Allspring Special Mid Cap Value Fund (WFMDX) N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSRS

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-09253

Wells Fargo Funds Trust

(Exact name of registrant as specified in charter)

525 Market St., San Francisco, CA 94105

(Address of principal executive offices) (Zip code)

C. David Messman

Wells Fargo Funds Management, LLC

525 Market St., San Francisco, CA 94105

(Name and address of agent for service)

Registrant’s telephone number, including area code: 800-222-8222

Date of fiscal year end: September 30, 2012

Date of reporting period: March 31, 2013

ITEM 1. REPORT TO SHAREHOLDERS

Wells Fargo Advantage Absolute Return Fund

Semi-Annual Report

March 31, 2013

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Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	8
Statement of operations	9
Statement of changes in net assets	10
Financial highlights	11
Notes to financial statements	15
Other information	18
List of abbreviations	24
Appendix	A-1

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Absolute Return Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

For most of the period, U.S. economic data remained moderately positive.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Absolute Return Fund for the six-month period ended March 31, 2013. Much of the period was marked by increased confidence that the U.S. economy was staging a fragile recovery, partially offset by concerns about the possible effects of the ongoing European sovereign debt crisis on the global economy. Continued monetary easing by global central banks helped support rallies in developed stock markets. High-quality bonds had little room for further appreciation amid historically low interest rates, but investors continued to bid up high-yield bonds.

U.S. stocks gained as the U.S. economy reported relatively solid news.

For most of the period, U.S. economic data remained moderately positive. Reported U.S. gross domestic product (GDP) growth came in at a solid 3.1% annualized rate in the third quarter of 2012, just prior to the reporting period, only to fall back to a 0.4% annualized rate in the fourth quarter. Many analysts attributed the fourth-quarter weakness to the temporary aftereffects from Hurricane Sandy, which devastated the Eastern Seaboard in October 2012. Even the stubbornly high unemployment rate showed moderate signs of improvement, easing from 7.9% in October 2012 to 7.6% in March 2013.

Central banks continued to provide stimulus.

Major central banks, including the U.S. Federal Reserve Board (Fed) and the European Central Bank (ECB) continued to inject liquidity into the banks and the market through various quantitative easing policies. Throughout the reporting period, the Federal Open Market Committee (FOMC) kept its key interest rates effectively at zero in order to support the economy and the financial system. After its September 2012 meeting, the FOMC announced its intention to keep interest rates low until at least mid-2015 and to make open-ended purchases of $40 billion per month in mortgage-backed securities to support the housing market.

In July 2012, the ECB cut its key rate to 0.75%. In addition, the ECB announced in September 2012 that it would purchase an unlimited amount of one- to three-year sovereign debt from countries that had formally applied for a bailout. In May 2013, after the end of the reporting period, the ECB cut its key rate to a historic low of 0.50%. The ECB’s aggressive actions helped ease investor worries about a eurozone sovereign debt default. Moreover, in mid-March 2013, the governor of the Bank of Japan resigned to allow Shinzo Abe, the recently reelected prime minister, to appoint a new bank governor who was expected to use aggressive monetary policies to attack Japan’s persistent deflation.

The debt crisis in the eurozone returned to center stage but with less impact than before.

Ongoing weakness in the Greek economy made it difficult for the country to meet previously agreed upon austerity targets. Because many eurozone banks owned Greek debt and many U.S. banks had financial ties to eurozone banks, investors initially worried that a Greek default would result in another global financial crisis. However, as central banks continued to provide liquidity, investor worries about the effect of a European sovereign debt default on the global economy began to ease. When the tiny eurozone nation of Cyprus was forced to implement capital controls and impose losses on uninsured bank depositors in March 2013, global stock markets remained resilient despite short-term volatility.

Letter to shareholders (unaudited) Wells Fargo Advantage Absolute Return Fund 3

An improved U.S. economy and global monetary easing led to strong global stock markets and record-low interest rates.

The relatively positive outlook for the U.S. economy contributed to a strong domestic stock market for most of the reporting period. Developed foreign markets also rallied as central banks continued to inject liquidity into their respective economies. Lingering uncertainties in the macroeconomic environment prompted investors to prefer stocks in companies with relatively predictable business models. Within the S&P 500 Index¹, for example, consumer discretionary and consumer staples stocks strongly outperformed, but information technology stocks lagged. For the reporting period, the S&P 500 Index posted an 8.92% return.

High-quality bonds posted barely positive returns during the reporting period; as a result of a long-lived bond rally and record-low interest rates, it appears most high-quality bonds have little room for further appreciation. The Barclays U.S. Aggregate Bond Index², a gauge of the high-quality bond markets, returned 0.09% for the six-month period. High yield bonds, however, returned 6.28% for the reporting period as measured by the Barclays U.S. Corporate High Yield Bond Index³.

We employ a diverse array of investment strategies, even as many variables are at work in the market.

The full effect of the European credit crisis remains unknown. Elevated U.S. and Southern European unemployment continues to pressure consumers and businesses alike. As a whole, Wells Fargo Advantage Funds represents investments across a range of asset classes and investment styles, giving you an opportunity to create a diversified investment portfolio. While diversification may not prevent losses in a downturn, we believe it helps manage risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Developed foreign markets also rallied as central banks continued to inject liquidity into their respective economies.

Notice to shareholders

The Fund’s prospectus is amended to include the following disclosure under the section entitled “Principal Investment Strategy” in order to reflect changes made in the prospectus for GMO Benchmark-Free Allocation Fund, in which the Fund invests substantially all of its assets, expected to be in effect on or about July 1, 2013:

n The Benchmark-Free Allocation Fund is constructed to seek to maximize the opportunity to achieve: (i) annualized excess returns of 3% to 5% (net of Benchmark-Free Allocation Fund fees) above the Consumer Price Index, over a complete market cycle and (ii) annualized volatility of 5-10%, over a complete market cycle.

Please contact your investment professional or call us directly at 1-800-222-8222 if you have any questions on this Notice to Shareholders.

1. The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value-weighted index with each stock’s weight in the index proportionate to its market value. You cannot invest directly in an index.

2. The Barclays U.S. Aggregate Bond Index is composed of the Barclays Government/Credit Index and the Mortgage-Backed Securities Index and includes U.S. Treasury issues, agency issues, corporate bond issues, and mortgage-backed securities. You cannot invest directly in an index.

3. The Barclays U.S. Corporate High Yield Bond Index is an unmanaged, U.S. dollar-denominated, nonconvertible, non-investment-grade debt index. The Index consists of domestic and corporate bonds rated Ba and below with a minimum outstanding amount of $150 million. You cannot invest directly in an index.

4 Wells Fargo Advantage Absolute Return Fund Performance highlights (unaudited)

Investment objective

The Fund seeks a positive total return.

Adviser

Wells Fargo Funds Management, LLC

Portfolio managers¹

Ben Inker, CFA

Sam Wilderman, CFA

Average annual total returns² (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios3 (%)
	Inception date	1 year		5 year		Since 7-23-2003		1 year		5 year		Since 7-23-2003		Gross		Net4
Class A (WARAX)	3-1-2012		0.60		4.19		9.17		6.72		5.43		9.84		1.69		1.69
Class C (WARCX)	3-1-2012		4.86		4.62		9.01		5.86		4.62		9.01		2.44		2.44
Administrator Class (WARDX)	3-1-2012		–		–		–		6.86		5.59		10.01		1.53		1.49
Institutional Class (WABIX)	11-30-2012		–		–		–		7.03		5.62		10.03		1.26		1.24
MSCI World Index (Net)5	–		–		–		–		11.85		2.23		11.75		–		–
Consumer Price Index6	–		–		–		–		1.47		1.74		2.07		–		–

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class and Institutional Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Absolute return funds are not intended to outperform stocks and bonds in strong markets, and there is no guarantee of positive returns or that the Fund’s objectives will be achieved. Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Bond values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. In general, when interest rates rise, bond values fall and investors may lose principal value. Alternative investments, such as commodities, real estate, and short strategies, are speculative and entail a high degree of risk. Foreign investments are especially volatile and can rise or fall dramatically due to differences in the political and economic conditions of the host country. The Fund will indirectly be exposed to all of the risks of an investment in the underlying funds and will indirectly bear expenses of the underlying funds. The use of derivatives may reduce returns and/or increase volatility. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to high-yield risk, mortgage- and asset-backed securities risk, and smaller-company securities risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Absolute Return Fund 5

Long-term holdings7 (%) as of March 31, 2013
GMO Implementation Fund	52.83
GMO Alpha Only Fund, Class IV	24.08
GMO Alternative Asset Opportunity Fund	10.78
GMO Debt Opportunities Fund, Class VI	5.41
GMO Flexible Equities Fund, Class VI	2.93
GMO Emerging Country Debt Fund, Class IV	2.48

Portfolio allocation⁸ as of March 31, 2013

1. The Fund invests substantially all of its investable assets directly in GMO Benchmark-Free Allocation Fund, an investment company advised by Grantham, Mayo, Van Otterloo & Co. LLC (GMO). Mr. Inker and Mr. Wilderman, employees of GMO, have been responsible for coordinating the portfolio management of GMO Benchmark-Free Allocation Fund since 2003 and 2012, respectively.

2. Historical performance shown for the Institutional Class shares prior to their inception reflects the performance of the Administrator Class shares, and includes the higher expenses applicable to the Administrator Class. Historical performance shown for Class A, Class C, and Administrator Class prior to their inception is based on the performance of the Class III shares of GMO Benchmark-Free Allocation Fund (GBMFX), in which the Fund invests substantially all of its investable assets. The inception date of GMO Benchmark-Free Allocation Fund Class III shares is July 23, 2003. Returns for the Class III shares do not reflect GMO Benchmark-Free Allocation Fund’s current fee arrangement and have been adjusted downward to reflect the higher expense ratios applicable to Class A, Class C, and Administrator Class at their inception. These ratios were 1.66% for Class A, 2.41% for Class C, and 1.50% for the Administrator Class.

3. Reflects the expense ratios as stated in the most recent prospectuses.

4. The Adviser has committed through February 28, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding brokerage commissions, interest, taxes, extraordinary expenses, and the expenses of any money market fund or other fund held by the Fund (including the expenses of GMO Benchmark-Free Allocation Fund), at 0.80% for Class A, 1.55% for Class C, 0.60% for Administrator Class, and 0.35% for Institutional Class. Without these caps, the Fund’s returns would have been lower.

5. The Morgan Stanley Capital International World Index (Net) (“MSCI World Index (Net)”) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. You cannot invest directly in an index. Source: MSCI. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indexes or any securities or financial products. This report is not approved, reviewed, or produced by MSCI.

6. The Consumer Price Index for All Urban Consumers in U.S. All Items (Consumer Price Index) is published monthly by the U.S. government as an indicator of changes in price levels (or inflation) paid by urban consumers for a representative basket of goods and services. You cannot invest directly in an index.

7. The long-term holdings are calculated based on the value of the securities in the GMO Benchmark-Free Allocation Fund allocable to the Fund divided by the total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

8. Portfolio allocation is subject to change and represents the portfolio allocation of the GMO Benchmark-Free Allocation Fund, which is calculated based on the total long-term investments of the GMO Benchmark-Free Allocation Fund.

6 Wells Fargo Advantage Absolute Return Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on

purchase payments, redemption fees (if any) and exchange fees (if any), and (2) ongoing costs, including

management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is

intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with

the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the

entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your

applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical

expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which

is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual

ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs

of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical

examples that appear in the shareholder reports of the other funds.

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), redemption fees, or exchange fees. Therefore, the “Hypothetical” line

of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning

different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,053.51	$	3.79		0.74	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.24	$	3.73		0.74	%
Class C
Actual	$	1,000.00	$	1,049.17	$	7.61		1.49	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,017.50	$	7.49		1.49	%
Administrator Class
Actual	$	1,000.00	$	1,053.86	$	2.82		0.55	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.19	$	2.77		0.55	%
Institutional Class
Actual	$	1,000.00	$	1,055.52	$	1.59		0.31	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,023.39	$	1.56		0.31	%
Expenses including GMO Benchmark-Free Allocation Fund and underlying fund expenses
Class A
Actual	$	1,000.00	$	1,053.51	$	8.50		1.66	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,016.65	$	8.35		1.66	%
Class C
Actual	$	1,000.00	$	1,049.17	$	12.31		2.41	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,012.91	$	12.09		2.41	%
Administrator Class
Actual	$	1,000.00	$	1,053.86	$	7.53		1.47	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,017.60	$	7.39		1.47	%
Institutional Class
Actual	$	1,000.00	$	1,055.52	$	6.30		1.23	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.80	$	6.19		1.23	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Absolute Return Fund 7

Security name	Shares		Value
Investment Companies: 98.19%
GMO Benchmark-Free Allocation Fund, Class MF		126,688,692	$	3,292,639,110
Total Investment Companies (Cost $3,128,693,754)				3,292,639,110

Total investments (Cost $3,128,693,754) *	98.19	%		3,292,639,110
Other assets and liabilities, net	1.81			60,704,088
Total net assets	100.00	%	$	3,353,343,198

* Cost for federal income tax purposes is $3,128,720,341 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	163,945,356
Gross unrealized depreciation		(26,587	)
Net unrealized appreciation	$	163,918,769

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Absolute Return Fund Statement of assets and liabilities—March 31, 2013 (unaudited)

Assets
Investment in investment company shares, at value (see cost below)	$	3,292,639,110
Cash		18,098,081
Receivable for Fund shares sold		63,744,913
Prepaid expenses and other assets		148,279
Total assets		3,374,630,383
Liabilities
Payable for investments purchased		17,098,081
Payable for Fund shares redeemed		2,239,786
Advisory fee payable		557,559
Distribution fees payable		346,887
Due to other related parties		438,603
Accrued expenses and other liabilities		606,269
Total liabilities		21,287,185
Total net assets	$	3,353,343,198
NET ASSETS CONSIST OF
Paid-in capital	$	3,192,950,268
Overdistributed net investment income		(3,538,257	)
Accumulated net realized losses on investments		(14,169	)
Net unrealized gains on investments		163,945,356
Total net assets	$	3,353,343,198
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	781,145,131
Shares outstanding – Class A		73,204,035
Net asset value per share – Class A		$10.67
Maximum offering price per share – Class A2		$11.32
Net assets – Class C	$	579,071,681
Shares outstanding – Class C		54,661,393
Net asset value per share – Class C		$10.59
Net assets – Administrator Class	$	1,743,487,706
Shares outstanding – Administrator Class		163,181,189
Net asset value per share – Administrator Class		$10.68
Net assets – Institutional Class	$	249,638,680
Shares outstanding – Institutional Class		23,352,880
Net asset value per share – Institutional Class		$10.69
Investment in investment company shares, at cost	$	3,128,693,754

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

Statement of operations—six months ended March 31, 2013 (unaudited) Wells Fargo Advantage Absolute Return Fund 9

Investment income
Dividends	$	11,937,079
Expenses
Advisory and fund level administration fee		2,454,091
Administration fees
Class A		732,957
Class C		528,137
Administrator Class		646,756
Institutional Class		26,340	1
Shareholder servicing fees
Class A		704,767
Class C		507,824
Administrator Class		1,399,923
Distribution fees
Class C		1,523,473
Custody and accounting fees		16,848
Professional fees		12,793
Registration fees		54,843
Shareholder report expenses		109,762
Trustees’ fees and expenses		6,301
Other fees and expenses		11,469
Total expenses		8,736,284
Net investment income		3,200,795
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		12,418
Net change in unrealized gains (losses) on investments		126,214,167
Net realized and unrealized gains (losses) on investments		126,226,585
Net increase in net assets resulting from operations	$	129,427,380

1. For the period from November 30, 2012 (commencement of class operations) to March 31, 2013

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Absolute Return Fund Statement of changes in net assets

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 20121
Operations
Net investment income (loss)				$	3,200,795					$	(1,564,586	)
Net realized gains (losses) on investments					12,418						(26,587	)
Net change in unrealized gains (losses) on investments					126,214,167						37,731,189
Net increase in net assets resulting from operations					129,427,380						36,140,016
Distributions to shareholders from
Net investment income
Class A					(1,729,307	)					0
Class C					(641,104	)					0
Administrator Class					(4,342,591	)					0
Institutional Class					(26,050	)2					N/A
Total distributions to shareholders					(6,739,052	)					0
	Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		41,244,315			428,694,402			41,465,105			411,536,216
Class C		29,611,754			305,534,538			27,120,234			268,856,133
Administrator Class		98,543,196			1,024,502,755			95,466,895			948,258,360
Institutional Class		23,701,096	2		250,250,131	2		N/A			N/A
					2,008,981,826						1,628,650,709
Reinvestment of distributions
Class A		154,929			1,588,018			0			0
Class C		51,553			525,838			0			0
Administrator Class		342,110			3,510,050			0			0
Institutional Class		218	2		2,239	2		N/A			N/A
					5,626,145						0
Payment for shares redeemed
Class A		(7,424,965	)		(77,337,237	)		(2,235,349	)		(22,283,587	)
Class C		(1,530,772	)		(15,752,158	)		(591,376	)		(5,873,709	)
Administrator Class		(25,685,305	)		(268,751,619	)		(5,485,707	)		(55,034,071	)
Institutional Class		(348,434	)2		(3,711,445	)2		N/A			N/A
					(365,552,459	)					(83,191,367	)
Net increase in net assets resulting from capital share transactions					1,649,055,512						1,545,459,342
Total increase in net assets					1,771,743,840						1,581,599,358
Net assets
Beginning of period					1,581,599,358						0
End of period				$	3,353,343,198					$	1,581,599,358
Undistributed (overdistributed) net investment income				$	(3,538,257	)				$	0

1. For the seven months ended September 30, 2012. The Fund commenced operations on March 1, 2012.

2. For the period from November 30, 2012 (commencement of class operations) to March 31, 2013

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Absolute Return Fund 11

(For a share outstanding throughout each period)

CLASS A	Six months ended March 31, 2013 (unaudited)			Year ended September 30, 20121
Net asset value, beginning of period	$	10.16		$	10.00
Net investment income (loss)		0.02			(0.02	)2
Net realized and unrealized gains (losses) on investments		0.52			0.18
Total from investment operations		0.54			0.16
Distributions to shareholders from
Net investment income		(0.03	)		0.00
Net asset value, end of period	$	10.67		$	10.16
Total return3		5.35	%		1.60	%
Ratios to average net assets (annualized)
Gross expenses4		1.22	%		1.28	%
Net expenses4,5		1.22	%		1.27	%
Net investment income (loss)		0.33	%		(0.36	)%
Supplemental data
Portfolio turnover rate		0	%		0	%
Net assets, end of period (000s omitted)		$781,145			$398,557

1. For the period from March 1, 2012 (commencement of class operations) to September 30, 2012

2. Calculated based upon average shares outstanding

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

4. Gross and net expense ratios include the expenses of GMO Benchmark-Free Allocation Fund.

5. Net expense ratios excluding the expenses of GMO Benchmark-Free Allocation Fund were as follows:

Six months ended March 31, 2013 (unaudited)	0.74	%
Year ended September 30, 20121	0.78	%

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Absolute Return Fund Financial highlights

(For a share outstanding throughout each period)

CLASS C	Six months ended March 31, 2013 (unaudited)			Year ended September 30, 20121
Net asset value, beginning of period	$	10.11		$	10.00
Net investment loss		(0.00	)2		(0.06	)2
Net realized and unrealized gains (losses) on investments		0.50			0.17
Total from investment operations		0.50			0.11
Distributions to shareholders from
Net investment income		(0.02	)		0.00
Net asset value, end of period	$	10.59		$	10.11
Total return3		4.92	%		1.10	%
Ratios to average net assets (annualized)
Gross expenses4		1.97	%		2.03	%
Net expenses4,5		1.97	%		2.02	%
Net investment loss		(0.42	)%		(1.11	)%
Supplemental data
Portfolio turnover rate		0	%		0	%
Net assets, end of period (000s omitted)		$579,072			$268,171

1. For the period from March 1, 2012 (commencement of class operations) to September 30, 2012

2. Calculated based upon average shares outstanding

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

4. Gross and net expense ratios include the expenses of GMO Benchmark-Free Allocation Fund.

5. Net expense ratios excluding the expenses of GMO Benchmark-Free Allocation Fund were as follows:

Six months ended March 31, 2013 (unaudited)	1.49	%
Year ended September 30, 20121	1.53	%

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Absolute Return Fund 13

(For a share outstanding throughout each period)

ADMINISTRATOR CLASS	Six months ended March 31, 2013 (unaudited)			Year ended September 30, 20121
Net asset value, beginning of period	$	10.17		$	10.00
Net investment income (loss)		0.03			(0.01	)2
Net realized and unrealized gains (losses) on investments		0.52			0.18
Total from investment operations		0.55			0.17
Distributions to shareholders from
Net investment income		(0.04	)		0.00
Net asset value, end of period	$	10.68		$	10.17
Total return3		5.39	%		1.70	%
Ratios to average net assets (annualized)
Gross expenses4		1.03	%		1.11	%
Net expenses4,5		1.03	%		1.08	%
Net investment income (loss)		0.49	%		(0.16	)%
Supplemental data
Portfolio turnover rate		0	%		0	%
Net assets, end of period (000s omitted)		$1,743,488			$914,872

1. For the period from March 1, 2012 (commencement of class operations) to September 30, 2012

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

4. Gross and net expense ratios include the expenses of GMO Benchmark-Free Allocation Fund.

5. Net expense ratios excluding the expenses of GMO Benchmark-Free Allocation Fund were as follows:

Six months ended March 31, 2013 (unaudited)	0.55	%
Year ended September 30, 20121	0.59	%

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Absolute Return Fund Financial highlights

(For a share outstanding throughout the period)

INSTITUTIONAL CLASS	Period ended March 31, 2013 (unaudited)1
Net asset value, beginning of period	$	10.18
Net investment loss		(0.01	)2
Net realized and unrealized gains (losses) on investments		0.56
Total from investment operations		0.55
Distributions to shareholders from
Net investment income		(0.04	)
Net asset value, end of period	$	10.69
Total return3		5.45	%
Ratios to average net assets (annualized)
Gross expenses4		0.79	%
Net expenses4,5		0.79	%
Net investment loss		(0.20	)%
Supplemental data
Portfolio turnover rate		0	%
Net assets, end of period (000s omitted)		$249,639

1. For the period from November 30, 2012 (commencement of class operations) to March 31, 2013

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

4. Gross and net expense ratios include the expenses of GMO Benchmark-Free Allocation Fund.

5. Net expense ratio excluding the expenses of GMO Benchmark-Free Allocation Fund was 0.31%.

The accompanying notes are an integral part of these financial statements.

Notes to financial statements (unaudited) Wells Fargo Advantage Absolute Return Fund 15

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Absolute Return Fund (the “Fund”) which is a diversified series of the Trust.

The Fund invests substantially all of its investable assets in the GMO Benchmark-Free Allocation Fund (the “Benchmark-Free Allocation Fund”), an investment company managed by Grantham, Mayo, Van Otterloo & Co. LLC (“GMO”). Benchmark-Free Allocation Fund is a fund-of-funds that invests primarily in shares of other GMO-managed mutual funds (“underlying funds”), which may include U.S. and foreign equity funds, U.S. and foreign fixed income funds and funds with various specialized investment programs, including funds that invest in alternative asset classes, funds that pursue “real return” strategies that seek to outperform cash benchmarks, and funds designed to complement broader asset allocation strategies rather than serving as standalone investments. Benchmark-Free Allocation Fund may also hold securities (particularly asset-backed securities) directly or through one or more subsidiaries or other entities. As of March 31, 2013, the Fund owned 65% of Benchmark-Free Allocation Fund.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

The Fund values its investment in Benchmark-Free Allocation Fund at net asset value. The valuation of investments in securities and the underlying funds held by Benchmark-Free Allocation Fund is discussed in the annual report of Benchmark-Free Allocation Fund which is included in the mailing of this shareholder report. An unaudited Statement of Assets and Liabilities and unaudited Schedule of Investments for Benchmark-Free Allocation Fund as of March 31, 2013 have also been included as an Appendix in this report for your reference.

Investment transactions and income recognition

Investment transactions are recorded on a trade date basis. Realized gains and losses resulting from investment transactions are determined on the identified cost basis.

Income dividends and capital gain distributions from Benchmark-Free Allocation Fund are recorded on the ex-dividend date. Capital gain distributions from Benchmark-Free Allocation Fund are treated as realized gains.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns since the Fund’s commencement of operations will be subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

16 Wells Fargo Advantage Absolute Return Fund Notes to financial statements (unaudited)

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, Level 2 inputs were used in valuing the Fund’s investment in Benchmark-Free Allocation Fund.

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory and administration fee

The Trust has entered into an advisory and administration contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory and fund level administration fee starting at 0.225% and declining to 0.175% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory and fund level administration fee was equivalent to an annual rate of 0.21% of the Fund’s average daily net assets.

Funds Management also provides class level administration services which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. Funds Management is entitled to receive from the Fund an annual class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through February 28, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 0.80% for Class A shares, 1.55% for Class C shares, 0.60% for Administrator Class shares, and 0.35% for Institutional Class shares.

Expenses in Benchmark-Free Allocation Fund

Because the Fund invests substantially all of its assets in Benchmark-Free Allocation Fund, the shareholders of the Fund bear the fees and expense of Benchmark-Free Allocation Fund in which the Fund invests. Such expenses are not included in the Statement of Operations but are incurred indirectly because they are considered in the calculation of the net asset value of Benchmark-Free Allocation Fund. As a result, the Fund’s actual expenses may be higher than those of other mutual funds that invest directly in securities. In the Financial Highlight for each class of the Fund, the gross and net expense ratios reflect the expenses of Benchmark-Free Allocation Fund.

Notes to financial statements (unaudited) Wells Fargo Advantage Absolute Return Fund 17

Distribution fees

The Trust has adopted a Distribution Plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of its average daily net assets.

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $421,274 from the sale of Class A shares and $9,296 in contingent deferred sales charges from redemptions of Class C shares.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class C, and Administrator Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT TRANSACTIONS

For the six months ended March 31, 2013, the Fund made aggregate purchases and sales of $1,620,189,944 and $405,097, respectively, in its investment in Benchmark-Free Allocation Fund.

As a result of its investment in Benchmark-Free Allocation Fund, the Fund incurs purchase premium and redemption fees. These purchase premium and redemption fees are paid by the Fund to Benchmark-Free Allocation Fund to help offset estimated portfolio transaction and related costs incurred as a result of a purchase or redemption order by allocating estimated transaction costs to the purchasing or redeeming shareholder. The Fund is currently charged 0.12% for purchases and redemptions which are reflected in paid in capital. GMO reassesses these fees annually.

6. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $1,228 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

18 Wells Fargo Advantage Absolute Return Fund Other information (unaudited)

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

Other information (unaudited) Wells Fargo Advantage Absolute Return Fund 19

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

20 Wells Fargo Advantage Absolute Return Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Jeremy DePalma1 (Born 1974)	Treasurer, since 2012	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

1. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available,without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

2

Other information (unaudited) Wells Fargo Advantage Absolute Return Fund 21

BOARD CONSIDERATION OF INVESTMENT ADVISORY AGREEMENT:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory agreement. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed an investment advisory agreement (the “Advisory Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Absolute Return Fund (the “Fund”).

The Fund is a gateway feeder fund that invest substantially all of its assets in the GMO Benchmark Free Allocation Fund (the “GMO Fund”), a series of GMO Trust and a fund that is managed by Grantham Mayo Van Otterloo & Co. LLC. The Fund’s investment objective and principal investment strategies are substantially similar to those of the GMO Fund. References to the Fund and its performance and characteristics are also applicable to the GMO Fund, as relevant.

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the continuation of the Advisory Agreement. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreement by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management was guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreement, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreement is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management is reasonable. The Board considered the continuation of the Advisory Agreement for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management under the Advisory Agreement. This information included, among other things, a summary of the background and experience of senior management of Funds Management.

In light of the gateway feeder nature of the Fund, the Board was advised that the scope of services under the Advisory Agreement would include various responsibilities related to the oversight of the GMO Fund and its performance and investment management activities, as well as fund-level administrative services typically provided by Funds Management under a separate administration agreement.

The Board evaluated the ability of Funds Management, based on attributes such as its financial condition, resources and reputation, to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other

22 Wells Fargo Advantage Absolute Return Fund Other information (unaudited)

comparative data. Lipper is an independent provider of investment company data. The Board received a description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted that the performance of the Fund (Administrator Class) was higher than the median performance of the Universe for all periods under review.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements at both the Fund level and the GMO Fund level. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund, including indirect fees and expenses incurred at the GMO Fund level, were lower than or in range of the median net operating expense ratios of the expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreement.

Investment advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs.

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were lower than the median rates for the Fund’s expense Groups.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreement.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreement.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to funds management

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates as a result of its relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in

Other information (unaudited) Wells Fargo Advantage Absolute Return Fund 23

Funds Management’s business as a result of its relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreement for an additional one-year period.

List of abbreviations Wells Fargo Advantage Absolute Return Fund 24

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

APPENDIX

GMO Benchmark-Free Allocation Fund

(A Series of GMO Trust)

Schedule of Investments

(showing percentage of total net assets)

March 31, 2013 (Unaudited)

Shares / Par Value ($)		Description	Value ($)
		MUTUAL FUNDS — 100.0%
		Affiliated Issuers — 100.0%
	51,300,293	GMO Alpha Only Fund, Class IV		1,242,493,107
	18,384,696	GMO Alternative Asset Opportunity Fund		555,953,196
	10,260,088	GMO Debt Opportunities Fund, Class VI		278,869,203
	12,399,790	GMO Emerging Country Debt Fund, Class IV		127,717,836
	6,685,700	GMO Flexible Equities Fund, Class VI		151,364,238
	237,627,610	GMO Implementation Fund		2,725,588,691
		TOTAL MUTUAL FUNDS (COST $4,835,872,015)		5,081,986,271
		SHORT-TERM INVESTMENTS — 0.0%
		Money Market Funds — 0.0%
	29,649	State Street Institutional Treasury Money Market Fund-Institutional Class, 0.00%(a)		29,649
		TOTAL SHORT-TERM INVESTMENTS (COST $29,649)		29,649
		TOTAL INVESTMENTS — 100.0% (Cost $4,835,901,664)		5,082,015,920
		Other Assets and Liabilities (net) — (0.0%)		(1,893,785	)
		TOTAL NET ASSETS — 100.0%		$5,080,122,135

Notes to Schedule of Investments:

(a) The rate disclosed is the 7 day net yield as of March 31, 2013. Note: Yield rounds to 0.00%.

A-1

APPENDIX

GMO Benchmark-Free Allocation Fund

(A Series of GMO Trust)

Statement of Assets and Liabilities — March 31, 2013 (Unaudited)

Assets:
Investments in affiliated issuers, at value (Cost $ 4,835,872,015)	$	5,081,986,271
Investments in unaffiliated issuers, at value (Cost $29,649)		29,649
Receivable for expenses reimbursed by Manager		1,032,900
Total assets		5,083,048,820
Liabilities:
Payable to affiliate for:
Management fee		2,413,863
Shareholder service fee		171,356
Supplemental support fee — Class MF		238,766
Payable to agents unaffiliated with the Manager		504
Payable to Trustees and related expenses		12,139
Accrued expenses		90,057
Total liabilities		2,926,685
Net assets	$	5,080,122,135
Net assets consist of:
Paid-in capital	$	4,894,809,920
Accumulated undistributed net investment income		8,184,895
Accumulated net realized loss		(68,986,933	)
Net unrealized appreciation		246,114,253
	$	5,080,122,135
Net assets attributable to:
Class III shares	$	1,085,091,438
Class IV shares	$	718,931,223
Class MF shares	$	3,276,099,474
Shares outstanding:
Class III shares		41,737,238
Class IV shares		27,665,044
Class MF shares		126,031,610
Net asset value per share:
Class III shares	$	26.00
Class IV shares	$	25.99
Class MF shares	$	25.99

A-2

For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215912 05-13 SA260/SAR260 3-13

Wells Fargo Advantage Asset Allocation Fund

Semi-Annual Report

March 31, 2013

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Sign up for electronic delivery of prospectuses and shareholder reports at www.wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Wells Fargo Advantage Asset Allocation Fund
Portfolio of investments	8
Financial statements
Statement of assets and liabilities	9
Statement of operations	10
Statement of changes in net assets	11
Financial highlights	12
Notes to financial statements	18
Other information	21
Asset Allocation Trust
Portfolio of investments	24
Financial Statements
Statement of assets and liabilities	25
Statement of operations	26
Statement of changes in net assets	27
Financial highlights	28
Notes to financial statements	29
Other information	32
List of abbreviations	37

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Asset Allocation Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

For most of the period, U.S. economic data remained moderately positive.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Asset Allocation Fund for the six-month period ended March 31, 2013. Much of the period was marked by increased confidence that the U.S. economy was staging a fragile recovery, partially offset by concerns about the possible effects of the ongoing European sovereign debt crisis on the global economy. Continued monetary easing by global central banks helped support rallies in developed stock markets. High-quality bonds had little room for further appreciation amid historically low interest rates, but investors continued to bid up high-yield bonds.

U.S. stocks gained as the U.S. economy reported relatively solid news.

For most of the period, U.S. economic data remained moderately positive. Reported U.S. gross domestic product (GDP) growth came in at a solid 3.1% annualized rate in the third quarter of 2012, just prior to the reporting period, only to fall back to a 0.4% annualized rate in the fourth quarter. Many analysts attributed the fourth-quarter weakness to the temporary aftereffects from Hurricane Sandy, which devastated the Eastern Seaboard in October 2012. Even the stubbornly high unemployment rate showed moderate signs of improvement, easing from 7.9% in October 2012 to 7.6% in March 2013.

Central banks continued to provide stimulus.

Major central banks, including the U.S. Federal Reserve Board (Fed) and the European Central Bank (ECB) continued to inject liquidity into the banks and the market through various quantitative easing policies. Throughout the reporting period, the Federal Open Market Committee (FOMC) kept its key interest rates effectively at zero in order to support the economy and the financial system. After its September 2012 meeting, the FOMC announced its intention to keep interest rates low until at least mid-2015 and to make open-ended purchases of $40 billion per month in mortgage-backed securities to support the housing market.

In July 2012, the ECB cut its key rate to 0.75%. In addition, the ECB announced in September 2012 that it would purchase an unlimited amount of one- to three-year sovereign debt from countries that had formally applied for a bailout. In May 2013, after the end of the reporting period, the ECB cut its key rate to a historic low of 0.50%. The ECB’s aggressive actions helped ease investor worries about a eurozone sovereign debt default. Moreover, in mid-March 2013, the governor of the Bank of Japan resigned to allow Shinzo Abe, the recently reelected prime minister, to appoint a new bank governor who was expected to use aggressive monetary policies to attack Japan’s persistent deflation.

The debt crisis in the eurozone returned to center stage but with less impact than before.

Ongoing weakness in the Greek economy made it difficult for the country to meet previously agreed upon austerity targets. Because many eurozone banks owned Greek debt and many U.S. banks had financial ties to eurozone banks, investors initially worried that a Greek default would result in another global financial crisis. However, as central banks continued to provide liquidity, investor worries about the effect of a European sovereign debt default on the global economy began to ease. When the tiny eurozone nation of Cyprus was forced to implement capital controls and impose losses on uninsured bank depositors in March 2013, global stock markets remained resilient despite short-term volatility.

An improved U.S. economy and global monetary easing led to strong global stock markets and record-low interest rates.

The relatively positive outlook for the U.S. economy contributed to a strong domestic stock market for most of the reporting period. Developed foreign

Letter to shareholders (unaudited) Wells Fargo Advantage Asset Allocation Fund 3

markets also rallied as central banks continued to inject liquidity into their respective economies. Lingering uncertainties in the macroeconomic environment prompted investors to prefer stocks in companies with relatively predictable business models. Within the S&P 500 Index¹, for example, consumer discretionary and consumer staples stocks strongly outperformed, but information technology stocks lagged. For the reporting period, the S&P 500 Index posted an 8.92% return.

High-quality bonds posted barely positive returns during the reporting period; as a result of a long-lived bond rally and record-low interest rates, it appears most high-quality bonds have little room for further appreciation. The Barclays U.S. Aggregate Bond Index² , a gauge of the high-quality bond markets, returned 0.09% for the six-month period. High yield bonds, however, returned 6.28% for the reporting period as measured by the Barclays U.S. Corporate High Yield Bond Index³.

We employ a diverse array of investment strategies, even as many variables are at work in the market.

The full effect of the European credit crisis remains unknown. Elevated U.S. and Southern European unemployment continues to pressure consumers and businesses alike. As a whole, Wells Fargo Advantage Funds represents investments across a range of asset classes and investment styles, giving you an opportunity to create a diversified investment portfolio. While diversification may not prevent losses in a downturn, we believe it helps manage risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Developed foreign markets also rallied as central banks continued to inject liquidity into their respective economies.

1. The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value-weighted index with each stock’s weight in the index proportionate to its market value. You cannot invest directly in an index.

2. The Barclays U.S. Aggregate Bond Index is composed of the Barclays Government/Credit Index and the Mortgage-Backed Securities Index and includes U.S. Treasury issues, agency issues, corporate bond issues, and mortgage-backed securities. You cannot invest directly in an index.

3. The Barclays U.S. Corporate High Yield Bond Index is an unmanaged, U.S. dollar-denominated, nonconvertible, non-investment-grade debt index. The Index consists of domestic and corporate bonds rated Ba and below with a minimum outstanding amount of $150 million. You cannot invest directly in an index.

4 Wells Fargo Advantage Asset Allocation Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term total return, consisting of capital appreciation and current income.

Adviser

Wells Fargo Funds Management, LLC

Portfolio managers

Ben Inker, CFA¹

Sam Wilderman, CFA¹

Average annual total returns² (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios3 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net4
Class A (EAAFX)	7-29-1996		1.53		3.43		7.57		7.71		4.66		8.21		1.41		1.41
Class B (EABFX)*	10-3-2002		1.88		3.54		7.67		6.88		3.87		7.67		2.16		2.16
Class C (EACFX)	10-3-2002		5.93		3.88		7.43		6.93		3.88		7.43		2.16		2.16
Class R (EAXFX)	10-10-2003		–		–		–		7.41		4.40		7.97		1.66		1.66
Administrator Class (EAIFX)	10-3-2002		–		–		–		7.92		4.89		8.49		1.25		1.21
Institutional Class (EAAIX)	11-30-2012		–		–		–		8.02		4.90		8.50		0.98		0.98
GMO Global Balanced Index5	–		–		–		–		8.36		3.78		7.46		–		–
Barclays U.S. Aggregate Bond Index6	–		–		–		–		3.77		5.47		5.02		–		–
MSCI All Country World Index (Net)7	–		–		–		–		10.55		2.06		9.36		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Class R, Administrator Class, and Institutional Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Balanced funds may invest in stocks and bonds. Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Bond values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. In general, when interest rates rise, bond values fall and investors may lose principal value. Alternative investments, such as real estate, foreign currency, and natural resources, are speculative and entail a high degree of risk. Foreign investments are especially volatile and can rise or fall dramatically due to differences in the political and economic conditions of the host country. The Fund will indirectly be exposed to all of the risks of an investment in the underlying funds and will indirectly bear expenses of the underlying funds. The use of derivatives may reduce returns and/or increase volatility. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to high yield securities risk, mortgage- and asset-backed securities risk, and smaller-company securities risk. Consult the Fund’s prospectus for additional information on these and other risks. The Fund invests substantially all of its assets in Asset Allocation Trust, an open-end management investment company having the same investment objective and strategy as the Fund. Any portfolio data shown for the Fund represents that of the Asset Allocation Trust.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Asset Allocation Fund 5

Ten largest holdings8 (%) as of March 31, 2013
GMO U.S. Flexible Equities Fund Class VI	22.00
GMO Strategic Fixed Income Fund Class VI	13.59
GMO Alpha Only Fund Class IV	12.91
GMO International Core Equity Fund Class VI	11.90
GMO Emerging Markets Fund Class VI	9.95
GMO International Intrinsic Value Fund Class IV	8.01
GMO Currency Hedged International Equity Fund Class III	5.08
GMO Special Situations Fund Class VI	3.62
GMO Emerging Country Debt Fund Class IV	2.78
GMO Risk Premium Fund Class VI	2.60

Portfolio allocation⁹ as of March 31, 2013

1. The Fund invests substantially all of its assets directly in Asset Allocation Trust, an investment company advised by Grantham, Mayo, Van Otterloo & Co. LLC (GMO). Mr. Inker and Mr. Wilderman, senior members of GMO’s Asset Allocation Division, are responsible for coordinating the portfolio management of Asset Allocation Trust.

2. Historical performance shown for all classes of the Fund prior to July 19, 2010, is based on the performance of the Fund’s predecessor, Evergreen Asset Allocation Fund. Historical performance shown for the Institutional Class shares prior to their inception reflects the performance of the Administrator Class shares, and includes the higher expenses applicable to the Administrator Class. Historical performance shown for R shares prior to their inception reflects the performance of Class A shares, adjusted to reflect the higher expenses applicable to Class R shares. Historical performance for Class A shares prior to October 3, 2002, is based on the performance of Class III of the Evergreen Asset Allocation Fund’s predecessor, GMO Global Balanced Allocation Fund (the “GMO Fund”). Expenses of the GMO Fund were lower than the expenses the Fund incurs, in part because the GMO Fund did not pay 12b-1 fees. If the GMO Fund had incurred expenses at the same rate as the Fund does, the performance shown would have been lower.

3. Reflects the expense ratios as stated in the most recent prospectuses.

4. The Adviser has committed through February 1, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at 0.87% for Class A, 1.62% for Class B, 1.62% for Class C, 1.12% for Class R, 0.64% for Administrator Class, and 0.44% for Institutional Class. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, (including the expenses of Asset Allocation Trust), and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

5. The GMO Global Balanced Index is a composite benchmark computed by GMO. Since May 1, 2007, the GMO Global Balanced Index is comprised of 65% MSCI All Country World Index (Net), and 35% Barclays U.S. Aggregate Bond Index. Prior to May 1, 2007, it was composed of 48.75% S&P 500 Index, 16.25% MSCI All Country World ex-US Index, and 35% Barclays U.S. Aggregate Bond Index. You cannot invest directly in an index.

6. The Barclays U.S. Aggregate Bond Index is composed of the Barclays Government/Credit Index and the Mortgage-Backed Securities Index and includes U.S. Treasury issues, agency issues, corporate bond issues, and mortgage-backed securities. You cannot invest directly in an index.

7. The MSCI All Country World Index (Net) (MSCI ACWI Index (Net)) is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. You cannot invest directly in an index. Source: MSCI. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indexes or any securities or financial products. This report is not approved, reviewed or produced by MSCI.

8. The ten largest holdings are calculated based on the value of the securities of the Asset Allocation Trust divided by the total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

9. Portfolio allocation is subject to change and represents the portfolio allocation of the Asset Allocation Trust which is calculated based on the total long-term investments of the Asset Allocation Trust.

6 Wells Fargo Advantage Asset Allocation Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Wells Fargo Advantage Asset Allocation Fund	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,055.45	$	4.30		0.84	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.74	$	4.23		0.84	%
Class B
Actual	$	1,000.00	$	1,051.95	$	8.13		1.59	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,017.00	$	8.00		1.59	%
Class C
Actual	$	1,000.00	$	1,051.24	$	8.13		1.59	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,017.00	$	8.00		1.59	%
Class R
Actual	$	1,000.00	$	1,053.91	$	5.58		1.09	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.50	$	5.49		1.09	%
Administrator Class
Actual	$	1,000.00	$	1,056.00	$	3.28		0.64	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.74	$	3.23		0.64	%
Institutional Class
Actual	$	1,000.00	$	1,056.95	$	2.15		0.42	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.84	$	2.12		0.42	%

Fund expenses (unaudited) Wells Fargo Advantage Asset Allocation Fund 7

Wells Fargo Advantage Asset Allocation Fund including underlying fund expenses	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,055.45	$	6.97		1.36	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.15	$	6.84		1.36	%
Class B
Actual	$	1,000.00	$	1,051.95	$	10.79		2.11	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,014.41	$	10.60		2.11	%
Class C
Actual	$	1,000.00	$	1,051.24	$	10.79		2.11	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,014.41	$	10.60		2.11	%
Class R
Actual	$	1,000.00	$	1,053.91	$	8.24		1.61	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,016.90	$	8.10		1.61	%
Administrator Class
Actual	$	1,000.00	$	1,056.00	$	5.95		1.16	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.15	$	5.84		1.16	%
Institutional Class
Actual	$	1,000.00	$	1,056.95	$	4.82		0.94	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.24	$	4.73		0.94	%
Asset Allocation Trust
Actual	$	1,000.00	$	1,059.89	$	0.00		0.00	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,024.93	$	0.00		0.00	%
Asset Allocation Trust including underlying fund expenses
Actual	$	1,000.00	$	1,059.89	$	2.67		0.52	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.34	$	2.62		0.52	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

8 Wells Fargo Advantage Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Investment Companies: 100.13%
Asset Allocation Trust (l)		497,408,888	$	6,952,852,272
Total Investment Companies (Cost $5,547,361,124)				6,952,852,272

Total investments
(Cost $5,547,361,124)*	100.13	%		6,952,852,272
Other assets and liabilities, net	(0.13	)		(9,171,226	)
Total net assets	100.00	%	$	6,943,681,046

(l) Investment in an affiliate

* Cost for federal income tax purposes is $5,547,536,717 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	1,405,315,555
Gross unrealized depreciation		0
Net unrealized appreciation	$	1,405,315,555

The accompanying notes are an integral part of these financial statements.

Statement of assets and liabilities—March 31, 2013 (unaudited) Wells Fargo Advantage Asset Allocation Fund 9

Assets
Investment in investment company shares, at value (see cost below)	$	6,952,852,272
Receivable for Fund shares sold		12,654,561
Prepaid expenses and other assets		111,448
Total assets		6,965,618,281
Liabilities
Payable for Fund shares redeemed		15,104,733
Advisory fee payable		1,283,632
Distribution fees payable		1,951,553
Due to other related parties		1,878,105
Shareholder servicing fees payable		1,354,580
Accrued expenses and other liabilities		364,632
Total liabilities		21,937,235
Total net assets	$	6,943,681,046
NET ASSETS CONSIST OF
Paid-in capital	$	5,546,866,503
Accumulated net investment loss		(172,477,092	)
Accumulated net realized gains on investments		163,800,487
Net unrealized gains on investments		1,405,491,148
Total net assets	$	6,943,681,046
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	2,323,238,132
Shares outstanding – Class A		174,995,394
Net asset value per share – Class A		$13.28
Maximum offering price per share – Class A2		$14.09
Net assets – Class B	$	542,805,102
Shares outstanding – Class B		41,414,800
Net asset value per share – Class B		$13.11
Net assets – Class C	$	2,489,596,524
Shares outstanding – Class C		194,367,161
Net asset value per share – Class C		$12.81
Net assets – Class R	$	32,085,268
Shares outstanding – Class R		2,441,966
Net asset value per share – Class R		$13.14
Net assets – Administrator Class	$	1,018,054,002
Shares outstanding – Administrator Class		76,177,292
Net asset value per share – Administrator Class		$13.36
Net assets – Institutional Class	$	537,902,018
Shares outstanding – Institutional Class		40,349,610
Net asset value per share – Institutional Class		$13.33
Investment in investment company shares, at cost	$	5,547,361,124

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Asset Allocation Fund Statement of operations—six months ended March 31, 2013 (unaudited)

Investment income		$                 0
Expenses
Advisory fee		7,732,820
Administration fees
Fund level		3,292,580
Class A		2,978,373
Class B		773,263
Class C		3,274,048
Class R		39,128
Administrator Class		725,387
Institutional Class		39,852	1
Shareholder servicing fees
Class A		2,863,821
Class B		740,443
Class C		3,148,123
Class R		37,623
Administrator Class		1,692,092
Distribution fees
Class B		2,230,567
Class C		9,444,370
Class R		37,623
Custody and accounting fees		103,434
Professional fees		10,052
Registration fees		33,149
Shareholder report expenses		209,673
Trustees’ fees and expenses		4,640
Other fees and expenses		40,922
Total expenses		39,451,983
Less: Fee waivers and/or expense reimbursements		(202,414	)
Net expenses		39,249,569
Net investment loss		(39,249,569	)
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		163,976,080
Net change in unrealized gains (losses) on investments		239,910,894
Net realized and unrealized gains (losses) on investments		403,886,974
Net increase in net assets resulting from operations	$	364,637,405

1. For the period from November 30, 2012 (commencement of class operations) to March 31, 2013

The accompanying notes are an integral part of these financial statements.

Statement of changes in net assets Wells Fargo Advantage Asset Allocation Fund 11

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment loss				$	(39,249,569	)				$	(84,995,886	)
Net realized gains on investments					163,976,080						256,883,512
Net change in unrealized gains (losses) on investments					239,910,894						673,583,459
Net increase in net assets resulting from operations					364,637,405						845,471,085
Distributions to shareholders from
Net investment income
Class A					(57,362,700	)					(45,876,928	)
Class B					(9,294,476	)					(14,725,864	)
Class C					(43,156,505	)					(46,825,513	)
Class R					(645,944	)					(472,123	)
Administrator Class					(42,289,555	)					(30,062,044	)
Institutional Class					(2,036	)1					N/A
Total distributions to shareholders					(152,751,216	)					(137,962,472	)
		Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		14,704,696			191,662,271			35,814,683			441,038,146
Class B		113,552			1,455,873			199,710			2,414,348
Class C		5,456,301			68,329,622			14,868,940			176,064,142
Class R		631,341			8,134,119			751,747			9,178,937
Administrator Class		14,988,003			196,333,793			55,690,272			692,044,409
Institutional Class		41,285,340	1		540,536,992	1		N/A			N/A
					1,006,452,670						1,320,739,982
Reinvestment of distributions
Class A		4,125,811			52,562,832			3,440,601			40,977,565
Class B		702,281			8,848,740			1,155,830			13,592,564
Class C		2,710,463			33,365,798			2,952,848			33,987,278
Class R		42,436			535,537			32,735			386,274
Administrator Class		2,570,656			32,955,810			1,864,375			22,353,857
Institutional Class		159	1		2,036	1		N/A			N/A
					128,270,753						111,297,538
Payment for shares redeemed
Class A		(22,609,985	)		(294,474,019	)		(60,125,371	)		(742,819,659	)
Class B		(11,454,803	)		(146,837,300	)		(28,824,391	)		(349,243,360	)
Class C		(23,881,354	)		(298,845,189	)		(49,864,468	)		(592,532,288	)
Class R		(575,286	)		(7,386,534	)		(475,851	)		(5,831,829	)
Administrator Class		(61,507,076	)		(806,653,091	)		(58,332,737	)		(722,431,554	)
Institutional Class		(935,889	)1		(12,446,115	)1		N/A			N/A
					(1,566,642,248	)					(2,412,858,690	)
Net decrease in net assets resulting from capital share transactions					(431,918,825	)					(980,821,170	)
Total decrease in net assets					(220,032,636	)					(273,312,557	)
Net assets
Beginning of period					7,163,713,682						7,437,026,239
End of period				$	6,943,681,046					$	7,163,713,682
Undistributed (accumulated) net investment income (loss)				$	(172,477,092	)				$	19,523,693

1. For the period from November 30, 2012 (commencement of class operations) to March 31, 2013

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Asset Allocation Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended December 31
CLASS A				2012			2011			20101,2			20091			20081			20071
Net asset value, beginning of period	$	12.91		$	11.70		$	11.76		$	11.37		$	9.38		$	14.91		$	14.81
Net investment income (loss)		(0.05	)		(0.12	)		(0.09	)		(0.08	)		(0.08	)		(0.11	)3		0.27
Net realized and unrealized gains (losses) on investments		0.75			1.56			0.20			0.47			2.34			(3.17	)		0.77
Total from investment operations		0.70			1.44			0.11			0.39			2.26			(3.28	)		1.04
Distributions to shareholders from
Net investment income		(0.33	)		(0.23	)		(0.14	)		(0.00	)4		(0.27	)		(1.08	)		(0.58	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.85	)		(0.36	)
Tax basis return of capital		0.00			0.00			(0.03	)		0.00			0.00			(0.32	)		0.00
Total distributions to shareholders		(0.33	)		(0.23	)		(0.17	)		(0.00	)4		(0.27	)		(2.25	)		(0.94	)
Net asset value, end of period	$	13.28		$	12.91		$	11.70		$	11.76		$	11.37		$	9.38		$	14.91
Total return5		5.55	%		12.48	%		0.94	%		3.45	%		24.10	%		(22.31	)%		7.09	%
Ratios to average net assets (annualized)
Gross expenses6		0.84	%		0.84	%		0.85	%		0.85	%		0.87	%		0.82	%		0.84	%
Net expenses6		0.84	%		0.84	%		0.84	%		0.85	%		0.87	%		0.81	%		0.81	%
Net investment income (loss)		(0.84	)%		(0.84	)%		(0.84	)%		(0.85	)%		(0.87	)%		(0.81	)%		1.73	%
Supplemental data
Portfolio turnover rate		0	%		1	%		1	%		1	%		2	%		6	%		2	%
Net assets, end of period (000s omitted)		$2,323,238			$2,307,609			$2,336,095			$2,957,689			$3,077,187			$2,640,410			$4,405,430

1. After the close of business on July 16, 2010, the Fund acquired the net assets of Evergreen Asset Allocation Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 19, 2010 is that of Class A of Evergreen Asset Allocation Fund.

2. For the nine months ended September 30, 2010. The Fund changed its fiscal year end from December 31 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Amount is less than $0.005.

5. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

6. The Fund invests all of its investable assets in Asset Allocation Trust which does not have any net expenses. Expenses from Asset Allocation Trust, if any, would be included in these ratios.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Asset Allocation Fund 13

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended December 31
CLASS B				2012			2011			20101,2			20091			20081			20071
Net asset value, beginning of period	$	12.66		$	11.54		$	11.60		$	11.27		$	9.30		$	14.75		$	14.65
Net investment income (loss)		(0.10	)3		(0.19	)3		(0.19	)3		(0.14	)		(0.17	)		(0.20	)3		0.15
Net realized and unrealized gains (losses) on investments		0.75			1.51			0.21			0.47			2.32			(3.13	)		0.77
Total from investment operations		0.65			1.32			0.02			0.33			2.15			(3.33	)		0.92
Distributions to shareholders from
Net investment income		(0.20	)		(0.20	)		(0.07	)		(0.00	)4		(0.18	)		(0.95	)		(0.46	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.85	)		(0.36	)
Tax basis return of capital		0.00			0.00			(0.01	)		0.00			0.00			(0.32	)		0.00
Total distributions to shareholders		(0.20	)		(0.20	)		(0.08	)		(0.00	)4		(0.18	)		(2.12	)		(0.82	)
Net asset value, end of period		$13.11			$12.66			$11.54			$11.60			$11.27			$9.30			$14.75
Total return5		5.19	%		11.61	%		0.17	%		2.95	%		23.14	%		(22.94	)%		6.33	%
Ratios to average net assets (annualized)
Gross expenses6		1.59	%		1.59	%		1.60	%		1.60	%		1.62	%		1.56	%		1.54	%
Net expenses6		1.59	%		1.59	%		1.59	%		1.59	%		1.62	%		1.56	%		1.54	%
Net investment income (loss)		(1.59	)%		(1.59	)%		(1.59	)%		(1.59	)%		(1.62	)%		(1.56	)%		0.91	%
Supplemental data
Portfolio turnover rate		0	%		1	%		1	%		1	%		2	%		6	%		2	%
Net assets, end of period (000s omitted)	$	542,805		$	659,186		$	917,860		$	1,253,485		$	1,415,023		$	1,369,657		$	2,131,841

1. After the close of business on July 16, 2010, the Fund acquired the net assets of Evergreen Asset Allocation Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 19, 2010 is that of Class B of Evergreen Asset Allocation Fund.

2. For the nine months ended September 30, 2010. The Fund changed its fiscal year end from December 31 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Amount is less than $0.005.

5. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

6. The Fund invests all of its investable assets in Asset Allocation Trust which does not have any net expenses. Expenses from Asset Allocation Trust, if any, would be included in these ratios.

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Asset Allocation Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended December 31
CLASS C				2012			2011			20101,2			20091			20081			20071
Net asset value, beginning of period	$	12.40		$	11.30		$	11.36		$	11.04		$	9.12		$	14.47		$	14.39
Net investment income (loss)		(0.11	)		(0.19	)3		(0.19	)3		(0.14	)		(0.16	)		(0.20	)3		0.16
Net realized and unrealized gains (losses) on investments		0.74			1.49			0.21			0.46			2.27			(3.06	)		0.74
Total from investment operations		0.63			1.30			0.02			0.32			2.11			(3.26	)		0.90
Distributions to shareholders from
Net investment income		(0.22	)		(0.20	)		(0.07	)		(0.00	)4		(0.19	)		(0.92	)		(0.46	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.85	)		(0.36	)
Tax basis return of capital		0.00			0.00			(0.01	)		0.00			0.00			(0.32	)		0.00
Total distributions to shareholders		(0.22	)		(0.20	)		(0.08	)		(0.00	)4		(0.19	)		(2.09	)		(0.82	)
Net asset value, end of period	$	12.81		$	12.40		$	11.30		$	11.36		$	11.04			$9.12		$	14.47
Total return5		5.12	%		11.64	%		0.18	%		2.92	%		23.08	%		(22.85	)%		6.29	%
Ratios to average net assets (annualized)
Gross expenses6		1.59	%		1.59	%		1.60	%		1.60	%		1.62	%		1.56	%		1.54	%
Net expenses6		1.59	%		1.59	%		1.59	%		1.60	%		1.62	%		1.56	%		1.54	%
Net investment income (loss)		(1.59	)%		(1.59	)%		(1.59	)%		(1.60	)%		(1.62	)%		(1.56	)%		1.01	%
Supplemental data
Portfolio turnover rate		0	%		1	%		1	%		1	%		2	%		6	%		2	%
Net assets, end of period (000s omitted)		$2,489,597			$2,604,438			$2,736,064			$3,290,791			$3,490,657			$3,019,585			$4,666,033

1. After the close of business on July 16, 2010, the Fund acquired the net assets of Evergreen Asset Allocation Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 19, 2010 is that of Class C of Evergreen Asset Allocation Fund.

2. For the nine months ended September 30, 2010. The Fund changed its fiscal year end from December 31 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Amount is less than $0.005.

5. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

6. The Fund invests all of its investable assets in Asset Allocation Trust which does not have any net expenses. Expenses from Asset Allocation Trust, if any, would be included in these ratios.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Asset Allocation Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended December 31
CLASS R				2012			2011			20101,2			20091			20081			20071
Net asset value, beginning of period	$	12.76		$	11.59		$	11.66		$	11.29		$	9.32		$	14.82		$	14.73
Net investment income (loss)		(0.07	)3		(0.13	)3		(0.10	)		(0.06	)		(0.11	)3		(0.14	)3		0.25
Net realized and unrealized gains (losses) on investments		0.75			1.52			0.19			0.43			2.33			(3.15	)		0.75
Total from investment operations		0.68			1.39			0.09			0.37			2.22			(3.29	)		1.00
Distributions to shareholders from
Net investment income		(0.30	)		(0.22	)		(0.13	)		(0.00	)4		(0.25	)		(1.04	)		(0.55	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.85	)		(0.36	)
Tax basis return of capital		0.00			0.00			(0.03	)		0.00			0.00			(0.32	)		0.00
Total distributions to shareholders		(0.30	)		(0.22	)		(0.16	)		(0.00	)4		(0.25	)		(2.21	)		(0.91	)
Net asset value, end of period	$	13.14		$	12.76		$	11.59		$	11.66		$	11.29		$	9.32		$	14.82
Total return5		5.39	%		12.16	%		0.71	%		3.30	%		23.77	%		(22.52	)%		6.83	%
Ratios to average net assets (annualized)
Gross expenses6		1.09	%		1.09	%		1.09	%		1.10	%		1.12	%		1.06	%		1.04	%
Net expenses6		1.09	%		1.09	%		1.09	%		1.09	%		1.12	%		1.06	%		1.04	%
Net investment income (loss)		(1.09	)%		(1.09	)%		(1.09	)%		(1.09	)%		(1.12	)%		(1.06	)%		1.61	%
Supplemental data
Portfolio turnover rate		0	%		1	%		1	%		1	%		2	%		6	%		2	%
Net assets, end of period (000s omitted)		$32,085			$29,899			$23,580			$20,893			$16,279			$11,035			$12,935

1. After the close of business on July 16, 2010, the Fund acquired the net assets of Evergreen Asset Allocation Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 19, 2010 is that of Class R of Evergreen Asset Allocation Fund.

2. For the nine months ended September 30, 2010. The Fund changed its fiscal year end from December 31 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Amount is less than $0.005.

5. Returns for periods of less than one year are not annualized.

6. The Fund invests all of its investable assets in Asset Allocation Trust which does not have any net expenses. Expenses from Asset Allocation Trust, if any, would be included in these ratios.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Asset Allocation Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended December 31
ADMINISTRATOR CLASS				2012			2011			20101,2			20091			20081			20071
Net asset value, beginning of period		$13.01			$11.77			$11.84			$11.42			$9.42			$14.99			$14.90
Net investment income (loss)		(0.04	)3		(0.09	)		(0.08	)3		(0.01	)		(0.06	)3		(0.07	)3		0.31
Net realized and unrealized gains (losses) on investments		0.75			1.57			0.22			0.43			2.36			(3.20	)		0.77
Total from investment operations		0.71			1.48			0.14			0.42			2.30			(3.27	)		1.08
Distributions to shareholders from
Net investment income		(0.36	)		(0.24	)		(0.17	)		(0.00	)4		(0.30	)		(1.13	)		(0.63	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.85	)		(0.36	)
Tax basis return of capital		0.00			0.00			(0.04	)		0.00			0.00			(0.32	)		0.00
Total distributions to shareholders		(0.36	)		(0.24	)		(0.21	)		(0.00	)4		(0.30	)		(2.30	)		(0.99	)
Net asset value, end of period		$13.36			$13.01			$11.77			$11.84			$11.42			$9.42			$14.99
Total return5		5.60	%		12.74	%		1.12	%		3.70	%		24.40	%		(22.12	)%		7.29	%
Ratios to average net assets (annualized)
Gross expenses6		0.67	%		0.64	%		0.65	%		0.63	%		0.62	%		0.57	%		0.54	%
Net expenses6		0.64	%		0.62	%		0.63	%		0.60	%		0.62	%		0.57	%		0.54	%
Net investment income (loss)		(0.64	)%		(0.62	)%		(0.63	)%		(0.60	)%		(0.62	)%		(0.56	)%		2.18	%
Supplemental data
Portfolio turnover rate		0	%		1	%		1	%		1	%		2	%		6	%		2	%
Net assets, end of period (000s omitted)	$	1,018,054		$	1,562,582		$	1,423,427		$	810,355		$	639,903		$	348,394		$	337,645

1. After the close of business on July 16, 2010, the Fund acquired the net assets of Evergreen Asset Allocation Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 19, 2010 is that of Class I of Evergreen Asset Allocation Fund.

2. For the nine months ended September 30, 2010. The Fund changed its fiscal year end from December 31 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Amount is less than $0.005.

5. Returns for periods of less than one year are not annualized.

6. The Fund invests all of its investable assets in Asset Allocation Trust which does not have any net expenses. Expenses from Asset Allocation Trust, if any, would be included in these ratios.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Asset Allocation Fund 17

(For a share outstanding throughout each period)

INSTITUTIONAL CLASS	Period ended March 31, 20131 (unaudited)
Net asset value, beginning of period		$13.01
Net investment loss		(0.02	)2
Net realized and unrealized gains (losses) on investments		0.74
Total from investment operations		0.72
Distributions to shareholders from
Net investment income		(0.40	)
Net asset value, end of period		$13.33
Total return3		5.69	%
Ratios to average net assets (annualized)
Gross expenses4		0.42	%
Net expenses4		0.42	%
Net investment loss		(0.42	)%
Supplemental data
Portfolio turnover rate		0	%
Net assets, end of period (000s omitted)	$	537,902

1. For the period from November 30, 2012 (commencement of class operations) to March 31, 2013

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

4. The Fund invests all of its investable assets in Asset Allocation Trust which does not have any net expenses. Expenses from Asset Allocation Trust, if any, would be included in these ratios.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Asset Allocation Fund Notes to financial statements (unaudited)

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Asset Allocation Fund (the “Fund”) which is a diversified series of the Trust.

The Fund invests all of its investable assets in Asset Allocation Trust, a fund-of-funds, which primarily allocates its investments among mutual funds advised by Grantham, Mayo, Van Otterloo & Co. LLC (“GMO”) investing in both U.S. and foreign equity and debt securities (“underlying funds”). At March 31, 2013, the Fund owned 100% of Asset Allocation Trust. The financial statements of Asset Allocation Trust, including the Portfolio of Investments, are included elsewhere in this report and should be read in conjunction with the Fund’s financial statements.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

The Fund values its investment in Asset Allocation Trust at net asset value. The valuation of investments in securities and the underlying funds held by Asset Allocation Trust is discussed in its Notes to Financial Statements, which is included elsewhere in this report.

Investment transactions and income recognition

Investment transactions are recorded on a trade date basis. Realized gains and losses resulting from investment transactions are determined on the identified cost basis. Income dividends and capital gain distributions from Asset Allocation Trust are recorded on the ex-dividend date. Capital gain distributions from Asset Allocation Trust are treated as realized gains.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Net investment income is primarily derived from redemptions in Asset Allocation Trust which are deemed dividends to the Fund. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

Notes to financial statements (unaudited) Wells Fargo Advantage Asset Allocation Fund 19

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

At March 31, 2013, Level 2 inputs were used in valuing the Fund’s investment in Asset Allocation Trust.

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.25% and declining to 0.20% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.22% of the Fund’s average daily net assets.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.10% and declining to 0.06% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C, Class R	0.26%
Administrator Class	0.10
Institutional Class	0.08

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through February 1, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 0.87% for Class A shares, 1.62% for Class B shares, 1.62% for Class C shares, 1.12% for Class R shares, 0.64% for Administrator Class shares, and 0.44% for Institutional Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class B, Class C, and Class R shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B, Class C, and Class R shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares and 0.25% of the average daily net assets for Class R shares.

20 Wells Fargo Advantage Asset Allocation Fund Notes to financial statements (unaudited)

For the six months ended March 31 2012, Wells Fargo Funds Distributor, LLC received $183,209 from the sale of Class A shares and $33,762 and $11,855 in contingent deferred sales charges from redemptions of Class B and Class C shares, respectively.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class B, Class C, Class R, and Administrator Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

For the six months ended March 31, 2013, the Fund made aggregate purchases and sales of $19,731,294 and $642,195,196, respectively, in its investment into Asset Allocation Trust.

6. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $6,205 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

Other information (unaudited) Wells Fargo Advantage Asset Allocation Fund 21

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

22 Wells Fargo Advantage Asset Allocation Fund Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

Other information (unaudited) Wells Fargo Advantage Asset Allocation Fund 23

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Jeremy DePalma1 (Born 1974)	Treasurer, since 2012	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

1. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

24 Asset Allocation Trust Portfolio of investments—March 31, 2013 (unaudited)

Security name						Shares		Value
Investment Companies : 99.70%
Alternative & Other Funds : 16.53%
GMO Alpha Only Fund Class IV ß							37,074,966	$	897,955,670
GMO Special Situations Fund Class VI ß †							9,941,342		251,515,950
									1,149,471,620
Emerging Equity Fund : 9.95%
GMO Emerging Markets Fund Class VI ß							60,629,408		691,781,546
Fixed Income Funds : 20.27%
GMO Debt Opportunities Fund ß †							6,118,964		166,313,436
GMO Domestic Bond Fund Class VI ß							6,443,611		104,579,811
GMO Emerging Country Debt Fund Class IV ß							18,780,051		193,434,527
GMO Strategic Fixed Income Fund Class VI ß							57,258,162		944,759,679
									1,409,087,453
International Developed Equity Funds : 30.95%
GMO Currency Hedged International Equity Fund Class III ß							14,276,114		352,905,534
GMO Flexible Equities Fund Class VI ß							6,752,851		152,884,554
GMO International Core Equity Fund Class VI ß							28,263,956		827,286,006
GMO International Growth Equity Fund Class IV ß							3,108,903		80,769,302
GMO International Intrinsic Value Fund Class IV ß							26,045,321		556,848,965
GMO Risk Premium Fund Class VI ß †							17,038,042		180,944,010
									2,151,638,371
U.S. Equity Fund : 22.00%
GMO U.S. Flexible Equities Fund Class VI ß †							141,773,813		1,529,739,446
Total Investment Companies (Cost $6,193,776,011)									6,931,718,436
	Interest rate			Maturity date		Principal
Short-Term Investments : 0.34%
Time Deposit : 0.34%
State Street Bank Euro Dollar		0.01	%		4-1-2013	$	24,037,796		24,037,796
Total Short-Term Investments (Cost $24,037,796)									24,037,796

Total investments in securities
(Cost $6,217,813,807)*	100.04	%		6,955,756,232
Other assets and liabilities, net	(0.04	)		(2,903,960	)
Total net assets	100.00	%	$	6,952,852,272

ß Grantham, Mayo, Van Otterloo & Co. LLC (“GMO”) is the investment advisor to Asset Allocation Trust and the underlying fund.

† Non-income-earning security

* Cost for federal income tax purposes is $6,589,874,263 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	776,223,894
Gross unrealized depreciation		(410,341,925	)
Net unrealized appreciation	$	365,881,969

The accompanying notes are an integral part of these financial statements.

Statement of assets and liabilities—March 31, 2013 (unaudited) Asset Allocation Trust 25

Assets
Investments
In affiliated investment company shares, at value (see cost below)	$	6,931,718,436
In unaffiliated securities, at value (see cost below)		24,037,796
Total investments, at value (see cost below)		6,955,756,232
Receivable for investments sold		3,203,156
Receivable for interest		27
Receivable from adviser		5,526
Total assets		6,958,964,941
Liabilities
Payable for Trust shares redeemed		6,110,479
Accrued expenses and other liabilities		2,190
Total liabilities		6,112,669
Total net assets	$	6,952,852,272
NET ASSETS CONSIST OF
Paid-in capital	$	6,862,614,907
Undistributed net investment income		139,102,674
Accumulated net realized losses on investments		(786,807,734	)
Net unrealized gains on investments		737,942,425
Total net assets	$	6,952,852,272
Shares outstanding (unlimited number of shares authorized)		497,408,888
Net asset value per share		$13.98
Investments in affiliated investment company shares, at cost	$	6,193,776,011
Investments in unaffiliated securities, at cost	$	24,037,796
Total investments, at cost	$	6,217,813,807

The accompanying notes are an integral part of these financial statements.

26 Asset Allocation Trust Statement of operations —six months ended March 31, 2013 (unaudited)

Investment income
Dividends from affiliated investment company shares	$	139,101,429
Interest		1,245
Total investment income		139,102,674
Expenses
Custody and accounting fees		5,533
Professional fees		26,357
Shareholder report expenses		164
Other fees and expenses		389
Total expenses		32,443
Less: Fee waivers and/or expense reimbursements		(32,443	)
Net expenses		0
Net investment income		139,102,674
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Sale of affiliated investment company shares		37,422,899
Capital gain distributions from affiliated investment company shares		57,264,617
Net realized gains on investments		94,687,516
Net change in unrealized gains (losses) on affiliated investment company shares		170,096,620
Net realized and unrealized gains (losses) on investments		264,784,136
Net increase in net assets resulting from operations	$	403,886,810

The accompanying notes are an integral part of these financial statements.

Statement of changes in net assets Asset Allocation Trust 27

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income				$	139,102,674					$	230,772,827
Net realized gains on investments					94,687,516						638,995,004
Net change in unrealized gains (losses) on investments					170,096,620						60,632,240
Net increase in net assets resulting from operations					403,886,810						930,400,071
		Shares						Shares
Capital share transactions
Contributions		1,471,665			19,731,294			6,569,879			81,893,870
Withdrawals		(47,936,979	)		(645,239,885	)		(102,771,308	)		(1,285,518,325	)
Net decrease in net assets resulting from capital share transactions					(625,508,591	)					(1,203,624,455	)
Total decrease in net assets					(221,621,781	)					(273,224,384	)
Net assets
Beginning of period					7,174,474,053						7,447,698,437
End of period				$	6,952,852,272					$	7,174,474,053
Undistributed net investment income				$	139,102,674					$	0

The accompanying notes are an integral part of these financial statements.

28 Asset Allocation Trust Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended December 31
				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	13.19		$	11.64		$	11.43		$	10.98		$	8.77		$	11.57		$	11.57
Net investment income		0.28			0.42			0.21			0.12	2		0.24			0.70	2		0.42
Net realized and unrealized gains (losses) on investments		0.51			1.13			0.00	3		0.33			1.97			(3.15	)		0.47
Total from investment operations		0.79			1.55			0.21			0.45			2.21			(2.45	)		0.89
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			0.00			0.00			0.00			(0.29	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.35	)		(0.60	)
Total distributions to shareholders		0.00			0.00			0.00			0.00			0.00			(0.35	)		(0.89	)
Net asset value, end of period	$	13.98		$	13.19		$	11.64		$	11.43		$	10.98		$	8.77		$	11.57
Total return4		5.99%			13.32%			1.84%			4.10%			25.20%			(21.71)%			7.96%
Ratios to average net assets (annualized)
Gross expenses5		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%
Net expenses5		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%
Net investment income		3.98	%		3.10	%		1.64	%		1.48	%		2.48	%		6.78	%		3.69	%
Supplemental data
Portfolio turnover rate		8%			31%			22%			15%			22%			63%			55%
Net assets, end of period (000s omitted)		$6,952,852			$7,174,474			$7,447,698			$8,349,759			$8,635,057			$7,399,817			$11,516,725

1. For the nine months ended September 30, 2010. The Fund changed its fiscal year end from December 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Amount is less than $0.005.

4. Returns for periods of less than one year are not annualized.

5. Excludes expenses incurred indirectly through investment in underlying funds.

The accompanying notes are an integral part of these financial statements.

Notes to financial statements (unaudited) Asset Allocation Trust 29

1. ORGANIZATION

Asset Allocation Trust (the “Trust”) was organized as a statutory trust under the laws of the state of Delaware on June 14, 2005 and is registered under the Investment Company Act of 1940, as amended, as a no-load, open-end management investment company. The Trust issues its shares of beneficial interest solely in private placement transactions that do not involve any “public offering” within the meaning of Section 4(2) of the Securities Act of 1933, as amended. The Trust is only offered to Wells Fargo Advantage Asset Allocation Fund, a diversified series of Wells Fargo Funds Trust, an open-end management investment company, which was organized as a Delaware statutory trust on March 10, 1999.

The Trust operates as a “fund-of-funds” which primarily invests in shares of open-end mutual funds (“underlying funds”) managed by Grantham, Mayo, Van Otterloo & Co. LLC (“GMO”). Each underlying fund’s accounting policies are outlined in the underlying fund’s financial statements, which are available upon request.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Trust, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Investments in the underlying open-end mutual funds are valued at the net asset value per share as reported by the underlying funds.

Debt securities of sufficient credit quality acquired with maturities of 60 days or less generally are valued at amortized cost which approximates fair value. The amortized cost method involves valuing a security at its cost, plus accretion of discount or minus amortization of premium over the period until maturity.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Investment transactions and income recognition

Investment transactions are recorded on trade date. Income dividends and capital gain distributions from underlying funds are recorded on the ex-dividend date. Capital gain distributions from the underlying funds are treated as realized gains.

Interest income is accrued daily and bond discounts are accreted and premiums are amortized daily based on the effective interest method. To the extent debt obligations are placed on non-accrual status, any related interest income may be reduced by writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. If the issuer subsequently resumes interest payments or when the collectability of interest is reasonably assured, the debt obligation is removed from non-accrual status.

30 Asset Allocation Trust Notes to financial statements (unaudited)

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Trust intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Trust’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Trust’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

As of September 30, 2012, the Trust had pre-enactment capital loss carryforwards incurred in taxable years beginning before December 22, 2010, which are available to offset future net realized capital gains, in the amount of $490,964,449 with $421,475,137 expiring in 2017; $65,386,905 expiring in 2018; and $4,102,407 expiring in 2019.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Trust’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Trust’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Trust’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable Inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Investment companies	$	4,984,149,604	$	1,947,568,832	$	0	$	6,931,718,436
Short-term investments
Time deposit		0		24,037,796		0		24,037,796
	$	4,984,149,604	$	1,971,606,628	$	0	$	6,955,756,232

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Trust did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

GMO, a private company founded in 1977, is the adviser to the Trust. GMO also serves as adviser to each of the underlying funds. GMO does not receive a fee from the Trust for its advisory services. However, the Trust incurs fees and expenses indirectly as a shareholder of the underlying GMO–managed funds, including its indirect share of management or other fees paid to GMO.

Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”), serves as the administrator to the Trust. As administrator, Funds Management provides the Trust with facilities, equipment and

Notes to financial statements (unaudited) Asset Allocation Trust 31

personnel. Funds Management receives no compensation from the Trust for its services. During the six months ended March 31, 2013, Funds Management voluntarily reimbursed the Trust for expenses in the amount of $32,443.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $567,039,954 and $967,723,237, respectively.

6. INVESTMENTS IN AFFILIATES

A summary of the transactions with affiliates for the six months ended March 31, 2013 was as follows:

	Shares, beginning of period		Shares purchased		Shares sold			Shares, end of period		Value, end of period		Dividend income		Capital gain distributions
GMO Alpha Only Fund Class IV		43,729,540		381,022		(7,035,596	)		37,074,966		$897,955,670	$	0	$	0
GMO Currency Hedged International Equity Fund Class III		25,095,810		641,038		(11,460,734	)		14,276,114		352,905,534		9,796,035		4,858,093
GMO Debt Opportunities Fund		5,937,046		181,918		0			6,118,964		166,313,436		2,278,638		2,516,714
GMO Domestic Bond Fund Class VI		6,443,611		0		0			6,443,611		104,579,811		110,830		0
GMO Emerging Country Debt Fund Class IV		17,765,757		1,014,294		0			18,780,051		193,434,527		10,396,521		0
GMO Emerging Markets Fund Class VI		60,813,087		1,345,713		(1,529,392	)		60,629,408		691,781,546		15,460,353		0
GMO Flexible Equities Fund Class VI		7,741,043		143,053		(1,131,245	)		6,752,851		152,884,554		2,587,831		0
GMO International Core Equity Fund Class VI		31,305,421		711,616		(3,753,081	)		28,263,956		827,286,006		19,896,799		0
GMO International Growth Equity Fund Class IV		0		3,219,194		(110,291	)		3,108,903		80,769,302		1,382,975		0
GMO International Intrinsic Value Fund Class IV		21,262,639		5,603,357		(820,675	)		26,045,321		556,848,965		12,095,095		0
GMO Risk Premium Fund Class VI		0		17,038,042		0			17,038,042		180,944,010		0		0
GMO Special Situations Fund Class VI		11,476,875		0		(1,535,533	)		9,941,342		251,515,950		0		0
GMO Strategic Fixed Income Fund Class VI		57,798,131		2,984,591		(3,524,560	)		57,258,162		944,759,679		48,111,616		0
GMO U.S. Flexible Equities Fund Class VI		160,026,122		8,186,883		(26,439,192	)		141,773,813		1,529,739,446		16,984,736		49,889,810
										$	6,931,718,436	$	139,101,429	$	57,264,617

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Trust and, therefore, cannot be estimated.

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

32 Asset Allocation Trust Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

The following table provides basic information about the Board of Trustees (the “Trustees”) and Officers of Asset Allocation Trust. Each of the Trustees and Officers listed below acts in identical capacities. All of the Trustees are also Members of the Audit and Governance Committees of Asset Allocation Trust. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 2010; Chairman, since 2010	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Wells Fargo Advantage family of funds consisting of 130 funds.
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2010	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Wells Fargo Advantage family of funds consisting of 130 funds.
Judith M. Johnson (Born 1949)	Trustee, since 2010; Audit Committee Chairman, since 2010	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Wells Fargo Advantage family of funds consisting of 130 funds.
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/13); Wells Fargo Advantage family of funds consisting of 130 funds.
David F. Larcker (Born 1950)	Trustee, since 2010	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Wells Fargo Advantage family of funds consisting of 130 funds.
Olivia S. Mitchell (Born 1953)	Trustee, since 2010	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Wells Fargo Advantage family of funds consisting of 130 funds.
Timothy J. Penny (Born 1951)	Trustee, since 2010	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Wells Fargo Advantage family of funds consisting of 130 funds.

Other information (unaudited) Asset Allocation Trust 33

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2005	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Wells Fargo Advantage family of funds consisting of 130 funds.
Donald C. Willeke (Born 1940)	Trustee, since 2010	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Wells Fargo Advantage family of funds consisting of 130 funds.

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2010	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Jeremy DePalma (Born 1974)	Treasurer, since 2012	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
C. David Messman (Born 1960)	Secretary, since 2010; Chief Legal Officer, since 2010	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2010	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

34 Wells Fargo Advantage Asset Allocation Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (each a “Board” and collectively the “Boards”) of each of Wells Fargo Funds Trust (“Funds Trust”) and Asset Allocation Trust (collectively with Funds Trust, the “Trusts”), all the members of which have no direct or indirect interest in the investment advisory agreements and are not “interested persons” of the Trusts, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trusts’ investment advisory agreements. In this regard, at an in-person meetings held on March 28-29, 2013 (the “Meeting”), the Funds Trust Board reviewed an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Asset Allocation Fund (the “Asset Allocation Fund”), and the Asset Allocation Trust Board reviewed an investment advisory agreement with Grantham, Mayo, Van Otterloo & Co. LLC (“GMO”) for the Asset Allocation Trust. The Asset Allocation Fund and the Asset Allocation Trust are collectively referred to as the “Funds.” The investment advisory agreements with Funds Management and GMO are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Boards considered the factors and reached the conclusions described below relating to the selection of Funds Management and GMO, as applicable, and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Funds Trust Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist it in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately from Funds Management.

The Asset Allocation Fund is a gateway fund advised by Funds Management that invests substantially all of its assets in the Asset Allocation Trust, which in turn invests in underlying funds that are advised by GMO. The Asset Allocation Trust’s investment objective and investment strategies are substantially similar to those of the Asset Allocation Fund. Information provided to the Boards regarding the Asset Allocation Fund is also applicable to the Asset Allocation Trust, as relevant.

In providing information to the Boards, Funds Management and GMO were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Boards’ annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Boards considered the information they believed relevant, including but not limited to, the information discussed below. The Boards considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and GMO about various topics. In this regard, the Boards reviewed reports of Funds Management at each of their quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Boards and the teams mentioned above confer with portfolio managers at various times throughout the year. The Boards did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors. The Boards evaluated information provided to them about both Funds together and with respect to each Fund separately as they considered appropriate.

After their deliberations, the Boards unanimously determined that the continuation of the Advisory Agreements is in the best interests of the respective Funds and their shareholders, and that the compensation payable to Funds Management is reasonable. The Funds Trust Board considered the continuation of the Advisory Agreements for the Asset Allocation Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Funds Trust Board in reaching its determination.

Nature, extent and quality of services

The Boards received and considered various information regarding the nature, extent and quality of services provided to the Funds by Funds Management and GMO under the respective Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management and GMO, and the qualifications, background, tenure and responsibilities of each of the portfolio managers of GMO primarily responsible for the day-to-day portfolio management of the Asset Allocation Trust.

The Boards evaluated the ability of Funds Management and GMO, based on attributes such as their financial condition, resources and reputation, to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Boards further considered the compliance programs and compliance records of Funds Management and GMO. In addition, the Boards took into account the administrative and other services provided to the

Other information (unaudited) Wells Fargo Advantage Asset Allocation Fund 35

Funds by Funds Management and its affiliates and Funds Management’s oversight of the Funds’ various service providers.

Fund performance and expenses

The Boards considered the performance results for the Asset Allocation Fund over various time periods ended December 31, 2012. The Boards also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Asset Allocation Fund (the “Universe”), and in comparison to the Asset Allocation Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Boards received a description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Funds Trust Board noted that the performance of the Asset Allocation Fund (Administrator Class) was higher than or in range of the median performance of the Universe for all periods under review. The Funds Trust Board also noted that the performance of the Asset Allocation Fund was higher than or in range of its benchmark, the GMO Global Balanced Index, for all periods under review except the one-year period.

With respect to the Asset Allocation Trust, the Asset Allocation Trust Board reviews performance on both an absolute basis and relative to a universe of relevant funds on a quarterly basis. The Asset Allocation Trust Board also took note of the performance of the Asset Allocation Trust in the context of reviewing the performance of the Asset Allocation Fund.

The Funds Trust Board received and considered information regarding the Asset Allocation Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Funds Trust Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Asset Allocation Fund (the “Groups”). The Funds Trust Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Funds Trust Board noted that the net operating expense ratios of the Asset Allocation Fund were lower than or in range of the median net operating expense ratios of the expense Groups.

Based on their consideration of the factors and information they deemed relevant, including those described here, the Boards concluded that the overall performance and expense structure of the Funds supported the re-approval of the Advisory Agreements.

Investment management fee rates

The Funds Trust Board reviewed and considered the contractual investment management fee rates that are payable by the Asset Allocation Fund to Funds Management for investment advisory services (the “Management Agreement Rates”), both on a stand-alone basis and on a combined basis with the Asset Allocation Fund’s class-level contractual administration fee rates (the “Management Rates”). The Funds Trust Board noted that the administration fees include transfer agency costs.

Among other information reviewed by the Funds Trust Board was a comparison of the Management Rates of the Asset Allocation Fund with those of other funds in the expense Groups at a common asset level. The Funds Trust Board noted that the Management Rates of the Asset Allocation Fund were in range of the median rate for the Asset Allocation Fund’s expense Groups for all classes except Class A. The Funds Trust Board and Funds Management agreed to revise the advisory fee schedule for the Asset Allocation Fund by adding an additional breakpoint.

The Asset Allocation Trust Board noted that the Asset Allocation Trust does not pay a fee to GMO for its advisory services and that GMO earns advisory fees from the underlying GMO funds in which the Asset Allocation Trust invests.

The Boards also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and GMO to other types of clients. In this regard, the Boards received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Funds Trust Board determined that the Management Agreement Rates for the Asset Allocation Fund were reasonable in light of the services covered by the Advisory Agreement.

Profitability

The Funds Trust Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Asset Allocation Fund. Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Asset Allocation Fund

36 Wells Fargo Advantage Asset Allocation Fund Other information (unaudited)

and the fund family as a whole. Among other things, the Funds Trust Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Funds Trust Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreement.

The Asset Allocation Trust Board noted that the Asset Allocation Trust does not pay fees to GMO for its advisory services and thus that GMO’s profitability from its relationships with the Asset Allocation Trust was not a material factor in determining whether to renew the Advisory Agreement with GMO.

Economies of scale

With respect to possible economies of scale, the Funds Trust Board reviewed the breakpoints in the Asset Allocation Fund’s advisory fee and administration fee structure, which operate generally to reduce the Asset Allocation Fund’s expense ratios as the Asset Allocation Fund grows in size. The Funds Trust Board considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Funds Trust Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Asset Allocation Fund. The Funds Trust Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Funds Trust Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Asset Allocation Fund.

Other benefits to Funds Management and GMO

The Boards received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates and GMO as a result of their relationship with the Funds. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Funds and benefits potentially derived from an increase in Funds Management’s and GMO’s business as a result of their relationship with the Funds (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates or GMO, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Funds Trust Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Asset Allocation Fund and receives certain compensation for those services. The Funds Trust Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Boards also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Funds.

Based on their consideration of the factors and information they deemed relevant, including those described here, the respective Boards did not find that any ancillary benefits received by Funds Management and its affiliates or GMO were unreasonable.

Conclusion

After considering the above-described factors and based on their deliberations and their evaluation of the information described above, each Board unanimously approved the continuation of the respective Advisory Agreement for an additional one-year period.

List of abbreviations Wells Fargo Advantage Asset Allocation Fund 37

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC ��  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

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For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215913 05-13 SA224/SAR224 3-13

Wells Fargo Advantage

C&B Mid Cap Value Fund

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	10
Statement of operations	11
Statement of changes in net assets	12
Financial highlights	13
Notes to financial statements	19
Other information	23
List of abbreviations	29

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage C&B Mid Cap Value Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage C&B Mid Cap Value Fund for the six-month period ended March 31, 2013. Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets. This backdrop enabled most equity styles to generate positive returns. For the six-month period, the small-cap-oriented Russell 2000® Index¹ returned 14.48%, while the mid-cap-focused Russell Midcap® Index² posted a 16.21% total return.

The U.S. economy improved with the support of an accommodative monetary policy.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program. Just prior to the beginning of the reporting period, the Federal Open Market Committee announced its intention to keep interest rates low until at least mid-2015 in order to support the sluggish economy. The Fed also announced open-ended purchases of $40 billion per month in mortgage-backed securities in an effort to support the housing market.

The global economy continues to be affected by bouts of uncertainty, including political questions in the U.S., Europe, and China.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank (ECB) and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. Furthermore, the ECB maintained its accommodative monetary policy by keeping its key rate at a historic low of 0.75%.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns, and capital markets generally advanced during this time period.

1. The Russell 2000^® Index measures the performance of the 2,000 smallest companies in the Russell 3000^® Index, which represents approximately 8% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

2. The Russell Midcap^® Index measures the performance of the 800 smallest companies in the Russell 1000^® Index, which represent approximately 25% of the total market capitalization of the Russell 1000 Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

4 Wells Fargo Advantage C&B Mid Cap Value Fund Performance highlights (unaudited)

Investment objective

The Fund seeks maximum long-term total return (current income and capital appreciation), consistent with minimizing risk to principal.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Cooke & Bieler, L.P.

Portfolio managers

Daren C. Heitman, CFA

Steve Lyons, CFA

Michael M. Meyer, CFA

Edward W. O’Connor, CFA

R. James O’Neil, CFA

Mehul Trivedi, CFA

William Weber, CFA

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (CBMAX)	7-26-2004		12.09		8.14		9.74		18.90		9.43		10.39		1.39		1.21
Class B (CBMBX)*	7-26-2004		13.00		8.33		9.82		18.00		8.62		9.82		2.14		1.96
Class C (CBMCX)	7-26-2004		16.98		8.60		9.57		17.98		8.60		9.57		2.14		1.96
Administrator Class (CBMIX)	7-26-2004		–		–		–		18.95		9.50		10.51		1.23		1.16
Institutional Class (CBMSX)	7-26-2004		–		–		–		19.30		9.77		10.75		0.96		0.91
Investor Class (CBMDX)	2-18-1998		–		–		–		18.87		9.38		10.41		1.45		1.26
Russell Midcap® Value Index4	–		–		–		–		21.49		8.53		12.57		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class, Institutional Class, and Investor Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Smaller-company stocks tend to be more volatile and less liquid than those of larger companies. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 5

Ten largest equity holdings5 (%) as of March 31, 2013
Lam Research Corporation	3.41
Gildan Activewear Incorporated	3.07
Western Union Company	3.05
Ball Corporation	3.05
RenaissanceRe Holdings Limited	2.92
NVR Incorporated	2.78
Quest Diagnostics Incorporated	2.78
TCF Financial Corporation	2.77
Steelcase Incorporated	2.74
Harsco Corporation	2.58

Sector distribution⁶ as of March 31, 2013

1. Historical performance shown for Class A, Class B, and Class C shares prior to their inception reflects the performance of the Investor Class shares, adjusted to reflect the higher expenses applicable to Class A, Class B, and Class C shares. Historical performance shown for the Administrator and Institutional Class shares prior to their inception reflects the performance of the Investor Class shares, and includes the higher expenses applicable to the Investor Class shares. If these expenses had not been included, returns would be higher. Effective June 20, 2008, Class D was renamed Investor Class and modified to assume the features and attributes of the Investor Class. Historical performance shown for the Investor Class shares through June 19, 2008, includes Class D expenses.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at 1.20% for Class A, 1.95% for Class B, 1.95% for Class C, 1.15% for Administrator Class, 0.90% for Institutional Class, and 1.25% for Investor Class. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. The Russell Midcap^® Value Index measures the performance of those Russell Midcap^® companies with lower price-to-book ratios and lower forecasted growth values. The stocks are also members of the Russell 1000^® Value Index. You cannot invest directly in an index.

5. The ten largest equity holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

6. Sector distribution is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage C&B Mid Cap Value Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,170.11	$	6.49		1.20	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.95	$	6.04		1.20	%
Class B
Actual	$	1,000.00	$	1,165.25	$	10.53		1.95	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.21	$	9.80		1.95	%
Class C
Actual	$	1,000.00	$	1,165.05	$	10.53		1.95	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.21	$	9.80		1.95	%
Administrator Class
Actual	$	1,000.00	$	1,170.09	$	6.22		1.15	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.20	$	5.79		1.15	%
Institutional Class
Actual	$	1,000.00	$	1,171.57	$	4.87		0.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.44	$	4.53		0.90	%
Investor Class
Actual	$	1,000.00	$	1,169.89	$	6.76		1.25	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.70	$	6.29		1.25	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 7

Security name	Shares		Value
Common Stocks: 94.86%
Consumer Discretionary: 15.83%
Hotels, Restaurants & Leisure: 2.61%
Darden Restaurants Incorporated «		49,200	$	2,542,654
International Speedway Corporation Class A «		52,150		1,704,262
				4,246,916
Household Durables: 2.78%
NVR Incorporated †		4,200		4,536,462
Leisure Equipment & Products: 2.56%
Hasbro Incorporated «		94,900		4,169,906
Media: 2.53%
Omnicom Group Incorporated «		70,000		4,123,000
Specialty Retail: 2.28%
Best Buy Company Incorporated «		167,650		3,713,448
Textiles, Apparel & Luxury Goods: 3.07%
Gildan Activewear Incorporated		125,400		5,004,714
Consumer Staples: 3.13%
Beverages: 1.66%
Coca-Cola Enterprises Incorporated		73,200		2,702,544
Personal Products: 1.47%
Avon Products Incorporated		115,400		2,392,242
Energy: 1.76%
Oil, Gas & Consumable Fuels: 1.76%
Noble Energy Incorporated		24,800		2,868,368
Financials: 19.82%
Commercial Banks: 6.73%
City National Corporation «		60,500		3,564,055
TCF Financial Corporation «		301,500		4,510,440
Umpqua Holdings Corporation «		218,300		2,894,658
				10,969,153
Insurance: 13.09%
Axis Capital Holdings Limited		81,700		3,400,354
RenaissanceRe Holdings Limited		51,800		4,765,082
Stancorp Financial Group Incorporated «		81,600		3,489,216
Stewart Information Services Corporation «		123,500		3,145,545
Torchmark Corporation		63,800		3,815,240
Willis Group Holdings plc		68,700		2,712,963
				21,328,400

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage C&B Mid Cap Value Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Health Care: 9.19%
Health Care Equipment & Supplies : 2.36%
West Pharmaceutical Services Incorporated		59,100	$	3,837,954
Health Care Providers & Services: 6.83%
Cardinal Health Incorporated «		83,200		3,462,784
MEDNAX Incorporated Ǡ		35,100		3,146,013
Quest Diagnostics Incorporated «		80,100		4,521,645
				11,130,442
Industrials: 17.55%
Building Products: 2.53%
Quanex Building Products Corporation		255,900		4,119,990
Commercial Services & Supplies: 7.78%
Brink’s Company		83,500		2,359,710
Cintas Corporation «		73,700		3,252,381
G&K Services Incorporated Class A		57,300		2,607,723
Steelcase Incorporated		303,000		4,463,190
				12,683,004
Machinery: 7.24%
Albany International Corporation Class A		120,000		3,468,000
Harsco Corporation		169,800		4,205,946
Kennametal Incorporated «		105,500		4,118,720
				11,792,666
Information Technology: 14.06%
Electronic Equipment, Instruments & Components: 1.87%
Molex Incorporated «		104,289		3,053,582
IT Services: 3.05%
Western Union Company		330,400		4,969,216
Semiconductors & Semiconductor Equipment: 7.06%
Entegris Incorporated †		197,300		1,945,378
Lam Research Corporation Ǡ		134,000		5,555,640
Teradyne Incorporated Ǡ		246,200		3,993,364
				11,494,382
Software: 2.08%
Rovi Corporation †		158,253		3,388,197
Materials: 11.28%
Containers & Packaging: 8.76%
Ball Corporation		104,400		4,967,352
Bemis Company Incorporated «		61,400		2,478,104
Crown Holdings Incorporated †		58,200		2,421,702
Packaging Corporation of America		37,000		1,660,190

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 9

Security name				Shares			Value
Containers & Packaging (continued)
Rock-Tenn Company Class A					29,700		$	2,755,863
								14,283,211
Metals & Mining: 2.52%						��
Reliance Steel & Aluminum Company					57,700			4,106,509
Utilities: 2.24%
Electric Utilities: 2.24%
Entergy Corporation					57,800			3,655,272
Total Common Stocks (Cost $120,596,205)								154,569,578
	Yield
Short-Term Investments: 34.23%
Investment Companies: 34.23%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (l)(u)		0.13	%		7,874,628			7,874,628
Wells Fargo Securities Lending Cash Investments, LLC (v)(l)(u)(r)		0.18			47,893,583			47,893,583
Total Short-Term Investments (Cost $55,768,211)								55,768,211

Total investments in securities (Cost $176,364,416) *	129.09	%		210,337,789
Other assets and liabilities, net	(29.09	)		(47,402,243	)
Total net assets	100.00	%	$	162,935,546

« All or a portion of this security is on loan.

† Non-income-earning security

(l) Investment in an affiliate.

(u) Rate shown is the 7-day annualized yield at period end.

(v) Security represents investment of cash collateral received from securities on loan.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

* Cost for federal income tax purposes is $181,573,889 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	35,911,273
Gross unrealized depreciation		(7,147,373	)
Net unrealized appreciation	$	28,763,900

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage C&B Mid Cap Value Fund Statement of assets and liabilities—March 31, 2013 (unaudited)

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	154,569,578
In affiliated securities, at value (see cost below)		55,768,211
Total investments, at value (see cost below)		210,337,789
Cash		43,492
Receivable for investments sold		5,010,471
Receivable for Fund shares sold		265,337
Receivable for dividends		216,901
Receivable for securities lending income		4,768
Prepaid expenses and other assets		21,781
Total assets		215,900,539
Liabilities
Payable for investments purchased		4,827,997
Payable for Fund shares redeemed		62,251
Payable upon receipt of securities loaned		47,893,583
Advisory fee payable		72,976
Distribution fees payable		4,271
Due to other related parties		43,438
Accrued expenses and other liabilities		60,477
Total liabilities		52,964,993
Total net assets	$	162,935,546
NET ASSETS CONSIST OF
Paid-in capital	$	267,254,883
Undistributed net investment income		216,466
Accumulated net realized losses on investments		(138,509,176	)
Net unrealized gains on investments		33,973,373
Total net assets	$	162,935,546
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	16,712,321
Shares outstanding – Class A		791,885
Net asset value per share – Class A		$21.10
Maximum offering price per share – Class A2		$22.39
Net assets – Class B	$	907,891
Shares outstanding – Class B		44,253
Net asset value per share – Class B		$20.52
Net assets – Class C	$	5,958,016
Shares outstanding – Class C		291,337
Net asset value per share – Class C		$20.45
Net assets – Administrator Class	$	13,181,163
Shares outstanding – Administrator Class		617,722
Net asset value per share – Administrator Class		$21.34
Net assets – Institutional Class	$	14,929,195
Shares outstanding – Institutional Class		702,348
Net asset value per share – Institutional Class		$21.26
Net assets – Investor Class	$	111,246,960
Shares outstanding – Investor Class		5,246,367
Net asset value per share – Investor Class		$21.20
Investments in unaffiliated securities (including securities on loan), at cost	$	120,596,205
Investments in affiliated securities, at cost	$	55,768,211
Total investments, at cost	$	176,364,416
Securities on loan, at value	$	46,798,089

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

Statement of operations—six months ended March 31, 2013 (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 11

Investment income
Dividends*	$	1,307,808
Securities lending income, net		35,586
Income from affiliated securities		3,602
Total investment income		1,346,996
Expenses
Advisory fee		521,905
Administration fees
Fund level		37,279
Class A		18,655
Class B		1,319
Class C		6,997
Administrator Class		5,657
Institutional Class		8,296
Investor Class		154,103
Shareholder servicing fees
Class A		17,938
Class B		1,268
Class C		6,728
Administrator Class		13,939
Investor Class		120,393
Distribution fees
Class B		3,805
Class C		20,184
Custody and accounting fees		7,399
Professional fees		15,562
Registration fees		33,496
Shareholder report expenses		19,718
Trustees’ fees and expenses		6,614
Other fees and expenses		4,698
Total expenses		1,025,953
Less: Fee waivers and/or expense reimbursements		(117,130	)
Net expenses		908,823
Net investment income		438,173
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		7,509,369
Net change in unrealized gains (losses) on investments		15,620,927
Net realized and unrealized gains (losses) on investments		23,130,296
Net increase in net assets resulting from operations	$	23,568,469
* Net of foreign dividend withholding taxes in the amount of		$3,487

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage C&B Mid Cap Value Fund Statement of changes in net assets

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income				$	438,173					$	1,404,937
Net realized gains on investments					7,509,369						13,564,401
Net change in unrealized gains (losses) on investments					15,620,927						23,408,820
Net increase in net assets resulting from operations					23,568,469						38,378,158
Distributions to shareholders from
Net investment income
Class A					(132,553	)					(76,365	)
Class C					(13,953	)					0
Administrator Class					(101,884	)					(77,026	)
Institutional Class					(312,656	)					(239,976	)
Investor Class					(847,059	)					(484,599	)
Total distributions to shareholders					(1,408,105	)					(877,966	)
		Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		138,488			2,714,350			172,921			2,916,755
Class B		1,388			26,047			3,680			60,088
Class C		22,404			434,097			19,237			326,431
Administrator Class		105,936			2,053,186			84,108			1,408,769
Institutional Class		134,420			2,609,188			563,182			9,694,744
Investor Class		888,845			17,542,377			420,654			7,159,723
					25,379,245						21,566,510
Reinvestment of distributions
Class A		7,079			130,811			4,736			71,994
Class C		737			13,225			0			0
Administrator Class		4,229			79,000			4,012			61,627
Institutional Class		12,902			239,840			14,741			225,392
Investor Class		45,126			837,994			30,686			468,578
					1,300,870						827,591
Payment for shares redeemed
Class A		(92,697	)		(1,762,757	)		(233,194	)		(3,957,112	)
Class B		(33,120	)		(603,497	)		(120,439	)		(1,956,540	)
Class C		(30,365	)		(563,236	)		(59,857	)		(980,405	)
Administrator Class		(69,839	)		(1,328,955	)		(235,161	)		(4,062,387	)
Institutional Class		(804,421	)		(15,704,918	)		(818,626	)		(14,082,658	)
Investor Class		(670,509	)		(12,818,845	)		(1,177,196	)		(20,009,640	)
					(32,782,208	)					(45,048,742	)
Net decrease in net assets resulting from capital share transactions					(6,102,093	)					(22,654,641	)
Total increase in net assets					16,058,271						14,845,551
Net assets
Beginning of period					146,877,275						132,031,724
End of period				$	162,935,546					$	146,877,275
Undistributed net investment income				$	216,466					$	1,186,398

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage C&B Mid Cap Value Fund 13

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS A				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	18.22		$	14.06		$	14.16		$	12.33		$	11.29		$	21.80		$	23.79
Net investment income		0.06	2		0.16			0.06			0.09	2		0.11	2		0.18	2		0.03	2
Net realized and unrealized gains (losses) on investments		3.00			4.10			(0.06	)		1.81			1.10			(6.52	)		0.70
Total from investment operations		3.06			4.26			0.00			1.90			1.21			(6.34	)		0.73
Distributions to shareholders from
Net investment income		(0.18	)		(0.10	)		(0.10	)		(0.07	)		(0.17	)		(0.06	)		(0.06	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(4.11	)		(2.66	)
Total distributions to shareholders		(0.18	)		(0.10	)		(0.10	)		(0.07	)		(0.17	)		(4.17	)		(2.72	)
Net asset value, end of period	$	21.10		$	18.22		$	14.06		$	14.16		$	12.33		$	11.29		$	21.80
Total return3		17.01	%		30.42	%		(0.10	)%		15.44	%		11.05	%		(34.84	)%		2.95	%
Ratios to average net assets (annualized)
Gross expenses		1.38	%		1.38	%		1.35	%		1.40	%		1.45	%		1.43	%		1.36	%
Net expenses		1.20	%		1.20	%		1.20	%		1.20	%		1.20	%		1.35	%		1.36	%
Net investment income		0.60	%		0.97	%		0.48	%		0.70	%		1.06	%		1.19	%		0.15	%
Supplemental data
Portfolio turnover rate		21	%		25	%		44	%		23	%		47	%		31	%		56	%
Net assets, end of period (000s omitted)	$	16,712		$	13,466		$	11,174		$	14,136		$	16,830		$	18,246		$	50,622

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage C&B Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS B				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	17.61		$	13.60		$	13.72		$	11.96		$	10.90		$	21.29		$	23.38
Net investment income (loss)		(0.02	)2		0.02	2		(0.04	)2		(0.01	)2		0.04	2		0.07	2		(0.14	)2
Net realized and unrealized gains (losses) on investments		2.93			3.99			(0.08	)		1.77			1.07			(6.35	)		0.71
Total from investment operations		2.91			4.01			(0.12	)		1.76			1.11			(6.28	)		0.57
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			0.00			(0.05	)		0.00			0.00
Net realized gains		0.00			0.00			0.00			0.00			0.00			(4.11	)		(2.66	)
Total distributions to shareholders		0.00			0.00			0.00			0.00			(0.05	)		(4.11	)		(2.66	)
Net asset value, end of period	$	20.52		$	17.61		$	13.60		$	13.72		$	11.96		$	10.90		$	21.29
Total return3		16.52	%		29.49	%		(0.87	)%		14.72	%		10.27	%		(35.41	)%		2.23	%
Ratios to average net assets (annualized)
Gross expenses		2.13	%		2.12	%		2.10	%		2.15	%		2.21	%		2.18	%		2.11	%
Net expenses		1.95	%		1.95	%		1.95	%		1.95	%		1.95	%		2.10	%		2.11	%
Net investment income (loss)		(0.16	)%		0.14	%		(0.28	)%		(0.05	)%		0.34	%		0.46	%		(0.60	)%
Supplemental data
Portfolio turnover rate		21	%		25	%		44	%		23	%		47	%		31	%		56	%
Net assets, end of period (000s omitted)	$	908		$	1,338		$	2,622		$	3,826		$	4,177		$	5,123		$	14,293

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage C&B Mid Cap Value Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS C				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	17.60		$	13.59		$	13.71		$	11.96		$	10.91		$	21.29		$	23.39
Net investment income (loss)		(0.03	)		0.03	2		(0.04	)2		(0.00	)2		0.03	2		0.07	2		(0.14	)2
Net realized and unrealized gains (losses) on investments		2.93			3.98			(0.08	)		1.75			1.08			(6.34	)		0.70
Total from investment operations		2.90			4.01			(0.12	)		1.75			1.11			(6.27	)		0.56
Distributions to shareholders from
Net investment income		(0.05	)		0.00			0.00			0.00			(0.06	)		0.00			0.00
Net realized gains		0.00			0.00			0.00			0.00			0.00			(4.11	)		(2.66	)
Total distributions to shareholders		(0.05	)		0.00			0.00			0.00			(0.06	)		(4.11	)		(2.66	)
Net asset value, end of period	$	20.45		$	17.60		$	13.59		$	13.71		$	11.96		$	10.91		$	21.29
Total return3		16.51	%		29.51	%		(0.88	)%		14.63	%		10.24	%		(35.26	)%		2.18	%
Ratios to average net assets (annualized)
Gross expenses		2.13	%		2.13	%		2.10	%		2.15	%		2.20	%		2.16	%		2.11	%
Net expenses		1.95	%		1.95	%		1.95	%		1.95	%		1.95	%		2.09	%		2.11	%
Net investment income (loss)		(0.15	)%		0.21	%		(0.27	)%		(0.04	)%		0.31	%		0.46	%		(0.60	)%
Supplemental data
Portfolio turnover rate		21	%		25	%		44	%		23	%		47	%		31	%		56	%
Net assets, end of period (000s omitted)	$	5,958		$	5,254		$	4,611		$	6,137		$	6,105		$	6,147		$	16,171

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage C&B Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
ADMINISTRATOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	18.42		$	14.22		$	14.32		$	12.47		$	11.39		$	21.98		$	23.93
Net investment income		0.06	2		0.17	2		0.09	2		0.10	2		0.12	2		0.24	2		0.08	2
Net realized and unrealized gains (losses) on investments		3.05			4.14			(0.07	)		1.82			1.11			(6.62	)		0.71
Total from investment operations		3.11			4.31			0.02			1.92			1.23			(6.38	)		0.79
Distributions to shareholders from
Net investment income		(0.19	)		(0.11	)		(0.12	)		(0.07	)		(0.15	)		(0.10	)		(0.08	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(4.11	)		(2.66	)
Total distributions to shareholders		(0.19	)		(0.11	)		(0.12	)		(0.07	)		(0.15	)		(4.21	)		(2.74	)
Net asset value, end of period	$	21.34		$	18.42		$	14.22		$	14.32		$	12.47		$	11.39		$	21.98
Total return3		17.01	%		30.44	%		0.01	%		15.47	%		11.13	%		(34.77	)%		3.18	%
Ratios to average net assets (annualized)
Gross expenses		1.21	%		1.21	%		1.18	%		1.22	%		1.28	%		1.24	%		1.18	%
Net expenses		1.15	%		1.15	%		1.15	%		1.15	%		1.15	%		1.15	%		1.15	%
Net investment income		0.64	%		1.00	%		0.55	%		0.78	%		1.11	%		1.52	%		0.35	%
Supplemental data
Portfolio turnover rate		21	%		25	%		44	%		23	%		47	%		31	%		56	%
Net assets, end of period (000s omitted)	$	13,181		$	10,636		$	10,299		$	9,582		$	13,237		$	13,383		$	102,201

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage C&B Mid Cap Value Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INSTITUTIONAL CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	18.38		$	14.19		$	14.29		$	12.44		$	11.43		$	22.06		$	24.02
Net investment income		0.09	2		0.23			0.13			0.13	2		0.15	2		0.24	2		0.14	2
Net realized and unrealized gains (losses) on investments		3.03			4.11			(0.08	)		1.82			1.10			(6.60	)		0.71
Total from investment operations		3.12			4.34			0.05			1.95			1.25			(6.36	)		0.85
Distributions to shareholders from
Net investment income		(0.24	)		(0.15	)		(0.15	)		(0.10	)		(0.24	)		(0.16	)		(0.15	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(4.11	)		(2.66	)
Total distributions to shareholders		(0.24	)		(0.15	)		(0.15	)		(0.10	)		(0.24	)		(4.27	)		(2.81	)
Net asset value, end of period	$	21.26		$	18.38		$	14.19		$	14.29		$	12.44		$	11.43		$	22.06
Total return3		17.16	%		30.80	%		0.21	%		15.78	%		11.45	%		(34.63	)%		3.44	%
Ratios to average net assets (annualized)
Gross expenses		0.95	%		0.95	%		0.92	%		0.96	%		1.02	%		0.98	%		0.91	%
Net expenses		0.90	%		0.90	%		0.90	%		0.90	%		0.90	%		0.90	%		0.90	%
Net investment income		0.93	%		1.31	%		0.76	%		1.02	%		1.41	%		1.58	%		0.60	%
Supplemental data
Portfolio turnover rate		21	%		25	%		44	%		23	%		47	%		31	%		56	%
Net assets, end of period (000s omitted)	$	14,929		$	24,983		$	22,704		$	34,910		$	31,421		$	33,017		$	79,559

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage C&B Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INVESTOR CLASS				2012			2011			20101			2009			20082			20072
Net asset value, beginning of period	$	18.30		$	14.12		$	14.22		$	12.37		$	11.34		$	21.89		$	23.86
Net investment income		0.05	3		0.16			0.07			0.08	3		0.11	3		0.20	3		0.06	3
Net realized and unrealized gains (losses) on investments		3.02			4.11			(0.09	)		1.83			1.10			(6.58	)		0.71
Total from investment operations		3.07			4.27			(0.02	)		1.91			1.21			(6.38	)		0.77
Distributions to shareholders from
Net investment income		(0.17	)		(0.09	)		(0.08	)		(0.06	)		(0.18	)		(0.06	)		(0.08	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(4.11	)		(2.66	)
Total distributions to shareholders		(0.17	)		(0.09	)		(0.08	)		(0.06	)		(0.18	)		(4.17	)		(2.74	)
Net asset value, end of period	$	21.20		$	18.30		$	14.12		$	14.22		$	12.37		$	11.34		$	21.89
Total return4		16.99	%		30.34	%		(0.19	)%		15.39	%		11.09	%		(34.87	)%		3.12	%
Ratios to average net assets (annualized)
Gross expenses		1.44	%		1.45	%		1.42	%		1.49	%		1.56	%		1.47	%		1.36	%
Net expenses		1.25	%		1.25	%		1.25	%		1.25	%		1.25	%		1.25	%		1.25	%
Net investment income		0.56	%		0.91	%		0.42	%		0.64	%		1.01	%		1.30	%		0.26	%
Supplemental data
Portfolio turnover rate		21	%		25	%		44	%		23	%		47	%		31	%		56	%
Net assets, end of period (000s omitted)	$	111,247		$	91,201		$	80,622		$	120,364		$	163,708		$	185,541		$	634,872

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Effective June 20, 2008, Class D was renamed Investor Class.

3. Calculated based upon average shares outstanding

4. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Notes to financial statements (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 19

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage C&B Mid Cap Value Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

20 Wells Fargo Advantage C&B Mid Cap Value Fund Notes to financial statements (unaudited)

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is sub-advised by Wells Capital Management Incorporated. Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to Wells Capital Management for its services as sub-adviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Dividend income is recognized on the ex-dividend date. Dividend income is recorded net of foreign taxes withheld where recovery of such taxes is not assured.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

As of September 30, 2012, the Fund had pre-enactment capital loss carryforwards incurred in taxable years beginning before December 22, 2010, which are available to offset future net realized capital gains, in the amount of $137,779,708 with $54,489,387 expiring in 2016, $64,071,649 expiring in 2017, and $19,218,672 expiring in 2018.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

Notes to financial statements (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 21

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	154,569,578	$	0	$	0	$	154,569,578
Short-term investments
Investment companies		7,874,628		47,893,583		0		55,768,211
	$	162,444,206	$	47,893,583	$	0	$	210,337,789

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any significant transfers into/out of Level 1 or Level 2

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.70% and declining to 0.60% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.70% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. Cooke & Bieler, L.P. is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.55% and declining to 0.40% as the average daily net assets of the Fund increase.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08
Investor Class		0.32

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.20% for Class A shares, 1.95% for Class B shares, 1.95% for Class C shares, 1.15% for Administrator Class shares, 0.90% for Institutional Class shares, and 1.25% for Investor Class shares.

22 Wells Fargo Advantage C&B Mid Cap Value Fund Notes to financial statements (unaudited)

Distribution fees

The Trust has adopted a Distribution Plan for Class B and Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B and Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares.

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $1,126 from the sale of Class A shares.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class B, Class C, Administrator Class, and Investor Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $30,813,897 and $42,046,976, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $127 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

Other information (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 23

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

24 Wells Fargo Advantage C&B Mid Cap Value Fund Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

Other information (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 25

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Nancy Wiser1 (Born 1967)	Treasurer, since 2012	Executive Vice President of Wells Fargo Funds Management, LLC since 2011. Chief Operating Officer and Chief Compliance Officer at LightBox Capital Management LLC, from 2008 to 2011. Owned and operated a consulting business providing services to various hedge funds including acting as Chief Operating Officer and Chief Compliance Officer for a hedge fund from 2007 to 2008. Chief Operating Officer and Chief Compliance Officer of GMN Capital LLC from 2006 to 2007.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.
Jeremy DePalma1 (Born 1974)	Assistant Treasurer, since 2009	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

1. Nancy Wiser acts as Treasurer of 72 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

26 Wells Fargo Advantage C&B Mid Cap Value Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage C&B Mid Cap Value Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Cooke & Bieler, L.P. (the “Sub-Adviser”) for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources, and reputation to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a

Other information (unaudited) Wells Fargo Advantage C&B Mid Cap Value Fund 27

description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted that the performance of the Fund (Administrator Class) was higher than or in range of the median performance of the Universe for all periods under review. The Board also noted that the performance of the Fund was higher than or in range of its benchmark, the Russell Midcap^® Value Index, for the one- and five-year periods under review, and lower than the benchmark for the three- and ten-year periods under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the benchmark for the three- and ten-year periods under review. Funds Management advised the Board about the market conditions and investment decisions that it believed contributed to the underperformance during that period. The Board was satisfied with the explanation of the factors contributing to underperformance and with the steps being taken by Funds Management and the Sub-Adviser to address the Fund’s investment performance.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees) custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios of the expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board considered that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were higher than the median rates for the Fund’s expense Groups, except for the Institutional Class. The Board viewed favorably the fact that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios of the expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. The Board considered this amount in comparison to the median amount retained by advisers to funds in a sub-advised expense universe that was determined by Lipper to be similar to the Fund. In assessing the reasonableness of this amount, the Board received and evaluated extensive information about the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser and about Funds Management’s on-going oversight services. The Board also considered that the sub-advisory fees paid to the Sub-Adviser had been negotiated by Funds Management on an arm’s-length basis. The Board considered that the Sub-Adviser agreed to reduce the sub-advisory fee schedule for the Fund.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

28 Wells Fargo Advantage C&B Mid Cap Value Fund Other information (unaudited)

Profitability

The Board received and considered an analysis of the profitability of Funds Management, as well as an analysis of the profitability of Wells Fargo as a whole, from providing services to the Fund. Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreement.

The Board also received separate profitability information with respect to the Sub-Adviser, which is not affiliated with Funds Management. The Board did not deem the profits reported by the Sub-Adviser to be at a level that would prevent it from approving the continuation of the sub-advisory agreement.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates and the Sub-Adviser as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates or the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates and the Sub-Adviser were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

List of abbreviations Wells Fargo Advantage C&B Mid Cap Value Fund 29

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

This page is intentionally left blank.

For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215914 05-13 SA228/SAR228 3-13

Wells Fargo Advantage Common Stock Fund

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	12
Statement of operations	13
Statement of changes in net assets	14
Financial highlights	15
Notes to financial statements	21
Other information	26
List of abbreviations	32

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Common Stock Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Common Stock Fund for the six-month period ended March 31, 2013. Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets. This backdrop enabled most equity asset styles to generate positive returns. For the six-month period, the small-cap-oriented Russell 2000^® Index¹ returned 14.48%, while the mid-cap-focused Russell Midcap^® Index² posted a 16.21% total return.

The U.S. economy improved with the support of an accommodative monetary policy.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program. Just prior to the beginning of the reporting period, the Federal Open Market Committee announced its intention to keep interest rates low until at least mid-2015 in order to support the sluggish economy. The Fed also announced open-ended purchases of $40 billion per month in mortgage-backed securities in an effort to support the housing market.

The global economy continues to be affected by bouts of uncertainty, including political questions in the U.S., Europe, and China.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank (ECB) and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. Furthermore, the ECB maintained its accommodative monetary policy by keeping its key rate at a historic low of 0.75%.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns, and capital markets generally advanced during this time period.

1. The Russell 2000^® Index measures the performance of the 2,000 smallest companies in the Russell 3000^® Index, which represents approximately 8% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

2. The Russell Midcap^® Index measures the performance of the 800 smallest companies in the Russell 1000^® Index, which represent approximately 25% of the total market capitalization of the Russell 1000 Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Common Stock Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

4 Wells Fargo Advantage Common Stock Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Ann M. Miletti

Thomas D. Wooden, CFA

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (SCSAX)	11-30-2000		8.48		8.13		11.56		15.09		9.41		12.23		1.32		1.27
Class B (SCSKX)*	11-30-2000		9.21		8.28		11.62		14.21		8.56		11.62		2.07		2.02
Class C (CSTSAX)	11-30-2000		13.16		8.57		11.36		14.16		8.57		11.36		2.07		2.02
Administrator Class (SCSDX)	7-30-2010		–		–		–		15.29		9.51		12.28		1.16		1.11
Institutional Class (SCNSX)	7-30-2010		–		–		–		15.46		9.64		12.34		0.89		0.89
Investor Class (STCSX)	12-29-1989		–		–		–		15.00		9.36		12.26		1.38		1.30
Russell 2500™ Index4	–		–		–		–		17.73		9.02		12.30		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class, Institutional Class, and Investor Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Smaller-company stocks tend to be more volatile and less liquid than those of larger companies. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to foreign investment risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Common Stock Fund 5

Ten largest equity holdings5 (%) as of March 31, 2013
CareFusion Corporation	1.65
Capella Education Company	1.62
ON Semiconductor Corporation	1.57
Arch Capital Group Limited	1.48
Universal Health Services Class B	1.44
Global Payments Incorporated	1.43
GATX Corporation	1.42
Nuance Communications Incorporated	1.41
Republic Services Incorporated	1.41
Hologic Incorporated	1.40

Sector distribution⁶ as of March 31, 2013

1. Historical performance shown for the Administrator Class and Institutional Class shares prior to their inception reflects the performance of the Class A shares, and includes the higher expenses applicable to the Class A shares. If these expenses had not been included, the returns would be higher.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at 1.26% for Class A, 2.01% for Class B, 2.01% for Class C, 1.10% for Administrator Class, 0.90% for Institutional Class, and 1.29% for Investor Class. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. The Russell 2500^TM Index measures the performance of the 2,500 smallest companies in the Russell 3000^® Index, which represents approximately 16% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

5. The ten largest equity holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

6. Sector distribution is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage Common Stock Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,132.94	$	6.70		1.26	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.65	$	6.34		1.26	%
Class B
Actual	$	1,000.00	$	1,128.69	$	10.67		2.01	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,014.91	$	10.10		2.01	%
Class C
Actual	$	1,000.00	$	1,128.11	$	10.66		2.01	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,014.91	$	10.10		2.01	%
Administrator Class
Actual	$	1,000.00	$	1,133.92	$	5.80		1.09	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.50	$	5.49		1.09	%
Institutional Class
Actual	$	1,000.00	$	1,134.65	$	4.63		0.87	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.59	$	4.38		0.87	%
Investor Class
Actual	$	1,000.00	$	1,132.44	$	6.86		1.29	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.50	$	6.49		1.29	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Common Stock Fund 7

Security name	Shares		Value
Common Stocks: 86.94%
Consumer Discretionary: 17.12%
Auto Components: 0.06%
Allison Transmission Holdings Incorporated		29,913	$	718,211
Diversified Consumer Services: 3.00%
Capella Education Company †**		673,363		20,968,524
Grand Canyon Education Incorporated †		699,466		17,759,442
				38,727,966
Hotels, Restaurants & Leisure: 1.75%
Royal Caribbean Cruises Limited		396,241		13,163,126
Texas Roadhouse Incorporated		464,273		9,373,672
				22,536,798
Household Durables: 2.06%
Harman International Industries Incorporated		303,133		13,528,826
Mohawk Industries Incorporated †		115,302		13,042,962
				26,571,788
Media: 4.06%
Cablevision Systems Corporation New York Group Class A		765,240		11,447,990
Interpublic Group of Companies Incorporated		1,337,750		17,430,883
Scripps Networks Interactive Incorporated «		176,858		11,379,044
Time Warner Cable Incorporated		126,360		12,138,142
				52,396,059
Specialty Retail: 6.19%
Ann Incorporated †		525,359		15,245,918
Children’s Place Retail Stores Incorporated †		235,512		10,555,648
Express Incorporated †		914,120		16,280,477
PetSmart Incorporated		220,566		13,697,149
Tractor Supply Company		116,464		12,127,396
Urban Outfitters Incorporated †		311,008		12,048,450
				79,955,038
Consumer Staples: 0.95%
Household Products: 0.95%
Church & Dwight Company Incorporated		189,969		12,277,696
Energy: 6.70%
Energy Equipment & Services: 4.61%
Cameron International Corporation †		264,239		17,228,383
Dresser-Rand Group Incorporated †		194,170		11,972,522
Helmerich & Payne Incorporated «		228,852		13,891,316
Noble Corporation		428,223		16,336,707
				59,428,928

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Common Stock Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Oil, Gas & Consumable Fuels: 2.09%
Forest Oil Corporation †«		2,903,088	$	15,270,243
Newfield Exploration Company †		523,540		11,737,767
				27,008,010
Financials: 14.50%
Capital Markets: 2.25%
Greenhill & Company Incorporated «		262,014		13,986,307
Waddell & Reed Financial Incorporated «		342,771		15,006,514
				28,992,821
Commercial Banks: 2.56%
CapitalSource Incorporated		1,236,521		11,895,332
MB Financial Incorporated		286,122		6,915,569
National Bank Holdings Corporation Class A		780,305		14,279,582
				33,090,483
Consumer Finance: 1.24%
DFC Global Corporation †«		963,065		16,025,402
Insurance: 4.70%
Arch Capital Group Limited †		363,934		19,132,010
CNO Financial Group Incorporated «		1,235,426		14,145,628
Reinsurance Group of America Incorporated		208,294		12,428,903
RenaissanceRe Holdings Limited		162,309		14,930,805
				60,637,346
REITs: 3.75%
BioMed Realty Trust Incorporated		679,334		14,673,614
Campus Crest Communities Incorporated		1,266,300		17,601,570
Hersha Hospitality Trust		2,766,490		16,156,302
				48,431,486
Health Care: 9.46%
Health Care Equipment & Supplies: 5.39%
CareFusion Corporation †		610,227		21,351,843
DENTSPLY International Incorporated «		364,331		15,454,921
Hologic Incorporated †«		801,161		18,106,239
Varian Medical Systems Incorporated †		203,867		14,678,424
				69,591,427
Health Care Providers & Services: 1.44%
Universal Health Services Class B		291,505		18,618,424
Life Sciences Tools & Services: 2.63%
Parexel International Corporation †		426,287		16,842,599
PerkinElmer Incorporated		507,375		17,068,095
				33,910,694

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Common Stock Fund 9

Security name	Shares		Value
Industrials: 14.00%
Airlines: 1.86%
Alaska Air Group Incorporated †		249,326	$	15,946,891
United Continental Holdings Incorporated †«		251,013		8,034,926
				23,981,817
Commercial Services & Supplies: 3.07%
Herman Miller Incorporated		151,937		4,204,097
Republic Services Incorporated		552,378		18,228,474
Steelcase Incorporated		1,167,219		17,193,136
				39,625,707
Electrical Equipment: 1.55%
AMETEK Incorporated		252,562		10,951,088
Babcock & Wilcox Company		320,389		9,102,251
				20,053,339
Machinery: 2.94%
Gardner Denver Incorporated		92,291		6,931,977
SPX Corporation		215,505		17,016,275
Wabash National Corporation †		1,384,523		14,066,754
				38,015,006
Road & Rail: 3.16%
Avis Budget Group Incorporated †«		574,271		15,981,962
Con-way Incorporated		246,309		8,672,540
Ryder System Incorporated		269,140		16,081,115
				40,735,617
Trading Companies & Distributors: 1.42%
GATX Corporation «		352,072		18,297,182
Information Technology: 18.64%
Communications Equipment: 1.26%
Riverbed Technology Incorporated †		1,088,587		16,230,832
Computers & Peripherals: 1.30%
Diebold Incorporated		554,679		16,817,867
Electronic Equipment, Instruments & Components: 2.42%
Molex Incorporated Class A		659,398		15,904,680
Trimble Navigation Limited †		511,056		15,311,238
				31,215,918
IT Services: 5.93%
Alliance Data Systems Corporation †«		82,833		13,409,834
Amdocs Limited		414,652		15,031,135
Cognizant Technology Solutions Corporation Class A †		219,000		16,777,590
Gartner Incorporated †«		236,221		12,852,785

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Common Stock Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
IT Services (continued)
Global Payments Incorporated		372,214	$	18,484,147
				76,555,491
Semiconductors & Semiconductor Equipment: 4.06%
Integrated Device Technology Incorporated †«		2,250,987		16,814,873
ON Semiconductor Corporation †		2,447,652		20,266,559
Xilinx Incorporated		403,140		15,387,853
				52,469,285
Software: 3.67%
Ansys Incorporated †		157,396		12,815,182
Nuance Communications Incorporated †«		904,662		18,256,079
Red Hat Incorporated †		321,142		16,236,940
				47,308,201
Materials: 5.04%
Chemicals: 1.86%
Albemarle Corporation		144,602		9,040,517
International Flavors & Fragrances Incorporated		194,565		14,917,299
				23,957,816
Containers & Packaging: 2.43%
Crown Holdings Incorporated †		405,167		16,858,999
Packaging Corporation of America		323,420		14,511,855
				31,370,854
Metals & Mining: 0.75%
Steel Dynamics Incorporated		614,428		9,750,972
Telecommunication Services: 0.53%
Diversified Telecommunication Services: 0.53%
Time Warner Telecom Incorporated †«		268,255		6,757,343
Total Common Stocks (Cost $755,012,018)				1,122,061,824
Investment Companies: 4.11%
Market Vectors Gold Miners ETF				16,236,477
SPDR S&P Biotech ETF «				6,720,326
SPDR S&P MidCap 400 ETF «				13,291,634
SPDR Utilities Select Sector ETF «				16,859,681
Total Investment Companies (Cost $50,980,461)				53,108,118

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Common Stock Fund 11

Security name	Yield			Shares		Value
Short-Term Investments: 19.71%
Investment Companies: 19.71%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (l)(u)		0.13	%		114,499,659	$	114,499,659
Wells Fargo Securities Lending Cash Investments, LLC (l)(r)(u)(v)		0.18			139,834,000		139,834,000
Total Short-Term Investments (Cost $254,333,659)							254,333,659

Total investments in securities (Cost $1,060,326,138)*	110.76	%		1,429,503,601
Other assets and liabilities, net	(10.76	)		(138,905,850	)
Total net assets	100.00	%	$	1,290,597,751

† Non-income-earning security

** Represents an affiliate of the Fund under Section 2(a)(2) and 2(a)(3) of the Investment Company Act of 1940, as amended, as the Fund holds 5% or more of the issuer’s outstanding voting shares.

« All or a portion of this security is on loan.

(l) Investment in an affiliate

(u) Rate shown is the 7-day annualized yield at period end.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

(v) Security represents investment of cash collateral received from securities on loan.

* Cost for federal income tax purposes is $1,072,621,644 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	388,476,015
Gross unrealized depreciation		(31,594,058	)
Net unrealized appreciation	$	356,881,957

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Common Stock Fund Statement of assets and liabilities—March 31, 2013 (unaudited)

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	1,154,201,418
In affiliated securities, at value (see cost below)		275,302,183
Total investments, at value (see cost below)		1,429,503,601
Cash		84,325
Receivable for investments sold		7,210,435
Receivable for Fund shares sold		1,443,947
Receivable for dividends		1,491,913
Receivable for securities lending income		19,332
Prepaid expenses and other assets		63,195
Total assets		1,439,816,748
Liabilities
Payable for investments purchased		7,362,267
Payable for Fund shares redeemed		615,523
Payable upon receipt of securities loaned		139,834,000
Advisory fee payable		700,591
Distribution fees payable		16,902
Due to other related parties		360,418
Accrued expenses and other liabilities		329,296
Total liabilities		149,218,997
Total net assets	$	1,290,597,751
NET ASSETS CONSIST OF
Paid-in capital	$	880,890,891
Undistributed net investment income		966,344
Accumulated net realized gains on investments		39,563,053
Net unrealized gains on investments		369,177,463
Total net assets	$	1,290,597,751
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	242,002,150
Shares outstanding – Class A		10,809,110
Net asset value per share – Class A		$22.39
Maximum offering price per share – Class A2		$23.76
Net assets – Class B	$	620,639
Shares outstanding – Class B		31,879
Net asset value per share – Class B		$19.47
Net assets – Class C	$	26,543,058
Shares outstanding – Class C		1,363,666
Net asset value per share – Class C		$19.46
Net assets – Administrator Class	$	23,162,138
Shares outstanding – Administrator Class		1,029,552
Net asset value per share – Administrator Class		$22.50
Net assets – Institutional Class	$	116,109,568
Shares outstanding – Institutional Class		5,127,918
Net asset value per share – Institutional Class		$22.64
Net assets – Investor Class	$	882,160,198
Shares outstanding – Investor Class		38,522,622
Net asset value per share – Investor Class		$22.90
Investments in unaffiliated securities (including securities on loan), at cost	$	784,942,842
Investments in affiliated securities, at cost	$	275,383,296
Total investments, at cost	$	1,060,326,138
Securities on loan, at value	$	136,450,571

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

Statements of operations—six months ended March 31, 2013 (unaudited) Wells Fargo Advantage Common Stock Fund 13

Investment income
Dividends	$	8,205,226
Securities lending income, net		124,973
Income from affiliated securities		68,789
Total investment income		8,398,988
Expenses
Advisory fee		4,205,085
Administration fees
Fund level		294,701
Class A		273,842
Class B		962
Class C		27,628
Administrator Class		9,787
Institutional Class		38,021
Investor Class		1,330,459
Shareholder servicing fees
Class A		263,310
Class B		925
Class C		26,565
Administrator Class		21,209
Investor Class		1,033,636
Distribution fees
Class B		2,775
Class C		79,696
Custody and accounting fees		32,737
Professional fees		22,282
Registration fees		27,249
Shareholder report expenses		56,693
Trustees’ fees and expenses		6,241
Other fees and expenses		19,085
Total expenses		7,772,888
Less: Fee waivers and/or expense reimbursements		(340,244	)
Net expenses		7,432,644
Net investment income		966,344
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		56,474,117
Net change in unrealized gains (losses) on:
Unaffiliated securities		91,453,859
Affiliated securities		(81,113	)
Net change in unrealized gains (losses) on investments		91,372,746
Net realized and unrealized gains (losses) on investments		147,846,863
Net increase in net assets resulting from operations	$	148,813,207

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Common Stock Fund Statement of changes in net assets

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income (loss)				$	966,344					$	(1,919,965	)
Net realized gains on investments					56,474,117						74,540,554
Net change in unrealized gains (losses) on investments					91,372,746						218,270,111
Net increase in net assets resulting from operations					148,813,207						290,890,700
Distributions to shareholders from
Net realized gains
Class A					(13,823,125	)					(11,099,363	)
Class B					(57,305	)					(93,074	)
Class C					(1,510,913	)					(1,417,106	)
Administrator Class					(1,251,050	)					(1,290,310	)
Institutional Class					(5,818,339	)					(1,221,970	)
Investor Class					(52,786,969	)					(50,921,053	)
Total distributions to shareholders					(75,247,701	)					(66,042,876	)
		Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		1,468,294			31,386,252			3,287,285			64,357,489
Class B		6,651			124,067			5,551			98,052
Class C		125,839			2,350,492			102,085			1,778,892
Administrator Class		82,410			1,768,824			324,191			6,541,817
Institutional Class		967,577			21,077,485			3,701,929			74,425,582
Investor Class		1,209,522			26,250,024			1,448,646			28,941,238
					82,957,144						176,143,070
Reinvestment of distributions
Class A		684,430			13,606,469			593,442			10,960,870
Class B		3,181			55,087			5,433			88,990
Class C		74,743			1,294,562			73,222			1,199,381
Administrator Class		53,319			1,064,264			55,926			1,035,183
Institutional Class		289,758			5,818,339			49,167			913,023
Investor Class		2,491,340			50,646,693			2,603,273			49,123,785
					72,485,414						63,321,232
Payment for shares redeemed
Class A		(1,929,966	)		(40,408,442	)		(3,050,780	)		(59,945,642	)
Class B		(21,130	)		(397,214	)		(75,585	)		(1,297,947	)
Class C		(86,504	)		(1,604,742	)		(264,671	)		(4,625,026	)
Administrator Class		(159,789	)		(3,394,394	)		(574,763	)		(11,467,657	)
Institutional Class		(262,798	)		(5,657,279	)		(652,363	)		(13,230,644	)
Investor Class		(2,967,313	)		(64,215,376	)		(7,610,830	)		(154,133,087	)
					(115,677,447	)					(244,700,003	)
Net asset value of shares issued in acquisition
Class A		783,005			16,935,166			0			0
Class C		173,937			3,272,447			0			0
Administrator Class		139,880			3,039,645			0			0
Institutional Class		78,436			1,715,157			0			0
					24,962,415						0
Net increase (decrease) in net assets resulting from capital share transactions					64,727,526						(5,235,701	)
Total increase in net assets					138,293,032						219,612,123
Net assets
Beginning of period					1,152,304,719						932,692,596
End of period				$	1,290,597,751					$	1,152,304,719
Undistributed net investment income				$	966,344					$	0

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Common Stock Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS A				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	21.18		$	17.15		$	18.20		$	15.10		$	12.26		$	22.66		$	23.84
Net investment income (loss)		0.01			(0.04	)		(0.06	)		(0.04	)		0.02	2		0.00	2,3		(0.05	)2
Net realized and unrealized gains (losses) on investments		2.63			5.33			(0.74	)		3.16			2.82			(6.68	)		3.98
Total from investment operations		2.64			5.29			(0.80	)		3.12			2.84			(6.68	)		3.93
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.02	)		0.00			(0.10	)		0.00
Net realized gains		(1.43	)		(1.26	)		(0.25	)		0.00			0.00			(3.61	)		(5.11	)
Tax basis return of capital		0.00			0.00			0.00			0.00			0.00			(0.01	)		0.00
Total distributions to shareholders		(1.43	)		(1.26	)		(0.25	)		(0.02	)		0.00			(3.72	)		(5.11	)
Net asset value, end of period	$	22.39		$	21.18		$	17.15		$	18.20		$	15.10		$	12.26		$	22.66
Total return4		13.29	%		31.90	%		(4.61	)%		20.80	%		23.08	%		(34.55	)%		19.74	%
Ratios to average net assets (annualized)
Gross expenses		1.30	%		1.31	%		1.30	%		1.33	%		1.37	%		1.34	%		1.37	%
Net expenses		1.26	%		1.26	%		1.26	%		1.26	%		1.26	%		1.29	%		1.31	%
Net investment income (loss)		0.18	%		(0.16	)%		(0.24	)%		(0.25	)%		0.19	%		0.03	%		(0.25	)%
Supplemental data
Portfolio turnover rate		17	%		30	%		41	%		47	%		58	%		81	%		58	%
Net assets, end of period (000s omitted)		$242,002			$207,668			$153,921			$123,495			$112,900			$88,049			$62,456

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Amount is less than $0.005.

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Common Stock Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS B				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	18.67		$	15.35		$	16.44		$	13.71		$	11.23		$	21.10		$	22.67
Net investment loss		(0.06	)2		(0.17	)2		(0.20	)2		(0.14	)2		(0.06	)2		(0.12	)2		(0.20	)2
Net realized and unrealized gains (losses) on investments		2.29			4.75			(0.64	)		2.87			2.54			(6.14	)		3.74
Total from investment operations		2.23			4.58			(0.84	)		2.73			2.48			(6.26	)		3.54
Distributions to shareholders from
Net realized gains		(1.43	)		(1.26	)		(0.25	)		0.00			0.00			(3.61	)		(5.11	)
Tax basis return of capital		0.00			0.00			0.00			0.00			0.00			(0.00	)3		0.00
Total distributions to shareholders		(1.43	)		(1.26	)		(0.25	)		0.00			0.00			(3.61	)		(5.11	)
Net asset value, end of period	$	19.47		$	18.67		$	15.35		$	16.44		$	13.71		$	11.23		$	21.10
Total return4		12.87	%		30.87	%		(5.29	)%		19.91	%		22.08	%		(35.04	)%		18.86	%
Ratios to average net assets (annualized)
Gross expenses		2.05	%		2.05	%		2.05	%		2.08	%		2.12	%		2.11	%		2.12	%
Net expenses		2.01	%		2.01	%		2.01	%		2.01	%		2.01	%		2.06	%		2.06	%
Net investment loss		(0.60	)%		(0.96	)%		(1.13	)%		(1.02	)%		(0.51	)%		(0.76	)%		(1.00	)%
Supplemental data
Portfolio turnover rate		17	%		30	%		41	%		47	%		58	%		81	%		58	%
Net assets, end of period (000s omitted)	$	621		$	806		$	1,655		$	11,302		$	12,487		$	14,449		$	31,415

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Amount is less than $0.005.

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Common Stock Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS C				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	18.67		$	15.35		$	16.44		$	13.71		$	11.23		$	21.09		$	22.67
Net investment loss		(0.05	)2		(0.16	)2		(0.18	)2		(0.14	)2		(0.06	)2		(0.12	)2		(0.20	)2
Net realized and unrealized gains (losses) on investments		2.27			4.74			(0.66	)		2.87			2.54			(6.13	)		3.73
Total from investment operations		2.22			4.58			(0.84	)		2.73			2.48			(6.25	)		3.53
Distributions to shareholders from
Net realized gains		(1.43	)		(1.26	)		(0.25	)		0.00			0.00			(3.61	)		(5.11	)
Tax basis return of capital		0.00			0.00			0.00			0.00			0.00			(0.00	)3		0.00
Total distributions to shareholders		(1.43	)		(1.26	)		(0.25	)		0.00			0.00			(3.61	)		(5.11	)
Net asset value, end of period	$	19.46		$	18.67		$	15.35		$	16.44		$	13.71		$	11.23		$	21.09
Total return4		12.81	%		30.95	%		(5.35	)%		20.00	%		21.99	%		(35.00	)%		18.82	%
Ratios to average net assets (annualized)
Gross expenses		2.05	%		2.06	%		2.05	%		2.08	%		2.12	%		2.10	%		2.12	%
Net expenses		2.01	%		2.01	%		2.01	%		2.01	%		2.01	%		2.06	%		2.06	%
Net investment loss		(0.57	)%		(0.92	)%		(1.01	)%		(1.01	)%		(0.56	)%		(0.76	)%		(1.00	)%
Supplemental data
Portfolio turnover rate		17	%		30	%		41	%		47	%		58	%		81	%		58	%
Net assets, end of period (000s omitted)	$	26,543		$	20,080		$	17,887		$	17,976		$	11,750		$	9,692		$	18,501

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Amount is less than $0.005.

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Common Stock Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
ADMINISTRATOR CLASS				2012			2011			20101
Net asset value, beginning of period	$	21.26		$	17.18		$	18.20		$	17.49
Net investment income (loss)		0.02			0.01			(0.01	)2		0.01	2
Net realized and unrealized gains (losses) on investments		2.65			5.33			(0.76	)		0.70
Total from investment operations		2.67			5.34			(0.77	)		0.71
Distributions to shareholders from
Net realized gains		(1.43	)		(1.26	)		(0.25	)		0.00
Net asset value, end of period	$	22.50		$	21.26		$	17.18		$	18.20
Total return3		13.39	%		32.15	%		(4.44	)%		4.06	%
Ratios to average net assets (annualized)
Gross expenses		1.11	%		1.10	%		1.10	%		1.18	%
Net expenses		1.09	%		1.07	%		1.09	%		1.07	%
Net investment income (loss)		0.34	%		0.01	%		(0.05	)%		0.19	%
Supplemental data
Portfolio turnover rate		17	%		30	%		41	%		47	%
Net assets, end of period (000s omitted)		$23,162			$19,428			$19,044			$10

1. For the period from July 30, 2010 (commencement of class operations) to September 30, 2010

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Common Stock Fund 19

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
INSTITUTIONAL CLASS				2012			2011			20101
Net asset value, beginning of period	$	21.37		$	17.23		$	18.21		$	17.49
Net investment income		0.04			0.06	2		0.01			0.02	2
Net realized and unrealized gains (losses) on investments		2.66			5.34			(0.74	)		0.70
Total from investment operations		2.70			5.40			(0.73	)		0.72
Distributions to shareholders from
Net realized gains		(1.43	)		(1.26	)		(0.25	)		0.00
Net asset value, end of period	$	22.64		$	21.37		$	17.23		$	18.21
Total return3		13.46	%		32.42	%		(4.22	)%		4.12	%
Ratios to average net assets (annualized)
Gross expenses		0.87	%		0.88	%		0.87	%		0.94	%
Net expenses		0.87	%		0.88	%		0.87	%		0.89	%
Net investment income		0.56	%		0.28	%		0.29	%		0.60	%
Supplemental data
Portfolio turnover rate		17	%		30	%		41	%		47	%
Net assets, end of period (000s omitted)		$116,110			$86,645			$16,475			$327

1. For the period from July 30, 2010 (commencement of class operations) to September 30, 2010

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

20 Wells Fargo Advantage Common Stock Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INVESTOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	21.64		$	17.50		$	18.57		$	15.41		$	12.53		$	23.07		$	24.18
Net investment income (loss)		0.01			(0.04	)		(0.06	)		(0.05	)2		0.02	2		0.00	2,3		(0.05	)2
Net realized and unrealized gains (losses) on investments		2.68			5.44			(0.76	)		3.23			2.86			(6.81	)		4.05
Total from investment operations		2.69			5.40			(0.82	)		3.18			2.88			(6.81	)		4.00
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.02	)		0.00			(0.11	)		0.00
Net realized gains		(1.43	)		(1.26	)		(0.25	)		0.00			0.00			(3.61	)		(5.11	)
Tax basis return of capital		0.00			0.00			0.00			0.00			0.00			(0.01	)		0.00
Total distributions to shareholders		(1.43	)		(1.26	)		(0.25	)		(0.02	)		0.00			(3.73	)		(5.11	)
Net asset value, end of period	$	22.90		$	21.64		$	17.50		$	18.57		$	15.41		$	12.53		$	23.07
Total return4		13.24	%		31.89	%		(4.62	)%		20.73	%		22.91	%		(34.52	)%		19.75	%
Ratios to average net assets (annualized)
Gross expenses		1.36	%		1.37	%		1.36	%		1.43	%		1.47	%		1.50	%		1.54	%
Net expenses		1.29	%		1.29	%		1.29	%		1.29	%		1.29	%		1.29	%		1.29	%
Net investment income (loss)		0.13	%		(0.20	)%		(0.29	)%		(0.30	)%		0.17	%		0.00	%		(0.23	)%
Supplemental data
Portfolio turnover rate		17	%		30	%		41	%		47	%		58	%		81	%		58	%
Net assets, end of period (000s omitted)		$882,160			$817,678			$723,711			$761,497			$657,333			$564,998			$1,057,463

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Amount is less than $0.005.

4. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Notes to financial statements (unaudited) Wells Fargo Advantage Common Stock Fund 21

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Common Stock Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team. The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

22 Wells Fargo Advantage Common Stock Fund Notes to financial statements (unaudited)

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Dividend income is recognized on the ex-dividend date.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

Notes to financial statements (unaudited) Wells Fargo Advantage Common Stock Fund 23

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	1,122,061,824	$	0	$	0	$	1,122,061,824
Investment companies		53,108,118		0		0		53,108,118
Short-term investments
Investment companies		114,499,659		139,834,000		0		254,333,659
	$	1,289,669,601	$	139,834,000	$	0	$	1,429,503,601

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.75% and declining to 0.60% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.71% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.45% and declining to 0.30% as the average daily net assets of the Fund increase.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08
Investor Class		0.32

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.26% for Class A shares, 2.01% for Class B shares, 2.01% for Class C shares, 1.10% for Administrator Class shares, 0.90% for Institutional Class shares, and 1.29% for Investor Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class B and Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B and Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares.

24 Wells Fargo Advantage Common Stock Fund Notes to financial statements (unaudited)

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $12,710 from the sale of Class A shares and $392 in contingent deferred sales charges from redemptions of Class C shares.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class B, Class C, Administrator Class, and Investor Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $185,468,010 and $247,363,854, respectively.

6. INVESTMENTS IN AFFILIATES

An affiliated investment is a company in which the Fund has ownership of at least 5% of the outstanding voting shares. The following is a summary of transactions in issuers that were either affiliates of the Fund at the beginning of the period or the end of the period.

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Value, end of period		Income from affiliated securities		Realized gains (losses)
Capella Education Company		562,373		110,990		0		673,363	$	20,968,524	$	0	$	0

7. ACQUISITION

After the close of business on March 1, 2013, the Fund acquired the net assets of Wells Fargo Advantage Small/Mid Cap Core Fund. The purpose of the transaction was to combine two funds with similar investment objectives and strategies. Shareholders holding Class A, Class C, Administrator Class, and Institutional Class shares of Wells Fargo Advantage Small/Mid Cap Core Fund received Class A, Class C, Administrator Class, and Institutional Class shares, respectively, of the Fund in the reorganization. The acquisition was accomplished by a tax-free exchange of all of the shares of Wells Fargo Advantage Small/Mid Cap Core Fund for 1,175,258 shares of the Fund valued at $24,962,415 at an exchange ratio of 0.49, 0.54, 0.49, and 0.49 for Class A, Class C, Administrator Class, and Institutional Class shares, respectively. The investment portfolio of Wells Fargo Advantage Small/Mid Cap Core Fund with a fair value of $24,968,652, identified cost of $25,150,472, and unrealized losses of $181,820 at March 1, 2013 were the principal assets acquired by the Fund. The aggregate net assets of Wells Fargo Advantage Small/Mid Cap Core Fund and the Fund immediately prior to the acquisition were $24,962,415 and $1,223,291,412, respectively. The aggregate net assets of the Fund immediately after the acquisition were $1,248,253,827. For financial reporting purposes, assets received and shares issued by the Fund were recorded at fair value; however, the cost basis of the investments received from Wells Fargo Advantage Small/Mid Cap Core Fund was carried forward to align ongoing reporting of the Fund’s realized and unrealized gains and losses with amounts distributable to shareholders for tax purposes.

Assuming the acquisition had been completed October 1, 2012, the beginning of the annual reporting period for the Fund, the pro forma results of operations for the six months ended March 31, 2013 would have been:

Net investment income	$	1,030,075
Net realized and unrealized gains on investments	$	150,024,143
Net increase in net assets resulting from operations	$	151,054,218

Because the combined investment portfolios have been managed as a single integrated portfolio since the acquisition was completed, it is not practicable to separate the amounts of revenue and earnings of Wells Fargo Advantage Small/Mid Cap Core Fund that have been included in the Fund’s Statement of Operations since March 4, 2013.

8. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the

Notes to financial statements (unaudited) Wells Fargo Advantage Common Stock Fund 25

Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $968 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

9. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

10. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

26 Wells Fargo Advantage Common Stock Fund Other information (unaudited)

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

Other information (unaudited) Wells Fargo Advantage Common Stock Fund 27

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

28 Wells Fargo Advantage Common Stock Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Nancy Wiser1 (Born 1967)	Treasurer, since 2012	Executive Vice President of Wells Fargo Funds Management, LLC since 2011. Chief Operating Officer and Chief Compliance Officer at LightBox Capital Management LLC, from 2008 to 2011. Owned and operated a consulting business providing services to various hedge funds including acting as Chief Operating Officer and Chief Compliance Officer for a hedge fund from 2007 to 2008. Chief Operating Officer and Chief Compliance Officer of GMN Capital LLC from 2006 to 2007.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.
Jeremy DePalma1 (Born 1974)	Assistant Treasurer, since 2009	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

1. Nancy Wiser acts as Treasurer of 72 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

Other information (unaudited) Wells Fargo Advantage Common Stock Fund 29

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Common Stock Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources and reputation, to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a description of the

30 Wells Fargo Advantage Common Stock Fund Other information (unaudited)

methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted that the performance of the Fund (Class A) was higher than the median performance of the Universe for all periods under review. The Board also noted that the performance of the Fund was higher than or in range of its benchmark, the Russell 2500™ Index, for all periods under review.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios of the expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were higher than the median rates for the Fund’s expense Groups, except the Institutional Class. The Board viewed favorably the fact that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios of the expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Other information (unaudited) Wells Fargo Advantage Common Stock Fund 31

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

32 Wells Fargo Advantage Common Stock Fund List of abbreviations

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

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For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215915 05-13 SA229/SAR229 3-13

Wells Fargo Advantage Discovery Fund^SM

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	12
Statement of operations	13
Statement of changes in net assets	14
Financial highlights	15
Notes to financial statements	20
Other information	24
List of abbreviations	30

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Discovery Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Discovery Fund for the six-month period ended March 31, 2013. Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets. This backdrop enabled most equity styles to generate positive returns. For the six-month period, the small-cap-oriented Russell 2000^® Index¹ returned 14.48%, while the mid-cap-focused Russell Midcap^® Index² posted a 16.21% total return.

The U.S. economy improved with the support of an accommodative monetary policy.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program. Just prior to the beginning of the reporting period, the Federal Open Market Committee announced its intention to keep interest rates low until at least mid-2015 in order to support the sluggish economy. The Fed also announced open-ended purchases of $40 billion per month in mortgage-backed securities in an effort to support the housing market.

The global economy continues to be affected by bouts of uncertainty, including political questions in the U.S., Europe, and China.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank (ECB) and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. Furthermore, the ECB maintained its accommodative monetary policy by keeping its key rate at a historic low of 0.75%.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns, and capital markets generally advanced during this time period.

1. The Russell 2000^® Index measures the performance of the 2,000 smallest companies in the Russell 3000^® Index, which represents approximately 8% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

2. The Russell Midcap^® Index measures the performance of the 800 smallest companies in the Russell 1000^® Index, which represent approximately 25% of the total market capitalization of the Russell 1000 Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Discovery Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

4 Wells Fargo Advantage Discovery Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Thomas J. Pence, CFA

Michael T. Smith, CFA

Chris Warner, CFA

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (WFDAX)	7-31-2007		4.89		9.41		12.15		11.28		10.71		12.82		1.30		1.23
Class C (WDSCX)	7-31-2007		9.45		9.88		12.00		10.45		9.88		12.00		2.05		1.98
Administrator Class (WFDDX)	4-8-2005		–		–		–		11.38		10.87		12.97		1.14		1.14
Institutional Class (WFDSX)	8-31-2006		–		–		–		11.65		11.14		13.14		0.87		0.87
Investor Class (STDIX)	12-31-1987		–		–		–		11.18		10.64		12.76		1.36		1.29
Russell 2500™ Growth Index4	–		–		–		–		13.69		9.02		12.19		–		–

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class, Institutional Class, and Investor Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Smaller-company stocks tend to be more volatile and less liquid than those of larger companies. The use of derivatives may reduce returns and/or increase volatility. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to foreign investment risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Discovery Fund 5

Ten largest equity holdings5 (%) as of March 31, 2013
SBA Communications Corporation Class A	2.88
Kansas City Southern Railway Company	2.20
Alliance Data Systems Corporation	2.18
Aspen Technology Incorporated	2.17
TransDigm Group Incorporated	1.77
Copa Holdings SA Class A	1.73
Hertz Global Holdings Incorporated	1.73
CommVault Systems Incorporated	1.73
Catamaran Corporation	1.70
Airgas Incorporated	1.69

Sector distribution⁶ as of March 31, 2013

1. Historical performance shown for Class C shares prior to their inception reflects the performance of the Investor Class shares, adjusted to reflect the higher expenses applicable to Class C shares. Historical performance shown for the Institutional Class shares prior to their inception reflects the performance of the Administrator Class shares and includes the higher expenses applicable to the Administrator Class shares. If these expenses had not been included, returns would be higher. Historical performance shown for Class A and Administrator Class shares prior to their inception reflects the performance of the Investor Class shares and includes the higher expenses applicable to the Investor Class shares. If these expenses had not been included, returns would be higher.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at 1.22% for Class A, 1.97% for Class C, 1.15% for Administrator Class, 0.89% for Institutional Class, and 1.28% for Investor Class. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. The Russell 2500™ Growth Index measures the performance of those Russell 2500™ companies with higher price-to-book ratios and higher forecasted growth values. You cannot invest directly in an index.

5. The ten largest equity holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

6. Sector distribution is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage Discovery Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,126.49	$	6.47		1.22	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.85	$	6.14		1.22	%
Class C
Actual	$	1,000.00	$	1,122.05	$	10.42		1.97	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.11	$	9.90		1.97	%
Administrator Class
Actual	$	1,000.00	$	1,126.82	$	5.89		1.11	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.40	$	5.59		1.11	%
Institutional Class
Actual	$	1,000.00	$	1,128.15	$	4.51		0.85	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.69	$	4.28		0.85	%
Investor Class
Actual	$	1,000.00	$	1,125.97	$	6.84		1.29	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.50	$	6.49		1.29	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Discovery Fund 7

Security name	Shares		Value
Common Stocks: 96.17%
Consumer Discretionary: 14.77%
Auto Components: 0.76%
BorgWarner Incorporated Ǡ		188,200	$	14,555,388
Automobiles: 1.21%
Tesla Motors Incorporated Ǡ		612,087		23,191,976
Hotels, Restaurants & Leisure: 1.05%
Panera Bread Company Class A †		122,615		20,260,903
Household Durables: 0.29%
Jarden Corporation Ǡ		128,872		5,522,165
Internet & Catalog Retail: 1.30%
Expedia Incorporated		418,200		25,096,182
Leisure Equipment & Products: 0.91%
LeapFrog Enterprises Incorporated Ǡ		2,049,500		17,543,720
Media: 1.03%
AMC Networks Incorporated A †		312,700		19,756,386
Specialty Retail: 4.71%
Chico’s FAS Incorporated		1,239,100		20,816,880
DSW Incorporated Class A		362,553		23,130,881
GNC Holdings Incorporated Class A		649,616		25,516,916
Lumber Liquidators Holdings Incorporated Ǡ		299,700		21,044,934
				90,509,611
Textiles, Apparel & Luxury Goods: 3.51%
Movado Group Incorporated		302,500		10,139,800
PVH Corporation		288,200		30,782,642
Under Armour Incorporated Class A †		520,600		26,654,720
				67,577,162
Consumer Staples: 2.80%
Beverages: 1.43%
Constellation Brands Incorporated Class A †		575,600		27,421,584
Food Products: 1.37%
Annie’s Incorporated «†		491,433		18,802,227
Boulder Brands Incorporated Ǡ		843,400		7,573,732
				26,375,959
Energy: 3.48%
Oil, Gas & Consumable Fuels: 3.48%
Cabot Oil & Gas Corporation		273,400		18,484,574
Gulfport Energy Corporation †		329,063		15,080,957

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Discovery Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Oil, Gas & Consumable Fuels (continued)
Oasis Petroleum Incorporated †		370,000	$	14,085,900
PDC Energy Incorporated Ǡ		389,400		19,302,558
				66,953,989
Financials: 5.73%
Capital Markets: 1.52%
Affiliated Managers Group Incorporated †		189,600		29,116,872
Commercial Banks: 0.43%
Texas Capital Bancshares Incorporated †		205,800		8,324,610
Diversified Financial Services: 1.43%
IntercontinentalExchange Incorporated Ǡ		168,938		27,548,720
Real Estate Management & Development: 2.35%
CBRE Group Incorporated †		1,213,616		30,643,804
Zillow Incorporated Class A «†		264,200		14,443,814
				45,087,618
Health Care: 16.13%
Biotechnology: 6.06%
Achillion Pharmaceuticals Incorporated †		1,029,300		8,996,082
BioMarin Pharmaceutical Incorporated Ǡ		397,357		24,739,447
Cepheid Incorporated Ǡ		470,057		18,036,087
Cubist Pharmaceuticals Incorporated Ǡ		474,721		22,226,437
Onyx Pharmaceuticals Incorporated †		320,100		28,444,086
Orexigen Therapeutics Incorporated Ǡ		1,434,100		8,963,125
Synageva BioPharma Corporation †		93,600		5,140,512
				116,545,776
Health Care Equipment & Supplies: 3.66%
Align Technology Incorporated Ǡ		493,200		16,527,132
HeartWare International Incorporated †		107,900		9,541,597
Sirona Dental Systems Incorporated †		288,600		21,278,478
Thoratec Corporation †		363,332		13,624,950
Wright Medical Group Incorporated †		399,000		9,500,190
				70,472,347
Health Care Providers & Services: 3.04%
Catamaran Corporation †		617,700		32,756,631
Team Health Holdings Incorporated †		704,700		25,636,986
				58,393,617
Health Care Technology: 1.01%
athenahealth Incorporated Ǡ		199,500		19,359,480
Life Sciences Tools & Services: 1.31%
Bruker BioSciences Corporation †		1,321,000		25,231,100

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Discovery Fund 9

Security name	Shares		Value
Pharmaceuticals: 1.05%
Auxilium Pharmaceuticals Incorporated Ǡ		693,743	$	11,987,879
Santarus Incorporated †		470,400		8,152,032
				20,139,911
Industrials: 23.95%
Aerospace & Defense : 3.29%
TransDigm Group Incorporated		222,500		34,024,700
Triumph Group Incorporated		372,100		29,209,850
				63,234,550
Airlines: 1.73%
Copa Holdings SA Class A		277,700		33,215,697
Building Products: 2.18%
Fortune Brands Home & Security Incorporated †		695,700		26,040,051
Owens Corning Incorporated †		403,146		15,896,047
				41,936,098
Commercial Services & Supplies: 1.50%
Clean Harbors Incorporated Ǡ		497,400		28,893,966
Construction & Engineering: 1.40%
Quanta Services Incorporated †		941,300		26,902,354
Electrical Equipment: 0.70%
Regal-Beloit Corporation		164,832		13,443,698
Machinery: 5.10%
Chart Industries Incorporated Ǡ		259,600		20,770,596
Colfax Corporation Ǡ		448,645		20,879,938
Graco Incorporated		469,800		27,262,494
Wabtec Corporation		285,700		29,172,827
				98,085,855
Professional Services: 2.98%
Advisory Board Company †		518,300		27,221,116
Verisk Analytics Incorporated Class A †		486,300		29,970,669
				57,191,785
Road & Rail: 3.93%
Hertz Global Holdings Incorporated Ǡ		1,491,390		33,198,341
Kansas City Southern Railway Company		382,100		42,374,890
				75,573,231
Trading Companies & Distributors: 1.14%
WESCO International Incorporated Ǡ		302,470		21,962,347

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Discovery Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Information Technology: 23.67%
Computers & Peripherals: 0.89%
Stratasys Limited Ǡ		231,183	$	17,158,402
Electronic Equipment, Instruments & Components: 2.72%
FEI Company «		390,300		25,193,865
IPG Photonics Corporation «		407,338		27,051,317
				52,245,182
Internet Software & Services: 4.65%
Angie’s List Incorporated «†		882,894		17,445,985
CoStar Group Incorporated †		219,800		24,059,308
ExactTarget Incorporated Ǡ		950,336		22,114,319
Mercadolibre Incorporated «		165,700		15,999,992
Rackspace Hosting Incorporated Ǡ		195,100		9,848,648
				89,468,252
IT Services: 4.31%
Alliance Data Systems Corporation Ǡ		258,900		41,913,321
CoreLogic Incorporated †		528,935		13,678,259
Vantiv Incorporated Class A «†		1,148,225		27,258,862
				82,850,442
Semiconductors & Semiconductor Equipment: 0.55%
EZchip Semiconductor Limited Ǡ		436,800		10,539,984
Software: 10.55%
ACI Worldwide Incorporated †		557,000		27,215,020
Aspen Technology Incorporated †		1,294,000		41,783,260
BroadSoft Incorporated †		660,193		17,475,309
CommVault Systems Incorporated †		404,900		33,193,702
Fortinet Incorporated †		623,155		14,756,310
Guidewire Software Incorporated †		680,000		26,139,200
ServiceNow Incorporated Ǡ		578,219		20,931,528
Splunk Incorporated †		535,698		21,443,991
				202,938,320
Materials: 2.76%
Chemicals: 1.68%
Airgas Incorporated		326,900		32,415,404
Construction Materials: 1.08%
Headwaters Incorporated †		1,899,732		20,707,079
Telecommunication Services: 2.88%
Wireless Telecommunication Services: 2.88%
SBA Communications Corporation Class A «†		769,051		55,387,053
Total Common Stocks (Cost $1,472,990,689)				1,849,134,775

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Discovery Fund 11

Security name	Yield			Shares		Value
Short-Term Investments: 27.38%
Investment Companies: 27.38%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (l)(u)		0.13	%		64,149,879	$	64,149,879
Wells Fargo Securities Lending Cash Investments, LLC (r)(v)(l)(u)		0.18			462,314,812		462,314,812
Total Short-Term Investments (Cost $526,464,691)							526,464,691

Total investments in securities (Cost $1,999,455,380) *	123.55	%		2,375,599,466
Other assets and liabilities, net	(23.55	)		(452,874,550	)
Total net assets	100.00	%	$	1,922,724,916

« All or a portion of this security is on loan.

† Non-income-earning security

(l) Investment in an affiliate

(u) Rate shown is the 7-day annualized yield at period end.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

(v) Security represents investment of cash collateral received from securities on loan.

* Cost for federal income tax purposes is $2,003,354,399 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	395,924,663
Gross unrealized depreciation		(23,679,596	)
Net unrealized appreciation	$	372,245,067

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Discovery Fund Statement of assets and liabilities—March 31, 2013 (unaudited)

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	1,849,134,775
In affiliated securities, at value (see cost below)		526,464,691
Total investments, at value (see cost below)		2,375,599,466
Receivable for investments sold		23,547,842
Receivable for Fund shares sold		7,759,901
Receivable for dividends		257,077
Receivable for securities lending income		463,861
Prepaid expenses and other assets		73,830
Total assets		2,407,701,977
Liabilities
Payable for investments purchased		17,227,037
Payable for Fund shares redeemed		1,932,801
Payable upon receipt of securities loaned		462,314,812
Due to custodian bank		1,782,179
Advisory fee payable		1,071,328
Distribution fees payable		18,909
Due to other related parties		343,731
Accrued expenses and other liabilities		286,264
Total liabilities		484,977,061
Total net assets	$	1,922,724,916
NET ASSETS CONSIST OF
Paid-in capital	$	1,522,173,283
Accumulated net investment loss		(2,457,444	)
Accumulated net realized gains on investments		26,864,991
Net unrealized gains on investments		376,144,086
Total net assets	$	1,922,724,916
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	162,944,486
Shares outstanding – Class A		5,694,032
Net asset value per share – Class A		$28.62
Maximum offering price per share – Class A2		$30.37
Net assets – Class C	$	30,835,241
Shares outstanding – Class C		1,130,721
Net asset value per share – Class C		$27.27
Net assets – Administrator Class	$	535,742,542
Shares outstanding – Administrator Class		18,415,031
Net asset value per share – Administrator Class		$29.09
Net assets – Institutional Class	$	694,976,793
Shares outstanding – Institutional Class		23,469,601
Net asset value per share – Institutional Class		$29.61
Net assets – Investor Class	$	498,225,854
Shares outstanding – Investor Class		17,505,380
Net asset value per share – Investor Class		$28.46
Investments in unaffiliated securities (including securities on loan), at cost	$	1,472,990,689
Investments in affiliated securities, at cost	$	526,464,691
Total investments, at cost	$	1,999,455,380
Securities on loan, at value	$	451,992,028

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

Statement of operations—six months ended March 31, 2013 (unaudited) Wells Fargo Advantage Discovery Fund 13

Investment income
Dividends	$	7,058,465
Securities lending income, net		3,288,307
Income from affiliated securities		38,541
Total investment income		10,385,313
Expenses
Advisory fee		5,792,726
Administration fees
Fund level		416,827
Class A		169,790
Class C		31,612
Administrator Class		239,037
Institutional Class		231,089
Investor Class		730,539
Shareholder servicing fees
Class A		163,260
Class C		30,397
Administrator Class		590,746
Investor Class		567,717
Distribution fees
Class C		91,190
Custody and accounting fees		51,011
Professional fees		18,515
Registration fees		39,911
Shareholder report expenses		52,736
Trustees’ fees and expenses		6,190
Other fees and expenses		11,645
Total expenses		9,234,938
Less: Fee waivers and/or expense reimbursements		(154,371	)
Net expenses		9,080,567
Net investment income		1,304,746
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		33,785,632
Net change in unrealized gains (losses) on investments		175,645,673
Net realized and unrealized gains (losses) on investments		209,431,305
Net increase in net assets resulting from operations	$	210,736,051

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Discovery Fund Statement of changes in net assets

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income (loss)				$	1,304,746					$	(5,398,833	)
Net realized gains on investments					33,785,632						94,485,112
Net change in unrealized gains (losses) on investments					175,645,673						207,399,361
Net increase in net assets resulting from operations					210,736,051						296,485,640
Distributions to shareholders from
Net realized gains
Class A					(6,761,646	)					(1,927,768	)
Class C					(1,392,037	)					(248,530	)
Administrator Class					(24,686,836	)					(14,784,852	)
Institutional Class					(28,226,790	)					(12,862,945	)
Investor Class					(24,433,293	)					(13,211,150	)
Total distributions to shareholders					(85,500,602	)					(43,035,245	)
		Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		1,782,124			47,895,125			3,352,189			86,546,282
Class C		555,940			14,023,186			472,363			11,829,302
Administrator Class		2,280,347			61,906,260			11,169,969			279,362,357
Institutional Class		6,112,993			168,644,559			9,782,108			257,448,823
Investor Class		2,185,563			57,862,099			8,311,004			213,298,213
					350,331,229						848,484,977
Reinvestment of distributions
Class A		260,885			6,496,027			77,158			1,858,725
Class C		37,954			902,541			9,309			216,331
Administrator Class		938,841			23,752,678			571,489			13,967,192
Institutional Class		989,632			25,463,243			458,139			11,348,097
Investor Class		959,644			23,770,379			535,087			12,836,737
					80,384,868						40,227,082
Payment for shares redeemed
Class A		(620,908	)		(16,452,299	)		(1,114,919	)		(28,042,615	)
Class C		(114,735	)		(2,917,170	)		(83,839	)		(2,036,241	)
Administrator Class		(2,336,991	)		(63,466,163	)		(3,689,369	)		(95,698,347	)
Institutional Class		(2,550,148	)		(71,058,894	)		(3,915,897	)		(102,602,772	)
Investor Class		(2,791,329	)		(73,223,955	)		(4,937,681	)		(124,176,877	)
					(227,118,481	)					(352,556,852	)
Net increase in net assets resulting from capital share transactions					203,597,616						536,155,207
Total increase in net assets					328,833,065						789,605,602
Net assets
Beginning of period					1,593,891,851						804,286,249
End of period				$	1,922,724,916					$	1,593,891,851
Accumulated net investment loss				$	(2,457,444	)				$	(3,762,190	)

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Discovery Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS A				2012			2011			20101			2009			2008			20072
Net asset value, beginning of period	$	26.89		$	21.20		$	20.71		$	15.69		$	14.52		$	28.07		$	25.25
Net investment income (loss)		0.00	3		(0.14	)4		(0.21	)4		(0.18	)		(0.09	)4		(0.17	)4		(0.06	)4
Net realized and unrealized gains (losses) on investments		3.18			6.82			0.70			5.20			1.26			(9.40	)		2.88
Total from investment operations		3.18			6.68			0.49			5.02			1.17			(9.57	)		2.82
Distributions to shareholders from
Net realized gains		(1.45	)		(0.99	)		0.00			0.00			0.00			(3.98	)		0.00
Net asset value, end of period	$	28.62		$	26.89		$	21.20		$	20.71		$	15.69		$	14.52		$	28.07
Total return5		12.65	%		32.05	%		2.37	%		31.99	%		8.06	%		(39.00	)%		11.17	%
Ratios to average net assets (annualized)
Gross expenses		1.28	%		1.29	%		1.34	%		1.37	%		1.43	%		1.41	%		1.38	%
Net expenses		1.22	%		1.22	%		1.30	%		1.33	%		1.33	%		1.33	%		1.30	%
Net investment income (loss)		0.00	%		(0.53	)%		(0.86	)%		(0.97	)%		(0.68	)%		(0.85	)%		(0.87	)%
Supplemental data
Portfolio turnover rate		43	%		104	%		111	%		93	%		221	%		153	%		137	%
Net assets, end of period (000s omitted)		$162,944			$114,882			$41,507			$7,442			$3,750			$3,150			$220

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. For the period from July 31, 2007 (commencement of class operations) to October 31, 2007

3. Amount is less than $0.005 per share

4. Calculated based upon average shares outstanding

5. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Discovery Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS C				2012			2011			20101			2009			2008			20072
Net asset value, beginning of period	$	25.79		$	20.51		$	20.19		$	15.41		$	14.36		$	28.04		$	25.25
Net investment loss		(0.11	)3		(0.31	)3		(0.38	)3		(0.29	)		(0.20	)3		(0.32	)3		(0.19	)3
Net realized and unrealized gains (losses) on investments		3.04			6.58			0.70			5.07			1.25			(9.38	)		2.98
Total from investment operations		2.93			6.27			0.32			4.78			1.05			(9.70	)		2.79
Distributions to shareholders from
Net realized gains		(1.45	)		(0.99	)		0.00			0.00			0.00			(3.98	)		0.00
Net asset value, end of period	$	27.27		$	25.79		$	20.51		$	20.19		$	15.41		$	14.36		$	28.04
Total return4		12.20	%		31.10	%		1.59	%		31.10	%		7.24	%		(39.57	)%		11.05	%
Ratios to average net assets (annualized)
Gross expenses		2.03	%		2.04	%		2.09	%		2.13	%		2.18	%		2.18	%		2.02	%
Net expenses		1.97	%		1.97	%		2.07	%		2.08	%		2.08	%		2.08	%		1.88	%
Net investment loss		(0.84	)%		(1.28	)%		(1.62	)%		(1.73	)%		(1.47	)%		(1.59	)%		(2.85	)%
Supplemental data
Portfolio turnover rate		43	%		104	%		111	%		93	%		221	%		153	%		137	%
Net assets, end of period (000s omitted)		$30,835			$16,803			$5,205			$3,043			$2,334			$1,471			$362

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. For the period from July 31, 2007 (commencement of class operations) to October 31, 2007

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Discovery Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
ADMINISTRATOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	27.30		$	21.50		$	20.96		$	15.86		$	14.65		$	28.23		$	22.42
Net investment income (loss)		0.02			(0.12	)2		(0.20	)		(0.13	)		(0.07	)2		(0.13	)2		(0.16	)2
Net realized and unrealized gains (losses) on investments		3.22			6.91			0.74			5.23			1.28			(9.47	)		7.13
Total from investment operations		3.24			6.79			0.54			5.10			1.21			(9.60	)		6.97
Distributions to shareholders from
Net realized gains		(1.45	)		(0.99	)		0.00			0.00			0.00			(3.98	)		(1.16	)
Net asset value, end of period	$	29.09		$	27.30		$	21.50		$	20.96		$	15.86		$	14.65		$	28.23
Total return3		12.68	%		32.12	%		2.58	%		32.16	%		8.26	%		(38.87	)%		32.49	%
Ratios to average net assets (annualized)
Gross expenses		1.11	%		1.13	%		1.17	%		1.20	%		1.25	%		1.24	%		1.22	%
Net expenses		1.11	%		1.13	%		1.15	%		1.15	%		1.15	%		1.15	%		1.15	%
Net investment income (loss)		0.14	%		(0.45	)%		(0.70	)%		(0.81	)%		(0.52	)%		(0.62	)%		(0.65	)%
Supplemental data
Portfolio turnover rate		43	%		104	%		111	%		93	%		221	%		153	%		137	%
Net assets, end of period (000s omitted)		$535,743			$478,673			$203,820			$122,451			$103,576			$82,359			$122,576

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Discovery Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INSTITUTIONAL CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	27.73		$	21.76		$	21.17		$	15.99		$	14.73		$	28.31		$	22.43
Net investment income (loss)		0.05	2		(0.07	)		(0.14	)		(0.11	)		(0.05	)2		(0.09	)2		(0.08	)2
Net realized and unrealized gains (losses) on investments		3.28			7.03			0.73			5.29			1.31			(9.51	)		7.12
Total from investment operations		3.33			6.96			0.59			5.18			1.26			(9.60	)		7.04
Distributions to shareholders from
Net realized gains		(1.45	)		(0.99	)		0.00			0.00			0.00			(3.98	)		(1.16	)
Net asset value, end of period	$	29.61		$	27.73		$	21.76		$	21.17		$	15.99		$	14.73		$	28.31
Total return3		12.81	%		32.53	%		2.79	%		32.48	%		8.49	%		(38.74	)%		32.80	%
Ratios to average net assets (annualized)
Gross expenses		0.85	%		0.86	%		0.91	%		0.93	%		0.96	%		1.00	%		0.96	%
Net expenses		0.85	%		0.86	%		0.90	%		0.93	%		0.95	%		0.95	%		0.95	%
Net investment income (loss)		0.37	%		(0.19	)%		(0.45	)%		(0.58	)%		(0.37	)%		(0.45	)%		(0.32	)%
Supplemental data
Portfolio turnover rate		43	%		104	%		111	%		93	%		221	%		153	%		137	%
Net assets, end of period (000s omitted)		$694,977			$524,506			$274,039			$112,874			$68,395			$23,455			$6,359

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Discovery Fund 19

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INVESTOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	26.76		$	21.12		$	20.64		$	15.65		$	14.49		$	28.02		$	22.31
Net investment loss		(0.00	)2		(0.15	)2		(0.24	)		(0.14	)		(0.10	)2		(0.18	)2		(0.22	)2
Net realized and unrealized gains (losses) on investments		3.15			6.78			0.72			5.13			1.26			(9.37	)		7.09
Total from investment operations		3.15			6.63			0.48			4.99			1.16			(9.55	)		6.87
Distributions to shareholders from
Net realized gains		(1.45	)		(0.99	)		0.00			0.00			0.00			(3.98	)		(1.16	)
Net asset value, end of period	$	28.46		$	26.76		$	21.12		$	20.64		$	15.65		$	14.49		$	28.02
Total return3		12.60	%		31.93	%		2.33	%		31.89	%		8.01	%		(39.00	)%		32.19	%
Ratios to average net assets (annualized)
Gross expenses		1.33	%		1.36	%		1.40	%		1.47	%		1.53	%		1.56	%		1.57	%
Net expenses		1.29	%		1.29	%		1.37	%		1.38	%		1.38	%		1.38	%		1.38	%
Net investment loss		(0.01	)%		(0.61	)%		(0.93	)%		(1.03	)%		(0.74	)%		(0.84	)%		(0.89	)%
Supplemental data
Portfolio turnover rate		43	%		104	%		111	%		93	%		221	%		153	%		137	%
Net assets, end of period (000s omitted)		$498,226			$459,028			$279,715			$267,466			$180,898			$179,913			$309,759

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

20 Wells Fargo Advantage Discovery Fund Notes to financial statements (unaudited)

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Discovery Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

Notes to financial statements (unaudited) Wells Fargo Advantage Discovery Fund 21

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Dividend income is recognized on the ex-dividend date.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

As of September 30, 2012, the Fund had a qualified late-year ordinary loss of $3,761,591 which was recognized on the first day of the current fiscal year. A late-year ordinary loss is the net loss comprised of (a) net gain or loss from the sale or other disposition of certain capital assets for the portion of the taxable year after October 31 and (b) other ordinary income or loss for the portion of the taxable year after December 31.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

22 Wells Fargo Advantage Discovery Fund Notes to financial statements (unaudited)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable Inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	1,849,134,775	$	0	$	0	$	1,849,134,775
Short-term investments
Investment companies		64,149,879		462,314,812		0		526,464,691
	$	1,913,284,654	$	462,314,812	$	0	$	2,375,599,466

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.75% and declining to 0.60% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.69% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.45% and declining to 0.35% as the average daily net assets of the Fund increase.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08
Investor Class		0.32

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.22% for Class A shares, 1.97% for Class C shares, 1.15% for Administrator Class shares, 0.89% for Institutional Class shares, and 1.28% for Investor Class shares. Prior to February 1, 2013, the Fund’s expenses were capped at 0.90% for Institutional Class shares and 1.29% for Investor Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

Notes to financial statements (unaudited) Wells Fargo Advantage Discovery Fund 23

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $14,100 from the sale of Class A shares and $570 in contingent deferred sales charges from redemptions of Class C shares.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class C, Administrator Class, and Investor Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $802,691,405 and $702,743,456, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $1,322 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

24 Wells Fargo Advantage Discovery Fund Other information (unaudited)

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

Other information (unaudited) Wells Fargo Advantage Discovery Fund 25

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

26 Wells Fargo Advantage Discovery Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Nancy Wiser1 (Born 1967)	Treasurer, since 2012	Executive Vice President of Wells Fargo Funds Management, LLC since 2011. Chief Operating Officer and Chief Compliance Officer at LightBox Capital Management LLC, from 2008 to 2011. Owned and operated a consulting business providing services to various hedge funds including acting as Chief Operating Officer and Chief Compliance Officer for a hedge fund from 2007 to 2008. Chief Operating Officer and Chief Compliance Officer of GMN Capital LLC from 2006 to 2007.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.
Jeremy DePalma1 (Born 1974)	Assistant Treasurer, since 2009	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

1. Nancy Wiser acts as Treasurer of 72 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

Other information (unaudited) Wells Fargo Advantage Discovery Fund 27

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Discovery Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources, and reputation to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a

28 Wells Fargo Advantage Discovery Fund Other information (unaudited)

description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted that the performance of the Fund (Administrator Class) was higher than the median performance of the Universe for all periods under review. The Board also noted that the performance of the Fund was higher than or in range of its benchmark, the Russell 2500™ Growth Index, for all periods under review.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were in range of the median net operating expense ratios of the expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were in range of the median rates for the Fund’s expense Groups, except for Class A and the Investor Class. The Board viewed favorably the fact that the net operating expense ratios of the Fund were in range of the median net operating expense ratios of the expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Other information (unaudited) Wells Fargo Advantage Discovery Fund 29

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

30 Wells Fargo Advantage Discovery Fund List of abbreviations

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215916 05-13 SA230/SAR230 3-13

Wells Fargo Advantage

Diversified Capital Builder Fund

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	12
Statement of operations	13
Statement of changes in net assets	14
Financial highlights	15
Notes to financial statements	20
Other information	24
List of abbreviations	30

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Diversified Capital Builder Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite ongoing uncertainties, investor confidence grew during the period as political and economic concerns lessened.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Diversified Capital Builder Fund for the six-month period ended March 31, 2013. The past six months were marked by a modestly growing U.S. economy and expansive monetary policy. This backdrop enabled equity and high-yield asset classes to generate positive returns.

The economy grew, helped by an accommodative monetary policy but hurt by political uncertainty.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. In China, economic growth decelerated from double-digit advances but remained at a stable, positive pace.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns and capital markets generally rose during this time period.

Financial markets advanced.

Despite ongoing uncertainties, investor confidence grew during the period as political and economic concerns lessened. As a result, most equity and high-yield bond asset classes advanced. For example, the S&P 500 Index¹ returned 10.19% for the six-month period ended March 31, 2013, while the Russell 1000^® Index² advanced 11.10%. High-yield bonds, as measured by the BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index³, returned 6.11% for the period. On the other hand, highly rated U.S. Treasury bonds had negative results as investors moved from safe-haven U.S. Treasuries to asset classes with higher risk/reward potential.

1. The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value-weighted index with each stock’s weight in the index proportionate to its market value. You cannot invest directly in an index.

2. The Russell 1000^® Index measures the performance of the 1,000 largest companies in the Russell 3000 Index, which represents approximately 92% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

3. The BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index is an unmanaged market index that provides a broad-based performance measure of the noninvestment grade U.S. domestic bond index. This index was previously named the BofA Merrill Lynch High Yield Master Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats will help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns.

4 Wells Fargo Advantage Diversified Capital Builder Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term total return, consisting of capital appreciation and current income.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio manager

Margaret Patel

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (EKBAX)	1-20-1998		9.48		2.94		4.99		16.21		4.18		5.61		1.21		1.20
Class B (EKBBX)*	9-11-1935		10.36		3.13		5.13		15.36		3.46		5.13		1.96		1.95
Class C (EKBCX)	1-22-1998		14.49		3.39		4.84		15.49		3.39		4.84		1.96		1.95
Administrator Class (EKBDX)	7-30-2010		–		–		–		16.49		4.34		5.76		1.05		0.95
Institutional Class (EKBYX)	1-26-1998		–		–		–		16.80		4.53		5.94		0.78		0.78
Diversified Capital Builder Blended Index4	–		–		–		–		14.15		7.55		9.28		–		–
BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index5	–		–		–		–		13.05		11.19		9.81		–		–
Russell 1000® Index6	–		–		–		–		14.43		6.15		8.97		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class and Institutional Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Balanced funds may invest in stocks and bonds. Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Bond values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. In general, when interest rates rise, bond values fall and investors may lose principal value. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to foreign investment risk, high-yield risk securities, and smaller-company securities risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 5

Ten largest holdings7 (%) as of March 31, 2013
American Tower Corporation	5.30
Health Care REIT Incorporated	5.00
The Williams Companies Incorporated	3.66
Phillips 66	3.36
Plum Creek Timber Company	3.18
NRG Energy Incorporated, 7.88%, 5-15-2021	3.01
FEI Company	2.90
Valeant Pharmaceuticals International Incorporated, 7.00%, 10-1-2020	2.89
Genuine Parts Company	2.62
HCP Incorporated	2.56

Portfolio allocation⁸ as of March 31, 2013

1. Historical performance shown for the Administrator Class shares prior to their inception reflects the performance of the Institutional Class shares, adjusted to reflect the higher expenses applicable to the Administrator Class shares. Historical performance shown for all classes of the Fund prior to July 12, 2010, is based on the performance of the Fund’s predecessor, Evergreen Diversified Capital Builder Fund.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at the amounts shown. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. Source: Wells Fargo Funds Management, LLC. The Diversified Capital Builder Blended Index is composed of the following indexes: Russell 1000^® Index (75%) and BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index (25%). You cannot invest directly in an index.

5. The BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index is an unmanaged market index that provides a broad-based performance measure of the non-investment grade U.S. domestic bond index. This index was previously named the BofA Merrill Lynch High Yield Master Index. You cannot invest directly in an index.

6. The Russell 1000^® Index measures the performance of the 1,000 largest companies in the Russell 3000^® Index, which represents approximately 92% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

7. The ten largest holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

8. Portfolio allocation is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage Diversified Capital Builder Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,131.27	$	6.38		1.20	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.95	$	6.04		1.20	%
Class B
Actual	$	1,000.00	$	1,125.98	$	10.34		1.95	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.21	$	9.80		1.95	%
Class C
Actual	$	1,000.00	$	1,126.88	$	10.34		1.95	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.21	$	9.80		1.95	%
Administrator Class
Actual	$	1,000.00	$	1,132.61	$	5.05		0.95	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.19	$	4.78		0.95	%
Institutional Class
Actual	$	1,000.00	$	1,132.74	$	4.09		0.77	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.09	$	3.88		0.77	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 7

Security name	Shares		Value
Common Stocks: 84.64%
Consumer Discretionary: 3.75%
Auto Components: 1.12%
Johnson Controls Incorporated		200,000	$	7,014,000
Distributors: 2.63%
Genuine Parts Company «		210,000		16,380,000
Consumer Staples: 6.22%
Food & Staples Retailing: 0.71%
CVS Caremark Corporation		80,000		4,399,200
Food Products: 0.95%
General Mills Incorporated		30,000		1,479,300
JM Smucker Company		45,000		4,462,199
				5,941,499
Household Products: 3.43%
Church & Dwight Company Incorporated		160,000		10,340,800
Colgate-Palmolive Company		40,000		4,721,200
Kimberly-Clark Corporation «		65,000		6,368,700
				21,430,700
Personal Products: 1.13%
Estee Lauder Companies Incorporated Class A		110,000		7,043,300
Energy: 17.86%
Energy Equipment & Services: 2.96%
Bristow Group Incorporated		35,000		2,307,900
Dresser-Rand Group Incorporated †		90,000		5,549,400
FMC Technologies Incorporated †		70,000		3,807,300
Heckmann Corporation Ǡ		100,000		429,000
National Oilwell Varco Incorporated		90,000		6,367,500
				18,461,100
Oil, Gas & Consumable Fuels: 14.90%
Cabot Oil & Gas Corporation		20,000		1,352,200
ConocoPhillips Company		180,000		10,818,000
Enterprise Products Partners		20,000		1,205,800
EOG Resources Incorporated		70,000		8,964,900
EQT Corporation		35,000		2,371,250
Kinder Morgan Incorporated		380,000		14,698,400
Noble Energy Incorporated		20,000		2,313,200
PAA Natural Gas Storage LP		150,000		3,208,500
Phillips 66		300,000		20,991,000
Plains All American Pipeline LP		40,000		2,259,200
Range Resources Corporation		25,000		2,026,000
The Williams Companies Incorporated		610,000		22,850,600
				93,059,050

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Diversified Capital Builder Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Financials: 20.19%
Commercial Banks: 3.43%
PNC Financial Services Group Incorporated		220,000	$	14,630,000
US Bancorp		200,000		6,786,000
				21,416,000
REITs: 16.76%
American Tower Corporation		430,000		33,075,600
HCP Incorporated		320,000		15,955,200
Health Care REIT Incorporated		460,000		31,238,600
Plum Creek Timber Company «		380,000		19,836,000
Saul Centers Incorporated		20,000		874,800
Ventas Incorporated		50,000		3,660,000
				104,640,200
Health Care: 9.68%
Biotechnology: 1.36%
Biogen Idec Incorporated †		20,000		3,858,200
Celgene Corporation †		40,000		4,636,400
				8,494,600
Health Care Equipment & Supplies: 0.56%
CareFusion Corporation †		100,000		3,499,000
Health Care Providers & Services: 0.86%
McKesson Corporation		50,000		5,398,000
Life Sciences Tools & Services: 0.10%
Bio-Rad Laboratories Incorporated †		5,000		630,000
Pharmaceuticals: 6.80%
Actavis Incorporated †		35,000		3,223,850
Allergan Incorporated		100,000		11,163,000
Bristol-Myers Squibb Company		210,000		8,649,900
Eli Lilly & Company		120,000		6,814,800
Forest Laboratories Incorporated †		150,000		5,706,000
Merck & Company Incorporated		130,000		5,749,900
Warner Chilcott Limited		60,000		813,000
Zoetis Incorporated †		9,455		315,797
				42,436,247
Industrials: 12.63%
Building Products: 0.95%
Apogee Enterprises Incorporated		40,000		1,158,000
Lennox International Incorporated		75,000		4,761,750
				5,919,750
Electrical Equipment: 1.75%
AMETEK Incorporated		90,000		3,902,400

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 9

Security name	Shares		Value
Electrical Equipment (continued)
Roper Industries Incorporated		55,000	$	7,002,050
				10,904,450
Machinery: 8.26%
Donaldson Company Incorporated		320,000		11,580,800
Eaton Corporation plc		105,000		6,431,250
Flowserve Corporation		90,000		15,093,900
IDEX Corporation		100,000		5,342,000
Pall Corporation		145,000		9,913,650
Parker Hannifin Corporation		35,000		3,205,300
				51,566,900
Road & Rail: 1.67%
Hertz Global Holdings Incorporated †		470,000		10,462,200
Information Technology: 4.38%
Computers & Peripherals: 0.14%
Apple Incorporated		2,000		885,260
Electronic Equipment, Instruments & Components: 3.72%
Amphenol Corporation Class A		55,000		4,105,750
FEI Company «		280,000		18,074,000
FLIR Systems Incorporated		40,000		1,040,400
				23,220,150
IT Services: 0.52%
Automatic Data Processing Incorporated		50,000		3,251,000
Materials: 5.29%
Chemicals: 5.29%
Axialll Corporation		4,881		303,403
FMC Corporation		140,000		7,984,200
LyondellBasell Industries NV Class A		245,000		15,506,050
PPG Industries Incorporated		8,501		1,138,624
Valspar Corporation		130,000		8,092,500
				33,024,777
Telecommunication Services: 1.12%
Wireless Telecommunication Services: 1.12%
Crown Castle International Corporation †		100,000		6,964,000
Utilities: 3.52%
Electric Utilities: 0.21%
ITC Holdings Corporation «		15,000		1,338,900
Gas Utilities: 2.67%
National Fuel Gas Company		155,000		9,509,250
ONEOK Incorporated		150,000		7,150,500
				16,659,750

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Diversified Capital Builder Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name						Shares		Value
Independent Power Producers & Energy Traders: 0.64%
NRG Energy Incorporated							150,000	$	3,973,500
Total Common Stocks (Cost $424,704,174)									528,413,533
	Interest rate			Maturity date		Principal
Corporate Bonds and Notes: 14.38%
Energy: 1.25%
Energy Equipment & Services: 1.02%
Heckmann Corporation		9.88	%		4-15-2018	$	5,000,000		5,343,750
Hornbeck Offshore Services Incorporated		5.88			4-1-2020		1,000,000		1,035,000
									6,378,750
Oil, Gas & Consumable Fuels: 0.23%
Denbury Resources Incorporated		4.63			7-15-2023		1,500,000		1,447,500
Health Care: 4.45%
Health Care Equipment & Supplies: 0.77%
Hologic Incorporated		6.25			8-1-2020		4,500,000		4,786,875
Pharmaceuticals: 3.68%
Valeant Pharmaceuticals International Incorporated 144A		7.00			10-1-2020		16,753,000		18,051,358
Valeant Pharmaceuticals International Incorporated 144A		7.25			7-15-2022		4,560,000		4,959,000
									23,010,358
Industrials: 1.71%
Air Freight & Logistics: 0.17%
Bristow Group Incorporated		6.25			10-15-2022		1,000,000		1,080,000
Building Products: 0.21%
Dycom Investments Incorporated		7.13			1-15-2021		1,200,000		1,284,000
Commercial Services & Supplies: 0.33%
Clean Harbors Incorporated 144A		5.13			6-1-2021		1,000,000		1,023,750
Iron Mountain Incorporated		5.75			8-15-2024		1,000,000		998,750
									2,022,500
Electrical Equipment: 0.65%
General Cable Corporation 144A		5.75			10-1-2022		4,000,000		4,080,000
Road & Rail: 0.35%
Hertz Global Holdings Incorporated		6.25			10-15-2022		2,000,000		2,170,000
Materials: 3.54%
Chemicals: 3.11%
Kraton Polymers LLC		6.75			3-1-2019		2,770,000		2,894,650
Olin Corporation		5.50			8-15-2022		2,000,000		2,067,500
Tronox Finance LLC 144A		6.38			8-15-2020		14,863,000		14,417,110
									19,379,260

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 11

Security name	Interest rate			Maturity date		Principal		Value
Containers & Packaging: 0.26%
Sealed Air Corporation 144A		6.50	%		12-1-2020	$	1,500,000	$	1,642,500
Metals & Mining: 0.17%
United States Steel Corporation «		7.38			4-1-2020		1,000,000		1,047,500
Telecommunication Services: 0.33%
Wireless Telecommunication Services: 0.33%
SBA Telecommunications Incorporated 144A		5.63			10-1-2019		2,000,000		2,057,500
Utilities: 3.10%
Independent Power Producers & Energy Traders: 3.10%
NRG Energy Incorporated 144A		6.63			3-15-2023		500,000		530,000
NRG Energy Incorporated		7.88			5-15-2021		16,918,000		18,821,275
									19,351,275
Total Corporate Bonds and Notes (Cost $85,723,994)									89,738,018
	Yield					Shares
Short-Term Investments: 5.65%
Investment Companies: 5.65%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (l)(u)		0.13					1,997,333		1,997,333
Wells Fargo Securities Lending Cash Investments, LLC (v)(r)(l)(u)		0.18					33,279,914		33,279,914
Total Short-Term Investments (Cost $35,277,247)									35,277,247

Total investments in securities (Cost $545,705,415) *	104.67	%		653,428,798
Other assets and liabilities, net	(4.67	)		(29,127,819	)
Total net assets	100.00	%	$	624,300,979

« All or a portion of this security is on loan.

† Non-income-earning security

144A Security that may be resold to “qualified institutional buyers” under Rule 144A or security offered pursuant to Section 4(2) of the Securities Act of 1933, as amended.

(l) Investment in an affiliate

(u) Rate shown is the 7-day annualized yield at period end.

(v) Security represents investment of cash collateral received from securities on loan.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

* Cost for federal income tax purposes is $545,966,220 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	108,987,978
Gross unrealized depreciation		(1,525,400	)
Net unrealized appreciation	$	107,462,578

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Diversified Capital Builder Fund Statement of assets and liabilities—March 31, 2013 (unaudited)

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	618,151,551
In affiliated securities, at value (see cost below)		35,277,247
Total investments, at value (see cost below)		653,428,798
Cash		17,900
Receivable for investments sold		7,382,093
Receivable for Fund shares sold		492,965
Receivable for dividends and interest		2,420,848
Receivable for securities lending income		6,947
Prepaid expenses and other assets		131,547
Total assets		663,881,098
Liabilities
Payable for investments purchased		4,755,497
Payable for Fund shares redeemed		752,211
Payable upon receipt of securities loaned		33,279,914
Advisory fee payable		307,813
Distribution fees payable		29,785
Due to other related parties		137,072
Accrued expenses and other liabilities		317,827
Total liabilities		39,580,119
Total net assets	$	624,300,979
NET ASSETS CONSIST OF
Paid-in capital	$	657,191,714
Overdistributed net investment income		(45,949	)
Accumulated net realized losses on investments		(140,568,169	)
Net unrealized gains on investments		107,723,383
Total net assets	$	624,300,979
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	413,018,556
Shares outstanding – Class A		53,210,017
Net asset value per share – Class A		$7.76
Maximum offering price per share – Class A2		$8.23
Net assets – Class B	$	7,634,054
Shares outstanding – Class B		976,942
Net asset value per share – Class B		$7.81
Net assets – Class C	$	39,820,679
Shares outstanding – Class C		5,125,598
Net asset value per share – Class C		$7.77
Net assets – Administrator Class	$	4,192,786
Shares outstanding – Administrator Class		539,571
Net asset value per share – Administrator Class		$7.77
Net assets – Institutional Class	$	159,634,904
Shares outstanding – Institutional Class		20,671,571
Net asset value per share – Institutional Class		$7.72
Investments in unaffiliated securities (including securities on loan), at cost	$	510,428,168
Investments in affiliated securities, at cost	$	35,277,247
Total investments, at cost	$	545,705,415
Securities on loan, at value	$	32,576,654

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

Statement of operations—six months ended March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 13

Investment income
Dividends*	$	5,708,222
Interest		3,235,573
Securities lending income, net		80,427
Income from affiliated securities		2,131
Total investment income		9,026,353
Expenses
Advisory fee		1,740,407
Administration fees
Fund level		146,886
Class A		506,900
Class B		9,956
Class C		49,070
Administrator Class		1,680
Institutional Class		59,543
Shareholder servicing fees
Class A		487,403
Class B		9,573
Class C		47,183
Administrator Class		3,979
Distribution fees
Class B		28,719
Class C		141,548
Custody and accounting fees		18,469
Professional fees		19,061
Registration fees		38,387
Shareholder report expenses		58,429
Trustees’ fees and expenses		56
Other fees and expenses		9,777
Total expenses		3,377,026
Less: Fee waivers and/or expense reimbursements		(5,532	)
Net expenses		3,371,494
Net investment income		5,654,859
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		22,060,675
Net change in unrealized gains (losses) on investments		45,914,647
Net realized and unrealized gains (losses) on investments		67,975,322
Net increase in net assets resulting from operations	$	73,630,181
* Net of foreign dividend withholding taxes in the amount of		$118,170

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Diversified Capital Builder Fund Statement of changes in net assets

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income				$	5,654,859					$	12,792,095
Net realized gains on investments					22,060,675						1,847,313
Net change in unrealized gains (losses) on investments					45,914,647						107,273,060
Net increase in net assets resulting from operations					73,630,181						121,912,468
Distributions to shareholders from
Net investment income
Class A					(3,986,682	)					(9,155,364	)
Class B					(47,323	)					(140,588	)
Class C					(242,229	)					(616,162	)
Administrator Class					(39,941	)					(85,183	)
Institutional Class					(1,864,540	)					(2,481,022	)
Total distributions to shareholders					(6,180,715	)					(12,478,319	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		508,448			3,703,222			967,861			6,341,488
Class B		9,067			66,477			13,355			90,803
Class C		83,732			623,718			158,646			1,044,354
Administrator Class		188,961			1,357,515			223,692			1,482,830
Institutional Class		2,933,100			20,781,426			10,767,646			70,503,856
					26,532,358						79,463,331
Reinvestment of distributions
Class A		512,925			3,695,234			1,280,204			8,389,533
Class B		5,932			42,492			18,911			124,285
Class C		30,652			218,862			83,490			546,693
Administrator Class		4,122			29,885			8,942			58,365
Institutional Class		247,528			1,778,494			335,071			2,210,363
					5,764,967						11,329,239
Payment for shares redeemed
Class A		(4,158,383	)		(29,640,247	)		(10,372,192	)		(68,163,755	)
Class B		(195,320	)		(1,415,251	)		(696,145	)		(4,582,544	)
Class C		(504,341	)		(3,595,456	)		(1,027,752	)		(6,766,469	)
Administrator Class		(87,774	)		(617,076	)		(440,178	)		(2,856,064	)
Institutional Class		(3,130,657	)		(22,507,927	)		(3,140,837	)		(20,912,953	)
					(57,775,957	)					(103,281,785	)
Net decrease in net assets resulting from capital share transactions					(25,478,632	)					(12,489,215	)
Total increase in net assets					41,970,834						96,944,934
Net assets
Beginning of period					582,330,145						485,385,211
End of period				$	624,300,979					$	582,330,145
Undistributed (overdistributed) net investment income				$	(45,949	)				$	479,907

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Diversified Capital Builder Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended March 31
CLASS A				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period	$	6.93		$	5.65		$	6.02		$	6.02		$	4.18		$	8.28		$	9.35
Net investment income		0.06			0.15			0.10			0.07			0.05			0.11			0.18
Net realized and unrealized gains (losses) on investments		0.84			1.29			(0.36	)		0.00			1.85			(3.33	)		(0.44	)
Total from investment operations		0.90			1.44			(0.26	)		0.07			1.90			(3.22	)		(0.26	)
Distributions to shareholders from
Net investment income		(0.07	)		(0.16	)		(0.11	)		(0.07	)		(0.06	)		(0.13	)		(0.18	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.75	)		(0.63	)
Total distributions to shareholders		(0.07	)		(0.16	)		(0.11	)		(0.07	)		(0.06	)		(0.88	)		(0.81	)
Net asset value, end of period	$	7.76		$	6.93		$	5.65		$	6.02		$	6.02		$	4.18		$	8.28
Total return3		13.13	%		25.58	%		(4.53	)%		1.21	%		45.51	%		(38.57	)%		(3.45	)%
Ratios to average net assets (annualized)
Gross expenses		1.20	%		1.21	%		1.21	%		1.17	%		1.14	%		1.06	%		1.03	%
Net expenses		1.20	%		1.20	%		1.20	%		1.15	%		1.14	%		1.04	%		0.96	%
Net investment income		1.88	%		2.40	%		1.57	%		2.47	%		1.07	%		1.74	%		1.96	%
Supplemental data
Portfolio turnover rate		37	%		79	%		56	%		31	%		63	%		60	%		91	%
Net assets, end of period (000s omitted)		$413,019			$390,705			$364,533			$435,454			$467,224			$366,237			$741,701

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Capital Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class A of Evergreen Diversified Capital Builder Fund.

2. For the six months ended September 30, 2010. The Fund changed its fiscal year end from March 31 to September 30, effective September 30, 2010.

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Diversified Capital Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended March 31
CLASS B				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period	$	6.98		$	5.69		$	6.05		$	6.05		$	4.19		$	8.29		$	9.35
Net investment income		0.04	3		0.11	3		0.06	3		0.05	3		0.02	3		0.06	3		0.12	3
Net realized and unrealized gains (losses) on investments		0.84			1.28			(0.37	)		0.00			1.86			(3.33	)		(0.45	)
Total from investment operations		0.88			1.39			(0.31	)		0.05			1.88			(3.27	)		(0.33	)
Distributions to shareholders from
Net investment income		(0.05	)		(0.10	)		(0.05	)		(0.05	)		(0.02	)		(0.08	)		(0.10	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.75	)		(0.63	)
Total distributions to shareholders		(0.05	)		(0.10	)		(0.05	)		(0.05	)		(0.02	)		(0.83	)		(0.73	)
Net asset value, end of period	$	7.81		$	6.98		$	5.69		$	6.05		$	6.05		$	4.19		$	8.29
Total return4		12.60	%		24.62	%		(5.20	)%		0.83	%		45.17	%		(39.13	)%		(4.09	)%
Ratios to average net assets (annualized)
Gross expenses		1.95	%		1.96	%		1.96	%		1.92	%		1.89	%		1.80	%		1.73	%
Net expenses		1.95	%		1.95	%		1.95	%		1.89	%		1.89	%		1.78	%		1.69	%
Net investment income		1.14	%		1.65	%		0.81	%		1.72	%		0.34	%		0.96	%		1.25	%
Supplemental data
Portfolio turnover rate		37	%		79	%		56	%		31	%		63	%		60	%		91	%
Net assets, end of period (000s omitted)		$7,634			$8,077			$10,360			$16,329			$17,992			$18,115			$52,814

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Capital Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class B of Evergreen Diversified Capital Builder Fund.

2. For the six months ended September 30, 2010. The Fund changed its fiscal year end from March 31 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Diversified Capital Builder Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended March 31
CLASS C				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period	$	6.94		$	5.66		$	6.02		$	6.03		$	4.18		$	8.29		$	9.35
Net investment income		0.04			0.10			0.05			0.05			0.02			0.06			0.11
Net realized and unrealized gains (losses) on investments		0.84			1.29			(0.35	)		(0.01	)		1.85			(3.34	)		(0.43	)
Total from investment operations		0.88			1.39			(0.30	)		0.04			1.87			(3.28	)		(0.32	)
Distributions to shareholders from
Net investment income		(0.05	)		(0.11	)		(0.06	)		(0.05	)		(0.02	)		(0.08	)		(0.11	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.75	)		(0.63	)
Total distributions to shareholders		(0.05	)		(0.11	)		(0.06	)		(0.05	)		(0.02	)		(0.83	)		(0.74	)
Net asset value, end of period	$	7.77		$	6.94		$	5.66		$	6.02		$	6.03		$	4.18		$	8.29
Total return3		12.69	%		24.63	%		(5.14	)%		0.67	%		44.70	%		(39.13	)%		(4.03	)%
Ratios to average net assets (annualized)
Gross expenses		1.95	%		1.96	%		1.96	%		1.92	%		1.88	%		1.82	%		1.73	%
Net expenses		1.95	%		1.95	%		1.95	%		1.90	%		1.88	%		1.80	%		1.69	%
Net investment income		1.13	%		1.65	%		0.79	%		1.72	%		0.32	%		1.01	%		1.22	%
Supplemental data
Portfolio turnover rate		37	%		79	%		56	%		31	%		63	%		60	%		91	%
Net assets, end of period (000s omitted)		$39,821			$38,279			$35,665			$40,197			$43,558			$33,077			$61,029

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Capital Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class C of Evergreen Diversified Capital Builder Fund.

2. For the six months ended September 30, 2010. The Fund changed its fiscal year end from March 31 to September 30, effective September 30, 2010.

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Diversified Capital Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
ADMINISTRATOR CLASS				2012			2011			20101
Net asset value, beginning of period	$	6.94		$	5.66		$	5.99		$	5.79
Net investment income		0.08	2		0.17	2		0.13	2		0.02	2
Net realized and unrealized gains (losses) on investments		0.83			1.28			(0.37	)		0.22
Total from investment operations		0.91			1.45			(0.24	)		0.24
Distributions to shareholders from
Net investment income		(0.08	)		(0.17	)		(0.09	)		(0.04	)
Net asset value, end of period	$	7.77		$	6.94		$	5.66		$	5.99
Total return3		13.26	%		25.84	%		(4.25	)%		4.08	%
Ratios to average net assets (annualized)
Gross expenses		1.03	%		1.03	%		1.04	%		1.14	%
Net expenses		0.95	%		0.95	%		0.95	%		0.99	%
Net investment income		2.10	%		2.65	%		1.86	%		2.26	%
Supplemental data
Portfolio turnover rate		37	%		79	%		56	%		31	%
Net assets, end of period (000s omitted)		$4,193			$3,015			$3,632			$10

1. For the period from July 30, 2010 (commencement of class operations) to September 30, 2010

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Diversified Capital Builder Fund 19

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended March 31
INSTITUTIONAL CLASS				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period	$	6.90		$	5.62		$	5.99		$	5.99		$	4.16		$	8.25		$	9.31
Net investment income		0.08			0.18	3		0.14	3		0.08			0.06			0.13			0.20
Net realized and unrealized gains (losses) on investments		0.83			1.28			(0.37	)		0.00			1.84			(3.32	)		(0.43	)
Total from investment operations		0.91			1.46			(0.23	)		0.08			1.90			(3.19	)		(0.23	)
Distributions to shareholders from
Net investment income		(0.09	)		(0.18	)		(0.14	)		(0.08	)		(0.07	)		(0.15	)		(0.20	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.75	)		(0.63	)
Total distributions to shareholders		(0.09	)		(0.18	)		(0.14	)		(0.08	)		(0.07	)		(0.90	)		(0.83	)
Net asset value, end of period	$	7.72		$	6.90		$	5.62		$	5.99		$	5.99		$	4.16		$	8.25
Total return4		13.27	%		26.23	%		(4.08	)%		1.32	%		45.84	%		(38.43	)%		(3.08	)%
Ratios to average net assets (annualized)
Gross expenses		0.77	%		0.78	%		0.78	%		0.85	%		0.89	%		0.81	%		0.73	%
Net expenses		0.77	%		0.78	%		0.77	%		0.83	%		0.89	%		0.79	%		0.69	%
Net investment income		2.29	%		2.80	%		1.99	%		2.81	%		1.32	%		1.99	%		2.22	%
Supplemental data
Portfolio turnover rate		37	%		79	%		56	%		31	%		63	%		60	%		91	%
Net assets, end of period (000s omitted)		$159,635			$142,256			$71,195			$86,592			$104,142			$84,042			$168,764

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Capital Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class I of Evergreen Diversified Capital Builder Fund.

2. For the six months ended September 30, 2010. The Fund changed its fiscal year end from March 31 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

20 Wells Fargo Advantage Diversified Capital Builder Fund Notes to financial statements (unaudited)

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Diversified Capital Builder Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Fixed income securities acquired with maturities exceeding 60 days are valued based on evaluated bid prices received from an independent pricing service which may utilize both transaction data and market information such as yield, prices of securities of comparable quality, coupon rate, maturity, type of issue, trading characteristics and other market data. If valuations are not available from the independent pricing service or values received are deemed not representative of market value, values will be obtained from a broker-dealer or otherwise determined based on the Fund’s Valuation Procedures.

Debt securities of sufficient credit quality acquired with maturities of 60 days or less generally are valued at amortized cost which approximates fair value. The amortized cost method involves valuing a security at its cost, plus accretion of discount or minus amortization of premium over the period until maturity.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value

Notes to financial statements (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 21

at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Interest income is accrued daily and bond discounts are accreted and premiums are amortized daily based on the effective interest method. To the extent debt obligations are placed on non-accrual status, any related interest income may be reduced by writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. If the issuer subsequently resumes interest payments or when the collectability of interest is reasonably assured, the debt obligation is removed from non-accrual status.

Dividend income is recognized on the ex-dividend date. Dividend income is recorded net of foreign taxes withheld where recovery of such taxes is not assured.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

As of September 30, 2012, the Fund had pre-enactment capital loss carryforwards incurred in taxable years beginning before December 22, 2010, which are available to offset future net realized capital gains, in the amount of $162,368,038 with $131,417,514 expiring in 2017 and $30,950,524 expiring in 2018.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

22 Wells Fargo Advantage Diversified Capital Builder Fund Notes to financial statements (unaudited)

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable Inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	528,413,533	$	0	$	0	$	528,413,533
Corporate bonds and notes		0		89,738,018		0		89,738,018
Short-term investments
Investment companies		1,997,333		33,279,914		0		35,277,247
	$	530,410,866	$	123,017,932	$	0	$	653,428,798

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.60% and declining to 0.45% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.59% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.35% and declining to 0.20% as the average daily net assets of the Fund increase.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08

Notes to financial statements (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 23

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.20% for Class A shares, 1.95% for Class B shares, 1.95% for Class C shares, 0.95% for Administrator Class Shares and 0.78% for Institutional Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class B and Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B and Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares.

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $6,387 from the sale of Class A shares and $1,053 in contingent deferred sales charges from redemptions of Class B shares.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class B, Class C and Administrator Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $217,871,619 and $247,405,242, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $489 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

24 Wells Fargo Advantage Diversified Capital Builder Fund Other information (unaudited)

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

Other information (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 25

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

26 Wells Fargo Advantage Diversified Capital Builder Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Jeremy DePalma1 (Born 1974)	Treasurer, since 2012	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

1. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available,without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

Other information (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 27

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Diversified Capital Builder Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources and reputation, to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a description of the

28 Wells Fargo Advantage Diversified Capital Builder Fund Other information (unaudited)

methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted that the performance of the Fund (Class A) was higher than or in range of the median performance of the Universe for the one-and three-year periods under review, and lower than the median performance of the Universe for the five- and ten-year periods under review. The Board also noted that the performance of the Fund was lower than its benchmark, the Diversified Capital Builder Blended Index, for all periods under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the Universe for the five- and ten-year periods and the benchmark for all periods under review. Funds Management advised the Board about the market conditions and investment decisions that it believed contributed to the underperformance during that period. The Board was satisfied with the explanation of factors contributing to underperformance and with the steps being taken by Funds Management and the Sub-Adviser to address the Fund’s investment performance.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios of the expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were lower than or in range of the median rate for the Fund’s expense Groups for all classes except the Class A. The Board also viewed favorably the fact that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios of the expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be

Other information (unaudited) Wells Fargo Advantage Diversified Capital Builder Fund 29

necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

30 Wells Fargo Advantage Diversified Capital Builder Fund List of abbreviations

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215917 05-13 SA225/SAR225 3-13

Wells Fargo Advantage

Diversified Income Builder Fund

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	13
Statement of operations	14
Statement of changes in net assets	15
Financial highlights	16
Notes to financial statements	21
Other information	26
List of abbreviations	32

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Diversified Income Builder Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite ongoing uncertainties, investor confidence grew during the period as political and economic concerns lessened.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Diversified Income Builder Fund for the six-month period ended March 31, 2013. The past six months were marked by a modestly growing U.S. economy and expansive monetary policy. This backdrop enabled equity and high-yield asset classes to generate positive returns.

The economy grew, helped by an accommodative monetary policy but hurt by political uncertainty.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. In China, economic growth decelerated from double-digit advances but remained at a stable, positive pace.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns and capital markets generally rose during this time period.

Financial markets advanced.

Despite ongoing uncertainties, investor confidence grew during the period as political and economic concerns lessened. As a result, most equity and high-yield bond asset classes advanced. For example, the S&P 500 Index¹ returned 10.19% for the six-month period ended March 31, 2013, while the Russell 1000® Index² advanced 11.10%. High-yield bonds, as measured by the BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index³, returned 6.11% for the period. On the other hand, highly rated U.S. Treasury bonds had negative results as investors moved from safe-haven U.S. Treasuries to asset classes with higher risk/reward potential.

1. The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value-weighted index with each stock’s weight in the index proportionate to its market value. You cannot invest directly in an index.

2. The Russell 1000^® Index measures the performance of the 1,000 largest companies in the Russell 3000^® Index, which represents approximately 92% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

3. The BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index is an unmanaged market index that provides a broad-based performance measure of the noninvestment grade U.S. domestic bond index. This index was previously named the BofA Merrill Lynch High Yield Master Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats will help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns.

4 Wells Fargo Advantage Diversified Income Builder Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term total return, consisting of current income and capital appreciation.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio manager

Margaret Patel

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (EKSAX)	4-14-1987		6.71		5.88		4.93		13.31		7.12		5.54		1.14		1.08
Class B (EKSBX)*	2-1-1993		7.44		6.04		5.01		12.44		6.36		5.01		1.89		1.83
Class C (EKSCX)	2-1-1993		11.45		6.32		4.77		12.45		6.32		4.77		1.89		1.83
Administrator Class (EKSDX)	7-30-2010		–		–		–		13.49		7.23		5.63		0.98		0.90
Institutional Class (DKSYX)	1-13-1997		–		–		–		13.72		7.44		5.83		0.71		0.71
Diversified Income Builder Blended Index4	–		–		–		–		13.46		10.07		9.71		–		–
BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index5	–		–		–		–		13.05		11.19		9.81		–		–
Russell 1000® Index6	–		–		–		–		14.43		6.15		8.97		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class and Institutional Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Balanced funds may invest in stocks and bonds. Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Bond values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. In general, when interest rates rise, bond values fall and investors may lose principal value. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to foreign investment risk and high-yield securities risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 5

Ten largest holdings7 (%) as of March 31, 2013
NRG Energy Incorporated, 7.88%, 5-15-2021	5.02
Iron Mountain Incorporated, 5.75%, 8-15-2024	4.35
Kraton Polymers LLC, 6.75%, 3-1-2019	4.04
Tronox Finance LLC, 6.38%, 8-15-2020	3.80
Hornbeck Offshore Services Incorporated, 5.88%, 4-1-2020	3.20
Dycom Investments Incorporated, 7.13%, 1-15-2021	2.99
Hertz Corporation, 6.25%, 10-15-2022	2.94
Heckmann Corporation, 9.88%, 4-15-2018	2.75
General Cable Corporation, 5.75%, 10-1-2022	2.67
Valeant Pharmaceuticals International Incorporated, 7.00%, 10-1-2020	2.64

Portfolio allocation⁸ as of March 31, 2013

1. Historical performance shown for the Administrator Class shares prior to their inception reflects the performance of the Institutional Class shares, adjusted to reflect the higher expenses applicable to the Administrator Class shares. Historical performance shown for all classes of the Fund prior to July 12, 2010, is based on the performance of the Fund’s predecessor, Evergreen Diversified Income Builder Fund.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at the amounts shown. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. Source: Wells Fargo Funds Management, LLC. The Diversified Income Builder Blended Index is composed of the following indexes: BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index (75%), and the Russell 1000^® Index (25%). You cannot invest directly in an index.

5. BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index is an unmanaged market index that provides a broad-based performance measure of the non-investment grade U.S. domestic bond index. This index was previously named the BofA Merrill Lynch High Yield Master Index. You cannot invest directly in an index.

6. The Russell 1000^® Index measures the performance of the 1,000 largest companies in the Russell 3000^® Index, which represents approximately 92% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

7. The ten largest holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

8. Portfolio allocation is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage Diversified Income Builder Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid��during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,073.24	$	5.58		1.08	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.55	$	5.44		1.08	%
Class B
Actual	$	1,000.00	$	1,069.09	$	9.44		1.83	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.81	$	9.20		1.83	%
Class C
Actual	$	1,000.00	$	1,069.17	$	9.44		1.83	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.81	$	9.20		1.83	%
Administrator Class
Actual	$	1,000.00	$	1,073.44	$	4.65		0.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.44	$	4.53		0.90	%
Institutional Class
Actual	$	1,000.00	$	1,076.39	$	3.57		0.69	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.49	$	3.48		0.69	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 7

Security name	Shares		Value
Common Stocks: 28.56%
Consumer Discretionary: 1.22%
Auto Components: 0.32%
Johnson Controls Incorporated		35,000	$	1,227,450
Distributors: 0.90%
Genuine Parts Company «		45,000		3,510,000
Consumer Staples: 2.11%
Food & Staples Retailing: 0.07%
CVS Caremark Corporation		5,000		274,950
Food Products: 0.38%
JM Smucker Company		15,000		1,487,400
Household Products: 1.21%
Church & Dwight Company Incorporated «		35,000		2,262,050
Kimberly-Clark Corporation «		25,000		2,449,500
				4,711,550
Personal Products: 0.45%
Estee Lauder Companies Incorporated Class A		27,000		1,728,810
Energy: 6.46%
Energy Equipment & Services: 0.68%
Dresser-Rand Group Incorporated †		25,000		1,541,500
FMC Technologies Incorporated †		20,000		1,087,800
				2,629,300
Oil, Gas & Consumable Fuels: 5.78%
ConocoPhillips Company		80,000		4,808,000
EOG Resources Incorporated		11,000		1,408,770
EQT Corporation		8,000		542,000
Kinder Morgan Incorporated		100,000		3,868,000
PAA Natural Gas Storage LP		40,000		855,600
Phillips 66		65,000		4,548,050
Plains All American Pipeline LP		10,000		564,800
Range Resources Corporation «		5,000		405,200
The Williams Companies Incorporated		145,000		5,431,700
				22,432,120
Financials: 8.64%
Commercial Banks: 1.16%
PNC Financial Services Group Incorporated		50,000		3,325,000
US Bancorp		35,000		1,187,550
				4,512,550

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Diversified Income Builder Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
REITs: 7.48%
American Tower Corporation		115,000	$	8,845,800
HCP Incorporated		75,000		3,739,500
Health Care REIT Incorporated		145,000		9,846,950
Plum Creek Timber Company «		105,000		5,481,000
Ventas Incorporated		15,000		1,098,000
				29,011,250
Health Care: 2.58%
Biotechnology: 0.15%
Celgene Corporation †		5,000		579,550
Health Care Equipment & Supplies: 0.13%
CareFusion Corporation †		15,000		524,850
Pharmaceuticals: 2.30%
Actavis Incorporated †		6,000		552,660
Allergan Incorporated		30,000		3,348,900
Bristol-Myers Squibb Company		40,000		1,647,600
Eli Lilly & Company		30,000		1,703,700
Forest Laboratories Incorporated †		15,000		570,600
Merck & Company Incorporated		20,000		884,600
Warner Chilcott Limited		15,000		203,250
				8,911,310
Industrials: 3.11%
Building Products: 0.33%
Lennox International Incorporated		20,000		1,269,800
Electrical Equipment: 0.88%
Eaton Corporation plc		10,000		612,530
Roper Industries Incorporated		22,000		2,800,820
				3,413,350
Machinery: 1.33%
Donaldson Company Incorporated		26,000		940,940
Flowserve Corporation		8,000		1,341,680
IDEX Corporation		10,000		534,200
Pall Corporation		30,000		2,051,096
Parker Hannifin Corporation		3,000		274,740
				5,142,656
Road & Rail: 0.57%
Hertz Global Holdings Incorporated Ǡ		100,000		2,226,000
Information Technology: 1.00%
Electronic Equipment, Instruments & Components: 0.83%
FEI Company «		50,000		3,227,500

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 9

Security name						Shares		Value
IT Services: 0.17%
Automatic Data Processing Incorporated							10,000	$	650,200
Materials: 1.92%
Chemicals: 1.92%
FMC Corporation							20,000		1,140,600
LyondellBasell Industries NV Class A							73,000		4,620,170
Valspar Corporation							27,000		1,680,750
									7,441,520
Telecommunication Services: 0.36%
Wireless Telecommunication Services: 0.36%
Crown Castle International Corporation †							20,000		1,392,800
Utilities: 1.16%
Gas Utilities: 1.16%
National Fuel Gas Company							50,000		3,067,500
ONEOK Incorporated							30,000		1,430,100
									4,497,600
Total Common Stocks (Cost $92,381,722)									110,802,516
	Interest rate			Maturity date		Principal
Corporate Bonds and Notes: 67.69%
Consumer Discretionary: 3.13%
Auto Components: 0.50%
Lear Corporation 144A		4.75	%		1-15-2023	$	2,000,000		1,950,000
Media: 0.61%
DISH DBS Corporation 144A		5.00			3-15-2023		2,410,000		2,370,838
Specialty Retail: 2.02%
Penske Automotive Group Incorporated 144A		5.75			10-1-2022		7,511,000		7,830,218
Consumer Staples: 0.56%
Food Products: 0.56%
Post Holdings Incorporated		7.38			2-15-2022		2,000,000		2,187,500
Energy: 13.87%
Energy Equipment & Services: 7.89%
Atwood Oceanics Incorporated		6.50			2-1-2020		1,500,000		1,631,250
Bristow Group Incorporated		6.25			10-15-2022		2,000,000		2,160,000
Dresser-Rand Group Incorporated		6.50			5-1-2021		3,485,000		3,720,238
Heckmann Corporation		9.88			4-15-2018		10,000,000		10,687,500
Hornbeck Offshore Services Incorporated		5.88			4-1-2020		12,000,000		12,420,000
									30,618,988

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Diversified Income Builder Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Interest rate			Maturity date		Principal		Value
Oil, Gas & Consumable Fuels: 5.98%
Atlas Pipeline Partners LP 144A		5.88	%		8-1-2023	$	6,250,000	$	6,218,750
CONSOL Energy Incorporated		8.25			4-1-2020		6,175,000		6,838,813
Denbury Resources Incorporated		4.63			7-15-2023		3,000,000		2,895,000
Range Resources Corporation 144A		5.00			3-15-2023		2,000,000		2,045,000
Sabine Pass Liquefaction LLC 144A		5.63			2-1-2021		5,000,000		5,187,500
									23,185,063
Health Care: 10.42%
Health Care Equipment & Supplies: 2.25%
Fresenius Medical Care Holdings Incorporated 144A		5.63			7-31-2019		1,000,000		1,097,500
Fresenius Medical Care Holdings Incorporated 144A		5.88			1-31-2022		3,000,000		3,348,750
Hologic Incorporated		6.25			8-1-2020		4,000,000		4,255,000
									8,701,250
Pharmaceuticals: 8.17%
Endo Pharmaceuticals Holdings Incorporated		7.00			12-15-2020		7,440,000		7,942,200
Valeant Pharmaceuticals International Incorporated 144A		7.00			10-1-2020		9,500,000		10,236,250
Valeant Pharmaceuticals International Incorporated 144A		7.25			7-15-2022		9,000,000		9,787,500
Warner Chilcott Company LLC		7.75			9-15-2018		3,500,000		3,740,625
									31,706,575
Industrials: 16.84%
Aerospace & Defense: 0.55%
Alliant Techsystems Incorporated		6.88			9-15-2020		1,981,000		2,134,528
Commercial Services & Supplies: 4.87%
Clean Harbors Incorporated 144A		5.13			6-1-2021		2,000,000		2,047,500
Iron Mountain Incorporated		5.75			8-15-2024		16,880,000		16,858,900
									18,906,400
Construction & Engineering: 2.99%
Dycom Investments Incorporated		7.13			1-15-2021		10,845,000		11,604,150
Electrical Equipment: 3.59%
Belden Incorporated 144A		5.50			9-1-2022		3,500,000		3,587,500
General Cable Corporation 144A		5.75			10-1-2022		10,150,000		10,353,000
									13,940,500
Machinery: 1.90%
Actuant Corporation		5.63			6-15-2022		1,165,000		1,208,688
Oshkosh Corporation		8.50			3-1-2020		5,500,000		6,160,000
									7,368,688
Road & Rail: 2.94%
Hertz Corporation		6.25			10-15-2022		10,500,000		11,392,500

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 11

Security name	Interest rate			Maturity date		Principal		Value
Information Technology: 1.32%
IT Services: 1.32%
Neustar Incorporated 144A		4.50	%		1-15-2023	$	5,350,000	$	5,109,250
Materials: 13.21%
Chemicals: 8.99%
Huntsman International LLC 144A		4.88			11-15-2020		1,100,000		1,108,250
Kraton Polymers LLC		6.75			3-1-2019		15,000,000		15,675,000
Olin Corporation		5.50			8-15-2022		3,250,000		3,359,688
Tronox Finance LLC «144A		6.38			8-15-2020		15,200,000		14,744,000
									34,886,938
Containers & Packaging: 3.20%
Ball Corporation		5.00			3-15-2022		1,400,000		1,456,000
Greif Incorporated		7.75			8-1-2019		2,778,000		3,236,370
Sealed Air Corporation 144A		5.25			4-1-2023		2,150,000		2,158,063
Sealed Air Corporation 144A		6.50			12-1-2020		3,000,000		3,285,000
Sealed Air Corporation 144A		8.38			9-15-2021		2,000,000		2,290,000
									12,425,433
Metals & Mining: 1.02%
United States Steel Corporation «		7.38			4-1-2020		3,770,000		3,949,075
Telecommunication Services: 1.93%
Wireless Telecommunication Services: 1.93%
SBA Communications Corporation 144A		5.63			10-1-2019		3,300,000		3,394,875
SBA Telecommunications Incorporated		8.25			8-15-2019		1,836,000		2,024,190
SBA Telecommunications Incorporated 144A		5.75			7-15-2020		2,000,000		2,080,000
									7,499,065
Utilities: 6.41%
Independent Power Producers & Energy Traders: 6.41%
AES Corporation		8.00			6-1-2020		4,550,000		5,391,750
NRG Energy Incorporated		7.88			5-15-2021		17,500,000		19,468,750
									24,860,500
Total Corporate Bonds and Notes (Cost $252,265,265)									262,627,459
Yankee Corporate Bonds and Notes: 2.04%
Energy: 0.83%
Energy Equipment & Services: 0.83%
Precision Drilling Corporation		6.63			11-15-2020		3,000,000		3,202,500
Materials: 1.21%
Chemicals: 1.21%
LyondellBasell Industries NV «		5.75			4-15-2024		4,000,000		4,690,000
Total Yankee Corporate Bonds and Notes (Cost $6,990,581)									7,892,500

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Diversified Income Builder Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Yield			Shares		Value
Short-Term Investments: 6.99%
Investment Companies: 6.99%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (l)(u)		0.13	%		5,169,308	$	5,169,308
Wells Fargo Securities Lending Cash Investments, LLC (l)(u)(r)(v)		0.18			21,953,687		21,953,687
Total Short-Term Investments (Cost $27,122,995)							27,122,995

Total investments in securities (Cost $378,760,563) *	105.28	%		408,445,470
Other assets and liabilities, net	(5.28	)		(20,466,090	)
Total net assets	100.00	%	$	387,979,380

« All or a portion of this security is on loan.

† Non-income-earning security

144A Security that may be resold to “qualified institutional buyers” under Rule 144A or security offered pursuant to Section 4(2) of the Securities Act of 1933, as amended.

(l) Investment in an affiliate

(u) Rate shown is the 7-day annualized yield at period end.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

(v) Security represents investment of cash collateral received from securities on loan.

* Cost for federal income tax purposes is $379,009,871 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	31,104,318
Gross unrealized depreciation		(1,668,719	)
Net unrealized appreciation	$	29,435,599

The accompanying notes are an integral part of these financial statements.

Statement of assets and liabilities—March 31, 2013 (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 13

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	381,322,475
In affiliated securities, at value (see cost below)		27,122,995
Total investments, at value (see cost below)		408,445,470
Receivable for investments sold		2,072,167
Receivable for Fund shares sold		657,213
Receivable for dividends and interest		4,997,940
Receivable for securities lending income		3,026
Prepaid expenses and other assets		45,051
Total assets		416,220,867
Liabilities
Dividends payable		176,466
Payable for investments purchased		4,691,459
Payable for Fund shares redeemed		966,270
Payable upon receipt of securities loaned		21,953,687
Advisory fee payable		152,999
Distribution fees payable		80,669
Due to other related parties		87,126
Accrued expenses and other liabilities		132,811
Total liabilities		28,241,487
Total net assets	$	387,979,380
NET ASSETS CONSIST OF
Paid-in capital	$	359,493,971
Overdistributed net investment income		(7,534	)
Accumulated net realized losses on investments		(1,191,964	)
Net unrealized gains on investments		29,684,907
Total net assets	$	387,979,380
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	160,353,664
Shares outstanding – Class A		25,424,639
Net asset value per share – Class A		$6.31
Maximum offering price per share – Class A2		$6.69
Net assets – Class B	$	5,782,429
Shares outstanding – Class B		913,435
Net asset value per share – Class B		$6.33
Net assets – Class C	$	121,738,416
Shares outstanding – Class C		19,265,967
Net asset value per share – Class C		$6.32
Net assets – Administrator Class	$	43,303,312
Shares outstanding – Administrator Class		6,992,745
Net asset value per share – Administrator Class		$6.19
Net assets – Institutional Class	$	56,801,559
Shares outstanding – Institutional Class		9,182,225
Net asset value per share – Institutional Class		$6.19
Investments in unaffiliated securities (including securities on loan), at cost	$	351,637,568
Investments in affiliated securities, at cost	$	27,122,995
Total investments, at cost	$	378,760,563
Securities on loan, at value	$	21,492,102

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Diversified Income Builder Fund Statement of operations—six months ended March 31, 2013 (unaudited)

Investment income
Interest	$	8,443,467
Dividends*		1,313,897
Securities lending income, net		40,595
Income from affiliated securities		3,832
Total investment income		9,801,791
Expenses
Advisory fee		928,568
Administration fees
Fund level		92,857
Class A		195,931
Class B		7,833
Class C		152,217
Administrator Class		20,271
Institutional Class		22,822
Shareholder servicing fees
Class A		188,395
Class B		7,532
Class C		146,363
Administrator Class		48,976
Distribution fees
Class B		22,597
Class C		439,088
Custody and accounting fees		12,737
Professional fees		22,488
Registration fees		28,525
Shareholder report expenses		33,721
Trustees’ fees and expenses		5,728
Other fees and expenses		7,462
Total expenses		2,384,111
Less: Fee waivers and/or expense reimbursements		(64,496	)
Net expenses		2,319,615
Net investment income		7,482,176
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		11,255,021
Net change in unrealized gains (losses) on investments		7,302,181
Net realized and unrealized gains (losses) on investments		18,557,202
Net increase in net assets resulting from operations	$	26,039,378
*Net of foreign dividend withholding taxes in the amount of		$37,455

The accompanying notes are an integral part of these financial statements.

Statement of changes in net assets Wells Fargo Advantage Diversified Income Builder Fund 15

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income				$	7,482,176					$	17,097,543
Net realized gains on investments					11,255,021						3,048,913
Net change in unrealized gains (losses) on investments					7,302,181						44,168,787
Net increase in net assets resulting from operations					26,039,378						64,315,243
Distributions to shareholders from
Net investment income
Class A					(3,086,906	)					(6,999,759	)
Class B					(100,766	)					(305,655	)
Class C					(1,959,544	)					(4,671,240	)
Administrator Class					(868,408	)					(2,095,742	)
Institutional Class					(1,280,238	)					(3,227,498	)
Total distributions to shareholders					(7,295,862	)					(17,299,894	)
		Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		3,761,344			23,140,106			4,241,303			24,247,397
Class B		60,903			373,436			196,898			1,139,265
Class C		1,771,292			10,893,180			3,667,427			21,047,481
Administrator Class		2,258,232			13,535,409			5,544,055			31,385,314
Institutional Class		207,753			1,251,919			754,146			4,235,129
					49,194,050						82,054,586
Reinvestment of distributions
Class A		444,092			2,731,453			1,012,977			5,831,437
Class B		14,088			86,864			40,365			232,947
Class C		246,260			1,517,197			576,008			3,323,591
Administrator Class		115,028			694,999			133,593			759,440
Institutional Class		209,929			1,265,683			565,388			3,188,701
					6,296,196						13,336,116
Payment for shares redeemed
Class A		(2,979,193	)		(18,276,269	)		(6,605,930	)		(37,693,570	)
Class B		(232,596	)		(1,428,481	)		(676,589	)		(3,865,738	)
Class C		(1,869,478	)		(11,483,139	)		(4,325,239	)		(24,883,423	)
Administrator Class		(1,446,606	)		(8,734,386	)		(6,422,019	)		(36,846,758	)
Institutional Class		(1,268,917	)		(7,590,806	)		(3,120,151	)		(17,493,988	)
					(47,513,081	)					(120,783,477	)
Net increase (decrease) in net assets resulting from capital share transactions					7,977,165						(25,392,775	)
Total increase in net assets					26,720,681						21,622,574
Net assets
Beginning of period					361,258,699						339,636,125
End of period				$	387,979,380					$	361,258,699
Overdistributed net investment income				$	(7,534	)				$	(193,848	)

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Diversified Income Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended April 30
CLASS A				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period		$6.00			$5.26			$5.57			$5.46			$4.58			$6.06			$6.40
Net investment income		0.13			0.28			0.28			0.13			0.25			0.26			0.27	3
Net realized and unrealized gains (losses) on investments		0.31			0.74			(0.27	)		0.11			0.87			(1.45	)		(0.35	)
Total from investment operations		0.44			1.02			0.01			0.24			1.12			(1.19	)		(0.08	)
Distributions to shareholders from
Net investment income		(0.13	)		(0.28	)		(0.32	)		(0.13	)		(0.24	)		(0.26	)		(0.26	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.03	)		0.00
Total distributions to shareholders		(0.13	)		(0.28	)		(0.32	)		(0.13	)		(0.24	)		(0.29	)		(0.26	)
Net asset value, end of period		$6.31			$6.00			$5.26			$5.57			$5.46			$4.58			$6.06
Total return4		7.32	%		19.86	%		(0.28	)%		4.42	%		24.93	%		(19.64	)%		(1.26	)%
Ratios to average net assets (annualized)
Gross expenses		1.12	%		1.14	%		1.13	%		1.10	%		1.07	%		1.07	%		1.16	%
Net expenses		1.08	%		1.08	%		1.08	%		1.05	%		1.07	%		1.07	%		1.11	%
Net investment income		4.20	%		4.93	%		4.86	%		5.74	%		4.96	%		5.15	%		4.41	%
Supplemental data
Portfolio turnover rate		37	%		72	%		65	%		21	%		55	%		57	%		125	%
Net assets, end of period (000s omitted)	$	160,354		$	145,156		$	134,340		$	154,005		$	146,340		$	108,773		$	145,924

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Income Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class A of Evergreen Diversified Income Builder Fund.

2. For the five months ended September 30, 2010. The Fund changed its fiscal year end from April 30 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Diversified Income Builder Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended April 30
CLASS B				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period		$6.02			$5.28			$5.59			$5.48			$4.60			$6.08			$6.42
Net investment income		0.11	3		0.24	3		0.24	3		0.11	3		0.21	3		0.22	3		0.23	3
Net realized and unrealized gains (losses) on investments		0.30			0.74			(0.27	)		0.11			0.87			(1.45	)		(0.36	)
Total from investment operations		0.41			0.98			(0.03	)		0.22			1.08			(1.23	)		(0.13	)
Distributions to shareholders from
Net investment income		(0.10	)		(0.24	)		(0.28	)		(0.11	)		(0.20	)		(0.22	)		(0.21	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.03	)		0.00
Total distributions to shareholders		(0.10	)		(0.24	)		(0.28	)		(0.11	)		(0.20	)		(0.25	)		(0.21	)
Net asset value, end of period		$6.33			$6.02			$5.28			$5.59			$5.48			$4.60			$6.08
Total return4		6.91	%		18.92	%		(1.01	)%		4.09	%		23.65	%		(19.99	)%		(1.97	)%
Ratios to average net assets (annualized)
Gross expenses		1.87	%		1.88	%		1.88	%		1.85	%		1.82	%		1.81	%		1.86	%
Net expenses		1.83	%		1.83	%		1.83	%		1.80	%		1.82	%		1.81	%		1.86	%
Net investment income		3.46	%		4.21	%		4.11	%		5.01	%		4.18	%		4.33	%		3.68	%
Supplemental data
Portfolio turnover rate		37	%		72	%		65	%		21	%		55	%		57	%		125	%
Net assets, end of period (000s omitted)	$	5,782		$	6,449		$	7,971		$	16,089		$	17,379		$	19,309		$	37,459

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Income Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class B of Evergreen Diversified Income Builder Fund.

2. For the five months ended September 30, 2010. The Fund changed its fiscal year end from April 30 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Diversified Income Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended April 30
CLASS C				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period	$	6.01		$	5.27		$	5.58		$	5.47		$	4.60		$	6.07		$	6.41
Net investment income		0.11	3		0.24			0.24			0.11			0.22			0.22	3		0.22	3
Net realized and unrealized gains (losses) on investments		0.30			0.74			(0.27	)		0.11			0.85			(1.44	)		(0.35	)
Total from investment operations		0.41			0.98			(0.03	)		0.22			1.07			(1.22	)		(0.13	)
Distributions to shareholders from
Net investment income		(0.10	)		(0.24	)		(0.28	)		(0.11	)		(0.20	)		(0.22	)		(0.21	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.03	)		0.00
Total distributions to shareholders		(0.10	)		(0.24	)		(0.28	)		(0.11	)		(0.20	)		(0.25	)		(0.21	)
Net asset value, end of period	$	6.32		$	6.01		$	5.27		$	5.58		$	5.47		$	4.60		$	6.07
Total return4		6.92	%		18.94	%		(1.02	)%		4.09	%		23.69	%		(20.03	)%		(1.98	)%
Ratios to average net assets (annualized)
Gross expenses		1.87	%		1.89	%		1.88	%		1.85	%		1.82	%		1.82	%		1.85	%
Net expenses		1.83	%		1.83	%		1.83	%		1.80	%		1.82	%		1.82	%		1.85	%
Net investment income		3.45	%		4.18	%		4.12	%		5.01	%		4.22	%		4.41	%		3.63	%
Supplemental data
Portfolio turnover rate		37	%		72	%		65	%		21	%		55	%		57	%		125	%
Net assets, end of period (000s omitted)		$121,738			$114,896			$101,140			$93,159			$93,423			$57,096			$61,229

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Income Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class C of Evergreen Diversified Income Builder Fund.

2. For the five months ended September 30, 2010. The Fund changed its fiscal year end from April 30 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Diversified Income Builder Fund 19

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
ADMINISTRATOR CLASS				2012			2011			20101
Net asset value, beginning of period	$	5.89		$	5.16		$	5.46		$	5.33
Net investment income		0.13	2		0.28			0.29	2		0.06	2
Net realized and unrealized gains (losses) on investments		0.30			0.74			(0.26	)		0.12
Total from investment operations		0.43			1.02			0.03			0.18
Distributions to shareholders from
Net investment income		(0.13	)		(0.29	)		(0.33	)		(0.05	)
Net asset value, end of period	$	6.19		$	5.89		$	5.16		$	5.46
Total return3		7.34	%		20.15	%		0.00	%		3.42	%
Ratios to average net assets (annualized)
Gross expenses		0.95	%		0.97	%		0.89	%		1.02	%
Net expenses		0.90	%		0.90	%		0.87	%		0.90	%
Net investment income		4.37	%		5.10	%		5.09	%		5.80	%
Supplemental data
Portfolio turnover rate		37	%		72	%		65	%		21	%
Net assets, end of period (000s omitted)		$43,303			$35,727			$35,157			$10

1. For the period from July 30, 2010 (commencement of class operations) to September 30, 2010

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

20 Wells Fargo Advantage Diversified Income Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended April 30
INSTITUTIONAL CLASS				2012			2011			20101,2			20101			20091			20081
Net asset value, beginning of period		$5.88			$5.16			$5.46			$5.36			$4.48			$5.96			$6.30
Net investment income		0.14	3		0.30	3		0.30			0.14			0.27			0.26			0.28	3
Net realized and unrealized gains (losses) on investments		0.30			0.72			(0.26	)		0.09			0.86			(1.45	)		(0.35	)
Total from investment operations		0.44			1.02			0.04			0.23			1.13			(1.19	)		(0.07	)
Distributions to shareholders from
Net investment income		(0.13	)		(0.30	)		(0.34	)		(0.13	)		(0.25	)		(0.26	)		(0.27	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(0.03	)		0.00
Total distributions to shareholders		(0.13	)		(0.30	)		(0.34	)		(0.13	)		(0.25	)		(0.29	)		(0.27	)
Net asset value, end of period		$6.19			$5.88			$5.16			$5.46			$5.36			$4.48			$5.96
Total return4		7.64	%		20.18	%		0.18	%		4.41	%		25.68	%		(19.85	)%		(1.09	)%
Ratios to average net assets (annualized)
Gross expenses		0.69	%		0.71	%		0.70	%		0.76	%		0.82	%		0.84	%		0.85	%
Net expenses		0.69	%		0.71	%		0.69	%		0.74	%		0.82	%		0.84	%		0.85	%
Net investment income		4.60	%		5.32	%		5.27	%		6.10	%		5.31	%		5.65	%		4.66	%
Supplemental data
Portfolio turnover rate		37	%		72	%		65	%		21	%		55	%		57	%		125	%
Net assets, end of period (000s omitted)	$	56,802		$	59,031		$	61,029		$	84,780		$	195,418		$	58,710		$	24,944

1. After the close of business on July 9, 2010, the Fund acquired the net assets of Evergreen Diversified Income Builder Fund which became the accounting and performance survivor in the transaction. The information for the periods prior to July 12, 2010 is that of Class I of Evergreen Diversified Income Builder Fund.

2. For the five months ended September 30, 2010. The Fund changed its fiscal year end from April 30 to September 30, effective September 30, 2010.

3. Calculated based upon average shares outstanding

4. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Notes to financial statements (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 21

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Diversified Income Builder Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Fixed income securities acquired with maturities exceeding 60 days are valued based on evaluated bid prices received from an independent pricing service which may utilize both transaction data and market information such as yield, prices of securities of comparable quality, coupon rate, maturity, type of issue, trading characteristics and other market data. If valuations are not available from the independent pricing service or values received are deemed not representative of market value, values will be obtained from a broker-dealer or otherwise determined based on the Fund’s Valuation Procedures.

Debt securities of sufficient credit quality acquired with maturities of 60 days or less generally are valued at amortized cost which approximates fair value. The amortized cost method involves valuing a security at its cost, plus accretion of discount or minus amortization of premium over the period until maturity.

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on

22 Wells Fargo Advantage Diversified Income Builder Fund Notes to financial statements (unaudited)

the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Interest income is accrued daily and bond discounts are accreted and premiums are amortized daily based on the effective interest method. To the extent debt obligations are placed on non-accrual status, any related interest income may be reduced by writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. If the issuer subsequently resumes interest payments or when the collectability of interest is reasonably assured, the debt obligation is removed from non-accrual status.

Dividend income is recognized on the ex-dividend date. Dividend income is recorded net of foreign taxes withheld where recovery of such taxes is not assured.

Distributions to shareholders

Distributions to shareholders from net investment income are accrued daily and paid monthly. Distributions from net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

As of September 30, 2012, the Fund had pre-enactment capital loss carryforwards incurred in taxable years beginning before December 22, 2010, which are available to offset future net realized capital gains, in the amount of $12,197,676 expiring in 2017.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized.

Notes to financial statements (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 23

Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	110,802,516	$	0	$	0	$	110,802,516
Corporate bonds and notes		0		262,627,459		0		262,627,459
Yankee corporate bonds and notes		0		7,892,500		0		7,892,500
Short-term investments
Investment companies		5,169,308		21,953,687		0		27,122,995
	$	115,971,824	$	292,473,646	$	0	$	408,445,470

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.50% and declining to 0.40% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.50% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.35% and declining to 0.20% as the average daily net assets of the Fund increase.

24 Wells Fargo Advantage Diversified Income Builder Fund Notes to financial statements (unaudited)

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.08% for Class A shares, 1.83% for Class B shares, 1.83% for Class C shares, 0.90% for Administrator Class shares, and 0.71% for Institutional Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class B and Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B and Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares.

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $30,356 from the sale of Class A shares and $1,492 and $447 in contingent deferred sales charges from redemptions of Class B and Class C shares, respectively.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class B, Class C, and Administrator Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $140,616,718 and $134,549,690, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $398 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

Notes to financial statements (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 25

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

26 Wells Fargo Advantage Diversified Income Builder Fund Other information (unaudited)

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

Other information (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 27

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and

Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525

Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each

Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

28 Wells Fargo Advantage Diversified Income Builder Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Jeremy DePalma1 (Born 1974)	Treasurer, since 2012	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

1. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available,without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

Other information (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 29

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Diversified Income Builder Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources and reputation, to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted

30 Wells Fargo Advantage Diversified Income Builder Fund Other information (unaudited)

that the performance of the Fund (Class A) was higher than or in range of the median performance of the Universe for all periods under review. The Board also noted that the performance of the Fund was lower than its benchmark, the Diversified Income Builder Blended Index, for all periods under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the benchmark for all periods under review. Funds Management advised the Board about the market conditions and investment decisions that it believed contributed to the underperformance during that period. The Board was satisfied with the explanation of the factors contributing to underperformance and with the steps being taken by Funds Management and the Sub-Adviser to address the Fund’s investment performance.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were lower than the median net operating expense ratios of the expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were equal to the median rates for the Fund’s expense Groups for all classes except Class A.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

Other information (unaudited) Wells Fargo Advantage Diversified Income Builder Fund 31

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

32 Wells Fargo Advantage Diversified Income Builder Fund List of abbreviations

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

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For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215918 05-13 SA226/SAR226 3-13

Wells Fargo Advantage Enterprise Fund^SM

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	11
Statement of operations	12
Statement of changes in net assets	13
Financial highlights	14
Notes to financial statements	20
Other information	24
List of abbreviations	30

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund Asset Allocation Fund Diversified Capital Builder Fund Diversified Income Builder Fund Growth Balanced Fund Index Asset Allocation Fund Moderate Balanced Fund WealthBuilder Conservative Allocation Portfolio†	WealthBuilder Equity Portfolio†	Target 2020 Fund†
	WealthBuilder Growth Allocation Portfolio† WealthBuilder Growth Balanced Portfolio†	Target 2025 Fund† Target 2030 Fund†
	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
	Target Today Fund†	Target 2045 Fund†
	Target 2010 Fund†	Target 2050 Fund†
	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Enterprise Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Enterprise Fund for the six-month period ended March 31, 2013. Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets. This backdrop enabled most equity styles to generate positive returns. For the six-month period, the small-cap-oriented Russell 2000® Index¹ returned 14.48%, while the mid-cap-focused Russell Midcap® Index² posted a 16.21% total return.

The U.S. economy improved with the support of an accommodative monetary policy.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program. Just prior to the beginning of the reporting period, the Federal Open Market Committee announced its intention to keep interest rates low until at least mid-2015 in order to support the sluggish economy. The Fed also announced open-ended purchases of $40 billion per month in mortgage-backed securities in an effort to support the housing market.

The global economy continues to be affected by bouts of uncertainty, including political questions in the U.S., Europe, and China.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank (ECB) and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. Furthermore, the ECB maintained its accommodative monetary policy by keeping its key rate at a historic low of 0.75%.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns, and capital markets generally advanced during this time period.

1. The Russell 2000^® Index measures the performance of the 2,000 smallest companies in the Russell 3000^® Index, which represents approximately 8% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

2. The Russell Midcap^® Index measures the performance of the 800 smallest companies in the Russell 1000 Index, which represent approximately 25% of the total market capitalization of the Russell 1000^® Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Enterprise Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

4 Wells Fargo Advantage Enterprise Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Thomas J. Pence, CFA

Michael T. Smith, CFA

Chris Warner, CFA

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (SENAX)	2-24-2000		2.58		5.09		9.72		8.84		6.35		10.37		1.29		1.18
Class B (WENBX)*	8-26-2011		3.03		5.24		10.21		8.03		5.57		10.21		2.04		1.93
Class C (WENCX)	3-31-2008		7.03		5.57		9.60		8.03		5.57		9.60		2.04		1.93
Administrator Class (SEPKX)	8-30-2002		–		–		–		8.89		6.53		10.63		1.13		1.10
Institutional Class (WFEIX)	6-30-2003		–		–		–		9.19		6.80		10.89		0.86		0.85
Investor Class (SENTX)	9-30-1998		–		–		–		8.74		6.26		10.21		1.35		1.24
Russell Midcap® Growth Index4	–		–		–		–		12.76		7.98		11.53		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class, Institutional Class, and Investor Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Smaller-company stocks tend to be more volatile and less liquid than those of larger companies. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to foreign investment risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Enterprise Fund 5

Ten largest equity holdings5 (%) as of March 31, 2013
SBA Communications Corporation Class A	2.83
Discovery Communications Incorporated	2.81
Kansas City Southern Railway Company	2.49
Virgin Media Incorporated	2.18
Airgas Incorporated	2.02
IntercontinentalExchange Incorporated	1.98
CBRE Group Incorporated	1.97
Alliance Data Systems Corporation	1.92
Verisk Analytics Incorporated Class A	1.90
Delphi Automotive plc	1.86

Sector distribution⁶ as of March 31, 2013

1. Historical performance shown for Class B shares prior to their inception reflects the performance of Class C shares. Historical performance shown for Class C shares prior to their inception reflects the performance of the Investor Class shares, adjusted to reflect the higher expenses applicable to Class C shares. Historical performance shown for the Institutional Class shares prior to their inception reflects the performance of the Investor Class shares and includes the higher expenses applicable to the Investor Class shares. If these expenses had not been included, returns would be higher. Effective June 20, 2008, the Advisor Class was renamed Class A and modified to assume the features and attributes of Class A. Historical performance shown for the Class A shares through June 19, 2008, includes Advisor Class expenses.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at the amounts shown. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. The Russell Midcap^® Growth Index measures the performance of those Russell Midcap^® companies with higher price-to-book ratios and higher forecasted growth values. The stocks are also members of the Russell 1000^® Growth index. You cannot invest directly in an index.

5. The ten largest equity holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

6. Sector distribution is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage Enterprise Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on

purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,117.90	$	6.23		1.18	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.05	$	5.94		1.18	%
Class B
Actual	$	1,000.00	$	1,113.54	$	10.17		1.93	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.31	$	9.70		1.93	%
Class C
Actual	$	1,000.00	$	1,113.54	$	10.17		1.93	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.31	$	9.70		1.93	%
Administrator Class
Actual	$	1,000.00	$	1,118.13	$	5.91		1.12	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.35	$	5.64		1.12	%
Institutional Class
Actual	$	1,000.00	$	1,119.61	$	4.49		0.85	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.69	$	4.28		0.85	%
Investor Class
Actual	$	1,000.00	$	1,117.23	$	6.60		1.25	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.70	$	6.29		1.25	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Enterprise Fund 7

Security name	Shares		Value
Common Stocks: 98.28%
Consumer Discretionary: 21.81%
Auto Components: 1.86%
Delphi Automotive plc		269,165	$	11,950,926
Automobiles: 1.18%
Tesla Motors Incorporated Ǡ		201,400		7,631,046
Hotels, Restaurants & Leisure: 0.97%
Panera Bread Company Class A †		37,924		6,266,562
Internet & Catalog Retail: 1.46%
Expedia Incorporated «		156,800		9,409,568
Media: 4.99%
Discovery Communications Incorporated †		259,690		18,058,843
Virgin Media Incorporated		286,631		14,036,320
				32,095,163
Multiline Retail: 3.14%
Dollar General Corporation †		214,017		10,824,980
Nordstrom Incorporated		169,500		9,361,485
				20,186,465
Specialty Retail: 4.88%
Chico’s FAS Incorporated		426,900		7,171,920
DSW Incorporated Class A		118,447		7,556,919
GNC Holdings Incorporated Class A		186,392		7,321,478
L Brands Incorporated		209,900		9,374,134
				31,424,451
Textiles, Apparel & Luxury Goods: 3.33%
lululemon athletica incorporated Ǡ		72,100		4,495,435
PVH Corporation		79,800		8,523,438
Under Armour Incorporated Class A «†		163,830		8,388,096
				21,406,969
Consumer Staples: 3.01%
Beverages: 1.45%
Constellation Brands Incorporated Class A †		195,600		9,318,384
Food & Staples Retailing: 1.56%
Whole Foods Market Incorporated		115,985		10,061,699
Energy: 4.53%
Oil, Gas & Consumable Fuels: 4.53%
Cabot Oil & Gas Corporation		110,000		7,437,100
Concho Resources Incorporated †		71,300		6,946,759
Gulfport Energy Corporation †		82,270		3,770,434
Pioneer Natural Resources Company		88,735		11,025,324
				29,179,617

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Enterprise Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Financials: 7.80%
Capital Markets: 2.42%
Affiliated Managers Group Incorporated †		47,900	$	7,356,003
Ameriprise Financial Incorporated		111,705		8,227,073
				15,583,076
Consumer Finance: 1.43%
Discover Financial Services		204,200		9,156,328
Diversified Financial Services: 1.98%
IntercontinentalExchange Incorporated †		78,200		12,752,074
Real Estate Management & Development: 1.97%
CBRE Group Incorporated †		502,750		12,694,438
Health Care: 14.58%
Biotechnology: 4.95%
Alexion Pharmaceuticals Incorporated †		105,810		9,749,333
BioMarin Pharmaceutical Incorporated Ǡ		113,324		7,055,552
Cubist Pharmaceuticals Incorporated Ǡ		133,800		6,264,516
Onyx Pharmaceuticals Incorporated †		98,700		8,770,482
				31,839,883
Health Care Equipment & Supplies: 2.69%
Intuitive Surgical Incorporated †		11,100		5,452,209
Sirona Dental Systems Incorporated †		98,400		7,255,032
Thoratec Corporation †		122,253		4,584,488
				17,291,729
Health Care Providers & Services: 4.78%
Cardinal Health Incorporated		135,300		5,631,186
Catamaran Corporation †		174,800		9,269,644
HCA Holdings Incorporated		188,093		7,642,219
Team Health Holdings Incorporated †		226,400		8,236,432
				30,779,481
Health Care Technology: 0.58%
Cerner Corporation †		39,700		3,761,575
Life Sciences Tools & Services: 1.58%
Agilent Technologies Incorporated		242,100		10,160,937
Industrials: 22.37%
Aerospace & Defense: 3.15%
TransDigm Group Incorporated		67,412		10,308,643
Triumph Group Incorporated «		127,200		9,985,200
				20,293,843
Airlines: 1.65%
Copa Holdings SA Class A		89,000		10,645,290

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Enterprise Fund 9

Security name	Shares		Value
Building Products: 2.17%
Fortune Brands Home & Security Incorporated †		230,200	$	8,616,386
Owens Corning Incorporated †		135,000		5,323,050
				13,939,436
Commercial Services & Supplies: 1.48%
Clean Harbors Incorporated Ǡ		164,100		9,532,569
Construction & Engineering: 1.41%
Quanta Services Incorporated †		316,800		9,054,144
Electrical Equipment: 0.73%
Regal-Beloit Corporation		57,927		4,724,526
Machinery: 4.21%
Chart Industries Incorporated Ǡ		74,600		5,968,746
Colfax Corporation Ǡ		154,881		7,208,162
Cummins Incorporated		65,521		7,587,987
Graco Incorporated		108,600		6,302,058
				27,066,953
Professional Services: 1.90%
Verisk Analytics Incorporated Class A †		198,400		12,227,392
Road & Rail: 4.10%
Hertz Global Holdings Incorporated Ǡ		466,100		10,375,386
Kansas City Southern Railway Company		144,600		16,036,140
				26,411,526
Trading Companies & Distributors: 1.57%
W.W. Grainger Incorporated		44,922		10,106,552
Information Technology: 18.16%
Computers & Peripherals: 0.88%
Stratasys Limited Ǡ		76,200		5,655,564
Electronic Equipment, Instruments & Components: 2.50%
FEI Company «		118,000		7,616,900
IPG Photonics Corporation «		127,200		8,447,352
				16,064,252
Internet Software & Services: 4.35%
CoStar Group Incorporated †		62,000		6,786,520
LinkedIn Corporation Class A †		60,100		10,581,206
Mercadolibre Incorporated «		56,165		5,423,292
Rackspace Hosting Incorporated †		103,300		5,214,584
				28,005,602
IT Services: 3.07%
Alliance Data Systems Corporation Ǡ		76,350		12,360,302
Vantiv Incorporated Class A «†		313,101		7,433,018
				19,793,320

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Enterprise Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name				Shares		Value
Software: 7.36%
ACI Worldwide Incorporated †					167,700	$	8,193,822
Aspen Technology Incorporated †					236,600		7,639,814
CommVault Systems Incorporated †					122,000		10,001,560
Fortinet Incorporated †					210,900		4,994,112
Guidewire Software Incorporated †					91,528		3,518,336
ServiceNow Incorporated Ǡ					179,255		6,489,031
Splunk Incorporated †					163,239		6,534,457
							47,371,132
Materials: 3.20%
Chemicals: 3.20%
Airgas Incorporated					131,005		12,990,456
Sherwin-Williams Company					45,100		7,616,939
							20,607,395
Telecommunication Services: 2.82%
Wireless Telecommunication Services: 2.82%
SBA Communications Corporation Class A «†					252,620		18,193,689
Total Common Stocks (Cost $510,673,100)							632,643,556
	Yield
Short-Term Investments: 23.26%
Investment Companies: 23.26%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (u)(l)		0.13	%		9,588,091		9,588,091
Wells Fargo Securities Lending Cash Investments, LLC (r)(v)(u)(l)		0.18			140,104,175		140,104,175
Total Short-Term Investments (Cost $149,692,266)							149,692,266

Total investments in securities (Cost $660,365,366) *	121.54	%		782,335,822
Other assets and liabilities, net	(21.54	)		(138,633,788	)
Total net assets	100.00	%	$	643,702,034

« All or a portion of this security is on loan.

† Non-income-earning security

(u) Rate shown is the 7-day annualized yield at period end.

(l) Investment in an affiliate

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

(v) Security represents investment of cash collateral received from securities on loan.

* Cost for federal income tax purposes is $662,251,089 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	125,302,488
Gross unrealized depreciation		(5,217,755	)
Net unrealized appreciation	$	120,084,733

The accompanying notes are an integral part of these financial statements.

Statement of assets and liabilities—March 31, 2013 (unaudited) Wells Fargo Advantage Enterprise Fund 11

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	632,643,556
In affiliated securities, at value (see cost below)		149,692,266
Total investments, at value (see cost below)		782,335,822
Cash		28,424
Receivable for investments sold		4,145,738
Receivable for Fund shares sold		558,237
Receivable for dividends		154,694
Receivable for securities lending income		87,271
Prepaid expenses and other assets		107,649
Total assets		787,417,835
Liabilities
Payable for investments purchased		2,405,142
Payable for Fund shares redeemed		531,789
Payable upon receipt of securities loaned		140,104,175
Advisory fee payable		322,787
Distribution fees payable		6,589
Due to other related parties		165,540
Accrued expenses and other liabilities		179,779
Total liabilities		143,715,801
Total net assets	$	643,702,034
NET ASSETS CONSIST OF
Paid-in capital	$	546,213,511
Undistributed net investment loss		(777,784	)
Accumulated net realized losses on investments		(23,704,149	)
Net unrealized gains on investments		121,970,456
Total net assets	$	643,702,034
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	377,809,364
Shares outstanding – Class A		8,974,920
Net asset value per share – Class A		$42.10
Maximum offering price per share – Class A2		$44.67
Net assets – Class B	$	2,820,525
Shares outstanding – Class B		70,151
Net asset value per share – Class B		$40.21
Net assets – Class C	$	7,388,076
Shares outstanding – Class C		183,725
Net asset value per share – Class C		$40.21
Net assets – Administrator Class	$	6,993,365
Shares outstanding – Administrator Class		161,345
Net asset value per share – Administrator Class		$43.34
Net assets – Institutional Class	$	71,622,928
Shares outstanding – Institutional Class		1,621,362
Net asset value per share – Institutional Class		$44.17
Net assets – Investor Class	$	177,067,776
Shares outstanding – Investor Class		4,261,293
Net asset value per share – Investor Class		$41.55
Investments in unaffiliated securities (including securities on loan), at cost	$	510,673,100
Investments in affiliated securities, at cost	$	149,692,266
Total investments, at cost	$	660,365,366
Securities on loan, at value	$	137,099,696

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Enterprise Fund Statement of operations—six months ended March 31, 2013 (unaudited)

Investment income
Dividends	$	4,449,132
Securities lending income, net		766,346
Income from affiliated securities		3,673
Total investment income		5,219,151
Expenses
Advisory fee		2,151,645
Administration fees
Fund level		154,764
Class A		460,840
Class B		3,766
Class C		9,548
Administrator Class		3,231
Institutional Class		32,724
Investor Class		265,682
Shareholder servicing fees
Class A		443,116
Class B		3,621
Class C		9,181
Administrator Class		7,865
Investor Class		207,256
Distribution fees
Class B		10,862
Class C		27,543
Custody and accounting fees		21,830
Professional fees		17,900
Registration fees		41,643
Shareholder report expenses		36,464
Trustees’ fees and expenses		6,168
Other fees and expenses		9,701
Total expenses		3,925,350
Less: Fee waivers and/or expense reimbursements		(316,341	)
Net expenses		3,609,009
Net investment income		1,610,142
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		22,106,649
Net change in unrealized gains (losses) on investments		45,408,299
Net realized and unrealized gains (losses) on investments		67,514,948
Net increase in net assets resulting from operations	$	69,125,090

The accompanying notes are an integral part of these financial statements.

Statement of changes in net assets Wells Fargo Advantage Enterprise Fund 13

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income (loss)				$	1,610,142					$	(3,072,836	)
Net realized gains on investments					22,106,649						3,813,615
Net change in unrealized gains (losses) on investments					45,408,299						172,245,072
Net increase in net assets resulting from operations					69,125,090						172,985,851
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		60,162			2,345,528			103,108			3,682,224
Class B		96			3,633			1,395			51,826
Class C		6,425			233,575			21,025			727,096
Administrator Class		24,287			974,325			125,141			4,698,109
Institutional Class		62,199			2,511,694			415,653			15,951,961
Investor Class		101,219			3,922,001			213,550			7,579,509
					9,990,756						32,690,725
Payment for shares redeemed
Class A		(618,267	)		(23,663,886	)		(1,146,949	)		(40,763,416	)
Class B		(19,534	)		(719,854	)		(78,902	)		(2,720,700	)
Class C		(30,625	)		(1,156,208	)		(41,851	)		(1,405,682	)
Administrator Class		(37,217	)		(1,455,402	)		(712,955	)		(26,037,670	)
Institutional Class		(806,929	)		(32,815,035	)		(2,052,417	)		(79,070,745	)
Investor Class		(386,933	)		(14,649,775	)		(706,196	)		(24,801,639	)
					(74,460,160	)					(174,799,852	)
Net decrease in net assets resulting from capital share transactions					(64,469,404	)					(142,109,127	)
Total increase in net assets					4,655,686						30,876,724
Net assets
Beginning of period					639,046,348						608,169,624
End of period				$	643,702,034					$	639,046,348
Undistributed net investment loss				$	(777,784	)				$	(2,387,926	)

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Enterprise Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS A				2012			2011			20101			2009			20082			20072
Net asset value, beginning of period	$	37.67		$	29.10		$	30.21		$	24.24		$	21.77		$	37.95		$	29.31
Net investment income (loss)		0.09			(0.18	)		(0.17	)3		(0.22	)3		(0.14	)3		(0.25	)3		(0.26	)3
Net realized and unrealized gains (losses) on investments		4.34			8.75			(0.94	)		6.19			2.61			(15.93	)		8.90
Total from investment operations		4.43			8.57			(1.11	)		5.97			2.47			(16.18	)		8.64
Net asset value, end of period	$	42.10		$	37.67		$	29.10		$	30.21		$	24.24		$	21.77		$	37.95
Total return4		11.79	%		29.46	%		(3.71	)%		24.63	%		11.35	%		(42.63	)%		29.48	%
Ratios to average net assets (annualized)
Gross expenses		1.30	%		1.29	%		1.34	%		1.38	%		1.44	%		1.45	%		1.42	%
Net expenses		1.18	%		1.18	%		1.18	%		1.34	%		1.36	%		1.40	%		1.40	%
Net investment income (loss)		0.50	%		(0.49	)%		(0.51	)%		(0.85	)%		(0.64	)%		(0.79	)%		(0.79	)%
Supplemental data
Portfolio turnover rate		46	%		102	%		104	%		108	%		203	%		179	%		117	%
Net assets, end of period (000s omitted)		$377,809			$359,068			$307,735			$878			$824			$851			$1,769

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. On June 20, 2008, Advisor Class was renamed Class A.

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Enterprise Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
CLASS B				2012			20111
Net asset value, beginning of period	$	36.11		$	28.10		$	29.17
Net investment loss		(0.04	)2		(0.42	)2		(0.04	)2
Net realized and unrealized gains (losses) on investments		4.14			8.43			(1.03	)
Total from investment operations		4.10			8.01			(1.07	)
Net asset value, end of period	$	40.21		$	36.11		$	28.10
Total return3		11.35	%		28.51	%		(3.67	)%
Ratios to average net assets (annualized)
Gross expenses		2.05	%		2.04	%		2.09	%
Net expenses		1.93	%		1.93	%		1.93	%
Net investment loss		(0.22	)%		(1.25	)%		(1.26	)%
Supplemental data
Portfolio turnover rate		46	%		102	%		104	%
Net assets, end of period (000s omitted)		$2,821			$3,235			$4,695

1. For the period from August 26, 2011 (commencement of class operations) to September 30, 2011

2. Calculated based upon average shares outstanding

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Enterprise Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS C				2012			2011			20101			2009			20082
Net asset value, beginning of period	$	36.11		$	28.10		$	29.39		$	23.75		$	21.49		$	30.67
Net investment loss		(0.04	)3		(0.42	)3		(0.44	)3		(0.39	)3		(0.31	)3		(0.27	)3
Net realized and unrealized gains (losses) on investments		4.14			8.43			(0.85	)		6.03			2.57			(8.91	)
Total from investment operations		4.10			8.01			(1.29	)		5.64			2.26			(9.18	)
Net asset value, end of period	$	40.21		$	36.11		$	28.10		$	29.39		$	23.75		$	21.49
Total return4		11.35	%		28.51	%		(4.39	)%		23.80	%		10.52	%		(29.96	)%
Ratios to average net assets (annualized)
Gross expenses		2.05	%		2.04	%		2.09	%		2.13	%		2.19	%		2.18	%
Net expenses		1.93	%		1.93	%		1.97	%		2.09	%		2.11	%		2.15	%
Net investment loss		(0.24	)%		(1.24	)%		(1.35	)%		(1.60	)%		(1.43	)%		(1.58	)%
Supplemental data
Portfolio turnover rate		46	%		102	%		104	%		108	%		203	%		179	%
Net assets, end of period (000s omitted)		$7,388			$7,508			$6,428			$174			$268			$21

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. For the period March 31, 2008 (commencement of class operations) to October 31, 2008

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Enterprise Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
ADMINISTRATOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	38.77		$	29.93		$	31.03		$	24.86		$	22.27		$	38.71		$	29.83
Net investment income (loss)		0.11	2		(0.16	)2		(0.24	)		(0.17	)2		(0.09	)2		(0.18	)2		(0.18	)2
Net realized and unrealized gains (losses) on investments		4.46			9.00			(0.86	)		6.34			2.68			(16.26	)		9.06
Total from investment operations		4.57			8.84			(1.10	)		6.17			2.59			(16.44	)		8.88
Net asset value, end of period	$	43.34		$	38.77		$	29.93		$	31.03		$	24.86		$	22.27		$	38.71
Total return3		11.81	%		29.54	%		(3.54	)%		24.87	%		11.59	%		(42.47	)%		29.77	%
Ratios to average net assets (annualized)
Gross expenses		1.13	%		1.12	%		1.17	%		1.21	%		1.26	%		1.26	%		1.24	%
Net expenses		1.12	%		1.12	%		1.15	%		1.15	%		1.15	%		1.15	%		1.15	%
Net investment income (loss)		0.55	%		(0.46	)%		(0.62	)%		(0.66	)%		(0.44	)%		(0.55	)%		(0.54	)%
Supplemental data
Portfolio turnover rate		46	%		102	%		104	%		108	%		203	%		179	%		117	%
Net assets, end of period (000s omitted)		$6,993			$6,757			$22,811			$16,760			$16,000			$14,677			$3,358

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Enterprise Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INSTITUTIONAL CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	39.46		$	30.38		$	31.42		$	25.11		$	22.44		$	38.90		$	29.90
Net investment income (loss)		0.18	2		(0.06	)2		(0.13	)2		(0.11	)2		(0.04	)2		(0.10	)2		(0.10	)2
Net realized and unrealized gains (losses) on investments		4.53			9.14			(0.91	)		6.42			2.71			(16.36	)		9.10
Total from investment operations		4.71			9.08			(1.04	)		6.31			2.67			(16.46	)		9.00
Net asset value, end of period	$	44.17		$	39.46		$	30.38		$	31.42		$	25.11		$	22.44		$	38.90
Total return3		11.96	%		29.89	%		(3.31	)%		25.13	%		11.90	%		(42.31	)%		30.10	%
Ratios to average net assets (annualized)
Gross expenses		0.87	%		0.86	%		0.90	%		0.94	%		0.99	%		0.98	%		0.97	%
Net expenses		0.85	%		0.85	%		0.89	%		0.90	%		0.90	%		0.90	%		0.90	%
Net investment income (loss)		0.87	%		(0.17	)%		(0.37	)%		(0.41	)%		(0.18	)%		(0.29	)%		(0.30	)%
Supplemental data
Portfolio turnover rate		46	%		102	%		104	%		108	%		203	%		179	%		117	%
Net assets, end of period (000s omitted)		$71,623			$93,367			$121,618			$106,931			$113,467			$104,121			$126,347

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Enterprise Fund 19

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INVESTOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	37.19		$	28.75		$	29.87		$	23.99		$	21.56		$	37.62		$	29.11
Net investment income (loss)		0.08	2		(0.19	)2		(0.29	)2		(0.24	)2		(0.16	)2		(0.29	)2		(0.32	)2
Net realized and unrealized gains (losses) on investments		4.28			8.63			(0.83	)		6.12			2.59			(15.77	)		8.83
Total from investment operations		4.36			8.44			(1.12	)		5.88			2.43			(16.06	)		8.51
Net asset value, end of period	$	41.55		$	37.19		$	28.75		$	29.87		$	23.99		$	21.56		$	37.62
Total return3		11.72	%		29.36	%		(3.75	)%		24.56	%		11.22	%		(42.69	)%		29.23	%
Ratios to average net assets (annualized)
Gross expenses		1.36	%		1.36	%		1.40	%		1.48	%		1.54	%		1.57	%		1.59	%
Net expenses		1.25	%		1.25	%		1.36	%		1.43	%		1.46	%		1.53	%		1.57	%
Net investment income (loss)		0.43	%		(0.56	)%		(0.84	)%		(0.94	)%		(0.74	)%		(0.91	)%		(0.96	)%
Supplemental data
Portfolio turnover rate		46	%		102	%		104	%		108	%		203	%		179	%		117	%
Net assets, end of period (000s omitted)		$177,068			$169,111			$144,883			$134,528			$117,725			$112,689			$209,651

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

20 Wells Fargo Advantage Enterprise Fund Notes to financial statements (unaudited)

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Enterprise Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

Notes to financial statements (unaudited) Wells Fargo Advantage Enterprise Fund 21

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Dividend income is recognized on the ex-dividend date.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

At September 30, 2012, capital loss carryforwards which are available to offset future net realized capital gains were as follows:

Pre-enactment capital loss expiration*			Post-enactment capital losses**
2016	2017	2019	Short-term	Long-term
$21,080,033	$1,126,599	$2,550,894	$14,008,941	$5,306,087

* Losses incurred in taxable years beginning before December 22, 2010.

** Losses incurred in taxable years which began after December 22, 2010 are carried forward for an unlimited period.

As of September 30, 2012, the Fund had a qualified late-year ordinary loss of $2,354,319 which was recognized on the first day of the current fiscal year. A late-year ordinary loss is the net loss comprised of (a) net gain or loss from the sale or other disposition of certain capital assets for the portion of the taxable year after October 31 and (b) other ordinary income or loss for the portion of the taxable year after December 31.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

22 Wells Fargo Advantage Enterprise Fund Notes to financial statements (unaudited)

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	632,643,556	$	0	$	0	$	632,643,556
Short-term investments
Investment companies		9,588,091		140,104,175		0		149,692,266
	$	642,231,647	$	140,104,175	$	0	$	782,335,822

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.70% and declining to 0.60% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.70% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.45% and declining to 0.30% as the average daily net assets of the Fund increase.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08
Investor Class		0.32

Notes to financial statements (unaudited) Wells Fargo Advantage Enterprise Fund 23

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.18% for Class A shares, 1.93% for Class B shares, 1.93% for Class C shares, 1.10% for Administrator Class shares, 0.85% for Institutional Class shares, and 1.24% for Investor Class shares. Prior to February 1, 2013, the Fund’s expenses were capped at 1.15% for Administrator Class shares and 1.25% for Investor Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class B and Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B and Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares.

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $2,688 from the sale of Class A shares and $677 and $611 in contingent deferred sales charges from redemptions of Class B and Class C shares, respectively.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class B, Class C, Administrator Class, and Investor Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $285,106,676 and $348,533,444, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $541 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

7. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

8. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

24 Wells Fargo Advantage Enterprise Fund Other information (unaudited)

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

Other information (unaudited) Wells Fargo Advantage Enterprise Fund 25

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/13); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

26 Wells Fargo Advantage Enterprise Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Nancy Wiser1 (Born 1967)	Treasurer, since 2012	Executive Vice President of Wells Fargo Funds Management, LLC since 2011. Chief Operating Officer and Chief Compliance Officer at LightBox Capital Management LLC, from 2008 to 2011. Owned and operated a consulting business providing services to various hedge funds including acting as Chief Operating Officer and Chief Compliance Officer for a hedge fund from 2007 to 2008. Chief Operating Officer and Chief Compliance Officer of GMN Capital LLC from 2006 to 2007.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.
Jeremy DePalma1 (Born 1974)	Assistant Treasurer, since 2009	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

1. Nancy Wiser acts as Treasurer of 72 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

Other information (unaudited) Wells Fargo Advantage Enterprise Fund 27

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Enterprise Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources, and reputation to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted

28 Wells Fargo Advantage Enterprise Fund Other information (unaudited)

that the performance of the Fund (Administrator Class) was higher than or in range of the median performance of the Universe for all periods under review. The Board also noted that the performance of the Fund was in range of its benchmark, the Russell Midcap^® Growth Index, for the one-year period, and lower than the benchmark for the three-, five- and ten-year periods under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the benchmark for the three-, five- and ten-year periods under review. Funds Management advised the Board about the market conditions and investment decisions that it believed contributed to the underperformance during that period. The Board was satisfied with the explanation of the factors contributing to underperformance and with the steps being taken by Funds Management and the Sub-Adviser to address the Fund’s investment performance.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios for the Fund’s expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were higher than the median rates for the Fund’s expense Groups, except for the Institutional Class. However, the Board viewed favorably the fact that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios for the Fund’s expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

Other information (unaudited) Wells Fargo Advantage Enterprise Fund 29

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to funds management and the sub-adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

30 Wells Fargo Advantage Enterprise Fund List of abbreviations

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215919 05-13 SA231/SAR231 3-13

Wells Fargo Advantage

Index Asset Allocation Fund

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	23
Statement of operations	24
Statement of changes in net assets	25
Financial highlights	26
Notes to financial statements	30
Other information	36
List of abbreviations	42

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Index Asset Allocation Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite ongoing uncertainties, investor confidence grew during the period as political and economic concerns lessened.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Index Asset Allocation Fund for the six-month period ended March 31, 2013. The past six months were marked by a modestly growing U.S. economy and expansive monetary policy. This backdrop enabled equity and high-yield asset classes to generate positive returns.

The economy grew, helped by an accommodative monetary policy but hurt by political uncertainty.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. In China, economic growth decelerated from double-digit advances but remained at a stable, positive pace.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns and capital markets generally rose during this time period.

Financial markets advanced.

Despite ongoing uncertainties, investor confidence grew during the period as political and economic concerns lessened. As a result, most equity and high-yield bond asset classes advanced. For example, the S&P 500 Index¹ returned 10.19% for the six-month period ended March 31, 2013, while the Russell 1000^® Index² advanced 11.10%. High-yield bonds, as measured by the BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index³, returned 6.11% for the period. On the other hand, highly rated U.S. Treasury bonds had negative results as investors moved from safe-haven U.S. Treasuries to asset classes with higher risk/reward potential.

1. The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value-weighted index with each stock’s weight in the index proportionate to its market value. You cannot invest directly in an index.

2. The Russell 1000^® Index measures the performance of the 1,000 largest companies in the Russell 3000 Index, which represents approximately 92% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

3. The BofA Merrill Lynch High Yield U.S. Corp, Cash Pay Index is an unmanaged market index that provides a broad-based performance measure of the noninvestment grade U.S. domestic bond index. This index was previously named the BofA Merrill Lynch High Yield Master Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats will help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns.

4 Wells Fargo Advantage Index Asset Allocation Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term total return, consisting of capital appreciation and current income.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Petros Bocray, CFA, FRM

Jeffrey P. Mellas, CAIA

Average annual total returns (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios1 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net2
Class A (SFAAX)	11-13-1986		5.70		4.19		6.95		12.15		5.43		7.59		1.19		1.16
Class B (SASBX)*	1-1-1995		6.36		4.31		7.02		11.36		4.65		7.02		1.94		1.91
Class C (WFALX)	4-1-1998		10.29		4.65		6.79		11.29		4.65		6.79		1.94		1.91
Administrator Class (WFAIX)	11-8-1999		–		–		–		12.42		5.70		7.86		1.03		0.91
Index Asset Allocation Composite Index3	–		–		–		–		11.94		7.88		8.77		–		–
S&P 500 Index4	–		–		–		–		13.96		5.81		8.53		–		–
Barclays 20+ Year Treasury Index5	–		–		–		–		7.62		8.32		7.42		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Balanced funds may invest in stocks and bonds. Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Bond values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. In general, when interest rates rise, bond values fall and investors may lose principal value. The use of derivatives may reduce returns and/or increase volatility. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 5

Ten largest holdings6 (%) as of March 31, 2013
U.S. Treasury Bond, 4.38%, 5-15-2040	2.64
U.S. Treasury Bond, 3.75%, 8-15-2041	2.58
U.S. Treasury Bond, 4.25%, 11-15-2040	2.56
U.S. Treasury Bond, 4.63%, 2-15-2040	2.51
U.S. Treasury Bond, 4.38%, 5-15-2041	2.37
U.S. Treasury Bond, 4.38%, 11-15-2039	2.28
U.S. Treasury Bond, 4.75%, 2-15-2041	2.19
U.S. Treasury Bond, 3.88%, 8-15-2040	2.13
U.S. Treasury Bond, 4.25%, 5-15-2039	1.84
Apple Incorporated	1.73

Neutral target allocation8 as of March 31, 2013
Bonds	40%
Stocks	60%

Current target allocation8 as of March 31, 2013
Bonds	15%
Stocks	85%

Equity sector distribution⁷ as of March 31, 2013

1. Reflects the expense ratios as stated in the most recent prospectuses.

2. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at 1.15% for Class A, 1.90% for Class B, 1.90% for Class C, and 0.90% for Administrator Class. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

3. Source: Wells Fargo Funds Management, LLC. The Index Asset Allocation Composite Index is weighted 60% in the S&P 500 Index and 40% in the Barclays 20+ Year Treasury Index (a subset of the Barclays U.S. Treasury Index, which contains public obligations of the U.S. Treasury with a remaining maturity of one year or more). You cannot invest directly in an index.

4. The S&P 500 Index consists of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value weighted index with each stock’s weight in the index proportionate to its market value. You cannot invest directly in an index.

5. The Barclays 20+ Year Treasury Index is an unmanaged index composed of securities in the U.S. Treasury Index with maturities of 20 years or greater. You cannot invest directly in an index.

6. The ten largest holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

7. Equity sector distribution is subject to change and is calculated based on the total long-term equity investments of the Fund.

8. Portfolio allocations are subject to change. Cash and cash equivalents are not reflected in the calculations of portfolio allocations. Neutral target allocation is the target allocation of the Fund as stated in the Fund’s prospectus. Current target allocation is the current allocation of the Fund based on our Tactical Asset Allocation Model as of the date specified and is subject to change.

6 Wells Fargo Advantage Index Asset Allocation Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses.

This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,070.76	$	5.94		1.15	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.20	$	5.79		1.15	%
Class B
Actual	$	1,000.00	$	1,066.88	$	9.79		1.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.46	$	9.55		1.90	%
Class C
Actual	$	1,000.00	$	1,066.96	$	9.79		1.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.46	$	9.55		1.90	%
Administrator Class
Actual	$	1,000.00	$	1,072.53	$	4.65		0.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.44	$	4.53		0.90	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 7

Security name	Interest rate			Maturity date		Principal		Value
Agency Securities: 0.02%
FHLMC		10.50	%		1-1-2016	$	341	$	369
FNMA Series 2002-T1 Class A4		9.50			11-25-2031		107,173		127,297
Total Agency Securities (Cost $114,851)									127,666
						Shares
Common Stocks: 58.23%
Consumer Discretionary: 6.77%
Auto Components: 0.21%
BorgWarner Incorporated Ǡ							3,378		261,255
Delphi Automotive plc							8,566		380,330
Johnson Controls Incorporated							19,988		700,979
The Goodyear Tire & Rubber Company †							7,169		90,401
									1,432,965
Automobiles: 0.27%
Ford Motor Company							114,575		1,506,661
Harley-Davidson Incorporated							6,604		351,993
									1,858,654
Distributors: 0.05%
Genuine Parts Company «							4,524		352,872
Diversified Consumer Services: 0.04%
Apollo Group Incorporated Class A †							2,925		50,866
H&R Block Incorporated							7,925		233,154
									284,020
Hotels, Restaurants & Leisure: 1.05%
Carnival Corporation							12,977		445,111
Chipotle Mexican Grill Incorporated Ǡ							906		295,238
Darden Restaurants Incorporated							3,780		195,350
International Game Technology							7,722		127,413
Marriott International Incorporated Class A							7,117		300,551
McDonald’s Corporation							29,294		2,920,319
Starbucks Corporation							21,888		1,246,740
Starwood Hotels & Resorts Worldwide Incorporated							5,659		360,648
Wyndham Worldwide Corporation							3,990		257,275
Wynn Resorts Limited							2,330		291,623
Yum! Brands Incorporated							13,166		947,162
									7,387,430
Household Durables: 0.20%
D.R. Horton Incorporated «							8,167		198,458
Garmin Limited «							3,200		105,728
Harman International Industries Incorporated							1,983		88,501
Leggett & Platt Incorporated «							4,172		140,930
Lennar Corporation							4,823		200,058
Newell Rubbermaid Incorporated							8,365		218,327
Pulte Homes Incorporated †							9,939		201,165
Whirlpool Corporation							2,294		271,747
									1,424,914

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Internet & Catalog Retail: 0.64%
Amazon.com Incorporated †		10,622	$	2,830,657
Expedia Incorporated		2,731		163,887
Netflix Incorporated †		1,635		309,685
priceline.com Incorporated †		1,458		1,003,002
TripAdvisor Incorporated Ǡ		3,215		168,852
				4,476,083
Leisure Equipment & Products: 0.08%
Hasbro Incorporated «		3,348		147,111
Mattel Incorporated		10,065		440,746
				587,857
Media: 2.09%
Cablevision Systems Corporation New York Group Class A		6,267		93,754
CBS Corporation Class B		17,093		798,072
Comcast Corporation Class A		77,105		3,239,181
DIRECTV Group Incorporated †		16,744		947,878
Discovery Communications Incorporated Class A «†		7,165		564,172
Gannett Company Incorporated «		6,712		146,791
Interpublic Group of Companies Incorporated		12,092		157,559
News Corporation Class A		58,413		1,782,765
Omnicom Group Incorporated «		7,637		449,819
Scripps Networks Interactive Incorporated «		2,512		161,622
Time Warner Cable Incorporated		8,634		829,382
Time Warner Incorporated		27,305		1,573,314
Viacom Incorporated Class B		13,303		819,066
Walt Disney Company		52,741		2,995,689
Washington Post Company Class B		134		59,898
				14,618,962
Multiline Retail: 0.46%
Dollar General Corporation †		7,682		388,556
Dollar Tree Incorporated †		6,636		321,381
Family Dollar Stores Incorporated		2,807		165,753
JCPenney Company Incorporated «		4,164		62,918
Kohl’s Corporation		6,181		285,130
Macy’s Incorporated		11,547		483,126
Nordstrom Incorporated		4,374		241,576
Target Corporation		19,010		1,301,235
				3,249,675
Specialty Retail: 1.28%
Abercrombie & Fitch Company Class A		2,322		107,276
AutoNation Incorporated †		1,131		49,481
AutoZone Incorporated †		1,062		421,370
Bed Bath & Beyond Incorporated †		6,607		425,623
Best Buy Company Incorporated «		7,770		172,106
CarMax Incorporated †		6,664		277,889
GameStop Corporation Class A «		3,538		98,958

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 9

Security name	Shares		Value
Specialty Retail (continued)
Gap Incorporated		8,683	$	307,378
Home Depot Incorporated		43,675		3,047,642
L Brands Incorporated		6,991		312,218
Lowe’s Companies Incorporated		32,426		1,229,594
O’Reilly Automotive Incorporated †		3,252		333,493
PetSmart Incorporated		3,139		194,932
Ross Stores Incorporated		6,495		393,727
Staples Incorporated «		19,684		264,356
Tiffany & Company		3,481		242,069
TJX Companies Incorporated		21,303		995,915
Urban Outfitters Incorporated †		3,196		123,813
				8,997,840
Textiles, Apparel & Luxury Goods: 0.40%
Coach Incorporated		8,203		410,068
Fossil Incorporated †		1,561		150,793
Nike Incorporated Class B		21,192		1,250,540
PVH Corporation		2,282		243,740
Ralph Lauren Corporation		1,777		300,864
VF Corporation		2,576		432,124
				2,788,129
Consumer Staples: 6.38%
Beverages: 1.41%
Beam Incorporated		4,685		297,685
Brown-Forman Corporation Class B «		4,428		316,159
Coca-Cola Enterprises Incorporated		7,666		283,029
Constellation Brands Incorporated Class A †		4,452		212,093
Dr Pepper Snapple Group Incorporated		5,949		279,306
Molson Coors Brewing Company		4,560		223,121
Monster Beverage Corporation †		4,209		200,938
Pepsico Incorporated		45,065		3,565,092
The Coca-Cola Company		111,963		4,527,784
				9,905,207
Food & Staples Retailing: 1.41%
Costco Wholesale Corporation		12,726		1,350,356
CVS Caremark Corporation		35,965		1,977,715
Kroger Company		15,146		501,938
Safeway Incorporated		6,999		184,424
Sysco Corporation «		17,117		602,005
Wal-Mart Stores Incorporated		48,861		3,656,269
Walgreen Company		25,121		1,197,769
Whole Foods Market Incorporated		5,036		436,873
				9,907,349
Food Products: 1.11%
Archer Daniels Midland Company		19,236		648,830
Campbell Soup Company		5,234		237,414

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Food Products (continued)
ConAgra Foods Incorporated		12,090	$	432,943
Dean Foods Company †		5,433		98,500
General Mills Incorporated		18,889		931,417
H.J. Heinz Company		9,366		676,881
Hormel Foods Corporation «		3,928		162,305
JM Smucker Company		3,134		310,767
Kellogg Company		7,296		470,081
Kraft Foods Group Incorporated		17,310		891,984
McCormick & Company Incorporated «		3,877		285,153
Mead Johnson Nutrition Company		5,917		458,272
Mondelez International Incorporated Class A		51,947		1,590,098
The Hershey Company		4,387		383,994
Tyson Foods Incorporated Class A		8,284		205,609
				7,784,248
Household Products: 1.30%
Clorox Company		3,826		338,716
Colgate-Palmolive Company		12,844		1,515,977
Kimberly-Clark Corporation		11,325		1,109,624
Procter & Gamble Company		79,799		6,149,311
				9,113,628
Personal Products: 0.10%
Avon Products Incorporated		12,627		261,758
Estee Lauder Companies Incorporated Class A		7,003		448,402
				710,160
Tobacco: 1.05%
Altria Group Incorporated		58,710		2,019,037
Lorillard Incorporated		11,083		447,199
Philip Morris International		48,136		4,462,689
Reynolds American Incorporated «		9,398		418,117
				7,347,042
Energy: 6.36%
Energy Equipment & Services: 1.09%
Baker Hughes Incorporated		12,904		598,875
Cameron International Corporation †		7,242		472,178
Diamond Offshore Drilling Incorporated «		2,032		141,346
Ensco plc Class A		6,792		407,520
FMC Technologies Incorporated †		6,946		377,793
Halliburton Company		27,220		1,099,960
Helmerich & Payne Incorporated		3,106		188,534
Nabors Industries Limited		8,502		137,902
National Oilwell Varco Incorporated		12,463		881,757
Noble Corporation		7,383		281,661
Rowan Companies plc †		3,631		128,392
Schlumberger Limited		38,800		2,905,732
				7,621,650

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 11

Security name	Shares		Value
Oil, Gas & Consumable Fuels: 5.27%
Anadarko Petroleum Corporation		14,620	$	1,278,519
Apache Corporation		11,444		883,019
Cabot Oil & Gas Corporation		6,147		415,599
Chesapeake Energy Corporation «		15,210		310,436
Chevron Corporation		56,750		6,743,035
ConocoPhillips Company		35,667		2,143,587
CONSOL Energy Incorporated		6,664		224,244
Denbury Resources Incorporated †		10,909		203,453
Devon Energy Corporation		11,030		622,313
EOG Resources Incorporated		7,937		1,016,492
EQT Corporation		4,398		297,965
Exxon Mobil Corporation		130,883		11,793,867
Hess Corporation		8,679		621,503
Kinder Morgan Incorporated		18,455		713,839
Marathon Oil Corporation		20,675		697,161
Marathon Petroleum Corporation		9,683		867,597
Murphy Oil Corporation		5,291		337,195
Newfield Exploration Company †		3,950		88,559
Noble Energy Incorporated		5,246		606,752
Occidental Petroleum Corporation		23,531		1,844,124
Peabody Energy Corporation		7,877		166,599
Phillips 66		18,155		1,270,305
Pioneer Natural Resources Company		3,866		480,351
QEP Resources Incorporated		5,214		166,014
Range Resources Corporation «		4,757		385,507
Southwestern Energy Company †		10,254		382,064
Spectra Energy Corporation		19,517		600,148
Tesoro Corporation		4,015		235,078
The Williams Companies Incorporated		19,908		745,754
Valero Energy Corporation		16,153		734,800
WPX Energy Incorporated Ǡ		5,847		93,669
				36,969,548
Financials: 9.27%
Capital Markets: 1.22%
Ameriprise Financial Incorporated		5,945		437,849
Bank of New York Mellon Corporation		33,987		951,296
BlackRock Incorporated		3,675		944,034
Charles Schwab Corporation		32,104		567,920
E*TRADE Financial Corporation †		8,337		89,289
Franklin Resources Incorporated		4,035		608,518
Goldman Sachs Group Incorporated		12,782		1,880,871
Invesco Limited		12,880		373,005
Legg Mason Incorporated		3,352		107,767
Morgan Stanley		40,104		881,486
Northern Trust Corporation		6,357		346,838
State Street Corporation		13,347		788,674
T. Rowe Price Group Incorporated		7,564		566,317
				8,543,864

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Commercial Banks: 1.60%
Branch Banking & Trust Corporation		20,444	$	641,737
Comerica Incorporated «		5,481		197,042
Fifth Third Bancorp		25,569		417,030
First Horizon National Corporation		7,108		75,913
Huntington Bancshares Incorporated		24,597		181,772
KeyCorp		26,988		268,800
M&T Bank Corporation «		3,570		368,281
PNC Financial Services Group Incorporated		15,437		1,026,561
Regions Financial Corporation		41,287		338,141
SunTrust Banks Incorporated		15,743		453,556
US Bancorp		54,432		1,846,878
Wells Fargo & Company (l)		143,195		5,296,783
Zions Bancorporation		5,380		134,446
				11,246,940
Consumer Finance: 0.53%
American Express Company		28,074		1,893,872
Capital One Financial Corporation		17,007		934,535
Discover Financial Services		14,470		648,835
SLM Corporation		13,243		271,217
				3,748,459
Diversified Financial Services: 2.19%
Bank of America Corporation		316,079		3,849,842
Citigroup Incorporated		88,765		3,926,964
CME Group Incorporated		8,966		550,423
IntercontinentalExchange Incorporated Ǡ		2,122		346,035
JPMorgan Chase & Company		111,805		5,306,265
Leucadia National Corporation		8,571		235,103
McGraw-Hill Companies Incorporated		8,203		427,212
Moody’s Corporation «		5,662		301,898
NASDAQ OMX Group Incorporated		3,437		111,015
NYSE Euronext Incorporated		7,100		274,344
				15,329,101
Insurance: 2.43%
ACE Limited		9,911		881,782
AFLAC Incorporated		13,664		710,801
Allstate Corporation		13,945		684,281
American International Group Incorporated †		43,126		1,674,151
Aon plc		9,101		559,712
Assurant Incorporated		2,302		103,613
Berkshire Hathaway Incorporated Class B †		53,281		5,551,880
Chubb Corporation		7,625		667,416
Cincinnati Financial Corporation «		4,289		202,398
Genworth Financial Incorporated †		14,394		143,940
Lincoln National Corporation		7,930		258,597
Loews Corporation		9,044		398,569
Marsh & McLennan Companies Incorporated		16,019		608,241

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 13

Security name	Shares		Value
Insurance (continued)
MetLife Incorporated		31,945	$	1,214,549
Principal Financial Group Incorporated «		8,057		274,180
Prudential Financial Incorporated		13,584		801,320
The Hartford Financial Services Group Incorporated		12,755		329,079
The Progressive Corporation		16,231		410,157
The Travelers Companies Incorporated		11,042		929,626
Torchmark Corporation		2,736		163,613
UNUM Group		7,880		222,610
XL Group plc		8,616		261,065
				17,051,580
Real Estate Management & Development: 0.03%
CBRE Group Incorporated †		8,886		224,372
REITs: 1.23%
American Tower Corporation		11,543		887,888
Apartment Investment & Management Company Class A		4,261		130,642
AvalonBay Communities Incorporated		3,323		420,924
Boston Properties Incorporated		4,431		447,797
Equity Residential Corporation		9,357		515,196
HCP Incorporated		13,243		660,296
Health Care REIT Incorporated		7,621		517,542
Host Hotels & Resorts Incorporated «		21,229		371,295
Kimco Realty Corporation «		11,915		266,896
Plum Creek Timber Company «		4,741		247,480
Prologis Incorporated		13,518		540,450
Public Storage Incorporated		4,212		641,572
Simon Property Group Incorporated		9,164		1,453,044
Ventas Incorporated		8,530		624,396
Vornado Realty Trust		4,948		413,851
Weyerhaeuser Company		15,930		499,883
				8,639,152
Thrifts & Mortgage Finance: 0.04%
Hudson City Bancorp Incorporated		13,888		119,992
People’s United Financial Incorporated «		9,895		132,989
				252,981
Health Care: 7.30%
Biotechnology: 1.10%
Alexion Pharmaceuticals Incorporated †		5,703		525,474
Amgen Incorporated		21,863		2,241,176
Biogen Idec Incorporated †		6,902		1,331,465
Celgene Corporation †		12,234		1,418,043
Gilead Sciences Incorporated †		44,472		2,176,015
				7,692,173

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Health Care Equipment & Supplies: 1.27%
Abbott Laboratories		45,883	$	1,620,588
Baxter International Incorporated		15,946		1,158,317
Becton Dickinson & Company «		5,666		541,726
Boston Scientific Corporation †		39,653		309,690
C.R. Bard Incorporated		2,222		223,933
CareFusion Corporation †		6,502		227,505
Covidien plc		13,791		935,581
DENTSPLY International Incorporated		4,172		176,976
Edwards Lifesciences Corporation Ǡ		3,334		273,921
Intuitive Surgical Incorporated †		1,171		575,183
Medtronic Incorporated		29,543		1,387,339
St. Jude Medical Incorporated		8,263		334,156
Stryker Corporation		8,449		551,213
Varian Medical Systems Incorporated †		3,187		229,464
Zimmer Holdings Incorporated		4,947		372,113
				8,917,705
Health Care Providers & Services: 1.10%
Aetna Incorporated		9,581		489,781
AmerisourceBergen Corporation		6,724		345,950
Cardinal Health Incorporated		9,955		414,327
CIGNA Corporation		8,353		520,977
Coventry Health Care Incorporated		3,933		184,969
DaVita Incorporated †		2,464		292,206
Express Scripts Holding Corporation †		23,909		1,378,354
Humana Incorporated		4,624		319,565
Laboratory Corporation of America Holdings †		2,720		245,344
McKesson Corporation		6,804		734,560
Patterson Companies Incorporated		2,444		92,970
Quest Diagnostics Incorporated		4,620		260,799
Tenet Healthcare Corporation †		3,046		144,929
UnitedHealth Group Incorporated		29,941		1,712,925
WellPoint Incorporated		8,882		588,255
				7,725,911
Health Care Technology: 0.06%
Cerner Corporation †		4,277		405,246
Life Sciences Tools & Services : 0.27%
Agilent Technologies Incorporated		10,133		425,282
Life Technologies Corporation †		5,026		324,830
PerkinElmer Incorporated		3,323		111,786
Thermo Fisher Scientific Incorporated		10,448		799,168
Waters Corporation †		2,508		235,526
				1,896,592
Pharmaceuticals: 3.50%
AbbVie Incorporated		46,171		1,882,853
Actavis Incorporated †		3,736		344,123
Allergan Incorporated		8,983		1,002,772

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 15

Security name	Shares		Value
Pharmaceuticals (continued)
Bristol-Myers Squibb Company		47,832	$	1,970,200
Eli Lilly & Company		29,160		1,655,996
Forest Laboratories Incorporated †		6,846		260,422
Hospira Incorporated †		4,831		158,602
Johnson & Johnson Services Incorporated		81,657		6,657,495
Merck & Company Incorporated		88,290		3,905,067
Mylan Laboratories Incorporated †		11,555		334,402
Perrigo Company		2,581		306,442
Pfizer Incorporated		210,007		6,060,802
				24,539,176
Industrials: 5.89%
Aerospace & Defense: 1.39%
Boeing Company		19,879		1,706,612
General Dynamics Corporation		9,706		684,370
Honeywell International Incorporated		22,896		1,725,214
L-3 Communications Holdings Incorporated		2,626		212,496
Lockheed Martin Corporation		7,820		754,786
Northrop Grumman Corporation		6,927		485,929
Precision Castparts Corporation		4,277		811,005
Raytheon Company		9,504		558,740
Rockwell Collins Incorporated «		3,990		251,849
Textron Incorporated «		7,932		236,453
United Technologies Corporation		24,633		2,301,461
				9,728,915
Air Freight & Logistics: 0.45%
C.H. Robinson Worldwide Incorporated		4,705		279,759
Expeditors International of Washington Incorporated		6,034		215,474
FedEx Corporation		8,544		839,021
United Parcel Service Incorporated Class B		20,888		1,794,279
				3,128,533
Airlines: 0.04%
Southwest Airlines Company		21,269		286,706
Building Products: 0.03%
Masco Corporation		10,416		210,924
Commercial Services & Supplies: 0.33%
Avery Dennison Corporation		2,924		125,937
Cintas Corporation		3,062		135,126
Iron Mountain Incorporated «		4,888		177,483
Pitney Bowes Incorporated «		5,881		87,392
Republic Services Incorporated		8,687		286,671
Stericycle Incorporated †		2,516		267,149
The ADT Corporation		6,785		332,058
Tyco International Limited		13,614		435,648
Waste Management Incorporated		12,775		500,908
				2,348,372

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Construction & Engineering: 0.10%
Fluor Corporation		4,746	$	314,802
Jacobs Engineering Group Incorporated †		3,809		214,218
Quanta Services Incorporated †		6,229		178,025
				707,045
Electrical Equipment: 0.27%
Emerson Electric Company «		21,091		1,178,354
Rockwell Automation Incorporated		4,083		352,567
Roper Industries Incorporated		2,887		367,544
				1,898,465
Industrial Conglomerates: 1.55%
3M Company		18,542		1,971,200
Danaher Corporation		16,939		1,052,759
Eaton Corporation plc		13,762		842,923
General Electric Company		303,751		7,022,723
				10,889,605
Machinery: 1.05%
Caterpillar Incorporated		19,136		1,664,258
Cummins Incorporated		5,157		597,232
Deere & Company		11,378		978,280
Dover Corporation		5,103		371,907
Flowserve Corporation		1,406		235,800
Illinois Tool Works Incorporated		12,132		739,324
Ingersoll-Rand plc		8,052		442,941
Joy Global Incorporated		3,103		184,691
Paccar Incorporated «		10,324		521,981
Pall Corporation		3,244		221,792
Parker Hannifin Corporation		4,358		399,106
Pentair Limited		6,022		317,661
Snap-On Incorporated		1,704		140,921
Stanley Black & Decker Incorporated		4,681		379,021
Xylem Incorporated		5,436		149,816
				7,344,731
Professional Services: 0.07%
Dun & Bradstreet Corporation «		1,196		100,045
Equifax Incorporated		3,517		202,544
Robert Half International Incorporated		4,075		152,935
				455,524
Road & Rail: 0.50%
CSX Corporation		29,819		734,442
Norfolk Southern Corporation		9,188		708,211
Ryder System Incorporated		1,504		89,864
Union Pacific Corporation		13,709		1,952,299
				3,484,816

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 17

Security name	Shares		Value
Trading Companies & Distributors: 0.11%
Fastenal Company		7,884	$	404,843
W.W. Grainger Incorporated		1,745		392,590
				797,433
Information Technology: 10.49%
Communications Equipment: 1.12%
Cisco Systems Incorporated		155,757		3,256,879
F5 Networks Incorporated †		2,295		204,439
Harris Corporation «		3,298		152,829
JDS Uniphase Corporation †		6,870		91,852
Juniper Networks Incorporated †		15,061		279,231
Motorola Solutions Incorporated		8,062		516,210
QUALCOMM Incorporated		50,190		3,360,221
				7,861,661
Computers & Peripherals: 2.42%
Apple Incorporated		27,431		12,141,784
Dell Incorporated		42,662		611,346
EMC Corporation †		61,473		1,468,590
Hewlett-Packard Company		57,043		1,359,905
NetApp Incorporated †		10,529		359,671
SanDisk Corporation †		7,064		388,520
Seagate Technology plc		9,329		341,068
Western Digital Corporation		6,329		318,222
				16,989,106
Electronic Equipment, Instruments & Components: 0.25%
Amphenol Corporation Class A		4,665		348,242
Corning Incorporated		43,011		573,337
FLIR Systems Incorporated		4,232		110,074
Jabil Circuit Incorporated		5,372		99,275
Molex Incorporated «		4,043		118,379
TE Connectivity Limited		12,278		514,817
				1,764,124
Internet Software & Services: 1.30%
Akamai Technologies Incorporated †		5,198		183,437
eBay Incorporated †		34,084		1,848,034
Google Incorporated Class A †		7,800		6,193,434
VeriSign Incorporated Ǡ		4,457		210,727
Yahoo! Incorporated †		28,309		666,111
				9,101,743
IT Services: 2.25%
Accenture plc		18,822		1,429,907
Automatic Data Processing Incorporated		14,168		921,203
Cognizant Technology Solutions Corporation Class A †		8,817		675,470
Computer Sciences Corporation		4,483		220,698

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
IT Services (continued)
Fidelity National Information Services Incorporated		8,566	$	339,385
Fiserv Incorporated †		3,901		342,625
International Business Machines Corporation		30,603		6,527,620
MasterCard Incorporated Class A		3,086		1,669,927
Paychex Incorporated		9,455		331,587
SAIC Incorporated		8,288		112,302
Teradata Corporation †		4,843		283,364
Total System Services Incorporated		4,693		116,293
Visa Incorporated Class A		15,064		2,558,470
Western Union Company		16,615		249,890
				15,778,741
Office Electronics: 0.05%
Xerox Corporation		35,751		307,459
Semiconductors & Semiconductor Equipment: 1.15%
Advanced Micro Devices Incorporated Ǡ		17,732		45,217
Altera Corporation		9,341		331,325
Analog Devices Incorporated		8,938		415,528
Applied Materials Incorporated		35,057		472,568
Broadcom Corporation Class A		15,292		530,174
First Solar Incorporated Ǡ		1,757		47,369
Intel Corporation		144,480		3,156,888
KLA-Tencor Corporation		4,855		256,053
Lam Research Corporation †		4,741		196,562
Linear Technology Corporation		6,794		260,686
LSI Corporation †		16,060		108,887
Microchip Technology Incorporated «		5,707		209,789
Micron Technology Incorporated †		29,847		297,873
NVIDIA Corporation		18,252		233,991
Teradyne Incorporated Ǡ		5,559		90,167
Texas Instruments Incorporated		32,271		1,144,975
Xilinx Incorporated		7,641		291,657
				8,089,709
Software: 1.95%
Adobe Systems Incorporated †		14,572		634,028
Autodesk Incorporated †		6,563		270,658
BMC Software Incorporated †		3,841		177,954
CA Incorporated		9,723		244,728
Citrix Systems Incorporated †		5,445		392,911
Electronic Arts Incorporated †		8,764		155,123
Intuit Incorporated		8,138		534,260
Microsoft Corporation		220,216		6,300,380
Oracle Corporation		107,873		3,488,613
Red Hat Incorporated †		5,644		285,361
Salesforce.com Incorporated †		3,936		703,875
Symantec Corporation †		20,133		496,882
				13,684,773

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 19

Security name	Shares		Value
Materials: 2.00%
Chemicals: 1.42%
Air Products & Chemicals Incorporated		6,066	$	528,470
Airgas Incorporated		1,996		197,923
CF Industries Holdings Incorporated		1,842		350,662
Dow Chemical Company		35,183		1,120,227
E.I. du Pont de Nemours & Company		27,292		1,341,675
Eastman Chemical Company		4,498		314,275
Ecolab Incorporated		7,755		621,796
FMC Corporation		4,022		229,375
International Flavors & Fragrances Incorporated		2,383		182,705
LyondellBasell Industries NV Class A		11,090		701,886
Monsanto Company		15,653		1,653,426
Mosaic Company		8,082		481,768
PPG Industries Incorporated		4,172		558,798
Praxair Incorporated		8,651		964,933
Sherwin-Williams Company		2,508		423,576
Sigma-Aldrich Corporation «		3,517		273,201
				9,944,696
Construction Materials: 0.03%
Vulcan Materials Company «		3,794		196,150
Containers & Packaging: 0.09%
Ball Corporation		4,366		207,734
Bemis Company Incorporated		3,009		121,443
Owens-Illinois Incorporated †		4,794		127,760
Sealed Air Corporation		5,685		137,065
				594,002
Metals & Mining: 0.35%
Alcoa Incorporated		31,238		266,148
Allegheny Technologies Incorporated		3,139		99,538
Cliffs Natural Resources Incorporated «		4,426		84,138
Freeport-McMoRan Copper & Gold Incorporated Class B		27,738		918,128
Newmont Mining Corporation		14,511		607,866
Nucor Corporation		9,281		428,318
United States Steel Corporation «		4,216		82,212
				2,486,348
Paper & Forest Products: 0.11%
International Paper Company		12,888		600,323
MeadWestvaco Corporation		5,134		186,364
				786,687
Telecommunication Services: 1.73%
Diversified Telecommunication Services: 1.55%
AT&T Incorporated		160,418		5,885,736
CenturyTel Incorporated «		18,280		642,176

The accompanying notes are an integral part of these financial statements.

20 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Diversified Telecommunication Services (continued)
Frontier Communications Corporation «		29,161	$	116,061
Verizon Communications Incorporated		83,494		4,103,730
Windstream Corporation «		17,249		137,130
				10,884,833
Wireless Telecommunication Services: 0.18%
Crown Castle International Corporation †		8,564		596,397
MetroPCS Communications Incorporated †		9,350		101,915
Sprint Nextel Corporation †		87,949		546,163
				1,244,475
Utilities: 2.04%
Electric Utilities: 1.11%
American Electric Power Company Incorporated		14,189		690,011
Duke Energy Corporation		20,583		1,494,120
Edison International		9,516		478,845
Entergy Corporation		5,202		328,974
Exelon Corporation		24,976		861,172
FirstEnergy Corporation		12,218		515,600
Nextera Energy Incorporated		12,383		961,911
Northeast Utilities		9,182		399,050
Pepco Holdings Incorporated		6,722		143,851
Pinnacle West Capital Corporation		3,207		185,653
PPL Corporation «		17,023		532,990
The Southern Company		25,385		1,191,064
				7,783,241
Gas Utilities: 0.06%
AGL Resources Incorporated		3,445		144,518
ONEOK Incorporated		5,986		285,353
				429,871
Independent Power Producers & Energy Traders: 0.07%
AES Corporation		18,081		227,278
NRG Energy Incorporated		9,439		250,039
				477,317
Multi-Utilities: 0.80%
Ameren Corporation		7,088		248,222
CenterPoint Energy Incorporated		12,493		299,332
CMS Energy Corporation		7,738		216,200
Consolidated Edison Incorporated		8,557		522,234
Dominion Resources Incorporated «		16,834		979,402
DTE Energy Company		5,040		344,434
Integrys Energy Group Incorporated «		2,290		133,186
NiSource Incorporated		9,091		266,730
PG&E Corporation		12,814		570,607
Public Service Enterprise Group Incorporated		14,779		507,511

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 21

Security name						Shares		Value
Multi-Utilities (continued)
SCANA Corporation «							3,869	$	197,932
Sempra Energy							6,608		528,244
TECO Energy Incorporated							5,965		106,296
Wisconsin Energy Corporation							6,689		286,891
Xcel Energy Incorporated							14,265		423,671
									5,630,892
Total Common Stocks (Cost $294,092,040)									408,348,382
	Interest rate			Maturity date		Principal
Non-Agency Mortgage Backed Securities: 0.00%
Citigroup Mortgage Loan Trust Incorporated Series 2004-HYB4 Class AA ±		0.53	%		12-25-2034	$	25,284		23,510
Terwin Mortgage Trust Series 2004-21HE Class 1A1 ±		1.16			12-25-2034		7,814		7,404
Total Non-Agency Mortgage Backed Securities (Cost $33,098)									30,914
U.S. Treasury Securities: 33.93%
U.S. Treasury Bond		2.75			8-15-2042		5,968,000		5,549,309
U.S. Treasury Bond		2.75			11-15-2042		4,644,000		4,313,839
U.S. Treasury Bond		3.00			5-15-2042		4,900,000		4,807,361
U.S. Treasury Bond		3.13			11-15-2041		11,934,000		12,029,102
U.S. Treasury Bond		3.13			2-15-2042		6,258,000		6,302,000
U.S. Treasury Bond		3.13			2-15-2043		3,433,000		3,446,945
U.S. Treasury Bond		3.50			2-15-2039		9,195,000		10,016,803
U.S. Treasury Bond		3.75			8-15-2041		15,975,000		18,099,180
U.S. Treasury Bond		3.88			8-15-2040		12,868,000		14,912,802
U.S. Treasury Bond		4.25			5-15-2039		10,503,000		12,930,180
U.S. Treasury Bond		4.25			11-15-2040		14,576,000		17,955,810
U.S. Treasury Bond		4.38			2-15-2038		5,198,000		6,509,684
U.S. Treasury Bond		4.38			11-15-2039		12,725,000		15,973,845
U.S. Treasury Bond		4.38			5-15-2040		14,734,000		18,502,677
U.S. Treasury Bond		4.38			5-15-2041		13,209,000		16,602,062
U.S. Treasury Bond		4.50			2-15-2036		7,019,000		8,927,291
U.S. Treasury Bond		4.50			5-15-2038		6,588,000		8,405,880
U.S. Treasury Bond		4.50			8-15-2039		7,736,000		9,894,824
U.S. Treasury Bond		4.63			2-15-2040		13,479,000		17,579,568
U.S. Treasury Bond		4.75			2-15-2037		3,060,000		4,033,940
U.S. Treasury Bond		4.75			2-15-2041		11,532,000		15,341,158
U.S. Treasury Bond		5.00			5-15-2037		4,273,000		5,827,304
Total U.S. Treasury Securities (Cost $203,046,446)									237,961,564
	Yield					Shares
Short-Term Investments: 6.27%
Investment Companies: 3.97%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (l)(u)		0.13					12,533,054		12,533,054
Wells Fargo Securities Lending Cash Investments, LLC(l)(u)(v)(r)		0.18					15,288,420		15,288,420
									27,821,474

The accompanying notes are an integral part of these financial statements.

22 Wells Fargo Advantage Index Asset Allocation Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Yield			Maturity date		Principal		Value
U.S. Treasury Securities: 2.30%
U.S. Treasury Bill (z)#		0.06	%		4-4-2013	$	9,185,000	$	9,184,935
U.S. Treasury Bill (z)#		0.06			4-25-2013		6,955,000		6,954,722
									16,139,657
Total Short-Term Investments (Cost $43,961,131)									43,961,131

Total investments in securities (Cost $541,247,566) *	98.45	%		690,429,657
Other assets and liabilities, net	1.55			10,858,158
Total net assets	100.00	%	$	701,287,815

« All or a portion of this security is on loan.

† Non-income-earning security

(l) Investment in an affiliate

± Variable rate investment. The rate shown is the rate in effect at period end.

(u) Rate shown is the 7-day annualized yield at period end.

(v) Security represents investment of cash collateral received from securities on loan.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

(z) Zero coupon security. Rate represents yield to maturity at time of purchase.

# All or a portion of this security is segregated as collateral for investments in derivative instruments.

* Cost for federal income tax purposes is $571,957,861 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	161,646,580
Gross unrealized depreciation		(43,174,784	)
Net unrealized appreciation	$	118,471,796

The accompanying notes are an integral part of these financial statements.

Statement of assets and liabilities—March 31, 2013 (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 23

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	657,311,400
In affiliated securities, at value (see cost below)		33,118,257
Total investments, at value (see cost below)		690,429,657
Cash		68,452
Receivable for investments sold		23,381,248
Principal paydown receivable		10
Receivable for daily variation margin on open futures contracts		812,617
Receivable for Fund shares sold		477,797
Receivable for dividends and interest		2,570,312
Receivable for securities lending income		2,653
Prepaid expenses and other assets		33,725
Total assets		717,776,471
Liabilities
Payable for investments purchased		4,318
Payable for Fund shares redeemed		455,715
Payable upon receipt of securities loaned		15,288,420
Advisory fee payable		324,206
Distribution fees payable		12,266
Due to other related parties		178,710
Accrued expenses and other liabilities		225,021
Total liabilities		16,488,656
Total net assets	$	701,287,815
NET ASSETS CONSIST OF
Paid-in capital	$	632,561,066
Undistributed net investment income		189,913
Accumulated net realized losses on investments		(82,617,209	)
Net unrealized gains on investments		151,154,045
Total net assets	$	701,287,815
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	650,671,170
Shares outstanding – Class A		27,615,185
Net asset value per share – Class A		$23.56
Maximum offering price per share – Class A2		$25.00
Net assets – Class B	$	1,744,969
Shares outstanding – Class B		120,759
Net asset value per share – Class B		$14.45
Net assets – Class C	$	17,824,431
Shares outstanding – Class C		1,239,444
Net asset value per share – Class C		$14.38
Net assets – Administrator Class	$	31,047,245
Shares outstanding – Administrator Class		1,316,859
Net asset value per share – Administrator Class		$23.58
Investments in unaffiliated securities (including securities on loan), at cost	$	507,475,544
Investments in affiliated securities, at cost	$	33,772,022
Total investments, at cost	$	541,247,566
Securities on loan, at value	$	14,943,014

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

24 Wells Fargo Advantage Index Asset Allocation Fund Statement of operations—six months ended March 31, 2013 (unaudited)

Investment income
Dividends*	$	5,002,591
Interest		3,862,464
Securities lending income, net		36,547
Income from affiliated securities		11,868
Total investment income		8,913,470
Expenses
Advisory fee		1,987,072
Administration fees
Fund level		169,316
Class A		817,512
Class B		2,480
Class C		21,823
Administrator Class		14,856
Shareholder servicing fees
Class A		786,070
Class B		2,384
Class C		20,984
Administrator Class		36,251
Distribution fees
Class B		7,152
Class C		62,952
Custody and accounting fees		39,644
Professional fees		14,626
Registration fees		22,144
Shareholder report expenses		27,620
Trustees’ fees and expenses		7,992
Other fees and expenses		13,753
Total expenses		4,054,631
Less: Fee waivers and/or expense reimbursements		(127,412	)
Net expenses		3,927,219
Net investment income		4,986,251
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Unaffiliated securities		16,581,110
Affiliated securities		186,875
Futures transactions		17,689,285
Net realized gains on investments		34,457,270
Net change in unrealized gains (losses) on:
Unaffiliated securities		5,922,083
Affiliated securities		173,624
Futures transactions		989,483
Net change in unrealized gains (losses) on investments		7,085,190
Net realized and unrealized gains (losses) on investments		41,542,460
Net increase in net assets resulting from operations	$	46,528,711
* Net of foreign dividend withholding taxes in the amount of		$5,996

The accompanying notes are an integral part of these financial statements.

Statement of changes in net assets Wells Fargo Advantage Index Asset Allocation Fund 25

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income				$	4,986,251					$	9,164,776
Net realized gains on investments					34,457,270						38,228,011
Net change in unrealized gains (losses) on investments					7,085,190						94,751,352
Net increase in net assets resulting from operations					46,528,711						142,144,139
Distributions to shareholders from
Net investment income
Class A					(4,744,979	)					(8,673,074	)
Class B					(6,137	)					(16,884	)
Class C					(65,441	)					(104,940	)
Administrator Class					(257,824	)					(434,429	)
Total distributions to shareholders					(5,074,381	)					(9,229,327	)
	Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		220,724			4,948,173			528,654			11,077,943
Class B		12,406			166,565			8,267			105,722
Class C		69,288			946,416			118,297			1,476,592
Administrator Class		264,013			5,863,757			480,224			9,993,491
					11,924,911						22,653,748
Reinvestment of distributions
Class A		207,376			4,639,179			406,061			8,414,668
Class B		431			5,892			1,228			15,331
Class C		4,549			62,037			7,532			95,261
Administrator Class		9,253			207,224			17,909			371,509
					4,914,332						8,896,769
Payment for shares redeemed
Class A		(1,880,134	)		(41,856,193	)		(3,607,785	)		(74,222,576	)
Class B		(51,847	)		(707,224	)		(255,288	)		(3,220,547	)
Class C		(68,548	)		(931,978	)		(328,656	)		(4,098,429	)
Administrator Class		(305,233	)		(6,665,764	)		(292,110	)		(6,137,575	)
					(50,161,159	)					(87,679,127	)
Net decrease in net assets resulting from capital share transactions					(33,321,916	)					(56,128,610	)
Total increase in net assets					8,132,414						76,786,202
Net assets
Beginning of period					693,155,401						616,369,199
End of period				$	701,287,815					$	693,155,401
Undistributed net investment income				$	189,913					$	278,043

The accompanying notes are an integral part of these financial statements.

26 Wells Fargo Advantage Index Asset Allocation Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
CLASS A				2012			2011			2010			2009			2008
Net asset value, beginning of period	$	22.17		$	18.12		$	17.56		$	16.42		$	17.63		$	23.12
Net investment income		0.17			0.29			0.30			0.28			0.31	1		0.44	1
Net realized and unrealized gains (losses) on investments		1.39			4.05			0.56			1.14			(1.21	)		(4.36	)
Total from investment operations		1.56			4.34			0.86			1.42			(0.90	)		(3.92	)
Distributions to shareholders from
Net investment income		(0.17	)		(0.29	)		(0.30	)		(0.28	)		(0.31	)		(0.44	)
Net realized gains		0.00			0.00			0.00			0.00			(0.00	)2		(1.13	)
Total distributions to shareholders		(0.17	)		(0.29	)		(0.30	)		(0.28	)		(0.31	)		(1.57	)
Net asset value, end of period		$23.56			$22.17			$18.12			$17.56			$16.42			$17.63
Total return3		7.08	%		24.07	%		4.84	%		8.72	%		(4.85	)%		(17.92	)%
Ratios to average net assets (annualized)
Gross expenses		1.18	%		1.17	%		1.18	%		1.26	%		1.29	%		1.29	%
Net expenses		1.15	%		1.15	%		1.15	%		1.14	%		1.15	%		1.15	%
Net investment income		1.48	%		1.39	%		1.54	%		1.64	%		2.13	%		2.17	%
Supplemental data
Portfolio turnover rate		3	%		16	%		18	%		28	%		43	%		45	%
Net assets, end of period (000s omitted)		$650,671			$644,365			$575,248			$626,119			$646,445			$777,876

1. Calculated based upon average shares outstanding

2. Amount is less than $0.005.

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Index Asset Allocation Fund 27

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
CLASS B				2012			2011			2010			2009			2008
Net asset value, beginning of period	$	13.59		$	11.10		$	10.74		$	10.02		$	10.74		$	14.07
Net investment income		0.05	1		0.08	1		0.09	1		0.09	1		0.13	1		0.18	1
Net realized and unrealized gains (losses) on investments		0.86			2.48			0.35			0.70			(0.74	)		(2.66	)
Total from investment operations		0.91			2.56			0.44			0.79			(0.61	)		(2.48	)
Distributions to shareholders from
Net investment income		(0.05	)		(0.07	)		(0.08	)		(0.07	)		(0.11	)		(0.16	)
Net realized gains		0.00			0.00			0.00			0.00			(0.00	)2		(0.69	)
Total distributions to shareholders		(0.05	)		(0.07	)		(0.08	)		(0.07	)		(0.11	)		(0.85	)
Net asset value, end of period		$14.45			$13.59			$11.10			$10.74			$10.02			$10.74
Total return3		6.69	%		23.08	%		4.11	%		7.90	%		(5.48	)%		(18.56	)%
Ratios to average net assets (annualized)
Gross expenses		1.93	%		1.93	%		1.93	%		2.02	%		2.04	%		2.04	%
Net expenses		1.90	%		1.90	%		1.90	%		1.89	%		1.90	%		1.90	%
Net investment income		0.74	%		0.65	%		0.78	%		0.89	%		1.43	%		1.42	%
Supplemental data
Portfolio turnover rate		3	%		16	%		18	%		28	%		43	%		45	%
Net assets, end of period (000s omitted)		$1,745			$2,171			$4,500			$8,753			$15,201			$31,831

1. Calculated based upon average shares outstanding

2. Amount is less than $0.005.

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

28 Wells Fargo Advantage Index Asset Allocation Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
CLASS C				2012			2011			2010			2009			2008
Net asset value, beginning of period	$	13.53		$	11.06		$	10.72		$	10.00		$	10.73		$	14.07
Net investment income		0.05	1		0.08			0.09			0.09	1		0.12	1		0.18	1
Net realized and unrealized gains (losses) on investments		0.85			2.47			0.34			0.71			(0.73	)		(2.66	)
Total from investment operations		0.90			2.55			0.43			0.80			(0.61	)		(2.48	)
Distributions to shareholders from
Net investment income		(0.05	)		(0.08	)		(0.09	)		(0.08	)		(0.12	)		(0.17	)
Net realized gains		0.00			0.00			0.00			0.00			(0.00	)2		(0.69	)
Total distributions to shareholders		(0.05	)		(0.08	)		(0.09	)		(0.08	)		(0.12	)		(0.86	)
Net asset value, end of period		$14.38			$13.53			$11.06			$10.72			$10.00			$10.73
Total return3		6.70	%		23.11	%		4.02	%		7.99	%		(5.51	)%		(18.56	)%
Ratios to average net assets (annualized)
Gross expenses		1.93	%		1.92	%		1.93	%		2.01	%		2.03	%		2.03	%
Net expenses		1.90	%		1.90	%		1.90	%		1.89	%		1.90	%		1.90	%
Net investment income		0.73	%		0.64	%		0.79	%		0.89	%		1.39	%		1.42	%
Supplemental data
Portfolio turnover rate		3	%		16	%		18	%		28	%		43	%		45	%
Net assets, end of period (000s omitted)		$17,824			$16,699			$15,895			$17,839			$19,162			$24,975

1. Calculated based upon average shares outstanding

2. Amount is less than $0.005.

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Index Asset Allocation Fund 29

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
ADMINISTRATOR CLASS				2012			2011			2010			2009			2008
Net asset value, beginning of period	$	22.18		$	18.14		$	17.57		$	16.44		$	17.65		$	23.15
Net investment income		0.20			0.34			0.34			0.31			0.34	1		0.50	1
Net realized and unrealized gains (losses) on investments		1.40			4.04			0.58			1.16			(1.20	)		(4.38	)
Total from investment operations		1.60			4.38			0.92			1.47			(0.86	)		(3.88	)
Distributions to shareholders from
Net investment income		(0.20	)		(0.34	)		(0.35	)		(0.34	)		(0.35	)		(0.49	)
Net realized gains		0.00			0.00			0.00			0.00			(0.00	)2		(1.13	)
Total distributions to shareholders		(0.20	)		(0.34	)		(0.35	)		(0.34	)		(0.35	)		(1.62	)
Net asset value, end of period		$23.58			$22.18			$18.14			$17.57			$16.44			$17.65
Total return3		7.25	%		24.30	%		5.18	%		9.02	%		(4.61	)%		(17.73	)%
Ratios to average net assets (annualized)
Gross expenses		1.02	%		1.01	%		1.02	%		1.09	%		1.11	%		1.11	%
Net expenses		0.90	%		0.90	%		0.90	%		0.89	%		0.90	%		0.90	%
Net investment income		1.74	%		1.63	%		1.79	%		1.89	%		2.39	%		2.43	%
Supplemental data
Portfolio turnover rate		3	%		16	%		18	%		28	%		43	%		45	%
Net assets, end of period (000s omitted)		$31,047			$29,920			$20,726			$17,630			$27,455			$34,802

1. Calculated based upon average shares outstanding

2. Amount is less than $0.005.

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

30 Wells Fargo Advantage Index Asset Allocation Fund Notes to financial statements (unaudited)

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Index Asset Allocation Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Fixed income securities acquired with maturities exceeding 60 days are valued based on evaluated bid prices received from an independent pricing service which may utilize both transaction data and market information such as yield, prices of securities of comparable quality, coupon rate, maturity, type of issue, trading characteristics and other market data. If valuations are not available from the independent pricing service or values received are deemed not representative of market value, values will be obtained from a broker-dealer or otherwise determined based on the Fund’s Valuation Procedures.

Debt securities of sufficient credit quality acquired with maturities of 60 days or less generally are valued at amortized cost which approximates fair value. The amortized cost method involves valuing a security at its cost, plus accretion of discount or minus amortization of premium over the period until maturity.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Notes to financial statements (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 31

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Futures contracts

The Fund may be subject to interest rate risk and equity price risk in the normal course of pursuing its investment objectives. The Fund may buy and sell futures contracts in order to gain exposure to, or protect against, changes in security values and interest rates. The primary risks associated with the use of futures contracts are the imperfect correlation between changes in market values of securities held by the Fund and the prices of futures contracts, and the possibility of an illiquid market.

Futures contracts are valued based upon their quoted daily settlement prices when available. The aggregate principal amounts of the contracts are not recorded in the financial statements. Fluctuations in the value of the contracts are recorded in the Statement of Assets and Liabilities as an asset or liability and in the Statement of Operations as unrealized gains or losses until the contracts are closed, at which point they are recorded as net realized gains or losses on futures contracts. With futures contracts, there is minimal counterparty risk to the Fund since futures are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded futures, guarantees the futures against default.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Interest income is accrued daily and bond discounts are accreted and premiums are amortized daily based on the effective interest method. To the extent debt obligations are placed on non-accrual status, any related interest income may be reduced by writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. If the issuer subsequently resumes interest payments or when the collectability of interest is reasonably assured, the debt obligation is removed from non-accrual status.

Dividend income is recognized on the ex-dividend date. Dividend income is recorded net of foreign taxes withheld where recovery of such taxes is not assured.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

32 Wells Fargo Advantage Index Asset Allocation Fund Notes to financial statements (unaudited)

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

As of September 30, 2012, the Fund had pre-enactment capital loss carryforwards incurred in taxable years beginning before December 22, 2010, which are available to offset future net realized capital gains, in the amount of $48,269,554 with $34,357,755 expiring in 2017, $5,544,373 expiring in 2018 and $8,367,426 expiring in 2019.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Agency securities	$	0	$	127,666	$	0	$	127,666
Equity securities
Common stocks		408,348,382		0		0		408,348,382
Non-agency mortgage backed securities		0		30,914		0		30,914
U.S. Treasury securities		237,961,564		0		0		237,961,564
Short-term investments
Investment companies		12,533,054		15,288,420		0		27,821,474
U.S. Treasury securities		0		16,139,657		0		16,139,657
	$	658,843,000	$	31,586,657	$	0	$	690,429,657

Notes to financial statements (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 33

As of March 31, 2013, the inputs used in valuing the Fund’s other financial instruments, which are carried at fair value, were as follows:

Other financial instruments	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Futures contracts+	$	1,971,954	$	0	$	0	$	1,971,954

+ Futures contracts are presented at the unrealized gains or losses on the instrument.

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.60% and declining to 0.45% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.59% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.15% and declining to 0.10% as the average daily net assets of the Fund increase.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C		0.26	%
Administrator Class		0.10

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.15% for Class A shares,1.90% for Class B shares, 1.90% for Class C shares, and 0.90% for Administrator Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class B, and Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B and Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares.

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $9,940 from the sale of Class A shares and $95 and $11 in contingent deferred sales charges from redemptions of Class B and Class C shares, respectively.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby each class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

34 Wells Fargo Advantage Index Asset Allocation Fund Notes to financial statements (unaudited)

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding short-term securities, for the six months ended March 31, 2013 were as follows:

Purchases at cost		Sales proceeds
U.S. government	Non-U.S. government	U.S. government	Non-U.S. government
$11,275,126	$5,068,280	$5,082,462	$52,523,476

6. DERIVATIVE TRANSACTIONS

During the six months ended March 31, 2013, the Fund entered into futures contracts to gain market exposure to certain asset classes in accordance with an active asset allocation strategy.

At March 31, 2013, the Fund had long and short futures contracts outstanding as follows:

Expiration date	Contracts	Type	Contract value at March 31, 2013		Unrealized gains (losses)
6-20-2013	479 Long	S&P 500 Index	$	187,133,325	$	2,979,610
6-19-2013	104 Long	30-Year U.S. Treasury Bonds		15,024,750		(8,845	)
6-19-2013	1,226 Short	30-Year U.S. Treasury Bonds		177,118,688		(998,811	)

The Fund had an average notional amount of $184,279,557 and $171,795,318 in long futures contracts and short futures contracts, respectively, during the six months ended March 31, 2013.

A summary of derivative instruments by primary risk exposure is outlined in the following tables.

The fair value of derivative instruments as of March 31, 2013 was as follows for the Fund:

	Asset derivatives
	Balance sheet location	Fair value
Interest rate contracts	Net assets – Net unrealized gains on investments	$	(1,007,656	)*
Equity contracts	Net assets – Net unrealized gains on investments		2,979,610	*
		$	1,971,954

* Amount represents cumulative unrealized gains/losses on futures contracts. Only the variation margin as of March 31, 2013 is reported separately on the Statement of Asset and Liabilities.

The effect of derivative instruments on the Statement of Operations during the six months ended March 31, 2013 was as follows for the Fund:

	Amount of realized gains on derivatives		Change in unrealized gains(losses) on derivatives
Interest rate contracts	$	3,744,342	$	(1,793,105	)
Equity contracts		13,944,943		2,782,588
	$	17,689,285	$	989,483

7. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the

Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $592 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

Notes to financial statements (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 35

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

9. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

36 Wells Fargo Advantage Index Asset Allocation Fund Other information (unaudited)

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

Other information (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 37

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

38 Wells Fargo Advantage Index Asset Allocation Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Jeremy DePalma1 (Born 1974)	Treasurer, since 2012	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

1. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

Other information (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 39

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Index Asset Allocation Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources and reputation, to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a

40 Wells Fargo Advantage Index Asset Allocation Fund Other information (unaudited)

description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted that the performance of the Fund (Administrator Class) was higher than or in the range of the median performance of the Universe for all periods under review. The Board also noted that the performance of the Fund was higher than its benchmark, the Index Asset Allocation Composition Index, for the one-year period under review, and lower than the benchmark for the three-, five- and ten-year periods under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the benchmark for the three-, five- and ten-year periods under review. Funds Management advised the Board about the market conditions and investment decisions that it believed contributed to the underperformance during that period. The Board was satisfied with the explanation of the factors contributing to underperformance and with the steps being taken by Funds Management and the Sub-Adviser to address the Fund’s investment performance.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were lower than the median net operating expense ratios of the expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were in range of the median rate for the Fund’s expense Groups for all classes except the Class A. The Board also viewed favorably the fact that the net operating expense ratios of the Fund were lower than the median net operating expense ratios of the expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be

Other information (unaudited) Wells Fargo Advantage Index Asset Allocation Fund 41

necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

42 Wells Fargo Advantage Index Asset Allocation Fund List of abbreviations

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD — ��Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215920 05-13 SA227/SAR227 3-13

Wells Fargo Advantage Opportunity Fund^SM

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	12
Statement of operations	13
Statement of changes in net assets	14
Financial highlights	15
Notes to financial statements	21
Other information	26
List of abbreviations	32

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Opportunity Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Opportunity Fund for the six-month period ended March 31, 2013. Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets. This backdrop enabled most equity styles to generate positive returns. For the six-month period, the small-cap-oriented Russell 2000^® Index¹ returned 14.48%, while the mid-cap-focused Russell Midcap^® Index² posted a 16.21% total return.

The U.S. economy improved with the support of an accommodative monetary policy.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program. Just prior to the beginning of the reporting period, the Federal Open Market Committee announced its intention to keep interest rates low until at least mid-2015 in order to support the sluggish economy. The Fed also announced open-ended purchases of $40 billion per month in mortgage-backed securities in an effort to support the housing market.

The global economy continues to be affected by bouts of uncertainty, including political questions in the U.S., Europe, and China.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank (ECB) and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. Furthermore, the ECB maintained its accommodative monetary policy by keeping its key rate at a historic low of 0.75%.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns, and capital markets generally advanced during this time period.

1. The Russell 2000^® Index measures the performance of the 2,000 smallest companies in the Russell 3000^® Index, which represents approximately 8% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

2. The Russell Midcap^® Index measures the performance of the 800 smallest companies in the Russell 1000^® Index, which represent approximately 25% of the total market capitalization of the Russell 1000 Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Opportunity Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

4 Wells Fargo Advantage Opportunity Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Ann M. Miletti

Thomas D. Wooden, CFA

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (SOPVX)	2-24-2000		4.97		5.18		9.62		11.38		6.43		10.28		1.26		1.23
Class B (SOPBX)*	8-26-2011		5.52		5.32		9.87		10.52		5.64		9.87		2.01		1.98
Class C (WFOPX)	3-31-2008		9.52		5.64		9.52		10.52		5.64		9.52		2.01		1.98
Administrator Class (WOFDX)	8-30-2002		–		–		–		11.65		6.69		10.57		1.10		1.01
Institutional Class (WOFNX)	7-30-2010		–		–		–		11.92		6.82		10.64		0.83		0.76
Investor Class (SOPFX)	12-31-1985		–		–		–		11.27		6.36		10.26		1.32		1.29
Russell Midcap® Index4,6	–		–		–		–		17.30		8.37		12.27		–		–
Russell 3000® Index5,6	–		–		–		–		14.56		6.32		9.15		–		–

* Class B shares are closed to investment, except in connection with the reinvestment of any distributions and permitted exchanges.

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class B shares, the maximum contingent deferred sales charge is 5.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class, Institutional Class, and Investor Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Smaller-company stocks tend to be more volatile and less liquid than those of larger companies. Certain investment strategies tend to increase the total risk of an investment (relative to the broader market). The Fund is exposed to foreign investment risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Opportunity Fund 5

Ten largest equity holdings7 (%) as of March 31, 2013
ACE Limited	2.11
Praxair Incorporated	1.80
Republic Services Incorporated	1.61
Agilent Technologies Incorporated	1.60
ON Semiconductor Corporation	1.58
Denbury Resources Incorporated	1.52
K12 Incorporated	1.49
Superior Energy Services Incorporated	1.45
Global Payments Incorporated	1.44
Kroger Company	1.44

Sector distribution⁸ as of March 31, 2013

1. Historical performance shown for Class B shares prior to their inception reflects the performance of Class C shares. Historical performance shown for Class C shares prior to their inception reflects the performance of Class A shares, adjusted to reflect the higher expenses applicable to Class C shares. Historical performance shown for the Institutional Class prior to their inception reflects the performance of the Administrator Class shares, and includes the higher expenses applicable to the Administrator Class shares. If these expenses had not been included, returns would be higher. Effective June 20, 2008, the Advisor Class was renamed Class A and modified to assume the features and attributes of Class A. Historical performance shown for the Class A shares through June 19, 2008, includes Advisor Class expenses.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at 1.22% for Class A, 1.97% for Class B, 1.97% for Class C, 1.00% for Administrator Class, 0.75% for Institutional Class, and 1.28% for Investor Class. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. The Russell Midcap^® Index measures the performance of the 800 smallest companies in the Russell 1000^® Index, which represent approximately 25% of the total market capitalization of the Russell 1000^® Index. You cannot invest directly in an index.

5. The Russell 3000^® Index measures the performance of the 3,000 largest U.S. companies based on total market capitalization, which represents approximately 98% of the investable U.S. equity market. You cannot invest directly in an index.

6. Effective January 1, 2013, the Fund changed its benchmark from the Russell MidCap Index to the Russell 3000 Index to better align with its new strategy to invest in equity securities of companies of all market capitalizations.

7. The ten largest equity holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

8. Sector distribution is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage Opportunity Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,146.93	$	6.64		1.24	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.75	$	6.24		1.24	%
Class B
Actual	$	1,000.00	$	1,142.50	$	10.63		1.99	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.01	$	10.00		1.99	%
Class C
Actual	$	1,000.00	$	1,142.50	$	10.63		1.99	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.01	$	10.00		1.99	%
Administrator Class
Actual	$	1,000.00	$	1,148.26	$	5.36		1.00	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.95	$	5.04		1.00	%
Institutional Class
Actual	$	1,000.00	$	1,149.80	$	4.02		0.75	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.19	$	3.78		0.75	%
Investor Class
Actual	$	1,000.00	$	1,146.23	$	7.01		1.31	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.40	$	6.59		1.31	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Opportunity Fund 7

Security name	Shares		Value
Common Stocks: 93.59%
Consumer Discretionary: 20.47%
Auto Components: 0.96%
Johnson Controls Incorporated		490,829	$	17,213,373
Diversified Consumer Services: 1.49%
K12 Incorporated †		1,113,985		26,858,178
Hotels, Restaurants & Leisure: 1.03%
Carnival Corporation		543,327		18,636,116
Household Durables: 2.22%
Harman International Industries Incorporated		434,463		19,390,084
Whirlpool Corporation		173,523		20,555,535
				39,945,619
Media: 5.36%
Cablevision Systems Corporation New York Group Class A «		1,087,010		16,261,670
Comcast Corporation Class A		394,801		15,642,016
Discovery Communications Incorporated Ǡ		307,383		21,375,414
Liberty Global Incorporated Class A «†		274,302		20,133,767
Omnicom Group Incorporated «		393,037		23,149,879
				96,562,746
Multiline Retail: 5.34%
Dollar General Corporation †		305,887		15,471,764
Family Dollar Stores Incorporated		192,939		11,393,048
Kohl’s Corporation «		533,389		24,605,235
Macy’s Incorporated		520,687		21,785,544
Nordstrom Incorporated		414,980		22,919,345
				96,174,936
Specialty Retail: 3.55%
CarMax Incorporated †		544,491		22,705,275
Dick’s Sporting Goods Incorporated «		397,869		18,819,204
Express Incorporated †		1,255,109		22,353,491
				63,877,970
Textiles, Apparel & Luxury Goods: 0.52%
Coach Incorporated		186,922		9,344,231
Consumer Staples: 5.07%
Food & Staples Retailing: 1.44%
Kroger Company		781,405		25,895,762
Food Products: 2.58%
General Mills Incorporated «		474,829		23,413,818
Mead Johnson Nutrition Company		298,394		23,110,615
				46,524,433

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Opportunity Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Household Products: 1.05%
Church & Dwight Company Incorporated		292,369	$	18,895,808
Energy: 8.97%
Energy Equipment & Services: 5.09%
McDermott International Incorporated Ǡ		1,866,837		20,516,539
National Oilwell Varco Incorporated		317,084		22,433,693
Superior Energy Services Incorporated †		1,005,433		26,111,095
Weatherford International Limited †		1,864,644		22,636,778
				91,698,105
Oil, Gas & Consumable Fuels: 3.88%
Denbury Resources Incorporated Ǡ		1,466,663		27,353,265
Newfield Exploration Company †		661,099		14,821,840
Peabody Energy Corporation		355,583		7,520,580
Range Resources Corporation «		248,972		20,176,691
				69,872,376
Financials: 14.08%
Capital Markets: 2.46%
Invesco Limited		690,453		19,995,519
TD Ameritrade Holding Corporation		1,176,369		24,256,729
				44,252,248
Commercial Banks: 3.43%
Branch Banking & Trust Corporation		441,014		13,843,429
Fifth Third Bancorp		1,403,094		22,884,463
PNC Financial Services Group Incorporated		376,741		25,053,277
				61,781,169
Diversified Financial Services: 1.42%
IntercontinentalExchange Incorporated Ǡ		156,419		25,507,246
Insurance: 4.40%
ACE Limited		427,430		38,028,447
American International Group Incorporated †		510,001		19,798,239
RenaissanceRe Holdings Limited		232,972		21,431,094
				79,257,780
REITs: 2.37%
American Tower Corporation		251,810		19,369,225
BioMed Realty Trust Incorporated		1,080,711		23,343,358
				42,712,583
Health Care: 9.75%
Health Care Equipment & Supplies: 3.77%
C.R. Bard Incorporated		201,751		20,332,466
Covidien plc		372,480		25,269,043
Zimmer Holdings Incorporated		295,460		22,224,501
				67,826,010
Health Care Providers & Services: 0.63%
Patterson Companies Incorporated		298,046		11,337,670

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Opportunity Fund 9

Security name	Shares		Value
Life Sciences Tools & Services: 5.35%
Agilent Technologies Incorporated		686,035	$	28,792,889
Covance Incorporated Ǡ		335,574		24,939,860
Thermo Fisher Scientific Incorporated		294,689		22,540,762
Waters Corporation †		213,282		20,029,313
				96,302,824
Industrials: 12.07%
Aerospace & Defense: 1.27%
B/E Aerospace Incorporated †		378,682		22,830,738
Airlines: 1.30%
Delta Air Lines Incorporated †		734,947		12,133,975
United Continental Holdings Incorporated Ǡ		350,151		11,208,334
				23,342,309
Commercial Services & Supplies: 1.61%
Republic Services Incorporated		877,093		28,944,069
Electrical Equipment: 2.58%
AMETEK Incorporated		319,144		13,838,084
Babcock & Wilcox Company		619,036		17,586,813
Regal-Beloit Corporation		184,735		15,066,987
				46,491,884
Machinery: 2.72%
Dover Corporation		205,426		14,971,447
Joy Global Incorporated «		384,700		22,897,344
SPX Corporation		141,331		11,159,496
				49,028,287
Road & Rail: 2.59%
Hertz Global Holdings Incorporated Ǡ		1,027,576		22,873,842
J.B. Hunt Transport Services Incorporated		320,612		23,879,182
				46,753,024
Information Technology: 16.35%
Communications Equipment: 1.26%
Riverbed Technology Incorporated †		1,519,628		22,657,653
Computers & Peripherals: 1.41%
NetApp Incorporated †		741,832		25,340,981
Electronic Equipment, Instruments & Components: 1.33%
Amphenol Corporation Class A «		321,960		24,034,314
IT Services: 3.84%
Alliance Data Systems Corporation Ǡ		118,780		19,229,294
Cognizant Technology Solutions Corporation Class A †		312,475		23,938,710
Global Payments Incorporated		522,318		25,938,312
				69,106,316

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Opportunity Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name				Shares		Value
Semiconductors & Semiconductor Equipment: 4.81%
Altera Corporation					569,250	$	20,191,298
ARM Holdings plc					1,155,019		16,163,488
Avago Technologies Limited					606,912		21,800,279
ON Semiconductor Corporation †					3,440,571		28,487,928
							86,642,993
Software: 3.70%
Autodesk Incorporated †					501,456		20,680,045
Check Point Software Technologies Limited Ǡ					497,025		23,355,205
Red Hat Incorporated †					447,573		22,629,291
							66,664,541
Materials: 6.83%
Chemicals: 3.03%
Potash Corporation of Saskatchewan					565,367		22,190,655
Praxair Incorporated					289,998		32,346,377
							54,537,032
Containers & Packaging: 3.80%
Bemis Company Incorporated «					546,272		22,047,538
Crown Holdings Incorporated †					579,329		24,105,880
Owens-Illinois Incorporated †					837,964		22,331,736
							68,485,154
Total Common Stocks (Cost $1,222,183,417)							1,685,336,478
Investment Companies: 1.56%
SPDR Gold Shares ETF Ǡ							22,250,839
SPDR S&P Biotech ETF «							5,908,901
Total Investment Companies (Cost $27,690,395)							28,159,740
	Yield
Short-Term Investments: 17.26%
Investment Companies: 17.26%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (u)(l)		0.13	%		51,461,613		51,461,613
Wells Fargo Securities Lending Cash Investments, LLC (u)(l)(v)(r)		0.18			259,364,865		259,364,865
Total Short-Term Investments (Cost $310,826,478)							310,826,478

Total investments in securities
(Cost $1,560,700,290) *	112.41	%		2,024,322,696
Other assets and liabilities, net	(12.41	)		(223,481,864	)
Total net assets	100.00	%	$	1,800,840,832

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Opportunity Fund 11

† Non-income-earning security

« All or a portion of this security is on loan.

(u) Rate shown is the 7-day annualized yield at period end.

(l) Investment in an affiliate

(v) Security represents investment of cash collateral received from securities on loan.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

* Cost for federal income tax purposes is $1,584,799,801 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	482,992,072
Gross unrealized depreciation		(43,469,177	)
Net unrealized appreciation	$	439,522,895

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Opportunity Fund Statement of assets and liabilities—March 31, 2013 (unaudited)

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	1,713,496,218
In affiliated securities, at value (see cost below)		310,826,478
Total investments, at value (see cost below)		2,024,322,696
Cash		72,088
Foreign currency, at value (see cost below)		114
Receivable for investments sold		45,402,598
Receivable for Fund shares sold		738,064
Receivable for dividends		2,011,545
Receivable for securities lending income		26,114
Prepaid expenses and other assets		102,305
Total assets		2,072,675,524
Liabilities
Payable for investments purchased		9,224,837
Payable for Fund shares redeemed		1,064,709
Payable upon receipt of securities loaned		259,364,865
Advisory fee payable		959,173
Distribution fees payable		34,348
Due to other related parties		494,676
Accrued expenses and other liabilities		692,084
Total liabilities		271,834,692
Total net assets	$	1,800,840,832
NET ASSETS CONSIST OF
Paid-in capital	$	1,289,925,876
Accumulated net investment loss		(1,833,354	)
Accumulated net realized gains on investments		49,125,902
Net unrealized gains on investments		463,622,408
Total net assets	$	1,800,840,832
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	425,845,843
Shares outstanding – Class A		9,905,354
Net asset value per share – Class A		$42.99
Maximum offering price per share – Class A2		$45.61
Net assets – Class B	$	10,471,660
Shares outstanding – Class B		247,803
Net asset value per share – Class B		$42.26
Net assets – Class C	$	43,795,203
Shares outstanding – Class C		1,036,347
Net asset value per share – Class C		$42.26
Net assets – Administrator Class	$	239,471,754
Shares outstanding – Administrator Class		5,315,551
Net asset value per share – Administrator Class		$45.05
Net assets – Institutional Class	$	13,703,411
Shares outstanding – Institutional Class		302,306
Net asset value per share – Institutional Class		$45.33
Net assets – Investor Class	$	1,067,552,961
Shares outstanding – Investor Class		24,323,221
Net asset value per share – Investor Class		$43.89
Investments in unaffiliated securities (including securities on loan), at cost	$	1,249,873,812
Investments in affiliated securities, at cost	$	310,826,478
Total investments, at cost	$	1,560,700,290
Securities on loan, at value	$	253,615,972
Foreign currency, at cost	$	112

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

Statement of operations—six months ended March 31, 2013 (unaudited) Wells Fargo Advantage Opportunity Fund 13

Investment income
Dividends	$	10,680,860
Securities lending income, net		128,925
Income from affiliated securities		78,242
Interest		13,126
Total investment income		10,901,153
Expenses
Advisory fee		5,961,975
Administration fees
Fund level		444,230
Class A		526,147
Class B		14,195
Class C		54,885
Administrator Class		145,113
Institutional Class		4,995
Investor Class		1,626,142
Shareholder servicing fees
Class A		505,910
Class B		13,649
Class C		52,774
Administrator Class		360,514
Investor Class		1,266,694
Distribution fees
Class B		40,946
Class C		158,323
Custody and accounting fees		49,297
Professional fees		19,796
Registration fees		34,251
Shareholder report expenses		162,890
Trustees’ fees and expenses		6,372
Other fees and expenses		20,882
Total expenses		11,469,980
Less: Fee waivers and/or expense reimbursements		(297,635	)
Net expenses		11,172,345
Net investment loss		(271,192	)
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		83,474,363
Net change in unrealized gains (losses) on investments		157,872,106
Net realized and unrealized gains (losses) on investments		241,346,469
Net increase in net assets resulting from operations	$	241,075,277

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Opportunity Fund Statement of changes in net assets

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment loss				$	(271,192	)				$	(1,662,265	)
Net realized gains on investments					83,474,363						62,436,960
Net change in unrealized gains (losses) on investments					157,872,106						309,645,082
Net increase in net assets resulting from operations					241,075,277						370,419,777
Distributions to shareholders from
Net realized gains
Class A					(15,147,786	)					0
Class B					(421,069	)					0
Class C					(1,614,183	)					0
Administrator Class					(9,579,443	)					0
Institutional Class					(391,050	)					0
Investor Class					(37,346,841	)					0
Total distributions to shareholders					(64,500,372	)					0
		Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		153,555			6,066,817			304,088			11,316,200
Class B		7			257			1,570			57,310
Class C		10,911			425,562			20,699			765,049
Administrator Class		406,340			17,532,629			862,958			33,371,244
Institutional Class		153,735			6,683,026			254,676			9,875,351
Investor Class		333,158			13,640,279			604,007			22,931,799
					44,348,570						78,316,953
Reinvestment of distributions
Class A		384,882			14,606,322			0			0
Class B		11,044			412,949			0			0
Class C		39,312			1,469,891			0			0
Administrator Class		226,421			8,997,967			0			0
Institutional Class		9,786			391,050			0			0
Investor Class		933,139			36,159,110			0			0
					62,037,289						0
Payment for shares redeemed
Class A		(887,669	)		(35,480,984	)		(2,336,898	)		(87,370,675	)
Class B		(68,329	)		(2,712,336	)		(202,764	)		(7,476,726	)
Class C		(123,696	)		(4,838,704	)		(324,111	)		(11,975,610	)
Administrator Class		(5,025,033	)		(209,089,237	)		(1,950,218	)		(76,304,448	)
Institutional Class		(125,145	)		(5,524,990	)		(409,247	)		(16,287,565	)
Investor Class		(2,229,654	)		(91,175,936	)		(4,046,377	)		(154,230,348	)
					(348,822,187	)					(353,645,372	)
Net decrease in net assets resulting from capital share transactions					(242,436,328	)					(275,328,419	)
Total increase (decrease) in net assets					(65,861,423	)					95,091,358
Net assets
Beginning of period					1,866,702,255						1,771,610,897
End of period				$	1,800,840,832					$	1,866,702,255
Accumulated net investment loss				$	(1,833,354	)				$	(1,562,162	)

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Opportunity Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS A				2012			2011			20101			2009			20082			20072
Net asset value, beginning of period	$	38.99		$	32.08		$	34.08		$	28.81		$	23.24		$	45.42		$	47.74
Net investment income (loss)		0.00	3		(0.03	)		0.06	4		(0.03	)4		0.07	4		0.08	4		0.24	4
Net realized and unrealized gains (losses) on investments		5.52			6.94			(2.06	)		5.37			5.50			(15.15	)		5.94
Total from investment operations		5.52			6.91			(2.00	)		5.34			5.57			(15.07	)		6.18
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.07	)		0.00			(0.47	)		(0.06	)
Net realized gains		(1.52	)		0.00			0.00			0.00			0.00			(6.47	)		(8.44	)
Tax basis return of capital		0.00			0.00			0.00			0.00			0.00			(0.17	)		0.00
Total distributions to shareholders		(1.52	)		0.00			0.00			(0.07	)		0.00			(7.11	)		(8.50	)
Net asset value, end of period	$	42.99		$	38.99		$	32.08		$	34.08		$	28.81		$	23.24		$	45.42
Total return5		14.69	%		21.54	%		(5.87	)%		18.55	%		23.97	%		(38.55	)%		14.89	%
Ratios to average net assets (annualized)
Gross expenses		1.26	%		1.25	%		1.27	%		1.31	%		1.35	%		1.34	%		1.36	%
Net expenses		1.24	%		1.25	%		1.25	%		1.29	%		1.29	%		1.29	%		1.29	%
Net investment income (loss)		0.00	%		(0.08	)%		0.15	%		(0.11	)%		0.28	%		0.22	%		0.55	%
Supplemental data
Portfolio turnover rate		17	%		41	%		31	%		42	%		55	%		73	%		56	%
Net assets, end of period (000s omitted)	$	425,846		$	399,828		$	394,194		$	22,437		$	21,108		$	20,695		$	44,558

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. On June 20, 2008, Advisor Class was renamed Class A.

3. Amount is less than $0.005.

4. Calculated based upon average shares outstanding

5. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Opportunity Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
CLASS B				2012			20111
Net asset value, beginning of period	$	38.49		$	31.91		$	33.61
Net investment loss		(0.15	)2		(0.31	)2		(0.01	)
Net realized and unrealized gains (losses) on investments		5.44			6.89			(1.69	)
Total from investment operations		5.29			6.58			(1.70	)
Distributions to shareholders from
Net realized gains		(1.52	)		0.00			0.00
Net asset value, end of period	$	42.26		$	38.49		$	31.91
Total return3		14.25	%		20.62	%		(5.06	)%
Ratios to average net assets (annualized)
Gross expenses		2.01	%		2.00	%		2.02	%
Net expenses		1.99	%		2.00	%		2.00	%
Net investment loss		(0.77	)%		(0.83	)%		(0.45	)%
Supplemental data
Portfolio turnover rate		17	%		41	%		31	%
Net assets, end of period (000s omitted)	$	10,472		$	11,743		$	16,154

1. For the period from August 26, 2011 (commencement of class operations) to September 30, 2011

2. Calculated based upon average shares outstanding

3. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Opportunity Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS C				2012			2011			20101			2009			20082
Net asset value, beginning of period	$	38.49		$	31.91		$	34.15		$	29.12		$	23.66		$	33.56
Net investment loss		(0.15	)3		(0.31	)3		(0.18	)3		(0.25	)3		(0.17	)3		(0.06	)3
Net realized and unrealized gains (losses) on investments		5.44			6.89			(2.06	)		5.41			5.63			(9.84	)
Total from investment operations		5.29			6.58			(2.24	)		5.16			5.46			(9.90	)
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.13	)		0.00			0.00
Net realized gains		(1.52	)		0.00			0.00			0.00			0.00			0.00
Total from investment operations		(1.52	)		0.00			0.00			(0.13	)		0.00			0.00
Net asset value, end of period	$	42.26		$	38.49		$	31.91		$	34.15		$	29.12		$	23.66
Total return4		14.25	%		20.62	%		(6.56	)%		17.76	%		23.08	%		(29.50	)%
Ratios to average net assets (annualized)
Gross expenses		2.01	%		2.00	%		2.02	%		2.07	%		2.08	%		2.10	%
Net expenses		1.99	%		2.00	%		2.00	%		2.04	%		2.04	%		2.04	%
Net investment loss		(0.76	)%		(0.83	)%		(0.50	)%		(0.87	)%		(0.63	)%		(0.33	)%
Supplemental data
Portfolio turnover rate		17	%		41	%		31	%		42	%		55	%		73	%
Net assets, end of period (000s omitted)		$43,795			$42,720			$45,096			$277			$150			$7

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. For the period from March 31, 2008 (commencement of class operations) to October 31, 2008

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Opportunity Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
ADMINISTRATOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	40.74		$	33.44		$	35.44		$	29.95		$	24.10		$	46.86		$	49.05
Net investment income		0.04	2		0.09			0.07	2		0.04	2		0.13	2		0.17	2		0.33	2
Net realized and unrealized gains (losses) on investments		5.79			7.21			(2.07	)		5.59			5.72			(15.69	)		6.14
Total from investment operations		5.83			7.30			(2.00	)		5.63			5.85			(15.52	)		6.47
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.14	)		0.00			(0.60	)		(0.22	)
Net realized gains		(1.52	)		0.00			0.00			0.00			0.00			(6.47	)		(8.44	)
Tax basis return of capital		0.00			0.00			0.00			0.00			0.00			(0.17	)		0.00
Total distributions to shareholders		(1.52	)		0.00			0.00			(0.14	)		0.00			(7.24	)		(8.66	)
Net asset value, end of period	$	45.05		$	40.74		$	33.44		$	35.44		$	29.95		$	24.10		$	46.86
Total return3		14.83	%		21.83	%		(5.64	)%		18.84	%		24.27	%		(38.41	)%		15.17	%
Ratios to average net assets (annualized)
Gross expenses		1.10	%		1.09	%		1.09	%		1.14	%		1.17	%		1.17	%		1.18	%
Net expenses		1.00	%		1.00	%		1.03	%		1.04	%		1.04	%		1.04	%		1.04	%
Net investment income		0.18	%		0.17	%		0.17	%		0.13	%		0.51	%		0.49	%		0.73	%
Supplemental data
Portfolio turnover rate		17	%		41	%		31	%		42	%		55	%		73	%		56	%
Net assets, end of period (000s omitted)		$239,472			$395,493			$360,968			$190,054			$124,175			$97,243			$151,776

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Opportunity Fund 19

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30
INSTITUTIONAL CLASS				2012			2011			20101
Net asset value, beginning of period	$	40.93		$	33.52		$	35.45		$	33.36
Net investment income		0.11	2		0.21			0.24	2		0.02	2
Net realized and unrealized gains (losses) on investments		5.81			7.20			(2.17	)		2.07
Total from investment operations		5.92			7.41			(1.93	)		2.09
Distributions to shareholders from
Net realized gains		(1.52	)		0.00			0.00			0.00
Net asset value, end of period	$	45.33		$	40.93		$	33.52		$	35.45
Total return3		14.98	%		22.11	%		(5.44	)%		6.26	%
Ratios to average net assets (annualized)
Gross expenses		0.84	%		0.82	%		0.83	%		0.81	%
Net expenses		0.75	%		0.75	%		0.78	%		0.81	%
Net investment income		0.50	%		0.39	%		0.61	%		0.36	%
Supplemental data
Portfolio turnover rate		17	%		41	%		31	%		42	%
Net assets, end of period (000s omitted)		$13,703			$10,804			$14,027			$11

1. For the period from July 30, 2010 (commencement of class operations) to September 30, 2010

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

20 Wells Fargo Advantage Opportunity Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INVESTOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	39.79		$	32.76		$	34.82		$	29.44		$	23.76		$	46.28		$	48.54
Net investment income (loss)		(0.02	)		(0.07	)		(0.07	)		(0.05	)2		0.05	2		0.06	2		0.23	2
Net realized and unrealized gains (losses) on investments		5.64			7.10			(1.99	)		5.49			5.63			(15.48	)		6.04
Total from investment operations		5.62			7.03			(2.06	)		5.44			5.68			(15.42	)		6.27
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.06	)		0.00			(0.46	)		(0.09	)
Net realized gains		(1.52	)		0.00			0.00			0.00			0.00			(6.47	)		(8.44	)
Tax basis return of capital		0.00			0.00			0.00			0.00			0.00			(0.17	)		0.00
Total distributions to shareholders		(1.52	)		0.00			0.00			(0.06	)		0.00			(7.10	)		(8.53	)
Net asset value, end of period	$	43.89		$	39.79		$	32.76		$	34.82		$	29.44		$	23.76		$	46.28
Total return3		14.62	%		21.46	%		(5.92	)%		18.48	%		23.91	%		(38.60	)%		14.81	%
Ratios to average net assets (annualized)
Gross expenses		1.32	%		1.32	%		1.32	%		1.41	%		1.46	%		1.49	%		1.53	%
Net expenses		1.31	%		1.32	%		1.32	%		1.35	%		1.35	%		1.35	%		1.35	%
Net investment income (loss)		(0.07	)%		(0.15	)%		(0.15	)%		(0.17	)%		0.21	%		0.17	%		0.50	%
Supplemental data
Portfolio turnover rate		17	%		41	%		31	%		42	%		55	%		73	%		56	%
Net assets, end of period (000s omitted)		$1,067,553			$1,006,114			$941,172			$1,115,250			$1,030,766			$895,916			$1,721,922

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Notes to financial statements (unaudited) Wells Fargo Advantage Opportunity Fund 21

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Opportunity Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Securities denominated in foreign currencies are translated into U.S. dollars using the rates of exchange in effect on the day of valuation at a time specified by the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”).

Many securities markets and exchanges outside the U.S. close prior to the close of the New York Stock Exchange and therefore may not fully reflect trading or events that occur after the close of the principal exchange in which the foreign securities are traded, but before the close of the New York Stock Exchange. If such trading or events are expected to materially affect the value of such securities, then fair value pricing procedures approved by the Board of Trustees are applied. These procedures take into account multiple factors including movements in U.S. securities markets after foreign exchanges close. Foreign securities that are fair valued under these procedures are categorized as Level 2 and the application of these procedures may result in transfers between Level 1 and Level 2. Depending on market activity, such fair valuations may be frequent. Such fair value pricing may result in NAVs that are higher or lower than NAVs based on the last reported sales price or latest quoted bid price. On March 31, 2013, fair value pricing was not used in pricing foreign securities.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team. The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

22 Wells Fargo Advantage Opportunity Fund Notes to financial statements (unaudited)

Foreign currency translation

The accounting records of the Fund are maintained in U.S. dollars. Assets, including investment securities, and liabilities denominated in foreign currency are translated into U.S. dollars at the rates of exchange at a time specified by the Management Valuation Team on the date of valuation. Purchases and sales of securities, and income and expenses are translated at the rate of exchange on the respective dates of such transactions. Reported net realized foreign exchange gains or losses arise from sales of foreign currencies, currency gains or losses realized between the trade and settlement dates on securities transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded and the U.S. dollar equivalent of the amounts actually paid or received. Net unrealized foreign exchange gains and losses arise from changes in the fair value of assets and liabilities other than investments in securities resulting in changes in exchange rates.

The changes in net assets arising from changes in exchange rates and the changes in net assets resulting from changes in market prices of securities are not separately presented. Such changes are recorded with net realized and unrealized gains or losses from investments. Gains and losses from certain foreign currency transactions are treated as ordinary income for U.S. federal income tax purposes.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Interest income is accrued daily and bond discounts are accreted and premiums are amortized daily based on the effective interest method. To the extent debt obligations are placed on non-accrual status, any related interest income may be reduced by writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. If the issuer subsequently resumes interest payments or when the collectability of interest is reasonably assured, the debt obligation is removed from non-accrual status.

Dividend income is recognized on the ex-dividend date, except for certain dividends from foreign securities, which are recorded as soon as the Fund is informed of the ex-dividend date.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

Notes to financial statements (unaudited) Wells Fargo Advantage Opportunity Fund 23

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

At September 30, 2012, capital loss carryforwards which are available to offset future net realized capital gains were as follows:

Pre-enactment capital loss expiration*	Post-enactment capital losses**
2019	Short-term	Long-term
$8,304,841	$3,899,170	$1,800,233

  *Losses incurred in taxable years beginning before December 22, 2010.

** Losses incurred in taxable years which began after December 22, 2010 are carried forward for an unlimited period.

As of September 30, 2012, the Fund had a qualified late-year ordinary loss of $1,407,713 which will be recognized on the first day of the current fiscal year. A late-year ordinary loss is the net loss comprised of (a) net gain or loss from the sale or other disposition of certain capital assets for the portion of the taxable year after October 31 and (b) other ordinary income or loss for the portion of the taxable year after December 31.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	1,685,336,478	$	0	$	0	$	1,685,336,478
Investment companies		28,159,740		0		0		28,159,740
Short-term investments
Investment companies		51,461,613		259,364,865		0		310,826,478
	$	1,764,957,831	$	259,364,865	$	0	$	2,024,322,696

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

24 Wells Fargo Advantage Opportunity Fund Notes to financial statements (unaudited)

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.70% and declining to 0.60% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.67% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.45% and declining to 0.30% as the average daily net assets of the Fund increase

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class B, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08
Investor Class		0.32

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.22% for Class A shares, 1.97% for Class B shares, 1.97% for Class C shares, 1.00% for Administrator Class shares, 0.75% for Institutional Class shares, and 1.28% for Investor Class shares. Prior to February 1, 2013, the Fund’s expenses were capped at 1.25% for Class A shares, 2.00% for Class B shares, 2.00% for Class C shares, and 1.32% for Investor Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class B and Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class B andClass C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class B and Class C shares.

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $3,240 from the sale of Class A shares and $1,905 and $431 in contingent deferred sales charges from redemptions of Class B and Class C shares, respectively.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class B, Class C, Administrator Class, and Investor Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $281,246,657 and $545,810,241, respectively.

Notes to financial statements (unaudited) Wells Fargo Advantage Opportunity Fund 25

6. CAPITAL SHARES

As a result of the transfer of assets from Funds Management, former program manager of the 529 college savings plans for the State of Wisconsin, to a new program manager, the Fund redeemed assets from its Administrator Class on October 26, 2012 with a value of $119,822,271, representing 6.55% of the Fund. This amount is reflected in the Statement of Changes in Net Assets for the six months ended March 31, 2013.

7. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $1,567 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

9. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

26 Wells Fargo Advantage Opportunity Fund Other information (unaudited)

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

Other information (unaudited) Wells Fargo Advantage Opportunity Fund 27

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/2013); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

28 Wells Fargo Advantage Opportunity Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Nancy Wiser1 (Born 1967)	Treasurer, since 2012	Executive Vice President of Wells Fargo Funds Management, LLC since 2011. Chief Operating Officer and Chief Compliance Officer at LightBox Capital Management LLC, from 2008 to 2011. Owned and operated a consulting business providing services to various hedge funds including acting as Chief Operating Officer and Chief Compliance Officer for a hedge fund from 2007 to 2008. Chief Operating Officer and Chief Compliance Officer of GMN Capital LLC from 2006 to 2007.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.
Jeremy DePalma1 (Born 1974)	Assistant Treasurer, since 2009	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

1. Nancy Wiser acts as Treasurer of 72 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

Other information (unaudited) Wells Fargo Advantage Opportunity Fund 29

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Opportunity Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources, and reputation to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a

30 Wells Fargo Advantage Opportunity Fund Other information (unaudited)

description of the methodology used by Lipper to select the mutual funds in the performance Universe. The Board also noted that the performance of the Fund (Administrator Class) was higher than or in range of the median performance of the Universe for all periods under review, except for the one-year period. The Board also noted that the performance of the Fund was in lower than its benchmark, the Russell Midcap^® Index, for all periods under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the Universe for the one-year period and the benchmark for all periods under review. Funds Management advised the Board about the market conditions and investment decisions that it believed contributed to the underperformance during that period. The Board was satisfied with the explanation of the factors contributing to underperformance and with the steps being taken by Funds Management and the Sub-Adviser to address the Fund’s investment performance.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios for the Fund’s expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were higher than the median rates for the Fund’s expense Groups. However, the Board viewed favorably the fact that the net operating expense ratios of the Fund were lower than or in range of the median net operating expense ratios for the Fund’s expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser. The Board considered that the Sub-Adviser agreed to reduce the sub-advisory fee schedule for the Fund.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be

Other information (unaudited) Wells Fargo Advantage Opportunity Funds 31

necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

32 Wells Fargo Advantage Opportunity Fund List of abbreviations

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

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For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215921 05-13 SA232/SAR232 3-13

Wells Fargo Advantage

Special Mid Cap Value Fund

Semi-Annual Report

March 31, 2013

Reduce clutter. Save trees.

Sign up for electronic delivery of prospectuses and shareholder reports at wellsfargo.com/advantagedelivery

Contents

Letter to shareholders	2
Performance highlights	4
Fund expenses	6
Portfolio of investments	7
Financial statements
Statement of assets and liabilities	11
Statement of operations	12
Statement of changes in net assets	13
Financial highlights	14
Notes to financial statements	19
Other information	23
List of abbreviations	29

The views expressed and any forward-looking statements are as of March 31, 2013, unless otherwise noted, and are those of the Fund managers and/or Wells Fargo Funds Management, LLC. Discussions of individual securities, or the markets generally, or any Wells Fargo Advantage Fund are not intended as individual recommendations. Future events or results may vary significantly from those expressed in any forward-looking statements; the views expressed are subject to change at any time in response to changing circumstances in the market. Wells Fargo Funds Management, LLC, disclaims any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

Wells Fargo investment history

1932	Keystone creates one of the first mutual fund families.
1971	Wells Fargo & Company introduces one of the first institutional index funds.
1978	Wells Fargo applies Markowitz and Sharpe’s research on Modern Portfolio Theory to introduce one of the industry’s first tactical asset allocation models in institutional separately managed accounts.
1984	Wells Fargo Stagecoach Funds launches its first asset allocation fund.
1989	The Tactical Asset Allocation (TAA) Model is first applied to Wells Fargo’s asset allocation mutual funds.
1994	Wells Fargo introduces the LifePath Funds, one of the first suites of target date funds (now the Wells Fargo Advantage Dow Jones Target Date FundsSM).
1996	Evergreen Investments and Keystone Funds merge.
1997	Wells Fargo launches the Wells Fargo Advantage WealthBuilder PortfoliosSM, a fund-of-funds suite of products that includes the use of quantitative models to shift assets among investment styles.
1999	Norwest Advantage Funds and Stagecoach Funds are reorganized into Wells Fargo Funds after the merger of Norwest and Wells Fargo.
2002	Evergreen Retail and Evergreen Institutional companies form the umbrella asset management company, Evergreen Investments.
2005	The integration of Strong Funds with Wells Fargo Funds creates Wells Fargo Advantage Funds, resulting in one of the top 20 mutual fund companies in the United States.
2006	Wells Fargo Advantage Funds relaunches the target date product line as Wells Fargo Advantage Dow Jones Target Date Funds.
2010	The mergers and reorganizations of Evergreen and Wells Fargo Advantage mutual funds are completed, unifying the families under the brand of Wells Fargo Advantage Funds.

Wells Fargo Advantage Funds^®

Wells Fargo Advantage Funds skillfully guides institutions, financial advisors, and individuals through the investment terrain to help them reach their financial objectives. Everything we do on behalf of investors is backed by our unique combination of qualifications.

Strength

Our organization is built on the standards of integrity and service established by our parent company—Wells Fargo & Company—more than 150 years ago. And, because we’re part of a highly diversified financial enterprise, we offer the depth of resources to help investors succeed.

Expertise

Our multi-boutique model offers investors access to the independent thinking of premier investment managers that have been chosen for their time-tested strategies. While each team specializes in a specific investment strategy, collectively they provide investors a wide choice of distinct investment styles. Our dedication to investment excellence doesn’t end with our expertise in manager selection—risk management, analysis, and rigorous ongoing review seek to ensure each manager’s investment process remains consistent.

Partnership

Our collaborative approach is built around understanding the needs and goals of our clients. By adhering to core principles of sound judgment and steady guidance, we support you through every stage of the investment decision process.

Carefully consider the investment objectives, risks, charges, and expenses before investing. For a current prospectus and, if available, a summary prospectus, for Wells Fargo Advantage Funds, containing this and other information, visit wellsfargoadvantagefunds.com. Read it carefully before investing.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

“Dow Jones^®” and “Dow Jones Target Date Indexes^SM” are service marks of Dow Jones Trademark Holdings LLC (“Dow Jones”); have been licensed to CME Group Index Services LLC (“CME Indexes”); and have been sublicensed for use for certain purposes by Global Index Advisors, Inc., and Wells Fargo Funds Management, LLC. The Wells Fargo Advantage Dow Jones Target Date Funds^SM, based on the Dow Jones Target Date Indexes, are not sponsored, endorsed, sold, or promoted by Dow Jones, CME Indexes, or their respective affiliates, and none of them makes any representation regarding the advisability of investing in such product(s).

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡  MAY LOSE VALUE

Not part of the semi-annual report.

Wells Fargo Advantage Funds offers more than 100 mutual funds across a wide range of asset classes, representing over $224 billion in assets under management, as of March 31, 2013.

Equity funds
Asia Pacific Fund	Enterprise Fund†	Opportunity Fund†
C&B Large Cap Value Fund	Global Opportunities Fund	Precious Metals Fund
C&B Mid Cap Value Fund	Growth Fund	Premier Large Company Growth Fund
Capital Growth Fund	Index Fund	Small Cap Opportunities Fund
Common Stock Fund	International Equity Fund	Small Cap Value Fund
Disciplined U.S. Core Fund	International Value Fund	Small Company Growth Fund
Discovery Fund†	Intrinsic Small Cap Value Fund	Small Company Value Fund
Diversified Equity Fund	Intrinsic Value Fund	Small/Mid Cap Value Fund
Diversified International Fund	Intrinsic World Equity Fund	Special Mid Cap Value Fund
Emerging Growth Fund	Large Cap Core Fund	Special Small Cap Value Fund
Emerging Markets Equity Fund	Large Cap Growth Fund	Specialized Technology Fund
Emerging Markets Equity Income Fund	Large Company Value Fund	Traditional Small Cap Growth Fund
Endeavor Select Fund†	Omega Growth Fund	Utility and Telecommunications Fund
Bond funds
Adjustable Rate Government Fund	High Yield Municipal Bond Fund	Short Duration Government Bond Fund
California Limited-Term Tax-Free Fund	Income Plus Fund	Short-Term Bond Fund
California Tax-Free Fund	Inflation-Protected Bond Fund	Short-Term High Yield Bond Fund
Colorado Tax-Free Fund	Intermediate Tax/AMT-Free Fund	Short-Term Municipal Bond Fund
Core Bond Fund	International Bond Fund	Strategic Income Fund
Emerging Markets Local Bond Fund	Minnesota Tax-Free Fund	Strategic Municipal Bond Fund
Government Securities Fund	Municipal Bond Fund	Ultra Short-Term Income Fund
High Income Fund	North Carolina Tax-Free Fund	Ultra Short-Term Municipal Income Fund
High Yield Bond Fund	Pennsylvania Tax-Free Fund	Wisconsin Tax-Free Fund
Asset allocation funds
Absolute Return Fund	WealthBuilder Equity Portfolio†	Target 2020 Fund†
Asset Allocation Fund	WealthBuilder Growth Allocation Portfolio†	Target 2025 Fund†
Diversified Capital Builder Fund	WealthBuilder Growth Balanced Portfolio†	Target 2030 Fund†
Diversified Income Builder Fund	WealthBuilder Moderate Balanced Portfolio†	Target 2035 Fund†
Growth Balanced Fund	WealthBuilder Tactical Equity Portfolio†	Target 2040 Fund†
Index Asset Allocation Fund	Target Today Fund†	Target 2045 Fund†
Moderate Balanced Fund	Target 2010 Fund†	Target 2050 Fund†
WealthBuilder Conservative Allocation Portfolio†	Target 2015 Fund†	Target 2055 Fund†
Money market funds
100% Treasury Money Market Fund	Heritage Money Market Fund†	National Tax-Free Money Market Fund
California Municipal Money Market Fund	Money Market Fund	Treasury Plus Money Market Fund
Cash Investment Money Market Fund	Municipal Cash Management Money Market Fund
Government Money Market Fund	Municipal Money Market Fund
Variable trust funds1
VT Discovery Fund†	VT Intrinsic Value Fund	VT Small Cap Growth Fund
VT Index Asset Allocation Fund	VT Omega Growth Fund	VT Small Cap Value Fund
VT International Equity Fund	VT Opportunity Fund†	VT Total Return Bond Fund

An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Wells Fargo Advantage Money Market Funds seek to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in a money market fund.

1. The variable trust funds are generally available only through insurance company variable contracts.

† In this report, the Wells Fargo Advantage Discovery Fund^SM, Wells Fargo Advantage Endeavor Select Fund^SM, Wells Fargo Advantage Enterprise Fund^SM, Wells Fargo Advantage Opportunity Fund^SM, Wells Fargo Advantage WealthBuilder Conservative Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Equity Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Allocation Portfolio^SM, Wells Fargo Advantage WealthBuilder Growth Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Moderate Balanced Portfolio^SM, Wells Fargo Advantage WealthBuilder Tactical Equity Portfolio^SM, Wells Fargo Advantage Dow Jones Target Today Fund^SM, Wells Fargo Advantage Dow Jones Target 2010 Fund^SM, Wells Fargo Advantage Dow Jones Target 2015 Fund^SM, Wells Fargo Advantage Dow Jones Target 2020 Fund^SM, Wells Fargo Advantage Dow Jones Target 2025 Fund^SM, Wells Fargo Advantage Dow Jones Target 2030 Fund^SM, Wells Fargo Advantage Dow Jones Target 2035 Fund^SM, Wells Fargo Advantage Dow Jones Target 2040 Fund^SM, Wells Fargo Advantage Dow Jones Target 2045 Fund^SM, Wells Fargo Advantage Dow Jones Target 2050 Fund^SM, Wells Fargo Advantage Dow Jones Target 2055 Fund^SM, Wells Fargo Advantage Heritage Money Market Fund^SM, Wells Fargo Advantage VT Discovery Fund^SM, and Wells Fargo Advantage VT Opportunity Fund^SM are referred to as the Discovery Fund, Endeavor Select Fund, Enterprise Fund, Opportunity Fund, WealthBuilder Conservative Allocation Portfolio, WealthBuilder Equity Portfolio, WealthBuilder Growth Allocation Portfolio, WealthBuilder Growth Balanced Portfolio, WealthBuilder Moderate Balanced Portfolio, WealthBuilder Tactical Equity Portfolio, Target Today Fund, Target 2010 Fund, Target 2015 Fund, Target 2020 Fund, Target 2025 Fund, Target 2030 Fund, Target 2035 Fund, Target 2040 Fund, Target 2045 Fund, Target 2050 Fund, Target 2055 Fund, Heritage Money Market Fund, VT Discovery Fund, and VT Opportunity Fund, respectively.

Not part of the semi-annual report.

2 Wells Fargo Advantage Special Mid Cap Value Fund Letter to shareholders (unaudited)

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets.

Dear Valued Shareholder:

We are pleased to offer you this semi-annual report for the Wells Fargo Advantage Special Mid Cap Value Fund for the six-month period ended March 31, 2013. Much of the six-month period was marked by continued concerns about the possible effects that the ongoing European sovereign debt crisis would have on the global economy. However, relatively solid economic data in the U.S. and efforts by European authorities to address the sovereign debt issue alleviated investor fears and supported global stock markets. This backdrop enabled most equity styles to generate positive returns. For the six-month period, the small-cap-oriented Russell 2000® Index¹ returned 14.48%, while the mid-cap-focused Russell Midcap® Index² posted a 16.21% total return.

The U.S. economy improved with the support of an accommodative monetary policy.

The U.S. economy grew modestly, but the recovery remained weak compared with previous business cycles. Curtailed government spending and weak household income expectations were economic headwinds. However, the unemployment rate continued to decline, reaching 7.6% in March 2013, and housing market activity as measured by many metrics—sales, building permits, and prices—advanced from its recessionary levels.

Citing its dual mandate of fostering maximum employment and price stability, the U.S. Federal Reserve (Fed) reaffirmed its commitment to highly accommodative monetary policy. In addition, the Fed formally announced that exceptionally low interest rates would be appropriate at least as long as the unemployment rate remains above 6.5% and inflation remains no more than half a percentage point above its 2.0% inflation target. It also continued its quantitative easing program. Just prior to the beginning of the reporting period, the Federal Open Market Committee announced its intention to keep interest rates low until at least mid-2015 in order to support the sluggish economy. The Fed also announced open-ended purchases of $40 billion per month in mortgage-backed securities in an effort to support the housing market.

The global economy continues to be affected by bouts of uncertainty, including political questions in the U.S., Europe, and China.

Global economic growth varied across countries. Eurozone economies remained in recession. However, the European Central Bank (ECB) and several key members of the eurozone, including France and Germany, continued their commitment to maintaining a single currency. Subsequently, investor fears about a sovereign debt crisis in Europe abated. Furthermore, the ECB maintained its accommodative monetary policy by keeping its key rate at a historic low of 0.75%.

For most of the year, uncertainty about political outcomes was a constant. U.S. presidential elections in November 2012, the debate over the fiscal cliff and tax rates at year-end, and speculation about the effects of sequestration at the end of February 2013 weighed on business leaders and investors. Elections in eurozone countries such as Greece, France, and Italy sparked speculation about the future of the eurozone. New leadership in China also figured into the political landscape. In the end, investors managed around these concerns, and capital markets generally advanced during this time period.

1. The Russell 2000^® Index measures the performance of the 2,000 smallest companies in the Russell 3000^® Index, which represents approximately 8% of the total market capitalization of the Russell 3000 Index. You cannot invest directly in an index.

2. The Russell Midcap^® Index measures the performance of the 800 smallest companies in the Russell 1000^® Index, which represent approximately 25% of the total market capitalization of the Russell 1000 Index. You cannot invest directly in an index.

Letter to shareholders (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 3

Our goal is to meet the financial needs of our shareholders.

We are committed to providing our shareholders long-term investment strategies and focusing on appropriate risk while seeking to deliver consistent returns. We know that your ability to meet your long-term investment goals depends on the investment decisions you make today. Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

Thank you for choosing to invest with Wells Fargo Advantage Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs. For current information about your fund investments, contact your investment professional, visit our website at wellsfargoadvantagefunds.com, or call us directly at 1-800-222-8222. We are available 24 hours a day, 7 days a week.

Sincerely,

Karla M. Rabusch

President

Wells Fargo Advantage Funds

Despite economic uncertainties and investment challenges, staying invested and adapting to emerging opportunities and threats may help you manage investment risk.

4 Wells Fargo Advantage Special Mid Cap Value Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Adviser

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

James M. Tringas, CFA, CPA

Bryant VanCronkhite, CFA, CPA

Average annual total returns¹ (%) as of March 31, 2013

		Including sales charge						Excluding sales charge						Expense ratios2 (%)
	Inception date	1 year		5 year		10 year		1 year		5 year		10 year		Gross		Net3
Class A (WFPAX)	7-31-2007		16.07		8.16		11.93		23.14		9.45		12.60		1.31		1.26
Class C (WFPCX)	7-31-2007		21.26		8.64		11.83		22.26		8.64		11.83		2.06		2.01
Administrator Class (WFMDX)	4-8-2005		–		–		–		23.31		9.59		12.71		1.15		1.15
Institutional Class (WFMIX)	4-8-2005		–		–		–		23.79		9.89		12.96		0.88		0.88
Investor Class (SMCDX)	12-31-1998		–		–		–		23.08		9.38		12.56		1.37		1.32
Russell Midcap® Value Index4	–		–		–		–		21.49		8.53		12.57		–		–

Figures quoted represent past performance, which is no guarantee of future results and do not reflect the deduction of taxes that a shareholder may pay on fund distributions or the redemption of fund shares. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Performance shown without sales charges would be lower if sales charges were reflected. Current performance may be lower or higher than the performance data quoted and assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargoadvantagefunds.com.

Index returns do not include transaction costs associated with buying and selling securities, any mutual fund fees or expenses, or any taxes. It is not possible to invest directly in an index.

For Class A shares, the maximum front-end sales charge is 5.75%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including sales charge assumes the sales charge for the corresponding time period. Administrator Class, Institutional Class, and Investor Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Stock values fluctuate in response to the activities of individual companies and general market and economic conditions. Smaller-company stocks tend to be more volatile and less liquid than those of larger companies. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 5.

Performance highlights (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 5

Ten largest equity holdings5 (%) as of March 31, 2013
CIGNA Corporation	2.73
Ameren Corporation	2.60
Arch Capital Group Limited	2.58
Consolidated Edison Incorporated	2.58
Northern Trust Corporation	2.54
Lear Corporation	2.53
Hasbro Incorporated	2.48
Sysco Corporation	2.44
Allstate Corporation	2.38
EMCOR Group Incorporated	2.32

Sector distribution⁶ as of March 31, 2013

1. Historical performance shown for Class C shares prior to their inception reflects the performance of the Investor Class shares, adjusted to reflect the higher expenses applicable to Class C shares. Historical performance shown for Class A, Administrator Class, and Institutional Class shares prior to their inception reflects the performance of the Investor Class shares, and includes the higher expenses applicable to the Investor Class shares. If these expenses had not been included, returns would be higher.

2. Reflects the expense ratios as stated in the most recent prospectuses.

3. The Adviser has committed through January 31, 2014, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waiver, excluding certain expenses, at 1.25% for Class A, 2.00% for Class C, 1.14% for Administrator Class, 0.87% for Institutional Class, and 1.31% for Investor Class. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses, and extraordinary expenses are excluded from the cap. Without this cap, the Fund’s returns would have been lower.

4. The Russell Midcap^® Value Index measures the performance of those Russell Midcap^® companies with lower price-to-book ratios and lower forecasted growth values. The stocks are also members of the Russell 1000^® Value Index. You cannot invest directly in an index.

5. The ten largest equity holdings are calculated based on the value of the securities divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

6. Sector distribution is subject to change and is calculated based on the total long-term investments of the Fund.

6 Wells Fargo Advantage Special Mid Cap Value Fund Fund expenses (unaudited)

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments and contingent deferred sales charges (if any) on redemptions and (2) ongoing costs, including management fees, distribution (12b-1) and/or shareholder service fees, and other Fund expenses. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The example is based on an investment of $1,000 invested at the beginning of the six-month period and held for the entire period from October 1, 2012 to March 31, 2013.

Actual expenses

The “Actual” line of 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 “Actual” line under the heading entitled “Expenses paid during period” for your applicable class of shares to estimate the expenses you paid on your account during this period.

Hypothetical example for comparison purposes

The “Hypothetical” line of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

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) and contingent deferred sales charges. Therefore, the “Hypothetical” line of the table is useful in comparing ongoing costs only and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning account value 10-1-2012		Ending account value 3-31-2013		Expenses paid during the period1		Net annual expense ratio
Class A
Actual	$	1,000.00	$	1,221.17	$	6.92		1.25	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.70	$	6.29		1.25	%
Class C
Actual	$	1,000.00	$	1,217.14	$	11.06		2.00	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,014.96	$	10.05		2.00	%
Administrator Class
Actual	$	1,000.00	$	1,222.40	$	6.26		1.13	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.30	$	5.69		1.13	%
Institutional Class
Actual	$	1,000.00	$	1,225.09	$	4.66		0.84	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.74	$	4.23		0.84	%
Investor Class
Actual	$	1,000.00	$	1,221.22	$	7.25		1.31	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.40	$	6.59		1.31	%

1. Expenses paid is equal to the annualized expense ratio of each class multiplied by the average account value over the period, multiplied by the number of days in the most recent fiscal half-year divided by the number of days in the fiscal year (to reflect the one-half-year period).

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 7

Security name	Shares		Value
Common Stocks: 95.89%
Consumer Discretionary: 8.78%
Auto Components: 2.53%
Lear Corporation		279,300	$	15,325,191
Leisure Equipment & Products: 2.48%
Hasbro Incorporated «		342,500		15,049,450
Media: 1.33%
Interpublic Group of Companies Incorporated		618,300		8,056,449
Specialty Retail: 2.44%
Advance Auto Parts Incorporated		63,900		5,281,335
Guess? Incorporated «		383,100		9,512,373
				14,793,708
Consumer Staples: 7.00%
Beverages: 2.28%
Molson Coors Brewing Company		282,700		13,832,511
Food & Staples Retailing: 2.45%
Sysco Corporation «		421,200		14,813,604
Food Products: 2.27%
TreeHouse Foods Incorporated †		211,000		13,746,650
Energy: 6.80%
Energy Equipment & Services: 3.34%
Ensco plc Class A		160,066		9,603,960
Patterson-UTI Energy Incorporated «		211,300		5,037,392
Weatherford International Limited †		464,500		5,639,030
				20,280,382
Oil, Gas & Consumable Fuels: 3.46%
Cimarex Energy Company		107,610		8,118,098
Comstock Resources Incorporated Ǡ		219,219		3,562,309
Southwestern Energy Company †		179,400		6,684,444
Stone Energy Corporation Ǡ		118,800		2,583,900
				20,948,751
Financials: 15.64%
Capital Markets: 3.86%
Northern Trust Corporation «		282,400		15,407,744
TD Ameritrade Holding Corporation		387,800		7,996,436
				23,404,180
Commercial Banks: 2.06%
CapitalSource Incorporated		1,298,193		12,488,617

The accompanying notes are an integral part of these financial statements.

8 Wells Fargo Advantage Special Mid Cap Value Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name	Shares		Value
Insurance: 8.19%
Allstate Corporation		293,400	$	14,397,138
Arch Capital Group Limited Ǡ		297,900		15,660,603
Brown & Brown Incorporated		347,300		11,127,492
Validus Holdings Limited		224,969		8,407,092
				49,592,325
Real Estate Management & Development: 1.53%
CBRE Group Incorporated Class A †		367,000		9,266,750
Health Care: 12.53%
Health Care Equipment & Supplies: 4.55%
C.R. Bard Incorporated		86,300		8,697,314
CareFusion Corporation †		380,700		13,320,693
St. Jude Medical Incorporated		137,100		5,544,324
				27,562,331
Health Care Providers & Services: 6.39%
CIGNA Corporation		264,875		16,520,254
Omnicare Incorporated «		273,955		11,155,448
Patterson Companies Incorporated «		290,200		11,039,208
				38,714,910
Life Sciences Tools & Services: 1.59%
Agilent Technologies Incorporated		230,400		9,669,888
Industrials: 20.65%
Aerospace & Defense: 4.37%
B/E Aerospace Incorporated †		225,200		13,577,308
Raytheon Company		219,800		12,922,042
				26,499,350
Air Freight & Logistics: 1.39%
Atlas Air Worldwide Holdings Incorporated †		206,300		8,408,788
Building Products: 0.66%
Simpson Manufacturing Company Incorporated «		131,200		4,016,032
Commercial Services & Supplies: 2.35%
Copart Incorporated †		112,000		3,839,360
Republic Services Incorporated		315,500		10,411,500
				14,250,860
Construction & Engineering: 2.32%
EMCOR Group Incorporated		331,128		14,036,516
Electrical Equipment: 0.64%
Regal-Beloit Corporation		47,600		3,882,256

The accompanying notes are an integral part of these financial statements.

Portfolio of investments—March 31, 2013 (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 9

Security name	Shares		Value
Machinery: 2.73%
Joy Global Incorporated		72,000	$	4,285,440
SPX Corporation		155,200		12,254,592
				16,540,032
Professional Services: 2.98%
Manpower Incorporated		131,600		7,464,352
Towers Watson & Company Class A		153,100		10,612,892
				18,077,244
Road & Rail: 1.27%
Ryder System Incorporated		128,700		7,689,825
Transportation Infrastructure: 1.94%
Macquarie Infrastructure Company LLC		217,106		11,732,408
Information Technology: 16.48%
Communications Equipment: 0.61%
Juniper Networks Incorporated †		198,900		3,687,606
Electronic Equipment, Instruments & Components: 3.60%
Avnet Incorporated †		125,200		4,532,240
Ingram Micro Incorporated Class A †		494,493		9,731,622
Vishay Intertechnology Incorporated Ǡ		556,134		7,568,984
				21,832,846
Internet Software & Services: 0.82%
IAC/InterActive Corporation		110,672		4,944,825
IT Services: 3.13%
Broadridge Financial Solutions Incorporated		453,015		11,252,893
DST Systems Incorporated		108,500		7,732,795
				18,985,688
Semiconductors & Semiconductor Equipment: 7.07%
Applied Materials Incorporated		940,400		12,676,592
ATMI Incorporated †		420,280		9,426,880
Lam Research Corporation †		255,300		10,584,738
ON Semiconductor Corporation †		1,225,200		10,144,656
				42,832,866
Software: 1.25%
Check Point Software Technologies Limited Ǡ		161,000		7,565,390
Materials: 2.83%
Containers & Packaging: 1.48%
Rock-Tenn Company Class A		96,250		8,931,038
Paper & Forest Products: 1.35%
International Paper Company		175,900		8,193,422

The accompanying notes are an integral part of these financial statements.

10 Wells Fargo Advantage Special Mid Cap Value Fund Portfolio of investments—March 31, 2013 (unaudited)

Security name				Shares		Value
Utilities: 5.18%
Multi-Utilities: 5.18%
Ameren Corporation					450,200	$	15,766,004
Consolidated Edison Incorporated					256,200		15,635,884
							31,401,888
Total Common Stocks (Cost $468,339,604)							581,054,577
	Yield
Short-Term Investments: 18.50%
Investment Companies: 18.50%
Wells Fargo Advantage Cash Investment Money Market Fund, Select Class (l)(u)		0.13	%		37,814,480		37,814,480
Wells Fargo Securities Lending Cash Investment, LLC (l)(r)(u)(v)		0.18			74,292,292		74,292,292
Total Short-Term Investments (Cost $112,106,772)							112,106,772

Total investments in securities
(Cost $580,446,376) *	114.39	%		693,161,349
Other assets and liabilities, net	(14.39	)		(87,195,500	)
Total net assets	100.00	%	$	605,965,849

« All or a portion of this security is on loan.

† Non-income-earning security

(l) Investment in an affiliate

(u) Rate shown is the 7-day annualized yield at period end.

(r) The investment company is exempt from registration under Section 3(c)(7) of the Investment Company Act of 1940, as amended.

(v) Security represents investment of cash collateral received from securities on loan.

* Cost for federal income tax purposes is $583,320,064 and unrealized appreciation (depreciation) consists of:

Gross unrealized appreciation	$	115,519,543
Gross unrealized depreciation		(5,678,258	)
Net unrealized appreciation	$	109,841,285

The accompanying notes are an integral part of these financial statements.

Statement of assets and liabilities—March 31, 2013 (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 11

Assets
Investments
In unaffiliated securities (including securities on loan), at value (see cost below)	$	581,054,577
In affiliated securities, at value (see cost below)		112,106,772
Total investments, at value (see cost below)		693,161,349
Cash		254,230
Receivable for investments sold		14,897,882
Receivable for Fund shares sold		4,527,922
Receivable for dividends		399,446
Receivable for securities lending income		13,127
Prepaid expenses and other assets		44,808
Total assets		713,298,764
Liabilities
Payable for investments purchased		31,569,613
Payable for Fund shares redeemed		809,344
Payable upon receipt of securities loaned		74,292,292
Advisory fee payable		315,708
Distribution fees payable		3,384
Due to other related parties		151,726
Accrued expenses and other liabilities		190,848
Total liabilities		107,332,915
Total net assets	$	605,965,849
NET ASSETS CONSIST OF
Paid-in capital	$	480,631,576
Undistributed net investment income		225,325
Accumulated net realized gains on investments		12,393,975
Net unrealized gains on investments		112,714,973
Total net assets	$	605,965,849
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE1
Net assets – Class A	$	15,808,214
Shares outstanding – Class A		572,249
Net asset value per share – Class A		$27.62
Maximum offering price per share – Class A2		$29.31
Net assets – Class C	$	5,982,763
Shares outstanding – Class C		220,287
Net asset value per share – Class C		$27.16
Net assets – Administrator Class	$	90,886,183
Shares outstanding – Administrator Class		3,254,167
Net asset value per share – Administrator Class		$27.93
Net assets – Institutional Class	$	44,034,936
Shares outstanding – Institutional Class		1,568,774
Net asset value per share – Institutional Class		$28.07
Net assets – Investor Class	$	449,253,753
Shares outstanding – Investor Class		16,072,923
Net asset value per share – Investor Class		$27.95
Investments in unaffiliated securities (including securities on loan), at cost	$	468,339,604
Investments in affiliated securities, at cost	$	112,106,772
Total investments, at cost	$	580,446,376
Securities on loan, at value	$	72,591,137

1. The Fund has an unlimited number of authorized shares.

2. Maximum offering price is computed as 100/94.25 of net asset value. On investments of $50,000 or more, the offering price is reduced.

The accompanying notes are an integral part of these financial statements.

12 Wells Fargo Advantage Special Mid Cap Value Fund Statement of operations—six months ended March 31, 2013 (unaudited)

Investment income
Dividends	$	5,016,207
Securities lending income, net		60,249
Income from affiliated securities		14,942
Total investment income		5,091,398
Expenses
Advisory fee		1,636,568
Administration fees
Fund level		117,027
Class A		14,576
Class C		4,628
Administrator Class		34,336
Institutional Class		17,695
Investor Class		544,677
Shareholder servicing fees
Class A		14,016
Class C		4,450
Administrator Class		82,977
Investor Class		425,188
Distribution fees
Class C		13,350
Custody and accounting fees		18,012
Professional fees		16,289
Registration fees		27,813
Shareholder report expenses		35,879
Trustees’ fees and expenses		6,241
Other fees and expenses		7,375
Total expenses		3,021,097
Less: Fee waivers and/or expense reimbursements		(110,872	)
Net expenses		2,910,225
Net investment income		2,181,173
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		35,976,260
Net change in unrealized gains (losses) on investments		53,671,519
Net realized and unrealized gains (losses) on investments		89,647,779
Net increase in net assets resulting from operations	$	91,828,952

The accompanying notes are an integral part of these financial statements.

Statement of changes in net assets Wells Fargo Advantage Special Mid Cap Value Fund 13

	Six months ended March 31, 2013 (unaudited)						Year ended September 30, 2012
Operations
Net investment income				$	2,181,173					$	2,409,108
Net realized gains on investments					35,976,260						33,262,385
Net change in unrealized gains (losses) on investments					53,671,519						103,659,780
Net increase in net assets resulting from operations					91,828,952						139,331,273
Distributions to shareholders from
Net investment income
Class A					(93,118	)					(16,595	)
Class C					(8,563	)					0
Administrator Class					(658,113	)					(146,995	)
Institutional Class					(244,254	)					(682,086	)
Investor Class					(2,631,470	)					(299,841	)
Total distributions to shareholders					(3,635,518	)					(1,145,517	)
	Shares						Shares
Capital share transactions
Proceeds from shares sold
Class A		198,216			5,141,304			72,640			1,537,310
Class C		104,430			2,693,712			71,559			1,555,870
Administrator Class		909,657			24,194,295			559,215			12,076,663
Institutional Class		842,056			22,027,560			596,558			12,889,973
Investor Class		3,864,023			103,876,077			1,132,588			24,576,258
					157,932,948						52,636,074
Reinvestment of distributions
Class A		3,565			84,185			798			15,794
Class C		342			7,968			0			0
Administrator Class		26,960			643,292			7,136			142,719
Institutional Class		10,045			240,697			33,315			666,632
Investor Class		107,043			2,557,880			14,512			290,550
					3,534,022						1,115,695
Payment for shares redeemed
Class A		(47,606	)		(1,171,834	)		(207,476	)		(4,420,093	)
Class C		(8,246	)		(197,557	)		(45,226	)		(967,169	)
Administrator Class		(349,550	)		(8,847,168	)		(1,342,891	)		(28,774,907	)
Institutional Class		(4,709,186	)		(109,786,646	)		(969,664	)		(21,483,309	)
Investor Class		(1,577,700	)		(39,016,718	)		(6,110,752	)		(135,252,659	)
					(159,019,923	)					(190,898,137	)
Net increase (decrease) in net assets resulting from capital share transactions					2,447,047						(137,146,368	)
Total increase in net assets					90,640,481						1,039,388
Net assets
Beginning of period					515,325,368						514,285,980
End of period				$	605,965,849					$	515,325,368
Undistributed net investment income				$	225,325					$	1,679,670

The accompanying notes are an integral part of these financial statements.

14 Wells Fargo Advantage Special Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS A				2012			2011			20101			2009			2008			20072
Net asset value, beginning of period	$	22.83		$	17.84		$	18.60		$	15.98		$	13.90		$	23.12		$	22.85
Net investment income		0.12	3		0.08	3		0.03			0.30			0.13	3		0.28			0.07	3
Net realized and unrealized gains (losses) on investments		4.89			4.94			(0.52	)		2.49			2.14			(7.34	)		0.20
Total from investment operations		5.01			5.02			(0.49	)		2.79			2.27			(7.06	)		0.27
Distributions to shareholders from
Net investment income		(0.22	)		(0.03	)		(0.27	)		(0.17	)		(0.19	)		(0.28	)		0.00
Net realized gains		0.00			0.00			0.00			0.00			0.00			(1.88	)		0.00
Total distributions to shareholders		(0.22	)		(0.03	)		(0.27	)		(0.17	)		(0.19	)		(2.16	)		0.00
Net asset value, end of period	$	27.62		$	22.83		$	17.84		$	18.60		$	15.98		$	13.90		$	23.12
Total return4		22.12	%		28.18	%		(2.82	)%		17.55	%		16.67	%		(33.17	)%		1.18	%
Ratios to average net assets (annualized)
Gross expenses		1.31	%		1.30	%		1.29	%		1.35	%		1.35	%		1.38	%		1.39	%
Net expenses		1.25	%		1.25	%		1.25	%		1.25	%		1.23	%		1.25	%		1.20	%
Net investment income		0.97	%		0.38	%		0.14	%		1.80	%		0.94	%		0.65	%		1.17	%
Supplemental data
Portfolio turnover rate		57	%		87	%		78	%		84	%		106	%		158	%		113	%
Net assets, end of period (000s omitted)		$15,808			$9,545			$9,850			$10,497			$7,738			$1,273			$104

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. For the period from July 31, 2007 (commencement of class operations) to October 31, 2007.

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Special Mid Cap Value Fund 15

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
CLASS C				2012			2011			20101			2009			2008			20072
Net asset value, beginning of period	$	22.38		$	17.60		$	18.40		$	15.85		$	13.83		$	23.08		$	22.85
Net investment income (loss)		0.02	3		(0.03	)		(0.13	)		0.24			0.02	3		0.14			0.05	3
Net realized and unrealized gains (losses) on investments		4.83			4.81			(0.49	)		2.41			2.14			(7.31	)		0.18
Total from investment operations		4.85			4.78			(0.62	)		2.65			2.16			(7.17	)		0.23
Distributions to shareholders from
Net investment income		(0.07	)		0.00			(0.18	)		(0.10	)		(0.14	)		(0.20	)		0.00
Net realized gains		0.00			0.00			0.00			0.00			0.00			(1.88	)		0.00
Total distributions to shareholders		(0.07	)		0.00			(0.18	)		(0.10	)		(0.14	)		(2.08	)		0.00
Net asset value, end of period	$	27.16		$	22.38		$	17.60		$	18.40		$	15.85		$	13.83		$	23.08
Total return4		21.71	%		27.16	%		(3.52	)%		16.76	%		15.81	%		(33.66	)%		1.01	%
Ratios to average net assets (annualized)
Gross expenses		2.06	%		2.06	%		2.04	%		2.09	%		2.11	%		2.01	%		2.12	%
Net expenses		2.00	%		2.00	%		2.00	%		2.00	%		1.98	%		2.00	%		1.98	%
Net investment income (loss)		0.19	%		(0.35	)%		(0.60	)%		1.64	%		0.11	%		(0.08	)%		0.79	%
Supplemental data
Portfolio turnover rate		57	%		87	%		78	%		84	%		106	%		158	%		113	%
Net assets, end of period (000s omitted)		$5,983			$2,770			$1,714			$1,604			$707			$78			$10

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. For the period from July 31, 2007 (commencement of class operations) to October 31, 2007.

3. Calculated based upon average shares outstanding

4. Total return calculations do not include any sales charges. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

16 Wells Fargo Advantage Special Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
ADMINISTRATOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	23.09		$	18.04		$	18.80		$	16.14		$	13.99		$	23.16		$	23.40
Net investment income		0.14	2		0.11	2		0.06	2		0.31			0.17	2		0.13			0.21	2
Net realized and unrealized gains (losses) on investments		4.95			4.99			(0.54	)		2.53			2.15			(7.20	)		1.11
Total from investment operations		5.09			5.10			(0.48	)		2.84			2.32			(7.07	)		1.32
Distributions to shareholders from
Net investment income		(0.25	)		(0.05	)		(0.28	)		(0.18	)		(0.17	)		(0.22	)		(0.15	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(1.88	)		(1.41	)
Total distributions to shareholders		(0.25	)		(0.05	)		(0.28	)		(0.18	)		(0.17	)		(2.10	)		(1.56	)
Net asset value, end of period	$	27.93		$	23.09		$	18.04		$	18.80		$	16.14		$	13.99		$	23.16
Total return3		22.24	%		28.30	%		(2.72	)%		17.66	%		16.83	%		(33.08	)%		5.75	%
Ratios to average net assets (annualized)
Gross expenses		1.14	%		1.14	%		1.13	%		1.17	%		1.19	%		1.21	%		1.17	%
Net expenses		1.13	%		1.13	%		1.13	%		1.14	%		1.11	%		1.15	%		1.15	%
Net investment income		1.11	%		0.50	%		0.26	%		1.65	%		1.21	%		0.81	%		0.91	%
Supplemental data
Portfolio turnover rate		57	%		87	%		78	%		84	%		106	%		158	%		113	%
Net assets, end of period (000s omitted)		$90,886			$61,596			$62,122			$75,775			$95,005			$85,786			$119,079

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Financial highlights Wells Fargo Advantage Special Mid Cap Value Fund 17

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INSTITUTIONAL CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	23.15		$	18.10		$	18.86		$	16.19		$	14.05		$	23.26		$	23.47
Net investment income		0.09	2		0.16			0.10			0.33			0.21	2		0.18			0.29	2
Net realized and unrealized gains (losses) on investments		5.08			5.01			(0.52	)		2.56			2.14			(7.22	)		1.10
Total from investment operations		5.17			5.17			(0.42	)		2.89			2.35			(7.04	)		1.39
Distributions to shareholders from
Net investment income		(0.25	)		(0.12	)		(0.34	)		(0.22	)		(0.21	)		(0.29	)		(0.19	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(1.88	)		(1.41	)
Total distributions to shareholders		(0.25	)		(0.12	)		(0.34	)		(0.22	)		(0.21	)		(2.17	)		(1.60	)
Net asset value, end of period	$	28.07		$	23.15		$	18.10		$	18.86		$	16.19		$	14.05		$	23.26
Total return3		22.51	%		28.65	%		(2.46	)%		17.97	%		17.04	%		(32.89	)%		6.04	%
Ratios to average net assets (annualized)
Gross expenses		0.84	%		0.87	%		0.86	%		0.91	%		0.92	%		0.96	%		0.90	%
Net expenses		0.84	%		0.87	%		0.86	%		0.89	%		0.85	%		0.90	%		0.90	%
Net investment income		0.70	%		0.76	%		0.52	%		2.02	%		1.46	%		1.06	%		1.23	%
Supplemental data
Portfolio turnover rate		57	%		87	%		78	%		84	%		106	%		158	%		113	%
Net assets, end of period (000s omitted)		$44,035			$125,623			$104,360			$129,945			$131,036			$112,753			$157,342

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

18 Wells Fargo Advantage Special Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Six months ended March 31, 2013 (unaudited)			Year ended September 30									Year ended October 31
INVESTOR CLASS				2012			2011			20101			2009			2008			2007
Net asset value, beginning of period	$	23.08		$	18.04		$	18.80		$	16.13		$	13.97		$	23.11		$	23.36
Net investment income		0.12			0.07	2		0.02			0.28			0.14	2		0.14			0.18	2
Net realized and unrealized gains (losses) on investments		4.95			4.99			(0.53	)		2.54			2.14			(7.23	)		1.10
Total from investment operations		5.07			5.06			(0.51	)		2.82			2.28			(7.09	)		1.28
Distributions to shareholders from
Net investment income		(0.20	)		(0.02	)		(0.25	)		(0.15	)		(0.12	)		(0.17	)		(0.12	)
Net realized gains		0.00			0.00			0.00			0.00			0.00			(1.88	)		(1.41	)
Total distributions to shareholders		(0.20	)		(0.02	)		(0.25	)		(0.15	)		(0.12	)		(2.05	)		(1.53	)
Net asset value, end of period	$	27.95		$	23.08		$	18.04		$	18.80		$	16.13		$	13.97		$	23.11
Total return3		22.12	%		28.04	%		(2.88	)%		17.53	%		16.55	%		(33.19	)%		5.58	%
Ratios to average net assets (annualized)
Gross expenses		1.37	%		1.37	%		1.36	%		1.44	%		1.48	%		1.54	%		1.52	%
Net expenses		1.31	%		1.31	%		1.31	%		1.31	%		1.31	%		1.31	%		1.31	%
Net investment income		0.93	%		0.32	%		0.08	%		1.57	%		1.02	%		0.67	%		0.76	%
Supplemental data
Portfolio turnover rate		57	%		87	%		78	%		84	%		106	%		158	%		113	%
Net assets, end of period (000s omitted)		$449,254			$315,791			$336,239			$384,509			$362,184			$374,417			$839,228

1. For the eleven months ended September 30, 2010. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2010.

2. Calculated based upon average shares outstanding

3. Returns for periods of less than one year are not annualized.

The accompanying notes are an integral part of these financial statements.

Notes to financial statements (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 19

1. ORGANIZATION

Wells Fargo Funds Trust (the “Trust”), a Delaware statutory trust organized on March 10, 1999, is an open-end management investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). These financial statements report on Wells Fargo Advantage Special Mid Cap Value Fund (the “Fund”) which is a diversified series of the Trust.

2. SIGNIFICANT ACCOUNTING POLICIES

The following significant accounting policies, which are consistently followed in the preparation of the financial statements of the Fund, are in conformity with U.S. generally accepted accounting principles which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities, 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.

Securities valuation

All investments are valued each business day as of the close of regular trading on the New York Stock Exchange (normally 4 p.m. Eastern Time).

Equity securities that are listed on a foreign or domestic exchange, except for The Nasdaq Stock Market, Inc. (“Nasdaq”), are valued at the official closing price or, if none, the last sales price. Securities listed on Nasdaq are valued at the Nasdaq Official Closing Price (“NOCP”). If no NOCP is available, securities are valued at the last sales price. If no sales price is shown on the Nasdaq, the bid price will be used. If no sale occurs on the primary exchange or market for the security that day or if no sale occurs and no bid price is shown on Nasdaq, the prior day’s price will be deemed “stale” and fair values will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Non-registered investment companies are fair valued at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined by procedures established in good faith and approved by the Board of Trustees. The Board of Trustees has established a Valuation Committee comprised of the Trustees and has delegated to it the authority to take any actions regarding the valuation of portfolio securities that the Valuation Committee deems necessary or appropriate, including determining the fair value of portfolio securities, unless the determination has been delegated to the Management Valuation Team of Wells Fargo Funds Management, LLC (“Funds Management”). The Board of Trustees retains the authority to make or ratify any valuation decisions or approve any changes to the Valuation Procedures as it deems appropriate. On a quarterly basis, the Board of Trustees receives reports on any valuation actions taken by the Valuation Committee or the Management Valuation Team which may include items for ratification.

Valuations of fair valued securities are compared to the next actual sales price when available, or other appropriate market information to assess the continued appropriateness of the fair valuation methodology used. These securities are fair valued on a day-to-day basis, taking into consideration changes to appropriate market information and any significant changes to the input factors considered in the valuation process until there is a readily available price provided on the exchange or by an independent pricing service. Valuations received from an independent pricing service or broker quotes are periodically validated by comparisons to most recent trades and valuations provided by other independent pricing services in addition to the review of prices by the adviser and/or subadviser. Unobservable inputs used in determining fair valuations are identified based on the type of security, taking into consideration factors utilized by market participants in valuing the investment, knowledge about the issuer and the current market environment.

Security loans

The Fund may lend its securities from time to time in order to earn additional income in the form of fees or interest on securities received as collateral or the investment of any cash received as collateral. The Fund continues to receive interest or dividends on the securities loaned. The Fund receives collateral in the form of cash or securities with a value at least equal to the value of the securities on loan. The value of the loaned securities is determined at the close of each business day and any additional required collateral is delivered to the Fund on the next business day. In a securities lending transaction, the net asset value of the Fund will be affected by an increase or decrease in the value of the securities loaned and by an increase or decrease in the value of the instrument in which collateral is invested. The amount of securities lending activity undertaken by the Fund fluctuates from time to time. In the event of default or bankruptcy by the borrower, the Fund may be prevented from recovering the loaned securities or gaining access to the collateral or may experience delays or costs in doing so. In addition, the investment of any cash collateral received may lose all or part of its value. The Fund has the right under the lending agreement to recover the securities from the borrower on demand.

20 Wells Fargo Advantage Special Mid Cap Value Fund Notes to financial statements (unaudited)

The Fund lends its securities through an unaffiliated securities lending agent. Cash collateral received in connection with its securities lending transactions is invested in Wells Fargo Securities Lending Cash Investments, LLC (the “Cash Collateral Fund”). The Cash Collateral Fund is exempt from registration under Section 3(c)(7) of the 1940 Act and is managed by Funds Management and is subadvised by Wells Capital Management Incorporated (“WellsCap”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Cash Collateral Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Cash Collateral Fund seeks to provide a positive return compared to the daily Fed Funds Open rate by investing in high-quality, U.S. dollar-denominated short-term money market instruments. Cash Collateral Fund investments are fair valued based upon the amortized cost valuation technique. Income earned from investment in the Cash Collateral Fund is included in securities lending income on the Statement of Operations.

Security transactions and income recognition

Securities transactions are recorded on a trade date basis. Realized gains or losses are recorded on the basis of identified cost.

Dividend income is recognized on the ex-dividend date.

Distributions to shareholders

Distributions to shareholders from net investment income and net realized gains, if any, are recorded on the ex-dividend date. Such distributions are determined in conformity with federal income tax regulations, which may differ in amount or character from net investment income and realized gains recognized for purposes of U.S. generally accepted accounting principles.

Federal and other taxes

The Fund intends to continue to qualify as a regulated investment company by distributing substantially all of its investment company taxable income and any net realized capital gains (after reduction for capital loss carryforwards) sufficient to relieve it from all, or substantially all, federal income taxes. Accordingly, no provision for federal income taxes was required.

The Fund’s income and federal excise tax returns and all financial records supporting those returns for the prior three fiscal years are subject to examination by the federal and Delaware revenue authorities. Management has analyzed the Fund’s tax positions taken on federal, state, and foreign tax returns for all open tax years and does not believe that there are any uncertain tax positions that require recognition of a tax liability.

As of September 30, 2012, the Fund had pre-enactment capital loss carryforwards incurred in taxable years beginning before December 22, 2010, which were available to offset future net realized capital gains, in the amount of $20,640,178 expiring in 2017.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Shareholders of each class bear certain expenses that pertain to that particular class. All shareholders bear the common expenses of the Fund, earn income from the portfolio, and are allocated any unrealized gains and losses pro rata based on the average daily net assets of each class, without distinction between share classes. Dividends are determined separately for each class based on income and expenses allocable to each class. Realized gains and losses are allocated to each class pro rata based upon the net assets of each class on the date realized. Differences in per share dividend rates generally result from the relative weightings of pro rata income and realized gain allocations and from differences in separate class expenses, including distribution, shareholder servicing, and administration fees.

3. FAIR VALUATION MEASUREMENTS

Fair value measurements of investments are determined within a framework that has established a fair value hierarchy based upon the various data inputs utilized in determining the value of the Fund’s investments. The three-level hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to significant unobservable inputs (Level 3). The Fund’s investments are classified within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement. The inputs are summarized into three broad levels as follows:

n Level 1 – quoted prices in active markets for identical securities

n Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, use of amortized cost, etc.)

n Level 3 – significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)

Notes to financial statements (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 21

The inputs or methodologies used for valuing investments in securities are not necessarily an indication of the risk associated with investing in those securities.

As of March 31, 2013, the inputs used in valuing investments in securities, which are carried at fair value, were as follows:

Investments in securities	Quoted prices (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Equity securities
Common stocks	$	581,054,577	$	0	$	0	$	581,054,577
Short-term investments
Investment companies		37,814,480		74,292,292		0		112,106,772
	$	618,869,057	$	74,292,292	$	0	$	693,161,349

Transfers in and transfers out are recognized at the end of the reporting period. For the six months ended March 31, 2013, the Fund did not have any transfers into/out of Level 1 or Level 2.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Advisory Fee

The Trust has entered into an advisory contract with Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). The adviser is responsible for implementing investment policies and guidelines and for supervising the subadviser, who is responsible for day-to-day portfolio management of the Fund.

Pursuant to the contract, Funds Management is entitled to receive an annual advisory fee starting at 0.70% and declining to 0.60% as the average daily net assets of the Fund increase. For the six months ended March 31, 2013, the advisory fee was equivalent to an annual rate of 0.70% of the Fund’s average daily net assets.

Funds Management has retained the services of a subadviser to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap, an affiliate of Funds Management, is the subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.45% and declining to 0.30% as the average daily net assets of the Fund increase.

Administration and transfer agent fees

The Trust has entered into an administration agreement with Funds Management. Under this agreement, for providing administrative services, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers, Funds Management is entitled to receive from the Fund an annual fund level administration fee starting at 0.05% and declining to 0.03% as the average daily net assets of the Fund increase and a class level administration fee which is calculated based on the average daily net assets of each class as follows:

	Class level administration fee
Class A, Class C		0.26	%
Administrator Class		0.10
Institutional Class		0.08
Investor Class		0.32

Funds Management has contractually waived and/or reimbursed advisory and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. Waiver of fees and/or reimbursement of expenses by Funds Management were made first from fund level expenses on a proportionate basis and then from class specific expenses. Funds Management has committed through January 31, 2014 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.25% for Class A shares, 2.00% for Class C shares, 1.14% for Administrator Class shares, 0.87% for Institutional Class shares, and 1.31% for Investor Class shares.

Distribution fees

The Trust has adopted a Distribution Plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. Distribution fees are charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC, the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

22 Wells Fargo Advantage Special Mid Cap Value Fund Notes to financial statements (unaudited)

For the six months ended March 31, 2013, Wells Fargo Funds Distributor, LLC received $2,180 from the sale of Class A shares and $52 in contingent deferred sales charges from redemptions of Class C shares.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class C, Administrator Class, and Investor Class of the Fund is charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

A portion of these total shareholder servicing fees were paid to affiliates of Wells Fargo.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the six months ended March 31, 2013 were $259,887,590 and $268,646,975, respectively.

6. CAPITAL SHARES

As a result of the transfer of assets from Funds Management, former program manager of the 529 college savings plans for the State of Wisconsin, to a new program manager, the Fund redeemed assets from its Institutional Class on October 26, 2012 with a value of $106,263,279, representing 20.72% of the Fund. This amount is reflected in the Statement of Changes in Net Assets for the six months ended March 31, 2013.

7. BANK BORROWINGS

The Trust (excluding the money market funds and certain other funds in the Trust) and Wells Fargo Variable Trust are parties to a $150,000,000 revolving credit agreement with State Street Bank and Trust Company, whereby the Fund is permitted to use bank borrowings for temporary or emergency purposes, such as to fund shareholder redemption requests. Interest under the credit agreement is charged to the Fund based on a borrowing rate equal to the higher of the Federal Funds rate in effect on that day plus 1.25% or the overnight LIBOR rate in effect on that day plus 1.25%. In addition, an annual commitment fee equal to 0.10% of the unused balance is allocated to each participating fund. For the six months ended March 31, 2013, the Fund paid $415 in commitment fees.

For the six months ended March 31, 2013, there were no borrowings by the Fund under the agreement.

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and directors are indemnified against certain liabilities that may arise out of performance of their duties to the Trust. Additionally, in the normal course of business, the Trust may enter into contracts with service providers that contain a variety of indemnification clauses. The Trust’s maximum exposure under these arrangements is dependent on future claims that may be made against the Fund and, therefore, cannot be estimated.

9. NEW ACCOUNTING PRONOUNCEMENT

In December 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) No. 2011-11, Disclosures about Offsetting Assets and Liabilities. ASU 2011-11, which amends FASB ASC Topic 210, Balance Sheet, creates new disclosure requirements which require entities to disclose both gross and net information for derivatives and other financial instruments that are either offset in the Statement of Assets and Liabilities or subject to an enforceable master netting arrangement or similar agreement. The disclosure requirements are effective for interim and annual reporting periods beginning on or after January 1, 2013. Management is currently assessing the potential impact, in addition to expanded financial statement disclosure, that may result from adopting this ASU.

Other information (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 23

PROXY VOTING INFORMATION

A description of the policies and procedures that the Fund uses to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-800-222-8222, visiting our website at wellsfargoadvantagefunds.com, or visiting the SEC website at sec.gov. Information regarding how the Fund voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge on the Fund’s website at wellsfargoadvantagefunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available on the Fund’s website (wellsfargoadvantagefunds.com) on a monthly, 30-day or more delayed basis. In addition, top ten holdings information for the Fund is publicly available on the Fund’s website on a monthly, seven-day or more delayed basis. The Fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q, which is available without charge by visiting the SEC website at sec.gov. In addition, the Fund’s Form N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC, and at regional offices in New York City, at 233 Broadway, and in Chicago, at 175 West Jackson Boulevard, Suite 900. Information about the Public Reference Room may be obtained by calling 1-800-SEC-0330.

24 Wells Fargo Advantage Special Mid Cap Value Fund Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers listed in the table below acts in identical capacities for the Wells Fargo Advantage family of funds, which consists of 130 funds¹ comprising the Wells Fargo Funds Trust, Wells Fargo Variable Trust, Wells Fargo Master Trust and four closed-end funds (collectively the “Fund Complex”). This table should be read in conjunction with the Prospectus and the Statement of Additional Information². All of the Trustees are also Members of the Audit and Governance Committees of each Trust in the Fund Complex. The mailing address of each Trustee and Officer is 525 Market Street, 12th Floor, San Francisco, CA 94105. Each Trustee and Officer serves an indefinite term, however, each Trustee serves such term until reaching the mandatory retirement age established by the Trustees.

Independent Trustees

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Peter G. Gordon (Born 1942)	Trustee, since 1998; Chairman, since 2005	Co-Founder, Retired Chairman, President and CEO of Crystal Geyser Water Company. Trustee Emeritus, Colby College.	Asset Allocation Trust
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Prior thereto, President and CEO of BellSouth Advertising and Publishing Corp. from 2005 to 2007, President and CEO of BellSouth Enterprises from 2004 to 2005 and President of BellSouth Consumer Services from 2000 to 2003. Emeritus member of the Iowa State University Foundation Board of Governors. Emeritus Member of the Advisory Board of Iowa State University School of Business. Advisory Board Member, Palm Coast Academy (charter school). Mr. Harris is a certified public accountant.	CIGNA Corporation; Deluxe Corporation; Asset Allocation Trust
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2008	Retired. Prior thereto, Chief Executive Officer and Chief Investment Officer of Minneapolis Employees Retirement Fund from 1996 to 2008. Ms. Johnson is an attorney, certified public accountant and a certified managerial accountant.	Asset Allocation Trust
Leroy Keith, Jr. (Born 1939)	Trustee, since 2010	Chairman, Bloc Global Services (development and construction). Trustee of the Evergreen Funds from 1983 to 2010. Former Managing Director, Almanac Capital Management (commodities firm), former Partner, Stonington Partners, Inc. (private equity fund), former Director, Obagi Medical Products Co. and former Director, Lincoln Educational Services.	Trustee, Virtus Fund Complex (consisting of 48 portfolios as of 1/31/13); Asset Allocation Trust
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Morgan Stanley Director of the Center for Leadership Development and Research and Senior Faculty of The Rock Center for Corporate Governance since 2006. From 2005 to 2008, Professor of Accounting at the Graduate School of Business, Stanford University. Prior thereto, Ernst & Young Professor of Accounting at The Wharton School, University of Pennsylvania from 1985 to 2005.	Asset Allocation Trust
Olivia S. Mitchell (Born 1953)	Trustee, since 2006	International Foundation of Employee Benefit Plans Professor, Wharton School of the University of Pennsylvania since 1993. Director of Wharton’s Pension Research Council and Boettner Center on Pensions & Retirement Research, and Research Associate at the National Bureau of Economic Research. Previously, Cornell University Professor from 1978 to 1993.	Asset Allocation Trust
Timothy J. Penny (Born 1951)	Trustee, since 1996	President and CEO of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007 and Senior Fellow at the Humphrey Institute Policy Forum at the University of Minnesota since 1995. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	Asset Allocation Trust

Other information (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 25

Name and year of birth	Position held and length of service*	Principal occupations during past five years	Other directorships during past five years
Michael S. Scofield (Born 1943)	Trustee, since 2010	Served on the Investment Company Institute’s Board of Governors and Executive Committee from 2008-2011 as well the Governing Council of the Independent Directors Council from 2006-2011 and the Independent Directors Council Executive Committee from 2008-2011. Chairman of the IDC from 2008-2010. Institutional Investor (Fund Directions) Trustee of Year in 2007. Trustee of the Evergreen Funds (and its predecessors) from 1984 to 2010. Chairman of the Evergreen Funds from 2000-2010. Former Trustee of the Mentor Funds. Retired Attorney, Law Offices of Michael S. Scofield.	Asset Allocation Trust
Donald C. Willeke (Born 1940)	Trustee, since 1996	Principal of the law firm of Willeke & Daniels. General Counsel of the Minneapolis Employees Retirement Fund from 1984 until its consolidation into the Minnesota Public Employees Retirement Association on June 30, 2010. Director and Vice Chair of The Tree Trust (non-profit corporation). Director of the American Chestnut Foundation (non-profit corporation).	Asset Allocation Trust

* Length of service dates reflect the Trustee’s commencement of service with the Trust’s predecessor entities, where applicable.

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years
Karla M. Rabusch (Born 1959)	President, since 2003	Executive Vice President of Wells Fargo Bank, N.A. and President of Wells Fargo Funds Management, LLC since 2003.
Nancy Wiser1 (Born 1967)	Treasurer, since 2012	Executive Vice President of Wells Fargo Funds Management, LLC since 2011. Chief Operating Officer and Chief Compliance Officer at LightBox Capital Management LLC, from 2008 to 2011. Owned and operated a consulting business providing services to various hedge funds including acting as Chief Operating Officer and Chief Compliance Officer for a hedge fund from 2007 to 2008. Chief Operating Officer and Chief Compliance Officer of GMN Capital LLC from 2006 to 2007.
C. David Messman (Born 1960)	Secretary, since 2000; Chief Legal Officer, since 2003	Senior Vice President and Secretary of Wells Fargo Funds Management, LLC since 2001. Vice President and Managing Counsel of Wells Fargo Bank, N.A. since 1996.
Debra Ann Early (Born 1964)	Chief Compliance Officer, since 2007	Chief Compliance Officer of Wells Fargo Funds Management, LLC since 2007. Chief Compliance Officer of Parnassus Investments from 2005 to 2007. Chief Financial Officer of Parnassus Investments from 2004 to 2007.
David Berardi (Born 1975)	Assistant Treasurer, since 2009	Vice President of Wells Fargo Funds Management, LLC since 2009. Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Assistant Vice President of Evergreen Investment Services, Inc. from 2004 to 2008. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.
Jeremy DePalma1 (Born 1974)	Assistant Treasurer, since 2009	Senior Vice President of Wells Fargo Funds Management, LLC since 2009. Senior Vice President of Evergreen Investment Management Company, LLC from 2008 to 2010. Vice President, Evergreen Investment Services, Inc. from 2004 to 2007. Head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

1. Nancy Wiser acts as Treasurer of 72 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 58 funds and Assistant Treasurer of 72 funds in the Fund Complex.

2. The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 1-800-222-8222 or by visiting the website at wellsfargoadvantagefunds.com.

26 Wells Fargo Advantage Special Mid Cap Value Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT ADVISORY AND SUBADVISORY AGREEMENTS:

Under Section 15 of the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”), all the members of which have no direct or indirect interest in the investment advisory and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), must determine whether to approve the continuation of the Trust’s investment advisory and sub-advisory agreements. In this regard, at an in-person meeting held on March 28-29, 2013 (the “Meeting”), the Board reviewed: (i) an investment advisory agreement with Wells Fargo Funds Management, LLC (“Funds Management”) for Wells Fargo Advantage Special Mid Cap Value Fund (the “Fund”) and (ii) an investment sub-advisory agreement with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management, for the Fund. The investment advisory agreement with Funds Management and the investment sub-advisory agreement with the Sub-Adviser are collectively referred to as the “Advisory Agreements.”

At the Meeting, the Board considered the factors and reached the conclusions described below relating to the selection of Funds Management and the Sub-Adviser and the continuation of the Advisory Agreements. Prior to the Meeting, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. The Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the Board in the discharge of its duties in reviewing performance and other matters throughout the year. The Independent Trustees were assisted in their evaluation of the Advisory Agreements by independent legal counsel, from whom they received separate legal advice and with whom they met separately.

In providing information to the Board, Funds Management and the Sub-Adviser were guided by a detailed set of requests for information submitted to them by independent legal counsel on behalf of the Independent Trustees at the start of the Board’s annual contract renewal process earlier in 2013. In considering and approving the Advisory Agreements, the Trustees considered the information they believed relevant, including but not limited to the information discussed below. The Board considered not only the specific information presented in connection with the Meeting, but also the knowledge gained over time through interaction with Funds Management and the Sub-Adviser about various topics. In this regard, the Board reviewed reports of Funds Management at each of its quarterly meetings, which included, among other things, portfolio reviews and performance reports. In addition, the Board and the teams mentioned above confer with portfolio managers at various times throughout the year. The Board did not identify any particular information or consideration that was all-important or controlling, and each individual Trustee may have attributed different weights to various factors.

After its deliberations, the Board unanimously determined that the continuation of the Advisory Agreements is in the best interests of the Fund and its shareholders, and that the compensation payable to Funds Management and the Sub-Adviser is reasonable. The Board considered the continuation of the Advisory Agreements for the Fund as part of its consideration of the continuation of advisory agreements for funds across the complex, but each decision was made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in reaching its determination.

Nature, extent and quality of services

The Board received and considered various information regarding the nature, extent and quality of services provided to the Fund by Funds Management and the Sub-Adviser under the Advisory Agreements. This information included, among other things, a summary of the background and experience of senior management of Funds Management, and the qualifications, background, tenure and responsibilities of each of the portfolio managers primarily responsible for the day-to-day portfolio management of the Fund.

The Board evaluated the ability of Funds Management and the Sub-Adviser, based on attributes such as their financial condition, resources, and reputation to attract and retain qualified investment professionals, including research, advisory and supervisory personnel. The Board further considered the compliance programs and compliance records of Funds Management and the Sub-Adviser. In addition, the Board took into account the administrative and other services provided to the Fund by Funds Management and its affiliates and Funds Management’s oversight of the Fund’s various service providers.

Fund performance and expenses

The Board considered the performance results for the Fund over various time periods ended December 31, 2012. The Board also considered these results in comparison to the performance of funds in a universe that was determined by Lipper Inc. (“Lipper”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Lipper is an independent provider of investment company data. The Board received a description of the

Other information (unaudited) Wells Fargo Advantage Special Mid Cap Value Fund 27

methodology used by Lipper to select the mutual funds in the performance Universe. The Board noted that the performance of the Fund (Administrator Class) was higher than the median performance of the Universe for all periods under review. The Board also noted that the performance of the Fund was higher than or in range of its benchmark, the Russell Midcap^® Value Index, for all periods under review, except the three-year period.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the benchmark for the three-year period under review. Funds Management advised the Board about the market conditions and investment decisions that it believed contributed to the underperformance during that period. The Board was satisfied with the explanation of the factors contributing to underperformance and with the steps being taken by Funds Management and the Sub-Adviser to address the Fund’s investment performance.

The Board received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees (which reflect fee waivers, if any, and include advisory, administration and transfer agent fees), custodian and other non-management fees, Rule 12b-1 and non-Rule 12b-1 service fees and fee waiver and expense reimbursement arrangements. The Board also considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Lipper to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Lipper to select the mutual funds in the expense Groups. Based on the Lipper reports, the Board noted that the net operating expense ratios of the Fund were in range of the median net operating expense ratios for the Fund’s expense Groups.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board concluded that the overall performance and expense structure of the Fund supported the re-approval of the Advisory Agreements.

Investment advisory and sub-advisory fee rates

The Board reviewed and considered the contractual investment advisory fee rates that are payable by the Fund to Funds Management for investment advisory services (the “Advisory Agreement Rates”), both on a stand-alone basis and on a combined basis with the Fund’s fund-level and class-level contractual administration fee rates (the “Management Rates”). The Board noted that the administration fees include transfer agency costs. The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Adviser for investment sub-advisory services (the “Sub-Advisory Agreement Rates”).

Among other information reviewed by the Board was a comparison of the Management Rates of the Fund with those of other funds in the expense Groups at a common asset level. The Board noted that the Management Rates of the Fund were in range of the median rates for the Fund’s expense Groups, except for Class A and the Investor Class. The Board viewed favorably the fact that the net operating expense ratios of the Fund, including Class A and the Investor Class, were in range of the median net operating expense ratios for the Fund’s expense Groups.

The Board also received and considered information about the portion of the total advisory fee that was retained by Funds Management after payment of the fee to the Sub-Adviser for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information concerning the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Adviser, and about Funds Management’s on-going oversight services. In recognition of the fact that the Wells Fargo enterprise provides a suite of combined advisory and sub-advisory services to the Fund through affiliated entities, the Board ascribed limited relevance to the allocation of the total advisory fee between Funds Management and the Sub-Adviser.

The Board also received and considered information about the nature and extent of services offered and fee rates charged by Funds Management and the Sub-Adviser to other types of clients. In this regard, the Board received information about the significantly greater scope of services, and compliance, reporting and other legal burdens and risks of managing mutual funds compared with those associated with managing assets of non-mutual fund clients such as collective funds or institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the Advisory Agreement Rates and the Sub-Advisory Agreement Rates were reasonable in light of the services covered by the Advisory Agreements.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of Wells Fargo as a whole, from providing services to the Fund. The Board did not receive or consider to be necessary separate profitability information with respect to the Sub-Adviser, because, as an affiliate of Funds Management, its profitability information was subsumed in the collective Wells Fargo profitability analysis provided by Funds Management.

28 Wells Fargo Advantage Special Mid Cap Value Fund Other information (unaudited)

Funds Management explained the methodologies and estimates that it used in calculating the profitability from the Fund and the fund family as a whole. Among other things, the Board noted that the levels of profitability reported on a fund-by-fund basis varied widely, depending on factors such as the size and type of fund. Based on its review, the Board did not deem the profits reported by Funds Management to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

With respect to possible economies of scale, the Board reviewed the breakpoints in the Fund’s advisory fee and administration fee structure, which operate generally to reduce the Fund’s expense ratios as the Fund grows in size. It considered that, for a small fund or a fund that shrinks in size, breakpoints conversely can result in higher fee levels. The Board also considered fee waiver and expense reimbursement arrangements as a means of sharing potential economies of scale with the Fund. The Board acknowledged the inherent limitations of any analysis of potential economies of scale and of any attempt to correlate breakpoints with such economies. Nonetheless, the Board concluded that the breakpoints and net operating expense ratio caps appeared to be a reasonable approach to sharing potential economies of scale with the Fund.

Other benefits to Funds Management and the Sub-Adviser

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, as a result of their relationship with the Fund. Ancillary benefits could include, among others, benefits directly attributable to other relationships with the Fund and benefits potentially derived from an increase in Funds Management’s and the Sub-Adviser’s business as a result of their relationship with the Fund (such as the ability to market to shareholders other financial products and services offered by Funds Management and its affiliates, including the Sub-Adviser, or to operate other products and services that follow investment strategies similar to those of the Fund).

The Board considered that Wells Fargo Funds Distributor, LLC, an affiliate of Funds Management, serves as distributor to the Fund and receives certain compensation for those services. The Board noted that various financial institutions, including affiliates of Funds Management, may receive distribution-related fees, shareholder servicing payments (including amounts derived from payments under Rule 12b-1 plans) and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about whether and to what extent soft dollar credits are sought and how any such credits are utilized, and any benefits that might be realized by an affiliated broker that handles portfolio transactions for the Fund.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board did not find that any ancillary benefits received by Funds Management and its affiliates, including the Sub-Adviser, were unreasonable.

Conclusion

After considering the above-described factors and based on its deliberations and its evaluation of the information described above, the Board unanimously approved the continuation of the Advisory Agreements for an additional one-year period.

List of abbreviations Wells Fargo Advantage Special Mid Cap Value Fund 29

The following is a list of common abbreviations for terms and entities that may have appeared in this report.

ACA —  ACA Financial Guaranty Corporation

ADR —  American depositary receipt

ADS —  American depositary shares

AGC —  Assured Guaranty Corporation

AGM —  Assured Guaranty Municipal

Ambac —  Ambac Financial Group Incorporated

AMT —  Alternative minimum tax

AUD —  Australian dollar

BAN —  Bond anticipation notes

BHAC —  Berkshire Hathaway Assurance Corporation

BRL —  Brazilian real

CAB —  Capital appreciation bond

CAD —  Canadian dollar

CCAB —  Convertible capital appreciation bond

CDA —  Community Development Authority

CDO —  Collateralized debt obligation

CHF —  Swiss franc

COP —  Certificate of participation

DKK —  Danish krone

DRIVER —  Derivative inverse tax-exempt receipts

DW&P —  Department of Water & Power

DWR —  Department of Water Resources

ECFA —  Educational & Cultural Facilities Authority

EDA —  Economic Development Authority

EDFA —  Economic Development Finance Authority

ETF —  Exchange-traded fund

EUR —  Euro

FDIC —  Federal Deposit Insurance Corporation

FFCB —  Federal Farm Credit Banks

FGIC —  Financial Guaranty Insurance Corporation

FHA —  Federal Housing Administration

FHLB —  Federal Home Loan Bank

FHLMC —  Federal Home Loan Mortgage Corporation

FICO —  The Financing Corporation

FNMA —  Federal National Mortgage Association

FSA —  Farm Service Agency

GBP —  Great British pound

GDR —  Global depositary receipt

GNMA —  Government National Mortgage Association

GO —  General obligation

HCFR —  Healthcare facilities revenue

HEFA —  Health & Educational Facilities Authority

HEFAR —  Higher education facilities authority revenue

HFA —  Housing Finance Authority

HFFA —  Health Facilities Financing Authority

HKD —  Hong Kong dollar

HUD —  Department of Housing and Urban Development

HUF —  Hungarian forint

IDA —  Industrial Development Authority

IDAG —  Industrial Development Agency

IDR —  Industrial development revenue

IEP —  Irish pound

JPY —  Japanese yen

KRW —  Republic of Korea won

LIBOR —  London Interbank Offered Rate

LIQ —  Liquidity agreement

LLC —  Limited liability company

LLP —  Limited liability partnership

LOC —  Letter of credit

LP —  Limited partnership

MBIA —  Municipal Bond Insurance Association

MFHR —  Multifamily housing revenue

MSTR —  Municipal securities trust receipts

MTN —  Medium-term note

MUD —  Municipal Utility District

MXN —  Mexican peso

MYR —  Malaysian ringgit

National —  National Public Finance Guarantee Corporation

NOK —  Norwegian krone

NZD —  New Zealand dollar

PCFA —  Pollution Control Financing Authority

PCL —  Public Company Limited

PCR —  Pollution control revenue

PFA —  Public Finance Authority

PFFA —  Public Facilities Financing Authority

PFOTER —  Puttable floating option tax-exempt receipts

plc —  Public limited company

PLN —  Polish zloty

PUTTER —  Puttable tax-exempt receipts

R&D —  Research & development

Radian —  Radian Asset Assurance

RAN —  Revenue anticipation notes

RDA —  Redevelopment Authority

RDFA —  Redevelopment Finance Authority

REIT —  Real estate investment trust

ROC —  Reset option certificates

SAVRS —  Select auction variable rate securities

SBA —  Small Business Authority

SEK —  Swedish krona

SFHR —  Single-family housing revenue

SFMR —  Single-family mortgage revenue

SGD —  Singapore dollar

SKK —  Slovakian koruna

SPA —  Standby purchase agreement

SPDR —  Standard & Poor’s Depositary Receipts

STRIPS —  Separate trading of registered interest and       principal securities

TAN —  Tax anticipation notes

TBA —  To be announced

TIPS —  Treasury inflation-protected securities

TRAN —  Tax revenue anticipation notes

TRY —  Turkish lira

TTFA —  Transportation Trust Fund Authority

TVA —  Tennessee Valley Authority

ZAR —  South African rand

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For more information

More information about Wells Fargo Advantage Funds is available free upon request. To obtain literature, please write, email, visit the Fund’s website, or call:

Wells Fargo Advantage Funds

P.O. Box 8266

Boston, MA 02266-8266

Email: wfaf@wellsfargo.com

Website: wellsfargoadvantagefunds.com

Individual investors: 1-800-222-8222

Retail investment professionals: 1-888-877-9275

Institutional investment professionals: 1-866-765-0778

This report and the financial statements contained herein are submitted for the general information of the shareholders of Wells Fargo Advantage Funds. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. For a current prospectus and, if available, a summary prospectus containing more complete information, including charges and expenses, call 1-800-222-8222 or visit the Fund’s website at wellsfargoadvantagefunds.com. Please consider the investment objectives, risks, charges, and expenses of the investment carefully before investing. This and other information about Wells Fargo Advantage Funds can be found in the current prospectus. Read the prospectus carefully before you invest or send money.

Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment advisory and administrative services for Wells Fargo Advantage Funds. Other affiliates of Wells Fargo & Company provide subadvisory and other services for the Funds. The Funds are distributed by Wells Fargo Funds Distributor, LLC, Member FINRA/SIPC, an affiliate of Wells Fargo & Company.

NOT FDIC INSURED  ¡  NO BANK GUARANTEE  ¡   MAY LOSE VALUE

© 2013 Wells Fargo Funds Management, LLC. All rights reserved.

215922 05-13 SA234/SAR234 3-13

ITEM 2. CODE OF ETHICS

Not required in this filing

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT

Not required in this filing.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES

Not required in this filing.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS

Not required in this filing.

ITEM 6. PORTFOLIO OF INVESTMENTS

The Portfolio of investments is included as part of the report to shareholders filed under Item 1 of this Form.

ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES

Not applicable.

ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES

Not applicable.

ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMEENT INVESTMENT COMPANY AND AFFILIATED PURCHASES

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

The Governance Committee (the “Committee”) of the Board of Trustees of the registrant (the “Trust”) has adopted procedures by which a shareholder of any series of the Trust may submit properly a nominee recommendation for the Committee’s consideration.

The shareholder must submit any such recommendation (a “Shareholder Recommendation”) in writing to the Trust, to the attention of the Trust’s Secretary, at the address of the principal executive offices of the Trust.

The Shareholder Recommendation must be delivered to, or mailed and received at, the principal executive offices of the Trust not less than forty-five (45) calendar days nor more than seventy-five (75) calendar days prior to the date of the Committee meeting at which the nominee would be considered.

The Shareholder Recommendation must include: (i) a statement in writing setting forth (A) the name, age, date of birth, business address, residence address and nationality of the person recommended by the shareholder (the “candidate”); (B) the series (and, if applicable, class) and number of all shares of the Trust owned of record or beneficially by the candidate, as reported to such shareholder by the candidate; (C) any other information regarding the candidate called for with respect to director nominees by paragraphs (a), (d), (e) and (f) of Item 401 of Regulation S-K or paragraph (b) of Item 22 of Rule 14a-101 (Schedule 14A) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), adopted by the Securities and Exchange Commission (or the corresponding provisions of any regulation or rule subsequently adopted by the Securities and Exchange Commission or any successor agency applicable to the Trust); (D) any other information regarding the candidate that would be required to be disclosed if the candidate were a nominee in a proxy statement or other filing required to be made in connection with solicitation of proxies for election of directors pursuant to Section 14 of the Exchange Act and the rules and regulations promulgated thereunder; and (E) whether the recommending shareholder believes that the candidate is or will be an “interested person” of the Trust (as defined in the Investment Company Act of 1940, as amended) and, if not an “interested person,” information regarding the candidate that will be sufficient for the Trust to make such determination; (ii) the written and signed consent of the candidate to be named as a nominee and to serve as a Trustee if elected; (iii) the recommending shareholder’s name as it appears on the Trust’s books; (iv) the series (and, if applicable, class) and number of all shares of the Trust owned beneficially and of record by the recommending shareholder; and (v) a description of all arrangements or understandings between the recommending shareholder and the candidate and any other person or persons (including their names) pursuant to which the recommendation is being made by the recommending shareholder. In addition, the Committee may require the candidate to interview in person and furnish such other information as it may reasonably require or deem necessary to determine the eligibility of such candidate to serve as a Trustee of the Trust.

ITEM 11. CONTROLS AND PROCEDURES

(a) The President and Treasurer have concluded that the Wells Fargo Funds Trust (the “Trust”) disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) provide reasonable assurances that material information relating to the Trust is made known to them by the appropriate persons, based on their evaluation of these controls and procedures as of a date within 90 days of the filing of this report.

(b) There were no significant changes in the Trust’s internal controls over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) that occurred during the second quarter of the period covered by this report that materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

ITEM 12. EXHIBITS

(a)(1) Not required in this filing.

(a)(2) Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.

(a)(3) Not applicable.

(b) Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is filed and attached hereto as Exhibit 99.906CERT.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Wells Fargo Funds Trust
By:
	/s/ Karla M. Rabusch
	Karla M. Rabusch
	President
Date:	May 22, 2013

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 date indicated.

Wells Fargo Funds Trust
By:
	/s/ Karla M. Rabusch
	Karla M. Rabusch
	President
Date:	May 22, 2013
By:
	/s/ Nancy Wiser
	Nancy Wiser
	Treasurer
Date:	May 22, 2013
By:
	/s/ Jeremy DePalma
	Jeremy DePalma
	Treasurer
Date:	May 22, 2013