NOTES TO FINANCIAL STATEMENTS
January 31, 2013
American Pension Investors Trust (the Trust) is organized as a Massachusetts business trust and is registered
under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company. The accompanying financial statements include the Capital Income Fund, Growth Fund, Income Fund, Core Income Fund, Value
Fund, and Master Allocation Fund (collectively the Funds). Each Fund offers Class A and Class L shares. In addition, the Capital Income Fund and the Income Fund offer Institutional Class shares.
Prior to May 30, 2012, the Core Income Fund
was named the Multiple Index Fund. The Funds Board of Trustees approved the name change so that the name would better reflect the investment practices of the Fund. In addition, on that same date, Class C shares in each Fund were converted to
Class L shares. As a result, sales of these shares are no longer subject to a one year contingent deferred sales charge (CDSC). Class C shares that were purchased prior to May 30, 2012 will retain their CDSC for the full one year
period from the date of purchase. Also on May 30, 2012, Class A shares of the Capital Income Fund were converted to Institutional Class shares, and Class D shares of the Capital Income Fund were converted to Class A shares and re-opened for
purchase by the general public. As a result, the Institutional Class shares will not be subject to a front-end sales charge, and the new Class A shares will be subject to the same front-end sales charges as all other Class A shares offered by the
Funds.
The Capital Income
Funds investment objective is to seek to achieve high current income, as well as growth of capital and income. The Growth Funds investment objective is growth of capital. The Capital Income Fund and Growth Fund invest primarily in the
common stock of U.S. and foreign issuers, securities issued by investment companies (Underlying Funds), including open-end mutual funds, closed-end funds, unit investment trusts, and foreign investment companies, long-, intermediate- or
short-term bonds and other fixed-income securities, and index securities (Index Securities), including exchange traded funds and similar securities that represent interests in a portfolio of common stocks or fixed income securities
seeking to track the performance of a securities index or similar benchmark.
The Income Funds investment objective is current income with limited credit risk. The Income Fund invests primarily in debt securities, including U.S. Government securities and
corporate bonds, common stock of U.S. and foreign issuers, securities issued by Underlying Funds, and Index Securities.
The Core Income Funds investment objective is maximum total return from capital growth and income. The Multiple
Index Fund invests primarily in Index Securities, common stock of U.S. and foreign issuers, and securities issued by Underlying Funds.
The Value Funds investment objective is growth of capital, as well as income. The Value Fund invests primarily in
the common stock of U.S. and foreign issuers, securities issued by Underlying Funds, and Index Securities.
The Master Allocation Funds investment objective is long term capital appreciation and current income. Under normal
conditions, Yorktown Management & Research Company, Inc., the Funds investment advisor (the Advisor), seeks to achieve the Funds investment objective by investing in a variety of equity and debt securities. The Advisor
currently invests Fund assets in securities issued by other Underlying Funds managed by the Advisor, but reserves the right to invest Fund assets in other equity and debt securities as it deems appropriate in seeking to achieve the Funds
investment objective.
42
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
2.
|
|
Significant Accounting Policies
|
Portfolio Valuation
The Funds investments in Underlying Funds are valued daily at their respective closing net asset values in
accordance with the 1940 Act. Securities that are listed on U.S. exchanges (other than exchange traded funds (ETFs)) are valued at the last sales price on the day the securities are valued or, lacking any sales on such day, at the
previous days closing price. ETFs are valued at the last sales price on the ETFs primary exchange on the day the securities are valued or, lacking any sales on such day, either at the value assigned by a nationally recognized third-party
pricing service or at the previous days closing price. Securities listed on NASDAQ are valued at the NASDAQ Official Closing Price. U.S. Treasury securities and corporate bonds are valued at an evaluated mean of the bid and asked prices.
Securities for which market quotations are unavailable or unreliable are valued at fair value as determined in good faith by or under the direction of the Board of Trustees.
The Funds utilize various methods to measure
the fair value of most of their investments on a recurring basis. Generally accepted accounting principles establish a hierarchy that prioritizes inputs to valuation methods. The three levels of inputs are:
|
|
|
Level 1Unadjusted quoted prices in active markets for identical assets that the Funds have the ability to access.
|
|
|
|
Level 2Observable inputs other than quoted prices included in Level 1 that are observable for the asset, either directly or
indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
|
|
|
|
Level 3Unobservable inputs for the asset, to the extent relevant observable inputs are not available, representing a Funds
own assumptions about the assumptions a market participant would use in valuing the asset, and would be based on the best information available.
|
The availability of observable inputs can
vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics
particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in
determining fair value is greatest for instruments categorized in Level 3.
The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which
the fair value measurement falls in its entirety is determined based on the lowest level input that is significant to the fair value measurement in its entirety.
The inputs or methodologies 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, as of January 31, 2013, in valuing the Funds assets carried at fair value.
43
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
2.
|
|
Significant Accounting Policies, continued
|
Capital Income Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in Securities
|
|
Level 1
Quoted
Prices
|
|
|
Level 2
Other
Significant
Observable
Inputs
|
|
|
Level 3
Significant
Unobservable
Inputs
|
|
|
Total
|
|
Closed-end Funds
|
|
$
|
504,670
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
504,670
|
|
Common Stocks
(1)
|
|
|
21,166,492
|
|
|
|
|
|
|
|
|
|
|
|
21,166,492
|
|
Exchange Traded Funds
|
|
|
1,600,470
|
|
|
|
|
|
|
|
|
|
|
|
1,600,470
|
|
Limited Partnerships
|
|
|
437,853
|
|
|
|
|
|
|
|
|
|
|
|
437,853
|
|
Real Estate Investment Trusts
|
|
|
1,624,972
|
|
|
|
|
|
|
|
|
|
|
|
1,624,972
|
|
Structures Notes
|
|
|
|
|
|
|
517,305
|
|
|
|
|
|
|
|
517,305
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
$
|
25,334,457
|
|
|
$
|
517,305
|
|
|
$
|
|
|
|
$
|
25,851,762
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Growth
Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in Securities
|
|
Level 1
Quoted
Prices
|
|
|
Level 2
Other
Significant
Observable
Inputs
|
|
|
Level 3
Significant
Unobservable
Inputs
|
|
|
Total
|
|
Common Stocks
(1)
|
|
$
|
37,073,103
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
37,073,103
|
|
Exchange Traded Funds
|
|
|
3,520,461
|
|
|
|
|
|
|
|
|
|
|
|
3,520,461
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
$
|
40,593,564
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
40,593,564
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income
Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in Securities
|
|
Level 1
Quoted
Prices
|
|
|
Level 2
Other
Significant
Observable
Inputs
|
|
|
Level 3
Significant
Unobservable
Inputs
|
|
|
Total
|
|
Closed-end Funds
|
|
$
|
68,598,113
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
68,598,113
|
|
Common Stocks
(1)
|
|
|
79,460,928
|
|
|
|
|
|
|
|
|
|
|
|
47,124,818
|
|
Corporate Bonds
|
|
|
|
|
|
|
4,276,021
|
|
|
|
|
|
|
|
4,276,021
|
|
Exchange Traded Funds
|
|
|
179,636,294
|
|
|
|
|
|
|
|
|
|
|
|
211,972,404
|
|
Limited Partnerships
|
|
|
3,550,000
|
|
|
|
|
|
|
|
|
|
|
|
3,550,000
|
|
Municipal Bonds
|
|
|
|
|
|
|
207,650
|
|
|
|
|
|
|
|
207,650
|
|
Preferred Stocks
|
|
|
19,128,896
|
|
|
|
|
|
|
|
|
|
|
|
19,128,896
|
|
Real Estate Investment Trusts
|
|
|
102,435,225
|
|
|
|
|
|
|
|
|
|
|
|
102,435,225
|
|
Structured Notes
|
|
|
|
|
|
|
15,852,986
|
|
|
|
|
|
|
|
15,852,986
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
$
|
452,809,456
|
|
|
$
|
20,336,657
|
|
|
$
|
|
|
|
$
|
473,146,113
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
44
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
2.
|
|
Significant Accounting Policies, continued
|
Core Income Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in Securities
|
|
Level 1
Quoted
Prices
|
|
|
Level 2
Other
Significant
Observable
Inputs
|
|
|
Level 3
Significant
Unobservable
Inputs
|
|
|
Total
|
|
Closed-end Funds
|
|
$
|
1,949,180
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
1,949,180
|
|
Corporate Bonds
|
|
|
|
|
|
|
3,102,925
|
|
|
|
|
|
|
|
3,102,925
|
|
Exchange Traded Funds
|
|
|
13,009,318
|
|
|
|
|
|
|
|
|
|
|
|
13,009,318
|
|
Preferred Stocks
|
|
|
1,510,945
|
|
|
|
|
|
|
|
|
|
|
|
1,510,945
|
|
Structured Notes
|
|
|
|
|
|
|
617,930
|
|
|
|
|
|
|
|
617,930
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
$
|
16,469,443
|
|
|
$
|
3,720,855
|
|
|
$
|
|
|
|
$
|
20,190,298
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Value
Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in Securities
|
|
Level 1
Quoted
Prices
|
|
|
Level 2
Other
Significant
Observable
Inputs
|
|
|
Level 3
Significant
Unobservable
Inputs
|
|
|
Total
|
|
Common Stocks
(1)
|
|
$
|
19,735,550
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
19,735,550
|
|
Limited Partnerships
|
|
|
179,890
|
|
|
|
|
|
|
|
|
|
|
|
179,890
|
|
Exchange Traded Funds
|
|
|
2,077,638
|
|
|
|
|
|
|
|
|
|
|
|
2,077,638
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
$
|
21,993,078
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
21,993,078
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Master
Allocation Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in Securities
|
|
Level 1
Quoted
Prices
|
|
|
Level 2
Other
Significant
Observable
Inputs
|
|
|
Level 3
Significant
Unobservable
Inputs
|
|
|
Total
|
|
Mutual Funds
|
|
$
|
32,858,942
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
32,858,942
|
|
(1)
|
|
See schedule of investments for segregation by the size of
the company in which the Fund invests.
|
There were no transfers into or out of Levels 1 and 2 during the current period presented. Transfers are recognized at the end of the reporting period.
Security Transactions and Investment
Income
Security transactions
are accounted for on the trade date. Realized gains and losses from security transactions are reported on an identified-cost basis for both financial statement and federal income tax purposes. Dividend income and distributions to shareholders are
recorded on the ex-dividend date. Interest income and expenses are recorded on an accrual basis.
45
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
2.
|
|
Significant Accounting Policies, continued
|
Use of Estimates
The preparation of financial statements in
conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Class Net Asset Values and Expenses
All income, expenses not
attributable to a particular class, and realized and unrealized gains are allocated to each class proportionately for purposes of determining the net asset value of each class. Certain shareholder servicing and distribution fees are allocated to the
particular class to which they are attributable.
The Funds currently offer Class A shares which include a maximum front-end sales charge (load) of 5.75%. Class A shares may be purchased without a front-end sales charge under certain
circumstances. A contingent deferred sales charge (CDSC) of 1.00% is generally imposed on redemptions of Class L shares made within one year of the date of purchase if the purchase was made prior to May 30, 2012. Consequently, redemption
value may differ from net asset value. Purchases of Class L shares on or after May 30, 2012 are not subject to a CDSC.
Other
In the normal course of business, the Trust enters into contracts that contain a variety of representations which provide
general indemnifications. The Trusts maximum exposure under these arrangements is unknown as this would involve future claims that may be made against the Trust that have not yet occurred. However, based on experience, the Trust expects the
risk of loss to be remote.
In
preparing these financial statements, management has evaluated Fund related events and transactions for potential recognition or disclosure through the date the financial statements were issued. There were no events or transactions that occurred
during the period that materially impacted the amounts or disclosures in the Funds financial statements.
3.
|
|
Investment Advisory and Accounting Services Agreements
|
The Advisor, whose principal stockholder is
also a trustee of the Trust, serves as the Funds investment advisor and manager. For its services, the Advisor receives a fee, calculated daily and payable monthly, at an annual rate of .60% of the average daily net assets of the Capital
Income Fund; 1.00% of the first $100 million of the average daily net assets of the Growth Fund and .75% of the average daily net assets exceeding $100 million; .40% of the average daily net assets of the Income Fund; .70% of the average daily net
assets of the Core Income Fund; .90% of the average daily net assets of the Value Fund; and .30% of the average daily net assets of the Master Allocation Fund.
In addition, the Advisor provides certain accounting and pricing services for the Funds. For the year ended
January 31, 2013, the Advisor received $42,510, $38,757, $69,203, $37,117, and $37,185 from the Capital Income Fund, Growth Fund, Income Fund, Core Income Fund, and Value Fund, respectively. The Advisor does not currently charge administrative
services and accounting services fees for the Master Allocation Fund.
46
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
4.
|
|
Distribution Plan and Fees
|
The Trust has adopted Rule 12b-1 Plans of Distribution providing for the payment of distribution and service fees to the
Funds distributor. Class A Shares of the Capital Income Fund pay a fee of 0.50% of the Class A shares average daily net assets. Of this amount, 0.25% represents distribution fees and 0.25% represents shareholder servicing fees. Class A
Shares of the Income Fund and Master Allocation Fund pay a fee of 0.50% of each Class A shares average daily net assets for distribution fees. Class L Shares of the Capital Income Fund, Growth Fund, Income Fund, Core Income Fund and Master
Allocation Fund pay a fee of 1.00% of each Class L Shares average daily net assets. Of this amount, 0.75% represents distribution fees and 0.25% represents shareholder servicing fees. Class L Shares of the Value Fund pay a fee of 0.90% of the
Class L Shares average daily net assets. Of this amount, 0.65% represents distribution fees and 0.25% represents shareholder servicing fees.
For the year ended January 31, 2013, total aggregate purchases and proceeds from sales of investment securities (excluding
short-term securities) were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchases
|
|
|
Sales
|
|
|
U.S.
Government
Purchases
|
|
|
U.S.
Government
Sales
|
|
Capital Income Fund
|
|
$
|
9,033,764
|
|
|
$
|
9,571,237
|
|
|
$
|
|
|
|
$
|
|
|
Growth Fund
|
|
|
20,379,863
|
|
|
|
22,424,702
|
|
|
|
|
|
|
|
|
|
Income Fund
|
|
|
397,904,597
|
|
|
|
114,911,535
|
|
|
|
|
|
|
|
|
|
Core Income Fund
|
|
|
12,947,326
|
|
|
|
15,705,286
|
|
|
|
|
|
|
|
|
|
Value Fund
|
|
|
20,175,272
|
|
|
|
22,915,975
|
|
|
|
|
|
|
|
|
|
Master Allocation Fund
|
|
|
2,210,000
|
|
|
|
5,446,191
|
|
|
|
|
|
|
|
|
|
47
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
6.
|
|
Fund Share Transactions
|
Share transactions for the period ended January 31, 2013 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount
|
|
|
Shares
|
|
|
|
Sold
|
|
|
Reinvested
From
Distributions
|
|
|
Redeemed
|
|
|
Net
Change
|
|
|
Sold
|
|
|
Reinvested
From
Distributions
|
|
|
Redeemed
|
|
|
Net
Change
|
|
Capital Income Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
308,481
|
|
|
|
59,390
|
|
|
|
(831,055
|
)
|
|
|
(463,184
|
)
|
|
|
8,001
|
|
|
|
1,581
|
|
|
|
(21,975
|
)
|
|
|
(12,393
|
)
|
Class L
|
|
|
1,051,189
|
|
|
|
100,915
|
|
|
|
(1,224,094
|
)
|
|
|
(71,990
|
)
|
|
|
27,906
|
|
|
|
2,748
|
|
|
|
(32,860
|
)
|
|
|
(2,206
|
)
|
Institutional Class
|
|
|
1,987,119
|
|
|
|
70,979
|
|
|
|
(2,263,057
|
)
|
|
|
(204,959
|
)
|
|
|
51,473
|
|
|
|
1,860
|
|
|
|
(59,201
|
)
|
|
|
(5,868
|
)
|
|
|
|
|
|
|
|
|
|
Growth Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
2,832,213
|
|
|
|
|
|
|
|
(3,047,054
|
)
|
|
|
(214,841
|
)
|
|
|
267,986
|
|
|
|
|
|
|
|
(302,819
|
)
|
|
|
(34,833
|
)
|
Class L
|
|
|
2,196,461
|
|
|
|
|
|
|
|
(3,568,397
|
)
|
|
|
(1,371,936
|
)
|
|
|
229,932
|
|
|
|
|
|
|
|
(380,752
|
)
|
|
|
(150,820
|
)
|
|
|
|
|
|
|
|
|
|
Income Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
119,589,472
|
|
|
|
5,213,163
|
|
|
|
(16,854,323
|
)
|
|
|
107,948,312
|
|
|
|
10,272,408
|
|
|
|
449,119
|
|
|
|
(1,440,305
|
)
|
|
|
9,281,222
|
|
Class L
|
|
|
162,998,020
|
|
|
|
7,386,628
|
|
|
|
(19,648,107
|
)
|
|
|
150,736,541
|
|
|
|
14,423,133
|
|
|
|
658,309
|
|
|
|
(1,742,936
|
)
|
|
|
13,338,506
|
|
Institutional Class
|
|
|
43,866,949
|
|
|
|
1,634,792
|
|
|
|
(4,650,062
|
)
|
|
|
40,851,679
|
|
|
|
3,640,228
|
|
|
|
136,371
|
|
|
|
(388,314
|
)
|
|
|
3,388,285
|
|
|
|
|
|
|
|
|
|
|
Core Income Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
2,237,901
|
|
|
|
90,200
|
|
|
|
(2,665,576
|
)
|
|
|
(337,475
|
)
|
|
|
175,524
|
|
|
|
7,013
|
|
|
|
(207,916
|
)
|
|
|
(25,379
|
)
|
Class L
|
|
|
3,577,529
|
|
|
|
228,933
|
|
|
|
(5,366,025
|
)
|
|
|
(1,559,563
|
)
|
|
|
300,036
|
|
|
|
18,968
|
|
|
|
(451,420
|
)
|
|
|
(132,416
|
)
|
|
|
|
|
|
|
|
|
|
Value Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
1,417,889
|
|
|
|
|
|
|
|
(2,723,113
|
)
|
|
|
(1,305,224
|
)
|
|
|
107,869
|
|
|
|
|
|
|
|
(215,036
|
)
|
|
|
(107,167
|
)
|
Class L
|
|
|
1,133,133
|
|
|
|
|
|
|
|
(2,385,956
|
)
|
|
|
(1,252,823
|
)
|
|
|
94,760
|
|
|
|
|
|
|
|
(199,120
|
)
|
|
|
(104,360
|
)
|
|
|
|
|
|
|
|
|
|
Master Allocation Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
1,749,313
|
|
|
|
|
|
|
|
(4,631,143
|
)
|
|
|
(2,881,830
|
)
|
|
|
61,998
|
|
|
|
|
|
|
|
(169,414
|
)
|
|
|
(107,416
|
)
|
Class L
|
|
|
5,577,687
|
|
|
|
|
|
|
|
(5,665,532
|
)
|
|
|
(87,845
|
)
|
|
|
202,507
|
|
|
|
|
|
|
|
(206,168
|
)
|
|
|
(3,661
|
)
|
At January
31, 2013, net assets per class consisted of the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
Income
Fund
|
|
|
Growth
Fund
|
|
|
Income
Fund
|
|
|
Core
Income
Fund
|
|
|
Value
Fund
|
|
|
Master
Allocation
Fund
|
|
Class A
|
|
$
|
3,658,625
|
|
|
$
|
16,670,858
|
|
|
$
|
189,833,002
|
|
|
$
|
3,985,931
|
|
|
$
|
13,555,729
|
|
|
$
|
9,487,723
|
|
Class L
|
|
|
8,482,458
|
|
|
|
24,773,281
|
|
|
|
248,674,932
|
|
|
|
16,856,459
|
|
|
|
8,985,524
|
|
|
|
23,601,035
|
|
Institutional Class
|
|
|
14,230,891
|
|
|
|
|
|
|
|
53,453,653
|
|
|
|
|
|
|
|
|
|
|
|
|
|
48
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
6.
|
|
Fund Share Transactions, continued
|
Share transactions for the year ended January 31, 2012 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount
|
|
|
Shares
|
|
|
|
Sold
|
|
|
Reinvested
From
Distributions
|
|
|
Redeemed
|
|
|
Net
Change
|
|
|
Sold
|
|
|
Reinvested
From
Distributions
|
|
|
Redeemed
|
|
|
Net
Change
|
|
Capital Income Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
6,609,637
|
|
|
|
69,238
|
|
|
|
(4,879,937
|
)
|
|
|
1,798,938
|
|
|
|
178,659
|
|
|
|
1,894
|
|
|
|
(144,312
|
)
|
|
|
36,241
|
|
Class C
|
|
|
536,667
|
|
|
|
105,373
|
|
|
|
(1,428,394
|
)
|
|
|
(786,354
|
)
|
|
|
15,131
|
|
|
|
3,010
|
|
|
|
(40,731
|
)
|
|
|
(22,590
|
)
|
Class D
|
|
|
8,490
|
|
|
|
65,276
|
|
|
|
(384,279
|
)
|
|
|
(310,513
|
)
|
|
|
227
|
|
|
|
1,826
|
|
|
|
(10,444
|
)
|
|
|
(8,391
|
)
|
|
|
|
|
|
|
|
|
|
Growth Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
5,855,314
|
|
|
|
|
|
|
|
(4,006,800
|
)
|
|
|
1,848,514
|
|
|
|
608,975
|
|
|
|
|
|
|
|
(441,939
|
)
|
|
|
167,036
|
|
Class C
|
|
|
1,096,856
|
|
|
|
|
|
|
|
(6,174,060
|
)
|
|
|
(5,077,204
|
)
|
|
|
125,404
|
|
|
|
|
|
|
|
(709,953
|
)
|
|
|
(584,549
|
)
|
|
|
|
|
|
|
|
|
|
Income Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
50,043,877
|
|
|
|
2,489,053
|
|
|
|
(15,370,590
|
)
|
|
|
37,162,340
|
|
|
|
4,339,008
|
|
|
|
221,934
|
|
|
|
(1,375,635
|
)
|
|
|
3,185,307
|
|
Class C
|
|
|
48,917,830
|
|
|
|
3,520,722
|
|
|
|
(11,176,242
|
)
|
|
|
41,262,310
|
|
|
|
4,368,699
|
|
|
|
323,506
|
|
|
|
(1,032,626
|
)
|
|
|
3,659,579
|
|
Institutional Class
|
|
|
6,959,585
|
|
|
|
568,386
|
|
|
|
(2,889,680
|
)
|
|
|
4,638,291
|
|
|
|
584,428
|
|
|
|
49,110
|
|
|
|
(256,164
|
)
|
|
|
377,374
|
|
|
|
|
|
|
|
|
|
|
Multiple Index Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
4,067,379
|
|
|
|
|
|
|
|
(3,603,115
|
)
|
|
|
464,264
|
|
|
|
332,919
|
|
|
|
|
|
|
|
(297,031
|
)
|
|
|
35,888
|
|
Class C
|
|
|
7,144,198
|
|
|
|
|
|
|
|
(6,647,722
|
)
|
|
|
496,476
|
|
|
|
622,883
|
|
|
|
|
|
|
|
(575,085
|
)
|
|
|
47,798
|
|
|
|
|
|
|
|
|
|
|
Value Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
5,200,562
|
|
|
|
|
|
|
|
(3,065,020
|
)
|
|
|
2,135,542
|
|
|
|
410,262
|
|
|
|
|
|
|
|
(259,317
|
)
|
|
|
150,945
|
|
Class C
|
|
|
730,003
|
|
|
|
|
|
|
|
(5,805,860
|
)
|
|
|
(5,075,857
|
)
|
|
|
63,927
|
|
|
|
|
|
|
|
(508,216
|
)
|
|
|
(444,289
|
)
|
|
|
|
|
|
|
|
|
|
Master Allocation Fund:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
6,217,062
|
|
|
|
|
|
|
|
(3,993,048
|
)
|
|
|
2,224,014
|
|
|
|
232,155
|
|
|
|
|
|
|
|
(155,741
|
)
|
|
|
76,414
|
|
Class L
|
|
|
8,983,543
|
|
|
|
|
|
|
|
(5,842,685
|
)
|
|
|
3,140,858
|
|
|
|
335,566
|
|
|
|
|
|
|
|
(229,106
|
)
|
|
|
106,460
|
|
At January
31, 2012, net assets per class consisted of the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
Income
Fund
|
|
|
Growth
Fund
|
|
|
Income
Fund
|
|
|
Multiple
Index
Fund
|
|
|
Value
Fund
|
|
|
Master
Allocation
Fund
|
|
Class A
|
|
$
|
13,135,434
|
|
|
$
|
14,581,565
|
|
|
$
|
69,652,776
|
|
|
$
|
4,115,526
|
|
|
$
|
13,579,431
|
|
|
$
|
11,388,978
|
|
Class C
|
|
|
7,791,910
|
|
|
|
22,728,435
|
|
|
|
83,596,141
|
|
|
|
17,650,604
|
|
|
|
9,404,956
|
|
|
|
|
|
Class D
|
|
|
3,779,076
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Institutional Class
|
|
|
|
|
|
|
|
|
|
|
9,763,714
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class L
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
21,279,689
|
|
49
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
7.
|
|
Capital Loss Carryovers
|
At January 31, 2013, the following Funds had capital loss carryovers:
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital Loss
Carryover
|
|
|
Expiration
Year
|
|
|
Carryover
Character
|
Capital Income Fund
|
|
$
|
414,333
|
|
|
|
2018
|
|
|
|
Growth Fund
|
|
|
4,874,717
|
|
|
|
2018
|
|
|
|
Income Fund
|
|
|
184,277
|
|
|
|
2014
|
|
|
|
|
|
|
94,584
|
|
|
|
2015
|
|
|
|
|
|
|
72,379
|
|
|
|
2017
|
|
|
|
|
|
|
62,313
|
|
|
|
2018
|
|
|
|
|
|
|
870,231
|
|
|
|
N/A
|
|
|
Short-Term
|
Core Income Fund
|
|
|
2,985,977
|
|
|
|
2018
|
|
|
|
Value Fund
|
|
|
5,028,726
|
|
|
|
2018
|
|
|
|
Master Allocation Fund
|
|
|
80,135
|
|
|
|
N/A
|
|
|
Short-Term
|
|
|
|
54,547
|
|
|
|
N/A
|
|
|
Long-Term
|
The capital
loss carryovers are available to offset possible future capital gains, if any, of the respective Fund.
As a result of the Regulated Investment Company Modernization Act of 2010 (the Modernization Act), losses
incurred in the fiscal year ended January 31, 2012 and beyond retain their character, short-term or long-term, have no expiration date, and are utilized prior to capital loss carryforwards accumulated before the enactment of the Modernization Act.
8.
|
|
Federal Income Tax Information
|
Each of the Funds is a separate taxable entity and intends to continue to qualify for the tax treatment applicable to
regulated investment companies under Subchapter M of the Internal Revenue Code of 1986, as amended, and, is required to make the requisite distributions to its shareholders which will relieve it from Federal income or excise taxes. Therefore, no
provision has been recorded for Federal income or excise taxes. Under current tax law, capital losses realized after October 31 may be deferred and treated as occurring on the first day of the following fiscal year. Required fund distributions are
based on income and capital gain amounts determined in accordance with federal income tax regulations, which differ from net investment income and realized gains recognized for financial reporting purposes. Accordingly, the composition of net assets
and distributions for tax purposes differ from amounts reflected in the accompanying financial statements. These differences are primarily due to differing treatment for losses deferred with respect to wash sales, and excise tax regulations. For
financial reporting purposes, capital accounts and distributions to shareholders are adjusted to reflect the tax character of permanent book/tax differences.
The Funds recognize the tax benefits of uncertain tax positions only where the position is more likely than
not to be sustained assuming examination by tax authorities. Management has analyzed the Funds tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken
on returns filed for open tax years (2010-2012), or expected to be taken in the Funds 2013 tax returns. The Funds identify their major tax jurisdictions as U. S. Federal and Virginia State; however the Funds are not aware of any tax positions
for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next twelve months.
50
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
8.
|
|
Federal Income Tax Information, continued
|
The tax character of distributions paid during the years ended January 31, 2013 and 2012 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
January 31, 2013
|
|
|
|
Ordinary
Income
|
|
|
Long Term
Capital Gains
|
|
|
Total
Distributions
|
|
Capital Income Fund
|
|
$
|
474,000
|
|
|
$
|
|
|
|
$
|
474,000
|
|
Growth Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Fund
|
|
|
19,838,000
|
|
|
|
|
|
|
|
19,838,000
|
|
Core Income Fund
|
|
|
328,000
|
|
|
|
|
|
|
|
328,000
|
|
Value Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
Master Allocation Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
January 31, 2012
|
|
|
|
Ordinary
Income
|
|
|
Long Term
Capital Gains
|
|
|
Total
Distributions
|
|
Capital Income Fund
|
|
$
|
483,000
|
|
|
$
|
|
|
|
$
|
483,000
|
|
Growth Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Fund
|
|
|
9,277,000
|
|
|
|
|
|
|
|
9,277,000
|
|
Core Income Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
Value Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
Master Allocation Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
The
tax-basis components of distributable earnings at January 31, 2013 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Undistributed
Ordinary
Income
|
|
|
Undistributed
Long-term
Capital Gains
|
|
|
Unrealized
Appreciation
(Depreciation)
|
|
|
Capital Loss
Carryforwards
|
|
|
Post-October
Loss
|
|
|
Total
|
|
Capital Income Fund
|
|
$
|
268,281
|
|
|
$
|
|
|
|
$
|
4,255,903
|
|
|
$
|
(414,333
|
)
|
|
$
|
|
|
|
$
|
4,109,851
|
|
Growth Fund
|
|
|
|
|
|
|
|
|
|
|
10,985,666
|
|
|
|
(4,874,717
|
)
|
|
|
|
|
|
|
6,110,949
|
|
Income Fund
|
|
|
709,708
|
|
|
|
|
|
|
|
30,634,136
|
|
|
|
(1,283,784
|
)
|
|
|
(1,251,461
|
)
|
|
|
28,808,599
|
|
Core Income Fund
|
|
|
79,260
|
|
|
|
|
|
|
|
861,633
|
|
|
|
(2,985,977
|
)
|
|
|
|
|
|
|
(2,045,084
|
)
|
Value Fund
|
|
|
|
|
|
|
|
|
|
|
3,929,780
|
|
|
|
(5,028,726
|
)
|
|
|
|
|
|
|
(1,098,946
|
)
|
Master Allocation Fund
|
|
|
|
|
|
|
|
|
|
|
10,728,490
|
|
|
|
(134,682
|
)
|
|
|
|
|
|
|
10,593,808
|
|
The
difference between the book and tax basis of distributable earnings is primarily due to wash losses.
51
API TRUST
NOTES TO FINANCIAL STATEMENTS, Continued
8.
|
|
Federal Income Tax Information, continued
|
Temporary differences are not adjusted for financial reporting purposes; however, permanent differences are reclassified
in the capital and undistributed accounts. For the year ended January 31, 2013, the Funds recorded the following permanent reclassifications, which relate primarily to the current net operating losses. The results of operations and net assets were
not affected by the increases/(decreases) to these accounts.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
Income
Fund
|
|
|
Growth
Fund
|
|
|
Income
Fund
|
|
|
Core
Income
Fund
|
|
|
Value
Fund
|
|
|
Master
Allocation
Fund
|
|
Undistributed net investment income
|
|
$
|
|
|
|
$
|
228,272
|
|
|
$
|
|
|
|
$
|
|
|
|
$
|
45,086
|
|
|
$
|
262,182
|
|
Accumulated net realized gain
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Paid-in-capital
|
|
|
|
|
|
|
(228,272
|
)
|
|
|
|
|
|
|
|
|
|
|
(45,086
|
)
|
|
|
(262,182
|
)
|
9.
|
|
Transactions with Affiliates
|
The Master Allocation Fund invests in other mutual funds which are managed by the Advisor. Transactions with affiliates
during the year ended January 31, 2013 were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Affiliated Fund Name
|
|
Balance of
Shares Held
1/31/2012
|
|
|
Purchases/
Additions
|
|
|
Sales/
Reductions
|
|
|
Balance of
Shares Held
1/31/2013
|
|
|
Value
1/31/2013
|
|
|
Dividend
Income
|
|
|
Realized
Gain (Loss)
on Security
Transactions
|
|
API Capital Income Fund
|
|
|
288,394
|
|
|
|
13,742
|
|
|
|
(40,470
|
)
|
|
|
261,666
|
|
|
$
|
10,767,539
|
|
|
$
|
229,648
|
|
|
$
|
4,422
|
|
API Growth Fund
|
|
|
1,097,576
|
|
|
|
70,550
|
|
|
|
(191,161
|
)
|
|
|
976,965
|
|
|
|
11,235,102
|
|
|
|
|
|
|
|
(33,734
|
)
|
API Value Fund
|
|
|
859,786
|
|
|
|
72,634
|
|
|
|
(159,730
|
)
|
|
|
772,690
|
|
|
|
10,856,301
|
|
|
|
|
|
|
|
(124,233
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
2,245,756
|
|
|
|
156,926
|
|
|
|
(391,361
|
)
|
|
|
2,011,321
|
|
|
$
|
32,858,942
|
|
|
$
|
229,648
|
|
|
$
|
(153,545
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
10.
|
|
Recent Accounting Pronouncements
|
In December 2011, the FASB issued ASU No. 2011-11 related to disclosures about offsetting assets and liabilities. The
amendments in this ASU require an entity to disclose information about offsetting and related arrangements to enable users of its financial statements to understand the effect of those arrangements on its financial position. The ASU is effective for
annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods. The guidance requires retrospective application for all comparative periods presented. Management is currently evaluating the
impact ASU No. 2011-04 will have on the Funds financial statement disclosures.
52
REPORT OF INDEPENDENT REGISTERED PUBLIC
ACCOUNTING FIRM
Board of Trustees and
Shareholders
American Pension Investors Trust
Lynchburg, Virginia
We have audited the accompanying statements of assets and liabilities, including the schedules of investments of the American Pension Investors Trust, (comprised of the API Efficient
Frontier Capital Income Fund, API Efficient Frontier Growth Fund, API Efficient Frontier Income Fund, API Efficient Frontier Core Income Fund (formerly known as API Efficient Frontier Multiple Index Fund), API Efficient Frontier Value Fund, and API
Master Allocation Fund, collectively referred to as the Funds), as of January 31, 2013, and the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the
period then ended, and for all Funds except API Master Allocation Fund, the financial highlights for each of the three years in the period then ended, the period June 1, 2009 to January 31, 2010 and each of the two years in the period
ended May 31, 2009, and with respect to API Master Allocation Fund the financial highlights for each of the three years in the period then ended and the period March 19, 2009 (commencement of operations) to January 31, 2010. These
financial statements and financial highlights are the responsibility of the Funds management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits.
We conducted our audits in accordance with the standards of
the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material
misstatement. The Funds are not required to have, nor were we engaged to perform, an audit of their internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing
audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Funds internal control over financial reporting. Accordingly, we express no such opinion. An audit also
includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial
statement presentation. Our procedures included confirmation of securities owned as of January 31, 2013, by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies from brokers were not received.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of the American Pension Investors Trust
as of January 31, 2013, the results of their operations, the changes in their net assets and the financial highlights for the periods indicated above in conformity with accounting principles generally accepted in the United States of America.
TAIT,
WELLER & BAKER LLP
Philadelphia,
Pennsylvania
March 22, 2013
53
The graphs that follow assume an initial investment of $10,000 made on January 31, 2003 (or,
if a shorter period, commencement of a Funds operations) and held through January 31, 2013.
THE FUNDS RETURNS REPRESENT PAST PERFORMANCE AND DO NOT GUARANTEE FUTURE RESULTS.
The MSCI World Free GTR Index and the Standard &
Poors 500 are both a widely recognized unmanaged index of equity prices and each is representative of a broader market and range of securities than is found in the Funds portfolios. The Dow Jones Conservative Relative Risk Index is made
up of underlying indexes designed to measure portfolios at conservative risk levels. Individuals cannot invest directly in the Indexes; however, an individual can invest in exchange-traded funds or other investment vehicles that attempt to track the
performance of a benchmark index. The returns shown do not reflect deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. Investment returns and principal values will fluctuate so that your shares,
when redeemed, may be worth more or less than their original purchase price.
Current performance may be lower or higher than the performance data quoted. For more information on the Funds, and to obtain performance data current to the most recent month end, or
to obtain a prospectus, please call 1-800-544-6060. You should carefully consider the investment objectives, potential risks, management fees, and charges and expenses of each Fund before investing. A Funds prospectus contains this and other
information about the Fund, and should be read carefully before investing.
The Fund
s are
distributed by Unified Financial Services, Inc., member FINRA.
54
55
56
57
58
59
60
61
API Trust Efficient Frontier Funds
As a shareholder in an API Trust
Efficient Frontier Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and redemption fees, and (2) ongoing costs, including management fees; distribution and service (12b-1) fees; and
other fund expenses. These examples are intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds. Each example is based on an
investment of $1,000 invested at the beginning of the period and held for the entire period August 1, 2012 to January 31, 2013.
Actual Expenses
The first line for each class in the table below provides information about actual account values and actual expenses. You
may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then
multiply the result by the number in the first line under the heading entitled Expenses Paid During the Period to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line for each class in the table
below provides information about hypothetical account values and hypothetical expenses based on each Funds actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Funds actual return. The
hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in a Fund and other funds. To do so,
compare these 5% hypothetical examples with the 5% hypothetical examples that appear in the shareholder reports of the other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any
transactional costs, such as sales charges (loads) or redemption fees. Therefore, the second line for each share class in the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning
different funds. In addition, if these transactional costs were included, your costs would have been higher.
62
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Beginning
Account
Value
|
|
|
Ending
Account
Value
1/31/2013
|
|
|
Expenses Paid
*
During the Period
|
|
|
Annualized
Expense
Ratio
|
|
Capital Income Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.88
|
%
|
Actual
|
|
$
|
1,000.00
|
|
|
$
|
1,095.50
|
|
|
$
|
9.93
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,015.73
|
|
|
|
9.55
|
|
|
|
|
|
Class L
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2.38
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,092.70
|
|
|
|
12.55
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,013.21
|
|
|
|
12.08
|
|
|
|
|
|
Institutional Class
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.38
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,098.36
|
|
|
|
7.30
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,018.25
|
|
|
|
7.02
|
|
|
|
|
|
|
|
|
|
|
Growth Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.51
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,175.90
|
|
|
|
8.28
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,017.59
|
|
|
|
7.68
|
|
|
|
|
|
Class L
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2.51
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,169.50
|
|
|
|
13.73
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,011.19
|
|
|
|
12.72
|
|
|
|
|
|
|
|
|
|
|
Income Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.24
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,087.80
|
|
|
|
6.53
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,018.95
|
|
|
|
6.31
|
|
|
|
|
|
Class L
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.68
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,086.10
|
|
|
|
8.83
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,016.74
|
|
|
|
8.54
|
|
|
|
|
|
Institutional Class
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
0.68
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,090.50
|
|
|
|
3.58
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,021.78
|
|
|
|
3.47
|
|
|
|
|
|
|
|
|
|
|
Core Income Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.47
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,025.30
|
|
|
|
7.50
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,017.80
|
|
|
|
7.48
|
|
|
|
|
|
Class L
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2.47
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,020.20
|
|
|
|
12.58
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,012.75
|
|
|
|
12.53
|
|
|
|
|
|
|
|
|
|
|
Value Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.64
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,148.80
|
|
|
|
8.88
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,016.94
|
|
|
|
8.34
|
|
|
|
|
|
Class L
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2.54
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,143.00
|
|
|
|
13.72
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,012.40
|
|
|
|
12.88
|
|
|
|
|
|
|
|
|
|
|
Master Allocation Fund
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Class A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.22
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,133.10
|
|
|
|
6.56
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,019.06
|
|
|
|
6.21
|
|
|
|
|
|
Class L
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.72
|
%
|
Actual
|
|
|
1,000.00
|
|
|
|
1,130.00
|
|
|
|
9.23
|
|
|
|
|
|
Hypothetical (5% return before expenses)
|
|
|
1,000.00
|
|
|
|
1,016.53
|
|
|
|
8.74
|
|
|
|
|
|
*
|
|
These calculations are based on expenses incurred in the most recent fiscal year. The dollar amounts shown as Expenses Paid are equal to the
annualized expense ratio multiplied by the average account value over the period, multiplied by the number of days of operation during the most recent fiscal half-year (184) and divided by 365.
|
63
Proxy Voting Policies and Procedures
Both (i) a description of the
policies and procedures that the Trust uses to determine how to vote proxies relating to the Funds portfolio securities and (ii) information regarding how the Trust voted proxies relating to the Funds portfolio securities during the most
recent twelve month period ended June 30th are available without charge, upon request, by calling the Trust at (800) 544-6060, or on the Securities and Exchange Commissions website at http://www.sec.gov.
Quarterly Portfolio Schedules
The Trust files each Funds
complete schedule of portfolio holdings with the Securities and Exchange Commission for the first and third quarters of each fiscal year on Form N-Q. The Trusts Forms N-Q are available on the Commissions website at http://www.sec.gov.
The filed forms may also be reviewed and copied at the Commissions Public Reference Room in Washington, DC. Information regarding the operation of the Public Reference Room may be obtained by calling (800) SEC-0330.
64