NPORT-EX 2 acla_acaltmarketneutralvalue.htm PART F Document

American Century Investments®
Quarterly Portfolio Holdings
AC Alternatives® Market Neutral Value Fund
June 30, 2020





        


AC Alternatives Market Neutral Value - Schedule of Investments
JUNE 30, 2020 (UNAUDITED)
Shares/
Principal Amount ($)
Value ($)
COMMON STOCKS — 67.8%
Aerospace and Defense — 5.2%
HEICO Corp., Class A(1)
32,960 2,677,671 
Raytheon Technologies Corp.7,594 467,942 
3,145,613 
Air Freight and Logistics — 0.4%
United Parcel Service, Inc., Class B2,248 249,932 
Automobiles — 0.6%
General Motors Co.15,689 396,932 
Banks — 1.7%
Comerica, Inc.(1)
4,460 169,926 
First Hawaiian, Inc.(1)
16,657 287,167 
Toronto-Dominion Bank (The)3,431 153,126 
Truist Financial Corp.11,391 427,732 
1,037,951 
Beverages — 0.9%
Heineken Holding NV3,612 295,303 
PepsiCo, Inc.(1)
2,122 280,656 
575,959 
Building Products — 1.6%
Johnson Controls International plc19,244 656,990 
Masco Corp.5,969 299,704 
956,694 
Capital Markets — 1.4%
Bank of New York Mellon Corp. (The)14,863 574,455 
BlackRock, Inc.549 298,705 
873,160 
Chemicals — 0.3%
Akzo Nobel NV866 77,476 
DuPont de Nemours, Inc.2,044 108,598 
186,074 
Commercial Services and Supplies — 0.8%
Republic Services, Inc.(1)
5,633 462,188 
Communications Equipment — 0.3%
Cisco Systems, Inc.3,499 163,193 
Construction Materials — 0.7%
Martin Marietta Materials, Inc.1,971 407,150 
Consumer Finance — 1.2%
American Express Co.7,684 731,517 
Containers and Packaging — 0.7%
Packaging Corp. of America3,279 327,244 
WestRock Co.3,583 101,256 
428,500 
Diversified Telecommunication Services — 0.9%
Verizon Communications, Inc.(1)
9,943 548,158 
Electric Utilities — 3.9%
Duke Energy Corp.3,692 294,954 
Edison International4,075 221,313 
Evergy, Inc.9,791 580,508 



Eversource Energy6,799 566,153 
Pinnacle West Capital Corp.(1)
3,925 287,663 
Xcel Energy, Inc.(1)
7,011 438,188 
2,388,779 
Electrical Equipment — 1.6%
Emerson Electric Co.15,699 973,809 
Energy Equipment and Services — 0.9%
Schlumberger Ltd.29,255 537,999 
Equity Real Estate Investment Trusts (REITs) — 1.3%
American Tower Corp.876 226,481 
Camden Property Trust1,932 176,237 
MGM Growth Properties LLC, Class A7,264 197,653 
Welltower, Inc.4,018 207,932 
808,303 
Food and Staples Retailing — 1.8%
Koninklijke Ahold Delhaize NV5,564 151,515 
Sysco Corp.(1)
10,279 561,850 
Walmart, Inc.(1)
3,208 384,254 
1,097,619 
Food Products — 0.6%
Nestle SA, ADR3,105 342,916 
Gas Utilities — 2.7%
Atmos Energy Corp.(1)
6,391 636,416 
ONE Gas, Inc.5,231 403,048 
Spire, Inc.(1)
9,507 624,705 
1,664,169 
Health Care Equipment and Supplies — 2.0%
Becton Dickinson and Co.2,473 591,715 
Medtronic plc7,003 642,175 
1,233,890 
Health Care Providers and Services — 2.0%
Cigna Corp.795 149,182 
McKesson Corp.(1)
2,921 448,140 
Quest Diagnostics, Inc.3,214 366,267 
Universal Health Services, Inc., Class B3,036 282,014 
1,245,603 
Household Durables — 0.4%
Electrolux AB, Series B5,413 90,364 
Toll Brothers, Inc.4,153 135,346 
225,710 
Household Products — 0.8%
Kimberly-Clark Corp.(1)
3,254 459,953 
Industrial Conglomerates — 0.7%
Siemens AG, ADR7,400 436,526 
Insurance — 4.2%
Chubb Ltd.9,420 1,192,760 
Marsh & McLennan Cos., Inc.(1)
6,719 721,419 
MetLife, Inc.(1)
7,513 274,375 
Reinsurance Group of America, Inc.4,316 338,547 
2,527,101 
IT Services — 2.3%
Automatic Data Processing, Inc.3,736 556,253 
Visa, Inc., Class A(1)
4,515 872,163 
1,428,416 




Machinery — 6.7%
Atlas Copco AB, B Shares(1)
79,367 2,930,808 
Deere & Co.2,725 428,234 
Ingersoll Rand, Inc.(2)
3,617 101,710 
PACCAR, Inc.3,970 297,154 
Schindler Holding AG, Bearer Participation Certificate1,460 343,259 
4,101,165 
Media — 4.2%
Fox Corp., Class B
94,234 2,529,241 
Multi-Utilities — 1.5%
CMS Energy Corp.7,108 415,249 
WEC Energy Group, Inc.5,957 522,131 
937,380 
Oil, Gas and Consumable Fuels — 6.8%
Chevron Corp.2,394 213,616 
ConocoPhillips6,732 282,879 
Enterprise Products Partners LP16,394 297,879 
Royal Dutch Shell plc, Class B ADR87,626 2,668,212 
TOTAL SA, ADR17,279 664,550 
4,127,136 
Paper and Forest Products — 0.5%
Mondi plc16,264 303,906 
Personal Products — 0.6%
Unilever NV (New York)6,587 350,890 
Pharmaceuticals — 2.0%
GlaxoSmithKline plc, ADR3,786 154,431 
Johnson & Johnson(1)
2,898 407,546 
Pfizer, Inc.(1)
12,481 408,129 
Roche Holding AG, ADR5,245 227,528 
1,197,634 
Road and Rail — 1.2%
Norfolk Southern Corp.1,732 304,087 
Union Pacific Corp.2,503 423,182 
727,269 
Semiconductors and Semiconductor Equipment — 0.5%
Texas Instruments, Inc.2,353 298,760 
Software — 0.7%
Microsoft Corp.(1)
1,961 399,083 
Specialty Retail — 0.3%
TJX Cos., Inc. (The)3,815 192,886 
Thrifts and Mortgage Finance — 0.9%
Capitol Federal Financial, Inc.(1)
49,595 546,041 
TOTAL COMMON STOCKS
(Cost $34,488,672)
41,245,205 
CONVERTIBLE BONDS — 13.9%
Automobiles — 4.9%
Tesla, Inc., 2.00%, 5/15/24855,000 3,002,047 
Semiconductors and Semiconductor Equipment — 9.0%
Microchip Technology, Inc., 1.625%, 2/15/271,625,000 2,401,014 
Teradyne, Inc., 1.25%, 12/15/231,130,000 3,034,560 
5,435,574 
TOTAL CONVERTIBLE BONDS
(Cost $4,899,684)
8,437,621 



EXCHANGE-TRADED FUNDS — 7.3%
Consumer Discretionary Select Sector SPDR Fund8,038 1,026,533 
iShares Russell 1000 Value ETF27,072 3,048,848 
iShares U.S. Real Estate ETF2,189 172,515 
SPDR S&P Insurance ETF7,854 214,807 
TOTAL EXCHANGE-TRADED FUNDS
(Cost $4,086,719)
4,462,703 
CONVERTIBLE PREFERRED STOCKS — 2.0%
Auto Components — 0.5%
Aptiv plc, 5.50%, 6/15/232,990 307,312 
Electric Utilities — 1.5%
PG&E Corp., 5.50%, 8/16/239,486 910,656 
TOTAL CONVERTIBLE PREFERRED STOCKS
(Cost $1,247,600)
1,217,968 
TEMPORARY CASH INVESTMENTS — 10.2%
Repurchase Agreement, BMO Capital Markets Corp., (collateralized by various U.S. Treasury obligations, 2.125% - 3.125%, 12/31/22 - 2/15/43, valued at $2,716,735), in a joint trading account at 0.02%, dated 6/30/20, due 7/1/20 (Delivery value $2,664,558)2,664,557 
Repurchase Agreement, Fixed Income Clearing Corp., (collateralized by various U.S. Treasury obligations, 3.375%, 11/15/48, valued at $3,537,377), at 0.05%, dated 6/30/20, due 7/1/20 (Delivery value $3,468,005)3,468,000 
State Street Institutional U.S. Government Money Market Fund, Premier Class44,889 44,889 
TOTAL TEMPORARY CASH INVESTMENTS
(Cost $6,177,446)
6,177,446 
TOTAL INVESTMENT SECURITIES BEFORE SECURITIES SOLD SHORT — 101.2%
(Cost $50,900,121)
61,540,943 
SECURITIES SOLD SHORT — (89.5)%
COMMON STOCKS SOLD SHORT — (79.3)%
Aerospace and Defense — (5.1)%
HEICO Corp.(26,567)(2,647,402)
Raytheon Technologies Corp.(7,594)(467,942)
(3,115,344)
Air Freight and Logistics — (0.4)%
FedEx Corp.(1,791)(251,134)
Auto Components — (0.5)%
BorgWarner, Inc.(8,981)(317,029)
Automobiles — (6.0)%
Ford Motor Co.(65,609)(398,903)
Harley-Davidson, Inc.(9,558)(227,194)
Tesla, Inc.(2,781)(3,002,951)
(3,629,048)
Banks — (2.6)%
Bank of Hawaii Corp.(4,515)(277,266)
Bank OZK(23,610)(554,127)
M&T Bank Corp.(4,112)(427,524)
National Bank of Canada(3,384)(153,347)
Regions Financial Corp.(14,977)(166,544)
(1,578,808)
Beverages — (1.0)%
Coca-Cola Co. (The)(6,390)(285,505)
Heineken NV(3,187)(293,497)
(579,002)
Building Products — (1.6)%
Carrier Global Corp.(14,295)(317,635)
Daikin Industries Ltd.(2,200)(353,774)




Fortune Brands Home & Security, Inc.(4,697)(300,279)
(971,688)
Capital Markets — (1.7)%
FactSet Research Systems, Inc.(496)(162,921)
Franklin Resources, Inc.(14,699)(308,238)
State Street Corp.(8,996)(571,696)
(1,042,855)
Chemicals — (0.1)%
PPG Industries, Inc.(794)(84,212)
Commercial Services and Supplies — (0.8)%
Waste Management, Inc.(4,466)(472,994)
Communications Equipment — (0.3)%
Juniper Networks, Inc.(7,118)(162,717)
Construction Materials — (0.7)%
Vulcan Materials Co.(3,468)(401,768)
Consumer Finance — (1.2)%
Discover Financial Services(14,796)(741,132)
Containers and Packaging — (0.7)%
International Paper Co.(12,114)(426,534)
Diversified Telecommunication Services — (0.9)%
AT&T, Inc.(18,275)(552,453)
Electric Utilities — (1.2)%
American Electric Power Co., Inc.(5,480)(436,427)
Southern Co. (The)(5,653)(293,108)
(729,535)
Energy Equipment and Services — (0.9)%
Baker Hughes Co.(36,408)(560,319)
Entertainment — (0.2)%
Walt Disney Co. (The)(1,199)(133,700)
Equity Real Estate Investment Trusts (REITs) — (1.6)%
Apartment Investment & Management Co., Class A(4,587)(172,655)
Brixmor Property Group, Inc.(14,911)(191,159)
Crown Castle International Corp.(1,322)(221,237)
SL Green Realty Corp.(3,498)(172,416)
Ventas, Inc.(5,537)(202,765)
(960,232)
Food and Staples Retailing — (1.2)%
Kroger Co. (The)(4,272)(144,607)
US Foods Holding Corp.(28,398)(560,009)
(704,616)
Food Products — (0.6)%
General Mills, Inc.(5,739)(353,809)
Health Care Equipment and Supplies — (2.0)%
Abbott Laboratories(6,442)(588,992)
Boston Scientific Corp.(9,869)(346,501)
Stryker Corp.(1,705)(307,224)
(1,242,717)
Health Care Providers and Services — (2.1)%
Cardinal Health, Inc.(8,698)(453,949)
HCA Healthcare, Inc.(2,981)(289,336)
Laboratory Corp. of America Holdings(2,193)(364,279)
UnitedHealth Group, Inc.(522)(153,964)
(1,261,528)



Household Durables — (0.4)%
KB Home(4,384)(134,501)
Whirlpool Corp.(756)(97,925)
(232,426)
Household Products — (1.3)%
Procter & Gamble Co. (The)(6,819)(815,348)
Industrial Conglomerates — (0.9)%
3M Co.(687)(107,165)
General Electric Co.(64,461)(440,269)
(547,434)
Insurance — (4.5)%
Allstate Corp. (The)(2,203)(213,669)
Aon plc, Class A(3,731)(718,590)
Cincinnati Financial Corp.(3,258)(208,610)
Prudential Financial, Inc.(10,079)(613,811)
Travelers Cos., Inc. (The)(8,714)(993,832)
(2,748,512)
Internet and Direct Marketing Retail — (0.6)%
Amazon.com, Inc.(143)(394,511)
IT Services — (2.4)%
MasterCard, Inc., Class A(2,966)(877,046)
Paychex, Inc.(7,622)(577,367)
(1,454,413)
Machinery — (8.3)%
AGCO Corp.(7,794)(432,255)
Atlas Copco AB, A Shares(69,358)(2,932,878)
Caterpillar, Inc.(7,678)(971,267)
Ingersoll Rand, Inc.(3,617)(101,710)
Kone Oyj, B Shares(4,944)(339,736)
Volvo AB, B Shares(18,845)(294,576)
(5,072,422)
Media — (4.2)%
Discovery, Inc., Class A(9,799)(206,759)
Fox Corp., Class A(86,558)(2,321,485)
(2,528,244)
Multi-Utilities — (1.9)%
Consolidated Edison, Inc.(7,218)(519,191)
DTE Energy Co.(3,796)(408,070)
Sempra Energy(1,932)(226,488)
(1,153,749)
Oil, Gas and Consumable Fuels — (6.4)%
BP plc, ADR(25,257)(588,993)
Exxon Mobil Corp.(7,008)(313,398)
Occidental Petroleum Corp.(15,486)(283,394)
Royal Dutch Shell plc, Class A ADR(82,064)(2,682,672)
(3,868,457)
Paper and Forest Products — (0.5)%
UPM-Kymmene Oyj(10,547)(304,365)
Pharmaceuticals — (2.0)%
Bristol-Myers Squibb Co.(8,827)(519,028)
Merck & Co., Inc.(7,133)(551,595)
Sanofi(1,505)(153,117)
(1,223,740)




Road and Rail — (1.5)%
Avis Budget Group, Inc.(8,291)(189,781)
CSX Corp.(10,578)(737,710)
(927,491)
Semiconductors and Semiconductor Equipment — (9.3)%
Microchip Technology, Inc.(21,899)(2,306,184)
Micron Technology, Inc.(5,803)(298,970)
Teradyne, Inc.(35,869)(3,031,289)
(5,636,443)
Specialty Retail — (1.7)%
Carvana Co.(2,248)(270,210)
Signet Jewelers Ltd.(18,882)(193,918)
Tractor Supply Co.(2,946)(388,253)
Williams-Sonoma, Inc.(2,318)(190,099)
(1,042,480)
TOTAL COMMON STOCKS SOLD SHORT
(Proceeds $38,630,404)
(48,223,209)
EXCHANGE-TRADED FUNDS SOLD SHORT — (10.2)%
Alerian MLP ETF(11,971)(295,444)
iShares Russell 1000 Growth ETF(15,103)(2,899,021)
Utilities Select Sector SPDR Fund(53,924)(3,042,932)
TOTAL EXCHANGE-TRADED FUNDS SOLD SHORT
(Proceeds $5,608,548)
(6,237,397)
TOTAL SECURITIES SOLD SHORT — (89.5)%
(Proceeds $44,238,952)
(54,460,606)
OTHER ASSETS AND LIABILITIES(3) — 88.3%
53,745,238 
TOTAL NET ASSETS — 100.0%$60,825,575 




FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS
Currency PurchasedCurrency SoldCounterpartySettlement DateUnrealized Appreciation
(Depreciation)
CAD3,906 USD2,886 Morgan Stanley9/30/20$(9)
CAD733 USD543 Morgan Stanley9/30/20(3)
CAD1,346 USD992 Morgan Stanley9/30/20(1)
CAD1,754 USD1,286 Morgan Stanley9/30/206 
CAD24 USD18 Morgan Stanley9/30/20 
USD3,889 CAD5,285 Morgan Stanley9/30/20(5)
USD1,301 CAD1,782 Morgan Stanley9/30/20(12)
USD840 CAD1,149 Morgan Stanley9/30/20(6)
CHF18,881 USD19,966 UBS AG9/30/2016 
USD799,396 CHF755,241 UBS AG9/30/20129 
EUR48,832 USD54,945 Credit Suisse AG9/30/2027 
USD1,018,896 EUR902,812 Credit Suisse AG9/30/202,566 
GBP284,352 USD354,774 JPMorgan Chase Bank N.A.9/30/20(2,249)
GBP14,501 USD17,947 JPMorgan Chase Bank N.A.9/30/2031 
USD15,269 GBP12,422 JPMorgan Chase Bank N.A.9/30/20(131)
JPY30,985,900 USD291,024 Bank of America N.A.9/30/20(3,692)
JPY1,131,350 USD10,552 Bank of America N.A.9/30/20(61)
SEK2,502,165 USD267,342 Goldman Sachs & Co.9/30/201,479 
SEK66,677 USD7,148 Goldman Sachs & Co.9/30/2015 
SEK47,890 USD5,138 Goldman Sachs & Co.9/30/207 
USD99,269 SEK921,273 Goldman Sachs & Co.9/30/20292 
USD8,258 SEK77,002 Goldman Sachs & Co.9/30/20(15)
USD6,877 SEK64,093 Goldman Sachs & Co.9/30/20(8)
USD9,176 SEK85,418 Goldman Sachs & Co.9/30/20(1)
$(1,625)

NOTES TO SCHEDULE OF INVESTMENTS
ADR-American Depositary Receipt
CAD-Canadian Dollar
CHF-Swiss Franc
EUR-Euro
GBP-British Pound
JPY-Japanese Yen
SEK-Swedish Krona
USD-United States Dollar
(1)Security, or a portion thereof, has been pledged at the custodian bank or with a broker for collateral requirements on securities sold short. At the period end, the aggregate value of securities pledged was $12,163,339.
(2)Non-income producing.
(3)Amount relates primarily to deposits for securities sold short at period end.




SUPPLEMENTARY NOTES TO SCHEDULE OF INVESTMENTS
1. Investment Valuations

The fund determines the fair value of its investments and computes its net asset value per share at the close of regular trading (usually 4 p.m. Eastern time) on the New York Stock Exchange (NYSE) on each day the NYSE is open. The Board of Directors has adopted valuation policies and procedures to guide the investment advisor in the fund’s investment valuation process and to provide methodologies for the oversight of the fund’s pricing function.
Equity securities that are listed or traded on a domestic securities exchange are valued at the last reported sales price or at the official closing price as provided by the exchange. Equity securities traded on foreign securities exchanges are generally valued at the closing price of such securities on the exchange where primarily traded or at the close of the NYSE, if that is earlier. If no last sales price is reported, or if local convention or regulation so provides, the mean of the latest bid and asked prices may be used. Securities traded over-the-counter are valued at the mean of the latest bid and asked prices, the last sales price, or the official closing price. Equity securities initially expressed in local currencies are translated into U.S. dollars at the mean of the appropriate currency exchange rate at the close of the NYSE as provided by an independent pricing service.
Fixed income securities are valued at the evaluated mean as provided by independent pricing services or at the mean of the most recent bid and asked prices as provided by investment dealers. Corporate and convertible bonds are valued using market models that consider trade data, quotations from dealers and active market makers, relevant yield curve and spread data, creditworthiness, trade data or market information on comparable securities, and other relevant security specific information.
Hybrid securities are valued at the evaluated mean as provided by independent pricing services or at the mean of the most recent bid and asked prices as provided by investment dealers. Preferred stocks and convertible preferred stocks with perpetual maturities are valued using market models that consider trade data, quotations from dealers and active market makers, relevant yield curve and spread data, creditworthiness, trade data or market information on comparable securities, and other relevant security specific information.
Open-end management investment companies are valued at the reported net asset value per share. Repurchase agreements are valued at cost, which approximates fair value. Forward foreign currency exchange contracts are valued at the mean of the appropriate forward exchange rate at the close of the NYSE as provided by an independent pricing service.
If the fund determines that the market price for an investment is not readily available or the valuation methods mentioned above do not reflect an investment’s fair value, such investment is valued as determined in good faith by the Board of Directors or its delegate, in accordance with policies and procedures adopted by the Board of Directors. In its determination of fair value, the fund may review several factors including, but not limited to, market information regarding the specific investment or comparable investments and correlation with other investment types, futures indices or general market indicators. Circumstances that may cause the fund to use these procedures to value an investment include, but are not limited to: an investment has been declared in default or is distressed; trading in a security has been suspended during the trading day or a security is not actively trading on its principal exchange; prices received from a regular pricing source are deemed unreliable; or there is a foreign market holiday and no trading occurred.
The fund monitors for significant events occurring after the close of an investment’s primary exchange but before the fund’s net asset value per share is determined. Significant events may include, but are not limited to: corporate announcements and transactions; governmental action and political unrest that could impact a specific investment or an investment sector; or armed conflicts, natural disasters and similar events that could affect investments in a specific country or region. The fund also monitors for significant fluctuations between domestic and foreign markets, as evidenced by the U.S. market or such other indicators that the Board of Directors, or its delegate, deems appropriate. The fund may apply a model-derived factor to the closing price of equity securities traded on foreign securities exchanges. The factor is based on observable market data as provided by an independent pricing service.
2. Fair Value Measurements

The fund’s investments valuation process is based on several considerations and may use multiple inputs to determine the fair value of the investments held by the fund. In conformity with accounting principles generally accepted in the United States of America, the inputs used to determine a valuation are classified into three broad levels.

Level 1 valuation inputs consist of unadjusted quoted prices in an active market for identical investments.

Level 2 valuation inputs consist of direct or indirect observable market data (including quoted prices for comparable investments, evaluations of subsequent market events, interest rates, prepayment speeds, credit risk, etc.). These inputs also consist of quoted prices for identical investments initially expressed in local currencies that are adjusted through translation into U.S. dollars.

Level 3 valuation inputs consist of unobservable data (including a fund’s own assumptions).

The level classification is based on the lowest level input that is significant to the fair valuation measurement. The valuation inputs are not necessarily an indication of the risks associated with investing in these securities or other financial instruments.






The following is a summary of the level classifications as of period end. The Schedule of Investments provides additional information on the fund’s portfolio holdings.
Level 1 ($)Level 2 ($)Level 3 ($)
Assets
Investment Securities
Common Stocks
Banks884,825 153,126  
Beverages280,656 295,303  
Chemicals108,598 77,476  
Food and Staples Retailing946,104 151,515  
Household Durables135,346 90,364  
Machinery827,098 3,274,067  
Paper and Forest Products 303,906  
Other Industries33,716,821   
Convertible Bonds 8,437,621  
Exchange-Traded Funds4,462,703   
Convertible Preferred Stocks1,217,968   
Temporary Cash Investments44,889 6,132,557  
42,625,008 18,915,935  
Other Financial Instruments
Forward Foreign Currency Exchange Contracts 4,568  
Liabilities
Securities Sold Short
Common Stocks
Banks1,425,461 153,347  
Beverages285,505 293,497  
Building Products617,914 353,774  
Machinery1,505,232 3,567,190  
Paper and Forest Products 304,365  
Pharmaceuticals1,070,623 153,117  
Other Industries38,493,184   
Exchange-Traded Funds6,237,397   
49,635,316 4,825,290  
Other Financial Instruments
Forward Foreign Currency Exchange Contracts 6,193  

This schedule of investments provides information about the fund’s portfolio holdings as of the date on the schedule. It is unaudited, and American Century Investments assumes no obligation to update or supplement the schedule to reflect subsequent changes. More information is available in the fund’s most recent annual or semiannual shareholder report.