (decrease) undistributed net realized gain (loss)		32,152			105,592			(74,552	)		(4,001,214	)		2,986,967
	Global Opportunities Fund			International Growth Fund			International Opportunities Fund			Large Cap Value Fund			Long/Short Fund
Increase (decrease) paid-in-capital in excess of par	$	(266,571	)	$	(2,453,565	)	$	(1,006,274	)	$	3,675,046		$	45,462,046
Increase (decrease) undistributed net investment income		1,558,079			2,337,606			765,667			363,161			(435,921	)
Increase (decrease) undistributed net realized gain (loss)		(1,291,508	)		115,959			240,607			(4,038,207	)		(45,026,125	)
	Micro Cap Fund			Micro Cap Value Fund			Small Cap Growth Fund			Small Cap Value Fund			Strategic Income Fund
Increase (decrease) paid-in-capital in excess of par	$	(5,952,755	)	$	—		$	(16,539,077	)	$	—		$	(12	)
Increase (decrease) undistributed net investment income		5,996,963			1,582,559			16,622,753			(63,036	)		1,395,478
Increase (decrease) undistributed net realized gain (loss)		(44,208	)		(1,582,559	)		(49,072	)		63,036			(1,395,466	)
	Ultra Growth Fund			World Innovators Fund			Income Fund			U.S. Treasury Fund
Increase (decrease) paid-in-capital in excess of par	$	(1,477,849	)	$	(2,439,603	)	$	—		$	12,011,190
Increase (decrease) undistributed net investment income		1,833,037			2,612,394			2,454			(40,324	)
Increase (decrease) undistributed net realized gain (loss)		(338,991	)		(154,377	)		(2,454	)		(11,970,866	)

123

WASATCH FUNDS — Notes to Financial Statements (continued)

Capital loss carryforwards are available through the date specified below to offset future realized net capital gains for federal income tax purposes. Future capital loss carryover utilization in any given year may be subject to Internal Revenue Code limitations. To the extent future gains are offset by capital loss carryforwards, such gains will not be distributed.

On December 22, 2010, The Regulated Investment Company Modernization Act of 2010 (the “Modernization Act”) was signed by the President of the United States of America. Under the Modernization Act, a Fund will be permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period. Post-enactment losses that are carried forward will retain their character as either short-term or long-term capital losses rather than being considered all short-term as under previous law. However, any losses incurred during those future taxable years will be required to be utilized prior to the losses incurred in pre-enactment taxable years, which carry an expiration date. As a result of this ordering rule, pre-enactment capital loss carryforwards may be more likely to expire unused.

Capital loss carryforwards as of September 30, 2015 are as follows:

							Non-expiring
Fund	2016		2017		2018		Short Term		Long Term
Emerging Markets Select Fund	$	—	$	—	$	—	$	6,196,368	$	1,160,824
Emerging Markets Small Cap Fund		—		—		—		21,052,031		—
Small Cap Value Fund		—		—		20,161,340		—		—

The Funds have elected to defer losses incurred from November 1, 2014 through September 30, 2015 in accordance with federal income tax rules. These losses are treated as having arisen on the first day of the following fiscal year. The Funds have elected to defer losses as follows:

Fund	Post-October Capital Losses		Late-Year Ordinary Losses
Core Growth Fund	$	—	$	7,638,995
Emerging India Fund		—		240,970
Emerging Markets Select Fund		—		92,771
Emerging Markets Small Cap Fund		—		8,036,261
Frontier Emerging Small Countries Fund		37,177,189		—
Global Opportunities Fund		—		1,814,716
International Growth Fund		17,079,113		4,652,195
International Opportunities Fund		—		699,607
Large Cap Value Fund		—		2,206
Micro Cap Fund		—		765,970
Small Cap Growth Fund		—		15,398,444
Small Cap Value Fund		9,495,085		—
Ultra Growth Fund		—		1,183,037
World Innovators Fund		—		1,024,842
Income Fund		9,326		—

During the tax year ended September 30, 2015, the Funds used capital loss carryforwards in the following amounts:

Fund	Amount Used
Emerging India Fund	$	698,466
Small Cap Value Fund		20,270,083
Income Fund		348,245
U.S. Treasury Fund		11,690,902

The tax character of distributions paid during the year ended September 30, 2015 was as follows:

2015	Core Growth Fund		Emerging India Fund		Emerging Markets Select Fund		Emerging Markets Small Cap Fund		Frontier Emerging Small Countries Fund
Ordinary Income	$	—	$	29,439	$	237,897	$	1,814,628	$	11,253,991
Capital Gain		24,139,661		—		—		—		14,583,973
Total	$	24,139,661	$	29,439	$	237,897	$	1,814,628	$	25,837,964

124

SEPTEMBER 30, 2015

2015	Global Opportunities Fund		International Growth Fund		International Opportunities Fund		Large Cap Value Fund		Long/Short Fund
Ordinary Income	$	—	$	—	$	—	$	9,564,501	$	23,730,693
Capital Gain		27,018,684		9,181,913		32,985,697		87,584,255		126,006,657
Total	$	27,018,684	$	9,181,913	$	32,985,697	$	97,148,756	$	149,737,350
2015	Micro Cap Fund		Micro Cap Value Fund		Small Cap Growth Fund		Small Cap Value Fund		Strategic Income Fund
Ordinary Income	$	—	$	—	$	—	$	—	$	2,614,478
Capital Gain		13,800,575		21,640,698		210,961,388		—		7,267,964
Total	$	13,800,575	$	21,640,698	$	210,961,388	$	—	$	9,882,442
2015	Ultra Growth Fund		World Innovators Fund		Income Fund		U.S. Treasury Fund
Ordinary Income	$	—	$	—	$	1,693,986	$	6,608,427
Capital Gain		29,153,346		25,428,998		—		—
Total	$	29,153,346	$	25,428,998	$	1,693,986	$	6,608,427

The tax character of distributions paid during the year ended September 30, 2014 was as follows:

2014	Core Growth Fund		Emerging India Fund		Emerging Markets Select Fund		Emerging Markets Small Cap Fund		Frontier Emerging Small Countries Fund
Ordinary Income	$	—	$	—	$	86,248	$	—	$	1,526,061
Capital Gain		13,739,267		—		—		38,681,425		—
Total	$	13,739,267	$	—	$	86,248	$	38,681,425	$	1,526,061
2014	Global Opportunities Fund		International Growth Fund		International Opportunities Fund		Large Cap Value Fund		Long/Short Fund
Ordinary Income	$	—	$	—	$	—	$	11,919,583	$	14,828,654
Capital Gain		23,550,252		35,584,097		18,321,459		221,028,939		39,911,334
Total	$	23,550,252	$	35,584,097	$	18,321,459	$	232,948,522	$	54,739,988
2014	Micro Cap Fund		Micro Cap Value Fund		Small Cap Growth Fund		Small Cap Value Fund		Strategic Income Fund
Ordinary Income	$	—	$	3,014,418	$	12,739,948	$	—	$	2,280,004
Capital Gain		—		25,279,419		69,484,983		—		1,019,765
Total	$	—	$	28,293,837	$	82,224,931	$	—	$	3,299,769
2014	Ultra Growth Fund		World Innovators Fund		Income Fund		U.S. Treasury Fund
Ordinary Income	$	—	$	—	$	2,049,307	$	5,436,357
Capital Gain		10,009,711		14,888,675		—		—
Total	$	10,009,711	$	14,888,675	$	2,049,307	$	5,436,357

The tax character of distributions paid may differ from that shown in the Statements of Changes in Net Assets due to short-term gains being treated as ordinary income for tax purposes.

125

WASATCH FUNDS — Notes to Financial Statements (continued)

7. RELATED PARTY TRANSACTIONS

Investment Advisory Fees, Expense Limitations — As the Funds’ investment advisor, the Advisor receives a monthly fee calculated on average daily net assets. The Advisor has contractually agreed to waive its fees and/or reimburse certain Funds should a Fund’s operating expenses exceed a specified annual limitation through at least January 31, 2016. If operating expenses are less than the specified expense limit for the Fund, the Advisor shall be entitled to recoup the fees waived or reduced to the extent that the operating expenses and the amounts reimbursed do not exceed such expense limit for the Fund, under the period of the agreement (currently through January 31, 2016). Such reimbursement shall be paid only while the expense limitation agreement is in effect and only if such amount paid, together with all other amounts reimbursed under this agreement in the fiscal year, do not cause the Fund to exceed the expense limitation. All amounts not recovered at the end of the period expire on January 31, 2016. Ordinary operating expenses exclude any interest, dividend expense on short sales/interest expense, taxes, brokerage commissions, other investment-related costs and extraordinary expenses, such as litigation and other expenses not incurred in the ordinary course of the Funds’ business. In late October 2013, it was discovered that the Long/Short Fund and Large Cap Value Fund had a 12b-1 receivable on the books which dated back to 2008 prior to the conversion of the 1st Source Funds to Wasatch Funds. It was determined that the amount should be written off as an extraordinary expense and posted to other expenses. The balance for the Large Cap Value Fund was $70,993 and the Long/Short Fund was $8,622. The impact of these write-offs is reflected in the Financial Highlights. Investment advisory fees and fees waived, if any, for the year ended September 30, 2015 are disclosed in the Statements of Operations. Investment advisory fee and expense limitation annual rates are shown below.

Fund	Advisory Fee		Expense Limitation Investor Class		Expense Limitation Institutional Class		Contractual Expense Limitation/ Reimbursement Recoverable Expiration Date		Reimbursement Recoverable
Core Growth Fund		1.00%		1.50%		1.12%		1/31/2016	$	28,565
Emerging India Fund		1.50%		1.95%		N/A		1/31/2016		212,496
Emerging Markets Select Fund		1.25%		1.69%		1.50%		1/31/2016		250,974
Emerging Markets Small Cap Fund		1.75%		1.95%		N/A		1/31/2016		1,933,325
Frontier Emerging Small Countries Fund		1.75%		2.25%		N/A		1/31/2016		373,661
Global Opportunities Fund		1.50%		1.95%		N/A		1/31/2016		—
International Growth Fund		1.25%		1.75%		N/A		1/31/2016		—
International Opportunities Fund		1.95%		2.25%		N/A		1/31/2016		1,107,582
Large Cap Value Fund		0.90%		1.10%		0.98%		1/31/2016		96,154
Long/Short Fund		1.10%		N/A		1.17%		1/31/2016		—
Micro Cap Fund		1.75%		1.95%		N/A		1/31/2016		—
Micro Cap Value Fund		1.75%		1.95%		N/A		1/31/2016		186,841
Small Cap Growth Fund		1.00%		1.50%		N/A		1/31/2016		—
Small Cap Value Fund		1.00%		1.50%		1.15%		1/31/2016		27,728
Strategic Income Fund		0.70%		0.95%		N/A		1/31/2016		10,415
Ultra Growth Fund		1.00%		1.50%		N/A		1/31/2016		—
World Innovators Fund		1.50%		1.95%		N/A		1/31/2016		—
Income Fund		0.55%		N/A		N/A		N/A		N/A
U.S. Treasury Fund		0.50%		0.75%		N/A		1/31/2016		—

Affiliated Trades — Certain Funds are permitted to purchase or sell securities from or to certain related affiliated funds under specified conditions outlined in the procedures adopted by the Board of Trustees (the “Board”). The procedures have been designed to ensure that any purchase or sale of securities by the Funds from or to another fund (or funds) that are, or could be, considered an affiliate by virtue of having a common investment advisor (or affiliated investment advisors), common Trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, each transaction is effected at the current market price, as that term is defined under the procedures. During the year ended September 30, 2015, the Funds had no purchases or sales of securities pursuant to Rule 17a-7 of the 1940 Act.

Institutional Class Legal Fees — As disclosed in the annual report dated September 30, 2011, the Board approved a multi-class plan pursuant to which the Board has established and designated two classes for each series known as Investor Class shares and Institutional Class shares. The Advisor paid the legal costs associated with the establishment and designation of the new share classes for existing funds.

Payments by Advisor — During the 2012 fiscal year, the Advisor discovered a trade allocation error involving several of the Wasatch Funds. In August 2012, the Advisor reimbursed the Global Opportunities Fund $1,167, the Micro Cap Fund $1,074, the Micro Cap Value Fund $1,282, the Small Cap Growth Fund $46,199, the Ultra Growth Fund $940 and the World Innovators Fund $437 as reimbursement for the error plus interest.

During the 2013 and 2014 fiscal years, the Advisor paid certain audit, legal and/or printing fees of the Core Growth, Emerging Markets Small Cap, Large Cap Value, Long/Short (Institutional Class), Small Cap Growth, Small Cap Value, Strategic Income and World Innovators Funds. The Advisor does not intend to be reimbursed for these amounts.

126

SEPTEMBER 30, 2015

On February 20, 2013, the Advisor discovered a trade error involving the Frontier Emerging Small Countries Fund. The Advisor reimbursed the Fund $4,421. On October 16, 2014, the Advisor discovered a trade error involving the Ultra Growth Fund. The Advisor reimbursed the Fund $12,267.

The impact of the payments detailed above is reflected in the net expense ratios in the Financial Highlights.

10% Shareholders — As of September 30, 2015, the Funds had individual shareholder accounts and/or omnibus shareholder accounts (comprised of a group of individual shareholders), which individually amounted to more than 10% of the total shares outstanding of the Fund as detailed below:

Fund	Number of Accounts		Percent of Shares Outstanding
Core Growth Fund		2		53.45	%
Emerging India Fund		2		57.50	%
Emerging Markets Select Fund		2		76.76	%
Emerging Markets Small Cap Fund		2		57.72	%
Frontier Emerging Small Countries Fund		2		80.33	%
Global Opportunities Fund		2		62.38	%
International Growth Fund		3		64.57	%
International Opportunities Fund		2		73.97	%
Large Cap Value Fund		2		71.41	%
Long/Short Fund		2		78.11	%
Micro Cap Fund		2		26.50	%
Micro Cap Value Fund		2		47.45	%
Small Cap Growth Fund		2		53.50	%
Small Cap Value Fund		2		39.71	%
Strategic Income Fund		2		42.72	%
Ultra Growth Fund		2		27.91	%
World Innovators Fund		2		36.51	%
Income Fund		1		85.45	%
U.S. Treasury Fund		4		67.08	%

Affiliated Interests — As of September 30, 2015, Wasatch Advisors, Inc. and its affiliates, and the retirement plans of Wasatch Advisors, Inc. and its affiliates, held shares of the Funds which may be redeemed at any time as detailed below:

Fund	Number of Accounts*		Percent of Shares Outstanding
Core Growth Fund		18		0.70	%
Emerging India Fund		21		14.65	%
Emerging Markets Select Fund		16		12.58	%
Emerging Markets Small Cap Fund		16		0.64	%
Frontier Emerging Small Countries Fund		23		0.67	%
Global Opportunities Fund		21		2.92	%
International Growth Fund		14		0.52	%
International Opportunities Fund		25		2.10	%
Large Cap Value Fund		11		0.46	%
Long/Short Fund		10		0.37	%
Micro Cap Fund		12		0.86	%
Micro Cap Value Fund		14		2.38	%
Small Cap Growth Fund		21		1.66	%
Small Cap Value Fund		10		1.53	%
Strategic Income Fund		9		10.35	%
Ultra Growth Fund		7		2.23	%
World Innovators Fund		8		1.86	%
Income Fund		3		0.01	%
U.S. Treasury Fund		6		0.66	%

* Multiple accounts with the same beneficial owner are treated as one account.

127

WASATCH FUNDS — Notes to Financial Statements (continued)

8. TRANSACTIONS WITH AFFILIATES

If a Fund’s holding represents ownership of 5% or more of the voting securities of a company, the company is deemed to be an affiliate as defined by the 1940 Act. The following Funds conducted transactions during the year ended September 30, 2015 with an “affiliated company” as so defined:

	Share Activity								Dividends Credited to Income for the period ended 9/30/2015		Gain (Loss) Realized on Sale of Shares for the period ended 9/30/2015
	Balance 9/30/2014		Purchases/ Additions		Sales/ Reductions		Balance 9/30/2015
Frontier Emerging Small Countries Fund
Akzo Nobel Pakistan Ltd.		—		3,698,992		—		3,698,992	$	153,471	$	—
Chevron Lubricants Lanka plc		5,300,185		1,000,000		—		6,300,185		942,680		—
Tokyo Cement Co. Lanka plc		—		11,548,669		—		11,548,669		102,254		—
International Growth Fund
Diligent Corp.*		4,679,359		—		975,870		3,703,489	$	—	$	(2,352,767	)
Long/Short Fund
Bill Barrett Corp.		3,843,259		2,483,757		673,700		5,653,316	$	—	$	(8,578,276	)
Silicon Graphics International Corp.**		2,820,938		—		910,947		1,909,991		—		(4,215,291	)
Micro Cap Fund
Goldwater Bank, N.A.*		154,000		—		154,000		—	$	—	$	(1,532,300	)
Small Cap Growth Fund
Argos Therapeutics, Inc.		642,332		520,122		—		1,162,454	$	—	$	—
Blue Nile, Inc.		786,591		41,962		—		828,553		—		—
Cempra, Inc.*		1,752,428		—		830,131		922,297		—		21,214,115
Chefs’ Warehouse, Inc. (The)		1,423,495		473,598		—		1,897,093		—		—
Echo Global Logistics, Inc.*		1,383,181		192,631		218,690		1,357,122		—		1,266,682
IPC Healthcare, Inc.*		1,030,019		—		1,030,019		—		—		14,824,512
Knight Transportation, Inc.*		4,784,182		97,390		2,131,689		2,749,883		710,444		24,811,133
Papa Murphy’s Holdings, Inc.		—		883,565		—		883,565		—		—
SciQuest, Inc.*		1,615,954		—		1,615,954		—		—		(3,969,271	)

* This security was deemed to no longer meet the criteria of an affiliated company at the reporting date.

** On September 1, 2015, a Schedule 13D was filed for Silicon Graphics International Corp. (“the Company”) on behalf of the Advisor and the Wasatch Long/Short Fund, including the portfolio managers Michael L. Shinnick and Ralph C. Shive (“Reporting Persons”).

9. RESTRICTED SECURITIES

The Funds may own investments that were purchased through private placement transactions or under Rule 144A of the Securities Act of 1933 (the “Securities Act”) and cannot be sold without prior registration under the Securities Act or may be limited due to certain restrictions. These securities are generally deemed to be illiquid and are valued at fair value as determined by a designated Pricing Committee of the Advisor (“Pricing Committee”), comprised of personnel of the Advisor, with oversight by the Board of Trustees and in accordance with Board-approved Pricing Policies and Procedures. If and when such securities are registered, the costs of registering such securities are paid by the issuer. At September 30, 2015 the Funds held the following restricted securities:

	Security Type	Acquisition Date	Cost		Fair Value		Value as Percent of Net Assets
Core Growth Fund
DocuSign, Inc., Series F	Preferred Stock	4/30/15	$	4,000,004	$	4,000,004		0.34	%
			$	4,000,004	$	4,000,004		0.34	%
Micro Cap Value Fund
Acetylon Pharmaceuticals, Inc., Series B	Preferred Stock	2/3/11 - 5/25/12	$	499,999	$	1,801,050		1.17	%
Vertex Energy, Inc.	Preferred Stock	6/22/15		1,455,000		1,310,000		0.85	%
Vertex Energy, Inc.	Warrants	6/22/15		95,000		42,019		0.03	%
			$	2,049,999	$	3,153,069		2.05	%

128

SEPTEMBER 30, 2015

	Security Type	Acquisition Date	Cost		Fair Value		Value as Percent of Net Assets
Small Cap Growth Fund
DataStax, Inc., Series E	Preferred Stock	8/12/14	$	8,000,002	$	8,000,002		0.40	%
DocuSign, Inc., Series B	Preferred Stock	3/3/14		437,257		635,724		0.03	%
DocuSign, Inc., Series B-1	Preferred Stock	3/3/14		130,983		190,435		0.01	%
DocuSign, Inc., Series D	Preferred Stock	3/3/14		313,930		456,420		0.02	%
DocuSign, Inc., Series E	Preferred Stock	3/3/14		8,117,819		11,802,438		0.59	%
DocuSign, Inc., Series F	Preferred Stock	4/30/15		2,999,984		2,999,984		0.15	%
Drilling Info Holdings, Inc., Series B	Preferred Stock	9/5/13		15,350,001		12,432,564		0.62	%
Greenspring Global Partners II-B, L.P.	LP Interest	10/10/03 - 7/16/15		3,212,943		3,165,480		0.16	%
Greenspring Global Partners III-B, L.P.	LP Interest	3/16/06 - 2/23/15		1,502,148		1,662,383		0.08	%
Nanosys, Inc., Series D	Preferred Stock	11/8/05		2,000,000		136,135		0.01	%
Nanosys, Inc., Series E	Preferred Stock	8/13/10		184,939		135,886		0.01	%
			$	42,250,006	$	41,617,451		2.08	%
Strategic Income Fund
Redcorp Ventures Ltd.	Corporate Bonds	7/5/07	$	152,583	$	804		0.00	%
Star Asia Financial Ltd.	Common Stock	2/22/07 - 5/11/15		572,597		533,571		0.60	%
			$	725,180	$	534,375		0.60	%
Ultra Growth Fund
Data Sciences International, Inc., Series B	Preferred Stock	1/20/06	$	475,001	$	574,126		0.60	%
Drilling Info Holdings, Inc., Series B	Preferred Stock	9/5/13		1,150,001		931,430		0.97	%
Greenspring Global Partners II-B, L.P.	LP Interest	10/10/03 - 7/16/15		2,891,638		2,848,919		2.97	%
Greenspring Global Partners III-B, L.P.	LP Interest	3/16/06 - 2/23/15		1,502,148		1,662,383		1.73	%
Nanosys, Inc., Series D	Preferred Stock	11/8/05		500,001		34,034		0.03	%
Nanosys, Inc., Series E	Preferred Stock	8/13/10		46,235		33,972		0.04	%
Xtera Communications, Inc.	Common Stock	9/3/03		99,065		914		0.00	%
			$	6,664,089	$	6,085,778		6.34	%
World Innovators Fund
Greenspring Global Partners II-B, L.P.	LP Interest	10/10/03 - 7/16/15	$	321,292	$	316,546		0.17	%
Xtera Communications, Inc.	Common Stock	9/3/03		7,076		65		0.00	%
			$	328,368	$	316,611		0.17	%

10. PURCHASE COMMITMENTS

In September 2003, the Small Cap Growth, Ultra Growth and World Innovators Funds entered into subscription agreements to acquire limited partnership interests in Greenspring Global Partners II-B, L.P. The remaining commitment amounts at September 30, 2015 were $50,000, $45,000 and $5,000, respectively.

In December 2005, the Small Cap Growth and Ultra Growth Funds entered into subscription agreements to acquire limited partnership interests in Greenspring Global Partners III-B, L.P. The remaining commitment amounts at September 30, 2015 were $60,000 per Fund.

Securities held by the Funds have been designated to meet these purchase commitments as indicated in the Schedules of Investments.

11. LINE OF CREDIT

Effective May 22, 2015, the Funds in the Trust renewed and amended agreements for two open lines of credit totaling $300,000,000, one of which is $200,000,000 uncommitted, and the other of which is $100,000,000 committed, with State Street Bank and Trust Company (together, the “Line”). The agreements, as amended, have no change in the total amounts available on the Line, an increase of $100,000,000 uncommitted and a decrease of $100,000,000 committed. The Funds incur commitment fees on the undrawn portion of the committed part of the Line, and interest expense to the extent of amounts drawn (borrowed) under the entire Line. Interest is based on the higher of (a) the federal funds rate in effect on the date of borrowing, plus a margin, or (b) the overnight London Interbank Offered Rate (LIBOR) in effect on the date of borrowing, plus a margin. Commitment fees are pro-rated among the Funds based upon relative average net assets. Interest expense is charged directly to a Fund based upon actual amounts borrowed by that Fund.

129

WASATCH FUNDS — Notes to Financial Statements (continued)

For the year ended September 30, 2015, the following Funds had borrowings:

	Average Daily Borrowings		Number of Days Outstanding		Interest Expense		Weighted Average Annualized Interest Rate			Balance at 9/30/2015
Emerging India Fund	$	965,544		53	$	1,998		1.41	%	$	—
Emerging Markets Select Fund		909,729		48		1,743		1.44	%		—
Emerging Markets Small Cap Fund		5,175,050		74		14,672		1.38	%		794,884
Frontier Emerging Small Countries Fund		9,586,973		16		6,020		1.41	%		—
Global Opportunities Fund		1,789,895		73		5,015		1.38	%		—
International Growth Fund		15,860,562		35		21,274		1.38	%		—
International Opportunities Fund		1,011,490		3		121		1.44	%		—
Large Cap Value Fund		4,731,183		10		1,804		1.37	%		—
Strategic Income Fund		1,605,177		6		390		1.46	%		—
Ultra Growth Fund		156,417		4		25		1.45	%		—
Income Fund		480,646		15		275		1.37	%		—

12. PRINCIPAL RISKS

Market and Credit Risk — In the normal course of business the Funds trade financial instruments and enter into financial transactions where risk of loss exists due to changes in the market (market risk) or the failure of the other party to a transaction to perform (credit risk). Similar to credit risk, the Funds may be exposed to counterparty risk, or the risk that an institution or other entity with which the Funds have unsettled or open transactions will default. The potential loss could exceed the value of the financial assets recorded in the financial statements. Financial assets, which potentially expose the Funds to credit risk, consist principally of cash due from counterparties and investments. The extent of the Funds’ exposure to credit and counterparty risks with respect to these financial assets approximates their carrying value as recorded in the Funds’ Statements of Assets and Liabilities.

Non-Diversification Risk — A non-diversified fund can invest a larger portion of its assets in the stocks of a limited number of companies than a diversified fund, which means it may have more exposure to the price movements of a single security or small group of securities than funds that diversify their investments among many companies. The Emerging Markets Select Fund is non-diversified.

Inflation Risk — Inflation risk is the possibility that inflation will reduce the purchasing power of a currency, and subsequently reduce the value of a security or asset, and may result in rising interest rates. Inflation is the overall upward price movement of goods and services in an economy that causes the value of a currency to decline.

Interest Rate Risk — Interest rate risk is the risk that fixed income securities will decline in value because of changes in interest rates. A rise in interest rates typically causes a fall in values. Interest rate risk should be modest for shorter-term securities, moderate for intermediate-term securities and high for longer-term securities. Generally, an increase in the average maturity of a fund will make it more sensitive to interest rate risk. The interest rate is the amount charged, expressed as a percentage of principal, by a lender to a borrower for the use of assets.

Foreign Currency Risk — If a fund invests directly in foreign currencies or in securities that trade in, and receive

revenues in, foreign currencies, or in derivatives that provide exposure to foreign currencies, it will be subject to the risk that those currencies will decline in value relative to the U.S. dollar. This also includes the risk associated with higher transaction costs, delayed settlements, currency controls and adverse economic developments related to foreign investments.

Region Risk — The Funds, except the U.S. Treasury Fund, invest in equity and fixed income securities of non-U.S. issuers. Because certain foreign markets are illiquid, market prices may not necessarily represent realizable value. Although the Funds maintain diversified investment portfolios, political or economic developments within a particular country or region may have an adverse effect on the ability of domiciled issuers to meet their obligations. These risks are exaggerated for securities of issuers tied economically to emerging and frontier market countries. Additionally, political or economic developments may have an adverse effect on the liquidity and volatility of portfolio securities and currency holdings.

Shareholder Concentration Risk — A significant portion of the net assets of the Frontier Emerging Small Countries Fund and International Opportunities Fund are owned by a group of shareholders advised by a common investment advisor. If these shareholders simultaneously redeems on the advice of their investment advisor, Fund expenses may increase and performance may be materially affected. However, the Advisor has contractually agreed to waive its fees and/or reimburse both the Frontier Emerging Small Countries Fund and the International Opportunities Fund should their operating expenses exceed 2.25% through at least January 31, 2016. The Emerging Markets Select Fund also has a significant portion of net assets concentrated in relatively few related accounts. The Advisor has contractually agreed to waive its fees and/or reimburse the Emerging Markets Select Fund should the operating expenses exceed 1.69% for the Investor Class and 1.50% for the Institutional Class through at least January 31, 2016.

13. FAIR VALUE MEASUREMENTS AND INVESTMENTS

The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Funds use various methods to

130

SEPTEMBER 30, 2015

measure the fair value of their investments on a recurring basis. U.S. GAAP established a hierarchy that prioritizes inputs to valuation methods. The three levels of inputs are:

• Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities that the Funds have the ability to access.

• Level 2 — Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. The inputs may include quoted prices for the identical investment on an inactive market, prices for similar investments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.

• Level 3 — Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Funds’ own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.

The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether a security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.

Equity Securities (common and preferred stock) —  Securities are valued as of the close of the New York Stock Exchange (“NYSE”)(generally 4:00 p.m. Eastern Time) on the valuation date. Equity securities and listed warrants are valued using a commercial pricing service at the last quoted sales price taken from the primary market in which each security trades and, with respect to equity securities traded on the National Association of Securities Dealer Automated Quotation system (“NASDAQ”), such securities are valued using the NASDAQ Official Closing Price (“NOCP”) or last sales price if no NOCP is available. If there are no sales on the primary exchange or market on a day, then the security shall be valued at the mean of the last bid and ask price on the primary exchange or market as provided by a pricing service. If the mean cannot be calculated or there is no trade activity on a day, then the security shall be valued at the previous trading day’s price as provided by a pricing service. In some instances, particularly on foreign exchanges, an official close or evaluated price may be used if the pricing service is unable to provide the last trade or most recent mean price. To the extent that these securities are actively traded and valuation adjustments are not applied, they are categorized in Level 1 of the fair value hierarchy. Additionally, a fund’s investments are valued at fair value by the Pricing Committee if the Advisor determines that an event impacting the value of an investment occurred between the closing time of a security’s primary

market or exchange (for example, a foreign exchange or market) and the time the fund’s share price is calculated. Significant events include, but are not limited to the following: significant fluctuations in domestic markets, foreign markets or foreign currencies; occurrences not directly tied to the securities markets such as natural disasters, armed conflicts or significant governmental actions; and major announcements affecting a single issuer or an entire market or market sector. In responding to a significant event, the Pricing Committee determines the fair value of affected securities by considering factors including, but not limited to: index options and futures traded subsequent to the close; American Depositary Receipts (“ADRs”), Global Depositary Receipts (“GDRs”) or other related receipts; currency spot or forward markets that trade after pricing of the foreign exchange; other derivative securities traded after the close such as Standard & Poor’s Depositary Receipts (“SPDRs”) and other exchange-traded funds (“ETFs”); and alternative market quotes on the affected securities. When applicable, the Funds use a systematic fair valuation model provided by an independent third party to assist in adjusting the valuation of foreign securities. When a Fund uses this fair value pricing method, the values assigned to the Fund’s foreign securities may not be the quoted or published prices of the investments on their primary markets or exchanges, and the securities are categorized in Level 2 of the fair value hierarchy. These valuation procedures apply equally to long or short equity positions in a fund.

Participation Notes — Investments are valued at the market price of the underlying security. Counterparty risk is regularly reviewed and considered for valuation.

Corporate Debt Securities — Investments are valued at current market value by a pricing service, or by using the last sale or bid price based on observable inputs. Observable inputs may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data including market research publications. Although most corporate bonds are categorized in Level 2 of the fair value hierarchy, in instances where observable inputs are not available, they are categorized as Level 3.

Short-Term Notes — Investments maturing in 60 days or less at the time of purchase, are generally valued at amortized cost, unless it is determined that the amortized cost method would not represent fair value, in which case the securities are marked-to-market. To the extent the inputs are observable and timely, the values would be categorized in Level 2 of the fair value hierarchy.

Asset-Backed Securities — Investments are priced using the closing bid as supplied by a pricing service based on observable inputs. Observable inputs may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data including market research publications, new issue data, monthly payment information and collateral performance. Although most asset-backed securities are categorized in Level 2 of the fair value hierarchy, in instances where observable inputs are not available, they are categorized as Level 3.

131

WASATCH FUNDS — Notes to Financial Statements (continued)

U.S. Government Issuers — Investments are priced using the closing bid as supplied by a pricing service based on observable inputs. Observable inputs may include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data including market research publications. Although most U.S. government bonds are categorized in Level 2 of the fair value hierarchy, in instances where observable inputs are not available, they are categorized as Level 3.

Derivative Instruments — Listed derivatives that are actively traded are valued based on quoted prices from the exchange and are categorized in Level 1 of the fair value hierarchy. Exchange-traded options are valued at the last sale price in the market where they are principally traded. If there are no sales on the primary exchange or market on a given day, then the option is valued at the mean of the last bid price and ask price on the primary exchange or market as provided by a pricing service. Forward foreign currency contracts are valued at the market rate provided by the pricing service.

Restricted Securities — If market quotations are not readily available for the Funds’ investments in securities such as restricted securities, private placements, securities for which trading has been halted or other illiquid securities, these investments are valued at fair value in accordance with

Board-approved Pricing Policies and Procedures by the Pricing Committee with oversight by the Board of Trustees. Fair value is defined as the price that would be received upon the sale of an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date under current market conditions. For each applicable investment that is fair valued, the Pricing Committee considers, to the extent applicable, various factors including, but not limited to, the financial condition of the company or limited partnership, operating results, prices paid in follow-on rounds, comparable companies in the public market, the nature and duration of the restrictions for holding the securities, a stated net asset value (NAV) for the partnership, if applicable, and other relevant factors. Depending on the relative significance of valuation inputs, these instruments may be classified in either Level 2 or Level 3 of the fair value hierarchy.

When the last day of the reporting period is a non- business day, certain foreign markets may be open on days the NYSE is closed, which could result in differences between the value of a fund’s portfolio securities on the last business day and the last calendar day of the reporting period. Any significant security valuation changes due to an open foreign market are adjusted and reflected by the fund for financial reporting purposes.

The following is a summary of the fair valuations according to the inputs used as of September 30, 2015 in valuing the Funds’ assets and liabilities:

Fund	Category	Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Value at 9/30/2015
Core Growth Fund
Assets
Common Stocks	Biotechnology	$	32,582,264	$	16,786,812	$	—	$	49,369,076
	Consumer Finance		52,211,697		6,801,205		—		59,012,902
	Diversified Banks		—		21,637,413		—		21,637,413
	Life Sciences Tools & Services		25,423,157		19,616,242		—		45,039,399
	Oil & Gas Equipment & Services		6,250,441		5,501,789		—		11,752,230
	Specialized Finance		—		6,458,380		—		6,458,380
	Other		853,507,992		—		—		853,507,992
Preferred Stocks			—		—		4,000,004		4,000,004
Short-Term Investments			—		119,120,957		—		119,120,957
		$	969,975,551	$	195,922,798	$	4,000,004	$	1,169,898,353
Emerging India Fund
Assets
Common Stocks	Commodity Chemicals	$	958,691	$	1,127,860	$	—	$	2,086,551
	Department Stores		140,891		—		—		140,891
	Diversified Banks		616,765		3,916,708		—		4,533,473
	Electric Utilities		512,284		—		—		512,284
	Internet Retail		1,616,299		—		—		1,616,299
	IT Consulting & Other Services		2,003,645		3,403,765		—		5,407,410
	Life Sciences Tools & Services		19,833		1,100,357		—		1,120,190
	Packaged Foods & Meats		288,570		1,554,086		—		1,842,656
	Other		—		44,023,861		—		44,023,861
Corporate Bonds			—		17,058		—		17,058
Short-Term Investments			—		2,268,300		—		2,268,300
		$	6,156,978	$	57,411,995	$	—	$	63,568,973

132

SEPTEMBER 30, 2015

Fund	Category	Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Value at 9/30/2015
Emerging Markets Select Fund
Assets
Common Stocks	Airport Services	$	2,046,810	$	—	$	—	$	2,046,810
	Construction & Engineering		1,156,380		—		—		1,156,380
	Consumer Finance		1,302,152		725,387		—		2,027,539
	Diversified Capital Markets		1,309,842		—		—		1,309,842
	Drug Retail		711,662		—		—		711,662
	Industrial Machinery		517,855		—		—		517,855
	Internet Retail		424,435		—		—		424,435
	Internet Software & Services		1,074,326		—		—		1,074,326
	Multi-Line Insurance		453,933		—		—		453,933
	Restaurants		611,748		—		—		611,748
	Other		—		24,122,180		—		24,122,180
Short-Term Investments			—		3,519,811		—		3,519,811
		$	9,609,143	$	28,367,378	$	—	$	37,976,521
Emerging Markets Small Cap Fund
Assets
Common Stocks	Airport Services	$	15,232,618	$	8,328,652	$	—	$	23,561,270
	Application Software		3,859,320		—		—		3,859,320
	Asset Management & Custody Banks		5,799,438		15,225,782		—		21,025,220
	Biotechnology		8,865,144		23,119,514		—		31,984,658
	Consumer Finance		22,249,165		51,413,603		—		73,662,768
	Diversified Capital Markets		6,954,491		—		—		6,954,491
	Internet Retail		2,900,457		14,007,826		—		16,908,283
	Internet Software & Services		3,831,379		14,723,780		—		18,555,159
	Life Sciences Tools & Services		1,538,462		—		—		1,538,462
	Oil & Gas Equipment & Services		6,359,327		—		—		6,359,327
	Oil & Gas Exploration & Production		4,732,321		—		—		4,732,321
	Pharmaceuticals		—		59,667,121		873,390		60,540,511
	Property & Casualty Insurance		2,713,702		—		—		2,713,702
	Real Estate Development		5,567,225		—		—		5,567,225
	Real Estate Operating Companies		11,220,438		—		—		11,220,438
	Regional Banks		7,957,131		1,625,715		—		9,582,846
	Restaurants		9,331,243		—		—		9,331,243
	Other		—		646,621,237		—		646,621,237
Warrants			211,593		—		—		211,593
		$	119,323,454	$	834,733,230	$	873,390	$	954,930,074

133

WASATCH FUNDS — Notes to Financial Statements (continued)

Fund	Category	Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Value at 9/30/2015
Frontier Emerging Small Countries Fund
Assets
Common Stocks	Advertising	$	31,691	$	—	$	—	$	31,691
	Brewers		61,739,665		89,344,102		—		151,083,767
	Commodity Chemicals		155,171		20,345,561		—		20,500,732
	Construction Materials		60,151,721		19,469,866		—		79,621,587
	Consumer Finance		4,482,299		3,860,283		—		8,342,582
	Department Stores		663,114		—		—		663,114
	Diversified Banks		14,908,575		58,055,737		—		72,964,312
	Food Retail		13,859,543		—		—		13,859,543
	Footwear		1,351,723		—		—		1,351,723
	Household Products		11,003,562		335,277		—		11,338,839
	Hypermarkets & Super Centers		18,951,626		—		—		18,951,626
	Industrial Conglomerates		4,759,433		—		—		4,759,433
	Industrial Gases		1,794,249		—		—		1,794,249
	Integrated Telecommunication Services		16,750,726		—		—		16,750,726
	Life & Health Insurance		2,013,758		—		—		2,013,758
	Multi-Line Insurance		1,058,502		7,092,870		—		8,151,372
	Packaged Foods & Meats		51,495,971		136,400,197		—		187,896,168
	Personal Products		10,252,240		—		—		10,252,240
	Pharmaceuticals		81,723,465		16,151,209		—		97,874,674
	Soft Drinks		12,632,291		—		—		12,632,291
	Specialty Chemicals		8,768,309		—		—		8,768,309
	Tobacco		39,021,444		22,668,689		—		61,690,133
	Wireless Telecommunication Services		22,381,134		19,871,678		—		42,252,812
	Other		—		126,505,765		—		126,505,765
Participation Notes			—		20,784,517		—		20,784,517
Short-Term Investments			—		23,472,377		—		23,472,377
		$	439,950,212	$	564,358,128	$	—	$	1,004,308,340
Global Opportunities Fund
Assets
Common Stocks	Air Freight & Logistics	$	1,220,002	$	—	$	—	$	1,220,002
	Airlines		7,308,382		—		—		7,308,382
	Airport Services		2,780,880		—		—		2,780,880
	Application Software		5,251,380		1,608,187		—		6,859,567
	Auto Parts & Equipment		1,487,786		850,093		—		2,337,879
	Biotechnology		3,979,795		5,375,875		—		9,355,670
	Building Products		1,454,888		—		—		1,454,888
	Construction & Engineering		1,446,848		—		—		1,446,848
	Consumer Finance		5,014,971		4,808,929		—		9,823,900
	Diversified Support Services		1,552,090		—		—		1,552,090
	Electronic Manufacturing Services		3,041,991		—		—		3,041,991
	Health Care Facilities		1,644,708		1,921,331		—		3,566,039
	Health Care Services		1,569,282		—		—		1,569,282
	Homefurnishing Retail		1,160,803		—		—		1,160,803
	Internet Retail		3,588,033		1,592,717		—		5,180,750
	Internet Software & Services		10,230,236		8,517,011		—		18,747,247
	Life Sciences Tools & Services		633,056		1,384,580		—		2,017,636
	Packaged Foods & Meats		705,853		1,447,215		—		2,153,068
	Personal Products		1,083,806		—		—		1,083,806
	Pharmaceuticals		1,575,814		13,287,376		—		14,863,190
	Regional Banks		4,192,189		—		—		4,192,189
	Restaurants		1,280,068		2,786,869		—		4,066,937
	Semiconductors		1,614,583		1,916,780		—		3,531,363
	Trucking		4,809,623		—		—		4,809,623
	Other		—		41,696,486		—		41,696,486
Warrants			21,870		—		—		21,870
Short-Term Investments			—		685,704		—		685,704
		$	68,648,937	$	87,879,153	$	—	$	156,528,090

134

SEPTEMBER 30, 2015

Fund	Category	Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Value at 9/30/2015
International Growth Fund
Assets
Common Stocks	Application Software	$	10,674,179	$	33,824,454	$	—	$	44,498,633
	Asset Management & Custody Banks		19,704,214		5,646,726		—		25,350,940
	Auto Parts & Equipment		17,080,165		—		—		17,080,165
	Forest Products		6,183,284		—		—		6,183,284
	Health Care Technology		25,117,570		19,631,343		—		44,748,913
	Internet Software & Services		8,453,144		114,466,288		—		122,919,432
	Oil & Gas Equipment & Services		8,950,815		9,274,040		—		18,224,855
	Oil & Gas Storage & Transportation		8,065,158		—		—		8,065,158
	Property & Casualty Insurance		7,381,207		—		—		7,381,207
	Other		—		1,009,935,238		—		1,009,935,238
Short-Term Investments			—		12,275,005		—		12,275,005
		$	111,609,736	$	1,205,053,094	$	—	$	1,316,662,830
International Opportunities Fund
Assets
Common Stocks	Aerospace & Defense	$	734,824	$	—	$	—	$	734,824
	Air Freight & Logistics		1,665,725		5,577,385		—		7,243,110
	Apparel Retail		2,408,792		—		—		2,408,792
	Application Software		3,531,931		—		—		3,531,931
	Brewers		9,550,197		8,600,670		—		18,150,867
	Building Products		508,407		—		—		508,407
	Commodity Chemicals		2,925,653		15,167,131		—		18,092,784
	Communications Equipment		1,028,371		—		—		1,028,371
	Construction Materials		1,573,282		—		—		1,573,282
	Department Stores		423,197		1,948,028		—		2,371,225
	Distillers & Vintners		1,599,493		6,876,093		—		8,475,586
	Diversified Banks		3,648,280		—		—		3,648,280
	Drug Retail		1,893,294		4,993,951		—		6,887,245
	Electronic Equipment & Instruments		2,294,692		2,354,488		—		4,649,180
	Food Retail		6,407,305		23,917,428		—		30,324,733
	Health Care Distributors		211,950		—		—		211,950
	Health Care Facilities		2,648,058		26,415,804		—		29,063,862
	Health Care Technology		2,345,080		2,185,149		—		4,530,229
	Industrial Conglomerates		3,330,127		—		—		3,330,127
	Marine		1,167,361		—		—		1,167,361
	Marine Ports & Services		1,807,439		1,538,180		—		3,345,619
	Multi-Line Insurance		1,309,448		1,929,587		—		3,239,035
	Multi-Sector Holdings		135,310		—		—		135,310
	Office Services & Supplies		2,585,838		—		—		2,585,838
	Packaged Foods & Meats		5,722,725		37,673,469		—		43,396,194
	Personal Products		818,547		4,307,461		—		5,126,008
	Pharmaceuticals		2,818,606		6,341,891		—		9,160,497
	Regional Banks		1,612,746		—		—		1,612,746
	Restaurants		10,306,069		38,791,601		—		49,097,670
	Soft Drinks		11,752,676		—		—		11,752,676
	Specialized Finance		595,111		—		—		595,111
	Specialty Chemicals		1,188,086		2,543,654		—		3,731,740
	Other		—		148,754,233		—		148,754,233
Short-Term Investments			—		23,124,583		—		23,124,583
		$	90,548,620	$	363,040,786	$	—	$	453,589,406
Large Cap Value Fund
Assets
Common Stocks		$	243,797,409	$	—	$	—	$	243,797,409
Short-Term Investments			—		1,470,547		—		1,470,547
		$	243,797,409	$	1,470,547	$	—	$	245,267,956

135

WASATCH FUNDS — Notes to Financial Statements (continued)

Fund	Category	Quoted Prices in Active Markets for Identical Investments (Level 1)			Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Value at 9/30/2015
Long/Short Fund
Assets
Common Stocks		$	968,266,093		$	—	$	—	$	968,266,093
Short-Term Investments			—			52,286,876		—		52,286,876
		$	968,266,093		$	52,286,876	$	—	$	1,020,552,969
Liabilities
Securities Sold Short		$	(263,064,239	)	$	—	$	—	$	(263,064,239	)
		$	(263,064,239	)	$	—	$	—	$	(263,064,239	)
Micro Cap Fund
Assets
Common Stocks	Apparel, Accessories & Luxury Goods	$	2,983,713		$	2,045,342	$	—	$	5,029,055
	Application Software		29,294,645			1,161,920		—		30,456,565
	Biotechnology		6,540,566			2,452,262		—		8,992,828
	Diversified Banks		—			5,916,813		—		5,916,813
	Industrial Machinery		3,094,127			3,370,193		—		6,464,320
	Internet Software & Services		16,432,625			2,943,976		—		19,376,601
	Pharmaceuticals		16,035,937			5,259,003		—		21,294,940
	Publishing		—			4,138,897		—		4,138,897
	Thrifts & Mortgage Finance		—			4,275,369		—		4,275,369
	Other		146,356,389			—		—		146,356,389
Short-Term Investments			—			8,784,540		—		8,784,540
		$	220,738,002		$	40,348,315	$	—	$	261,086,317
Micro Cap Value Fund
Assets
Common Stocks	Advertising	$	—		$	1,000,703	$	—	$	1,000,703
	Application Software		2,932,140			1,031,935		—		3,964,075
	Asset Management & Custody Banks		1,941,015			53,965		—		1,994,980
	Automotive Retail		—			2,224,258		—		2,224,258
	Biotechnology		451,200			1,952,588		—		2,403,788
	Construction Materials		—			908,228		—		908,228
	Diversified Banks		—			1,402,683		—		1,402,683
	Electronic Equipment & Instruments		688,000			1,072,121		—		1,760,121
	General Merchandise Stores		—			1,283,632		—		1,283,632
	Health Care Distributors		—			759,523		—		759,523
	Health Care Facilities		1,790,460			1,469,573		—		3,260,033
	Health Care Services		5,180,262			1,820,461		—		7,000,723
	Health Care Supplies		3,144,750			1,067,361		—		4,212,111
	Health Care Technology		—			3,058,309		—		3,058,309
	Home Improvement Retail		—			1,534,248		—		1,534,248
	Human Resource & Employment Services		—			603,796		—		603,796
	Industrial Machinery		1,606,500			2,009,326		—		3,615,826
	Packaged Foods & Meats		1,558,304			1,647,642		—		3,205,946
	Pharmaceuticals		1,608,160			6,922,174		—		8,530,334
	Restaurants		—			913,107		—		913,107
	Technology Hardware, Storage & Peripherals		747,000			1,042,222		—		1,789,222
	Trading Companies & Distributors		—			993,792		—		993,792
	Other		73,704,293			—		—		73,704,293
Preferred Stocks			—			—		3,111,050		3,111,050
Warrants			—			—		42,019		42,019
Short-Term Investments			—			19,808,193		—		19,808,193
		$	95,352,084		$	54,579,840	$	3,153,069	$	153,084,993

136

SEPTEMBER 30, 2015

Fund	Category	Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Value at 9/30/2015
Small Cap Growth Fund
Assets
Common Stocks	Air Freight & Logistics	$	26,599,591	$	31,209,777	$	—	$	57,809,368
	Biotechnology		91,995,742		18,683,735		—		110,679,477
	Consumer Finance		—		12,110,713		—		12,110,713
	Diversified Banks		34,549,449		17,503,591		—		52,053,040
	Drug Retail		—		14,033,754		—		14,033,754
	Internet Retail		79,572,919		14,427,411		—		94,000,330
	Life Sciences Tools & Services		76,638,120		34,264,632		—		110,902,752
	Personal Products		—		13,905,268		—		13,905,268
	Restaurants		29,432,536		36,662,175		—		66,094,711
	Other		1,345,098,898		—		—		1,345,098,898
Preferred Stocks			—		—		36,789,588		36,789,588
Limited Partnership Interest			—		—		4,827,863		4,827,863
Short-Term Investments			—		87,423,697		—		87,423,697
		$	1,683,887,255	$	280,224,753	$	41,617,451	$	2,005,729,459
Small Cap Value Fund
Assets
Common Stocks	Consumer Finance	$	8,170,230	$	3,163,171	$	—	$	11,333,401
	Diversified Banks		—		7,010,812		—		7,010,812
	Pharmaceuticals		2,038,103		5,867,748		—		7,905,851
	Other		240,472,130		—		—		240,472,130
Limited Partnership Interest			3,595,401		—		—		3,595,401
Short-Term Investments			—		8,564,540		—		8,564,540
		$	254,275,864	$	24,606,271	$	—	$	278,882,135
Strategic Income Fund
Assets
Common Stocks	Diversified REITs	$	3,743,285	$	533,571	$	—	$	4,276,856
	Other		69,376,316		—		—		69,376,316
Exchange-Traded Funds			829,375		—		—		829,375
Limited Partnership Interest			9,821,019		—		—		9,821,019
Corporate Bonds			—		—		804		804
Short-Term Investments			—		3,032,863		—		3,032,863
		$	83,769,995	$	3,566,434	$	804	$	87,337,233
Ultra Growth Fund
Assets
Common Stocks	Diversified Banks	$	—	$	2,833,873	$	—	$	2,833,873
	Industrial Machinery		1,952,112		1,108,906		—		3,061,018
	Internet Software & Services		10,807,793		—		914		10,808,707
	Restaurants		669,079		1,131,157		—		1,800,236
	Specialized Finance		—		634,932		—		634,932
	Other		69,358,789		—		—		69,358,789
Preferred Stocks			—		—		1,573,562		1,573,562
Limited Partnership Interest			—		—		4,511,302		4,511,302
Short-Term Investments			—		1,582,068		—		1,582,068
		$	82,787,773	$	7,290,936	$	6,085,778	$	96,164,487

137

WASATCH FUNDS — Notes to Financial Statements (continued)

Fund	Category	Quoted Prices in Active Markets for Identical Investments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Value at 9/30/2015
World Innovators Fund
Assets
Common Stocks	Alternative Carriers	$	—	$	3,979,933	$	—	$	3,979,933
	Application Software		—		472,043		—		472,043
	Automotive Retail		1,937,600		9,094,787		—		11,032,387
	Biotechnology		3,566,781		6,016,105		—		9,582,886
	Communications Equipment		—		470,755		—		470,755
	Computer & Electronics Retail		—		373,264		—		373,264
	Construction Machinery & Heavy Trucks		—		494,914		—		494,914
	Consumer Electronics		—		3,545,568		—		3,545,568
	Food Retail		—		3,450,759		—		3,450,759
	Health Care Distributors		925,150		340,328		—		1,265,478
	Health Care Equipment		—		5,409,186		—		5,409,186
	Health Care Services		—		954,938		—		954,938
	Health Care Technology		2,696,404		2,181,668		—		4,878,072
	Home Improvement Retail		—		852,891		—		852,891
	Homebuilding		—		593,354		—		593,354
	Human Resource & Employment Services		—		1,615,135		—		1,615,135
	Industrial Machinery		730,415		1,554,144		—		2,284,559
	Internet Retail		5,306,153		2,006,096		—		7,312,249
	Internet Software & Services		5,461,237		717,609		65		6,178,911
	Leisure Products		—		3,288,953		—		3,288,953
	Life Sciences Tools & Services		—		2,460,756		—		2,460,756
	Publishing		955,087		644,441		—		1,599,528
	Real Estate Services		934,505		253,156		—		1,187,661
	Semiconductors		—		2,970,748		—		2,970,748
	Wireless Telecommunication Services		—		1,885,037		—		1,885,037
	Other		89,870,310		—		—		89,870,310
Limited Partnership Interest			—		—		316,546		316,546
Short-Term Investments			—		14,459,758		—		14,459,758
		$	112,383,642	$	70,086,326	$	316,611	$	182,786,579
Income Fund
Assets
Asset-Backed Securities		$	—	$	7,739,874	$	—	$	7,739,874
Collateralized Mortgage Obligations			—		19,786,284		—		19,786,284
Corporate Bonds			—		49,421,732		—		49,421,732
Municipal Bonds			—		3,350,628		—		3,350,628
Exchange-Traded Funds			837,150		—		—		837,150
U.S. Government Agency Securities			—		14,574,065		—		14,574,065
U.S. Treasury Notes			—		9,358,560		—		9,358,560
Preferred Stocks			1,152,520		—		—		1,152,520
Short-Term Investments			—		2,029,446		—		2,029,446
		$	1,989,670	$	106,260,589	$	—	$	108,250,259
U.S. Treasury Fund
Assets
U.S. Government Obligations		$	—	$	322,083,384	$	—	$	322,083,384
Short-Term Investments			—		4,582,570		—		4,582,570
		$	—	$	326,665,954	$	—	$	326,665,954

If the securities of an Asset Class are all the same level, the asset class is shown in total. If the securities of an Asset Class cross levels, the level with the smallest number of categories and with multiple levels within a category is displayed by category. The remaining categories that do not cross levels are combined into the “Other” category.

138

SEPTEMBER 30, 2015

The valuation techniques used by the Funds to measure fair value for the year ended September 30, 2015 maximized the use of observable inputs and minimized the use of unobservable inputs.

The Funds’ policy is to recognize transfers between levels at the end of the reporting period. The table below shows the significant transfers between Level 1 and Level 2 due to fair valuation in certain foreign markets pursuant to a systematic valuation model.

Fund	Transfers Out Of Level 1 at Market Value		Transfers Into Level 2 at Market Value
Core Growth Fund	$	66,993,719	$	66,993,719
Emerging India Fund		44,986,684		44,986,684
Emerging Markets Select Fund		18,624,412		18,624,412
Emerging Markets Small Cap Fund		463,183,239		463,183,239
Frontier Emerging Small Countries Fund		414,157,588		414,157,588
Global Opportunities Fund		36,253,872		36,253,872
International Growth Fund		807,257,387		807,257,387
International Opportunities Fund		204,196,988		204,196,988
Micro Cap Fund		21,110,708		21,110,708
Micro Cap Value Fund		15,021,712		15,021,712
Small Cap Growth Fund		175,668,738		175,668,738
Small Cap Value Fund		7,010,812		7,010,812
Ultra Growth Fund		4,599,961		4,599,961
World Innovators Fund		19,817,960		19,817,960

There was a transfer of $873,390 from Level 1 to Level 3 in the Emerging Markets Small Cap Fund. A holding was suspended from trading by the Hong Kong Exchange due to their inability to publish the 2014 annual report as required by the exchange listing rules. As of September 30, 2015, the security remains halted. There was a transfer of $971,041 from Level 3 to Level 2 in the Micro Cap Value Fund due to a change in pricing strategy on a PIPE. This transfer amount represents the beginning of the period value for Nobilis Health Corp. PIPE, which transferred to Level 2 during the period in order to properly represent the activity on the Level 3 rollforward presented below.

The following is a reconciliation of the fair valuations using significant observable inputs (Level 3) for the Funds during the year ended September 30, 2015:

Fund	Market Value Beginning Balance 9/30/2014		Purchases at Cost		Sales (Proceeds)			Accrued Discounts (Premiums)		Realized Gain/ (Loss)			Change in Unrealized Appreciation (Depreciation)			Transfers in at Market Value		Transfers out at Market Value			Market Value Ending Balance 9/30/2015		Net Change in Unrealized Appreciation (Depreciation) on Investments Held at 9/30/2015
Core Growth Fund
Preferred Stocks	$	—	$	4,000,004	$	—		$	—	$	—		$	—		$	—	$	—		$	4,000,004	$	—
		—		4,000,004		—			—		—			—			—		—			4,000,004		—
Emerging Markets Small Cap Fund
Common Stocks		—		—		—			—		—			—			873,390		—			873,390		—
		—		—		—			—		—			—			873,390		—			873,390		—
Micro Cap Fund
Common Stocks		32,340		—		(7,700	)		—		(1,532,300	)		1,507,660			—		—			—		—
		32,340		—		(7,700	)		—		(1,532,300	)		1,507,660			—		—			—		—
Micro Cap Value Fund
Common Stocks		1,186,508		—		(139,318	)		—		(779,686	)		703,537			—		(971,041	)		—		—
Preferred Stocks		1,366,314		1,455,000		—			—		—			289,736			—		—			3,111,050		289,736
Warrants		4,150		95,000		—			—		—			(57,131	)		—		—			42,019		(52,981	)
		2,556,972		1,550,000		(139,318	)		—		(779,686	)		936,142			—		(971,041	)		3,153,069		236,755
Small Cap Growth Fund
Preferred Stocks		32,900,050		2,999,984		—			—		—			889,554			—		—			36,789,588		889,554
Limited Partnership Interest		4,515,675		115,000		(768,900	)		—		734,297			231,791			—		—			4,827,863		231,791
		37,415,725		3,114,984		(768,900	)		—		734,297			1,121,345			—		—			41,617,451		1,121,345
Strategic Income Fund
Corporate Bonds		1,125		—		—			—		—			(321	)		—		—			804		(321	)
		1,125		—		—			—		—			(321	)		—		—			804		(321	)

139

WASATCH FUNDS — Notes to Financial Statements (continued)

Fund	Market Value Beginning Balance 9/30/2014		Purchases at Cost		Sales (Proceeds)			Accrued Discounts (Premiums)		Realized Gain/ (Loss)			Change in Unrealized Appreciation (Depreciation)		Transfers in at Market Value		Transfers out at Market Value		Market Value Ending Balance 9/30/2015		Net Change in Unrealized Appreciation (Depreciation) on Investments Held at 9/30/2015
Ultra Growth Fund
Common Stocks	$	914	$	—	$	—		$	—	$	—		$	—	$	—	$	—	$	914	$	—
Preferred Stocks		2,018,982		—		(195	)		—		(999,805	)		554,580		—		—		1,573,562		(442,979	)
Limited Partnership Interest		4,198,989		105,000		(716,593	)		—		700,397			223,509		—		—		4,511,302		223,509
		6,218,885		105,000		(716,788	)		—		(299,408	)		778,089		—		—		6,085,778		(219,470	)
World Innovators Fund
Common Stocks		65		—		—			—		—			—		—		—		65		—
Limited Partnership Interest		316,673		10,000		(52,306	)		—		33,892			8,287		—		—		316,546		8,287
		316,738		10,000		(52,306	)		—		33,892			8,287		—		—		316,611		8,287

QUANTITATIVE INFORMATION ABOUT LEVEL 3 FAIR VALUE MEASUREMENTS

Fund	Description	Fair Value at 9/30/2015		Valuation Technique	Unobservable Input	Range (Average)
Emerging Markets Small Cap Fund	Common Stock: Pharmaceuticals	$	873,390	Discount on last trade	Discount for lack of marketability		90%
Micro Cap Value Fund	Direct Venture Capital Investments: Pharmaceuticals	$	1,801,050	Probability of warrant exercise Probability of no warrant exercise	Exercise price Remaining value		* *
Micro Cap Value Fund	Warrant in Public Equity: Oil & Gas Refining & Marketing	$	42,019	Discount to cost	Cost Discount for lack of marketability		50% 12%
Small Cap Growth Fund	Direct Venture Capital Investments: Biotechnology	$	272,022	Market comparable companies	EV/R** multiple Discount for lack of marketability		1.1 -2.5(1.7) 20%
Small Cap Growth Fund	Direct Venture Capital Investments: Oil & Gas Equipment & Services	$	12,432,564	Market comparable companies	EV/R** multiple Discount for lack of marketability		2.7 -10.5(5.6) 20%
Ultra Growth Fund	Direct Venture Capital Investments: Biotechnology	$	68,006	Market comparable companies	EV/R** multiple Discount for lack of marketability		1.1 -2.5(1.7) 20%
Ultra Growth Fund	Direct Venture Capital Investments: Health Care Technology	$	574,126	Probability of strategic buyer† Probability of financial buyer†	Offer proceeds Offer proceeds		100% 100%
Ultra Growth Fund	Direct Venture Capital Investments: Oil & Gas Equipment & Services	$	931,430	Market comparable companies	EV/R** multiple Discount for lack of marketability		2.7 - 10.5(5.6) 20%

* The exercise price of the warrant will be within a range; the actual price is not set at this time. As such, this valuation is directionally sensitive to the determination of the exercise price within the range.

** Enterprise-Value-To-Revenue Multiple (“EV/R”)  —  A measure of the value of a stock that compares a company’s enterprise value to its revenue.

† The valuation is sensitive to the adjustment of the probabilities between a strategic and financial buyer.

Changes in EV/R multiples may change the fair value of an investment. Generally, a decrease in this multiple will result in a decrease in the fair value of an investment.

The Funds’ other Level 3 investments have been valued using observable inputs, unadjusted third-party transactions and quotations, unadjusted historical third party information or the unadjusted NAV of an investment in private investment companies. No unobservable inputs internally developed by the Funds have been applied to these investments, thus they have been excluded from the above table.

14. OFFSETTING

Each Fund is party to various netting arrangements. The FASB requires disclosure about certain netting arrangements and similar agreements to enable users of a Fund’s financial statements to evaluate the effect or potential effect of netting arrangements on the Fund’s financial position. The scope of the disclosure is limited to derivative instruments, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions.

140

SEPTEMBER 30, 2015

The following tables present information about financial instruments that were subject to enforceable netting arrangements as of September 30, 2015:

REPURCHASE AGREEMENTS

		Gross Amounts Not Offset in the Statements of Assets and Liabilities
Fund	Counterparty	Gross Asset Amounts Presented in Statements of Assets and Liabilities		Financial Instrument		Collateral Received1			Net Amount (Not Less Than 0)
Core Growth Fund	State Street Bank and Trust Co.	$	119,120,957	$	—	$	(119,120,957	)	$	—
Emerging India Fund	State Street Bank and Trust Co.		2,268,300		—		(2,268,300	)		—
Emerging Markets Select Fund	State Street Bank and Trust Co.		3,519,811		—		(3,519,811	)		—
Frontier Emerging Small Countries Fund	State Street Bank and Trust Co.		23,472,377		—		(23,472,377	)		—
Global Opportunities Fund	State Street Bank and Trust Co.		685,704		—		(685,704	)		—
International Growth Fund	State Street Bank and Trust Co.		12,275,005		—		(12,275,005	)		—
International Opportunities Fund	State Street Bank and Trust Co.		23,124,583		—		(23,124,583	)		—
Large Cap Value Fund	State Street Bank and Trust Co.		1,470,547		—		(1,470,547	)		—
Long/Short Fund	State Street Bank and Trust Co.		52,286,876		—		(52,286,876	)		—
Micro Cap Fund	State Street Bank and Trust Co.		8,784,540		—		(8,784,540	)		—
Micro Cap Value Fund	State Street Bank and Trust Co.		19,808,193		—		(19,808,193	)		—
Small Cap Growth Fund	State Street Bank and Trust Co.		87,423,697		—		(87,423,697	)		—
Small Cap Value Fund	State Street Bank and Trust Co.		8,564,540		—		(8,564,540	)		—
Strategic Income Fund	State Street Bank and Trust Co.		3,032,863		—		(3,032,863	)		—
Ultra Growth Fund	State Street Bank and Trust Co.		1,582,068		—		(1,582,068	)		—
World Innovators Fund	State Street Bank and Trust Co.		14,459,758		—		(14,459,758	)		—
Income Fund	State Street Bank and Trust Co.		2,029,446		—		(2,029,446	)		—
U.S. Treasury Fund	State Street Bank and Trust Co.		4,582,570		—		(4,582,570	)		—
SECURITIES BORROWED FOR SHORT SALES
		Gross Amounts Not Offset in the Statements of Assets and Liabilities
Fund	Counterparty	Gross Liability Amounts Presented in Statements of Assets and Liabilities		Financial Instrument		Collateral Pledged2			Net Amount (Not Less Than 0)
Long/Short Fund	JPMorgan Chase	$	263,064,239	$	—	$	(263,064,239	)	$	—

¹  Repurchase agreements are classified as short-term investments in the Statements of Assets and Liabilities. The market value of the collateral received is greater than the amounts indicated in the table. For further information, see Note 3 and the Schedules of Investments.

²  The market value of the collateral received is greater than the amounts indicated in the table. For further information, see Note 3 — Securities and Other Investments “Short Sales” and the Schedules of Investments.

15. FAIR VALUE OF DERIVATIVE INSTRUMENTS*

The following is a summary of the fair valuations of the Funds’ derivative instruments categorized by risk exposure:

WASATCH LONG/SHORT FUND

The Effect of Derivative Instruments on the Statement of Operations for the year ended September 30, 2015:

	Derivatives not accounted for as hedging instruments under Statement 133
	Interest Rate Contracts		Foreign Exchange Contracts		Credit Contracts		Equity Contracts			Other Contracts		Total
Realized Gain (Loss) on Derivatives Recognized in Income
Net realized gain (loss) on options written	$	—	$	—	$	—	$	(1,377,491	)	$	—	$	(1,377,491	)
Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Change in unrealized appreciation (depreciation) on investments, options, securities sold short and foreign currency translations	$	—	$	—	$	—	$	1,010,459		$	—	$	1,010,459

141

WASATCH FUNDS — Notes to Financial Statements (continued) SEPTEMBER 30, 2015

WASATCH MICRO CAP VALUE FUND

The Effect of Derivative Instruments on the Statement of Operations for the year ended September 30, 2015:

	Derivatives not accounted for as hedging and non-hedging instruments under Statement 133
	Interest Rate Contracts		Foreign Exchange Contracts			Credit Contracts		Equity Contracts			Other Contracts		Total
Realized Gain (Loss) on Derivatives Recognized in Income
Net realized gain (loss) on options written	$	—	$	—		$	—	$	272,422		$	—	$	272,422
Net realized gain (loss) on investments and foreign currency translations		—		414,810	1		—		—			—		414,810
	$	—	$	414,810		$	—	$	272,422		$	—	$	687,232
Net Change in Unrealized Appreciation (Depreciation) on Derivatives Recognized in Income
Change in unrealized appreciation (depreciation) on investments, options, securities sold short and foreign currency translations	$	—	$	—		$	—	$	(10,336	)	$	—	$	(10,336	)

* See Note 4 — Financial Derivative Instruments for additional information.

¹  Derivative accounted for as hedging instrument under Statement 133.

For the year ended September 30, 2015, the average monthly balance of outstanding derivative financial instruments was as follows:

	Micro Cap Value Fund
Forward currency contracts:
Average number of contracts — U.S. dollars purchased		—	1
Average U.S. dollar amounts purchased	$	959,279
Average number of contracts — U.S. dollars sold		—	1
Average U.S. dollar amounts sold	$	994,554
Option contracts:
Average number of call contracts written		130
Average value of call contracts written	$	30,544

¹  Amount represents less than 0.05.

16. SUBSEQUENT EVENTS

Management has evaluated the possibility of subsequent events and has determined that there are no additional events that would require adjustment to or additional disclosure in the Funds’ financial statements.

142

WASATCH FUNDS — Report of Independent Registered Public Accounting Firm SEPTEMBER 30, 2015

To the Board of Trustees and Shareholders of

Wasatch Funds Trust:

In our opinion, the accompanying statements of assets and liabilities, including the schedules of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Wasatch Core Growth Fund, Wasatch Emerging India Fund, Wasatch Emerging Markets Select Fund, Wasatch Emerging Markets Small Cap Fund, Wasatch Frontier Emerging Small Countries Fund, Wasatch Global Opportunities Fund, Wasatch International Growth Fund, Wasatch International Opportunities Fund, Wasatch Large Cap Value Fund, Wasatch Long/Short Fund, Wasatch Micro Cap Fund, Wasatch Micro Cap Value Fund, Wasatch Small Cap Growth Fund, Wasatch Small Cap Value Fund, Wasatch Strategic Income Fund, Wasatch Ultra Growth Fund, Wasatch World Innovators Fund, Wasatch-1st Source Income Fund, and Wasatch-Hoisington U.S. Treasury Fund (hereafter referred to as the “Funds”) at September 30, 2015, the results of each of their operations for the year then ended, the changes in each of their net assets for each of the two years in the period then ended and the financial highlights for each of the periods indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at September 30, 2015 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

Kansas City, Missouri

November 24, 2015

143

WASATCH FUNDS —Supplemental Information

MANAGEMENT OF THE COMPANY

Management Information. The business affairs of Wasatch Funds are overseen by its Board of Trustees. The Board consists of five Independent Trustees and one Interested Trustee. Three of the Independent Trustees and the Interested Trustee were elected by shareholders to serve until their successors are qualified, appointed or elected in accordance with the Trust’s Declaration of Trust and By-Laws. Two Independent Trustees have been appointed by the elected Independent Trustees to serve until his or her successor is qualified, appointed or elected in accordance with the Trust’s Declaration of Trust and By-Laws.

The Trustees and executive officers of Wasatch Funds and their principal occupations for at least the last five years are set forth below. The Advisor retains proprietary rights to the Trust name.

Name, Address and Age	Position(s) Held with Wasatch Funds	Term of Office1 and Length of Time Served	Principal Occupation(s) during Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee	Other Directorships Held by Trustee during Past 5 Years2
Independent Trustees
James U. Jensen, J.D., MBA 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 71	Trustee and Chairman of the Board	Indefinite Served as Chairman of the Board since 2004 and Trustee since 1986	Chief Executive Officer of Clearwater Law & Governance Group (an operating law firm board governance consulting company) April 2008 to present; Co-Founder and Chairman of the Board of Intelisum, Inc. (a company pursuing computer and measurement technology and products) 2001 - 2008; Consultant on corporate growth and technology transfer since 2004; Vice President, Corporate Development, Legal Affairs and General Counsel, and Secretary, NPS Pharmaceuticals, Inc. from 1991 to 2004.	19	Director and Board Chairman of Agricon Global Corporation (formerly known as Bayhill Capital Corporation (telephone communications) since December 2007 to February 2014; Trustee, Northern Lights Fund Trust III (30 portfolios) since 2012.
D. James Croft, Ph.D. 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 73	Trustee and Chairman of the Governance and Nominating Committee	Indefinite Served as Trustee since 2005	Consultant to the mortgage industry on issues of mortgage quality, identification of mortgage fraud, strategic planning and client development since 2004; Founder & Executive Director, Mortgage Asset Research Institute, from 1990 to 2004.	19	None.
Miriam M. Allison 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 68	Trustee and Chairman of the Audit Committee	Indefinite Served as Trustee since 2010	Rancher since 2004. From 2001 to 2005, Chairman of UMB Fund Services, Inc.	19	Director, Northwestern Mutual Series Fund, Inc. (27 portfolios) since 2006.
Heikki Rinne 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 63	Trustee	Indefinite Served as Trustee since October 2012	Chief Executive Officer of the Halton Group Ltd. (an indoor environmental control manufacturing and technology company) since 2002.	19	None.
Kristen M. Fletcher 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 62	Trustee	Indefinite Served as Trustee since October 2014	Trustee, Youth Sports Alliance since 2015; Director, Utah Symphony/Utah Opera since 2005; Director, Woodlands Commercial Bank 2009 - 2012; Chairman and CEO, ABN AMRO, Inc. and U.S. Country Representative, ABN AMRO Bank, NV from 2002 - 2004.	19	Trustee, Youth Sports Alliance since 2015; Director Utah Symphony/Utah Opera since 2005; Director, Woodlands Commercial Bank 2009 - 2012.
Interested Trustee
Samuel S. Stewart, Jr., Ph.D. CFA3 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 73	President and Trustee	Indefinite Served as President and Trustee since 1986	Chairman of the Board for the Advisor since 1975; Chief Investment Officer of the Advisor from 2004 to June 2009; Director of Research of the Advisor from 1975 to 2004; Chairman of the Board of Wasatch Funds from 1986 to 2004.	19	None.

¹  A Trustee may serve until his/her death, resignation, removal or retirement. Each Independent Trustee shall retire as Trustee at the end of the calendar year in which he/she attains the age of 75 years.

²  Directorships are those held by a Trustee in any company with a class of securities registered pursuant to Section 12 of the Securities Exchange Act of 1934 or subject to the requirements of Section 15(d) of the Securities Exchange Act or any company registered as an investment company under the 1940 Act.

³  Dr. Stewart is an Interested Trustee because he serves as the Chairman of the Board of the Advisor.

144

SEPTEMBER 30, 2015 (UNAUDITED)

Name, Address and Age	Position(s) Held with Trust	Term of Office and Length of Time Served	Principal Occupation(s) during Past 5 Years
Officers
Daniel D. Thurber 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 46	Vice President	Indefinite Served as Vice President since February 2007	General Counsel, Chief Compliance Officer and Director of Compliance for the Advisor since 2006.
Russell L. Biles 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 48	Chief Compliance Officer, Vice President and Secretary	Indefinite Served as Chief Compliance Officer and Vice President since February 2007 and Secretary since November 2008	Chief Compliance Officer and Vice President for Wasatch Funds since February 2007; Secretary for Wasatch Funds since November 2008; Counsel for the Advisor since October 2006.
Cindy B. Firestone CPA 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 58	Treasurer	Indefinite Served as Treasurer since May 2009	Treasurer for Wasatch Funds since May 2009; Assistant Treasurer for Wasatch Funds from November 2008 to May 2009; Internal Auditor for the Advisor from December 2002 to August 2011.
David Corbett 505 Wakara Way 3rd Floor Salt Lake City, UT 84108 Age 43	Assistant Vice President	Indefinite Served as Assistant Vice President since August 2012	Assistant Vice President for Wasatch Funds since August 2012; Director of Mutual Fund Services for the Advisor since June 2007.

Additional information about the Funds’ trustees is provided in the Statement of Additional Information and is available without charge, upon request, by calling 800.551.1700.

ADDITIONAL TAX INFORMATION

The Funds hereby designate the following amounts or maximum amounts allowable as long term capital gain dividends for the purpose of the dividends paid deduction. The amounts designated here include the utilization of earnings and profits distributed to shareholders on the redemption of shares.

Fund	Amount
Core Growth Fund	$	24,139,661
Frontier Emerging Small Countries Fund		14,583,973
Global Opportunities Fund		27,018,684
International Growth Fund		9,181,913
International Opportunities Fund		32,985,697
Large Cap Value Fund		91,295,666
Long/Short Fund		171,032,782
Micro Cap Fund		13,800,575
Micro Cap Value Fund		21,640,698
Small Cap Growth Fund		210,961,388
Strategic Income Fund		7,267,964
Ultra Growth Fund		29,153,346
World Innovators Fund		25,428,998
U.S. Treasury Fund		11,970,866

For the fiscal year ended September 30, 2015, certain dividends paid by each Fund may be subject to a maximum tax rate of 20% as provided for by the Jobs and Growth Tax Relief Reconciliation Act of 2003. To the extent dividends are paid during the calendar year 2015, complete information will be reported on shareholders’ 2015 Form 1099-DIV.

The amount designated as qualified dividend income for the year ended September 30, 2015 will be at the highest amount permitted by law.

Corporate shareholders should note for the year ended September 30, 2015, the percentage of the Funds’ investment income (i.e., net investment income plus short-term capital gains) that qualified for the corporate dividends received deductions are as follows:

Fund	Percentage
Emerging Markets Select Fund		1	%
Frontier Emerging Small Countries Fund		2	%
Large Cap Value Fund		92	%
Long/Short Fund		100	%
Strategic Income Fund		53	%
Income Fund		3	%

The Funds may elect to pass-through to shareholders the income tax credit for taxes paid to foreign countries. The foreign taxes paid eligible for pass-through on September 30, 2015 are as follows:

Fund	Amount
Frontier Emerging Small Countries Fund	$	3,040,779

If elected, the pass-through of the foreign tax credit will affect only those persons who are shareholders on the dividend record date in December 2015. These shareholders will receive more detailed information along with their 2015 Form 1099-DIV.

145

WASATCH FUNDS — Supplemental Information (continued) SEPTEMBER 30, 2015 (UNAUDITED)

PROXY VOTING POLICIES, PROCEDURES AND RECORD

A description of the policies and procedures that Wasatch Advisors uses to vote proxies related to the Funds’ portfolio securities is set forth in the Funds’ Statement of Additional Information which is available without charge, upon request, on the Funds’ website at www.WasatchFunds.com or by calling 800.551.1700 and on the Securities and Exchange Commission’s (SEC) website at www.sec.gov.

Wasatch Funds’ proxy voting record is available without charge on the Funds’ website at www.WasatchFunds.com and the SEC’s website at www.sec.gov no later than August 31 for the prior 12 months ending June 30.

QUARTERLY PORTFOLIO HOLDINGS DISCLOSURE ON FORM N-Q

The Funds file their complete schedules of investments with the SEC for their first and third quarters of each fiscal year on Form N-Q. The Funds’ Form N-Q filings are available on the SEC’s website at www.sec.gov, and may be viewed at the SEC’s Public Reference Room in Washington, D.C. (information on the operation of the Public Reference room may be obtained by calling 800.SEC.0330).

146

WASATCH FUNDS — Service Providers SEPTEMBER 30, 2015 (UNAUDITED)

INVESTMENT ADVISOR

Wasatch Advisors, Inc.

505 Wakara Way, 3rd Floor

Salt Lake City, UT 84108

SUB-ADVISOR FOR THE WASATCH-1ST SOURCE INCOME FUND

1st Source Corporation Investment Advisors, Inc.

100 North Michigan Street

South Bend, IN 46601

SUB-ADVISOR FOR THE U.S. TREASURY FUND

Hoisington Investment Management Co.

6836 Bee Caves Road

Building 2, Suite 100

Austin, TX 78746

ADMINISTRATOR AND FUND ACCOUNTANT

State Street Bank and Trust Company

801 Pennsylvania Avenue

Kansas City, MO 64105

DISTRIBUTOR

ALPS Distributors, Inc.

1290 Broadway, Suite 1100

Denver, CO 80203

TRANSFER AGENT

UMB Fund Services, Inc.

235 West Galena Street

Milwaukee, WI 53212

CUSTODIAN

State Street Bank and Trust Company

801 Pennsylvania Avenue

Kansas City, MO 64105

LEGAL COUNSEL TO WASATCH FUNDS AND INDEPENDENT TRUSTEES

Chapman and Cutler, LLP

111 West Monroe Street

Chicago, IL 60603

INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

PricewaterhouseCoopers LLP

1100 Walnut Street, Suite 1300

Kansas City, MO 64106

CONTACT WASATCH

TELEPHONE

800.551.1700

M - F, 7:00 a.m. to 7:00 p.m. CT

Automated Line, 24 Hours

U.S. MAIL

Wasatch Funds

P.O. Box 2172

Milwaukee, WI 53201-2172

OVERNIGHT DELIVERY

Wasatch Funds

235 West Galena Street

Milwaukee, WI 53212

ONLINE

www.WasatchFunds.com

shareholderservice@wasatchfunds.com

147

Wasatch Funds 2015 Annual Report www.WasatchFunds.com 800.551.1700 MIX Paper from responsible sources FSC C101537

Item 2: Code of Ethics.

(a) Wasatch Funds Trust (the “Registrant”) has adopted a Code of Ethics that applies to the Registrant’s principal executive officer and principal financial officer.

(b) No disclosures are required by this Item 2(b).

(c) There have been no amendments to the Registrant’s Code of Ethics during the reporting period for this form N-CSR.

(d) There have been no waivers granted by the Registrant to individuals covered by the Registrant’s Code of Ethics during the reporting period for this Form N-CSR.

(e) Not applicable.

(f) A copy of the Registrant’s Code of Ethics is attached as an exhibit to this Form N-CSR.

Item 3: Audit Committee Financial Expert.

(a) (1) The Board of Trustees of the Registrant has determined that the Registrant has at least one member serving on the Registrant’s Audit Committee that possesses the attributes identified in Instruction 2(b) of Item 3 to Form N-CSR to qualify as “audit committee financial expert.”

(2) The name of the audit committee financial expert is Miriam M. Allison. Ms. Allison is deemed to be “independent” as that term is defined in Item 3(a)(2) of Form N-CSR.

Item 4. Principal Accountant Fees and Services.

(a) Audit Fees - The aggregate fees billed for professional services rendered by the independent registered public accounting firm for the audit of the Registrant’s annual financial statements or services normally provided in connection with statutory and regulatory filings or engagements for the last two fiscal years ended September 30, 2015 and 2014 were $426,189 and $484,862, respectively.

(b) Audit Related Fees – During the fiscal years ended September 30, 2015 and 2014, the Registrant was not billed any fees by the independent registered public accounting firm for assurance and related services rendered by the independent registered public accounting firm to the Registrant that are reasonably related to the performance of the audit of the Registrant’s financial statements and are not reported under paragraph (a) of this Item 4.

During the fiscal years ended September 30, 2015 and 2014, no fees for assurance and related services that relate directly to the operations and financial reporting of the Registrant were billed by the independent registered public accounting firm to the Registrant’s investment adviser (the “Advisor”) or any other entity controlling, controlled by, or under common control with the Advisor that provides ongoing services to the Registrant.

(c) Tax Fees - The aggregate fees billed for professional services rendered by the independent registered public accounting firm to the Registrant for tax compliance, tax advice, tax planning and tax return preparation for the last two fiscal years ended September 30, 2015 and 2014 were $105,965 and $106,750, respectively. These services consisted of the independent registered public accounting firm reviewing the Registrant’s excise tax returns, distribution requirements and RIC tax returns, as well as consultations regarding the liquidation of a series of the Trust.

During the fiscal years ended September 30, 2015 and 2014, no fees for tax compliance, tax advice or tax planning services that relate directly to the operations and financial reporting of the Registrant were billed by the independent registered public accounting firm to the Advisor or any other entity controlling, controlled by, or under common control with the Advisor that provides ongoing services to the Registrant.

(d) All Other Fees – The aggregate fees billed for products and services provided by the independent registered public accounting firm to the Registrant, other than the services reported in paragraph (a) – (c) of this Item 4, for the fiscal years ended September 30, 2015 and 2014 were $0 and $1,772, respectively.

During the fiscal years ended September 30, 2015 and 2014, no fees for other services that relate directly to the operations and financial reporting of the Registrant were billed by the independent registered public accounting firm to the Advisor or any other entity controlling, controlled by, or under common control with the Advisor that provides ongoing services to the Registrant.

(e) Pre-Approval Policies and Procedures

(1)        Pursuant to the registrant’s Audit Committee Charter, the Audit Committee shall evaluate the independence of the independent public accountants, including evaluating whether the independent public accountants provide audit services or consulting services to the Registrant or consulting services to the Advisor, and to receive the specific representations of the independent registered public accounting firm as to their independence. Specifically, the Audit Committee will be responsible for evaluating the provision of non-audit services to the Registrant as required by Section 201 of the Sarbanes-Oxley Act, any pre-approval requests submitted by the independent registered public accounting firm as required by Section 202 of the Sarbanes-Oxley Act or as otherwise required under Section 2-01 of Regulation S-X, and shall monitor the conflict of interest requirements in Section 206 of the Sarbanes-Oxley Act, and the prohibitions on improper influence on the conduct of audits in Section 303 of the Sarbanes-Oxley Act. The Audit Committee shall pre-approve any engagement of the independent registered public accounting firm to provide any services (other than prohibited non-audit services) including the fees and other compensation to be paid to the independent registered public accounting firm.

The independent registered public accounting firm is authorized by the Audit Committee to provide non-audit services to the extent allowable under the Sarbanes-Oxley Act of 2002 for the Registrant provided that (i) the fees payable with respect to such services do not exceed $5,000 in any calendar quarter and (ii) such fees are ratified by the Audit Committee at its next meeting. The fees payable with respect to non-audit services may be increased by the affirmative vote of a majority of the members of the Audit Committee.

(2)        There were no pre-approval requirements waived for the services provided to the Registrant described in paragraphs (b)-(d) of Item 4 by the Audit Committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X (the “De Minimis Rule”). There were no fees billed for services provided to the Advisor described in paragraphs (b)-(d) of Item 4 that were required to be pre-approved by the Audit Committee as described in paragraph (e)(1) of Item 4.

(f) No disclosures are required by this Item 4(f).

(g) For the fiscal years ended September 30, 2015 and 2014, the aggregate non-audit fees billed by the independent registered public accounting firm for services rendered to the Registrant and the Advisor and any entity controlling, controlled by, or under common control with the Advisor that provided ongoing services to the Registrant were approximately $0 and $1,772, respectively.

(h) No disclosures are required by this Item 4(h).

Item 5. Audit Committee of Listed Registrants.

Not applicable.

Item 6. Schedule of Investments.

(a) Schedule of Investments is included as a part of the report to shareholders filed under Item 1 of this Form N-CSR.

(b) Not applicable.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable.

Item 8. Portfolio Managers of Closed-End 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 the Registrant’s board of trustees, where those changes were implemented after the Registrant last provided disclosure in response to this item.

Item 11. Controls and Procedures.

(a) The Registrant’s principal executive and principal financial officers have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective, as of a date within 90 days of the filing date of this Form N-CSR based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934).

(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the Registrant’s second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12. Exhibits.

(a)(1) Code of Ethics is attached hereto.

(a)(2) The certifications required by Rule 30a-2(a) of the 1940 Act are attached hereto.

(a)(3) Not applicable.

(b) The certifications required by Rule 30a-2(b) of the 1940 Act and Section 906 of the Sarbanes-Oxley Act of 2002 are 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.

WASATCH FUNDS TRUST

By:	/s/ Samuel S. Stewart, Jr.
	Samuel S. Stewart, Jr.
	President (principal executive officer) of Wasatch Funds Trust
Date:	December 3, 2015

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.

By:	/s/ Samuel S. Stewart, Jr.
	Samuel S. Stewart, Jr.
	President (principal executive officer) of Wasatch Funds Trust
Date:	December 3, 2015
By:	/s/ Cindy B. Firestone
	Cindy B. Firestone
	Treasurer (principal financial officer) of Wasatch Funds Trust
Date:	December 3, 2015