N-Q 1 f30264nvq.htm FORM N-Q nvq
 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-Q
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS
OF
REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number: 811-07704
Schwab Capital Trust
(Exact name of registrant as specified in charter)
211 Main Street, San Francisco, California 94105
(Address of principal executive offices) (Zip code)
Marie Chandoha
Schwab Capital Trust
211 Main Street, San Francisco, California 94105
(Name and address of agent for service)
Registrant’s telephone number, including area code: (415) 636-7000
Date of fiscal year end: October 31
Date of reporting period: July 31, 2014
 
 
Item 1. Schedule of Investments.

 

 

Schwab Capital Trust
Schwab Target 2010 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  96 .7%   Other Investment Companies     49,435,247       60,102,504  
  3 .3%   Short-Term Investments     2,023,190       2,023,190  
 
 
  100 .0%   Total Investments     51,458,437       62,125,694  
  0 .0%   Other Assets and Liabilities, Net             10,047  
 
 
  100 .0%   Net Assets             62,135,741  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 96.7% of net assets
 
Equity Funds 39.4%
                 
 
Global Real Estate 2.0%
Schwab Global Real Estate Fund (a)
    177,019       1,258,606  
                 
 
International 7.9%
American Century International Growth Fund, Institutional Shares
    74,314       992,092  
Laudus International MarketMasters Fund, Select Shares (a)
    79,977       1,910,658  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    92,696       833,340  
William Blair International Small Cap Growth Fund, Institutional Shares
    70,940       1,144,258  
                 
              4,880,348  
                 
 
Large-Cap 26.4%
Dodge & Cox Stock Fund
    1,067       188,974  
Laudus U.S. Large Cap Growth Fund *(a)
    215,865       3,989,189  
Schwab Core Equity Fund (a)
    171,820       4,180,381  
Schwab Dividend Equity Fund (a)
    116,666       2,168,823  
Schwab S&P 500 Index Fund (a)
    126,462       3,852,018  
TCW Relative Value Large Cap Fund
    94,116       2,022,562  
                 
              16,401,947  
                 
 
Small-Cap 3.1%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    37,575       656,429  
Schwab Small-Cap Equity Fund (a)
    52,814       1,268,581  
                 
              1,925,010  
                 
              24,465,911  
 
Fixed-Income Funds 54.2%
                 
 
Inflation-Protected Bond 5.2%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    282,569       3,221,284  
                 
 
Intermediate-Term Bond 33.0%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    144,100       1,775,312  
PIMCO Total Return Fund, Institutional Shares
    353,336       3,847,826  
Schwab Intermediate-Term Bond Fund (a)
    184,315       1,878,173  
Schwab Total Bond Market Fund (a)
    1,373,766       12,995,823  
                 
              20,497,134  
                 
 
International Bond 0.6%
Laudus Mondrian International Government Fixed Income Fund *(a)
    32,199       354,187  
                 
 
Short-Term Bond 15.4%
Schwab Short-Term Bond Market Fund (a)
    1,036,224       9,595,436  
                 
              33,668,041  
 
Money Market Fund 3.1%
Schwab Value Advantage Money Fund, Institutional Prime Shares 0.01% (a)(b)
    1,968,552       1,968,552  
                 
Total Other Investment Companies
(Cost $49,435,247)     60,102,504  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 3.3% of net assets
 
Time Deposits 3.3%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    627,616       627,616  
DNB
0.03%, 08/01/14
    627,616       627,616  
Sumitomo Mitsui Banking Corp.
0.03%, 08/01/14
    140,342       140,342  
Wells Fargo
0.03%, 08/01/14
    627,616       627,616  
                 
Total Short-Term Investments
(Cost $2,023,190)     2,023,190  
         
 
End of Investments.
 
 
 
 1

 

 
 Schwab Target 2010 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
At 07/31/14, the tax basis cost of the fund’s investments was $52,326,412 and the unrealized appreciation and depreciation were $9,799,282 and ($0), respectively, with a net unrealized appreciation of $9,799,282.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
(b) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and
 
 
 
2 

 

 
 Schwab Target 2010 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $60,102,504       $—       $—       $60,102,504  
Short-Term Investments1
    —       2,023,190       —       2,023,190  
                                 
Total
    $60,102,504       $2,023,190       $—       $62,125,694  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46838JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2015 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  96 .6%   Other Investment Companies     92,693,263       108,230,391  
  3 .3%   Short-Term Investments     3,636,362       3,636,362  
 
 
  99 .9%   Total Investments     96,329,625       111,866,753  
  0 .1%   Other Assets and Liabilities, Net             121,871  
 
 
  100 .0%   Net Assets             111,988,624  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 96.6% of net assets
 
Equity Funds 44.1%
                 
 
Global Real Estate 2.3%
Schwab Global Real Estate Fund (a)
    357,017       2,538,389  
                 
 
International 9.2%
American Century International Growth Fund, Institutional Shares
    158,003       2,109,334  
Laudus International MarketMasters Fund, Select Shares (a)
    167,501       4,001,590  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    21,522       199,941  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    197,627       1,776,664  
William Blair International Small Cap Growth Fund, Institutional Shares
    139,878       2,256,238  
                 
              10,343,767  
                 
 
Large-Cap 28.9%
Dodge & Cox Stock Fund
    2,321       411,082  
Laudus U.S. Large Cap Growth Fund *(a)
    427,500       7,900,205  
Schwab Core Equity Fund (a)
    340,185       8,276,706  
Schwab Dividend Equity Fund (a)
    229,695       4,270,026  
Schwab S&P 500 Index Fund (a)
    245,236       7,469,881  
TCW Relative Value Large Cap Fund
    187,569       4,030,864  
                 
              32,358,764  
                 
 
Small-Cap 3.7%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    79,509       1,389,027  
Schwab Small-Cap Equity Fund (a)
    115,222       2,767,643  
                 
              4,156,670  
                 
              49,397,590  
 
Fixed-Income Funds 50.1%
                 
 
Inflation-Protected Bond 4.6%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    454,293       5,178,935  
                 
 
Intermediate-Term Bond 31.5%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    283,032       3,486,959  
PIMCO Total Return Fund, Institutional Shares
    686,989       7,481,306  
Schwab Intermediate-Term Bond Fund (a)
    346,951       3,535,436  
Schwab Total Bond Market Fund (a)
    2,193,183       20,747,513  
                 
              35,251,214  
                 
 
International Bond 0.7%
Laudus Mondrian International Government Fixed Income Fund *(a)
    75,827       834,099  
                 
 
Short-Term Bond 13.3%
Schwab Short-Term Bond Market Fund (a)
    1,606,559       14,876,736  
                 
              56,140,984  
 
Money Market Fund 2.4%
Schwab Value Advantage Money Fund, Institutional Prime Shares 0.01% (a)(b)
    2,691,817       2,691,817  
                 
Total Other Investment Companies
(Cost $92,693,263)     108,230,391  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 3.3% of net assets
 
Time Deposits 3.3%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    1,127,370       1,127,370  
DNB
0.03%, 08/01/14
    1,127,370       1,127,370  
Sumitomo Mitsui Banking Corp.
0.03%, 08/01/14
    254,252       254,252  
Wells Fargo
0.03%, 08/01/14
    1,127,370       1,127,370  
                 
Total Short-Term Investments
(Cost $3,636,362)     3,636,362  
         
 
End of Investments.
 
 
 
 1

 

 
 Schwab Target 2015 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
At 07/31/14, the tax basis cost of the fund’s investments was $96,835,390 and the unrealized appreciation and depreciation were $15,113,667 and ($82,304), respectively, with a net unrealized appreciation of $15,031,363.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
(b) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and
 
 
 
2 

 

 
 Schwab Target 2015 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $108,230,391       $—       $—       $108,230,391  
Short-Term Investments1
    —       3,636,362       —       3,636,362  
                                 
Total
    $108,230,391       $3,636,362       $—       $111,866,753  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46839JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2020 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  96 .9%   Other Investment Companies     367,689,700       464,905,371  
  3 .0%   Short-Term Investments     14,339,357       14,339,357  
 
 
  99 .9%   Total Investments     382,029,057       479,244,728  
  0 .1%   Other Assets and Liabilities, Net             288,310  
 
 
  100 .0%   Net Assets             479,533,038  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 96.9% of net assets
 
Equity Funds 57.7%
                 
 
Global Real Estate 3.0%
Schwab Global Real Estate Fund (a)
    1,986,150       14,121,529  
                 
 
International 12.5%
American Century International Growth Fund, Institutional Shares
    873,772       11,664,850  
Laudus International MarketMasters Fund, Select Shares (a)
    937,112       22,387,604  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    348,793       3,240,286  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    1,139,876       10,247,482  
William Blair International Small Cap Growth Fund, Institutional Shares
    775,494       12,508,721  
                 
              60,048,943  
                 
 
Large-Cap 36.4%
Dodge & Cox Stock Fund
    12,724       2,253,262  
Laudus U.S. Large Cap Growth Fund *(a)
    2,320,496       42,882,770  
Schwab Core Equity Fund (a)
    1,866,423       45,410,075  
Schwab Dividend Equity Fund (a)
    1,231,834       22,899,790  
Schwab S&P 500 Index Fund (a)
    1,318,123       40,150,032  
TCW Relative Value Large Cap Fund
    983,006       21,124,791  
                 
              174,720,720  
                 
 
Small-Cap 5.8%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    542,441       9,476,448  
Schwab Small-Cap Equity Fund (a)
    755,522       18,147,641  
                 
              27,624,089  
                 
              276,515,281  
 
Fixed-Income Funds 38.2%
                 
 
Inflation-Protected Bond 3.1%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    1,328,637       15,146,457  
                 
 
Intermediate-Term Bond 26.1%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    1,357,972       16,730,211  
PIMCO Total Return Fund, Institutional Shares
    3,227,883       35,151,644  
Schwab Intermediate-Term Bond Fund (a)
    1,420,670       14,476,630  
Schwab Total Bond Market Fund (a)
    6,239,171       59,022,555  
                 
              125,381,040  
                 
 
International Bond 1.1%
Laudus Mondrian International Government Fixed Income Fund *(a)
    466,383       5,130,210  
                 
 
Short-Term Bond 7.9%
Schwab Short-Term Bond Market Fund (a)
    4,074,739       37,732,079  
                 
              183,389,786  
 
Money Market Fund 1.0%
Schwab Value Advantage Money Fund, Institutional Prime Shares 0.01% (a)(b)
    5,000,304       5,000,304  
                 
Total Other Investment Companies
(Cost $367,689,700)     464,905,371  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 3.0% of net assets
 
Time Deposits 3.0%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    4,650,101       4,650,101  
DNB
0.03%, 08/01/14
    4,844,628       4,844,628  
Wells Fargo
0.03%, 08/01/14
    4,844,628       4,844,628  
                 
Total Short-Term Investments
(Cost $14,339,357)     14,339,357  
         
 
End of Investments.
 
 
 
 1

 

 
 Schwab Target 2020 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
At 07/31/14, the tax basis cost of the fund’s investments was $384,415,345 and the unrealized appreciation and depreciation were $95,049,988 and ($220,605), respectively, with a net unrealized appreciation of $94,829,383.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
(b) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and
 
 
 
2 

 

 
 Schwab Target 2020 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $464,905,371       $—       $—       $464,905,371  
Short-Term Investments1
    —       14,339,357       —       14,339,357  
                                 
Total
    $464,905,371       $14,339,357       $—       $479,244,728  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46840JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2025 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  96 .8%   Other Investment Companies     258,376,720       311,092,304  
  3 .3%   Short-Term Investments     10,546,393       10,546,393  
 
 
  100 .1%   Total Investments     268,923,113       321,638,697  
  (0 .1%)   Other Assets and Liabilities, Net             (368,436 )
 
 
  100 .0%   Net Assets             321,270,261  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 96.8% of net assets
 
Equity Funds 67.6%
                 
 
Global Real Estate 3.4%
Schwab Global Real Estate Fund (a)
    1,546,960       10,998,885  
                 
 
International 15.1%
American Century International Growth Fund, Institutional Shares
    681,758       9,101,464  
Laudus International MarketMasters Fund, Select Shares (a)
    735,978       17,582,514  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    420,362       3,905,162  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    907,453       8,158,005  
William Blair International Small Cap Growth Fund, Institutional Shares
    605,231       9,762,370  
                 
              48,509,515  
                 
 
Large-Cap 41.7%
Dodge & Cox Stock Fund
    9,695       1,716,879  
Laudus U.S. Large Cap Growth Fund *(a)
    1,778,074       32,858,807  
Schwab Core Equity Fund (a)
    1,442,334       35,091,994  
Schwab Dividend Equity Fund (a)
    936,688       17,413,027  
Schwab S&P 500 Index Fund (a)
    1,005,674       30,632,837  
TCW Relative Value Large Cap Fund
    750,412       16,126,350  
                 
              133,839,894  
                 
 
Small-Cap 7.4%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    472,818       8,260,130  
Schwab Small-Cap Equity Fund (a)
    653,616       15,699,848  
                 
              23,959,978  
                 
              217,308,272  
 
Fixed-Income Funds 29.2%
                 
 
Inflation-Protected Bond 2.2%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    606,906       6,918,729  
                 
 
Intermediate-Term Bond 21.1%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    891,482       10,983,055  
PIMCO Total Return Fund, Institutional Shares
    2,029,515       22,101,416  
Schwab Intermediate-Term Bond Fund (a)
    835,341       8,512,126  
Schwab Total Bond Market Fund (a)
    2,779,443       26,293,534  
                 
              67,890,131  
                 
 
International Bond 1.0%
Laudus Mondrian International Government Fixed Income Fund *(a)
    292,112       3,213,232  
                 
 
Short-Term Bond 4.9%
Schwab Short-Term Bond Market Fund (a)
    1,702,153       15,761,940  
                 
              93,784,032  
                 
Total Other Investment Companies
(Cost $258,376,720)     311,092,304  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 3.3% of net assets
 
Time Deposits 3.3%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    3,249,770       3,249,770  
DNB
0.03%, 08/01/14
    3,249,770       3,249,770  
Sumitomo Mitsui Banking Corp.
0.03%, 08/01/14
    797,083       797,083  
Wells Fargo
0.03%, 08/01/14
    3,249,770       3,249,770  
                 
Total Short-Term Investments
(Cost $10,546,393)     10,546,393  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $270,096,596 and the unrealized appreciation and depreciation were $52,114,131 and ($572,030), respectively, with a net unrealized appreciation of $51,542,101.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
 
 
 
 1

 

 
 Schwab Target 2025 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more
 
 
 
2 

 

 
 Schwab Target 2025 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $311,092,304       $—       $—       $311,092,304  
Short-Term Investments1
    —       10,546,393       —       10,546,393  
                                 
Total
    $311,092,304       $10,546,393       $—       $321,638,697  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46841JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2030 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .4%   Other Investment Companies     506,408,576       685,459,079  
  2 .5%   Short-Term Investments     17,876,314       17,876,314  
 
 
  99 .9%   Total Investments     524,284,890       703,335,393  
  0 .1%   Other Assets and Liabilities, Net             355,814  
 
 
  100 .0%   Net Assets             703,691,207  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 97.4% of net assets
 
Equity Funds 75.5%
                 
 
Global Real Estate 3.9%
Schwab Global Real Estate Fund (a)
    3,796,700       26,994,539  
                 
 
International 17.2%
American Century International Growth Fund, Institutional Shares
    1,661,159       22,176,476  
Laudus International MarketMasters Fund, Select Shares (a)
    1,798,617       42,968,954  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    1,304,081       12,114,914  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    2,235,844       20,100,235  
William Blair International Small Cap Growth Fund, Institutional Shares
    1,475,552       23,800,652  
                 
              121,161,231  
                 
 
Large-Cap 45.5%
Dodge & Cox Stock Fund
    22,319       3,952,388  
Laudus U.S. Large Cap Growth Fund *(a)
    4,271,704       78,941,081  
Schwab Core Equity Fund (a)
    3,458,382       84,142,430  
Schwab Dividend Equity Fund (a)
    2,248,399       41,797,732  
Schwab S&P 500 Index Fund (a)
    2,404,675       73,246,391  
TCW Relative Value Large Cap Fund
    1,784,472       38,348,301  
                 
              320,428,323  
                 
 
Small-Cap 8.9%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    1,243,847       21,730,000  
Schwab Small-Cap Equity Fund (a)
    1,711,367       41,107,032  
                 
              62,837,032  
                 
              531,421,125  
 
Fixed-Income Funds 21.9%
                 
 
Inflation-Protected Bond 1.7%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    1,018,330       11,608,966  
                 
 
Intermediate-Term Bond 16.4%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    1,768,720       21,790,628  
PIMCO Total Return Fund, Institutional Shares
    3,731,481       40,635,831  
Schwab Intermediate-Term Bond Fund (a)
    1,456,537       14,842,107  
Schwab Total Bond Market Fund (a)
    4,015,150       37,983,316  
                 
              115,251,882  
                 
 
International Bond 0.8%
Laudus Mondrian International Government Fixed Income Fund *(a)
    527,239       5,799,633  
                 
 
Short-Term Bond 3.0%
Schwab Short-Term Bond Market Fund (a)
    2,308,582       21,377,473  
                 
              154,037,954  
                 
Total Other Investment Companies
(Cost $506,408,576)     685,459,079  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.5% of net assets
 
Time Deposits 2.5%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    7,143,446       7,143,446  
DNB
0.03%, 08/01/14
    7,143,446       7,143,446  
Sumitomo Mitsui Banking Corp.
0.03%, 08/01/14
    3,589,422       3,589,422  
                 
Total Short-Term Investments
(Cost $17,876,314)     17,876,314  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $528,388,095 and the unrealized appreciation and depreciation were $176,178,880 and ($1,231,582), respectively, with a net unrealized appreciation of $174,947,298.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
 
 
 
 
 1

 

 
 Schwab Target 2030 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value
 
 
 
2 

 

 
 Schwab Target 2030 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $685,459,079       $—       $—       $685,459,079  
Short-Term Investments1
    —       17,876,314       —       17,876,314  
                                 
Total
    $685,459,079       $17,876,314       $—       $703,335,393  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46842JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2035 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .5%   Other Investment Companies     205,573,400       255,780,574  
  2 .5%   Short-Term Investments     6,445,905       6,445,905  
 
 
  100 .0%   Total Investments     212,019,305       262,226,479  
  0 .0%   Other Assets and Liabilities, Net             69,437  
 
 
  100 .0%   Net Assets             262,295,916  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 97.5% of net assets
 
Equity Funds 82.4%
                 
 
Global Real Estate 4.2%
Schwab Global Real Estate Fund (a)
    1,544,791       10,983,464  
                 
 
International 19.2%
American Century International Growth Fund, Institutional Shares
    667,404       8,909,847  
Laudus International MarketMasters Fund, Select Shares (a)
    730,565       17,453,194  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    647,901       6,018,999  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    913,130       8,209,043  
William Blair International Small Cap Growth Fund, Institutional Shares
    597,834       9,643,063  
                 
              50,234,146  
                 
 
Large-Cap 48.7%
Dodge & Cox Stock Fund
    9,011       1,595,680  
Laudus U.S. Large Cap Growth Fund *(a)
    1,697,298       31,366,073  
Schwab Core Equity Fund (a)
    1,388,234       33,775,724  
Schwab Dividend Equity Fund (a)
    893,941       16,618,363  
Schwab S&P 500 Index Fund (a)
    958,633       29,199,948  
TCW Relative Value Large Cap Fund
    710,041       15,258,792  
                 
              127,814,580  
                 
 
Small-Cap 10.3%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    536,545       9,373,434  
Schwab Small-Cap Equity Fund (a)
    735,664       17,670,643  
                 
              27,044,077  
                 
              216,076,267  
 
Fixed-Income Funds 15.1%
                 
 
Inflation-Protected Bond 1.0%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    232,882       2,654,856  
                 
 
Intermediate-Term Bond 11.7%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    515,516       6,351,159  
PIMCO Total Return Fund, Institutional Shares
    1,113,721       12,128,424  
Schwab Intermediate-Term Bond Fund (a)
    384,060       3,913,571  
Schwab Total Bond Market Fund (a)
    878,085       8,306,687  
                 
              30,699,841  
                 
 
International Bond 0.5%
Laudus Mondrian International Government Fixed Income Fund *(a)
    114,688       1,261,565  
                 
 
Short-Term Bond 1.9%
Schwab Short-Term Bond Market Fund (a)
    549,465       5,088,045  
                 
              39,704,307  
                 
Total Other Investment Companies
(Cost $205,573,400)     255,780,574  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.5% of net assets
 
Time Deposits 2.5%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    1,123,919       1,123,919  
DNB
0.03%, 08/01/14
    2,660,993       2,660,993  
Wells Fargo
0.03%, 08/01/14
    2,660,993       2,660,993  
                 
Total Short-Term Investments
(Cost $6,445,905)     6,445,905  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $212,965,492 and the unrealized appreciation and depreciation were $49,619,981 and ($358,994), respectively, with a net unrealized appreciation of $49,260,987.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
 
 
 
 
 1

 

 
 Schwab Target 2035 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value
 
 
 
2 

 

 
 Schwab Target 2035 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $255,780,574       $—       $—       $255,780,574  
Short-Term Investments1
    —       6,445,905       —       6,445,905  
                                 
Total
    $255,780,574       $6,445,905       $—       $262,226,479  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46843JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2040 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .0%   Other Investment Companies     522,617,419       723,953,961  
  2 .0%   Short-Term Investments     14,986,193       14,986,193  
 
 
  100 .0%   Total Investments     537,603,612       738,940,154  
  0 .0%   Other Assets and Liabilities, Net             261,472  
 
 
  100 .0%   Net Assets             739,201,626  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 98.0% of net assets
 
Equity Funds 88.3%
                 
 
Global Real Estate 4.5%
Schwab Global Real Estate Fund (a)
    4,677,592       33,257,676  
                 
 
International 20.9%
American Century International Growth Fund, Institutional Shares
    2,023,174       27,009,368  
Laudus International MarketMasters Fund, Select Shares (a)
    2,200,718       52,575,147  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    2,283,871       21,217,157  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    2,762,965       24,839,057  
William Blair International Small Cap Growth Fund, Institutional Shares
    1,798,491       29,009,655  
                 
              154,650,384  
                 
 
Large-Cap 51.4%
Dodge & Cox Stock Fund
    26,696       4,727,590  
Laudus U.S. Large Cap Growth Fund *(a)
    5,060,281       93,513,985  
Schwab Core Equity Fund (a)
    4,121,306       100,271,370  
Schwab Dividend Equity Fund (a)
    2,638,124       49,042,718  
Schwab S&P 500 Index Fund (a)
    2,845,421       86,671,537  
TCW Relative Value Large Cap Fund
    2,113,990       45,429,648  
                 
              379,656,848  
                 
 
Small-Cap 11.5%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    1,691,376       29,548,340  
Schwab Small-Cap Equity Fund (a)
    2,308,988       55,461,883  
                 
              85,010,223  
                 
              652,575,131  
 
Fixed-Income Funds 9.7%
                 
 
Inflation-Protected Bond 0.5%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    339,866       3,874,478  
                 
 
Intermediate-Term Bond 7.6%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    1,188,002       14,636,184  
PIMCO Total Return Fund, Institutional Shares
    2,323,963       25,307,959  
Schwab Intermediate-Term Bond Fund (a)
    647,108       6,594,030  
Schwab Total Bond Market Fund (a)
    1,026,681       9,712,400  
                 
              56,250,573  
                 
 
International Bond 0.2%
Laudus Mondrian International Government Fixed Income Fund *(a)
    102,247       1,124,714  
                 
 
Short-Term Bond 1.4%
Schwab Short-Term Bond Market Fund (a)
    1,093,852       10,129,065  
                 
              71,378,830  
                 
Total Other Investment Companies
(Cost $522,617,419)     723,953,961  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.0% of net assets
 
Time Deposits 2.0%
DNB
0.03%, 08/01/14
    7,463,950       7,463,950  
Wells Fargo
0.03%, 08/01/14
    7,522,243       7,522,243  
                 
Total Short-Term Investments
(Cost $14,986,193)     14,986,193  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $541,961,557 and the unrealized appreciation and depreciation were $197,698,909 and ($720,312), respectively, with a net unrealized appreciation of $196,978,597.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
 
 
 
 
 1

 

 
 Schwab Target 2040 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value
 
 
 
2 

 

 
 Schwab Target 2040 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $723,953,961       $—       $—       $723,953,961  
Short-Term Investments1
    —       14,986,193       —       14,986,193  
                                 
Total
    $723,953,961       $14,986,193       $—       $738,940,154  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46844JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2045 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .9%   Other Investment Companies     31,890,037       34,158,529  
  2 .0%   Short-Term Investments     691,874       691,874  
 
 
  99 .9%   Total Investments     32,581,911       34,850,403  
  0 .1%   Other Assets and Liabilities, Net             33,255  
 
 
  100 .0%   Net Assets             34,883,658  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 97.9% of net assets
 
Equity Funds 91.4%
                 
 
Global Real Estate 4.7%
Schwab Global Real Estate Fund (a)
    229,216       1,629,727  
                 
 
International 21.8%
American Century International Growth Fund, Institutional Shares
    98,080       1,309,364  
Laudus International MarketMasters Fund, Select Shares (a)
    107,503       2,568,248  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    119,519       1,110,333  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    134,772       1,211,596  
William Blair International Small Cap Growth Fund, Institutional Shares
    87,872       1,417,373  
                 
              7,616,914  
                 
 
Large-Cap 52.7%
Dodge & Cox Stock Fund
    1,277       226,123  
Laudus U.S. Large Cap Growth Fund *(a)
    244,266       4,514,040  
Schwab Core Equity Fund (a)
    200,285       4,872,924  
Schwab Dividend Equity Fund (a)
    127,581       2,371,730  
Schwab S&P 500 Index Fund (a)
    137,967       4,202,469  
TCW Relative Value Large Cap Fund
    102,285       2,198,103  
                 
              18,385,389  
                 
 
Small-Cap 12.2%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    84,608       1,478,108  
Schwab Small-Cap Equity Fund (a)
    115,436       2,772,771  
                 
              4,250,879  
                 
              31,882,909  
 
Fixed-Income Funds 6.5%
                 
 
Inflation-Protected Bond 0.3%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    8,153       92,946  
                 
 
Intermediate-Term Bond 5.1%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    47,378       583,700  
PIMCO Total Return Fund, Institutional Shares
    83,302       907,163  
Schwab Intermediate-Term Bond Fund (a)
    17,553       178,867  
Schwab Total Bond Market Fund (a)
    12,878       121,829  
                 
              1,791,559  
                 
 
International Bond 0.1%
Laudus Mondrian International Government Fixed Income Fund *(a)
    3,558       39,142  
                 
 
Short-Term Bond 1.0%
Schwab Short-Term Bond Market Fund (a)
    38,010       351,973  
                 
              2,275,620  
                 
Total Other Investment Companies
(Cost $31,890,037)     34,158,529  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.0% of net assets
 
Time Deposits 2.0%
DNB
0.03%, 08/01/14
    337,818       337,818  
Wells Fargo
0.03%, 08/01/14
    354,056       354,056  
                 
Total Short-Term Investments
(Cost $691,874)     691,874  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $32,616,511 and the unrealized appreciation and depreciation were $2,237,469 and ($3,577), respectively, with a net unrealized appreciation of $2,233,892.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for
 
 
 
 1

 

 
 Schwab Target 2045 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in
 
 
 
2 

 

 
 Schwab Target 2045 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $34,158,529       $—       $—       $34,158,529  
Short-Term Investments1
    —       691,874       —       691,874  
                                 
Total
    $34,158,529       $691,874       $—       $34,850,403  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the period. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG82232JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2050 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .0%   Other Investment Companies     25,076,628       26,917,696  
  2 .1%   Short-Term Investments     581,396       581,396  
 
 
  100 .1%   Total Investments     25,658,024       27,499,092  
  (0 .1%)   Other Assets and Liabilities, Net             (17,434 )
 
 
  100 .0%   Net Assets             27,481,658  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 98.0% of net assets
 
Equity Funds 93.9%
                 
 
Global Real Estate 4.8%
Schwab Global Real Estate Fund (a)
    184,303       1,310,394  
                 
 
International 22.6%
American Century International Growth Fund, Institutional Shares
    79,709       1,064,112  
Laudus International MarketMasters Fund, Select Shares (a)
    86,863       2,075,164  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    102,469       951,937  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    109,403       983,536  
William Blair International Small Cap Growth Fund, Institutional Shares
    70,669       1,139,890  
                 
              6,214,639  
                 
 
Large-Cap 53.7%
Dodge & Cox Stock Fund
    1,017       180,045  
Laudus U.S. Large Cap Growth Fund *(a)
    196,486       3,631,057  
Schwab Core Equity Fund (a)
    161,322       3,924,971  
Schwab Dividend Equity Fund (a)
    102,873       1,912,416  
Schwab S&P 500 Index Fund (a)
    110,723       3,372,634  
TCW Relative Value Large Cap Fund
    81,579       1,753,130  
                 
              14,774,253  
                 
 
Small-Cap 12.8%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    69,721       1,218,025  
Schwab Small-Cap Equity Fund (a)
    95,327       2,289,750  
                 
              3,507,775  
                 
              25,807,061  
 
Fixed-Income Funds 4.1%
                 
 
Inflation-Protected Bond 0.1%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    1,646       18,764  
                 
 
Intermediate-Term Bond 3.2%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    22,770       280,528  
PIMCO Total Return Fund, Institutional Shares
    44,023       479,413  
Schwab Intermediate-Term Bond Fund (a)
    7,578       77,224  
Schwab Total Bond Market Fund (a)
    5,417       51,242  
                 
              888,407  
                 
 
International Bond 0.1%
Laudus Mondrian International Government Fixed Income Fund *(a)
    2,113       23,248  
                 
 
Short-Term Bond 0.7%
Schwab Short-Term Bond Market Fund (a)
    19,462       180,216  
                 
              1,110,635  
                 
Total Other Investment Companies
(Cost $25,076,628)     26,917,696  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.1% of net assets
 
Time Deposits 2.1%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    24,150       24,150  
DNB
0.03%, 08/01/14
    278,623       278,623  
Wells Fargo
0.03%, 08/01/14
    278,623       278,623  
                 
Total Short-Term Investments
(Cost $581,396)     581,396  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $25,700,153 and the unrealized appreciation and depreciation were $1,799,758 and ($819), respectively, with a net unrealized appreciation of $1,798,939.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
 
 
 
 
 1

 

 
 Schwab Target 2050 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value
 
 
 
2 

 

 
 Schwab Target 2050 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $26,917,696       $—       $—       $26,917,696  
Short-Term Investments1
    —       581,396       —       581,396  
                                 
Total
    $26,917,696       $581,396       $—       $27,499,092  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the period. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG82233JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Target 2055 Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .8%   Other Investment Companies     14,199,178       15,188,379  
  2 .2%   Short-Term Investments     340,706       340,706  
 
 
  100 .0%   Total Investments     14,539,884       15,529,085  
  (0 .0%)   Other Assets and Liabilities, Net             (6,857 )
 
 
  100 .0%   Net Assets             15,522,228  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 97.8% of net assets
 
Equity Funds 95.8%
                 
 
Global Real Estate 4.8%
Schwab Global Real Estate Fund (a)
    105,328       748,883  
                 
 
International 23.2%
American Century International Growth Fund, Institutional Shares
    45,900       612,764  
Laudus International MarketMasters Fund, Select Shares (a)
    49,987       1,194,188  
Laudus Mondrian Emerging Markets Fund, Institutional Shares (a)
    61,560       571,892  
Laudus Mondrian International Equity Fund, Institutional Shares (a)
    63,049       566,812  
William Blair International Small Cap Growth Fund, Institutional Shares
    40,774       657,683  
                 
              3,603,339  
                 
 
Large-Cap 54.6%
Dodge & Cox Stock Fund
    591       104,707  
Laudus U.S. Large Cap Growth Fund *(a)
    112,987       2,087,991  
Schwab Core Equity Fund (a)
    92,150       2,242,017  
Schwab Dividend Equity Fund (a)
    58,948       1,095,840  
Schwab S&P 500 Index Fund (a)
    63,438       1,932,332  
TCW Relative Value Large Cap Fund
    46,986       1,009,726  
                 
              8,472,613  
                 
 
Small-Cap 13.2%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    40,743       711,789  
Schwab Small-Cap Equity Fund (a)
    55,654       1,336,813  
                 
              2,048,602  
                 
              14,873,437  
 
Fixed-Income Funds 2.0%
                 
 
Inflation-Protected Bond 0.0%
Schwab Treasury Inflation Protected Securities Index Fund (a)
    235       2,674  
                 
 
Intermediate-Term Bond 1.6%
Natixis Loomis Sayles Investment Grade Bond Fund, Class Y Shares
    7,230       89,071  
PIMCO Total Return Fund, Institutional Shares
    14,461       157,480  
Schwab Intermediate-Term Bond Fund (a)
    207       2,109  
Schwab Total Bond Market Fund (a)
    381       3,608  
                 
              252,268  
                 
 
International Bond 0.0%
Laudus Mondrian International Government Fixed Income Fund *(a)
    268       2,954  
                 
 
Short-Term Bond 0.4%
Schwab Short-Term Bond Market Fund (a)
    6,160       57,046  
                 
              314,942  
                 
Total Other Investment Companies
(Cost $14,199,178)     15,188,379  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.2% of net assets
 
Time Deposits 2.2%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    25,320       25,320  
DNB
0.03%, 08/01/14
    157,693       157,693  
Well Fargo
0.03%, 08/01/14
    157,693       157,693  
                 
Total Short-Term Investments
(Cost $340,706)     340,706  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $14,581,371 and the unrealized appreciation and depreciation were $948,305 and ($591), respectively, with a net unrealized appreciation of $947,714.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
 
 
 
 
 1

 

 
 Schwab Target 2055 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value
 
 
 
2 

 

 
 Schwab Target 2055 Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $15,188,379       $—       $—       $15,188,379  
Short-Term Investments1
    —       340,706       —       340,706  
                                 
Total
    $15,188,379       $340,706       $—       $15,529,085  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the period. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG82234JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab Core Equity Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  99 .1%   Common Stock     1,727,027,072       2,187,715,958  
  0 .6%   Other Investment Company     13,373,173       13,373,173  
  0 .3%   Short-Term Investment     5,799,885       5,799,885  
 
 
  100 .0%   Total Investments     1,746,200,130       2,206,889,016  
  0 .0%   Other Assets and Liabilities, Net             635,481  
 
 
  100 .0%   Net Assets             2,207,524,497  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 99.1% of net assets
 
Automobiles & Components 0.3%
Dana Holding Corp.
    287,142       6,426,238  
 
Banks 7.6%
Bank of America Corp.
    2,177,200       33,202,300  
Citigroup, Inc.
    460,572       22,526,577  
JPMorgan Chase & Co.
    216,140       12,464,794  
The PNC Financial Services Group, Inc.
    547,400       45,193,344  
Wells Fargo & Co.
    1,087,555       55,356,549  
                 
              168,743,564  
 
Capital Goods 6.5%
Caterpillar, Inc.
    300,500       30,275,375  
Emerson Electric Co.
    94,100       5,989,465  
General Dynamics Corp.
    124,300       14,514,511  
Huntington Ingalls Industries, Inc.
    48,700       4,427,804  
IDEX Corp.
    154,500       11,714,190  
Masco Corp.
    199,052       4,140,282  
Northrop Grumman Corp.
    310,800       38,312,316  
PACCAR, Inc.
    154,400       9,614,488  
Parker Hannifin Corp.
    54,100       6,218,795  
United Rentals, Inc. *
    168,900       17,886,510  
                 
              143,093,736  
 
Commercial & Professional Supplies 1.6%
Manpowergroup, Inc.
    196,996       15,344,018  
R.R. Donnelley & Sons Co.
    1,190,000       20,658,400  
                 
              36,002,418  
 
Consumer Durables & Apparel 2.1%
Hanesbrands, Inc.
    89,800       8,774,358  
Jarden Corp. *
    268,350       15,000,765  
NIKE, Inc., Class B
    217,368       16,765,594  
Whirlpool Corp.
    39,600       5,648,544  
                 
              46,189,261  
 
Consumer Services 1.3%
MGM Resorts International *
    524,600       14,080,264  
Wyndham Worldwide Corp.
    204,000       15,412,200  
                 
              29,492,464  
 
Diversified Financials 2.7%
Berkshire Hathaway, Inc., Class B *
    63,716       7,991,898  
Capital One Financial Corp.
    380,400       30,257,016  
Lazard Ltd., Class A
    292,100       15,276,830  
Morgan Stanley
    93,500       3,023,790  
Waddell & Reed Financial, Inc., Class A
    36,400       1,921,556  
                 
              58,471,090  
 
Energy 12.4%
Baker Hughes, Inc.
    257,000       17,673,890  
Chesapeake Energy Corp.
    70,000       1,845,900  
Chevron Corp.
    300,726       38,865,828  
ConocoPhillips
    636,700       52,527,750  
EOG Resources, Inc.
    381,004       41,697,078  
Exxon Mobil Corp.
    145,500       14,395,770  
Halliburton Co.
    90,033       6,211,377  
Hess Corp.
    67,300       6,661,354  
Occidental Petroleum Corp.
    598,290       58,458,916  
Phillips 66
    142,100       11,525,731  
SM Energy Co.
    232,600       18,268,404  
Valero Energy Corp.
    94,500       4,800,600  
                 
              272,932,598  
 
Food & Staples Retailing 0.5%
The Kroger Co.
    226,400       11,089,072  
 
Food, Beverage & Tobacco 6.9%
Altria Group, Inc.
    538,700       21,871,220  
Archer-Daniels-Midland Co.
    1,176,100       54,571,040  
Dr Pepper Snapple Group, Inc.
    57,400       3,372,824  
PepsiCo, Inc.
    680,400       59,943,240  
Pilgrim’s Pride Corp. *
    314,905       8,804,744  
Tyson Foods, Inc., Class A
    84,400       3,140,524  
                 
              151,703,592  
 
Health Care Equipment & Services 5.2%
C.R. Bard, Inc.
    95,800       14,296,234  
Cardinal Health, Inc.
    671,544       48,116,128  
Centene Corp. *
    78,300       5,644,647  
 
 
 
 1

 

 
 Schwab Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
McKesson Corp.
    134,926       25,886,902  
Medtronic, Inc.
    324,592       20,040,310  
                 
              113,984,221  
 
Household & Personal Products 1.0%
Energizer Holdings, Inc.
    186,800       21,437,168  
 
Insurance 2.6%
Aflac, Inc.
    97,947       5,851,354  
Axis Capital Holdings Ltd.
    64,800       2,796,120  
CNO Financial Group, Inc.
    557,800       9,025,204  
Genworth Financial, Inc., Class A *
    761,861       9,980,379  
MetLife, Inc.
    291,300       15,322,380  
Reinsurance Group of America, Inc.
    88,800       7,127,088  
The Allstate Corp.
    58,400       3,413,480  
The Travelers Cos., Inc.
    32,387       2,900,580  
                 
              56,416,585  
 
Materials 4.9%
Ashland, Inc.
    120,100       12,568,465  
Avery Dennison Corp.
    169,700       8,011,537  
PPG Industries, Inc.
    256,700       50,919,012  
Steel Dynamics, Inc.
    75,052       1,591,853  
The Dow Chemical Co.
    684,700       34,967,629  
                 
              108,058,496  
 
Media 2.1%
Comcast Corp., Class A
    455,000       24,447,150  
Live Nation Entertainment, Inc. *
    347,858       8,073,784  
Starz, Class A *
    153,742       4,383,184  
Viacom, Inc., Class B
    120,885       9,993,563  
                 
              46,897,681  
 
Pharmaceuticals, Biotechnology & Life Sciences 9.6%
AbbVie, Inc.
    220,000       11,514,800  
Amgen, Inc.
    285,552       36,376,469  
Celgene Corp. *
    426,500       37,169,475  
Gilead Sciences, Inc. *
    64,700       5,923,285  
Johnson & Johnson
    337,300       33,760,357  
Merck & Co., Inc.
    343,980       19,517,425  
Pfizer, Inc.
    1,946,100       55,853,070  
Salix Pharmaceuticals Ltd. *
    56,300       7,426,533  
United Therapeutics Corp. *
    50,100       4,556,094  
                 
              212,097,508  
 
Real Estate 0.8%
CBRE Group, Inc., Class A *
    140,700       4,339,188  
LaSalle Hotel Properties
    72,964       2,538,418  
RLJ Lodging Trust
    137,200       3,847,088  
Simon Property Group, Inc.
    43,600       7,333,084  
                 
              18,057,778  
 
Retailing 3.1%
Best Buy Co., Inc.
    315,600       9,382,788  
Foot Locker, Inc.
    88,506       4,206,690  
Liberty Interactive Corp., Class A *
    511,400       14,344,770  
Macy’s, Inc.
    591,500       34,182,785  
The Home Depot, Inc.
    88,643       7,166,787  
                 
              69,283,820  
 
Semiconductors & Semiconductor Equipment 1.0%
Intel Corp.
    607,300       20,581,397  
Skyworks Solutions, Inc.
    24,000       1,218,240  
                 
              21,799,637  
 
Software & Services 9.7%
AOL, Inc. *
    102,100       3,935,955  
Broadridge Financial Solutions, Inc.
    46,800       1,889,316  
Computer Sciences Corp.
    592,100       36,941,119  
Global Payments, Inc.
    76,700       5,313,009  
Google, Inc., Class A *
    20,200       11,706,910  
Google, Inc., Class C *
    16,700       9,545,720  
Intuit, Inc.
    121,100       9,926,567  
Microsoft Corp.
    756,800       32,663,488  
Oracle Corp.
    1,169,900       47,252,261  
Synopsys, Inc. *
    474,942       17,938,559  
Xerox Corp.
    2,782,200       36,891,972  
                 
              214,004,876  
 
Technology Hardware & Equipment 7.6%
Apple, Inc.
    774,900       74,057,193  
Brocade Communications Systems, Inc.
    237,800       2,190,138  
Hewlett-Packard Co.
    1,154,255       41,103,020  
NetApp, Inc.
    359,445       13,960,844  
SanDisk Corp.
    118,800       10,895,148  
Western Digital Corp.
    265,300       26,484,899  
                 
              168,691,242  
 
Telecommunication Services 1.3%
Frontier Communications Corp.
    370,700       2,428,085  
Level 3 Communications, Inc. *
    45,600       2,005,488  
Verizon Communications, Inc.
    465,714       23,481,300  
                 
              27,914,873  
 
Transportation 3.7%
Delta Air Lines, Inc.
    400,800       15,013,968  
FedEx Corp.
    115,200       16,920,576  
Southwest Airlines Co.
    1,222,700       34,577,956  
United Parcel Service, Inc., Class B
    165,100       16,029,559  
                 
              82,542,059  
 
Utilities 4.6%
AES Corp.
    1,286,409       18,794,435  
American Electric Power Co., Inc.
    453,700       23,587,863  
Edison International
    335,529       18,386,989  
Entergy Corp.
    289,400       21,077,002  
NRG Energy, Inc.
    357,734       11,075,445  
 
 
 
2 

 

 
 Schwab Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Public Service Enterprise Group, Inc.
    269,100       9,464,247  
                 
              102,385,981  
                 
Total Common Stock
(Cost $1,727,027,072)     2,187,715,958  
         
                 
                 
 
 Other Investment Company 0.6% of net assets
 
Money Market Fund 0.6%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (c)
    13,373,173       13,373,173  
                 
Total Other Investment Company
(Cost $13,373,173)     13,373,173  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investment 0.3% of net assets
 
U.S. Treasury Obligation 0.3%
U.S. Treasury Bill
0.02%, 09/18/14 (a)(b)
    5,800,000       5,799,885  
                 
Total Short-Term Investment
(Cost $5,799,885)     5,799,885  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $1,746,794,794 and the unrealized appreciation and depreciation were $473,313,893 and ($13,219,671), respectively, with a net unrealized appreciation of $460,094,222.
 
* Non-income producing security.
(a) All or a portion of this security is held as collateral for open futures contracts.
(b) The rate shown is the purchase yield.
(c) The rate shown is the 7-day yield.
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
S&P 500 Index, e-mini, Long, expires 09/19/14
    113       10,875,120       (320,572 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing
 
 
 
 3

 

 
 Schwab Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
4 

 

 
 Schwab Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $2,187,715,958       $—       $—       $2,187,715,958  
Other Investment Company1
    13,373,173       —       —       13,373,173  
Short-Term Investment1
    —       5,799,885       —       5,799,885  
                                 
Total
    $2,201,089,131       $5,799,885       $—       $2,206,889,016  
                                 
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($320,572 )     $—       $—       ($320,572 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46823JUL14
 
 
 
 5

 

Schwab Capital Trust
Schwab Dividend Equity Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  99 .0%   Common Stock     1,644,303,640       1,975,795,277  
  1 .0%   Short-Term Investments     18,787,934       18,787,934  
 
 
  100 .0%   Total Investments     1,663,091,574       1,994,583,211  
  0 .0%   Other Assets and Liabilities, Net             538,481  
 
 
  100 .0%   Net Assets             1,995,121,692  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 99.0% of net assets
 
Automobiles & Components 0.8%
General Motors Co.
    490,900       16,602,238  
 
Banks 11.8%
Bank of America Corp.
    1,704,200       25,989,050  
Citigroup, Inc.
    1,297,400       63,455,834  
Fifth Third Bancorp
    106,000       2,170,880  
First Niagara Financial Group, Inc.
    387,000       3,328,200  
Huntington Bancshares, Inc.
    430,000       4,222,600  
JPMorgan Chase & Co.
    582,241       33,577,839  
Regions Financial Corp.
    376,400       3,816,696  
The PNC Financial Services Group, Inc.
    461,400       38,093,184  
Wells Fargo & Co.
    1,180,400       60,082,360  
                 
              234,736,643  
 
Capital Goods 6.3%
3M Co.
    81,400       11,468,446  
Caterpillar, Inc.
    253,725       25,562,794  
Emerson Electric Co.
    329,700       20,985,405  
Exelis, Inc.
    46,700       786,428  
General Electric Co.
    627,967       15,793,370  
Huntington Ingalls Industries, Inc.
    33,797       3,072,823  
IDEX Corp.
    32,600       2,471,732  
Lockheed Martin Corp.
    11,391       1,901,955  
Northrop Grumman Corp.
    217,200       26,774,244  
Parker Hannifin Corp.
    78,900       9,069,555  
Raytheon Co.
    39,061       3,545,567  
United Rentals, Inc. *
    44,300       4,691,370  
                 
              126,123,689  
 
Commercial & Professional Supplies 1.5%
KAR Auction Services, Inc.
    47,300       1,386,363  
Manpowergroup, Inc.
    74,209       5,780,139  
Pitney Bowes, Inc.
    349,800       9,465,588  
R.R. Donnelley & Sons Co.
    804,000       13,957,440  
                 
              30,589,530  
 
Consumer Durables & Apparel 1.0%
Hasbro, Inc.
    51,900       2,592,924  
Whirlpool Corp.
    116,400       16,603,296  
                 
              19,196,220  
 
Consumer Services 1.2%
H&R Block, Inc.
    404,688       13,002,625  
Las Vegas Sands Corp.
    44,800       3,308,480  
Penn National Gaming, Inc. *
    141,000       1,477,680  
Yum! Brands, Inc.
    81,392       5,648,605  
                 
              23,437,390  
 
Diversified Financials 5.1%
Berkshire Hathaway, Inc., Class B *
    53,857       6,755,284  
Capital One Financial Corp.
    85,991       6,839,724  
Interactive Brokers Group, Inc., Class A
    195,000       4,487,925  
Lazard Ltd., Class A
    612,908       32,055,088  
Morgan Stanley
    1,303,720       42,162,305  
The NASDAQ OMX Group, Inc.
    14,000       590,660  
Voya Financial, Inc.
    39,400       1,461,740  
Waddell & Reed Financial, Inc., Class A
    152,800       8,066,312  
                 
              102,419,038  
 
Energy 15.8%
Baker Hughes, Inc.
    127,300       8,754,421  
Chesapeake Energy Corp.
    221,700       5,846,229  
Chevron Corp.
    376,315       48,634,951  
ConocoPhillips
    679,400       56,050,500  
Devon Energy Corp.
    115,400       8,712,700  
EOG Resources, Inc.
    305,000       33,379,200  
Exxon Mobil Corp.
    471,144       46,614,987  
Marathon Oil Corp.
    320,700       12,427,125  
Murphy Oil Corp.
    125,139       7,774,886  
Nabors Industries Ltd.
    405,453       11,012,104  
Occidental Petroleum Corp.
    492,700       48,141,717  
Phillips 66
    67,831       5,501,772  
SM Energy Co.
    85,000       6,675,900  
Valero Energy Corp.
    296,600       15,067,280  
                 
              314,593,772  
 
Food & Staples Retailing 0.5%
The Kroger Co.
    203,471       9,966,010  
 
Food, Beverage & Tobacco 3.9%
Altria Group, Inc.
    265,500       10,779,300  
 
 
 
 1

 

 
 Schwab Dividend Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Archer-Daniels-Midland Co.
    905,184       42,000,538  
PepsiCo, Inc.
    194,500       17,135,450  
Pilgrim’s Pride Corp. *
    281,562       7,872,473  
                 
              77,787,761  
 
Health Care Equipment & Services 5.1%
Aetna, Inc.
    210,600       16,327,818  
C.R. Bard, Inc.
    55,800       8,327,034  
Cardinal Health, Inc.
    582,435       41,731,468  
Centene Corp. *
    24,300       1,751,787  
McKesson Corp.
    33,700       6,465,682  
Medtronic, Inc.
    378,730       23,382,790  
St. Jude Medical, Inc.
    25,500       1,662,345  
Stryker Corp.
    30,436       2,427,880  
                 
              102,076,804  
 
Household & Personal Products 0.6%
Energizer Holdings, Inc.
    86,441       9,919,969  
The Procter & Gamble Co.
    17,496       1,352,791  
                 
              11,272,760  
 
Insurance 6.1%
Aflac, Inc.
    118,700       7,091,138  
AmTrust Financial Services, Inc.
    66,000       2,814,240  
Aspen Insurance Holdings Ltd.
    104,600       4,185,046  
Assurant, Inc.
    80,900       5,125,824  
Axis Capital Holdings Ltd.
    116,000       5,005,400  
CNO Financial Group, Inc.
    989,100       16,003,638  
Genworth Financial, Inc., Class A *
    418,654       5,484,368  
MetLife, Inc.
    400,900       21,087,340  
Old Republic International Corp.
    905,100       13,024,389  
Prudential Financial, Inc.
    274,800       23,899,356  
Reinsurance Group of America, Inc.
    40,300       3,234,478  
The Hanover Insurance Group, Inc.
    14,000       809,340  
The Travelers Cos., Inc.
    149,500       13,389,220  
Unum Group
    30,800       1,057,364  
                 
              122,211,141  
 
Materials 4.5%
Ashland, Inc.
    14,900       1,559,285  
Compass Minerals International, Inc.
    41,295       3,552,196  
Huntsman Corp.
    69,900       1,820,895  
PPG Industries, Inc.
    118,048       23,416,001  
Steel Dynamics, Inc.
    866,100       18,369,981  
The Dow Chemical Co.
    752,340       38,422,004  
United States Steel Corp.
    56,429       1,889,807  
                 
              89,030,169  
 
Media 1.5%
John Wiley & Sons, Inc., Class A
    106,834       6,419,655  
Live Nation Entertainment, Inc. *
    719,000       16,687,990  
The Interpublic Group of Cos., Inc.
    356,499       7,026,595  
                 
              30,134,240  
 
Pharmaceuticals, Biotechnology & Life Sciences 8.7%
AbbVie, Inc.
    174,000       9,107,160  
Amgen, Inc.
    38,000       4,840,820  
Johnson & Johnson
    356,500       35,682,085  
Merck & Co., Inc.
    1,124,891       63,826,315  
Pfizer, Inc.
    1,743,400       50,035,580  
Salix Pharmaceuticals Ltd. *
    59,200       7,809,072  
United Therapeutics Corp. *
    37,200       3,382,968  
                 
              174,684,000  
 
Real Estate 3.0%
Brandywine Realty Trust
    325,300       5,058,415  
Duke Realty Corp.
    995,900       17,916,241  
Liberty Property Trust
    163,000       5,732,710  
Retail Properties of America, Inc., Class A
    597,000       8,984,850  
RLJ Lodging Trust
    142,000       3,981,680  
Simon Property Group, Inc.
    27,300       4,591,587  
SL Green Realty Corp.
    98,800       10,650,640  
The Macerich Co.
    52,100       3,387,021  
                 
              60,303,144  
 
Retailing 1.7%
Best Buy Co., Inc.
    338,000       10,048,740  
Macy’s, Inc.
    402,651       23,269,201  
                 
              33,317,941  
 
Semiconductors & Semiconductor Equipment 1.1%
Intel Corp.
    668,700       22,662,243  
 
Software & Services 2.9%
Broadridge Financial Solutions, Inc.
    23,665       955,356  
Computer Sciences Corp.
    605,835       37,798,046  
Intuit, Inc.
    35,680       2,924,689  
Leidos Holdings, Inc.
    78,255       2,890,740  
Oracle Corp.
    243,600       9,839,004  
Xerox Corp.
    290,900       3,857,334  
                 
              58,265,169  
 
Technology Hardware & Equipment 4.1%
Apple, Inc.
    117,900       11,267,703  
Hewlett-Packard Co.
    1,076,400       38,330,604  
NetApp, Inc.
    421,300       16,363,292  
SanDisk Corp.
    71,900       6,593,949  
Western Digital Corp.
    87,160       8,701,183  
                 
              81,256,731  
 
Telecommunication Services 2.4%
AT&T, Inc.
    549,800       19,567,382  
Frontier Communications Corp.
    2,940,000       19,257,000  
Verizon Communications, Inc.
    179,500       9,050,390  
                 
              47,874,772  
 
 
 
2 

 

 
 Schwab Dividend Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Transportation 2.4%
Alaska Air Group, Inc.
    198,800       8,741,236  
Delta Air Lines, Inc.
    327,100       12,253,166  
Southwest Airlines Co.
    749,600       21,198,688  
United Parcel Service, Inc., Class B
    56,900       5,524,421  
                 
              47,717,511  
 
Utilities 7.0%
AES Corp.
    1,050,600       15,349,266  
American Electric Power Co., Inc.
    453,000       23,551,470  
DTE Energy Co.
    305,000       22,515,100  
Edison International
    618,300       33,882,840  
Entergy Corp.
    270,300       19,685,949  
NRG Energy, Inc.
    160,500       4,969,080  
Public Service Enterprise Group, Inc.
    556,800       19,582,656  
                 
              139,536,361  
                 
Total Common Stock
(Cost $1,644,303,640)     1,975,795,277  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 1.0% of net assets
 
Time Deposit 0.9%
Wells Fargo
0.03%, 08/01/14
    18,273,944       18,273,944  
 
U.S. Treasury Obligation 0.1%
U.S. Treasury Bill
0.02%, 09/18/14 (a)(b)
    514,000       513,990  
                 
Total Short-Term Investments
(Cost $18,787,934)     18,787,934  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $1,663,221,599 and the unrealized appreciation and depreciation were $348,789,443 and ($17,427,831), respectively, with a net unrealized appreciation of $331,361,612.
 
* Non-income producing security.
(a) All or a portion of this security is held as collateral for open futures contracts.
(b) The rate shown is the purchase yield.
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
S&P 500 Index, e-mini, Long, expires 09/19/14
    108       10,393,920       (19,064 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions,
 
 
 
 3

 

 
 Schwab Dividend Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
4 

 

 
 Schwab Dividend Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $1,975,795,277       $—       $—       $1,975,795,277  
Short-Term Investments1
    —       18,787,934       —       18,787,934  
                                 
Total
    $1,975,795,277       $18,787,934       $—       $1,994,583,211  
                                 
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($19,064 )     $—       $—       ($19,064 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46824JUL14
 
 
 
 5

 

Schwab Capital Trust
Schwab Large-Cap Growth Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  99 .6%   Common Stock     202,614,819       245,809,400  
  0 .3%   Short-Term Investments     851,587       851,587  
 
 
  99 .9%   Total Investments     203,466,406       246,660,987  
  0 .3%   Collateral Invested for Securities on Loan     635,375       635,375  
  (0 .2%)   Other Assets and Liabilities, Net             (457,569 )
 
 
  100 .0%   Net Assets             246,838,793  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 99.6% of net assets
 
Automobiles & Components 1.0%
Delphi Automotive plc
    26,900       1,796,920  
General Motors Co.
    17,000       574,940  
                 
              2,371,860  
 
Banks 1.5%
Citigroup, Inc.
    77,200       3,775,852  
 
Capital Goods 6.2%
Allegion plc
    22,000       1,131,460  
Caterpillar, Inc.
    27,800       2,800,850  
Emerson Electric Co.
    13,500       859,275  
Exelis, Inc.
    16,900       284,596  
Huntington Ingalls Industries, Inc.
    9,900       900,108  
IDEX Corp.
    10,400       788,528  
Lockheed Martin Corp.
    2,400       400,728  
Masco Corp.
    142,800       2,970,240  
Northrop Grumman Corp.
    3,800       468,426  
Raytheon Co.
    32,500       2,950,025  
The Toro Co.
    2,000       118,660  
United Rentals, Inc. *
    15,400       1,630,860  
                 
              15,303,756  
 
Commercial & Professional Supplies 2.7%
Manpowergroup, Inc.
    30,400       2,367,856  
Pitney Bowes, Inc.
    26,600       719,796  
R.R. Donnelley & Sons Co.
    201,500       3,498,040  
                 
              6,585,692  
 
Consumer Durables & Apparel 2.0%
Deckers Outdoor Corp. *
    32,700       2,894,277  
Hanesbrands, Inc.
    4,000       390,840  
Hasbro, Inc.
    18,700       934,252  
Jarden Corp. *
    14,500       810,550  
                 
              5,029,919  
 
Consumer Services 2.5%
H&R Block, Inc.
    70,100       2,252,313  
Las Vegas Sands Corp.
    4,500       332,325  
MGM Resorts International *
    93,900       2,520,276  
Wyndham Worldwide Corp.
    5,600       423,080  
Wynn Resorts Ltd.
    700       149,240  
Yum! Brands, Inc.
    8,000       555,200  
                 
              6,232,434  
 
Diversified Financials 2.0%
Affiliated Managers Group, Inc. *
    7,100       1,414,675  
Lazard Ltd., Class A
    66,100       3,457,030  
                 
              4,871,705  
 
Energy 5.8%
Baker Hughes, Inc.
    14,100       969,657  
ConocoPhillips
    20,200       1,666,500  
EOG Resources, Inc.
    53,400       5,844,096  
Halliburton Co.
    18,400       1,269,416  
SM Energy Co.
    45,500       3,573,570  
Valero Energy Corp.
    21,800       1,107,440  
                 
              14,430,679  
 
Food & Staples Retailing 2.2%
The Kroger Co.
    109,000       5,338,820  
 
Food, Beverage & Tobacco 7.7%
Altria Group, Inc.
    39,600       1,607,760  
Archer-Daniels-Midland Co.
    97,100       4,505,440  
Dr Pepper Snapple Group, Inc.
    17,900       1,051,804  
PepsiCo, Inc.
    86,000       7,576,600  
Pilgrim’s Pride Corp. *
    81,200       2,270,352  
Tyson Foods, Inc., Class A
    50,400       1,875,384  
                 
              18,887,340  
 
Health Care Equipment & Services 5.2%
Align Technology, Inc. *
    25,100       1,360,671  
C.R. Bard, Inc.
    21,700       3,238,291  
Cardinal Health, Inc.
    61,200       4,384,980  
McKesson Corp.
    10,800       2,072,088  
Medtronic, Inc.
    27,600       1,704,024  
                 
              12,760,054  
 
Household & Personal Products 1.1%
Energizer Holdings, Inc.
    23,000       2,639,480  
 
 
 
 1

 

 
 Schwab Large-Cap Growth Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Insurance 1.2%
CNO Financial Group, Inc.
    121,700       1,969,106  
Genworth Financial, Inc., Class A *
    78,900       1,033,590  
                 
              3,002,696  
 
Materials 4.1%
Compass Minerals International, Inc.
    10,700       920,414  
PPG Industries, Inc.
    25,000       4,959,000  
The Dow Chemical Co.
    55,400       2,829,278  
United States Steel Corp.
    41,300       1,383,137  
                 
              10,091,829  
 
Media 4.7%
Comcast Corp., Class A
    72,800       3,911,544  
John Wiley & Sons, Inc., Class A
    37,200       2,235,348  
Live Nation Entertainment, Inc. *
    176,500       4,096,565  
Starz, Class A *
    50,100       1,428,351  
                 
              11,671,808  
 
Pharmaceuticals, Biotechnology & Life Sciences 8.4%
AbbVie, Inc.
    34,000       1,779,560  
Amgen, Inc.
    45,300       5,770,767  
Biogen Idec, Inc. *
    4,600       1,538,194  
Celgene Corp. *
    56,900       4,958,835  
Gilead Sciences, Inc. *
    13,200       1,208,460  
Johnson & Johnson
    8,600       860,774  
Merck & Co., Inc.
    19,587       1,111,366  
Pfizer, Inc.
    27,300       783,510  
Salix Pharmaceuticals Ltd. *
    9,350       1,233,359  
United Therapeutics Corp. *
    17,500       1,591,450  
                 
              20,836,275  
 
Real Estate 2.3%
CBRE Group, Inc., Class A *
    21,400       659,976  
Hospitality Properties Trust
    100,900       2,882,713  
RLJ Lodging Trust
    68,500       1,920,740  
The St. Joe Co. *
    7,900       180,436  
                 
              5,643,865  
 
Retailing 5.5%
Aaron’s, Inc.
    15,100       398,338  
Amazon.com, Inc. *
    3,400       1,064,166  
Best Buy Co., Inc.
    46,800       1,391,364  
DSW, Inc., Class A
    29,500       784,405  
GameStop Corp., Class A
    23,900       1,003,083  
Macy’s, Inc.
    71,600       4,137,764  
Netflix, Inc. *
    800       338,176  
The Home Depot, Inc.
    9,800       792,330  
The TJX Cos., Inc.
    67,500       3,597,075  
                 
              13,506,701  
 
Semiconductors & Semiconductor Equipment 1.5%
Linear Technology Corp.
    41,900       1,849,257  
Xilinx, Inc.
    47,400       1,949,562  
                 
              3,798,819  
 
Software & Services 17.1%
Broadridge Financial Solutions, Inc.
    25,300       1,021,361  
Computer Sciences Corp.
    71,500       4,460,885  
DST Systems, Inc.
    18,900       1,702,323  
Facebook, Inc., Class A *
    66,800       4,853,020  
Global Payments, Inc.
    31,800       2,202,786  
Google, Inc., Class A *
    6,100       3,535,255  
Google, Inc., Class C *
    5,800       3,315,280  
IAC/InterActiveCorp
    4,600       309,120  
Intuit, Inc.
    13,400       1,098,398  
Microsoft Corp.
    141,900       6,124,404  
NeuStar, Inc., Class A *(a)
    23,300       649,138  
Oracle Corp.
    194,700       7,863,933  
PTC, Inc. *
    117,900       4,239,684  
Xerox Corp.
    64,000       848,640  
                 
              42,224,227  
 
Technology Hardware & Equipment 8.3%
Apple, Inc.
    138,169       13,204,811  
ARRIS Group, Inc. *
    14,700       502,299  
CDW Corp.
    20,500       633,245  
Hewlett-Packard Co.
    63,000       2,243,430  
NetApp, Inc.
    97,300       3,779,132  
                 
              20,362,917  
 
Telecommunication Services 1.6%
Level 3 Communications, Inc. *
    4,700       206,706  
Verizon Communications, Inc.
    76,000       3,831,920  
                 
              4,038,626  
 
Transportation 4.5%
Alaska Air Group, Inc.
    96,600       4,247,502  
Matson, Inc.
    34,000       916,300  
Southwest Airlines Co.
    12,900       364,812  
United Parcel Service, Inc., Class B
    58,100       5,640,929  
                 
              11,169,543  
 
Utilities 0.5%
AES Corp.
    25,800       376,938  
Dynegy, Inc. *
    32,300       857,565  
                 
              1,234,503  
                 
Total Common Stock
(Cost $202,614,819)     245,809,400  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 0.3% of net assets
 
Time Deposit 0.1%
Wells Fargo
0.03%, 08/01/14
    319,597       319,597  
 
 
 
2 

 

 
 Schwab Large-Cap Growth Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
U.S. Treasury Obligation 0.2%
U.S. Treasury Bill
0.02%, 09/18/14 (b)
    532,000       531,990  
                 
Total Short-Term Investments
(Cost $851,587)     851,587  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.3% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (c)
    635,375       635,375  
                 
Total Collateral Invested for Securities on Loan
(Cost $635,375)     635,375  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14, the tax basis cost of the fund’s investments was $203,466,406 and the unrealized appreciation and depreciation were $46,615,633 and ($3,421,052), respectively, with a net unrealized appreciation of $43,194,581.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $615,706.
(b) The rate shown is the purchase yield.
(c) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
 
 
 3

 

 
 Schwab Large-Cap Growth Fund
 

 
Portfolio Holdings (Unaudited) continued
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $245,809,400       $—       $—       $245,809,400  
Short-Term Investments1
    —       851,587       —       851,587  
                                 
Total
    $245,809,400       $851,587       $—       $246,660,987  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $635,375       $—       $—       $635,375  
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46822JUL14
 
 
 
4 

 

Schwab Capital Trust
Schwab Small-Cap Equity Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .1%   Common Stock     549,660,718       621,580,165  
  1 .2%   Short-Term Investments     7,804,992       7,804,992  
 
 
  99 .3%   Total Investments     557,465,710       629,385,157  
  1 .9%   Collateral Invested for Securities on Loan     11,755,482       11,755,482  
  (1 .2%)   Other Assets and Liabilities, Net             (7,238,311 )
 
 
  100 .0%   Net Assets             633,902,328  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 98.1% of net assets
 
Automobiles & Components 1.2%
Dana Holding Corp.
    142,578       3,190,896  
Drew Industries, Inc.
    8,930       401,850  
Tower International, Inc. *
    126,230       3,976,245  
                 
              7,568,991  
 
Banks 5.2%
1st Source Corp.
    31,910       905,925  
Astoria Financial Corp.
    4,930       63,498  
BancFirst Corp.
    13,210       804,489  
BBCN Bancorp, Inc.
    68,230       1,024,815  
Chemical Financial Corp.
    45,700       1,261,320  
Community Trust Bancorp, Inc.
    8,668       303,293  
Financial Institutions, Inc.
    22,109       490,820  
First BanCorp *
    193,020       992,123  
First Bancorp
    34,070       547,846  
First Busey Corp.
    19,240       106,782  
First Business Financial Services, Inc.
    6,027       262,898  
First Citizens BancShares, Inc., Class A
    1,510       335,749  
First Defiance Financial Corp.
    17,200       464,572  
First Financial Corp.
    4,348       133,310  
First Interstate BancSystem, Inc.
    28,960       755,856  
First Midwest Bancorp, Inc.
    239,330       3,877,146  
International Bancshares Corp.
    44,030       1,116,160  
Lakeland Bancorp, Inc.
    14,605       146,634  
MainSource Financial Group, Inc.
    29,140       475,856  
OFG Bancorp
    102,017       1,628,191  
PrivateBancorp, Inc.
    170,810       4,919,328  
S&T Bancorp, Inc.
    36,980       899,723  
Susquehanna Bancshares, Inc.
    98,728       1,005,051  
Synovus Financial Corp.
    135,015       3,179,603  
TCF Financial Corp.
    220,527       3,486,532  
The Bank of Kentucky Financial Corp.
    7,000       241,850  
WesBanco, Inc.
    27,180       812,138  
Western Alliance Bancorp *
    82,500       1,889,250  
WSFS Financial Corp.
    9,120       652,901  
                 
              32,783,659  
 
Capital Goods 7.3%
AAR Corp.
    144,330       3,882,477  
Aceto Corp.
    9,138       153,153  
AECOM Technology Corp. *
    7,946       269,767  
Albany International Corp., Class A
    7,924       283,996  
Altra Industrial Motion Corp.
    20,400       639,540  
Argan, Inc.
    110,769       3,755,069  
Blount International, Inc. *
    16,983       221,798  
Briggs & Stratton Corp.
    132,905       2,436,149  
CIRCOR International, Inc.
    6,430       462,124  
Curtiss-Wright Corp.
    44,060       2,798,251  
Douglas Dynamics, Inc.
    37,329       623,394  
EMCOR Group, Inc.
    38,006       1,555,586  
Engility Holdings, Inc. *
    135,668       4,688,686  
Esterline Technologies Corp. *
    11,297       1,226,289  
General Cable Corp.
    22,041       489,971  
Gibraltar Industries, Inc. *
    64,900       953,381  
Griffon Corp.
    47,200       508,344  
Harsco Corp.
    89,460       2,260,654  
Huntington Ingalls Industries, Inc.
    25,260       2,296,639  
Hurco Cos., Inc.
    9,200       295,412  
Hyster-Yale Materials Handling, Inc.
    20,500       1,642,050  
John Bean Technologies Corp.
    24,183       629,967  
Kadant, Inc.
    20,540       783,396  
L.B. Foster Co., Class A
    16,000       746,400  
Lydall, Inc. *
    45,320       1,143,424  
Moog, Inc., Class A *
    42,800       2,825,656  
Mueller Water Products, Inc., Class A
    228,600       1,771,650  
Rexnord Corp. *
    26,151       703,723  
Standex International Corp.
    23,160       1,527,402  
The Greenbrier Cos., Inc.
    38,582       2,486,610  
Tutor Perini Corp. *
    74,565       2,030,405  
Willis Lease Finance Corp. *
    7,483       170,463  
Xerium Technologies, Inc. *
    17,030       221,390  
                 
              46,483,216  
 
Commercial & Professional Supplies 3.5%
ARC Document Solutions, Inc. *
    30,710       167,369  
Deluxe Corp.
    42,657       2,346,562  
Heidrick & Struggles International, Inc.
    30,605       571,395  
Hill International, Inc. *
    71,178       342,366  
Kelly Services, Inc., Class A
    15,452       246,305  
Kimball International, Inc., Class B
    45,707       720,799  
Korn/Ferry International *
    54,343       1,598,771  
Quad Graphics, Inc.
    154,830       3,270,010  
 
 
 
 1

 

 
 Schwab Small-Cap Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
RPX Corp. *
    286,280       4,465,968  
Steelcase, Inc., Class A
    202,240       3,053,824  
TrueBlue, Inc. *
    175,749       4,743,466  
Viad Corp.
    24,390       517,556  
                 
              22,044,391  
 
Consumer Durables & Apparel 2.2%
Blyth, Inc. (a)
    38,930       235,527  
Cavco Industries, Inc. *
    5,900       421,201  
Columbia Sportswear Co.
    4,340       324,458  
CSS Industries, Inc.
    20,620       509,108  
Culp, Inc.
    12,400       224,688  
Deckers Outdoor Corp. *
    39,990       3,539,515  
Johnson Outdoors, Inc., Class A
    7,100       163,726  
La-Z-Boy, Inc.
    45,360       954,374  
Skechers U.S.A., Inc., Class A *
    83,350       4,348,370  
Unifi, Inc. *
    16,530       473,419  
Universal Electronics, Inc. *
    45,670       2,175,262  
ZAGG, Inc. *
    87,140       445,285  
                 
              13,814,933  
 
Consumer Services 3.5%
Ascent Capital Group, Inc., Class A *
    34,720       2,151,946  
Boyd Gaming Corp. *
    259,160       2,850,760  
Buffalo Wild Wings, Inc. *
    23,590       3,428,099  
Capella Education Co.
    31,740       2,030,090  
Jack in the Box, Inc.
    24,013       1,373,304  
K12, Inc. *
    46,794       1,090,768  
Multimedia Games Holding Co., Inc. *
    57,350       1,383,282  
Penn National Gaming, Inc. *
    503,040       5,271,859  
Ruth’s Hospitality Group, Inc.
    54,305       616,362  
Strayer Education, Inc. *
    25,160       1,303,791  
Universal Technical Institute, Inc.
    51,590       617,532  
                 
              22,117,793  
 
Diversified Financials 2.6%
Calamos Asset Management, Inc., Class A
    204,137       2,421,065  
Cash America International, Inc.
    50,365       2,235,703  
Compass Diversified Holdings
    52,490       924,874  
GFI Group, Inc.
    54,470       246,749  
Interactive Brokers Group, Inc., Class A
    194,810       4,483,552  
Investment Technology Group, Inc. *
    143,887       2,631,693  
KCG Holdings, Inc., Class A *
    55,910       638,492  
Nelnet, Inc., Class A
    54,400       2,242,912  
Oppenheimer Holdings, Inc., Class A
    22,000       502,040  
                 
              16,327,080  
 
Energy 8.2%
Basic Energy Services, Inc. *
    69,840       1,675,462  
Bill Barrett Corp. *
    98,477       2,364,433  
Carrizo Oil & Gas, Inc. *
    68,940       4,233,605  
Clayton Williams Energy, Inc. *
    21,630       2,301,648  
Cloud Peak Energy, Inc. *
    82,360       1,274,933  
Contango Oil & Gas Co. *
    39,908       1,605,499  
Dawson Geophysical Co.
    25,560       641,556  
Green Plains, Inc.
    188,566       7,069,339  
ION Geophysical Corp. *
    798,137       2,993,014  
Matrix Service Co. *
    67,380       1,809,153  
Pacific Ethanol, Inc. *
    7,708       137,511  
Parker Drilling Co. *
    368,640       2,278,195  
PBF Energy, Inc., Class A
    67,036       1,816,676  
PDC Energy, Inc. *
    9,133       495,557  
Penn Virginia Corp. *
    25,032       325,917  
Pioneer Energy Services Corp. *
    249,680       3,672,793  
REX American Resources Corp. *
    44,370       3,742,609  
SandRidge Energy, Inc. *(a)
    254,099       1,514,430  
Stone Energy Corp. *
    122,250       4,651,612  
VAALCO Energy, Inc. *
    300,330       2,072,277  
W&T Offshore, Inc.
    293,011       3,929,277  
Warren Resources, Inc. *
    217,835       1,283,048  
Willbros Group, Inc. *
    18,280       211,865  
                 
              52,100,409  
 
Food & Staples Retailing 1.2%
Liberator Medical Holdings, Inc. (a)
    91,740       285,311  
Roundy’s, Inc.
    337,390       1,629,594  
SUPERVALU, Inc. *
    78,930       723,788  
The Andersons, Inc.
    46,872       2,532,026  
The Pantry, Inc. *
    127,210       2,278,331  
                 
              7,449,050  
 
Food, Beverage & Tobacco 2.0%
Cal-Maine Foods, Inc.
    16,040       1,142,048  
Coca-Cola Bottling Co. Consolidated
    29,390       2,052,010  
Farmer Bros. Co. *
    50,359       1,030,849  
Omega Protein Corp. *
    161,420       2,263,108  
Pilgrim’s Pride Corp. *
    113,800       3,181,848  
Sanderson Farms, Inc.
    28,810       2,624,303  
Seneca Foods Corp., Class A *
    7,100       203,202  
                 
              12,497,368  
 
Health Care Equipment & Services 5.7%
Alere, Inc. *
    13,414       536,560  
Alliance HealthCare Services, Inc. *
    8,250       235,538  
AMN Healthcare Services, Inc. *
    38,800       508,280  
AngioDynamics, Inc. *
    56,030       818,038  
Anika Therapeutics, Inc. *
    25,710       1,081,363  
Cantel Medical Corp.
    30,137       1,010,494  
CONMED Corp.
    65,390       2,550,210  
CryoLife, Inc.
    46,100       454,085  
Globus Medical, Inc., Class A *
    70,506       1,572,284  
Greatbatch, Inc. *
    76,634       3,794,149  
ICU Medical, Inc. *
    33,654       1,960,345  
Insulet Corp. *
    20,350       719,169  
Kindred Healthcare, Inc.
    137,000       3,274,300  
Magellan Health, Inc. *
    6,547       377,107  
Merge Healthcare, Inc. *
    212,550       522,873  
National Healthcare Corp.
    11,100       610,056  
NuVasive, Inc. *
    90,270       3,374,293  
Omnicell, Inc. *
    25,050       686,370  
PharMerica Corp. *
    62,500       1,686,875  
Premier, Inc., Class A *
    35,540       1,005,782  
Quality Systems, Inc.
    151,310       2,346,818  
SurModics, Inc. *
    72,581       1,378,313  
 
 
 
2 

 

 
 Schwab Small-Cap Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Symmetry Medical, Inc. *
    159,160       1,402,200  
The Providence Service Corp. *
    31,130       1,233,059  
Thoratec Corp. *
    75,480       2,453,100  
Triple-S Management Corp., Class B *
    27,080       467,942  
VCA, Inc. *
    473       17,638  
                 
              36,077,241  
 
Household & Personal Products 0.9%
Harbinger Group, Inc. *
    172,970       2,028,938  
Medifast, Inc. *
    53,424       1,533,803  
Revlon, Inc., Class A *
    17,300       527,650  
Spectrum Brands Holdings, Inc.
    17,390       1,450,326  
USANA Health Sciences, Inc. *
    6,660       425,241  
                 
              5,965,958  
 
Insurance 5.9%
American Equity Investment Life Holding Co.
    253,400       5,610,276  
AmTrust Financial Services, Inc. (a)
    61,500       2,622,360  
Aspen Insurance Holdings Ltd.
    110,820       4,433,908  
CNO Financial Group, Inc.
    351,864       5,693,159  
FBL Financial Group, Inc., Class A
    19,600       838,488  
MBIA, Inc. *
    402,801       3,858,833  
Selective Insurance Group, Inc.
    156,930       3,497,970  
StanCorp Financial Group, Inc.
    21,670       1,307,568  
Symetra Financial Corp.
    284,407       6,484,480  
The Hanover Insurance Group, Inc.
    54,231       3,135,094  
                 
              37,482,136  
 
Materials 3.7%
Ampco-Pittsburgh Corp.
    26,060       525,630  
Calgon Carbon Corp. *
    49,380       1,046,856  
Commercial Metals Co.
    305,390       5,264,923  
Globe Specialty Metals, Inc.
    138,690       2,639,271  
Materion Corp.
    101,110       3,266,864  
Neenah Paper, Inc.
    57,661       2,861,139  
Noranda Aluminum Holding Corp.
    47,350       209,287  
OM Group, Inc.
    56,400       1,594,428  
OMNOVA Solutions, Inc. *
    26,600       214,662  
P.H. Glatfelter Co.
    69,300       1,649,340  
Schweitzer-Mauduit International, Inc.
    9,860       402,584  
Tredegar Corp.
    40,330       788,048  
Worthington Industries, Inc.
    74,707       2,857,543  
                 
              23,320,575  
 
Media 0.8%
AH Belo Corp., Class A
    48,000       506,400  
Cumulus Media, Inc., Class A *
    111,300       576,534  
Live Nation Entertainment, Inc. *
    160,130       3,716,617  
                 
              4,799,551  
 
Pharmaceuticals, Biotechnology & Life Sciences 9.2%
Acorda Therapeutics, Inc. *
    15,920       465,978  
Affymetrix, Inc. *
    199,740       1,717,764  
Akorn, Inc. *
    61,860       2,098,910  
Albany Molecular Research, Inc. *
    6,586       125,397  
AMAG Pharmaceuticals, Inc. *
    81,830       1,562,135  
Anacor Pharmaceuticals, Inc. *
    73,300       1,220,445  
Arena Pharmaceuticals, Inc. *(a)
    389,220       1,802,089  
Bio-Rad Laboratories, Inc., Class A *
    31,770       3,653,232  
BioCryst Pharmaceuticals, Inc. *
    76,042       952,046  
BioSpecifics Technologies Corp. *
    43,488       1,136,776  
Charles River Laboratories International, Inc. *
    56,303       3,052,186  
Dyax Corp. *
    405,230       3,817,267  
Emergent Biosolutions, Inc. *
    216,140       4,755,080  
Enzo Biochem, Inc. *
    42,310       203,088  
Hyperion Therapeutics, Inc. *
    69,710       1,587,297  
ICON plc *
    96,170       4,981,606  
Impax Laboratories, Inc. *
    22,585       528,263  
Ligand Pharmaceuticals, Inc. *
    39,710       1,952,541  
Myriad Genetics, Inc. *(a)
    50,380       1,818,718  
Nektar Therapeutics *
    91,390       964,165  
PAREXEL International Corp. *
    38,690       2,072,236  
PDL BioPharma, Inc. (a)
    216,385       2,029,691  
POZEN, Inc. *
    3,172       22,965  
Prestige Brands Holdings, Inc. *
    84,680       2,608,144  
Repligen Corp. *
    168,392       3,531,180  
Rigel Pharmaceuticals, Inc. *
    131,510       430,038  
Sagent Pharmaceuticals, Inc. *
    88,470       2,254,216  
Sangamo BioSciences, Inc. *
    25,935       308,108  
Spectrum Pharmaceuticals, Inc. *
    123,536       869,693  
The Medicines Co. *
    150,430       3,515,549  
Threshold Pharmaceuticals, Inc. *
    383,475       1,614,430  
ZIOPHARM Oncology, Inc. *(a)
    112,480       352,062  
                 
              58,003,295  
 
Real Estate 6.2%
Ashford Hospitality Trust, Inc.
    475,336       5,471,117  
Brandywine Realty Trust
    311,810       4,848,645  
Cedar Realty Trust, Inc.
    92,410       582,183  
DCT Industrial Trust, Inc.
    107,570       842,273  
DuPont Fabros Technology, Inc.
    145,331       3,983,523  
FelCor Lodging Trust, Inc.
    117,240       1,227,503  
LaSalle Hotel Properties
    147,184       5,120,531  
Pebblebrook Hotel Trust
    59,410       2,162,524  
PS Business Parks, Inc.
    38,031       3,137,558  
RE/MAX Holdings, Inc., Class A
    7,440       217,992  
RLJ Lodging Trust
    190,083       5,329,927  
Saul Centers, Inc.
    41,300       1,968,771  
Select Income REIT
    10,150       281,663  
Strategic Hotels & Resorts, Inc. *
    146,390       1,670,310  
Summit Hotel Properties, Inc.
    15,675       160,982  
Sunstone Hotel Investors, Inc.
    174,440       2,475,304  
                 
              39,480,806  
 
Retailing 4.1%
Aaron’s, Inc.
    56,480       1,489,942  
ANN, Inc. *
    80,150       2,945,512  
Brown Shoe Co., Inc.
    153,707       4,333,000  
Citi Trends, Inc. *
    111,480       2,246,322  
Core-Mark Holding Co., Inc.
    29,274       1,381,733  
Guess?, Inc.
    104,853       2,727,227  
Haverty Furniture Cos, Inc.
    62,900       1,398,267  
New York & Co., Inc. *
    82,500       278,025  
Outerwall, Inc. *(a)
    69,500       3,823,890  
 
 
 
 3

 

 
 Schwab Small-Cap Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Overstock.com, Inc. *
    67,390       1,095,088  
Stein Mart, Inc.
    22,960       298,021  
The Children’s Place, Inc.
    5,771       289,704  
The Finish Line, Inc., Class A
    90,656       2,383,346  
The Pep Boys - Manny, Moe & Jack *
    133,720       1,414,758  
                 
              26,104,835  
 
Semiconductors & Semiconductor Equipment 3.9%
Amkor Technology, Inc. *
    126,350       1,118,198  
Axcelis Technologies, Inc. *
    85,070       148,873  
Cabot Microelectronics Corp. *
    58,356       2,345,328  
Cirrus Logic, Inc. *
    23,665       530,806  
Diodes, Inc. *
    89,283       2,276,716  
DSP Group, Inc. *
    26,000       230,620  
FormFactor, Inc. *
    195,390       1,318,882  
International Rectifier Corp. *
    226,866       5,635,351  
IXYS Corp.
    54,900       626,958  
OmniVision Technologies, Inc. *
    255,070       5,713,568  
Pericom Semiconductor Corp. *
    51,100       451,213  
Photronics, Inc. *
    278,950       2,223,231  
Power Integrations, Inc.
    12,367       665,716  
Sigma Designs, Inc. *
    70,250       297,860  
Silicon Image, Inc. *
    69,360       346,106  
Tessera Technologies, Inc.
    15,916       404,426  
Ultra Clean Holdings, Inc. *
    80,300       696,201  
                 
              25,030,053  
 
Software & Services 10.1%
Aspen Technology, Inc. *
    142,940       6,209,313  
Bankrate, Inc. *
    33,770       569,362  
Blucora, Inc. *
    31,540       538,388  
Callidus Software, Inc. *
    174,780       1,873,642  
comScore, Inc. *
    68,922       2,494,287  
Constant Contact, Inc. *
    125,560       3,908,683  
CSG Systems International, Inc.
    63,870       1,663,175  
Digital River, Inc. *
    28,892       412,867  
EarthLink Holdings Corp.
    40,000       157,600  
EnerNOC, Inc. *
    149,570       2,680,294  
Euronet Worldwide, Inc. *
    10,823       541,583  
Global Cash Access Holdings, Inc. *
    179,462       1,502,097  
Intralinks Holdings, Inc. *
    164,920       1,322,658  
j2 Global, Inc.
    71,230       3,484,572  
Limelight Networks, Inc. *
    313,930       806,800  
LogMeIn, Inc. *
    77,812       3,167,726  
Manhattan Associates, Inc. *
    39,963       1,173,314  
Mentor Graphics Corp.
    23,450       463,137  
Monster Worldwide, Inc. *
    210,150       1,365,975  
Pegasystems, Inc.
    129,100       2,758,867  
PTC, Inc. *
    119,208       4,286,720  
QuinStreet, Inc. *
    76,710       382,783  
Rovi Corp. *
    42,410       991,122  
Seachange International, Inc. *
    158,420       1,186,566  
Sykes Enterprises, Inc. *
    30,300       627,210  
Take-Two Interactive Software, Inc. *
    276,460       6,187,175  
TeleCommunication Systems, Inc., Class A *
    104,770       330,025  
TeleTech Holdings, Inc. *
    22,477       618,792  
TiVo, Inc. *
    224,580       3,022,847  
Unisys Corp. *
    63,584       1,353,703  
Verint Systems, Inc. *
    85,750       4,025,105  
Web.com Group, Inc. *
    156,161       4,146,074  
                 
              64,252,462  
 
Technology Hardware & Equipment 5.0%
ARRIS Group, Inc. *
    96,970       3,313,465  
Aruba Networks, Inc. *
    44,730       798,878  
Benchmark Electronics, Inc. *
    66,017       1,594,310  
Brocade Communications Systems, Inc.
    474,900       4,373,829  
Calix, Inc. *
    56,870       528,322  
Checkpoint Systems, Inc. *
    84,800       1,037,952  
Daktronics, Inc.
    52,700       584,970  
Harmonic, Inc. *
    403,860       2,423,160  
II-VI, Inc. *
    115,276       1,581,587  
Insight Enterprises, Inc. *
    95,400       2,506,158  
Lexmark International, Inc., Class A
    103,162       4,954,871  
Newport Corp. *
    89,440       1,548,206  
Plexus Corp. *
    36,200       1,423,746  
QLogic Corp. *
    35,359       321,767  
Richardson Electronics Ltd.
    16,310       162,611  
ScanSource, Inc. *
    6,690       239,569  
Tech Data Corp. *
    51,430       3,229,289  
Vishay Intertechnology, Inc.
    51,890       764,340  
                 
              31,387,030  
 
Telecommunication Services 1.1%
IDT Corp., Class B
    181,188       2,824,721  
Inteliquent, Inc.
    141,527       1,501,602  
Premiere Global Services, Inc. *
    100,380       1,314,978  
Shenandoah Telecommunications Co.
    8,300       229,993  
Spok Holdings, Inc.
    38,190       571,704  
Telephone & Data Systems, Inc.
    23,960       599,000  
Vonage Holdings Corp. *
    60,400       210,192  
                 
              7,252,190  
 
Transportation 1.7%
AMERCO
    7,550       1,986,858  
ArcBest Corp.
    82,430       2,615,504  
Hawaiian Holdings, Inc. *
    44,080       614,034  
Matson, Inc.
    16,400       441,980  
Park-Ohio Holdings Corp.
    25,860       1,535,050  
SkyWest, Inc.
    327,010       3,495,737  
                 
              10,689,163  
 
Utilities 2.9%
Avista Corp.
    53,460       1,658,864  
Chesapeake Utilities Corp.
    10,700       696,463  
Dynegy, Inc. *
    242,640       6,442,092  
New Jersey Resources Corp.
    52,728       2,693,346  
Northwest Natural Gas Co.
    64,542       2,789,505  
PNM Resources, Inc.
    118,320       3,034,908  
Southwest Gas Corp.
    24,890       1,232,802  
                 
              18,547,980  
                 
Total Common Stock
(Cost $549,660,718)     621,580,165  
         
                 
                 
 
 
 
4 

 

 
 Schwab Small-Cap Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 1.2% of net assets
 
Time Deposits 1.2%
Australia & New Zealand Banking Group Ltd.
US Dollar
               
0.03%, 08/01/14
    995,463       995,463  
DNB
US Dollar
               
0.03%, 08/01/14
    6,609,531       6,609,531  
                 
              7,604,994  
 
U.S. Treasury Obligations 0.0%
U.S. Treasury Bills
0.01%, 09/18/14 (b)(c)
    150,000       149,999  
0.02%, 09/18/14 (b)(c)
    50,000       49,999  
                 
              199,998  
                 
Total Short-Term Investments
(Cost $7,804,992)     7,804,992  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 1.9% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (d)
    11,755,482       11,755,482  
                 
Total Collateral Invested for Securities on Loan
(Cost $11,755,482)     11,755,482  
         
 
End of Collateral Invested for Securities on Loan
 
At 07/31/14, the tax basis cost of the fund’s investments was $558,111,367 and the unrealized appreciation and depreciation were $97,393,470 and ($26,119,680), respectively, with a net unrealized appreciation of $71,273,790.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $11,309,072.
(b) All or a portion of this security is held as collateral for open futures contracts.
(c) The rate shown is the purchase yield.
(d) The rate shown is the 7-day yield.
 
     
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
Russell 2000 Index, mini, Long, expires 09/19/14
    80       8,933,600       (121,528 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a
 
 
 
 5

 

 
 Schwab Small-Cap Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
6 

 

 
 Schwab Small-Cap Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $621,580,165       $—       $—       $621,580,165  
Short-Term Investments1
    —       7,804,992       —       7,804,992  
                                 
Total
    $621,580,165       $7,804,992       $—       $629,385,157  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $11,755,482       $—       $—       $11,755,482  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($121,528 )     $—       $—       ($121,528 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Common Stock
    $2,034       ($4,476 )     $8,747       $—       ($6,305 )     $—       $—       $—  
                                                                 
Total
    $2,034       ($4,476 )     $8,747       $—       ($6,305 )     $—       $—       $—  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46825JUL14
 
 
 
 7

 

Schwab Capital Trust
Schwab Hedged Equity Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .4%   Common Stock     153,265,907       184,335,572  
  1 .5%   Other Investment Company     2,824,125       2,824,125  
  0 .1%   Short-Term Investment     195,996       195,996  
 
 
  99 .0%   Total Investments     156,286,028       187,355,693  
  (39 .5)%   Short Sales     (71,038,694 )     (74,775,621 )
  40 .5%   Other Assets and Liabilities, Net             76,588,206  
 
 
  100 .0%   Net Assets             189,168,278  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 97.4% of net assets
 
Banks 6.6%
Bank of America Corp. (a)
    118,400       1,805,600  
Citigroup, Inc. (a)
    58,000       2,836,780  
Fifth Third Bancorp (a)
    69,798       1,429,463  
Regions Financial Corp. (a)
    239,500       2,428,530  
SunTrust Banks, Inc.
    7,634       290,474  
The PNC Financial Services Group, Inc. (a)
    45,500       3,756,480  
                 
              12,547,327  
 
Capital Goods 5.5%
AAR Corp.
    1,500       40,350  
Briggs & Stratton Corp.
    3,600       65,988  
Caterpillar, Inc. (a)
    20,601       2,075,551  
Curtiss-Wright Corp. (a)
    9,600       609,696  
Emerson Electric Co. (a)
    36,900       2,348,685  
IDEX Corp.
    9,400       712,708  
Masco Corp.
    76,000       1,580,800  
Northrop Grumman Corp.
    14,700       1,812,069  
United Rentals, Inc. *
    10,433       1,104,854  
                 
              10,350,701  
 
Commercial & Professional Supplies 3.0%
Manpowergroup, Inc.
    2,600       202,514  
Pitney Bowes, Inc.
    14,400       389,664  
R.R. Donnelley & Sons Co. (a)
    216,400       3,756,704  
Steelcase, Inc., Class A
    12,400       187,240  
TrueBlue, Inc. *
    43,460       1,172,985  
                 
              5,709,107  
 
Consumer Durables & Apparel 0.3%
Hanesbrands, Inc.
    2,200       214,962  
Jarden Corp. *(a)
    7,816       436,914  
                 
              651,876  
 
Consumer Services 1.4%
Apollo Education Group, Inc. *
    3,500       97,755  
Graham Holdings Co., Class B
    1,700       1,165,775  
Jack in the Box, Inc.
    12,100       691,999  
MGM Resorts International *
    14,893       399,728  
Penn National Gaming, Inc. *
    22,700       237,896  
                 
              2,593,153  
 
Diversified Financials 2.6%
Affiliated Managers Group, Inc. *
    8,000       1,594,000  
Cash America International, Inc.
    8,300       368,437  
Interactive Brokers Group, Inc., Class A (a)
    113,732       2,617,542  
Lazard Ltd., Class A
    6,077       317,827  
                 
              4,897,806  
 
Energy 13.4%
Baker Hughes, Inc.
    6,549       450,375  
Chevron Corp. (a)
    11,096       1,434,047  
ConocoPhillips (a)
    51,911       4,282,658  
Devon Energy Corp.
    1,400       105,700  
EOG Resources, Inc. (a)
    35,700       3,907,008  
Exxon Mobil Corp. (a)
    1,978       195,703  
Green Plains, Inc.
    19,100       716,059  
Halliburton Co. (a)
    16,700       1,152,133  
Hess Corp.
    8,400       831,432  
Kosmos Energy Ltd. *
    10,900       104,967  
Marathon Oil Corp.
    23,700       918,375  
Murphy Oil Corp. (a)
    17,660       1,097,216  
National Oilwell Varco, Inc.
    8,400       680,736  
Occidental Petroleum Corp. (a)
    41,100       4,015,881  
Patterson-UTI Energy, Inc.
    24,800       851,880  
Pioneer Energy Services Corp. *
    88,389       1,300,202  
SM Energy Co. (a)
    31,500       2,474,010  
Valero Energy Corp.
    14,700       746,760  
                 
              25,265,142  
 
Food & Staples Retailing 2.3%
The Andersons, Inc.
    8,747       472,513  
The Kroger Co. (a)
    79,443       3,891,118  
                 
              4,363,631  
 
Food, Beverage & Tobacco 5.6%
Altria Group, Inc.
    10,600       430,360  
Archer-Daniels-Midland Co. (a)
    83,910       3,893,424  
Bunge Ltd. (a)
    21,991       1,733,771  
J&J Snack Foods Corp.
    8,300       747,747  
Pilgrim’s Pride Corp. *
    72,700       2,032,692  
 
 
 
 1

 

 
 Schwab Hedged Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Sanderson Farms, Inc.
    3,380       307,884  
Tyson Foods, Inc., Class A
    40,700       1,514,447  
                 
              10,660,325  
 
Health Care Equipment & Services 5.1%
Align Technology, Inc. *
    5,600       303,576  
C.R. Bard, Inc.
    7,600       1,134,148  
Cardinal Health, Inc. (a)
    54,300       3,890,595  
DaVita HealthCare Partners, Inc. *
    3,878       273,166  
Kindred Healthcare, Inc.
    5,700       136,230  
Magellan Health, Inc. *(a)
    17,700       1,019,520  
McKesson Corp.
    5,500       1,055,230  
Medtronic, Inc. (a)
    29,700       1,833,678  
                 
              9,646,143  
 
Household & Personal Products 0.4%
Harbinger Group, Inc. *
    29,200       342,516  
Herbalife Ltd.
    8,800       461,120  
                 
              803,636  
 
Insurance 4.8%
American Equity Investment Life Holding Co.
    84,900       1,879,686  
Aspen Insurance Holdings Ltd. (a)
    72,900       2,916,729  
Assurant, Inc.
    11,800       747,648  
CNO Financial Group, Inc. (a)
    133,196       2,155,111  
Genworth Financial, Inc., Class A *
    47,393       620,849  
Reinsurance Group of America, Inc.
    8,300       666,158  
Symetra Financial Corp.
    4,900       111,720  
                 
              9,097,901  
 
Materials 4.3%
Ashland, Inc.
    6,100       638,365  
Commercial Metals Co.
    44,900       774,076  
Compass Minerals International, Inc.
    1,700       146,234  
PPG Industries, Inc.
    14,248       2,826,234  
Steel Dynamics, Inc.
    24,000       509,040  
United States Steel Corp.
    53,000       1,774,970  
Worthington Industries, Inc. (a)
    37,217       1,423,550  
                 
              8,092,469  
 
Media 3.7%
Comcast Corp., Class A
    31,200       1,676,376  
John Wiley & Sons, Inc., Class A
    28,685       1,723,682  
Live Nation Entertainment, Inc. *(a)
    154,900       3,595,229  
                 
              6,995,287  
 
Pharmaceuticals, Biotechnology & Life Sciences 6.1%
Amgen, Inc. (a)
    19,700       2,509,583  
Celgene Corp. *(a)
    45,320       3,949,638  
Merck & Co., Inc.
    26,895       1,526,022  
Pfizer, Inc. (a)
    113,874       3,268,184  
Salix Pharmaceuticals Ltd. *
    2,400       316,584  
                 
              11,570,011  
 
Real Estate 2.8%
Ashford Hospitality Trust, Inc.
    40,800       469,608  
Brandywine Realty Trust (a)
    100,500       1,562,775  
CBRE Group, Inc., Class A *
    30,455       939,232  
RLJ Lodging Trust
    70,700       1,982,428  
Select Income REIT
    11,400       316,350  
                 
              5,270,393  
 
Retailing 6.2%
Aaron’s, Inc.
    26,578       701,128  
ANN, Inc. *(a)
    48,500       1,782,375  
Best Buy Co., Inc.
    33,300       990,009  
Brown Shoe Co., Inc.
    9,200       259,348  
GameStop Corp., Class A (a)
    23,900       1,003,083  
Guess?, Inc.
    2,300       59,823  
Macy’s, Inc. (a)
    64,321       3,717,110  
Outerwall, Inc. *(a)
    30,936       1,702,099  
The Children’s Place, Inc.
    23,300       1,169,660  
The Finish Line, Inc., Class A
    13,047       343,006  
                 
              11,727,641  
 
Semiconductors & Semiconductor Equipment 0.5%
International Rectifier Corp. *
    38,200       948,888  
 
Software & Services 9.4%
Aspen Technology, Inc. *
    23,900       1,038,216  
CA, Inc. (a)
    60,398       1,744,294  
Computer Sciences Corp.
    29,300       1,828,027  
comScore, Inc. *
    30,317       1,097,172  
Google, Inc., Class A *
    1,100       637,505  
Microsoft Corp. (a)
    25,650       1,107,054  
Oracle Corp. (a)
    84,300       3,404,877  
Pegasystems, Inc.
    4,623       98,794  
PTC, Inc. *
    25,400       913,384  
Synopsys, Inc. *
    40,700       1,537,239  
Take-Two Interactive Software, Inc. *(a)
    112,200       2,511,036  
TiVo, Inc. *
    50,100       674,346  
Verint Systems, Inc. *
    11,500       539,810  
Xerox Corp.
    45,300       600,678  
                 
              17,732,432  
 
Technology Hardware & Equipment 6.6%
Apple, Inc. (a)
    19,796       1,891,904  
Brocade Communications Systems, Inc. (a)
    228,524       2,104,706  
EchoStar Corp., Class A *(a)
    2,970       150,579  
Hewlett-Packard Co. (a)
    67,636       2,408,518  
II-VI, Inc. *
    42,635       584,952  
NetApp, Inc. (a)
    73,800       2,866,392  
Western Digital Corp. (a)
    25,479       2,543,569  
                 
              12,550,620  
 
Telecommunication Services 0.5%
Verizon Communications, Inc.
    19,050       960,501  
 
 
 
2 

 

 
 Schwab Hedged Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Transportation 1.4%
Alaska Air Group, Inc.
    3,800       167,086  
AMERCO
    2,800       736,848  
ArcBest Corp.
    737       23,385  
FedEx Corp. (a)
    6,692       982,921  
Southwest Airlines Co.
    27,100       766,388  
                 
              2,676,628  
 
Utilities 4.9%
AES Corp. (a)
    242,428       3,541,873  
Dynegy, Inc. *
    48,133       1,277,931  
Edison International (a)
    36,876       2,020,805  
Entergy Corp.
    23,700       1,726,071  
NRG Energy, Inc.
    13,848       428,734  
Vectren Corp.
    6,000       228,540  
                 
              9,223,954  
                 
Total Common Stock
(Cost $153,265,907)     184,335,572  
         
                 
                 
 
 Other Investment Company 1.5% of net assets
 
Money Market Fund 1.5%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (b)
    2,824,125       2,824,125  
                 
Total Other Investment Company
(Cost $2,824,125)     2,824,125  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investment 0.1% of net assets
 
U.S. Treasury Obligation 0.1%
U.S. Treasury Bill
0.02%, 09/18/14 (c)(d)
    196,000       195,996  
                 
Total Short-Term Investment
(Cost $195,996)     195,996  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $156,703,863 and the unrealized appreciation and depreciation were $33,601,707 and ($2,949,877), respectively, with a net unrealized appreciation of $30,651,830.
 
* Non-income producing security.
(a) All or a portion of this security is held as collateral for short sales
(b) The rate shown is the 7-day yield.
(c) All or a portion of this security is held as collateral for open futures contracts.
(d) The rate shown is the purchase yield.
 
     
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
S&P 500 Index, e-mini, Long, expires 09/19/14
    26       2,502,240       (4,590 )
 
 
 
 3

 

 
 Schwab Hedged Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Short Sales 39.5% of net assets
 
Automobiles & Components 0.4%
Dorman Products, Inc. *
    17,200       746,136  
 
Banks 1.3%
Signature Bank *
    7,200       823,608  
Texas Capital Bancshares, Inc. *
    13,730       714,647  
Valley National Bancorp
    103,835       994,739  
                 
              2,532,994  
 
Capital Goods 2.9%
Chart Industries, Inc. *
    3,600       273,780  
DigitalGlobe, Inc. *
    54,300       1,419,945  
Fastenal Co.
    47,300       2,097,755  
Navistar International Corp. *
    1,600       56,272  
Proto Labs, Inc. *
    10,349       838,269  
SolarCity Corp. *
    6,200       443,486  
Triumph Group, Inc.
    5,000       316,750  
                 
              5,446,257  
 
Commercial & Professional Supplies 1.0%
Copart, Inc. *
    32,685       1,091,025  
Healthcare Services Group, Inc.
    5,100       133,314  
The Advisory Board Co. *
    14,400       722,016  
                 
              1,946,355  
 
Consumer Durables & Apparel 1.9%
Kate Spade & Co. *
    67,300       2,545,959  
TRI Pointe Homes, Inc. *
    2,366       31,965  
Under Armour, Inc., Class A *
    14,100       941,175  
                 
              3,519,099  
 
Consumer Services 0.8%
Caesars Entertainment Corp. *
    6,800       108,800  
Norwegian Cruise Line Holdings Ltd. *
    44,275       1,451,334  
                 
              1,560,134  
 
Diversified Financials 1.0%
Federated Investors, Inc., Class B
    41,700       1,176,774  
Financial Engines, Inc.
    14,970       583,082  
Leucadia National Corp.
    6,600       163,086  
                 
              1,922,942  
 
Energy 8.4%
Atwood Oceanics, Inc. *
    26,300       1,266,345  
Cheniere Energy, Inc. *
    16,200       1,146,312  
Cobalt International Energy, Inc. *
    108,600       1,739,772  
Diamondback Energy, Inc. *
    11,050       908,641  
Dresser-Rand Group, Inc. *
    38,500       2,291,135  
Golar LNG Ltd.
    40,700       2,507,527  
Gulfport Energy Corp. *
    8,400       448,644  
Kodiak Oil & Gas Corp. *
    98,484       1,530,441  
McDermott International, Inc. *
    82,800       604,440  
Oasis Petroleum, Inc. *
    900       48,105  
Range Resources Corp.
    9,000       680,310  
Scorpio Tankers, Inc.
    40,400       379,356  
Seadrill Ltd.
    63,837       2,314,730  
                 
              15,865,758  
 
Food & Staples Retailing 1.2%
The Fresh Market, Inc. *
    10,400       311,272  
United Natural Foods, Inc. *
    32,900       1,928,598  
                 
              2,239,870  
 
Food, Beverage & Tobacco 0.0%
Snyder’s-Lance, Inc.
    3,200       79,392  
 
Health Care Equipment & Services 2.2%
Acadia Healthcare Co., Inc. *
    17,306       824,804  
Community Health Systems, Inc. *
    52,131       2,486,649  
Intuitive Surgical, Inc. *
    700       320,285  
Tenet Healthcare Corp. *
    9,600       506,592  
                 
              4,138,330  
 
Insurance 1.0%
RLI Corp.
    46,400       1,983,136  
 
Materials 2.9%
Eagle Materials, Inc.
    8,347       758,075  
FMC Corp.
    27,900       1,819,638  
Louisiana-Pacific Corp. *
    19,300       261,322  
MeadWestvaco Corp.
    3,900       163,020  
Southern Copper Corp.
    28,885       949,161  
Vulcan Materials Co.
    23,400       1,477,242  
                 
              5,428,458  
 
Media 1.0%
DreamWorks Animation SKG, Inc., Class A *
    39,400       788,000  
Loral Space & Communications, Inc. *
    5,400       390,420  
Sirius XM Holdings, Inc. *
    223,300       754,754  
                 
              1,933,174  
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Perrigo Co., plc
    1,700       255,765  
 
Real Estate 1.3%
American Realty Capital Properties, Inc.
    189,300       2,481,723  
 
Retailing 3.2%
Cabela’s, Inc. *
    35,900       2,095,124  
CarMax, Inc. *
    52,200       2,547,882  
Restoration Hardware Holdings, Inc. *
    16,263       1,330,151  
                 
              5,973,157  
 
Semiconductors & Semiconductor Equipment 0.7%
SunEdison, Inc. *
    48,000       960,000  
 
 
 
4 

 

 
 Schwab Hedged Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
SunPower Corp. *
    10,500       385,665  
                 
              1,345,665  
 
Software & Services 4.2%
Concur Technologies, Inc. *
    13,863       1,288,704  
EPAM Systems, Inc. *
    8,500       328,610  
LinkedIn Corp., Class A *
    3,200       578,048  
NetSuite, Inc. *
    29,458       2,483,604  
Qlik Technologies, Inc. *
    59,200       1,566,432  
Rackspace Hosting, Inc. *
    20,447       619,340  
The Ultimate Software Group, Inc. *
    2,076       280,073  
WEX, Inc. *
    6,600       712,272  
                 
              7,857,083  
 
Technology Hardware & Equipment 0.9%
3D Systems Corp. *
    1,100       55,143  
Finisar Corp. *
    44       868  
Stratasys Ltd. *
    9,000       904,860  
ViaSat, Inc. *
    11,100       649,017  
                 
              1,609,888  
 
Transportation 1.7%
C.H. Robinson Worldwide, Inc.
    42,100       2,840,066  
Kansas City Southern
    3,900       425,334  
                 
              3,265,400  
 
Utilities 1.4%
ALLETE, Inc.
    8,000       375,360  
ITC Holdings Corp.
    48,374       1,746,301  
OGE Energy Corp.
    4,400       158,180  
SCANA Corp.
    4,200       213,696  
Westar Energy, Inc.
    4,200       151,368  
                 
              2,644,905  
                 
Total Short Sales
(Proceeds $71,038,694)     74,775,621  
         
 
End of Short Sale Positions.
 
* Non-income producing security
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
 
 
 5

 

 
 Schwab Hedged Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $184,335,572       $—       $—       $184,335,572  
Other Investment Company1
    2,824,125       —       —       2,824,125  
Short-Term Investment1
    —       195,996       —       195,996  
                                 
Total
    $187,159,697       $195,996       $—       $187,355,693  
                                 
                                 
                                 
 
 
 
6 

 

 
 Schwab Hedged Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
Liabilities Valuation Input
                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Financial Instruments
                               
Futures Contracts2
    ($4,590 )     $—       $—       ($4,590 )
Short Sales1
    (74,775,621 )     —       —       (74,775,621 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46826JUL14
 
 
 
 7

 

Schwab Capital Trust
Schwab Financial Services Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  99 .7%   Common Stock     61,354,006       73,924,104  
  0 .4%   Short-Term Investments     298,069       298,069  
 
 
  100 .1%   Total Investments     61,652,075       74,222,173  
  0 .1%   Collateral Invested for Securities on Loan     88,977       88,977  
  (0 .2%)   Other Assets and Liabilities, Net             (133,860 )
 
 
  100 .0%   Net Assets             74,177,290  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 99.7% of net assets
 
Banks 35.2%
Bank of America Corp.
    207,300       3,161,325  
Chemical Financial Corp.
    11,500       317,400  
Citigroup, Inc.
    101,329       4,956,001  
Fifth Third Bancorp
    33,700       690,176  
First Bancorp
    10,600       170,448  
First Defiance Financial Corp.
    8,700       234,987  
First Interstate BancSystem, Inc.
    11,500       300,150  
Huntington Bancshares, Inc.
    69,000       677,580  
JPMorgan Chase & Co.
    85,200       4,913,484  
Regions Financial Corp.
    82,500       836,550  
S&T Bancorp, Inc.
    5,100       124,083  
The PNC Financial Services Group, Inc.
    26,900       2,220,864  
Wells Fargo & Co.
    125,000       6,362,500  
WSFS Financial Corp.
    16,000       1,145,440  
                 
              26,110,988  
 
Diversified Financials 22.1%
Affiliated Managers Group, Inc. *
    7,700       1,534,225  
Berkshire Hathaway, Inc., Class B *
    28,100       3,524,583  
Calamos Asset Management, Inc., Class A
    2,800       33,208  
Capital One Financial Corp.
    31,400       2,497,556  
Cash America International, Inc.
    12,000       532,680  
Discover Financial Services
    2,800       170,968  
Franklin Resources, Inc.
    7,861       425,673  
Interactive Brokers Group, Inc., Class A
    19,700       453,396  
Investment Technology Group, Inc. *
    27,905       510,382  
Lazard Ltd., Class A
    29,736       1,555,193  
Morgan Stanley
    42,000       1,358,280  
Nelnet, Inc., Class A
    13,100       540,113  
SEI Investments Co.
    14,200       508,644  
The Bank of New York Mellon Corp.
    10,635       415,190  
Voya Financial, Inc.
    29,400       1,090,740  
Waddell & Reed Financial, Inc., Class A
    22,800       1,203,612  
                 
              16,354,443  
 
Insurance 22.6%
Aflac, Inc.
    15,700       937,918  
American Equity Investment Life Holding Co.
    50,200       1,111,428  
American International Group, Inc.
    11,700       608,166  
AMERISAFE, Inc.
    4,800       175,680  
AmTrust Financial Services, Inc. (a)
    2,100       89,544  
Aspen Insurance Holdings Ltd.
    16,600       664,166  
Assurant, Inc.
    4,000       253,440  
Assured Guaranty Ltd.
    36,600       816,912  
Axis Capital Holdings Ltd.
    6,400       276,160  
CNA Financial Corp.
    38,072       1,422,751  
CNO Financial Group, Inc.
    68,800       1,113,184  
Everest Re Group Ltd.
    3,400       530,094  
Genworth Financial, Inc., Class A *
    69,473       910,096  
MetLife, Inc.
    29,500       1,551,700  
Prudential Financial, Inc.
    10,900       947,973  
Reinsurance Group of America, Inc.
    15,100       1,211,926  
Symetra Financial Corp.
    66,900       1,525,320  
The Allstate Corp.
    13,102       765,812  
The Hanover Insurance Group, Inc.
    4,100       237,021  
The Travelers Cos., Inc.
    15,000       1,343,400  
Validus Holdings Ltd.
    7,900       288,587  
                 
              16,781,278  
 
Real Estate 19.8%
Ashford Hospitality Trust, Inc.
    47,100       542,121  
Brandywine Realty Trust
    74,200       1,153,810  
CBRE Group, Inc., Class A *
    51,900       1,600,596  
Cedar Realty Trust, Inc.
    36,600       230,580  
Chesapeake Lodging Trust
    16,500       489,720  
DCT Industrial Trust, Inc.
    68,200       534,006  
Duke Realty Corp.
    75,600       1,360,044  
DuPont Fabros Technology, Inc.
    11,400       312,474  
Equity Lifestyle Properties, Inc.
    12,700       562,483  
Host Hotels & Resorts, Inc.
    24,500       532,630  
PS Business Parks, Inc.
    15,610       1,287,825  
Retail Properties of America, Inc., Class A
    11,000       165,550  
RLJ Lodging Trust
    49,100       1,376,764  
Saul Centers, Inc.
    6,800       324,156  
Select Income REIT
    28,300       785,325  
Simon Property Group, Inc.
    9,900       1,665,081  
SL Green Realty Corp.
    16,273       1,754,230  
                 
              14,677,395  
                 
Total Common Stock
(Cost $61,354,006)     73,924,104  
         
                 
                 
 
 
 
 1

 

 
 Schwab Financial Services Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 0.4% of net assets
 
Time Deposit 0.4%
Wells Fargo
0.03%, 08/01/14
    275,069       275,069  
 
U.S. Treasury Obligation 0.0%
U.S. Treasury Bill
0.02%, 09/18/14 (b)(c)
    23,000       23,000  
                 
Total Short-Term Investments
(Cost $298,069)     298,069  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.1% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (d)
    88,977       88,977  
                 
Total Collateral Invested for Securities on Loan
(Cost $88,977)     88,977  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14, the tax basis cost of the fund’s investments was $61,669,792 and the unrealized appreciation and depreciation were $13,694,308 and ($1,141,927), respectively, with a net unrealized appreciation of $12,552,381.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $85,067.
(b) The rate shown is the purchase yield.
(c) All or a portion of this security is held as collateral for open futures contracts.
(d) The rate shown is the 7-day yield.
 
     
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
S&P 500 Index, e-mini, Long, expires 09/19/14
    2       192,480       (353 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing
 
 
 
2 

 

 
 Schwab Financial Services Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
 3

 

 
 Schwab Financial Services Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $73,924,104       $—       $—       $73,924,104  
Short-Term Investments1
    —       298,069       —       298,069  
                                 
Total
    $73,924,104       $298,069       $—       $74,222,173  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $88,977       $—       $—       $88,977  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($353 )     $—       $—       ($353 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46836JUL14
 
 
 
4 

 

Schwab Capital Trust
Schwab Health Care Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .7%   Common Stock     721,504,991       945,080,074  
  2 .4%   Short-Term Investments     22,810,562       22,810,562  
 
 
  101 .1%   Total Investments     744,315,553       967,890,636  
  0 .8%   Collateral Invested for Securities on Loan     7,607,777       7,607,777  
  (1 .9%)   Other Assets and Liabilities, Net             (18,089,529 )
 
 
  100 .0%   Net Assets             957,408,884  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 98.7% of net assets
 
Denmark 1.2%
                 
 
Health Care Equipment & Services 1.2%
Coloplast A/S, Class B
    137,656       11,639,181  
 
Germany 1.8%
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 1.8%
Merck KGaA
    196,910       17,412,749  
 
Ireland 0.4%
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.4%
Actavis plc *
    9,300       1,992,618  
Endo International plc *
    25,800       1,730,664  
                 
              3,723,282  
 
Israel 2.4%
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 2.4%
Taro Pharmaceutical Industries Ltd. *
    5,988       845,865  
Teva Pharmaceutical Industries Ltd.
    414,129       22,174,911  
                 
              23,020,776  
 
Japan 3.8%
                 
 
Health Care Equipment & Services 0.7%
Alfresa Holdings Corp.
    76,400       4,561,119  
BML, Inc.
    6,600       263,544  
Hogy Medical Co., Ltd.
    12,500       698,113  
Nihon Kohden Corp.
    21,800       1,071,126  
                 
              6,593,902  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 3.1%
Astellas Pharma, Inc.
    60,000       813,636  
Chugai Pharmaceutical Co., Ltd.
    385,100       12,817,246  
Kaken Pharmaceutical Co., Ltd.
    108,000       2,413,133  
Kyowa Hakko Kirin Co., Ltd.
    544,000       7,473,795  
Mitsubishi Tanabe Pharma Corp.
    184,400       2,678,521  
Shionogi & Co., Ltd.
    119,200       2,573,398  
Sumitomo Dainippon Pharma Co., Ltd.
    69,200       845,978  
                 
              29,615,707  
                 
              36,209,609  
 
Malaysia 0.0%
                 
 
Health Care Equipment & Services 0.0%
Kossan Rubber Industries
    128,800       161,522  
 
Republic of Korea 0.1%
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Bukwang Pharmaceutical Co., Ltd.
    22,780       370,046  
Hanmi Pharm Co., Ltd. *
    5,842       492,220  
                 
              862,266  
 
South Africa 0.1%
                 
 
Health Care Equipment & Services 0.1%
Netcare Ltd.
    236,136       677,950  
 
Switzerland 8.7%
                 
 
Health Care Equipment & Services 0.0%
Straumann Holding AG - Reg’d
    836       197,266  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 8.7%
Actelion Ltd. - Reg’d *
    113,277       13,605,231  
Lonza Group AG - Reg’d *
    165,759       18,381,614  
Novartis AG - Reg’d
    279,624       24,326,894  
Roche Holding AG
    91,587       26,579,058  
                 
              82,892,797  
                 
              83,090,063  
 
United Kingdom 2.2%
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 2.2%
AstraZeneca plc
    143,944       10,510,274  
GlaxoSmithKline plc
    135,000       3,253,329  
Shire plc
    92,372       7,602,986  
                 
              21,366,589  
 
United States 78.0%
                 
 
Health Care Equipment & Services 23.8%
Aetna, Inc.
    333,100       25,825,243  
Alere, Inc. *
    85,600       3,424,000  
Align Technology, Inc. *
    275,900       14,956,539  
Alliance HealthCare Services, Inc. *
    17,700       505,335  
AMN Healthcare Services, Inc. *
    60,000       786,000  
AngioDynamics, Inc. *
    58,500       854,100  
 
 
 
 1

 

 
 Schwab Health Care Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Anika Therapeutics, Inc. *
    56,100       2,359,566  
Becton, Dickinson & Co.
    47,400       5,509,776  
Boston Scientific Corp. *
    832,900       10,644,462  
C.R. Bard, Inc.
    93,500       13,953,005  
Cardinal Health, Inc.
    273,600       19,603,440  
Centene Corp. *
    95,300       6,870,177  
CONMED Corp.
    70,500       2,749,500  
CorVel Corp. *
    27,100       1,091,588  
DaVita HealthCare Partners, Inc. *
    44,800       3,155,712  
Express Scripts Holding Co. *
    156,000       10,865,400  
Globus Medical, Inc., Class A *
    86,500       1,928,950  
Greatbatch, Inc. *
    111,928       5,541,555  
Health Net, Inc. *
    128,200       5,280,558  
Hill-Rom Holdings, Inc.
    121,900       4,802,860  
Kindred Healthcare, Inc.
    369,930       8,841,327  
LifePoint Hospitals, Inc. *
    73,200       5,249,904  
Magellan Health, Inc. *
    85,300       4,913,280  
McKesson Corp.
    101,500       19,473,790  
Medtronic, Inc.
    122,200       7,544,628  
Molina Healthcare, Inc. *
    121,000       4,942,850  
NuVasive, Inc. *
    87,900       3,285,702  
Omnicell, Inc. *
    15,200       416,480  
PharMerica Corp. *
    48,800       1,317,112  
Premier, Inc., Class A *
    78,900       2,232,870  
Quality Systems, Inc.
    127,200       1,972,872  
St. Jude Medical, Inc.
    84,300       5,495,517  
Stryker Corp.
    67,100       5,352,567  
Symmetry Medical, Inc. *
    100,000       881,000  
The Providence Service Corp. *
    49,200       1,948,812  
Thoratec Corp. *
    88,800       2,886,000  
UnitedHealth Group, Inc.
    67,600       5,478,980  
VCA, Inc. *
    130,600       4,870,074  
                 
              227,811,531  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 54.2%
AbbVie, Inc.
    830,900       43,489,306  
Affymetrix, Inc. *
    221,900       1,908,340  
Agilent Technologies, Inc.
    26,700       1,497,603  
Alexion Pharmaceuticals, Inc. *
    35,300       5,612,347  
Allergan, Inc.
    78,700       13,053,182  
Amgen, Inc.
    308,000       39,236,120  
Arena Pharmaceuticals, Inc. *(a)
    111,200       514,856  
Bio-Rad Laboratories, Inc., Class A *
    68,000       7,819,320  
BioCryst Pharmaceuticals, Inc. *
    154,600       1,935,592  
Biogen Idec, Inc. *
    113,000       37,786,070  
Bristol-Myers Squibb Co.
    485,900       24,596,258  
Celgene Corp. *
    367,600       32,036,340  
Covance, Inc. *
    15,400       1,292,368  
Dyax Corp. *
    342,800       3,229,176  
Eli Lilly & Co.
    325,800       19,893,348  
Emergent Biosolutions, Inc. *
    57,800       1,271,600  
Gilead Sciences, Inc. *
    501,900       45,948,945  
Johnson & Johnson
    715,400       71,604,386  
Ligand Pharmaceuticals, Inc. *
    59,229       2,912,290  
Merck & Co., Inc.
    1,151,500       65,336,110  
Mylan, Inc. *
    89,600       4,423,552  
Myriad Genetics, Inc. *(a)
    48,100       1,736,410  
Nektar Therapeutics *
    76,000       801,800  
PDL BioPharma, Inc. (a)
    580,900       5,448,842  
Pfizer, Inc.
    2,253,400       64,672,580  
Repligen Corp. *
    32,900       689,913  
Sagent Pharmaceuticals, Inc. *
    109,200       2,782,416  
Salix Pharmaceuticals Ltd. *
    47,912       6,320,072  
The Medicines Co. *
    13,700       320,169  
Threshold Pharmaceuticals, Inc. *
    201,900       849,999  
United Therapeutics Corp. *
    110,900       10,085,246  
                 
              519,104,556  
                 
              746,916,087  
                 
Total Common Stock
(Cost $721,504,991)     945,080,074  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.4% of net assets
 
Time Deposits 2.3%
Brown Brothers Harriman
Swiss Franc
               
0.00%, 08/01/14
    1,579,981       1,738,631  
DNB
US Dollar
               
0.03%, 08/01/14
    10,074,221       10,074,221  
Wells Fargo
US Dollar
               
0.03%, 08/01/14
    10,141,727       10,141,727  
                 
              21,954,579  
 
U.S. Treasury Obligation 0.1%
U.S. Treasury Bill
0.02%, 09/18/14 (b)(c)
    856,000       855,983  
                 
Total Short-Term Investments
(Cost $22,810,562)     22,810,562  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.8% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (d)
    7,607,777       7,607,777  
                 
Total Collateral Invested for Securities on Loan
(Cost $7,607,777)     7,607,777  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14, the tax basis cost of the fund’s investments was $744,789,632 and the unrealized appreciation and depreciation were $226,865,070 and ($3,764,066), respectively, with a net unrealized appreciation of $223,101,004.
 
 
 
2 

 

 
 Schwab Health Care Fund
 

 
Portfolio Holdings (Unaudited) continued
 
At 07/31/14, the values of certain foreign securities held by the fund aggregating $193,594,840 were adjusted from their closing market values in accordance with international fair valuation procedures approved by the fund’s Board of Trustees.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $7,314,777.
(b) All or a portion of this security is held as collateral for open futures contracts.
(c) The rate shown is the purchase yield.
(d) The rate shown is the 7-day yield.
 
     
Reg’d —
  Registered
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
S&P 500 Index, e-mini, Long, expires 09/19/14
    54       5,196,960       (9,532 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
 
 
 3

 

 
 Schwab Health Care Fund
 

 
Portfolio Holdings (Unaudited) continued
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. In addition, international securities whose markets close hours before the funds value their holdings may require fair valuations due to significant movement in the U.S. markets occurring after the daily close of the foreign markets. The Board has approved a vendor that calculates fair valuations of international equity securities based on a number of factors that appear to correlate to the movements in the U.S. markets. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
4 

 

 
 Schwab Health Care Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $750,639,369       $—       $—       $750,639,369  
Denmark1
    —       11,639,181       —       11,639,181  
Germany1
    —       17,412,749       —       17,412,749  
Israel
                               
Pharmaceuticals, Biotechnology & Life Sciences
    845,865       22,174,911       —       23,020,776  
Japan1
    —       36,209,609       —       36,209,609  
Malaysia1
    —       161,522       —       161,522  
Republic of Korea1
    —       862,266       —       862,266  
South Africa1
    —       677,950       —       677,950  
Switzerland1
    —       83,090,063       —       83,090,063  
United Kingdom1
    —       21,366,589       —       21,366,589  
Short-Term Investments1
    —       22,810,562       —       22,810,562  
                                 
Total
    $751,485,234       $216,405,402       $—       $967,890,636  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $7,607,777       $—       $—       $7,607,777  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($9,532 )     $—       $—       ($9,532 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were security transfers in the amount of $130,410 from Level 1 to Level 2 for the period ended July 31, 2014. The transfers between Level 1 and Level 2 were primarily due to the use of international fair valuation by the fund. There were no transfers in or out of Level 3 during the period.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46837JUL14
 
 
 
 5

 

Schwab Capital Trust
Schwab® International Core Equity Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .0%   Common Stock     204,463,434       223,362,640  
  1 .2%   Other Investment Company     2,830,558       2,830,558  
  0 .9%   Short-Term Investment     1,999,960       1,999,960  
 
 
  99 .1%   Total Investments     209,293,952       228,193,158  
  0 .9%   Other Assets and Liabilities, Net             1,994,540  
 
 
  100 .0%   Net Assets             230,187,698  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 97.0% of net assets
 
Australia 7.4%
                 
 
Banks 1.5%
Australia & New Zealand Banking Group Ltd.
    9,790       305,660  
Westpac Banking Corp.
    96,449       3,067,082  
                 
              3,372,742  
                 
 
Commercial & Professional Supplies 0.6%
Downer EDI Ltd.
    28,894       128,876  
Transpacific Industries Group Ltd. *
    1,268,358       1,261,634  
                 
              1,390,510  
                 
 
Diversified Financials 0.9%
Challenger Ltd.
    282,086       2,088,978  
                 
 
Energy 0.9%
Woodside Petroleum Ltd.
    51,635       2,026,877  
                 
 
Health Care Equipment & Services 0.4%
Sigma Pharmaceuticals Ltd.
    1,363,627       985,521  
                 
 
Materials 1.3%
Arrium Ltd.
    468,618       352,113  
BHP Billiton Ltd.
    22,271       790,764  
CSR Ltd.
    335,801       1,167,865  
Mount Gibson Iron Ltd.
    792,116       530,345  
                 
              2,841,087  
                 
 
Media 0.1%
Fairfax Media Ltd.
    374,902       295,082  
                 
 
Software & Services 0.8%
Computershare Ltd.
    150,605       1,817,474  
                 
 
Telecommunication Services 0.6%
Telstra Corp., Ltd.
    267,141       1,354,700  
                 
 
Utilities 0.3%
AGL Energy Ltd.
    55,666       758,780  
                 
              16,931,751  
 
Belgium 1.1%
                 
 
Energy 0.2%
Exmar N.V.
    34,069       525,863  
                 
 
Food & Staples Retailing 0.9%
Delhaize Group S.A.
    30,175       1,969,133  
                 
              2,494,996  
 
Brazil 0.7%
                 
 
Consumer Durables & Apparel 0.0%
MRV Engenharia e Participacoes S.A.
    11,900       38,185  
                 
 
Food, Beverage & Tobacco 0.7%
Sao Martinho S.A.
    99,384       1,663,737  
                 
              1,701,922  
 
Canada 0.5%
                 
 
Commercial & Professional Supplies 0.1%
Transcontinental, Inc., Class A
    21,410       273,135  
                 
 
Materials 0.3%
Potash Corp. of Saskatchewan, Inc.
    2,700       95,856  
Teck Resources Ltd., Class B
    30,200       723,737  
                 
              819,593  
                 
 
Media 0.1%
Cogeco Cable, Inc.
    2,200       122,313  
                 
              1,215,041  
 
Denmark 2.3%
                 
 
Health Care Equipment & Services 0.3%
Coloplast A/S, Class B
    8,494       718,191  
                 
 
Transportation 2.0%
AP Moeller - Maersk A/S, Series B
    1,957       4,562,389  
                 
              5,280,580  
 
Finland 0.8%
                 
 
Materials 0.8%
UPM-Kymmene Oyj
    110,122       1,794,830  
 
France 10.5%
                 
 
Automobiles & Components 1.4%
Compagnie Generale des Etablissements Michelin
    28,685       3,146,730  
                 
 
Capital Goods 1.7%
Vinci S.A.
    56,277       3,883,839  
                 
 
Energy 2.4%
Total S.A.
    85,309       5,501,976  
                 
 
Food & Staples Retailing 0.2%
Casino Guichard Perrachon S.A.
    2,306       277,931  
 
 
 
 1

 

 
 Schwab International Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Rallye S.A.
    5,524       277,167  
                 
              555,098  
                 
 
Health Care Equipment & Services 0.5%
BioMerieux
    10,992       1,143,801  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 2.9%
Sanofi
    63,141       6,629,226  
                 
 
Telecommunication Services 0.6%
Orange S.A.
    95,807       1,500,271  
                 
 
Utilities 0.8%
GDF Suez
    73,933       1,906,325  
                 
              24,267,266  
 
Germany 9.0%
                 
 
Automobiles & Components 1.9%
Bayerische Motoren Werke AG
    10,696       1,274,107  
Continental AG
    12,826       2,762,263  
Daimler AG - Reg’d
    5,157       425,549  
                 
              4,461,919  
                 
 
Capital Goods 1.1%
Siemens AG - Reg’d
    20,027       2,473,257  
                 
 
Consumer Durables & Apparel 0.1%
Hugo Boss AG
    2,278       326,861  
                 
 
Insurance 2.0%
Allianz SE - Reg’d
    23,278       3,875,463  
Hannover Rueck SE
    9,375       800,284  
                 
              4,675,747  
                 
 
Materials 0.7%
BASF SE
    15,507       1,604,880  
                 
 
Media 1.5%
ProSiebenSat.1 Media AG - Reg’d
    79,863       3,348,532  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 1.4%
Merck KGaA
    35,213       3,113,885  
                 
 
Semiconductors & Semiconductor Equipment 0.3%
Infineon Technologies AG
    58,282       642,181  
                 
              20,647,262  
 
Greece 0.1%
                 
 
Consumer Services 0.1%
OPAP S.A.
    19,136       311,850  
 
Hong Kong 2.1%
                 
 
Capital Goods 1.1%
Hutchison Whampoa Ltd.
    167,000       2,265,428  
Jardine Strategic Holdings Ltd.
    7,500       268,060  
                 
              2,533,488  
                 
 
Real Estate 1.0%
Cheung Kong (Holdings) Ltd.
    113,000       2,183,103  
                 
              4,716,591  
 
Israel 0.3%
                 
 
Banks 0.3%
Bank Leumi Le-Israel B.M. *
    163,210       640,875  
 
Italy 2.2%
                 
 
Automobiles & Components 0.5%
Pirelli & C. S.p.A
    76,930       1,147,275  
                 
 
Banks 1.2%
Intesa Sanpaolo S.p.A.
    903,898       2,684,236  
                 
 
Consumer Services 0.1%
Autogrill S.p.A. *
    32,862       279,650  
                 
 
Real Estate 0.1%
Beni Stabili S.p.A.
    323,342       262,525  
                 
 
Telecommunication Services 0.3%
Telecom Italia S.p.A. *
    653,369       752,871  
                 
              5,126,557  
 
Japan 19.8%
                 
 
Banks 4.0%
Mizuho Financial Group, Inc.
    1,910,200       3,708,599  
Resona Holdings, Inc.
    716,400       3,992,194  
The Bank of Yokohama Ltd.
    252,000       1,433,913  
                 
              9,134,706  
                 
 
Capital Goods 2.2%
Komatsu Ltd.
    130,800       2,900,792  
Mitsubishi Electric Corp.
    167,000       2,204,656  
                 
              5,105,448  
                 
 
Commercial & Professional Supplies 0.4%
Dai Nippon Printing Co., Ltd.
    14,000       143,617  
Duskin Co., Ltd.
    37,800       689,921  
                 
              833,538  
                 
 
Consumer Durables & Apparel 1.4%
Gunze Ltd.
    375,869       1,025,818  
Panasonic Corp.
    170,600       2,127,113  
                 
              3,152,931  
                 
 
Consumer Services 0.3%
Oriental Land Co., Ltd.
    3,800       713,588  
                 
 
Diversified Financials 1.7%
Daiwa Securities Group, Inc.
    327,000       2,745,486  
ORIX Corp.
    66,900       1,081,189  
                 
              3,826,675  
                 
 
Food, Beverage & Tobacco 0.4%
Kirin Holdings Co., Ltd.
    43,000       602,741  
Yamazaki Baking Co., Ltd.
    17,000       215,175  
                 
              817,916  
                 
 
Health Care Equipment & Services 0.1%
Fukuda Denshi Co., Ltd.
    4,100       233,562  
                 
 
Household & Personal Products 0.3%
Kao Corp.
    19,300       793,697  
                 
 
Insurance 0.9%
T&D Holdings, Inc.
    162,300       2,036,959  
                 
 
Media 0.3%
Daiichikosho Co., Ltd.
    1,995       59,179  
SKY Perfect JSAT Holdings, Inc.
    121,870       722,670  
                 
              781,849  
                 
 
Real Estate 0.2%
Daito Trust Construction Co., Ltd.
    3,900       470,051  
 
 
 
2 

 

 
 Schwab International Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Retailing 0.9%
Canon Marketing Japan, Inc.
    107,182       2,183,786  
                 
 
Software & Services 1.2%
Capcom Co., Ltd.
    67,400       1,231,067  
Fujitsu Ltd.
    203,000       1,556,092  
                 
              2,787,159  
                 
 
Technology Hardware & Equipment 3.1%
Canon, Inc.
    105,000       3,435,101  
FUJIFILM Holdings Corp.
    107,700       3,074,385  
Murata Manufacturing Co., Ltd.
    3,800       362,236  
The Nippon Signal Co., Ltd.
    16,100       150,809  
                 
              7,022,531  
                 
 
Telecommunication Services 2.0%
Nippon Telegraph & Telephone Corp.
    68,700       4,561,972  
                 
 
Transportation 0.4%
Central Japan Railway Co.
    2,845       404,052  
West Japan Railway Co.
    13,500       612,310  
                 
              1,016,362  
                 
              45,472,730  
 
Malaysia 0.1%
                 
 
Real Estate 0.1%
Eastern & Oriental Bhd
    359,700       327,590  
 
Mexico 0.1%
                 
 
Food, Beverage & Tobacco 0.1%
Industrias Bachoco S.A.B. de CV, Series B
    28,661       126,958  
 
Netherlands 1.5%
                 
 
Consumer Durables & Apparel 0.2%
TomTom N.V. *
    60,869       442,483  
                 
 
Food & Staples Retailing 1.2%
Koninklijke Ahold N.V.
    163,791       2,855,912  
                 
 
Food, Beverage & Tobacco 0.1%
Nutreco N.V.
    4,593       196,209  
                 
              3,494,604  
 
New Zealand 0.2%
                 
 
Media 0.2%
SKY Network Television Ltd.
    79,760       455,665  
 
Norway 1.1%
                 
 
Energy 1.0%
Statoil A.S.A.
    84,156       2,404,721  
                 
 
Food, Beverage & Tobacco 0.1%
Austevoll Seafood A.S.A.
    15,622       105,118  
                 
              2,509,839  
 
Portugal 0.0%
                 
 
Food & Staples Retailing 0.0%
Sonae
    54,671       82,157  
 
Republic of Korea 0.5%
                 
 
Semiconductors & Semiconductor Equipment 0.2%
Samsung Electronics Co., Ltd.
    269       348,144  
                 
 
Technology Hardware & Equipment 0.3%
LG Display Co., Ltd. *
    21,390       702,184  
                 
              1,050,328  
 
Singapore 2.9%
                 
 
Banks 1.9%
DBS Group Holdings Ltd.
    299,000       4,356,228  
                 
 
Food, Beverage & Tobacco 0.2%
Indofood Agri Resources Ltd.
    616,603       477,213  
                 
 
Real Estate 0.2%
UOL Group Ltd.
    106,000       561,588  
                 
 
Retailing 0.5%
Jardine Cycle & Carriage Ltd.
    29,000       1,077,636  
                 
 
Transportation 0.1%
Singapore Airlines Ltd.
    35,000       289,009  
                 
              6,761,674  
 
Spain 2.0%
                 
 
Banks 0.2%
Banco Santander S.A.
    51,969       522,148  
                 
 
Capital Goods 0.1%
Sacyr S.A. *
    56,644       319,312  
                 
 
Energy 0.6%
Repsol S.A.
    56,006       1,396,652  
                 
 
Utilities 1.1%
Endesa S.A.
    64,035       2,467,009  
                 
              4,705,121  
 
Sweden 3.3%
                 
 
Banks 0.6%
Swedbank AB, A Shares
    51,736       1,325,353  
                 
 
Capital Goods 0.5%
Trelleborg AB, B Shares
    62,447       1,195,963  
                 
 
Consumer Durables & Apparel 0.1%
Husqvarna AB, B Shares
    39,093       308,343  
                 
 
Food & Staples Retailing 0.3%
Axfood AB
    13,433       684,678  
                 
 
Real Estate 0.5%
Wihlborgs Fastigheter AB
    66,579       1,238,884  
                 
 
Retailing 0.2%
Hennes & Mauritz AB, B Shares
    10,339       422,673  
                 
 
Technology Hardware & Equipment 1.1%
Telefonaktiebolaget LM Ericsson, B Shares
    193,260       2,406,450  
                 
              7,582,344  
 
Switzerland 8.9%
                 
 
Capital Goods 0.1%
Bucher Industries AG - Reg’d
    708       212,847  
 
 
 
 3

 

 
 Schwab International Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Consumer Durables & Apparel 0.3%
Forbo Holding AG - Reg’d *
    626       612,051  
                 
 
Diversified Financials 0.4%
UBS AG - Reg’d *
    57,845       993,865  
                 
 
Food, Beverage & Tobacco 3.3%
Nestle S.A. - Reg’d
    102,632       7,598,874  
                 
 
Insurance 1.6%
Baloise Holding AG - Reg’d
    16,818       2,024,975  
Zurich Insurance Group AG *
    5,800       1,684,956  
                 
              3,709,931  
                 
 
Materials 0.1%
Givaudan S.A. - Reg’d *
    225       368,008  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 3.1%
Actelion Ltd. - Reg’d *
    12,936       1,553,689  
Lonza Group AG - Reg’d *
    6,508       721,695  
Novartis AG - Reg’d
    39,866       3,468,286  
Roche Holding AG
    4,673       1,356,131  
                 
              7,099,801  
                 
              20,595,377  
 
United Kingdom 19.6%
                 
 
Banks 0.6%
HSBC Holdings plc
    120,284       1,289,554  
                 
 
Capital Goods 0.2%
QinetiQ Group plc
    135,049       470,645  
                 
 
Commercial & Professional Supplies 0.9%
Berendsen plc
    113,098       1,994,712  
                 
 
Consumer Durables & Apparel 0.4%
Barratt Developments plc
    154,941       908,959  
                 
 
Consumer Services 0.1%
Carnival plc
    8,970       323,123  
                 
 
Diversified Financials 1.9%
Investec plc
    195,512       1,691,068  
Man Group plc
    1,337,945       2,674,101  
                 
              4,365,169  
                 
 
Energy 3.9%
BP plc
    430,593       3,506,638  
Royal Dutch Shell plc, B Shares
    98,607       4,246,193  
Soco International plc *
    180,984       1,310,227  
                 
              9,063,058  
                 
 
Food & Staples Retailing 0.1%
Greggs plc
    26,062       229,666  
                 
 
Food, Beverage & Tobacco 0.9%
Associated British Foods plc
    41,511       1,943,207  
                 
 
Household & Personal Products 0.3%
Reckitt Benckiser Group plc
    8,140       718,578  
                 
 
Insurance 0.6%
Old Mutual plc
    441,922       1,453,822  
                 
 
Materials 2.2%
Anglo American plc
    27,446       737,089  
BHP Billiton plc
    36,330       1,239,289  
Rio Tinto plc
    54,454       3,112,264  
                 
              5,088,642  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 2.1%
AstraZeneca plc
    45,631       3,331,812  
Shire plc
    18,683       1,537,767  
                 
              4,869,579  
                 
 
Real Estate 0.7%
Grainger plc
    451,750       1,636,185  
                 
 
Retailing 2.2%
Next plc
    28,684       3,273,760  
WH Smith plc
    91,586       1,742,930  
                 
              5,016,690  
                 
 
Technology Hardware & Equipment 0.1%
Pace plc
    25,545       137,357  
                 
 
Telecommunication Services 2.0%
BT Group plc
    557,646       3,650,850  
Vodafone Group plc
    276,642       921,243  
                 
              4,572,093  
                 
 
Transportation 0.4%
easyJet plc
    45,317       987,693  
                 
              45,068,732  
                 
Total Common Stock
(Cost $204,463,434)     223,362,640  
         
                 
                 
 
 Other Investment Company 1.2% of net assets
 
Money Market Fund 1.2%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (c)
    2,830,558       2,830,558  
                 
Total Other Investment Company
(Cost $2,830,558)     2,830,558  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investment 0.9% of net assets
 
U.S. Treasury Obligation 0.9%
U.S. Treasury Bill
0.02%, 09/18/14 (a)(b)
    2,000,000       1,999,960  
                 
Total Short-Term Investment
(Cost $1,999,960)     1,999,960  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $209,494,057 and the unrealized appreciation and depreciation were $22,652,228 and ($3,953,127), respectively, with a net unrealized appreciation of $18,699,101.
 
 
 
4 

 

 
 Schwab International Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
At 07/31/14, the values of certain foreign securities held by the fund aggregating $217,878,189 were adjusted from their closing market values in accordance with international fair valuation procedures approved by the fund’s Board of Trustees.
 
* Non-income producing security.
(a) All or a portion of this security is held as collateral for open futures contracts.
(b) The rate shown is the purchase yield.
(c) The rate shown is the 7-day yield.
 
     
Reg’d —
  Registered
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
MSCI EAFE, e-mini Long, expires 09/19/14
    53       5,075,280       (78,499 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective NAVs.
 
 
 
 5

 

 
 Schwab International Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. In addition, international securities whose markets close hours before the funds value their holdings may require fair valuations due to significant movement in the U.S. markets occurring after the daily close of the foreign markets. The Board has approved a vendor that calculates fair valuations of international equity securities based on a number of factors that appear to correlate to the movements in the U.S. markets. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $—       $167,873,732       $—       $167,873,732  
Brazil1
    1,701,922       —       —       1,701,922  
Canada1
    1,215,041       —       —       1,215,041  
France1
    —       23,123,465       —       23,123,465  
Health Care Equipment & Services
    1,143,801       —       —       1,143,801  
Mexico1
    126,958       —       —       126,958  
 
 
 
6 

 

 
 Schwab International Core Equity Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Sweden1
    $—       $6,897,666       $—       $6,897,666  
Food & Staples Retailing
    684,678       —       —       684,678  
Switzerland1
    —       19,983,326       —       19,983,326  
Consumer Durables & Apparel
    612,051       —       —       612,051  
Other Investment Company1
    2,830,558       —       —       2,830,558  
Short-Term Investment1
    —       1,999,960       —       1,999,960  
                                 
Total
    $8,315,009       $219,878,149       $—       $228,193,158  
                                 
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($78,499 )     $—       $—       ($78,499 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were security transfers in the amount of $188,076 and $512,489 from Level 1 to Level 2 and from Level 2 to Level 1, respectively, for the period ended July 31, 2014. The transfers between Level 1 and Level 2 were primarily due to the use of international fair valuation by the fund. There were no transfers in or out of Level 3 during the period.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46827JUL14
 
 
 
 7

 

Schwab Capital Trust
Schwab Fundamental US Large Company Index Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  99 .1%   Common Stock     2,782,681,329       3,804,558,622  
  0 .6%   Other Investment Company     23,731,170       23,731,170  
  0 .1%   Short-Term Investment     4,599,908       4,599,908  
 
 
  99 .8%   Total Investments     2,811,012,407       3,832,889,700  
  0 .4%   Collateral Invested for Securities on Loan     16,334,200       16,334,200  
  (0 .2%)   Other Assets and Liabilities, Net             (9,123,724 )
 
 
  100 .0%   Net Assets             3,840,100,176  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 99.1% of net assets
 
Automobiles & Components 1.0%
BorgWarner, Inc.
    28,000       1,743,000  
Dana Holding Corp.
    38,400       859,392  
Ford Motor Co.
    636,674       10,836,192  
General Motors Co.
    260,700       8,816,874  
Harley-Davidson, Inc.
    37,860       2,340,505  
Johnson Controls, Inc.
    149,310       7,053,404  
Lear Corp.
    25,100       2,363,667  
The Goodyear Tire & Rubber Co.
    53,190       1,338,792  
TRW Automotive Holdings Corp. *
    28,650       2,930,609  
Visteon Corp. *
    13,700       1,308,350  
                 
              39,590,785  
 
Banks 5.5%
Bank of America Corp.
    3,004,660       45,821,065  
BB&T Corp.
    140,075       5,185,576  
CIT Group, Inc.
    22,000       1,080,420  
Citigroup, Inc.
    584,433       28,584,618  
Comerica, Inc.
    30,700       1,542,982  
Fifth Third Bancorp
    166,890       3,417,907  
Hudson City Bancorp, Inc.
    163,190       1,591,103  
Huntington Bancshares, Inc.
    145,427       1,428,093  
JPMorgan Chase & Co.
    840,642       48,479,824  
KeyCorp
    183,490       2,484,455  
M&T Bank Corp.
    19,186       2,331,099  
New York Community Bancorp, Inc. (b)
    101,130       1,605,944  
People’s United Financial, Inc.
    58,500       849,420  
Regions Financial Corp.
    314,725       3,191,312  
SunTrust Banks, Inc.
    113,960       4,336,178  
The PNC Financial Services Group, Inc.
    89,245       7,368,067  
U.S. Bancorp
    283,400       11,911,302  
Wells Fargo & Co.
    742,825       37,809,792  
Zions Bancorp
    39,835       1,148,045  
                 
              210,167,202  
 
Capital Goods 7.3%
3M Co.
    114,075       16,072,027  
AECOM Technology Corp. *
    36,900       1,252,755  
AGCO Corp.
    28,540       1,390,183  
Alliant Techsystems, Inc.
    7,920       1,029,046  
AMETEK, Inc.
    17,800       866,682  
Armstrong World Industries, Inc. *
    12,200       593,896  
Caterpillar, Inc.
    125,745       12,668,809  
Cummins, Inc.
    31,284       4,360,677  
Danaher Corp.
    53,600       3,959,968  
Deere & Co.
    88,786       7,556,576  
Dover Corp.
    35,675       3,059,488  
Eaton Corp. plc
    58,599       3,980,044  
EMCOR Group, Inc.
    23,840       975,771  
Emerson Electric Co.
    167,450       10,658,193  
Exelis, Inc.
    86,455       1,455,902  
Fastenal Co.
    29,340       1,301,229  
Flowserve Corp.
    22,475       1,664,049  
Fluor Corp.
    60,540       4,411,550  
Fortune Brands Home & Security, Inc.
    15,000       566,850  
Foster Wheeler AG
    40,200       1,324,992  
General Dynamics Corp.
    91,925       10,734,082  
General Electric Co.
    1,982,625       49,863,019  
Harsco Corp.
    43,035       1,087,494  
Honeywell International, Inc.
    109,540       10,059,058  
Hubbell, Inc., Class B
    9,130       1,067,662  
Illinois Tool Works, Inc.
    73,670       6,068,198  
Ingersoll-Rand plc
    71,342       4,194,196  
Jacobs Engineering Group, Inc. *
    40,940       2,080,161  
Joy Global, Inc.
    28,900       1,712,614  
KBR, Inc.
    78,000       1,611,480  
Kennametal, Inc.
    17,700       748,356  
L-3 Communications Holdings, Inc.
    51,435       5,398,618  
Lincoln Electric Holdings, Inc.
    12,500       830,500  
Lockheed Martin Corp.
    70,135       11,710,441  
Masco Corp.
    78,150       1,625,520  
MRC Global, Inc. *
    26,900       721,727  
Northrop Grumman Corp.
    102,295       12,609,905  
Oshkosh Corp.
    26,920       1,244,242  
Owens Corning
    34,950       1,190,048  
PACCAR, Inc.
    66,942       4,168,478  
Pall Corp.
    12,440       963,727  
Parker Hannifin Corp.
    37,717       4,335,569  
Pentair plc
    16,437       1,053,119  
Precision Castparts Corp.
    12,416       2,840,781  
Quanta Services, Inc. *
    45,800       1,533,842  
 
 
 
 1

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Raytheon Co.
    106,410       9,658,836  
Rockwell Automation, Inc.
    14,550       1,624,653  
Rockwell Collins, Inc.
    27,930       2,046,431  
Roper Industries, Inc.
    7,400       1,066,118  
Snap-on, Inc.
    10,200       1,226,040  
SPX Corp.
    15,335       1,520,159  
Stanley Black & Decker, Inc.
    26,203       2,291,452  
Textron, Inc.
    67,920       2,470,250  
The Boeing Co.
    79,940       9,631,171  
The Timken Co.
    20,065       888,880  
Trinity Industries, Inc.
    28,000       1,221,920  
United Rentals, Inc. *
    14,900       1,577,910  
United Technologies Corp.
    189,015       19,874,927  
URS Corp.
    43,293       2,479,390  
W.W. Grainger, Inc.
    10,235       2,406,760  
WESCO International, Inc. *
    14,600       1,145,954  
Xylem, Inc.
    31,855       1,124,163  
                 
              280,856,538  
 
Commercial & Professional Supplies 0.9%
Cintas Corp.
    28,050       1,755,930  
Equifax, Inc.
    19,130       1,455,602  
Iron Mountain, Inc.
    48,380       1,621,214  
Manpowergroup, Inc.
    42,190       3,286,179  
Nielsen N.V.
    21,600       995,976  
Pitney Bowes, Inc.
    89,705       2,427,417  
R.R. Donnelley & Sons Co.
    155,940       2,707,118  
Republic Services, Inc.
    66,124       2,508,083  
Robert Half International, Inc.
    38,810       1,888,107  
The ADT Corp.
    47,600       1,656,480  
The Dun & Bradstreet Corp.
    10,800       1,188,324  
Tyco International Ltd.
    145,600       6,282,640  
Waste Management, Inc.
    152,655       6,852,683  
                 
              34,625,753  
 
Consumer Durables & Apparel 1.0%
Coach, Inc.
    72,575       2,508,192  
D.R. Horton, Inc.
    49,890       1,032,723  
Fossil Group, Inc. *
    7,500       735,000  
Garmin Ltd.
    28,670       1,577,997  
Harman International Industries, Inc.
    11,820       1,283,061  
Hasbro, Inc.
    34,665       1,731,864  
Jarden Corp. *
    18,615       1,040,579  
Leggett & Platt, Inc.
    49,520       1,624,256  
Mattel, Inc.
    70,935       2,512,872  
Mohawk Industries, Inc. *
    10,135       1,264,544  
Newell Rubbermaid, Inc.
    55,750       1,810,760  
NIKE, Inc., Class B
    109,956       8,480,906  
NVR, Inc. *
    1,553       1,749,392  
PVH Corp.
    6,500       716,170  
Ralph Lauren Corp.
    11,720       1,826,679  
Tupperware Brands Corp.
    10,200       742,356  
VF Corp.
    45,080       2,762,052  
Whirlpool Corp.
    24,155       3,445,469  
                 
              36,844,872  
 
Consumer Services 1.6%
Apollo Education Group, Inc. *
    86,850       2,425,720  
Brinker International, Inc.
    26,755       1,199,694  
Carnival Corp.
    80,245       2,906,474  
Chipotle Mexican Grill, Inc. *
    1,487       1,000,008  
Darden Restaurants, Inc.
    48,445       2,264,804  
DeVry Education Group, Inc.
    21,200       847,364  
Graham Holdings Co., Class B
    1,820       1,248,065  
H&R Block, Inc.
    47,465       1,525,050  
International Game Technology
    75,655       1,280,839  
Las Vegas Sands Corp.
    14,700       1,085,595  
Marriott International, Inc., Class A
    35,789       2,315,906  
McDonald’s Corp.
    229,480       21,699,629  
MGM Resorts International *
    51,715       1,388,031  
Royal Caribbean Cruises Ltd.
    34,105       2,034,363  
Service Corp. International
    50,800       1,066,800  
Starbucks Corp.
    57,080       4,433,974  
Starwood Hotels & Resorts Worldwide, Inc.
    29,170       2,241,423  
Wyndham Worldwide Corp.
    30,240       2,284,632  
Wynn Resorts Ltd.
    10,600       2,259,920  
Yum! Brands, Inc.
    69,130       4,797,622  
                 
              60,305,913  
 
Diversified Financials 3.0%
Ally Financial, Inc. *
    19,200       440,832  
American Express Co.
    133,325       11,732,600  
Ameriprise Financial, Inc.
    27,600       3,300,960  
Berkshire Hathaway, Inc., Class B *
    211,111       26,479,653  
BlackRock, Inc.
    9,800       2,986,354  
Capital One Financial Corp.
    108,620       8,639,635  
CME Group, Inc.
    33,000       2,440,020  
Discover Financial Services
    62,122       3,793,169  
E*TRADE Financial Corp. *
    31,700       666,334  
Franklin Resources, Inc.
    74,120       4,013,598  
Invesco Ltd.
    60,000       2,257,800  
Legg Mason, Inc.
    39,220       1,860,989  
Leucadia National Corp.
    24,000       593,040  
McGraw Hill Financial, Inc.
    57,480       4,611,046  
Moody’s Corp.
    22,170       1,928,790  
Morgan Stanley
    186,135       6,019,606  
Northern Trust Corp.
    32,260       2,157,871  
PHH Corp. *
    44,290       1,034,171  
State Street Corp.
    52,536       3,700,636  
T. Rowe Price Group, Inc.
    35,245       2,737,127  
The Bank of New York Mellon Corp.
    149,952       5,854,126  
The Charles Schwab Corp. (a)
    112,515       3,122,291  
The Goldman Sachs Group, Inc.
    86,311       14,920,583  
The NASDAQ OMX Group, Inc.
    24,300       1,025,217  
                 
              116,316,448  
 
Energy 16.0%
Alpha Natural Resources, Inc. *(b)
    215,400       730,206  
Anadarko Petroleum Corp.
    74,415       7,951,243  
Apache Corp.
    92,220       9,467,305  
Arch Coal, Inc. (b)
    252,700       750,519  
Baker Hughes, Inc.
    104,749       7,203,589  
Cameron International Corp. *
    36,880       2,615,161  
 
 
 
2 

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Chesapeake Energy Corp.
    175,120       4,617,914  
Chevron Corp.
    778,205       100,575,214  
Cimarex Energy Co.
    9,145       1,271,338  
ConocoPhillips
    906,610       74,795,325  
CONSOL Energy, Inc.
    39,235       1,523,103  
Denbury Resources, Inc.
    57,500       974,625  
Devon Energy Corp.
    120,540       9,100,770  
Diamond Offshore Drilling, Inc. (b)
    35,820       1,676,018  
Dresser-Rand Group, Inc. *
    14,700       874,797  
Energen Corp.
    13,310       1,086,495  
EOG Resources, Inc.
    45,200       4,946,688  
EQT Corp.
    10,000       938,200  
Exxon Mobil Corp.
    1,851,684       183,205,615  
FMC Technologies, Inc. *
    29,480       1,792,384  
Halliburton Co.
    148,965       10,277,095  
Helmerich & Payne, Inc.
    12,295       1,306,467  
Hess Corp.
    116,050       11,486,629  
HollyFrontier Corp.
    48,202       2,265,976  
Kinder Morgan, Inc.
    73,900       2,658,922  
Marathon Oil Corp.
    381,390       14,778,862  
Marathon Petroleum Corp.
    117,695       9,825,179  
Murphy Oil Corp.
    111,875       6,950,794  
Nabors Industries Ltd.
    107,000       2,906,120  
National Oilwell Varco, Inc.
    77,223       6,258,152  
Newfield Exploration Co. *
    45,100       1,817,530  
Noble Energy, Inc.
    32,670       2,172,228  
Occidental Petroleum Corp.
    176,470       17,242,884  
Oceaneering International, Inc.
    11,400       774,174  
Oil States International, Inc. *
    10,000       612,900  
ONEOK, Inc.
    38,820       2,501,173  
Patterson-UTI Energy, Inc.
    40,900       1,404,915  
Peabody Energy Corp.
    136,045       2,063,803  
Phillips 66
    399,455       32,399,795  
Pioneer Natural Resources Co.
    6,300       1,395,198  
QEP Resources, Inc.
    43,950       1,452,547  
Schlumberger Ltd.
    180,700       19,586,073  
SEACOR Holdings, Inc. *
    12,000       911,520  
Seadrill Ltd. (b)
    67,800       2,458,428  
Southwestern Energy Co. *
    30,940       1,255,545  
Spectra Energy Corp.
    104,660       4,282,687  
Tesoro Corp.
    72,560       4,465,342  
The Williams Cos., Inc.
    106,975       6,057,994  
Valero Energy Corp.
    408,425       20,747,990  
Western Refining, Inc.
    22,300       913,408  
World Fuel Services Corp.
    65,500       2,813,225  
WPX Energy, Inc. *
    102,058       2,099,333  
                 
              614,239,397  
 
Food & Staples Retailing 4.0%
Casey’s General Stores, Inc.
    13,312       880,855  
Costco Wholesale Corp.
    136,015       15,987,203  
CVS Caremark Corp.
    443,535       33,868,333  
Safeway, Inc.
    226,740       7,813,460  
SUPERVALU, Inc. *
    276,120       2,532,020  
Sysco Corp.
    244,740       8,734,771  
The Kroger Co.
    245,020       12,001,080  
United Natural Foods, Inc. *
    11,900       697,578  
Wal-Mart Stores, Inc.
    691,625       50,889,767  
Walgreen Co.
    293,270       20,168,178  
Whole Foods Market, Inc.
    51,300       1,960,686  
                 
              155,533,931  
 
Food, Beverage & Tobacco 5.1%
Altria Group, Inc.
    438,080       17,786,048  
Archer-Daniels-Midland Co.
    327,005       15,173,032  
Brown-Forman Corp., Class B
    18,050       1,564,033  
Bunge Ltd.
    112,675       8,883,297  
Campbell Soup Co.
    47,830       1,989,250  
Coca-Cola Enterprises, Inc.
    77,695       3,531,238  
ConAgra Foods, Inc.
    141,005       4,248,481  
Constellation Brands, Inc., Class A *
    16,205       1,349,228  
Dr Pepper Snapple Group, Inc.
    54,000       3,173,040  
General Mills, Inc.
    117,410       5,888,111  
Hormel Foods Corp.
    25,420       1,150,509  
Ingredion, Inc.
    16,300       1,200,169  
Kellogg Co.
    56,980       3,409,113  
Kraft Foods Group, Inc.
    119,600       6,408,766  
Lorillard, Inc.
    78,954       4,775,138  
McCormick & Co., Inc. - Non Voting Shares
    18,140       1,193,249  
Mead Johnson Nutrition Co.
    12,900       1,179,576  
Molson Coors Brewing Co., Class B
    24,980       1,686,899  
Mondelez International, Inc., Class A
    453,692       16,332,912  
Monster Beverage Corp. *
    10,000       639,600  
PepsiCo, Inc.
    300,208       26,448,325  
Philip Morris International, Inc.
    337,620       27,688,216  
Reynolds American, Inc.
    66,250       3,700,062  
The Coca-Cola Co.
    568,430       22,333,615  
The Hershey Co.
    15,150       1,335,473  
The Hillshire Brands Co.
    89,800       5,636,746  
The JM Smucker Co.
    24,825       2,473,563  
Tyson Foods, Inc., Class A
    126,280       4,698,879  
                 
              195,876,568  
 
Health Care Equipment & Services 5.8%
Abbott Laboratories
    398,290       16,775,975  
Aetna, Inc.
    128,332       9,949,580  
AmerisourceBergen Corp.
    106,340       8,178,609  
Baxter International, Inc.
    120,660       9,012,095  
Becton, Dickinson & Co.
    49,255       5,725,401  
Boston Scientific Corp. *
    249,665       3,190,719  
C.R. Bard, Inc.
    17,400       2,596,602  
Cardinal Health, Inc.
    158,720       11,372,288  
CareFusion Corp. *
    33,310       1,458,645  
Catamaran Corp. *
    12,800       582,272  
Cigna Corp.
    34,109       3,071,174  
Community Health Systems, Inc. *
    49,462       2,359,337  
Covidien plc
    72,970       6,312,635  
DaVita HealthCare Partners, Inc. *
    25,420       1,790,585  
DENTSPLY International, Inc.
    20,135       934,667  
Express Scripts Holding Co. *
    90,340       6,292,181  
HCA Holdings, Inc. *
    138,400       9,038,904  
Health Net, Inc. *
    75,870       3,125,085  
Henry Schein, Inc. *
    15,030       1,747,237  
 
 
 
 3

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Humana, Inc.
    61,340       7,216,651  
Intuitive Surgical, Inc. *
    1,979       905,491  
Laboratory Corp. of America Holdings *
    16,530       1,713,996  
LifePoint Hospitals, Inc. *
    17,730       1,271,596  
Magellan Health, Inc. *
    16,600       956,160  
McKesson Corp.
    78,800       15,118,568  
Medtronic, Inc.
    202,465       12,500,189  
Omnicare, Inc.
    32,710       2,044,375  
Owens & Minor, Inc.
    41,502       1,373,301  
Patterson Cos., Inc.
    28,175       1,099,107  
Quest Diagnostics, Inc.
    57,055       3,486,060  
St. Jude Medical, Inc.
    56,060       3,654,551  
Stryker Corp.
    52,145       4,159,607  
Tenet Healthcare Corp. *
    26,393       1,392,759  
UnitedHealth Group, Inc.
    345,875       28,033,169  
Universal Health Services, Inc., Class B
    15,450       1,646,970  
Varian Medical Systems, Inc. *
    16,820       1,381,763  
WellCare Health Plans, Inc. *
    13,600       848,368  
WellPoint, Inc.
    239,970       26,351,106  
Zimmer Holdings, Inc.
    41,740       4,176,922  
                 
              222,844,700  
 
Household & Personal Products 2.0%
Avon Products, Inc.
    169,625       2,239,050  
Church & Dwight Co., Inc.
    17,700       1,135,986  
Colgate-Palmolive Co.
    138,760       8,797,384  
Energizer Holdings, Inc.
    10,620       1,218,751  
Herbalife Ltd. (b)
    17,400       911,760  
Kimberly-Clark Corp.
    69,920       7,262,591  
The Clorox Co.
    20,320       1,765,198  
The Estee Lauder Cos., Inc., Class A
    22,520       1,654,319  
The Procter & Gamble Co.
    669,995       51,804,014  
                 
              76,789,053  
 
Insurance 3.1%
ACE Ltd.
    48,400       4,844,840  
Aflac, Inc.
    83,440       4,984,705  
American Financial Group, Inc.
    21,440       1,200,426  
American International Group, Inc.
    186,080       9,672,438  
Aon plc
    35,636       3,006,253  
Arch Capital Group Ltd. *
    31,975       1,709,064  
Assurant, Inc.
    36,055       2,284,445  
Axis Capital Holdings Ltd.
    37,650       1,624,597  
Cincinnati Financial Corp.
    39,980       1,839,880  
Everest Re Group Ltd.
    10,525       1,640,953  
FNF Group *
    60,925       1,651,677  
Genworth Financial, Inc., Class A *
    107,400       1,406,940  
HCC Insurance Holdings, Inc.
    21,800       1,017,624  
Lincoln National Corp.
    43,980       2,304,112  
Loews Corp.
    80,182       3,378,068  
Marsh & McLennan Cos., Inc.
    77,150       3,916,905  
MetLife, Inc.
    125,505       6,601,563  
PartnerRe Ltd.
    19,330       2,017,279  
Principal Financial Group, Inc.
    40,085       1,991,423  
Prudential Financial, Inc.
    76,940       6,691,472  
Reinsurance Group of America, Inc.
    14,000       1,123,640  
RenaissanceRe Holdings Ltd.
    16,825       1,645,653  
The Allstate Corp.
    128,355       7,502,350  
The Chubb Corp.
    94,975       8,235,282  
The Hartford Financial Services Group, Inc.
    144,310       4,929,630  
The Progressive Corp.
    204,345       4,789,847  
The Travelers Cos., Inc.
    211,595       18,950,448  
Torchmark Corp.
    30,465       1,606,724  
Unum Group
    72,825       2,500,082  
W. R. Berkley Corp.
    36,360       1,622,020  
White Mountains Insurance Group Ltd.
    1,829       1,106,380  
XL Group plc
    49,685       1,601,844  
                 
              119,398,564  
 
Materials 3.9%
Air Products & Chemicals, Inc.
    39,375       5,195,531  
Airgas, Inc.
    13,200       1,411,344  
Albemarle Corp.
    16,600       1,018,244  
Alcoa, Inc.
    590,505       9,678,377  
Allegheny Technologies, Inc.
    41,511       1,562,889  
AptarGroup, Inc.
    17,700       1,081,470  
Ashland, Inc.
    15,535       1,625,738  
Avery Dennison Corp.
    30,250       1,428,102  
Ball Corp.
    40,680       2,492,057  
Bemis Co., Inc.
    31,755       1,238,763  
Celanese Corp., Series A
    25,200       1,466,892  
CF Industries Holdings, Inc.
    9,271       2,320,902  
Cliffs Natural Resources, Inc. (b)
    92,700       1,617,615  
Commercial Metals Co.
    71,845       1,238,608  
Crown Holdings, Inc. *
    19,600       912,380  
Domtar Corp.
    43,182       1,551,097  
E.I. du Pont de Nemours & Co.
    139,845       8,993,432  
Eastman Chemical Co.
    29,320       2,309,830  
Ecolab, Inc.
    17,491       1,898,298  
FMC Corp.
    14,680       957,430  
Freeport-McMoRan, Inc.
    348,370       12,966,331  
Huntsman Corp.
    55,915       1,456,586  
International Flavors & Fragrances, Inc.
    12,035       1,215,415  
International Paper Co.
    119,695       5,685,512  
LyondellBasell Industries N.V., Class A
    93,100       9,891,875  
MeadWestvaco Corp.
    50,540       2,112,572  
Monsanto Co.
    57,495       6,502,109  
Newmont Mining Corp.
    200,710       4,999,686  
Nucor Corp.
    120,180       6,035,440  
Owens-Illinois, Inc. *
    45,645       1,423,668  
Packaging Corp. of America
    13,345       882,905  
PPG Industries, Inc.
    21,300       4,225,068  
Praxair, Inc.
    47,670       6,108,434  
Reliance Steel & Aluminum Co.
    30,720       2,096,640  
Rock-Tenn Co., Class A
    8,700       865,041  
Rockwood Holdings, Inc.
    11,300       892,022  
RPM International, Inc.
    25,265       1,116,208  
Sealed Air Corp.
    39,375       1,264,725  
Sigma-Aldrich Corp.
    17,630       1,770,405  
Sonoco Products Co.
    28,955       1,133,299  
Southern Copper Corp.
    44,922       1,476,137  
 
 
 
4 

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Steel Dynamics, Inc.
    100,450       2,130,544  
The Dow Chemical Co.
    263,400       13,451,838  
The Mosaic Co.
    90,610       4,178,027  
The Sherwin-Williams Co.
    8,445       1,741,612  
The Valspar Corp.
    15,650       1,174,532  
United States Steel Corp.
    97,895       3,278,504  
Vulcan Materials Co.
    22,423       1,415,564  
                 
              151,489,698  
 
Media 3.7%
Cablevision Systems Corp., Class A
    104,565       2,009,739  
CBS Corp., Class B - Non Voting Shares
    105,890       6,017,729  
Charter Communications, Inc., Class A *
    13,900       2,147,828  
Comcast Corp., Class A
    385,540       20,715,064  
DIRECTV *
    174,940       15,053,587  
Discovery Communications, Inc., Class A *
    30,467       2,596,093  
DISH Network Corp., Class A *
    31,370       1,940,548  
Gannett Co., Inc.
    78,730       2,576,046  
News Corp., Class A *
    36,200       638,930  
Omnicom Group, Inc.
    60,304       4,220,677  
Scripps Networks Interactive, Inc., Class A
    12,200       1,005,402  
The Interpublic Group of Cos., Inc.
    73,805       1,454,696  
The Walt Disney Co.
    294,650       25,304,542  
Thomson Reuters Corp. (b)
    91,700       3,467,177  
Time Warner Cable, Inc.
    68,909       9,998,696  
Time Warner, Inc.
    294,588       24,456,696  
Twenty-First Century Fox, Inc., Class A
    293,820       9,308,218  
Viacom, Inc., Class B
    101,600       8,399,272  
                 
              141,310,940  
 
Pharmaceuticals, Biotechnology & Life Sciences 5.5%
AbbVie, Inc.
    161,200       8,437,208  
Actavis plc *
    23,406       5,014,970  
Agilent Technologies, Inc.
    49,805       2,793,562  
Allergan, Inc.
    20,030       3,322,176  
Amgen, Inc.
    155,355       19,790,673  
Biogen Idec, Inc. *
    9,850       3,293,742  
Bristol-Myers Squibb Co.
    271,550       13,745,861  
Celgene Corp. *
    31,400       2,736,510  
Covance, Inc. *
    9,900       830,808  
Eli Lilly & Co.
    224,455       13,705,222  
Endo International plc *
    14,800       992,784  
Gilead Sciences, Inc. *
    105,720       9,678,666  
Hospira, Inc. *
    28,950       1,605,857  
Johnson & Johnson
    474,195       47,462,178  
Merck & Co., Inc.
    471,057       26,727,774  
Mettler-Toledo International, Inc. *
    3,600       925,704  
Mylan, Inc. *
    36,275       1,790,897  
Pfizer, Inc.
    1,505,799       43,216,431  
Thermo Fisher Scientific, Inc.
    39,545       4,804,717  
Waters Corp. *
    10,800       1,117,152  
Zoetis, Inc.
    23,600       776,676  
                 
              212,769,568  
 
Real Estate 1.1%
American Capital Agency Corp.
    26,500       612,680  
American Tower Corp.
    15,365       1,450,302  
Annaly Capital Management, Inc.
    324,985       3,607,334  
Apartment Investment & Management Co., Class A
    36,054       1,232,326  
AvalonBay Communities, Inc.
    7,599       1,125,260  
Boston Properties, Inc.
    14,690       1,754,721  
Crown Castle International Corp.
    17,980       1,333,756  
Equity Residential
    37,845       2,446,679  
General Growth Properties, Inc.
    43,100       1,007,247  
HCP, Inc.
    42,365       1,759,419  
Health Care REIT, Inc.
    16,600       1,056,258  
Hospitality Properties Trust
    36,455       1,041,519  
Host Hotels & Resorts, Inc.
    91,978       1,999,602  
Kimco Realty Corp.
    50,560       1,131,533  
Plum Creek Timber Co., Inc.
    30,095       1,245,030  
Prologis, Inc.
    27,600       1,126,356  
Public Storage
    12,630       2,167,434  
Rayonier, Inc.
    23,202       790,260  
Simon Property Group, Inc.
    21,376       3,595,229  
The Macerich Co.
    12,500       812,625  
Ventas, Inc.
    23,178       1,471,803  
Vornado Realty Trust REIT
    22,828       2,420,225  
Weyerhaeuser Co.
    251,157       7,866,237  
                 
              43,053,835  
 
Retailing 4.4%
Aaron’s, Inc.
    33,400       881,092  
Abercrombie & Fitch Co., Class A
    40,410       1,589,729  
Advance Auto Parts, Inc.
    14,345       1,737,323  
Amazon.com, Inc. *
    10,650       3,333,344  
American Eagle Outfitters, Inc.
    124,635       1,328,609  
AutoNation, Inc. *
    22,000       1,173,040  
AutoZone, Inc. *
    2,823       1,459,576  
Bed Bath & Beyond, Inc. *
    58,065       3,674,934  
Best Buy Co., Inc.
    247,500       7,358,175  
Big Lots, Inc.
    48,565       2,124,719  
CarMax, Inc. *
    31,180       1,521,896  
Core-Mark Holding Co., Inc.
    30,600       1,444,320  
CST Brands, Inc.
    25,100       839,093  
Dick’s Sporting Goods, Inc.
    19,400       825,082  
Dillard’s, Inc., Class A
    11,975       1,427,660  
Dollar General Corp. *
    53,100       2,932,713  
Dollar Tree, Inc. *
    43,934       2,393,085  
Expedia, Inc.
    24,765       1,966,836  
Family Dollar Stores, Inc.
    24,775       1,851,931  
Foot Locker, Inc.
    45,495       2,162,377  
GameStop Corp., Class A
    63,490       2,664,675  
Genuine Parts Co.
    41,300       3,420,466  
Guess?, Inc.
    27,900       725,679  
J.C. Penney Co., Inc. *(b)
    364,000       3,414,320  
Kohl’s Corp.
    134,495       7,200,862  
L Brands, Inc.
    46,220       2,679,373  
Liberty Interactive Corp., Class A *
    123,420       3,461,931  
Lowe’s Cos., Inc.
    376,255       18,003,802  
Macy’s, Inc.
    98,020       5,664,576  
Murphy USA, Inc. *
    21,500       1,062,530  
 
 
 
 5

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Nordstrom, Inc.
    39,755       2,752,239  
O’Reilly Automotive, Inc. *
    14,130       2,119,500  
PetSmart, Inc.
    28,640       1,951,530  
Rent-A-Center, Inc.
    41,970       1,004,762  
Ross Stores, Inc.
    28,790       1,854,076  
Sears Holdings Corp. *(b)
    57,921       2,209,686  
Signet Jewelers Ltd.
    13,900       1,414,881  
Staples, Inc.
    519,150       6,016,948  
Target Corp.
    320,895       19,122,133  
The Gap, Inc.
    108,975       4,370,987  
The Home Depot, Inc.
    278,996       22,556,827  
The Priceline Group, Inc. *
    1,084       1,346,816  
The TJX Cos., Inc.
    125,060       6,664,447  
Tiffany & Co.
    16,135       1,574,937  
Tractor Supply Co.
    16,400       1,019,588  
Urban Outfitters, Inc. *
    24,300       868,239  
Williams-Sonoma, Inc.
    23,545       1,579,163  
                 
              168,750,507  
 
Semiconductors & Semiconductor Equipment 2.6%
Altera Corp.
    39,850       1,303,892  
Analog Devices, Inc.
    52,565       2,608,801  
Applied Materials, Inc.
    291,325       6,106,172  
Avago Technologies Ltd.
    17,200       1,193,336  
Broadcom Corp., Class A
    95,045       3,636,422  
Intel Corp.
    1,688,610       57,226,993  
KLA-Tencor Corp.
    31,780       2,271,952  
Lam Research Corp.
    25,700       1,799,000  
Linear Technology Corp.
    30,355       1,339,718  
Marvell Technology Group Ltd.
    120,230       1,603,868  
Maxim Integrated Products, Inc.
    56,200       1,647,222  
Microchip Technology, Inc.
    30,880       1,390,218  
Micron Technology, Inc. *
    131,375       4,013,506  
NVIDIA Corp.
    89,037       1,558,147  
Texas Instruments, Inc.
    263,470       12,185,487  
Xilinx, Inc.
    41,120       1,691,266  
                 
              101,576,000  
 
Software & Services 6.6%
Accenture plc, Class A
    92,595       7,340,932  
Activision Blizzard, Inc.
    56,700       1,268,946  
Adobe Systems, Inc. *
    51,240       3,541,196  
Alliance Data Systems Corp. *
    5,880       1,542,265  
Amdocs Ltd.
    39,500       1,790,930  
AOL, Inc. *
    50,680       1,953,714  
Autodesk, Inc. *
    24,900       1,328,415  
Automatic Data Processing, Inc.
    69,380       5,641,288  
Booz Allen Hamilton Holding Corp.
    10,000       222,400  
Broadridge Financial Solutions, Inc.
    30,200       1,219,174  
CA, Inc.
    67,705       1,955,320  
CACI International, Inc., Class A *
    10,600       731,294  
Citrix Systems, Inc. *
    16,600       1,124,318  
Cognizant Technology Solutions Corp., Class A *
    41,000       2,011,050  
Computer Sciences Corp.
    65,145       4,064,397  
CoreLogic, Inc. *
    64,400       1,751,680  
eBay, Inc. *
    116,275       6,139,320  
Electronic Arts, Inc. *
    24,100       809,760  
Facebook, Inc., Class A *
    12,600       915,390  
Fidelity National Information Services, Inc.
    57,623       3,249,937  
Fiserv, Inc. *
    42,300       2,608,641  
Google, Inc., Class A *
    11,996       6,952,282  
Google, Inc., Class C *
    12,072       6,900,355  
IAC/InterActiveCorp
    22,162       1,489,286  
International Business Machines Corp.
    283,295       54,299,153  
Intuit, Inc.
    36,055       2,955,428  
Leidos Holdings, Inc.
    53,900       1,991,066  
MasterCard, Inc., Class A
    58,838       4,362,838  
Microsoft Corp.
    1,822,715       78,668,379  
Oracle Corp.
    477,060       19,268,453  
Paychex, Inc.
    48,560       1,991,446  
Science Applications International Corp.
    5,800       242,266  
Symantec Corp.
    172,445       4,080,049  
Teradata Corp. *
    22,300       940,168  
The Western Union Co.
    176,410       3,081,883  
Total System Services, Inc.
    37,270       1,192,640  
Visa, Inc., Class A
    17,300       3,650,473  
Xerox Corp.
    446,926       5,926,239  
Yahoo! Inc. *
    73,405       2,628,633  
                 
              251,831,404  
 
Technology Hardware & Equipment 4.8%
Amphenol Corp., Class A
    19,600       1,884,932  
Anixter International, Inc.
    10,520       904,404  
Apple, Inc.
    378,275       36,151,742  
Arrow Electronics, Inc. *
    55,195       3,198,550  
Avnet, Inc.
    73,980       3,131,573  
Cisco Systems, Inc.
    1,168,965       29,492,987  
Corning, Inc.
    269,860       5,302,749  
EMC Corp.
    263,510       7,720,843  
Harris Corp.
    34,525       2,357,022  
Hewlett-Packard Co.
    1,560,575       55,572,076  
Ingram Micro, Inc., Class A *
    177,755       5,101,569  
Jabil Circuit, Inc.
    95,395       1,904,084  
Juniper Networks, Inc. *
    112,670       2,652,252  
Lexmark International, Inc., Class A
    30,445       1,462,273  
Motorola Solutions, Inc.
    67,845       4,320,370  
NetApp, Inc.
    34,830       1,352,797  
QUALCOMM, Inc.
    126,885       9,351,424  
SanDisk Corp.
    23,565       2,161,146  
SYNNEX Corp. *
    14,500       935,250  
Tech Data Corp. *
    56,940       3,575,263  
Vishay Intertechnology, Inc.
    65,040       958,039  
Western Digital Corp.
    33,500       3,344,305  
                 
              182,835,650  
 
Telecommunication Services 4.3%
AT&T, Inc.
    2,306,085       82,073,565  
CenturyLink, Inc.
    164,255       6,445,366  
Frontier Communications Corp.
    560,098       3,668,642  
Sprint Corp. *
    776,457       5,706,959  
Telephone & Data Systems, Inc.
    67,227       1,680,675  
Verizon Communications, Inc.
    1,189,830       59,991,229  
 
 
 
6 

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Windstream Holdings, Inc. (b)
    344,900       3,952,554  
                 
              163,518,990  
 
Transportation 1.7%
Avis Budget Group, Inc. *
    44,390       2,494,274  
C.H. Robinson Worldwide, Inc.
    52,080       3,513,317  
CSX Corp.
    287,610       8,605,291  
Expeditors International of Washington, Inc.
    49,725       2,147,125  
FedEx Corp.
    81,062       11,906,387  
Hertz Global Holdings, Inc. *
    94,300       2,661,146  
J.B. Hunt Transport Services, Inc.
    13,445       1,038,761  
Kansas City Southern
    7,200       785,232  
Norfolk Southern Corp.
    60,650       6,165,679  
Ryder System, Inc.
    26,920       2,318,620  
Union Pacific Corp.
    128,712       12,653,677  
United Parcel Service, Inc., Class B
    102,960       9,996,386  
                 
              64,285,895  
 
Utilities 4.2%
AES Corp.
    274,740       4,013,951  
AGL Resources, Inc.
    23,314       1,203,935  
Alliant Energy Corp.
    28,875       1,631,438  
Ameren Corp.
    102,190       3,929,205  
American Electric Power Co., Inc.
    144,945       7,535,691  
American Water Works Co., Inc.
    31,800       1,519,086  
Atmos Energy Corp.
    32,760       1,582,963  
Calpine Corp. *
    85,650       1,887,726  
CenterPoint Energy, Inc.
    121,570       2,956,582  
CMS Energy Corp.
    69,410       2,008,031  
Consolidated Edison, Inc.
    93,325       5,234,599  
Dominion Resources, Inc.
    145,010       9,808,476  
DTE Energy Co.
    55,465       4,094,426  
Duke Energy Corp.
    126,448       9,120,694  
Edison International
    101,890       5,583,572  
Entergy Corp.
    101,317       7,378,917  
Exelon Corp.
    362,137       11,255,218  
FirstEnergy Corp.
    201,934       6,302,360  
Great Plains Energy, Inc.
    40,170       995,814  
Integrys Energy Group, Inc.
    30,635       2,008,431  
MDU Resources Group, Inc.
    55,780       1,757,628  
National Fuel Gas Co.
    12,745       878,258  
NextEra Energy, Inc.
    83,180       7,809,770  
NiSource, Inc.
    71,835       2,706,743  
Northeast Utilities
    45,115       1,980,549  
NRG Energy, Inc.
    108,726       3,366,157  
OGE Energy Corp.
    38,030       1,367,179  
Pepco Holdings, Inc.
    105,665       2,837,105  
PG&E Corp.
    141,815       6,334,876  
Pinnacle West Capital Corp.
    32,385       1,732,274  
PPL Corp.
    141,555       4,669,899  
Public Service Enterprise Group, Inc.
    173,780       6,111,843  
SCANA Corp.
    39,285       1,998,821  
Sempra Energy
    51,215       5,106,648  
TECO Energy, Inc.
    78,925       1,378,031  
The Southern Co.
    229,970       9,955,401  
UGI Corp.
    32,120       1,559,105  
Vectren Corp.
    23,100       879,879  
Westar Energy, Inc.
    30,870       1,112,555  
Wisconsin Energy Corp.
    41,040       1,788,523  
Xcel Energy, Inc.
    141,690       4,364,052  
                 
              159,746,411  
                 
Total Common Stock
(Cost $2,782,681,329)     3,804,558,622  
         
                 
                 
 
 Other Investment Company 0.6% of net assets
 
Money Market Fund 0.6%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (e)
    23,731,170       23,731,170  
                 
Total Other Investment Company
(Cost $23,731,170)     23,731,170  
         
                 
                 
Security
 		  Face Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investment 0.1% of net assets
 
U.S. Treasury Obligation 0.1%
U.S. Treasury Bill
0.02%, 09/18/14 (c)(d)
    4,600,000       4,599,908  
                 
Total Short-Term Investment
(Cost $4,599,908)     4,599,908  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.4% of net assets
                 
                 
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (e)
    16,334,200       16,334,200  
                 
Total Collateral Invested for Securities on Loan
(Cost $16,334,200)     16,334,200  
         
 
End of Collateral Invested for Securities on Loan.
 
 
 
 7

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
At 07/31/14, tax basis cost of the fund’s investments was $2,827,164,249 and the unrealized appreciation and depreciation were $1,024,626,137 and ($18,900,686), respectively, with a net unrealized appreciation of $1,005,725,451.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
(b) All or a portion of this security is on loan. Securities on loan were valued at $18,460,379. Non-Cash Collateral received for securities on loan amounted to $2,815,025.
(c) All or a portion of this security is held as collateral for open futures contracts.
(d) The rate shown is the purchase yield.
(e) The rate shown is the 7-day yield.
 
     
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
S&P 500 Index, e-mini, Long, expires 09/19/14
    280       26,947,200       (122,529 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable
 
 
 
8 

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $3,804,558,622       $—       $—       $3,804,558,622  
Other Investment Company1
    23,731,170       —       —       23,731,170  
Short-Term Investment1
    —       4,599,908       —       4,599,908  
                                 
Total
    $3,828,289,792       $4,599,908       $—       $3,832,889,700  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $16,334,200       $—       $—       $16,334,200  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($122,529 )     $—       $—       ($122,529 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
 
 
 9

 

 
 Schwab Fundamental US Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46846JUL14
 
 
 
10 

 

Schwab Capital Trust
Schwab Fundamental US Small Company Index Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  99 .5%   Common Stock     920,531,950       1,153,402,353  
  0 .0%   Rights     266,857       266,364  
  0 .5%   Other Investment Company     6,176,136       6,176,136  
  0 .1%   Short-Term Investments     547,991       547,991  
 
 
  100 .1%   Total Investments     927,522,934       1,160,392,844  
  3 .6%   Collateral Invested for Securities on Loan     41,325,159       41,325,159  
  (3 .7%)   Other Assets and Liabilities, Net             (42,663,317 )
 
 
  100 .0%   Net Assets             1,159,054,686  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 99.5% of net assets
 
Automobiles & Components 0.8%
Cooper Tire & Rubber Co.
    65,300       1,886,517  
Drew Industries, Inc.
    13,295       598,275  
Gentex Corp.
    61,500       1,777,350  
Modine Manufacturing Co. *
    13,200       181,764  
Standard Motor Products, Inc.
    3,600       129,780  
Superior Industries International, Inc.
    36,960       691,522  
Tenneco, Inc. *
    23,000       1,465,100  
Thor Industries, Inc.
    42,400       2,245,928  
Tower International, Inc. *
    4,600       144,900  
                 
              9,121,136  
 
Banks 4.5%
Associated Banc-Corp.
    111,100       1,990,912  
Astoria Financial Corp.
    83,700       1,078,056  
BancorpSouth, Inc.
    54,900       1,145,763  
Bank of Hawaii Corp.
    33,900       1,938,402  
BankUnited, Inc.
    27,700       865,348  
BOK Financial Corp.
    13,100       867,744  
Capitol Federal Financial, Inc.
    81,686       955,726  
Cathay General Bancorp
    28,400       726,756  
City National Corp.
    18,300       1,377,075  
Commerce Bancshares, Inc.
    40,304       1,816,098  
Community Bank System, Inc.
    15,100       531,973  
Cullen/Frost Bankers, Inc.
    22,800       1,777,716  
CVB Financial Corp.
    38,480       588,359  
East West Bancorp, Inc.
    40,200       1,369,212  
EverBank Financial Corp.
    9,500       180,500  
F.N.B. Corp.
    79,400       976,620  
First Citizens BancShares, Inc., Class A
    1,200       266,820  
First Financial Bancorp
    38,100       622,554  
First Financial Bankshares, Inc.
    4,600       135,148  
First Horizon National Corp.
    153,000       1,802,340  
First Niagara Financial Group, Inc.
    186,200       1,601,320  
First Republic Bank
    24,800       1,158,656  
FirstMerit Corp.
    65,801       1,158,098  
Fulton Financial Corp.
    118,200       1,340,388  
Glacier Bancorp, Inc.
    27,080       717,078  
Hancock Holding Co.
    26,300       853,172  
Iberiabank Corp.
    2,300       150,903  
International Bancshares Corp.
    36,000       912,600  
MB Financial, Inc.
    22,945       618,138  
National Penn Bancshares, Inc.
    14,700       151,410  
NBT Bancorp, Inc.
    25,755       601,894  
Northwest Bancshares, Inc.
    67,492       836,901  
Old National Bancorp
    47,025       629,195  
Popular, Inc. *
    117,900       3,761,010  
Prosperity Bancshares, Inc.
    14,200       825,446  
Provident Financial Services, Inc.
    38,190       638,155  
Signature Bank *
    5,600       640,584  
Susquehanna Bancshares, Inc.
    89,100       907,038  
SVB Financial Group *
    8,800       959,376  
Synovus Financial Corp.
    90,300       2,126,565  
TCF Financial Corp.
    128,900       2,037,909  
Trustmark Corp.
    46,000       1,059,380  
UMB Financial Corp.
    13,501       764,562  
Umpqua Holdings Corp.
    44,000       744,480  
United Bankshares, Inc.
    28,695       920,536  
Valley National Bancorp
    167,100       1,600,818  
Washington Federal, Inc.
    56,500       1,184,240  
Webster Financial Corp.
    39,600       1,135,332  
Westamerica Bancorp
    15,170       725,429  
Wintrust Financial Corp.
    14,440       669,005  
                 
              52,442,740  
 
Capital Goods 11.3%
A.O. Smith Corp.
    28,500       1,330,950  
AAR Corp.
    45,280       1,218,032  
Actuant Corp., Class A
    36,200       1,168,536  
Acuity Brands, Inc.
    17,800       1,909,406  
Aegion Corp. *
    32,815       751,792  
Air Lease Corp.
    3,800       130,910  
Aircastle Ltd.
    75,300       1,351,635  
Albany International Corp., Class A
    18,200       652,288  
Allegion plc
    12,600       648,018  
Allison Transmission Holdings, Inc.
    12,900       377,712  
American Science & Engineering, Inc.
    2,000       125,600  
Apogee Enterprises, Inc.
    23,395       759,168  
Applied Industrial Technologies, Inc.
    44,920       2,176,823  
Astec Industries, Inc.
    20,850       810,439  
AZZ, Inc.
    3,200       139,648  
 
 
 
 1

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
B/E Aerospace, Inc. *
    23,900       2,034,846  
Barnes Group, Inc.
    34,565       1,183,851  
Beacon Roofing Supply, Inc. *
    33,680       930,915  
Briggs & Stratton Corp.
    78,900       1,446,237  
Carlisle Cos., Inc.
    35,700       2,856,714  
Chart Industries, Inc. *
    8,010       609,161  
Chicago Bridge & Iron Co., N.V.
    33,498       1,987,101  
CIRCOR International, Inc.
    9,490       682,046  
CLARCOR, Inc.
    28,225       1,674,025  
Colfax Corp. *
    2,300       144,831  
Comfort Systems USA, Inc.
    12,900       192,210  
Crane Co.
    29,700       2,037,717  
Cubic Corp.
    15,190       666,233  
Curtiss-Wright Corp.
    31,900       2,025,969  
DigitalGlobe, Inc. *
    17,000       444,550  
Donaldson Co., Inc.
    63,700       2,470,923  
Dycom Industries, Inc. *
    36,270       1,019,912  
Encore Wire Corp.
    24,340       1,020,820  
EnerSys
    26,800       1,699,924  
Engility Holdings, Inc. *
    6,400       221,184  
EnPro Industries, Inc. *
    10,270       702,673  
ESCO Technologies, Inc.
    19,300       647,515  
Esterline Technologies Corp. *
    15,600       1,693,380  
Franklin Electric Co., Inc.
    19,460       713,209  
GATX Corp.
    49,100       3,044,200  
Generac Holdings, Inc. *
    21,900       950,460  
General Cable Corp.
    103,100       2,291,913  
Graco, Inc.
    22,940       1,701,001  
GrafTech International Ltd. *
    120,300       1,010,520  
Granite Construction, Inc.
    60,200       1,959,510  
Griffon Corp.
    13,500       145,395  
H&E Equipment Services, Inc. *
    23,720       858,190  
HEICO Corp.
    13,612       669,166  
Hexcel Corp. *
    31,385       1,169,091  
Hillenbrand, Inc.
    35,300       1,060,765  
Huntington Ingalls Industries, Inc.
    29,300       2,663,956  
Hyster-Yale Materials Handling, Inc.
    2,000       160,200  
IDEX Corp.
    29,900       2,267,018  
ITT Corp.
    130,100       5,980,697  
Kaman Corp.
    22,380       895,424  
Layne Christensen Co. *
    51,900       563,115  
Lennox International, Inc.
    38,100       3,250,692  
Lindsay Corp. (a)
    1,700       137,615  
Masonite International Corp. *
    5,000       245,050  
MasTec, Inc. *
    30,810       837,724  
Meritor, Inc. *
    78,700       989,259  
Moog, Inc., Class A *
    24,900       1,643,898  
MSC Industrial Direct Co., Inc., Class A
    25,500       2,174,895  
Mueller Industries, Inc.
    76,000       2,115,080  
Mueller Water Products, Inc., Class A
    108,600       841,650  
MYR Group, Inc. *
    5,800       143,898  
Navistar International Corp. *
    45,800       1,610,786  
Nordson Corp.
    22,150       1,665,015  
Orbital Sciences Corp. *
    42,955       1,102,655  
Polypore International, Inc. *
    17,500       754,250  
Quanex Building Products Corp.
    47,150       805,793  
Raven Industries, Inc.
    17,130       477,413  
RBC Bearings, Inc.
    2,200       122,056  
Regal-Beloit Corp.
    31,600       2,221,164  
Rexnord Corp. *
    7,000       188,370  
Rush Enterprises, Inc., Class A *
    27,960       985,031  
Simpson Manufacturing Co., Inc.
    27,185       826,696  
Spirit AeroSystems Holdings, Inc., Class A *
    86,100       2,804,277  
Standex International Corp.
    1,900       125,305  
TAL International Group, Inc. *
    21,290       941,018  
Teledyne Technologies, Inc. *
    18,000       1,641,600  
Tennant Co.
    10,780       786,401  
Terex Corp.
    92,500       3,192,175  
The Babcock & Wilcox Co.
    55,100       1,710,304  
The Greenbrier Cos., Inc. (a)
    16,920       1,090,494  
The Manitowoc Co., Inc.
    74,000       1,965,440  
The Middleby Corp. *
    9,624       701,205  
The Toro Co.
    37,920       2,249,794  
Titan International, Inc.
    38,275       571,063  
TransDigm Group, Inc.
    14,600       2,451,632  
TriMas Corp. *
    15,900       503,712  
Triumph Group, Inc.
    27,100       1,716,785  
Tutor Perini Corp. *
    81,300       2,213,799  
Universal Forest Products, Inc.
    37,870       1,657,949  
Valmont Industries, Inc.
    13,250       1,929,597  
WABCO Holdings, Inc. *
    22,100       2,154,308  
Wabtec Corp.
    24,220       1,954,070  
Watsco, Inc.
    18,745       1,678,990  
Watts Water Technologies, Inc., Class A
    21,755       1,271,797  
Woodward, Inc.
    38,500       1,923,460  
                 
              130,421,689  
 
Commercial & Professional Supplies 4.6%
ABM Industries, Inc.
    85,600       2,106,616  
ACCO Brands Corp. *
    29,400       194,628  
Brady Corp., Class A
    58,500       1,529,775  
Clean Harbors, Inc. *
    23,230       1,338,745  
Copart, Inc. *
    76,500       2,553,570  
Covanta Holding Corp.
    94,800       1,935,816  
Deluxe Corp.
    36,000       1,980,360  
FTI Consulting, Inc. *
    50,200       1,855,392  
G&K Services, Inc., Class A
    19,990       961,319  
Healthcare Services Group, Inc.
    34,555       903,268  
Herman Miller, Inc.
    48,310       1,412,584  
HNI Corp.
    51,400       1,816,476  
Huron Consulting Group, Inc. *
    10,100       610,444  
ICF International, Inc. *
    18,100       625,717  
IHS, Inc., Class A *
    10,710       1,406,973  
Insperity, Inc.
    28,260       901,777  
Interface, Inc.
    34,685       549,757  
KAR Auction Services, Inc.
    36,700       1,075,677  
Kelly Services, Inc., Class A
    94,000       1,498,360  
Kforce, Inc.
    37,400       743,886  
Kimball International, Inc., Class B
    15,100       238,127  
Knoll, Inc.
    44,800       753,088  
Korn/Ferry International *
    30,930       909,961  
McGrath RentCorp
    18,625       643,494  
Mobile Mini, Inc.
    3,400       128,384  
MSA Safety, Inc.
    16,825       871,198  
Navigant Consulting, Inc. *
    55,325       902,904  
On Assignment, Inc. *
    3,800       102,638  
Quad Graphics, Inc.
    64,700       1,366,464  
Resources Connection, Inc.
    72,160       1,089,616  
 
 
 
2 

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Rollins, Inc.
    22,222       629,105  
Steelcase, Inc., Class A
    130,600       1,972,060  
Stericycle, Inc. *
    18,600       2,188,290  
Team, Inc. *
    3,200       126,752  
Tetra Tech, Inc.
    46,495       1,128,898  
The Brink’s Co.
    62,500       1,677,500  
The Corporate Executive Board Co.
    16,470       1,022,293  
Towers Watson & Co., Class A
    18,615       1,899,102  
TrueBlue, Inc. *
    45,930       1,239,651  
UniFirst Corp.
    9,305       904,539  
United Stationers, Inc.
    71,700       2,766,186  
Verisk Analytics, Inc., Class A *
    31,900       1,915,276  
Viad Corp.
    33,565       712,249  
Waste Connections, Inc.
    38,900       1,841,526  
West Corp.
    6,900       177,813  
                 
              53,208,254  
 
Consumer Durables & Apparel 2.8%
Arctic Cat, Inc.
    12,200       434,320  
Brunswick Corp.
    19,300       778,369  
Callaway Golf Co.
    102,255       777,138  
Carter’s, Inc.
    24,000       1,837,440  
Columbia Sportswear Co.
    10,980       820,865  
Crocs, Inc. *
    61,760       980,131  
Deckers Outdoor Corp. *
    19,550       1,730,370  
Ethan Allen Interiors, Inc.
    28,065       643,250  
G-III Apparel Group Ltd. *
    10,600       823,302  
Hanesbrands, Inc.
    30,900       3,019,239  
Helen of Troy Ltd. *
    15,430       827,511  
Iconix Brand Group, Inc. *
    3,500       147,805  
JAKKS Pacific, Inc. *(a)
    100,725       628,524  
KB Home
    45,400       740,020  
La-Z-Boy, Inc.
    39,920       839,917  
Lennar Corp., Class A
    44,100       1,597,743  
M.D.C. Holdings, Inc.
    30,700       827,979  
Meritage Homes Corp. *
    14,900       570,670  
Michael Kors Holdings Ltd. *
    10,700       871,836  
Oxford Industries, Inc.
    2,100       125,097  
Polaris Industries, Inc.
    17,700       2,611,458  
PulteGroup, Inc.
    97,500       1,720,875  
Quiksilver, Inc. *
    144,500       432,055  
Skechers U.S.A., Inc., Class A *
    30,845       1,609,184  
Steven Madden Ltd. *
    22,622       720,511  
Sturm, Ruger & Co., Inc. (a)
    2,600       129,896  
Tempur Sealy International, Inc. *
    41,815       2,287,698  
Toll Brothers, Inc. *
    47,700       1,559,313  
Under Armour, Inc., Class A *
    19,460       1,298,955  
Wolverine World Wide, Inc.
    63,980       1,552,155  
                 
              32,943,626  
 
Consumer Services 4.1%
Aramark
    7,500       202,200  
Bally Technologies, Inc. *
    26,275       1,580,967  
Bob Evans Farms, Inc. (a)
    42,355       2,012,286  
Boyd Gaming Corp. *
    88,000       968,000  
Buffalo Wild Wings, Inc. *
    4,800       697,536  
Burger King Worldwide, Inc.
    37,200       981,336  
Capella Education Co.
    11,300       722,748  
Career Education Corp. *
    393,000       2,008,230  
Choice Hotels International, Inc.
    17,040       799,006  
Churchill Downs, Inc.
    1,600       138,400  
Cracker Barrel Old Country Store, Inc.
    14,420       1,398,163  
DineEquity, Inc.
    10,130       821,037  
Domino’s Pizza, Inc.
    28,100       2,023,200  
Dunkin’ Brands Group, Inc.
    18,100       775,766  
Hilton Worldwide Holdings, Inc. *
    7,400       179,154  
Houghton Mifflin Harcourt Co. *
    10,500       183,855  
Hyatt Hotels Corp., Class A *
    21,800       1,282,494  
International Speedway Corp., Class A
    28,150       853,508  
ITT Educational Services, Inc. *(a)
    86,235       1,227,124  
Jack in the Box, Inc.
    42,000       2,401,980  
Life Time Fitness, Inc. *
    22,985       904,460  
Marriott Vacations Worldwide Corp. *
    19,900       1,145,245  
Matthews International Corp., Class A
    26,815       1,166,184  
Norwegian Cruise Line Holdings Ltd. *
    6,400       209,792  
Panera Bread Co., Class A *
    10,275       1,513,507  
Papa John’s International, Inc.
    20,620       859,648  
Penn National Gaming, Inc. *
    116,300       1,218,824  
Pinnacle Entertainment, Inc. *
    30,775       670,895  
Red Robin Gourmet Burgers, Inc. *
    11,980       771,033  
Regis Corp.
    124,600       1,735,678  
Ruby Tuesday, Inc. *
    155,750       936,057  
Scientific Games Corp., Class A *
    16,900       144,326  
SeaWorld Entertainment, Inc.
    33,200       924,620  
Six Flags Entertainment Corp.
    23,500       898,170  
Sonic Corp. *
    58,580       1,209,677  
Sotheby’s
    23,020       912,743  
Steiner Leisure Ltd. *
    14,160       565,126  
Strayer Education, Inc. *
    41,000       2,124,620  
Texas Roadhouse, Inc.
    43,310       1,077,553  
The Cheesecake Factory, Inc.
    49,435       2,119,773  
The Wendy’s Co.
    237,300       1,933,995  
Vail Resorts, Inc.
    18,460       1,393,730  
Weight Watchers International, Inc. (a)
    72,092       1,563,675  
                 
              47,256,321  
 
Diversified Financials 3.3%
Affiliated Managers Group, Inc. *
    8,100       1,613,925  
BGC Partners, Inc., Class A
    22,600       176,958  
Cash America International, Inc.
    33,905       1,505,043  
CBOE Holdings, Inc.
    25,600       1,240,832  
Eaton Vance Corp.
    74,200       2,606,646  
Ezcorp, Inc., Class A *
    70,300       688,237  
Federated Investors, Inc., Class B
    99,600       2,810,712  
First Cash Financial Services, Inc. *
    12,790       721,484  
Greenhill & Co., Inc.
    21,835       999,388  
Intercontinental Exchange, Inc.
    20,700       3,978,954  
Investment Technology Group, Inc. *
    48,855       893,558  
Janus Capital Group, Inc.
    177,000       2,016,030  
Lazard Ltd., Class A
    30,000       1,569,000  
LPL Financial Holdings, Inc.
    29,700       1,410,156  
MSCI, Inc. *
    45,600       2,063,400  
 
 
 
 3

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Nelnet, Inc., Class A
    16,740       690,190  
Portfolio Recovery Associates, Inc. *
    2,900       170,984  
Raymond James Financial, Inc.
    41,300       2,104,235  
Santander Consumer USA Holdings, Inc.
    20,100       385,317  
SEI Investments Co.
    80,100       2,869,182  
SLM Corp.
    215,800       1,911,988  
Stifel Financial Corp. *
    14,560       666,702  
TD Ameritrade Holding Corp.
    79,500       2,553,540  
Waddell & Reed Financial, Inc., Class A
    31,300       1,652,327  
World Acceptance Corp. *(a)
    11,160       904,853  
                 
              38,203,641  
 
Energy 6.2%
Alon USA Energy, Inc.
    10,600       136,210  
Atwood Oceanics, Inc. *
    22,400       1,078,560  
Basic Energy Services, Inc. *
    34,185       820,098  
Bill Barrett Corp. *
    47,600       1,142,876  
Bristow Group, Inc.
    18,800       1,341,756  
C&J Energy Services, Inc. *
    5,000       149,800  
Cabot Oil & Gas Corp.
    50,500       1,663,975  
CARBO Ceramics, Inc.
    7,380       919,105  
Cloud Peak Energy, Inc. *
    73,600       1,139,328  
Comstock Resources, Inc.
    39,155       926,407  
Concho Resources, Inc. *
    14,200       1,999,360  
Continental Resources, Inc. *
    1,000       146,780  
CVR Energy, Inc. (a)
    3,600       169,488  
Delek US Holdings, Inc.
    56,500       1,650,930  
Dril-Quip, Inc. *
    9,985       1,006,188  
Energy XXI (Bermuda) Ltd.
    46,500       928,140  
EXCO Resources, Inc. (a)
    210,400       969,944  
Exterran Holdings, Inc.
    65,200       2,754,700  
Forest Oil Corp. *
    630,100       1,285,404  
Forum Energy Technologies, Inc. *
    5,100       169,779  
Frontline Ltd. *(a)
    207,500       500,075  
Golar LNG Ltd.
    3,200       197,152  
Green Plains, Inc.
    31,500       1,180,935  
Gulfmark Offshore, Inc., Class A
    15,105       578,068  
Helix Energy Solutions Group, Inc. *
    92,600       2,354,818  
Hercules Offshore, Inc. *(a)
    187,500       661,875  
Hornbeck Offshore Services, Inc. *
    15,380       672,106  
ION Geophysical Corp. *
    147,205       552,019  
Key Energy Services, Inc. *
    226,900       1,393,166  
Matrix Service Co. *
    25,000       671,250  
McDermott International, Inc. *(a)
    469,900       3,430,270  
Newpark Resources, Inc. *
    65,040       795,439  
Nordic American Offshore Ltd. *
    682       12,481  
Nordic American Tankers Ltd. (a)
    78,785       678,339  
North Atlantic Drilling Ltd.
    18,900       184,275  
Parker Drilling Co. *
    147,510       911,612  
PBF Energy, Inc., Class A
    6,400       173,440  
PDC Energy, Inc. *
    10,055       545,584  
Penn Virginia Corp. *
    82,600       1,075,452  
Pioneer Energy Services Corp. *
    69,700       1,025,287  
Quicksilver Resources, Inc. *(a)
    407,100       765,348  
Range Resources Corp.
    25,100       1,897,309  
Rosetta Resources, Inc. *
    16,110       822,738  
Rowan Cos. plc, Class A
    87,900       2,682,708  
RPC, Inc.
    8,000       180,000  
SandRidge Energy, Inc. *(a)
    281,900       1,680,124  
SemGroup Corp., Class A
    30,300       2,335,524  
Ship Finance International Ltd.
    50,500       919,100  
SM Energy Co.
    26,500       2,081,310  
Stone Energy Corp. *
    36,400       1,385,020  
Superior Energy Services, Inc.
    85,400       2,869,440  
Swift Energy Co. *(a)
    96,405       1,065,275  
Targa Resources Corp.
    15,200       1,938,000  
Teekay Corp.
    33,900       1,886,874  
TETRA Technologies, Inc. *
    77,760       856,138  
Tidewater, Inc.
    51,600       2,439,132  
Ultra Petroleum Corp. *(a)
    66,300       1,519,596  
Unit Corp. *
    40,400       2,559,340  
W&T Offshore, Inc.
    49,900       669,159  
Whiting Petroleum Corp. *
    40,200       3,557,298  
                 
              72,101,904  
 
Food & Staples Retailing 0.8%
Ingles Markets, Inc., Class A
    9,600       235,392  
PriceSmart, Inc.
    7,740       637,002  
Rite Aid Corp. *
    227,500       1,521,975  
Roundy’s, Inc.
    99,700       481,551  
SpartanNash, Co.
    16,300       341,648  
Susser Holdings Corp. *
    19,600       1,571,332  
The Andersons, Inc.
    27,237       1,471,343  
The Fresh Market, Inc. *
    18,000       538,740  
The Pantry, Inc. *
    140,200       2,510,982  
                 
              9,309,965  
 
Food, Beverage & Tobacco 2.6%
B&G Foods, Inc.
    20,200       567,014  
Cal-Maine Foods, Inc.
    14,200       1,011,040  
Chiquita Brands International, Inc. *
    156,800       1,503,712  
Darling Ingredients, Inc. *
    52,420       981,302  
Dean Foods Co.
    301,000       4,611,320  
Flowers Foods, Inc.
    106,750       2,037,857  
Fresh Del Monte Produce, Inc.
    74,600       2,233,524  
J&J Snack Foods Corp.
    7,835       705,855  
Keurig Green Mountain, Inc.
    14,080       1,679,462  
Lancaster Colony Corp.
    14,865       1,298,458  
Pilgrim’s Pride Corp. *
    32,600       911,496  
Pinnacle Foods, Inc.
    4,900       147,637  
Post Holdings, Inc. *
    26,900       1,208,348  
Sanderson Farms, Inc.
    21,500       1,958,435  
Seaboard Corp. *
    372       1,060,944  
Snyder’s-Lance, Inc.
    31,560       783,004  
The Hain Celestial Group, Inc. *
    10,670       912,285  
The WhiteWave Foods Co. *
    46,100       1,373,319  
TreeHouse Foods, Inc. *
    18,385       1,351,298  
Universal Corp.
    48,500       2,518,605  
Vector Group Ltd. (a)
    44,707       917,835  
                 
              29,772,750  
 
Health Care Equipment & Services 5.1%
Air Methods Corp. *
    3,800       190,950  
Alere, Inc. *
    46,600       1,864,000  
Align Technology, Inc. *
    2,700       146,367  
 
 
 
4 

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Allscripts Healthcare Solutions, Inc. *
    52,700       838,984  
Amedisys, Inc. *
    90,070       1,817,613  
Amsurg Corp. *
    21,325       1,018,482  
Analogic Corp.
    8,165       587,145  
BioScrip, Inc. *
    18,000       134,820  
Brookdale Senior Living, Inc. *
    51,200       1,774,080  
Centene Corp. *
    37,700       2,717,793  
Cerner Corp. *
    47,500       2,622,000  
Chemed Corp. (a)
    22,995       2,342,041  
CONMED Corp.
    18,295       713,505  
Edwards Lifesciences Corp. *
    26,700       2,409,675  
Envision Healthcare Holdings Inc *
    5,200       185,900  
Gentiva Health Services, Inc. *
    61,425       1,111,793  
Greatbatch, Inc. *
    13,800       683,238  
Haemonetics Corp. *
    28,300       1,006,631  
Hanger, Inc. *
    19,000       601,350  
HealthSouth Corp.
    32,000       1,226,560  
Healthways, Inc. *
    50,060       865,537  
Hill-Rom Holdings, Inc.
    53,100       2,092,140  
Hologic, Inc. *
    96,700       2,520,969  
IDEXX Laboratories, Inc. *
    20,400       2,539,392  
Integra LifeSciences Holdings Corp. *
    12,620       598,440  
Invacare Corp.
    71,365       1,068,334  
Kindred Healthcare, Inc.
    130,300       3,114,170  
Masimo Corp. *
    24,300       585,144  
MEDNAX, Inc. *
    37,400       2,213,332  
Molina Healthcare, Inc. *
    38,457       1,570,968  
MWI Veterinary Supply, Inc. *
    5,300       748,678  
Orthofix International N.V. *
    4,700       155,382  
PharMerica Corp. *
    62,440       1,685,256  
Quality Systems, Inc.
    11,600       179,916  
ResMed, Inc. (a)
    40,840       2,113,062  
Select Medical Holdings Corp.
    64,000       994,560  
Sirona Dental Systems, Inc. *
    14,390       1,154,078  
STERIS Corp.
    44,400       2,259,072  
Team Health Holdings, Inc. *
    2,700       152,685  
Teleflex, Inc.
    24,200       2,607,308  
The Cooper Cos., Inc.
    12,300       1,978,824  
The Ensign Group, Inc.
    3,100       102,083  
Thoratec Corp. *
    6,000       195,000  
Triple-S Management Corp., Class B *
    15,600       269,568  
VCA, Inc. *
    48,800       1,819,752  
West Pharmaceutical Services, Inc.
    28,180       1,148,335  
                 
              58,724,912  
 
Household & Personal Products 0.3%
Elizabeth Arden, Inc. *
    21,970       453,241  
Nu Skin Enterprises, Inc., Class A
    22,420       1,315,830  
Spectrum Brands Holdings, Inc.
    10,300       859,020  
WD-40 Co.
    8,115       541,757  
                 
              3,169,848  
 
Insurance 5.0%
Alleghany Corp. *
    4,300       1,779,555  
Allied World Assurance Co. Holdings AG
    88,400       3,183,284  
American Equity Investment Life Holding Co.
    41,215       912,500  
Argo Group International Holdings Ltd.
    22,604       1,125,905  
Arthur J. Gallagher & Co.
    57,700       2,596,500  
Aspen Insurance Holdings Ltd.
    70,100       2,804,701  
Assured Guaranty Ltd.
    60,200       1,343,664  
Brown & Brown, Inc.
    52,000       1,600,560  
CNO Financial Group, Inc.
    170,100       2,752,218  
Employers Holdings, Inc.
    10,800       230,040  
Endurance Specialty Holdings Ltd.
    63,800       3,374,382  
First American Financial Corp.
    95,500       2,591,870  
Horace Mann Educators Corp.
    22,890       655,799  
Infinity Property & Casualty Corp.
    18,065       1,169,890  
Kemper Corp.
    69,800       2,415,778  
Markel Corp. *
    3,282       2,074,585  
Mercury General Corp.
    30,700       1,511,054  
Montpelier Re Holdings Ltd.
    35,000       1,033,550  
Old Republic International Corp.
    173,200       2,492,348  
Platinum Underwriters Holdings Ltd.
    49,100       2,877,260  
Primerica, Inc.
    61,700       2,843,136  
ProAssurance Corp.
    34,200       1,492,146  
Protective Life Corp.
    55,500       3,850,590  
RLI Corp.
    34,700       1,483,078  
Safety Insurance Group, Inc.
    13,305       665,383  
Selective Insurance Group, Inc.
    43,400       967,386  
StanCorp Financial Group, Inc.
    39,000       2,353,260  
Stewart Information Services Corp.
    22,400       660,128  
Symetra Financial Corp.
    39,000       889,200  
The Hanover Insurance Group, Inc.
    36,900       2,133,189  
Validus Holdings Ltd.
    65,827       2,404,660  
                 
              58,267,599  
 
Materials 6.2%
A. Schulman, Inc.
    41,233       1,638,599  
AK Steel Holding Corp. (a)
    342,400       3,115,840  
Axiall Corp.
    33,724       1,444,399  
Berry Plastics Group, Inc. *
    11,000       267,190  
Boise Cascade Co. *
    6,400       180,160  
Cabot Corp.
    52,300       2,739,997  
Calgon Carbon Corp. *
    7,100       150,520  
Carpenter Technology Corp.
    31,700       1,716,238  
Century Aluminum Co. *
    78,900       1,483,320  
Chemtura Corp. *
    86,900       2,021,294  
Clearwater Paper Corp. *
    15,760       1,065,376  
Coeur Mining, Inc. *
    91,900       716,820  
Compass Minerals International, Inc.
    19,030       1,636,961  
Cytec Industries, Inc.
    31,800       3,207,030  
Eagle Materials, Inc.
    11,770       1,068,951  
Ferro Corp. *
    96,930       1,215,502  
Globe Specialty Metals, Inc.
    7,100       135,113  
Graphic Packaging Holding Co. *
    170,500       2,046,000  
Greif, Inc., Class A
    37,400       1,876,732  
H.B. Fuller Co.
    38,380       1,713,667  
Hecla Mining Co.
    212,600       671,816  
Innophos Holdings, Inc.
    21,850       1,320,395  
Innospec, Inc.
    17,480       702,871  
Intrepid Potash, Inc. *(a)
    9,600       142,176  
Kaiser Aluminum Corp.
    20,180       1,558,300  
 
 
 
 5

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
KapStone Paper & Packaging Corp. *
    25,000       743,500  
Koppers Holdings, Inc.
    18,660       672,320  
Kraton Performance Polymers, Inc. *
    39,300       809,973  
Louisiana-Pacific Corp. *
    51,400       695,956  
LSB Industries, Inc. *
    4,100       157,891  
Martin Marietta Materials, Inc.
    26,400       3,279,672  
Materion Corp.
    26,160       845,230  
Minerals Technologies, Inc.
    24,520       1,423,876  
Myers Industries, Inc.
    30,005       554,492  
NewMarket Corp.
    4,795       1,855,665  
Olin Corp.
    74,100       1,968,837  
OM Group, Inc.
    35,800       1,012,066  
P.H. Glatfelter Co.
    45,445       1,081,591  
PolyOne Corp.
    36,500       1,385,175  
Quaker Chemical Corp.
    2,000       141,220  
Resolute Forest Products, Inc. *
    177,200       2,727,108  
RTI International Metals, Inc. *
    18,780       466,871  
Schnitzer Steel Industries, Inc., Class A
    100,710       2,689,964  
Schweitzer-Mauduit International, Inc.
    19,772       807,291  
Sensient Technologies Corp.
    33,900       1,779,750  
Silgan Holdings, Inc.
    38,500       1,894,970  
Stepan Co.
    16,830       809,860  
Stillwater Mining Co. *
    57,970       1,037,663  
SunCoke Energy, Inc. *
    42,400       967,992  
The Scotts Miracle-Gro Co., Class A
    40,200       2,138,640  
Tredegar Corp.
    26,475       517,321  
Tronox Ltd., Class A
    9,900       262,746  
W.R. Grace & Co. *
    13,000       1,183,000  
Walter Energy, Inc. (a)
    234,700       1,349,525  
Westlake Chemical Corp.
    14,400       1,258,416  
Worthington Industries, Inc.
    40,800       1,560,600  
                 
              71,914,448  
 
Media 2.3%
AMC Networks, Inc., Class A *
    11,500       688,505  
Central European Media Enterprises Ltd., Class A *
    55,300       144,886  
Cinemark Holdings, Inc.
    76,100       2,496,080  
Dex Media, Inc. *(a)
    309,600       3,959,784  
DreamWorks Animation SKG, Inc., Class A *
    60,400       1,208,000  
John Wiley & Sons, Inc., Class A
    29,300       1,760,637  
Lamar Advertising Co., Class A
    47,500       2,382,125  
Liberty Media Corp., Class A *
    3,500       164,675  
Liberty Media Corp., Class C *
    7,000       329,000  
Lions Gate Entertainment Corp.
    23,700       729,960  
Live Nation Entertainment, Inc. *
    72,700       1,687,367  
Loral Space & Communications, Inc. *
    4,800       347,040  
Meredith Corp.
    34,700       1,593,424  
Morningstar, Inc.
    2,000       135,620  
National CineMedia, Inc.
    46,500       746,790  
Regal Entertainment Group, Class A (a)
    90,200       1,755,292  
Scholastic Corp.
    61,900       2,192,498  
Sinclair Broadcast Group, Inc., Class A
    25,819       834,212  
Sirius XM Holdings, Inc. *
    228,200       771,316  
The Madison Square Garden Co., Class A *
    16,000       949,440  
The New York Times Co., Class A
    112,700       1,407,623  
                 
              26,284,274  
 
Pharmaceuticals, Biotechnology & Life Sciences 1.8%
Alexion Pharmaceuticals, Inc. *
    4,900       779,051  
Bio-Rad Laboratories, Inc., Class A *
    12,000       1,379,880  
Bruker Corp. *
    30,600       695,538  
Charles River Laboratories International, Inc. *
    43,800       2,374,398  
Cubist Pharmaceuticals, Inc. *
    10,840       660,156  
Illumina, Inc. *
    11,160       1,784,596  
Impax Laboratories, Inc. *
    35,500       830,345  
Mallinckrodt plc *(a)
    8,100       563,922  
Myriad Genetics, Inc. *(a)
    22,400       808,640  
PAREXEL International Corp. *
    18,220       975,863  
PDL BioPharma, Inc. (a)
    139,150       1,305,227  
PerkinElmer, Inc.
    57,400       2,653,028  
Perrigo Co., plc
    16,700       2,512,515  
QIAGEN N.V. *
    68,400       1,671,012  
Questcor Pharmaceuticals, Inc. (a)
    2,700       242,919  
Quintiles Transnational Holdings, Inc. *
    2,800       153,804  
Techne Corp.
    12,665       1,181,898  
United Therapeutics Corp. *
    7,000       636,580  
                 
              21,209,372  
 
Real Estate 9.0%
AG Mortgage Investment Trust, Inc.
    8,800       161,392  
Alexandria Real Estate Equities, Inc.
    23,400       1,839,240  
American Campus Communities, Inc.
    25,160       979,227  
American Capital Mortgage Investment Corp.
    14,300       284,999  
Anworth Mortgage Asset Corp.
    176,155       894,867  
Ashford Hospitality Trust, Inc.
    67,785       780,205  
BioMed Realty Trust, Inc.
    68,200       1,466,300  
Brandywine Realty Trust
    111,800       1,738,490  
Camden Property Trust
    30,000       2,170,800  
Capstead Mortgage Corp.
    84,750       1,088,190  
CBL & Associates Properties, Inc.
    97,300       1,819,510  
CBRE Group, Inc., Class A *
    76,400       2,356,176  
Chimera Investment Corp.
    461,400       1,462,638  
Columbia Property Trust, Inc.
    20,200       515,302  
Corporate Office Properties Trust
    55,800       1,583,046  
Corrections Corp. of America
    81,028       2,610,722  
Cousins Properties, Inc.
    48,283       597,744  
CYS Investments, Inc.
    107,600       955,488  
DCT Industrial Trust, Inc.
    115,300       902,799  
DDR Corp.
    103,100       1,808,374  
DiamondRock Hospitality Co.
    92,400       1,132,824  
Digital Realty Trust, Inc.
    42,500       2,736,575  
Douglas Emmett, Inc.
    51,100       1,455,839  
 
 
 
6 

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Duke Realty Corp.
    163,400       2,939,566  
EastGroup Properties, Inc.
    11,150       695,314  
EPR Properties
    22,500       1,212,750  
Equity Commonwealth
    84,700       2,275,042  
Equity Lifestyle Properties, Inc.
    17,740       785,705  
Equity One, Inc.
    5,900       136,998  
Essex Property Trust, Inc.
    14,809       2,807,342  
Extra Space Storage, Inc.
    16,565       856,907  
Federal Realty Investment Trust
    19,100       2,332,110  
Franklin Street Properties Corp.
    11,000       133,540  
Glimcher Realty Trust
    55,725       598,486  
Government Properties Income Trust
    6,000       140,100  
Hatteras Financial Corp.
    64,200       1,229,430  
Healthcare Realty Trust, Inc.
    39,100       965,770  
Healthcare Trust of America, Inc., Class A
    13,200       157,212  
Hersha Hospitality Trust
    23,500       155,335  
Highwoods Properties, Inc.
    39,400       1,657,558  
Home Properties, Inc.
    22,400       1,473,696  
HomeBanc Corp. *(b)(c)
    6,875       —  
Inland Real Estate Corp.
    51,130       528,684  
Invesco Mortgage Capital, Inc.
    55,600       944,088  
Investors Real Estate Trust
    15,400       131,208  
iStar Financial, Inc. *
    109,200       1,570,296  
Jones Lang LaSalle, Inc.
    24,700       3,055,390  
Kilroy Realty Corp.
    19,600       1,212,064  
LaSalle Hotel Properties
    33,540       1,166,857  
Lexington Realty Trust
    99,700       1,090,718  
Liberty Property Trust
    68,000       2,391,560  
Mack-Cali Realty Corp.
    109,100       2,302,010  
Medical Properties Trust, Inc.
    11,400       153,444  
MFA Financial, Inc.
    226,000       1,839,640  
Mid-America Apartment Communities, Inc.
    22,621       1,581,660  
National Retail Properties, Inc.
    30,800       1,095,556  
NorthStar Realty Finance Corp. *
    31,366       504,993  
Omega Healthcare Investors, Inc.
    29,090       1,062,949  
Pennsylvania Real Estate Investment Trust
    43,300       832,659  
PennyMac Mortgage Investment Trust
    8,900       190,549  
Piedmont Office Realty Trust, Inc., Class A
    142,900       2,779,405  
Post Properties, Inc.
    14,820       803,244  
Potlatch Corp.
    25,800       1,065,540  
PS Business Parks, Inc.
    7,350       606,375  
Realty Income Corp.
    36,300       1,562,715  
Redwood Trust, Inc.
    58,500       1,110,330  
Regency Centers Corp.
    37,200       2,022,192  
Retail Properties of America, Inc., Class A
    80,400       1,210,020  
RLJ Lodging Trust
    33,200       930,928  
Ryman Hospitality Properties, Inc. (a)
    16,600       792,650  
Sabra Health Care REIT, Inc.
    35,000       969,500  
Senior Housing Properties Trust
    61,900       1,415,034  
SL Green Realty Corp.
    20,200       2,177,560  
Sovran Self Storage, Inc.
    9,170       703,522  
Starwood Property Trust, Inc.
    30,500       719,800  
Sun Communities, Inc.
    12,755       671,296  
Sunstone Hotel Investors, Inc.
    63,200       896,808  
Tanger Factory Outlet Centers, Inc.
    25,180       872,487  
Taubman Centers, Inc.
    19,300       1,419,708  
The Geo Group, Inc.
    32,236       1,109,241  
Two Harbors Investment Corp.
    17,200       175,956  
UDR, Inc.
    88,200       2,564,856  
Washington Real Estate Investment Trust
    44,200       1,198,704  
Weingarten Realty Investors
    64,500       2,122,695  
WP Carey, Inc.
    15,300       1,005,669  
                 
              104,454,168  
 
Retailing 5.1%
Aeropostale, Inc. *(a)
    351,000       1,165,320  
ANN, Inc. *
    65,800       2,418,150  
Asbury Automotive Group, Inc. *
    24,600       1,661,238  
Ascena Retail Group, Inc. *
    94,900       1,524,094  
Barnes & Noble, Inc. *
    108,600       2,261,052  
Brown Shoe Co., Inc.
    53,042       1,495,254  
Burlington Stores, Inc. *
    10,600       346,938  
Cabela’s, Inc. *
    14,300       834,548  
Chico’s FAS, Inc.
    153,400       2,425,254  
DSW, Inc., Class A
    39,536       1,051,262  
Express, Inc. *
    70,800       1,101,648  
Five Below, Inc. *
    4,100       150,142  
Fred’s, Inc., Class A
    97,370       1,541,367  
Genesco, Inc. *
    21,900       1,670,313  
GNC Holdings, Inc., Class A
    36,000       1,181,160  
Group 1 Automotive, Inc.
    32,600       2,409,792  
hhgregg, Inc. *(a)
    48,000       341,280  
Hibbett Sports, Inc. *
    15,785       787,829  
HSN, Inc.
    21,700       1,212,813  
Lithia Motors, Inc., Class A
    13,235       1,175,930  
LKQ Corp. *
    75,300       1,969,471  
Lumber Liquidators Holdings, Inc. *
    6,200       336,164  
Monro Muffler Brake, Inc.
    13,340       677,539  
Netflix, Inc. *
    4,320       1,826,150  
Nutrisystem, Inc.
    64,230       1,030,892  
Office Depot, Inc. *
    633,558       3,174,126  
Outerwall, Inc. *(a)
    20,025       1,101,775  
Penske Automotive Group, Inc.
    44,800       2,080,960  
Pier 1 Imports, Inc.
    50,785       764,822  
Pool Corp.
    22,280       1,220,053  
Sally Beauty Holdings, Inc. *
    42,165       1,094,182  
Sears Hometown & Outlet Stores, Inc. *
    38,300       726,168  
Select Comfort Corp. *
    30,170       609,434  
Sonic Automotive, Inc., Class A
    70,300       1,709,696  
Stage Stores, Inc.
    64,655       1,165,083  
Stein Mart, Inc.
    10,400       134,992  
The Bon-Ton Stores, Inc. (a)
    49,100       456,630  
The Buckle, Inc. (a)
    27,322       1,215,829  
The Cato Corp., Class A
    34,295       1,058,344  
The Children’s Place, Inc.
    38,460       1,930,692  
The Finish Line, Inc., Class A
    58,452       1,536,703  
The Men’s Wearhouse, Inc.
    59,700       3,004,104  
The Pep Boys - Manny, Moe & Jack *
    90,215       954,475  
TripAdvisor, Inc. *
    7,600       720,784  
Tuesday Morning Corp. *
    10,900       179,414  
 
 
 
 7

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Ulta Salon, Cosmetics & Fragrance, Inc. *
    14,200       1,311,086  
Vitamin Shoppe, Inc. *
    16,200       690,930  
                 
              59,435,882  
 
Semiconductors & Semiconductor Equipment 4.2%
Advanced Energy Industries, Inc. *
    8,100       136,242  
Advanced Micro Devices, Inc. *(a)
    660,900       2,584,119  
Amkor Technology, Inc. *
    169,300       1,498,305  
Atmel Corp. *
    327,300       2,683,860  
Brooks Automation, Inc.
    80,590       820,406  
Cabot Microelectronics Corp. *
    19,430       780,892  
Cirrus Logic, Inc. *
    37,235       835,181  
Cree, Inc. *
    21,800       1,029,614  
Cypress Semiconductor Corp. *
    174,505       1,764,245  
Diodes, Inc. *
    21,800       555,900  
Entegris, Inc. *
    95,945       1,102,408  
Fairchild Semiconductor International, Inc. *
    135,500       2,062,310  
First Solar, Inc. *
    42,200       2,663,242  
Freescale Semiconductor Ltd. *
    8,400       168,168  
GT Advanced Technologies, Inc. *(a)
    107,000       1,480,880  
Integrated Device Technology, Inc. *
    118,180       1,697,065  
International Rectifier Corp. *
    44,700       1,110,348  
Intersil Corp., Class A
    162,000       2,078,460  
Micrel, Inc.
    51,250       536,075  
Microsemi Corp. *
    27,745       665,325  
MKS Instruments, Inc.
    42,450       1,349,061  
OmniVision Technologies, Inc. *
    49,380       1,106,112  
ON Semiconductor Corp. *
    269,900       2,310,344  
Photronics, Inc. *
    74,425       593,167  
PMC-Sierra, Inc. *
    115,125       774,791  
Power Integrations, Inc.
    2,800       150,724  
RF Micro Devices, Inc. *
    170,245       1,899,934  
Silicon Laboratories, Inc. *
    37,590       1,531,041  
Skyworks Solutions, Inc.
    48,300       2,451,708  
Spansion, Inc., Class A *
    55,800       1,058,526  
SunEdison, Inc. *
    171,700       3,434,000  
Synaptics, Inc. *
    15,005       1,083,811  
Teradyne, Inc.
    106,400       1,938,608  
Tessera Technologies, Inc.
    28,190       716,308  
TriQuint Semiconductor, Inc. *
    91,260       1,640,855  
Veeco Instruments, Inc. *
    25,460       883,717  
                 
              49,175,752  
 
Software & Services 5.8%
ACI Worldwide, Inc. *
    7,800       146,172  
Acxiom Corp. *
    49,615       908,947  
Akamai Technologies, Inc. *
    45,700       2,697,214  
ANSYS, Inc. *
    14,500       1,115,630  
Cadence Design Systems, Inc. *
    41,600       700,128  
Compuware Corp.
    206,600       1,880,060  
Convergys Corp.
    142,900       2,770,831  
Conversant, Inc. *
    59,080       1,380,700  
CSG Systems International, Inc.
    39,445       1,027,148  
Digital River, Inc. *
    43,100       615,899  
DST Systems, Inc.
    34,800       3,134,436  
EarthLink Holdings Corp.
    376,475       1,483,311  
Equinix, Inc. *
    8,400       1,801,968  
Euronet Worldwide, Inc. *
    19,295       965,522  
FactSet Research Systems, Inc.
    18,165       2,182,161  
Fair Isaac Corp.
    32,105       1,834,801  
FleetCor Technologies, Inc. *
    5,600       743,624  
Gartner, Inc. *
    21,400       1,464,188  
Genpact Ltd. *
    71,750       1,262,800  
Global Cash Access Holdings, Inc. *
    75,035       628,043  
Global Payments, Inc.
    32,100       2,223,567  
Heartland Payment Systems, Inc.
    24,965       1,185,837  
Informatica Corp. *
    20,055       636,145  
j2 Global, Inc.
    15,385       752,634  
Jack Henry & Associates, Inc.
    28,580       1,667,643  
Manhattan Associates, Inc. *
    26,380       774,517  
ManTech International Corp., Class A
    46,500       1,255,500  
MAXIMUS, Inc.
    29,780       1,231,701  
Mentor Graphics Corp.
    32,420       640,295  
MICROS Systems, Inc. *
    24,740       1,673,166  
Monster Worldwide, Inc. *
    291,900       1,897,350  
NeuStar, Inc., Class A *(a)
    41,975       1,169,423  
Nuance Communications, Inc. *
    61,900       1,125,342  
Progress Software Corp. *
    41,925       971,821  
PTC, Inc. *
    34,140       1,227,674  
Rackspace Hosting, Inc. *
    22,420       679,102  
Red Hat, Inc. *
    23,200       1,348,384  
Rovi Corp. *
    36,969       863,966  
salesforce.com, Inc. *
    22,733       1,233,265  
Sapient Corp. *
    49,580       731,801  
Solera Holdings, Inc.
    13,960       893,440  
Sykes Enterprises, Inc. *
    46,155       955,409  
Synopsys, Inc. *
    47,600       1,797,852  
Take-Two Interactive Software, Inc. *
    49,755       1,113,517  
TeleTech Holdings, Inc. *
    25,210       694,031  
TIBCO Software, Inc. *
    78,230       1,509,839  
Unisys Corp. *
    55,500       1,181,595  
Vantiv, Inc., Class A *
    6,400       209,792  
VeriFone Systems, Inc. *
    27,800       931,578  
VeriSign, Inc. *
    51,100       2,761,955  
Vistaprint N.V. *
    18,720       922,147  
VMware, Inc., Class A *
    7,000       695,520  
WebMD Health Corp. *
    6,400       318,912  
WEX, Inc. *
    8,600       928,112  
                 
              66,946,415  
 
Technology Hardware & Equipment 4.8%
ADTRAN, Inc.
    50,245       1,117,449  
ARRIS Group, Inc. *
    56,905       1,944,444  
Belden, Inc.
    19,840       1,347,136  
Benchmark Electronics, Inc. *
    98,100       2,369,115  
Brocade Communications Systems, Inc.
    258,100       2,377,101  
CDW Corp.
    7,500       231,675  
Checkpoint Systems, Inc. *
    12,900       157,896  
Cognex Corp. *
    18,030       738,869  
Coherent, Inc. *
    17,740       1,045,063  
CommScope Holding Co., Inc. *
    8,200       202,048  
Comtech Telecommunications Corp.
    33,770       1,141,426  
 
 
 
8 

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Diebold, Inc.
    72,500       2,731,800  
Dolby Laboratories, Inc., Class A *
    26,400       1,178,496  
EchoStar Corp., Class A *
    20,300       1,029,210  
Electronics for Imaging, Inc. *
    25,402       1,119,466  
Emulex Corp. *
    110,365       648,946  
F5 Networks, Inc. *
    20,840       2,346,376  
Fabrinet *
    7,900       146,940  
FEI Co.
    8,020       614,332  
Finisar Corp. *
    36,730       724,683  
FLIR Systems, Inc.
    72,400       2,409,472  
Insight Enterprises, Inc. *
    95,000       2,495,650  
InterDigital, Inc.
    27,100       1,194,839  
Itron, Inc. *
    45,600       1,640,688  
JDS Uniphase Corp. *
    105,900       1,257,033  
Knowles Corp. *
    9,000       261,720  
Littelfuse, Inc.
    8,545       742,731  
MTS Systems Corp.
    9,880       652,080  
National Instruments Corp.
    38,742       1,233,545  
NCR Corp. *
    76,900       2,380,055  
NETGEAR, Inc. *
    27,450       859,460  
OSI Systems, Inc. *
    9,200       609,960  
Plantronics, Inc.
    23,410       1,099,568  
Plexus Corp. *
    46,380       1,824,126  
Polycom, Inc. *
    150,440       1,928,641  
QLogic Corp. *
    203,380       1,850,758  
Riverbed Technology, Inc. *
    6,600       118,140  
Rofin-Sinar Technologies, Inc. *
    33,710       735,889  
Sanmina Corp. *
    131,700       3,067,293  
ScanSource, Inc. *
    40,640       1,455,318  
Trimble Navigation Ltd. *
    45,400       1,402,860  
TTM Technologies, Inc. *
    19,900       149,449  
ViaSat, Inc. *
    10,215       597,271  
Zebra Technologies Corp., Class A *
    36,120       2,892,129  
                 
              56,071,146  
 
Telecommunication Services 1.0%
Cincinnati Bell, Inc. *
    395,000       1,504,950  
Consolidated Communications Holdings, Inc.
    42,814       958,177  
Inteliquent, Inc.
    9,800       103,978  
Intelsat S.A. *
    36,900       684,126  
Level 3 Communications, Inc. *
    57,800       2,542,044  
NTELOS Holdings Corp. (a)
    43,620       525,185  
SBA Communications Corp., Class A *
    16,405       1,754,187  
Spok Holdings, Inc.
    13,900       208,083  
T-Mobile US, Inc. *
    35,600       1,172,664  
tw telecom, Inc. *
    53,600       2,183,664  
Vonage Holdings Corp. *
    48,700       169,476  
                 
              11,806,534  
 
Transportation 3.9%
Alaska Air Group, Inc.
    60,600       2,664,582  
Allegiant Travel Co.
    5,900       694,784  
AMERCO
    3,400       894,744  
American Airlines Group, Inc.
    15,600       606,060  
ArcBest Corp.
    36,540       1,159,414  
Atlas Air Worldwide Holdings, Inc. *
    32,900       1,125,838  
Con-way, Inc.
    60,900       3,005,415  
Copa Holdings S.A., Class A
    10,300       1,564,261  
Delta Air Lines, Inc.
    61,800       2,315,028  
Forward Air Corp.
    17,825       798,025  
Genesee & Wyoming, Inc., Class A *
    6,865       684,647  
Hawaiian Holdings, Inc. *
    57,740       804,318  
Heartland Express, Inc.
    46,765       1,049,874  
Hub Group, Inc., Class A *
    36,810       1,699,886  
JetBlue Airways Corp. *
    233,800       2,506,336  
Kirby Corp. *
    18,200       2,119,572  
Knight Transportation, Inc.
    53,425       1,280,063  
Landstar System, Inc.
    36,170       2,391,922  
Matson, Inc.
    62,600       1,687,070  
Navios Maritime Holdings, Inc.
    26,100       208,017  
Old Dominion Freight Line, Inc. *
    24,075       1,528,281  
Republic Airways Holdings, Inc. *
    135,700       1,348,858  
Saia, Inc. *
    17,250       787,463  
SkyWest, Inc.
    205,900       2,201,071  
Southwest Airlines Co.
    111,400       3,150,392  
Spirit Airlines, Inc. *
    4,100       268,222  
Swift Transportation Co. *
    37,500       766,875  
United Continental Holdings, Inc. *
    53,200       2,467,948  
UTi Worldwide, Inc. *
    174,300       1,648,878  
Werner Enterprises, Inc.
    71,400       1,755,012  
                 
              45,182,856  
 
Utilities 4.0%
ALLETE, Inc.
    27,400       1,285,608  
American States Water Co.
    20,130       614,972  
Aqua America, Inc.
    70,375       1,673,517  
Atlantic Power Corp. (a)
    271,500       1,023,555  
Avista Corp.
    59,400       1,843,182  
Black Hills Corp.
    29,100       1,533,861  
California Water Service Group
    30,680       698,584  
Cleco Corp.
    36,500       2,034,510  
Dynegy, Inc. *
    9,700       257,535  
El Paso Electric Co.
    38,690       1,425,726  
Hawaiian Electric Industries, Inc. (a)
    98,800       2,333,656  
IDACORP, Inc.
    31,900       1,708,245  
ITC Holdings Corp.
    47,000       1,696,700  
MGE Energy, Inc.
    22,050       829,521  
New Jersey Resources Corp.
    39,200       2,002,336  
Northwest Natural Gas Co.
    29,305       1,266,562  
NorthWestern Corp.
    32,700       1,511,394  
Otter Tail Corp.
    37,180       1,039,553  
Piedmont Natural Gas Co., Inc.
    63,500       2,202,815  
PNM Resources, Inc.
    75,500       1,936,575  
Portland General Electric Co.
    78,800       2,516,084  
Questar Corp.
    149,500       3,324,880  
South Jersey Industries, Inc.
    18,140       971,760  
Southwest Gas Corp.
    41,100       2,035,683  
The Empire District Electric Co.
    43,110       1,056,626  
The Laclede Group, Inc.
    28,540       1,340,809  
UIL Holdings Corp.
    39,800       1,397,378  
UNS Energy Corp.
    34,500       2,084,490  
 
 
 
 9

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
WGL Holdings, Inc.
    59,800       2,331,004  
                 
              45,977,121  
                 
Total Common Stock
(Cost $920,531,950)     1,153,402,353  
         
                 
                 
 
 Rights 0.0% of net assets
 
Technology Hardware & Equipment 0.0%
Gerber Scientific, Inc. CVR *(a)(b)(c)
    19,700       —  
 
Telecommunication Services 0.0%
Contra Leap Wireless CVR *(b)(c)
    105,700       266,364  
                 
Total Rights
(Cost $266,857)     266,364  
         
                 
                 
 
 Other Investment Company 0.5% of net assets
 
Money Market Fund 0.5%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (f)
    6,176,136       6,176,136  
                 
Total Other Investment Company
(Cost $6,176,136)     6,176,136  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 0.1% of net assets
 
U.S. Treasury Obligations 0.1%
U.S. Treasury Bills
0.00%, 09/18/14 (d)(e)
    100,000       100,000  
0.02%, 09/18/14 (d)(e)
    448,000       447,991  
                 
Total Short-Term Investments
(Cost $547,991)     547,991  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 3.6% of net assets
                 
                 
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (f)
    41,325,159       41,325,159  
                 
Total Collateral Invested for Securities on Loan
(Cost $41,325,159)     41,325,159  
         
 
End of Collateral Invested for Securities on Loan
 
At 07/31/14 tax basis cost of the fund’s investments was $932,444,725 and the unrealized appreciation and depreciation were $254,173,412 and ($26,225,293), respectively, with a net unrealized appreciation of $227,948,119.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $40,498,762. Non-Cash Collateral received for securities on loan amounted to $1,022,894.
(b) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
(c) Illiquid security. At the period end, the value of these amounted to $266,364 or 0.0% of net assets.
(d) All or a portion of this security is held as collateral for open futures contracts.
(e) The rate shown is the purchase yield.
(f) The rate shown is the 7-day yield.
 
     
CVR —
  Contingent Value Rights
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
Russell 2000 Index, mini, Long, expires 09/19/14
    45       5,025,150       (164,636 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
 
 
10 

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may
 
 
 
 11

 

 
 Schwab Fundamental US Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $1,153,402,353       $—       $—       $1,153,402,353  
Rights1
    —       —       266,364       266,364  
Other Investment Company1
    6,176,136       —       —       6,176,136  
Short-Term Investments1
    —       547,991       —       547,991  
                                 
Total
    $1,159,578,489       $547,991       $266,364       $1,160,392,844  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $41,325,159       $—       $—       $41,325,159  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($164,636 )     $—       $—       ($164,636 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Rights
    $—       $—       $—       $266,364       $—       $—       $—       $266,364  
                                                                 
Total
    $—       $—       $—       $266,364       $—       $—       $—       $266,364  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46847JUL14
 
 
 
12 

 

Schwab Capital Trust
Schwab Fundamental International Large Company Index Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .3%   Common Stock     792,995,760       946,107,452  
  0 .4%   Preferred Stock     2,835,323       3,833,731  
  0 .0%   Rights     254,985       254,029  
  0 .0%   Other Investment Company     4,656       6,659  
  2 .2%   Short-Term Investments     20,892,923       20,892,923  
 
 
  100 .9%   Total Investments     816,983,647       971,094,794  
  0 .6%   Collateral Invested for Securities on Loan     5,421,677       5,421,677  
  (1 .5%)   Other Assets and Liabilities, Net             (13,979,699 )
 
 
  100 .0%   Net Assets             962,536,772  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 98.3% of net assets
 
Australia 5.3%
                 
 
Banks 1.5%
Australia & New Zealand Banking Group Ltd.
    104,246       3,254,727  
Commonwealth Bank of Australia
    53,342       4,114,254  
National Australia Bank Ltd.
    107,440       3,488,533  
Westpac Banking Corp.
    108,231       3,441,750  
                 
              14,299,264  
                 
 
Capital Goods 0.1%
Leighton Holdings Ltd.
    15,515       315,540  
UGL Ltd.
    36,044       231,357  
                 
              546,897  
                 
 
Commercial & Professional Supplies 0.1%
Brambles Ltd.
    80,223       694,499  
Downer EDI Ltd.
    60,249       268,728  
                 
              963,227  
                 
 
Consumer Services 0.1%
Crown Resorts Ltd.
    17,844       267,020  
Tabcorp Holdings Ltd.
    150,939       487,727  
Tatts Group Ltd.
    131,274       431,088  
                 
              1,185,835  
                 
 
Diversified Financials 0.1%
BGP Holdings plc (a)(b)
    453,854       —  
Macquarie Group Ltd.
    13,225       707,796  
                 
              707,796  
                 
 
Energy 0.3%
Caltex Australia Ltd.
    26,089       593,521  
Origin Energy Ltd.
    53,202       700,653  
Santos Ltd.
    35,938       481,464  
Woodside Petroleum Ltd.
    24,218       950,652  
WorleyParsons Ltd.
    20,776       342,218  
                 
              3,068,508  
                 
 
Food & Staples Retailing 0.7%
Metcash Ltd.
    163,500       442,147  
Wesfarmers Ltd.
    82,045       3,322,343  
Woolworths Ltd.
    80,721       2,751,321  
                 
              6,515,811  
                 
 
Food, Beverage & Tobacco 0.0%
Coca-Cola Amatil Ltd.
    35,169       299,930  
                 
 
Health Care Equipment & Services 0.0%
Sonic Healthcare Ltd.
    19,128       319,938  
                 
 
Insurance 0.4%
AMP Ltd.
    141,456       714,055  
Insurance Australia Group Ltd.
    85,916       500,020  
QBE Insurance Group Ltd.
    108,679       1,098,488  
Suncorp Group Ltd.
    113,807       1,496,340  
                 
              3,808,903  
                 
 
Materials 1.3%
Amcor Ltd.
    59,576       570,219  
Arrium Ltd.
    387,204       290,940  
BHP Billiton Ltd.
    204,207       7,250,660  
BlueScope Steel Ltd. *
    110,602       635,645  
Boral Ltd.
    75,065       369,258  
Incitec Pivot Ltd.
    141,569       387,424  
Newcrest Mining Ltd. *
    55,571       555,146  
Orica Ltd.
    29,139       588,522  
Rio Tinto Ltd.
    31,733       1,927,579  
                 
              12,575,393  
                 
 
Media 0.0%
Fairfax Media Ltd.
    387,063       304,654  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
CSL Ltd.
    11,832       737,175  
                 
 
Real Estate 0.2%
Lend Lease Group
    39,454       492,354  
Mirvac Group
    154,880       259,086  
Stockland
    140,827       527,503  
Westfield Corp.
    98,260       683,021  
                 
              1,961,964  
                 
 
Software & Services 0.0%
Computershare Ltd.
    19,506       235,395  
                 
 
Telecommunication Services 0.2%
Telstra Corp., Ltd.
    336,444       1,706,143  
                 
 
Transportation 0.2%
Asciano Ltd.
    59,697       331,377  
Aurizon Holdings Ltd.
    52,556       242,662  
Qantas Airways Ltd. *
    342,751       419,980  
Toll Holdings Ltd.
    88,690       445,559  
 
 
 
 1

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Transurban Group
    28,799       206,805  
                 
              1,646,383  
                 
 
Utilities 0.0%
AGL Energy Ltd.
    32,472       442,624  
                 
              51,325,840  
 
Austria 0.3%
                 
 
Banks 0.1%
Erste Group Bank AG
    35,091       901,081  
Raiffeisen Bank International AG
    7,287       200,113  
                 
              1,101,194  
                 
 
Capital Goods 0.0%
Andritz AG
    3,786       204,924  
                 
 
Energy 0.1%
OMV AG
    22,142       890,520  
                 
 
Materials 0.1%
Voestalpine AG
    14,277       628,298  
                 
 
Telecommunication Services 0.0%
Telekom Austria AG
    45,794       438,442  
                 
              3,263,378  
 
Belgium 0.9%
                 
 
Banks 0.1%
KBC Groep N.V. *
    10,359       561,510  
                 
 
Food & Staples Retailing 0.2%
Colruyt S.A.
    5,908       286,105  
Delhaize Group S.A.
    24,271       1,583,855  
                 
              1,869,960  
                 
 
Food, Beverage & Tobacco 0.3%
Anheuser-Busch InBev N.V.
    23,680       2,555,847  
                 
 
Insurance 0.1%
Ageas
    19,224       689,969  
                 
 
Materials 0.1%
Bekaert N.V.
    9,281       346,900  
Solvay S.A.
    3,513       567,234  
Umicore S.A.
    13,149       635,474  
                 
              1,549,608  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
UCB S.A.
    4,258       390,561  
                 
 
Telecommunication Services 0.1%
Belgacom S.A.
    20,234       661,221  
                 
              8,278,676  
 
Canada 6.9%
                 
 
Automobiles & Components 0.2%
Magna International, Inc.
    17,647       1,895,068  
                 
 
Banks 1.5%
Bank of Montreal (c)
    27,891       2,078,875  
Bank of Nova Scotia
    42,697       2,898,156  
Canadian Imperial Bank of Commerce
    16,773       1,556,927  
National Bank of Canada
    13,754       615,578  
Royal Bank of Canada
    54,999       4,059,036  
The Toronto-Dominion Bank
    60,420       3,159,672  
                 
              14,368,244  
                 
 
Capital Goods 0.1%
Bombardier, Inc., Class B
    123,564       422,703  
Finning International, Inc.
    12,126       348,538  
SNC-Lavalin Group, Inc.
    6,916       365,352  
                 
              1,136,593  
                 
 
Consumer Services 0.0%
Tim Hortons, Inc.
    6,650       371,488  
                 
 
Diversified Financials 0.1%
IGM Financial, Inc.
    5,365       253,107  
Onex Corp.
    6,913       402,284  
                 
              655,391  
                 
 
Energy 2.1%
ARC Resources Ltd.
    11,991       330,361  
Baytex Energy Corp.
    6,000       257,202  
Bonavista Energy Corp.
    15,832       204,734  
Cameco Corp.
    14,866       299,679  
Canadian Natural Resources Ltd.
    52,291       2,279,444  
Canadian Oil Sands Ltd.
    47,133       1,006,766  
Cenovus Energy, Inc.
    51,019       1,567,044  
Crescent Point Energy Corp. (c)
    9,632       393,018  
Enbridge, Inc.
    24,482       1,200,131  
Encana Corp.
    127,292       2,741,153  
Enerplus Corp.
    19,956       456,278  
Husky Energy, Inc.
    25,700       781,831  
Imperial Oil Ltd.
    17,815       914,155  
Inter Pipeline Ltd.
    2,900       89,845  
Pacific Rubiales Energy Corp.
    12,446       237,996  
Pembina Pipeline Corp.
    6,360       266,451  
Pengrowth Energy Corp.
    63,569       405,195  
Penn West Petroleum Ltd.
    90,278       698,809  
Suncor Energy, Inc.
    79,276       3,255,089  
Talisman Energy, Inc.
    108,605       1,136,500  
TransCanada Corp.
    35,568       1,784,353  
Vermilion Energy, Inc.
    3,296       217,527  
                 
              20,523,561  
                 
 
Food & Staples Retailing 0.3%
Alimentation Couche-Tard, Inc., Class B
    28,339       775,563  
Empire Co., Ltd, Class A
    5,674       401,268  
George Weston Ltd.
    5,656       455,032  
Loblaw Cos., Ltd.
    18,768       923,124  
Metro, Inc.
    10,898       710,541  
                 
              3,265,528  
                 
 
Food, Beverage & Tobacco 0.0%
Saputo, Inc.
    6,534       405,517  
                 
 
Insurance 0.5%
Fairfax Financial Holdings Ltd.
    1,132       532,959  
Great-West Lifeco, Inc.
    12,270       357,404  
Intact Financial Corp.
    4,181       278,848  
Manulife Financial Corp.
    70,751       1,445,712  
Power Corp. of Canada
    31,840       936,789  
Power Financial Corp.
    15,314       493,543  
Sun Life Financial, Inc.
    23,101       880,734  
                 
              4,925,989  
                 
 
Materials 0.7%
Agrium, Inc.
    8,550       779,447  
 
 
 
2 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Barrick Gold Corp.
    92,308       1,667,783  
First Quantum Minerals Ltd.
    19,617       465,260  
Goldcorp, Inc.
    26,111       715,068  
Kinross Gold Corp. *
    91,758       366,914  
Potash Corp. of Saskatchewan, Inc.
    47,675       1,692,575  
Teck Resources Ltd., Class B
    41,394       991,998  
Yamana Gold, Inc.
    28,562       243,616  
                 
              6,922,661  
                 
 
Media 0.1%
Quebecor, Inc., Class B
    8,675       210,520  
Shaw Communications, Inc., Class B
    19,856       486,589  
Yellow Media Ltd. *
    5,631       91,565  
                 
              788,674  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
Valeant Pharmaceuticals International, Inc. *
    2,768       324,514  
                 
 
Real Estate 0.2%
Brookfield Asset Management, Inc., Class A
    30,670       1,368,174  
                 
 
Retailing 0.1%
Canadian Tire Corp., Ltd., Class A
    5,049       479,640  
RONA, Inc.
    28,369       314,561  
                 
              794,201  
                 
 
Software & Services 0.0%
CGI Group, Inc., Class A *
    9,573       343,376  
                 
 
Technology Hardware & Equipment 0.2%
BlackBerry Ltd. *
    168,882       1,578,308  
Celestica, Inc. *
    26,838       287,985  
                 
              1,866,293  
                 
 
Telecommunication Services 0.3%
BCE, Inc.
    27,601       1,250,000  
Rogers Communications, Inc., Class B
    20,429       797,787  
TELUS Corp.
    20,018       698,752  
                 
              2,746,539  
                 
 
Transportation 0.3%
Canadian National Railway Co.
    28,433       1,900,749  
Canadian Pacific Railway Ltd.
    3,218       611,902  
                 
              2,512,651  
                 
 
Utilities 0.2%
Atco Ltd., Class I
    4,722       207,008  
Canadian Utilities Ltd., Class A
    7,471       268,390  
Emera, Inc. (c)
    6,709       207,420  
Fortis, Inc.
    13,250       407,702  
TransAlta Corp.
    31,661       363,549  
                 
              1,454,069  
                 
              66,668,531  
 
Denmark 0.9%
                 
 
Banks 0.1%
Danske Bank A/S
    32,796       947,497  
                 
 
Capital Goods 0.1%
FLSmidth & Co. A/S
    4,859       248,549  
Vestas Wind Systems A/S *
    11,743       529,459  
                 
              778,008  
                 
 
Food, Beverage & Tobacco 0.1%
Carlsberg A/S, Class B
    6,028       576,750  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
Novo Nordisk A/S, Class B
    46,062       2,120,333  
                 
 
Telecommunication Services 0.1%
TDC A/S
    84,602       853,475  
                 
 
Transportation 0.3%
AP Moeller - Maersk A/S, Series A
    470       1,054,740  
AP Moeller - Maersk A/S, Series B
    771       1,797,446  
DSV A/S
    8,170       258,005  
                 
              3,110,191  
                 
              8,386,254  
 
Finland 1.1%
                 
 
Automobiles & Components 0.0%
Nokian Renkaat Oyj
    4,815       166,712  
                 
 
Capital Goods 0.2%
Kone Oyj, Class B
    9,254       389,110  
Metso Oyj
    14,861       584,850  
Wartsila Oyj Abp
    8,043       405,059  
YIT Oyj
    17,761       181,983  
                 
              1,561,002  
                 
 
Energy 0.0%
Neste Oil Oyj
    19,697       363,979  
                 
 
Food & Staples Retailing 0.1%
Kesko Oyj, B Shares
    17,426       662,769  
                 
 
Insurance 0.1%
Sampo Oyj, A Shares
    15,485       769,226  
                 
 
Materials 0.2%
Stora Enso Oyj, R Shares
    69,174       621,532  
UPM-Kymmene Oyj
    68,161       1,110,926  
                 
              1,732,458  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
Orion Oyj, Class B
    8,519       315,835  
                 
 
Technology Hardware & Equipment 0.4%
Nokia Oyj
    547,547       4,337,873  
                 
 
Telecommunication Services 0.0%
Elisa Oyj
    11,394       326,960  
                 
 
Utilities 0.1%
Fortum Oyj
    33,167       852,716  
                 
              11,089,530  
 
France 10.5%
                 
 
Automobiles & Components 0.4%
Faurecia
    5,093       180,164  
Peugeot S.A. *
    108,441       1,617,396  
Renault S.A.
    19,336       1,614,171  
Valeo S.A.
    4,785       573,327  
                 
              3,985,058  
 
 
 
 3

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Banks 0.9%
BNP Paribas S.A.
    72,490       4,809,961  
Credit Agricole S.A.
    82,748       1,119,366  
Societe Generale S.A.
    47,784       2,398,873  
                 
              8,328,200  
                 
 
Capital Goods 1.5%
Airbus Group N.V.
    12,628       732,679  
Alstom S.A. *
    22,467       808,031  
Bouygues S.A.
    35,346       1,392,384  
Compagnie de Saint-Gobain
    68,890       3,351,968  
Eiffage S.A.
    7,798       505,469  
Legrand S.A.
    9,721       539,085  
Nexans S.A. *
    5,618       255,874  
Rexel S.A.
    21,624       419,004  
Safran S.A.
    8,304       488,003  
Schneider Electric SE
    28,952       2,453,870  
Thales S.A.
    5,209       296,260  
Vallourec S.A.
    15,648       692,452  
Vinci S.A.
    41,676       2,876,182  
                 
              14,811,261  
                 
 
Commercial & Professional Supplies 0.0%
Teleperformance
    3,873       269,091  
                 
 
Consumer Durables & Apparel 0.3%
Christian Dior S.A.
    3,126       544,487  
Kering
    4,250       909,856  
LVMH Moet Hennessy Louis Vuitton S.A.
    9,916       1,705,771  
                 
              3,160,114  
                 
 
Consumer Services 0.1%
Accor S.A.
    15,629       756,875  
Sodexo
    5,371       533,813  
                 
              1,290,688  
                 
 
Diversified Financials 0.0%
Wendel S.A.
    1,661       217,895  
                 
 
Energy 2.0%
CGG S.A. *
    21,165       219,012  
Technip S.A.
    5,395       498,362  
Total S.A.
    289,317       18,659,404  
                 
              19,376,778  
                 
 
Food & Staples Retailing 0.5%
Carrefour S.A.
    91,909       3,174,054  
Casino Guichard Perrachon S.A.
    7,143       860,911  
Rallye S.A.
    8,153       409,077  
                 
              4,444,042  
                 
 
Food, Beverage & Tobacco 0.3%
Danone S.A.
    28,239       2,039,725  
Pernod-Ricard S.A.
    7,673       859,308  
                 
              2,899,033  
                 
 
Health Care Equipment & Services 0.1%
Essilor International S.A.
    5,421       529,567  
                 
 
Household & Personal Products 0.1%
L’Oreal S.A.
    7,343       1,239,938  
                 
 
Insurance 0.4%
AXA S.A.
    140,889       3,236,876  
CNP Assurances
    12,345       242,536  
SCOR SE
    11,759       378,273  
                 
              3,857,685  
                 
 
Materials 0.4%
Air Liquide S.A.
    16,157       2,056,045  
Arkema S.A.
    4,479       415,285  
Lafarge S.A.
    18,648       1,451,443  
                 
              3,922,773  
                 
 
Media 0.1%
Eutelsat Communications S.A.
    8,246       284,768  
Publicis Groupe S.A.
    4,547       329,900  
Solocal Group *
    127,105       103,854  
                 
              718,522  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.8%
Sanofi
    71,473       7,504,009  
                 
 
Real Estate 0.0%
Unibail-Rodamco SE
    615       165,088  
                 
 
Software & Services 0.1%
AtoS
    2,728       213,015  
Cap Gemini S.A.
    11,323       821,068  
                 
              1,034,083  
                 
 
Technology Hardware & Equipment 0.1%
Alcatel-Lucent *
    130,942       458,378  
                 
 
Telecommunication Services 1.4%
Orange S.A.
    579,510       9,074,725  
Vivendi S.A. *
    168,008       4,216,708  
                 
              13,291,433  
                 
 
Transportation 0.1%
Air France-KLM *(c)
    79,869       863,111  
                 
 
Utilities 0.9%
Electricite de France S.A.
    31,364       1,013,177  
GDF Suez
    206,926       5,335,483  
Suez Environnement Co.
    36,545       682,045  
Veolia Environnement S.A.
    98,443       1,743,610  
                 
              8,774,315  
                 
              101,141,062  
 
Germany 8.2%
                 
 
Automobiles & Components 1.1%
Bayerische Motoren Werke AG
    22,679       2,701,520  
Continental AG
    4,218       908,407  
Daimler AG - Reg’d
    79,154       6,531,686  
Volkswagen AG
    1,871       431,487  
                 
              10,573,100  
                 
 
Banks 0.1%
Commerzbank AG *
    37,945       545,194  
                 
 
Capital Goods 0.9%
Brenntag AG
    3,023       485,340  
GEA Group AG
    8,436       378,526  
Hochtief AG
    3,214       269,539  
Kloeckner & Co. SE *
    22,174       288,416  
MAN SE
    2,574       305,650  
MTU Aero Engines AG
    2,365       203,462  
OSRAM Licht AG *
    1,862       75,212  
Rheinmetall AG
    4,290       260,025  
 
 
 
4 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Siemens AG - Reg’d
    51,514       6,361,779  
                 
              8,627,949  
                 
 
Commercial & Professional Supplies 0.0%
Bilfinger SE
    3,500       284,788  
                 
 
Consumer Durables & Apparel 0.1%
adidas AG
    9,658       764,764  
                 
 
Consumer Services 0.0%
TUI AG
    24,693       348,522  
                 
 
Diversified Financials 0.3%
Deutsche Bank AG - Reg’d
    68,964       2,358,463  
Deutsche Boerse AG
    9,146       662,123  
                 
              3,020,586  
                 
 
Food & Staples Retailing 0.1%
Metro AG *
    33,715       1,214,920  
                 
 
Food, Beverage & Tobacco 0.0%
Suedzucker AG (c)
    8,228       144,134  
                 
 
Health Care Equipment & Services 0.2%
Fresenius Medical Care AG & Co. KGaA
    9,616       666,561  
Fresenius SE & Co. KGaA
    6,206       928,042  
                 
              1,594,603  
                 
 
Household & Personal Products 0.1%
Beiersdorf AG
    2,782       250,753  
Henkel AG & Co. KGaA
    4,018       382,500  
                 
              633,253  
                 
 
Insurance 0.8%
Allianz SE - Reg’d
    30,786       5,125,440  
Hannover Rueck SE
    3,872       330,528  
Muenchener Rueckversicherungs AG - Reg’d
    11,354       2,409,002  
                 
              7,864,970  
                 
 
Materials 1.4%
Aurubis AG
    7,554       366,813  
BASF SE
    73,258       7,581,759  
HeidelbergCement AG
    12,022       891,789  
K&S AG - Reg’d
    21,258       651,379  
LANXESS AG
    7,364       469,027  
Linde AG
    8,047       1,641,256  
Salzgitter AG
    11,141       414,795  
ThyssenKrupp AG *
    65,155       1,835,351  
                 
              13,852,169  
                 
 
Media 0.0%
ProSiebenSat.1 Media AG - Reg’d
    5,406       226,665  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.5%
Bayer AG - Reg’d
    35,597       4,695,475  
Merck KGaA
    4,190       370,522  
                 
              5,065,997  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
Infineon Technologies AG
    42,535       468,673  
                 
 
Software & Services 0.2%
SAP SE
    23,237       1,826,239  
                 
 
Telecommunication Services 0.8%
Deutsche Telekom AG - Reg’d
    429,405       6,968,233  
Freenet AG
    9,512       250,989  
                 
              7,219,222  
                 
 
Transportation 0.3%
Deutsche Lufthansa AG - Reg’d
    37,862       667,889  
Deutsche Post AG - Reg’d
    70,936       2,269,574  
                 
              2,937,463  
                 
 
Utilities 1.2%
E.ON SE
    391,631       7,393,335  
RWE AG
    102,585       4,118,616  
                 
              11,511,951  
                 
              78,725,162  
 
Hong Kong 1.1%
                 
 
Banks 0.1%
Hang Seng Bank Ltd.
    29,200       494,664  
                 
 
Capital Goods 0.3%
Hutchison Whampoa Ltd.
    105,000       1,424,371  
Jardine Matheson Holdings Ltd.
    11,200       668,518  
Jardine Strategic Holdings Ltd.
    8,000       285,930  
Noble Group Ltd.
    784,879       888,509  
                 
              3,267,328  
                 
 
Consumer Durables & Apparel 0.1%
Li & Fung Ltd.
    390,000       519,527  
                 
 
Consumer Services 0.0%
Sands China Ltd.
    21,600       158,581  
                 
 
Diversified Financials 0.0%
Hong Kong Exchanges & Clearing Ltd.
    14,000       313,610  
                 
 
Insurance 0.1%
AIA Group Ltd.
    178,200       954,688  
                 
 
Real Estate 0.2%
Cheung Kong Holdings Ltd.
    31,000       598,905  
New World Development Co., Ltd.
    180,000       226,987  
Sun Hung Kai Properties Ltd.
    23,000       349,123  
Swire Pacific Ltd., Class A
    40,500       521,444  
The Link REIT
    46,000       260,983  
The Wharf Holdings Ltd.
    42,000       334,739  
                 
              2,292,181  
                 
 
Retailing 0.1%
Esprit Holdings Ltd.
    343,884       538,074  
                 
 
Telecommunication Services 0.0%
PCCW Ltd.
    469,000       288,660  
                 
 
Utilities 0.2%
CLP Holdings Ltd.
    105,500       877,618  
Hong Kong & China Gas Co., Ltd.
    130,735       286,097  
Power Assets Holdings Ltd.
    33,500       299,229  
                 
              1,462,944  
                 
              10,290,257  
 
Ireland 0.6%
                 
 
Banks 0.1%
Bank of Ireland *
    1,517,682       533,285  
 
 
 
 5

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Commercial & Professional Supplies 0.1%
Experian plc
    33,056       565,612  
                 
 
Food, Beverage & Tobacco 0.0%
Kerry Group plc, Class A
    4,691       348,622  
                 
 
Materials 0.2%
CRH plc
    77,160       1,800,955  
Smurfit Kappa Group plc
    19,212       416,923  
                 
              2,217,878  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Shire plc
    7,678       631,964  
                 
 
Technology Hardware & Equipment 0.1%
Seagate Technology plc
    22,497       1,318,324  
                 
              5,615,685  
 
Israel 0.4%
                 
 
Banks 0.0%
Bank Leumi Le-Israel B.M. *
    77,244       303,313  
                 
 
Materials 0.0%
Israel Chemicals Ltd.
    43,870       356,718  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.3%
Teva Pharmaceutical Industries Ltd.
    43,604       2,334,815  
                 
 
Telecommunication Services 0.1%
Bezeq The Israeli Telecommunication Corp., Ltd.
    278,804       519,138  
                 
              3,513,984  
 
Italy 4.2%
                 
 
Automobiles & Components 0.2%
Fiat S.p.A. *
    153,260       1,470,915  
Pirelli & C. S.p.A
    16,232       242,072  
                 
              1,712,987  
                 
 
Banks 1.1%
Banca Monte dei Paschi di Siena S.p.A. *
    58,422       105,611  
Banca Popolare dell’Emilia Romagna SC *
    33,250       281,112  
Banco Popolare SC *
    28,780       444,468  
Intesa Sanpaolo S.p.A.
    1,360,342       4,039,702  
Intesa Sanpaolo S.p.A. - RSP
    100,761       269,253  
UniCredit S.p.A.
    605,286       4,721,907  
Unione di Banche Italiane S.C.p.A.
    79,920       657,974  
                 
              10,520,027  
                 
 
Capital Goods 0.1%
Finmeccanica S.p.A. *
    85,367       786,476  
Prysmian S.p.A.
    11,500       244,539  
                 
              1,031,015  
                 
 
Consumer Durables & Apparel 0.0%
Luxottica Group S.p.A.
    3,933       216,980  
                 
 
Diversified Financials 0.1%
Exor S.p.A.
    10,165       389,137  
Mediobanca S.p.A. *
    39,407       347,337  
                 
              736,474  
                 
 
Energy 1.1%
Eni S.p.A.
    411,140       10,461,831  
Saipem S.p.A. *
    24,337       566,857  
                 
              11,028,688  
                 
 
Insurance 0.2%
Assicurazioni Generali S.p.A.
    69,975       1,460,585  
                 
 
Materials 0.0%
Italcementi S.p.A.
    29,368       217,874  
                 
 
Media 0.0%
Mediaset S.p.A. *
    114,251       453,234  
                 
 
Telecommunication Services 0.5%
Telecom Italia S.p.A. *
    2,812,403       3,240,708  
Telecom Italia S.p.A. - RSP
    1,647,516       1,540,381  
                 
              4,781,089  
                 
 
Transportation 0.1%
Atlantia S.p.A.
    21,457       567,886  
                 
 
Utilities 0.8%
A2A S.p.A.
    178,901       204,146  
Enel S.p.A.
    1,144,220       6,514,021  
Snam S.p.A.
    87,922       518,290  
Terna - Rete Elettrica Nationale S.p.A.
    62,256       327,416  
                 
              7,563,873  
                 
              40,290,712  
 
Japan 20.2%
                 
 
Automobiles & Components 2.5%
Aisin Seiki Co., Ltd.
    20,600       800,060  
Bridgestone Corp.
    47,800       1,725,119  
Daihatsu Motor Co., Ltd.
    20,300       360,327  
Denso Corp.
    30,400       1,402,217  
Fuji Heavy Industries Ltd.
    20,600       587,456  
Honda Motor Co., Ltd.
    128,100       4,459,297  
Isuzu Motors Ltd.
    74,000       513,605  
Mazda Motor Corp.
    27,000       648,737  
NHK Spring Co., Ltd.
    22,600       221,323  
Nissan Motor Co., Ltd.
    270,100       2,649,791  
Stanley Electric Co., Ltd.
    11,200       290,497  
Sumitomo Rubber Industries Ltd.
    15,700       227,403  
Suzuki Motor Corp.
    36,500       1,218,005  
Toyota Industries Corp.
    11,200       545,644  
Toyota Motor Corp.
    137,600       8,123,905  
Yamaha Motor Co., Ltd.
    28,600       473,785  
                 
              24,247,171  
                 
 
Banks 1.0%
Mitsubishi UFJ Financial Group, Inc.
    612,334       3,611,117  
Mizuho Financial Group, Inc.
    1,025,416       1,990,816  
Resona Holdings, Inc.
    108,858       606,620  
Sumitomo Mitsui Financial Group, Inc.
    64,310       2,621,563  
Sumitomo Mitsui Trust Holdings, Inc.
    88,000       382,950  
The Bank of Yokohama Ltd.
    52,000       295,887  
                 
              9,508,953  
                 
 
Capital Goods 3.1%
Asahi Glass Co., Ltd.
    182,000       1,078,495  
 
 
 
6 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Daikin Industries Ltd.
    11,000       755,469  
FANUC Corp.
    4,900       846,868  
Furukawa Electric Co., Ltd.
    130,000       274,986  
Hanwa Co., Ltd.
    59,000       244,676  
Hino Motors Ltd.
    14,100       194,989  
IHI Corp.
    85,000       393,082  
ITOCHU Corp.
    115,700       1,473,177  
JGC Corp.
    12,000       363,628  
JTEKT Corp.
    17,900       309,906  
Kajima Corp.
    82,000       381,305  
Kawasaki Heavy Industries Ltd.
    95,000       369,560  
Kinden Corp.
    21,000       234,718  
Komatsu Ltd.
    64,300       1,426,001  
Kubota Corp.
    43,000       566,108  
Kurita Water Industries Ltd.
    9,400       215,996  
LIXIL Group Corp.
    20,800       504,230  
Makita Corp.
    6,300       372,626  
Marubeni Corp.
    150,000       1,054,206  
Mitsubishi Corp.
    137,200       2,891,059  
Mitsubishi Electric Corp.
    141,000       1,861,416  
Mitsubishi Heavy Industries Ltd.
    225,000       1,466,692  
Mitsui & Co., Ltd.
    167,200       2,681,452  
Mitsui Engineering & Shipbuilding Co., Ltd.
    109,000       221,833  
Nagase & Co., Ltd.
    18,000       221,078  
Nidec Corp.
    7,800       507,988  
Nippon Sheet Glass Co., Ltd. *
    216,000       300,721  
NSK Ltd.
    29,000       407,979  
Obayashi Corp.
    48,000       350,318  
Shimizu Corp.
    71,000       543,828  
SMC Corp.
    1,600       441,726  
Sojitz Corp.
    440,300       748,918  
Sumitomo Corp.
    117,800       1,552,374  
Sumitomo Electric Industries Ltd.
    82,100       1,203,379  
Sumitomo Heavy Industries Ltd.
    76,000       371,429  
Taisei Corp.
    81,000       456,806  
Toshiba Corp.
    407,000       1,810,195  
TOTO Ltd.
    15,000       188,021  
Toyota Tsusho Corp.
    32,900       914,644  
                 
              30,201,882  
                 
 
Commercial & Professional Supplies 0.3%
Dai Nippon Printing Co., Ltd.
    93,000       954,026  
Secom Co., Ltd.
    12,600       766,409  
Toppan Printing Co., Ltd.
    92,000       700,799  
                 
              2,421,234  
                 
 
Consumer Durables & Apparel 1.0%
Bandai Namco Holdings, Inc.
    17,200       435,311  
Nikon Corp.
    28,600       443,582  
Panasonic Corp.
    263,950       3,291,041  
Sega Sammy Holdings, Inc.
    11,300       223,531  
Sekisui Chemical Co., Ltd.
    39,000       467,628  
Sekisui House Ltd.
    54,300       712,681  
Sharp Corp. *
    307,000       956,244  
Shimano, Inc.
    2,700       315,200  
Sony Corp.
    122,400       2,230,830  
Sumitomo Forestry Co., Ltd.
    18,100       213,215  
                 
              9,289,263  
                 
 
Consumer Services 0.1%
Benesse Holdings, Inc.
    6,000       226,031  
Oriental Land Co., Ltd.
    1,700       319,237  
                 
              545,268  
                 
 
Diversified Financials 0.1%
Credit Saison Co., Ltd.
    11,000       216,434  
Nomura Holdings, Inc.
    51,300       323,886  
ORIX Corp.
    39,300       635,138  
                 
              1,175,458  
                 
 
Energy 0.7%
Cosmo Oil Co., Ltd.
    212,000       424,962  
Idemitsu Kosan Co., Ltd.
    35,900       733,787  
Inpex Corp.
    96,900       1,436,121  
JX Holdings, Inc.
    649,800       3,341,337  
Showa Shell Sekiyu K.K.
    31,700       357,527  
TonenGeneral Sekiyu K.K.
    54,000       471,603  
                 
              6,765,337  
                 
 
Food & Staples Retailing 0.5%
Aeon Co., Ltd.
    116,400       1,306,952  
Lawson, Inc.
    3,800       284,568  
Seven & i Holdings Co., Ltd.
    72,500       3,017,129  
UNY Group Holdings Co., Ltd.
    54,500       323,979  
                 
              4,932,628  
                 
 
Food, Beverage & Tobacco 0.7%
Ajinomoto Co., Inc.
    49,000       753,235  
Asahi Group Holdings Ltd.
    25,100       756,982  
Coca-Cola West Co., Ltd.
    11,800       196,662  
Japan Tobacco, Inc.
    45,000       1,582,538  
Kewpie Corp.
    14,100       253,730  
Kirin Holdings Co., Ltd.
    82,600       1,157,824  
MEIJI Holdings Co., Ltd.
    7,600       544,741  
NH Foods Ltd.
    23,000       470,824  
Nisshin Seifun Group, Inc.
    21,300       248,740  
Nissin Foods Holdings Co., Ltd.
    4,800       263,742  
Suntory Beverage & Food Ltd.
    1,000       37,474  
Toyo Suisan Kaisha Ltd.
    8,000       242,657  
Yamazaki Baking Co., Ltd.
    22,000       278,461  
                 
              6,787,610  
                 
 
Health Care Equipment & Services 0.2%
Alfresa Holdings Corp.
    7,100       423,874  
Medipal Holdings Corp.
    31,600       398,245  
Olympus Corp. *
    8,100       291,469  
Suzuken Co., Ltd.
    12,100       385,786  
Terumo Corp.
    12,500       283,438  
                 
              1,782,812  
                 
 
Household & Personal Products 0.2%
Kao Corp.
    34,300       1,410,560  
Shiseido Co., Ltd.
    26,900       530,170  
Unicharm Corp.
    3,600       220,438  
                 
              2,161,168  
                 
 
Insurance 0.3%
MS&AD Insurance Group Holdings, Inc.
    19,290       439,086  
NKSJ Holdings, Inc.
    19,400       489,878  
T&D Holdings, Inc.
    21,550       270,465  
The Dai-ichi Life Insurance Co., Ltd.
    35,000       493,032  
Tokio Marine Holdings, Inc.
    29,700       933,969  
                 
              2,626,430  
 
 
 
 7

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Materials 1.7%
Air Water, Inc.
    9,000       143,937  
Asahi Kasei Corp.
    125,000       987,890  
Daicel Corp.
    26,000       262,403  
Denki Kagaku Kogyo K.K.
    62,000       231,618  
DIC Corp.
    85,000       194,735  
Hitachi Chemical Co., Ltd.
    14,000       246,259  
JFE Holdings, Inc.
    82,600       1,743,360  
JSR Corp.
    16,500       284,492  
Kaneka Corp.
    36,000       216,504  
Kobe Steel Ltd.
    441,000       717,868  
Kuraray Co., Ltd.
    32,000       419,152  
Mitsubishi Chemical Holdings Corp.
    209,200       915,588  
Mitsubishi Materials Corp.
    117,000       425,322  
Mitsui Chemicals, Inc.
    184,000       496,039  
Mitsui Mining & Smelting Co., Ltd.
    85,000       252,345  
Nippon Paper Industries Co., Ltd.
    5,400       94,412  
Nippon Steel & Sumitomo Metal Corp.
    673,000       2,032,231  
Nitto Denko Corp.
    11,800       526,592  
Oji Holdings Corp.
    109,000       438,695  
Shin-Etsu Chemical Co., Ltd.
    24,500       1,553,990  
Showa Denko K.K.
    261,000       379,673  
Sumitomo Chemical Co., Ltd.
    193,000       733,598  
Sumitomo Metal Mining Co., Ltd.
    47,000       782,984  
Taiheiyo Cement Corp.
    69,000       267,154  
Taiyo Nippon Sanso Corp.
    26,000       227,997  
Teijin Ltd.
    194,000       480,423  
Toray Industries, Inc.
    116,000       785,186  
Tosoh Corp.
    62,000       272,035  
Toyo Seikan Group Holdings Ltd.
    22,700       353,536  
Ube Industries Ltd.
    173,000       298,503  
                 
              16,764,521  
                 
 
Media 0.1%
Dentsu, Inc.
    17,201       681,264  
Hakuhodo DY Holdings, Inc.
    46,900       492,399  
                 
              1,173,663  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.8%
Astellas Pharma, Inc.
    116,100       1,574,386  
Chugai Pharmaceutical Co., Ltd.
    9,200       306,203  
Daiichi Sankyo Co., Ltd.
    51,100       929,186  
Eisai Co., Ltd.
    16,200       686,230  
Kyowa Hakko Kirin Co., Ltd.
    19,000       261,033  
Mitsubishi Tanabe Pharma Corp.
    14,900       216,431  
Ono Pharmaceutical Co., Ltd.
    3,600       304,521  
Otsuka Holdings Co., Ltd.
    27,700       882,045  
Shionogi & Co., Ltd.
    15,000       323,834  
Taisho Pharmaceutical Holdings Co., Ltd.
    4,000       284,754  
Takeda Pharmaceutical Co., Ltd.
    52,600       2,399,215  
                 
              8,167,838  
                 
 
Real Estate 0.3%
Daito Trust Construction Co., Ltd.
    5,100       614,682  
Daiwa House Industry Co., Ltd.
    35,000       710,473  
Mitsubishi Estate Co., Ltd.
    26,000       635,780  
Mitsui Fudosan Co., Ltd.
    23,000       759,547  
Sumitomo Realty & Development Co., Ltd.
    8,500       350,950  
                 
              3,071,432  
                 
 
Retailing 0.4%
EDION Corp.
    47,500       314,049  
Fast Retailing Co., Ltd.
    1,000       330,148  
Isetan Mitsukoshi Holdings Ltd.
    34,500       427,519  
J. Front Retailing Co., Ltd.
    49,000       330,183  
K’s Holdings Corp.
    8,200       234,433  
Marui Group Co., Ltd.
    23,200       223,864  
Nitori Holdings Co., Ltd.
    4,800       269,620  
Shimamura Co., Ltd.
    3,600       357,008  
Takashimaya Co., Ltd.
    32,000       294,296  
Yamada Denki Co., Ltd.
    323,800       1,149,243  
                 
              3,930,363  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
Rohm Co., Ltd.
    10,400       586,304  
Tokyo Electron Ltd.
    11,100       725,090  
                 
              1,311,394  
                 
 
Software & Services 0.5%
Fujitsu Ltd.
    368,000       2,820,895  
Konami Corp.
    9,800       227,523  
Nintendo Co., Ltd.
    15,030       1,669,682  
NTT Data Corp.
    13,000       495,069  
                 
              5,213,169  
                 
 
Technology Hardware & Equipment 2.1%
Brother Industries Ltd.
    28,000       500,956  
Canon, Inc.
    126,600       4,141,751  
FUJIFILM Holdings Corp.
    64,800       1,849,769  
Hitachi Ltd.
    496,000       3,844,397  
Hoya Corp.
    28,400       919,551  
Ibiden Co., Ltd.
    16,000       319,712  
Keyence Corp.
    673       293,189  
Konica Minolta, Inc.
    64,900       692,866  
Kyocera Corp.
    25,200       1,220,614  
Murata Manufacturing Co., Ltd.
    8,100       772,135  
NEC Corp.
    492,000       1,899,543  
Nippon Electric Glass Co., Ltd.
    80,000       448,198  
Omron Corp.
    11,100       492,315  
Ricoh Co., Ltd.
    80,500       921,524  
Seiko Epson Corp.
    16,700       714,858  
TDK Corp.
    15,000       719,566  
                 
              19,750,944  
                 
 
Telecommunication Services 1.3%
KDDI Corp.
    47,900       2,753,430  
Nippon Telegraph & Telephone Corp.
    75,004       4,980,584  
NTT DOCOMO, Inc.
    152,700       2,677,770  
SoftBank Corp.
    25,500       1,833,150  
                 
              12,244,934  
                 
 
Transportation 1.1%
ANA Holdings, Inc.
    112,000       277,090  
Central Japan Railway Co.
    10,700       1,519,634  
East Japan Railway Co.
    25,618       2,052,182  
Hankyu Hanshin Holdings, Inc.
    77,000       448,283  
Kamigumi Co., Ltd.
    25,000       239,104  
Kawasaki Kisen Kaisha Ltd.
    154,000       328,301  
Kintetsu Corp.
    77,000       280,385  
Mitsui O.S.K. Lines Ltd.
    203,000       752,165  
 
 
 
8 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Nagoya Railroad Co., Ltd.
    74,000       309,663  
Nippon Express Co., Ltd.
    138,000       667,347  
Nippon Yusen K.K.
    300,000       859,569  
Odakyu Electric Railway Co., Ltd.
    24,000       235,110  
Seino Holdings Co., Ltd.
    25,000       268,780  
Tobu Railway Co., Ltd.
    56,000       293,200  
Tokyu Corp.
    66,000       474,484  
West Japan Railway Co.
    18,163       823,806  
Yamato Holdings Co., Ltd.
    33,800       704,078  
                 
              10,533,181  
                 
 
Utilities 1.1%
Chubu Electric Power Co., Inc. *
    120,100       1,396,114  
Electric Power Development Co., Ltd.
    13,100       422,046  
Hokkaido Electric Power Co., Inc. *
    33,300       288,489  
Hokuriku Electric Power Co.
    27,000       349,666  
Kyushu Electric Power Co., Inc. *
    66,100       733,938  
Osaka Gas Co., Ltd.
    195,000       811,061  
Shikoku Electric Power Co., Inc. *
    23,000       303,270  
The Chugoku Electric Power Co., Inc.
    36,900       490,609  
The Kansai Electric Power Co., Inc. *
    130,800       1,194,748  
Toho Gas Co., Ltd.
    45,000       248,653  
Tohoku Electric Power Co., Inc.
    74,000       808,038  
Tokyo Electric Power Co., Inc. *
    501,500       1,956,656  
Tokyo Gas Co., Ltd.
    215,000       1,228,229  
                 
              10,231,517  
                 
              194,838,170  
 
Luxembourg 0.6%
                 
 
Energy 0.1%
Tenaris S.A.
    24,669       531,053  
                 
 
Materials 0.4%
APERAM *
    13,638       458,965  
ArcelorMittal
    250,353       3,801,596  
                 
              4,260,561  
                 
 
Media 0.1%
RTL Group S.A. *
    1,304       132,742  
SES S.A.
    15,302       562,455  
                 
              695,197  
                 
 
Telecommunication Services 0.0%
Millicom International Cellular S.A. SDR
    4,189       356,405  
                 
              5,843,216  
 
Netherlands 6.0%
                 
 
Capital Goods 0.3%
Koninklijke BAM Groep N.V.
    50,125       135,888  
Koninklijke Boskalis Westminster N.V.
    4,395       234,731  
Koninklijke Philips N.V.
    70,779       2,181,449  
                 
              2,552,068  
                 
 
Commercial & Professional Supplies 0.0%
Randstad Holding N.V.
    9,463       469,088  
                 
 
Diversified Financials 0.3%
ING Groep N.V. CVA *
    211,268       2,743,861  
SNS Reaal N.V. *(a)(b)(c)
    124,822       —  
                 
              2,743,861  
                 
 
Energy 3.8%
Fugro N.V. CVA
    6,392       246,132  
Royal Dutch Shell plc, A Shares
    518,034       21,302,672  
Royal Dutch Shell plc, B Shares
    338,693       14,584,725  
                 
              36,133,529  
                 
 
Food & Staples Retailing 0.2%
Koninklijke Ahold N.V.
    137,921       2,404,835  
                 
 
Food, Beverage & Tobacco 0.5%
Heineken Holding N.V.
    7,716       491,262  
Heineken N.V.
    10,248       719,874  
Nutreco N.V. (c)
    6,582       281,177  
Unilever N.V. CVA
    73,861       3,039,823  
                 
              4,532,136  
                 
 
Insurance 0.2%
Aegon N.V.
    132,586       1,075,228  
Delta Lloyd N.V.
    18,930       437,259  
                 
              1,512,487  
                 
 
Materials 0.3%
Akzo Nobel N.V.
    25,718       1,852,303  
Koninklijke DSM N.V.
    13,045       901,191  
                 
              2,753,494  
                 
 
Media 0.1%
Reed Elsevier N.V.
    15,700       353,414  
Wolters Kluwer N.V.
    16,061       444,991  
                 
              798,405  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
ASML Holding N.V.
    4,656       439,108  
                 
 
Software & Services 0.0%
Gemalto N.V.
    1,985       193,869  
                 
 
Telecommunication Services 0.2%
Koninklijke (Royal) KPN N.V. *
    544,812       1,742,119  
Ziggo N.V.
    3,902       175,961  
                 
              1,918,080  
                 
 
Transportation 0.1%
PostNL N.V. *
    151,544       756,303  
TNT Express N.V.
    44,267       356,710  
                 
              1,113,013  
                 
              57,563,973  
 
New Zealand 0.1%
                 
 
Materials 0.0%
Fletcher Building Ltd.
    50,506       388,744  
                 
 
Telecommunication Services 0.1%
Telecom Corp. of New Zealand Ltd.
    300,971       726,117  
                 
 
Utilities 0.0%
Meridian Energy Ltd.
    41,063       43,429  
                 
              1,158,290  
 
 
 
 9

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Norway 1.0%
                 
 
Banks 0.1%
DNB A.S.A.
    42,135       746,699  
                 
 
Energy 0.5%
Aker Solutions A.S.A.
    15,025       221,740  
Petroleum Geo-Services A.S.A.
    21,264       180,618  
Statoil A.S.A.
    154,381       4,411,371  
                 
              4,813,729  
                 
 
Food, Beverage & Tobacco 0.1%
Marine Harvest A.S.A.
    24,647       335,260  
Orkla A.S.A.
    84,673       766,424  
                 
              1,101,684  
                 
 
Materials 0.2%
Norsk Hydro A.S.A.
    115,673       685,776  
Yara International A.S.A.
    16,130       739,229  
                 
              1,425,005  
                 
 
Telecommunication Services 0.1%
Telenor A.S.A.
    49,115       1,130,285  
                 
              9,217,402  
 
Portugal 0.2%
                 
 
Banks 0.0%
Banco Comercial Portugues S.A., Class R *(c)
    1,577,988       225,367  
                 
 
Energy 0.0%
Galp Energia, SGPS, S.A.
    19,150       339,897  
                 
 
Telecommunication Services 0.1%
Portugal Telecom, SGPS, S.A. - Reg’d (c)
    213,876       461,687  
                 
 
Utilities 0.1%
EDP - Energias de Portugal S.A.
    243,654       1,141,052  
                 
              2,168,003  
 
Singapore 0.8%
                 
 
Banks 0.3%
DBS Group Holdings Ltd.
    59,056       860,406  
Oversea-Chinese Banking Corp., Ltd.
    86,897       693,517  
United Overseas Bank Ltd.
    44,952       867,512  
                 
              2,421,435  
                 
 
Capital Goods 0.1%
Keppel Corp., Ltd.
    67,300       589,883  
Sembcorp Industries Ltd.
    54,000       236,470  
                 
              826,353  
                 
 
Food, Beverage & Tobacco 0.1%
Wilmar International Ltd.
    175,166       457,334  
                 
 
Media 0.0%
Singapore Press Holdings Ltd.
    87,000       289,070  
                 
 
Retailing 0.0%
Jardine Cycle & Carriage Ltd.
    8,000       297,279  
                 
 
Technology Hardware & Equipment 0.1%
Flextronics International Ltd. *
    82,570       857,902  
Venture Corp., Ltd.
    43,000       279,167  
                 
              1,137,069  
                 
 
Telecommunication Services 0.1%
Singapore Telecommunications Ltd.
    400,486       1,302,582  
                 
 
Transportation 0.1%
ComfortDelGro Corp., Ltd.
    152,000       314,144  
Hutchison Port Holdings Trust, Class U
    191,000       142,103  
Singapore Airlines Ltd.
    61,270       505,931  
                 
              962,178  
                 
              7,693,300  
 
Spain 4.5%
                 
 
Banks 2.0%
Banco Bilbao Vizcaya Argentaria S.A.
    431,391       5,302,958  
Banco de Sabadell S.A.
    190,639       618,847  
Banco Popular Espanol S.A.
    118,029       720,280  
Banco Santander S.A.
    1,259,577       12,655,334  
CaixaBank S.A.
    20,151       121,172  
                 
              19,418,591  
                 
 
Capital Goods 0.2%
ACS, Actividades de Construccion y Servicios S.A.
    21,323       932,435  
Ferrovial S.A.
    25,868       541,991  
Fomento de Construcciones y Contratas S.A. *
    15,214       329,499  
                 
              1,803,925  
                 
 
Energy 0.4%
Repsol S.A.
    142,351       3,549,885  
                 
 
Food & Staples Retailing 0.0%
Distribuidora Internacional de Alimentacion S.A.
    31,925       264,618  
                 
 
Insurance 0.0%
Mapfre S.A.
    59,857       230,232  
                 
 
Retailing 0.1%
Inditex S.A.
    28,385       829,210  
                 
 
Software & Services 0.0%
Amadeus IT Holding S.A., A Shares
    9,162       360,531  
                 
 
Telecommunication Services 1.1%
Telefonica S.A.
    655,945       10,693,545  
                 
 
Transportation 0.1%
Abertis Infraestructuras S.A.
    21,512       471,488  
                 
 
Utilities 0.6%
Acciona S.A.
    5,167       423,719  
Enagas S.A.
    9,624       320,186  
Endesa S.A.
    13,314       512,934  
Gas Natural SDG S.A.
    26,251       806,503  
Iberdrola S.A.
    473,617       3,523,565  
Red Electrica Corp. S.A.
    4,730       406,446  
                 
              5,993,353  
                 
              43,615,378  
 
 
 
10 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Sweden 2.2%
                 
 
Automobiles & Components 0.1%
Autoliv, Inc.
    5,440       541,334  
                 
 
Banks 0.4%
Nordea Bank AB
    110,186       1,477,679  
Skandinaviska Enskilda Banken AB, A Shares
    63,184       845,842  
Svenska Handelsbanken AB, A Shares
    22,757       1,095,986  
Swedbank AB, A Shares
    27,937       715,680  
                 
              4,135,187  
                 
 
Capital Goods 0.7%
Alfa Laval AB
    13,048       296,298  
Assa Abloy AB, B Shares
    9,376       460,693  
Atlas Copco AB, A Shares
    28,899       862,198  
Atlas Copco AB, B Shares
    13,129       354,310  
NCC AB, B Shares
    8,979       280,568  
Sandvik AB
    76,046       956,585  
Skanska AB, B Shares
    35,035       727,976  
SKF AB, B Shares
    25,993       612,711  
Trelleborg AB, B Shares
    10,751       205,899  
Volvo AB, A Shares
    19,593       244,648  
Volvo AB, B Shares
    99,043       1,209,187  
                 
              6,211,073  
                 
 
Commercial & Professional Supplies 0.0%
Securitas AB, B Shares
    32,271       375,207  
                 
 
Consumer Durables & Apparel 0.1%
Electrolux AB, B Shares
    25,584       634,535  
Husqvarna AB, B Shares
    41,470       327,092  
                 
              961,627  
                 
 
Food, Beverage & Tobacco 0.0%
Swedish Match AB
    10,729       351,661  
                 
 
Health Care Equipment & Services 0.0%
Getinge AB, B Shares
    6,970       170,488  
                 
 
Household & Personal Products 0.1%
Svenska Cellulosa AB, A Shares
    1,569       38,917  
Svenska Cellulosa AB, S.C.A., B Shares
    39,665       976,791  
                 
              1,015,708  
                 
 
Materials 0.1%
Boliden AB
    35,574       576,303  
SSAB AB, A Shares *(c)
    46,615       450,003  
SSAB AB, B Shares *(c)
    19,558       171,456  
                 
              1,197,762  
                 
 
Retailing 0.2%
Hennes & Mauritz AB, B Shares
    36,322       1,484,895  
                 
 
Technology Hardware & Equipment 0.3%
Telefonaktiebolaget LM Ericsson, B Shares
    191,863       2,389,054  
                 
 
Telecommunication Services 0.2%
Tele2 AB, B Shares
    59,984       731,772  
TeliaSonera AB
    178,006       1,333,217  
                 
              2,064,989  
                 
              20,898,985  
 
Switzerland 5.4%
                 
 
Capital Goods 0.5%
Wolseley plc
    21,878       1,139,013  
ABB Ltd. - Reg’d *
    117,877       2,710,920  
Geberit AG - Reg’d
    1,073       359,536  
Schindler Holding AG
    1,703       254,510  
Schindler Holding AG - Reg’d
    386       57,175  
                 
              4,521,154  
                 
 
Commercial & Professional Supplies 0.1%
Adecco S.A. - Reg’d *
    12,289       919,199  
SGS S.A. - Reg’d
    196       426,975  
                 
              1,346,174  
                 
 
Consumer Durables & Apparel 0.2%
Cie Financiere Richemont S.A.
    10,538       999,974  
The Swatch Group AG - Bearer Shares
    765       407,961  
The Swatch Group AG - Reg’d
    1,605       160,719  
                 
              1,568,654  
                 
 
Diversified Financials 0.2%
Credit Suisse Group AG - Reg’d *
    57,402       1,557,187  
UBS AG - Reg’d *
    13,022       223,738  
                 
              1,780,925  
                 
 
Energy 0.2%
Transocean Ltd.
    29,564       1,188,009  
Weatherford International plc *
    43,459       972,178  
                 
              2,160,187  
                 
 
Food, Beverage & Tobacco 1.1%
Aryzta AG *
    3,165       286,276  
Coca-Cola HBC AG CDI *
    3,747       87,787  
Lindt & Spruengli AG
    18       93,571  
Lindt & Spruengli AG - Reg’d
    3       186,949  
Nestle S.A. - Reg’d
    141,220       10,455,929  
                 
              11,110,512  
                 
 
Insurance 0.6%
Baloise Holding AG - Reg’d
    2,673       321,843  
Swiss Life Holding AG - Reg’d *
    1,682       388,960  
Swiss Re AG *
    17,023       1,447,083  
Zurich Insurance Group AG *
    10,947       3,180,209  
                 
              5,338,095  
                 
 
Materials 0.7%
Clariant AG - Reg’d *
    16,655       310,064  
Givaudan S.A. - Reg’d *
    235       384,364  
Glencore plc
    500,914       3,026,836  
Holcim Ltd. - Reg’d *
    17,252       1,380,445  
Sika AG
    84       326,761  
Syngenta AG - Reg’d
    3,179       1,126,174  
                 
              6,554,644  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 1.5%
Lonza Group AG - Reg’d *
    2,426       269,028  
Novartis AG - Reg’d
    91,490       7,959,501  
Roche Holding AG
    20,148       5,847,062  
Roche Holding AG - Bearer Shares
    747       213,110  
                 
              14,288,701  
 
 
 
 11

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Semiconductors & Semiconductor Equipment 0.1%
STMicroelectronics N.V.
    70,751       586,870  
                 
 
Technology Hardware & Equipment 0.1%
TE Connectivity Ltd.
    20,244       1,252,901  
                 
 
Telecommunication Services 0.1%
Swisscom AG - Reg’d
    1,282       711,767  
                 
 
Transportation 0.0%
Kuehne & Nagel International AG - Reg’d
    2,965       395,406  
                 
              51,615,990  
 
United Kingdom 16.9%
                 
 
Automobiles & Components 0.1%
Delphi Automotive plc
    9,500       634,600  
GKN plc
    68,338       393,194  
                 
              1,027,794  
                 
 
Banks 2.4%
Barclays plc
    1,193,418       4,523,875  
HSBC Holdings plc
    1,215,252       13,028,612  
Lloyds Banking Group plc *
    1,774,068       2,211,685  
Royal Bank of Scotland Group plc *
    165,608       987,098  
Standard Chartered plc
    94,035       1,950,075  
                 
              22,701,345  
                 
 
Capital Goods 0.7%
BAE Systems plc
    268,255       1,933,300  
Balfour Beatty plc
    95,401       383,175  
Bunzl plc
    15,505       415,587  
Carillion plc
    50,319       282,998  
Cobham plc
    68,636       338,652  
IMI plc
    10,963       261,477  
Meggitt plc
    33,662       288,233  
Rolls-Royce Holdings plc *
    74,383       1,298,456  
SIG plc
    77,950       219,570  
Smiths Group plc
    21,002       450,668  
The Weir Group plc
    5,876       253,613  
Travis Perkins plc
    14,232       400,731  
                 
              6,526,460  
                 
 
Commercial & Professional Supplies 0.2%
Aggreko plc
    9,427       272,993  
Babcock International Group plc
    10,675       197,284  
Capita plc
    19,061       385,955  
G4S plc
    133,125       563,327  
Hays plc
    120,952       247,978  
Serco Group plc
    40,218       245,594  
                 
              1,913,131  
                 
 
Consumer Durables & Apparel 0.1%
Barratt Developments plc
    59,719       350,341  
Burberry Group plc
    13,351       317,467  
Taylor Wimpey plc
    148,770       278,076  
                 
              945,884  
                 
 
Consumer Services 0.4%
Carnival plc
    15,245       549,165  
Compass Group plc
    88,592       1,443,567  
InterContinental Hotels Group plc
    8,037       326,067  
Thomas Cook Group plc *
    158,689       326,450  
TUI Travel plc
    63,769       389,261  
Whitbread plc
    6,639       480,766  
William Hill plc
    36,990       219,252  
                 
              3,734,528  
                 
 
Diversified Financials 0.1%
ICAP plc
    36,600       214,041  
Man Group plc
    452,629       904,653  
                 
              1,118,694  
                 
 
Energy 2.9%
AMEC plc
    18,466       353,490  
BG Group plc
    163,494       3,223,977  
BP plc
    2,802,951       22,826,504  
Ensco plc, Class A
    7,675       388,739  
John Wood Group plc
    23,561       296,983  
Noble Corp., plc
    16,952       531,784  
Petrofac Ltd.
    9,408       173,374  
Subsea 7 S.A.
    11,511       192,267  
Tullow Oil plc
    17,590       215,663  
                 
              28,202,781  
                 
 
Food & Staples Retailing 0.7%
Booker Group plc
    85,653       180,267  
J. Sainsbury plc
    246,010       1,296,686  
Tesco plc
    988,550       4,289,042  
WM Morrison Supermarkets plc
    493,631       1,401,073  
                 
              7,167,068  
                 
 
Food, Beverage & Tobacco 1.5%
Associated British Foods plc
    14,938       699,275  
British American Tobacco plc
    87,370       5,118,341  
Diageo plc
    72,406       2,174,521  
Imperial Tobacco Group plc
    52,167       2,258,514  
SABMiller plc
    26,329       1,433,656  
Tate & Lyle plc
    35,725       375,061  
Unilever plc
    54,915       2,372,685  
                 
              14,432,053  
                 
 
Health Care Equipment & Services 0.1%
Smith & Nephew plc
    41,406       712,585  
                 
 
Household & Personal Products 0.2%
Reckitt Benckiser Group plc
    21,298       1,880,133  
                 
 
Insurance 0.8%
Amlin plc
    34,183       262,631  
Aviva plc
    234,194       1,981,933  
Direct Line Insurance Group plc
    47,245       226,785  
Friends Life Group Ltd.
    109,653       613,208  
Legal & General Group plc
    161,017       635,223  
Old Mutual plc
    273,702       900,417  
Prudential plc
    55,720       1,280,660  
RSA Insurance Group plc
    79,591       616,371  
Standard Life plc
    86,816       547,050  
Willis Group Holdings plc
    6,090       248,168  
                 
              7,312,446  
                 
 
Materials 1.7%
Anglo American plc
    185,720       4,987,689  
Antofagasta plc
    26,155       355,905  
BHP Billiton plc
    122,416       4,175,854  
Johnson Matthey plc
    15,258       760,258  
Kazakhmys plc *
    60,617       332,399  
Mondi plc
    24,737       433,243  
Rexam plc
    61,641       519,626  
 
 
 
12 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Rio Tinto plc
    82,589       4,720,293  
Vedanta Resources plc
    17,403       307,020  
                 
              16,592,287  
                 
 
Media 0.5%
British Sky Broadcasting Group plc
    40,057       592,919  
Informa plc
    28,060       230,240  
ITV plc
    73,591       258,317  
Liberty Global plc, Class A *
    18,600       773,760  
Liberty Global plc, Series C *
    20,800       831,792  
Pearson plc
    48,846       940,945  
Reed Elsevier plc
    25,872       415,912  
WPP plc
    45,198       899,736  
                 
              4,943,621  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 1.7%
AstraZeneca plc
    114,851       8,386,008  
GlaxoSmithKline plc
    325,891       7,853,560  
                 
              16,239,568  
                 
 
Real Estate 0.0%
Land Securities Group plc
    25,276       443,449  
                 
 
Retailing 0.4%
Home Retail Group plc
    260,747       728,325  
Inchcape plc
    46,186       498,876  
Kingfisher plc
    192,268       971,121  
Marks & Spencer Group plc
    169,623       1,227,816  
Next plc
    6,982       796,869  
                 
              4,223,007  
                 
 
Software & Services 0.0%
The Sage Group plc
    53,285       330,954  
                 
 
Telecommunication Services 1.3%
BT Group plc
    493,534       3,231,115  
Cable & Wireless Communications plc
    458,501       362,755  
Inmarsat plc
    18,948       232,406  
Vodafone Group plc
    2,513,410       8,369,884  
                 
              12,196,160  
                 
 
Transportation 0.1%
FirstGroup plc *
    241,400       513,232  
International Consolidated Airlines Group S.A. *
    41,070       228,293  
                 
              741,525  
                 
 
Utilities 1.0%
Centrica plc
    436,179       2,272,693  
Drax Group plc
    33,001       388,208  
National Grid plc
    222,112       3,163,592  
Pennon Group plc
    22,068       302,762  
Severn Trent plc
    15,260       497,825  
SSE plc
    86,248       2,118,162  
United Utilities Group plc
    51,837       776,959  
                 
              9,520,201  
                 
              162,905,674  
                 
Total Common Stock
(Cost $792,995,760)     946,107,452  
         
                 
                 
 
 Preferred Stock 0.4% of net assets
 
Germany 0.4%
                 
 
Automobiles & Components 0.3%
Bayerische Motoren Werke AG
    3,979       377,079  
Volkswagen AG
    10,593       2,460,103  
                 
              2,837,182  
                 
 
Household & Personal Products 0.1%
Henkel AG & Co. KGaA
    6,414       713,238  
                 
 
Utilities 0.0%
RWE AG
    8,802       283,311  
                 
Total Preferred Stock
(Cost $2,835,323)     3,833,731  
         
                 
                 
 
 Rights 0.0% of net assets
 
Spain 0.0%
                 
 
Banks 0.0%
Banco Santander S.A. *(a)(b)
    1,231,713       254,029  
                 
Total Rights
(Cost $254,985)     254,029  
         
                 
                 
 
 Other Investment Company 0.0% of net assets
 
United States 0.0%
iShares MSCI EAFE ETF
    100       6,659  
                 
Total Other Investment Company
(Cost $4,656)     6,659  
         
                 
                 
Security
 		  Face Amount
 		  Value
    Rate, Maturity Date   Local Currency   ($)
 
 Short-Term Investments 2.2% of net assets
 
Time Deposits 1.9%
Australia & New Zealand Banking Group Ltd.
US Dollar
               
0.03%, 08/01/14
    7,950,876       7,950,876  
Brown Brothers Harriman
Australian Dollar
0.88%, 08/01/14
    20,585       19,130  
Canadian Dollar
0.77%, 08/01/14
    109,430       100,362  
Danish Krone
0.00%, 08/01/14
    87,406       15,697  
Euro
0.00%, 08/01/14
    1,449       1,941  
Hong Kong Dollar
0.00%, 08/01/14
    13,786       1,779  
Japanese Yen
0.00%, 08/01/14
    122,782       1,193  
DNB
US Dollar
               
0.03%, 08/01/14
    9,858,458       9,858,458  
 
 
 
 13

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
Security
 		  Face Amount
 		  Value
    Rate, Maturity Date   Local Currency   ($)
Wells Fargo
Pound Sterling
               
0.04%, 08/01/14
    19,869       33,545  
                 
              17,982,981  
 
U.S. Treasury Obligation 0.3%
U.S. Treasury Bill
0.02%, 09/18/14 (d)(e)
    2,910,000       2,909,942  
                 
Total Short-Term Investments
(Cost $20,892,923)     20,892,923  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.6% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (f)
    5,421,677       5,421,677  
                 
Total Collateral Invested for Securities on Loan
(Cost $5,421,677)     5,421,677  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14, the tax basis cost of the fund’s investments was $833,830,385 and the unrealized appreciation and depreciation were $152,102,060 and ($14,837,651), respectively, with a net unrealized appreciation of $137,264,409.
 
At 07/31/14, the values of certain foreign securities held by the fund aggregating $863,993,191 were adjusted from their closing market values in accordance with international fair valuation procedures approved by the Board of Trustees.
 
* Non-income producing security.
(a) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
(b) Illiquid security. At the period end, the value of these amounted to $254,029 or 0.0% of net assets.
(c) All or a portion of this security is on loan. Securities on loan were valued at $4,886,360.
(d) The rate shown is the purchase yield.
(e) All or a portion of this security is held as collateral for open futures contracts.
(f) The rate shown is the 7-day yield.
 
     
CVA —
  Dutch Certificate
ETF —
  Exchange traded fund
Reg’d —
  Registered
REIT —
  Real Estate Investment Trust
RSP —
  Risparmio (Convertible Savings Shares)
SDR —
  Swedish Depositary Receipt
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
MSCI EAFE, e-mini Long, expires 09/19/14
    100       9,576,000       (186,686 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions,
 
 
 
14 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective NAVs. Exchange traded funds (“ETFs”) traded on a recognized securities exchange are valued at the last reported sale price that day or the official closing price, if applicable.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities, futures contracts and ETFs. Investments in mutual funds are valued daily at their NAVs, and investments in ETFs are valued daily at the last reported sale price or the official closing price, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets,
 
 
 
 15

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $—       $318,364,438       $—       $318,364,438  
Australia1
    —       42,848,065       —       42,848,065  
Food & Staples Retailing
    442,147       6,073,664       —       6,515,811  
Real Estate
    683,021       1,278,943       —       1,961,964  
Austria1
    —       2,824,936       —       2,824,936  
Telecommunication Services
    438,442       —       —       438,442  
Canada1
    66,668,531       —       —       66,668,531  
Finland1
    —       7,984,873       —       7,984,873  
Capital Goods
    584,850       976,152       —       1,561,002  
Energy
    363,979       —       —       363,979  
Telecommunication Services
    326,960       —       —       326,960  
Utilities
    852,716       —       —       852,716  
France1
    —       100,422,540       —       100,422,540  
Media
    284,768       433,754       —       718,522  
Germany1
    —       64,872,993       —       64,872,993  
Materials
    469,027       13,383,142       —       13,852,169  
Hong Kong1
    —       8,538,653       —       8,538,653  
Telecommunication Services
    288,660       —       —       288,660  
Utilities
    286,097       1,176,847       —       1,462,944  
Ireland1
    —       3,948,739       —       3,948,739  
Food, Beverage & Tobacco
    348,622       —       —       348,622  
Technology Hardware & Equipment
    1,318,324       —       —       1,318,324  
Italy1
    —       29,770,685       —       29,770,685  
Banks
    105,611       10,414,416       —       10,520,027  
Luxembourg1
    —       5,148,019       —       5,148,019  
Media
    562,455       132,742       —       695,197  
New Zealand1
    —       388,744       —       388,744  
Telecommunication Services
    726,117       —       —       726,117  
Utilities
    43,429       —       —       43,429  
Norway1
    —       7,792,397       —       7,792,397  
Materials
    739,229       685,776       —       1,425,005  
Singapore1
    —       6,556,231       —       6,556,231  
Technology Hardware & Equipment
    857,902       279,167       —       1,137,069  
Sweden1
    —       18,990,282       —       18,990,282  
Automobiles & Components
    541,334       —       —       541,334  
Food, Beverage & Tobacco
    351,661       —       —       351,661  
Household & Personal Products
    38,917       976,791       —       1,015,708  
 
 
 
16 

 

 
 Schwab Fundamental International Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Switzerland1
    $—       $37,092,390       $—       $37,092,390  
Energy
    972,178       1,188,009       —       2,160,187  
Food, Beverage & Tobacco
    280,520       10,829,992       —       11,110,512  
Technology Hardware & Equipment
    1,252,901       —       —       1,252,901  
United Kingdom1
    —       96,387,154       —       96,387,154  
Automobiles & Components
    634,600       393,194       —       1,027,794  
Capital Goods
    383,175       6,143,285       —       6,526,460  
Commercial & Professional Supplies
    245,594       1,667,537       —       1,913,131  
Energy
    1,112,790       27,089,991       —       28,202,781  
Insurance
    864,539       6,447,907       —       7,312,446  
Materials
    332,399       16,259,888       —       16,592,287  
Media
    2,546,497       2,397,124       —       4,943,621  
Preferred Stock1
    —       3,833,731       —       3,833,731  
Rights1
    —       —       254,029       254,029  
Other Investment Company1
    6,659       —       —       6,659  
Short-Term Investments1
    —       20,892,923       —       20,892,923  
                                 
Total
    $85,954,651       $884,886,114       $254,029       $971,094,794  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $5,421,677       $—       $—       $5,421,677  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($186,686 )     $—       $—       ($186,686 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Preferred Stock
                                                               
United Kingdom
    $5,981       $66       $50       $—       ($6,097 )     $—       $—       $—  
Rights
                                                               
Spain
    185,237       —       (9,309 )     254,990       (176,889 )     —       —       254,029  
                                                                 
Total
    $191,218       $66       ($9,259 )     $254,990       ($182,986 )     $—       $—       $254,029  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were security transfers between Level 1 and Level 2 for the period ended July 31, 2014. The transfers in the amount of $2,495,789 and $4,965,709 from Level 1 to Level 2 and from Level 2 to Level 1, respectively, were primarily due to the use of international fair valuation by the fund. There were no transfers in and out of Level 3 during the period.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46848JUL14
 
 
 
 17

 

Schwab Capital Trust
Schwab Fundamental International Small Company Index Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .2%   Common Stock     229,884,664       262,497,952  
  0 .4%   Preferred Stock     937,392       1,068,497  
  1 .1%   Other Investment Company     3,001,638       3,070,200  
  0 .3%   Short-Term Investments     583,254       583,254  
 
 
  100 .0%   Total Investments     234,406,948       267,219,903  
  2 .2%   Collateral Invested for Securities on Loan     5,997,562       5,997,562  
  (2 .2)%   Other Assets and Liabilities, Net             (5,941,049 )
 
 
  100 .0%   Net Assets             267,276,416  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 98.2% of net assets
 
Australia 5.8%
                 
 
Banks 0.3%
Bank of Queensland Ltd.
    23,770       274,330  
Bendigo & Adelaide Bank Ltd.
    35,721       420,265  
                 
              694,595  
                 
 
Capital Goods 0.2%
Bradken Ltd.
    42,609       177,074  
Cardno Ltd.
    16,590       96,098  
GWA Group Ltd.
    56,261       151,960  
Monadelphous Group Ltd.
    12,363       181,943  
Seven Group Holdings Ltd.
    3,780       26,763  
                 
              633,838  
                 
 
Commercial & Professional Supplies 0.4%
ALS Ltd.
    38,318       274,742  
Cabcharge Australia Ltd.
    6,095       25,909  
Mineral Resources Ltd.
    4,433       45,013  
SAI Global Ltd.
    4,736       21,343  
Seek Ltd.
    8,085       122,208  
Skilled Group Ltd.
    55,857       130,836  
Transfield Services Ltd. *
    299,048       371,347  
Transpacific Industries Group Ltd. *
    197,497       196,450  
                 
              1,187,848  
                 
 
Consumer Durables & Apparel 0.1%
Billabong International Ltd. *
    80,223       39,885  
G.U.D. Holdings Ltd.
    23,669       163,174  
                 
              203,059  
                 
 
Consumer Services 0.2%
Ardent Leisure Group
    12,143       28,870  
Aristocrat Leisure Ltd.
    31,636       165,955  
Echo Entertainment Group Ltd.
    93,152       285,365  
Flight Centre Travel Group Ltd.
    3,025       131,966  
Navitas Ltd.
    3,563       16,222  
                 
              628,378  
                 
 
Diversified Financials 0.3%
ASX Ltd.
    10,235       341,815  
Challenger Ltd.
    31,737       235,027  
IOOF Holdings Ltd.
    14,722       118,195  
Perpetual Ltd.
    4,290       192,427  
                 
              887,464  
                 
 
Energy 0.1%
AWE Ltd. *
    111,705       186,878  
Beach Energy Ltd.
    114,872       178,700  
Whitehaven Coal Ltd. *(a)
    26,482       41,306  
                 
              406,884  
                 
 
Food, Beverage & Tobacco 0.4%
Bega Cheese Ltd
    6,621       29,806  
Goodman Fielder Ltd.
    638,831       379,946  
GrainCorp Ltd., Class A
    24,971       200,737  
Treasury Wine Estates Ltd.
    91,075       417,353  
                 
              1,027,842  
                 
 
Health Care Equipment & Services 0.6%
Ansell Ltd.
    14,185       249,027  
Cochlear Ltd.
    4,252       249,651  
Primary Health Care Ltd.
    62,777       280,701  
Ramsay Health Care Ltd.
    5,901       262,893  
Sigma Pharmaceuticals Ltd.
    677,379       489,556  
                 
              1,531,828  
                 
 
Insurance 0.1%
NIB Holdings Ltd.
    61,397       184,332  
                 
 
Materials 0.9%
Adelaide Brighton Ltd.
    61,282       206,671  
Atlas Iron Ltd.
    49,511       28,793  
CSR Ltd.
    167,805       583,601  
DuluxGroup Ltd.
    18,806       95,472  
Fortescue Metals Group Ltd.
    66,744       299,229  
Gunns Ltd. *(b)(c)
    124,356       —  
Iluka Resources Ltd.
    41,347       334,981  
Mount Gibson Iron Ltd.
    127,212       85,172  
Nufarm Ltd.
    52,907       211,448  
OceanaGold Corp. *
    8,845       25,229  
OZ Minerals Ltd.
    112,325       477,525  
PanAust Ltd.
    13,704       28,398  
                 
              2,376,519  
                 
 
Media 0.2%
APN News & Media Ltd. *
    44,817       32,548  
Seven West Media Ltd.
    88,544       166,331  
Southern Cross Media Group Ltd.
    82,094       91,125  
Ten Network Holdings Ltd. *
    518,455       135,618  
Village Roadshow Ltd.
    3,610       25,995  
                 
              451,617  
 
 
 
 1

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Real Estate 0.8%
Australand Property Group
    37,534       155,836  
CFS Retail Property Trust Group
    157,499       315,673  
Charter Hall Retail REIT
    24,738       91,621  
Cromwell Property Group
    24,029       22,665  
Dexus Property Group
    472,748       519,413  
Goodman Group
    80,287       393,603  
Investa Office Fund
    42,404       139,584  
The GPT Group
    113,728       428,181  
                 
              2,066,576  
                 
 
Retailing 0.6%
Automotive Holdings Group Ltd.
    48,590       174,596  
Harvey Norman Holdings Ltd.
    76,850       218,060  
JB Hi-Fi Ltd. (a)
    14,241       261,996  
Myer Holdings Ltd
    163,913       342,245  
Pacific Brands Ltd.
    528,174       274,985  
Premier Investments Ltd.
    19,517       174,849  
Super Retail Group Ltd.
    4,597       40,029  
                 
              1,486,760  
                 
 
Software & Services 0.0%
Iress Ltd.
    2,732       21,968  
                 
 
Telecommunication Services 0.0%
iiNET Ltd.
    3,022       21,153  
                 
 
Transportation 0.2%
Sydney Airport
    139,269       552,463  
Virgin Australia International Holdings (b)(c)
    176,214       —  
                 
              552,463  
                 
 
Utilities 0.4%
APA Group
    62,616       432,225  
DUET Group
    194,195       433,081  
Envestra Ltd.
    17,675       21,251  
SP AusNet *
    196,294       244,507  
                 
              1,131,064  
                 
              15,494,188  
 
Austria 0.7%
                 
 
Capital Goods 0.2%
Wienerberger AG
    27,038       405,824  
Zumtobel AG
    7,137       147,223  
                 
              553,047  
                 
 
Energy 0.0%
Schoeller-Bleckmann Oilfield Equipment AG
    775       92,257  
                 
 
Insurance 0.1%
Vienna Insurance Group AG Wiener Versicherung Gruppe
    5,254       260,785  
                 
 
Materials 0.1%
Lenzing AG
    1,757       102,684  
RHI AG
    3,680       114,323  
                 
              217,007  
                 
 
Real Estate 0.1%
IMMOFINANZ AG *
    79,101       250,501  
                 
 
Transportation 0.1%
Flughafen Wien AG
    307       28,834  
Oesterreichische Post AG
    6,390       299,864  
                 
              328,698  
                 
 
Utilities 0.1%
Verbund AG
    5,735       107,896  
                 
              1,810,191  
 
Belgium 1.3%
                 
 
Diversified Financials 0.3%
Ackermans & van Haaren N.V.
    1,034       125,268  
Gimv N.V.
    2,562       125,527  
Groupe Bruxelles Lambert S.A.
    3,997       397,531  
                 
              648,326  
                 
 
Energy 0.0%
Euronav N.V. *
    2,254       27,264  
                 
 
Health Care Equipment & Services 0.0%
Agfa-Gevaert N.V. *
    26,366       78,766  
Arseus N.V.
    379       20,450  
                 
              99,216  
                 
 
Materials 0.3%
Nyrstar N.V. *(a)
    82,220       339,459  
Tessenderlo Chemie N.V. *
    11,179       323,457  
                 
              662,916  
                 
 
Media 0.1%
Telenet Group Holding N.V. *
    6,123       327,283  
                 
 
Real Estate 0.1%
Befimmo S.A.
    1,255       98,259  
Cofinimmo
    1,479       183,509  
                 
              281,768  
                 
 
Retailing 0.1%
S.A. D’Ieteren N.V.
    8,121       343,578  
                 
 
Technology Hardware & Equipment 0.1%
Barco N.V.
    2,174       160,153  
EVS Broadcast Equipment S.A.
    1,601       81,926  
                 
              242,079  
                 
 
Telecommunication Services 0.2%
Mobistar S.A. *
    23,811       474,548  
                 
 
Transportation 0.0%
bpost S.A.
    2,026       50,921  
                 
 
Utilities 0.1%
Elia System Operator S.A./N.V.
    5,158       251,091  
                 
              3,408,990  
 
Canada 8.6%
                 
 
Automobiles & Components 0.2%
Linamar Corp.
    5,282       287,559  
Martinrea International, Inc.
    16,058       188,952  
                 
              476,511  
                 
 
Banks 0.2%
Canadian Western Bank
    3,798       144,974  
Genworth MI Canada, Inc.
    6,627       240,319  
Home Capital Group, Inc.
    3,261       155,222  
Laurentian Bank of Canada
    3,243       153,324  
                 
              693,839  
 
 
 
2 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Capital Goods 0.7%
Aecon Group, Inc.
    9,890       148,847  
ATS Automation Tooling Systems, Inc. *
    1,670       22,714  
Bird Construction, Inc.
    7,655       93,586  
CAE, Inc.
    22,733       290,222  
MacDonald, Dettwiler & Associates Ltd.
    3,526       263,492  
New Flyer Industries, Inc.
    1,981       23,528  
Richelieu Hardware Ltd.
    606       28,506  
Russel Metals, Inc.
    14,219       459,426  
Toromont Industries Ltd.
    10,567       252,460  
Wajax Corp.
    4,765       150,727  
WSP Global, Inc.
    3,721       124,733  
                 
              1,858,241  
                 
 
Commercial & Professional Supplies 0.4%
Morneau Shepell, Inc.
    1,597       24,665  
Newalta Corp.
    7,555       145,578  
Progressive Waste Solutions Ltd.
    13,531       339,655  
Ritchie Bros. Auctioneers, Inc.
    6,726       162,853  
Stantec, Inc.
    2,747       174,290  
Transcontinental, Inc., Class A
    21,436       273,467  
                 
              1,120,508  
                 
 
Consumer Durables & Apparel 0.3%
Dorel Industries, Inc., Class B
    7,980       280,894  
Gildan Activewear, Inc.
    5,676       332,590  
Lululemon Athletica, Inc. *
    2,190       84,249  
                 
              697,733  
                 
 
Consumer Services 0.0%
Great Canadian Gaming Corp. *
    1,639       23,735  
                 
 
Diversified Financials 0.3%
AGF Management Ltd., Class B
    23,428       253,973  
CI Financial Corp.
    13,284       430,068  
Dundee Corp., Class A *
    10,197       168,524  
                 
              852,565  
                 
 
Energy 2.1%
Advantage Oil & Gas Ltd. *
    46,577       249,043  
AltaGas Ltd.
    8,143       368,558  
Calfrac Well Services Ltd.
    6,917       132,269  
Enbridge Income Fund Holdings, Inc.
    930       25,042  
Enerflex Ltd.
    14,564       246,573  
Ensign Energy Services, Inc.
    20,904       336,466  
Freehold Royalties Ltd.
    4,426       104,201  
Gibson Energy, Inc.
    12,946       397,160  
Gran Tierra Energy, Inc. *
    13,958       92,554  
Keyera Corp.
    5,590       418,449  
Lightstream Resources Ltd. (a)
    69,281       457,489  
MEG Energy Corp. *
    666       23,883  
Mullen Group Ltd.
    11,603       297,005  
NuVista Energy Ltd. *
    11,612       106,604  
Parkland Fuel Corp.
    13,678       258,293  
Pason Systems, Inc.
    3,942       100,471  
Peyto Exploration & Development Corp.
    6,323       212,535  
Precision Drilling Corp.
    39,593       493,483  
Savanna Energy Services Corp.
    12,636       92,364  
ShawCor Ltd.
    6,387       323,289  
Trican Well Service Ltd.
    21,364       308,405  
Trilogy Energy Corp.
    785       19,979  
Trinidad Drilling Ltd.
    19,652       189,968  
Veresen, Inc.
    23,724       403,179  
                 
              5,657,262  
                 
 
Food & Staples Retailing 0.2%
The Jean Coutu Group (PJC), Inc., Class A
    10,504       207,990  
The North West Co., Inc.
    9,944       218,880  
                 
              426,870  
                 
 
Food, Beverage & Tobacco 0.2%
Cott Corp.
    22,195       151,448  
Maple Leaf Foods, Inc.
    18,127       327,012  
Rogers Sugar, Inc. (a)
    6,899       28,663  
                 
              507,123  
                 
 
Insurance 0.1%
Industrial Alliance Insurance & Financial Services, Inc.
    7,023       307,947  
                 
 
Materials 1.9%
Agnico-Eagle Mines Ltd.
    11,989       445,760  
Alamos Gold, Inc.
    2,666       23,717  
Canexus Corp.
    7,079       30,644  
Canfor Corp. *
    6,435       136,272  
Cascades, Inc.
    9,588       58,565  
CCL Industries, Inc., Class B
    1,987       196,704  
Centerra Gold, Inc.
    40,360       209,879  
Chemtrade Logistics Income Fund
    6,895       132,544  
Dominion Diamond Corp. *
    9,488       133,050  
Eldorado Gold Corp.
    37,422       277,658  
Franco-Nevada Corp.
    2,574       145,632  
HudBay Minerals, Inc.
    31,601       339,384  
IAMGOLD Corp. *
    97,012       358,562  
Labrador Iron Ore Royalty Corp.
    903       25,657  
Lundin Mining Corp. *
    62,385       358,742  
Major Drilling Group International, Inc.
    15,617       128,763  
Methanex Corp.
    7,725       502,743  
Nevsun Resources Ltd.
    6,157       23,378  
New Gold, Inc. *
    19,953       122,790  
Pan American Silver Corp.
    15,217       223,576  
SEMAFO, Inc.
    8,051       34,778  
Sherritt International Corp.
    124,191       510,273  
Silver Wheaton Corp.
    7,436       194,229  
Thompson Creek Metals Co., Inc. *
    57,387       158,948  
West Fraser Timber Co., Ltd.
    8,283       377,325  
                 
              5,149,573  
                 
 
Media 0.4%
Aimia, Inc.
    19,254       338,514  
Cineplex, Inc.
    6,792       242,814  
Cogeco Cable, Inc.
    2,747       152,725  
Corus Entertainment, Inc., Class B
    10,932       241,630  
Entertainment One Ltd.
    4,644       26,767  
                 
              1,002,450  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
Nordion, Inc. *
    3,223       41,767  
                 
 
Real Estate 0.4%
Boardwalk REIT
    1,775       105,652  
 
 
 
 3

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Calloway REIT
    4,646       111,852  
Canadian REIT
    2,319       97,345  
Cominar REIT
    1,380       23,819  
Dream Office REIT
    827       22,011  
First Capital Realty, Inc.
    6,090       105,396  
FirstService Corp.
    445       24,794  
Granite REIT
    4,176       155,152  
H&R REIT
    6,908       146,542  
RioCan REIT
    10,095       250,720  
                 
              1,043,283  
                 
 
Retailing 0.3%
Dollarama, Inc.
    2,855       235,003  
Hudson’s Bay Co.
    2,580       38,948  
Reitmans (Canada) Ltd., Class A
    36,324       200,551  
Sears Canada, Inc.
    22,926       309,507  
                 
              784,009  
                 
 
Software & Services 0.2%
Constellation Software, Inc.
    130       30,880  
DH Corp.
    7,507       226,859  
Open Text Corp.
    4,126       229,468  
                 
              487,207  
                 
 
Telecommunication Services 0.1%
Manitoba Telecom Services, Inc.
    7,515       216,280  
                 
 
Transportation 0.2%
TransForce, Inc.
    14,266       360,722  
Westshore Terminals Investment Corp.
    3,252       99,020  
                 
              459,742  
                 
 
Utilities 0.4%
Capital Power Corp.
    15,186       369,222  
Just Energy Group, Inc. (a)
    34,601       187,230  
Northland Power, Inc.
    5,862       94,676  
Superior Plus Corp. (a)
    32,300       412,359  
                 
              1,063,487  
                 
              22,870,132  
 
Denmark 1.3%
                 
 
Banks 0.2%
Jyske Bank A/S - Reg’d *
    4,855       275,516  
Sydbank A/S *
    9,985       273,321  
                 
              548,837  
                 
 
Capital Goods 0.2%
NKT Holding A/S
    4,279       269,000  
Rockwool International A/S, B Shares
    962       160,410  
                 
              429,410  
                 
 
Consumer Durables & Apparel 0.1%
Pandora A/S
    3,138       214,736  
                 
 
Food, Beverage & Tobacco 0.1%
Royal UNIBREW *
    721       105,533  
Schouw & Co.
    2,787       128,872  
                 
              234,405  
                 
 
Health Care Equipment & Services 0.2%
Coloplast A/S, Class B
    3,768       318,594  
GN Store Nord A/S
    7,823       199,965  
William Demant Holding A/S *
    1,176       102,254  
                 
              620,813  
                 
 
Insurance 0.1%
Topdanmark A/S *
    4,586       141,415  
Tryg A/S
    1,957       197,172  
                 
              338,587  
                 
 
Materials 0.2%
Chr. Hansen Holding A/S
    3,268       135,121  
Novozymes A/S, B Shares
    8,253       408,106  
                 
              543,227  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
H. Lundbeck A/S
    9,313       213,415  
                 
 
Software & Services 0.0%
SimCorp A/S
    4,049       131,168  
                 
 
Transportation 0.1%
D/S Norden A/S
    8,624       264,103  
DFDS A/S
    394       31,583  
                 
              295,686  
                 
              3,570,284  
 
Finland 1.6%
                 
 
Capital Goods 0.4%
Cargotec Oyj, B Shares
    5,450       198,622  
Cramo Oyj
    5,701       115,723  
Konecranes Oyj
    8,141       264,517  
Outotec Oyj (a)
    19,491       203,184  
Ramirent Oyj
    10,472       99,605  
Uponor Oyj
    9,333       143,803  
                 
              1,025,454  
                 
 
Commercial & Professional Supplies 0.0%
Caverion Corp.
    4,787       39,742  
                 
 
Consumer Durables & Apparel 0.1%
Amer Sports Oyj
    15,013       295,667  
                 
 
Food, Beverage & Tobacco 0.0%
Raisio plc, V Shares
    4,040       22,274  
                 
 
Materials 0.7%
Huhtamaki Oyj
    15,308       407,552  
Kemira Oyj
    19,430       264,393  
Metsa Board Oyj
    39,654       188,457  
Outokumpu Oyj *
    36,993       299,907  
Rautaruukki Oyj *(a)
    41,353       609,440  
Tikkurila Oyj
    4,158       105,078  
                 
              1,874,827  
                 
 
Media 0.1%
Sanoma Oyj
    47,985       376,851  
                 
 
Real Estate 0.0%
Sponda Oyj
    19,699       101,206  
                 
 
Retailing 0.1%
Stockmann Oyj Abp, B Shares
    10,403       148,937  
                 
 
Software & Services 0.2%
Tieto Oyj
    15,619       415,176  
                 
              4,300,134  
 
 
 
4 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
France 4.4%
                 
 
Automobiles & Components 0.1%
Plastic Omnium S.A.
    4,835       128,071  
                 
 
Banks 0.1%
Natixis
    51,016       329,657  
                 
 
Capital Goods 0.3%
Areva S.A. *
    7,697       160,037  
Mersen
    5,284       149,518  
Saft Groupe S.A.
    4,420       162,843  
Zodiac Aerospace
    11,881       372,013  
                 
              844,411  
                 
 
Commercial & Professional Supplies 0.5%
Bureau Veritas S.A.
    11,215       289,248  
Derichebourg S.A.
    42,149       124,090  
Edenred
    12,866       402,158  
Societe BIC S.A.
    2,981       410,999  
                 
              1,226,495  
                 
 
Consumer Durables & Apparel 0.1%
Beneteau S.A. *
    1,446       25,500  
SEB S.A.
    3,849       312,011  
                 
              337,511  
                 
 
Consumer Services 0.1%
Club Mediterranee S.A. *
    7,134       207,773  
                 
 
Diversified Financials 0.1%
Eurazeo S.A.
    4,751       357,092  
                 
 
Energy 0.1%
Bourbon S.A.
    7,079       203,750  
Etablissements Maurel et Prom *
    8,450       128,460  
                 
              332,210  
                 
 
Food, Beverage & Tobacco 0.1%
Remy Cointreau S.A. (a)
    1,734       141,985  
Vilmorin & Cie S.A.
    764       90,027  
                 
              232,012  
                 
 
Health Care Equipment & Services 0.1%
BioMerieux
    1,572       163,579  
Orpea
    2,091       136,874  
                 
              300,453  
                 
 
Insurance 0.1%
Euler Hermes Group
    1,580       184,388  
                 
 
Materials 0.3%
Eramet *
    3,173       396,414  
Imerys S.A.
    4,708       367,612  
Vicat S.A.
    769       61,203  
                 
              825,229  
                 
 
Media 0.5%
Havas S.A.
    23,259       182,198  
IPSOS
    3,786       102,549  
JC Decaux S.A.
    5,341       183,374  
Metropole Television S.A.
    15,415       282,759  
Societe Television Francaise 1
    21,488       316,922  
Technicolor S.A. - Reg’d *
    51,337       371,364  
                 
              1,439,166  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Ipsen S.A.
    3,000       133,326  
                 
 
Real Estate 0.7%
Fonciere des Regions
    4,111       412,807  
Gecina S.A.
    1,801       257,198  
ICADE
    4,487       433,140  
Klepierre
    7,948       375,991  
Mercialys S.A.
    5,519       130,992  
Nexity S.A.
    8,481       321,469  
                 
              1,931,597  
                 
 
Retailing 0.0%
Groupe Fnac *
    693       30,669  
                 
 
Software & Services 0.4%
Alten S.A.
    3,200       154,229  
Altran Technologies S.A.
    15,678       164,968  
Dassault Systemes S.A.
    4,569       306,606  
Sopra Group S.A.
    227       24,542  
UBISOFT Entertainment *
    19,982       334,351  
                 
              984,696  
                 
 
Technology Hardware & Equipment 0.2%
Ingenico
    1,868       188,971  
Neopost S.A. (a)
    5,889       413,483  
                 
              602,454  
                 
 
Telecommunication Services 0.1%
Iliad S.A.
    893       246,329  
                 
 
Transportation 0.4%
Aeroports de Paris
    3,213       440,112  
Bollore S.A.
    452       278,958  
Groupe Eurotunnel S.A. - Reg’d
    27,712       366,735  
Norbert Dentressangle S.A.
    162       23,803  
                 
              1,109,608  
                 
              11,783,147  
 
Germany 3.5%
                 
 
Automobiles & Components 0.2%
ElringKlinger AG
    2,656       95,810  
Grammer AG
    2,139       104,618  
Leoni AG
    5,137       351,061  
SAF-Holland S.A.
    1,345       18,543  
                 
              570,032  
                 
 
Banks 0.1%
Aareal Bank AG
    3,855       163,489  
                 
 
Capital Goods 0.6%
Bauer AG *
    4,113       89,191  
BayWa AG
    4,239       210,511  
Deutz AG
    15,375       108,443  
DMG MORI SEIKI AG
    6,465       197,479  
Duerr AG
    1,417       107,941  
Heidelberger Druckmaschinen AG *
    72,674       237,566  
Indus Holding AG
    4,644       244,058  
KION Group AG
    548       21,324  
Krones AG
    1,597       154,751  
Norma Group SE
    568       27,984  
Pfeiffer Vacuum Technology AG
    965       95,812  
SGL Carbon SE *(a)
    3,875       124,423  
Vossloh AG
    1,119       81,362  
                 
              1,700,845  
 
 
 
 5

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Consumer Durables & Apparel 0.2%
Gerry Weber International AG
    2,237       101,791  
Hugo Boss AG
    1,451       208,198  
Puma SE
    522       133,177  
                 
              443,166  
                 
 
Diversified Financials 0.0%
Aurelius AG
    653       23,002  
                 
 
Health Care Equipment & Services 0.5%
Celesio AG
    30,186       1,032,617  
Rhoen-Klinikum AG
    13,185       408,889  
                 
              1,441,506  
                 
 
Insurance 0.0%
Talanx AG *
    3,372       120,062  
                 
 
Materials 0.4%
Evonik Industries AG
    2,155       79,325  
Fuchs Petrolub SE
    2,794       111,771  
Symrise AG
    8,821       463,139  
Wacker Chemie AG
    3,207       371,220  
                 
              1,025,455  
                 
 
Media 0.3%
Axel Springer SE
    4,832       272,069  
Kabel Deutschland Holding AG
    3,095       442,186  
                 
              714,255  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
Gerresheimer AG
    3,508       242,156  
Stada Arzneimittel AG
    6,869       283,662  
                 
              525,818  
                 
 
Real Estate 0.1%
Deutsche Euroshop AG
    2,310       109,033  
GAGFAH S.A. *
    8,932       156,550  
                 
              265,583  
                 
 
Retailing 0.1%
Fielmann AG
    1,020       128,771  
Takkt AG
    1,372       22,933  
                 
              151,704  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
Aixtron SE *
    11,144       150,372  
Kontron AG *
    14,435       90,999  
SMA Solar Technology AG *
    2,577       69,423  
                 
              310,794  
                 
 
Software & Services 0.2%
Bechtle AG
    2,573       199,656  
Software AG
    8,641       216,176  
United Internet AG - Reg’d
    5,224       208,860  
Wirecard AG
    529       19,622  
                 
              644,314  
                 
 
Technology Hardware & Equipment 0.1%
Jenoptik AG
    5,965       79,120  
Wincor Nixdorf AG
    5,603       284,652  
                 
              363,772  
                 
 
Telecommunication Services 0.2%
Drillisch AG
    643       24,071  
Telefonica Deutschland Holding AG *
    47,822       373,898  
                 
              397,969  
                 
 
Transportation 0.2%
Fraport AG Frankfurt Airport Services Worldwide
    4,019       264,140  
Hamburger Hafen und Logistik AG
    4,873       125,544  
Sixt SE
    1,383       48,490  
                 
              438,174  
                 
              9,299,940  
 
Greece 0.0%
                 
 
Banks 0.0%
TT Hellenic Postbank S.A. *(b)(c)
    24,275       —  
 
Hong Kong 2.7%
                 
 
Automobiles & Components 0.0%
Xinyi Glass Holdings Ltd.
    122,000       71,357  
                 
 
Banks 0.2%
Bank of East Asia Ltd.
    78,800       335,934  
Wing Hang Bank Ltd. (b)(c)
    8,000       129,031  
                 
              464,965  
                 
 
Capital Goods 0.1%
Johnson Electric Holdings Ltd.
    43,000       166,450  
                 
 
Consumer Durables & Apparel 0.1%
Techtronic Industries Co.
    101,000       302,725  
                 
 
Consumer Services 0.3%
Cafe De Coral Holdings Ltd.
    36,000       128,287  
Galaxy Entertainment Group Ltd.
    18,000       151,374  
MGM China Holdings Ltd.
    8,000       29,253  
SJM Holdings Ltd.
    108,000       288,540  
Wynn Macau Ltd.
    50,800       216,479  
                 
              813,933  
                 
 
Diversified Financials 0.1%
First Pacific Co., Ltd.
    292,000       349,083  
                 
 
Food & Staples Retailing 0.1%
Dairy Farm International Holdings Ltd.
    16,200       173,178  
                 
 
Media 0.1%
Television Broadcasts Ltd.
    26,100       169,060  
                 
 
Real Estate 0.9%
Great Eagle Holdings Ltd.
    29,000       104,724  
Hang Lung Group Ltd.
    54,000       289,591  
Hang Lung Properties Ltd.
    108,000       333,542  
Henderson Land Development Co., Ltd.
    45,040       285,694  
Hongkong Land Holdings Ltd.
    67,000       457,951  
Hysan Development Co., Ltd.
    22,000       105,310  
Sino Land Co., Ltd.
    214,000       368,170  
Swire Properties Ltd.
    52,200       170,179  
Wheelock & Co., Ltd.
    81,000       408,420  
                 
              2,523,581  
                 
 
Retailing 0.1%
Chow Sang Sang Holdings International Ltd.
    61,000       157,945  
Giordano International Ltd.
    166,000       97,115  
 
 
 
6 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Luk Fook Holdings International Ltd.
    44,000       136,658  
                 
              391,718  
                 
 
Technology Hardware & Equipment 0.1%
VTech Holdings Ltd.
    24,300       300,691  
                 
 
Telecommunication Services 0.0%
Hutchison Telecommunications Hong Kong Holdings Ltd.
    280,000       120,309  
                 
 
Transportation 0.6%
Cathay Pacific Airways Ltd.
    198,000       374,066  
MTR Corp., Ltd.
    94,000       369,283  
Orient Overseas International Ltd.
    83,500       444,262  
Pacific Basin Shipping Ltd.
    464,000       279,497  
                 
              1,467,108  
                 
              7,314,158  
 
Ireland 1.0%
                 
 
Capital Goods 0.5%
DCC plc
    13,611       776,566  
Fly Leasing Ltd. ADR
    2,100       31,374  
Grafton Group plc
    35,660       345,590  
Kingspan Group plc
    14,764       252,657  
                 
              1,406,187  
                 
 
Consumer Services 0.1%
Paddy Power plc
    2,039       143,973  
                 
 
Food & Staples Retailing 0.0%
Fyffes plc *
    14,830       21,050  
                 
 
Food, Beverage & Tobacco 0.2%
C&C Group plc
    39,987       226,922  
Glanbia plc
    11,425       175,770  
                 
              402,692  
                 
 
Health Care Equipment & Services 0.1%
UDG Healthcare plc
    42,219       253,323  
                 
 
Materials 0.1%
James Hardie Industries plc CDI
    17,661       219,326  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
ICON plc *
    900       46,620  
                 
 
Transportation 0.0%
Aer Lingus Group plc
    42,625       75,748  
Irish Continental Group plc
    6,562       23,285  
                 
              99,033  
                 
              2,592,204  
 
Israel 1.2%
                 
 
Banks 0.3%
Bank Hapoalim B.M.
    65,438       381,716  
Israel Discount Bank Ltd., Class A *
    97,628       170,073  
Mizrahi Tefahot Bank Ltd.
    10,513       132,936  
                 
              684,725  
                 
 
Capital Goods 0.1%
Discount Investment Corp. - Reg’d *
    28,763       228,074  
Elbit Systems Ltd.
    2,928       183,482  
                 
              411,556  
                 
 
Energy 0.2%
Delek Group Ltd.
    493       193,439  
Oil Refineries Ltd. *
    486,254       146,440  
Paz Oil Co., Ltd.
    1,340       215,165  
                 
              555,044  
                 
 
Food & Staples Retailing 0.0%
Shufersal Ltd.
    23,929       75,658  
                 
 
Materials 0.2%
The Israel Corp., Ltd. *
    726       427,291  
                 
 
Software & Services 0.2%
Check Point Software Technologies Ltd. *
    6,560       445,227  
NICE Systems Ltd.
    3,200       127,058  
                 
              572,285  
                 
 
Telecommunication Services 0.2%
B Communications Ltd.
    1,142       21,293  
Cellcom Israel Ltd.
    27,339       337,288  
Partner Communications Co., Ltd. *
    31,316       237,348  
                 
              595,929  
                 
              3,322,488  
 
Italy 2.4%
                 
 
Automobiles & Components 0.1%
Piaggio & C. S.p.A. *
    38,161       113,623  
                 
 
Banks 0.4%
Banca Carige S.p.A. *
    397,466       75,924  
Banca Popolare Di Milano Scarl *
    659,247       574,481  
Banca Popolare Di Sondrio Scarl
    58,642       266,498  
Credito Valtellinese Scarl *
    154,201       188,546  
                 
              1,105,449  
                 
 
Capital Goods 0.2%
Astaldi S.p.A.
    10,209       98,276  
C.I.R. S.p.A. - Compagnie Industriali Riunite *
    140,198       194,839  
Danieli S.p.A. - Officine Meccaniche Danieli & C.
    1,353       38,666  
Danieli S.p.A. - Officine Meccaniche Danieli & C. - RSP
    3,707       78,280  
                 
              410,061  
                 
 
Consumer Durables & Apparel 0.3%
De’Longhi S.p.A.
    5,715       121,336  
Geox S.p.A. *(a)
    25,394       94,189  
Indesit Co., S.p.A. *
    9,398       135,940  
Prada S.p.A.
    16,700       118,226  
Safilo Group S.p.A. *
    5,638       117,095  
Tod’s S.p.A.
    770       84,463  
                 
              671,249  
                 
 
Consumer Services 0.2%
Autogrill S.p.A. *
    23,621       201,010  
GTECH S.p.A. (a)
    9,960       239,370  
                 
              440,380  
 
 
 
 7

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Energy 0.2%
ERG S.p.A.
    22,251       330,131  
Saras S.p.A. *
    209,838       261,355  
                 
              591,486  
                 
 
Food & Staples Retailing 0.0%
MARR S.p.A.
    1,267       20,961  
                 
 
Food, Beverage & Tobacco 0.1%
Davide Campari-Milano S.p.A.
    20,151       157,199  
Parmalat S.p.A.
    63,239       208,821  
                 
              366,020  
                 
 
Health Care Equipment & Services 0.0%
Sorin S.p.A. *
    34,713       95,319  
                 
 
Insurance 0.1%
Mediolanum S.p.A.
    12,363       93,958  
Societa Cattolica di Assicurazioni S.c.r.l.
    5,266       112,178  
Unipol Gruppo Finanziario S.p.A.
    29,289       160,576  
                 
              366,712  
                 
 
Materials 0.1%
Buzzi Unicem S.p.A.
    21,774       353,100  
                 
 
Media 0.0%
RCS MediaGroup S.p.A. *(a)
    66,062       98,328  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Recordati S.p.A.
    9,634       159,016  
                 
 
Real Estate 0.0%
Beni Stabili S.p.A.
    124,670       101,221  
                 
 
Retailing 0.0%
World Duty Free S.p.A. *
    2,837       32,300  
                 
 
Technology Hardware & Equipment 0.0%
Esprinet S.p.A.
    2,304       23,605  
                 
 
Transportation 0.2%
Alitalia S.p.A. *(b)(c)
    14,782       —  
Ansaldo STS S.p.A.
    12,208       119,223  
ASTM S.p.A.
    10,212       156,262  
Societa Iniziative Autostradali e Servizi S.p.A.
    14,371       170,968  
                 
              446,453  
                 
 
Utilities 0.4%
ACEA S.p.A.
    13,212       192,838  
Enel Green Power S.p.A.
    106,083       293,416  
Hera S.p.A.
    122,702       331,894  
Iren S.p.A.
    137,718       194,065  
                 
              1,012,213  
                 
              6,407,496  
 
Japan 37.3%
                 
 
Automobiles & Components 3.2%
Aisan Industry Co., Ltd.
    9,400       77,210  
Akebono Brake Industry Co., Ltd.
    20,800       100,633  
Calsonic Kansei Corp.
    67,000       440,654  
Exedy Corp.
    8,400       247,991  
F.C.C. Co., Ltd.
    10,700       191,907  
Futaba Industrial Co., Ltd.
    47,600       267,562  
G-Tekt Corp.
    1,900       20,224  
Keihin Corp.
    17,600       269,910  
Koito Manufacturing Co., Ltd.
    20,200       553,495  
KYB Co., Ltd.
    44,000       199,711  
Mitsuba Corp.
    6,100       100,380  
Mitsubishi Motors Corp.
    33,100       377,111  
Musashi Seimitsu Industry Co., Ltd.
    7,700       188,127  
NGK Spark Plug Co., Ltd.
    18,000       538,154  
Nifco, Inc.
    7,800       256,451  
Nippon Seiki Co., Ltd.
    12,000       235,789  
Nissan Shatai Co., Ltd.
    23,200       373,613  
Nissin Kogyo Co., Ltd.
    10,500       188,922  
NOK Corp.
    23,200       473,729  
Pacific Industrial Co., Ltd.
    3,200       23,628  
Press Kogyo Co., Ltd.
    33,000       125,573  
Riken Corp.
    23,000       103,295  
Sanden Corp.
    29,000       162,790  
Showa Corp.
    13,900       154,839  
Tachi-S Co., Ltd.
    13,500       226,893  
Takata Corp.
    9,500       188,988  
The Yokohama Rubber Co., Ltd.
    37,000       320,363  
Tokai Rika Co., Ltd.
    15,900       331,797  
Tokai Rubber Industries Ltd.
    16,900       166,981  
Topre Corp.
    1,900       26,876  
Toyo Tire & Rubber Co., Ltd.
    15,600       283,254  
Toyoda Gosei Co., Ltd.
    19,500       396,017  
Toyota Boshoku Corp. (a)
    33,300       376,679  
TS Tech Co., Ltd.
    8,500       242,054  
Unipres Corp.
    14,500       313,275  
Yorozu Corp.
    6,000       127,535  
                 
              8,672,410  
                 
 
Banks 2.0%
Aozora Bank Ltd.
    56,000       190,293  
Fukuoka Financial Group, Inc.
    88,000       450,184  
Hokuhoku Financial Group, Inc.
    161,000       330,564  
North Pacific Bank Ltd.
    9,900       40,450  
Senshu Ikeda Holdings, Inc.
    4,900       24,974  
Seven Bank Ltd.
    40,700       163,330  
Shinsei Bank Ltd.
    134,000       283,346  
Suruga Bank Ltd.
    10,000       194,986  
The 77 Bank Ltd.
    28,000       145,787  
The Awa Bank Ltd.
    20,000       113,391  
The Bank of Kyoto Ltd.
    21,000       190,756  
The Chiba Bank Ltd.
    14,000       101,913  
The Chugoku Bank Ltd.
    16,900       259,654  
The Daishi Bank Ltd.
    27,000       99,281  
The Gunma Bank Ltd.
    35,000       205,932  
The Hachijuni Bank Ltd.
    35,000       215,161  
The Higo Bank Ltd.
    4,000       21,382  
The Hiroshima Bank Ltd.
    36,000       174,694  
The Hyakugo Bank Ltd.
    23,000       92,255  
The Iyo Bank Ltd.
    17,100       173,220  
The Joyo Bank Ltd.
    39,000       207,504  
The Juroku Bank Ltd.
    33,000       121,865  
The Kagoshima Bank Ltd.
    16,000       105,259  
The Keiyo Bank Ltd.
    26,000       131,031  
The Musashino Bank Ltd.
    3,100       105,657  
The Nishi-Nippon City Bank Ltd.
    65,000       168,749  
The Ogaki Kyoritsu Bank Ltd.
    42,000       115,325  
The San-in Godo Bank Ltd.
    18,000       128,077  
The Shiga Bank Ltd.
    17,000       100,672  
The Shizuoka Bank Ltd.
    36,000       387,990  
TOMONY Holdings, Inc.
    5,300       21,710  
 
 
 
8 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Yamaguchi Financial Group, Inc.
    24,000       245,837  
                 
              5,311,229  
                 
 
Capital Goods 7.1%
Aica Kogyo Co., Ltd.
    7,800       168,147  
Amada Co., Ltd.
    46,000       446,801  
Asahi Diamond Industrial Co., Ltd.
    7,800       114,149  
Central Glass Co., Ltd.
    70,000       243,215  
Chiyoda Corp.
    18,000       213,121  
Chudenko Corp.
    1,500       24,059  
CKD Corp.
    10,900       97,308  
COMSYS Holdings Corp.
    26,900       497,900  
Daifuku Co., Ltd.
    14,800       203,934  
Daihen Corp.
    24,000       105,052  
DMG Mori Seiki Co., Ltd.
    12,300       156,388  
Ebara Corp.
    67,000       415,952  
Fuji Electric Co., Ltd.
    80,000       412,498  
Fuji Machine Manufacturing Co., Ltd.
    16,638       143,117  
Fujikura Ltd.
    107,000       529,201  
Fujitec Co., Ltd.
    9,100       93,503  
Furukawa Co., Ltd.
    43,000       87,735  
Futaba Corp.
    8,300       135,132  
Glory Ltd.
    10,600       353,418  
GS Yuasa Corp.
    48,000       308,223  
Hazama Ando Corp.
    4,200       25,809  
Hitachi Construction Machinery Co., Ltd.
    21,700       442,914  
Hitachi Koki Co., Ltd.
    13,400       113,247  
Hitachi Zosen Corp.
    37,000       192,549  
Hoshizaki Electric Co., Ltd.
    6,200       315,670  
Inaba Denki Sangyo Co., Ltd.
    7,000       233,123  
Inabata & Co., Ltd.
    21,500       202,761  
Iseki & Co., Ltd.
    32,000       80,482  
Iwatani Corp.
    62,000       476,756  
Kandenko Co., Ltd.
    44,000       238,942  
Kanematsu Corp.
    159,000       284,486  
Keihan Electric Railway Co., Ltd.
    60,000       261,073  
Kitz Corp.
    27,600       159,199  
Komori Corp.
    10,200       123,160  
Kuroda Electric Co., Ltd.
    12,000       198,624  
Kyowa Exeo Corp.
    25,700       356,064  
Kyudenko Corp.
    4,000       36,573  
Mabuchi Motor Co., Ltd.
    2,700       212,941  
Maeda Corp.
    28,000       237,749  
Maeda Road Construction Co., Ltd.
    15,000       261,076  
Makino Milling Machine Co., Ltd.
    14,000       113,369  
Meidensha Corp.
    30,000       128,216  
Minebea Co., Ltd.
    47,000       559,171  
Mirait Holdings Corp.
    27,500       273,462  
MISUMI Group, Inc.
    9,800       312,323  
Miura Co., Ltd.
    4,900       176,169  
Nabtesco Corp.
    10,700       241,746  
Nachi-Fujikoshi Corp.
    24,000       168,884  
Namura Shipbuilding Co., Ltd.
    2,900       26,537  
NGK Insulators Ltd.
    25,000       591,508  
Nichias Corp.
    22,000       141,910  
Nichiha Corp.
    2,200       21,801  
Nippo Corp.
    13,000       227,409  
Nippon Densetsu Kogyo Co., Ltd.
    10,200       162,708  
Nippon Steel & Sumikin Bussan Corp.
    14,000       55,081  
Nishimatsu Construction Co., Ltd.
    75,000       353,166  
Nishio Rent All Co., Ltd.
    500       21,189  
Nisshinbo Holdings, Inc.
    35,000       353,267  
Nitta Corp.
    4,300       104,045  
Nitto Boseki Co., Ltd.
    20,000       87,432  
Nitto Kogyo Corp.
    4,900       102,470  
Noritz Corp.
    7,600       149,331  
NTN Corp.
    106,000       510,857  
Oiles Corp.
    4,400       109,601  
OKUMA Corp.
    16,000       147,148  
Okumura Corp.
    35,000       190,436  
OSG Corp.
    9,100       157,675  
Penta-Ocean Construction Co., Ltd.
    55,900       202,880  
Ryobi Ltd.
    43,000       139,876  
Sanki Engineering Co., Ltd.
    20,000       156,142  
Sankyo Tateyama, Inc.
    6,900       139,724  
Sanwa Holdings Corp.
    32,000       225,564  
Shinmaywa Industries Ltd.
    19,000       171,704  
SHO-BOND Holdings Co., Ltd.
    500       21,179  
Sintokogio Ltd.
    13,500       95,200  
Tadano Ltd.
    9,000       156,358  
Taikisha Ltd.
    5,700       132,354  
Takara Standard Co., Ltd.
    20,000       181,479  
Takasago Thermal Engineering Co., Ltd.
    16,200       199,774  
The Japan Steel Works Ltd.
    64,000       275,013  
The Nippon Road Co., Ltd.
    18,000       100,961  
THK Co., Ltd.
    15,300       368,197  
Toa Corp.
    52,000       92,504  
Toda Corp.
    63,000       269,863  
Toshiba Machine Co., Ltd.
    24,000       106,633  
Toshiba Plant Systems & Services Corp.
    6,200       98,328  
Totetsu Kogyo Co., Ltd.
    4,700       115,257  
Toyo Engineering Corp.
    32,000       140,889  
Trusco Nakayama Corp.
    8,100       203,775  
Tsubakimoto Chain Co.
    20,000       170,692  
Ushio, Inc.
    20,900       249,443  
Yamazen Corp.
    20,800       164,707  
Yuasa Trading Co., Ltd.
    60,000       126,960  
                 
              18,994,418  
                 
 
Commercial & Professional Supplies 0.8%
Aeon Delight Co., Ltd.
    4,700       112,272  
Daiseki Co., Ltd.
    1,200       21,369  
Duskin Co., Ltd.
    15,100       275,604  
Kokuyo Co., Ltd.
    36,400       295,513  
Meitec Corp.
    4,500       148,367  
Moshi Moshi Hotline, Inc.
    10,100       98,556  
Nissha Printing Co., Ltd.
    8,400       121,363  
Nomura Co., Ltd.
    3,000       27,707  
Okamura Corp.
    16,000       137,508  
Park24 Co., Ltd.
    7,900       144,929  
Sato Holdings Corp.
    4,200       107,776  
Sohgo Security Services Co., Ltd.
    14,300       324,853  
Temp Holdings Co., Ltd.
    6,300       199,800  
Toppan Forms Co., Ltd.
    18,200       177,883  
                 
              2,193,500  
 
 
 
 9

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Consumer Durables & Apparel 1.9%
Alpine Electronics, Inc.
    14,100       222,117  
Asics Corp.
    15,200       322,582  
Casio Computer Co., Ltd. (a)
    36,400       612,443  
Fujitsu General Ltd.
    3,000       41,411  
Funai Electric Co., Ltd.
    19,600       203,031  
Gunze Ltd.
    69,000       188,314  
Haseko Corp.
    35,200       279,504  
Heiwa Corp.
    1,200       28,267  
Kurabo Industries Ltd.
    67,000       118,881  
Misawa Homes Co., Ltd.
    1,900       21,818  
Mizuno Corp.
    8,000       47,966  
Onward Holdings Co., Ltd.
    39,000       278,051  
PanaHome Corp.
    24,000       177,904  
Pioneer Corp. *
    141,800       379,412  
Rinnai Corp.
    3,600       327,762  
Roland Corp.
    1,400       25,305  
Sangetsu Co., Ltd.
    7,400       194,723  
Sankyo Co., Ltd.
    9,900       385,238  
Seiren Co., Ltd.
    3,100       27,681  
Tamron Co., Ltd.
    3,900       87,426  
Token Corp.
    2,750       127,023  
Tomy Co., Ltd.
    29,100       151,163  
TSI Holdings Co., Ltd.
    24,800       182,188  
Wacoal Holdings Corp.
    21,000       221,836  
Yamaha Corp.
    32,500       495,231  
                 
              5,147,277  
                 
 
Consumer Services 0.8%
Accordia Golf Co., Ltd.
    13,100       163,412  
Doutor Nichires Holdings Co., Ltd.
    7,800       131,074  
Dynam Japan Holdings Co., Ltd.
    12,600       33,745  
H.I.S. Co., Ltd.
    7,200       226,066  
McDonald’s Holdings Co., Ltd. (a)
    12,733       320,483  
MOS Food Services, Inc.
    4,600       99,294  
Plenus Co., Ltd.
    5,700       132,915  
Resorttrust, Inc.
    6,200       128,051  
Round One Corp.
    18,800       109,382  
Royal Holdings Co., Ltd.
    7,100       116,209  
Saint Marc Holdings Co., Ltd.
    400       21,817  
Saizeriya Co., Ltd.
    10,400       139,686  
Tokyo Dome Corp.
    16,000       75,164  
Yoshinoya Holdings Co., Ltd. (a)
    14,300       193,684  
Zensho Holdings Co., Ltd. (a)
    14,000       140,470  
                 
              2,031,452  
                 
 
Diversified Financials 0.7%
Acom Co., Ltd. *
    51,000       200,812  
AEON Financial Service Co., Ltd.
    8,400       191,438  
Aiful Corp. *
    39,100       210,067  
Century Tokyo Leasing Corp.
    3,500       112,385  
Daiwa Securities Group, Inc.
    41,000       344,235  
Fuyo General Lease Co., Ltd.
    500       20,079  
Hitachi Capital Corp.
    4,500       119,934  
Jaccs Co., Ltd.
    27,000       132,825  
Mitsubishi UFJ Lease & Finance Co., Ltd.
    32,100       179,796  
Orient Corp. *
    86,700       211,349  
SBI Holdings, Inc.
    16,500       192,499  
                 
              1,915,419  
                 
 
Energy 0.2%
Japan Petroleum Exploration Co.
    6,500       245,839  
San-Ai Oil Co., Ltd.
    15,000       113,939  
Shinko Plantech Co., Ltd.
    13,200       99,343  
                 
              459,121  
                 
 
Food & Staples Retailing 1.5%
Ain Pharmaciez, Inc.
    2,200       102,446  
Arcs Co., Ltd.
    14,200       299,973  
Cawachi Ltd.
    10,600       191,651  
Cocokara fine, Inc.
    8,000       218,809  
Cosmos Pharmaceutical Corp.
    900       110,292  
FamilyMart Co., Ltd.
    8,200       368,270  
Heiwado Co., Ltd.
    14,800       242,989  
Kato Sangyo Co., Ltd.
    14,400       320,116  
Matsumotokiyoshi Holdings Co., Ltd.
    11,100       364,500  
Ministop Co., Ltd.
    1,400       22,185  
Mitsubishi Shokuhin Co., Ltd.
    6,200       150,941  
San-A Co., Ltd.
    5,100       165,493  
Sugi Holdings Co., Ltd.
    5,700       244,353  
Sundrug Co., Ltd.
    5,200       233,457  
Tsuruha Holdings, Inc.
    6,400       367,389  
Valor Co., Ltd.
    20,900       340,595  
Welcia Holdings Co., Ltd.
    2,000       128,059  
Yaoko Co., Ltd.
    700       39,484  
Yokohama Reito Co., Ltd.
    18,200       153,256  
                 
              4,064,258  
                 
 
Food, Beverage & Tobacco 2.3%
Calbee, Inc.
    7,100       210,850  
Coca-Cola East Japan Co., Ltd.
    10,100       269,952  
Dydo Drinco, Inc.
    3,200       141,303  
Ezaki Glico Co., Ltd.
    19,000       352,824  
Fuji Oil Co., Ltd.
    16,200       258,841  
Hokuto Corp.
    5,200       98,643  
House Foods Group, Inc.
    16,400       295,683  
Ito En Ltd.
    12,700       309,515  
Itoham Foods, Inc.
    64,000       281,373  
J-Oil Mills, Inc.
    42,000       133,420  
Kagome Co., Ltd.
    14,100       236,062  
Kikkoman Corp.
    23,000       503,723  
Megmilk Snow Brand Co., Ltd.
    24,100       312,164  
Mitsui Sugar Co., Ltd.
    23,000       88,072  
Morinaga & Co., Ltd.
    63,000       133,340  
Morinaga Milk Industry Co., Ltd.
    115,000       412,276  
Nichirei Corp.
    81,000       384,195  
Nippon Flour Mills Co., Ltd.
    44,000       222,528  
Nippon Suisan Kaisha Ltd. *
    90,400       260,376  
Prima Meat Packers Ltd.
    50,000       129,394  
Sapporo Holdings Ltd.
    76,000       326,457  
Takara Holdings, Inc.
    26,000       238,955  
The Nisshin Oillio Group Ltd.
    53,000       178,434  
Warabeya Nichiyo Co., Ltd.
    6,600       131,695  
Yakult Honsha Co., Ltd.
    7,000       369,871  
                 
              6,279,946  
                 
 
Health Care Equipment & Services 0.6%
Hogy Medical Co., Ltd.
    400       22,340  
Miraca Holdings, Inc.
    7,400       342,471  
Nichii Gakkan Co.
    14,600       124,618  
Nihon Kohden Corp.
    4,600       226,017  
Nikkiso Co., Ltd.
    1,900       22,467  
 
 
 
10 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Nipro Corp. (a)
    18,900       161,746  
Paramount Bed Holdings Co., Ltd.
    700       20,868  
Ship Healthcare Holdings, Inc.
    3,100       101,280  
Sysmex Corp.
    9,000       349,384  
Toho Holdings Co., Ltd.
    18,400       347,379  
                 
              1,718,570  
                 
 
Household & Personal Products 0.5%
Fancl Corp.
    11,700       143,290  
Kobayashi Pharmaceutical Co., Ltd.
    3,900       241,766  
Kose Corp.
    5,100       212,133  
Lion Corp.
    40,000       232,718  
Mandom Corp.
    4,100       150,066  
Pigeon Corp.
    2,300       132,124  
Pola Orbis Holdings, Inc.
    3,800       157,788  
                 
              1,269,885  
                 
 
Insurance 0.1%
Sony Financial Holdings, Inc.
    12,499       204,701  
                 
 
Materials 4.2%
ADEKA Corp.
    22,200       306,055  
Aichi Steel Corp.
    36,000       142,598  
Asahi Holdings, Inc.
    11,100       191,303  
Chugoku Marine Paints Ltd.
    19,000       143,826  
Daido Steel Co., Ltd.
    53,000       247,670  
Daio Paper Corp.
    24,000       210,103  
Dowa Holdings Co., Ltd.
    40,000       372,199  
Earth Chemical Co., Ltd.
    3,100       120,071  
FP Corp.
    4,100       139,121  
Fuji Seal International, Inc.
    4,000       116,649  
Fujimori Kogyo Co., Ltd.
    700       24,952  
Hitachi Metals Ltd.
    23,990       390,110  
Hokuetsu Kishu Paper Co., Ltd.
    40,000       176,277  
Ishihara Sangyo Kaisha Ltd. *
    110,000       104,239  
Kansai Paint Co., Ltd.
    21,000       351,911  
Konishi Co., Ltd.
    1,200       25,935  
Kureha Corp.
    39,000       208,007  
Kyoei Steel Ltd.
    7,100       130,299  
Lintec Corp.
    13,500       275,441  
Maruichi Steel Tube Ltd.
    9,200       254,668  
Mitsubishi Gas Chemical Co., Inc.
    63,000       409,404  
Mitsubishi Steel Mfg. Co., Ltd.
    46,000       100,736  
Nihon Parkerizing Co., Ltd.
    6,500       143,480  
Nippon Denko Co., Ltd.
    43,000       136,270  
Nippon Kayaku Co., Ltd.
    22,000       278,880  
Nippon Light Metal Holdings Co., Ltd.
    52,600       89,159  
Nippon Paint Co., Ltd.
    13,000       299,541  
Nippon Shokubai Co., Ltd.
    28,000       358,909  
Nippon Soda Co., Ltd.
    27,000       147,328  
Nissan Chemical Industries Ltd.
    20,100       368,457  
Nisshin Steel Holdings Co., Ltd.
    5,400       72,915  
Nittetsu Mining Co., Ltd.
    24,000       103,254  
NOF Corp.
    28,000       195,219  
Pacific Metals Co., Ltd. *
    46,000       226,284  
Rengo Co., Ltd.
    65,000       296,939  
Sakata INX Corp.
    2,900       28,444  
Sanyo Chemical Industries Ltd.
    17,000       113,508  
Sanyo Special Steel Co., Ltd.
    33,000       148,269  
Sumitomo Bakelite Co., Ltd.
    62,000       246,011  
Sumitomo Osaka Cement Co., Ltd.
    70,000       251,640  
The Nippon Synthetic Chemical Industry Co., Ltd.
    3,000       23,239  
Toagosei Co., Ltd.
    64,000       269,647  
Toho Zinc Co., Ltd.
    38,000       179,530  
Tokai Carbon Co., Ltd.
    64,000       183,081  
Tokuyama Corp.
    117,000       400,685  
Tokyo Ohka Kogyo Co., Ltd.
    7,500       179,546  
Tokyo Steel Manufacturing Co., Ltd.
    50,500       302,947  
Topy Industries Ltd.
    87,000       180,502  
Toyo Ink SC Holdings Co., Ltd.
    48,000       227,388  
Toyo Kohan Co., Ltd.
    20,000       115,960  
Toyobo Co., Ltd.
    205,000       331,804  
UACJ Corp.
    38,300       151,302  
Yamato Kogyo Co., Ltd.
    6,700       217,784  
Yodogawa Steel Works Ltd.
    42,000       187,430  
Zeon Corp.
    27,000       266,665  
                 
              11,163,591  
                 
 
Media 0.6%
Asatsu-DK, Inc.
    12,300       314,391  
Avex Group Holdings, Inc.
    5,300       90,499  
CyberAgent, Inc.
    2,800       93,860  
Daiichikosho Co., Ltd.
    7,900       234,344  
Kadokawa Corp. (a)
    3,800       106,394  
SKY Perfect JSAT Holdings, Inc.
    37,300       221,183  
Toei Co., Ltd.
    4,000       21,149  
Toho Co., Ltd.
    13,000       315,329  
Tokyo Broadcasting System Holdings, Inc.
    8,700       100,649  
TV Asahi Holdings Corp.
    4,500       79,550  
Zenrin Co., Ltd.
    8,900       103,920  
                 
              1,681,268  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.8%
Hisamitsu Pharmaceutical Co., Inc.
    6,400       254,936  
Kaken Pharmaceutical Co., Ltd.
    10,000       223,438  
Kissei Pharmaceutical Co., Ltd.
    4,800       114,203  
KYORIN Holdings, Inc.
    6,100       125,688  
Mochida Pharmaceutical Co., Ltd.
    2,500       170,593  
Nichi-iko Pharmaceutical Co., Ltd.
    1,600       23,365  
Nippon Shinyaku Co., Ltd.
    5,000       142,768  
Rohto Pharmaceutical Co., Ltd.
    12,200       188,800  
Santen Pharmaceutical Co., Ltd.
    7,200       424,446  
Sawai Pharmaceutical Co., Ltd.
    1,800       102,015  
Sumitomo Dainippon Pharma Co., Ltd.
    17,600       215,162  
Tsumura & Co.
    8,400       201,951  
                 
              2,187,365  
                 
 
Real Estate 1.2%
Advance Residence Investment Corp.
    78       185,733  
Aeon Mall Co., Ltd.
    6,330       148,334  
Frontier Real Estate Investment Corp.
    5       27,497  
Japan Excellent, Inc.
    80       106,930  
Japan Prime Realty Investment Corp.
    45       155,684  
 
 
 
 11

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Japan Real Estate Investment Corp.
    57       320,394  
Japan Retail Fund Investment Corp.
    136       299,689  
Kenedix Office Investment Corp.
    26       141,194  
Leopalace21 Corp. *
    40,800       181,635  
MID REIT, Inc.
    9       20,971  
Mori Trust Sogo Reit, Inc.
    15       25,632  
Nippon Accommodations Fund, Inc.
    6       22,875  
Nippon Building Fund, Inc.
    68       381,767  
Nomura Real Estate Holdings, Inc.
    16,300       302,855  
Nomura Real Estate Office Fund, Inc.
    39       184,412  
NTT Urban Development Corp.
    10,000       108,946  
Orix J-REIT, Inc.
    108       148,554  
Relo Holdings, Inc.
    400       27,141  
Tokyo Tatemono Co., Ltd.
    25,000       213,521  
Top REIT, Inc.
    4       17,586  
United Urban Investment Corp.
    109       175,039  
                 
              3,196,389  
                 
 
Retailing 2.3%
ABC-Mart, Inc.
    2,300       124,209  
Adastria Holdings Co., Ltd.
    4,490       101,441  
Alpen Co., Ltd.
    5,400       90,406  
AOKI Holdings, Inc.
    2,100       27,469  
Aoyama Trading Co., Ltd.
    13,500       344,008  
Arcland Sakamoto Co., Ltd.
    5,300       117,377  
ASKUL Corp.
    1,100       30,358  
Autobacs Seven Co., Ltd.
    22,600       369,795  
Bic Camera, Inc. (a)
    30,000       260,068  
Canon Marketing Japan, Inc.
    24,200       493,064  
Chiyoda Co., Ltd.
    7,800       172,412  
DCM Holdings Co., Ltd.
    53,000       354,329  
Don Quijote Holdings Co., Ltd.
    5,800       313,397  
Doshisha Co., Ltd.
    7,000       128,913  
Geo Holdings Corp.
    25,100       213,035  
Gulliver International Co., Ltd.
    13,900       127,439  
H2O Retailing Corp.
    41,000       339,698  
Happinet Corp.
    3,200       55,936  
Hikari Tsushin, Inc.
    2,100       153,748  
Izumi Co., Ltd.
    6,600       201,722  
Kohnan Shoji Co., Ltd.
    19,900       205,809  
Komeri Co., Ltd.
    8,900       207,969  
Rakuten, Inc.
    18,960       249,001  
Ryohin Keikaku Co., Ltd.
    3,200       386,210  
Sanrio Co., Ltd.
    1,200       34,586  
The Daiei, Inc. *
    109,150       312,707  
United Arrows Ltd.
    2,400       93,992  
USS Co., Ltd.
    18,700       326,680  
Xebio Co., Ltd.
    11,300       201,954  
                 
              6,037,732  
                 
 
Semiconductors & Semiconductor Equipment 0.6%
Advantest Corp.
    23,100       257,900  
Dainippon Screen Manufacturing Co., Ltd.
    33,000       152,090  
Disco Corp.
    2,500       161,459  
Sanken Electric Co., Ltd.
    17,000       137,593  
Shinko Electric Industries Co., Ltd.
    19,300       171,579  
Sumco Corp.
    33,800       311,154  
Tokyo Seimitsu Co., Ltd.
    4,900       86,899  
Ulvac, Inc. *
    11,100       220,909  
                 
              1,499,583  
                 
 
Software & Services 1.6%
Capcom Co., Ltd.
    8,500       155,253  
Dena Co., Ltd.
    16,286       210,044  
DTS Corp.
    5,900       116,132  
Fuji Soft, Inc.
    5,900       131,450  
Gree, Inc. *(a)
    14,100       111,321  
Internet Initiative Japan, Inc.
    800       17,557  
IT Holdings Corp.
    27,500       501,999  
Itochu Techno-Solutions Corp.
    5,900       263,859  
NEC Networks & System Integration Corp.
    7,900       193,504  
NET One Systems Co., Ltd.
    34,800       230,045  
Nexon Co., Ltd.
    9,461       91,277  
Nihon Unisys Ltd.
    18,000       162,940  
Nomura Research Institute Ltd.
    13,400       421,902  
NS Solutions Corp.
    4,300       124,126  
NSD Co., Ltd.
    7,300       100,589  
Obic Co., Ltd.
    4,600       163,297  
Otsuka Corp.
    8,500       387,288  
SCSK Corp.
    3,976       109,955  
Square Enix Holdings Co., Ltd.
    10,600       216,377  
Transcosmos, Inc.
    5,500       117,320  
Trend Micro, Inc.
    8,600       306,138  
Yahoo Japan Corp.
    56,400       255,195  
                 
              4,387,568  
                 
 
Technology Hardware & Equipment 2.7%
Alps Electric Co., Ltd.
    39,200       544,098  
Amano Corp.
    14,600       169,716  
Anritsu Corp.
    11,200       106,728  
Azbil Corp.
    14,400       362,328  
Canon Electronics, Inc.
    5,900       113,056  
Citizen Holdings Co., Ltd.
    48,200       383,233  
Daiwabo Holdings Co., Ltd.
    80,000       152,680  
Eizo Corp.
    5,050       128,135  
Hamamatsu Photonics K.K.
    6,100       286,740  
Hirose Electric Co., Ltd.
    2,800       393,521  
Hitachi High-Technologies Corp.
    19,600       525,766  
Hitachi Kokusai Electric, Inc.
    7,000       93,875  
Horiba Ltd.
    6,100       212,785  
Hosiden Corp.
    68,600       411,697  
Japan Aviation Electronics Industry Ltd.
    11,000       226,347  
Macnica, Inc.
    3,900       128,026  
Melco Holdings, Inc.
    6,400       138,117  
Mitsumi Electric Co., Ltd.
    51,600       383,972  
Nichicon Corp.
    13,000       101,322  
Nippon Chemi-Con Corp. *
    34,000       88,327  
Oki Electric Industry Co., Ltd.
    63,000       139,803  
Riso Kagaku Corp.
    4,800       140,232  
Ryosan Co., Ltd.
    15,300       327,411  
Ryoyo Electro Corp.
    2,900       32,150  
Shimadzu Corp.
    36,000       344,580  
Siix Corp.
    1,400       25,934  
Taiyo Yuden Co., Ltd.
    23,500       250,631  
The Nippon Signal Co., Ltd.
    12,400       116,151  
Toshiba TEC Corp.
    33,000       216,455  
Wacom Co., Ltd.
    4,100       18,798  
 
 
 
12 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Yaskawa Electric Corp.
    21,700       282,811  
Yokogawa Electric Corp.
    24,800       312,358  
                 
              7,157,783  
                 
 
Transportation 1.5%
Fukuyama Transporting Co., Ltd.
    32,000       179,399  
Hitachi Transport System Ltd.
    14,100       213,351  
Japan Airport Terminal Co., Ltd.
    5,500       186,175  
Keikyu Corp.
    36,000       317,158  
Keio Corp.
    64,000       510,473  
Keisei Electric Railway Co., Ltd.
    27,000       276,790  
Kintetsu World Express, Inc.
    5,000       213,135  
Konoike Transport Co., Ltd.
    1,500       30,861  
Mitsubishi Logistics Corp.
    14,000       212,264  
Mitsui-Soko Co., Ltd.
    21,000       92,478  
Nankai Electric Railway Co., Ltd.
    65,000       308,072  
Nippon Konpo Unyu Soko Co., Ltd.
    11,700       200,502  
Nishi-Nippon Railroad Co., Ltd.
    61,000       245,283  
Sankyu, Inc.
    91,000       443,104  
Senko Co., Ltd.
    26,000       133,587  
Sotetsu Holdings, Inc.
    50,000       198,444  
The Sumitomo Warehouse Co., Ltd.
    23,000       129,731  
                 
              3,890,807  
                 
 
Utilities 0.1%
The Okinawa Electric Power Co., Inc.
    6,700       214,840  
                 
              99,679,112  
 
Luxembourg 0.4%
                 
 
Banks 0.0%
Espirito Santo Financial Group S.A. *(a)(b)(c)
    69,773       55,357  
                 
 
Commercial & Professional Supplies 0.1%
Regus plc
    55,717       162,930  
                 
 
Consumer Durables & Apparel 0.1%
Samsonite International S.A.
    65,700       203,599  
                 
 
Household & Personal Products 0.1%
Oriflame Cosmetics S.A. SDR (a)
    8,928       193,620  
                 
 
Materials 0.1%
Ternium S.A. ADR
    11,816       314,306  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
Magnachip Semiconductor Corp. *
    5,946       83,303  
                 
 
Telecommunication Services 0.0%
Colt Group S.A. *
    19,665       48,141  
                 
              1,061,256  
 
Netherlands 2.0%
                 
 
Capital Goods 0.5%
Aalberts Industries N.V.
    10,428       318,172  
AerCap Holdings N.V. *
    7,869       343,325  
Arcadis N.V.
    6,586       205,848  
Heijmans N.V. CVA
    1,200       17,029  
Royal Imtech N.V. *(a)
    183,225       144,692  
Sensata Technologies Holding N.V. *
    4,006       185,237  
TKH Group N.V.
    4,677       147,015  
                 
              1,361,318  
                 
 
Commercial & Professional Supplies 0.1%
USG People N.V.
    29,081       401,678  
                 
 
Consumer Durables & Apparel 0.1%
TomTom N.V. *
    19,882       144,531  
                 
 
Diversified Financials 0.0%
BinckBank N.V.
    8,096       91,684  
                 
 
Energy 0.3%
Core Laboratories N.V.
    1,056       154,630  
Koninklijke Vopak N.V.
    4,897       226,682  
SBM Offshore N.V. *
    22,640       303,995  
                 
              685,307  
                 
 
Food & Staples Retailing 0.1%
Sligro Food Group N.V.
    1,455       58,158  
X5 Retail Group N.V. - Reg’d GDR *
    15,085       289,527  
                 
              347,685  
                 
 
Food, Beverage & Tobacco 0.2%
Corbion N.V.
    19,988       380,425  
Koninklijke Wessanen N.V.
    31,032       180,735  
                 
              561,160  
                 
 
Materials 0.1%
Koninklijke Ten Cate N.V.
    6,896       177,694  
                 
 
Real Estate 0.4%
Corio N.V.
    8,545       453,965  
Eurocommercial Properties N.V.
    3,050       152,386  
Vastned Retail N.V.
    3,086       157,276  
Wereldhave N.V.
    2,493       221,896  
                 
              985,523  
                 
 
Semiconductors & Semiconductor Equipment 0.2%
ASM International N.V.
    5,252       199,709  
NXP Semiconductor N.V. *
    4,777       297,846  
                 
              497,555  
                 
 
Software & Services 0.0%
Yandex N.V., Class A *
    900       27,252  
                 
              5,281,387  
 
New Zealand 0.6%
                 
 
Consumer Services 0.1%
SKYCITY Entertainment Group Ltd.
    66,708       212,418  
                 
 
Energy 0.0%
Z Energy Ltd.
    8,904       28,888  
                 
 
Health Care Equipment & Services 0.1%
Fisher & Paykel Healthcare Corp., Ltd.
    36,872       148,783  
                 
 
Materials 0.0%
Nuplex Industries Ltd.
    55,557       139,494  
                 
 
Media 0.1%
SKY Network Television Ltd.
    41,355       236,259  
                 
 
Real Estate 0.0%
Kiwi Income Property Trust
    89,696       89,531  
 
 
 
 13

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Telecommunication Services 0.1%
Chorus Ltd.
    128,010       190,303  
                 
 
Transportation 0.1%
Air New Zealand Ltd.
    75,721       126,928  
Auckland International Airport Ltd.
    39,348       127,209  
Mainfreight Ltd.
    8,788       110,745  
                 
              364,882  
                 
 
Utilities 0.1%
Contact Energy Ltd.
    39,828       187,029  
Infratil Ltd.
    59,968       126,658  
Mighty River Power Ltd.
    15,239       30,681  
                 
              344,368  
                 
              1,754,926  
 
Norway 1.1%
                 
 
Banks 0.1%
Sparebank 1 Nord Norge
    4,078       22,445  
SpareBank 1 SMN
    13,075       110,808  
SpareBank 1 SR Bank A.S.A.
    14,194       130,133  
                 
              263,386  
                 
 
Capital Goods 0.0%
Vard Holdings Ltd. *
    114,000       98,736  
                 
 
Commercial & Professional Supplies 0.0%
Tomra Systems A.S.A.
    12,499       103,888  
                 
 
Energy 0.2%
Fred Olsen Energy A.S.A.
    6,282       142,571  
Kvaerner A.S.A.
    55,539       96,553  
TGS Nopec Geophysical Co. A.S.A.
    12,206       346,182  
                 
              585,306  
                 
 
Food, Beverage & Tobacco 0.1%
Austevoll Seafood A.S.A.
    17,042       114,673  
Cermaq A.S.A.
    10,885       137,657  
Leroy Seafood Group A.S.A.
    3,151       114,211  
                 
              366,541  
                 
 
Insurance 0.2%
Gjensidige Forsikring A.S.A.
    18,411       356,133  
Storebrand A.S.A. *
    31,789       176,623  
                 
              532,756  
                 
 
Materials 0.0%
Borregaard A.S.A.
    2,932       19,715  
                 
 
Media 0.1%
Schibsted A.S.A.
    4,278       206,524  
                 
 
Semiconductors & Semiconductor Equipment 0.2%
REC Silicon A.S.A. *
    763,303       419,727  
                 
 
Software & Services 0.1%
Atea A.S.A.
    17,847       209,812  
                 
 
Transportation 0.1%
Golden Ocean Group Ltd.
    74,159       113,241  
                 
              2,919,632  
 
Portugal 0.4%
                 
 
Banks 0.1%
Banco BPI S.A. - Reg’d *
    59,259       119,339  
Banco Espirito Santo S.A. - Reg’d *
    320,558       86,043  
                 
              205,382  
                 
 
Capital Goods 0.0%
Mota-Engil, SGPS, S.A.
    3,426       21,368  
                 
 
Food & Staples Retailing 0.2%
Jeronimo Martins, SGPS, S.A.
    18,652       243,804  
Sonae
    185,884       279,337  
                 
              523,141  
                 
 
Materials 0.0%
Semapa-Sociedade de Investimento e Gestao, SGPS, S.A.
    2,986       43,863  
                 
 
Media 0.1%
NOS SGPS
    16,623       99,076  
                 
 
Utilities 0.0%
Redes Energeticas Nacionais SGPS, S.A.
    25,603       90,235  
                 
              983,065  
 
Republic of Korea 0.0%
                 
 
Automobiles & Components 0.0%
Zyle Motor Sales Corp. *(b)(c)
    2,480       —  
                 
 
Capital Goods 0.0%
Daewoo Industrial Development Co., Ltd. *(b)(c)
    1,773       —  
                 
              —  
 
Singapore 1.9%
                 
 
Capital Goods 0.4%
Cosco Corp., (Singapore) Ltd. (a)
    219,431       125,277  
Sembcorp Marine Ltd.
    105,096       347,826  
Singapore Technologies Engineering Ltd.
    125,000       379,619  
United Engineers Ltd.
    62,000       118,960  
                 
              971,682  
                 
 
Consumer Services 0.1%
Genting Singapore plc
    159,000       169,540  
                 
 
Diversified Financials 0.1%
Singapore Exchange Ltd.
    42,000       236,939  
                 
 
Energy 0.0%
Sakari Resources Ltd *(b)(c)
    18,000       —  
                 
 
Food & Staples Retailing 0.1%
Olam International Ltd. (a)
    140,704       278,588  
                 
 
Food, Beverage & Tobacco 0.1%
Golden Agri-Resources Ltd.
    869,000       370,969  
                 
 
Real Estate 0.7%
Ascendas REIT
    99,000       184,719  
CapitaCommercial Trust
    98,302       131,095  
CapitaLand Ltd.
    179,000       493,270  
CapitaMall Trust
    121,000       190,645  
 
 
 
14 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
City Developments Ltd.
    46,000       388,508  
Global Logistic Properties Ltd.
    51,000       113,535  
Keppel Land Ltd.
    52,000       151,237  
Suntec REIT
    98,000       140,429  
UOL Group Ltd.
    38,000       201,324  
                 
              1,994,762  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
Kulicke & Soffa Industries, Inc. *
    2,000       27,240  
                 
 
Telecommunication Services 0.1%
M1 Ltd.
    39,000       116,855  
StarHub Ltd.
    50,000       170,338  
                 
              287,193  
                 
 
Transportation 0.3%
Neptune Orient Lines Ltd. *(a)
    315,000       239,333  
SATS Ltd.
    84,749       203,796  
Singapore Post Ltd.
    124,000       174,942  
SMRT Corp., Ltd.
    117,000       148,185  
                 
              766,256  
                 
              5,103,169  
 
Spain 2.2%
                 
 
Banks 0.5%
Bankia S.A. *
    434,072       850,374  
Bankinter S.A.
    53,264       459,915  
Caja de Ahorros del Mediterraneo *(b)(c)
    5,382       —  
Liberbank S.A. *
    24,569       21,011  
                 
              1,331,300  
                 
 
Capital Goods 0.7%
Abengoa S.A.
    3,318       19,123  
Abengoa S.A., B Shares
    98,605       524,228  
Construcciones y Auxiliar de Ferrocarriles S.A.
    233       96,766  
Duro Felguera S.A.
    3,959       24,798  
Gamesa Corp. Tecnologica S.A. *
    43,642       546,495  
Obrascon Huarte Lain S.A.
    5,255       198,355  
Sacyr S.A. *
    28,845       162,604  
Zardoya Otis S.A.
    16,693       255,323  
                 
              1,827,692  
                 
 
Commercial & Professional Supplies 0.1%
Prosegur Cia de Seguridad S.A. - Reg’d
    23,266       156,960  
                 
 
Consumer Services 0.0%
Melia Hotels International S.A.
    1,789       20,752  
NH Hotel Group S.A. *
    3,511       18,984  
                 
              39,736  
                 
 
Diversified Financials 0.1%
Bolsas y Mercados Espanoles S.A.
    6,115       277,823  
                 
 
Energy 0.1%
Tecnicas Reunidas S.A.
    3,073       172,740  
                 
 
Food, Beverage & Tobacco 0.2%
Ebro Foods S.A.
    12,434       254,101  
Pescanova S.A. *(b)(c)
    1,125       —  
Viscofan S.A.
    4,307       241,334  
                 
              495,435  
                 
 
Insurance 0.0%
Grupo Catalana Occidente S.A.
    3,617       126,780  
                 
 
Materials 0.1%
Acerinox S.A.
    26,045       433,437  
Vidrala S.A.
    495       24,021  
                 
              457,458  
                 
 
Media 0.2%
Atresmedia Corp de Medios de Comunicaion S.A.
    6,808       99,761  
Mediaset Espana Comunicacion S.A. *
    25,760       300,455  
Promotora de Informaciones S.A., Class A *
    163,726       74,979  
                 
              475,195  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Almirall S.A. *
    6,537       99,921  
Grifols S.A.
    3,059       138,077  
Grifols S.A., Class B
    2,481       92,379  
                 
              330,377  
                 
 
Software & Services 0.1%
Indra Sistemas S.A.
    21,143       326,996  
                 
              6,018,492  
 
Sweden 2.1%
                 
 
Capital Goods 0.4%
B&B Tools AB, B Shares
    1,391       32,353  
Haldex AB
    10,007       132,011  
Indutrade AB
    2,934       130,620  
Lindab International AB *
    9,105       85,780  
Nibe Industrier AB, B Shares
    4,407       117,982  
Peab AB
    44,021       310,304  
Saab AB, Class B
    9,540       260,753  
                 
              1,069,803  
                 
 
Commercial & Professional Supplies 0.2%
AF AB, B Shares
    1,319       22,059  
Intrum Justitia AB
    5,309       162,456  
Loomis AB, Class B
    9,023       268,127  
                 
              452,642  
                 
 
Consumer Durables & Apparel 0.1%
JM AB
    10,047       317,893  
Nobia AB
    15,203       116,256  
                 
              434,149  
                 
 
Consumer Services 0.0%
Betsson AB *
    794       27,545  
                 
 
Diversified Financials 0.2%
Lundbergforetagen AB, B Shares
    3,898       174,687  
Ratos AB, B Shares
    43,609       355,794  
                 
              530,481  
                 
 
Energy 0.1%
Lundin Petroleum AB *
    8,326       149,233  
                 
 
Food & Staples Retailing 0.1%
Axfood AB
    3,269       166,620  
                 
 
Food, Beverage & Tobacco 0.0%
AAK AB
    1,619       92,231  
 
 
 
 15

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Health Care Equipment & Services 0.1%
Elekta AB, B Shares (a)
    14,794       181,276  
                 
 
Materials 0.2%
BillerudKorsnas AB
    14,651       216,438  
Hexpol AB
    1,362       114,417  
Holmen AB, B Shares
    10,191       343,209  
                 
              674,064  
                 
 
Media 0.1%
Eniro AB *
    18,229       58,612  
Modern Times Group AB, B Shares
    6,950       270,743  
                 
              329,355  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Meda AB, A Shares
    23,130       372,929  
                 
 
Real Estate 0.2%
Castellum AB
    10,642       178,566  
Fabege AB
    11,508       157,429  
Kungsleden AB
    19,307       135,481  
                 
              471,476  
                 
 
Retailing 0.1%
Bilia AB, A Shares
    5,192       140,794  
Clas Ohlson AB, B Shares
    5,098       96,998  
                 
              237,792  
                 
 
Technology Hardware & Equipment 0.1%
Hexagon AB, B Shares
    10,075       312,436  
                 
 
Transportation 0.1%
SAS AB *(a)
    74,590       136,582  
                 
              5,638,614  
 
Switzerland 3.1%
                 
 
Banks 0.1%
Banque Cantonale Vaudoise - Reg’d
    239       127,279  
Valiant Holding AG - Reg’d
    1,546       146,987  
                 
              274,266  
                 
 
Capital Goods 0.6%
AFG Arbonia-Forster Holding AG - Reg’d *
    3,716       100,358  
Belimo Holding AG - Reg’d
    33       87,370  
Bucher Industries AG - Reg’d
    569       171,060  
Daetwyler Holding AG
    681       95,359  
Georg Fischer AG - Reg’d *
    596       393,853  
Implenia AG - Reg’d *
    1,585       93,399  
Meyer Burger Technology AG *
    9,461       111,251  
OC Oerlikon Corp. AG - Reg’d *
    13,892       187,477  
Rieter Holding AG - Reg’d *
    568       131,616  
Sulzer AG - Reg’d
    2,909       384,666  
                 
              1,756,409  
                 
 
Commercial & Professional Supplies 0.2%
DKSH Holding Ltd.
    2,383       171,956  
Gategroup Holding AG *
    6,502       164,528  
Kaba Holding AG - Reg’d, Series B *
    299       144,667  
                 
              481,151  
                 
 
Consumer Durables & Apparel 0.1%
Forbo Holding AG - Reg’d *
    145       141,769  
                 
 
Consumer Services 0.1%
Kuoni Reisen Holding AG - Reg’d, Series B *
    621       210,474  
                 
 
Diversified Financials 0.4%
GAM Holding AG *
    23,417       423,891  
Julius Baer Group Ltd. *
    9,357       396,944  
Partners Group Holding AG
    601       150,656  
                 
              971,491  
                 
 
Food, Beverage & Tobacco 0.1%
Barry Callebaut AG - Reg’d *
    153       188,133  
Emmi AG - Reg’d *
    424       146,096  
                 
              334,229  
                 
 
Health Care Equipment & Services 0.3%
Nobel Biocare Holding AG - Reg’d *
    15,421       270,650  
Sonova Holding AG - Reg’d
    2,229       345,839  
Straumann Holding AG - Reg’d
    551       130,016  
                 
              746,505  
                 
 
Insurance 0.1%
Helvetia Holding AG - Reg’d
    602       293,335  
                 
 
Materials 0.2%
EMS-Chemie Holding AG - Reg’d
    551       237,422  
Ferrexpo plc
    10,845       24,501  
Schmolz & Bickenbach AG - Reg’d *
    147,199       222,448  
                 
              484,371  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.3%
Actelion Ltd. - Reg’d *
    4,464       536,152  
Galenica AG - Reg’d
    334       300,738  
                 
              836,890  
                 
 
Real Estate 0.1%
Allreal Holding AG - Reg’d *
    780       106,805  
Swiss Prime Site AG - Reg’d *
    2,518       199,817  
                 
              306,622  
                 
 
Retailing 0.2%
Dufry AG - Reg’d *
    1,303       223,141  
Valora Holding AG - Reg’d *
    833       201,353  
                 
              424,494  
                 
 
Software & Services 0.0%
Temenos Group AG - Reg’d *
    3,216       114,963  
                 
 
Technology Hardware & Equipment 0.1%
Kudelski S.A. - BR
    1,205       20,453  
Logitech International S.A. - Reg’d
    26,636       390,666  
                 
              411,119  
                 
 
Transportation 0.2%
Flughafen Zuerich AG - Reg’d
    298       185,473  
Panalpina Welttransport Holding AG - Reg’d
    2,132       290,269  
                 
              475,742  
                 
 
Utilities 0.0%
Alpiq Holding AG - Reg’d *
    260       27,287  
                 
              8,291,117  
 
 
 
16 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
United Kingdom 12.6%
                 
 
Banks 0.0%
The Paragon Group of Cos. plc
    14,195       82,438  
                 
 
Capital Goods 1.7%
Ashtead Group plc
    29,358       440,389  
Bodycote plc
    21,574       252,146  
Brammer plc
    2,644       19,172  
Chemring Group plc
    45,373       155,313  
Fenner plc
    21,151       121,589  
Galliford Try plc
    12,089       258,957  
HellermannTyton Group plc
    4,670       24,539  
Interserve plc
    23,762       254,895  
Keller Group plc
    14,539       212,603  
Kentz Corp., Ltd.
    1,873       29,345  
Kier Group plc
    6,670       196,841  
Lavendon Group plc
    28,705       102,741  
Melrose Industries plc
    54,608       241,880  
Morgan Advanced Materials plc
    42,152       223,459  
Morgan Sindall Group plc
    15,375       207,531  
QinetiQ Group plc
    108,485       378,069  
Rotork plc
    4,501       209,480  
Senior plc
    33,754       149,345  
Speedy Hire plc
    127,855       113,669  
Spirax-Sarco Engineering plc
    5,409       247,795  
Ultra Electronics Holdings plc
    6,432       191,740  
Vesuvius plc
    65,526       512,913  
                 
              4,544,411  
                 
 
Commercial & Professional Supplies 1.1%
Berendsen plc
    24,425       430,784  
Cape plc
    31,084       149,041  
De La Rue plc
    24,222       297,905  
HomeServe plc
    36,000       181,881  
Intertek Group plc
    7,817       337,500  
Mears Group plc
    11,604       91,098  
Michael Page International plc
    42,516       305,527  
Mitie Group plc
    60,607       311,178  
PayPoint plc
    1,208       21,394  
Rentokil Initial plc
    198,281       395,376  
RPS Group plc
    30,500       131,565  
Shanks Group plc
    95,175       172,904  
WS Atkins plc
    9,068       203,321  
                 
              3,029,474  
                 
 
Consumer Durables & Apparel 0.6%
Bellway plc
    14,899       378,180  
Berkeley Group Holdings plc
    6,618       272,444  
Bovis Homes Group plc
    9,890       127,077  
Crest Nicholson Holdings plc
    4,402       26,131  
Guinness Peat Group plc *
    460,579       265,037  
Persimmon plc *
    29,139       613,711  
The Vitec Group plc
    2,257       21,529  
                 
              1,704,109  
                 
 
Consumer Services 0.9%
Betfair Group plc
    7,725       136,160  
Bwin.Party Digital Entertainment plc
    17,738       25,586  
Dignity plc
    961       22,406  
Enterprise Inns plc *
    180,734       380,960  
Greene King plc
    27,216       378,454  
J.D. Wetherspoon plc
    14,194       178,170  
Ladbrokes plc
    163,440       362,592  
Marston’s plc
    109,897       266,434  
Merlin Entertainments plc *
    3,581       21,414  
Mitchells & Butlers plc *
    48,583       305,872  
Spirit Pub Co. plc
    98,019       120,804  
The Restaurant Group plc
    16,137       167,201  
                 
              2,366,053  
                 
 
Diversified Financials 1.5%
Aberdeen Asset Management plc
    44,767       310,791  
Ashmore Group plc
    27,503       163,509  
Brewin Dolphin Holdings plc
    4,092       20,691  
Close Brothers Group plc
    12,798       273,500  
Hargreaves Lansdown plc
    1,139       19,637  
Henderson Group plc
    88,388       361,317  
IG Group Holdings plc
    31,862       327,320  
Intermediate Capital Group plc
    40,760       276,132  
International Personal Finance plc
    24,434       227,060  
Investec plc
    53,399       461,871  
Jupiter Fund Management plc
    23,738       152,674  
London Stock Exchange Group plc
    14,498       472,909  
Provident Financial plc
    12,774       456,954  
Schroders plc
    5,626       226,049  
Tullett Prebon plc
    37,480       156,195  
                 
              3,906,609  
                 
 
Energy 0.3%
Afren plc *
    15,347       28,449  
EnQuest plc *
    73,437       167,750  
Hargreaves Services plc
    6,411       85,851  
Hunting plc
    13,048       190,990  
Premier Oil plc
    37,506       203,264  
                 
              676,304  
                 
 
Food & Staples Retailing 0.1%
Greggs plc
    29,752       262,184  
                 
 
Food, Beverage & Tobacco 0.3%
Britvic plc
    16,192       191,340  
Cranswick plc
    9,645       205,663  
Dairy Crest Group plc
    36,430       257,830  
Devro plc
    7,515       32,353  
Greencore Group plc
    37,318       166,520  
Premier Foods plc *
    69,497       49,279  
                 
              902,985  
                 
 
Health Care Equipment & Services 0.1%
Synergy Health plc
    5,628       129,172  
                 
 
Household & Personal Products 0.1%
PZ Cussons plc
    28,394       168,884  
                 
 
Insurance 0.9%
Admiral Group plc
    17,251       423,283  
Beazley plc
    47,714       195,962  
Catlin Group Ltd.
    50,800       431,017  
Hiscox Ltd.
    34,156       388,954  
Jardine Lloyd Thompson Group plc
    9,597       166,401  
Lancashire Holdings Ltd.
    35,417       366,241  
Phoenix Group Holdings
    28,660       338,127  
St. James’s Place plc
    2,733       33,405  
                 
              2,343,390  
 
 
 
 17

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Materials 0.9%
African Barrick Gold plc
    31,584       139,408  
Alent plc
    24,158       136,429  
Croda International plc
    7,863       278,910  
DS Smith plc
    85,363       376,433  
Elementis plc
    32,412       147,248  
Essentra plc
    12,579       162,982  
Evraz plc
    260,873       420,710  
Polyus Gold International Ltd. *
    6,979       21,827  
Randgold Resources Ltd.
    2,997       258,062  
RPC Group plc
    18,556       183,113  
Synthomer plc
    21,574       77,293  
Victrex plc
    4,710       127,034  
                 
              2,329,449  
                 
 
Media 0.3%
Daily Mail & General Trust plc
    11,348       159,987  
Trinity Mirror plc *
    107,374       358,933  
UBM plc
    37,414       389,937  
                 
              908,857  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Genus plc
    4,497       79,402  
Hikma Pharmaceuticals plc
    5,157       156,264  
                 
              235,666  
                 
 
Real Estate 0.8%
Derwent London plc
    2,917       131,363  
Hammerson plc
    48,769       493,148  
Intu Properties plc
    61,879       341,990  
Mapeley Ltd. *(b)(c)
    2,199       —  
Savills plc
    15,568       155,861  
Segro plc
    69,331       417,602  
Shaftesbury plc
    1,912       21,773  
The British Land Co., plc
    50,516       597,644  
                 
              2,159,381  
                 
 
Retailing 0.9%
Carphone Warehouse Group plc
    18,078       101,870  
Debenhams plc
    296,886       329,995  
Dixons Retail plc *
    666,841       579,739  
Dunelm Group plc
    1,489       20,903  
Halfords Group plc
    43,292       349,345  
Howden Joinery Group plc
    22,884       130,665  
John Menzies plc
    10,646       120,423  
Lookers plc
    58,746       131,662  
N Brown Group plc
    15,308       111,233  
Pendragon plc
    136,702       72,700  
Sports Direct International plc *
    9,668       108,633  
WH Smith plc
    20,097       382,457  
                 
              2,439,625  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
ARM Holdings plc
    17,826       253,779  
CSR plc
    15,053       133,887  
                 
              387,666  
                 
 
Software & Services 0.2%
AVEVA Group plc
    2,525       85,198  
Fidessa Group plc
    2,726       95,958  
Micro Focus International plc
    12,469       178,435  
Moneysupermarket.com Group plc
    8,171       25,569  
Playtech plc
    2,345       24,240  
Telecity Group plc
    1,845       24,676  
Xchanging plc
    46,586       138,383  
                 
              572,459  
                 
 
Technology Hardware & Equipment 0.7%
Domino Printing Sciences plc
    10,337       107,417  
Electrocomponents plc
    76,415       305,825  
Halma plc
    24,862       235,679  
Laird plc
    50,892       247,244  
Pace plc
    29,043       156,166  
Premier Farnell plc
    49,899       151,672  
Spectris plc
    8,670       278,881  
Spirent Communications plc
    104,155       180,944  
TT Electronics plc
    35,582       111,135  
                 
              1,774,963  
                 
 
Telecommunication Services 0.2%
Jazztel plc *
    1,593       21,405  
KCOM Group plc
    64,409       109,285  
TalkTalk Telecom Group plc
    57,895       307,405  
                 
              438,095  
                 
 
Transportation 0.8%
BBA Aviation plc
    60,692       325,579  
easyJet plc
    14,479       315,573  
Go-Ahead Group plc
    7,249       268,858  
National Express Group plc
    105,195       463,403  
Northgate plc
    41,327       343,277  
Royal Mail plc
    9,581       67,262  
Stagecoach Group plc
    39,378       235,451  
Stobart Group Ltd.
    43,187       91,870  
Stolt-Nielsen Ltd.
    5,299       120,383  
                 
              2,231,656  
                 
              33,593,830  
                 
Total Common Stock
(Cost $229,884,664)     262,497,952  
         
                 
                 
 
 Preferred Stock 0.4% of net assets
 
Germany 0.3%
                 
 
Automobiles & Components 0.1%
Porsche Automobil Holding SE
    4,016       375,372  
                 
 
Capital Goods 0.1%
Jungheinrich AG
    2,064       125,693  
                 
 
Health Care Equipment & Services 0.0%
Draegerwerk AG & Co. KGaA
    907       81,968  
                 
 
Materials 0.1%
Fuchs Petrolub SE
    5,614       225,301  
                 
              808,334  
 
Italy 0.1%
                 
 
Insurance 0.1%
Unipol Gruppo Finanziario S.p.A.
    42,333       214,442  
 
 
 
18 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Sweden 0.0%
                 
 
Transportation 0.0%
SAS AB
    704       45,721  
                 
Total Preferred Stock
(Cost $937,392)     1,068,497  
         
                 
                 
 
 Other Investment Company 1.1% of net assets
 
United States 1.1%
iShares MSCI EAFE Small Cap ETF
    60,000       3,070,200  
                 
Total Other Investment Company
(Cost $3,001,638)     3,070,200  
         
                 
                 
Security
 		  Face Amount
 		  Value
    Rate, Maturity Date   Local Currency   ($)
 
 Short-Term Investments 0.3% of net assets
 
Time Deposits 0.2%
Brown Brothers Harriman
Danish Krone
0.00%, 08/01/14
    21,027       3,776  
Hong Kong Dollar
0.01%, 08/01/14
    30,668       3,957  
Japanese Yen
0.01%, 08/01/14
    284,932       2,770  
Singapore Dollar
0.01%, 08/01/14
    1,599       1,281  
Swedish Krona
0.05%, 08/01/14
    75,460       10,939  
Pound Sterling
0.08%, 08/01/14
    4,946       8,351  
Canadian Dollar
0.25%, 08/01/14
    21,791       19,985  
Australian Dollar
1.53%, 08/01/14
    10,970       10,194  
DNB
US Dollar
               
0.03%, 08/01/14
    251,064       251,064  
Nordea Bank Norge
Norwegian Krone
               
0.35%, 08/01/14
    126,751       20,163  
Wells Fargo
Euro
               
0.00%, 08/01/14
    18,504       24,778  
                 
              357,258  
 
U.S. Treasury Obligations 0.1%
U.S. Treasury Bills
0.01%, 09/18/14 (d)(e)
    50,000       49,999  
0.02%, 09/18/14 (d)(e)
    176,000       175,997  
                 
              225,996  
                 
Total Short-Term Investments
(Cost $583,254)     583,254  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 2.2% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (f)
    5,997,562       5,997,562  
                 
Total Collateral Invested for Securities on Loan
(Cost $5,997,562)     5,997,562  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14, the tax basis cost of the fund’s investments was $235,173,893 and the unrealized appreciation and depreciation were $37,721,759 and ($5,675,749), respectively, with a net unrealized appreciation of $32,046,010.
 
At 07/31/14, the values of certain foreign securities held by the fund aggregating $219,353,768 were adjusted from their closing market values in accordance with international fair valuation procedures approved by the fund’s Board of Trustees.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $5,506,076.
(b) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
(c) Illiquid security. At the period end, the value of these amounted to $184,388 or 0.1% of net assets.
(d) All or a portion of this security is held as collateral for open futures contracts.
(e) The rate shown is the purchase yield.
(f) The rate shown is the 7-day yield.
 
     
ADR —
  American Depositary Receipt
CDI —
  CHESS Depositary Interest
CVA —
  Dutch Certificate
ETF —
  Exchange traded fund
GDR —
  Global Depositary Receipt
Reg’d —
  Registered
REIT —
  Real Estate Investment Trust
SDR —
  Swedish Depositary Receipt
 
 
 
 19

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
MSCI EAFE, e-mini Long, expires 09/19/14
    1       95,760       (2,169 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
 
 
20 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  •  Underlying funds: Mutual funds are valued at their respective NAVs. Exchange trade funds (ETFs) traded on a recognized securities exchange are valued at the last reported sale price that day or the official closing price, if applicable.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities, futures contracts and ETFs. Investments in mutual funds are valued daily at their NAVs, and investments in ETFs are valued daily at the last reported sale price or the official closing price, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $—       $99,679,112       $—       $99,679,112  
Australia1
    —       11,886,768       —       11,886,768  
Consumer Durables & Apparel
    39,885       163,174       —       203,059  
Food, Beverage & Tobacco
    379,946       647,896       —       1,027,842  
Materials
    25,229       2,351,290       —       2,376,519  
 
 
 
 21

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Austria1
    $—       $260,785       $—       $260,785  
Capital Goods
    147,223       405,824       —       553,047  
Energy
    92,257       —       —       92,257  
Materials
    217,007       —       —       217,007  
Real Estate
    250,501       —       —       250,501  
Transportation
    328,698       —       —       328,698  
Utilities
    107,896       —       —       107,896  
Belgium1
    —       1,985,181       —       1,985,181  
Diversified Financials
    125,527       522,799       —       648,326  
Health Care Equipment & Services
    78,766       20,450       —       99,216  
Real Estate
    281,768       —       —       281,768  
Retailing
    343,578       —       —       343,578  
Transportation
    50,921       —       —       50,921  
Canada1
    22,870,132       —       —       22,870,132  
Denmark1
    —       3,356,869       —       3,356,869  
Pharmaceuticals, Biotechnology & Life Sciences
    213,415       —       —       213,415  
Finland1
    —       2,858,087       —       2,858,087  
Capital Goods
    203,184       822,270       —       1,025,454  
Commercial & Professional Supplies
    39,742       —       —       39,742  
Media
    376,851       —       —       376,851  
France1
    —       5,122,800       —       5,122,800  
Consumer Durables & Apparel
    25,500       312,011       —       337,511  
Consumer Services
    207,773       —       —       207,773  
Food, Beverage & Tobacco
    232,012       —       —       232,012  
Health Care Equipment & Services
    163,579       136,874       —       300,453  
Materials
    396,414       428,815       —       825,229  
Media
    365,572       1,073,594       —       1,439,166  
Real Estate
    976,939       954,658       —       1,931,597  
Retailing
    30,669       —       —       30,669  
Telecommunication Services
    246,329       —       —       246,329  
Transportation
    23,803       1,085,805       —       1,109,608  
Germany1
    —       8,274,485       —       8,274,485  
Materials
    463,139       562,316       —       1,025,455  
Hong Kong1
    —       5,919,505       —       5,919,505  
Banks
    —       335,934       129,031       464,965  
Capital Goods
    166,450       —       —       166,450  
Food & Staples Retailing
    173,178       —       —       173,178  
Media
    169,060       —       —       169,060  
Technology Hardware & Equipment
    300,691       —       —       300,691  
Telecommunication Services
    120,309       —       —       120,309  
 
 
 
22 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Ireland1
    $—       $363,299       $—       $363,299  
Capital Goods
    284,031       1,122,156       —       1,406,187  
Food & Staples Retailing
    21,050       —       —       21,050  
Food, Beverage & Tobacco
    226,922       175,770       —       402,692  
Health Care Equipment & Services
    253,323       —       —       253,323  
Pharmaceuticals, Biotechnology & Life Sciences
    46,620       —       —       46,620  
Transportation
    23,285       75,748       —       99,033  
Israel1
    —       2,750,203       —       2,750,203  
Software & Services
    445,227       127,058       —       572,285  
Italy1
    —       4,027,716       —       4,027,716  
Capital Goods
    78,280       331,781       —       410,061  
Energy
    330,131       261,355       —       591,486  
Food, Beverage & Tobacco
    208,821       157,199       —       366,020  
Utilities
    524,732       487,481       —       1,012,213  
Luxembourg1
    —       366,529       —       366,529  
Banks
    —       —       55,357       55,357  
Household & Personal Products
    193,620       —       —       193,620  
Materials
    314,306       —       —       314,306  
Semiconductors & Semiconductor Equipment
    83,303       —       —       83,303  
Telecommunication Services
    48,141       —       —       48,141  
Netherlands1
    —       1,376,747       —       1,376,747  
Capital Goods
    528,562       832,756       —       1,361,318  
Energy
    154,630       530,677       —       685,307  
Food & Staples Retailing
    58,158       289,527       —       347,685  
Real Estate
    157,276       828,247       —       985,523  
Semiconductors & Semiconductor Equipment
    297,846       199,709       —       497,555  
Software & Services
    27,252       —       —       27,252  
New Zealand1
    —       981,941       —       981,941  
Health Care Equipment & Services
    148,783       —       —       148,783  
Real Estate
    89,531       —       —       89,531  
Telecommunication Services
    190,303       —       —       190,303  
Utilities
    30,681       313,687       —       344,368  
Norway1
    —       1,653,061       —       1,653,061  
Banks
    22,445       240,941       —       263,386  
Commercial & Professional Supplies
    103,888       —       —       103,888  
Food, Beverage & Tobacco
    137,657       228,884       —       366,541  
Insurance
    356,133       176,623       —       532,756  
Portugal1
    —       848,967       —       848,967  
Materials
    43,863       —       —       43,863  
Utilities
    90,235       —       —       90,235  
 
 
 
 23

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Singapore1
    $—       $4,031,085       $—       $4,031,085  
Energy
    —       —       —       —  
Food & Staples Retailing
    278,588       —       —       278,588  
Semiconductors & Semiconductor Equipment
    27,240       —       —       27,240  
Transportation
    323,127       443,129       —       766,256  
Spain1
    —       5,085,839       —       5,085,839  
Materials
    24,021       433,437       —       457,458  
Media
    74,979       400,216       —       475,195  
Sweden1
    —       3,400,895       —       3,400,895  
Capital Goods
    132,011       937,792       —       1,069,803  
Consumer Durables & Apparel
    116,256       317,893       —       434,149  
Food & Staples Retailing
    166,620       —       —       166,620  
Media
    58,612       270,743       —       329,355  
Retailing
    96,998       140,794       —       237,792  
Switzerland1
    —       5,908,199       —       5,908,199  
Banks
    146,987       127,279       —       274,266  
Capital Goods
    180,769       1,575,640       —       1,756,409  
Consumer Durables & Apparel
    141,769       —       —       141,769  
Consumer Services
    210,474       —       —       210,474  
United Kingdom1
    —       1,266,010       —       1,266,010  
Capital Goods
    934,402       3,610,009       —       4,544,411  
Commercial & Professional Supplies
    393,098       2,636,376       —       3,029,474  
Consumer Durables & Apparel
    47,660       1,656,449       —       1,704,109  
Consumer Services
    745,388       1,620,665       —       2,366,053  
Diversified Financials
    20,691       3,885,918       —       3,906,609  
Energy
    167,750       508,554       —       676,304  
Food, Beverage & Tobacco
    453,815       449,170       —       902,985  
Insurance
    921,596       1,421,794       —       2,343,390  
Materials
    620,279       1,709,170       —       2,329,449  
Media
    358,933       549,924       —       908,857  
Real Estate
    155,861       2,003,520       —       2,159,381  
Retailing
    345,688       2,093,937       —       2,439,625  
Software & Services
    95,958       476,501       —       572,459  
Technology Hardware & Equipment
    399,496       1,375,467       —       1,774,963  
Telecommunication Services
    416,690       21,405       —       438,095  
Transportation
    91,870       2,139,786       —       2,231,656  
Preferred Stock1
    —       214,442       —       214,442  
Germany1
    —       726,366       —       726,366  
Health Care Equipment & Services
    81,968       —       —       81,968  
Sweden1
    45,721       —       —       45,721  
Other Investment Company1
    3,070,200       —       —       3,070,200  
 
 
 
24 

 

 
 Schwab Fundamental International Small Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Short-Term Investments1
    $—       $583,254       $—       $583,254  
                                 
Total
    $47,098,493       $219,937,022       $184,388       $267,219,903  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $5,997,562       $—       $—       $5,997,562  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($2,169 )     $—       $—       ($2,169 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Common Stock
                                                               
Hong Kong
    $—       ($168 )     $10,882       $39,986       ($7,149 )     $85,480       $—       $129,031  
Luxembourg
    —       —       (307,190 )     149,585       —       212,962       —       55,357  
                                                                 
Total
    $—       ($168 )     ($296,308 )     $189,571       ($7,149 )     $298,442       $—       $184,388  
                                                                 
 
The funds policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were security transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014. The transfers in the amount of $4,011,508 and $6,243,524 from Level 1 to Level 2 and from Level 2 to Level 1, respectively, were primarily due to the use of international fair valuation by the fund as discussed above. The transfers in and out of Level 3 from Level 1 or Level 2 were the result of fair valued securities for which no quoted value was available.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46849JUL14
 
 
 
 25

 

Schwab Capital Trust
Schwab Fundamental Emerging Markets Large Company Index Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  88 .0%   Common Stock     315,448,352       336,301,700  
  10 .2%   Preferred Stock     45,203,048       38,913,502  
  0 .0%   Other Investment Company     3,762       4,382  
  1 .1%   Short-Term Investments     4,340,217       4,340,217  
 
 
  99 .3%   Total Investments     364,995,379       379,559,801  
  0 .1%   Collateral Invested for Securities on Loan     378,950       378,950  
  0 .6%   Other Assets and Liabilities, Net             2,104,276  
 
 
  100 .0%   Net Assets             382,043,027  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 88.0% of net assets
 
Brazil 6.3%
                 
 
Banks 1.1%
Banco Bradesco S.A.
    92,802       1,447,200  
Banco do Brasil S.A.
    180,908       2,210,366  
Itau Unibanco Holding S.A.
    36,028       527,533  
                 
              4,185,099  
                 
 
Capital Goods 0.2%
Embraer S.A.
    67,999       645,897  
                 
 
Diversified Financials 0.1%
BM&F Bovespa S.A.
    106,776       569,942  
                 
 
Energy 2.0%
Cosan Ltd., Class A
    35,000       422,450  
Petroleo Brasileiro S.A. - Petrobras
    789,058       6,256,817  
Ultrapar Participacoes S.A.
    48,714       1,121,898  
                 
              7,801,165  
                 
 
Food, Beverage & Tobacco 0.6%
AMBEV S.A.
    138,378       955,761  
BRF S.A.
    30,445       744,770  
JBS S.A.
    172,236       633,905  
                 
              2,334,436  
                 
 
Materials 1.5%
Companhia Siderurgica Nacional S.A.
    229,356       1,157,521  
Usinas Siderurgicas de Minas Gerais S.A. *
    48,439       156,926  
Vale S.A.
    295,979       4,246,443  
                 
              5,560,890  
                 
 
Software & Services 0.1%
Cielo S.A.
    29,910       547,114  
                 
 
Telecommunication Services 0.2%
Oi S.A.
    164,221       110,024  
Tim Participacoes S.A.
    106,485       564,165  
                 
              674,189  
                 
 
Transportation 0.1%
CCR S.A.
    38,000       298,808  
                 
 
Utilities 0.4%
Centrais Eletricas Brasileiras S.A.
    199,300       549,036  
Companhia de Saneamento Basico do Estado de Sao Paulo
    54,976       486,818  
CPFL Energia S.A.
    62,644       546,711  
                 
              1,582,565  
                 
              24,200,105  
 
Chile 0.9%
                 
 
Banks 0.1%
Banco Santander Chile
    6,301,544       400,215  
                 
 
Energy 0.1%
Empresas Copec S.A.
    54,545       668,141  
                 
 
Food & Staples Retailing 0.1%
Cencosud S.A.
    148,330       463,585  
                 
 
Transportation 0.1%
Latam Airlines Group S.A. *
    22,200       261,492  
                 
 
Utilities 0.5%
Empresa Nacional de Electricidad S.A.
    338,179       502,146  
Enersis S.A.
    3,899,400       1,314,411  
                 
              1,816,557  
                 
              3,609,990  
 
China 14.8%
                 
 
Automobiles & Components 0.2%
Dongfeng Motor Group Co., Ltd., Class H
    346,000       614,416  
                 
 
Banks 5.3%
Agricultural Bank of China Ltd., Class H
    2,182,600       1,057,361  
Bank of China Ltd., Class H
    9,358,234       4,472,194  
Bank of Communications Co., Ltd., Class H
    716,000       548,603  
BOC Hong Kong (Holdings) Ltd.
    240,500       754,295  
China CITIC Bank Corp. Ltd., Class H
    579,000       383,367  
China Construction Bank Corp., Class H
    9,159,000       7,007,729  
China Merchants Bank Co., Ltd., Class H
    286,350       578,697  
 
 
 
 1

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
China Minsheng Banking Corp., Ltd., Class H
    334,000       345,017  
Industrial & Commercial Bank of China Ltd., Class H
    7,718,172       5,263,929  
                 
              20,411,192  
                 
 
Capital Goods 0.5%
China Communications Construction Co., Ltd., Class H
    879,000       665,226  
China Railway Construction Corp., Ltd., Class H
    421,000       403,519  
China Railway Group Ltd., Class H
    838,000       448,163  
CITIC Pacific Ltd.
    241,000       480,621  
                 
              1,997,529  
                 
 
Consumer Durables & Apparel 0.1%
Yue Yuen Industrial Holdings Ltd.
    140,500       469,528  
                 
 
Energy 4.1%
China Coal Energy Co., Ltd., Class H (a)
    614,000       369,021  
China Petroleum & Chemical Corp., Class H
    6,133,400       6,004,625  
China Shenhua Energy Co., Ltd., Class H
    429,500       1,262,909  
CNOOC Ltd.
    1,793,000       3,171,581  
PetroChina Co., Ltd., Class H
    3,608,000       4,676,220  
                 
              15,484,356  
                 
 
Food & Staples Retailing 0.1%
China Resources Enterprise Ltd.
    146,000       444,285  
                 
 
Food, Beverage & Tobacco 0.1%
China Mengniu Dairy Co., Ltd.
    69,000       334,032  
                 
 
Insurance 0.6%
China Life Insurance Co., Ltd., Class H
    415,000       1,232,498  
China Pacific Insurance Group Co., Ltd., Class H
    108,600       426,546  
Ping An Insurance (Group) Co. of China Ltd., Class H
    70,500       599,038  
                 
              2,258,082  
                 
 
Materials 0.2%
China National Building Material Co., Ltd., Class H
    380,000       378,864  
Jiangxi Copper Co., Ltd., Class H
    228,000       434,693  
                 
              813,557  
                 
 
Real Estate 0.2%
China Overseas Land & Investment Ltd.
    194,000       589,917  
                 
 
Retailing 0.3%
Belle International Holdings Ltd.
    396,000       490,500  
GOME Electrical Appliances Holding Ltd.
    2,999,000       506,202  
                 
              996,702  
                 
 
Software & Services 0.1%
Tencent Holdings Ltd.
    29,700       482,320  
                 
 
Technology Hardware & Equipment 0.2%
Kingboard Chemical Holdings Ltd.
    140,000       293,778  
Lenovo Group Ltd.
    458,000       624,751  
                 
              918,529  
                 
 
Telecommunication Services 2.7%
China Mobile Ltd.
    671,600       7,338,333  
China Telecom Corp., Ltd., Class H
    2,800,000       1,578,203  
China Unicom (Hong Kong) Ltd.
    841,056       1,469,241  
                 
              10,385,777  
                 
 
Utilities 0.1%
Huaneng Power International, Inc., Class H
    362,000       401,837  
                 
              56,602,059  
 
Colombia 0.3%
                 
 
Banks 0.1%
Bancolombia S.A.
    17,219       259,651  
                 
 
Energy 0.2%
Ecopetrol S.A.
    451,025       764,227  
                 
              1,023,878  
 
Czech Republic 0.5%
                 
 
Telecommunication Services 0.2%
O2 Czech Republic A/S
    39,903       526,134  
                 
 
Utilities 0.3%
CEZ A/S
    44,305       1,258,391  
                 
              1,784,525  
 
Greece 0.7%
                 
 
Consumer Services 0.4%
OPAP S.A.
    82,988       1,352,414  
                 
 
Telecommunication Services 0.2%
Hellenic Telecommunications Organization S.A. *
    53,026       726,862  
                 
 
Utilities 0.1%
Public Power Corp. S.A. *
    38,466       561,492  
                 
              2,640,768  
 
Hungary 0.6%
                 
 
Banks 0.2%
OTP Bank plc
    39,717       688,388  
                 
 
Energy 0.2%
MOL Hungarian Oil & Gas plc
    18,698       904,300  
                 
 
Telecommunication Services 0.2%
Magyar Telekom Telecommunications plc *
    444,079       704,847  
                 
              2,297,535  
 
India 3.9%
                 
 
Automobiles & Components 0.3%
Mahindra & Mahindra Ltd.
    24,975       491,919  
Tata Motors Ltd.
    75,756       554,455  
Tata Motors Ltd., Class A
    11,785       56,806  
                 
              1,103,180  
 
 
 
2 

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Banks 0.7%
Housing Development Finance Corp., Ltd.
    49,100       860,352  
ICICI Bank Ltd.
    37,421       903,137  
State Bank of India
    20,022       800,125  
                 
              2,563,614  
                 
 
Energy 1.5%
Indian Oil Corp., Ltd.
    101,687       554,485  
Oil & Natural Gas Corp., Ltd.
    290,138       1,884,431  
Reliance Industries Ltd.
    209,869       3,466,617  
                 
              5,905,533  
                 
 
Food, Beverage & Tobacco 0.1%
ITC Ltd.
    65,244       382,015  
                 
 
Materials 0.4%
Hindalco Industries Ltd.
    263,664       828,066  
Tata Steel Ltd.
    99,056       899,522  
                 
              1,727,588  
                 
 
Software & Services 0.5%
Infosys Ltd.
    27,150       1,501,237  
Tata Consultancy Services Ltd.
    14,800       629,294  
                 
              2,130,531  
                 
 
Telecommunication Services 0.2%
Bharti Airtel Ltd.
    104,785       642,910  
                 
 
Utilities 0.2%
NTPC Ltd.
    270,949       646,331  
                 
              15,101,702  
 
Indonesia 1.0%
                 
 
Automobiles & Components 0.3%
PT Astra International Tbk
    1,689,900       1,115,916  
                 
 
Banks 0.4%
PT Bank Central Asia Tbk
    410,400       410,706  
PT Bank Mandiri (Persero) Tbk
    457,200       397,835  
PT Bank Rakyat Indonesia (Persero) Tbk
    563,300       540,301  
                 
              1,348,842  
                 
 
Telecommunication Services 0.3%
PT Telekomunikasi Indonesia (Persero) Tbk
    5,722,200       1,299,941  
                 
              3,764,699  
 
Malaysia 1.9%
                 
 
Banks 0.6%
CIMB Group Holdings Berhad
    269,900       589,405  
Malayan Banking Berhad
    228,000       703,295  
Public Bank Berhad
    127,800       789,913  
                 
              2,082,613  
                 
 
Capital Goods 0.2%
Sime Darby Berhad
    298,700       887,785  
                 
 
Consumer Services 0.1%
Genting Berhad
    164,900       507,431  
                 
 
Food, Beverage & Tobacco 0.1%
IOI Corp. Berhad
    258,300       404,200  
                 
 
Materials 0.1%
Petronas Chemicals Group Berhad
    174,000       360,847  
                 
 
Telecommunication Services 0.6%
Axiata Group Berhad
    337,600       734,941  
DiGi.com Berhad
    227,400       403,864  
Maxis Berhad
    171,500       362,254  
Telekom Malaysia Berhad
    298,200       581,086  
                 
              2,082,145  
                 
 
Utilities 0.2%
Tenaga Nasional Berhad
    240,900       934,964  
                 
              7,259,985  
 
Mexico 3.3%
                 
 
Banks 0.2%
Grupo Financiero Banorte S.A.B. de C.V., Class O
    70,400       467,878  
Grupo Financiero Santander Mexico S.A.B. de C.V.
    48,000       127,407  
                 
              595,285  
                 
 
Capital Goods 0.1%
Alfa S.A.B. de C.V., Class A
    179,200       489,750  
                 
 
Food & Staples Retailing 0.3%
Wal-Mart de Mexico S.A.B. de C.V., Series V
    468,337       1,161,986  
                 
 
Food, Beverage & Tobacco 0.5%
Coca-Cola Femsa S.A.B. de C.V., Series L
    34,500       368,565  
Fomento Economico Mexicano S.A.B. de C.V.
    117,350       1,103,818  
Grupo Bimbo S.A.B. de C.V., Series A
    155,000       476,139  
                 
              1,948,522  
                 
 
Materials 0.8%
Cemex S.A.B. de C.V., Series CPO *
    1,668,265       2,092,272  
Grupo Mexico S.A.B. de C.V., Series B
    301,897       1,072,625  
                 
              3,164,897  
                 
 
Media 0.3%
Grupo Televisa S.A.B., Series CPO
    170,817       1,217,943  
                 
 
Telecommunication Services 1.1%
America Movil S.A.B. de C.V., Series L
    3,573,500       4,214,135  
                 
              12,792,518  
 
Peru 0.1%
                 
 
Banks 0.1%
Credicorp Ltd.
    2,500       369,800  
 
Philippines 0.2%
                 
 
Telecommunication Services 0.2%
Philippine Long Distance Telephone Co.
    10,100       711,207  
 
 
 
 3

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Poland 2.1%
                 
 
Banks 0.3%
Bank Pekao S.A.
    8,200       434,557  
Powszechna Kasa Oszczednosci Bank Polski S.A.
    70,543       802,228  
                 
              1,236,785  
                 
 
Energy 0.4%
Polski Koncern Naftowy Orlen S.A.
    137,942       1,628,734  
                 
 
Insurance 0.2%
Powszechny Zaklad Ubezpieczen S.A.
    4,877       685,703  
                 
 
Materials 0.5%
KGHM Polska Miedz S.A.
    41,300       1,694,401  
                 
 
Telecommunication Services 0.3%
Orange Polska S.A.
    306,579       1,012,006  
                 
 
Utilities 0.4%
PGE S.A.
    161,113       1,071,885  
Tauron Polska Energia S.A.
    357,382       580,160  
                 
              1,652,045  
                 
              7,909,674  
 
Republic of Korea 17.7%
                 
 
Automobiles & Components 2.0%
Hyundai Mobis
    6,081       1,816,542  
Hyundai Motor Co.
    17,372       4,112,457  
Kia Motors Corp.
    29,665       1,741,506  
                 
              7,670,505  
                 
 
Banks 1.4%
Hana Financial Group, Inc.
    25,841       1,040,689  
KB Financial Group, Inc.
    30,786       1,202,637  
Shinhan Financial Group Co., Ltd.
    48,012       2,371,203  
Woori Finance Holdings Co., Ltd. *
    55,684       750,292  
                 
              5,364,821  
                 
 
Capital Goods 2.9%
Daelim Industrial Co., Ltd.
    5,109       457,113  
Daewoo Shipbuilding & Marine Engineering Co., Ltd.
    13,560       321,784  
Doosan Heavy Industries & Construction Co., Ltd.
    11,180       325,600  
Hyundai Engineering & Construction Co., Ltd.
    7,041       429,218  
Hyundai Heavy Industries Co., Ltd.
    8,492       1,224,210  
LG Corp.
    48,640       3,257,288  
Samsung C&T Corp.
    19,630       1,393,098  
Samsung Heavy Industries Co., Ltd.
    19,440       522,193  
SK Holdings Co., Ltd.
    13,209       2,237,288  
SK Networks Co., Ltd. *
    83,091       904,385  
                 
              11,072,177  
                 
 
Consumer Durables & Apparel 0.8%
LG Electronics, Inc.
    41,027       3,039,381  
                 
 
Energy 1.0%
GS Holdings
    24,124       1,097,220  
S-Oil Corp.
    12,253       654,908  
SK Innovation Co., Ltd.
    19,948       1,986,920  
                 
              3,739,048  
                 
 
Food & Staples Retailing 0.2%
E-Mart Co., Ltd.
    2,500       561,364  
                 
 
Food, Beverage & Tobacco 0.3%
KT&G Corp.
    12,459       1,207,293  
                 
 
Insurance 0.4%
Samsung Fire & Marine Insurance Co., Ltd.
    3,193       875,185  
Samsung Life Insurance Co., Ltd.
    5,100       519,133  
                 
              1,394,318  
                 
 
Materials 2.4%
Hanwha Corp.
    24,318       689,252  
Hyosung Corp.
    5,236       380,301  
Hyundai Steel Co.
    9,829       748,812  
LG Chem Ltd.
    5,872       1,643,225  
Lotte Chemical Corp.
    2,500       421,493  
OCI Co., Ltd. *
    2,082       327,084  
POSCO
    15,650       5,085,549  
                 
              9,295,716  
                 
 
Retailing 0.1%
Lotte Shopping Co., Ltd.
    1,300       400,849  
                 
 
Semiconductors & Semiconductor Equipment 3.9%
Samsung Electronics Co., Ltd.
    10,309       13,342,050  
SK Hynix, Inc. *
    35,862       1,560,340  
                 
              14,902,390  
                 
 
Software & Services 0.6%
NAVER Corp.
    650       464,130  
SK C&C Co., Ltd.
    10,113       1,649,268  
                 
              2,113,398  
                 
 
Technology Hardware & Equipment 0.9%
LG Display Co., Ltd. *
    64,988       2,133,406  
Samsung Electro-Mechanics Co., Ltd.
    6,100       371,718  
Samsung SDI Co., Ltd.
    6,466       995,639  
                 
              3,500,763  
                 
 
Telecommunication Services 0.2%
KT Corp.
    11,597       374,082  
LG Uplus Corp.
    56,190       516,773  
                 
              890,855  
                 
 
Utilities 0.6%
Korea Electric Power Corp.
    50,060       2,065,785  
Korea Gas Corp. *
    6,264       372,798  
                 
              2,438,583  
                 
              67,591,461  
 
Russia 11.4%
                 
 
Banks 0.5%
Sberbank of Russia ADR
    214,003       1,775,323  
VTB Bank OJSC *
    300,000,000       334,500  
                 
              2,109,823  
                 
 
Energy 9.0%
Bashneft OAO *
    2,000       110,002  
Gazprom OAO *
    624,000       2,308,090  
 
 
 
4 

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Gazprom OAO ADR
    1,550,000       11,309,870  
LUKOIL OAO *
    36,299       2,035,234  
LUKOIL OAO ADR
    199,000       11,094,488  
NovaTek OAO *
    102,090       1,045,598  
Rosneft Oil Co. GDR - Reg’d
    163,200       1,006,981  
Surgutneftegas ADR
    577,500       3,999,240  
Tatneft ADR
    47,100       1,674,112  
                 
              34,583,615  
                 
 
Food & Staples Retailing 0.1%
Magnit *
    1,600       410,237  
                 
 
Materials 1.0%
MMC Norilsk Nickel OJSC ADR
    145,700       2,849,337  
Severstal GDR - Reg’d
    58,510       562,003  
Uralkali OJSC GDR - Reg’d
    12,732       243,117  
                 
              3,654,457  
                 
 
Telecommunication Services 0.6%
Mobile TeleSystems ADR
    79,851       1,431,728  
Sistema JSFC *
    788,800       870,878  
                 
              2,302,606  
                 
 
Transportation 0.2%
Aeroflot Russian Airlines *
    260,000       368,289  
Globaltrans Investment plc GDR - Reg’d
    33,500       329,473  
                 
              697,762  
                 
 
Utilities 0.0%
Russian Grids OAO *
    1       —  
                 
              43,758,500  
 
South Africa 7.0%
                 
 
Banks 0.8%
Barclays Africa Group Ltd
    40,242       626,135  
Nedbank Group Ltd.
    24,829       540,754  
Standard Bank Group Ltd.
    142,867       1,922,199  
                 
              3,089,088  
                 
 
Capital Goods 0.7%
Aveng Ltd. *
    247,645       561,940  
Barloworld Ltd.
    64,700       613,584  
Bidvest Group Ltd.
    49,266       1,325,323  
                 
              2,500,847  
                 
 
Consumer Durables & Apparel 0.2%
Steinhoff International Holdings Ltd.
    132,536       662,073  
                 
 
Diversified Financials 0.5%
African Bank Investments Ltd.
    319,000       183,255  
FirstRand Ltd.
    265,668       1,068,097  
Remgro Ltd.
    20,700       446,648  
                 
              1,698,000  
                 
 
Energy 1.3%
Sasol Ltd.
    83,322       4,806,289  
                 
 
Food & Staples Retailing 0.1%
Shoprite Holdings Ltd.
    34,915       526,857  
                 
 
Food, Beverage & Tobacco 0.1%
Tiger Brands Ltd.
    17,906       514,806  
                 
 
Insurance 0.2%
Sanlam Ltd.
    147,494       836,601  
                 
 
Materials 1.1%
AngloGold Ashanti Ltd. *
    48,896       838,390  
Gold Fields Ltd.
    274,179       1,080,793  
Impala Platinum Holdings Ltd.
    120,358       1,192,687  
Kumba Iron Ore Ltd.
    18,254       638,305  
Sappi Ltd. *
    163,945       619,702  
                 
              4,369,877  
                 
 
Media 0.2%
Naspers Ltd., N Shares
    7,145       878,671  
                 
 
Retailing 0.3%
Imperial Holdings Ltd.
    33,300       613,272  
Woolworths Holdings Ltd.
    56,481       436,142  
                 
              1,049,414  
                 
 
Telecommunication Services 1.5%
MTN Group Ltd.
    199,802       4,135,777  
Telkom SA SOC Ltd. *
    276,925       1,278,498  
Vodacom Group Ltd.
    36,801       430,135  
                 
              5,844,410  
                 
              26,776,933  
 
Taiwan 12.4%
                 
 
Banks 0.4%
CTBC Financial Holding Co., Ltd.
    704,994       493,436  
Mega Financial Holding Co., Ltd.
    611,404       536,916  
Taishin Financial Holding Co., Ltd.
    716,000       382,121  
                 
              1,412,473  
                 
 
Capital Goods 0.3%
Far Eastern New Century Corp.
    537,137       600,206  
Walsin Lihwa Corp. *
    1,386,000       515,459  
                 
              1,115,665  
                 
 
Consumer Durables & Apparel 0.1%
Pou Chen Corp.
    385,267       430,645  
                 
 
Diversified Financials 0.2%
Fubon Financial Holding Co., Ltd.
    456,674       716,894  
                 
 
Energy 0.2%
Formosa Petrochemical Corp.
    271,330       691,363  
                 
 
Food, Beverage & Tobacco 0.2%
Uni-President Enterprises Corp.
    368,141       700,814  
                 
 
Insurance 0.1%
Cathay Financial Holding Co., Ltd.
    324,599       540,131  
                 
 
Materials 1.8%
China Steel Corp.
    1,785,489       1,540,048  
Formosa Chemicals & Fibre Corp.
    704,442       1,713,957  
Formosa Plastics Corp.
    615,732       1,577,256  
Nan Ya Plastics Corp.
    678,811       1,577,230  
Taiwan Cement Corp.
    381,299       567,634  
                 
              6,976,125  
                 
 
Semiconductors & Semiconductor Equipment 2.6%
Advanced Semiconductor Engineering, Inc.
    638,094       757,796  
MediaTek, Inc.
    83,138       1,286,655  
Siliconware Precision Industries Co.
    511,270       697,823  
 
 
 
 5

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Taiwan Semiconductor Manufacturing Co., Ltd.
    1,523,689       6,108,899  
United Microelectronics Corp.
    2,527,965       1,166,093  
                 
              10,017,266  
                 
 
Technology Hardware & Equipment 5.8%
Acer, Inc. *
    1,740,496       1,379,424  
Asustek Computer, Inc.
    197,041       2,082,203  
AU Optronics Corp.
    4,568,800       2,058,805  
Compal Electronics, Inc.
    2,123,305       1,954,432  
Delta Electronics, Inc.
    139,025       944,736  
Foxconn Technology Co., Ltd.
    153,000       378,157  
Hon Hai Precision Industry Co., Ltd.
    1,671,800       5,728,735  
HTC Corp. *
    350,473       1,529,079  
Innolux Corp.
    1,714,357       808,912  
Inventec Corp.
    597,639       531,277  
Lite-On Technology Corp.
    432,855       726,226  
Pegatron Corp.
    501,264       949,861  
Quanta Computer, Inc.
    428,500       1,196,765  
Synnex Technology International Corp.
    315,000       492,391  
Wistron Corp.
    968,231       925,115  
WPG Holdings Ltd.
    337,000       446,790  
                 
              22,132,908  
                 
 
Telecommunication Services 0.7%
Chunghwa Telecom Co., Ltd.
    565,906       1,726,339  
Far EasTone Telecommunications Co., Ltd.
    187,622       389,191  
Taiwan Mobile Co., Ltd.
    134,600       411,948  
                 
              2,527,478  
                 
              47,261,762  
 
Thailand 1.2%
                 
 
Banks 0.1%
Siam Commercial Bank PCL
    70,400       390,258  
                 
 
Energy 0.8%
PTT Exploration & Production PCL
    123,000       622,470  
PTT PCL
    192,187       1,909,301  
Thai Oil PCL
    262,800       423,541  
                 
              2,955,312  
                 
 
Materials 0.2%
PTT Global Chemical PCL
    286,600       586,856  
                 
 
Telecommunication Services 0.1%
Advanced Info Service PCL - Reg’d
    76,475       495,385  
                 
              4,427,811  
 
Turkey 1.7%
                 
 
Banks 0.8%
Akbank T.A.S.
    172,751       685,113  
Turkiye Garanti Bankasi A/S
    196,116       807,650  
Turkiye Halk Bankasi A/S
    66,525       500,902  
Turkiye Is Bankasi, Class C
    208,924       582,929  
Turkiye Vakiflar Bankasi T.A.O., Class D
    177,152       416,104  
                 
              2,992,698  
                 
 
Capital Goods 0.2%
KOC Holding A/S
    151,045       792,561  
                 
 
Diversified Financials 0.1%
Haci Omer Sabanci Holding A/S
    107,285       500,011  
                 
 
Energy 0.3%
Tupras - Turkiye Petrol Rafinerileri A/S
    38,319       936,455  
                 
 
Telecommunication Services 0.3%
Turk Telekomunikasyon A/S
    109,500       327,814  
Turkcell Iletisim Hizmetleri A/S *
    132,621       867,249  
                 
              1,195,063  
                 
              6,416,788  
                 
Total Common Stock
(Cost $315,448,352)     336,301,700  
         
                 
                 
 
 Preferred Stock 10.2% of net assets
 
Brazil 8.6%
                 
 
Banks 2.3%
Banco Bradesco S.A.
    196,767       3,001,700  
Itau Unibanco Holding S.A.
    337,478       5,221,147  
Itausa - Investimentos Itau S.A.
    153,022       640,079  
                 
              8,862,926  
                 
 
Energy 2.6%
Petroleo Brasileiro S.A.
    1,166,860       9,823,483  
                 
 
Food & Staples Retailing 0.1%
Compania Brasileira de Distribuicao Grupo Pao de Acucar
    9,190       443,550  
                 
 
Materials 2.3%
Bradespar S.A.
    42,953       435,446  
Gerdau S.A.
    245,626       1,445,337  
Metalurgica Gerdau S.A.
    169,822       1,208,122  
Usinas Siderurgicas de Minas Gerais S.A., Class A *
    115,605       410,191  
Vale S.A.
    407,057       5,226,477  
                 
              8,725,573  
                 
 
Telecommunication Services 0.4%
Oi S.A.
    366,332       237,359  
Telefonica Brasil S.A.
    58,297       1,171,721  
                 
              1,409,080  
                 
 
Utilities 0.9%
Centrais Eletricas Brasileiras S.A., Class B
    168,904       810,739  
Companhia Energetica de Minas Gerais
    182,173       1,483,079  
Companhia Paranaense de Energia-Copel
    29,936       464,461  
Eletropaulo Metropolitana S.A.
    166,400       764,982  
                 
              3,523,261  
                 
              32,787,873  
 
 
 
6 

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Colombia 0.1%
                 
 
Banks 0.1%
Bancolombia S.A.
    28,509       440,529  
 
Republic of Korea 0.8%
                 
 
Automobiles & Components 0.3%
Hyundai Motor Co., Ltd.
    2,500       404,779  
Hyundai Motor Co., Ltd. 2nd
    3,667       612,560  
                 
              1,017,339  
                 
 
Consumer Durables & Apparel 0.1%
LG Electronics, Inc.
    7,070       290,320  
                 
 
Materials 0.0%
LG Chem Ltd.
    878       169,752  
                 
 
Semiconductors & Semiconductor Equipment 0.4%
Samsung Electronics Co., Ltd.
    1,677       1,734,361  
                 
              3,211,772  
 
Russia 0.7%
                 
 
Energy 0.7%
AK Transneft OAO *
    1,196       2,473,328  
                 
Total Preferred Stock
(Cost $45,203,048)     38,913,502  
         
                 
                 
 
 Other Investment Company 0.0% of net assets
 
United States 0.0%
iShares MSCI Emerging Markets ETF
    100       4,382  
                 
Total Other Investment Company
(Cost $3,762)     4,382  
         
                 
                 
Security
 		  Face Amount
 		  Value
    Rate, Maturity Date   Local Currency   ($)
 
 Short-Term Investments 1.1% of net assets
 
Time Deposit 1.0%
Wells Fargo
US Dollar
               
0.03%, 08/01/14
    3,820,227       3,820,227  
 
U.S. Treasury Obligation 0.1%
U.S. Treasury Bill
0.02%, 09/18/14 (b)(c)
    520,000       519,990  
                 
Total Short-Term Investments
(Cost $4,340,217)     4,340,217  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.1% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (d)
    378,950       378,950  
                 
Total Collateral Invested for Securities on Loan
(Cost $378,950)     378,950  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14, the tax basis cost of the fund’s investments was $371,349,801 and the unrealized appreciation and depreciation were $44,411,405 and ($36,201,405), respectively, with a net unrealized appreciation of $8,210,000.
 
At 07/31/14, the values of certain foreign securities held by the fund aggregating $279,658,262 were adjusted from their closing market values in accordance with international fair valuation procedures approved by the fund’s Board of Trustees.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $350,389.
(b) All or a portion of this security is held as collateral for open futures contracts.
(c) The rate shown is the purchase yield.
(d) The rate shown is the 7-day yield.
 
     
ADR —
  American Depositary Receipt
ETF —
  Exchange traded fund
GDR —
  Global Depositary Receipt
Reg’d —
  Registered
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Appreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
MSCI Emerging Markets, mini, Long, expires 09/19/14
    80       4,218,400       31,665  
 
 
 
 
 7

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective NAVs. Exchange traded funds (“ETFs”) traded on a recognized securities exchange are valued at the last reported sale price that day or the official closing price, if applicable.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable
 
 
 
8 

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities, futures contracts and ETFs. Investments in mutual funds are valued daily at their NAVs, and investments in ETFs are valued daily at the last reported sale price or the official closing price, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $—       $142,056,505       $—       $142,056,505  
Brazil1
    24,200,105       —       —       24,200,105  
Chile1
    3,609,990       —       —       3,609,990  
Colombia1
    1,023,878       —       —       1,023,878  
Czech Republic1
    1,784,525       —       —       1,784,525  
Mexico1
    12,792,518       —       —       12,792,518  
Peru1
    369,800       —       —       369,800  
Poland1
    —       6,897,668       —       6,897,668  
Telecommunication Services
    1,012,006       —       —       1,012,006  
Republic of Korea1
    —       66,384,168       —       66,384,168  
Food, Beverage & Tobacco
    1,207,293       —       —       1,207,293  
Russia1
    —       3,654,457       —       3,654,457  
Banks
    334,500       1,775,323       —       2,109,823  
Energy
    5,498,924       29,084,691       —       34,583,615  
Food & Staples Retailing
    410,237       —       —       410,237  
Telecommunication Services
    2,302,606       —       —       2,302,606  
Transportation
    697,762       —       —       697,762  
Utilities
    —       —       —       —  
 
 
 
 9

 

 
 Schwab Fundamental Emerging Markets Large Company Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
South Africa1
    $—       $25,078,933       $—       $25,078,933  
Diversified Financials
    183,255       1,514,745       —       1,698,000  
Thailand1
    4,427,811       —       —       4,427,811  
Preferred Stock1
    —       3,211,772       —       3,211,772  
Brazil1
    32,787,873       —       —       32,787,873  
Colombia1
    440,529       —       —       440,529  
Russia1
    2,473,328       —       —       2,473,328  
Other Investment Company1
    4,382       —       —       4,382  
Short-Term Investments1
    —       4,340,217       —       4,340,217  
                                 
Total
    $95,561,322       $283,998,479       $—       $379,559,801  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $378,950       $—       $—       $378,950  
Futures Contracts2
    31,665       —       —       31,665  
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were security transfers in the amount of $1,967,730 and $41,779,593 from Level 1 to Level 2 and from Level 2 to Level 1, respectively, for the period ended July 31, 2014. The transfers between Level 1 and Level 2 were primarily due to the use of international fair valuation by the fund. There were no transfers in or out of Level 3 during the period.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46850JUL14
 
 
 
10 

 

Schwab Capital Trust
Schwab® S&P 500 Index Fund
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .5%   Common Stock     10,844,483,405       18,946,071,519  
  2 .5%   Short-Term Investments     473,483,800       473,483,800  
 
 
  100 .0%   Total Investments     11,317,967,205       19,419,555,319  
  0 .1%   Collateral Invested for Securities on Loan     13,909,246       13,909,246  
  (0 .1%)   Other Assets and Liabilities, Net             (4,637,276 )
 
 
  100 .0%   Net Assets             19,428,827,289  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 97.5% of net assets
 
Automobiles & Components 1.1%
BorgWarner, Inc.
    241,400       15,027,150  
Delphi Automotive plc
    313,200       20,921,760  
Ford Motor Co.
    4,367,797       74,339,905  
General Motors Co.
    1,452,600       49,126,932  
Harley-Davidson, Inc.
    231,470       14,309,476  
Johnson Controls, Inc.
    733,559       34,653,327  
The Goodyear Tire & Rubber Co.
    304,936       7,675,239  
                 
              216,053,789  
 
Banks 5.9%
Bank of America Corp.
    11,615,311       177,133,493  
BB&T Corp.
    793,626       29,380,034  
Citigroup, Inc.
    3,355,447       164,114,913  
Comerica, Inc.
    188,270       9,462,450  
Fifth Third Bancorp
    991,829       20,312,658  
Hudson City Bancorp, Inc.
    481,992       4,699,422  
Huntington Bancshares, Inc.
    989,593       9,717,803  
JPMorgan Chase & Co.
    4,180,531       241,091,223  
KeyCorp
    941,198       12,743,821  
M&T Bank Corp.
    138,598       16,839,657  
People’s United Financial, Inc.
    343,300       4,984,716  
Regions Financial Corp.
    1,567,445       15,893,892  
SunTrust Banks, Inc.
    602,116       22,910,514  
The PNC Financial Services Group, Inc.
    589,978       48,708,584  
U.S. Bancorp
    2,004,928       84,267,124  
Wells Fargo & Co.
    5,294,309       269,480,328  
Zions Bancorp
    178,698       5,150,076  
                 
              1,136,890,708  
 
Capital Goods 7.3%
3M Co.
    691,919       97,484,468  
Allegion plc
    96,933       4,985,264  
AMETEK, Inc.
    260,300       12,674,007  
Caterpillar, Inc.
    693,162       69,836,072  
Cummins, Inc.
    188,862       26,325,474  
Danaher Corp.
    664,474       49,091,339  
Deere & Co.
    411,386       35,013,063  
Dover Corp.
    182,470       15,648,627  
Eaton Corp. plc
    515,538       35,015,341  
Emerson Electric Co.
    775,115       49,336,070  
Fastenal Co.
    301,598       13,375,871  
Flowserve Corp.
    150,300       11,128,212  
Fluor Corp.
    191,882       13,982,441  
General Dynamics Corp.
    363,360       42,429,547  
General Electric Co.
    11,076,452       278,572,768  
Honeywell International, Inc.
    865,029       79,435,613  
Illinois Tool Works, Inc.
    436,936       35,990,418  
Ingersoll-Rand plc
    290,800       17,096,132  
Jacobs Engineering Group, Inc. *
    137,934       7,008,427  
Joy Global, Inc.
    113,200       6,708,232  
L-3 Communications Holdings, Inc.
    105,783       11,102,984  
Lockheed Martin Corp.
    289,391       48,319,615  
Masco Corp.
    382,388       7,953,670  
Northrop Grumman Corp.
    242,467       29,888,907  
PACCAR, Inc.
    379,550       23,634,579  
Pall Corp.
    126,730       9,817,773  
Parker Hannifin Corp.
    164,536       18,913,413  
Pentair plc
    208,982       13,389,477  
Precision Castparts Corp.
    157,527       36,042,178  
Quanta Services, Inc. *
    231,900       7,766,331  
Raytheon Co.
    338,488       30,724,556  
Rockwell Automation, Inc.
    150,521       16,807,175  
Rockwell Collins, Inc.
    147,405       10,800,364  
Roper Industries, Inc.
    110,200       15,876,514  
Snap-on, Inc.
    58,282       7,005,496  
Stanley Black & Decker, Inc.
    166,181       14,532,528  
Textron, Inc.
    292,004       10,620,186  
The Boeing Co.
    739,654       89,113,514  
United Technologies Corp.
    931,635       97,961,420  
W.W. Grainger, Inc.
    65,927       15,502,734  
Xylem, Inc.
    197,600       6,973,304  
                 
              1,423,884,104  
 
Commercial & Professional Supplies 0.7%
Cintas Corp.
    111,376       6,972,138  
Equifax, Inc.
    136,561       10,390,926  
Iron Mountain, Inc.
    220,560       7,390,966  
Nielsen N.V.
    334,800       15,437,628  
Pitney Bowes, Inc.
    196,591       5,319,752  
Republic Services, Inc.
    289,334       10,974,439  
Robert Half International, Inc.
    139,442       6,783,853  
 
 
 
 1

 

 
 Schwab S&P 500 Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Stericycle, Inc. *
    89,400       10,517,910  
The ADT Corp. (b)
    227,100       7,903,080  
The Dun & Bradstreet Corp.
    46,500       5,116,395  
Tyco International Ltd.
    509,500       21,984,925  
Waste Management, Inc.
    477,916       21,453,649  
                 
              130,245,661  
 
Consumer Durables & Apparel 1.2%
Coach, Inc.
    299,728       10,358,600  
D.R. Horton, Inc.
    285,216       5,903,971  
Fossil Group, Inc. *
    54,900       5,380,200  
Garmin Ltd.
    131,100       7,215,744  
Harman International Industries, Inc.
    86,656       9,406,509  
Hasbro, Inc.
    121,717       6,080,981  
Leggett & Platt, Inc.
    157,894       5,178,923  
Lennar Corp., Class A
    193,818       7,022,026  
Mattel, Inc.
    357,094       12,650,055  
Michael Kors Holdings Ltd. *
    190,000       15,481,200  
Mohawk Industries, Inc. *
    65,300       8,147,481  
Newell Rubbermaid, Inc.
    327,150       10,625,832  
NIKE, Inc., Class B
    817,524       63,055,626  
PulteGroup, Inc.
    370,186       6,533,783  
PVH Corp.
    98,800       10,885,784  
Ralph Lauren Corp.
    62,826       9,792,061  
Under Armour, Inc., Class A *
    175,000       11,681,250  
VF Corp.
    377,164       23,108,838  
Whirlpool Corp.
    83,322       11,885,050  
                 
              240,393,914  
 
Consumer Services 1.7%
Carnival Corp.
    484,421       17,545,729  
Chipotle Mexican Grill, Inc. *
    33,959       22,837,427  
Darden Restaurants, Inc.
    145,748       6,813,719  
Graham Holdings Co., Class B
    5,369       3,681,792  
H&R Block, Inc.
    286,205       9,195,767  
Marriott International, Inc., Class A
    254,872       16,492,767  
McDonald’s Corp.
    1,091,738       103,234,745  
Starbucks Corp.
    831,562       64,595,736  
Starwood Hotels & Resorts Worldwide, Inc.
    203,468       15,634,481  
Wyndham Worldwide Corp.
    148,464       11,216,455  
Wynn Resorts Ltd.
    87,800       18,718,960  
Yum! Brands, Inc.
    487,585       33,838,399  
                 
              323,805,977  
 
Diversified Financials 4.9%
Affiliated Managers Group, Inc. *
    61,000       12,154,250  
American Express Co.
    1,005,641       88,496,408  
Ameriprise Financial, Inc.
    218,114       26,086,434  
Berkshire Hathaway, Inc., Class B *
    1,988,830       249,458,947  
BlackRock, Inc.
    138,200       42,113,686  
Capital One Financial Corp.
    623,774       49,614,984  
CME Group, Inc.
    361,785       26,750,383  
Discover Financial Services
    524,873       32,048,745  
E*TRADE Financial Corp. *
    307,619       6,466,151  
Franklin Resources, Inc.
    433,605       23,479,711  
Intercontinental Exchange, Inc.
    132,166       25,404,949  
Invesco Ltd.
    461,447       17,364,251  
Legg Mason, Inc.
    113,698       5,394,970  
Leucadia National Corp.
    333,951       8,251,929  
McGraw Hill Financial, Inc.
    297,567       23,870,825  
Moody’s Corp.
    211,829       18,429,123  
Morgan Stanley
    1,575,254       50,943,714  
Navient Corp.
    465,000       7,998,000  
Northern Trust Corp.
    240,518       16,088,249  
State Street Corp.
    477,026       33,601,711  
T. Rowe Price Group, Inc.
    290,179       22,535,301  
The Bank of New York Mellon Corp.
    1,259,673       49,177,634  
The Charles Schwab Corp. (a)
    1,267,581       35,175,373  
The Goldman Sachs Group, Inc.
    456,669       78,944,370  
The NASDAQ OMX Group, Inc.
    119,900       5,058,581  
                 
              954,908,679  
 
Energy 10.4%
Anadarko Petroleum Corp.
    557,909       59,612,577  
Apache Corp.
    430,306       44,175,214  
Baker Hughes, Inc.
    494,763       34,024,852  
Cabot Oil & Gas Corp.
    460,900       15,186,655  
Cameron International Corp. *
    225,500       15,990,205  
Chesapeake Energy Corp.
    577,766       15,235,689  
Chevron Corp.
    2,102,734       271,757,342  
Cimarex Energy Co.
    96,100       13,359,822  
ConocoPhillips
    1,356,090       111,877,425  
CONSOL Energy, Inc.
    240,418       9,333,027  
Denbury Resources, Inc.
    377,200       6,393,540  
Devon Energy Corp.
    417,758       31,540,729  
Diamond Offshore Drilling, Inc. (b)
    65,300       3,055,387  
Ensco plc, Class A
    258,200       13,077,830  
EOG Resources, Inc.
    603,612       66,059,297  
EQT Corp.
    163,700       15,358,334  
Exxon Mobil Corp.
    4,743,441       469,316,053  
FMC Technologies, Inc. *
    275,300       16,738,240  
Halliburton Co.
    932,868       64,358,563  
Helmerich & Payne, Inc.
    118,300       12,570,558  
Hess Corp.
    291,540       28,856,629  
Kinder Morgan, Inc.
    738,044       26,554,823  
Marathon Oil Corp.
    741,452       28,731,265  
Marathon Petroleum Corp.
    335,326       27,993,014  
Murphy Oil Corp.
    184,892       11,487,340  
Nabors Industries Ltd.
    287,890       7,819,092  
National Oilwell Varco, Inc.
    486,724       39,444,113  
Newfield Exploration Co. *
    145,600       5,867,680  
Noble Corp., plc
    310,100       9,727,837  
Noble Energy, Inc.
    398,368       26,487,488  
Occidental Petroleum Corp.
    867,750       84,787,853  
ONEOK, Inc.
    231,100       14,889,773  
Peabody Energy Corp.
    261,564       3,967,926  
Phillips 66
    624,995       50,693,344  
Pioneer Natural Resources Co.
    158,000       34,990,680  
QEP Resources, Inc.
    186,091       6,150,308  
Range Resources Corp.
    178,200       13,470,138  
Rowan Cos. plc, Class A
    126,263       3,853,547  
Schlumberger Ltd.
    1,438,415       155,909,802  
Southwestern Energy Co. *
    390,000       15,826,200  
 
 
 
2 

 

 
 Schwab S&P 500 Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Spectra Energy Corp.
    740,809       30,313,904  
Tesoro Corp.
    138,207       8,505,259  
The Williams Cos., Inc.
    815,198       46,164,663  
Transocean Ltd.
    360,000       14,522,400  
Valero Energy Corp.
    589,440       29,943,552  
                 
              2,015,979,969  
 
Food & Staples Retailing 2.2%
Costco Wholesale Corp.
    476,892       56,053,886  
CVS Caremark Corp.
    1,291,551       98,622,834  
Safeway, Inc.
    266,496       9,183,452  
Sysco Corp.
    645,657       23,043,498  
The Kroger Co.
    576,447       28,234,374  
Wal-Mart Stores, Inc.
    1,780,402       131,001,979  
Walgreen Co.
    969,811       66,693,903  
Whole Foods Market, Inc.
    396,932       15,170,741  
                 
              428,004,667  
 
Food, Beverage & Tobacco 5.0%
Altria Group, Inc.
    2,186,791       88,783,715  
Archer-Daniels-Midland Co.
    704,799       32,702,674  
Brown-Forman Corp., Class B
    179,092       15,518,322  
Campbell Soup Co.
    188,711       7,848,490  
Coca-Cola Enterprises, Inc.
    258,662       11,756,188  
ConAgra Foods, Inc.
    476,949       14,370,473  
Constellation Brands, Inc., Class A *
    186,465       15,525,076  
Dr Pepper Snapple Group, Inc.
    203,200       11,940,032  
General Mills, Inc.
    674,280       33,815,142  
Hormel Foods Corp.
    144,300       6,531,018  
Kellogg Co.
    294,334       17,610,003  
Keurig Green Mountain, Inc.
    140,100       16,711,128  
Kraft Foods Group, Inc.
    657,518       35,233,102  
Lorillard, Inc.
    389,091       23,532,224  
McCormick & Co., Inc. - Non Voting Shares
    156,502       10,294,702  
Mead Johnson Nutrition Co.
    223,200       20,409,408  
Molson Coors Brewing Co., Class B
    164,430       11,103,958  
Mondelez International, Inc., Class A
    1,881,354       67,728,744  
Monster Beverage Corp. *
    148,900       9,523,644  
PepsiCo, Inc.
    1,674,563       147,529,000  
Philip Morris International, Inc.
    1,737,346       142,479,745  
Reynolds American, Inc.
    343,696       19,195,422  
The Coca-Cola Co.
    4,175,156       164,041,879  
The Hershey Co.
    170,528       15,032,043  
The JM Smucker Co.
    124,275       12,382,761  
Tyson Foods, Inc., Class A
    304,290       11,322,631  
                 
              962,921,524  
 
Health Care Equipment & Services 4.2%
Abbott Laboratories
    1,669,286       70,310,326  
Aetna, Inc.
    401,775       31,149,616  
AmerisourceBergen Corp.
    247,246       19,015,690  
Baxter International, Inc.
    589,089       43,999,057  
Becton, Dickinson & Co.
    213,390       24,804,454  
Boston Scientific Corp. *
    1,434,274       18,330,022  
C.R. Bard, Inc.
    84,373       12,590,983  
Cardinal Health, Inc.
    365,733       26,204,769  
CareFusion Corp. *
    231,766       10,149,033  
Cerner Corp. *
    312,600       17,255,520  
Cigna Corp.
    293,308       26,409,452  
Covidien plc
    497,200       43,012,772  
DaVita HealthCare Partners, Inc. *
    203,500       14,334,540  
DENTSPLY International, Inc.
    149,900       6,958,358  
Edwards Lifesciences Corp. *
    115,800       10,450,950  
Express Scripts Holding Co. *
    860,695       59,947,407  
Humana, Inc.
    175,903       20,694,988  
Intuitive Surgical, Inc. *
    41,131       18,819,489  
Laboratory Corp. of America Holdings *
    97,291       10,088,104  
McKesson Corp.
    254,675       48,861,946  
Medtronic, Inc.
    1,103,439       68,126,324  
Patterson Cos., Inc.
    83,947       3,274,772  
Quest Diagnostics, Inc.
    156,880       9,585,368  
St. Jude Medical, Inc.
    327,187       21,329,321  
Stryker Corp.
    326,640       26,056,073  
Tenet Healthcare Corp. *
    112,904       5,957,944  
UnitedHealth Group, Inc.
    1,086,310       88,045,425  
Varian Medical Systems, Inc. *
    110,706       9,094,498  
WellPoint, Inc.
    313,629       34,439,600  
Zimmer Holdings, Inc.
    185,323       18,545,273  
                 
              817,842,074  
 
Household & Personal Products 1.9%
Avon Products, Inc.
    481,920       6,361,344  
Colgate-Palmolive Co.
    960,594       60,901,660  
Kimberly-Clark Corp.
    424,195       44,061,135  
The Clorox Co.
    140,857       12,236,247  
The Estee Lauder Cos., Inc., Class A
    272,452       20,014,324  
The Procter & Gamble Co.
    2,988,890       231,100,975  
                 
              374,675,685  
 
Insurance 2.7%
ACE Ltd.
    373,000       37,337,300  
Aflac, Inc.
    491,573       29,366,571  
American International Group, Inc.
    1,587,854       82,536,651  
Aon plc
    323,350       27,277,806  
Assurant, Inc.
    89,346       5,660,963  
Cincinnati Financial Corp.
    155,203       7,142,442  
Genworth Financial, Inc., Class A *
    548,164       7,180,948  
Lincoln National Corp.
    294,671       15,437,814  
Loews Corp.
    324,016       13,650,794  
Marsh & McLennan Cos., Inc.
    607,079       30,821,401  
MetLife, Inc.
    1,243,277       65,396,370  
Principal Financial Group, Inc.
    288,467       14,331,041  
Prudential Financial, Inc.
    504,531       43,879,061  
The Allstate Corp.
    501,310       29,301,569  
The Chubb Corp.
    267,893       23,229,002  
The Hartford Financial Services Group, Inc.
    521,095       17,800,605  
The Progressive Corp.
    600,020       14,064,469  
The Travelers Cos., Inc.
    396,860       35,542,781  
Torchmark Corp.
    143,266       7,555,849  
 
 
 
 3

 

 
 Schwab S&P 500 Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Unum Group
    276,440       9,490,185  
XL Group plc
    312,199       10,065,296  
                 
              527,068,918  
 
Materials 3.4%
Air Products & Chemicals, Inc.
    234,501       30,942,407  
Airgas, Inc.
    75,000       8,019,000  
Alcoa, Inc.
    1,245,564       20,414,794  
Allegheny Technologies, Inc.
    101,170       3,809,051  
Avery Dennison Corp.
    103,076       4,866,218  
Ball Corp.
    152,738       9,356,730  
Bemis Co., Inc.
    116,535       4,546,030  
CF Industries Holdings, Inc.
    57,525       14,400,809  
E.I. du Pont de Nemours & Co.
    1,005,404       64,657,531  
Eastman Chemical Co.
    172,716       13,606,566  
Ecolab, Inc.
    298,428       32,388,391  
FMC Corp.
    158,300       10,324,326  
Freeport-McMoRan, Inc.
    1,126,240       41,918,653  
International Flavors & Fragrances, Inc.
    89,743       9,063,146  
International Paper Co.
    493,989       23,464,478  
LyondellBasell Industries N.V., Class A
    460,100       48,885,625  
Martin Marietta Materials, Inc.
    67,000       8,323,410  
MeadWestvaco Corp.
    181,650       7,592,970  
Monsanto Co.
    579,000       65,479,110  
Newmont Mining Corp.
    550,646       13,716,592  
Nucor Corp.
    351,800       17,667,396  
Owens-Illinois, Inc. *
    157,500       4,912,425  
PPG Industries, Inc.
    152,248       30,199,913  
Praxair, Inc.
    323,579       41,463,413  
Sealed Air Corp.
    236,068       7,582,504  
Sigma-Aldrich Corp.
    127,254       12,778,847  
The Dow Chemical Co.
    1,318,635       67,342,689  
The Mosaic Co.
    363,000       16,737,930  
The Sherwin-Williams Co.
    97,636       20,135,472  
Vulcan Materials Co.
    151,071       9,537,112  
                 
              664,133,538  
 
Media 3.6%
Cablevision Systems Corp., Class A
    220,000       4,228,400  
CBS Corp., Class B - Non Voting Shares
    597,836       33,975,020  
Comcast Corp., Class A
    2,871,664       154,294,507  
DIRECTV *
    523,302       45,030,137  
Discovery Communications, Inc., Class A *
    234,100       19,947,661  
Gannett Co., Inc.
    237,514       7,771,458  
News Corp., Class A *
    616,300       10,877,695  
Omnicom Group, Inc.
    280,047       19,600,490  
Scripps Networks Interactive, Inc., Class A
    116,593       9,608,429  
The Interpublic Group of Cos., Inc.
    454,565       8,959,476  
The Walt Disney Co.
    1,779,083       152,787,648  
Time Warner Cable, Inc.
    306,801       44,516,825  
Time Warner, Inc.
    972,574       80,743,093  
Twenty-First Century Fox, Inc., Class A
    2,122,901       67,253,504  
Viacom, Inc., Class B
    431,253       35,651,686  
                 
              695,246,029  
 
Pharmaceuticals, Biotechnology & Life Sciences 9.0%
AbbVie, Inc.
    1,756,386       91,929,243  
Actavis plc *
    292,394       62,648,338  
Agilent Technologies, Inc.
    376,466       21,115,978  
Alexion Pharmaceuticals, Inc. *
    218,500       34,739,315  
Allergan, Inc.
    323,758       53,698,502  
Amgen, Inc.
    836,159       106,518,295  
Biogen Idec, Inc. *
    261,991       87,607,170  
Bristol-Myers Squibb Co.
    1,830,464       92,658,088  
Celgene Corp. *
    882,826       76,938,286  
Eli Lilly & Co.
    1,088,123       66,440,790  
Gilead Sciences, Inc. *
    1,696,250       155,291,688  
Hospira, Inc. *
    178,482       9,900,397  
Johnson & Johnson
    3,124,925       312,773,743  
Merck & Co., Inc.
    3,228,014       183,157,514  
Mylan, Inc. *
    404,751       19,982,557  
PerkinElmer, Inc.
    141,360       6,533,659  
Perrigo Co., plc
    153,900       23,154,255  
Pfizer, Inc.
    7,045,733       202,212,537  
Regeneron Pharmaceuticals, Inc. *
    88,000       27,827,360  
Thermo Fisher Scientific, Inc.
    440,637       53,537,396  
Vertex Pharmaceuticals, Inc. *
    260,900       23,196,619  
Waters Corp. *
    92,152       9,532,203  
Zoetis, Inc.
    553,400       18,212,394  
                 
              1,739,606,327  
 
Real Estate 2.2%
American Tower Corp.
    437,100       41,257,869  
Apartment Investment & Management Co., Class A
    149,714       5,117,225  
AvalonBay Communities, Inc.
    138,599       20,523,740  
Boston Properties, Inc.
    165,976       19,825,833  
CBRE Group, Inc., Class A *
    307,440       9,481,450  
Crown Castle International Corp.
    362,300       26,875,414  
Equity Residential
    373,922       24,174,057  
Essex Property Trust, Inc.
    67,000       12,701,190  
General Growth Properties, Inc.
    590,000       13,788,300  
HCP, Inc.
    506,100       21,018,333  
Health Care REIT, Inc.
    337,400       21,468,762  
Host Hotels & Resorts, Inc.
    810,111       17,611,813  
Kimco Realty Corp.
    496,859       11,119,704  
Plum Creek Timber Co., Inc.
    203,177       8,405,432  
Prologis, Inc.
    536,789       21,906,359  
Public Storage
    158,978       27,282,215  
Simon Property Group, Inc.
    340,853       57,328,066  
The Macerich Co.
    166,700       10,837,167  
Ventas, Inc.
    325,100       20,643,850  
Vornado Realty Trust REIT
    202,756       21,496,191  
Weyerhaeuser Co.
    634,040       19,858,133  
                 
              432,721,103  
 
Retailing 4.0%
Amazon.com, Inc. *
    411,680       128,851,723  
AutoNation, Inc. *
    68,533       3,654,180  
 
 
 
4 

 

 
 Schwab S&P 500 Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
AutoZone, Inc. *
    36,498       18,870,561  
Bed Bath & Beyond, Inc. *
    226,869       14,358,539  
Best Buy Co., Inc.
    296,557       8,816,640  
CarMax, Inc. *
    239,200       11,675,352  
Dollar General Corp. *
    335,000       18,502,050  
Dollar Tree, Inc. *
    230,600       12,560,782  
Expedia, Inc.
    114,513       9,094,622  
Family Dollar Stores, Inc.
    98,830       7,387,542  
GameStop Corp., Class A
    119,100       4,998,627  
Genuine Parts Co.
    177,738       14,720,261  
Kohl’s Corp.
    213,210       11,415,263  
L Brands, Inc.
    261,235       15,143,793  
Lowe’s Cos., Inc.
    1,129,788       54,060,356  
Macy’s, Inc.
    399,926       23,111,724  
Netflix, Inc. *
    64,900       27,434,528  
Nordstrom, Inc.
    151,296       10,474,222  
O’Reilly Automotive, Inc. *
    116,800       17,520,000  
PetSmart, Inc.
    106,900       7,284,166  
Ross Stores, Inc.
    227,200       14,631,680  
Staples, Inc.
    715,869       8,296,922  
Target Corp.
    699,708       41,695,600  
The Gap, Inc.
    294,662       11,818,893  
The Home Depot, Inc.
    1,527,350       123,486,247  
The Priceline Group, Inc. *
    57,915       71,956,492  
The TJX Cos., Inc.
    765,406       40,788,486  
Tiffany & Co.
    125,428       12,243,027  
Tractor Supply Co.
    150,000       9,325,500  
TripAdvisor, Inc. *
    129,813       12,311,465  
Urban Outfitters, Inc. *
    111,100       3,969,603  
                 
              770,458,846  
 
Semiconductors & Semiconductor Equipment 2.3%
Altera Corp.
    329,046       10,766,385  
Analog Devices, Inc.
    348,154       17,278,883  
Applied Materials, Inc.
    1,389,972       29,133,813  
Avago Technologies Ltd.
    278,000       19,287,640  
Broadcom Corp., Class A
    613,818       23,484,677  
First Solar, Inc. *
    77,300       4,878,403  
Intel Corp.
    5,498,605       186,347,723  
KLA-Tencor Corp.
    185,081       13,231,441  
Lam Research Corp.
    181,374       12,696,180  
Linear Technology Corp.
    255,168       11,261,840  
Microchip Technology, Inc.
    208,823       9,401,211  
Micron Technology, Inc. *
    1,209,275       36,943,351  
NVIDIA Corp.
    601,582       10,527,685  
Texas Instruments, Inc.
    1,192,254       55,141,748  
Xilinx, Inc.
    287,363       11,819,240  
                 
              452,200,220  
 
Software & Services 10.0%
Accenture plc, Class A
    699,300       55,440,504  
Adobe Systems, Inc. *
    511,276       35,334,284  
Akamai Technologies, Inc. *
    185,841       10,968,336  
Alliance Data Systems Corp. *
    57,700       15,134,133  
Autodesk, Inc. *
    251,781       13,432,516  
Automatic Data Processing, Inc.
    532,473       43,295,380  
CA, Inc.
    370,925       10,712,314  
Citrix Systems, Inc. *
    195,708       13,255,303  
Cognizant Technology Solutions Corp., Class A *
    672,096       32,966,309  
Computer Sciences Corp.
    162,140       10,115,915  
eBay, Inc. *
    1,263,769       66,727,003  
Electronic Arts, Inc. *
    335,792       11,282,611  
Facebook, Inc., Class A *
    1,899,300       137,984,145  
Fidelity National Information Services, Inc.
    317,934       17,931,478  
Fiserv, Inc. *
    280,704       17,311,016  
Google, Inc., Class A *
    312,912       181,348,150  
Google, Inc., Class C *
    312,958       178,886,793  
International Business Machines Corp.
    1,050,990       201,443,253  
Intuit, Inc.
    316,409       25,936,046  
MasterCard, Inc., Class A
    1,105,490       81,972,083  
Microsoft Corp.
    8,303,031       358,358,818  
Oracle Corp.
    3,792,386       153,174,470  
Paychex, Inc.
    348,165       14,278,247  
Red Hat, Inc. *
    194,100       11,281,092  
salesforce.com, Inc. *
    608,765       33,025,501  
Symantec Corp.
    753,650       17,831,359  
Teradata Corp. *
    161,371       6,803,401  
The Western Union Co.
    630,625       11,017,019  
Total System Services, Inc.
    177,100       5,667,200  
VeriSign, Inc. *
    149,825       8,098,041  
Visa, Inc., Class A
    555,300       117,173,853  
Xerox Corp.
    1,284,866       17,037,323  
Yahoo! Inc. *
    1,030,255       36,893,431  
                 
              1,952,117,327  
 
Technology Hardware & Equipment 6.5%
Amphenol Corp., Class A
    171,600       16,502,772  
Apple, Inc.
    6,660,215       636,516,748  
Cisco Systems, Inc.
    5,646,928       142,471,993  
Corning, Inc.
    1,445,287       28,399,890  
EMC Corp.
    2,261,445       66,260,338  
F5 Networks, Inc. *
    82,400       9,277,416  
FLIR Systems, Inc.
    149,700       4,982,016  
Harris Corp.
    131,400       8,970,678  
Hewlett-Packard Co.
    2,069,108       73,680,936  
Jabil Circuit, Inc.
    170,686       3,406,893  
Juniper Networks, Inc. *
    520,465       12,251,746  
Motorola Solutions, Inc.
    252,122       16,055,129  
NetApp, Inc.
    369,974       14,369,790  
QUALCOMM, Inc.
    1,864,365       137,403,700  
SanDisk Corp.
    247,324       22,682,084  
Seagate Technology plc
    349,400       20,474,840  
TE Connectivity Ltd.
    449,600       27,825,744  
Western Digital Corp.
    242,000       24,158,860  
                 
              1,265,691,573  
 
Telecommunication Services 2.4%
AT&T, Inc.
    5,732,736       204,028,074  
CenturyLink, Inc.
    645,643       25,335,031  
Frontier Communications Corp.
    1,102,945       7,224,290  
Verizon Communications, Inc.
    4,574,178       230,630,055  
Windstream Holdings, Inc. (b)
    594,274       6,810,380  
                 
              474,027,830  
 
Transportation 2.0%
C.H. Robinson Worldwide, Inc.
    154,095       10,395,249  
 
 
 
 5

 

 
 Schwab S&P 500 Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
CSX Corp.
    1,087,991       32,552,691  
Delta Air Lines, Inc.
    916,400       34,328,344  
Expeditors International of Washington, Inc.
    239,100       10,324,338  
FedEx Corp.
    311,668       45,777,796  
Kansas City Southern
    129,400       14,112,364  
Norfolk Southern Corp.
    335,892       34,146,781  
Ryder System, Inc.
    60,702       5,228,263  
Southwest Airlines Co.
    753,336       21,304,342  
Union Pacific Corp.
    1,000,550       98,364,070  
United Parcel Service, Inc., Class B
    778,518       75,586,312  
                 
              382,120,550  
 
Utilities 2.9%
AES Corp.
    703,349       10,275,929  
AGL Resources, Inc.
    129,640       6,694,610  
Ameren Corp.
    257,420       9,897,799  
American Electric Power Co., Inc.
    539,102       28,027,913  
CenterPoint Energy, Inc.
    448,566       10,909,125  
CMS Energy Corp.
    317,784       9,193,491  
Consolidated Edison, Inc.
    330,165       18,518,955  
Dominion Resources, Inc.
    642,464       43,456,265  
DTE Energy Co.
    189,412       13,982,394  
Duke Energy Corp.
    778,999       56,189,198  
Edison International
    369,493       20,248,216  
Entergy Corp.
    198,153       14,431,483  
Exelon Corp.
    948,493       29,479,162  
FirstEnergy Corp.
    463,794       14,475,011  
Integrys Energy Group, Inc.
    86,594       5,677,103  
NextEra Energy, Inc.
    481,738       45,230,381  
NiSource, Inc.
    349,362       13,163,960  
Northeast Utilities
    337,500       14,816,250  
NRG Energy, Inc.
    378,600       11,721,456  
Pepco Holdings, Inc.
    312,500       8,390,625  
PG&E Corp.
    532,906       23,804,911  
Pinnacle West Capital Corp.
    125,361       6,705,560  
PPL Corp.
    684,070       22,567,469  
Public Service Enterprise Group, Inc.
    558,870       19,655,458  
SCANA Corp.
    157,500       8,013,600  
Sempra Energy
    251,269       25,054,032  
TECO Energy, Inc.
    194,819       3,401,540  
The Southern Co.
    983,925       42,594,113  
Wisconsin Energy Corp.
    269,500       11,744,810  
Xcel Energy, Inc.
    543,886       16,751,688  
                 
              565,072,507  
                 
Total Common Stock
(Cost $10,844,483,405)     18,946,071,519  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.5% of net assets
 
Time Deposits 2.3%
Australia & New Zealand Banking Group Ltd.
US Dollar
               
0.03%, 08/01/14
    166,797,418       166,797,418  
Bank of Tokyo - Mitsubishi UFJ
US Dollar
               
0.03%, 08/01/14
    59,029,692       59,029,692  
DNB
US Dollar
               
0.03%, 08/01/14
    80,727,232       80,727,232  
Sumitomo Mitsui Banking Corp.
US Dollar
               
0.03%, 08/01/14
    133,930,118       133,930,118  
                 
              440,484,460  
 
U.S. Treasury Obligation 0.2%
U.S. Treasury Bill
0.02%, 09/18/14 (c)(d)
    33,000,000       32,999,340  
                 
Total Short-Term Investments
(Cost $473,483,800)     473,483,800  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.1% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (e)
    13,909,246       13,909,246  
                 
Total Collateral Invested for Securities on Loan
(Cost $13,909,246)     13,909,246  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14 tax basis cost of the fund’s investments was $11,359,674,631 and the unrealized appreciation and depreciation were $8,546,513,857 and ($486,633,169), respectively, with a net unrealized appreciation of $8,059,880,688.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
(b) All or a portion of this security is on loan. Securities on loan were valued at $13,615,922.
(c) All or a portion of this security is held as collateral for open futures contracts.
(d) The rate shown is the purchase yield.
(e) The rate shown is the 7-day yield.
 
     
REIT —
  Real Estate Investment Trust
 
 
 
6 

 

 
 Schwab S&P 500 Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
S&P 500 Index, e-mini, Long, expires 09/19/14
    4,800       461,952,000       (2,345,616 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
 
 
 7

 

 
 Schwab S&P 500 Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $18,946,071,519       $—       $—       $18,946,071,519  
Short-Term Investments1
    —       473,483,800       —       473,483,800  
                                 
Total
    $18,946,071,519       $473,483,800       $—       $19,419,555,319  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $13,909,246       $—       $—       $13,909,246  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($2,345,616 )     $—       $—       ($2,345,616 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46816JUL14
 
 
 
8 

 

Schwab Capital Trust
Schwab Small-Cap Index Fund®
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .4%   Common Stock     1,783,186,256       2,433,077,825  
  0 .0%   Rights     320,914       320,914  
  0 .0%   Warrants     —       —  
  2 .0%   Short-Term Investments     50,092,218       50,092,218  
 
 
  100 .4%   Total Investments     1,833,599,388       2,483,490,957  
  5 .2%   Collateral Invested for Securities on Loan     127,652,541       127,652,541  
  (5 .6%)   Other Assets and Liabilities, Net             (136,956,121 )
 
 
  100 .0%   Net Assets             2,474,187,377  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 98.4% of net assets
 
Automobiles & Components 1.2%
American Axle & Manufacturing Holdings, Inc. *
    101,100       1,859,229  
Cooper Tire & Rubber Co.
    94,699       2,735,854  
Cooper-Standard Holding, Inc. *
    20,100       1,246,200  
Dana Holding Corp.
    230,000       5,147,400  
Dorman Products, Inc. *
    40,100       1,739,538  
Drew Industries, Inc.
    34,800       1,566,000  
Federal-Mogul Holdings Corp. *
    42,300       674,262  
Fox Factory Holding Corp. *
    14,100       209,808  
Fuel Systems Solutions, Inc. *
    22,300       234,150  
Gentherm, Inc. *
    52,600       2,201,310  
Modine Manufacturing Co. *
    73,100       1,006,587  
Motorcar Parts of America, Inc. *
    22,100       491,946  
Remy International, Inc.
    20,000       443,600  
Shiloh Industries, Inc. *
    12,600       214,200  
Spartan Motors, Inc.
    44,700       192,210  
Standard Motor Products, Inc.
    28,800       1,038,240  
Stoneridge, Inc. *
    42,600       467,322  
Strattec Security Corp.
    5,100       320,433  
Superior Industries International, Inc.
    37,500       701,625  
Tenneco, Inc. *
    90,936       5,792,623  
Tower International, Inc. *
    30,200       951,300  
Winnebago Industries, Inc. *
    38,500       904,750  
                 
              30,138,587  
 
Banks 9.1%
1st Source Corp.
    23,821       676,278  
1st United Bancorp, Inc.
    43,000       359,050  
American National Bankshares, Inc.
    10,700       230,157  
Ameris Bancorp
    38,000       829,920  
Ames National Corp.
    15,500       347,045  
Arrow Financial Corp.
    14,148       359,359  
Astoria Financial Corp.
    130,200       1,676,976  
Banc of California, Inc.
    43,600       517,532  
BancFirst Corp.
    10,116       616,064  
Banco Latinoamericano de Comercio Exterior, S.A., Class E
    45,657       1,355,556  
BancorpSouth, Inc.
    143,100       2,986,497  
Bank Mutual Corp.
    78,600       473,958  
Bank of Marin Bancorp
    9,100       407,862  
Bank of the Ozarks, Inc.
    116,900       3,597,013  
BankFinancial Corp.
    28,200       288,204  
Banner Corp.
    29,700       1,195,128  
BBCN Bancorp, Inc.
    114,300       1,716,786  
BBX Capital Corp., Class A *
    10,300       186,224  
Beneficial Mutual Bancorp, Inc. *
    44,503       582,099  
Berkshire Hills Bancorp, Inc.
    38,700       935,379  
BNC Bancorp
    32,787       543,608  
BofI Holding, Inc. *
    20,800       1,551,472  
Boston Private Financial Holdings, Inc.
    116,000       1,447,680  
Bridge Bancorp, Inc.
    16,100       384,790  
Bridge Capital Holdings *
    12,200       260,226  
Brookline Bancorp, Inc.
    105,522       952,864  
Bryn Mawr Bank Corp.
    19,300       569,350  
Camden National Corp.
    10,300       364,929  
Capital Bank Financial Corp., Class A *
    35,300       804,134  
Capital City Bank Group, Inc.
    15,300       205,479  
Capitol Federal Financial, Inc.
    210,000       2,457,000  
Cardinal Financial Corp.
    48,200       851,212  
Cascade Bancorp *
    55,003       298,116  
Cathay General Bancorp
    116,122       2,971,562  
Centerstate Banks, Inc.
    52,100       542,882  
Central Pacific Financial Corp.
    25,100       449,290  
Century Bancorp, Inc., Class A
    4,700       164,594  
Charter Financial Corp.
    32,459       355,426  
Chemical Financial Corp.
    50,231       1,386,376  
Citizens & Northern Corp.
    16,300       309,537  
City Holding Co.
    22,100       920,465  
Clifton Bancorp, Inc.
    38,861       480,322  
CNB Financial Corp.
    20,700       342,171  
CoBiz Financial, Inc.
    49,300       558,076  
Columbia Banking System, Inc.
    77,500       1,975,475  
Community Bank System, Inc.
    61,200       2,156,076  
Community Trust Bancorp, Inc.
    21,780       762,082  
CommunityOne Bancorp *
    13,700       126,177  
ConnectOne Bancorp, Inc.
    32,060       609,140  
CU Bancorp *
    13,400       248,704  
Customers Bancorp, Inc. *
    37,450       710,052  
CVB Financial Corp.
    155,319       2,374,827  
 
 
 
 1

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Dime Community Bancshares, Inc.
    50,600       765,072  
Eagle Bancorp, Inc. *
    34,480       1,148,529  
Enterprise Bancorp, Inc.
    13,914       272,854  
Enterprise Financial Services Corp.
    28,000       488,600  
ESB Financial Corp.
    20,040       249,097  
Essent Group Ltd. *
    61,100       1,112,631  
EverBank Financial Corp.
    133,700       2,540,300  
F.N.B. Corp.
    244,137       3,002,885  
Federal Agricultural Mortgage Corp., Class C
    15,800       460,570  
Fidelity Southern Corp.
    20,948       290,130  
Financial Institutions, Inc.
    18,500       410,700  
First Bancorp
    31,600       508,128  
First BanCorp *
    152,900       785,906  
First Bancorp, Inc.
    12,096       198,495  
First Busey Corp.
    103,200       572,760  
First Business Financial Services, Inc.
    5,800       252,996  
First Citizens BancShares, Inc., Class A
    11,100       2,468,085  
First Commonwealth Financial Corp.
    144,929       1,240,592  
First Community Bancshares, Inc.
    24,600       361,866  
First Connecticut Bancorp, Inc.
    23,900       355,632  
First Defiance Financial Corp.
    13,000       351,130  
First Financial Bancorp
    88,789       1,450,812  
First Financial Bankshares, Inc.
    96,462       2,834,054  
First Financial Corp.
    17,700       542,682  
First Financial Northwest, Inc.
    22,000       231,440  
First Interstate BancSystem, Inc.
    28,833       752,541  
First Merchants Corp.
    50,700       1,010,451  
First Midwest Bancorp, Inc.
    112,863       1,828,381  
First NBC Bank Holding Co. *
    21,900       696,201  
FirstMerit Corp.
    246,215       4,333,384  
Flagstar Bancorp, Inc. *
    28,300       517,890  
Flushing Financial Corp.
    47,500       882,550  
Fox Chase Bancorp, Inc.
    19,500       327,990  
Franklin Financial Corp. *
    15,300       304,317  
German American Bancorp, Inc.
    20,700       535,095  
Glacier Bancorp, Inc.
    109,611       2,902,499  
Great Southern Bancorp, Inc.
    13,600       424,048  
Guaranty Bancorp
    20,920       271,960  
Hampton Roads Bankshares, Inc. *
    74,100       122,265  
Hancock Holding Co.
    120,749       3,917,098  
Hanmi Financial Corp.
    45,900       969,408  
Heartland Financial USA, Inc.
    24,500       583,835  
Heritage Commerce Corp.
    27,900       223,200  
Heritage Financial Corp.
    45,545       724,621  
Heritage Oaks Bancorp *
    27,600       197,064  
Home BancShares, Inc.
    79,380       2,386,163  
Home Loan Servicing Solutions Ltd.
    106,900       2,287,660  
HomeStreet, Inc.
    24,822       432,896  
HomeTrust Bancshares, Inc. *
    29,400       447,174  
Horizon Bancorp
    12,400       264,368  
Hudson Valley Holding Corp.
    20,000       347,800  
Iberiabank Corp.
    46,900       3,077,109  
Independent Bank Corp., Massachusetts
    36,100       1,318,011  
Independent Bank Corp., Michigan
    33,600       444,864  
Independent Bank Group, Inc.
    13,400       643,334  
International Bancshares Corp.
    82,800       2,098,980  
Investors Bancorp, Inc.
    525,504       5,438,966  
Kearny Financial Corp. *
    22,000       331,540  
Ladder Capital Corp., Class A *
    22,800       401,280  
Lakeland Bancorp, Inc.
    53,497       537,110  
Lakeland Financial Corp.
    23,200       844,248  
Macatawa Bank Corp.
    33,800       158,860  
MainSource Financial Group, Inc.
    33,544       547,774  
MB Financial, Inc.
    81,224       2,188,175  
Mercantile Bank Corp.
    25,300       483,736  
Merchants Bancshares, Inc.
    9,946       289,031  
Meridian Bancorp, Inc. *
    28,891       313,758  
Meta Financial Group, Inc.
    7,800       287,040  
Metro Bancorp, Inc. *
    23,269       534,024  
MGIC Investment Corp. *
    496,600       3,669,874  
MidSouth Bancorp, Inc.
    10,200       198,900  
MidWestOne Financial Group, Inc.
    9,300       218,550  
NASB Financial, Inc. (c)
    5,800       130,500  
National Bank Holdings Corp., Class A
    59,400       1,176,714  
National Bankshares, Inc.
    9,300       270,909  
National Penn Bancshares, Inc.
    177,978       1,833,173  
NBT Bancorp, Inc.
    62,323       1,456,489  
NewBridge Bancorp *
    49,300       369,257  
NMI Holdings, Inc., Class A *
    74,100       740,259  
Northfield Bancorp, Inc.
    78,586       1,002,757  
Northrim BanCorp, Inc.
    8,900       218,050  
Northwest Bancshares, Inc.
    140,909       1,747,272  
OceanFirst Financial Corp.
    19,600       311,836  
OFG Bancorp
    64,500       1,029,420  
Old Line Bancshares, Inc.
    12,300       172,323  
Old National Bancorp
    157,883       2,112,475  
OmniAmerican Bancorp, Inc.
    15,900       392,889  
Opus Bank *
    7,500       222,750  
Oritani Financial Corp.
    67,950       1,005,660  
Pacific Continental Corp.
    24,700       331,968  
Pacific Premier Bancorp, Inc. *
    22,000       314,600  
Palmetto Bancshares, Inc.
    7,300       96,360  
Park National Corp.
    18,853       1,420,385  
Park Sterling Corp.
    62,100       426,006  
Peapack-Gladstone Financial Corp.
    17,700       327,450  
Penns Woods Bancorp, Inc.
    7,100       304,661  
PennyMac Financial Services, Inc., Class A *
    18,200       275,366  
Peoples Bancorp, Inc.
    14,100       328,953  
Peoples Financial Services Corp. (c)
    11,100       519,258  
Pinnacle Financial Partners, Inc.
    51,932       1,921,484  
Preferred Bank *
    16,100       357,259  
PrivateBancorp, Inc.
    105,076       3,026,189  
Prosperity Bancshares, Inc.
    102,300       5,946,699  
Provident Financial Services, Inc.
    89,751       1,499,739  
Radian Group, Inc.
    286,004       3,620,811  
Renasant Corp.
    48,181       1,368,340  
Republic Bancorp, Inc., Class A
    13,300       309,358  
Republic First Bancorp, Inc. *
    45,400       199,760  
S&T Bancorp, Inc.
    46,181       1,123,584  
 
 
 
2 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Sandy Spring Bancorp, Inc.
    39,900       934,059  
Seacoast Banking Corp of Florida *
    26,520       274,482  
ServisFirst Bancshares, Inc.
    4,200       118,398  
Sierra Bancorp
    15,900       251,220  
Simmons First National Corp., Class A
    25,700       1,018,491  
South State Corp.
    35,763       2,078,188  
Southside Bancshares, Inc. (c)
    27,894       817,573  
Southwest Bancorp, Inc.
    32,600       502,692  
Square 1 Financial, Inc., Class A *
    8,800       167,728  
State Bank Financial Corp.
    50,800       838,708  
Sterling Bancorp
    121,067       1,440,697  
Stock Yards Bancorp, Inc.
    23,620       691,357  
Stonegate Bank
    14,600       347,772  
Stonegate Mortgage Corp. *(c)
    21,000       270,270  
Suffolk Bancorp *
    16,500       334,125  
Sun Bancorp, Inc. *
    50,400       189,504  
Susquehanna Bancshares, Inc.
    272,608       2,775,149  
Talmer Bancorp, Inc., Class A *
    26,700       357,513  
Taylor Capital Group, Inc. *
    24,600       524,472  
Territorial Bancorp, Inc.
    16,000       321,600  
Texas Capital Bancshares, Inc. *
    63,200       3,289,560  
The Bancorp, Inc. *
    52,100       494,950  
The Bank of Kentucky Financial Corp.
    11,000       380,050  
The First of Long Island Corp.
    13,000       457,340  
Tompkins Financial Corp.
    23,042       1,024,908  
Towne Bank
    43,379       641,142  
Tree.com, Inc. *
    8,300       211,816  
Trico Bancshares
    26,900       601,753  
TriState Capital Holdings, Inc. *
    32,400       317,196  
TrustCo Bank Corp.
    147,155       969,751  
Trustmark Corp.
    99,977       2,302,470  
UMB Financial Corp.
    55,400       3,137,302  
Umpqua Holdings Corp.
    244,421       4,135,603  
Union Bankshares Corp.
    69,268       1,654,120  
United Bankshares, Inc.
    101,348       3,251,244  
United Community Banks, Inc.
    73,400       1,214,770  
United Community Financial Corp.
    71,100       305,730  
United Financial Bancorp, Inc.
    79,107       1,003,077  
Univest Corp. of Pennsylvania
    22,500       425,700  
Valley National Bancorp
    294,100       2,817,478  
ViewPoint Financial Group, Inc.
    57,100       1,435,494  
Walker & Dunlop, Inc. *
    23,500       320,775  
Washington Federal, Inc.
    148,700       3,116,752  
Washington Trust Bancorp, Inc.
    21,000       722,400  
Waterstone Financial, Inc.
    50,504       557,059  
Webster Financial Corp.
    134,400       3,853,248  
WesBanco, Inc.
    39,298       1,174,224  
West Bancorp, Inc.
    20,800       302,848  
Westamerica Bancorp
    38,600       1,845,852  
Western Alliance Bancorp *
    113,952       2,609,501  
Wilshire Bancorp, Inc.
    98,300       925,986  
Wintrust Financial Corp.
    68,255       3,162,254  
WSFS Financial Corp.
    12,500       894,875  
Yadkin Financial Corp. *
    32,562       604,351  
                 
              224,409,690  
 
Capital Goods 8.4%
AAON, Inc.
    61,087       1,198,527  
AAR Corp.
    60,497       1,627,369  
Accuride Corp. *
    65,000       325,000  
Aceto Corp.
    39,400       660,344  
Actuant Corp., Class A
    104,148       3,361,897  
Aegion Corp. *
    54,400       1,246,304  
Aerovironment, Inc. *
    26,700       840,783  
Aircastle Ltd.
    94,800       1,701,660  
Alamo Group, Inc.
    10,500       499,065  
Albany International Corp., Class A
    42,100       1,508,864  
Altra Industrial Motion Corp.
    38,400       1,203,840  
Ameresco, Inc., Class A *
    27,700       208,304  
American Railcar Industries, Inc.
    14,631       1,001,053  
American Science & Engineering, Inc.
    12,200       766,160  
American Woodmark Corp. *
    18,900       555,660  
Apogee Enterprises, Inc.
    43,400       1,408,330  
Applied Industrial Technologies, Inc.
    62,466       3,027,102  
ARC Group Worldwide, Inc. *
    6,000       89,220  
Argan, Inc.
    19,900       674,610  
Astec Industries, Inc.
    27,695       1,076,505  
Astronics Corp. *
    23,160       1,343,280  
AZZ, Inc.
    38,800       1,693,232  
Barnes Group, Inc.
    80,440       2,755,070  
Beacon Roofing Supply, Inc. *
    72,382       2,000,639  
Blount International, Inc. *
    77,662       1,014,266  
Briggs & Stratton Corp.
    69,593       1,275,640  
Builders FirstSource, Inc. *
    60,900       361,746  
CAI International, Inc. *
    24,500       467,705  
Capstone Turbine Corp. *(c)
    483,600       672,204  
Chart Industries, Inc. *
    45,102       3,430,007  
CIRCOR International, Inc.
    26,300       1,890,181  
CLARCOR, Inc.
    74,600       4,424,526  
Columbus McKinnon Corp.
    30,600       711,450  
Comfort Systems USA, Inc.
    57,000       849,300  
Commercial Vehicle Group, Inc. *
    33,500       306,860  
Continental Building Products, Inc. *
    20,200       266,438  
Cubic Corp.
    30,215       1,325,230  
Curtiss-Wright Corp.
    71,982       4,571,577  
DigitalGlobe, Inc. *
    110,735       2,895,720  
Douglas Dynamics, Inc.
    30,400       507,680  
Ducommun, Inc. *
    15,100       417,515  
DXP Enterprises, Inc. *
    19,000       1,349,570  
Dycom Industries, Inc. *
    50,500       1,420,060  
Dynamic Materials Corp.
    23,217       475,484  
EMCOR Group, Inc.
    99,500       4,072,535  
Encore Wire Corp.
    31,441       1,318,636  
Energy Recovery, Inc. *(c)
    61,300       274,624  
EnerSys
    68,878       4,368,932  
Engility Holdings, Inc. *
    24,500       846,720  
Enphase Energy, Inc. *
    32,800       337,840  
EnPro Industries, Inc. *
    34,000       2,326,280  
Erickson, Inc. *(c)
    5,400       79,002  
ESCO Technologies, Inc.
    37,669       1,263,795  
Esterline Technologies Corp. *
    47,000       5,101,850  
Federal Signal Corp.
    94,400       1,365,024  
Franklin Electric Co., Inc.
    70,936       2,599,804  
 
 
 
 3

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
FreightCar America, Inc.
    16,000       345,280  
FuelCell Energy, Inc. *(c)
    330,000       818,400  
Furmanite Corp. *
    59,700       546,255  
GenCorp, Inc. *
    89,400       1,586,850  
Generac Holdings, Inc. *
    101,000       4,383,400  
General Cable Corp.
    70,000       1,556,100  
General Finance Corp. *
    16,200       144,342  
Gibraltar Industries, Inc. *
    46,000       675,740  
Global Brass & Copper Holdings, Inc.
    31,300       475,134  
Global Power Equipment Group, Inc.
    23,600       388,692  
GrafTech International Ltd. *
    176,400       1,481,760  
Graham Corp.
    15,200       458,432  
Granite Construction, Inc.
    58,000       1,887,900  
Great Lakes Dredge & Dock Corp. *
    85,200       615,144  
Griffon Corp.
    63,821       687,352  
H&E Equipment Services, Inc. *
    46,100       1,667,898  
Harsco Corp.
    118,500       2,994,495  
HEICO Corp.
    97,606       4,798,311  
Hillenbrand, Inc.
    92,100       2,767,605  
Houston Wire & Cable Co.
    23,800       285,838  
Hurco Cos., Inc.
    8,600       276,146  
Hyster-Yale Materials Handling, Inc.
    15,554       1,245,875  
Insteel Industries, Inc.
    29,600       543,160  
John Bean Technologies Corp.
    44,800       1,167,040  
Kadant, Inc.
    16,500       629,310  
Kaman Corp.
    39,349       1,574,354  
Kratos Defense & Security Solutions, Inc. *
    62,600       456,980  
L.B. Foster Co., Class A
    14,500       676,425  
Layne Christensen Co. *
    28,311       307,174  
Lindsay Corp. (c)
    19,331       1,564,844  
LMI Aerospace, Inc. *
    12,300       161,007  
LSI Industries, Inc.
    34,500       246,330  
Lydall, Inc. *
    26,600       671,118  
Manitex International, Inc. *
    17,500       241,850  
Masonite International Corp. *
    43,200       2,117,232  
MasTec, Inc. *
    90,973       2,473,556  
Meritor, Inc. *
    145,700       1,831,449  
Miller Industries, Inc.
    15,800       303,202  
Moog, Inc., Class A *
    65,300       4,311,106  
Mueller Industries, Inc.
    84,248       2,344,622  
Mueller Water Products, Inc., Class A
    238,600       1,849,150  
MYR Group, Inc. *
    33,000       818,730  
National Presto Industries, Inc. (c)
    7,100       455,110  
NCI Building Systems, Inc. *
    41,200       690,512  
NN, Inc.
    26,700       774,300  
Norcraft Cos, Inc. *
    10,700       150,870  
Nortek, Inc. *
    14,128       1,126,991  
Northwest Pipe Co. *
    15,513       556,141  
Omega Flex, Inc.
    10,802       182,986  
Orbital Sciences Corp. *
    90,336       2,318,925  
Orion Marine Group, Inc. *
    36,200       391,322  
Patrick Industries, Inc. *
    12,000       499,800  
PGT, Inc. *
    69,300       641,718  
Pike Corp. *
    37,000       298,220  
Plug Power, Inc. *(c)
    245,100       1,328,442  
Ply Gem Holdings, Inc. *
    32,400       269,892  
Polypore International, Inc. *
    66,100       2,848,910  
Powell Industries, Inc.
    13,000       759,330  
Power Solutions International, Inc. *
    6,600       403,128  
PowerSecure International, Inc. *
    31,100       305,713  
Preformed Line Products Co.
    3,300       178,827  
Primoris Services Corp.
    56,900       1,358,772  
Proto Labs, Inc. *
    33,200       2,689,200  
Quanex Building Products Corp.
    55,404       946,854  
Raven Industries, Inc.
    53,000       1,477,110  
RBC Bearings, Inc.
    33,500       1,858,580  
Revolution Lighting Technologies, Inc. *(c)
    42,300       89,676  
Rexnord Corp. *
    110,200       2,965,482  
Rush Enterprises, Inc., Class A *
    51,987       1,831,502  
SIFCO Industries, Inc.
    3,700       103,563  
Simpson Manufacturing Co., Inc.
    60,494       1,839,623  
Sparton Corp. *
    14,600       403,544  
Standex International Corp.
    19,600       1,292,620  
Sterling Construction Co., Inc. *
    22,000       195,140  
Stock Building Supply Holdings, Inc. *
    21,400       315,864  
Sun Hydraulics Corp.
    32,750       1,194,720  
TAL International Group, Inc. *
    50,300       2,223,260  
Taser International, Inc. *
    76,200       918,972  
Teledyne Technologies, Inc. *
    55,571       5,068,075  
Tennant Co.
    26,700       1,947,765  
Textainer Group Holdings Ltd. (c)
    33,331       1,218,915  
The ExOne Co. *(c)
    14,600       477,566  
The Gorman-Rupp Co.
    29,031       841,318  
The Greenbrier Cos., Inc.
    40,500       2,610,225  
The KEYW Holding Corp. *(c)
    45,400       594,740  
Thermon Group Holdings, Inc. *
    46,800       1,140,984  
Titan International, Inc.
    64,600       963,832  
Titan Machinery, Inc. *(c)
    23,200       340,112  
Trex Co., Inc. *
    51,572       1,451,752  
TriMas Corp. *
    67,000       2,122,560  
Tutor Perini Corp. *
    54,030       1,471,237  
Twin Disc, Inc.
    11,300       325,892  
Universal Forest Products, Inc.
    30,262       1,324,870  
Vicor Corp. *
    26,200       206,456  
Wabash National Corp. *
    98,800       1,344,668  
Watsco, Inc.
    38,506       3,448,982  
Watts Water Technologies, Inc., Class A
    42,718       2,497,294  
Woodward, Inc.
    97,300       4,861,108  
Xerium Technologies, Inc. *
    15,600       202,800  
                 
              208,083,377  
 
Commercial & Professional Supplies 3.4%
ABM Industries, Inc.
    82,409       2,028,086  
Acacia Research Corp. (c)
    72,500       1,236,850  
ACCO Brands Corp. *
    161,700       1,070,454  
ARC Document Solutions, Inc. *
    64,500       351,525  
Barrett Business Services, Inc.
    10,200       582,216  
Brady Corp., Class A
    69,929       1,828,643  
Casella Waste Systems, Inc., Class A *
    52,000       245,440  
CBIZ, Inc. *
    64,100       523,056  
CDI Corp.
    19,400       269,078  
 
 
 
4 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Ceco Environmental Corp.
    32,152       436,624  
Cenveo, Inc. *(c)
    73,800       248,706  
Civeo Corp. *
    137,700       3,497,580  
Corporate Resource Services, Inc. *(c)
    36,000       71,280  
CRA International, Inc. *
    14,500       346,260  
Deluxe Corp.
    73,446       4,040,264  
Ennis, Inc.
    38,200       541,676  
Exponent, Inc.
    20,100       1,428,708  
Franklin Covey Co. *
    17,900       337,594  
FTI Consulting, Inc. *
    60,600       2,239,776  
G&K Services, Inc., Class A
    29,830       1,434,525  
GP Strategies Corp. *
    19,900       541,479  
Healthcare Services Group, Inc.
    102,425       2,677,390  
Heidrick & Struggles International, Inc.
    24,100       449,947  
Heritage-Crystal Clean, Inc. *
    16,900       286,624  
Herman Miller, Inc.
    88,300       2,581,892  
Hill International, Inc. *
    35,300       169,793  
HNI Corp.
    68,300       2,413,722  
Huron Consulting Group, Inc. *
    34,800       2,103,312  
ICF International, Inc. *
    28,200       974,874  
InnerWorkings, Inc. *
    63,200       515,080  
Insperity, Inc.
    33,210       1,059,731  
Interface, Inc.
    97,500       1,545,375  
Kelly Services, Inc., Class A
    38,323       610,869  
Kforce, Inc.
    39,300       781,677  
Kimball International, Inc., Class B
    51,600       813,732  
Knoll, Inc.
    73,803       1,240,628  
Korn/Ferry International *
    74,261       2,184,759  
McGrath RentCorp
    39,735       1,372,844  
Mistras Group, Inc. *
    26,414       557,864  
Mobile Mini, Inc.
    68,568       2,589,128  
MSA Safety, Inc.
    43,089       2,231,148  
Multi-Color Corp.
    18,500       728,345  
Navigant Consulting, Inc. *
    72,548       1,183,983  
NL Industries, Inc.
    8,900       77,430  
On Assignment, Inc. *
    79,700       2,152,697  
Paylocity Holding Corp. *
    12,300       240,957  
Pendrell Corp. *
    230,900       339,423  
Performant Financial Corp. *
    43,700       419,083  
Quad Graphics, Inc.
    41,700       880,704  
Quest Resource Holding Corp. *(c)
    19,000       79,420  
Resources Connection, Inc.
    55,350       835,785  
RPX Corp. *
    77,800       1,213,680  
SP Plus Corp. *
    21,200       415,520  
Steelcase, Inc., Class A
    120,042       1,812,634  
Team, Inc. *
    31,600       1,251,676  
Tetra Tech, Inc.
    97,100       2,357,588  
The Advisory Board Co. *
    54,782       2,746,769  
The Brink’s Co.
    72,300       1,940,532  
The Corporate Executive Board Co.
    50,622       3,142,108  
TriNet Group, Inc. *
    23,100       540,540  
TrueBlue, Inc. *
    61,576       1,661,936  
UniFirst Corp.
    22,135       2,151,743  
United Stationers, Inc.
    57,734       2,227,378  
US Ecology, Inc.
    31,200       1,412,112  
Viad Corp.
    30,396       645,003  
VSE Corp.
    5,500       327,635  
WageWorks, Inc. *
    51,500       2,149,610  
West Corp.
    56,500       1,456,005  
                 
              84,850,505  
 
Consumer Durables & Apparel 2.6%
Arctic Cat, Inc.
    18,800       669,280  
Beazer Homes USA, Inc. *
    38,540       591,589  
Black Diamond, Inc. *
    36,700       322,226  
Brunswick Corp.
    136,700       5,513,111  
Callaway Golf Co.
    109,169       829,684  
Cavco Industries, Inc. *
    13,000       928,070  
Columbia Sportswear Co.
    20,300       1,517,628  
Crocs, Inc. *
    133,500       2,118,645  
CSS Industries, Inc.
    13,400       330,846  
Culp, Inc.
    12,000       217,440  
Escalade, Inc.
    14,500       230,550  
Ethan Allen Interiors, Inc.
    38,179       875,063  
Flexsteel Industries, Inc.
    6,200       187,612  
G-III Apparel Group Ltd. *
    28,355       2,202,333  
Helen of Troy Ltd. *
    42,000       2,252,460  
Hovnanian Enterprises, Inc., Class A *
    161,300       645,200  
Iconix Brand Group, Inc. *
    67,200       2,837,856  
Installed Building Products, Inc. *
    12,800       141,824  
iRobot Corp. *(c)
    42,000       1,359,540  
JAKKS Pacific, Inc. *(c)
    36,400       227,136  
Johnson Outdoors, Inc., Class A
    8,500       196,010  
KB Home
    125,600       2,047,280  
La-Z-Boy, Inc.
    79,600       1,674,784  
LeapFrog Enterprises, Inc. *
    90,800       655,576  
LGI Homes, Inc. *
    21,000       381,990  
Libbey, Inc. *
    34,179       890,021  
Lifetime Brands, Inc.
    12,400       210,800  
M.D.C. Holdings, Inc.
    59,600       1,607,412  
M/I Homes, Inc. *
    34,500       710,010  
Malibu Boats, Inc., Class A *
    12,300       236,775  
Marine Products Corp.
    13,700       116,313  
Meritage Homes Corp. *
    58,985       2,259,126  
Movado Group, Inc.
    27,200       1,113,296  
NACCO Industries, Inc., Class A
    7,777       370,885  
Nautilus, Inc. *
    44,200       440,232  
Oxford Industries, Inc.
    22,396       1,334,130  
Perry Ellis International, Inc. *
    16,800       309,120  
Quiksilver, Inc. *
    206,300       616,837  
R. G. Barry Corp.
    17,500       330,575  
Sequential Brands Group, Inc. *(c)
    24,800       298,344  
Skechers U.S.A., Inc., Class A *
    56,978       2,972,542  
Skullcandy, Inc. *
    22,200       150,072  
Smith & Wesson Holding Corp. *(c)
    80,900       999,115  
Standard Pacific Corp. *
    209,500       1,579,630  
Steven Madden Ltd. *
    85,550       2,724,767  
Sturm, Ruger & Co., Inc. (c)
    29,100       1,453,836  
The Dixie Group, Inc. *
    22,000       184,580  
The New Home Co., Inc. *
    16,049       208,797  
The Ryland Group, Inc.
    68,400       2,195,640  
TRI Pointe Homes, Inc. *
    214,600       2,899,246  
Tumi Holdings, Inc. *
    73,300       1,545,164  
Turtle Beach Corp. *
    11,000       88,990  
UCP, Inc., Class A *
    11,100       138,417  
 
 
 
 5

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Unifi, Inc. *
    21,300       610,032  
Universal Electronics, Inc. *
    24,700       1,176,461  
Vera Bradley, Inc. *
    30,900       612,747  
Vince Holding Corp. *
    16,700       564,293  
WCI Communities, Inc. *
    17,200       295,668  
William Lyon Homes, Class A *
    25,700       632,734  
Wolverine World Wide, Inc.
    149,872       3,635,895  
                 
              64,466,235  
 
Consumer Services 3.8%
2U, Inc. *
    15,100       212,306  
American Public Education, Inc. *
    25,200       899,640  
Ascent Capital Group, Inc., Class A *
    19,700       1,221,006  
Belmond Ltd., Class A *
    143,700       1,781,880  
Biglari Holdings, Inc. *
    2,160       918,022  
BJ’s Restaurants, Inc. *
    36,300       1,244,001  
Bloomin’ Brands, Inc. *
    113,200       2,217,588  
Bob Evans Farms, Inc.
    36,246       1,722,047  
Boyd Gaming Corp. *
    113,800       1,251,800  
Bravo Brio Restaurant Group, Inc. *
    28,900       430,610  
Bridgepoint Education, Inc. *
    29,700       356,697  
Bright Horizons Family Solutions, Inc. *
    45,000       1,870,650  
Buffalo Wild Wings, Inc. *
    28,168       4,093,374  
Caesars Acquisition Co., Class A *(c)
    67,100       771,650  
Caesars Entertainment Corp. *(c)
    75,200       1,203,200  
Capella Education Co.
    15,800       1,010,568  
Career Education Corp. *
    91,200       466,032  
Carriage Services, Inc.
    21,800       351,634  
Carrols Restaurant Group, Inc. *
    51,700       388,267  
Chegg, Inc. *(c)
    108,100       695,083  
Churchill Downs, Inc.
    19,161       1,657,426  
Chuy’s Holdings, Inc. *
    23,100       661,815  
ClubCorp Holdings, Inc.
    30,000       507,300  
Collectors Universe, Inc. (c)
    10,100       202,202  
Cracker Barrel Old Country Store, Inc.
    28,481       2,761,518  
Del Frisco’s Restaurant Group, Inc. *
    34,700       739,804  
Denny’s Corp. *
    132,500       907,625  
Diamond Resorts International, Inc. *
    51,900       1,295,424  
DineEquity, Inc.
    24,897       2,017,902  
Education Management Corp. *(c)
    36,600       47,214  
Einstein Noah Restaurant Group, Inc.
    16,300       246,619  
Empire Resorts, Inc. *(c)
    22,100       106,743  
Famous Dave’s of America, Inc. *
    6,900       172,017  
Fiesta Restaurant Group, Inc. *
    39,300       1,783,434  
Grand Canyon Education, Inc. *
    69,875       3,004,625  
Houghton Mifflin Harcourt Co. *
    159,900       2,799,849  
Ignite Restaurant Group, Inc. *
    9,100       116,935  
International Speedway Corp., Class A
    39,200       1,188,544  
Interval Leisure Group, Inc.
    61,100       1,294,098  
Intrawest Resorts Holdings, Inc. *
    26,900       303,163  
Isle of Capri Casinos, Inc. *
    27,300       215,943  
ITT Educational Services, Inc. *(c)
    33,300       473,859  
Jack in the Box, Inc.
    58,788       3,362,086  
Jamba, Inc. *
    21,560       256,995  
K12, Inc. *
    50,400       1,174,824  
Krispy Kreme Doughnuts, Inc. *
    99,100       1,517,221  
La Quinta Holdings, Inc. *
    65,000       1,221,350  
Liberty Tax, Inc. *
    6,500       228,215  
Life Time Fitness, Inc. *
    59,977       2,360,095  
LifeLock, Inc. *
    118,100       1,639,228  
Marriott Vacations Worldwide Corp. *
    41,600       2,394,080  
Matthews International Corp., Class A
    44,959       1,955,268  
Monarch Casino & Resort, Inc. *
    11,900       148,512  
Morgans Hotel Group Co. *
    38,000       283,100  
Multimedia Games Holding Co., Inc. *
    45,200       1,090,224  
Nathan’s Famous, Inc. *
    3,700       183,927  
Noodles & Co. *
    15,900       446,790  
Papa John’s International, Inc.
    44,910       1,872,298  
Papa Murphy’s Holdings, Inc. *(c)
    11,500       94,760  
Penn National Gaming, Inc. *
    115,300       1,208,344  
Pinnacle Entertainment, Inc. *
    86,685       1,889,733  
Popeyes Louisiana Kitchen, Inc. *
    35,800       1,442,740  
Potbelly Corp. *(c)
    21,900       253,821  
Red Robin Gourmet Burgers, Inc. *
    21,600       1,390,176  
Regis Corp.
    67,749       943,744  
Ruby Tuesday, Inc. *
    87,200       524,072  
Ruth’s Hospitality Group, Inc.
    56,600       642,410  
Scientific Games Corp., Class A *
    77,100       658,434  
Sonic Corp. *
    82,829       1,710,419  
Sotheby’s
    89,400       3,544,710  
Speedway Motorsports, Inc.
    15,784       275,273  
Steiner Leisure Ltd. *
    20,909       834,478  
Strayer Education, Inc. *
    16,400       849,848  
Texas Roadhouse, Inc.
    102,296       2,545,124  
The Cheesecake Factory, Inc.
    73,300       3,143,104  
The Marcus Corp.
    27,300       482,391  
Universal Technical Institute, Inc.
    37,700       451,269  
Vail Resorts, Inc.
    53,571       4,044,610  
Weight Watchers International, Inc. (c)
    40,600       880,614  
Zoe’s Kitchen, Inc. *(c)
    8,600       249,486  
                 
              93,803,887  
 
Diversified Financials 2.5%
Arlington Asset Investment Corp., Class A
    28,400       740,672  
BGC Partners, Inc., Class A
    255,600       2,001,348  
Calamos Asset Management, Inc., Class A
    24,400       289,384  
Cash America International, Inc.
    41,570       1,845,292  
CIFC Corp.
    23,300       198,982  
Cohen & Steers, Inc. (c)
    28,128       1,167,593  
Consumer Portfolio Services, Inc. *
    24,200       175,692  
CorEnergy Infrastructure Trust, Inc.
    46,400       369,808  
Cowen Group, Inc., Class A *
    169,300       677,200  
Credit Acceptance Corp. *
    10,800       1,228,230  
 
 
 
6 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Diamond Hill Investment Group, Inc.
    4,100       523,898  
Encore Capital Group, Inc. *
    37,800       1,605,744  
Evercore Partners, Inc., Class A
    49,100       2,678,896  
Ezcorp, Inc., Class A *
    77,400       757,746  
FBR & Co. *
    14,036       392,446  
Financial Engines, Inc.
    75,600       2,944,620  
First Cash Financial Services, Inc. *
    42,100       2,374,861  
FXCM, Inc., Class A
    66,800       909,816  
Gain Capital Holdings, Inc.
    34,000       216,240  
GAMCO Investors, Inc., Class A
    9,700       743,311  
GFI Group, Inc.
    122,968       557,045  
Green Dot Corp., Class A *
    49,133       883,903  
Greenhill & Co., Inc.
    40,900       1,871,993  
HFF, Inc., Class A
    49,800       1,691,208  
ICG Group, Inc. *
    60,400       1,021,968  
INTL FCStone, Inc. *
    20,400       399,840  
Investment Technology Group, Inc. *
    55,265       1,010,797  
Janus Capital Group, Inc.
    221,800       2,526,302  
JGWPT Holdings, Inc., Class A *
    14,200       157,762  
KCG Holdings, Inc., Class A *
    77,466       884,662  
Ladenburg Thalmann Financial Services, Inc. *
    142,600       446,338  
Manning & Napier, Inc.
    20,900       358,435  
Marcus & Millichap, Inc. *
    10,000       245,700  
MarketAxess Holdings, Inc.
    56,160       3,157,877  
Marlin Business Services Corp.
    11,600       213,440  
Moelis & Co. *
    10,800       367,848  
Nelnet, Inc., Class A
    30,500       1,257,515  
NewStar Financial, Inc. *
    36,500       413,545  
Nicholas Financial, Inc.
    13,000       169,260  
Oppenheimer Holdings, Inc., Class A
    13,800       314,916  
PHH Corp. *
    84,763       1,979,216  
PICO Holdings, Inc. *
    32,300       715,445  
Piper Jaffray Cos. *
    24,739       1,276,532  
Portfolio Recovery Associates, Inc. *
    73,229       4,317,582  
Pzena Investment Management, Inc., Class A
    13,700       142,617  
RCS Capital Corp., Class A
    13,963       287,917  
Regional Management Corp. *
    15,700       255,282  
Resource America, Inc., Class A
    16,500       155,430  
Safeguard Scientifics, Inc. *
    34,100       676,885  
Silvercrest Asset Management Group, Inc., Class A
    10,000       161,200  
Springleaf Holdings, Inc. *
    35,200       921,536  
Stifel Financial Corp. *
    97,310       4,455,825  
SWS Group, Inc. *
    39,000       279,240  
Tiptree Financial, Inc., Class A
    12,500       88,875  
Virtus Investment Partners, Inc.
    10,500       2,153,025  
Walter Investment Management Corp. *(c)
    57,403       1,583,175  
Westwood Holdings Group, Inc.
    11,500       618,815  
WisdomTree Investments, Inc. *
    159,800       1,639,548  
World Acceptance Corp. *(c)
    11,900       964,852  
                 
              62,465,130  
 
Energy 6.0%
Abraxas Petroleum Corp. *
    129,000       657,900  
Adams Resources & Energy, Inc.
    2,900       189,486  
Alon USA Energy, Inc.
    40,400       519,140  
Alpha Natural Resources, Inc. *(c)
    332,200       1,126,158  
American Eagle Energy Corp. *
    44,600       286,778  
Amyris, Inc. *(c)
    41,500       156,040  
Apco Oil & Gas International, Inc. *
    12,200       168,482  
Approach Resources, Inc. *(c)
    57,800       1,216,112  
Arch Coal, Inc. (c)
    326,100       968,517  
Ardmore Shipping Corp.
    26,500       347,945  
Basic Energy Services, Inc. *
    46,100       1,105,939  
Bill Barrett Corp. *
    75,298       1,807,905  
Bonanza Creek Energy, Inc. *
    48,100       2,696,486  
BPZ Resources, Inc. *
    156,600       410,292  
Bristow Group, Inc.
    53,085       3,788,676  
C&J Energy Services, Inc. *
    68,600       2,055,256  
Callon Petroleum Co. *
    62,300       615,524  
CARBO Ceramics, Inc.
    29,300       3,649,022  
Carrizo Oil & Gas, Inc. *
    67,911       4,170,415  
CHC Group Ltd. *
    53,100       382,320  
Clayton Williams Energy, Inc. *
    8,600       915,126  
Clean Energy Fuels Corp. *(c)
    108,338       1,079,046  
Cloud Peak Energy, Inc. *
    92,300       1,428,804  
Comstock Resources, Inc.
    71,200       1,684,592  
Contango Oil & Gas Co. *
    25,520       1,026,670  
Dawson Geophysical Co.
    10,600       266,060  
Delek US Holdings, Inc.
    87,100       2,545,062  
DHT Holdings, Inc.
    101,800       673,916  
Diamondback Energy, Inc. *
    61,903       5,090,284  
Dorian LPG Ltd. *
    10,700       214,749  
Emerald Oil, Inc. *(c)
    81,585       598,834  
Energy XXI (Bermuda) Ltd.
    136,206       2,718,672  
Era Group, Inc. *
    28,700       769,160  
Evolution Petroleum Corp.
    30,500       323,605  
EXCO Resources, Inc. (c)
    222,774       1,026,988  
Exterran Holdings, Inc.
    85,700       3,620,825  
Forest Oil Corp. *
    177,000       361,080  
Forum Energy Technologies, Inc. *
    87,400       2,909,546  
Frontline Ltd. *(c)
    102,700       247,507  
FX Energy, Inc. *
    75,100       232,059  
GasLog Ltd.
    61,800       1,575,900  
Gastar Exploration, Inc. *
    77,800       515,036  
Geospace Technologies Corp. *
    19,800       796,752  
Glori Energy, Inc. *(c)
    17,900       144,990  
Goodrich Petroleum Corp. *
    51,000       982,260  
Green Plains, Inc.
    54,900       2,058,201  
Gulf Island Fabrication, Inc.
    21,000       409,500  
Gulfmark Offshore, Inc., Class A
    39,300       1,504,011  
Halcon Resources Corp. *(c)
    382,521       2,276,000  
Hallador Energy Co.
    15,600       218,712  
Harvest Natural Resources, Inc. *
    61,800       266,976  
Helix Energy Solutions Group, Inc. *
    157,307       4,000,317  
Hercules Offshore, Inc. *
    231,200       816,136  
Hornbeck Offshore Services, Inc. *
    54,245       2,370,506  
ION Geophysical Corp. *
    179,100       671,625  
 
 
 
 7

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Isramco, Inc. *(c)
    1,400       175,644  
Jones Energy, Inc., Class A *
    15,900       299,238  
Key Energy Services, Inc. *
    192,700       1,183,178  
Kodiak Oil & Gas Corp. *
    393,800       6,119,652  
Magnum Hunter Resources Corp. *
    291,600       1,874,988  
Matador Resources Co. *
    107,500       2,906,800  
Matrix Service Co. *
    40,900       1,098,165  
McDermott International, Inc. *(c)
    348,500       2,544,050  
Midstates Petroleum Co., Inc. *(c)
    47,300       301,774  
Miller Energy Resources, Inc. *(c)
    41,600       203,424  
Mitcham Industries, Inc. *
    18,500       239,945  
Natural Gas Services Group, Inc. *
    20,500       639,600  
Navios Maritime Acq Corp. (c)
    120,600       385,920  
Newpark Resources, Inc. *
    126,710       1,549,663  
Nordic American Offshore Ltd. *
    1,156       21,155  
Nordic American Tankers Ltd. (c)
    133,500       1,149,435  
North Atlantic Drilling Ltd.
    106,800       1,041,300  
Northern Oil & Gas, Inc. *
    89,600       1,441,664  
Nuverra Environmental Solutions, Inc. *(c)
    19,620       365,324  
Pacific Ethanol, Inc. *
    29,700       529,848  
Panhandle Oil & Gas, Inc., Class A
    9,400       605,548  
Parker Drilling Co. *
    181,265       1,120,218  
Parsley Energy, Inc., Class A *
    78,579       1,773,528  
PDC Energy, Inc. *
    52,903       2,870,517  
Penn Virginia Corp. *
    96,278       1,253,540  
PetroQuest Energy, Inc. *
    84,900       544,209  
PHI, Inc. - Non Voting Shares *
    17,500       690,375  
Pioneer Energy Services Corp. *
    91,500       1,345,965  
Profire Energy, Inc. *
    20,000       67,000  
Quicksilver Resources, Inc. *(c)
    156,900       294,972  
Renewable Energy Group, Inc. *
    50,700       567,840  
Resolute Energy Corp. *
    114,300       873,252  
REX American Resources Corp. *
    10,200       860,370  
Rex Energy Corp. *
    71,700       988,743  
RigNet, Inc. *
    16,900       939,978  
Ring Energy, Inc. *
    27,300       472,290  
Rosetta Resources, Inc. *
    91,000       4,647,370  
RSP Permian, Inc. *
    34,400       1,016,520  
Sanchez Energy Corp. *
    75,253       2,387,025  
Scorpio Tankers, Inc.
    293,000       2,751,270  
SEACOR Holdings, Inc. *
    30,700       2,331,972  
SemGroup Corp., Class A
    62,965       4,853,342  
Ship Finance International Ltd.
    85,700       1,559,740  
Solazyme, Inc. *(c)
    111,500       1,079,320  
Stone Energy Corp. *
    82,968       3,156,932  
Swift Energy Co. *(c)
    60,701       670,746  
Synergy Resources Corp. *
    97,700       1,027,804  
Teekay Tankers Ltd., Class A (c)
    86,500       344,270  
Tesco Corp.
    52,500       1,024,800  
TETRA Technologies, Inc. *
    118,074       1,299,995  
TransAtlantic Petroleum Ltd. *
    33,200       346,608  
Triangle Petroleum Corp. *
    111,000       1,198,800  
VAALCO Energy, Inc. *
    71,600       494,040  
Vantage Drilling Co. *
    316,300       591,481  
Vertex Energy, Inc. *(c)
    17,300       142,206  
W&T Offshore, Inc.
    49,000       657,090  
Warren Resources, Inc. *
    116,000       683,240  
Western Refining, Inc.
    79,754       3,266,724  
Westmoreland Coal Co. *
    21,500       926,435  
Willbros Group, Inc. *
    57,300       664,107  
                 
              149,118,849  
 
Food & Staples Retailing 1.0%
Casey’s General Stores, Inc.
    57,400       3,798,158  
Fairway Group Holdings Corp. *(c)
    22,400       131,712  
Ingles Markets, Inc., Class A
    20,731       508,324  
Liberator Medical Holdings, Inc. (c)
    46,200       143,682  
Natural Grocers by Vitamin Cottage, Inc. *
    12,600       285,768  
PriceSmart, Inc.
    27,900       2,296,170  
Roundy’s, Inc.
    57,600       278,208  
SpartanNash, Co.
    57,833       1,212,180  
SUPERVALU, Inc. *
    302,678       2,775,557  
Susser Holdings Corp. *
    27,400       2,196,658  
The Andersons, Inc.
    42,523       2,297,092  
The Chefs’ Warehouse, Inc. *
    23,600       414,652  
The Fresh Market, Inc. *
    62,800       1,879,604  
The Pantry, Inc. *
    34,000       608,940  
United Natural Foods, Inc. *
    72,982       4,278,205  
Village Super Market, Inc., Class A
    11,600       272,832  
Weis Markets, Inc.
    15,800       674,028  
                 
              24,051,770  
 
Food, Beverage & Tobacco 1.8%
22nd Century Group, Inc. *(c)
    60,300       144,117  
Alico, Inc.
    4,700       173,477  
Alliance One International, Inc. *
    116,600       264,682  
Annie’s, Inc. *
    24,900       726,582  
B&G Foods, Inc.
    78,200       2,195,074  
Boulder Brands, Inc. *
    91,800       1,041,930  
Cal-Maine Foods, Inc.
    23,558       1,677,330  
Calavo Growers, Inc.
    21,088       727,325  
Chiquita Brands International, Inc. *
    71,002       680,909  
Coca-Cola Bottling Co. Consolidated
    6,800       474,776  
Craft Brew Alliance, Inc. *
    13,900       155,958  
Darling Ingredients, Inc. *
    241,500       4,520,880  
Dean Foods Co.
    137,100       2,100,372  
Diamond Foods, Inc. *
    31,900       856,834  
Farmer Bros. Co. *
    9,100       186,277  
Fresh Del Monte Produce, Inc.
    53,000       1,586,820  
Inventure Foods, Inc. *
    17,900       215,695  
J&J Snack Foods Corp.
    22,800       2,054,052  
John B. Sanfilippo & Son, Inc.
    10,900       288,305  
Lancaster Colony Corp.
    26,700       2,332,245  
Lifeway Foods, Inc. *(c)
    10,100       126,149  
Limoneira Co.
    13,800       304,290  
National Beverage Corp. *
    15,001       257,117  
Omega Protein Corp. *
    33,400       468,268  
Post Holdings, Inc. *
    65,800       2,955,736  
Sanderson Farms, Inc.
    34,500       3,142,605  
Seaboard Corp. *
    420       1,197,840  
Seneca Foods Corp., Class A *
    12,400       354,888  
 
 
 
8 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Snyder’s-Lance, Inc.
    72,200       1,791,282  
The Boston Beer Co., Inc., Class A *
    12,360       2,724,144  
Tootsie Roll Industries, Inc.
    27,574       726,024  
TreeHouse Foods, Inc. *
    62,152       4,568,172  
Universal Corp.
    35,145       1,825,080  
Vector Group Ltd. (c)
    96,161       1,974,185  
                 
              44,819,420  
 
Health Care Equipment & Services 6.2%
Abaxis, Inc.
    32,200       1,526,602  
ABIOMED, Inc. *
    59,500       1,523,200  
Acadia Healthcare Co., Inc. *
    63,189       3,011,588  
Accuray, Inc. *(c)
    115,500       908,985  
Addus HomeCare Corp. *
    7,800       172,692  
Air Methods Corp. *
    57,100       2,869,275  
Alliance HealthCare Services, Inc. *
    7,100       202,705  
Almost Family, Inc. *
    11,000       257,840  
Amedisys, Inc. *
    39,700       801,146  
AMN Healthcare Services, Inc. *
    65,600       859,360  
Amsurg Corp. *
    62,564       2,988,057  
Analogic Corp.
    17,954       1,291,072  
AngioDynamics, Inc. *
    33,500       489,100  
Anika Therapeutics, Inc. *
    21,900       921,114  
Antares Pharma, Inc. *(c)
    160,700       327,828  
AtriCure, Inc. *
    41,500       683,505  
Atrion Corp.
    2,300       646,300  
Bio-Reference Laboratories, Inc. *
    38,800       1,217,932  
BioScrip, Inc. *
    100,400       751,996  
BioTelemetry, Inc. *
    38,700       278,640  
Cantel Medical Corp.
    51,145       1,714,892  
Capital Senior Living Corp. *
    44,800       1,103,872  
Cardiovascular Systems, Inc. *
    39,000       1,053,000  
Castlight Health, Inc., Class B *
    19,000       254,790  
Cerus Corp. *(c)
    109,800       386,496  
Chemed Corp.
    26,276       2,676,211  
Chindex International, Inc. *
    20,400       477,564  
Computer Programs & Systems, Inc.
    17,500       1,151,850  
CONMED Corp.
    39,300       1,532,700  
CorVel Corp. *
    16,600       668,648  
Cross Country Healthcare, Inc. *
    52,650       378,554  
CryoLife, Inc.
    37,400       368,390  
Cyberonics, Inc. *
    38,800       2,307,436  
Cynosure, Inc., Class A *
    30,244       687,749  
Derma Sciences, Inc. *
    28,500       275,880  
DexCom, Inc. *
    109,900       4,141,032  
Endologix, Inc. *
    95,600       1,352,740  
Exactech, Inc. *
    15,000       341,100  
ExamWorks Group, Inc. *
    52,565       1,855,019  
Five Star Quality Care, Inc. *
    56,200       256,834  
GenMark Diagnostics, Inc. *
    61,000       652,700  
Gentiva Health Services, Inc. *
    50,896       921,218  
Globus Medical, Inc., Class A *
    96,500       2,151,950  
Greatbatch, Inc. *
    37,000       1,831,870  
Haemonetics Corp. *
    77,200       2,746,004  
Hanger, Inc. *
    52,800       1,671,120  
HealthSouth Corp.
    129,800       4,975,234  
HealthStream, Inc. *
    30,800       768,768  
Healthways, Inc. *
    48,800       843,752  
HeartWare International, Inc. *
    25,400       2,138,934  
HMS Holdings Corp. *
    130,200       2,396,982  
ICU Medical, Inc. *
    18,800       1,095,100  
Inogen, Inc. *
    7,600       152,000  
Insulet Corp. *
    81,600       2,883,744  
Integra LifeSciences Holdings Corp. *
    36,648       1,737,848  
Invacare Corp.
    49,211       736,689  
IPC The Hospitalist Co., Inc. *
    24,700       1,214,746  
K2M Group Holdings, Inc. *
    12,900       218,913  
Kindred Healthcare, Inc.
    95,312       2,277,957  
Landauer, Inc.
    13,300       573,895  
LDR Holding Corp. *
    24,400       559,004  
LHC Group, Inc. *
    21,100       495,428  
Magellan Health, Inc. *
    41,600       2,396,160  
Masimo Corp. *
    73,500       1,769,880  
MedAssets, Inc. *
    92,400       1,962,576  
Medidata Solutions, Inc. *
    79,600       3,569,264  
Merge Healthcare, Inc. *
    80,500       198,030  
Meridian Bioscience, Inc.
    64,350       1,268,338  
Merit Medical Systems, Inc. *
    67,100       861,564  
Molina Healthcare, Inc. *
    43,700       1,785,145  
MWI Veterinary Supply, Inc. *
    19,300       2,726,318  
National Healthcare Corp.
    15,388       845,724  
National Research Corp., Class A *
    12,500       165,125  
Natus Medical, Inc. *
    46,900       1,349,313  
Neogen Corp. *
    54,025       2,358,731  
NuVasive, Inc. *
    70,100       2,620,338  
NxStage Medical, Inc. *
    92,700       1,237,545  
Omnicell, Inc. *
    52,300       1,433,020  
OraSure Technologies, Inc. *
    87,400       719,302  
Orthofix International N.V. *
    28,200       932,292  
Owens & Minor, Inc.
    94,700       3,133,623  
Oxford Immunotec Global PLC *
    19,100       303,690  
PharMerica Corp. *
    43,100       1,163,269  
PhotoMedex, Inc. *(c)
    18,000       194,220  
Quality Systems, Inc.
    73,100       1,133,781  
Quidel Corp. *
    40,300       961,961  
RadNet, Inc. *
    48,000       245,280  
Rockwell Medical, Inc. *(c)
    56,300       568,630  
RTI Surgical, Inc. *
    73,900       337,723  
Select Medical Holdings Corp.
    115,500       1,794,870  
Skilled Healthcare Group, Inc., Class A *
    25,900       154,105  
STAAR Surgical Co. *
    52,900       680,823  
STERIS Corp.
    88,188       4,487,005  
Surgical Care Affiliates, Inc. *
    20,009       587,864  
SurModics, Inc. *
    20,400       387,396  
Symmetry Medical, Inc. *
    53,900       474,859  
Tandem Diabetes Care, Inc. *
    13,300       166,117  
Team Health Holdings, Inc. *
    104,367       5,901,954  
The Ensign Group, Inc.
    30,000       987,900  
The Providence Service Corp. *
    17,400       689,214  
The Spectranetics Corp. *
    62,536       1,604,048  
Thoratec Corp. *
    84,900       2,759,250  
Tornier N.V. *
    52,200       1,082,106  
TransEnterix, Inc. *
    42,100       167,137  
Triple-S Management Corp., Class B *
    33,800       584,064  
TriVascular Technologies, Inc. *(c)
    10,900       149,875  
 
 
 
 9

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
U.S. Physical Therapy, Inc.
    19,300       674,342  
Unilife Corp. *(c)
    144,000       362,880  
Universal American Corp.
    63,902       507,382  
Utah Medical Products, Inc.
    4,500       234,045  
Vascular Solutions, Inc. *
    27,136       669,445  
Veracyte, Inc. *
    8,500       121,550  
Vocera Communications, Inc. *
    30,100       378,357  
Volcano Corp. *
    75,200       1,241,552  
WellCare Health Plans, Inc. *
    64,600       4,029,748  
West Pharmaceutical Services, Inc.
    103,130       4,202,547  
Wright Medical Group, Inc. *
    73,200       2,256,024  
Zeltiq Aesthetics, Inc. *
    42,600       862,224  
                 
              152,197,075  
 
Household & Personal Products 0.3%
Central Garden & Pet Co., Class A *
    66,600       621,378  
Elizabeth Arden, Inc. *
    36,298       748,828  
Harbinger Group, Inc. *
    122,000       1,431,060  
IGI Laboratories, Inc. *
    42,200       222,394  
Inter Parfums, Inc.
    25,400       663,702  
Medifast, Inc. *
    20,200       579,942  
Nature’s Sunshine Products, Inc.
    15,000       231,600  
Nutraceutical International Corp. *
    12,300       283,884  
Oil-Dri Corp. of America
    6,887       200,894  
Orchids Paper Products Co.
    11,800       311,520  
Revlon, Inc., Class A *
    18,602       567,361  
Synutra International, Inc. *(c)
    23,200       141,288  
The Female Health Co.
    31,000       121,210  
USANA Health Sciences, Inc. *
    9,100       581,035  
WD-40 Co.
    22,300       1,488,748  
                 
              8,194,844  
 
Insurance 2.4%
Ambac Financial Group, Inc. *
    68,500       1,552,210  
American Equity Investment Life Holding Co.
    109,064       2,414,677  
AMERISAFE, Inc.
    29,335       1,073,661  
AmTrust Financial Services, Inc. (c)
    43,677       1,862,387  
Argo Group International Holdings Ltd.
    40,191       2,001,914  
Atlas Financial Holdings, Inc. *
    16,900       240,994  
Baldwin & Lyons, Inc., Class B
    13,000       321,100  
Citizens, Inc. *
    62,600       421,924  
CNO Financial Group, Inc.
    319,600       5,171,128  
Crawford & Co., Class B
    44,000       404,800  
Donegal Group, Inc., Class A
    10,400       156,832  
eHealth, Inc. *
    28,600       592,020  
EMC Insurance Group, Inc.
    6,200       182,466  
Employers Holdings, Inc.
    44,900       956,370  
Enstar Group Ltd. *
    12,494       1,724,172  
FBL Financial Group, Inc., Class A
    13,868       593,273  
Federated National Holding Co.
    16,600       334,822  
Fidelity & Guaranty Life
    14,800       319,828  
First American Financial Corp.
    156,400       4,244,696  
Global Indemnity plc *
    10,755       268,122  
Greenlight Capital Re Ltd., Class A *
    42,789       1,384,652  
Hallmark Financial Services, Inc. *
    21,200       190,164  
HCI Group, Inc.
    13,800       550,620  
Heritage Insurance Holdings, Inc. *
    10,100       142,713  
Hilltop Holdings, Inc. *
    99,639       2,042,599  
Horace Mann Educators Corp.
    59,578       1,706,910  
Independence Holding Co.
    11,248       140,712  
Infinity Property & Casualty Corp.
    16,592       1,074,498  
Kansas City Life Insurance Co.
    5,700       248,919  
Kemper Corp.
    68,200       2,360,402  
Maiden Holdings Ltd.
    76,900       882,812  
Meadowbrook Insurance Group, Inc.
    71,400       430,542  
Montpelier Re Holdings Ltd.
    57,500       1,697,975  
National General Holdings Corp.
    52,100       907,061  
National Interstate Corp.
    12,498       338,571  
National Western Life Insurance Co., Class A
    3,494       842,054  
OneBeacon Insurance Group Ltd., Class A
    33,400       494,320  
Platinum Underwriters Holdings Ltd.
    39,500       2,314,700  
Primerica, Inc.
    80,100       3,691,008  
RLI Corp.
    64,420       2,753,311  
Safety Insurance Group, Inc.
    19,770       988,698  
Selective Insurance Group, Inc.
    84,514       1,883,817  
State Auto Financial Corp.
    24,726       521,966  
Stewart Information Services Corp.
    30,400       895,888  
Symetra Financial Corp.
    110,600       2,521,680  
The Navigators Group, Inc. *
    14,970       910,176  
The Phoenix Cos., Inc. *
    7,790       431,644  
Third Point Reinsurance Ltd. *
    83,300       1,212,848  
United Fire Group, Inc.
    32,300       912,798  
United Insurance Holdings Corp.
    24,400       354,288  
Universal Insurance Holdings, Inc.
    50,622       610,501  
                 
              60,276,243  
 
Materials 5.0%
A. Schulman, Inc.
    44,309       1,760,840  
A.M. Castle & Co. *
    29,100       240,948  
Advanced Emissions Solutions, Inc. *
    32,600       697,314  
AEP Industries, Inc. *
    5,800       236,350  
AK Steel Holding Corp. *(c)
    208,200       1,894,620  
Allied Nevada Gold Corp. *(c)
    148,100       463,553  
American Vanguard Corp.
    40,900       519,021  
Ampco-Pittsburgh Corp.
    11,400       229,938  
Axiall Corp.
    104,321       4,468,069  
Balchem Corp.
    45,400       2,270,000  
Berry Plastics Group, Inc. *
    131,900       3,203,851  
Boise Cascade Co. *
    57,800       1,627,070  
Calgon Carbon Corp. *
    81,285       1,723,242  
Century Aluminum Co. *
    73,900       1,389,320  
Chase Corp.
    8,600       290,250  
Chemtura Corp. *
    140,300       3,263,378  
Clearwater Paper Corp. *
    30,000       2,028,000  
 
 
 
10 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Coeur Mining, Inc. *
    154,650       1,206,270  
Commercial Metals Co.
    172,600       2,975,624  
Deltic Timber Corp.
    17,204       1,051,164  
Ferro Corp. *
    110,900       1,390,686  
Flotek Industries, Inc. *
    78,900       2,276,265  
FutureFuel Corp.
    31,000       488,560  
Globe Specialty Metals, Inc.
    97,300       1,851,619  
Gold Resource Corp. (c)
    67,484       356,316  
Graphic Packaging Holding Co. *
    479,615       5,755,380  
H.B. Fuller Co.
    73,416       3,278,024  
Handy & Harman Ltd. *
    7,800       175,500  
Hawkins, Inc.
    15,500       530,875  
Haynes International, Inc.
    17,525       872,745  
Headwaters, Inc. *
    112,100       1,198,349  
Hecla Mining Co.
    524,140       1,656,282  
Horsehead Holding Corp. *
    73,200       1,371,036  
Innophos Holdings, Inc.
    32,900       1,988,147  
Innospec, Inc.
    35,600       1,431,476  
Intrepid Potash, Inc. *
    86,500       1,281,065  
Kaiser Aluminum Corp.
    26,450       2,042,469  
KapStone Paper & Packaging Corp. *
    125,200       3,723,448  
KMG Chemicals, Inc.
    12,300       206,271  
Koppers Holdings, Inc.
    30,900       1,113,327  
Kraton Performance Polymers, Inc. *
    47,500       978,975  
Kronos Worldwide, Inc.
    30,700       457,737  
Landec Corp. *
    44,654       545,225  
Louisiana-Pacific Corp. *
    205,500       2,782,470  
LSB Industries, Inc. *
    28,000       1,078,280  
Marrone Bio Innovations, Inc. *(c)
    16,800       155,736  
Materion Corp.
    29,600       956,376  
Minerals Technologies, Inc.
    50,622       2,939,620  
Molycorp, Inc. *(c)
    267,100       558,239  
Myers Industries, Inc.
    43,900       811,272  
Neenah Paper, Inc.
    25,453       1,262,978  
Noranda Aluminum Holding Corp.
    75,000       331,500  
Olin Corp.
    118,700       3,153,859  
Olympic Steel, Inc.
    12,200       267,546  
OM Group, Inc.
    48,100       1,359,787  
OMNOVA Solutions, Inc. *
    65,700       530,199  
P.H. Glatfelter Co.
    63,800       1,518,440  
PolyOne Corp.
    138,054       5,239,149  
Quaker Chemical Corp.
    20,100       1,419,261  
Rentech, Inc. *
    316,700       687,239  
Resolute Forest Products, Inc. *
    95,700       1,472,823  
RTI International Metals, Inc. *
    43,566       1,083,051  
Schnitzer Steel Industries, Inc., Class A
    37,800       1,009,638  
Schweitzer-Mauduit International, Inc.
    44,700       1,825,101  
Senomyx, Inc. *
    62,400       440,232  
Sensient Technologies Corp.
    73,724       3,870,510  
Stepan Co.
    28,500       1,371,420  
Stillwater Mining Co. *
    175,600       3,143,240  
SunCoke Energy, Inc. *
    105,700       2,413,131  
Taminco Corp. *
    41,800       873,620  
Trecora Resources *
    27,400       329,348  
Tredegar Corp.
    35,100       685,854  
Tronox Ltd., Class A
    90,200       2,393,908  
UFP Technologies, Inc. *
    7,500       189,375  
United States Lime & Minerals, Inc.
    2,700       155,574  
Universal Stainless & Alloy Products, Inc. *
    9,500       273,885  
US Concrete, Inc. *
    19,200       491,328  
US Silica Holdings, Inc.
    78,900       4,435,758  
Walter Energy, Inc. (c)
    108,364       623,093  
Wausau Paper Corp.
    58,500       589,095  
Worthington Industries, Inc.
    75,460       2,886,345  
Zep, Inc.
    32,600       508,234  
                 
              122,625,113  
 
Media 1.4%
AH Belo Corp., Class A
    26,900       283,795  
AMC Entertainment Holdings, Inc., Class A
    31,500       713,160  
Carmike Cinemas, Inc. *
    34,100       1,072,104  
Central European Media Enterprises Ltd., Class A *
    109,100       285,842  
Cinedigm Corp., Class A *
    112,300       254,921  
Crown Media Holdings, Inc., Class A *
    46,700       157,846  
Cumulus Media, Inc., Class A *
    198,900       1,030,302  
Daily Journal Corp. *
    1,300       219,245  
Dex Media, Inc. *(c)
    24,400       312,076  
Entercom Communications Corp., Class A *
    32,400       306,180  
Entravision Communications Corp., Class A
    78,600       439,374  
Eros International plc *
    35,990       527,973  
Global Sources Ltd. *(c)
    25,900       191,142  
Gray Television, Inc. *
    71,700       873,306  
Harte-Hanks, Inc.
    75,416       494,729  
Hemisphere Media Group, Inc. *
    12,300       142,311  
Journal Communications, Inc., Class A *
    71,200       774,656  
Lee Enterprises, Inc. *
    78,600       298,680  
Loral Space & Communications, Inc. *
    18,600       1,344,780  
Martha Stewart Living Omnimedia, Inc., Class A *
    36,500       164,615  
MDC Partners, Inc., Class A
    64,480       1,329,578  
Media General, Inc. *(c)
    79,800       1,608,768  
Meredith Corp.
    54,100       2,484,272  
National CineMedia, Inc.
    86,800       1,394,008  
New Media Investment Group, Inc. *
    44,000       662,640  
Nexstar Broadcasting Group, Inc., Class A
    44,600       2,077,914  
Radio One, Inc., Class D *
    33,900       148,143  
ReachLocal, Inc. *
    13,400       85,760  
Reading International, Inc., Class A *
    23,000       184,690  
Rentrak Corp. *
    14,900       739,636  
Saga Communications, Inc., Class A
    6,400       230,400  
Salem Communications Corp., Class A
    14,100       122,811  
Scholastic Corp.
    38,469       1,362,572  
SFX Entertainment, Inc. *(c)
    64,800       443,880  
 
 
 
 11

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Sinclair Broadcast Group, Inc., Class A (c)
    103,600       3,347,316  
Sizmek, Inc. *
    36,700       333,603  
The E.W. Scripps Co., Class A *
    50,500       1,094,840  
The McClatchy Co., Class A *
    102,100       493,143  
The New York Times Co., Class A
    203,000       2,535,470  
Time, Inc. *
    161,800       3,899,380  
World Wrestling Entertainment, Inc., Class A (c)
    41,400       516,672  
                 
              34,982,533  
 
Pharmaceuticals, Biotechnology & Life Sciences 7.0%
ACADIA Pharmaceuticals, Inc. *
    115,400       2,339,158  
Accelerate Diagnostics, Inc. *(c)
    33,300       605,394  
Acceleron Pharma, Inc. *
    24,100       713,842  
AcelRx Pharmaceuticals, Inc. *(c)
    40,200       279,792  
Achaogen, Inc. *
    10,100       109,181  
Achillion Pharmaceuticals, Inc. *(c)
    137,600       942,560  
Acorda Therapeutics, Inc. *
    60,200       1,762,054  
Actinium Pharmaceuticals, Inc. *(c)
    29,100       183,621  
Adamas Pharmaceuticals, Inc. *
    5,500       87,505  
Aegerion Pharmaceuticals, Inc. *
    43,100       1,448,591  
Aerie Pharmaceuticals, Inc. *
    16,000       283,680  
Affymetrix, Inc. *
    110,900       953,740  
Agenus, Inc. *(c)
    91,300       301,290  
Agios Pharmaceuticals, Inc. *(c)
    19,900       801,970  
Akebia Therapeutics, Inc. *(c)
    11,500       254,610  
Akorn, Inc. *
    92,794       3,148,500  
Albany Molecular Research, Inc. *
    33,200       632,128  
Alder Biopharmaceuticals, Inc. *
    11,700       197,613  
Alimera Sciences, Inc. *(c)
    45,500       262,990  
AMAG Pharmaceuticals, Inc. *
    30,500       582,245  
Ampio Pharmaceuticals, Inc. *(c)
    58,200       350,946  
Anacor Pharmaceuticals, Inc. *
    48,300       804,195  
ANI Pharmaceuticals, Inc. *
    10,100       258,762  
Applied Genetic Technologies Corp. *
    7,100       113,600  
Aratana Therapeutics, Inc. *
    35,800       412,774  
Arena Pharmaceuticals, Inc. *(c)
    321,600       1,489,008  
ARIAD Pharmaceuticals, Inc. *(c)
    241,800       1,392,768  
Array BioPharma, Inc. *
    179,400       717,600  
Arrowhead Research Corp. *
    76,100       962,665  
Auspex Pharmaceuticals, Inc. *
    12,000       218,520  
Auxilium Pharmaceuticals, Inc. *(c)
    74,900       1,499,498  
AVANIR Pharmaceuticals, Inc. *
    260,554       1,357,486  
Bio-Path Holdings, Inc. *(c)
    107,700       245,556  
BioCryst Pharmaceuticals, Inc. *
    102,800       1,287,056  
BioDelivery Sciences International, Inc. *
    60,000       765,000  
BioSpecifics Technologies Corp. *
    5,300       138,542  
BioTime, Inc. *(c)
    83,500       212,090  
Bluebird Bio, Inc. *
    32,172       1,074,545  
Cambrex Corp. *
    43,300       912,331  
Cara Therapeutics, Inc. *
    8,000       102,000  
Celldex Therapeutics, Inc. *
    133,300       1,744,897  
Cellular Dynamics International, Inc. *(c)
    14,300       164,307  
Cempra, Inc. *
    39,878       366,878  
Cepheid, Inc. *
    102,700       3,865,628  
ChemoCentryx, Inc. *(c)
    35,000       192,500  
Chimerix, Inc. *
    39,600       899,712  
Clovis Oncology, Inc. *
    36,200       1,319,490  
Corcept Therapeutics, Inc. *
    68,400       163,476  
CTI BioPharma, Corp. *(c)
    190,800       494,172  
Cytokinetics, Inc. *
    45,900       194,157  
Cytori Therapeutics, Inc. *(c)
    78,000       159,900  
CytRx Corp. *(c)
    81,800       266,668  
Dendreon Corp. *(c)
    227,500       470,925  
Depomed, Inc. *
    86,900       864,655  
Dicerna Pharmaceuticals, Inc. *(c)
    5,200       78,104  
Durata Therapeutics, Inc. *(c)
    25,300       325,358  
Dyax Corp. *
    201,100       1,894,362  
Dynavax Technologies Corp. *
    381,000       563,880  
Egalet Corp. *
    9,500       114,950  
Eleven Biotherapeutics, Inc. *(c)
    7,500       82,275  
Emergent Biosolutions, Inc. *
    43,700       961,400  
Enanta Pharmaceuticals, Inc. *
    15,200       571,672  
Endocyte, Inc. *(c)
    50,400       334,404  
Enzo Biochem, Inc. *
    50,100       240,480  
Epizyme, Inc. *
    18,800       588,816  
Esperion Therapeutics, Inc. *(c)
    7,100       101,743  
Exact Sciences Corp. *(c)
    123,900       1,934,079  
Exelixis, Inc. *(c)
    292,872       1,183,203  
Five Prime Therapeutics, Inc. *
    25,300       303,600  
Flexion Therapeutics, Inc. *
    7,800       95,784  
Fluidigm Corp. *
    39,800       1,139,474  
Foundation Medicine, Inc. *(c)
    20,500       461,660  
Galectin Therapeutics, Inc. *(c)
    26,400       162,096  
Galena Biopharma, Inc. *(c)
    189,700       538,748  
Genocea Biosciences, Inc. *
    7,100       123,611  
Genomic Health, Inc. *
    27,200       693,056  
Geron Corp. *(c)
    231,200       556,036  
Halozyme Therapeutics, Inc. *
    154,100       1,500,934  
Heron Therapeutics, Inc. *
    40,750       358,192  
Horizon Pharma, Inc. *(c)
    96,900       823,650  
Hyperion Therapeutics, Inc. *
    20,000       455,400  
Idenix Pharmaceuticals, Inc. *
    172,400       4,210,008  
Idera Pharmaceuticals, Inc. *(c)
    88,300       223,399  
ImmunoGen, Inc. *
    128,000       1,379,840  
Immunomedics, Inc. *(c)
    132,300       428,652  
Impax Laboratories, Inc. *
    101,900       2,383,441  
Infinity Pharmaceuticals, Inc. *
    68,300       620,847  
Inovio Pharmaceuticals, Inc. *(c)
    88,300       891,830  
Insmed, Inc. *
    57,600       984,384  
Insys Therapeutics, Inc. *(c)
    14,700       397,341  
InterMune, Inc. *
    146,800       6,440,116  
Intra-Cellular Therapies, Inc. *
    25,100       363,699  
Intrexon Corp. *(c)
    52,300       1,155,307  
Ironwood Pharmaceuticals, Inc. *
    175,300       2,594,440  
Isis Pharmaceuticals, Inc. *
    172,500       5,345,775  
Karyopharm Therapeutics, Inc. *(c)
    21,351       740,666  
Keryx Biopharmaceuticals, Inc. *(c)
    137,934       2,075,907  
Kindred Biosciences, Inc. *
    12,900       196,596  
 
 
 
12 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
KYTHERA Biopharmaceuticals, Inc. *
    25,500       856,290  
Lannett Co., Inc. *
    37,700       1,267,097  
Lexicon Pharmaceuticals, Inc. *
    324,100       476,427  
Ligand Pharmaceuticals, Inc. *
    30,400       1,494,768  
Luminex Corp. *
    53,200       968,240  
MacroGenics, Inc. *
    29,300       594,790  
MannKind Corp. *(c)
    334,600       2,797,256  
Merrimack Pharmaceuticals, Inc. *(c)
    153,100       904,821  
MiMedx Group, Inc. *(c)
    131,700       910,047  
Mirati Therapeutics, Inc. *(c)
    10,500       190,785  
Momenta Pharmaceuticals, Inc. *
    71,144       756,972  
NanoString Technologies, Inc. *
    14,700       177,135  
NanoViricides, Inc. *
    58,800       238,728  
Navidea Biopharmaceuticals, Inc. *(c)
    221,100       294,063  
Nektar Therapeutics *
    183,071       1,931,399  
NeoStem, Inc. *(c)
    34,700       214,099  
Neuralstem, Inc. *(c)
    100,900       288,574  
Neurocrine Biosciences, Inc. *
    112,600       1,529,108  
NewLink Genetics Corp. *(c)
    29,100       616,338  
Northwest Biotherapeutics, Inc. *(c)
    52,100       343,860  
Novavax, Inc. *
    351,736       1,523,017  
NPS Pharmaceuticals, Inc. *
    156,000       4,358,640  
Ohr Pharmaceutical, Inc. *(c)
    30,900       278,100  
Omeros Corp. *(c)
    51,500       700,915  
OncoMed Pharmaceuticals, Inc. *(c)
    18,500       399,415  
Oncothyreon, Inc. *
    103,800       283,374  
Ophthotech Corp. *(c)
    20,400       796,824  
OPKO Health, Inc. *(c)
    293,200       2,586,024  
Orexigen Therapeutics, Inc. *(c)
    166,700       831,833  
Organovo Holdings, Inc. *(c)
    91,700       694,169  
Osiris Therapeutics, Inc. *(c)
    28,800       426,240  
OvaScience, Inc. *
    24,000       235,440  
Pacific Biosciences of California, Inc. *
    85,600       391,192  
Pacira Pharmaceuticals, Inc. *
    52,300       4,811,600  
Pain Therapeutics, Inc. *
    55,800       234,918  
PAREXEL International Corp. *
    85,418       4,574,988  
PDL BioPharma, Inc. (c)
    239,600       2,247,448  
Peregrine Pharmaceuticals, Inc. *(c)
    255,100       385,201  
Pernix Therapeutics Holdings, Inc. *
    48,800       366,488  
Phibro Animal Health Corp., Class A *
    21,500       407,640  
Portola Pharmaceuticals, Inc. *
    54,100       1,360,074  
POZEN, Inc. *
    35,400       256,296  
Prestige Brands Holdings, Inc. *
    78,700       2,423,960  
Progenics Pharmaceuticals, Inc. *
    106,000       506,680  
Prothena Corp. plc *
    39,384       683,706  
PTC Therapeutics, Inc. *
    32,600       861,292  
Puma Biotechnology, Inc. *
    34,800       7,715,856  
Raptor Pharmaceutical Corp. *(c)
    93,100       801,591  
Receptos, Inc. *
    27,385       1,134,013  
Regado Biosciences, Inc. *(c)
    60,501       180,293  
Regulus Therapeutics, Inc. *(c)
    18,100       115,659  
Relypsa, Inc. *
    24,800       560,728  
Repligen Corp. *
    49,100       1,029,627  
Repros Therapeutics, Inc. *
    32,700       458,454  
Retrophin, Inc. *(c)
    28,400       301,608  
Revance Therapeutics, Inc. *
    13,813       423,783  
Rigel Pharmaceuticals, Inc. *
    118,400       387,168  
Sagent Pharmaceuticals, Inc. *
    34,569       880,818  
Sangamo BioSciences, Inc. *
    99,700       1,184,436  
Sarepta Therapeutics, Inc. *(c)
    60,900       1,299,606  
SciClone Pharmaceuticals, Inc. *
    78,000       375,960  
Sequenom, Inc. *(c)
    166,100       622,875  
Spectrum Pharmaceuticals, Inc. *
    89,800       632,192  
Stemline Therapeutics, Inc. *
    13,000       166,530  
Sucampo Pharmaceuticals, Inc., Class A *
    31,100       183,490  
Sunesis Pharmaceuticals, Inc. *
    72,600       477,708  
Supernus Pharmaceuticals, Inc. *(c)
    43,000       372,380  
Synageva BioPharma Corp. *
    32,388       2,215,663  
Synergy Pharmaceuticals, Inc. *(c)
    140,600       513,190  
Synta Pharmaceuticals Corp. *(c)
    87,300       344,835  
TESARO, Inc. *
    28,300       813,908  
Tetraphase Pharmaceuticals, Inc. *
    32,300       339,150  
TG Therapeutics, Inc. *(c)
    34,400       272,104  
The Medicines Co. *
    98,099       2,292,574  
TherapeuticsMD, Inc. *(c)
    147,600       684,864  
Theravance Biopharma, Inc. *(c)
    34,500       967,035  
Theravance, Inc. *
    120,800       2,621,360  
Threshold Pharmaceuticals, Inc. *
    88,794       373,823  
Ultragenyx Pharmaceutical, Inc. *
    9,900       432,630  
Vanda Pharmaceuticals, Inc. *(c)
    47,300       695,310  
Verastem, Inc. *
    30,000       221,700  
Versartis, Inc. *(c)
    10,200       208,080  
Vital Therapies, Inc. *
    7,600       174,040  
VIVUS, Inc. *(c)
    147,300       709,986  
Xencor, Inc. *
    21,900       211,554  
XenoPort, Inc. *
    80,000       343,200  
XOMA Corp. *
    113,500       440,380  
ZIOPHARM Oncology, Inc. *(c)
    116,700       365,271  
Zogenix, Inc. *
    154,200       203,544  
                 
              172,217,233  
 
Real Estate 9.1%
Acadia Realty Trust
    86,287       2,435,882  
AG Mortgage Investment Trust, Inc.
    41,300       757,442  
Agree Realty Corp.
    21,600       632,448  
Alexander & Baldwin, Inc.
    71,500       2,729,155  
Alexander’s, Inc.
    3,000       1,089,000  
Altisource Asset Management Corp. *
    2,100       1,287,342  
Altisource Portfolio Solutions S.A. *
    21,400       2,319,332  
Altisource Residential Corp.
    82,800       1,920,132  
American Assets Trust, Inc.
    52,100       1,786,509  
American Capital Mortgage Investment Corp.
    76,700       1,528,631  
American Realty Capital Healthcare Trust, Inc.
    248,400       2,650,428  
American Residential Properties, Inc. *
    47,200       855,264  
 
 
 
 13

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
AmREIT, Inc.
    28,100       650,234  
Anworth Mortgage Asset Corp.
    187,700       953,516  
Apollo Commercial Real Estate Finance, Inc.
    69,100       1,144,987  
Apollo Residential Mortgage, Inc.
    50,875       829,262  
Ares Commercial Real Estate Corp.
    41,900       512,018  
Armada Hoffler Properties, Inc.
    27,100       254,740  
ARMOUR Residential REIT, Inc.
    523,900       2,205,619  
Ashford Hospitality Prime, Inc.
    37,220       619,713  
Ashford Hospitality Trust, Inc.
    101,000       1,162,510  
Associated Estates Realty Corp.
    88,100       1,556,727  
AV Homes, Inc. *
    15,600       243,204  
Aviv REIT, Inc.
    28,900       822,205  
Campus Crest Communities, Inc.
    92,100       736,800  
Capstead Mortgage Corp.
    141,200       1,813,008  
CareTrust REIT, Inc. *
    30,000       511,800  
CatchMark Timber Trust, Inc., Class A
    28,151       337,812  
Cedar Realty Trust, Inc.
    119,200       750,960  
Chambers Street Properties
    354,900       2,761,122  
Chatham Lodging Trust
    37,900       802,343  
Chesapeake Lodging Trust
    74,300       2,205,224  
Colony Financial, Inc.
    158,626       3,513,566  
Consolidated-Tomoka Land Co.
    5,500       245,410  
CoreSite Realty Corp.
    31,300       1,022,258  
Cousins Properties, Inc.
    291,073       3,603,484  
CubeSmart
    215,643       3,926,859  
CyrusOne, Inc.
    48,589       1,207,437  
CYS Investments, Inc.
    237,700       2,110,776  
DCT Industrial Trust, Inc.
    484,700       3,795,201  
DiamondRock Hospitality Co.
    288,917       3,542,122  
DuPont Fabros Technology, Inc.
    94,000       2,576,540  
Dynex Capital, Inc.
    76,500       634,950  
EastGroup Properties, Inc.
    46,790       2,917,824  
Education Realty Trust, Inc.
    206,139       2,176,828  
Empire State Realty Trust, Inc., Class A
    134,400       2,182,656  
EPR Properties
    78,400       4,225,760  
Equity One, Inc.
    90,337       2,097,625  
Excel Trust, Inc.
    90,284       1,169,178  
FelCor Lodging Trust, Inc.
    186,400       1,951,608  
First Industrial Realty Trust, Inc.
    165,614       2,989,333  
First Potomac Realty Trust
    90,700       1,196,333  
Forestar Group, Inc. *
    49,700       929,390  
Franklin Street Properties Corp.
    134,065       1,627,549  
Getty Realty Corp.
    39,242       720,876  
Gladstone Commercial Corp.
    24,300       424,035  
Glimcher Realty Trust
    216,800       2,328,432  
Government Properties Income Trust
    100,847       2,354,777  
Gramercy Property Trust, Inc.
    172,500       1,019,475  
Hannon Armstrong Sustainable Infrastructure Capital, Inc.
    29,100       398,961  
Hatteras Financial Corp.
    141,600       2,711,640  
Healthcare Realty Trust, Inc.
    142,081       3,509,401  
Hersha Hospitality Trust
    291,700       1,928,137  
Highwoods Properties, Inc.
    133,507       5,616,639  
Hudson Pacific Properties, Inc.
    80,600       2,063,360  
Inland Real Estate Corp.
    133,336       1,378,694  
Invesco Mortgage Capital, Inc.
    180,600       3,066,588  
Investors Real Estate Trust
    153,200       1,305,264  
iStar Financial, Inc. *
    125,500       1,804,690  
Kennedy-Wilson Holdings, Inc.
    105,400       2,466,360  
Kite Realty Group Trust
    189,500       1,155,950  
LaSalle Hotel Properties
    152,626       5,309,859  
Lexington Realty Trust
    301,684       3,300,423  
LTC Properties, Inc.
    52,651       2,018,113  
Mack-Cali Realty Corp.
    130,100       2,745,110  
Medical Properties Trust, Inc.
    256,100       3,447,106  
Monmouth Real Estate Investment Corp.
    84,500       868,660  
National Health Investors, Inc.
    48,468       2,897,902  
New Residential Investment Corp.
    420,645       2,515,457  
New York Mortgage Trust, Inc.
    135,700       1,024,535  
New York REIT, Inc. (c)
    258,400       2,697,696  
One Liberty Properties, Inc.
    18,700       387,464  
Owens Realty Mortgage, Inc.
    15,800       252,958  
Parkway Properties, Inc.
    104,393       2,164,067  
Pebblebrook Hotel Trust
    93,700       3,410,680  
Pennsylvania Real Estate Investment Trust
    103,812       1,996,305  
PennyMac Mortgage Investment Trust
    109,300       2,340,113  
Physicians Realty Trust
    52,300       736,384  
Potlatch Corp.
    60,403       2,494,644  
PS Business Parks, Inc.
    28,438       2,346,135  
QTS Realty Trust, Inc., Class A
    19,774       538,841  
RAIT Financial Trust
    119,300       918,610  
Ramco-Gershenson Properties Trust
    103,121       1,711,809  
RE/MAX Holdings, Inc., Class A
    16,800       492,240  
Redwood Trust, Inc.
    123,500       2,344,030  
Resource Capital Corp.
    196,149       1,080,781  
Retail Opportunity Investments Corp.
    133,347       2,057,544  
Rexford Industrial Realty, Inc.
    42,000       580,860  
RLJ Lodging Trust
    195,282       5,475,707  
Rouse Properties, Inc. (c)
    54,500       923,775  
Ryman Hospitality Properties, Inc. (c)
    65,185       3,112,584  
Sabra Health Care REIT, Inc.
    70,766       1,960,218  
Saul Centers, Inc.
    14,300       681,681  
Select Income REIT
    54,000       1,498,500  
Silver Bay Realty Trust Corp.
    56,433       911,957  
Sovran Self Storage, Inc.
    48,845       3,747,388  
STAG Industrial, Inc.
    76,100       1,738,124  
Starwood Waypoint Residential Trust *
    57,400       1,509,046  
Strategic Hotels & Resorts, Inc. *
    362,800       4,139,548  
Summit Hotel Properties, Inc.
    125,500       1,288,885  
Sun Communities, Inc.
    60,300       3,173,589  
Sunstone Hotel Investors, Inc.
    303,532       4,307,119  
Tejon Ranch Co. *
    19,092       546,031  
Terreno Realty Corp.
    48,000       897,600  
The Geo Group, Inc.
    106,780       3,674,300  
The St. Joe Co. *
    92,700       2,117,268  
Trade Street Residential, Inc.
    27,200       193,120  
UMH Properties, Inc.
    31,900       316,129  
Universal Health Realty Income Trust
    19,444       817,815  
Urstadt Biddle Properties, Inc., Class A
    39,874       817,018  
 
 
 
14 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Washington Real Estate Investment Trust
    99,282       2,692,528  
Western Asset Mortgage Capital Corp.
    59,656       811,322  
Whitestone REIT
    30,700       459,272  
Winthrop Realty Trust
    53,400       804,738  
                 
              226,054,923  
 
Retailing 4.0%
1-800-Flowers.com, Inc., Class A *
    34,800       178,176  
Aeropostale, Inc. *(c)
    115,000       381,800  
America’s Car-Mart, Inc. *
    11,500       430,560  
American Eagle Outfitters, Inc.
    285,200       3,040,232  
ANN, Inc. *
    69,000       2,535,750  
Asbury Automotive Group, Inc. *
    45,000       3,038,850  
Barnes & Noble, Inc. *
    62,610       1,303,540  
bebe stores, Inc.
    51,449       144,572  
Big 5 Sporting Goods Corp.
    32,284       319,934  
Blue Nile, Inc. *
    19,000       489,250  
Brown Shoe Co., Inc.
    62,775       1,769,627  
Build-A-Bear Workshop, Inc. *
    18,100       190,955  
Burlington Stores, Inc. *
    42,000       1,374,660  
Christopher & Banks Corp. *
    51,800       442,890  
Citi Trends, Inc. *
    25,546       514,752  
Conn’s, Inc. *(c)
    40,600       1,624,000  
Core-Mark Holding Co., Inc.
    34,741       1,639,775  
Coupons.com, Inc. *(c)
    17,700       363,381  
Destination Maternity Corp.
    18,400       350,152  
Destination XL Group, Inc. *
    56,400       301,740  
Express, Inc. *
    128,500       1,999,460  
Five Below, Inc. *
    79,600       2,914,952  
Francesca’s Holdings Corp. *
    62,800       802,584  
Fred’s, Inc., Class A
    52,800       835,824  
FTD Cos., Inc. *
    28,097       925,515  
Gaiam, Inc., Class A *
    22,000       144,760  
Genesco, Inc. *
    36,244       2,764,330  
Group 1 Automotive, Inc.
    35,500       2,624,160  
Guess?, Inc.
    90,200       2,346,102  
Haverty Furniture Cos, Inc.
    30,300       673,569  
hhgregg, Inc. *(c)
    18,300       130,113  
Hibbett Sports, Inc. *
    37,575       1,875,368  
HSN, Inc.
    49,955       2,791,985  
Kirkland’s, Inc. *
    22,400       421,344  
Lands’ End, Inc. *(c)
    24,200       851,598  
Lithia Motors, Inc., Class A
    33,700       2,994,245  
Lumber Liquidators Holdings, Inc. *
    41,598       2,255,444  
MarineMax, Inc. *
    37,700       628,459  
Mattress Firm Holding Corp. *(c)
    22,000       1,025,200  
Monro Muffler Brake, Inc.
    45,750       2,323,642  
New York & Co., Inc. *
    36,400       122,668  
Nutrisystem, Inc.
    39,948       641,165  
Office Depot, Inc. *
    784,510       3,930,395  
Orbitz Worldwide, Inc. *
    75,700       669,945  
Outerwall, Inc. *(c)
    29,900       1,645,098  
Overstock.com, Inc. *
    15,500       251,875  
Pacific Sunwear of California, Inc. *
    65,800       133,574  
PetMed Express, Inc. (c)
    29,500       404,150  
Pier 1 Imports, Inc.
    140,400       2,114,424  
Pool Corp.
    66,177       3,623,853  
Rent-A-Center, Inc.
    79,105       1,893,774  
Restoration Hardware Holdings, Inc. *
    45,700       3,737,803  
RetailMeNot, Inc. *
    45,200       1,105,592  
Sears Hometown & Outlet Stores, Inc. *
    17,000       322,320  
Select Comfort Corp. *
    79,600       1,607,920  
Shoe Carnival, Inc.
    24,850       442,330  
Shutterfly, Inc. *
    56,600       2,791,512  
Sonic Automotive, Inc., Class A
    61,100       1,485,952  
Sportsman’s Warehouse Holdings, Inc. *
    12,000       69,480  
Stage Stores, Inc.
    46,827       843,823  
Stein Mart, Inc.
    44,300       575,014  
Systemax, Inc. *
    14,500       198,215  
The Bon-Ton Stores, Inc. (c)
    19,300       179,490  
The Buckle, Inc.
    41,664       1,854,048  
The Cato Corp., Class A
    42,204       1,302,415  
The Children’s Place, Inc.
    32,313       1,622,113  
The Container Store Group, Inc. *(c)
    25,200       529,956  
The Finish Line, Inc., Class A
    71,619       1,882,864  
The Men’s Wearhouse, Inc.
    71,100       3,577,752  
The Pep Boys - Manny, Moe & Jack *
    84,700       896,126  
Tile Shop Holdings, Inc. *(c)
    41,100       415,521  
Tilly’s, Inc., Class A *
    12,600       95,382  
Tuesday Morning Corp. *
    65,800       1,083,068  
ValueVision Media, Inc., Class A *
    56,000       256,480  
Vitacost.com, Inc. *
    30,300       241,794  
Vitamin Shoppe, Inc. *
    45,400       1,936,310  
VOXX International Corp. *
    31,300       310,183  
West Marine, Inc. *
    24,500       210,210  
Weyco Group, Inc.
    9,100       236,236  
Winmark Corp.
    3,000       196,410  
Zumiez, Inc. *
    30,100       838,285  
                 
              98,038,775  
 
Semiconductors & Semiconductor Equipment 3.5%
Advanced Energy Industries, Inc. *
    63,937       1,075,420  
Alpha & Omega Semiconductor Ltd. *
    28,000       256,200  
Ambarella, Inc. *(c)
    42,300       1,210,203  
Amkor Technology, Inc. *
    125,218       1,108,179  
Applied Micro Circuits Corp. *
    114,365       954,948  
Audience, Inc. *
    21,900       208,707  
Axcelis Technologies, Inc. *
    142,100       248,675  
Brooks Automation, Inc.
    105,331       1,072,270  
Cabot Microelectronics Corp. *
    35,700       1,434,783  
Cascade Microtech, Inc. *
    18,700       206,822  
Cavium, Inc. *
    78,200       3,648,030  
CEVA, Inc. *
    33,700       479,551  
Cirrus Logic, Inc. *
    92,700       2,079,261  
Cohu, Inc.
    32,200       359,030  
Cypress Semiconductor Corp. *
    234,900       2,374,839  
Diodes, Inc. *
    54,281       1,384,165  
DSP Group, Inc. *
    31,400       278,518  
Entegris, Inc. *
    208,200       2,392,218  
Entropic Communications, Inc. *
    143,000       398,970  
 
 
 
 15

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Exar Corp. *
    58,500       563,355  
Fairchild Semiconductor International, Inc. *
    183,300       2,789,826  
FormFactor, Inc. *
    76,873       518,893  
GT Advanced Technologies, Inc. *(c)
    203,300       2,813,672  
Inphi Corp. *
    43,700       666,862  
Integrated Device Technology, Inc. *
    197,400       2,834,664  
Integrated Silicon Solution, Inc.
    46,000       672,520  
International Rectifier Corp. *
    107,053       2,659,197  
Intersil Corp., Class A
    190,700       2,446,681  
IXYS Corp.
    32,400       370,008  
Kopin Corp. *
    100,300       344,029  
Lattice Semiconductor Corp. *
    170,200       1,164,168  
M/A-COM Technology Solutions Holdings, Inc. *
    20,522       408,388  
MaxLinear, Inc., Class A *
    41,800       396,264  
Micrel, Inc.
    67,505       706,102  
Microsemi Corp. *
    141,871       3,402,067  
MKS Instruments, Inc.
    80,637       2,562,644  
Monolithic Power Systems, Inc.
    58,100       2,396,044  
Nanometrics, Inc. *
    32,200       501,032  
NVE Corp. *
    6,400       424,640  
OmniVision Technologies, Inc. *
    82,373       1,845,155  
PDF Solutions, Inc. *
    44,800       858,368  
Peregrine Semiconductor Corp. *
    37,700       254,098  
Pericom Semiconductor Corp. *
    33,500       295,805  
Photronics, Inc. *
    85,200       679,044  
PLX Technology, Inc. *
    56,800       368,632  
PMC-Sierra, Inc. *
    254,400       1,712,112  
Power Integrations, Inc.
    45,362       2,441,836  
QuickLogic Corp. *(c)
    80,900       275,060  
Rambus, Inc. *
    167,900       1,932,529  
RF Micro Devices, Inc. *
    423,000       4,720,680  
Rubicon Technology, Inc. *
    32,500       244,725  
Rudolph Technologies, Inc. *
    46,700       430,107  
Semtech Corp. *
    100,229       2,238,114  
Silicon Image, Inc. *
    113,600       566,864  
Silicon Laboratories, Inc. *
    63,800       2,598,574  
Spansion, Inc., Class A *
    88,600       1,680,742  
Synaptics, Inc. *
    52,800       3,813,744  
Tessera Technologies, Inc.
    81,259       2,064,791  
TriQuint Semiconductor, Inc. *
    253,400       4,556,132  
Ultra Clean Holdings, Inc. *
    43,300       375,411  
Ultratech, Inc. *
    40,000       947,200  
Veeco Instruments, Inc. *
    60,200       2,089,542  
Vitesse Semiconductor Corp. *
    70,700       212,100  
Xcerra Corp. *
    66,300       619,905  
                 
              87,633,115  
 
Software & Services 9.1%
A10 Networks, Inc. *
    18,700       201,960  
ACI Worldwide, Inc. *
    166,845       3,126,675  
Actuate Corp. *
    67,700       285,694  
Acxiom Corp. *
    116,000       2,125,120  
Advent Software, Inc.
    75,528       2,451,639  
Aerohive Networks, Inc. *
    12,000       100,800  
Amber Road, Inc. *
    13,100       179,470  
American Software, Inc., Class A
    42,400       394,744  
Angie’s List, Inc. *
    60,200       501,466  
Aspen Technology, Inc. *
    135,100       5,868,744  
AVG Technologies NV *
    51,100       868,700  
Bankrate, Inc. *
    98,300       1,657,338  
Barracuda Networks, Inc. *
    11,600       322,132  
Bazaarvoice, Inc. *
    68,500       507,585  
Benefitfocus, Inc. *(c)
    7,400       285,196  
Blackbaud, Inc.
    69,469       2,550,207  
Blackhawk Network Holdings, Inc. *(c)
    79,402       2,250,253  
Blucora, Inc. *
    63,100       1,077,117  
Borderfree, Inc. *
    8,800       117,128  
Bottomline Technologies de, Inc. *
    56,700       1,605,177  
Brightcove, Inc. *
    49,900       296,905  
BroadSoft, Inc. *
    42,200       1,029,680  
CACI International, Inc., Class A *
    34,900       2,407,751  
Callidus Software, Inc. *
    64,000       686,080  
Carbonite, Inc. *
    26,000       252,980  
Cardtronics, Inc. *
    67,100       2,587,376  
Care.com, Inc. *(c)
    9,800       93,002  
Cass Information Systems, Inc.
    17,640       796,093  
ChannelAdvisor Corp. *
    30,400       697,072  
Ciber, Inc. *
    120,800       421,592  
CommVault Systems, Inc. *
    69,800       3,351,796  
Computer Task Group, Inc.
    20,200       289,264  
Compuware Corp.
    322,300       2,932,930  
comScore, Inc. *
    50,800       1,838,452  
Comverse, Inc. *
    32,070       823,558  
Constant Contact, Inc. *
    47,585       1,481,321  
Convergys Corp.
    148,900       2,887,171  
Conversant, Inc. *
    100,900       2,358,033  
Cornerstone OnDemand, Inc. *
    78,000       3,263,520  
Covisint Corp. *(c)
    38,408       160,545  
CSG Systems International, Inc.
    51,100       1,330,644  
Cvent, Inc. *
    26,300       718,253  
Cyan, Inc. *(c)
    39,400       151,690  
Datalink Corp. *
    27,300       308,490  
Dealertrack Technologies, Inc. *
    78,636       2,954,354  
Demand Media, Inc. *
    72,754       395,054  
Demandware, Inc. *
    44,100       2,656,584  
Dice Holdings, Inc. *
    64,900       594,484  
Digimarc Corp.
    10,300       261,208  
Digital River, Inc. *
    52,800       754,512  
E2open, Inc. *
    34,000       550,120  
EarthLink Holdings Corp.
    147,381       580,681  
Ebix, Inc. (c)
    44,300       556,408  
Ellie Mae, Inc. *
    41,700       1,197,624  
Endurance International Group Holdings Inc *(c)
    44,200       602,446  
EnerNOC, Inc. *
    42,000       752,640  
Envestnet, Inc. *
    50,000       2,180,500  
EPAM Systems, Inc. *
    52,200       2,018,052  
Epiq Systems, Inc.
    48,700       702,254  
ePlus, Inc. *
    7,600       415,644  
Euronet Worldwide, Inc. *
    76,136       3,809,845  
EVERTEC, Inc.
    96,400       2,155,504  
Everyday Health, Inc. *
    11,100       184,482  
ExlService Holdings, Inc. *
    46,900       1,315,545  
Fair Isaac Corp.
    50,300       2,874,645  
Five9, Inc. *(c)
    15,000       109,200  
FleetMatics Group plc *
    54,800       1,731,132  
Forrester Research, Inc.
    16,017       619,538  
 
 
 
16 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Gigamon, Inc. *(c)
    35,500       409,670  
Global Cash Access Holdings, Inc. *
    104,100       871,317  
Global Eagle Entertainment, Inc. *
    55,900       570,180  
Glu Mobile, Inc. *(c)
    131,900       739,959  
Gogo, Inc. *(c)
    82,000       1,329,220  
GrubHub, Inc. *(c)
    13,100       475,399  
GTT Communications, Inc. *
    20,700       210,312  
Guidance Software, Inc. *
    31,700       245,358  
Guidewire Software, Inc. *
    99,700       4,037,850  
Heartland Payment Systems, Inc.
    54,500       2,588,750  
Higher One Holdings, Inc. *
    43,800       183,084  
iGATE Corp. *
    55,735       1,988,625  
Imperva, Inc. *
    30,800       682,836  
Infoblox, Inc. *
    80,300       973,236  
Information Services Group, Inc. *
    47,900       209,323  
Interactive Intelligence Group, Inc. *
    25,973       1,178,395  
Internap Network Services Corp. *
    75,700       545,797  
Intralinks Holdings, Inc. *
    61,900       496,438  
j2 Global, Inc.
    70,028       3,425,770  
Jive Software, Inc. *
    56,400       446,688  
Kofax, Ltd. *
    108,900       781,902  
Limelight Networks, Inc. *
    90,900       233,613  
Lionbridge Technologies, Inc. *
    99,900       572,427  
Liquidity Services, Inc. *
    35,400       477,546  
LivePerson, Inc. *
    78,700       927,086  
LogMeIn, Inc. *
    35,600       1,449,276  
Luxoft Holding, Inc. *
    11,500       365,585  
Manhattan Associates, Inc. *
    111,188       3,264,480  
ManTech International Corp., Class A
    34,500       931,500  
Marchex, Inc., Class B
    48,200       530,200  
Marin Software, Inc. *(c)
    38,600       353,962  
Marketo, Inc. *
    37,600       1,028,360  
Mavenir Systems, Inc. *
    10,300       116,287  
MAXIMUS, Inc.
    101,496       4,197,875  
Mentor Graphics Corp.
    140,967       2,784,098  
MicroStrategy, Inc., Class A *
    13,662       1,955,442  
Millennial Media, Inc. *(c)
    110,600       381,570  
Model N, Inc. *
    28,300       278,472  
ModusLink Global Solutions, Inc. *(c)
    58,700       218,951  
MoneyGram International, Inc. *
    42,800       618,460  
Monotype Imaging Holdings, Inc.
    58,600       1,751,554  
Monster Worldwide, Inc. *
    133,500       867,750  
Move, Inc. *
    57,400       838,040  
NetScout Systems, Inc. *
    55,400       2,356,162  
NeuStar, Inc., Class A *(c)
    88,400       2,462,824  
NIC, Inc.
    96,800       1,633,016  
OPOWER, Inc. *(c)
    11,400       182,400  
Park City Group, Inc. *
    14,000       147,140  
Paycom Software, Inc. *
    9,600       122,688  
Pegasystems, Inc.
    53,200       1,136,884  
Perficient, Inc. *
    53,397       907,215  
PRGX Global, Inc. *
    41,500       249,830  
Progress Software Corp. *
    74,620       1,729,692  
Proofpoint, Inc. *
    54,300       1,915,161  
PROS Holdings, Inc. *
    34,000       871,080  
Q2 Holdings, Inc. *
    14,500       190,965  
QAD, Inc., Class A
    8,800       166,320  
Qlik Technologies, Inc. *
    133,888       3,542,676  
Qualys, Inc. *
    29,500       704,755  
QuinStreet, Inc. *
    44,900       224,051  
Rally Software Development Corp. *
    36,500       371,205  
RealNetworks, Inc. *
    28,257       212,493  
RealPage, Inc. *
    76,600       1,233,643  
Reis, Inc.
    11,900       257,159  
Rocket Fuel, Inc. *(c)
    26,900       710,429  
Rosetta Stone, Inc. *
    31,100       299,804  
Sapiens International Corp. N.V. *
    43,366       313,103  
Sapient Corp. *
    169,863       2,507,178  
Science Applications International Corp.
    61,700       2,577,209  
SciQuest, Inc. *
    38,300       589,437  
Seachange International, Inc. *
    46,700       349,783  
ServiceSource International, Inc. *
    105,500       467,365  
Shutterstock, Inc. *
    22,300       1,738,062  
Silver Spring Networks, Inc. *
    51,400       548,952  
SPS Commerce, Inc. *
    23,400       1,248,390  
SS&C Technologies Holdings, Inc. *
    99,900       4,326,669  
Stamps.com, Inc. *
    19,400       613,622  
Sykes Enterprises, Inc. *
    59,793       1,237,715  
Synchronoss Technologies, Inc. *
    51,800       2,093,238  
Syntel, Inc. *
    22,900       1,977,873  
Take-Two Interactive Software, Inc. *
    145,204       3,249,665  
Tangoe, Inc. *
    56,800       783,840  
TechTarget, Inc. *
    19,000       144,400  
TeleCommunication Systems, Inc., Class A *
    67,800       213,570  
Telenav, Inc. *
    40,000       198,800  
TeleTech Holdings, Inc. *
    28,400       781,852  
Textura, Corp. *(c)
    27,400       684,178  
The Hackett Group, Inc.
    40,800       244,800  
The Rubicon Project, Inc. *
    11,600       138,156  
The Ultimate Software Group, Inc. *
    41,700       5,625,747  
TiVo, Inc. *
    168,503       2,268,050  
Travelzoo, Inc. *
    9,800       168,952  
Tremor Video, Inc. *(c)
    59,800       222,456  
TrueCar, Inc. *(c)
    11,400       154,698  
Trulia, Inc. *(c)
    54,205       3,281,029  
Tyler Technologies, Inc. *
    49,100       4,454,843  
Unisys Corp. *
    76,450       1,627,620  
Unwired Planet, Inc. *
    122,695       245,390  
Varonis Systems, Inc. *
    7,900       166,532  
VASCO Data Security International, Inc. *
    40,200       545,514  
Verint Systems, Inc. *
    88,372       4,148,182  
VirnetX Holding Corp. *(c)
    65,700       918,486  
Virtusa Corp. *
    38,100       1,191,768  
Vistaprint N.V. *
    48,600       2,394,036  
Vringo, Inc. *(c)
    95,600       311,656  
Web.com Group, Inc. *
    76,000       2,017,800  
WebMD Health Corp. *
    56,800       2,830,344  
WEX, Inc. *
    56,776       6,127,266  
Wix.com Ltd. *(c)
    20,300       344,085  
XO Group, Inc. *
    39,800       444,566  
 
 
 
 17

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Xoom Corp. *
    45,400       983,364  
YuMe, Inc. *(c)
    29,400       175,518  
Zendesk, Inc. *(c)
    16,700       290,413  
Zix Corp. *
    88,900       308,483  
                 
              224,048,689  
 
Technology Hardware & Equipment 4.7%
ADTRAN, Inc.
    82,800       1,841,472  
Aeroflex Holding Corp. *
    26,600       280,896  
Agilysys, Inc. *
    24,000       315,600  
Alliance Fiber Optic Products, Inc.
    16,400       219,432  
Anixter International, Inc.
    40,600       3,490,382  
Applied Optoelectronics, Inc. *
    21,700       390,600  
Aruba Networks, Inc. *
    156,600       2,796,876  
Badger Meter, Inc.
    22,203       1,107,930  
Bel Fuse, Inc., Class B
    14,100       333,324  
Belden, Inc.
    64,000       4,345,600  
Benchmark Electronics, Inc. *
    81,294       1,963,250  
Black Box Corp.
    24,092       498,704  
CalAmp Corp. *
    53,500       910,035  
Calix, Inc. *
    58,800       546,252  
Checkpoint Systems, Inc. *
    61,644       754,523  
Ciena Corp. *
    154,800       3,023,244  
Clearfield, Inc. *
    16,700       214,929  
Cognex Corp. *
    127,118       5,209,296  
Coherent, Inc. *
    36,651       2,159,110  
Comtech Telecommunications Corp.
    24,500       828,100  
Control4 Corp. *(c)
    16,800       282,408  
Cray, Inc. *
    59,800       1,585,896  
CTS Corp.
    52,200       907,758  
CUI Global, Inc. *
    30,300       188,163  
Daktronics, Inc.
    59,300       658,230  
Digi International, Inc. *
    33,900       280,014  
Dot Hill Systems Corp. *
    88,000       345,840  
DTS, Inc. *
    24,942       451,201  
Eastman Kodak Co. *(c)
    25,900       612,276  
Electro Rent Corp.
    25,200       384,300  
Electro Scientific Industries, Inc.
    39,800       238,004  
Electronics for Imaging, Inc. *
    68,609       3,023,599  
Emulex Corp. *
    129,190       759,637  
Extreme Networks, Inc. *
    135,200       635,440  
Fabrinet *
    51,500       957,900  
FARO Technologies, Inc. *
    25,200       1,275,876  
FEI Co.
    62,400       4,779,840  
Finisar Corp. *
    143,600       2,833,228  
GSI Group, Inc. *
    48,200       555,746  
Harmonic, Inc. *
    139,100       834,600  
II-VI, Inc. *
    76,900       1,055,068  
Immersion Corp. *
    46,379       633,073  
Infinera Corp. *
    187,100       1,721,320  
Insight Enterprises, Inc. *
    60,100       1,578,827  
InterDigital, Inc.
    59,300       2,614,537  
Intevac, Inc. *
    35,100       222,534  
InvenSense, Inc. *(c)
    104,300       2,399,943  
Itron, Inc. *
    59,100       2,126,418  
Ixia *
    80,464       860,965  
Kemet Corp. *
    59,100       291,363  
KVH Industries, Inc. *
    19,900       258,899  
Littelfuse, Inc.
    33,200       2,885,744  
Maxwell Technologies, Inc. *
    43,400       472,192  
Measurement Specialties, Inc. *
    23,400       2,012,166  
Mercury Systems, Inc. *
    54,501       602,236  
Mesa Laboratories, Inc.
    3,600       275,292  
Methode Electronics, Inc.
    56,700       1,813,266  
MTS Systems Corp.
    21,775       1,437,150  
Multi-Fineline Electronix, Inc. *
    12,100       118,096  
NETGEAR, Inc. *
    53,600       1,678,216  
Newport Corp. *
    57,700       998,787  
Nimble Storage, Inc. *
    13,600       351,968  
Numerex Corp., Class A *
    25,600       257,280  
Oclaro, Inc. *
    137,300       255,378  
Oplink Communications, Inc. *
    26,200       499,372  
OSI Systems, Inc. *
    30,100       1,995,630  
Park Electrochemical Corp.
    29,300       825,088  
ParkerVision, Inc. *(c)
    144,400       180,500  
PC Connection, Inc.
    12,500       255,375  
Plantronics, Inc.
    64,093       3,010,448  
Plexus Corp. *
    49,062       1,929,608  
Polycom, Inc. *
    202,700       2,598,614  
Procera Networks, Inc. *
    28,000       280,280  
QLogic Corp. *
    130,100       1,183,910  
Quantum Corp. *
    324,083       405,104  
RealD, Inc. *
    60,400       638,428  
Rofin-Sinar Technologies, Inc. *
    40,036       873,986  
Rogers Corp. *
    26,167       1,500,939  
Ruckus Wireless, Inc. *
    95,100       1,227,741  
Sanmina Corp. *
    120,600       2,808,774  
ScanSource, Inc. *
    43,605       1,561,495  
ShoreTel, Inc. *
    101,557       627,622  
Silicon Graphics International Corp. *
    53,400       507,834  
Sonus Networks, Inc. *
    360,558       1,272,770  
Speed Commerce, Inc. *
    57,100       177,581  
Super Micro Computer, Inc. *
    50,600       1,324,202  
SYNNEX Corp. *
    41,800       2,696,100  
Tessco Technologies, Inc.
    7,400       225,700  
TTM Technologies, Inc. *
    86,250       647,738  
Ubiquiti Networks, Inc. *(c)
    43,600       1,666,828  
Universal Display Corp. *
    61,452       1,884,118  
ViaSat, Inc. *
    61,119       3,573,628  
Viasystems Group, Inc. *
    7,000       68,530  
Violin Memory, Inc. *(c)
    117,600       465,696  
Vishay Precision Group, Inc. *
    16,500       238,095  
                 
              116,891,963  
 
Telecommunication Services 0.8%
8x8, Inc. *
    127,000       1,026,160  
Atlantic Tele-Network, Inc.
    15,300       895,203  
Boingo Wireless, Inc. *
    37,100       226,681  
Cincinnati Bell, Inc. *
    303,745       1,157,268  
Cogent Communications Holdings, Inc.
    70,700       2,453,997  
Consolidated Communications Holdings, Inc.
    62,825       1,406,024  
Enventis Corp.
    17,900       293,202  
FairPoint Communications, Inc. *
    28,900       421,940  
General Communication, Inc., Class A *
    50,300       555,312  
Globalstar, Inc. *(c)
    402,800       1,595,088  
Hawaiian Telcom Holdco, Inc. *
    16,213       457,207  
 
 
 
18 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
IDT Corp., Class B
    23,500       366,365  
inContact, Inc. *
    88,200       704,718  
Inteliquent, Inc.
    46,400       492,304  
Intelsat S.A. *
    40,100       743,454  
Iridium Communications, Inc. *(c)
    116,700       954,606  
Lumos Networks Corp.
    25,400       389,636  
magicJack VocalTec Ltd. *(c)
    26,400       376,728  
NTELOS Holdings Corp. (c)
    26,050       313,642  
ORBCOMM, Inc. *
    60,900       382,452  
Premiere Global Services, Inc. *
    70,000       917,000  
RingCentral, Inc., Class A *
    41,100       613,623  
Shenandoah Telecommunications Co.
    34,800       964,308  
Spok Holdings, Inc.
    36,500       546,405  
Vonage Holdings Corp. *
    260,200       905,496  
                 
              19,158,819  
 
Transportation 1.8%
Air Transport Services Group, Inc. *
    72,100       553,007  
Allegiant Travel Co.
    20,200       2,378,752  
ArcBest Corp.
    39,372       1,249,274  
Atlas Air Worldwide Holdings, Inc. *
    37,400       1,279,828  
Baltic Trading Ltd. (c)
    72,200       367,498  
Celadon Group, Inc.
    32,600       692,424  
Echo Global Logistics, Inc. *
    34,500       759,345  
Forward Air Corp.
    45,682       2,045,183  
Hawaiian Holdings, Inc. *
    66,000       919,380  
Heartland Express, Inc.
    79,800       1,791,510  
Hub Group, Inc., Class A *
    53,492       2,470,261  
International Shipholding Corp.
    7,300       154,760  
JetBlue Airways Corp. *
    366,100       3,924,592  
Knight Transportation, Inc.
    88,400       2,118,064  
Knightsbridge Tankers Ltd.
    50,800       579,120  
Marten Transport Ltd.
    37,700       763,048  
Matson, Inc.
    65,600       1,767,920  
Navios Maritime Holdings, Inc. (c)
    116,400       927,708  
P.A.M. Transportation Services, Inc. *
    4,000       139,040  
Park-Ohio Holdings Corp.
    13,800       819,168  
Patriot Transportation Holding, Inc. *
    8,700       289,362  
Quality Distribution, Inc. *
    40,200       536,670  
Republic Airways Holdings, Inc. *
    74,100       736,554  
Roadrunner Transportation Systems, Inc. *
    40,900       1,028,226  
Safe Bulkers, Inc.
    57,100       416,259  
Saia, Inc. *
    35,100       1,602,315  
Scorpio Bulkers, Inc. *
    197,400       1,518,006  
SkyWest, Inc.
    73,612       786,912  
Swift Transportation Co. *
    124,600       2,548,070  
Ultrapetrol Bahamas Ltd. *(c)
    33,800       110,188  
Universal Truckload Services, Inc.
    11,747       285,335  
USA Truck, Inc. *
    9,200       170,200  
UTi Worldwide, Inc. *
    136,800       1,294,128  
Werner Enterprises, Inc.
    68,075       1,673,283  
Wesco Aircraft Holdings, Inc. *
    76,900       1,457,255  
XPO Logistics, Inc. *
    76,469       2,362,127  
YRC Worldwide, Inc. *(c)
    47,200       1,235,696  
                 
              43,750,468  
 
Utilities 3.3%
ALLETE, Inc.
    63,154       2,963,186  
American States Water Co.
    55,800       1,704,690  
Artesian Resources Corp., Class A
    10,500       228,795  
Atlantic Power Corp. (c)
    168,900       636,753  
Avista Corp.
    89,512       2,777,557  
Black Hills Corp.
    66,298       3,494,567  
California Water Service Group
    71,574       1,629,740  
Chesapeake Utilities Corp.
    13,800       898,242  
Cleco Corp.
    88,400       4,927,416  
Connecticut Water Service, Inc.
    15,000       478,350  
Dynegy, Inc. *
    148,200       3,934,710  
El Paso Electric Co.
    58,316       2,148,945  
IDACORP, Inc.
    74,587       3,994,134  
MGE Energy, Inc.
    50,940       1,916,363  
Middlesex Water Co.
    25,485       517,855  
New Jersey Resources Corp.
    62,700       3,202,716  
Northwest Natural Gas Co.
    39,895       1,724,262  
NorthWestern Corp.
    58,969       2,725,547  
NRG Yield, Inc., Class A (c)
    29,500       1,541,375  
ONE Gas, Inc.
    76,300       2,746,800  
Ormat Technologies, Inc.
    27,700       714,383  
Otter Tail Corp.
    54,909       1,535,256  
Pattern Energy Group, Inc.
    57,900       1,794,321  
Piedmont Natural Gas Co., Inc.
    114,400       3,968,536  
PNM Resources, Inc.
    118,200       3,031,830  
Portland General Electric Co.
    116,717       3,726,774  
SJW Corp.
    24,600       659,526  
South Jersey Industries, Inc.
    47,860       2,563,860  
Southwest Gas Corp.
    68,996       3,417,372  
The Empire District Electric Co.
    62,100       1,522,071  
The Laclede Group, Inc.
    63,721       2,993,613  
UIL Holdings Corp.
    84,010       2,949,591  
Unitil Corp.
    22,100       707,200  
UNS Energy Corp.
    61,017       3,686,647  
WGL Holdings, Inc.
    77,324       3,014,089  
York Water Co.
    17,000       323,510  
                 
              80,800,582  
                 
Total Common Stock
(Cost $1,783,186,256)     2,433,077,825  
         
                 
                 
 
 Rights 0.0% of net assets
 
Automobiles & Components 0.0%
Contra Furiex Pharmaceuticals CVR (a)(b)
    11,000       107,470  
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
Omthera Pharmaceutical CVR *(a)(b)
    8,400       —  
 
 
 
 19

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Telecommunication Services 0.0%
Contra Leap Wireless CVR *(a)(b)
    84,700       213,444  
                 
Total Rights
(Cost $320,914)     320,914  
         
                 
                 
 
 Warrants 0.0% of net assets
 
Energy 0.0%
Magnum Hunter Resources Corp. *(a)(b)
    24,500       —  
                 
Total Warrants
(Cost $—)     —  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 2.0% of net assets
 
Time Deposits 1.9%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    20,741,512       20,741,512  
DNB
0.03%, 08/01/14
    26,550,762       26,550,762  
                 
              47,292,274  
 
U.S. Treasury Obligations 0.1%
U.S. Treasury Bills
0.01%, 09/18/14 (d)(e)
    500,000       499,990  
0.02%, 09/18/14 (d)(e)
    2,300,000       2,299,954  
                 
              2,799,944  
                 
Total Short-Term Investments
(Cost $50,092,218)     50,092,218  
         
 
End of Investments.
                 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 5.2% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (f)
    127,652,541       127,652,541  
                 
Total Collateral Invested for Securities on Loan
(Cost $127,652,541)     127,652,541  
         
 
End of Collateral Invested for Securities on Loan.
 
At 07/31/14 tax basis cost of the fund’s investments was $1,841,605,418 and the unrealized appreciation and depreciation were $762,797,672 and ($120,912,133), respectively, with a net unrealized appreciation of $641,885,539.
 
* Non-income producing security.
(a) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
(b) Illiquid security. At the period end, the value of these amounted to $320,914 or 0.0% of net assets.
(c) All or a portion of this security is on loan. Securities on loan were valued at $120,915,241.
(d) All or a portion of this security is held as collateral for open futures contracts.
(e) The rate shown is the purchase yield.
(f) The rate shown is the 7-day yield.
 
     
CVR —
  Contingent Value Rights
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
Russell 2000 Index, mini, Long, expires 09/19/14
    320       35,734,400       (1,269,711 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where
 
 
 
20 

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due
 
 
 
 21

 

 
 Schwab Small-Cap Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $2,433,077,825       $—       $—       $2,433,077,825  
Rights1
    —       —       320,914       320,914  
Warrants1
    —       —       —       —  
Short-Term Investments1
    —       50,092,218       —       50,092,218  
                                 
Total
    $2,433,077,825       $50,092,218       $320,914       $2,483,490,957  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $127,652,541       $—       $—       $127,652,541  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($1,269,711 )     $—       $—       ($1,269,711 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Rights
    $—       $—       $—       $320,914       $—       $—       $—       $320,914  
                                                                 
Total
    $—       $—       $—       $320,914       $—       $—       $—       $320,914  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46818JUL14
 
 
 
22 

 

Schwab Capital Trust
Schwab Total Stock Market Index Fund®
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  98 .2%   Common Stock     2,288,903,498       3,698,293,889  
  0 .0%   Rights     32,983       34,042  
  0 .0%   Warrants     —       —  
  1 .6%   Short-Term Investments     58,727,205       58,727,205  
 
 
  99 .8%   Total Investments     2,347,663,686       3,757,055,136  
  0 .6%   Collateral Invested for Securities on Loan     23,686,331       23,686,331  
  (0 .4%)   Other Assets and Liabilities, Net             (16,610,596 )
 
 
  100 .0%   Net Assets             3,764,130,871  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 98.2% of net assets
 
Automobiles & Components 1.3%
American Axle & Manufacturing Holdings, Inc. *
    13,400       246,426  
Autoliv, Inc.
    15,800       1,572,258  
BorgWarner, Inc.
    39,100       2,433,975  
Cooper Tire & Rubber Co.
    8,900       257,121  
Cooper-Standard Holding, Inc. *
    2,500       155,000  
Dana Holding Corp.
    24,800       555,024  
Delphi Automotive plc
    48,485       3,238,798  
Dorman Products, Inc. *
    5,000       216,900  
Drew Industries, Inc.
    5,400       243,000  
Federal-Mogul Holdings Corp. *
    12,900       205,626  
Ford Motor Co.
    685,868       11,673,474  
General Motors Co.
    228,785       7,737,509  
Gentex Corp.
    23,700       684,930  
Gentherm, Inc. *
    5,307       222,098  
Harley-Davidson, Inc.
    38,693       2,392,001  
Johnson Controls, Inc.
    116,200       5,489,288  
Lear Corp.
    14,000       1,318,380  
Modine Manufacturing Co. *
    12,100       166,617  
Standard Motor Products, Inc.
    7,500       270,375  
Stoneridge, Inc. *
    13,100       143,707  
Strattec Security Corp.
    1,500       94,245  
Tenneco, Inc. *
    10,080       642,096  
Tesla Motors, Inc. *
    14,370       3,208,821  
The Goodyear Tire & Rubber Co.
    47,237       1,188,955  
Thor Industries, Inc.
    7,500       397,275  
TRW Automotive Holdings Corp. *
    20,400       2,086,716  
Visteon Corp. *
    8,000       764,000  
Winnebago Industries, Inc. *
    7,400       173,900  
                 
              47,778,515  
 
Banks 5.8%
1st Source Corp.
    5,528       156,940  
Ameris Bancorp
    6,348       138,640  
Arrow Financial Corp.
    3,390       86,106  
Associated Banc-Corp.
    25,000       448,000  
Astoria Financial Corp.
    19,300       248,584  
BancFirst Corp.
    2,300       140,070  
BancorpSouth, Inc.
    16,112       336,257  
Bank Mutual Corp.
    18,268       110,156  
Bank of America Corp.
    1,824,003       27,816,046  
Bank of Hawaii Corp.
    6,500       371,670  
Bank of the Ozarks, Inc.
    11,200       344,624  
BankUnited, Inc.
    19,696       615,303  
Banner Corp.
    5,571       224,177  
BB&T Corp.
    124,658       4,614,839  
BBCN Bancorp, Inc.
    19,100       286,882  
Beneficial Mutual Bancorp, Inc. *
    9,000       117,720  
Berkshire Hills Bancorp, Inc.
    8,000       193,360  
BofI Holding, Inc. *
    2,100       156,639  
BOK Financial Corp.
    3,740       247,738  
Boston Private Financial Holdings, Inc.
    20,729       258,698  
Brookline Bancorp, Inc.
    11,705       105,696  
Bryn Mawr Bank Corp.
    3,400       100,300  
Camden National Corp.
    2,500       88,575  
Capital Bank Financial Corp., Class A *
    10,300       234,634  
Capital City Bank Group, Inc.
    6,875       92,331  
Capitol Federal Financial, Inc.
    21,963       256,967  
Cardinal Financial Corp.
    3,700       65,342  
Cathay General Bancorp
    16,006       409,594  
Central Pacific Financial Corp.
    10,269       183,815  
Century Bancorp, Inc., Class A
    800       28,016  
Chemical Financial Corp.
    8,683       239,651  
CIT Group, Inc.
    33,100       1,625,541  
Citigroup, Inc.
    526,870       25,769,212  
City Holding Co.
    4,800       199,920  
City National Corp.
    7,800       586,950  
Columbia Banking System, Inc.
    9,951       253,651  
Comerica, Inc.
    31,159       1,566,051  
Commerce Bancshares, Inc.
    12,933       582,761  
Community Bank System, Inc.
    6,400       225,472  
Community Trust Bancorp, Inc.
    2,735       95,698  
Cullen/Frost Bankers, Inc.
    9,100       709,527  
CVB Financial Corp.
    19,411       296,794  
Dime Community Bancshares, Inc.
    6,875       103,950  
Eagle Bancorp, Inc. *
    5,760       191,866  
East West Bancorp, Inc.
    24,100       820,846  
EverBank Financial Corp.
    15,400       292,600  
F.N.B. Corp.
    31,061       382,050  
Fifth Third Bancorp
    145,814       2,986,271  
First BanCorp *
    26,579       136,616  
First Busey Corp.
    20,200       112,110  
First Citizens BancShares, Inc., Class A
    900       200,115  
 
 
 
 1

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
First Commonwealth Financial Corp.
    24,904       213,178  
First Financial Bancorp
    10,339       168,939  
First Financial Bankshares, Inc.
    8,200       240,916  
First Financial Corp.
    2,600       79,716  
First Horizon National Corp.
    45,216       532,644  
First Interstate BancSystem, Inc.
    8,900       232,290  
First Merchants Corp.
    9,041       180,187  
First Midwest Bancorp, Inc.
    15,825       256,365  
First Niagara Financial Group, Inc.
    58,465       502,799  
First Republic Bank
    22,724       1,061,665  
First United Corp. *
    2,200       18,744  
FirstMerit Corp.
    27,289       480,286  
Flagstar Bancorp, Inc. *
    8,060       147,498  
Flushing Financial Corp.
    6,800       126,344  
Fulton Financial Corp.
    28,262       320,491  
Glacier Bancorp, Inc.
    10,497       277,961  
Great Southern Bancorp, Inc.
    3,400       106,012  
Hancock Holding Co.
    12,344       400,439  
Hanmi Financial Corp.
    7,000       147,840  
Hawthorn Bancshares, Inc.
    947       11,743  
Heartland Financial USA, Inc.
    2,500       59,575  
Heritage Financial Corp.
    6,135       97,608  
Home BancShares, Inc.
    11,500       345,690  
Home Loan Servicing Solutions Ltd.
    10,400       222,560  
Hudson City Bancorp, Inc.
    78,531       765,677  
Huntington Bancshares, Inc.
    137,099       1,346,312  
Iberiabank Corp.
    6,075       398,581  
Independent Bank Corp., Massachusetts
    5,700       208,107  
Independent Bank Corp., Michigan
    431       5,706  
International Bancshares Corp.
    7,784       197,324  
Investors Bancorp, Inc.
    58,997       610,619  
JPMorgan Chase & Co.
    656,463       37,858,221  
Kearny Financial Corp. *
    9,000       135,630  
KeyCorp
    148,290       2,007,847  
Lakeland Financial Corp.
    3,700       134,643  
M&T Bank Corp.
    22,866       2,778,219  
MainSource Financial Group, Inc.
    5,535       90,387  
MB Financial, Inc.
    8,133       219,103  
Merchants Bancshares, Inc.
    3,650       106,069  
MGIC Investment Corp. *
    62,600       462,614  
MutualFirst Financial, Inc.
    2,000       38,460  
National Bank Holdings Corp., Class A
    12,800       253,568  
National Penn Bancshares, Inc.
    17,675       182,053  
Nationstar Mortgage Holdings, Inc. *(c)
    5,500       167,805  
NBT Bancorp, Inc.
    11,500       268,755  
New York Community Bancorp, Inc.
    74,285       1,179,646  
North Valley Bancorp *
    300       6,312  
Northfield Bancorp, Inc.
    15,765       201,161  
Northrim BanCorp, Inc.
    4,281       104,885  
Northwest Bancshares, Inc.
    19,350       239,940  
OceanFirst Financial Corp.
    7,150       113,757  
Ocwen Financial Corp. *
    18,620       561,765  
OFG Bancorp
    8,163       130,281  
Old National Bancorp
    16,800       224,784  
Oritani Financial Corp.
    6,000       88,800  
PacWest Bancorp
    15,333       638,926  
Park National Corp.
    2,845       214,342  
People’s United Financial, Inc.
    49,587       720,003  
Peoples Financial Corp.
    3,000       39,420  
Pinnacle Financial Partners, Inc.
    6,475       239,575  
Popular, Inc. *
    19,720       629,068  
Premier Financial Bancorp, Inc.
    2,645       41,368  
PrivateBancorp, Inc.
    13,000       374,400  
Prosperity Bancshares, Inc.
    11,300       656,869  
Provident Financial Holdings, Inc.
    4,350       61,988  
Provident Financial Services, Inc.
    14,017       234,224  
Radian Group, Inc.
    34,300       434,238  
Regions Financial Corp.
    243,273       2,466,788  
Renasant Corp.
    8,910       253,044  
Republic Bancorp, Inc., Class A
    6,521       151,678  
S&T Bancorp, Inc.
    4,400       107,052  
Sandy Spring Bancorp, Inc.
    5,900       138,119  
Seacoast Banking Corp of Florida *
    3,936       40,738  
Shore Bancshares, Inc. *
    1,250       11,063  
Signature Bank *
    8,200       937,998  
Simmons First National Corp., Class A
    4,000       158,520  
South State Corp.
    5,584       324,486  
Southside Bancshares, Inc. (c)
    4,741       138,959  
Southwest Bancorp, Inc.
    7,800       120,276  
State Bank Financial Corp.
    6,200       102,362  
Sterling Bancorp
    19,185       228,302  
Stock Yards Bancorp, Inc.
    3,670       107,421  
Suffolk Bancorp *
    4,600       93,150  
Sun Bancorp, Inc. *
    19,318       72,636  
SunTrust Banks, Inc.
    91,857       3,495,159  
Susquehanna Bancshares, Inc.
    27,568       280,642  
SVB Financial Group *
    8,000       872,160  
Synovus Financial Corp.
    22,042       519,089  
Taylor Capital Group, Inc. *
    8,900       189,748  
TCF Financial Corp.
    32,100       507,501  
Texas Capital Bancshares, Inc. *
    7,800       405,990  
TFS Financial Corp. *
    19,500       262,860  
The First of Long Island Corp.
    4,000       140,720  
The PNC Financial Services Group, Inc.
    92,042       7,598,988  
Timberland Bancorp, Inc.
    2,000       20,540  
Tompkins Financial Corp.
    4,024       178,988  
Towne Bank
    3,800       56,164  
Tree.com, Inc. *
    4,444       113,411  
Trico Bancshares
    5,400       120,798  
TrustCo Bank Corp.
    20,657       136,130  
Trustmark Corp.
    14,762       339,969  
U.S. Bancorp
    315,837       13,274,629  
UMB Financial Corp.
    7,774       440,242  
Umpqua Holdings Corp.
    31,951       540,611  
Union Bankshares Corp.
    12,893       307,885  
United Bankshares, Inc.
    12,300       394,584  
United Community Banks, Inc.
    11,678       193,271  
Valley National Bancorp
    30,542       292,592  
ViewPoint Financial Group, Inc.
    8,700       218,718  
Walker & Dunlop, Inc. *
    9,700       132,405  
Washington Federal, Inc.
    14,942       313,184  
Washington Trust Bancorp, Inc.
    3,600       123,840  
Webster Financial Corp.
    15,963       457,659  
Wells Fargo & Co.
    831,386       42,317,547  
WesBanco, Inc.
    7,756       231,749  
 
 
 
2 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Westamerica Bancorp
    5,200       248,664  
Western Alliance Bancorp *
    16,600       380,140  
Wilshire Bancorp, Inc.
    9,900       93,258  
Wintrust Financial Corp.
    8,900       412,337  
WSFS Financial Corp.
    2,000       143,180  
Zions Bancorp
    30,525       879,730  
                 
              219,545,987  
 
Capital Goods 7.8%
3M Co.
    107,890       15,200,622  
A.O. Smith Corp.
    11,800       551,060  
AAON, Inc.
    10,279       201,674  
AAR Corp.
    8,400       225,960  
Aceto Corp.
    7,900       132,404  
Actuant Corp., Class A
    10,280       331,838  
Acuity Brands, Inc.
    7,500       804,525  
AECOM Technology Corp. *
    16,100       546,595  
Aegion Corp. *
    4,300       98,513  
Aerovironment, Inc. *
    4,200       132,258  
AGCO Corp.
    15,462       753,154  
Air Lease Corp.
    13,100       451,295  
Aircastle Ltd.
    14,100       253,095  
Alamo Group, Inc.
    2,500       118,825  
Albany International Corp., Class A
    6,718       240,773  
Allegion plc
    14,433       742,289  
Alliant Techsystems, Inc.
    5,537       719,422  
Allison Transmission Holdings, Inc.
    28,555       836,090  
Altra Industrial Motion Corp.
    4,300       134,805  
American Railcar Industries, Inc.
    2,400       164,208  
American Science & Engineering, Inc.
    2,000       125,600  
American Superconductor Corp. *
    5,200       10,348  
American Woodmark Corp. *
    4,000       117,600  
AMETEK, Inc.
    43,459       2,116,019  
Apogee Enterprises, Inc.
    6,600       214,170  
Applied Industrial Technologies, Inc.
    6,525       316,202  
Armstrong World Industries, Inc. *
    8,495       413,537  
Astec Industries, Inc.
    5,700       221,559  
Astronics Corp. *
    2,125       123,250  
AZZ, Inc.
    5,700       248,748  
B/E Aerospace, Inc. *
    18,000       1,532,520  
Barnes Group, Inc.
    6,600       226,050  
Beacon Roofing Supply, Inc. *
    6,600       182,424  
Blount International, Inc. *
    15,900       207,654  
Breeze-Eastern Corp. *
    500       5,255  
Briggs & Stratton Corp.
    11,400       208,962  
Builders FirstSource, Inc. *
    17,100       101,574  
Carlisle Cos., Inc.
    10,500       840,210  
Caterpillar, Inc.
    109,306       11,012,579  
Chart Industries, Inc. *
    4,400       334,620  
Chicago Bridge & Iron Co., N.V.
    17,800       1,055,896  
CIRCOR International, Inc.
    3,750       269,513  
CLARCOR, Inc.
    7,300       432,963  
Colfax Corp. *
    16,400       1,032,708  
Columbus McKinnon Corp.
    4,300       99,975  
Comfort Systems USA, Inc.
    7,700       114,730  
Crane Co.
    8,000       548,880  
Cubic Corp.
    4,500       197,370  
Cummins, Inc.
    29,500       4,112,005  
Curtiss-Wright Corp.
    9,100       577,941  
Danaher Corp.
    103,574       7,652,047  
Deere & Co.
    63,200       5,378,952  
DigitalGlobe, Inc. *
    12,322       322,220  
Donaldson Co., Inc.
    22,100       857,259  
Dover Corp.
    29,661       2,543,727  
Ducommun, Inc. *
    3,200       88,480  
DXP Enterprises, Inc. *
    1,700       120,751  
Dycom Industries, Inc. *
    5,300       149,036  
Dynamic Materials Corp.
    6,800       139,264  
Eaton Corp. plc
    82,677       5,615,422  
EMCOR Group, Inc.
    12,700       519,811  
Emerson Electric Co.
    121,054       7,705,087  
Encore Wire Corp.
    4,600       192,924  
EnerSys
    7,500       475,725  
Engility Holdings, Inc. *
    4,116       142,249  
EnPro Industries, Inc. *
    4,900       335,258  
ESCO Technologies, Inc.
    3,900       130,845  
Esterline Technologies Corp. *
    5,900       640,445  
Exelis, Inc.
    34,900       587,716  
Fastenal Co.
    48,332       2,143,524  
Federal Signal Corp.
    12,800       185,088  
Flowserve Corp.
    23,300       1,725,132  
Fluor Corp.
    28,519       2,078,180  
Fortune Brands Home & Security, Inc.
    27,400       1,035,446  
Foster Wheeler AG
    15,200       500,992  
Franklin Electric Co., Inc.
    5,600       205,240  
FreightCar America, Inc.
    2,500       53,950  
FuelCell Energy, Inc. *(c)
    29,400       72,912  
Furmanite Corp. *
    7,200       65,880  
GATX Corp.
    8,900       551,800  
GenCorp, Inc. *
    11,600       205,900  
Generac Holdings, Inc. *
    12,500       542,500  
General Cable Corp.
    6,700       148,941  
General Dynamics Corp.
    56,500       6,597,505  
General Electric Co.
    1,739,318       43,743,848  
Gibraltar Industries, Inc. *
    6,300       92,547  
Graco, Inc.
    10,812       801,710  
GrafTech International Ltd. *
    16,600       139,440  
Granite Construction, Inc.
    8,150       265,283  
Great Lakes Dredge & Dock Corp. *
    11,600       83,752  
Griffon Corp.
    15,100       162,627  
H&E Equipment Services, Inc. *
    6,800       246,024  
Hardinge, Inc.
    4,800       57,264  
Harsco Corp.
    11,300       285,551  
HD Supply Holdings, Inc. *
    16,900       429,598  
HEICO Corp.
    8,375       411,715  
Hexcel Corp. *
    16,400       610,900  
Hillenbrand, Inc.
    8,800       264,440  
Honeywell International, Inc.
    135,980       12,487,043  
Hubbell, Inc., Class B
    9,300       1,087,542  
Huntington Ingalls Industries, Inc.
    8,172       742,998  
Hyster-Yale Materials Handling, Inc.
    2,300       184,230  
IDEX Corp.
    13,925       1,055,793  
Illinois Tool Works, Inc.
    66,800       5,502,316  
Ingersoll-Rand plc
    43,300       2,545,607  
Integrated Electrical Services, Inc. *
    5,105       32,519  
ITT Corp.
    15,000       689,550  
Jacobs Engineering Group, Inc. *
    21,700       1,102,577  
 
 
 
 3

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
John Bean Technologies Corp.
    4,983       129,807  
Joy Global, Inc.
    17,550       1,040,013  
Kadant, Inc.
    3,001       114,458  
Kaman Corp.
    5,700       228,057  
KBR, Inc.
    24,000       495,840  
Kennametal, Inc.
    14,700       621,516  
Kratos Defense & Security Solutions, Inc. *
    10,180       74,314  
L-3 Communications Holdings, Inc.
    14,600       1,532,416  
L.B. Foster Co., Class A
    1,400       65,310  
Lawson Products, Inc. *
    5,500       103,950  
Layne Christensen Co. *
    4,500       48,825  
Lennox International, Inc.
    7,471       637,426  
Lincoln Electric Holdings, Inc.
    13,600       903,584  
Lindsay Corp. (c)
    3,100       250,945  
Lockheed Martin Corp.
    46,535       7,769,949  
Lydall, Inc. *
    5,500       138,765  
Magnetek, Inc. *
    1,650       41,630  
Masco Corp.
    60,300       1,254,240  
MasTec, Inc. *
    8,550       232,475  
Meritor, Inc. *
    22,600       284,082  
Moog, Inc., Class A *
    7,587       500,894  
MRC Global, Inc. *
    15,600       418,548  
MSC Industrial Direct Co., Inc., Class A
    8,000       682,320  
Mueller Industries, Inc.
    11,800       328,394  
Mueller Water Products, Inc., Class A
    23,139       179,327  
MYR Group, Inc. *
    8,500       210,885  
National Presto Industries, Inc. (c)
    2,900       185,890  
Navistar International Corp. *
    11,600       407,972  
NCI Building Systems, Inc. *
    14,480       242,685  
NN, Inc.
    1,800       52,200  
Nordson Corp.
    9,500       714,115  
Nortek, Inc. *
    3,200       255,264  
Northrop Grumman Corp.
    37,659       4,642,225  
NOW, Inc. *
    18,205       586,019  
Omega Flex, Inc.
    700       11,858  
Orbital Sciences Corp. *
    12,600       323,442  
Oshkosh Corp.
    14,300       660,946  
Owens Corning
    18,700       636,735  
PACCAR, Inc.
    60,922       3,793,613  
Pall Corp.
    18,500       1,433,195  
Parker Hannifin Corp.
    25,700       2,954,215  
Pentair plc
    34,885       2,235,082  
Polypore International, Inc. *
    6,100       262,910  
Powell Industries, Inc.
    2,800       163,548  
Precision Castparts Corp.
    25,202       5,766,218  
Preformed Line Products Co.
    1,000       54,190  
Primoris Services Corp.
    6,900       164,772  
Proto Labs, Inc. *
    2,800       226,800  
Quanex Building Products Corp.
    6,125       104,676  
Quanta Services, Inc. *
    36,171       1,211,367  
Raven Industries, Inc.
    5,600       156,072  
Raytheon Co.
    54,477       4,944,877  
RBC Bearings, Inc.
    3,000       166,440  
Regal-Beloit Corp.
    8,700       611,523  
Rexnord Corp. *
    14,500       390,195  
Rockwell Automation, Inc.
    24,231       2,705,633  
Rockwell Collins, Inc.
    24,200       1,773,134  
Roper Industries, Inc.
    17,559       2,529,725  
Rush Enterprises, Inc., Class A *
    8,200       288,886  
Sensata Technologies Holding N.V. *
    27,300       1,262,352  
Simpson Manufacturing Co., Inc.
    6,200       188,542  
Snap-on, Inc.
    10,580       1,271,716  
SolarCity Corp. *(c)
    9,100       650,923  
Spirit AeroSystems Holdings, Inc., Class A *
    18,600       605,802  
SPX Corp.
    7,110       704,814  
Standex International Corp.
    3,000       197,850  
Stanley Black & Decker, Inc.
    27,513       2,406,012  
Sun Hydraulics Corp.
    5,600       204,288  
TAL International Group, Inc. *
    6,000       265,200  
Taser International, Inc. *
    11,800       142,308  
Tecumseh Products Co. *
    9,100       44,317  
Teledyne Technologies, Inc. *
    6,757       616,238  
Tennant Co.
    4,200       306,390  
Terex Corp.
    18,400       634,984  
Textainer Group Holdings Ltd. (c)
    5,200       190,164  
Textron, Inc.
    49,500       1,800,315  
The Babcock & Wilcox Co.
    17,400       540,096  
The Boeing Co.
    117,208       14,121,220  
The Gorman-Rupp Co.
    5,141       148,986  
The Greenbrier Cos., Inc.
    5,800       373,810  
The KEYW Holding Corp. *(c)
    8,400       110,040  
The Manitowoc Co., Inc.
    23,200       616,192  
The Middleby Corp. *
    9,300       677,598  
The Timken Co.
    13,100       580,330  
The Toro Co.
    10,600       628,898  
Thermon Group Holdings, Inc. *
    9,500       231,610  
Titan International, Inc.
    6,925       103,321  
Titan Machinery, Inc. *(c)
    3,600       52,776  
TransDigm Group, Inc.
    8,400       1,410,528  
Trex Co., Inc. *
    5,400       152,010  
TriMas Corp. *
    9,293       294,402  
Trinity Industries, Inc.
    28,300       1,235,012  
Triumph Group, Inc.
    8,100       513,135  
Tutor Perini Corp. *
    7,100       193,333  
United Rentals, Inc. *
    16,400       1,736,760  
United Technologies Corp.
    146,300       15,383,445  
Universal Forest Products, Inc.
    4,600       201,388  
URS Corp.
    10,700       612,789  
USG Corp. *
    16,900       447,005  
Valmont Industries, Inc.
    4,300       626,209  
Veritiv Corp. *
    1,466       58,523  
Vicor Corp. *
    9,900       78,012  
W.W. Grainger, Inc.
    10,800       2,539,620  
Wabash National Corp. *
    11,200       152,432  
WABCO Holdings, Inc. *
    10,233       997,513  
Wabtec Corp.
    15,756       1,271,194  
Watsco, Inc.
    4,200       376,194  
Watts Water Technologies, Inc., Class A
    4,000       233,840  
WESCO International, Inc. *
    8,100       635,769  
Woodward, Inc.
    10,500       524,580  
Xylem, Inc.
    30,500       1,076,345  
                 
              291,746,871  
 
Commercial & Professional Supplies 1.1%
ABM Industries, Inc.
    7,200       177,192  
Acacia Research Corp.
    15,600       266,136  
ACCO Brands Corp. *
    42,001       278,047  
 
 
 
4 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
AMREP Corp. *
    2,500       14,300  
ARC Document Solutions, Inc. *
    7,000       38,150  
Brady Corp., Class A
    6,400       167,360  
Casella Waste Systems, Inc., Class A *
    13,300       62,776  
CDI Corp.
    5,500       76,285  
Cenveo, Inc. *(c)
    7,300       24,601  
Cintas Corp.
    16,650       1,042,290  
Civeo Corp. *
    17,200       436,880  
Clean Harbors, Inc. *
    9,100       524,433  
Compx International, Inc.
    2,000       21,030  
Copart, Inc. *
    17,618       588,089  
Covanta Holding Corp.
    26,400       539,088  
CRA International, Inc. *
    4,200       100,296  
Deluxe Corp.
    7,600       418,076  
Ennis, Inc.
    6,500       92,170  
Equifax, Inc.
    21,895       1,665,990  
Exponent, Inc.
    3,300       234,564  
FTI Consulting, Inc. *
    5,700       210,672  
G&K Services, Inc., Class A
    4,100       197,169  
GP Strategies Corp. *
    1,500       40,815  
Healthcare Services Group, Inc.
    12,656       330,828  
Heidrick & Struggles International, Inc.
    5,000       93,350  
Herman Miller, Inc.
    8,700       254,388  
HNI Corp.
    6,400       226,176  
Hudson Global, Inc. *
    3,220       12,397  
Huron Consulting Group, Inc. *
    5,000       302,200  
ICF International, Inc. *
    6,500       224,705  
IHS, Inc., Class A *
    11,000       1,445,070  
InnerWorkings, Inc. *
    7,400       60,310  
Insperity, Inc.
    6,800       216,988  
Interface, Inc.
    8,400       133,140  
Iron Mountain, Inc.
    28,138       942,904  
KAR Auction Services, Inc.
    22,500       659,475  
Kelly Services, Inc., Class A
    5,700       90,858  
Kforce, Inc.
    7,105       141,318  
Kimball International, Inc., Class B
    9,100       143,507  
Knoll, Inc.
    7,000       117,670  
Korn/Ferry International *
    6,600       194,172  
Manpowergroup, Inc.
    14,537       1,132,287  
Mastech Holdings, Inc.
    675       8,046  
McGrath RentCorp
    4,600       158,930  
Mistras Group, Inc. *
    4,000       84,480  
Mobile Mini, Inc.
    6,200       234,112  
MSA Safety, Inc.
    4,700       243,366  
Multi-Color Corp.
    4,625       182,086  
Navigant Consulting, Inc. *
    14,000       228,480  
Nielsen N.V.
    52,600       2,425,386  
NL Industries, Inc.
    7,800       67,860  
On Assignment, Inc. *
    6,500       175,565  
Performant Financial Corp. *
    7,700       73,843  
Pitney Bowes, Inc.
    35,500       960,630  
Quad Graphics, Inc.
    9,800       206,976  
R.R. Donnelley & Sons Co.
    36,638       636,036  
Republic Services, Inc.
    47,845       1,814,761  
Resources Connection, Inc.
    11,300       170,630  
Robert Half International, Inc.
    22,900       1,114,085  
Rollins, Inc.
    9,218       260,962  
RPX Corp. *
    10,300       160,680  
Steelcase, Inc., Class A
    11,500       173,650  
Stericycle, Inc. *
    14,200       1,670,630  
Team, Inc. *
    3,000       118,830  
Tetra Tech, Inc.
    13,131       318,821  
The ADT Corp.
    33,866       1,178,537  
The Advisory Board Co. *
    6,800       340,952  
The Brink’s Co.
    7,100       190,564  
The Corporate Executive Board Co.
    5,500       341,385  
The Dun & Bradstreet Corp.
    5,840       642,575  
The Standard Register Co. *(c)
    820       4,469  
Towers Watson & Co., Class A
    10,700       1,091,614  
TRC Cos., Inc. *
    3,350       16,850  
TrueBlue, Inc. *
    10,100       272,599  
Tyco International Ltd.
    80,758       3,484,708  
UniFirst Corp.
    2,100       204,141  
United Stationers, Inc.
    5,800       223,764  
US Ecology, Inc.
    3,500       158,410  
Verisk Analytics, Inc., Class A *
    24,700       1,482,988  
Viad Corp.
    3,625       76,922  
Virco Mfg. Corp. *
    1,170       3,042  
WageWorks, Inc. *
    5,000       208,700  
Waste Connections, Inc.
    21,412       1,013,644  
Waste Management, Inc.
    75,710       3,398,622  
                 
              39,761,483  
 
Consumer Durables & Apparel 1.5%
Arctic Cat, Inc.
    2,400       85,440  
Blyth, Inc. (c)
    7,400       44,770  
Brunswick Corp.
    14,400       580,752  
Callaway Golf Co.
    31,065       236,094  
Carter’s, Inc.
    9,400       719,664  
Cavco Industries, Inc. *
    1,610       114,938  
Coach, Inc.
    46,308       1,600,405  
Columbia Sportswear Co.
    3,450       257,922  
Crocs, Inc. *
    15,000       238,050  
CSS Industries, Inc.
    4,800       118,512  
D.R. Horton, Inc.
    46,904       970,913  
Deckers Outdoor Corp. *
    5,200       460,252  
Ethan Allen Interiors, Inc.
    10,200       233,784  
Flexsteel Industries, Inc.
    1,900       57,494  
Foamex International, Inc. *(b)(g)
    2,278       —  
Fossil Group, Inc. *
    7,662       750,876  
G-III Apparel Group Ltd. *
    2,800       217,476  
Garmin Ltd.
    22,300       1,227,392  
Hanesbrands, Inc.
    17,547       1,714,517  
Harman International Industries, Inc.
    11,200       1,215,760  
Hasbro, Inc.
    18,800       939,248  
Helen of Troy Ltd. *
    5,000       268,150  
Hovnanian Enterprises, Inc., Class A *
    50,500       202,000  
Iconix Brand Group, Inc. *
    9,600       405,408  
iRobot Corp. *(c)
    7,300       236,301  
JAKKS Pacific, Inc. *(c)
    7,500       46,800  
Jarden Corp. *
    22,566       1,261,439  
Kate Spade & Co. *
    20,600       779,298  
KB Home
    19,700       321,110  
La-Z-Boy, Inc.
    7,500       157,800  
LeapFrog Enterprises, Inc. *
    9,000       64,980  
Leggett & Platt, Inc.
    23,300       764,240  
Lennar Corp., Class A
    31,290       1,133,637  
Lululemon Athletica, Inc. *
    20,157       775,440  
 
 
 
 5

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
M.D.C. Holdings, Inc.
    9,003       242,811  
M/I Homes, Inc. *
    3,000       61,740  
Marine Products Corp.
    405       3,439  
Mattel, Inc.
    59,000       2,090,075  
Meritage Homes Corp. *
    5,900       225,970  
Michael Kors Holdings Ltd. *
    30,800       2,509,584  
Mohawk Industries, Inc. *
    10,019       1,250,071  
Movado Group, Inc.
    5,800       237,394  
NACCO Industries, Inc., Class A
    1,900       90,611  
Nautilus, Inc. *
    9,825       97,857  
Newell Rubbermaid, Inc.
    47,900       1,555,792  
NIKE, Inc., Class B
    127,695       9,849,115  
NVR, Inc. *
    700       788,522  
Oxford Industries, Inc.
    2,500       148,925  
Perry Ellis International, Inc. *
    5,500       101,200  
Polaris Industries, Inc.
    11,781       1,738,169  
PulteGroup, Inc.
    56,976       1,005,626  
PVH Corp.
    14,411       1,587,804  
Quiksilver, Inc. *
    25,900       77,441  
Ralph Lauren Corp.
    9,800       1,527,428  
Skechers U.S.A., Inc., Class A *
    6,500       339,105  
Skyline Corp. *
    2,600       12,246  
Smith & Wesson Holding Corp. *
    12,400       153,140  
Standard Pacific Corp. *
    28,500       214,890  
Stanley Furniture Co., Inc. *
    6,875       17,806  
Steven Madden Ltd. *
    9,112       290,217  
Sturm, Ruger & Co., Inc. (c)
    2,700       134,892  
Superior Uniform Group, Inc.
    1,600       33,200  
Tempur Sealy International, Inc. *
    10,300       563,513  
The Ryland Group, Inc.
    6,700       215,070  
Toll Brothers, Inc. *
    26,200       856,478  
Tumi Holdings, Inc. *
    9,200       193,936  
Tupperware Brands Corp.
    9,700       705,966  
Under Armour, Inc., Class A *
    27,800       1,855,650  
Universal Electronics, Inc. *
    5,200       247,676  
Vera Bradley, Inc. *
    11,000       218,130  
VF Corp.
    60,700       3,719,089  
Whirlpool Corp.
    12,949       1,847,045  
Wolverine World Wide, Inc.
    15,600       378,456  
                 
              55,386,941  
 
Consumer Services 2.1%
Ambassadors Group, Inc. *
    3,400       14,620  
American Public Education, Inc. *
    5,600       199,920  
Apollo Education Group, Inc. *
    16,450       459,448  
Aramark
    12,000       323,520  
Ascent Capital Group, Inc., Class A *
    3,116       193,130  
Bally Technologies, Inc. *
    5,900       355,003  
Belmond Ltd., Class A *
    12,600       156,240  
Biglari Holdings, Inc. *
    279       118,578  
BJ’s Restaurants, Inc. *
    7,300       250,171  
Bloomin’ Brands, Inc. *
    10,300       201,777  
Bob Evans Farms, Inc.
    4,200       199,542  
Boyd Gaming Corp. *
    21,300       234,300  
Bridgepoint Education, Inc. *
    13,700       164,537  
Bright Horizons Family Solutions, Inc. *
    4,912       204,192  
Brinker International, Inc.
    12,650       567,226  
Buffalo Wild Wings, Inc. *
    3,000       435,960  
Burger King Worldwide, Inc.
    12,200       321,836  
Caesars Entertainment Corp. *(c)
    8,300       132,800  
Career Education Corp. *
    25,114       128,333  
Carnival Corp.
    76,439       2,768,621  
Chipotle Mexican Grill, Inc. *
    5,300       3,564,250  
Choice Hotels International, Inc.
    5,200       243,828  
Churchill Downs, Inc.
    2,900       250,850  
Corinthian Colleges, Inc. *(c)
    21,700       4,557  
Cracker Barrel Old Country Store, Inc.
    3,446       334,124  
Darden Restaurants, Inc.
    21,500       1,005,125  
Denny’s Corp. *
    21,100       144,535  
DeVry Education Group, Inc.
    9,400       375,718  
DineEquity, Inc.
    3,000       243,150  
Domino’s Pizza, Inc.
    9,200       662,400  
Dover Downs Gaming & Entertainment, Inc. *
    5,899       7,433  
Dover Motorsports, Inc.
    1,400       3,892  
Dunkin’ Brands Group, Inc.
    16,800       720,048  
Education Management Corp. *(c)
    19,600       25,284  
Extended Stay America, Inc.
    6,600       148,764  
Fiesta Restaurant Group, Inc. *
    4,300       195,134  
Graham Holdings Co., Class B
    700       480,025  
Grand Canyon Education, Inc. *
    8,500       365,500  
H&R Block, Inc.
    46,200       1,484,406  
Hilton Worldwide Holdings, Inc. *
    52,947       1,281,847  
Hyatt Hotels Corp., Class A *
    9,600       564,768  
International Game Technology
    38,100       645,033  
International Speedway Corp., Class A
    6,445       195,412  
Interval Leisure Group, Inc.
    10,769       228,087  
Isle of Capri Casinos, Inc. *
    11,800       93,338  
ITT Educational Services, Inc. *(c)
    5,600       79,688  
Jack in the Box, Inc.
    7,000       400,330  
K12, Inc. *
    12,100       282,051  
Krispy Kreme Doughnuts, Inc. *
    14,100       215,871  
La Quinta Holdings, Inc. *
    8,000       150,320  
Lakes Entertainment, Inc. *
    6,800       29,784  
Las Vegas Sands Corp.
    65,800       4,859,330  
Learning Tree International, Inc. *
    1,400       3,332  
Life Time Fitness, Inc. *
    5,500       216,425  
LifeLock, Inc. *
    11,000       152,680  
Luby’s, Inc. *
    6,900       34,638  
Marriott International, Inc., Class A
    39,208       2,537,150  
Marriott Vacations Worldwide Corp. *
    4,080       234,804  
Matthews International Corp., Class A
    5,300       230,497  
McDonald’s Corp.
    171,440       16,211,366  
MGM Resorts International *
    58,100       1,559,404  
Monarch Casino & Resort, Inc. *
    8,000       99,840  
MTR Gaming Group, Inc. *
    5,800       26,680  
Multimedia Games Holding Co., Inc. *
    5,500       132,660  
Norwegian Cruise Line Holdings Ltd. *
    16,200       531,036  
Panera Bread Co., Class A *
    4,200       618,660  
Papa John’s International, Inc.
    6,800       283,492  
Penn National Gaming, Inc. *
    17,000       178,160  
Pinnacle Entertainment, Inc. *
    9,800       213,640  
Popeyes Louisiana Kitchen, Inc. *
    6,600       265,980  
Red Robin Gourmet Burgers, Inc. *
    2,300       148,028  
Regis Corp.
    17,300       240,989  
 
 
 
6 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Royal Caribbean Cruises Ltd.
    27,500       1,640,375  
Ruby Tuesday, Inc. *
    33,713       202,615  
Scientific Games Corp., Class A *
    10,900       93,086  
SeaWorld Entertainment, Inc.
    12,511       348,431  
Service Corp. International
    35,000       735,000  
Six Flags Entertainment Corp.
    15,600       596,232  
Sonic Corp. *
    12,868       265,724  
Sotheby’s
    11,338       449,552  
Speedway Motorsports, Inc.
    6,700       116,848  
Starbucks Corp.
    129,850       10,086,748  
Starwood Hotels & Resorts Worldwide, Inc.
    33,230       2,553,393  
Steiner Leisure Ltd. *
    3,000       119,730  
Strayer Education, Inc. *
    4,300       222,826  
Texas Roadhouse, Inc.
    8,300       206,504  
The Cheesecake Factory, Inc.
    7,087       303,891  
The Wendy’s Co.
    50,775       413,816  
Vail Resorts, Inc.
    5,300       400,150  
Weight Watchers International, Inc. (c)
    6,500       140,985  
Wyndham Worldwide Corp.
    23,044       1,740,974  
Wynn Resorts Ltd.
    14,000       2,984,800  
Yum! Brands, Inc.
    77,400       5,371,560  
                 
              79,627,337  
 
Diversified Financials 4.5%
Affiliated Managers Group, Inc. *
    9,517       1,896,262  
Ally Financial, Inc. *
    16,700       383,432  
American Express Co.
    158,203       13,921,864  
Ameriprise Financial, Inc.
    33,430       3,998,228  
Artisan Partners Asset Management, Inc., Class A
    5,500       286,550  
Asta Funding, Inc. *
    6,000       50,280  
Atlanticus Holdings Corp. *
    4,629       12,313  
Berkshire Hathaway, Inc., Class B *
    312,305       39,172,416  
BGC Partners, Inc., Class A
    28,300       221,589  
BlackRock, Inc.
    21,532       6,561,446  
Calamos Asset Management, Inc., Class A
    5,000       59,300  
Capital One Financial Corp.
    98,857       7,863,086  
Cash America International, Inc.
    6,900       306,291  
CBOE Holdings, Inc.
    14,200       688,274  
CME Group, Inc.
    54,050       3,996,457  
Cohen & Steers, Inc. (c)
    5,400       224,154  
Cowen Group, Inc., Class A *
    11,889       47,556  
Credit Acceptance Corp. *
    2,100       238,823  
Discover Financial Services
    81,107       4,952,393  
E*TRADE Financial Corp. *
    53,233       1,118,958  
Eaton Vance Corp.
    22,700       797,451  
Encore Capital Group, Inc. *
    5,600       237,888  
Evercore Partners, Inc., Class A
    6,500       354,640  
Ezcorp, Inc., Class A *
    20,600       201,674  
FBR & Co. *
    1,000       27,960  
Federated Investors, Inc., Class B
    14,650       413,423  
Financial Engines, Inc.
    7,800       303,810  
First Cash Financial Services, Inc. *
    3,800       214,358  
FNFV Group *
    16,478       269,580  
Franklin Resources, Inc.
    69,300       3,752,595  
GAMCO Investors, Inc., Class A
    3,400       260,542  
GFI Group, Inc.
    18,700       84,711  
Greenhill & Co., Inc.
    4,500       205,965  
HFF, Inc., Class A
    9,800       332,808  
ICG Group, Inc. *
    8,050       136,206  
Interactive Brokers Group, Inc., Class A
    7,600       174,914  
Intercontinental Exchange, Inc.
    19,786       3,803,265  
INTL FCStone, Inc. *
    4,437       86,965  
Invesco Ltd.
    73,200       2,754,516  
Investment Technology Group, Inc. *
    8,050       147,235  
Janus Capital Group, Inc.
    26,200       298,418  
KCG Holdings, Inc., Class A *
    15,533       177,387  
Legg Mason, Inc.
    17,550       832,748  
Leucadia National Corp.
    57,450       1,419,589  
LPL Financial Holdings, Inc.
    12,800       607,744  
MarketAxess Holdings, Inc.
    5,300       298,019  
McGraw Hill Financial, Inc.
    47,061       3,775,233  
MicroFinancial, Inc.
    1,900       14,516  
Moody’s Corp.
    33,100       2,879,700  
Morgan Stanley
    241,925       7,823,854  
MSCI, Inc. *
    20,000       905,000  
Navient Corp.
    72,000       1,238,400  
Nelnet, Inc., Class A
    6,400       263,872  
NewStar Financial, Inc. *
    13,500       152,955  
Northern Trust Corp.
    39,500       2,642,155  
NorthStar Asset Management Group, Inc. *
    33,475       599,537  
PHH Corp. *
    7,186       167,793  
PICO Holdings, Inc. *
    3,700       81,955  
Piper Jaffray Cos. *
    3,950       203,820  
Portfolio Recovery Associates, Inc. *
    9,800       577,808  
Raymond James Financial, Inc.
    21,050       1,072,498  
Resource America, Inc., Class A
    4,000       37,680  
Santander Consumer USA Holdings, Inc.
    12,900       247,293  
SEI Investments Co.
    22,800       816,696  
SLM Corp.
    72,000       637,920  
Springleaf Holdings, Inc. *
    5,500       143,990  
State Street Corp.
    74,960       5,280,182  
Stifel Financial Corp. *
    11,785       539,635  
SWS Group, Inc. *
    8,211       58,791  
T. Rowe Price Group, Inc.
    45,000       3,494,700  
TD Ameritrade Holding Corp.
    39,100       1,255,892  
The Bank of New York Mellon Corp.
    198,818       7,761,855  
The Charles Schwab Corp. (a)
    203,126       5,636,746  
The First Marblehead Corp. *
    750       3,810  
The Goldman Sachs Group, Inc.
    72,159       12,474,126  
The NASDAQ OMX Group, Inc.
    19,100       805,829  
Virtus Investment Partners, Inc.
    875       179,419  
Voya Financial, Inc.
    23,689       878,862  
Waddell & Reed Financial, Inc., Class A
    14,750       778,653  
Walter Investment Management Corp. *(c)
    5,325       146,864  
Westwood Holdings Group, Inc.
    1,785       96,051  
WisdomTree Investments, Inc. *
    20,500       210,330  
World Acceptance Corp. *(c)
    3,000       243,240  
                 
              168,321,743  
 
 
 
 7

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Energy 9.7%
Abraxas Petroleum Corp. *
    36,200       184,620  
Adams Resources & Energy, Inc.
    2,300       150,282  
Alon USA Energy, Inc.
    8,700       111,795  
Alpha Natural Resources, Inc. *(c)
    29,330       99,429  
Anadarko Petroleum Corp.
    88,068       9,410,066  
Antero Resources Corp. *
    5,900       340,784  
Apache Corp.
    67,272       6,906,144  
Apco Oil & Gas International, Inc. *
    6,500       89,765  
Approach Resources, Inc. *(c)
    4,000       84,160  
Arch Coal, Inc. (c)
    26,500       78,705  
Athlon Energy, Inc. *
    10,006       476,886  
Atwood Oceanics, Inc. *
    9,500       457,425  
Baker Hughes, Inc.
    75,465       5,189,729  
Basic Energy Services, Inc. *
    8,500       203,915  
Bill Barrett Corp. *
    6,700       160,867  
Bonanza Creek Energy, Inc. *
    6,200       347,572  
Bristow Group, Inc.
    6,000       428,220  
C&J Energy Services, Inc. *
    10,200       305,592  
Cabot Oil & Gas Corp.
    73,200       2,411,940  
Cal Dive International, Inc. *(c)
    25,200       27,468  
Callon Petroleum Co. *
    18,200       179,816  
Cameron International Corp. *
    39,247       2,783,005  
CARBO Ceramics, Inc.
    3,300       410,982  
Carrizo Oil & Gas, Inc. *
    6,800       417,588  
Cheniere Energy, Inc. *
    38,600       2,731,336  
Chesapeake Energy Corp.
    89,130       2,350,358  
Chevron Corp.
    330,175       42,671,817  
Cimarex Energy Co.
    15,562       2,163,429  
Clayton Williams Energy, Inc. *
    2,500       266,025  
Clean Energy Fuels Corp. *(c)
    17,300       172,308  
Cloud Peak Energy, Inc. *
    8,700       134,676  
Cobalt International Energy, Inc. *
    46,700       748,134  
Comstock Resources, Inc.
    6,400       151,424  
Concho Resources, Inc. *
    19,631       2,764,045  
ConocoPhillips
    212,922       17,566,065  
CONSOL Energy, Inc.
    38,000       1,475,160  
Contango Oil & Gas Co. *
    5,200       209,196  
Continental Resources, Inc. *
    8,500       1,247,630  
Core Laboratories N.V.
    7,500       1,098,225  
CVR Energy, Inc. (c)
    5,100       240,108  
Delek US Holdings, Inc.
    6,300       184,086  
Denbury Resources, Inc.
    57,225       969,964  
Devon Energy Corp.
    67,460       5,093,230  
Diamond Offshore Drilling, Inc. (c)
    11,400       533,406  
Diamondback Energy, Inc. *
    5,600       460,488  
Dresser-Rand Group, Inc. *
    12,600       749,826  
Dril-Quip, Inc. *
    6,700       675,159  
Energen Corp.
    11,700       955,071  
Energy XXI (Bermuda) Ltd.
    15,061       300,618  
ENGlobal Corp. *
    4,000       11,160  
Ensco plc, Class A
    41,400       2,096,910  
EOG Resources, Inc.
    95,248       10,423,941  
EQT Corp.
    25,900       2,429,938  
Era Group, Inc. *
    2,850       76,380  
EXCO Resources, Inc. (c)
    51,400       236,954  
Exterran Holdings, Inc.
    10,720       452,920  
Exxon Mobil Corp.
    745,048       73,715,049  
FMC Technologies, Inc. *
    41,664       2,533,171  
Forest Oil Corp. *
    12,450       25,398  
Forum Energy Technologies, Inc. *
    11,200       372,848  
Frank’s International N.V.
    6,200       143,530  
Geospace Technologies Corp. *
    1,800       72,432  
Goodrich Petroleum Corp. *
    9,800       188,748  
Green Plains, Inc.
    5,500       206,195  
Gulf Island Fabrication, Inc.
    4,100       79,950  
Gulfmark Offshore, Inc., Class A
    4,100       156,907  
Gulfport Energy Corp. *
    15,603       833,356  
Halcon Resources Corp. *(c)
    43,500       258,825  
Halliburton Co.
    146,144       10,082,475  
Harvest Natural Resources, Inc. *
    9,300       40,176  
Helix Energy Solutions Group, Inc. *
    14,064       357,648  
Helmerich & Payne, Inc.
    19,017       2,020,746  
Hercules Offshore, Inc. *
    22,900       80,837  
Hess Corp.
    47,300       4,681,754  
HollyFrontier Corp.
    32,854       1,544,467  
Hornbeck Offshore Services, Inc. *
    5,000       218,500  
Houston American Energy Corp. *
    4,000       1,240  
ION Geophysical Corp. *
    13,900       52,125  
Key Energy Services, Inc. *
    22,300       136,922  
Kinder Morgan, Inc.
    116,123       4,178,106  
KiOR, Inc., Class A *
    15,300       4,749  
Kodiak Oil & Gas Corp. *
    43,900       682,206  
Kosmos Energy Ltd. *
    16,200       156,006  
Laredo Petroleum, Inc. *
    11,100       301,254  
Magnum Hunter Resources Corp. *
    22,939       147,498  
Marathon Oil Corp.
    119,914       4,646,667  
Marathon Petroleum Corp.
    50,204       4,191,030  
Matador Resources Co. *
    12,100       327,184  
Matrix Service Co. *
    8,000       214,800  
McDermott International, Inc. *
    39,100       285,430  
Midstates Petroleum Co., Inc. *(c)
    14,400       91,872  
Murphy Oil Corp.
    29,000       1,801,770  
Nabors Industries Ltd.
    47,134       1,280,159  
National Oilwell Varco, Inc.
    74,822       6,063,575  
Natural Gas Services Group, Inc. *
    7,500       234,000  
Newfield Exploration Co. *
    23,600       951,080  
Newpark Resources, Inc. *
    11,500       140,645  
Noble Corp., plc
    46,155       1,447,882  
Noble Energy, Inc.
    61,636       4,098,178  
Northern Oil & Gas, Inc. *
    8,200       131,938  
Oasis Petroleum, Inc. *
    15,800       844,510  
Occidental Petroleum Corp.
    136,405       13,328,133  
Oceaneering International, Inc.
    17,700       1,202,007  
Oil States International, Inc. *
    8,600       527,094  
ONEOK, Inc.
    36,629       2,360,006  
Pacific Ethanol, Inc. *
    10,200       181,968  
Panhandle Oil & Gas, Inc., Class A
    3,100       199,702  
Parker Drilling Co. *
    18,300       113,094  
Patterson-UTI Energy, Inc.
    28,500       978,975  
PBF Energy, Inc., Class A
    13,813       374,332  
PDC Energy, Inc. *
    5,800       314,708  
Peabody Energy Corp.
    46,800       709,956  
Penn Virginia Corp. *
    12,200       158,844  
PetroQuest Energy, Inc. *
    13,200       84,612  
PHI, Inc. - Non Voting Shares *
    4,000       157,800  
Phillips 66
    98,865       8,018,940  
Pioneer Energy Services Corp. *
    13,100       192,701  
Pioneer Natural Resources Co.
    25,033       5,543,808  
QEP Resources, Inc.
    30,600       1,011,330  
Quicksilver Resources, Inc. *(c)
    36,100       67,868  
 
 
 
8 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Range Resources Corp.
    28,300       2,139,197  
Resolute Energy Corp. *
    11,900       90,916  
REX American Resources Corp. *
    4,875       411,206  
Rex Energy Corp. *
    8,000       110,320  
Rice Energy, Inc. *
    6,736       177,157  
Rosetta Resources, Inc. *
    9,700       495,379  
Rowan Cos. plc, Class A
    20,500       625,660  
RPC, Inc.
    16,118       362,655  
Sanchez Energy Corp. *
    8,700       275,964  
SandRidge Energy, Inc. *(c)
    72,792       433,840  
Schlumberger Ltd.
    225,842       24,479,014  
SEACOR Holdings, Inc. *
    2,850       216,486  
SemGroup Corp., Class A
    7,000       539,560  
Seventy Seven Energy, Inc. *
    6,366       142,789  
SM Energy Co.
    11,200       879,648  
Solazyme, Inc. *(c)
    12,100       117,128  
Southwestern Energy Co. *
    61,375       2,490,597  
Spectra Energy Corp.
    114,778       4,696,716  
Stone Energy Corp. *
    7,383       280,923  
Superior Energy Services, Inc.
    26,099       876,926  
Swift Energy Co. *(c)
    5,500       60,775  
Synergy Resources Corp. *
    11,100       116,772  
Targa Resources Corp.
    4,800       612,000  
Teekay Corp.
    6,000       333,960  
Tesco Corp.
    7,000       136,640  
Tesoro Corp.
    21,900       1,347,726  
TETRA Technologies, Inc. *
    12,100       133,221  
The Williams Cos., Inc.
    127,260       7,206,734  
Tidewater, Inc.
    7,700       363,979  
Transocean Ltd.
    59,100       2,384,094  
Ultra Petroleum Corp. *
    25,300       579,876  
Unit Corp. *
    7,400       468,790  
VAALCO Energy, Inc. *
    12,600       86,940  
Valero Energy Corp.
    93,880       4,769,104  
W&T Offshore, Inc.
    7,500       100,575  
Warren Resources, Inc. *
    22,100       130,169  
Weatherford International plc *
    134,749       3,014,335  
Western Refining, Inc.
    7,700       315,392  
Westmoreland Coal Co. *
    9,600       413,664  
Whiting Petroleum Corp. *
    19,600       1,734,404  
World Fuel Services Corp.
    11,900       511,105  
WPX Energy, Inc. *
    33,353       686,071  
                 
              363,794,865  
 
Food & Staples Retailing 1.9%
Casey’s General Stores, Inc.
    7,100       469,807  
Costco Wholesale Corp.
    75,585       8,884,261  
CVS Caremark Corp.
    202,637       15,473,361  
Ingles Markets, Inc., Class A
    10,200       250,104  
PriceSmart, Inc.
    2,300       189,290  
Rite Aid Corp. *
    161,380       1,079,632  
Safeway, Inc.
    40,800       1,405,968  
SpartanNash, Co.
    12,540       262,838  
Sprouts Farmers Market, Inc. *
    17,474       533,132  
SUPERVALU, Inc. *
    39,532       362,509  
Susser Holdings Corp. *
    2,500       200,425  
Sysco Corp.
    100,236       3,577,423  
The Andersons, Inc.
    3,600       194,472  
The Fresh Market, Inc. *
    5,800       173,594  
The Kroger Co.
    89,366       4,377,147  
The Pantry, Inc. *
    6,000       107,460  
United Natural Foods, Inc. *
    8,800       515,856  
Wal-Mart Stores, Inc.
    279,564       20,570,319  
Walgreen Co.
    152,308       10,474,221  
Weis Markets, Inc.
    2,400       102,384  
Whole Foods Market, Inc.
    64,577       2,468,133  
                 
              71,672,336  
 
Food, Beverage & Tobacco 4.3%
Alico, Inc.
    2,000       73,820  
Alliance One International, Inc. *
    24,600       55,842  
Altria Group, Inc.
    345,123       14,011,994  
Annie’s, Inc. *
    1,800       52,524  
Archer-Daniels-Midland Co.
    112,158       5,204,131  
B&G Foods, Inc.
    7,400       207,718  
Boulder Brands, Inc. *
    9,100       103,285  
Brown-Forman Corp., Class B
    28,516       2,470,911  
Bunge Ltd.
    24,400       1,923,696  
Cal-Maine Foods, Inc.
    2,600       185,120  
Campbell Soup Co.
    29,100       1,210,269  
Chiquita Brands International, Inc. *
    13,900       133,301  
Coca-Cola Bottling Co. Consolidated
    3,248       226,775  
Coca-Cola Enterprises, Inc.
    41,600       1,890,720  
ConAgra Foods, Inc.
    74,293       2,238,448  
Constellation Brands, Inc., Class A *
    29,469       2,453,589  
Darling Ingredients, Inc. *
    25,900       484,848  
Dean Foods Co.
    13,556       207,678  
Diamond Foods, Inc. *
    5,200       139,672  
Dr Pepper Snapple Group, Inc.
    34,000       1,997,840  
Farmer Bros. Co. *
    4,500       92,115  
Flowers Foods, Inc.
    26,605       507,890  
Fresh Del Monte Produce, Inc.
    7,900       236,526  
General Mills, Inc.
    107,738       5,403,061  
Hormel Foods Corp.
    21,400       968,564  
Ingredion, Inc.
    11,800       868,834  
J&J Snack Foods Corp.
    2,093       188,558  
John B. Sanfilippo & Son, Inc.
    5,000       132,250  
Kellogg Co.
    44,300       2,650,469  
Keurig Green Mountain, Inc.
    21,650       2,582,412  
Kraft Foods Group, Inc.
    103,704       5,556,979  
Lancaster Colony Corp.
    3,400       296,990  
Limoneira Co.
    2,900       63,945  
Lorillard, Inc.
    63,444       3,837,093  
McCormick & Co., Inc. - Non Voting Shares
    21,400       1,407,692  
Mead Johnson Nutrition Co.
    34,800       3,182,112  
Molson Coors Brewing Co., Class B
    27,700       1,870,581  
Mondelez International, Inc., Class A
    293,713       10,573,668  
Monster Beverage Corp. *
    23,989       1,534,336  
National Beverage Corp. *
    6,400       109,696  
PepsiCo, Inc.
    263,011       23,171,269  
Philip Morris International, Inc.
    273,361       22,418,336  
Pilgrim’s Pride Corp. *
    12,466       348,549  
Pinnacle Foods, Inc.
    8,900       268,157  
Post Holdings, Inc. *
    7,250       325,670  
Primo Water Corp. *
    1,000       4,640  
Reynolds American, Inc.
    53,628       2,995,124  
 
 
 
 9

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Rocky Mountain Chocolate Factory, Inc.
    3,427       43,866  
Sanderson Farms, Inc.
    2,850       259,607  
Seaboard Corp. *
    100       285,200  
Snyder’s-Lance, Inc.
    8,900       220,809  
The Boston Beer Co., Inc., Class A *
    1,200       264,480  
The Coca-Cola Co.
    655,648       25,760,410  
The Hain Celestial Group, Inc. *
    7,806       667,413  
The Hershey Co.
    25,800       2,274,270  
The Hillshire Brands Co.
    20,100       1,261,677  
The JM Smucker Co.
    18,493       1,842,643  
The WhiteWave Foods Co. *
    31,825       948,067  
Tootsie Roll Industries, Inc.
    7,591       199,871  
TreeHouse Foods, Inc. *
    6,022       442,617  
Tyson Foods, Inc., Class A
    47,140       1,754,079  
Universal Corp.
    4,800       249,264  
Vector Group Ltd.
    14,395       295,529  
                 
              163,637,499  
 
Health Care Equipment & Services 4.5%
Abaxis, Inc.
    5,600       265,496  
Abbott Laboratories
    264,643       11,146,763  
ABIOMED, Inc. *
    7,800       199,680  
Acadia Healthcare Co., Inc. *
    7,000       333,620  
Accuray, Inc. *
    21,200       166,844  
Aetna, Inc.
    62,885       4,875,474  
Air Methods Corp. *
    4,500       226,125  
Alere, Inc. *
    12,441       497,640  
Align Technology, Inc. *
    11,700       634,257  
Alliance HealthCare Services, Inc. *
    360       10,278  
Allscripts Healthcare Solutions, Inc. *
    31,560       502,435  
Amedisys, Inc. *
    10,834       218,630  
AmerisourceBergen Corp.
    39,596       3,045,328  
AMN Healthcare Services, Inc. *
    17,210       225,451  
Amsurg Corp. *
    4,300       205,368  
Analogic Corp.
    2,700       194,157  
Antares Pharma, Inc. *(c)
    28,100       57,324  
athenahealth, Inc. *
    6,000       746,400  
Baxter International, Inc.
    94,069       7,026,014  
Becton, Dickinson & Co.
    33,534       3,897,992  
Bio-Reference Laboratories, Inc. *
    7,200       226,008  
BioScrip, Inc. *
    8,372       62,706  
Boston Scientific Corp. *
    233,167       2,979,874  
Brookdale Senior Living, Inc. *
    27,925       967,601  
C.R. Bard, Inc.
    13,760       2,053,405  
Cantel Medical Corp.
    8,034       269,380  
Cardinal Health, Inc.
    58,818       4,214,310  
Cardiovascular Systems, Inc. *
    5,000       135,000  
CareFusion Corp. *
    34,880       1,527,395  
Centene Corp. *
    9,000       648,810  
Cerner Corp. *
    50,200       2,771,040  
Chemed Corp.
    3,900       397,215  
Chindex International, Inc. *
    6,100       142,801  
Cigna Corp.
    47,251       4,254,480  
Community Health Systems, Inc. *
    20,196       963,349  
Computer Programs & Systems, Inc.
    3,600       236,952  
CONMED Corp.
    7,300       284,700  
CorVel Corp. *
    2,700       108,756  
Covidien plc
    78,240       6,768,542  
Cross Country Healthcare, Inc. *
    12,500       89,875  
CryoLife, Inc.
    9,050       89,143  
Cyberonics, Inc. *
    4,200       249,774  
DaVita HealthCare Partners, Inc. *
    31,400       2,211,816  
DENTSPLY International, Inc.
    24,300       1,128,006  
DexCom, Inc. *
    11,800       444,624  
Edwards Lifesciences Corp. *
    18,100       1,633,525  
Endologix, Inc. *
    13,700       193,855  
Envision Healthcare Holdings Inc *
    11,000       393,250  
ExamWorks Group, Inc. *
    6,200       218,798  
Express Scripts Holding Co. *
    133,063       9,267,838  
Five Star Quality Care, Inc. *
    14,335       65,511  
Gentiva Health Services, Inc. *
    9,150       165,615  
Globus Medical, Inc., Class A *
    13,900       309,970  
Greatbatch, Inc. *
    6,700       331,717  
Haemonetics Corp. *
    7,400       263,218  
Hanger, Inc. *
    5,400       170,910  
HCA Holdings, Inc. *
    55,600       3,631,236  
Health Net, Inc. *
    15,500       638,445  
HealthSouth Corp.
    13,500       517,455  
HealthStream, Inc. *
    6,800       169,728  
Healthways, Inc. *
    8,100       140,049  
HeartWare International, Inc. *
    2,100       176,841  
Henry Schein, Inc. *
    14,500       1,685,625  
Hill-Rom Holdings, Inc.
    10,200       401,880  
HMS Holdings Corp. *
    12,200       224,602  
Hologic, Inc. *
    49,612       1,293,385  
Humana, Inc.
    27,000       3,176,550  
ICU Medical, Inc. *
    3,350       195,138  
IDEXX Laboratories, Inc. *
    8,600       1,070,528  
IMS Health Holdings, Inc. *
    11,500       300,150  
Insulet Corp. *
    9,800       346,332  
Integra LifeSciences Holdings Corp. *
    5,300       251,326  
Intuitive Surgical, Inc. *
    6,550       2,996,952  
Invacare Corp.
    6,000       89,820  
IPC The Hospitalist Co., Inc. *
    4,000       196,720  
Kindred Healthcare, Inc.
    9,208       220,071  
Laboratory Corp. of America Holdings *
    14,700       1,524,243  
Landauer, Inc.
    2,100       90,615  
LeMaitre Vascular, Inc.
    6,800       55,012  
LifePoint Hospitals, Inc. *
    6,707       481,026  
Magellan Health, Inc. *
    3,907       225,043  
Masimo Corp. *
    8,500       204,680  
McKesson Corp.
    39,752       7,626,819  
MedAssets, Inc. *
    10,200       216,648  
Medical Action Industries, Inc. *
    6,250       86,250  
Medidata Solutions, Inc. *
    9,100       408,044  
MEDNAX, Inc. *
    16,600       982,388  
Medtronic, Inc.
    174,177       10,753,688  
Meridian Bioscience, Inc.
    10,050       198,086  
Merit Medical Systems, Inc. *
    10,277       131,957  
Molina Healthcare, Inc. *
    6,550       267,568  
MWI Veterinary Supply, Inc. *
    1,700       240,142  
National Healthcare Corp.
    4,100       225,336  
Natus Medical, Inc. *
    7,600       218,652  
Neogen Corp. *
    4,657       203,325  
NuVasive, Inc. *
    10,000       373,800  
NxStage Medical, Inc. *
    18,700       249,645  
 
 
 
10 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Omnicare, Inc.
    16,100       1,006,250  
Omnicell, Inc. *
    7,400       202,760  
OraSure Technologies, Inc. *
    12,200       100,406  
Orthofix International N.V. *
    2,800       92,568  
Owens & Minor, Inc.
    9,100       301,119  
Patterson Cos., Inc.
    13,100       511,031  
PDI, Inc. *
    2,900       10,643  
PharMerica Corp. *
    4,813       129,903  
Premier, Inc., Class A *
    5,000       141,500  
Quality Systems, Inc.
    10,500       162,855  
Quest Diagnostics, Inc.
    25,720       1,571,492  
Quidel Corp. *
    5,200       124,124  
ResMed, Inc. (c)
    24,200       1,252,108  
RTI Surgical, Inc. *
    18,100       82,717  
Select Medical Holdings Corp.
    22,600       351,204  
Sirona Dental Systems, Inc. *
    9,200       737,840  
St. Jude Medical, Inc.
    48,200       3,142,158  
STERIS Corp.
    8,200       417,216  
Stryker Corp.
    50,600       4,036,362  
SurModics, Inc. *
    4,200       79,758  
Symmetry Medical, Inc. *
    8,200       72,242  
Team Health Holdings, Inc. *
    10,500       593,775  
Teleflex, Inc.
    6,600       711,084  
Tenet Healthcare Corp. *
    15,512       818,568  
The Cooper Cos., Inc.
    7,881       1,267,895  
The Ensign Group, Inc.
    5,300       174,529  
The Providence Service Corp. *
    4,800       190,128  
The Spectranetics Corp. *
    6,700       171,855  
Thoratec Corp. *
    8,636       280,670  
Tornier N.V. *
    6,100       126,453  
Triple-S Management Corp., Class B *
    5,300       91,584  
U.S. Physical Therapy, Inc.
    3,500       122,290  
Unilife Corp. *(c)
    29,100       73,332  
UnitedHealth Group, Inc.
    169,522       13,739,758  
Universal American Corp.
    20,600       163,564  
Universal Health Services, Inc., Class B
    16,000       1,705,600  
Utah Medical Products, Inc.
    2,500       130,025  
Varian Medical Systems, Inc. *
    17,100       1,404,765  
VCA, Inc. *
    16,800       626,472  
Veeva Systems, Inc., Class A *
    6,100       145,180  
Vocera Communications, Inc. *
    3,700       46,509  
Volcano Corp. *
    12,200       201,422  
WellCare Health Plans, Inc. *
    8,200       511,516  
WellPoint, Inc.
    48,323       5,306,349  
West Pharmaceutical Services, Inc.
    11,300       460,475  
Wright Medical Group, Inc. *
    8,600       265,052  
Zimmer Holdings, Inc.
    29,700       2,972,079  
                 
              170,028,030  
 
Household & Personal Products 1.7%
Avon Products, Inc.
    70,000       924,000  
Central Garden & Pet Co., Class A *
    8,600       80,238  
Church & Dwight Co., Inc.
    22,400       1,437,632  
Colgate-Palmolive Co.
    151,909       9,631,030  
Coty, Inc., Class A
    15,600       266,916  
Elizabeth Arden, Inc. *
    3,500       72,205  
Energizer Holdings, Inc.
    10,933       1,254,671  
Harbinger Group, Inc. *
    19,100       224,043  
Herbalife Ltd. (c)
    15,600       817,440  
Inter Parfums, Inc.
    5,613       146,668  
Kimberly-Clark Corp.
    64,039       6,651,731  
Medifast, Inc. *
    3,500       100,485  
Nu Skin Enterprises, Inc., Class A
    9,600       563,424  
Nutraceutical International Corp. *
    5,000       115,400  
Oil-Dri Corp. of America
    1,600       46,672  
Orchids Paper Products Co.
    2,500       66,000  
Revlon, Inc., Class A *
    5,400       164,700  
Spectrum Brands Holdings, Inc.
    3,500       291,900  
The Clorox Co.
    22,300       1,937,201  
The Estee Lauder Cos., Inc., Class A
    43,100       3,166,126  
The Female Health Co.
    7,500       29,325  
The Procter & Gamble Co.
    469,365       36,291,302  
WD-40 Co.
    1,600       106,816  
                 
              64,385,925  
 
Insurance 3.0%
ACE Ltd.
    59,269       5,932,827  
Aflac, Inc.
    79,400       4,743,356  
Alleghany Corp. *
    2,740       1,133,949  
Allied World Assurance Co. Holdings AG
    14,700       529,347  
Ambac Financial Group, Inc. *
    4,000       90,640  
American Equity Investment Life Holding Co.
    12,600       278,964  
American Financial Group, Inc.
    13,250       741,867  
American International Group, Inc.
    250,903       13,041,938  
American National Insurance Co.
    2,300       250,700  
AMERISAFE, Inc.
    4,000       146,400  
AmTrust Financial Services, Inc. (c)
    7,314       311,869  
Aon plc
    51,496       4,344,202  
Arch Capital Group Ltd. *
    20,700       1,106,415  
Argo Group International Holdings Ltd.
    5,011       249,598  
Arthur J. Gallagher & Co.
    27,200       1,224,000  
Aspen Insurance Holdings Ltd.
    10,400       416,104  
Assurant, Inc.
    11,500       728,640  
Assured Guaranty Ltd.
    31,900       712,008  
Axis Capital Holdings Ltd.
    17,600       759,440  
Baldwin & Lyons, Inc., Class B
    1,950       48,165  
Brown & Brown, Inc.
    19,300       594,054  
Cincinnati Financial Corp.
    24,350       1,120,587  
Citizens, Inc. *
    16,000       107,840  
CNA Financial Corp.
    6,900       257,853  
CNO Financial Group, Inc.
    39,000       631,020  
Crawford & Co., Class B
    5,800       53,360  
EMC Insurance Group, Inc.
    1,200       35,316  
Employers Holdings, Inc.
    7,500       159,750  
Endurance Specialty Holdings Ltd.
    6,200       327,918  
Enstar Group Ltd. *
    1,300       179,400  
Erie Indemnity Co., Class A
    3,600       263,592  
Everest Re Group Ltd.
    7,700       1,200,507  
FBL Financial Group, Inc., Class A
    5,190       222,028  
Federated National Holding Co.
    1,500       30,255  
First American Financial Corp.
    16,800       455,952  
FNF Group *
    49,439       1,340,291  
Genworth Financial, Inc., Class A *
    86,800       1,137,080  
Greenlight Capital Re Ltd., Class A *
    7,400       239,464  
 
 
 
 11

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
HCC Insurance Holdings, Inc.
    16,550       772,554  
Hilltop Holdings, Inc. *
    12,926       264,983  
Horace Mann Educators Corp.
    8,300       237,795  
Independence Holding Co.
    2,970       37,155  
Infinity Property & Casualty Corp.
    2,500       161,900  
Kemper Corp.
    7,700       266,497  
Lincoln National Corp.
    45,426       2,379,868  
Loews Corp.
    54,174       2,282,351  
Maiden Holdings Ltd.
    18,900       216,972  
Markel Corp. *
    2,503       1,582,171  
Marsh & McLennan Cos., Inc.
    96,600       4,904,382  
MBIA, Inc. *
    25,250       241,895  
Mercury General Corp.
    5,400       265,788  
MetLife, Inc.
    195,403       10,278,198  
Montpelier Re Holdings Ltd.
    8,100       239,193  
National General Holdings Corp.
    10,400       181,064  
National Western Life Insurance Co., Class A
    500       120,500  
Old Republic International Corp.
    43,822       630,599  
OneBeacon Insurance Group Ltd., Class A
    14,800       219,040  
PartnerRe Ltd.
    8,900       928,804  
Platinum Underwriters Holdings Ltd.
    4,500       263,700  
Primerica, Inc.
    10,700       493,056  
Principal Financial Group, Inc.
    48,641       2,416,485  
ProAssurance Corp.
    8,540       372,600  
Protective Life Corp.
    13,200       915,816  
Prudential Financial, Inc.
    80,272       6,981,256  
Reinsurance Group of America, Inc.
    12,900       1,035,354  
RenaissanceRe Holdings Ltd.
    7,200       704,232  
RLI Corp.
    5,600       239,344  
Safety Insurance Group, Inc.
    3,400       170,034  
Selective Insurance Group, Inc.
    7,800       173,862  
StanCorp Financial Group, Inc.
    6,300       380,142  
State Auto Financial Corp.
    5,500       116,105  
Stewart Information Services Corp.
    3,600       106,092  
Symetra Financial Corp.
    19,000       433,200  
The Allstate Corp.
    77,867       4,551,326  
The Chubb Corp.
    43,194       3,745,352  
The Hanover Insurance Group, Inc.
    6,900       398,889  
The Hartford Financial Services Group, Inc.
    78,262       2,673,430  
The Navigators Group, Inc. *
    4,200       255,360  
The Phoenix Cos., Inc. *
    475       26,320  
The Progressive Corp.
    91,300       2,140,072  
The Travelers Cos., Inc.
    60,150       5,387,034  
Torchmark Corp.
    22,200       1,170,828  
Tower Group International Ltd.
    11,444       24,605  
United Fire Group, Inc.
    5,000       141,300  
Unum Group
    43,114       1,480,104  
Validus Holdings Ltd.
    16,857       615,786  
W. R. Berkley Corp.
    18,050       805,210  
White Mountains Insurance Group Ltd.
    900       544,419  
Willis Group Holdings plc
    29,000       1,181,750  
XL Group plc
    46,000       1,483,040  
                 
              112,784,508  
 
Materials 3.8%
A. Schulman, Inc.
    5,300       210,622  
A.M. Castle & Co. *
    5,800       48,024  
AEP Industries, Inc. *
    1,900       77,425  
Air Products & Chemicals, Inc.
    36,200       4,776,590  
Airgas, Inc.
    11,000       1,176,120  
AK Steel Holding Corp. *
    32,127       292,356  
Albemarle Corp.
    13,300       815,822  
Alcoa, Inc.
    200,696       3,289,407  
Allegheny Technologies, Inc.
    20,092       756,464  
Allied Nevada Gold Corp. *(c)
    29,700       92,961  
American Vanguard Corp.
    3,000       38,070  
Ampco-Pittsburgh Corp.
    4,500       90,765  
AptarGroup, Inc.
    10,900       665,990  
Ashland, Inc.
    11,923       1,247,742  
Avery Dennison Corp.
    16,000       755,360  
Axiall Corp.
    10,400       445,432  
Balchem Corp.
    4,200       210,000  
Ball Corp.
    23,900       1,464,114  
Bemis Co., Inc.
    16,700       651,467  
Berry Plastics Group, Inc. *
    18,100       439,649  
Boise Cascade Co. *
    5,500       154,825  
Cabot Corp.
    10,900       571,051  
Calgon Carbon Corp. *
    12,500       265,000  
Carpenter Technology Corp.
    8,300       449,362  
Celanese Corp., Series A
    26,500       1,542,565  
Century Aluminum Co. *
    11,600       218,080  
CF Industries Holdings, Inc.
    9,500       2,378,230  
Chase Corp.
    200       6,750  
Chemtura Corp. *
    14,000       325,640  
Clearwater Paper Corp. *
    5,472       369,907  
Cliffs Natural Resources, Inc. (c)
    21,100       368,195  
Codexis, Inc. *
    1,870       3,927  
Coeur Mining, Inc. *
    22,400       174,720  
Commercial Metals Co.
    22,800       393,072  
Compass Minerals International, Inc.
    5,000       430,100  
Crown Holdings, Inc. *
    22,800       1,061,340  
Cytec Industries, Inc.
    6,600       665,610  
Deltic Timber Corp.
    1,500       91,650  
Domtar Corp.
    10,500       377,160  
E.I. du Pont de Nemours & Co.
    158,892       10,218,345  
Eagle Materials, Inc.
    8,043       730,465  
Eastman Chemical Co.
    25,380       1,999,436  
Ecolab, Inc.
    46,204       5,014,520  
Ferro Corp. *
    21,000       263,340  
Flotek Industries, Inc. *
    13,300       383,705  
FMC Corp.
    23,300       1,519,626  
Freeport-McMoRan, Inc.
    177,958       6,623,597  
FutureFuel Corp.
    8,300       130,808  
General Moly, Inc. *
    15,700       16,485  
Globe Specialty Metals, Inc.
    15,900       302,577  
Graphic Packaging Holding Co. *
    52,900       634,800  
Greif, Inc., Class A
    4,300       215,774  
H.B. Fuller Co.
    9,000       401,850  
Hawkins, Inc.
    2,700       92,475  
Haynes International, Inc.
    2,500       124,500  
Headwaters, Inc. *
    12,000       128,280  
Hecla Mining Co.
    72,100       227,836  
Horsehead Holding Corp. *
    12,800       239,744  
Huntsman Corp.
    34,000       885,700  
 
 
 
12 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Innophos Holdings, Inc.
    5,300       320,279  
Innospec, Inc.
    4,200       168,882  
International Flavors & Fragrances, Inc.
    13,500       1,363,365  
International Paper Co.
    76,680       3,642,300  
Intrepid Potash, Inc. *
    11,800       174,758  
Kaiser Aluminum Corp.
    3,600       277,992  
KapStone Paper & Packaging Corp. *
    15,800       469,892  
KMG Chemicals, Inc.
    1,600       26,832  
Koppers Holdings, Inc.
    4,800       172,944  
Kraton Performance Polymers, Inc. *
    3,500       72,135  
Kronos Worldwide, Inc.
    11,720       174,745  
Landec Corp. *
    9,100       111,111  
Louisiana-Pacific Corp. *
    20,200       273,508  
LSB Industries, Inc. *
    3,000       115,530  
LyondellBasell Industries N.V., Class A
    74,332       7,897,775  
Martin Marietta Materials, Inc.
    11,400       1,416,222  
Materion Corp.
    4,000       129,240  
McEwen Mining, Inc. *
    31,130       88,721  
MeadWestvaco Corp.
    29,374       1,227,833  
Minerals Technologies, Inc.
    6,200       360,034  
Molycorp, Inc. *(c)
    51,800       108,262  
Monsanto Co.
    91,342       10,329,867  
Myers Industries, Inc.
    8,080       149,318  
Neenah Paper, Inc.
    4,231       209,942  
NewMarket Corp.
    1,900       735,300  
Newmont Mining Corp.
    87,974       2,191,432  
Noranda Aluminum Holding Corp.
    16,500       72,930  
Nucor Corp.
    54,800       2,752,056  
Olin Corp.
    15,820       420,337  
Olympic Steel, Inc.
    1,400       30,702  
OM Group, Inc.
    7,600       214,852  
OMNOVA Solutions, Inc. *
    10,400       83,928  
Owens-Illinois, Inc. *
    26,300       820,297  
P.H. Glatfelter Co.
    7,000       166,600  
Packaging Corp. of America
    16,100       1,065,176  
Penford Corp. *
    6,200       76,136  
Platform Specialty Products Corp. *
    15,000       370,650  
PolyOne Corp.
    14,810       562,039  
PPG Industries, Inc.
    24,300       4,820,148  
Praxair, Inc.
    51,000       6,535,140  
Quaker Chemical Corp.
    3,200       225,952  
Rayonier Advanced Materials, Inc. *
    6,960       225,922  
Reliance Steel & Aluminum Co.
    13,300       907,725  
Rentech, Inc. *
    37,400       81,158  
Resolute Forest Products, Inc. *
    14,000       215,460  
Rock-Tenn Co., Class A
    12,813       1,273,997  
Rockwood Holdings, Inc.
    12,500       986,750  
Royal Gold, Inc.
    11,400       861,498  
RPM International, Inc.
    24,600       1,086,828  
RTI International Metals, Inc. *
    7,700       191,422  
Schnitzer Steel Industries, Inc., Class A
    3,450       92,150  
Schweitzer-Mauduit International, Inc.
    4,600       187,818  
Sealed Air Corp.
    32,000       1,027,840  
Sensient Technologies Corp.
    7,400       388,500  
Sigma-Aldrich Corp.
    21,400       2,148,988  
Silgan Holdings, Inc.
    6,900       339,618  
Sonoco Products Co.
    16,800       657,552  
Steel Dynamics, Inc.
    39,300       833,553  
Stepan Co.
    4,300       206,916  
Stillwater Mining Co. *
    24,633       440,931  
SunCoke Energy, Inc. *
    15,217       347,404  
The Dow Chemical Co.
    208,551       10,650,700  
The Mosaic Co.
    59,512       2,744,098  
The Scotts Miracle-Gro Co., Class A
    7,300       388,360  
The Sherwin-Williams Co.
    14,901       3,073,033  
The Valspar Corp.
    13,300       998,165  
TimkenSteel Corp. *
    6,550       284,991  
Tredegar Corp.
    5,100       99,654  
Tronox Ltd., Class A
    9,800       260,092  
United States Steel Corp.
    26,300       880,787  
Universal Stainless & Alloy Products, Inc. *
    1,800       51,894  
US Silica Holdings, Inc.
    10,600       595,932  
Valhi, Inc. (c)
    13,600       89,488  
Vulcan Materials Co.
    21,492       1,356,790  
W.R. Grace & Co. *
    13,600       1,237,600  
Walter Energy, Inc. (c)
    15,800       90,850  
Wausau Paper Corp.
    8,700       87,609  
Westlake Chemical Corp.
    7,500       655,425  
Worthington Industries, Inc.
    7,200       275,400  
Zep, Inc.
    6,600       102,894  
                 
              144,396,381  
 
Media 3.5%
AH Belo Corp., Class A
    13,980       147,489  
AMC Networks, Inc., Class A *
    10,400       622,648  
Cablevision Systems Corp., Class A
    33,200       638,104  
Carmike Cinemas, Inc. *
    6,300       198,072  
CBS Corp., Class B - Non Voting Shares
    94,890       5,392,599  
CBS Outdoor Americas, Inc.
    4,400       146,476  
Central European Media Enterprises Ltd., Class A *
    9,900       25,938  
Charter Communications, Inc., Class A *
    12,500       1,931,500  
Cinemark Holdings, Inc.
    19,600       642,880  
Clear Channel Outdoor Holdings, Inc., Class A
    20,700       156,285  
Comcast Corp., Class A
    450,895       24,226,588  
Crown Media Holdings, Inc., Class A *
    6,000       20,280  
Cumulus Media, Inc., Class A *
    25,351       131,318  
DIRECTV *
    80,526       6,929,262  
Discovery Communications, Inc., Class A *
    38,461       3,277,262  
DISH Network Corp., Class A *
    35,600       2,202,216  
DreamWorks Animation SKG, Inc., Class A *
    10,200       204,000  
Entercom Communications Corp., Class A *
    11,000       103,950  
Gannett Co., Inc.
    39,000       1,276,080  
Harte-Hanks, Inc.
    17,200       112,832  
John Wiley & Sons, Inc., Class A
    9,000       540,810  
 
 
 
 13

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Journal Communications, Inc., Class A *
    16,900       183,872  
Lamar Advertising Co., Class A
    12,100       606,815  
Liberty Global plc, Class A *
    60,875       2,532,400  
Liberty Global plc, Series C *
    67,875       2,714,321  
Liberty Media Corp., Class A *
    17,495       823,140  
Liberty Media Corp., Class C *
    34,990       1,644,530  
Live Nation Entertainment, Inc. *
    26,457       614,067  
Loral Space & Communications, Inc. *
    2,800       202,440  
Martha Stewart Living Omnimedia, Inc., Class A *
    26,100       117,711  
Media General, Inc. *(c)
    6,800       137,088  
Meredith Corp.
    5,100       234,192  
Morningstar, Inc.
    3,200       216,992  
National CineMedia, Inc.
    13,200       211,992  
News Corp., Class A *
    84,687       1,494,726  
Nexstar Broadcasting Group, Inc., Class A
    4,500       209,655  
Omnicom Group, Inc.
    45,800       3,205,542  
Regal Entertainment Group, Class A
    12,100       235,466  
Salem Communications Corp., Class A
    5,700       49,647  
Scholastic Corp.
    7,300       258,566  
Scripps Networks Interactive, Inc., Class A
    19,200       1,582,272  
Sinclair Broadcast Group, Inc., Class A
    11,000       355,410  
Sirius XM Holdings, Inc. *
    485,300       1,640,314  
Sizmek, Inc. *
    8,300       75,447  
Starz, Class A *
    16,195       461,719  
The E.W. Scripps Co., Class A *
    9,800       212,464  
The Interpublic Group of Cos., Inc.
    73,037       1,439,559  
The Madison Square Garden Co., Class A *
    10,175       603,785  
The New York Times Co., Class A
    17,300       216,077  
The Walt Disney Co.
    279,239       23,981,045  
Time Warner Cable, Inc.
    48,737       7,071,739  
Time Warner, Inc.
    152,979       12,700,317  
Time, Inc. *
    19,122       460,840  
Twenty-First Century Fox, Inc., Class A
    333,578       10,567,751  
Viacom, Inc., Class B
    68,922       5,697,782  
World Wrestling Entertainment, Inc., Class A (c)
    5,700       71,136  
                 
              131,757,408  
 
Pharmaceuticals, Biotechnology & Life Sciences 8.4%
AbbVie, Inc.
    275,831       14,436,995  
ACADIA Pharmaceuticals, Inc. *
    16,600       336,482  
Accelerate Diagnostics, Inc. *(c)
    5,300       96,354  
Achillion Pharmaceuticals, Inc. *(c)
    19,800       135,630  
Acorda Therapeutics, Inc. *
    8,400       245,868  
Actavis plc *
    45,920       9,838,819  
Acura Pharmaceuticals, Inc. *(c)
    20,900       21,736  
Aegerion Pharmaceuticals, Inc. *
    3,800       127,718  
Affymetrix, Inc. *
    25,500       219,300  
Agilent Technologies, Inc.
    57,417       3,220,520  
Akorn, Inc. *
    15,400       522,522  
Albany Molecular Research, Inc. *
    8,800       167,552  
Alexion Pharmaceuticals, Inc. *
    34,402       5,469,574  
Alkermes plc *
    28,600       1,222,936  
Allergan, Inc.
    51,317       8,511,438  
Alnylam Pharmaceuticals, Inc. *
    11,000       594,550  
AMAG Pharmaceuticals, Inc. *
    6,600       125,994  
Amgen, Inc.
    131,289       16,724,906  
Amicus Therapeutics, Inc. *
    13,800       58,374  
Aratana Therapeutics, Inc. *
    10,100       116,453  
Arena Pharmaceuticals, Inc. *(c)
    32,100       148,623  
ARIAD Pharmaceuticals, Inc. *(c)
    31,300       180,288  
ArQule, Inc. *
    21,000       28,560  
Array BioPharma, Inc. *
    62,184       248,736  
Arrowhead Research Corp. *
    10,700       135,355  
Auxilium Pharmaceuticals, Inc. *
    12,500       250,250  
AVANIR Pharmaceuticals, Inc. *
    28,700       149,527  
AVEO Pharmaceuticals, Inc. *
    15,100       19,026  
Bio-Rad Laboratories, Inc., Class A *
    3,000       344,970  
BioCryst Pharmaceuticals, Inc. *
    23,900       299,228  
Biogen Idec, Inc. *
    41,112       13,747,442  
BioMarin Pharmaceutical, Inc. *
    26,000       1,607,320  
Biota Pharmaceuticals, Inc. *
    26,016       83,511  
Bristol-Myers Squibb Co.
    287,447       14,550,567  
Bruker Corp. *
    18,000       409,140  
Cambrex Corp. *
    7,200       151,704  
Celgene Corp. *
    139,162       12,127,968  
Celldex Therapeutics, Inc. *
    15,200       198,968  
Cepheid, Inc. *
    11,200       421,568  
Charles River Laboratories International, Inc. *
    7,416       402,021  
Clovis Oncology, Inc. *
    4,900       178,605  
Covance, Inc. *
    11,800       990,256  
Cubist Pharmaceuticals, Inc. *
    12,200       742,980  
Dendreon Corp. *(c)
    72,900       150,903  
Depomed, Inc. *
    14,500       144,275  
Durect Corp. *
    14,500       21,460  
Dyax Corp. *
    31,000       292,020  
Dynavax Technologies Corp. *
    109,500       162,060  
Eli Lilly & Co.
    171,589       10,477,224  
Emergent Biosolutions, Inc. *
    10,400       228,800  
Endo International plc *
    23,200       1,556,256  
Endocyte, Inc. *(c)
    11,300       74,975  
Enzo Biochem, Inc. *
    43,981       211,109  
Enzon Pharmaceuticals, Inc.
    21,300       22,791  
EPIRUS Biopharmaceuticals, Inc. *(c)
    843       6,887  
Exact Sciences Corp. *(c)
    16,300       254,443  
Exelixis, Inc. *(c)
    44,700       180,588  
Fluidigm Corp. *
    6,000       171,780  
Genomic Health, Inc. *
    8,400       214,032  
Geron Corp. *(c)
    46,200       111,111  
Gilead Sciences, Inc. *
    266,417       24,390,476  
GTx, Inc. *(c)
    15,900       19,239  
Halozyme Therapeutics, Inc. *
    28,000       272,720  
Harvard Apparatus Regenerative Technology, Inc. *
    4,825       35,415  
Harvard Bioscience, Inc. *
    19,300       89,166  
Horizon Pharma, Inc. *(c)
    10,700       90,950  
Hospira, Inc. *
    30,370       1,684,624  
Idenix Pharmaceuticals, Inc. *
    20,181       492,820  
Illumina, Inc. *
    22,500       3,597,975  
ImmunoGen, Inc. *
    16,900       182,182  
 
 
 
14 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Immunomedics, Inc. *(c)
    64,448       208,812  
Impax Laboratories, Inc. *
    13,800       322,782  
Incyte Corp. *
    28,200       1,341,474  
Infinity Pharmaceuticals, Inc. *
    19,600       178,164  
Intercept Pharmaceuticals, Inc. *
    1,800       418,248  
InterMune, Inc. *
    17,100       750,177  
Ironwood Pharmaceuticals, Inc. *
    19,800       293,040  
Isis Pharmaceuticals, Inc. *
    18,600       576,414  
Jazz Pharmaceuticals plc *
    9,800       1,369,354  
Johnson & Johnson
    490,700       49,114,163  
Keryx Biopharmaceuticals, Inc. *(c)
    13,600       204,680  
Lannett Co., Inc. *
    4,900       164,689  
Lexicon Pharmaceuticals, Inc. *
    127,500       187,425  
Ligand Pharmaceuticals, Inc. *
    4,948       243,293  
Luminex Corp. *
    12,900       234,780  
Mallinckrodt plc *(c)
    10,950       762,339  
MannKind Corp. *(c)
    40,800       341,088  
Medivation, Inc. *
    13,200       979,836  
Merck & Co., Inc.
    506,846       28,758,442  
Merrimack Pharmaceuticals, Inc. *(c)
    38,590       228,067  
Mettler-Toledo International, Inc. *
    4,800       1,234,272  
Momenta Pharmaceuticals, Inc. *
    13,500       143,640  
Mylan, Inc. *
    66,200       3,268,294  
Myriad Genetics, Inc. *(c)
    11,100       400,710  
Nektar Therapeutics *
    18,300       193,065  
Neurocrine Biosciences, Inc. *
    21,600       293,328  
Novavax, Inc. *
    52,500       227,325  
NPS Pharmaceuticals, Inc. *
    14,800       413,512  
Oncothyreon, Inc. *
    25,700       70,161  
OPKO Health, Inc. *(c)
    33,700       297,234  
Pacira Pharmaceuticals, Inc. *
    6,500       598,000  
Pain Therapeutics, Inc. *
    18,600       78,306  
PAREXEL International Corp. *
    9,300       498,108  
PDL BioPharma, Inc. (c)
    28,700       269,206  
PerkinElmer, Inc.
    18,577       858,629  
Perrigo Co., plc
    22,900       3,445,305  
Pfizer, Inc.
    1,106,367       31,752,733  
Pharmacyclics, Inc. *
    11,100       1,336,884  
POZEN, Inc. *
    16,100       116,564  
Prestige Brands Holdings, Inc. *
    8,500       261,800  
Puma Biotechnology, Inc. *
    3,400       753,848  
Questcor Pharmaceuticals, Inc. (c)
    9,200       827,724  
Quintiles Transnational Holdings, Inc. *
    11,800       648,174  
Raptor Pharmaceutical Corp. *(c)
    29,942       257,801  
Regeneron Pharmaceuticals, Inc. *
    14,000       4,427,080  
Rigel Pharmaceuticals, Inc. *
    48,200       157,614  
Sagent Pharmaceuticals, Inc. *
    9,800       249,704  
Salix Pharmaceuticals Ltd. *
    11,536       1,521,714  
Sangamo BioSciences, Inc. *
    14,600       173,448  
Sarepta Therapeutics, Inc. *(c)
    9,800       209,132  
Seattle Genetics, Inc. *
    17,900       630,080  
Sequenom, Inc. *(c)
    87,600       328,500  
Spectrum Pharmaceuticals, Inc. *
    24,200       170,368  
Sucampo Pharmaceuticals, Inc., Class A *
    12,400       73,160  
Synageva BioPharma Corp. *
    4,100       280,481  
Synta Pharmaceuticals Corp. *(c)
    43,900       173,405  
Techne Corp.
    5,800       541,256  
The Medicines Co. *
    10,600       247,722  
Theravance Biopharma, Inc. *(c)
    3,914       109,709  
Theravance, Inc. *(c)
    13,700       297,290  
Thermo Fisher Scientific, Inc.
    69,202       8,408,043  
United Therapeutics Corp. *
    7,600       691,144  
Vertex Pharmaceuticals, Inc. *
    40,544       3,604,767  
Vical, Inc. *
    34,400       45,064  
VIVUS, Inc. *(c)
    23,400       112,788  
Waters Corp. *
    14,100       1,458,504  
XenoPort, Inc. *
    37,200       159,588  
ZIOPHARM Oncology, Inc. *(c)
    55,300       173,089  
Zoetis, Inc.
    87,879       2,892,098  
                 
              316,804,253  
 
Real Estate 3.7%
Acadia Realty Trust
    9,600       271,008  
AG Mortgage Investment Trust, Inc.
    12,000       220,080  
Agree Realty Corp.
    5,000       146,400  
Alexander & Baldwin, Inc.
    6,400       244,288  
Alexander’s, Inc.
    800       290,400  
Alexandria Real Estate Equities, Inc.
    11,800       927,480  
Altisource Portfolio Solutions S.A. *
    2,800       303,464  
Altisource Residential Corp.
    10,789       250,197  
American Assets Trust, Inc.
    8,000       274,320  
American Campus Communities, Inc.
    17,300       673,316  
American Capital Agency Corp.
    62,500       1,445,000  
American Capital Mortgage Investment Corp.
    14,600       290,978  
American Homes 4 Rent, Class A
    8,000       145,760  
American Realty Capital Properties, Inc.
    156,400       2,050,404  
American Realty Investors, Inc. *
    1,537       10,067  
American Tower Corp.
    68,900       6,503,471  
Annaly Capital Management, Inc.
    166,400       1,847,040  
Anworth Mortgage Asset Corp.
    24,200       122,936  
Apartment Investment & Management Co., Class A
    23,111       789,934  
Apollo Commercial Real Estate Finance, Inc.
    11,400       188,898  
Apollo Residential Mortgage, Inc.
    12,900       210,270  
ARMOUR Residential REIT, Inc.
    61,000       256,810  
Ashford Hospitality Prime, Inc.
    1,800       29,970  
Ashford Hospitality Trust, Inc.
    9,000       103,590  
Associated Estates Realty Corp.
    6,900       121,923  
AV Homes, Inc. *
    6,500       101,335  
AvalonBay Communities, Inc.
    20,892       3,093,687  
Aviv REIT, Inc.
    5,400       153,630  
BioMed Realty Trust, Inc.
    31,700       681,550  
Blackstone Mortgage Trust, Inc., Class A
    8,102       230,664  
Boston Properties, Inc.
    26,100       3,117,645  
Brandywine Realty Trust
    25,863       402,170  
Brixmor Property Group, Inc.
    7,200       163,080  
Camden Property Trust
    14,100       1,020,276  
Campus Crest Communities, Inc.
    17,900       143,200  
Capstead Mortgage Corp.
    21,740       279,142  
CareTrust REIT, Inc. *
    5,300       90,418  
CBL & Associates Properties, Inc.
    26,785       500,880  
CBRE Group, Inc., Class A *
    46,800       1,443,312  
 
 
 
 15

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Cedar Realty Trust, Inc.
    33,200       209,160  
Chambers Street Properties
    37,300       290,194  
Chesapeake Lodging Trust
    8,500       252,280  
Chimera Investment Corp.
    169,700       537,949  
CIM Commercial Trust Corp.
    1,700       35,547  
Colony Financial, Inc.
    19,300       427,495  
Columbia Property Trust, Inc.
    20,200       515,302  
Consolidated-Tomoka Land Co.
    2,000       89,240  
CoreSite Realty Corp.
    3,400       111,044  
Corporate Office Properties Trust
    14,400       408,528  
Corrections Corp. of America
    20,285       653,583  
Cousins Properties, Inc.
    28,345       350,911  
Crown Castle International Corp.
    57,276       4,248,734  
CubeSmart
    21,400       389,694  
CYS Investments, Inc.
    25,500       226,440  
DCT Industrial Trust, Inc.
    63,600       497,988  
DDR Corp.
    54,584       957,403  
DiamondRock Hospitality Co.
    32,286       395,826  
Digital Realty Trust, Inc.
    23,800       1,532,482  
Douglas Emmett, Inc.
    24,948       710,769  
Duke Realty Corp.
    59,590       1,072,024  
DuPont Fabros Technology, Inc.
    9,200       252,172  
EastGroup Properties, Inc.
    6,300       392,868  
Education Realty Trust, Inc.
    27,500       290,400  
Empire State Realty Trust, Inc., Class A
    12,802       207,904  
EPR Properties
    9,600       517,440  
Equity Commonwealth
    17,650       474,079  
Equity Lifestyle Properties, Inc.
    12,000       531,480  
Equity One, Inc.
    12,100       280,962  
Equity Residential
    57,900       3,743,235  
Essex Property Trust, Inc.
    10,989       2,083,185  
Excel Trust, Inc.
    14,000       181,300  
Extra Space Storage, Inc.
    18,200       941,486  
Federal Realty Investment Trust
    11,200       1,367,520  
FelCor Lodging Trust, Inc.
    12,200       127,734  
First Industrial Realty Trust, Inc.
    15,900       286,995  
First Potomac Realty Trust
    14,800       195,212  
Forest City Enterprises, Inc., Class A *
    23,900       458,163  
Forestar Group, Inc. *
    4,933       92,247  
Franklin Street Properties Corp.
    22,500       273,150  
Gaming & Leisure Properties, Inc.
    13,718       461,885  
General Growth Properties, Inc.
    89,309       2,087,151  
Getty Realty Corp.
    9,500       174,515  
Glimcher Realty Trust
    20,000       214,800  
Government Properties Income Trust
    9,900       231,165  
Gramercy Property Trust, Inc.
    27,228       160,917  
Griffin Land & Nurseries, Inc.
    300       7,983  
Hatteras Financial Corp.
    13,800       264,270  
HCP, Inc.
    78,348       3,253,792  
Health Care REIT, Inc.
    53,030       3,374,299  
Healthcare Realty Trust, Inc.
    15,800       390,260  
Healthcare Trust of America, Inc., Class A
    27,300       325,143  
Hersha Hospitality Trust
    40,000       264,400  
Highwoods Properties, Inc.
    17,261       726,170  
Home Properties, Inc.
    9,500       625,005  
Hospitality Properties Trust
    24,500       699,965  
Host Hotels & Resorts, Inc.
    129,863       2,823,222  
Hudson Pacific Properties, Inc.
    9,100       232,960  
Inland Real Estate Corp.
    20,300       209,902  
Invesco Mortgage Capital, Inc.
    22,300       378,654  
Investors Real Estate Trust
    28,600       243,672  
iStar Financial, Inc. *
    13,390       192,548  
Jones Lang LaSalle, Inc.
    7,300       903,010  
Kennedy-Wilson Holdings, Inc.
    12,200       285,480  
Kilroy Realty Corp.
    15,400       952,336  
Kimco Realty Corp.
    74,295       1,662,722  
Kite Realty Group Trust
    31,300       190,930  
LaSalle Hotel Properties
    19,700       685,363  
Lexington Realty Trust
    33,567       367,223  
Liberty Property Trust
    24,200       851,114  
LTC Properties, Inc.
    4,800       183,984  
Mack-Cali Realty Corp.
    18,500       390,350  
Maui Land & Pineapple Co., Inc. *
    800       5,840  
Medical Properties Trust, Inc.
    24,300       327,078  
MFA Financial, Inc.
    60,500       492,470  
Mid-America Apartment Communities, Inc.
    12,844       898,053  
Monmouth Real Estate Investment Corp.
    18,100       186,068  
National Health Investors, Inc.
    5,900       352,761  
National Retail Properties, Inc.
    20,120       715,668  
New Century Financial Corp. *(b)(g)
    3,600       —  
New Residential Investment Corp.
    42,700       255,346  
New York Mortgage Trust, Inc.
    18,600       140,430  
New York REIT, Inc. (c)
    28,100       293,364  
Newcastle Investment Corp.
    59,300       265,071  
NorthStar Realty Finance Corp. *
    33,475       538,948  
Omega Healthcare Investors, Inc.
    22,684       828,873  
One Liberty Properties, Inc.
    1,400       29,008  
Parkway Properties, Inc.
    14,940       309,706  
Pebblebrook Hotel Trust
    12,300       447,720  
Pennsylvania Real Estate Investment Trust
    13,900       267,297  
PennyMac Mortgage Investment Trust
    14,400       308,304  
Physicians Realty Trust
    10,600       149,248  
Piedmont Office Realty Trust, Inc., Class A
    27,500       534,875  
Plum Creek Timber Co., Inc.
    32,047       1,325,784  
Post Properties, Inc.
    8,200       444,440  
Potlatch Corp.
    5,753       237,599  
Preferred Apartment Communities, Inc., Class A
    3,700       33,263  
Prologis, Inc.
    84,834       3,462,076  
PS Business Parks, Inc.
    3,000       247,500  
Public Storage
    24,790       4,254,212  
RAIT Financial Trust
    16,199       124,732  
Ramco-Gershenson Properties Trust
    13,400       222,440  
Rayonier, Inc.
    20,882       711,241  
Realogy Holdings Corp. *
    24,700       907,972  
Realty Income Corp.
    40,035       1,723,507  
Redwood Trust, Inc.
    11,300       214,474  
Regency Centers Corp.
    17,233       936,786  
Resource Capital Corp.
    28,600       157,586  
Retail Opportunity Investments Corp.
    14,400       222,192  
Retail Properties of America, Inc., Class A
    28,700       431,935  
 
 
 
16 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
RLJ Lodging Trust
    20,300       569,212  
Rouse Properties, Inc. (c)
    10,715       181,619  
Ryman Hospitality Properties, Inc.
    7,837       374,217  
Sabra Health Care REIT, Inc.
    8,000       221,600  
Saul Centers, Inc.
    4,700       224,049  
Select Income REIT
    8,600       238,650  
Senior Housing Properties Trust
    37,819       864,542  
Silver Bay Realty Trust Corp.
    13,033       210,613  
Simon Property Group, Inc.
    54,005       9,083,101  
SL Green Realty Corp.
    16,866       1,818,155  
Sovran Self Storage, Inc.
    6,626       508,347  
Spirit Realty Capital, Inc.
    69,048       798,885  
STAG Industrial, Inc.
    11,900       271,796  
Starwood Property Trust, Inc.
    38,873       917,403  
Starwood Waypoint Residential Trust *
    6,440       169,308  
Strategic Hotels & Resorts, Inc. *
    42,000       479,220  
Summit Hotel Properties, Inc.
    9,600       98,592  
Sun Communities, Inc.
    6,000       315,780  
Sunstone Hotel Investors, Inc.
    27,600       391,644  
Tanger Factory Outlet Centers, Inc.
    15,600       540,540  
Taubman Centers, Inc.
    10,100       742,956  
Tejon Ranch Co. *
    3,674       105,076  
The Geo Group, Inc.
    11,899       409,445  
The Howard Hughes Corp. *
    5,100       741,642  
The Macerich Co.
    24,905       1,619,074  
The St. Joe Co. *
    18,800       429,392  
Two Harbors Investment Corp.
    60,300       616,869  
UDR, Inc.
    42,961       1,249,306  
UMH Properties, Inc.
    7,900       78,289  
Universal Health Realty Income Trust
    4,700       197,682  
Urstadt Biddle Properties, Inc., Class A
    4,500       92,205  
Ventas, Inc.
    50,951       3,235,389  
Vornado Realty Trust REIT
    30,292       3,211,558  
Washington Prime Group, Inc. *
    27,002       510,068  
Washington Real Estate Investment Trust
    9,700       263,064  
Weingarten Realty Investors
    17,175       565,229  
Western Asset Mortgage Capital Corp.
    4,607       62,655  
Weyerhaeuser Co.
    99,992       3,131,749  
Whitestone REIT
    2,100       31,416  
Winthrop Realty Trust
    10,000       150,700  
WP Carey, Inc.
    9,200       604,716  
                 
              138,893,928  
 
Retailing 4.0%
Aaron’s, Inc.
    14,675       387,127  
Abercrombie & Fitch Co., Class A
    11,800       464,212  
Advance Auto Parts, Inc.
    13,140       1,591,385  
Aeropostale, Inc. *(c)
    25,600       84,992  
Amazon.com, Inc. *
    64,652       20,235,429  
America’s Car-Mart, Inc. *
    6,850       256,464  
American Eagle Outfitters, Inc.
    27,450       292,617  
ANN, Inc. *
    6,625       243,469  
Asbury Automotive Group, Inc. *
    6,500       438,945  
Ascena Retail Group, Inc. *
    21,236       341,050  
AutoNation, Inc. *
    10,100       538,532  
AutoZone, Inc. *
    5,800       2,998,774  
Barnes & Noble, Inc. *
    7,400       154,068  
Bed Bath & Beyond, Inc. *
    35,500       2,246,795  
Best Buy Co., Inc.
    50,325       1,496,162  
Big Lots, Inc.
    8,000       350,000  
Brown Shoe Co., Inc.
    6,675       188,168  
Burlington Stores, Inc. *
    5,000       163,650  
Cabela’s, Inc. *
    7,700       449,372  
CarMax, Inc. *
    36,846       1,798,453  
Chico’s FAS, Inc.
    26,200       414,222  
Christopher & Banks Corp. *
    13,400       114,570  
Conn’s, Inc. *(c)
    7,900       316,000  
Core-Mark Holding Co., Inc.
    4,000       188,800  
CST Brands, Inc.
    12,286       410,721  
Destination Maternity Corp.
    5,000       95,150  
Dick’s Sporting Goods, Inc.
    17,500       744,275  
Dillard’s, Inc., Class A
    4,300       512,646  
Dollar General Corp. *
    51,525       2,845,726  
Dollar Tree, Inc. *
    35,350       1,925,515  
DSW, Inc., Class A
    11,560       307,380  
Expedia, Inc.
    16,972       1,347,916  
Express, Inc. *
    12,600       196,056  
Family Dollar Stores, Inc.
    16,300       1,218,425  
Five Below, Inc. *
    7,800       285,636  
Foot Locker, Inc.
    23,800       1,131,214  
Francesca’s Holdings Corp. *
    13,300       169,974  
Fred’s, Inc., Class A
    6,700       106,061  
FTD Cos., Inc. *
    8,070       265,826  
GameStop Corp., Class A
    19,348       812,036  
Geeknet, Inc. *
    452       5,392  
Genesco, Inc. *
    4,300       327,961  
Genuine Parts Co.
    27,300       2,260,986  
GNC Holdings, Inc., Class A
    15,500       508,555  
Group 1 Automotive, Inc.
    4,400       325,248  
Groupon, Inc. *
    58,800       380,436  
Guess?, Inc.
    7,900       205,479  
Hibbett Sports, Inc. *
    3,543       176,831  
HomeAway, Inc. *
    10,400       361,088  
HSN, Inc.
    6,269       350,374  
J.C. Penney Co., Inc. *(c)
    50,700       475,566  
Kirkland’s, Inc. *
    8,700       163,647  
Kohl’s Corp.
    33,200       1,777,528  
L Brands, Inc.
    42,220       2,447,493  
Lands’ End, Inc. *(c)
    7,747       272,617  
Liberty Interactive Corp., Class A *
    81,009       2,272,302  
Liberty Ventures, Series A *
    13,830       956,483  
Lithia Motors, Inc., Class A
    3,300       293,205  
LKQ Corp. *
    49,600       1,297,288  
Lowe’s Cos., Inc.
    173,951       8,323,555  
Lumber Liquidators Holdings, Inc. *
    4,600       249,412  
Macy’s, Inc.
    63,863       3,690,643  
MarineMax, Inc. *
    16,300       271,721  
Mattress Firm Holding Corp. *(c)
    3,200       149,120  
Monro Muffler Brake, Inc.
    4,462       226,625  
Murphy USA, Inc. *
    6,875       339,763  
Netflix, Inc. *
    10,200       4,311,744  
Nordstrom, Inc.
    23,600       1,633,828  
O’Reilly Automotive, Inc. *
    17,999       2,699,850  
Office Depot, Inc. *
    77,256       387,053  
Outerwall, Inc. *(c)
    5,000       275,100  
Pacific Sunwear of California, Inc. *
    41,175       83,585  
 
 
 
 17

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Penske Automotive Group, Inc.
    6,300       292,635  
PetSmart, Inc.
    17,100       1,165,194  
Pier 1 Imports, Inc.
    15,800       237,948  
Pool Corp.
    6,662       364,811  
RadioShack Corp. *
    27,200       16,864  
Rent-A-Center, Inc.
    7,750       185,535  
Restoration Hardware Holdings, Inc. *
    4,200       343,518  
Ross Stores, Inc.
    35,800       2,305,520  
Sally Beauty Holdings, Inc. *
    24,850       644,858  
Sears Holdings Corp. *(c)
    6,385       243,588  
Select Comfort Corp. *
    12,200       246,440  
Shoe Carnival, Inc.
    6,300       112,140  
Shutterfly, Inc. *
    6,300       310,716  
Signet Jewelers Ltd.
    14,000       1,425,060  
Sonic Automotive, Inc., Class A
    11,200       272,384  
Stage Stores, Inc.
    14,275       257,236  
Staples, Inc.
    107,500       1,245,925  
Stein Mart, Inc.
    10,300       133,694  
Systemax, Inc. *
    8,000       109,360  
Target Corp.
    109,592       6,530,587  
The Buckle, Inc.
    3,875       172,438  
The Cato Corp., Class A
    7,100       219,106  
The Children’s Place, Inc.
    3,600       180,720  
The Finish Line, Inc., Class A
    7,161       188,263  
The Gap, Inc.
    46,400       1,861,104  
The Home Depot, Inc.
    237,333       19,188,373  
The Men’s Wearhouse, Inc.
    6,600       332,112  
The Pep Boys - Manny, Moe & Jack *
    19,400       205,252  
The Priceline Group, Inc. *
    9,136       11,351,023  
The TJX Cos., Inc.
    122,747       6,541,188  
The Wet Seal, Inc., Class A *(c)
    31,400       28,954  
Tiffany & Co.
    18,600       1,815,546  
Tractor Supply Co.
    23,100       1,436,127  
Trans World Entertainment Corp.
    9,700       34,920  
TripAdvisor, Inc. *
    19,772       1,875,176  
Tuesday Morning Corp. *
    10,800       177,768  
Ulta Salon, Cosmetics & Fragrance, Inc. *
    12,100       1,117,193  
Urban Outfitters, Inc. *
    18,000       643,140  
Vitamin Shoppe, Inc. *
    4,200       179,130  
VOXX International Corp. *
    9,100       90,181  
West Marine, Inc. *
    8,200       70,356  
Williams-Sonoma, Inc.
    16,200       1,086,534  
Winmark Corp.
    1,700       111,299  
Zumiez, Inc. *
    10,500       292,425  
                 
              151,270,632  
 
Semiconductors & Semiconductor Equipment 2.4%
Advanced Energy Industries, Inc. *
    4,500       75,690  
Advanced Micro Devices, Inc. *(c)
    123,300       482,103  
Altera Corp.
    53,000       1,734,160  
Amkor Technology, Inc. *
    19,300       170,805  
Amtech Systems, Inc. *
    3,500       34,230  
ANADIGICS, Inc. *
    8,150       6,520  
Analog Devices, Inc.
    54,549       2,707,267  
Applied Materials, Inc.
    213,298       4,470,726  
Applied Micro Circuits Corp. *
    21,300       177,855  
Atmel Corp. *
    64,100       525,620  
Avago Technologies Ltd.
    43,300       3,004,154  
AXT, Inc. *
    3,500       7,525  
Broadcom Corp., Class A
    94,590       3,619,013  
Brooks Automation, Inc.
    11,885       120,989  
Cabot Microelectronics Corp. *
    5,660       227,475  
Cavium, Inc. *
    10,400       485,160  
CEVA, Inc. *
    7,233       102,926  
Cirrus Logic, Inc. *
    9,800       219,814  
Cohu, Inc.
    7,500       83,625  
Cree, Inc. *
    20,900       987,107  
Cypress Semiconductor Corp. *
    19,500       197,145  
Diodes, Inc. *
    11,012       280,806  
DSP Group, Inc. *
    6,300       55,881  
Entegris, Inc. *
    19,299       221,746  
Entropic Communications, Inc. *
    20,100       56,079  
Exar Corp. *
    9,834       94,701  
Fairchild Semiconductor International, Inc. *
    17,800       270,916  
First Solar, Inc. *
    13,279       838,038  
FormFactor, Inc. *
    14,600       98,550  
Freescale Semiconductor Ltd. *
    15,000       300,300  
GSI Technology, Inc. *
    8,500       54,400  
GT Advanced Technologies, Inc. *(c)
    29,500       408,280  
Integrated Device Technology, Inc. *
    26,920       386,571  
Integrated Silicon Solution, Inc.
    9,338       136,522  
Intel Corp.
    863,471       29,263,032  
International Rectifier Corp. *
    14,937       371,035  
Intersil Corp., Class A
    26,764       343,382  
IXYS Corp.
    6,900       78,798  
KLA-Tencor Corp.
    29,000       2,073,210  
Kopin Corp. *
    19,600       67,228  
Kulicke & Soffa Industries, Inc. *
    18,500       251,970  
Lam Research Corp.
    27,067       1,894,690  
Lattice Semiconductor Corp. *
    25,100       171,684  
Linear Technology Corp.
    41,900       1,849,256  
Marvell Technology Group Ltd.
    73,200       976,488  
Maxim Integrated Products, Inc.
    48,200       1,412,742  
Micrel, Inc.
    9,700       101,462  
Microchip Technology, Inc.
    34,875       1,570,073  
Micron Technology, Inc. *
    186,507       5,697,789  
Microsemi Corp. *
    13,152       315,385  
MKS Instruments, Inc.
    7,900       251,062  
Monolithic Power Systems, Inc.
    6,500       268,060  
MoSys, Inc. *(c)
    6,400       21,184  
Nanometrics, Inc. *
    5,300       82,468  
NVIDIA Corp.
    97,000       1,697,500  
OmniVision Technologies, Inc. *
    13,900       311,360  
ON Semiconductor Corp. *
    75,165       643,412  
Pericom Semiconductor Corp. *
    6,600       58,278  
Photronics, Inc. *
    18,000       143,460  
PLX Technology, Inc. *
    14,100       91,509  
PMC-Sierra, Inc. *
    27,300       183,729  
Power Integrations, Inc.
    4,200       226,086  
QuickLogic Corp. *(c)
    27,600       93,840  
Rambus, Inc. *
    19,600       225,596  
RF Micro Devices, Inc. *
    40,720       454,435  
Rudolph Technologies, Inc. *
    16,418       151,210  
Semtech Corp. *
    9,700       216,601  
Silicon Image, Inc. *
    19,500       97,305  
Silicon Laboratories, Inc. *
    5,000       203,650  
Skyworks Solutions, Inc.
    32,889       1,669,446  
 
 
 
18 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Spansion, Inc., Class A *
    8,600       163,142  
SunEdison, Inc. *
    45,700       914,000  
SunPower Corp. *
    6,800       249,764  
Synaptics, Inc. *
    5,250       379,208  
Teradyne, Inc.
    34,959       636,953  
Tessera Technologies, Inc.
    11,100       282,051  
Texas Instruments, Inc.
    187,297       8,662,486  
TriQuint Semiconductor, Inc. *
    32,110       577,338  
Ultratech, Inc. *
    4,800       113,664  
Veeco Instruments, Inc. *
    8,800       305,448  
Xilinx, Inc.
    47,500       1,953,675  
                 
              90,408,843  
 
Software & Services 9.8%
Accenture plc, Class A
    109,505       8,681,556  
ACI Worldwide, Inc. *
    23,100       432,894  
Activision Blizzard, Inc.
    85,632       1,916,444  
Actuate Corp. *
    13,962       58,920  
Acxiom Corp. *
    13,300       243,656  
Adobe Systems, Inc. *
    81,310       5,619,334  
Advent Software, Inc.
    7,900       256,434  
Akamai Technologies, Inc. *
    32,038       1,890,883  
Alliance Data Systems Corp. *
    9,600       2,517,984  
Amdocs Ltd.
    26,600       1,206,044  
Angie’s List, Inc. *
    22,248       185,326  
ANSYS, Inc. *
    15,286       1,176,105  
AOL, Inc. *
    12,922       498,143  
Aspen Technology, Inc. *
    15,400       668,976  
Autodesk, Inc. *
    40,100       2,139,335  
Automatic Data Processing, Inc.
    83,462       6,786,295  
Bankrate, Inc. *
    14,600       246,156  
Bazaarvoice, Inc. *
    15,200       112,632  
Blackbaud, Inc.
    6,000       220,260  
Blackhawk Network Holdings, Inc., Class B *
    6,703       186,947  
Blucora, Inc. *
    11,572       197,534  
Booz Allen Hamilton Holding Corp.
    12,300       273,552  
Bottomline Technologies de, Inc. *
    8,800       249,128  
Broadridge Financial Solutions, Inc.
    19,725       796,298  
BroadSoft, Inc. *
    6,500       158,600  
CA, Inc.
    53,608       1,548,199  
CACI International, Inc., Class A *
    4,100       282,859  
Cadence Design Systems, Inc. *
    47,500       799,425  
Cardtronics, Inc. *
    8,800       339,328  
Ciber, Inc. *
    24,900       86,901  
Citrix Systems, Inc. *
    30,800       2,086,084  
Cognizant Technology Solutions Corp., Class A *
    106,100       5,204,205  
CommVault Systems, Inc. *
    6,900       331,338  
Computer Sciences Corp.
    24,338       1,518,448  
Compuware Corp.
    31,800       289,380  
comScore, Inc. *
    7,500       271,425  
Comverse, Inc. *
    6,250       160,500  
Concur Technologies, Inc. *
    7,600       706,496  
Constant Contact, Inc. *
    7,000       217,910  
Convergys Corp.
    16,000       310,240  
Conversant, Inc. *
    12,000       280,440  
CoreLogic, Inc. *
    13,800       375,360  
Cornerstone OnDemand, Inc. *
    7,100       297,064  
CoStar Group, Inc. *
    5,500       790,515  
CSG Systems International, Inc.
    8,900       231,756  
Dealertrack Technologies, Inc. *
    6,100       229,177  
Demand Media, Inc. *
    29,600       160,728  
Demandware, Inc. *
    6,800       409,632  
Digimarc Corp.
    3,542       89,825  
Digital River, Inc. *
    16,910       241,644  
DST Systems, Inc.
    5,900       531,413  
EarthLink Holdings Corp.
    17,050       67,177  
eBay, Inc. *
    199,744       10,546,483  
Ebix, Inc. (c)
    17,503       219,838  
Edgewater Technology, Inc. *
    767       4,686  
Electronic Arts, Inc. *
    55,100       1,851,360  
Ellie Mae, Inc. *
    11,293       324,335  
Envestnet, Inc. *
    7,300       318,353  
EPAM Systems, Inc. *
    7,800       301,548  
Epiq Systems, Inc.
    8,525       122,930  
Equinix, Inc. *
    8,265       1,773,008  
Euronet Worldwide, Inc. *
    8,800       440,352  
EVERTEC, Inc.
    14,000       313,040  
ExlService Holdings, Inc. *
    7,200       201,960  
Facebook, Inc., Class A *
    298,263       21,668,807  
FactSet Research Systems, Inc.
    6,650       798,864  
Fair Isaac Corp.
    4,744       271,120  
FalconStor Software, Inc. *
    1,200       1,812  
Fidelity National Information Services, Inc.
    51,091       2,881,532  
FireEye, Inc. *(c)
    5,100       181,050  
Fiserv, Inc. *
    42,600       2,627,142  
FleetCor Technologies, Inc. *
    13,300       1,766,107  
Forrester Research, Inc.
    6,800       263,024  
Fortinet, Inc. *
    26,700       655,485  
Gartner, Inc. *
    14,800       1,012,616  
Genpact Ltd. *
    28,274       497,622  
Global Cash Access Holdings, Inc. *
    28,300       236,871  
Global Payments, Inc.
    11,440       792,449  
Glu Mobile, Inc. *(c)
    38,900       218,229  
Google, Inc., Class A *
    49,176       28,499,951  
Google, Inc., Class C *
    49,176       28,109,002  
GSE Systems, Inc. *
    2,424       4,000  
Guidewire Software, Inc. *
    10,800       437,400  
Heartland Payment Systems, Inc.
    4,500       213,750  
Higher One Holdings, Inc. *
    19,400       81,092  
IAC/InterActiveCorp
    12,672       851,558  
iGATE Corp. *
    8,800       313,984  
Imperva, Inc. *
    11,562       256,330  
Infoblox, Inc. *
    8,600       104,232  
Informatica Corp. *
    18,000       570,960  
Information Services Group, Inc. *
    7,500       32,775  
Interactive Intelligence Group, Inc. *
    2,900       131,573  
Internap Network Services Corp. *
    13,200       95,172  
International Business Machines Corp.
    165,051       31,635,325  
Intralinks Holdings, Inc. *
    12,200       97,844  
Intuit, Inc.
    48,730       3,994,398  
j2 Global, Inc.
    9,000       440,280  
Jack Henry & Associates, Inc.
    13,800       805,230  
Jive Software, Inc. *
    27,994       221,712  
Leidos Holdings, Inc.
    11,000       406,340  
LinkedIn Corp., Class A *
    17,500       3,161,200  
 
 
 
 19

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Lionbridge Technologies, Inc. *
    19,500       111,735  
Liquidity Services, Inc. *
    15,481       208,839  
LivePerson, Inc. *
    19,700       232,066  
LogMeIn, Inc. *
    7,600       309,396  
Looksmart Ltd. *
    160       282  
Manhattan Associates, Inc. *
    11,600       340,576  
ManTech International Corp., Class A
    8,600       232,200  
MasterCard, Inc., Class A
    175,356       13,002,647  
Mattersight Corp. *
    190       908  
MAXIMUS, Inc.
    11,300       467,368  
Mentor Graphics Corp.
    13,800       272,550  
MICROS Systems, Inc. *
    12,400       838,612  
Microsoft Corp.
    1,303,801       56,272,051  
MicroStrategy, Inc., Class A *
    2,256       322,901  
Millennial Media, Inc. *(c)
    21,300       73,485  
ModusLink Global Solutions, Inc. *(c)
    10,450       38,979  
MoneyGram International, Inc. *
    9,037       130,585  
Monotype Imaging Holdings, Inc.
    6,500       194,285  
Monster Worldwide, Inc. *
    35,800       232,700  
Move, Inc. *
    12,430       181,478  
NetScout Systems, Inc. *
    7,300       310,469  
NetSuite, Inc. *
    4,900       413,119  
NeuStar, Inc., Class A *
    9,300       259,098  
NIC, Inc.
    8,000       134,960  
Nuance Communications, Inc. *
    42,274       768,541  
Oracle Corp.
    597,069       24,115,617  
Pandora Media, Inc. *
    27,500       690,800  
Paychex, Inc.
    57,464       2,356,599  
Pegasystems, Inc.
    12,800       273,536  
Perficient, Inc. *
    7,800       132,522  
PRGX Global, Inc. *
    11,000       66,220  
Progress Software Corp. *
    9,300       215,574  
PTC, Inc. *
    19,780       711,289  
Qlik Technologies, Inc. *
    14,100       373,086  
Rackspace Hosting, Inc. *
    19,400       587,626  
RealNetworks, Inc. *
    12,725       95,692  
RealPage, Inc. *
    10,500       169,102  
Red Hat, Inc. *
    31,300       1,819,156  
Reis, Inc.
    1,400       30,254  
Rovi Corp. *
    15,412       360,178  
salesforce.com, Inc. *
    98,000       5,316,500  
Sapient Corp. *
    16,100       237,636  
Science Applications International Corp.
    6,285       262,524  
Seachange International, Inc. *
    9,250       69,283  
ServiceNow, Inc. *
    16,700       981,960  
ServiceSource International, Inc. *
    14,400       63,792  
Shutterstock, Inc. *
    4,000       311,760  
SolarWinds, Inc. *
    12,000       493,680  
Solera Holdings, Inc.
    11,400       729,600  
Splunk, Inc. *
    15,200       714,704  
SS&C Technologies Holdings, Inc. *
    11,700       506,727  
StarTek, Inc. *
    3,900       27,729  
support.com, Inc. *
    18,400       43,792  
Sykes Enterprises, Inc. *
    11,026       228,238  
Symantec Corp.
    121,873       2,883,515  
Synchronoss Technologies, Inc. *
    8,100       327,321  
Synopsys, Inc. *
    24,384       920,984  
Syntel, Inc. *
    2,500       215,925  
Tableau Software, Inc., Class A *
    5,742       373,230  
Take-Two Interactive Software, Inc. *
    12,900       288,702  
Tangoe, Inc. *
    8,200       113,160  
TeleCommunication Systems, Inc., Class A *
    10,800       34,020  
TeleTech Holdings, Inc. *
    9,100       250,523  
Teradata Corp. *
    27,000       1,138,320  
The Hackett Group, Inc.
    7,200       43,200  
The Ultimate Software Group, Inc. *
    4,600       620,586  
The Western Union Co.
    90,332       1,578,100  
TIBCO Software, Inc. *
    23,200       447,760  
TiVo, Inc. *
    17,800       239,588  
Total System Services, Inc.
    27,404       876,928  
Trulia, Inc. *(c)
    5,400       326,862  
Twitter, Inc. *
    11,500       519,685  
Tyler Technologies, Inc. *
    4,700       426,431  
Unisys Corp. *
    6,200       131,998  
United Online, Inc.
    2,478       26,539  
Unwired Planet, Inc. *
    7,771       15,542  
Vantiv, Inc., Class A *
    24,900       816,222  
VeriFone Systems, Inc. *
    18,000       603,180  
Verint Systems, Inc. *
    9,510       446,399  
VeriSign, Inc. *
    22,275       1,203,964  
VirnetX Holding Corp. *(c)
    10,600       148,188  
Virtusa Corp. *
    4,700       147,016  
Visa, Inc., Class A
    86,868       18,330,017  
VMware, Inc., Class A *
    14,200       1,410,912  
Web.com Group, Inc. *
    8,923       236,906  
WebMD Health Corp. *
    7,074       352,497  
WEX, Inc. *
    6,400       690,688  
Workday, Inc., Class A *
    4,900       410,816  
Xerox Corp.
    186,756       2,476,385  
Yahoo! Inc. *
    164,044       5,874,416  
Yelp, Inc. *
    9,300       624,588  
Zillow, Inc., Class A *(c)
    4,500       645,885  
Zynga, Inc., Class A *
    127,000       370,840  
                 
              369,254,480  
 
Technology Hardware & Equipment 6.0%
3D Systems Corp. *(c)
    18,800       942,444  
ADTRAN, Inc.
    9,100       202,384  
Agilysys, Inc. *
    8,460       111,249  
Amphenol Corp., Class A
    27,400       2,635,058  
Anixter International, Inc.
    4,000       343,880  
Apple, Inc.
    1,047,048       100,066,377  
ARRIS Group, Inc. *
    18,975       648,376  
Arrow Electronics, Inc. *
    18,532       1,073,929  
Aruba Networks, Inc. *
    15,700       280,402  
Aviat Networks, Inc. *
    18,877       24,540  
Avnet, Inc.
    22,588       956,150  
AVX Corp.
    14,000       190,400  
Badger Meter, Inc.
    4,000       199,600  
Belden, Inc.
    6,900       468,510  
Benchmark Electronics, Inc. *
    7,830       189,095  
Black Box Corp.
    4,100       84,870  
Brocade Communications Systems, Inc.
    73,835       680,020  
CalAmp Corp. *
    4,000       68,040  
CDW Corp.
    9,700       299,633  
 
 
 
20 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Checkpoint Systems, Inc. *
    7,100       86,904  
Ciena Corp. *
    17,970       350,954  
Cisco Systems, Inc.
    888,996       22,429,369  
Cognex Corp. *
    14,800       606,504  
Coherent, Inc. *
    4,100       241,531  
CommScope Holding Co., Inc. *
    10,682       263,205  
Comtech Telecommunications Corp.
    4,175       141,115  
Corning, Inc.
    239,007       4,696,488  
Cray, Inc. *
    7,600       201,552  
CTS Corp.
    8,800       153,032  
Daktronics, Inc.
    8,700       96,570  
Diebold, Inc.
    12,900       486,072  
Digi International, Inc. *
    9,100       75,166  
Dolby Laboratories, Inc., Class A *
    8,800       392,832  
DTS, Inc. *
    4,300       77,787  
Echelon Corp. *
    7,200       16,272  
EchoStar Corp., Class A *
    6,740       341,718  
Electro Rent Corp.
    7,100       108,275  
Electro Scientific Industries, Inc.
    9,900       59,202  
Electronics for Imaging, Inc. *
    6,400       282,048  
EMC Corp.
    355,141       10,405,631  
Emulex Corp. *
    14,100       82,908  
Extreme Networks, Inc. *
    27,500       129,250  
F5 Networks, Inc. *
    13,100       1,474,929  
FARO Technologies, Inc. *
    3,000       151,890  
FEI Co.
    6,600       505,560  
Finisar Corp. *
    15,800       311,734  
FLIR Systems, Inc.
    26,100       868,608  
Frequency Electronics, Inc. *
    500       5,720  
Harmonic, Inc. *
    20,042       120,252  
Harris Corp.
    19,178       1,309,282  
Hewlett-Packard Co.
    326,636       11,631,508  
Hutchinson Technology, Inc. *
    6,000       13,320  
I.D. Systems, Inc. *
    5,500       31,460  
Identiv, Inc. *
    120       1,320  
II-VI, Inc. *
    13,000       178,360  
Imation Corp. *
    5,500       17,710  
Immersion Corp. *
    4,300       58,695  
Infinera Corp. *
    27,300       251,160  
Ingram Micro, Inc., Class A *
    25,500       731,850  
Insight Enterprises, Inc. *
    8,950       235,117  
Intellicheck Mobilisa, Inc. *
    500       335  
InterDigital, Inc.
    6,700       295,403  
InvenSense, Inc. *(c)
    8,900       204,789  
IPG Photonics Corp. *
    5,700       383,895  
Itron, Inc. *
    5,700       205,086  
Ixia *
    14,900       159,430  
Jabil Circuit, Inc.
    35,300       704,588  
JDS Uniphase Corp. *
    44,553       528,844  
Juniper Networks, Inc. *
    84,165       1,981,244  
Knowles Corp. *
    13,900       404,212  
Lexmark International, Inc., Class A
    10,900       523,527  
LightPath Technologies, Inc., Class A *
    75       90  
Littelfuse, Inc.
    3,700       321,604  
Maxwell Technologies, Inc. *
    7,700       83,776  
Measurement Specialties, Inc. *
    3,200       275,168  
Mercury Systems, Inc. *
    7,800       86,190  
Methode Electronics, Inc.
    9,500       303,810  
MOCON, Inc.
    600       9,300  
Motorola Solutions, Inc.
    39,833       2,536,565  
MTS Systems Corp.
    3,781       249,546  
Multi-Fineline Electronix, Inc. *
    5,700       55,632  
National Instruments Corp.
    16,112       513,006  
NCR Corp. *
    27,500       851,125  
NetApp, Inc.
    55,900       2,171,156  
NETGEAR, Inc. *
    6,000       187,860  
Newport Corp. *
    8,500       147,135  
Oplink Communications, Inc. *
    5,957       113,540  
OSI Systems, Inc. *
    3,700       245,310  
Palo Alto Networks, Inc. *
    7,100       574,106  
Park Electrochemical Corp.
    3,600       101,376  
PC Connection, Inc.
    7,000       143,010  
PC-Tel, Inc.
    8,900       67,106  
Plantronics, Inc.
    6,000       281,820  
Plexus Corp. *
    6,500       255,645  
Polycom, Inc. *
    22,400       287,168  
Pulse Electronics Corp. *
    1,150       2,806  
QLogic Corp. *
    17,044       155,100  
QUALCOMM, Inc.
    292,807       21,579,876  
Quantum Corp. *
    125,000       156,250  
Radisys Corp. *
    7,200       23,328  
Research Frontiers, Inc. *(c)
    2,800       14,532  
Richardson Electronics Ltd.
    7,300       72,781  
Riverbed Technology, Inc. *
    26,700       477,930  
Rofin-Sinar Technologies, Inc. *
    3,800       82,954  
Rogers Corp. *
    4,200       240,912  
SanDisk Corp.
    39,500       3,622,545  
Sanmina Corp. *
    20,900       486,761  
ScanSource, Inc. *
    6,300       225,603  
Seagate Technology plc
    55,866       3,273,748  
Sonus Networks, Inc. *
    79,300       279,929  
Super Micro Computer, Inc. *
    8,200       214,594  
SYNNEX Corp. *
    3,600       232,200  
TE Connectivity Ltd.
    70,400       4,357,056  
Tech Data Corp. *
    5,300       332,787  
Tessco Technologies, Inc.
    4,025       122,763  
Transact Technologies, Inc.
    1,500       13,560  
Trimble Navigation Ltd. *
    46,484       1,436,356  
TTM Technologies, Inc. *
    11,000       82,610  
Ubiquiti Networks, Inc. *(c)
    3,200       122,336  
Universal Display Corp. *
    5,800       177,828  
ViaSat, Inc. *
    6,500       380,055  
Vishay Intertechnology, Inc.
    18,588       273,801  
Vishay Precision Group, Inc. *
    5,620       81,097  
Western Digital Corp.
    36,645       3,658,270  
Xybernaut Corp. *(b)(g)
    1,400       —  
Zebra Technologies Corp., Class A *
    9,575       766,670  
                 
              227,287,252  
 
Telecommunication Services 2.2%
Alaska Communications Systems Group, Inc. *
    5,000       9,200  
Alteva *
    1,100       7,018  
AT&T, Inc.
    900,218       32,038,759  
Atlantic Tele-Network, Inc.
    3,250       190,157  
CenturyLink, Inc.
    97,578       3,828,961  
Cincinnati Bell, Inc. *
    61,468       234,193  
Cogent Communications Holdings, Inc.
    9,900       343,629  
 
 
 
 21

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Consolidated Communications Holdings, Inc.
    13,353       298,840  
Enventis Corp.
    4,600       75,348  
Frontier Communications Corp.
    165,068       1,081,195  
General Communication, Inc., Class A *
    10,500       115,920  
Globalstar, Inc. *(c)
    42,400       167,904  
Iridium Communications, Inc. *(c)
    11,800       96,524  
Level 3 Communications, Inc. *
    30,045       1,321,379  
Lumos Networks Corp.
    1,500       23,010  
NII Holdings, Inc. *
    27,900       19,120  
NTELOS Holdings Corp. (c)
    4,500       54,180  
Premiere Global Services, Inc. *
    11,400       149,340  
SBA Communications Corp., Class A *
    21,700       2,320,381  
Shenandoah Telecommunications Co.
    7,100       196,741  
Spok Holdings, Inc.
    5,500       82,335  
Sprint Corp. *
    142,805       1,049,617  
T-Mobile US, Inc. *
    46,150       1,520,181  
Telephone & Data Systems, Inc.
    14,222       355,550  
tw telecom, Inc. *
    25,400       1,034,796  
United States Cellular Corp. *
    5,400       211,086  
Verizon Communications, Inc.
    718,284       36,215,879  
Vonage Holdings Corp. *
    36,400       126,672  
Windstream Holdings, Inc. (c)
    109,269       1,252,223  
                 
              84,420,138  
 
Transportation 2.2%
Alaska Air Group, Inc.
    25,000       1,099,250  
Allegiant Travel Co.
    2,000       235,520  
AMERCO
    1,000       263,160  
American Airlines Group, Inc.
    124,897       4,852,248  
ArcBest Corp.
    4,800       152,304  
Atlas Air Worldwide Holdings, Inc. *
    6,500       222,430  
Avis Budget Group, Inc. *
    17,500       983,325  
C.H. Robinson Worldwide, Inc.
    26,000       1,753,960  
Con-way, Inc.
    11,200       552,720  
Covenant Transport Group, Inc., Class A *
    3,000       35,670  
CSX Corp.
    172,700       5,167,184  
Delta Air Lines, Inc.
    145,611       5,454,588  
Expeditors International of Washington, Inc.
    33,700       1,455,166  
FedEx Corp.
    49,163       7,221,061  
Forward Air Corp.
    4,600       205,942  
Genesee & Wyoming, Inc., Class A *
    9,000       897,570  
Hawaiian Holdings, Inc. *
    10,700       149,051  
Heartland Express, Inc.
    16,241       364,610  
Hertz Global Holdings, Inc. *
    78,300       2,209,626  
Hub Group, Inc., Class A *
    7,100       327,878  
J.B. Hunt Transport Services, Inc.
    15,600       1,205,256  
JetBlue Airways Corp. *
    45,262       485,209  
Kansas City Southern
    19,555       2,132,668  
Kirby Corp. *
    9,400       1,094,724  
Knight Transportation, Inc.
    14,650       351,014  
Landstar System, Inc.
    6,600       436,458  
Matson, Inc.
    10,500       282,975  
Norfolk Southern Corp.
    54,100       5,499,806  
Old Dominion Freight Line, Inc. *
    12,412       787,914  
Park-Ohio Holdings Corp.
    3,600       213,696  
Republic Airways Holdings, Inc. *
    12,500       124,250  
Roadrunner Transportation Systems, Inc. *
    4,900       123,186  
Ryder System, Inc.
    9,500       818,235  
Saia, Inc. *
    4,450       203,143  
SkyWest, Inc.
    7,000       74,830  
Southwest Airlines Co.
    118,615       3,354,432  
Spirit Airlines, Inc. *
    11,500       752,330  
Swift Transportation Co. *
    19,000       388,550  
Union Pacific Corp.
    157,570       15,490,707  
United Continental Holdings, Inc. *
    66,200       3,071,018  
United Parcel Service, Inc., Class B
    121,785       11,824,106  
Universal Truckload Services, Inc.
    3,300       80,157  
UTI Worldwide, Inc. *
    14,600       138,116  
Werner Enterprises, Inc.
    10,032       246,587  
Wesco Aircraft Holdings, Inc. *
    13,500       255,825  
XPO Logistics, Inc. *
    6,810       210,361  
                 
              83,248,816  
 
Utilities 3.0%
AES Corp.
    118,796       1,735,610  
AGL Resources, Inc.
    21,529       1,111,758  
ALLETE, Inc.
    5,233       245,532  
Alliant Energy Corp.
    18,300       1,033,950  
Ameren Corp.
    43,176       1,660,117  
American DG Energy, Inc. *(c)
    11,400       18,468  
American Electric Power Co., Inc.
    83,420       4,337,006  
American States Water Co.
    9,600       293,280  
American Water Works Co., Inc.
    32,200       1,538,194  
Aqua America, Inc.
    29,167       693,591  
Artesian Resources Corp., Class A
    4,000       87,160  
Atmos Energy Corp.
    17,400       840,768  
Avista Corp.
    7,800       242,034  
Black Hills Corp.
    7,700       405,867  
Cadiz, Inc. *(c)
    6,356       57,077  
California Water Service Group
    11,300       257,301  
Calpine Corp. *
    57,800       1,273,912  
CenterPoint Energy, Inc.
    77,000       1,872,640  
Chesapeake Utilities Corp.
    1,847       120,221  
Cleco Corp.
    11,700       652,158  
CMS Energy Corp.
    48,600       1,405,998  
Connecticut Water Service, Inc.
    5,100       162,639  
Consolidated Edison, Inc.
    50,400       2,826,936  
Delta Natural Gas Co., Inc.
    1,291       25,304  
Dominion Resources, Inc.
    100,388       6,790,244  
DTE Energy Co.
    30,948       2,284,581  
Duke Energy Corp.
    123,619       8,916,639  
Dynegy, Inc. *
    17,000       451,350  
Edison International
    56,210       3,080,308  
El Paso Electric Co.
    5,300       195,305  
Entergy Corp.
    31,593       2,300,918  
Exelon Corp.
    150,569       4,679,685  
FirstEnergy Corp.
    72,856       2,273,836  
Genie Energy Ltd., Class B *
    12,800       88,704  
Great Plains Energy, Inc.
    25,341       628,203  
Hawaiian Electric Industries, Inc. (c)
    19,300       455,866  
IDACORP, Inc.
    9,800       524,790  
 
 
 
22 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Integrys Energy Group, Inc.
    12,540       822,122  
ITC Holdings Corp.
    25,800       931,380  
MDU Resources Group, Inc.
    34,325       1,081,581  
MGE Energy, Inc.
    4,950       186,219  
Middlesex Water Co.
    9,400       191,008  
National Fuel Gas Co.
    13,800       950,958  
New Jersey Resources Corp.
    6,225       317,973  
NextEra Energy, Inc.
    75,101       7,051,233  
NiSource, Inc.
    55,764       2,101,188  
Northeast Utilities
    55,336       2,429,250  
Northwest Natural Gas Co.
    6,300       272,286  
NorthWestern Corp.
    7,100       328,162  
NRG Energy, Inc.
    57,356       1,775,742  
NRG Yield, Inc., Class A (c)
    3,400       177,650  
OGE Energy Corp.
    32,800       1,179,160  
ONE Gas, Inc.
    8,525       306,900  
Ormat Technologies, Inc.
    8,600       221,794  
Otter Tail Corp.
    7,800       218,088  
Pattern Energy Group, Inc.
    6,400       198,336  
Pepco Holdings, Inc.
    41,200       1,106,220  
PG&E Corp.
    80,800       3,609,336  
Piedmont Natural Gas Co., Inc.
    12,300       426,687  
Pinnacle West Capital Corp.
    18,200       973,518  
PNM Resources, Inc.
    11,200       287,280  
Portland General Electric Co.
    10,900       348,037  
PPL Corp.
    111,300       3,671,787  
Public Service Enterprise Group, Inc.
    86,300       3,035,171  
Pure Cycle Corp. *(c)
    8,000       54,000  
Questar Corp.
    28,900       642,736  
SCANA Corp.
    23,205       1,180,670  
Sempra Energy
    39,196       3,908,233  
SJW Corp.
    4,470       119,841  
South Jersey Industries, Inc.
    4,200       224,994  
Southwest Gas Corp.
    6,500       321,945  
TECO Energy, Inc.
    32,100       560,466  
The Empire District Electric Co.
    11,200       274,512  
The Laclede Group, Inc.
    5,800       272,484  
The Southern Co.
    153,439       6,642,374  
UGI Corp.
    18,600       902,844  
UIL Holdings Corp.
    11,166       392,038  
Unitil Corp.
    7,200       230,400  
UNS Energy Corp.
    8,200       495,444  
Vectren Corp.
    15,266       581,482  
Westar Energy, Inc.
    21,000       756,840  
WGL Holdings, Inc.
    7,300       284,554  
Wisconsin Energy Corp.
    38,200       1,664,756  
Xcel Energy, Inc.
    87,208       2,686,006  
York Water Co.
    6,100       116,083  
                 
              112,079,718  
                 
Total Common Stock
(Cost $2,288,903,498)     3,698,293,889  
         
                 
                 
 
 Rights 0.0% of net assets
 
Capital Goods 0.0%
Integrated Electrical Services, Inc. *(b)(g)
    5,105       1,282  
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
FRD Acquisition Co. CVR *(b)(g)
    8,700       —  
 
Technology Hardware & Equipment 0.0%
Gerber Scientific, Inc. CVR *(b)(g)
    8,900       —  
 
Telecommunication Services 0.0%
Contra Leap Wireless CVR *(b)(g)
    13,000       32,760  
                 
Total Rights
(Cost $32,983)     34,042  
         
                 
                 
 
 Warrants 0.0% of net assets
 
Energy 0.0%
Magnum Hunter Resources Corp. *(b)(g)
    2,293       —  
                 
Total Warrants
(Cost $—)     —  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 1.6% of net assets
 
Time Deposits 1.5%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    16,498,300       16,498,300  
DNB
0.03%, 08/01/14
    38,628,977       38,628,977  
                 
              55,127,277  
 
U.S. Treasury Obligation 0.1%
U.S. Treasury Bill
0.02%, 09/18/14 (d)(e)
    3,600,000       3,599,928  
                 
Total Short-Term Investments
(Cost $58,727,205)     58,727,205  
         
 
End of Investments.
                 
                 
 
 
 
 23

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.6% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (f)
    23,686,331       23,686,331  
                 
Total Collateral Invested for Securities on Loan
(Cost $23,686,331)     23,686,331  
         
 
End of collateral invested for securities on loan.
 
At 07/31/14 tax basis cost of the fund’s investments was $2,361,831,971 and the unrealized appreciation and depreciation were $1,470,349,175 and ($75,126,010), respectively, with a net unrealized appreciation of $1,395,223,165.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
(b) Illiquid security. At the period end, the value of these amounted to $34,042 or 0.0% of net assets.
(c) All or a portion of this security is on loan. Securities on loan were valued at $22,420,693.
(d) All or a portion of this security is held as collateral for open futures contracts.
(e) The rate shown is the purchase yield.
(f) The rate shown is the 7-day yield.
(g) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
 
     
CVR —
  Contingent Value Rights
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
Russell 2000 Index, mini, Long, expires 09/19/14
    75       8,375,250       (323,768 )
S&P 500 Index, e-mini, Long, expires 09/19/14
    500       48,120,000       (515,371 )
                         
Net Unrealized Depreciation                     (839,139 )
                         
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon
 
 
 
24 

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
 25

 

 
 Schwab Total Stock Market Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $3,698,293,889       $—       $—       $3,698,293,889  
Rights1
    —       —       34,042       34,042  
Warrants1
    —       —       —       —  
Short-Term Investments1
    —       58,727,205       —       58,727,205  
                                 
Total
    $3,698,293,889       $58,727,205       $34,042       $3,757,055,136  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $23,686,331       $—       $—       $23,686,331  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($839,139 )     $—       $—       ($839,139 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Rights
    $—       $—       $1,281       $32,760       $—       $—       $—       $34,041  
                                                                 
Total
    $—       $—       $1,281       $32,760       $—       $—       $—       $34,041  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46819JUL14
 
 
 
26 

 

Schwab Capital Trust
Schwab International Index Fund®
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  97 .5%   Common Stock     1,958,075,888       2,557,526,169  
  0 .6%   Preferred Stock     11,185,789       15,266,584  
  0 .0%   Rights     461,239       459,510  
  1 .6%   Short-Term Investments     42,988,602       42,988,602  
 
 
  99 .7%   Total Investments     2,012,711,518       2,616,240,865  
  0 .2%   Collateral Invested for Securities on Loan     4,137,658       4,137,658  
  0 .1%   Other Assets and Liabilities, Net             3,909,484  
 
 
  100 .0%   Net Assets             2,624,288,007  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 97.5% of net assets
 
Australia 7.9%
                 
 
Banks 2.9%
Australia & New Zealand Banking Group Ltd.
    529,449       16,530,244  
Bank of Queensland Ltd.
    74,259       857,026  
Bendigo & Adelaide Bank Ltd.
    82,972       976,182  
Commonwealth Bank of Australia
    310,662       23,961,273  
National Australia Bank Ltd.
    453,865       14,736,813  
Westpac Banking Corp.
    599,683       19,069,944  
                 
              76,131,482  
                 
 
Capital Goods 0.0%
Leighton Holdings Ltd.
    18,875       383,875  
                 
 
Commercial & Professional Supplies 0.2%
ALS Ltd.
    76,848       551,004  
Brambles Ltd.
    293,455       2,540,470  
Seek Ltd.
    62,241       940,800  
                 
              4,032,274  
                 
 
Consumer Services 0.1%
Crown Resorts Ltd.
    71,852       1,075,206  
Flight Centre Travel Group Ltd.
    11,202       488,689  
Tabcorp Holdings Ltd.
    145,924       471,522  
Tatts Group Ltd.
    265,227       870,973  
                 
              2,906,390  
                 
 
Diversified Financials 0.2%
ASX Ltd.
    36,129       1,206,587  
Macquarie Group Ltd.
    56,307       3,013,527  
                 
              4,220,114  
                 
 
Energy 0.4%
Caltex Australia Ltd.
    27,417       623,733  
Origin Energy Ltd.
    213,580       2,812,779  
Santos Ltd.
    182,893       2,450,231  
Woodside Petroleum Ltd.
    126,413       4,962,209  
WorleyParsons Ltd.
    40,513       667,321  
                 
              11,516,273  
                 
 
Food & Staples Retailing 0.7%
Metcash Ltd.
    151,758       410,393  
Wesfarmers Ltd.
    219,246       8,878,182  
Woolworths Ltd.
    241,391       8,227,648  
                 
              17,516,223  
                 
 
Food, Beverage & Tobacco 0.1%
Coca-Cola Amatil Ltd.
    107,769       919,079  
Treasury Wine Estates Ltd.
    125,835       576,641  
                 
              1,495,720  
                 
 
Health Care Equipment & Services 0.1%
Cochlear Ltd.
    11,235       659,650  
Ramsay Health Care Ltd.
    24,832       1,106,282  
Sonic Healthcare Ltd.
    76,797       1,284,516  
                 
              3,050,448  
                 
 
Insurance 0.4%
AMP Ltd.
    575,930       2,907,233  
Insurance Australia Group Ltd.
    458,689       2,669,514  
QBE Insurance Group Ltd.
    245,211       2,478,503  
Suncorp Group Ltd.
    248,392       3,265,871  
                 
              11,321,121  
                 
 
Materials 1.4%
Alumina Ltd. *
    513,146       754,424  
Amcor Ltd.
    238,043       2,278,377  
BHP Billiton Ltd.
    617,192       21,914,281  
Boral Ltd.
    145,846       717,442  
Fortescue Metals Group Ltd.
    293,253       1,314,722  
Iluka Resources Ltd.
    73,547       595,856  
Incitec Pivot Ltd.
    301,643       825,489  
James Hardie Industries plc CDI
    81,856       1,016,541  
Newcrest Mining Ltd. *
    142,749       1,426,042  
Orica Ltd.
    68,969       1,392,972  
Rio Tinto Ltd.
    83,042       5,044,276  
                 
              37,280,422  
                 
 
Media 0.0%
REA Group Ltd.
    11,698       509,481  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
CSL Ltd.
    92,070       5,736,283  
                 
 
Real Estate 0.6%
CFS Retail Property Trust Group
    430,225       862,293  
Dexus Property Group
    1,097,828       1,206,195  
Federation Centres
    302,594       719,365  
Goodman Group
    321,124       1,574,295  
Lend Lease Group
    109,864       1,371,012  
 
 
 
 1

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Mirvac Group
    745,063       1,246,354  
Scentre Group *
    1,004,707       3,174,492  
Stockland
    432,515       1,620,095  
The GPT Group
    313,335       1,179,692  
Westfield Corp.
    385,729       2,681,265  
                 
              15,635,058  
                 
 
Retailing 0.0%
Harvey Norman Holdings Ltd.
    91,526       259,702  
                 
 
Software & Services 0.0%
Computershare Ltd.
    88,074       1,062,861  
                 
 
Telecommunication Services 0.2%
Telstra Corp., Ltd.
    835,507       4,236,945  
TPG Telecom Ltd.
    51,641       262,260  
                 
              4,499,205  
                 
 
Transportation 0.3%
Asciano Ltd.
    194,653       1,080,517  
Aurizon Holdings Ltd.
    419,843       1,938,502  
Qantas Airways Ltd. *
    268,959       329,561  
Sydney Airport
    192,713       764,468  
Toll Holdings Ltd.
    126,753       636,779  
Transurban Group
    329,641       2,367,147  
                 
              7,116,974  
                 
 
Utilities 0.1%
AGL Energy Ltd.
    106,046       1,445,506  
APA Group
    152,130       1,050,120  
SP AusNet *
    290,894       362,343  
                 
              2,857,969  
                 
              207,531,875  
 
Austria 0.2%
                 
 
Banks 0.1%
Erste Group Bank AG
    51,926       1,333,377  
Raiffeisen Bank International AG
    22,302       612,449  
                 
              1,945,826  
                 
 
Capital Goods 0.0%
Andritz AG
    13,972       756,259  
                 
 
Energy 0.1%
OMV AG
    29,082       1,169,637  
                 
 
Insurance 0.0%
Vienna Insurance Group AG Wiener Versicherung Gruppe
    6,791       337,075  
                 
 
Materials 0.0%
Voestalpine AG
    21,074       927,419  
                 
 
Real Estate 0.0%
IMMOFINANZ AG *
    186,618       590,992  
                 
 
Telecommunication Services 0.0%
Telekom Austria AG
    37,970       363,533  
                 
              6,090,741  
 
Belgium 1.2%
                 
 
Banks 0.1%
KBC Groep N.V. *
    48,112       2,607,914  
                 
 
Diversified Financials 0.1%
Groupe Bruxelles Lambert S.A.
    15,107       1,502,502  
                 
 
Food & Staples Retailing 0.1%
Colruyt S.A.
    14,318       693,374  
Delhaize Group S.A.
    18,914       1,234,273  
                 
              1,927,647  
                 
 
Food, Beverage & Tobacco 0.6%
Anheuser-Busch InBev N.V.
    154,734       16,700,859  
                 
 
Insurance 0.1%
Ageas
    41,228       1,479,714  
                 
 
Materials 0.1%
Solvay S.A.
    11,674       1,884,968  
Umicore S.A.
    19,644       949,369  
                 
              2,834,337  
                 
 
Media 0.0%
Telenet Group Holding N.V. *
    9,411       503,032  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
UCB S.A.
    21,304       1,954,090  
                 
 
Telecommunication Services 0.0%
Belgacom S.A.
    28,150       919,906  
                 
              30,430,001  
 
Denmark 1.5%
                 
 
Banks 0.1%
Danske Bank A/S
    127,447       3,682,025  
                 
 
Capital Goods 0.1%
Vestas Wind Systems A/S *
    41,649       1,877,837  
                 
 
Consumer Durables & Apparel 0.1%
Pandora A/S
    21,432       1,466,612  
                 
 
Food, Beverage & Tobacco 0.1%
Carlsberg A/S, Class B
    21,031       2,012,213  
                 
 
Health Care Equipment & Services 0.1%
Coloplast A/S, Class B
    21,039       1,778,903  
William Demant Holding A/S *
    4,937       429,275  
                 
              2,208,178  
                 
 
Insurance 0.0%
Tryg A/S
    4,412       444,520  
                 
 
Materials 0.1%
Novozymes A/S, B Shares
    47,084       2,328,274  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.6%
Novo Nordisk A/S, Class B
    383,261       17,642,329  
                 
 
Telecommunication Services 0.1%
TDC A/S
    156,148       1,575,240  
                 
 
Transportation 0.2%
AP Moeller - Maersk A/S, Series A
    530       1,189,388  
AP Moeller - Maersk A/S, Series B
    1,248       2,909,485  
DSV A/S
    34,593       1,092,430  
                 
              5,191,303  
                 
              38,428,531  
 
 
 
2 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Finland 0.9%
                 
 
Automobiles & Components 0.0%
Nokian Renkaat Oyj
    20,943       725,121  
                 
 
Capital Goods 0.2%
Kone Oyj, Class B
    61,272       2,576,347  
Metso Oyj
    20,959       824,835  
Wartsila Oyj Abp
    27,496       1,384,746  
                 
              4,785,928  
                 
 
Energy 0.0%
Neste Oil Oyj
    25,176       465,225  
                 
 
Insurance 0.2%
Sampo Oyj, A Shares
    85,387       4,241,649  
                 
 
Materials 0.1%
Stora Enso Oyj, R Shares
    100,350       901,649  
UPM-Kymmene Oyj
    105,742       1,723,442  
                 
              2,625,091  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
Orion Oyj, Class B
    18,887       700,220  
                 
 
Technology Hardware & Equipment 0.2%
Nokia Oyj
    711,429       5,636,208  
                 
 
Telecommunication Services 0.1%
Elisa Oyj
    27,044       776,050  
                 
 
Utilities 0.1%
Fortum Oyj
    87,203       2,241,969  
                 
              22,197,461  
 
France 9.6%
                 
 
Automobiles & Components 0.4%
Compagnie Generale des Etablissements Michelin
    36,170       3,967,831  
Peugeot S.A. *
    71,000       1,058,964  
Renault S.A.
    37,263       3,110,718  
Valeo S.A.
    14,879       1,782,766  
                 
              9,920,279  
                 
 
Banks 0.9%
BNP Paribas S.A.
    203,998       13,535,970  
Credit Agricole S.A.
    195,605       2,646,028  
Natixis
    172,296       1,113,348  
Societe Generale S.A.
    139,109       6,983,611  
                 
              24,278,957  
                 
 
Capital Goods 1.5%
Airbus Group N.V.
    113,439       6,581,750  
Alstom S.A. *
    40,852       1,469,253  
Bouygues S.A.
    37,362       1,471,800  
Compagnie de Saint-Gobain
    84,629       4,117,778  
Legrand S.A.
    51,913       2,878,874  
Rexel S.A.
    50,037       969,556  
Safran S.A.
    51,575       3,030,921  
Schneider Electric SE
    100,835       8,546,422  
Thales S.A.
    18,499       1,052,124  
Vallourec S.A.
    20,248       896,010  
Vinci S.A.
    93,795       6,473,065  
Zodiac Aerospace
    34,766       1,088,578  
                 
              38,576,131  
                 
 
Commercial & Professional Supplies 0.1%
Bureau Veritas S.A.
    40,137       1,035,183  
Edenred
    38,318       1,197,721  
Societe BIC S.A.
    5,949       820,206  
                 
              3,053,110  
                 
 
Consumer Durables & Apparel 0.5%
Christian Dior S.A.
    10,744       1,871,390  
Kering
    14,503       3,104,858  
LVMH Moet Hennessy Louis Vuitton S.A.
    53,699       9,237,413  
                 
              14,213,661  
                 
 
Consumer Services 0.1%
Accor S.A.
    31,791       1,539,562  
Sodexo
    18,760       1,864,519  
                 
              3,404,081  
                 
 
Diversified Financials 0.1%
Eurazeo S.A.
    6,764       508,393  
Wendel S.A.
    5,814       762,698  
                 
              1,271,091  
                 
 
Energy 1.1%
Technip S.A.
    19,684       1,818,305  
Total S.A.
    411,883       26,564,259  
                 
              28,382,564  
                 
 
Food & Staples Retailing 0.2%
Carrefour S.A.
    117,523       4,058,627  
Casino Guichard Perrachon S.A.
    11,366       1,369,888  
                 
              5,428,515  
                 
 
Food, Beverage & Tobacco 0.5%
Danone S.A.
    109,044       7,876,332  
Pernod-Ricard S.A.
    40,441       4,529,036  
Remy Cointreau S.A.
    5,148       421,533  
                 
              12,826,901  
                 
 
Health Care Equipment & Services 0.1%
Essilor International S.A.
    39,427       3,851,549  
                 
 
Household & Personal Products 0.3%
L’Oreal S.A.
    46,147       7,792,377  
                 
 
Insurance 0.4%
AXA S.A.
    349,817       8,036,924  
CNP Assurances
    33,282       653,875  
SCOR SE
    29,475       948,176  
                 
              9,638,975  
                 
 
Materials 0.6%
Air Liquide S.A.
    66,452       8,456,290  
ArcelorMittal
    191,574       2,909,040  
Arkema S.A.
    11,207       1,039,092  
Imerys S.A.
    6,455       504,022  
Lafarge S.A.
    36,458       2,837,662  
                 
              15,746,106  
                 
 
Media 0.3%
Eutelsat Communications S.A.
    28,639       989,022  
JC Decaux S.A.
    12,016       412,548  
Lagardere S.C.A.
    22,380       666,244  
Publicis Groupe S.A.
    34,718       2,518,905  
SES S.A.
    57,125       2,099,740  
                 
              6,686,459  
 
 
 
 3

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.9%
Sanofi
    229,269       24,071,142  
                 
 
Real Estate 0.3%
Fonciere des Regions
    5,116       513,725  
Gecina S.A.
    4,219       602,509  
ICADE
    7,471       721,192  
Klepierre
    18,688       884,061  
Unibail-Rodamco SE
    18,947       5,086,055  
                 
              7,807,542  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
STMicroelectronics N.V.
    118,472       986,258  
                 
 
Software & Services 0.2%
AtoS
    14,597       1,139,804  
Cap Gemini S.A.
    28,543       2,069,747  
Dassault Systemes S.A.
    23,444       1,573,225  
                 
              4,782,776  
                 
 
Technology Hardware & Equipment 0.1%
Alcatel-Lucent *
    520,287       1,821,324  
                 
 
Telecommunication Services 0.5%
Iliad S.A.
    4,915       1,355,775  
Orange S.A.
    360,359       5,642,973  
Vivendi S.A. *
    234,339       5,881,500  
                 
              12,880,248  
                 
 
Transportation 0.1%
Aeroports de Paris
    5,551       760,368  
Bollore S.A.
    1,010       623,334  
Groupe Eurotunnel S.A. - Reg’d
    95,309       1,261,299  
                 
              2,645,001  
                 
 
Utilities 0.4%
Electricite de France S.A.
    44,723       1,444,724  
GDF Suez
    278,891       7,191,065  
Suez Environnement Co.
    52,340       976,829  
Veolia Environnement S.A.
    76,515       1,355,224  
                 
              10,967,842  
                 
              251,032,889  
 
Germany 8.1%
                 
 
Automobiles & Components 1.1%
Bayerische Motoren Werke AG
    63,946       7,617,242  
Continental AG
    20,949       4,511,669  
Daimler AG - Reg’d
    185,559       15,312,089  
Volkswagen AG
    5,511       1,270,937  
                 
              28,711,937  
                 
 
Banks 0.1%
Commerzbank AG *
    185,863       2,670,481  
                 
 
Capital Goods 0.9%
Brenntag AG
    9,572       1,536,778  
GEA Group AG
    36,792       1,650,868  
Hochtief AG
    5,074       425,526  
MAN SE
    7,010       832,403  
OSRAM Licht AG *
    16,162       652,837  
Siemens AG - Reg’d
    152,778       18,867,490  
                 
              23,965,902  
                 
 
Consumer Durables & Apparel 0.2%
adidas AG
    40,050       3,171,339  
Hugo Boss AG
    5,945       853,024  
                 
              4,024,363  
                 
 
Diversified Financials 0.4%
Deutsche Bank AG - Reg’d
    266,381       9,109,823  
Deutsche Boerse AG
    37,660       2,726,387  
                 
              11,836,210  
                 
 
Food & Staples Retailing 0.0%
Metro AG *
    30,121       1,085,410  
                 
 
Health Care Equipment & Services 0.3%
Celesio AG
    9,063       310,031  
Fresenius Medical Care AG & Co. KGaA
    41,505       2,877,039  
Fresenius SE & Co. KGaA
    24,614       3,680,764  
                 
              6,867,834  
                 
 
Household & Personal Products 0.1%
Beiersdorf AG
    18,982       1,710,928  
Henkel AG & Co. KGaA
    23,300       2,218,080  
                 
              3,929,008  
                 
 
Insurance 0.9%
Allianz SE - Reg’d
    87,757       14,610,317  
Hannover Rueck SE
    11,074       945,317  
Muenchener Rueckversicherungs AG - Reg’d
    34,549       7,330,333  
                 
              22,885,967  
                 
 
Materials 1.2%
BASF SE
    177,079       18,326,603  
HeidelbergCement AG
    27,019       2,004,263  
K&S AG - Reg’d
    32,018       981,083  
LANXESS AG
    17,844       1,136,519  
Linde AG
    35,886       7,319,261  
ThyssenKrupp AG *
    88,526       2,493,688  
                 
              32,261,417  
                 
 
Media 0.2%
Axel Springer SE
    6,956       391,663  
Kabel Deutschland Holding AG
    3,895       556,483  
ProSiebenSat.1 Media AG - Reg’d
    43,735       1,833,740  
RTL Group S.A. *
    7,403       753,595  
Sky Deutschland AG *
    81,523       733,230  
                 
              4,268,711  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.9%
Bayer AG - Reg’d
    159,192       20,998,458  
Merck KGaA
    25,240       2,231,973  
QIAGEN N.V. *
    44,554       1,088,018  
                 
              24,318,449  
                 
 
Real Estate 0.0%
Deutsche Wohnen AG
    53,442       1,156,335  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
Infineon Technologies AG
    220,362       2,428,063  
                 
 
Software & Services 0.6%
SAP SE
    177,898       13,981,336  
United Internet AG - Reg’d
    21,635       864,985  
                 
              14,846,321  
                 
 
Telecommunication Services 0.4%
Deutsche Telekom AG - Reg’d
    599,532       9,728,994  
 
 
 
4 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Telefonica Deutschland Holding AG *
    48,116       376,197  
                 
              10,105,191  
                 
 
Transportation 0.3%
Deutsche Lufthansa AG - Reg’d
    43,042       759,265  
Deutsche Post AG - Reg’d
    186,698       5,973,341  
Fraport AG Frankfurt Airport Services Worldwide
    7,032       462,163  
                 
              7,194,769  
                 
 
Utilities 0.4%
E.ON SE
    385,141       7,270,815  
RWE AG
    93,686       3,761,336  
                 
              11,032,151  
                 
              213,588,519  
 
Hong Kong 3.0%
                 
 
Banks 0.2%
Bank of East Asia Ltd.
    237,200       1,011,212  
BOC Hong Kong (Holdings) Ltd.
    688,000       2,157,817  
Hang Seng Bank Ltd.
    149,536       2,533,224  
                 
              5,702,253  
                 
 
Capital Goods 0.2%
Hutchison Whampoa Ltd.
    405,370       5,499,021  
NWS Holdings Ltd.
    321,000       593,872  
                 
              6,092,893  
                 
 
Consumer Durables & Apparel 0.1%
Li & Fung Ltd.
    1,088,000       1,449,348  
Techtronic Industries Co.
    255,000       764,307  
Yue Yuen Industrial Holdings Ltd.
    128,000       427,755  
                 
              2,641,410  
                 
 
Consumer Services 0.4%
Galaxy Entertainment Group Ltd.
    447,000       3,759,118  
MGM China Holdings Ltd.
    183,200       669,897  
Sands China Ltd.
    474,400       3,482,898  
Shangri-La Asia Ltd.
    270,000       425,910  
SJM Holdings Ltd.
    398,000       1,063,322  
Wynn Macau Ltd.
    286,000       1,218,763  
                 
              10,619,908  
                 
 
Diversified Financials 0.2%
First Pacific Co., Ltd.
    493,250       589,675  
Hong Kong Exchanges & Clearing Ltd.
    211,418       4,735,916  
                 
              5,325,591  
                 
 
Insurance 0.5%
AIA Group Ltd.
    2,322,200       12,440,948  
                 
 
Real Estate 0.9%
Cheung Kong Holdings Ltd.
    262,656       5,074,382  
Hang Lung Properties Ltd.
    416,000       1,284,756  
Henderson Land Development Co., Ltd.
    215,490       1,366,879  
Hysan Development Co., Ltd.
    125,000       598,350  
Kerry Properties Ltd.
    121,000       441,656  
New World Development Co., Ltd.
    957,666       1,207,653  
Sino Land Co., Ltd.
    542,000       932,469  
Sun Hung Kai Properties Ltd.
    310,604       4,714,739  
Swire Pacific Ltd., Class A
    130,090       1,674,929  
Swire Properties Ltd.
    216,600       706,143  
The Link REIT
    429,500       2,436,790  
The Wharf Holdings Ltd.
    300,100       2,391,792  
Wheelock & Co., Ltd.
    162,000       816,840  
                 
              23,647,378  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
ASM Pacific Technology Ltd.
    53,000       563,164  
                 
 
Telecommunication Services 0.0%
HKT Trust & HKT Ltd.
    536,000       633,049  
PCCW Ltd.
    759,000       467,149  
                 
              1,100,198  
                 
 
Transportation 0.1%
Cathay Pacific Airways Ltd.
    201,000       379,734  
MTR Corp., Ltd.
    280,500       1,101,957  
                 
              1,481,691  
                 
 
Utilities 0.4%
Cheung Kong Infrastructure Holdings Ltd.
    114,000       803,136  
CLP Holdings Ltd.
    366,580       3,049,451  
Hong Kong & China Gas Co., Ltd.
    1,232,197       2,696,506  
Power Assets Holdings Ltd.
    274,000       2,447,424  
                 
              8,996,517  
                 
              78,611,951  
 
Ireland 0.3%
                 
 
Banks 0.1%
Bank of Ireland *
    4,511,514       1,585,263  
                 
 
Food, Beverage & Tobacco 0.1%
Kerry Group plc, Class A
    31,108       2,311,862  
                 
 
Materials 0.1%
CRH plc
    140,364       3,276,169  
                 
 
Transportation 0.0%
Ryanair Holdings plc *
    35,363       323,732  
                 
              7,497,026  
 
Israel 0.5%
                 
 
Banks 0.1%
Bank Hapoalim B.M.
    202,922       1,183,694  
Bank Leumi Le-Israel B.M. *
    246,011       966,008  
Mizrahi Tefahot Bank Ltd.
    30,973       391,653  
                 
              2,541,355  
                 
 
Energy 0.0%
Delek Group Ltd.
    790       309,973  
                 
 
Materials 0.1%
Israel Chemicals Ltd.
    85,438       694,718  
The Israel Corp., Ltd. *
    609       358,430  
                 
              1,053,148  
 
 
 
 5

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.3%
Teva Pharmaceutical Industries Ltd.
    164,216       8,793,094  
                 
 
Software & Services 0.0%
NICE Systems Ltd.
    11,048       438,666  
                 
 
Telecommunication Services 0.0%
Bezeq The Israeli Telecommunication Corp., Ltd.
    399,288       743,481  
                 
              13,879,717  
 
Italy 2.5%
                 
 
Automobiles & Components 0.1%
Fiat S.p.A. *
    174,410       1,673,903  
Pirelli & C. S.p.A
    45,863       683,965  
                 
              2,357,868  
                 
 
Banks 0.7%
Banca Monte dei Paschi di Siena S.p.A. *
    808,330       1,461,232  
Banco Popolare SC *
    68,000       1,050,169  
Intesa Sanpaolo S.p.A.
    2,198,857       6,529,775  
Intesa Sanpaolo S.p.A. - RSP
    237,906       635,730  
UniCredit S.p.A.
    854,495       6,666,016  
Unione di Banche Italiane S.C.p.A.
    158,997       1,309,008  
                 
              17,651,930  
                 
 
Capital Goods 0.1%
CNH Industrial N.V.
    185,680       1,713,811  
Finmeccanica S.p.A. *
    82,641       761,362  
Prysmian S.p.A.
    39,039       830,135  
                 
              3,305,308  
                 
 
Consumer Durables & Apparel 0.1%
Luxottica Group S.p.A.
    33,430       1,844,304  
                 
 
Diversified Financials 0.1%
Exor S.p.A.
    18,034       690,379  
Mediobanca S.p.A. *
    112,040       987,530  
                 
              1,677,909  
                 
 
Energy 0.6%
Eni S.p.A.
    489,452       12,454,551  
Saipem S.p.A. *
    50,143       1,167,931  
Tenaris S.A.
    89,011       1,916,152  
                 
              15,538,634  
                 
 
Insurance 0.2%
Assicurazioni Generali S.p.A.
    222,364       4,641,393  
UnipolSai S.p.A.
    172,787       523,061  
                 
              5,164,454  
                 
 
Telecommunication Services 0.1%
Telecom Italia S.p.A. *
    1,870,366       2,155,207  
Telecom Italia S.p.A. - RSP
    1,263,477       1,181,315  
                 
              3,336,522  
                 
 
Transportation 0.1%
Atlantia S.p.A.
    80,885       2,140,722  
                 
 
Utilities 0.4%
Enel Green Power S.p.A.
    328,221       907,830  
Enel S.p.A.
    1,269,153       7,225,262  
Snam S.p.A.
    399,473       2,354,846  
Terna - Rete Elettrica Nationale S.p.A.
    280,197       1,473,609  
                 
              11,961,547  
                 
              64,979,198  
 
Japan 20.3%
                 
 
Automobiles & Components 2.9%
Aisin Seiki Co., Ltd.
    36,200       1,405,932  
Bridgestone Corp.
    124,157       4,480,870  
Daihatsu Motor Co., Ltd.
    39,700       704,678  
Denso Corp.
    92,500       4,266,615  
Fuji Heavy Industries Ltd.
    112,600       3,211,046  
Honda Motor Co., Ltd.
    313,039       10,897,219  
Isuzu Motors Ltd.
    221,000       1,533,875  
Koito Manufacturing Co., Ltd.
    18,000       493,213  
Mazda Motor Corp.
    105,800       2,542,086  
Mitsubishi Motors Corp.
    129,600       1,476,542  
NGK Spark Plug Co., Ltd.
    34,000       1,016,513  
NHK Spring Co., Ltd.
    37,000       362,342  
Nissan Motor Co., Ltd.
    474,396       4,654,017  
NOK Corp.
    20,800       424,723  
Stanley Electric Co., Ltd.
    27,000       700,306  
Sumitomo Rubber Industries Ltd.
    32,400       469,291  
Suzuki Motor Corp.
    71,000       2,369,271  
The Yokohama Rubber Co., Ltd.
    36,000       311,704  
Toyoda Gosei Co., Ltd.
    11,300       229,487  
Toyota Industries Corp.
    31,200       1,520,009  
Toyota Motor Corp.
    529,603       31,267,767  
Yamaha Motor Co., Ltd.
    51,400       851,487  
                 
              75,188,993  
                 
 
Banks 1.9%
Aozora Bank Ltd.
    215,000       730,589  
Fukuoka Financial Group, Inc.
    147,000       752,012  
Hokuhoku Financial Group, Inc.
    223,000       457,862  
Mitsubishi UFJ Financial Group, Inc.
    2,450,809       14,453,156  
Mizuho Financial Group, Inc.
    4,416,934       8,575,352  
Resona Holdings, Inc.
    433,200       2,414,040  
Seven Bank Ltd.
    116,700       468,321  
Shinsei Bank Ltd.
    291,000       615,326  
Sumitomo Mitsui Financial Group, Inc.
    244,646       9,972,865  
Sumitomo Mitsui Trust Holdings, Inc.
    647,000       2,815,554  
Suruga Bank Ltd.
    34,000       662,954  
The Bank of Kyoto Ltd.
    63,000       572,268  
The Bank of Yokohama Ltd.
    217,000       1,234,758  
The Chiba Bank Ltd.
    141,000       1,026,407  
The Chugoku Bank Ltd.
    32,500       499,335  
The Gunma Bank Ltd.
    72,000       423,632  
The Hachijuni Bank Ltd.
    77,000       473,355  
The Hiroshima Bank Ltd.
    92,000       446,440  
The Iyo Bank Ltd.
    46,000       465,971  
The Joyo Bank Ltd.
    125,000       665,076  
The Shizuoka Bank Ltd.
    98,000       1,056,196  
Yamaguchi Financial Group, Inc.
    38,000       389,241  
                 
              49,170,710  
 
 
 
6 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Capital Goods 2.9%
Amada Co., Ltd.
    71,000       689,627  
Asahi Glass Co., Ltd.
    188,000       1,114,050  
Chiyoda Corp.
    29,000       343,361  
Daikin Industries Ltd.
    44,600       3,063,081  
FANUC Corp.
    37,100       6,412,003  
Fuji Electric Co., Ltd.
    104,000       536,247  
Hino Motors Ltd.
    50,000       691,451  
Hitachi Construction Machinery Co., Ltd.
    23,300       475,571  
IHI Corp.
    248,000       1,146,873  
ITOCHU Corp.
    294,600       3,751,063  
JGC Corp.
    41,000       1,242,397  
JTEKT Corp.
    36,900       638,856  
Kajima Corp.
    170,000       790,510  
Kawasaki Heavy Industries Ltd.
    265,000       1,030,879  
Komatsu Ltd.
    178,609       3,961,067  
Kubota Corp.
    220,000       2,896,364  
Kurita Water Industries Ltd.
    18,200       418,205  
LIXIL Group Corp.
    52,400       1,270,271  
Mabuchi Motor Co., Ltd.
    4,400       347,015  
Makita Corp.
    23,300       1,378,125  
Marubeni Corp.
    325,000       2,284,112  
Mitsubishi Corp.
    272,900       5,750,510  
Mitsubishi Electric Corp.
    368,000       4,858,165  
Mitsubishi Heavy Industries Ltd.
    593,000       3,865,549  
Mitsui & Co., Ltd.
    330,300       5,297,151  
Nabtesco Corp.
    22,100       499,308  
NGK Insulators Ltd.
    50,000       1,183,017  
Nidec Corp.
    40,100       2,611,579  
NSK Ltd.
    86,000       1,209,869  
Obayashi Corp.
    121,000       883,092  
Shimizu Corp.
    110,000       842,551  
SMC Corp.
    10,600       2,926,433  
Sumitomo Corp.
    214,400       2,825,374  
Sumitomo Electric Industries Ltd.
    146,300       2,144,390  
Sumitomo Heavy Industries Ltd.
    102,000       498,497  
Taisei Corp.
    193,000       1,088,440  
THK Co., Ltd.
    20,700       498,149  
Toshiba Corp.
    776,178       3,452,172  
TOTO Ltd.
    53,000       664,340  
Toyota Tsusho Corp.
    41,300       1,148,170  
                 
              76,727,884  
                 
 
Commercial & Professional Supplies 0.2%
Dai Nippon Printing Co., Ltd.
    114,000       1,169,451  
Park24 Co., Ltd.
    18,000       330,217  
Secom Co., Ltd.
    40,700       2,475,624  
Toppan Printing Co., Ltd.
    112,000       853,146  
                 
              4,828,438  
                 
 
Consumer Durables & Apparel 0.8%
Asics Corp.
    31,200       662,142  
Bandai Namco Holdings, Inc.
    36,000       911,117  
Casio Computer Co., Ltd. (a)
    41,300       694,887  
Iida Group Holdings Co., Ltd.
    30,100       448,481  
Nikon Corp.
    70,500       1,093,447  
Panasonic Corp.
    421,512       5,255,591  
Rinnai Corp.
    6,700       610,001  
Sankyo Co., Ltd.
    11,600       451,390  
Sega Sammy Holdings, Inc.
    33,800       668,614  
Sekisui Chemical Co., Ltd.
    87,000       1,043,169  
Sekisui House Ltd.
    102,300       1,342,675  
Sharp Corp. *
    310,785       968,034  
Shimano, Inc.
    15,200       1,774,459  
Sony Corp.
    202,400       3,688,889  
Yamaha Corp.
    28,500       434,280  
                 
              20,047,176  
                 
 
Consumer Services 0.1%
Benesse Holdings, Inc.
    14,200       534,940  
McDonald’s Holdings Co., Ltd. (a)
    11,000       276,864  
Oriental Land Co., Ltd.
    9,300       1,746,413  
                 
              2,558,217  
                 
 
Diversified Financials 0.6%
Acom Co., Ltd. *
    88,800       349,650  
AEON Financial Service Co., Ltd.
    19,900       453,527  
Credit Saison Co., Ltd.
    27,800       546,988  
Daiwa Securities Group, Inc.
    325,000       2,728,694  
Japan Exchange Group, Inc.
    48,500       1,103,446  
Mitsubishi UFJ Lease & Finance Co., Ltd.
    97,400       545,548  
Nomura Holdings, Inc.
    691,500       4,365,833  
ORIX Corp.
    250,800       4,053,247  
SBI Holdings, Inc.
    38,090       444,380  
                 
              14,591,313  
                 
 
Energy 0.2%
Idemitsu Kosan Co., Ltd.
    15,200       310,684  
Inpex Corp.
    171,900       2,547,670  
JX Holdings, Inc.
    442,300       2,274,351  
Showa Shell Sekiyu K.K.
    33,500       377,829  
TonenGeneral Sekiyu K.K.
    49,000       427,936  
                 
              5,938,470  
                 
 
Food & Staples Retailing 0.3%
Aeon Co., Ltd.
    119,600       1,342,882  
FamilyMart Co., Ltd.
    11,200       503,004  
Lawson, Inc.
    12,300       921,101  
Seven & i Holdings Co., Ltd.
    145,803       6,067,675  
                 
              8,834,662  
                 
 
Food, Beverage & Tobacco 0.8%
Ajinomoto Co., Inc.
    116,000       1,783,167  
Asahi Group Holdings Ltd.
    76,100       2,295,072  
Calbee, Inc.
    16,200       481,094  
Japan Tobacco, Inc.
    211,300       7,430,897  
Kikkoman Corp.
    30,000       657,030  
Kirin Holdings Co., Ltd.
    159,000       2,228,742  
MEIJI Holdings Co., Ltd.
    11,300       809,944  
NH Foods Ltd.
    33,000       675,530  
Nisshin Seifun Group, Inc.
    36,800       429,747  
Nissin Foods Holdings Co., Ltd.
    11,900       653,860  
Suntory Beverage & Food Ltd.
    26,500       993,072  
Toyo Suisan Kaisha Ltd.
    16,000       485,314  
Yakult Honsha Co., Ltd.
    16,800       887,689  
Yamazaki Baking Co., Ltd.
    26,000       329,091  
                 
              20,140,249  
                 
 
Health Care Equipment & Services 0.2%
Alfresa Holdings Corp.
    8,200       489,544  
M3, Inc.
    36,000       581,038  
 
 
 
 7

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Medipal Holdings Corp.
    26,100       328,930  
Miraca Holdings, Inc.
    11,800       546,103  
Olympus Corp. *
    45,000       1,619,270  
Suzuken Co., Ltd.
    14,500       462,306  
Sysmex Corp.
    27,700       1,075,327  
Terumo Corp.
    57,700       1,308,350  
                 
              6,410,868  
                 
 
Household & Personal Products 0.3%
Kao Corp.
    99,819       4,104,977  
Shiseido Co., Ltd.
    71,400       1,407,216  
Unicharm Corp.
    23,100       1,414,476  
                 
              6,926,669  
                 
 
Insurance 0.5%
MS&AD Insurance Group Holdings, Inc.
    95,462       2,172,940  
NKSJ Holdings, Inc.
    62,900       1,588,318  
Sony Financial Holdings, Inc.
    33,000       540,455  
T&D Holdings, Inc.
    109,400       1,373,033  
The Dai-ichi Life Insurance Co., Ltd.
    204,200       2,876,490  
Tokio Marine Holdings, Inc.
    132,299       4,160,375  
                 
              12,711,611  
                 
 
Materials 1.2%
Air Water, Inc.
    26,000       415,819  
Asahi Kasei Corp.
    235,000       1,857,234  
Daicel Corp.
    51,000       514,713  
Daido Steel Co., Ltd.
    59,000       275,708  
Hitachi Chemical Co., Ltd.
    22,600       397,532  
Hitachi Metals Ltd.
    45,000       731,762  
JFE Holdings, Inc.
    91,700       1,935,425  
JSR Corp.
    31,300       539,673  
Kaneka Corp.
    58,000       348,812  
Kansai Paint Co., Ltd.
    47,000       787,610  
Kobe Steel Ltd.
    614,000       999,481  
Kuraray Co., Ltd.
    66,700       873,670  
Maruichi Steel Tube Ltd.
    8,800       243,595  
Mitsubishi Chemical Holdings Corp.
    252,000       1,102,907  
Mitsubishi Gas Chemical Co., Inc.
    85,000       552,371  
Mitsubishi Materials Corp.
    229,000       832,468  
Mitsui Chemicals, Inc.
    141,000       380,117  
Nippon Paint Co., Ltd.
    34,000       783,416  
Nippon Steel & Sumitomo Metal Corp.
    1,458,410       4,403,901  
Nitto Denko Corp.
    30,600       1,365,569  
Oji Holdings Corp.
    141,000       567,486  
Shin-Etsu Chemical Co., Ltd.
    77,860       4,938,516  
Sumitomo Chemical Co., Ltd.
    278,000       1,056,684  
Sumitomo Metal Mining Co., Ltd.
    105,000       1,749,219  
Taiheiyo Cement Corp.
    238,000       921,488  
Taiyo Nippon Sanso Corp.
    45,000       394,609  
Teijin Ltd.
    161,000       398,702  
Toray Industries, Inc.
    289,000       1,956,196  
Toyo Seikan Group Holdings Ltd.
    33,400       520,181  
Yamato Kogyo Co., Ltd.
    7,700       250,289  
                 
              32,095,153  
                 
 
Media 0.1%
Dentsu, Inc.
    42,100       1,667,415  
Hakuhodo DY Holdings, Inc.
    40,300       423,106  
Toho Co., Ltd.
    20,000       485,122  
                 
              2,575,643  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 1.0%
Astellas Pharma, Inc.
    421,950       5,721,896  
Chugai Pharmaceutical Co., Ltd.
    44,600       1,484,417  
Daiichi Sankyo Co., Ltd.
    123,000       2,236,592  
Eisai Co., Ltd.
    47,800       2,024,801  
Hisamitsu Pharmaceutical Co., Inc.
    10,700       426,221  
Kyowa Hakko Kirin Co., Ltd.
    43,000       590,760  
Mitsubishi Tanabe Pharma Corp.
    43,100       626,053  
Ono Pharmaceutical Co., Ltd.
    16,000       1,353,428  
Otsuka Holdings Co., Ltd.
    76,700       2,442,342  
Santen Pharmaceutical Co., Ltd.
    14,200       837,101  
Shionogi & Co., Ltd.
    55,800       1,204,661  
Sumitomo Dainippon Pharma Co., Ltd.
    28,500       348,416  
Taisho Pharmaceutical Holdings Co., Ltd.
    6,500       462,725  
Takeda Pharmaceutical Co., Ltd.
    152,100       6,937,655  
                 
              26,697,068  
                 
 
Real Estate 1.0%
Aeon Mall Co., Ltd.
    20,200       473,356  
Daito Trust Construction Co., Ltd.
    13,500       1,627,101  
Daiwa House Industry Co., Ltd.
    116,000       2,354,709  
Hulic Co., Ltd.
    45,700       538,237  
Japan Prime Realty Investment Corp.
    149       515,486  
Japan Real Estate Investment Corp.
    240       1,349,025  
Japan Retail Fund Investment Corp.
    422       929,917  
Mitsubishi Estate Co., Ltd.
    242,502       5,929,920  
Mitsui Fudosan Co., Ltd.
    179,777       5,936,920  
Nippon Building Fund, Inc.
    264       1,482,155  
Nippon Prologis REIT, Inc.
    268       623,371  
Nomura Real Estate Holdings, Inc.
    24,300       451,496  
NTT Urban Development Corp.
    22,700       247,306  
Sumitomo Realty & Development Co., Ltd.
    69,000       2,848,885  
Tokyo Tatemono Co., Ltd.
    79,000       674,726  
Tokyu Fudosan Holdings Corp.
    91,200       691,732  
United Urban Investment Corp.
    476       764,390  
                 
              27,438,732  
                 
 
Retailing 0.5%
ABC-Mart, Inc.
    5,980       322,944  
Don Quijote Holdings Co., Ltd.
    10,400       561,952  
Fast Retailing Co., Ltd.
    10,300       3,400,523  
Hikari Tsushin, Inc.
    3,100       226,961  
Isetan Mitsukoshi Holdings Ltd.
    61,800       765,817  
J. Front Retailing Co., Ltd.
    103,000       694,059  
 
 
 
8 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Marui Group Co., Ltd.
    53,900       520,097  
Nitori Holdings Co., Ltd.
    12,700       713,369  
Rakuten, Inc.
    157,620       2,070,018  
Sanrio Co., Ltd. (a)
    10,800       311,272  
Shimamura Co., Ltd.
    4,200       416,510  
Takashimaya Co., Ltd.
    46,000       423,051  
USS Co., Ltd.
    41,200       719,744  
Yamada Denki Co., Ltd.
    174,000       617,567  
                 
              11,763,884  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
Advantest Corp.
    30,800       343,867  
Rohm Co., Ltd.
    18,900       1,065,495  
Tokyo Electron Ltd.
    33,100       2,162,204  
                 
              3,571,566  
                 
 
Software & Services 0.4%
Dena Co., Ltd.
    18,200       234,729  
Fujitsu Ltd.
    363,000       2,782,568  
Gree, Inc. *(a)
    24,703       195,032  
GungHo Online Entertainment, Inc. (a)
    80,100       450,946  
Itochu Techno-Solutions Corp.
    4,506       201,517  
Kakaku.com, Inc.
    31,300       529,722  
Konami Corp.
    19,400       450,404  
Nexon Co., Ltd.
    28,900       278,818  
Nintendo Co., Ltd.
    20,439       2,270,567  
Nomura Research Institute Ltd.
    20,300       639,150  
NTT Data Corp.
    23,100       879,699  
Oracle Corp., Japan
    6,600       279,638  
Otsuka Corp.
    8,100       369,063  
Trend Micro, Inc.
    20,500       729,748  
Yahoo Japan Corp.
    284,500       1,287,288  
                 
              11,578,889  
                 
 
Technology Hardware & Equipment 1.7%
Brother Industries Ltd.
    45,300       810,476  
Canon, Inc.
    218,295       7,141,575  
Citizen Holdings Co., Ltd.
    49,100       390,389  
FUJIFILM Holdings Corp.
    90,711       2,589,420  
Hamamatsu Photonics K.K.
    13,500       634,589  
Hirose Electric Co., Ltd.
    5,700       801,096  
Hitachi High-Technologies Corp.
    10,900       292,390  
Hitachi Ltd.
    932,079       7,224,358  
Hoya Corp.
    85,307       2,762,116  
Ibiden Co., Ltd.
    22,300       445,599  
Japan Display, Inc. *
    67,000       382,865  
Keyence Corp.
    8,700       3,790,109  
Konica Minolta, Inc.
    94,800       1,012,076  
Kyocera Corp.
    60,400       2,925,599  
Murata Manufacturing Co., Ltd.
    39,274       3,743,805  
NEC Corp.
    484,000       1,868,656  
Nippon Electric Glass Co., Ltd.
    88,000       493,017  
Omron Corp.
    39,600       1,756,368  
Ricoh Co., Ltd.
    131,500       1,505,347  
Seiko Epson Corp.
    25,600       1,095,830  
Shimadzu Corp.
    42,000       402,010  
TDK Corp.
    23,500       1,127,321  
Yaskawa Electric Corp.
    43,000       560,409  
Yokogawa Electric Corp.
    47,100       593,229  
                 
              44,348,649  
                 
 
Telecommunication Services 1.1%
KDDI Corp.
    112,400       6,461,075  
Nippon Telegraph & Telephone Corp.
    71,678       4,759,724  
NTT DOCOMO, Inc.
    290,800       5,099,512  
SoftBank Corp.
    184,700       13,277,760  
                 
              29,598,071  
                 
 
Transportation 1.0%
ANA Holdings, Inc.
    248,000       613,557  
Central Japan Railway Co.
    27,400       3,891,399  
East Japan Railway Co.
    65,460       5,243,807  
Hankyu Hanshin Holdings, Inc.
    230,000       1,339,028  
Japan Airlines Co., Ltd.
    10,800       596,564  
Kamigumi Co., Ltd.
    40,000       382,567  
Keikyu Corp.
    87,000       766,466  
Keio Corp.
    108,000       861,423  
Keisei Electric Railway Co., Ltd.
    60,000       615,089  
Kintetsu Corp.
    341,000       1,241,703  
Mitsubishi Logistics Corp.
    25,000       379,043  
Mitsui O.S.K. Lines Ltd.
    228,000       844,796  
Nagoya Railroad Co., Ltd.
    156,000       652,803  
Nippon Express Co., Ltd.
    158,000       764,064  
Nippon Yusen K.K.
    326,000       934,065  
Odakyu Electric Railway Co., Ltd.
    116,000       1,136,365  
Tobu Railway Co., Ltd.
    191,000       1,000,023  
Tokyu Corp.
    229,000       1,646,315  
West Japan Railway Co.
    31,000       1,406,045  
Yamato Holdings Co., Ltd.
    70,100       1,460,232  
                 
              25,775,354  
                 
 
Utilities 0.5%
Chubu Electric Power Co., Inc. *
    119,800       1,392,627  
Electric Power Development Co., Ltd.
    22,200       715,223  
Hokuriku Electric Power Co.
    29,200       378,157  
Kyushu Electric Power Co., Inc. *
    88,000       977,103  
Osaka Gas Co., Ltd.
    349,000       1,451,591  
Shikoku Electric Power Co., Inc. *
    33,700       444,356  
The Chugoku Electric Power Co., Inc.
    55,200       733,919  
The Kansai Electric Power Co., Inc. *
    130,900       1,195,661  
Toho Gas Co., Ltd.
    71,000       392,320  
Tohoku Electric Power Co., Inc.
    85,700       935,796  
Tokyo Electric Power Co., Inc. *
    285,890       1,115,430  
Tokyo Gas Co., Ltd.
    457,201       2,611,850  
                 
              12,344,033  
                 
              531,862,302  
 
Netherlands 2.6%
                 
 
Capital Goods 0.3%
Koninklijke Boskalis Westminster N.V.
    16,393       875,529  
Koninklijke Philips N.V.
    188,165       5,799,352  
OCI *
    16,510       630,863  
                 
              7,305,744  
 
 
 
 9

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Commercial & Professional Supplies 0.0%
Randstad Holding N.V.
    23,093       1,144,738  
                 
 
Diversified Financials 0.4%
ING Groep N.V. CVA *
    740,546       9,617,903  
                 
 
Energy 0.1%
Fugro N.V. CVA
    14,104       543,092  
Koninklijke Vopak N.V.
    13,531       626,350  
                 
              1,169,442  
                 
 
Food & Staples Retailing 0.1%
Koninklijke Ahold N.V.
    180,805       3,152,574  
                 
 
Food, Beverage & Tobacco 0.7%
Heineken Holding N.V.
    18,785       1,196,001  
Heineken N.V.
    44,243       3,107,865  
Unilever N.V. CVA
    312,405       12,857,341  
                 
              17,161,207  
                 
 
Insurance 0.1%
Aegon N.V.
    345,318       2,800,413  
Delta Lloyd N.V.
    36,888       852,067  
                 
              3,652,480  
                 
 
Materials 0.2%
Akzo Nobel N.V.
    46,524       3,350,825  
Koninklijke DSM N.V.
    33,937       2,344,480  
                 
              5,695,305  
                 
 
Media 0.2%
Altice S.A. *
    14,724       844,937  
Reed Elsevier N.V.
    136,755       3,078,421  
Wolters Kluwer N.V.
    56,151       1,555,736  
                 
              5,479,094  
                 
 
Real Estate 0.0%
Corio N.V.
    13,143       698,241  
                 
 
Semiconductors & Semiconductor Equipment 0.3%
ASML Holding N.V.
    69,120       6,518,722  
                 
 
Software & Services 0.1%
Gemalto N.V.
    15,005       1,465,490  
                 
 
Telecommunication Services 0.1%
Koninklijke (Royal) KPN N.V. *
    595,283       1,903,508  
Ziggo N.V.
    29,773       1,342,618  
                 
              3,246,126  
                 
 
Transportation 0.0%
TNT Express N.V.
    91,819       739,892  
                 
              67,046,958  
 
New Zealand 0.1%
                 
 
Health Care Equipment & Services 0.0%
Ryman Healthcare Ltd.
    72,734       498,445  
                 
 
Materials 0.1%
Fletcher Building Ltd.
    122,603       943,674  
                 
 
Software & Services 0.0%
Xero Ltd. *(a)
    11,859       249,736  
                 
 
Telecommunication Services 0.0%
Telecom Corp. of New Zealand Ltd.
    356,009       858,900  
                 
 
Transportation 0.0%
Auckland International Airport Ltd.
    202,366       654,232  
                 
 
Utilities 0.0%
Contact Energy Ltd.
    75,447       354,293  
                 
              3,559,280  
 
Norway 0.8%
                 
 
Banks 0.1%
DNB A.S.A.
    185,870       3,293,910  
                 
 
Energy 0.4%
Aker Solutions A.S.A.
    31,911       470,945  
Seadrill Ltd.
    70,680       2,539,337  
Statoil A.S.A.
    215,550       6,159,249  
Subsea 7 S.A.
    52,537       877,518  
                 
              10,047,049  
                 
 
Food, Beverage & Tobacco 0.1%
Orkla A.S.A.
    151,511       1,371,414  
                 
 
Insurance 0.0%
Gjensidige Forsikring A.S.A.
    42,041       813,220  
                 
 
Materials 0.1%
Norsk Hydro A.S.A.
    266,113       1,577,671  
Yara International A.S.A.
    33,647       1,542,024  
                 
              3,119,695  
                 
 
Telecommunication Services 0.1%
Telenor A.S.A.
    145,808       3,355,485  
                 
              22,000,773  
 
Portugal 0.2%
                 
 
Banks 0.0%
Banco Comercial Portugues S.A., Class R *
    7,149,000       1,021,013  
Banco Espirito Santo S.A. - Reg’d *(a)
    470,491       126,288  
                 
              1,147,301  
                 
 
Energy 0.1%
Galp Energia, SGPS, S.A.
    78,082       1,385,893  
                 
 
Food & Staples Retailing 0.0%
Jeronimo Martins, SGPS, S.A.
    49,264       643,939  
                 
 
Utilities 0.1%
EDP - Energias de Portugal S.A.
    430,438       2,015,778  
                 
              5,192,911  
 
Singapore 1.5%
                 
 
Banks 0.5%
DBS Group Holdings Ltd.
    328,246       4,782,323  
Oversea-Chinese Banking Corp., Ltd.
    494,552       3,946,972  
United Overseas Bank Ltd.
    248,233       4,790,559  
                 
              13,519,854  
                 
 
Capital Goods 0.2%
Keppel Corp., Ltd.
    272,800       2,391,088  
Noble Group Ltd.
    858,000       971,285  
 
 
 
10 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Sembcorp Industries Ltd.
    200,000       875,814  
Sembcorp Marine Ltd.
    152,000       503,059  
Singapore Technologies Engineering Ltd.
    278,000       844,273  
Yangzijiang Shipbuilding Holdings Ltd.
    319,000       277,271  
                 
              5,862,790  
                 
 
Consumer Services 0.1%
Genting Singapore plc
    1,137,000       1,212,374  
                 
 
Diversified Financials 0.0%
Singapore Exchange Ltd.
    163,000       919,548  
                 
 
Food & Staples Retailing 0.0%
Olam International Ltd. (a)
    150,000       296,994  
                 
 
Food, Beverage & Tobacco 0.1%
Golden Agri-Resources Ltd.
    1,519,000       648,448  
Wilmar International Ltd.
    348,000       908,579  
                 
              1,557,027  
                 
 
Media 0.1%
Singapore Press Holdings Ltd. (a)
    302,000       1,003,439  
                 
 
Real Estate 0.2%
Ascendas REIT
    383,000       714,621  
CapitaCommercial Trust
    359,000       478,760  
CapitaLand Ltd.
    481,000       1,325,490  
CapitaMall Trust
    450,000       709,010  
City Developments Ltd.
    74,000       624,992  
Global Logistic Properties Ltd.
    576,000       1,282,272  
Keppel Land Ltd.
    129,000       375,185  
UOL Group Ltd.
    95,000       503,310  
                 
              6,013,640  
                 
 
Retailing 0.0%
Jardine Cycle & Carriage Ltd.
    22,000       817,517  
                 
 
Telecommunication Services 0.2%
Singapore Telecommunications Ltd.
    1,524,237       4,957,584  
StarHub Ltd.
    141,000       480,353  
                 
              5,437,937  
                 
 
Transportation 0.1%
ComfortDelGro Corp., Ltd.
    408,000       843,227  
Hutchison Port Holdings Trust, Class U
    1,052,000       782,680  
Singapore Airlines Ltd.
    98,000       809,226  
                 
              2,435,133  
                 
              39,076,253  
 
Spain 3.5%
                 
 
Banks 1.7%
Banco Bilbao Vizcaya Argentaria S.A.
    1,139,443       14,006,825  
Banco de Sabadell S.A.
    644,323       2,091,585  
Banco Popular Espanol S.A.
    346,865       2,116,767  
Banco Santander S.A.
    2,279,135       22,899,127  
Bankia S.A. *
    856,289       1,677,524  
CaixaBank S.A.
    337,339       2,028,488  
                 
              44,820,316  
                 
 
Capital Goods 0.1%
ACS, Actividades de Construccion y Servicios S.A.
    33,469       1,463,569  
Ferrovial S.A.
    76,349       1,599,679  
Zardoya Otis S.A.
    32,048       490,180  
                 
              3,553,428  
                 
 
Energy 0.2%
Repsol S.A.
    171,799       4,284,247  
                 
 
Food & Staples Retailing 0.0%
Distribuidora Internacional de Alimentacion S.A.
    114,964       952,906  
                 
 
Insurance 0.0%
Mapfre S.A.
    202,213       777,787  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Grifols S.A.
    28,491       1,286,022  
                 
 
Retailing 0.2%
Inditex S.A.
    210,925       6,161,745  
                 
 
Software & Services 0.1%
Amadeus IT Holding S.A., A Shares
    73,259       2,882,789  
                 
 
Telecommunication Services 0.5%
Telefonica S.A.
    787,475       12,837,813  
                 
 
Transportation 0.1%
Abertis Infraestructuras S.A.
    74,695       1,637,124  
International Consolidated Airlines Group S.A. *
    194,400       1,087,591  
                 
              2,724,715  
                 
 
Utilities 0.5%
Enagas S.A.
    37,717       1,254,828  
Gas Natural SDG S.A.
    69,417       2,132,681  
Iberdrola S.A.
    996,875       7,416,443  
Red Electrica Corp. S.A.
    20,982       1,802,968  
                 
              12,606,920  
                 
              92,888,688  
 
Sweden 3.0%
                 
 
Banks 0.8%
Nordea Bank AB
    587,709       7,881,631  
Skandinaviska Enskilda Banken AB, A Shares
    296,070       3,963,480  
Svenska Handelsbanken AB, A Shares
    95,166       4,583,232  
Swedbank AB, A Shares
    172,746       4,425,341  
                 
              20,853,684  
                 
 
Capital Goods 0.8%
Alfa Laval AB
    58,742       1,333,931  
Assa Abloy AB, B Shares
    63,600       3,125,007  
Atlas Copco AB, A Shares
    128,917       3,846,221  
Atlas Copco AB, B Shares
    77,192       2,083,168  
Sandvik AB
    208,144       2,618,250  
Skanska AB, B Shares
    70,514       1,465,177  
SKF AB, B Shares
    74,568       1,757,729  
Volvo AB, B Shares
    292,646       3,572,830  
                 
              19,802,313  
 
 
 
 11

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Commercial & Professional Supplies 0.0%
Securitas AB, B Shares
    54,176       629,890  
                 
 
Consumer Durables & Apparel 0.1%
Electrolux AB, B Shares
    46,562       1,154,832  
Husqvarna AB, B Shares
    76,291       601,740  
                 
              1,756,572  
                 
 
Diversified Financials 0.2%
Industrivarden AB, C Shares
    25,073       466,068  
Investment AB Kinnevik, B Shares
    43,754       1,816,115  
Investor AB, B Shares
    87,699       3,152,687  
                 
              5,434,870  
                 
 
Energy 0.0%
Lundin Petroleum AB *
    46,492       833,307  
                 
 
Food, Beverage & Tobacco 0.1%
Swedish Match AB
    40,706       1,334,207  
                 
 
Health Care Equipment & Services 0.1%
Elekta AB, B Shares (a)
    68,508       839,450  
Getinge AB, B Shares
    37,711       922,419  
                 
              1,761,869  
                 
 
Household & Personal Products 0.1%
Svenska Cellulosa AB, S.C.A., B Shares
    115,072       2,833,767  
                 
 
Materials 0.0%
Boliden AB
    52,419       849,195  
                 
 
Retailing 0.3%
Hennes & Mauritz AB, B Shares
    182,499       7,460,821  
                 
 
Technology Hardware & Equipment 0.3%
Hexagon AB, B Shares
    47,292       1,466,573  
Telefonaktiebolaget LM Ericsson, B Shares
    589,553       7,341,041  
                 
              8,807,614  
                 
 
Telecommunication Services 0.2%
Millicom International Cellular S.A. SDR
    13,121       1,116,351  
Tele2 AB, B Shares
    59,298       723,403  
TeliaSonera AB
    462,862       3,466,710  
                 
              5,306,464  
                 
              77,664,573  
 
Switzerland 8.7%
                 
 
Capital Goods 0.5%
ABB Ltd. - Reg’d *
    423,572       9,741,252  
Geberit AG - Reg’d
    7,291       2,443,038  
Schindler Holding AG
    9,460       1,413,778  
Schindler Holding AG - Reg’d
    3,737       553,530  
Sulzer AG - Reg’d
    4,467       590,685  
                 
              14,742,283  
                 
 
Commercial & Professional Supplies 0.2%
Adecco S.A. - Reg’d *
    33,406       2,498,720  
SGS S.A. - Reg’d
    1,079       2,350,540  
                 
              4,849,260  
                 
 
Consumer Durables & Apparel 0.5%
Cie Financiere Richemont S.A.
    100,325       9,520,061  
The Swatch Group AG - Bearer Shares
    5,936       3,165,564  
The Swatch Group AG - Reg’d
    9,222       923,460  
                 
              13,609,085  
                 
 
Diversified Financials 0.9%
Credit Suisse Group AG - Reg’d *
    293,075       7,950,466  
Julius Baer Group Ltd. *
    44,446       1,885,493  
Pargesa Holding S.A.
    5,743       486,114  
Partners Group Holding AG
    3,301       827,479  
UBS AG - Reg’d *
    703,649       12,089,765  
                 
              23,239,317  
                 
 
Energy 0.1%
Transocean Ltd.
    69,627       2,797,913  
                 
 
Food, Beverage & Tobacco 1.9%
Aryzta AG *
    17,040       1,541,277  
Barry Callebaut AG - Reg’d *
    419       515,212  
Coca-Cola HBC AG ADR *
    28,832       672,648  
Lindt & Spruengli AG
    195       1,013,678  
Lindt & Spruengli AG - Reg’d
    19       1,184,011  
Nestle S.A. - Reg’d
    619,320       45,854,455  
                 
              50,781,281  
                 
 
Health Care Equipment & Services 0.1%
Sonova Holding AG - Reg’d
    9,988       1,549,680  
                 
 
Insurance 0.6%
Baloise Holding AG - Reg’d
    8,856       1,066,309  
Swiss Life Holding AG - Reg’d *
    6,111       1,413,158  
Swiss Re AG *
    68,266       5,803,122  
Zurich Insurance Group AG *
    28,593       8,306,543  
                 
              16,589,132  
                 
 
Materials 0.6%
EMS-Chemie Holding AG - Reg’d
    1,449       624,364  
Givaudan S.A. - Reg’d *
    1,767       2,890,090  
Holcim Ltd. - Reg’d *
    43,876       3,510,803  
Sika AG
    400       1,556,006  
Syngenta AG - Reg’d
    17,983       6,370,554  
                 
              14,951,817  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 3.1%
Actelion Ltd. - Reg’d *
    19,990       2,400,916  
Lonza Group AG - Reg’d *
    10,065       1,116,144  
Novartis AG - Reg’d
    442,273       38,477,129  
Roche Holding AG
    135,100       39,206,773  
                 
              81,200,962  
                 
 
Real Estate 0.0%
Swiss Prime Site AG - Reg’d *
    11,957       948,852  
                 
 
Telecommunication Services 0.1%
Swisscom AG - Reg’d
    4,561       2,532,269  
                 
 
Transportation 0.1%
Kuehne & Nagel International AG - Reg’d
    10,311       1,375,052  
                 
              229,166,903  
 
 
 
12 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
United Kingdom 21.1%
                 
 
Automobiles & Components 0.1%
GKN plc
    306,011       1,760,685  
                 
 
Banks 2.9%
Barclays plc
    3,149,767       11,939,784  
HSBC Holdings plc
    3,622,647       38,838,087  
Lloyds Banking Group plc *
    11,006,487       13,721,502  
Royal Bank of Scotland Group plc *
    485,350       2,892,903  
Standard Chartered plc
    467,862       9,702,410  
                 
              77,094,686  
                 
 
Capital Goods 0.9%
Wolseley plc
    52,009       2,707,694  
BAE Systems plc
    622,273       4,484,690  
Bunzl plc
    62,819       1,683,764  
Cobham plc
    211,627       1,044,174  
IMI plc
    52,003       1,240,318  
Meggitt plc
    150,186       1,285,975  
Melrose Industries plc
    201,774       893,734  
Rolls-Royce Holdings plc *
    363,214       6,340,392  
Smiths Group plc
    74,092       1,589,892  
The Weir Group plc
    40,969       1,768,252  
Travis Perkins plc
    46,219       1,301,391  
                 
              24,340,276  
                 
 
Commercial & Professional Supplies 0.4%
Aggreko plc
    48,852       1,414,686  
Babcock International Group plc
    93,971       1,736,675  
Capita plc
    129,666       2,625,527  
Experian plc
    190,405       3,257,966  
G4S plc
    288,394       1,220,357  
Intertek Group plc
    30,549       1,318,955  
                 
              11,574,166  
                 
 
Consumer Durables & Apparel 0.1%
Burberry Group plc
    86,306       2,052,231  
Persimmon plc *
    57,253       1,205,834  
                 
              3,258,065  
                 
 
Consumer Services 0.5%
Carnival plc
    34,645       1,248,005  
Compass Group plc
    326,714       5,323,659  
InterContinental Hotels Group plc
    46,430       1,883,700  
TUI Travel plc
    93,512       570,818  
Whitbread plc
    35,499       2,570,672  
William Hill plc
    174,467       1,034,125  
                 
              12,630,979  
                 
 
Diversified Financials 0.3%
3i Group plc
    180,618       1,147,190  
Aberdeen Asset Management plc
    184,094       1,278,056  
Hargreaves Lansdown plc
    47,776       823,677  
ICAP plc
    99,435       581,508  
Investec plc
    101,621       878,964  
London Stock Exchange Group plc
    33,988       1,108,652  
Schroders plc
    23,106       928,386  
                 
              6,746,433  
                 
 
Energy 3.7%
AMEC plc
    57,377       1,098,354  
BG Group plc
    656,146       12,938,699  
BP plc
    3,550,869       28,917,354  
Petrofac Ltd.
    49,680       915,519  
Royal Dutch Shell plc, A Shares
    747,946       30,752,443  
Royal Dutch Shell plc, B Shares
    471,577       20,306,946  
Tullow Oil plc
    171,024       2,096,845  
                 
              97,026,160  
                 
 
Food & Staples Retailing 0.3%
J. Sainsbury plc
    229,793       1,211,208  
Tesco plc
    1,558,466       6,761,748  
WM Morrison Supermarkets plc
    410,451       1,164,983  
                 
              9,137,939  
                 
 
Food, Beverage & Tobacco 2.6%
Associated British Foods plc
    67,979       3,182,223  
British American Tobacco plc
    362,370       21,228,492  
Coca-Cola HBC AG CDI *
    7,420       173,840  
Diageo plc
    483,106       14,508,796  
Imperial Tobacco Group plc
    184,875       8,003,965  
SABMiller plc
    185,581       10,105,179  
Tate & Lyle plc
    88,993       934,299  
Unilever plc
    246,561       10,653,036  
                 
              68,789,830  
                 
 
Health Care Equipment & Services 0.1%
Smith & Nephew plc
    175,022       3,012,077  
                 
 
Household & Personal Products 0.4%
Reckitt Benckiser Group plc
    124,725       11,010,401  
                 
 
Insurance 1.2%
Admiral Group plc
    35,329       866,857  
Aviva plc
    560,945       4,747,157  
Direct Line Insurance Group plc
    278,805       1,338,317  
Friends Life Group Ltd.
    263,584       1,474,030  
Legal & General Group plc
    1,141,944       4,505,045  
Old Mutual plc
    949,143       3,122,462  
Prudential plc
    493,213       11,335,935  
RSA Insurance Group plc
    188,214       1,457,572  
Standard Life plc
    461,963       2,910,951  
                 
              31,758,326  
                 
 
Materials 2.1%
Anglo American plc
    268,875       7,220,896  
Antofagasta plc
    75,900       1,032,813  
BHP Billiton plc
    406,177       13,855,508  
Croda International plc
    25,002       886,850  
Fresnillo plc
    41,090       642,221  
Glencore plc
    2,041,224       12,334,354  
Johnson Matthey plc
    38,305       1,908,617  
Randgold Resources Ltd.
    17,271       1,487,151  
Rexam plc
    142,363       1,200,103  
Rio Tinto plc
    244,703       13,985,759  
                 
              54,554,272  
                 
 
Media 0.7%
British Sky Broadcasting Group plc
    196,426       2,907,477  
ITV plc
    747,032       2,622,208  
 
 
 
 13

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Pearson plc
    156,835       3,021,190  
Reed Elsevier plc
    220,026       3,537,084  
WPP plc
    261,876       5,213,047  
                 
              17,301,006  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 1.9%
AstraZeneca plc
    242,665       17,718,528  
GlaxoSmithKline plc
    934,988       22,532,025  
Shire plc
    113,091       9,308,332  
                 
              49,558,885  
                 
 
Real Estate 0.3%
Hammerson plc
    133,692       1,351,881  
Intu Properties plc
    159,596       882,047  
Land Securities Group plc
    152,728       2,679,501  
Segro plc
    153,054       921,891  
The British Land Co., plc
    189,077       2,236,930  
                 
              8,072,250  
                 
 
Retailing 0.3%
ASOS plc *
    9,568       402,229  
Kingfisher plc
    464,297       2,345,106  
Marks & Spencer Group plc
    320,903       2,322,856  
Next plc
    29,793       3,400,332  
Sports Direct International plc *
    50,056       562,446  
                 
              9,032,969  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
ARM Holdings plc
    269,508       3,836,840  
                 
 
Software & Services 0.1%
The Sage Group plc
    205,027       1,273,426  
                 
 
Telecommunication Services 1.1%
BT Group plc
    1,522,266       9,966,114  
Inmarsat plc
    84,463       1,035,977  
Vodafone Group plc
    5,087,065       16,940,391  
                 
              27,942,482  
                 
 
Transportation 0.1%
easyJet plc
    31,365       683,607  
Royal Mail plc
    128,631       903,041  
                 
              1,586,648  
                 
 
Utilities 0.9%
Centrica plc
    990,732       5,162,168  
National Grid plc
    717,424       10,218,435  
Severn Trent plc
    44,786       1,461,049  
SSE plc
    188,910       4,639,434  
United Utilities Group plc
    134,752       2,019,732  
                 
              23,500,818  
                 
              554,799,619  
                 
Total Common Stock
(Cost $1,958,075,888)     2,557,526,169  
         
                 
                 
 
 Preferred Stock 0.6% of net assets
 
Germany 0.6%
                 
 
Automobiles & Components 0.4%
Bayerische Motoren Werke AG
    10,237       970,131  
Porsche Automobil Holding SE
    29,731       2,778,931  
Volkswagen AG
    31,498       7,315,052  
                 
              11,064,114  
                 
 
Household & Personal Products 0.2%
Henkel AG & Co. KGaA
    33,241       3,696,405  
                 
 
Materials 0.0%
Fuchs Petrolub SE
    12,610       506,065  
                 
Total Preferred Stock
(Cost $11,185,789)     15,266,584  
         
                 
                 
 
 Rights 0.0% of net assets
 
Spain 0.0%
                 
 
Banks 0.0%
Banco Santander S.A. *(b)(c)
    2,228,030       459,510  
                 
Total Rights
(Cost $461,239)     459,510  
         
                 
                 
Security
 		  Face Amount
 		  Value
    Rate, Maturity Date   Local Currency   ($)
 
 Short-Term Investments 1.6% of net assets
 
Time Deposits 1.5%
Brown Brothers Harriman
Danish Krone
0.00%, 08/01/14
    364,273       65,420  
Euro
0.00%, 08/01/14
    12,026       16,104  
Hong Kong Dollar
0.01%, 08/01/14
    1,799,491       232,191  
Japanese Yen
0.01%, 08/01/14
    1,320,686       12,839  
Singapore Dollar
0.01%, 08/01/14
    1       1  
DNB
US Dollar
               
0.03%, 08/01/14
    11,859,249       11,859,249  
Wells Fargo
Australian Dollar
1.53%, 08/01/14
    408,292       379,426  
Pound Sterling
0.08%, 08/01/14
    142,874       241,214  
US Dollar
0.03%, 08/01/14
    26,072,234       26,072,234  
                 
              38,878,678  
 
U.S. Treasury Obligations 0.1%
U.S. Treasury Bills
0.01%, 09/18/14 (d)(e)
    810,000       809,990  
0.02%, 09/18/14 (d)(e)
    3,300,000       3,299,934  
                 
              4,109,924  
                 
Total Short-Term Investments
(Cost $42,988,602)     42,988,602  
         
 
End of Investments.
                 
                 
 
 
 
14 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Collateral Invested for Securities on Loan 0.2% of net assets
                 
                 
Wells Fargo Advantage Government Money Market Fund, Institutional Class 0.01% (f)
    4,137,658       4,137,658  
                 
Total Collateral Invested for Securities on Loan
(Cost $4,137,658)     4,137,658  
         
 
End of collateral invested for securities on loan.
 
At 07/31/14, the tax basis cost of the fund’s investments was $2,021,234,947 and the unrealized appreciation and depreciation were $704,009,845 and ($109,003,927), respectively, with a net unrealized appreciation of $595,005,918.
 
At 07/31/14, the values of certain foreign securities held by the fund aggregating $2,531,310,283 were adjusted from their closing market values in accordance with international fair valuation procedures approved by the fund’s Board of Trustees.
 
* Non-income producing security.
(a) All or a portion of this security is on loan. Securities on loan were valued at $3,752,073.
(b) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
(c) Illiquid security. At the period end, the value of these amounted to $459,510 or 0.0% of net assets.
(d) All or a portion of this security is held as collateral for open futures contracts.
(e) The rate shown is the purchase yield.
(f) The rate shown is the 7-day yield.
 
     
ADR —
  American Depositary Receipt
CDI —
  CHESS Depositary Interest
CVA —
  Dutch Certificate
Reg’d —
  Registered
REIT —
  Real Estate Investment Trust
RSP —
  Risparmio (Convertible Savings Shares)
SDR —
  Swedish Depositary Receipt
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
MSCI EAFE, e-mini Long, expires 09/19/14
    435       41,655,600       (885,779 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon
 
 
 
 15

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective NAVs. Exchange traded funds (“ETFs”) traded on a recognized securities exchange are valued at the last reported sale price that day or the official closing price, if applicable.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities, futures contracts and ETFs. Investments in mutual funds are valued daily at their NAVs, and investments in ETFs are valued daily at the last reported sale price or the official closing price, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due
 
 
 
16 

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $—       $712,682,150       $—       $712,682,150  
Australia1
    —       174,380,594       —       174,380,594  
Food & Staples Retailing
    410,393       17,105,830       —       17,516,223  
Real Estate
    5,855,757       9,779,301       —       15,635,058  
Austria1
    —       5,136,216       —       5,136,216  
Real Estate
    590,992       —       —       590,992  
Telecommunication Services
    363,533       —       —       363,533  
Finland1
    —       13,928,289       —       13,928,289  
Capital Goods
    824,835       3,961,093       —       4,785,928  
Energy
    465,225       —       —       465,225  
Telecommunication Services
    776,050       —       —       776,050  
Utilities
    2,241,969       —       —       2,241,969  
France1
    —       210,831,739       —       210,831,739  
Food, Beverage & Tobacco
    421,533       12,405,368       —       12,826,901  
Media
    3,501,310       3,185,149       —       6,686,459  
Real Estate
    1,234,917       6,572,625       —       7,807,542  
Telecommunication Services
    1,355,775       11,524,473       —       12,880,248  
Germany1
    —       181,327,102       —       181,327,102  
Materials
    1,136,519       31,124,898       —       32,261,417  
Hong Kong1
    —       67,952,072       —       67,952,072  
Semiconductors & Semiconductor Equipment
    563,164       —       —       563,164  
Telecommunication Services
    467,149       633,049       —       1,100,198  
Utilities
    2,696,506       6,300,011       —       8,996,517  
Ireland1
    —       5,185,164       —       5,185,164  
Food, Beverage & Tobacco
    2,311,862       —       —       2,311,862  
Italy1
    —       47,327,268       —       47,327,268  
Banks
    1,461,232       16,190,698       —       17,651,930  
Netherlands1
    —       61,567,864       —       61,567,864  
Media
    844,937       4,634,157       —       5,479,094  
New Zealand1
    —       2,700,380       —       2,700,380  
Telecommunication Services
    858,900       —       —       858,900  
Norway1
    —       8,020,809       —       8,020,809  
Energy
    877,518       9,169,531       —       10,047,049  
Insurance
    813,220       —       —       813,220  
Materials
    1,542,024       1,577,671       —       3,119,695  
Singapore1
    —       38,779,259       —       38,779,259  
Food & Staples Retailing
    296,994       —       —       296,994  
Sweden1
    —       76,330,366       —       76,330,366  
Food, Beverage & Tobacco
    1,334,207       —       —       1,334,207  
 
 
 
 17

 

 
 Schwab International Index Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Switzerland1
    $—       $178,385,622       $—       $178,385,622  
Food, Beverage & Tobacco
    2,870,337       47,910,944       —       50,781,281  
United Kingdom1
    —       451,186,015       —       451,186,015  
Insurance
    1,457,572       30,300,754       —       31,758,326  
Materials
    886,850       53,667,422       —       54,554,272  
Media
    3,021,190       14,279,816       —       17,301,006  
Preferred Stock1
    —       15,266,584       —       15,266,584  
Rights
                               
Spain1
    —       —       459,510       459,510  
Short-Term Investments1
    —       42,988,602       —       42,988,602  
                                 
Total
    $41,482,470       $2,574,298,885       $459,510       $2,616,240,865  
                                 
Other Financial Instruments
                               
Collateral Invested for Securities on Loan
    $4,137,658       $—       $—       $4,137,658  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($885,779 )     $—       $—       ($885,779 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Preferred Stock
                                                               
United Kingdom
    $41,914       $460       $349       $—       ($42,723 )     $—       $—       $—  
Rights
                                                               
Spain
    389,200       —       (19,280 )     461,243       (371,653 )     —       —       459,510  
                                                                 
Total
    $431,114       $460       ($18,931 )     $461,243       ($414,376 )     $—       $—       $459,510  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were security transfers in the amount of $14,032,225 and $19,250,640 from Level 1 to Level 2 and from Level 2 to Level 1, respectively, for the period ended July 31, 2014. The transfers between Level 1 and Level 2 were primarily due to the use of international fair valuation by the fund. There were no transfers in or out of Level 3 during the period.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46820JUL14
 
 
 
18 

 

Schwab Capital Trust
Laudus Small-Cap MarketMasters Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  91 .6%   Common Stock     150,875,894       165,583,308  
  7 .3%   Other Investment Companies     13,196,685       13,154,296  
  0 .0%   Rights     2,815       2,815  
  0 .0%   Warrants     —       —  
  0 .1%   Short-Term Investments     329,996       329,996  
 
 
  99 .0%   Total Investments     164,405,390       179,070,415  
  1 .0%   Other Assets and Liabilities, Net             1,726,632  
 
 
  100 .0%   Net Assets             180,797,047  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 91.6% of net assets
 
Automobiles & Components 0.3%
American Axle & Manufacturing Holdings, Inc. *
    803       14,767  
Cooper Tire & Rubber Co.
    817       23,603  
Cooper-Standard Holding, Inc. *
    71       4,402  
Dana Holding Corp.
    1,903       42,589  
Dorman Products, Inc. *
    200       8,676  
Drew Industries, Inc.
    170       7,650  
Federal-Mogul Holdings Corp. *
    125       1,993  
Fuel Systems Solutions, Inc. *
    223       2,342  
Gentherm, Inc. *
    320       13,392  
Modine Manufacturing Co. *
    723       9,956  
Motorcar Parts of America, Inc. *
    132       2,938  
Standard Motor Products, Inc.
    198       7,138  
Stoneridge, Inc. *
    155       1,700  
Superior Industries International, Inc.
    233       4,359  
Tenneco, Inc. *
    695       44,272  
Tower International, Inc. *
    122       3,843  
Winnebago Industries, Inc. *
    14,974       351,889  
                 
              545,509  
 
Banks 6.4%
1st Source Corp.
    167       4,741  
1st United Bancorp, Inc.
    253       2,113  
American National Bankshares, Inc.
    73       1,570  
Ameris Bancorp
    222       4,849  
Ames National Corp.
    74       1,657  
Arrow Financial Corp.
    68       1,727  
Astoria Financial Corp.
    570       7,342  
Banc of California, Inc.
    386       4,582  
Banco Latinoamericano de Comercio Exterior, S.A., Class E
    479       14,222  
BancorpSouth, Inc.
    1,139       23,771  
Bank Mutual Corp.
    891       5,373  
Bank of Marin Bancorp
    43       1,927  
Bank of the Ozarks, Inc.
    21,291       655,124  
BankFinancial Corp.
    420       4,292  
Banner Corp.
    324       13,038  
BBCN Bancorp, Inc.
    963       14,464  
Berkshire Hills Bancorp, Inc.
    188       4,544  
BNC Bancorp
    198       3,283  
BofI Holding, Inc. *
    5,986       446,496  
Boston Private Financial Holdings, Inc.
    946       11,806  
Bridge Bancorp, Inc.
    294       7,027  
Bridge Capital Holdings *
    106       2,261  
Brookline Bancorp, Inc.
    662       5,978  
Bryn Mawr Bank Corp.
    73       2,154  
Camden National Corp.
    47       1,665  
Capital Bank Financial Corp., Class A *
    90       2,050  
Capital City Bank Group, Inc.
    144       1,934  
Capitol Federal Financial, Inc.
    1,245       14,567  
Cardinal Financial Corp.
    319       5,634  
Cascade Bancorp *
    518       2,808  
Cathay General Bancorp
    913       23,364  
Centerstate Banks, Inc.
    196       2,042  
Century Bancorp, Inc., Class A
    48       1,681  
Charter Financial Corp.
    168       1,840  
Chemical Financial Corp.
    186       5,134  
Citizens & Northern Corp.
    277       5,260  
City Holding Co.
    117       4,873  
Clifton Bancorp, Inc.
    136       1,681  
CNB Financial Corp.
    102       1,686  
CoBiz Financial, Inc.
    304       3,441  
Columbia Banking System, Inc.
    609       15,523  
Community Bank System, Inc.
    526       18,531  
Community Trust Bancorp, Inc.
    185       6,473  
ConnectOne Bancorp, Inc.
    278       5,282  
Customers Bancorp, Inc. *
    245       4,645  
CVB Financial Corp.
    989       15,122  
Dime Community Bancshares, Inc.
    304       4,597  
Eagle Bancorp, Inc. *
    294       9,793  
Enterprise Bancorp, Inc.
    99       1,941  
Enterprise Financial Services Corp.
    341       5,950  
ESB Financial Corp.
    136       1,690  
Essent Group Ltd. *
    369       6,720  
EverBank Financial Corp.
    771       14,649  
F.N.B. Corp.
    1,926       23,690  
Federal Agricultural Mortgage Corp., Class C
    120       3,498  
Financial Institutions, Inc.
    161       3,574  
First BanCorp *
    1,156       5,942  
First Bancorp
    173       2,782  
First Bancorp, Inc.
    103       1,690  
First Busey Corp.
    72,009       399,650  
First Citizens BancShares, Inc., Class A
    56       12,452  
 
 
 
 1

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
First Commonwealth Financial Corp.
    784       6,711  
First Community Bancshares, Inc.
    299       4,398  
First Connecticut Bancorp, Inc.
    350       5,208  
First Defiance Financial Corp.
    73       1,972  
First Financial Bancorp
    612       10,000  
First Financial Bankshares, Inc.
    766       22,505  
First Financial Corp.
    124       3,802  
First Merchants Corp.
    290       5,780  
First Midwest Bancorp, Inc.
    66,312       1,074,254  
First NBC Bank Holding Co. *
    118       3,751  
First Niagara Financial Group, Inc.
    66,100       568,460  
FirstMerit Corp.
    25,073       441,285  
Flagstar Bancorp, Inc. *
    177       3,239  
Flushing Financial Corp.
    33,722       626,555  
Fox Chase Bancorp, Inc.
    185       3,112  
Franklin Financial Corp. *
    185       3,680  
German American Bancorp, Inc.
    77       1,990  
Glacier Bancorp, Inc.
    19,744       522,821  
Great Southern Bancorp, Inc.
    188       5,862  
Guaranty Bancorp
    155       2,015  
Hancock Holding Co.
    22,960       744,822  
Hanmi Financial Corp.
    351       7,413  
Heartland Financial USA, Inc.
    62       1,477  
Heritage Commerce Corp.
    248       1,984  
Heritage Financial Corp.
    496       7,891  
Heritage Oaks Bancorp *
    282       2,013  
Home BancShares, Inc.
    5,614       168,757  
Home Loan Servicing Solutions Ltd.
    1,023       21,892  
HomeTrust Bancshares, Inc. *
    218       3,316  
Horizon Bancorp
    84       1,791  
Hudson Valley Holding Corp.
    100       1,739  
Iberiabank Corp.
    312       20,470  
Independent Bank Corp., Massachusetts
    171       6,243  
Independent Bank Corp., Michigan
    256       3,389  
Independent Bank Group, Inc.
    88       4,225  
International Bancshares Corp.
    50,957       1,291,760  
Investors Bancorp, Inc.
    3,414       35,335  
Kearny Financial Corp. *
    167       2,517  
Ladder Capital Corp., Class A *
    124       2,182  
Lakeland Bancorp, Inc.
    280       2,811  
Lakeland Financial Corp.
    158       5,750  
MainSource Financial Group, Inc.
    122       1,992  
MB Financial, Inc.
    28,713       773,528  
Mercantile Bank Corp.
    158       3,021  
Merchants Bancshares, Inc.
    58       1,685  
Meridian Bancorp, Inc. *
    225       2,446  
Meta Financial Group, Inc.
    84       3,091  
Metro Bancorp, Inc. *
    247       5,669  
MGIC Investment Corp. *
    3,588       26,515  
MidSouth Bancorp, Inc.
    214       4,173  
MidWestOne Financial Group, Inc.
    70       1,645  
NASB Financial, Inc.
    66       1,485  
National Bank Holdings Corp., Class A
    284       5,626  
National Bankshares, Inc.
    94       2,738  
National Penn Bancshares, Inc.
    1,336       13,761  
NBT Bancorp, Inc.
    552       12,900  
NewBridge Bancorp *
    271       2,030  
NMI Holdings, Inc., Class A *
    429       4,286  
Northfield Bancorp, Inc.
    345       4,402  
Northrim BanCorp, Inc.
    74       1,813  
Northwest Bancshares, Inc.
    76,698       951,055  
OceanFirst Financial Corp.
    300       4,773  
OFG Bancorp
    316       5,043  
Old National Bancorp
    1,439       19,254  
OmniAmerican Bancorp, Inc.
    193       4,769  
Oritani Financial Corp.
    482       7,134  
Pacific Continental Corp.
    150       2,016  
Palmetto Bancshares, Inc.
    123       1,624  
Park National Corp.
    92       6,931  
Park Sterling Corp.
    898       6,160  
Peapack-Gladstone Financial Corp.
    128       2,368  
Penns Woods Bancorp, Inc.
    41       1,759  
PennyMac Financial Services, Inc., Class A *
    80       1,210  
Peoples Bancorp, Inc.
    147       3,430  
Peoples Financial Services Corp.
    59       2,760  
Pinnacle Financial Partners, Inc.
    421       15,577  
Preferred Bank *
    104       2,308  
PrivateBancorp, Inc.
    713       20,534  
Prosperity Bancshares, Inc.
    819       47,608  
Provident Financial Services, Inc.
    615       10,277  
Radian Group, Inc.
    2,260       28,612  
Renasant Corp.
    277       7,867  
Republic Bancorp, Inc., Class A
    75       1,745  
Republic First Bancorp, Inc. *
    386       1,698  
S&T Bancorp, Inc.
    199       4,842  
Sandy Spring Bancorp, Inc.
    230       5,384  
Sierra Bancorp
    117       1,849  
Simmons First National Corp., Class A
    206       8,164  
South State Corp.
    184       10,692  
Southside Bancshares, Inc.
    232       6,800  
Southwest Bancorp, Inc.
    261       4,025  
State Bank Financial Corp.
    630       10,401  
Sterling Bancorp
    634       7,545  
Stock Yards Bancorp, Inc.
    68       1,990  
Suffolk Bancorp *
    99       2,005  
Sun Bancorp, Inc. *
    541       2,034  
Susquehanna Bancshares, Inc.
    2,136       21,745  
Taylor Capital Group, Inc. *
    181       3,859  
Territorial Bancorp, Inc.
    73       1,467  
Texas Capital Bancshares, Inc. *
    529       27,534  
The Bancorp, Inc. *
    650       6,175  
The Bank of Kentucky Financial Corp.
    63       2,177  
The First of Long Island Corp.
    51       1,794  
Tompkins Financial Corp.
    76       3,380  
Towne Bank
    116       1,714  
Tree.com, Inc. *
    70       1,786  
Trico Bancshares
    237       5,302  
TriState Capital Holdings, Inc. *
    128       1,253  
TrustCo Bank Corp.
    1,765       11,631  
Trustmark Corp.
    679       15,637  
UMB Financial Corp.
    369       20,896  
Umpqua Holdings Corp.
    1,973       33,383  
Union Bankshares Corp.
    492       11,749  
United Bankshares, Inc.
    674       21,622  
United Community Banks, Inc.
    452       7,481  
United Community Financial Corp.
    598       2,571  
United Financial Bancorp, Inc.
    505       6,403  
Univest Corp. of Pennsylvania
    90       1,703  
Valley National Bancorp
    1,517       14,533  
ViewPoint Financial Group, Inc.
    554       13,928  
Walker & Dunlop, Inc. *
    136       1,856  
 
 
 
2 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Washington Federal, Inc.
    826       17,313  
Washington Trust Bancorp, Inc.
    60       2,064  
Waterstone Financial, Inc.
    425       4,688  
Webster Financial Corp.
    47,478       1,361,194  
WesBanco, Inc.
    200       5,976  
West Bancorp, Inc.
    141       2,053  
Westamerica Bancorp
    6,367       304,470  
Western Alliance Bancorp *
    957       21,915  
Wilshire Bancorp, Inc.
    1,173       11,050  
Wintrust Financial Corp.
    409       18,949  
WSFS Financial Corp.
    108       7,732  
Yadkin Financial Corp. *
    276       5,123  
                 
              11,642,527  
 
Capital Goods 8.0%
AAON, Inc.
    477       9,359  
AAR Corp.
    367       9,872  
Accuride Corp. *
    750       3,750  
Aceto Corp.
    475       7,961  
Actuant Corp., Class A
    18,280       590,078  
Aegion Corp. *
    602       13,792  
Aerovironment, Inc. *
    310       9,762  
Aircastle Ltd.
    931       16,711  
Alamo Group, Inc.
    42       1,996  
Albany International Corp., Class A
    37,339       1,338,230  
Altra Industrial Motion Corp.
    222       6,960  
Ameresco, Inc., Class A *
    500       3,760  
American Railcar Industries, Inc.
    62       4,242  
American Science & Engineering, Inc.
    132       8,290  
American Woodmark Corp. *
    70       2,058  
Apogee Enterprises, Inc.
    320       10,384  
Applied Industrial Technologies, Inc.
    6,117       296,430  
Argan, Inc.
    281       9,526  
Astec Industries, Inc.
    123       4,781  
Astronics Corp. *
    236       13,688  
AZZ, Inc.
    190       8,292  
Barnes Group, Inc.
    32,312       1,106,686  
Beacon Roofing Supply, Inc. *
    500       13,820  
Blount International, Inc. *
    317       4,140  
Briggs & Stratton Corp.
    380       6,965  
Builders FirstSource, Inc. *
    427       2,536  
CAI International, Inc. *
    97       1,852  
Capstone Turbine Corp. *
    4,521       6,284  
Chart Industries, Inc. *
    355       26,998  
CIRCOR International, Inc.
    136       9,774  
CLARCOR, Inc.
    459       27,223  
Columbus McKinnon Corp.
    79       1,837  
Comfort Systems USA, Inc.
    363       5,409  
Commercial Vehicle Group, Inc. *
    186       1,704  
Cubic Corp.
    26,330       1,154,834  
Curtiss-Wright Corp.
    560       35,566  
DigitalGlobe, Inc. *
    893       23,352  
Douglas Dynamics, Inc.
    430       7,181  
DXP Enterprises, Inc. *
    129       9,163  
Dycom Industries, Inc. *
    360       10,123  
Dynamic Materials Corp.
    194       3,973  
EMCOR Group, Inc.
    760       31,107  
Encore Wire Corp.
    156       6,543  
EnerSys
    560       35,521  
Engility Holdings, Inc. *
    249       8,605  
Enphase Energy, Inc. *
    247       2,544  
EnPro Industries, Inc. *
    253       17,310  
ESCO Technologies, Inc.
    26,104       875,789  
Esterline Technologies Corp. *
    346       37,558  
Federal Signal Corp.
    998       14,431  
Franklin Electric Co., Inc.
    10,005       366,683  
FreightCar America, Inc.
    71       1,532  
FuelCell Energy, Inc. *
    3,306       8,199  
Furmanite Corp. *
    517       4,731  
GATX Corp.
    23,100       1,432,200  
GenCorp, Inc. *
    786       13,951  
Generac Holdings, Inc. *
    730       31,682  
General Cable Corp.
    378       8,403  
Gibraltar Industries, Inc. *
    269       3,952  
Global Power Equipment Group, Inc.
    165       2,718  
GrafTech International Ltd. *
    881       7,400  
Graham Corp.
    175       5,278  
Granite Construction, Inc.
    406       13,215  
Great Lakes Dredge & Dock Corp. *
    907       6,549  
Griffon Corp.
    404       4,351  
H&E Equipment Services, Inc. *
    411       14,870  
Harsco Corp.
    634       16,021  
HEICO Corp.
    735       36,133  
Hexcel Corp. *
    23,600       879,100  
Hillenbrand, Inc.
    654       19,653  
Houston Wire & Cable Co.
    288       3,459  
Hurco Cos., Inc.
    62       1,991  
Hyster-Yale Materials Handling, Inc.
    88       7,049  
John Bean Technologies Corp.
    331       8,623  
Kadant, Inc.
    176       6,713  
Kaman Corp.
    176       7,042  
Kratos Defense & Security Solutions, Inc. *
    818       5,971  
L.B. Foster Co., Class A
    39       1,819  
Layne Christensen Co. *
    350       3,797  
Lennox International, Inc.
    5,190       442,811  
Lindsay Corp.
    135       10,928  
LSI Industries, Inc.
    220       1,571  
Luxfer Holdings plc ADR
    25,400       482,854  
Lydall, Inc. *
    323       8,149  
Masonite International Corp. *
    232       11,370  
MasTec, Inc. *
    637       17,320  
Meritor, Inc. *
    825       10,370  
Miller Industries, Inc.
    263       5,047  
Moog, Inc., Class A *
    513       33,868  
Mueller Industries, Inc.
    58,492       1,627,832  
Mueller Water Products, Inc., Class A
    1,519       11,772  
MYR Group, Inc. *
    305       7,567  
National Presto Industries, Inc.
    23       1,474  
NCI Building Systems, Inc. *
    471       7,894  
NN, Inc.
    119       3,451  
Nortek, Inc. *
    45       3,590  
Northwest Pipe Co. *
    60       2,151  
Omega Flex, Inc.
    119       2,016  
Orbital Sciences Corp. *
    602       15,453  
Patrick Industries, Inc. *
    67       2,791  
PGT, Inc. *
    411       3,806  
Pike Corp. *
    141       1,136  
Plug Power, Inc. *
    1,567       8,493  
Ply Gem Holdings, Inc. *
    176       1,466  
Polypore International, Inc. *
    8,369       360,704  
Powell Industries, Inc.
    43       2,512  
Power Solutions International, Inc. *
    26       1,588  
 
 
 
 3

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Preformed Line Products Co.
    25       1,355  
Primoris Services Corp.
    515       12,298  
Proto Labs, Inc. *
    6,356       514,836  
Quanex Building Products Corp.
    687       11,741  
Raven Industries, Inc.
    296       8,250  
RBC Bearings, Inc.
    163       9,043  
Rexnord Corp. *
    769       20,694  
Rush Enterprises, Inc., Class A *
    275       9,688  
Simpson Manufacturing Co., Inc.
    6,260       190,367  
Sparton Corp. *
    100       2,764  
Standex International Corp.
    110       7,254  
Sterling Construction Co., Inc. *
    183       1,623  
Stock Building Supply Holdings, Inc. *
    91       1,343  
Sun Hydraulics Corp.
    156       5,691  
TAL International Group, Inc. *
    294       12,995  
Taser International, Inc. *
    678       8,177  
Teledyne Technologies, Inc. *
    379       34,565  
Tennant Co.
    211       15,392  
Textainer Group Holdings Ltd.
    148       5,412  
The ExOne Co. *
    84       2,748  
The Gorman-Rupp Co.
    178       5,158  
The Greenbrier Cos., Inc.
    274       17,659  
The KEYW Holding Corp. *
    316       4,140  
Thermon Group Holdings, Inc. *
    245       5,973  
Titan International, Inc.
    760       11,339  
Titan Machinery, Inc. *
    100       1,466  
Trex Co., Inc. *
    348       9,796  
TriMas Corp. *
    16,099       510,016  
Tutor Perini Corp. *
    459       12,499  
Twin Disc, Inc.
    175       5,047  
Universal Forest Products, Inc.
    133       5,823  
Vicor Corp. *
    299       2,356  
Wabash National Corp. *
    34,491       469,423  
Watsco, Inc.
    6,644       595,103  
Watts Water Technologies, Inc., Class A
    325       18,999  
Woodward, Inc.
    729       36,421  
Xerium Technologies, Inc. *
    350       4,550  
                 
              14,463,823  
 
Commercial & Professional Supplies 6.4%
ABM Industries, Inc.
    513       12,625  
Acacia Research Corp.
    125,243       2,136,646  
ACCO Brands Corp. *
    117,782       779,717  
ARC Document Solutions, Inc. *
    292       1,591  
Barrett Business Services, Inc.
    134       7,649  
Brady Corp., Class A
    485       12,683  
Casella Waste Systems, Inc., Class A *
    875       4,130  
CBIZ, Inc. *
    487       3,974  
CDI Corp.
    118       1,637  
Ceco Environmental Corp.
    237       3,218  
Civeo Corp. *
    754       19,152  
CRA International, Inc. *
    91       2,173  
Deluxe Corp.
    586       32,236  
Ennis, Inc.
    287       4,070  
Exponent, Inc.
    89       6,326  
FTI Consulting, Inc. *
    17,919       662,286  
G&K Services, Inc., Class A
    26,343       1,266,835  
GP Strategies Corp. *
    298       8,109  
Healthcare Services Group, Inc.
    719       18,795  
Heidrick & Struggles International, Inc.
    102       1,904  
Heritage-Crystal Clean, Inc. *
    114       1,933  
Herman Miller, Inc.
    593       17,339  
HNI Corp.
    475       16,786  
Huron Consulting Group, Inc. *
    307       18,555  
ICF International, Inc. *
    332       11,477  
InnerWorkings, Inc. *
    698       5,689  
Insperity, Inc.
    333       10,626  
Interface, Inc.
    681       10,794  
Kelly Services, Inc., Class A
    381       6,073  
Kforce, Inc.
    489       9,726  
Kimball International, Inc., Class B
    165       2,602  
Knoll, Inc.
    699       11,750  
Korn/Ferry International *
    566       16,652  
McGrath RentCorp
    152       5,252  
Mistras Group, Inc. *
    196       4,140  
MiX Telematics Ltd. ADR *
    95,730       961,129  
Mobile Mini, Inc.
    380       14,349  
MSA Safety, Inc.
    375       19,417  
Multi-Color Corp.
    58       2,283  
Navigant Consulting, Inc. *
    787       12,844  
NL Industries, Inc.
    152       1,322  
On Assignment, Inc. *
    23,981       647,727  
Pendrell Corp. *
    1,575       2,315  
Quad Graphics, Inc.
    332       7,012  
Resources Connection, Inc.
    434       6,553  
RPX Corp. *
    278       4,337  
SP Plus Corp. *
    46,580       912,968  
Steelcase, Inc., Class A
    34,843       526,129  
Team, Inc. *
    331       13,111  
Tetra Tech, Inc.
    816       19,812  
The Advisory Board Co. *
    20,855       1,045,670  
The Brink’s Co.
    692       18,573  
The Corporate Executive Board Co.
    5,456       338,654  
TrueBlue, Inc. *
    16,738       451,759  
UniFirst Corp.
    132       12,832  
United Stationers, Inc.
    35,722       1,378,155  
US Ecology, Inc.
    159       7,196  
Viad Corp.
    380       8,064  
VSE Corp.
    41       2,442  
WageWorks, Inc. *
    309       12,898  
West Corp.
    213       5,489  
                 
              11,568,190  
 
Consumer Durables & Apparel 4.4%
Arctic Cat, Inc.
    229       8,152  
Beazer Homes USA, Inc. *
    196       3,009  
Black Diamond, Inc. *
    183       1,607  
Brunswick Corp.
    1,055       42,548  
Callaway Golf Co.
    1,416       10,762  
Cavco Industries, Inc. *
    63       4,498  
Columbia Sportswear Co.
    204       15,251  
Crocs, Inc. *
    945       14,997  
CSS Industries, Inc.
    196       4,839  
Culp, Inc.
    98       1,776  
Ethan Allen Interiors, Inc.
    459       10,520  
Flexsteel Industries, Inc.
    70       2,118  
G-III Apparel Group Ltd. *
    152       11,806  
Helen of Troy Ltd. *
    30,843       1,654,110  
Hovnanian Enterprises, Inc., Class A *
    808       3,232  
 
 
 
4 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Iconix Brand Group, Inc. *
    366       15,456  
iRobot Corp. *
    262       8,481  
JAKKS Pacific, Inc. *
    490       3,058  
Johnson Outdoors, Inc., Class A
    67       1,545  
KB Home
    1,186       19,332  
La-Z-Boy, Inc.
    492       10,352  
LeapFrog Enterprises, Inc. *
    1,107       7,992  
Libbey, Inc. *
    39,303       1,023,450  
Lifetime Brands, Inc.
    127       2,159  
M.D.C. Holdings, Inc.
    372       10,033  
M/I Homes, Inc. *
    42,848       881,812  
Marine Products Corp.
    229       1,944  
Meritage Homes Corp. *
    482       18,461  
Movado Group, Inc.
    234       9,578  
NACCO Industries, Inc., Class A
    44       2,098  
Nautilus, Inc. *
    206       2,052  
Oxford Industries, Inc.
    210       12,510  
Perry Ellis International, Inc. *
    300       5,520  
Quiksilver, Inc. *
    989       2,957  
R. G. Barry Corp.
    108       2,040  
Sequential Brands Group, Inc. *
    175       2,105  
Skechers U.S.A., Inc., Class A *
    433       22,590  
Skullcandy, Inc. *
    650       4,394  
Smith & Wesson Holding Corp. *
    826       10,201  
Standard Pacific Corp. *
    1,287       9,704  
Steven Madden Ltd. *
    5,324       169,569  
Sturm, Ruger & Co., Inc.
    143       7,144  
The Ryland Group, Inc.
    543       17,430  
TRI Pointe Homes, Inc. *
    125,769       1,699,139  
Tumi Holdings, Inc. *
    290       6,113  
UCP, Inc., Class A *
    22,970       286,436  
Unifi, Inc. *
    65       1,862  
Universal Electronics, Inc. *
    111       5,287  
Vera Bradley, Inc. *
    351       6,960  
Vince Holding Corp. *
    15,180       512,932  
William Lyon Homes, Class A *
    54,355       1,338,220  
Wolverine World Wide, Inc.
    1,060       25,716  
                 
              7,955,857  
 
Consumer Services 2.9%
American Public Education, Inc. *
    186       6,640  
Ascent Capital Group, Inc., Class A *
    118       7,314  
Bally Technologies, Inc. *
    1,919       115,466  
Belmond Ltd., Class A *
    1,121       13,900  
Biglari Holdings, Inc. *
    13       5,525  
BJ’s Restaurants, Inc. *
    371       12,714  
Bloomin’ Brands, Inc. *
    558       10,931  
Bob Evans Farms, Inc.
    356       16,914  
Boyd Gaming Corp. *
    838       9,218  
Bravo Brio Restaurant Group, Inc. *
    350       5,215  
Bridgepoint Education, Inc. *
    135       1,621  
Bright Horizons Family Solutions, Inc. *
    205       8,522  
Buffalo Wild Wings, Inc. *
    215       31,244  
Caesars Acquisition Co., Class A *
    318       3,657  
Caesars Entertainment Corp. *
    511       8,176  
Capella Education Co.
    123       7,867  
Career Education Corp. *
    498       2,545  
Chegg, Inc. *
    701       4,507  
Churchill Downs, Inc.
    120       10,380  
Chuy’s Holdings, Inc. *
    95       2,722  
ClubCorp Holdings, Inc.
    137       2,317  
Cracker Barrel Old Country Store, Inc.
    211       20,459  
Del Frisco’s Restaurant Group, Inc. *
    78       1,663  
Denny’s Corp. *
    1,027       7,035  
Diamond Resorts International, Inc. *
    253       6,315  
DineEquity, Inc.
    126       10,212  
Education Management Corp. *
    158       204  
Einstein Noah Restaurant Group, Inc.
    121       1,831  
Fiesta Restaurant Group, Inc. *
    203       9,212  
Grand Canyon Education, Inc. *
    11,067       475,881  
Houghton Mifflin Harcourt Co. *
    952       16,669  
Ignite Restaurant Group, Inc. *
    89       1,144  
International Speedway Corp., Class A
    319       9,672  
Interval Leisure Group, Inc.
    313       6,629  
Isle of Capri Casinos, Inc. *
    233       1,843  
ITT Educational Services, Inc. *
    274       3,899  
Jack in the Box, Inc.
    473       27,051  
Jamba, Inc. *
    114       1,359  
K12, Inc. *
    436       10,163  
Krispy Kreme Doughnuts, Inc. *
    50,776       777,381  
La Quinta Holdings, Inc. *
    310       5,825  
Liberty Tax, Inc. *
    105       3,687  
Life Time Fitness, Inc. *
    423       16,645  
LifeLock, Inc. *
    57,012       791,327  
Marriott Vacations Worldwide Corp. *
    253       14,560  
Matthews International Corp., Class A
    27,728       1,205,904  
Morgans Hotel Group Co. *
    666       4,962  
Multimedia Games Holding Co., Inc. *
    310       7,477  
Nathan’s Famous, Inc. *
    33       1,640  
Papa John’s International, Inc.
    432       18,010  
Penn National Gaming, Inc. *
    609       6,382  
Pinnacle Entertainment, Inc. *
    897       19,555  
Popeyes Louisiana Kitchen, Inc. *
    295       11,888  
Red Robin Gourmet Burgers, Inc. *
    7,270       467,897  
Regis Corp.
    569       7,926  
Ruby Tuesday, Inc. *
    766       4,604  
Ruth’s Hospitality Group, Inc.
    600       6,810  
Scientific Games Corp., Class A *
    564       4,817  
Sonic Corp. *
    749       15,467  
Sotheby’s
    755       29,936  
Speedway Motorsports, Inc.
    96       1,674  
Steiner Leisure Ltd. *
    92       3,672  
Strayer Education, Inc. *
    5,951       308,381  
Texas Roadhouse, Inc.
    19,230       478,442  
The Cheesecake Factory, Inc.
    628       26,929  
The Marcus Corp.
    350       6,184  
Universal Technical Institute, Inc.
    400       4,788  
Vail Resorts, Inc.
    346       26,123  
Weight Watchers International, Inc.
    200       4,338  
                 
              5,181,867  
 
Diversified Financials 3.8%
Arlington Asset Investment Corp., Class A
    280       7,302  
BGC Partners, Inc., Class A
    1,391       10,892  
Calamos Asset Management, Inc., Class A
    525       6,226  
Cash America International, Inc.
    385       17,090  
Cohen & Steers, Inc.
    135       5,604  
CorEnergy Infrastructure Trust, Inc.
    233       1,857  
 
 
 
 5

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Cowen Group, Inc., Class A *
    568       2,272  
Credit Acceptance Corp. *
    80       9,098  
Diamond Hill Investment Group, Inc.
    21       2,683  
Encore Capital Group, Inc. *
    184       7,816  
Evercore Partners, Inc., Class A
    406       22,151  
Ezcorp, Inc., Class A *
    574       5,619  
FBR & Co. *
    184       5,145  
Financial Engines, Inc.
    590       22,980  
First Cash Financial Services, Inc. *
    8,913       502,782  
FXCM, Inc., Class A
    54,838       746,894  
Gain Capital Holdings, Inc.
    137,760       876,154  
GAMCO Investors, Inc., Class A
    30       2,299  
GFI Group, Inc.
    943       4,272  
Green Dot Corp., Class A *
    498       8,959  
Greenhill & Co., Inc.
    8,969       410,511  
HFF, Inc., Class A
    301       10,222  
ICG Group, Inc. *
    42,288       715,513  
INTL FCStone, Inc. *
    177       3,469  
Investment Technology Group, Inc. *
    253       4,627  
Janus Capital Group, Inc.
    1,351       15,388  
KCG Holdings, Inc., Class A *
    700       7,994  
Ladenburg Thalmann Financial Services, Inc. *
    1,958       6,129  
Manning & Napier, Inc.
    300       5,145  
MarketAxess Holdings, Inc.
    468       26,316  
Marlin Business Services Corp.
    80       1,472  
Moelis & Co. *
    51       1,737  
Nelnet, Inc., Class A
    172       7,092  
NewStar Financial, Inc. *
    255       2,889  
Nicholas Financial, Inc.
    110       1,432  
PHH Corp. *
    497       11,605  
PICO Holdings, Inc. *
    79,759       1,766,662  
Piper Jaffray Cos. *
    273       14,087  
Portfolio Recovery Associates, Inc. *
    585       34,492  
Pzena Investment Management, Inc., Class A
    326       3,394  
Regional Management Corp. *
    66       1,073  
Resource America, Inc., Class A
    210       1,978  
Safeguard Scientifics, Inc. *
    390       7,741  
Solar Capital Ltd.
    30,630       603,411  
Springleaf Holdings, Inc. *
    210       5,498  
Stifel Financial Corp. *
    10,800       494,532  
Virtus Investment Partners, Inc.
    53       10,868  
Walter Investment Management Corp. *
    369       10,177  
WisdomTree Investments, Inc. *
    1,219       12,507  
World Acceptance Corp. *
    3,705       300,401  
                 
              6,766,457  
 
Energy 7.2%
Abraxas Petroleum Corp. *
    646       3,295  
Adams Resources & Energy, Inc.
    80       5,227  
Advantage Oil & Gas Ltd. *
    48,100       256,854  
Alon USA Energy, Inc.
    425       5,461  
Alpha Natural Resources, Inc. *
    2,093       7,095  
American Eagle Energy Corp. *
    8,388       53,935  
Amyris, Inc. *
    611       2,297  
Apco Oil & Gas International, Inc. *
    55       760  
Approach Resources, Inc. *
    144,153       3,032,979  
Arch Coal, Inc.
    2,625       7,796  
Basic Energy Services, Inc. *
    450       10,795  
Bellatrix Exploration Ltd. *
    411,580       3,049,808  
Bill Barrett Corp. *
    503       12,077  
Bonanza Creek Energy, Inc. *
    279       15,641  
BPZ Resources, Inc. *
    1,313       3,440  
Bristow Group, Inc.
    422       30,118  
C&J Energy Services, Inc. *
    525       15,729  
Callon Petroleum Co. *
    610       6,027  
CARBO Ceramics, Inc.
    192       23,912  
Carrizo Oil & Gas, Inc. *
    9,059       556,313  
CHC Group Ltd. *
    312       2,246  
Clayton Williams Energy, Inc. *
    52       5,533  
Clean Energy Fuels Corp. *
    957       9,532  
Cloud Peak Energy, Inc. *
    818       12,663  
Comstock Resources, Inc.
    612       14,480  
Contango Oil & Gas Co. *
    98       3,943  
Delek US Holdings, Inc.
    511       14,931  
DHT Holdings, Inc.
    570       3,773  
Diamondback Energy, Inc. *
    15,061       1,238,466  
Dorian LPG Ltd. *
    14,600       293,022  
Emerald Oil, Inc. *
    501       3,677  
Energy XXI (Bermuda) Ltd.
    1,132       22,595  
Era Group, Inc. *
    26,593       712,692  
Evolution Petroleum Corp.
    368       3,904  
EXCO Resources, Inc.
    1,244       5,735  
Exterran Holdings, Inc.
    688       29,068  
Forest Oil Corp. *
    1,042       2,126  
Forum Energy Technologies, Inc. *
    686       22,837  
Frontline Ltd. *
    849       2,046  
FX Energy, Inc. *
    1,211       3,742  
GasLog Ltd.
    376       9,588  
Gastar Exploration, Inc. *
    637       4,217  
Geospace Technologies Corp. *
    2,353       94,685  
Goodrich Petroleum Corp. *
    399       7,685  
Green Plains, Inc.
    321       12,034  
Gulf Island Fabrication, Inc.
    137       2,672  
Gulfmark Offshore, Inc., Class A
    323       12,361  
Halcon Resources Corp. *
    2,678       15,934  
Hallador Energy Co.
    205       2,874  
Harvest Natural Resources, Inc. *
    360       1,555  
Helix Energy Solutions Group, Inc. *
    1,159       29,473  
Hercules Offshore, Inc. *
    1,421       5,016  
Hornbeck Offshore Services, Inc. *
    437       19,097  
ION Geophysical Corp. *
    1,487       5,576  
Isramco, Inc. *
    19       2,384  
Key Energy Services, Inc. *
    1,526       9,370  
Kodiak Oil & Gas Corp. *
    3,097       48,127  
Magnum Hunter Resources Corp. *
    2,000       12,860  
Matador Resources Co. *
    666       18,009  
Matrix Service Co. *
    288       7,733  
McDermott International, Inc. *
    2,022       14,761  
Midstates Petroleum Co., Inc. *
    288       1,837  
Miller Energy Resources, Inc. *
    401       1,961  
Mitcham Industries, Inc. *
    316       4,099  
Natural Gas Services Group, Inc. *
    230       7,176  
Navios Maritime Acq Corp.
    707       2,262  
Newpark Resources, Inc. *
    1,132       13,844  
Nordic American Offshore Ltd. *(e)
    7       128  
Nordic American Tankers Ltd.
    851       7,327  
North Atlantic Drilling Ltd.
    402       3,919  
Northern Oil & Gas, Inc. *
    674       10,845  
Nuverra Environmental Solutions, Inc. *
    117       2,179  
 
 
 
6 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Pacific Ethanol, Inc. *
    171       3,051  
Panhandle Oil & Gas, Inc., Class A
    56       3,608  
Parker Drilling Co. *
    1,022       6,316  
Parsley Energy, Inc., Class A *
    371       8,373  
PDC Energy, Inc. *
    405       21,975  
Penn Virginia Corp. *
    604       7,864  
PetroQuest Energy, Inc. *
    764       4,897  
PHI, Inc. - Non Voting Shares *
    154       6,075  
Pioneer Energy Services Corp. *
    762       11,209  
Quicksilver Resources, Inc. *
    828       1,557  
Renewable Energy Group, Inc. *
    128       1,434  
Resolute Energy Corp. *
    676       5,165  
REX American Resources Corp. *
    47       3,964  
Rex Energy Corp. *
    550       7,584  
RigNet, Inc. *
    67       3,727  
Ring Energy, Inc. *
    107       1,851  
Rosetta Resources, Inc. *
    594       30,336  
RSP Permian, Inc. *
    175       5,171  
Sanchez Energy Corp. *
    415       13,164  
Scorpio Tankers, Inc.
    140,880       1,322,863  
SEACOR Holdings, Inc. *
    14,932       1,134,235  
SemGroup Corp., Class A
    502       38,694  
Ship Finance International Ltd.
    846       15,397  
Solazyme, Inc. *
    781       7,560  
Stone Energy Corp. *
    560       21,308  
Swift Energy Co. *
    615       6,796  
Synergy Resources Corp. *
    526       5,534  
Teekay Tankers Ltd., Class A
    1,281       5,098  
Tesco Corp.
    532       10,385  
TETRA Technologies, Inc. *
    1,052       11,583  
TransAtlantic Petroleum Ltd. *
    161       1,681  
Triangle Petroleum Corp. *
    903       9,752  
Unit Corp. *
    5,901       373,828  
VAALCO Energy, Inc. *
    727       5,016  
Vantage Drilling Co. *
    927       1,733  
W&T Offshore, Inc.
    463       6,209  
Warren Resources, Inc. *
    1,494       8,800  
Western Refining, Inc.
    553       22,651  
Westmoreland Coal Co. *
    151       6,507  
Willbros Group, Inc. *
    458       5,308  
                 
              13,066,417  
 
Food & Staples Retailing 0.9%
Casey’s General Stores, Inc.
    14,930       987,918  
Ingles Markets, Inc., Class A
    68       1,667  
Liberator Medical Holdings, Inc.
    440       1,369  
Natural Grocers by Vitamin Cottage, Inc. *
    79       1,792  
PriceSmart, Inc.
    184       15,143  
Roundy’s, Inc.
    331       1,599  
SpartanNash, Co.
    442       9,264  
SUPERVALU, Inc. *
    1,788       16,396  
Susser Holdings Corp. *
    215       17,237  
The Andersons, Inc.
    307       16,584  
The Chefs’ Warehouse, Inc. *
    99       1,740  
The Fresh Market, Inc. *
    338       10,116  
The Pantry, Inc. *
    475       8,507  
United Natural Foods, Inc. *
    10,231       599,741  
Village Super Market, Inc., Class A
    150       3,528  
Weis Markets, Inc.
    99       4,223  
                 
              1,696,824  
 
Food, Beverage & Tobacco 1.5%
22nd Century Group, Inc. *
    497       1,188  
Alico, Inc.
    40       1,476  
Annie’s, Inc. *
    138       4,027  
B&G Foods, Inc.
    660       18,526  
Boulder Brands, Inc. *
    689       7,820  
Cal-Maine Foods, Inc.
    152       10,822  
Calavo Growers, Inc.
    64       2,207  
Chiquita Brands International, Inc. *
    516       4,948  
Coca-Cola Bottling Co. Consolidated
    28       1,955  
Craft Brew Alliance, Inc. *
    211       2,367  
Darling Ingredients, Inc. *
    1,786       33,434  
Dean Foods Co.
    784       12,011  
Diamond Foods, Inc. *
    8,776       235,723  
Farmer Bros. Co. *
    120       2,456  
Fresh Del Monte Produce, Inc.
    372       11,138  
Inventure Foods, Inc. *
    208       2,506  
J&J Snack Foods Corp.
    97       8,739  
John B. Sanfilippo & Son, Inc.
    86       2,275  
Lancaster Colony Corp.
    202       17,645  
Lifeway Foods, Inc. *
    98       1,224  
Limoneira Co.
    88       1,940  
National Beverage Corp. *
    228       3,908  
Omega Protein Corp. *
    133       1,865  
Post Holdings, Inc. *
    13,787       619,312  
Sanderson Farms, Inc.
    3,630       330,657  
Seaboard Corp. *
    2       5,704  
Seneca Foods Corp., Class A *
    55       1,574  
Snyder’s-Lance, Inc.
    528       13,100  
The Boston Beer Co., Inc., Class A *
    102       22,481  
The Hain Celestial Group, Inc. *
    6,170       527,535  
Tootsie Roll Industries, Inc.
    12,768       336,182  
TreeHouse Foods, Inc. *
    5,689       418,142  
Universal Corp.
    260       13,502  
Vector Group Ltd.
    587       12,051  
                 
              2,690,440  
 
Health Care Equipment & Services 8.5%
Abaxis, Inc.
    283       13,417  
ABIOMED, Inc. *
    21,847       559,283  
Acadia Healthcare Co., Inc. *
    20,585       981,081  
Accuray, Inc. *
    991       7,799  
Air Methods Corp. *
    408       20,502  
Alliance HealthCare Services, Inc. *
    105       2,998  
Allscripts Healthcare Solutions, Inc. *
    49,300       784,856  
Almost Family, Inc. *
    220       5,157  
Amedisys, Inc. *
    483       9,747  
AMN Healthcare Services, Inc. *
    256       3,354  
Amsurg Corp. *
    16,166       772,088  
Analogic Corp.
    5,877       422,615  
AngioDynamics, Inc. *
    540       7,884  
Anika Therapeutics, Inc. *
    101       4,248  
Antares Pharma, Inc. *
    750       1,530  
AtriCure, Inc. *
    446       7,346  
Atrion Corp.
    18       5,058  
Bio-Reference Laboratories, Inc. *
    408       12,807  
BioScrip, Inc. *
    891       6,674  
Cantel Medical Corp.
    294       9,858  
Capital Senior Living Corp. *
    175       4,312  
Cardiovascular Systems, Inc. *
    244       6,588  
 
 
 
 7

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Castlight Health, Inc., Class B *
    117       1,569  
Centene Corp. *
    9,840       709,366  
Cerus Corp. *
    389       1,369  
Chemed Corp.
    213       21,694  
Chindex International, Inc. *
    105       2,458  
Computer Programs & Systems, Inc.
    180       11,848  
CONMED Corp.
    284       11,076  
CorVel Corp. *
    8,158       328,604  
Cross Country Healthcare, Inc. *
    331       2,380  
CryoLife, Inc.
    266       2,620  
Cyberonics, Inc. *
    319       18,971  
Cynosure, Inc., Class A *
    56       1,273  
Derma Sciences, Inc. *
    127       1,229  
DexCom, Inc. *
    35,584       1,340,805  
Endologix, Inc. *
    36,926       522,503  
Exactech, Inc. *
    178       4,048  
ExamWorks Group, Inc. *
    430       15,175  
Five Star Quality Care, Inc. *
    326       1,490  
GenMark Diagnostics, Inc. *
    323       3,456  
Gentiva Health Services, Inc. *
    432       7,819  
Globus Medical, Inc., Class A *
    26,521       591,418  
Greatbatch, Inc. *
    288       14,259  
Haemonetics Corp. *
    21,943       780,513  
Hanger, Inc. *
    430       13,609  
HealthSouth Corp.
    15,493       593,847  
HealthStream, Inc. *
    236       5,891  
Healthways, Inc. *
    203       3,510  
HeartWare International, Inc. *
    144       12,126  
HMS Holdings Corp. *
    37,523       690,798  
ICU Medical, Inc. *
    21,142       1,231,521  
Insulet Corp. *
    16,173       571,554  
Integra LifeSciences Holdings Corp. *
    3,703       175,596  
Invacare Corp.
    171       2,560  
IPC The Hospitalist Co., Inc. *
    160       7,869  
Kindred Healthcare, Inc.
    501       11,974  
Landauer, Inc.
    74       3,193  
LDR Holding Corp. *
    85       1,947  
LHC Group, Inc. *
    240       5,635  
Magellan Health, Inc. *
    249       14,342  
Masimo Corp. *
    717       17,265  
MedAssets, Inc. *
    28,283       600,731  
Medidata Solutions, Inc. *
    630       28,249  
Merge Healthcare, Inc. *
    1,173       2,886  
Meridian Bioscience, Inc.
    185       3,646  
Merit Medical Systems, Inc. *
    791       10,156  
Molina Healthcare, Inc. *
    215       8,783  
MWI Veterinary Supply, Inc. *
    129       18,223  
National Healthcare Corp.
    93       5,111  
National Research Corp., Class A *
    104       1,374  
Natus Medical, Inc. *
    500       14,385  
Neogen Corp. *
    304       13,273  
NuVasive, Inc. *
    555       20,746  
NxStage Medical, Inc. *
    46,898       626,088  
Omnicell, Inc. *
    424       11,618  
OraSure Technologies, Inc. *
    921       7,580  
Orthofix International N.V. *
    107       3,537  
Owens & Minor, Inc.
    796       26,340  
PharMerica Corp. *
    425       11,471  
Quality Systems, Inc.
    584       9,058  
Quidel Corp. *
    77       1,838  
RadNet, Inc. *
    255       1,303  
Rockwell Medical, Inc. *
    418       4,222  
Select Medical Holdings Corp.
    656       10,194  
Skilled Healthcare Group, Inc., Class A *
    239       1,422  
STAAR Surgical Co. *
    395       5,084  
STERIS Corp.
    18,388       935,581  
SurModics, Inc. *
    218       4,140  
Symmetry Medical, Inc. *
    235       2,070  
Tandem Diabetes Care, Inc. *
    3,558       44,439  
Team Health Holdings, Inc. *
    736       41,621  
TearLab Corp. *
    90,260       393,534  
The Ensign Group, Inc.
    165       5,433  
The Providence Service Corp. *
    220       8,714  
The Spectranetics Corp. *
    535       13,723  
Thoratec Corp. *
    20,549       667,842  
Tornier N.V. *
    241       4,996  
TransEnterix, Inc. *
    315       1,251  
Triple-S Management Corp., Class B *
    424       7,327  
Unilife Corp. *
    106,955       269,527  
Universal American Corp.
    375       2,978  
Utah Medical Products, Inc.
    34       1,768  
Vascular Solutions, Inc. *
    325       8,018  
Vocera Communications, Inc. *
    111       1,395  
Volcano Corp. *
    804       13,274  
WellCare Health Plans, Inc. *
    451       28,133  
West Pharmaceutical Services, Inc.
    610       24,857  
Wright Medical Group, Inc. *
    480       14,794  
Zeltiq Aesthetics, Inc. *
    177       3,582  
                 
              15,354,697  
 
Household & Personal Products 0.0%
Central Garden & Pet Co., Class A *
    440       4,105  
Elizabeth Arden, Inc. *
    249       5,137  
Harbinger Group, Inc. *
    791       9,278  
IGI Laboratories, Inc. *
    309       1,628  
Inter Parfums, Inc.
    107       2,796  
Medifast, Inc. *
    250       7,178  
Nature’s Sunshine Products, Inc.
    105       1,621  
Nutraceutical International Corp. *
    84       1,939  
Oil-Dri Corp. of America
    61       1,779  
Orchids Paper Products Co.
    165       4,356  
Revlon, Inc., Class A *
    69       2,105  
Synutra International, Inc. *
    329       2,004  
USANA Health Sciences, Inc. *
    63       4,023  
WD-40 Co.
    99       6,609  
                 
              54,558  
 
Insurance 1.8%
Ambac Financial Group, Inc. *
    456       10,333  
American Equity Investment Life Holding Co.
    872       19,306  
AMERISAFE, Inc.
    15,381       562,945  
AmTrust Financial Services, Inc.
    366       15,606  
Argo Group International Holdings Ltd.
    169       8,418  
Baldwin & Lyons, Inc., Class B
    70       1,729  
Citizens, Inc. *
    419       2,824  
CNO Financial Group, Inc.
    2,506       40,547  
Crawford & Co., Class B
    204       1,877  
Donegal Group, Inc., Class A
    120       1,810  
eHealth, Inc. *
    289       5,982  
 
 
 
8 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
EMC Insurance Group, Inc.
    64       1,884  
Employers Holdings, Inc.
    433       9,223  
Enstar Group Ltd. *
    83       11,454  
FBL Financial Group, Inc., Class A
    152       6,503  
Federated National Holding Co.
    70       1,412  
First American Financial Corp.
    1,164       31,591  
Global Indemnity plc *
    72       1,795  
Greenlight Capital Re Ltd., Class A *
    251       8,122  
Hallmark Financial Services, Inc. *
    183       1,642  
HCI Group, Inc.
    209       8,339  
Hilltop Holdings, Inc. *
    738       15,129  
Horace Mann Educators Corp.
    497       14,239  
Independence Holding Co.
    146       1,826  
Infinity Property & Casualty Corp.
    74       4,792  
Kansas City Life Insurance Co.
    45       1,965  
Kemper Corp.
    333       11,525  
Maiden Holdings Ltd.
    628       7,209  
Meadowbrook Insurance Group, Inc.
    979       5,903  
Montpelier Re Holdings Ltd.
    573       16,921  
National General Holdings Corp.
    189       3,291  
National Interstate Corp.
    57       1,544  
National Western Life Insurance Co., Class A
    9       2,169  
OneBeacon Insurance Group Ltd., Class A
    425       6,290  
Platinum Underwriters Holdings Ltd.
    11,578       678,471  
Primerica, Inc.
    27,730       1,277,798  
RLI Corp.
    538       22,994  
Safety Insurance Group, Inc.
    100       5,001  
Selective Insurance Group, Inc.
    614       13,686  
State Auto Financial Corp.
    93       1,963  
Stewart Information Services Corp.
    370       10,904  
Symetra Financial Corp.
    602       13,726  
The Hanover Insurance Group, Inc.
    7,360       425,482  
The Navigators Group, Inc. *
    89       5,411  
Third Point Reinsurance Ltd. *
    255       3,713  
United Fire Group, Inc.
    216       6,104  
Universal Insurance Holdings, Inc.
    206       2,484  
                 
              3,313,882  
 
Materials 3.6%
A. Schulman, Inc.
    317       12,598  
A.M. Castle & Co. *
    183       1,515  
Advanced Emissions Solutions, Inc. *
    178       3,807  
AK Steel Holding Corp. *
    1,714       15,597  
Allied Nevada Gold Corp. *
    1,391       4,354  
American Vanguard Corp.
    404       5,127  
Ampco-Pittsburgh Corp.
    197       3,973  
Axiall Corp.
    723       30,966  
Balchem Corp.
    400       20,000  
Berry Plastics Group, Inc. *
    856       20,792  
Boise Cascade Co. *
    248       6,981  
Calgon Carbon Corp. *
    747       15,836  
Century Aluminum Co. *
    784       14,739  
Chase Corp.
    76       2,565  
Chemtura Corp. *
    913       21,236  
Clearwater Paper Corp. *
    251       16,968  
Coeur Mining, Inc. *
    1,259       9,820  
Commercial Metals Co.
    958       16,516  
Deltic Timber Corp.
    14,456       883,262  
Ferro Corp. *
    1,023       12,828  
Flotek Industries, Inc. *
    561       16,185  
FutureFuel Corp.
    348       5,484  
Globe Specialty Metals, Inc.
    678       12,902  
Gold Resource Corp.
    374       1,975  
Graphic Packaging Holding Co. *
    2,902       34,824  
Greif, Inc., Class A
    13,700       687,466  
H.B. Fuller Co.
    575       25,674  
Handy & Harman Ltd. *
    99       2,228  
Hawkins, Inc.
    42       1,439  
Haynes International, Inc.
    111       5,528  
Headwaters, Inc. *
    639       6,831  
Hecla Mining Co.
    2,963       9,363  
Horsehead Holding Corp. *
    490       9,178  
Innophos Holdings, Inc.
    307       18,552  
Innospec, Inc.
    18,559       746,257  
Intrepid Potash, Inc. *
    309       4,576  
Kaiser Aluminum Corp.
    195       15,058  
KapStone Paper & Packaging Corp. *
    1,000       29,740  
KMG Chemicals, Inc.
    78       1,308  
Koppers Holdings, Inc.
    21,048       758,359  
Kraton Performance Polymers, Inc. *
    6,895       142,106  
Landec Corp. *
    485       5,922  
Louisiana-Pacific Corp. *
    1,580       21,393  
LSB Industries, Inc. *
    286       11,014  
Materion Corp.
    153       4,943  
Minerals Technologies, Inc.
    298       17,305  
Molycorp, Inc. *
    1,237       2,585  
Myers Industries, Inc.
    508       9,388  
Neenah Paper, Inc.
    178       8,832  
Noranda Aluminum Holding Corp.
    508       2,245  
Olin Corp.
    644       17,111  
OM Group, Inc.
    319       9,018  
OMNOVA Solutions, Inc. *
    246       1,985  
P.H. Glatfelter Co.
    627       14,923  
PolyOne Corp.
    1,067       40,493  
Quaker Chemical Corp.
    100       7,061  
Rentech, Inc. *
    2,658       5,768  
Resolute Forest Products, Inc. *
    773       11,896  
RTI International Metals, Inc. *
    324       8,055  
Schnitzer Steel Industries, Inc., Class A
    373       9,963  
Schweitzer-Mauduit International, Inc.
    284       11,596  
Senomyx, Inc. *
    388       2,737  
Sensient Technologies Corp.
    17,869       938,123  
Stepan Co.
    149       7,170  
Stillwater Mining Co. *
    1,215       21,749  
SunCoke Energy, Inc. *
    956       21,825  
Taminco Corp. *
    131       2,738  
Trecora Resources *
    525       6,311  
Tredegar Corp.
    361       7,054  
Tronox Ltd., Class A
    498       13,217  
UFP Technologies, Inc. *
    86       2,172  
United States Lime & Minerals, Inc.
    34       1,959  
Universal Stainless & Alloy Products, Inc. *
    115       3,315  
US Concrete, Inc. *
    109       2,789  
US Silica Holdings, Inc.
    585       32,889  
Walter Energy, Inc.
    131,687       757,200  
Wausau Paper Corp.
    522       5,257  
Worthington Industries, Inc.
    533       20,387  
Zep, Inc.
    48,906       762,445  
                 
              6,485,346  
 
 
 
 9

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Media 0.7%
AH Belo Corp., Class A
    155       1,635  
AMC Entertainment Holdings, Inc., Class A
    133       3,011  
Carmike Cinemas, Inc. *
    244       7,671  
Central European Media Enterprises Ltd., Class A *
    775       2,031  
Cinedigm Corp., Class A *
    686       1,557  
Crown Media Holdings, Inc., Class A *
    678       2,292  
Cumulus Media, Inc., Class A *
    1,288       6,672  
Daily Journal Corp. *
    16       2,698  
Dex Media, Inc. *
    151       1,931  
Entercom Communications Corp., Class A *
    610       5,765  
Entravision Communications Corp., Class A
    301       1,683  
Eros International plc *
    135       1,980  
Global Sources Ltd. *
    230       1,697  
Gray Television, Inc. *
    475       5,786  
Harte-Hanks, Inc.
    611       4,008  
Hemisphere Media Group, Inc. *
    122       1,412  
Journal Communications, Inc., Class A *
    904       9,836  
Lee Enterprises, Inc. *
    514       1,953  
Loral Space & Communications, Inc. *
    92       6,652  
MDC Partners, Inc., Class A
    381       7,856  
Media General, Inc. *
    488       9,838  
Meredith Corp.
    416       19,103  
National CineMedia, Inc.
    417       6,697  
New Media Investment Group, Inc. *
    36,573       550,789  
Nexstar Broadcasting Group, Inc., Class A
    390       18,170  
Radio One, Inc., Class D *
    373       1,630  
ReachLocal, Inc. *
    133       851  
Reading International, Inc., Class A *
    278       2,232  
Rentrak Corp. *
    82       4,070  
Saga Communications, Inc., Class A
    90       3,240  
Scholastic Corp.
    400       14,168  
SFX Entertainment, Inc. *
    382       2,617  
Sinclair Broadcast Group, Inc., Class A
    13,342       431,080  
Sizmek, Inc. *
    490       4,454  
The E.W. Scripps Co., Class A *
    356       7,718  
The McClatchy Co., Class A *
    578       2,792  
The New York Times Co., Class A
    1,200       14,988  
Time, Inc. *
    1,143       27,546  
World Wrestling Entertainment, Inc., Class A
    170       2,122  
                 
              1,202,231  
 
Pharmaceuticals, Biotechnology & Life Sciences 7.2%
ACADIA Pharmaceuticals, Inc. *
    837       16,966  
Accelerate Diagnostics, Inc. *
    200       3,636  
Acceleron Pharma, Inc. *
    145       4,295  
AcelRx Pharmaceuticals, Inc. *
    200       1,392  
Achillion Pharmaceuticals, Inc. *
    1,151       7,884  
Acorda Therapeutics, Inc. *
    454       13,289  
Actinium Pharmaceuticals, Inc. *
    203       1,281  
Aegerion Pharmaceuticals, Inc. *
    11,390       382,818  
Aerie Pharmaceuticals, Inc. *
    85       1,507  
Affymetrix, Inc. *
    895       7,697  
Agenus, Inc. *
    525       1,733  
Agios Pharmaceuticals, Inc. *
    137       5,521  
Akebia Therapeutics, Inc. *
    66       1,461  
Akorn, Inc. *
    29,532       1,002,021  
Albany Molecular Research, Inc. *
    150       2,856  
Alder Biopharmaceuticals, Inc. *
    97       1,638  
Alimera Sciences, Inc. *
    304       1,757  
AMAG Pharmaceuticals, Inc. *
    90,785       1,733,086  
Ampio Pharmaceuticals, Inc. *
    296       1,785  
Anacor Pharmaceuticals, Inc. *
    306       5,095  
ANI Pharmaceuticals, Inc. *
    59       1,512  
Applied Genetic Technologies Corp. *
    57       912  
Aratana Therapeutics, Inc. *
    208       2,398  
Arena Pharmaceuticals, Inc. *
    2,745       12,709  
ARIAD Pharmaceuticals, Inc. *
    1,556       8,963  
Array BioPharma, Inc. *
    1,190       4,760  
Arrowhead Research Corp. *
    512       6,477  
Auspex Pharmaceuticals, Inc. *
    83       1,511  
Auxilium Pharmaceuticals, Inc. *
    9,729       194,775  
AVANIR Pharmaceuticals, Inc. *
    1,614       8,409  
Bio-Path Holdings, Inc. *
    575       1,311  
BioCryst Pharmaceuticals, Inc. *
    681       8,526  
BioDelivery Sciences International, Inc. *
    653       8,326  
BioTime, Inc. *
    427       1,085  
Bluebird Bio, Inc. *
    174       5,812  
Bruker Corp. *
    20,523       466,488  
Cambrex Corp. *
    360       7,585  
Cancer Genetics, Inc. *
    37,150       384,131  
Celldex Therapeutics, Inc. *
    1,074       14,059  
Cellular Dynamics International, Inc. *
    122       1,402  
Cempra, Inc. *
    296       2,723  
Cepheid, Inc. *
    10,663       401,355  
Charles River Laboratories International, Inc. *
    26,600       1,441,986  
ChemoCentryx, Inc. *
    121       666  
Chimerix, Inc. *
    251       5,703  
Clovis Oncology, Inc. *
    3,182       115,984  
Corcept Therapeutics, Inc. *
    907       2,168  
CTI BioPharma, Corp. *
    1,000       2,590  
Cytokinetics, Inc. *
    140       592  
Cytori Therapeutics, Inc. *
    742       1,521  
CytRx Corp. *
    506       1,650  
Dendreon Corp. *
    2,516       5,208  
Depomed, Inc. *
    764       7,602  
Durata Therapeutics, Inc. *
    244       3,138  
Dyax Corp. *
    1,483       13,970  
Dynavax Technologies Corp. *
    2,128       3,149  
Emergent Biosolutions, Inc. *
    323       7,106  
Enanta Pharmaceuticals, Inc. *
    93       3,498  
Endocyte, Inc. *
    330       2,190  
Enzo Biochem, Inc. *
    358       1,718  
Epizyme, Inc. *
    125       3,915  
Exact Sciences Corp. *
    804       12,550  
Exelixis, Inc. *
    2,672       10,795  
Five Prime Therapeutics, Inc. *
    157       1,884  
Fluidigm Corp. *
    308       8,818  
Foundation Medicine, Inc. *
    105       2,365  
Galectin Therapeutics, Inc. *
    188       1,154  
Galena Biopharma, Inc. *
    1,426       4,050  
Genomic Health, Inc. *
    321       8,179  
 
 
 
10 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Geron Corp. *
    1,639       3,942  
Halozyme Therapeutics, Inc. *
    1,180       11,493  
Heron Therapeutics, Inc. *
    194       1,705  
Horizon Pharma, Inc. *
    684       5,814  
Hyperion Therapeutics, Inc. *
    147       3,347  
ICON plc *
    36,860       1,909,348  
Idenix Pharmaceuticals, Inc. *
    1,468       35,849  
Idera Pharmaceuticals, Inc. *
    589       1,490  
ImmunoGen, Inc. *
    1,054       11,362  
Immunomedics, Inc. *
    1,236       4,005  
Impax Laboratories, Inc. *
    655       15,320  
Infinity Pharmaceuticals, Inc. *
    426       3,872  
Inovio Pharmaceuticals, Inc. *
    539       5,444  
Insmed, Inc. *
    337       5,759  
Insys Therapeutics, Inc. *
    136       3,676  
InterMune, Inc. *
    1,031       45,230  
Intra-Cellular Therapies, Inc. *
    139       2,014  
Intrexon Corp. *
    326       7,201  
Ironwood Pharmaceuticals, Inc. *
    1,156       17,109  
Isis Pharmaceuticals, Inc. *
    1,187       36,785  
Karyopharm Therapeutics, Inc. *
    111       3,851  
Keryx Biopharmaceuticals, Inc. *
    1,077       16,209  
Kindred Biosciences, Inc. *
    95       1,448  
KYTHERA Biopharmaceuticals, Inc. *
    154       5,171  
Lannett Co., Inc. *
    9,320       313,245  
Lexicon Pharmaceuticals, Inc. *
    2,643       3,885  
Ligand Pharmaceuticals, Inc. *
    4,076       200,417  
Luminex Corp. *
    628       11,430  
MacroGenics, Inc. *
    170       3,451  
MannKind Corp. *
    2,261       18,902  
Merrimack Pharmaceuticals, Inc. *
    1,070       6,324  
MiMedx Group, Inc. *
    897       6,198  
Mirati Therapeutics, Inc. *
    77       1,399  
Momenta Pharmaceuticals, Inc. *
    705       7,501  
Myriad Genetics, Inc. *
    15,290       551,969  
NanoViricides, Inc. *
    389       1,579  
Navidea Biopharmaceuticals, Inc. *
    1,179       1,568  
Nektar Therapeutics *
    1,261       13,304  
NeoStem, Inc. *
    266       1,641  
Neuralstem, Inc. *
    613       1,753  
Neurocrine Biosciences, Inc. *
    767       10,416  
NewLink Genetics Corp. *
    187       3,961  
Northwest Biotherapeutics, Inc. *
    349       2,303  
Novavax, Inc. *
    2,146       9,292  
NPS Pharmaceuticals, Inc. *
    22,072       616,692  
Ohr Pharmaceutical, Inc. *
    230       2,070  
Omeros Corp. *
    332       4,519  
OncoMed Pharmaceuticals, Inc. *
    102       2,202  
Oncothyreon, Inc. *
    612       1,671  
Ophthotech Corp. *
    140       5,468  
OPKO Health, Inc. *
    1,949       17,190  
Orexigen Therapeutics, Inc. *
    1,210       6,038  
Organovo Holdings, Inc. *
    547       4,141  
Osiris Therapeutics, Inc. *
    165       2,442  
OvaScience, Inc. *
    118       1,158  
Pacific Biosciences of California, Inc. *
    687       3,140  
Pacira Pharmaceuticals, Inc. *
    7,795       717,140  
Pain Therapeutics, Inc. *
    314       1,322  
PAREXEL International Corp. *
    16,326       874,421  
PDL BioPharma, Inc.
    1,198       11,237  
Peregrine Pharmaceuticals, Inc. *
    2,024       3,056  
Pernix Therapeutics Holdings, Inc. *
    319       2,396  
Phibro Animal Health Corp., Class A *
    23,385       443,380  
Portola Pharmaceuticals, Inc. *
    338       8,497  
POZEN, Inc. *
    383       2,773  
Prestige Brands Holdings, Inc. *
    576       17,741  
Progenics Pharmaceuticals, Inc. *
    448       2,141  
Prothena Corp. plc *
    221       3,837  
PTC Therapeutics, Inc. *
    208       5,495  
Puma Biotechnology, Inc. *
    242       53,656  
Raptor Pharmaceutical Corp. *
    744       6,406  
Receptos, Inc. *
    147       6,087  
Regulus Therapeutics, Inc. *
    229       1,463  
Relypsa, Inc. *
    149       3,369  
Repligen Corp. *
    220       4,613  
Repros Therapeutics, Inc. *
    264       3,701  
Retrophin, Inc. *
    196       2,082  
Revance Therapeutics, Inc. *
    57       1,749  
Rigel Pharmaceuticals, Inc. *
    997       3,260  
Sagent Pharmaceuticals, Inc. *
    206       5,249  
Sangamo BioSciences, Inc. *
    652       7,746  
Sarepta Therapeutics, Inc. *
    472       10,072  
SciClone Pharmaceuticals, Inc. *
    344       1,658  
Sequenom, Inc. *
    1,119       4,196  
Spectrum Pharmaceuticals, Inc. *
    960       6,758  
Stemline Therapeutics, Inc. *
    66       845  
Sunesis Pharmaceuticals, Inc. *
    599       3,941  
Supernus Pharmaceuticals, Inc. *
    327       2,832  
Synageva BioPharma Corp. *
    221       15,119  
Synergy Pharmaceuticals, Inc. *
    849       3,099  
Synta Pharmaceuticals Corp. *
    932       3,681  
TESARO, Inc. *
    176       5,062  
Tetraphase Pharmaceuticals, Inc. *
    213       2,236  
TG Therapeutics, Inc. *
    269       2,128  
The Medicines Co. *
    13,712       320,449  
TherapeuticsMD, Inc. *
    1,025       4,756  
Theravance Biopharma, Inc. *
    214       5,998  
Theravance, Inc. *
    782       16,969  
Threshold Pharmaceuticals, Inc. *
    1,100       4,631  
Ultragenyx Pharmaceutical, Inc. *
    70       3,059  
Vanda Pharmaceuticals, Inc. *
    331       4,866  
Verastem, Inc. *
    132       975  
Versartis, Inc. *
    63       1,285  
Vital Therapies, Inc. *
    63       1,443  
VIVUS, Inc. *
    1,152       5,553  
Xencor, Inc. *
    161       1,555  
XenoPort, Inc. *
    356       1,527  
XOMA Corp. *
    1,300       5,044  
ZIOPHARM Oncology, Inc. *
    1,259       3,941  
Zogenix, Inc. *
    1,020       1,346  
                 
              13,049,650  
 
Real Estate 4.9%
Acadia Realty Trust
    578       16,317  
AG Mortgage Investment Trust, Inc.
    79       1,449  
Agree Realty Corp.
    205       6,002  
Alexander & Baldwin, Inc.
    485       18,512  
Alexander’s, Inc.
    13       4,719  
Altisource Asset Management Corp. *
    14       8,582  
Altisource Portfolio Solutions S.A. *
    138       14,956  
Altisource Residential Corp.
    549       12,731  
American Assets Trust, Inc.
    432       14,813  
 
 
 
 11

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
American Capital Mortgage Investment Corp.
    401       7,992  
American Realty Capital Healthcare Trust, Inc.
    1,536       16,389  
American Residential Properties, Inc. *
    107       1,939  
Anworth Mortgage Asset Corp.
    1,734       8,809  
Apollo Commercial Real Estate Finance, Inc.
    505       8,368  
Apollo Residential Mortgage, Inc.
    306       4,988  
Ares Commercial Real Estate Corp.
    400       4,888  
ARMOUR Residential REIT, Inc.
    4,721       19,875  
Ashford Hospitality Prime, Inc.
    188       3,130  
Ashford Hospitality Trust, Inc.
    944       10,865  
Associated Estates Realty Corp.
    410       7,245  
AV Homes, Inc. *
    99       1,543  
Aviv REIT, Inc.
    151       4,296  
Campus Crest Communities, Inc.
    47,215       377,720  
Capstead Mortgage Corp.
    1,244       15,973  
CareTrust REIT, Inc. *
    165       2,815  
Cedar Realty Trust, Inc.
    1,016       6,401  
Chambers Street Properties
    2,296       17,863  
Chatham Lodging Trust
    243       5,144  
Chesapeake Lodging Trust
    702       20,835  
Colony Financial, Inc.
    18,940       419,521  
Consolidated-Tomoka Land Co.
    43       1,919  
CoreSite Realty Corp.
    342       11,170  
Cousins Properties, Inc.
    1,610       19,932  
CubeSmart
    1,521       27,697  
CyrusOne, Inc.
    81       2,013  
CYS Investments, Inc.
    2,209       19,616  
DCT Industrial Trust, Inc.
    2,844       22,269  
DiamondRock Hospitality Co.
    57,158       700,757  
DuPont Fabros Technology, Inc.
    773       21,188  
Dynex Capital, Inc.
    582       4,831  
EastGroup Properties, Inc.
    304       18,957  
Education Realty Trust, Inc.
    69,065       729,326  
Empire State Realty Trust, Inc., Class A
    745       12,099  
EPR Properties
    484       26,088  
Equity One, Inc.
    911       21,153  
Excel Trust, Inc.
    688       8,910  
FelCor Lodging Trust, Inc.
    1,531       16,030  
First Industrial Realty Trust, Inc.
    1,384       24,981  
First Potomac Realty Trust
    864       11,396  
Forestar Group, Inc. *
    464       8,677  
Franklin Street Properties Corp.
    1,246       15,126  
Getty Realty Corp.
    457       8,395  
Gladstone Commercial Corp.
    438       7,643  
Glimcher Realty Trust
    1,953       20,975  
Government Properties Income Trust
    855       19,964  
Gramercy Property Trust, Inc.
    1,200       7,092  
Hannon Armstrong Sustainable Infrastructure Capital, Inc.
    148       2,029  
Hatteras Financial Corp.
    724       13,865  
Healthcare Realty Trust, Inc.
    1,087       26,849  
Hersha Hospitality Trust
    1,749       11,561  
Highwoods Properties, Inc.
    1,035       43,542  
Hudson Pacific Properties, Inc.
    811       20,762  
Inland Real Estate Corp.
    1,250       12,925  
Invesco Mortgage Capital, Inc.
    1,531       25,996  
Investors Real Estate Trust
    823       7,012  
iStar Financial, Inc. *
    1,209       17,385  
Kennedy-Wilson Holdings, Inc.
    730       17,082  
Kite Realty Group Trust
    1,006       6,137  
LaSalle Hotel Properties
    40,148       1,396,749  
Lexington Realty Trust
    1,679       18,368  
LTC Properties, Inc.
    485       18,590  
Mack-Cali Realty Corp.
    841       17,745  
Medical Properties Trust, Inc.
    1,708       22,990  
Monmouth Real Estate Investment Corp.
    752       7,731  
National Health Investors, Inc.
    278       16,622  
New Residential Investment Corp.
    52,608       314,596  
New York Mortgage Trust, Inc.
    1,050       7,928  
New York REIT, Inc.
    1,357       14,167  
Newcastle Investment Corp.
    414,420       1,852,457  
Owens Realty Mortgage, Inc.
    118       1,889  
Parkway Properties, Inc.
    583       12,086  
Pebblebrook Hotel Trust
    760       27,664  
Pennsylvania Real Estate Investment Trust
    629       12,096  
PennyMac Mortgage Investment Trust
    872       18,670  
Physicians Realty Trust
    24,251       341,454  
Potlatch Corp.
    420       17,346  
PS Business Parks, Inc.
    150       12,375  
QTS Realty Trust, Inc., Class A
    97       2,643  
RAIT Financial Trust
    1,290       9,933  
Ramco-Gershenson Properties Trust
    811       13,463  
Redwood Trust, Inc.
    711       13,495  
Resource Capital Corp.
    1,460       8,045  
Retail Opportunity Investments Corp.
    927       14,304  
Rexford Industrial Realty, Inc.
    216       2,987  
RLJ Lodging Trust
    1,484       41,611  
Rouse Properties, Inc.
    488       8,272  
Ryman Hospitality Properties, Inc.
    559       26,692  
Sabra Health Care REIT, Inc.
    591       16,371  
Saul Centers, Inc.
    205       9,772  
Select Income REIT
    316       8,769  
Silver Bay Realty Trust Corp.
    373       6,028  
Sovran Self Storage, Inc.
    372       28,540  
STAG Industrial, Inc.
    445       10,164  
Starwood Waypoint Residential Trust *
    293       7,703  
Strategic Hotels & Resorts, Inc. *
    2,342       26,722  
Summit Hotel Properties, Inc.
    127,950       1,314,046  
Sun Communities, Inc.
    354       18,631  
Sunstone Hotel Investors, Inc.
    1,913       27,145  
Tejon Ranch Co. *
    159       4,547  
Terreno Realty Corp.
    337       6,302  
The Geo Group, Inc.
    928       31,932  
The St. Joe Co. *
    471       10,758  
Trade Street Residential, Inc.
    265       1,882  
UMH Properties, Inc.
    706       6,996  
Universal Health Realty Income Trust
    106       4,458  
Urstadt Biddle Properties, Inc., Class A
    224       4,590  
Washington Real Estate Investment Trust
    491       13,316  
Western Asset Mortgage Capital Corp.
    145       1,972  
Whitestone REIT
    404       6,044  
Winthrop Realty Trust
    330       4,973  
                 
              8,902,658  
 
 
 
12 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Retailing 4.1%
Aeropostale, Inc. *
    1,044       3,466  
America’s Car-Mart, Inc. *
    38       1,423  
American Eagle Outfitters, Inc.
    1,554       16,566  
ANN, Inc. *
    574       21,095  
Asbury Automotive Group, Inc. *
    397       26,809  
Ascena Retail Group, Inc. *
    72,600       1,165,956  
Barnes & Noble, Inc. *
    342       7,120  
bebe stores, Inc.
    766       2,152  
Blue Nile, Inc. *
    112       2,884  
Brown Shoe Co., Inc.
    497       14,010  
Build-A-Bear Workshop, Inc. *
    136       1,435  
Burlington Stores, Inc. *
    190       6,219  
Christopher & Banks Corp. *
    284       2,428  
Conn’s, Inc. *
    257       10,280  
Core-Mark Holding Co., Inc.
    210       9,912  
Coupons.com, Inc. *
    106       2,176  
Destination Maternity Corp.
    197       3,749  
Express, Inc. *
    813       12,650  
Five Below, Inc. *
    12,804       468,882  
Francesca’s Holdings Corp. *
    9,664       123,506  
Fred’s, Inc., Class A
    64,610       1,022,776  
FTD Cos., Inc. *
    208       6,852  
Genesco, Inc. *
    257       19,601  
Group 1 Automotive, Inc.
    250       18,480  
Guess?, Inc.
    434       11,288  
Haverty Furniture Cos, Inc.
    81       1,801  
hhgregg, Inc. *
    110       782  
Hibbett Sports, Inc. *
    290       14,474  
HSN, Inc.
    417       23,306  
Kirkland’s, Inc. *
    300       5,643  
Lands’ End, Inc. *
    107       3,765  
Lithia Motors, Inc., Class A
    246       21,857  
Lumber Liquidators Holdings, Inc. *
    321       17,405  
MarineMax, Inc. *
    149       2,484  
Mattress Firm Holding Corp. *
    92       4,287  
Monro Muffler Brake, Inc.
    10,264       521,309  
Nutrisystem, Inc.
    158       2,536  
Office Depot, Inc. *
    5,328       26,693  
Orbitz Worldwide, Inc. *
    429       3,797  
Outerwall, Inc. *
    264       14,525  
PetMed Express, Inc.
    284       3,891  
Pier 1 Imports, Inc.
    991       14,924  
Pool Corp.
    8,920       488,459  
Rent-A-Center, Inc.
    485       11,611  
Restoration Hardware Holdings, Inc. *
    7,776       635,999  
RetailMeNot, Inc. *
    286       6,996  
Select Comfort Corp. *
    587       11,857  
Shoe Carnival, Inc.
    70       1,246  
Shutterfly, Inc. *
    460       22,687  
Sonic Automotive, Inc., Class A
    451       10,968  
Stage Stores, Inc.
    48,793       879,250  
Stein Mart, Inc.
    616       7,996  
Systemax, Inc. *
    178       2,433  
The Bon-Ton Stores, Inc.
    370       3,441  
The Buckle, Inc.
    280       12,460  
The Cato Corp., Class A
    48,546       1,498,130  
The Children’s Place, Inc.
    270       13,554  
The Container Store Group, Inc. *
    102       2,145  
The Finish Line, Inc., Class A
    661       17,378  
The Men’s Wearhouse, Inc.
    566       28,481  
The Pep Boys - Manny, Moe & Jack *
    705       7,459  
Tile Shop Holdings, Inc. *
    190       1,921  
Tilly’s, Inc., Class A *
    145       1,098  
Tuesday Morning Corp. *
    543       8,938  
ValueVision Media, Inc., Class A *
    338       1,548  
Vitacost.com, Inc. *
    446       3,559  
Vitamin Shoppe, Inc. *
    384       16,378  
VOXX International Corp. *
    301       2,983  
West Marine, Inc. *
    151       1,296  
Weyco Group, Inc.
    68       1,765  
Winmark Corp.
    26       1,702  
Zumiez, Inc. *
    232       6,461  
                 
              7,375,393  
 
Semiconductors & Semiconductor Equipment 1.6%
Advanced Energy Industries, Inc. *
    466       7,838  
Alpha & Omega Semiconductor Ltd. *
    218       1,995  
Ambarella, Inc. *
    269       7,696  
Amkor Technology, Inc. *
    1,019       9,018  
Applied Micro Circuits Corp. *
    734       6,129  
Audience, Inc. *
    351       3,345  
Axcelis Technologies, Inc. *
    913       1,598  
Brooks Automation, Inc.
    992       10,099  
Cabot Microelectronics Corp. *
    357       14,348  
Cavium, Inc. *
    10,863       506,759  
CEVA, Inc. *
    286       4,070  
Cirrus Logic, Inc. *
    607       13,615  
Cypress Semiconductor Corp. *
    1,394       14,093  
Diodes, Inc. *
    6,506       165,903  
DSP Group, Inc. *
    206       1,827  
Entegris, Inc. *
    1,145       13,156  
Entropic Communications, Inc. *
    936       2,611  
Fairchild Semiconductor International, Inc. *
    1,004       15,281  
FormFactor, Inc. *
    1,000       6,750  
GT Advanced Technologies, Inc. *
    1,537       21,272  
Inphi Corp. *
    480       7,325  
Integrated Device Technology, Inc. *
    1,097       15,753  
Integrated Silicon Solution, Inc.
    213       3,114  
International Rectifier Corp. *
    777       19,301  
Intersil Corp., Class A
    1,102       14,139  
IXYS Corp.
    155       1,770  
Kopin Corp. *
    1,298       4,452  
Lattice Semiconductor Corp. *
    1,055       7,216  
MaxLinear, Inc., Class A *
    247       2,342  
Micrel, Inc.
    54,513       570,206  
Microsemi Corp. *
    23,386       560,796  
MKS Instruments, Inc.
    523       16,621  
Monolithic Power Systems, Inc.
    496       20,455  
Nanometrics, Inc. *
    425       6,613  
NVE Corp. *
    36       2,389  
OmniVision Technologies, Inc. *
    720       16,128  
PDF Solutions, Inc. *
    270       5,173  
Peregrine Semiconductor Corp. *
    264       1,779  
Photronics, Inc. *
    432       3,443  
PLX Technology, Inc. *
    904       5,867  
PMC-Sierra, Inc. *
    1,362       9,166  
Power Integrations, Inc.
    378       20,348  
QuickLogic Corp. *
    527       1,792  
Rambus, Inc. *
    1,073       12,350  
RF Micro Devices, Inc. *
    2,700       30,132  
 
 
 
 13

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Rubicon Technology, Inc. *
    163       1,227  
Rudolph Technologies, Inc. *
    600       5,526  
Semtech Corp. *
    713       15,921  
Silicon Image, Inc. *
    1,158       5,778  
Silicon Laboratories, Inc. *
    339       13,807  
Spansion, Inc., Class A *
    809       15,347  
Synaptics, Inc. *
    6,363       459,600  
Tessera Technologies, Inc.
    654       16,618  
TriQuint Semiconductor, Inc. *
    1,917       34,468  
Ultra Clean Holdings, Inc. *
    244       2,116  
Ultratech, Inc. *
    231       5,470  
Veeco Instruments, Inc. *
    395       13,710  
Vitesse Semiconductor Corp. *
    517       1,551  
Xcerra Corp. *
    694       6,489  
                 
              2,783,701  
 
Software & Services 8.3%
ACI Worldwide, Inc. *
    1,023       19,171  
Actuate Corp. *
    877       3,701  
Acxiom Corp. *
    688       12,604  
Advent Software, Inc.
    481       15,613  
American Software, Inc., Class A
    406       3,780  
Angie’s List, Inc. *
    432       3,599  
Aspen Technology, Inc. *
    23,287       1,011,587  
AVG Technologies NV *
    124       2,108  
Bankrate, Inc. *
    551       9,290  
Barracuda Networks, Inc. *
    64       1,777  
Bazaarvoice, Inc. *
    958       7,099  
Benefitfocus, Inc. *
    40       1,542  
Blackbaud, Inc.
    615       22,577  
Blackhawk Network Holdings, Inc. *
    497       14,085  
Blucora, Inc. *
    440       7,511  
Bottomline Technologies de, Inc. *
    560       15,854  
Brightcove, Inc. *
    325       1,934  
BroadSoft, Inc. *
    386       9,418  
CACI International, Inc., Class A *
    291       20,076  
Callidus Software, Inc. *
    675       7,236  
Carbonite, Inc. *
    132       1,284  
Cardtronics, Inc. *
    44,800       1,727,488  
Cass Information Systems, Inc.
    37       1,670  
ChannelAdvisor Corp. *
    195       4,471  
Ciber, Inc. *
    1,423       4,966  
CommVault Systems, Inc. *
    6,276       301,374  
Compuware Corp.
    1,722       15,670  
comScore, Inc. *
    464       16,792  
Comverse, Inc. *
    197       5,059  
Constant Contact, Inc. *
    250       7,782  
Convergys Corp.
    1,033       20,030  
Conversant, Inc. *
    801       18,719  
Cornerstone OnDemand, Inc. *
    10,984       459,571  
Criteo S.A. ADR *
    27,680       823,757  
CSG Systems International, Inc.
    200       5,208  
Cvent, Inc. *
    139       3,796  
Cyan, Inc. *
    556       2,141  
Datalink Corp. *
    156       1,763  
Dealertrack Technologies, Inc. *
    475       17,846  
Demand Media, Inc. *
    376       2,042  
Demandware, Inc. *
    293       17,650  
Dice Holdings, Inc. *
    775       7,099  
Digimarc Corp.
    79       2,003  
Digital River, Inc. *
    679       9,703  
E2open, Inc. *
    171       2,767  
EarthLink Holdings Corp.
    768       3,026  
Ebix, Inc.
    353       4,434  
Ellie Mae, Inc. *
    167       4,796  
Endurance International Group Holdings Inc *
    263       3,585  
EnerNOC, Inc. *
    440       7,885  
Envestnet, Inc. *
    355       15,482  
EPAM Systems, Inc. *
    311       12,023  
Epiq Systems, Inc.
    706       10,181  
ePlus, Inc. *
    28       1,531  
Euronet Worldwide, Inc. *
    523       26,171  
EVERTEC, Inc.
    651       14,556  
Everyday Health, Inc. *
    96       1,596  
ExlService Holdings, Inc. *
    420       11,781  
Fair Isaac Corp.
    433       24,746  
FleetMatics Group plc *
    22,743       718,451  
Forrester Research, Inc.
    28,239       1,092,285  
Gigamon, Inc. *
    223       2,573  
Global Cash Access Holdings, Inc. *
    785       6,570  
Global Eagle Entertainment, Inc. *
    351       3,580  
Glu Mobile, Inc. *
    631       3,540  
Gogo, Inc. *
    544       8,818  
GrubHub, Inc. *
    52       1,887  
GTT Communications, Inc. *
    179       1,819  
Guidewire Software, Inc. *
    703       28,471  
Heartland Payment Systems, Inc.
    513       24,367  
Higher One Holdings, Inc. *
    570       2,383  
iGATE Corp. *
    336       11,988  
Imperva, Inc. *
    182       4,035  
Infoblox, Inc. *
    497       6,024  
Interactive Intelligence Group, Inc. *
    204       9,255  
Internap Network Services Corp. *
    57,289       413,054  
Intralinks Holdings, Inc. *
    807       6,472  
j2 Global, Inc.
    490       23,971  
Jive Software, Inc. *
    313       2,479  
Kofax, Ltd. *
    496       3,561  
Limelight Networks, Inc. *
    612       1,573  
Lionbridge Technologies, Inc. *
    447       2,561  
Liquidity Services, Inc. *
    238       3,211  
LivePerson, Inc. *
    533       6,279  
LogMeIn, Inc. *
    8,291       337,527  
Manhattan Associates, Inc. *
    13,784       404,698  
ManTech International Corp., Class A
    165       4,455  
Marchex, Inc., Class B
    207       2,277  
Marin Software, Inc. *
    99,221       909,857  
Marketo, Inc. *
    239       6,537  
MAXIMUS, Inc.
    29,712       1,228,888  
Mentor Graphics Corp.
    1,019       20,125  
MicroStrategy, Inc., Class A *
    122       17,462  
Millennial Media, Inc. *
    703       2,425  
Model N, Inc. *
    157       1,545  
ModusLink Global Solutions, Inc. *
    891       3,323  
MoneyGram International, Inc. *
    348       5,029  
Monotype Imaging Holdings, Inc.
    481       14,377  
Monster Worldwide, Inc. *
    941       6,117  
Move, Inc. *
    581       8,483  
NetScout Systems, Inc. *
    369       15,694  
NeuStar, Inc., Class A *
    653       18,193  
NIC, Inc.
    599       10,105  
Pegasystems, Inc.
    525       11,219  
Perficient, Inc. *
    270       4,587  
 
 
 
14 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Progress Software Corp. *
    541       12,540  
Proofpoint, Inc. *
    21,654       763,737  
PROS Holdings, Inc. *
    257       6,584  
Q2 Holdings, Inc. *
    116       1,528  
QAD, Inc., Class A
    148       2,797  
Qlik Technologies, Inc. *
    1,050       27,783  
Qualys, Inc. *
    152       3,631  
QuinStreet, Inc. *
    551       2,749  
Rally Software Development Corp. *
    231       2,349  
RealPage, Inc. *
    505       8,133  
Reis, Inc.
    91       1,967  
Rocket Fuel, Inc. *
    42,130       1,112,653  
Rosetta Stone, Inc. *
    128       1,234  
Sapiens International Corp. N.V. *
    293       2,115  
Sapient Corp. *
    1,309       19,321  
Science Applications International Corp.
    320       13,366  
SciQuest, Inc. *
    370       5,694  
Seachange International, Inc. *
    550       4,120  
ServiceSource International, Inc. *
    546       2,419  
Shutterstock, Inc. *
    143       11,145  
Silver Spring Networks, Inc. *
    299       3,193  
SPS Commerce, Inc. *
    166       8,856  
SS&C Technologies Holdings, Inc. *
    586       25,380  
Stamps.com, Inc. *
    166       5,251  
Sykes Enterprises, Inc. *
    329       6,810  
Synchronoss Technologies, Inc. *
    435       17,578  
Syntel, Inc. *
    187       16,151  
Take-Two Interactive Software, Inc. *
    938       20,992  
Tangoe, Inc. *
    23,940       330,372  
TechTarget, Inc. *
    391       2,972  
Telenav, Inc. *
    470       2,336  
TeleTech Holdings, Inc. *
    251       6,910  
Textura, Corp. *
    171       4,270  
The Hackett Group, Inc.
    327       1,962  
The Rubicon Project, Inc. *
    28,070       334,314  
The Ultimate Software Group, Inc. *
    293       39,529  
TiVo, Inc. *
    1,233       16,596  
Travelzoo, Inc. *
    203       3,500  
Tremor Video, Inc. *
    389       1,447  
Trulia, Inc. *
    368       22,275  
Tyler Technologies, Inc. *
    5,788       525,145  
Unisys Corp. *
    582       12,391  
Unwired Planet, Inc. *
    802       1,604  
VASCO Data Security International, Inc. *
    391       5,306  
VeriFone Systems, Inc. *
    13,091       438,679  
Verint Systems, Inc. *
    8,276       388,475  
VirnetX Holding Corp. *
    369       5,159  
Virtusa Corp. *
    14,331       448,274  
Vistaprint N.V. *
    301       14,827  
Vringo, Inc. *
    563       1,835  
Web.com Group, Inc. *
    624       16,567  
WebMD Health Corp. *
    371       18,487  
WEX, Inc. *
    443       47,809  
Wix.com Ltd. *
    132       2,237  
XO Group, Inc. *
    322       3,597  
Xoom Corp. *
    297       6,433  
Zix Corp. *
    1,200       4,164  
                 
              15,052,684  
 
Technology Hardware & Equipment 4.9%
ADTRAN, Inc.
    544       12,099  
Aeroflex Holding Corp. *
    348       3,675  
Agilysys, Inc. *
    137       1,802  
Alliance Fiber Optic Products, Inc.
    175       2,342  
Anixter International, Inc.
    285       24,501  
Applied Optoelectronics, Inc. *
    98       1,764  
Aruba Networks, Inc. *
    41,272       737,118  
Badger Meter, Inc.
    136       6,786  
Bel Fuse, Inc., Class B
    120       2,837  
Belden, Inc.
    32,606       2,213,947  
Benchmark Electronics, Inc. *
    401       9,684  
Black Box Corp.
    134       2,774  
CalAmp Corp. *
    40,614       690,844  
Calix, Inc. *
    848       7,878  
Checkpoint Systems, Inc. *
    467       5,716  
Ciena Corp. *
    1,172       22,889  
Cognex Corp. *
    862       35,325  
Coherent, Inc. *
    10,804       636,464  
Comtech Telecommunications Corp.
    298       10,072  
Control4 Corp. *
    253       4,253  
Cray, Inc. *
    415       11,006  
CTS Corp.
    176       3,061  
CUI Global, Inc. *
    193       1,199  
Daktronics, Inc.
    790       8,769  
Diebold, Inc.
    29,700       1,119,096  
Dot Hill Systems Corp. *
    445       1,749  
DTS, Inc. *
    346       6,259  
Electro Rent Corp.
    245       3,736  
Electro Scientific Industries, Inc.
    263       1,573  
Electronics for Imaging, Inc. *
    400       17,628  
Emulex Corp. *
    794       4,669  
Extreme Networks, Inc. *
    1,418       6,665  
Fabrinet *
    249       4,631  
FARO Technologies, Inc. *
    117       5,924  
FEI Co.
    463       35,466  
Finisar Corp. *
    1,149       22,670  
GSI Group, Inc. *
    370       4,266  
Harmonic, Inc. *
    788       4,728  
II-VI, Inc. *
    798       10,949  
Immersion Corp. *
    129       1,761  
Infinera Corp. *
    962       8,850  
Insight Enterprises, Inc. *
    288       7,566  
InterDigital, Inc.
    486       21,428  
Intevac, Inc. *
    212       1,344  
InvenSense, Inc. *
    666       15,325  
Itron, Inc. *
    3,377       121,504  
Ixia *
    345       3,691  
Kemet Corp. *
    1,092       5,384  
KVH Industries, Inc. *
    129       1,678  
Littelfuse, Inc.
    273       23,729  
Maxwell Technologies, Inc. *
    343       3,732  
Measurement Specialties, Inc. *
    212       18,230  
Mercury Systems, Inc. *
    600       6,630  
Mesa Laboratories, Inc.
    31       2,371  
Methode Electronics, Inc.
    461       14,743  
MTS Systems Corp.
    6,724       443,784  
Multi-Fineline Electronix, Inc. *
    162       1,581  
NETGEAR, Inc. *
    527       16,500  
Newport Corp. *
    655       11,338  
Nimble Storage, Inc. *
    59       1,527  
 
 
 
 15

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Numerex Corp., Class A *
    148       1,487  
Oclaro, Inc. *
    788       1,466  
Oplink Communications, Inc. *
    255       4,860  
OSI Systems, Inc. *
    237       15,713  
Park Electrochemical Corp.
    140       3,942  
ParkerVision, Inc. *
    408       510  
PC Connection, Inc.
    112       2,288  
Plantronics, Inc.
    482       22,640  
Plexus Corp. *
    453       17,816  
Polycom, Inc. *
    1,014       12,999  
Procera Networks, Inc. *
    410       4,104  
QLogic Corp. *
    849       7,726  
Quantum Corp. *
    1,535       1,919  
RealD, Inc. *
    627       6,627  
Rofin-Sinar Technologies, Inc. *
    393       8,579  
Rogers Corp. *
    112       6,424  
Ruckus Wireless, Inc. *
    48,789       629,866  
Sanmina Corp. *
    993       23,127  
ScanSource, Inc. *
    24,106       863,236  
ShoreTel, Inc. *
    692       4,277  
Silicon Graphics International Corp. *
    411       3,909  
Sonus Networks, Inc. *
    1,630       5,754  
Speed Commerce, Inc. *
    612       1,903  
Super Micro Computer, Inc. *
    479       12,535  
SYNNEX Corp. *
    7,007       451,951  
Tessco Technologies, Inc.
    65       1,983  
TTM Technologies, Inc. *
    856       6,429  
Ubiquiti Networks, Inc. *
    270       10,322  
Universal Display Corp. *
    493       15,115  
ViaSat, Inc. *
    418       24,440  
Violin Memory, Inc. *
    593       2,348  
Vishay Precision Group, Inc. *
    109       1,573  
Zebra Technologies Corp., Class A *
    3,500       280,245  
                 
              8,897,623  
 
Telecommunication Services 1.4%
8x8, Inc. *
    52,842       426,963  
Atlantic Tele-Network, Inc.
    34       1,989  
Cincinnati Bell, Inc. *
    1,940       7,392  
Cogent Communications Holdings, Inc.
    575       19,958  
Consolidated Communications Holdings, Inc.
    423       9,467  
Enventis Corp.
    160       2,621  
FairPoint Communications, Inc. *
    420       6,132  
General Communication, Inc., Class A *
    408       4,504  
Globalstar, Inc. *
    2,732       10,819  
Hawaiian Telcom Holdco, Inc. *
    69       1,946  
IDT Corp., Class B
    265       4,131  
inContact, Inc. *
    243,190       1,943,088  
Inteliquent, Inc.
    360       3,820  
Intelsat S.A. *
    128       2,373  
Iridium Communications, Inc. *
    770       6,299  
Lumos Networks Corp.
    101       1,549  
magicJack VocalTec Ltd. *
    140       1,998  
NTELOS Holdings Corp.
    106       1,276  
Premiere Global Services, Inc. *
    787       10,310  
RingCentral, Inc., Class A *
    263       3,927  
Shenandoah Telecommunications Co.
    209       5,791  
Spok Holdings, Inc.
    257       3,847  
Vonage Holdings Corp. *
    1,484       5,164  
                 
              2,485,364  
 
Transportation 1.1%
Air Transport Services Group, Inc. *
    834       6,397  
Allegiant Travel Co.
    131       15,427  
ArcBest Corp.
    334       10,598  
Atlas Air Worldwide Holdings, Inc. *
    7,144       244,468  
Baltic Trading Ltd.
    361       1,837  
Celadon Group, Inc.
    131       2,782  
Echo Global Logistics, Inc. *
    281       6,185  
Forward Air Corp.
    423       18,938  
Hawaiian Holdings, Inc. *
    29,054       404,722  
Heartland Express, Inc.
    569       12,774  
Hub Group, Inc., Class A *
    309       14,270  
International Shipholding Corp.
    71       1,505  
JetBlue Airways Corp. *
    2,300       24,656  
Knight Transportation, Inc.
    414       9,919  
Knightsbridge Tankers Ltd.
    271       3,089  
Landstar System, Inc.
    8,005       529,371  
Marten Transport Ltd.
    113       2,287  
Matson, Inc.
    243       6,549  
Navios Maritime Holdings, Inc.
    675       5,380  
Park-Ohio Holdings Corp.
    53       3,146  
Patriot Transportation Holding, Inc. *
    56       1,863  
Quality Distribution, Inc. *
    198       2,643  
Republic Airways Holdings, Inc. *
    835       8,300  
Roadrunner Transportation Systems, Inc. *
    377       9,478  
Safe Bulkers, Inc.
    243       1,771  
Saia, Inc. *
    260       11,869  
Scorpio Bulkers, Inc. *
    1,065       8,190  
SkyWest, Inc.
    318       3,399  
Swift Transportation Co. *
    1,082       22,127  
Universal Truckload Services, Inc.
    73       1,773  
UTi Worldwide, Inc. *
    54,845       518,834  
Werner Enterprises, Inc.
    613       15,068  
Wesco Aircraft Holdings, Inc. *
    447       8,471  
XPO Logistics, Inc. *
    615       18,997  
YRC Worldwide, Inc. *
    330       8,639  
                 
              1,965,722  
 
Utilities 1.7%
ALLETE, Inc.
    473       22,193  
American States Water Co.
    458       13,992  
Artesian Resources Corp., Class A
    311       6,777  
Atlantic Power Corp.
    1,045       3,940  
Avista Corp.
    534       16,570  
Black Hills Corp.
    521       27,462  
California Water Service Group
    444       10,110  
Chesapeake Utilities Corp.
    37       2,408  
Cleco Corp.
    743       41,415  
Connecticut Water Service, Inc.
    59       1,882  
Dynegy, Inc. *
    908       24,107  
El Paso Electric Co.
    450       16,582  
IDACORP, Inc.
    546       29,238  
MGE Energy, Inc.
    265       9,969  
Middlesex Water Co.
    87       1,768  
New Jersey Resources Corp.
    9,729       496,957  
Northwest Natural Gas Co.
    361       15,602  
 
 
 
16 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
NorthWestern Corp.
    410       18,950  
NRG Yield, Inc., Class A
    207       10,816  
ONE Gas, Inc.
    395       14,220  
Ormat Technologies, Inc.
    322       8,304  
Otter Tail Corp.
    409       11,436  
Pattern Energy Group, Inc.
    325       10,072  
Piedmont Natural Gas Co., Inc.
    872       30,250  
PNM Resources, Inc.
    772       19,802  
Portland General Electric Co.
    947       30,238  
SJW Corp.
    65       1,743  
South Jersey Industries, Inc.
    425       22,767  
Southwest Gas Corp.
    511       25,310  
The Empire District Electric Co.
    430       10,539  
The Laclede Group, Inc.
    14,815       696,009  
UIL Holdings Corp.
    680       23,875  
UNS Energy Corp.
    13,539       818,026  
WGL Holdings, Inc.
    14,975       583,725  
York Water Co.
    254       4,834  
                 
              3,081,888  
                 
Total Common Stock
(Cost $150,875,894)     165,583,308  
         
                 
                 
 
 Other Investment Companies 7.3% of net assets
 
Equity Funds 3.0%
iShares Russell 2000 ETF
    346       38,437  
iShares Russell Mid-Cap ETF
    34,700       5,444,430  
                 
              5,482,867  
 
Money Market Fund 4.3%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (c)
    7,671,429       7,671,429  
                 
Total Other Investment Companies
(Cost $13,196,685)     13,154,296  
         
                 
                 
 
 Rights 0.0% of net assets
 
Automobiles & Components 0.0%
Contra Furiex Pharmaceuticals CVR *(d)(e)
    66       645  
 
Telecommunication Services 0.0%
Contra Leap Wireless CVR *(d)(e)
    861       2,170  
                 
Total Rights
(Cost $2,815)     2,815  
         
                 
                 
 
 Warrants 0.0% of net assets
 
Energy 0.0%
Magnum Hunter Resources Corp. *(d)(e)
    129       —  
                 
Total Warrants
(Cost $—)     —  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 0.1% of net assets
 
U.S. Treasury Obligations 0.1%
U.S. Treasury Bills
0.01%, 09/11/14 (a)(b)
    10,000       10,000  
0.01%, 09/18/14 (a)(b)
    190,000       189,999  
0.02%, 09/18/14 (a)(b)
    130,000       129,997  
                 
Total Short-Term Investments
(Cost $329,996)     329,996  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $164,775,543 and the unrealized appreciation and depreciation were $23,079,803 and ($8,784,931) respectively, with a net appreciation of $14,294,872.
 
* Non-income producing security.
(a) All or a portion of this security is held as collateral for open futures contracts.
(b) The rate shown is the purchase yield.
(c) The rate shown is the 7-day yield.
(d) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
(e) Illiquid security. At the period end, the value of these amounted to $2,943 or 0.0% of net assets.
 
     
ADR —
  American Depositary Receipt
CVR —
  Contingent Value Rights
ETF —
  Exchange traded fund
REIT —
  Real Estate Investment Trust
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
Russell 2000 Index, mini, Long, expires 09/19/14
    36       4,020,120       (166,181 )
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for
 
 
 
 17

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures Contracts (“futures”): Futures are valued at their settlement prices as of the close of their exchanges.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective NAVs. Exchange traded funds (“ETFs”) traded on a recognized securities exchange are valued at the last reported sale price that day or the official closing price, if applicable.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
 
 
18 

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities, futures contracts and ETFs. Investments in mutual funds are valued daily at their NAVs, and investments in ETFs are valued daily at the last reported sale price or the official closing price, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $165,583,308       $—       $—       $165,583,308  
Other Investment Companies1
    13,154,296       —       —       13,154,296  
Rights1
    —       —       2,815       2,815  
Warrants1
    —       —       —       —  
Short-Term Investments1
    —       329,996       —       329,996  
                                 
Total
    $178,737,604       $329,996       $2,815       $179,070,415  
                                 
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($166,181 )     $—       $—       ($166,181 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
 
 
 19

 

 
 Laudus Small-Cap MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Rights
    $—       $—       $—       $2,815       $—       $—       $—       $2,815  
                                                                 
Total
    $—       $—       $—       $2,815       $—       $—       $—       $2,815  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
On July 31, 2014, the fund had open equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk.
 
REG46829JUL14
 
 
 
20 

 

Schwab Capital Trust
Laudus International MarketMasters Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  95 .8%   Common Stock     1,841,385,958       2,196,133,065  
  0 .3%   Preferred Stock     7,332,079       7,352,000  
  3 .3%   Other Investment Company     76,469,906       76,469,906  
  0 .0%   Rights     39,320       293,211  
  0 .2%   Short-Term Investments     3,419,935       3,419,935  
 
 
  99 .6%   Total Investments     1,928,647,198       2,283,668,117  
  0 .4%   Other Assets and Liabilities, Net             8,921,585  
 
 
  100 .0%   Net Assets             2,292,589,702  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Common Stock 95.8% of net assets
 
Australia 4.3%
                 
 
Banks 0.5%
Australia & New Zealand Banking Group Ltd.
    201,459       6,289,872  
Bank of Queensland Ltd.
    6,074       70,100  
Bendigo & Adelaide Bank Ltd.
    6,444       75,815  
Commonwealth Bank of Australia
    25,310       1,952,154  
National Australia Bank Ltd.
    36,942       1,199,492  
Westpac Banking Corp.
    48,839       1,553,082  
                 
              11,140,515  
                 
 
Capital Goods 0.3%
Leighton Holdings Ltd.
    2,271       46,187  
Monadelphous Group Ltd.
    407,965       6,003,906  
                 
              6,050,093  
                 
 
Commercial & Professional Supplies 0.1%
ALS Ltd.
    5,060       36,281  
Brambles Ltd.
    25,034       216,722  
Seek Ltd.
    5,528       83,558  
Spotless Group Holdings Ltd. *
    472,549       812,408  
                 
              1,148,969  
                 
 
Consumer Services 0.7%
Crown Resorts Ltd.
    6,204       92,838  
Flight Centre Travel Group Ltd.
    16,472       718,593  
G8 Education Ltd.
    1,883,930       8,600,481  
Invocare Ltd.
    429,546       4,187,159  
Slater & Gordon Ltd.
    596,840       2,744,484  
Tabcorp Holdings Ltd.
    10,270       33,185  
Tatts Group Ltd.
    22,383       73,503  
                 
              16,450,243  
                 
 
Diversified Financials 0.2%
ASX Ltd.
    3,202       106,936  
Macquarie Group Ltd.
    4,574       244,799  
Magellan Financial Group Ltd.
    414,480       4,472,868  
                 
              4,824,603  
                 
 
Energy 0.0%
Caltex Australia Ltd.
    2,024       46,046  
Origin Energy Ltd.
    16,850       221,909  
Santos Ltd.
    15,686       210,146  
Woodside Petroleum Ltd.
    10,320       405,101  
WorleyParsons Ltd.
    3,314       54,587  
                 
              937,789  
                 
 
Food & Staples Retailing 0.1%
Metcash Ltd.
    14,377       38,879  
Wesfarmers Ltd.
    18,030       730,110  
Woolworths Ltd.
    19,718       672,074  
                 
              1,441,063  
                 
 
Food, Beverage & Tobacco 0.0%
Coca-Cola Amatil Ltd.
    8,985       76,626  
Treasury Wine Estates Ltd.
    9,858       45,175  
                 
              121,801  
                 
 
Health Care Equipment & Services 0.0%
Cochlear Ltd.
    852       50,024  
Ramsay Health Care Ltd.
    1,970       87,765  
Sonic Healthcare Ltd.
    5,555       92,914  
                 
              230,703  
                 
 
Insurance 0.5%
AMP Ltd.
    2,020,535       10,199,445  
Insurance Australia Group Ltd.
    36,812       214,241  
QBE Insurance Group Ltd.
    19,616       198,272  
Suncorp Group Ltd.
    20,038       263,461  
                 
              10,875,419  
                 
 
Materials 0.9%
Alumina Ltd. *
    36,590       53,794  
Amcor Ltd.
    19,432       185,989  
BHP Billiton Ltd.
    50,435       1,790,767  
Boral Ltd.
    10,945       53,840  
Fortescue Metals Group Ltd.
    25,404       113,892  
Iluka Resources Ltd.
    6,278       50,863  
Incitec Pivot Ltd.
    26,096       71,416  
Newcrest Mining Ltd. *
    11,930       119,179  
Orica Ltd.
    565,504       11,421,526  
Pact Group Holdings Ltd. *
    1,687,633       5,779,833  
Rio Tinto Ltd.
    6,818       414,150  
                 
              20,055,249  
                 
 
Media 0.0%
REA Group Ltd.
    22,414       976,192  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
CSL Ltd.
    65,138       4,058,325  
                 
 
Real Estate 0.6%
CFS Retail Property Trust Group
    32,493       65,125  
Charter Hall Retail REIT
    2,092,788       7,750,974  
Dexus Property Group
    92,212       101,314  
 
 
 
 1

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Federation Centres
    22,668       53,889  
Goodman Group
    28,028       137,406  
Lend Lease Group
    8,133       101,493  
Mirvac Group
    60,508       101,219  
Scentre Group *
    80,463       254,233  
Shopping Centres Australasia Property Group
    3,392,393       5,574,153  
Stockland
    37,598       140,833  
The GPT Group
    26,463       99,632  
Westfield Corp.
    30,920       214,930  
                 
              14,595,201  
                 
 
Retailing 0.0%
Harvey Norman Holdings Ltd.
    7,965       22,600  
                 
 
Software & Services 0.0%
Computershare Ltd.
    7,861       94,865  
                 
 
Telecommunication Services 0.2%
Telstra Corp., Ltd.
    958,494       4,860,625  
TPG Telecom Ltd.
    4,217       21,416  
                 
              4,882,041  
                 
 
Transportation 0.0%
Asciano Ltd.
    14,625       81,183  
Aurizon Holdings Ltd.
    33,984       156,911  
Qantas Airways Ltd. *
    16,643       20,393  
Sydney Airport
    16,830       66,763  
Toll Holdings Ltd.
    10,116       50,821  
Transurban Group
    28,182       202,374  
                 
              578,445  
                 
 
Utilities 0.0%
AGL Energy Ltd.
    8,346       113,764  
APA Group
    12,878       88,894  
SP AusNet *
    24,580       30,617  
                 
              233,275  
                 
              98,717,391  
 
Austria 0.3%
                 
 
Banks 0.0%
Erste Group Bank AG
    3,933       100,993  
Raiffeisen Bank International AG
    1,994       54,759  
                 
              155,752  
                 
 
Capital Goods 0.1%
Andritz AG
    1,076       58,240  
Zumtobel AG
    140,580       2,899,894  
                 
              2,958,134  
                 
 
Energy 0.0%
OMV AG
    2,275       91,497  
                 
 
Insurance 0.0%
Vienna Insurance Group AG Wiener Versicherung Gruppe
    576       28,590  
                 
 
Materials 0.0%
Voestalpine AG
    1,648       72,525  
                 
 
Real Estate 0.0%
IMMOFINANZ AG *
    13,432       42,537  
                 
 
Semiconductors & Semiconductor Equipment 0.2%
ams AG
    88,700       3,162,925  
                 
 
Telecommunication Services 0.0%
Telekom Austria AG
    2,926       28,014  
                 
              6,539,974  
 
Belgium 0.1%
                 
 
Banks 0.0%
KBC Groep N.V. *
    3,974       215,411  
                 
 
Diversified Financials 0.0%
Groupe Bruxelles Lambert S.A.
    1,210       120,343  
                 
 
Food & Staples Retailing 0.0%
Colruyt S.A.
    1,136       55,013  
Delhaize Group S.A.
    1,527       99,647  
                 
              154,660  
                 
 
Food, Beverage & Tobacco 0.1%
Anheuser-Busch InBev N.V.
    12,573       1,357,038  
                 
 
Insurance 0.0%
Ageas
    3,420       122,747  
                 
 
Materials 0.0%
Solvay S.A.
    938       151,456  
Umicore S.A.
    1,709       82,594  
                 
              234,050  
                 
 
Media 0.0%
Telenet Group Holding N.V. *
    13,768       735,920  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
UCB S.A.
    1,687       154,739  
                 
 
Telecommunication Services 0.0%
Belgacom S.A.
    2,281       74,540  
                 
              3,169,448  
 
Brazil 0.6%
                 
 
Capital Goods 0.0%
WEG S.A.
    5,780       69,296  
                 
 
Consumer Services 0.1%
Kroton Educacional S.A.
    72,000       1,917,461  
                 
 
Diversified Financials 0.0%
CETIP S.A. - Mercados Organizados
    36,200       506,441  
                 
 
Food, Beverage & Tobacco 0.2%
AMBEV S.A. ADR
    611,486       4,213,139  
                 
 
Insurance 0.1%
BB Seguridade Participacoes S.A.
    266,000       3,880,816  
                 
 
Software & Services 0.2%
Cielo S.A.
    222,800       4,075,460  
                 
              14,662,613  
 
Canada 5.3%
                 
 
Automobiles & Components 0.4%
Linamar Corp.
    150,490       8,192,861  
                 
 
Banks 0.3%
The Toronto-Dominion Bank
    116,921       6,114,400  
                 
 
Capital Goods 0.3%
ATS Automation Tooling Systems, Inc. *
    283,100       3,850,482  
 
 
 
2 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
CAE, Inc.
    286,029       3,651,602  
                 
              7,502,084  
                 
 
Commercial & Professional Supplies 0.4%
Ritchie Bros. Auctioneers, Inc.
    152,200       3,685,128  
Stantec, Inc.
    96,780       6,140,451  
                 
              9,825,579  
                 
 
Consumer Durables & Apparel 0.0%
Gildan Activewear, Inc.
    14,500       849,640  
                 
 
Diversified Financials 0.5%
CI Financial Corp.
    71,926       2,328,599  
Element Financial Corp. *
    664,620       8,631,191  
                 
              10,959,790  
                 
 
Energy 1.4%
Canadian Natural Resources Ltd.
    107,172       4,671,789  
Canyon Services Group, Inc.
    86,590       1,245,225  
Enbridge, Inc.
    108,379       5,312,842  
Pason Systems, Inc.
    213,800       5,449,170  
Peyto Exploration & Development Corp.
    35,998       1,210,003  
Raging River Exploration, Inc. *
    736,310       6,381,556  
Suncor Energy, Inc.
    175,800       7,218,385  
                 
              31,488,970  
                 
 
Food & Staples Retailing 0.1%
Alimentation Couche-Tard, Inc., Class B
    64,986       1,778,495  
                 
 
Food, Beverage & Tobacco 0.1%
Saputo, Inc.
    19,176       1,190,113  
                 
 
Materials 0.4%
CCL Industries, Inc., Class B
    92,825       9,189,279  
                 
 
Media 0.1%
Thomson Reuters Corp.
    77,000       2,908,818  
                 
 
Real Estate 0.9%
Brookfield Asset Management, Inc., Class A
    58,300       2,603,095  
FirstService Corp.
    174,480       9,721,337  
Morguard Real Estate Investment Trust
    135,490       2,228,033  
Northern Property Real Estate Investment Trust
    178,000       4,775,072  
                 
              19,327,537  
                 
 
Retailing 0.0%
Dollarama, Inc.
    9,411       774,648  
                 
 
Software & Services 0.1%
The Descartes Systems Group, Inc. *
    210,650       2,838,032  
                 
 
Transportation 0.3%
Canadian National Railway Co.
    59,527       3,978,785  
Canadian Pacific Railway Ltd.
    19,476       3,699,466  
                 
              7,678,251  
                 
              120,618,497  
 
China 2.5%
                 
 
Automobiles & Components 0.3%
Brilliance China Automotive Holdings Ltd.
    422,000       793,012  
Dongfeng Motor Group Co., Ltd., Class H
    220,000       390,669  
Nexteer Automotive Group Ltd.
    7,456,000       5,313,898  
                 
              6,497,579  
                 
 
Capital Goods 0.1%
CIMC Enric Holdings Ltd.
    918,000       1,093,057  
Weichai Power Co., Ltd., Class H
    92,000       400,885  
                 
              1,493,942  
                 
 
Consumer Durables & Apparel 0.2%
Ozner Water International Holding Ltd. *
    12,785,000       5,295,430  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Sihuan Pharmaceutical Holdings Group Ltd.
    1,278,000       783,461  
WuXi PharmaTech Cayman, Inc. ADR *
    34,975       1,077,580  
                 
              1,861,041  
                 
 
Real Estate 0.1%
China Overseas Grand Oceans Group Ltd.
    3,632,000       2,937,085  
China Vanke Co., Ltd., Class H *
    268,200       593,843  
                 
              3,530,928  
                 
 
Retailing 0.3%
Jumei International Holding Ltd. ADR *
    165,170       4,713,952  
Vipshop Holdings Ltd. ADR *
    9,924       2,039,779  
                 
              6,753,731  
                 
 
Software & Services 0.8%
58.com, Inc. ADR *
    72,370       3,556,985  
Baidu, Inc. ADR *
    12,026       2,598,217  
Qihoo 360 Technology Co., Ltd. ADR *
    8,746       797,198  
Tencent Holdings Ltd.
    234,600       3,809,844  
YY, Inc. ADR *
    87,633       6,775,784  
                 
              17,538,028  
                 
 
Technology Hardware & Equipment 0.3%
Ju Teng International Holdings Ltd.
    6,180,000       4,129,118  
Lenovo Group Ltd.
    1,866,000       2,545,385  
                 
              6,674,503  
                 
 
Transportation 0.2%
Sinotrans Ltd., Class H
    8,193,000       5,074,185  
                 
 
Utilities 0.1%
ENN Energy Holdings Ltd.
    242,000       1,711,715  
                 
              56,431,082  
 
Denmark 1.7%
                 
 
Banks 0.0%
Danske Bank A/S
    10,154       293,356  
                 
 
Capital Goods 0.0%
Vestas Wind Systems A/S *
    3,299       148,743  
                 
 
Consumer Durables & Apparel 0.2%
Pandora A/S
    51,135       3,499,216  
                 
 
Food, Beverage & Tobacco 0.5%
Carlsberg A/S, Class B
    1,681       160,835  
 
 
 
 3

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Royal UNIBREW *
    76,240       11,159,295  
                 
              11,320,130  
                 
 
Health Care Equipment & Services 0.2%
Coloplast A/S, Class B
    24,486       2,070,356  
GN Store Nord A/S
    61,143       1,562,883  
William Demant Holding A/S *
    443       38,519  
                 
              3,671,758  
                 
 
Insurance 0.0%
Tryg A/S
    368       37,077  
                 
 
Materials 0.6%
Chr. Hansen Holding A/S
    319,298       13,201,914  
Novozymes A/S, B Shares
    3,747       185,287  
                 
              13,387,201  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
Novo Nordisk A/S, Class B
    117,427       5,405,418  
                 
 
Software & Services 0.0%
SimCorp A/S
    29,456       954,230  
                 
 
Telecommunication Services 0.0%
TDC A/S
    13,238       133,546  
                 
 
Transportation 0.0%
AP Moeller - Maersk A/S, Series A
    45       100,986  
AP Moeller - Maersk A/S, Series B
    106       247,119  
DSV A/S
    3,059       96,602  
                 
              444,707  
                 
              39,295,382  
 
Finland 1.1%
                 
 
Automobiles & Components 0.0%
Nokian Renkaat Oyj
    1,651       57,164  
                 
 
Capital Goods 0.7%
Cramo Oyj
    213,980       4,343,533  
Kone Oyj, Class B
    65,166       2,740,081  
Metso Oyj
    1,916       75,404  
Sanitec Corp. *
    764,450       8,764,226  
Wartsila Oyj Abp
    2,325       117,091  
                 
              16,040,335  
                 
 
Energy 0.0%
Neste Oil Oyj
    1,922       35,516  
                 
 
Insurance 0.4%
Sampo Oyj, A Shares
    178,753       8,879,659  
                 
 
Materials 0.0%
Stora Enso Oyj, R Shares
    8,723       78,377  
UPM-Kymmene Oyj
    8,330       135,767  
                 
              214,144  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.0%
Orion Oyj, Class B
    1,428       52,942  
                 
 
Technology Hardware & Equipment 0.0%
Nokia Oyj
    59,321       469,963  
                 
 
Telecommunication Services 0.0%
Elisa Oyj
    2,120       60,835  
                 
 
Utilities 0.0%
Fortum Oyj
    6,918       177,860  
                 
              25,988,418  
 
France 8.7%
                 
 
Automobiles & Components 0.4%
Compagnie Generale des Etablissements Michelin
    2,955       324,162  
Peugeot S.A. *
    6,560       97,842  
Plastic Omnium S.A.
    217,590       5,763,580  
Renault S.A.
    2,997       250,190  
Valeo S.A.
    29,198       3,498,435  
                 
              9,934,209  
                 
 
Banks 0.8%
BNP Paribas S.A.
    278,481       18,478,173  
Credit Agricole S.A.
    16,426       222,201  
Natixis
    13,865       89,593  
Societe Generale S.A.
    11,282       566,384  
                 
              19,356,351  
                 
 
Capital Goods 0.9%
Alstom S.A. *
    3,268       117,535  
Bouygues S.A.
    2,985       117,588  
Compagnie de Saint-Gobain
    39,454       1,919,706  
Legrand S.A.
    24,762       1,373,195  
LISI (b)
    23,273       3,627,456  
Rexel S.A.
    3,894       75,453  
Safran S.A.
    121,183       7,121,593  
Schneider Electric SE
    8,165       692,037  
Thales S.A.
    1,517       86,279  
Vallourec S.A.
    1,627       71,998  
Vinci S.A.
    66,186       4,567,688  
Zodiac Aerospace
    41,350       1,294,733  
                 
              21,065,261  
                 
 
Commercial & Professional Supplies 0.2%
Bureau Veritas S.A.
    3,576       92,229  
Edenred
    3,576       111,777  
Societe BIC S.A.
    431       59,423  
Teleperformance
    66,270       4,604,351  
                 
              4,867,780  
                 
 
Consumer Durables & Apparel 1.2%
Christian Dior S.A.
    25,961       4,521,886  
Hermes International
    2,324       803,160  
Kering
    62,082       13,290,753  
LVMH Moet Hennessy Louis Vuitton S.A.
    50,159       8,628,455  
                 
              27,244,254  
                 
 
Consumer Services 0.0%
Accor S.A.
    2,621       126,929  
Sodexo
    1,491       148,187  
                 
              275,116  
                 
 
Diversified Financials 0.0%
Eurazeo S.A.
    555       41,715  
Wendel S.A.
    493       64,673  
                 
              106,388  
                 
 
Energy 1.0%
Gaztransport Et Technigaz S.A. (b)
    207,676       13,070,163  
Technip S.A.
    1,648       152,234  
 
 
 
4 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Total S.A.
    147,320       9,501,355  
                 
              22,723,752  
                 
 
Food & Staples Retailing 0.0%
Carrefour S.A.
    9,892       341,618  
Casino Guichard Perrachon S.A.
    918       110,642  
                 
              452,260  
                 
 
Food, Beverage & Tobacco 0.9%
Danone S.A.
    156,074       11,273,345  
Pernod-Ricard S.A.
    80,922       9,062,551  
Remy Cointreau S.A.
    330       27,021  
                 
              20,362,917  
                 
 
Health Care Equipment & Services 0.3%
Essilor International S.A.
    3,172       309,867  
Korian-Medica
    171,869       6,225,320  
                 
              6,535,187  
                 
 
Household & Personal Products 0.0%
L’Oreal S.A.
    3,834       647,409  
                 
 
Insurance 0.4%
AXA S.A.
    288,135       6,619,801  
CNP Assurances
    2,943       57,820  
Euler Hermes Group
    18,708       2,183,247  
SCOR SE
    2,591       83,349  
                 
              8,944,217  
                 
 
Materials 0.1%
Air Liquide S.A.
    5,349       680,682  
Arkema S.A.
    947       87,804  
Imerys S.A.
    509       39,744  
Lafarge S.A.
    2,886       224,628  
                 
              1,032,858  
                 
 
Media 0.2%
Eutelsat Communications S.A.
    2,392       82,606  
JC Decaux S.A.
    997       34,230  
Lagardere S.C.A.
    1,770       52,692  
Publicis Groupe S.A.
    51,448       3,732,722  
                 
              3,902,250  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.8%
Boiron S.A. (b)
    74,612       5,678,840  
Eurofins Scientific SE
    28,179       8,401,792  
Sanofi
    47,052       4,940,028  
                 
              19,020,660  
                 
 
Real Estate 0.3%
Fonciere Des Regions
    412       41,371  
Gecina S.A.
    329       46,984  
ICADE
    684       66,028  
Klepierre
    1,564       73,987  
Nexity S.A.
    67,590       2,561,971  
Unibail-Rodamco SE
    11,102       2,980,176  
                 
              5,770,517  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
STMicroelectronics N.V.
    9,557       79,560  
                 
 
Software & Services 0.3%
AtoS
    1,163       90,813  
Cap Gemini S.A.
    2,261       163,952  
Criteo S.A. ADR *
    109,120       3,247,411  
Dassault Systemes S.A.
    17,145       1,150,527  
GameLoft SE *
    173,380       1,105,103  
                 
              5,757,806  
                 
 
Technology Hardware & Equipment 0.4%
Alcatel-Lucent *
    44,578       156,051  
Ingenico
    52,207       5,281,374  
Neopost S.A.
    66,198       4,647,948  
                 
              10,085,373  
                 
 
Telecommunication Services 0.1%
Iliad S.A.
    430       118,613  
Orange S.A.
    29,345       459,523  
Vivendi S.A. *
    18,974       476,214  
                 
              1,054,350  
                 
 
Transportation 0.0%
Aeroports de Paris
    519       71,092  
Bollore S.A.
    1,345       830,083  
Groupe Eurotunnel S.A. - Reg’d
    7,346       97,216  
                 
              998,391  
                 
 
Utilities 0.4%
Electricite de France S.A.
    3,627       117,166  
GDF Suez
    22,593       582,549  
Rubis S.C.A.
    139,608       8,382,328  
Suez Environnement Co.
    4,195       78,292  
Veolia Environnement S.A.
    5,703       101,011  
                 
              9,261,346  
                 
              199,478,212  
 
Germany 9.2%
                 
 
Automobiles & Components 1.7%
Bayerische Motoren Werke AG
    125,693       14,972,540  
Continental AG
    24,402       5,255,322  
Daimler AG - Reg’d
    162,667       13,423,071  
ElringKlinger AG
    121,753       4,391,989  
Volkswagen AG
    442       101,933  
                 
              38,144,855  
                 
 
Banks 0.6%
Aareal Bank AG
    304,290       12,904,796  
Commerzbank AG *
    15,332       220,291  
                 
              13,125,087  
                 
 
Capital Goods 2.2%
Brenntag AG
    12,922       2,074,618  
DMG MORI SEIKI AG
    246,400       7,526,493  
Duerr AG
    56,531       4,306,280  
GEA Group AG
    2,817       126,400  
Hochtief AG
    480       40,255  
MAN SE
    553       65,666  
MTU Aero Engines AG
    124,200       10,684,966  
Norma Group SE
    321,028       15,816,442  
OSRAM Licht AG *
    1,220       49,280  
Rational AG
    11,284       3,663,435  
Siemens AG - Reg’d
    12,408       1,532,340  
Stabilus S.A. *
    110,766       3,693,199  
                 
              49,579,374  
                 
 
Commercial & Professional Supplies 0.3%
Bertrandt AG
    3,832       478,569  
Bilfinger SE
    81,100       6,598,940  
                 
              7,077,509  
 
 
 
 5

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Consumer Durables & Apparel 0.0%
adidas AG
    3,242       256,716  
Hugo Boss AG
    537       77,052  
                 
              333,768  
                 
 
Diversified Financials 0.2%
Aurelius AG
    79,730       2,808,442  
Deutsche Bank AG - Reg’d
    21,590       738,345  
Deutsche Boerse AG
    3,030       219,356  
                 
              3,766,143  
                 
 
Food & Staples Retailing 0.0%
Metro AG *
    2,517       90,700  
                 
 
Health Care Equipment & Services 0.0%
Celesio AG
    805       27,538  
Fresenius Medical Care AG & Co. KGaA
    3,455       239,493  
Fresenius SE & Co. KGaA
    2,010       300,574  
                 
              567,605  
                 
 
Household & Personal Products 0.0%
Beiersdorf AG
    1,597       143,945  
Henkel AG & Co. KGaA
    1,833       174,495  
                 
              318,440  
                 
 
Insurance 0.8%
Allianz SE - Reg’d
    102,643       17,088,628  
Hannover Rueck SE
    904       77,169  
Muenchener Rueckversicherungs AG - Reg’d
    2,796       593,233  
                 
              17,759,030  
                 
 
Materials 1.0%
BASF SE
    61,772       6,393,027  
HeidelbergCement AG
    2,226       165,124  
K&S AG - Reg’d
    2,720       83,345  
LANXESS AG
    1,318       83,946  
Linde AG
    2,933       598,211  
Symrise AG
    279,761       14,688,616  
ThyssenKrupp AG *
    6,977       196,535  
                 
              22,208,804  
                 
 
Media 0.4%
Axel Springer SE
    593       33,389  
CTS Eventim AG & Co. KGaA
    111,480       3,261,793  
GFK SE (b)
    55,440       2,516,632  
Kabel Deutschland Holding AG
    340       48,576  
ProSiebenSat.1 Media AG - Reg’d
    63,061       2,644,050  
Sky Deutschland AG *
    6,081       54,694  
                 
              8,559,134  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.8%
Bayer AG - Reg’d
    64,143       8,460,878  
Merck KGaA
    2,048       181,105  
MorphoSys AG *
    53,085       5,079,336  
QIAGEN N.V. *
    169,552       4,140,494  
                 
              17,861,813  
                 
 
Real Estate 0.1%
Deutsche Annington Immobilien SE
    27,921       856,550  
Deutsche Wohnen AG
    39,988       865,229  
                 
              1,721,779  
                 
 
Retailing 0.2%
Fielmann AG
    43,051       5,435,033  
                 
 
Semiconductors & Semiconductor Equipment 0.1%
Infineon Technologies AG
    245,763       2,707,945  
                 
 
Software & Services 0.8%
SAP SE
    90,223       7,090,794  
United Internet AG - Reg’d
    1,612       64,449  
Wirecard AG
    321,158       11,912,512  
                 
              19,067,755  
                 
 
Telecommunication Services 0.0%
Deutsche Telekom AG - Reg’d
    48,642       789,345  
Telefonica Deutschland Holding AG *
    4,997       39,069  
                 
              828,414  
                 
 
Transportation 0.0%
Deutsche Lufthansa AG - Reg’d
    3,433       60,558  
Deutsche Post AG - Reg’d
    15,101       483,152  
Fraport AG Frankfurt Airport Services Worldwide
    551       36,213  
                 
              579,923  
                 
 
Utilities 0.0%
E.ON SE
    31,241       589,778  
RWE AG
    7,791       312,795  
                 
              902,573  
                 
              210,635,684  
 
Greece 0.2%
                 
 
Diversified Financials 0.2%
Hellenic Exchanges S.A. *
    357,732       3,539,092  
 
Hong Kong 2.4%
                 
 
Banks 0.0%
Bank of East Asia Ltd.
    21,000       89,525  
BOC Hong Kong (Holdings) Ltd.
    58,000       181,909  
Hang Seng Bank Ltd.
    12,000       203,287  
                 
              474,721  
                 
 
Capital Goods 0.2%
Haitian International Holdings Ltd.
    1,426,000       3,348,778  
Hutchison Whampoa Ltd.
    33,000       447,660  
Noble Group Ltd.
    73,000       82,639  
NWS Holdings Ltd.
    20,000       37,001  
                 
              3,916,078  
                 
 
Consumer Durables & Apparel 0.2%
Li & Fung Ltd.
    90,000       119,891  
Man Wah Holdings Ltd.
    1,745,600       2,578,485  
Techtronic Industries Co.
    772,500       2,315,400  
Yue Yuen Industrial Holdings Ltd.
    11,000       36,760  
                 
              5,050,536  
                 
 
Consumer Services 0.3%
Galaxy Entertainment Group Ltd.
    34,000       285,928  
MGM China Holdings Ltd.
    14,000       51,193  
Paradise Entertainment Ltd.
    8,420,000       5,880,250  
Sands China Ltd.
    38,000       278,984  
Shangri-La Asia Ltd.
    26,000       41,014  
SJM Holdings Ltd.
    29,683       79,303  
 
 
 
6 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Wynn Macau Ltd.
    23,200       98,865  
                 
              6,715,537  
                 
 
Diversified Financials 0.1%
First Pacific Co., Ltd.
    36,000       43,037  
Hong Kong Exchanges & Clearing Ltd.
    106,500       2,385,677  
                 
              2,428,714  
                 
 
Insurance 0.3%
AIA Group Ltd.
    1,192,800       6,390,303  
                 
 
Real Estate 0.1%
Cheung Kong Holdings Ltd.
    76,410       1,476,203  
Hang Lung Properties Ltd.
    35,000       108,092  
Henderson Land Development Co., Ltd.
    16,294       103,355  
Hysan Development Co., Ltd.
    10,000       47,868  
Kerry Properties Ltd.
    11,000       40,151  
New World Development Co., Ltd.
    85,000       107,188  
Sino Land Co., Ltd.
    44,000       75,699  
Sun Hung Kai Properties Ltd.
    25,000       379,482  
Swire Pacific Ltd., Class A
    10,500       135,189  
Swire Properties Ltd.
    17,800       58,030  
The Link REIT
    35,500       201,411  
The Wharf Holdings Ltd.
    23,349       186,091  
Wheelock & Co., Ltd.
    14,000       70,591  
                 
              2,989,350  
                 
 
Retailing 0.1%
Emperor Watch & Jewellery Ltd.
    25,220,000       1,611,307  
                 
 
Semiconductors & Semiconductor Equipment 0.3%
ASM Pacific Technology Ltd.
    242,200       2,573,554  
Xinyi Solar Holdings Ltd.
    19,392,000       5,498,277  
                 
              8,071,831  
                 
 
Software & Services 0.2%
21Vianet Group, Inc. ADR *
    170,830       4,754,199  
                 
 
Technology Hardware & Equipment 0.4%
AAC Technologies Holdings, Inc.
    1,374,000       8,146,456  
China High Precision Automation Group Ltd. *(a)(b)
    766,000       —  
                 
              8,146,456  
                 
 
Telecommunication Services 0.0%
HKT Trust & HKT Ltd.
    40,120       47,384  
PCCW Ltd.
    60,000       36,929  
                 
              84,313  
                 
 
Transportation 0.2%
Cathay Pacific Airways Ltd.
    18,000       34,006  
MTR Corp., Ltd.
    23,500       92,321  
Pacific Basin Shipping Ltd.
    7,273,000       4,380,991  
                 
              4,507,318  
                 
 
Utilities 0.0%
Cheung Kong Infrastructure Holdings Ltd.
    9,574       67,449  
CLP Holdings Ltd.
    28,500       237,082  
Hong Kong & China Gas Co., Ltd.
    98,494       215,542  
Power Assets Holdings Ltd.
    21,000       187,576  
                 
              707,649  
                 
              55,848,312  
 
India 1.6%
                 
 
Automobiles & Components 0.7%
Apollo Tyres Ltd.
    1,127,050       3,225,224  
Bharat Forge Ltd.
    668,800       7,947,007  
Hero MotoCorp Ltd.
    29,580       1,267,296  
Mahindra & Mahindra Ltd.
    40,895       805,486  
Maruti Suzuki India Ltd.
    21,494       891,801  
Tata Motors Ltd.
    397,587       2,909,925  
                 
              17,046,739  
                 
 
Banks 0.3%
Axis Bank Ltd.
    208,635       1,350,108  
HDFC Bank Ltd.
    242,558       3,317,330  
Housing Development Finance Corp., Ltd.
    165,120       2,893,307  
                 
              7,560,745  
                 
 
Food, Beverage & Tobacco 0.0%
ITC Ltd.
    148,767       871,058  
                 
 
Materials 0.1%
Asian Paints Ltd.
    131,687       1,361,098  
UltraTech Cement Ltd.
    17,345       690,430  
                 
              2,051,528  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
Sun Pharmaceutical Industries Ltd.
    257,134       3,343,042  
                 
 
Real Estate 0.1%
Oberoi Realty Ltd.
    361,070       1,546,780  
                 
 
Software & Services 0.2%
HCL Technologies Ltd.
    75,893       1,946,154  
Tata Consultancy Services Ltd.
    49,484       2,104,053  
                 
              4,050,207  
                 
              36,470,099  
 
Indonesia 0.4%
                 
 
Automobiles & Components 0.1%
PT Astra International Tbk
    3,629,400       2,396,655  
                 
 
Banks 0.1%
PT Bank Rakyat Indonesia (Persero) Tbk
    3,618,400       3,470,664  
                 
 
Retailing 0.2%
PT Matahari Department Store Tbk
    3,039,600       3,781,682  
                 
              9,649,001  
 
Ireland 1.0%
                 
 
Banks 0.0%
Bank of Ireland *
    366,051       128,623  
                 
 
Commercial & Professional Supplies 0.5%
Experian plc
    763,750       13,068,309  
                 
 
Energy 0.1%
Dragon Oil plc
    139,035       1,318,587  
                 
 
Food, Beverage & Tobacco 0.3%
Glanbia plc (f)
    38,400       590,773  
Glanbia plc (f)
    358,556       5,521,431  
Kerry Group plc, Class A
    2,289       170,112  
                 
              6,282,316  
 
 
 
 7

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Materials 0.1%
CRH plc
    45,388       1,059,380  
Smurfit Kappa Group plc
    56,946       1,235,796  
                 
              2,295,176  
                 
              23,093,011  
 
Israel 0.6%
                 
 
Banks 0.0%
Bank Hapoalim B.M.
    15,869       92,568  
Bank Leumi Le-Israel B.M. *
    18,157       71,297  
Mizrahi Tefahot Bank Ltd.
    1,853       23,431  
                 
              187,296  
                 
 
Energy 0.0%
Delek Group Ltd.
    68       26,681  
                 
 
Materials 0.2%
Caesarstone Sdot-Yam Ltd.
    125,600       5,446,016  
Israel Chemicals Ltd.
    6,666       54,203  
The Israel Corp., Ltd. *
    35       20,599  
                 
              5,520,818  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.2%
Teva Pharmaceutical Industries Ltd.
    13,505       723,138  
Teva Pharmaceutical Industries Ltd. ADR
    49,030       2,623,105  
                 
              3,346,243  
                 
 
Software & Services 0.2%
Check Point Software Technologies Ltd. *
    75,430       5,119,434  
NICE Systems Ltd.
    898       35,656  
                 
              5,155,090  
                 
 
Telecommunication Services 0.0%
Bezeq The Israeli Telecommunication Corp., Ltd.
    26,399       49,155  
                 
              14,285,283  
 
Italy 2.4%
                 
 
Automobiles & Components 0.1%
Fiat S.p.A. *
    13,397       128,578  
Piaggio & C. S.p.A. *
    927,370       2,761,199  
Pirelli & C. S.p.A
    3,567       53,196  
                 
              2,942,973  
                 
 
Banks 1.1%
Banca Monte dei Paschi di Siena S.p.A. *
    51,467       93,038  
Banca Popolare Di Milano Scarl *
    6,339,780       5,524,613  
Banco Popolare SC *
    5,625       86,871  
Intesa Sanpaolo S.p.A.
    6,383,031       18,955,191  
Intesa Sanpaolo S.p.A. - RSP
    14,151       37,814  
UniCredit S.p.A.
    69,136       539,338  
Unione di Banche Italiane S.C.p.A.
    13,950       114,849  
                 
              25,351,714  
                 
 
Capital Goods 0.3%
Finmeccanica S.p.A. *
    6,068       55,904  
Interpump Group S.p.A.
    573,760       7,333,361  
Prysmian S.p.A.
    3,054       64,941  
                 
              7,454,206  
                 
 
Consumer Durables & Apparel 0.3%
Luxottica Group S.p.A.
    2,543       140,295  
Prada S.p.A.
    839,500       5,943,147  
                 
              6,083,442  
                 
 
Diversified Financials 0.4%
Azimut Holding S.p.A.
    39,417       1,014,619  
Banca Generali S.p.A.
    309,450       8,642,249  
Exor S.p.A.
    1,831       70,094  
Mediobanca S.p.A. *
    7,747       68,283  
                 
              9,795,245  
                 
 
Energy 0.1%
Eni S.p.A.
    40,037       1,018,778  
Saipem S.p.A. *
    4,111       95,753  
Tenaris S.A.
    7,371       158,677  
                 
              1,273,208  
                 
 
Insurance 0.0%
Assicurazioni Generali S.p.A.
    18,445       385,002  
UnipolSai S.p.A.
    13,870       41,987  
                 
              426,989  
                 
 
Telecommunication Services 0.0%
Telecom Italia S.p.A. *
    161,264       185,823  
Telecom Italia S.p.A. - RSP
    90,360       84,484  
                 
              270,307  
                 
 
Transportation 0.0%
Atlantia S.p.A.
    6,011       159,089  
                 
 
Utilities 0.1%
Enel Green Power S.p.A.
    26,240       72,577  
Enel S.p.A.
    103,014       586,457  
Snam S.p.A.
    32,654       192,491  
Terna - Rete Elettrica Nationale S.p.A.
    24,618       129,471  
                 
              980,996  
                 
              54,738,169  
 
Japan 14.4%
                 
 
Automobiles & Components 2.8%
Aisin Seiki Co., Ltd.
    2,900       112,630  
Bridgestone Corp.
    10,100       364,513  
Daihatsu Motor Co., Ltd.
    3,000       53,250  
Denso Corp.
    7,500       345,942  
F.C.C. Co., Ltd.
    260,400       4,670,330  
Fuji Heavy Industries Ltd.
    197,600       5,635,015  
Honda Motor Co., Ltd.
    475,007       16,535,497  
Isuzu Motors Ltd.
    18,317       127,131  
Koito Manufacturing Co., Ltd.
    1,485       40,690  
Mazda Motor Corp.
    8,800       211,440  
Mitsubishi Motors Corp.
    9,800       111,652  
Musashi Seimitsu Industry Co., Ltd.
    168,000       4,104,583  
NGK Spark Plug Co., Ltd.
    3,000       89,692  
NHK Spring Co., Ltd.
    2,200       21,545  
Nifco, Inc.
    476,300       15,659,972  
Nissan Motor Co., Ltd.
    38,900       381,625  
NOK Corp.
    1,600       32,671  
Stanley Electric Co., Ltd.
    2,200       57,062  
 
 
 
8 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Sumitomo Rubber Industries Ltd.
    2,600       37,659  
Suzuki Motor Corp.
    5,900       196,883  
The Yokohama Rubber Co., Ltd.
    3,000       25,975  
Toyoda Gosei Co., Ltd.
    1,000       20,309  
Toyota Industries Corp.
    2,514       122,478  
Toyota Motor Corp.
    266,377       15,726,901  
Yamaha Motor Co., Ltd.
    4,200       69,577  
                 
              64,755,022  
                 
 
Banks 0.7%
Aozora Bank Ltd.
    16,000       54,369  
Fukuoka Financial Group, Inc.
    12,000       61,389  
Hokuhoku Financial Group, Inc.
    15,000       30,798  
Mitsubishi UFJ Financial Group, Inc.
    199,600       1,177,101  
Mizuho Financial Group, Inc.
    360,900       700,677  
Resona Holdings, Inc.
    33,900       188,910  
Seven Bank Ltd.
    8,900       35,716  
Shinsei Bank Ltd.
    28,000       59,207  
Sumitomo Mitsui Financial Group, Inc.
    228,100       9,298,376  
Sumitomo Mitsui Trust Holdings, Inc.
    53,000       230,640  
Suruga Bank Ltd.
    122,000       2,378,834  
The Bank of Kyoto Ltd.
    5,000       45,418  
The Bank of Yokohama Ltd.
    19,000       108,113  
The Chiba Bank Ltd.
    12,000       87,354  
The Chugoku Bank Ltd.
    3,000       46,093  
The Gunma Bank Ltd.
    6,000       35,303  
The Hachijuni Bank Ltd.
    7,000       43,032  
The Hiroshima Bank Ltd.
    8,000       38,821  
The Iyo Bank Ltd.
    4,000       40,519  
The Joyo Bank Ltd.
    10,000       53,206  
The Shizuoka Bank Ltd.
    8,454       91,113  
Yamaguchi Financial Group, Inc.
    3,274       33,536  
                 
              14,838,525  
                 
 
Capital Goods 2.8%
Aica Kogyo Co., Ltd.
    277,100       5,973,530  
Aida Engineering Ltd.
    517,800       4,924,824  
Amada Co., Ltd.
    6,000       58,278  
Asahi Glass Co., Ltd.
    16,000       94,813  
Chiyoda Corp.
    2,417       28,617  
Daifuku Co., Ltd.
    430,700       5,934,763  
Daikin Industries Ltd.
    86,400       5,933,862  
FANUC Corp.
    25,199       4,355,150  
Fuji Electric Co., Ltd.
    8,000       41,250  
Hino Motors Ltd.
    4,000       55,316  
Hitachi Construction Machinery Co., Ltd.
    1,600       32,657  
Hoshizaki Electric Co., Ltd.
    122,100       6,216,663  
IHI Corp.
    20,000       92,490  
ITOCHU Corp.
    226,800       2,887,784  
JGC Corp.
    3,000       90,907  
JTEKT Corp.
    3,300       57,133  
Kajima Corp.
    13,000       60,451  
Kanamoto Co., Ltd.
    155,100       6,483,491  
Kawasaki Heavy Industries Ltd.
    23,000       89,473  
Komatsu Ltd.
    14,600       323,789  
Kubota Corp.
    17,000       223,810  
Kurita Water Industries Ltd.
    1,700       39,063  
LIXIL Group Corp.
    4,000       96,967  
Mabuchi Motor Co., Ltd.
    400       31,547  
Makita Corp.
    1,700       100,550  
Marubeni Corp.
    25,445       178,828  
Minebea Co., Ltd.
    118,124       1,405,351  
Mitsubishi Corp.
    22,149       466,721  
Mitsubishi Electric Corp.
    30,000       396,046  
Mitsubishi Heavy Industries Ltd.
    48,000       312,894  
Mitsui & Co., Ltd.
    27,200       436,217  
Nabtesco Corp.
    1,400       31,630  
NGK Insulators Ltd.
    4,000       94,641  
Nidec Corp.
    36,100       2,351,073  
NSK Ltd.
    7,000       98,478  
Obayashi Corp.
    10,000       72,983  
Sanwa Holdings Corp.
    626,000       4,412,601  
Shimizu Corp.
    9,000       68,936  
SMC Corp.
    10,637       2,936,648  
Sumitomo Corp.
    17,400       229,298  
Sumitomo Electric Industries Ltd.
    11,800       172,958  
Sumitomo Heavy Industries Ltd.
    9,000       43,985  
Tadano Ltd.
    383,000       6,653,908  
Taisei Corp.
    15,000       84,594  
THK Co., Ltd.
    1,800       43,317  
Toshiba Corp.
    62,000       275,755  
TOTO Ltd.
    4,313       54,062  
Toyota Tsusho Corp.
    3,200       88,962  
                 
              65,137,064  
                 
 
Commercial & Professional Supplies 0.5%
Dai Nippon Printing Co., Ltd.
    9,000       92,325  
Meitec Corp.
    34,900       1,150,672  
Park24 Co., Ltd.
    1,500       27,518  
Secom Co., Ltd.
    61,500       3,740,807  
Sohgo Security Services Co., Ltd.
    235,100       5,340,770  
Temp Holdings Co., Ltd.
    15,800       501,086  
Toppan Printing Co., Ltd.
    9,000       68,556  
                 
              10,921,734  
                 
 
Consumer Durables & Apparel 0.3%
Asics Corp.
    2,200       46,690  
Bandai Namco Holdings, Inc.
    2,900       73,396  
Casio Computer Co., Ltd.
    3,600       60,571  
Fujitsu General Ltd.
    449,000       6,197,870  
Iida Group Holdings Co., Ltd.
    2,000       29,799  
Nikon Corp.
    5,300       82,202  
Panasonic Corp.
    35,200       438,889  
Rinnai Corp.
    500       45,523  
Sankyo Co., Ltd.
    800       31,130  
Sega Sammy Holdings, Inc.
    3,200       63,301  
Sekisui Chemical Co., Ltd.
    7,000       83,933  
Sekisui House Ltd.
    8,355       109,658  
Sharp Corp. *
    24,419       76,060  
Shimano, Inc.
    1,145       133,668  
Sony Corp.
    16,500       300,725  
Yamaha Corp.
    2,400       36,571  
                 
              7,809,986  
                 
 
Consumer Services 0.0%
Benesse Holdings, Inc.
    1,000       37,672  
McDonald’s Holdings Co., Ltd.
    1,000       25,169  
Oriental Land Co., Ltd.
    800       150,229  
                 
              213,070  
                 
 
Diversified Financials 1.2%
Acom Co., Ltd. *
    6,100       24,019  
AEON Financial Service Co., Ltd.
    2,000       45,580  
 
 
 
 9

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Century Tokyo Leasing Corp.
    15,900       510,549  
Credit Saison Co., Ltd.
    2,600       51,157  
Daiwa Securities Group, Inc.
    1,627,000       13,660,261  
Japan Exchange Group, Inc.
    4,000       91,006  
Mitsubishi UFJ Lease & Finance Co., Ltd.
    8,700       48,730  
Nomura Holdings, Inc.
    56,200       354,823  
ORIX Corp.
    453,300       7,325,905  
SBI Holdings, Inc.
    3,336       38,920  
Zenkoku Hosho Co., Ltd.
    215,100       5,459,595  
                 
              27,610,545  
                 
 
Energy 0.0%
Idemitsu Kosan Co., Ltd.
    1,300       26,571  
Inpex Corp.
    13,600       201,561  
JX Holdings, Inc.
    34,900       179,459  
Showa Shell Sekiyu K.K.
    2,800       31,580  
TonenGeneral Sekiyu K.K.
    4,367       38,139  
                 
              477,310  
                 
 
Food & Staples Retailing 0.1%
Aeon Co., Ltd.
    9,500       106,667  
FamilyMart Co., Ltd.
    1,000       44,911  
Lawson, Inc.
    929       69,570  
Seven & i Holdings Co., Ltd.
    11,700       486,902  
Tsuruha Holdings, Inc.
    19,400       1,113,648  
                 
              1,821,698  
                 
 
Food, Beverage & Tobacco 0.2%
Ajinomoto Co., Inc.
    9,142       140,532  
Ariake Japan Co., Ltd.
    131,000       3,319,762  
Asahi Group Holdings Ltd.
    6,100       183,968  
Calbee, Inc.
    1,200       35,637  
Japan Tobacco, Inc.
    17,300       608,398  
Kikkoman Corp.
    2,314       50,679  
Kirin Holdings Co., Ltd.
    12,900       180,822  
MEIJI Holdings Co., Ltd.
    1,000       71,676  
NH Foods Ltd.
    3,000       61,412  
Nisshin Seifun Group, Inc.
    3,300       38,537  
Nissin Foods Holdings Co., Ltd.
    900       49,452  
Suntory Beverage & Food Ltd.
    2,300       86,191  
Toyo Suisan Kaisha Ltd.
    1,365       41,403  
Yakult Honsha Co., Ltd.
    1,500       79,258  
Yamazaki Baking Co., Ltd.
    2,000       25,315  
                 
              4,973,042  
                 
 
Health Care Equipment & Services 1.2%
Alfresa Holdings Corp.
    600       35,820  
Hogy Medical Co., Ltd.
    97,200       5,428,528  
M3, Inc.
    274,300       4,427,185  
Medipal Holdings Corp.
    2,200       27,726  
Miraca Holdings, Inc.
    110,200       5,100,045  
Nihon Kohden Corp.
    113,400       5,571,821  
Olympus Corp. *
    174,700       6,286,366  
Suzuken Co., Ltd.
    1,100       35,071  
Sysmex Corp.
    28,200       1,094,738  
Terumo Corp.
    4,800       108,840  
                 
              28,116,140  
                 
 
Household & Personal Products 0.2%
Kao Corp.
    104,000       4,276,917  
Shiseido Co., Ltd.
    5,400       106,428  
Unicharm Corp.
    1,800       110,219  
                 
              4,493,564  
                 
 
Insurance 0.0%
MS&AD Insurance Group Holdings, Inc.
    7,810       177,774  
NKSJ Holdings, Inc.
    5,200       131,308  
Sony Financial Holdings, Inc.
    2,600       42,581  
T&D Holdings, Inc.
    8,700       109,190  
The Dai-ichi Life Insurance Co., Ltd.
    16,700       235,247  
Tokio Marine Holdings, Inc.
    11,000       345,914  
                 
              1,042,014  
                 
 
Materials 0.6%
Air Water, Inc.
    2,278       36,432  
Asahi Kasei Corp.
    360,463       2,848,783  
Daicel Corp.
    5,000       50,462  
Daido Steel Co., Ltd.
    4,373       20,435  
Hitachi Chemical Co., Ltd.
    1,600       28,144  
Hitachi Metals Ltd.
    3,000       48,784  
JFE Holdings, Inc.
    8,000       168,848  
JSR Corp.
    2,700       46,553  
Kaneka Corp.
    4,337       26,083  
Kansai Paint Co., Ltd.
    3,373       56,524  
Kobe Steel Ltd.
    47,000       76,508  
Kuraray Co., Ltd.
    5,200       68,112  
Kureha Corp.
    1,073,000       5,722,852  
Maruichi Steel Tube Ltd.
    700       19,377  
Mitsubishi Chemical Holdings Corp.
    20,500       89,721  
Mitsubishi Gas Chemical Co., Inc.
    6,000       38,991  
Mitsubishi Materials Corp.
    17,000       61,799  
Mitsui Chemicals, Inc.
    12,000       32,350  
Nippon Kayaku Co., Ltd.
    49,000       621,142  
Nippon Paint Co., Ltd.
    3,000       69,125  
Nippon Steel & Sumitomo Metal Corp.
    120,000       362,359  
Nitto Denko Corp.
    2,500       111,566  
Oji Holdings Corp.
    13,000       52,321  
OSAKA Titanium technologies Co., Ltd.
    105,900       2,871,374  
Shin-Etsu Chemical Co., Ltd.
    6,424       407,463  
Sumitomo Chemical Co., Ltd.
    24,000       91,225  
Sumitomo Metal Mining Co., Ltd.
    8,000       133,274  
Taiheiyo Cement Corp.
    20,000       77,436  
Taiyo Nippon Sanso Corp.
    4,000       35,076  
Teijin Ltd.
    14,000       34,670  
Toray Industries, Inc.
    23,000       155,683  
Toyo Seikan Group Holdings Ltd.
    2,300       35,821  
Yamato Kogyo Co., Ltd.
    600       19,503  
                 
              14,518,796  
                 
 
Media 0.0%
Dentsu, Inc.
    3,600       142,582  
Hakuhodo DY Holdings, Inc.
    3,500       36,746  
Toho Co., Ltd.
    1,700       41,235  
                 
              220,563  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.3%
Astellas Pharma, Inc.
    295,500       4,007,158  
Chugai Pharmaceutical Co., Ltd.
    3,400       113,162  
Daiichi Sankyo Co., Ltd.
    10,500       190,929  
Eisai Co., Ltd.
    3,800       160,968  
Hisamitsu Pharmaceutical Co., Inc.
    900       35,850  
Kyowa Hakko Kirin Co., Ltd.
    4,000       54,954  
 
 
 
10 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Mitsubishi Tanabe Pharma Corp.
    3,400       49,387  
Ono Pharmaceutical Co., Ltd.
    1,300       109,966  
Otsuka Holdings Co., Ltd.
    5,900       187,872  
Santen Pharmaceutical Co., Ltd.
    1,100       64,846  
Shionogi & Co., Ltd.
    4,500       97,150  
Sumitomo Dainippon Pharma Co., Ltd.
    2,400       29,340  
Taisho Pharmaceutical Holdings Co., Ltd.
    600       42,713  
Takeda Pharmaceutical Co., Ltd.
    12,500       570,156  
                 
              5,714,451  
                 
 
Real Estate 0.4%
Aeon Mall Co., Ltd.
    2,100       49,210  
Daito Trust Construction Co., Ltd.
    23,500       2,832,361  
Daiwa House Industry Co., Ltd.
    9,000       182,693  
Hulic Co., Ltd.
    3,700       43,577  
Japan Prime Realty Investment Corp.
    11       38,056  
Japan Real Estate Investment Corp.
    18       101,177  
Japan Retail Fund Investment Corp.
    34       74,922  
Mitsubishi Estate Co., Ltd.
    19,587       478,963  
Mitsui Fudosan Co., Ltd.
    15,000       495,357  
Nippon Building Fund, Inc.
    22       123,513  
Nippon Prologis REIT, Inc.
    20       46,520  
Nomura Real Estate Holdings, Inc.
    2,000       37,160  
NTT Urban Development Corp.
    1,700       18,521  
Sumitomo Realty & Development Co., Ltd.
    86,495       3,571,222  
Tokyo Tatemono Co., Ltd.
    6,460       55,174  
Tokyu Fudosan Holdings Corp.
    8,800       66,746  
United Urban Investment Corp.
    41       65,840  
                 
              8,281,012  
                 
 
Retailing 0.7%
ABC-Mart, Inc.
    400       21,602  
Don Quijote Holdings Co., Ltd.
    800       43,227  
Fast Retailing Co., Ltd.
    830       274,023  
Hikari Tsushin, Inc.
    300       21,964  
Isetan Mitsukoshi Holdings Ltd.
    5,600       69,394  
J. Front Retailing Co., Ltd.
    7,000       47,169  
Marui Group Co., Ltd.
    3,300       31,843  
Nitori Holdings Co., Ltd.
    27,600       1,550,314  
Rakuten, Inc.
    11,400       149,716  
Ryohin Keikaku Co., Ltd.
    53,900       6,505,220  
Sanrio Co., Ltd.
    700       20,175  
Seria Co., Ltd.
    126,200       5,486,089  
Shimamura Co., Ltd.
    342       33,916  
Start Today Co., Ltd.
    43,100       1,141,819  
Takashimaya Co., Ltd.
    4,000       36,787  
USS Co., Ltd.
    3,300       57,649  
Yamada Denki Co., Ltd.
    14,200       50,399  
                 
              15,541,306  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
Advantest Corp.
    2,200       24,562  
Rohm Co., Ltd.
    1,500       84,563  
Tokyo Electron Ltd.
    2,700       176,373  
                 
              285,498  
                 
 
Software & Services 0.3%
Dena Co., Ltd.
    1,500       19,346  
F@N Communications, Inc.
    238,100       3,652,174  
Fujitsu Ltd.
    29,000       222,299  
Gree, Inc. *
    1,400       11,053  
GungHo Online Entertainment, Inc.
    6,400       36,031  
Itochu Techno-Solutions Corp.
    400       17,889  
Kakaku.com, Inc.
    2,000       33,848  
Konami Corp.
    1,400       32,503  
Nexon Co., Ltd.
    1,600       15,436  
Nintendo Co., Ltd.
    1,700       188,853  
Nomura Research Institute Ltd.
    1,500       47,228  
NTT Data Corp.
    1,900       72,356  
Oracle Corp., Japan
    600       25,422  
Otsuka Corp.
    17,800       811,028  
SCSK Corp.
    27,600       763,272  
Trend Micro, Inc.
    1,600       56,956  
Yahoo Japan Corp.
    21,800       98,639  
                 
              6,104,333  
                 
 
Technology Hardware & Equipment 1.9%
Brother Industries Ltd.
    3,500       62,620  
Canon, Inc.
    322,260       10,542,816  
Citizen Holdings Co., Ltd.
    3,900       31,009  
FUJIFILM Holdings Corp.
    7,200       205,530  
Hamamatsu Photonics K.K.
    1,000       47,007  
Hirose Electric Co., Ltd.
    500       70,272  
Hitachi High-Technologies Corp.
    900       24,142  
Hitachi Ltd.
    76,000       589,061  
Horiba Ltd.
    87,300       3,045,261  
Hoya Corp.
    112,900       3,655,537  
Ibiden Co., Ltd.
    1,800       35,968  
Japan Aviation Electronics Industry Ltd.
    245,000       5,041,371  
Japan Display, Inc. *
    5,500       31,429  
Keyence Corp.
    10,000       4,356,447  
Konica Minolta, Inc.
    8,000       85,407  
Kyocera Corp.
    5,200       251,873  
Murata Manufacturing Co., Ltd.
    44,624       4,253,795  
NEC Corp.
    39,000       150,573  
Nippon Electric Glass Co., Ltd.
    6,000       33,615  
Omron Corp.
    62,700       2,780,915  
Ricoh Co., Ltd.
    10,000       114,475  
Seiko Epson Corp.
    158,800       6,797,573  
Shimadzu Corp.
    4,000       38,287  
TDK Corp.
    1,900       91,145  
Yaskawa Electric Corp.
    3,321       43,282  
Yokogawa Electric Corp.
    3,200       40,304  
                 
              42,419,714  
                 
 
Telecommunication Services 0.1%
KDDI Corp.
    9,100       523,094  
Nippon Telegraph & Telephone Corp.
    5,900       391,785  
NTT DOCOMO, Inc.
    23,700       415,607  
SoftBank Corp.
    15,031       1,080,552  
                 
              2,411,038  
                 
 
Transportation 0.1%
ANA Holdings, Inc.
    19,000       47,006  
Central Japan Railway Co.
    2,300       326,650  
East Japan Railway Co.
    5,238       419,601  
Hankyu Hanshin Holdings, Inc.
    17,000       98,972  
Japan Airlines Co., Ltd.
    900       49,714  
Kamigumi Co., Ltd.
    4,000       38,257  
 
 
 
 11

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Keikyu Corp.
    7,000       61,670  
Keio Corp.
    9,000       71,785  
Keisei Electric Railway Co., Ltd.
    4,266       43,733  
Kintetsu Corp.
    30,000       109,241  
Mitsubishi Logistics Corp.
    2,000       30,323  
Mitsui O.S.K. Lines, Ltd.
    17,000       62,989  
Nagoya Railroad Co., Ltd.
    13,000       54,400  
Nippon Express Co., Ltd.
    13,000       62,866  
Nippon Yusen K.K.
    27,000       77,361  
Odakyu Electric Railway Co., Ltd.
    10,000       97,962  
Tobu Railway Co., Ltd.
    16,000       83,772  
Tokyu Corp.
    17,000       122,216  
West Japan Railway Co.
    2,700       122,462  
Yamato Holdings Co., Ltd.
    6,000       124,984  
                 
              2,105,964  
                 
 
Utilities 0.0%
Chubu Electric Power Co., Inc. *
    9,931       115,444  
Electric Power Development Co., Ltd.
    1,900       61,213  
Hokuriku Electric Power Co.
    2,500       32,376  
Kyushu Electric Power Co., Inc. *
    6,400       71,062  
Osaka Gas Co., Ltd.
    30,000       124,779  
Shikoku Electric Power Co., Inc. *
    2,700       35,601  
The Chugoku Electric Power Co., Inc.
    4,500       59,830  
The Kansai Electric Power Co., Inc. *
    11,700       106,870  
Toho Gas Co., Ltd.
    6,330       34,977  
Tohoku Electric Power Co., Inc.
    6,800       74,252  
Tokyo Electric Power Co., Inc. *
    21,700       84,665  
Tokyo Gas Co., Ltd.
    37,000       211,370  
                 
              1,012,439  
                 
              330,824,828  
 
Luxembourg 0.4%
                 
 
Energy 0.0%
Subsea 7 S.A.
    4,220       70,486  
                 
 
Materials 0.4%
APERAM *
    265,850       8,946,753  
ArcelorMittal
    15,267       231,829  
                 
              9,178,582  
                 
 
Media 0.0%
RTL Group S.A. *
    650       66,168  
SES S.A.
    4,895       179,925  
                 
              246,093  
                 
 
Telecommunication Services 0.0%
Millicom International Cellular S.A. SDR
    976       83,039  
                 
              9,578,200  
 
Malaysia 0.2%
                 
 
Food & Staples Retailing 0.2%
7-Eleven Malaysia Holdings Bhd, Class B *
    7,809,000       4,691,264  
 
Mexico 0.0%
                 
 
Food, Beverage & Tobacco 0.0%
Arca Continental SAB de CV
    31,252       220,490  
                 
 
Real Estate 0.0%
Fibra Uno Administracion S.A. de C.V.
    37,700       132,492  
                 
              352,982  
 
Netherlands 2.5%
                 
 
Capital Goods 1.7%
Airbus Group N.V.
    9,176       532,393  
CNH Industrial N.V.
    1,431,240       13,210,226  
Koninklijke Boskalis Westminster N.V.
    276,903       14,789,033  
Koninklijke Philips N.V.
    342,730       10,563,133  
OCI *
    1,395       53,304  
                 
              39,148,089  
                 
 
Commercial & Professional Supplies 0.0%
Randstad Holding N.V.
    2,034       100,827  
                 
 
Diversified Financials 0.0%
ING Groep N.V. CVA *
    60,769       789,242  
                 
 
Energy 0.0%
Fugro N.V. CVA
    1,074       41,356  
Koninklijke Vopak N.V.
    1,054       48,789  
                 
              90,145  
                 
 
Food & Staples Retailing 0.1%
Koninklijke Ahold N.V.
    103,586       1,806,159  
                 
 
Food, Beverage & Tobacco 0.4%
Heineken Holding N.V.
    103,959       6,618,851  
Heineken N.V.
    3,567       250,565  
Unilever N.V. CVA
    25,519       1,050,260  
                 
              7,919,676  
                 
 
Insurance 0.0%
Aegon N.V.
    29,353       238,043  
Delta Lloyd N.V.
    3,237       74,771  
                 
              312,814  
                 
 
Materials 0.1%
Akzo Nobel N.V.
    30,024       2,162,436  
James Hardie Industries plc CDI
    6,557       81,429  
Koninklijke DSM N.V.
    2,484       171,603  
                 
              2,415,468  
                 
 
Media 0.0%
Altice S.A. *
    923       52,966  
Reed Elsevier N.V.
    10,856       244,374  
Wolters Kluwer N.V.
    4,864       134,764  
                 
              432,104  
                 
 
Real Estate 0.0%
Corio N.V.
    1,140       60,564  
                 
 
Semiconductors & Semiconductor Equipment 0.2%
ASML Holding N.V.
    5,655       533,324  
NXP Semiconductor N.V. *
    59,974       3,739,379  
                 
              4,272,703  
                 
 
Software & Services 0.0%
Gemalto N.V.
    1,284       125,404  
 
 
 
12 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
                 
 
Telecommunication Services 0.0%
Koninklijke (Royal) KPN N.V. *
    51,294       164,020  
Ziggo N.V.
    2,466       111,205  
                 
              275,225  
                 
 
Transportation 0.0%
TNT Express N.V.
    7,416       59,759  
                 
              57,808,179  
 
New Zealand 0.5%
                 
 
Consumer Services 0.2%
SKYCITY Entertainment Group Ltd.
    1,214,874       3,868,509  
                 
 
Health Care Equipment & Services 0.0%
Ryman Healthcare Ltd.
    106,421       729,301  
                 
 
Materials 0.0%
Fletcher Building Ltd.
    10,175       78,317  
                 
 
Software & Services 0.0%
Xero Ltd. *
    968       20,385  
                 
 
Telecommunication Services 0.0%
Telecom Corp. of New Zealand Ltd.
    28,860       69,627  
                 
 
Transportation 0.3%
Auckland International Airport Ltd.
    2,245,083       7,258,161  
                 
 
Utilities 0.0%
Contact Energy Ltd.
    5,211       24,470  
                 
              12,048,770  
 
Norway 0.6%
                 
 
Banks 0.0%
DNB A.S.A.
    15,192       269,226  
                 
 
Capital Goods 0.2%
Hexagon Composites A.S.A.
    868,360       5,067,148  
                 
 
Energy 0.2%
Aker Solutions A.S.A.
    2,465       36,379  
BW LPG Ltd.
    201,750       2,595,690  
Farstad Shipping A.S.A. (b)
    94,566       1,720,769  
Seadrill Ltd.
    6,042       217,072  
Statoil A.S.A.
    17,457       498,826  
                 
              5,068,736  
                 
 
Food, Beverage & Tobacco 0.0%
Orkla A.S.A.
    11,571       104,736  
                 
 
Insurance 0.1%
Gjensidige Forsikring A.S.A.
    46,898       907,171  
                 
 
Materials 0.0%
Norsk Hydro A.S.A.
    20,042       118,821  
Yara International A.S.A.
    2,941       134,784  
                 
              253,605  
                 
 
Telecommunication Services 0.1%
Telenor A.S.A.
    32,536       748,752  
                 
              12,419,374  
 
Peru 0.1%
                 
 
Banks 0.1%
Credicorp Ltd.
    13,111       1,939,379  
 
Poland 0.0%
                 
 
Banks 0.0%
Powszechna Kasa Oszczednosci Bank Polski S.A.
    45,801       520,857  
 
Portugal 0.1%
                 
 
Banks 0.0%
Banco Comercial Portugues S.A., Class R *
    507,681       72,506  
Banco Espirito Santo S.A. - Reg’d *
    42,176       11,321  
                 
              83,827  
                 
 
Energy 0.0%
Galp Energia, SGPS, S.A.
    6,040       107,205  
                 
 
Food & Staples Retailing 0.1%
Jeronimo Martins, SGPS, S.A.
    4,439       58,023  
Sonae
    1,878,870       2,823,475  
                 
              2,881,498  
                 
 
Utilities 0.0%
EDP - Energias de Portugal S.A.
    32,603       152,683  
                 
              3,225,213  
 
Republic of Korea 1.6%
                 
 
Consumer Durables & Apparel 0.3%
Coway Co., Ltd.
    11,027       950,509  
Hanssem Co., Ltd.
    64,110       5,821,749  
                 
              6,772,258  
                 
 
Consumer Services 0.3%
Hotel Shilla Co., Ltd.
    71,520       7,620,809  
                 
 
Household & Personal Products 0.2%
Cosmax, Inc. *
    59,880       5,476,208  
                 
 
Semiconductors & Semiconductor Equipment 0.7%
Samsung Electronics Co., Ltd.
    9,501       12,296,325  
Seoul Semiconductor Co., Ltd.
    77,730       2,145,257  
SK Hynix, Inc. *
    40,600       1,766,488  
                 
              16,208,070  
                 
 
Software & Services 0.1%
NAVER Corp.
    1,708       1,219,591  
                 
              37,296,936  
 
Singapore 2.9%
                 
 
Banks 0.0%
DBS Group Holdings Ltd.
    27,316       397,976  
Oversea-Chinese Banking Corp., Ltd.
    40,790       325,541  
United Overseas Bank Ltd.
    20,001       385,982  
                 
              1,109,499  
                 
 
Capital Goods 0.2%
Keppel Corp., Ltd.
    22,000       192,830  
Sarine Technologies Ltd.
    1,368,000       3,112,356  
Sembcorp Industries Ltd.
    15,000       65,686  
Sembcorp Marine Ltd.
    13,000       43,025  
Singapore Technologies Engineering Ltd.
    166,000       504,134  
 
 
 
 13

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Yangzijiang Shipbuilding Holdings Ltd.
    29,000       25,207  
                 
              3,943,238  
                 
 
Consumer Services 0.0%
Genting Singapore plc
    96,000       102,364  
                 
 
Diversified Financials 0.0%
Singapore Exchange Ltd.
    13,000       73,338  
                 
 
Energy 0.2%
Ezra Holdings Ltd.
    5,292,000       4,959,972  
                 
 
Food & Staples Retailing 0.0%
Olam International Ltd.
    8,000       15,840  
                 
 
Food, Beverage & Tobacco 0.0%
Golden Agri-Resources Ltd.
    117,000       49,946  
Wilmar International Ltd.
    29,000       75,715  
                 
              125,661  
                 
 
Media 0.0%
Singapore Press Holdings Ltd.
    26,000       86,389  
                 
 
Real Estate 1.0%
Ascendas REIT
    4,825,000       9,002,738  
CapitaCommercial Trust
    30,000       40,008  
CapitaLand Ltd.
    38,000       104,716  
CapitaMall Trust
    7,972,200       12,560,832  
City Developments Ltd.
    6,427       54,281  
Global Logistic Properties Ltd.
    51,000       113,535  
Keppel Land Ltd.
    11,000       31,993  
UOL Group Ltd.
    7,000       37,086  
                 
              21,945,189  
                 
 
Retailing 0.2%
Jardine Cycle & Carriage Ltd.
    2,000       74,320  
OSIM International Ltd.
    1,996,000       4,578,613  
                 
              4,652,933  
                 
 
Telecommunication Services 0.3%
Singapore Telecommunications Ltd.
    127,000       411,045  
StarHub Ltd.
    2,099,000       7,150,789  
                 
              7,561,834  
                 
 
Transportation 0.8%
ComfortDelGro Corp., Ltd.
    28,000       57,869  
Hutchison Port Holdings Trust, Class U
    78,000       58,031  
SATS Ltd.
    3,321,000       7,986,021  
SIA Engineering Co., Ltd. (b)
    2,691,000       9,998,783  
Singapore Airlines Ltd.
    8,331       68,460  
                 
              18,169,164  
                 
 
Utilities 0.2%
Hyflux Ltd.
    4,406,000       4,182,076  
                 
              66,927,497  
 
South Africa 0.1%
                 
 
Capital Goods 0.1%
Bidvest Group Ltd.
    69,594       1,872,174  
 
Spain 1.8%
                 
 
Banks 0.5%
Banco Bilbao Vizcaya Argentaria S.A.
    498,753       6,131,018  
Banco de Sabadell S.A.
    55,185       179,140  
Banco Popular Espanol S.A.
    25,433       155,204  
Banco Santander S.A.
    184,775       1,856,488  
Bankia S.A. *
    63,568       124,534  
Bankinter S.A.
    266,337       2,299,721  
CaixaBank S.A.
    28,631       172,164  
                 
              10,918,269  
                 
 
Capital Goods 0.1%
ACS, Actividades de Construccion y Servicios S.A.
    2,961       129,501  
Ferrovial S.A.
    6,676       139,881  
Gamesa Corp. Tecnologica S.A. *
    221,430       2,772,798  
Zardoya Otis S.A.
    2,289       35,011  
                 
              3,077,191  
                 
 
Commercial & Professional Supplies 0.3%
Applus Services S.A. *
    75,370       1,213,109  
Prosegur Cia de Seguridad S.A. - Reg’d
    679,458       4,583,852  
                 
              5,796,961  
                 
 
Consumer Services 0.2%
Melia Hotels International S.A.
    437,520       5,075,111  
                 
 
Energy 0.2%
Repsol S.A.
    191,444       4,774,145  
                 
 
Food & Staples Retailing 0.0%
Distribuidora Internacional de Alimentacion S.A.
    8,853       73,380  
                 
 
Insurance 0.0%
Mapfre S.A.
    234,670       902,629  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.1%
Grifols S.A.
    29,685       1,339,916  
                 
 
Retailing 0.1%
Inditex S.A.
    43,575       1,272,955  
                 
 
Software & Services 0.2%
Amadeus IT Holding S.A., A Shares
    93,606       3,683,457  
                 
 
Telecommunication Services 0.0%
Telefonica S.A.
    64,456       1,050,794  
                 
 
Transportation 0.1%
Abertis Infraestructuras S.A.
    94,699       2,075,560  
International Consolidated Airlines Group S.A. *
    15,698       87,824  
                 
              2,163,384  
                 
 
Utilities 0.0%
Enagas S.A.
    3,153       104,899  
Gas Natural SDG S.A.
    5,670       174,198  
Iberdrola S.A.
    79,263       589,689  
Red Electrica Corp. S.A.
    1,623       139,463  
                 
              1,008,249  
                 
              41,136,441  
 
 
 
14 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
Sweden 2.9%
                 
 
Banks 0.1%
Nordea Bank AB
    47,715       639,895  
Skandinaviska Enskilda Banken AB, A Shares
    24,515       328,181  
Svenska Handelsbanken AB, A Shares
    7,786       374,977  
Swedbank AB, A Shares
    14,311       366,614  
                 
              1,709,667  
                 
 
Capital Goods 1.2%
Alfa Laval AB
    5,063       114,972  
Assa Abloy AB, B Shares
    5,318       261,302  
Atlas Copco AB, A Shares
    189,439       5,651,887  
Atlas Copco AB, B Shares
    182,950       4,937,242  
Haldex AB
    488,880       6,449,230  
Sandvik AB
    17,264       217,164  
Skanska AB, B Shares
    5,997       124,609  
SKF AB, B Shares
    347,816       8,198,774  
Volvo AB, B Shares
    24,158       294,938  
                 
              26,250,118  
                 
 
Commercial & Professional Supplies 0.3%
AF AB, B Shares
    337,926       5,651,451  
Intrum Justitia AB
    25,359       775,991  
Securitas AB, B Shares
    4,695       54,588  
                 
              6,482,030  
                 
 
Consumer Durables & Apparel 0.0%
Electrolux AB, B Shares
    3,606       89,436  
Husqvarna AB, B Shares
    6,685       52,728  
                 
              142,164  
                 
 
Diversified Financials 0.1%
Avanza Bank Holding AB
    78,110       2,763,142  
Industrivarden AB, C Shares
    1,765       32,809  
Investment AB Kinnevik, B Shares
    3,776       156,732  
Investor AB, B Shares
    7,103       255,345  
                 
              3,208,028  
                 
 
Energy 0.0%
Lundin Petroleum AB *
    3,337       59,811  
                 
 
Food, Beverage & Tobacco 0.3%
AAK AB
    58,240       3,317,797  
Cloetta AB, B Shares *
    864,180       2,583,590  
Swedish Match AB
    3,051       100,002  
                 
              6,001,389  
                 
 
Health Care Equipment & Services 0.0%
Elekta AB, B Shares
    5,993       73,434  
Getinge AB, B Shares
    3,001       73,405  
                 
              146,839  
                 
 
Household & Personal Products 0.0%
Svenska Cellulosa AB, S.C.A., B Shares
    9,015       222,004  
                 
 
Materials 0.3%
Boliden AB
    4,101       66,437  
Hexpol AB
    75,248       6,321,350  
                 
              6,387,787  
                 
 
Retailing 0.6%
Clas Ohlson AB, B Shares
    251,450       4,784,264  
Hennes & Mauritz AB, B Shares
    213,563       8,730,762  
                 
              13,515,026  
                 
 
Technology Hardware & Equipment 0.0%
Hexagon AB, B Shares
    3,800       117,842  
Telefonaktiebolaget LM Ericsson, B Shares
    48,039       598,176  
                 
              716,018  
                 
 
Telecommunication Services 0.0%
Tele2 AB, B Shares
    4,754       57,996  
TeliaSonera AB
    36,468       273,135  
                 
              331,131  
                 
              65,172,012  
 
Switzerland 6.8%
                 
 
Capital Goods 0.8%
ABB Ltd. - Reg’d *
    34,632       796,462  
Belimo Holding AG - Reg’d
    153       405,082  
Burckhardt Compression Holding AG
    19,596       10,219,694  
Geberit AG - Reg’d
    7,056       2,364,295  
Schindler Holding AG
    21,320       3,186,233  
Schindler Holding AG - Reg’d
    323       47,843  
Sulzer AG - Reg’d
    360       47,604  
                 
              17,067,213  
                 
 
Commercial & Professional Supplies 0.3%
Adecco S.A. - Reg’d *
    101,186       7,568,564  
SGS S.A. - Reg’d
    86       187,346  
                 
              7,755,910  
                 
 
Consumer Durables & Apparel 0.6%
Cie Financiere Richemont S.A.
    142,967       13,566,455  
The Swatch Group AG - Bearer Shares
    479       255,442  
The Swatch Group AG - Reg’d
    651       65,189  
                 
              13,887,086  
                 
 
Diversified Financials 1.6%
Cembra Money Bank AG
    61,787       3,527,877  
Credit Suisse Group AG - Reg’d *
    873,349       23,691,996  
Julius Baer Group Ltd. *
    3,591       152,338  
Leonteq AG *
    29,520       5,908,873  
Pargesa Holding S.A.
    405       34,281  
Partners Group Holding AG
    12,025       3,014,370  
UBS AG - Reg’d *
    57,116       981,340  
                 
              37,311,075  
                 
 
Energy 0.0%
Transocean Ltd.
    5,774       232,024  
                 
 
Food, Beverage & Tobacco 0.8%
Aryzta AG *
    1,308       118,309  
Barry Callebaut AG - Reg’d *
    38       46,726  
Coca-Cola HBC AG CDI *
    3,294       77,174  
Lindt & Spruengli AG
    15       77,975  
Lindt & Spruengli AG - Reg’d
    2       124,633  
Nestle S.A. - Reg’d
    228,159       16,892,893  
                 
              17,337,710  
                 
 
Health Care Equipment & Services 0.1%
Sonova Holding AG - Reg’d
    10,922       1,694,595  
 
 
 
 15

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Straumann Holding AG - Reg’d
    3,876       914,595  
                 
              2,609,190  
                 
 
Insurance 0.1%
Baloise Holding AG - Reg’d
    712       85,728  
Swiss Life Holding AG - Reg’d *
    523       120,943  
Swiss Re AG *
    5,505       467,966  
Zurich Insurance Group AG *
    2,338       679,212  
                 
              1,353,849  
                 
 
Materials 1.1%
Clariant AG - Reg’d *
    125,381       2,334,203  
EMS-Chemie Holding AG - Reg’d
    124       53,431  
Givaudan S.A. - Reg’d *
    702       1,148,185  
Glencore plc
    1,845,846       11,153,757  
Holcim Ltd. - Reg’d *
    104,136       8,332,597  
Sika AG
    356       1,384,845  
Syngenta AG - Reg’d
    1,451       514,023  
                 
              24,921,041  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 0.9%
Actelion Ltd. - Reg’d *
    28,740       3,451,842  
Lonza Group AG - Reg’d *
    883       97,919  
Novartis AG - Reg’d
    102,289       8,898,999  
Roche Holding AG
    28,293       8,210,787  
                 
              20,659,547  
                 
 
Real Estate 0.0%
Swiss Prime Site AG - Reg’d *
    883       70,071  
                 
 
Telecommunication Services 0.0%
Swisscom AG - Reg’d
    365       202,648  
                 
 
Transportation 0.5%
Kuehne & Nagel International AG - Reg’d
    89,510       11,936,855  
                 
              155,344,219  
 
Taiwan 1.2%
                 
 
Capital Goods 0.1%
Airtac International Group
    309,410       2,906,497  
                 
 
Diversified Financials 0.4%
Chailease Holding Co., Ltd. (b)
    2,403,500       6,272,270  
Fubon Financial Holding Co., Ltd.
    927,000       1,455,220  
                 
              7,727,490  
                 
 
Semiconductors & Semiconductor Equipment 0.5%
Everlight Electronics Co., Ltd.
    2,884,000       6,506,273  
MediaTek, Inc.
    159,000       2,460,705  
Taiwan Semiconductor Manufacturing Co., Ltd. ADR
    128,777       2,575,540  
                 
              11,542,518  
                 
 
Technology Hardware & Equipment 0.2%
Delta Electronics, Inc.
    414,000       2,813,313  
TPK Holding Co., Ltd.
    203,000       1,274,259  
                 
              4,087,572  
                 
              26,264,077  
 
United Arab Emirates 0.1%
                 
 
Real Estate 0.1%
Emaar Properties PJSC
    454,102       1,202,965  
 
United Kingdom 17.2%
                 
 
Automobiles & Components 0.0%
GKN plc
    26,398       151,885  
                 
 
Banks 1.0%
Barclays plc
    255,408       968,172  
HSBC Holdings plc (f)
    295,446       3,167,451  
HSBC Holdings plc (f)
    73,737       789,926  
Lloyds Banking Group plc *
    13,824,683       17,234,874  
Royal Bank of Scotland Group plc *
    38,700       230,669  
Standard Chartered plc
    38,070       789,487  
                 
              23,180,579  
                 
 
Capital Goods 4.4%
Wolseley plc
    52,650       2,741,066  
Ashtead Group plc
    52,210       783,184  
BAE Systems plc
    51,156       368,679  
Bodycote plc
    1,316,971       15,392,075  
Brammer plc
    760,919       5,517,611  
Bunzl plc
    143,465       3,845,352  
Cobham plc
    16,559       81,703  
Diploma plc
    601,096       6,494,912  
Fenner plc
    715,334       4,112,171  
Grafton Group plc
    426,910       4,137,296  
HellermannTyton Group plc
    1,156,443       6,076,720  
IMI plc
    115,918       2,764,747  
Interserve plc
    781,134       8,379,236  
Keller Group plc
    172,430       2,521,430  
Meggitt plc
    188,155       1,611,087  
Melrose Industries plc
    15,664       69,382  
Rolls-Royce Holdings plc *
    29,214       509,970  
Rotork plc
    335,458       15,612,480  
Smiths Group plc
    271,138       5,818,175  
Spirax-Sarco Engineering plc
    187,094       8,571,070  
The Weir Group plc
    3,386       146,142  
Travis Perkins plc
    4,230       119,104  
Ultra Electronics Holdings plc
    178,786       5,329,679  
                 
              101,003,271  
                 
 
Commercial & Professional Supplies 0.6%
Aggreko plc
    3,961       114,705  
Babcock International Group plc
    231,205       4,272,893  
Capita plc
    258,720       5,238,663  
De La Rue plc
    265,120       3,260,698  
G4S plc
    26,746       113,177  
Intertek Group plc
    2,641       114,025  
                 
              13,114,161  
                 
 
Consumer Durables & Apparel 0.3%
Bellway plc
    285,660       7,250,889  
Burberry Group plc
    6,834       162,503  
Persimmon plc *
    5,320       112,047  
                 
              7,525,439  
                 
 
Consumer Services 0.9%
Carnival plc
    2,747       98,954  
Compass Group plc
    258,099       4,205,608  
Greene King plc
    429,832       5,977,063  
InterContinental Hotels Group plc
    39,792       1,614,391  
The Restaurant Group plc
    493,980       5,118,285  
TUI Travel plc
    144,906       884,539  
Whitbread plc
    45,956       3,327,920  
 
 
 
16 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
William Hill plc
    15,048       89,195  
                 
              21,315,955  
                 
 
Diversified Financials 0.5%
3i Group plc
    14,557       92,458  
Aberdeen Asset Management plc
    14,467       100,436  
Hargreaves Lansdown plc
    40,414       696,754  
ICAP plc
    8,336       48,750  
Investec plc
    9,673       83,666  
London Stock Exchange Group plc
    2,950       96,226  
Provident Financial plc
    22,307       797,970  
Schroders plc
    215,059       8,640,948  
Schroders plc, Non Voting Shares
    1,100       34,336  
                 
              10,591,544  
                 
 
Energy 0.6%
AMEC plc
    4,981       95,350  
BG Group plc
    148,162       2,921,642  
BP plc
    289,041       2,353,875  
Genel Energy plc *
    75,425       1,269,292  
Hunting plc
    184,123       2,695,103  
Petrofac Ltd.
    3,837       70,709  
Royal Dutch Shell plc, A Shares
    61,000       2,508,067  
Royal Dutch Shell plc, B Shares
    38,277       1,648,276  
Tullow Oil plc
    14,089       172,739  
                 
              13,735,053  
                 
 
Food & Staples Retailing 0.4%
J. Sainsbury plc
    18,131       95,566  
Tesco plc
    2,275,978       9,874,832  
WM Morrison Supermarkets plc
    34,299       97,351  
                 
              10,067,749  
                 
 
Food, Beverage & Tobacco 1.2%
Associated British Foods plc
    5,619       263,036  
British American Tobacco plc
    29,523       1,729,527  
Diageo plc
    451,581       13,562,027  
Imperial Tobacco Group plc
    15,069       652,396  
SABMiller plc
    15,113       822,927  
Stock Spirits Group plc *
    849,917       4,314,140  
Tate & Lyle plc
    7,497       78,708  
Unilever plc
    161,324       6,970,245  
                 
              28,393,006  
                 
 
Health Care Equipment & Services 0.0%
Smith & Nephew plc
    13,959       240,230  
                 
 
Household & Personal Products 0.4%
Reckitt Benckiser Group plc
    94,996       8,386,001  
                 
 
Insurance 1.1%
Admiral Group plc
    3,040       74,591  
Amlin plc
    274,977       2,112,673  
Aviva plc
    46,758       395,703  
Direct Line Insurance Group plc
    23,264       111,672  
Friends Life Group Ltd.
    21,377       119,546  
Hiscox Ltd.
    113,215       1,289,245  
Legal & General Group plc
    91,272       360,074  
Old Mutual plc
    75,509       248,407  
Prudential plc
    427,265       9,820,196  
RSA Insurance Group plc
    16,497       127,756  
St. James’s Place plc
    53,991       659,927  
Standard Life plc
    36,765       231,666  
Willis Group Holdings plc
    232,000       9,454,000  
                 
              25,005,456  
                 
 
Materials 1.3%
Anglo American plc
    21,690       582,506  
Antofagasta plc
    5,862       79,767  
BHP Billiton plc
    33,076       1,128,288  
Croda International plc
    371,064       13,162,075  
Fresnillo plc
    2,689       42,028  
Johnson Matthey plc
    3,228       160,841  
Randgold Resources Ltd.
    1,346       115,900  
Rexam plc
    10,520       88,682  
Rio Tinto plc
    62,862       3,592,816  
Victrex plc
    352,754       9,514,213  
                 
              28,467,116  
                 
 
Media 0.5%
British Sky Broadcasting Group plc
    16,255       240,605  
ITV plc
    1,590,455       5,582,765  
Pearson plc
    12,645       243,587  
Reed Elsevier plc
    18,961       304,812  
WPP plc
    276,295       5,500,080  
                 
              11,871,849  
                 
 
Pharmaceuticals, Biotechnology & Life Sciences 1.2%
AstraZeneca plc
    19,739       1,441,271  
BTG plc *
    112,983       1,153,725  
GlaxoSmithKline plc
    378,133       9,112,525  
Hikma Pharmaceuticals plc
    261,145       7,913,068  
Shire plc
    95,119       7,829,087  
                 
              27,449,676  
                 
 
Real Estate 0.3%
Countrywide plc
    624,062       5,473,470  
Derwent London plc
    16,494       742,787  
Hammerson plc
    10,685       108,046  
Intu Properties plc
    14,083       77,833  
Land Securities Group plc
    12,150       213,163  
Segro plc
    11,121       66,985  
The British Land Co., plc
    14,802       175,119  
                 
              6,857,403  
                 
 
Retailing 0.5%
ASOS plc *
    798       33,547  
Kingfisher plc
    36,805       185,897  
Marks & Spencer Group plc
    24,746       179,124  
Next plc
    37,107       4,235,093  
Pets at Home Group plc *
    467,640       1,407,708  
Poundland Group plc *
    1,139,440       6,188,975  
Sports Direct International plc *
    4,088       45,934  
                 
              12,276,278  
                 
 
Semiconductors & Semiconductor Equipment 0.0%
ARM Holdings plc
    21,623       307,835  
Nanoco Group plc *
    23,264       36,233  
                 
              344,068  
                 
 
Software & Services 0.1%
Telecity Group plc
    211,570       2,829,616  
The Sage Group plc
    18,865       117,171  
                 
              2,946,787  
                 
 
Technology Hardware & Equipment 1.2%
Domino Printing Sciences plc
    663,340       6,893,086  
 
 
 
 17

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                 
    Number
 		  Value
Security   of Shares   ($)
Halma plc
    740,732       7,021,768  
Laird plc
    1,083,597       5,264,338  
Oxford Instruments plc
    61,642       1,307,189  
Spectris plc
    198,261       6,377,310  
                 
              26,863,691  
                 
 
Telecommunication Services 0.4%
BT Group plc
    1,219,962       7,986,962  
Inmarsat plc
    6,807       83,491  
Vodafone Group plc
    415,359       1,383,183  
                 
              9,453,636  
                 
 
Transportation 0.2%
easyJet plc
    143,688       3,131,708  
Royal Mail plc
    9,560       67,115  
                 
              3,198,823  
                 
 
Utilities 0.1%
Centrica plc
    81,198       423,079  
National Grid plc
    58,234       829,440  
Severn Trent plc
    3,562       116,203  
SSE plc
    15,405       378,331  
United Utilities Group plc
    10,763       161,321  
                 
              1,908,374  
                 
              394,348,030  
                 
Total Common Stock
(Cost $1,841,385,958)     2,196,133,065  
         
                 
                 
 
 Preferred Stock 0.3% of net assets
 
Brazil 0.1%
                 
 
Banks 0.1%
Itau Unibanco Holding S.A.
    171,050       2,646,327  
 
Germany 0.2%
                 
 
Automobiles & Components 0.0%
Bayerische Motoren Werke AG
    783       74,203  
Porsche Automobil Holding SE
    2,393       223,671  
Volkswagen AG
    2,539       589,654  
                 
              887,528  
                 
 
Capital Goods 0.2%
Jungheinrich AG
    56,830       3,460,807  
                 
 
Household & Personal Products 0.0%
Henkel AG & Co. KGaA
    2,771       308,136  
                 
 
Materials 0.0%
Fuchs Petrolub SE
    1,226       49,202  
                 
              4,705,673  
                 
Total Preferred Stock
(Cost $7,332,079)     7,352,000  
         
                 
                 
 
 Other Investment Company 3.3% of net assets
 
Money Market Fund 3.3%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (c)
    76,469,906       76,469,906  
                 
Total Other Investment Company
(Cost $76,469,906)     76,469,906  
         
                 
                 
 
 Rights 0.0% of net assets
 
Spain 0.0%
                 
 
Banks 0.0%
Banco Santander S.A. *(a)
    184,775       38,108  
                 
 
Capital Goods 0.0%
Zardoya Otis S.A. *(a)
    2,289       1,401  
                 
              39,509  
 
Switzerland 0.0%
                 
 
Diversified Financials 0.0%
Leonteq AG *(b)
    29,520       253,702  
                 
Total Rights
(Cost $39,320)     293,211  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 0.2% of net assets
 
U.S. Treasury Obligations 0.2%
U.S. Treasury Bills
0.01%, 09/11/14 (d)(e)
    120,000       119,999  
0.01%, 09/18/14 (d)(e)
    200,000       199,998  
0.02%, 09/18/14 (d)(e)
    3,100,000       3,099,938  
                 
Total Short-Term Investments
(Cost $3,419,935)     3,419,935  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $1,945,838,976 and the unrealized appreciation and depreciation were $385,978,150 and ($48,149,009), respectively, with a net unrealized appreciation of $337,829,141.
 
 
 
18 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
At 07/31/14, the values of certain foreign securities held by the fund aggregating $1,850,351,235 were adjusted from their closing market values in accordance with international fair valuation procedures approved by the fund’s Board of Trustees.
 
* Non-income producing security.
(a) Fair-valued by management in accordance with procedures approved by the Board of Trustees.
(b) Illiquid security. At the period end, the value of these amounted to $43,138,615 or 1.9% of net assets.
(c) The rate shown is the 7-day yield.
(d) All or a portion of this security is held as collateral for open futures contracts.
(e) The rate shown is the purchase yield.
(f) Securities are traded on separate exchanges for the same entity.
 
     
ADR —
  American Depositary Receipt
CDI —
  CHESS Depositary Interest
CVA —
  Dutch Certificate
Reg’d —
  Registered
REIT —
  Real Estate Investment Trust
RSP —
  Risparmio (Convertible Savings Shares)
SDR —
  Swedish Depositary Receipt
 
     
AUD —
  Australian dollar
CHF —
  Swiss franc
NZD —
  New Zealand dollar
SEK —
  Swedish krona
USD —
  U.S. dollar
 
In addition to the above, the fund held the following at 07/31/14:
 
                         
        Contract
 		  Unrealized
    Number of
 		  Value
 		  Depreciation
    Contracts   ($)   ($)
 
 Futures Contracts
                         
                         
MSCI EAFE, e-mini Long, expires 09/19/14
    555       53,146,800       (1,212,775 )
                                             
            Amount of
 		      Amount of
 		  Unrealized
        Currency
 		  Currency
 		  Currency
 		  Currency
 		  Appreciation
Expiration
 		      to be
 		  to be
 		  to be
 		  to be
 		  (Depreciation)
Date   Counterparty   Received   Received   Delivered   Delivered   ($)
 
 Forward Foreign Currency Exchange Contracts
                                         
                                             
12/17/2014
  State Street Bank & Trust Co.     CHF       5,627,000       USD       6,198,711       (1,498 )
03/18/2015
  State Street Bank & Trust Co.     SEK       6,009,000       USD       870,509       (639 )
09/17/2014
  State Street Bank & Trust Co.     USD       7,718,078       AUD       8,330,000       (386,845 )
09/17/2014
  State Street Bank & Trust Co.     USD       874,654       AUD       944,000       (2,020 )
10/31/2014
  State Street Bank London     USD       6,274,830       AUD       6,793,000       68,813  
12/17/2014
  State Street Bank & Trust Co.     USD       31,990,505       CHF       29,040,000       1,369,633  
10/31/2014
  State Street Bank London     USD       6,635,030       NZD       7,877,500       12,319  
03/18/2015
  State Street Bank & Trust Co.     USD       6,653,038       SEK       45,925,000       187,310  
                                     
Net Unrealized Appreciation on Forward Foreign Currency Exchange Contracts
    1,247,073  
         
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Securities traded on an exchange or over-the-counter: Traded securities are valued at the closing value for the day, or, on days when no closing value has been reported, at halfway between the most recent bid and ask quotes. Securities that are primarily traded on foreign exchanges are valued at the official closing price or the last sales price on the exchange where the securities are principally traded with these values then translated into U.S. dollars at the current exchange rate, unless these securities are fair valued as discussed below.
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions,
 
 
 
 19

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Foreign equity security fair valuation: The Board has adopted procedures to fair value foreign equity securities that are traded in markets that close prior to the fund valuing its holdings. By fair valuing securities whose prices may have been affected by events occurring after the close of trading, the fund seeks to establish prices that investors might expect to realize upon the current sales of these securities. This methodology is designed to deter “arbitrage” market timers, who seek to exploit delays between the change in the value of the fund’s portfolio holdings and the Net Asset Value (“NAV”) of the fund’s shares, and seeks to help ensure that the prices at which the fund’s shares are purchased and redeemed are fair and do not result in dilution of shareholder interest or other harm to shareholders. When fair value pricing is used at the open or close of a reporting period, it may cause a temporary divergence between the return of the fund and that of its comparative index or benchmark. The Board regularly reviews fair value determinations made by the fund pursuant to these procedures.
 
  •  Futures contracts (“futures”) and forward foreign currency exchange contracts (“forwards”): Futures are valued at their settlement prices as of the close of their exchanges. Forwards are valued based on that day’s forward exchange rates or by using an interpolated forward exchange rate for contracts with interim settlement dates.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
  •  Underlying funds: Mutual funds are valued at their respective NAVs.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities and futures contracts. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. In addition, international securities whose markets close hours before the funds value their holdings may require fair valuations due to significant movement in the U.S. markets occurring after the daily close of the foreign markets. The Board has approved a vendor that calculates fair valuations of international equity securities based on a number of factors that appear to correlate to the movements in the U.S. markets. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
 
 
20 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
Assets Valuation Input
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Common Stock1
    $—       $393,298,960       $—       $393,298,960  
Australia1
    —       81,532,158       —       81,532,158  
Commercial & Professional Supplies
    812,408       336,561       —       1,148,969  
Food & Staples Retailing
    38,879       1,402,184       —       1,441,063  
Real Estate
    469,163       14,126,038       —       14,595,201  
Austria1
    —       3,511,289       —       3,511,289  
Capital Goods
    2,899,894       58,240       —       2,958,134  
Real Estate
    42,537       —       —       42,537  
Telecommunication Services
    28,014       —       —       28,014  
Brazil1
    14,662,613       —       —       14,662,613  
Canada1
    120,618,497       —       —       120,618,497  
China1
    —       21,451,924       —       21,451,924  
Consumer Durables & Apparel
    5,295,430       —       —       5,295,430  
Pharmaceuticals, Biotechnology & Life Sciences
    1,077,580       783,461       —       1,861,041  
Real Estate
    593,843       2,937,085       —       3,530,928  
Retailing
    6,753,731       —       —       6,753,731  
Software & Services
    13,728,184       3,809,844       —       17,538,028  
Finland1
    —       9,673,872       —       9,673,872  
Capital Goods
    75,404       15,964,931       —       16,040,335  
Energy
    35,516       —       —       35,516  
Telecommunication Services
    60,835       —       —       60,835  
Utilities
    177,860       —       —       177,860  
 
 
 
 21

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
France1
    $—       $93,285,512       $—       $93,285,512  
Capital Goods
    3,627,456       17,437,805       —       21,065,261  
Energy
    13,070,163       9,653,589       —       22,723,752  
Food, Beverage & Tobacco
    27,021       20,335,896       —       20,362,917  
Health Care Equipment & Services
    6,225,320       309,867       —       6,535,187  
Media
    116,836       3,785,414       —       3,902,250  
Pharmaceuticals, Biotechnology & Life Sciences
    5,678,840       13,341,820       —       19,020,660  
Real Estate
    107,399       5,663,118       —       5,770,517  
Software & Services
    4,352,514       1,405,292       —       5,757,806  
Telecommunication Services
    118,613       935,737       —       1,054,350  
Germany1
    —       128,566,593       —       128,566,593  
Capital Goods
    3,693,199       45,886,175       —       49,579,374  
Materials
    14,772,562       7,436,242       —       22,208,804  
Media
    2,516,632       6,042,502       —       8,559,134  
Real Estate
    856,550       865,229       —       1,721,779  
Hong Kong1
    —       38,314,242       —       38,314,242  
Capital Goods
    3,348,778       567,300       —       3,916,078  
Semiconductors & Semiconductor Equipment
    2,573,554       5,498,277       —       8,071,831  
Software & Services
    4,754,199       —       —       4,754,199  
Telecommunication Services
    36,929       47,384       —       84,313  
Utilities
    215,542       492,107       —       707,649  
India1
    —       28,909,354       —       28,909,354  
Banks
    1,350,108       6,210,637       —       7,560,745  
Ireland1
    —       16,810,695       —       16,810,695  
Food, Beverage & Tobacco
    5,691,543       590,773       —       6,282,316  
Israel1
    —       263,132       —       263,132  
Materials
    5,446,016       74,802       —       5,520,818  
Pharmaceuticals, Biotechnology & Life Sciences
    2,623,105       723,138       —       3,346,243  
Software & Services
    5,119,434       35,656       —       5,155,090  
Italy1
    —       21,932,249       —       21,932,249  
Banks
    93,038       25,258,676       —       25,351,714  
Capital Goods
    7,333,361       120,845       —       7,454,206  
Luxembourg1
    —       9,261,621       —       9,261,621  
Energy
    70,486       —       —       70,486  
Media
    179,925       66,168       —       246,093  
Malaysia1
    4,691,264       —       —       4,691,264  
Mexico1
    352,982       —       —       352,982  
Netherlands1
    —       53,103,372       —       53,103,372  
Media
    52,966       379,138       —       432,104  
Semiconductors & Semiconductor Equipment
    3,739,379       533,324       —       4,272,703  
New Zealand1
    —       11,979,143       —       11,979,143  
Telecommunication Services
    69,627       —       —       69,627  
 
 
 
22 

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Norway1
    $—       $11,258,598       $—       $11,258,598  
Insurance
    907,171       —       —       907,171  
Materials
    134,784       118,821       —       253,605  
Peru1
    1,939,379       —       —       1,939,379  
Republic of Korea1
    —       31,820,728       —       31,820,728  
Household & Personal Products
    5,476,208       —       —       5,476,208  
Singapore1
    —       66,911,657       —       66,911,657  
Food & Staples Retailing
    15,840       —       —       15,840  
Spain1
    —       35,339,480       —       35,339,480  
Commercial & Professional Supplies
    1,213,109       4,583,852       —       5,796,961  
Sweden1
    —       19,405,479       —       19,405,479  
Capital Goods
    6,449,230       19,800,888       —       26,250,118  
Food, Beverage & Tobacco
    100,002       5,901,387       —       6,001,389  
Retailing
    4,784,264       8,730,762       —       13,515,026  
Switzerland1
    —       83,628,221       —       83,628,221  
Capital Goods
    405,082       16,662,131       —       17,067,213  
Diversified Financials
    5,908,873       31,402,202       —       37,311,075  
Food, Beverage & Tobacco
    202,608       17,135,102       —       17,337,710  
Taiwan1
    —       14,721,559       —       14,721,559  
Semiconductors & Semiconductor Equipment
    2,575,540       8,966,978       —       11,542,518  
United Kingdom1
    —       181,658,898       —       181,658,898  
Capital Goods
    12,012,523       88,990,748       —       101,003,271  
Insurance
    10,871,001       14,134,455       —       25,005,456  
Materials
    13,162,075       15,305,041       —       28,467,116  
Media
    243,587       11,628,262       —       11,871,849  
Real Estate
    5,473,470       1,383,933       —       6,857,403  
Retailing
    1,407,708       10,868,570       —       12,276,278  
Semiconductors & Semiconductor Equipment
    36,233       307,835       —       344,068  
Technology Hardware & Equipment
    6,893,086       19,970,605       —       26,863,691  
Preferred Stock1
    —       4,705,673       —       4,705,673  
Brazil
    2,646,327       —       —       2,646,327  
Other Investment Company1
    76,469,906       —       —       76,469,906  
Rights
                               
Spain
    —       —       39,509       39,509  
Switzerland
    253,702       —       —       253,702  
Short-Term Investments1
    —       3,419,935       —       3,419,935  
                                 
Total
    $429,857,437       $1,853,771,171       $39,509       $2,283,668,117  
                                 
Other Financial Instruments
                               
Forward Foreign Currency Exchange Contracts2
    $—       $1,638,075       $—       $1,638,075  
                                 
                                 
Liabilities Valuation Input
                 
 
Other Financial Instruments
                               
Futures Contracts2
    ($1,212,775 )     $—       $—       ($1,212,775 )
 
 
 
 23

 

 
 Laudus International MarketMasters Fund
 

 
Portfolio Holdings (Unaudited) continued
 
                                 
Forward Foreign Currency Exchange Contracts2
    $—       ($391,002 )     $—       ($391,002 )
 
     
1
  As categorized in Portfolio Holdings.
2
  Futures contracts and forward foreign currency exchange contracts are not included in Investments in the schedule of portfolio holdings and are valued at unrealized appreciation or depreciation.
 
The following is a reconciliation of Level 3 investments for which significant unobservable inputs were used to determine fair value:
 
                                                                 
    Balance
 		      Change in
 		                  Balance
    as of
 		  Realized
 		  Unrealized
 		          Gross
 		  Gross
 		  as of
    October 31,
 		  Gains
 		  Appreciation
 		  Gross
 		  Gross
 		  Transfers
 		  Transfers
 		  July 31,
Investments in Securities
 
2013
 
(Losses)
 
(Depreciation)
 
Purchases
 
Sales
 
in
 
out
 
2014
 
Common Stock
                                                               
Hong Kong
    $12,251       $—       ($12,251 )     $—       $—       $—       $—       $—  
Japan
    49,426       —       278       —       (49,704 )     —       —       —  
Preferred Stock
                                                               
United Kingdom
    53,040       1,503       (45 )     —       (54,498 )     —       —       —  
Rights
                                                               
Spain
    37,011       —       (1,479 )     39,319       (35,342 )     —       —       39,509  
                                                                 
Total
    $151,728       $1,503       ($13,497 )     $39,319       ($139,544 )     $—       $—       $39,509  
                                                                 
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were security transfers in the amount of $38,872,504 and $39,250,951 from Level 1 to Level 2 and from Level 2 to Level 1, respectively, for the period ended July 31, 2014. The transfers between Level 1 and Level 2 were primarily due to the use of international fair valuation by the fund. There were no transfers in or out of Level 3 during the period.
 
On July 31, 2014, the fund had open forward foreign currency exchange contracts and equity index futures contracts. The fund invests in futures to equitize available cash. The primary risk associated with investing in futures is market risk. The fund also invests in forwards to hedge currency risks associated with the purchase of individual securities denominated in a particular currency. The primary risk associated with investing in forwards is currency risk.
 
REG46830JUL14
 
 
 
24 

 

Schwab Capital Trust
Schwab Balanced Fund™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  100 .9%   Other Investment Companies     158,816,798       190,725,521  
 
 
  100 .9%   Total Investments     158,816,798       190,725,521  
  (0 .9%)   Other Assets and Liabilities             (1,655,024 )
 
 
  100 .0%   Net Assets             189,070,497  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 100.9% of net assets
 
Equity Funds 61.3%
                 
 
Large-Cap 51.5%
Laudus U.S. Large Cap Growth Fund *(a)
    1,557,140       28,775,949  
Schwab Core Equity Fund (a)
    2,818,805       68,581,518  
                 
              97,357,467  
                 
 
Small-Cap 9.8%
Laudus Small-Cap MarketMasters Fund, Select Shares *(a)
    1,057,898       18,481,481  
                 
              115,838,948  
 
Fixed-Income Funds 36.4%
                 
 
Intermediate-Term Bond 36.4%
Schwab Intermediate-Term Bond Fund (a)
    2,254,721       22,975,605  
Schwab Total Bond Market Fund (a)
    4,854,472       45,923,308  
                 
              68,898,913  
 
Money Market Fund 3.2%
State Street Institutional U.S. Government Money Market Fund, Premier Class 0.00% (b)
    5,987,660       5,987,660  
                 
Total Other Investment Companies
(Cost $158,816,798)     190,725,521  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $161,474,450 and the unrealized appreciation and depreciation were $29,442,451 and ($191,380), respectively, with a net unrealized appreciation of $29,251,071.
 
* Non-income producing security.
(a) Issuer is affiliated with the fund’s adviser.
(b) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon
 
 
 
 1

 

 
 Schwab Balanced Fund
 

 
Portfolio Holdings (Unaudited) continued
 
  the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $190,725,521       $—       $—       $190,725,521  
                                 
Total
    $190,725,521       $—       $—       $190,725,521  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
 
 
2 

 

 
 Schwab Balanced Fund
 

 
Portfolio Holdings (Unaudited) continued
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46831JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab MarketTrack All Equity Portfolio™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  99 .5%   Other Investment Companies     390,458,263       613,090,487  
  0 .5%   Short-Term Investment     2,665,459       2,665,459  
 
 
  100 .0%   Total Investments     393,123,722       615,755,946  
  0 .0%   Other Assets and Liabilities, Net             239,465  
 
 
  100 .0%   Net Assets             615,995,411  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 99.5% of net assets
 
Equity Funds 99.5%
                 
 
International 29.9%
Schwab International Index Fund (a)
    9,079,569       184,224,459  
                 
 
Large-Cap 44.7%
Schwab S&P 500 Index Fund (a)
    9,046,385       275,552,884  
                 
 
Small-Cap 24.9%
Schwab Small-Cap Index Fund (a)
    5,729,191       153,313,144  
                 
Total Other Investment Companies
(Cost $390,458,263)     613,090,487  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investment 0.5% of net assets
 
Time Deposit 0.5%
Wells Fargo
0.03%, 08/01/14
    2,665,459       2,665,459  
                 
Total Short-Term Investment
(Cost $2,665,459)     2,665,459  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $407,619,128 and the unrealized appreciation and depreciation were $208,136,818 and ($0), respectively, with a net unrealized appreciation of $208,136,818.
 
(a) Issuer is affiliated with the fund’s adviser.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
 
 
 1

 

 
 Schwab MarketTrack All Equity Portfolio
 

 
Portfolio Holdings (Unaudited) continued
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $613,090,487       $—       $—       $613,090,487  
Short-Term Investment1
    —       2,665,459       —       2,665,459  
                                 
Total
    $613,090,487       $2,665,459       $—       $615,755,946  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46832JUL14
 
 
 
2 

 

Schwab Capital Trust
Schwab MarketTrack Growth Portfolio™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  96 .6%   Other Investment Companies     411,741,245       696,942,364  
  3 .4%   Short-Term Investments     24,659,100       24,659,100  
 
 
  100 .0%   Total Investments     436,400,345       721,601,464  
  0 .0%   Other Assets and Liabilities, Net             315,969  
 
 
  100 .0%   Net Assets             721,917,433  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 96.6% of net assets
 
Equity Funds 80.3%
                 
 
International 20.1%
Schwab International Index Fund (a)
    7,158,576       145,247,499  
                 
 
Large-Cap 40.5%
Schwab S&P 500 Index Fund (a)
    9,580,783       291,830,641  
                 
 
Small-Cap 19.7%
Schwab Small-Cap Index Fund (a)
    5,311,931       142,147,278  
                 
              579,225,418  
 
Fixed-Income Fund 14.8%
                 
 
Intermediate-Term Bond 14.8%
Schwab Total Bond Market Fund (a)
    11,275,406       106,665,342  
 
Money Market Fund 1.5%
Schwab Value Advantage Money Fund, Institutional Prime Shares 0.01% (a)(b)
    11,051,604       11,051,604  
                 
Total Other Investment Companies
(Cost $411,741,245)     696,942,364  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 3.4% of net assets
 
Time Deposits 3.4%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    7,343,098       7,343,098  
DNB
0.03%, 08/01/14
    7,343,098       7,343,098  
Sumitomo Mitsui Banking Corp.
0.03%, 08/01/14
    2,629,807       2,629,807  
Wells Fargo
0.03%, 08/01/14
    7,343,097       7,343,097  
                 
Total Short-Term Investments
(Cost $24,659,100)     24,659,100  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $440,864,575 and the unrealized appreciation and depreciation were $280,736,889 and ($0), respectively, with a net unrealized appreciation of $280,736,889.
 
(a) Issuer is affiliated with the fund’s adviser.
(b) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value
 
 
 
 1

 

 
 Schwab MarketTrack Growth Portfolio
 

 
Portfolio Holdings (Unaudited) continued
 
  determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
2 

 

 
 Schwab MarketTrack Growth Portfolio
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $696,942,364       $—       $—       $696,942,364  
Short-Term Investments1
    —       24,659,100       —       24,659,100  
                                 
Total
    $696,942,364       $24,659,100       $—       $721,601,464  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46835JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab MarketTrack Balanced Portfolio™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  96 .6%   Other Investment Companies     331,068,838       500,480,787  
  3 .5%   Short-Term Investments     18,252,339       18,252,339  
 
 
  100 .1%   Total Investments     349,321,177       518,733,126  
  (0 .1%)   Other Assets and Liabilities, Net             (345,880 )
 
 
  100 .0%   Net Assets             518,387,246  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 96.6% of net assets
 
Equity Funds 60.2%
                 
 
International 15.1%
Schwab International Index Fund (a)
    3,856,205       78,242,392  
                 
 
Large-Cap 30.4%
Schwab S&P 500 Index Fund (a)
    5,173,822       157,594,619  
                 
 
Small-Cap 14.7%
Schwab Small-Cap Index Fund (a)
    2,842,198       76,057,216  
                 
              311,894,227  
 
Fixed-Income Fund 34.8%
                 
 
Intermediate-Term Bond 34.8%
Schwab Total Bond Market Fund (a)
    19,085,870       180,552,335  
 
Money Market Fund 1.6%
Schwab Value Advantage Money Fund, Institutional Prime Shares 0.01% (a)(b)
    8,034,225       8,034,225  
                 
Total Other Investment Companies
(Cost $331,068,838)     500,480,787  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 3.5% of net assets
 
Time Deposits 3.5%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    5,248,079       5,248,079  
Bank of Tokyo-Mitsubishi UFJ
0.03%, 08/01/14
    2,508,102       2,508,102  
DNB
0.03%, 08/01/14
    5,248,079       5,248,079  
Sumitomo Mitsui Banking Corp.
0.03%, 08/01/14
    5,248,079       5,248,079  
                 
Total Short-Term Investments
(Cost $18,252,339)     18,252,339  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $356,895,600 and the unrealized appreciation and depreciation were $161,837,526 and ($0), respectively, with a net unrealized appreciation of $161,837,526.
 
(a) Issuer is affiliated with the fund’s adviser.
(b) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value
 
 
 
 1

 

 
 Schwab MarketTrack Balanced Portfolio
 

 
Portfolio Holdings (Unaudited) continued
 
  determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
2 

 

 
 Schwab MarketTrack Balanced Portfolio
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $500,480,787       $—       $—       $500,480,787  
Short-Term Investments1
    —       18,252,339       —       18,252,339  
                                 
Total
    $500,480,787       $18,252,339       $—       $518,733,126  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46833JUL14
 
 
 
 3

 

Schwab Capital Trust
Schwab MarketTrack Conservative Portfolio™
 
Portfolio Holdings as of July 31, 2014 (Unaudited)
 
 
The following are the portfolio holdings as of the report date. For more information, please refer to the fund’s semiannual or annual shareholder reports.
 
                         
        Cost
 		  Value
Holdings by Category   ($)   ($)
 
  96 .6%   Other Investment Companies     163,212,358       214,716,206  
  3 .4%   Short-Term Investments     7,620,381       7,620,381  
 
 
  100 .0%   Total Investments     170,832,739       222,336,587  
  0 .0%   Other Assets and Liabilities, Net             37,042  
 
 
  100 .0%   Net Assets             222,373,629  
 
                 
    Number
 		  Value
Security   of Shares   ($)
 
 Other Investment Companies 96.6% of net assets
 
Equity Funds 40.2%
                 
 
International 10.1%
Schwab International Index Fund (a)
    1,104,779       22,415,963  
                 
 
Large-Cap 20.4%
Schwab S&P 500 Index Fund (a)
    1,489,888       45,381,974  
                 
 
Small-Cap 9.7%
Schwab Small-Cap Index Fund (a)
    803,339       21,497,338  
                 
              89,295,275  
 
Fixed-Income Fund 54.8%
                 
 
Intermediate-Term Bond 54.8%
Schwab Total Bond Market Fund (a)
    12,889,343       121,933,189  
 
Money Market Fund 1.6%
Schwab Value Advantage Money Fund, Institutional Prime Shares 0.01% (a)(b)
    3,487,742       3,487,742  
                 
Total Other Investment Companies
(Cost $163,212,358)     214,716,206  
         
                 
                 
    Face
 		   
Security
 		  Amount
 		  Value
    Rate, Maturity Date   ($)   ($)
 
 Short-Term Investments 3.4% of net assets
 
Time Deposits 3.4%
Australia & New Zealand Banking Group Ltd.
0.03%, 08/01/14
    2,243,121       2,243,121  
Bank of Tokyo - Mitsubishi UFJ
0.03%, 08/01/14
    891,018       891,018  
DNB
0.03%, 08/01/14
    2,243,121       2,243,121  
Sumitomo Mitsui Banking Corp.
0.03%, 08/01/14
    2,243,121       2,243,121  
                 
Total Short-Term Investments
(Cost $7,620,381)     7,620,381  
         
 
End of Investments.
 
At 07/31/14, the tax basis cost of the fund’s investments was $178,524,720 and the unrealized appreciation and depreciation were $43,811,867 and ($0), respectively, with a net unrealized appreciation of $43,811,867.
 
(a) Issuer is affiliated with the fund’s adviser.
(b) The rate shown is the 7-day yield.
 
 
Under procedures approved by the fund’s Board of Trustees (the “Board”), the investment adviser has formed a Pricing Committee to administer the pricing and valuation of portfolio securities and other assets and to ensure that prices used for internal purposes or provided by third parties reasonably reflect fair market value. Among other things, these procedures allow the fund to utilize independent pricing services, quotations from securities and financial instrument dealers and other market sources to determine fair value.
 
The fund values the securities in its portfolio every business day. The fund uses the following policies to value various types of securities:
 
  •  Underlying funds: Mutual funds are valued at their respective net asset values (“NAVs”).
 
  •  Securities for which no quoted value is available: The Board has adopted procedures to fair value the fund’s securities when market prices are not “readily available” or are unreliable. For example, a fund may fair value a security when it is de-listed or its trading is halted or suspended; when a security’s primary pricing source is unable or unwilling to provide a price; or when a security’s primary trading market is closed during regular market hours. The fund makes fair value
 
 
 
 1

 

 
 Schwab MarketTrack Conservative Portfolio
 

 
Portfolio Holdings (Unaudited) continued
 
  determinations in good faith in accordance with the fund’s valuation procedures. The Pricing Committee considers a number of factors, including unobservable market inputs when arriving at fair value. The Pricing Committee may employ techniques such as the review of related or comparable assets or liabilities, related market activities, recent transactions, market multiples, book values, transactional back-testing, disposition analysis and other relevant information. The Pricing Committee regularly reviews these inputs and assumptions to calibrate the valuations. Due to the subjective and variable nature of fair value pricing, there can be no assurance that a fund could obtain the fair value assigned to the security upon the sale of such security. The Board convenes on a regular basis to review fair value determinations made by the fund pursuant to the valuation procedures.
 
  •  Short-term securities (60 days or less to maturity): Short-term securities are valued at amortized cost, which approximates market value.
 
In accordance with the authoritative guidance on fair value measurements and disclosures under generally accepted accounting principles in the United States of America (GAAP), the fund discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). If inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the valuation. If the fund determines that either the volume and/or level of activity for an asset or liability has significantly decreased (from normal conditions for that asset or liability) or price quotations or observable inputs are not associated with orderly transactions, increased analysis and management judgment will be required to estimate fair value.
 
The three levels of the fair value hierarchy are as follows:
 
  •  Level 1 — quoted prices in active markets for identical securities — Investments whose values are based on quoted market prices in active markets, and whose values are therefore classified as Level 1 prices, include active listed equities. Investments in mutual funds are valued daily at their NAVs, which are classified as Level 1 prices.
 
  •  Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) — Investments that trade in markets that are not considered to be active, but whose values are based on quoted market prices, dealer quotations or valuations provided by alternative pricing sources supported by observable inputs are classified as Level 2 prices. These generally include U.S. government and sovereign obligations, most government agency securities, investment-grade corporate bonds, certain mortgage products, less liquid listed equities, and state, municipal and provincial obligations. As investments whose values are classified as Level 2 prices include positions that are not traded in active markets and/or are subject to transfer restrictions, valuations may be adjusted to reflect illiquidity and/or non-transferability, which are generally based on available market information.
 
  •  Level 3 — significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments) — Investments whose values are classified as Level 3 prices have significant unobservable inputs, as they may trade infrequently or not at all. When observable prices are not available for these securities, the fund uses one or more valuation techniques for which sufficient and reliable data is available. The inputs used by the fund in estimating the value of Level 3 prices may include the original transaction price, quoted prices for similar securities or assets in active markets, completed or pending third-party transactions in the underlying investment or comparable issuers, and changes in financial ratios or cash flows. Level 3 prices may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the fund in the absence of market information. Assumptions used by the fund due to the lack of observable inputs may significantly impact the resulting fair value and therefore the fund’s results of operations.
 
 
 
2 

 

 
 Schwab MarketTrack Conservative Portfolio
 

 
Portfolio Holdings (Unaudited) continued
 
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the inputs used to value the fund’s investments as of July 31, 2014:
 
                                 
    Quoted Prices in
 		      Significant
 		   
    Active Markets for
 		  Other Significant
 		  Unobservable
 		   
    Identical Assets
 		  Observable Inputs
 		  Inputs
 		   
Description
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
 
Other Investment Companies1
    $214,716,206       $—       $—       $214,716,206  
Short-Term Investments1
    —       7,620,381       —       7,620,381  
                                 
Total
    $214,716,206       $7,620,381       $—       $222,336,587  
                                 
 
     
1
  As categorized in Portfolio Holdings.
 
The fund’s policy is to recognize transfers between Level 1, Level 2 and Level 3 as of the beginning of the fiscal year. There were no transfers between Level 1, Level 2 and Level 3 for the period ended July 31, 2014.
 
REG46834JUL14
 
 
 
 3

 

Item 2.   Controls and Procedures.
(a)   Based on their evaluation of Registrant’s disclosure controls and procedures, as of a date within 90 days of the filing date, Registrant’s Chief Executive Officer, Marie Chandoha and Registrant’s Principal Financial Officer, George Pereira, have concluded that Registrant’s disclosure controls and procedures are: (i) reasonably designed to ensure that information required to be disclosed in this report is appropriately communicated to Registrant’s officers to allow timely decisions regarding disclosures required in this report; (ii) reasonably designed to ensure that information required to be disclosed in this report is recorded, processed, summarized and reported in a timely manner; and (iii) are effective in achieving the goals described in (i) and (ii) above.
 
(b)   During Registrant’s last fiscal quarter, there have been no changes in Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR 270.30a-3(d)) that the above officers believe to have materially affected, or to be reasonably likely to materially affect, Registrant’s internal control over financial reporting.
Item 3.   Exhibits.
Separate certifications for Registrant’s principal executive officer and principal financial officer, as required by Rule 30a-2(a) under the Act (17 CFR 270.30a-2(a)), are attached.
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.
(Registrant ) Schwab Capital Trust
         
By:
  /s/ Marie Chandoha
 
Marie Chandoha 		   
 
  Chief Executive Officer    
Date: 9/18/2014
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
         
By:
  /s/ Marie Chandoha
 
    
 
  Marie Chandoha    
 
  Chief Executive Officer    
Date: 9/18/2014
         
By:
  /s/ George Pereira
 
George Pereira 		   
 
  Principal Financial Officer    
Date: 9/17/2014