Thrivent Mutual Fund Annual Report

Date: December 29, 2008

THRIVENT MUTUAL FUNDS

/s/ Russell W. Swansen

Russell W. Swansen

N-CSR 1 dncsr.htm THRIVENT MUTUAL FUND ANNUAL REPORT Thrivent Mutual Fund Annual Report

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:		811-05075

Thrivent Mutual Funds

(Exact name of registrant as specified in charter)

625 Fourth Avenue South

Minneapolis, Minnesota

55415

(Address of principal executive offices)

(Zip code)

John L. Sullivan

625 Fourth Avenue South

Minneapolis, Minnesota 55415

(Name and address of agent for service)

Registrant’s telephone number, including area code: (612) 844-5704

Date of fiscal year end: October 31

Date of reporting period: October 31, 2008

Item 1. Report to Stockholders

LOGO

Table of Contents


Letter from the President		1

Portfolio Perspectives

Thrivent Aggressive Allocation Fund		4
Thrivent Moderately Aggressive Allocation Fund		6
Thrivent Moderate Allocation Fund		8
Thrivent Moderately Conservative Allocation Fund		10
Thrivent Technology Fund		12
Thrivent Partner Small Cap Growth Fund		14
Thrivent Partner Small Cap Value Fund		16
Thrivent Small Cap Stock Fund		18
Thrivent Small Cap Index Fund		20
Thrivent Mid Cap Growth Fund		22
Thrivent Partner Mid Cap Value Fund		24
Thrivent Mid Cap Stock Fund		26
Thrivent Mid Cap Index Fund		28
Thrivent Partner Worldwide Allocation Fund		30
Thrivent Partner International Stock Fund		32
Thrivent Large Cap Growth Fund		34
Thrivent Large Cap Value Fund		36
Thrivent Large Cap Stock Fund		38
Thrivent Large Cap Index Fund		40
Thrivent Balanced Fund		42
Thrivent High Yield Fund		44
Thrivent Municipal Bond Fund		46
Thrivent Income Fund		48
Thrivent Core Bond Fund		50
Thrivent Limited Maturity Bond Fund		52
Thrivent Money Market Fund		54

Shareholder Expense Example		56

Report of Independent Registered Public Accounting Firm		61

Schedules of Investments

Thrivent Aggressive Allocation Fund		62
Thrivent Moderately Aggressive Allocation Fund		64
Thrivent Moderate Allocation Fund		66
Thrivent Moderately Conservative Allocation Fund		68
Thrivent Technology Fund		70
Thrivent Partner Small Cap Growth Fund		72
Thrivent Partner Small Cap Value Fund		75
Thrivent Small Cap Stock Fund		78
Thrivent Small Cap Index Fund		82
Thrivent Mid Cap Growth Fund		89
Thrivent Partner Mid Cap Value Fund		92
Thrivent Mid Cap Stock Fund		95
Thrivent Mid Cap Index Fund		98
Thrivent Partner Worldwide Allocation Fund		103
Thrivent Partner International Stock Fund		110
Thrivent Large Cap Growth Fund		114
Thrivent Large Cap Value Fund		117
Thrivent Large Cap Stock Fund		120
Thrivent Large Cap Index Fund		123
Thrivent Balanced Fund		129
Thrivent High Yield Fund		137
Thrivent Municipal Bond Fund		144
Thrivent Income Fund		161
Thrivent Core Bond Fund		169
Thrivent Limited Maturity Bond Fund		175
Thrivent Money Market Fund		182

Statement of Assets and Liabilities		186

Statement of Operations		192

Statement of Changes in Net Assets		198

Notes to Financial Statements		207

Financial Highlights		222

Additional Information		252

Board of Trustees and Officers		253

LOGO

Dear Shareholder:

Economic and Market Review

Stocks and most types of bonds generally posted negative returns during the 12 months ended October 31, 2008. Credit market troubles that started in sub-prime mortgages spread far and wide during the period, culminating in a global liquidity crisis that affected many of the world’s investment markets. This led to major policy adjustments by central bankers around the globe as they attempted to facilitate the availability of credit and liquidity to the markets. Over the period, the U.S. Federal Reserve lowered targeted short-term rates by 3.50% as heightened risks in both the real economy and the financial markets became apparent.

U.S. Economy

The nation’s gross domestic product shrank during part of the reporting period and grew only modestly the remainder of the time, as tight credit, declining housing and investment values, rising unemployment and somber economic news weighed on consumers. GDP growth increased from a -0.2% annual rate in the fourth quarter of 2007 to 0.9% in the first quarter, rose to 2.8% in the second quarter, and then declined to -0.3% in the third quarter (the latter figure according to advanced estimate).¹

The U.S. housing market malaise continued to curb economic activity. Weak sales, rising inventories, falling prices and much tighter lending standards caused the imbalances in the housing market to worsen over the period. Sales of existing homes nationwide rose just 1.4% to 5.18 million units annually from September 2007 to September 2008. For the same period, the average sale price of an existing home fell 9% to $191,600. Two years earlier, national sales totaled 7.076 million units annually with an average price of $219,600.²

As the economy cooled, job losses began to mount during the period. Employers cut 240,000 jobs in October 2008, following declines of 284,000 in September and 127,000 in August. For the first 10 months of 2008, employment fell by 1.2 million jobs, bringing the unemployment rate to 6.5% in October. That was the highest unemployment rate since March 1994. During the 12-month reporting period, the number of unemployed persons increased by 2.8 million and the unemployment rate rose by 1.7%.³

Inflation & Monetary Policy

Inflation indicators generally eased during the period. The Consumer Price Index (CPI) rose at a 3.7% annual rate for the 12 months ended October 31, 2008, compared with a 4.1% rate for all of 2007. The index for energy, which rose 17.4% in all of 2007, advanced at an 11.5% annual rate during the 12-month period. Excluding the volatile prices of food and energy, the core CPI advanced at a 2.2% annual rate during the period, compared to a 2.4% increase for all of 2007.

Notably, inflation appeared to abate sharply late in the period as credit market troubles intensified and economic activity slowed. The CPI decreased 1.0% in October 2008–the largest decline on record–following very little change in September and August. The energy index fell 8.6% in October after declining 1.9% in September and 3.1% in August.

After returning to a rate-easing mode in September of 2007, the Federal Reserve Open Market Committee (FOMC) cut interest rates repeatedly during the period, with the federal funds target rate dropping from 4.50% on October 31, 2007, to 1.00% on October 29, 2008. At their October 29 meeting, policymakers said they expected inflation to moderate in coming quarters but that downside risks to growth remained.

Equity Performance

Many stock indexes set record highs in early October 2007, just prior to this reporting period. For much of the following year, however, prices pulled back sharply–for some indexes to five-year lows in October 2008–due to worries in the credit, housing, job and consumer markets and the growing potential for a severe recession.

Small-company stocks outperformed large-company issues during the period. The Russell 2000^® Index of small-company stocks posted a -34.16% total return, while the S&P 500 Index of large-company stocks recorded a -36.08% return. Value stocks modestly outperformed growth stocks during the period. The Russell 1000^® Value Index returned -36.80%, while the Russell 1000^® Growth Index posted a return of -37.30%.

Major market foreign stocks underperformed most domestic issues in dollar terms. The Morgan Stanley Capital International Europe, Australasia, Far East (EAFE) Index posted a -46.34% total return in dollar terms.

Fixed Income Performance

The worsening credit crisis hurt all areas of the bond market except U.S. Treasury securities during the period. An investor flight to safety pushed U.S. Treasury bond prices up, driving Treasury yields down. Mortgage- and asset-backed bonds, municipals, high-yield bonds, bank loans and corporate bonds all suffered price declines as liquidity drained out of the market. Late in the period, the situation intensified with the failure and subsequent federal takeover or forced sale of a number of large financial institutions. Fannie Mae, Freddie Mac, Lehman Brothers, Washington Mutual, Wachovia, Merrill Lynch and AIG all were casualties of the crisis that overtook the financial industry.

The yield curve steepened during the period as Treasury yields fell especially sharply in shorter maturity lengths. The six-month Treasury yield fell from 4.09% to 0.94%, the five-year yield declined from 4.16% to 2.80%, the 10-year yield fell from 4.48% to 4.01%, and the 30-year Treasury yield declined from 4.74% to 4.35%.

The Barclays Capital (formerly Lehman Brothers) Aggregate Bond Index of the broad U.S. bond market posted a 0.30% total return for the 12-month period, while the Barclays Capital Government/Corporate 1-3 Year Bond Index registered a 4.20% total return. The Barclays Capital Municipal Bond Index posted a -3.30% total return. Below-investment-grade corporate bonds were among the weakest performers, with the Barclays Capital U.S. Corporate High Yield Bond Index registering a -25.81% total return.

Outlook

The mortgage crisis that started in 2007 has spread from the consumer through the banking system and is now poised to impact the broader economy. Rising unemployment, very weak consumer spending, and business spending cutbacks are now the primary risks to the economy. The support from exports that U.S. corporations have enjoyed is also now in jeopardy as global growth slows and the U.S. dollar strengthens. Helping to offset these risks somewhat, the U.S. government and governments around the world have initiated financial system rescue plans that may begin to show signs of returning some liquidity to the credit markets.

On a Personal Note

My colleague, Pam Moret, has recently taken on a new role at Thrivent Financial and will no longer serve as the President of Thrivent Mutual Funds. I, along with all of us at Thrivent Mutual Funds, want to thank Pam for her years of dedicated service to our shareholders. Her tenure saw tremendous improvement in investment performance, innovative product design and lower expenses for our shareholders. Her leadership and integrity set a standard for the position. It’s a standard I will work to build upon as I assume the position of President of Thrivent Mutual Funds, in addition to maintaining my current role as Chief Investment Officer of Thrivent Asset Management.

I look forward to using this forum in future publications to share thoughts and insight on the markets and investment strategies, along with updates on your Thrivent Mutual Funds. Until then, thank you for continuing to turn to us for your financial options.

Sincerely,

Russell W. Swansen

President and Chief Investment Officer

Thrivent Mutual Funds

¹	U.S. Department of Commerce, Bureau of Economic Analysis

²	National Association of Realtors

³	U.S. Department of Labor, Bureau of Labor Statistics

Investing in a mutual fund involves risks, including the possible loss of principal. The prospectus contains more complete information on the investment objectives, risks, charges and expenses of the investment company, which investors should read and consider carefully before investing. To obtain a prospectus, contact a registered representative or visit www.thrivent .com.

[THIS PAGE INTENTIONALLY LEFT BLANK]

Thrivent Aggressive

Allocation Fund

Russell W. Swansen (left), David C. Francis, CFA (right) and Mark L. Simenstad, CFA (far right), Portfolio Co-Managers

The Fund seeks long-term capital growth by implementing an asset allocation strategy.

The Fund’s performance depends upon how its assets are allocated across broad asset categories and applicable sub-classes within such categories. Some broad asset categories and sub-classes may perform below expectations or below the securities markets generally over short or extended periods. In particular, underperformance in the equity markets would have material adverse effect on the Fund’s total return, given its allocation to equity securities. Therefore, a principal risk of investing in the Fund is heavily dependent upon the performance of the underlying funds in which the Fund invests. As a result, the Fund is subject to the same risks as those faced by the underlying funds. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Aggressive Allocation Fund earned a return of -37.44%, as compared to the median return of its peer group, the Lipper Multi Cap Core category, of -38.7%. The Fund’s market benchmarks, the S&P 500 Index and the Barclays Capital Aggregate Bond Index, earned a total return of -36.08% and 0.30%, respectively.

What factors affected the Fund’s performance?

Stocks fell sharply over the last fiscal year, reflecting profound disruptions in the credit markets that have meaningfully impaired expectations for economic growth not only in the United States but around the world. Credit has become both quite expensive and, in many areas, severely restricted for all but the highest quality borrowers. Governments around the world have stepped in with various programs to take the place of the traditional providers of credit as investors directed capital to only the safest alternatives.

Government and sovereign debt securities provided the best returns, with longer dated bonds appreciating and short-term government rates falling to levels not seen since the last recession. Late in the period, developing economy stock markets fell in concert with significant price breaks in oil and industrial metals. Domestically, small-cap stocks outperformed large-caps, but mid-cap stocks corrected more sharply than both large- and small-cap stocks.

The Fund has meaningful exposure to international stocks, although we were underweighted relative to our long-term target. In addition, we had significant exposure to both small- and mid-capitalization stocks, the benefit of the former being outweighed by the relative returns in the latter. The two most significant factors limiting our returns versus the S&P 500 benchmark were our exposure to international and mid-cap markets. We modestly bested the median Fund in our peer group category.

What is your outlook?

There is still a tremendous amount of uncertainty in both the economic and financial outlook. The programs that have been put in place appear to be making progress in facilitating a more normal lending environment. This would establish the basis for an improving economic environment. Holders of risk capital around the globe continue to be cautious. Additionally, consumers remain hesitant and have reduced purchases as the employment outlook remains tentative. Mitigating some of these concerns is a relatively well balanced corporate sector with moderate inventories and generally good balance sheets. That is not the case universally, with severe constraints in both automobiles and retail, areas that likely will experience significant restructuring pressure.

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Thrivent Large Cap Growth Fund	14.4	%
Thrivent Partner International Stock Fund	14.2	%
Thrivent Small Cap Stock Fund	9.5	%
Thrivent Mid Cap Stock Fund	9.2	%
Thrivent Large Cap Value Fund	9.0	%
Thrivent Partner Small Cap Growth Fund	8.7	%
Thrivent Large Cap Stock Fund	7.7	%
Thrivent Mid Cap Growth Fund	5.8	%
Thrivent Partner Mid Cap Value Fund	3.8	%
Thrivent Income Fund	3.5	%

The shares of these Funds represent 85.8% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge. The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions. Quoted Portfolio Composition and Top 10 Holdings are subject to change.

Most risk asset classes are priced at extraordinary discounts to normal valuations, some at levels not seen in generations. At some point over the next 12 months, the holders of fresh capital will become dissatisfied with the unusually low returns currently being earned by the safest investment alternatives. Stock markets bottom well in advance of economic recovery. Recent studies have suggested that economic and market dislocations associated with crises in banking systems tend be longer in duration and deeper in magnitude. The data also suggests that broad and deep policy interventions have historically been associated with market inflection points. While not unequivocally in evidence at this point, the weight of the evidence suggests that the worst is likely behind us and sufficient catalysts are in place that would imply improvement for both the markets and the economy in 2009. We are positioning the Fund with that outlook in mind.

Portfolio Facts

As of October 31, 2008


	Class A		Institutional Class
Ticker		TAAAX		TAAIX
Transfer Agent ID		038		468
Net Assets	$	264,196,147	$	50,408,491
NAV	$	8.26	$	8.31
NAV - High†		11/6/2007 - $13.59		11/6/2007 - $13.65
NAV - Low†		10/27/2008 - $7.18		10/27/2008 - $7.23
Number of Holdings: 22

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		From Inception 6/30/2005
without sales charge	(37.44	%)	(3.44	%)
with sales charge	(40.87	%)	(5.05	%)

Institutional Class³	1-Year		From Inception 6/30/2005
Net Asset Value	(37.27	%)	(3.09	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

Past performance is not an indication of future results. Annualized total returns represent past performance and reflect changes in share prices, the reinvestment of all dividends and capital gains, and the effects of compounding. Investing in a mutual fund involves risks, including the possible loss of principal. The prospectus contains more complete information on the investment objectives, risks, charges and expenses of the investment company, which investors should read and consider carefully before investing. To obtain a prospectus, contact a registered representative or visit www.thrivent.com. At various times, the Fund’s adviser waived its management fee and/or reimbursed Fund expenses. Had the adviser not done so, the Fund’s total returns would have been lower. The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index, the S&P 500 Index and the Barclays Capital Aggregate Bond Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in those Indexes, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

The Barclays Capital Aggregate Bond Index is an index that measures the performance of U.S. investment grade bonds. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes. The Barclays Capital Aggregate Bond Index is the new name for the index formerly known as the Lehman Brothers Aggregate Bond Index. The Barclays Capital Aggregate Bond Index assumes the prior history and is compiled going forward using the same methodology of the Lehman Brothers Aggregate Bond Index.

****	The S&P 500 Index is an index that represents the average performance of a group of 500 widely held, publicly traded stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Moderately

Aggressive Allocation Fund

Russell W. Swansen (left), David C. Francis, CFA (right) and Mark L. Simenstad, CFA (far right), Portfolio Co-Managers

The Fund seeks long-term capital growth by implementing an asset allocation strategy.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Moderately Aggressive Allocation Fund earned a return of -33.99%, as compared to the median return of its peer group, the Lipper Mixed Asset Target Allocation Growth category, of -30.84%. The Fund’s market benchmarks, the S&P 500 Index and the Barclays Capital Aggregate Bond Index, earned a total return of -36.08% and 0.30%, respectively.

What factors affected the Fund’s performance?

Government and sovereign debt securities provided the best returns with longer dated bonds appreciating and short-term government rates falling to levels not seen since the last recession. Bonds exposed to credit risk have suffered significant price erosion. Late in the period, developing economy stock markets fell in concert with significant price breaks in oil and industrial metals. Domestically, small-cap stocks outperformed large-caps, but mid-cap stocks corrected more sharply than both large- and small-cap stocks.

The Fund has meaningful exposure to international stocks, although we were underweighted in this area versus our long-term target. In addition, we had significant exposure to both small- and mid-capitalization stocks, the benefit of the former being outweighed by the relative returns in the latter. The three most significant factors limiting our returns versus those of our peer group were a larger allocation to equity securities, our exposure to international and mid-cap equity markets and our holdings in credit based fixed-income products that did not provide the buffer of a larger allocation to government or sovereign debt. In aggregate, we outperformed the benchmark equity index.

What is your outlook?

There is still a tremendous amount of uncertainty in both the economic and financial outlook. The programs that have been put in place appear to be making progress in facilitating a more normal lending environment. Additionally, consumers remain hesitant and have reduced purchases as the employment outlook remains tentative. Mitigating some of these concerns is a relatively well balanced corporate sector with moderate inventories and generally good balance sheets. That is not the case universally, with severe constraints in both automobiles and retail, areas that likely will experience significant restructuring pressure.

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Thrivent Income Fund	12.6	%
Thrivent Large Cap Value Fund	12.1	%
Thrivent Large Cap Growth Fund	10.5	%
Thrivent Partner International Stock Fund	10.0	%
Thrivent Mid Cap Stock Fund	8.4	%
Thrivent Large Cap Stock Fund	7.8	%
Thrivent High Yield Fund	6.5	%
Thrivent Limited Maturity Bond Fund	5.3	%
Thrivent Small Cap Stock Fund	4.7	%
Thrivent Partner Mid Cap Value Fund	3.9	%

The shares of these Funds represent 81.8% of the total net assets of the Fund.

Portfolio Facts

As of October 31, 2008


	Class A		Institutional Class
Ticker		TMAAX		TMAFX
Transfer Agent ID		037		467
Net Assets	$	698,349,835	$	56,199,716
NAV	$	8.36	$	8.41
NAV - High†		11/6/2007 - $13.04		11/6/2007 - $13.11
NAV - Low†		10/27/2008 - $7.43		10/27/2008 - $7.48
Number of Holdings: 33

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		From Inception 6/30/2005
without sales charge	(33.99	%)	(2.98	%)
with sales charge	(37.62	%)	(4.60	%)

Institutional Class³	1-Year		From Inception 6/30/2005
Net Asset Value	(33.83	%)	(2.65	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales chare, while the Consumer Price Index, the S&P 500 Index and the Barclays Capital Aggregate Bond Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in these Indexes, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

****	The S&P 500 Index is an index that represents the average performance of a group of 500 widely held, publicly traded stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Moderate
Allocation Fund

Russell W. Swansen (left), David C. Francis, CFA (right) and Mark L. Simenstad, CFA (far right), Portfolio Co-Managers

The Fund seeks long-term capital growth while providing reasonable stability of principal by implementing an asset allocation strategy.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Moderate Allocation Fund earned a return of -28.06%, as compared to the median return of its peer group, the Lipper Mixed Asset Target Allocation Moderate category, of -26.48%. The Fund’s market benchmarks, the S&P 500 Index and the Barclays Capital Aggregate Bond Index, earned a total return of -36.08% and 0.30%, respectively.

What factors affected the Fund’s performance?

Government and sovereign debt securities provided the best returns, with longer dated bonds appreciating and short-term government rates falling to levels not seen since the last recession. Bonds exposed to credit risk have suffered significant price erosion. Late in the period, developing economy stock markets fell in concert with significant price breaks in oil and industrial metals. Domestically, small-cap stocks outperformed large-caps, but mid-cap stocks corrected more sharply than both large- and small-cap stocks.

The Fund had meaningful exposure to international stocks, although we were underweighted in the area versus our long-term target. In addition, we had significant exposure to both small- and mid-capitalization stocks, the benefit of the former being outweighed by the relative returns in the latter. The three most significant factors limiting our returns were a meaningful allocation to equity securities, our exposure to international and mid-cap equity markets and our holdings in credit based fixed-income products that did not provide the buffer of a larger allocation to government or sovereign debt. In aggregate, we outperformed the benchmark equity index.

What is your outlook?

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Thrivent Income Fund	18.9	%
Thrivent Limited Maturity Bond Fund	18.6	%
Thrivent Large Cap Value Fund	10.9	%
Thrivent Large Cap Growth Fund	7.9	%
Thrivent Partner International Stock Fund	6.8	%
Thrivent High Yield Fund	6.1	%
Thrivent Mid Cap Stock Fund	5.3	%
Thrivent Large Cap Stock Fund	4.7	%
Thrivent Real Estate Securities Fund	3.1	%
Thrivent Partner Small Cap Value Fund	2.9	%

The shares of these Funds represent 85.2% of the total net assets of the Fund.

Most risk asset classes are priced at extraordinary discounts to normal valuations, some at levels not seen in generations. Stock markets bottom well in advance of economic recovery. Recent studies have suggested that economic and market dislocations associated with crises in banking systems tend be longer in duration and deeper in magnitude. The data also suggests that broad and deep policy interventions have historically been associated with market inflection points. While not unequivocally in evidence at this point, the weight of the evidence suggests that the worst is likely behind us and sufficient catalysts are in place that would imply improvement for both the markets and the economy in 2009. We are positioning the Fund with that outlook in mind.

Portfolio Facts

As of October 31, 2008


	Class A		Institutional Class
Ticker		THMAX		TMAIX
Transfer Agent ID		036		466
Net Assets	$	739,643,364	$	28,365,136
NAV	$	8.42	$	8.43
NAV - High†		11/6/2007 - $12.19		11/6/2007 - $12.21
NAV - Low†		10/27/2008 - $7.69		10/27/2008 - $7.71
Number of Holdings: 33

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		From Inception 6/30/2005
without sales charge	(28.06	%)	(1.83	%)
with sales charge	(32.03	%)	(3.47	%)

Institutional Class³	1-Year		From Inception 6/30/2005
Net Asset Value	(27.87	%)	(1.54	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index, the S&P 500 Index and the Barclays Capital Aggregate Bond Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Indexes, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

****	The S&P 500 Index is an index that represents the average performance of a group of 500 widely held, publicly traded stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Moderately
Conservative Allocation Fund

Russell W. Swansen (left), David C. Francis, CFA (right) and Mark L. Simenstad, CFA (far right), Portfolio Co-Managers

The Fund seeks long-term capital growth while providing reasonable stability of principal by implementing an asset allocation strategy.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Moderately Conservative Allocation Fund earned a return of -20.53%, as compared to the median return for its peer group, the Lipper Mixed Asset Target Allocation Conservative category, of -19.12%. The Fund’s market benchmarks, the S&P 500 Index and the Barclays Capital Aggregate Bond Index, earned a total return of -36.08% and 0.30%, respectively.

What factors affected the Fund’s performance?

Government and sovereign debt securities provided the best returns, with longer dated bonds appreciating and short-term government rates falling to levels not seen since the last recession. Bonds exposed to credit risk have suffered significant price erosion. Late in the period, developing economy stock markets fell in concert with significant price breaks in oil and industrial metals. Domestically, small-cap stocks outperformed large-caps, but mid-cap stocks corrected more sharply than both large- and small-cap stocks.

The Fund had exposure to international stocks, although we were underweighted in this area versus our long-term target. In addition, we had exposure to both small- and mid-capitalization stocks, the benefit of the former being outweighed by the relative returns in the latter. The three most significant factors limiting our returns were a meaningful allocation to equity securities, our exposure to international and mid-cap equity markets and our holdings in credit based fixed-income products that did not provide the buffer of a larger allocation to government or sovereign debt. In aggregate, we outperformed the benchmark equity index.

What is your outlook?

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Thrivent Limited Maturity Bond Fund	42.3	%
Thrivent Income Fund	12.7	%
Thrivent Large Cap Value Fund	8.3	%
Thrivent Money Market Fund	4.9	%
Thrivent High Yield Fund	4.6	%
Thrivent Large Cap Growth Fund	4.2	%
Thrivent Partner International Stock Fund	3.8	%
Thrivent Mid Cap Stock Fund	3.2	%
Thrivent Small Cap Stock Fund	2.6	%
Thrivent Partner Mid Cap Value Fund	2.4	%

The shares of these Funds represent 89.0% of the total net assets of the Fund.

Most risk asset classes are priced at extraordinary discounts to normal valuations, some at levels not seen in generations. Recent studies have suggested that economic and market dislocations associated with crises in banking systems tend be longer in duration and deeper in magnitude. The data also suggests that broad and deep policy interventions have historically been associated with market inflection points. While not unequivocally in evidence at this point, the weight of the evidence suggests that the worst is likely behind us and sufficient catalysts are in place that would imply improvement for both the markets and the economy in 2009. We are positioning the Fund with that outlook in mind.

Portfolio Facts

As of October 31, 2008


	Class A		Institutional Class
Ticker		TCAAX		TCAIX
Transfer Agent ID		035		465
Net Assets	$	314,698,748	$	11,064,603
NAV	$	8.75	$	8.77
NAV - High†		11/6/2007 - $11.46		11/6/2007 - $11.48
NAV - Low†		10/27/2008 - $8.24		10/27/2008 - $8.25
Number of Holdings: 31

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		From Inception 6/30/2005
without sales charge	(20.53	%)	(0.54	%)
with sales charge	(24.89	%)	(2.20	%)

Institutional Class³	1-Year		From Inception 6/30/2005
Net Asset Value	(20.30	%)	(0.25	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index, the S&P 500 Index and the Barclays Capital Aggregate Bond Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in these Indexes, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

****	The S&P 500 Index is an index that represents the average performance of a group of 500 widely held, publicly traded stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Technology Fund

Darren M. Bagwell, CFA, Portfolio Manager

The Fund seeks long-term capital appreciation by investing primarily in a diversified portfolio of common stocks and securities convertible into common stocks.

The Fund primarily invests in technology-related industries; as a consequence, the Fund may be subject to greater price volatility than a fund investing in a broad range of industries. This and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Technology Fund earned a return of -49.79%, as compared to the median return of its peer group, the Lipper Science and Technology category, of -43.74%. The Fund’s market benchmark, the S&P North American Technology Sector Index, earned a total return of -41.46%.

What factors affected the Fund’s performance?

The Fund’s disappointing relative performance was almost entirely attributable to its exposure to the alternative energy sector–notably wind and solar. While we believed that the long-term secular growth potential for alternative energy to address global environmental, economic and security concerns posed by oil and fossil fuels was significant, and still do, we underestimated the short-term influence that declining oil prices and delayed government subsidy legislation would have on the group’s performance.

The health care sector was the other, much smaller, contributor to relative underperformance. Poor security selection was the culprit in a group that broadly outperformed the market, despite our emphasis on higher-quality, low-beta companies like biopharmaceutical maker BioMarin and eye-care supplier Alcon. We were absent from the strong-performing large-cap biopharmaceutical companies like Amgen, Gilead and Genzyme, as well.

Alternative energy and health care offset the general outperformance of almost all the other sectors represented in the Fund. Of particular note were the solid performances of our technology hardware holdings like Netezza (storage), FormFactor (semiconductor equipment) and Apple (computers). Software also contributed positively to relative performance, especially application software holdings in Compuware, Adobe and Quest Software.

What is your outlook?

At a macroeconomic level, we expect 2009 to be characterized by continued weak domestic economic growth burdened by further housing market weakness, difficult credit markets and deteriorating consumer spending trends; low and stable interest rates; a stable or stronger dollar; and continued weakening in international demand, including emerging economies. As difficult as current economic conditions remain, especially in technology, we are mindful that the equity markets are at historically low valuation levels even against significantly lowered expectations, and that their recovery can precede economic improvements by 12-18 months.

With respect to technology specifically, we expect global spending to be flat in 2009, compared to 5%-10% growth in the previous two years. We believe there will be moderate declines in developed economies, offsetting positive, but below-trend, growth in emerging economies. This should result in technology spending trends that are healthier than overall corporate profit and capital expenditure trends (which should be decidedly negative), due to the relative importance of technology to the competitive positioning and productivity pursuits that are key in weaker economic environments, as well as the relatively restrained technology spending patterns of corporations since 2001. As a result, we

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


EMC Corporation	10.4	%
Teradyne, Inc.	4.5	%
FormFactor, Inc.	4.5	%
SPDR KBW Bank ETF	4.3	%
Financial Select Sector SPDR Fund	4.3	%
Apple, Inc.	4.1	%
Google, Inc.	4.0	%
Oracle Corporation	3.8	%
International Business Machines Corporation	3.4	%
Cisco Systems, Inc.	3.1	%

These securities represent 46.4% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

are de-emphasizing consumer-dependent technology companies in favor of productivity-focused application software companies. Despite difficult credit conditions and the deteriorating expenditure environment, we believe there are value opportunities in areas like semiconductor equipment, where spending has already declined to maintenance levels and many debt-free companies sell near book values comprised of 35%-70% cash. We also retain our strong belief that the risk/reward remains favorable in alternative energy companies, with the heightened support and commitment of the new U.S. administration and probable recovery in oil prices representing the most likely catalysts for the group over the next 12 months.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AATSX		BBTSX		THTIX
Transfer Agent ID		028		078		098
Net Assets	$	19,151,529	$	366,589	$	1,280,321
NAV	$	2.35	$	2.21	$	2.50
NAV - High†		11/2/2007 - $4.60		11/2/2007 - $4.36		11/2/2007 - $4.87
NAV - Low†		10/27/2008 - $2.07		10/27/2008 - $1.94		10/27/2008 - $2.20
Number of Holdings: 41

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 7/1/2000
without sales charge	(49.79	%)	(6.56	%)	(15.95	%)
with sales charge	(52.53	%)	(7.60	%)	(16.52	%)

Class B³	1-Year		5 Years		From Inception 7/1/2000
without sales charge	(50.23	%)	(7.14	%)	(16.36	%)
with sales charge	(52.22	%)	(7.14	%)	(16.36	%)

Institutional Class⁴	1-Year		5 Years		From Inception 7/1/2000
Net Asset Value	(49.49	%)	(6.02	%)	(15.32	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

Past performance is not an indication of future results. Annualized total returns represent past performance and reflect changes in share prices, the reinvestment of all dividends and capital gains, and the effects of compounding. Investing in a mutual fund involves risks, including the possible loss of principal. The prospectus contains more complete information on the investment objectives, risks, charges and expenses of the investment company which investors should read and consider carefully before investing. To obtain a prospectus, contact a registered representative or visit www.thrivent.com. The Fund primarily invests in technology-related industries; as a consequence, the Fund may be subject to greater price volatility than a fund investing in a broad range of industries. At various times, the Fund’s adviser waived its management fee and/or reimbursed Fund expenses. Had the adviser not done so, the Fund’s total returns would have been lower. The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index and S&P North American Technology Sector Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

The S&P North American Technology Sector Index is a modified capitalization-weighted index of selected technology stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes. The S&P North American Technology Sector Index is the new name for the index formerly known as the CBOE GSTI Composite Index. The S&P North American Technology Sector Index assumes the prior history and is compiled going forward using the same methodology of the CBOE GSTI Composite Index.

Thrivent Partner Small Cap Growth Fund

Subadvised by Turner Investment Partners, Inc.

The Fund seeks long-term capital growth by investing primarily in a diversified portfolio of common stocks of U.S. small-capitalization companies.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Partner Small Cap Growth Fund earned a return of -41.96%, as compared to the median return of its peer group, the Lipper Small Cap Growth category, of -42.47%. The Fund’s market benchmark, the Russell 2000^® Growth Index, earned a total return of -37.87%.

What factors affected the Fund’s performance?

As the financial crisis expanded over the last fiscal year, it began to more seriously impair the outlook for the domestic and global economy. As growth stocks tend to have higher levels of expectations embedded in prices, they can be more sensitive as economic and financial variables enter a state of flux. This was a meaningful factor in both the absolute returns of the group versus other sectors of the market and relative returns of the Fund. As our strategy emphasizes strong revenue and earnings growth, prices sometimes can adjust more quickly and harshly in times of heightened uncertainty.

Stock selection in both the information technology and consumer discretionary sectors was the main variable limiting the Fund’s returns versus the benchmark. Both of these groups, particularly in the small-cap growth segment, tend to be more dependent on good economic growth and will adjust more meaningfully as expectations are adjusted. In particular, in the information technology group, holdings in the software and services segments limited our results. In the consumer discretionary segment, the diminished economic outlook had the largest effect on our holdings in the travel and leisure industries, as well as holdings in consumer products companies with products and services most driven by discretionary spending. The industrial sector also experienced a more severe adjustment as expectations for global growth deteriorated late in the period. Many of these companies are suppliers to larger industrial manufacturers, and diminished credit availability caused concern related to future capital spending plans and infrastructure projects.

Mitigating some of the weakness above was a modest cash position, as well as better-than-benchmark results from holdings in the energy group. In particular, Petrohawk Energy and Concho Resources are examples of a few companies that achieved strong results despite the deteriorating fundamental environment. Holdings in tele-communications, utilities and health care provided better-than-benchmark results, but were not sufficient to offset the aforementioned factors limiting Fund performance.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Amedisys, Inc.	2.2	%
United Therapeutics Corporation	1.8	%
Haemonetics Corporation	1.6	%
NuVasive, Inc.	1.6	%
WMS Industries, Inc.	1.5	%
Huron Consulting Group, Inc.	1.5	%
Polycom, Inc.	1.5	%
Thoratec Corporation	1.4	%
Novellus Systems, Inc.	1.4	%
Wabtec Corporation	1.3	%

These securities represent 15.8% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

What is your outlook?

The factors that have limited Fund results in the period are likely to mitigate and become advantages as we expect the deterioration in economic fundamentals will run its course over the next year. Markets will discount any improvement in the outlook long before it becomes apparent, and we believe the Fund is well positioned to benefit from that shift.

Our focus remains on owning stocks we believe have superior earnings prospects. With that in mind, the expected earnings growth of the Fund remains at a premium to that of the Russell 2000^® Growth Index. Additionally, valuations for the portfolio are at a discount. This combination should position the Fund for improved results in a more constructive investment environment.

Portfolio Facts

As of October 31, 2008


	Class A		Institutional Class
Ticker		TPSAX		TPGIX
Transfer Agent ID		063		463
Net Assets	$	9,625,248	$	64,668,414
NAV	$	7.72	$	7.79
NAV - High†		11/6/2007 - $13.74		11/6/2007 - $13.82
NAV - Low†		10/27/2008 - $6.60		10/27/2008 - $6.66
Number of Holdings: 118

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		From Inception 6/30/2005
without sales charge	(41.96	%)	(6.17	%)
with sales charge	(45.15	%)	(7.74	%)

Institutional Class³	1-Year		From Inception 6/30/2005
Net Asset Value	(41.74	%)	(5.87	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index, and the Russell 2000^® Growth Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***	The Russell 2000^® Growth Index is an index comprised of companies with a greater than average growth orientation. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Partner Small Cap Value Fund

Subadvised by T. Rowe Price Associates, Inc.

The Fund seeks long-term capital appreciation by investing primarily in a diversified portfolio of small company common stock and securities convertible into small company common stocks.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Partner Small Cap Value Fund earned a return of -26.94%, as compared to the median return of its peer group, the Lipper Small Cap Value category, of -33.08%. The Fund’s market benchmark, the Russell 2000^® Value Index, earned a total return of -30.54%.

What factors affected the Fund’s performance?

Stock selection and avoiding securities in particularly weak industries were the most significant factors in the good relative returns achieved in the Fund. While absolute results were disappointing, the Fund did conserve some capital relative to the indexes and peers.

We achieved relatively favorable stock selection results across a number of sectors. The consumer discretionary sector was the most significant contributor, as our holdings declined appreciably less than the group. A lack of exposure in the media industry was a positive. Additionally, select exposures in the specialty retail industry declined modestly as compared to the group and the market. In particular, our positions in Aaron Rents and Haverty Furniture actually advanced over the holding period. Diversified consumer services and household durables were two other industries in which our average holdings provided results superior to their group peers. Fund results in information technology (IT) also bested the averages. In particular, holdings in the semiconductor, software and equipment industries performed better than the peer groups. Our holdings in IT services did not keep up with the broader industry and offset some of the advantage gained in other segments of the sector. The industrial sector was also responsible for some of the Fund’s advantage. Select holdings in the distribution, trading and air freight segments actually advanced over the period and materially lifted our relative returns. Electrical equipment holding Genlyte Group also advanced for the period. Health care sector results were quite supportive with strong relative returns across the Fund’s holdings in the biotechnology, heath care providers and equipment industries. A moderate cash position over the period also was additive to returns.

A factor limiting relative returns included a lack of exposure to certain segments in the financial sector. Despite all the macro challenges impairing financial firms, many small and regional banks had not exposed their operations to many of the more egregious practices of larger industry players and were able to expand market share as others retrenched. Moderate underweighting in the consumer staples sector was also a factor, as the segment declined much less than the broad market averages. Finally, an overweighted position in the energy sector offset some of the advantage gained in other Fund segments. While the energy sector was strong early in the period, it declined significantly in the final quarter of the fiscal year, as commodity and energy prices fell precipitously in the face of the weakening global economic outlook. We had reduced our position over the year but had not fully underweighted the group in advance of the fourth fiscal quarter weakness.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


ProAssurance Corporation	2.2	%
Aaron Rents, Inc.	2.1	%
Owens & Minor, Inc.	1.9	%
Whiting Petroleum Corporation	1.7	%
Mariner Energy, Inc.	1.5	%
Cleco Corporation	1.4	%
Woodward Governor Company	1.4	%
AptarGroup, Inc.	1.4	%
SVB Financial Group	1.2	%
Genesee & Wyoming, Inc.	1.2	%

These securities represent 16.0% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

What is your outlook?

We believe that the long-term trend for energy is increasing global demand and expect to remain overweighted in the sector. The financial sector is paying the price of excess. We have an underweighted stance in the sector, as we believe the benchmark index’s 30%+ allocation is too much. Rising food and energy costs and tighter lending conditions are taking a bite out of discretionary income. We continue to seek financially strong consumer discretionary companies that can navigate these tough times. We are taking care to ensure that the Fund’s largest holdings have strong balance sheets and business models. Bargains have been increasing across all industries, providing plentiful opportunities for value investing.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AALVX		BBSVX		TPSIX
Transfer Agent ID		032		082		099
Net Assets	$	54,295,492	$	1,249,979	$	75,397,695
NAV	$	11.02	$	10.20	$	11.53
NAV - High†		11/2/2007 - $15.84		11/2/2007 - $14.91		11/2/2007 - $16.51
NAV - Low†		10/27/2008 - $9.27		10/27/2008 - $8.58		10/27/2008 - $9.69
Number of Holdings: 156

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 7/17/2001
without sales charge	(26.94	%)	5.14	%	6.42	%
with sales charge	(30.98	%)	3.95	%	5.61	%

Class B³	1-Year		5 Years		From Inception 7/17/2001
without sales charge	(27.75	%)	4.10	%	5.78	%
with sales charge	(30.39	%)	4.10	%	5.78	%

Institutional Class⁴	1-Year		5 Years		From Inception 7/17/2001
Net Asset Value	(26.46	%)	5.85	%	7.20	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Russell 2000^® Value Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Russell 2000^® Value Index measures the performance of small cap value stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Small Cap Stock Fund

David A. Maule, CFA, Portfolio Manager

The Fund seeks long-term capital growth by investing primarily in small company common stocks and securities convertible into small company common stocks.

How did the Fund perform during the 12-month period ending October 31, 2008?

Thrivent Small Cap Stock Fund earned a return of -37.25%, as compared to the median return of its peer group, the Lipper Inc. Small Cap Core category, of -36.60%. The Fund’s market benchmark, the Russell 2000^® Index, earned a total return of -34.16%.

What factors affected the Fund’s performance?

During the period, the financial markets saw unprecedented volatility due, in large part, to the weaknesses of both the housing and credit markets. The impact of this crisis reverberated throughout all financial markets, resulting in significant losses on an absolute basis for most asset classes, including small-cap stocks. There was literally no place to hide, as all sectors had negative returns for the period, although defensive sectors such as utilities, consumer staples, financials and health care performed better than the economically sensitive sectors of energy, materials, industrials and information technology.

Given our concerns regarding the deteriorating credit environment and an overleveraged consumer, the Fund was underweighted in the financials sector, which resulted in negative relative performance as the massive government intervention stabilized and supported the sector. Additionally, our economically sensitive holdings detracted from Fund performance during the period, as the market recognized the potential for a global economic slowdown. Within the energy, materials and industrials sectors, many of our highly cyclical holdings exhibited volatile negative price reactions over a very short period of time as the energy and commodity bull market began to unwind.

On the positive side, the Fund benefited from superior security selection within the consumer discretionary space, particularly within the media, restaurants and specialty retail industries. Other positive sector contributions included telecommunication services and consumer staples. Within the health care sector, our biotechnology holdings performed extremely well, while within the financial sector our real estate investment trusts provided solid outperformance.

What is your outlook?

We remain concerned regarding the worldwide economic outlook, as the credit crisis continues to roil the financial markets while many of the world’s largest economies appear to have entered a recession. Deflationary forces continue to push down valuations on almost all assets, including real estate, stocks, bonds, commodities and oil. Credit contraction has been severe, which should hinder economic growth for some time. Consumers are constrained and many will likely have to increase savings and reduce spending. We expect increased job losses and a higher unemployment rate going forward, along with declining wage growth. Therefore, the outlook for consumer spending remains poor, which should translate into weak economic growth.

Given our outlook, the Fund is positioned with an overweighted stance in the more defensive sectors of health care, consumer staples and utilities. Additionally, the Fund has an overweighted position in the financials sector, primarily regional banks, as they should benefit from aggressive government monetary policies.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Waste Connections, Inc.	0.9	%
Ralcorp Holdings, Inc.	0.9	%
TreeHouse Foods, Inc.	0.8	%
Petrohawk Energy Corporation	0.8	%
Carter’s, Inc.	0.8	%
Chattem, Inc.	0.8	%
New Jersey Resources Corporation	0.8	%
Comtech Telecommunications Corporation	0.8	%
Sybase, Inc.	0.7	%
SVB Financial Group	0.7	%

These securities represent 8.0% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

While the recent aggressive actions of the Fed, the U.S. Treasury and Congress may positively impact the economy in the short-term, the longer-term benefits are still uncertain. We remain fairly cautious because all the government programs will probably contribute to a larger Federal deficit at a time when the economy is likely in recession. The recession may be longer and deeper than many expect, as frugality should become the next big consumer trend, while corporations and state governments likely cut back on hiring and capital spending. We believe the Fund is positioned well for the current environment and, as economic conditions improve, we will adjust to a more aggressive stance.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AASMX		BBSMX		TSCSX
Transfer Agent ID		024		074		094
Net Assets	$	241,884,273	$	2,848,610	$	106,670,063
NAV	$	10.33	$	8.65	$	11.43
NAV - High†		11/6/2007 - $18.51		11/6/2007 - $16.04		11/6/2007 - $20.11
NAV - Low†		10/27/2008 - $8.89		10/27/2008 - $7.44		10/27/2008 - $9.84
Number of Holdings: 257

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(37.25	%)	1.96	%	6.57	%
with sales charge	(40.69	%)	0.81	%	5.96	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(37.94	%)	0.89	%	6.02	%
with sales charge	(40.04	%)	0.89	%	6.02	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(36.86	%)	2.56	%	7.27	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Russell 2000^® Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Russell 2000^® Index measures the performance of small cap stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Small Cap Index Fund

Kevin R. Brimmer, FSA, Portfolio Manager

The Fund seeks capital growth that tracks the performance of the S&P SmallCap 600 Index by investing primarily in common stocks of the Index.

The Fund is exposed to the risks of investing in equity securities of smaller companies, which may include, but are not limited to, lower trading volume and less liquidity than larger, more established companies. Small company stock prices are generally more volatile than large company stock prices. While the Fund attempts to closely track the S&P SmallCap 600 Index, it does not duplicate the composition of the Index. Individuals may not invest directly in any index. Index funds are subject to the same market risks associated with the stocks in their respective indexes. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Small Cap Index Fund earned a return of -32.77%, as compared to the median return of its peer group, the Lipper Small Cap Core Funds category, of -36.60%. The Fund’s market benchmark, the S&P SmallCap 600 Index, earned a total return of -32.44%.

What factors affected the Fund’s performance?

The Fund is managed to virtually replicate the performance of the S&P SmallCap 600 Index, a prime measure of small stock performance. We seek to maintain a fully invested position with limited transactions to minimize costs. As typically occurs with an index fund, the difference in performance between the benchmark index and the Fund itself can be largely attributed to expenses and minor differences in portfolio composition.

All sectors delivered negative 12-month returns. Small-cap stocks slightly outperformed large-cap and mid-cap stocks. Two sectors with the best relative performance were consumer staples and utilities. Investors showed a flight to quality, looking for lower volatility stocks. Stocks of consumer discretionary firms and materials, by contrast, were the weakest performers, posting the most negative returns. The former group has a significant exposure to the retail and automotive sectors, areas that were under extreme pressure as a result of the ongoing credit crunch. The latter is most exposed to changes of commodity prices. With the economic weakness spreading around the globe and supplies of many items becoming more available, prices weakened dramatically late in the period, pulling down earnings expectations and share prices in the group.

What is your outlook?

The Fund will remain fully invested in stocks designed to track the performance of the S&P SmallCap 600 Index. This strategy offers individuals an attractive way to take advantage of the growth potential of the broad, diversified marketplace of small-cap stocks.

With uncertainty growing over the strength of the U.S. economy and an ongoing inflation threat, investors backed away from risk. Generally in a down market, large-cap stocks tend to out perform small-cap issues as the companies are better able to weather economic and financial downturns. Small-cap stocks corrected more severely in 2007 and were discounting some of the economic distress that has become

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Waste Connections, Inc.	0.8	%
Piedmont Natural Gas Company, Inc.	0.7	%
Southern Union Company	0.6	%
Senior Housing Property Trust	0.6	%
Atmos Energy Corporation	0.6	%
Landstar System, Inc.	0.6	%
Flowers Foods, Inc.	0.6	%
CLARCOR, Inc.	0.5	%
Woodward Governor Company	0.5	%
Teledyne Technologies, Inc.	0.5	%

These securities represent 6.0% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

more apparent over the recent fiscal year. Many risk assets are priced at extraordinary discounts to normal valuations. Typically, as equity markets bottom in anticipation of an economic recovery, small-cap stocks tend to perform well versus their larger-cap counterparts. Our belief is that adequate programs and policies are in place to allow an economic recovery to take hold in 2009. Stocks generally anticipate and react well in advance of apparent improvements of economic statistics.

Portfolio Facts

As of October 31, 2008


	Class A
Ticker		AALSX
Transfer Agent ID		029
Net Assets	$	26,280,253
NAV	$	9.71
NAV - High†		11/6/2007 - $15.93
NAV - Low†		10/27/2008 - $8.13
Number of Holdings: 603

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 7/1/2000
without sales charge	(32.77	%)	2.41	%	3.33	%
with sales charge	(36.46	%)	1.26	%	2.63	%

Value of a $10,000 Investment

Class A Shares^*,1

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the S&P SmallCap 600 Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

The S&P SmallCap 600 Index is an index that represents the average performance of a group of 600 small capitalization stocks. “S&P SmallCap 600 Index” is a trademark of The McGraw-Hill Companies, Inc. and has been licensed for use by Thrivent Financial for Lutherans. The product is not sponsored, endorsed or promoted by Standard & Poor’s and Standard & Poor’s makes no representation regarding the advisability of investing in the product. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Mid Cap Growth Fund

Andrea J. Thomas, CFA, Portfolio Manager

The Fund seeks long-term growth of capital by investing primarily in common stocks of medium-sized companies. Mid-cap stocks offer the potential for long-term gains but can be subject to short-term price movements. Mid-sized company stock prices are generally more volatile than large company stock prices. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Mid Cap Growth Fund earned a return of -39.95%, as compared to the median return of its peer group, the Lipper Mid Cap Growth category, of -43.16%. The Fund’s market benchmark, the Russell Midcap^® Growth Index, earned a total return of -43.77%.

What factors affected the Fund’s performance?

Over the fiscal year, the global financial markets have been buffeted by the severe credit crisis that now is impairing growth not only in the United States, but in global economies as well. Emerging economies like China, India, Russia and Brazil are slowing dramatically, even though—as recently as this summer—strong domestic demand was expected to insulate those economies. While domestic demand will moderate the slowdown for those economies, it will not insulate them.

Although the Fund outperformed its benchmark and peers, it too has suffered a significant decline. Our modest but not insignificant position in cash over the period benefitted portfolio results. The financial sector was another contributor to performance; although this sector was negatively impacted by the credit crisis, we had underweighted this group and stock selection was better than average.

Stock selection in the telecom services area was a drag on performance as many of these companies rely on debt markets to finance their growth. Companies that are heavily dependent on access to credit and low financing costs generally did not fare well over the period, as capital became both scarce and expensive.

What is your outlook?

Globally, credit conditions are severe for all but the most creditworthy borrowers and government or sovereign debt issuers. Credit is the lifeblood of any healthy economy. Policymakers around the world are attempting to identify and implement fiscal or monetary programs to free up the lack of liquidity in traditional credit markets. We believe the process of repairing the markets will take quite a long while.

As we look at investing in this market, we still come back to the fact that despite all the problems with our system right now, the United States still has more transparency in its financial system than any other nation on the globe. We believe policymakers are taking the right steps to shore up the banking system, and we have seen encouraging signs that the short-term money markets and commercial paper markets have become less volatile. This is a giant first step. The next step, in our opinion, is to get bank lending back to healthy levels to sustain growth in the economy.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Activision Blizzard, Inc.	2.4	%
C.R. Bard, Inc.	1.9	%
DeVry, Inc.	1.9	%
Burger King Holdings, Inc.	1.9	%
F5 Networks, Inc.	1.8	%
T. Rowe Price Group, Inc.	1.7	%
Ultra Petroleum Corporation	1.7	%
WMS Industries, Inc.	1.6	%
Illumina, Inc.	1.6	%
Pactiv Corporation	1.6	%

These securities represent 18.1% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

While we do not believe we are fully through the credit unwinding and recession in the U.S. economy, we do believe it is time to begin positioning the portfolio toward early cycle stocks that will benefit from a turn in the U.S. economy over the course of the next 18 months. With that as our base assumption, we are positioning the portfolio toward stocks that have compelling valuations, trough margins, potential product cycles and, above all, healthy balance sheets.

While we believe the emerging markets will, over the course of time, continue to grow and be an ever-bigger factor in global supply and demand equations, it will likely be the United States that comes out of the quagmire first. However, in the next 12 to 24 months, these emerging areas may be good places once again to look for growth ideas.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		LBMGX		LUGBX		LBMIX
Transfer Agent ID		058		358		458
Net Assets	$	165,013,929	$	5,094,190	$	45,186,767
NAV	$	10.24	$	9.06	$	11.24
NAV - High†		11/6/2007 - $19.21		11/6/2007 - $17.45		11/6/2007 - $20.72
NAV - Low†		10/27/2008 - $8.65		10/27/2008 - $7.66		10/27/2008 - $9.49
Number of Holdings: 122

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(39.95	%)	0.32	%	4.36	%
with sales charge	(43.25	%)	(0.81	%)	3.78	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(40.70	%)	(0.77	%)	3.97	%
with sales charge	(42.75	%)	(0.77	%)	3.97	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(39.52	%)	1.07	%	5.15	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Russell Midcap^® Growth Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***	The Russell Midcap^® Growth Index measures the performance of mid cap growth stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses, or taxes.

Thrivent Partner Mid Cap Value Fund

Subadvised by Goldman Sachs Asset Management, L.P.

The Fund seeks to achieve long-term growth of capital.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Partner Mid Cap Value Fund earned a return of –35.12%, as compared to the median return of its peer group, the Lipper Mid Cap Value category, of -38.67%. The Fund’s market benchmark, the Russell Midcap^® Value Index, earned a total return of -38.83%.

What factors affected the Fund’s performance?

The financial markets were under severe pressure across the majority of asset classes over the latest fiscal year owing to the unusual disruptions in the credit markets. Those factors ultimately manifest themselves in the real economy and have significantly impaired growth not only in the United States but around the world. Only those segments associated with safety of principal have been spared the declines that have impacted both the financial and real asset markets. Government or sovereign debt is currently viewed by many investors as the most attractive opportunity for risk capital.

Over the last fiscal year, the Fund has maintained a modest level of cash reserves but, given the severity of the decline, even a modest position in cash was a meaningful factor for portfolio results. Stock selection and sector emphasis in the Fund were additional components of the management process that aided relative returns in the period. In particular, holdings in the consumer discretionary sector and our underweighting of the group contributed to returns versus the benchmark, as results in the group were unusually weak. A lack of exposure to both the specialty retail industries and the media group were additive, since both of these segments were particularly weak. The Fund’s holding in H&R Block in the diversified consumer segment lifted results as the stock achieved positive returns for the holding period. In addition, a lack of exposure to the automobile segment also proved additive. Energy has been an area of focus for the Fund, with particular sensitivity to those companies in the natural gas area. This tilt was beneficial in an environment in which oil prices declined precipitously from unsustainable levels. Natural gas prices had experienced their correction in the prior year and held up relatively well when oil prices finally corrected. Our below average exposure to the financial sector was also rewarded over the reporting period.

Offsetting some of the factors above was poor performance from the Fund’s holdings in the materials and information technology sectors. In materials, holdings in the chemical and packaging sectors did not perform well as expectations for economic growth adjusted downwards. Both of these groups are more sensitive to the changed outlook for the global economy. Spending in information technology also tends to be closely related to economic activity, with a particular sensitivity to the health of the financial sector, as that group tends to be a significant customer for investment technology (IT). With the ongoing turmoil in the financial group, concerns related to IT budgets have increased.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Entergy Corporation	2.8	%
PPL Corporation	2.5	%
Amphenol Corporation	2.0	%
W.R. Berkley Corporation	2.0	%
H&R Block, Inc.	1.9	%
Laboratory Corporation of America Holdings	1.8	%
Clorox Company	1.8	%
EOG Resources, Inc.	1.8	%
Edison International, Inc.	1.6	%
Newfield Exploration Company	1.6	%

These securities represent 19.8% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

What is your outlook?

We believe the impact of the credit crunch is likely to ripple across the economy, impacting funding costs and end markets in a variety of industries. We are wary of companies led by unseasoned or untested management teams and are concerned that looming earnings disappointments will support market volatility at elevated levels. Looking forward, we see prospects in select companies that are poised to benefit from an environment of lower competition, higher pricing and improved market share. As a team, we strive to build a “quality statement” throughout the portfolio.

Portfolio Facts

As of October 31, 2008


	Class A		Institutional Class
Ticker		TPMAX		TPMIX
Transfer Agent ID		086		486
Net Assets	$	7,364,290	$	69,439,216
NAV	$	7.89	$	7.92
NAV - High†		11/6/2007 - $12.72		11/6/2007 - $12.75
NAV - Low†		10/27/2008 - $6.96		10/27/2008 - $6.99
Number of Holdings: 109

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		From Inception 6/30/2005
without sales charge	(35.12	%)	(4.47	%)
with sales charge	(38.68	%)	(6.07	%)

Institutional Class³	1-Year		From Inception 6/30/2005
Net Asset Value	(34.95	%)	(4.18	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

Past performance is not an indication of future results. Annualized total returns represent past performance and reflect changes in share prices, the reinvestment of all dividends and capital gains, and the effects of compounding. Periods of less than one year are not annualized. Investing in a mutual fund involves risks, including the possible loss of principal. The prospectus contains more complete information on the investment objectives, risks, charges and expenses of the investment company which investors should read and consider carefully before investing. To obtain a prospectus, contact a registered representative or visit www.thrivent.com. At various times, the Fund’s adviser waived its management fee and/or reimbursed Fund expenses. Had the adviser not done so, the Fund’s total returns would have been lower. The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index and the Russell Midcap^® Value Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***	The Russell Midcap^® Value Index is an index comprised of mid-cap companies with lower than average price-to-book ratios and lower forecasted growth values. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Mid Cap Stock Fund

Brian J. Flanagan, CFA Portfolio Manager

The Fund seeks long-term capital growth by investing primarily in common stocks and securities convertible into common stocks of mid-sized companies.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Mid Cap Stock Fund earned a return of -41.38%, as compared to the median return of its peer group, the Lipper Mid Cap Core category, of -38.43%. The Fund’s market benchmark, the Russell Midcap^® Index, earned a total return of -40.67%.

What factors affected the Fund’s performance?

Thrivent Mid Cap Stock Fund slightly underperformed its benchmark. While no sector was positive on an absolute basis, the financials, materials, consumer staples and information technology sectors all provided relative outperformance. This positive relative performance was offset by the energy, industrial and utility sectors. Security selection within the insurance and commercial bank sectors led the financial sector performance. Decent container volumes, significant price increases and cost management benefitted Silgan Holdings, Inc., which provided the majority of the material sector outperformance. Overweighting the consumer staples sector proved beneficial heading into a recession. Companies such as Treehouse Foods, H.J. Heinz Co., and Flowers Foods, Inc. all benefited as consumers ate more meals at home. Finally, special situations within the information technology (IT) sector offset a difficult IT spending environment. These contributions were offset by poor timing within the energy, industrial and utility sectors. Being underweighted in the energy and utility sectors for much of the first half of the year weighed on performance, as commodity prices hit all-time highs. Neutralizing these sectors at the middle of year failed to recapture that underperformance when commodity prices plummeted. Finally, poor security selection within the industrial sector detracted from relative performance. Overweighting the airline stocks as oil prices soared was particularly ill-timed.

What is your outlook?

The U.S. economic slowdown has been fast and furious, and the implications are spreading to Europe and Asia quickly. In this uncertain environment, valuation based on metrics, including cash levels, book values, and normalized earnings, is arguably the ballast providing safety and opportunity. Information technology, materials and financials appear to be attractive sectors. Even though IT spending levels continue to fall, the technology sector offers, in our opinion, many compelling characteristics–attractive valuations, strong balance sheets and cash flows, and restrained corporate information technology spending during the past few years. The valuation support should offer downside protection, and the restrained spending should create pent-up demand when the cycle eventually turns. Within the materials sector, the container and packaging companies continue to exhibit pricing discipline as they reduce capacity and turn away low-return business. While the slowing economy has resulted in less volume growth lately, declining raw material costs should offer significant margin leverage in 2009. Finally, many insurance companies offer attractive valuations combined with an improving pricing environment. The combination of a heavy catastrophe season, significant investment losses, and a lack of new

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Silgan Holdings, Inc.	3.0	%
HCC Insurance Holdings, Inc.	2.8	%
W.R. Berkley Corporation	2.5	%
Southwestern Energy Company	1.7	%
C.R. Bard, Inc.	1.7	%
Albemarle Corporation	1.7	%
Compuware Corporation	1.6	%
FormFactor, Inc.	1.6	%
New York Community Bancorp, Inc.	1.6	%
TreeHouse Foods, Inc.	1.5	%

These securities represent 19.7% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

capital has resulted in an improving pricing environment–the first in many years. At the same time pricing is turning, many of these companies are trading at trough valuations. Conversely, areas that have added significant capacity over the last few years and need access to the capital markets should be particularly vulnerable. The industrial and consumer discretionary sectors appear to be two such areas. Many industrial companies added significant capacity during the commodity boom and are now feeling the impacts of declining sales, lower pricing and weaker balance sheets. The consumer discretionary sector is also facing many headwinds. A slowing economy, a weak job market and a significant tightening of credit will all limit discretionary purchases, and consumer spending may decline for many quarters.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AASCX		BBSCX		TMSIX
Transfer Agent ID		021		083		051
Net Assets	$	488,882,295	$	3,042,057	$	217,403,055
NAV	$	9.05	$	7.37	$	9.74
NAV - High†		12/10/2007 - $17.65		12/10/2007 - $14.95		12/10/2007 - $18.80
NAV - Low†		10/27/2008 - $7.77		10/27/2008 - $6.33		10/27/2008 - $8.36
Number of Holdings: 129

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(41.38	%)	1.22	%	4.31	%
with sales charge	(44.61	%)	0.09	%	3.72	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(42.10	%)	0.10	%	3.69	%
with sales charge	(44.03	%)	0.10	%	3.69	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(41.07	%)	1.74	%	4.86	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Russell Midcap^® Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

The Russell Midcap^® Index is an index that measures the performance of the smallest 800 securities in the Russell 1000^® Index, as ranked by total market capitalization. It is not possible to invest directly in these Indexes. The performance of these Indexes does not reflect deductions for fees, expenses or taxes.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Mid Cap Index Fund

Kevin R. Brimmer, FSA, Portfolio Manager

The Fund seeks total returns that track the performance of the S&P MidCap 400 Index by investing primarily in common stocks comprising the Index.

Mid-cap stocks offer the potential for long-term gains but can be subject to short-term price movements. Mid-sized company stock prices are generally more volatile than large company stock prices. These and other risks are described in the Fund’s prospectus. While the Fund attempts to closely track the S&P MidCap 400 Index, it does not duplicate the composition of the Index. Individuals may not invest directly in any index. Index funds are subject to the same market risks associated with the stocks in their respective indexes. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Mid Cap Index Fund earned a return of -36.58%, as compared to the median return of its peer group, the Lipper Mid Cap Core category, of -38.43%. The Fund’s market benchmark, the S&P MidCap 400 Index, earned a total return of -36.46%.

What factors affected the Fund’s performance?

Because the Fund’s portfolio is designed to invest in a way that reflects its benchmark index, the only changes made to the portfolio are done to reconcile it with any alterations in the composition of the benchmark index. As typically occurs with an index fund, the difference in performance between the benchmark index and the Fund itself can be largely attributed to expenses and minor differences in portfolio composition.

Mid-caps underperformed both small-cap and large-cap stocks. All sectors had negative returns for the year. Utilities and consumer staples were the best performing sectors on a relative basis. By contrast, energy and telecommunication services stocks underperformed the most, due in part to lower demand for oil. Mid-cap indexes have a relatively large exposure to the more volatile components of the energy sector, and this exposure was a contributing factor in returns versus large- and small-cap stocks.

What is your outlook?

The Fund will remain fully invested in a way that tracks the performance of the S&P MidCap 400 Index. This strategy is an attractive way for individuals to take advantage of the investment potential of the broad, diversified marketplace for mid-cap stocks.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


McAfee, Inc.	0.7	%
New York Community Bancorp, Inc.	0.7	%
Stericycle, Inc.	0.7	%
Everest Re Group, Ltd.	0.6	%
Cephalon, Inc.	0.6	%
Equitable Resources, Inc.	0.6	%
Health Care REIT, Inc.	0.6	%
Ross Stores, Inc.	0.6	%
FMC Technologies, Inc.	0.6	%
Dentsply International, Inc.	0.6	%

These securities represent 6.3% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

Typically, as the economic cycle progresses, investors begin to favor larger-cap issues. There is a potential for mid-cap stocks to outperform larger-cap stocks as large-cap stocks have more exposure to the global market. We still believe that attractive opportunities are available in the mid-cap marketplace in the months ahead. If investors’ appetite for risk were to increase as financial pressures ease, the mid-cap sector provides access to many companies that are more sensitive to economic growth and thus should perform accordingly.

Portfolio Facts

As of October 31, 2008


	Class A
Ticker		AAMIX
Transfer Agent ID		030
Net Assets	$	33,050,043
NAV	$	8.89
NAV - High†		12/10/2007 - $15.66
NAV - Low†		10/27/2008 - $7.51
Number of Holdings: 402

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 7/1/2000
without sales charge	(36.58	%)	1.19	%	1.85	%
with sales charge	(40.09	%)	0.05	%	1.16	%

Value of a $10,000 Investment

Class A Shares^*,1

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

As you compare performance, please note that the Fund’s performance reflects Fund expenses, net of any reimbursements, while the S&P MidCap 400 Index and the Consumer Price Index do not reflect such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

The S&P MidCap 400 Index is an index that represents the average performance of a group of 400 medium capitalization stocks. “S&P MidCap 400 Index” is a trademark of The McGraw-Hill Companies, Inc. and has been licensed for use by Thrivent Financial for Lutherans. The product is not sponsored, endorsed or promoted by Standard & Poor’s and Standard & Poor’s makes no representation regarding the advisability of investing in the product. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Partner Worldwide Allocation Fund

Subadvised by Mercator Asset Management, LP Principal Global Investors, LLC, Aberdeen Asset Management Investment Services Limited, Victory Capital Management Inc. and Goldman Sachs Asset Management, L.P.

The Fund seeks long-term capital growth by investing primarily in equity and debt securities of issuers in developed and emerging markets. Foreign investments, as compared to domestic ones, involve additional risks, including currency fluctuations, different accounting standards, and greater political, economic and market instability. These risks are magnified when the portfolio invests in emerging markets, which may be of relatively small size and less liquid than domestic markets. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 8-month period ended October 31, 2008?

Thrivent Partner Worldwide Allocation Fund earned a return of -39.10% for the eight month period ending October 31, 2008. The inception date for the Fund was February 29, 2008. The Fund’s market benchmark, the MSCI All Country World Index, earned a total return of -41.41%.

What factors affected the Fund’s performance?

Thrivent Partner Worldwide Allocation Fund allocates assets across four major segments of investments: large-capitalization companies across Europe, Australasia and the Far East; small- and mid-capitalization companies across the same geographies; emerging or developing markets; and developing market debt. Major foreign stock markets succumbed to the same economic malaise that so severely depressed U.S. equity and fixed income markets, falling in the face of significant credit contraction and diminished outlook for economic growth. Small- and mid-capitalization companies fell more than their broader markets, reflecting a higher level of business sensitivity to both credit markets and slowing domestic and global demand. Debt fared better than equity, but emerging markets debt was impacted by the sharp falloff in commodity prices towards the end of the reporting period.

As asset prices fell, leveraged investors chose to or were forced to reduce holdings, many of which had a currency component to them. The yen and the dollar both rose significantly against most major and minor currencies late in the period, further impairing returns to U.S.-based holders of non-U.S. assets.

An underweighted stance in the financial sector, as well as a modest allocation to cash and emerging market debt, mitigated the decline over the period. The financial sector, particularly in the large markets of Western Europe and the UK, was under particular pressure because of exposure to many of the globally troubled asset classes. Emerging market debt took quite a sell-off late in the period as commodity and energy prices fell sharply in the face of expectations for meaningfully diminished demand just as additional capacity is expected to come on stream. While the longer-term picture for economically sensitive raw materials is reasonable, prices that have been far above trend or economic viability have constricted demand at the same time a slowdown in the global economy is setting back growth expectations. While shares of companies in emerging markets and small-capitalization issues fared poorly over the period relative to large-caps, the Fund’s holdings in those groups were modestly beneficial to results as managers in those portfolio segments added value when compared to their respective benchmarks.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Countries

(% of Net Assets)


Japan	16.2	%
United Kingdom	13.7	%
Switzerland	7.1	%
France	5.1	%
Germany	4.0	%
Brazil	3.5	%
Spain	2.8	%
Netherlands	2.8	%
Italy	2.6	%
Mexico	2.3	%

Investments in securities in these countries represent 60.1% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Countries are subject to change.

The lists of Major Market Sectors and Top 10 Countries exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

What is your outlook?

Global risk assets have been vigorously re-priced as investors grapple with the unwinding of the excessive debt and leverage that had built up over the last recovery. The credit crunch has resulted in serious implications for real growth in all economies. While there originally was some thought that domestic demand in emerging economies would mitigate the deterioration in large markets, that expectation has been dashed, as cross-economic dependencies are still quite high. Further exacerbating the challenges presented by the credit issues has been unacceptably high inflation readings, particularly in developing economies, which resulted in necessarily strong policy responses.

Valuations are attractive across most risk asset classes. The government policies that have been or are being implemented appear to be taking hold. That is a necessary prerequisite for any expectation of economic re-acceleration and market stabilization. The Fund is fully allocated across all asset categories, as we believe that markets are likely in the early phases of establishing the basis for improved returns.

Portfolio Facts

As of October 31, 2008


	Class A		Institutional Class
Ticker		TWAAX		TWAIX
Transfer Agent ID		034		087
Net Assets	$	15,862,261	$	46,957,552
NAV	$	6.09	$	6.10
NAV - High†		5/16/2008 - $10.62		5/16/2008 - $10.63
NAV - Low†		10/27/2008 - $5.25		10/27/2008 - $5.27
Number of Holdings: 358

†	For the period ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	From Inception 2/29/2008
without sales charge	(39.10	%)
with sales charge	(42.44	%)

Institutional Class³	From Inception 2/29/2008
Net Asset Value	(39.00	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the MSCI All Country World Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

The MSCI All Country World Index is an unmanaged market capitalization-weighted index that is designed to represent the performance of developed and emerging stock markets throughout the world. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Partner International Stock Fund

Subadvised by Mercator Asset Management, LP and Principal Global Investors, LLC

The Fund seeks long-term capital growth by investing primarily in a diversified portfolio of foreign stocks. Foreign investments involve additional risks including currency fluctuations and greater political, economic and market instability and different accounting standards, as compared with domestic investments. These risks are magnified when the portfolio invests in emerging markets, which may be of relatively small size and less liquid than domestic markets. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Partner International Stock Fund earned a return of -47.01%, as compared to the median return of its peer group, the Lipper International Large Cap Core category, of -47.39%. The Fund’s market benchmark, the Morgan Stanley Europe, Australasia and Far East (EAFE) Index, earned a total return of -46.34%.

What factors affected the Fund’s performance?

Major foreign stock markets succumbed to the same economic malaise that so severely depressed U.S. equity and fixed-income markets, falling in the face of significant credit contraction and diminished outlook for economic growth. As asset prices fell, leveraged investors chose to or were forced to reduce exposures, many of which had a cross currency component to them. The yen and the dollar both rose significantly late in the period, further impairing returns to U.S.-based holders of non-U.S. assets.

The yen was often a currency of funding choice given the low interest rates. The dollar advanced as both a safe haven and in response to a severe break in commodity prices. Additionally, financial institutions’ efforts to shepherd capital and reduce outstanding loan balances reduced the amount of dollars available in the market. The UK and Continental Europe appeared to be most impacted, as their real estate and financial markets were geared in ways similar to that of the U.S. Europe is quite exposed to the deterioration in trade and increased financial risk that has surfaced in the commodity-based markets around the globe, given the strong export nature of some of its markets, particularly in Germany.

The Fund had been limiting its exposure to the financial sector, which mitigated some of the decline over the period. An offsetting factor was an emphasis on the industrial group, a segment that came under pressure late in the fiscal year under expectations of slowing economic growth and slower demand for industrial goods, particularly from emerging market countries. Health care shares also provided defensive positioning for the Fund, as did the traditionally conservative consumer staples sector. Our better-than-average stock selection within the energy sector had only a limited positive impact, since we had an underweighted sector stance. Country weightings were generally not a meaningful factor impacting returns positively or negatively over the period, as the Fund’s average exposures matched the major investment regions. Currency impacts were not a factor directly impacting portfolio performance relative to the benchmark.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Countries

(% of Net Assets)


Japan	22.2	%
United Kingdom	20.3	%
Switzerland	11.8	%
France	6.7	%
Germany	5.3	%
Spain	4.7	%
Italy	3.4	%
Canada	3.1	%
Netherlands	2.9	%
Australia	2.6	%

Investments in securities in these countries represent 83.0% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Countries are subject to change.

The lists of Major Market Sectors and Top 10 Countries exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

What is your outlook?

When investor confidence is undermined, valuation may not matter as much, and stocks can become far cheaper than fundamentals would indicate. Therefore, some of the best buying junctures occur during points of maximum pessimism. The intense and indiscriminate selling pressure we have witnessed in recent weeks has given rise to some very attractive investment opportunities. While uncertainty remains high and volatility will likely remain elevated, we believe that current price levels offer attractive points to establish positions for investors with a reasonable time horizon. The portfolio has been biased towards larger-capitalization companies. We are seeing unusual opportunities in mid-capitalization segments and have begun to direct some effort to ferreting out attractive companies in that sector of the markets, as well.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AAITX		BBITX		TISFX
Transfer Agent ID		023		084		093
Net Assets	$	173,506,385	$	2,572,150	$	214,234,882
NAV	$	7.50	$	7.17	$	7.67
NAV - High†		11/6/2007 - $15.64		11/6/2007 - $15.01		11/6/2007 - $15.95
NAV - Low†		10/27/2008 - $6.46		10/27/2008 - $6.18		10/27/2008 - $6.61
Number of Holdings: 215

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(47.01	%)	1.07	%	(0.56	%)
with sales charge	(49.94	%)	(0.07	%)	(1.12	%)

Class B³	1-Year		5 Years		10 Years
without sales charge	(47.76	%)	(0.08	%)	(0.95	%)
with sales charge	(49.64	%)	(0.08	%)	(0.95	%)

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(46.66	%)	1.75	%	0.16	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the MSCI EAFE Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***	The MSCI EAFE Index measures the performance of stocks in developed countries outside of North America. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Large Cap Growth Fund

Scott A. Vergin, CFA, Portfolio Manager

The Fund seeks long-term capital appreciation by investing primarily in a diversified portfolio of common stocks and securities convertible into common stocks.

Large-cap stocks are subject to the basic market risk that a particular security, or securities in general, may decrease in value over short or even extended time periods. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

The Thrivent Large Cap Growth Fund earned a return of -39.08%, as compared to the median return of its peer group, the Lipper Large Cap Growth category, of -38.07%. The Fund’s market benchmark, the Russell 1000^® Growth Index, earned a total return of -37.30%.

What factors affected the Fund’s performance?

The overall bear market in equities was a major factor in our performance. In addition, the fact that the Fund held less cash than the median of the peer group during the sharp market decline hurt performance.

A sector-based analysis shows that three sectors—financial, industrials and health care—provided the greatest contribution to the Fund’s performance. The financial sector posted the best relative returns, as our overweighted stances in JP Morgan Chase and NASDAQ OMX Group were significant outperformers in an overall poorly performing sector. The decline in oil prices during the latter part of the time period helped lift our holdings in the industrial sector by benefiting transportation companies like Northwest Airlines and Union Pacific. The health care sector was once again a positive contributor to performance, led by our ownership of Gilead Sciences, Abbott Laboratories and Baxter International.

Three sectors were the primary detractors from performance. Our underweighted position in consumer staples, which is a defensive sector, hurt during this equity market sell-off. Poor stock selection within the technology sector also detracted from performance, as our holdings in MasterCard and LDK Solar experienced severe corrections. The retreat in the price of commodities negatively impacted the materials sector; both our overweighted position and the substantial declines in our holdings of Freeport-McMoRan and U.S. Steel were major detractors from performance.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Gilead Sciences, Inc.	3.6	%
Google, Inc.	3.5	%
Microsoft Corporation	2.9	%
Monsanto Company	2.4	%
QUALCOMM, Inc.	2.4	%
Apple, Inc.	2.4	%
McDonald’s Corporation	2.2	%
Wal-Mart Stores, Inc.	2.1	%
Cisco Systems, Inc.	2.0	%
J.P. Morgan Chase & Company	2.0	%

These securities represent 25.5% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

What is your outlook?

The historical sell-off in the equity markets implies the market has already discounted a significant amount of bad news. The market will likely exhibit continued volatile, choppy trading until the depth and duration of the economic recession and financial crisis becomes clearer. New sector leadership usually emerges from such market sell-offs and we look to financials and other early-cycle sectors as potential leaders in a market recovery.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AAAGX		BBAGX		THLCX
Transfer Agent ID		027		077		060
Net Assets	$	88,979,259	$	2,689,776	$	216,430,313
NAV	$	3.69	$	3.38	$	3.94
NAV - High†		11/6/2007 - $6.46		11/6/2007 - $6.00		11/6/2007 - $6.87
NAV - Low†		10/27/2008 - $3.15		10/27/2008 - $2.88		10/27/2008 - $3.36
Number of Holdings: 121

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 10/29/1999
without sales charge	(39.08	%)	(1.46	%)	(5.42	%)
with sales charge	(42.43	%)	(2.57	%)	(6.01	%)

Class B³	1-Year		5 Years		From Inception 10/29/1999
without sales charge	(39.63	%)	(2.41	%)	(5.85	%)
with sales charge	(41.86	%)	(2.41	%)	(5.85	%)

Institutional Class⁴	1-Year		5 Years		From Inception 10/29/1999
Net Asset Value	(38.86	%)	(0.86	%)	(4.62	%)

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index and the Russell 1000^® Growth Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***	The Russell 1000^® Growth Index measures the performance of large cap growth stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Large Cap Value Fund

Matthew D. Finn, CFA, Portfolio Manager

The Fund seeks to achieve long-term growth of capital.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Large Cap Value Fund earned a return of -34.17%, as compared to the median return of its peer group, the Lipper Large Cap Value category, of -36.82%. The Fund’s market benchmark, the Russell 1000^® Value Index, earned a total return of -36.80%.

What factors affected the Fund’s performance?

Investors have seen the economy slowing over the last year. By the end of October, any optimism that a recession could be avoided had disappeared. Indeed, investors appear to now be anticipating a severe global recession.

Stock selection accounted for the Fund’s outperformance of the benchmark. Stock selection was strongest in the financial services, technology and consumer staples sectors. In the financial services sector, the decision to sell AIG benefited the portfolio significantly relative to the benchmark and peers. Our research suggested that AIG had unquantifiable credit exposure primarily through its mortgage insurance and credit default swap books of business. If we can’t understand it, or value it, we generally avoid it. Minimal exposure to mortgage-related stocks also aided performance. The largest position in the thrift and mortgage industry, Hudson City Bancorp, helped performance significantly.

In the technology sector, positions in Accenture, International Business Machines (IBM) and Sybase were the primary contributors to strong relative performance. In the consumer staples sector, our significant position in General Mills helped relative returns, as the shares appreciated considerably.

Areas that hurt performance included the energy and materials sectors. In energy, the bulk of the pain was due to the position in Nabors Industries (drilling rigs). This position has been increased as the worst appears to be already reflected, valuation is attractive and eventually drilling activity will recover. In materials, positions in companies that participate in the chemicals industry hurt performance and have been reduced.

What is your outlook?

Economic forecasting is not an area where we have consistently added value. Therefore our focus is on stock selection. Our stock selection is of course guided by valuation. Currently we are finding the most attractive valuations in the banking and consumer cyclical areas of the market, and the portfolio is overweighted in those areas. While valuations are attractive, a major risk to these areas of

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


J.P. Morgan Chase & Company	4.0	%
Exxon Mobil Corporation	3.2	%
International Business Machines Corporation	2.8	%
AT&T, Inc.	2.4	%
Wal-Mart Stores, Inc.	2.3	%
Chevron Corporation	2.3	%
Abbott Laboratories	2.0	%
General Mills, Inc.	2.0	%
General Electric Company	1.9	%
Johnson & Johnson	1.9	%

These securities represent 24.8% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

the market is that any recession is long and these companies suffer accordingly. Our approach is to manage this risk with our position sizes and also to purchase the shares when the valuations are exceedingly low compared to how we expect them to perform at the lowest part of the economic cycle. Our emphasis on quality companies that are well positioned to survive and prosper in the ultimate recovery also helps to mitigate the risk of this strategy.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AAUTX		BBEIX		TLVIX
Transfer Agent ID		022		072		092
Net Assets	$	187,378,228	$	2,810,533	$	268,859,818
NAV	$	11.10	$	10.87	$	11.19
NAV - High†		12/10/2007 - $17.63		12/10/2007 - $17.28		12/10/2007 - $17.78
NAV - Low†		10/27/2008 - $9.71		10/27/2008 - $9.52		10/27/2008 - $9.80
Number of Holdings: 109

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 10/29/1999
without sales charge	(34.17	%)	2.24	%	(0.31	%)
with sales charge	(37.78	%)	1.08	%	(0.93	%)

Class B³	1-Year		5 Years		From Inception 10/29/1999
without sales charge	(35.01	%)	1.10	%	(0.74	%)
with sales charge	(37.48	%)	1.10	%	(0.74	%)

Institutional Class⁴	1-Year		5 Years		From Inception 10/29/1999
Net Asset Value	(33.88	%)	2.76	%	0.35	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Russell 1000^® Value Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***	The Russell 1000^® Value Index measures the performance of large cap value stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Large Cap Stock Fund

Matthew D. Finn, CFA (left) and Scott A. Vergin, CFA (right), Portfolio Co-Managers

The Fund seeks long-term capital growth by investing primarily in a diversified portfolio of common stocks and securities convertible into common stocks.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Large Cap Stock Fund earned a return of -35.72%, as compared to the median return of its peer group, the Lipper Large Cap Core category, of -36.37%. The Fund’s market benchmark, the S&P 500 Index, earned a total return of -36.08%.

What factors affected the Fund’s performance?

Stocks fell sharply over the last fiscal year, reflecting the serious disruptions in the credit markets. Credit has become both quite expensive and, in many areas, severely restricted for all but the highest quality borrowers. Governments around the world have stepped in with various programs to take the place of the traditional credit providers as investors direct capital to only the safest alternatives. The financial sector continues to be largely impaired, reflecting severe investment and operating losses from both traditional and non-traditional banking activities.

The most important factor impacting the Fund’s modestly better results versus the benchmark was our defensive positioning in the financial sector. In general, the Fund had a bias against firms that had a business model highly dependent on capital markets’ activities or the securitization markets. Our emphasis on firms that operate within the framework of traditional lending practices and credit and balance sheet integrity was a benefit to results. Stock selection in both health care and information technology was also better than that of the benchmark.

Holdings in the materials sectors had a negative impact on results. For most of the period, commodity-related and energy sectors performed relatively well despite the turmoil in the broader market. In the final quarter of the fiscal year, however, commodity and energy prices fell sharply as the global economic outlook appeared to accelerate downwards and cascade over to emerging economies, impairing the outlook for near-term commodity demand. Also offsetting some of the better results in the financial group was an underweighted stance in the relatively defensive consumer staples sector, a group that appears to be overvalued as investors have rushed into the most conservative sectors of the markets.

What is your outlook?

There is still a tremendous amount of uncertainty in both the economic and financial outlook. The programs that have been put in place appear to be making progress in facilitating a more normal lending environment, which would establish the basis for an improving economic environment. Holders of risk capital around the globe continue to be cautious. Additionally, consumers remain hesitant and have reduced purchases as the employment outlook remains tentative. Mitigating some of these concerns is a relatively well-balanced corporate sector with moderate inventories and generally good balance sheets. That is not the case universally, with severe constraints in both automobiles and retail, areas that likely will experience significant restructuring pressure.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Exxon Mobil Corporation	4.0	%
J.P. Morgan Chase & Company	3.4	%
International Business Machines Corporation	2.9	%
Johnson & Johnson	2.6	%
Gilead Sciences, Inc.	2.5	%
Abbott Laboratories	2.4	%
Wal-Mart Stores, Inc.	2.3	%
McDonald’s Corporation	2.0	%
General Electric Company	2.0	%
Southern Company	2.0	%

These securities represent 26.1% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

Most risk asset classes are priced at extraordinary discounts to normal valuations, some at levels not seen in generations. At some point over the next 12 months, the holders of fresh capital will become dissatisfied with the unusually low returns currently being earned by the safest investment alternatives. We are beginning to reposition assets to those segments that should benefit from an improving economic outlook and more stable financial environment. Immediate risks remain high, so activity is thoughtful and deliberate, but we believe valuations are unusually attractive for an investor with only a moderate time horizon. The large-cap core segment will benefit directly in any improvement in investor sentiment and outlook as it provides broad market exposure in highly liquid securities, both domestically and abroad.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AALGX		BBLGX		IILGX
Transfer Agent ID		017		067		090
Net Assets	$	1,658,797,719	$	12,975,566	$	164,189,326
NAV	$	17.67	$	16.06	$	17.84
NAV - High†		12/10/2007 - $30.94		12/10/2007 - $28.42		12/10/2007 - $31.21
NAV - Low†		10/27/2008 - $15.37		10/27/2008 - $13.98		10/27/2008 - $15.52
Number of Holdings: 155

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(35.72	%)	(1.01	%)	0.08	%
with sales charge	(39.25	%)	(2.12	%)	(0.48	%)

Class B³	1-Year		5 Years		10 Years
without sales charge	(36.29	%)	(1.93	%)	(0.45	%)
with sales charge	(38.52	%)	(1.93	%)	(0.45	%)

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(35.42	%)	(0.56	%)	0.51	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the S&P 500 Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

The S&P 500 Index is an index that represents the average performance of a group of 500 widely held, publicly traded stocks. “S&P 500^®” is a trademark of The McGraw-Hill Companies, Inc. and has been licensed for use by Thrivent Financial for Lutherans. The product is not sponsored, endorsed or promoted by Standard & Poor’s and Standard & Poor’s makes no representation regarding the advisability of investing in the product. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent Large Cap Index Fund

Kevin R. Brimmer, FSA, Portfolio Manager

The Fund seeks total returns that track the performance of the S&P 500 Index by investing primarily in common stocks comprising the Index.

Large-cap stocks are subject to the basic market risk that a particular security, or securities in general, may decrease in value over short or even extended time periods. While the Fund attempts to closely track the S&P 500 Index, it does not exactly duplicate the composition of the Index. Individuals may not invest directly in any Index. Index funds are subject to the same market risks associated with stocks in their respective indexes. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Large Cap Index Fund earned a return of -36.36%, as compared to the median return of its peer group, the Lipper S&P 500 Index Objective Funds category, of -36.38%. The Fund’s market benchmark, the S&P 500 Index, earned a total return of -36.08%.

What factors affected the Fund’s performance?

The Fund’s holdings are aligned with those of the S&P 500 Index. As typically occurs in an index fund, the difference in performance between the benchmark index and the Fund itself can largely be attributed to expenses and minor differences in portfolio composition.

All sectors delivered negative returns over the past year. Consumer staples and health care had the best relative performance in the market over the past year. These sectors tend to grow more than or, at worst, decline less than more cyclical companies in periods of economic weakness. They also tend to have higher-quality balance sheets.

Large-cap stocks outperformed mid-cap stocks but underperformed small-cap stocks over the past fiscal year. Information technology and the financial sectors delivered the most negative returns for the 12-month period. IT spending is cyclical and expectations are for spending to decline in the face of slowing or negative economic growth. The financial sector is essentially being restructured in the aftermath of the debt and excesses of the last cycle.

What is your outlook?

There is still a tremendous amount of uncertainty in both the financial and economic outlook. The programs that have been put in place appear to be making progress in facilitating a more normal lending environment. At some point, investors may become dissatisfied with unusually low returns being earned by the safest investment alternatives, and may shift money toward more recognizable blue chip companies that have the potential to achieve higher returns for their portfolios.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Exxon Mobil Corporation	4.5	%
General Electric Company	2.5	%
Procter & Gamble Company	2.3	%
Microsoft Corporation	2.1	%
Johnson & Johnson	2.0	%
AT&T, Inc.	1.9	%
J.P. Morgan Chase & Company	1.8	%
Chevron Corporation	1.8	%
International Business Machines Corporation	1.5	%
Wal-Mart Stores, Inc.	1.5	%

These securities represent 21.9% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

The financial calamity that began in the credit markets and has cascaded over to both the real economy and the equity markets appears to be running its course. The equity market should anticipate the ultimate recovery in the economy, and certainly the policy levers are all being exercised to foster greater availability of credit and higher growth. Inflation risks appear to have diminished significantly in the short term, and commodity and energy prices have experienced sharp corrections to levels that are more realistic in relation to costs and demand and supply variables. We believe the catalysts are in place for a meaningful recovery in equity prices over the next 12 months.

Portfolio Facts

As of October 31, 2008


	Class A
Ticker		AALCX
Transfer Agent ID		031
Net Assets	$	51,265,474
NAV	$	6.71
NAV - High†		12/10/2007 - $10.50
NAV - Low†		10/27/2008 - $5.88
Number of Holdings: 503

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 7/1/2000
without sales charge	(36.36	%)	(0.27	%)	(3.88	%)
with sales charge	(39.85	%)	(1.39	%)	(4.53	%)

Value of a $10,000 Investment

Class A Shares^*,1

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Consumer Price Index and the S&P 500 Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

Thrivent Balanced Fund

Darren Bagwell, CFA (left) and Michael G. Landreville, CFA (right), Portfolio Co-Managers

The Fund seeks long-term total return through a balance between income and the potential for long-term capital growth by investing primarily in a diversified portfolio of common stocks, bonds and money market instruments.

The Fund is subject to interest rate risk, credit risk and volatility risk, which may result in overall price fluctuations over short or even extended time periods. Common stocks are subject to the basic market risk that a particular security, or securities in general, may decrease in value over short or even extended time periods. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Balanced Fund earned a return of -28.76%, as compared to the median return of its peer group, the Lipper Mixed-Asset Target Allocation Growth category, of -30.84%. The Fund’s market benchmarks, the S&P Supercomposite 1500 Index and the Barclays Capital Aggregate Bond Index, earned total returns of -35.95% and 0.30%, respectively.

What factors affected the Fund’s performance?

The Fund’s equity component returned -35.89%. Sectors contributing the most to relative outperformance on the equity side included financials, consumer discretionary, consumer staples and materials. Health care was the primary source of partially offsetting relative underperformance.

Our equity outperformance in financials was due to our emphasis on higher-quality regional banks as well as our timely entries into stronger-performing national banks. Our continuing preference for JP Morgan at the expense of struggling Citigroup amongst the money-center banks was also a major contributor to performance. Within consumer discretionary, stock positions in value-oriented retailers Wal-Mart, TJX and Ross Stores generated solid relative returns. In consumer staples, our overweighted positions in large packaged food companies helped relative performance. Finally, our favoring of more stable and conservative materials names at the expense of the metals and commodity producers paid significant dividends. Underperformance in the health care sector was primarily due to our underweighting of pharmaceuticals.

A main reason for our fixed-income component’s relative underperformance was our underweighting of Treasury securities, which outperformed other fixed-income categories as investors flocked to safety throughout the period. Although we maintained a diversified portfolio of high-quality, mortgage-backed, asset-backed agency and corporate bonds, these securities generally experienced a drop in prices and a hike in yields–in many cases to record margins over Treasury yields–as the liquidity crunch worsened throughout the year.

The other major detractor from the fixed-income component’s relative performance was the floating-rate debt we used to back our forward purchase of Fannie Mae and Freddie Mac mortgage securities. The debt we used, all AAA-rated with maturities of from one to three years and a coupon rate that readjusts between one and three months, was impacted by sub-prime mortgage-related troubles and lost value.

What is your outlook?

We expect 2009 to be characterized by continued weak economic growth, burdened by further housing market weakness, difficult credit markets and deteriorating consumer spending trends; low and stable interest rates; a stable or stronger dollar; and continued weakening in international demand.

Major Market Sectors

(% of Net Assets)

LOGO

Portfolio Composition

(% of Portfolio)

LOGO

Top 10 Holdings

(% of Net Assets)


Federal National Mortgage Association Conventional 30-Yr. Pass Through	8.3	%
U.S. Treasury Notes, TIPS	1.9	%
Federal National Mortgage Association Conventional 30-Yr. Pass Through	1.5	%
J.P. Morgan Chase & Company	1.3	%
Exxon Mobil Corporation	1.2	%
Apple, Inc.	1.2	%
Federal National Mortgage Association Conventional 30-Yr. Pass Through	1.1	%
Procter & Gamble Company	1.1	%
Devon Energy Corporation	0.9	%
McDonald’s Corporation	0.9	%

These securities represent 19.4% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Portfolio Composition and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

The Portfolio Composition chart excludes collateral held for securities loaned.

Within the equity component, we see value in energy, technology, retailing, and the financial sector. As difficult as economic conditions remain, equity markets are at historically low valuation levels and their recovery can precede economic improvements by 12-18 months.

In the fixed-income markets, we expect the yield curve to remain steep and credit spreads to remain wide in the near future. We will maintain our current bond portfolio posture, not adding risk but not selling adversely affected securities that we believe are money good while market prices are down due to investor fears.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AABFX		BBBFX		IBBFX
Transfer Agent ID		026		085		056
Net Assets	$	143,027,811	$	2,633,324	$	50,741,268
NAV	$	8.91	$	8.88	$	8.90
NAV - High†		12/10/2007 - $13.50		12/10/2007 - $13.43		12/10/2007 - $13.49
NAV - Low†		10/27/2008 - $8.15		10/27/2008 - $8.13		10/27/2008 - $8.14
Number of Holdings: 436

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(28.76	%)	(0.13	%)	1.59	%
with sales charge	(32.66	%)	(1.26	%)	1.02	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(29.47	%)	(1.11	%)	1.12	%
with sales charge	(32.08	%)	(1.11	%)	1.12	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(28.43	%)	0.34	%	2.05	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 5.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 5.5% sales charge, while the Barclays Capital Aggregate Bond Index, the S&P Supercomposite 1500 Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in these Indexes, any charges you would pay would reduce your total return as well.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

****	The S&P Supercomposite 1500 Index measures the performance of a group of 1500 publicly traded stocks. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes.

Thrivent High Yield Fund

Paul J. Ocenasek, CFA, Portfolio Manager

The Fund seeks high current income and, secondarily, growth of capital by investing primarily in a diversified portfolio of high-yield corporate bonds.

The Fund typically invests a majority of its assets in high-yield bonds (commonly referred to as junk bonds). Although high-yield bonds typically have a higher current yield than investment-grade bonds, high-yield are also subject to greater price fluctuations and increased risk of loss of principal than investment-grade bonds. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent High Yield Fund earned a return of -22.70%, as compared to the median return of its peer group, the Lipper U.S. High Current Yield Funds, of -24.21%. The Fund’s market benchmark, the Barclays Capital U.S. Corporate High Yield Bond Index, earned a total return of -25.81%.

What factors affected the Fund’s performance?

With investors focused on growing troubles in the credit markets and a massive de-leveraging of the U.S. financial system, the high-yield bond market sold off significantly during the period. The yield premium or “spread” high-yield bonds offered over that of Treasury securities increased from 4.21% at the beginning of the period to 14.79% on October 31, 2008, with a simultaneous drop in their prices. This was the most significant spread widening that the high-yield market has ever witnessed. The sell-off was especially dramatic in the period’s final month of October. Also, spreads became much wider during the period than those seen in either of the last two recessions (1990-1991 and 2000-2001).

The Fund outperformed its peer group during this challenging period mainly due to our emphasis on higher-quality bonds. Our position in bonds of the lowest credit quality (CCC-rated) was significantly underweighted relative to our benchmark index (by about 7.50 percentage points at the end of the period). Other factors that enhanced our performance relative to our peer group included our overweighted positions in recession-resistant industries such as health care (down 10.50%, a modest decline compared to the overall market), wireless (down 12%), and our underweighted positions in recession-prone industries such as autos (down 36%), retail (down 28%), building materials (down 32%) and finance (down 63%).

Detracting from the Fund’s performance was our overweighted position in the gaming sector (down 43% during the period), though our credit selection in this sector was good. The Fund’s gaming sector holdings were down 32% during the period.

What is your outlook?

Our outlook for high-yield bonds is cautious and will remain so until it becomes clearer how the economy will perform in 2009. We think the rate cutting and other credit-easing moves undertaken by the Federal Reserve and central banks around the world during the period will help stabilize our financial system.

Even so, we are concerned about the threats to growth posed by continued problems in the housing and credit markets, softening consumer demand and rising unemployment. In a recession, high-yield bonds typically perform poorly. With slow or no economic growth, we expect default rates in high-yield bonds to increase significantly over the next year or two. For these reasons, we will keep a defensive stance.

Major Market Sectors

(% of Net Assets)

LOGO

Moody’s Bond Quality

Ratings Distributions

LOGO

Top 10 Holdings

(% of Net Assets)


Texas Competitive Electric Holdings Company, LLC	1.1	%
Ford Motor Company, Term Loan	1.1	%
Intelsat Subsidiary Holding Company, Ltd.	1.1	%
MGM MIRAGE	1.1	%
Leucadia National Corporation	1.0	%
HCA, Inc., Term Loan	1.0	%
General Motors Acceptance Corporation	1.0	%
Tunica Biloxi Gaming Authority	0.9	%
TransDigm, Inc.	0.9	%
Centennial Communications Corporation	0.9	%

These securities represent 10.1% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Moody’s Bond Quality Ratings Distributions and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

With high-yield bond yield spreads so wide, however, the market appears to have priced in the expected increase in defaults and, we think, may be overcompensating investors at current yields. As much of the damage to the market appears to have been done already, we are finding some very attractive opportunities to add value to the Fund by making selective investments. For suitable investors, we believe that now may be a good time to be averaging into a high-yield bond portfolio.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		LBHYX		LUHBX		LBHIX
Transfer Agent ID		073		373		473
Net Assets	$	318,801,212	$	3,357,971	$	129,418,421
NAV	$	3.59	$	3.59	$	3.59
NAV - High†		11/1/2007 - $5.02		11/1/2007 - $5.02		11/1/2007 - $5.03
NAV - Low†		10/28/2008 - $3.57		10/28/2008 - $3.57		10/28/2008 - $3.57
Number of Holdings: 236

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(22.70	%)	0.75	%	0.94	%
with sales charge	(26.22	%)	(0.18	%)	0.48	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(23.37	%)	(0.10	%)	0.58	%
with sales charge	(26.22	%)	(0.10	%)	0.58	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(22.52	%)	1.17	%	1.32	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 4.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 4.5% sales charge, while the Barclays Capital U.S. Corporate High Yield Bond Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

***

The Barclays Capital U.S. Corporate High Yield Bond Index is an index which measures the performance of fixed-rate non-investment grade bonds. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes. The Barclays Capital U.S Corporate High Yield Bond Index is the new name for the index formerly known as the Lehman Brothers U.S Corporate High Yield Bond Index. The Barclays Capital U.S Corporate High Yield Bond Index assumes the prior history and is compiled going forward using the same methodology of the Lehman Brothers U.S Corporate High Yield Bond Index.

Thrivent Municipal Bond Fund

Janet I. Grangaard, CFA, Portfolio Manager

The Fund seeks a high level of current income exempt from federal income taxes, consistent with capital preservation, by investing primarily in a diversified portfolio of municipal bonds.*

The Fund is subject to interest rate risk, credit risk related to an issuer’s underlying financial position and volatility risk, which may result in overall price fluctuations over short or even extended time periods. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Municipal Bond Fund earned a return of -2.92%, as compared to the median return of its peer group, the Lipper General Municipal Debt Funds Category, of -6.87%. The Fund’s market benchmark, the Barclays Capital Municipal Bond Index, earned a total return of -3.30%.

What factors affected the Fund’s performance?

The credit crunch that started in sub-prime mortgages worsened throughout the period and affected all types of fixed-income securities, including municipal bonds. Yields fell on shorter-term municipal bonds and rose on longer-term securities as the Federal Reserve cut interest rates repeatedly and investors sought the relative safety of shorter maturities and higher-rated issuers. Fortunately, our portfolio was positioned for a steepening yield curve and a market emphasis on quality.

Our heavier weighting of three- to 10-year bonds enhanced our performance relative to our peer group as prices at the shorter end of the yield curve rose slightly or stayed relatively stable. A focus on high-quality securities also benefited our relative performance, as investor appetite for risk diminished and the liquidity crisis continued to impact other bond sectors. The ongoing flight to quality boosted yields of lower-rated bonds and pushed down their prices. Consequently, our lower weighting in high-yield municipal bonds enhanced our performance relative to our peer group. The Fund had limited exposure to high yield, whereas some other funds had a considerable percentage of their portfolios in this segment.

Our decision to avoid two types of securities that performed poorly also enhanced the Fund’s performance relative to its peer group. These included gas prepay bonds, which lost value due to concerns about unrelated losses incurred by the major banks that underwrite them; and floating-rate-note securities, many of which were down sharply during the period. Our underweighted position in tobacco-sector bonds, which also performed poorly, benefited the Fund’s relative performance as well.

Despite the troubles facing bond insurers during the period, the Portfolio fared well because our insured holdings are, on average, of high quality and their prices did not fall dramatically as a result. Rather than rely on bond insurance, we insist on carefully researching the credit quality of each security we consider.

What is your outlook?

Economic activity will likely remain sluggish at least through the first half of 2009. Eventually, however, the massive government bailout and stimulus programs should begin to spur faster growth. At that point, inflation may once again become a concern.

Major Market Sectors

(% of Net Assets)

LOGO

Moody’s Bond Quality

Ratings Distributions

LOGO

Top 10 States

(% of Net Assets)


Texas	10.9	%
Illinois	9.3	%
New York	8.3	%
California	7.9	%
Colorado	5.9	%
Washington	4.6	%
Minnesota	3.8	%
Georgia	3.2	%
Ohio	3.1	%
Massachusetts	3.0	%

Investments in securities in these States represent 60.0% of the total net assets of the Fund.

*Investors may be subject to state taxes and federal alternative minimum tax.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Moody’s Bond Quality Ratings Distributions and Top 10 States are subject to change.

The lists of Major Market Sectors and Top 10 States exclude short-term investments.

In the meantime, we expect further volatility in the municipal bond market, a continued steep yield curve and wide credit spreads. State and local governments will likely face tighter budgets, requiring difficult decisions about priorities. Insurance should also be less prevalent than in past years, when roughly 50% of new issuances came with insurance. The market for municipal bonds itself is also shifting from institutional to retail buyers. With the dynamic nature of today’s municipal bond market, investors must do their homework and monitor their holdings carefully. We will continue to do that for you. We believe that the Fund is in a strong position to take advantage of upcoming market values. Going forward, we will look for opportunities to add select longer-maturity and slightly lower-rated bonds to our Portfolio to continue our efforts to enhance shareholders’ total return.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AAMBX		TMBBX		TMBIX
Transfer Agent ID		015		065		088
Net Assets	$	1,104,836,754	$	3,807,038	$	35,064,623
NAV	$	10.37	$	10.36	$	10.36
NAV - High†		1/23/2008 - $11.41		1/23/2008 - $11.41		1/23/2008 - $11.41
NAV - Low†		10/17/2008 - $10.01		10/17/2008 - $10.00		10/17/2008 - $10.01
Number of Holdings: 433

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(2.92	%)	2.43	%	3.71	%
with sales charge	(7.32	%)	1.49	%	3.24	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(3.69	%)	1.72	%	3.32	%
with sales charge	(7.40	%)	1.72	%	3.32	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(2.71	%)	2.72	%	3.96	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 4.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 4.5% sales charge, while the Barclays Capital Municipal Bond Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

The Barclays Capital Municipal Bond Index is a market value-weighted index of investment-grade municipal bonds with maturities of one year or more. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes. The Barclays Capital Municipal Bond Index is the new name for the index formerly known as the Lehman Brothers Municipal Bond Index. The Barclays Capital Municipal Bond Index assumes the prior history and is compiled going forward using the same methodology of the Lehman Brothers Municipal Bond Index.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Income Fund

Kent L. White, CFA (left) and Paul J. Ocenasek, CFA (right), Portfolio Co-Managers

The Fund seeks high current income while preserving principal and, secondarily, long-term growth of capital.

The Fund is subject to interest rate risk, credit risk related to a company’s underlying financial position and volatility risk, which may result in overall price fluctuations over short or even extended time periods. These and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Income Fund earned a return of -14.19%, as compared to the median return of its peer group, the Lipper Corporate Debt Funds BBB-Rated Funds, of -14.91%. The Fund’s market benchmark, the Barclays Capital Aggregate Bond Index, earned a total return of 0.30%.

What factors affected the Fund’s performance?

Most of the outperformance relative to our peer group was attributable to the defensive, up-in-quality bias of the Fund’s holdings in corporate bonds. Given our expectations for a prolonged period of economic weakness and limited availability of capital, we were overweighted in investment-grade corporate bonds versus lower quality high-yield corporate bonds, and underweighted in consumer and cyclically exposed sectors of the economy. Being overweighted in cash and underweighted in a number of the large financial failures such as AIG, Washington Mutual and Fannie Mae also helped performance relative to our peer group during the worst part of this past year’s credit crisis.

The Fund has continued to be negatively impacted by the illiquid floating-rate securities that were used to support the forward purchase of mortgage securities. These securities have been the largest source of negative return contribution over the past year and remain highly illiquid. We also had an underweighted position in U.S. Treasury securities, U.S. agency securities and agency-backed mortgage securities, all of which are higher-quality asset classes that outperformed as riskier credit underperformed in one of the worst years ever for the credit markets.

What is your outlook?

We continue to expect a prolonged period of significant economic weakness as it appears the world’s economies are entering one of the first synchronized global recessions in a long time. The mortgage crisis that started in 2007 has spread from the consumer through the banking system and is now poised to impact the broader economy. Rising unemployment, very weak consumer spending, and business spending cutbacks are now the primary risks to the economy. The support from exports that U.S. corporations have enjoyed is also now in jeopardy as global growth slows and the U.S. dollar strengthens. Helping to offset these risks somewhat, the U.S. government and governments around the world have initiated financial-system rescue plans that may begin to show signs of returning some liquidity to the credit markets.

Major Market Sectors

(% of Net Assets)

LOGO

Moody’s Bond Quality

Ratings Distributions

LOGO

Top 10 Holdings

(% of Net Assets)


Federal National Mortgage Association Conventional 30-Yr. Pass Through	8.0	%
Wachovia Bank Commercial Mortgage Trust	1.3	%
Federal Home Loan Bank	1.3	%
Federal National Mortgage Association Conventional 30-Yr. Pass Through	1.2	%
Federal Home Loan Mortgage Corporation	1.1	%
Federal National Mortgage Association Conventional 30-Yr. Pass Through	1.1	%
Federal National Mortgage Association	1.1	%
Citigroup Commercial Mortgage Trust	1.0	%
Merna Re, Ltd.	1.0	%
U.S. Treasury Notes	1.0	%

These securities represent 18.1% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Moody’s Bond Quality Ratings Distributions and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

We are much less concerned about inflation at this point in the economic cycle, but need to stay vigilant due to the very large amount of stimulus that is in the pipeline from governments around the world. Given this outlook, with downside risks to growth and minimal inflation concerns, we have a neutral to slightly long bias to duration and the Treasury curve.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		LUBIX		LUIBX		LBIIX
Transfer Agent ID		055		355		455
Net Assets	$	326,207,647	$	2,404,589	$	318,513,413
NAV	$	6.92	$	6.90	$	6.91
NAV - High†		1/23/2008 - $8.57		1/23/2008 - $8.55		1/23/2008 - $8.56
NAV - Low†		10/31/2008 - $6.92		10/31/2008 - $6.90		10/31/2008 - $6.91
Number of Holdings: 316

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(14.19	%)	(0.01	%)	2.68	%
with sales charge	(18.05	%)	(0.92	%)	2.21	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(14.95	%)	(0.84	%)	2.29	%
with sales charge	(18.20	%)	(0.84	%)	2.29	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(13.85	%)	0.37	%	3.03	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 4.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

As you compare performance, please note that the Fund’s performance reflects the maximum 4.5% sales charge, while the Barclays Capital Aggregate Bond Index and the Consumer Price Index do not reflect any such charges. If you were to purchase any of the above individual stocks or funds represented in the Index, any charges you would pay would reduce your total return as well.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Core Bond Fund

Michael G. Landreville, CFA (left) and Gregory R. Anderson, CFA (right), Portfolio
Co-Managers

The Fund seeks a high level of current income consistent with capital preservation by investing primarily in a diversified portfolio of investment-grade bonds.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Core Bond Fund earned a return of -10.13%, as compared to the median return of its peer group, the Lipper Intermediate Investment Grade Debt Funds, of -6.38%. The Fund’s market benchmark, the Barclays Capital Aggregate Bond Index, earned a total return of 0.30%.

What factors affected the Fund’s performance?

A main reason for our underperformance relative to the peer group was our underweighting of Treasury securities, which outperformed other fixed-income categories as investors flocked to safety throughout the period. Although we maintained a diversified portfolio of high-quality mortgage-backed, asset-backed, agency and corporate bonds, these securities generally experienced a drop in prices and a hike in yields–in many cases to record margins over Treasury yields–as the liquidity crunch worsened throughout the year.

Within our corporate bond holdings we’ve typically held an overweighted position in the financial sector, which generally has been a high-rated area of the market. But during the 12-month reporting period, the worsening liquidity crisis hurt the financial sector overall, since finance corporations issue and hold the affected securities. Our bank and brokerage securities were particularly affected during the period. In addition, some of the corporate financial sector bonds we held were “hybrid securities.” These securities are designed to put the bondholder lower in the corporate repayment order in case of bankruptcy–but still ahead of stockholders–in exchange for higher returns. However, they were also hard hit by the credit crunch.

The other major detractor from the Fund’s relative performance was the floating-rate debt we used to back our forward purchase of Fannie Mae and Freddie Mac mortgage securities. The debt we used, all AAA-rated with maturities of from one to three years and a coupon rate that readjusts between one and three months, was impacted by sub-prime mortgage-related troubles and lost value.

What is your outlook?

Economic activity will likely remain sluggish at least until mid-2009. Eventually, the unprecedented amount of government stimulus in the system–in the form of bailouts and other liquidity programs–should begin to spur faster growth. Until then, the Federal Reserve will likely keep short-term interest rates low. Lower interest rates, however, may be less effective in prompting a recovery than the massive government liquidity programs planned or in progress.

Major Market Sectors

(% of Net Assets)

LOGO

Moody’s Bond Quality

Ratings Distributions

LOGO

Top 10 Holdings

(% of Net Assets)


Federal National Mortgage Association Conventional 30-Yr. Pass Through	24.8	%
U.S. Treasury Notes, TIPS	6.1	%
Federal National Mortgage Association Conventional 30-Yr. Pass Through	5.2	%
Federal National Mortgage Association Conventional 30-Yr. Pass Through	3.9	%
Federal Home Loan Bank	1.7	%
U.S. Treasury Notes	1.6	%
Renaissance Home Equity Loan Trust	1.6	%
Bear Stearns Commercial Mortgage Securities, Inc.	1.6	%
U.S. Treasury Notes	1.3	%
Federal National Mortgage Association	1.3	%

These securities represent 49.1% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares and does not reflect a sales charge.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Moody’s Bond Quality Ratings Distributions and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

We expect the yield curve to remain steep and credit spreads to remain wide in the near future. We will maintain our current portfolio posture, not adding risk but not selling adversely affected securities, which we believe are money good while market prices are down due to investor fears. As noted, we think the worst is over for our affected corporate and floating-rate securities and that their value should rebound as the market calms down.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AAINX		BBFBX		IIINX
Transfer Agent ID		016		066		089
Net Assets	$	223,492,006	$	1,481,556	$	64,979,765
NAV	$	8.36	$	8.36	$	8.36
NAV - High†		1/23/2008 - $9.88		1/23/2008 - $9.88		1/23/2008 - $9.88
NAV - Low†		10/31/2008 - $8.36		10/31/2008 - $8.36		10/31/2008 - $8.36
Number of Holdings: 186

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
without sales charge	(10.13	%)	0.47	%	3.03	%
with sales charge	(14.17	%)	(0.45	%)	2.56	%

Class B³	1-Year		5 Years		10 Years
without sales charge	(11.23	%)	(0.57	%)	2.54	%
with sales charge	(14.65	%)	(0.57	%)	2.54	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	(9.92	%)	0.86	%	3.44	%

Value of a $10,000 Investment

Class A Shares^*,1,(a)

LOGO

²	Class A performance reflects the maximum sales charge of 4.5%.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

***	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Limited Maturity Bond Fund

Michael G. Landreville, CFA (left) and Gregory R. Anderson, CFA (right), Portfolio Co-Managers

The Fund seeks a high level of current income with stability of principal.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Limited Maturity Bond Fund earned a return of -5.03%, as compared to the median return of its peer group, the Lipper Short Investment Grade Debt Funds, of -3.15%. The Fund’s market benchmark, the Barclays Capital Government/Credit 1-3 Year Bond Index, earned a total return of 4.20%.

What factors affected the Fund’s performance?

The main reason for our underperformance relative to the peer group was our underweighting of Treasury securities, which outperformed other fixed-income categories as investors flocked to safety throughout the period. Although we maintained a diversified portfolio of high-quality mortgage-backed, asset-backed, agency and corporate bonds, these securities generally experienced a drop in prices and a hike in yields as the liquidity crunch worsened throughout the year.

Most of the Fund’s negative performance occurred over the last three months of the 12-month period. The failures or forced sale of several large financial institutions–including Fannie Mae, Freddie Mac, Lehman Brothers, Washington Mutual, Wachovia, Merrill Lynch and AIG–escalated investors’ fears and their rush to safety. During these months the yield spread, or the yield margin over government-guaranteed Treasury securities that other types of bonds pay, grew to the widest levels ever seen.

With rising concerns about how much the housing slump and worsening credit crisis would disrupt the economy, the Federal Reserve Open Market Committee cut short-term interest rates repeatedly during the period, with the federal funds target rate dropping from 4.50% on October 31, 2007, to 1.00% on October 29, 2008. The government also undertook other extraordinary measures to inject liquidity into the financial system. The yield on the two-year Treasury note fell from 3.95% to 1.55% during the period.

Our relative performance benefited during the period from moves to position the Portfolio for a steeper yield curve and purchasing options on Treasury futures, which enabled us to extend the Portfolio’s duration when interest rates declined significantly. The options’ value grew as rates fell. The Fund’s relative performance also benefited from our overweighted position in agency securities, which did significantly better than corporate bonds or securitized assets.

Major Market Sectors

(% of Net Assets)

LOGO

Moody’s Bond Quality

Ratings Distributions

LOGO

Top 10 Holdings

(% of Net Assets)


U.S. Treasury Notes, TIPS	3.4	%
U.S. Treasury Notes	2.7	%
Federal National Mortgage Association Conventional 30-Yr. Pass Through	2.2	%
Federal Home Loan Bank	2.1	%
Federal Home Loan Mortgage Corporation	1.8	%
Federal National Mortgage Association	1.6	%
Federal Home Loan Bank	1.3	%
Federal Home Loan Bank	1.1	%
Federal Home Loan Bank	1.1	%
Federal Home Loan Bank	1.1	%

These securities represent 18.4% of the total net assets of the Fund.

Quoted Fund performance is for Class A shares.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Major Market Sectors, Moody’s Bond Quality Ratings Distributions and Top 10 Holdings are subject to change.

The lists of Major Market Sectors and Top 10 Holdings exclude short-term investments and collateral held for securities loaned.

What is your outlook?

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		LBLAX		TLMBX		THLIX
Transfer Agent ID		076		376		476
Net Assets	$	90,451,603	$	1,536,587	$	376,898,264
NAV	$	11.40	$	11.41	$	11.40
NAV - High†		1/23/2008 - $12.61		1/23/2008 - $12.62		1/23/2008 - $12.61
NAV - Low†		10/31/2008 -$11.40		10/31/2008 - $11.41		10/31/2008 - $11.40
Number of Holdings: 286

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		From Inception 10/29/1999
Net Asset Value	(5.03	%)	1.25	%	3.40	%

Class B³	1-Year		5 Years		From Inception 10/29/1999
Net Asset Value	(5.20	%)	1.15	%	3.37	%

Institutional Class⁴	1-Year		5 Years		From Inception 10/29/1999
Net Asset Value	(4.71	%)	1.65	%	3.75	%

Value of a $10,000 Investment

Class A Shares^1,(a)

LOGO

²	Class A shares have no sales load.

³	Class B shares have no sales load.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

^(a)	Performance of other classes will be greater or less than the line shown based on the differences in loads and fees paid by shareholders investing in the different classes.

The Barclays Capital Government/Credit 1-3 Year Bond Index is an index that measures the performance of government and fixed-rate debt securities with maturities of 1-3 years. It is not possible to invest directly in the Index. The performance of the Index does not reflect deductions for fees, expenses or taxes. The Barclays Capital Government/Credit 1-3 Year Bond Index is the new name for the index formerly known as the Lehman Brothers Government/Credit 1-3 Year Bond Index. The Barclays Capital Government/Credit 1-3 Year Bond Index assumes the prior history and is compiled going forward using the same methodology of the Lehman Brothers Government/Credit 1-3 Year Bond Index.

**	The Consumer Price Index 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. It is not possible to invest directly in the Index.

Thrivent Money Market Fund

William D. Stouten, Portfolio Manager

The Fund seeks a high level of current income, while maintaining liquidity and a constant net asset value of $1.00 per share, by investing in a diversified portfolio of high-quality, short-term money market instruments.

The principal risk of investing in the Fund is current income risk—that is, the income the Fund receives may fall as a result of a decline in interest rates. This and other risks are described in the Fund’s prospectus.

How did the Fund perform during the 12-month period ended October 31, 2008?

Thrivent Money Market Fund earned a return of 3.21%, as compared to the median return of its peer group, the Lipper Money Market Funds category, of 2.64%.

What factors affected the Fund’s performance?

The worsening global “liquidity crunch” was the factor that most influenced money market securities during the reporting period. Yields rose on most structured securities, while yields declined on industrial names, U.S agency debt and Treasuries as investors sought quality.

Fortunately, our investment philosophy was rewarded during this market upheaval. We had little exposure through most of the period to the types of securities that concerned the market. Throughout the 12 months, we took advantage of the higher yields offered on many types of securities that we felt still offered our shareholders the liquidity and safety they expect. Early in the period, we purchased some longer-dated (three to six months) securities at attractive prices, enabling us to extend the Fund’s weighted average maturity in high-quality investments. This move benefited us as the Fed cut interest rates repeatedly during the period, with the federal funds target rate dropping from 4.50% on October 31, 2007, to 1.00% on October 29, 2008. When government intervention steps boosted credit quality and liquidity, we began to take advantage of the pricing discrepancies that remained in the market.

The Fund also benefited from its holdings of LIBOR (London Interbank Offered Rate)-based floaters, which reset at high rates during the period because of the disruption in the European banking system and the subsequent increase in LIBOR rates. Further, we benefited by significantly expanding our holdings of municipal credits (taxable short-term securities issued by local and state governmental units).

Yet another positive influence on the Fund’s performance was our effective management of overnight liquidity. Our willingness to shift in and out of a variety of overnight investments depending on the yield provided us with a competitive advantage against industry participants that have been less flexible.

Money market securities in general were also affected by several federal programs initiated during the period to bolster market liquidity and investor confidence. One is the U.S. Treasury Temporary Guarantee Program for Money Market Funds, which protects the value of shares in participating funds (held by investors as of September 19, 2008) from dropping below $1.00. Thrivent Money Market Fund was a participant in the initial Program (September 19, 2008 through December 18, 2008) and applied to participate

Portfolio Composition

(% of Portfolio)

LOGO

An investment in Thrivent Money Market Fund is not insured or guaranteed by the FDIC or, generally, any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

Quoted Fund performance is for Class A shares.

The returns shown do not reflect taxes a shareholder would pay on distributions or redemptions.

Quoted Portfolio Composition is subject to change.

in the extended Program (December 19, 2008 through April 30, 2009). Two other programs, the Commercial Paper Funding Facility and the Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility, provide federal funding and backing to enhance liquidity of money market securities.

What is your outlook?

With all of the federal backstops in place, we expect money market liquidity to improve and yields to come down. The Federal Reserve may cut short-term interest rates further to help spur economic growth. So we expect a period of relatively low money market yields ahead.

We continue to manage the Fund conservatively as we prepare for the possibility that interest rates and fund flows may change unexpectedly. As in any economic environment, we will continue to focus on our primary goals of safety and liquidity, while pursuing the optimum risk-adjusted yield.

Portfolio Facts

As of October 31, 2008


	Class A		Class B		Institutional Class
Ticker		AMMXX		TMBXX		AALXX
Transfer Agent ID		018		068		091
Net Assets	$	1,305,957,005	$	1,047,567	$	223,260,818
NAV	$	1.00	$	1.00	$	1.00
Number of Holdings: 118

†	For the year ended October 31, 2008

Average Annual Total Returns¹

As of October 31, 2008


Class A²	1-Year		5 Years		10 Years
Net Asset Value	3.21	%	2.97	%	3.10	%

Class B³	1-Year		5 Years		10 Years
without sales charge	2.73	%	2.65	%	2.68	%
with sales charge	(1.27	%)	2.65	%	2.68	%

Institutional Class⁴	1-Year		5 Years		10 Years
Net Asset Value	3.41	%	3.28	%	3.41	%

Money Market Portfolio Yields^*

As of October 31, 2008


	Class A		Class B		Institutional Class
7-Day Yield	2.52	%	2.11	%	2.76	%
7-Day Effective Yield	2.55	%	2.14	%	2.80	%

²	Class A shares have no sales load.

³	Class B performance reflects the maximum defferred sales charge of 5%, declining 1% each year during the first five years and then converting to Class A shares after the fifth year.

⁴	Institutional Class shares have no sales load and are for institutional shareholders only.

*	Seven-day yields of Thrivent Money Market Fund refer to the income generated by an investment in the Fund over a specified seven-day period. Effective yields reflect the reinvestment of income. Yields are subject to daily fluctuation and should not be considered an indication of future results.

Shareholder Expense Example

(Unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments; and (2) ongoing costs, including management fees; distribution (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from May 1, 2008 through October 31, 2008.

Actual Expenses

In the table below, the first section, labeled “Actual,” provides information about actual account values and actual expenses. You may use the information in this section, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number from the appropriate Class line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid. A small account fee of $12 is charged to Class A shareholder accounts if the value falls below stated account minimums ($2,500 for Thrivent Limited Maturity Bond Fund, $1,500 for Thrivent Money Market Fund and $1,000 for all other Funds). This fee is not included in the table below. If it were, the expenses you paid during the period would have been higher and the ending account value would have been lower.

Hypothetical Example for Comparison Purposes

In the table below, the second section, labeled “Hypothetical,” provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. A small account fee of $12 is charged to Class A shareholder accounts if the value falls below stated account minimums ($2,500 for Thrivent Limited Maturity Bond Fund, $1,500 for Thrivent Money Market Fund and $1,000 for all other Funds). This fee is not included in the table below. If it were, the expenses you paid during the period would have been higher and the ending account value would have been lower.

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 sales charges (loads). Therefore, the second section 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.


	Beginning Account Value 5/1/2008		Ending Account Value 10/31/2008		Expenses Paid During Period 5/1/2008- 10/31/2008^*		Annualized Expense Ratio
Thrivent Aggressive Allocation Fund
Actual
Class A	$	1,000	$	690	$	2.34	0.55	%
Institutional Class	$	1,000	$	691	$	0.88	0.21	%
Hypothetical^**
Class A	$	1,000	$	1,022	$	2.80	0.55	%
Institutional Class	$	1,000	$	1,024	$	1.05	0.21	%
Thrivent Moderately Aggressive Allocation Fund
Actual
Class A	$	1,000	$	715	$	2.24	0.52	%
Institutional Class	$	1,000	$	715	$	0.79	0.18	%
Hypothetical^**
Class A	$	1,000	$	1,023	$	2.65	0.52	%
Institutional Class	$	1,000	$	1,024	$	0.93	0.18	%


	Beginning Account Value 5/1/2008		Ending Account Value 10/31/2008		Expenses Paid During Period 5/1/2008- 10/31/2008^*		Annualized Expense Ratio
Thrivent Moderate Allocation Fund
Actual
Class A	$	1,000	$	761	$	2.27	0.51	%
Institutional Class	$	1,000	$	762	$	0.82	0.19	%
Hypothetical^**
Class A	$	1,000	$	1,023	$	2.60	0.51	%
Institutional Class	$	1,000	$	1,024	$	0.95	0.19	%
Thrivent Moderately Conservative Allocation Fund
Actual
Class A	$	1,000	$	824	$	2.20	0.48	%
Institutional Class	$	1,000	$	824	$	0.99	0.22	%
Hypothetical^**
Class A	$	1,000	$	1,023	$	2.44	0.48	%
Institutional Class	$	1,000	$	1,024	$	1.10	0.22	%
Thrivent Technology Fund
Actual
Class A	$	1,000	$	635	$	6.04	1.47	%
Class B	$	1,000	$	631	$	11.43	2.79	%
Institutional Class	$	1,000	$	636	$	4.37	1.06	%
Hypothetical^**
Class A	$	1,000	$	1,018	$	7.46	1.47	%
Class B	$	1,000	$	1,011	$	14.09	2.79	%
Institutional Class	$	1,000	$	1,020	$	5.39	1.06	%
Thrivent Partner Small Cap Growth Fund
Actual
Class A	$	1,000	$	704	$	6.05	1.41	%
Institutional Class	$	1,000	$	705	$	4.47	1.04	%
Hypothetical^**
Class A	$	1,000	$	1,018	$	7.16	1.41	%
Institutional Class	$	1,000	$	1,020	$	5.30	1.04	%
Thrivent Partner Small Cap Value Fund
Actual
Class A	$	1,000	$	767	$	5.99	1.35	%
Class B	$	1,000	$	762	$	11.16	2.52	%
Institutional Class	$	1,000	$	770	$	3.06	0.69	%
Hypothetical^**
Class A	$	1,000	$	1,018	$	6.84	1.35	%
Class B	$	1,000	$	1,012	$	12.74	2.52	%
Institutional Class	$	1,000	$	1,022	$	3.49	0.69	%
Thrivent Small Cap Stock Fund
Actual
Class A	$	1,000	$	728	$	5.84	1.35	%
Class B	$	1,000	$	724	$	10.54	2.43	%
Institutional Class	$	1,000	$	731	$	3.18	0.73	%
Hypothetical^**
Class A	$	1,000	$	1,018	$	6.83	1.35	%
Class B	$	1,000	$	1,013	$	12.30	2.43	%
Institutional Class	$	1,000	$	1,021	$	3.71	0.73	%
Thrivent Small Cap Index Fund
Actual
Class A	$	1,000	$	762	$	4.22	0.95	%
Hypothetical^**
Class A	$	1,000	$	1,020	$	4.84	0.95	%


	Beginning Account Value 5/1/2008		Ending Account Value 10/31/2008		Expenses Paid During Period 5/1/2008-10/31/2008^*		Annualized Expense Ratio
Thrivent Mid Cap Growth Fund
Actual
Class A	$	1,000	$	680	$	5.03	1.19	%
Class B	$	1,000	$	676	$	9.73	2.31	%
Institutional Class	$	1,000	$	682	$	1.94	0.46	%
Hypothetical^**
Class A	$	1,000	$	1,019	$	6.05	1.19	%
Class B	$	1,000	$	1,014	$	11.69	2.31	%
Institutional Class	$	1,000	$	1,023	$	2.33	0.46	%
Thrivent Partner Mid Cap Value Fund
Actual
Class A	$	1,000	$	686	$	5.30	1.25	%
Institutional Class	$	1,000	$	688	$	3.88	0.91	%
Hypothetical^**
Class A	$	1,000	$	1,019	$	6.34	1.25	%
Institutional Class	$	1,000	$	1,021	$	4.64	0.91	%
Thrivent Mid Cap Stock Fund
Actual
Class A	$	1,000	$	669	$	5.15	1.23	%
Class B	$	1,000	$	665	$	10.00	2.39	%
Institutional Class	$	1,000	$	671	$	2.99	0.71	%
Hypothetical^**
Class A	$	1,000	$	1,019	$	6.24	1.23	%
Class B	$	1,000	$	1,013	$	12.10	2.39	%
Institutional Class	$	1,000	$	1,022	$	3.61	0.71	%
Thrivent Mid Cap Index Fund
Actual
Class A	$	1,000	$	683	$	2.54	0.60	%
Hypothetical^**
Class A	$	1,000	$	1,022	$	3.06	0.60	%
Thrivent Partner Worldwide Allocation Fund
Actual
Class A	$	1,000	$	593	$	5.20	1.30	%
Institutional Class	$	1,000	$	593	$	3.75	0.94	%
Hypothetical^**
Class A	$	1,000	$	1,019	$	6.59	1.30	%
Institutional Class	$	1,000	$	1,020	$	4.75	0.94	%
Thrivent Partner International Stock Fund
Actual
Class A	$	1,000	$	589	$	5.20	1.30	%
Class B	$	1,000	$	584	$	11.04	2.77	%
Institutional Class	$	1,000	$	590	$	2.73	0.68	%
Hypothetical^**
Class A	$	1,000	$	1,019	$	6.61	1.30	%
Class B	$	1,000	$	1,011	$	14.01	2.77	%
Institutional Class	$	1,000	$	1,022	$	3.47	0.68	%
Thrivent Large Cap Growth Fund
Actual
Class A	$	1,000	$	681	$	4.94	1.17	%
Class B	$	1,000	$	677	$	9.27	2.20	%
Institutional Class	$	1,000	$	680	$	3.41	0.81	%
Hypothetical^**
Class A	$	1,000	$	1,019	$	5.94	1.17	%
Class B	$	1,000	$	1,014	$	11.13	2.20	%
Institutional Class	$	1,000	$	1,021	$	4.10	0.81	%


	Beginning Account Value 5/1/2008		Ending Account Value 10/31/2008		Expenses Paid During Period 5/1/2008-10/31/2008^*		Annualized Expense Ratio
Thrivent Large Cap Value Fund
Actual
Class A	$	1,000	$	717	$	4.44	1.03	%
Class B	$	1,000	$	712	$	9.56	2.22	%
Institutional Class	$	1,000	$	719	$	2.16	0.50	%
Hypothetical^**
Class A	$	1,000	$	1,020	$	5.23	1.03	%
Class B	$	1,000	$	1,014	$	11.24	2.22	%
Institutional Class	$	1,000	$	1,023	$	2.54	0.50	%
Thrivent Large Cap Stock Fund
Actual
Class A	$	1,000	$	708	$	4.55	1.06	%
Class B	$	1,000	$	705	$	8.10	1.89	%
Institutional Class	$	1,000	$	710	$	2.49	0.58	%
Hypothetical^**
Class A	$	1,000	$	1,020	$	5.37	1.06	%
Class B	$	1,000	$	1,016	$	9.58	1.89	%
Institutional Class	$	1,000	$	1,022	$	2.94	0.58	%
Thrivent Large Cap Index Fund
Actual
Class A	$	1,000	$	706	$	2.58	0.60	%
Hypothetical^**
Class A	$	1,000	$	1,022	$	3.05	0.60	%
Thrivent Balanced Fund
Actual
Class A	$	1,000	$	758	$	4.81	1.09	%
Class B	$	1,000	$	754	$	9.09	2.06	%
Institutional Class	$	1,000	$	760	$	2.66	0.60	%
Hypothetical^**
Class A	$	1,000	$	1,020	$	5.52	1.09	%
Class B	$	1,000	$	1,015	$	10.44	2.06	%
Institutional Class	$	1,000	$	1,022	$	3.05	0.60	%
Thrivent High Yield Fund
Actual
Class A	$	1,000	$	775	$	3.93	0.88	%
Class B	$	1,000	$	771	$	7.73	1.74	%
Institutional Class	$	1,000	$	776	$	1.97	0.44	%
Hypothetical^**
Class A	$	1,000	$	1,021	$	4.47	0.88	%
Class B	$	1,000	$	1,016	$	8.80	1.74	%
Institutional Class	$	1,000	$	1,023	$	2.25	0.44	%
Thrivent Municipal Bond Fund
Actual
Class A	$	1,000	$	959	$	3.83	0.78	%
Class B	$	1,000	$	954	$	7.22	1.47	%
Institutional Class	$	1,000	$	959	$	2.31	0.47	%
Hypothetical^**
Class A	$	1,000	$	1,021	$	3.96	0.78	%
Class B	$	1,000	$	1,018	$	7.46	1.47	%
Institutional Class	$	1,000	$	1,023	$	2.38	0.47	%


	Beginning Account Value 5/1/2008		Ending Account Value 10/31/2008		Expenses Paid During Period 5/1/2008-10/31/2008^*		Annualized Expense Ratio
Thrivent Income Fund
Actual
Class A	$	1,000	$	857	$	3.79	0.81	%
Class B	$	1,000	$	853	$	7.61	1.63	%
Institutional Class	$	1,000	$	859	$	1.83	0.39	%
Hypothetical^**
Class A	$	1,000	$	1,021	$	4.12	0.81	%
Class B	$	1,000	$	1,017	$	8.28	1.63	%
Institutional Class	$	1,000	$	1,023	$	1.99	0.39	%
Thrivent Core Bond Fund
Actual
Class A	$	1,000	$	894	$	4.00	0.84	%
Class B	$	1,000	$	888	$	9.27	1.95	%
Institutional Class	$	1,000	$	895	$	2.40	0.50	%
Hypothetical^**
Class A	$	1,000	$	1,021	$	4.27	0.84	%
Class B	$	1,000	$	1,015	$	9.90	1.95	%
Institutional Class	$	1,000	$	1,023	$	2.56	0.50	%
Thrivent Limited Maturity Bond Fund
Actual
Class A	$	1,000	$	949	$	3.39	0.69	%
Class B	$	1,000	$	948	$	4.24	0.87	%
Institutional Class	$	1,000	$	950	$	1.73	0.35	%
Hypothetical^**
Class A	$	1,000	$	1,022	$	3.52	0.69	%
Class B	$	1,000	$	1,021	$	4.40	0.87	%
Institutional Class	$	1,000	$	1,023	$	1.79	0.35	%
Thrivent Money Market Fund
Actual
Class A	$	1,000	$	1,012	$	2.75	0.54	%
Class B	$	1,000	$	1,010	$	5.10	1.01	%
Institutional Class	$	1,000	$	1,013	$	1.76	0.35	%
Hypothetical^**
Class A	$	1,000	$	1,022	$	2.77	0.54	%
Class B	$	1,000	$	1,020	$	5.13	1.01	%
Institutional Class	$	1,000	$	1,023	$	1.77	0.35	%

*	Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 184/366 to reflect the one-half year period.

**	Assuming 5% total return before expenses.

LOGO

PricewaterhouseCoopers LLP

225 South Sixth Street

Suite 1400

Minneapolis, MN 55402

Telephone (612) 596 6000

Report of Independent Registered Public Accounting Firm

To the Shareholders and Trustees of the Thrivent Mutual Funds:

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 the Thrivent Aggressive Allocation Fund, Thrivent Moderately Aggressive Allocation Fund, Thrivent Moderate Allocation Fund, Thrivent Moderately Conservative Allocation Fund, Thrivent Technology Fund, Thrivent Partner Small Cap Growth Fund, Thrivent Partner Small Cap Value Fund, Thrivent Small Cap Stock Fund, Thrivent Small Cap Index Fund, Thrivent Mid Cap Growth Fund, Thrivent Partner Mid Cap Value Fund, Thrivent Mid Cap Stock Fund, Thrivent Mid Cap Index Fund, Thrivent Partner Worldwide Allocation Fund, Thrivent Partner International Stock Fund, Thrivent Large Cap Growth Fund, Thrivent Large Cap Value Fund, Thrivent Large Cap Stock Fund, Thrivent Large Cap Index Fund, Thrivent Balanced Fund, Thrivent High Yield Fund, Thrivent Municipal Bond Fund, Thrivent Income Fund, Thrivent Core Bond Fund, Thrivent Limited Maturity Bond Fund, and Thrivent Money Market Fund (twenty-six of the Thrivent Mutual Funds, hereafter referred to as the “Funds”) at October 31, 2008, the results of each of their operations, changes in each of their net assets and their financial highlights for each of the periods presented, 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 Funds’ 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 October 31, 2008 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

LOGO

December 16, 2008

Aggressive Allocation Fund

Schedule of Investments as of October 31, 2008


Shares	Mutual Funds (96.8%)	Value
Equity Mutual Funds (88.4%)
777,887	Thrivent Real Estate Securities Fund	$	5,624,127
3,499,382	Thrivent Partner Small Cap Growth Fund^a		27,260,188
813,965	Thrivent Partner Small Cap Value Fund		9,385,012
2,620,284	Thrivent Small Cap Stock Fund^a		29,949,849
1,610,743	Thrivent Mid Cap Growth Fund^a,b		18,104,754
1,528,778	Thrivent Partner Mid Cap Value Fund		12,107,922
2,962,730	Thrivent Mid Cap Stock Fund		28,856,990
165,514	Thrivent Partner Worldwide Allocation Fund^a,b		1,009,633
5,829,416	Thrivent Partner International Stock Fund		44,711,623
11,510,159	Thrivent Large Cap Growth Fund^b		45,350,028
2,534,047	Thrivent Large Cap Value Fund		28,355,981
1,358,355	Thrivent Large Cap Stock Fund		24,233,056
430,087	Thrivent Equity Income Plus Fund		3,182,645

	Total Equity Mutual Funds		278,131,808

Fixed Income Mutual Funds (8.4%)
1,985,256	Thrivent High Yield Fund^b		7,127,068
1,594,454	Thrivent Income Fund		11,017,674
717,254	Thrivent Limited Maturity Bond Fund		8,176,698

	Total Fixed Income Mutual Funds		26,321,440

	Total Mutual Funds (cost $449,907,911)		304,453,248


Shares or Principal Amount	Short-Term Investments (3.2%)^c
	Federal Home Loan Bank Discount Notes
350,000	1.114%, 12/8/2008^d		349,599
600,000	1.290%, 12/10/2008^d		599,162
	Federal Home Loan Mortgage Corporation Discount Notes
100,000	1.350%, 12/8/2008^d		99,861
	Federal National Mortgage Association Discount Notes
200,000	2.100%, 12/10/2008^d		199,550
100,000	0.500%, 12/15/2008^d		99,939
8,732,303	Thrivent Money Market Fund		8,732,303

	Total Short-Term Investments (at amortized cost)		10,080,414

	Total Investments (cost $459,988,325) 100.0%	$	314,533,662

	Other Assets and Liabilities, Net 0.0%		70,976

	Total Net Assets 100.0%	$	314,604,638

a	Non-income producing security.

b	At October 31, 2008, $20,705,756 of investments were earmarked to cover open financial futures contracts.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

d	At October 31, 2008, $1,348,111 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	—
Gross unrealized depreciation		(147,166,218	)

Net unrealized appreciation (depreciation)		($147,166,218	)
Cost for federal income tax purposes	$	461,699,880

The accompanying Notes to Financial Statements are an integral part of this schedule.

Aggressive Allocation Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
E-Mini MSCI EAFE Index Futures	29	December 2008	$	1,716,012	$	1,848,460	$	132,448
Russell 2000 Index Futures	12	December 2008		3,336,306		3,219,000		(117,306	)
Russell 2000 Index Mini-Futures	17	December 2008		809,577		912,050		102,473
S&P 400 Index Mini-Futures	48	December 2008		2,530,558		2,728,320		197,762
S&P 500 Index Futures	12	December 2008		3,079,914		2,901,899		(178,015	)
Total Futures							$	137,362

Investment in Affiliates

Affiliated issuers, as defined under the Investment Company Act of 1940, include those in which the Fund’s holdings of an issuer represent 5% or more of the outstanding voting securities of an issuer, or any affiliated mutual fund.

A summary of transactions for the fiscal year to date, in Aggressive Allocation Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Real Estate Securities	$	—	$	9,513,647	$	1,548,050	777,887	$	5,624,127	$	154,683
Partner Small Cap Growth		23,656,064		19,388,412		81,271	3,499,382		27,260,188		—
Partner Small Cap Value		16,387,607		6,127,228		7,697,306	813,965		9,385,012		120,257
Small Cap Stock		28,805,358		19,793,883		351,588	2,620,284		29,949,849		—
Mid Cap Growth		14,357,962		15,486,377		928,964	1,610,743		18,104,754		—
Partner Mid Cap Value		12,785,858		6,769,078		473,673	1,528,778		12,107,922		136,808
Mid Cap Stock		28,154,410		23,007,885		733,049	2,962,730		28,856,990		151,483
Partner Worldwide Allocation		—		1,606,701		—	165,514		1,009,633		—
Partner International Stock		83,475,862		15,614,383		6,899,312	5,829,416		44,711,623		1,768,520
Large Cap Growth		83,941,207		14,888,615		16,386,877	11,510,159		45,350,028		337,633
Large Cap Value		26,603,331		17,248,453		813,911	2,534,047		28,355,981		487,995
Large Cap Stock		37,033,043		9,233,712		3,781,463	1,358,355		24,233,056		503,305
Equity Income Plus		—		4,158,001		—	430,087		3,182,645		54,195
High Yield		6,146,398		3,763,746		92,842	1,985,256		7,127,068		675,754
Income		20,745,356		5,090,920		12,100,538	1,594,454		11,017,674		897,166
Limited Maturity Bond		3,638,056		9,942,448		4,647,499	717,254		8,176,698		342,453
Money Market		5,177,999		23,931,658		20,377,354	8,732,303		8,732,303		56,093
Total Value and Dividend Income		390,908,511							313,185,551		5,686,345

The accompanying Notes to Financial Statements are an integral part of this schedule.

Moderately Aggressive Allocation Fund

Schedule of Investments as of October 31, 2008


Shares		Mutual Funds (96.4%)	Value
	Equity Mutual Funds (72.0%)
	3,308,233	Thrivent Real Estate Securities Fund	$	23,918,527
	3,006,540	Thrivent Partner Small Cap Growth Fund^a,b		23,420,948
	1,865,583	Thrivent Partner Small Cap Value Fund		21,510,166
	3,101,291	Thrivent Small Cap Stock Fund^a,b		35,447,751
	1,672,589	Thrivent Mid Cap Growth Fund^a,b		18,799,904
	3,731,505	Thrivent Partner Mid Cap Value Fund		29,553,521
	6,533,119	Thrivent Mid Cap Stock Fund		63,632,580
	2,417,646	Thrivent Partner Worldwide Allocation Fund^a		14,747,642
	9,855,447	Thrivent Partner International Stock Fund		75,591,277
	20,044,372	Thrivent Large Cap Growth Fund^b		78,974,825
	8,127,774	Thrivent Large Cap Value Fund		90,949,786
	3,310,681	Thrivent Large Cap Stock Fund		59,062,554
	1,026,857	Thrivent Equity Income Plus Fund^b		7,598,740

		Total Equity Mutual Funds		543,208,221

	Fixed Income Mutual Funds (24.4%)
	13,675,289	Thrivent High Yield Fund		49,094,286
	13,800,358	Thrivent Income Fund		95,360,477
	3,500,488	Thrivent Limited Maturity Bond Fund		39,905,562

		Total Fixed Income Mutual Funds		184,360,325

		Total Mutual Funds (cost $1,038,469,642)		727,568,546


Principal Amount		Long-Term Fixed Income (0.8%)
	Collateralized Mortgage Obligations (0.7%)
		Citigroup Mortgage Loan Trust, Inc.
	582,355	5.500%, 11/25/2035		517,307
		Citimortgage Alternative Loan Trust
	1,685,588	5.750%, 4/25/2037		1,208,663
		Countrywide Alternative Loan Trust
	464,896	6.000%, 1/25/2037		410,507
		Countrywide Home Loans
	1,733,810	5.750%, 4/25/2037		1,667,018
		Deutsche Alt-A Securities, Inc.
	464,885	5.500%, 10/25/2021		384,401
	746,775	6.000%, 10/25/2021		567,359
		J.P. Morgan Mortgage Trust
	444,682	6.043%, 10/25/2036		378,000
		Master Alternative Loans Trust
	414,342	6.500%, 7/25/2034		345,328
		Merrill Lynch Alternative Note Asset
	443,861	6.000%, 3/25/2037		310,258

		Total Collateralized Mortgage Obligations		5,788,841

	Commercial Mortgage-Backed Securities (0.1%)
		Greenwich Capital Commercial Funding Corporation
$	720,000	5.867%, 8/10/2017		436,384

		Total Commercial Mortgage-Backed Securities		436,384

		Total Long-Term Fixed Income (cost $6,086,408)		6,225,225


Shares or Principal Amount		Short-Term Investments (2.7%)^c
		Federal Home Loan Bank Discount Notes
	1,400,000	1.107%, 12/8/2008^d		1,398,407
	2,200,000	1.301%, 12/10/2008^d		2,196,900
		Federal Home Loan Mortgage Corporation Discount Notes
	100,000	1.350%, 12/8/2008^d		99,861
		Federal National Mortgage Association Discount Notes
	400,000	1.373%, 12/8/2008^d		399,436
	1,200,000	1.783%, 12/10/2008^d		1,197,695
	450,000	0.500%, 12/15/2008^d		449,725
	14,530,324	Thrivent Money Market Fund		14,530,324

		Total Short-Term Investments (at amortized cost)		20,272,348

		Total Investments (cost $1,064,828,398) 99.9%	$	754,066,119

		Other Assets and Liabilities, Net 0.1%		483,432

		Total Net Assets 100.0%	$	754,549,551

a	Non-income producing security.

b	At October 31, 2008, $67,808,740 of investments were earmarked to cover open financial futures contracts.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

d	At October 31, 2008, $5,742,024 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	331,584
Gross unrealized depreciation		(318,874,643	)

Net unrealized appreciation (depreciation)		($318,543,059	)
Cost for federal income tax purposes	$	1,072,609,178

The accompanying Notes to Financial Statements are an integral part of this schedule.

Moderately Aggressive Allocation Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
E-Mini MSCI EAFE Index Futures	100	December 2008	$	5,953,248	$	6,374,001	$	420,753
Russell 2000 Index Futures	39	December 2008		10,997,357		10,461,750		(535,607	)
Russell 2000 Index Mini-Futures	56	December 2008		2,669,872		3,004,400		334,528
S&P 400 Index Mini-Futures	166	December 2008		8,773,905		9,435,440		661,535
S&P 500 Index Futures	95	December 2008		24,228,327		22,973,375		(1,254,952	)
Total Futures								($373,743	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Moderately Aggressive Allocation Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Real Estate Securities	$	26,888,622	$	16,872,538	$	3,837,036	3,308,233	$	23,918,527	$	1,329,015
Partner Small Cap Growth		28,021,999		11,226,206		11,700	3,006,540		23,420,948		—
Partner Small Cap Value		17,345,976		14,422,214		1,527,226	1,865,583		21,510,166		136,546
Small Cap Stock		36,342,259		29,664,402		8,515,600	3,101,291		35,447,751		—
Mid Cap Growth		14,516,628		19,437,612		2,006,825	1,672,589		18,799,904		—
Partner Mid Cap Value		12,943,571		30,635,854		449,677	3,731,505		29,553,521		130,844
Mid Cap Stock		35,768,035		71,873,482		4,172,511	6,533,119		63,632,580		193,330
Partner Worldwide Allocation		—		23,899,001		—	2,417,646		14,747,642		—
Partner International Stock		131,867,007		33,250,111		11,681,935	9,855,447		75,591,277		2,748,887
Large Cap Growth		156,316,356		29,282,206		37,767,467	20,044,372		78,974,825		634,733
Large Cap Value		126,079,605		34,478,778		14,361,541	8,127,774		90,949,786		2,258,236
Large Cap Stock		134,579,716		33,595,964		51,817,233	3,310,681		59,062,554		1,838,298
Equity Income Plus		—		9,930,945		—	1,026,857		7,598,740		129,872
High Yield		17,443,177		49,274,227		212,985	13,675,289		49,094,286		4,184,900
Income		120,427,429		28,959,346		32,085,988	13,800,358		95,360,477		6,409,214
Limited Maturity Bond		35,165,853		23,928,346		15,291,853	3,500,488		39,905,562		1,895,565
Money Market		34,776,744		39,787,675		60,034,095	14,530,324		14,530,324		153,029
Total Value and Dividend Income		928,482,977							742,098,870		22,042,469

The accompanying Notes to Financial Statements are an integral part of this schedule.

Moderate Allocation Fund

Schedule of Investments as of October 31, 2008


Shares		Mutual Funds (95.3%)	Value
	Equity Mutual Funds (51.7%)
	3,250,479	Thrivent Real Estate Securities Fund	$	23,500,966
	1,762,110	Thrivent Partner Small Cap Growth Fund^a		13,726,837
	1,906,230	Thrivent Partner Small Cap Value Fund		21,978,826
	1,847,694	Thrivent Small Cap Stock Fund^a		21,119,143
	468,134	Thrivent Mid Cap Growth Fund^a,b		5,261,825
	2,499,667	Thrivent Partner Mid Cap Value Fund^b		19,797,365
	4,163,191	Thrivent Mid Cap Stock Fund		40,549,481
	1,790,857	Thrivent Partner Worldwide Allocation Fund^a		10,924,226
	6,778,117	Thrivent Partner International Stock Fund		51,988,160
	15,394,688	Thrivent Large Cap Growth Fund^b		60,655,070
	7,498,935	Thrivent Large Cap Value Fund		83,913,077
	2,027,860	Thrivent Large Cap Stock Fund		36,177,029
	1,004,848	Thrivent Equity Income Plus Fund^b		7,435,878

		Total Equity Mutual Funds		397,027,883

	Fixed Income Mutual Funds (43.6%)
	13,107,875	Thrivent High Yield Fund		47,057,270
	21,032,703	Thrivent Income Fund		145,335,978
	12,532,717	Thrivent Limited Maturity Bond Fund^b		142,872,969

		Total Fixed Income Mutual Funds		335,266,217

		Total Mutual Funds (cost $983,981,977)		732,294,100


Principal Amount		Long-Term Fixed Income (1.6%)
	Collateralized Mortgage Obligations (1.5%)
		Citigroup Mortgage Loan Trust, Inc.
	1,091,916	5.500%, 11/25/2035		969,950
		Citimortgage Alternative Loan Trust
	3,277,533	5.750%, 4/25/2037		2,350,178
		Countrywide Alternative Loan Trust
	871,679	6.000%, 1/25/2037		769,701
		Countrywide Home Loans
	3,467,620	5.750%, 4/25/2037		3,334,036
		Deutsche Alt-A Securities, Inc.
	871,659	5.500%, 10/25/2021		720,753
	1,493,550	6.000%, 10/25/2021		1,134,718
		J.P. Morgan Mortgage Trust
	833,779	6.043%, 10/25/2036		708,749
		Master Alternative Loans Trust
	779,938	6.500%, 7/25/2034		650,030
		Merrill Lynch Alternative Note Asset
	832,240	6.000%, 3/25/2037		581,733

		Total Collateralized Mortgage Obligations		11,219,848


		Long-Term Fixed Income (1.6%)
	Commercial Mortgage-Backed Securities (0.1%)
		Greenwich Capital Commercial Funding Corporation
$	1,350,000	5.867%, 8/10/2017		818,220

		Total Commercial Mortgage- Backed Securities		818,220

		Total Long-Term Fixed Income (cost $11,754,073)		12,038,068


Shares or Principal Amount		Short-Term Investments (3.0%)^c
		Federal Home Loan Bank Discount Notes
	1,900,000	1.118%, 12/8/2008^d		1,897,816
	2,100,000	1.240%, 12/10/2008^d		2,097,180
		Federal Home Loan Mortgage Corporation Discount Notes
	200,000	1.350%, 12/8/2008^d		199,723
		Federal National Mortgage Association Discount Notes
	1,500,000	1.233%, 12/8/2008^d		1,498,098
	1,400,000	1.671%, 12/10/2008^d		1,397,479
	700,000	0.500%, 12/15/2008^d		699,572
	15,094,595	Thrivent Money Market Fund		15,094,595

		Total Short-Term Investments (at amortized cost)		22,884,463

		Total Investments (cost $1,018,620,513) 99.9%	$	767,216,631

		Other Assets and Liabilities, Net 0.1%		791,869

		Total Net Assets 100.0%	$	768,008,500

a	Non-income producing security.

b	At October 31, 2008, $97,795,068 of investments were earmarked to cover open financial futures contracts.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

d	At October 31, 2008, $7,789,868 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	647,417
Gross unrealized depreciation		(258,654,611	)

Net unrealized appreciation (depreciation)		($258,007,194	)
Cost for federal income tax purposes	$	1,025,223,825

The accompanying Notes to Financial Statements are an integral part of this schedule.

Moderate Allocation Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
E-Mini MSCI EAFE Index Futures	129	December 2008	$	7,805,293	$	8,222,460	$	417,167
Russell 2000 Index Futures	52	December 2008		14,490,240		13,949,000		(541,240	)
Russell 2000 Index Mini-Futures	51	December 2008		2,435,973		2,736,150		300,177
S&P 400 Index Mini-Futures	244	December 2008		12,996,243		13,868,960		872,717
S&P 500 Index Futures	134	December 2008		33,745,813		32,404,550		(1,341,263	)
Total Futures								($292,442	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Moderate Allocation Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Real Estate Securities	$	27,497,973	$	15,428,222	$	3,559,070	3,250,479	$	23,500,966	$	1,357,360
Partner Small Cap Growth		12,738,369		9,508,263		8,939	1,762,110		13,726,837		—
Partner Small Cap Value		7,873,970		21,168,923		7,449	1,906,230		21,978,826		72,510
Small Cap Stock		13,688,783		18,609,897		539,711	1,847,694		21,119,143		—
Mid Cap Growth		9,142,524		3,476,170		2,062,266	468,134		5,261,825		—
Partner Mid Cap Value		8,162,828		23,771,561		2,402,381	2,499,667		19,797,365		104,578
Mid Cap Stock		25,365,467		46,358,583		4,345,586	4,163,191		40,549,481		138,473
Partner Worldwide Allocation		—		17,548,943		—	1,790,857		10,924,226		—
Partner International Stock		89,039,652		26,489,170		10,563,188	6,778,117		51,988,160		1,816,065
Large Cap Growth		125,248,551		28,838,685		38,047,491	15,394,688		60,655,070		514,304
Large Cap Value		85,137,182		44,628,270		1,150,984	7,498,935		83,913,077		1,561,742
Large Cap Stock		102,328,711		31,063,951		55,656,092	2,027,860		36,177,029		1,422,711
Equity Income Plus		—		9,709,534		—	1,004,848		7,435,878		126,664
High Yield		16,919,546		47,251,539		392,693	13,107,875		47,057,270		4,032,372
Income		165,062,023		42,788,526		28,957,532	21,032,703		145,335,978		9,581,051
Limited Maturity Bond		115,714,654		44,172,507		3,160,643	12,532,717		142,872,969		6,534,318
Money Market		67,606,196		50,620,566		103,132,167	15,094,595		15,094,595		816,261
Total Value and Dividend Income		871,526,429							747,388,695		28,078,409

The accompanying Notes to Financial Statements are an integral part of this schedule.

Moderately Conservative Allocation Fund

Schedule of Investments as of October 31, 2008


Shares		Mutual Funds (91.4%)	Value
	Equity Mutual Funds (31.8%)
	756,287	Thrivent Real Estate Securities Fund	$	5,467,954
	518,714	Thrivent Partner Small Cap Value Fund		5,980,770
	738,867	Thrivent Small Cap Stock Fund^a,b		8,445,246
	991,419	Thrivent Partner Mid Cap Value Fund		7,852,042
	1,056,492	Thrivent Mid Cap Stock Fund^b		10,290,228
	544,124	Thrivent Partner Worldwide Allocation Fund^a		3,319,158
	1,627,658	Thrivent Partner International Stock Fund		12,484,133
	3,512,229	Thrivent Large Cap Growth Fund^b		13,838,184
	2,417,191	Thrivent Large Cap Value Fund		27,048,365
	337,984	Thrivent Large Cap Stock Fund		6,029,642
	399,750	Thrivent Equity Income Plus Fund^b		2,958,153

		Total Equity Mutual Funds		103,713,875

	Fixed Income Mutual Funds (59.6%)
	4,203,615	Thrivent High Yield Fund		15,090,979
	5,978,239	Thrivent Income Fund^b		41,309,632
	12,077,850	Thrivent Limited Maturity Bond Fund		137,687,487

		Total Fixed Income Mutual Funds		194,088,098

		Total Mutual Funds (cost $372,310,095)		297,801,973


Principal Amount		Long-Term Fixed Income (1.9%)
	Collateralized Mortgage Obligations (1.8%)
		Citigroup Mortgage Loan Trust, Inc.
	582,355	5.500%, 11/25/2035		517,307
		Citimortgage Alternative Loan Trust
	1,685,588	5.750%, 4/25/2037		1,208,663
		Countrywide Alternative Loan Trust
	464,896	6.000%, 1/25/2037		410,507
		Countrywide Home Loans
	1,733,810	5.750%, 4/25/2037		1,667,018
		Deutsche Alt-A Securities, Inc.
	464,885	5.500%, 10/25/2021		384,402
	814,664	6.000%, 10/25/2021		618,937
		J.P. Morgan Mortgage Trust
	444,682	6.043%, 10/25/2036		378,000
		Master Alternative Loans Trust
	414,342	6.500%, 7/25/2034		345,328
		Merrill Lynch Alternative Note Asset
	443,861	6.000%, 3/25/2037		310,258

		Total Collateralized Mortgage Obligations		5,840,420

	Commercial Mortgage-Backed Securities (0.1%)
		Greenwich Capital Commercial Funding Corporation
$	720,000	5.867%, 8/10/2017		436,384

		Total Commercial Mortgage-Backed Securities		436,384

		Total Long-Term Fixed Income (cost $6,139,393)		6,276,804


Shares or Principal Amount		Short-Term Investments (6.6%)^c
		Federal Home Loan Bank Discount Notes
	1,970,000	1.000%, 11/10/2008		1,969,508
	1,150,000	1.120%, 12/8/2008^d		1,148,677
	1,300,000	1.273%, 12/10/2008^d		1,298,206
		Federal Home Loan Mortgage Corporation Discount Notes
	500,000	1.350%, 12/8/2008^d		499,306
		Federal National Mortgage Association Discount Notes
	300,000	2.167%, 12/10/2008^d		299,301
	200,000	0.500%, 12/15/2008^d		199,878
	15,848,508	Thrivent Money Market Fund		15,848,508

		Total Short-Term Investments (cost $21,263,385)		21,263,384

		Total Investments (cost $399,712,873) 99.9%	$	325,342,161

		Other Assets and Liabilities, Net 0.1%		421,190

		Total Net Assets 100.0%	$	325,763,351

a	Non-income producing security.

b	At October 31, 2008, $45,363,627 of investments were earmarked to cover open financial futures contracts.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

d	At October 31, 2008, $3,445,368 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	331,618
Gross unrealized depreciation		(75,603,919	)

Net unrealized appreciation (depreciation)		($75,272,301	)
Cost for federal income tax purposes	$	400,614,462

The accompanying Notes to Financial Statements are an integral part of this schedule.

Moderately Conservative Allocation Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
E-Mini MSCI EAFE Index Futures	58	December 2008	$	3,489,188	$	3,696,920	$	207,732
Russell 2000 Index Futures	25	December 2008		7,516,389		6,706,250		(810,139	)
Russell 2000 Index Mini-Futures	27	December 2008		1,287,834		1,448,550		160,716
S&P 400 Index Mini-Futures	105	December 2008		5,577,364		5,968,200		390,836
S&P 500 Index Futures	56	December 2008		14,363,581		13,542,199		(821,382	)
Total Futures								($872,237	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Moderately Conservative Allocation Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Real Estate Securities	$	9,938,388	$	6,896,306	$	6,685,833	756,287	$	5,467,954	$	527,550
Partner Small Cap Value		—		7,321,290		—	518,714		5,980,770		—
Small Cap Stock		9,460,435		5,160,437		342,870	738,867		8,445,246		—
Partner Mid Cap Value		—		10,322,013		—	991,419		7,852,042		—
Mid Cap Stock		6,162,564		12,196,706		1,059,331	1,056,492		10,290,228		38,714
Partner Worldwide Allocation		—		5,377,257		—	544,124		3,319,158		—
Partner International Stock		19,441,529		9,221,521		4,024,305	1,627,658		12,484,133		374,929
Large Cap Growth		31,007,166		9,715,282		13,014,800	3,512,229		13,838,184		129,943
Large Cap Value		20,141,951		20,677,076		683,761	2,417,191		27,048,365		387,726
Large Cap Stock		24,428,983		9,813,985		19,084,963	337,984		6,029,642		349,430
Equity Income Plus		—		3,865,901		—	399,750		2,958,153		50,505
High Yield		6,431,168		14,386,318		361,800	4,203,615		15,090,979		1,278,419
Income		46,785,979		16,243,588		11,934,271	5,978,239		41,309,632		2,834,644
Limited Maturity Bond		109,406,366		48,230,515		6,741,164	12,077,850		137,687,487		6,174,816
Money Market		32,162,304		44,793,699		61,107,495	15,848,508		15,848,508		602,284
Total Value and Dividend
Income		315,366,833							313,650,481		12,748,960

The accompanying Notes to Financial Statements are an integral part of this schedule.

Technology Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (91.6%)	Value
Communications Equipment (7.1%)
36,800	Cisco Systems, Inc.^a	$	653,936
10,900	Polycom, Inc.^a		229,009
15,700	QUALCOMM, Inc.		600,682

	Total Communications Equipment		1,483,627

Computers & Peripherals (17.9%)
7,900	Apple, Inc.^a		849,961
184,200	EMC Corporation^a		2,169,876
7,600	International Business Machines Corporation		706,572

	Total Computers & Peripherals		3,726,409

Electronic Equipment & Instruments (2.3%)
254,000	China High Speed Transmission Equipment Group Company, Ltd.		201,778
59,000	Comverge, Inc.^a,b		267,860

	Total Electronic Equipment & Instruments		469,638

Financials (8.6%)
57,400	Financial Select Sector SPDR Fund		889,700
31,500	SPDR KBW Bank ETF		909,720

	Total Financials		1,799,420

Health Care (3.7%)
1,700	Alcon, Inc.		149,804
10,400	BioMarin Pharmaceutical, Inc.^a,b		190,528
6,300	Novartis AG ADR		321,237
1,400	Roche Holding AG ADR		106,120

	Total Health Care		767,689

Industrials (5.0%)
11,000	American Superconductor Corporation^a,b		137,610
2,400	First Solar, Inc.^a		344,880
165,500	Hansen Transmissions International NV^a		277,600
32	Japan Wind Development Company, Ltd.		59,565
25,900	Polypore International, Inc.^a		220,927

	Total Industrials		1,040,582

Internet Software & Services (5.0%)
2,300	Google, Inc.^a		826,528
16,300	Yahoo!, Inc.^a		208,966

	Total Internet Software & Services		1,035,494

Semiconductors & Semiconductor Equipment (20.5%)
28,100	ASML Holding NV ADR		493,155
135,100	Atmel Corporation^a		560,665
54,900	EMCORE Corporation^a,b		195,444
53,900	FormFactor, Inc.^a		938,938
13,700	International Rectifier Corporation^a		211,528
18,200	Lam Research Corporation^a		406,952
17,700	MEMC Electronic Materials, Inc.^a		325,326
41,800	PMC-Sierra, Inc.^a		195,624
183,600	Teradyne, Inc.^a		936,360

	Total Semiconductors & Semiconductor Equipment		4,263,992

Software (20.2%)
19,200	BMC Software, Inc.^a		495,744
25,800	Check Point Software Technologies, Ltd.^a		521,676
15,100	Citrix Systems, Inc.^a		389,127
16,800	McAfee, Inc.^a		546,840
43,400	Oracle Corporation^a		793,786
40,700	Quest Software, Inc.^a		539,275
32,200	Synopsys, Inc.^a		588,616
10,600	VMware, Inc.^a,b		328,600

	Total Software		4,203,664

Telecommunications Services (1.3%)
17,000	NTT DoCoMo, Inc. ADR^b		263,500

	Total Telecommunications Services		263,500

	Total Common Stock (cost $24,345,979)		19,054,015


	Collateral Held for Securities Loaned (8.2%)^c
1,705,385	Thrivent Financial Securities Lending Trust		1,705,385

	Total Collateral Held for Securities Loaned (cost $1,705,385)		1,705,385

	Short-Term Investments (7.8%)^c
1,613,891	Thrivent Money Market Fund		1,613,891

	Total Short-Term Investments (at amortized cost)		1,613,891

	Total Investments (cost $27,665,255) 107.6%	$	22,373,291

	Other Assets and Liabilities, Net (7.6%)		(1,574,852	)

	Total Net Assets 100.0%	$	20,798,439

a	Non-income producing security.

b	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

Definitions:


ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.
ETF	-	Exchange Traded Fund.

The accompanying Notes to Financial Statements are an integral part of this schedule.

Technology Fund

Schedule of Investments as of October 31, 2008

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	559,979
Gross unrealized depreciation		(6,657,460	)

Net unrealized appreciation (depreciation)		($6,097,481	)
Cost for federal income tax purposes	$	28,470,772


Foreign Currency Forward Contracts	Contracts to Deliver/Receive	Settlement Date	Value on Settlement Date		Value		Unrealized Gain/(Loss)
Purchases
British Pound	81,903	11/03/2008 - 11/05/2008	$	135,149	$	131,805	($3,344	)
Total Foreign Currency
Forward Contracts Purchases			$	135,149	$	131,805	($3,344	)
Net Unrealized Gain/(Loss) on Foreign Currency Forward Contracts							($3,344	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Technology Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	1,246,466	$	30,252,657	$	29,885,232	1,613,891	$	1,613,891	$	54,888
Thrivent Financial Securities Lending Trust		3,005,900		44,996,991		46,297,506	1,705,385		1,705,385		102,252
Total Value and Dividend Income		4,252,366							3,319,276		157,140

The accompanying Notes to Financial Statements are an integral part of this schedule.

Partner Small Cap Growth Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (90.3%)	Value
Consumer Discretionary (11.6%)
14,850	Aeropostale, Inc.^a	$	359,518
9,345	Buckle, Inc.^b		246,147
15,080	Capella Education Company^a		714,792
39,180	Centex Corporation		479,955
100,110	Chico’s FAS, Inc.^a,c		340,374
22,990	Collective Brands, Inc.^a		294,042
9,110	Deckers Outdoor Corporation^a		773,075
28,200	Gymboree Corporation^a		729,252
32,680	Hibbett Sports, Inc.^a,c		582,031
32,020	Interactive Data Corporation		755,032
45,480	LKQ Corporation^a		520,291
35,740	Lululemon Athletica, Inc.^a,c		506,436
27,260	True Religion Apparel, Inc.^a		456,605
23,730	Warnaco Group, Inc.^a		707,391
45,920	WMS Industries, Inc.^a		1,148,000

	Total Consumer Discretionary		8,612,941

Consumer Staples (2.2%)
21,755	Flowers Foods, Inc.		645,036
19,270	Green Mountain Coffee Roasters, Inc.^a,c		558,637
14,910	TreeHouse Foods, Inc.^a		451,177

	Total Consumer Staples		1,654,850

Energy (6.6%)
23,110	Arena Resources, Inc.^a		704,393
14,860	Atwood Oceanics, Inc.^a,c		408,353
8,180	Carbo Ceramics, Inc.^c		353,948
23,640	Complete Production Services, Inc.^a		292,900
23,440	Concho Resources, Inc.^a		498,100
10,560	Core Laboratories NV^c		778,272
16,290	Goodrich Petroleum Corporation^a,c		452,210
7,310	Lufkin Industries, Inc.		382,459
16,890	Penn Virginia Corporation		627,801
25,730	Willbros Group, Inc.^a,c		398,558

	Total Energy		4,896,994

Financials (4.9%)
18,350	Digital Realty Trust, Inc.^b		614,358
21,010	Dime Community Bancshares		350,867
4,490	Greenhill & Company, Inc.^c		296,205
9,750	Home Properties, Inc.^c		394,777
18,800	PrivateBancorp, Inc.^c		676,988
8,890	Prosperity Bancshares, Inc.		295,237
35,020	Riskmetrics Group, Inc.^a,c		539,658
13,650	Tanger Factory Outlet Centers, Inc.^c		493,721

	Total Financials		3,661,811

Health Care (21.3%)
21,890	Acorda Therapeutics, Inc.^a,c		446,556
22,870	Alexion Pharmaceuticals, Inc.^a,b		931,953
29,240	Amedisys, Inc.^a,c		1,649,428
17,900	Auxilium Pharmaceuticals, Inc.^a		351,735
11,450	Cougar Biotechnology, Inc.^a		290,830
26,830	Eclipsys Corporation^a		398,426
25,840	Endo Pharmaceutical Holdings, Inc.^a		478,040
20,000	Haemonetics Corporation^a		1,181,200
20,820	ICON plc ADR^a		528,203
12,840	Myriad Genetics, Inc.^a		810,076
25,310	NuVasive, Inc.^a,c		1,191,848
18,830	Onyx Pharmaceuticals, Inc.^a		508,033
17,680	OSI Pharmaceuticals, Inc.^a,c		670,956
50,220	PAREXEL International Corporation^a		522,288
12,250	Perrigo Company		416,500
21,480	Psychiatric Solutions, Inc.^a,c		715,069
43,250	Thoratec Corporation^a		1,064,815
15,300	United Therapeutics Corporation^a,c		1,334,619
21,160	West Pharmaceutical Services, Inc.^c		844,707
37,800	Wright Medical Group, Inc.^a,c		876,204
15,290	Xenoport, Inc.^a		636,217

	Total Health Care		15,847,703

Industrials (17.5%)
2,600	Actuant Corporation		46,618
38,610	Aecom Technology Corporation^a,b		680,694
11,730	Clean Harbors, Inc.^a		769,136
8,690	Energy Conversion Devices, Inc.^a,b,c		296,676
12,450	ESCO Technologies, Inc.^a		429,525
18,900	Genesee & Wyoming, Inc.^a,b		630,315
20,180	Huron Consulting Group, Inc.^a		1,097,187
71,780	Kforce, Inc.^a		564,909
19,140	Landstar System, Inc.		738,613
8,730	Lindsay Manufacturing Company^c		415,373
47,530	Mobile Mini, Inc.^a,c		798,504
37,550	Navigant Consulting, Inc.^a		607,183
37,010	Orbital Sciences Corporation^a,c		758,335
20,480	RBC Bearings, Inc.^a		485,990
13,640	Teledyne Technologies, Inc.^a		621,575
28,640	Tetra Tech, Inc.^a		629,794
20,810	UAL Corporation		302,993
7,960	Valmont Industries, Inc.		436,049
24,760	Wabtec Corporation		984,458
20,340	Waste Connections, Inc.^a		688,509
5,920	Watsco, Inc.		243,253
23,480	Woodward Governor Company		753,708

	Total Industrials		12,979,397

Information Technology (20.9%)
41,320	Ariba, Inc.^a		442,124
30,990	AsiaInfo Holdings, Inc.^a		340,580
46,520	Atheros Communications, Inc.^a,b,c		835,964
38,180	Cavium Networks, Inc.^a,c		486,413
19,430	Comscore, Inc.^a		237,046
28,030	Concur Technologies, Inc.^a		707,197
29,690	F5 Networks, Inc.^a		736,906
13,010	Gartner, Inc.^a		239,384
31,730	Interwoven, Inc.^a		400,115
36,820	Microsemi Corporation^a		800,467
41,350	Monolithic Power Systems, Inc.^a		702,537
27,240	Net 1 UEPS Technology, Inc.^a		381,360
64,710	Novellus Systems, Inc.^a		1,022,418
58,040	Omniture, Inc.^a,c		667,460
44,000	Plexus Corporation^a		821,040
135,550	PMC-Sierra, Inc.^a		634,374
51,810	Polycom, Inc.^a		1,088,528

The accompanying Notes to Financial Statements are an integral part of this schedule.

Partner Small Cap Growth Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (90.3%)	Value
Information Technology (20.9%) - continued
55,180	Riverbed Technology, Inc.^a	$	691,406
29,580	Sybase, Inc.^a		787,715
15,700	Synaptics, Inc.^a,c		484,973
39,290	Taleo Corporation^a		542,202
47,110	TiVo, Inc.^a,c		323,646
11,900	Varian Semiconductor Equipment Associates, Inc.^a		233,478
21,690	Verigy, Ltd.^a		314,505
31,190	VistaPrint, Ltd.^a,c		532,413
27,130	Vocus, Inc.^a		456,598
31,580	Websense, Inc.^a		616,442

	Total Information Technology		15,527,291

Materials (3.3%)
17,550	Cabot Corporation		464,198
9,840	Compass Minerals International, Inc.		540,511
22,480	Koppers Holdings, Inc.		534,799
30,850	Olin Corporation		560,236
39,960	Solutia, Inc.^a,c		385,214

	Total Materials		2,484,958

Telecommunications Services (0.8%)
10,690	NTELOS Holdings Corporation		277,940
34,120	Premiere Global Services, Inc.^a		339,494

	Total Telecommunications Services		617,434

Utilities (1.2%)
21,010	ITC Holdings Corporation		852,586

	Total Utilities		852,586

	Total Common Stock (cost $83,484,162)		67,135,965


	Collateral Held for Securities Loaned (18.9%)^d
14,040,435	Thrivent Financial Securities Lending Trust		14,040,435

	Total Collateral Held for Securities Loaned (cost $14,040,435)		14,040,435


Shares or Principal Amount	Short-Term Investments (10.3%)^d
100,000	Federal Home Loan Bank Discount Notes 2.250%, 12/10/2008^e		99,756
500,000	Federal National Mortgage Association Discount Notes 2.152%, 12/10/2008^e		498,837
7,042,556	Thrivent Money Market Fund		7,042,556

	Total Short-Term Investments (at amortized cost)		7,641,149

	Total Investments (cost $105,165,746) 119.5%	$	88,817,549

	Other Assets and Liabilities, Net (19.5%)		(14,523,887	)

	Total Net Assets 100.0%	$	74,293,662

a	Non-income producing security.

b	At October 31, 2008, $3,674,763 of investments were earmarked to cover open financial futures contracts.

c	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

d	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

e	At October 31, 2008, $498,826 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Definitions:


ADR		-		American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	1,356,486
Gross unrealized depreciation		(18,175,552	)

Net unrealized appreciation (depreciation)		($16,819,066	)
Cost for federal income tax purposes	$	105,636,615

The accompanying Notes to Financial Statements are an integral part of this schedule.

Partner Small Cap Growth Fund

Schedule of Investments as of October 31, 2008


Futures	Numberof Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
Russell 2000 Index Mini-Futures	74	December 2008	$	4,746,110	$	3,970,100	($	776,010	)
Total Futures							($	776,010	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Partner Small Cap Growth Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	1,200,706	$	56,469,032	$	50,627,182	7,042,556	$	7,042,556	$	102,423
Thrivent Financial Securities Lending Trust		25,651,383		86,523,886		98,134,834	14,040,435		14,040,435		314,820
Total Value and Dividend Income		26,852,089							21,082,991		417,243

Partner Small Cap Value Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (95.5%)	Value
Consumer Discretionary (12.2%)
110,000	Aaron Rents, Inc.	$	2,726,900
35,300	Cavco Industries, Inc.^a		1,201,259
52,000	Corinthian Colleges, Inc.^a,b		742,560
32,300	CSS Industries, Inc.		717,060
54,400	Dixie Group, Inc.^a		223,040
44,000	Dorman Products, Inc.^a		495,000
66,800	Drew Industries, Inc.^a,b		808,280
48,000	Fred’s, Inc.		588,000
58,000	Haverty Furniture Companies, Inc.		570,720
11,300	Lee Enterprises, Inc.^b		28,250
35,500	M/I Homes, Inc.^b		483,155
44,500	MarineMax, Inc.^a,b		103,240
28,800	Matthews International Corporation		1,285,344
57,300	Men’s Wearhouse, Inc.^b		876,117
57,000	Meritage Homes Corporation^a,b		782,610
54,200	Orient Express Hotels, Ltd.^b		666,660
48,500	Pool Corporation^b		844,385
51,900	Saga Communications, Inc.^a		277,665
100,000	Shiloh Industries, Inc.		501,000
37,200	Stanley Furniture Company, Inc.^b		366,048
48,000	Steak n Shake Company^a		247,200
105,000	Stein Mart, Inc.^b		225,750
34,700	Steven Madden, Ltd.^a		755,766
78,000	Winnebago Industries, Inc.^b		463,320

	Total Consumer Discretionary		15,979,329

Consumer Staples (2.2%)
189,000	Alliance One International, Inc.^a		631,260
32,100	Casey’s General Stores, Inc.^b		969,420
31,300	Nash Finch Company		1,234,159

	Total Consumer Staples		2,834,839

Energy (5.3%)
10,000	Atwood Oceanics, Inc.^a,b		274,800
32,500	Carbo Ceramics, Inc.^b		1,406,275
46,500	Hercules Offshore, Inc.^a,b		338,985
140,000	Mariner Energy, Inc.^a		2,014,600
122,200	NGAS Resources, Inc.^a,b		384,930
41,000	TETRA Technologies, Inc.^a		285,360
43,500	Whiting Petroleum Corporation^a		2,261,565

	Total Energy		6,966,515

Financials (19.8%)
132,500	Ares Capital Corporation		1,041,450
48,000	Cascade Bancorp^b		457,920
92,000	Cedar Shopping Centers, Inc.		879,520
86,000	East West Bancorp, Inc.^b		1,492,100
27,000	Employers Holdings, Inc.		344,520
85,000	First Opportunity Fund, Inc.		481,950
61,000	Glacier Bancorp, Inc.^b		1,230,370
51,000	Gladstone Capital Corporation^b		607,410
51,000	Hatteras Financial Corporation^b		1,111,800
85,000	Hercules Technology Growth Capital, Inc.^b		737,800
43,800	Home Bancshares, Inc.^b		1,140,552
13,000	iShares Russell 2000 Value Fund^b		685,360
40,800	JMP Group, Inc.^b		208,080
70,500	Kite Realty Group Trust		428,640
43,500	LaSalle Hotel Properties^b		612,480
2,850	Markel Corporation^a		999,894
67,700	Max Re Capital, Ltd.		1,079,815
67,000	Meadowbrook Insurance Group, Inc.		353,090
41,700	National Interstate Corporation^b		729,750
25,200	Parkway Properties, Inc.^b		434,700
115,000	PennantPark Investment Corporation		525,550
25,500	Piper Jaffray Companies^a		1,005,975
44,500	Potlatch Corporation^b		1,477,845
53,500	ProAssurance Corporation^a,b		2,939,824
34,000	Provident Bankshares Corporation^b		362,780
24,500	Redwood Trust, Inc.^b		373,380
38,000	Sandy Spring Bancorp, Inc.^b		815,860
39,900	Seabright Insurance Holdings^a		417,354
86,000	Strategic Hotel Capital, Inc.^b		425,700
30,500	SVB Financial Group^a		1,569,225
37,000	Wintrust Financial Corporation^b		947,200

	Total Financials		25,917,894

Health Care (6.1%)
12,000	Analogic Corporation		529,920
30,000	Angiodynamics, Inc.^a		378,000
5,100	Atrion Corporation		504,696
290,000	Lexicon Pharmaceuticals, Inc.^a,b		455,300
72,500	Momenta Pharmaceuticals, Inc.^a,b		660,475
24,300	National Healthcare Corporation^b		996,543
58,000	Owens & Minor, Inc.		2,509,660
48,900	Triple-S Management Corporation^a,b		499,269
36,400	West Pharmaceutical Services, Inc.^b		1,453,088

	Total Health Care		7,986,951

Industrials (24.6%)
87,200	Accuride Corporation^a,b		27,904
60,000	Alaska Air Group, Inc.^a		1,482,000
20,800	Ameron International Corporation		977,600
34,700	Applied Industrial Technologies, Inc.		700,593
24,000	Astec Industries, Inc.^a		610,080
110,000	Beacon Roofing Supply, Inc.^a,b		1,504,800
40,000	Belden, Inc.^b		833,600
53,500	C&D Technologies, Inc.^a,b		187,250
23,000	Cascade Corporation^b		759,230
33,500	Circor International, Inc.		1,026,775
68,000	Comfort Systems USA, Inc.		634,440
28,000	Courier Corporation		487,480
51,600	Dollar Thrifty Automotive Group, Inc.^a,b		83,592
11,600	Franklin Electric Company, Inc.^b		489,056
16,200	FTI Consulting, Inc.^a		943,650
42,500	G & K Services, Inc.		960,075
46,800	Genesee & Wyoming, Inc.^a		1,560,780
60,200	Gibraltar Industries, Inc.		797,650
35,000	Greenbrier Companies, Inc.^b		288,750
45,500	Hub Group, Inc.^a		1,430,975
43,200	IDEX Corporation		1,001,376
61,000	Insituform Technologies, Inc.^a,b		819,230
29,500	Kaman Corporation		753,135
135,500	Kforce, Inc.^a		1,066,385

The accompanying Notes to Financial Statements are an integral part of this schedule.

Partner Small Cap Value Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (95.5%)	Value
Industrials (24.6%) - continued
47,500	Kirby Corporation^a	$	1,630,200
285,000	Kratos Defense & Security Solutions, Inc.^a		421,800
62,500	McGrath Rentcorp		1,421,250
147,500	MPS Group, Inc.^a		1,149,025
41,600	Navigant Consulting, Inc.^a		672,672
37,400	Nordson Corporation		1,381,182
18,800	School Specialty, Inc.^a,b		394,800
56,000	Sterling Construction Company, Inc.^a		739,760
35,200	Universal Forest Products, Inc.		832,480
105,000	Vitran Corporation, Inc.^a		933,450
37,800	Waste Connections, Inc.^a		1,279,530
58,000	Woodward Governor Company		1,861,800

	Total Industrials		32,144,355

Information Technology (10.1%)
145,000	Acme Packet, Inc.^a,b		687,300
93,000	Advanced Energy Industries, Inc.^a		992,310
87,000	Ariba, Inc.^a,b		930,900
27,000	ATMI, Inc.^a		328,320
72,000	Brooks Automation, Inc.^a		493,200
19,600	Cabot Microelectronics Corporation^a		563,108
54,800	Catapult Communications Corporation^a		233,996
38,000	Cymer, Inc.^a		929,860
71,700	Electro Rent Corporation		859,683
114,000	GSI Group, Inc.^a		220,020
32,000	Littelfuse, Inc.^a		597,120
56,000	Methode Electronics, Inc.		425,040
93,000	Palm, Inc.^a,b		371,070
65,500	Progress Software Corporation^a		1,502,570
540,000	Safeguard Scientifics, Inc.^a		421,200
48,500	SPSS, Inc.^a		1,132,960
30,000	Standard Microsystems Corporation^a		540,300
54,900	StarTek, Inc.^a		181,719
66,000	Symyx Technologies, Inc.^a		291,060
49,700	Synnex Corporation^a		766,871
60,000	Vignette Corporation^a		487,200
37,000	Xyratex, Ltd. ADR^a		207,200
311,100	Zarlink Semiconductor, Inc.^a,b		82,442

	Total Information Technology		13,245,449

Materials (8.7%)
32,400	Airgas, Inc.		1,242,864
47,000	AMCOL International Corporation^b		1,152,910
71,500	American Vanguard Corporation^b		1,046,045
60,600	AptarGroup, Inc.		1,837,392
44,500	Arch Chemicals, Inc.		1,262,465
43,700	Carpenter Technology Corporation		790,970
9,900	Deltic Timber Corporation		450,945
42,000	Innospec, Inc.		367,500
18,400	Minerals Technologies, Inc.		1,044,384
102,000	Myers Industries, Inc.^b		1,078,140
121,000	Wausau Paper Corporation		1,120,460

	Total Materials		11,394,075

Telecommunications Services (0.6%)
85,000	Premiere Global Services, Inc.^a		845,750

	Total Telecommunications Services		845,750

Utilities (5.9%)
54,500	Black Hills Corporation		1,376,125
77,500	Cleco Corporation^b		1,783,275
47,700	El Paso Electric Company^a		883,404
30,000	Empire District Electric Company^b		576,300
48,500	Southwest Gas Corporation		1,266,820
34,500	UniSource Energy Corporation		951,510
35,000	Vectren Corporation		882,000

	Total Utilities		7,719,434

	Total Common Stock (cost $154,965,051)		125,034,591


	Preferred Stock (0.9%)
Financials (0.5%)
632	East West Bancorp, Inc.		714,160

	Total Financials		714,160

Health Care (0.4%)
40,000	National Healthcare Corporation, Convertible		454,000

	Total Health Care		454,000

	Total Preferred Stock (cost $1,165,578)		1,168,160


	Collateral Held for Securities Loaned (23.8%)^c
31,225,748	Thrivent Financial Securities Lending Trust		31,225,748

	Total Collateral Held for Securities Loaned (cost $31,225,748)		31,225,748


	Short-Term Investments (3.9%)^c
5,100,015	Thrivent Money Market Fund		5,100,015

	Total Short-Term Investments (at amortized cost)		5,100,015

	Total Investments (cost $192,456,392) 124.1%	$	162,528,514

	Other Assets and Liabilities, Net (24.1%)		(31,585,348	)

	Total Net Assets 100.0%	$	130,943,166

a	Non-income producing security.

b	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

Definitions:


ADR		-		American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.

Partner Small Cap Value Fund

Schedule of Investments as of October 31, 2008

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	11,146,863
Gross unrealized depreciation		(41,347,372	)

Net unrealized appreciation (depreciation)		($30,200,509	)
Cost for federal income tax purposes	$	192,729,023

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Partner Small Cap Value Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	4,123,694	$	36,904,254	$	35,927,933	5,100,015	$	5,100,015	$	176,713
Thrivent Financial Securities Lending Trust		38,943,138		139,514,768		147,232,158	31,225,748		31,225,748		415,690
Total Value and Dividend Income		43,066,832							36,325,763		592,403

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (95.9%)	Value
Consumer Discretionary (13.3%)
40,900	American Public Education, Inc.^a	$	1,810,643
30,400	Apollo Group, Inc.^a		2,113,104
154,700	ArvinMeritor, Inc.^b		915,824
32,500	Burger King Holdings, Inc.		646,100
128,500	Carter’s, Inc.^a		2,729,340
37,800	CEC Entertainment, Inc.^a		970,704
49,400	Children’s Place Retail Stores, Inc.^a,b		1,651,442
10,200	Deckers Outdoor Corporation^a		865,572
62,000	Dollar Tree, Inc.^a		2,357,240
155,000	Fred’s, Inc.		1,898,750
155,700	Fuqi International, Inc.^a		1,231,587
95,400	Gentex Corporation		914,886
32,300	Guess ?, Inc.		703,171
18,000	Hasbro, Inc.		523,260
260,400	Hot Topic, Inc.^a		1,687,392
59,700	Interactive Data Corporation		1,407,726
65,200	Jack in the Box, Inc.^a		1,310,520
191,000	Leapfrog Enterprises, Inc.^a,b		1,289,250
67,400	Marvel Entertainment, Inc.^a,b		2,169,606
36,200	Matthews International Corporation		1,615,606
87,500	Meritage Homes Corporation^a,b		1,201,375
32,100	Panera Bread Company^a		1,448,352
23,400	Polaris Industries, Inc.^b		787,878
133,400	Pulte Homes, Inc.		1,486,076
39,600	Regal Entertainment Group		508,464
44,400	Ross Stores, Inc.		1,451,436
336,900	Shuffle Master, Inc.^a,b		1,300,434
25,400	Steiner Leisure, Ltd.^a		657,860
4,800	Strayer Education, Inc.		1,086,096
85,800	Toll Brothers, Inc.^a		1,983,696
54,900	Tractor Supply Company^a		2,281,644
48,500	Warnaco Group, Inc.^a		1,445,785
85,700	WMS Industries, Inc.^a		2,142,500

	Total Consumer Discretionary		46,593,319

Consumer Staples (4.9%)
52,958	Calavo Growers, Inc.^b		537,524
78,400	Casey’s General Stores, Inc.		2,367,680
39,000	Chattem, Inc.^a,b		2,951,130
64,600	Elizabeth Arden, Inc.^a		1,116,934
46,550	Flowers Foods, Inc.		1,380,207
42,200	Nash Finch Company		1,663,946
51,400	Nu Skin Enterprises, Inc.		662,546
85,500	Omega Protein Corporation^a		630,990
47,500	Ralcorp Holdings, Inc.^a		3,214,800
88,600	TreeHouse Foods, Inc.^a		2,681,036

	Total Consumer Staples		17,206,793

Energy (5.4%)
32,800	Alpha Natural Resources, Inc.^a		1,173,256
11,800	Dril-Quip, Inc.^a		291,460
329,900	Edge Petroleum Corporation^a,b		194,641
36,600	Forest Oil Corporation^a		1,069,086
40,900	Helmerich & Payne, Inc.		1,403,279
39,200	Mariner Energy, Inc.^a		564,088
21,500	McMoran Exploration Company^a,b		305,085
75,900	Oil States International, Inc.^a		1,755,567
43,000	Penn Virginia Corporation		1,598,310
142,162	Petrohawk Energy Corporation^a		2,693,970
45,700	Range Resources Corporation		1,929,454
52,700	Superior Energy Services, Inc.^a		1,123,564
15,900	Teekay Shipping Corporation		339,465
75,100	Tesco Corporation^a,b		854,638
104,700	TETRA Technologies, Inc.^a		728,712
29,000	Unit Corporation^a		1,088,660
20,200	Whiting Petroleum Corporation^a		1,050,198
50,000	Willbros Group, Inc.^a,b		774,500

	Total Energy		18,937,933

Financials (22.5%)
66,100	American Campus Communities, Inc.^b		1,717,278
61,000	American Financial Group, Inc.		1,386,530
102,100	Amerisafe, Inc.^a		1,760,204
84,600	Aspen Insurance Holdings, Ltd.		1,942,416
25,400	Bank of Hawaii Corporation		1,288,034
61,800	Bank of the Ozarks, Inc.^b		1,878,720
53,800	BioMed Realty Trust, Inc.		755,890
32,200	Cash America International, Inc.		1,138,914
36,200	City Holding Company		1,514,608
146,400	Colonial BancGroup, Inc.^b		598,776
63,700	Community Bank System, Inc.		1,589,315
42,800	Corporate Office Properties Trust		1,330,652
34,207	Cullen/Frost Bankers, Inc.		1,914,566
38,700	Digital Realty Trust, Inc.^b		1,295,676
93,700	Dime Community Bancshares		1,564,790
107,500	East West Bancorp, Inc.^b		1,865,125
91,500	First Cash Financial Services, Inc.^a		1,406,355
79,200	First Commonwealth Financial Corporation		875,952
72,900	First Midwest Bancorp, Inc.		1,619,109
148,700	First Niagara Financial Group, Inc.		2,344,999
55,900	Glacier Bancorp, Inc.^b		1,127,503
53,800	Hanover Insurance Group, Inc.		2,111,650
69,600	HCC Insurance Holdings, Inc.		1,535,376
28,400	Home Properties, Inc.^b		1,149,916
30,400	Infinity Property & Casualty Corporation		1,210,528
84,500	Inland Real Estate Corporation^b		968,370
79,800	Investors Real Estate Trust^b		788,424
42,900	IPC Holdings, Ltd.		1,184,469
41,600	iShares Russell Microcap Index Fund^b		1,453,504
420,500	MGIC Investment Corporation^b		1,631,540
32,200	Nationwide Health Properties, Inc.^b		960,848
74,300	Nelnet, Inc.		1,087,009
139,000	NewAlliance Bancshares, Inc.		1,918,200
96,600	Old National Bancorp		1,829,604
53,000	Platinum Underwriters Holdings, Ltd.		1,682,220
51,700	Portfolio Recovery Associates, Inc.^a,b		1,854,996
21,200	Potlatch Corporation^b		704,052
37,600	ProAssurance Corporation^a		2,066,120
54,100	Prosperity Bancshares, Inc.		1,796,661
56,100	Raymond James Financial, Inc.^b		1,306,569
32,100	Realty Income Corporation^b		742,152
37,400	RLI Corporation^b		2,146,386
62,300	Senior Housing Property Trust		1,194,291
46,800	Signature Bank^a		1,524,744
169,900	South Financial Group, Inc.^b		987,119

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (95.9%)	Value
Financials (22.5%) - continued
152,900	Sterling Bancshares, Inc.	$	1,217,084
113,000	Sterling Financial Corporation^b		959,370
51,950	Stifel Financial Corporation^a		2,267,617
47,700	SVB Financial Group^a		2,454,165
257,500	UCBH Holdings, Inc.^b		1,359,600
30,200	UMB Financial Corporation		1,368,966
41,400	United Bankshares, Inc.^b		1,320,660
29,600	United Fire & Casualty Company		685,832
42,300	Washington Real Estate Investment Trust^b		1,268,154
25,600	Westamerica Bancorporation^b		1,465,600

	Total Financials		79,117,208

Health Care (13.0%)
43,800	Alexion Pharmaceuticals, Inc.^a		1,784,850
82,200	Alpharma, Inc.^a,b		2,573,682
44,900	Amedisys, Inc.^a,b		2,532,809
69,000	AmSurg Corporation^a		1,720,860
47,100	ArthroCare Corporation^a,b		978,738
22,100	Beckman Coulter, Inc.		1,103,232
55,800	BioMarin Pharmaceutical, Inc.^a,b		1,022,256
15,000	Bio-Rad Laboratories, Inc.^a		1,280,700
24,600	Cephalon, Inc.^a,b		1,764,312
19,200	Haemonetics Corporation^a		1,133,952
112,100	Healthspring, Inc.^a		1,851,892
47,200	ICON plc ADR^a		1,197,464
61,925	IPC The Hospitalist Company, Inc.^a		1,260,793
73,200	Kindred Healthcare, Inc.^a		1,060,668
36,000	Lincare Holdings, Inc.^a		948,600
37,600	Martek Biosciences Corporation^a,b		1,121,608
44,050	Masimo Corporation^a		1,409,160
17,600	Myriad Genetics, Inc.^a		1,110,384
66,000	Natus Medical, Inc.^a		1,009,800
35,200	NuVasive, Inc.^a,b		1,657,568
46,200	Owens & Minor, Inc.		1,999,074
80,500	PAREXEL International Corporation^a		837,200
16,700	Pediatrix Medical Group, Inc.^a		645,455
26,100	PerkinElmer, Inc.		468,234
32,400	Perrigo Company		1,101,600
75,400	Phase Forward, Inc.^a		1,075,958
78,700	PSS World Medical, Inc.^a,b		1,427,618
42,800	Psychiatric Solutions, Inc.^a		1,424,812
24,100	Shire Pharmaceuticals Group plc ADR		950,745
58,300	STERIS Corporation		1,984,532
14,000	United Therapeutics Corporation^a,b		1,221,220
27,700	Universal Health Services, Inc.		1,164,508
35,200	West Pharmaceutical Services, Inc.^b		1,405,184
61,100	Wright Medical Group, Inc.^a,b		1,416,298

	Total Health Care		45,645,766

Industrials (12.2%)
51,900	Allegiant Travel Company^a		2,067,177
52,700	Applied Industrial Technologies, Inc.		1,064,013
106,300	Beacon Roofing Supply, Inc.^a		1,454,184
52,700	Brady Corporation^b		1,633,700
40,700	Carlisle Companies, Inc.		946,275
115,400	Continental Airlines, Inc.^a,b		2,183,368
29,200	Curtiss-Wright Corporation		1,077,480
48,100	EMCOR Group, Inc.^a		854,737
15,600	Esterline Technologies Corporation^a		562,380
8,700	Genesee & Wyoming, Inc.^a		290,145
28,100	Heartland Express, Inc.		431,054
26,100	Hub Group, Inc.^a		820,845
68,000	IDEX Corporation		1,576,240
43,900	JB Hunt Transport Services, Inc.^b		1,248,077
14,500	Kirby Corporation^a		497,640
71,100	Knight Transportation, Inc.		1,130,490
141,900	Knoll, Inc.		2,051,874
24,700	Landstar System, Inc.		953,173
36,400	Lennox International, Inc.		1,085,448
42,000	Moog, Inc.^a		1,475,040
26,400	MSC Industrial Direct Company, Inc.		946,704
62,000	Oshkosh Corporation		474,920
50,900	Pacer International, Inc.		574,661
27,200	Pentair, Inc.		751,808
41,900	Polypore International, Inc.^a		357,407
39,500	Regal-Beloit Corporation^b		1,286,120
21,200	Roper Industries, Inc.		961,420
13,500	SPX Corporation		522,990
78,400	Sykes Enterprises, Inc.^a,b		1,251,264
39,300	Teledyne Technologies, Inc.^a		1,790,901
136,200	UAL Corporation		1,983,072
22,800	Wabtec Corporation		906,528
92,625	Waste Connections, Inc.^a		3,135,356
36,000	Watsco, Inc.		1,479,240
33,000	Watson Wyatt Worldwide, Inc.		1,401,510
52,600	Woodward Governor Company		1,688,460

	Total Industrials		42,915,701

Information Technology (15.1%)
30,500	Anixter International, Inc.^a,b		1,025,105
36,600	ANSYS, Inc.^a		1,047,858
377,500	Atmel Corporation^a		1,566,625
41,500	Cabot Microelectronics Corporation^a		1,192,295
15,300	CACI International, Inc.^a		630,054
207,900	Compuware Corporation^a		1,326,402
58,300	Comtech Telecommunications Corporation^a		2,822,886
226,100	Cypress Semiconductor Corporation^a		1,132,761
62,800	DTS, Inc.^a,b		1,296,820
256,300	EarthLink, Inc.^a		1,768,470
78,700	F5 Networks, Inc.^a		1,953,334
50,788	FLIR Systems, Inc.^a		1,630,295
132,500	FormFactor, Inc.^a,b		2,308,150
160,900	Informatica Corporation^a		2,260,645
12,700	Itron, Inc.^a,b		615,696
77,800	Lawson Software, Inc.^a		413,896
41,900	ManTech International Corporation^a		2,260,086
98,100	MKS Instruments, Inc.^a		1,819,755
86,700	Monolithic Power Systems, Inc.^a		1,473,033
248,200	ON Semiconductor Corporation^a		1,268,302
70,000	Parametric Technology Corporation^a		909,300
157,000	Perot Systems Corporation^a		2,259,230
59,300	Plexus Corporation^a		1,106,538
169,900	PMC-Sierra, Inc.^a		795,132
102,400	Polycom, Inc.^a,b		2,151,424

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (95.9%)	Value
Information Technology (15.1%) - continued
104,800	QLogic Corporation^a	$	1,259,696
25,600	Quest Software, Inc.^a		339,200
28,400	Rogers Corporation^a		854,840
287,800	S1 Corporation^a		1,804,506
94,500	SAIC, Inc.^a		1,745,415
54,700	Shanda Interactive Entertainment, Ltd.^a,b		1,512,455
104,800	Skyworks Solutions, Inc.^a		747,224
75,900	Solera Holdings, Inc.^a		1,889,151
87,900	Sybase, Inc.^a		2,340,777
41,500	Synaptics, Inc.^a		1,281,935
147,000	TIBCO Software, Inc.^a		757,050
31,600	Trimble Navigation, Ltd.^a		650,012
37,400	Varian Semiconductor Equipment Associates, Inc.^a		733,788

	Total Information Technology		52,950,141

Materials (4.1%)
20,900	Airgas, Inc.		801,724
17,400	AptarGroup, Inc.		527,568
70,900	Bemis Company, Inc.		1,761,156
8,300	FMC Corporation		361,382
37,000	Greif, Inc.		1,501,460
45,600	Koppers Holdings, Inc.		1,084,824
107,800	Pactiv Corporation^a,b		2,539,768
55,600	Rock-Tenn Company		1,690,796
33,600	Rockwood Holdings, Inc.^a		414,960
37,100	Royal Gold, Inc.^b		1,069,593
42,500	RPM International, Inc.		603,500
14,500	SPDR Gold Trust^a		1,034,430
102,400	Steel Dynamics, Inc.		1,220,608

	Total Materials		14,611,769

Telecommunications Services (1.5%)
37,100	CenturyTel, Inc.^b		931,581
66,100	NTELOS Holdings Corporation		1,718,600
87,800	Premiere Global Services, Inc.^a		873,610
97,000	Syniverse Holdings, Inc.^a		1,823,600

	Total Telecommunications Services		5,347,391

Utilities (3.9%)
93,600	Avista Corporation		1,858,896
71,100	Cleco Corporation		1,636,011
95,100	El Paso Electric Company^a		1,761,252
70,700	New Jersey Resources Corporation^b		2,632,868
68,200	Piedmont Natural Gas Company, Inc.^b		2,245,144
36,100	Portland General Electric Company		740,772
88,900	UGI Corporation		2,122,043
32,800	Vectren Corporation		826,560

	Total Utilities		13,823,546

	Total Common Stock (cost $371,965,845)		337,149,567


	Collateral Held for Securities Loaned (15.6%)^c
54,683,469	Thrivent Financial Securities Lending Trust		54,683,469

	Total Collateral Held for Securities Loaned (cost $54,683,469)		54,683,469


Shares or Principal Amount	Short-Term Investments (12.1%)^c
7,410,000	Alcon Capital Corporation 0.080%, 11/3/2008		7,409,967
12,500,000	Deutsche Financial Bank, LLC 0.130%, 11/3/2008		12,499,910
5,120,000	Federal Home Loan Bank Discount Notes 0.010%, 11/3/2008		5,119,997
300,000	1.100%, 12/8/2008		299,661
100,000	1.200%, 12/10/2008		99,870
900,000	Federal National Mortgage Association Discount Notes 2.100%, 12/10/2008		897,976
16,013,258	Thrivent Money Market Fund		16,013,258

	Total Short-Term Investments (at amortized cost)		42,340,639

	Total Investments (cost $468,989,953) 123.6%	$	434,173,675

	Other Assets and Liabilities, Net (23.6%)		(82,770,729	)

	Total Net Assets 100.0%	$	351,402,946

a	Non-income producing security.

b	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

Definitions:


ADR		-		American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	16,581,612
Gross unrealized depreciation		(64,566,931	)

Net unrealized appreciation (depreciation)		($47,985,319	)
Cost for federal income tax purposes	$	482,158,994

The accompanying Notes to the Financial Statements are an integral part of this schedule.

Small Cap Stock Fund

Schedule of Investments as of October 31, 2008

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Small Cap Stock Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	34,676,065	$	185,685,541	$	204,348,348	16,013,258	$	16,013,258	$	629,825
Thrivent Financial Securities Lending Trust		158,510,727		405,421,368		509,248,626	54,683,469		54,683,469		1,334,723
Total Value and Dividend Income		193,186,792							70,696,727		1,964,548

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.4%)	Value
Consumer Discretionary (13.5%)
900	4Kids Entertainment, Inc.^a	$	4,761
3,875	Aaron Rents, Inc.		96,061
1,300	AH Belo Corporation		4,303
1,900	Arbitron, Inc.^b		61,902
900	Arctic Cat, Inc.		6,822
1,500	ATC Technology Corporation^a		32,895
1,400	Audiovox Corporation^a		8,246
800	Bassett Furniture Industries, Inc.		3,528
1,600	Big 5 Sporting Goods Corporation		10,048
1,100	Blue Nile, Inc.^a,c		33,638
3,050	Brown Shoe Company, Inc.		32,147
6,400	Brunswick Corporation^c		22,208
1,650	Buckle, Inc.		43,461
1,300	Buffalo Wild Wings, Inc.^a,c		36,764
2,900	Cabela’s, Inc.^a,c		23,055
1,800	California Pizza Kitchen, Inc.^a		17,586
3,700	Carter’s, Inc.^a		78,588
2,150	Cato Corporation		33,368
1,600	CBRL Group, Inc.		31,872
1,650	CEC Entertainment, Inc.^a		42,372
5,700	Champion Enterprises, Inc.^a		10,659
1,500	Charlotte Russe Holding, Inc.^a		12,675
1,800	Children’s Place Retail Stores, Inc.^a		60,174
2,600	Christopher & Banks Corporation		13,572
3,800	CKE Restaurants, Inc.		32,262
2,100	Coinstar, Inc.^a		50,379
300	CPI Corporation		2,190
6,000	Crocs, Inc.^a,c		15,060
1,000	Deckers Outdoor Corporation^a		84,860
1,100	DineEquity, Inc.^c		19,833
3,300	Dress Barn, Inc.^a,c		31,548
1,400	Drew Industries, Inc.^a,c		16,940
2,133	E.W. Scripps Company		9,918
2,100	Ethan Allen Interiors, Inc.^c		37,569
4,043	Finish Line, Inc.		38,692
3,300	Fossil, Inc.^a		59,895
2,900	Fred’s, Inc.		35,525
1,400	Genesco, Inc.^a,c		34,734
1,700	Group 1 Automotive, Inc.		17,085
2,100	Gymboree Corporation^a		54,306
1,400	Haverty Furniture Companies, Inc.		13,776
2,050	Hibbett Sports, Inc.^a,c		36,510
4,600	Hillenbrand, Inc.		87,400
3,175	Hot Topic, Inc.^a		20,574
2,800	HSN, Inc.^a		17,220
4,200	Iconix Brand Group, Inc.^a,c		45,738
2,800	Interval Leisure Group, Inc.^a		20,328
4,100	Jack in the Box, Inc.^a		82,410
2,000	JAKKS Pacific, Inc.^a		44,740
1,810	Jo-Ann Stores, Inc.^a		34,680
1,350	Joseph A. Bank Clothiers, Inc.^a		34,384
2,000	K-Swiss, Inc.		30,260
900	Landry’s Restaurants, Inc.		11,295
3,800	La-Z-Boy, Inc.^c		21,964
1,100	Libbey, Inc.^c		4,026
1,200	Lithia Motors, Inc.^c		4,920
5,500	Live Nation, Inc.^a		61,875
9,900	LKQ Corporation^a		113,256
1,000	M/I Homes, Inc.^c		13,610
1,400	Maidenform Brands, Inc.^a		15,372
1,500	Marcus Corporation		21,045
1,300	MarineMax, Inc.^a		3,016
3,800	Men’s Wearhouse, Inc.^c		58,102
2,200	Meritage Homes Corporation^a,c		30,206
1,000	Midas, Inc.^a		13,030
2,200	Monaco Coach Corporation		4,840
800	Monarch Casino & Resort, Inc.^a		7,128
1,300	Movado Group, Inc.		19,773
1,700	Multimedia Games, Inc.^a		5,134
300	National Presto Industries, Inc.		19,875
1,700	Nautilus Group, Inc.^a		4,148
2,200	NutriSystem, Inc.		31,130
1,600	O’Charley’s, Inc.		12,000
5,500	OfficeMax, Inc.		44,275
1,000	Oxford Industries, Inc.^c		13,470
1,700	P.F. Chang’s China Bistro, Inc.^a		34,782
2,200	Panera Bread Company^a,c		99,264
1,600	Papa John’s International, Inc.^a		36,096
900	Peet’s Coffee & Tea, Inc.^a		20,214
3,200	Pep Boys - Manny, Moe & Jack^c		15,424
900	Perry Ellis International, Inc.^a		8,811
1,700	PetMed Express, Inc.^a		30,022
4,400	Pinnacle Entertainment, Inc.^a,c		24,640
2,400	Polaris Industries, Inc.^c		80,808
3,475	Pool Corporation^c		60,500
600	Pre-Paid Legal Services, Inc.^a		23,688
9,300	Quiksilver, Inc.^a		24,087
1,300	RC2 Corporation^a		16,510
1,200	Red Robin Gourmet Burgers, Inc.^a		18,228
3,895	Ruby Tuesday, Inc.^a		9,387
1,200	Russ Berrie and Company, Inc.^a		3,240
1,500	Ruth’s Chris Steak House, Inc.^a		3,435
3,250	Select Comfort Corporation^a		1,560
4,075	Shuffle Master, Inc.^a		15,729
2,400	Skechers USA, Inc.^a		32,592
500	Skyline Corporation		10,810
2,000	Sonic Automotive, Inc.		10,260
4,375	Sonic Corporation^a		46,813
2,400	Spartan Motors, Inc.		11,016
2,800	Stage Stores, Inc.		21,588
1,100	Stamps.com, Inc.^a		10,736
900	Standard Motor Products, Inc.		3,789
8,400	Standard Pacific Corporation^a,c		23,940
2,100	Steak n Shake Company^a		10,815
1,900	Stein Mart, Inc.		4,085
1,500	Sturm, Ruger & Company, Inc.^a		10,725
1,700	Superior Industries International, Inc.^c		24,310
3,800	Texas Roadhouse, Inc.^a		26,676
2,800	Ticketmaster^a		27,104
2,300	Tractor Supply Company^a		95,588
1,300	True Religion Apparel, Inc.^a,c		21,775
2,200	Tuesday Morning Corporation^a		4,928
1,800	Tween Brands, Inc.^a		15,336
1,000	UniFirst Corporation		32,630
1,000	Universal Electronic Inc.^a		21,130
1,600	Universal Technical Institute, Inc.^a		26,400
1,200	Volcom, Inc.^a,c		15,516
2,100	Winnebago Industries, Inc.^c		12,474
3,700	WMS Industries, Inc.^a		92,500
3,550	Wolverine World Wide, Inc.		83,425
2,600	Zale Corporation^a,c		44,356

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.4%)	Value
Consumer Discretionary (13.5%) - continued
1,500	Zumiez, Inc.^a,c	$	14,640

	Total Consumer Discretionary		3,545,393

Consumer Staples (4.0%)
6,500	Alliance One International, Inc.^a		21,710
1,300	Andersons, Inc.^c		34,619
700	Boston Beer Company, Inc.^a		26,453
800	Cal-Maine Foods Inc		23,512
3,700	Casey’s General Stores, Inc.		111,740
5,200	Central Garden & Pet Company^a		16,536
1,400	Chattem, Inc.^a,c		105,938
6,000	Darling International, Inc.^a		45,240
5,812	Flowers Foods, Inc.		172,326
2,200	Great Atlantic & Pacific Tea Company, Inc.^a		18,194
1,300	Green Mountain Coffee Roasters, Inc.^a,c		37,687
2,900	Hain Celestial Group, Inc.^a		67,396
1,000	J & J Snack Foods Corporation		31,360
2,300	Lance, Inc.		47,587
1,100	Mannatech, Inc.		4,411
900	Nash Finch Company		35,487
1,300	Sanderson Farms, Inc.^c		40,586
1,600	Spartan Stores, Inc.		43,184
2,900	Spectrum Brands, Inc.^a		1,769
2,300	TreeHouse Foods, Inc.^a		69,598
3,100	United Natural Foods, Inc.^a,c		69,254
1,200	WD-40 Company		34,920

	Total Consumer Staples		1,059,507

Energy (5.1%)
4,100	Atwood Oceanics, Inc.^a,c		112,668
1,700	Basic Energy Services, Inc.^a		23,256
2,100	Bristow Group, Inc.^a,c		52,017
1,500	Carbo Ceramics, Inc.^c		64,905
2,200	Dril-Quip, Inc.^a		54,340
1,000	Gulf Island Fabrication, Inc.		19,710
1,700	Hornbeck Offshore Services, Inc.^a,c		40,460
6,300	Input/Output, Inc.^a		41,328
1,100	Lufkin Industries, Inc.		57,552
1,900	Matrix Service Company^a		23,275
1,450	NATCO Group, Inc.^a		30,653
3,100	Penn Virginia Corporation		115,227
1,100	Petroleum Development Corporation^a		22,781
3,200	PetroQuest Energy, Inc.^a		31,840
3,600	Pioneer Drilling Company^a		27,864
1,550	SEACOR Holdings, Inc.^a		104,114
9,056	Southern Union Company^b		155,944
4,500	St. Mary Land & Exploration Company		112,005
2,500	Stone Energy Corporation^a		75,850
1,200	Superior Well Services, Inc.^a		20,100
2,300	Swift Energy Company^a		73,784
5,500	TETRA Technologies, Inc.^a		38,280
2,100	World Fuel Services Corporation		45,003

	Total Energy		1,342,956

Financials (19.3%)
2,400	Acadia Realty Trust^b		43,368
1,300	Anchor BanCorp Wisconsin, Inc.^c		7,410
3,500	Bank Mutual Corporation		40,355
600	BankAtlantic Bancorp, Inc.		3,702
6,000	BioMed Realty Trust, Inc.		84,300
4,200	Boston Private Financial Holdings, Inc.^c		37,128
4,300	Brookline Bancorp, Inc.		50,310
2,000	Cascade Bancorp^c		19,080
2,100	Cash America International, Inc.		74,277
3,200	Cedar Shopping Centers, Inc.		30,592
2,100	Central Pacific Financial Corporation		32,760
3,500	Colonial Properties Trust		36,890
1,300	Columbia Banking System, Inc.		20,696
2,300	Community Bank System, Inc.		57,385
2,300	Corus Bankshares, Inc.^c		5,060
3,000	Delphi Financial Group, Inc.		47,250
6,700	DiamondRock Hospitality Company		34,706
1,950	Dime Community Bancshares		32,565
4,600	East West Bancorp, Inc.^c		79,810
1,800	EastGroup Properties, Inc.		60,264
2,400	Entertainment Properties Trust		89,880
6,000	Extra Space Storage, Inc.		69,060
1,900	Financial Federal Corporation		43,985
5,500	First BanCorp^c		56,210
1,900	First Cash Financial Services, Inc.^a		29,203
5,500	First Commonwealth Financial Corporation^c		60,830
2,300	First Financial Bancorp		30,935
1,500	First Financial Bankshares, Inc.^c		81,285
3,500	First Midwest Bancorp, Inc.		77,735
900	FirstFed Financial Corporation^a,c		8,055
3,700	Flagstar Bancorp, Inc.^c		7,030
2,600	Forestar Real Estate Group, Inc.^a		22,750
3,400	Frontier Financial Corporation^c		22,644
3,900	Glacier Bancorp, Inc.		78,663
1,300	Greenhill & Company, Inc.^c		85,761
3,300	Guaranty Financial Group, Inc.^a,c		6,699
1,700	Hancock Holding Company		75,072
2,700	Hanmi Financial Corporation		10,800
1,000	Home Bancshares, Inc.		26,040
2,300	Home Properties, Inc.^c		93,127
1,385	Independent Bank Corporation		5,083
1,100	Infinity Property & Casualty Corporation		43,802
4,200	Inland Real Estate Corporation^c		48,132
3,200	Investment Technology Group, Inc.^a		65,312
1,400	Irwin Financial Corporation		3,080
2,400	Kilroy Realty Corporation		77,160
2,600	Kite Realty Group Trust		15,808
3,900	LaBranche & Company, Inc.^a		24,297
1,100	LandAmerica Financial Group, Inc.		10,835
3,000	LaSalle Hotel Properties^c		42,240
4,700	Lexington Corporate Properties Trust		37,741
1,700	LTC Properties, Inc.		41,089
4,800	Medical Properties Trust, Inc.^c		35,424
2,000	Mid-America Apartment Communities, Inc.^c		70,480
1,600	Nara Bancorp, Inc.		17,600
2,900	National Financial Partners		19,314
5,800	National Penn Bancshares, Inc.		98,252
5,400	National Retail Properties, Inc.		96,282

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.4%)	Value
Financials (19.3%) - continued
1,000	Navigators Group, Inc.^a	$	50,510
4,800	Old National Bancorp		90,912
3,100	optionsXpress Holdings, Inc.^c		55,056
1,100	Parkway Properties, Inc.		18,975
2,900	Pennsylvania Real Estate Investment Trust		36,685
1,200	Piper Jaffray Companies^a		47,340
1,100	Portfolio Recovery Associates, Inc.^a,c		39,468
3,500	Post Properties, Inc.		78,120
1,600	Presidential Life Corporation		15,008
2,000	PrivateBancorp, Inc.^c		72,020
2,400	ProAssurance Corporation^a		131,880
3,000	Prosperity Bancshares, Inc.		99,630
2,455	Provident Bankshares Corporation		26,195
1,100	PS Business Parks, Inc.		49,797
2,000	Rewards Network, Inc.^a		7,600
1,300	RLI Corporation		74,607
1,200	Safety Insurance Group, Inc.		45,588
3,800	Selective Insurance Group, Inc.		90,250
8,400	Senior Housing Property Trust		161,028
2,500	Signature Bank^a^,c		81,450
5,300	South Financial Group, Inc.		30,793
1,600	Sovran Self Storage, Inc.		51,920
1,300	Sterling Bancorp		20,384
5,375	Sterling Bancshares, Inc.		42,785
3,820	Sterling Financial Corporation		32,432
1,300	Stewart Information Services Corporation		21,580
1,900	Stifel Financial Corporation^a		82,935
6,300	Susquehanna Bancshares, Inc.^c		97,587
1,989	SWS Group, Inc.		36,916
2,300	Tanger Factory Outlet Centers, Inc.		83,191
1,500	Tower Group, Inc.		31,545
2,300	Tradestation Group, Inc.^a		18,009
5,533	TrustCo Bank Corporation NY^c		67,336
8,100	UCBH Holdings, Inc.^c		42,768
2,200	UMB Financial Corporation		99,726
4,400	Umpqua Holdings Corporation		74,888
2,700	United Bankshares, Inc.^c		86,130
2,922	United Community Banks, Inc.^c		38,337
1,600	United Fire & Casualty Company		37,072
1,600	Urstadt Biddle Properties		26,208
4,675	Whitney Holding Corporation		88,825
1,400	Wilshire Bancorp, Inc.		15,442
1,700	Wintrust Financial Corporation^c		43,520
1,194	World Acceptance Corporation^a		22,065
2,700	Zenith National Insurance Corporation		88,722

	Total Financials		5,078,838

Health Care (13.3%)
1,600	Abaxis, Inc.^a		24,592
800	Air Methods Corporation^a		13,424
3,000	Alpharma, Inc.^a,c		93,930
1,933	Amedisys, Inc.^a,c		109,041
5,300	American Medical Systems Holdings, Inc.^a,c		57,346
3,900	AMERIGROUP Corporation^a,b		97,500
2,500	AMN Healthcare Services, Inc.^a		22,475
2,300	AmSurg Corporation^a		57,362
950	Analogic Corporation		41,952
2,100	ArQule, Inc.^a		5,796
1,900	ArthroCare Corporation^a,c		39,482
1,800	BioLase Technology, Inc.^a		3,132
2,100	Cambrex Corporation^a		9,450
2,800	Catalyst Health Solutions, Inc.^a		47,236
3,200	Centene Corporation^a		60,288
1,700	Chemed Corporation		74,443
2,100	CONMED Corporation^a		55,020
3,300	Cooper Companies, Inc.		54,384
500	Corvel Corporation^a		13,410
2,200	Cross Country Healthcare, Inc.^a		24,904
2,050	CryoLife, Inc.^a		27,470
4,100	Cubist Pharmaceuticals, Inc.^a		104,099
1,700	Cyberonics, Inc.^a		21,658
1,000	Datascope Corporation		50,170
1,300	Dionex Corporation^a		69,979
4,000	Eclipsys Corporation^a		59,400
2,322	Enzo Biochem, Inc.^a		13,398
2,100	Gentiva Health Services, Inc.^a		57,015
1,700	Greatbatch, Inc.^a		36,975
1,900	Haemonetics Corporation^a		112,214
3,600	Healthspring, Inc.^a		59,472
2,500	Healthways, Inc.^a		25,250
1,800	HMS Holding Corporation^a		44,586
900	ICU Medical, Inc.^a		28,827
5,112	Immucor, Inc.^a		135,724
1,400	Integra LifeSciences Holdings Corporation^a		52,556
2,300	Invacare Corporation		41,837
2,400	inVentiv Health, Inc.^a		22,728
1,000	Kendle International, Inc.^a		18,070
800	Kensey Nash Corporation^a		20,312
700	Landauer, Inc.		37,842
1,400	LCA-Vision, Inc.		4,788
1,100	LHC Group, Inc.^a		38,808
3,000	Magellan Health Services, Inc.^a		110,820
2,400	Martek Biosciences Corporation^a,c		71,592
1,400	MedCath Corporation^a		21,588
2,500	Mentor Corporation^c		42,250
2,950	Meridian Bioscience, Inc.		72,511
2,000	Merit Medical Systems, Inc.^a		36,600
1,000	Molina Healthcare, Inc.^a		22,270
900	MWI Veterinary Supply, Inc.^a		31,167
2,000	Natus Medical, Inc.^a		30,600
1,800	Noven Pharmaceuticals, Inc.^a		20,250
2,350	Odyssey Healthcare, Inc.^a		22,536
2,300	Omnicell, Inc.^a		25,254
1,300	Osteotech, Inc.^a		4,147
3,000	Owens & Minor, Inc.		129,810
1,300	Palomar Medical Technologies, Inc.^a		14,872
2,500	Par Pharmaceutical Companies, Inc.^a		25,000
4,000	PAREXEL International Corporation^a		41,600
3,300	Pediatrix Medical Group, Inc.^a		127,545
2,200	PharMerica Corporation^a		45,166
1,400	Pharmnet Development Group^a		2,240
3,100	Phase Forward, Inc.^a		44,237
4,500	PSS World Medical, Inc.^a,c		81,630
4,600	Regeneron Pharmaceuticals, Inc.^a		88,780
1,300	RehabCare Group, Inc.^a		22,269
1,900	Res-Care, Inc.^a		29,279
3,500	Salix Pharmaceuticals, Ltd.^a		32,200

The accompanying Notes to the Financial Statements are an integral part of this schedule.

Small Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.4%)	Value
Health Care (13.3%) - continued
3,400	Savient Pharmaceuticals, Inc.^a	$	16,184
3,300	Sunrise Senior Living, Inc.^a		9,966
1,100	SurModics, Inc.^a,c		29,150
2,600	Symmetry Medical, Inc.^a		33,592
2,400	Theragenics Corporation^a		4,680
6,000	ViroPharma, Inc.^a		75,240
2,400	West Pharmaceutical Services, Inc.		95,808
1,500	Zoll Medical Corporation^a		36,120

	Total Health Care		3,485,298

Industrials (17.8%)
1,600	A.O. Smith Corporation^c		50,480
2,800	AAR Corporation^a		44,772
3,200	ABM Industries, Inc.		52,256
3,000	Acuity Brands, Inc.^b		104,880
1,700	Administaff, Inc.^b		33,983
1,900	Albany International Corporation		27,664
2,100	Apogee Enterprises, Inc.		20,706
2,675	Applied Industrial Technologies, Inc.		54,008
900	Applied Signal Technology, Inc.		16,128
1,800	Arkansas Best Corporation		52,542
1,400	Astec Industries, Inc.^a		35,588
3,400	Baldor Electric Company		59,704
3,200	Barnes Group, Inc.		46,432
3,125	Belden, Inc.^b		65,125
2,000	Bowne & Company, Inc.		15,580
3,900	Brady Corporation		120,900
3,600	Briggs & Stratton Corporation^c		56,736
1,900	C&D Technologies, Inc.^a,c		6,650
625	Cascade Corporation		20,631
1,000	CDI Corporation		13,000
1,950	Ceradyne, Inc.^a		45,825
3,700	CLARCOR, Inc.		130,943
800	Consolidated Graphics, Inc.^a		10,408
1,100	Cubic Corporation		24,475
3,300	Curtiss-Wright Corporation		121,770
4,800	EMCOR Group, Inc.^a		85,296
1,500	EnPro Industries, Inc.^a		33,315
2,200	Esterline Technologies Corporation^a		79,310
2,100	Forward Air Corporation^c		54,957
1,400	G & K Services, Inc.		31,626
3,900	Gardner Denver, Inc.^a		99,918
3,500	GenCorp, Inc.^a		17,150
2,000	Gibraltar Industries, Inc.		26,500
3,020	Griffon Corporation^a		25,489
3,125	Healthcare Services Group, Inc.		51,750
4,101	Heartland Express, Inc.		62,909
1,200	Heidrick & Struggles International, Inc.		28,956
2,700	Hub Group, Inc.^a		84,915
1,800	II-VI, Inc.^a		50,562
2,000	Insituform Technologies, Inc.^a,c		26,860
4,100	Interface, Inc.		28,905
2,000	John Bean Technologies Corporation		16,760
1,900	Kaman Corporation		48,507
2,000	Kaydon Corporation		66,820
3,900	Kirby Corporation^a		133,848
4,225	Knight Transportation, Inc.		67,177
3,900	Landstar System, Inc.		150,501
300	Lawson Products, Inc.		8,940
3,400	Lennox International, Inc.		101,388
900	Lindsay Manufacturing Company^c		42,822
1,200	Lydall, Inc.^a		7,980
2,200	MagneTek, Inc.^a		4,730
2,500	Mobile Mini, Inc.^a,c		42,000
3,125	Moog, Inc.^a		109,750
2,700	Mueller Industries, Inc.		61,749
1,400	NCI Building Systems, Inc.^a		26,054
2,000	Old Dominion Freight Line, Inc.^a		60,680
2,600	On Assignment, Inc.^a		16,900
4,300	Orbital Sciences Corporation^a,c		88,107
2,775	Quanex Building Products Corporation		25,419
2,400	Regal-Beloit Corporation		78,144
2,500	Robbins & Myers, Inc.		51,000
1,200	School Specialty, Inc.^a,c		25,200
2,700	Simpson Manufacturing Company, Inc.^c		62,208
4,200	SkyWest, Inc.		64,722
3,900	Spherion Corporation^a		12,402
900	Standard Register Company		7,317
900	Standex International Corporation		23,229
2,400	Sykes Enterprises, Inc.^a		38,304
2,600	Teledyne Technologies, Inc.^a		118,482
4,300	Tetra Tech, Inc.^a		94,557
2,600	Toro Company		87,464
1,400	Tredegar Corporation		20,608
1,200	Triumph Group, Inc.		52,632
3,200	TrueBlue, Inc.^a		26,656
1,700	United Stationers, Inc.^a		63,563
1,200	Universal Forest Products, Inc.		28,380
1,300	Valmont Industries, Inc.		71,214
1,500	Viad Corporation		32,775
1,400	Vicor Corporation		9,786
950	Volt Information Sciences, Inc.^a		7,268
2,200	Wabash National Corporation		13,376
5,875	Waste Connections, Inc.^a		198,869
2,100	Watsco, Inc.^c		86,289
3,200	Watson Wyatt Worldwide, Inc.		135,904
2,100	Watts Water Technologies, Inc.		55,503
4,000	Woodward Governor Company		128,400

	Total Industrials		4,693,988

Information Technology (15.7%)
1,900	Actel Corporation^a		22,971
8,800	Adaptec, Inc.^a		28,248
2,400	Advanced Energy Industries, Inc.^a		25,608
1,700	Agilysys, Inc.		6,834
2,200	Anixter International, Inc.^a,b		73,942
8,995	Arris Group, Inc.^a		62,155
2,300	ATMI, Inc.^a,b		27,968
2,247	Avid Technology, Inc.^a,c		33,323
7,500	Axcelis Technologies, Inc.^a		3,300
1,000	Bankrate, Inc.^a		32,910
900	Bel Fuse, Inc.		19,530
4,850	Benchmark Electronics, Inc.^a,b		58,152
1,300	Black Box Corporation		39,533
3,200	Blackbaud, Inc.		48,640
2,800	Blue Coat Systems, Inc.^a		37,800
3,720	Brightpoint, Inc.^a		21,427
4,653	Brooks Automation, Inc.^a		31,873

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.4%)	Value
Information Technology (15.7%) - continued
1,700	Cabot Microelectronics Corporation^a	$	48,841
2,200	CACI International, Inc.^a		90,596
600	Catapult Communications Corporation^a		2,562
2,800	Checkpoint Systems, Inc.^a		35,308
3,900	CIBER, Inc.^a		21,060
3,100	Cognex Corporation		49,662
1,700	Cohu, Inc.		24,038
1,800	Comtech Telecommunications Corporation^a		87,156
3,100	Concur Technologies, Inc.^a		78,213
2,500	CSG Systems International, Inc.^a		41,575
2,500	CTS Corporation		17,475
5,054	CyberSource Corporation^a		61,406
2,200	Cymer, Inc.^a		53,834
11,700	Cypress Semiconductor Corporation^a		58,617
2,500	Daktronics, Inc.^c		24,900
3,000	DealerTrack Holdings, Inc.^a		32,190
1,900	Digi International, Inc.^a		19,456
2,350	Diodes, Inc.^a		23,218
2,000	DSP Group, Inc.^a		12,600
2,000	Electro Scientific Industries, Inc.^a		16,740
1,200	EMS Technologies, Inc.^a		25,080
4,300	Epicor Software Corporation^a		30,315
2,600	EPIQ Systems, Inc.^a,c		35,334
3,100	Exar Corporation^a		20,708
1,200	Faro Technologies, Inc.^a		18,204
2,700	FEI Company^a		56,727
1,700	Gerber Scientific, Inc.^a		8,126
1,700	Gevity HR, Inc.		5,797
6,900	Harmonic, Inc.^a		49,059
1,800	Heartland Payment Systems, Inc.^c		31,338
1,700	Hutchinson Technology, Inc.^a		11,628
6,500	Informatica Corporation^a		91,325
2,500	InfoSpace, Inc.		21,425
3,350	Insight Enterprises, Inc.^a		32,596
1,200	Integral Systems, Inc.^a		29,484
1,600	Intevac, Inc.^a		12,448
2,500	Itron, Inc.^a,c		121,200
3,200	J2 Global Communication, Inc.^a		51,584
2,000	JDA Software Group, Inc.^a		28,560
1,000	Keithley Instruments, Inc.		4,250
2,100	Knot, Inc.^a,c		14,490
4,900	Kopin Corporation^a		11,368
3,900	Kulicke and Soffa Industries, Inc.^a		11,466
1,600	Littelfuse, Inc.^a		29,856
1,300	LoJack Corporation^a		5,681
1,800	Manhattan Associates, Inc.^a		30,258
1,500	ManTech International Corporation^a		80,910
1,400	MAXIMUS, Inc.		44,716
1,700	Mercury Computer Systems, Inc.^a		12,206
2,800	Methode Electronics, Inc.		21,252
3,600	Micrel, Inc.		26,460
5,900	MICROS Systems, Inc.^a		100,477
5,800	Microsemi Corporation^a		126,092
3,600	MKS Instruments, Inc.^a		66,780
1,200	MTS Systems Corporation		38,976
2,600	NETGEAR, Inc.^a		28,730
2,100	Network Equipment Technologies, Inc.^a		5,733
2,600	Newport Corporation^a		18,694
2,300	Novatel Wireless, Inc.^a		11,983
1,500	Park Electrochemical Corporation		32,430
1,400	PC TEL, Inc.		8,218
2,300	Perficient, Inc.^a		12,627
1,800	Pericom Semiconductor Corporation^a		14,040
2,000	Phoenix Technologies, Ltd.^a		8,840
3,100	Photronics, Inc.^a		2,139
2,900	Plexus Corporation^a		54,114
3,000	Progress Software Corporation^a		68,820
1,300	Quality Systems, Inc.^c		50,037
2,000	Radiant Systems, Inc.^a		10,540
1,600	RadiSys Corporation^a		10,192
1,300	Rogers Corporation^a		39,130
2,200	Rudolph Technologies, Inc.^a		7,370
1,900	ScanSource, Inc.^a		37,696
5,000	Secure Computing Corporation^a		28,300
1,000	SI International, Inc.^a		28,800
12,000	Skyworks Solutions, Inc.^a		85,560
2,000	Smith Micro Software, Inc.^a		12,500
1,900	Sonic Solutions, Inc.^a,c		3,876
1,300	SPSS, Inc.^a		30,368
1,600	Standard Microsystems Corporation^a		28,816
800	StarTek, Inc.^a		2,648
1,500	Stratasys, Inc.^a,c		18,120
900	Supertex, Inc.^a		21,708
3,250	Symmetricom, Inc.^a		14,463
2,450	Synaptics, Inc.^a,c		75,680
1,400	Synnex Corporation^a		21,602
5,650	Take-Two Interactive Software, Inc.^a		67,009
2,300	Taleo Corporation^a		31,740
3,000	Technitrol, Inc.		17,310
4,800	Tekelec, Inc.^a		60,912
4,900	THQ, Inc.^a		36,505
1,000	Tollgrade Communications, Inc.^a		4,400
10,600	TriQuint Semiconductor, Inc.^a		47,488
3,100	TTM Technologies, Inc.^a		22,196
2,300	Tyler Technologies, Inc.^a		31,257
1,700	Ultratech, Inc.^a		25,636
5,900	United Online, Inc.		43,660
5,275	Varian Semiconductor Equipment Associates, Inc.^a		103,495
2,300	Veeco Instruments, Inc.^a		17,802
2,000	ViaSat, Inc.^a		36,440
3,300	Websense, Inc.^a		64,416
2,800	Wright Express Corporation^a		38,332

	Total Information Technology		4,122,209

Materials (3.4%)
1,900	A. Schulman, Inc.		34,029
1,200	A.M. Castle & Company		14,604
1,600	AMCOL International Corporation		39,248
1,800	Arch Chemicals, Inc.		51,066
1,300	Balchem Corporation		33,228
1,500	Brush Engineered Materials, Inc.^a		18,405
2,900	Buckeye Technologies, Inc.^a		17,081
3,600	Calgon Carbon Corporation^a		47,952
2,700	Century Aluminum Company^a		33,939

The accompanying Notes to the Financial Statements are an integral part of this schedule.

Small Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.4%)	Value
Materials (3.4%) - continued
800	Deltic Timber Corporation	$	36,440
2,200	Georgia Gulf Corporation		5,060
3,500	H.B. Fuller Company		61,845
3,100	Headwaters, Inc.^a		32,860
900	Material Sciences Corporation^a		4,437
2,098	Myers Industries, Inc.		22,176
1,100	Neenah Paper, Inc.		9,933
900	NewMarket Corporation		33,921
700	Olympic Steel, Inc.		16,002
2,200	OM Group, Inc.^a		46,948
800	Penford Corporation		10,296
6,800	PolyOne Corporation^a		32,300
800	Quaker Chemical Corporation		15,304
2,800	Rock-Tenn Company		85,148
1,700	RTI International Metals, Inc.^a,c		26,843
1,100	Schweitzer-Mauduit International, Inc.		18,392
500	Stepan Company		17,915
2,000	Texas Industries, Inc.^c		63,260
3,600	Wausau Paper Corporation		33,336
1,500	Zep, Inc.		31,575

	Total Materials		893,543

Telecommunications Services (0.2%)
6,500	FairPoint Communications, Inc.		25,870
3,200	General Communication, Inc.^a		24,576

	Total Telecommunications Services		50,446

Utilities (5.1%)
1,900	ALLETE, Inc.^b		66,500
1,300	American States Water Company		44,473
6,600	Atmos Energy Corporation		160,182
3,900	Avista Corporation		77,454
800	Central Vermont Public Service Corporation^c		15,928
1,200	CH Energy Group, Inc.		49,476
4,400	Cleco Corporation		101,244
3,300	El Paso Electric Company^a		61,116
1,600	Laclede Group, Inc.		83,712
3,100	New Jersey Resources Corporation		115,444
1,900	Northwest Natural Gas Company^c		96,672
5,300	Piedmont Natural Gas Company, Inc.^c		174,476
2,200	South Jersey Industries, Inc.		74,954
3,200	Southwest Gas Corporation		83,584
1,799	UIL Holdings Corporation		59,367
2,600	UniSource Energy Corporation		71,708

	Total Utilities		1,336,290

	Total Common Stock (cost $28,211,854)		25,608,468


	Collateral Held for Securities Loaned (13.0%)^d
3,416,960	Thrivent Financial Securities Lending Trust		3,416,960

	Total Collateral Held for Securities Loaned (cost $3,416,960)		3,416,960


Shares or Principal Amount	Short-Term Investments (1.8%)^d
	Federal National Mortgage Association Discount Notes
100,000	2.100%, 12/10/2008^e	$	99,775
372,839	Thrivent Money Market Fund		372,839

	Total Short-Term Investments (at amortized cost)		472,614

	Total Investments (cost $32,101,428) 112.2%	$	29,498,042

	Other Assets and Liabilities, Net (12.2%)		(3,217,789	)

	Total Net Assets 100.0%	$	26,280,253

a	Non-income producing security.

b	At October 31, 2008, $766,042 of investments were earmarked to cover open financial futures contracts.

c	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

d	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

e	At October 31, 2008, $99,775 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	4,891,771
Gross unrealized depreciation		(8,121,402	)

Net unrealized appreciation (depreciation)		($3,229,631	)
Cost for federal income tax purposes	$	32,727,673

The accompanying Notes to Financial Statements are an integral part of this schedule.

Small Cap Index Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/ (Loss)
Russell 2000 Index Mini-Futures	13	December 2008	$	686,666	$	697,450	$	10,784
Total Futures							$	10,784

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Small Cap Index Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	254,837	$	8,765,523	$	8,647,521	372,839	$	372,839	$	29,433
Thrivent Financial Securities
Lending Trust		7,664,789		18,873,140		23,120,969	3,416,960		3,416,960		107,774
Total Value and Dividend Income		7,919,626							3,789,799		137,207

The accompanying Notes to the Financial Statements are an integral part of this schedule.

Mid Cap Growth Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.5%)	Value
Consumer Discretionary (18.2%)
6,345	Ascent Media Corporation^a	$	160,465
41,000	Bed Bath & Beyond, Inc.^a		1,056,570
202,800	Burger King Holdings, Inc.		4,031,664
22,800	Central European Media Enterprises, Ltd.^a,b		608,988
390,900	Chico’s FAS, Inc.^a,b		1,329,060
540,050	Coldwater Creek, Inc.^a,b		1,938,779
140,200	Corinthian Colleges, Inc.^a,b		2,002,056
72,500	DeVry, Inc.		4,110,025
63,450	Discovery Communications, Inc.^a		865,458
63,450	Discovery Communications, Inc.^a		845,154
125,000	Gentex Corporation		1,198,750
195,900	Goodyear Tire & Rubber Company^a		1,747,428
26,400	Guess ?, Inc.		574,728
63,300	Harley-Davidson, Inc.^b		1,549,584
33,300	Hasbro, Inc.		968,031
75,600	International Game Technology		1,058,400
32,100	ITT Educational Services, Inc.^a		2,813,565
71,700	Jack in the Box, Inc.^a		1,441,170
162,800	Leapfrog Enterprises, Inc.^a,b		1,098,900
61,100	Marvel Entertainment, Inc.^a,b		1,966,809
192,100	Quiksilver, Inc.^a		497,539
182,500	Texas Roadhouse, Inc.^a,b		1,281,150
21,300	VF Corporation		1,173,630
139,500	WMS Industries, Inc.^a		3,487,500
139,700	Zumiez, Inc.^a,b		1,363,472

	Total Consumer Discretionary		39,168,875

Consumer Staples (1.4%)
68,200	Coca-Cola Enterprises, Inc.		685,410
39,100	Green Mountain Coffee Roasters, Inc.^a,b		1,133,509
49,700	Pepsi Bottling Group, Inc.		1,149,064

	Total Consumer Staples		2,967,983

Energy (8.7%)
38,800	Cameron International
	Corporation^a		941,288
29,700	Diamond Offshore Drilling, Inc.		2,637,360
92,900	Dril-Quip, Inc.^a		2,294,630
72,700	Forest Oil Corporation^a		2,123,567
53,600	Oil States International, Inc.^a		1,239,768
98,400	Petrohawk Energy Corporation^a		1,864,680
67,500	Sunoco, Inc.^b		2,058,750
79,100	Ultra Petroleum Corporation^a		3,682,105
116,536	Willbros Group, Inc.^a,b		1,805,143

	Total Energy		18,647,291

Financials (6.2%)
147,800	Hudson City Bancorp, Inc.		2,780,118
9,700	IntercontinentalExchange, Inc.^a		829,932
70,300	Lazard, Ltd.		2,120,951
118,300	New York Community Bancorp, Inc.^b		1,852,578
92,100	T. Rowe Price Group, Inc.		3,641,634
167,600	TD Ameritrade Holding Corporation^a		2,227,404

	Total Financials		13,452,617

Health Care (15.2%)
62,100	Alkermes, Inc.^a,b		613,548
69,200	Amylin Pharmaceuticals, Inc.^a,b		706,532
26,000	Beckman Coulter, Inc.		1,297,920
92,100	BioMarin Pharmaceutical, Inc.^a,b		1,687,272
45,800	C.R. Bard, Inc.		4,041,851
34,800	Cephalon, Inc.^a,b		2,495,856
23,200	Express Scripts, Inc.^a		1,406,152
40,300	Genzyme Corporation^a		2,937,064
81,000	Hologic, Inc.^a		991,440
114,300	Illumina, Inc.^a,b		3,523,869
43,000	Millipore Corporation^a		2,231,270
49,300	Myriad Genetics, Inc.^a,b		3,110,337
67,900	NuVasive, Inc.^a,b		3,197,411
39,500	Shire Pharmaceuticals Group plc
	ADR		1,558,275
22,300	United Therapeutics Corporation^a		1,945,229
22,718	Waters Corporation^a		995,048

	Total Health Care		32,739,074

Industrials (13.7%)
232,800	AMR Corporation^a,b		2,376,888
118,500	BE Aerospace, Inc.^a		1,525,095
50,500	C.H. Robinson Worldwide, Inc.		2,614,890
62,800	Evergreen Solar, Inc.^a,b		238,012
35,040	Expeditors International of Washington, Inc.		1,144,056
26,600	Flowserve Corporation		1,514,072
68,300	Foster Wheeler, Ltd.^a		1,871,420
18,800	FTI Consulting, Inc.^a		1,095,100
15,000	Huron Consulting Group, Inc.^a		815,550
71,200	JB Hunt Transport Services, Inc.^b		2,024,216
19,900	Joy Global, Inc.		576,702
97,600	Monster Worldwide, Inc.^a		1,389,824
57,000	Pentair, Inc.^b		1,575,480
33,600	Precision Castparts Corporation		2,177,616
106,200	Quanta Services, Inc.^a		2,098,512
15,400	Rockwell Collins, Inc.		573,342
26,300	Roper Industries, Inc.		1,192,705
85,100	Ryanair Holdings plc^a,b		1,895,177
39,700	Stericycle, Inc.^a		2,319,671
14,700	SunPower Corporation^a,b		574,182

	Total Industrials		29,592,510

Information Technology (23.4%)
408,000	Activision Blizzard, Inc.^a		5,083,680
80,774	Akamai Technologies, Inc.^a		1,161,530
95,600	ASML Holding NV ADR		1,677,780
176,800	Broadcom Corporation^a		3,019,744
58,900	Electronic Arts, Inc.^a		1,341,742
158,800	F5 Networks, Inc.^a		3,941,416
114,700	FormFactor, Inc.^a,b		1,998,074
66,900	Hewitt Associates, Inc.^a		1,865,841
61,600	Hittite Microwave Corporation^a		2,018,632
94,700	Intersil Corporation		1,296,443
372,500	Marvell Technology Group, Ltd.^a		2,592,600
81,700	Maxim Integrated Products, Inc.		1,111,120
111,901	Mercadolibre, Inc.^a,b		1,529,687
74,200	Molex, Inc.		1,069,222
125,100	NETAPP, Inc.^a		1,692,603
56,700	Nuance Communications, Inc.^a,b		518,805
328,300	NVIDIA Corporation^a		2,875,908
144,500	Omniture, Inc.^a,b		1,661,750
223,600	PMC-Sierra, Inc.^a		1,046,448

The accompanying Notes to Financial Statements are an integral part of this schedule.

Mid Cap Growth Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.5%)	Value
Information Technology (23.4%) - continued
66,200	Polycom, Inc.^a	$	1,390,862
534,100	RF Micro Devices, Inc.^a,b		1,062,859
183,000	Seagate Technology		1,238,910
73,200	Synaptics, Inc.^a,b		2,261,148
135,200	Synopsys, Inc.^a		2,471,456
257,300	Tellabs, Inc.^a		1,090,952
65,900	Tyco Electronics, Ltd.		1,281,096
57,900	VeriSign, Inc.^a		1,227,480
29,700	VMware, Inc.^a,b		920,700

	Total Information Technology		50,448,488

Materials (5.4%)
32,000	Albemarle Corporation		779,200
56,400	Bemis Company, Inc.		1,400,976
73,800	Celanese Corporation		1,022,868
117,400	Owens-Illinois, Inc.^a		2,686,112
149,900	Pactiv Corporation^a		3,531,644
68,500	Rockwood Holdings, Inc.^a		845,975
40,400	Steel Dynamics, Inc.		481,568
22,300	United States Steel Corporation		822,424

	Total Materials		11,570,767

Telecommunications Services (4.3%)
70,410	American Tower Corporation^a		2,274,947
76,300	Clearwire Corporation^a,b		661,521
94,300	NII Holdings, Inc.^a		2,429,168
109,900	SBA Communications Corporation^a,b		2,306,801
212,200	TW Telecom, Inc.^a,b		1,502,376

	Total Telecommunications Services		9,174,813

	Total Common Stock (cost $282,844,532)		207,762,418

	Collateral Held for Securities Loaned (20.4%)^c
43,949,649	Thrivent Financial Securities Lending Trust		43,949,649

	Total Collateral Held for Securities Loaned (cost $43,949,649)		43,949,649

	Short-Term Investments (3.6%)^c
7,673,664	Thrivent Money Market Fund		7,673,664

	Total Short-Term Investments (at amortized cost)		7,673,664

	Total Investments (cost $334,467,845) 120.5%	$	259,385,731

	Other Assets and Liabilities, Net (20.5%)		(44,090,845	)

	Total Net Assets 100.0%	$	215,294,886

a	Non-income producing security.

b	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.


Definitions:

ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	14,726,129
Gross unrealized depreciation		(90,676,183	)

Net unrealized appreciation (depreciation)		($75,950,054	)
Cost for federal income tax purposes	$	335,335,785

The accompanying Notes to the Financial Statements are an integral part of this schedule.

Mid Cap Growth Fund

Schedule of Investments as of October 31, 2008

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Mid Cap Growth Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	19,343,238	$	89,368,399	$	101,037,973	7,673,664	$	7,673,664	$	618,081
Thrivent Financial Securities Lending Trust		89,916,284		283,291,960		329,258,595	43,949,649		43,949,649		510,477
Total Value and Dividend Income		109,259,522							51,623,313		1,128,558

The accompanying Notes to Financial Statements are an integral part of this schedule.

Partner Mid Cap Value Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (91.5%)	Value
Consumer Discretionary (12.3%)
5,432	AutoZone, Inc.^a	$	691,439
8,779	BorgWarner, Inc.		197,264
29,760	DISH Network Corporation^a		468,422
21,377	Fortune Brands, Inc.		815,319
72,263	H&R Block, Inc.		1,425,026
7,249	J.C. Penney Company, Inc.		173,396
25,397	Johnson Controls, Inc.		450,289
22,399	Kohl’s Corporation^a		786,877
7,754	M.D.C. Holdings, Inc.		260,767
29,270	Mattel, Inc.		439,635
62,980	Newell Rubbermaid, Inc.		865,975
1,147	NVR, Inc.^a,b		562,271
16,642	Ross Stores, Inc.		544,027
30,043	TJX Companies, Inc.		803,951
49,130	Viacom, Inc.^a		993,409

	Total Consumer Discretionary		9,478,067

Consumer Staples (6.7%)
15,326	Campbell Soup Company		581,622
23,096	Clorox Company		1,404,468
18,106	Coca-Cola Enterprises, Inc.		181,965
50,455	ConAgra Foods, Inc.		878,926
3,444	Energizer Holdings, Inc.^a		168,274
1,837	General Mills, Inc.		124,438
5,540	Herbalife, Ltd.		135,342
5,357	Lorillard, Inc.		352,812
6,405	Reynolds American, Inc.		313,589
22,175	Safeway, Inc.		471,662
36,025	SUPERVALU, Inc.		512,996

	Total Consumer Staples		5,126,094

Energy (8.6%)
20,363	Dril-Quip, Inc.^a		502,966
17,209	EOG Resources, Inc.		1,392,552
9,470	Frontier Oil Corporation		125,099
53,427	Newfield Exploration Company^a		1,227,752
28,145	Range Resources Corporation		1,188,282
28,652	Smith International, Inc.		987,917
54,880	Williams Companies, Inc.		1,150,834

	Total Energy		6,575,402

Financials (25.5%)
12,664	Alexandria Real Estate Equities, Inc.		880,401
16,880	Aon Corporation		714,024
8,260	Arch Capital Group, Ltd.^a		576,135
12,529	Assurant, Inc.		319,239
27,951	CIT Group, Inc.^b		115,717
19,260	Commerce Bancshares, Inc.		910,613
18,614	Digital Realty Trust, Inc.^b		623,197
9,520	Essex Property Trust, Inc.		926,296
15,659	Everest Re Group, Ltd.		1,169,727
32,531	Genworth Financial, Inc.		157,450
33,790	Health Care Property Investors, Inc.		1,011,335
33,295	Hudson City Bancorp, Inc.		626,279
28,136	Huntington Bancshares, Inc.^b		265,885
47,792	Invesco, Ltd.		712,579
7,817	Lazard, Ltd.		235,839
18,228	Lincoln National Corporation		314,251
8,098	M&T Bank Corporation^b		656,748
32,415	Marsh & McLennan Companies, Inc.		950,408
14,530	Nasdaq OMX Group, Inc.^a		471,644
14,458	Northern Trust Corporation		814,130
12,429	PartnerRe, Ltd.		841,319
47,925	People’s United Financial, Inc.		838,687
10,184	Principal Financial Group, Inc.		193,394
63,963	Progressive Corporation		912,752
9,180	RenaissanceRe Holdings, Ltd.		421,362
40,764	SLM Corporation^a		434,952
24,560	Synovus Financial Corporation^b		253,705
9,199	Torchmark Corporation		384,242
25,438	UnumProvident Corporation		400,648
58,197	W.R. Berkley Corporation		1,528,835
33,521	Willis Group Holdings, Ltd.		879,591

	Total Financials		19,541,384

Health Care (6.6%)
5,154	Coventry Health Care, Inc.^a		67,981
12,462	Edwards Lifesciences Corporation^a		658,492
5,713	Health Net, Inc.^a		73,583
39,442	IMS Health, Inc.		565,598
24,199	Kinetic Concepts, Inc.^a,b		585,858
21,985	Laboratory Corporation of America Holdings^a		1,351,858
4,770	Patterson Companies, Inc.^a		120,824
17,686	PerkinElmer, Inc.		317,287
21,710	WellPoint, Inc.^a		843,868
10,798	Zimmer Holdings, Inc.^a		501,351

	Total Health Care		5,086,700

Industrials (7.9%)
5,233	Alliant Techsystems, Inc.^a		431,199
99,824	Allied Waste Industries, Inc.^a		1,040,166
12,415	Cooper Industries, Ltd.		384,244
6,987	Eaton Corporation		311,620
5,724	Ingersoll-Rand Company		105,608
40,823	Iron Mountain, Inc.^a		991,183
20,003	Landstar System, Inc.		771,916
4,842	Lennox International, Inc.		144,389
10,886	Parker-Hannifin Corporation		422,050
20,890	Republic Services, Inc.		495,093
14,597	Ryder System, Inc.^b		578,333
30,330	Southwest Airlines Company		357,287

	Total Industrials		6,033,088

Information Technology (4.5%)
49,216	Activision Blizzard, Inc.^a		613,231
54,045	Amphenol Corporation		1,548,389
28,066	Autodesk, Inc.^a		598,087
48,998	CommScope, Inc.^a		720,761

	Total Information Technology		3,480,468

Materials (3.7%)
19,030	Air Products and Chemicals, Inc.		1,106,214
32,437	Albemarle Corporation		789,841
6,856	Carpenter Technology Corporation		124,094
25,090	International Paper Company		432,050

The accompanying Notes to Financial Statements are an integral part of this schedule.

Partner Mid Cap Value Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (91.5%)	Value
Materials (3.7%) - continued
10,292	Weyerhaeuser Company	$	393,360

	Total Materials		2,845,559

Telecommunications Services (0.7%)
17,854	Embarq Corporation		535,620

	Total Telecommunications Services		535,620

Utilities (15.0%)
32,550	American Electric Power Company, Inc.		1,062,106
42,653	CMS Energy Corporation		437,193
55,439	DPL, Inc.		1,264,564
35,835	Edison International, Inc.		1,275,368
27,325	Entergy Corporation		2,132,715
18,120	Equitable Resources, Inc.		628,945
22,129	FirstEnergy Corporation		1,154,249
31,277	PG&E Corporation		1,146,928
58,265	PPL Corporation		1,912,257
10,259	Sempra Energy		436,931
2,050	Wisconsin Energy Corporation		89,175

	Total Utilities		11,540,431

	Total Common Stock (cost $90,381,827)		70,242,813


	Collateral Held for Securities Loaned (3.6%)^c
2,746,527	Thrivent Financial Securities Lending Trust		2,746,527

	Total Collateral Held for Securities Loaned (cost $2,746,527)		2,746,527

	Short-Term Investments (8.2%)^c
6,327,498	Thrivent Money Market Fund		6,327,498
	Total Short-Term Investments (at amortized cost)		6,327,498

	Total Investments (cost $99,455,852) 103.3%	$	79,316,838

	Other Assets and Liabilities, Net (3.3%)		(2,513,332	)

	Total Net Assets 100.0%	$	76,803,506

a	Non-income producing security.

b	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	1,223,716
Gross unrealized depreciation		(23,284,671	)

Net unrealized appreciation (depreciation)		($22,060,955	)
Cost for federal income tax purposes	$	101,377,793

The accompanying Notes to Financial Statements are an integral part of this schedule.

Partner Mid Cap Value Fund

Schedule of Investments as of October 31, 2008

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Partner Mid Cap Value Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	2,336,105	$	40,839,635	$	36,848,242	6,327,498	$	6,327,498	$	106,970
Thrivent Financial Securities Lending Trust		4,022,546		58,057,017		59,333,036	2,746,527		2,746,527		33,775
Total Value and Dividend Income		6,358,651							9,074,025		140,745

The accompanying Notes to the Financial Statements are an integral part of this schedule.

Mid Cap Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.7%)	Value
Consumer Discretionary (9.8%)
150,100	Advance Auto Parts, Inc.	$	4,683,120
138,800	Autoliv, Inc.		2,964,768
154,800	BorgWarner, Inc.		3,478,356
193,300	Burger King Holdings, Inc.		3,842,804
240,300	Dollar Tree, Inc.^a		9,136,206
184,700	Fossil, Inc.^a,b		3,352,305
136,900	Guess ?, Inc.		2,980,313
145,600	Kohl’s Corporation^a		5,114,928
147,300	McGraw-Hill Companies, Inc.		3,953,532
214,300	PetSmart, Inc.		4,219,567
272,900	Ross Stores, Inc.		8,921,101
207,800	Scientific Games Corporation^a,b		3,740,400
176,700	TJX Companies, Inc.		4,728,492
327,900	WMS Industries, Inc.^a,b		8,197,500

	Total Consumer Discretionary		69,313,392

Consumer Staples (6.0%)
67,800	Church & Dwight Company, Inc.		4,006,302
326,900	Flowers Foods, Inc.		9,692,585
189,400	Kellogg Company		9,549,548
179,700	Kroger Company		4,934,562
61,100	Ralcorp Holdings, Inc.^a		4,135,248
352,000	TreeHouse Foods, Inc.^a,b		10,651,520

	Total Consumer Staples		42,969,765

Energy (8.8%)
102,900	Dril-Quip, Inc.^a		2,541,630
290,900	Forest Oil Corporation^a		8,497,189
186,400	Holly Corporation		3,659,032
132,600	National Oilwell Varco, Inc.^a		3,963,414
311,400	Petrohawk Energy Corporation^a		5,901,030
158,600	Range Resources Corporation		6,696,092
336,700	Southwestern Energy Company^a		11,993,254
456,300	TETRA Technologies, Inc.^a		3,175,848
193,700	Weatherford International, Ltd.^a		3,269,656
307,100	Willbros Group, Inc.^a,b		4,756,979
230,700	XTO Energy, Inc.		8,293,665

	Total Energy		62,747,789

Financials (19.6%)
672,400	Colonial BancGroup, Inc.^b		2,750,116
209,395	Commerce Bancshares, Inc.		9,900,196
148,100	Cousins Properties, Inc.^b		2,144,488
127,600	Cullen/Frost Bankers, Inc.^b		7,141,772
212,500	Duke Realty Corporation^b		2,998,375
71,800	Eaton Vance Corporation		1,579,600
160,100	Endurance Specialty Holdings, Ltd.^b		4,841,424
271,400	Equity One, Inc.^b		4,741,358
119,800	Hanover Insurance Group, Inc.		4,702,150
893,150	HCC Insurance Holdings, Inc.		19,702,889
137,500	Lazard, Ltd.		4,148,375
397,400	Marshall & Ilsley Corporation^b		7,165,122
776,900	MGIC Investment Corporation^b		3,014,372
718,479	New York Community Bancorp, Inc.^b		11,251,381
111,500	PartnerRe, Ltd.		7,547,435
168,200	Raymond James Financial, Inc.^b		3,917,378
181,400	Rayonier, Inc. REIT		6,000,712
838,300	U-Store-It Trust		5,750,738
666,050	W.R. Berkley Corporation		17,497,133
91,500	Westamerica Bancorporation^b		5,238,375
177,400	Zions Bancorporation^b		6,760,714

	Total Financials		138,794,103

Health Care (11.0%)
138,900	AmerisourceBergen Corporation		4,343,403
113,600	Beckman Coulter, Inc.		5,670,912
162,600	BioMarin Pharmaceutical, Inc.^a,b		2,978,832
132,500	C.R. Bard, Inc.		11,693,125
280,600	Celera Corporation^a,b		3,173,586
357,300	Community Health Systems, Inc.^a		7,324,650
130,200	Coventry Health Care, Inc.^a		1,717,338
95,000	DaVita, Inc.^a		5,391,250
61,900	Henry Schein, Inc.^a		2,897,539
48,500	NuVasive, Inc.^a,b		2,283,865
98,700	Shire Pharmaceuticals Group plc ADR		3,893,715
166,000	STERIS Corporation		5,650,640
48,900	United Therapeutics Corporation^a,b		4,265,547
175,400	Varian Medical Systems, Inc.^a		7,982,454
97,300	Varian, Inc.^a		3,585,505
190,700	Vertex Pharmaceuticals, Inc.^a		4,998,247

	Total Health Care		77,850,608

Industrials (7.6%)
52,200	Alliant Techsystems, Inc.^a,b		4,301,280
130,300	Continental Airlines, Inc.^a		2,465,276
86,600	Eaton Corporation		3,862,360
153,800	IDEX Corporation		3,565,084
158,900	Masco Corporation		1,612,835
459,200	Oshkosh Corporation		3,517,472
142,000	Pall Corporation		3,750,220
398,600	Polypore International, Inc.^a		3,400,058
126,800	Rockwell Automation, Inc.		3,508,556
158,100	Rockwell Collins, Inc.		5,886,063
123,500	Roper Industries, Inc.		5,600,725
246,800	Shaw Group, Inc.^a		4,415,252
58,500	SPX Corporation		2,266,290
138,000	Tyco International, Ltd.		3,488,640
117,000	WESCO International, Inc.^a		2,325,960

	Total Industrials		53,966,071

Information Technology (17.9%)
322,100	Activision Blizzard, Inc.^a		4,013,366
367,700	ASML Holding NV ADR^b		6,453,135
2,546,400	Atmel Corporation^a		10,567,560
204,600	Broadcom Corporation^a		3,494,568
234,400	Check Point Software Technologies, Ltd.^a		4,739,568
484,800	CIENA Corporation^a,b		4,658,928
1,831,300	Compuware Corporation^a		11,683,694
182,700	Electronic Arts, Inc.^a		4,161,906
340,000	F5 Networks, Inc.^a		8,438,800
673,800	FormFactor, Inc.^a,b		11,737,596
166,300	Intersil Corporation		2,276,647
198,600	Juniper Networks, Inc.^a		3,721,764
151,700	Lam Research Corporation^a,b		3,392,012
109,500	Logitech International SA^a,b		1,619,505
121,600	McAfee, Inc.^a		3,958,080
185,100	Paychex, Inc.		5,282,754
1,026,300	PMC-Sierra, Inc.^a		4,803,084

The accompanying Notes to Financial Statements are an integral part of this schedule.

Mid Cap Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.7%)	Value
Information Technology (17.9%) - continued
453,100	Polycom, Inc.^a,b	$	9,519,631
430,500	Quest Software, Inc.^a		5,704,125
1,114,000	Teradyne, Inc.^a		5,681,400
462,200	TIBCO Software, Inc.^a		2,380,330
231,100	Xilinx, Inc.		4,256,862
239,100	Zebra Technologies Corporation^a		4,839,384

	Total Information Technology		127,384,699

Materials (10.2%)
510,700	Albemarle Corporation		12,435,545
227,848	Ball Corporation		7,792,401
32,900	CF Industries Holdings, Inc.		2,111,851
335,100	Commercial Metals Company		3,719,610
218,600	Crown Holdings, Inc.^a		4,411,348
268,600	Owens-Illinois, Inc.^a		6,145,568
402,800	Packaging Corporation of America		6,779,124
197,803	Pactiv Corporation^a		4,660,239
454,285	Silgan Holdings, Inc.		21,142,424
241,100	Steel Dynamics, Inc.		2,873,912

	Total Materials		72,072,022

Telecommunications Services (0.8%)
1,305,500	Cincinnati Bell, Inc.^a,b		3,120,145
94,500	Telephone and Data Systems, Inc.		2,537,325

	Total Telecommunications Services		5,657,470

Utilities (6.0%)
124,300	Equitable Resources, Inc.		4,314,453
439,700	MDU Resources Group, Inc.		8,006,937
107,400	National Fuel Gas Company		3,886,806
218,100	Pepco Holdings, Inc.		4,503,765
210,500	Portland General Electric Company		4,319,460
315,000	UGI Corporation		7,519,050
224,500	Wisconsin Energy Corporation		9,765,750

	Total Utilities		42,316,221

	Total Common Stock (cost $883,241,320)		693,072,140


	Collateral Held for Securities Loaned (11.0%)^c
77,710,896	Thrivent Financial Securities Lending Trust		77,710,896

	Total Collateral Held for Securities Loaned (cost $77,710,896)		77,710,896


Shares or Principal Amount	Short-Term Investments (4.4%)^c
	Barclays Bank plc Repurchase Agreement
17,715,000	0.200%, 11/3/2008^d		17,715,000
	Deutsche Financial Bank, LLC
12,295,000	0.130%, 11/3/2008		12,294,911

	Short-Term Investments (4.4%)^c
1,614,580	Thrivent Money Market Fund		$1,614,580
	Total Short-Term Investments (at amortized cost)		31,624,491

	Total Investments (cost $992,576,707) 113.1%		$802,407,527

	Other Assets and Liabilities, Net (13.1%)		(93,080,120)

	Total Net Assets 100.0%		$709,327,407

a	Non-income producing security.

b	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

d	Repurchase agreement dated October 31, 2008, $17,715,295 maturing November 3, 2008, collateralized by $18,070,718 Federal Home Loan Bank, 2.375% due April 21, 2009.

Definitions:


ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.
REIT	-	Real Estate Investment Trust, is a company that buys, develops, manages and/or sells real estate assets.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	13,588,958
Gross unrealized depreciation		(220,976,540	)

Net unrealized appreciation (depreciation)		($207,387,582	)
Cost for federal income tax purposes	$	1,009,795,109

The accompanying Notes to the Financial Statements are an integral part of this schedule.

Mid Cap Stock Fund

Schedule of Investments as of October 31, 2008

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Mid Cap Stock Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	18,634,670	$	112,913,667	$	129,933,757	1,614,580	$	1,614,580	$	594,853
Thrivent Financial Securities Lending Trust		263,325,754		899,897,419		1,085,512,277	77,710,896		77,710,896		1,540,753
Total Value and Dividend Income		281,960,424							79,325,476		2,135,606

The accompanying Notes to Financial Statements are an integral part of this schedule.

Mid Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.8%)	Value
Consumer Discretionary (13.2%)
2,100	99 Cents Only Stores^a	$	25,620
4,200	Advance Auto Parts, Inc.^b		131,040
3,000	Aeropostale, Inc.^a		72,630
9,150	American Eagle Outfitters, Inc.^b		101,748
2,200	American Greetings Corporation		25,696
2,500	AnnTaylor Stores Corporation^a		31,425
3,317	ArvinMeritor, Inc.^c		19,637
1,660	Barnes & Noble, Inc.		31,341
3,910	Belo Corporation		8,328
1,110	Blyth, Inc.		9,546
1,410	Bob Evans Farms, Inc.		29,441
2,660	Borders Group, Inc.		9,017
5,180	BorgWarner, Inc.		116,395
2,500	Boyd Gaming Corporation		17,000
4,462	Brinker International, Inc.		41,497
2,850	Callaway Golf Company		29,811
3,300	Career Education Corporation^a,c		52,173
9,800	CarMax, Inc.^a,b		104,076
2,900	Cheesecake Factory, Inc.^a,c		25,520
7,800	Chico’s FAS, Inc.^a		26,520
1,500	Chipotle Mexican Grill, Inc.^a,c		76,125
2,100	Coldwater Creek, Inc.^a		7,539
2,870	Collective Brands, Inc.^a		36,707
3,800	Corinthian Colleges, Inc.^a		54,264
2,690	DeVry, Inc.		152,496
3,800	Dick’s Sporting Goods, Inc.^a		58,216
3,970	Dollar Tree, Inc.^a		150,939
3,600	DreamWorks Animation SKG, Inc.^a		101,160
6,900	Foot Locker, Inc.		100,878
1,820	Furniture Brands International, Inc.		10,356
6,300	Gentex Corporation		60,417
2,700	Guess ?, Inc.		58,779
4,200	Hanesbrands, Inc.^a		73,374
1,720	Harte-Hanks, Inc.		12,074
2,200	Hovnanian Enterprises, Inc.^a,c		9,438
1,250	International Speedway Corporation		39,238
1,400	ITT Educational Services, Inc.^a		122,710
2,300	J. Crew Group, Inc.^a,c		46,575
1,900	John Wiley and Sons, Inc.		66,082
3,400	Lamar Advertising Company^a,c		51,578
3,400	Lear Corporation^a		6,834
1,500	Life Time Fitness, Inc.^a,c		28,560
1,600	M.D.C. Holdings, Inc.		53,808
2,200	Marvel Entertainment, Inc.^a,c		70,818
1,400	Matthews International Corporation		62,482
1,010	Media General, Inc.^c		7,706
1,450	Modine Manufacturing Company		10,730
2,460	Mohawk Industries, Inc.^a,c		119,015
1,900	Netflix, Inc.^a		47,044
200	NVR, Inc.^a		98,042
5,900	O’Reilly Automotive, Inc.^a		159,949
2,900	Pacific Sunwear of California, Inc.^a		9,918
5,600	PetSmart, Inc.		110,264
2,300	Phillips-Van Heusen Corporation		56,373
1,700	Priceline.com, Inc.^a,c		89,471
1,900	Regis Corporation		23,503
3,000	Rent-A-Center, Inc.^a		43,800
5,800	Ross Stores, Inc.		189,602
1,900	Ryland Group, Inc.		35,701
6,310	Saks, Inc.^a,c		37,860
1,180	Scholastic Corporation		21,913
2,900	Scientific Games Corporation^a		52,200
11,400	Service Corporation International		78,660
3,000	Sotheby’s Holdings, Inc.^c		27,930
600	Strayer Education, Inc.		135,762
1,600	Thor Industries, Inc.^c		28,640
2,100	Timberland Company^a		25,410
5,800	Toll Brothers, Inc.^a		134,096
2,800	Tupperware Corporation		70,840
1,600	Under Armour, Inc.^a,c		41,600
5,000	Urban Outfitters, Inc.^a		108,700
2,160	Valassis Communications, Inc.^a		9,590
2,000	Warnaco Group, Inc.^a		59,620
24,200	Wendy’s/Arby’s Group, Inc.		87,604
3,860	Williams-Sonoma, Inc.		31,961

	Total Consumer Discretionary		4,373,412

Consumer Staples (4.0%)
3,800	Alberto-Culver Company		97,774
2,620	BJ’s Wholesale Club, Inc.^a		92,224
2,980	Church & Dwight Company, Inc.		176,088
3,300	Corn Products International, Inc.		80,256
2,550	Energizer Holdings, Inc.^a		124,593
3,300	Hansen Natural Corporation^a,c		83,556
3,100	Hormel Foods Corporation		87,606
2,388	J.M. Smucker Company^c		106,409
930	Lancaster Colony Corporation		29,332
2,400	NBTY, Inc.^a		56,088
2,560	PepsiAmericas, Inc.		48,461
2,500	Ralcorp Holdings, Inc.^a		169,200
1,690	Ruddick Corporation		48,401
5,200	Smithfield Foods, Inc.^a,c		54,704
1,195	Tootsie Roll Industries, Inc.^c		29,720
1,140	Universal Corporation^c		45,133

	Total Consumer Staples		1,329,545

Energy (6.8%)
6,400	Arch Coal, Inc.		137,024
1,600	Bill Barrett Corporation^a,c		32,640
3,700	Cimarex Energy Company		149,702
1,800	Comstock Resources, Inc.^a		88,956
10,900	Denbury Resources, Inc.^a		138,539
2,400	Encore Acquisition Company^a		74,760
2,916	Exterran Holdings, Inc.^a		65,348
5,600	FMC Technologies, Inc.^a		195,944
4,000	Forest Oil Corporation^a		116,840
4,600	Frontier Oil Corporation		60,766
4,100	Helix Energy Solutions Group, Inc.^a		43,296
4,640	Helmerich & Payne, Inc.		159,198
5,900	Newfield Exploration Company^a		135,582
2,800	Oceaneering International, Inc.^a		78,876
1,190	Overseas Shipholding Group, Inc.		44,720
2,800	Patriot Coal Corporation^a		44,324
6,900	Patterson-UTI Energy, Inc.		91,563
4,742	Plains Exploration & Production Company^a		133,725
7,700	Pride International, Inc.^a		144,683
5,000	Quicksilver Resources, Inc.^a		52,350

The accompanying Notes to Financial Statements are an integral part of this schedule.

Mid Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.8%)	Value
Energy (6.8%) - continued
3,600	Superior Energy Services, Inc.^a	$	76,752
2,310	Tidewater, Inc.		100,739
1,900	Unit Corporation^a		71,326

	Total Energy		2,237,653

Financials (18.9%)
1,800	Affiliated Managers Group, Inc.^a		83,484
1,400	Alexandria Real Estate Equities, Inc.		97,328
4,300	AMB Property Corporation^b		103,329
3,350	American Financial Group, Inc.		76,146
5,200	AmeriCredit Corporation^a,c		30,472
6,300	Apollo Investment Corporation		83,034
4,100	Arthur J. Gallagher & Company		99,876
5,678	Associated Banc-Corp^c		125,257
3,520	Astoria Financial Corporation		66,950
3,200	BancorpSouth, Inc.		77,664
2,070	Bank of Hawaii Corporation		104,970
2,300	BRE Properties, Inc.		80,063
5,100	Brown & Brown, Inc.		104,652
2,400	Camden Property Trust		80,904
2,200	Cathay General Bancorp^c		53,856
1,800	City National Corporation		96,354
9,000	Colonial BancGroup, Inc.^c		36,810
2,800	Commerce Bancshares, Inc.		132,384
1,900	Cousins Properties, Inc.		27,512
2,600	Cullen/Frost Bankers, Inc.		145,522
6,500	Duke Realty Corporation		91,715
5,100	Eaton Vance Corporation		112,200
1,400	Equity One, Inc.^c		24,458
1,100	Essex Property Trust, Inc.		107,030
2,690	Everest Re Group, Ltd.		200,943
2,600	Federal Realty Investment Trust		159,302
9,372	Fidelity National Financial, Inc.		84,442
4,100	First American Corporation		83,681
5,500	First Niagara Financial Group, Inc.		86,735
3,550	FirstMerit Corporation^c		82,786
2,260	Hanover Insurance Group, Inc.		88,705
5,100	HCC Insurance Holdings, Inc.		112,506
4,500	Health Care REIT, Inc.		200,295
2,800	Highwoods Properties, Inc.		69,496
1,750	Horace Mann Educators Corporation		13,930
4,200	Hospitality Properties Trust		42,630
5,300	Jefferies Group, Inc.		83,899
1,800	Jones Lang LaSalle, Inc.		59,256
4,400	Liberty Property Trust		104,940
3,300	Macerich Company		97,086
2,900	Mack-Cali Realty Corporation		65,888
1,600	Mercury General Corporation		82,192
4,300	Nationwide Health Properties, Inc.^c		128,312
15,210	New York Community Bancorp, Inc.^c		238,189
10,206	Old Republic International Corporation		93,997
1,100	PacWest Bancorp		27,489
2,600	Philadelphia Consolidated Holding Corporation^a		152,074
3,040	PMI Group, Inc.		7,570
1,755	Potlatch Corporation^c		58,284
3,050	Protective Life Corporation		25,467
4,225	Raymond James Financial, Inc.		98,400
3,528	Rayonier, Inc. REIT		116,706
4,500	Realty Income Corporation^c		104,040
3,100	Regency Centers Corporation		122,326
3,100	Reinsurance Group of America, Inc.		115,754
5,900	SEI Investments Company		104,312
2,200	StanCorp Financial Group, Inc.		74,976
1,400	SVB Financial Group^a		72,030
12,400	Synovus Financial Corporation^c		128,092
5,080	TCF Financial Corporation^c		90,119
6,500	UDR, Inc.		128,440
2,190	Unitrin, Inc.		45,990
6,250	W.R. Berkley Corporation		164,187
3,800	Waddell & Reed Financial, Inc.		55,176
3,896	Washington Federal, Inc.		68,648
2,350	Webster Financial Corporation		43,569
3,300	Weingarten Realty Investors^c		67,485
1,310	Westamerica Bancorporation		74,997
2,940	Wilmington Trust Corporation		84,848

	Total Financials		6,252,159

Health Care (11.9%)
2,356	Advanced Medical Optics, Inc.^a		14,536
3,100	Affymetrix, Inc.^a		11,439
2,800	Beckman Coulter, Inc.^b		139,776
3,000	Cephalon, Inc.^a,c		215,160
3,000	Cerner Corporation^a		111,690
3,000	Charles River Laboratories International, Inc.^a,c		107,490
4,300	Community Health Systems, Inc.^a		88,150
2,790	Covance, Inc.^a		139,500
6,620	Dentsply International, Inc.		201,115
2,490	Edwards Lifesciences Corporation^a		131,572
5,300	Endo Pharmaceutical Holdings, Inc.^a		98,050
2,400	Gen-Probe, Inc.^a		112,944
10,800	Health Management Associates, Inc.^a		22,680
4,740	Health Net, Inc.^a		61,051
4,000	Henry Schein, Inc.^a		187,240
2,730	Hill-Rom Holdings, Inc.^c		62,135
11,400	Hologic, Inc.^a		139,536
2,600	IDEXX Laboratories, Inc.^a		91,494
4,100	Invitrogen Corporation^a		118,039
1,300	Kindred Healthcare, Inc.^a		18,837
2,500	Kinetic Concepts, Inc.^a		60,525
2,400	LifePoint Hospitals, Inc.^a		57,528
3,300	Lincare Holdings, Inc.^a		86,955
2,500	Medicis Pharmaceutical Corporation		35,675
4,580	Omnicare, Inc.^c		126,271
5,300	PDL BioPharma, Inc.		51,675
3,420	Perrigo Company		116,280
5,300	Pharmaceutical Product Development, Inc.		164,194
2,500	Psychiatric Solutions, Inc.^a		83,225
3,400	ResMed, Inc.^a		116,484
4,820	Sepracor, Inc.^a		64,202
2,570	STERIS Corporation		87,483
1,700	Techne Corporation		117,334
1,720	Teleflex, Inc.		91,143
1,000	United Therapeutics Corporation^a		87,230
2,300	Universal Health Services, Inc.		96,692

The accompanying Notes to Financial Statements are an integral part of this schedule.

Mid Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.8%)	Value
Health Care (11.9%) - continued
3,870	Valeant Pharmaceuticals International^a	$	72,640
1,300	Varian, Inc.^a		47,905
3,700	VCA Antech, Inc.^a		66,970
6,600	Vertex Pharmaceuticals, Inc.^a		172,986
1,800	Wellcare Health Plans, Inc.^a		43,506

	Total Health Care		3,919,337

Industrials (14.0%)
4,110	AGCO Corporation^a,b		129,547
5,200	AirTran Holdings, Inc.^a		21,268
1,620	Alaska Air Group, Inc.^a		40,014
1,850	Alexander & Baldwin, Inc.^c		59,015
1,500	Alliant Techsystems, Inc.^a		123,600
4,760	AMETEK, Inc.		158,270
4,500	Avis Budget Group, Inc.^a		7,380
4,400	BE Aerospace, Inc.^a		56,628
1,840	Brink’s Company		89,222
2,720	Carlisle Companies, Inc.		63,240
800	Clean Harbors, Inc.^a		52,456
2,010	Con-way, Inc.		68,420
2,900	Copart, Inc.^a		101,210
1,500	Corporate Executive Board Company		44,745
5,600	Corrections Corporation of America^a		107,016
2,100	Crane Company		34,377
2,300	Deluxe Corporation		27,968
3,480	Donaldson Company, Inc.		122,322
2,400	Dun & Bradstreet Corporation		176,856
1,700	Dycom Industries, Inc.^a		15,096
2,080	Federal Signal Corporation		17,701
2,200	GATX Corporation		62,810
2,650	Graco, Inc.^c		65,534
1,445	Granite Construction, Inc.		51,543
3,780	Harsco Corporation		89,473
2,470	Herman Miller, Inc.		54,340
2,010	HNI Corporation^c		36,823
2,530	Hubbell, Inc.		90,751
3,700	IDEX Corporation		85,766
3,600	JB Hunt Transport Services, Inc.		102,348
8,100	JetBlue Airways Corporation^a,c		44,955
4,750	Joy Global, Inc.		137,655
4,000	Kansas City Southern, Inc.^a		123,480
7,500	KBR, Inc.		111,300
1,200	Kelly Services, Inc.		17,088
3,420	Kennametal, Inc.		72,572
2,100	Korn/Ferry International^a		29,169
1,900	Lincoln Electric Holdings, Inc.		81,985
3,540	Manpower, Inc.		110,200
1,300	Mine Safety Appliances Company		35,100
4,120	MPS Group, Inc.^a		32,095
2,000	MSC Industrial Direct Company, Inc.		71,720
2,100	Navigant Consulting, Inc.^a,c		33,957
1,480	Nordson Corporation		54,656
3,300	Oshkosh Corporation		25,278
4,420	Pentair, Inc.		122,169
7,790	Quanta Services, Inc.^a		153,930
6,900	Republic Services, Inc.		163,530
1,843	Rollins, Inc.		32,382
4,000	Roper Industries, Inc.		181,400
3,700	Shaw Group, Inc.^a		66,193
2,440	SPX Corporation		94,526
3,800	Stericycle, Inc.^a		222,034
2,600	Thomas & Betts Corporation^a		61,750
3,800	Timken Company		60,344
3,595	Trinity Industries, Inc.		60,684
2,619	United Rentals, Inc.^a,c		26,845
3,700	URS Corporation^a		108,743
2,100	Wabtec Corporation		83,496
1,900	Werner Enterprises, Inc.		37,278
2,500	YRC Worldwide, Inc.^a		11,450

	Total Industrials		4,623,703

Information Technology (13.0%)
18,000	3Com Corporation^a		49,140
1,480	ACI Worldwide, Inc.^a		20,276
3,030	Acxiom Corporation		23,816
5,200	ADC Telecommunications, Inc.^a		32,968
2,460	ADTRAN, Inc.		37,392
700	Advent Software, Inc.^a		13,118
3,000	Alliance Data Systems Corporation^a,b		150,480
3,900	ANSYS, Inc.^a		111,657
5,320	Arrow Electronics, Inc.^a		92,834
19,760	Atmel Corporation^a,b		82,004
6,640	Avnet, Inc.^a,c		111,154
2,010	Avocent Corporation^a		30,190
6,200	Broadridge Financial Solutions, Inc.		75,020
11,580	Cadence Design Systems, Inc.^a		47,131
3,066	CommScope, Inc.^a		45,101
3,900	Cree, Inc.^a,c		76,557
2,900	Diebold, Inc.		86,188
1,600	Digital River, Inc.^a		39,648
1,910	DST Systems, Inc.^a,c		77,508
3,600	F5 Networks, Inc.^a		89,352
1,900	FactSet Research Systems, Inc.		73,701
2,150	Fair Isaac Corporation		33,518
5,500	Fairchild Semiconductor International, Inc.^a		31,240
6,200	FLIR Systems, Inc.^a		199,020
6,500	Foundry Networks, Inc.^a		96,525
2,600	Gartner, Inc.^a		47,840
3,500	Global Payments, Inc.		141,785
1,300	Imation Corporation		16,016
7,400	Ingram Micro, Inc.^a		98,642
7,490	Integrated Device Technology, Inc.^a		47,636
3,200	International Rectifier Corporation^a		49,408
5,500	Intersil Corporation		75,295
3,800	Jack Henry & Associates, Inc.		72,238
5,600	Lam Research Corporation^a		125,216
3,700	Lender Processing Services, Inc.		85,359
3,700	Macrovision Solutions Corporation^a		40,996
6,680	McAfee, Inc.^a		217,434
4,140	Mentor Graphics Corporation^a		30,388
4,000	Metavante Technologies, Inc.^a		67,080
2,550	National Instruments Corporation		64,770
7,300	NCR Corporation^a		133,444
3,500	NeuStar, Inc.^a		68,950
4,800	Palm, Inc.^a,c		19,152
5,100	Parametric Technology Corporation^a		66,249

The accompanying Notes to the Financial Statements are an integral part of this schedule.

100

Mid Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.8%)	Value
Information Technology (13.0%) - continued
2,200	Plantronics, Inc.	$	31,768
3,800	Polycom, Inc.^a		79,838
11,600	RF Micro Devices, Inc.^a		23,084
8,500	SAIC, Inc.^a		156,995
2,760	Semtech Corporation^a		33,451
2,100	Silicon Laboratories, Inc.^a		54,516
1,900	SRA International, Inc.^a		35,112
3,560	Sybase, Inc.^a		94,803
6,380	Synopsys, Inc.^a		116,626
2,240	Tech Data Corporation^a		48,048
5,400	Trimble Navigation, Ltd.^a		111,078
3,800	ValueClick, Inc.^a		28,120
8,270	Vishay Intertechnology, Inc.^a		35,644
9,800	Western Digital Corporation^a		161,700
3,100	Wind River Systems, Inc.^a		27,094
2,900	Zebra Technologies Corporation^a		58,696

	Total Information Technology		4,290,009

Materials (6.4%)
3,690	Airgas, Inc.^b		141,548
4,080	Albemarle Corporation^b		99,348
3,000	AptarGroup, Inc.		90,960
2,870	Cabot Corporation		75,912
2,000	Carpenter Technology Corporation		36,200
10,770	Chemtura Corporation		18,632
4,700	Cliffs Natural Resources, Inc.		126,853
5,100	Commercial Metals Company		56,610
2,150	Cytec Industries, Inc.		60,888
1,890	Ferro Corporation		29,257
3,300	FMC Corporation		143,682
1,500	Greif, Inc.		60,870
4,000	Louisiana-Pacific Corporation		19,200
2,960	Lubrizol Corporation		111,237
1,800	Martin Marietta Materials, Inc.^c		141,084
870	Minerals Technologies, Inc.		49,381
3,380	Olin Corporation		61,381
4,600	Packaging Corporation of America		77,418
2,800	Reliance Steel & Aluminum Company		70,112
5,790	RPM International, Inc.		82,218
1,900	Scotts Miracle-Gro Company		49,628
2,120	Sensient Technologies Corporation		53,488
4,440	Sonoco Products Company		111,799
7,900	Steel Dynamics, Inc.		94,168
4,700	Temple-Inland, Inc.		27,871
4,100	Terra Industries, Inc.		90,159
4,420	Valspar Corporation		90,389
2,700	Worthington Industries, Inc.^c		32,589

	Total Materials		2,102,882

Telecommunications Services (0.4%)
10,410	Cincinnati Bell, Inc.^a		24,880
4,710	Telephone and Data Systems, Inc.		126,463

	Total Telecommunications Services		151,343

Utilities (8.2%)
3,360	AGL Resources, Inc.^b		102,144
4,870	Alliant Energy Corporation^b		143,081
5,966	Aqua America, Inc.^c		107,388
1,680	Black Hills Corporation		42,420
5,020	DPL, Inc.		114,506
3,200	Energen Corporation		107,424
5,800	Equitable Resources, Inc.		201,318
5,292	Great Plains Energy, Inc.		102,876
3,740	Hawaiian Electric Industries, Inc.		99,559
2,020	IDACORP, Inc.		53,853
8,125	MDU Resources Group, Inc.		147,956
3,660	National Fuel Gas Company		132,455
6,860	Northeast Utilities		154,762
4,740	NSTAR		156,657
4,060	OGE Energy Corporation		110,838
4,600	ONEOK, Inc.		146,740
3,860	PNM Resources, Inc.		37,635
5,720	Puget Energy, Inc.		134,020
5,190	SCANA Corporation		170,803
10,370	Sierra Pacific Resources		85,967
5,000	UGI Corporation		119,350
3,620	Vectren Corporation		91,224
4,800	Westar Energy, Inc.		93,552
2,190	WGL Holdings, Inc.		70,496

	Total Utilities		2,727,024

	Total Common Stock (cost $37,589,621)		32,007,067


	Collateral Held for Securities Loaned (7.6%)^d
2,503,733	Thrivent Financial Securities Lending Trust		2,503,733

	Total Collateral Held for Securities Loaned (cost $2,503,733)		2,503,733


Shares or Principal Amount	Short-Term Investments (3.0%)^d
100,000	Federal National Mortgage Association Discount Notes 2.100%, 12/10/2008^e		99,775
880,872	Thrivent Money Market Fund		880,872

	Total Short-Term Investments (at amortized cost)		980,647

	Total Investments (cost $41,074,001) 107.4%		$35,491,447

	Other Assets and Liabilities, Net (7.4%)		(2,441,404)

	Total Net Assets 100.0%		$33,050,043

a	Non-income producing security.

b	At October 31, 2008, $1,327,403 of investments were earmarked to cover open financial futures contracts.

c	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

d	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

e	At October 31, 2008, $99,775 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

The accompanying Notes to Financial Statements are an integral part of this schedule.

101

Mid Cap Index Fund

Schedule of Investments as of October 31, 2008

Definitions:


REIT		-		Real Estate Investment Trust, is a company that buys, develops, manages and/or sells real estate assets.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	4,806,330
Gross unrealized depreciation		(11,145,852	)

Net unrealized appreciation (depreciation)		($6,339,522	)
Cost for federal income tax purposes	$	41,830,969


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
S&P 400 Index Mini-Futures	17	December 2008	$	991,783	$	966,280	($25,503	)
Total Futures							($25,503	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Mid Cap Index Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	792,453	$	11,255,269	$	11,166,850	880,872	$	880,872	$	30,942
Thrivent Financial Securities Lending Trust		5,297,773		20,375,618		23,169,658	2,503,733		2,503,733		80,291
Total Value and Dividend Income		6,090,226							3,384,605		111,233

The accompanying Notes to the Financial Statements are an integral part of this schedule.

102

Partner Worldwide Allocation Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (80.5%)	Value^a
Australia (2.3%)
52,517	AJ Lucas Group, Ltd.	$	143,256
16,505	BHP Billiton, Ltd.		317,075
9,339	Campbell Brothers, Ltd.		149,527
16,382	Centennial Coal Company, Ltd.		38,522
5,470	CSL, Ltd.		133,027
3,111	Leighton Holdings, Ltd.		51,728
123,886	Macmahon Holdings, Ltd.		60,124
20,338	Mount Gibson Iron, Ltd.^b		6,758
15,343	OneSteel, Ltd.		35,249
10,932	Origin Energy, Ltd.		114,645
2,725	Rio Tinto, Ltd.		140,970
7,060	Sonic Healthcare, Ltd.		64,518
28,745	Transpacific Industries Group, Ltd.		68,439
18,605	United Group, Ltd.		118,057

	Total Australia		1,441,895

Austria (0.3%)
2,215	Erste Group Bank AG		59,765
1,436	OMV AG		45,966
1,641	Verbund - Oesterreichische Elektrizitaetswirtschafts-AG		77,628

	Total Austria		183,359

Belgium (0.6%)
302	Colruyt SA		67,875
2,133	Compagnie d’ Entreprises CFE		103,537
1,918	EVS Broadcast Equipment SA		123,851
584	Group Bruxelles Lambert SA		42,902
756	Mobistar SA		50,168

	Total Belgium		388,333

Bermuda (<0.1%)
43,000	Noble Group, Ltd.		31,300

	Total Bermuda		31,300

Brazil (2.3%)
21,000	Banco Bradesco SA ADR^c		245,700
21,000	Companhia Vale do Rio Doce SP ADR^c		245,910
14,200	Empresa Brasileira de Aeronautica SA ADR		297,064
16,000	Lojas Renner SA		118,163
11,000	Petroleo Brasileiro SA ADR		242,769
7,300	Souza Cruz SA		126,592
8,000	Ultrapar Participacoes SA		147,704

	Total Brazil		1,423,902

Canada (1.7%)
1,400	Agrium, Inc.		53,628
4,200	Alimentation Couche-Tard, Inc.		56,625
5,100	Brookfield Asset Management, Inc.		89,281
2,100	Canadian Oil Sands Trust		56,346
6,900	CGI Group, Inc.^b		55,072
4,700	EnCana Corporation		238,762
1,811	Gildan Activewear, Inc.^b		42,221
1,500	Potash Corporation of Saskatchewan, Inc.		127,687
2,400	Precision Drilling Trust		25,886
2,800	Shoppers Drug Mart Corporation		107,791
6,400	Sino-Forest Corporation^b		59,895
900	Suncor Energy, Inc.		21,617
3,800	Teck Cominco, Ltd.		37,833
1,100	Toronto-Dominion Bank		51,947
4,500	Viterra, Inc.^b		28,561

	Total Canada		1,053,152

Chile (0.3%)
5,600	Banco Santander Chile SA ADR^c		200,480

	Total Chile		200,480

China (0.4%)
310,000	PetroChina Company, Ltd.		233,081

	Total China		233,081

Denmark (0.6%)
1,190	ALK-Abello AS		94,414
3,600	Novo Nordisk AS		192,971
1,850	Vestas Wind Systems^b		75,775

	Total Denmark		363,160

Finland (0.5%)
3,546	Fortum Oyj		87,145
4,183	Konecranes Oyj		71,083
10,911	Nokia Oyj		167,135

	Total Finland		325,363

France (5.1%)
2,235	Alstom		110,773
1,851	April Group		67,130
19,400	Axa SA		370,613
6,100	Cap Gemini SA		196,537
3,300	Compagnie de Saint-Gobain		127,335
2,483	Eurofins Scientific		139,092
2,203	Eutelsat Communications		47,283
7,182	GDF Suez		319,693
797	Hermes International		102,866
1,625	Ingenico		25,379
3,880	Orpea^b		126,233
1,460	Rubis		80,863
5,200	Schneider Electric SA		311,671
2,535	Sechilienne SA		97,333
1,767	Stallergenes		87,357
2,093	Teleperformance		45,163
1,094	UBISOFT Entertainment SA^b		57,827
577	Unibail-Rodamco		86,540
364	Vallourec SA		40,716
1,369	Vilmorin & Cie		133,766
23,602	Vivendi Universal SA		616,925

	Total France		3,191,095

Germany (4.0%)
5,700	Adidas AG		197,994
1,926	Bayer AG		105,430
7,300	Bayerische Motoren Werke AG		185,115
21,400	Deutsche Post AG-REG		234,639
9,831	E.ON AG		368,411
6,237	GEA Group AG		89,563
4,080	Gerresheimer AG^b		140,620
3,126	Krones AG		137,429
2,013	Morphosys AG^b		125,114
980	RWE AG		80,340
5,294	SAP AG		185,347

The accompanying Notes to Financial Statements are an integral part of this schedule.

103

Partner Worldwide Allocation Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (80.5%)	Value^a
Germany (4.0%) - continued
1,840	SGL Carbon AG^b	$	35,515
7,641	Siemens AG		449,328
1,757	Vossloh AG		133,038
435	Wacker Chemie AG		47,009

	Total Germany		2,514,892

Greece (0.3%)
6,257	Alpha Bank AE		91,350
3,247	Greek Organization of Football Prognostics SA		70,896

	Total Greece		162,246

Hong Kong (1.7%)
30,000	BOC Hong Kong (Holdings), Ltd.		34,347
6,000	Cheung Kong Holdings, Ltd.		57,609
34,000	China Mobile, Ltd.		299,311
73,000	Hang Lung Group, Ltd.		234,910
4,600	Hang Seng Bank, Ltd.		57,396
18,000	Hutchison Whampoa, Ltd.		97,269
185,000	Swire Pacific, Ltd.		245,173
12,000	Wharf Holdings, Ltd.		23,942

	Total Hong Kong		1,049,957

Hungary (0.4%)
1,900	Richter Gedeon Nyrt		262,510

	Total Hungary		262,510

Indonesia (0.2%)
155,000	PT Astra International Tbk		129,022

	Total Indonesia		129,022

Israel (0.6%)
8,500	Check Point Software Technologies, Ltd.^b		171,870
5,500	Teva Pharmaceutical Industries, Ltd. ADR		235,840

	Total Israel		407,710

Italy (2.6%)
11,880	Ansaldo STS SPA		152,188
12,754	Enel SPA		85,326
21,300	Eni SPA		508,385
26,400	Finmeccanica SPA		327,413
26,400	Finmeccanica SPA - Rights		10,767
2,450	Lottomatica SPA		57,202
34,894	Maire Tecnimont SPA		63,646
18,207	Terna-Rete Elettrica Nationale SPA		58,719
9,758	Trevi Finanziaria SPA		113,381
97,600	Unicredit SPA		238,912

	Total Italy		1,615,939

Japan (16.2%)
4,600	Aeon Delight Company, Ltd.		113,319
5,700	Asahi Breweries, Ltd.		94,085
1,700	Astellas Pharmaceutical, Inc.		68,474
5,000	Bank of Kyoto, Ltd.		52,594
20,700	Bridgestone Corporation		361,898
2,400	Canon, Inc.		83,980
6,600	Capcom Company, Ltd.		147,139
50	CyberAgent, Inc.		44,638
5,000	Daihatsu Motor Company, Ltd.		37,020
13,200	Daiichi Sankyo Company, Ltd.		270,665
8,200	Daiseki Company, Ltd.		186,761
14,400	Daito Trust Construction Company, Ltd.		607,463
27	East Japan Railway Company		192,132
1,600	FamilyMart Company, Ltd.		63,391
1,230	Fast Retailing Company, Ltd.		131,128
15,600	Fuji Oil Company, Ltd.		179,083
36,400	GMO Internet, Inc.^b		96,776
1,900	Hisamitsu Pharmaceutical Company, Inc.		79,191
5,000	Hitachi Metals, Ltd.		37,596
31,000	Hitachi, Ltd.		145,547
3,500	Honda Motor Company, Ltd.		87,029
4,200	Hosiden Corporation		44,108
14,000	ITOCHU Corporation		73,987
44	Japan Tobacco, Inc.		156,098
18	KDDI Corporation		107,848
2,200	KONAMI Corporation		39,800
39,000	Kureha Corporation		173,029
2,100	Kurita Water Industries, Ltd.		47,914
1,500	Lawson, Inc.		73,315
22,000	Marubeni Corporation		85,471
9,200	Mitsubishi Corporation		154,209
19,000	Mitsubishi Electric Corporation		117,787
100,800	Mitsubishi UFJ Financial Group, Inc.		633,444
8,000	Mitsui & Company, Ltd.		77,516
9,000	Mitsui Fudosan Company, Ltd.		156,989
13,000	Mitsui O.S.K. Lines, Ltd.		67,885
16,952	Mitsui Sumitomo Insurance Group Holdings, Inc.^b		471,069
7,600	Nichi-iko Pharmaceutical Company, Ltd.		160,623
5,000	Nikon Corporation		70,466
600	Nintendo Company, Ltd.		192,785
4,000	Nippon Meat Packers, Inc.		54,864
13,000	Nippon Yusen Kabushiki Kaisha		62,864
3,700	NPC, Inc.		119,060
12,000	Panasonic Corporation		193,245
151	Rakuten, Inc.		74,856
23	Seven Bank, Ltd.		66,246
1,700	Shimano, Inc.		48,629
8,900	Shin-Etsu Chemical Company, Ltd.		473,083
52	So-net M3, Inc.		175,864
1,200	Sony Corporation		28,440
1,700	Square ENIX Holdings Company, Ltd.		42,829
6,400	Sugi Pharmacy Company, Ltd.		153,911
56,100	Sumitomo Corporation		493,570
94,400	Sumitomo Trust and Banking Company, Ltd.		437,174
6,000	Suruga Bank, Ltd.		56,481
4,300	Sysmex Corporation		133,581
1,300	T&D Holdings, Inc.		49,662
8,000	Takeda Pharmaceutical Company, Ltd.		397,481
4,800	Tokio Marine Holdings, Inc.		148,060
8,600	Torishima Pump Manufacturing Company, Ltd.		117,420
13,800	Toyota Motor Corporation		538,902
4,800	Tsumura & Company		122,843
5,700	Unicharm Petcare Corporation		201,131

The accompanying Notes to the Financial Statements are an integral part of this schedule.

104

Partner Worldwide Allocation Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (80.5%)	Value^a
Japan (16.2%) - continued
9,000	Yokohama Rubber Company, Ltd.	$	44,161

	Total Japan		10,218,609

Luxembourg (0.2%)
1,150	Oriflame Cosmetics SA		35,928
5,500	Tenaris SA ADR^d		113,245

	Total Luxembourg		149,173

Malaysia (0.4%)
67,000	Bumiputra-Commerce Holdings Berhad		116,736
55,000	Public Bank Berhad		130,243

	Total Malaysia		246,979

Mexico (1.4%)
168,000	Consorcio ARA SAB de CV		67,761
10,500	Fomento Economico Mexicano SAB de CV ADR^c		265,545
3,600	Grupo Aeroportuario del Sureste SAB de CV ADR		116,064
95,000	Grupo Financiero Banorte SA de CV ADR		174,016
117,000	Organizacion Soriana SAB de CV^b		235,319

	Total Mexico		858,705

Netherlands (2.1%)
2,832	Arcelor Mittal		73,522
1,395	Furgo NV		49,849
1,795	Gemalto NV^b		50,290
7,738	Imtech NV		118,213
19,800	ING Groep NV		185,728
11,437	Koninklijke (Royal) Ahold NV		122,778
12,877	Koninklijke (Royal) KPN NV		181,346
1,286	Koninklijke Boskalis Westminster NV		42,454
1,239	Koninklijke DSM NV		34,504
1,058	Koninklijke Vopak NV		34,304
5,147	Qiagen NV^b		74,269
8,839	Reed Elsevier NV		118,140
4,632	Ten Cate NV		98,207
5,131	Unilever NV		123,653

	Total Netherlands		1,307,257

Norway (1.8%)
47,200	Norsk Hydro ASA		197,215
15,439	ODIM ASA^b		94,100
29,650	StatoilHydro ASA		596,369
3,700	Tandberg ASA		45,778
27,508	Tomra Systems ASA		127,927
2,050	Yara International ASA		42,829

	Total Norway		1,104,218

Philippines (0.4%)
750,000	Ayala Land, Inc.		90,990
157,200	Bank of the Philippine Islands		130,154

	Total Philippines		221,144

Portugal (0.1%)
10,061	Jeronimo Martins SGPS SA		51,342

	Total Portugal		51,342

Russia (0.3%)
5,500	LUKOIL ADR		211,151

	Total Russia		211,151

Singapore (1.4%)
110,000	Parkway Holdings, Ltd.		117,937
94,084	Raffles Education Corporation, Ltd.		36,333
35,400	Singapore Airlines, Ltd.		271,216
204,600	Singapore Telecommunications, Ltd.		344,316
107,000	SMRT Corporation, Ltd.		112,700

	Total Singapore		882,502

South Africa (1.1%)
49,000	Massmart Holdings, Ltd.		439,540
80,000	Truworths International, Ltd.		271,771

	Total South Africa		711,311

South Korea (1.9%)
11,000	Pusan Bank		56,191
1,440	Samsung Electronics Company, Ltd.		378,166
2,200	Samsung Electronics Company, Ltd. GDR^e		455,866
350	Shinsegae Company, Ltd.		122,845
2,210	SODIFF Advanced Materials Company, Ltd.		73,448
1,581	Taewoong Company, Ltd.		76,992

	Total South Korea		1,163,508

Spain (2.8%)
21,800	Banco Bilbao Vizcaya Argentaria SA		253,014
38	Construcciones y Auxiliar de Ferrocarriles SA		10,623
2,503	Grifols SA		49,811
37,982	Iberdrola SA		274,882
14,390	Mapfre SA		45,795
974	Prosegur Cia de Seguridad SA		27,671
57,950	Telefonica SA		1,072,925

	Total Spain		1,734,721

Sweden (0.9%)
8,800	Atlas Copco AB		73,807
13,624	Intrum Justitia AB		134,605
1,450	Modern Times Group AB		31,114
3,800	Nordea Bank AB		30,457
17,100	Sandvik AB		110,982
24,560	Telefonaktiebolaget LM Ericsson		167,190

	Total Sweden		548,155

Switzerland (7.1%)
4,485	ABB, Ltd.^b		58,848
2,042	Actelion, Ltd.^b		107,874
7,400	Adecco SA		257,423
2,232	Bobst Group AG		80,779
730	Burckhardt Compression Holding AG		94,903
1,082	Komax Holding AG		70,171
858	Lonza Group AG		71,208
625	Meyer Burger Technology AG^b		87,163
34,169	Nestle SA		1,328,728
24,550	Novartis AG		1,246,108

The accompanying Notes to Financial Statements are an integral part of this schedule.

105

Partner Worldwide Allocation Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (80.5%)	Value^a
Switzerland (7.1%) - continued
2,107	Roche Holding AG	$	322,217
2,226	Schulthess Group AG		75,012
1,325	Sonova Holding AG		55,054
9,200	Swiss Reinsurance Company		383,673
2,056	Temenos Group AG^b		25,750
99	Vetropack Holding AG		132,740
411	Zurich Financial Services AG		83,383

	Total Switzerland		4,481,034

Taiwan (1.5%)
70,000	Taiwan Mobile Company, Ltd.		96,782
195,983	Taiwan Semiconductor Manufacturing Company, Ltd.		285,166
67,337	Taiwan Semiconductor Manufacturing Company, Ltd. ADR		556,203

	Total Taiwan		938,151

Thailand (0.6%)
66,000	PTT Exploration & Production Public Company, Ltd.		160,999
70,000	Siam Cement Public Company, Ltd.		211,725

	Total Thailand		372,724

Turkey (0.6%)
71,000	Akbank TAS		243,854
7,500	BIM Birlesik Magazalar AS		151,458

	Total Turkey		395,312

United Kingdom (13.7%)
8,338	Aggreko plc		58,343
7,141	Anglo American plc		179,167
10,300	AstraZeneca plc		436,475
5,135	Autonomy Corporation plc^b		81,414
2,701	Aveva Group plc		34,431
30,336	Babcock International Group		189,803
24,669	BAE Systems plc		138,653
18,194	BG Group plc		267,508
8,512	BHP Billiton plc		144,530
9,778	British American Tobacco plc		268,190
66,700	British Sky Broadcasting Group plc^d		405,868
38,222	Cable & Wireless plc		75,749
31,668	Carillion plc		106,211
1,641	Chemring Group plc		42,097
25,934	Cobham plc		78,812
19,772	Compass Group plc		91,936
15,203	Dignity plc		145,840
17,335	Enterprise Inns plc		27,297
66,682	Fenner plc		109,960
9,347	FirstGroup plc		61,678
17,619	GAME GROUP plc		36,956
44,439	GlaxoSmithKline plc		854,246
26,587	Group 4 Securicor plc		80,518
20,020	HMV Group plc		32,066
9,387	IG Group Holdings plc		43,853
7,438	Imperial Tobacco Group plc		199,339
9,436	Inmarsat plc		64,330
22,682	International Power plc		81,139
3,704	Intertek Group plc		43,864
9,760	John Wood Group plc		37,722
196,200	Kingfisher plc		362,089
44,600	Pearson plc		444,206
6,062	Petrofac, Ltd.		41,964
19,853	Prudential plc		99,722
58,218	PV Crystalox Solar plc		127,135
5,122	Reckitt Benckiser Group plc		216,649
3,041	Rio Tinto plc		142,045
14,789	Rotork plc		177,204
20,872	Stagecoach Group plc		62,666
17,009	Standard Chartered plc^d		281,092
17,540	Tesco plc		96,097
10,725	Tullett Prebon plc		41,098
7,870	Ultra Electronics Holdings		139,605
32,476	Unilever plc		729,561
286,300	Vodafone Group plc		550,715
17,901	VT Group plc		144,190
9,596	Wellstream Holdings plc		66,991
25,037	William Morrison Supermarkets plc		106,599
51,700	WPP Group plc		309,235
6,744	Xstrata plc		115,345

	Total United Kingdom		8,672,203

United States (2.1%)
7,222	iShares MSCI EAFE Index Fund		322,246
791	Synthes, Inc.		102,073
75,700	WisdomTree India Earnings Fund^b,d		864,493

	Total United States		1,288,812

	Total Common Stock (cost $81,009,184)		50,534,407


Principal Amount	Long-Term Fixed Income (10.1%)
Argentina (0.4%)
	Argentina Bonos
520,000	3.127%, 2/3/2009^f		94,900
430,000	7.000%, 10/3/2015		85,140
	Republic of Argentina International Bond
320,000	1.330%, 3/31/2009^g		56,000

	Total Argentina		236,040

Brazil (1.2%)
	Federative Republic of Brazil International Bond
840,000	6.000%, 1/17/2017		758,100
	Independencia International, Ltd.
70,000	9.875%, 5/15/2015^e		32,200

	Total Brazil		790,300

Colombia (0.4%)
	Colombia Government International Bond
280,000	7.375%, 9/18/2037		229,600

	Total Colombia		229,600

Dominican Republic (0.1%)
	Dominican Republic International Bond
163,947	9.040%, 1/23/2018		85,252

	Total Dominican Republic		85,252

The accompanying Notes to the Financial Statements are an integral part of this schedule.

106

Partner Worldwide Allocation Fund

Schedule of Investments as of October 31, 2008


Principal Amount	Long-Term Fixed Income (10.1%)	Value^a
Ecuador (0.1%)
	Republic of Ecuador International Bond
$150,000	10.000%, 8/15/2030	$	43,500

	Total Ecuador		43,500

Indonesia (0.2%)
	Republic of Indonesia Government International Bond
200,000	7.750%, 1/17/2038		119,743

	Total Indonesia		119,743

Ireland (0.1%)
	VIP Finance Ireland, Ltd.
100,000	9.125%, 4/30/2018^e,h		51,673

	Total Ireland		51,673

Israel (<0.1%)
	Israel Government International Bond
20,000	5.125%, 3/1/2014		19,314

	Total Israel		19,314

Kazakhstan (0.1%)
	KazMunaiGaz Finance Sub BV
100,000	8.375%, 7/2/2013^e		67,000

	Total Kazakhstan		67,000

Lebanon (0.2%)
	Lebanon Government International Bond
218,500	4.000%, 12/31/2017		152,950

	Total Lebanon		152,950

Luxembourg (0.3%)
	VTB Capital SA
370,000	6.875%, 5/29/2018		207,200

	Total Luxembourg		207,200

Malaysia (0.3%)
	Malaysia Government International Bond
180,000	7.500%, 7/15/2011		182,135

	Total Malaysia		182,135

Mexico (0.9%)
	Mexico Government International Bond
270,000	7.500%, 4/8/2033		259,200
180,000	6.750%, 9/27/2034		149,400
	United Mexican States
110,000	5.625%, 1/15/2017		97,900
50,000	6.050%, 1/11/2040		37,960

	Total Mexico		544,460

Netherlands (0.7%)
	Majapahit Holding BV
700,000	7.750%, 10/17/2016		420,609
	TuranAlem Finance BV
150,000	8.000%, 3/24/2014		45,000

	Total Netherlands		465,609

Panama (0.2%)
	Panama Government International Bond
170,000	6.700%, 1/26/2036		132,600

	Total Panama		132,600

Peru (0.3%)
	Peruvian Government International Bond
240,000	6.550%, 3/14/2037		165,600

	Total Peru		165,600

Philippines (0.9%)
	Philippine Government International Bond
410,000	10.625%, 3/16/2025		438,700
100,000	9.500%, 2/2/2030		102,000

	Total Philippines		540,700

Russia (1.2%)
	Russian Federation International Bond
833,000	7.500%, 3/31/2030		728,475

	Total Russia		728,475

South Africa (0.2%)
	Republic of South Africa International Bond
230,000	5.875%, 5/30/2022		147,200

	Total South Africa		147,200

South Korea (0.1%)
	Republic of Korea International Bond
100,000	5.625%, 11/3/2025		70,182

	Total South Korea		70,182

Trinidad & Tobago (0.2%)
	National Gas Company of Trinidad & Tobago, Ltd.
170,000	6.050%, 1/15/2036^e		116,351

	Total Trinidad & Tobago		116,351

Turkey (0.7%)
	Republic of Turkey International Bond
460,000	6.750%, 4/3/2018		354,200
60,000	7.000%, 3/11/2019		46,725
50,000	6.875%, 3/17/2036		34,000
60,000	7.250%, 3/5/2038		41,400

	Total Turkey		476,325

Ukraine (0.3%)
	Ukraine Government International Bond
200,000	7.650%, 6/11/2013		100,000
200,000	6.580%, 11/21/2016		80,000

	Total Ukraine		180,000

The accompanying Notes to Financial Statements are an integral part of this schedule.

107

Partner Worldwide Allocation Fund

Schedule of Investments as of October 31, 2008


Principal Amount	Long-Term Fixed Income (10.1%)	Value^a
Uruguay (0.3%)
	Oriental Republic of Uruguay International Bond
$300,000	7.625%, 3/21/2036	$	180,000

	Total Uruguay		180,000

Venezuela (0.7%)
	Petroleos de Venezuela SA
30,000	5.250%, 4/12/2017		11,400
240,000	5.375%, 4/12/2027		85,200
	Venezuela Government International Bond
170,000	10.750%, 9/19/2013		115,600
250,000	6.000%, 12/9/2020		103,750
50,000	9.000%, 5/7/2023		23,875
110,000	9.250%, 5/7/2028		50,600
70,000	9.375%, 1/13/2034		35,700

	Total Venezuela		426,125

	Total Long-Term Fixed Income (cost $8,793,768)		6,358,334


Shares or Principal Amount	Short-Term Investments (9.7%)ⁱ	Value
	Federal National Mortgage Association Discount Notes
200,000	2.100%, 12/10/2008^j		199,550
5,901,139	Thrivent Money Market Fund^c		5,901,139

	Total Short-Term Investments (at amortized cost)		6,100,689

	Total Investments (cost $95,903,641) 100.3%		$62,993,430

	Other Assets and Liabilities, Net (0.3%)		(173,617)

	Total Net Assets 100.0%		$62,819,813

a	Security is fair valued as discussed in item 2(A) of the Notes to Financial Statements.

b	Non-income producing security.

c	Designated as cover for long settling trades as discussed in the Notes to Financial Statements.

d	At October 31, 2008, $1,644,108 of investments were earmarked to cover open financial futures contracts.

Denotes securities sold under Rule 144A of the Securities Act of 1933, which exempts them from registration. These securities have been determined to be liquid under the guidelines established by the Fund’s Board of Trustees and may be resold to other dealers in the program or to other qualified institutional buyers. As of October 31, 2008, the value of these investments was $723,090 or 1.2% of total net assets.

f	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.

g	Denotes step coupon bonds for which the current interest rate and next scheduled reset date are shown.

Denotes restricted securities. Restricted securities are investment securities which have been deemed illiquid and cannot be offered for public sale without first being registered under the Securities Act of 1933. The following table indicates the acquisition date and cost of restricted securities Partner Worldwide Allocation Fund owned as of October 31, 2008.


Security	Acquisition Date	Cost
VIP Finance Ireland, Ltd.	5/2/2008	$	101,058

i	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

j	At October 31, 2008, $199,550 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Definitions:


ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.
GDR	-	Global Depository Receipts, which are certificates for shares of an underlying foreign security’s shares held by an issuing depository bank from more than one country.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	305,087
Gross unrealized depreciation		(33,303,410	)

Net unrealized appreciation (depreciation)		($32,998,323	)
Cost for federal income tax purposes	$	95,991,753

The accompanying Notes to the Financial Statements are an integral part of this schedule.

108

Partner Worldwide Allocation Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
E-Mini MSCI EAFE Index Futures	24	December 2008	$	1,620,949	$	1,529,760		($91,189	)
Total Futures								($91,189	)

Foreign Currency Forward Contracts	Contracts to Deliver/Receive	Settlement Date	Value on Settlement Date		Value		Unrealized Gain/(Loss)
Purchases
Australian Dollar	96,725	11/03/2008 - 11/05/2008	$	64,142	$	64,278	$	136
Brazilian Real	555,284	11/04/2008		292,435		255,933		(36,502	)
British Pound	65,456	11/03/2008 - 11/05/2008		107,006		105,336		(1,670	)
Canadian Dollar	97,650	11/03/2008 - 11/05/2008		80,617		81,017		400
Chinese Renminbi Yuan	1,369,597	11/04/2008		201,537		200,169		(1,368	)
Chinese Renminbi Yuan	532,000	2/03/2009		76,757		77,016		259
EURO	125,032	11/03/2008 - 11/05/2008		162,245		159,358		(2,887	)
Japanese Yen	4,124,107	11/03/2008 - 11/05/2008		42,336		41,865		(471	)
Singapore Dollar	53,701	11/03/2008 - 11/05/2008		36,238		36,211		(27	)
Total Foreign Currency Forward Contracts Purchases			$	1,063,313	$	1,021,183		($42,130	)
Sales
Australian Dollar	2,903	11/03/2008 - 11/05/2008	$	1,931	$	1,929	$	2
Brazilian Real	569,539	11/04/2008		265,800		262,504		3,296
British Pound	37,276	11/03/2008 - 11/05/2008		60,767		59,987		780
Canadian Dollar	29,960	11/03/2008 - 11/05/2008		24,434		24,857		(423	)
Chinese Renminbi Yuan	1,369,597	11/04/2008		200,135		200,169		(34	)
EURO	110,800	11/03/2008 - 11/05/2008		142,867		141,219		1,648
Japanese Yen	3,103,251	11/03/2008 - 11/05/2008		31,857		31,502		355
Singapore Dollar	36,884	11/03/2008 - 11/05/2008		24,718		24,871		(153	)
Swiss Franc	127,249	11/03/2008 - 11/05/2008		112,260		109,726		2,534
Total Foreign Currency Forward Contracts Sales			$	864,769	$	856,764	$	8,005
Net Unrealized Gain/(Loss) on Foreign Currency Forward Contracts								($34,125	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Partner Worldwide Allocation Fund, is as follows:


Fund	Value February 29, 2008		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned February 29, 2008- October 31, 2008
Money Market	$	—	$	28,426,825	$	22,525,686	5,901,139	$	5,901,139	$	76,514
Total Value and Dividend Income		—							5,901,139		76,514

The accompanying Notes to Financial Statements are an integral part of this schedule.

109

Partner International Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.0%)	Value^a
Australia (2.6%)
187,656	BHP Billiton, Ltd.	$	3,605,046
173,664	Centennial Coal Company, Ltd.		408,367
62,185	CSL, Ltd.		1,512,300
35,085	Leighton Holdings, Ltd.		583,374
216,434	Mount Gibson Iron, Ltd.^b		71,915
163,589	OneSteel, Ltd.		375,826
124,752	Origin Energy, Ltd.		1,308,287
30,958	Rio Tinto, Ltd.		1,601,521
80,545	Sonic Healthcare, Ltd.		736,060

	Total Australia		10,202,696

Austria (0.4%)
16,210	OMV AG		518,873
18,716	Verbund - Oesterreichische Elektrizitaetswirtschafts-AG		885,377

	Total Austria		1,404,250

Belgium (0.5%)
3,447	Colruyt SA		774,723
6,648	Group Bruxelles Lambert SA		488,374
8,620	Mobistar SA		572,016

	Total Belgium		1,835,113

Bermuda (0.1%)
474,000	Noble Group, Ltd.		345,032

	Total Bermuda		345,032

Brazil (0.8%)
149,300	Empresa Brasileira de Aeronautica
	SA ADR		3,123,356

	Total Brazil		3,123,356

Canada (3.1%)
15,700	Agrium, Inc.		601,401
47,900	Alimentation Couche-Tard, Inc.		645,794
58,300	Brookfield Asset Management, Inc.		1,020,601
24,200	Canadian Oil Sands Trust		649,322
81,678	CGI Group, Inc.^b		651,906
54,800	EnCana Corporation		2,783,875
20,408	Gildan Activewear, Inc.^b		475,786
16,700	Potash Corporation of Saskatchewan, Inc.		1,421,571
27,000	Precision Drilling Trust		291,214
32,100	Shoppers Drug Mart Corporation		1,235,742
72,800	Sino-Forest Corporation^b		681,311
10,300	Suncor Energy, Inc.		247,395
42,600	Teck Cominco, Ltd.		424,127
12,700	Toronto-Dominion Bank		599,754
49,700	Viterra, Inc.^b		315,444

	Total Canada		12,045,243

Denmark (0.8%)
41,544	Novo Nordisk AS		2,226,871
21,239	Vestas Wind Systems^b		869,943

	Total Denmark		3,096,814

Finland (0.7%)
40,346	Fortum Oyj		991,531
124,073	Nokia Oyj		1,900,550

	Total Finland		2,892,081

France (6.7%)
25,427	Alstom		$1,260,237
191,900	Axa SA		3,666,009
64,200	Cap Gemini SA		2,068,474
32,700	Compagnie de Saint-Gobain		1,261,772
25,259	Eutelsat Communications		542,132
81,192	GDF Suez		3,614,100
9,069	Hermes International		1,170,507
17,258	Ingenico		269,529
53,100	Schneider Electric SA		3,182,643
23,633	Teleperformance		509,959
12,464	UBISOFT Entertainment SA^b		658,829
6,580	Unibail-Rodamco		986,887
3,939	Vallourec SA		440,607
245,594	Vivendi Universal SA		6,419,499

	Total France		26,051,184

Germany (5.3%)
55,900	Adidas AG		1,941,731
21,974	Bayer AG		1,202,865
73,400	Bayerische Motoren Werke AG		1,861,297
214,800	Deutsche Post AG-REG		2,355,162
111,622	E.ON AG		4,182,965
39,936	GEA Group AG		573,478
11,155	RWE AG		914,485
60,250	SAP AG		2,109,395
20,763	SGL Carbon AG^b		400,758
81,532	Siemens AG		4,794,479
4,965	Wacker Chemie AG		536,547

	Total Germany		20,873,162

Greece (0.5%)
71,023	Alpha Bank AE		1,036,912
36,991	Greek Organization of Football Prognostics SA		807,673

	Total Greece		1,844,585

Hong Kong (0.8%)
329,000	BOC Hong Kong (Holdings), Ltd.		376,677
72,000	Cheung Kong Holdings, Ltd.		691,305
52,400	Hang Seng Bank, Ltd.		653,816
202,000	Hutchison Whampoa, Ltd.		1,091,573
128,000	Wharf Holdings, Ltd.		255,386

	Total Hong Kong		3,068,757

Italy (3.4%)
144,725	Enel SPA		968,234
218,000	Eni SPA		5,203,187
260,700	Finmeccanica SPA		3,233,198
290,800	Finmeccanica SPA - Rights		118,603
27,905	Lottomatica SPA		651,514
207,032	Terna-Rete Elettrica Nationale SPA		667,695
981,200	Unicredit SPA		2,401,852

	Total Italy		13,244,283

Japan (22.2%)
65,900	Asahi Breweries, Ltd.		1,087,760
19,300	Astellas Pharmaceutical, Inc.		777,380
63,000	Bank of Kyoto, Ltd.		662,681
202,600	Bridgestone Corporation		3,542,054
27,100	Canon, Inc.		948,273
592	CyberAgent, Inc.		528,520
63,000	Daihatsu Motor Company, Ltd.		466,447

The accompanying Notes to Financial Statements are an integral part of this schedule.

110

Partner International Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.0%)	Value^a
Japan (22.2%) - continued
133,000	Daiichi Sankyo Company, Ltd.^c	$	2,727,154
142,900	Daito Trust Construction Company, Ltd.		6,028,235
301	East Japan Railway Company		2,141,917
18,600	FamilyMart Company, Ltd.		736,916
13,967	Fast Retailing Company, Ltd.		1,488,995
21,300	Hisamitsu Pharmaceutical Company, Inc.		887,773
52,000	Hitachi Metals, Ltd.		390,994
351,000	Hitachi, Ltd.		1,647,964
40,300	Honda Motor Company, Ltd.		1,002,075
47,500	Hosiden Corporation		498,838
154,000	ITOCHU Corporation		813,852
505	Japan Tobacco, Inc.		1,791,575
202	KDDI Corporation		1,210,290
25,200	KONAMI Corporation		455,890
24,600	Kurita Water Industries, Ltd.		561,275
17,000	Lawson, Inc.		830,898
258,000	Marubeni Corporation		1,002,342
104,900	Mitsubishi Corporation		1,758,318
220,000	Mitsubishi Electric Corporation		1,363,851
1,040,900	Mitsubishi UFJ Financial Group, Inc.		6,541,195
88,000	Mitsui & Company, Ltd.		852,677
98,000	Mitsui Fudosan Company, Ltd.		1,709,440
147,000	Mitsui O.S.K. Lines, Ltd.		767,621
176,155	Mitsui Sumitomo Insurance Group Holdings, Inc.^b		4,895,065
58,000	Nikon Corporation		817,402
7,200	Nintendo Company, Ltd.		2,313,420
42,000	Nippon Meat Packers, Inc.		576,074
144,000	Nippon Yusen Kabushiki Kaisha		696,338
134,000	Panasonic Corporation		2,157,901
1,715	Rakuten, Inc.		850,191
265	Seven Bank, Ltd.		763,263
18,900	Shimano, Inc.		540,644
94,500	Shin-Etsu Chemical Company, Ltd.		5,023,189
13,700	Sony Corporation		324,695
18,900	Square ENIX Holdings Company, Ltd.		476,159
555,700	Sumitomo Corporation		4,889,071
942,700	Sumitomo Trust and Banking Company, Ltd.		4,365,717
63,000	Suruga Bank, Ltd.		593,050
14,600	T&D Holdings, Inc.		557,739
80,100	Takeda Pharmaceutical Company, Ltd.		3,979,786
55,100	Tokio Marine Holdings, Inc.		1,699,609
139,600	Toyota Motor Corporation		5,451,508
104,000	Yokohama Rubber Company, Ltd.		510,302

	Total Japan		86,704,323

Luxembourg (0.1%)
13,284	Oriflame Cosmetics SA		415,012

	Total Luxembourg		415,012

Netherlands (2.9%)
32,202	Arcelor Mittal		836,000
15,734	Furgo NV		562,235
20,412	Gemalto NV^b		571,879
203,300	ING Groep NV		1,906,993
130,532	Koninklijke (Royal) Ahold NV		1,401,281
145,109	Koninklijke (Royal) KPN NV		2,043,566
14,642	Koninklijke Boskalis Westminster NV		483,372
14,088	Koninklijke DSM NV		392,322
12,067	Koninklijke Vopak NV		391,249
100,547	Reed Elsevier NV		1,343,890
58,260	Unilever NV		1,404,018

	Total Netherlands		11,336,805

Norway (2.4%)
473,500	Norsk Hydro ASA		1,978,418
308,999	StatoilHydro ASA		6,215,086
42,600	Tandberg ASA		527,065
23,430	Yara International ASA		489,504

	Total Norway		9,210,073

Portugal (0.1%)
114,389	Jeronimo Martins SGPS SA		583,740

	Total Portugal		583,740

Singapore (1.5%)
358,600	Singapore Airlines, Ltd.		2,747,413
1,957,690	Singapore Telecommunications, Ltd.		3,294,543

	Total Singapore		6,041,956

South Korea (1.2%)
11,331	Samsung Electronics Company, Ltd.		4,777,191

	Total South Korea		4,777,191

Spain (4.7%)
215,200	Banco Bilbao Vizcaya Argentaria SA		2,497,648
28,462	Grifols SA		566,407
416,874	Iberdrola SA		3,016,997
163,681	Mapfre SA		520,896
625,360	Telefonica SA		11,578,325

	Total Spain		18,180,273

Sweden (1.1%)
101,000	Atlas Copco AB		847,108
16,550	Modern Times Group AB		355,129
41,600	Nordea Bank AB		333,429
172,400	Sandvik AB		1,118,896
256,540	Telefonaktiebolaget LM Ericsson		1,746,370

	Total Sweden		4,400,932

Switzerland (11.8%)
51,174	ABB, Ltd.^b		671,457
23,236	Actelion, Ltd.^b		1,227,507
74,600	Adecco SA		2,595,098
5,950	Givaudan SA		4,054,417
9,685	Lonza Group AG		803,785
365,357	Nestle SA		14,207,621
259,801	Novartis AG		13,186,968
23,941	Roche Holding AG		3,661,221
15,062	Sonova Holding AG		625,833
94,000	Swiss Reinsurance Company		3,920,141
21,891	Temenos Group AG^b		274,169
4,651	Zurich Financial Services AG		943,584

	Total Switzerland		46,171,801

The accompanying Notes to Financial Statements are an integral part of this schedule.

111

Partner International Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (96.0%)	Value^a
Taiwan (1.4%)
665,100	Taiwan Semiconductor Manufacturing Company, Ltd. ADR	$	5,493,726

	Total Taiwan		5,493,726

United Kingdom (20.3%)
94,620	Aggreko plc		662,081
81,201	Anglo American plc		2,037,330
103,800	AstraZeneca plc		4,398,654
57,872	Autonomy Corporation plc^b		917,552
28,204	Aveva Group plc		359,526
93,967	Babcock International Group		587,921
281,306	BAE Systems plc		1,581,091
206,465	BG Group plc		3,035,674
96,690	BHP Billiton plc		1,641,754
110,955	British American Tobacco plc		3,043,263
662,900	British Sky Broadcasting Group plc		4,033,727
434,943	Cable & Wireless plc		861,977
18,641	Chemring Group plc		478,204
294,279	Cobham plc		894,297
222,754	Compass Group plc		1,035,767
183,408	Enterprise Inns plc		288,807
106,655	FirstGroup plc		703,779
191,140	GAME GROUP plc		400,920
478,246	GlaxoSmithKline plc		9,193,267
301,692	Group 4 Securicor plc		913,670
213,070	HMV Group plc		341,275
101,243	IG Group Holdings plc		472,978
84,878	Imperial Tobacco Group plc		2,274,741
108,595	Inmarsat plc		740,347
257,376	International Power plc		920,697
41,746	Intertek Group plc		494,375
110,758	John Wood Group plc		428,078
1,925,900	Kingfisher plc		3,554,268
441,900	Pearson plc		4,401,221
64,276	Petrofac, Ltd.		444,946
223,653	Prudential plc		1,123,412
58,151	Reckitt Benckiser Group plc		2,459,654
34,553	Rio Tinto plc		1,613,965
31,662	Rotork plc		379,378
236,839	Stagecoach Group plc		711,089
113,835	Standard Chartered plc		1,881,245
199,226	Tesco plc		1,091,511
122,384	Tullett Prebon plc		468,975
334,446	Unilever plc		7,513,194
2,660,787	Vodafone Group plc		5,118,183
285,750	William Morrison Supermarkets plc		1,216,622
509,300	WPP Group plc		3,046,293
76,950	Xstrata plc		1,316,100

	Total United Kingdom		79,081,808

United States (0.6%)
29,907	iShares MSCI EAFE Index Fund		1,334,450
9,017	Synthes, Inc.		1,163,576

	Total United States		2,498,026

	Total Common Stock (cost $526,122,886)		374,922,222


	Collateral Held for Securities Loaned (0.2%)^d
630,480	Thrivent Financial Securities Lending Trust		630,480

	Total Collateral Held for Securities Loaned (cost $630,480)		630,480


Shares or Principal Amount	Short-Term Investments (7.5%)^d
	Bank of America Corporation
15,240,000	0.125%, 11/3/2008		15,239,894
14,145,405	Thrivent Money Market Fund		14,145,405

	Total Short-Term Investments (at amortized cost)		29,385,299

	Total Investments (cost $556,138,665) 103.7%	$	404,938,001

	Other Assets and Liabilities, Net (3.7%)		(14,624,584	)

	Total Net Assets 100.0%	$	390,313,417

a	Security is fair valued as discussed in item 2(A) of the Notes to Financial Statements.

b	Non-income producing security.

c	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

d	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

Definitions:


ADR		-		American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	7,054,036
Gross unrealized depreciation		(163,457,887	)

Net unrealized appreciation (depreciation)		($156,403,851	)
Cost for federal income tax purposes	$	561,341,852

The accompanying Notes to the Financial Statements are an integral part of this schedule.

112

Partner International Stock Fund

Schedule of Investments as of October 31, 2008


Foreign Currency Forward Contrats	Contracts to Deliver/Receive	Settlement Date	Value on Settlement Date		Value		Unrealized Gain/(Loss)
Purchases
Australian Dollar	2,113,284	11/03/2008 -11/05/2008	$	1,414,960	$	1,404,362		($10,598	)
British Pound	3,026,551	11/03/2008 -11/05/2008		4,936,491		4,870,537		(65,954	)
Canadian Dollar	2,058,136	11/03/2008 -11/05/2008		1,697,320		1,707,572		10,252
Danish Krone	1,309,279	1/03/2008 -11/05/2008		226,794		224,103		(2,691	)
EURO	3,723,817	11/03/2008 -11/05/2008		4,818,228		4,746,134		(72,094	)
Hong Kong Dollar	1,354,113	11/03/2008 -11/05/2008		174,679		174,722		43
Japanese Yen	352,522,652	11/03/2008 -11/05/2008		3,576,606		3,578,547		1,941
Norwegian Krone	1,372,392	11/03/2008 -11/05/2008		206,623		203,761		(2,862	)
Swedish Krona	1,037,959	11/03/2008 -11/05/2008		136,340		133,758		(2,582	)
Swiss Franc	2,215,413	11/03/2008 -11/05/2008		1,948,815		1,910,333		(38,482	)
Total Foreign Currency Forward Contracts Purchases			$	19,136,856	$	18,953,829	($	183,027	)
Sales
British Pound	380,688	11/03/2008 -11/05/2008	$	620,978	$	612,629	$	8,349
Canadian Dollar	301,455	11/03/2008 -11/05/2008		245,855		250,108		(4,253	)
EURO	862,844	11/03/2008 -11/05/2008		1,117,372		1,099,725		17,647
Japanese Yen	33,049,620	11/03/2008 -11/05/2008		339,273		335,495		3,778
Singapore Dollar	399,575	11/03/2008 -11/05/2008		267,777		269,437		(1,660	)
Swiss Franc	1,350,974	11/03/2008 -11/05/2008		1,191,839		1,164,934		26,905
Total Foreign Currency Forward Contracts Sales			$	3,783,094	$	3,732,328	$	50,766
Net Unrealized Gain/(Loss) on Foreign Currency Forward Contracts								($132,261	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Partner International Stock Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	3,750,651	$	144,999,703	$	134,604,949	14,145,405	$	14,145,405	$	273,643
Thrivent Financial Securities Lending Trust		27,736,142		283,378,468		310,484,130	630,480		630,480		427,548
Total Value and Dividend Income		31,486,793							14,775,885		701,191

The accompanying Notes to Financial Statements are an integral part of this schedule.

113

Large Cap Growth Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (98.3%)	Value
Consumer Discretionary (10.1%)
25,850	Aeropostale, Inc.^a,b	$	625,828
70,300	Amazon.com, Inc.^b		4,023,972
18,750	Best Buy Company, Inc.		502,687
27,750	Carnival Corporation		704,850
173,000	Comcast Corporation		2,726,480
49,600	Guess ?, Inc.		1,079,792
157,950	Interpublic Group of Companies, Inc.^a,b		819,761
60,050	J.C. Penney Company, Inc.		1,436,396
133,850	Lowe’s Companies, Inc.^a		2,904,545
119,700	Macy’s, Inc		1,471,113
117,200	McDonald’s Corporation		6,789,396
44,900	MGM MIRAGE^a,b		739,054
36,400	NIKE, Inc.		2,097,732
61,400	Regal Entertainment Group		788,376
87,700	SPDR S&P Homebuilders ETF		1,236,570
60,300	WMS Industries, Inc.^b		1,507,500
61,450	Yum! Brands, Inc.		1,782,665

	Total Consumer Discretionary		31,236,717

Consumer Staples (7.2%)
21,800	Avon Products, Inc.		541,294
67,500	Coca-Cola Company		2,974,050
122,950	CVS/Caremark Corporation		3,768,418
42,700	Dean Foods Company^b		933,422
51,550	Kellogg Company		2,599,151
21,800	Lorillard, Inc.		1,435,748
78,150	Philip Morris International, Inc.		3,397,180
115,400	Wal-Mart Stores, Inc.		6,440,474

	Total Consumer Staples		22,089,737

Energy (10.9%)
39,250	Devon Energy Corporation		3,173,755
42,700	EOG Resources, Inc.		3,455,284
104,000	Halliburton Company		2,058,160
116,800	Holly Corporation		2,292,784
60,950	National Oilwell Varco, Inc.^b		1,821,796
85,100	Occidental Petroleum Corporation		4,726,454
124,600	Petroleo Brasileiro SA ADR		3,350,494
64,078	Transocean, Inc.^a,b		5,275,542
238,600	Weatherford International, Ltd.^b		4,027,568
99,450	XTO Energy, Inc.		3,575,227

	Total Energy		33,757,064

Financials (9.4%)
10,600	ACE, Ltd.		608,016
116,150	Bank of America Corporation		2,807,345
57,500	Bank of New York Mellon Corporation		1,874,500
4,800	BlackRock, Inc.		630,432
50,200	Capital One Financial Corporation		1,963,824
214,650	Charles Schwab Corporation		4,104,108
31,250	IntercontinentalExchange, Inc.^b		2,673,750
152,100	J.P. Morgan Chase & Company		6,274,125
43,288	Lazard, Ltd.		1,305,999
71,599	Marsh & McLennan Companies, Inc.		2,099,283
41,800	Nasdaq OMX Group, Inc.^a,b		1,356,828
30,650	Raymond James Financial, Inc.^a		713,839
32,800	Travelers Companies, Inc.		1,395,640
35,200	Wells Fargo & Company		1,198,560

	Total Financials		29,006,249

Health Care (17.0%)
77,750	Abbott Laboratories		4,287,912
36,746	Aetna, Inc.		913,873
18,250	Allergan, Inc.		723,977
42,550	Amgen, Inc.^b		2,548,320
101,650	Baxter International, Inc.		6,148,809
48,900	Celgene Corporation^b		3,142,314
55,800	Genentech, Inc.^b		4,628,052
14,000	Genzyme Corporation^b		1,020,320
241,800	Gilead Sciences, Inc.^b		11,086,530
8,200	Intuitive Surgical, Inc.^b		1,416,878
88,100	Medco Health Solutions, Inc.^b		3,343,395
71,150	St. Jude Medical, Inc.^b		2,705,835
39,350	Teva Pharmaceutical Industries, Ltd. ADR^a		1,687,328
141,344	Thermo Fisher Scientific, Inc.^b		5,738,566
15,950	Waters Corporation^b		698,610
69,750	Wyeth		2,244,555

	Total Health Care		52,335,274

Industrials (11.3%)
85,800	ABB, Ltd. ADR		1,128,270
112,700	BE Aerospace, Inc.^b		1,450,449
14,650	Burlington Northern Santa Fe Corporation		1,304,729
22,000	C.H. Robinson Worldwide, Inc.		1,139,160
59,400	Continental Airlines, Inc.^b		1,123,848
47,450	Danaher Corporation		2,810,938
48,150	Deere & Company		1,856,664
300,437	Delta Air Lines, Inc.^b		3,298,798
6,050	First Solar, Inc.^b		869,385
21,800	Fluor Corporation^a		870,474
52,250	Foster Wheeler, Ltd.^b		1,431,650
42,900	General Dynamics Corporation		2,587,728
103,650	General Electric Company		2,022,212
88,500	McDermott International, Inc.^b		1,516,005
16,850	Precision Castparts Corporation		1,092,048
41,800	Raytheon Company		2,136,398
67,950	Union Pacific Corporation		4,537,022
64,100	United Technologies Corporation		3,522,936

	Total Industrials		34,698,714

Information Technology (26.1%)
37,400	Accenture, Ltd.		1,236,070
275,000	ADC Telecommunications, Inc.^b		1,743,500
56,050	Adobe Systems, Inc.^b		1,493,172
57,550	Altera Corporation		998,492
67,900	Apple, Inc.^b		7,305,361
114,050	Broadcom Corporation^b		1,947,974
171,450	CIENA Corporation^a,b		1,647,635
340,300	Cisco Systems, Inc.^b		6,047,131
36,200	Electronic Arts, Inc.^b		824,636
230,480	EMC Corporation^b		2,715,054
30,000	Google, Inc.^b		10,780,800
32,900	Hewlett-Packard Company		1,259,412
231,000	Intel Corporation		3,696,000
33,700	International Business Machines Corporation		3,133,089

The accompanying Notes to Financial Statements are an integral part of this schedule.

114

Large Cap Growth Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (98.3%)	Value
Information Technology (26.1%) - continued
42,750	LDK Solar Company, Ltd.^a,b	$	776,340
325,150	Marvell Technology Group, Ltd.^b		2,263,044
31,550	MasterCard, Inc.^a		4,663,721
71,865	MEMC Electronic Materials, Inc.^b		1,320,879
400,350	Microsoft Corporation		8,939,815
17,668	Nice Systems, Ltd. ADR^a,b		395,056
46,600	Nokia Oyj ADR		707,388
96,751	NVIDIA Corporation^b		847,539
86,250	Omniture, Inc.^a,b		991,875
178,895	Oracle Corporation^b		3,271,990
193,550	QUALCOMM, Inc.		7,405,223
58,200	Research in Motion, Ltd.^b		2,935,026
79,150	Symantec Corporation^b		995,707

	Total Information Technology		80,341,929

Materials (5.1%)
61,500	Freeport-McMoRan Copper & Gold, Inc.		1,789,650
83,400	Monsanto Company		7,420,932
45,900	Owens-Illinois, Inc.^b		1,050,192
33,400	Pactiv Corporation^b		786,904
21,200	Potash Corporation of Saskatchewan, Inc.		1,807,512
31,100	Praxair, Inc.		2,026,165
62,800	Steel Dynamics, Inc.		748,576

	Total Materials		15,629,931

Telecommunications Services (1.2%)
89,550	Crown Castle International Corporation^b		1,895,773
68,000	NII Holdings, Inc.^b		1,751,680
	Total Telecommunications Services		3,647,453

	Total Common Stock (cost $391,265,274)		302,743,068


	Collateral Held for Securities Loaned (5.5%)^c
17,017,857	Thrivent Financial Securities Lending Trust		17,017,857

	Total Collateral Held for Securities Loaned (cost $17,017,857)		17,017,857


	Short-Term Investments (0.8%)^c
2,435,558	Thrivent Money Market Fund		2,435,558

	Total Short-Term Investments (at amortized cost)		2,435,558

	Total Investments (cost $410,718,689) 104.6%		$322,196,483

	Other Assets and Liabilities, Net (4.6%)		(14,097,135)

	Total Net Assets 100.0%		$308,099,348

a	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

b	Non-income producing security.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

Definitions:


ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.
ETF	-	Exchange Traded Fund.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	4,110,588
Gross unrealized depreciation		(94,820,622	)

Net unrealized appreciation (depreciation)		($90,710,034	)
Cost for federal income tax purposes	$	412,906,517

The accompanying Notes to Financial Statements are an integral part of this schedule.

115

Large Cap Growth Fund

Schedule of Investments as of October 31, 2008

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Large Cap Growth Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	23,750,652	$	150,917,926	$	172,233,020	2,435,558	$	2,435,558	$	408,960
Thrivent Financial Securities Lending Trust		43,016,898		444,278,113		470,277,154	17,017,857		17,017,857		248,313
Total Value and Dividend Income		66,767,550							19,453,415		657,273

The accompanying Notes to Financial Statements are an integral part of this schedule.

116

Large Cap Value Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (98.6%)	Value
Consumer Discretionary (10.0%)
184,600	BorgWarner, Inc.	$	4,147,962
320,150	Comcast Corporation		5,045,564
110,200	General Motors Corporation^a		636,956
215,800	Home Depot, Inc.		5,090,722
76,200	McDonald’s Corporation		4,414,266
108,100	Omnicom Group, Inc.		3,193,274
48,100	Sherwin-Williams Company		2,737,371
78,400	SPDR S&P Homebuilders ETF		1,105,440
118,000	Staples, Inc.		2,292,740
226,000	Time Warner, Inc.		2,280,340
120,500	Toll Brothers, Inc.^b		2,785,960
152,600	Viacom, Inc.^b		3,085,572
129,000	Walt Disney Company		3,341,100
119,300	Whirlpool Corporation^a		5,565,345

	Total Consumer Discretionary		45,722,612

Consumer Staples (12.1%)
179,100	Altria Group, Inc.		3,436,929
64,400	Costco Wholesale Corporation		3,671,444
148,100	CVS/Caremark Corporation		4,539,265
135,200	General Mills, Inc.		9,158,448
75,300	Kimberly-Clark Corporation		4,615,137
210,100	Kraft Foods, Inc.		6,122,314
179,100	Philip Morris International, Inc.		7,785,477
83,000	Procter & Gamble Company		5,356,820
191,900	Wal-Mart Stores, Inc.		10,709,939

	Total Consumer Staples		55,395,773

Energy (13.1%)
53,750	Apache Corporation		4,425,238
139,714	Chevron Corporation		10,422,664
112,212	ConocoPhillips		5,837,268
49,600	Devon Energy Corporation		4,010,656
198,300	Exxon Mobil Corporation		14,697,996
121,200	Halliburton Company		2,398,548
479,000	Nabors Industries, Ltd.^b		6,888,020
73,200	Occidental Petroleum Corporation		4,065,528
42,600	Royal Dutch Shell plc ADR		2,377,506
77,600	Total SA ADR		4,302,144
37,500	Valero Energy Corporation		771,750

	Total Energy		60,197,318

Financials (23.7%)
96,500	ACE, Ltd.		5,535,240
49,200	AFLAC, Inc.		2,178,576
64,100	Ameriprise Financial, Inc.		1,384,560
296,080	Bank of America Corporation		7,156,254
260,003	Bank of New York Mellon Corporation		8,476,098
144,100	Capital One Financial Corporation		5,637,192
86,700	Chubb Corporation		4,492,794
168,932	Citigroup, Inc.		2,305,922
17,300	Everest Re Group, Ltd.		1,292,310
55,100	Goldman Sachs Group, Inc.		5,096,750
21,680	Hartford Financial Services Group, Inc.		223,737
252,700	Hudson City Bancorp, Inc.		4,753,287
449,400	J.P. Morgan Chase & Company		18,537,750
165,600	Marshall & Ilsley Corporation^a		2,985,768
57,100	Merrill Lynch & Company, Inc.		1,061,489
96,900	Morgan Stanley		1,692,843
38,300	Piper Jaffray Companies^b		1,510,935
61,900	Principal Financial Group, Inc.		1,175,481
77,700	Raymond James Financial, Inc.^a		1,809,633
25,000	S&P 500 Large Index Depository Receipts		2,423,500
355,000	Synovus Financial Corporation^a		3,667,150
140,700	Travelers Companies, Inc.		5,986,785
116,700	U.S. Bancorp		3,478,827
511,514	Wachovia Corporation		3,278,805
299,800	Washington Federal, Inc.		5,282,476
215,800	Wells Fargo & Company		7,347,990

	Total Financials		108,772,152

Health Care (10.4%)
165,400	Abbott Laboratories		9,121,810
40,800	Aetna, Inc.		1,014,696
86,700	Baxter International, Inc.		5,244,483
39,500	iShares Nasdaq Biotechnology Index Fund^a		2,820,695
144,560	Johnson & Johnson		8,867,310
105,700	McKesson Corporation		3,888,703
76,000	Merck & Company, Inc.		2,352,200
334,700	Pfizer, Inc.		5,927,537
141,300	Sanofi-Aventis ADR		4,467,906
42,300	WellPoint, Inc.^b		1,644,201
77,300	Wyeth		2,487,514

	Total Health Care		47,837,055

Industrials (9.2%)
109,000	AMR Corporation^b		1,112,890
39,300	Caterpillar, Inc.		1,500,081
68,300	Eaton Corporation		3,046,180
101,200	Emerson Electric Company		3,312,276
33,600	FedEx Corporation		2,196,432
440,500	General Electric Company		8,594,155
115,500	Honeywell International, Inc.		3,516,975
63,600	Lockheed Martin Corporation		5,409,180
210,550	Republic Services, Inc.		4,990,035
127,550	Tyco International, Ltd.		3,224,464
95,200	United Technologies Corporation		5,232,192

	Total Industrials		42,134,860

Information Technology (10.1%)
132,100	Accenture, Ltd.		4,365,905
95,400	Amdocs, Ltd.^b		2,152,224
163,400	Automatic Data Processing, Inc.		5,710,830
117,800	Corning, Inc.		1,275,774
35,600	F5 Networks, Inc.^b		883,592
65,400	Hewlett-Packard Company		2,503,512
138,400	Intel Corporation		2,214,400
140,350	International Business Machines Corporation		13,048,339
86,550	Nokia Oyj ADR^a		1,313,829
273,400	Oracle Corporation^b		5,000,486
115,149	Sybase, Inc.^b		3,066,418
343,700	Teradyne, Inc.^b		1,752,870
163,800	Texas Instruments, Inc.		3,203,928

	Total Information Technology		46,492,107

The accompanying Notes to Financial Statements are an integral part of this schedule.

117

Large Cap Value Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (98.6%)	Value
Materials (4.1%)
113,850	Alcoa, Inc.	$	1,310,414
42,600	BHP Billiton, Ltd.^a		1,656,288
138,700	E.I. du Pont de Nemours and Company		4,438,400
231,700	MeadWestvaco Corporation		3,250,751
56,200	Praxair, Inc.		3,661,430
147,200	Rockwood Holdings, Inc.^b		1,817,920
69,100	Weyerhaeuser Company		2,641,002

	Total Materials		18,776,205

Telecommunications Services (4.1%)
409,898	AT&T, Inc.		10,972,969
179,600	TW Telecom, Inc.^b		1,271,568
225,464	Verizon Communications, Inc.		6,689,517

	Total Telecommunications Services		18,934,054

Utilities (1.8%)
49,400	Entergy Corporation		3,855,670
88,200	FirstEnergy Corporation		4,600,512

	Total Utilities		8,456,182

	Total Common Stock (cost $533,722,529)		452,718,318


	Collateral Held for Securities Loaned (2.9%)^c
13,448,200	Thrivent Financial Securities Lending Trust		13,448,200

	Total Collateral Held for Securities Loaned (cost $13,448,200)		13,448,200


	Short-Term Investments (0.7%)^c
2,912,238	Thrivent Money Market Fund		2,912,238

	Total Short-Term Investments (at amortized cost)		2,912,238

	Total Investments (cost $550,082,967) 102.2%	$	469,078,756

	Other Assets and Liabilities, Net (2.2%)		(10,030,177)

	Total Net Assets 100.0%	$	459,048,579

a	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

b	Non-income producing security.

c	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

Definitions:


ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.
ETF	-	Exchange Traded Fund.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	35,537,913
Gross unrealized depreciation		(118,104,110	)

Net unrealized appreciation (depreciation)		($82,566,197	)
Cost for federal income tax purposes	$	551,644,953

The accompanying Notes to the Financial Statements are an integral part of this schedule.

118

Large Cap Value Fund

Schedule of Investments as of October 31, 2008

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Large Cap Value Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	27,288,103	$	124,517,085	$	148,892,950	2,912,238	$	2,912,238	$	384,203
Thrivent Financial Securities Lending Trust		75,833,378		647,962,517		710,347,695	13,448,200		13,448,200		468,863
Total Value and Dividend Income		103,121,481							16,360,438		853,066

The accompanying Notes to Financial Statements are an integral part of this schedule.

119

Large Cap Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.7%)	Value
Consumer Discretionary (8.9%)
201,550	Amazon.com, Inc.^a,b	$	11,536,722
343,000	BorgWarner, Inc.		7,707,210
1,216,251	Comcast Corporation		19,168,116
315,000	General Motors Corporation^a		1,820,700
200,000	Goodyear Tire & Rubber Company^b		1,784,000
798,000	Home Depot, Inc.		18,824,820
391,100	Lowe’s Companies, Inc.		8,486,870
561,500	Macy’s, Inc^a		6,900,835
643,100	McDonald’s Corporation		37,254,783
98,667	Nordstrom, Inc.^a		1,784,886
205,900	Omnicom Group, Inc.		6,082,286
141,600	Pulte Homes, Inc.^a		1,577,424
90,600	Sherwin-Williams Company		5,156,046
145,700	SPDR S&P Homebuilders ETF		2,054,370
222,100	Staples, Inc.		4,315,403
310,389	Time Warner, Inc.		3,131,825
227,100	Toll Brothers, Inc.^b		5,250,552
287,300	Viacom, Inc.^b		5,809,206
220,400	Whirlpool Corporation^a		10,281,660
170,700	WMS Industries, Inc.^b		4,267,500

	Total Consumer Discretionary		163,195,214

Consumer Staples (10.1%)
796,039	Altria Group, Inc.		15,275,988
119,300	Costco Wholesale Corporation		6,801,293
282,300	CVS/Caremark Corporation		8,652,495
253,102	General Mills, Inc.		17,145,129
237,700	Kellogg Company		11,984,834
141,800	Kimberly-Clark Corporation		8,690,922
499,404	Kraft Foods, Inc.		14,552,633
91,100	Lorillard, Inc.		5,999,846
667,527	Philip Morris International, Inc.		29,017,399
338,300	Procter & Gamble Company		21,833,882
136,300	Sara Lee Corporation		1,523,834
772,350	Wal-Mart Stores, Inc.		43,104,854

	Total Consumer Staples		184,583,109

Energy (13.5%)
154,816	Apache Corporation		12,746,001
560,571	ConocoPhillips		29,160,903
235,950	Devon Energy Corporation		19,078,917
995,244	Exxon Mobil Corporation		73,767,485
231,100	Halliburton Company		4,573,469
435,346	Holly Corporation		8,545,842
887,900	Nabors Industries, Ltd.^a,b		12,768,002
367,700	Occidental Petroleum Corporation		20,422,058
474,450	Petroleo Brasileiro SA ADR		12,757,961
79,900	Royal Dutch Shell plc ADR		4,459,219
147,592	Total SA ADR^a		8,182,500
180,993	Transocean, Inc.^a,b		14,901,154
69,600	Valero Energy Corporation		1,432,368
867,700	Weatherford International, Ltd.^b		14,646,776
288,900	XTO Energy, Inc.		10,385,955

	Total Energy		247,828,610

Financials (17.5%)
183,700	ACE, Ltd.		10,537,032
93,700	AFLAC, Inc.		4,149,036
25,000	Allstate Corporation		659,750
85,854	American Express Company		2,360,985
261,470	Ameriprise Financial, Inc.		5,647,752
1,433,651	Bank of America Corporation		34,651,345
761,434	Bank of New York Mellon Corporation		24,822,748
445,800	Capital One Financial Corporation^a		17,439,696
263,910	Chubb Corporation		13,675,816
402,177	Citigroup, Inc.		5,489,716
103,900	Goldman Sachs Group, Inc.		9,610,750
483,200	Hudson City Bancorp, Inc.		9,088,992
96,700	IntercontinentalExchange, Inc.^b		8,273,652
1,518,004	J.P. Morgan Chase & Company		62,617,665
309,000	KeyCorp		3,779,070
161,283	Loews Corporation		5,356,208
264,400	Marsh & McLennan Companies, Inc.		7,752,208
537,500	Marshall & Ilsley Corporation^a		9,691,125
109,408	Merrill Lynch & Company, Inc.		2,033,895
229,200	Morgan Stanley		4,004,124
147,500	Nasdaq OMX Group, Inc.^b		4,787,850
74,900	Piper Jaffray Companies^b		2,954,805
117,873	Principal Financial Group, Inc.		2,238,408
133,481	Prudential Financial, Inc.		4,004,430
146,300	Raymond James Financial, Inc.^a		3,407,327
33,663	Reinsurance Group of America, Inc.^b		1,246,878
840,800	Synovus Financial Corporation^a		8,685,464
412,961	Travelers Companies, Inc.		17,571,491
960,101	Wachovia Corporation		6,154,247
557,900	Washington Federal, Inc.		9,830,198
568,355	Wells Fargo & Company		19,352,488

	Total Financials		321,875,151

Health Care (13.8%)
805,168	Abbott Laboratories		44,405,015
108,539	Aetna, Inc.		2,699,365
377,843	Baxter International, Inc.		22,855,723
984,986	Gilead Sciences, Inc.^b		45,161,608
73,800	iShares Nasdaq Biotechnology Index Fund^a		5,270,058
775,514	Johnson & Johnson		47,570,029
406,717	McKesson Corporation		14,963,118
305,950	Medco Health Solutions, Inc.^b		11,610,802
588,736	Pfizer, Inc.		10,426,515
269,067	Sanofi-Aventis ADR		8,507,899
281,700	St. Jude Medical, Inc.^b		10,713,051
648,524	Thermo Fisher Scientific, Inc.^b		26,330,074
86,833	WellPoint, Inc.^b		3,375,199

	Total Health Care		253,888,456

Industrials (9.4%)
201,600	AMR Corporation^b		2,058,336
121,752	Caterpillar, Inc.		4,647,274
137,806	Danaher Corporation^a		8,163,627
220,350	Deere & Company		8,496,696
1,022,312	Delta Air Lines, Inc.^b		11,224,986
130,100	Eaton Corporation^c		5,802,460
64,500	FedEx Corporation		4,216,365
24,500	First Solar, Inc.^b		3,520,650
255,100	Foster Wheeler, Ltd.^b		6,989,740
1,845,328	General Electric Company		36,002,349
385,014	Honeywell International, Inc.		11,723,676

The accompanying Notes to Financial Statements are an integral part of this schedule.

120

Large Cap Stock Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (97.7%)	Value
Industrials (9.4%) - continued
120,329	Lockheed Martin Corporation	$	10,233,982
404,000	Republic Services, Inc.		9,574,800
237,600	Tyco International, Ltd.		6,006,528
259,896	Union Pacific Corporation		17,353,256
489,226	United Technologies Corporation		26,887,861

	Total Industrials		172,902,586

Information Technology (16.8%)
506,550	Accenture, Ltd.		16,741,478
133,150	Adobe Systems, Inc.^b		3,547,116
183,500	Amdocs, Ltd.^b		4,139,760
172,328	Apple, Inc.^b		18,540,770
304,100	Automatic Data Processing, Inc.		10,628,295
313,100	Broadcom Corporation^b		5,347,748
488,000	CIENA Corporation^a,b		4,689,680
811,055	Cisco Systems, Inc.^b		14,412,447
336,000	Corning, Inc.		3,638,880
64,800	Electronic Arts, Inc.^b		1,476,144
704,850	EMC Corporation^b		8,303,133
66,900	F5 Networks, Inc.^b		1,660,458
76,892	Google, Inc.^b		27,631,909
121,083	Hewlett-Packard Company		4,635,057
1,078,307	Intel Corporation		17,252,912
570,130	International Business Machines Corporation		53,004,986
885,850	Marvell Technology Group, Ltd.^b		6,165,516
82,700	MasterCard, Inc.^a		12,224,714
1,111,800	Microsoft Corporation		24,826,494
110,850	Nokia Oyj ADR		1,682,703
232,036	NVIDIA Corporation^b		2,032,635
1,024,554	Oracle Corporation^b		18,739,093
510,363	QUALCOMM, Inc.		19,526,488
156,800	Research in Motion, Ltd.^b		7,907,424
229,246	Sybase, Inc.^b		6,104,821
340,833	Symantec Corporation^b		4,287,679
648,600	Teradyne, Inc.^b		3,307,860
312,300	Texas Instruments, Inc.		6,108,588

	Total Information Technology		308,564,788

Materials (3.7%)
357,622	Alcoa, Inc.		4,116,229
81,600	BHP Billiton, Ltd.^a		3,172,608
256,751	E.I. du Pont de Nemours and Company		8,216,032
175,189	Freeport-McMoRan Copper & Gold, Inc.^a		5,098,000
421,074	MeadWestvaco Corporation		5,907,668
221,800	Monsanto Company		19,735,764
71,550	Potash Corporation of Saskatchewan, Inc.		6,100,353
107,642	Praxair, Inc.		7,012,877
280,000	Rockwood Holdings, Inc.^b		3,458,000
127,900	Weyerhaeuser Company		4,888,338

	Total Materials		67,705,869

Telecommunications Services (1.7%)
446,900	AT&T, Inc.^c		11,963,513
333,100	Crown Castle International Corporation^b		7,051,727
269,312	NII Holdings, Inc.^b		6,937,477
701,746	TW Telecom, Inc.^b		4,968,362

	Total Telecommunications Services		30,921,079

Utilities (2.3%)
144,800	DTE Energy Company		5,111,440
1,099,355	Southern Company		37,751,851
	Total Utilities		42,863,291
	Total Common Stock (cost $1,961,253,344)		1,794,328,153

Shares	Collateral Held for Securities Loaned (4.0%)^d
73,426,536	Thrivent Financial Securities Lending Trust		73,426,536

	Total Collateral Held for Securities Loaned (cost $73,426,536)		73,426,536


Shares or Principal Amount	Short-Term Investments (1.8%)^d
	Deutsche Financial Bank, LLC
18,555,000	0.130%, 11/3/2008		18,554,866
	Federal National Mortgage Association Discount Notes
2,100,000	2.100%, 12/10/2008^e		2,095,279
11,944,723	Thrivent Money Market Fund		11,944,723

	Total Short-Term Investments (at amortized cost)		32,594,868

	Total Investments (cost $2,067,274,748) 103.5%	$	1,900,349,557

	Other Assets and Liabilities, Net (3.5%)		(64,386,946)

	Total Net Assets 100.0%	$	1,835,962,611

a	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

b	Non-income producing security.

c	At October 31, 2008, $17,765,973 of investments were earmarked to cover open financial futures contracts.

d	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

e	At October 31, 2008, $2,095,279 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Definitions:


ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.
ETF	-	Exchange Traded Fund.

The accompanying Notes to Financial Statements are an integral part of this schedule.

121

Large Cap Stock Fund

Schedule of Investments as of October 31, 2008

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	209,706,134
Gross unrealized depreciation		(401,375,837	)

Net unrealized appreciation (depreciation)		($191,669,703)
Cost for federal income tax purposes	$	2,092,019,260


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
S&P 500 Index Futures	19	December 2008	$	4,573,470	$	4,594,675	$	21,205
Total Futures							$	21,205

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Large Cap Stock Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	4,615,730	$	335,856,914	$	328,527,921	11,944,723	$	11,944,723	$	529,362
Thrivent Financial Securities Lending Trust		417,436,171		2,923,342,075		3,267,351,710	73,426,536		73,426,536		2,279,039
Total Value and Dividend Income		422,051,901							85,371,259		2,808,401

The accompanying Notes to the Financial Statements are an integral part of this schedule.

122

Large Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (99.8%)	Value
Consumer Discretionary (8.2%)
500	Abercrombie & Fitch Company	$	14,480
1,900	Amazon.com, Inc.^a		108,756
600	Apollo Group, Inc.^a		41,706
600	AutoNation, Inc.^a		4,122
300	AutoZone, Inc.^a,b		38,187
1,600	Bed Bath & Beyond, Inc.^a		41,232
2,075	Best Buy Company, Inc.		55,631
500	Big Lots, Inc.^a		12,215
400	Black & Decker Corporation		20,248
2,600	Carnival Corporation		66,040
4,050	CBS Corporation		39,326
700	Centex Corporation		8,575
2,000	Coach, Inc.^a		41,200
17,530	Comcast Corporation		276,273
1,700	D.R. Horton, Inc.		12,546
800	Darden Restaurants, Inc.		17,736
3,500	DIRECTV Group, Inc.^a,b		76,615
1,700	Eastman Kodak Company		15,606
1,300	Expedia, Inc.^a		12,363
800	Family Dollar Stores, Inc.		21,528
13,656	Ford Motor Company^a,b		29,907
900	Fortune Brands, Inc.		34,326
1,000	GameStop Corporation^a		27,390
1,400	Gannett Company, Inc.		15,400
2,800	Gap, Inc.		36,232
3,400	General Motors Corporation^b		19,652
1,000	Genuine Parts Company		39,350
1,500	Goodyear Tire & Rubber Company^a		13,380
2,000	H&R Block, Inc.		39,440
1,400	Harley-Davidson, Inc.		34,272
400	Harman International Industries, Inc.		7,348
800	Hasbro, Inc.		23,256
10,200	Home Depot, Inc.		240,618
1,900	International Game Technology		26,600
2,831	Interpublic Group of Companies, Inc.^a,b		14,693
1,300	J.C. Penney Company, Inc.		31,096
3,600	Johnson Controls, Inc.		63,828
500	Jones Apparel Group, Inc.		5,555
500	KB Home^b		8,345
1,800	Kohl’s Corporation^a,b		63,234
1,000	Leggett & Platt, Inc.		17,360
900	Lennar Corporation		6,966
1,700	Limited Brands, Inc.		20,366
600	Liz Claiborne, Inc.		4,890
8,800	Lowe’s Companies, Inc.^b		190,960
2,556	Macy’s, Inc		31,413
1,800	Marriott International, Inc.		37,566
2,200	Mattel, Inc.		33,044
6,800	McDonald’s Corporation		393,924
1,900	McGraw-Hill Companies, Inc.		50,996
200	Meredith Corporation		3,874
700	New York Times Company^b		7,000
1,700	Newell Rubbermaid, Inc.		23,375
13,800	News Corporation		146,832
2,400	NIKE, Inc.		138,312
1,000	Nordstrom, Inc.^b		18,090
1,700	Office Depot, Inc.^a		6,120
1,900	Omnicom Group, Inc.		56,126
300	Polo Ralph Lauren Corporation		14,151
1,300	Pulte Homes, Inc.		14,482
800	RadioShack Corporation		10,128
500	Scripps Networks Interactive		14,200
372	Sears Holdings Corporation^a		21,479
600	Sherwin-Williams Company		34,146
300	Snap-On, Inc.		11,085
500	Stanley Works		16,370
4,250	Staples, Inc.		82,577
4,400	Starbucks Corporation^a		57,772
1,100	Starwood Hotels & Resorts Worldwide, Inc.		24,794
4,500	Target Corporation		180,540
750	Tiffany & Company		20,588
21,550	Time Warner, Inc.		217,439
2,500	TJX Companies, Inc.		66,900
500	VF Corporation		27,550
3,750	Viacom, Inc.^a		75,825
11,300	Walt Disney Company		292,670
50	Washington Post Company		21,340
483	Whirlpool Corporation		22,532
1,100	Wyndham Worldwide Corporation		9,009
2,800	Yum! Brands, Inc.		81,228

	Total Consumer Discretionary		4,202,326

Consumer Staples (12.8%)
12,400	Altria Group, Inc.^c		237,956
4,300	Anheuser-Busch Companies, Inc.		266,729
3,896	Archer-Daniels-Midland Company		80,764
2,600	Avon Products, Inc.		64,558
625	Brown-Forman Corporation		28,375
1,300	Campbell Soup Company		49,335
800	Clorox Company		48,648
12,000	Coca-Cola Company		528,720
1,900	Coca-Cola Enterprises, Inc.		19,095
3,000	Colgate-Palmolive Company		188,280
2,700	ConAgra Foods, Inc.		47,034
1,200	Constellation Brands, Inc.^a		15,048
2,600	Costco Wholesale Corporation		148,226
8,610	CVS/Caremark Corporation		263,897
900	Dean Foods Company^a		19,674
1,600	Dr. Pepper Snapple Group, Inc.^a		36,640
700	Estee Lauder Companies, Inc.		25,228
2,000	General Mills, Inc.		135,480
1,900	H.J. Heinz Company		83,258
1,000	Hershey Company		37,240
1,500	Kellogg Company		75,630
2,500	Kimberly-Clark Corporation		153,225
9,180	Kraft Foods, Inc.		267,505
3,900	Kroger Company		107,094
1,000	Lorillard, Inc.		65,860
800	McCormick & Company, Inc.		26,928
900	Molson Coors Brewing Company		33,624
800	Pepsi Bottling Group, Inc.		18,496
9,390	PepsiCo, Inc.		535,324
12,400	Philip Morris International, Inc.		539,028
18,310	Procter & Gamble Company		1,181,727
1,000	Reynolds American, Inc.		48,960
2,600	Safeway, Inc.		55,302
4,300	Sara Lee Corporation		48,074
1,309	SUPERVALU, Inc.		18,640

The accompanying Notes to Financial Statements are an integral part of this schedule.

123

Large Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (99.8%)	Value
Consumer Staples (12.8%) - continued
3,600	SYSCO Corporation	$	94,320
1,800	Tyson Foods, Inc.		15,732
900	UST, Inc.		60,831
6,000	Walgreen Company		152,760
13,500	Wal-Mart Stores, Inc.		753,435
800	Whole Foods Market, Inc.^b		8,576

	Total Consumer Staples		6,585,256

Energy (13.1%)
2,790	Anadarko Petroleum Corporation		98,487
2,022	Apache Corporation		166,471
1,900	Baker Hughes, Inc.		66,405
1,800	BJ Services Company		23,130
600	Cabot Oil & Gas Corporation		16,842
1,300	Cameron International Corporation^a		31,538
3,100	Chesapeake Energy Corporation		68,107
12,403	Chevron Corporation		925,264
9,188	ConocoPhillips		477,960
1,100	CONSOL Energy, Inc.		34,529
2,700	Devon Energy Corporation		218,322
4,192	El Paso Corporation		40,662
900	ENSCO International, Inc.		34,209
1,500	EOG Resources, Inc.		121,380
31,300	Exxon Mobil Corporation		2,319,956
5,300	Halliburton Company		104,887
1,700	Hess Corporation		102,357
4,230	Marathon Oil Corporation		123,093
500	Massey Energy Company		11,545
1,100	Murphy Oil Corporation		55,704
1,700	Nabors Industries, Ltd.^a		24,446
2,500	National Oilwell Varco, Inc.^a		74,725
1,600	Noble Corporation		51,536
1,000	Noble Energy, Inc.		51,820
4,900	Occidental Petroleum Corporation		272,146
1,600	Peabody Energy Corporation		55,216
700	Pioneer Natural Resources Company		19,481
900	Range Resources Corporation		37,998
700	Rowan Companies, Inc.		12,698
7,200	Schlumberger, Ltd.		371,880
1,300	Smith International, Inc.		44,824
2,100	Southwestern Energy Company^a		74,802
3,670	Spectra Energy Corporation		70,941
700	Sunoco, Inc.^b		21,350
800	Tesoro Petroleum Corporation		7,736
1,968	Transocean, Inc.^a		162,025
3,100	Valero Energy Corporation		63,798
4,100	Weatherford International, Ltd.^a		69,208
3,500	Williams Companies, Inc.		73,395
3,350	XTO Energy, Inc.		120,433

	Total Energy		6,721,306

Financials (14.9%)
2,900	AFLAC, Inc.^c		128,412
3,300	Allstate Corporation^c		87,087
1,200	American Capital, Ltd.^b		16,860
7,000	American Express Company^c		192,500
16,144	American International Group, Inc.		30,835
1,300	Ameriprise Financial, Inc.		28,080
1,700	Aon Corporation		71,910
479	Apartment Investment & Management Company		7,008
700	Assurant, Inc.		17,836
500	Avalonbay Communities, Inc.		35,510
30,176	Bank of America Corporation		729,354
6,905	Bank of New York Mellon Corporation		225,103
3,300	BB&T Corporation		118,305
700	Boston Properties, Inc.		49,616
2,218	Capital One Financial Corporation		86,768
1,000	CB Richard Ellis Group, Inc.^a		7,010
5,600	Charles Schwab Corporation		107,072
2,200	Chubb Corporation		114,004
1,007	Cincinnati Financial Corporation		26,172
1,700	CIT Group, Inc.		7,038
32,806	Citigroup, Inc.		447,802
390	CME Group, Inc.		110,038
900	Comerica, Inc.		24,831
700	Developers Diversified Realty Corporation		9,219
2,900	Discover Financial Services		35,525
3,200	E*TRADE Financial Corporation^a,b		5,824
1,600	Equity Residential REIT		55,888
500	Federated Investors, Inc.		12,100
3,522	Fifth Third Bancorp		38,214
1,236	First Horizon National Corporation		14,721
900	Franklin Resources, Inc.		61,200
1,400	General Growth Properties, Inc.		5,796
2,600	Genworth Financial, Inc.		12,584
2,700	Goldman Sachs Group, Inc.		249,750
1,800	Hartford Financial Services Group, Inc.		18,576
1,500	Health Care Property Investors, Inc.		44,895
3,100	Host Marriott Corporation		32,054
3,100	Hudson City Bancorp, Inc.		58,311
2,210	Huntington Bancshares, Inc.		20,884
500	IntercontinentalExchange, Inc.^a		42,780
2,300	Invesco, Ltd.		34,293
22,332	J.P. Morgan Chase & Company		921,195
1,000	Janus Capital Group, Inc.		11,740
3,000	KeyCorp		36,690
1,400	Kimco Realty Corporation		31,612
900	Legg Mason, Inc.		19,971
1,100	Leucadia National Corporation		29,524
1,543	Lincoln National Corporation		26,601
2,200	Loews Corporation		73,062
500	M&T Bank Corporation		40,550
3,100	Marsh & McLennan Companies, Inc.		90,892
1,600	Marshall & Ilsley Corporation		28,848
1,200	MBIA, Inc.		11,796
9,200	Merrill Lynch & Company, Inc.		171,028
4,664	MetLife, Inc.		154,938
1,200	Moody’s Corporation^b		30,720
6,700	Morgan Stanley		117,049
700	Nasdaq OMX Group, Inc.^a		22,722
13,000	National City Corporation		35,100
1,300	Northern Trust Corporation		73,203
1,600	NYSE Euronext		48,288
1,000	Plum Creek Timber Company, Inc.		37,280

The accompanying Notes to the Financial Statements are an integral part of this schedule.

124

Large Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (99.8%)	Value
Financials (14.9%) - continued
2,100	PNC Financial Services Group, Inc.	$	140,007
1,600	Principal Financial Group, Inc.		30,384
4,100	Progressive Corporation		58,507
1,600	ProLogis Trust		22,400
2,600	Prudential Financial, Inc.		78,000
800	Public Storage, Inc.		65,200
4,214	Regions Financial Corporation		46,733
1,400	Simon Property Group, Inc.		93,842
2,800	SLM Corporation^a		29,876
3,235	Sovereign Bancorp, Inc.^a		9,382
2,600	State Street Corporation		112,710
2,100	SunTrust Banks, Inc.		84,294
1,600	T. Rowe Price Group, Inc.		63,264
500	Torchmark Corporation		20,885
3,564	Travelers Companies, Inc.		151,648
10,518	U.S. Bancorp		313,542
2,100	UnumProvident Corporation		33,075
800	Vornado Realty Trust		56,440
13,032	Wachovia Corporation		83,535
19,900	Wells Fargo & Company		677,595
1,900	XL Capital, Ltd.^b		18,430
700	Zions Bancorporation		26,677

	Total Financials		7,651,000

Health Care (13.8%)
9,300	Abbott Laboratories^c		512,895
2,800	Aetna, Inc.		69,636
1,900	Allergan, Inc.		75,373
1,000	AmerisourceBergen Corporation		31,270
6,336	Amgen, Inc.^a		379,463
1,000	Applied Biosystems, Inc.		30,830
700	Barr Pharmaceuticals, Inc.^a		44,982
3,800	Baxter International, Inc.		229,862
1,500	Becton, Dickinson and Company		104,100
1,790	Biogen Idec, Inc.^a		76,165
9,035	Boston Scientific Corporation^a		81,586
11,900	Bristol-Myers Squibb Company		244,545
600	C.R. Bard, Inc.		52,950
2,200	Cardinal Health, Inc.		84,040
2,700	Celgene Corporation^a		173,502
1,700	CIGNA Corporation		27,710
850	Coventry Health Care, Inc.^a		11,212
3,059	Covidien, Ltd.		135,483
600	DaVita, Inc.^a		34,050
6,000	Eli Lilly and Company		202,920
1,500	Express Scripts, Inc.^a		90,915
1,800	Forest Laboratories, Inc.^a		41,814
1,600	Genzyme Corporation^a		116,608
5,500	Gilead Sciences, Inc.^a		252,175
950	Hospira, Inc.^a		26,429
1,000	Humana, Inc.^a		29,590
1,100	IMS Health, Inc.		15,774
200	Intuitive Surgical, Inc.^a		34,558
16,790	Johnson & Johnson		1,029,899
1,433	King Pharmaceuticals, Inc.^a		12,596
700	Laboratory Corporation of America Holdings^a		43,043
1,700	McKesson Corporation		62,543
3,050	Medco Health Solutions, Inc.^a		115,747
6,800	Medtronic, Inc.		274,244
12,900	Merck & Company, Inc.		399,255
300	Millipore Corporation^a		15,567
1,800	Mylan Laboratories, Inc.^a,b		15,426
500	Patterson Companies, Inc.^a		12,665
700	PerkinElmer, Inc.		12,558
40,540	Pfizer, Inc.		717,963
1,000	Quest Diagnostics, Inc.		46,800
9,800	Schering-Plough Corporation		142,002
2,100	St. Jude Medical, Inc.^a		79,863
1,500	Stryker Corporation		80,190
2,500	Tenet Healthcare Corporation^a		10,950
2,500	Thermo Fisher Scientific, Inc.^a		101,500
7,300	UnitedHealth Group, Inc.		173,229
800	Varian Medical Systems, Inc.^a		36,408
600	Waters Corporation^a		26,280
600	Watson Pharmaceuticals, Inc.^a		15,702
3,100	WellPoint, Inc.^a		120,497
8,000	Wyeth		257,440
1,340	Zimmer Holdings, Inc.^a		62,216

	Total Health Care		7,075,020

Industrials (11.1%)
4,200	3M Company		270,060
2,000	Allied Waste Industries, Inc.^a		20,840
600	Avery Dennison Corporation		21,012
4,500	Boeing Company		235,215
1,700	Burlington Northern Santa Fe Corporation		151,402
1,000	C.H. Robinson Worldwide, Inc.		51,780
3,700	Caterpillar, Inc.		141,229
800	Cintas Corporation		18,960
1,000	Cooper Industries, Ltd.		30,950
2,500	CSX Corporation		114,300
1,200	Cummins, Inc.		31,020
1,500	Danaher Corporation^b		88,860
2,600	Deere & Company		100,256
1,100	Dover Corporation		34,947
950	Eaton Corporation		42,370
4,700	Emerson Electric Company		153,831
800	Equifax, Inc.		20,864
1,300	Expeditors International of Washington, Inc.		42,445
800	Fastenal Company		32,208
1,900	FedEx Corporation		124,203
400	Flowserve Corporation		22,768
1,100	Fluor Corporation		43,923
2,400	General Dynamics Corporation		144,768
66,100	General Electric Company		1,289,611
800	Goodrich Corporation		29,248
4,500	Honeywell International, Inc.		137,025
2,400	Illinois Tool Works, Inc.		80,136
1,953	Ingersoll-Rand Company		36,033
1,100	ITT Corporation		48,950
700	Jacobs Engineering Group, Inc.^a		25,501
700	L-3 Communications Holdings, Inc.		56,819
2,000	Lockheed Martin Corporation		170,100
800	Manitowoc Company, Inc.		7,872
2,200	Masco Corporation		22,330
700	Monster Worldwide, Inc.^a		9,968
2,300	Norfolk Southern Corporation		137,862
2,034	Northrop Grumman Corporation		95,374
2,155	PACCAR, Inc.		63,012
700	Pall Corporation		18,487
1,050	Parker-Hannifin Corporation		40,708
1,200	Pitney Bowes, Inc.		29,736
800	Precision Castparts Corporation		51,848

The accompanying Notes to Financial Statements are an integral part of this schedule.

125

Large Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (99.8%)	Value
Industrials (11.1%) - continued
1,300	R.R. Donnelley & Sons Company	$	21,541
2,500	Raytheon Company		127,775
900	Robert Half International, Inc.		16,983
900	Rockwell Automation, Inc.		24,903
1,000	Rockwell Collins, Inc.		37,230
300	Ryder System, Inc.		11,886
4,400	Southwest Airlines Company		51,832
600	Terex Corporation^a		10,014
1,500	Textron, Inc.		26,550
2,859	Tyco International, Ltd.		72,276
3,100	Union Pacific Corporation		206,987
6,100	United Parcel Service, Inc.		321,958
5,800	United Technologies Corporation		318,768
400	W.W. Grainger, Inc.		31,428
3,000	Waste Management, Inc.		93,690

	Total Industrials		5,662,652

Information Technology (15.7%)
3,200	Adobe Systems, Inc.^a		85,248
3,700	Advanced Micro Devices, Inc.^a,b		12,950
600	Affiliated Computer Services, Inc.^a		24,600
2,200	Agilent Technologies, Inc.^a		48,818
1,000	Akamai Technologies, Inc.^a		14,380
1,800	Altera Corporation		31,230
1,200	Amphenol Corporation		34,380
1,700	Analog Devices, Inc.		36,312
5,300	Apple, Inc.^a,c		570,227
8,100	Applied Materials, Inc.		104,571
1,400	Autodesk, Inc.^a		29,834
3,100	Automatic Data Processing, Inc.		108,345
1,100	BMC Software, Inc.^a		28,402
2,700	Broadcom Corporation^a		46,116
2,400	CA, Inc.		42,720
585	CIENA Corporation^a		5,622
35,500	Cisco Systems, Inc.^a		630,835
1,100	Citrix Systems, Inc.^a		28,347
1,800	Cognizant Technology Solutions Corporation^a		34,560
900	Computer Sciences Corporation^a		27,144
1,500	Compuware Corporation^a		9,570
700	Convergys Corporation^a		5,383
9,500	Corning, Inc.		102,885
10,500	Dell, Inc.^a		127,575
6,600	eBay, Inc.^a		100,782
1,900	Electronic Arts, Inc.^a		43,282
12,500	EMC Corporation^a		147,250
1,100	Fidelity National Information Services, Inc.		16,599
950	Fiserv, Inc.^a		31,692
1,400	Google, Inc.^a		503,104
800	Harris Corporation		28,760
14,741	Hewlett-Packard Company		564,285
33,800	Intel Corporation		540,800
8,200	International Business Machines Corporation		762,354
1,900	Intuit, Inc.^a		47,614
1,300	Jabil Circuit, Inc.		10,933
1,275	JDS Uniphase Corporation^a		6,962
3,300	Juniper Networks, Inc.^a		61,842
1,000	KLA-Tencor Corporation		23,250
500	Lexmark International, Inc.^a		12,915
1,300	Linear Technology Corporation		29,484
3,900	LSI Corporation^a,b		15,015
400	MasterCard, Inc.		59,128
1,400	MEMC Electronic Materials, Inc.^a		25,732
1,100	Microchip Technology, Inc.^b		27,093
4,600	Micron Technology, Inc.^a		21,666
47,300	Microsoft Corporation		1,056,209
900	Molex, Inc.		12,969
13,600	Motorola, Inc.		73,032
1,200	National Semiconductor Corporation		15,804
2,000	NETAPP, Inc.^a		27,060
2,100	Novell, Inc.^a		9,786
600	Novellus Systems, Inc.^a		9,480
3,350	NVIDIA Corporation^a		29,346
23,591	Oracle Corporation^a		431,479
1,900	Paychex, Inc.		54,226
800	QLogic Corporation^a		9,616
9,900	QUALCOMM, Inc.		378,774
600	Salesforce.com, Inc.^a		18,576
1,400	SanDisk Corporation^a		12,446
4,500	Sun Microsystems, Inc.^a		20,700
5,047	Symantec Corporation^a		63,491
2,400	Tellabs, Inc.^a		10,176
1,100	Teradata Corporation^a		16,929
1,000	Teradyne, Inc.^a		5,100
7,900	Texas Instruments, Inc.		154,524
1,200	Total System Services, Inc.		16,488
2,859	Tyco Electronics, Ltd.		55,579
2,200	Unisys Corporation^a		3,344
1,200	VeriSign, Inc.^a		25,440
4,403	Western Union Company		67,190
5,200	Xerox Corporation		41,704
1,700	Xilinx, Inc.		31,314
8,300	Yahoo!, Inc.^a		106,406

	Total Information Technology		8,027,784

Materials (3.1%)
1,300	Air Products and Chemicals, Inc.		75,569
700	AK Steel Holding Corporation		9,744
4,900	Alcoa, Inc.		56,399
600	Allegheny Technologies, Inc.		15,924
300	Ashland, Inc.		6,777
600	Ball Corporation		20,520
600	Bemis Company, Inc.		14,904
300	CF Industries Holdings, Inc.		19,257
5,583	Dow Chemical Company		148,898
5,400	E.I. du Pont de Nemours and Company		172,800
500	Eastman Chemical Company		20,195
1,100	Ecolab, Inc.		40,986
2,338	Freeport-McMoRan Copper & Gold, Inc.		68,036
700	Hercules, Inc.		11,767
500	International Flavors & Fragrances, Inc.		15,940
2,600	International Paper Company		44,772
991	MeadWestvaco Corporation		13,904
3,268	Monsanto Company		290,787
2,700	Newmont Mining Corporation		71,118
1,900	Nucor Corporation		76,969
800	Pactiv Corporation^a		18,848
1,000	PPG Industries, Inc.		49,580
1,900	Praxair, Inc.		123,785
700	Rohm and Haas Company		49,245

The accompanying Notes to the Financial Statements are an integral part of this schedule.

126

Large Cap Index Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (99.8%)	Value
Materials (3.1%) - continued
1,000	Sealed Air Corporation	$	16,920
800	Sigma-Aldrich Corporation		35,088
500	Titanium Metals Corporation^b		4,655
700	United States Steel Corporation		25,816
700	Vulcan Materials Company^b		37,996
1,300	Weyerhaeuser Company		49,686

	Total Materials		1,606,885

Telecommunications Services (3.3%)
2,400	American Tower Corporation^a		77,544
35,468	AT&T, Inc.		949,478
600	CenturyTel, Inc.		15,066
843	Embarq Corporation		25,290
1,900	Frontier Communications Corporation		14,459
8,900	Qwest Communications International, Inc.^b		25,454
17,168	Sprint Nextel Corporation^b		53,736
17,100	Verizon Communications, Inc.		507,357
2,601	Windstream Corporation		19,534

	Total Telecommunications Services		1,687,918

Utilities (3.8%)
4,000	AES Corporation^a		31,880
1,000	Allegheny Energy, Inc.		30,150
1,300	Ameren Corporation		42,185
2,400	American Electric Power Company, Inc.		78,312
2,100	CenterPoint Energy, Inc.		24,192
1,400	CMS Energy Corporation		14,350
1,600	Consolidated Edison, Inc.		69,312
1,100	Constellation Energy Group, Inc.		26,631
3,500	Dominion Resources, Inc.		126,980
1,000	DTE Energy Company		35,300
7,640	Duke Energy Corporation		125,143
3,083	Dynegy, Inc.^a		11,222
2,000	Edison International, Inc.		71,180
1,200	Entergy Corporation		93,660
3,950	Exelon Corporation		214,248
1,800	FirstEnergy Corporation		93,888
2,500	FPL Group, Inc.		118,100
430	Integrys Energy Group, Inc.		20,468
300	Nicor, Inc.		13,863
1,637	NiSource, Inc.		21,216
1,200	Pepco Holdings, Inc.		24,780
2,200	PG&E Corporation		80,674
600	Pinnacle West Capital Corporation		18,990
2,300	PPL Corporation		75,486
1,527	Progress Energy, Inc.		60,118
3,100	Public Service Enterprise Group, Inc.		87,265
1,000	Questar Corporation		34,460
1,500	Sempra Energy		63,885
4,600	Southern Company		157,964
1,300	TECO Energy, Inc.		15,002
700	Wisconsin Energy Corporation		30,450
2,655	Xcel Energy, Inc.		46,250

	Total Utilities		1,957,604

	Total Common Stock (cost $54,114,478)		51,177,751


	Collateral Held for Securities Loaned (1.4%)^d
705,338	Thrivent Financial Securities Lending Trust		705,338

	Total Collateral Held for Securities Loaned (cost $705,338)		705,338


Shares or Principal Amount	Short-Term Investments (0.4%)^d
	Federal National Mortgage Association Discount Notes
200,000	2.400%, 12/10/2008^e		199,483
1,036	Thrivent Money Market Fund		1,036

	Total Short-Term Investments (at amortized cost)		200,519

	Total Investments (cost $55,020,335) 101.6%		$52,083,608

	Other Assets and Liabilities, Net (1.6%)		(818,134)

	Total Net Assets 100.0%		$51,265,474

a	Non-income producing security.

b	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

c	At October 31, 2008, $1,714,721 of investments were earmarked to cover open financial futures contracts.

d	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

e	At October 31, 2008, $199,483 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Definitions:


REIT		-		Real Estate Investment Trust, is a company that buys, develops, manages and/or sells real estate assets.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	9,685,889
Gross unrealized depreciation		(13,541,198	)

Net unrealized appreciation (depreciation)		($3,855,309	)
Cost for federal income tax purposes	$	55,938,917

The accompanying Notes to Financial Statements are an integral part of this schedule.

127

Large Cap Index Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
S&P 500 Index Mini-Futures	2	December 2008	$	93,023	$	96,730	$	3,707
Total Futures							$	3,707

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Large Cap Index Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	2,178,690	$	9,838,802	$	12,016,456	1,036	$	1,036	$	28,625
Thrivent Financial Securities Lending Trust		4,630,568		20,311,387		24,236,617	705,338		705,338		19,596
Total Value and Dividend Income		6,809,258							706,374		48,221

The accompanying Notes to Financial Statements are an integral part of this schedule.

128

Balanced Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (66.8%)	Value
Consumer Discretionary (7.0%)
5,100	Advance Auto Parts, Inc.^a	$	159,120
9,000	Autoliv, Inc.^a		192,240
15,900	Bed Bath & Beyond, Inc.^b,c		409,743
2,600	Black & Decker Corporation^c		131,612
16,200	BorgWarner, Inc.^d		364,014
16,500	Carter’s, Inc.^a,b		350,460
3,800	Centex Corporation		46,550
41,300	Chico’s FAS, Inc.^b,e		140,420
11,300	Children’s Place Retail Stores, Inc.^a,b		377,759
46,700	Coldwater Creek, Inc.^a,b		167,653
92,100	Comcast Corporation^a,c		1,451,496
8,200	D.R. Horton, Inc.		60,516
13,000	Dollar Tree, Inc.^b		494,260
10,400	DreamWorks Animation SKG, Inc.^b		292,240
2,651	Finish Line, Inc.		25,370
17,600	Fossil, Inc.^a,b		319,440
7,700	Genesco, Inc.^b,e		191,037
24,200	Goodyear Tire & Rubber Company^b		215,864
13,500	Guess ?, Inc.		293,895
23,300	Harley-Davidson, Inc.		570,384
2,400	Harman International Industries, Inc.		44,088
2,100	Hasbro, Inc.		61,047
6,800	Home Depot, Inc.		160,412
40,500	Hot Topic, Inc.^b		262,440
24,500	Kohl’s Corporation^b,e		860,685
73,000	Leapfrog Enterprises, Inc.^b,e		492,750
4,100	Lennar Corporation		31,734
29,000	McDonald’s Corporation		1,679,970
2,000	Mohawk Industries, Inc.^b,e		96,760
5,300	Newell Rubbermaid, Inc.		72,875
69,700	Pier 1 Imports, Inc.^b,e		96,186
6,100	Pulte Homes, Inc.		67,954
70,400	Regal Entertainment Group^e		903,936
18,400	Ross Stores, Inc.^a		601,496
8,000	Skechers USA, Inc.^b		108,640
4,500	Target Corporation		180,540
12,200	TJX Companies, Inc.		326,472
17,400	Viacom, Inc.^b		351,828
7,500	Warnaco Group, Inc.^b		223,575
32,300	Yum! Brands, Inc.		937,023

	Total Consumer Discretionary		13,814,484

Consumer Staples (7.9%)
10,000	Alberto-Culver Company^a		257,300
21,100	Altria Group, Inc.^a		404,909
14,400	Avon Products, Inc.^a		357,552
5,724	Cadbury plc^a		211,674
27,100	Coca-Cola Company^a		1,194,026
21,400	Constellation Brands, Inc.^a,b		268,356
37,195	CVS/Caremark Corporation^c		1,140,027
7,000	Diageo plc ADR		435,330
4,368	Dr. Pepper Snapple Group, Inc.^b		100,027
18,300	Elizabeth Arden, Inc.^a,b		316,407
14,250	Flowers Foods, Inc.		422,513
14,500	General Mills, Inc.		982,230
9,400	Hormel Foods Corporation		265,644
21,766	Kraft Foods, Inc.		634,261
27,100	Kroger Company		744,166
8,100	Lorillard, Inc.		$533,466
18,300	Pepsi Bottling Group, Inc.		423,096
24,800	PepsiCo, Inc.^a		1,413,848
21,100	Philip Morris International, Inc.		917,217
32,912	Procter & Gamble Company^a		2,124,140
14,997	Reckitt Benckiser Group plc		634,339
11,300	Smithfield Foods, Inc.^b,e		118,876
27,500	Wal-Mart Stores, Inc.		1,534,775

	Total Consumer Staples		15,434,179

Energy (7.7%)
21,500	Devon Energy Corporation		1,738,490
32,300	Dril-Quip, Inc.^b		797,810
32,586	Exxon Mobil Corporation^c		2,415,274
55,400	Halliburton Company		1,096,366
38,600	Noble Corporation		1,243,306
25,400	Occidental Petroleum Corporation^a		1,410,716
1,560	Patriot Coal Corporation^b		24,695
7,500	Peabody Energy Corporation		258,825
79,600	Petrohawk Energy Corporation^a,b		1,508,420
39,100	Petroleo Brasileiro SA ADR		1,051,399
19,500	Petroleum Development Corporation^b,c		403,845
45,151	Sunoco, Inc.^e		1,377,106
22,300	Total SA ADR		1,236,312
37,800	Willbros Group, Inc.^b,e		585,522

	Total Energy		15,148,086

Financials (10.1%)
6,600	Affiliated Managers Group, Inc.^b,d		306,108
18,300	AFLAC, Inc.^c		810,324
12,800	Allstate Corporation^c		337,792
2,200	AMB Property Corporation^a		52,866
22,800	American Express Company^c		627,000
34,362	American International Group, Inc.^c		65,631
7,900	Ameriprise Financial, Inc.^c		170,640
2,601	Apartment Investment & Management Company^e		38,052
13,000	Axis Capital Holdings, Ltd.		370,240
30,500	Bank of America Corporation^a,c		737,185
16,300	Bank of New York Mellon Corporation^c		531,380
2,363	CapitalSource, Inc.		17,486
13,700	Chubb Corporation^a		709,934
18,800	Citigroup, Inc.^a,c		256,620
2,371	CME Group, Inc.^a,c		668,978
8,575	Commerce Bancshares, Inc.		405,426
7,700	Cullen/Frost Bankers, Inc.^d		430,969
1,800	Developers Diversified Realty Corporation		23,706
17,200	East West Bancorp, Inc.^d,e		298,420
11,800	Endurance Specialty Holdings, Ltd.		356,832
300	Entertainment Properties Trust		11,235
3,700	Equity Residential REIT		129,241
1,300	Essex Property Trust, Inc.		126,490
20,500	First Commonwealth Financial Corporation		226,730
7,300	Franklin Resources, Inc.		496,400
7,200	Goldman Sachs Group, Inc.		666,000
677	Gramercy Capital Corporation		1,801

The accompanying Notes to Financial Statements are an integral part of this schedule.

129

Balanced Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (66.8%)	Value
Financials (10.1%) - continued
4,100	Hartford Financial Services Group, Inc.	$	42,312
13,200	HCC Insurance Holdings, Inc.		291,192
3,300	Hospitality Properties Trust		33,495
19,000	Hudson City Bancorp, Inc.		357,390
63,700	J.P. Morgan Chase & Company		2,627,625
400	Kilroy Realty Corporation		12,860
2,300	Mack-Cali Realty Corporation		52,256
14,400	Marshall & Ilsley Corporation^e		259,632
15,000	Merrill Lynch & Company, Inc.		278,850
35,000	MGIC Investment Corporation^e		135,800
18,100	Morgan Stanley		316,207
33,300	NewAlliance Bancshares, Inc.		459,540
9,300	Northern Trust Corporation		523,683
100	Parkway Properties, Inc.		1,725
27,900	People’s United Financial, Inc.		488,250
2,400	Plum Creek Timber Company, Inc.		89,472
63,600	PMI Group, Inc.^e		158,364
6,400	Portfolio Recovery Associates, Inc.^b,e		229,632
2,700	ProLogis Trust		37,800
7,500	Prudential Financial, Inc.		225,000
2,940	Public Storage, Inc.		239,610
2,400	Rayonier, Inc. REIT		79,392
16,000	Signature Bank^b		521,280
3,000	Simon Property Group, Inc.^e		201,090
39,100	South Financial Group, Inc.^e		227,171
100	Sovran Self Storage, Inc.		3,245
4,900	SVB Financial Group^b		252,105
9,100	Syncora Holdings, Ltd.^b,e		9,852
20,400	U.S. Bancorp^a		608,124
3,800	UDR, Inc.		75,088
4,800	UMB Financial Corporation		217,584
2,300	Weingarten Realty Investors		47,035
34,300	Wells Fargo & Company		1,167,915
20,000	Zions Bancorporation^e		762,200

	Total Financials		19,906,262

Health Care (9.9%)
9,600	Aetna, Inc.^c		238,752
21,100	Alpharma, Inc.^b,e		660,641
533	Amedisys, Inc.^b		30,067
3,400	AmerisourceBergen Corporation		106,318
17,300	ArthroCare Corporation^b,e		359,494
18,700	Beckman Coulter, Inc.^c		933,504
37,300	BioMarin Pharmaceutical, Inc.^b,c		683,336
14,500	C.R. Bard, Inc.^c		1,279,625
5,900	Cardinal Health, Inc.^a		225,380
13,400	Cephalon, Inc.^b,c,e		961,048
7,100	CIGNA Corporation		115,730
1,400	Covance, Inc.^a,b		70,000
5,600	Coventry Health Care, Inc.^a,b		73,864
21,300	Dentsply International, Inc.^d		647,094
98,400	Dexcom, Inc.^a,b		444,768
7,600	Express Scripts, Inc.^b		460,636
20,500	Gilead Sciences, Inc.^a,b		939,925
2,000	Health Net, Inc.^b		25,760
1,700	Henry Schein, Inc.^b		79,577
31,100	Hospira, Inc.^b		865,202
3,100	Humana, Inc.^b		91,729
19,200	ImClone Systems, Inc.^b		1,320,192
7,600	IMS Health, Inc.		108,984
2,300	Laboratory Corporation of America Holdings^b		$141,427
38,200	Masimo Corporation^b		1,222,018
5,000	McKesson Corporation^c		183,950
9,956	Medco Health Solutions, Inc.^b		377,830
3,600	Millipore Corporation^b		186,804
21,800	NuVasive, Inc.^b,e		1,026,562
2,100	Omnicare, Inc.		57,897
2,300	Patterson Companies, Inc.^b,c		58,259
283	PharMerica Corporation^b		5,810
100	Psychiatric Solutions, Inc.^b		3,329
2,700	Quest Diagnostics, Inc.		126,360
31,528	SenoRx, Inc.^b		83,234
21,500	Shire Pharmaceuticals Group plc ADR		848,175
19,200	STERIS Corporation		653,568
8,200	Thermo Fisher Scientific, Inc.^b		332,920
9,300	United Therapeutics Corporation^b		811,239
15,640	UnitedHealth Group, Inc.		371,137
46,400	Vertex Pharmaceuticals, Inc.^b		1,216,144
10,500	WellPoint, Inc.^b		408,135
13,300	Zimmer Holdings, Inc.^b		617,519

	Total Health Care		19,453,943

Industrials (6.9%)
250	Allegiant Travel Company^b		9,957
22,400	American Commercial Lines, Inc.^b,e		166,432
19,400	American Reprographics Company^a,b		206,416
9,800	C.H. Robinson Worldwide, Inc.^a		507,444
6,100	Canadian National Railway Company^c		263,886
10,400	Carlisle Companies, Inc.^c		241,800
15,500	Danaher Corporation^c,e		918,220
9,100	Eaton Corporation^a		405,860
15,700	Emerson Electric Company^a		513,861
14,800	FTI Consulting, Inc.^b		862,100
46,000	General Electric Company		897,460
15,400	Hub Group, Inc.^b		484,330
24,700	JB Hunt Transport Services, Inc.^e		702,221
13,900	Kirby Corporation^b		477,048
5,700	Manpower, Inc.		177,441
47,000	Oshkosh Corporation		360,020
28,600	Pall Corporation		755,326
12,000	Pentair, Inc.		331,680
94,500	Polypore International, Inc.^b		806,085
6,400	Precision Castparts Corporation		414,784
14,500	Rockwell Automation, Inc.		401,215
10,500	Rockwell Collins, Inc.		390,915
12,700	Roper Industries, Inc.		575,945
19,100	Shaw Group, Inc.^b		341,699
13,300	SPX Corporation		515,242
29,800	Tyco International, Ltd.		753,344
26,200	Waste Management, Inc.		818,226
12,900	WESCO International, Inc.^b		256,452

	Total Industrials		13,555,409

Information Technology (11.0%)
62,700	ADC Telecommunications, Inc.^a,b,c		397,518
22,300	Apple, Inc.^b,c		2,399,257
14,900	Applied Materials, Inc.^a		192,359
11,100	ASML Holding NV ADR		194,805

The accompanying Notes to the Financial Statements are an integral part of this schedule.

130

Balanced Fund

Schedule of Investments as of October 31, 2008


Shares	Common Stock (66.8%)	Value
Information Technology (11.0%) - continued
22,800	BMC Software, Inc.^b	$	588,696
72,200	Cisco Systems, Inc.^b,c		1,282,994
62,400	Citrix Systems, Inc.^b,d		1,608,048
101,600	Compuware Corporation^a,b		648,208
12,800	DTS, Inc.^b,e		264,320
19,800	Electronic Arts, Inc.^b		451,044
49,800	EMC Corporation^b,d		586,644
17,900	F5 Networks, Inc.^b,c		444,278
15,200	FormFactor, Inc.^b		264,784
1,370	Google, Inc.^b		492,323
7,700	Harris Corporation		276,815
21,000	Informatica Corporation^b		295,050
72,300	Integrated Device Technology, Inc.^b		459,828
97,600	Intel Corporation^c		1,561,600
34,500	Intersil Corporation		472,305
57,000	Ixia^b		379,620
12,900	Juniper Networks, Inc.^b		241,746
61,400	Microsoft Corporation		1,371,062
16,300	NETAPP, Inc.^b		220,539
13,600	Nokia Oyj ADR^c		206,448
32,050	NVIDIA Corporation^b		280,758
58,100	Omniture, Inc.^b,e		668,150
19,600	ON Semiconductor Corporation^b		100,156
36,200	Oracle Corporation^b		662,098
19,300	QUALCOMM, Inc.		738,418
100,400	Quest Software, Inc.^b		1,330,300
5,400	Research in Motion, Ltd.^b		272,322
8,900	Solera Holdings, Inc.^b		221,521
73,100	Sonus Networks, Inc.^b,e		161,551
26,200	Symantec Corporation^b		329,596
105,200	Tellabs, Inc.^b		446,048
34,900	Texas Instruments, Inc.		682,644
59,900	TIBCO Software, Inc.^b		308,485
2,477	Verigy, Ltd.^b		35,917
7,900	Zebra Technologies Corporation^b		159,896

	Total Information Technology		21,698,151

Materials (2.5%)
9,700	Air Products and Chemicals, Inc.^c		563,861
375	Arkema ADR		8,550
15,700	Dow Chemical Company^c		418,719
14,900	E.I. du Pont de Nemours and Company		476,800
8,500	FMC Corporation^c		370,090
15,000	Freeport-McMoRan Copper & Gold, Inc.^a		436,500
8,700	Lubrizol Corporation		326,946
21,400	Pactiv Corporation^b		504,184
15,200	Praxair, Inc.		990,280
15,600	Silgan Holdings, Inc.		726,024

	Total Materials		4,821,954

Telecommunications Services (1.1%)
58,300	AT&T, Inc.^a,c		1,560,691
12,900	Embarq Corporation^c		387,000
8,500	NII Holdings, Inc.^b		218,960

	Total Telecommunications Services		2,166,651

Utilities (2.7%)
12,400	AES Corporation^b		98,828
4,400	Ameren Corporation		142,780
8,300	American Electric Power Company, Inc.^c		270,829
5,300	Consolidated Edison, Inc.		229,596
4,000	Constellation Energy Group, Inc.^a		96,840
14,700	Dominion Resources, Inc.^c		533,316
3,900	DTE Energy Company		137,670
19,816	Duke Energy Corporation^a		324,586
6,900	Edison International, Inc.^a		245,571
4,600	Entergy Corporation^a		359,030
13,700	Exelon Corporation^a		743,088
7,000	FirstEnergy Corporation^a		365,120
7,100	PG&E Corporation		260,357
7,600	PPL Corporation		249,432
5,600	Progress Energy, Inc.		220,472
11,000	Public Service Enterprise Group, Inc.		309,650
4,200	Questar Corporation		144,732
5,600	Sempra Energy		238,504
2,500	Wisconsin Energy Corporation		108,750
8,500	Xcel Energy, Inc.^c		148,070

	Total Utilities		5,227,221

	Total Common Stock (cost $165,122,886)		131,226,340


Principal Amount	Long-Term Fixed Income (38.0%)
Asset-Backed Securities (5.5%)
	Americredit Automobile Receivables Trust
803,425	2.258%, 11/6/2008^c,f,g		739,066
	Bear Stearns Mortgage Funding Trust
505,912	3.399%, 11/25/2008^g		99,774
	Chase Funding Issuance Trust
1,000,000	4.960%, 9/17/2012^a		949,853
	Citibank Credit Card Issuance Trust
750,000	5.650%, 9/20/2019^a		554,069
	Countrywide Asset-Backed Certificates
760,554	5.549%, 4/25/2036^c,f		689,782
	Discover Card Master Trust
1,000,000	5.650%, 3/16/2020^c		710,521
	First Franklin Mortgage Loan Asset-Backed Certificates
826,811	3.369%, 11/25/2008^a,g		801,162
	First Horizon ABS Trust
718,641	3.389%, 11/25/2008^f,g		493,200
	Ford Credit Floor Plan Master Owner Trust
1,000,000	4.740%, 11/17/2008^c,g		965,265
	GMAC Mortgage Corporation Loan Trust
898,234	3.329%, 11/25/2008^f,g		525,831
964,410	3.439%, 11/25/2008^f,g		526,053
	Green Tree Financial Corporation
444,134	6.330%, 11/1/2029^c		441,963
	Merna Re, Ltd.
700,000	5.512%, 12/31/2008^g,h		662,200
	Popular ABS Mortgage Pass- Through Trust
140,535	4.000%, 12/25/2034		138,610

The accompanying Notes to Financial Statements are an integral part of this schedule.

131

Balanced Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (38.0%)	Value
	Asset-Backed Securities (5.5%) - continued
		Renaissance Home Equity Loan Trust
$	1,500,000	5.608%, 5/25/2036^a	$	1,436,224
		Residential Asset Securities Corporation
	204,661	4.160%, 7/25/2030		202,478
		Residential Funding Mortgage Securities II
	291,150	3.389%, 11/25/2008^f,g		276,238
		SLM Student Loan Trust
	117,356	3.545%, 1/26/2009^g		116,896
		Wachovia Asset Securitization, Inc.
	852,690	3.399%, 11/25/2008^f,g,h		530,662

		Total Asset-Backed Securities		10,859,847

	Basic Materials (0.3%)
		ArcelorMittal
	250,000	6.125%, 6/1/2018^c,h		172,263
		Precision Castparts Corporation
	500,000	5.600%, 12/15/2013^c		507,506

		Total Basic Materials		679,769

	Capital Goods (0.9%)
		Caterpillar Financial Services Corporation
	135,000	5.850%, 9/1/2017^c		117,840
		Honeywell International, Inc.
	225,000	5.300%, 3/1/2018		197,981
		John Deere Capital Corporation
	500,000	5.350%, 1/17/2012^d		481,598
		Oakmont Asset Trust
	750,000	4.514%, 12/22/2008^h		750,068
		United Technologies Corporation
	350,000	4.875%, 5/1/2015		318,931

		Total Capital Goods		1,866,418

	Collateralized Mortgage Obligations (2.1%)
		Banc of America Mortgage Securities, Inc.
	1,087,963	4.804%, 9/25/2035^a		888,913
		HomeBanc Mortgage Trust
	670,241	5.989%, 4/25/2037		454,257
		J.P. Morgan Alternative Loan Trust
	661,874	5.803%, 3/25/2036		414,854
		Merrill Lynch Mortgage Investors, Inc.
	968,064	4.870%, 6/25/2035		786,447
		Thornburg Mortgage Securities Trust
	632,144	3.349%, 11/25/2008^g		627,954
	625,790	3.369%, 11/25/2008^g		567,362
		Zuni Mortgage Loan Trust
	372,899	3.389%, 11/25/2008^g		357,071

		Total Collateralized Mortgage Obligations		4,096,858

	Commercial Mortgage-Backed Securities (5.5%)
		Bear Stearns Commercial Mortgage Securities, Inc.
	1,500,000	4.710%, 11/15/2008^a,g,h		1,356,819
	1,000,000	4.487%, 2/11/2041^c		929,060
	500,000	5.835%, 9/11/2042^c		301,032
		Citigroup Commercial Mortgage Trust
	7,127	4.630%, 11/15/2008^g,h		6,511
		Commercial Mortgage Pass- Through Certificates
	30,022	4.660%, 11/15/2008^g,h		27,786
	1,000,000	4.690%, 11/15/2008^a,g,h		838,444
	1,500,000	4.740%, 11/15/2008^a,g,h		1,289,496
		Credit Suisse Mortgage Capital Certificates
	1,500,000	4.730%, 11/15/2008^g,h		1,300,049
		Crown Castle International Corporation
	500,000	5.245%, 11/15/2036^c,h		480,115
		Greenwich Capital Commercial Funding Corporation
	1,250,000	5.867%, 8/10/2017^c		757,611
		GS Mortgage Securities Corporation II
	1,000,000	4.175%, 11/6/2008^a,g,h		849,109
		LB-UBS Commercial Mortgage Trust
	35,781	3.086%, 5/15/2027		35,650
		Merrill Lynch Mortgage Trust
	1,000,000	5.266%, 1/12/2044		683,530
		TIAA Real Estate CDO, Ltd.
	1,000,000	5.815%, 8/15/2039		890,623
		Wachovia Bank Commercial Mortgage Trust
	875,000	5.765%, 7/15/2045		658,725
		Washington Mutual Asset Securities Corporation
	338,197	3.830%, 1/25/2035^h		318,915

		Total Commercial Mortgage- Backed Securities		10,723,475

	Communications Services (0.7%)
		AT&T, Inc.
	125,000	6.500%, 9/1/2037		101,542
		British Telecom plc
	150,000	9.125%, 12/15/2030^c		135,829
		Citizens Communications Company
	150,000	6.250%, 1/15/2013^a		124,125
		Comcast Corporation
	330,000	6.500%, 1/15/2015^c		297,445
		New Cingular Wireless Services, Inc.
	140,000	8.750%, 3/1/2031^a		130,222
		News America, Inc.
	125,000	6.400%, 12/15/2035		94,617
		Rogers Cable, Inc.
	280,000	6.750%, 3/15/2015		250,155
	40,000	8.750%, 5/1/2032		37,707

The accompanying Notes to the Financial Statements are an integral part of this schedule.

132

Balanced Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (38.0%)	Value
	Communications Services (0.7%) - continued
		Verizon Communications, Inc.
$	200,000	5.550%, 2/15/2016	$	174,502

		Total Communications Services		1,346,144

	Consumer Cyclical (0.7%)
		Ford Motor Credit Company
	350,000	7.375%, 10/28/2009		290,536
		McDonald’s Corporation
	150,000	6.300%, 3/1/2038		130,972
		MGM MIRAGE
	260,000	13.000%, 11/15/2013^h,i		231,400
		Nissan Motor Acceptance Corporation
	250,000	4.625%, 3/8/2010^h		251,396
	315,000	5.625%, 3/14/2011^h		322,192
		Wal-Mart Stores, Inc.
	230,000	5.875%, 4/5/2027		196,572

		Total Consumer Cyclical		1,423,068

	Consumer Non-Cyclical (0.8%)
		Baxter International, Inc.
	230,000	5.900%, 9/1/2016^c		214,743
		HCA, Inc.
	150,000	9.250%, 11/15/2016		127,500
		Johnson & Johnson Company
	250,000	5.950%, 8/15/2037		230,956
		Kroger Company
	200,000	6.400%, 8/15/2017		174,016
		PepsiCo, Inc.
	375,000	4.650%, 2/15/2013		360,345
		Schering-Plough Corporation
	300,000	6.000%, 9/15/2017^a		263,554
		United Health Group
	150,000	6.500%, 6/15/2037		101,404
		Wyeth
	100,000	5.950%, 4/1/2037		81,184

		Total Consumer Non-Cyclical		1,553,702

	Energy (0.5%)
		Nexen, Inc.
	265,000	5.650%, 5/15/2017		210,447
		Ras Laffan Liquefied Natural Gas Company, Ltd. II
	300,000	5.298%, 9/30/2020^h		261,666
		Ras Laffan Liquefied Natural Gas Company, Ltd. III
	125,000	5.832%, 9/30/2016^h		114,259
		Transocean, Inc.
	220,000	6.000%, 3/15/2018		188,214
		XTO Energy, Inc.
	200,000	5.500%, 6/15/2018		157,428

		Total Energy		932,014

	Financials (3.8%)
		Ace INA Holdings, Inc.
	225,000	5.800%, 3/15/2018^a		180,647
		American Express Company
	200,000	7.000%, 3/19/2018^a		154,063
		Bank of America Corporation
	600,000	8.125%, 5/15/2018^a		464,958
		Bear Stearns Companies, Inc.
	225,000	6.950%, 8/10/2012^c		222,021
	200,000	6.400%, 10/2/2017		177,767
		Capmark Financial Group, Inc.
	350,000	5.875%, 5/10/2012^a		87,486
	100,000	6.300%, 5/10/2017		22,179
		CIT Group, Inc.
	325,000	7.625%, 11/30/2012		190,047
		Citigroup, Inc.
	225,000	5.000%, 9/15/2014^c		177,854
		Corestates Capital Trust I
	375,000	8.000%, 12/15/2026^c,h		279,075
		General Electric Capital Corporation
	120,000	5.625%, 9/15/2017		98,105
		General Motors Acceptance Corporation, LLC
	250,000	6.000%, 12/15/2011		141,103
		Goldman Sachs Group, Inc.
	450,000	5.125%, 1/15/2015^c		373,436
	150,000	6.750%, 10/1/2037		97,695
		Goldman Sachs Group, Inc., Convertible
	500,000	1.000%, 1/31/2015 ^l		390,560
	400,000	1.000%, 5/7/2015 ^l		307,572
		HSBC Holdings plc
	165,000	6.500%, 5/2/2036		130,545
		International Lease Finance Corporation
	390,000	5.750%, 6/15/2011		267,232
		Lehman Brothers Holdings, Inc.
	500,000	5.250%, 2/6/2012^j		65,000
		Liberty Property, LP
	200,000	5.500%, 12/15/2016		138,034
		Merrill Lynch & Company, Inc.
	325,000	5.450%, 2/5/2013		292,941
		Mitsubishi UFG Capital Finance, Ltd.
	215,000	6.346%, 7/25/2016		150,500
		Nationwide Health Properties, Inc.
	375,000	6.250%, 2/1/2013		303,665
		ProLogis
	525,000	5.500%, 4/1/2012^c		340,969
		Prudential Financial, Inc.
	225,000	6.100%, 6/15/2017		180,531
	100,000	5.700%, 12/14/2036		61,693
		Reinsurance Group of America, Inc.
	300,000	5.625%, 3/15/2017		242,800
		Royal Bank of Scotland Group plc
	350,000	6.990%, 10/5/2017^h		187,593
		Swiss RE Capital I, LP
	275,000	6.854%, 5/25/2016^h		150,630
		Travelers Companies, Inc.
	105,000	6.250%, 6/15/2037		79,673
		Wachovia Bank NA
	285,000	4.875%, 2/1/2015		243,704
		Wachovia Capital Trust III
	495,000	5.800%, 3/15/2011		264,825
		WEA Finance, LLC
	225,000	7.125%, 4/15/2018^h		176,623

The accompanying Notes to Financial Statements are an integral part of this schedule.

133

Balanced Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (38.0%)	Value
	Financials (3.8%) - continued
		Wells Fargo & Company
$	225,000	4.375%, 1/31/2013	$	207,732
	200,000	5.625%, 12/11/2017		176,438
		Wells Fargo Capital XV
	225,000	9.750%, 9/26/2013		218,250
		Willis North America, Inc.
	220,000	6.200%, 3/28/2017		160,318

		Total Financials		7,404,264

	Foreign (0.2%)
		Corporacion Andina de Fomento
	500,000	5.750%, 1/12/2017^d		377,639

		Total Foreign		377,639

	Mortgage-Backed Securities (10.9%)
		Federal National Mortgage Association Conventional 30-Yr. Pass Through
	16,725,000	5.500%, 11/1/2038ⁱ		16,338,234
	3,000,000	6.000%, 11/1/2038ⁱ		2,998,125
	2,000,000	6.500%, 11/1/2038ⁱ		2,026,876

		Total Mortgage-Backed Securities		21,363,235

	Technology (0.2%)
		International Business Machines Corporation
	200,000	7.625%, 10/15/2018		206,954
		Oracle Corporation
	250,000	5.750%, 4/15/2018		218,757

		Total Technology		425,711

	Transportation (1.0%)
		Burlington Northern Santa Fe Corporation
	175,000	7.000%, 12/15/2025^c		153,952
		Continental Airlines, Inc.
	350,000	5.983%, 4/19/2022^c		243,250
		Delta Air Lines, Inc.
	450,000	7.111%, 9/18/2011^a		360,000
		FedEx Corporation
	342,181	6.720%, 1/15/2022		342,186
		Southwest Airlines Company
	604,214	6.150%, 8/1/2022		472,935
		Union Pacific Corporation
	450,000	6.125%, 1/15/2012^a		430,207

		Total Transportation		2,002,530

	U.S. Government (3.8%)
		Federal Home Loan Bank
	500,000	4.625%, 10/10/2012		507,996
		Federal Home Loan Mortgage Corporation
	750,000	5.000%, 12/14/2018		681,330
		Federal National Mortgage Association
	1,000,000	4.625%, 5/1/2013		967,810
		U.S. Treasury Bonds
	210,000	4.750%, 2/15/2037		222,649
	175,000	5.000%, 5/15/2037^e		192,746
	55,000	4.375%, 2/15/2038^e		55,163
		U.S. Treasury Notes
	150,000	2.750%, 2/28/2013^e		152,074
	450,000	4.250%, 8/15/2013^e		481,746
	230,000	3.875%, 5/15/2018^e		229,623
	245,000	4.000%, 8/15/2018^e		245,326
		U.S. Treasury Notes, TIPS
	4,068,505	2.000%, 7/15/2014		3,720,139

		Total U.S. Government		7,456,602

	Utilities (1.1%)
		CenterPoint Energy Resources Corporation
	300,000	6.125%, 11/1/2017^c		230,135
		Cleveland Electric Illuminating Company
	245,000	5.700%, 4/1/2017^c		195,127
		Commonwealth Edison Company
	220,000	5.400%, 12/15/2011^c		205,823
		Exelon Corporation
	300,000	6.750%, 5/1/2011		286,078
		ITC Holdings Corporation
	225,000	6.050%, 1/31/2018^h		196,925
		MidAmerican Energy Holdings Company
	225,000	6.500%, 9/15/2037		173,765
		Power Receivables Finance, LLC
	370,194	6.290%, 1/1/2012^k		385,309
		Union Electric Company
	350,000	6.400%, 6/15/2017		292,844
		Virginia Electric & Power Company
	145,000	6.000%, 1/15/2036		109,734

		Total Utilities		2,075,740

		Total Long-Term Fixed Income (cost $85,953,059)		74,587,016


Shares		Preferred Stock (0.3%)
	Financials (0.3%)
	5,025	Allegro Investment Corporation SA TGT, Reverse Convertible, 20.000%^b,h,l		189,902
	15,771	Credit Suisse New York, NY, Zero Coupon^c,l		240,981
	12,000	Federal National Mortgage Association, 8.250%		25,200

		Total Financials		456,083

		Total Preferred Stock (cost $818,822)		456,083


Contracts		Options Purchased (<0.1%)
	150	Call on U.S. Treasury Note Futures $117.50, expires 11/21/2008		23,437

		Total Options Purchased (cost $300,450)		23,437

The accompanying Notes to the Financial Statements are an integral part of this schedule.

134

Balanced Fund

Schedule of Investments as of October 31, 2008


Shares	Collateral Held for Securities Loaned (5.8%)^m	Value
11,379,048	Thrivent Financial Securities Lending Trust	$	11,379,048

	Total Collateral Held for Securities Loaned (cost $11,379,048)		11,379,048


Shares or Principal Amount	Short-Term Investments (6.4%)^m
	Federal Home Loan Bank Discount Notes
350,000	1.340%, 12/10/2008ⁿ		349,492
	Federal National Mortgage Association Discount Notes
100,000	1.300%, 12/8/2008^o		99,866
200,000	2.100%, 12/10/2008^o		199,551
11,999,191	Thrivent Money Market Fund		11,999,191

	Total Short-Term Investments (at amortized cost)		12,648,100

	Total Investments (cost $276,222,365) 117.3%		$230,320,024

	Other Assets and Liabilities, Net (17.3%)		(33,917,621)

	Total Net Assets 100.0%		$196,402,403

a	At October 31, 2008, $33,736,746 of investments were earmarked to cover open financial futures contracts.

b	Non-income producing security.

c	Designated as cover for long settling trades as discussed in the Notes to Financial Statements.

d	At October 31, 2008, $4,870,517 of investments were earmarked to cover open swap contracts.

e	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

f	All or a portion of the security is insured or guaranteed.

g	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.

i	Denotes investments purchased on a when-issued or delayed delivery basis.

j	In bankruptcy.


Security	Acquisition Date	Cost
Power Receivables Finance, LLC	9/30/2003	$	372,829

l	These securities are Equity-Linked Structured Securities as discussed in item 2(Q) of the Notes to Financial Statements.

m	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

n	At October 31, 2008, $349,492 of investments were pledged as collateral with the custodian under the agreement between the counterparty, the custodian and the fund for open swap contracts.

o	At October 31, 2008, $299,417 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

Definitions:


ADR	-	American Depositary Receipt, which are certificates for an underlying foreign security’s shares held by an issuing U.S. depository bank.
REIT	-	Real Estate Investment Trust, is a company that buys, develops, manages and/or sells real estate assets.
TIPS	-	Treasury Inflation Protected Security.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	10,571,739
Gross unrealized depreciation		(57,341,867	)

Net unrealized appreciation (depreciation)		($46,770,128	)
Cost for federal income tax purposes	$	277,090,152

The accompanying Notes to Financial Statements are an integral part of this schedule.

135

Balanced Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
2-Yr. U.S. Treasury Bond Futures	(35)	December 2008	($7,424,268	)	($7,518,984	)	($94,716	)
5-Yr. U.S. Treasury Bond Futures	(40)	December 2008	(4,475,190	)	(4,530,312	)	(55,122	)
10-Yr. U.S. Treasury Bond Futures	(120)	December 2008	(13,877,447	)	(13,569,376	)	308,071
20-Yr. U.S. Treasury Bond Futures	40	December 2008	4,717,602		4,525,000		(192,602	)
Total Futures							($34,369	)


Credit Default Swaps and Counterparty	Buy/Sell Protection	Termination Date	Notional Principal Amount		Upfront Payments Received (Made)		Value		Unrealized Gain/(Loss)
CDX HY, Series 10, 5 Year, at 5.00%; Bank of America	Sell	6/20/2013	$	250,000	$	22,049	($38,921	)	($17,209	)
CDX HY, Series 10, 5 Year, at 5.00%; J.P. Morgan Chaseand Co.	Sell	6/20/2013		500,000		26,736	(77,845	)	(45,541	)
CDX HY, Series 11, 5 Year, at 5.00%; Bank of America	Sell	12/20/2013		500,000		88,333	(93,149	)	(3,673	)
CDX IG, Series 10, 5 Year, at 1.55%; Bank of America	Sell	6/20/2013		366,000		3,989	(9,393	)	(5,451	)
CDX IG, Series 10, 5 Year, at 1.55%; J.P. Morgan Chaseand Co.	Sell	6/20/2013		366,000		3,687	(9,393	)	(5,740	)
CDX, Series 10, 5 Year, at 5.00%; Bank of America	Sell	6/20/2013		1,000,000		62,222	(155,689	)	(94,825	)
Total Credit Default Swaps							($384,390	)	($172,439	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Balanced Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	14,248,100	$	49,757,320	$	52,006,229	11,999,191	$	11,999,191	$	533,154
Thrivent Financial Securities Lending Trust		39,692,963		121,075,866		149,389,781	11,379,048		11,379,048		303,305
Total Value and Dividend Income		53,941,063							23,378,239		836,459

The accompanying Notes to the Financial Statements are an integral part of this schedule.

136

High Yield Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Bank Loans (5.1%)^a	Value
	Basic Materials (0.5%)
		Lyondell Chemical Company, Term Loan
$	2,079,109	7.794%, 12/20/2013	$	1,292,519
	1,293,500	8.044%, 12/20/2014		764,381

		Total Basic Materials		2,056,900

	Communications Services (0.7%)
		Alltel Communications, Inc., Term Loan
	3,491,184	5.316%, 5/15/2015		3,314,460

		Total Communications Services		3,314,460

	Consumer Cyclical (1.2%)
		Blockbuster, Inc., Term Loan
	850,000	3.750%, 8/20/2011		648,660
		Ford Motor Company, Term Loan
	8,898,100	7.590%, 12/16/2013		4,858,363

		Total Consumer Cyclical		5,507,023

	Consumer Non-Cyclical (1.5%)
		CHS/Community Health Systems, Inc., Term Loan
	124,501	1.000%, 7/25/2014^b,c		100,535
	2,434,358	5.222%, 7/25/2014		1,965,744
		HCA, Inc., Term Loan
	5,450,000	5.273%, 11/18/2013		4,495,269

		Total Consumer Non-Cyclical		6,561,548

	Technology (0.4%)
		Flextronics Semiconductor, Ltd., Term Loan
	1,828,297	6.155%, 10/1/2014		1,383,417
	525,372	7.069%, 10/1/2014		446,567

		Total Technology		1,829,984

	Utilities (0.8%)
		Energy Future Holdings, Term Loan
	4,900,500	6.659%, 10/10/2014		3,836,847

		Total Utilities		3,836,847

		Total Bank Loans (cost $27,522,894)		23,106,762


		Long-Term Fixed Income (88.2%)
	Asset-Backed Securities (0.3%)
		Countrywide Home Loans Asset-Backed Securities
	1,966,456	3.369%, 11/25/2008^d,e		1,589,404

		Total Asset-Backed Securities		1,589,404

	Basic Materials (8.1%)
		Aleris International, Inc.
	1,610,000	9.000%, 12/15/2014		555,450
		Arch Western Finance, LLC
	2,585,000	6.750%, 7/1/2013		2,171,400
		Domtar, Inc.
	2,360,000	7.125%, 8/15/2015		1,758,200
		Drummond Company, Inc.
	2,155,000	7.375%, 2/15/2016^f		1,476,175
		FMG Finance, Pty., Ltd.
	4,215,000	10.625%, 9/1/2016^f		2,887,275
		Freeport-McMoRan Copper & Gold, Inc.
	2,120,000	8.250%, 4/1/2015^g		1,696,000
	3,025,000	8.375%, 4/1/2017		2,374,625
		Georgia-Pacific Corporation
	1,400,000	8.125%, 5/15/2011^g		1,183,000
	1,805,000	7.125%, 1/15/2017^f		1,254,475
		Graphic Packaging International Corporation
	3,540,000	9.500%, 8/15/2013		2,424,900
		Griffin Coal Mining Company, Pty., Ltd.
	2,965,000	9.500%, 12/1/2016^f		1,215,650
		Jefferson Smurfit Corporation
	1,300,000	8.250%, 10/1/2012		663,000
		Momentive Performance Materials, Inc.
	2,120,000	9.750%, 12/1/2014		1,187,200
		Mosaic Global Holdings, Inc., Convertible
	2,540,000	7.375%, 12/1/2014^f		2,220,420
		NewPage Corporation
	1,820,000	10.000%, 5/1/2012		1,237,600
		Peabody Energy Corporation
	3,540,000	6.875%, 3/15/2013		3,106,350
		Rock-Tenn Company
	650,000	9.250%, 3/15/2016^h		572,000
		Ryerson, Inc.
	1,700,000	12.000%, 11/1/2015^f		1,156,000
		Smurfit-Stone Container Enterprises, Inc.
	1,840,000	8.000%, 3/15/2017^g		901,600
		Southern Copper Corporation
	1,460,000	7.500%, 7/27/2035		957,560
		Steel Dynamics, Inc.
	4,080,000	7.750%, 4/15/2016^f		2,703,000
		Terra Capital, Inc.
	3,200,000	7.000%, 2/1/2017		2,720,000

		Total Basic Materials		36,421,880

	Capital Goods (10.2%)
		Allied Waste North America, Inc.
	3,610,000	7.875%, 4/15/2013		3,357,300
		Ashtead Capital, Inc.
	1,300,000	9.000%, 8/15/2016^f		819,000
		Ball Corporation
	2,155,000	6.625%, 3/15/2018		1,767,100
		BE Aerospace, Inc.
	4,250,000	8.500%, 7/1/2018ⁱ		3,655,000
		Berry Plastics Holding Corporation
	1,200,000	8.875%, 9/15/2014		624,000
		Case New Holland, Inc.
	2,230,000	7.125%, 3/1/2014		1,661,350
		Crown Americas, Inc.
	1,830,000	7.625%, 11/15/2013		1,610,400
	1,830,000	7.750%, 11/15/2015		1,596,675

The accompanying Notes to Financial Statements are an integral part of this schedule.

137

High Yield Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (88.2%)	Value
	Capital Goods (10.2%) - continued
		DRS Technologies, Inc.
$	2,600,000	6.625%, 2/1/2016	$	2,574,000
		Graham Packaging Company, Inc.
	2,530,000	9.875%, 10/15/2014		1,593,900
		L-3 Communications Corporation
	3,030,000	6.375%, 10/15/2015		2,514,900
		Legrand SA
	850,000	8.500%, 2/15/2025		792,860
		Leucadia National Corporation
	5,070,000	7.125%, 3/15/2017		4,334,850
		Mueller Water Products, Inc.
	1,390,000	7.375%, 6/1/2017		910,450
		Norcraft Companies, LP/Norcraft Finance Corporation
	1,760,000	9.000%, 11/1/2011		1,531,200
		Owens-Brockway Glass Container, Inc.
	1,230,000	8.250%, 5/15/2013		1,150,050
		Owens-Illinois, Inc.
	4,250,000	7.800%, 5/15/2018		3,315,000
		Plastipak Holdings, Inc.
	2,595,000	8.500%, 12/15/2015^f		1,855,425
		RBS Global, Inc./Rexnord Corporation
	2,385,000	9.500%, 8/1/2014		1,645,650
		Rental Services Corporation
	1,780,000	9.500%, 12/1/2014^g		1,068,000
		SPX Corporation
	2,980,000	7.625%, 12/15/2014^f		2,503,200
		TransDigm, Inc.
	4,865,000	7.750%, 7/15/2014		3,892,000
		United Rentals North America, Inc.
	1,740,000	6.500%, 2/15/2012		1,218,000

		Total Capital Goods		45,990,310

	Commercial Mortgage-Backed Securities (0.4%)
		Greenwich Capital Commercial Funding Corporation
	3,000,000	5.867%, 8/10/2017		1,818,267

		Total Commercial Mortgage-Backed Securities		1,818,267

	Communications Services (15.5%)
		American Tower Corporation
	4,250,000	7.000%, 10/15/2017^f		3,697,500
		Centennial Communications Corporation
	5,050,000	9.633%, 1/1/2009^e		3,838,000
	2,760,000	8.125%, 2/1/2014		2,359,800
		Charter Communications Holdings II, LLC
	2,130,000	10.250%, 9/15/2010^g		1,480,350
		Charter Communications Holdings, LLC
	2,270,000	8.750%, 11/15/2013^g		1,498,200
		Charter Communications Operating, LLC
	2,130,000	8.375%, 4/30/2014^f		1,544,250
		Citizens Communications Company
	2,915,000	9.250%, 5/15/2011		2,477,750
		CSC Holdings, Inc.
	2,550,000	8.500%, 6/15/2015^f,i		2,154,750
		Dex Media West, LLC/Dex Media West Finance Company
	1,120,000	9.875%, 8/15/2013		420,000
		DIRECTV Holdings, LLC
	4,220,000	7.625%, 5/15/2016^f		3,544,800
		EchoStar DBS Corporation
	3,220,000	7.125%, 2/1/2016^g		2,584,050
		Idearc, Inc.
	2,665,000	8.000%, 11/15/2016		369,769
		Intelsat Subsidiary Holding Company, Ltd.
	5,760,000	8.875%, 1/15/2015^f		4,896,000
		Intelsat, Ltd.
	4,608,000	Zero Coupon, 2/1/2010^f,j		3,156,480
		Lamar Media Corporation
	1,505,000	6.625%, 8/15/2015		1,106,175
	2,080,000	6.625%, 8/15/2015		1,528,800
		Level 3 Financing, Inc.
	2,550,000	12.250%, 3/15/2013		1,612,875
	1,440,000	9.250%, 11/1/2014^g		820,800
		Mediacom, LLC/Mediacom Capital Corporation
	4,230,000	9.500%, 1/15/2013		3,331,125
		MetroPCS Wireless, Inc.
	3,450,000	9.250%, 11/1/2014^g		2,872,125
		Nextel Communications, Inc.
	1,270,000	6.875%, 10/31/2013		723,900
		NTL Cable plc
	4,010,000	9.125%, 8/15/2016		2,646,600
		Quebecor Media, Inc.
	2,500,000	7.750%, 3/15/2016		1,731,250
		Qwest Communications International, Inc.
	1,080,000	7.500%, 2/15/2014		742,500
		Qwest Corporation
	3,860,000	7.875%, 9/1/2011		3,348,550
	1,230,000	7.625%, 6/15/2015		940,950
		R.H. Donnelley Corporation
	3,395,000	6.875%, 1/15/2013^g		780,850
		Sprint Capital Corporation
	1,250,000	8.375%, 3/15/2012		1,006,250
		Time Warner Telecom Holdings, Inc.
	4,380,000	9.250%, 2/15/2014		3,547,800
		TL Acquisitions, Inc.
	3,610,000	10.500%, 1/15/2015^f		2,147,950
		Videotron Ltee
	4,000,000	6.875%, 1/15/2014		3,320,000
		Videotron, Ltd.
	640,000	9.125%, 4/15/2018^f		568,000
		Virgin Media Finance plc
	2,160,000	8.750%, 4/15/2014		1,512,000
		Windstream Corporation
	1,080,000	8.625%, 8/1/2016		815,400

The accompanying Notes to the Financial Statements are an integral part of this schedule.

138

High Yield Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (88.2%)	Value
	Communications Services (15.5%) - continued
$	1,600,000	7.000%, 3/15/2019	$	976,000

		Total Communications Services		70,101,599

	Consumer Cyclical (17.7%)
		AutoNation, Inc.
	2,110,000	7.000%, 4/15/2014		1,371,500
		Beazer Homes USA, Inc.
	1,105,000	8.625%, 5/15/2011		718,250
		Blockbuster, Inc.
	2,550,000	9.000%, 9/1/2012^g		1,453,500
		Bon-Ton Stores, Inc.
	3,400,000	10.250%, 3/15/2014		544,000
		Boyd Gaming Corporation
	3,820,000	6.750%, 4/15/2014^g		2,406,600
		Circus & Eldorado Joint Venture/Silver Legacy Capital Corporation
	3,160,000	10.125%, 3/1/2012		1,864,400
		Dollarama Group, LP
	1,489,000	8.883%, 12/15/2008^e		1,042,300
	4,300,000	8.875%, 8/15/2012		3,225,000
		Firekeepers Development Authority
	4,450,000	13.875%, 5/15/2015^f		3,159,500
		Fontainebleau Las Vegas Holdings, LLC
	5,180,000	10.250%, 6/15/2015^f		699,300
		Ford Motor Credit Company
	2,120,000	9.750%, 9/15/2010		1,441,704
	3,820,000	7.375%, 2/1/2011		2,376,984
	2,020,000	7.000%, 10/1/2013^g		1,118,989
		Gaylord Entertainment Company
	1,760,000	6.750%, 11/15/2014		1,128,600
		General Motors Corporation
	1,700,000	8.375%, 7/15/2033^g		552,500
		Group 1 Automotive, Inc.
	3,810,000	8.250%, 8/15/2013		2,514,600
		Hanesbrands, Inc.
	2,090,000	6.508%, 12/15/2008^e		1,418,587
		Host Hotels & Resorts LP
	3,400,000	6.875%, 11/1/2014		2,533,000
		KB Home
	3,040,000	6.250%, 6/15/2015^g		2,021,600
		Lear Corporation
	3,820,000	8.500%, 12/1/2013^g		1,451,600
		MGM MIRAGE
	2,550,000	6.000%, 10/1/2009		2,269,500
	5,520,000	13.000%, 11/15/2013^c,f		4,912,800
		Mohegan Tribal Gaming Authority
	2,150,000	8.000%, 4/1/2012^g		1,580,250
		Norcraft Holdings, LP/Norcraft Capital Corporation
	1,250,000	9.750%, 9/1/2012^g		1,025,000
		Perry Ellis International, Inc.
	2,200,000	8.875%, 9/15/2013		1,694,000
		Pinnacle Entertainment, Inc.
	2,550,000	8.250%, 3/15/2012^g		1,765,875
	1,280,000	7.500%, 6/15/2015		800,000
		Pokagon Gaming Authority
	3,531,000	10.375%, 6/15/2014^f		3,213,210
		Pulte Homes, Inc.
	850,000	7.875%, 8/1/2011		720,375
	2,150,000	5.200%, 2/15/2015		1,333,000
		Rite Aid Corporation
	3,475,000	8.625%, 3/1/2015		1,233,625
		Sally Holdings, LLC
	2,990,000	9.250%, 11/15/2014^g		2,392,000
		Seminole Hard Rock Entertainment
	2,415,000	5.319%, 12/15/2008^e,f		1,593,900
		Service Corporation International
	1,600,000	6.750%, 4/1/2015		1,260,000
		Shingle Springs Tribal Gaming Authority
	4,650,000	9.375%, 6/15/2015^f		2,278,500
		Speedway Motorsports, Inc.
	3,300,000	6.750%, 6/1/2013		2,508,000
		Tunica Biloxi Gaming Authority
	4,870,000	9.000%, 11/15/2015^h		4,249,075
		Turning Stone Resort Casino Enterprise
	1,500,000	9.125%, 12/15/2010^h		1,305,000
	3,130,000	9.125%, 9/15/2014^h		2,472,700
		Universal City Development Services
	1,270,000	11.750%, 4/1/2010		1,016,000
		Universal City Florida Holding Company I/II
	3,655,000	7.942%, 2/1/2009^e		2,704,700
		Vail Resorts, Inc.
	1,740,000	6.750%, 2/15/2014		1,331,100
		Warnaco, Inc.
	3,495,000	8.875%, 6/15/2013		3,285,300

		Total Consumer Cyclical		79,986,424

	Consumer Non-Cyclical (12.4%)
		Biomet, Inc.
	4,100,000	10.000%, 10/15/2017^f		3,772,000
	3,190,000	11.625%, 10/15/2017		2,775,300
		Boston Scientific Corporation
	4,200,000	5.450%, 6/15/2014		3,444,000
		Community Health Systems, Inc.
	3,460,000	8.875%, 7/15/2015		2,897,750
		Constellation Brands, Inc.
	3,830,000	7.250%, 9/1/2016^g		3,178,900
		DaVita, Inc.
	3,845,000	7.250%, 3/15/2015		3,287,475
		HCA, Inc.
	4,520,000	6.750%, 7/15/2013		2,892,800
	2,520,000	9.625%, 11/15/2016		2,028,600
		Jarden Corporation
	2,830,000	7.500%, 5/1/2017^g		2,108,350
		Jostens Holding Corporation
	3,565,000	Zero Coupon, 12/1/2008^j		2,459,850
		Michael Foods, Inc.
	2,760,000	8.000%, 11/15/2013		2,387,400
		Omnicare, Inc.
	4,250,000	6.875%, 12/15/2015		3,272,500
		Pinnacle Foods Finance, LLC
	2,780,000	9.250%, 4/1/2015		2,029,400
		Select Medical Corporation
	1,300,000	8.834%, 3/15/2009^e,g		799,500
	2,990,000	7.625%, 2/1/2015		1,868,750

The accompanying Notes to Financial Statements are an integral part of this schedule.

139

High Yield Fund

Schedule of Investments as of October 31, 2008


Principal Amount	Long-Term Fixed Income (88.2%)	Value
Consumer Non-Cyclical (12.4%)
	Stater Brothers Holdings, Inc.
$1,830,000	8.125%, 6/15/2012	$	1,628,700
	Sun Healthcare Group, Inc.
2,590,000	9.125%, 4/15/2015		2,188,550
	SUPERVALU, Inc.
2,020,000	7.500%, 11/15/2014		1,656,400
	Surgical Care Affiliates, Inc.
3,220,000	8.875%, 7/15/2015^h		2,415,000
	Tenet Healthcare Corporation
1,750,000	6.375%, 12/1/2011		1,505,000
440,000	6.500%, 6/1/2012		367,400
1,780,000	9.875%, 7/1/2014		1,455,150
	Vanguard Health Holding Company II, LLC
3,560,000	9.000%, 10/1/2014		2,954,800
	Ventas Realty, LP/Ventas Capital Corporation
3,190,000	6.500%, 6/1/2016		2,615,800

	Total Consumer Non-Cyclical		55,989,375

Energy (5.6%)
	Chesapeake Energy Corporation
1,710,000	7.500%, 9/15/2013		1,436,400
3,070,000	6.250%, 1/15/2018		2,179,700
	Connacher Oil and Gas, Ltd.
2,560,000	10.250%, 12/15/2015^f		1,792,000
	Denbury Resources, Inc.
2,590,000	7.500%, 12/15/2015		1,800,050
	Forest Oil Corporation
3,390,000	7.250%, 6/15/2019		2,305,200
	Helix Energy Solutions Group, Inc.
2,550,000	9.500%, 1/15/2016^f		1,632,000
	Hornbeck Offshore Services, Inc.
1,815,000	6.125%, 12/1/2014		1,334,025
	Key Energy Services, Inc.
3,100,000	8.375%, 12/1/2014		2,294,000
	Mariner Energy, Inc.
1,910,000	8.000%, 5/15/2017		1,126,900
	Newfield Exploration Company
2,890,000	6.625%, 4/15/2016		2,138,600
	OPTI Canada, Inc.
1,710,000	8.250%, 12/15/2014		1,017,450
	PetroHawk Energy Corporation
2,840,000	9.125%, 7/15/2013		2,186,800
	Plains Exploration & Production Company
2,870,000	7.750%, 6/15/2015		2,095,100
	Southwestern Energy Company
2,550,000	7.500%, 2/1/2018^f		2,091,000

	Total Energy		25,429,225

Financials (3.2%)
	Bank of America Corporation
2,340,000	8.125%, 5/15/2018		1,813,336
	Countrywide Financial Corporation
2,120,000	6.250%, 5/15/2016^g		1,873,699
	Deluxe Corporation
1,075,000	7.375%, 6/1/2015		806,250
	FTI Consulting, Inc.
1,750,000	7.625%, 6/15/2013		1,666,875
	General Motors Acceptance Corporation
7,555,000	6.875%, 9/15/2011		4,424,578
	Lender Processing Services, Inc.
530,000	8.125%, 7/1/2016		453,150
	Morgan Stanley
2,100,000	4.904%, 11/14/2008^e		1,932,405
	Nuveen Investments, Inc.
2,130,000	10.500%, 11/15/2015^f		575,100
	Rouse Company
2,100,000	3.625%, 3/15/2009		966,000

	Total Financials		14,511,393

Technology (4.0%)
	Amkor Technology, Inc.
2,120,000	7.750%, 5/15/2013		1,314,400
	Avago Technologies Finance Pte
488,000	8.311%, 12/1/2008^e		415,410
3,250,000	10.125%, 12/1/2013		2,730,000
	First Data Corporation
2,130,000	9.875%, 9/24/2015		1,363,200
	Freescale Semiconductor, Inc.
2,100,000	8.875%, 12/15/2014		934,500
2,970,000	9.125%, 12/15/2014		1,084,050
	Nortel Networks, Ltd.
4,260,000	9.003%, 1/15/2009^e		2,311,050
	NXP BV/NXP Funding, LLC
1,210,000	7.503%, 1/15/2009^e		532,400
3,680,000	9.500%, 10/15/2015^g		1,242,000
	Seagate Technology HDD Holdings
3,585,000	6.800%, 10/1/2016		2,509,500
	SunGard Data Systems, Inc.
1,270,000	9.125%, 8/15/2013		1,054,100
3,350,000	10.250%, 8/15/2015		2,345,000

	Total Technology		17,835,610

Transportation (2.5%)
	Continental Airlines, Inc.
2,265,731	7.875%, 7/2/2018		1,314,124
	Delta Air Lines, Inc.
2,010,000	7.920%, 11/18/2010		1,507,500
	Hertz Corporation
1,555,000	8.875%, 1/1/2014		1,135,150
	Kansas City Southern de Mexico SA de CV
2,420,000	7.625%, 12/1/2013		1,893,650
870,000	7.375%, 6/1/2014		680,775
	Navios Maritime Holdings, Inc.
2,700,000	9.500%, 12/15/2014		2,214,000
	Windsor Petroleum Transport Corporation
2,750,000	7.840%, 1/15/2021^h		2,564,133

	Total Transportation		11,309,332

Utilities (8.3%)
	AES Corporation
1,376,000	8.750%, 5/15/2013^f,i		1,252,160
2,700,000	7.750%, 10/15/2015		2,116,125
2,700,000	8.000%, 10/15/2017		2,079,000
	Copano Energy, LLC
3,010,000	8.125%, 3/1/2016		2,212,350

The accompanying Notes to the Financial Statements are an integral part of this schedule.

140

High Yield Fund

Schedule of Investments as of October 31, 2008


Principal Amount	Long-Term Fixed Income (88.2%)	Value
Utilities (8.3%) - continued
	Dynegy Holdings, Inc.
$1,720,000	6.875%, 4/1/2011	$	1,436,200
3,675,000	8.375%, 5/1/2016^g		2,719,500
	Edison Mission Energy
1,670,000	7.500%, 6/15/2013		1,406,975
2,820,000	7.000%, 5/15/2017		2,231,325
2,820,000	7.200%, 5/15/2019		2,115,000
	El Paso Corporation
1,900,000	6.875%, 6/15/2014^g		1,512,288
1,900,000	7.000%, 6/15/2017		1,450,087
	Ferrellgas Partners, LP
2,120,000	6.750%, 5/1/2014^f		1,505,200
	NRG Energy, Inc.
4,160,000	7.375%, 2/1/2016		3,588,000
	Regency Energy Partners, LP
2,650,000	8.375%, 12/15/2013		2,014,000
	SemGroup, LP
3,680,000	8.750%, 11/15/2015^f,k		220,800
	Southern Star Central Corporation
1,910,000	6.750%, 3/1/2016		1,652,150
	Texas Competitive Electric Holdings Company, LLC
6,380,000	10.250%, 11/1/2015^f		4,864,750
	Williams Companies, Inc.
2,250,000	7.625%, 7/15/2019		1,856,250
	Williams Partners, LP
1,810,000	7.250%, 2/1/2017		1,438,950

	Total Utilities		37,671,110

	Total Long-Term Fixed Income (cost $542,160,287)		398,653,929


Shares	Preferred Stock (1.3%)
Consumer Discretionary (0.1%)
63,831	General Motors Corporation, Convertible, 5.250%		411,710

	Total Consumer Discretionary		411,710

Financials (1.0%)
2,600	Bank of America Corporation, Convertible, 7.250%		1,820,000
8,660	Citigroup, Inc., Convertible, 6.500%		278,939
63,648	Credit Suisse New York, NY, Zero Coupon^o		972,541
978	Lehman Brothers Holdings, Inc., Convertible, 7.250%^k		1,125
69,000	Merrill Lynch & Company, Inc., 8.625%		1,417,260

	Total Financials		4,489,865

Utilities (0.2%)
3,720	NRG Energy, Inc., Convertible, 5.750%		781,014

	Total Utilities		781,014

	Total Preferred Stock (cost $8,371,344)		5,682,589


	Common Stock (<0.1%)
Communications Services (<0.1%)
4,540	XO Communications, Inc., Stock Warrants^l		$45
6,054	XO Communications, Inc., Stock Warrants^l		85
4,540	XO Communications, Inc., Stock Warrants^l		50
3,026	XO Holdings, Inc., Stock Warrants^l		511

	Total Communications Services		691

Consumer Discretionary (<0.1%)
36,330	TVMAX Holdings, Inc.^l,m		0

	Total Consumer Discretionary		0

Materials (<0.1%)
15	Pliant Corporation^l,m		0
	Total Materials		0

	Total Common Stock (cost $2,344,578)		691


	Collateral Held for Securities Loaned (6.9%)ⁿ
30,966,137	Thrivent Financial Securities Lending Trust		30,966,137

	Total Collateral Held for Securities Loaned (cost $30,966,137)		30,966,137


Shares or Principal Amount	Short-Term Investments (5.2%)ⁿ
	Deutsche Financial Bank, LLC
7,720,000	0.130%, 11/3/2008		7,719,944
	Federal National Mortgage Association Discount Notes
2,050,000	2.162%, 12/10/2008		2,045,228
13,845,003	Thrivent Money Market Fund		13,845,003

	Total Short-Term Investments (at amortized cost)		23,610,175

	Total Investments (cost $634,975,415) 106.7%		$482,020,283

	Other Assets and Liabilities, Net (6.7%)		(30,442,679)

	Total Net Assets 100.0%		$451,577,604

The accompanying Notes to Financial Statements are an integral part of this schedule.

141

High Yield Fund

Schedule of Investments as of October 31, 2008

The stated interest rate represents the weighted average of all contracts within the bank loan facility. Bank loans generally have rates of interest which are reset either daily, monthly, quarterly or semi-annually by reference to a base lending rate, plus a premium. These base lending rates are primarily the London-Interbank Offered Rate (“LIBOR”), and secondarily the prime rate offered by one or more major United States banks (the “Prime Rate”) and the certificate of deposit (“CD”) rate or other base lending rates used by commercial lenders. Bank loans often require prepayments from excess cash flows or allow the borrower to repay at its election. The rate at which the borrower repays cannot be predicted with accuracy. Therefore, the actual maturity may occur considerably earlier than the stated maturities shown.

b	All or a portion of the loan is unfunded as discussed in item 2(U) of the Notes to Financial Statements.

c	Denotes investments purchased on a when-issued or delayed delivery basis.

d	All or a portion of the security is insured or guaranteed.

e	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.

g	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.


Security	Acquisition Date	Cost
Rock-Tenn Company	2/28/2008	$	645,450
Surgical Care Affiliates, Inc.	6/21/2007		3,220,000
Tunica Biloxi Gaming Authority	11/8/2005		4,880,088
Turning Stone Resort Casino Enterprise	9/8/2006		3,177,214
Turning Stone Resort Casino Enterprise	5/1/2007		1,516,148
Windsor Petroleum Transport Corporation	4/21/1998		2,459,096

i	Designated as cover for long settling trades as discussed in the Notes to Financial Statements.

j	Denotes step coupon bonds for which the current interest rate and next scheduled reset date are shown.

k	In bankruptcy.

l	Non-income producing security.

m	Security is fair valued as discussed in item 2(A) of the Notes to Financial Statements.

n	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

o	These securities are Equity-Linked Structured Securities as discussed in item 2(Q) of the Notes to Financial Statements.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	583,554
Gross unrealized depreciation		(154,055,565	)

Net unrealized appreciation (depreciation)		($153,472,011	)
Cost for federal income tax purposes	$	635,492,294

The accompanying Notes to the Financial Statements are an integral part of this schedule.

142

High Yield Fund

Schedule of Investments as of October 31, 2008

Investment in Affiliates

A summary of transactions for the fiscal year to date, in High Yield Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	10,283,074	$	128,399,032	$	124,837,103	13,845,003	$	13,845,003	$	588,538
Thrivent Financial Securities Lending Trust		69,283,020		215,593,853		253,910,736	30,966,137		30,966,137		335,376
Total Value and Dividend Income		79,566,094							44,811,140		923,914

The accompanying Notes to Financial Statements are an integral part of this schedule.

143

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount	Long-Term Fixed Income (98.7%)	Value
Alabama (0.1%)
	Alabama 21st Century Authority Tobacco Settlement Revenue Bonds
$ 1,000,000	5.750%, 12/1/2020	$	928,710

	Total Alabama		928,710

Alaska (0.8%)
	Alaska Energy Authority Power Revenue Refunding Bonds (Bradley Lake) (Series 5) (FSA Insured)
3,155,000	5.000%, 7/1/2021^a		3,128,529
	Northern Tobacco Securitization Corporation, Alaska Tobacco Settlement Asset Backed Revenue Bonds (Series A)
2,045,000	6.200%, 6/1/2022^b		2,085,348
2,000,000	5.000%, 6/1/2032		1,362,660
	Valdez, Alaska Marine Terminal Revenue Bonds
1,625,000	0.540%, 11/3/2008^c		1,625,000
780,000	0.540%, 11/3/2008^c		780,000

	Total Alaska		8,981,537

Arizona (0.9%)
	Arizona Health Facilities Authority Revenue Bonds (Arizona Healthcare Pooled Financing) (FGIC Insured)
975,000	5.000%, 6/1/2011^a		997,142
1,020,000	5.000%, 6/1/2012^a		1,043,042
	Arizona Health Facilities Authority Revenue Bonds (Blood Systems, Inc.)
1,000,000	5.000%, 4/1/2017		964,840
1,200,000	5.000%, 4/1/2018		1,138,572
	Glendale, Arizona Industrial Development Authority Revenue Bonds
2,500,000	5.000%, 5/15/2031		2,120,875
	Glendale, Arizona Industrial Development Authority Revenue Bonds (Midwestern University) (Series A)
500,000	5.750%, 5/15/2021^b		542,970
	Phoenix, Arizona Industrial Development Authority Government Office Lease Revenue Bonds (Capital Mall Project) (AMBAC Insured)
2,000,000	5.375%, 9/15/2020^a,b		2,102,740
	Phoenix, Arizona Industrial Development Authority Single Family Mortgage Revenue Bonds (Series 1A) (GNMA/FNMA/FHLMC Insured)
5,000	5.875%, 6/1/2016^a		4,979
	Pima County, Arizona Industrial Development Authority Multifamily Bonds (La Hacienda Project) (GNMA/FHA Insured)
1,285,000	7.000%, 12/20/2031^a,b		1,435,872
	Yavapai County, Arizona Hospital Revenue Bonds (Yavapai Regional Medical Center) (Series A)
500,000	6.000%, 8/1/2033		396,910

	Total Arizona		10,747,942

Arkansas (0.5%)
	Arkansas Housing Development Agency Single Family Mortgage Revenue Bonds (FHA Insured)
240,000	8.375%, 7/1/2010^a,b		254,697
	Arkansas State Community Water System Public Water Authority Revenue Bonds (Series B) (MBIA Insured)
2,400,000	5.000%, 10/1/2023^a		2,355,408
	Jonesboro, Arkansas Residential Housing and Health Care Facilities Revenue Bonds (St. Bernards Regional Medical Center) (AMBAC Insured)
2,310,000	5.800%, 7/1/2011^a		2,313,858
	Pope County, Arkansas Pollution Control Revenue Bonds (Arkansas Power and Light Company Project) (FSA Insured)
875,000	6.300%, 12/1/2016^a		876,225

	Total Arkansas		5,800,188

California (7.9%)
	Anaheim, California Public Financing Authority Lease Revenue Bonds (Public Improvements Project) (Series A) (FSA Insured)
3,950,000	6.000%, 9/1/2024^a		4,245,934
	California Educational Finance Authority Revenue Bonds
1,000,000	5.875%, 10/1/2034		733,330
	California Infrastructure & Economic Bank Revenue Bonds (Bay Area Toll Bridges) (1st Lien-A)
5,000,000	5.000%, 7/1/2025^b		4,994,050
	California Pollution Control Financing Authority Revenue Bonds
900,000	0.390%, 11/3/2008^c		900,000

The accompanying Notes to Financial Statements are an integral part of this schedule.

144

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	California (7.9%) - continued
		California Rural Home Mortgage Finance Authority Single Family Mortgage Revenue Bonds (Series D) (GNMA/FNMA Insured) (Subject to ‘AMT’)
$	50,000	7.100%, 6/1/2031^a	$	49,984
		California State General Obligation Bonds (AMBAC Insured)
	2,000,000	6.300%, 9/1/2010^a		2,123,780
		California State General Obligation Revenue Bonds
	10,000,000	5.250%, 3/1/2038		9,110,600
		California State Public Works Board Lease Revenue Bonds (Department of Corrections State Prison)
	3,000,000	7.400%, 9/1/2010		3,213,930
		California State Public Works Board Lease Revenue Bonds (UCLA Replacement Hospital) (Series A) (FSA Insured)
	4,000,000	5.375%, 10/1/2015^a		4,135,480
		California State Revenue General Obligation Bonds
	2,000,000	5.250%, 11/1/2021		1,999,980
	3,990,000	5.250%, 4/1/2029^b		4,376,352
	10,000	5.250%, 4/1/2029		9,542
		California State Unrefunded General Obligation Bonds (MBIA Insured)
	300,000	6.000%, 8/1/2016^a		301,041
		California State Veterans General Obligation Revenue Bonds (FGIC Insured) (Series AT)
	2,000,000	9.500%, 2/1/2010^a		2,152,180
		Contra Costa County, California Home Mortgage Revenue Bonds (GNMA Insured) (Escrowed to Maturity)
	4,030,000	7.500%, 5/1/2014^a,b		4,844,262
		East Bay, California Municipal Utility District Water System Revenue Bonds
	10,000,000	5.000%, 6/1/2037		9,069,900
		Foothill/Eastern Transportation Corridor Agency, California Toll Road Revenue Bonds (Series A)
	6,000,000	7.150%, 1/1/2013^b		6,473,340
		Golden West Schools Financing Authority, California Revenue Bonds (Series A) (MBIA Insured)
	420,000	5.800%, 2/1/2022^a		450,530
		Los Angeles, California Unified School District Revenue Bonds
	3,000,000	5.000%, 7/1/2023		2,911,830
		Pittsburg, California Redevelopment Agency Tax Allocation Bonds (Los Medanos Community Development Project) (AMBAC Insured)
	5,000,000	Zero Coupon, 8/1/2024^a		1,866,450
		Pomona, California Single Family Mortgage Revenue Bonds (Series A) (GNMA/FNMA Insured)
	3,880,000	7.600%, 5/1/2023^a,b		4,645,524
		San Bernardino County, California Single Family Mortgage Revenue Bonds (Series A) (GNMA Insured)
	1,385,000	7.500%, 5/1/2023^a,b		1,673,329
		San Diego Community College District, California Revenue Bonds (FSA guaranteed)
	10,000,000	5.000%, 5/1/2030^a		9,556,100
		San Francisco, California Bay Area Rapid Transit District Sales Tax Revenue Bonds (AMBAC Insured)
	1,500,000	6.750%, 7/1/2010^a		1,602,690
		San Jose, California Airport Revenue Bonds (Series A)
	8,000,000	5.000%, 3/1/2037		6,071,040
		San Jose, California Redevelopment Agency Tax Allocation Bonds (Series A) (MBIA Insured)
	2,760,000	5.000%, 8/1/2025^a		2,439,950

		Total California		89,951,128

	Colorado (5.9%)
		Colorado Educational & Cultural Facilities Authority Revenue Bonds
	475,000	5.125%, 6/15/2032		364,278
	1,000,000	5.375%, 6/15/2038		775,660
		Colorado Educational and Cultural Facilities Authority Revenue Bonds (Bromley East Project) (Series A)
	2,000,000	7.250%, 9/15/2030^b		2,231,280
		Colorado Educational and Cultural Facilities Authority Revenue Bonds (Cherry Creek Academy Facility, Inc.)
	570,000	6.000%, 4/1/2021		508,873
	1,280,000	6.000%, 4/1/2030		1,040,794
		Colorado Educational and Cultural Facilities Authority Revenue Bonds (Classical Academy)
	2,825,000	7.250%, 12/1/2030^b		3,192,532
		Colorado Educational and Cultural Facilities Authority Revenue Bonds (University Lab School Project)
	1,000,000	5.750%, 6/1/2016^b		1,072,700

The accompanying Notes to Financial Statements are an integral part of this schedule.

145

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Colorado (5.9%) - continued
		Colorado Educational and Cultural Facilities Authority Revenue Bonds (University Lab School Project) - continued
$	750,000	6.125%, 6/1/2021^b	$	811,455
	6,250,000	6.250%, 6/1/2031^b		6,781,375
		Colorado Health Facilities Authority Revenue Bonds
	615,000	6.250%, 12/1/2010^b		628,542
	160,000	6.250%, 12/1/2010		161,659
	3,080,000	6.800%, 12/1/2020^b		3,389,047
	1,920,000	6.800%, 12/1/2020		1,959,399
	3,000,000	5.750%, 5/15/2036		2,337,900
		Colorado Health Facilities Authority Revenue Bonds (Parkview Medical Center Project)
	1,000,000	6.500%, 9/1/2020^b		1,093,980
	500,000	6.600%, 9/1/2025^b		548,335
		Colorado Housing and Finance Authority Revenue Bonds (Single Family Program) (Series A-2) (Subject to ‘AMT’)
	110,000	7.450%, 10/1/2016		102,899
		Colorado Housing and Finance Authority Revenue Bonds (Single Family Program) (Series A-3)
	30,000	7.250%, 4/1/2010		30,118
		Colorado Housing and Finance Authority Revenue Bonds (Single Family Program) (Series B-3)
	385,000	6.700%, 8/1/2017		366,100
		Colorado Housing and Finance Authority Revenue Bonds (Single Family Program) (Series C-3) (FHA/VA Insured)
	45,000	7.150%, 10/1/2030^a		44,999
		Colorado Housing and Finance Authority Single Family Revenue Bonds (Series A-3)
	20,000	7.000%, 11/1/2016		20,000
		Colorado Housing and Finance Authority Single Family Revenue Bonds (Series D-2) (Subject to ‘AMT’)
	515,000	6.350%, 11/1/2029		499,025
		Colorado State Higher Education Capital Construction Lease Purchase Program Certificates of Participation
	1,500,000	5.500%, 11/1/2027^d		1,456,995
		Colorado Water Resources and Power Development Authority Clean Water Revenue Unrefunded Bonds (Series A) (FSA Insured)
	50,000	6.250%, 9/1/2013^a		50,067
		Colorado Water Resources and Power Development Authority Small Water Resources Revenue Bonds (Series A) (FGIC Insured)
	3,525,000	5.250%, 11/1/2021^a		3,556,478
		Denver, Colorado City and County Airport Revenue Bonds (Series A)
	5,000,000	5.000%, 11/15/2022		4,634,700
		Denver, Colorado City and County Bonds
	6,000,000	5.600%, 10/1/2029		6,102,420
		Denver, Colorado Health and Hospital Authority Healthcare Revenue Bonds (Series A)
	2,000,000	5.250%, 12/1/2031		1,485,160
		Denver, Colorado Health and Hospital Authority Healthcare Revenue Bonds (Series A) (ACA/CBI Insured)
	2,000,000	6.250%, 12/1/2016^a,b		2,189,360
		Goldsmith, Colorado Metropolitan District Capital Appreciation General Obligation Bonds (MBIA Insured)
	1,885,000	Zero Coupon, 12/1/2008^a		1,876,327
		Jefferson County, Colorado School District General Obligation Bonds (FSA Guaranteed)
	10,000,000	5.000%, 12/15/2016^a		10,505,800
		Larimer County, Colorado School District #R1 Poudre Valley General Obligation Bonds (MBIA/IBC Insured)
	3,000,000	7.000%, 12/15/2016^a		3,572,190
		Northwest Parkway Public Highway Authority, Colorado Capital Appreciation Revenue Bonds (Series C) (AMBAC Insured)
	4,000,000	Zero Coupon, 6/15/2011^a,b,e		3,689,160

		Total Colorado		67,079,607

	Connecticut (0.4%)
		Connecticut State Special Tax Obligation Revenue Bonds (Transportation Infrastructure) (Series B)
	4,000,000	6.500%, 10/1/2010		4,277,280

		Total Connecticut		4,277,280

	District of Columbia (0.5%)
		District of Columbia Tobacco Settlement Financing Corporation Revenue Bonds
	6,205,000	6.250%, 5/15/2024		5,459,531

		Total District of Columbia		5,459,531

The accompanying Notes to the Financial Statements are an integral part of this schedule.

146

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Florida (1.7%)
		Brevard County, Florida Housing Finance Authority Homeowner Mortgage Revenue Bonds (Series B) (GNMA Insured)
$	343,000	6.500%, 9/1/2022^a	$	334,998
		Clay County, Florida Housing Finance Authority Single Family Mortgage Revenue Bonds (GNMA/FNMA Insured) (Subject to ‘AMT’)
	815,000	6.000%, 4/1/2029^a		777,909
		Florida State Board of Education Capital Outlay Unrefunded General Obligation Bonds (MBIA Insured)
	620,000	9.125%, 6/1/2014^a		717,166
		Florida State Revenue Bonds (Jacksonville Transportation)
	1,520,000	5.000%, 7/1/2019		1,490,391
		Hillsborough County, Florida Industrial Development Authority Pollution Control Revenue Bonds
	2,000,000	5.150%, 9/1/2025		1,897,140
		Jacksonville, Florida Health Facilities Authority Revenue Bonds (Series C)
	1,500,000	5.750%, 8/15/2015^b		1,556,955
		Leon County, Florida Educational Facilities Authority Certificates of Participation
	1,145,000	8.500%, 9/1/2017^b		1,507,725
		Orange County, Florida Health Facilities Authority Revenue Bonds (Orlando Regional Healthcare System) (Series A) (MBIA Insured)
	2,000,000	6.250%, 10/1/2018^a		2,136,240
		Orange County, Florida Housing Finance Authority Homeowner Revenue Bonds (Series B-1) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	135,000	5.900%, 9/1/2028^a		132,193
		Palm Beach County, Florida Housing Finance Authority Single Family Homeowner Revenue Bonds (Series A-1) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	60,000	5.900%, 10/1/2027^a		57,685
		South Miami, Florida Health Facilities Authority Hospital Revenue Bonds
	6,000,000	5.000%, 8/15/2032		4,744,260
		Tallahassee, Florida Consolidated Utility Revenue Bonds
	4,000,000	5.000%, 10/1/2032		3,730,200

		Total Florida		19,082,862

	Georgia (3.2%)
		Bibb County, Georgia Authority Environmental Improvement Revenue Bonds
	6,900,000	4.850%, 12/1/2009		6,737,919
		Brunswick, Georgia Water and Sewer Revenue Refunding Bonds (MBIA Insured)
	1,275,000	6.000%, 10/1/2011^a		1,328,269
	1,500,000	6.100%, 10/1/2019^a		1,691,175
		Burke County Georgia Development Authority Pollution Control Revenue Bonds
	6,000,000	5.700%, 1/1/2043		5,124,240
		Chatham County, Georgia Hospital Authority Revenue Bonds (C/O Memorial Medical Center)
	1,560,000	5.750%, 1/1/2029		1,127,038
		Chatham County, Georgia Hospital Authority Revenue Bonds (Memorial Health University Medical Center)
	1,000,000	6.125%, 1/1/2024		801,750
		Cherokee County, Georgia Water and Sewer Authority Revenue Refunding Bonds (MBIA Insured)
	5,000,000	5.500%, 8/1/2018^a		5,328,550
		Gainesville, Georgia Redevelopment Authority Educational Facilities Revenue Bonds
	5,275,000	5.125%, 3/1/2027		3,676,939
		Georgia State General Obligation Bonds (Series D)
	3,500,000	5.000%, 8/1/2012		3,716,370
		Georgia State Prerefunded Balance General Obligation Bonds (Series B)
	35,000	5.650%, 3/1/2012^b		37,887
		Georgia State Unrefunded Balance General Obligation Bonds (Series B)
	1,965,000	5.650%, 3/1/2012		2,118,702
		Milledgeville-Balswin County, Georgia Development Authority Revenue Bonds
	2,500,000	5.500%, 9/1/2024^b		2,770,450
		Savannah, Georgia Economic Development Authority Student Housing Revenue Bonds (State University Project) (Series A) (ACA Insured)
	1,500,000	6.750%, 11/15/2020^a,b		1,643,400

		Total Georgia		36,102,689

	Hawaii (2.2%)
		Hawaii State Highway Revenue Bonds
	7,330,000	5.500%, 7/1/2018		7,880,629

The accompanying Notes to Financial Statements are an integral part of this schedule.

147

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Hawaii (2.2%) - continued
		Honolulu, Hawaii City & County Board of Water Supply Water System Revenue Bonds (Series A)
$	5,000,000	5.000%, 7/1/2036	$	4,560,250
		Honolulu, Hawaii City & County Revenue Bonds (Series A) (FSA Insured)
	10,000,000	5.250%, 3/1/2027^a		10,022,200
		Honolulu, Hawaii City & County Revenue Bonds (Unrefunded Balance) (Series A) (FGIC Insured)
	2,555,000	6.250%, 4/1/2014^a		2,855,545

		Total Hawaii		25,318,624

	Idaho (0.4%)
		Idaho Falls, Idaho General Obligation Bonds (FGIC Insured)
	3,115,000	Zero Coupon, 4/1/2010^a		2,974,109
	2,000,000	Zero Coupon, 4/1/2011^a		1,818,260

		Total Idaho		4,792,369

	Illinois (9.3%)
		Broadview, Illinois Tax Increment Tax Allocation Revenue Bonds
	2,000,000	5.250%, 7/1/2012		1,911,500
	1,000,000	5.375%, 7/1/2015		912,370
	10,000,000	Chicago, Illinois Capital Appreciation City Colleges General Obligation Bonds (FGIC Insured) Zero Coupon, 1/1/2024^a		4,124,400
		Chicago, Illinois Lakefront Millennium Project General Obligation Bonds (MBIA Insured)
	3,000,000	5.750%, 1/1/2029^a,b		3,294,420
		Chicago, Illinois Single Family Mortgage Revenue Bonds (Series C) (GNMA/FNMA/FHLMC Insured) (Subject to ‘AMT’)
	125,000	7.050%, 10/1/2030^a		125,399
	130,000	7.000%, 3/1/2032^a		124,016
		Chicago, Illinois Tax Increment Capital Appreciation Tax Allocation Bonds (Series A) (ACA Insured)
	7,200,000	Zero Coupon, 11/15/2014^a		4,736,376
		Cook County, Illinois Community Consolidated School District #15 Palatine Capital Appreciation General Obligation Bonds (FGIC Insured)
	1,000,000	Zero Coupon, 12/1/2014^a,b		759,140
		Cook County, Illinois General Obligation Bonds (Series A) (MBIA Insured)
	2,500,000	6.250%, 11/15/2011^a		2,720,600
		Cook County, Illinois School District #99 Cicero General Obligation Bonds (FGIC Insured)
	1,250,000	8.500%, 12/1/2011^a		1,435,225
	1,565,000	8.500%, 12/1/2014^a		1,927,031
	1,815,000	8.500%, 12/1/2016^a		2,301,765
		Du Page County, Illinois General Obligation Bonds (Stormwater Project)
	1,000,000	5.600%, 1/1/2021		1,082,770
		Illinois Development Finance Authority Revenue Bonds (Midwestern University) (Series B)
	1,000,000	6.000%, 5/15/2026^b		1,092,020
		Illinois Educational Facilities Authority Revenue Bonds (Northwestern University)
	4,900,000	5.250%, 11/1/2032^b		5,310,571
		Illinois Educational Facilities Authority Student Housing Revenue Bonds (University Center Project)
	1,000,000	6.625%, 5/1/2017^b		1,122,220
		Illinois Health Facilities Authority Revenue Bonds (Bethesda Home and Retirement) (Series A)
	1,600,000	6.250%, 9/1/2014		1,537,328
		Illinois Health Facilities Authority Revenue Bonds (Centegra Health Systems)
	2,000,000	5.250%, 9/1/2018		1,831,220
		Illinois Health Facilities Authority Revenue Bonds (Lutheran General Health Care Facilities) (FSA Insured)
	2,000,000	6.000%, 4/1/2018^a		2,176,280
		Illinois Health Facilities Authority Revenue Bonds (Passavant Memorial Area Hospital Association)
	2,500,000	6.000%, 10/1/2024^b		2,686,575
		Illinois Health Facilities Authority Revenue Bonds (Rush-Presbyterian-St. Lukes) (Series A) (MBIA Insured)
	4,180,000	5.250%, 11/15/2014^a		4,233,295
		Illinois Health Facilities Authority Revenue Bonds (Swedish American Hospital)
	3,970,000	6.875%, 11/15/2030^b		4,217,410
		Illinois Health Facilities Authority Revenue Bonds (Thorek Hospital and Medical Center)
	4,655,000	5.250%, 8/15/2018		4,132,476
		Illinois Health Facilities Authority Unrefunded Revenue Bonds (Series B) (MBIA/IBC Insured)
	2,120,000	5.250%, 8/15/2018^a		2,138,762

The accompanying Notes to the Financial Statements are an integral part of this schedule.

148

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Illinois (9.3%) - continued
		Illinois State Sales Tax Revenue Bonds (Second Series)
$	7,900,000	5.750%, 6/15/2018	$	8,611,711
		Illinois State Sales Tax Revenue Bonds (Series L)
	3,065,000	7.450%, 6/15/2012		3,484,445
		Illinois, Rush University Medical Center Finance Authority Refunding Bonds (Series B) (MBIA Insured)
	1,000,000	5.250%, 11/1/2035^a		778,990
		Joliet, Illinois Regional Port District Marine Term Revenue Bonds
	955,000	0.540%, 11/3/2008^c		955,000
		McHenry County, Illinois Community High School District #157 General Obligation Bonds (FSA Insured)
	3,035,000	9.000%, 12/1/2017^a		3,968,718
		McLean County, Illinois Bloomington - Normal Airport Central Illinois Regional Authority Revenue Bonds (Subject to ‘AMT’)
	4,000,000	6.050%, 12/15/2019		3,589,760
		Metropolitan Pier and Exposition Authority, Illinois State Tax Revenue Bonds (McCormick Place Exposition Project) (FGIC Insured)
	1,410,000	5.250%, 12/15/2028^a		1,379,093
		Metropolitan Pier and Exposition Authority, Illinois State Tax Revenue Bonds (McCormick Place Exposition Project) (Series A) (FGIC Insured)
	885,000	5.500%, 6/15/2015^a		952,358
	17,505,000	Zero Coupon, 6/15/2020^a		9,207,980
		Metropolitan Pier and Exposition Authority, Illinois State Tax Revenue Bonds (McCormick Place Exposition Project) (Series A) (MBIA Insured)
	3,100,000	Zero Coupon, 6/15/2024^a		1,263,994
	2,000,000	Zero Coupon, 12/15/2024^a		792,400
		Metropolitan Pier and Exposition Authority, Illinois State Tax Revenue Bonds (McCormick Place Exposition Project) (Series B) (MBIA Insured)
	7,000,000	Zero Coupon, 6/15/2012^a,e		5,873,070
		Metropolitan Water Reclamation District of Greater Chicago General Obligation Refunding Bonds
	6,550,000	5.250%, 12/1/2032		6,487,906
		Regional Transportation Authority, Illinois Revenue Bonds (Series A) (FGIC Insured)
	3,000,000	6.700%, 11/1/2021^a		3,402,480

		Total Illinois		106,681,074

	Indiana (0.9%)
		Ball State University, Indiana University Student Fee Revenue Bonds (Series K) (FGIC Insured)
	$700,000	5.750%, 7/1/2020^a,b		757,078
		East Chicago, Indiana Elementary School Building Corporation Revenue Bonds
	1,250,000	6.250%, 1/5/2016		1,332,887
		Indiana Health and Educational Facilities Finance Authority Hospital Revenue Bonds
	500,000	5.250%, 5/15/2041		441,085
		Indiana Transportation Finance Authority Highway Revenue Bonds (Series A)
	250,000	6.800%, 12/1/2016		279,640
		Indiana Transportation Finance Authority Highway Revenue Bonds (Series A) (MBIA/IBC Insured)
	985,000	7.250%, 6/1/2015^a,b		1,047,380
		Indiana Transportation Finance Authority Highway Unrefunded Revenue Bonds (Series A) (MBIA/IBC Insured)
	3,565,000	7.250%, 6/1/2015^a		4,026,846
		Purdue University, Indiana Revenue Bonds (Student Fees) (Series L)
	2,120,000	5.000%, 7/1/2020		2,127,844

		Total Indiana		10,012,760

	Iowa (0.9%)
		Coralville, Iowa Urban Renewal Annual Appropriation Revenue Bonds (Tax Increment-H2)
	2,085,000	5.000%, 6/1/2011		2,135,937
	3,125,000	5.000%, 6/1/2021		2,831,125
		Iowa Finance Authority Health Care Facilities Revenue Bonds (Genesis Medical Center)
	4,500,000	6.250%, 7/1/2025		4,535,325
		Iowa Finance Authority Single Family Revenue Bonds (Series E)
	1,740,000	5.000%, 1/1/2037		1,274,724

		Total Iowa		10,777,111

	Kansas (0.7%)
		Kansas State Development Finance Authority Health Facility Revenue Bonds
	90,000	5.375%, 11/15/2024^b		96,683
	910,000	5.375%, 11/15/2024		902,747
		Olathe, Kansas Health Facilities Revenue Bonds (Olathe Medical Center Project) (Series A) (AMBAC Insured)
	2,000,000	5.500%, 9/1/2025^a		1,961,140
		Salina, Kansas Hospital Revenue Bonds
	1,725,000	5.000%, 10/1/2036		1,337,030

The accompanying Notes to Financial Statements are an integral part of this schedule.

149

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Kansas (0.7%) - continued
		Sedgwick and Shawnee Counties, Kansas Single Family Mortgage Revenue Bonds (Series A-2) (GNMA Insured)
$	225,000	6.700%, 6/1/2029^a	$	218,637
		Wyandotte County/Kansas City, Kansas Unified Government Special Obligation Revenue Bonds (2nd Lien-B)
	4,350,000	5.000%, 12/1/2020		3,712,377

		Total Kansas		8,228,614

	Kentucky (0.5%)
		Kentucky Economic Development Authority Louisville Arena Project Revenue Bonds
	1,000,000	6.000%, 12/1/2033		956,320
		Kentucky State Turnpike Authority Economic Development Revenue Bonds (Revitalization Project) (FGIC Insured)
	5,345,000	Zero Coupon, 1/1/2010^a		5,180,695

		Total Kentucky		6,137,015

	Louisiana (2.4%)
		Jefferson Parish, Louisiana Home Mortgage Authority Single Family Mortgage Revenue Bonds (Series A-2) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	500,000	7.500%, 12/1/2030^a		500,045
		Jefferson Parish, Louisiana Home Mortgage Authority Single Family Mortgage Revenue Bonds (Series D-1) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	150,000	7.500%, 6/1/2026^a		150,018
		Louisiana Housing Finance Agency Single Family Mortgage Revenue Bonds (Series D-2) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	125,000	7.050%, 6/1/2031^a		124,555
		Louisiana Public Facilities Authority Hospital Revenue Bonds (Lake Charles Memorial) (AMBAC/TCRS Insured)
	3,000,000	8.625%, 12/1/2030^a,b		3,413,850
		Louisiana Public Facilities Authority Revenue Bonds
	500,000	5.000%, 7/1/2031		362,750
		Louisiana Public Facilities Authority Revenue Bonds (MBIA Insured)
	4,745,000	5.250%, 3/1/2031^a		4,259,729
		New Orleans, Louisiana General Obligation Bonds (AMBAC Insured)
	6,500,000	Zero Coupon, 9/1/2012^a		5,547,295
		Parish of St. John Baptist, Louisiana Revenue Bonds (Marathon Oil Corporation Project) (Series 2007A) (Non- AMT)
	10,000,000	5.125%, 6/1/2037		6,232,300
		Regional Transportation Authority, Louisiana Sales Tax Revenue Bonds (Series A) (FGIC Insured)
	2,605,000	8.000%, 12/1/2012^a		2,992,884
		Tobacco Settlement Financing Corporation, Louisiana Revenue Bonds (Series 2001-B)
	4,200,000	5.500%, 5/15/2030		3,536,106

		Total Louisiana		27,119,532

	Maryland (0.8%)
		Maryland State Economic Development Corporation Revenue Bonds (Lutheran World Relief)
	1,815,000	7.200%, 4/1/2025^b		1,960,998
		Maryland State Economic Development Corporation Student Housing Revenue Bonds (Sheppard Pratt) (ACA Insured)
	1,550,000	6.000%, 7/1/2033^a		1,180,728
		Maryland State Health and Higher Educational Facilities Authority Revenue Bonds (University of Maryland Medical System)
	1,000,000	6.000%, 7/1/2022^b		1,091,490
		Morgan State University, Maryland Academic and Auxiliary Facilities Fees Revenue Bonds (MBIA Insured)
	4,500,000	6.050%, 7/1/2015^a		4,895,280
		Prince George’s County, Maryland Housing Authority Single Family Mortgage Revenue Bonds (Series A) (GNMA/FNMA/FHLMC Insured) (Subject to ‘AMT’)
	5,000	7.400%, 8/1/2032^a		4,958

		Total Maryland		9,133,454

	Massachusetts (3.0%)
		Massachusetts Bay Transportation Authority Sales Tax Revenue Bonds (Series B) (MBIA Insured)
	5,000,000	5.500%, 7/1/2025^a		5,092,700
		Massachusetts State Construction Lien General Obligation Bonds (Series A) (FGIC-TCRS Insured)
	4,935,000	5.250%, 1/1/2013^a		5,252,321

The accompanying Notes to the Financial Statements are an integral part of this schedule.

150

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Massachusetts (3.0%) - continued
		Massachusetts State Development Finance Agency Revenue Bonds (Devens Electric Systems)
$	725,000	5.625%, 12/1/2016	$	729,908
		Massachusetts State Health and Educational Facilities Authority Revenue Bonds
	15,000,000	5.250%, 7/1/2033		14,555,100
		Massachusetts State Health and Educational Facilities Authority Revenue Bonds (Partners Healthcare System) (Series C)
	1,000,000	6.000%, 7/1/2016		1,035,040
		Massachusetts State School Building Authority Dedicated Sales Tax Revenue Bonds (Series A) (MBIA Insured)
	3,000,000	5.000%, 8/15/2027^a		2,921,370
		Massachusetts State Water Pollution Abatement Trust Revenue Bonds
	5,000,000	5.000%, 8/1/2024		4,940,600

		Total Massachusetts		34,527,039

	Michigan (2.6%)
		East Lansing, Michigan Building Authority General Obligation Bonds
	2,000,000	5.700%, 4/1/2020		2,162,060
		Kalamazoo, Michigan Hospital Finance Authority Revenue Bonds
	3,250,000	5.000%, 5/15/2026		2,959,548
		Livonia, Michigan Public Schools School District General Obligation Bonds (FGIC Insured)
	1,500,000	Zero Coupon, 5/1/2009^a,b		1,483,965
		Michigan Public Power Agency Revenue Bonds (Combustion Turbine #1 Project) (Series A) (AMBAC Insured)
	1,380,000	5.250%, 1/1/2016^a		1,420,268
		Michigan State Hospital Finance Authority Revenue Bonds (Detroit Medical Center)
	45,000	8.125%, 8/15/2012		45,106
		Michigan State Hospital Finance Authority Revenue Bonds (MBIA Insured)
	2,825,000	5.375%, 8/15/2014^a,b		3,004,359
		Michigan State Hospital Finance Authority Revenue Bonds (Series P) (MBIA Insured)
	175,000	5.375%, 8/15/2014^a,b		183,404
		Michigan State Hospital Finance Authority Revenue Refunding Bonds (Crittenton Hospital) (Series A)
	2,750,000	5.500%, 3/1/2022		2,622,400
		Michigan State Trunk Line Fund Revenue Bonds (FSA Insured)
	5,000,000	5.000%, 11/1/2022^a		5,029,250
		Rochester, Michigan Community School District General Obligation Bonds (MBIA Insured)
	4,500,000	5.000%, 5/1/2019^a		4,618,260
		Sault Ste. Marie, Michigan Chippewa Indians Housing Authority Revenue Bonds (Tribal Health and Human Services Center)
	2,340,000	7.750%, 9/1/2012		2,341,240
		St. Clair County, Michigan Economic Development Corporation Revenue Bonds (Detroit Edison) (Series AA) (AMBAC Insured)
	2,000,000	6.400%, 8/1/2024^a		2,036,540
		Summit Academy North, Michigan Public School Academy Certificates of Participation
	990,000	6.550%, 7/1/2014^b		1,054,083
	690,000	8.375%, 7/1/2030^b		754,356

		Total Michigan		29,714,839

	Minnesota (3.8%)
		Baytown Township Minnesota Revenue Bonds
	1,000,000	7.000%, 8/1/2038		828,070
		Minneapolis and St. Paul, Minnesota Housing & Redevelopment Authority Healthcare System (Healthpartners Obligation Group Project)
	800,000	6.000%, 12/1/2021		681,480
		Minneapolis and St. Paul, Minnesota Metropolitan Airports Commission Airport Revenue Bonds
	2,030,000	5.000%, 1/1/2022		1,751,748
		Minneapolis and St. Paul, Minnesota Metropolitan Airports Commission Airport Revenue Bonds (Series A) (AMBAC Insured)
	5,000,000	5.000%, 1/1/2035^a		4,241,800
		Minneapolis and St. Paul, Minnesota Metropolitan Airports Commission Airport Revenue Bonds (Series C) (FGIC Insured)
	5,000,000	5.000%, 1/1/2031^a		4,292,500
		Minneapolis, Minnesota Community Development Agency Tax Increment Revenue Bonds (MBIA Insured)
	7,685,000	Zero Coupon, 3/1/2009^a		7,622,367

The accompanying Notes to Financial Statements are an integral part of this schedule.

151

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Minnesota (3.8%) - continued
		Minnesota Agricultural and Economic Development Board Health Care System Unrefunded Balance Revenue Bonds (Fairview Hospital) (Series A) (MBIA Insured)
$	85,000	5.750%, 11/15/2026^a	$	87,554
		Minnesota Higher Education Facilities Authority Revenue Bonds (College of Art and Design) (Series 5-D)
	1,000,000	6.625%, 5/1/2020^b		1,059,460
		Minnesota Higher Education Facilities Authority Revenue Bonds (University of St. Thomas) (Series 5-Y)
	530,000	5.250%, 10/1/2019		535,062
		North Oaks, Minnesota Senior Housing Revenue Bonds (Presbyterian Homes, North Oaks)
	2,000,000	6.125%, 10/1/2039		1,509,400
		Northern Municipal Power Agency Minnesota Electric System Revenue Bonds (Series A)
	2,000,000	5.000%, 1/1/2026		1,869,940
		Northfield, Minnesota Hospital Revenue Bonds (Series C)
	1,000,000	6.000%, 11/1/2021^b		1,079,200
	1,300,000	6.000%, 11/1/2026^b		1,402,960
	2,040,000	6.000%, 11/1/2031^b		2,201,568
		St. Louis Park, Minnesota Health Care Facilities Revenue Bonds
	2,000,000	5.250%, 7/1/2030^b		2,169,540
	1,000,000	5.750%, 7/1/2030		837,540
		St. Paul, Minnesota Housing and Redevelopment Authority Educational Facility Revenue Bonds
	4,000,000	5.000%, 10/1/2024		3,707,280
		St. Paul, Minnesota Housing and Redevelopment Authority Health Care Facilities Revenue Bonds (Healthpartners Obligation Group PJ)
	230,000	5.250%, 5/15/2019		189,847
	1,500,000	5.250%, 5/15/2036		1,024,200
		St. Paul, Minnesota Housing and Redevelopment Authority Lease Parking Facilities Revenue Bonds (Rivercentre Parking Ramp)
	1,690,000	6.000%, 5/1/2013		1,707,255
		White Earth Band of Chippewa Indians, Minnesota Revenue Bonds (Series A) (ACA Insured)
	4,135,000	7.000%, 12/1/2011^a		4,200,829

		Total Minnesota		42,999,600

	Missouri (1.9%)
		Jackson County, Missouri Special Obligation Harry S. Truman Sports Complex Revenue Bonds (AMBAC Insured)
	7,500,000	5.000%, 12/1/2027^a		7,188,300
		Missouri State Environmental Improvement and Energy Resources Authority Pollution Control Revenue Bonds (Associated Electric Coop Project)
	2,000,000	4.375%, 12/1/2034		2,010,200
		Missouri State Environmental Improvement and Energy Resources Authority Water Pollution Revenue Bonds (Series A)
	1,000,000	5.250%, 1/1/2018		1,033,820
		Missouri State Health and Educational Facilities Authority Health Facilities Revenue Bonds
	2,500,000	5.000%, 5/15/2020		2,367,875
		Missouri State Health and Educational Facilities Authority Health Facilities Revenue Bonds (Barnes Jewish, Inc. Christian) (Series A)
	3,000,000	5.250%, 5/15/2014		3,082,320
		Missouri State Health and Educational Facilities Authority Health Facilities Revenue Bonds (Lake Regional Health Securities Project)
	1,500,000	5.600%, 2/15/2025		1,224,705
		Missouri State Health and Educational Facilities Authority Health Facilities Revenue Bonds (Saint Anthony’s Medical Center)
	1,000,000	6.250%, 12/1/2030^b		1,085,170
		Missouri State Health and Educational Facilities Authority Revenue Bonds (Lake of the Ozarks)
	655,000	6.500%, 2/15/2021		604,912
		Missouri State Housing Development Commission Single Family Mortgage Revenue Bonds (Series B-1) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	120,000	7.450%, 9/1/2031^a		118,420
		Missouri State Housing Development Commission Single Family Mortgage Revenue Bonds (Series C-1) (GNMA/FNMA Insured)
	125,000	6.550%, 9/1/2028^a		122,807

The accompanying Notes to the Financial Statements are an integral part of this schedule.

152

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Missouri (1.9%) - continued
		Missouri State Housing Development Commission Single Family Mortgage Revenue Bonds (Series C-1) (GNMA/FNMA Insured) (Subject to ‘AMT’)
$	225,000	7.150%, 3/1/2032^a	$	224,764
		St. Charles County, Missouri Francis Howell School District General Obligation Bonds (Series A)
	2,000,000	5.250%, 3/1/2018		2,105,260

		Total Missouri		21,168,553

	Montana (1.3%)
		Montana Facility Finance Authority Revenue Providence Health and Services Revenue Bonds
	2,830,000	5.000%, 10/1/2024		2,515,474
		Montana State Board of Housing Single Family Mortgage Revenue Bonds (Series A-1)
	40,000	6.000%, 6/1/2016		36,812
		Montana State Board of Housing Single Family Mortgage Revenue Bonds (Series A-2) (Subject to ‘AMT’)
	140,000	6.250%, 6/1/2019		125,670
		Montana State Board of Investment Refunded Balance 1996 Payroll Tax Revenue Bonds (MBIA Insured)
	2,385,000	6.875%, 6/1/2020^a,b		2,471,504
		Montana State Board of Investment Refunded Revenue Bonds (1996 Payroll Tax) (MBIA Insured)
	775,000	6.875%, 6/1/2020^a,b		803,109
		Montana State Board of Investment Refunded Revenue Bonds (Payroll Tax) (MBIA Insured)
	1,240,000	6.875%, 6/1/2020^a,b		1,284,975
		Montana State Board of Regents Revenue Bonds (Higher Education-University of Montana) (Series F) (MBIA insured)
	1,165,000	5.750%, 5/15/2016^a		1,215,421
		Montana State Health Facilities Authority Revenue Bonds (Hillcrest Senior Living Project)
	3,000,000	7.375%, 6/1/2030^b		3,266,070
		Montana State Hospital Finance Authority Revenue Refunding Bonds
	3,860,000	5.250%, 6/1/2018		3,577,216

		Total Montana		15,296,251

	Nebraska (1.8%)
		Douglas County, Nebraska Hospital Authority Revenue Bonds
	2,000,000	5.750%, 11/1/2048		1,546,960
		Nebraska Public Power District Revenue Bonds (Series B) (AMBAC Insured)
	2,500,000	5.000%, 1/1/2013^a		2,590,825
		Omaha, Nebraska Public Power District Electric Revenue Bonds (Series A)
	5,780,000	5.000%, 2/1/2046		5,112,699
		Omaha, Nebraska Public Power District Revenue Bonds (Series B)
	3,455,000	6.150%, 2/1/2012^b		3,639,946
		Omaha, Nebraska Special Assessment Bonds (Riverfront Redevelopment Project) (Series A)
	1,675,000	5.500%, 2/1/2015		1,765,232
		University of Nebraska Revenue Bonds (Lincoln Student Fees & Facilities) (Series B)
	6,000,000	5.000%, 7/1/2023		5,956,500

		Total Nebraska		20,612,162

	New Hampshire (0.1%)
		New Hampshire State Health and Education Facilities Authority Revenue Bonds
	1,800,000	5.000%, 1/1/2036		1,216,692

		Total New Hampshire		1,216,692

	New Jersey (1.8%)
		Hudson County, New Jersey Department of Finance and Administration Certificate Of Participation (MBIA Insured)
	2,000,000	6.250%, 12/1/2015^a		2,217,580
		New Jersey State Educational Facilities Authority Revenue Bonds
	965,000	0.360%, 11/3/2008^c		965,000
		New Jersey State Highway Authority Revenue Bonds (Series L)
	1,000,000	5.250%, 7/15/2018		1,057,530
		New Jersey State Turnpike Authority Revenue Bonds (Series C) (AMBAC-TCRS Insured)
	3,695,000	6.500%, 1/1/2016^a,b		4,156,099
	260,000	6.500%, 1/1/2016^a,b		292,446
	745,000	6.500%, 1/1/2016^a		829,453
		New Jersey Transportation Trust Fund Authority Revenue Bonds (Transportation System) (Series A) (FSA Insured)
	5,000,000	5.500%, 12/15/2016^a		5,195,150

The accompanying Notes to Financial Statements are an integral part of this schedule.

153

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	New Jersey (1.8%) - continued
		Ocean County, New Jersey Utilities Authority Wastewater Revenue Bonds
$	3,180,000	5.250%, 1/1/2025	$	3,190,081
		West New York, New Jersey Municipal Utilities Authority Revenue Bonds (FGIC Insured)
	2,595,000	Zero Coupon, 12/15/2009^a,b		2,538,247

		Total New Jersey		20,441,586

	New Mexico (1.0%)
		Jicarilla, New Mexico Apache Nation Revenue Bonds (Series A)
	3,500,000	5.500%, 9/1/2023		3,468,220
		New Mexico Mortgage Finance Authority Single Family Mortgage Capital Appreciation Revenue Bonds (Series D-2) (Subject to ‘AMT’)
	145,000	Zero Coupon, 9/1/2009^e		127,759
		New Mexico Mortgage Finance Authority Single Family Mortgage Revenue Bonds (Series C-2) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	475,000	6.950%, 9/1/2031^a		482,814
		Sandoval County, New Mexico Incentive Payment Revenue Bonds
	7,500,000	5.000%, 6/1/2020		7,408,950

		Total New Mexico		11,487,743

	New York (8.3%)
		Metropolitan Transportation Authority, New York Transportation Facilities Revenue Bonds (Series A)
	5,000,000	5.500%, 7/1/2017		5,252,400
		Metropolitan Transportation Authority, New York Transportation Facilities Revenue Bonds (Series O)
	4,225,000	5.750%, 7/1/2013^b		4,484,964
		New York State Dormitory Authority Revenue Bonds (Series B)
	4,000,000	5.250%, 5/15/2012^c		4,115,200
		New York State Dormitory Authority Revenue Bonds (State University Educational Facilities) (Series A)
	2,000,000	7.500%, 5/15/2013		2,285,480
	5,000,000	5.875%, 5/15/2017		5,266,300
		New York State Local Government Assistance Corporation Revenue Bonds (Series E) (MBIA/IBC Insured)
	2,000,000	5.250%, 4/1/2016^a		2,110,120
		New York State Mortgage Agency Revenue Bonds (Series 26)
	495,000	5.350%, 10/1/2016		487,793
		New York State Thruway Authority Revenue Bonds (Series B) (FSA Insured)
	2,500,000	5.000%, 4/1/2015^a		2,641,400
		New York State Urban Development Corporation Revenue Bonds (Correctional and Youth Facilities) (Series A)
	20,000,000	5.000%, 1/1/2017		20,478,800
		New York, New York City Municipal Water and Sewer System Revenue Bonds (Series A) (AMBAC Insured)
	2,000,000	5.875%, 6/15/2012^a,b		2,197,480
		New York, New York City Transitional Finance Authority Revenue Bonds
	735,000	5.375%, 11/15/2021^b		746,804
		New York, New York City Transitional Finance Authority Revenue Bonds (Future Tax Secured) (Series A)
	8,940,000	5.500%, 11/1/2011^c,e		9,350,078
	1,805,000	5.375%, 11/15/2021^b		1,961,493
		New York, New York City Transitional Finance Authority Revenue Bonds (Future Tax Secured) (Series B)
	13,000,000	5.250%, 2/1/2011^c,e		13,411,450
		New York, New York General Obligation Bonds (Series A)
	1,750,000	5.500%, 8/1/2022		1,765,803
		New York, New York General Obligation Bonds (Series B)
	12,000,000	5.250%, 8/1/2017		12,273,240
		New York, New York General Obligation Bonds (Series H) (FSA/CR Insured)
	655,000	5.250%, 3/15/2016^a,b		670,556
		New York, New York General Obligation Bonds (Series I-1)
	5,000,000	5.000%, 4/1/2023		4,763,650
		New York, New York Municipal Water Finance Authority and Sewer System Revenue Bonds
	1,000,000	5.750%, 6/15/2040		995,600

		Total New York		95,258,611

	North Carolina (2.4%)
		North Carolina Eastern Municipal Power Agency Power System Prerefunded Revenue Bonds (Series A)
	1,475,000	6.000%, 1/1/2026^b		1,641,483
		North Carolina Eastern Municipal Power Agency Power System Revenue Bonds
	4,000,000	5.375%, 1/1/2017		4,001,920
	7,170,000	5.250%, 1/1/2020		6,695,561

The accompanying Notes to the Financial Statements are an integral part of this schedule.

154

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	North Carolina (2.4%) - continued
		North Carolina Eastern Municipal Power Agency Power System Revenue Bonds (Series B)
$	2,375,000	5.500%, 1/1/2021	$	2,271,379
		North Carolina Eastern Municipal Power Agency Power System Revenue Bonds (Series D)
	5,000,000	5.500%, 1/1/2014		5,155,550
	2,000,000	6.750%, 1/1/2026		2,011,260
		North Carolina Municipal Power Agency #1 Catawba Electric Revenue Bonds (Series B)
	250,000	6.500%, 1/1/2009		251,640
	610,000	6.375%, 1/1/2013		627,653
		North Carolina Municipal Power Agency #1 Catawba Electric Revenue Bonds (Series B) (MBIA Insured)
	4,000,000	6.000%, 1/1/2011^a		4,233,000
		Wake County, North Carolina Industrial, Facilities, and Pollution Control Revenue Bonds (Carolina Power and Light Company Project)
	1,000,000	5.375%, 2/1/2017		990,410

		Total North Carolina		27,879,856

	North Dakota (0.8%)
		Grand Forks, North Dakota Health Care System Revenue Bonds (Altru Health Systems Group)
	3,500,000	7.125%, 8/15/2024^b		3,791,935
		South Central Regional Water District, North Dakota Utility System Revenue Bonds (Northern Burleigh County) (Series A)
	2,945,000	5.650%, 10/1/2029		2,860,479
		Ward County, North Dakota Health Care Facilities Revenue Bonds (Trinity Medical Center) (Series B)
	3,250,000	6.250%, 7/1/2021		2,882,425

		Total North Dakota		9,534,839

	Ohio (3.1%)
		Akron, Ohio Economic Development Revenue Bonds (MBIA Insured)
	875,000	6.000%, 12/1/2012^a		940,782
		Buckeye Tobacco Settlement Financing Authority Bonds (Series A-2)
	4,850,000	5.125%, 6/1/2024		3,758,217
		Cincinnati, Ohio General Obligation Bonds
	1,700,000	5.375%, 12/1/2019^b		1,798,770
		Lorain County, Ohio Hospital Revenue Bonds (Catholic Healthcare Partners)
	2,000,000	5.400%, 10/1/2021		1,943,800
		Lucas County, Ohio Health Care Facilities Revenue Bonds (Sunset Retirement) (Series A)
	2,000,000	6.550%, 8/15/2024		1,842,980
		Montgomery County, Ohio Hospital Revenue Bonds (Kettering Medical Center)
	2,000,000	6.750%, 4/1/2018^b		2,142,300
	2,500,000	6.750%, 4/1/2022^b		2,677,875
		Ohio State Higher Education Faculty Revenue Bonds (Case Western Reserve University)
	2,000,000	6.500%, 10/1/2020		2,235,640
		Ohio State Turnpike Commission Turnpike Revenue Bonds
	10,000,000	5.500%, 2/15/2026		10,269,300
		Ohio State Turnpike Commission Turnpike Revenue Bonds (Series A) (FGIC Insured)
	2,000,000	5.500%, 2/15/2024^a		2,063,500
		Port of Greater Cincinnati Development Authority Revenue Bonds
	1,750,000	5.000%, 10/1/2025		1,415,522
		Reynoldsburg, Ohio City School District General Obligation Bonds (FSA Insured)
	1,610,000	5.000%, 12/1/2028^a		1,581,922
		University of Cincinnati, Ohio General Receipts Revenue Bonds (Series D) (AMBAC Insured)
	2,545,000	5.000%, 6/1/2016^a		2,622,190

		Total Ohio		35,292,798

	Oklahoma (0.7%)
		Bass, Oklahoma Memorial Baptist Hospital Authority Hospital Revenue Bonds (Bass Memorial Hospital Project)
	730,000	8.350%, 5/1/2009^b		730,409
		Oklahoma Development Finance Authority Hospital Revenue Bonds (Unity Health Center Project)
	1,040,000	5.000%, 10/1/2011		1,038,565
		Oklahoma Housing Finance Agency Single Family Mortgage Revenue Bonds (Series C-2) (Subject to ‘AMT’)
	125,000	7.550%, 9/1/2028		121,645
		Oklahoma Housing Finance Agency Single Family Mortgage Revenue Bonds (Series D-2) (GNMA/FNMA Insured) (Subject to ‘AMT’)
	155,000	7.100%, 9/1/2028^a		153,067

The accompanying Notes to Financial Statements are an integral part of this schedule.

155

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Oklahoma (0.7%) - continued
		Oklahoma State Municipal Power Authority Revenue Bonds
$	1,500,000	6.000%, 1/1/2038	$	1,475,520
		Oklahoma State Municipal Power Authority Revenue Bonds (Series B) (MBIA Insured)
	1,500,000	5.875%, 1/1/2012^a		1,573,470
		Payne County, Oklahoma Economic Development Authority Student Housing Revenue Bonds (Collegiate Housing Foundation) (Series A)
	2,900,000	6.375%, 6/1/2030^b		3,140,468

		Total Oklahoma		8,233,144

	Pennsylvania (2.5%)
		Allegheny County, Pennsylvania Redevelopment Authority Tax Increment Tax Allocation Bonds (Waterfront Project) (Series B)
	715,000	6.000%, 12/15/2010		751,043
		Allegheny County, Pennsylvania Redevelopment Authority Tax Increment Tax Allocation Bonds (Waterfront Project) (Series C)
	1,940,000	6.550%, 12/15/2017^b		2,022,838
		Allegheny County, University of Pittsburgh Medical Center Hospital Development Authority Revenue Bonds (Series B)
	3,000,000	5.000%, 6/15/2018		2,868,570
		Carbon County, Pennsylvania Industrial Development Authority Revenue Bonds (Panther Creek Partners Project) (Subject to ‘AMT’)
	1,670,000	6.650%, 5/1/2010		1,684,579
		Cornwall Lebanon, Pennsylvania School District Capital Appreciation General Obligation Bonds (FSA Insured)
	2,000,000	Zero Coupon, 3/15/2016^a		1,420,740
	1,520,000	Zero Coupon, 3/15/2017^a		1,014,053
		Cumberland County, Pennsylvania Municipal Authority Revenue Bonds (Diakon Lutheran Ministries)
	2,750,000	5.000%, 1/1/2027		1,950,272
	2,000,000	5.000%, 1/1/2036		1,310,420
		Delaware County, Pennsylvania Industrial Development Authority Revenue Bonds
	2,300,000	1.090%, 11/3/2008^c		2,300,000
		Lancaster County, Pennsylvania Hospital Authority Revenue Bonds
	2,000,000	5.500%, 3/15/2026^b		2,178,220
		Millcreek Township, Pennsylvania School District General Obligation Bonds (FGIC Insured)
	3,170,000	Zero Coupon, 8/15/2009^a,b		3,124,923
		Pennsylvania State Turnpike Commission, Turnpike Revenue Bonds
	5,000,000	6.250%, 6/1/2038		5,193,000
		Philadelphia, Pennsylvania Authority for Industrial Development Revenue Bonds (Please Touch Museum Project)
	2,000,000	5.250%, 9/1/2026		1,582,860
		York County, Pennsylvania Solid Waste & Refuse Authority Solid Waste System Revenue Bonds (FGIC Insured)
	1,000,000	5.500%, 12/1/2012^a		1,076,450

		Total Pennsylvania		28,477,968

	Puerto Rico (0.5%)
		Puerto Rico Industrial Tourist Educational Medical and Environmental Central Facilities Revenue Bonds (AES Cogen Facilities Project) (Subject to ‘AMT’)
	6,655,000	6.625%, 6/1/2026		6,158,071

		Total Puerto Rico		6,158,071

	South Carolina (1.8%)
		Greenwood County, South Carolina Hospital Revenue Bonds (Self Memorial Hospital)
	1,000,000	5.500%, 10/1/2026		889,870
		Piedmont, South Carolina Municipal Power Agency Electric Revenue Bonds (FGIC Insured)
	4,000,000	6.250%, 1/1/2021^a		4,030,080
	5,000,000	5.000%, 1/1/2022^a		4,553,400
		South Carolina Jobs Economic Development Authority Hospital Facilities Prerefunded Revenue Bonds (Palmetto Health Alliance) (Series C)
	605,000	6.875%, 8/1/2027^b		683,819
	4,895,000	6.875%, 8/1/2027^b		5,532,721
		South Carolina State Public Service Authority Revenue Bonds
	2,500,000	5.500%, 1/1/2038		2,405,075
		Spartanburg, South Carolina Waterworks Revenue Bonds (FGIC Insured)
	2,000,000	5.250%, 6/1/2028^a,b		2,183,140

		Total South Carolina		20,278,105

The accompanying Notes to the Financial Statements are an integral part of this schedule.

156

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	South Dakota (0.9%)
		South Dakota Educational Enhancement Funding Corporation Tobacco Settlement Revenue Bonds (Series B)
$	5,000,000	6.500%, 6/1/2032	$	4,068,000
		South Dakota State Health and Educational Facilities Authority Revenue Bonds
	5,000,000	5.000%, 11/1/2040		3,871,950
		South Dakota State Health and Educational Facilities Authority Revenue Bonds (Prairie Lakes Health Care System, Inc.)
	1,170,000	5.625%, 4/1/2032		936,527
		South Dakota State Health and Educational Facilities Authority Revenue Bonds (Prairie Lakes Health Care System, Inc.) (ACA/CBI Insured)
	1,770,000	5.650%, 4/1/2022^a		1,488,039

		Total South Dakota		10,364,516

	Tennessee (1.6%)
		Jackson Tennessee Hospital Revenue Bonds
	3,000,000	5.750%, 4/1/2041		2,482,320
		Memphis-Shelby County, Tennessee Airport Authority Special Facilities and Project Revenue Bonds (Federal Express Corporation)
	2,000,000	5.350%, 9/1/2012		1,944,720
		Memphis-Shelby County, Tennessee Airport Authority Special Facilities Revenue Bonds (Federal Express Corporation)
	4,500,000	5.050%, 9/1/2012		4,330,305
		Metropolitan Government, Nashville and Davidson County, Tennessee Industrial Development Board Revenue Bonds (Series A) (GNMA Insured)
	4,155,000	6.625%, 3/20/2036^a		4,092,675
		Shelby County, Tennessee Health Educational and Housing Facilities Board Revenue Bonds (St. Jude Children’s Research Project)
	5,000,000	5.375%, 7/1/2024^b		5,211,300

		Total Tennessee		18,061,320

	Texas (10.9%)
		Alliance Airport Authority, Texas Facilities Income Revenue Bonds
	10,000,000	4.850%, 4/1/2021		7,456,900
		Amarillo, Texas Health Facilities Corporation Revenue Bonds (Baptist St. Anthony’s Hospital Corporation) (FSA Insured)
	2,000,000	5.500%, 1/1/2017^a,f		2,126,720
		Arlington, Texas Independent School District Capital Appreciation Refunding General Obligation Bonds (PSF/GTD Insured)
	2,165,000	Zero Coupon, 2/15/2009^a		2,152,746
		Austin, Texas Utility System Revenue Bonds (FGIC Insured)
	2,250,000	6.000%, 11/15/2013^a		2,417,400
		Austin, Texas Utility System Revenue Capital Appreciation Refunding Bonds (Financial Services Department) (Series A) (MBIA Insured)
	7,000,000	Zero Coupon, 11/15/2008^a		6,984,700
	8,100,000	Zero Coupon, 11/15/2009^a		7,870,203
		Bexar County, Texas Housing Finance Corporation Multi-Family Housing Revenue Bonds (Dymaxion and Marrach Park Apartments) (Series A) (MBIA Insured)
	1,930,000	6.000%, 8/1/2023^a		1,710,810
		Bexar County, Texas Housing Finance Corporation Multi-Family Housing Revenue Bonds (Pan American Apartments) (Series A-1) (GNMA Insured)
	1,720,000	7.000%, 3/20/2031^a		1,730,114
		Bluebonnet Trails Community Mental Health and Mental Retardation Revenue Bonds
	1,000,000	6.125%, 12/1/2016		936,140
		Corpus Christi, Texas General Obligation Bonds (Series A) (FSA Insured)
	500,000	5.000%, 3/1/2012^a		526,035
		Dallas-Fort Worth, Texas International Airport Revenue Bonds (Series A) (MBIA Insured) (Subject to ‘AMT’)
	1,000,000	5.500%, 11/1/2016^a		953,830
		Dallas-Fort Worth, Texas International Airport Revenue Bonds (Series A) (Subject to ‘AMT’)
	500,000	5.500%, 11/1/2017		470,190
		Dallas-Fort Worth, Texas Regional Airport Revenue Bonds
	9,750,000	6.125%, 11/1/2018		9,366,630
		Deer Park, Texas Independent School District General Obligation Bonds (PSF/GTD Insured)
	1,375,000	5.000%, 2/15/2013^a		1,455,094

The accompanying Notes to Financial Statements are an integral part of this schedule.

157

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Texas (10.9%) - continued
		Denton, Texas Independent School District General Obligation Bonds (PSF/GTD Insured)
$	475,000	6.250%, 2/15/2009^a	$	480,942
		Denton, Texas Utility System Revenue Bonds (Series A) (FSA Insured)
	3,210,000	5.250%, 12/1/2015^a		3,361,769
		Gulf Coast Waste Disposal Authority, Texas Pollution Control Revenue Bonds
	1,350,000	0.540%, 11/3/2008^c		1,350,000
		Gulf Coast Waste Disposal Authority, Texas Pollution Control Revenue Bonds (Exxon Project) (GTY/AGMT Insured)
	1,100,000	0.540%, 11/3/2008^a,c		1,100,000
		Harris County Texas Industrial Development Corporation Pollution Control Revenue Bonds
	1,400,000	0.540%, 11/3/2008^c		1,400,000
	900,000	0.540%, 11/3/2008^c		900,000
		Harris County, Houston, Texas General Obligation Bonds (MBIA Insured)
	7,000,000	Zero Coupon, 8/15/2024^a		2,801,120
	6,500,000	5.250%, 8/15/2047^a		5,685,355
		Harris County, Texas Health Facilities Development Authority Hospital Revenue Bonds (Memorial Hermann Healthcare Project) (Series A)
	2,000,000	6.375%, 6/1/2029^b		2,192,200
		Houston, Texas Airport System Revenue Bonds (Series A) (FSA Insured) (Subject to ‘AMT’)
	2,000,000	5.625%, 7/1/2030^a		1,686,420
		Houston, Texas Water and Sewer System Revenue Bonds (Series A) (FSA Insured)
	5,000,000	5.750%, 12/1/2032^a,b		5,248,550
		Lewisville, Texas Independent School District General Obligation Bonds (PSF/GTD Insured)
	5,315,000	Zero Coupon, 8/15/2019^a		3,043,635
		Lower Colorado River Authority, Texas Unrefunded Balance Revenue Bonds (Series A)
	1,000,000	5.875%, 5/15/2015		1,017,840
		North East Independent School District Texas Unlimited Tax Refunding Bonds
	5,000,000	5.250%, 2/1/2028		4,993,550
		North Texas Health Facilities Development Corporation Hospital Revenue Bonds (United Regional Healthcare System, Inc.)
	2,600,000	6.000%, 9/1/2023^b		2,862,938
		North Texas Tollway Authority Revenue Bonds (Series A)
	1,000,000	5.625%, 1/1/2033		910,310
		North Texas Tollway Authority Revenue Bonds (Series D)
	5,000,000	Zero Coupon, 1/1/2028		1,515,400
	26,125,000	Zero Coupon, 1/1/2034		5,138,265
		Nueces County, Texas Housing Finance Corporation Multi-Family Housing Revenue Bonds (Dolphins Landing Apartments Project) (Series A)
	250,000	6.250%, 7/1/2010^b		258,047
		Ridge Parc Development Corporation, Texas Multifamily Revenue Bonds (GNMA Insured)
	1,000,000	6.100%, 6/20/2033^a		938,310
	2,795,000	6.150%, 11/20/2041^a		2,506,053
		San Antonio, Texas General Obligation Bonds (General Improvements)
	425,000	5.250%, 2/1/2014		439,097
		San Antonio, Texas Water Revenue Bonds (FSA Insured)
	1,000,000	5.500%, 5/15/2018^a		1,036,560
	1,000,000	5.500%, 5/15/2019^a		1,031,280
	1,000,000	5.500%, 5/15/2020^a		1,026,040
		San Leanna Education Facilities Corporation Higher Education Revenue Bonds (Saint Edward’s University Project) (Series 2007)
	1,160,000	5.125%, 6/1/2024		894,244
		Southeast Texas Housing Finance Corporation Revenue Bonds (MBIA Insured)
	11,615,000	Zero Coupon, 9/1/2017^a,b		7,729,434
		Tarrant County, Texas College District General Obligation Bonds
	1,410,000	5.375%, 2/15/2013		1,516,427
		Tarrant County, Texas Cultural Educational Facilities Finance Corporation Revenue Bonds (Texas Health Resources) (Series A)
	2,000,000	5.000%, 2/15/2023		1,776,420
		Texas State Veterans Land Board General Obligation Bonds
	4,315,000	0.050%, 7/1/2010^b		4,118,970
		Westlake, Texas General Obligation Bonds
	315,000	6.500%, 5/1/2013		342,881
	350,000	6.500%, 5/1/2015		378,938
	335,000	6.500%, 5/1/2017^b		385,153
	1,650,000	5.750%, 5/1/2024		1,676,317
	2,000,000	5.800%, 5/1/2032^b		2,230,020
		Wylie, Texas Independent School District General Obligation Bonds (PSF/GTD Insured)
	430,000	6.875%, 8/15/2014^a		470,097
	745,000	6.875%, 8/15/2014^a,b		824,499

The accompanying Notes to the Financial Statements are an integral part of this schedule.

158

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Texas (10.9%) - continued
		Wylie, Texas Independent School District Unrefunded General Obligation Bonds (PSF/GTD Insured)
$	3,280,000	7.000%, 8/15/2024^a	$	3,446,952

		Total Texas		124,871,545

	Virginia (0.8%)
		Fairfax County, Virginia Industrial Development Authority Revenue Bonds (Inova Health Systems Project)
	2,500,000	5.250%, 8/15/2019		2,618,925
		Fairfax County, Virginia Water Authority Water Revenue Bonds
	3,625,000	5.000%, 4/1/2021		3,681,260
		Tobacco Settlement Authority, Virginia Tobacco Settlement Revenue Bonds
	3,240,000	5.250%, 6/1/2019^b		3,338,852

		Total Virginia		9,639,037

	Washington (4.6%)
		Energy Northwest, Washington Electric Revenue Bonds (Columbia Generating) (Series A) (MBIA Insured)
	1,000,000	5.750%, 7/1/2018^a		1,044,030
		Franklin County, Washington School District Bonds (MBIA Insured)
	6,000,000	5.250%, 12/1/2022^a		5,935,080
		King County, Washington Sewer Revenue Bonds (Series B) (FSA Insured)
	10,000,000	5.500%, 1/1/2013^a		10,619,800
		Tobacco Settlement Authority, Washington Tobacco Settlement Revenue Bonds
	7,935,000	6.500%, 6/1/2026		7,131,661
		Washington State Economic Development Finance Authority Lease Revenue Bonds (MBIA Insured)
	5,620,000	5.000%, 6/1/2030^a		5,065,025
		Washington State General Obligation Bonds (Series 93A)
	40,000	5.750%, 10/1/2012^b		42,073
	2,430,000	5.750%, 10/1/2012		2,554,537
		Washington State General Obligation Bonds (Series A and AT-6)
	955,000	6.250%, 2/1/2011		995,005
		Washington State General Obligation Bonds (Series A)
	5,000,000	6.750%, 2/1/2015		5,571,850
		Washington State General Obligation Bonds (Series A) (FSA Insured)
	5,000,000	5.000%, 7/1/2021^a		5,028,100
		Washington State General Obligation Bonds (Series B and AT-7)
	2,500,000	6.250%, 6/1/2010		2,642,400
	2,000,000	6.000%, 6/1/2012		2,176,280
		Washington State Health Care Facilities Authority Revenue Bonds (Series A)
	1,000,000	5.000%, 12/1/2030		894,080
		Washington State Health Care Facilities Authority Revenue Bonds (Swedish Health Services) (AMBAC Insured)
	2,000,000	5.125%, 11/15/2018^a		2,007,020
		Washington State Housing Finance Commission Nonprofit Housing Revenue Bonds (Crista Ministries Projects) (Series A)
	1,000,000	5.350%, 7/1/2014		999,930

		Total Washington		52,706,871

	West Virginia (0.3%)
		West Virginia State Water Development Authority Revenue Bonds (Series B-II) (FGIC Insured)
	3,465,000	5.000%, 11/1/2033^a		2,955,368

		Total West Virginia		2,955,368

	Wisconsin (1.1%)
		Wisconsin State Health and Educational Facilities Authority Revenue Bonds (Aurora Health Care) (Series B)
	1,500,000	5.500%, 2/15/2015		1,384,935
		Wisconsin State Health and Educational Facilities Authority Revenue Bonds (Eagle River Memorial Hospital, Inc. Project)
	1,000,000	5.750%, 8/15/2020		1,012,150
		Wisconsin State Health and Educational Facilities Authority Revenue Bonds (Marshfield Clinic) (Series B)
	2,000,000	6.000%, 2/15/2025		1,690,520
		Wisconsin State Health and Educational Facilities Authority Revenue Bonds (Watertown Memorial Hospital, Inc.)
	2,000,000	5.500%, 8/15/2029		1,719,580
		Wisconsin State Health and Educational Facilities Authority Revenue Bonds (Wheaton Franciscan Services)
	6,000,000	5.750%, 8/15/2025^b		6,551,760

		Total Wisconsin		12,358,945

The accompanying Notes to Financial Statements are an integral part of this schedule.

159

Municipal Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (98.7%)	Value
	Wyoming (1.1%)
		Kemmerer, Wyoming Pollution Control Term Revenue Bonds
$	1,215,000	0.540%, 11/3/2008^c	$	1,215,000
		Lincoln County, Wyoming Pollution Control Revenue Bonds
	300,000	0.540%, 11/3/2008^c		300,000
	1,200,000	0.540%, 11/3/2008^c		1,200,000
	640,000	0.540%, 11/3/2008^c		640,000
		Lincoln County, Wyoming Pollution Control Revenue Bonds (Exxon Project) (Series A)
	765,000	0.540%, 11/3/2008^c		765,000
		Wyoming Municipal Power Agency Power Supply System Revenue Bonds
	3,270,000	5.375%, 1/1/2042		2,824,920
		Wyoming State Farm Loan Board Capital Facilities Revenue Bonds
	5,825,000	5.750%, 10/1/2020		6,199,839

		Total Wyoming		13,144,759

		Total Long-Term Fixed Income (cost $1,155,836,307)		1,129,292,245

		Total Investments (cost $1,155,836,307) 98.7%	$	1,129,292,245

		Other Assets and Liabilities, Net 1.3%		14,416,170

		Total Net Assets 100.0%	$	1,143,708,415

a	To reduce certain risks associated with securities issued by municipalities, which may include but are not limited to economic development in a specific industry or municipality, the principal and/or interest payments are guaranteed by the bond insurance company or Government agency identified.

Denotes securities that have been pre-refunded or escrowed to maturity. Under such an arrangement, money is deposited into an irrevocable escrow account and is used to purchase U.S. Treasury securities or government agency securities with maturing principal and interest earnings sufficient to pay all debt service requirements of the pre-refunded bonds.

c	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.

d	Denotes investments purchased on a when-issued or delayed delivery basis.

e	Denotes step coupon bonds for which the current interest rate and next scheduled reset date are shown.

f	Designated as cover for long settling trades as discussed in the Notes to Financial Statements.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	33,734,379
Gross unrealized depreciation		(60,308,324	)

Net unrealized appreciation (depreciation)		($26,573,945	)
Cost for federal income tax purposes	$	1,155,866,190

The accompanying Notes to the Financial Statements are an integral part of this schedule.

160

Income Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Bank Loans (0.2%)^a	Value
	Consumer Non-Cyclical (0.2%)
		HCA, Inc., Term Loan
$	1,886,675	5.273%, 11/18/2013	$	1,556,167

		Total Consumer Non-Cyclical		1,556,167

		Total Bank Loans (cost $1,472,572)		1,556,167


		Long-Term Fixed Income (102.2%)
	Asset-Backed Securities (5.4%)
		Bear Stearns Mortgage Funding Trust
	2,023,648	3.399%, 11/25/2008^b		399,098
		Capitalsource Commercial Loan Trust
	2,320,460	4.408%, 11/20/2008^b,c		1,915,254
		Countrywide Asset-Backed Certificates
	3,306,755	5.549%, 4/25/2036^d,e		2,999,052
		Credit Based Asset Servicing and Securitization, LLC
	1,488,268	3.369%, 11/25/2008^b,e		1,447,497
		Discover Card Master Trust
	5,000,000	5.650%, 3/16/2020^f		3,552,605
		First Franklin Mortgage Loan Asset-Backed Certificates
	2,773,998	3.349%, 11/25/2008^b,e		2,662,300
		First Horizon ABS Trust
	1,798,225	3.419%, 11/25/2008^b,d		876,678
		Ford Credit Floor Plan Master Owner Trust
	5,000,000	4.740%, 11/17/2008^b,e		4,826,325
		GMAC Mortgage Corporation Loan Trust
	5,838,521	3.329%, 11/25/2008^b,d		3,417,899
	627,142	3.359%, 11/25/2008^b,d,e		605,331
	5,260,418	3.439%, 11/25/2008^b,d		2,869,379
		IndyMac Seconds Asset-Backed Trust
	3,500,743	3.429%, 11/25/2008^b,d		1,585,256
		Merna Re, Ltd.
	7,250,000	5.512%, 12/31/2008^b,e,g		6,858,500
		Residential Funding Mortgage Securities II
	1,455,752	3.389%, 11/25/2008^b,d,e		1,381,191

		Total Asset-Backed Securities		35,396,365

	Basic Materials (1.5%)
		ArcelorMittal
	3,500,000	6.125%, 6/1/2018^g,h		2,411,682
		E.I. Du Pont de Nemours & Company
	2,800,000	6.000%, 7/15/2018		2,562,655
		Freeport-McMoRan Copper & Gold, Inc.
	1,000,000	7.084%, 4/1/2009^b,e		779,680
		Precision Castparts Corporation
	2,000,000	5.600%, 12/15/2013^e		2,030,024
		Rio Tinto Finance, Ltd.
	2,700,000	6.500%, 7/15/2018^e		2,094,388

		Total Basic Materials		9,878,429

	Capital Goods (3.9%)
		Caterpillar Financial Services Corporation
	1,200,000	5.450%, 4/15/2018		987,468
	2,975,000	7.050%, 10/1/2018^f		2,807,811
		CRH America, Inc.
	1,600,000	6.000%, 9/30/2016^e		1,154,397
	3,000,000	8.125%, 7/15/2018^h		2,465,100
		Honeywell International, Inc.
	3,800,000	5.300%, 3/1/2018^e		3,343,677
		John Deere Capital Corporation
	2,800,000	5.350%, 4/3/2018^e		2,335,267
	2,100,000	5.750%, 9/10/2018^e		1,750,421
		Lockheed Martin Corporation
	1,170,000	6.150%, 9/1/2036		1,003,249
		Oakmont Asset Trust
	3,250,000	4.514%, 12/22/2008^e,g		3,250,296
		Owens Corning, Inc.
	1,200,000	7.000%, 12/1/2036^e		760,005
		Systems 2001 Asset Trust, LLC
	2,203,317	6.664%, 9/15/2013^g		2,172,257
		United Technologies Corporation
	3,000,000	4.875%, 5/1/2015		2,733,693

		Total Capital Goods		24,763,641

	Collateralized Mortgage Obligations (4.9%)
		Banc of America Mortgage Securities, Inc.
	5,802,469	4.804%, 9/25/2035^e		4,740,866
		Citigroup Mortgage Loan Trust, Inc.
	651,159	5.536%, 3/25/2036^h		643,286
		Countrywide Alternative Loan Trust
	4,358,397	6.000%, 1/25/2037		3,848,504
		HomeBanc Mortgage Trust
	2,345,845	5.989%, 4/25/2037^e		1,589,899
		J.P. Morgan Mortgage Trust
	4,743,327	5.003%, 7/25/2035^e		4,388,109
		Merrill Lynch Mortgage Investors, Inc.
	3,872,257	4.870%, 6/25/2035^e		3,145,787
		Thornburg Mortgage Securities Trust
	3,160,721	3.349%, 11/25/2008^b		3,139,768
		Wachovia Mortgage Loan Trust, LLC
	3,413,517	5.562%, 5/20/2036		2,762,330
		Washington Mutual Alternative Loan Trust
	4,396,917	3.415%, 11/1/2008^b		1,984,414
		Washington Mutual Mortgage Pass-Through Certificates
	1,891,688	3.549%, 11/25/2008^b		1,072,230
	2,650,600	4.833%, 9/25/2035		2,357,976

The accompanying Notes to Financial Statements are an integral part of this schedule.

161

Income Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (102.2%)	Value
	Collateralized Mortgage Obligations (4.9%) - continued
		Zuni Mortgage Loan Trust
$	2,237,395	3.389%, 11/25/2008^b,h	$	2,142,427

		Total Collateralized Mortgage Obligations		31,815,596

	Commercial Mortgage-Backed Securities (11.6%)
		Banc of America Commercial Mortgage, Inc.
	2,000,000	5.118%, 7/11/2043^e,f		1,833,530
		Banc of America Large Loan Trust
	1,484,163	4.670%, 11/15/2008^b,e,g		1,294,758
	4,000,000	4.770%, 11/15/2008^b,e,g		3,541,072
		Bear Stearns Commercial Mortgage Securities, Inc.
	3,000,000	4.710%, 11/15/2008^b,e,g		2,713,638
	3,000,000	5.835%, 9/11/2042^f		1,806,189
		Citigroup Commercial Mortgage Trust
	7,500,000	4.700%, 11/17/2008^b,g,h		6,386,235
		Commercial Mortgage Pass-Through Certificates
	180,131	4.660%, 11/15/2008^b,e,g		166,716
	4,000,000	4.690%, 11/15/2008^b,e,g		3,353,776
	7,000,000	4.740%, 11/15/2008^b,e,g		6,017,648
		Credit Suisse Mortgage Capital Certificates
	4,000,000	4.730%, 11/15/2008^b,e,g		3,466,796
		Crown Castle International Corporation
	6,500,000	5.245%, 11/15/2036^g,h		6,241,495
		Greenwich Capital Commercial Funding Corporation
	6,200,000	5.867%, 8/10/2017^e		3,757,752
		J.P. Morgan Chase Commercial Mortgage Securities Corporation
	2,750,000	4.302%, 1/15/2038^e		2,518,178
	5,890,614	5.284%, 5/15/2047^e		5,267,876
	5,000,000	6.007%, 6/15/2049^e		3,769,060
		Merrill Lynch Mortgage Trust
	6,500,000	4.747%, 5/12/2043^e		5,155,040
	5,500,000	5.266%, 1/12/2044		3,759,415
		Wachovia Bank Commercial Mortgage Trust
	10,000,000	4.680%, 11/15/2008^b,e,g		8,485,820
	6,000,000	5.765%, 7/15/2045^e		4,516,968
		Washington Mutual Asset Securities Corporation
	966,278	3.830%, 1/25/2035^g		911,187

		Total Commercial Mortgage-Backed Securities		74,963,149

	Communications Services (9.2%)
		AT&T, Inc.
	2,475,000	5.500%, 2/1/2018		2,102,884
	1,225,000	6.500%, 9/1/2037^e		995,110
	1,000,000	6.400%, 5/15/2038		800,269
		British Telecom plc
	1,925,000	9.125%, 12/15/2030^e		1,743,145
		Citizens Communications Company
	3,690,000	6.250%, 1/15/2013^f		3,053,475
		Comcast Corporation
	3,520,000	6.500%, 1/15/2015^h		3,172,749
	2,700,000	5.900%, 3/15/2016^e		2,323,547
	3,000,000	5.700%, 5/15/2018		2,478,825
	1,300,000	6.400%, 5/15/2038^h		994,293
		Cox Communications, Inc.
	4,000,000	4.625%, 6/1/2013^e		3,386,096
	770,000	5.450%, 12/15/2014^e		653,575
		Deutsche Telekom International Finance BV
	3,500,000	6.750%, 8/20/2018^h		2,917,366
		Intelsat Subsidiary Holding Company, Ltd.
	3,150,000	8.875%, 1/15/2015^g,h		2,677,500
		New Cingular Wireless Services, Inc.
	765,000	8.750%, 3/1/2031^h		711,570
		News America, Inc.
	1,350,000	6.400%, 12/15/2035^h		1,021,861
	1,225,000	6.650%, 11/15/2037		970,272
		Rogers Cable, Inc.
	700,000	6.750%, 3/15/2015^h		625,387
	1,420,000	8.750%, 5/1/2032		1,338,604
		Rogers Communications, Inc.
	2,250,000	6.800%, 8/15/2018^h		1,968,824
		Rogers Wireless Communications, Inc.
	1,300,000	8.000%, 12/15/2012		1,212,250
	2,000,000	6.375%, 3/1/2014^e		1,785,890
	1,800,000	7.500%, 3/15/2015^e		1,688,963
		Telecom Italia Capital SA
	3,550,000	5.250%, 11/15/2013		2,694,578
	1,750,000	5.250%, 10/1/2015		1,200,336
		Telefonica Emisones SAU
	2,600,000	6.221%, 7/3/2017		2,194,452
		Thomson Reuters Corporation
	2,500,000	6.500%, 7/15/2018^f		2,101,925
		Time Warner Cable, Inc.
	2,000,000	5.850%, 5/1/2017^e		1,638,436
	1,950,000	6.750%, 7/1/2018^h		1,672,460
		Time Warner Entertainment Company, LP
	1,150,000	8.375%, 3/15/2023		1,026,249
		Verizon Communications, Inc.
	1,900,000	5.550%, 2/15/2016^f		1,657,769
	1,500,000	5.500%, 2/15/2018		1,258,935
	1,500,000	8.750%, 11/1/2018		1,531,650
	1,000,000	6.900%, 4/15/2038		836,540
	3,100,000	8.950%, 3/1/2039		3,145,973

		Total Communications Services		59,581,758

	Consumer Cyclical (3.4%)
		D.R. Horton, Inc.
	3,500,000	5.375%, 6/15/2012^e		2,485,000
		Ford Motor Credit Company
	4,250,000	7.375%, 10/28/2009		3,527,942
		JC Penney & Company, Inc.
	700,000	7.950%, 4/1/2017		580,355

The accompanying Notes to the Financial Statements are an integral part of this schedule.

162

Income Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (102.2%)	Value
	Consumer Cyclical (3.4%) - continued
		Macy’s Retail Holdings, Inc.
$	2,600,000	7.875%, 7/15/2015^h	$	1,956,859
		McDonald’s Corporation
	2,300,000	5.800%, 10/15/2017^e		2,104,387
	1,400,000	6.300%, 3/1/2038^e		1,222,405
		MGM MIRAGE
	3,160,000	13.000%, 11/15/2013^g,i		2,812,400
		Nissan Motor Acceptance Corporation
	2,650,000	5.625%, 3/14/2011^g		2,710,502
		SLM Private Credit Student Loan Trust
	1,340,304	2.829%, 12/15/2008^b		1,253,184
		Wal-Mart Stores, Inc.
	1,800,000	4.250%, 4/15/2013		1,749,281
	1,930,000	5.875%, 4/5/2027		1,649,500

		Total Consumer Cyclical		22,051,815

	Consumer Non-Cyclical (4.2%)
		AmerisourceBergen Corporation
	2,000,000	5.875%, 9/15/2015^e		1,641,448
		AstraZeneca plc
	2,700,000	5.400%, 9/15/2012^e		2,656,692
		Baxter International, Inc.
	2,215,000	5.900%, 9/1/2016^h		2,068,070
		Bunge Limited Finance Corporation
	3,800,000	5.350%, 4/15/2014^e		2,731,056
		Cargill, Inc.
	3,500,000	5.600%, 9/15/2012^g,h		3,249,183
		Community Health Systems, Inc.
	2,400,000	8.875%, 7/15/2015^e		2,010,000
		General Mills, Inc.
	1,000,000	5.650%, 9/10/2012^e		923,344
	2,400,000	5.200%, 3/17/2015^e		2,077,896
		Johnson & Johnson Company
	370,000	5.950%, 8/15/2037^e		341,815
		Kellogg Company
	3,400,000	4.250%, 3/6/2013^e		3,142,491
		Kroger Company
	1,500,000	6.400%, 8/15/2017^e		1,305,117
	875,000	6.150%, 1/15/2020^e		718,342
		PepsiCo, Inc.
	700,000	7.900%, 11/1/2018		738,509
		Safeway, Inc.
	900,000	6.350%, 8/15/2017^h		778,039
		Schering-Plough Corporation
	2,000,000	6.000%, 9/15/2017^f		1,757,024
		Wyeth
	910,000	5.950%, 4/1/2037^h		738,777

		Total Consumer Non-Cyclical		26,877,803

	Energy (7.6%)
		Apache Corporation
	2,200,000	5.250%, 4/15/2013^e		2,081,440
		CenterPoint Energy Resources Corporation
	3,650,000	6.125%, 11/1/2017^h		2,799,970
		Consolidated Natural Gas Company
	1,100,000	5.000%, 12/1/2014^e		916,392
		Energy Transfer Partners, LP
	3,350,000	6.700%, 7/1/2018^e		2,728,488
		Enterprise Products Operating, LP
	3,100,000	5.600%, 10/15/2014^e		2,597,884
	2,250,000	6.300%, 9/15/2017^e		1,838,788
		EOG Resources, Inc.
	1,500,000	5.875%, 9/15/2017^e		1,326,063
		Magellan Midstream Partners, LP
	1,800,000	6.450%, 6/1/2014		1,656,923
		Marathon Oil Corporation
	1,600,000	6.000%, 10/1/2017^f		1,274,502
		Nexen, Inc.
	735,000	5.650%, 5/15/2017^e		583,693
	1,925,000	6.400%, 5/15/2037^e		1,313,004
		Oneok Partners, LP
	1,750,000	6.850%, 10/15/2037		1,189,153
		Plains All American Pipeline, LP/PAA Finance Corporation
	1,850,000	6.500%, 5/1/2018^g		1,368,885
		Premcor Refining Group, Inc.
	1,500,000	6.125%, 5/1/2011		1,505,293
	1,850,000	6.750%, 5/1/2014		1,659,676
		Quicksilver Resources, Inc.
	2,200,000	7.750%, 8/1/2015		1,529,000
		Ras Laffan Liquefied Natural Gas Company, Ltd. II
	2,550,000	5.298%, 9/30/2020^g		2,224,161
		Ras Laffan Liquefied Natural Gas Company, Ltd. III
	900,000	5.832%, 9/30/2016^g		822,663
		Southern Natural Gas Company
	2,000,000	5.900%, 4/1/2017^g		1,542,472
		Southern Star Central Corporation
	2,400,000	6.750%, 3/1/2016		2,076,000
		Transcontinental Gas Pipe Corporation
	2,000,000	8.875%, 7/15/2012^e		1,941,018
	600,000	6.400%, 4/15/2016^h		517,128
		Transocean, Inc.
	3,100,000	6.000%, 3/15/2018^e		2,652,100
		Weatherford International, Ltd.
	2,500,000	5.150%, 3/15/2013		2,169,335
	1,350,000	6.000%, 3/15/2018		1,031,177
		Western Oil Sands, Inc.
	4,600,000	8.375%, 5/1/2012^e		4,614,380
		XTO Energy, Inc.
	1,900,000	5.300%, 6/30/2015		1,554,960
	1,500,000	6.750%, 8/1/2037		1,111,623
	600,000	6.375%, 6/15/2038		421,326

		Total Energy		49,047,497

	Financials (22.5%)
		Ace INA Holdings, Inc.
	775,000	5.800%, 3/15/2018^f		622,227
		American Express Bank FSB/Salt Lake City, UT
	1,250,000	6.000%, 9/13/2017		934,462
		American Express Centurion Bank
	1,450,000	5.550%, 10/17/2012^f		1,213,286
		American Express Credit Corporation
	1,750,000	7.300%, 8/20/2013^f		1,544,662

The accompanying Notes to Financial Statements are an integral part of this schedule.

163

Income Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (102.2%)	Value
	Financials (22.5%) - continued
		American International Group, Inc.
$	3,000,000	8.250%, 8/15/2018^g	$	1,235,667
		Australia & New Zealand Banking Group, Ltd.
	1,400,000	6.200%, 7/19/2013^f,g		1,263,552
		AXA SA
	2,600,000	6.463%, 12/14/2018^g,h		1,427,062
		Bank of America Corporation
	500,000	6.000%, 9/1/2017^e		437,690
	4,375,000	8.125%, 5/15/2018^f,h		3,390,319
		Bear Stearns Companies, Inc.
	1,200,000	6.950%, 8/10/2012		1,184,112
	2,200,000	6.400%, 10/2/2017^e,h		1,955,439
		BNP Paribas SA
	2,100,000	5.186%, 6/29/2015^e,g		1,367,287
		Capital One Capital IV
	1,600,000	6.745%, 2/17/2037		753,749
		Capmark Financial Group, Inc.
	3,500,000	6.300%, 5/10/2017^f		776,282
		Chubb Corporation
	1,750,000	5.750%, 5/15/2018^f		1,452,370
		CIGNA Corporation
	2,250,000	6.350%, 3/15/2018^e		1,837,582
		CIT Group, Inc.
	3,600,000	7.625%, 11/30/2012^e		2,105,136
		Citigroup Capital XXI
	1,100,000	8.300%, 12/21/2057^h		755,106
		Citigroup, Inc.
	4,500,000	6.500%, 8/19/2013^f		4,265,815
	1,900,000	5.000%, 9/15/2014^f		1,501,880
	2,200,000	6.000%, 8/15/2017^f		1,891,089
	1,850,000	8.400%, 4/30/2018		1,285,935
		CME Group, Inc.
	3,700,000	5.400%, 8/1/2013^h		3,492,793
		Corestates Capital Trust I
	1,000,000	8.000%, 12/15/2026^e,g		744,199
		Countrywide Home Loans, Inc.
	2,250,000	4.125%, 9/15/2009		2,157,739
		Coventry Health Care, Inc.
	1,200,000	5.875%, 1/15/2012^e		971,544
	1,000,000	6.125%, 1/15/2015^e		685,292
	600,000	5.950%, 3/15/2017^e		387,112
		Credit Agricole SA
	2,400,000	6.637%, 5/31/2017^g		1,859,993
		Credit Suisse/New York, NY
	2,500,000	6.000%, 2/15/2018^e		1,918,990
		Endurance Specialty Holdings, Ltd.
	2,800,000	6.150%, 10/15/2015^e		2,179,092
		ERP Operating, LP
	1,500,000	5.125%, 3/15/2016^e		1,021,413
		Fifth Third Bank
	2,000,000	4.200%, 2/23/2010		1,865,414
		General Electric Capital Corporation
	1,630,000	5.625%, 9/15/2017^f		1,332,593
	700,000	6.150%, 8/7/2037^e		514,721
	350,000	5.875%, 1/14/2038		249,669
	2,500,000	6.375%, 11/15/2067^e,f		1,616,563
		General Motors Acceptance Corporation, LLC
	4,550,000	6.000%, 12/15/2011		2,568,079
		Goldman Sachs Group, Inc.
	3,500,000	5.125%, 1/15/2015^h		2,904,500
	1,400,000	6.150%, 4/1/2018^h		1,159,750
	700,000	6.750%, 10/1/2037^e		455,909
		HSBC Capital Funding, LP/Jersey Channel Islands
	2,500,000	9.547%, 6/30/2010^g,h		2,074,593
		HSBC Holdings plc
	815,000	6.500%, 5/2/2036^e		644,811
	1,300,000	6.800%, 6/1/2038^e		1,072,786
		International Lease Finance Corporation
	2,095,000	5.750%, 6/15/2011^e		1,435,513
		J.P. Morgan Chase & Company
	1,700,000	5.750%, 1/2/2013^e		1,617,728
	4,500,000	7.900%, 4/30/2018^f		3,646,980
		Keybank National Association
	1,750,000	5.500%, 9/17/2012^e		1,484,847
		KeyCorp
	800,000	6.500%, 5/14/2013		704,335
		Lehman Brothers Holdings, Inc.
	3,500,000	5.625%, 1/24/2013^j		455,000
		Liberty Property, LP
	1,830,000	5.500%, 12/15/2016^e		1,263,011
		Lincoln National Corporation
	2,220,000	7.000%, 5/17/2016^e		1,043,400
		Merrill Lynch & Company, Inc.
	2,750,000	5.450%, 2/5/2013		2,478,732
	3,000,000	6.875%, 4/25/2018^k		2,664,567
	850,000	6.110%, 1/29/2037^e		562,441
	2,000,000	7.750%, 5/14/2038		1,641,100
		MetLife Capital Trust X
	2,200,000	9.250%, 4/8/2038^g		1,369,368
		MetLife, Inc.
	2,600,000	6.817%, 8/15/2018^e		2,238,561
		Mitsubishi UFG Capital Finance, Ltd.
	4,420,000	6.346%, 7/25/2016^h		3,094,000
		Morgan Stanley
	5,350,000	6.625%, 4/1/2018		4,451,072
		Nationwide Health Properties, Inc.
	3,850,000	6.250%, 2/1/2013^e		3,117,626
		Preferred Term Securities XXIII, Ltd.
	3,261,120	3.019%, 12/22/2008^b,c		1,540,879
		ProLogis
	2,050,000	5.500%, 4/1/2012^e		1,331,401
	1,400,000	5.625%, 11/15/2015^e		746,869
	1,000,000	6.625%, 5/15/2018^k		575,592
		Prudential Financial, Inc.
	1,600,000	6.000%, 12/1/2017		1,215,634
	725,000	5.900%, 3/17/2036^h		428,239
	725,000	5.700%, 12/14/2036^h		447,274
		QBE Capital Funding II, LP
	1,600,000	6.797%, 6/1/2017^e,g		680,000
		RBS Capital Trust I
	2,250,000	5.512%, 9/30/2014^h		1,033,583
		Regency Centers, LP
	1,500,000	5.875%, 6/15/2017		1,142,736
		Regions Financial Corporation
	1,700,000	6.375%, 5/15/2012		1,464,140

The accompanying Notes to the Financial Statements are an integral part of this schedule.

164

Income Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (102.2%)	Value
	Financials (22.5%) - continued
		Reinsurance Group of America, Inc.
$	3,100,000	5.625%, 3/15/2017^e	$	2,508,932
		Resona Bank, Ltd.
	4,000,000	5.850%, 4/15/2016^e,g		2,527,644
		Simon Property Group, LP
	1,485,000	5.750%, 12/1/2015		1,102,912
		SLM Corporation
	2,875,000	5.400%, 10/25/2011^h		2,036,696
	1,400,000	8.450%, 6/15/2018		951,084
		SMFG Preferred Capital GBP 1, Ltd.
	2,340,000	6.078%, 1/25/2017^g		1,608,750
		Swiss RE Capital I, LP
	2,600,000	6.854%, 5/25/2016^g,h		1,424,137
		Travelers Companies, Inc.
	550,000	6.250%, 6/15/2037^h		417,333
		Travelers Property Casualty Corporation
	2,000,000	5.000%, 3/15/2013^e		1,753,398
		United Health Group
	1,500,000	6.500%, 6/15/2037		1,014,044
		UnitedHealth Group, Inc.
	2,200,000	6.000%, 11/15/2017		1,757,131
		Wachovia Bank NA
	2,420,000	4.875%, 2/1/2015		2,069,349
		Wachovia Capital Trust III
	2,225,000	5.800%, 3/15/2011		1,190,375
		Wachovia Corporation
	700,000	7.980%, 3/15/2018		528,696
		WEA Finance, LLC
	3,075,000	7.125%, 4/15/2018^g		2,413,850
		WellPoint, Inc.
	4,000,000	5.000%, 12/15/2014^e		3,453,020
		Wells Fargo & Company
	2,700,000	5.625%, 12/11/2017		2,381,916
		Wells Fargo Capital XIII
	3,500,000	7.700%, 3/26/2013^f		2,861,383
		Wells Fargo Capital XV
	2,600,000	9.750%, 9/26/2013		2,522,000
		Willis North America, Inc.
	2,940,000	6.200%, 3/28/2017^e		2,142,437

		Total Financials		145,617,979

	Foreign (0.2%)
		United Mexican States
	1,900,000	6.050%, 1/11/2040		1,442,480

		Total Foreign		1,442,480

	Mortgage-Backed Securities (10.3%)
		Federal National Mortgage Association Conventional 30- Yr. Pass Through
	53,000,000	5.500%, 11/1/2038ⁱ		51,774,374
	7,500,000	6.000%, 11/1/2038ⁱ		7,495,313
	7,500,000	6.500%, 11/1/2038ⁱ		7,600,785

		Total Mortgage-Backed Securities		66,870,472

	Technology (1.2%)
		Hewlett-Packard Company
	2,100,000	4.500%, 3/1/2013^h		1,953,472
	1,500,000	5.500%, 3/1/2018^e		1,289,429
		International Business Machines Corporation
	2,700,000	7.625%, 10/15/2018^h		2,793,879
	1,800,000	8.000%, 10/15/2038		1,867,014

		Total Technology		7,903,794

	Transportation (3.7%)
		Burlington Northern Santa Fe Corporation
	1,800,000	7.000%, 12/15/2025^e		1,583,503
		Continental Airlines, Inc.
	383,541	7.875%, 7/2/2018^e		222,454
	2,250,000	5.983%, 4/19/2022^e		1,563,750
		Delta Air Lines, Inc.
	4,500,000	7.111%, 9/18/2011^e		3,600,000
		FedEx Corporation
	4,251,785	6.720%, 1/15/2022^e		4,251,845
		Kansas City Southern de Mexico SA de CV
	3,650,000	7.375%, 6/1/2014^h		2,856,125
		Northwest Airlines, Inc.
	5,050,000	6.841%, 4/1/2011^e		4,014,750
		Piper Jaffray Equipment Trust Securities
	2,820,057	6.750%, 4/1/2011^c		2,086,842
		Union Pacific Corporation
	2,800,000	5.450%, 1/31/2013^e		2,582,910
	1,400,000	5.700%, 8/15/2018^f		1,177,506

		Total Transportation		23,939,685

	U.S. Government (7.0%)
		Federal Home Loan Bank
	8,000,000	4.625%, 10/10/2012		8,127,936
		Federal Home Loan Mortgage Corporation
	7,500,000	4.125%, 9/27/2013^k		7,461,818
	3,250,000	5.000%, 12/14/2018^e		2,952,430
		Federal National Mortgage Association
	7,000,000	5.250%, 8/1/2012^l		6,996,710
		U.S. Treasury Bonds
	1,020,000	7.625%, 2/15/2025^l		1,358,193
	175,000	4.750%, 2/15/2037		185,541
	720,000	5.000%, 5/15/2037^k		793,012
	1,430,000	4.375%, 2/15/2038^k		1,434,246
		U.S. Treasury Notes
	3,800,000	2.750%, 2/28/2013^k		3,852,546
	6,210,000	4.000%, 8/15/2018^k		6,218,247
		U.S. Treasury Notes, TIPS
	6,528,207	2.000%, 7/15/2014		5,969,229

		Total U.S. Government		45,349,908

	Utilities (5.6%)
		AES Corporation
	3,700,000	8.000%, 6/1/2020^e,g		2,719,500
		Cleveland Electric Illuminating Company
	1,065,000	5.700%, 4/1/2017^h		848,205
		Columbus Southern Power Company
	1,600,000	6.050%, 5/1/2018		1,331,384

The accompanying Notes to Financial Statements are an integral part of this schedule.

165

Income Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (102.2%)	Value
	Utilities (5.6%) - continued
		Commonwealth Edison Company
$	1,885,000	5.400%, 12/15/2011^e	$	1,763,531
	2,170,000	7.500%, 7/1/2013^e		2,134,907
	1,000,000	6.150%, 9/15/2017^e		851,018
		DTE Energy Company
	1,500,000	6.375%, 4/15/2033^e		962,811
		Exelon Corporation
	2,000,000	4.900%, 6/15/2015^e		1,496,320
		Florida Power Corporation
	1,000,000	6.400%, 6/15/2038^h		879,730
		Illinois Power Company
	2,000,000	6.125%, 11/15/2017		1,624,740
		ITC Holdings Corporation
	2,000,000	5.875%, 9/30/2016^e,g		1,761,538
	2,500,000	6.050%, 1/31/2018^e,g		2,188,060
		MidAmerican Energy Holdings Company
	1,600,000	6.125%, 4/1/2036^e		1,177,744
	2,200,000	6.500%, 9/15/2037^e		1,699,034
		Nevada Power Company
	1,700,000	6.750%, 7/1/2037^e		1,287,213
		Nisource Finance Corporation
	1,700,000	6.400%, 3/15/2018^e		1,231,951
		NRG Energy, Inc.
	1,500,000	7.250%, 2/1/2014^h		1,312,500
	1,000,000	7.375%, 2/1/2016^h		862,500
		Ohio Edison Company
	950,000	6.875%, 7/15/2036^h		729,096
		Power Contract Financing, LLC
	685,988	6.256%, 2/1/2010^c		696,292
		Power Receivables Finance, LLC
	1,480,776	6.290%, 1/1/2012^c		1,541,236
		Progress Energy, Inc.
	725,000	7.000%, 10/30/2031		556,409
		PSEG Power, LLC
	3,200,000	5.000%, 4/1/2014^e		2,603,731
		Southwestern Public Service Company
	1,730,000	6.000%, 10/1/2036		1,255,720
		TXU Corporation
	750,000	5.550%, 11/15/2014		405,960
		Union Electric Company
	1,600,000	6.400%, 6/15/2017^h		1,338,714
		Virginia Electric and Power Company
	700,000	5.950%, 9/15/2017		602,749
	700,000	6.350%, 11/30/2037		535,205

		Total Utilities		36,397,798

		Total Long-Term Fixed Income (cost $795,445,088)		661,898,169


Shares		Preferred Stock (0.1%)
	Financials (0.1%)
	238,000	Federal National Mortgage Association, 8.250%		499,800

		Total Financials		499,800

		Total Preferred Stock (cost $4,475,429)		499,800


Shares		Collateral Held for Securities Loaned (3.3%)^m
	21,097,170	Thrivent Financial Securities Lending Trust		21,097,170

		Total Collateral Held for Securities Loaned (cost $21,097,170)		21,097,170


Shares or Principal Amount		Short-Term Investments (8.1%)^m
		Alcon Capital Corporation
	9,855,000	0.080%, 11/3/2008		9,854,956
		Federal Home Loan Bank Discount Notes
	10,215,000	0.900%, 11/12/2008		10,212,191
	3,302,000	0.500%, 11/14/2008		3,301,404
	1,600,000	1.248%, 12/10/2008ⁿ		1,597,837
		Federal Home Loan Mortgage Corporation Discount Notes
	2,400,000	1.225%, 12/8/2008ⁿ		2,396,978
	5,000,000	2.570%, 12/23/2008		4,981,439
		Federal National Mortgage Association Discount Notes
	6,000,000	1.006%, 11/10/2008		5,998,491
	650,000	1.348%, 12/8/2008ⁿ		649,124
	2,400,000	2.422%, 12/10/2008^f,l,n		2,393,723
		Novartis Finance Corporation
	4,400,000	0.930%, 11/7/2008		4,399,318
	6,179,037	Thrivent Money Market Fund		6,179,037

		Total Short-Term Investments (at amortized cost)		51,964,498

		Total Investments (cost $874,454,757) 113.9%	$	737,015,804

		Other Assets and Liabilities, Net (13.9%)		(89,890,155)

		Total Net Assets 100.0%	$	647,125,649

b	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.

The accompanying Notes to the Financial Statements are an integral part of this schedule.

166

Income Fund

Schedule of Investments as of October 31, 2008


Security	Acquisition Date	Cost
Capitalsource Commercial Loan Trust	4/5/2007	$	2,320,460
Piper Jaffray Equipment Trust Securities	9/13/2006		2,802,069
Power Contract Financing, LLC	6/11/2003		685,880
Power Receivables Finance, LLC	9/30/2003		1,480,341
Preferred Term Securities XXIII, Ltd.	9/14/2006		3,261,120

d	All or a portion of the security is insured or guaranteed.

e	At October 31, 2008, $257,341,202 of investments were earmarked to cover open financial futures contracts.

f	At October 31, 2008, $46,036,448 of investments were earmarked to cover open swap contracts.

h	Designated as cover for long settling trades as discussed in the Notes to Financial Statements.

i	Denotes investments purchased on a when-issued or delayed delivery basis.

j	In bankruptcy.

k	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

l	At October 31, 2008, $3,264,366 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

m	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

n	At October 31, 2008, $6,479,127 of investments were pledged as collateral with the custodian under the agreement between the counterparty, the custodian and the fund for open swap contracts.

Definitions:


TIPS		-		Treasury Inflation Protected Security.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	1,389,496
Gross unrealized depreciation		(139,518,336	)

Net unrealized appreciation (depreciation)		($138,128,840	)
Cost for federal income tax purposes	$	875,144,644

The accompanying Notes to Financial Statements are an integral part of this schedule.

167

Income Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)		Expiration Date	Notional Principal Amount			Value			Unrealized Gain/(Loss)
2-Yr. U.S. Treasury Bond Futures	155		December 2008	$	33,000,005		$	33,298,359		$	298,354
5-Yr. U.S. Treasury Bond Futures	(345	)	December 2008		(38,832,659	)		(39,073,945	)		(241,286	)
10-Yr. U.S. Treasury Bond Futures	(425	)	December 2008		(49,062,961	)		(48,058,206	)		1,004,755
20-Yr. U.S. Treasury Bond Futures	340		December 2008		40,109,395			38,462,500			(1,646,895	)
Total Futures											($585,072	)


Credit Default Swaps and Counterparty	Buy/Sell Protection	Termination Date	Notional Principal Amount		Upfront Payments Received (Made)		Value		Unrealized Gain/(Loss)
CDX HY, Series 10, 5 Year, at 5.00%; Bank of America	Sell	6/20/2013	$	12,830,000	$	1,052,238	($1,997,484	)	($818,700	)
CDX HY, Series 11, 5 Year, at 5.00%; Bank of America	Sell	12/20/2013		9,500,000		1,651,944	(1,769,871	)	(111,417	)
CDX IG Hvol, Series 10, 5 Year, at 3.50%; J.P. Morgan Chase and Co.	Buy	6/20/2013		3,576,679		149,678	225,928		345,519
CDX IG, Series 10, 5 Year, at 1.55%; Bank of America	Sell	6/20/2013		5,758,400		62,756	(147,789	)	(85,763	)
CDX IG, Series 10, 5 Year, at 1.55%; J.P. Morgan Chase and Co.	Sell	6/20/2013		5,758,400		58,003	(147,788	)	(90,313	)
LCDX North America, Series 9, 5 Year, at 2.25%; J.P. Morgan Chase and Co.	Sell	12/20/2012		9,000,000		224,438	(1,195,594	)	(999,586	)
Total Credit Default Swaps							($5,032,598	)	($1,760,260	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Income Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	17,265,511	$	136,517,911	$	147,604,385	6,179,037	$	6,179,037	$	639,630
Thrivent Financial Securities Lending Trust		58,963,653		131,925,388		169,791,871	21,097,170		21,097,170		344,123
Total Value and Dividend Income		76,229,164							27,276,207		983,753

The accompanying Notes to Financial Statements are an integral part of this schedule.

168

Core Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (111.9%)	Value
	Asset-Backed Securities (13.3%)
		Americredit Automobile Receivables Trust
$	4,017,124	2.258%, 11/6/2008^a,b,c	$	3,695,328
		Associates Manufactured Housing Contract Pass-Through Certificates
	976,273	7.900%, 3/15/2027^c		984,803
		Bear Stearns Mortgage Funding Trust
	2,023,648	3.399%, 11/25/2008^b		399,098
		Citibank Credit Card Issuance Trust
	3,000,000	5.650%, 9/20/2019^d		2,216,274
		Countrywide Asset-Backed Certificates
	2,314,729	5.549%, 4/25/2036^a		2,099,336
		Credit Based Asset Servicing and Securitization, LLC
	1,984,357	3.369%, 11/25/2008^b,c		1,929,996
	1,970,914	5.501%, 12/25/2036^c		1,720,578
		Discover Card Master Trust
	3,500,000	5.650%, 3/16/2020^c		2,486,824
		First Franklin Mortgage Loan Asset-Backed Certificates
	2,311,665	3.349%, 11/25/2008^b,e		2,218,583
		First Horizon ABS Trust
	2,874,564	3.389%, 11/25/2008^a,b,d		1,972,799
	2,397,633	3.419%, 11/25/2008^a,b		1,168,904
		GMAC Mortgage Corporation Loan Trust
	3,592,936	3.329%, 11/25/2008^a,b		2,103,323
	376,285	3.359%, 11/25/2008^a,b,d		363,199
	4,383,681	3.439%, 11/25/2008^a,b		2,391,149
		Green Tree Financial Corporation
	829,961	7.650%, 10/15/2027^d		822,200
		Merna Re, Ltd.
	2,300,000	5.512%, 12/31/2008^b,c,f		2,175,800
		PG&E Energy Recovery Funding, LLC
	257,404	3.870%, 6/25/2011^c		256,991
		Popular ABS Mortgage Pass-Through Trust
	562,140	4.000%, 12/25/2034^d		554,440
		Renaissance Home Equity Loan Trust
	5,000,000	5.608%, 5/25/2036^c,d		4,787,415
		Residential Asset Securities Corporation
	272,881	4.160%, 7/25/2030^d		269,971
		Residential Funding Mortgage Securities II
	1,164,602	3.389%, 11/25/2008^a,b,c		1,104,953
		SLM Student Loan Trust
	586,781	3.545%, 1/26/2009^b,d		584,479
		Wachovia Asset Securitization, Inc.
	3,410,758	3.399%, 11/25/2008^a,b,c,f		2,122,648

		Total Asset-Backed Securities		38,429,091

	Basic Materials (0.9%)
		ArcelorMittal
	1,000,000	6.125%, 6/1/2018^d,f		689,052
		Precision Castparts Corporation
	2,000,000	5.600%, 12/15/2013^d		2,030,024

		Total Basic Materials		2,719,076

	Capital Goods (2.4%)
		Caterpillar Financial Services Corporation
	365,000	5.850%, 9/1/2017^d		318,605
	750,000	7.050%, 10/1/2018^d		707,851
		Honeywell International, Inc.
	775,000	5.300%, 3/1/2018^c		681,934
		John Deere Capital Corporation
	1,500,000	5.350%, 1/17/2012^c		1,444,794
		Oakmont Asset Trust
	2,750,000	4.514%, 12/22/2008^d,f		2,750,250
		United Technologies Corporation
	1,150,000	4.875%, 5/1/2015^c		1,047,916

		Total Capital Goods		6,951,350

	Collateralized Mortgage Obligations (6.8%)
		Banc of America Mortgage Securities, Inc.
	3,626,543	4.804%, 9/25/2035^c,d		2,963,041
		Countrywide Alternative Loan Trust
	2,320,120	6.000%, 1/25/2037		2,048,687
		HomeBanc Mortgage Trust
	2,345,845	5.989%, 4/25/2037^d		1,589,899
		J.P. Morgan Alternative Loan Trust
	3,309,368	5.803%, 3/25/2036^d		2,074,272
		Merrill Lynch Mortgage Investors, Inc.
	3,226,881	4.870%, 6/25/2035^c		2,621,489
		Thornburg Mortgage Securities Trust
	2,528,577	3.349%, 11/25/2008^b,c		2,511,815
	2,503,160	3.369%, 11/25/2008^b,d		2,269,450
		Washington Mutual Mortgage Pass-Through Certificates
	2,650,600	4.833%, 9/25/2035^c		2,357,976
		Zuni Mortgage Loan Trust
	1,491,596	3.389%, 11/25/2008^b,c		1,428,284

		Total Collateralized Mortgage Obligations		19,864,913

	Commercial Mortgage-Backed Securities (12.0%)
		Bear Stearns Commercial Mortgage Securities, Inc.
	5,000,000	4.710%, 11/15/2008^b,c,f		4,522,730
	1,750,000	5.835%, 9/11/2042^c,d		1,053,610
		Citigroup Commercial Mortgage Trust
	28,506	4.630%, 11/15/2008^b,c,f		26,045
		Commercial Mortgage Pass-Through Certificates
	150,109	4.660%, 11/15/2008^b,c,f		138,930
	4,000,000	4.690%, 11/15/2008^b,d,f		3,353,776

The accompanying Notes to Financial Statements are an integral part of this schedule.

169

Core Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (111.9%)	Value
	Commercial Mortgage-Backed Securities (12.0%) - continued
		Credit Suisse Mortgage Capital Certificates
$	4,000,000	4.730%, 11/15/2008^b,d,f	$	3,466,796
		Crown Castle International Corporation
	2,000,000	5.245%, 11/15/2036^d,f		1,920,460
		Greenwich Capital Commercial Funding Corporation
	3,500,000	5.867%, 8/10/2017^d		2,121,312
		GS Mortgage Securities Corporation II
	3,000,000	4.175%, 11/6/2008^b,d,f		2,547,327
		J.P. Morgan Chase Commercial Mortgage Securities Corporation
	3,632,546	5.284%, 5/15/2047^d		3,248,524
	2,500,000	6.007%, 6/15/2049^d		1,884,530
		Merrill Lynch Mortgage Trust
	3,500,000	4.747%, 5/12/2043^c		2,775,790
	3,250,000	5.266%, 1/12/2044^c,d		2,221,473
		TIAA Real Estate CDO, Ltd.
	3,500,000	5.815%, 8/15/2039^d		3,117,180
		Wachovia Bank Commercial Mortgage Trust
	3,125,000	5.765%, 7/15/2045^c		2,352,588

		Total Commercial Mortgage-Backed Securities		34,751,071

	Communications Services (2.5%)
		AT&T, Inc.
	300,000	6.500%, 9/1/2037^c,d		243,700
		British Telecom plc
	500,000	9.125%, 12/15/2030^d		452,765
		Citizens Communications Company
	850,000	6.250%, 1/15/2013^d		703,375
		Comcast Corporation
	1,300,000	6.500%, 1/15/2015^d		1,171,754
		New Cingular Wireless Services, Inc.
	520,000	8.750%, 3/1/2031^c		483,682
		News America, Inc.
	510,000	6.400%, 12/15/2035^d		386,036
		Rogers Cable, Inc.
	975,000	6.750%, 3/15/2015^d		871,075
	130,000	8.750%, 5/1/2032^c		122,548
		Telecom Italia Capital SA
	1,175,000	5.250%, 10/1/2015^c		805,940
		Time Warner Cable, Inc.
	750,000	6.750%, 7/1/2018^c		643,254
		Verizon Communications, Inc.
	990,000	5.550%, 2/15/2016^e		863,785
	450,000	8.950%, 3/1/2039		456,673

		Total Communications Services		7,204,587

	Consumer Cyclical (1.9%)
		Ford Motor Credit Company
	1,500,000	7.375%, 10/28/2009^e		1,245,156
		McDonald’s Corporation
	525,000	6.300%, 3/1/2038^e		458,402
		MGM MIRAGE
	1,310,000	13.000%, 11/15/2013^f,g		1,165,900
		Nissan Motor Acceptance Corporation
	750,000	4.625%, 3/8/2010^c,f		754,187
	1,110,000	5.625%, 3/14/2011^c,f		1,135,342
		Wal-Mart Stores, Inc.
	800,000	5.875%, 4/5/2027^c		683,730

		Total Consumer Cyclical		5,442,717

	Consumer Non-Cyclical (1.9%)
		Baxter International, Inc.
	765,000	5.900%, 9/1/2016^c,e		714,254
		HCA, Inc.
	850,000	9.250%, 11/15/2016^d		722,500
		Johnson & Johnson Company
	750,000	5.950%, 8/15/2037^c		692,869
		Kroger Company
	800,000	6.400%, 8/15/2017^c		696,062
		PepsiCo, Inc.
	1,375,000	4.650%, 2/15/2013^d		1,321,264
		Schering-Plough Corporation
	1,200,000	6.000%, 9/15/2017^d		1,054,214
		Wyeth
	340,000	5.950%, 4/1/2037^c		276,027

		Total Consumer Non-Cyclical		5,477,190

	Energy (2.5%)
		Apache Corporation
	1,400,000	5.250%, 4/15/2013^d,e		1,324,553
		CenterPoint Energy Resources Corporation
	1,150,000	6.125%, 11/1/2017^c		882,182
		EOG Resources, Inc.
	1,000,000	5.875%, 9/15/2017^d		884,042
		Forest Oil Corporation
	1,000,000	7.250%, 6/15/2019^d,f		680,000
		Nexen, Inc.
	900,000	5.650%, 5/15/2017^d		714,726
		Ras Laffan Liquefied Natural Gas Company, Ltd. II
	1,200,000	5.298%, 9/30/2020^c,f		1,046,664
		Ras Laffan Liquefied Natural Gas Company, Ltd. III
	375,000	5.832%, 9/30/2016^e,f		342,776
		Transocean, Inc.
	770,000	6.000%, 3/15/2018^c		658,747
		XTO Energy, Inc.
	800,000	5.500%, 6/15/2018^c		629,714
	200,000	6.375%, 6/15/2038^d		140,442

		Total Energy		7,303,846

	Financials (10.6%)
		Ace INA Holdings, Inc.
	775,000	5.800%, 3/15/2018^d		622,227
		American Express Bank FSB/Salt Lake City, UT
	500,000	6.000%, 9/13/2017^c,d		373,785
		American Express Company
	400,000	7.000%, 3/19/2018^d		308,126
		American International Group, Inc.
	650,000	8.250%, 8/15/2018^d,f		267,728

The accompanying Notes to the Financial Statements are an integral part of this schedule.

170

Core Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (111.9%)	Value
	Financials (10.6%) - continued
		Australia & New Zealand Banking Group, Ltd.
$	1,000,000	6.200%, 7/19/2013^d,f	$	902,537
		Bank of America Corporation
	900,000	6.000%, 9/1/2017^c,d		787,841
	200,000	8.125%, 5/15/2018^d		154,986
		Bear Stearns Companies, Inc.
	775,000	6.950%, 8/10/2012^d		764,739
	800,000	6.400%, 10/2/2017^d,e		711,069
		Capmark Financial Group, Inc.
	1,150,000	5.875%, 5/10/2012^d		287,455
	400,000	6.300%, 5/10/2017^d		88,718
		CIT Group, Inc.
	1,175,000	7.625%, 11/30/2012^c		687,093
		Citigroup, Inc.
	1,500,000	6.500%, 8/19/2013^c		1,421,939
	775,000	5.000%, 9/15/2014^c		612,609
		Corestates Capital Trust I
	1,250,000	8.000%, 12/15/2026^c,f		930,249
		General Electric Capital Corporation
	450,000	5.625%, 9/15/2017^c		367,894
		General Motors Acceptance Corporation, LLC
	1,000,000	6.000%, 12/15/2011^d		564,413
		Goldman Sachs Group, Inc.
	1,500,000	5.125%, 1/15/2015^d		1,244,786
	550,000	6.750%, 10/1/2037^d		358,214
		Goldman Sachs Group, Inc., Convertible
	2,000,000	1.000%, 1/31/2015^d,m		1,562,240
	1,850,000	1.000%, 5/7/2015^d,m		1,422,520
		HSBC Holdings plc
	575,000	6.500%, 5/2/2036^c,d		454,928
		International Lease Finance Corporation
	765,000	5.750%, 6/15/2011^d		524,185
		Lehman Brothers Holdings, Inc.
	1,500,000	5.250%, 2/6/2012^h		195,000
		Liberty Property, LP
	630,000	5.500%, 12/15/2016^d		434,807
		Lincoln National Corporation
	850,000	7.000%, 5/17/2016^d		399,500
		Merrill Lynch & Company, Inc.
	1,125,000	5.450%, 2/5/2013^c,d		1,014,027
	675,000	6.875%, 4/25/2018^c		599,528
		Mitsubishi UFG Capital Finance, Ltd.
	1,595,000	6.346%, 7/25/2016^c		1,116,500
		Nationwide Health Properties, Inc.
	1,375,000	6.250%, 2/1/2013^c		1,113,438
		ProLogis
	2,000,000	5.500%, 4/1/2012^d		1,298,928
		Prudential Financial, Inc.
	775,000	6.100%, 6/15/2017^e		621,831
	390,000	5.700%, 12/14/2036^c,d		240,602
		Reinsurance Group of America, Inc.
	950,000	5.625%, 3/15/2017^e		768,866
		Royal Bank of Scotland Group plc
	1,325,000	6.990%, 10/5/2017^d,f		710,174
		State Street Capitol Trust II
	1,200,000	8.250%, 3/15/2011^e		1,033,524
		Swiss RE Capital I, LP
	850,000	6.854%, 5/25/2016^d,f		465,583
		Travelers Companies, Inc.
	350,000	6.250%, 6/15/2037		265,575
		United Health Group
	550,000	6.500%, 6/15/2037^d		371,816
		Wachovia Bank NA
	770,000	4.875%, 2/1/2015^c		658,429
		Wachovia Capital Trust III
	1,895,000	5.800%, 3/15/2011^c		1,013,825
		WEA Finance, LLC
	775,000	7.125%, 4/15/2018^c,f		608,369
		Wells Fargo & Company
	775,000	4.375%, 1/31/2013^c		715,522
	300,000	5.625%, 12/11/2017^c		264,657
		Wells Fargo Capital XV
	900,000	9.750%, 9/26/2013^c		873,000
		Willis North America, Inc.
	760,000	6.200%, 3/28/2017^e		553,827

		Total Financials		30,757,609

	Foreign (0.5%)
		Corporacion Andina de Fomento
	2,000,000	5.750%, 1/12/2017^c		1,510,554

		Total Foreign		1,510,554

	Mortgage-Backed Securities (33.9%)
		Federal National Mortgage Association Conventional 30-Yr. Pass Through
	73,750,000	5.500%, 11/1/2038^g		72,044,531
	11,200,000	6.000%, 11/1/2038^g		11,193,000
	15,000,000	6.500%, 11/1/2038^g		15,201,570

		Total Mortgage-Backed Securities		98,439,101

	Technology (0.6%)
		International Business Machines Corporation
	800,000	7.625%, 10/15/2018^d		827,816
		Oracle Corporation
	1,000,000	5.750%, 4/15/2018^d		875,029

		Total Technology		1,702,845

	Transportation (2.3%)
		Burlington Northern Santa Fe Corporation
	575,000	7.000%, 12/15/2025^c,d		505,841
		Continental Airlines, Inc.
	1,150,000	5.983%, 4/19/2022^d		799,250
		Delta Air Lines, Inc.
	1,550,000	7.111%, 9/18/2011^d		1,240,000
		FedEx Corporation
	1,128,470	6.720%, 1/15/2022^d		1,128,486
		Southwest Airlines Company
	1,812,641	6.150%, 8/1/2022^d		1,418,804
		Union Pacific Corporation
	1,550,000	6.125%, 1/15/2012^c		1,481,825

		Total Transportation		6,574,206

The accompanying Notes to Financial Statements are an integral part of this schedule.

171

Core Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (111.9%)	Value
	U.S. Government (14.8%)
		Federal Home Loan Bank
$	5,000,000	5.330%, 3/6/2012^d	$	5,043,595
	2,000,000	4.625%, 10/10/2012^c		2,031,984
		Federal Home Loan Mortgage Corporation
	2,000,000	5.000%, 12/14/2018^c		1,816,880
		Federal National Mortgage Association
	4,000,000	4.625%, 5/1/2013^d		3,871,240
		U.S. Treasury Bonds
	400,000	4.750%, 2/15/2037^c		424,094
	725,000	5.000%, 5/15/2037^d,i		798,519
	575,000	4.375%, 2/15/2038ⁱ		576,707
		U.S. Treasury Notes
	75,000	4.625%, 8/31/2011^c		80,953
	600,000	2.750%, 2/28/2013ⁱ		608,297
	3,550,000	4.000%, 2/15/2015^c		3,709,750
	4,775,000	3.875%, 5/15/2018^c		4,767,164
	1,580,000	4.000%, 8/15/2018^c		1,582,098
		U.S. Treasury Notes, TIPS
	19,180,095	2.000%, 7/15/2014^c,d,e		17,537,800

		Total U.S. Government		42,849,081

	U.S. Municipals (2.8%)
		California Infrastructure & Economic Bank Revenue Bonds
	3,000,000	5.000%, 7/1/2036^c,j		3,029,340
		Little Rock, Arkansas Sewer Revenue Bonds
	3,000,000	5.000%, 10/1/2037^c		2,694,810
		Missouri Joint Municipal Electric Utility Commission Revenue Bonds (Power Project)
	3,000,000	5.000%, 1/1/2032^e		2,530,140

		Total U.S. Municipals		8,254,290

	Utilities (2.2%)
		Cleveland Electric Illuminating Company
	825,000	5.700%, 4/1/2017^c		657,061
		Commonwealth Edison Company
	965,000	5.400%, 12/15/2011^c		902,816
		Exelon Corporation
	1,500,000	6.750%, 5/1/2011^e		1,430,391
		ITC Holdings Corporation
	775,000	6.050%, 1/31/2018^c,f		678,299
		MidAmerican Energy Holdings Company
	775,000	6.500%, 9/15/2037^d		598,523
		Power Receivables Finance, LLC
	740,388	6.290%, 1/1/2012^k		770,618
		Union Electric Company
	1,150,000	6.400%, 6/15/2017^c		962,200
		Virginia Electric & Power Company
	515,000	6.000%, 1/15/2036^c		389,746

		Total Utilities		6,389,654

		Total Long-Term Fixed Income (cost $371,732,689)		324,621,181


Shares		Preferred Stock (0.7%)
	Financials (0.7%)
	20,100	Allegro Investment Corporation SA TGT, Reverse Convertible, 20.000%^d,f,l,m		759,609
	68,717	Credit Suisse New York, NY, Zero Coupon^c,m		1,049,996
	56,005	Federal National Mortgage Association, 8.250%^d		117,610

		Total Financials		1,927,215

		Total Preferred Stock (cost $3,543,673)		1,927,215


		Contracts Options Purchased (<0.1%)
	510	Call on U.S. Treasury Note Futures $117.50, expires 11/21/2008		79,688

		Total Options Purchased (cost $1,021,530)		79,688


		Collateral Held for Securities Loaned (0.5%)ⁿ
	1,605,479	Thrivent Financial Securities Lending Trust		1,605,479

		Total Collateral Held for Securities Loaned (cost $1,605,479)		1,605,479


Shares or Principal Amount		Short-Term Investments (22.7%)ⁿ
		Alcon Capital Corporation
	4,265,000	0.080%, 11/3/2008		4,264,981
		Federal Home Loan Bank Discount Notes
	13,710,000	1.027%, 11/10/2008^c,d		13,706,480
	15,030,000	1.167%, 11/13/2008^c,e		15,024,154
	2,100,000	1.359%, 12/10/2008^o,p		2,096,908
		Federal Home Loan Mortgage Corporation Discount Notes
	8,000,000	2.570%, 12/23/2008^c		7,970,302
		Federal National Mortgage Association Discount Notes
	2,100,000	1.200%, 11/13/2008^c		2,099,160
	8,000,000	0.450%, 11/17/2008		7,998,400
	900,000	1.667%, 12/10/2008^p		898,375
	11,588,686	Thrivent Money Market Fund		11,588,686

		Total Short-Term Investments (at amortized cost)		65,647,446

		Total Investments (cost $443,550,817) 135.8%	$	393,881,009

		Other Assets and Liabilities, Net (35.8%)		(103,927,682)

		Total Net Assets 100.0%	$	289,953,327

a	All or a portion of the security is insured or guaranteed.

b	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.

c	At October 31, 2008, $125,012,585 of investments were earmarked to cover open financial futures contracts.

d	Designated as cover for long settling trades as discussed in the Notes to Financial Statements.

The accompanying Notes to the Financial Statements are an integral part of this schedule.

172

Core Bond Fund

Schedule of Investments as of October 31, 2008

e	At October 31, 2008, $18,539,882 of investments were earmarked to cover open swap contracts.

g	Denotes investments purchased on a when-issued or delayed delivery basis.

h	In bankruptcy.

i	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.


Security	Acquisition Date	Cost
Power Receivables Finance, LLC	9/30/2003	$	740,170

l	Non-income producing security.

m	These securities are Equity-Linked Structured Securities as discussed in item 2(Q) of the Notes to Financial Statements.

n	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

o	At October 31, 2008, $1,198,233 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

p	At October 31, 2008, $1,797,050 of investments were pledged as collateral with the custodian under the agreement between the counterparty, the custodian and the fund for open swap contracts.

Definitions:


TIPS		-		Treasury Inflation Protected Security.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	1,200,643
Gross unrealized depreciation		(51,291,039	)

Net unrealized appreciation (depreciation)		($50,090,396	)
Cost for federal income tax purposes	$	443,971,405

The accompanying Notes to Financial Statements are an integral part of this schedule.

173

Core Bond Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)	Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
2-Yr. U.S. Treasury Bond Futures	(140)	December 2008	($29,738,479	)	($30,075,936	)		($337,457	)
5-Yr. U.S. Treasury Bond Futures	(195)	December 2008	(21,851,241	)	(22,085,273	)		(234,032	)
10-Yr. U.S. Treasury Bond Futures	(500)	December 2008	(57,822,695	)	(56,539,066	)		1,283,629
20-Yr. U.S. Treasury Bond Futures	100	December 2008	11,794,005		11,312,500			(481,505	)
Total Futures							$	230,635


Credit Default Swaps and Counterparty	Buy/Sell Protection	Termination Date	Notional Principal Amount		Upfront Payments Received (Made)		Value		Unrealized Gain/(Loss)
CDX HY, Series 10, 5 Year, at 5.00%; Bank of America	Sell	6/20/2013	$	4,000,000	$	248,889	($622,754	)	($379,300	)
CDX HY, Series 10, 5 Year, at 5.00%; Bank of America	Sell	6/20/2013		1,000,000		88,194	(155,686	)	(68,835	)
CDX HY, Series 10, 5 Year, at 5.00%; J.P. Morgan Chase & Co.	Sell	6/20/2013		2,000,000		106,945	(311,379	)	(182,163	)
CDX HY, Series 11, 5 Year, at 5.00%; Bank of America	Sell	12/20/2013		3,000,000		530,000	(558,891	)	(22,041	)
CDX IG, Series 10, 5 Year, at 1.55%; Bank of America	Sell	6/20/2013		1,488,400		16,221	(38,200	)	(22,168	)
CDX IG, Series 10, 5 Year, at 1.55%; J.P. Morgan Chase & Co.	Sell	6/20/2013		1,488,400		14,992	(38,200	)	(23,344	)
Total Credit Default Swaps							($1,725,110	)	($697,851	)

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Core Bond Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	32,927,528	$	86,440,137	$	107,778,979	11,588,686	$	11,588,686	$	771,838
Thrivent Financial Securities Lending Trust		28,870,709		60,149,114		87,414,344	1,605,479		1,605,479		136,269
Total Value and Dividend Income		61,798,237							13,194,165		908,107

The accompanying Notes to Financial Statements are an integral part of this schedule.

174

Limited Maturity Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (100.1%)	Value
	Asset-Backed Securities (26.2%)
		Americredit Automobile Receivables Trust
$	1,205,137	2.258%, 11/6/2008^a,b	$	1,108,598
	2,010,690	3.430%, 7/6/2011^a,c		1,932,721
	2,500,000	5.490%, 7/6/2012^a		2,396,335
		Bank of America Credit Card Trust
	4,500,000	4.070%, 7/16/2012^d		4,331,407
		BMW Vehicle Lease Trust
	4,000,000	4.590%, 8/15/2013^e		3,897,912
		Cabela’s Master Credit Card Trust
	4,500,000	4.310%, 12/16/2013^e,f		4,141,089
		Capital Auto Receivables Asset Trust
	3,000,000	5.380%, 7/15/2010		2,970,264
	4,100,006	4.980%, 5/15/2011		4,026,579
		Carmax Auto Owner Trust
	3,750,000	4.960%, 11/17/2008^b,d		3,622,459
		Chase Funding Issuance Trust
	3,750,000	4.960%, 9/17/2012^d		3,561,949
		Citibank Credit Card Issuance Trust
	3,475,000	4.850%, 2/10/2011		3,454,192
		CNH Equipment Trust
	3,000,000	5.160%, 11/17/2008^b,d		2,904,255
	2,949,983	4.400%, 5/16/2011^d		2,906,854
		Countrywide Alternative Loan Trust
	1,830,657	5.500%, 2/25/2036		1,587,967
		Countrywide Asset-Backed Certificates
	1,322,702	5.549%, 4/25/2036^a		1,199,621
	2,269,000	5.683%, 10/25/2046		2,090,527
		Countrywide Home Loans Asset-Backed Securities
	2,000,000	6.085%, 6/25/2021^a		725,352
		CPL Transition Funding, LLC
	1,203,238	5.560%, 1/15/2012		1,228,712
		Credit Acceptance Auto Dealer Loan Trust
	1,209,526	5.320%, 10/15/2012^a,f		1,187,640
		Credit Based Asset Servicing and Securitization, LLC
	1,576,731	5.501%, 12/25/2036^c		1,376,462
		DaimlerChrysler Auto Trust
	940,155	5.330%, 8/8/2010		932,859
	4,500,000	5.000%, 2/8/2012		4,242,065
		Discover Card Master Trust
	4,500,000	5.100%, 10/15/2013^d		4,138,681
		Drive Auto Receivables Trust
	627,528	5.300%, 7/15/2011^a,f		625,355
		Federal Home Loan Mortgage Corporation
	1,975,417	3.299%, 11/25/2008^b,c		1,911,215
		First Franklin Mortgage Loan Asset-Backed Certificates
	86,028	5.500%, 3/25/2036^g,h		9
		First Horizon ABS Trust
	646,092	3.389%, 11/25/2008^a,b		383,867
		Ford Credit Auto Owner Trust
	1,500,000	5.150%, 11/15/2011^d		1,432,386
		GE Commercial Loan Trust
	10,716	4.563%, 1/20/2009^b,f		10,502
		GMAC Mortgage Corporation Loan Trust
	2,694,702	3.329%, 11/25/2008^a,b		1,577,492
	313,571	3.359%, 11/25/2008^a,b		302,666
	1,315,104	3.439%, 11/25/2008^a,b		717,345
	2,500,000	5.750%, 10/25/2036^a		2,010,040
		Harley Davidson Motorcycle Trust
	3,500,000	4.910%, 11/17/2008^b,d		3,390,740
	828,246	5.240%, 1/15/2012^c		824,004
	392,662	3.200%, 5/15/2012		389,365
		Honda Auto Receivables Owner Trust
	2,000,000	4.470%, 1/18/2012		1,913,172
		Household Home Equity Loan Trust
	3,500,000	5.320%, 3/20/2036		3,236,404
	2,000,000	5.660%, 3/20/2036^e		1,915,082
		Merna Re, Ltd.
	3,500,000	5.512%, 12/31/2008^b,d,f		3,311,000
		Merrill Auto Trust Securitization
	4,000,000	5.500%, 3/15/2012^d		3,864,464
		Mortgage Equity Conversion Asset Trust
	2,959,466	2.610%, 11/25/2008^b,d,f		2,826,290
	2,944,380	2.640%, 11/25/2008^b,f		2,811,883
		Nissan Auto Receivables Owner Trust
	128,003	4.740%, 9/15/2009		127,980
	3,000,000	5.030%, 5/16/2011		2,940,951
	3,500,000	4.280%, 7/15/2013		3,182,847
		Nomura Asset Acceptance Corporation
	93,750	3.399%, 11/25/2008^b,f		76,061
		PG&E Energy Recovery Funding, LLC
	286,004	3.870%, 6/25/2011^d		285,545
		Popular ABS Mortgage Pass-Through Trust
	140,535	4.000%, 12/25/2034		138,610
		Renaissance Home Equity Loan Trust
	2,000,000	5.608%, 5/25/2036		1,914,966
		Residential Asset Mortgage Products, Inc.
	1,148,056	4.547%, 12/25/2034		1,048,033
		Residential Asset Securities Corporation
	539,464	5.010%, 4/25/2033		392,331
		Residential Funding Mortgage Securities
	2,653,765	4.470%, 7/25/2018^a		2,500,574
		Santander Drive Auto Receivables Trust
	2,716,783	5.050%, 9/15/2011^a,d		2,683,625
		SLM Student Loan Trust
	176,034	3.545%, 1/26/2009^b,d		175,344
		USAA Auto Owner Trust
	49,190	4.830%, 4/15/2010^d		49,198
	4,000,000	4.500%, 10/15/2013^d		3,773,712

The accompanying Notes to Financial Statements are an integral part of this schedule.

175

Limited Maturity Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (100.1%)	Value
	Asset-Backed Securities (26.2%) - continued
		Wachovia Asset Securitization, Inc.
$	1,279,034	3.399%, 11/25/2008^a,b,d,f	$	795,993
		Wachovia Auto Loan Owner Trust
	1,880,931	5.230%, 8/22/2011^d,f		1,866,762
		Wachovia Auto Owner Trust
	4,500,000	4.810%, 9/20/2012		4,233,451
		Washington Mutual Master Note Trust
	4,000,000	4.590%, 11/17/2008^b,f		3,325,796

		Total Asset-Backed Securities		122,929,560

	Basic Materials (0.8%)
		ArcelorMittal
	1,000,000	5.375%, 6/1/2013^c,f		812,560
		Lubrizol Corporation
	1,000,000	4.625%, 10/1/2009		963,337
		Nucor Corporation
	1,300,000	5.000%, 6/1/2013		1,234,190
		Rio Tinto Finance. Ltd.
	1,000,000	5.875%, 7/15/2013		853,310

		Total Basic Materials		3,863,397

	Capital Goods (1.9%)
		Caterpillar Financial Services Corporation
	500,000	4.850%, 12/7/2012^e		464,474
	1,650,000	6.200%, 9/30/2013ⁱ		1,591,272
		John Deere Capital Corporation
	1,000,000	4.400%, 7/15/2009^c		992,407
	800,000	5.350%, 1/17/2012^e		770,557
		Litton Industries, Inc.
	1,650,000	8.000%, 10/15/2009		1,649,135
		Lockheed Martin Corporation
	1,250,000	4.121%, 3/14/2013		1,158,667
		Oakmont Asset Trust
	1,000,000	4.514%, 12/22/2008^f		999,848
		Textron Financial Corporation
	1,100,000	5.125%, 2/3/2011		982,363

		Total Capital Goods		8,608,723

	Collateralized Mortgage Obligations (6.4%)
		American Home Mortgage Assets
	2,056,854	3.585%, 11/1/2008^b		910,558
		Banc of America Mortgage Securities, Inc.
	1,087,963	4.804%, 9/25/2035		888,913
		Bear Stearns Adjustable Rate Mortgage Trust
	1,437,228	4.625%, 8/25/2010^b		1,227,697
		Chase Mortgage Finance Corporation
	1,605,871	4.568%, 11/25/2008		1,375,152
		Citigroup Mortgage Loan Trust, Inc.
	434,106	5.536%, 3/25/2036		428,857
		Countrywide Alternative Loan Trust
	1,452,799	6.000%, 1/25/2037		1,282,835
		Countrywide Home Loans, Inc.
	1,544,883	5.342%, 3/20/2036^e		942,536
	1,657,779	5.807%, 9/20/2036^d		986,496
		Deutsche Alt-A Securities, Inc.
	2,539,177	4.029%, 11/1/2008^b		1,249,090
		HomeBanc Mortgage Trust
	1,340,483	5.989%, 4/25/2037^d		908,514
		Impac CMB Trust
	480,515	3.579%, 11/25/2008^b,c		266,980
		J.P. Morgan Alternative Loan Trust
	2,478,717	5.803%, 3/25/2036		1,553,630
		J.P. Morgan Mortgage Trust
	2,371,663	5.003%, 7/25/2035^c		2,194,054
		Merrill Lynch Mortgage Investors, Inc.
	2,296,894	4.870%, 6/25/2035		1,865,976
		Residential Accredit Loans, Inc.
	1,246,267	5.600%, 9/25/2035		803,257
		Thornburg Mortgage Securities Trust
	938,685	3.369%, 11/25/2008^b,d		851,044
		Wachovia Mortgage Loan Trust, LLC
	1,300,387	5.562%, 5/20/2036^d		1,052,316
		Washington Mutual Alternative Loan Trust
	2,901,965	3.415%, 11/1/2008^b,d		1,309,713
	1,995,921	3.585%, 11/1/2008^b		971,027
		Washington Mutual Mortgage Pass-Through Certificates
	2,082,177	3.550%, 11/1/2008^b		1,004,175
	859,858	3.549%, 11/25/2008^b,d		487,377
	795,180	4.833%, 9/25/2035^d		707,393
		Washington Mutual, Inc.
	2,416,560	3.405%, 11/1/2008^b,d		1,155,426
	2,484,517	3.485%, 11/1/2008^b		1,148,400
		Wells Fargo Mortgage Backed Securities Trust
	3,500,000	3.698%, 11/25/2008^d		3,435,499
	544,823	4.950%, 3/25/2036		422,873
	660,845	5.093%, 3/25/2036		524,257

		Total Collateralized Mortgage Obligations		29,954,045

	Commercial Mortgage-Backed Securities (11.3%)
		Banc of America Commercial Mortgage, Inc.
	2,600,000	5.001%, 9/10/2010^e		2,444,104
	341,995	4.037%, 11/10/2039^c		338,903
		Banc of America Large Loan Trust
	2,968,325	4.670%, 11/15/2008^b,d,f		2,589,517
	3,000,000	4.770%, 11/15/2008^b,d,f		2,655,804
		Bear Stearns Commercial Mortgage Securities, Inc.
	2,000,000	4.710%, 11/15/2008^b,e,f		1,809,092
	3,628,225	3.869%, 2/11/2041		3,595,154
	3,478,961	5.422%, 9/11/2042		3,198,174
		Commercial Mortgage Pass-Through Certificates
	45,033	4.660%, 11/15/2008^b,f		41,679
	1,000,000	4.690%, 11/15/2008^b,f		838,444
	3,000,000	4.740%, 11/15/2008^b,e,f		2,578,992

The accompanying Notes to the Financial Statements are an integral part of this schedule.

176

Limited Maturity Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (100.1%)	Value
	Commercial Mortgage-Backed Securities (11.3%) - continued
		Credit Suisse First Boston Mortgage Securities Corporation
$	3,000,000	4.609%, 2/15/2038^d	$	2,864,085
	4,000,000	3.382%, 5/15/2038		3,796,372
		Credit Suisse Mortgage Capital Certificates
	1,500,000	4.730%, 11/15/2008^b,e,f		1,300,048
		Crown Castle International Corporation
	2,620,000	5.245%, 11/15/2036^d,f		2,515,803
		General Electric Commercial Mortgage Corporation
	927,444	4.591%, 7/10/2045^e		891,579
		J.P. Morgan Chase Commercial Mortgage Securities Corporation
	1,500,000	4.302%, 1/15/2038		1,373,552
	502,932	2.790%, 1/12/2039		495,350
	4,000,000	5.198%, 12/15/2044		3,743,896
		LB-UBS Commercial Mortgage Trust
	6,490	3.323%, 3/15/2027^c		6,450
	1,123,775	4.207%, 11/15/2027		1,087,938
	1,781,766	4.567%, 6/15/2029^d		1,760,823
	4,500,000	4.187%, 8/15/2029		4,393,714
	685,275	4.741%, 9/15/2040		668,704
		TIAA Real Estate CDO, Ltd.
	4,000,000	5.815%, 8/15/2039^d		3,562,492
		Wachovia Bank Commercial Mortgage Trust
	2,500,903	3.894%, 11/15/2035^d		2,493,440
	266,121	3.958%, 12/15/2035^d		265,335
		Washington Mutual Asset Securities Corporation
	1,565,371	3.830%, 1/25/2035^f		1,476,123

		Total Commercial Mortgage-Backed Securities		52,785,567

	Communications Services (3.3%)
		Ameritech Capital Funding Corporation
	1,200,000	6.250%, 5/18/2009		1,213,162
		AT&T, Inc.
	750,000	4.950%, 1/15/2013^d		694,402
		British Telecom plc
	1,000,000	8.625%, 12/15/2010^e		988,030
		Comcast Cable Communications, Inc.
	1,400,000	6.200%, 11/15/2008^d		1,407,550
	900,000	6.875%, 6/15/2009^e		892,645
		Cox Communications, Inc.
	750,000	7.875%, 8/15/2009^e		717,365
	600,000	4.625%, 1/15/2010		575,137
		GTE Corporation
	1,050,000	7.510%, 4/1/2009^e		1,057,775
		Qwest Corporation
	500,000	5.625%, 11/15/2008^d		499,890
		Rogers Cable, Inc.
	1,120,000	7.875%, 5/1/2012		1,106,873
		SBC Communications, Inc.
	1,000,000	4.125%, 9/15/2009		988,510
		Telecom Italia Capital SA
	1,000,000	4.000%, 11/15/2008^d		999,664
	600,000	6.200%, 7/18/2011^d		509,090
		Telefonos de Mexico SA de CV
	500,000	4.500%, 11/19/2008^d		499,900
		Thomson Reuters Corporation
	1,000,000	5.950%, 7/15/2013		907,191
		Time Warner Cable, Inc.
	1,100,000	5.400%, 7/2/2012^d		986,018
	1,000,000	6.200%, 7/1/2013		912,283
		Verizon Communications, Inc.
	650,000	4.350%, 2/15/2013^d		579,062

		Total Communications Services		15,534,547

	Consumer Cyclical (3.0%)
		CVS Caremark Corporation
	1,300,000	3.111%, 12/1/2008^b,e		1,174,551
		CVS Corporation
	1,200,000	4.000%, 9/15/2009^e		1,157,144
		D.R. Horton, Inc.
	900,000	8.000%, 2/1/2009^c		868,500
		Ford Motor Credit Company
	2,000,000	7.375%, 10/28/2009		1,660,208
		May Department Stores Company
	900,000	4.800%, 7/15/2009		851,495
		McDonald’s Corporation
	1,275,000	4.300%, 3/1/2013		1,252,092
		MGM MIRAGE
	1,840,000	13.000%, 11/15/2013^f,j		1,637,600
		Nissan Motor Acceptance Corporation
	1,200,000	4.625%, 3/8/2010^f		1,206,699
		SLM Private Credit Student Loan Trust
	893,536	2.829%, 12/15/2008^b,d		835,456
		Wal-Mart Stores, Inc.
	700,000	4.250%, 4/15/2013		680,276
		Walt Disney Company
	2,600,000	4.705%, 1/16/2009^b,c		2,515,547

		Total Consumer Cyclical		13,839,568

	Consumer Non-Cyclical (2.0%)
		Abbott Laboratories
	700,000	5.150%, 11/30/2012^c		691,897
		AstraZeneca plc
	625,000	5.400%, 9/15/2012^d		614,975
		Bottling Group, LLC
	1,000,000	6.950%, 3/15/2014		1,021,991
		Bunge Limited Finance Corporation
	1,600,000	4.375%, 12/15/2008^c		1,598,777
		Cargill, Inc.
	1,000,000	5.200%, 1/22/2013^c,f		909,007
		Fortune Brands, Inc.
	890,000	5.125%, 1/15/2011^c,d		823,044
		Kellogg Company
	1,250,000	5.125%, 12/3/2012^d		1,192,657
		Kroger Company
	1,225,000	7.250%, 6/1/2009		1,233,819
		PepsiCo, Inc.
	650,000	4.650%, 2/15/2013		624,597

The accompanying Notes to Financial Statements are an integral part of this schedule.

177

Limited Maturity Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (100.1%)	Value
	Consumer Non-Cyclical (2.0%) - continued
		Safeway, Inc.
$	400,000	6.500%, 11/15/2008^d	$	400,259

		Total Consumer Non-Cyclical		9,111,023

	Energy (1.6%)
		Energy Transfer Partners, LP
	1,000,000	6.000%, 7/1/2013^e		887,080
		Enterprise Products Operating, LP
	500,000	4.625%, 10/15/2009		478,568
		Occidental Petroleum Corporation
	1,000,000	7.000%, 11/1/2013		1,029,060
		Premcor Refining Group, Inc.
	900,000	6.125%, 5/1/2011		903,176
		Ras Laffan Liquefied Natural Gas Company, Ltd. III
	625,000	5.832%, 9/30/2016^f		571,294
		Sempra Energy
	1,600,000	7.950%, 3/1/2010^d		1,608,578
		Transocean, Inc.
	650,000	5.250%, 3/15/2013^d		591,922
		Weatherford International, Ltd.
	1,000,000	5.150%, 3/15/2013		867,734
		Western Oil Sands, Inc.
	650,000	8.375%, 5/1/2012		652,032

		Total Energy		7,589,444

	Financials (11.6%)
		Allstate Life Global Funding Trust
	1,000,000	5.375%, 4/30/2013^e		903,708
		American Express Centurion Bank
	1,000,000	5.200%, 11/26/2010^c		907,744
		American Express Company
	1,650,000	5.875%, 5/2/2013^d		1,379,293
		Australia & New Zealand Banking Group, Ltd.
	1,650,000	6.200%, 7/19/2013^d,f		1,489,186
		Bank of New York Mellon Corporation
	1,600,000	4.950%, 11/1/2012^d,e		1,543,899
		Bear Stearns Companies, Inc.
	1,000,000	4.550%, 6/23/2010		977,604
		Berkshire Hathaway Finance Corporation
	650,000	5.000%, 8/15/2013^c,f		618,965
		Capmark Financial Group, Inc.
	850,000	5.875%, 5/10/2012		212,467
		CIT Group, Inc.
	1,100,000	5.200%, 11/3/2010^c		678,893
	500,000	7.625%, 11/30/2012^d		292,380
		Citigroup, Inc.
	1,600,000	5.125%, 2/14/2011^c		1,516,274
	1,000,000	5.500%, 4/11/2013^e		914,730
	1,650,000	6.500%, 8/19/2013^d		1,564,132
		CME Group, Inc.
	1,300,000	5.400%, 8/1/2013^d		1,227,197
		Corestates Capital Trust I
	300,000	8.000%, 12/15/2026^f		223,260
		Credit Suisse First Boston USA, Inc.
	900,000	2.944%, 12/9/2008^b,e		900,000
		Credit Suisse New York, NY
	1,000,000	5.000%, 5/15/2013^d		901,851
		Developers Diversified Realty Corporation
	600,000	4.625%, 8/1/2010		527,830
		Fifth Third Bancorp
	675,000	6.250%, 5/1/2013^e		585,654
		General Electric Capital Corporation
	900,000	5.200%, 2/1/2011^d		870,472
	1,000,000	4.800%, 5/1/2013^c		898,686
		General Motors Acceptance Corporation, LLC
	1,200,000	6.875%, 8/28/2012^e		656,759
		Goldman Sachs Group, Inc.
	3,500,000	3.290%, 12/23/2008^b		3,306,317
	900,000	6.875%, 1/15/2011^e		877,484
		Goldman Sachs Group, Inc., Convertible
	2,500,000	1.000%, 1/31/2015^e,o		1,952,800
	1,250,000	1.000%, 5/7/2015^o		961,162
		International Lease Finance Corporation
	950,000	5.750%, 6/15/2011^c		650,949
		iSTAR Financial, Inc.
	750,000	4.875%, 1/15/2009^d		622,500
		J.P. Morgan Chase & Company
	1,650,000	6.750%, 2/1/2011^e		1,638,521
	705,000	5.600%, 6/1/2011		691,716
		Lehman Brothers Holdings E-Capital Trust I
	1,500,000	3.589%, 11/19/2008^b,k		150
		Lehman Brothers Holdings, Inc.
	800,000	5.250%, 2/6/2012^k		104,000
		Lincoln National Corporation
	550,000	5.650%, 8/27/2012		520,134
		Merrill Lynch & Company, Inc.
	3,500,000	3.079%, 11/5/2008^b		3,173,142
	1,000,000	6.150%, 4/25/2013		922,701
		Metropolitan Life Global Funding
	1,320,000	5.125%, 4/10/2013^f		1,179,965
		Monumental Global Funding, Ltd.
	670,000	5.500%, 4/22/2013^f		635,249
		Morgan Stanley
	1,750,000	5.033%, 1/15/2009^b		1,614,814
	650,000	5.050%, 1/21/2011		592,216
	650,000	5.250%, 11/2/2012ⁱ		545,469
		Nations Bank Capital Trust IV
	2,700,000	8.250%, 4/15/2027^d		2,239,474
		Northern Trust Company
	1,000,000	5.500%, 8/15/2013		988,960
		Protective Life Secured Trust
	1,000,000	4.000%, 10/7/2009		959,088
		Simon Property Group, LP
	1,700,000	4.600%, 6/15/2010		1,575,279
		SLM Corporation
	1,000,000	4.000%, 1/15/2009^d		953,118
		State Street Capitol Trust II
	1,000,000	8.250%, 3/15/2011^d		861,270
		UFJ Finance Aruba AEC
	1,650,000	8.750%, 11/13/2008		1,647,195

The accompanying Notes to the Financial Statements are an integral part of this schedule.

178

Limited Maturity Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (100.1%)	Value
	Financials (11.6%) - continued
		UnitedHealth Group, Inc.
$	1,000,000	5.500%, 11/15/2012^d	$	883,257
		Wachovia Capital Trust III
	300,000	5.800%, 3/15/2011^d		160,500
		Wachovia Corporation
	700,000	6.150%, 3/15/2009^d		694,174
	1,000,000	5.500%, 5/1/2013		938,849
		Wells Fargo & Company
	1,000,000	2.919%, 12/15/2008^b,e		979,546
	325,000	4.375%, 1/31/2013		300,058
		Wells Fargo Capital XIII
	1,000,000	7.700%, 3/26/2013		817,538
		Wells Fargo Capital XV
	1,000,000	9.750%, 9/26/2013		970,000

		Total Financials		54,748,579

	Foreign (0.4%)
		Corporacion Andina de Fomento
	2,500,000	5.750%, 1/12/2017^e		1,888,193

		Total Foreign		1,888,193

	Mortgage-Backed Securities (3.3%)
		Federal National Mortgage Association
	3,479,548	6.000%, 8/1/2024		3,484,454
		Federal National Mortgage Association Conventional 30-Yr. Pass Through
	2,000,000	6.000%, 11/1/2038^j		1,998,750
	10,000,000	6.500%, 11/1/2038^j		10,134,380

		Total Mortgage-Backed Securities		15,617,584

	Technology (0.9%)
		Hewlett-Packard Company
	1,300,000	4.500%, 3/1/2013^d		1,209,292
		International Business Machines
		Corporation
	2,000,000	6.500%, 10/15/2013		2,057,622
		Sun Microsystems, Inc.
	300,000	7.650%, 8/15/2009^d		299,428
		Xerox Corporation
	900,000	5.500%, 5/15/2012		699,476

		Total Technology		4,265,818

	Transportation (0.9%)
		Delta Air Lines, Inc.
	625,000	7.111%, 9/18/2011^e		500,000
		FedEx Corporation
	700,000	3.500%, 4/1/2009^d		688,667
		Norfolk Southern Corporation
	1,400,000	6.200%, 4/15/2009		1,395,170
		Northwest Airlines, Inc.
	1,085,000	6.841%, 4/1/2011		862,575
		Union Pacific Corporation
	500,000	6.125%, 1/15/2012^d		478,008
	400,000	5.450%, 1/31/2013^d		368,987

		Total Transportation		4,293,407

	U.S. Government (24.4%)
		Federal Farm Credit Bank
	4,000,000	5.375%, 7/18/2011^l		4,186,252
	5,000,000	3.875%, 8/25/2011ⁱ		5,052,755
		Federal Home Loan Bank
	9,650,000	4.250%, 11/20/2009ⁱ		9,754,770
	3,000,000	3.550%, 1/25/2010		3,010,620
	5,000,000	2.750%, 6/18/2010		4,958,875
	5,000,000	3.500%, 7/16/2010ⁱ		5,018,580
	5,000,000	3.375%, 8/13/2010		5,008,875
	6,000,000	3.375%, 10/20/2010		6,012,834
	2,500,000	3.625%, 7/1/2011ⁱ		2,512,465
	5,000,000	3.625%, 9/16/2011ⁱ		5,023,265
	4,000,000	4.625%, 10/10/2012		4,063,968
		Federal Home Loan Mortgage Corporation
	2,000,000	4.750%, 11/3/2009^e		2,033,808
	8,500,000	4.125%, 11/30/2009ⁱ		8,597,274
		Federal National Mortgage Association
	7,500,000	3.875%, 12/10/2009		7,566,982
	5,000,000	2.500%, 4/9/2010		4,953,880
	2,500,000	5.125%, 4/15/2011^e		2,598,195
	5,000,000	4.625%, 5/1/2013		4,839,050
		U.S. Treasury Notes
	12,500,000	2.125%, 1/31/2010ⁱ		12,599,613
	725,000	2.750%, 2/28/2013ⁱ		735,025
		U.S. Treasury Notes, TIPS
	17,436,450	2.000%, 7/15/2014		15,943,454

		Total U.S. Government		114,470,540

	U.S. Municipals (0.8%)
		Denver, Colorado City & County Airport Revenue Bonds
	2,500,000	5.250%, 11/15/2032^d		2,514,525
		Houston, Texas Utility System Revenue Bonds
	650,000	5.000%, 5/15/2011		667,674
		South Carolina State Public Service Authority Revenue Bonds
	650,000	5.750%, 1/1/2014^d,m		682,656

		Total U.S. Municipals		3,864,855

	Utilities (1.3%)
		Carolina Power & Light, Inc.
	1,300,000	5.950%, 3/1/2009^c		1,296,415
		Cleveland Electric Illuminating Company
	235,000	7.430%, 11/1/2009		236,494
		National Rural Utilities
		Cooperative Finance Corporation
	1,350,000	5.500%, 7/1/2013		1,200,655
		Oncor Electric Delivery Company
	1,300,000	5.950%, 9/1/2013^f		1,191,605
		Pacific Gas & Electric Company
	500,000	3.600%, 3/1/2009		495,589
		Power Receivables Finance, LLC
	246,796	6.290%, 1/1/2012^g		256,873
		Virginia Electric & Power Company
	1,000,000	4.500%, 12/15/2010^d		981,184

The accompanying Notes to Financial Statements are an integral part of this schedule.

179

Limited Maturity Bond Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Long-Term Fixed Income (100.1%)	Value
	Utilities (1.3%) - continued
$	640,000	5.100%, 11/30/2012^d	$	583,428

		Total Utilities		6,242,243

		Total Long-Term Fixed Income (cost $510,465,036)		469,607,093


Shares		Preferred Stock (0.4%)
	Financials (0.4%)
	25,125	Allegro Investment Corporation SA TGT, Reverse Convertible, 20.000%^e,f,n,o		949,511
	46,750	Credit Suisse New York, NY, Zero Coupon^e,o		714,340
	72,400	Federal National Mortgage Association, 8.250%		152,040

		Total Financials		1,815,891

		Total Preferred Stock (cost $3,920,193)		1,815,891


Contracts		Options Purchased (<0.1%)
		Call on U.S. Treasury Bond Futures
	410	$117.50, expires 11/21/2008		64,062

		Total Options Purchased (cost $821,230)		64,062


Shares		Collateral Held for Securities Loaned (11.3%)^p
	52,879,250	Thrivent Financial Securities Lending Trust		52,879,250

		Total Collateral Held for Securities Loaned (cost $52,879,250)		52,879,250


Shares or Principal Amount		Short-Term Investments (3.1%)^p
		Alcon Capital Corporation
	3,970,000	0.080%, 11/3/2008		3,969,982
		Federal Home Loan Bank Discount Notes
	1,100,000	1.164%, 12/10/2008^l,q		1,098,613
		Federal Home Loan Mortgage Corporation Discount Notes
	350,000	1.200%, 12/8/2008^q		349,569
		Federal National Mortgage Association Discount Notes
	200,000	1.300%, 12/8/2008^l		199,733
	1,050,000	2.300%, 12/10/2008^l,q		1,047,402
	7,923,037	Thrivent Money Market Fund		7,923,037

		Total Short-Term Investments (at amortized cost)		14,588,336

		Total Investments (cost $582,674,045) 114.9%	$	538,954,632

		Other Assets and Liabilities, Net (14.9%)		(70,068,178)

		Total Net Assets 100.0%	$	468,886,454

a	All or a portion of the security is insured or guaranteed.

b	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.

c	Designated as cover for long settling trades as discussed in the Notes to Financial Statements.

d	At October 31, 2008, $110,534,293 of investments were earmarked to cover open financial futures contracts.

e	At October 31, 2008, $46,579,752 of investments were earmarked to cover open swap contracts.

Denotes restricted securities. Restricted securities are investment securities which have been deemed illiquid and cannot be offered for public sale without first being registered under the Securities Act of 1933. The following table indicates the acquisition date and cost of restricted securities Limited Maturity Bond Fund owned as of October 31, 2008.


Security	Acquisition Date	Cost
First Franklin Mortgage Loan Asset-Backed Certificates	4/19/2008	$	85,895
Power Receivables Finance, LLC	9/30/2003		246,724

h	Defaulted security.

i	All or a portion of the security is on loan as discussed in item 2(M) of the Notes to Financial Statements.

j	Denotes investments purchased on a when-issued or delayed delivery basis.

k	In bankruptcy.

l	At October 31, 2008, $1,202,405 of investments were held on deposit with the counterparty and pledged as the initial margin deposit for open financial futures contracts.

n	Non-income producing security.

o	These securities are Equity-Linked Structured Securities as discussed in item 2(Q) of the Notes to Financial Statements.

p	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

q	At October 31, 2008, $1,597,568 of investments were pledged as collateral with the custodian under the agreement between the counterparty, the custodian and the fund for open swap contracts.

Definitions:


TIPS	-	Treasury Inflation Protected Security.
LIBOR	-	London Interbank Offered Rate.

Gross unrealized appreciation and depreciation of investments, based on cost for federal income tax purposes, were as follows:


Gross unrealized appreciation	$	1,621,454
Gross unrealized depreciation		(45,447,517	)

Net unrealized appreciation (depreciation)		($43,826,063	)
Cost for federal income tax purposes	$	582,780,695

The accompanying Notes to the Financial Statements are an integral part of this schedule.

180

Limited Maturity Bond Fund

Schedule of Investments as of October 31, 2008


Futures	Number of Contracts Long/(Short)		Expiration Date	Notional Principal Amount		Value		Unrealized Gain/(Loss)
2-Yr. U.S. Treasury Bond Futures	(115	)	December 2008	($24,466,993	)	($24,705,234	)	($238,241	)
5-Yr. U.S. Treasury Bond Futures	(355	)	December 2008	(39,717,315	)	(40,206,523	)	(489,208	)
10-Yr. U.S. Treasury Bond Futures	(275	)	December 2008	(31,802,482	)	(31,096,485	)	705,997
20-Yr. U.S. Treasury Bond Futures	35		December 2008	4,127,902		3,959,375		(168,527	)
Total Futures								($189,979	)


Credit Default Swaps and Counterparty	Buy/Sell Protection	Termination Date	Notional Principal Amount		Upfront Payments Received (Made)		Value		Unrealized Gain/(Loss)
CDX HY, Series 10, 5 Year, at 5.00%; Bank of America	Sell	6/20/2013	$	1,000,000	$	88,194	($155,686	)	($68,835	)
CDX HY, Series 10, 5 Year, at 5.00%; J.P. Morgan Chase and Co.	Sell	6/20/2013		2,000,000		106,944	(311,380	)	(182,164	)
CDX HY, Series 11, 5 Year, at 5.00%; Bank of America	Sell	12/20/2013		4,500,000		795,000	(838,337	)	(33,062	)
CDX IG, Series 10, 5 Year, at 1.55%; Bank of America	Sell	6/20/2013		2,440,000		26,592	(62,622	)	(36,340	)
CDX IG, Series 10, 5 Year, at 1.55%; J.P. Morgan Chaseand Co.	Sell	6/20/2013		2,440,000		24,578	(62,622	)	(38,268	)
LCDX, N.A., Index Series 8, 5 Year, at 1.20%; Bank of America	Sell	6/20/2012		1,615,000		21,375	(212,165	)	(220,826	)
LCDX, N.A., Index Series 8, 5 Year, at 1.20%; J.P. Morgan Chase and Co.	Sell	6/20/2012		1,615,000		21,375	(212,166	)	(219,743	)
Total Credit Default Swaps							($1,854,978	)	($799,238	)


Interest Rate Swaps and Counterparty	Fund Receives		Fund Pays	Termination Date	Notional Principal Amount		Upfront Payments Received (Made)	Value		Unrealized Gain/(Loss)
Bank of America, N.A., 2 Year	5.306	%	3 Month LIBOR	6/29/2009	$	15,000,000	N/A	$	262,160	$	262,160
Bank of America, N.A., 2 Year	5.275	%	3 Month LIBOR	5/29/2009		11,000,000	N/A		179,235		179,235
Total Interest Rate Swaps								$	441,395	$	441,395

Investment in Affiliates

A summary of transactions for the fiscal year to date, in Limited Maturity Bond Fund, is as follows:


Fund	Value October 31, 2007		Gross Purchases and Additions		Gross Sales and Reductions		Balance of Shares Held at October 31, 2008	Value October 31, 2008		Income Earned November 1, 2007- October 31, 2008
Money Market	$	28,229,455	$	144,571,171	$	164,877,589	7,923,037	$	7,923,037	$	757,954
Thrivent Financial Securities Lending Trust		14,722,625		210,466,803		172,310,178	52,879,250		52,879,250		349,421
Total Value and Dividend Income		42,952,080							60,802,287		1,107,375

The accompanying Notes to Financial Statements are an integral part of this schedule.

181

Money Market Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Certificates of Deposit (0.9%)^a	Value
		US Bank NA
$	13,500,000	2.950%, 3/11/2009	$	13,500,000

		Total Certificates of Deposit		13,500,000


		Commercial Paper (78.5%)^a
	Asset-Backed Commercial Paper (2.9%)
		GOVCO, Inc.
	10,115,000	2.750%, 11/20/2008^b		10,100,319
	13,510,000	3.050%, 12/10/2008^b		13,465,361
	6,750,000	3.020%, 12/18/2008^b		6,723,386
	13,600,000	2.600%, 1/28/2009^b		13,513,565

		Total Asset-Backed Commercial Paper		43,802,631

	Banking-Domestic (4.8%)
		Bank of America Corporation
	16,890,000	2.955%, 3/17/2009		16,701,451
		BNP Paribas Financial
	16,880,000	2.835%, 12/30/2008		16,801,571
		J.P. Morgan Chase & Company
	6,070,000	2.740%, 12/8/2008		6,052,906
		River Fuel Company No. 2, Inc.
	17,000,000	3.050%, 12/4/2008^b		16,952,471
		River Fuel Trust No. 1
	17,000,000	3.050%, 12/5/2008^b		16,951,031

		Total Banking-Domestic		73,459,430

	Banking-Foreign (6.9%)
		Bank of Scotland plc
	16,875,000	2.790%, 11/28/2008		16,839,689
	16,900,000	2.785%, 12/11/2008		16,847,704
		BNP Paribas Financial
	22,130,000	0.250%, 11/3/2008		22,129,692
		DnB NORBank ASA
	16,860,000	2.710%, 11/12/2008		16,846,039
	16,875,000	2.805%, 12/29/2008		16,798,739
		Svenska Handelsbanken AB
	16,900,000	3.150%, 5/26/2009^c		16,900,000

		Total Banking-Foreign		106,361,863

	Basic Industry (2.4%)
		BASF AG
	20,565,000	3.350%, 11/4/2008		20,559,259
		Praxair, Inc.
	16,325,000	2.250%, 11/21/2008		16,304,594

		Total Basic Industry		36,863,853

	Consumer Cyclical (1.2%)
		Toyota Credit Puerto Rico
	5,400,000	2.530%, 11/25/2008		5,390,892
	13,510,000	2.700%, 3/23/2009		13,366,118

		Total Consumer Cyclical		18,757,010

	Education (3.8%)
		Northwestern University
	7,500,000	2.400%, 11/18/2008		7,491,500
	7,000,000	2.600%, 11/19/2008		6,990,900
		Yale University
	14,000,000	3.700%, 11/6/2008		13,992,805
	23,490,000	3.126%, 11/13/2008		23,465,526
	6,745,000	2.800%, 12/9/2008		6,725,065

		Total Education		58,665,796

	Finance (28.2%)
		Barton Capital Corporation
	9,660,000	2.789%, 12/8/2008^b		9,632,312
	16,770,000	4.200%, 12/12/2008^b		16,689,783
	17,140,000	4.100%, 12/17/2008^b		17,050,206
	16,970,000	2.700%, 12/23/2008^b		16,903,817
		Bryant Illinois Park Fund
	16,985,000	3.000%, 12/9/2008^b		16,931,214
	16,765,000	4.250%, 12/12/2008^b		16,683,853
	17,140,000	4.000%, 12/30/2008^b		17,027,638
		Chariot Funding, LLC
	17,000,000	3.000%, 11/26/2008^b		16,964,583
		Enterprise Funding Corporation
	17,595,000	2.649%, 11/19/2008^b		17,571,691
	6,965,000	3.800%, 12/4/2008^b		6,940,739
	5,000,000	3.800%, 12/5/2008^b		4,982,056
		Falcon Asset Securitization Corporation
	17,720,000	3.700%, 11/17/2008^b		17,690,860
	7,970,000	2.700%, 11/25/2008^b		7,955,654
		General Electric Capital Corporation
	13,500,000	2.820%, 3/11/2009		13,362,525
		HSBC Finance Corporation
	16,885,000	2.950%, 3/11/2009		16,705,128
		ING US Funding, LLC
	16,880,000	2.975%, 3/12/2009		16,697,262
		Kitty Hawk Funding Corporation
	20,420,000	2.800%, 11/17/2008^b		20,394,588
	2,000,000	2.800%, 11/19/2008^b		1,997,200
	2,279,000	3.750%, 12/8/2008^b		2,270,216
	7,993,000	3.000%, 12/18/2008^b		7,961,694
	2,812,000	4.150%, 12/19/2008^b		2,796,440
		Old Line Funding Corporation
	13,500,000	2.790%, 11/12/2008^b		13,488,491
	16,860,000	2.780%, 11/17/2008^b		16,839,169
	16,915,000	3.700%, 12/15/2008^b		16,838,507
	16,770,000	4.000%, 12/19/2008^b		16,680,560
	10,200,000	2.600%, 2/20/2009^b		10,118,230
		Private Export Funding Corporation
	5,700,000	2.000%, 11/3/2008		5,699,367
		Ranger Funding Company
	5,440,000	3.000%, 12/16/2008^b		5,419,600
		Sheffield Receivables Corporation
	13,610,000	2.800%, 12/4/2008^b		13,575,068
	16,765,000	4.250%, 12/11/2008^b		16,685,832
		Thunder Bay Funding, Inc.
	10,601,000	0.500%, 11/3/2008^b		10,600,706
	13,500,000	2.790%, 11/12/2008^b		13,488,491
	10,130,000	2.780%, 12/15/2008^b		10,095,580
		Yorktown Capital, LLC
	16,875,000	2.740%, 11/19/2008^b		16,851,881

		Total Finance		431,590,941

	Insurance (3.5%)
		Swiss Reinsurance Company
	16,860,000	2.750%, 11/13/2008		16,844,545
	20,260,000	2.720%, 11/21/2008		20,229,385

The accompanying Notes to Financial Statements are an integral part of this schedule.

182

Money Market Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Commercial Paper (78.5%)^a	Value
	Insurance (3.5%) - continued
$	2,500,000	3.000%, 2/12/2009	$	2,478,542
	13,510,000	3.020%, 3/16/2009		13,356,999

		Total Insurance		52,909,471

	U.S. Government (20.1%)
		Federal Home Loan Bank Discount Notes
	10,000,000	1.000%, 11/5/2008		9,998,889
	10,190,000	3.150%, 12/31/2008		10,136,502
	10,230,000	2.550%, 2/17/2009		10,151,740
	6,750,000	2.750%, 3/2/2009		6,687,609
	11,280,000	2.544%, 4/14/2009		11,149,256
		Federal Home Loan Mortgage Corporation
	10,250,000	4.875%, 2/17/2009		10,315,108
		Federal Home Loan Mortgage Corporation Discount Notes
	16,970,000	2.550%, 11/25/2008		16,941,151
	8,000,000	2.760%, 12/15/2008		7,973,013
	10,190,000	2.660%, 12/22/2008		10,151,601
	34,984,000	2.765%, 12/26/2008		34,836,236
	10,140,000	2.600%, 12/29/2008		10,097,525
	30,580,000	2.604%, 2/24/2009		30,325,582
	2,000,000	3.000%, 3/2/2009		1,979,833
	16,930,000	3.050%, 3/30/2009		16,716,282
	6,800,000	2.250%, 3/31/2009		6,736,250
		Federal National Mortgage Association Discount Notes
	13,500,000	2.698%, 12/22/2008		13,448,401
	20,380,000	2.800%, 12/24/2008		20,295,989
	10,165,000	2.600%, 12/31/2008		10,120,952
	16,900,000	2.250%, 2/17/2009		16,785,925
	6,400,000	2.700%, 2/27/2009		6,343,360
	13,600,000	2.700%, 3/16/2009		13,462,300
	17,000,000	2.500%, 3/18/2009		16,838,264
	10,245,000	3.000%, 3/19/2009		10,127,183
	6,450,000	2.870%, 5/1/2009		6,356,928

		Total U.S. Government		307,975,879

	U.S. Municipal (4.7%)
		Alaska Housing Financing
	17,550,000	3.300%, 11/13/2008		17,530,695
	10,130,000	2.730%, 12/5/2008		10,103,881
		California State Public Works Board Lease Revenue Bonds
	6,740,000	2.800%, 11/10/2008		6,740,000
	20,400,000	3.890%, 12/4/2008		20,400,000
		State of Michigan Regional Authority General Obligation Bonds
	16,870,000	2.800%, 11/4/2008		16,870,000

		Total U.S. Municipal		71,644,576

		Total Commercial Paper		1,202,031,450


		Variable Rate Notes (21.3%)^a
	Banking-Domestic (12.0%)
		Bank of America Corporation
	10,000,000	2.998%, 11/6/2008^d		10,000,000
		Bank of America NA
	10,140,000	4.350%, 1/3/2009^d		10,140,000
		Bank of New York Company, Inc.
	9,250,000	4.304%, 11/10/2008^c,d		9,250,000
		Barclays Bank plc NY
	10,120,000	3.253%, 11/12/2008^d		10,120,000
		Bear Stearns & Company, Inc.
	10,200,000	3.852%, 12/30/2008^b,d		10,177,500
		Branch Banking and Trust Company
	13,515,000	3.213%, 12/4/2008^d		13,515,000
		Deutsche Bank AG/NY
	13,530,000	3.414%, 12/22/2008^d		13,530,000
		J.P. Morgan Chase & Company
	20,360,000	3.254%, 12/22/2008^d		20,363,411
		Rabobank Nederland NV/NY
	13,690,000	2.784%, 11/17/2008^c,d		13,690,000
		Royal Bank of Canada NY
	10,150,000	3.104%, 11/17/2008^c,d		10,150,000
	13,510,000	3.215%, 1/2/2009^d		13,510,000
		Svenska Handlesbanken NY
	20,230,000	3.161%, 11/26/2008^d		20,230,000
		Wachovia Bank
	10,130,000	4.418%, 1/5/2009^d		10,130,000
		Wells Fargo & Company
	19,225,000	4.710%, 11/17/2008^c,d		19,225,000

		Total Banking-Domestic		184,030,911

	Banking-Foreign (1.5%)
		ING Bank NV
	13,520,000	3.726%, 12/29/2008^c,d		13,520,000
		Societe Generale
	10,120,000	3.285%, 12/4/2008^c,d		10,120,000

		Total Banking-Foreign		23,640,000

	Basic Industry (1.4%)
		BASF Finance Europe NV
	20,620,000	4.513%, 12/19/2008^c,d		20,620,000

		Total Basic Industry		20,620,000

	Consumer Cyclical (2.6%)
		American Honda Finance Corporation
	10,150,000	2.924%, 11/5/2008^c,d		10,150,000
	4,760,000	2.874%, 12/9/2008^c,d		4,760,860
	18,230,000	4.419%, 1/8/2009^c,d		18,230,000
	6,760,000	4.949%, 1/14/2009^c,d		6,760,000

		Total Consumer Cyclical		39,900,860

	Finance (0.9%)
		Procter & Gamble International Funding SCA
	13,530,000	2.879%, 11/19/2008^d		13,530,000

		Total Finance		13,530,000

	Insurance (1.1%)
		Allstate Life Global Funding Trust
	16,900,000	3.454%, 12/22/2008^d		16,900,000

		Total Insurance		16,900,000

	U.S. Government (1.8%)
		Federal Home Loan Bank
	6,750,000	0.850%, 11/3/2008^d		6,750,000
	6,900,000	4.038%, 1/5/2009^d		6,899,522

The accompanying Notes to Financial Statements are an integral part of this schedule.

183

Money Market Fund

Schedule of Investments as of October 31, 2008


Principal Amount		Variable Rate Notes (21.3%)^a	Value
	U.S. Government (1.8%) - continued
		Federal Home Loan Mortgage Corporation
$	13,500,000	3.306%, 12/26/2008^d	$	13,498,570

		Total U.S. Government		27,148,092

		Total Variable Rate Notes		325,769,863

		Total Investments (at amortized cost) 100.7%	$	1,541,301,313

		Other Assets and Liabilities, Net (0.7)%		(11,035,923)

		Total Net Assets 100.0%	$	1,530,265,390

a	The interest rate shown reflects the yield, coupon rate or, for securities purchased at a discount, the discount rate at the date of purchase.

b	Denotes investments that benefit from credit enhancement or liquidity support provided by a third party bank or institution.

d	Denotes variable rate obligations for which the current yield and next scheduled reset date are shown.


Cost for federal income tax purposes		$	1,541,301,313

The accompanying Notes to the Financial Statements are an integral part of this schedule.

184

[THIS PAGE INTENTIONALLY LEFT BLANK]

185

Thrivent Mutual Funds

Statement of Assets and Liabilities


*As of October 31, 2008*	Aggressive Allocation Fund			Moderately Aggressive Allocation Fund			Moderate Allocation Fund			Moderately Conservative Allocation Fund
Assets
Investments at cost	$	459,988,325		$	1,064,828,398		$	1,018,620,513		$	399,712,873
Investments in securities at market value		1,348,111			11,967,249			19,827,936			11,691,680
Investments in affiliates at market value		313,185,551			742,098,870			747,388,695			313,650,481
Investments at Market Value		314,533,662			754,066,119			767,216,631			325,342,161
Cash		62			281			438			125
Dividends and interest receivable		—			37,462			72,324			37,805
Prepaid expenses		2,283			3,629			3,580			2,206
Receivable for investments sold		—			—			308,169			—
Receivable for fund shares sold		864,657			997,706			257,185			540,590
Receivable for forward contracts		—			—			—			—
Receivable for variation margin		227,905			835,010			1,093,865			505,950
Total Assets		315,628,569			755,940,207			768,952,192			326,428,837
Liabilities
Accrued expenses		70,990			113,098			90,771			42,260
Other liabilities		—			—			—			—
Payable for investments purchased		771,302			929,641			—			265,328
Payable upon return of collateral for securities loaned		—			—			—			—
Payable for fund shares redeemed		81,115			79,049			560,627			241,802
Payable for forward contracts		—			—			—			—
Payable to affiliate		100,524			268,868			292,294			116,096
Total Liabilities		1,023,931			1,390,656			943,692			665,486
Net Assets
Capital stock (beneficial interest)		444,079,810			1,045,167,447			1,019,197,634			402,370,294
Accumulated undistributed net investment income/(loss)		239,864			7,679,490			1,240,131			730,721
Accumulated undistributed net realized gain/(loss)		15,602,265			12,838,636			(732,941	)		(2,094,715	)
Net unrealized appreciation/(depreciation) on:
Investments		—			138,817			283,996			137,410
Affiliated investments		(145,454,663	)		(310,901,096	)		(251,687,878	)		(74,508,122	)
Futures contracts		137,362			(373,743	)		(292,442	)		(872,237	)
Foreign currency forward contracts		—			—			—			—
Foreign currency transactions		—			—			—			—
Total Net Assets	$	314,604,638		$	754,549,551		$	768,008,500		$	325,763,351
Class A Share Capital	$	264,196,147		$	698,349,835		$	739,643,364		$	314,698,748
Shares of beneficial interest outstanding (Class A)		31,983,260			83,536,171			87,881,152			35,976,747
Net asset value per share	$	8.26		$	8.36		$	8.42		$	8.75
Maximum public offering price	$	8.74		$	8.85		$	8.91		$	9.26
Class B Share Capital	$	—		$	—		$	—		$	—
Shares of beneficial interest outstanding (Class B)		—			—			—			—
Net asset value per share	$	—		$	—		$	—		$	—
Institutional Class Share Capital	$	50,408,491		$	56,199,716		$	28,365,136		$	11,064,603
Shares of beneficial interest outstanding (Institutional Class)		6,063,270			6,679,421			3,364,080			1,262,287
Net asset value per share	$	8.31		$	8.41		$	8.43		$	8.77

The accompanying Notes to Financial Statements are an integral part of this schedule.

186

Thrivent Mutual Funds

Statement of Assets and Liabilities - continued



Technology Fund		Partner Small Cap Growth Fund			Partner Small Cap Value Fund			Small Cap Stock Fund			Small Cap Index Fund			Mid Cap Growth Fund			Partner Mid Cap Value Fund

$	27,665,255	$	105,165,746		$	192,456,392		$	468,989,953		$	32,101,428		$	334,467,845		$	99,455,852
	19,054,015		67,734,558			126,202,751			363,476,948			25,708,243			207,762,418			70,242,813
	3,319,276		21,082,991			36,325,763			70,696,727			3,789,799			51,623,313			9,074,025
	22,373,291		88,817,549			162,528,514			434,173,675			29,498,042			259,385,731			79,316,838
	—		—			—			771			—			—			—
	10,945		39,092			116,071			244,389			30,013			144,948			113,630
	1,412		1,531			1,675			2,511			1,419			2,069			1,453
	2,320,896		385,692			21,582			14,151,714			333,300			—			655,501
	9,223		7,726			307,345			74,924			15,086			21,727			17,460
	131,805		—			—			—			—			—			—
	—		148,000			—			241,861			30,086			—			—
	24,847,572		89,399,590			162,975,187			448,889,845			29,907,946			259,554,475			80,104,882

	33,028		22,708			38,415			139,225			32,714			101,342			24,730
	—		—			—			—			21,966			—			—
	2,140,572		982,509			629,989			42,176,487			137,238			—			460,841
	1,705,385		14,040,435			31,225,748			54,683,469			3,416,960			43,949,649			2,746,527
	26,092		800			42,828			171,307			11,063			52,278			18,731
	135,149		—			—			—			—			—			—
	8,907		59,476			95,041			316,411			7,752			156,320			50,547
	4,049,133		15,105,928			32,032,021			97,486,899			3,627,693			44,259,589			3,301,376

	60,799,236		108,684,697			152,408,144			458,465,672			25,401,635			304,497,885			108,034,273
	(10,804)		(26,069	)		1,029,078			682,683			161,636			(25,883	)		576,607
	(34,697,812)		(17,240,759	)		7,433,822			(72,929,131	)		3,309,584			(14,095,002	)		(11,668,360	)

	(5,291,964)		(16,348,197	)		(29,927,878	)		(34,816,278	)		(2,603,386	)		(75,082,114	)		(20,139,014	)
	—		—			—			—			—			—			—
	—		(776,010	)		—			—			10,784			—			—
	(3,344)		—			—			—			—			—			—
	3,127		—			—			—			—			—			—
$	20,798,439	$	74,293,662		$	130,943,166		$	351,402,946		$	26,280,253		$	215,294,886		$	76,803,506
$	19,151,529	$	9,625,248		$	54,295,492		$	241,884,273		$	26,280,253		$	165,013,929		$	7,364,290
	8,141,603		1,246,522			4,925,638			23,411,153			2,705,487			16,119,019			933,880
$	2.35	$	7.72		$	11.02		$	10.33		$	9.71		$	10.24		$	7.89
$	2.49	$	8.17		$	11.66		$	10.93		$	10.28		$	10.84		$	8.35
$	366,589	$	—		$	1,249,979		$	2,848,610		$	—		$	5,094,190		$	—
	166,139		—			122,517			329,486			—			562,008			—
$	2.21	$	—		$	10.20		$	8.65		$	—		$	9.06		$	—
$	1,280,321	$	64,668,414		$	75,397,695		$	106,670,063		$	—		$	45,186,767		$	69,439,216
	511,852		8,298,534			6,538,712			9,332,322			—			4,021,045			8,772,087
$	2.50	$	7.79		$	11.53		$	11.43		$	—		$	11.24		$	7.92

The accompanying Notes to Financial Statements are an integral part of this schedule.

187

Thrivent Mutual Funds

Statement of Assets and Liabilities - continued


*As of October 31, 2008*	Mid Cap Stock Fund			Mid Cap Index Fund			Partner Worldwide Allocation Fund			Partner International Stock Fund
Assets
Investments at cost	$	992,576,707		$	41,074,001		$	95,903,641		$	556,138,665
Investments in securities at market value		723,082,051			32,106,842			57,092,291			390,162,116
Investments in affiliates at market value		79,325,476			3,384,605			5,901,139			14,775,885
Investments at Market Value		802,407,527			35,491,447			62,993,430			404,938,001
Cash		3,978			—			30,012	^(a)		12,319	^(b)
Dividends and interest receivable		409,733			30,816			344,686			1,662,570
Prepaid expenses		3,719			1,451			13,906			2,846
Receivable for investments sold		10,270,855			234,166			479,011			3,701,638
Receivable for fund shares sold		423,040			11,916			46,802			65,421
Receivable for forward contracts		—			—			1,885,952			22,736,923
Receivable for variation margin		—			18,932			14,262			—
Total Assets		813,518,852			35,788,728			65,808,061			433,119,718
Liabilities
Distributions payable		—			—			—			—
Accrued expenses		216,269			31,521			50,139			137,274
Other liabilities		—			—			—			—
Payable for investments purchased		24,689,250			174,463			989,424			18,716,872
Payable upon return of collateral for securities loaned		77,710,896			2,503,733			—			630,480
Payable for fund shares redeemed		962,484			24,922			—			142,028
Payable for forward contracts		—			—			1,920,077			22,869,184
Swap agreements, at value		—			—			—			—
Payable for variation margin		—			—			—			—
Payable to affiliate		612,546			4,046			28,608			310,463
Mortgage dollar roll deferred revenue		—			—			—			—
Total Liabilities		104,191,445			2,738,685			2,988,248			42,806,301
Net Assets
Capital stock (beneficial interest)		1,100,490,388			36,029,152			102,637,260			596,798,818
Accumulated undistributed net investment income/(loss)		3,777,146			347,760			1,564,231			10,663,759
Accumulated undistributed net realized gain/(loss)		(204,770,947	)		2,281,188			(8,339,093	)		(66,005,853	)
Net unrealized appreciation/(depreciation) on:
Investments		(190,169,180	)		(5,582,554	)		(32,910,211	)		(151,200,664	)
Futures contracts		—			(25,503	)		(91,189	)		—
Swap agreements		—			—			—			—
Foreign currency forward contracts		—			—			(34,125	)		(132,261	)
Foreign currency transactions		—			—			(7,060	)		189,618
Total Net Assets	$	709,327,407		$	33,050,043		$	62,819,813		$	390,313,417
Class A Share Capital	$	488,882,295		$	33,050,043		$	15,862,261		$	173,506,385
Shares of beneficial interest outstanding (Class A)		54,002,318			3,717,369			2,606,438			23,136,460
Net asset value per share	$	9.05		$	8.89		$	6.09		$	7.50
Maximum public offering price	$	9.58		$	9.41		$	6.44		$	7.94
Class B Share Capital	$	3,042,057		$	—		$	—		$	2,572,150
Shares of beneficial interest outstanding (Class B)		412,622			—			—			358,539
Net asset value per share	$	7.37		$	—		$	—		$	7.17
Institutional Class Share Capital	$	217,403,055		$	—		$	46,957,552		$	214,234,882
Shares of beneficial interest outstanding (Institutional Class)		22,317,952			—			7,697,731			27,939,865
Net asset value per share	$	9.74		$	—		$	6.10		$	7.67

^(a)	Includes foreign currency holdings of $30,012 (cost $32,252).

^(b)	Includes foreign currency holdings of $9,275 (cost $8,982).

The accompanying Notes to the Financial Statements are an integral part of this schedule.

188

Thrivent Mutual Funds

Statement of Assets and Liabilities - continued



Large Cap Growth Fund		Large Cap Value Fund			Large Cap Stock Fund			Large Cap Index Fund			Balanced Fund			High Yield Fund			Municipal Bond Fund

$	410,718,689	$	550,082,967		$	2,067,274,748		$	55,020,335		$	276,222,365		$	634,975,415		$	1,155,836,307
	302,743,068		452,718,318			1,814,978,298			51,377,234			206,941,785			437,209,143			1,129,292,245
	19,453,415		16,360,438			85,371,259			706,374			23,378,239			44,811,140			—
	322,196,483		469,078,756			1,900,349,557			52,083,608			230,320,024			482,020,283			1,129,292,245
	—		—			—			—			9	^(c)		—			20,994
	197,868		887,066			2,934,702			76,944			711,411			12,504,158			18,100,352
	2,624		2,861			8,370			1,519			2,021			2,747			4,222
	5,693,462		2,723,327			19,109,776			2,553			3,666,498			1,061,082			—
	20,987		345,183			187,606			16,768			13,953			77,070			1,198,006
	—		—			—			—			—			—			—
	—		—			17,785			—			74,375			—			—
	328,111,424		473,037,193			1,922,607,796			52,181,392			234,788,291			495,665,340			1,148,615,819

	—		—			—			—			—			857,356			828,096
	68,933		97,488			647,010			33,745			81,484			100,028			176,226
	—		—			667,701			45,673			—			31,160			—
	2,363,836		—			9,450,577			30,660			26,227,115			11,685,630			1,482,585
	17,017,857		13,448,200			73,426,536			705,338			11,379,048			30,966,137			—
	351,128		179,773			988,412			87,509			105,510			173,425			1,721,726
	—		—			—			—			—			—			—
	—		—			—			—			384,390			—			—
	—		—			—			801			47,500			—			—
	210,322		263,153			1,464,949			12,192			150,383			274,000			698,771
	—		—			—			—			10,458			—			—
	20,012,076		13,988,614			86,645,185			915,918			38,385,888			44,087,736			4,907,404

	464,335,080		576,075,704			2,070,663,404			58,056,320			245,160,401			1,092,617,121			1,169,592,616
	770,141		9,569,545			22,186,218			914,261			224,255			(205,702	)		(61,123	)
	(68,483,667)		(45,592,459	)		(89,983,025	)		(4,772,087	)		(2,873,103	)		(487,878,683	)		720,984

	(88,522,206)		(81,004,211	)		(166,925,191	)		(2,936,727	)		(45,902,341	)		(152,955,132	)		(26,544,062	)
	—		—			21,205			3,707			(34,369	)		—			—
	—		—			—			—			(172,439	)		—			—
	—		—			—			—			—			—			—
	—		—			—			—			(1	)		—			—
$	308,099,348	$	459,048,579		$	1,835,962,611		$	51,265,474		$	196,402,403		$	451,577,604		$	1,143,708,415
$	88,979,259	$	187,378,228		$	1,658,797,719		$	51,265,474		$	143,027,811		$	318,801,212		$	1,104,836,754
	24,111,223		16,887,682			93,882,898			7,641,440			16,049,473			88,809,466			106,592,219
$	3.69	$	11.10		$	17.67		$	6.71		$	8.91		$	3.59		$	10.37
$	3.90	$	11.75		$	18.70		$	7.10		$	9.43		$	3.76		$	10.86
$	2,689,776	$	2,810,533		$	12,975,566		$	—		$	2,633,324		$	3,357,971		$	3,807,038
	796,331		258,518			807,745			—			296,406			935,824			367,476
$	3.38	$	10.87		$	16.06		$	—		$	8.88		$	3.59		$	10.36
$	216,430,313	$	268,859,818		$	164,189,326		$	—		$	50,741,268		$	129,418,421		$	35,064,623
	54,893,973		24,018,289			9,204,844			—			5,700,762			36,027,891			3,383,089
$	3.94	$	11.19		$	17.84		$	—		$	8.90		$	3.59		$	10.36

^(c)	Includes foreign currency holdings of $9 (cost $10).

The accompanying Notes to Financial Statements are an integral part of this schedule.

189

Thrivent Mutual Funds

Statement of Assets and Liabilities - continued


*As of October 31, 2008*	Income Fund			Core Bond Fund			Limited Maturity Bond Fund			Money Market Fund
Assets
Investments at cost	$	874,454,757		$	443,550,817		$	582,674,045		$	1,541,301,313
Investments in securities at market value		709,739,597			380,686,844			478,152,345			1,541,301,313
Investments in affiliates at market value		27,276,207			13,194,165			60,802,287			—
Investments at Market Value		737,015,804			393,881,009			538,954,632			1,541,301,313	¹
Cash		354			193			755			772
Dividends and interest receivable		8,755,600			2,409,638			4,376,346			1,722,101
Prepaid expenses		3,303			2,248			2,530			108,715
Receivable for investments sold		9,468,213			1,013,816			—			—
Receivable for fund shares sold		10,165			23,565			502,398			10,359,941
Swap agreements, at value		225,928			—			441,395			—
Receivable for variation margin		261,017			312,423			216,174			—
Total Assets		755,740,384			397,642,892			544,494,230			1,553,492,842
Liabilities
Distributions payable		301,983			110,270			25,314			32,890
Accrued expenses		104,037			95,763			48,750			241,116
Payable for investments purchased		80,846,604			103,660,204			19,450,471			13,655,412
Payable upon return of collateral for securities loaned		21,097,170			1,605,479			52,879,250			—
Payable for fund shares redeemed		227,719			159,385			1,152,528			8,755,977
Swap agreements, at value		5,258,526			1,725,110			1,854,978			—
Payable for variation margin		442,500			118,750			41,563			—
Payable to affiliate		306,360			174,466			147,676			542,057
Mortgage dollar roll deferred revenue		29,836			40,138			7,246			—
Total Liabilities		108,614,735			107,689,565			75,607,776			23,227,452
Net Assets
Capital stock (beneficial interest)		834,443,274			357,613,431			518,411,970			1,530,274,379
Accumulated undistributed net investment income/(loss)		310,744			237,975			129,926			77,651
Accumulated undistributed net realized gain/(loss)		(47,844,084	)		(17,761,055	)		(5,388,207	)		(86,640	)
Net unrealized appreciation/(depreciation) on:
Investments		(137,438,953	)		(49,669,808	)		(43,719,413	)		—
Futures contracts		(585,072	)		230,635			(189,979	)		—
Swap agreements		(1,760,260	)		(697,851	)		(357,843	)		—
Total Net Assets	$	647,125,649		$	289,953,327		$	468,886,454		$	1,530,265,390
Class A Share Capital	$	326,207,647		$	223,492,006		$	90,451,603		$	1,305,957,005
Shares of beneficial interest outstanding (Class A)		47,165,777			26,740,034			7,933,589			1,305,957,006
Net asset value per share	$	6.92		$	8.36		$	11.40		$	1.00
Maximum public offering price	$	7.25		$	8.75		$	11.40		$	1.00
Class B Share Capital	$	2,404,589		$	1,481,556		$	1,536,587		$	1,047,567
Shares of beneficial interest outstanding (Class B)		348,459			177,166			134,667			1,047,567
Net asset value per share	$	6.90		$	8.36		$	11.41		$	1.00
Institutional Class Share Capital	$	318,513,413		$	64,979,765		$	376,898,264		$	223,260,818
Shares of beneficial interest outstanding (Institutional Class)		46,097,983			7,772,052			33,065,595			223,260,818
Net asset value per share	$	6.91		$	8.36		$	11.40		$	1.00

¹	Securities held by this fund are valued on the basis of amortized cost, which approximates market value.

The accompanying Notes to the Financial Statements are an integral part of this schedule.

190

[THIS PAGE INTENTIONALLY LEFT BLANK]

191

Thrivent Mutual Funds

Statement of Operations


*For the year ended October 31, 2008*	Aggressive Allocation Fund			Moderately Aggressive Allocation Fund			Moderate Allocation Fund			Moderately Conservative Allocation Fund
Investment Income
Dividends	$	—		$	—		$	—		$	—
Taxable interest		2,196			61,773			113,011			60,914
Income from securities loaned		—			—			—			—
Income from affiliated investments		5,686,345			22,042,469			28,078,409			12,748,960
Foreign dividend tax withholding		—			—			—			—
Total Investment Income		5,688,541			22,104,242			28,191,420			12,809,874
Expenses
Adviser fees		580,139			1,285,287			1,256,930			529,868
Sub-Adviser fees		—			—			—			—
Accounting and pricing fees		24,019			12,063			34,035			44,035
Administrative service fees		77,352			185,646			181,109			70,649
Audit and legal fees		20,487			27,911			27,130			19,441
Custody fees		5,528			5,996			5,956			5,829
Distribution expenses Class A		822,883			2,151,413			2,185,933			854,040
Distribution expenses Class B		—			—			—			—
Insurance expenses		5,519			8,392			8,229			5,223
Printing and postage expenses Class A		259,240			447,741			316,584			106,351
Printing and postage expenses Class B		—			—			—			—
Printing and postage expenses Institutional Class		807			1,086			713			362
SEC and state registration expenses		58,760			104,491			103,003			65,505
Transfer agent fees Class A		613,404			1,090,950			762,148			241,251
Transfer agent fees Class B		—			—			—			—
Transfer agent fees Institutional Class		167			247			327			227
Trustees’ fees		2,794			2,795			2,795			2,795
Other expenses		6,804			7,317			7,326			6,817
Total Expenses Before Reimbursement		2,477,903			5,331,335			4,892,218			1,952,393
Less:
Reimbursement from adviser		(601,354	)		(845,054	)		(449,572	)		(316,910	)
Custody earnings credit		—			—			—			—
Total Net Expenses		1,876,549			4,486,281			4,442,646			1,635,483
Net Investment Income/(Loss)		3,811,992			17,617,961			23,748,774			11,174,391
Realized and Unrealized Gains/(Losses)
Net realized gains/(losses) on:
Investments		—			—			(88	)		—
Affiliated investments		(6,854,194	)		(31,077,363	)		(28,884,043	)		(9,585,324	)
Distributions of realized capital gains from affiliated investments		29,546,829			57,282,251			39,762,547			9,879,658
Written option contracts		—			—			—			—
Futures contracts		4,989			—			—			—
Foreign currency transactions		—			—			—			—
Change in net unrealized appreciation/(depreciation) on:
Investments		—			138,817			283,996			137,410
Affiliated investments		(199,520,219	)		(412,051,979	)		(322,700,809	)		(91,312,332	)
Written option contracts		—			—			—			—
Futures contracts		137,362			(373,743	)		(292,442	)		(872,237	)
Foreign currency forward contracts		—			—			—			—
Foreign currency transactions		—			—			—			—
Net Realized and Unrealized Gains/(Losses)		(176,685,233	)		(386,082,017	)		(311,830,839	)		(91,752,825	)
Net Increase/(Decrease) in Net Assets Resulting From Operations	$	(172,873,241	)	$	(368,464,056	)	$	(288,082,065	)	$	(80,578,434	)

The accompanying Notes to Financial Statements are an integral part of this schedule.

192

Thrivent Mutual Funds

Statement of Operations - continued



Technology Fund		Partner Small Cap Growth Fund			Partner Small Cap Value Fund			Small Cap Stock Fund			Small Cap Index Fund			Mid Cap Growth Fund			Partner Mid Cap Value Fund

$	149,749	$	392,116		$	2,234,001		$	4,508,022		$	476,275		$	1,859,895		$	1,332,120
	47		35,612			6,802			264,016			4,580			10,030			5,619
	102,252		314,820			415,690			1,334,723			107,774			510,477			33,775
	54,888		102,423			176,713			629,825			29,433			618,081			106,970
	(418)		(10,155	)		—			(4,495	)		(155	)		—			(58	)
	306,518		834,816			2,833,206			6,732,091			617,907			2,998,483			1,478,426

	257,449		307,285			144,962			3,224,071			91,925			1,257,389			158,278
	—		452,830			869,775			—			—			—			315,464
	19,053		23,676			26,780			49,985			24,450			35,750			20,423
	6,865		16,891			28,993			96,125			7,354			61,934			12,633
	15,734		16,437			17,088			22,989			15,730			20,157			15,719
	7,439		46,846			17,928			64,260			25,920			16,248			38,426
	78,462		32,904			172,413			883,840			91,925			617,535			25,520
	9,450		—			24,081			63,746			—			116,571			—
	3,651		3,846			4,303			6,557			3,679			5,327			3,705
	71,835		3,685			72,105			328,068			37,911			315,791			3,906
	2,668		—			3,454			9,858			—			18,789			—
	181		1,642			1,333			2,051			—			1,099			1,154
	32,861		27,409			41,072			60,848			17,315			49,483			26,647
	178,512		10,882			210,079			899,278			118,031			829,947			16,494
	11,276		—			14,803			53,760			—			111,537			—
	204		153			229			545			—			462			187
	1,217		2,794			3,949			6,346			1,602			8,107			2,795
	7,684		7,182			8,002			10,373			7,884			9,121			7,041
	704,541		954,462			1,661,349			5,782,700			443,726			3,475,247			648,392

	(199,296)		(14,055	)		(166,404	)		(87,065	)		(94,081	)		(101,583	)		(28,076	)
	(4)		(70	)		(3,667	)		(1,474	)		(329	)		(137	)		(64	)
	505,241		940,337			1,491,278			5,694,161			349,316			3,373,527			620,252
	(198,723)		(105,521	)		1,341,928			1,037,930			268,591			(375,044	)		858,174


	(10,402,721)		(16,826,936	)		7,545,688			(70,851,324	)		3,914,024			6,358,212			(11,524,992	)
	—		—			—			—			—			—			—

	—		—			—			—			—			—			—
	—		—			—			—			—			7,984			—
	—		(8,446	)		—			(437,898	)		(448,702	)		—			—
	(8,598)		—			—			5			—			(15	)		—

	(11,332,579)		(26,491,450	)		(53,999,043	)		(139,026,582	)		(17,606,343	)		(152,832,655	)		(23,766,655	)
	—		—			—			—			—			—			—
	—		—			—			—			—			(1,226	)		—
	—		(776,010	)		—			—			10,461			—			—
	(3,344)		—			—			—			—			—			—
	3,127		—			—			—			—			—			—
	(21,744,115)		(44,102,842	)		(46,453,355	)		(210,315,799	)		(14,130,560	)		(146,467,700	)		(35,291,647	)

$	(21,942,838)	$	(44,208,363	)	$	(45,111,427	)	$	(209,277,869	)	$	(13,861,969	)	$	(146,842,744	)	$	(34,433,473	)

The accompanying Notes to Financial Statements are an integral part of this schedule.

193

Thrivent Mutual Funds

Statement of Operations - continued


*For the year ended October 31, 2008*	Mid Cap Stock Fund			Mid Cap Index Fund			Partner Worldwide Allocation Fund^(a)			Partner International Stock Fund
Investment Income
Dividends	$	12,128,395		$	734,706		$	2,016,497		$	19,061,014
Taxable interest		763,835			3,902			468,218			310,272
Tax Exempt interest		—			—			—			—
Income from mortgage dollar rolls		—			—			—			—
Income from securities loaned		1,540,753			80,291			—			427,548
Income from affiliated investments		594,853			30,942			76,514			273,643
Foreign dividend tax withholding		(477	)		—			(182,015	)		(1,776,883	)
Total Investment Income		15,027,359			849,841			2,379,214			18,295,594
Expenses
Adviser fees		6,469,331			124,189			259,083			1,617,842
Sub-Adviser fees		—			—			308,107			1,986,907
Accounting and pricing fees		79,364			23,379			51,904			88,196
Administrative service fees		196,336			9,935			12,604			119,325
Amortization of offering costs		—			—			24,648			—
Audit and legal fees		31,461			15,935			19,262			28,787
Custody fees		47,127			22,471			115,497			210,971
Distribution expenses Class A		1,929,679			124,189			39,302			754,824
Distribution expenses Class B		72,714			—			—			66,202
Insurance expenses		9,856			3,760			2,244			7,250
Printing and postage expenses Class A		453,433			34,745			8,439			192,287
Printing and postage expenses Class B		9,281			—			—			8,515
Printing and postage expenses Institutional Class		3,013			—			1,891			4,122
SEC and state registration expenses		94,704			18,092			8,780			68,874
Transfer agent fees Class A		1,487,440			145,142			12,474			848,037
Transfer agent fees Class B		57,274			—			—			51,016
Transfer agent fees Institutional Class		717			—			76			747
Trustees’ fees		10,648			1,445			2,662			12,136
Other expenses		12,676			7,503			4,668			9,922
Total Expenses Before Reimbursement		10,965,054			530,785			871,641			6,075,960
Less:
Reimbursement from adviser		(78,096	)		(203,842	)		(211,478	)		(37,705	)
Custody earnings credit		(1,263	)		(197	)		(6,440	)		(109	)
Total Net Expenses		10,885,695			326,746			653,723			6,038,146
Net Investment Income/(Loss)		4,141,664			523,095			1,725,491			12,257,448
Realized and Unrealized Gains/(Losses)
Net realized gains/(losses) on:
Investments		(202,901,892	)		3,158,768			(7,834,636	)		(56,592,823	)
Written option contracts		—			—			—			—
Futures contracts		—			(451,081	)		(503,037	)		—
Foreign currency transactions		—			—			(187,083	)		(444,250	)
Swap agreements		—			—			—			—
Change in net unrealized appreciation/(depreciation) on:
Investments		(298,731,729	)		(23,322,744	)		(32,910,211	)		(294,529,254	)
Written option contracts		—			—			—			—
Futures contracts		—			(21,168	)		(91,189	)		—
Foreign currency forward contracts		—			—			(34,125	)		(131,936	)
Foreign currency transactions		—			—			(7,060	)		177,003
Swap agreements		—			—			—			—
Net Realized and Unrealized Gains/(Losses)		(501,633,621	)		(20,636,225	)		(41,567,341	)		(351,521,260	)
Net Increase/(Decrease) in Net Assets Resulting From Operations	$	(497,491,957	)	$	(20,113,130	)	$	(39,841,850	)	$	(339,263,812	)

^(a)	For the period from February 29, 2008 (inception) through October 31, 2008

The accompanying Notes to the Financial Statements are an integral part of this schedule.

194

Thrivent Mutual Funds

Statement of Operations - continued



Large Cap Growth Fund		Large Cap Value Fund			Large Cap Stock Fund			Large Cap Index Fund			Balanced Fund			High Yield Fund			Municipal Bond Fund

$	5,257,315	$	15,715,163		$	53,616,771		$	1,645,886		$	3,005,673		$	614,324		$	—
	15,043		40,362			1,216,850			7,391			4,019,834			48,261,080			335,961
	—		—			—			—			—			—			60,591,955
	—		—			—			—			606,712			—			—
	248,313		468,863			2,279,039			19,596			303,305			335,376			—
	408,960		384,203			529,362			28,625			533,154			588,538			—
	(43,937)		(151,004	)		(507,732	)		—			(19,157	)		—			—
	5,885,694		16,457,587			57,134,290			1,701,498			8,449,521			49,799,318			60,927,916

	3,782,895		2,726,346			14,667,711			188,172			1,526,279			2,253,527			4,900,198
	—		—			—			—			—			—			—
	33,723		43,468			209,936			25,418			56,377			68,367			149,979
	101,307		121,171			552,806			15,054			55,501			114,555			237,154
	—		—			—			—			—			—			—
	23,181		24,259			63,210			16,390			19,679			22,872			31,474
	55,471		21,374			105,224			22,635			25,766			23,431			29,624
	332,689		676,824			6,089,408			188,172			500,586			1,075,055			2,879,177
	58,380		60,875			284,601			—			54,107			68,861			78,949
	6,373		7,063			22,116			3,935			5,271			7,123			10,679
	115,410		140,784			1,302,055			41,059			102,696			205,775			204,973
	8,849		7,044			40,057			—			5,033			6,217			3,294
	4,228		4,102			4,053			—			1,218			2,525			571
	65,232		72,148			160,957			20,209			49,631			63,496			114,437
	449,506		574,133			3,941,825			172,883			354,877			585,621			519,226
	51,142		42,432			245,648			—			26,033			32,994			11,123
	405		613			1,478			—			263			1,204			308
	13,808		10,686			7,176			1,255			979			12,581			14,289
	9,627		10,157			22,727			7,833			9,453			8,698			11,191
	5,112,226		4,543,479			27,720,988			703,015			2,793,749			4,552,902			9,196,646

	(495,900)		(43,938	)		(265,935	)		(251,322	)		(70,178	)		(87,264	)		(13,757	)
	(126)		(65	)		(3,293	)		(80	)		(193	)		(3,014	)		(1,162	)
	4,616,200		4,499,476			27,451,760			451,613			2,723,378			4,462,624			9,181,727
	1,269,494		11,958,111			29,682,530			1,249,885			5,726,143			45,336,694			51,746,189


	(60,602,679)		(45,172,966	)		(3,923,179	)		(1,595,754	)		(812,371	)		(30,882,296	)		2,799,669
	372,251		—			761,401			—			33,125			—			—
	—		—			(7,455,901	)		(577,145	)		(978,413	)		141,611			—
	(2)		—			(3	)		—			(626	)		—			—
	—		—			—			—			59,734			(2,079,069	)		—

	(161,365,078)		(202,362,296	)		(1,127,936,677	)		(30,396,122	)		(88,740,687	)		(147,280,135	)		(91,235,351	)
	(1,470)		—			—			—			(9,375	)		—			—
	—		—			(467,882	)		(10,803	)		(21,120	)		—			—
	—		—			—			—			—			—			—
	—		—			—			—			(1	)		—			—
	—		—			—			—			(172,439	)		212,718			—
	(221,596,978)		(247,535,262	)		(1,139,022,241	)		(32,579,824	)		(90,642,173	)		(179,887,171	)		(88,435,682	)

$	(220,327,484)	$	(235,577,151	)	$	(1,109,339,711	)	$	(31,329,939	)	$	(84,916,030	)	$	(134,550,477	)	$	(36,689,493	)

The accompanying Notes to Financial Statements are an integral part of this schedule.

195

Thrivent Mutual Funds

Statement of Operations - continued


*For the year ended October 31, 2008*	Income Fund			Core Bond Fund			Limited Maturity Bond Fund			Money Market Fund
Investment Income
Dividends	$	229,272		$	168,993		$	267,932		$	1,992,571
Taxable interest		43,527,125			16,772,247			21,520,285			57,278,635
Income from mortgage dollar rolls		1,348,345			2,147,756			585,047			—
Income from securities loaned		344,123			136,269			349,421			—
Income from affiliated investments		639,630			771,838			757,954			—
Total Investment Income		46,088,495			19,997,103			23,480,639			59,271,206
Expenses
Adviser fees		2,636,675			1,605,129			1,436,964			6,327,557
Accounting and pricing fees		76,865			58,151			47,556			85,044
Administrative service fees		154,565			71,339			95,798			320,157
Audit and legal fees		26,288			20,428			20,849			36,639
Custody fees		38,008			22,180			25,280			44,733
Distribution expenses Class A		1,005,562			673,412			131,915			1,632,522
Distribution expenses Class B		45,978			30,536			4,293			11,220
Insurance expenses		8,063			5,704			5,986			66,460
Printing and postage expenses Class A		170,877			102,055			41,709			650,616
Printing and postage expenses Class B		5,069			2,724			810			1,068
Printing and postage expenses Institutional Class		4,639			1,464			4,364			6,772
SEC and state registration expenses		73,474			54,027			66,330			195,833
Transfer agent fees Class A		502,594			395,641			183,657			1,594,656
Transfer agent fees Class B		29,456			15,038			3,753			4,544
Transfer agent fees Institutional Class		1,561			920			525			2,294
Trustees’ fees		18,127			(216	)		13,778			29,945
Other expenses		9,134			7,548			7,274			11,870
Total Expenses Before Reimbursement		4,806,935			3,066,080			2,090,841			11,021,930
Less:
Reimbursement from adviser		(88,439	)		(353,713	)		(65,228	)		(2,915,095	)
Custody earnings credit		(618	)		(1,189	)		(1,221	)		(1,008	)
Total Net Expenses		4,717,878			2,711,178			2,024,392			8,105,827
Net Investment Income/(Loss)		41,370,617			17,285,925			21,456,247			51,165,379
Realized and Unrealized Gains/(Losses)
Net realized gains/(losses) on:
Investments		(16,338,012	)		(684,669	)		(1,027,614	)		(67,104	)
Written option contracts		152,813			119,922			15,313			—
Futures contracts		(2,983,422	)		(3,269,537	)		(3,140,487	)		—
Swap agreements		411,644			226,004			487,092			—
Change in net unrealized appreciation/(depreciation) on:
Investments		(128,190,314	)		(47,070,100	)		(41,512,214	)		—
Written option contracts		(34,688	)		(37,500	)		(6,563	)		—
Futures contracts		(751,527	)		169,981			(182,070	)		—
Swap agreements		(1,760,260	)		(697,851	)		(495,706	)		—
Net Realized and Unrealized Gains/(Losses)		(149,493,766	)		(51,243,750	)		(45,862,249	)		(67,104	)
Net Increase/(Decrease) in Net Assets Resulting From Operations	$	(108,123,149	)	$	(33,957,825	)	$	(24,406,002	)	$	51,098,275

The accompanying Notes to the Financial Statements are an integral part of this schedule.

196

[THIS PAGE INTENTIONALLY LEFT BLANK]

197

Thrivent Mutual Funds

Statement of Changes in Net Assets


	Aggressive Allocation Fund						Moderately Aggressive Allocation Fund
*For the periods ended*	10/31/2008			10/31/2007			10/31/2008			10/31/2007
Operations
Net investment income/(loss)	$	3,811,992		$	2,519,787		$	17,617,961		$	10,720,957
Net realized gains/(losses)		22,697,624			6,936,624			26,204,888			13,845,211
Change in net unrealized appreciation/(depreciation)		(199,382,857	)		41,239,805			(412,286,905	)		75,005,268
Net Change in Net Assets Resulting From Operations		(172,873,241	)		50,696,216			(368,464,056	)		99,571,436
Distributions to Shareholders
From net investment income		(10,542,747	)		(3,897,772	)		(27,361,524	)		(10,860,937	)
From net realized gains		(6,153,794	)		(632,879	)		(12,775,832	)		(1,030,546	)
Total Distributions to Shareholders		(16,696,541	)		(4,530,651	)		(40,137,356	)		(11,891,483	)
Capital Stock Transactions
Class A
Sold		118,087,378			141,612,846			294,741,004			405,451,968
Distributions reinvested		14,095,300			3,665,237			36,947,136			10,702,312
Redeemed		(40,104,629	)		(27,540,811	)		(113,700,523	)		(60,789,521	)

Total Class A Capital Stock Transactions		92,078,049			117,737,272			217,987,617			355,364,759

Class B
Sold		—			—			—			—
Redeemed		—			—			—			—

Total Class B Capital Stock Transactions		—			—			—			—

Institutional Class
Sold		30,105,168			25,221,287			22,778,698			29,828,380
Distributions reinvested		2,560,040			855,522			3,063,040			1,153,325
Redeemed		(11,149,284	)		(11,249,500	)		(8,744,827	)		(9,070,981	)

Total Institutional Class Capital Stock Transactions		21,515,924			14,827,309			17,096,911			21,910,724

Capital Stock Transactions		113,593,973			132,564,581			235,084,528			377,275,483
Net Increase/(Decrease) in Net Assets		(75,975,809	)		178,730,146			(173,516,884	)		464,955,436
Net Assets, Beginning of Period		390,580,447			211,850,301			928,066,435			463,110,999
Net Assets, End of Period	$	314,604,638		$	390,580,447		$	754,549,551		$	928,066,435
Capital Stock Share Transactions
Class A shares
Sold		10,335,528			11,145,392			26,042,536			32,827,844
Distributions reinvested		1,115,967			303,204			3,026,738			903,871
Redeemed		(3,589,602	)		(2,149,549	)		(10,476,377	)		(4,890,773	)

Total Class A shares		7,861,893			9,299,047			18,592,897			28,840,942

Class B shares
Sold		—			—			—			—
Redeemed		—			—			—			—

Total Class B shares		—			—			—			—

Institutional Class shares
Sold		2,665,828			1,979,500			2,049,170			2,408,374
Distributions reinvested		201,906			70,543			249,988			97,155
Redeemed		(977,087	)		(879,192	)		(801,520	)		(727,993	)

Total Institutional Class shares		1,890,647			1,170,851			1,497,638			1,777,536

The accompanying Notes to Financial Statements are an integral part of this schedule.

198

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


Moderate Allocation Fund						Moderately Conservative Allocation Fund						Technology Fund						Partner Small Cap Growth Fund
10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007

$	23,748,774		$	15,543,401		$	11,174,391		$	7,191,868		$	(198,723	)	$	(413,442	)	$	(105,521	)	$	(178,832	)
	10,878,416			12,870,990			294,334			3,235,181			(10,411,319	)		3,589,799			(16,835,382	)		3,385,615
	(322,709,255	)		49,052,561			(92,047,159	)		10,872,839			(11,332,796	)		6,649,095			(27,267,460	)		7,179,543

	(288,082,065	)		77,466,952			(80,578,434	)		21,299,888			(21,942,838	)		9,825,452			(44,208,363	)		10,386,326

	(32,890,391	)		(17,495,259	)		(13,212,189	)		(7,495,708	)		—			—			—			(53,994	)
	(12,721,584	)		(1,698,236	)		(2,938,427	)		(463,260	)		—			—			(3,442,116	)		—
	(45,611,975	)		(19,193,495	)		(16,150,616	)		(7,958,968	)		—			—			(3,442,116	)		(53,994	)


	314,251,604			393,578,244			159,768,489			158,211,117			4,110,468			4,607,775			1,615,690			1,624,901
	43,615,989			18,327,726			15,359,813			7,522,058			—			—			654,872			—
	(139,386,632	)		(67,815,953	)		(72,480,669	)		(30,042,629	)		(7,297,647	)		(11,179,185	)		(761,499	)		(497,747	)

	218,480,961			344,090,017			102,647,633			135,690,546			(3,187,179	)		(6,571,410	)		1,509,063			1,127,154


	—			—			—			—			225			9,130			—			—
	—			—			—			—			(722,898	)		(1,092,074	)		—			—

	—			—			—			—			(722,673	)		(1,082,944	)		—			—


	18,236,660			14,190,666			10,602,695			8,905,753			997			53,217			38,293,336			32,039,224
	1,622,526			706,921			544,765			321,484			—			—			2,786,333			53,894
	(7,779,995	)		(6,064,902	)		(6,538,713	)		(6,455,102	)		(66,350	)		(114,062	)		(634,361	)		(4,855,762	)

	12,079,191			8,832,685			4,608,747			2,772,135			(65,353	)		(60,845	)		40,445,308			27,237,356

	230,560,152			352,922,702			107,256,380			138,462,681			(3,975,205	)		(7,715,199	)		41,954,371			28,364,510
	(103,133,888	)		411,196,159			10,527,330			151,803,601			(25,918,043	)		2,110,253			(5,696,108	)		38,696,842
	871,142,388			459,946,229			315,236,021			163,432,420			46,716,482			44,606,229			79,989,770			41,292,928
$	768,008,500		$	871,142,388		$	325,763,351		$	315,236,021		$	20,798,439		$	46,716,482		$	74,293,662		$	79,989,770


	28,893,347			33,473,526			15,167,039			14,097,689			1,149,822			1,146,815			147,293			128,058
	3,899,903			1,577,026			1,444,622			675,328			—			—			53,854			—
	(13,381,235	)		(5,753,418	)		(7,113,668	)		(2,678,590	)		(2,077,310	)		(2,827,104	)		(68,430	)		(39,443	)

	19,412,015			29,297,134			9,497,993			12,094,427			(927,488	)		(1,680,289	)		132,717			88,615


	—			—			—			—			59			2,428			—			—
	—			—			—			—			(215,511	)		(288,947	)		—			—

	—			—			—			—			(215,452	)		(286,519	)		—			—


	1,697,627			1,206,409			1,003,142			797,525			231			11,922			3,533,886			2,488,996
	145,478			60,742			51,122			28,867			—			—			227,827			4,414
	(742,001	)		(515,341	)		(636,918	)		(576,060	)		(18,743	)		(26,208	)		(69,148	)		(384,916	)

	1,101,104			751,810			417,346			250,332			(18,512	)		(14,286	)		3,692,565			2,108,494

The accompanying Notes to Financial Statements are an integral part of this schedule.

199

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


	Partner Small Cap Value Fund						Small Cap Stock Fund
*For the periods ended*	10/31/2008			10/31/2007			10/31/2008			10/31/2007
Operations
Net investment income/(loss)	$	1,341,928		$	584,082		$	1,037,930		$	514,511
Net realized gains/(losses)		7,545,688			11,865,792			(71,289,217	)		72,042,582
Change in net unrealized appreciation/(depreciation)		(53,999,043	)		874,667			(139,026,582	)		3,069,598
Net Change in Net Assets Resulting From Operations		(45,111,427	)		13,324,541			(209,277,869	)		75,626,691
Distributions to Shareholders
From net investment income		(445,782	)		(366,586	)		—			—
From net realized gains		(11,134,358	)		(5,916,750	)		(68,131,147	)		(56,856,098	)
Total Distributions to Shareholders		(11,580,140	)		(6,283,336	)		(68,131,147	)		(56,856,098	)
Capital Stock Transactions
Class A
Sold		12,816,358			15,747,777			19,474,848			27,270,640
Distributions reinvested		5,887,688			3,652,846			53,464,780			46,060,560
Capital contribution from adviser		—			—			—			—
Redeemed		(20,209,911	)		(20,814,723	)		(72,370,050	)		(95,829,947	)

Total Class A Capital Stock Transactions		(1,505,865	)		(1,414,100	)		569,578			(22,498,747	)

Class B
Sold		48,232			102,992			14,553			86,399
Distributions reinvested		261,424			243,530			1,334,360			1,758,869
Redeemed		(1,691,237	)		(2,497,225	)		(4,841,997	)		(7,585,929	)

Total Class B Capital Stock Transactions		(1,381,581	)		(2,150,703	)		(3,493,084	)		(5,740,661	)

Institutional Class
Sold		55,104,895			33,076,549			64,932,409			64,910,432
Distributions reinvested		5,366,175			2,350,278			12,668,023			8,511,934
Capital contribution from adviser		—			—			—			—
Redeemed		(13,675,898	)		(25,420,864	)		(11,745,778	)		(56,947,213	)

Total Institutional Class Capital Stock Transactions		46,795,173			10,005,963			65,854,654			16,475,153

Capital Stock Transactions		43,907,727			6,441,160			62,931,148			(11,764,255	)
Net Increase/(Decrease) in Net Assets		(12,783,840	)		13,482,365			(214,477,868	)		7,006,338
Net Assets, Beginning of Period		143,727,006			130,244,641			565,880,814			558,874,476
Net Assets, End of Period	$	130,943,166		$	143,727,006		$	351,402,946		$	565,880,814
Capital Stock Share Transactions
Class A shares
Sold		932,125			968,005			1,387,798			1,528,313
Distributions reinvested		420,820			236,169			3,524,377			2,727,091
Redeemed		(1,453,985	)		(1,278,190	)		(5,148,565	)		(5,355,767	)

Total Class A shares		(101,040	)		(74,016	)		(236,390	)		(1,100,363	)

Class B shares
Sold		3,740			6,664			1,301			5,394
Distributions reinvested		20,002			16,612			104,084			119,003
Redeemed		(131,380	)		(161,479	)		(404,731	)		(485,003	)

Total Class B shares		(107,638	)		(138,203	)		(299,346	)		(360,606	)

Institutional Class shares
Sold		3,766,136			1,947,958			4,191,744			3,359,223
Distributions reinvested		366,191			145,712			759,019			466,152
Redeemed		(967,316	)		(1,484,075	)		(786,802	)		(2,953,241	)

Total Institutional Class shares		3,165,011			609,595			4,163,961			872,134

The accompanying Notes to the Financial Statements are an integral part of this schedule.

200

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


Small Cap Index Fund						Mid Cap Growth Fund						Partner Mid Cap Value Fund						Mid Cap Stock Fund
10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007

$	268,591		$	175,296		$	(375,044	)	$	(1,065,438	)	$	858,174		$	466,112		$	4,141,664		$	8,810,048
	3,465,322			5,074,185			6,366,181			49,849,260			(11,524,992	)		2,404,520			(202,901,892	)		155,586,048
	(17,595,882	)		(448,188	)		(152,833,881	)		38,119,170			(23,766,655	)		1,040,494			(298,731,729	)		4,549,641

	(13,861,969	)		4,801,293			(146,842,744	)		86,902,992			(34,433,473	)		3,911,126			(497,491,957	)		168,945,737

	(156,496	)		(70,526	)		—			—			(453,407	)		(506,983	)		(1,780,710	)		(1,531,416	)
	(5,072,886	)		(3,380,175	)		(41,457,007	)		(22,856,197	)		(2,647,499	)		(198,154	)		(151,620,333	)		(185,489,976	)
	(5,229,382	)		(3,450,701	)		(41,457,007	)		(22,856,197	)		(3,100,906	)		(705,137	)		(153,401,043	)		(187,021,392	)


	2,822,926			4,199,158			22,031,114			25,689,155			1,415,670			4,658,869			40,777,711			67,807,186
	5,160,319			3,398,452			33,948,162			18,439,231			659,429			160,156			126,907,304			161,645,118
	—			—			—			—			957			—			—			—
	(8,979,542	)		(10,607,413	)		(44,694,988	)		(58,829,380	)		(2,042,613	)		(1,137,851	)		(168,390,878	)		(198,642,538	)

	(996,297	)		(3,009,803	)		11,284,288			(14,700,994	)		33,443			3,681,174			(705,863	)		30,809,766


	—			—			91,277			81,533			—			—			12,563			209,008
	—			—			2,233,836			1,919,476			—			—			1,683,773			3,349,973
	—			—			(9,130,826	)		(12,583,879	)		—			—			(5,610,222	)		(9,091,254	)

	—			—			(6,805,713	)		(10,582,870	)		—			—			(3,913,886	)		(5,532,273	)


	—			—			37,742,884			21,125,779			69,218,835			19,409,359			202,707,964			90,057,227
	—			—			4,816,752			2,260,015			2,434,685			543,873			23,133,529			19,941,268
	—			—			—			—			9,068			—			—			—
	—			—			(7,470,791	)		(21,423,642	)		(3,327,455	)		(12,323,791	)		(33,906,180	)		(55,534,884	)

	—			—			35,088,845			1,962,152			68,335,133			7,629,441			191,935,314			54,463,611

	(996,297	)		(3,009,803	)		39,567,420			(23,321,712	)		68,368,576			11,310,615			187,315,565			79,741,104
	(20,087,648	)		(1,659,211	)		(148,732,331	)		40,725,083			30,834,197			14,516,604			(463,577,435	)		61,665,449
	46,367,901			48,027,112			364,027,217			323,302,134			45,969,309			31,452,705			1,172,904,842			1,111,239,393
$	26,280,253		$	46,367,901		$	215,294,886		$	364,027,217		$	76,803,506		$	45,969,309		$	709,327,407		$	1,172,904,842


	224,146			260,961			1,483,331			1,499,540			136,135			365,176			3,075,833			3,888,821
	393,396			221,916			2,144,546			1,179,730			57,031			13,192			8,769,841			10,027,387
	(716,633	)		(658,792	)		(3,069,784	)		(3,480,249	)		(189,064	)		(89,498	)		(12,830,574	)		(11,395,657	)

	(99,091	)		(175,915	)		558,093			(800,979	)		4,102			288,870			(984,900	)		2,520,551


	—			—			6,049			5,002			—			—			1,166			13,710
	—			—			157,756			133,760			—			—			141,494			242,752
	—			—			(691,891	)		(814,726	)		—			—			(511,002	)		(608,710	)

	—			—			(528,086	)		(675,964	)		—			—			(368,342	)		(352,248	)


	—			—			2,321,661			1,187,378			6,336,938			1,553,427			14,655,097			4,919,725
	—			—			278,909			134,846			209,964			44,738			1,485,519			1,162,098
	—			—			(586,073	)		(1,187,980	)		(392,674	)		(992,229	)		(2,810,655	)		(3,034,787	)

	—			—			2,014,497			134,244			6,154,228			605,936			13,329,961			3,047,036

The accompanying Notes to Financial Statements are an integral part of this schedule.

201

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


	Mid Cap Index Fund						Partner Worldwide Allocation Fund
*For the periods ended*	10/31/2008			10/31/2007			10/31/2008^(a)
Operations
Net investment income/(loss)	$	523,095		$	481,369		$	1,725,491
Net realized gains/(losses)		2,707,687			6,340,725			(8,524,756	)
Change in net unrealized appreciation/(depreciation)		(23,343,912	)		2,392,810			(33,042,585	)
Net Change in Net Assets Resulting From Operations		(20,113,130	)		9,214,904			(39,841,850	)
Distributions to Shareholders
From net investment income		(371,068	)		(435,746	)		—
From net realized gains		(6,334,990	)		(2,837,634	)		—
Total Distributions to Shareholders		(6,706,058	)		(3,273,380	)		—
Capital Stock Transactions
Class A
Sold		4,397,433			5,674,544			34,871,777
Distributions reinvested		6,607,249			3,235,987			—
Redeemed		(12,149,991	)		(15,399,239	)		(8,991,867	)

Total Class A Capital Stock Transactions		(1,145,308	)		(6,488,708	)		25,879,910

Class B
Sold		—			—			—
Distributions reinvested		—			—			—
Redeemed		—			—			—

Total Class B Capital Stock Transactions		—			—			—

Institutional Class
Sold		—			—			125,726,410
Distributions reinvested		—			—			—
Capital contribution from adviser		—			—			—
Redeemed		—			—			(48,944,657	)

Total Institutional Class Capital Stock Transactions		—			—			76,781,753

Capital Stock Transactions		(1,145,308	)		(6,488,708	)		102,661,663
Net Increase/(Decrease) in Net Assets		(27,964,496	)		(547,184	)		62,819,813
Net Assets, Beginning of Period		61,014,539			61,561,723			—
Net Assets, End of Period	$	33,050,043		$	61,014,539		$	62,819,813
Capital Stock Share Transactions
Class A shares
Sold		354,970			375,877			3,525,532
Distributions reinvested		500,576			227,674			—
Redeemed		(976,118	)		(1,020,279	)		(919,094	)

Total Class A shares		(120,572	)		(416,728	)		2,606,438

Class B shares
Sold		—			—			—
Distributions reinvested		—			—			—
Redeemed		—			—			—

Total Class B shares		—			—			—

Institutional Class shares
Sold		—			—			12,675,097
Distributions reinvested		—			—			—
Redeemed		—			—			(4,977,366	)

Total Institutional Class shares		—			—			7,697,731

^(a)	For the period from February 29, 2008 (inception) through October 31, 2008

The accompanying Notes to the Financial Statements are an integral part of this schedule.

202

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


Partner International Stock Fund						Large Cap Growth Fund						Large Cap Value Fund						Large Cap Stock Fund
10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007

$	12,257,448		$	12,131,607		$	1,269,494		$	1,521,628		$	11,958,111		$	8,397,283		$	29,682,530		$	37,834,628
	(57,037,073	)		83,859,406			(60,230,430	)		41,643,608			(45,172,966	)		32,852,973			(10,617,682	)		420,579,371
	(294,484,187	)		44,656,212			(161,366,548	)		58,211,254			(202,362,296	)		33,582,411			(1,128,404,559	)		26,341,572

	(339,263,812	)		140,647,225			(220,327,484	)		101,376,490			(235,577,151	)		74,832,667			(1,109,339,711	)		484,755,571

	(13,223,577	)		(7,072,912	)		(1,770,087	)		(1,611,639	)		(9,146,767	)		(6,247,252	)		(30,085,209	)		(32,993,037	)
	(59,330,101	)		—			(38,037,772	)		—			(31,209,694	)		(28,918,515	)		(368,171,333	)		(142,672,537	)
	(72,553,678	)		(7,072,912	)		(39,807,859	)		(1,611,639	)		(40,356,461	)		(35,165,767	)		(398,256,542	)		(175,665,574	)


	21,414,324			38,314,231			22,618,073			26,413,730			17,510,029			30,050,071			84,941,128			106,554,516
	38,251,800			3,528,854			10,360,211			77,678			18,210,335			21,452,553			340,680,547			155,979,217
	(65,070,420	)		(71,310,619	)		(31,107,522	)		(32,676,336	)		(62,034,324	)		(68,090,102	)		(461,397,393	)		(614,890,225	)

	(5,404,296	)		(29,467,534	)		1,870,762			(6,184,928	)		(26,313,960	)		(16,587,478	)		(35,775,718	)		(352,356,492	)


	37,280			381,838			172,752			196,211			41,764			303,308			11,676			98,022
	914,222			—			590,688			—			415,573			775,782			4,917,844			2,952,941
	(4,909,421	)		(6,607,820	)		(3,939,900	)		(5,287,685	)		(4,761,713	)		(6,463,643	)		(21,541,574	)		(30,987,096	)

	(3,957,919	)		(6,225,982	)		(3,176,460	)		(5,091,474	)		(4,304,376	)		(5,384,553	)		(16,612,054	)		(27,936,133	)


	91,009,145			125,824,841			65,015,370			177,863,280			114,143,936			135,673,675			51,249,551			145,637,966
	32,737,883			3,477,872			28,560,519			1,528,495			21,302,734			12,464,266			46,275,285			13,951,238
	1,320			—			—			—			—			—			—			—
	(35,721,811	)		(59,890,071	)		(108,501,334	)		(34,322,841	)		(29,443,637	)		(16,736,038	)		(145,291,442	)		(66,592,686	)

	88,026,537			69,412,642			(14,925,445	)		145,068,934			106,003,033			131,401,903			(47,766,606	)		92,996,518

	78,664,322			33,719,126			(16,231,143	)		133,792,532			75,384,697			109,429,872			(100,154,378	)		(287,296,107	)
	(333,153,168	)		167,293,439			(276,366,486	)		233,557,383			(200,548,915	)		149,096,772			(1,607,750,631	)		21,793,890
	723,466,585			556,173,146			584,465,834			350,908,451			659,597,494			510,500,722			3,443,713,242			3,421,919,352
$	390,313,417		$	723,466,585		$	308,099,348		$	584,465,834		$	459,048,579		$	659,597,494		$	1,835,962,611		$	3,443,713,242


	1,729,984			2,688,054			4,282,033			4,578,531			1,199,984			1,766,298			3,508,321			3,660,513
	2,901,249			260,818			1,817,231			14,253			1,131,808			1,303,412			13,019,044			5,520,112
	(5,526,261	)		(5,005,095	)		(6,113,108	)		(5,709,169	)		(4,246,490	)		(3,981,337	)		(19,312,294	)		(21,101,121	)

	(895,028	)		(2,056,223	)		(13,844	)		(1,116,385	)		(1,914,698	)		(911,627	)		(2,784,929	)		(11,920,496	)


	3,188			27,944			33,564			35,799			3,032			18,259			562			3,681
	72,727			—			112,298			—			26,402			48,006			207,242			113,706
	(422,975	)		(483,004	)		(819,137	)		(992,259	)		(326,171	)		(384,831	)		(975,336	)		(1,155,704	)

	(347,060	)		(455,060	)		(673,275	)		(956,460	)		(296,737	)		(318,566	)		(767,532	)		(1,038,317	)


	7,656,212			8,691,362			11,217,880			29,124,791			7,430,052			7,888,623			1,965,943			4,942,079
	2,429,246			253,305			4,682,173			264,904			1,313,185			751,450			1,750,947			490,129
	(2,534,344	)		(4,039,225	)		(21,340,501	)		(5,285,186	)		(2,040,338	)		(979,936	)		(6,201,737	)		(2,261,086	)

	7,551,114			4,905,442			(5,440,448	)		24,104,509			6,702,899			7,660,137			(2,484,847	)		3,171,122

The accompanying Notes to Financial Statements are an integral part of this schedule.

203

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


	Large Cap Index Fund						Balanced Fund
*For the periods ended*	10/31/2008			10/31/2007			10/31/2008			10/31/2007
Operations
Net investment income/(loss)	$	1,249,885		$	1,293,774		$	5,726,143		$	6,453,652
Net realized gains/(losses)		(2,172,899	)		1,192,266			(1,698,551	)		19,824,770
Change in net unrealized appreciation/(depreciation)		(30,406,925	)		9,707,690			(88,943,622	)		13,297,224
Net Change in Net Assets Resulting From Operations		(31,329,939	)		12,193,730			(84,916,030	)		39,575,646
Distributions to Shareholders
From net investment income		(1,291,440	)		(1,253,298	)		(5,867,307	)		(5,969,912	)
From net realized gains		—			—			(19,859,838	)		(16,231,550	)
Total Distributions to Shareholders		(1,291,440	)		(1,253,298	)		(25,727,145	)		(22,201,462	)
Capital Stock Transactions
Class A
Sold		5,837,857			10,620,328			12,501,875			14,474,672
Distributions reinvested		1,267,437			1,233,896			18,019,482			15,538,875
Redeemed		(16,852,896	)		(21,488,432	)		(44,509,567	)		(57,170,898	)

Total Class A Capital Stock Transactions		(9,747,602	)		(9,634,208	)		(13,988,210	)		(27,157,351	)

Class B
Sold		—			—			42,940			96,953
Distributions reinvested		—			—			487,672			504,830
Redeemed		—			—			(3,465,255	)		(3,464,158	)

Total Class B Capital Stock Transactions		—			—			(2,934,643	)		(2,862,375	)

Institutional Class
Sold		—			—			1,622,188			2,587,000
Distributions reinvested		—			—			6,890,449			5,884,861
Redeemed		—			—			(12,901,705	)		(15,432,692	)

Total Institutional Class Capital Stock Transactions		—			—			(4,389,068	)		(6,960,831	)

Capital Stock Transactions		(9,747,602	)		(9,634,208	)		(21,311,921	)		(36,980,557	)
Net Increase/(Decrease) in Net Assets		(42,368,981	)		1,306,224			(131,955,096	)		(19,606,373	)
Net Assets, Beginning of Period		93,634,455			92,328,231			328,357,499			347,963,872
Net Assets, End of Period	$	51,265,474		$	93,634,455		$	196,402,403		$	328,357,499
Capital Stock Share Transactions
Class A shares
Sold		651,651			1,058,165			1,079,049			1,112,754
Distributions reinvested		125,613			126,539			1,490,093			1,224,913
Redeemed		(1,884,456	)		(2,130,985	)		(3,895,037	)		(4,397,809	)

Total Class A shares		(1,107,192	)		(946,281	)		(1,325,895	)		(2,060,142	)

Class B shares
Sold		—			—			3,837			7,379
Distributions reinvested		—			—			40,118			40,172
Redeemed		—			—			(305,609	)		(268,020	)

Total Class B shares		—			—			(261,654	)		(220,469	)

Institutional Class shares
Sold		—			—			137,077			197,312
Distributions reinvested		—			—			571,981			463,340
Redeemed		—			—			(1,157,558	)		(1,183,861	)

Total Institutional Class shares		—			—			(448,500	)		(523,209	)

The accompanying Notes to the Financial Statements are an integral part of this schedule.

204

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


High Yield Fund						Municipal Bond Fund						Income Fund						Core Bond Fund
10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007			10/31/2008			10/31/2007

$	45,336,694		$	45,708,254		$	51,746,189		$	52,666,565		$	41,370,617		$	38,036,885		$	17,285,925		$	17,319,787
	(32,819,754	)		11,753,582			2,799,669			3,170,363			(18,756,977	)		5,190,812			(3,608,280	)		(1,429,134	)
	(147,067,417	)		(15,896,256	)		(91,235,351	)		(26,962,462	)		(130,736,789	)		(13,913,033	)		(47,635,470	)		(3,679,177	)

	(134,550,477	)		41,565,580			(36,689,493	)		28,874,466			(108,123,149	)		29,314,664			(33,957,825	)		12,211,476

	(45,642,978	)		(45,718,586	)		(51,746,189	)		(52,705,357	)		(41,809,100	)		(36,677,821	)		(17,635,379	)		(16,966,618	)
	—			—			—			—			—			—			—			—
	(45,642,978	)		(45,718,586	)		(51,746,189	)		(52,705,357	)		(41,809,100	)		(36,677,821	)		(17,635,379	)		(16,966,618	)


	31,760,192			37,047,669			152,966,880			80,703,622			23,725,038			28,354,222			19,655,625			20,448,256
	23,345,797			26,801,268			40,418,869			41,098,057			17,347,859			18,003,759			11,617,170			12,571,874
	(90,574,251	)		(107,048,650	)		(148,751,440	)		(153,979,933	)		(71,095,311	)		(79,239,954	)		(63,606,720	)		(76,855,231	)

	(35,468,262	)		(43,199,713	)		44,634,309			(32,178,254	)		(30,022,414	)		(32,881,973	)		(32,333,925	)		(43,835,101	)


	31,852			114,126			125,207			98,125			152,308			142,484			57,005			28,540
	340,121			629,179			242,412			531,637			176,984			333,352			108,420			204,880
	(5,180,354	)		(7,286,182	)		(8,582,686	)		(9,550,832	)		(3,757,769	)		(6,426,020	)		(2,853,071	)		(3,688,696	)

	(4,808,381	)		(6,542,877	)		(8,215,067	)		(8,921,070	)		(3,428,477	)		(5,950,184	)		(2,687,646	)		(3,455,276	)


	107,467,245			60,386,929			27,906,904			9,310,700			89,788,296			249,293,219			22,733,795			50,755,835
	10,978,319			5,734,298			923,511			466,278			20,273,123			13,937,636			4,236,537			2,163,228
	(4,608,869	)		(86,494,765	)		(8,685,093	)		(4,334,053	)		(87,968,405	)		(58,652,473	)		(33,735,341	)		(17,721,396	)

	113,836,695			(20,373,538	)		20,145,322			5,442,925			22,093,014			204,578,382			(6,765,009	)		35,197,667

	73,560,052			(70,116,128	)		56,564,564			(35,656,399	)		(11,357,877	)		165,746,225			(41,786,580	)		(12,092,710	)
	(106,633,403	)		(74,269,134	)		(31,871,118	)		(59,487,290	)		(161,290,126	)		158,383,068			(93,379,784	)		(16,847,852	)
	558,211,007			632,480,141			1,175,579,533			1,235,066,823			808,415,775			650,032,707			383,333,111			400,180,963
$	451,577,604		$	558,211,007		$	1,143,708,415		$	1,175,579,533		$	647,125,649		$	808,415,775		$	289,953,327		$	383,333,111


	6,851,676			7,232,910			13,841,231			7,183,715			2,896,253			3,308,668			2,078,121			2,079,081
	5,105,438			5,246,263			3,696,492			3,658,394			2,150,081			2,101,548			1,238,247			1,278,083
	(19,712,865	)		(20,950,030	)		(13,576,328	)		(13,707,985	)		(8,816,838	)		(9,245,559	)		(6,761,904	)		(7,809,430	)

	(7,755,751	)		(8,470,857	)		3,961,395			(2,865,876	)		(3,770,504	)		(3,835,343	)		(3,445,536	)		(4,452,266	)


	7,049			21,907			11,320			8,760			18,204			16,670			5,921			2,888
	73,441			123,011			22,043			47,292			21,748			38,942			11,437			20,800
	(1,117,194	)		(1,421,027	)		(775,705	)		(849,791	)		(460,922	)		(750,889	)		(301,885	)		(375,012	)

	(1,036,704	)		(1,276,109	)		(742,342	)		(793,739	)		(420,970	)		(695,277	)		(284,527	)		(351,324	)


	22,316,275			11,794,211			2,542,866			833,046			10,967,262			29,247,235			2,378,066			5,195,639
	2,427,205			1,113,882			84,933			41,561			2,519,613			1,632,272			451,234			220,036
	(1,039,671	)		(16,761,322	)		(801,185	)		(386,267	)		(10,826,046	)		(6,903,824	)		(3,623,321	)		(1,799,757	)

	23,703,809			(3,853,229	)		1,826,614			488,340			2,660,829			23,975,683			(794,021	)		3,615,918

The accompanying Notes to Financial Statements are an integral part of this schedule.

205

Thrivent Mutual Funds

Statement of Changes in Net Assets - continued


	Limited Maturity Bond Fund						Money Market Fund
*For the periods ended*	10/31/2008			10/31/2007			10/31/2008			10/31/2007
Operations
Net investment income/(loss)	$	21,456,247		$	16,213,816		$	51,165,379		$	68,091,797
Net realized gains/(losses)		(3,665,696	)		(339,327	)		(67,104	)		(19,536	)
Change in net unrealized appreciation/(depreciation)		(42,196,553	)		(1,424,302	)		—			—
Net Change in Net Assets Resulting From Operations		(24,406,002	)		14,450,187			51,098,275			68,072,261
Distributions to Shareholders
From net investment income		(21,722,771	)		(15,855,497	)		(51,098,275	)		(68,072,261	)
Total Distributions to Shareholders		(21,722,771	)		(15,855,497	)		(51,098,275	)		(68,072,261	)
Capital Stock Transactions
Class A
Sold		25,027,579			29,853,399			1,426,400,808			1,394,460,225
Distributions reinvested		4,245,204			4,699,357			40,198,084			47,936,624
Redeemed		(41,260,414	)		(36,972,850	)		(1,344,504,046	)		(1,122,834,757	)

Total Class A Capital Stock Transactions		(11,987,631	)		(2,420,094	)		122,094,846			319,562,092

Class B
Sold		35,880			79,420			874,632			665,684
Distributions reinvested		36,515			41,463			35,163			67,358
Redeemed		(192,321	)		(199,188	)		(1,391,550	)		(1,000,594	)

Total Class B Capital Stock Transactions		(119,926	)		(78,305	)		(481,755	)		(267,552	)

Institutional Class
Sold		146,750,945			168,536,157			2,204,653,813			1,980,415,531
Distributions reinvested		17,062,042			10,665,647			10,094,723			19,135,374
Redeemed		(54,145,739	)		(22,843,350	)		(2,416,514,046	)		(1,915,625,053	)

Total Institutional Class Capital Stock Transactions		109,667,248			156,358,454			(201,765,510	)		83,925,852

Capital Stock Transactions		97,559,691			153,860,055			(80,152,419	)		403,220,392
Net Increase/(Decrease) in Net Assets		51,430,918			152,454,745			(80,152,419	)		403,220,392
Net Assets, Beginning of Period		417,455,536			265,000,791			1,610,417,809			1,207,197,417
Net Assets, End of Period	$	468,886,454		$	417,455,536		$	1,530,265,390		$	1,610,417,809
Capital Stock Share Transactions
Class A shares
Sold		2,041,303			2,375,503			1,426,400,806			1,394,460,205
Distributions reinvested		348,358			374,035			40,198,083			47,936,624
Redeemed		(3,387,783	)		(2,942,069	)		(1,344,504,044	)		(1,122,834,737	)

Total Class A shares		(998,122	)		(192,531	)		122,094,845			319,562,092

Class B shares
Sold		2,968			6,321			874,631			665,684
Distributions reinvested		2,994			3,297			35,163			67,358
Redeemed		(15,842	)		(15,827	)		(1,391,549	)		(1,000,594	)

Total Class B shares		(9,880	)		(6,209	)		(481,755	)		(267,552	)

Institutional Class shares
Sold		11,867,184			13,414,475			2,204,653,813			1,980,415,531
Distributions reinvested		1,404,278			849,457			10,094,723			19,135,374
Redeemed		(4,440,404	)		(1,818,204	)		(2,416,514,046	)		(1,915,625,053	)

Total Institutional Class shares		8,831,058			12,445,728			(201,765,510	)		83,925,852

The accompanying Notes to the Financial Statements are an integral part of this schedule.

206

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(1) ORGANIZATION

Thrivent Mutual Funds (the “Trust”) was organized as a Massachusetts Business Trust on March 10, 1987 and is registered as an open-end management investment company under the Investment Company Act of 1940 (the “1940 Act”). The Trust is divided into twenty-nine separate series (each a “Fund” and, collectively, the “Funds”), each with its own investment objective and policies. The Trust currently consists of four allocation funds, seventeen equity funds, two hybrid funds, five fixed-income funds, and one money market fund. Thrivent Real Estate Securities Fund, Thrivent Equity Income Plus Fund and Thrivent Diversified Income Plus Fund have a fiscal year end on a calendar-year basis and are presented under a separate annual report.

The Trust includes three classes of shares: Class A, Class B and Institutional Class. The three classes of shares differ principally in their respective distribution expenses and arrangements. Class A shares have a 0.25% annual 12b-1 fee (0.125% for Limited Maturity Bond Fund and Money Market Fund) and a maximum front-end sales load of 5.50% for allocation funds, equity funds, and hybrid funds and 4.50% for fixed-income funds, excluding Limited Maturity Bond Fund and Money Market Fund, which have no sales load. Class B shares were offered at net asset value and have a 1.00% annual 12b-1 fee (0.25% for Limited Maturity Bond Fund and 0.875% for Money Market Fund). In addition, Class B shares have a maximum deferred sales charge of 5.00%. The deferred sales charge declines by 1.00% per year through the fifth year. Class B shares convert to Class A shares at the end of the fifth year. Institutional Class shares are offered at net asset value and have no annual 12b-1 fees. All three classes of shares have identical rights to earnings, assets and voting privileges, except for class specific expenses and exclusive rights to vote on matters affecting only individual classes. Effective October 16, 2004, the Trust no longer offers Class B shares for sale.

The following Funds have all three classes of shares: Technology Fund, Partner Small Cap Value Fund, Small Cap Stock Fund, Mid Cap Growth Fund, Mid Cap Stock Fund, Partner International Stock Fund, Large Cap Growth Fund, Large Cap Value Fund, Large Cap Stock Fund, Balanced Fund, High Yield Fund, Municipal Bond Fund, Income Fund, Core Bond Fund, Limited Maturity Bond Fund and Money Market Fund. Aggressive Allocation Fund, Moderately Aggressive Allocation Fund, Moderate Allocation Fund, Moderately Conservative Allocation Fund, Partner Small Cap Growth Fund, Partner Mid Cap Value Fund and Partner Worldwide Allocation Fund offer Class A and Institutional Class shares. Small Cap Index Fund, Mid Cap Index Fund and Large Cap Index Fund offer Class A shares only.

Under the Trust’s organizational documents, its officers and trustees are indemnified against certain liabilities arising out of the performance of their duties to the Trust. In addition, in the normal course of business, the Trust enters into contracts with vendors and others that provide general damage clauses. The Trust’s maximum exposure under these contracts is unknown, as this would involve future claims that may be made against the Trust. However, based on experience, the Trust expects the risk of loss to be remote.

(2) SIGNIFICANT ACCOUNTING POLICIES

(A) Valuation of Investments – Securities traded on U.S. or foreign securities exchanges or included in a national market system are valued at the official closing price at the close of each business day unless otherwise stated below. Over-the-counter securities and listed securities for which no price is readily available are valued at the current bid price considered best to represent the value at that time. Security prices are based on quotes that are obtained from an independent pricing service approved by the Board of Trustees. The pricing service, in determining values of fixed-income securities, takes into consideration such factors as current quotations by broker/dealers, coupon, maturity, quality, type of issue, trading characteristics, and other yield and risk factors it deems relevant in determining valuations. Securities which cannot be valued by the approved pricing service are valued using valuations obtained from dealers that make markets in the securities. Exchange listed options and futures contracts are valued at the last quoted sales price. Investments in open-ended mutual funds are valued at the net asset value at the close of each business day.

For all Funds, other than Money Market Fund, short-term securities with maturities of 60 days or less are valued at amortized cost. Securities held by Money Market Fund are valued on the basis of amortized cost (which approximates market value), whereby a portfolio security is valued at its cost initially and thereafter valued to reflect a constant amortization to maturity of any discount or premium. The market values of the securities held in Money Market Fund are determined once per week using prices supplied by the Trust’s independent pricing service. Money Market Fund and the Trust’s investment adviser follow procedures necessary to maintain a constant net asset value of $1.00 per share.

All securities for which market values are not readily available or deemed unreliable are appraised at fair value as determined in good faith under the direction of the Board of Trustees. As of October 31, 2008, one security in High Yield Fund was valued at fair value, which represented less than 0.01% of that Fund’s net assets.

Fair Valuation of International Securities – Because many foreign markets close before the U.S. markets, events may occur between the close of the foreign market and the close of the U.S. markets that could have a material impact on the valuation of foreign securities. The Funds, under the supervision of the Board of Trustees, evaluate the impacts of these events and may adjust the valuation of foreign securities to reflect the fair value as of the close of the U.S. markets. The Board of Trustees has authorized the investment adviser to make fair valuation determinations pursuant to policies approved by the Board of Trustees.

207

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(2) SIGNIFICANT ACCOUNTING POLICIES - continued

(B) Foreign Currency Translation – The accounting records of each Fund are maintained in U.S. dollars. Securities and other assets and liabilities that are denominated in foreign currencies are translated into U.S. dollars at the daily closing rates of exchange.

Foreign currency amounts related to the purchase or sale of securities and income and expenses are translated at the exchange rate on the transaction date. Net realized and unrealized currency gains and losses are recorded from sales of foreign currency, exchange gains or losses between the trade date and settlement dates on securities transactions, and other translation gains or losses on dividends, interest income and foreign withholding taxes. The Funds do not separately report the effect of changes in foreign exchange rates from changes in market prices on securities held. Such changes are included in net realized and unrealized gain or loss from investments.

For federal income tax purposes, the Funds treat the effect of changes in foreign exchange rates arising from actual foreign currency transactions and the changes in foreign exchange rates between the trade date and settlement date as ordinary income.

(C) Foreign Currency Contracts – In connection with purchases and sales of securities denominated in foreign currencies, all Funds except the Money Market Fund may enter into forward currency contracts. Additionally, the Funds may enter into such contracts to hedge certain other foreign currency denominated investments. These contracts are recorded at market value and the related realized and unrealized foreign exchange gains and losses are included in the Statement of Operations. In the event that counterparties fail to settle these forward contracts, the Funds could be exposed to foreign currency fluctuations. Foreign currency contracts are valued daily and unrealized appreciation or depreciation is recorded daily as the difference between the contract exchange rate and the closing forward rate applied to the face amount of the contract. A realized gain or loss is recorded at the time a forward contract is closed. During the year ended October 31, 2008, Technology Fund, Small Cap Stock Fund, Mid Cap Growth Fund, Partner Worldwide Allocation Fund, Partner International Stock Fund, Large Cap Growth Fund, Large Cap Stock Fund and Balanced Fund engaged in this type of investment.

(D) Foreign Denominated Investments – Foreign denominated assets and currency contracts may involve more risks than domestic transactions including currency risk, political and economic risk, regulatory risk, and market risk. Certain Funds may also invest in securities of companies located in emerging markets. Future economic or political developments could adversely affect the liquidity or value, or both, of such securities.

(E) Federal Income Taxes – No provision has been made for income taxes because each Funds’ policy is to qualify as a regulated investment company under the Internal Revenue Code and distribute substantially all investment company taxable income and net capital gain on a timely basis. It is also the intention of each Fund to distribute an amount sufficient to avoid imposition of any federal excise tax. The Funds, accordingly, anticipate paying no federal taxes and no federal tax provision was recorded. Each Fund is treated as a separate taxable entity for federal income tax purposes. Certain Funds may utilize earnings and profits distributed to shareholders on the redemption of shares as part of the dividends paid deduction.

Certain Funds are subject to foreign income taxes imposed by certain countries in which they invest. Withholding taxes on foreign dividends have been provided for in accordance with the applicable country’s tax rules and rates. These amounts are shown as foreign dividend tax withholding on the Statements of Operations.

In June 2006, the Financial Accounting Standards Board (FASB) issued FASB Interpretation No. 48 – Accounting for Uncertainty in Income Taxes (FIN 48), an interpretation of FASB Statement 109 that requires additional tax disclosures with respect to the tax effects of certain income tax positions, whether those positions were taken on previously filed tax returns or are expected to be taken on future returns. These positions must meet a “more likely than not” standard that, based on the technical merits of the position, would have a greater than 50 percent likelihood of being sustained upon examination. In evaluating whether a tax position has met the more-likely-than-not recognition threshold, management of the Fund must presume that the position will be examined by the appropriate taxing authority that has full knowledge of all relevant information. The Fund adopted the provisions of FIN 48 on April 30, 2008, as required by the U.S. Securities and Exchange Commission for mutual funds.

FIN 48 requires management of the Fund to analyze all open tax years, as defined by the statute of limitations, for all major jurisdictions. Open tax years are those that are open for examination by taxing authorities. Major jurisdictions for the Fund include Federal, Minnesota, Wisconsin, and Massachusetts as well as certain foreign countries. As of October 31, 2008, open Federal, Minnesota, Wisconsin, and Massachusetts tax years include the tax years ended October 31, 2005, through 2008. Additionally, as of October 31, 2008, the tax years ending in 2004 are open for Wisconsin. The Funds have no examinations in progress and none are expected at this time.

As of October 31, 2008, Management of the Fund has reviewed all open tax years and major jurisdictions and concluded that the adoption of FIN 48 resulted in no effect to the Fund’s tax liability, financial position or results of operations. There is no tax liability resulting from unrecognized tax benefits related to uncertain income tax

208

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(2) SIGNIFICANT ACCOUNTING POLICIES - continued

positions taken or expected to be taken in future tax returns. The Funds are also not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next 12 months.

(F) Expenses and Income – Estimated expenses are accrued daily. The Funds are charged for those expenses that are directly attributable to them. Expenses that are not directly attributable to a Fund are allocated among all appropriate Funds in proportion to their respective net assets, number of shareholder accounts or other reasonable basis. Net investment income, expenses which are not class-specific, and realized and unrealized gains and losses are allocated directly to each class based upon the relative net asset value of outstanding shares.

Interest income is accrued daily and is determined on the basis of interest or discount earned on all debt securities, including accretion of market discount and original issue discount and amortization of premium. Paydown gains and losses on mortgage- and asset-backed securities are recorded as components of interest income. Dividend income is recorded on the ex-dividend date.

(G) Custody Earnings Credit – The Funds have a deposit arrangement with the custodian whereby interest earned on uninvested cash balances is used to pay a portion of custodian fees. This deposit arrangement is an alternative to overnight investments. Earnings credits are shown as a reduction of total expenses on the Statement of Operations.

(H) Distributions to Shareholders – Dividend and capital gain distributions are recorded on the ex-dividend date. With the exception of Money Market Fund, net realized gains from securities transactions, if any, are paid at least annually after the close of the fiscal year.

Dividends from High Yield Fund, Municipal Bond Fund, Income Fund, Core Bond Fund, Limited Maturity Bond Fund and Money Market Fund are declared daily and paid monthly. Dividends from Money Market Fund also include any short-term net realized gains or losses on the sale of securities. Dividends from Moderate Allocation Fund, Moderately Conservative Allocation Fund and Balanced Fund are declared and paid quarterly. Dividends from the following funds are declared and paid annually: Aggressive Allocation Fund, Moderately Aggressive Allocation Fund, Technology Fund, Partner Small Cap Growth Fund, Partner Small Cap Value Fund, Small Cap Stock Fund, Small Cap Index Fund, Mid Cap Growth Fund, Partner Mid Cap Value Fund, Mid Cap Stock Fund, Mid Cap Index Fund, Partner Worldwide Allocation Fund, Partner International Stock Fund, Large Cap Growth Fund, Large Cap Value Fund, Large Cap Stock Fund and Large Cap Index Fund.

(I) Options – All Funds, with the exception of Money Market Fund, may buy put and call options and write put and covered call options. The Funds intend to use such derivative instruments as hedges to facilitate buying or selling securities or to provide protection against adverse movements in security prices or interest rates. The Funds may also enter into options contracts to protect against adverse foreign exchange rate fluctuations. 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 upon sale for a written call option or the cost of a security for purchased put and call options is adjusted by the amount of premium received or paid.

Buying put options tends to decrease a Fund’s exposure to the underlying security, while buying call options tends to increase a Fund’s exposure to the underlying security. The risk associated with purchasing put and call options is limited to the premium paid. Writing put options tends to increase a Fund’s exposure to the underlying security, while writing call options tends to decrease a Fund’s exposure to the underlying security. The writer of an option has no control over whether the underlying security may be sold or bought, and therefore bears the market risk of an unfavorable change in the price of the underlying security. Risks of loss may exceed amounts recognized on the Statement of Assets and Liabilities. During the year ended October 31, 2008, Mid Cap Growth Fund, Large Cap Growth Fund, Large Cap Stock Fund, Balanced Fund, Income Fund, Core Bond Fund, and Limited Maturity Bond Fund engaged in these types of investment.

(J) Financial Futures Contracts – Certain Funds use futures contracts to manage the exposure to interest rate and market fluctuations. Gains or losses on futures contracts can offset changes in the yield of securities. When a futures contract is opened, cash or other investments equal to the required “initial margin deposit” are held on deposit with and pledged to the broker. Additional securities held by the Funds may be earmarked for open futures contracts. The futures contract’s daily change in value (“variation margin”) is either paid to or received from the broker, and is recorded as an unrealized gain or loss. When the contract is closed, the realized gain or loss is recorded equal to the difference between the value of the contract when opened and the value of the contract when closed. Futures contracts involve, to varying degrees, risk of loss in excess of the variation margin disclosed in the Statement of Assets and Liabilities. During the year ended October 31, 2008, Aggressive Allocation Fund, Moderately Aggressive Allocation Fund, Moderate Allocation Fund, Moderately Conservative Allocation Fund, Partner Small Cap Growth Fund, Small Cap Stock Fund, Small Cap Index Fund, Mid Cap Index Fund, Partner Worldwide Allocation Fund, Large Cap Stock Fund, Large Cap Index Fund, Balanced Fund, High Yield Fund, Income Fund, Core Bond Fund and Limited Maturity Bond Fund engaged in this type of investment.

209

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(2) SIGNIFICANT ACCOUNTING POLICIES - continued

(K) Swap Agreements – Certain Funds enter into swap transactions, which involve swapping one or more investment characteristics of a security or a basket of securities with another party. Such transactions include market risk, risk of default by the other party to the transaction, risk of imperfect correlation and manager risk and may involve commissions or other costs. Swap transactions generally do not involve delivery of securities, other underlying assets or principal. Accordingly, the risk of loss with respect to swap transactions generally is limited to the net amount of payments that the Fund is contractually obligated to make, or in the case of the counterparty defaulting, the net amount of payments that the Fund is contractually entitled to receive. Risks of loss may exceed amounts recognized on the Statement of Assets and Liabilities. If there is a default by the counterparty, the Fund may have contractual remedies pursuant to the agreements related to the transaction. Periodic payments are recorded as realized gains or losses on the Statement of Operations. The contracts are valued daily and unrealized appreciation or depreciation is recorded. Periodic payments and receipts and payments received or made as a result of a credit event or termination of the contract are recognized as realized gains or losses on the Statement of Operations. Collateral, in the form of cash or securities, may be required to be held with the Trust’s custodian, or third party, in connection with these agreements.

Credit Default Swaps – A credit default swap is an agreement between two parties to exchange the credit risk of a particular issuer or reference entity. In a credit default swap transaction, a buyer pays periodic fees in return for payment by the seller which is contingent upon an adverse credit event occurring in the underlying issuer or referenced entity. The seller collects periodic fees from the buyer and profits if the credit of the underlying issuer or reference entity remains stable or improves while the swap is outstanding, but the seller in a credit default swap contract would be required to pay the amount of credit loss, determined as specified in the agreement, to the buyer in the event of an adverse credit event in the reference entity. A buyer of a credit default swap is said to buy protection whereas a seller of a credit default swap is said to sell protection. The Funds may be either the protection seller or the protection buyer. During the year ended October 31, 2008, Balanced Fund, High Yield Fund, Income Fund, Core Bond Fund and Limited Maturity Bond Fund engaged in this type of investment.

Total Rate of Return Swaps – A total rate of return swap is an agreement in which one party makes payments based on a set rate, either fixed or variable, while the other party makes payments based on the return of an underlying asset plus any capital gains and losses over the payment period. The underlying asset is typically an index, loan or a basket of assets. Total rate of return swaps provide the Funds with the additional flexibility of gaining exposure to a market or securities index by using the most cost-effective vehicle available. During the year ended October 31, 2008, no funds engaged in this type of investment.

Interest Rate Swaps – An interest rate swap is an agreement between two parties to exchange cash flows based on the difference between two interest rates. Typically, one party pays a fixed-rate for a specific period while the other pays a variable-rate based on an underlying index for the same period. Interest rate swaps allow the Funds to manage exposure to interest rate fluctuations. During the year ended October 31, 2008, Limited Maturity Bond Fund engaged in this type of investment.

(L) Mortgage Dollar Roll Transactions – Certain Funds enter into dollar roll transactions on securities issued or to be issued by the Government National Mortgage Association, Federal National Mortgage Association and Federal Home Loan Mortgage Corporation, in which the Funds sell mortgage securities and simultaneously agree to repurchase similar (same type and coupon) securities at a later date at an agreed upon price. The Funds must maintain liquid securities having a value not less than the repurchase price (including accrued interest) for such dollar rolls. The market value of the securities that the Funds are required to purchase may decline below the agreed upon repurchase price of those securities.

During the period between the sale and repurchase, the Funds forgo principal and interest paid on the mortgage securities sold. The Funds are compensated from negotiated fees paid by brokers offered as an inducement to the Funds to “roll over” their purchase commitments, thus enhancing their yield. Mortgage dollar rolls may be renewed with a new purchase and repurchase price and a cash settlement made on settlement date without physical delivery of the securities subject to the contract. The fees received are recognized over the roll period and are included in Income from mortgage dollar rolls in the Statement of Operations. During the year ended October 31, 2008, Balanced Fund, Income Fund, Core Bond Fund and Limited Maturity Bond Fund engaged in this type of investment.

(M) Securities Lending – The Trust has entered into a Securities Lending Agreement (the “Agreement”) with Dresdner Bank AG (“Dresdner”). The Agreement authorizes Dresdner to lend securities to authorized borrowers on behalf of the Funds. Pursuant to the Agreement, all loaned securities are initially collateralized by cash equal to at least 102% of the value of the loaned securities. All cash collateral received is invested in Thrivent Financial Securities Lending Trust. The Funds receive dividends and interest that would have been earned on the securities loaned while simultaneously seeking to earn income on the investment of cash collateral. Amounts earned on investments in Thrivent Financial Securities Lending Trust, net of rebates, fees paid to Dresdner for services provided and any other securities lending expenses, are included in Income from securities loaned on the Statement of Operations. By investing any cash collateral it receives in these transactions, a Fund could realize additional gains or losses. If the borrower fails to return the securities or the invested collateral has declined in value, the Fund could lose money. As of October 31, 2008, all

210

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(2) SIGNIFICANT ACCOUNTING POLICIES - continued

Funds except Aggressive Allocation Fund, Moderately Aggressive Allocation Fund, Moderate Allocation Fund, Moderately Conservative Allocation Fund, Partner Worldwide Allocation Fund, Municipal Bond Fund and Money Market Fund had securities on loan. The value of securities on loan is as follows


Fund	Securities on Loan
Technology	$	1,312,160
Partner Small Cap Growth		13,964,977
Partner Small Cap Value		30,820,515
Small Cap Stock		51,501,591
Small Cap Index		3,415,142
Mid Cap Growth		43,180,957
Partner Mid Cap Value		2,715,046
Mid Cap Stock		77,551,391
Mid Cap Index		2,479,204
Partner International Stock		606,946
Large Cap Growth		17,042,343
Large Cap Value		13,179,298
Large Cap Stock		71,539,276
Large Cap Index		674,624
Balanced		11,023,683
High Yield		29,148,760
Income		20,414,503
Core Bond		1,524,237
Limited Maturity Bond		51,262,651

(N) When-Issued and Delayed Delivery Transactions – Certain Funds may purchase or sell securities on a when-issued or delayed delivery basis. These transactions involve a commitment by a Fund to purchase or sell securities for a predetermined price or yield, with payment and delivery taking place beyond the customary settlement period. When delayed delivery purchases are outstanding, a Fund will designate liquid assets in an amount sufficient to meet the purchase price. When purchasing a security on a delayed delivery basis, a Fund assumes the rights and risks of ownership of the security, including the risk of price and yield fluctuations, and takes such fluctuations into account when determining its net asset value. A Fund may dispose of a delayed delivery transaction after it is entered into, and may sell when-issued securities before they are delivered, which may result in a capital gain or loss. When a Fund has sold a security on a delayed delivery basis, a Fund does not participate in future gains and losses with respect to the security.

(O) Treasury Inflation Protected Securities – Certain Funds may invest in treasury inflation protected securities (TIPS). These securities are fixed income securities whose principal value is periodically adjusted to the rate of inflation. The interest rate is generally fixed at issuance. Interest is paid based on the principal value, which is adjusted for inflation. Any increase in the principal amount will be included as taxable interest in the Statement of Operations and received upon maturity or sale of the security. During the year ended October 31, 2008, Balanced Fund, Income Fund, Core Bond Fund and Limited Maturity Bond Fund engaged in this type of investment.

(P) Repurchase Agreements – Each Fund may engage in repurchase agreement transactions in pursuit of its investment objective. A repurchase agreement consists of a purchase and a simultaneous agreement to resell an investment for later delivery at an agreed upon price and rate of interest. The Fund must take possession of collateral either directly or through a third-party custodian. If the original seller of a security subject to a repurchase agreement fails to repurchase the security at the agreed upon time, the Fund could incur a loss due to a drop in the market value of the security during the time it takes the Fund to either sell the security or take action to enforce the original seller’s agreement to repurchase the security. Also, if a defaulting original seller filed for bankruptcy or became insolvent, disposition of such security might be delayed by pending legal action. The Fund may only enter into repurchase agreements with banks and other recognized financial institutions such as broker/dealers that are found by the Funds’ investment adviser Thrivent Asset Management, LLC (“Thrivent Asset Mgt.” or the “Adviser”) or subadviser to be creditworthy. During the year ended October 31, 2008, Mid Cap Stock Fund, Partner International Stock Fund, Large Cap Stock Fund, High Yield Fund and Core Bond Fund engaged in these types of investments.

(Q) Equity-Linked Structured Securities – Certain funds may invest in equity-linked structured notes. Equity-linked structured notes are debt securities which combine the characteristics of common stock and the sale of an option. The return component is based upon the performance of a single equity security, a basket of equity securities, or an equity index and the sale of an option which is recognized as income. There is no guaranteed return of principal with these securities. The appreciation potential of these securities may be limited by a maximum payment or call right and can be influenced by many unpredictable factors. During the year ended October 31, 2008, Balanced Fund, Core Bond Fund and Limited Maturity Bond Fund engaged in this type of investment.

(R) Credit Risk – The Funds may be susceptible to credit risk to the extent an issuer or counterparty defaults on its payment obligation. The Funds’ policy is to monitor the creditworthiness of issuers. Interest receivable on defaulted securities is monitored for ability to collect payments in default and is adjusted accordingly.

(S) Accounting Estimates – The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates.

211

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(2) SIGNIFICANT ACCOUNTING POLICIES - continued

(T) Temporary Guarantee Program – The Trust, on behalf of Thrivent Money Market Fund, was a participant in the U.S. Department of the Treasury’s Temporary Guarantee Program for Money Market Funds (the “Program”) during the Program’s initial phase from September 19, 2008 through December 18, 2008. The U.S. Treasury has extended the Program until April 30, 2009. Details of Thrivent Money Market Fund’s participation in the extended Program is discussed below.

The Program guarantees the share price of a fund held by shareholders as of September 19, 2008, at $1.00 per share. Persons who were not shareholders as of September 19, 2008, are not covered by the Program.

The guarantee under the Program would be triggered if a fund’s per share net asset value falls below $0.995 (a “Guarantee Event”) and the fund commences the process of liquidation. Under the terms of the Program, the U.S. Treasury guarantees payment to each eligible shareholder the difference between the amount received in liquidation and the amount that eligible shareholder would have received had the net asset value of the fund been $1.00 per share. If the number of shares held by the eligible shareholder in a participating fund fluctuates over the duration of the Program, the Program would cover the lesser of (i) the number of shares held by the eligible shareholder in the fund as of September 19, 2008, or (ii) the number of shares held by the eligible shareholder as of the date of the Guarantee Event.

To participate in the initial phase of the Program, Thrivent Money Market Fund was required to pay an initial participation fee in the amount of 0.01% of the total net assets of the Fund as of September 19, 2008. The program was initially scheduled to remain in effect until December 18, 2008, but, as was stated earlier, the U.S. Treasury has extended the Program until April 30, 2009. The Fund applied to participate in the extension of the Program and was required to pay an extended participation fee of 0.015% of the total net assets of the Fund as of September 19, 2008.

(U) Unfunded Loan Commitment – Certain Funds may enter into loan commitments, all or a portion of which may be unfunded. The Fund is obligated to fund these commitments at the borrower’s discretion. Therefore, the Fund must have funds sufficient to cover its contractual obligation. These unfunded loan commitments, which are marked to market daily, are presented in the Schedule of Investments.

(V) Recent Accounting Pronouncements – In September 2006, the FASB issued FASB Statement No. 157 – Fair Value Measurements (“FAS 157”). The objective of the statement is to improve the consistency and comparability of fair value measurements used in financial reporting. FAS 157 defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and expands disclosures about fair value measurements. FAS 157 is effective for fiscal years beginning after November 15, 2007. As of October 31, 2008, management of the Fund does not believe that the adoption of FAS 157 will impact the financial statement amounts. However, additional disclosures may be required describing the inputs used to develop the fair value measurements.

In March 2008, the FASB issued Statement of Financial Accounting Standards No. 161 – Disclosures about Derivative Instruments and Hedging Activities: An Amendment of FASB Statement No. 133 (“FAS 161”). FAS 161 is intended to improve financial reporting for derivative instruments by requiring enhanced disclosure that enables investors to understand how and why an entity uses derivatives, how derivatives are accounted for and how derivative instruments affect an entity’s results of operations and financial position. The provisions are effective for fiscal years beginning after November 15, 2008. Management of the Fund is currently evaluating the impact that FAS 161 will have on the Fund’s financial statements.

In September 2008, the FASB released FASB Staff Position No. 133-1 – Disclosures about Credit Derivatives and Certain Guarantees (“FSP 133-1”). FSP 133-1 amends FASB Statement No. 133 to require disclosures by sellers of credit derivatives, including hybrid instruments that have credit derivatives embedded in them. The disclosures will include current status of the payment/performance risk of the credit derivative, as well as certain additional information, such as the nature and term of the credit derivative, the reason for entering into it, the maximum potential amount of future payments that could be required under the derivative arrangement and the fair value of the credit derivative. The provisions are effective for fiscal years and interim periods ending after November 15, 2008. Management of the Fund is currently evaluating the impact that FSP 133-1 will have on the Fund’s financial statements.

(W) Other – For financial statement purposes, investment security transactions are accounted for on the trade date. Realized gains and losses from investment transactions are determined on a specific cost identification basis, which is the same basis used for federal income tax purposes.

212

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(3) FEES AND COMPENSATION PAID TO AFFILIATES

(A) Investment Advisory Fees – The Trust has entered into an Investment Advisory Agreement with Thrivent Asset Mgt. Under the Investment Advisory Agreement, each of the Funds pays a fee for investment advisory services. The fees are accrued daily and paid monthly. The annual rates of fees as a percent of average daily net assets under the Investment Advisory Agreement were as follows:


Fund (M - Millions)	$0 to $50M		$50 to $100M		$100 to $200M		$200 to $250M		$250 to $500M		$500 to $750M		$750 to $1,000M		$1,000 to $2,000M		$2,000 to $2,500M		$2,500 to $5,000M		Over $5,000M
Aggressive Allocation	0.150	%	0.150	%	0.150	%	0.150	%	0.150	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%
Moderately Aggressive Allocation	0.150	%	0.150	%	0.150	%	0.150	%	0.150	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%
Moderate Allocation	0.150	%	0.150	%	0.150	%	0.150	%	0.150	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%
Moderately Conservative Allocation	0.150	%	0.150	%	0.150	%	0.150	%	0.150	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%	0.125	%
Technology	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%
Partner Small Cap Growth	0.900	%	0.900	%	0.900	%	0.900	%	0.900	%	0.800	%	0.800	%	0.800	%	0.800	%	0.800	%	0.800	%
Partner Small Cap Value	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%
Small Cap Stock	0.700	%	0.700	%	0.700	%	0.650	%	0.650	%	0.650	%	0.650	%	0.600	%	0.600	%	0.550	%	0.525	%
Small Cap Index	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%
Mid Cap Growth	0.450	%	0.450	%	0.400	%	0.400	%	0.350	%	0.300	%	0.300	%	0.250	%	0.250	%	0.250	%	0.250	%
Partner Mid Cap Value	0.750	%	0.750	%	0.750	%	0.750	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%	0.700	%
Mid Cap Stock	0.700	%	0.700	%	0.700	%	0.650	%	0.650	%	0.650	%	0.650	%	0.600	%	0.600	%	0.550	%	0.525	%
Mid Cap Index	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%
Partner Worldwide Allocation	0.900	%	0.900	%	0.900	%	0.900	%	0.850	%	0.850	%	0.850	%	0.850	%	0.850	%	0.850	%	0.850	%
Partner International Stock	0.650	%	0.600	%	0.600	%	0.600	%	0.600	%	0.600	%	0.600	%	0.600	%	0.600	%	0.600	%	0.600	%
Large Cap Growth	0.750	%	0.750	%	0.750	%	0.750	%	0.750	%	0.700	%	0.700	%	0.650	%	0.650	%	0.600	%	0.575	%
Large Cap Value	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%
Large Cap Stock	0.650	%	0.650	%	0.650	%	0.650	%	0.650	%	0.575	%	0.575	%	0.500	%	0.475	%	0.450	%	0.425	%
Large Cap Index	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%	0.250	%
Balanced	0.550	%	0.550	%	0.550	%	0.550	%	0.550	%	0.500	%	0.500	%	0.475	%	0.475	%	0.450	%	0.425	%
High Yield	0.400	%	0.400	%	0.400	%	0.400	%	0.400	%	0.350	%	0.350	%	0.300	%	0.300	%	0.300	%	0.300	%
Municipal Bond	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.400	%	0.400	%	0.350	%	0.350	%	0.325	%	0.300	%
Income	0.350	%	0.350	%	0.350	%	0.350	%	0.350	%	0.325	%	0.325	%	0.300	%	0.300	%	0.300	%	0.300	%
Core Bond	0.450	%	0.450	%	0.450	%	0.450	%	0.450	%	0.400	%	0.400	%	0.375	%	0.375	%	0.350	%	0.325	%
Limited Maturity Bond	0.300	%	0.300	%	0.300	%	0.300	%	0.300	%	0.275	%	0.275	%	0.250	%	0.250	%	0.250	%	0.250	%
Money Market	0.500	%	0.500	%	0.500	%	0.500	%	0.500	%	0.400	%	0.350	%	0.325	%	0.325	%	0.300	%	0.275	%

(B) Sub-Adviser Fees – The following subadviser fees are charged as part of the total investment advisory fees stated in the table above. The subadvisory fees are borne directly by the Adviser and do not increase the overall fees paid by the Fund.

Partner Small Cap Growth Fund

The Adviser had entered into subadvisory agreements with Turner Investment Partners, Inc. (“Turner”) and Transamerica Investment Management, LLC (“Transamerica”) for the performance of subadvisory services. The fee payable to Turner was equal to 0.65% of average daily net assets. The fee payable to Transamerica was 0.50% of average daily net assets. As of May 1, 2008, Transamerica is no longer a subadviser to this Fund. In addition, as of May 1, 2008, the fee payable to Turner is equal to 0.65% of the first $100 million of average net assets and 0.60% for assets over $100 million. Thrivent Partner Small Cap Growth Portfolio is included in determining breakpoints for the assets managed by Turner.

Partner Small Cap Value Fund

The Adviser has entered into a subadvisory agreement with T. Rowe Price Associates, Inc. for performance of subadvisory services. The subadvisory fee, which is paid by the Adviser from its advisory fee, is 0.60% of average daily net assets.

Partner Mid Cap Value Fund

The Adviser has entered into a subadvisory agreement with Goldman Sachs Asset Management, LP (“GSAM”) for the performance of subadvisory services. The fee payable is equal to 0.50% of average daily net assets for the first $250 million and 0.45% for assets over $250 million. Thrivent Partner Mid Cap Value Portfolio is included in determining breakpoints for the assets managed by GSAM.

Partner Worldwide Allocation Fund

The Adviser has entered into subadvisory agreements with Mercator Asset Management, LP (“Mercator”), Principal Global Investors, LLC (“Principal”), Aberdeen Asset Management Investment Services Limited (“Aberdeen”), Victory Capital Management, Inc. (“Victory”) and GSAM for the performance of subadvisory services.

213

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(3) FEES AND COMPENSATION PAID TO AFFILIATES - continued

The fee payable for Mercator is equal to 0.75% of the first $25 million of average daily net assets, 0.60% of the next $25 million, 0.55% of the next $25 million, 0.50% of the next $225 million, 0.40% of the next $200 million and 0.20% of average daily net assets over $500 million. Thrivent Partner Worldwide Allocation Portfolio, Thrivent Partner International Stock Fund and Thrivent Partner International Stock Portfolio will be included in determining breakpoints for the assets managed by Mercator.

The fee payable for Principal is equal to 0.35% of the first $500 million of average daily net assets, 0.30% of the next $500 million and 0.25% of average daily net assets over $1 billion. Thrivent Partner Worldwide Allocation Portfolio, Thrivent Partner International Stock Fund and Thrivent Partner International Stock Portfolio will be included in determining breakpoints for the assets managed by Principal.

The fee payable for Aberdeen is equal to 0.85% of the first $50 million of average daily net assets, 0.72% of the next $50 million and 0.68% of average daily net assets over $100 million. Thrivent Partner Worldwide Allocation Portfolio and Thrivent Partner Emerging Markets Portfolio will be included in determining breakpoints for the assets managed by Aberdeen.

The fee payable for Victory is equal to 0.95% of the first $25 million of average daily net assets, 0.85% of the next $75 million and 0.80% of average daily net assets over $100 million. Thrivent Partner Worldwide Allocation Portfolio will be included in determining breakpoints for the assets managed by Victory.

The fee payable for GSAM is equal to 0.55% of the first $50 million of average daily net assets, 0.50% of the next $200 million and 0.45% of average daily net assets over $250 million. Thrivent Partner Worldwide Allocation Portfolio will be included in determining breakpoints for the assets managed by GSAM.

Partner International Stock Fund

The Adviser has entered into subadvisory agreements with Mercator and Principal for the performance of subadvisory services.

The fee payable for Mercator is equal to 0.75% of the first $25 million of average daily net assets, 0.60% of the next $25 million, 0.55% of the next $25 million, 0.50% of the next $225 million, 0.40% of the next $200 million and 0.20% of average daily net assets over $500 million. Thrivent Partner International Stock Portfolio, Thrivent Partner Worldwide Allocation Fund and Thrivent Partner Worldwide Allocation Portfolio will be included in determining breakpoints for the assets managed by Mercator.

The fee payable for Principal is equal to 0.35% of the first $500 million of average daily net assets, 0.30% of the next $500 million and 0.25% of average daily net assets over $1 billion. Thrivent Partner International Stock Portfolio, Thrivent Partner Worldwide Allocation Fund and Thrivent Partner Worldwide Allocation Portfolio will be included in determining breakpoints for the assets managed by Principal.

214

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(3) FEES AND COMPENSATION PAID TO AFFILIATES - continued

As of October 31, 2008, the following voluntary expense reimbursements, as a percentage of net assets, were in effect:


Fund	Class A		Class B		Institutional Class		Expiration Date
Technology	—		1.00	%	—		N/A
Partner Small Cap Value	0.10	%	0.10	%	0.10	%	N/A
Large Cap Growth	—		0.80	%	—		N/A
Core Bond	0.10	%	—		—		N/A
Money Market	0.20	%	0.10	%	0.10	%	N/A

These voluntary reimbursements may be discontinued at any time.

As of October 31, 2008, contractual expense reimbursements to limit expenses to the following percentages were in effect:


Fund	Class A		Class B	Institutional Class		Expiration Date
Aggressive Allocation	0.55	%	N/A	—		2/28/2009
Moderately Aggressive Allocation	0.52	%	N/A	—		2/28/2009
Moderate Allocation	0.51	%	N/A	—		2/28/2009
Moderately Conservative Allocation	0.48	%	N/A	—		2/28/2009
Technology	1.47	%	—	—		2/28/2009
Small Cap Index	0.95	%	N/A	N/A		2/28/2009
Partner Mid Cap Value	1.25	%	N/A	0.99	%	2/28/2009
Mid Cap Index	0.60	%	N/A	N/A		2/28/2009
Partner Worldwide Allocation	1.30	%	N/A	0.95	%	2/28/2009
Large Cap Growth	1.17	%	—	—		2/28/2009
Large Cap Index	0.60	%	N/A	N/A		2/28/2009

As of October 15, 2004, all Class B shares net operating expenses are limited to the following percentage of daily net assets of Class B shares: Technology Fund, 3.34%; Partner Small Cap Value Fund, 2.63%; Small Cap Stock Fund, 2.43%; Mid Cap Growth Fund, 2.31%; Mid Cap Stock Fund, 2.39%; Partner International Stock Fund, 2.79%; Large Cap Growth Fund, 2.55%; Large Cap Value Fund, 2.21%; Large Cap Stock Fund, 1.89%; Balanced Fund, 2.06%; High Yield Fund, 1.73%; Municipal Bond Fund, 1.47%; Income Fund, 1.63%; Core Bond Fund, 1.95%; Limited Maturity Bond Fund, 0.89%; and Money Market Fund, 1.95%. These reimbursements will be in effect as long as assets remain in the Class B shares.

Class B share expenses are voluntarily reimbursed to limit expenses to 2.75% of average daily net assets for Technology Fund and Partner International Stock Fund. Additionally, Class B share expenses were voluntarily reimbursed to limit expenses to 1.01% of average daily net assets for Money Market Fund. These voluntary expense reimbursements may be discontinued at any time.

Each equity, hybrid and fixed income fund may invest cash in Money Market Fund, subject to certain limitations. During the year ended October 31, 2008, all funds, with the exception of Municipal Bond Fund, invested in Money Market Fund. These related-party transactions are subject to the same terms as non-related party transactions except that, to avoid duplicate investment advisory fees, Thrivent Asset Mgt. reimburses an amount equal to the smaller of the amount of the advisory fee for that Fund or the amount of the advisory fee which is charged to the Fund for its investment in Money Market Fund.

(C) Distribution Plan – Thrivent Investment Management, Inc. (“Thrivent Investment Mgt.”) is the Trust’s distributor. The Trust has adopted a Distribution Plan pursuant to Rule 12b-1 under the 1940 Act. Class A shares have a Rule 12b-1 fee of up to 0.25% (up to 0.125% for Limited Maturity Bond Fund and Money Market Fund) of average net assets. Class B shares have a Rule 12b-1 fee of up to 1.00% (up to 0.25% for Limited Maturity Bond Fund and up to 0.875% for Money Market Fund) of average net assets.

(D) Sales Charges and Other Fees – For the year ended October 31, 2008, Thrivent Investment Mgt. received $13,694,337 of aggregate underwriting concessions from the sales of the Trust’s Class A and Class B shares and aggregate deferred sales charges of $84,976 from redemptions of Class A and Class B shares. Sales charges are not an expense of the Trust and are not reflected in the financial statements of any of the Funds.

The Trust has entered into an accounting services agreement with Thrivent Asset Mgt. pursuant to which Thrivent Asset Mgt. provides certain accounting personnel and services. For the year ended October 31, 2008, Thrivent Asset Mgt. received aggregate fees for accounting personnel and services of $1,227,559 from the Trust.

The Trust has entered into an administrative services agreement with Thrivent Asset Mgt. to provide certain administrative personnel and services to the Funds. For the year ended October 31, 2008, Thrivent Asset Mgt. received aggregate fees for administrative personnel and services of $2,930,830 from the Trust.

215

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(3) FEES AND COMPENSATION PAID TO AFFILIATES - continued

The Trust has entered into an agreement with Thrivent Financial Investor Services Inc. (“Thrivent Investor Services”) to provide the Funds with transfer agent services. For the year ended October 31, 2008, Thrivent Investor Services received $16,504,090 for transfer agent services from the Trust.

Each Trustee is eligible to participate in a deferred compensation plan with respect to fees received from the Funds. Participants in the plan may designate their deferred Trustee’s fees as if invested in any one of the Thrivent Mutual Funds. The value of each Trustee’s deferred compensation account will increase or decrease as if invested in shares designated to the selected Thrivent Mutual Funds. The deferred fees remain in the appropriate Fund until distribution in accordance with the plan. The deferred fee liability is an unsecured liability.

Those Trustees not participating in the above plan received $206,464 in fees from the Trust for the year ended October 31, 2008. No remuneration has been paid by the Trust to any of the officers or affiliated Trustees of the Trust. In addition, the Trust reimbursed unaffiliated Trustees for reasonable expenses incurred in relation to attendance at the meetings and industry conferences.

Certain officers and non-independent trustees of the Funds are officers and directors of Thrivent Asset Mgt., Thrivent Investment Mgt., and Thrivent Investor Services; however, they receive no compensation from the Funds.

(E) Indirect Expenses – Some Funds invest in other mutual funds. Fees and expenses of those underlying funds are not included in those Funds’ expense ratios. The Funds indirectly bear their proportionate share of the annualized weighted average expense ratio of the underlying funds in which they invest.

(4) TAX INFORMATION

Distributions are based on amounts calculated in accordance with the applicable federal income tax regulations, which may differ from accounting principles generally accepted in the United States of America. To the extent that these differences are permanent in nature, such amounts are reclassified within the capital accounts based on their federal tax-basis treatment; temporary differences do not require reclassifications.

On the Statement of Assets and Liabilities, as a result of permanent book-to-tax differences, reclassification adjustments were made as follows [Increase/(Decrease)]:


Fund	Accumulated Net Investment Income/(Loss)			Accumulated Net Realized Gain/(Loss)		Trust Capital
Aggressive Allocation	$	6,658,611		($6,658,611	)	$	—
Moderately Aggressive
Allocation		12,291,614		(12,291,614	)		—
Moderate Allocation		9,258,259		(9,258,259	)		—
Moderately Conservative Allocation		2,096,713		(2,096,713	)		—
Technology		199,202		8,598			(207,800	)
Partner Small Cap Growth		83,423		23,075			(106,498	)
Partner Small Cap Value		(239,346	)	136,339			103,007
Small Cap Stock		(70,066	)	(11,356	)		81,422
Small Cap Index		(86,457	)	86,457			—
Mid Cap Growth		374,975		(78,031	)		(296,944	)
Partner Mid Cap Value		(99,055	)	109,080			(10,025	)
Mid Cap Stock		302,208		140,302			(442,510	)
Mid Cap Index		(94,272	)	94,722			(450	)
Partner Worldwide Allocation		(161,260	)	185,663			(24,403	)
Partner International Stock		1,559,704		(1,559,704	)		—
Large Cap Growth		4,877		1,026			(5,903	)
Large Cap Value		(4,206	)	4,206			—
Large Cap Stock		(98,879	)	7,568			91,311
Large Cap Index		(30,461	)	30,461			—
Balanced		(332,888	)	(21,996	)		354,884
High Yield		224,453		14,832,619			(15,057,072	)
Municipal Bond		(47,096	)	47,096			—
Income		443,163		88,434			(531,597	)
Core Bond		323,181		(323,181	)		—
Limited Maturity Bond		298,048		(350,218	)		52,170

At October 31, 2008, the components of distributable earnings on a tax basis were as follows:


Fund	Undistributed Ordinary Income		Undistributed Long-Term Capital Gain
Aggressive Allocation	$	244,933	$	17,451,182
Moderately Aggressive Allocation		7,684,559		20,245,673
Moderate Allocation		1,245,200		5,577,929
Moderately Conservative Allocation		735,790		—
Partner Small Cap Value		1,039,736		7,706,453
Small Cap Stock		913,755		—
Small Cap Index		171,043		3,946,613
Partner Mid Cap Value		581,676		—
Mid Cap Stock		4,268,520		—
Mid Cap Index		357,738		3,012,652
Partner Worldwide Allocation		1,538,573		—
Partner International Stock		10,791,815		—
Large Cap Growth		798,917		—
Large Cap Value		9,621,335		—

216

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(4) TAX INFORMATION - continued


Fund	Undistributed Ordinary Income			Undistributed Long-Term Capital Gain
Large Cap Stock	$	22,541,371		$	—
Large Cap Index		924,957			—
Balanced		271,100			—
High Yield		(164,823	)		—
Municipal Bond^a		46,272			1,146,059
Income		355,720			—
Core Bond		389,100			—
Limited Maturity Bond		249,706			—
Money Market		177,569			—

a	Municipal Bond Fund undistributed ordinary income is primarily exempt from federal income taxes.

At October 31, 2008, the following Funds had accumulated net realized capital loss carryovers expiring as follows:


Fund	Capital Loss Carryover		Expiration Year
Moderately Conservative Allocation		2,065,363	2016

	$	2,065,363

Technology		7,552,067	2009
		13,695,973	2010
		1,279,762	2011
		1,471,537	2012
		9,892,956	2016

	$	33,892,295

Partner Small Cap Growth		17,566,900	2016

	$	17,566,900

Small Cap Stock		59,938,090	2016

	$	59,938,090

Mid Cap Growth		6,613,531	2009
		6,613,531	2010

	$	13,227,062

Partner Mid Cap Value		9,746,419	2016

	$	9,746,419

Mid Cap Stock		187,942,547	2016

	$	187,942,547

Partner Worldwide Allocation		8,349,574	2016

	$	8,349,574

Partner International Stock		5,685,578	2010
		55,197,097	2016

	$	60,882,675

Large Cap Growth		4,358,032	2009
		2,179,015	2010
		59,752,512	2016

	$	66,289,559

Large Cap Value		44,030,473	2016

	$	44,030,473

Large Cap Stock		20,145,127	2009
		45,072,180	2010

	$	65,217,307

Large Cap Index		2,326,801	2014
		1,522,997	2016

	$	3,849,798

Balanced		2,179,766	2016

	$	2,179,766

High Yield		125,418,013	2009
		223,628,596	2010
		90,973,334	2011
		11,792,481	2012
		1,037,644	2013
		1,574,393	2014
		32,937,341	2016

	$	487,361,802

Income		17,362,752	2010
		9,939,596	2014
		21,119,656	2016

	$	48,422,004

Core Bond		1,246,299	2012
		1,300,054	2013
		9,402,862	2014
		1,199,140	2015
		5,142,913	2016

	$	18,291,268

Limited Maturity Bond		413,501	2013
		602,582	2014
		4,583,007	2016

	$	5,599,090

Money Market		19,536	2015
		67,104	2016

	$	86,640

To the extent that these Funds realize future net capital gains, taxable distributions will be reduced by any unused capital loss carryovers as permitted by the Internal Revenue Code.

During the fiscal year 2008, Capital loss carryovers of $6,613,531, $4,846,940, and $631,235 were utilized by Mid Cap Growth Fund, Large Cap Stock Fund, and Municipal Bond Fund. In addition, the following capital loss carryovers expired during the fiscal year 2008: High Yield Fund; $15,133,980 and Income Fund; $531,597.

217

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(4) TAX INFORMATION - continued

The tax character of distributions paid during the years ended October 31, 2008 and 2007 was as follows:


	Tax-Exempt Income				Ordinary Income				Long-Term Capital Gain
Fund	10/31/2008		10/31/2007		10/31/2008		10/31/2007		10/31/2008		10/31/2007
Aggressive Allocation	$	—	$	—	$	10,842,388	$	4,045,342	$	5,854,153	$	485,309
Moderately Aggressive Allocation		—		—		28,317,573		11,046,128		11,819,783		845,355
Moderate Allocation		—		—		34,324,916		17,864,622		11,287,059		1,328,873
Moderately Conservative Allocation		—		—		13,538,182		7,591,127		2,612,434		367,841
Partner Small Cap Growth		—		—		475,418		50,532		2,966,698		3,462
Partner Small Cap Value		—		—		2,077,837		1,651,146		9,502,303		4,632,190
Small Cap Stock		—		—		—		32,327		68,131,147		56,823,771
Small Cap Index		—		—		287,385		147,024		4,941,997		3,303,677
Mid Cap Growth		—		—		16,107,290		—		25,349,717		22,856,197
Partner Mid Cap Value		—		—		1,576,185		582,204		1,524,721		122,933
Mid Cap Stock		—		—		48,403,788		65,331,719		104,997,255		121,689,673
Mid Cap Index		—		—		441,326		465,453		6,264,732		2,807,927
Partner International Stock		—		—		13,223,691		7,072,912		59,329,987		—
Large Cap Growth		—		—		25,580,687		1,611,639		14,227,172		—
Large Cap Value		—		—		11,198,703		11,311,021		29,157,758		23,854,746
Large Cap Stock		—		—		101,566,144		32,993,037		296,690,398		142,672,537
Large Cap Index		—		—		1,291,440		1,253,298		—		—
Balanced		—		—		13,144,368		14,616,287		12,582,777		7,585,175
High Yield		—		—		45,642,978		45,718,586		—		—
Municipal Bond		51,458,628		52,400,219		287,561		305,138		—		—
Income		—		—		41,809,100		36,677,821		—		—
Core Bond		—		—		17,635,379		16,966,618		—		—
Limited Maturity Bond		—		—		21,722,771		15,855,497		—		—
Money Market		—		—		51,098,275		68,072,261		—		—

(5) SECURITY TRANSACTIONS

(A) Purchases and Sales of Investment Securities – For the year ended October 31, 2008, the cost of purchases and the proceeds from sales of investment securities, other than U.S. Government and short-term securities were as follows:


	In thousands
Fund	Purchases		Sales
Aggressive Allocation	$	181,633	$	56,536
Moderately Aggressive Allocation		466,834		183,764
Moderate Allocation		442,599		150,901
Moderately Conservative Allocation		185,585		63,958
Technology		88,010		91,916
Partner Small Cap Growth		183,395		149,815
Partner Small Cap Value		82,082		48,760
Small Cap Stock		1,140,260		1,129,857
Small Cap Index		10,336		16,999
Mid Cap Growth		259,582		249,760
Partner Mid Cap Value		123,237		61,110
Mid Cap Stock		2,383,255		2,300,222
Mid Cap Index		12,103		20,128
Partner Worldwide Allocation		134,133		36,280
Partner International Stock		453,991		426,343
Large Cap Growth		931,087		975,012
Large Cap Value		345,787		292,901
Large Cap Stock		2,523,467		2,963,353
Large Cap Index		6,650		14,667
Balanced		137,523		165,467
High Yield		342,656		276,836
Municipal Bond		135,630		103,236
Income		313,785		322,671
Core Bond		74,632		139,441
Limited Maturity Bond		165,278		134,200

Purchases and sales of U.S. Government securities were:


	In thousands
Fund	Purchases		Sales
Balanced	$	375,115	$	397,460
Income		962,966		1,002,943
Core Bond		1,332,479		1,348,239
Limited Maturity Bond		468,591		402,101

(B) Investments in Restricted Securities – Certain Funds may own restricted securities that have been deemed illiquid and were purchased in private placement transactions without registration under the Securities Act of 1933. Unless such securities subsequently become registered, they generally may be resold only in privately negotiated transactions with a limited number of purchasers. As of October 31, 2008, the following funds held restricted securities:

218

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(5) SECURITY TRANSACTIONS - continued


Fund	Number of Securities	Percent of Fund’s Net Assets
Balanced	1	0.20	%
High Yield	6	3.01	%
Income	5	1.20	%
Core Bond	1	0.27	%
Limited Maturity Bond	2	0.05	%

The Funds have no right to require registration of unregistered securities.

(C) Investments in High-Yielding Securities – High Yield Fund invests primarily in high-yielding fixed-income securities. Each of the other Funds, except Money Market Fund, may also invest in high-yielding securities. These securities will typically be in the lower rating categories or will be non-rated and generally will involve more risk than securities in the higher rating categories. Lower rated or unrated securities are more likely to react to developments affecting market risk and credit risk than are more highly rated securities, which react primarily to movements in the general level of interest rates.

(D) Investments in Options and Futures Contracts – The movement in the price of the security underlying an option or futures contract may not correlate perfectly with the movement in the prices of the portfolio securities being hedged. A lack of correlation could render the Fund’s hedging strategy unsuccessful and could result in a loss to the Fund. In the event that a liquid secondary market would not exist, the Fund could be prevented from entering into a closing transaction, which could result in additional losses to the Fund.

(E) Written Option Contracts – The number of contracts and premium amounts associated with call option contracts written during the year ended October 31, 2008, were as follows:


	Number of Contracts		Premium Amount
Mid Cap Growth
Balance at October 31, 2007	31		$	7,984
Opened	—			—
Closed	—			—
Expired	(31	)		(7,984	)
Exercised	—			—

Balance at October 31, 2008	—		$	—

Large Cap Growth
Balance at October 31, 2007	833		$	109,292
Opened	9,157			1,797,118
Closed	(6,144	)		(1,175,813	)
Expired	(2,288	)		(401,255	)
Exercised	(1,558	)		(329,342	)

Balance at October 31, 2008	—		$	—

Large Cap Stock
Balance at October 31, 2007	—		$	—
Opened	13,909			3,163,184
Closed	(7,326	)		(1,716,829	)
Expired	(2,884	)		(614,706	)
Exercised	(3,699	)		(831,649	)

Balance at October 31, 2008	—		$	—

Balanced
Balance at October 31, 2007	6		$	18,750
Opened	12			64,180
Closed	—			—
Expired	(10	)		(33,125	)
Exercised	(8	)		(49,805	)

Balance at October 31, 2008	—		$	—

Income
Balance at October 31, 2007	37		$	80,938
Opened	40			231,250
Closed	—			—
Expired	(57	)		(152,813	)
Exercised	(20	)		(159,375	)

Balance at October 31, 2008	—		$	—

Core Bond
Balance at October 31, 2007	24		$	75,000
Opened	43			224,219
Closed	—			—
Expired	(37	)		(119,922	)
Exercised	(30	)		(179,297	)

Balance at October 31, 2008	—		$	—

Limited Maturity Bond
Balance at October 31, 2007	7		$	15,313
Opened	—			—
Closed	—			—
Expired	(7	)		(15,313	)
Exercised	—			—

Balance at October 31, 2008	—		$	—

(6) SECURITY TRANSACTIONS WITH AFFILIATED FUNDS

The Funds are permitted to purchase or sell securities from or to certain other Funds under specified conditions outlined in procedures adopted by the Board of Trustees of the Trust. The procedures have been designed to ensure that any purchase or sale of securities by the Fund from or to another fund or portfolio that is or could be considered an affiliate by virtue of having a common investment adviser (or affiliated investment advisers), common Trustees and/or common officers complies with Rule 17a-7 of the 1940 Act. Further, as defined under the procedures, each transaction is effected at the current market price. Pursuant to these procedures, during the year ended October 31, 2008, the Funds engaged in purchases and sales of securities of $57,668,607 and $17,775,135, respectively.

219

Thrivent Mutual Funds

Notes to Financial Statements

As of October 31, 2008

(7) RELATED PARTY TRANSACTIONS

As of October 31, 2008, related parties held the following shares in excess of 5% of Thrivent Mutual Funds:


Fund	Shares	Percent of Fund’s Outstanding Shares
Technology	484,424	5.5	%
Partner Small Cap Growth	942,592	9.9	%
Partner Mid Cap Value	489,583	5.0	%
Partner Worldwide Allocation	4,399,995	42.7	%
Core Bond	4,672,312	13.5	%

As of October 31, 2008, retirement plans sponsored by Thrivent Financial for Lutherans held the following shares of Thrivent Mutual Funds:


Fund	Shares	Percent of Fund’s Outstanding Shares
Aggressive Allocation	5,970,912	15.7	%
Moderately Aggressive Allocation	6,368,209	7.1	%
Partner Small Cap Value	1,023,069	8.8	%
Partner International Stock	3,458,017	6.7	%
Balanced	5,455,552	24.7	%

220

[THIS PAGE INTENTIONALLY LEFT BLANK]

221

Thrivent Mutual Funds

Financial Highlights


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
AGGRESSIVE ALLOCATION FUND
Class A Shares
Year Ended 10/31/2008	$	13.79	$	0.16		$	(5.13	)	$	(4.97	)	$	(0.35	)	$	(0.21	)	$	(0.56	)
Year Ended 10/31/2007		11.88		0.14			1.99			2.13			(0.19	)		(0.03	)		(0.22	)
Year Ended 10/31/2006		10.37		0.15			1.49			1.64			(0.13	)		—			(0.13	)
Year Ended 10/31/2005 ^(c)		10.00		(0.01	)		0.38			0.37			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		13.86		0.21			(5.18	)		(4.97	)		(0.37	)		(0.21	)		(0.58	)
Year Ended 10/31/2007		11.94		0.16			2.02			2.18			(0.23	)		(0.03	)		(0.26	)
Year Ended 10/31/2006		10.39		0.20			1.49			1.69			(0.14	)		—			(0.14	)
Year Ended 10/31/2005 ^(c)		10.00		—			0.39			0.39			—			—			—
MODERATELY AGGRESSIVE ALLOCATION FUND
Class A Shares
Year Ended 10/31/2008		13.23		0.24			(4.58	)		(4.34	)		(0.36	)		(0.17	)		(0.53	)
Year Ended 10/31/2007		11.72		0.21			1.56			1.77			(0.24	)		(0.02	)		(0.26	)
Year Ended 10/31/2006		10.31		0.19			1.35			1.54			(0.13	)		—			(0.13	)
Year Ended 10/31/2005 ^(c)		10.00		0.01			0.30			0.31			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		13.30		0.27			(4.60	)		(4.33	)		(0.39	)		(0.17	)		(0.56	)
Year Ended 10/31/2007		11.77		0.23			1.60			1.83			(0.28	)		(0.02	)		(0.30	)
Year Ended 10/31/2006		10.33		0.23			1.35			1.58			(0.14	)		—			(0.14	)
Year Ended 10/31/2005 ^(c)		10.00		0.01			0.32			0.33			—			—			—
MODERATE ALLOCATION FUND
Class A Shares
Year Ended 10/31/2008		12.32		0.30			(3.62	)		(3.32	)		(0.41	)		(0.17	)		(0.58	)
Year Ended 10/31/2007		11.30		0.30			1.10			1.40			(0.34	)		(0.04	)		(0.38	)
Year Ended 10/31/2006		10.22		0.27			1.08			1.35			(0.27	)		—			(0.27	)
Year Ended 10/31/2005 ^(c)		10.00		0.02			0.22			0.24			(0.02	)		—			(0.02	)
Institutional Class Shares
Year Ended 10/31/2008		12.34		0.35			(3.65	)		(3.30	)		(0.44	)		(0.17	)		(0.61	)
Year Ended 10/31/2007		11.32		0.33			1.09			1.42			(0.36	)		(0.04	)		(0.40	)
Year Ended 10/31/2006		10.23		0.31			1.09			1.40			(0.31	)		—			(0.31	)
Year Ended 10/31/2005 ^(c)		10.00		0.03			0.22			0.25			(0.02	)		—			(0.02	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	Since fund inception, June 30, 2005.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

222

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	8.26	(37.44	)%	$	264.2	0.53	%	0.94	%	0.72	%	0.75	%	15	%
	13.79	18.27	%		332.7	0.38	%	0.79	%	0.72	%	0.45	%	15	%
	11.88	15.95	%		176.0	0.10	%	0.78	%	0.81	%	0.07	%	8	%
	10.37	3.70	%		25.2	0.89	%	(0.60	)%	1.62	%	(1.34	)%	3	%

	8.31	(37.27	)%		50.4	0.20	%	1.26	%	0.20	%	1.26	%	15	%
	13.86	18.64	%		57.8	0.10	%	1.11	%	0.21	%	1.00	%	15	%
	11.94	16.45	%		35.8	(0.44	)%	1.25	%	0.27	%	0.53	%	8	%
	10.39	3.90	%		4.2	0.10	%	0.08	%	0.87	%	(0.69	)%	3	%


	8.36	(33.99	)%		698.3	0.51	%	1.87	%	0.61	%	1.78	%	20	%
	13.23	15.45	%		859.2	0.37	%	1.52	%	0.61	%	1.28	%	18	%
	11.72	15.05	%		423.0	0.08	%	1.60	%	0.67	%	1.01	%	10	%
	10.31	3.10	%		63.2	0.44	%	0.45	%	1.03	%	(0.14	)%	4	%

	8.41	(33.83	)%		56.2	0.18	%	2.21	%	0.18	%	2.21	%	20	%
	13.30	15.85	%		68.9	0.09	%	1.86	%	0.19	%	1.76	%	18	%
	11.77	15.43	%		40.1	(0.36	)%	2.05	%	0.23	%	1.46	%	10	%
	10.33	3.30	%		2.7	(0.04	)%	0.88	%	0.57	%	0.28	%	4	%


	8.42	(28.06	)%		739.6	0.50	%	2.61	%	0.55	%	2.56	%	17	%
	12.32	12.60	%		843.2	0.37	%	2.36	%	0.56	%	2.17	%	23	%
	11.30	13.40	%		442.8	0.04	%	2.44	%	0.61	%	1.88	%	10	%
	10.22	2.36	%		76.2	0.27	%	1.30	%	0.90	%	0.67	%	3	%

	8.43	(27.87	)%		28.4	0.18	%	2.92	%	0.18	%	2.92	%	17	%
	12.34	12.84	%		27.9	0.11	%	2.66	%	0.20	%	2.57	%	23	%
	11.32	13.83	%		17.1	(0.33	)%	2.82	%	0.24	%	2.25	%	10	%
	10.23	2.49	%		2.9	(0.13	)%	1.67	%	0.51	%	1.03	%	3	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

223

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
MODERATELY CONSERVATIVE ALLOCATION FUND
Class A Shares
Year Ended 10/31/2008	$	11.54	$	0.34		$	(2.63	)	$	(2.29	)	$	(0.40	)	$	(0.10	)	$	(0.50	)
Year Ended 10/31/2007		10.91		0.36			0.68			1.04			(0.38	)		(0.03	)		(0.41	)
Year Ended 10/31/2006		10.13		0.32			0.77			1.09			(0.31	)		—			(0.31	)
Year Ended 10/31/2005 ^(c)		10.00		0.04			0.11			0.15			(0.02	)		—			(0.02	)
Institutional Class Shares
Year Ended 10/31/2008		11.56		0.37			(2.63	)		(2.26	)		(0.43	)		(0.10	)		(0.53	)
Year Ended 10/31/2007		10.93		0.37			0.69			1.06			(0.40	)		(0.03	)		(0.43	)
Year Ended 10/31/2006		10.14		0.34			0.79			1.13			(0.34	)		—			(0.34	)
Year Ended 10/31/2005 ^(c)		10.00		0.05			0.12			0.17			(0.03	)		—			(0.03	)
TECHNOLOGY FUND
Class A Shares
Year Ended 10/31/2008		4.68		(0.02	)		(2.31	)		(2.33	)		—			—			—
Year Ended 10/31/2007		3.73		(0.04	)		0.99			0.95			—			—			—
Year Ended 10/31/2006		3.48		(0.03	)		0.28			0.25			—			—			—
Year Ended 10/31/2005		3.28		(0.01	)		0.21			0.20			—			—			—
Period Ended 10/31/2004 ^(d)		3.20		(0.02	)		0.10			0.08			—			—			—
Year Ended 4/30/2004		2.50		(0.03	)		0.73			0.70			—			—			—
Class B Shares
Year Ended 10/31/2008		4.44		(0.26	)		(1.97	)		(2.23	)		—			—			—
Year Ended 10/31/2007		3.56		(0.12	)		1.00			0.88			—			—			—
Year Ended 10/31/2006		3.34		(0.07	)		0.29			0.22			—			—			—
Year Ended 10/31/2005		3.16		(0.03	)		0.21			0.18			—			—			—
Period Ended 10/31/2004 ^(d)		3.09		(0.03	)		0.10			0.07			—			—			—
Year Ended 4/30/2004		2.43		(0.04	)		0.70			0.66			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		4.95		—			(2.45	)		(2.45	)		—			—			—
Year Ended 10/31/2007		3.93		(0.02	)		1.04			1.02			—			—			—
Year Ended 10/31/2006		3.65		(0.01	)		0.29			0.28			—			—			—
Year Ended 10/31/2005		3.42		0.01			0.22			0.23			—			—			—
Period Ended 10/31/2004 ^(d)		3.32		(0.01	)		0.11			0.10			—			—			—
Year Ended 4/30/2004		2.59		(0.02	)		0.75			0.73			—			—			—

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	Since fund inception, June 30, 2005.

^(d)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

224

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	8.75	(20.53	)%	$	314.7	0.47	%	3.15	%	0.56	%	3.06	%	19	%
	11.54	9.72	%		305.5	0.33	%	3.16	%	0.57	%	2.92	%	19	%
	10.91	10.94	%		156.9	0.01	%	3.19	%	0.65	%	2.55	%	5	%
	10.13	1.53	%		32.9	0.34	%	2.04	%	1.21	%	1.17	%	4	%

	8.77	(20.30	)%		11.1	0.22	%	3.45	%	0.22	%	3.45	%	19	%
	11.56	9.91	%		9.8	0.12	%	3.41	%	0.23	%	3.31	%	19	%
	10.93	11.35	%		6.5	(0.34	)%	3.50	%	0.30	%	2.86	%	5	%
	10.14	1.66	%		0.8	0.18	%	2.14	%	1.03	%	1.29	%	4	%


	2.35	(49.79	)%		19.2	1.47	%	(0.58	)%	2.07	%	(1.18	)%	264	%
	4.68	25.47	%		42.4	1.49	%	(0.96	)%	1.98	%	(1.46	)%	112	%
	3.73	7.18	%		40.1	1.45	%	(0.78	)%	1.97	%	(1.30	)%	126	%
	3.48	6.10	%		42.7	1.52	%	(0.40	)%	2.04	%	(0.92	)%	37	%
	3.28	2.50	%		42.5	1.70	%	(1.32	)%	2.22	%	(1.84	)%	23	%
	3.20	28.00	%		41.5	1.36	%	(1.02	)%	2.19	%	(1.85	)%	67	%

	2.21	(50.23	)%		0.4	2.48	%	(1.57	)%	3.50	%	(2.58	)%	264	%
	4.44	24.72	%		1.7	2.05	%	(1.51	)%	3.06	%	(2.52	)%	112	%
	3.56	6.59	%		2.4	1.94	%	(1.27	)%	2.95	%	(2.28	)%	126	%
	3.34	5.70	%		3.5	2.07	%	(0.91	)%	3.08	%	(1.93	)%	37	%
	3.16	2.27	%		4.0	2.32	%	(1.94	)%	3.34	%	(2.96	)%	23	%
	3.09	27.16	%		3.9	1.85	%	(1.51	)%	3.36	%	(3.02	)%	67	%

	2.50	(49.49	)%		1.3	1.02	%	(0.13	)%	1.05	%	(0.15	)%	264	%
	4.95	25.95	%		2.6	0.98	%	(0.45	)%	0.99	%	(0.46	)%	112	%
	3.93	7.67	%		2.1	0.96	%	(0.30	)%	0.97	%	(0.31	)%	126	%
	3.65	6.73	%		2.6	0.94	%	0.24	%	0.95	%	0.22	%	37	%
	3.42	3.01	%		3.0	1.00	%	(0.62	)%	1.02	%	(0.64	)%	23	%
	3.32	28.19	%		2.9	1.00	%	(0.66	)%	1.02	%	(0.68	)%	67	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

225

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
PARTNER SMALL CAP GROWTH FUND
Class A Shares
Year Ended 10/31/2008	$	13.93	$	(0.04	)	$	(5.59	)	$	(5.63	)	$	—		$	(0.58	)	$	(0.58	)
Year Ended 10/31/2007		11.69		(0.06	)		2.30			2.24			—			—			—
Year Ended 10/31/2006		10.28		(0.03	)		1.44			1.41			—			—			—
Year Ended 10/31/2005 ^(c)		10.00		(0.04	)		0.32			0.28			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		14.00		(0.01	)		(5.62	)		(5.63	)		—			(0.58	)		(0.58	)
Year Ended 10/31/2007		11.73		(0.02	)		2.31			2.29			(0.02	)		—			(0.02	)
Year Ended 10/31/2006		10.28		—			1.45			1.45			—			—			—
Year Ended 10/31/2005 ^(c)		10.00		(0.02	)		0.30			0.28			—			—			—
PARTNER SMALL CAP VALUE FUND
Class A Shares
Year Ended 10/31/2008		16.41		0.09			(4.26	)		(4.17	)		—			(1.22	)		(1.22	)
Year Ended 10/31/2007		15.65		0.04			1.45			1.49			(0.02	)		(0.71	)		(0.73	)
Year Ended 10/31/2006		14.06		0.07			2.46			2.53			(0.04	)		(0.90	)		(0.94	)
Year Ended 10/31/2005		14.27		0.04			1.61			1.65			(0.01	)		(1.85	)		(1.86	)
Period Ended 10/31/2004 ^(d)		13.58		0.01			1.02			1.03			—			(0.34	)		(0.34	)
Year Ended 4/30/2004		9.33		(0.05	)		4.30			4.25			—			—			—
Class B Shares
Year Ended 10/31/2008		15.44		(0.64	)		(3.38	)		(4.02	)		—			(1.22	)		(1.22	)
Year Ended 10/31/2007		14.89		(0.33	)		1.59			1.26			—			(0.71	)		(0.71	)
Year Ended 10/31/2006		13.50		(0.08	)		2.37			2.29			—			(0.90	)		(0.90	)
Year Ended 10/31/2005		13.88		(0.10	)		1.57			1.47			—			(1.85	)		(1.85	)
Period Ended 10/31/2004 ^(d)		13.29		(0.06	)		0.99			0.93			—			(0.34	)		(0.34	)
Year Ended 4/30/2004		9.21		(0.14	)		4.22			4.08			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		17.10		0.12			(4.37	)		(4.25	)		(0.10	)		(1.22	)		(1.32	)
Year Ended 10/31/2007		16.26		0.13			1.52			1.65			(0.10	)		(0.71	)		(0.81	)
Year Ended 10/31/2006		14.57		0.12			2.60			2.72			(0.13	)		(0.90	)		(1.03	)
Year Ended 10/31/2005		14.67		0.13			1.67			1.80			(0.05	)		(1.85	)		(1.90	)
Period Ended 10/31/2004 ^(d)		13.90		0.05			1.06			1.11			—			(0.34	)		(0.34	)
Year Ended 4/30/2004		9.47		0.03			4.40			4.43			—			—			—

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	Since fund inception, June 30, 2005.

^(d)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

226

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	7.72	(41.96	)%	$	9.6	1.42	%	(0.44	)%	1.43	%	(0.45	)%	186	%
	13.93	19.16	%		15.5	1.20	%	(0.52	)%	1.46	%	(0.77	)%	98	%
	11.69	13.72	%		12.0	0.91	%	(0.31	)%	1.72	%	(1.12	)%	109	%
	10.28	2.80	%		9.5	1.61	%	(1.16	)%	2.42	%	(1.97	)%	37	%

	7.79	(41.74	)%		64.7	1.06	%	(0.07	)%	1.07	%	(0.08	)%	186	%
	14.00	19.55	%		64.5	0.92	%	(0.25	)%	1.13	%	(0.45	)%	98	%
	11.73	14.11	%		29.3	0.53	%	0.10	%	1.35	%	(0.71	)%	109	%
	10.28	2.80	%		4.2	1.39	%	(0.99	)%	2.21	%	(1.81	)%	37	%


	11.02	(26.94	)%		54.3	1.35	%	0.61	%	1.46	%	0.49	%	35	%
	16.41	9.77	%		82.5	1.25	%	0.21	%	1.43	%	0.03	%	34	%
	15.65	19.08	%		79.8	0.95	%	0.51	%	1.46	%	(0.01	)%	22	%
	14.06	12.13	%		74.5	1.04	%	0.26	%	1.55	%	(0.25	)%	53	%
	14.27	7.60	%		61.4	1.10	%	0.61	%	1.61	%	0.10	%	100	%
	13.58	45.55	%		50.6	1.32	%	(0.46	)%	1.84	%	(0.98	)%	80	%

	10.20	(27.75	)%		1.2	2.45	%	(0.48	)%	2.56	%	(0.60	)%	35	%
	15.44	8.70	%		3.6	2.20	%	(0.71	)%	2.39	%	(0.91	)%	34	%
	14.89	17.99	%		5.5	1.88	%	(0.42	)%	2.40	%	(0.93	)%	22	%
	13.50	11.03	%		5.5	2.02	%	(0.72	)%	2.53	%	(1.23	)%	53	%
	13.88	7.01	%		5.4	2.10	%	(0.41	)%	2.61	%	(0.92	)%	100	%
	13.29	44.30	%		5.7	2.20	%	(1.33	)%	2.73	%	(1.86	)%	80	%

	11.53	(26.46	)%		75.4	0.69	%	1.27	%	0.80	%	1.15	%	35	%
	17.10	10.45	%		57.7	0.63	%	0.79	%	0.80	%	0.62	%	34	%
	16.26	19.85	%		44.9	0.30	%	1.06	%	0.82	%	0.54	%	22	%
	14.57	12.92	%		16.4	0.33	%	0.97	%	0.84	%	0.46	%	53	%
	14.67	8.01	%		13.3	0.40	%	1.32	%	0.91	%	0.81	%	100	%
	13.90	46.78	%		10.3	0.52	%	0.34	%	1.04	%	(0.18	)%	80	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

227

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
SMALL CAP STOCK FUND
Class A Shares
Year Ended 10/31/2008	$	18.98	$	0.01		$	(6.34	)	$	(6.33	)	$	—		$	(2.32	)	$	(2.32	)
Year Ended 10/31/2007		18.48		0.01			2.40			2.41			—			(1.91	)		(1.91	)
Year Ended 10/31/2006		17.79		(0.05	)		2.68			2.63			—			(1.94	)		(1.94	)
Year Ended 10/31/2005		16.39		(0.08	)		2.30			2.22			—			(0.82	)		(0.82	)
Period Ended 10/31/2004 ^(c)		16.39		(0.04	)		0.99			0.95			—			(0.95	)		(0.95	)
Year Ended 4/30/2004		11.55		(0.11	)		4.95			4.84			—			—			—
Class B Shares
Year Ended 10/31/2008		16.46		(1.06	)		(4.43	)		(5.49	)		—			(2.32	)		(2.32	)
Year Ended 10/31/2007		16.44		(0.48	)		2.41			1.93			—			(1.91	)		(1.91	)
Year Ended 10/31/2006		16.18		(0.30	)		2.50			2.20			—			(1.94	)		(1.94	)
Year Ended 10/31/2005		15.11		(0.27	)		2.16			1.89			—			(0.82	)		(0.82	)
Period Ended 10/31/2004 ^(c)		15.26		(0.11	)		0.91			0.80			—			(0.95	)		(0.95	)
Year Ended 4/30/2004		10.86		(0.26	)		4.66			4.40			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		20.62		0.01			(6.88	)		(6.87	)		—			(2.32	)		(2.32	)
Year Ended 10/31/2007		19.82		0.08			2.63			2.71			—			(1.91	)		(1.91	)
Year Ended 10/31/2006		18.85		(0.04	)		2.95			2.91			—			(1.94	)		(1.94	)
Year Ended 10/31/2005		17.21		0.02			2.44			2.46			—			(0.82	)		(0.82	)
Period Ended 10/31/2004 ^(c)		17.12		(0.02	)		1.06			1.04			—			(0.95	)		(0.95	)
Year Ended 4/30/2004		11.98		(0.01	)		5.15			5.14			—			—			—
SMALL CAP INDEX FUND
Class A Shares
Year Ended 10/31/2008		16.53		0.09			(5.02	)		(4.93	)		(0.05	)		(1.84	)		(1.89	)
Year Ended 10/31/2007		16.11		0.06			1.53			1.59			(0.02	)		(1.15	)		(1.17	)
Year Ended 10/31/2006		14.28		0.03			2.09			2.12			(0.02	)		(0.27	)		(0.29	)
Year Ended 10/31/2005		12.63		0.03			1.74			1.77			(0.02	)		(0.10	)		(0.12	)
Period Ended 10/31/2004 ^(c)		12.26		0.02			0.85			0.87			—			(0.50	)		(0.50	)
Year Ended 4/30/2004		8.89		(0.01	)		3.42			3.41			—			(0.04	)		(0.04	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

228

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	10.33	(37.25	)%	$	241.9	1.32	%	0.09	%	1.33	%	0.07	%	245	%
	18.98	14.32	%		448.9	1.27	%	0.03	%	1.29	%	0.01	%	112	%
	18.48	16.04	%		457.5	1.27	%	(0.28	)%	1.29	%	(0.30	)%	92	%
	17.79	13.81	%		440.6	1.32	%	(0.45	)%	1.33	%	(0.47	)%	114	%
	16.39	5.88	%		397.3	1.36	%	(0.49	)%	1.38	%	(0.51	)%	52	%
	16.39	41.90	%		379.5	1.38	%	(0.71	)%	1.40	%	(0.73	)%	106	%

	8.65	(37.94	)%		2.8	2.43	%	(0.99	)%	2.73	%	(1.29	)%	245	%
	16.46	13.06	%		10.3	2.38	%	(1.06	)%	2.40	%	(1.08	)%	112	%
	16.44	14.86	%		16.3	2.30	%	(1.29	)%	2.32	%	(1.31	)%	92	%
	16.18	12.75	%		20.5	2.32	%	(1.47	)%	2.34	%	(1.49	)%	114	%
	15.11	5.31	%		25.1	2.39	%	(1.52	)%	2.41	%	(1.54	)%	52	%
	15.26	40.52	%		25.3	2.42	%	(1.75	)%	2.44	%	(1.77	)%	106	%

	11.43	(36.86	)%		106.7	0.73	%	0.66	%	0.74	%	0.64	%	245	%
	20.62	14.92	%		106.6	0.71	%	0.56	%	0.73	%	0.54	%	112	%
	19.82	16.68	%		85.1	0.72	%	0.27	%	0.74	%	0.26	%	92	%
	18.85	14.58	%		21.1	0.72	%	0.15	%	0.74	%	0.13	%	114	%
	17.21	6.17	%		11.6	0.73	%	(0.24	)%	0.75	%	(0.26	)%	52	%
	17.12	42.90	%		11.0	0.73	%	(0.06	)%	0.75	%	(0.08	)%	106	%


	9.71	(32.77	)%		26.3	0.95	%	0.73	%	1.21	%	0.47	%	29	%
	16.53	10.44	%		46.4	0.95	%	0.36	%	1.08	%	0.23	%	17	%
	16.11	15.08	%		48.0	0.95	%	0.21	%	1.09	%	0.07	%	16	%
	14.28	14.05	%		46.9	0.95	%	0.21	%	1.18	%	(0.02	)%	17	%
	12.63	7.11	%		35.4	0.95	%	0.43	%	1.37	%	0.01	%	17	%
	12.26	38.37	%		34.4	1.04	%	(0.13	)%	1.25	%	(0.34	)%	18	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

229

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
MID CAP GROWTH FUND
Class A Shares
Year Ended 10/31/2008	$	19.45	$	(0.03	)	$	(6.95	)	$	(6.98	)	$	—		$	(2.23	)	$	(2.23	)
Year Ended 10/31/2007		16.17		(0.06	)		4.50			4.44			—			(1.16	)		(1.16	)
Year Ended 10/31/2006		14.59		(0.06	)		1.64			1.58			—			—			—
Year Ended 10/31/2005		12.75		(0.10	)		1.94			1.84			—			—			—
Year Ended 10/31/2004		12.35		(0.02	)		0.42			0.40			—			—			—
Class B Shares
Year Ended 10/31/2008		17.68		(1.15	)		(5.24	)		(6.39	)		—			(2.23	)		(2.23	)
Year Ended 10/31/2007		14.96		(0.56	)		4.44			3.88			—			(1.16	)		(1.16	)
Year Ended 10/31/2006		13.64		(0.34	)		1.66			1.32			—			—			—
Year Ended 10/31/2005		12.05		(0.27	)		1.86			1.59			—			—			—
Year Ended 10/31/2004		11.78		(0.19	)		0.46			0.27			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		20.98		(0.08	)		(7.43	)		(7.51	)		—			(2.23	)		(2.23	)
Year Ended 10/31/2007		17.24		0.06			4.84			4.90			—			(1.16	)		(1.16	)
Year Ended 10/31/2006		15.44		(0.04	)		1.84			1.80			—			—			—
Year Ended 10/31/2005		13.39		0.01			2.04			2.05			—			—			—
Year Ended 10/31/2004		12.87		(0.01	)		0.53			0.52			—			—			—
PARTNER MID CAP VALUE FUND
Class A Shares
Year Ended 10/31/2008		12.93		0.12			(4.43	)		(4.31	)		(0.09	)		(0.64	)		(0.73	)
Year Ended 10/31/2007		11.83		0.11			1.23			1.34			(0.17	)		(0.07	)		(0.24	)
Year Ended 10/31/2006		10.13		0.17			1.57			1.74			(0.04	)		—			(0.04	)
Year Ended 10/31/2005 ^(c)		10.00		—			0.13			0.13			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		12.97		0.10			(4.40	)		(4.30	)		(0.11	)		(0.64	)		(0.75	)
Year Ended 10/31/2007		11.87		0.16			1.21			1.37			(0.20	)		(0.07	)		(0.27	)
Year Ended 10/31/2006		10.14		0.17			1.61			1.78			(0.05	)		—			(0.05	)
Year Ended 10/31/2005 ^(c)		10.00		0.01			0.13			0.14			—			—			—

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	Since fund inception, June 30, 2005.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

230

Thrivent Mutual Funds

Financial Highlights – continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	10.24	(39.95	)%	$	165.0	1.16	%	(0.19	)%	1.19	%	(0.22	)%	85	%
	19.45	29.25	%		302.7	1.16	%	(0.32	)%	1.18	%	(0.34	)%	84	%
	16.17	10.83	%		264.6	1.19	%	(0.37	)%	1.21	%	(0.38	)%	156	%
	14.59	14.43	%		269.0	1.26	%	(0.71	)%	1.28	%	(0.72	)%	146	%
	12.75	3.24	%		250.7	1.36	%	(0.95	)%	1.36	%	(0.95	)%	154	%

	9.06	(40.70	)%		5.1	2.31	%	(1.34	)%	2.59	%	(1.62	)%	85	%
	17.68	27.77	%		19.3	2.31	%	(1.45	)%	2.32	%	(1.47	)%	84	%
	14.96	9.68	%		26.4	2.27	%	(1.43	)%	2.28	%	(1.45	)%	156	%
	13.64	13.20	%		36.1	2.31	%	(1.75	)%	2.44	%	(1.88	)%	146	%
	12.05	2.29	%		45.0	2.32	%	(1.91	)%	2.32	%	(1.91	)%	154	%

	11.24	(39.52	)%		45.2	0.45	%	0.51	%	0.48	%	0.49	%	85	%
	20.98	30.15	%		42.1	0.46	%	0.37	%	0.48	%	0.36	%	84	%
	17.24	11.66	%		32.3	0.47	%	0.34	%	0.49	%	0.32	%	156	%
	15.44	15.31	%		11.7	0.49	%	0.07	%	0.50	%	0.06	%	146	%
	13.39	4.04	%		10.1	0.62	%	(0.21	)%	0.73	%	(0.32	)%	154	%


	7.89	(35.12	)%		7.4	1.25	%	1.12	%	1.41	%	0.96	%	100	%
	12.93	11.45	%		12.0	0.95	%	0.99	%	1.48	%	0.46	%	96	%
	11.83	17.19	%		7.6	0.31	%	1.67	%	1.86	%	0.12	%	43	%
	10.13	1.30	%		5.1	1.61	%	0.08	%	3.10	%	(1.41	)%	15	%

	7.92	(34.95	)%		69.4	0.93	%	1.41	%	0.95	%	1.38	%	100	%
	12.97	11.73	%		33.9	0.72	%	1.23	%	1.06	%	0.89	%	96	%
	11.87	17.65	%		23.9	(0.14	)%	2.08	%	1.37	%	0.57	%	43	%
	10.14	1.40	%		3.7	1.17	%	0.43	%	2.81	%	(1.21	)%	15	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

231

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
MID CAP STOCK FUND
Class A Shares
Year Ended 10/31/2008	$	17.98	$	0.05		$	(6.60	)	$	(6.55	)	$	(0.01	)	$	(2.37	)	$	(2.38	)
Year Ended 10/31/2007		18.61		0.13			2.40			2.53			(0.02	)		(3.14	)		(3.16	)
Year Ended 10/31/2006		17.85		0.02			2.55			2.57			—			(1.81	)		(1.81	)
Year Ended 10/31/2005		14.74		—			3.11			3.11			—			—			—
Period Ended 10/31/2004 ^(c)		13.96		(0.02	)		0.80			0.78			—			—			—
Year Ended 4/30/2004		10.74		(0.05	)		3.27			3.22			—			—			—
Class B Shares
Year Ended 10/31/2008		15.26		(0.86	)		(4.66	)		(5.52	)		—			(2.37	)		(2.37	)
Year Ended 10/31/2007		16.39		(0.27	)		2.28			2.01			—			(3.14	)		(3.14	)
Year Ended 10/31/2006		16.08		(0.24	)		2.36			2.12			—			(1.81	)		(1.81	)
Year Ended 10/31/2005		13.42		(0.19	)		2.85			2.66			—			—			—
Period Ended 10/31/2004 ^(c)		12.78		(0.09	)		0.73			0.64			—			—			—
Year Ended 4/30/2004		9.95		(0.19	)		3.02			2.83			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		19.14		0.07			(7.02	)		(6.95	)		(0.08	)		(2.37	)		(2.45	)
Year Ended 10/31/2007		19.60		0.16			2.60			2.76			(0.08	)		(3.14	)		(3.22	)
Year Ended 10/31/2006		18.63		0.04			2.74			2.78			—			(1.81	)		(1.81	)
Year Ended 10/31/2005		15.30		0.07			3.26			3.33			—			—			—
Period Ended 10/31/2004 ^(c)		14.46		0.02			0.82			0.84			—			—			—
Year Ended 4/30/2004		11.06		0.03			3.37			3.40			—			—			—
MID CAP INDEX FUND
Class A Shares
Year Ended 10/31/2008		15.90		0.13			(5.38	)		(5.25	)		(0.09	)		(1.67	)		(1.76	)
Year Ended 10/31/2007		14.47		0.12			2.09			2.21			(0.10	)		(0.68	)		(0.78	)
Year Ended 10/31/2006		13.77		0.08			1.56			1.64			(0.06	)		(0.88	)		(0.94	)
Year Ended 10/31/2005		11.86		0.08			1.91			1.99			(0.03	)		(0.05	)		(0.08	)
Period Ended 10/31/2004 ^(c)		11.48		0.01			0.37			0.38			—			—			—
Year Ended 4/30/2004		8.65		0.01			2.82			2.83			—			—			—

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

232

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	9.05	(41.38	)%	$	488.9	1.20	%	0.34	%	1.21	%	0.33	%	242	%
	17.98	15.56	%		988.9	1.16	%	0.72	%	1.17	%	0.71	%	188	%
	18.61	15.37	%		976.3	1.17	%	0.12	%	1.18	%	0.11	%	193	%
	17.85	21.10	%		928.0	1.21	%	(0.02	)%	1.22	%	(0.03	)%	96	%
	14.74	5.59	%		808.8	1.24	%	(0.30	)%	1.25	%	(0.31	)%	46	%
	13.96	29.98	%		789.9	1.26	%	(0.36	)%	1.27	%	(0.37	)%	123	%

	7.37	(42.10	)%		3.0	2.39	%	(0.79	)%	2.62	%	(1.02	)%	242	%
	15.26	14.31	%		11.9	2.28	%	(0.29	)%	2.29	%	(0.30	)%	188	%
	16.39	14.15	%		18.6	2.24	%	(0.93	)%	2.25	%	(0.94	)%	193	%
	16.08	19.82	%		24.0	2.28	%	(1.10	)%	2.29	%	(1.12	)%	96	%
	13.42	5.01	%		27.0	2.35	%	(1.41	)%	2.36	%	(1.42	)%	46	%
	12.78	28.44	%		26.8	2.44	%	(1.55	)%	2.45	%	(1.56	)%	123	%

	9.74	(41.07	)%		217.4	0.71	%	0.79	%	0.71	%	0.78	%	242	%
	19.14	16.09	%		172.1	0.70	%	1.08	%	0.71	%	1.07	%	188	%
	19.60	15.90	%		116.4	0.70	%	0.57	%	0.71	%	0.56	%	193	%
	18.63	21.76	%		50.7	0.70	%	0.51	%	0.71	%	0.49	%	96	%
	15.30	5.81	%		29.8	0.71	%	0.23	%	0.72	%	0.22	%	46	%
	14.46	30.74	%		28.4	0.70	%	0.20	%	0.71	%	0.19	%	123	%


	8.89	(36.58	)%		33.1	0.66	%	1.05	%	1.07	%	0.64	%	25	%
	15.90	15.97	%		61.0	0.90	%	0.77	%	0.99	%	0.68	%	16	%
	14.47	12.37	%		61.6	0.90	%	0.57	%	1.00	%	0.46	%	12	%
	13.77	16.80	%		62.5	0.90	%	0.62	%	1.07	%	0.45	%	23	%
	11.86	3.33	%		49.2	0.92	%	(0.10	)%	1.23	%	(0.41	)%	8	%
	11.48	32.72	%		38.5	1.12	%	0.09	%	1.24	%	(0.03	)%	30	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

233

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
PARTNER WORLDWIDE ALLOCATION FUND
Class A Shares
Year Ended 10/31/2008 ^(c)	$	10.00	$	0.15		$	(4.06	)	$	(3.91	)	$	—		$	—		$	—
Institutional Class Shares
Year Ended 10/31/2008 ^(c)		10.00		0.17			(4.07	)		(3.90	)		—			—			—
PARTNER INTERNATIONAL STOCK FUND
Class A Shares
Year Ended 10/31/2008		15.90		0.20			(7.00	)		(6.80	)		(0.24	)		(1.36	)		(1.60	)
Year Ended 10/31/2007		12.94		0.24			2.86			3.10			(0.14	)		—			(0.14	)
Year Ended 10/31/2006		10.57		0.14			2.34			2.48			(0.11	)		—			(0.11	)
Year Ended 10/31/2005		9.10		0.11			1.36			1.47			—			—			—
Year Ended 10/31/2004		8.19		0.02			0.93			0.95			(0.04	)		—			(0.04	)
Class B Shares
Year Ended 10/31/2008		15.26		0.05			(6.74	)		(6.69	)		(0.04	)		(1.36	)		(1.40	)
Year Ended 10/31/2007		12.43		0.04			2.79			2.83			—			—			—
Year Ended 10/31/2006		10.16		(0.01	)		2.28			2.27			—			—			—
Year Ended 10/31/2005		8.86		(0.02	)		1.32			1.30			—			—			—
Year Ended 10/31/2004		8.00		(0.11	)		0.97			0.86			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		16.21		0.27			(7.13	)		(6.86	)		(0.32	)		(1.36	)		(1.68	)
Year Ended 10/31/2007		13.19		0.34			2.90			3.24			(0.22	)		—			(0.22	)
Year Ended 10/31/2006		10.77		0.20			2.40			2.60			(0.18	)		—			(0.18	)
Year Ended 10/31/2005		9.23		0.07			1.48			1.55			(0.01	)		—			(0.01	)
Year Ended 10/31/2004		8.31		(0.02	)		1.07			1.05			(0.13	)		—			(0.13	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	Since fund inception, February 29, 2008.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

234

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	6.09	(39.10	)%	$	15.9	1.30	%	2.46	%	1.66	%	2.10	%	47	%

	6.10	(39.00	)%		47.0	0.96	%	2.80	%	1.28	%	2.48	%	47	%


	7.50	(47.01	)%		173.5	1.28	%	1.74	%	1.29	%	1.74	%	73	%
	15.90	24.13	%		382.1	1.27	%	1.61	%	1.28	%	1.60	%	111	%
	12.94	23.63	%		337.5	1.33	%	1.08	%	1.34	%	1.07	%	50	%
	10.57	16.18	%		304.8	1.44	%	1.10	%	1.45	%	1.09	%	43	%
	9.10	11.65	%		243.7	1.70	%	0.33	%	1.70	%	0.33	%	126	%

	7.17	(47.76	)%		2.6	2.59	%	0.33	%	2.59	%	0.32	%	73	%
	15.26	22.77	%		10.8	2.39	%	0.36	%	2.39	%	0.36	%	111	%
	12.43	22.34	%		14.4	2.42	%	(0.03	)%	2.43	%	(0.03	)%	50	%
	10.16	14.67	%		16.1	2.62	%	(0.13	)%	2.63	%	(0.14	)%	43	%
	8.86	10.72	%		19.5	2.79	%	(0.76	)%	2.79	%	(0.76	)%	126	%

	7.67	(46.66	)%		214.2	0.69	%	2.42	%	0.70	%	2.41	%	73	%
	16.21	24.84	%		330.6	0.70	%	2.33	%	0.70	%	2.33	%	111	%
	13.19	24.40	%		204.2	0.71	%	1.74	%	0.72	%	1.73	%	50	%
	10.77	16.82	%		61.1	0.76	%	1.48	%	0.77	%	1.47	%	43	%
	9.23	12.69	%		13.1	1.08	%	0.95	%	1.18	%	0.85	%	126	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

235

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
LARGE CAP GROWTH FUND
Class A Shares
Year Ended 10/31/2008	$	6.52	$	—		$	(2.40	)	$	(2.40	)	$	—		$	(0.43	)	$	(0.43	)
Year Ended 10/31/2007		5.31		0.01			1.20			1.21			—			—			—
Year Ended 10/31/2006		4.90		0.01			0.40			0.41			—			—			—
Year Ended 10/31/2005		4.45		0.02			0.43			0.45			—			—			—
Year Ended 10/31/2004		4.30		0.06			0.11			0.17			(0.02	)		—			(0.02	)
Class B Shares
Year Ended 10/31/2008		6.06		(0.24	)		(2.01	)		(2.25	)		—			(0.43	)		(0.43	)
Year Ended 10/31/2007		4.97		(0.11	)		1.20			1.09			—			—			—
Year Ended 10/31/2006		4.64		(0.06	)		0.39			0.33			—			—			—
Year Ended 10/31/2005		4.25		(0.04	)		0.43			0.39			—			—			—
Year Ended 10/31/2004		4.13		—			0.12			0.12			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		6.93		0.02			(2.55	)		(2.53	)		(0.03	)		(0.43	)		(0.46	)
Year Ended 10/31/2007		5.65		0.03			1.29			1.32			(0.04	)		—			(0.04	)
Year Ended 10/31/2006		5.20		0.04			0.44			0.48			(0.03	)		—			(0.03	)
Year Ended 10/31/2005		4.69		0.02			0.50			0.52			(0.01	)		—			(0.01	)
Year Ended 10/31/2004		4.51		0.08			0.13			0.21			(0.03	)		—			(0.03	)
LARGE CAP VALUE FUND
Class A Shares
Year Ended 10/31/2008		17.92		0.27			(6.09	)		(5.82	)		(0.19	)		(0.81	)		(1.00	)
Year Ended 10/31/2007		16.85		0.22			1.97			2.19			(0.17	)		(0.95	)		(1.12	)
Year Ended 10/31/2006		14.49		0.21			2.53			2.74			(0.17	)		(0.21	)		(0.38	)
Year Ended 10/31/2005		13.15		0.17			1.23			1.40			(0.06	)		—			(0.06	)
Year Ended 10/31/2004		11.79		0.20			1.34			1.54			(0.18	)		—			(0.18	)
Class B Shares
Year Ended 10/31/2008		17.59		0.27			(6.18	)		(5.91	)		—			(0.81	)		(0.81	)
Year Ended 10/31/2007		16.57		0.07			1.90			1.97			—			(0.95	)		(0.95	)
Year Ended 10/31/2006		14.25		0.04			2.49			2.53			—			(0.21	)		(0.21	)
Year Ended 10/31/2005		13.03		—			1.22			1.22			—			—			—
Year Ended 10/31/2004		11.66		(0.02	)		1.43			1.41			(0.04	)		—			(0.04	)
Institutional Class Shares
Year Ended 10/31/2008		18.07		0.30			(6.10	)		(5.80	)		(0.27	)		(0.81	)		(1.08	)
Year Ended 10/31/2007		16.98		0.28			2.01			2.29			(0.25	)		(0.95	)		(1.20	)
Year Ended 10/31/2006		14.60		0.25			2.59			2.84			(0.25	)		(0.21	)		(0.46	)
Year Ended 10/31/2005		13.20		0.17			1.32			1.49			(0.09	)		—			(0.09	)
Year Ended 10/31/2004		11.92		0.34			1.28			1.62			(0.34	)		—			(0.34	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

236

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	3.69	(39.08	)%	$	89.0	1.17	%	(0.01	)%	1.48	%	(0.32	)%	188	%
	6.52	22.86	%		157.3	1.01	%	0.09	%	1.48	%	(0.39	)%	168	%
	5.31	8.46	%		134.0	0.76	%	0.26	%	1.57	%	(0.55	)%	138	%
	4.90	10.16	%		130.9	0.87	%	0.37	%	1.68	%	(0.44	)%	106	%
	4.45	3.90	%		83.6	0.51	%	0.35	%	1.68	%	(0.82	)%	100	%

	3.38	(39.63	)%		2.7	2.02	%	(0.84	)%	2.83	%	(1.65	)%	188	%
	6.06	21.93	%		8.9	1.83	%	(0.72	)%	2.64	%	(1.53	)%	168	%
	4.97	7.11	%		12.1	1.87	%	(0.84	)%	2.67	%	(1.65	)%	138	%
	4.64	9.18	%		15.8	2.05	%	(0.69	)%	2.86	%	(1.50	)%	106	%
	4.25	2.84	%		17.7	1.39	%	(0.53	)%	2.60	%	(1.74	)%	100	%

	3.94	(38.86	)%		216.4	0.80	%	0.36	%	0.81	%	0.35	%	188	%
	6.93	23.45	%		418.3	0.60	%	0.48	%	0.81	%	0.26	%	168	%
	5.65	9.21	%		204.8	0.03	%	0.97	%	0.84	%	0.16	%	138	%
	5.20	11.01	%		31.3	0.07	%	1.21	%	0.89	%	0.39	%	106	%
	4.69	4.65	%		8.9	(0.26	)%	1.12	%	0.90	%	(0.04	)%	100	%


	11.10	(34.17	)%		187.4	1.01	%	1.71	%	1.02	%	1.71	%	49	%
	17.92	13.63	%		336.9	0.98	%	1.28	%	0.99	%	1.27	%	37	%
	16.85	19.32	%		332.1	1.00	%	1.28	%	1.02	%	1.26	%	45	%
	14.49	10.64	%		321.2	1.03	%	1.15	%	1.04	%	1.14	%	53	%
	13.15	13.12	%		290.0	0.88	%	1.05	%	1.09	%	0.84	%	51	%

	10.87	(35.01	)%		2.8	2.21	%	0.53	%	2.31	%	0.43	%	49	%
	17.59	12.37	%		9.8	2.11	%	0.17	%	2.12	%	0.16	%	37	%
	16.57	17.96	%		14.5	2.12	%	0.17	%	2.14	%	0.15	%	45	%
	14.25	9.36	%		16.9	2.21	%	0.00	%	2.23	%	(0.02	)%	53	%
	13.03	12.10	%		19.3	1.70	%	0.22	%	2.23	%	(0.31	)%	51	%

	11.19	(33.88	)%		268.9	0.50	%	2.21	%	0.50	%	2.21	%	49	%
	18.07	14.19	%		312.9	0.50	%	1.73	%	0.51	%	1.72	%	37	%
	16.98	19.92	%		163.9	0.50	%	1.72	%	0.52	%	1.70	%	45	%
	14.60	11.29	%		48.1	0.51	%	1.60	%	0.53	%	1.59	%	53	%
	13.20	13.71	%		19.8	0.33	%	1.59	%	0.61	%	1.31	%	51	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

237

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
LARGE CAP STOCK FUND
Class A Shares
Year Ended 10/31/2008	$	31.33	$	0.24		$	(10.28	)	$	(10.04	)	$	(0.23	)	$	(3.39	)	$	(3.62	)
Year Ended 10/31/2007		28.61		0.33			3.87			4.20			(0.27	)		(1.21	)		(1.48	)
Year Ended 10/31/2006		25.93		0.25			2.88			3.13			(0.17	)		(0.28	)		(0.45	)
Year Ended 10/31/2005		23.93		0.24			1.91			2.15			(0.15	)		—			(0.15	)
Period Ended 10/31/2004 ^(c)		29.15		0.04			0.21			0.25			(0.03	)		(5.44	)		(5.47	)
Year Ended 4/30/2004		25.39		0.11			3.75			3.86			(0.10	)		—			(0.10	)
Class B Shares
Year Ended 10/31/2008		28.81		0.17			(9.53	)		(9.36	)		—			(3.39	)		(3.39	)
Year Ended 10/31/2007		26.40		0.12			3.50			3.62			—			(1.21	)		(1.21	)
Year Ended 10/31/2006		24.00		0.01			2.67			2.68			—			(0.28	)		(0.28	)
Year Ended 10/31/2005		22.21		0.03			1.76			1.79			—			—			—
Period Ended 10/31/2004 ^(c)		27.55		(0.08	)		0.18			0.10			—			(5.44	)		(5.44	)
Year Ended 4/30/2004		24.19		(0.23	)		3.59			3.36			—			—			—
Institutional Class Shares
Year Ended 10/31/2008		31.59		0.35			(10.35	)		(10.00	)		(0.36	)		(3.39	)		(3.75	)
Year Ended 10/31/2007		28.84		0.42			3.93			4.35			(0.39	)		(1.21	)		(1.60	)
Year Ended 10/31/2006		26.13		0.33			2.95			3.28			(0.29	)		(0.28	)		(0.57	)
Year Ended 10/31/2005		24.06		0.33			1.95			2.28			(0.21	)		—			(0.21	)
Period Ended 10/31/2004 ^(c)		29.24		0.07			0.24			0.31			(0.05	)		(5.44	)		(5.49	)
Year Ended 4/30/2004		25.46		0.23			3.77			4.00			(0.22	)		—			(0.22	)
LARGE CAP INDEX FUND
Class A Shares
Year Ended 10/31/2008		10.70		0.16			(4.00	)		(3.84	)		(0.15	)		—			(0.15	)
Year Ended 10/31/2007		9.52		0.15			1.16			1.31			(0.13	)		—			(0.13	)
Year Ended 10/31/2006		8.35		0.13			1.16			1.29			(0.11	)		(0.01	)		(0.12	)
Year Ended 10/31/2005		7.78		0.12			0.53			0.65			(0.08	)		—			(0.08	)
Period Ended 10/31/2004 ^(c)		7.61		0.04			0.16			0.20			(0.03	)		—			(0.03	)
Year Ended 4/30/2004		6.30		0.08			1.31			1.39			(0.08	)		—			(0.08	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

238

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	17.67	(35.72	)%	$	1,658.8	1.03	%	1.03	%	1.04	%	1.03	%	93	%
	31.33	15.29	%		3,029.0	1.00	%	1.09	%	1.00	%	1.09	%	103	%
	28.61	12.18	%		3,107.2	1.00	%	0.88	%	1.00	%	0.88	%	67	%
	25.93	9.00	%		3,332.0	1.00	%	0.93	%	1.01	%	0.92	%	46	%
	23.93	1.27	%		3,435.1	1.02	%	0.41	%	1.02	%	0.41	%	43	%
	29.15	15.23	%		2,807.4	1.01	%	0.37	%	1.01	%	0.37	%	22	%

	16.06	(36.29	)%		13.0	1.89	%	0.19	%	2.57	%	(0.49	)%	93	%
	28.81	14.23	%		45.4	1.89	%	0.27	%	2.26	%	(0.10	)%	103	%
	26.40	11.23	%		69.0	1.89	%	0.01	%	2.21	%	(0.31	)%	67	%
	24.00	8.06	%		91.9	1.89	%	0.11	%	2.22	%	(0.22	)%	46	%
	22.21	0.72	%		122.9	2.00	%	(0.57	)%	2.23	%	(0.80	)%	43	%
	27.55	13.89	%		75.3	2.17	%	(0.79	)%	2.17	%	(0.79	)%	22	%

	17.84	(35.42	)%		164.2	0.57	%	1.49	%	0.57	%	1.48	%	93	%
	31.59	15.78	%		369.3	0.56	%	1.46	%	0.56	%	1.46	%	103	%
	28.84	12.72	%		245.7	0.56	%	1.31	%	0.56	%	1.31	%	67	%
	26.13	9.47	%		146.0	0.55	%	1.33	%	0.56	%	1.33	%	46	%
	24.06	1.50	%		112.3	0.57	%	0.65	%	0.57	%	0.65	%	43	%
	29.24	15.76	%		84.9	0.57	%	0.82	%	0.57	%	0.82	%	22	%


	6.71	(36.36	)%		51.3	0.60	%	1.66	%	0.93	%	1.33	%	9	%
	10.70	13.90	%		93.6	0.60	%	1.38	%	0.88	%	1.10	%	5	%
	9.52	15.56	%		92.3	0.60	%	1.37	%	0.91	%	1.05	%	7	%
	8.35	8.33	%		94.3	0.60	%	1.49	%	0.94	%	1.15	%	9	%
	7.78	2.62	%		76.3	0.57	%	0.64	%	1.08	%	0.13	%	5	%
	7.61	22.09	%		51.2	0.41	%	1.28	%	1.17	%	0.52	%	6	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

239

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations								Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)		Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
BALANCED FUND
Class A Shares
Year Ended 10/31/2008	$	13.64	$	0.23	$	(3.89	)	$	(3.66	)	$	(0.23	)	$	(0.84	)	$	(1.07	)
Year Ended 10/31/2007		12.95		0.24		1.29			1.53			(0.22	)		(0.62	)		(0.84	)
Year Ended 10/31/2006		12.18		0.21		1.09			1.30			(0.21	)		(0.32	)		(0.53	)
Year Ended 10/31/2005		11.81		0.20		0.57			0.77			(0.22	)		(0.18	)		(0.40	)
Period Ended 10/31/2004 ^(c)		11.65		0.09		0.17			0.26			(0.10	)		—			(0.10	)
Year Ended 4/30/2004		10.75		0.17		0.92			1.09			(0.19	)		—			(0.19	)
Class B Shares
Year Ended 10/31/2008		13.58		0.20		(3.96	)		(3.76	)		(0.10	)		(0.84	)		(0.94	)
Year Ended 10/31/2007		12.89		0.14		1.26			1.40			(0.09	)		(0.62	)		(0.71	)
Year Ended 10/31/2006		12.13		0.10		1.07			1.17			(0.09	)		(0.32	)		(0.41	)
Year Ended 10/31/2005		11.76		0.09		0.56			0.65			(0.10	)		(0.18	)		(0.28	)
Period Ended 10/31/2004 ^(c)		11.60		0.03		0.17			0.20			(0.04	)		—			(0.04	)
Year Ended 4/30/2004		10.70		0.06		0.92			0.98			(0.08	)		—			(0.08	)
Institutional Class Shares
Year Ended 10/31/2008		13.63		0.28		(3.88	)		(3.60	)		(0.29	)		(0.84	)		(1.13	)
Year Ended 10/31/2007		12.93		0.30		1.30			1.60			(0.28	)		(0.62	)		(0.90	)
Year Ended 10/31/2006		12.17		0.27		1.08			1.35			(0.27	)		(0.32	)		(0.59	)
Year Ended 10/31/2005		11.80		0.26		0.56			0.82			(0.27	)		(0.18	)		(0.45	)
Period Ended 10/31/2004 ^(c)		11.64		0.12		0.17			0.29			(0.13	)		—			(0.13	)
Year Ended 4/30/2004		10.74		0.22		0.93			1.15			(0.25	)		—			(0.25	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

240

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	8.91	(28.76	)%	$	143.0	1.09	%	1.96	%	1.11	%	1.94	%	176	%
	13.64	12.39	%		237.0	1.07	%	1.83	%	1.09	%	1.81	%	176	%
	12.95	10.97	%		251.6	1.07	%	1.67	%	1.09	%	1.65	%	215	%
	12.18	6.56	%		276.1	1.07	%	1.62	%	1.09	%	1.60	%	231	%
	11.81	2.21	%		278.5	1.07	%	1.49	%	1.08	%	1.48	%	114	%
	11.65	10.22	%		278.0	1.06	%	1.48	%	1.07	%	1.47	%	194	%

	8.88	(29.47	)%		2.6	2.06	%	0.99	%	2.20	%	0.84	%	176	%
	13.58	11.31	%		7.6	2.06	%	0.86	%	2.10	%	0.82	%	176	%
	12.89	9.83	%		10.0	2.04	%	0.71	%	2.05	%	0.70	%	215	%
	12.13	5.54	%		13.3	2.02	%	0.72	%	2.04	%	0.70	%	231	%
	11.76	1.71	%		17.6	2.03	%	0.53	%	2.04	%	0.52	%	114	%
	11.60	9.22	%		18.6	2.02	%	0.52	%	2.03	%	0.51	%	194	%

	8.90	(28.43	)%		50.7	0.61	%	2.44	%	0.63	%	2.41	%	176	%
	13.63	13.00	%		83.8	0.61	%	2.29	%	0.63	%	2.27	%	176	%
	12.93	11.41	%		86.3	0.61	%	2.13	%	0.63	%	2.12	%	215	%
	12.17	7.07	%		98.4	0.59	%	2.11	%	0.62	%	2.09	%	231	%
	11.80	2.47	%		108.5	0.60	%	1.97	%	0.61	%	1.96	%	114	%
	11.64	10.75	%		111.2	0.59	%	1.96	%	0.60	%	1.95	%	194	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

241

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations								Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)		Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
HIGH YIELD FUND
Class A Shares
Year Ended 10/31/2008	$	5.03	$	0.36	$	(1.43	)	$	(1.07	)	$	(0.37	)	$	—		$	(0.37	)
Year Ended 10/31/2007		5.08		0.38		(0.05	)		0.33			(0.38	)		—			(0.38	)
Year Ended 10/31/2006		5.03		0.38		0.05			0.43			(0.38	)		—			(0.38	)
Year Ended 10/31/2005		5.24		0.38		(0.20	)		0.18			(0.39	)		—			(0.39	)
Year Ended 10/31/2004		5.07		0.40		0.16			0.56			(0.39	)		—			(0.39	)
Class B Shares
Year Ended 10/31/2008		5.03		0.32		(1.43	)		(1.11	)		(0.33	)		—			(0.33	)
Year Ended 10/31/2007		5.08		0.34		(0.05	)		0.29			(0.34	)		—			(0.34	)
Year Ended 10/31/2006		5.02		0.34		0.06			0.40			(0.34	)		—			(0.34	)
Year Ended 10/31/2005		5.24		0.34		(0.21	)		0.13			(0.35	)		—			(0.35	)
Year Ended 10/31/2004		5.07		0.36		0.16			0.52			(0.35	)		—			(0.35	)
Institutional Class Shares
Year Ended 10/31/2008		5.04		0.38		(1.44	)		(1.06	)		(0.39	)		—			(0.39	)
Year Ended 10/31/2007		5.09		0.40		(0.04	)		0.36			(0.41	)		—			(0.41	)
Year Ended 10/31/2006		5.03		0.41		0.06			0.47			(0.41	)		—			(0.41	)
Year Ended 10/31/2005		5.24		0.41		(0.21	)		0.20			(0.41	)		—			(0.41	)
Year Ended 10/31/2004		5.07		0.42		0.16			0.58			(0.41	)		—			(0.41	)
MUNICIPAL BOND FUND
Class A Shares
Year Ended 10/31/2008		11.16		0.48		(0.79	)		(0.31	)		(0.48	)		—			(0.48	)
Year Ended 10/31/2007		11.39		0.49		(0.23	)		0.26			(0.49	)		—			(0.49	)
Year Ended 10/31/2006		11.31		0.50		0.08			0.58			(0.50	)		—			(0.50	)
Year Ended 10/31/2005		11.56		0.50		(0.25	)		0.25			(0.50	)		—			(0.50	)
Year Ended 10/31/2004		11.53		0.50		0.12			0.62			(0.53	)		(0.06	)		(0.59	)
Class B Shares
Year Ended 10/31/2008		11.16		0.40		(0.80	)		(0.40	)		(0.40	)		—			(0.40	)
Year Ended 10/31/2007		11.38		0.42		(0.22	)		0.20			(0.42	)		—			(0.42	)
Year Ended 10/31/2006		11.30		0.43		0.07			0.50			(0.42	)		—			(0.42	)
Year Ended 10/31/2005		11.55		0.42		(0.25	)		0.17			(0.42	)		—			(0.42	)
Year Ended 10/31/2004		11.52		0.44		0.09			0.53			(0.44	)		(0.06	)		(0.50	)
Institutional Class Shares
Year Ended 10/31/2008		11.16		0.51		(0.80	)		(0.29	)		(0.51	)		—			(0.51	)
Year Ended 10/31/2007		11.39		0.53		(0.23	)		0.30			(0.53	)		—			(0.53	)
Year Ended 10/31/2006		11.31		0.54		0.08			0.62			(0.54	)		—			(0.54	)
Year Ended 10/31/2005		11.55		0.53		(0.24	)		0.29			(0.53	)		—			(0.53	)
Year Ended 10/31/2004		11.53		0.53		0.11			0.64			(0.56	)		(0.06	)		(0.62	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

242

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	3.59	(22.70	)%	$	318.8	0.87	%	7.81	%	0.88	%	7.79	%	51	%
	5.03	6.72	%		486.2	0.86	%	7.50	%	0.87	%	7.49	%	72	%
	5.08	8.96	%		533.7	0.88	%	7.62	%	0.89	%	7.60	%	63	%
	5.03	3.54	%		563.0	0.87	%	7.45	%	0.88	%	7.43	%	54	%
	5.24	11.53	%		603.1	0.89	%	7.80	%	0.89	%	7.80	%	73	%

	3.59	(23.37	)%		3.4	1.73	%	6.87	%	2.02	%	6.58	%	51	%
	5.03	5.79	%		9.9	1.73	%	6.62	%	1.92	%	6.42	%	72	%
	5.08	8.25	%		16.5	1.73	%	6.75	%	1.92	%	6.57	%	63	%
	5.02	2.45	%		23.4	1.73	%	6.57	%	1.91	%	6.39	%	54	%
	5.24	10.66	%		33.1	1.70	%	7.00	%	1.74	%	6.96	%	73	%

	3.59	(22.52	)%		129.4	0.44	%	8.31	%	0.45	%	8.30	%	51	%
	5.04	7.16	%		62.1	0.44	%	7.92	%	0.46	%	7.90	%	72	%
	5.09	9.63	%		82.3	0.45	%	8.07	%	0.46	%	8.06	%	63	%
	5.03	3.97	%		15.2	0.46	%	7.88	%	0.47	%	7.87	%	54	%
	5.24	11.98	%		10.1	0.49	%	8.21	%	0.60	%	8.10	%	73	%


	10.37	(2.92	)%		1,104.8	0.78	%	4.36	%	0.78	%	4.36	%	9	%
	11.16	2.39	%		1,145.8	0.78	%	4.40	%	0.78	%	4.40	%	7	%
	11.39	5.28	%		1,201.2	0.78	%	4.46	%	0.78	%	4.46	%	14	%
	11.31	2.17	%		1,242.4	0.78	%	4.31	%	0.78	%	4.31	%	8	%
	11.56	5.47	%		1,264.1	0.73	%	4.53	%	0.73	%	4.53	%	12	%

	10.36	(3.69	)%		3.8	1.47	%	3.64	%	1.64	%	3.46	%	9	%
	11.16	1.77	%		12.4	1.47	%	3.70	%	1.61	%	3.56	%	7	%
	11.38	4.56	%		21.7	1.47	%	3.77	%	1.60	%	3.64	%	14	%
	11.30	1.46	%		28.9	1.47	%	3.61	%	1.60	%	3.48	%	8	%
	11.55	4.72	%		34.0	1.46	%	3.81	%	1.51	%	3.76	%	12	%

	10.36	(2.71	)%		35.1	0.47	%	4.69	%	0.47	%	4.69	%	9	%
	11.16	2.68	%		17.4	0.49	%	4.70	%	0.49	%	4.70	%	7	%
	11.39	5.59	%		12.2	0.49	%	4.75	%	0.49	%	4.75	%	14	%
	11.31	2.56	%		8.4	0.48	%	4.64	%	0.48	%	4.64	%	8	%
	11.55	5.70	%		5.1	0.44	%	4.83	%	0.52	%	4.75	%	12	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

243

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations								Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)		Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments		Total Distributions
INCOME FUND
Class A Shares
Year Ended 10/31/2008	$	8.50	$	0.42	$	(1.57	)	$	(1.15	)	$	(0.43	)	$	—	$	(0.43	)
Year Ended 10/31/2007		8.59		0.43		(0.10	)		0.33			(0.42	)		—		(0.42	)
Year Ended 10/31/2006		8.56		0.41		0.03			0.44			(0.41	)		—		(0.41	)
Year Ended 10/31/2005		8.86		0.37		(0.30	)		0.07			(0.37	)		—		(0.37	)
Year Ended 10/31/2004		8.73		0.35		0.13			0.48			(0.35	)		—		(0.35	)
Class B Shares
Year Ended 10/31/2008		8.48		0.36		(1.58	)		(1.22	)		(0.36	)		—		(0.36	)
Year Ended 10/31/2007		8.57		0.37		(0.11	)		0.26			(0.35	)		—		(0.35	)
Year Ended 10/31/2006		8.54		0.34		0.03			0.37			(0.34	)		—		(0.34	)
Year Ended 10/31/2005		8.84		0.30		(0.30	)		—			(0.30	)		—		(0.30	)
Year Ended 10/31/2004		8.71		0.29		0.12			0.41			(0.28	)		—		(0.28	)
Institutional Class Shares
Year Ended 10/31/2008		8.49		0.45		(1.57	)		(1.12	)		(0.46	)		—		(0.46	)
Year Ended 10/31/2007		8.58		0.47		(0.11	)		0.36			(0.45	)		—		(0.45	)
Year Ended 10/31/2006		8.55		0.44		0.03			0.47			(0.44	)		—		(0.44	)
Year Ended 10/31/2005		8.85		0.40		(0.29	)		0.11			(0.41	)		—		(0.41	)
Year Ended 10/31/2004		8.75		0.39		0.10			0.49			(0.39	)		—		(0.39	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

244

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	6.92	(14.19	)%	$	326.2	0.80	%	5.16	%	0.81	%	5.15	%	160	%
	8.50	3.90	%		433.0	0.80	%	5.06	%	0.81	%	5.05	%	236	%
	8.59	5.25	%		470.5	0.81	%	4.78	%	0.82	%	4.76	%	303	%
	8.56	0.82	%		532.3	0.80	%	4.22	%	0.81	%	4.20	%	245	%
	8.86	5.64	%		575.2	0.82	%	4.04	%	0.82	%	4.04	%	203	%

	6.90	(14.95	)%		2.4	1.63	%	4.28	%	2.14	%	3.77	%	160	%
	8.48	3.03	%		6.5	1.63	%	4.21	%	2.02	%	3.81	%	236	%
	8.57	4.39	%		12.6	1.63	%	3.93	%	1.96	%	3.60	%	303	%
	8.54	(0.02	)%		19.2	1.63	%	3.38	%	1.94	%	3.07	%	245	%
	8.84	4.83	%		25.4	1.60	%	3.25	%	1.68	%	3.17	%	203	%

	6.91	(13.85	)%		318.5	0.39	%	5.58	%	0.40	%	5.57	%	160	%
	8.49	4.32	%		368.9	0.39	%	5.51	%	0.40	%	5.50	%	236	%
	8.58	5.68	%		167.0	0.40	%	5.30	%	0.41	%	5.29	%	303	%
	8.55	1.22	%		46.7	0.40	%	4.64	%	0.41	%	4.62	%	245	%
	8.85	5.94	%		29.0	0.43	%	4.43	%	0.54	%	4.32	%	203	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

245

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations								Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)		Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
CORE BOND FUND
Class A Shares
Year Ended 10/31/2008	$	9.77	$	0.45	$	(1.40	)	$	(0.95	)	$	(0.46	)	$	—		$	(0.46	)
Year Ended 10/31/2007		9.90		0.46		(0.15	)		0.31			(0.44	)		—			(0.44	)
Year Ended 10/31/2006		9.89		0.44		0.02			0.46			(0.45	)		—			(0.45	)
Year Ended 10/31/2005		10.27		0.39		(0.36	)		0.03			(0.41	)		—			(0.41	)
Period Ended 10/31/2004 ^(c)		10.14		0.20		0.16			0.36			(0.22	)		(0.01	)		(0.23	)
Year Ended 4/30/2004		10.31		0.40		(0.12	)		0.28			(0.45	)		—			(0.45	)
Class B Shares
Year Ended 10/31/2008		9.78		0.36		(1.43	)		(1.07	)		(0.35	)		—			(0.35	)
Year Ended 10/31/2007		9.91		0.36		(0.15	)		0.21			(0.34	)		—			(0.34	)
Year Ended 10/31/2006		9.90		0.34		0.02			0.36			(0.35	)		—			(0.35	)
Year Ended 10/31/2005		10.27		0.29		(0.35	)		(0.06	)		(0.31	)		—			(0.31	)
Period Ended 10/31/2004 ^(c)		10.15		0.15		0.15			0.30			(0.17	)		(0.01	)		(0.18	)
Year Ended 4/30/2004		10.32		0.30		(0.12	)		0.18			(0.35	)		—			(0.35	)
Institutional Class Shares
Year Ended 10/31/2008		9.78		0.48		(1.41	)		(0.93	)		(0.49	)		—			(0.49	)
Year Ended 10/31/2007		9.91		0.49		(0.13	)		0.36			(0.49	)		—			(0.49	)
Year Ended 10/31/2006		9.90		0.48		0.02			0.50			(0.49	)		—			(0.49	)
Year Ended 10/31/2005		10.27		0.43		(0.34	)		0.09			(0.46	)		—			(0.46	)
Period Ended 10/31/2004 ^(c)		10.15		0.22		0.15			0.37			(0.24	)		(0.01	)		(0.25	)
Year Ended 4/30/2004		10.31		0.44		(0.11	)		0.33			(0.49	)		—			(0.49	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

246

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	8.36	(10.13	)%	$	223.5	0.83	%	4.77	%	0.95	%	4.65	%	344	%
	9.77	3.24	%		295.1	0.93	%	4.62	%	0.95	%	4.60	%	381	%
	9.90	4.75	%		343.1	0.93	%	4.44	%	0.95	%	4.42	%	394	%
	9.89	0.31	%		421.2	0.91	%	3.84	%	0.94	%	3.82	%	368	%
	10.27	3.58	%		457.1	0.92	%	3.84	%	0.93	%	3.83	%	167	%
	10.14	2.74	%		460.5	0.88	%	3.86	%	0.89	%	3.85	%	463	%

	8.36	(11.23	)%		1.5	1.95	%	3.64	%	2.10	%	3.50	%	344	%
	9.78	2.19	%		4.5	1.95	%	3.60	%	1.99	%	3.56	%	381	%
	9.91	3.71	%		8.1	1.94	%	3.43	%	1.96	%	3.41	%	394	%
	9.90	(0.58	)%		10.8	1.91	%	2.86	%	1.93	%	2.84	%	368	%
	10.27	2.97	%		13.3	1.91	%	2.84	%	1.92	%	2.83	%	167	%
	10.15	1.75	%		13.4	1.86	%	2.89	%	1.87	%	2.88	%	463	%

	8.36	(9.92	)%		65.0	0.50	%	5.12	%	0.52	%	5.10	%	344	%
	9.78	3.68	%		83.8	0.51	%	5.00	%	0.53	%	4.98	%	381	%
	9.91	5.20	%		49.0	0.51	%	4.86	%	0.53	%	4.85	%	394	%
	9.90	0.84	%		52.9	0.49	%	4.17	%	0.51	%	4.15	%	368	%
	10.27	3.69	%		36.3	0.50	%	4.25	%	0.51	%	4.24	%	167	%
	10.15	3.25	%		34.5	0.49	%	4.26	%	0.50	%	4.25	%	463	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

247

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations								Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)		Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments			Total Distributions
LIMITED MATURITY BOND FUND
Class A Shares
Year Ended 10/31/2008	$	12.53	$	0.52	$	(1.13	)	$	(0.61	)	$	(0.52	)	$	—		$	(0.52	)
Year Ended 10/31/2007		12.58		0.57		(0.06	)		0.51			(0.56	)		—			(0.56	)
Year Ended 10/31/2006		12.58		0.50		—			0.50			(0.50	)		—			(0.50	)
Year Ended 10/31/2005		12.91		0.41		(0.30	)		0.11			(0.41	)		(0.03	)		(0.44	)
Year Ended 10/31/2004		13.06		0.35		(0.03	)		0.32			(0.35	)		(0.12	)		(0.47	)
Class B Shares
Year Ended 10/31/2008		12.54		0.49		(1.12	)		(0.63	)		(0.50	)		—			(0.50	)
Year Ended 10/31/2007		12.59		0.55		(0.06	)		0.49			(0.54	)		—			(0.54	)
Year Ended 10/31/2006		12.59		0.50		—			0.50			(0.50	)		—			(0.50	)
Year Ended 10/31/2005		12.92		0.41		(0.30	)		0.11			(0.41	)		(0.03	)		(0.44	)
Year Ended 10/31/2004		13.06		0.33		(0.02	)		0.31			(0.33	)		(0.12	)		(0.45	)
Institutional Class Shares
Year Ended 10/31/2008		12.53		0.56		(1.13	)		(0.57	)		(0.56	)		—			(0.56	)
Year Ended 10/31/2007		12.58		0.61		(0.06	)		0.55			(0.60	)		—			(0.60	)
Year Ended 10/31/2006		12.58		0.56		—			0.56			(0.56	)		—			(0.56	)
Year Ended 10/31/2005		12.91		0.47		(0.30	)		0.17			(0.47	)		(0.03	)		(0.50	)
Year Ended 10/31/2004		13.05		0.39		(0.02	)		0.37			(0.39	)		(0.12	)		(0.51	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

*	All per share amounts have been rounded to the nearest cent.

The accompanying Notes to Financial Statements are an integral part of this schedule.

248

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	11.40	(5.03	)%	$	90.5	0.68	%	4.22	%	0.70	%	4.20	%	113	%
	12.53	4.10	%		112.0	0.73	%	4.52	%	0.74	%	4.50	%	130	%
	12.58	4.07	%		114.8	0.85	%	3.99	%	0.86	%	3.98	%	145	%
	12.58	0.89	%		131.3	0.86	%	3.25	%	0.88	%	3.24	%	295	%
	12.91	2.52	%		119.4	0.75	%	2.71	%	0.89	%	2.57	%	230	%

	11.41	(5.20	)%		1.5	0.86	%	4.04	%	0.87	%	4.03	%	113	%
	12.54	3.93	%		1.8	0.89	%	4.35	%	0.91	%	4.33	%	130	%
	12.59	4.02	%		1.9	0.89	%	3.96	%	0.94	%	3.91	%	145	%
	12.59	0.87	%		2.0	0.89	%	3.21	%	0.93	%	3.17	%	295	%
	12.92	2.45	%		2.1	0.88	%	2.59	%	0.88	%	2.59	%	230	%

	11.40	(4.71	)%		376.9	0.35	%	4.56	%	0.36	%	4.54	%	113	%
	12.53	4.47	%		303.7	0.36	%	4.91	%	0.38	%	4.89	%	130	%
	12.58	4.55	%		148.3	0.38	%	4.58	%	0.39	%	4.57	%	145	%
	12.58	1.36	%		37.4	0.41	%	3.78	%	0.42	%	3.77	%	295	%
	12.91	2.90	%		9.8	0.45	%	3.01	%	0.57	%	2.89	%	230	%

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

249

Thrivent Mutual Funds

Financial Highlights - continued


	FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD*
			Income from Investment Operations									Less Distributions from
	Net Asset Value, Beginning of Period		Net Investment Income/(Loss)			Net Realized and Unrealized Gain/(Loss) on Investments^(a)			Total from Investment Operations			Net Investment Income			Net Realized Gain on Investments		Total Distributions
MONEY MARKET FUND
Class A Shares
Year Ended 10/31/2008	$	1.00	$	0.03		$	—		$	0.03		$	(0.03	)	$	—	$	(0.03	)
Year Ended 10/31/2007		1.00		0.05			—			0.05			(0.05	)		—		(0.05	)
Year Ended 10/31/2006		1.00		0.04			—			0.04			(0.04	)		—		(0.04	)
Year Ended 10/31/2005		1.00		0.02			—			0.02			(0.02	)		—		(0.02	)
Period Ended 10/31/2004 ^(c)		1.00		0.00	^		0.00	^		0.00	^		0.00	^		—		0.00	^
Year Ended 4/30/2004		1.00		0.00	^		—			0.00	^		0.00	^		—		0.00	^
Class B Shares
Year Ended 10/31/2008		1.00		0.03			—			0.03			(0.03	)		—		(0.03	)
Year Ended 10/31/2007		1.00		0.04			—			0.04			(0.04	)		—		(0.04	)
Year Ended 10/31/2006		1.00		0.04			—			0.04			(0.04	)		—		(0.04	)
Year Ended 10/31/2005		1.00		0.02			—			0.02			(0.02	)		—		(0.02	)
Period Ended 10/31/2004 ^(c)		1.00		0.00	^		—			0.00	^		0.00	^		—		0.00	^
Year Ended 4/30/2004		1.00		0.00	^		—			0.00	^		0.00	^		—		0.00	^
Institutional Class Shares
Year Ended 10/31/2008		1.00		0.03			—			0.03			(0.03	)		—		(0.03	)
Year Ended 10/31/2007		1.00		0.05			—			0.05			(0.05	)		—		(0.05	)
Year Ended 10/31/2006		1.00		0.04			—			0.04			(0.04	)		—		(0.04	)
Year Ended 10/31/2005		1.00		0.03			—			0.03			(0.03	)		—		(0.03	)
Period Ended 10/31/2004 ^(c)		1.00		0.01			—			0.01			(0.01	)		—		(0.01	)
Year Ended 4/30/2004		1.00		0.01			—			0.01			(0.01	)		—		(0.01	)

^(a)	The amount shown may not correlate with the change in aggregate gains and losses of portfolio securities due to the timing of sales and redemptions of fund shares.

^(c)	For the period from May 1, 2004 to October 31, 2004.

*	All per share amounts have been rounded to the nearest cent.

^	Amount represents less than $.01 per share.

The accompanying Notes to the Financial Statements are an integral part of this schedule.

250

Thrivent Mutual Funds

Financial Highlights - continued


		RATIOS / SUPPLEMENTAL DATA
						Ratio to Average Net Assets**				Ratios to Average Net Assets Before Expenses Waived, Credited or Paid Indirectly**
Net Asset Value, End of Period		Total Return^(b)		Net Assets, End of Period (in millions)		Expenses		Net Investment Income/(Loss)		Expenses		Net Investment Income/(Loss)		Portfolio Turnover Rate


$	1.00	3.21	%	$	1,306.0	0.54	%	3.14	%	0.74	%	2.94	%	N/A
	1.00	4.92	%		1,183.9	0.58	%	4.83	%	0.78	%	4.63	%	N/A
	1.00	4.26	%		864.3	0.71	%	4.22	%	0.89	%	4.04	%	N/A
	1.00	2.12	%		661.3	0.84	%	2.08	%	0.94	%	1.98	%	N/A
	1.00	0.26	%		686.8	0.90	%	0.61	%	1.00	%	0.51	%	N/A
	1.00	0.32	%		262.2	0.83	%	0.32	%	0.93	%	0.22	%	N/A

	1.00	2.73	%		1.0	1.01	%	2.82	%	1.76	%	2.08	%	N/A
	1.00	4.48	%		1.5	1.01	%	4.39	%	1.82	%	3.58	%	N/A
	1.00	3.94	%		1.8	1.01	%	3.88	%	1.97	%	2.92	%	N/A
	1.00	1.94	%		1.7	1.01	%	1.84	%	1.93	%	0.91	%	N/A
	1.00	0.18	%		2.9	1.04	%	0.47	%	1.95	%	(0.44	)%	N/A
	1.00	0.07	%		1.8	1.08	%	0.07	%	1.84	%	(0.69	)%	N/A

	1.00	3.41	%		223.3	0.35	%	3.45	%	0.45	%	3.36	%	N/A
	1.00	5.16	%		425.0	0.36	%	5.05	%	0.46	%	4.95	%	N/A
	1.00	4.59	%		341.1	0.39	%	4.51	%	0.49	%	4.42	%	N/A
	1.00	2.56	%		283.1	0.40	%	2.56	%	0.50	%	2.46	%	N/A
	1.00	0.47	%		245.7	0.47	%	1.05	%	0.54	%	0.98	%	N/A
	1.00	0.59	%		114.6	0.56	%	0.59	%	0.56	%	0.59	%	N/A

^(b)	Total investment return assumes dividend reinvestment and does not reflect any deduction for sales charges. Not annualized for periods less than one year.

**	Computed on an annualized basis for periods less than one year.

The accompanying Notes to Financial Statements are an integral part of this schedule.

251

Additional Information

(Unaudited)

Shareholder Notification of Federal Tax Information (unaudited)

The following information is provided solely to satisfy the requirements set forth by the Internal Revenue Code. Shareholders will be provided information regarding their distributions in January 2009.

The Funds designate the following percentages of dividends declared from net investment income as dividends qualifying for the 70% dividends received deduction for corporations or as qualified dividend income for individuals under the Jobs and Growth Tax Relief Reconciliation Act of 2003 for the tax period ending October 31, 2008:


Fund	Dividends Received Deduction for Corporations		Qualified Dividend Income for Individuals
Aggressive Allocation	25	%	43	%
Moderately Aggressive Allocation	24	%	34	%
Moderate Allocation	17	%	22	%
Moderately Conservative Allocation	10	%	13	%
Partner Small Cap Growth	20	%	20	%
Partner Small Cap Value	50	%	51	%
Small Cap Index	100	%	100	%
Mid Cap Growth	6	%	6	%
Partner Mid Cap Value	36	%	38	%
Mid Cap Stock	24	%	22	%
Mid Cap Index	100	%	100	%
Partner International Stock	0	%	100	%
Large Cap Growth	15	%	16	%
Large Cap Value	100	%	100	%
Large Cap Stock	55	%	57	%
Large Cap Index	100	%	100	%
Balanced	30	%	32	%
High Yield	1	%	1	%
Income	1	%	1	%
Limited Maturity Bond	1	%	1	%

The Municipal Bond Fund designates 99.44% of the dividends declared from net investment income as exempt from federal income tax for the tax period ended October 31, 2008.

Pursuant to IRC 852(b)(3) of the Internal Revenue Code, the Funds hereby designate the following amounts as long-term capital gains distributed during the year ended October 31, 2008, or if subsequently determined to be different, the net capital gain of such year:


Fund	Distributions of Long-Term Capital Gains
Aggressive Allocation	$	5,854,153
Moderately Aggressive Allocation		11,819,783
Moderate Allocation		11,287,059
Moderately Conservative Allocation		2,612,434
Partner Small Cap Growth		2,966,698
Partner Small Cap Value		9,502,303
Small Cap Stock		68,131,147
Small Cap Index		4,941,997
Mid Cap Growth		25,349,717
Partner Mid Cap Value		1,524,721
Mid Cap Stock		104,997,255
Mid Cap Index		6,264,732
Partner International Stock		59,329,987
Large Cap Growth		14,227,172
Large Cap Value		29,157,758
Large Cap Stock		296,690,398
Balanced		12,582,777

These amounts may include earnings and profits distributed to shareholders on the redemption of shares as part of the dividend paid deduction.

Proxy Voting

The policies and procedures that the Trust uses to determine how to vote proxies relating to portfolio securities are attached to the Trust’s Statement of Additional Information. You may request a free copy of the Statement of Additional Information or the report of how the Trust voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 by calling 1-800-847-4836. You also may review the Statement of Additional Information or the report of how the Trust voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 at the Thrivent Financial web site (www.thrivent.com) or the SEC web site (www.sec.gov).

Quarterly Schedule of Portfolio Holdings

The Trust files its Schedule of Portfolio Holdings on Form N-Q with the SEC for the first and third quarters of each fiscal year. You may request a free copy of the Trust’s Forms N-Q by calling 1-800-847-4836. The Trust’s Forms N-Q also are available on the Thrivent Financial web site (www.thrivent.com) or the SEC web site (www.sec.gov). You also may review and copy the Forms N-Q for the Trust at the SEC’s Public Reference Room in Washington, DC. You may get information about the operation of the Public Reference Room by calling 1-800-SEC-0330.

252

Board of Trustees and Officers

The following table provides information about the Trustees and Officers of the Trust. Each Trustees oversees each of the 29 series of the Trust and also serves as:

•

Director of Thrivent Series Fund, Inc., a registered investment company consisting of 41 portfolios that serve as underlying funds for variable contracts issued by Thrivent Financial for Lutherans (“Thrivent Financial”) and Thrivent Life Insurance Company and investment options in the retirement plan offered by Thrivent Financial; and

•

Trustee of Thrivent Financial Securities Lending Trust, a registered investment company consisting of one portfolio that serves as a cash collateral fund for a securities lending program sponsored by Thrivent Financial.

The 29 series of the Trust, the 41 portfolios of Thrivent Series Fund, Inc. and Thrivent Financial Securities Lending Trust are referred to herein as the “Fund Complex.” The Statement of Additional Information includes additional information about the Trustees and is available, without charge, by calling 1-800-847-4836.

Interested Trustee (1)


Name, Address and Age	Position with Trust and Length of Service (2)	Number of Portfolios in Fund Complex Overseen by Trustee	Principal Occupation During the Past 5 Years	Other Directorships Held by Trustee
Pamela J. Moret 625 Fourth Avenue South Minneapolis, MN Age 52	President from 2004 until November 2008; Trustee from 2004 until December 2008	71	Executive Vice President, Strategic Development, Thrivent Financial since 2008; Executive Vice President, Marketing and Products, Thrivent Financial from 2002 until 2008	Director, American Public Media and affiliates; Director, Luther Seminary

Independent Trustees (3)
Name, Address and Age	Position with Trust and Length of Service (2)	Number of Portfolios in Fund Complex Overseen by Trustee	Principal Occupation During the Past 5 Years	Other Directorships Held by Trustee
F. Gregory Campbell 625 Fourth Avenue South Minneapolis, MN Age 68	Trustee since 1992	71	President, Carthage College	Director, Optique Funds, Inc., an investment company consisting of four portfolios; Director, Kenosha Hospital and Medical Center Board; Director, Prairie School Board; Director, United Health Systems Board

253

Board of Trustees and Officers


Name, Address and Age	Position with Trust and Length of Service (2)	Number of Portfolios in Fund Complex Overseen by Trustee	Principal Occupation During the Past 5 Years	Other Directorships Held by Trustee
Herbert F. Eggerding, Jr. 625 Fourth Avenue South Minneapolis, MN Age 71	Trustee since 2003	71	Management consultant to several privately owned companies	None

Noel K. Estenson 625 Fourth Avenue South Minneapolis, MN Age 69	Trustee since 2004	71	Retired	None

Richard L. Gady 625 Fourth Avenue South Minneapolis, MN Age 65	Trustee since 1987	71	Retired; previously Vice President, Public Affairs and Chief Economist, ConAgra, Inc. (agribusiness)	None

Richard A. Hauser 625 Fourth Avenue South Minneapolis, MN Age 65	Trustee since 2004	71	Vice President and Assistant General Counsel, Boeing Company since June 2007; President, National Legal Center for the Public Interest since 2004; General Counsel U.S. Department of Housing and Urban Development from 2001 to 2004; Partner, Baker & Hostetler, from 1986 to 2001	None

Connie M. Levi 625 Fourth Avenue South Minneapolis, MN Age 69	Chairperson beginning in 2009; Trustee since 2004	71	Retired	None

Douglas D. Sims 625 Fourth Avenue South Minneapolis, MN Age 62	Trustee since 2006	71	Retired; previously Chief Executive Officer of CoBank from 1994 to 2006	Director, Keystone Neighborhood Company; Director, Center for Corporate Excellence

Edward W. Smeds 625 Fourth Avenue South Minneapolis, MN Age 72	Chairman from 2004 until December 2008; Trustee from 1999 until December 2008	71	Retired	Chairman of Carthage College Board

254

Board of Trustees and Officers

Name, Address

and Age

Position
with Trust and
Length of Service (2)

Number of
Portfolios in
Fund
Complex
Overseen by
Trustee

Principal Occupation
During the Past 5 Years

Other Directorships
Held by Trustee

Constance L. Souders

625 Fourth Avenue South

Minneapolis, MN

Age 58

Trustee since 2007

Retired; previously Director from 1983 to September 30, 2007, Executive Vice President from 2001 to 2007, AML Compliance Officer from 2003 to 2007, Chief Financial Officer from 2000 to 2005, Chief Administrative Officer from 2000 to 2005 and Treasurer from 1992 to 2005 of Harbor Capital Advisors, Inc.; Director from 1992 to 2007, President from 2000 to 2007 and AML Compliance Officer from 2003 to 2007 of Harbor Services Group, Inc.; Director from 1992 to 2007, Executive Vice President from 2001 to 2007, Chief Compliance Officer from 2004 to 2007, AML Compliance Officer from 2003 to 2007, Supervisory Registered Principal from 2000 to 2007, Interim President from 2002 to 2003, Treasurer from 2000 to 2005 and Secretary from 2000 to 2005 of Harbor Funds Distributors, Inc.; Vice President from 2000 to 2007, Chief Financial Officer from 2000 to 2005 and Treasurer from 1992 to 2005 of Harbor Funds

None

255

Board of Trustees and Officers

Executive Officers


Name, Address and Age	Position with Trust and Length of Service (2)	Principal Occupation During the Past 5 Years
Pamela J. Moret 625 Fourth Avenue South Minneapolis, MN Age 52	President from 2002 until November 2008	Executive Vice President, Strategic Development, Thrivent Financial since 2008; Executive Vice President, Marketing and Products, Thrivent Financial from 2002 until 2008

Russell W. Swansen 625 Fourth Avenue South Minneapolis, MN Age 51	President since November 2008; previously, Vice President since 2004	Senior Vice President and Chief Investment Officer, Thrivent Financial since 2004; Managing Director, Colonnade Advisors LLC from 2001 to 2003

David S. Royal 625 Fourth Avenue South Minneapolis, MN Age 37	Secretary and Chief Legal Officer since 2006	Vice President — Asset Management, Thrivent Financial since 2006; Partner, Kirkland & Ellis LLP from April 2004 to June 2006; Associate, Skadden, Arps, Slate, Meagher & Flom LLP from 1997 to 2004

Katie S. Kloster 625 Fourth Avenue South Minneapolis, MN Age 43	Vice President Investment Company and Investment Adviser Chief Compliance Officer since 2004	Vice President and IC and IA Chief Compliance Officer, Thrivent Financial since 2004; previously Vice President and Controller of Thrivent Financial

Gerard V. Vaillancourt 625 Fourth Avenue South Minneapolis, MN Age 41	Treasurer and Principal Financial Officer since 2005	Vice President, Mutual Fund Accounting since 2006; Head of Mutual Fund Accounting, Thrivent Financial from 2005 to 2006; Director, Fund Accounting Administration, Thrivent Financial from 2002 to 2005; Manager — Portfolio Compliance, Lutheran Brotherhood from 2001 to 2002; Manager — Fund Accounting, Minnesota Life from 2000 to 2001

Janice M. Guimond 625 Fourth Avenue South Minneapolis, MN Age 44	Vice President since 2005	Vice President, Investment Operations, Thrivent Financial since 2003; Manager of Portfolio Reporting, Thrivent Financial from 2003 to 2004; Independent Consultant from 2001 to 2003

Karl D. Anderson 625 Fourth Avenue South Minneapolis, MN Age 47	Vice President since 2006	Vice President, Products, Thrivent Financial

Karl D. Anderson 625 Fourth Avenue South Minneapolis, MN Age 47	Vice President since 2006	Vice President, Products, Thrivent Financial

Brian W. Picard 4321 North Ballard Road Appleton, WI Age 38	Vice President Anti-Money Laundering Officer since 2006	Director of FSO Compliance Corp. BCM since 2006; Manager of Field and Securities Compliance from 2002 to 2006, Thrivent Financial

Kenneth L. Kirchner 4321 North Ballard Road Appleton, WI Age 42	Assistant Vice President since 2004	Director, Mutual Funds Operations, Thrivent Financial

Mark D. Anema 625 Fourth Avenue South Minneapolis, MN Age 47	Assistant Vice President since 2007	Vice President, Accumulation and Retirement Income Solutions, Thrivent Financial since 2007; Vice President, Strategic Planning, Thrivent Financial from 2004 to 2007; Insurance Practice Engagement Manager, McKinsey and Company from 1999 to 2004

256

Board of Trustees and Officers


Name, Address and Age	Position with Trust and Length of Service (2)	Principal Occupation During the Past 5 Years
James M. Odland 625 Fourth Avenue South Minneapolis, MN Age 53	Assistant Secretary since 2006	Vice President, Office of the General Counsel, Thrivent Financial since 2005; Senior Securities Counsel, Allianz Life Insurance Company from January 2005 to August 2005; Vice President and Chief Legal Officer, Woodbury Financial Services, Inc. from September 2003 to January 2005; Vice President and Group Counsel, Corporate Practice Group, American Express Financial Advisors, Inc. from 2001 to 2003

John L. Sullivan 625 Fourth Avenue South Minneapolis, MN Age 37	Assistant Secretary since 2007	Senior Counsel, Thrivent Financial since 2007; previously Senior Counsel, Division of Investment Management of the Securities and Exchange Commission

Todd J. Kelly 4321 North Ballard Road Appleton, WI Age 39	Assistant Treasurer since 1999	Director, Fund Accounting Operations, Thrivent Financial

Sarah L. Bergstrom 625 Fourth Avenue South Minneapolis, MN Age 31	Assistant Treasurer since 2007	Director, Fund Accounting Administration, Thrivent Financial since 2007; Manager, Fund Accounting Administration, Thrivent Financial from 2005 to 2007; Manager, Mutual Fund Tax Reporting, Thrivent Financial from 2004 to 2005; Supervisor, Mutual Fund Tax Reporting, Thrivent Financial from 2002 to 2004

(1)	“Interested person” of the Trust as defined in 1940 Act by virtue of positions with Thrivent Financial. Ms. Moret is considered an interested person because of her principal occupation with Thrivent Financial.

(2)	Each Trustee generally serves an indefinite term until her or his successor is duly elected and qualified. Officers serve at the discretion of the board until their successors are duly appointed and qualified.

(3)	The Trustees other than Ms. Moret are not “interested persons” of the Trust and are referred to as “Independent Directors.”

257

LOGO

Item 2. Code of Ethics

As of the end of the period covered by this report, registrant has adopted a code of ethics (as defined in Item 2 of Form N-CSR) applicable to registrant’s Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer. No waivers were granted to such code of ethics during the period covered by this report. A copy of this code of ethics is filed as an exhibit to this Form N-CSR.

Item 3. Audit Committee Financial Expert

Registrant’s Board of Trustees has determined that Herbert F. Eggerding, Jr., an independent trustee, is the Audit Committee Financial Expert.

Item 4. Principal Accountant Fees and Services

(a)

Audit Fees

The aggregate fees billed by registrant’s independent public accountants, PricewaterhouseCoopers LLP (“PwC”), for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008, for professional services rendered in connection with the audit of registrant’s annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements were $364,656 and $294,454.59, respectively.

(b)

Audit-Related Fees

The aggregate fees PwC billed to registrant for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008, for assurance and other services that are reasonably related to the performance of registrant’s audit and are not reported under Item 4(a), were $0 for each respective period. The aggregate fees PwC billed to registrant’s investment adviser and any entity controlling, controlled by, or under common control with registrant’s investment adviser for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008, for assurance and other services directly related to the operations and financial reporting of registrant, were $0 for each respective period.

(c)

Tax Fees

The aggregate tax fees PwC billed to registrant for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008, for tax compliance, tax advice and tax planning services, were $117,935 and $156,365.78, respectively. The aggregate tax fees PwC billed to registrant’s investment adviser and any entity controlling, controlled by, or under common control with registrant’s investment adviser for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008, for services directly related to the operations and financial reporting of registrant, were $0 for each respective period.

(d)

All Other Fees

The aggregate fees PwC billed to registrant for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008 for products and services provided, other than the services reported in paragraphs (a) through (c) of this item, were $0 for each respective period. The aggregate fees PwC billed to registrant’s investment adviser and any entity controlling, controlled by, or under common control with registrant’s investment adviser for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008, for products and services provided, other than the services reported in paragraphs (a) through (c) of this item, were $0 and $0, respectively.

(e)

Registrant’s audit committee charter, adopted in August 2004, provides that the audit committee (comprised of the independent Trustees of registrant) is responsible for pre-approval of all auditing services performed for the registrant. The audit committee also is responsible for pre-approval (subject to the de minimis exceptions for non-audit services described in Section 10A(i)(1)(B) of the Securities Exchange Act of 1934) of all non-auditing services performed for the registrant or an affiliate of registrant. In addition, registrant’s audit committee charter permits a designated member of the audit committee to pre-approve, between meetings, one or more audit or non-audit service projects, subject to an expense limit and notification to the audit committee at the next committee meeting. Registrant’s audit committee pre-approved all fees described above that PwC billed to registrant.

(f)

Less than 50% of the hours billed by PwC for auditing services to registrant for the fiscal year ended October 31, 2008 was for work performed by persons other than full-time permanent employees of PwC.

(g)

The aggregate non-audit fees billed by PwC to registrant and to registrant’s investment adviser and any entity controlling, controlled by, or under common control with registrant’s investment adviser for the fiscal year ended October 31, 2007 and the fiscal year ended October 31, 2008 were $1,582 and $1,500 for each respective period.

(h)

Registrant’s audit committee has considered the non-audit services provided to the registrant and registrant’s investment adviser and any entity controlling, controlled by, or under common control with registrant’s investment adviser as described above and determined that these services do not compromise PwC’s independence.

Item 5. Audit Committee of Listed Registrants

Not applicable.

Item 6. Schedule of Investments

(a)

Registrant’s Schedule of Investments is included in the report to shareholders filed under Item 1.

(b)

Not applicable to this filing.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies

Not applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies

Not applicable.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders

There have been no material changes to the procedures by which shareholders may recommend nominees to registrant’s board of trustees.

Item 11. Controls and Procedures

(a)(i) Registrant’s President and Treasurer have concluded that registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) are

effective, based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.

(a)(ii) Registrant’s President and Treasurer are aware of no change in registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during registrant’s most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, registrant’s internal control over financial reporting.

Item 12. Exhibits

(a)

The code of ethics pursuant to Item 2 is attached hereto.

(b)

Certifications pursuant to Rules 30a-2(a) and 30a-2(b) under the Investment Company Act of 1940 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.

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.