Allspring Growth Fund (SGRNX) N-CSR Certified annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number: 811-09253

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)

Alexander Kymn

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

Registrant is making a filing for 11 of its series:

Wells Fargo Diversified Capital Builder Fund, Wells Fargo Diversified Income Builder Fund, Wells Fargo Index Asset Allocation Fund, Wells Fargo International Bond Fund, Wells Fargo Strategic Income Fund, Wells Fargo C&B Mid Cap Value Fund, Wells Fargo Common Stock Fund, Wells Fargo Discovery Fund, Wells Fargo Enterprise Fund, Wells Fargo Opportunity Fund, and Wells Fargo Special Mid Cap Value Fund.

Date of reporting period: September 30, 2018

ITEM 1. REPORT TO STOCKHOLDERS

Annual Report

September 30, 2018

Wells Fargo Diversified Capital Builder Fund

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	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	18
Statement of operations	19
Statement of changes in net assets	20
Financial highlights	21
Notes to financial statements	25
Report of independent registered public accounting firm	31
Other information	32
Appendix A	39

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo Diversified Capital Builder Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Diversified Capital Builder Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo Diversified Capital Builder Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Diversified Capital Builder Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Diversified Capital Builder Fund Performance highlights (unaudited)

Investment objective

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

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio manager

Margaret Patel

Average annual total returns (%) as of September 30, 2018¹

		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		5.28		11.61		10.13		11.72		12.94		10.78		1.12		1.12
Class C (EKBCX)	1-22-1998		9.88		12.10		9.96		10.88		12.10		9.96		1.87		1.87
Administrator Class (EKBDX)	7-30-2010		–		–		–		11.73		13.11		10.97		1.04		1.04
Institutional Class (EKBYX)	1-26-1998		–		–		–		12.04		13.36		11.19		0.79		0.78
Diversified Capital Builder Blended Index4	–		–		–		–		13.93		11.63		11.49		–		–
ICE BofAML U.S. Cash Pay High Yield Index5	–		–		–		–		2.89		5.52		9.30		–		–
Russell 1000® Index6	–		–		–		–		17.76		13.67		12.09		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred 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. Changes in market conditions and government policies may lead to periods of heightened volatility in the bond market and reduced liquidity for certain bonds held by the Fund. In general, when interest rates rise, bond values fall and investors may lose principal value. Interest rate changes and their impact on the Fund and its share price can be sudden and unpredictable. 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 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 7.

Performance highlights (unaudited) Wells Fargo Diversified Capital Builder Fund 7

Growth of $10,000 investment as of September 30, 2018⁷

¹  Historical performance shown for Administrator Class shares prior to their inception reflects the performance of Institutional Class shares and has been adjusted to reflect the higher expenses applicable to 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. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at 1.20% for Class A, 1.95% for Class C, 1.05% for Administrator Class, and 0.78% for Institutional Class. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  Source: Wells Fargo Funds Management, LLC. The Diversified Capital Builder Blended Index is composed of the Russell 1000^® Index (75%) and the ICE BofAML U.S. Cash Pay High Yield Index (25%). You cannot invest directly in an index.

⁵  The ICE BofAML U.S. Cash Pay High Yield Index is an unmanaged market index that provides a broad-based performance measure of the non-investment grade U.S. domestic bond index. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

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 chart compares the performance of Class A shares for the most recent ten years with the Diversified Capital Builder Blended Index, the ICE BofAML U.S. Cash Pay High Yield Index, and the Russell 1000^® Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁸  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁹  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

* This security was no longer held in the Fund at the end of the reporting period.

8 Wells Fargo Diversified Capital Builder Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund underperformed its benchmark, the Diversified Capital Builder Blended Index, for the 12-month period that ended September 30, 2018.

∎ The Fund underperformed the benchmark because of underperformance in the information technology (IT) sector, particularly because the Fund did not own several large IT companies that make up a significant portion of the sector. The Fund also had overweights to the materials and industrials sectors, both of which underperformed the market.

∎ In the Fund’s bond portfolio, holdings underperformed the bond portion of the benchmark index, the ICE BofAML U.S. Cash Pay High Yield Index, reflecting the portfolio’s overweight to above-average-quality high-yield bonds.

Equities advanced steadily over the course of the fiscal year, reflecting accelerating economic growth as well as increasing revenues and profits from many companies.

Prices for stocks outperformed high-yield bonds over the period. Equities moved up during the fiscal year, with only a small correction in stock prices in the January to February 2018 period, after which stocks resumed their advance.

Bond performance was, on balance, negative, with bond prices decreasing as interest rates rose, offsetting much of the interest earned in the 12-month period. Both Treasury and investment-grade corporate bonds declined as rates increased, and the price drops offset virtually all of the income earned, producing modest negative returns in the fiscal year for these sectors. High-yield bonds, in contrast, produced small positive returns because the greater income provided by the below-investment-grade sector more than offset small price declines.

Ten largest holdings (%) as of September 30, 20188
Becton Dickinson & Company	3.49
Alphabet Incorporated Class A	3.46
Abbott Laboratories	3.33
Amphenol Corporation Class A	3.23
Leidos Holdings Incorporated	3.17
Thermo Fisher Scientific Incorporated	2.92
Plains All American Pipeline LP	2.56
Kinder Morgan Incorporated	2.54
LyondellBasell Industries NV Class A	2.50
Andeavor Logistics LP	2.30

Stocks gained in value during the period.

Stocks increased with just small price setbacks, such as those that occurred in January and February 2018. Many investors were concerned that stock prices would decline if interest rates went up or if economic growth decelerated, with the result that companies would not be able to maintain their recent historically high profit margins and profit growth. However, these concerns did not negatively affect the stock market’s advance, as investors focused more on rising profits than they did on the relatively small rise in interest rates. In addition, it remained clear that the U.S. Federal Reserve was sensitive to market concerns about rising rates and it would attempt to adjust interest rates in a gradual manner, which was judged as unlikely to affect economic growth and stock market valuations adversely.

Portfolio allocation as of September 30, 2018⁹

The Fund underperformed relative to its equity benchmark, primarily due to its performance in the IT sector, where the Fund did not have exposure to several large-capitalization stocks whose performance far outpaced the sector overall. The materials sector was also an underperformer versus the benchmark return in the fiscal year. However, the Fund’s industrials holdings outperformed that of the equity benchmark, as did the Fund’s holdings in the utilities sector. Equity detractors were primarily in the IT sector, the chemicals portion of the materials sector, and the energy midstream space. Equity outperformers in the IT sector included Adobe Systems Incorporated, Microsoft Corporation, and Alphabet Incorporated. In the health care sectors,

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Diversified Capital Builder Fund 9

outperformers were Becton, Dickinson and Company; Abbott Laboratories; and Thermo Fisher Scientific Incorporated. In the industrials sector, Curtiss-Wright Corporation; Raytheon Company; and IDEXX Laboratories, Incorporated*, outperformed. Detractors among stock holdings in the energy sector were The Williams Companies, Incorporated; Kinder Morgan, Incorporated; and EQT Corporation. Underperformers in IT were Micron Technology, Incorporated; Western Digital Corporation; and Microchip Technology Incorporated. Also underperforming in the consumer cyclicals sector was Whirlpool Corporation.

U.S. Treasury rates moved higher.

In the bond market, interest rates for U.S. Treasury securities moved up steadily but moderately, with short-maturity issues increasing more in yield than issues with longer maturities. To illustrate, Treasury issues maturing in five years increased from 1.94% at the start of the fiscal year to 2.95% at fiscal year-end. Treasury bonds maturing in 10 years rose from 2.33% at the end of September 2017 to 3.06% at month-end September 2018. Investment-grade corporate bonds reflected this rising-rate trend. Bond prices and yields move in opposite directions.

High-yield bonds, which are somewhat more sensitive to prospects of future economic growth than are investment-grade bonds, generally experienced modest increases in yields, with the result that during the fiscal year, the extra yield advantage from high-yield bonds over Treasury issues of similar maturities narrowed somewhat. The average yield to maturity increased from 5.43% at the beginning of the fiscal year, with a yield advantage over Treasuries of 366 basis points (bps; 100 bps equal 1.00%), to 6.28% at the end of the fiscal year, with a yield advantage above Treasuries of 338 bps. In general, lower-quality, high-yield bonds outperformed better-quality bonds as investors focused more on the incremental income available, with less concern for poor credit quality.

Relative outperformers in the bond portfolio included TTM Technologies, Incorporated, and Seagate Technology plc in the IT sector; materials sector bonds of Rayonier Advanced Materials Incorporated and A. Schulman, Incorporated, which has been acquired by LyondellBasell Industries N.V.; and TransDigm Group Incorporated, a manufacturer of aircraft components.

Underperformers included bonds of Tronox Finance LLC and Koppers Holdings Incorporated in the materials sector and Iron Mountain Incorporated, a storage and information management company. Bonds of IT sector holding Symantec Corporation also were underperformers.

Our outlook remains one of cautious optimism.

While the pace of economic growth has recently accelerated, after a number of years of below-average growth, remarkably, the current expansion is one of the longest, with no major signs of a slowdown. However, we are concerned that further increases in interest rates may somewhat dampen stock prices, as several interest-rate-sensitive sectors may feel a negative impact from rising interest rates. Nevertheless, we believe the intrinsic dynamism, creativity, and basic strengths of the U.S. economy should provide opportunities for the stock market over the next year. Slow but steady gains in employment should help stimulate demand for goods and services. Furthermore, the expansion of low-cost shale gas and petroleum liquids should continue to provide a boon to both businesses and consumers, improving the competitive positions of U.S. companies and offering some cost relief to consumers for utility and fuel costs.

We are somewhat cautious that the high-yield bond market might not offer the relative outperformance we have seen over the past few years. However, we believe that by concentrating our holdings in companies with above-average credit quality, our holdings may provide enough income above that of risk-free alternatives to compensate for their credit risk.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,072.53	$	5.82		1.12	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.45	$	5.68		1.12	%
Class C
Actual	$	1,000.00	$	1,068.62	$	9.70		1.87	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.69	$	9.46		1.87	%
Administrator Class
Actual	$	1,000.00	$	1,073.09	$	5.38		1.04	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.88	$	5.24		1.04	%
Institutional Class
Actual	$	1,000.00	$	1,074.89	$	4.05		0.78	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.16	$	3.95		0.78	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Diversified Capital Builder Fund 11

Security name	Shares		Value
Common Stocks: 85.50%
Communication Services: 3.46%
Interactive Media & Services: 3.46%
Alphabet Incorporated Class A †		30,000	$	36,212,400
Consumer Discretionary: 2.05%
Household Durables: 0.57%
Whirlpool Corporation		50,000		5,937,500
Specialty Retail: 1.48%
The Home Depot Incorporated		75,000		15,536,250
Consumer Staples: 0.64%
Food Products: 0.64%
Lamb Weston Holdings Incorporated		100,001		6,660,067
Energy: 10.86%
Oil, Gas & Consumable Fuels: 10.86%
Andeavor Logistics LP		495,000		24,037,200
Centennial Resource Development Class A †		130,000		2,840,500
Enterprise Products Partners		140,000		4,022,200
EOG Resources Incorporated		35,000		4,464,950
EQT Corporation		50,000		2,211,500
Kinder Morgan Incorporated		1,500,000		26,595,000
ONEOK Incorporated		10,000		677,900
Plains All American Pipeline LP		1,070,000		26,760,700
The Williams Companies Incorporated		810,000		22,023,900
				113,633,850
Financials: 1.65%
Banks: 1.28%
PNC Financial Services Group Incorporated		70,000		9,533,300
Regions Financial Corporation		210,000		3,853,500
				13,386,800
Capital Markets: 0.37%
S&P Global Incorporated		20,000		3,907,800
Health Care: 16.93%
Health Care Equipment & Supplies: 9.16%
Abbott Laboratories		475,000		34,846,000
Becton Dickinson & Company		140,000		36,540,000
Danaher Corporation		200,000		21,732,000
Electrocore LLC †«		30,000		420,000
Hologic Incorporated †		25,000		1,024,500
West Pharmaceutical Services Incorporated		10,000		1,234,700
				95,797,200

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

12 Wells Fargo Diversified Capital Builder Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Health Care Providers & Services: 0.45%
CVS Health Corporation		60,000	$	4,723,200
Life Sciences Tools & Services: 6.07%
Agilent Technologies Incorporated		220,000		15,518,800
Thermo Fisher Scientific Incorporated		125,000		30,510,000
Waters Corporation †		90,000		17,521,200
				63,550,000
Pharmaceuticals: 1.25%
Eli Lilly & Company		45,000		4,828,950
Merck KGaA ADR		400,000		8,272,000
				13,100,950
Industrials: 13.90%
Aerospace & Defense: 6.53%
Curtiss-Wright Corporation		130,000		17,864,600
Huntington Ingalls Industries Incorporated		65,000		16,645,200
Lockheed Martin Corporation		29,000		10,032,840
Raytheon Company		115,000		23,765,900
				68,308,540
Building Products: 0.55%
Apogee Enterprises Incorporated		140,000		5,784,800
Electrical Equipment: 1.04%
AMETEK Incorporated		115,000		9,098,800
Eaton Corporation plc		20,000		1,734,600
				10,833,400
Industrial Conglomerates: 1.65%
Honeywell International Incorporated		15,000		2,496,000
Roper Industries Incorporated		50,000		14,810,500
				17,306,500
Machinery: 4.13%
IDEX Corporation		120,000		18,079,200
John Bean Technologies Corporation		140,000		16,702,000
Oshkosh Corporation		80,000		5,699,200
Parker-Hannifin Corporation		15,000		2,758,950
				43,239,350
Information Technology: 26.17%
Electronic Equipment, Instruments & Components: 6.67%
Amphenol Corporation Class A		360,000		33,847,200
Corning Incorporated		670,000		23,651,000
FLIR Systems Incorporated		200,000		12,294,000
				69,792,200

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Capital Builder Fund 13

Security name	Shares		Value
IT Services: 4.02%
Leidos Holdings Incorporated		480,000	$	33,196,800
MasterCard Incorporated Class A		40,000		8,904,400
				42,101,200
Semiconductors & Semiconductor Equipment: 5.76%
Broadcom Incorporated		55,000		13,570,150
Cypress Semiconductor Corporation		600,000		8,694,000
Microchip Technology Incorporated «		125,000		9,863,750
Micron Technology Incorporated †		135,000		6,106,050
QUALCOMM Incorporated		35,000		2,521,050
Texas Instruments Incorporated		145,000		15,557,050
Xilinx Incorporated		50,000		4,008,500
				60,320,550
Software: 8.35%
Adobe Systems Incorporated †		80,000		21,596,000
Ansys Incorporated †		60,000		11,200,800
Microsoft Corporation		85,000		9,721,450
Nutanix Incorporated Class A †		130,000		5,553,600
Salesforce.com Incorporated †		145,000		23,059,350
Synopsys Incorporated †		165,000		16,270,650
				87,401,850
Technology Hardware, Storage & Peripherals: 1.37%
Pure Storage Incorporated Class A †		325,000		8,433,750
Western Digital Corporation		100,000		5,854,000
				14,287,750
Materials: 6.93%
Chemicals: 6.05%
Ashland Global Holdings Incorporated		30,000		2,515,800
Celanese Corporation Series A		75,000		8,550,000
DowDuPont Incorporated		110,000		7,074,100
Eastman Chemical Company		75,000		7,179,000
Huntsman Corporation		190,000		5,173,700
LyondellBasell Industries NV Class A		255,000		26,140,050
Olin Corporation		60,000		1,540,800
Tronox Limited Class A		150,000		1,792,500
Westlake Chemical Corporation		40,000		3,324,400
				63,290,350
Containers & Packaging: 0.88%
AptarGroup Incorporated		10,000		1,077,400
Avery Dennison Corporation		75,000		8,126,250
				9,203,650
Real Estate: 0.64%
Equity REITs: 0.64%
Saul Centers Incorporated		120,000		6,720,000

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

14 Wells Fargo Diversified Capital Builder Fund Portfolio of investments—September 30, 2018

Security name						Shares		Value
Utilities: 2.27%
Electric Utilities: 0.47%
American Electric Power Company Incorporated							70,000	$	4,961,600
Gas Utilities: 1.80%
Atmos Energy Corporation							200,000		18,782,000
Total Common Stocks (Cost $718,801,524)									894,779,757
	Interest rate			Maturity date		Principal
Corporate Bonds and Notes: 10.30%
Communication Services: 0.26%
Media: 0.26%
McGraw-Hill Global Education Holdings LLC 144A		7.88	%		5-15-2024	$	3,000,000		2,688,750
Consumer Discretionary: 0.19%
Hotels, Restaurants & Leisure: 0.19%
Speedway Motorsports Incorporated		5.13			2-1-2023		2,000,000		1,997,500
Consumer Staples: 0.09%
Food Products: 0.09%
Lamb Weston Holdings Incorporated 144A		4.63			11-1-2024		1,000,000		978,750
Energy: 0.58%
Oil, Gas & Consumable Fuels: 0.58%
Plains All American Pipeline LP		4.65			10-15-2025		6,000,000		6,060,514
Health Care: 2.25%
Health Care Equipment & Supplies: 0.24%
Teleflex Incorporated		4.88			6-1-2026		2,500,000		2,475,000
Health Care Providers & Services: 1.92%
AMN Healthcare Incorporated 144A		5.13			10-1-2024		10,512,000		10,170,360
Davita Incorporated		5.00			5-1-2025		1,000,000		959,690
Davita Incorporated		5.13			7-15-2024		1,000,000		965,000
HealthSouth Corporation		5.13			3-15-2023		1,000,000		1,002,500
West Street Merger Sub Incorporated 144A		6.38			9-1-2025		7,400,000		7,011,500
									20,109,050
Pharmaceuticals: 0.09%
Catalent Pharma Solutions Incorporated 144A		4.88			1-15-2026		1,000,000		962,500
Industrials: 0.91%
Aerospace & Defense: 0.48%
TransDigm Group Incorporated		6.38			6-15-2026		3,500,000		3,535,000
TransDigm Group Incorporated		6.50			5-15-2025		1,500,000		1,528,125
									5,063,125

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Capital Builder Fund 15

Security name	Interest rate			Maturity date		Principal		Value
Commercial Services & Supplies: 0.14%
Acco Brands Corporation 144A		5.25	%		12-15-2024	$	1,500,000	$	1,494,255
Machinery: 0.10%
SPX FLOW Incorporated 144A		5.88			8-15-2026		1,000,000		1,005,000
Trading Companies & Distributors: 0.19%
WESCO Distribution Incorporated		5.38			6-15-2024		2,000,000		1,980,000
Information Technology: 2.84%
Communications Equipment: 0.58%
CommScope Incorporated 144A		5.50			6-15-2024		6,000,000		6,045,000
Electronic Equipment, Instruments & Components: 1.30%
TTM Technologies Incorporated 144A		5.63			10-1-2025		13,505,000		13,538,763
Semiconductors & Semiconductor Equipment: 0.29%
Versum Materials Incorporated 144A		5.50			9-30-2024		3,000,000		3,067,500
Software: 0.67%
Nuance Communications Company		6.00			7-1-2024		2,000,000		2,062,500
Symantec Corporation 144A		5.00			4-15-2025		5,000,000		4,954,980
									7,017,480
Materials: 2.76%
Chemicals: 2.46%
Koppers Incorporated 144A		6.00			2-15-2025		8,190,000		8,169,525
Olin Corporation		5.50			8-15-2022		6,000,000		6,157,500
Platform Specialty Products Corporation 144A		5.88			12-1-2025		3,000,000		2,960,310
Rayonier Advanced Materials Products Incorporated 144A		5.50			6-1-2024		6,835,000		6,580,943
Valvoline Incorporated		4.38			8-15-2025		2,000,000		1,860,000
									25,728,278
Containers & Packaging: 0.30%
Berry Global Incorporated		5.13			7-15-2023		3,120,000		3,153,540
Real Estate: 0.23%
Equity REITs: 0.23%
Iron Mountain Incorporated 144A		5.38			6-1-2026		2,000,000		1,884,000
Iron Mountain Incorporated		5.75			8-15-2024		500,000		494,750
									2,378,750
Utilities: 0.19%
Independent Power & Renewable Electricity Producers: 0.19%
NRG Energy Incorporated «144A		5.75			1-15-2028		2,000,000		2,020,000
Total Corporate Bonds and Notes (Cost $109,709,362)									107,763,755

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

16 Wells Fargo Diversified Capital Builder Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Yankee Corporate Bonds and Notes: 2.35%
Financials: 0.44%
Diversified Financial Services: 0.44%
Tronox Finance plc 144A		5.75	%		10-1-2025	$	5,000,000	$	4,637,500
Health Care: 0.24%
Pharmaceuticals: 0.24%
Mallinckrodt plc «144A		5.50			4-15-2025		3,000,000		2,533,500
Industrials: 0.19%
Electrical Equipment: 0.19%
Sensata Technologies BV 144A		4.88			10-15-2023		2,000,000		2,002,500
Information Technology: 1.48%
Technology Hardware, Storage & Peripherals: 1.48%
Seagate HDD		4.75			6-1-2023		9,500,000		9,452,637
Seagate HDD		4.88			6-1-2027		6,396,000		5,981,285
									15,433,922
Total Yankee Corporate Bonds and Notes (Cost $24,626,478)									24,607,422
	Yield					Shares
Short-Term Investments: 3.54%
Investment Companies: 3.54%
Securities Lending Cash Investment LLC (l)(r)(u)		2.17					14,415,390		14,416,832
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99					22,600,022		22,600,022
Total Short-Term Investments (Cost $37,016,854)									37,016,854

Total investments in securities (Cost $890,154,218)	101.69	%		1,064,167,788
Other assets and liabilities, net	(1.69	)		(17,703,363	)
Total net assets	100.00	%	$	1,046,464,425

† Non-income-earning security

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

144A The security may be resold in transactions exempt from registration, normally to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(r) The investment is a non-registered investment company purchased with cash collateral received from securities on loan.

(u) The rate represents the 7-day annualized yield at period end.

Abbreviations:

ADR American depositary receipt

REIT Real estate investment trust

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Capital Builder Fund 17

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)			Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC		8,312,789		74,762,920		68,660,319		14,415,390	$	(268	)	$	0	$	30,878	$	14,416,832
Wells Fargo Government Money Market Fund Select Class		6,114,337		186,417,727		169,932,042		22,600,022		0			0		87,907		22,600,022
									$	(268	)	$	0	$	118,785	$	37,016,854		3.54	%

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

18 Wells Fargo Diversified Capital Builder Fund Statement of assets and liabilities—September 30, 2018

Assets
Investments in unaffiliated securities, (including $14,166,835 of securities on loan) at value (cost $853,137,364)	$	1,027,150,934
Investments in affiliated securities, at value (cost $37,016,854)		37,016,854
Receivable for Fund shares sold		1,244,662
Receivable for dividends and interest		2,738,444
Receivable for securities lending income		3,591
Prepaid expenses and other assets		199,673
Total assets		1,068,354,158
Liabilities
Payable upon receipt of securities loaned		14,415,612
Payable for investments purchased		4,878,091
Payable for Fund shares redeemed		1,677,760
Management fee payable		523,598
Administration fees payable		158,794
Distribution fee payable		81,280
Trustees’ fees and expenses payable		105
Accrued expenses and other liabilities		154,493
Total liabilities		21,889,733
Total net assets	$	1,046,464,425
NET ASSETS CONSIST OF
Paid-in capital	$	825,927,499
Total distributable earnings		220,536,926
Total net assets	$	1,046,464,425
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	574,759,994
Shares outstanding – Class A1		52,813,192
Net asset value per share – Class A		$10.88
Maximum offering price per share – Class A2		$11.54
Net assets – Class C	$	131,600,924
Shares outstanding – Class C1		12,117,272
Net asset value per share – Class C		$10.86
Net assets – Administrator Class	$	13,820,733
Shares outstanding – Administrator Class1		1,268,886
Net asset value per share – Administrator Class		$10.89
Net assets – Institutional Class	$	326,282,774
Shares outstanding – Institutional Class1		30,181,163
Net asset value per share – Institutional Class		$10.81

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—year ended September 30, 2018 Wells Fargo Diversified Capital Builder Fund 19

Investment income
Dividends (net of foreign withholding taxes of $14,497)	$	12,718,588
Interest		7,702,356
Income from affiliated securities		118,785
Total investment income		20,539,729
Expenses
Management fee		6,178,667
Administration fees
Class A		1,187,070
Class C		262,702
Administrator Class		15,296
Institutional Class		372,840
Shareholder servicing fees
Class A		1,413,179
Class C		312,740
Administrator Class		29,415
Distribution fee
Class C		938,220
Custody and accounting fees		48,867
Professional fees		45,984
Registration fees		94,983
Shareholder report expenses		76,874
Trustees’ fees and expenses		20,363
Other fees and expenses		12,374
Total expenses		11,009,574
Less: Fee waivers and/or expense reimbursements		(20,477	)
Net expenses		10,989,097
Net investment income		9,550,632
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Unaffiliated securities		45,547,311
Affiliated securities		(268	)
Net realized gains on investments		45,547,043
Net change in unrealized gains (losses) on investments		53,496,076
Net realized and unrealized gains (losses) on investments		99,043,119
Net increase in net assets resulting from operations	$	108,593,751

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

20 Wells Fargo Diversified Capital Builder Fund Statement of changes in net assets

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	9,550,632					$	11,582,765
Net realized gains on investments					45,547,043						45,195,207
Net change in unrealized gains (losses) on investments					53,496,076						48,014,577
Net increase in net assets resulting from operations					108,593,751						104,792,549
Distributions to shareholders
Class A					(31,088,631	)					(45,260,528	)
Class B					N/A						(86,664	)2
Class C					(5,826,986	)					(6,623,306	)
Administrator Class					(638,260	)					(1,721,645	)
Institutional Class					(16,658,344	)					(14,413,103	)
Total distributions to shareholders					(54,212,221	)					(68,105,246	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		4,168,569			43,865,273			10,742,727			105,549,123
Class B		N/A			N/A			8,989	2		89,544	2
Class C		3,054,283			32,032,658			6,100,806			60,045,789
Administrator Class		507,748			5,354,505			1,150,741			11,315,314
Institutional Class		10,093,186			106,245,129			15,573,690			152,910,373
					187,497,565						329,910,143
Reinvestment of distributions
Class A		2,909,042			29,709,824			4,536,323			43,125,024
Class B		N/A			N/A			7,409	2		70,848	2
Class C		555,563			5,639,821			629,617			5,974,204
Administrator Class		60,161			615,499			179,684			1,707,679
Institutional Class		1,566,794			15,933,541			1,417,203			13,422,904
					51,898,685						64,300,659
Payment for shares redeemed
Class A		(7,765,843	)		(81,546,998	)		(8,712,586	)		(86,111,676	)
Class B		N/A			N/A			(166,895	)2		(1,667,192	)2
Class C		(2,906,268	)		(30,438,895	)		(2,103,704	)		(20,778,345	)
Administrator Class		(290,129	)		(3,037,359	)		(2,486,279	)		(24,695,561	)
Institutional Class		(7,121,216	)		(73,887,823	)		(3,745,131	)		(36,861,266	)
					(188,911,075	)					(170,114,040	)
Net increase in net assets resulting from capital share transactions					50,485,175						224,096,762
Total increase in net assets					104,866,705						260,784,065
Net assets
Beginning of period					941,597,720						680,813,655
End of period				$	1,046,464,425					$	941,597,720

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Overdistributed net investment income at September 30, 2017 was $26,224. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 7, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from October 1, 2016 to May 5, 2017. Effective at the close of business on May 5, 2017, Class B shares were converted to Class A shares and are no longer offered by the Fund.

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

Financial highlights Wells Fargo Diversified Capital Builder Fund 21

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$10.30			$9.96			$9.12			$9.31			$7.89
Net investment income		0.10			0.14	1		0.17			0.11			0.09
Net realized and unrealized gains (losses) on investments		1.06			1.12			1.71			(0.20	)		1.41
Total from investment operations		1.16			1.26			1.88			(0.09	)		1.50
Distributions to shareholders from
Net investment income		(0.09	)		(0.14	)		(0.15	)		(0.10	)		(0.08	)
Net realized gains		(0.49	)		(0.78	)		(0.89	)		0.00			0.00
Total distributions to shareholders		(0.58	)		(0.92	)		(1.04	)		(0.10	)		(0.08	)
Net asset value, end of period		$10.88			$10.30			$9.96			$9.12			$9.31
Total return2		11.72	%		13.62	%		22.85	%		(1.05	)%		19.10	%
Ratios to average net assets (annualized)
Gross expenses		1.11	%		1.12	%		1.14	%		1.19	%		1.21	%
Net expenses		1.11	%		1.12	%		1.14	%		1.19	%		1.20	%
Net investment income		0.96	%		1.43	%		1.77	%		1.17	%		1.09	%
Supplemental data
Portfolio turnover rate		31	%		54	%		73	%		69	%		82	%
Net assets, end of period (000s omitted)		$574,760			$551,272			$467,503			$402,303			$431,388

¹  Calculated based upon average shares outstanding.

²  Total return calculations do not include any sales charges.

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

22 Wells Fargo Diversified Capital Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$10.28			$9.96			$9.12			$9.32			$7.90
Net investment income		0.02			0.08			0.10			0.05			0.03
Net realized and unrealized gains (losses) on investments		1.06			1.11			1.72			(0.22	)		1.41
Total from investment operations		1.08			1.19			1.82			(0.17	)		1.44
Distributions to shareholders from
Net investment income		(0.01	)		(0.09	)		(0.09	)		(0.03	)		(0.02	)
Net realized gains		(0.49	)		(0.78	)		(0.89	)		0.00			0.00
Total distributions to shareholders		(0.50	)		(0.87	)		(0.98	)		(0.03	)		(0.02	)
Net asset value, end of period		$10.86			$10.28			$9.96			$9.12			$9.32
Total return1		10.88	%		12.85	%		21.96	%		(1.88	)%		18.21	%
Ratios to average net assets (annualized)
Gross expenses		1.87	%		1.87	%		1.89	%		1.94	%		1.96	%
Net expenses		1.87	%		1.87	%		1.89	%		1.94	%		1.95	%
Net investment income		0.21	%		0.65	%		1.03	%		0.41	%		0.34	%
Supplemental data
Portfolio turnover rate		31	%		54	%		73	%		69	%		82	%
Net assets, end of period (000s omitted)		$131,601			$117,346			$67,630			$53,373			$45,670

¹  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Diversified Capital Builder Fund 23

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$10.32			$9.97			$9.12			$9.32			$7.90
Net investment income		0.11	1		0.16	1		0.18	1		0.14	1		0.12	1
Net realized and unrealized gains (losses) on investments		1.06			1.12			1.73			(0.22	)		1.41
Total from investment operations		1.17			1.28			1.91			(0.08	)		1.53
Distributions to shareholders from
Net investment income		(0.11	)		(0.15	)		(0.17	)		(0.12	)		(0.11	)
Net realized gains		(0.49	)		(0.78	)		(0.89	)		0.00			0.00
Total distributions to shareholders		(0.60	)		(0.93	)		(1.06	)		(0.12	)		(0.11	)
Net asset value, end of period		$10.89			$10.32			$9.97			$9.12			$9.32
Total return		11.73	%		13.75	%		23.14	%		(0.92	)%		19.39	%
Ratios to average net assets (annualized)
Gross expenses		1.03	%		1.04	%		1.06	%		1.05	%		1.04	%
Net expenses		1.03	%		1.04	%		1.03	%		0.95	%		0.95	%
Net investment income		1.04	%		1.58	%		1.89	%		1.41	%		1.33	%
Supplemental data
Portfolio turnover rate		31	%		54	%		73	%		69	%		82	%
Net assets, end of period (000s omitted)		$13,821			$10,225			$21,398			$7,898			$9,411

¹  Calculated based upon average shares outstanding.

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

24 Wells Fargo Diversified Capital Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$10.25			$9.90			$9.07			$9.27			$7.85
Net investment income		0.14			0.19			0.20			0.15			0.13	1
Net realized and unrealized gains (losses) on investments		1.05			1.11			1.71			(0.21	)		1.41
Total from investment operations		1.19			1.30			1.91			(0.06	)		1.54
Distributions to shareholders from
Net investment income		(0.14	)		(0.17	)		(0.19	)		(0.14	)		(0.12	)
Net realized gains		(0.49	)		(0.78	)		(0.89	)		0.00			0.00
Total distributions to shareholders		(0.63	)		(0.95	)		(1.08	)		(0.14	)		(0.12	)
Net asset value, end of period		$10.81			$10.25			$9.90			$9.07			$9.27
Total return		12.04	%		14.11	%		23.28	%		(0.75	)%		19.68	%
Ratios to average net assets (annualized)
Gross expenses		0.79	%		0.79	%		0.81	%		0.79	%		0.78	%
Net expenses		0.78	%		0.78	%		0.78	%		0.77	%		0.78	%
Net investment income		1.30	%		1.71	%		2.14	%		1.58	%		1.52	%
Supplemental data
Portfolio turnover rate		31	%		54	%		73	%		69	%		82	%
Net assets, end of period (000s omitted)		$326,283			$262,754			$122,769			$97,251			$100,160

¹  Calculated based upon average shares outstanding.

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

Notes to financial statements Wells Fargo Diversified Capital Builder Fund 25

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo Diversified Capital Builder Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on May 5, 2017, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through May 5, 2017.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Debt securities are valued at the evaluated bid price provided by an independent pricing service or, if a reliable price is not available, the quoted bid price from an independent broker-dealer.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”).

26 Wells Fargo Diversified Capital Builder Fund Notes to financial statements

The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities 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.

Interest income is accrued daily and bond discounts are accreted and premiums are amortized daily. 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 been determined to be doubtful based on consistently applied procedures and the fair value has decreased. 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.

Distributions to shareholders

Distributions to shareholders are recorded on the ex-dividend date and paid from net investment income quarterly and any net realized gains are paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $889,863,056 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	197,398,774
Gross unrealized losses		(23,094,042	)
Net unrealized gains	$	174,304,732

Reclassifications are made to the Fund’s capital accounts for permanent tax differences to reflect income and gains available for distribution (or available capital loss carryforwards) under federal income tax regulations. U.S. generally accepted accounting principles require that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or net asset values per share. At September 30, 2018, as a result of permanent book-to-tax differences, the following reclassification adjustments were made on the Statement of Assets and Liabilities:

Paid-in capital	Total distributable earnings
$(13,741)	$13,741

Notes to financial statements Wells Fargo Diversified Capital Builder Fund 27

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

∎ 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.

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Communication services	$	36,212,400	$	0	$	0	$	36,212,400
Consumer discretionary		21,473,750		0		0		21,473,750
Consumer staples		6,660,067		0		0		6,660,067
Energy		113,633,850		0		0		113,633,850
Financials		17,294,600		0		0		17,294,600
Health care		177,171,350		0		0		177,171,350
Industrials		145,472,590		0		0		145,472,590
Information technology		273,903,550		0		0		273,903,550
Materials		72,494,000		0		0		72,494,000
Real estate		6,720,000		0		0		6,720,000
Utilities		23,743,600		0		0		23,743,600
Corporate bonds and notes		0		107,763,755		0		107,763,755
Yankee corporate bonds and notes		0		24,607,422		0		24,607,422
Short-term investments
Investment companies		22,600,022		14,416,832		0		37,016,854
Total assets	$	917,379,779	$	146,788,009	$	0	$	1,064,167,788

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

28 Wells Fargo Diversified Capital Builder Fund Notes to financial statements

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.65% and declining to 0.48% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.62% 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 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Administrator Class, Institutional Class		0.13

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 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 C shares, 1.05% for Administrator Class shares, and 0.78% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $56,625 from the sale of Class A shares and $471 in contingent deferred sales charges from redemptions of Class C shares. No contingent deferred sales charges were incurred by Class A shares for the year ended September 30, 2018.

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 are 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.

Notes to financial statements Wells Fargo Diversified Capital Builder Fund 29

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $325,625,512 and $305,953,565, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

7. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	25,392,045	$	12,701,986
Long-term capital gain		28,820,176		55,403,260

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$484,016	$45,856,442	$174,304,732

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net investment income		Net realized gains
Class A		$7,661,442		$37,599,086
Class B		3,723		82,941
Class C		923,064		5,700,242
Administrator Class		276,788		1,444,857
Institutional Class		3,377,945		11,035,158

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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.

30 Wells Fargo Diversified Capital Builder Fund Notes to financial statements

9. NEW ACCOUNTING PRONOUNCEMENTS

In August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

In March 2017, FASB issued ASU No. 2017-08, Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium. The amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 is effective for fiscal years beginning after December 15, 2018 and for interim periods within those fiscal years. Management is currently evaluating the potential impact of this new guidance to the financial statements.

Report of independent registered public accounting firm Wells Fargo Diversified Capital Builder Fund 31

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Diversified Capital Builder Fund (the “Fund”), one of the funds constituting Wells Fargo Funds Trust, including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

32 Wells Fargo Diversified Capital Builder Fund Other information (unaudited)

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 56.30% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 852 of the Internal Revenue Code, $28,820,176 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $14,715,917 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $3,467,520 has been designated as interest-related dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

For the fiscal year ended September 30, 2018, $16,273,683 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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 Diversified Capital Builder Fund 33

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

34 Wells Fargo Diversified Capital Builder Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

Other information (unaudited) Wells Fargo Diversified Capital Builder Fund 35

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

¹ Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

36 Wells Fargo Diversified Capital Builder Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Diversified Capital Builder Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Diversified Capital Builder Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

Other information (unaudited) Wells Fargo Diversified Capital Builder Fund 37

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Class A) was higher than the average investment performance of the Universe for the three-, five- and ten- year periods under review but lower than the average investment performance of the Universe for the one-year period under review. The Board also noted that the investment performance of the Fund was higher than its benchmark index, the Diversified Capital Builder Blended Index, for the three- and five-year periods under review, but lower its benchmark index for the one-and ten-year periods under review.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge 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 for each share class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were in range of the sum of these average rates for the Fund’s expense Groups for all share classes.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

38 Wells Fargo Diversified Capital Builder Fund Other information (unaudited)

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

Appendix A (unaudited) Wells Fargo Diversified Capital Builder Fund 39

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

40 Wells Fargo Diversified Capital Builder Fund Appendix A (unaudited)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

Appendix A (unaudited) Wells Fargo Diversified Capital Builder Fund 41

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317284 11-18 A225/AR225 09-18

Annual Report

September 30, 2018

Wells Fargo Diversified Income Builder Fund

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Contents

Letter to shareholders	2
Performance highlights	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	27
Statement of operations	28
Statement of changes in net assets	29
Financial highlights	30
Notes to financial statements	35
Report of independent registered public accounting firm	43
Other information	44
Appendix A	51

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo Diversified Income Builder Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Diversified Income Builder Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴  The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo Diversified Income Builder Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸  The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Diversified Income Builder Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Diversified Income Builder Fund Performance highlights (unaudited)

Investment objective

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

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Kandarp R. Acharya, CFA^®, FRM^‡

Margaret Patel

Average annual total returns (%) as of September 30, 2018¹

		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		(2.68	)		5.78		7.45		3.23		7.03		8.08		1.05		0.85
Class C (EKSCX)	2-1-1993		1.32			6.23		7.27		2.32		6.23		7.27		1.80		1.60
Class R6 (EKSRX)	7-31-2018		–			–		–		3.46		7.40		8.45		0.62		0.42
Administrator Class (EKSDX)	7-30-2010		–			–		–		3.21		7.21		8.25		0.97		0.77
Institutional Class (EKSYX)	1-13-1997		–			–		–		3.62		7.43		8.46		0.72		0.52
Diversified Income Builder Blended Index4	–		–			–		–		7.30		7.72		10.18		–		–
ICE BofAML U.S. Cash Pay High Yield Index5	–		–			–		–		2.89		5.52		9.30		–		–
Russell 1000® Index6	–		–			–		–		17.76		13.67		12.09		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred sales charge assumes the sales charge for the corresponding time period. Class R6, 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. Changes in market conditions and government policies may lead to periods of heightened volatility in the bond market and reduced liquidity for certain bonds held by the Fund. In general, when interest rates rise, bond values fall and investors may lose principal value. Interest rate changes and their impact on the Fund and its share price can be sudden and unpredictable. 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 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 7.

Performance highlights (unaudited) Wells Fargo Diversified Income Builder Fund 7

Growth of $10,000 investment as of September 30, 2018⁷

^‡ Mr. Acharya became a portfolio manager of the Fund on January 2, 2018.

¹  Historical performance shown for the Class R6 shares prior to their inception reflects the performance of the Institutional Class shares, and is not adjusted to reflect Class R6 expenses. If these expenses had been included, returns for Class R6 would be higher. 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. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³ The manager has contractually committed through January 31, 2019 (January 31, 2020 for Class R6), to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at the amounts shown. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  Source: Wells Fargo Funds Management, LLC. The Diversified Income Builder Blended Index is composed of the ICE BofAML U.S. Cash Pay High Yield Index (65%) and the Russell 1000^® Index (35%). Prior to January 2, 2018, The Diversified Income Builder Blended Index was composed of the ICE BofAML U.S. Cash Pay High Yield Index (75%) and the Russell 1000^® Index (25%). You cannot invest directly in an index.

⁵  The ICE BofAML U.S. Cash Pay High Yield Index is an unmanaged market index that provides a broad-based performance measure of the noninvestment grade U.S. domestic bond index. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

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 chart compares the performance of Class A shares for the most recent ten years with the Diversified Income Builder Blended Index, ICE BofAML U.S. Cash Pay High Yield Index, and the Russell 1000^® Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁸  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁹  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo Diversified Income Builder Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund underperformed its benchmark, the Diversified Income Builder Blended Index, for the 12-month period that ended September 30, 2018.

∎ The Fund’s corporate bond portfolio holdings underperformed bonds in the index. The portfolio was exposed to above-average quality, and lower-quality issues outperformed the index as investors aggressively bid up prices of lower-quality bonds.

∎ The Fund’s equity holdings performed much better than the bond holdings; this benefited overall Fund performance due to a slight overweight to equities during the period.

Strong economic growth occurred in the U.S. following corporate tax reform.

The 12-month period that ended September 30, 2018, saw the U.S. economy continue on a positive trajectory, producing moderate average gross domestic product growth of 2.9%, with a core inflation rate of 2.2% and unemployment reaching an 18-year low of 3.7%.

Ten largest holdings (%) as of September 30, 20188
AMN Healthcare Incorporated, 5.13%, 10-1-2024	3.22
Cheniere Corpus Christi Holdings LLC, 5.13%, 6-30-2027	3.21
U.S. Treasury Bill, 2.14%, 12-27-2018	2.21
TTM Technologies Incorporated, 5.63%, 10-1-2025	2.16
HCA Incorporated, 5.38%, 2-1-2025	2.06
Tronox Finance plc, 5.75%, 10-1-2025	2.06
Versum Materials Incorporated, 5.50%, 9-30-2024	1.85
Koppers Incorporated, 6.00%, 2-15-2025	1.71
Lamb Weston Holdings Incorporated, 4.63%, 11-1-2024	1.66
HD Supply Incorporated, 5.75%, 4-15-2024	1.57

Early in the period, we saw heated rhetoric over geopolitical issues including fears of trade wars and the conflict with North Korea simmer down and markets resumed an upward climb. Hurricanes Harvey, Irma, and Maria caused massive devastation, and economic data temporarily softened; however, investors treated these as road bumps on a continued path of growth and markets continued to climb. Attention then turned to U.S. tax reform. The ebbs and flows of the legislation captivated the media and investors. After passage of the bill, analysts began to ratchet up their earnings forecasts and companies began issuing positive guidance about the implications of tax reform.

After experiencing very strong results in 2017, the markets continued to climb higher in January, setting new record highs along the way. The equity markets experienced negative returns and increased volatility throughout February and March and into April as optimism about synchronized global growth gave way to concerns about potential trade wars and increased interest rates. While the second quarter was very strong for U.S. equity markets, concerns over slower global growth and geopolitical concerns involving Turkey, Argentina, and Brazil, for example, lingered and put pressure on foreign markets. Since the start of the year, the fixed-income markets have been under pressure as increased interest rates proved to be a performance headwind.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Diversified Income Builder Fund 9

Portfolio allocation as of September 30, 2018⁹

The Fund diversified its holdings.

The Fund diversified its holdings to provide more varied sources of income. Specifically, the Fund introduced dedicated allocations to dividend-focused global equities and U.S. industries like real estate investment partnerships and master limited partnerships. The Fund also diversified its high-yield exposure to include taxable municipal high-yield bonds. The allocation changes helped increase the overall yield of the portfolio while providing greater diversification.

Within equities, the U.S. equity allocation outperformed its non-U.S. counterpart. Holdings in the consumer staples, health care, and information technology (IT)

sectors were strong performers. U.S. detractors to performance were several energy issues and select health care and IT companies, while international detractors were companies in the materials and communication services sectors.

Our outlook remains one of cautious optimism.

While the pace of U.S. economic growth has picked up in the second and third quarters of 2018, overall growth, compared with previous recoveries after recessions, has been moderate. The current expansion is one of the longest. We continue to believe the intrinsic dynamism, creativity, and basic strengths of the U.S. economy should provide opportunities for the stock market over the next year. We also believe that equity exposure to non-U.S. dividend-focused companies with strong balance sheets should provide diversification benefits to the Fund.

We are somewhat cautious that the high-yield bond market might not offer the relative outperformance we have seen over the past few years. However, we believe that by concentrating our holdings in companies with above-average credit quality and including non-corporate, municipal issuers of high-yield debt, our holdings may provide enough income above that of risk-free alternatives to compensate for their credit risk.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,035.31	$	4.34		0.85	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.81	$	4.31		0.85	%
Class C
Actual	$	1,000.00	$	1,029.61	$	8.14		1.60	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,017.05	$	8.09		1.60	%
Class R6
Actual	$	1,000.00	$	1,034.64	$	2.10		0.41	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,023.00	$	2.09		0.41	%
Administrator Class
Actual	$	1,000.00	$	1,034.85	$	3.93		0.77	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.21	$	3.90		0.77	%
Institutional Class
Actual	$	1,000.00	$	1,036.20	$	2.65		0.52	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.46	$	2.64		0.52	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Diversified Income Builder Fund 11

Security name	Shares		Value
Common Stocks: 28.06%
Communication Services: 1.27%
Diversified Telecommunication Services: 0.93%
AT&T Incorporated		67,520	$	2,267,322
CenturyLink Incorporated		33,050		700,660
China Communications Services Corporation Limited		654,000		602,341
China Telecom Corporation Limited		580,000		288,209
Telekomunikasi Indonesia		1,629,300		397,990
Telenor ASA		61,532		1,202,856
Verizon Communications Incorporated		30,725		1,640,408
				7,099,786
Interactive Media & Services: 0.24%
Alphabet Incorporated Class A †		1,500		1,810,620
Wireless Telecommunication Services: 0.10%
China Mobile Limited		34,000		335,077
SK Telecom		1,814		461,166
				796,243
Consumer Discretionary: 1.24%
Auto Components: 0.04%
Huayu Automotive Systems Company Limited		38,800		126,878
Xinyi Glass Holdings Limited		110,000		138,969
				265,847
Automobiles: 0.32%
General Motors Company		25,514		859,056
Hyundai Motor Company		1,979		231,039
Peugeot SA		50,738		1,368,465
				2,458,560
Hotels, Restaurants & Leisure: 0.16%
Extended Stay America Incorporated		42,202		853,746
Genting Malaysia Berhad		141,600		170,734
Sands China Limited		48,400		219,175
				1,243,655
Household Durables: 0.41%
Coway Company Limited		3,120		244,143
Leggett & Platt Incorporated		45,000		1,970,550
Persimmon plc		30,191		930,650
				3,145,343
Multiline Retail: 0.12%
Kohl’s Corporation		12,727		948,798
Specialty Retail: 0.19%
Chow Tai Fook Jewellery Group Limited		278,200		286,077
Mr Price Group Limited		9,181		148,194

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

12 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Specialty Retail (continued)
Petrobras Distribuidora SA		38,900	$	187,827
Tailored Brands Incorporated		33,550		845,125
				1,467,223
Consumer Staples: 0.59%
Beverages: 0.02%
Thai Beverage plc		206,000		102,469
Food & Staples Retailing: 0.35%
Koninklijke Ahold Delhaize NV		57,500		1,318,518
Wal-Mart de Mexico SAB de CV		107,100		324,894
Wal-Mart Stores Incorporated		11,311		1,062,216
				2,705,628
Food Products: 0.22%
Inner Mongolia Yili Industrial Group Company Limited		47,099		175,784
Lamb Weston Holdings Incorporated		20,000		1,332,000
UNI President Enterprises Company		78,000		203,603
				1,711,387
Energy: 6.22%
Energy Equipment & Services: 0.03%
CSI Compressco LP		3,397		17,495
Hi-Crush Partners LP		10,358		111,866
Seadrill Partners LLC		6,520		23,994
USA Compression Partners LP		4,570		75,451
				228,806
Oil, Gas & Consumable Fuels: 6.19%
Alliance Resource Partners LP		13,522		275,849
American Midstream Partners		5,266		33,439
Andeavor Logistics LP		51,886		2,519,584
Antero Midstream GP LP		10,951		185,291
Antero Midstream Partners LP		11,707		335,523
Black Stone Minerals LP		11,440		208,322
BP Midstream Partners LP		6,383		120,000
Buckeye Partners LP		19,705		703,666
Calumet Specialty Products LP †		8,389		53,690
Capital Product Partners LP		13,244		36,818
Cheniere Energy Partners LP		5,579		220,147
China Petroleum & Chemical Corporation		376,000		376,560
CNOOC Limited		262,000		518,756
CNX Midstream Partners LP		3,568		68,684
Consol Coal Resources LP		697		12,511
Crescent Point Energy Corporation		149,100		948,865
Crestwood Equity Partners LP		6,483		238,250
CrossAmerica Partners LP		3,993		72,273
CVR Refining LP		3,161		62,272
DCP Midstream LP		12,084		478,406

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Income Builder Fund 13

Security name	Shares		Value
Oil, Gas & Consumable Fuels (continued)
Delek Logistics Partners LP		1,140	$	38,760
Dominion Energy Midstream Partners LP		6,570		117,603
Dorchester Minerals LP		3,949		80,560
Dynagas LNG Partners LP		2,637		23,126
Emerge Energy Services LP †		2,943		11,743
Enable Midstream Partners LP		5,792		97,537
Enbridge Energy Partners LP		27,609		303,423
Energy Transfer Equity LP		116,822		2,036,207
Energy Transfer Partners LP		154,720		3,444,067
Enlink Midstream LLC		8,471		139,348
Enlink Midstream Partners LP		47,130		878,503
Enterprise Products Partners		197,741		5,681,099
Enviva Partners LP		1,617		51,421
EQT Corporation		30,000		1,326,900
EQT GP Holdings LP		3,610		75,196
EQT Midstream Partners LP		7,966		420,445
Foresight Energy LP		3,807		15,152
Gaslog Partners LP		4,236		105,900
Genesis Energy LP		14,405		342,551
Global Partners LP		3,704		67,413
Golar LNG Partners LP		6,354		91,053
Green Plains Partners LP		1,507		22,454
Hess Midstream Partners LP		2,226		50,775
Hoegh LNG Partners LP		2,279		41,820
Holly Energy Partners LP		6,049		190,302
JXTG Holdings Incorporated		117,900		890,632
Kimbell Royalty Partners LP		1,716		33,668
Kinder Morgan Incorporated		100,000		1,773,000
KNOT Offshore Partners LP		3,224		69,961
Legacy Reserves Incorporated †		9,026		43,776
Lukoil PJSC ADR		5,791		444,170
Magellan Midstream Partners LP		30,511		2,066,205
Martin Midstream Partners LP		4,576		53,082
MPLX LP		38,180		1,324,082
Natural Resource Partners LP		1,051		32,581
NGL Energy Partners LP		16,208		188,013
Noble Midstream Partners LP		2,895		102,512
NuStar Energy LP		12,105		336,519
Oasis Midstream Partners LP		1,144		25,477
ONEOK Incorporated		24,000		1,626,960
PBF Logistics LP		2,947		63,508
PetroChina Company Limited		380,000		307,753
Petroleo Brasil SP ADR		27,037		282,807
Phillips 66 Company		6,925		780,586
Phillips 66 Partners LP		7,064		361,253
Plains All American Pipeline LP		128,318		3,209,233
Plains GP Holdings LP Class A		21,221		520,551
PTT plc		111,000		186,201
Reliance Industries Limited GDR 144A		10,985		377,335
Repsol YPF SA		68,083		1,356,855
S-Oil Corporation		1,744		215,396

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

14 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Oil, Gas & Consumable Fuels (continued)
Shell Midstream Partners LP		16,489	$	352,535
SK Innovation Company Limited		1,863		361,095
Spectra Energy Partners LP		12,198		435,591
Sprague Resources LP		1,354		36,490
Summit Midstream Partners LP		5,504		78,707
Sunoco LP		7,546		222,984
Tallgrass Energy GP LP		19,240		453,679
TC Pipelines LP		7,041		213,554
Teekay LNG Partners LP		7,182		119,939
Teekay Offshore Partners LP		14,860		34,772
The Williams Companies Incorporated		65,000		1,767,350
Total SA		19,556		1,267,875
TransMontaigne Partners LP		1,743		67,106
USD Partners LP		1,388		13,394
Valero Energy Corporation		9,271		1,054,576
Valero Energy Partners LP		2,979		112,845
Viper Energy Partners LP		6,920		291,332
Western Gas Equity Partners LP		6,422		192,275
Western Gas Partners LP		13,427		586,491
				47,456,970
Financials: 3.22%
Banks: 1.21%
ABSA Group Limited		16,516		177,385
Agricultural Bank of China		525,000		257,526
Bangkok Bank PCL		54,800		369,400
Bank of China Limited		1,147,000		509,885
Bank Rakyat Indonesia		1,703,400		360,079
China Construction Bank		1,009,000		881,611
CIMB Group Holdings Berhad		146,800		213,185
Citizens Financial Group Incorporated		18,100		698,117
Credicorp Limited		1,414		315,435
CTBC Financial Holding Company Limited		245,000		184,554
Grupo Financiero Banorte SAB		34,100		246,685
HDFC Bank Limited ADR		4,322		406,700
ICICI Bank Limited ADR		30,265		256,950
Industrial & Commercial Bank of China Limited H Shares		902,000		659,071
JPMorgan Chase & Company		17,022		1,920,762
KB Financial Group Incorporated		6,985		341,300
Public Bank Berhad		35,600		215,054
Sberbank PJSC Sponsored ADR		15,038		190,682
United Overseas Bank Limited		53,000		1,049,881
				9,254,262
Capital Markets: 0.66%
3i Group plc		62,073		761,487
Ares Capital Corporation		87,753		1,508,474
B3 SA Brasil Bolsa Balcao		55,100		319,258
Bursa Malaysia Berhad		95,600		180,643
Intermediate Capital Group		62,006		880,923

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Income Builder Fund 15

Security name	Shares		Value
Capital Markets (continued)
Moscow Exchange (a)		113,653	$	168,562
Natixis SA		162,180		1,100,420
NH Investment & Securities Company Limited		8,433		108,715
				5,028,482
Diversified Financial Services: 0.36%
Compass Diversified Holdings		64,950		1,178,843
ORIX Corporation		47,800		774,930
Plus500 Limited		47,821		830,858
				2,784,631
Insurance: 0.57%
BB Seguridade Participacoes SA		24,500		146,203
Cathay Financial Holding Company		150,000		257,918
China Life Insurance Company		61,000		138,545
Korean Reinsurance Company		27,310		257,282
Legal & General Group plc		320,246		1,094,446
PICC Property and Casualty Company Limited		424,000		500,458
Ping An Insurance Group Company		14,000		142,176
Power Corporation of Canada		48,600		1,055,794
Powszechny Zaklad Ubezpieczen Group		33,194		357,438
Samsung Fire & Marine Insurance		755		193,302
Sanlam Limited		32,328		180,852
				4,324,414
Mortgage REITs: 0.42%
Ladder Capital Corporation		83,400		1,412,796
MFA Financial Incorporated		115,229		846,933
New Residential Investment Corporation		55,640		991,505
				3,251,234
Health Care: 3.05%
Biotechnology: 0.31%
Amgen Incorporated		6,572		1,362,310
Gilead Sciences Incorporated		13,285		1,025,735
				2,388,045
Health Care Equipment & Supplies: 0.51%
Abbott Laboratories		28,000		2,054,080
Becton Dickinson & Company		7,000		1,827,000
				3,881,080
Health Care Providers & Services: 0.42%
CVS Health Corporation		20,050		1,578,336
Life Healthcare Group Holding Limited		89,215		154,945
UnitedHealth Group Incorporated		5,570		1,481,843
				3,215,124

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

16 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Life Sciences Tools & Services: 0.48%
Thermo Fisher Scientific Incorporated		8,000	$	1,952,640
Waters Corporation †		9,000		1,752,120
				3,704,760
Pharmaceuticals: 1.33%
Allergan plc		9,000		1,714,320
Astellas Pharma Incorporated		46,081		803,842
Eli Lilly & Company		47,850		5,134,784
GlaxoSmithKline plc		68,083		1,363,747
Takeda Pharmaceutical Company Limited		27,200		1,163,697
				10,180,390
Industrials: 3.08%
Aerospace & Defense: 1.09%
Curtiss-Wright Corporation		14,000		1,923,880
Huntington Ingalls Industries Incorporated		8,000		2,048,640
Lockheed Martin Corporation		3,875		1,340,595
Raytheon Company		9,000		1,859,940
The Boeing Company		3,181		1,183,014
				8,356,069
Building Products: 0.02%
China Lesso Group Holdings Limited		357,000		202,479
Construction & Engineering: 0.09%
China Communications Construction Company Limited		272,000		277,964
China State Construction Engineering Corporation Limited		158,800		126,706
China State Construction International Holdings		246,000		259,879
				664,549
Electrical Equipment: 0.46%
AMETEK Incorporated		15,000		1,186,800
Eaton Corporation plc		25,000		2,168,250
TECO Electric & Machinery Company Limited		202,000		146,540
				3,501,590
Industrial Conglomerates: 0.43%
Honeywell International Incorporated		12,000		1,996,800
Shanghai Industrial Holdings Limited		458,000		1,014,482
Sime Darby Berhad		413,700		260,905
				3,272,187
Machinery: 0.59%
Caterpillar Incorporated		6,814		1,039,067
Crane Company		10,066		989,991
CRRC Corporation Limited		168,000		153,442
John Bean Technologies Corporation		20,000		2,386,000
				4,568,500

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Income Builder Fund 17

Security name	Shares		Value
Trading Companies & Distributors: 0.35%
BOC Aviation Limited 144A		36,000	$	279,139
Mitsubishi Corporation		46,470		1,431,891
Russel Metals Incorporated		46,500		964,812
				2,675,842
Transportation Infrastructure: 0.05%
China Merchants Port Holding		78,000		149,258
Grupo Aeroportuario del Pacific-B		20,440		223,623
				372,881
Information Technology: 5.42%
Communications Equipment: 0.25%
Cisco Systems Incorporated		39,112		1,902,799
Electronic Equipment, Instruments & Components: 1.10%
Amphenol Corporation Class A		19,000		1,786,380
Corning Incorporated		65,000		2,294,500
FLIR Systems Incorporated		55,000		3,380,850
Hon Hai Precision Industry		160,000		415,026
Venture Corporation Limited		45,947		592,550
				8,469,306
IT Services: 0.33%
Infosys Limited SP ADR		42,358		430,781
Leidos Holdings Incorporated		30,000		2,074,800
				2,505,581
Semiconductors & Semiconductor Equipment: 1.73%
Broadcom Incorporated		7,000		1,727,110
Cypress Semiconductor Corporation		100,000		1,449,000
KLA-Tencor Corporation		10,802		1,098,671
Maxim Integrated Products Incorporated		19,676		1,109,530
Mediatek Incorporated		29,000		234,124
QUALCOMM Incorporated		37,675		2,713,730
Taiwan Semiconductor Manufacturing Company Limited		136,000		1,169,227
Texas Instruments Incorporated		15,000		1,609,350
United Microelectronics Corporation		248,000		131,176
Xilinx Incorporated		25,000		2,004,250
				13,246,168
Software: 1.17%
Adobe Systems Incorporated †		7,000		1,889,650
Microsoft Corporation		38,066		4,353,608
Synopsys Incorporated †		20,000		1,972,200
Vmware Incorporated Class A †		4,925		768,596
				8,984,054
Technology Hardware, Storage & Peripherals: 0.84%
Advantech Company Limited		37,000		275,685
Apple Incorporated		6,415		1,448,122

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

18 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Technology Hardware, Storage & Peripherals (continued)
Asustek Computer Incorporated		17,000	$	146,989
Chicony Electronics Company Limited		59,000		119,418
Lenovo Group Limited		626,000		457,404
Samsung Electronics Company Limited		47,716		1,998,114
Seagate Technology plc		16,774		794,249
Western Digital Corporation		20,000		1,170,800
				6,410,781
Materials: 1.78%
Chemicals: 1.18%
Ciner Resources LP		605		16,444
Covestro AG 144A		10,206		827,819
CVR Partners LP †		8,740		33,299
DowDuPont Incorporated		40,000		2,572,400
Formosa Plastics Corporation		51,000		195,428
LyondellBasell Industries NV Class A		40,962		4,199,008
Tosoh Corporation		73,460		1,131,447
Westlake Chemical Partners LP		2,362		58,814
				9,034,659
Containers & Packaging: 0.21%
Sealed Air Corporation		40,000		1,606,000
Metals & Mining: 0.35%
Anglo American plc		7,217		162,076
Fortescue Metals Group Limited		265,089		751,149
Grupo Mexico SAB de CV Series B		113,000		325,221
Maanshan Iron and Steel Company		274,000		146,346
Magnitogorsk Iron and Steel Works (a)		224,614		178,853
POSCO		791		210,006
Suncoke Energy Partners LP		2,315		35,304
Ternium SA Sponsored ADR		9,465		286,695
Vale SA		27,400		405,856
Vedanta Limited ADR		11,950		152,960
				2,654,466
Paper & Forest Products: 0.04%
Mondi plc		11,363		311,614
Pope Resources LP		399		28,130
				339,744
Real Estate: 1.07%
Equity REITs: 0.79%
CapitaLand Retail China Trust		147,200		156,132
Crown Castle International Corporation		10,000		1,113,300
Equinix Incorporated		4,000		1,731,560
Gaming and Leisure Properties Incorporated		23,450		826,613
Growthpoint Properties Limited		175,184		287,777
Saul Centers Incorporated		35,000		1,960,000
				6,075,382

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Income Builder Fund 19

Security name						Shares		Value
Real Estate Management & Development: 0.28%
China Overseas Land & Investment Limited							66,000	$	206,557
China Resources Land Limited							94,000		329,009
Land & House plc							1,123,300		399,442
Poly Real Estate Group Company Limited							133,200		235,596
Shimao Property Holding Limited							395,500		986,180
									2,156,784
Utilities: 1.12%
Electric Utilities: 0.05%
Enel Americas SA ADR							36,377		281,194
Korea Electric Power Corporation							5,240		138,647
									419,841
Gas Utilities: 0.50%
AmeriGas Partners LP							9,162		361,991
Atmos Energy Corporation							20,000		1,878,200
Ferrellgas Partners LP							9,255		20,454
Star Group LP							5,715		55,836
Suburban Propane Partners LP							8,204		193,040
Superior Plus Corporation							130,900		1,285,032
									3,794,553
Independent Power & Renewable Electricity Producers: 0.18%
Brookfield Renewable Partner LP							11,808		357,074
Drax Group plc							165,406		836,921
Huaneng Power International Incorporated							260,000		171,045
									1,365,040
Multi-Utilities: 0.37%
Brookfield Infrastructure Partners LP							18,125		722,825
Centrica plc							479,933		975,298
Engie SA							79,063		1,162,598
									2,860,721
Water Utilities: 0.02%
Guangdong Investment Limited							102,000		181,111
Total Common Stocks (Cost $194,036,113)									215,074,844
	Interest rate			Maturity date		Principal
Corporate Bonds and Notes: 52.62%
Communication Services: 1.01%
Media: 1.01%
McGraw-Hill Global Education Holdings LLC 144A		7.88	%		5-15-2024	$	8,598,000		7,705,958
Consumer Discretionary: 2.85%
Auto Components: 1.34%
Dana Holding Corporation		5.50			12-15-2024		3,925,000		3,881,825
Tenneco Incorporated		5.00			7-15-2026		7,250,000		6,443,438
									10,325,263

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

20 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Hotels, Restaurants & Leisure: 0.93%
1929 Fieldhouse LLC / West Ward Street Development Corporation 144A		5.25	%		6-1-2020	$	2,410,000	$	2,418,812
Speedway Motorsports Incorporated		5.13			2-1-2023		4,700,000		4,694,125
									7,112,937
Specialty Retail: 0.58%
Group 1 Automotive Incorporated		5.00			6-1-2022		4,453,000		4,430,735
Consumer Staples: 1.91%
Food Products: 1.91%
Lamb Weston Holdings Incorporated 144A		4.63			11-1-2024		13,000,000		12,723,750
Post Holdings Incorporated 144A		5.00			8-15-2026		2,000,000		1,891,100
									14,614,850
Energy: 3.21%
Oil, Gas & Consumable Fuels: 3.21%
Cheniere Corpus Christi Holdings LLC		5.13			6-30-2027		24,500,000		24,591,875
Financials: 0.13%
Diversified Financial Services: 0.13%
Toll Road Investment Part II 144A(z)		6.21			2-15-2030		2,000,000		1,007,908
Health Care: 12.44%
Health Care Equipment & Supplies: 1.66%
Avanos Medical Incorporated		6.25			10-15-2022		1,000,000		1,021,380
Hologic Incorporated 144A		4.38			10-15-2025		2,000,000		1,905,000
Teleflex Incorporated		4.63			11-15-2027		1,984,000		1,884,800
Teleflex Incorporated		4.88			6-1-2026		8,000,000		7,920,000
									12,731,180
Health Care Providers & Services: 8.02%
AMN Healthcare Incorporated 144A		5.13			10-1-2024		25,535,000		24,705,113
Davita Incorporated		5.00			5-1-2025		9,000,000		8,637,210
Davita Incorporated		5.13			7-15-2024		3,000,000		2,895,000
HCA Incorporated		5.38			2-1-2025		15,500,000		15,810,000
HealthSouth Corporation		5.13			3-15-2023		2,000,000		2,005,000
St. Joseph’s Hospital & Medical Center		3.93			7-1-2022		2,000,000		1,968,902
West Street Merger Subordinate Incorporated 144A		6.38			9-1-2025		5,700,000		5,400,750
									61,421,975
Health Care Technology: 1.05%
Quintiles IMS Holdings Incorporated 144A		4.88			5-15-2023		7,000,000		7,035,000
Quintiles IMS Holdings Incorporated 144A		5.00			10-15-2026		1,000,000		979,500
									8,014,500
Life Sciences Tools & Services: 0.67%
Charles River Laboratories Incorporated 144A		5.50			4-1-2026		5,075,000		5,151,125

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Income Builder Fund 21

Security name	Interest rate			Maturity date		Principal		Value
Pharmaceuticals: 1.04%
Catalent Pharma Solutions Incorporated 144A		4.88	%		1-15-2026	$	8,300,000	$	7,988,750
Industrials: 8.76%
Aerospace & Defense: 2.81%
Moog Incorporated 144A		5.25			12-1-2022		5,500,000		5,541,250
TransDigm Group Incorporated		6.38			6-15-2026		11,800,000		11,918,000
TransDigm Group Incorporated		6.50			5-15-2025		4,000,000		4,075,000
									21,534,250
Commercial Services & Supplies: 1.03%
Acco Brands Corporation 144A		5.25			12-15-2024		5,000,000		4,980,850
Eastern Maine Healthcare		5.02			7-1-2036		1,000,000		967,369
South Nassau Communities		4.65			8-1-2048		2,000,000		1,964,654
									7,912,873
Construction & Engineering: 0.25%
Aecom Company		5.13			3-15-2027		2,000,000		1,950,200
Machinery: 1.94%
Actuant Corporation		5.63			6-15-2022		1,165,000		1,178,106
Oshkosh Corporation		5.38			3-1-2025		3,675,000		3,785,250
SPX FLOW Incorporated 144A		5.63			8-15-2024		4,500,000		4,522,005
SPX FLOW Incorporated 144A		5.88			8-15-2026		5,328,000		5,354,640
									14,840,001
Trading Companies & Distributors: 2.73%
HD Supply Incorporated 144A		5.75			4-15-2024		11,450,000		12,036,813
WESCO Distribution Incorporated		5.38			6-15-2024		8,974,000		8,884,260
									20,921,073
Information Technology: 8.83%
Communications Equipment: 2.06%
CommScope Incorporated 144A		5.50			6-15-2024		9,479,000		9,550,093
CommScope Technologies Finance LLC 144A		5.00			3-15-2027		6,500,000		6,256,250
									15,806,343
Electronic Equipment, Instruments & Components: 2.69%
Anixter International Incorporated		5.13			10-1-2021		4,000,000		4,070,000
TTM Technologies Incorporated 144A		5.63			10-1-2025		16,495,000		16,536,238
									20,606,238
IT Services: 0.26%
Gartner Incorporated 144A		5.13			4-1-2025		2,000,000		2,010,740
Semiconductors & Semiconductor Equipment: 2.76%
Micron Technology Incorporated		5.50			2-1-2025		6,750,000		6,980,310
Versum Materials Incorporated 144A		5.50			9-30-2024		13,834,000		14,145,265
									21,125,575

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

22 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date			Principal		Value
Software: 0.27%
Nuance Communications Company		6.00	%		7-1-2024		$	2,000,000	$	2,062,500
Technology Hardware, Storage & Peripherals: 0.79%
Diebold Incorporated		8.50			4-15-2024			8,500,000		6,077,500
Materials: 9.89%
Chemicals: 7.18%
Koppers Incorporated 144A		6.00			2-15-2025			13,150,000		13,117,125
Olin Corporation		5.13			9-15-2027			5,000,000		4,812,500
Olin Corporation		5.50			8-15-2022			8,500,000		8,723,125
Rayonier Advanced Materials Products Incorporated 144A		5.50			6-1-2024			8,945,000		8,612,514
Scotts Miracle-Gro Company		5.25			12-15-2026			4,000,000		3,840,000
Scotts Miracle-Gro Company		6.00			10-15-2023			6,000,000		6,165,000
Valvoline Incorporated		4.38			8-15-2025			10,000,000		9,300,000
Valvoline Incorporated		5.50			7-15-2024			500,000		501,250
										55,071,514
Containers & Packaging: 2.43%
Ball Corporation		5.00			3-15-2022			2,500,000		2,573,750
Berry Global Incorporated		5.13			7-15-2023			4,500,000		4,548,375
Berry Plastics Corporation		6.00			10-15-2022			4,100,000		4,223,000
Sealed Air Corporation 144A		5.25			4-1-2023			4,650,000		4,731,375
Sealed Air Corporation 144A		5.50			9-15-2025			2,500,000		2,553,125
										18,629,625
Metals & Mining: 0.28%
Commercial Metals Company		4.88			5-15-2023			2,150,000		2,131,940
Real Estate: 3.59%
Equity REITs: 3.59%
Equinix Incorporated		5.38			5-15-2027			5,000,000		5,008,300
Equinix Incorporated		5.75			1-1-2025			1,500,000		1,539,375
Iron Mountain Incorporated 144A		4.88			9-15-2027			12,000,000		10,995,000
Iron Mountain Incorporated 144A		5.38			6-1-2026			6,500,000		6,123,000
Iron Mountain Incorporated		5.75			8-15-2024			3,927,000		3,885,767
										27,551,442
Total Corporate Bonds and Notes (Cost $414,953,333)										403,328,870
Municipal Obligations: 3.65%
Colorado: 0.29%
Health Revenue: 0.29%
Denver CO Health & Hospital Authority Series B		4.65			12-1-2023	��		1,205,000		1,230,992
Denver CO Health & Hospital Authority Series B		4.90			12-1-2024			250,000		257,800
Denver CO Health & Hospital Authority Series B		5.00			12-1-2025			275,000		284,199
Denver CO Health & Hospital Authority Series B		5.15			12-1-2026			445,000		461,696
										2,234,687

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Income Builder Fund 23

Security name	Interest rate			Maturity date		Principal		Value
Florida: 0.13%
Education Revenue: 0.13%
Florida HEFAR Jacksonville University Project Series A2 144A		5.43	%		6-1-2027	$	1,000,000	$	997,520
Guam: 0.08%
Airport Revenue: 0.08%
Guam Port Authority Series C		3.78			7-1-2021		635,000		631,457
Illinois: 0.71%
GO Revenue: 0.29%
Chicago IL Project Series C1		7.78			1-1-2035		2,000,000		2,245,700
Miscellaneous Revenue: 0.16%
Chicago IL Board of Education Taxable Build America Bonds Series E		6.04			12-1-2029		1,255,000		1,231,695
Tax Revenue: 0.26%
Chicago IL Certificate of Participation River Point Plaza Redevelopment Project Series A 144A		4.84			4-15-2028		2,000,000		1,975,600
									5,452,995
Iowa: 0.16%
Tax Revenue: 0.16%
Coralville IA Series C		5.00			5-1-2030		1,200,000		1,233,888
Michigan: 0.44%
Miscellaneous Revenue: 0.44%
Wayne County MI Recovery Zone Economic Development Build America Bonds		10.00			12-1-2040		3,000,000		3,377,220
New Jersey: 0.25%
Education Revenue: 0.12%
New Jersey Educational Facilities Authority Georgian Court University Series H		4.25			7-1-2028		1,000,000		949,070
Utilities Revenue: 0.13%
Newark NJ Redevelopment Area Public Service Electric & Gas Project 144A		4.49			12-1-2047		1,000,000		955,600
									1,904,670
New York: 0.29%
Health Revenue: 0.04%
Jefferson County NY Civic Facility Development Corporation Refunding Bond Series B Samaritan Medical Center Obligated Group		4.25			11-1-2028		360,000		347,911
Utilities Revenue: 0.25%
New York Energy Research & Development Authority Green Bond Series A		4.81			4-1-2034		900,000		890,262
New York NY IDA Brooklyn Navy Yard Cogeneration Partners LP		5.65			10-1-2028		1,000,000		1,009,560
									1,899,822
									2,247,733
Oklahoma: 0.26%
Health Revenue: 0.07%
Oklahoma Development Finance Authority		5.45			8-15-2028		500,000		518,135

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

24 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Miscellaneous Revenue: 0.19%
Woodward County Educational Facilities Authority Mooreland Public Schools Project Series B		4.63	%		9-15-2025	$	1,500,000	$	1,491,825
									2,009,960
Oregon: 0.07%
Health Revenue: 0.07%
Clackamas County OR Hospital Facility Authority Series C		4.00			11-15-2022		550,000		545,463
Pennsylvania: 0.26%
Housing Revenue: 0.26%
Philadelphia PA Authority for Industrial Development MFHR University Square Apartments Low Income Housing Project 144A		5.00			12-1-2020		2,000,000		1,965,020
Tennessee: 0.25%
Tax Revenue: 0.25%
Bristol TN Industrial Development Board The Pinnacle Project Series A 144A		5.13			12-1-2042		2,000,000		1,877,380
Virginia: 0.28%
Tax Revenue: 0.28%
Mosaic District VA CDA Series A-T		7.25			3-1-2036		2,000,000		2,111,700
Wisconsin: 0.18%
Education Revenue: 0.18%
Public Finance Authority Burrell College of Osteopathic Medicine Project 144A		5.13			6-1-2028		1,360,000		1,372,403
Total Municipal Obligations (Cost $28,149,761)									27,962,096
	Dividend yield					Shares
Preferred Stocks: 0.12%
Financials: 0.08%
Banks: 0.08%
Banco Bradesco SA		4.02					41,900		297,452
Itausa Investimentos Itau		0.20					122,700		306,860
									604,312
Materials: 0.04%
Chemicals: 0.04%
Sociedad Quimica y Minera de Chile		1.39					6,853		313,567
Total Preferred Stocks (Cost $927,291)									917,879
	Interest rate					Principal
Yankee Corporate Bonds and Notes: 4.69%
Financials: 2.05%
Diversified Financial Services: 2.05%
Tronox Finance plc 144A		5.75			10-1-2025	$	17,000,000		15,767,500

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

Portfolio of investments—September 30, 2018 Wells Fargo Diversified Income Builder Fund 25

Security name	Interest rate			Maturity date		Principal		Value
Health Care: 1.26%
Pharmaceuticals: 1.26%
Mallinckrodt plc 144A		5.50	%		4-15-2025	$	5,655,000	$	4,775,648
Mallinckrodt plc 144A		5.63			10-15-2023		5,500,000		4,867,500
									9,643,148
Industrials: 1.38%
Electrical Equipment: 1.38%
Sensata Technologies BV 144A		4.88			10-15-2023		6,700,000		6,708,375
Sensata Technologies BV 144A		5.63			11-1-2024		3,750,000		3,871,875
									10,580,250
Total Yankee Corporate Bonds and Notes (Cost $38,808,053)									35,990,898
	Yield					Shares
Short-Term Investments: 11.86%
Investment Companies: 9.38%
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99					71,872,762		71,872,762
						Principal
U.S. Treasury Securities: 2.48%
U.S. Treasury Bill (z)#		1.47			10-4-2018	$	2,115,000		2,114,642
U.S. Treasury Bill (z)#		2.14			12-27-2018		17,000,000		16,911,712
									19,026,354
Total Short-Term Investments (Cost $90,899,128)									90,899,116

Total investments in securities (Cost $767,773,679)	101.00	%		774,173,703
Other assets and liabilities, net	(1.00	)		(7,695,606	)
Total net assets	100.00	%	$	766,478,097

† Non-income-earning security

(a) The security is fair valued in accordance with procedures approved by the Board of Trustees.

144A The security may be resold in transactions exempt from registration, normally to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(u) The rate represents the 7-day annualized yield at period end.

(z) Zero coupon security. The rate represents the current yield to maturity.

# All or a portion of this security is segregated as collateral for investments in derivative instruments.

Abbreviations:

ADR American depositary receipt

CDA Community Development Authority

GDR Global depositary receipt

GO General obligation

HEFAR Higher Education Facilities Authority Revenue

IDA Industrial Development Authority

MFHR Multifamily housing revenue

REIT Real Estate Investment Trust

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

26 Wells Fargo Diversified Income Builder Fund Portfolio of investments—September 30, 2018

Futures Contracts

Description	Number of contracts		Expiration date		Notional cost		Notional value		Unrealized gains		Unrealized losses
Long
S&P 500 E-Mini Index		79		12-21-2018	$	11,505,036	$	11,530,050	$	25,014	$	0

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)		Net change in unrealized gains (losses)			Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC *		11,166,995		70,700,589		81,867,584		0	$	1,443	$	(609	)	$	95,291	$	0
Wells Fargo Government Money Market Fund Select Class		11,243,453		383,082,501		322,453,192		71,872,762		0		0			230,188		71,872,762
									$	1,443	$	(609	)	$	325,479	$	71,872,762		9.38	%

* No longer held at the end of the period.

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

Statement of assets and liabilities—September 30, 2018 Wells Fargo Diversified Income Builder Fund 27

Assets
Investments in unaffiliated securities, at value (cost $695,900,917)	$	702,300,941
Investments in affiliated securities, at value (cost $71,872,762)		71,872,762
Cash		11,548
Foreign currency, at value (cost $369,076)		370,848
Receivable for Fund investments sold		1,194,766
Receivable for Fund shares sold		1,669,085
Receivable for dividends and interest		8,432,752
Prepaid expenses and other assets		161,008
Total assets		786,013,710
Liabilities
Payable for investments purchased		18,392,593
Payable for Fund shares redeemed		684,772
Management fee payable		192,611
Administration fees payable		108,371
Distribution fee payable		103,844
Payable for daily variation margin on open futures contracts		3,486
Trustees’ fees and expenses payable		623
Accrued expenses and other liabilities		49,313
Total liabilities		19,535,613
Total net assets	$	766,478,097
NET ASSETS CONSIST OF
Paid-in capital	$	726,889,626
Total distributable earnings		39,588,471
Total net assets	$	766,478,097
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	231,175,669
Shares outstanding – Class A1		36,527,675
Net asset value per share – Class A		$6.33
Maximum offering price per share – Class A2		$6.72
Net assets – Class C	$	166,750,292
Shares outstanding – Class C1		26,293,504
Net asset value per share – Class C		$6.34
Net assets – Class R6	$	25,057
Shares outstanding – Class R61		4,052
Net asset value per share – Class R6		$6.18
Net assets – Administrator Class	$	32,938,059
Shares outstanding – Administrator Class1		5,318,436
Net asset value per share – Administrator Class		$6.19
Net assets – Institutional Class	$	335,589,020
Shares outstanding – Institutional Class1		54,233,401
Net asset value per share – Institutional Class		$6.19

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.

28 Wells Fargo Diversified Income Builder Fund Statement of operations—year ended September 30, 2018

Investment income
Interest	$	23,203,527
Dividends (net of foreign withholding taxes of $131,098)		9,222,922
Income from affiliated securities		325,479
Total investment income		32,751,928
Expenses
Management fee		4,183,156
Administration fees
Class A		482,841
Class C		358,877
Class R6		1	1
Administrator Class		48,282
Institutional Class		435,610
Shareholder servicing fees
Class A		574,811
Class C		427,235
Administrator Class		92,641
Distribution fee
Class C		1,281,703
Custody and accounting fees		36,498
Professional fees		58,869
Registration fees		118,134
Shareholder report expenses		79,407
Trustees’ fees and expenses		20,704
Other fees and expenses		11,976
Total expenses		8,210,745
Less: Fee waivers and/or expense reimbursements		(1,136,601	)
Net expenses		7,074,144
Net investment income		25,677,784
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on:
Unaffiliated securities		30,225,038
Affiliated securities		1,443
Futures contracts		1,083,348
Forward foreign currency contracts		34,083
Net realized gains on investments		31,343,912
Net change in unrealized gains (losses) on:
Unaffiliated securities		(33,818,525	)
Affiliated securities		(609	)
Futures contracts		25,014
Net change in unrealized gains (losses) on investments		(33,794,120	)
Net realized and unrealized gains (losses) on investments		(2,450,208	)
Net increase in net assets resulting from operations	$	23,227,576

¹  For the period from July 31, 2018 (commencement of class operations) to September 30, 2018

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

Statement of changes in net assets Wells Fargo Diversified Income Builder Fund 29

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	25,677,784					$	19,531,782
Net realized gains on investments					31,343,912						12,945,402
Net change in unrealized gains (losses) on investments					(33,794,120	)					21,283,855
Net increase in net assets resulting from operations					23,227,576						53,761,039
Distributions to shareholders
Class A					(10,518,893	)					(7,636,815	)
Class B					N/A						(8,479	)2
Class C					(6,577,828	)					(4,909,965	)
Class R6					(138	)3					N/A
Administrator Class					(1,793,521	)					(1,989,253	)
Institutional Class					(16,782,186	)					(9,593,926	)
Total distributions to shareholders					(35,672,566	)					(24,138,438	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		11,145,149			70,956,206			18,433,357			114,970,196
Class B		N/A			N/A			790	2		4,856	2
Class C		6,785,413			43,270,788			9,920,574			62,050,326
Class R6		4,052	3		25,000	3		N/A			N/A
Administrator Class		1,384,053			8,606,856			4,611,695			28,032,068
Institutional Class		22,967,858			142,978,608			37,928,512			231,275,398
					265,837,458						436,332,844
Reinvestment of distributions
Class A		1,561,264			9,891,159			1,145,568			7,148,903
Class B		N/A			N/A			1,045	2		6,448	2
Class C		946,882			6,011,290			687,580			4,297,275
Administrator Class		263,760			1,637,316			309,869			1,885,882
Institutional Class		2,194,831			13,596,513			1,308,141			8,015,673
					31,136,278						21,354,181
Payment for shares redeemed
Class A		(10,590,623	)		(67,150,218	)		(10,383,064	)		(65,031,893	)
Class B		N/A			N/A			(77,635	)2		(486,950	)2
Class C		(7,154,705	)		(45,403,714	)		(6,040,064	)		(37,818,153	)
Administrator Class		(3,003,395	)		(18,651,958	)		(9,917,933	)		(59,608,201	)
Institutional Class		(21,127,558	)		(130,722,169	)		(9,738,100	)		(59,471,981	)
					(261,928,059	)					(222,417,178	)
Net increase in net assets resulting from capital share transactions					35,045,677						235,269,847
Total increase in net assets					22,600,687						264,892,448
Net assets
Beginning of period					743,877,410						478,984,962
End of period				$	766,478,097					$	743,877,410

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Overdistributed net investment income at September 30, 2017 was $265,880. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 8, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from October 1, 2016 to May 5, 2017. Effective at the close of business on May 5, 2017, Class B shares were converted to Class A shares and no longer offered by the Fund.

³  For the period from July 31, 2018 (commencement of class operations) to September 30, 2018

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

30 Wells Fargo Diversified Income Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$6.42			$6.13			$5.71			$6.37			$6.13
Net investment income		0.21			0.20			0.20			0.21			0.23
Net realized and unrealized gains (losses) on investments		(0.01	)		0.35			0.64			(0.31	)		0.38
Total from investment operations		0.20			0.55			0.84			(0.10	)		0.61
Distributions to shareholders from
Net investment income		(0.19	)		(0.22	)		(0.21	)		(0.21	)		(0.23	)
Net realized gains		(0.10	)		(0.04	)		(0.21	)		(0.35	)		(0.14	)
Total distributions to shareholders		(0.29	)		(0.26	)		(0.42	)		(0.56	)		(0.37	)
Net asset value, end of period		$6.33			$6.42			$6.13			$5.71			$6.37
Total return1		3.23	%		9.16	%		15.39	%		(1.92	)%		10.13	%
Ratios to average net assets (annualized)
Gross expenses		1.04	%		1.05	%		1.08	%		1.11	%		1.13	%
Net expenses		0.90	%		1.05	%		1.08	%		1.08	%		1.08	%
Net investment income		3.34	%		3.29	%		3.55	%		3.38	%		3.60	%
Supplemental data
Portfolio turnover rate		50	%		29	%		38	%		63	%		52	%
Net assets, end of period (000s omitted)		$231,176			$220,977			$154,496			$127,242			$143,062

¹  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Diversified Income Builder Fund 31

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$6.44			$6.14			$5.72			$6.39			$6.14
Net investment income		0.17			0.16			0.16	1		0.16	1		0.18
Net realized and unrealized gains (losses) on investments		(0.02	)		0.35			0.63			(0.32	)		0.39
Total from investment operations		0.15			0.51			0.79			(0.16	)		0.57
Distributions to shareholders from
Net investment income		(0.15	)		(0.17	)		(0.16	)		(0.16	)		(0.18	)
Net realized gains		(0.10	)		(0.04	)		(0.21	)		(0.35	)		(0.14	)
Total distributions to shareholders		(0.25	)		(0.21	)		(0.37	)		(0.51	)		(0.32	)
Net asset value, end of period		$6.34			$6.44			$6.14			$5.72			$6.39
Total return2		2.32	%		8.51	%		14.51	%		(2.81	)%		9.47	%
Ratios to average net assets (annualized)
Gross expenses		1.79	%		1.80	%		1.83	%		1.86	%		1.88	%
Net expenses		1.65	%		1.80	%		1.83	%		1.83	%		1.83	%
Net investment income		2.59	%		2.54	%		2.80	%		2.62	%		2.85	%
Supplemental data
Portfolio turnover rate		50	%		29	%		38	%		63	%		52	%
Net assets, end of period (000s omitted)		$166,750			$165,513			$129,856			$110,457			$111,045

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

32 Wells Fargo Diversified Income Builder Fund Financial highlights

(For a share outstanding throughout each period)

CLASS R6	Year ended September 30, 20181
Net asset value, beginning of period		$6.17
Net investment income		0.02	2
Net realized and unrealized gains (losses) on investments		0.02
Total from investment operations		0.04
Distributions to shareholders from
Net investment income		(0.03	)
Net realized gains		0.00
Total distributions to shareholders		(0.03	)
Net asset value, end of period		$6.18
Total return3		0.71	%
Ratios to average net assets (annualized)
Gross expenses		0.64	%
Net expenses		0.41	%
Net investment income		2.32	%
Supplemental data
Portfolio turnover rate		50	%
Net assets, end of period (000s omitted)		$25

¹  For the period from July 31, 2018 (commencement of class operations) to September 30, 2018

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 Diversified Income Builder Fund 33

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$6.29			$6.00			$5.60			$6.25			$6.01
Net investment income		0.21	1		0.21	1		0.21	1		0.21	1		0.24
Net realized and unrealized gains (losses) on investments		(0.01	)		0.34			0.61			(0.30	)		0.38
Total from investment operations		0.20			0.55			0.82			(0.09	)		0.62
Distributions to shareholders from
Net investment income		(0.20	)		(0.22	)		(0.21	)		(0.21	)		(0.24	)
Net realized gains		(0.10	)		(0.04	)		(0.21	)		(0.35	)		(0.14	)
Total distributions to shareholders		(0.30	)		(0.26	)		(0.42	)		(0.56	)		(0.38	)
Net asset value, end of period		$6.19			$6.29			$6.00			$5.60			$6.25
Total return		3.21	%		9.45	%		15.45	%		(1.69	)%		10.46	%
Ratios to average net assets (annualized)
Gross expenses		0.96	%		0.97	%		1.00	%		0.97	%		0.96	%
Net expenses		0.81	%		0.90	%		0.90	%		0.90	%		0.90	%
Net investment income		3.40	%		3.51	%		3.72	%		3.56	%		3.77	%
Supplemental data
Portfolio turnover rate		50	%		29	%		38	%		63	%		52	%
Net assets, end of period (000s omitted)		$32,938			$41,975			$70,051			$31,367			$48,690

¹ Calculated based upon average shares outstanding

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

34 Wells Fargo Diversified Income Builder Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$6.28			$6.00			$5.59			$6.25			$6.01
Net investment income		0.23			0.24			0.23			0.24			0.25	1
Net realized and unrealized gains (losses) on investments		(0.01	)		0.31			0.61			(0.32	)		0.38
Total from investment operations		0.22			0.55			0.84			(0.08	)		0.63
Distributions to shareholders from
Net investment income		(0.21	)		(0.23	)		(0.22	)		(0.23	)		(0.25	)
Net realized gains		(0.10	)		(0.04	)		(0.21	)		(0.35	)		(0.14	)
Total distributions to shareholders		(0.31	)		(0.27	)		(0.43	)		(0.58	)		(0.39	)
Net asset value, end of period		$6.19			$6.28			$6.00			$5.59			$6.25
Total return		3.62	%		9.49	%		15.88	%		(1.65	)%		10.68	%
Ratios to average net assets (annualized)
Gross expenses		0.71	%		0.72	%		0.75	%		0.71	%		0.70	%
Net expenses		0.57	%		0.71	%		0.71	%		0.69	%		0.70	%
Net investment income		3.67	%		3.60	%		3.92	%		3.76	%		3.98	%
Supplemental data
Portfolio turnover rate		50	%		29	%		38	%		63	%		52	%
Net assets, end of period (000s omitted)		$335,589			$315,413			$124,116			$77,558			$61,133

¹  Calculated based upon average shares outstanding

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

Notes to financial statements Wells Fargo Diversified Income Builder Fund 35

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo Diversified Income Builder Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on May 5, 2017, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through May 5, 2017.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Debt securities are valued at the evaluated bid price provided by an independent pricing service or, if a reliable price is not available, the quoted bid price from an independent broker-dealer.

Equity securities and futures contracts that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

The values of securities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee at 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 of the Fund 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 net asset values that are higher or lower than net asset values based on the last reported sales price or latest quoted bid price. On September 30, 2018, such fair value pricing was not used in pricing foreign securities.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

36 Wells Fargo Diversified Income Builder Fund Notes to financial statements

Foreign currency translation

The accounting records of the Fund are maintained in U.S. dollars. The values of other assets and liabilities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee. Purchases and sales of securities, and income and expenses are converted at the rate of exchange on the respective dates of such transactions. 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 from changes in exchange rates. The changes in net assets arising from changes in exchange rates of securities and the changes in net assets resulting from changes in market prices of securities are not separately presented. Such changes are included in net realized and unrealized gains or losses from investments.

Forward foreign currency contracts

The Fund is subject to foreign currency risk in the normal course of pursuing its investment objectives. A forward foreign currency contract is an agreement between two parties to purchase or sell a specific currency for an agreed-upon price at a future date. The Fund enters into forward foreign currency contracts to facilitate transactions in foreign-denominated securities and to attempt to minimize the risk to the Fund from adverse changes in the relationship between currencies. Forward foreign currency contracts are recorded at the forward rate and marked-to-market daily. When the contracts are closed, realized gains and losses arising from such transactions are recorded as realized gains or losses on forward foreign currency contracts. The Fund could be exposed to risks if the counterparties to the contracts are unable to meet the terms of their contracts or if the value of the foreign currency changes unfavorably. The Fund’s maximum risk of loss from counterparty credit risk is the unrealized gains on the contracts. This risk may be mitigated if there is a master netting arrangement between the Fund and the counterparty.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities on the Statement of Operation.

Futures contracts

The Fund is subject to equity price risk in the normal course of pursuing its investment objectives. Futures contracts are agreements between the Fund and a counterparty to buy or sell a specific amount of a commodity, financial instrument or currency at specified price and on a specified date. The Fund may buy and sell futures contracts in order to gain exposure to, or protect against, changes in security values 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

Notes to financial statements Wells Fargo Diversified Income Builder Fund 37

futures contracts, and the possibility of an illiquid market. Futures contracts are generally entered into on a regulated futures exchange and cleared through a clearinghouse associated with the exchange. With futures contracts, there is minimal counterparty risk to the Fund since futures contracts are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded futures, guarantees the futures contracts against default.

Upon entering into a futures contracts, the Fund is required to deposit either cash or securities (initial margin) with the broker in an amount equal to a certain percentage of the contract value. Subsequent payments (variation margin) are paid to or from the broker each day equal to the daily changes in the contract value. Such payments are recorded as unrealized gains or losses and, if any, shown as variation margin receivable (payable) in the Statement of Assets and Liabilities. Should the Fund fail to make requested variation margin payments, the broker can gain access to the initial margin to satisfy the Fund’s payment obligations. When the contracts are closed, a realized gain or loss is recorded in the Statement of Operations.

When-issued transactions

The Fund may purchase securities on a forward commitment or when-issued basis. The Fund records a when-issued transaction on the trade date and will segregate assets in an amount at least equal in value to the Fund’s commitment to purchase when-issued securities. Securities purchased on a when-issued basis are marked-to-market daily and the Fund begins earning interest on the settlement date. Losses may arise due to changes in the market value of the underlying securities or if the counterparty does not perform under the contract.

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. 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 been determined to be doubtful based on consistently applied procedures and the fair value has decreased. 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 custodian verifies the ex-dividend date. Dividend income from foreign securities is recorded net of foreign taxes withheld where recovery of such taxes is not assured.

Distributions to shareholders

Distributions to shareholders are recorded on the ex-dividend date and paid from net investment income monthly and any net realized gains are paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $767,886,927 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	30,626,074
Gross unrealized losses		(24,314,284	)
Net unrealized gains	$	6,311,790

38 Wells Fargo Diversified Income Builder Fund Notes to financial statements

Reclassifications are made to the Fund’s capital accounts for permanent tax differences to reflect income and gains available for distribution (or available capital loss carryforwards) under federal income tax regulations. U.S. generally accepted accounting principles require that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or net asset values per share. At September 30, 2018, as a result of permanent book-to-tax differences, the following reclassification adjustments were made on the Statement of Assets and Liabilities:

Paid-in capital	Total distributable earnings
$(3,934)	$3,934

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

∎ 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 Wells Fargo Diversified Income Builder Fund 39

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Communication services	$	9,706,642	$	0	$	0	$	9,706,642
Consumer discretionary		9,529,426		0		0		9,529,426
Consumer staples		4,519,484		0		0		4,519,484
Energy		47,685,776		0		0		47,685,776
Financials		24,474,461		168,562		0		24,643,023
Health care		23,369,399		0		0		23,369,399
Industrials		23,614,097		0		0		23,614,097
Information technology		41,518,689		0		0		41,518,689
Materials		13,456,023		178,853		0		13,634,876
Real estate		8,232,166		0		0		8,232,166
Utilities		8,621,266		0		0		8,621,266
Corporate bonds and notes		0		403,328,870		0		403,328,870
Municipal obligations		0		27,962,096		0		27,962,096
Preferred stocks
Financials		604,312		0		0		604,312
Materials		313,567		0		0		313,567
Yankee corporate bonds and notes		0		35,990,898		0		35,990,898
Short-term investments						0
Investment companies		71,872,762		0		0		71,872,762
U.S. Treasury securities		19,026,354		0		0		19,026,354
		306,544,424		467,629,279		0		774,173,703
Futures contracts		25,014		0		0		25,014
Total assets	$	306,569,438	$	467,629,279	$	0	$	774,198,717

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

Futures contracts are reported at their cumulative unrealized gains (losses) at measurement date as reported in the table following the Portfolio of Investments. For futures contracts the current day’s variation margin is reported on the Statement of Assets and Liabilities. All other assets and liabilities are reported at their market value at measurement date.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.55% and declining to 0.43% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.54% 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 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.

40 Wells Fargo Diversified Income Builder Fund Notes to financial statements

Administration fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Class R6		0.03
Administrator Class, Institutional Class		0.13

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 0.85% for Class A shares, 1.60% for Class C shares, 0.42% for Class R6 shares, 0.77% for Administrator Class shares, and 0.52% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Prior to January 1, 2018, the Fund’s expenses were capped at 1.08% for Class A shares, 1.83% for Class C shares, 0.90% for Administrator Class shares, and 0.71% for Institutional Class shares.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $77,130 from the sale of Class A shares and $144 in contingent deferred sales charges from redemptions of Class C shares. No contingent deferred sales charges were incurred by Class A for the year ended September 30, 2018.

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 are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $372,065,128 and $401,656,579, respectively.

6. DERIVATIVE TRANSACTIONS

During the year ended September 30, 2018, the Fund entered into futures contracts and forward foreign currency contracts for economic hedging purposes.

Notes to financial statements Wells Fargo Diversified Income Builder Fund 41

The volume of the Fund’s futures contracts and forward foreign currency contracts during the year ended September 30, 2018 was as follows:

Futures contracts
Average notional balance on long futures	$	5,867,851
Forward foreign currency contracts
Average contract amounts to buy		51,764
Average contract amounts to sell		28,066

The fair value, realized gains or losses and change in unrealized gains or losses, if any, on derivative instruments are reflected in the corresponding financial statement captions.

7. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

8. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	27,884,669	$	20,667,438
Long-term capital gain		7,787,897		3,471,000

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$7,601,251	$25,688,641	$6,309,927

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net investment income		Net realized gains
Class A		$6,500,003		$1,136,812
Class B		5,875		2,604
Class C		4,004,743		905,222
Administrator Class		1,700,100		289,153
Institutional Class		8,456,717		1,137,209

9. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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.

42 Wells Fargo Diversified Income Builder Fund Notes to financial statements

10. NEW ACCOUNTING PRONOUNCEMENTS

In August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

In March 2017, FASB issued ASU No. 2017-08, Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium. The amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 is effective for fiscal years beginning after December 15, 2018 and for interim periods within those fiscal years. Management is currently evaluating the potential impact of this new guidance to the financial statements.

11. SUBSEQUENT DISTRIBUTION

On November 26, 2018, the Fund declared distributions from net investment income to shareholders of record on November 23, 2018. The per share amounts payable on November 27, 2018 were as follows:

	Net investment income
Class A	$	0.01849
Class C		0.01444
Class R6		0.02072
Administrator Class		0.01894
Institutional Class		0.02026

These distributions are not reflected in the accompanying financial statements.

Report of independent registered public accounting firm Wells Fargo Diversified Income Builder Fund 43

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Diversified Income Builder Fund (the “Fund”), one of the funds constituting Wells Fargo Funds Trust, including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

44 Wells Fargo Diversified Income Builder Fund Other information (unaudited)

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 8.63% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 852 of the Internal Revenue Code, $7,787,897 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $3,524,538 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $17,476,907 has been designated as interest-related dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

For the fiscal year ended September 30, 2018, $4,124,226 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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 Diversified Income Builder Fund 45

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

46 Wells Fargo Diversified Income Builder Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

Other information (unaudited) Wells Fargo Diversified Income Builder Fund 47

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

¹ Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

48 Wells Fargo Diversified Income Builder Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Diversified Income Builder Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Diversified Income Builder Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

Other information (unaudited) Wells Fargo Diversified Income Builder Fund 49

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Class A) was higher than the average investment performance of the Universe for all periods under review The Board also noted that the investment performance of the Fund was in range of its benchmark index, the Diversified Income Builder Blended Index, for the one and three -year periods under review, but lower than its benchmark index, for the 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 periods identified above. The Board took note of the explanations for the relative underperformance during these periods, including with respect to investment decisions and market factors that affected the Fund’s investment performance. The Board also took note of the Fund’s outperformance relative to the Universe.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge 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 for each share class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were lower than or equal to the sum of these average rates for the Fund’s expense Groups for all share classes.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

50 Wells Fargo Diversified Income Builder Fund Other information (unaudited)

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

Appendix A (unaudited) Wells Fargo Diversified Income Builder Fund 51

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

52 Wells Fargo Diversified Income Builder Fund Appendix A (unaudited)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

Appendix A (unaudited) Wells Fargo Diversified Income Builder Fund 53

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317285 11-18 A226/AR226 09-18

Annual Report

September 30, 2018

Wells Fargo Index Asset Allocation Fund

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	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	32
Statement of operations	33
Statement of changes in net assets	34
Financial highlights	35
Notes to financial statements	39
Report of independent registered public accounting firm	46
Other information	47
Appendix A	54

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

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

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Index Asset Allocation Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

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

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Index Asset Allocation Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Index Asset Allocation Fund Performance highlights (unaudited)

Investment objective

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

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Kandarp R. Acharya, CFA^®, FRM

Petros N. Bocray, CFA^®, FRM

Christian L. Chan, CFA^®

Average annual total returns (%) as of September 30, 2018¹

		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 (SFAAX)	11-13-1986		3.46		8.61		8.59		9.76			9.90		9.23		1.09		1.08
Class C (WFALX)	4-1-1998		7.97		9.08		8.42		8.97			9.08		8.42		1.84		1.83
Administrator Class (WFAIX)	11-8-1999		–		–		–		9.94			10.13		9.48		1.01		0.90
Institutional Class (WFATX)	10-31-2016		–		–		–		10.11			10.20		9.51		0.76		0.75
Index Asset Allocation Blended Index4	–		–		–		–		9.82			10.66		10.08		–		–
Bloomberg Barclays U.S. Treasury Index5	–		–		–		–		(1.62	)		1.34		2.68		–		–
S&P 500 Index6	–		–		–		–		17.91			13.95		11.97		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred 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. Changes in market conditions and government policies may lead to periods of heightened volatility in the bond market and reduced liquidity for certain bonds held by the Fund. In general, when interest rates rise, bond values fall and investors may lose principal value. Interest rate changes and their impact on the Fund and its share price can be sudden and unpredictable. 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 7.

Performance highlights (unaudited) Wells Fargo Index Asset Allocation Fund 7

Growth of $10,000 investment as of September 30, 2018⁷

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

²  Reflects the expense ratios as stated in the most recent prospectuses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at the amounts shown. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  Source: Wells Fargo Funds Management, LLC. Effective April 1, 2015, the Index Asset Allocation Blended Index is weighted 60% in the S&P 500 Index and 40% in the Bloomberg Barclays U.S. Treasury Index. Prior to April 1, 2015, the Index Asset Allocation Blended Index was weighted 60% in the S&P 500 Index and 40% in the Bloomberg Barclays U.S. Treasury 20+ Year Index. You cannot invest directly in an index.

⁵  The Bloomberg Barclays U.S. Treasury Index is an unmanaged index of prices of U.S. Treasury bonds with maturities of 1 to 30 years. You cannot invest directly in an index.

⁶  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.

⁷  The chart compares the performance of Class A shares for the most recent ten years with the Index Asset Allocation Blended Index, Bloomberg Barclays U.S. Treasury Index, and the S&P 500 Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁸  The Morgan Stanley Capital International (MSCI) Europe, Australasia, Far East (EAFE) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. The MSCI EAFE Index (Net) consists of the following 21 developed market country indices: Australia, Austria, Belgium, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom. You cannot invest directly in an index.

⁹  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

¹⁰  The Bloomberg Barclays U.S. Treasury Index is an unmanaged index of prices of U.S. Treasury bonds with maturities of 1 to 30 years. You cannot invest directly in an index.

¹¹  The Bloomberg Barclays 20+ Year U.S. 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.

¹²  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

¹³  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

¹⁴  Current target allocation includes the effect of any tactical futures overlay that may be in place. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo Index Asset Allocation Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund (Class A, excluding sales charges) underperformed its benchmark, the Index Asset Allocation Blended Index by 6 basis points (bps; 100 bps equal 1.00%) for the 12-month period that ended September 30, 2018.

∎ The Fund’s tactical asset allocation overlay, which is implemented with liquid futures contracts, contributed positively to performance during the 12-month period.

∎ The Fund’s stock allocation performed in line with its respective benchmark, the S&P 500 Index, while the Fund’s bond allocation outperformed its respective benchmark, the Bloomberg Barclays U.S. Treasury Index.

∎ Relative to its benchmark, the Fund’s lower duration added to performance.

Equity markets rallied during the 12-month period as rising optimism surrounding synchronized global growth and U.S. tax reforms buoyed confidence among investors. That being said, it was by no means a smooth ride; sentiment soured toward the end of January and early February amid mounting concerns about higher interest rates and trade tensions. Risk markets sold off sharply in response, and volatility—which remained subdued in 2017—spiked to levels last seen in early 2016.

As focus shifted to strengthening economic conditions in the U.S., markets proceeded to climb higher, setting several record highs along the way. For the period, the S&P 500 Index posted a return of 17.91% while developed non-U.S. markets, as measured by the MSCI EAFE Index (Net),⁸ returned 2.74%. Meanwhile, emerging market stocks, as measured by the MSCI EM Index (Net),⁹ posted a return of -0.81%.

Longer-duration U.S. government bond prices fell during the period amid a sharp rise in yields. For the 12-month period, the yield on 30-year U.S. Treasury bonds rose by 0.35% from 2.86% to 3.21% while yields on 10-year U.S. Treasury notes rose by 0.73% from 2.33% to 3.06%. The Bloomberg Barclays U.S. Treasury Index¹⁰, a broad measure of U.S. Treasury notes and bonds, lost 1.62% during the 12-month period, while the Bloomberg Barclays 20+ Year U.S. Treasury Index¹¹ lost 3.52%.

Ten largest holdings (%) as of September 30, 201812
Apple Incorporated	2.56
Microsoft Corporation	2.16
Amazon.com Incorporated	2.03
Berkshire Hathaway Incorporated Class B	1.03
Facebook Incorporated Class A	0.98
JPMorgan Chase & Company	0.94
Johnson & Johnson	0.91
Alphabet Incorporated Class C	0.91
Alphabet Incorporated Class A	0.89
Exxon Mobil Corporation	0.89

Tactical asset allocation shifts and duration management contributed positively to performance during the 12-month period.

The Fund’s stock holdings seek to replicate the holdings of the S&P 500 Index; its bond holdings seek to replicate the holdings of the Bloomberg Barclays U.S. Treasury Index. The Fund’s neutral target allocation is 60% stocks and 40% bonds. As of fiscal year-end, the Fund had an effective target allocation of 63.75% stocks and 36.25% bonds.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Index Asset Allocation Fund 9

Sector distribution as of September 30, 2018¹³

Neutral target allocation

Current target allocation as of September 30, 2018¹⁴

During the period, the portfolio management team implemented tactical shifts between stocks and bonds in order to adjust the Fund’s effective allocations based on the relative attractiveness of the two asset classes. The Fund began the period with a neutral equity allocation and a short position in 10-year U.S. Treasury futures, which we accomplished by taking a short position in a 10-year U.S. Treasury futures contract that tracks the performance of the lowest-cost-to-deliver bond with a maturity of 6.5 years to 10 years. The short reduced the Fund’s effective exposure to bonds. Relative to its benchmark, the Fund also maintained a lower duration within its underlying

bond allocation. As yields proceeded to climb higher in January and April 2018, the team decided to lock in some profits by paring back its short exposure. The team also initiated a long exposure to S&P 500 Index futures amid the equity market sell-off toward the end of January and early February. Then, as markets rebounded, the team trimmed half of its long exposure to S&P 500 futures in order to capture some gains.

The Fund’s effective allocation is determined by a combination of inputs from multiple quantitative and qualitative factors. As of the close of the period, relative to its benchmark, the Fund maintained an overweight to stocks and an underweight to bonds. All of the changes to the effective asset allocation were implemented with liquid futures contracts.

Management team is focused on the long term.

We see increased volatility ahead. President Donald J. Trump had some success in negotiating trade agreements with Canada and Mexico, but uncertainty surrounding China-related trade remains. The mid-term U.S. election, Brexit, oil prices, and dollar movements, all could influence markets over the short run. That being said, we encourage investors to focus on the long-term. In the U.S., economic growth is strong, unemployment is low, and inflation appears in check. The U.S. Federal Reserve (Fed) has indicated that future rate increases will be dependent upon economic data. The Fed has done a respectable job of guiding the economy and, at this point, we are not worried it will prematurely smother growth.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,069.69	$	5.58		1.07	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.68	$	5.44		1.07	%
Class C
Actual	$	1,000.00	$	1,065.81	$	9.45		1.82	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.92	$	9.22		1.82	%
Administrator Class
Actual	$	1,000.00	$	1,070.59	$	4.67		0.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.56	$	4.56		0.90	%
Institutional Class
Actual	$	1,000.00	$	1,071.28	$	3.87		0.74	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.33	$	3.77		0.74	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Index Asset Allocation Fund 11

Security name	Interest rate			Maturity date		Principal		Value
Agency Securities: 0.01%
FNMA Series 2002-T1 Class A4		9.50	%		11-25-2031	$	44,094	$	50,275
Total Agency Securities (Cost $44,094)									50,275
						Shares
Common Stocks: 60.65%
Communication Services: 6.08%
Diversified Telecommunication Services: 1.20%
AT&T Incorporated							234,952		7,889,688
CenturyLink Incorporated							30,752		651,942
Verizon Communications Incorporated							133,683		7,137,335
									15,678,965
Entertainment: 1.32%
Activision Blizzard Incorporated							24,666		2,051,965
Electronic Arts Incorporated †							9,861		1,188,152
Netflix Incorporated †							14,088		5,270,743
Take-Two Interactive Software Incorporated †							3,682		508,079
The Walt Disney Company							48,117		5,626,802
Twenty-First Century Fox Incorporated Class A							34,102		1,579,946
Twenty-First Century Fox Incorporated Class B							15,759		722,077
Viacom Incorporated Class B							11,434		386,012
									17,333,776
Interactive Media & Services: 2.84%
Alphabet Incorporated Class A †							9,670		11,672,464
Alphabet Incorporated Class C †							9,961		11,888,155
Facebook Incorporated Class A †							78,026		12,832,156
TripAdvisor Incorporated †							3,309		168,991
Twitter Incorporated †							23,293		662,919
									37,224,685
Media: 0.72%
CBS Corporation Class B							10,952		629,192
Charter Communications Incorporated Class A †							5,776		1,882,283
Comcast Corporation Class A							147,936		5,238,414
Discovery Communications Incorporated Class A Ǡ							5,055		161,760
Discovery Communications Incorporated Class C †							11,636		344,193
DISH Network Corporation Class A †							7,411		265,017
Interpublic Group of Companies Incorporated							12,416		283,954
News Corporation Class A							12,404		163,609
News Corporation Class B							4,004		54,454
Omnicom Group Incorporated							7,259		493,757
									9,516,633

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

12 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Consumer Discretionary: 6.25%
Auto Components: 0.09%
Aptiv plc		8,565	$	718,604
BorgWarner Incorporated		6,757		289,064
The Goodyear Tire & Rubber Company		7,668		179,355
				1,187,023
Automobiles: 0.22%
Ford Motor Company		126,660		1,171,605
General Motors Company		42,452		1,429,359
Harley-Davidson Incorporated		5,388		244,076
				2,845,040
Distributors: 0.06%
Genuine Parts Company		4,747		471,852
LKQ Corporation †		10,291		325,916
				797,768
Diversified Consumer Services: 0.01%
H&R Block Incorporated		6,649		171,212
Hotels, Restaurants & Leisure: 1.01%
Carnival Corporation		13,047		832,007
Chipotle Mexican Grill Incorporated †		791		359,525
Darden Restaurants Incorporated		4,014		446,317
Hilton Worldwide Holdings Incorporated		9,647		779,285
Marriott International Incorporated Class A		9,317		1,230,124
McDonald’s Corporation		25,099		4,198,812
MGM Resorts International		16,532		461,408
Norwegian Cruise Line Holdings Limited †		6,592		378,579
Royal Caribbean Cruises Limited		5,543		720,257
Starbucks Corporation		43,648		2,480,952
Wynn Resorts Limited		3,163		401,891
Yum! Brands Incorporated		10,267		933,373
				13,222,530
Household Durables: 0.19%
D.R. Horton Incorporated		11,101		468,240
Garmin Limited		3,909		273,825
Leggett & Platt Incorporated		4,211		184,400
Lennar Corporation Class A		9,438		440,660
Mohawk Industries Incorporated †		2,051		359,643
Newell Rubbermaid Incorporated		14,064		285,499
Pulte Group Incorporated		8,453		209,381
Whirlpool Corporation		2,088		247,950
				2,469,598

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 13

Security name	Shares		Value
Internet & Direct Marketing Retail: 2.37%
Amazon.com Incorporated †		13,255	$	26,549,765
Booking Holdings Incorporated †		1,535		3,045,440
eBay Incorporated †		30,094		993,704
Expedia Incorporated		3,846		501,826
				31,090,735
Leisure Products: 0.04%
Hasbro Incorporated		3,778		397,143
Mattel Incorporated Ǡ		11,134		174,804
				571,947
Multiline Retail: 0.31%
Dollar General Corporation		8,590		938,887
Dollar Tree Incorporated †		7,696		627,609
Kohl’s Corporation		5,393		402,048
Macy’s Incorporated		9,931		344,904
Nordstrom Incorporated		3,708		221,775
Target Corporation		17,029		1,502,128
				4,037,351
Specialty Retail: 1.46%
Advance Auto Parts Incorporated		2,396		403,319
AutoZone Incorporated †		855		663,224
Best Buy Company Incorporated		7,864		624,087
CarMax Incorporated †		5,712		426,515
Foot Locker Incorporated		3,782		192,806
L Brands Incorporated		7,386		223,796
Lowe’s Companies Incorporated		26,238		3,012,647
O’Reilly Automotive Incorporated †		2,606		905,116
Ross Stores Incorporated		12,182		1,207,236
The Gap Incorporated		7,020		202,527
The Home Depot Incorporated		37,017		7,668,072
The TJX Companies Incorporated		20,288		2,272,662
Tiffany & Company		3,524		454,490
Tractor Supply Company		3,940		358,067
ULTA Beauty Incorporated †		1,837		518,254
				19,132,818
Textiles, Apparel & Luxury Goods: 0.49%
HanesBrands Incorporated		11,663		214,949
Michael Kors Holdings Limited †		4,831		331,213
Nike Incorporated Class B		41,428		3,509,780
PVH Corporation		2,482		358,401
Ralph Lauren Corporation		1,787		245,802
Tapestry Incorporated		9,319		468,466
Under Armour Incorporated Class A †		6,019		127,723
Under Armour Incorporated Class C Ǡ		6,171		120,088
VF Corporation		10,518		982,907
				6,359,329

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

14 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Consumer Staples: 4.07%
Beverages: 1.02%
Brown-Forman Corporation Class B		5,452	$	275,599
Constellation Brands Incorporated Class A		5,431		1,171,032
Molson Coors Brewing Company Class B		6,055		372,383
Monster Beverage Corporation †		12,870		750,064
PepsiCo Incorporated		45,758		5,115,744
The Coca-Cola Company		123,837		5,720,031
				13,404,853
Food & Staples Retailing: 0.88%
Costco Wholesale Corporation		14,188		3,332,477
Sysco Corporation		15,471		1,133,251
The Kroger Company		25,775		750,310
Wal-Mart Stores Incorporated		46,430		4,360,241
Walgreens Boots Alliance Incorporated		27,291		1,989,514
				11,565,793
Food Products: 0.64%
Archer Daniels Midland Company		18,109		910,339
Campbell Soup Company		6,225		228,022
ConAgra Foods Incorporated		12,671		430,434
General Mills Incorporated		19,281		827,541
Hormel Foods Corporation «		8,796		346,562
Kellogg Company		8,187		573,254
McCormick & Company Incorporated		3,923		516,855
Mondelez International Incorporated Class A		47,448		2,038,366
The Hershey Company		4,522		461,244
The J.M. Smucker Company		3,679		377,502
The Kraft Heinz Company		20,118		1,108,703
Tyson Foods Incorporated Class A		9,574		569,940
				8,388,762
Household Products: 0.84%
Church & Dwight Company Incorporated		7,939		471,338
Colgate-Palmolive Company		28,074		1,879,554
Kimberly-Clark Corporation		11,248		1,278,223
The Clorox Company		4,144		623,299
The Procter & Gamble Company		80,533		6,702,762
				10,955,176
Personal Products: 0.10%
Coty Incorporated Class A		14,574		183,049
The Estee Lauder Companies Incorporated Class A		7,251		1,053,715
				1,236,764
Tobacco: 0.59%
Altria Group Incorporated		60,992		3,678,428
Philip Morris International Incorporated		50,293		4,100,891
				7,779,319

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 15

Security name	Shares		Value
Energy: 3.64%
Energy Equipment & Services: 0.42%
Baker Hughes Incorporated		13,472	$	455,758
Halliburton Company		28,467		1,153,768
Helmerich & Payne Incorporated		3,524		242,345
National Oilwell Varco Incorporated		12,379		533,287
Schlumberger Limited		44,781		2,728,059
TechnipFMC plc		13,822		431,938
				5,545,155
Oil, Gas & Consumable Fuels: 3.22%
Anadarko Petroleum Corporation		16,567		1,116,781
Andeavor Corporation		4,498		690,443
Apache Corporation		12,374		589,869
Cabot Oil & Gas Corporation		14,273		321,428
Chevron Corporation		61,994		7,580,626
Cimarex Energy Company		3,085		286,720
Concho Resources Incorporated †		6,479		989,667
ConocoPhillips		37,598		2,910,085
Devon Energy Corporation		16,461		657,452
EOG Resources Incorporated		18,739		2,390,534
EQT Corporation		8,541		377,768
Exxon Mobil Corporation		136,979		11,645,955
Hess Corporation		8,144		582,948
HollyFrontier Corporation		5,243		366,486
Kinder Morgan Incorporated		61,403		1,088,675
Marathon Oil Corporation		27,634		643,320
Marathon Petroleum Corporation		14,591		1,166,842
Newfield Exploration Company †		6,466		186,415
Noble Energy Incorporated		15,630		487,500
Occidental Petroleum Corporation		24,741		2,032,968
ONEOK Incorporated		13,305		901,946
Phillips 66 Company		13,818		1,557,565
Pioneer Natural Resources Company		5,513		960,309
The Williams Companies Incorporated		39,127		1,063,863
Valero Energy Corporation		13,827		1,572,821
				42,168,986
Financials: 8.07%
Banks: 3.55%
Bank of America Corporation		300,535		8,853,761
BB&T Corporation		25,056		1,216,218
Citigroup Incorporated		81,421		5,841,143
Citizens Financial Group Incorporated		15,398		593,901
Comerica Incorporated		5,545		500,159
Fifth Third Bancorp		21,558		601,899
Huntington Bancshares Incorporated		35,725		533,017
JPMorgan Chase & Company		108,736		12,269,770
KeyCorp		34,037		676,996

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

16 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Banks (continued)
M&T Bank Corporation		4,652	$	765,440
People’s United Financial Incorporated		11,286		193,216
PNC Financial Services Group Incorporated		15,021		2,045,710
Regions Financial Corporation		35,668		654,508
SunTrust Banks Incorporated		14,906		995,572
SVB Financial Group †		1,721		534,938
US Bancorp		49,543		2,616,366
Wells Fargo & Company (l)		140,237		7,370,857
Zions Bancorporation		6,289		315,393
				46,578,864
Capital Markets: 1.66%
Affiliated Managers Group Incorporated		1,728		236,252
Ameriprise Financial Incorporated		4,589		677,612
Bank of New York Mellon Corporation		29,763		1,517,615
BlackRock Incorporated		3,975		1,873,537
CBOE Holdings Incorporated		3,617		347,087
CME Group Incorporated		11,019		1,875,544
E*TRADE Financial Corporation †		8,401		440,128
Franklin Resources Incorporated		9,890		300,755
Intercontinental Exchange Incorporated		18,552		1,389,359
Invesco Limited		13,292		304,121
Moody’s Corporation		5,401		903,047
Morgan Stanley		42,902		1,997,946
MSCI Incorporated		2,874		509,876
Northern Trust Corporation		7,223		737,685
Raymond James Financial Incorporated		4,248		391,028
S&P Global Incorporated		8,136		1,589,693
State Street Corporation		12,275		1,028,400
T. Rowe Price Group Incorporated		7,868		859,028
The Charles Schwab Corporation		38,903		1,912,082
The Goldman Sachs Group Incorporated		11,360		2,547,366
The NASDAQ OMX Group Incorporated		3,725		319,605
				21,757,766
Consumer Finance: 0.41%
American Express Company		22,843		2,432,551
Capital One Financial Corporation		15,478		1,469,327
Discover Financial Services		11,086		847,525
Synchrony Financial		22,046		685,190
				5,434,593
Diversified Financial Services: 1.05%
Berkshire Hathaway Incorporated Class B †		63,071		13,504,132
Jefferies Financial Group Incorporated		9,382		206,029
				13,710,161

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 17

Security name	Shares		Value
Insurance: 1.40%
AFLAC Incorporated		24,841	$	1,169,266
American International Group Incorporated		28,744		1,530,331
Aon plc		7,850		1,207,173
Arthur J. Gallagher & Company		5,908		439,792
Assurant Incorporated		1,707		184,271
Brighthouse Financial Incorporated †		3,875		171,430
Chubb Limited		14,988		2,002,996
Cincinnati Financial Corporation		4,894		375,908
Everest Reinsurance Group Limited		1,321		301,809
Lincoln National Corporation		7,010		474,297
Loews Corporation		8,996		451,869
Marsh & McLennan Companies Incorporated		16,337		1,351,397
MetLife Incorporated		32,186		1,503,730
Principal Financial Group Incorporated		8,567		501,941
Prudential Financial Incorporated		13,491		1,366,908
The Allstate Corporation		11,201		1,105,539
The Hartford Financial Services Group Incorporated		11,596		579,336
The Progressive Corporation		18,865		1,340,170
The Travelers Companies Incorporated		8,660		1,123,289
Torchmark Corporation		3,354		290,758
Unum Group		7,075		276,420
Willis Towers Watson plc		4,230		596,176
				18,344,806
Health Care: 9.13%
Biotechnology: 1.57%
AbbVie Incorporated		48,992		4,633,663
Alexion Pharmaceuticals Incorporated †		7,210		1,002,262
Amgen Incorporated		20,941		4,340,860
Biogen Incorporated †		6,517		2,302,521
Celgene Corporation †		22,756		2,036,434
Gilead Sciences Incorporated		41,941		3,238,265
Incyte Corporation †		5,708		394,309
Regeneron Pharmaceuticals Incorporated †		2,506		1,012,524
Vertex Pharmaceuticals Incorporated †		8,268		1,593,574
				20,554,412
Health Care Equipment & Supplies: 1.98%
Abbott Laboratories		56,758		4,163,767
ABIOMED Incorporated †		1,451		652,587
Align Technology Incorporated †		2,364		924,844
Baxter International Incorporated		16,075		1,239,222
Becton Dickinson & Company		8,656		2,259,216
Boston Scientific Corporation †		44,742		1,722,567
Danaher Corporation		19,922		2,164,725
Dentsply Sirona Incorporated		7,193		271,464
Edwards Lifesciences Corporation †		6,774		1,179,353
Hologic Incorporated †		8,804		360,788
IDEXX Laboratories Incorporated †		2,801		699,298

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

18 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Health Care Equipment & Supplies (continued)
Intuitive Surgical Incorporated †		3,680	$	2,112,320
Medtronic plc		43,693		4,298,080
ResMed Incorporated		4,618		532,640
Stryker Corporation		10,042		1,784,263
The Cooper Companies Incorporated		1,589		440,391
Varian Medical Systems Incorporated †		2,961		331,425
Zimmer Biomet Holdings Incorporated		6,583		865,467
				26,002,417
Health Care Providers & Services: 2.07%
Aetna Incorporated		10,582		2,146,559
AmerisourceBergen Corporation		5,179		477,607
Anthem Incorporated		8,410		2,304,761
Cardinal Health Incorporated		9,991		539,514
Centene Corporation †		6,640		961,339
Cigna Corporation		7,873		1,639,552
CVS Health Corporation		32,938		2,592,879
DaVita HealthCare Partners Incorporated †		4,103		293,898
Envision Healthcare Corporation †		3,918		179,170
Express Scripts Holding Company †		18,190		1,728,232
HCA Holdings Incorporated		8,732		1,214,796
Henry Schein Incorporated †		4,953		421,154
Humana Incorporated		4,457		1,508,784
Laboratory Corporation of America Holdings †		3,296		572,449
McKesson Corporation		6,463		857,317
Quest Diagnostics Incorporated		4,421		477,070
UnitedHealth Group Incorporated		31,139		8,284,220
Universal Health Services Incorporated Class B		2,785		356,034
WellCare Health Plans Incorporated †		1,616		517,912
				27,073,247
Health Care Technology: 0.05%
Cerner Corporation †		10,644		685,580
Life Sciences Tools & Services: 0.59%
Agilent Technologies Incorporated		10,313		727,479
Illumina Incorporated †		4,755		1,745,370
IQVIA Holdings Incorporated †		5,243		680,227
Mettler-Toledo International Incorporated †		815		496,319
PerkinElmer Incorporated		3,582		348,421
Thermo Fisher Scientific Incorporated		13,031		3,180,606
Waters Corporation †		2,493		485,337
				7,663,759
Pharmaceuticals: 2.87%
Allergan plc		10,323		1,966,325
Bristol-Myers Squibb Company		52,797		3,277,638
Eli Lilly & Company		30,925		3,318,562
Johnson & Johnson		86,796		11,992,603

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 19

Security name	Shares		Value
Pharmaceuticals (continued)
Merck & Company Incorporated		86,045	$	6,104,032
Mylan NV †		16,680		610,488
Nektar Therapeutics †		5,580		340,157
Perrigo Company plc		4,072		288,298
Pfizer Incorporated		189,660		8,358,316
Zoetis Incorporated		15,588		1,427,237
				37,683,656
Industrials: 5.89%
Aerospace & Defense: 1.67%
Arconic Incorporated		13,906		306,071
General Dynamics Corporation		9,010		1,844,527
Harris Corporation		3,801		643,167
Huntington Ingalls Industries Incorporated		1,401		358,768
L-3 Technologies Incorporated		2,534		538,779
Lockheed Martin Corporation		8,015		2,772,869
Northrop Grumman Corporation		5,633		1,787,745
Raytheon Company		9,229		1,907,265
Rockwell Collins Incorporated		5,317		746,879
Textron Incorporated		8,037		574,404
The Boeing Company		17,286		6,428,663
TransDigm Group Incorporated †		1,566		583,022
United Technologies Corporation		24,332		3,401,857
				21,894,016
Air Freight & Logistics: 0.41%
C.H. Robinson Worldwide Incorporated		4,482		438,877
Expeditors International of Washington Incorporated		5,640		414,709
FedEx Corporation		7,871		1,895,258
United Parcel Service Incorporated Class B		22,433		2,619,053
				5,367,897
Airlines: 0.28%
Alaska Air Group Incorporated		3,984		274,338
American Airlines Group Incorporated		13,260		548,036
Delta Air Lines Incorporated		20,354		1,177,072
Southwest Airlines Company		16,685		1,041,978
United Continental Holdings Incorporated †		7,408		659,756
				3,701,180
Building Products: 0.17%
A.O. Smith Corporation		4,676		249,558
Allegion plc		3,073		278,322
Fortune Brands Home & Security Incorporated		4,607		241,223
Johnson Controls International plc		29,924		1,047,340
Masco Corporation		9,948		364,097
				2,180,540

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

20 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Commercial Services & Supplies: 0.21%
Cintas Corporation		2,785	$	550,901
Copart Incorporated †		6,613		340,768
Republic Services Incorporated		7,052		512,398
Stericycle Incorporated †		2,778		163,013
Waste Management Incorporated		12,760		1,152,994
				2,720,074
Construction & Engineering: 0.06%
Fluor Corporation		4,549		264,297
Jacobs Engineering Group Incorporated		3,856		294,984
Quanta Services Incorporated †		4,814		160,691
				719,972
Electrical Equipment: 0.31%
AMETEK Incorporated		7,502		593,558
Eaton Corporation plc		14,018		1,215,781
Emerson Electric Company		20,333		1,557,101
Rockwell Automation Incorporated		3,984		747,080
				4,113,520
Industrial Conglomerates: 0.93%
3M Company		18,979		3,999,065
General Electric Company		281,188		3,174,613
Honeywell International Incorporated		24,026		3,997,926
Roper Industries Incorporated		3,343		990,230
				12,161,834
Machinery: 0.93%
Caterpillar Incorporated		19,228		2,932,078
Cummins Incorporated		4,861		710,046
Deere & Company		10,407		1,564,484
Dover Corporation		4,778		422,996
Flowserve Corporation		4,233		231,503
Fortive Corporation		9,951		837,874
Illinois Tool Works Incorporated		9,981		1,408,519
Ingersoll-Rand plc		7,936		811,853
Paccar Incorporated		11,341		773,343
Parker-Hannifin Corporation		4,282		787,588
Pentair plc		5,220		226,287
Snap-on Incorporated		1,824		334,886
Stanley Black & Decker Incorporated		4,950		724,878
Xylem Incorporated		5,811		464,125
				12,230,460
Professional Services: 0.18%
Equifax Incorporated		3,895		508,570
IHS Markit Limited †		11,541		622,752
Nielsen Holdings plc		11,525		318,782

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 21

Security name	Shares		Value
Professional Services (continued)
Robert Half International Incorporated		3,961	$	278,775
Verisk Analytics Incorporated †		5,328		642,290
				2,371,169
Road & Rail: 0.63%
CSX Corporation		26,396		1,954,624
J.B. Hunt Transport Services Incorporated		2,830		336,600
Kansas City Southern		3,305		374,390
Norfolk Southern Corporation		9,059		1,635,150
Union Pacific Corporation		23,925		3,895,708
				8,196,472
Trading Companies & Distributors: 0.11%
Fastenal Company		9,283		538,600
United Rentals Incorporated †		2,677		437,957
W.W. Grainger Incorporated		1,471		525,750
				1,502,307
Information Technology: 12.73%
Communications Equipment: 0.69%
Arista Networks Incorporated †		1,670		443,986
Cisco Systems Incorporated		147,899		7,195,286
F5 Networks Incorporated †		1,967		392,259
Juniper Networks Incorporated		11,155		334,315
Motorola Solutions Incorporated		5,249		683,105
				9,048,951
Electronic Equipment, Instruments & Components: 0.25%
Amphenol Corporation Class A		9,717		913,592
Corning Incorporated		26,206		925,072
FLIR Systems Incorporated		4,465		274,464
IPG Photonics Corporation †		1,165		181,822
TE Connectivity Limited		11,273		991,235
				3,286,185
IT Services: 2.93%
Accenture plc Class A		20,730		3,528,246
Akamai Technologies Incorporated †		5,484		401,155
Alliance Data Systems Corporation		1,528		360,852
Automatic Data Processing Incorporated		14,173		2,135,304
Broadridge Financial Solutions Incorporated		3,763		496,528
Cognizant Technology Solutions Corporation Class A		18,772		1,448,260
DXC Technology Company		9,096		850,658
Fidelity National Information Services Incorporated		10,638		1,160,287
Fiserv Incorporated †		13,100		1,079,178
FleetCor Technologies Incorporated †		2,859		651,395
Gartner Incorporated †		2,938		465,673
Global Payments Incorporated		5,117		651,906

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

22 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
IT Services (continued)
International Business Machines Corporation		29,531	$	4,465,383
MasterCard Incorporated Class A		29,516		6,570,557
Paychex Incorporated		10,357		762,793
PayPal Holdings Incorporated †		38,296		3,363,921
The Western Union Company		14,470		275,798
Total System Services Incorporated		5,429		536,059
VeriSign Incorporated †		3,471		555,777
Visa Incorporated Class A		57,481		8,627,323
				38,387,053
Semiconductors & Semiconductor Equipment: 2.36%
Advanced Micro Devices Incorporated †		27,755		857,352
Analog Devices Incorporated		12,024		1,111,739
Applied Materials Incorporated		31,803		1,229,186
Broadcom Incorporated		13,966		3,445,831
Intel Corporation		149,182		7,054,817
KLA-Tencor Corporation		5,051		513,737
Lam Research Corporation		5,098		773,367
Microchip Technology Incorporated «		7,621		601,373
Micron Technology Incorporated †		37,524		1,697,211
NVIDIA Corporation		19,671		5,527,944
Qorvo Incorporated †		4,065		312,558
QUALCOMM Incorporated		45,502		3,277,509
Skyworks Solutions Incorporated		5,790		525,211
Texas Instruments Incorporated		31,454		3,374,700
Xilinx Incorporated		8,182		655,951
				30,958,486
Software: 3.64%
Adobe Systems Incorporated †		15,842		4,276,548
Ansys Incorporated †		2,727		509,076
Autodesk Incorporated †		7,073		1,104,166
CA Incorporated		10,147		447,990
Cadence Design Systems Incorporated †		9,149		414,633
Citrix Systems Incorporated †		4,169		463,426
Intuit Incorporated		8,368		1,902,883
Microsoft Corporation		248,094		28,374,505
Oracle Corporation		91,451		4,715,214
Red Hat Incorporated †		5,738		781,975
Salesforce.com Incorporated †		24,482		3,893,372
Symantec Corporation		20,109		427,920
Synopsys Incorporated †		4,807		474,018
				47,785,726
Technology Hardware, Storage & Peripherals: 2.86%
Apple Incorporated		148,452		33,511,554
Hewlett Packard Enterprise Company		47,613		776,568
HP Incorporated		51,196		1,319,321
NetApp Incorporated		8,388		720,445

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 23

Security name	Shares		Value
Technology Hardware, Storage & Peripherals (continued)
Seagate Technology plc		8,455	$	400,344
Western Digital Corporation		9,426		551,798
Xerox Corporation		7,180		193,716
				37,473,746
Materials: 1.47%
Chemicals: 1.08%
Air Products & Chemicals Incorporated		7,094		1,185,053
Albemarle Corporation		3,508		350,028
CF Industries Holdings Incorporated		7,553		411,185
DowDuPont Incorporated		74,652		4,800,870
Eastman Chemical Company		4,570		437,440
Ecolab Incorporated		8,225		1,289,516
FMC Corporation		4,355		379,669
International Flavors & Fragrances Incorporated		2,557		355,730
LyondellBasell Industries NV Class A		10,328		1,058,723
PPG Industries Incorporated		7,830		854,488
Praxair Incorporated		9,304		1,495,432
The Mosaic Company		11,473		372,643
The Sherwin-Williams Company		2,658		1,209,948
				14,200,725
Construction Materials: 0.06%
Martin Marietta Materials Incorporated		2,038		370,814
Vulcan Materials Company		4,279		475,825
				846,639
Containers & Packaging: 0.19%
Avery Dennison Corporation		2,828		306,414
Ball Corporation		11,126		489,433
International Paper Company		13,228		650,156
Packaging Corporation of America		3,057		335,322
Sealed Air Corporation		5,138		206,291
WestRock Company		8,253		441,040
				2,428,656
Metals & Mining: 0.14%
Freeport-McMoRan Incorporated		46,880		652,570
Newmont Mining Corporation		17,257		521,161
Nucor Corporation		10,234		649,347
				1,823,078
Real Estate: 1.61%
Equity REITs: 1.58%
Alexandria Real Estate Equities Incorporated		3,421		430,328
American Tower Corporation		14,262		2,072,269
Apartment Investment & Management Company Class A		5,090		224,622
AvalonBay Communities Incorporated		4,471		809,922

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

24 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Equity REITs (continued)
Boston Properties Incorporated		4,996	$	614,958
Crown Castle International Corporation		13,421		1,494,160
Digital Realty Trust Incorporated		6,667		749,904
Duke Realty Corporation		11,558		327,900
Equinix Incorporated		2,572		1,113,393
Equity Residential		11,915		789,488
Essex Property Trust Incorporated		2,136		526,973
Extra Space Storage Incorporated		4,092		354,531
Federal Realty Investment Trust		2,377		300,619
HCP Incorporated		15,200		400,064
Host Hotels & Resorts Incorporated		23,995		506,295
Iron Mountain Incorporated		9,257		319,552
Kimco Realty Corporation		13,633		228,216
Mid-America Apartment Communities Incorporated		3,682		368,863
Prologis Incorporated		20,367		1,380,679
Public Storage Incorporated		4,848		977,502
Realty Income Corporation		9,383		533,799
Regency Centers Corporation		5,481		354,456
SBA Communications Corporation †		3,715		596,740
Simon Property Group Incorporated		10,004		1,768,207
SL Green Realty Corporation		2,800		273,084
The Macerich Company		3,422		189,202
UDR Incorporated		8,660		350,124
Ventas Incorporated		11,532		627,110
Vornado Realty Trust		5,600		408,800
Welltower Incorporated		12,036		774,156
Weyerhaeuser Company		24,513		791,035
				20,656,951
Real Estate Management & Development: 0.03%
CBRE Group Incorporated Class A †		10,224		450,878
Utilities: 1.71%
Electric Utilities: 1.07%
Alliant Energy Corporation		7,563		321,957
American Electric Power Company Incorporated		15,948		1,130,394
Duke Energy Corporation		23,047		1,844,221
Edison International		10,541		713,415
Entergy Corporation		5,851		474,692
Evergy Incorporated		8,790		482,747
Eversource Energy		10,252		629,883
Exelon Corporation		31,250		1,364,375
FirstEnergy Corporation		15,724		584,461
NextEra Energy Incorporated		15,258		2,557,241
PG&E Corporation		16,731		769,793
Pinnacle West Capital Corporation		3,622		286,790
PPL Corporation		22,633		662,242
The Southern Company		32,811		1,430,560
Xcel Energy Incorporated		16,470		777,549
				14,030,320

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 25

Security name						Shares		Value
Independent Power & Renewable Electricity Producers: 0.05%
AES Corporation							21,407	$	299,698
NRG Energy Incorporated							9,817		367,156
									666,854
Multi-Utilities: 0.55%
Ameren Corporation							7,895		499,122
CenterPoint Energy Incorporated							13,962		386,049
CMS Energy Corporation							9,164		449,036
Consolidated Edison Incorporated							10,065		766,852
Dominion Energy Incorporated							21,151		1,486,492
DTE Energy Company							5,881		641,794
NiSource Incorporated							11,745		292,685
Public Service Enterprise Group Incorporated							16,349		863,064
SCANA Corporation							4,614		179,438
Sempra Energy							8,847		1,006,346
WEC Energy Group Incorporated							10,208		681,486
									7,252,364
Water Utilities: 0.04%
American Water Works Company Incorporated							5,839		513,657
Total Common Stocks (Cost $342,831,527)									795,143,189
	Interest rate			Maturity date		Principal
Non-Agency Mortgage-Backed Securities: 0.00%
Citigroup Mortgage Loan Trust Incorporated Series 2004-HYB4 Class AA (1 Month LIBOR +0.33%) ±		2.55	%		12-25-2034	$	11,269		10,813
Total Non-Agency Mortgage-Backed Securities (Cost $11,269)									10,813
U.S. Treasury Securities: 37.46%
U.S. Treasury Bond		2.13			9-30-2024		1,844,000		1,757,130
U.S. Treasury Bond		2.13			11-30-2024		1,852,000		1,761,787
U.S. Treasury Bond		2.25			8-15-2046		2,681,000		2,212,768
U.S. Treasury Bond		2.50			2-15-2045		2,860,000		2,503,952
U.S. Treasury Bond		2.50			2-15-2046		2,659,000		2,319,562
U.S. Treasury Bond		2.50			5-15-2046		2,643,000		2,303,746
U.S. Treasury Bond		2.75			8-15-2042		1,340,000		1,240,756
U.S. Treasury Bond		2.75			11-15-2042		1,781,000		1,647,495
U.S. Treasury Bond		2.75			8-15-2047		2,582,000		2,363,438
U.S. Treasury Bond		2.75			11-15-2047		2,602,000		2,380,525
U.S. Treasury Bond		2.88			5-15-2043		2,534,000		2,395,026
U.S. Treasury Bond		2.88			8-15-2045		2,862,000		2,693,634
U.S. Treasury Bond		2.88			11-15-2046		2,645,000		2,486,507
U.S. Treasury Bond		3.00			5-15-2042		904,000		875,432
U.S. Treasury Bond		3.00			11-15-2044		2,772,000		2,674,655
U.S. Treasury Bond		3.00			5-15-2045		2,864,000		2,762,418
U.S. Treasury Bond		3.00			11-15-2045		2,835,000		2,733,117
U.S. Treasury Bond		3.00			2-15-2047		2,651,000		2,553,348
U.S. Treasury Bond		3.00			5-15-2047		2,626,000		2,527,935

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

26 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
U.S. Treasury Securities (continued)
U.S. Treasury Bond		3.00	%		2-15-2048	$	2,812,000	$	2,705,012
U.S. Treasury Bond		3.13			11-15-2041		846,000		837,441
U.S. Treasury Bond		3.13			2-15-2042		1,066,000		1,054,965
U.S. Treasury Bond		3.13			2-15-2043		1,783,000		1,760,991
U.S. Treasury Bond		3.13			8-15-2044		2,827,000		2,790,006
U.S. Treasury Bond		3.38			5-15-2044		2,936,000		3,025,456
U.S. Treasury Bond		3.50			2-15-2039		731,000		770,006
U.S. Treasury Bond		3.63			8-15-2043		2,200,000		2,359,586
U.S. Treasury Bond		3.63			2-15-2044		2,898,000		3,111,388
U.S. Treasury Bond		3.75			8-15-2041		929,000		1,013,771
U.S. Treasury Bond		3.75			11-15-2043		2,870,000		3,141,529
U.S. Treasury Bond		3.88			8-15-2040		946,000		1,050,208
U.S. Treasury Bond		4.25			5-15-2039		681,000		793,924
U.S. Treasury Bond		4.25			11-15-2040		977,000		1,142,976
U.S. Treasury Bond		4.38			2-15-2038		381,000		449,595
U.S. Treasury Bond		4.38			11-15-2039		757,000		897,991
U.S. Treasury Bond		4.38			5-15-2040		1,078,000		1,280,546
U.S. Treasury Bond		4.38			5-15-2041		842,000		1,003,526
U.S. Treasury Bond		4.50			2-15-2036		837,000		993,153
U.S. Treasury Bond		4.50			5-15-2038		428,000		513,516
U.S. Treasury Bond		4.50			8-15-2039		721,000		868,411
U.S. Treasury Bond		4.63			2-15-2040		1,276,000		1,564,296
U.S. Treasury Bond		4.75			2-15-2037		264,000		324,235
U.S. Treasury Bond		4.75			2-15-2041		1,084,000		1,356,186
U.S. Treasury Bond		5.00			5-15-2037		375,000		474,551
U.S. Treasury Bond		5.25			11-15-2028		479,000		569,842
U.S. Treasury Bond		5.25			2-15-2029		349,000		416,687
U.S. Treasury Bond		5.38			2-15-2031		752,000		929,337
U.S. Treasury Bond		5.50			8-15-2028		369,000		445,495
U.S. Treasury Bond		6.13			11-15-2027		525,000		653,276
U.S. Treasury Bond		6.13			8-15-2029		293,000		375,589
U.S. Treasury Bond		6.25			5-15-2030		478,000		626,068
U.S. Treasury Bond		6.38			8-15-2027		224,000		281,829
U.S. Treasury Bond		6.88			8-15-2025		224,000		277,655
U.S. Treasury Note		0.75			7-15-2019		1,583,000		1,560,863
U.S. Treasury Note		0.75			8-15-2019		1,584,000		1,558,755
U.S. Treasury Note		0.88			5-15-2019		1,466,000		1,451,569
U.S. Treasury Note		0.88			6-15-2019		1,485,000		1,468,178
U.S. Treasury Note		0.88			7-31-2019		811,000		799,659
U.S. Treasury Note		0.88			9-15-2019		1,550,000		1,524,389
U.S. Treasury Note		1.00			6-30-2019		622,000		615,075
U.S. Treasury Note		1.00			8-31-2019		1,842,000		1,814,874
U.S. Treasury Note		1.00			9-30-2019		1,695,000		1,667,589
U.S. Treasury Note		1.00			10-15-2019		1,596,000		1,568,880
U.S. Treasury Note		1.00			11-15-2019		1,433,000		1,406,467
U.S. Treasury Note		1.00			11-30-2019		1,985,000		1,946,618
U.S. Treasury Note		1.13			5-31-2019		690,000		683,774
U.S. Treasury Note		1.13			12-31-2019		1,247,000		1,222,888
U.S. Treasury Note		1.13			3-31-2020		1,987,000		1,939,498
U.S. Treasury Note		1.13			4-30-2020		1,330,000		1,296,179

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 27

Security name	Interest rate			Maturity date		Principal		Value
U.S. Treasury Securities (continued)
U.S. Treasury Note		1.13	%		2-28-2021	$	3,264,000	$	3,132,803
U.S. Treasury Note		1.13			6-30-2021		3,343,000		3,189,692
U.S. Treasury Note		1.13			7-31-2021		2,232,000		2,126,067
U.S. Treasury Note		1.13			8-31-2021		2,233,000		2,123,880
U.S. Treasury Note		1.13			9-30-2021		2,188,000		2,078,173
U.S. Treasury Note		1.25			5-31-2019		1,787,000		1,772,411
U.S. Treasury Note		1.25			6-30-2019		1,790,000		1,773,009
U.S. Treasury Note		1.25			8-31-2019		1,790,000		1,767,765
U.S. Treasury Note		1.25			10-31-2019		804,000		791,783
U.S. Treasury Note		1.25			1-31-2020		3,442,000		3,375,446
U.S. Treasury Note		1.25			2-29-2020		1,745,000		1,708,873
U.S. Treasury Note		1.25			3-31-2021		3,250,000		3,124,824
U.S. Treasury Note		1.25			10-31-2021		2,188,000		2,082,873
U.S. Treasury Note		1.25			7-31-2023		1,829,000		1,690,039
U.S. Treasury Note		1.38			7-31-2019		1,787,000		1,769,339
U.S. Treasury Note		1.38			9-30-2019		1,739,000		1,717,127
U.S. Treasury Note		1.38			12-15-2019		1,651,000		1,625,203
U.S. Treasury Note		1.38			1-15-2020		1,638,000		1,610,167
U.S. Treasury Note		1.38			1-31-2020		2,293,000		2,252,693
U.S. Treasury Note		1.38			2-15-2020		1,667,000		1,636,460
U.S. Treasury Note		1.38			2-29-2020		3,442,000		3,376,521
U.S. Treasury Note		1.38			3-31-2020		3,442,000		3,372,084
U.S. Treasury Note		1.38			4-30-2020		3,442,000		3,367,513
U.S. Treasury Note		1.38			5-31-2020		1,380,000		1,348,357
U.S. Treasury Note		1.38			8-31-2020		3,350,000		3,260,361
U.S. Treasury Note		1.38			9-15-2020		1,598,000		1,554,430
U.S. Treasury Note		1.38			9-30-2020		3,356,000		3,262,268
U.S. Treasury Note		1.38			10-31-2020		3,178,000		3,084,522
U.S. Treasury Note		1.38			1-31-2021		3,192,000		3,085,766
U.S. Treasury Note		1.38			4-30-2021		3,245,000		3,125,467
U.S. Treasury Note		1.38			5-31-2021		3,248,000		3,124,170
U.S. Treasury Note		1.38			6-30-2023		1,733,000		1,613,315
U.S. Treasury Note		1.38			8-31-2023		1,817,000		1,686,829
U.S. Treasury Note		1.38			9-30-2023		1,778,000		1,648,539
U.S. Treasury Note		1.50			5-31-2019		2,387,000		2,371,335
U.S. Treasury Note		1.50			10-31-2019		3,442,000		3,398,841
U.S. Treasury Note		1.50			11-30-2019		3,133,000		3,090,044
U.S. Treasury Note		1.50			4-15-2020		1,675,000		1,643,136
U.S. Treasury Note		1.50			5-15-2020		1,678,000		1,644,047
U.S. Treasury Note		1.50			5-31-2020		3,442,000		3,370,068
U.S. Treasury Note		1.50			6-15-2020		1,680,000		1,644,103
U.S. Treasury Note		1.50			7-15-2020		1,683,000		1,644,804
U.S. Treasury Note		1.50			8-15-2020		1,684,000		1,644,071
U.S. Treasury Note		1.50			1-31-2022		1,625,000		1,552,891
U.S. Treasury Note		1.50			2-28-2023		1,635,000		1,537,986
U.S. Treasury Note		1.50			3-31-2023		1,679,000		1,577,735
U.S. Treasury Note		1.50			8-15-2026		4,143,000		3,700,055
U.S. Treasury Note		1.63			6-30-2019		2,157,000		2,142,845
U.S. Treasury Note		1.63			7-31-2019		2,128,000		2,111,043
U.S. Treasury Note		1.63			8-31-2019		3,442,000		3,410,941

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

28 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
U.S. Treasury Securities (continued)
U.S. Treasury Note		1.63	%		12-31-2019	$	3,442,000	$	3,396,151
U.S. Treasury Note		1.63			3-15-2020		1,667,000		1,640,432
U.S. Treasury Note		1.63			6-30-2020		3,442,000		3,373,160
U.S. Treasury Note		1.63			7-31-2020		3,213,000		3,145,226
U.S. Treasury Note		1.63			10-15-2020		1,591,000		1,553,152
U.S. Treasury Note		1.63			11-30-2020		2,166,000		2,110,835
U.S. Treasury Note		1.63			8-15-2022		1,250,000		1,190,674
U.S. Treasury Note		1.63			8-31-2022		2,373,000		2,259,448
U.S. Treasury Note		1.63			11-15-2022		2,108,000		2,001,365
U.S. Treasury Note		1.63			4-30-2023		1,711,000		1,614,957
U.S. Treasury Note		1.63			5-31-2023		1,714,000		1,616,315
U.S. Treasury Note		1.63			10-31-2023		1,824,000		1,710,214
U.S. Treasury Note		1.63			2-15-2026		4,269,000		3,874,785
U.S. Treasury Note		1.63			5-15-2026		4,111,000		3,719,652
U.S. Treasury Note		1.75			9-30-2019		3,441,000		3,410,354
U.S. Treasury Note		1.75			11-30-2019		1,732,000		1,713,327
U.S. Treasury Note		1.75			10-31-2020		1,585,000		1,550,390
U.S. Treasury Note		1.75			11-15-2020		1,588,000		1,552,580
U.S. Treasury Note		1.75			12-31-2020		3,353,000		3,273,628
U.S. Treasury Note		1.75			11-30-2021		2,003,000		1,933,990
U.S. Treasury Note		1.75			2-28-2022		1,637,000		1,575,868
U.S. Treasury Note		1.75			3-31-2022		1,640,000		1,577,091
U.S. Treasury Note		1.75			4-30-2022		1,612,000		1,548,528
U.S. Treasury Note		1.75			5-15-2022		1,448,000		1,390,306
U.S. Treasury Note		1.75			5-31-2022		2,343,000		2,248,548
U.S. Treasury Note		1.75			6-30-2022		2,347,000		2,250,461
U.S. Treasury Note		1.75			9-30-2022		1,771,000		1,692,550
U.S. Treasury Note		1.75			1-31-2023		1,684,000		1,602,892
U.S. Treasury Note		1.75			5-15-2023		3,117,000		2,956,767
U.S. Treasury Note		1.88			12-31-2019		1,762,000		1,743,967
U.S. Treasury Note		1.88			6-30-2020		1,888,000		1,858,279
U.S. Treasury Note		1.88			12-15-2020		1,619,000		1,585,798
U.S. Treasury Note		1.88			11-30-2021		1,649,000		1,598,821
U.S. Treasury Note		1.88			1-31-2022		2,358,000		2,281,181
U.S. Treasury Note		1.88			2-28-2022		2,348,000		2,269,764
U.S. Treasury Note		1.88			3-31-2022		2,371,000		2,289,960
U.S. Treasury Note		1.88			4-30-2022		2,376,000		2,292,654
U.S. Treasury Note		1.88			5-31-2022		1,795,000		1,730,422
U.S. Treasury Note		1.88			7-31-2022		2,337,000		2,248,723
U.S. Treasury Note		1.88			8-31-2022		1,754,000		1,686,033
U.S. Treasury Note		1.88			9-30-2022		2,248,000		2,159,046
U.S. Treasury Note		1.88			10-31-2022		1,650,000		1,583,355
U.S. Treasury Note		1.88			8-31-2024		1,968,000		1,850,535
U.S. Treasury Note		2.00			1-31-2020		1,760,000		1,743,363
U.S. Treasury Note		2.00			7-31-2020		1,306,000		1,287,328
U.S. Treasury Note		2.00			9-30-2020		2,093,000		2,059,561
U.S. Treasury Note		2.00			11-30-2020		2,266,000		2,225,902
U.S. Treasury Note		2.00			1-15-2021		1,617,000		1,586,492
U.S. Treasury Note		2.00			2-28-2021		2,421,000		2,372,675
U.S. Treasury Note		2.00			5-31-2021		1,559,000		1,524,410

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 29

Security name	Interest rate			Maturity date		Principal		Value
U.S. Treasury Securities (continued)
U.S. Treasury Note		2.00	%		8-31-2021	$	1,641,000	$	1,601,001
U.S. Treasury Note		2.00			10-31-2021		1,649,000		1,606,036
U.S. Treasury Note		2.00			11-15-2021		2,485,000		2,419,380
U.S. Treasury Note		2.00			12-31-2021		2,300,000		2,236,121
U.S. Treasury Note		2.00			2-15-2022		1,679,000		1,630,532
U.S. Treasury Note		2.00			7-31-2022		1,778,000		1,718,895
U.S. Treasury Note		2.00			10-31-2022		2,238,000		2,158,096
U.S. Treasury Note		2.00			11-30-2022		4,261,000		4,105,873
U.S. Treasury Note		2.00			2-15-2023		3,077,000		2,958,848
U.S. Treasury Note		2.00			4-30-2024		1,930,000		1,833,802
U.S. Treasury Note		2.00			5-31-2024		1,934,000		1,836,091
U.S. Treasury Note		2.00			6-30-2024		1,939,000		1,839,323
U.S. Treasury Note		2.00			2-15-2025		4,486,000		4,225,251
U.S. Treasury Note		2.00			8-15-2025		4,495,000		4,212,833
U.S. Treasury Note		2.00			11-15-2026		4,255,000		3,937,703
U.S. Treasury Note		2.13			8-31-2020		1,477,000		1,457,903
U.S. Treasury Note		2.13			1-31-2021		1,409,000		1,385,884
U.S. Treasury Note		2.13			6-30-2021		1,516,000		1,486,213
U.S. Treasury Note		2.13			8-15-2021		2,440,000		2,389,389
U.S. Treasury Note		2.13			9-30-2021		1,633,000		1,597,470
U.S. Treasury Note		2.13			12-31-2021		1,626,000		1,587,319
U.S. Treasury Note		2.13			6-30-2022		1,615,000		1,569,641
U.S. Treasury Note		2.13			12-31-2022		4,298,000		4,158,819
U.S. Treasury Note		2.13			11-30-2023		1,638,000		1,573,056
U.S. Treasury Note		2.13			2-29-2024		1,960,000		1,877,772
U.S. Treasury Note		2.13			3-31-2024		1,961,000		1,877,351
U.S. Treasury Note		2.13			7-31-2024		1,927,000		1,838,930
U.S. Treasury Note		2.13			5-15-2025		4,466,000		4,229,790
U.S. Treasury Note		2.25			2-29-2020		1,913,000		1,899,848
U.S. Treasury Note		2.25			2-15-2021		1,767,000		1,742,428
U.S. Treasury Note		2.25			3-31-2021		1,440,000		1,418,906
U.S. Treasury Note		2.25			4-30-2021		1,514,000		1,490,994
U.S. Treasury Note		2.25			7-31-2021		2,618,000		2,573,208
U.S. Treasury Note		2.25			12-31-2023		1,886,000		1,821,169
U.S. Treasury Note		2.25			1-31-2024		1,914,000		1,846,711
U.S. Treasury Note		2.25			10-31-2024		1,882,000		1,804,882
U.S. Treasury Note		2.25			11-15-2024		4,492,000		4,305,301
U.S. Treasury Note		2.25			12-31-2024		1,911,000		1,830,230
U.S. Treasury Note		2.25			11-15-2025		4,512,000		4,289,220
U.S. Treasury Note		2.25			2-15-2027		4,295,000		4,043,508
U.S. Treasury Note		2.25			8-15-2027		4,252,000		3,988,077
U.S. Treasury Note		2.25			11-15-2027		4,284,000		4,010,226
U.S. Treasury Note		2.38			12-31-2020		1,317,000		1,303,521
U.S. Treasury Note		2.38			1-31-2023		2,325,000		2,271,870
U.S. Treasury Note		2.38			8-15-2024		4,465,000		4,317,969
U.S. Treasury Note		2.38			5-15-2027		4,355,000		4,135,379
U.S. Treasury Note		2.50			8-15-2023		2,662,000		2,608,136
U.S. Treasury Note		2.50			5-15-2024		4,360,000		4,253,044
U.S. Treasury Note		2.50			1-31-2025		1,936,000		1,880,567
U.S. Treasury Note		2.63			8-15-2020		3,367,000		3,355,163

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

30 Wells Fargo Index Asset Allocation Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
U.S. Treasury Securities (continued)
U.S. Treasury Note		2.63	%		11-15-2020	$	5,315,000	$	5,290,916
U.S. Treasury Note		2.63			2-28-2023		2,359,000		2,329,052
U.S. Treasury Note		2.75			11-15-2023		3,936,000		3,898,639
U.S. Treasury Note		2.75			2-15-2024		3,410,000		3,374,168
U.S. Treasury Note		2.75			2-28-2025		1,955,000		1,927,050
U.S. Treasury Note		2.75			2-15-2028		3,068,000		2,992,139
U.S. Treasury Note		3.13			5-15-2019		1,768,000		1,775,045
U.S. Treasury Note		3.13			5-15-2021		1,657,000		1,667,680
U.S. Treasury Note		3.38			11-15-2019		3,180,000		3,203,229
U.S. Treasury Note		3.50			5-15-2020		2,864,000		2,895,773
U.S. Treasury Note		3.63			8-15-2019		1,545,000		1,558,096
U.S. Treasury Note		3.63			2-15-2020		2,648,000		2,678,928
U.S. Treasury Note		3.63			2-15-2021		2,765,000		2,812,847
U.S. Treasury Note		6.00			2-15-2026		445,000		532,679
U.S. Treasury Note		6.25			8-15-2023		378,000		434,597
U.S. Treasury Note		6.50			11-15-2026		296,000		369,977
U.S. Treasury Note		6.63			2-15-2027		215,000		272,160
U.S. Treasury Note		6.75			8-15-2026		221,000		278,710
U.S. Treasury Note		7.13			2-15-2023		260,000		304,434
U.S. Treasury Note		7.25			8-15-2022		261,000		302,169
U.S. Treasury Note		7.50			11-15-2024		240,000		300,309
U.S. Treasury Note		7.63			11-15-2022		140,000		165,419
U.S. Treasury Note		7.63			2-15-2025		216,000		273,746
U.S. Treasury Note		7.88			2-15-2021		180,000		200,630
U.S. Treasury Note		8.00			11-15-2021		511,000		588,628
U.S. Treasury Note		8.13			8-15-2019		307,000		321,463
U.S. Treasury Note		8.13			5-15-2021		181,000		204,820
U.S. Treasury Note		8.13			8-15-2021		175,000		200,204
U.S. Treasury Note		8.50			2-15-2020		162,000		174,498
U.S. Treasury Note		8.75			5-15-2020		130,000		142,396
U.S. Treasury Note		8.75			8-15-2020		288,000		318,938
Total U.S. Treasury Securities (Cost $505,846,521)									491,111,176
	Yield					Shares
Short-Term Investments: 1.62%
Investment Companies: 1.25%
Securities Lending Cash Investment LLC (l)(r)(u)		2.17					1,344,731		1,344,865
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99					15,043,298		15,043,298
									16,388,163
						Principal
U.S. Treasury Securities: 0.37%
U.S. Treasury Bill (z)#		1.48			10-4-2018	$	4,833,000		4,832,181
Total Short-Term Investments (Cost $21,220,274)									21,220,344

Total investments in securities (Cost $869,953,685)	99.74	%		1,307,535,797
Other assets and liabilities, net	0.26			3,449,297
Total net assets	100.00	%	$	1,310,985,094

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

Portfolio of investments—September 30, 2018 Wells Fargo Index Asset Allocation Fund 31

† Non-income-earning security

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

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

± Variable rate investment. The rate shown is the rate in effect at period end.

(r) The investment is a non-registered investment company purchased with cash collateral received from securities on loan.

(u) The rate represents the 7-day annualized yield at period end.

(z) Zero coupon security. The rate represents the current yield to maturity.

# All or a portion of this security is segregated as collateral for investments in derivative instruments.

Abbreviations:

FNMA Federal National Mortgage Association

LIBOR London Interbank Offered Rate

REIT Real estate investment trust

Futures Contracts

Description	Number of contracts		Expiration date		Notional cost			Notional value			Unrealized gains		Unrealized losses
Long
S&P 500 E-Mini Index		342		12-21-2018	$	49,783,931		$	49,914,900		$	130,969	$	0
5-Year U.S. Treasury Notes		133		12-31-2018		15,061,092			14,959,383			0		(101,709	)
Short
10-Year U.S. Treasury Notes		(404)		12-19-2018		(48,639,794	)		(47,987,625	)		652,169		0
											$	783,138	$	(101,709	)

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)			Net change in unrealized gains (losses)			Income from affiliated securities		Value, end of period		% of net assets
Common Stocks
Financials
Banks
Wells Fargo & Company		164,057		557		24,377		140,237	$	139,020		$	(454,294	)	$	240,255	$	7,370,857		0.56	%
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC		3,363,101		45,962,761		47,981,131		1,344,731		(32	)		0			17,507		1,344,865
Wells Fargo Government Money Market Fund Select Class		7,658,402		150,826,493		143,441,597		15,043,298		0			0			133,357		15,043,298
																		16,388,163		1.25
									$	138,988		$	(454,294	)	$	391,119	$	23,759,020		1.81	%

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

32 Wells Fargo Index Asset Allocation Fund Statement of assets and liabilities—September 30, 2018

Assets
Investments in unaffiliated securities (including $1,314,331 of securities loaned), at value (cost $849,247,917)	$	1,283,776,777
Investments in affiliated securities, at value (cost $20,705,768)		23,759,020
Cash		5,345
Receivable for Fund shares sold		2,511,350
Receivable for dividends and interest		3,529,174
Receivable for daily variation margin on open futures contracts		7,273
Prepaid expenses and other assets		694,757
Total assets		1,314,283,696
Liabilities
Payable upon receipt of securities loaned		1,344,940
Payable for Fund shares redeemed		784,587
Management fee payable		570,354
Shareholder servicing fees payable		247,039
Administration fees payable		204,825
Distribution fee payable		94,771
Payable for daily variation margin on open futures contracts		28,015
Accrued expenses and other liabilities		24,071
Total liabilities		3,298,602
Total net assets	$	1,310,985,094
NET ASSETS CONSIST OF
Paid-in capital	$	860,391,602
Total distributable earnings		450,593,492
Total net assets	$	1,310,985,094
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	830,486,623
Shares outstanding – Class A1		23,981,252
Net asset value per share – Class A		$34.63
Maximum offering price per share – Class A2		$36.74
Net assets – Class C	$	153,321,684
Shares outstanding – Class C1		7,277,320
Net asset value per share – Class C		$21.07
Net assets – Administrator Class	$	216,610,687
Shares outstanding – Administrator Class1		6,253,615
Net asset value per share – Administrator Class		$34.64
Net assets – Institutional Class	$	110,566,100
Shares outstanding – Institutional Class1		3,196,139
Net asset value per share – Institutional Class		$34.59

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—year ended September 30, 2018 Wells Fargo Index Asset Allocation Fund 33

Investment income
Dividends	$	14,759,975
Interest		9,080,329
Income from affiliated securities		391,119
Total investment income		24,231,423
Expenses
Management fee		7,873,489
Administration fees
Class A		1,723,662
Class C		319,223
Administrator Class		299,633
Institutional Class		119,944
Shareholder servicing fees
Class A		2,051,978
Class C		380,027
Administrator Class		575,190
Distribution fee
Class C		1,140,083
Custody and accounting fees		47,149
Professional fees		7,263
Registration fees		39,375
Shareholder report expenses		39,641
Trustees’ fees and expenses		20,953
Other fees and expenses		19,760
Total expenses		14,657,370
Less: Fee waivers and/or expense reimbursements		(320,574	)
Net expenses		14,336,796
Net investment income		9,894,627
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on:
Unaffiliated securities		28,052,392
Affiliated securities		138,988
Futures contracts		11,468,568
Net realized gains on investments		39,659,948
Net change in unrealized gains (losses) on:
Unaffiliated securities		72,275,835
Affiliated securities		(454,294	)
Futures contracts		(711,119	)
Net change in unrealized gains (losses) on investments		71,110,422
Net realized and unrealized gains (losses) on investments		110,770,370
Net increase in net assets resulting from operations	$	120,664,997

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

34 Wells Fargo Index Asset Allocation Fund Statement of changes in net assets

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	9,894,627					$	9,170,811
Net realized gains on investments					39,659,948						9,899,963
Net change in unrealized gains (losses) on investments					71,110,422						98,492,964
Net increase in net assets resulting from operations					120,664,997						117,563,738
Distributions to shareholders
Class A					(11,409,252	)					(14,691,583	)
Class C					(919,168	)					(1,347,408	)
Administrator Class					(3,520,207	)					(4,396,823	)
Institutional Class					(1,662,226	)					(761,432	)2
Total distributions to shareholders					(17,510,853	)					(21,197,246	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		868,341			29,002,760			2,073,618			63,158,800
Class C		1,103,845			22,374,800			2,328,600			43,112,461
Administrator Class		1,794,727			59,667,463			4,249,283			130,093,840
Institutional Class		2,309,266			76,336,619			2,337,480	2		71,528,209	2
					187,381,642						307,893,310
Reinvestment of distributions
Class A		335,827			11,110,101			472,960			14,326,956
Class C		41,176			823,476			62,398			1,135,663
Administrator Class		105,701			3,497,234			127,144			3,867,648
Institutional Class		33,425			1,106,808			24,813	2		761,237	2
					16,537,619						20,091,504
Payment for shares redeemed
Class A		(2,943,621	)		(97,771,815	)		(4,807,553	)		(146,972,158	)
Class B		N/A			N/A			(11,694	)3		(213,027	)3
Class C		(1,723,765	)		(34,885,653	)		(2,145,127	)		(40,093,776	)
Administrator Class		(4,039,923	)		(133,486,696	)		(2,967,092	)		(90,263,946	)
Institutional Class		(1,057,098	)		(35,104,912	)		(451,747	)2		(14,069,406	)2
					(301,249,076	)					(291,612,313	)
Net increase (decrease) in net assets resulting from capital share transactions					(97,329,815	)					36,372,501
Total increase in net assets					5,824,329						132,738,993
Net assets
Beginning of period					1,305,160,765						1,172,421,772
End of period				$	1,310,985,094					$	1,305,160,765

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Undistributed net investment income at September 30, 2017 was $79,910. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 8, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from October 31, 2016 (commencement of class operations) to September 30, 2017

³  For the period from October 1, 2016 to December 5, 2016. Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund.

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

Financial highlights Wells Fargo Index Asset Allocation Fund 35

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$31.99			$29.61			$28.72			$28.20			$24.48
Net investment income		0.27			0.25			0.22			0.27			0.38
Net realized and unrealized gains (losses) on investments		2.83			2.67			2.45			0.76			3.72
Total from investment operations		3.10			2.92			2.67			1.03			4.10
Distributions to shareholders from
Net investment income		(0.27	)		(0.27	)		(0.21	)		(0.22	)		(0.38	)
Net realized gains		(0.19	)		(0.27	)		(1.57	)		(0.29	)		0.00
Total distributions to shareholders		(0.46	)		(0.54	)		(1.78	)		(0.51	)		(0.38	)
Net asset value, end of period		$34.63			$31.99			$29.61			$28.72			$28.20
Total return1		9.76	%		9.99	%		9.68	%		3.62	%		16.83	%
Ratios to average net assets (annualized)
Gross expenses		1.08	%		1.09	%		1.10	%		1.22	%		1.20	%
Net expenses		1.07	%		1.09	%		1.10	%		1.15	%		1.15	%
Net investment income		0.80	%		0.79	%		0.79	%		0.90	%		1.42	%
Supplemental data
Portfolio turnover rate		9	%		9	%		8	%		43	%		9	%
Net assets, end of period (000s omitted)		$830,487			$822,769			$828,421			$736,276			$708,873

¹  Total return calculations do not include any sales charges.

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

36 Wells Fargo Index Asset Allocation Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$19.45			$17.99			$17.47			$17.20			$14.94
Net investment income		0.01			0.01			0.01	1		0.05			0.11
Net realized and unrealized gains (losses) on investments		1.73			1.62			1.48			0.45			2.27
Total from investment operations		1.74			1.63			1.49			0.50			2.38
Distributions to shareholders from
Net investment income		(0.00	)2		(0.01	)		(0.02	)		(0.05	)		(0.12	)
Net realized gains		(0.12	)		(0.16	)		(0.95	)		(0.18	)		0.00
Total distributions to shareholders		(0.12	)		(0.17	)		(0.97	)		(0.23	)		(0.12	)
Net asset value, end of period		$21.07			$19.45			$17.99			$17.47			$17.20
Total return3		8.97	%		9.14	%		8.86	%		2.86	%		15.96	%
Ratios to average net assets (annualized)
Gross expenses		1.83	%		1.84	%		1.85	%		1.98	%		1.95	%
Net expenses		1.82	%		1.84	%		1.85	%		1.90	%		1.90	%
Net investment income		0.05	%		0.04	%		0.03	%		0.10	%		0.67	%
Supplemental data
Portfolio turnover rate		9	%		9	%		8	%		43	%		9	%
Net assets, end of period (000s omitted)		$153,322			$152,820			$136,881			$62,019			$24,093

¹  Calculated based upon average shares outstanding

²  Amount is less than $0.005.

³  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Index Asset Allocation Fund 37

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$31.99			$29.63			$28.75			$28.21			$24.49
Net investment income		0.32			0.30			0.28			0.35			0.45
Net realized and unrealized gains (losses) on investments		2.84			2.68			2.45			0.76			3.72
Total from investment operations		3.16			2.98			2.73			1.11			4.17
Distributions to shareholders from
Net investment income		(0.32	)		(0.35	)		(0.28	)		(0.28	)		(0.45	)
Net realized gains		(0.19	)		(0.27	)		(1.57	)		(0.29	)		0.00
Total distributions to shareholders		(0.51	)		(0.62	)		(1.85	)		(0.57	)		(0.45	)
Net asset value, end of period		$34.64			$31.99			$29.63			$28.75			$28.21
Total return		9.94	%		10.20	%		9.91	%		3.89	%		17.12	%
Ratios to average net assets (annualized)
Gross expenses		1.00	%		0.99	%		1.02	%		1.09	%		1.04	%
Net expenses		0.90	%		0.90	%		0.90	%		0.90	%		0.90	%
Net investment income		0.97	%		0.96	%		0.98	%		1.12	%		1.68	%
Supplemental data
Portfolio turnover rate		9	%		9	%		8	%		43	%		9	%
Net assets, end of period (000s omitted)		$216,611			$268,512			$206,908			$85,380			$59,783

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

38 Wells Fargo Index Asset Allocation Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			20171
Net asset value, beginning of period		$31.96			$29.27
Net investment income		0.39			0.35
Net realized and unrealized gains (losses) on investments		2.81			3.03
Total from investment operations		3.20			3.38
Distributions to shareholders from
Net investment income		(0.38	)		(0.42	)
Net realized gains		(0.19	)		(0.27	)
Total distributions to shareholders		(0.57	)		(0.69	)
Net asset value, end of period		$34.59			$31.96
Total return2		10.11	%		11.70	%
Ratios to average net assets (annualized)
Gross expenses		0.75	%		0.74	%
Net expenses		0.74	%		0.74	%
Net investment income		1.13	%		1.08	%
Supplemental data
Portfolio turnover rate		9	%		9	%
Net assets, end of period (000s omitted)		$110,566			$61,060

¹  For the period from October 31, 2016 (commencement of class operations) to September 30, 2017

²  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 Wells Fargo Index Asset Allocation Fund 39

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo Index Asset Allocation Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through December 5, 2016.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities and futures contracts that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Debt securities are valued at the evaluated bid price provided by an independent pricing service or, if a reliable price is not available, the quoted bid price from an independent broker-dealer.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”).

40 Wells Fargo Index Asset Allocation Fund Notes to financial statements

The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities on the Statement of Operations.

Futures contracts

The Fund is subject to interest rate risk and equity price risk in the normal course of pursuing its investment objectives. Futures contracts are agreements between the Fund and a counterparty to buy or sell a specific amount of a commodity, financial instrument or currency at specified price and on a specified date. The Fund may buy and sell futures contracts in order to gain exposure to, or protect against, changes in interest rates and security values. 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 generally entered into on a regulated futures exchange and cleared through a clearinghouse associated with the exchange. With futures contracts, there is minimal counterparty risk to the Fund since futures contracts are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded futures, guarantees the futures contracts against default.

Upon entering into a futures contracts, the Fund is required to deposit either cash or securities (initial margin) with the broker in an amount equal to a certain percentage of the contract value. Subsequent payments (variation margin) are paid to or from the broker each day equal to the daily changes in the contract value. Such payments are recorded as unrealized gains or losses and, if any, shown as variation margin receivable (payable) in the Statement of Assets and Liabilities. Should the Fund fail to make requested variation margin payments, the broker can gain access to the initial margin to satisfy the Fund’s payment obligations. When the contracts are closed, a realized gain or loss is recorded in 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.

Interest income is accrued daily and bond discounts are accreted and premiums are amortized daily. 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 been determined to be doubtful based on consistently applied procedures and the fair value has decreased. 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.

Distributions to shareholders

Distributions to shareholders are recorded on the ex-dividend date and paid from net investment income quarterly and any net realized gains are paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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.

Notes to financial statements Wells Fargo Index Asset Allocation Fund 41

As of September 30, 2018, the aggregate cost of all investments for federal income tax purposes was $893,756,860 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	440,128,763
Gross unrealized losses		(25,668,397	)
Net unrealized gains	$	414,460,366

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

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

42 Wells Fargo Index Asset Allocation Fund Notes to financial statements

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

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Agency securities	$	0	$	50,275	$	0	$	50,275
Common stocks
Communication services		79,754,059		0		0		79,754,059
Consumer discretionary		81,885,351		0		0		81,885,351
Consumer staples		53,330,667		0		0		53,330,667
Energy		47,714,141		0		0		47,714,141
Financials		105,826,190		0		0		105,826,190
Health care		119,663,071		0		0		119,663,071
Industrials		77,159,441		0		0		77,159,441
Information technology		166,940,147		0		0		166,940,147
Materials		19,299,098		0		0		19,299,098
Real estate		21,107,829		0		0		21,107,829
Utilities		22,463,195		0		0		22,463,195
Non-agency mortgage-backed securities		0		10,813		0		10,813
U.S. Treasury securities		491,111,176		0		0		491,111,176
Short-term investments
Investment companies		15,043,298		1,344,865		0		16,388,163
U.S. Treasury securities		4,832,181		0				4,832,181
		1,306,129,844		1,405,953		0		1,307,535,797
Futures contracts		783,138		0		0		783,138
Total assets	$	1,306,912,982	$	1,405,953	$	0	$	1,308,318,935
Liabilities
Futures contracts	$	101,709	$	0	$	0	$	101,709
Total liabilities	$	101,709	$	0	$	0	$	101,709

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

Future contracts are reported at the cumulative unrealized gains (losses) at measurement date as reported in the table following the Portfolio of Investments. For futures contracts the current day’s variation margin is reported on the Statement of Assets and Liabilities. All other assets and liabilities are reported at their market value at measurement date.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.65% and declining to 0.48% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.61% of the Fund’s average daily net assets.

Notes to financial statements Wells Fargo Index Asset Allocation Fund 43

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 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Administrator Class, Institutional Class		0.13

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 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 C shares, 0.90% for Administrator Class shares, and 0.75% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Prior to February 1, 2018, the Fund’s expenses were capped at 1.15% for Class A shares and 1.90% for Class C shares.

Distribution fee

The Trust has adopted a distribution plan for Class C of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $47,946 from the sale of Class A shares and $683 in contingent deferred sales charges from redemptions of Class C shares, respectively. No contingent deferred sales charges were incurred by Class A shares for the year ended September 30, 2018.

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 are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

44 Wells Fargo Index Asset Allocation Fund Notes to financial statements

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding short-term securities, for the year ended September 30, 2018 were as follows:

Purchases at cost		Sales proceeds
U.S. government	Non-U.S. government	U.S. government	Non-U.S. government
$93,992,939	$22,342,698	$92,013,040	$126,986,205

6. DERIVATIVE TRANSACTIONS

During the year ended September 30, 2018, the Fund entered into futures contracts to manage the duration of the portfolio and to gain market exposure to certain asset classes by implementing tactical asset allocation shifts. The Fund had an average notional amount of $71,780,465 and $92,167,317 in long and short futures contracts, respectively, during the year ended September 30, 2018.

A summary of the location of derivative instruments on the financial statements by primary risk exposure is outlined following tables.

The fair value of derivative instruments as of September 30, 2018 was as follows for the Fund:

	Asset derivatives				Liability derivatives
	Statement of Assets and Liabilities location	Fair value			Statement of Assets and Liabilities location	Fair value
Equity risk	Unrealized gains on futures contracts	$	130,969	*	Unrealized losses on futures contracts	$	0	*
Interest rate risk	Unrealized gains on futures contracts		652,169	*	Unrealized losses on futures contracts		101,709	*
		$	783,138			$	101,709

* Amount represents cumulative unrealized gains (losses) as reported in the table following the Portfolio of Investments.

Only the current day’s variation margin as of September 30, 2018 is reported separately on the Statement of Assets and Liabilities.

The effect of derivative instruments on the Statement of Operations for the year ended September 30, 2018 was as follows for the Fund:

	Amount of realized gains on derivatives		Change in unrealized gains (losses) on derivatives
Equity risk	$	5,458,653	$	108,412
Interest rate risk		6,009,915		(819,531	)
	$	11,468,568	$	(711,119	)

7. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

Notes to financial statements Wells Fargo Index Asset Allocation Fund 45

8. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	12,497,380	$	16,158,411
Long-term capital gain		5,013,473		5,038,835

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$4,271,127	$31,861,999	$414,460,366

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net investment income			Net realized gains
Class A		$7,312,513			$7,379,070
Class C		70,275			1,277,133
Administrator Class		2,579,847			1,816,976
Institutional Class		568,243	*		193,189	*

* For the period from October 31, 2016 (commencement of class operations) to September 30, 2017

9. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 PRONOUNCEMENTS

In August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

In March 2017, FASB issued ASU No. 2017-08, Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium. The amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 is effective for fiscal years beginning after December 15, 2018 and for interim periods within those fiscal years. Management is currently evaluating the potential impact of this new guidance to the financial statements.

46 Wells Fargo Index Asset Allocation Fund Report of independent registered public accounting firm

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Index Asset Allocation Fund (the “Fund”), one of the funds constituting Wells Fargo Funds Trust, including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years or periods in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

Other information (unaudited) Wells Fargo Index Asset Allocation Fund 47

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 96.74% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 852 of the Internal Revenue Code, $5,013,473 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $12,497,380 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $3,708,971 has been designated as interest-related dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

For the fiscal year ended September 30, 2018, $2,734,388 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

For the fiscal year ended September 30, 2018, 98.50% of the ordinary income distributed was derived from interest on U.S. government securities.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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.

48 Wells Fargo Index Asset Allocation Fund Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

Other information (unaudited) Wells Fargo Index Asset Allocation Fund 49

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

50 Wells Fargo Index Asset Allocation Fund Other information (unaudited)

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. Manager of Fund Reporting and Control for Evergreen Investment Management Company, LLC from 2004 to 2010.

¹ Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

Other information (unaudited) Wells Fargo Index Asset Allocation Fund 51

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Index Asset Allocation Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Index Asset Allocation Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

52 Wells Fargo Index Asset Allocation Fund Other information (unaudited)

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Administrative Class) was higher than or in range of the average investment performance of the Universe for all periods under review. The Board also noted that the investment performance of the Fund was lower than its benchmark index, the Index Asset Allocation Blended Index, for all periods under review other than the five-year period.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge 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 for each share class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were lower than or in range of the sum of these average rates for the Fund’s expense Groups for all share classes.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

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 with investment strategies similar to those of the Fund. 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 institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Other information (unaudited) Wells Fargo Index Asset Allocation Fund 53

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

54 Wells Fargo Index Asset Allocation Fund Appendix A (unaudited)

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

Appendix A (unaudited) Wells Fargo Index Asset Allocation Fund 55

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

56 Wells Fargo Index Asset Allocation Fund Appendix A (unaudited)

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317286 11-18 A227/AR227 09-18

Annual Report

September 30, 2018

Wells Fargo International Bond Fund

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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	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	17
Statement of operations	18
Statement of changes in net assets	19
Financial highlights	20
Notes to financial statements	25
Report of independent registered public accounting firm	32
Other information	33
Appendix A	40

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo International Bond Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo International Bond Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo International Bond Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo International Bond Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo International Bond Fund Performance highlights (unaudited)

Investment objective

The Fund seeks total return, consisting of income and capital appreciation.

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Fargo Asset Management (International), LLC

Portfolio managers

Michael Lee

Alex Perrin

Lauren van Biljon, CFA^®‡

Peter Wilson

Average annual total returns (%) as of September 30, 2018¹

		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 (ESIYX)	9-30-2003		(10.28	)		(2.19	)		1.87		(6.01	)		(1.29	)		2.35		1.03		1.03
Class C (ESIVX)	9-30-2003		(7.80	)		(2.04	)		1.58		(6.80	)		(2.04	)		1.58		1.78		1.78
Class R6 (ESIRX)	11-30-2012		–			–			–		(5.65	)		(0.92	)		2.71		0.65		0.65
Administrator Class (ESIDX)	7-30-2010		–			–			–		(5.89	)		(1.11	)		2.52		0.97		0.85
Institutional Class (ESICX)	12-15-1993		–			–			–		(5.75	)		(0.97	)		2.67		0.70		0.70
Bloomberg Barclays Global Aggregate ex-USD Index4	–		–			–			���		(1.45	)		(0.33	)		2.20		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 4.50%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including a contingent deferred sales charge assumes the sales charge for the corresponding time period. Class R6, Administrator Class, and Institutional Class shares are sold without a front-end sales charge or contingent deferred sales charge.

Bond values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. Changes in market conditions and government policies may lead to periods of heightened volatility in the bond market and reduced liquidity for certain bonds held by the Fund. In general, when interest rates rise, bond values fall and investors may lose principal value. Interest rate changes and their impact on the fund and its share price can be sudden and unpredictable. Foreign investments are especially volatile and can rise or fall dramatically due to differences in the political and economic conditions of the host country. These risks are generally intensified in emerging markets. The use of derivatives may reduce returns and/or increase volatility. Securities issued by U.S. government agencies or government-sponsored entities may not be guaranteed by the U.S. Treasury. 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 and geographic risk. Consult the Fund’s prospectus for additional information on these and other risks.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo International Bond Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

^‡ Ms. van Biljon became a portfolio manager of the Fund on October 3, 2018.

¹  Historical performance shown for Class R6 shares prior to their inception reflects the performance of Institutional Class shares and includes the higher expenses applicable to Institutional Class shares. If these expenses had not been included, returns for Class R6 shares would be higher. Historical performance shown for Administrator Class shares prior to their inception reflects the performance of Institutional Class shares and has been adjusted to reflect the higher expenses applicable to 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 International Bond Fund.

²  Reflects the expense ratios as stated in the most recent prospectuses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at the amounts shown. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment grade fixed income markets excluding the U.S. dollar denominated debt market. You cannot invest directly in an index.

⁵  The chart compares the performance of Class A shares for the most recent ten years with the Bloomberg Barclays Global Aggregate ex-USD Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 4.50%.

⁶  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁷  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo International Bond Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund underperformed its benchmark, the Bloomberg Barclays Global Aggregate ex-USD Index for the 12-month period that ended September 30, 2018.

∎ Currency was a detractor, largely due to positioning in the Japanese yen and exposure to the Brazilian real and the Malaysian ringgit. The overweight to the U.S. interest rate environment weighed on performance as well.

∎ Country allocation added to Fund performance, with overweight positions in higher-yielding developed and emerging bond markets performing well. In particular, exposure to Australia, New Zealand, South Africa, and Poland added value. The underweight to the British pound contributed positively.

Global financial markets were volatile.

As feared, it’s been a volatile year for the global financial markets. Sentiment has been exceedingly brittle, and this is reflected in the path of asset prices. There is a fairly neat break between the two halves of the reporting period, with the first half marked by a weaker dollar and a risk-positive environment. Subsequently, however, there’s been a tendency for yields to rise and for the U.S. dollar to strengthen. Emerging market bonds have outperformed emerging market currencies. Trade fears and geopolitical risks remain elevated. The pace of the economic expansion in the U.S. has accelerated in recent quarters, buoyed by tax cuts and increased government spending. Price pressures are proving slow to build, though, even with the labor market tightening. Growth across much of the emerging market world—barring some notable exceptions, like Turkey and Argentina—is also ticking higher. Even better, for local-currency bond investors, inflation is proving slow to accelerate.

Ten largest holdings (%) as of September 30, 20186
Poland, 2.50%,7-25-2027	5.22
Canada, 0.75%, 9-1-2020	4.86
Malaysia, 3.75%, 6-15-2028	3.77
New Zealand, 4.50%, 4-15-2027	3.71
Mexico, 7.75%, 11-13-2042	3.65
Australian Government Bond Series 146, 1.75%, 11-21-2020	3.39
Singapore, 2.75%, 3-1-2046	3.20
U.S. Treasury Note, 1.75%, 11-15-2020	3.12
Thailand, 3.85%, 12-12-2025	3.12
Italy Buoni Poliennali del Tesoro, 2.70%, 3-1-2047	2.96

The Fund is tilted toward higher-yielding markets.

Portfolio positioning remains consistent with our long-term view that the bond markets of Japan and core Europe offer little value. Instead, the Fund is tilted toward higher-yielding developed and emerging market bonds. Over the course of the year, we have worked to increase the Fund’s interest rate diversification by adding positions in South Korea, Indonesia, India, and Peru. We took profits on positions in Colombia, Hungary, and Malaysia before buying the latter back late in the third quarter of 2018. Overall, Fund duration remains below that of the benchmark, although we have worked to increase duration in select markets, such as Australia, New Zealand, and Singapore. Currency positioning has been more cautious than interest rate positioning, and

the Fund has run with minimal emerging market currency exposure for much of 2018. Over the reporting period, the Fund tended to be overweight the U.S. dollar and underweight the euro and the British pound. The former position has now been reduced to neutral, and we have started to unhedge some emerging market currencies.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo International Bond Fund 9

Portfolio allocation as of September 30, 2018⁷

Over the past 12 months, country positioning has been a strong value-add for the Fund. Smaller and higher-yielding markets have performed consistently, with positions in Australia, New Zealand, Poland, South Africa, and South Korea adding value. On the currency front, positioning in the British pound and the Malaysian ringgit added value. Sector positioning was a modest positive, with the overweight to high-yield corporate debt adding value.

Currency has been a net detractor over the 12-month period, led by positioning in the Japanese yen. Exposure

to the Brazilian real and the Mexican peso was a modest negative. With yields rising, the overweight to the U.S. interest rate environment detracted from performance. Duration positioning was a small net negative, which was largely due to the Fund’s underweight to the ultra-long end of the curve, at more than 15 years.

Our outlook includes possibilities and challenges.

Global fixed income is at an interesting juncture, with interest rates and yields rising in the U.S. while Japan and core Europe lag. Several of the smaller and higher-yielding developed markets continue to offer value, and a number of emerging market bonds are at valuations materially out of line with the underlying fundamentals. The U.S. dollar has traded with a strong tone for much of the year, with only the Mexican peso putting up a real fight. We expect the U.S. dollar to weaken over the long term but could see more consolidation through the end of the year. A number of currencies are trading at extremely cheap levels versus the U.S. dollar, which could offer attractive entry points for longer-term investors. We forsee mild growth and modest inflationary pressures, which should be supportive for the smaller developed and emerging bond markets in which the Fund is overweight. Numerous geopolitical and trade risks suggest that increased volatility will remain a feature of global markets for now.

Please see footnotes on page 7.

10 Wells Fargo International Bond 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	914.65	$	4.95		1.03	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.90	$	5.22		1.03	%
Class C
Actual	$	1,000.00	$	911.63	$	8.53		1.78	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,016.14	$	9.00		1.78	%
Class R6
Actual	$	1,000.00	$	916.45	$	3.12		0.65	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.81	$	3.29		0.65	%
Administrator Class
Actual	$	1,000.00	$	914.88	$	4.08		0.85	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.81	$	4.31		0.85	%
Institutional Class
Actual	$	1,000.00	$	915.36	$	3.36		0.70	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.56	$	3.55		0.70	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo International Bond Fund 11

Security name	Interest rate			Maturity date		Principal		Value
Corporate Bonds and Notes: 5.06%
United States: 5.06%
Abbott Laboratories (Health Care, Health Care Equipment & Supplies)		3.40	%		11-30-2023	$	500,000	$	497,873
AbbVie Incorporated (Health Care, Biotechnology)		4.25			11-14-2028		825,000		812,654
Amazon.com Incorporated (Consumer Discretionary, Internet & Direct Marketing Retail)		3.15			8-22-2027		1,675,000		1,604,111
Anheuser-Busch InBev Worldwide Incorporated (Consumer Staples, Beverages)		4.00			4-13-2028		1,250,000		1,231,418
Apple Incorporated (Information Technology, Technology Hardware, Storage & Peripherals)		2.90			9-12-2027		1,250,000		1,177,279
B.A.T. Capital Corporation (Consumer Staples, Tobacco)		3.56			8-15-2027		1,400,000		1,303,023
Bayer US Finance LLC (Consumer Staples, Pharmaceuticals) 144A		4.25			12-15-2025		1,300,000		1,290,217
Coty Incorporated (Consumer Staples, Personal Products)		4.00			4-15-2023		350,000		400,114
CVS Health Corporation (Health Care, Health Care Providers & Services)		4.10			3-25-2025		600,000		598,136
Discovery Communications LLC (Communication Services, Media)		3.95			3-20-2028		700,000		664,533
Goldman Sachs Group Incorporated (Financials, Capital Markets)		3.75			2-25-2026		1,650,000		1,602,532
JPMorgan Chase & Company (Financials, Banks)		3.30			4-1-2026		1,575,000		1,509,392
Microsoft Corporation (Information Technology, Software )		2.40			8-8-2026		2,000,000		1,843,141
Qualcomm Incorporated (Information Technology, Semiconductors & Semiconductor Equipment)		3.25			5-20-2027		1,000,000		939,797
Verizon Communications Incorporated (Telecommunication Services, Diversified Telecommunication Services) 144A		4.33			9-21-2028		1,375,000		1,382,847
Walmart Incorporated (Consumer Staples, Food & Staples Retailing)		3.70			6-26-2028		1,900,000		1,901,224
Total Corporate Bonds and Notes (Cost $19,490,387)									18,758,291
Foreign Corporate Bonds and Notes @: 6.74%
Denmark: 3.81%
Nykredit Realkredit AS (Financials, Thrifts & Mortgage Finance, DKK)		2.00			10-1-2050		41,750,000		6,457,928
Realkredit Danmark AS (Financials, Thrifts & Mortgage Finance, DKK)		2.00			10-1-2050		49,500,000		7,660,558
									14,118,486
France: 0.25%
Casino Guichard Perrachon SA (Consumer Staples, Food & Staples Retailing, EUR)		4.50			3-7-2024		400,000		441,962
Paprec Holding SA (Industrials, Commercial Services & Supplies, EUR)		4.00			3-31-2025		425,000		496,481
									938,443
Ireland: 0.40%
GE Capital UK Funding Company (Financials, Capital Markets, GBP)		5.13			5-24-2023		1,000,000		1,470,891
Luxembourg: 0.09%
LSF10 Wolverine Investment SCA (Financials, Diversified Financial Services, EUR)		5.00			3-15-2024		275,000		319,688
Mexico: 0.25%
America Movil SAB de CV (Communication Services, Wireless Telecommunication Services, MXN)		7.13			12-9-2024		7,250,000		352,505
Nemak SAB de CV (Consumer Discretionary, Auto Components, EUR)		3.25			3-15-2024		225,000		267,114
Petroleos Mexicanos (Energy, Oil, Gas & Consumable Fuels, MXN) 144A		7.19			9-12-2024		6,532,000		301,155
									920,774

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

12 Wells Fargo International Bond Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal			Value
Netherlands: 0.34%
Selecta Group BV (Consumer Discretionary, Internet & Direct Marketing Retail, EUR) 144A		5.88	%		2-1-2024		575,000		$	671,803
Sigma Holdco BV (Consumer Staples, Food Products, EUR)		5.75			5-15-2026		550,000			601,706
										1,273,509
United Kingdom: 1.60%
CPUK Finance Limited (Consumer Discretionary, Consumer Finance, GBP)		4.25			2-28-2047		250,000			325,533
FirstGroup plc (Industrials, Road & Rail, GBP)		5.25			11-29-2022		700,000			988,282
Heathrow Funding Limited (Industrials, Transportation Infrastructure, GBP)		7.13			2-14-2024		1,000,000			1,586,148
Ocado Group plc (Consumer Discretionary, Internet & Direct Marketing Retail, GBP)		4.00			6-15-2024		550,000			718,556
Pinnacle Bidco plc (Consumer Discretionary, Consumer Finance, GBP)		6.38			2-15-2025		200,000			267,838
RAC Bond Company plc (Consumer Discretionary, Automobiles, GBP)		5.00			11-6-2022		800,000	��		979,615
Tesco plc (Consumer Staples, Food & Staples Retailing, GBP)		6.13			2-24-2022		500,000			731,136
Thomas Cook Finance 2 plc (Consumer Discretionary, Diversified Financial Services, EUR)		3.88			7-15-2023		300,000			329,158
										5,926,266
Total Foreign Corporate Bonds and Notes (Cost $26,363,749)										24,968,057
Foreign Government Bonds @: 78.33%
Australian Government Bond Series 146 (AUD)		1.75			11-21-2020		17,500,000			12,573,583
Australian Government Bond Series 148 (AUD)		2.75			11-21-2027		7,685,000			5,594,776
Brazil (BRL)		10.00			1-1-2023		3,400,000			817,861
Brazil (BRL)		10.00			1-1-2019		15,705,000			3,918,453
Brazil (BRL)		10.00			1-1-2025		40,990,000			9,565,971
Canada (CAD)		0.75			9-1-2020		23,900,000			17,995,915
Canada (CAD) 144A		1.25			12-15-2020		11,740,000			8,874,737
Colombia (COP)		7.00			5-4-2022		12,100,000,000			4,242,731
Czech Republic (CZK)		0.75			2-23-2021		18,000,000			793,261
Hungary (HUF)		1.75			10-26-2022		485,000,000			1,711,992
India (INR)		7.80			4-11-2021		117,000,000			1,608,205
India (INR)		8.79			11-8-2021		465,000,000			6,552,593
India INR)		7.17			1-8-2028		225,000,000			2,932,232
Indonesia (IDR)		7.50			8-15-2032		119,345,000,000			7,408,256
Indonesia (IDR)		8.25			5-15-2029		34,480,000,000			2,331,446
Indonesia (IDR)		8.38			3-15-2024		29,150,000,000			1,969,872
Indonesia (IDR)		8.38			9-15-2026		45,000,000,000			3,041,790
Italy Buoni Poliennali del Tesoro (EUR)		2.20			6-1-2027		4,650,000			5,095,003
Italy Buoni Poliennali del Tesoro (EUR) 144A		2.70			3-1-2047		11,065,000			10,975,675
Korea Treasury Bond (KRW)		2.00			3-10-2020		9,890,000,000			8,928,657
Korea Treasury Bond (KRW)		2.38			3-10-2023		8,850,000,000			8,029,689
Malaysia (MYR)		3.73			6-15-2028		59,400,000			13,950,855
Malaysia (MYR)		3.66			10-15-2020		7,650,000			1,856,938
Malaysia (MYR)		3.90			11-30-2026		7,300,000			1,734,685
Malaysia (MYR)		3.96			9-15-2025		6,250,000			1,505,348
Mexico (MXN)		5.75			3-5-2026		57,500,000			2,710,003
Mexico (MXN)		7.75			11-13-2042		262,650,000			13,507,093
Mexico (MXN)		8.00			11-7-2047		45,000,000			2,374,631
Mexico (MXN)		10.00			12-5-2024		10,850,000			642,582
New South Wales (AUD)		5.00			8-20-2024		6,350,000			5,182,403

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

Portfolio of investments—September 30, 2018 Wells Fargo International Bond Fund 13

Security name	Interest rate			Maturity date		Principal		Value
Foreign Government Bonds @ (continued)
New South Wales (AUD)		6.00	%		5-1-2020		5,825,000	$	4,465,974
New Zealand (NZD)		2.75			4-15-2037		5,575,000		3,608,525
New Zealand (NZD)		4.50			4-15-2027		17,945,000		13,762,595
Poland (PLN)		2.50			7-25-2027		75,250,000		19,330,522
Province of Ontario (AUD)		6.25			9-29-2020		4,300,000		3,338,057
Queensland Treasury Corporation (AUD) 144A		2.75			8-20-2027		5,100,000		3,585,151
Queensland Treasury Corporation (AUD) 144A		4.00			6-21-2019		8,600,000		6,304,989
Republic of Peru (PEN)		5.70			8-12-2024		5,000,000		1,578,342
Republic of Peru (PEN)		6.35			8-12-2028		21,550,000		6,860,702
Republic of South Africa (ZAR)		8.75			2-28-2048		48,500,000		3,049,331
Republic of South Africa (ZAR)		7.75			2-28-2023		115,500,000		7,981,374
Republic of South Africa (ZAR)		8.75			2-28-2048		28,400,000		1,785,588
Republic of South Africa (ZAR)		10.50			12-21-2026		21,650,000		1,658,207
Romania (RON)		3.40			3-8-2022		3,300,000		799,691
Romania (RON)		5.75			4-29-2020		14,000,000		3,606,237
Singapore (SGD)		2.63			5-1-2028		6,900,000		5,098,646
Singapore (SGD)		2.75			3-1-2046		16,500,000		11,841,063
Thailand (THB)		3.85			12-12-2025		345,025,000		11,549,376
Turkey (TRY)		9.40			7-8-2020		3,500,000		458,153
Turkey (TRY)		10.70			2-17-2021		4,000,000		503,720
Turkey (TRY)		11.00			2-24-2027		1,900,000		219,748
United Kingdom Gilt Bonds (GBP)		1.25			7-22-2027		8,100,000		10,354,838
Total Foreign Government Bonds (Cost $307,528,249)									290,168,065
U.S. Treasury Securities: 6.44%
U.S. Treasury Bond		2.75			11-15-2047	$	5,850,000		5,352,064
U.S. Treasury Bond		3.00			11-15-2045		3,300,000		3,181,406
U.S. Treasury Note		1.75			11-15-2020		11,825,000		11,561,247
U.S. Treasury Note		2.25			11-15-2027		4,035,000		3,777,138
Total U.S. Treasury Securities (Cost $24,549,438)									23,871,855
Yankee Corporate Bonds and Notes: 3.40%
Canada: 0.41%
Alimentation Couche-Tard Incorporated (Consumer Staples, Food & Staples Retailing)		3.55			7-26-2027		1,600,000		1,504,157
Cayman Islands: 0.16%
UPCB Finance IV Limited (Financials, Diversified Financial Services)		5.38			1-15-2025		600,000		599,256
China: 0.25%
Tencent Holdings Limited (Communication Services, Interactive Media & Services)		3.60			1-19-2028		1,000,000		946,102
France: 0.50%
Danone SA (Consumer Staples, Food Products)		2.95			11-2-2026		2,000,000		1,835,576
Ireland: 0.27%
Ardagh Packaging Finance plc (Financials, Diversified Financial Services)		4.63			5-15-2023		1,000,000		991,250
Netherlands: 0.06%
Myriad International Holdings BV (Communication Services, Media)		6.00			7-18-2020		200,000		207,654
Spain: 0.19%
Telefonica Emisiones SAU (Communication Services, Diversified Telecommunication Services)		4.10			3-8-2027		750,000		720,521

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

14 Wells Fargo International Bond Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Switzerland: 0.38%
Credit Suisse Group Funding Limited (Financials, Banks)		3.80	%		9-15-2022	$	1,400,000	$	1,392,127
United Kingdom: 1.18%
BP Capital Markets plc (Financials, Capital Markets)		3.22			4-14-2024		825,000		806,269
International Game Technology plc (Consumer Discretionary, Hotels, Restaurants & Leisure)		6.25			2-15-2022		1,000,000		1,036,250
Jaguar Land Rover Automobiles plc (Consumer Discretionary, Automobiles)		3.50			3-15-2020		1,200,000		1,185,000
Vodafone Group plc (Communication Services, Wireless Telecommunication Services)		4.38			5-30-2028		1,375,000		1,353,951
									4,381,470
Total Yankee Corporate Bonds and Notes (Cost $12,908,424)									12,578,113
	Yield					Shares
Short-Term Investments: 0.43%
Investment Companies: 0.43%
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99					1,592,910		1,592,910
Total Short-Term Investments (Cost $1,592,910)									1,592,910

Total investments in securities (Cost $392,433,157)	100.40	%		371,937,291
Other assets and liabilities, net	(0.40	)		(1,472,406	)
Total net assets	100.00	%	$	370,464,885

144A The security may be resold in transactions exempt from registration, normally to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.

@ Foreign bond principal is denominated in the local currency of the issuer.

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(u) The rate represents the 7-day annualized yield at period end.

Abbreviations:

AUD Australian dollar

BRL Brazilian real

CAD Canadian dollar

COP Colombian peso

CZK Czech koruna

DKK Danish krone

EUR Euro

GBP Great British pound

HUF Hungarian forint

IDR Indonesian rupiah

INR Indian rupee

JPY Japanese yen

KRW Republic of Korea won

MXN Mexican peso

MYR Malaysian ringgit

NZD New Zealand dollar

PEN Peruvian sol

PLN Polish zloty

RON Romanian lei

SGD Singapore dollar

THB Thai baht

TRY Turkish lira

ZAR South African rand

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

Portfolio of investments—September 30, 2018 Wells Fargo International Bond Fund 15

Forward Foreign Currency Contracts

Currency to be received	Currency to be delivered	Counterparty	Settlement date	Unrealized gains		Unrealized losses
$8,010,095 USD	$115,850,000,000 IDR	State Street Bank	10-3-2018	$	236,567	$	0
43,500,000 THB	1,332,153 USD	State Street Bank	10-12-2018		13,344		0
11,511,965 USD	381,000,000 THB	State Street Bank	10-12-2018		0		(272,732	)
300,000 SGD	219,024 USD	State Street Bank	10-16-2018		503		0
1,750,000 SGD	1,281,816 USD	State Street Bank	10-16-2018		0		(1,245	)
18,919,945 USD	25,720,000 SGD	State Street Bank	10-16-2018		99,222		0
7,700,000 ZAR	578,673 USD	State Street Bank	10-18-2018		0		(35,332	)
4,325,000 PLN	1,175,895 USD	State Street Bank	10-18-2018		0		(2,395	)
574,515 USD	7,700,000 ZAR	State Street Bank	10-18-2018		31,174		0
3,000,000 PEN	909,642 USD	State Street Bank	10-25-2018		0		(2,389	)
6,000,000 CAD	4,647,315 USD	State Street Bank	10-25-2018		371		0
1,099,941 USD	1,450,000 CAD	State Street Bank	10-25-2018		0		(23,250	)
29,989,591 USD	39,385,000 CAD	State Street Bank	10-25-2018		0		(518,600	)
7,794,042 USD	25,665,000 PEN	State Street Bank	10-25-2018		32,488		0
1,350,000,000 JPY	12,192,919 USD	State Street Bank	10-29-2018		0		(288,029	)
36,600,000 EUR	42,738,186 USD	State Street Bank	10-29-2018		0		(154,150	)
5,210,000,000 JPY	47,107,926 USD	State Street Bank	10-29-2018		0		(1,163,870	)
2,000,000,000 JPY	18,044,109 USD	State Street Bank	10-29-2018		0		(407,235	)
17,364,040 USD	1,925,000,000 JPY	State Street Bank	10-29-2018		388,549		0
13,934,979 USD	1,560,000,000 JPY	State Street Bank	10-29-2018		178,218		0
2,666,328 USD	300,000,000 JPY	State Street Bank	10-29-2018		20,797		0
8,800,000 EUR	10,245,382 USD	State Street Bank	10-29-2018		0		(6,598	)
3,225,000 NZD	2,163,443 USD	State Street Bank	11-14-2018		0		(25,215	)
873,510 USD	1,325,000 NZD	State Street Bank	11-14-2018		0		(4,986	)
18,192,168 USD	27,625,000 NZD	State Street Bank	11-14-2018		0		(123,661	)
670,948 USD	1,000,000 NZD	State Street Bank	11-14-2018		7,931		0
1,168,000,000 JPY	10,536,571 USD	State Street Bank	11-15-2018		0		(223,980	)
4,625,000,000 JPY	42,184,279 USD	State Street Bank	11-15-2018		0		(1,348,889	)
12,000,000 AUD	8,628,732 USD	State Street Bank	11-21-2018		48,416		0
1,250,000,000 KRW	1,123,091 USD	State Street Bank	11-21-2018		5,007		0
5,860,000 AUD	4,305,717 USD	State Street Bank	11-21-2018		0		(68,377	)
955,000 AUD	688,959 USD	State Street Bank	11-21-2018		1,597		0
9,303,957 USD	12,675,000 AUD	State Street Bank	11-21-2018		138,720		0
10,208,167 USD	14,200,000 AUD	State Street Bank	11-21-2018		0		(59,791	)
3,527,510 USD	4,900,000 AUD	State Street Bank	11-21-2018		0		(15,659	)
23,933,892 USD	32,950,000 AUD	State Street Bank	11-21-2018		107,890		0
9,324,945 USD	10,450,000,000 KRW	State Street Bank	11-21-2018		0		(105,955	)
7,150,000 PLN	1,964,833 USD	State Street Bank	11-23-2018		0		(23,347	)
17,261,525 USD	65,000,000 PLN	State Street Bank	11-23-2018		0		(388,344	)
2,173,624 USD	8,185,000 PLN	State Street Bank	11-23-2018		0		(48,901	)
7,702,280 USD	115,850,000,000 IDR	State Street Bank	12-3-2018		0		(14,108	)
1,987,216 USD	30,000,000,000 IDR	State Street Bank	12-3-2018		0		(10,986	)

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

16 Wells Fargo International Bond Fund Portfolio of investments—September 30, 2018

Currency to be received	Currency to be delivered	Counterparty	Settlement date	Unrealized gains		Unrealized losses
1,175,558 USD	4,850,000 MYR	State Street Bank	12-4-2018	$	5,123	$	0
140,000,000 INR	1,920,439 USD	State Street Bank	12-6-2018		0		(4,498	)
2,922,449 USD	214,800,000 INR	State Street Bank	12-6-2018		0		(17,153	)
8,836,122 USD	631,500,000 INR	State Street Bank	12-6-2018		193,858		0
260,000,000 MXN	13,638,557 USD	State Street Bank	12-7-2018		113,036		0
13,165,824 USD	260,000,000 MXN	State Street Bank	12-7-2018		0		(585,770	)
9,033,543 USD	37,650,000 BRL	State Street Bank	12-10-2018		0		(237,820	)
8,916,215 USD	137,225,000 ZAR	State Street Bank	12-12-2018		0		(697,105	)
17,762,141 USD	13,575,000 GBP	State Street Bank	12-13-2018		8,856		0
4,060,000,000 JPY	36,680,008 USD	State Street Bank	12-18-2018		0		(729,244	)
45,550,000 EUR	53,528,766 USD	State Street Bank	12-19-2018		0		(296,291	)
14,700,000 EUR	17,314,322 USD	State Street Bank	12-19-2018		0		(135,016	)
4,360,483 USD	3,675,000 EUR	State Street Bank	12-19-2018		65,656		0
829,813 USD	700,000 EUR	State Street Bank	12-19-2018		11,751		0
1,805,870 USD	1,525,000 EUR	State Street Bank	12-19-2018		23,663		0
				$	1,732,737	$	(8,040,921	)

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)		Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Wells Fargo Government Money Market Fund Select Class		11,375,401		278,379,312		288,161,803		1,592,910	$	0	$	0	$	8,096	$	1,592,910		0.43	%

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

Statement of assets and liabilities—September 30, 2018 Wells Fargo International Bond Fund 17

Assets
Investments in unaffiliated securities, at value (cost $390,840,247)	$	370,344,381
Investments in affiliated securities, at value (cost $1,592,910)		1,592,910
Foreign currency, at value (cost $659,839)		672,592
Receivable for investments sold		1,017,300
Receivable for Fund shares sold		254,558
Receivable for interest		3,920,577
Unrealized gains on forward foreign currency contracts		1,732,737
Prepaid expenses and other assets		396,311
Total assets		379,931,366
Liabilities
Unrealized losses on forward foreign currency contracts		8,040,921
Payable for Fund shares redeemed		740,161
Due to custodian bank		587,582
Management fee payable		68,089
Administration fees payable		27,298
Distribution fee payable		1,647
Payable for investments purchased		783
Total liabilities		9,466,481
Total net assets	$	370,464,885
NET ASSETS CONSIST OF
Paid-in capital	$	402,685,639
Net distributable loss		(32,220,754	)
Total net assets	$	370,464,885
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	44,519,492
Shares outstanding – Class A1		4,593,907
Net asset value per share – Class A		$9.69
Maximum offering price per share – Class A2		$10.15
Net assets – Class C	$	2,652,225
Shares outstanding – Class C1		284,457
Net asset value per share – Class C		$9.32
Net assets – Class R6	$	49,749,162
Shares outstanding – Class R61		5,045,128
Net asset value per share – Class R6		$9.86
Net assets – Administrator Class	$	27,911,168
Shares outstanding – Administrator Class1		2,862,781
Net asset value per share – Administrator Class		$9.75
Net assets – Institutional Class	$	245,632,838
Shares outstanding – Institutional Class1		24,981,962
Net asset value per share – Institutional Class		$9.83

¹  The Fund has an unlimited number of authorized shares.

²  Maximum offering price is computed as 100/95.50 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.

18 Wells Fargo International Bond Fund Statement of operations—year ended September 30, 2018

Investment income
Interest (net of foreign interest withholding taxes of $408,252)	$	18,602,079
Income from affiliated securities		8,096
Total investment income		18,610,175
Expenses
Management fee		2,952,362
Administration fees
Class A		100,833
Class C		4,894
Class R6		13,322
Administrator Class		35,552
Institutional Class		277,687
Shareholder servicing fees
Class A		157,551
Class C		7,646
Administrator Class		88,473
Distribution fee
Class C		22,940
Custody and accounting fees		111,067
Professional fees		80,065
Registration fees		49,331
Shareholder report expenses		49,397
Trustees’ fees and expenses		20,979
Interest expense		2,785
Other fees and expenses		18,038
Total expenses		3,992,922
Less: Fee waivers and/or expense reimbursements		(266,880	)
Net expenses		3,726,042
Net investment income		14,884,133
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Unaffiliated securities		6,938,739
Forward foreign currency contracts		(5,014,583	)
Net realized gains on investments		1,924,156
Net change in unrealized gains (losses) on:
Unaffiliated securities		(36,312,613	)
Forward foreign currency contracts		(5,274,436	)
Net change in unrealized gains (losses) on investments		(41,587,049	)
Net realized and unrealized gains (losses) on investments		(39,662,893	)
Net decrease in net assets resulting from operations	$	(24,778,760	)

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

Statement of changes in net assets Wells Fargo International Bond Fund 19

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	14,884,133					$	17,183,145
Net realized gains (losses) on investments					1,924,156						(51,051,565	)
Net change in unrealized gains (losses) on investments					(41,587,049	)					12,848,373
Net decrease in net assets resulting from operations					(24,778,760	)					(21,020,047	)
Distributions to shareholders
Class A					0						(739,477	)
Class C					0						(73,043	)
Class R6					0						(164,164	)
Administrator Class					0						(631,824	)
Institutional Class					0						(7,408,479	)
Total distributions to shareholders					0						(9,016,987	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		1,692,946			17,128,341			4,929,121			48,322,926
Class C		23,686			231,626			13,816			133,569
Class R6		4,470,576			47,127,812			2,528,781			26,142,193
Administrator Class		1,854,064			19,444,887			2,445,180			24,089,253
Institutional Class		7,578,500			78,408,711			11,245,776			111,148,970
					162,341,377						209,836,911
Reinvestment of distributions
Class A		0			0			77,736			729,940
Class C		0			0			7,033			64,420
Class R6		0			0			17,299			164,164
Administrator Class		0			0			66,753			628,812
Institutional Class		0			0			690,923			6,543,042
					0						8,130,378
Payment for shares redeemed
Class A		(3,876,760	)		(38,897,182	)		(3,279,695	)		(32,478,821	)
Class B		N/A			N/A			(16,076	)2		(153,471	)2
Class C		(88,726	)		(868,829	)		(195,882	)		(1,864,728	)
Class R6		(2,380,029	)		(24,249,955	)		(740,812	)		(7,302,744	)
Administrator Class		(2,955,066	)		(30,390,707	)		(3,255,355	)		(32,370,616	)
Institutional Class		(25,163,647	)		(261,878,241	)		(20,326,950	)		(201,196,349	)
					(356,284,914	)					(275,366,729	)
Net decrease in net assets resulting from capital share transactions					(193,943,537	)					(57,399,440	)
Total decrease in net assets					(218,722,297	)					(87,436,474	)
Net assets
Beginning of period					589,187,182						676,623,656
End of period				$	370,464,885					$	589,187,182

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Overdistributed net investment income at September 30, 2017 was $27,790,252. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 8, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from October 1, 2016 to December 5, 2016. Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund.

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

20 Wells Fargo International Bond Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
CLASS A	2018			2017			20161			2015			2014			2013
Net asset value, beginning of period		$10.31			$10.77			$9.74			$10.84			$11.32			$11.83
Net investment income		0.27	2		0.26	2		0.24	2		0.31	2		0.37	2		0.36	2
Net realized and unrealized gains (losses) on investments		(0.89	)		(0.57	)		0.85			(1.33	)		(0.34	)		(0.73	)
Total from investment operations		(0.62	)		(0.31	)		1.09			(1.02	)		0.03			(0.37	)
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.05	)		(0.12	)		(0.02	)
Net realized gains		0.00			(0.15	)		(0.06	)		(0.03	)		(0.39	)		(0.12	)
Total distributions to shareholders		0.00			(0.15	)		(0.06	)		(0.08	)		(0.51	)		(0.14	)
Net asset value, end of period		$9.69			$10.31			$10.77			$9.74			$10.84			$11.32
Total return3		(6.01	)%		(2.78	)%		11.24	%		(9.50	)%		0.26	%		(3.18	)%
Ratios to average net assets (annualized)
Gross expenses		1.08	%		1.03	%		1.08	%		1.06	%		1.05	%		1.05	%
Net expenses		1.03	%		1.03	%		1.03	%		1.03	%		1.03	%		1.03	%
Net investment income		2.75	%		2.61	%		2.64	%		3.07	%		3.29	%		2.93	%
Supplemental data
Portfolio turnover rate		99	%		68	%		96	%		136	%		103	%		129	%
Net assets, end of period (000s omitted)		$44,519			$69,885			$54,399			$79,727			$102,624			$113,846

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

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 International Bond Fund 21

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
CLASS C	2018			2017			20161			2015			2014			2013
Net asset value, beginning of period		$10.00			$10.52			$9.58			$10.70			$11.19			$11.76
Net investment income		0.19	2		0.18	2		0.17	2		0.23	2		0.28	2		0.26	2
Net realized and unrealized gains (losses) on investments		(0.87	)		(0.55	)		0.83			(1.32	)		(0.34	)		(0.71	)
Total from investment operations		(0.68	)		(0.37	)		1.00			(1.09	)		(0.06	)		(0.45	)
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			0.00			(0.04	)		(0.00	)3
Net realized gains		0.00			(0.15	)		(0.06	)		(0.03	)		(0.39	)		(0.12	)
Total distributions to shareholders		0.00			(0.15	)		(0.06	)		(0.03	)		(0.43	)		(0.12	)
Net asset value, end of period		$9.32			$10.00			$10.52			$9.58			$10.70			$11.19
Total return4		(6.80	)%		(3.43	)%		10.49	%		(10.21	)%		(0.52	)%		(3.84	)%
Ratios to average net assets (annualized)
Gross expenses		1.83	%		1.78	%		1.83	%		1.81	%		1.80	%		1.80	%
Net expenses		1.78	%		1.78	%		1.78	%		1.78	%		1.78	%		1.78	%
Net investment income		2.00	%		1.88	%		1.86	%		2.33	%		2.54	%		2.15	%
Supplemental data
Portfolio turnover rate		99	%		68	%		96	%		136	%		103	%		129	%
Net assets, end of period (000s omitted)		$2,652			$3,493			$5,520			$6,895			$11,597			$16,097

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

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.

22 Wells Fargo International Bond Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
CLASS R6	2018			2017			20161			2015			2014			20132
Net asset value, beginning of period		$10.45			$10.88			$9.80			$10.88			$11.36			$11.80
Net investment income		0.31	3		0.30	3		0.28	3		0.35	3		0.42	3		0.39	3
Net realized and unrealized gains (losses) on investments		(0.90	)		(0.58	)		0.86			(1.34	)		(0.35	)		(0.69	)
Total from investment operations		(0.59	)		(0.28	)		1.14			(0.99	)		0.07			(0.30	)
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.06	)		(0.16	)		(0.02	)
Net realized gains		0.00			(0.15	)		(0.06	)		(0.03	)		(0.39	)		(0.12	)
Total distributions to shareholders		0.00			(0.15	)		(0.06	)		(0.09	)		(0.55	)		(0.14	)
Net asset value, end of period		$9.86			$10.45			$10.88			$9.80			$10.88			$11.36
Total return4		(5.65	)%		(2.48	)%		11.69	%		(9.18	)%		0.60	%		(2.52	)%
Ratios to average net assets (annualized)
Gross expenses		0.72	%		0.65	%		0.70	%		0.68	%		0.67	%		0.68	%
Net expenses		0.65	%		0.65	%		0.65	%		0.65	%		0.65	%		0.65	%
Net investment income		3.18	%		3.01	%		3.00	%		3.46	%		3.64	%		3.70	%
Supplemental data
Portfolio turnover rate		99	%		68	%		96	%		136	%		103	%		129	%
Net assets, end of period (000s omitted)		$49,749			$30,876			$12,501			$13,152			$5,729			$2,433

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

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

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.

Financial highlights Wells Fargo International Bond Fund 23

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
ADMINISTRATOR CLASS	2018			2017			20161			2015			2014			2013
Net asset value, beginning of period		$10.36			$10.80			$9.75			$10.84			$11.32			$11.81
Net investment income		0.29	2		0.28	2		0.26	2		0.33	2		0.39	2		0.36	2
Net realized and unrealized gains (losses) on investments		(0.90	)		(0.57	)		0.85			(1.34	)		(0.34	)		(0.71	)
Total from investment operations		(0.61	)		(0.29	)		1.11			(1.01	)		0.05			(0.35	)
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.05	)		(0.14	)		(0.02	)
Net realized gains		0.00			(0.15	)		(0.06	)		(0.03	)		(0.39	)		(0.12	)
Total distributions to shareholders		0.00			(0.15	)		(0.06	)		(0.08	)		(0.53	)		(0.14	)
Net asset value, end of period		$9.75			$10.36			$10.80			$9.75			$10.84			$11.32
Total return3		(5.89	)%		(2.59	)%		11.44	%		(9.36	)%		0.43	%		(2.98	)%
Ratios to average net assets (annualized)
Gross expenses		1.01	%		0.97	%		1.02	%		0.99	%		0.99	%		0.99	%
Net expenses		0.85	%		0.85	%		0.85	%		0.85	%		0.85	%		0.85	%
Net investment income		2.93	%		2.80	%		2.85	%		3.26	%		3.47	%		3.15	%
Supplemental data
Portfolio turnover rate		99	%		68	%		96	%		136	%		103	%		129	%
Net assets, end of period (000s omitted)		$27,911			$41,045			$50,825			$266,849			$359,383			$334,778

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

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.

24 Wells Fargo International Bond Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
INSTITUTIONAL CLASS	2018			2017			20161			2015			2014			2013
Net asset value, beginning of period		$10.43			$10.86			$9.79			$10.87			$11.35			$11.82
Net investment income		0.31	2		0.29	2		0.27	2		0.35	2		0.41	2		0.37
Net realized and unrealized gains (losses) on investments		(0.91	)		(0.57	)		0.86			(1.34	)		(0.35	)		(0.70	)
Total from investment operations		(0.60	)		(0.28	)		1.13			(0.99	)		0.06			(0.33	)
Distributions to shareholders from
Net investment income		0.00			0.00			0.00			(0.06	)		(0.15	)		(0.02	)
Net realized gains		0.00			(0.15	)		(0.06	)		(0.03	)		(0.39	)		(0.12	)
Total distributions to shareholders		0.00			(0.15	)		(0.06	)		(0.09	)		(0.54	)		(0.14	)
Net asset value, end of period		$9.83			$10.43			$10.86			$9.79			$10.87			$11.35
Total return3		(5.75	)%		(2.48	)%		11.60	%		(9.20	)%		0.55	%		(2.78	)%
Ratios to average net assets (annualized)
Gross expenses		0.74	%		0.70	%		0.75	%		0.73	%		0.72	%		0.72	%
Net expenses		0.70	%		0.70	%		0.70	%		0.70	%		0.70	%		0.70	%
Net investment income		3.06	%		2.96	%		2.95	%		3.41	%		3.62	%		3.26	%
Supplemental data
Portfolio turnover rate		99	%		68	%		96	%		136	%		103	%		129	%
Net assets, end of period (000s omitted)		$245,633			$443,888			$553,208			$689,964			$832,072			$1,115,163

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

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 Wells Fargo International Bond Fund 25

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo International Bond Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through December 5, 2016.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Debt securities are valued at the evaluated bid price provided by an independent pricing service or, if a reliable price is not available, the quoted bid price from an independent broker-dealer.

The values of securities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee at Wells Fargo Funds Management, LLC (“Funds Management”).

Investments in registered open-end investment companies are 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 in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee. 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Foreign currency translation

The accounting records of the Fund are maintained in U.S. dollars. The values of other assets and liabilities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee. Purchases and sales of securities, and income and expenses are converted at the rate of exchange on the respective dates of such transactions. 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 from changes in exchange rates. The changes in net assets arising from changes in exchange rates of securities and the changes in net assets resulting from changes in market prices of securities are not separately presented. Such changes are included in net realized and unrealized gains or losses from investments.

When-issued transactions

The Fund may purchase securities on a forward commitment or when-issued basis. The Fund records a when-issued transaction on the trade date and will segregate assets in an amount at least equal in value to the Fund’s commitment to

26 Wells Fargo International Bond Fund Notes to financial statements

purchase when-issued securities. Securities purchased on a when-issued basis are marked-to-market daily and the Fund begins earning interest on the settlement date. Losses may arise due to changes in the market value of the underlying securities or if the counterparty does not perform under the contract.

Forward foreign currency contracts

The Fund is subject to foreign currency risk in the normal course of pursuing its investment objectives. A forward foreign currency contract is an agreement between two parties to purchase or sell a specific currency for an agreed-upon price at a future date. The Fund enters into forward foreign currency contracts to facilitate transactions in foreign-denominated securities and to attempt to minimize the risk to the Fund from adverse changes in the relationship between currencies. Forward foreign currency contracts are recorded at the forward rate and marked-to-market daily. When the contracts are closed, realized gains and losses arising from such transactions are recorded as realized gains or losses on forward foreign currency contracts. The Fund could be exposed to risks if the counterparties to the contracts are unable to meet the terms of their contracts or if the value of the foreign currency changes unfavorably. The Fund’s maximum risk of loss from counterparty credit risk is the unrealized gains on the contracts. This risk may be mitigated if there is a master netting arrangement between the Fund and the counterparty.

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. 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 been determined to be doubtful based on consistently applied procedures and the fair value has decreased. 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.

Income from foreign securities is recorded net of foreign taxes withheld where recovery of such taxes is not assured.

Distributions to shareholders

Distributions to shareholders are recorded on the ex-dividend date and paid from net investment income quarterly and any net realized gains are paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $387,275,003 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	8,874,054
Gross unrealized losses		(30,519,950	)
Net unrealized losses	$	(21,645,896	)

Reclassifications are made to the Fund’s capital accounts for permanent tax differences to reflect income and gains available for distribution (or available capital loss carryforwards) under federal income tax regulations. U.S. generally accepted accounting principles require that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or net asset values per share. The primary permanent difference causing such reclassification is due to net operating losses. At September 30, 2018 as a result of permanent book-to-tax differences, the following reclassification adjustments were made on the Statement of Assets and Liabilities:

Paid-in capital	Total distributable loss
$(13,200,277)	$13,200,277

Notes to financial statements Wells Fargo International Bond Fund 27

As of September 30, 2018, the Fund had capital loss carryforwards which consist of $5,740,832 in short-term capital losses and $1,023,725 in long-term capital losses.

As of September 30, 2018, the Fund had current year net deferred post-October capital losses consisting of $554,050 in long-term losses which will be recognized on the first day of the following fiscal year.

As of September 30, 2018, the Fund had a qualified late-year ordinary loss of $3,203,994 which will be recognized on the first day of the following fiscal year.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

∎ 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.

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Corporate bonds and notes	$	0	$	18,758,291	$	0	$	18,758,291
Foreign corporate bonds and notes		0		24,968,057		0		24,968,057
Foreign government bonds		0		290,168,065		0		290,168,065
U.S. Treasury securities		23,871,855		0		0		23,871,855
Yankee corporate bonds and notes		0		12,578,113		0		12,578,113
Short-term investments
Investment companies		1,592,910		0		0		1,592,910
		25,464,765		346,472,526		0		371,937,291
Forward foreign currency contracts		0		1,732,737		0		1,732,737
Total assets	$	25,464,765	$	348,205,263	$	0	$	373,670,028
Liabilities
Forward foreign currency contracts	$	0	$	8,040,921	$	0	$	8,040,921
Total liabilities	$	0	$	8,040,921	$	0	$	8,040,921

28 Wells Fargo International Bond Fund Notes to financial statements

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

Forward foreign currency contracts are reported at their cumulative unrealized gains (losses) at measurement date as reported in the table following the Portfolio of Investments. All other assets and liabilities are reported at their market value at measurement date.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”), is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.60% and declining to 0.48% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.60% 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. Wells Capital Asset Management (International), LLC (formerly, First International Advisors, LLC), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo, 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.16	%
Class R6		0.03
Administrator Class		0.10
Institutional Class		0.08

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.03% for Class A shares, 1.78% for Class C shares, 0.65% for Class R6 shares, 0.85% for Administrator Class shares, and 0.70% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $433 from the sale of Class A shares. No contingent deferred sales charges were incurred by Class A and Class C shares for the year ended September 30, 2018.

Notes to financial statements Wells Fargo International Bond Fund 29

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 are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding short-term securities, for the year ended September 30, 2018 were as follows:

Purchases at cost		Sales proceeds
U.S. government	Non-U.S. government	U.S. government	Non-U.S. government
$68,896,089	$397,395,393	$100,794,782	$534,401,351

6. DERIVATIVE TRANSACTIONS

During the year ended September 30, 2018, the Fund entered into forward foreign currency contracts for hedging purposes. The Fund had average contract amounts of $373,663,650 and $248,371,597 in forward foreign currency contracts to buy and forward foreign currency contracts to sell, respectively, during the year ended September 30, 2018.

The fair value, realized gains or losses and change in unrealized gains or losses, if any, on derivative instruments are reflected in the corresponding financial statement captions.

For certain types of derivative transactions, the Fund has entered into International Swaps and Derivatives Association, Inc. master agreements (“ISDA Master Agreements”) or similar agreements with approved counterparties. The ISDA Master Agreements or similar agreements may have requirements to deliver/deposit securities or cash to/with an exchange or broker-dealer as collateral and allows the Fund to offset, with each counterparty, certain derivative financial instrument’s assets and/or liabilities with collateral held or pledged. Collateral requirements differ by type of derivative. Collateral or margin requirements are set by the broker or exchange clearinghouse for exchange traded derivatives while collateral terms are contract specific for over-the-counter traded derivatives. Cash collateral that has been pledged to cover obligations of the Fund under ISDA Master Agreements or similar agreements, if any, are reported separately in the Statement of Assets and Liabilities. Securities pledged as collateral, if any, are noted in the Portfolio of Investments. With respect to balance sheet offsetting, absent an event of default by the counterparty or a termination of the agreement, the reported amounts of financial assets and financial liabilities in the Statement of Assets and Liabilities are not offset across transactions between the Fund and the applicable counterparty. A reconciliation of the gross amounts on the Statement of Assets and Liabilities to the net amounts by counterparty, including any collateral exposure, is as follows:

Counterparty	Gross amounts of assets in the Statement of Assets and Liabilities	Amounts subject to netting agreements	Collateral received		Net amount of assets
State Street Bank	$1,732,737	$(1,732,737)	$	0	$	0
Counterparty	Gross amounts of liabilities in the Statement of Assets and Liabilities	Amounts subject to netting agreements	Collateral pledged		Net amount of liabilities
State Street Bank	$8,040,921	$(1,732,737)	$	0	$	6,308,184

30 Wells Fargo International Bond Fund Notes to financial statements

7. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

During the year ended September 30, 2018, the Fund had average borrowings outstanding of $100,180 at an average rate of 2.78% and paid interest in the amount of $2,785.

8. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	0	$	758
Long-term capital gain		0		9,016,229

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Unrealized losses	Late-year ordinary losses deferred	Post-October capital losses deferred	Capital loss carryforward
$(21,683,804)	$(3,203,994)	$(554,050)	$(6,764,557)

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net realized gains
Class A		$739,477
Class C		73,043
Class R6		164,164
Administrator Class		631,824
Institutional Class		7,408,479

9. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 PRONOUNCEMENTS

In August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

Notes to financial statements Wells Fargo International Bond Fund 31

In March 2017, FASB issued ASU No. 2017-08, Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium. The amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 is effective for fiscal years beginning after December 15, 2018 and for interim periods within those fiscal years. Management is currently evaluating the potential impact of this new guidance to the financial statements.

32 Wells Fargo International Bond Fund Report of independent registered public accounting firm

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo International Bond Fund (the “Fund”), one of the funds constituting Wells Fargo Funds Trust, including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for the two-year period ended September 30, 2018, for the period ended September 30, 2016, and for each of the years or periods in the three-year period ended October 31, 2015. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for the two-year period ended September 30, 2018, for the period ended September 30, 2016, and for each of the years or periods in the three-year period ended October 31, 2015, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

Other information (unaudited) Wells Fargo International Bond Fund 33

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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.

34 Wells Fargo International Bond Fund Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

Other information (unaudited) Wells Fargo International Bond Fund 35

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

36 Wells Fargo International Bond Fund Other information (unaudited)

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

Other information (unaudited) Wells Fargo International Bond Fund 37

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo International Bond Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo International Bond Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Fargo Asset Management (International), LLC (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

38 Wells Fargo International Bond Fund Other information (unaudited)

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Class A) was higher than the average investment performance of the Universe for the one-year period under review, but lower than the average investment performance of the Universe for the three-, five-, and ten-year periods under review. The Board also noted that the investment performance of the Fund was in range of its benchmark index, the Bloomberg Barclays Global Aggregate ex USD Index, for the one-year period under review, but lower than its benchmark index 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 Universe and benchmark for the periods identified above. The Board took note of the explanations for the relative underperformance during these periods, including with respect to investment decisions and market factors that affected the Fund’s investment performance. The Board also took note of the Fund’s performance relative to the Universe and benchmark over the one-year period under review.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge 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 for each share class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were lower than the sum of these average rates for the Fund’s expense Groups for all share classes.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

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 with investment strategies similar to those of the Fund. 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 institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Other information (unaudited) Wells Fargo International Bond Fund 39

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

40 Wells Fargo International Bond Fund Appendix A (unaudited)

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

Appendix A (unaudited) Wells Fargo International Bond Fund 41

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

42 Wells Fargo International Bond Fund Appendix A (unaudited)

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317287 11-18 A235/AR235 09-18

Annual Report

September 30, 2018

Wells Fargo Strategic Income Fund

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Contents

Letter to shareholders	2
Performance highlights	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	24
Statement of operations	25
Statement of changes in net assets	26
Financial highlights	27
Notes to financial statements	31
Report of independent registered public accounting firm	41
Other information	42
Appendix A	49

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo Strategic Income Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Strategic Income Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo Strategic Income Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Strategic Income Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Strategic Income Fund Performance highlights (unaudited)

Investment objective

The Fund seeks total return, consisting of a high level of current income and capital appreciation.

Manager

Wells Fargo Funds Management, LLC

Subadvisers

Wells Capital Management Incorporated

Wells Capital Asset Management (International), LLC

Portfolio managers

Niklas Nordenfelt, CFA^®

Alex Perrin

Thomas M. Price, CFA^®

Scott M. Smith, CFA^®

Lauren van Biljon, CFA^®‡

Noah Wise, CFA^®

Average annual total returns (%) as of September 30, 2018

		Including sales charge							Excluding sales charge							Expense ratios1 (%)
	Inception date	1 year			5 year		Since inception		1 year			5 year		Since inception		Gross		Net2
Class A (WSIAX)	1-31-2013		(2.47	)		1.57		0.95		1.59			2.41		1.68		1.74		0.91
Class C (WSICX)	1-31-2013		(0.10	)		1.64		0.92		0.88			1.64		0.92		2.49		1.66
Administrator Class (WSIDX)	1-31-2013		–			–		–		1.81			2.52		1.80		1.68		0.76
Institutional Class (WSINX)	1-31-2013		–			–		–		1.93			2.72		1.99		1.41		0.61
Bloomberg Barclays U.S. Universal Bond Index3	–		–			–		–		(1.00	)		2.53		2.04		–		–
ICE BofAML 3-Month LIBOR Constant Maturity Index4	–		–			–		–		1.79			0.76		0.70		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 4.00%. For Class C shares, the maximum contingent deferred sales charge is 1.00%. Performance including a contingent deferred 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.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Strategic Income Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

Bond values fluctuate in response to the financial condition of individual issuers, general market and economic conditions, and changes in interest rates. Changes in market conditions and government policies may lead to periods of heightened volatility in the bond market and reduced liquidity for certain bonds held by the Fund. In general, when interest rates rise, bond values fall and investors may lose principal value. Interest rate changes and their impact on the Fund and its share price can be sudden and unpredictable. High-yield securities have a greater risk of default and tend to be more volatile than higher-rated debt securities. Loans are subject to risks similar to those associated with other below investment-grade bond investments, such as credit risk (for example, risk of issuer default), below-investment-grade bond risk (for example, risk of greater volatility in value), and risk that the loan may become illiquid or difficult to price. Foreign investments are especially volatile and can rise or fall dramatically due to differences in the political and economic conditions of the host country. These risks are generally intensified in emerging markets. 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 mortgage- and asset-backed securities risk, regulatory risk, and geographic risk. Consult the Fund’s prospectus for additional information on these and other risks.

^‡ Ms. van Biljon became a portfolio manager of the Fund on October 3, 2018.

¹  Reflects the expense ratios as stated in the most recent prospectuses, which include the impact of 0.01% in acquired fund fees and expenses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report, which do not include acquired fund fees and expenses.

²  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at 0.90% for Class A, 1.65% for Class C, 0.75% for Administrator Class, and 0.60% for Institutional Class. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

³  The Bloomberg Barclays U.S. Universal Bond Index is an unmanaged market-value-weighted performance benchmark for the U.S. dollar–denominated bond market, which includes investment-grade, high-yield, and emerging markets debt securities with maturities of one year or more. You cannot invest directly in an index.

⁴  The ICE BofAML 3-Month LIBOR Constant Maturity Index is based on the assumed purchase of a synthetic instrument having 3 months to maturity and with a coupon equal to the closing quote for 3-Month LIBOR. That issue is sold the following day (priced at a yield equal to the current day closing 3-Month LIBOR rate) and is rolled into a new 3-month instrument. The index, therefore, will always have a constant maturity equal to exactly 3 months. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

⁵  The chart compares the performance of Class A shares since inception with the Bloomberg Barclays U.S. Universal Bond Index and the ICE BofAML 3-Month LIBOR Constant Maturity Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 4.00%.

⁶  The Consumer Price Index (CPI) is a measure of the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services. You cannot invest directly in an index.

⁷  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁸ Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo Strategic Income Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund (Class A excluding sales charge) outperformed the Bloomberg Barclays U.S. Universal Bond Index and underperformed the ICE BofAML 3-Month LIBOR Constant Maturity Index for the 12-month period that ended September 30, 2018.

∎ The Fund’s holdings in high-yield and investment-grade corporate bonds, asset-backed securities (ABS), and collateralized loan obligations (CLOs) contributed to performance.

∎ The Fund’s shorter duration posture compared with the Bloomberg Barclays U.S. Universal Bond Index also benefited performance, while the longer duration position relative to the ICE BofAML 3-Month LIBOR Constant Maturity Index detracted from performance.

Economic growth accelerated and policy normalization continued.

Over the past four quarters, U.S. gross domestic product (GDP) grew by 2.9% in real terms, which was above the post-financial-crisis average. Business investment was a significant source of strength, rising 4.8% for the 12 months that ended June 30, 2018. Consumer spending was a net contributor to growth, although it failed to keep pace with the business sector. Inventories were a net detractor from GDP growth, while trade and government spending were modestly positive factors.

The labor market generally was healthy over the past 12 months. Nonfarm payrolls expanded by an average of 194,000 jobs per month over the period, while the unemployment rate declined to 3.7% at the end of September 2018 from 4.4% a year earlier. Also encouraging was the increase in the employment/population ratio during the reporting period, reflecting both the fall in unemployment and a modest increase in the labor force participation rate. Wage gains of about 2.8% over the past 12 months were sufficient to support consumption growth without sparking fears of rising inflation. The CPI⁶ also rose 2.7% over the past year, which accelerated due in part to higher energy prices.

Ten largest holdings (%) as of September 30, 20187
SPDR Bloomberg Barclays Short Term High Yield Bond ETF	1.95
Vanguard Intermediate-Term Corporate Bond ETF	1.91
CIFC Funding Limited Series 2018-1A Class B, 3.56%, 4-18-2031	1.88
Malaysia, 3.88%, 3-10-2022	1.41
Poland, 2.50%, 7-25-2027	1.37
Venture CDO Limited Class 2016-23A Class AR, 3.41%, 7-19-2018	1.34
BlueMountain CLO Limited Series 2015-3A Class A1R, 3.35%, 4-20-2031	1.33
SoFi Consumer Loan Program Trust Series 2018-1 Class C, 3.97%, 2-25-2027	1.31
Harley Marine Financing LLC Barge 2018-1A Class A2, 5.68%, 5-15-2043	1.31
DRB Prime Student Loan Trust Series 2017-C Class C, 3.29%, 11-25-2042	1.30

The U.S. Federal Reserve’s (Fed’s) rate-setting committee, the Federal Open Market Committee (FOMC), raised the federal funds rate three times over the past 12 months by a total of 0.75%. The FOMC’s gradual approach to hiking rates is supported by Fed Chairman Jerome Powell, who has taken the position that there’s no sense that inflation will take off or move unexpectedly quickly.

In line with the FOMC’s policy moves, interest rates had an upward bias over the past 12 months, particularly in shorter-maturity instruments. Yields on 2-year Treasuries rose by 130 basis points (bps; 100 bps equal 1.00%) during the period, while 10-year Treasuries were about 75 bps higher. Investment-grade credit spreads tightened rapidly into the start of 2018 after the corporate tax cut was enacted in the U.S. but ended the period slightly wider after trade tensions and heavy supply took their toll on bond prices.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Strategic Income Fund 9

The Fund increased allocations to securitized sectors and European high yield while decreasing exposures to U.S. credit and emerging markets.

During the period, the Fund reduced its positions in U.S. credit and emerging markets while adding securitized and European high-yield holdings. The decreased U.S. credit allocation followed strong returns for investment-grade and high-yield corporate bonds, while the lower emerging market holdings reflected the diminished relative value available in that space due to deteriorating fundamentals and tighter financial conditions. The increased securitized holdings were due to the better relative value we found in higher-quality CLOs and in parts of the ABS market. The Fund also increased its exposure to European high-yield corporates due to improved valuations following the sector’s underperformance and the increasingly attractive yields available on a currency-hedged basis.

The Fund’s duration also was reduced throughout much of the reporting period, which helped results because U.S. Treasury yields increased.

Portfolio allocation as of September 30, 2018⁸

We continue to expect a supportive macroeconomic environment and a gradual rise in short-term interest rates.

We expect macroeconomic trends to remain relatively consistent in the coming quarters, aided by fiscal stimulus and looser regulations. Real GDP growth in the area of 3% is likely to persist for a period of time, barring some external shock. The biggest risks to the outlook include an escalation in trade tensions and a larger-than-expected slowdown in the Chinese economy.

Please see footnotes on page 7.

10 Wells Fargo Strategic Income 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,025.56	$	4.57		0.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.56	$	4.56		0.90	%
Class C
Actual	$	1,000.00	$	1,021.66	$	8.36		1.65	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,016.80	$	8.34		1.65	%
Administrator Class
Actual	$	1,000.00	$	1,023.38	$	3.80		0.75	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.31	$	3.80		0.75	%
Institutional Class
Actual	$	1,000.00	$	1,027.54	$	3.05		0.60	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,022.06	$	3.04		0.60	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Strategic Income Fund 11

Security name	Interest rate			Maturity date		Principal		Value
Asset-Backed Securities: 10.39%
AmeriCredit Automobile Receivables Trust Series 2015-4 Class D		3.72	%		12-8-2021	$	300,000	$	301,552
Ascentium Equipment Receivables LLC Series 2016-1A Class B 144A		2.85			7-10-2020		400,000		399,727
Avis Budget Rental Car Funding LLC Series 2017-1A Class C 144A		4.15			9-20-2023		650,000		634,265
Chesapeake Funding II LLC Series 2017-4A Class D 144A		3.26			11-15-2029		400,000		392,302
Coinstar Funding LLC Series 2017-1A Class A2 144A		5.22			4-25-2047		493,750		499,561
Dell Equipment Finance Trust Series 2017-2 Class D 144A		3.27			10-23-2023		400,000		396,442
DRB Prime Student Loan Trust Series 2017-C Class C 144A		3.29			11-25-2042		700,000		680,360
SMB Private Education Loan Trust Series 2015-C Class C 144A		4.50			9-17-2046		290,000		294,349
SoFi Consumer Loan Program Trust Series 2016-3A 144A		3.05			12-26-2025		219,012		218,062
SoFi Consumer Loan Program Trust Series 2018-1 Class C 144A		3.97			2-25-2027		700,000		688,643
SoFi Professional Loan Program LLC Series 2016-A Class A2 144A		2.76			12-26-2036		207,151		203,801
SoFi Professional Loan Program LLC Series 2017-E Class B 144A		3.49			11-26-2040		300,000		290,098
Store Master Funding LLC Series 2014-1A ClassA2 144A		5.00			4-20-2044		97,833		98,483
Tesla Auto Lease Trust Series 2018-A Class E 144A		4.94			3-22-2021		350,000		350,582
Total Asset-Backed Securities (Cost $5,518,155)									5,448,227
Corporate Bonds and Notes: 20.33%
Communication Services: 4.00%
Diversified Telecommunication Services: 0.68%
AT&T Incorporated		5.25			3-1-2037		135,000		134,385
Verizon Communications Incorporated		5.50			3-16-2047		205,000		223,461
									357,846
Media: 2.59%
Altice US Finance I Corporation 144A		5.50			5-15-2026		125,000		124,625
CCO Holdings LLC		5.25			9-30-2022		50,000		50,639
CCO Holdings LLC 144A		5.38			5-1-2025		150,000		148,875
Charter Communications Operating LLC		4.91			7-23-2025		200,000		202,991
Cox Communications Incorporated 144A		3.50			8-15-2027		200,000		188,128
Discovery Communications LLC		3.80			3-13-2024		100,000		98,056
Gray Television Incorporated 144A		5.13			10-15-2024		50,000		48,313
Gray Television Incorporated 144A		5.88			7-15-2026		50,000		49,563
National CineMedia LLC		6.00			4-15-2022		75,000		75,938
Nielsen Finance LLC 144A		5.00			4-15-2022		75,000		73,199
Salem Media Group Incorporated 144A		6.75			6-1-2024		50,000		44,500
Time Warner Cable Incorporated		3.80			2-15-2027		265,000		253,338
									1,358,165
Wireless Telecommunication Services: 0.73%
CC Holdings GS V LLC		3.85			4-15-2023		100,000		99,314
Sprint Communications Incorporated 144A		7.00			3-1-2020		150,000		155,625
T-Mobile USA Incorporated		6.38			3-1-2025		120,000		125,016
									379,955
Consumer Discretionary: 1.86%
Auto Components: 0.10%
Allison Transmission Incorporated 144A		5.00			10-1-2024		50,000		49,750

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

12 Wells Fargo Strategic Income Fund Portfolio of investments—September 30, 2018

Security name	Interest rate				Maturity date		Principal		Value
Automobiles: 0.17%
Ford Motor Company		7.45	%			7-16-2031	$	80,000	$	89,109
Distributors: 0.19%
LKQ Corporation		4.75				5-15-2023		100,000		100,176
Diversified Consumer Services: 0.24%
Carriage Services Incorporated 144A		6.63				6-1-2026		25,000		25,563
Service Corporation International		5.38				5-15-2024		100,000		102,000
										127,563
Hotels, Restaurants & Leisure: 0.28%
Hilton Domestic Operating Company Incorporated 144A		5.13				5-1-2026		75,000		74,531
Wyndham Hotels & Resorts Company 144A		5.38				4-15-2026		75,000		74,344
										148,875
Multiline Retail: 0.18%
Nordstrom Incorporated		5.00				1-15-2044		100,000		92,082
Specialty Retail: 0.61%				��
Asbury Automotive Group Incorporated		6.00				12-15-2024		75,000		75,750
Group 1 Automotive Incorporated		5.00				6-1-2022		50,000		49,750
Lithia Motors Incorporated 144A		5.25				8-1-2025		75,000		71,813
Penske Auto Group Incorporated		5.75				10-1-2022		50,000		50,994
Sonic Automotive Incorporated		5.00				5-15-2023		75,000		70,688
										318,995
Textiles, Apparel & Luxury Goods: 0.09%
Wolverine World Wide Incorporated 144A		5.00				9-1-2026		50,000		49,063
Energy: 2.85%
Energy Equipment & Services: 0.48%
Bristow Group Incorporated 144A		8.75				3-1-2023		25,000		24,438
Era Group Incorporated		7.75				12-15-2022		40,000		39,450
Hilcorp Energy Company 144A		5.75				10-1-2025		75,000		75,281
Hornbeck Offshore Services Incorporated		1.50				9-1-2019		25,000		22,031
NGPL PipeCo LLC 144A		7.77				12-15-2037		75,000		91,875
										253,075
Oil, Gas & Consumable Fuels: 2.37%
Cheniere Energy Partners LP		5.25				10-1-2025		100,000		100,000
Denbury Resources Incorporated 144A		9.00				5-15-2021		75,000		81,094
EnLink Midstream Partners LP		4.40				4-1-2024		50,000		48,535
EnLink Midstream Partners LP		4.85				7-15-2026		25,000		24,229
Exterran Partners LP		6.00				4-1-2021		50,000		50,250
Murphy Oil Corporation		5.75				8-15-2025		5,000		5,080
Phillips 66		4.88				11-15-2044		250,000		258,770
Rockies Express Pipeline LLC 144A		6.88				4-15-2040		75,000		85,500
Rose Rock Midstream LP		5.63				11-15-2023		100,000		97,000
SemGroup Corporation		7.25				3-15-2026		25,000		24,938

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

Portfolio of investments—September 30, 2018 Wells Fargo Strategic Income Fund 13

Security name	Interest rate			Maturity date		Principal		Value
Oil, Gas & Consumable Fuels (continued)
Sunoco Logistics Partner LP		5.40	%		10-1-2047	$	250,000	$	246,921
Tallgrass Energy Partners LP 144A		5.50			9-15-2024		175,000		178,281
Ultra Resources Incorporated 144A		6.88			4-15-2022		25,000		11,875
Ultra Resources Incorporated 144A		7.13			4-15-2025		75,000		30,375
									1,242,848
Financials: 4.61%
Banks: 1.22%
Bank of America Corporation (3 Month LIBOR +4.55%) ±		6.30			12-29-2049		265,000		285,538
JPMorgan Chase & Company (3 Month LIBOR +3.30%) ±		6.00			12-31-2049		100,000		103,875
PNC Financial Services (3 Month LIBOR +3.30%) ±		5.00			12-29-2049		250,000		249,063
									638,476
Capital Markets: 0.68%
Blackstone Holdings Finance Company LLC 144A		3.15			10-2-2027		100,000		92,513
Goldman Sachs Group Incorporated		4.25			10-21-2025		265,000		262,460
									354,973
Consumer Finance: 0.48%
FirstCash Incorporated 144A		5.38			6-1-2024		25,000		25,125
Synchrony Financial		3.95			12-1-2027		250,000		226,508
									251,633
Diversified Financial Services: 0.70%
Brookfield Finance LLC		4.00			4-1-2024		200,000		199,163
LPL Holdings Incorporated 144A		5.75			9-15-2025		150,000		146,813
Vantiv LLC 144A		4.38			11-15-2025		25,000		23,750
									369,726
Insurance: 1.53%
American Equity Investment Life Insurance Company		5.00			6-15-2027		100,000		96,899
Brighthouse Financial Incorporated		4.70			6-22-2047		200,000		165,266
Guardian Life Insurance Company 144A		4.85			1-24-2077		200,000		195,702
Lincoln National Corporation		7.00			6-15-2040		105,000		131,597
MetLife Incorporated		6.40			12-15-2066		200,000		212,000
									801,464
Health Care: 1.21%
Biotechnology: 0.18%
Celgene Corporation		3.45			11-15-2027		100,000		93,314
Health Care Equipment & Supplies: 0.14%
Hologic Incorporated 144A		4.38			10-15-2025		75,000		71,438
Health Care Providers & Services: 0.89%
CVS Health Corporation		5.05			3-25-2048		300,000		306,494
Highmark Incorporated 144A		6.13			5-15-2041		100,000		109,549

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

14 Wells Fargo Strategic Income Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Health Care Providers & Services (continued)
MPH Acquisition Holdings LLC 144A		7.13	%		6-1-2024	$	25,000	$	25,988
Select Medical Corporation		6.38			6-1-2021		25,000		25,372
									467,403
Industrials: 1.24%
Aerospace & Defense: 0.14%
RBS Global & Rexnord LLC 144A		4.88			12-15-2025		75,000		71,438
Airlines: 0.03%
BBA US Holdings Incorporated 144A		5.38			5-1-2026		15,000		15,056
Chemicals: 0.46%
Avantor Incorporated		4.75			10-1-2024		200,000		240,546
Commercial Services & Supplies: 0.38%
Advanced Disposal Services Incorporated 144A		5.63			11-15-2024		50,000		50,550
Covanta Holding Corporation		5.88			3-1-2024		75,000		76,571
KAR Auction Services Incorporated 144A		5.13			6-1-2025		75,000		72,750
									199,871
Transportation Infrastructure: 0.23%
Toll Road Investors Partnership II LP 144A(z)		5.83			2-15-2027		200,000		123,591
Information Technology: 1.75%
Electronic Equipment, Instruments & Components: 0.19%
Arrow Electronics Incorporated		3.50			4-1-2022		100,000		98,262
IT Services: 0.38%
Cardtronics Incorporated		5.13			8-1-2022		50,000		49,210
Gartner Incorporated 144A		5.13			4-1-2025		75,000		75,403
Zayo Group LLC		6.38			5-15-2025		75,000		77,927
									202,540
Semiconductors & Semiconductor Equipment: 0.35%
Broadcom Corporation		3.88			1-15-2027		195,000		183,907
Software: 0.46%
Citrix Systems Incorporated		4.50			12-1-2027		250,000		240,764
Technology Hardware, Storage & Peripherals: 0.37%
Diamond 1 Finance Corporation 144A		8.35			7-15-2046		75,000		93,122
NCR Corporation		5.88			12-15-2021		100,000		101,000
									194,122
Materials: 0.69%
Containers & Packaging: 0.69%
Crown Americas LLC 144A		4.75			2-1-2026		75,000		71,813
Owens-Illinois Incorporated 144A		6.38			8-15-2025		50,000		51,375

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

Portfolio of investments—September 30, 2018 Wells Fargo Strategic Income Fund 15

Security name	Interest rate			Maturity date		Principal		Value
Containers & Packaging (continued)
Silgan Holdings Incorporated		3.25	%		3-15-2025	$	200,000	$	239,430
									362,618
Real Estate: 0.85%
Equity REITs: 0.09%
The Geo Group Incorporated		5.88			10-15-2024		50,000		47,875
Real Estate Management & Development: 0.76%
Washington Prime Group		3.85			4-1-2020		400,000		395,898
Utilities: 1.27%
Electric Utilities: 0.71%
Oglethorpe Power Corporation		4.25			4-1-2046		400,000		374,480
Independent Power & Renewable Electricity Producers: 0.56%
NSG Holdings LLC 144A		7.75			12-15-2025		87,449		95,866
Pattern Energy Group Incorporated 144A		5.88			2-1-2024		75,000		75,750
TerraForm Global Operating LLC 144A		6.13			3-1-2026		25,000		24,000
TerraForm Power Operating LLC 144A		4.25			1-31-2023		100,000		97,750
									293,366
Total Corporate Bonds and Notes (Cost $10,815,736)									10,660,263
						Shares
Exchange-Traded Funds: 3.86%
SPDR Bloomberg Barclays Short Term High Yield Bond ETF							37,000		1,020,830
Vanguard Intermediate-Term Corporate Bond ETF							12,000		1,002,360
Total Exchange-Traded Funds (Cost $2,019,467)									2,023,190
						Principal
Foreign Corporate Bonds and Notes @: 5.23%
Communication Services: 0.44%
Media: 0.44%
Altice SA 144A (EUR)		7.25			5-15-2022		200,000		231,374
Consumer Discretionary: 1.46%
Auto Components: 0.33%
HP Pelzer Holding GmbH 144A (EUR)		4.13			4-1-2024		150,000		174,358
Automobiles: 0.44%
Peugeot SA Company (EUR)		2.00			3-20-2025		200,000		232,319
Hotels, Restaurants & Leisure: 0.35%
Snaitech SpA 144A (EUR)		6.38			11-7-2021		150,000		180,688
Internet & Direct Marketing Retail: 0.34%
Selecta Group BV 144A (EUR)		5.88			2-1-2024		150,000		175,253

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

16 Wells Fargo Strategic Income Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Energy: 0.24%
Oil, Gas & Consumable Fuels: 0.24%
Total SA (5 Year EUR Swap +3.78%) (EUR) ±		3.88	%		12-29-2049		100,000	$	125,683
Financials: 2.10%
Banks: 1.65%
Bankia SA (5 Year EUR Swap +5.82%) (EUR) ±		6.00			12-31-2099		200,000		234,829
International Finance Corporation (INR)		5.85			11-25-2022		17,000,000		220,139
International Finance Corporation (INR)		7.80			6-3-2019		29,900,000		411,687
									866,655
Diversified Financial Services: 0.45%
LKQ European Holdings BV Company 144A (EUR)		3.63			4-1-2026		200,000		235,703
Industrials: 0.77%
Commercial Services & Supplies: 0.33%
Paprec Holding SA 144A (EUR)		4.00			3-31-2025		150,000		175,229
Road & Rail: 0.44%
Europcar Groupe SA 144A (EUR)		4.13			11-15-2024		200,000		230,524
Real Estate: 0.22%
Real Estate Management & Development: 0.22%
ATF Netherlands BV (EUR)		1.50			7-15-2024		100,000		114,948
Total Foreign Corporate Bonds and Notes (Cost $2,925,508)									2,742,734
Foreign Government Bonds @: 8.97%
Brazil (BRL)		10.00			1-1-2021		640,000		164,113
Brazil (BRL)		10.00			1-1-2027		865,000		196,774
Colombia (COP)		7.00			9-11-2019		1,400,000,000		483,630
Indonesia (IDR)		7.88			4-15-2019		9,425,000,000		634,700
Italy 144A (EUR)		4.75			9-1-2028		175,000		232,733
Malaysia (MYR)		3.88			3-10-2022		3,030,000		738,044
Mexico (MXN)		6.50			6-9-2022		8,760,000		449,220
Poland (PLN)		2.50			7-25-2027		2,805,000		720,560
Republic of Peru (PEN)		5.70			8-12-2024		1,515,000		478,238
Republic of South Africa (ZAR)		6.75			3-31-2021		6,500,000		448,111
Republic of South Africa (ZAR)		8.75			2-28-2048		2,500,000		157,182
Total Foreign Government Bonds (Cost $5,072,245)									4,703,305
Loans: 5.87%
Communication Services: 1.36%
Diversified Telecommunication Services: 0.65%
Intelsat Jackson Holdings SA (1 Month LIBOR +3.75%) ±		5.98			11-27-2023	$	240,332		241,166
Level 3 Financing Incorporated (1 Month LIBOR +2.25%) ±		4.43			2-22-2024		101,410		101,678
									342,844
Media: 0.71%
A-L Parent LLC (1 Month LIBOR +3.25%) ±‡		5.50			12-1-2023		147,375		148,849
Altice US Finance I Corporation (1 Month LIBOR +2.25%) ±		4.49			7-28-2025		147,383		147,199

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

Portfolio of investments—September 30, 2018 Wells Fargo Strategic Income Fund 17

Security name	Interest rate			Maturity date		Principal		Value
Media (continued)
Syniverse Holdings Incorporated (1 Month LIBOR +5.00%) ±		7.15	%		3-9-2023	$	74,625	$	74,842
									370,890
Consumer Discretionary: 0.94%
Distributors: 0.58%
Spin Holdco Incorporated (3 Month LIBOR +3.25%) ±		5.59			11-14-2022		302,535		303,122
Hotels, Restaurants & Leisure: 0.36%
CCM Merger Incorporated (1 Month LIBOR +2.75%) ±		4.99			8-8-2021		186,961		187,803
Financials: 0.63%
Diversified Financial Services: 0.25%
LPL Holdings Incorporated (1 Month LIBOR +2.25%) ±‡		4.42			9-23-2024		133,291		133,875
Insurance: 0.38%
Alliant Holdings Intermediate LLC (1 Month LIBOR +3.00%) ±		5.15			5-9-2025		196,973		197,572
Health Care: 1.12%
Health Care Equipment & Supplies: 0.47%
Kinetic Concepts Incorporated (3 Month LIBOR +3.25%) ±		5.64			2-2-2024		246,875		248,109
Health Care Providers & Services: 0.07%
CHS Incorporated (3 Month LIBOR +3.25%) ±		5.56			1-27-2021		37,876		37,359
Health Care Technology: 0.47%
Change Healthcare Holdings Incorporated (1 Month LIBOR +2.75%) ±		4.99			3-1-2024		243,750		244,474
Pharmaceuticals: 0.11%
Valeant Pharmaceuticals International Incorporated (1 Month LIBOR +3.00%) ±		5.10			6-2-2025		55,441		55,703
Industrials: 0.17%
Commercial Services & Supplies: 0.17%
KAR Auction Services Incorporated (3 Month LIBOR +2.25%) ±		4.69			3-11-2021		87,232		87,487
Information Technology: 1.23%
Electronic Equipment, Instruments & Components: 0.69%
Dell Incorporated (1 Month LIBOR +2.00%) ±		4.25			9-7-2023		361,731		362,455
IT Services: 0.54%
First Data Corporation (1 Month LIBOR +2.00%) ±		4.21			7-8-2022		280,989		281,405
Materials: 0.28%
Containers & Packaging: 0.28%
Reynolds Group Holdings Incorporated (1 Month LIBOR +2.75%) ±		4.99			2-5-2023		147,007		147,624
Real Estate: 0.14%
Real Estate Management & Development: 0.14%
Capital Automotive LP (1 Month LIBOR +2.50%) ±		4.75			3-24-2024		74,598		74,691
Total Loans (Cost $3,078,585)									3,075,413

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

18 Wells Fargo Strategic Income Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Municipal Obligations: 2.54%
Illinois: 0.62%
GO Revenue: 0.35%
Chicago IL Refunding Bonds Taxable Project Series E		6.05	%		1-1-2029	$	180,000	$	183,555
Tax Revenue: 0.27%
Chicago IL Transit Authority Taxable Pension Funding Series A		6.90			12-1-2040		100,000		127,112
Metropolitan Pier & Exposition Authority Illinois CAB McCormick Place Expansion Project Series 2012-B (z)		5.16			12-15-2051		85,000		15,591
									142,703
									326,258
Maryland: 0.19%
Education Revenue: 0.19%
Maryland Health & HEFAR Green Street Academy Series B 144A		6.75			7-1-2023		100,000		97,752
New Jersey: 0.95%
Tax Revenue: 0.95%
New Jersey EDA Motor Vehicle Surcharge Refunding Subordinate Bond Series B		3.52			7-1-2020		500,000		499,895
Pennsylvania: 0.35%
Health Revenue: 0.19%
Quakertown PA General Authority USDA Loan Anticipation Notes Series 2017-B		3.80			7-1-2021		100,000		98,360
Miscellaneous Revenue: 0.16%
Philadelphia PA IDA Pension Funding Series B (Ambac Insured) (z)		3.85			4-15-2021		95,000		86,177
									184,537
Texas: 0.43%
Transportation Revenue: 0.43%
North Texas Tollway Authority Build America Bonds Subordinate Lien Bond Series B-2		8.91			2-1-2030		210,000		224,960
Total Municipal Obligations (Cost $1,353,364)									1,333,402
Non-Agency Mortgage-Backed Securities: 18.15%
321 Henderson Receivables LLC Series 2015-2A Class A 144A		3.87			3-15-2058		406,660		405,239
ALM Loan Funding Series 2016-18A Class A2R (3 Month LIBOR +1.65%) 144A±		3.99			1-15-2028		600,000		600,886
BB-UBS Trust Series 2012-TFT Class C 144A±±		3.58			6-5-2030		150,000		145,360
BCC Funding Corporation Series 2016-1 Class B 144A		2.73			4-20-2022		400,000		396,614
BlueMountain CLO Limited Series 2015-3A Class A1R (3 Month LIBOR +1.00%) 144A±		3.35			4-20-2031		700,000		697,015
CIFC Funding Limited Series 2018-1A Class B (3 Month LIBOR +1.40%) 144A±		3.56			4-18-2031		1,000,000		987,524
Consumer Loan Underlying Bond Club Series 2018- P2 Class B 144A(a)		4.10			10-15-2025		500,000		499,927
FREMF Mortgage Trust Series 2017-K724 Class B 144A±±		3.60			11-25-2023		400,000		385,034
GS Mortgage Securities Trust Series 2014-GC24 Class D 144A±±		4.66			9-10-2047		325,000		287,128
Harley Marine Financing LLC Barge Series 2018-1A Class A2 144A		5.68			5-15-2043		693,000		684,331
JPMBB Commercial Mortgage Securities Trust Series 2014-C19 Class D 144A±±		4.82			4-15-2047		493,000		440,982
Longtrain Leasing III LLC Series 2015-1A Class A2 144A		4.06			1-15-2045		500,000		495,374
Marlette Funding Trust Series 2018-3A Class A 144A		3.20			9-15-2028		558,222		558,116

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

Portfolio of investments—September 30, 2018 Wells Fargo Strategic Income Fund 19

Security name	Interest rate			Maturity date		Principal		Value
Non-Agency Mortgage-Backed Securities (continued)
MidOcean Credit CLO Limited Series 2016-5A Class B1R (3 Month LIBOR +1.60%) 144A±		0.73	%		7-19-2028	$	500,000	$	500,091
MP CLO VIII Limited Series 2015-2A Class AR (3 Month LIBOR +0.91%) 144A±		3.25			10-28-2027		600,000		598,573
Navistar Financial Dealer Note Series 2018-1 Class D (1 Month LIBOR +1.55%) 144A±		3.72			9-25-2023		600,000		600,017
Spirit Master Funding LLC Series 2017-1A Class A 144A		4.36			12-20-2047		298,210		296,532
Textainer Marine Containers Limited Series 2017-1A Class B 144A		4.85			5-20-2042		148,336		146,570
Textainer Marine Containers Limited Series 2017-2A Class B 144A		4.75			6-20-2042		90,039		88,714
Venture CDO Limited Series 2016-23A Class AR (3 Month LIBOR +1.07%) 144A±		3.41			7-19-2028		700,000		699,990
Total Non-Agency Mortgage-Backed Securities (Cost $9,559,188)									9,514,017
				Expiration date		Shares
Rights: 0.01%
Utilities: 0.01%
Independent Power & Renewable Electricity Producers: 0.01%
Vistra Energy Corporation †					12-31-2046		6,516		4,887
Total Rights (Cost $6,785)									4,887
				Maturity date		Principal
U.S. Treasury Securities: 0.04%
U.S. Treasury Bond		2.88			5-15-2028	$	20,000		19,701
Total U.S. Treasury Securities (Cost $19,832)									19,701
Yankee Corporate Bonds and Notes: 7.18%
Energy: 0.85%
Energy Equipment & Services: 0.11%
Ensco plc		5.75			10-1-2044		75,000		56,063
Oil, Gas & Consumable Fuels: 0.74%
Comision Federal de Electricidad 144A		4.75			2-23-2027		250,000		246,565
Teekay Corporation		8.50			1-15-2020		50,000		50,884
Woodside Finance Limited 144A		3.70			3-15-2028		100,000		93,762
									391,211
Financials: 4.91%
Banks: 2.97%
ABN AMRO Bank NV 144A		4.75			7-28-2025		200,000		200,498
Banco Internacional del Peru SAA Interbank 144A		3.38			1-18-2023		300,000		287,310
Banistmo SA 144A		3.65			9-19-2022		100,000		95,375
BPCE SA 144A		5.15			7-21-2024		305,000		310,127
Credit Agricole SA (5 Year USD Swap +6.19%) 144A±		8.13			12-29-2049		265,000		291,493
Intesa Sanpaolo SpA 144A		5.71			1-15-2026		135,000		123,103
UBS Group Funding Limited 144A		4.13			9-24-2025		250,000		248,321
									1,556,227
Capital Markets: 0.49%
Credit Suisse Group AG 144A		3.57			1-9-2023		260,000		254,748

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

20 Wells Fargo Strategic Income Fund Portfolio of investments—September 30, 2018

Security name	Interest rate			Maturity date		Principal		Value
Diversified Financial Services: 0.58%
Intelsat Jackson Holdings SA		5.50	%		8-1-2023	$	100,000	$	92,200
Teva Pharmaceutical Finance Netherlands III BV		6.75			3-1-2028		200,000		210,852
									303,052
Insurance: 0.44%
Validus Holdings Limited		8.88			1-26-2040		160,000		229,797
Thrifts & Mortgage Finance: 0.43%
Nationwide Building Society (USD ICE Swap Rate 11:00am NY 5 +1.85%) 144A±		4.13			10-18-2032		250,000		228,191
Health Care: 0.76%
Pharmaceuticals: 0.76%
Bausch Health Companies Incorporated 144A		5.50			3-1-2023		25,000		24,050
Bausch Health Companies Incorporated 144A		5.50			11-1-2025		50,000		49,913
Bausch Health Companies Incorporated 144A		6.13			4-15-2025		25,000		23,776
Bausch Health Companies Incorporated 144A		7.00			3-15-2024		25,000		26,413
Teva Pharmaceutical Finance BV		4.10			10-1-2046		380,000		276,591
									400,743
Industrials: 0.52%
Commercial Services & Supplies: 0.19%
Ritchie Brothers Auctioneers Incorporated 144A		5.38			1-15-2025		100,000		99,950
Transportation Infrastructure: 0.33%
Asciano Finance Limited 144A		4.63			9-23-2020		170,000		171,908
Materials: 0.14%
Containers & Packaging: 0.14%
OI European Group BV 144A		4.00			3-15-2023		75,000		71,250
Total Yankee Corporate Bonds and Notes (Cost $3,798,375)									3,763,140
Yankee Government Bonds: 2.57%
Bermuda 144A		3.72			1-25-2027		250,000		237,785
Federal Democratic Republic of Ethiopia		6.63			12-11-2024		200,000		202,636
Province of Cordoba 144A		7.13			8-1-2027		400,000		318,000
Province of Santa Fe		7.00			3-23-2023		200,000		177,000
Republic of Sri Lanka		5.75			1-18-2022		200,000		196,390
The Dominican Republic		6.88			1-29-2026		200,000		213,488
Total Yankee Government Bonds (Cost $1,453,108)									1,345,299
	Yield					Shares
Short-Term Investments: 10.32%
Investment Companies: 9.92%
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99					5,204,420		5,204,420

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

Portfolio of investments—September 30, 2018 Wells Fargo Strategic Income Fund 21

Security name	Interest rate			Maturity date		Principal		Value
U.S. Treasury Securities: 0.40%
U.S. Treasury Bill (z)#		2.08	%		12-13-2018	$	210,000	$	209,096
Total Short-Term Investments (Cost $5,413,526)									5,413,516

Total investments in securities (Cost $51,033,874)	95.46	%		50,047,094
Other assets and liabilities, net	4.54			2,381,246
Total net assets	100.00	%	$	52,428,340

144A The security may be resold in transactions exempt from registration, normally to qualified institutional buyers, pursuant to Rule 144A under the Securities Act of 1933.

± Variable rate investment. The rate shown is the rate in effect at period end.

(z) Zero coupon security. The rate represents the current yield to maturity.

@ Foreign bond principal is denominated in the local currency of the issuer.

‡ Security is valued using significant unobservable inputs.

±± The coupon of the security is adjusted based on the principal and interest payments received from the underlying pool of mortgages as well as the credit quality and the actual prepayment speed of the underlying mortgages.

(a) The security is fair valued in accordance with procedures approved by the Board of Trustees.

† Non-income-earning security

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(u) The rate represents the 7-day annualized yield at period end.

# All or a portion of this security is segregated as collateral for investments in derivative instruments.

Abbreviations:

Ambac Ambac Financial Group Incorporated

BRL Brazilian real

CAB Capital appreciation bond

CLO Collateralized loan obligation

COP Colombian peso

EDA Economic Development Authority

EUR Euro

GO General obligation

HEFAR Higher education facilities authority revenue

HUF Hungarian forint

IDA Industrial Development Authority

IDR Indonesian rupiah

JPY Japanese yen

LIBOR London Interbank Offered Rate

MXN Mexican peso

MYR Malaysian ringgit

PEN Peruvian sol

PLN Polish zloty

REIT Real estate investment trust

ZAR South African rand

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

22 Wells Fargo Strategic Income Fund Portfolio of investments—September 30, 2018

Futures Contracts

Description	Number of contracts		Expiration date		Notional cost			Notional value			Unrealized gains		Unrealized losses
Long
Euro BTP Future		4		12-6-2018	$	562,744		$	575,138		$	12,394	$	0
Short
Euro-Bund Futures		(3)		12-6-2018		(559,146	)		(553,090	)		6,056		0
Euro-Bund Futures		(2)		12-6-2018		(305,516	)		(303,499	)		2,017		0
10-Year Ultra Futures		(36)		12-19-2018		(4,600,345	)		(4,536,000	)		64,345		0
U.S. Ultra Bond		(7)		12-19-2018		(1,112,878	)		(1,079,969	)		32,909		0
10-Year U.S. Treasury Notes		(5)		12-19-2018		(600,031	)		(593,906	)		6,125		0
5-Year U.S. Treasury Notes		(52)		12-31-2018		(5,890,188	)		(5,848,781	)		41,407		0
2-Year U.S. Treasury Notes		(24)		12-31-2018		(5,070,126	)		(5,057,625	)		12,501		0
											$	177,754	$	0

Forward Foreign Currency Contracts

Currency to be received	Currency to be delivered	Counterparty	Settlement date	Unrealized gains		Unrealized losses
39,104,250 JPY	300,000 EUR	State Street Bank	10-25-2018	$	0	$	(5,924	)
33,502,030 JPY	230,000 GBP	State Street Bank	10-25-2018		0		(5,075	)
300,000 EUR	349,882 USD	State Street Bank	10-25-2018		0		(941	)
39,104,250 JPY	300,000 EUR	State Street Bank	10-25-2018		1,723		0
33,502,030 JPY	230,000 GBP	State Street Bank	10-25-2018		339		0
755,772 USD	3,110,000 MYR	State Street Bank	10-30-2018		4,746		0
658,438 USD	9,735,000,000 IDR	State Street Bank	10-30-2018		7,294		0
428,531 USD	8,425,000 MXN	State Street Bank	11-7-2018		0		(19,147	)
489,724 USD	1,525,000,000 COP	State Street Bank	11-7-2018		0		(25,023	)
654,974 USD	180,000,000 HUF	State Street Bank	11-19-2018		6,356		0
710,378 USD	2,675,000 PLN	State Street Bank	11-23-2018		0		(15,982	)
347,905 USD	1,450,000 BRL	State Street Bank	12-10-2018		0		(9,159	)
565,284 USD	8,700,000 ZAR	State Street Bank	12-12-2018		0		(44,196	)
686,934 USD	525,000 GBP	State Street Bank	12-13-2018		343		0
2,513,789 USD	2,130,000 EUR	Citibank	12-28-2018		22,189		0
473,434 USD	400,000 EUR	Citibank	12-28-2018		5,527		0
				$	48,517	$	(125,447	)

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

Portfolio of investments—September 30, 2018 Wells Fargo Strategic Income Fund 23

Centrally Cleared Credit Default Swaps

Sell protection

Reference index	Fixed rate received			Payment frequency		Maturity date		Notional amount		Value			Premiums paid			Unrealized gains		Unrealized losses
Markit CDX Emerging Markets Index		1.00	%		Quarterly		12-20-2023		950,000 USD	$	(39,917	)	$	(42,549	)	$	2,632	$	0
Markit iTraxx Europe Index		1.00	%		Quarterly		12-20-2023		1,055,000 EUR		19,887			20,150			0		(263	)
Markit iTraxx Europe Crossover Index		5.00	%		Quarterly		12-20-2023		250,000 EUR		30,873			32,578			0		(1,705	)
													$	10,179		$	2,632	$	(1,968	)

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)		Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC *		0		5,947,722		5,947,722		0	$	0	$	0	$	2,943	$	0
Wells Fargo Government Money Market Fund Select Class		4,686,555		43,117,984		42,600,119		5,204,420		0		0		70,930		5,204,420
									$	0	$	0	$	73,873	$	5,204,420		9.92	%

* No longer held end of the period

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

24 Wells Fargo Strategic Income Fund Statement of assets and liabilities—September 30, 2018

Assets
Investments in unaffiliated securities, at value (cost $45,829,454)	$	44,842,674
Investments in affiliated securities, at value (cost $5,204,420)		5,204,420
Cash segregated for centrally cleared swaps		233,047
Cash segregated for futures contracts		41,249
Receivable for investments sold		9,391
Receivable for Fund shares sold		1,885,665
Receivable for interest		425,364
Unrealized gains on forward foreign currency contracts		48,517
Prepaid expenses and other assets		95,998
Total assets		52,786,325
Liabilities
Unrealized losses on forward foreign currency contracts		125,447
Custodian and accounting fees payable		93,262
Payable for Fund shares redeemed		61,939
Shareholder report expenses payable		27,858
Payable for daily variation margin on open futures contracts		17,166
Management fee payable		9,452
Due to custodian bank, foreign currency, at value (cost $5,756)		5,872
Administration fees payable		3,525
Payable for daily variation margin on centrally cleared swaps		3,030
Distribution fee payable		321
Accrued expenses and other liabilities		10,113
Total liabilities		357,985
Total net assets	$	52,428,340
NET ASSETS CONSIST OF
Paid-in capital	$	53,928,176
Total distributable loss		(1,499,836	)
Total net assets	$	52,428,340
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	1,265,573
Shares outstanding – Class A1		134,228
Net asset value per share – Class A		$9.43
Maximum offering price per share – Class A2		$9.82
Net assets – Class C	$	516,727
Shares outstanding – Class C1		54,896
Net asset value per share – Class C		$9.41
Net assets – Administrator Class	$	5,471,262
Shares outstanding – Administrator Class1		578,508
Net asset value per share – Administrator Class		$9.46
Net assets – Institutional Class	$	45,174,778
Shares outstanding – Institutional Class1		4,794,227
Net asset value per share – Institutional Class		$9.42

¹  The Fund has an unlimited number of authorized shares.

²  Maximum offering price is computed as 100/96 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—year ended September 30, 2018 Wells Fargo Strategic Income Fund 25

Investment income
Interest (net of foreign interest withholding taxes of $11,934)	$	1,970,344
Income from affiliated securities		73,873
Dividends		22,314
Total investment income		2,066,531
Expenses
Management fee		261,444
Administration fees
Class A		2,081
Class C		830
Administrator Class		3,188
Institutional Class		35,833
Shareholder servicing fees
Class A		3,251
Class C		1,298
Administrator Class		7,969
Distribution fee
Class C		3,894
Custody and accounting fees		76,158
Professional fees		53,116
Registration fees		58,444
Shareholder report expenses		39,665
Trustees’ fees and expenses		20,772
Other fees and expenses		9,976
Total expenses		577,919
Less: Fee waivers and/or expense reimbursements		(264,993	)
Net expenses		312,926
Net investment income		1,753,605
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Unaffiliated securities		(37,529	)
Futures contracts		632,956
Forward foreign currency contracts		200,159
Credit default swap contracts		71,887
Net realized gains on investments		867,473
Net change in unrealized gains (losses) on:
Unaffiliated securities		(1,638,051	)
Futures contracts		43,612
Forward foreign currency contracts		(102,816	)
Credit default swap contracts		(16,373	)
Net change in unrealized gains (losses) on investments		(1,713,628	)
Net realized and unrealized gains (losses) on investments		(846,155	)
Net increase in net assets resulting from operations	$	907,450

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

26 Wells Fargo Strategic Income Fund Statement of changes in net assets

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	1,753,605					$	1,278,294
Net realized gains (losses) on investments					867,473						(265,813	)
Net change in unrealized gains (losses) on investments					(1,713,628	)					1,149,415
Net increase in net assets resulting from operations					907,450						2,161,896
Distributions to shareholders
Class A					(40,704	)					(28,157	)
Class C					(12,934	)					(9,306	)
Administrator Class					(108,162	)					(12,437	)
Institutional Class					(1,581,265	)					(841,651	)
Total distributions to shareholders					(1,743,065	)					(891,551	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		215,486			2,047,731			321,165			2,992,396
Class C		37,056			354,156			13,178			122,066
Administrator Class		533,993			5,101,091			57,991			545,062
Institutional Class		2,003,885			19,068,416			2,906,247			27,435,661
					26,571,394						31,095,185
Reinvestment of distributions
Class A		4,259			40,371			2,995			27,934
Class C		1,362			12,886			1,010			9,306
Administrator Class		11,373			107,817			1,323			12,409
Institutional Class		166,687			1,581,265			89,616			841,651
					1,742,339						891,300
Payment for shares redeemed
Class A		(179,015	)		(1,698,518	)		(343,855	)		(3,221,808	)
Class C		(25,570	)		(242,124	)		(55,235	)		(514,171	)
Administrator Class		(25,370	)		(241,452	)		(65,078	)		(611,345	)
Institutional Class		(2,163,121	)		(20,590,368	)		(717,532	)		(6,786,658	)
					(22,772,462	)					(11,133,982	)
Net increase in net assets resulting from capital share transactions					5,541,271						20,852,503
Total increase in net assets					4,705,656						22,122,848
Net assets
Beginning of period					47,722,684						25,599,836
End of period				$	52,428,340					$	47,722,684

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Undistributed net investment income at September 30, 2017 was $144,601. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 8, Distributions to Shareholders, in the notes to the financial statements.

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

Financial highlights Wells Fargo Strategic Income Fund 27

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
CLASS A	2018			2017			20161			2015			2014			20132
Net asset value, beginning of period		$9.59			$9.25			$9.13			$9.72			$9.66			$10.00
Net investment income		0.31	3		0.33	3		0.31			0.34			0.37			0.27
Net realized and unrealized gains (losses) on investments		(0.16	)		0.22			(0.01	)		(0.69	)		(0.05	)		(0.36	)
Total from investment operations		0.15			0.55			0.30			(0.35	)		0.32			(0.09	)
Distributions to shareholders from
Net investment income		(0.31	)		(0.21	)		(0.13	)		(0.22	)		(0.26	)		(0.25	)
Tax basis return of capital		0.00			0.00			(0.05	)		(0.02	)		0.00			0.00
Total distributions to shareholders		(0.31	)		(0.21	)		(0.18	)		(0.24	)		(0.26	)		(0.25	)
Net asset value, end of period		$9.43			$9.59			$9.25			$9.13			$9.72			$9.66
Total return4		1.59	%		6.05	%		3.34	%		(3.64	)%		3.36	%		(0.89	)%
Ratios to average net assets (annualized)
Gross expenses		1.45	%		1.78	%		1.80	%		1.63	%		1.51	%		1.85	%
Net expenses		0.90	%		0.90	%		0.90	%		0.90	%		0.90	%		0.90	%
Net investment income		3.26	%		3.47	%		3.85	%		3.77	%		4.02	%		3.76	%
Supplemental data
Portfolio turnover rate		50	%		65	%		52	%		53	%		51	%		39	%
Net assets, end of period (000s omitted)		$1,266			$896			$1,047			$928			$714			$518

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

²  For the period from January 31, 2013 (commencement of class operations) to October 31, 2013

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.

28 Wells Fargo Strategic Income Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
CLASS C	2018			2017			20161			2015			2014			20132
Net asset value, beginning of period		$9.57			$9.22			$9.10			$9.71			$9.65			$10.00
Net investment income		0.23			0.29			0.25			0.28			0.31			0.21
Net realized and unrealized gains (losses) on investments		(0.15	)		0.18			(0.02	)		(0.68	)		(0.06	)		(0.37	)
Total from investment operations		0.08			0.47			0.23			(0.40	)		0.25			(0.16	)
Distributions to shareholders from
Net investment income		(0.24	)		(0.12	)		(0.08	)		(0.19	)		(0.19	)		(0.19	)
Tax basis return of capital		0.00			0.00			(0.03	)		(0.02	)		0.00			0.00
Total distributions to shareholders		(0.24	)		(0.12	)		(0.11	)		(0.21	)		(0.19	)		(0.19	)
Net asset value, end of period		$9.41			$9.57			$9.22			$9.10			$9.71			$9.65
Total return3		0.88	%		5.20	%		2.67	%		(4.35	)%		2.61	%		(1.51	)%
Ratios to average net assets (annualized)
Gross expenses		2.20	%		2.59	%		2.54	%		2.37	%		2.25	%		2.60	%
Net expenses		1.65	%		1.65	%		1.65	%		1.65	%		1.65	%		1.65	%
Net investment income		2.52	%		2.80	%		3.10	%		3.02	%		3.25	%		3.01	%
Supplemental data
Portfolio turnover rate		50	%		65	%		52	%		53	%		51	%		39	%
Net assets, end of period (000s omitted)		$517			$403			$766			$711			$835			$518

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

²  For the period from January 31, 2013 (commencement of class operations) to October 31, 2013

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 Strategic Income Fund 29

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
ADMINISTRATOR CLASS	2018			2017			20161			2015			2014			20132
Net asset value, beginning of period		$9.61			$9.29			$9.16			$9.74			$9.66			$10.00
Net investment income		0.33	3		0.34	3		0.33	3		0.37			0.39			0.28
Net realized and unrealized gains (losses) on investments		(0.16	)		0.20			(0.01	)		(0.70	)		(0.05	)		(0.37	)
Total from investment operations		0.17			0.54			0.32			(0.33	)		0.34			(0.09	)
Distributions to shareholders from
Net investment income		(0.32	)		(0.22	)		(0.14	)		(0.22	)		(0.26	)		(0.25	)
Tax basis return of capital		0.00			0.00			(0.05	)		(0.03	)		0.00			0.00
Total distributions to shareholders		(0.32	)		(0.22	)		(0.19	)		(0.25	)		(0.26	)		(0.25	)
Net asset value, end of period		$9.46			$9.61			$9.29			$9.16			$9.74			$9.66
Total return4		1.81	%		5.91	%		3.52	%		(3.51	)%		3.63	%		(0.85	)%
Ratios to average net assets (annualized)
Gross expenses		1.38	%		1.72	%		1.74	%		1.56	%		1.46	%		1.79	%
Net expenses		0.75	%		0.75	%		0.75	%		0.75	%		0.75	%		0.75	%
Net investment income		3.48	%		3.64	%		4.00	%		3.92	%		4.18	%		3.90	%
Supplemental data
Portfolio turnover rate		50	%		65	%		52	%		53	%		51	%		39	%
Net assets, end of period (000s omitted)		$5,471			$562			$597			$496			$554			$496

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

²  For the period from January 31, 2013 (commencement of class operations) to October 31, 2013

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.

30 Wells Fargo Strategic Income Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30									Year ended October 31
INSTITUTIONAL CLASS	2018			2017			20161			2015			2014			20132
Net asset value, beginning of period		$9.58			$9.24			$9.14			$9.71			$9.66			$10.00
Net investment income		0.34			0.35	3		0.34			0.40			0.41	3		0.29
Net realized and unrealized gains (losses) on investments		(0.16	)		0.24			(0.02	)		(0.71	)		(0.07	)		(0.36	)
Total from investment operations		0.18			0.59			0.32			(0.31	)		0.34			(0.07	)
Distributions to shareholders from
Net investment income		(0.34	)		(0.25	)		(0.16	)		(0.23	)		(0.29	)		(0.27	)
Tax basis return of capital		0.00			0.00			(0.06	)		(0.03	)		0.00			0.00
Total distributions to shareholders		(0.34	)		(0.25	)		(0.22	)		(0.26	)		(0.29	)		(0.27	)
Net asset value, end of period		$9.42			$9.58			$9.24			$9.14			$9.71			$9.66
Total return4		1.93	%		6.43	%		3.55	%		(3.28	)%		3.60	%		(0.66	)%
Ratios to average net assets (annualized)
Gross expenses		1.12	%		1.40	%		1.46	%		1.19	%		1.14	%		1.52	%
Net expenses		0.60	%		0.60	%		0.60	%		0.60	%		0.60	%		0.60	%
Net investment income		3.54	%		3.71	%		4.16	%		4.04	%		4.25	%		4.05	%
Supplemental data
Portfolio turnover rate		50	%		65	%		52	%		53	%		51	%		39	%
Net assets, end of period (000s omitted)		$45,175			$45,862			$23,190			$17,564			$38,664			$23,338

¹  For the eleven months ended September 30, 2016. The Fund changed its fiscal year end from October 31 to September 30, effective September 30, 2016.

²  For the period from January 31, 2013 (commencement of class operations) to October 31, 2013

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 Wells Fargo Strategic Income Fund 31

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo Strategic Income 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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Debt securities are valued at the evaluated bid price provided by an independent pricing service or, if a reliable price is not available, the quoted bid price from an independent broker-dealer.

Equity securities and futures contracts that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Swap contracts are valued at the evaluated price provided by an independent pricing service or, if a reliable price is not available, the quoted bid price from an independent broker-dealer.

The values of securities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee at Wells Fargo Funds Management, LLC (“Funds Management”).

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee. 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Foreign currency translation

The accounting records of the Fund are maintained in U.S. dollars. The values of other assets and liabilities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee. Purchases and sales of securities, and income and expenses are converted at the rate of exchange on the respective dates of such transactions. 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 from changes in exchange rates. The changes in net assets arising from changes in exchange rates of securities and the changes in net assets resulting from changes in market prices of securities are not separately presented. Such changes are included in net realized and unrealized gains or losses from investments.

32 Wells Fargo Strategic Income Fund Notes to financial statements

Forward foreign currency contracts

The Fund is subject to foreign currency risk in the normal course of pursuing its investment objectives. A forward foreign currency contract is an agreement between two parties to purchase or sell a specific currency for an agreed-upon price at a future date. The Fund enters into forward foreign currency contracts to facilitate transactions in foreign-denominated securities and to attempt to minimize the risk to the Fund from adverse changes in the relationship between currencies. Forward foreign currency contracts are recorded at the forward rate and marked-to-market daily. When the contracts are closed, realized gains and losses arising from such transactions are recorded as realized gains or losses on forward foreign currency contracts. The Fund could be exposed to risks if the counterparties to the contracts are unable to meet the terms of their contracts or if the value of the foreign currency changes unfavorably. The Fund’s maximum risk of loss from counterparty credit risk is the unrealized gains on the contracts. This risk may be mitigated if there is a master netting arrangement between the Fund and the counterparty.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities on the Statement of Operations.

When-issued transactions

The Fund may purchase securities on a forward commitment or when-issued basis. The Fund records a when-issued transaction on the trade date and will segregate assets in an amount at least equal in value to the Fund’s commitment to purchase when-issued securities. Securities purchased on a when-issued basis are marked-to-market daily and the Fund begins earning interest on the settlement date. Losses may arise due to changes in the market value of the underlying securities or if the counterparty does not perform under the contract.

Loans

The Fund may invest in direct debt instruments which are interests in amounts owed to lenders by corporate or other borrowers. The loans pay interest at rates which are periodically reset by reference to a base lending rate plus a spread. Investments in loans may be in the form of participations in loans or assignments of all or a portion of loans from third parties. When the Fund purchases participations, it generally has no rights to enforce compliance with terms of the loan agreement with the borrower. As a result, the Fund assumes the credit risk of both the borrower and the lender that is selling the participation. When the Fund purchases assignments from lenders, it acquires direct rights against the borrower on the loan and may enforce compliance by the borrower with the terms of the loan agreement. Loans may include fully funded term loans or unfunded loan commitments, which are contractual obligations for future funding.

Futures contracts

The Fund is subject to interest rate risk and foreign currency risk in the normal course of pursuing its investment objectives. Futures contracts are agreements between the Fund and a counterparty to buy or sell a specific amount of a commodity, financial instrument or currency at specified price and on a specified date. The Fund may buy and sell futures

Notes to financial statements Wells Fargo Strategic Income Fund 33

contracts in order to gain exposure to, or protect against, changes in interest rates and foreign exchange 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 generally entered into on a regulated futures exchange and cleared through a clearinghouse associated with the exchange. With futures contracts, there is minimal counterparty risk to the Fund since futures contracts are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded futures, guarantees the futures contracts against default.

Upon entering into a futures contracts, the Fund is required to deposit either cash or securities (initial margin) with the broker in an amount equal to a certain percentage of the contract value. Subsequent payments (variation margin) are paid to or from the broker each day equal to the daily changes in the contract value. Such payments are recorded as unrealized gains or losses and, if any, shown as variation margin receivable (payable) in the Statement of Assets and Liabilities. Should the Fund fail to make requested variation margin payments, the broker can gain access to the initial margin to satisfy the Fund’s payment obligations. When the contracts are closed, a realized gain or loss is recorded in the Statement of Operations.

Swap contracts

Swap contracts are agreements between the Fund and a counterparty to exchange a series of cash flows over a specified period. Swap agreements are privately negotiated contracts between the Fund and a counterparty in the OTC market and may be entered into as a bilateral contract (“OTC swaps”) or centrally cleared (“centrally cleared swaps”) with a central clearinghouse.

For OTC swaps, any upfront premiums paid and any upfront fees received are shown as swap premiums paid and swap premiums received, respectively, in the Statement of Assets and Liabilities and amortized over the term of the contract. The daily fluctuations in market value are recorded as unrealized gains or losses on OTC swaps in the Statement of Assets and Liabilities. Payments received or paid are recorded in the Statement of Operations as realized gains or losses, respectively. When an OTC swap is terminated, a realized gain or loss is recorded in the Statement of Operations equal to the difference between the proceeds from (or cost of) the closing transaction and the Fund’s basis in the contract, if any. Generally, the basis of the contract is the premium received or paid.

In a centrally cleared swap, immediately following execution of the swap contract, the swap contract is novated to a central counterparty (the “CCP”) and the Fund’s counterparty on the swap agreement becomes the CCP. Upon entering into a centrally cleared swap, the Fund is required to deposit an initial margin with the broker in the form of cash or securities. Securities deposited as initial margin are designated in the Portfolio of Investments and cash deposited is shown as cash segregated for centrally cleared swaps in the Statement of Assets and Liabilities. Pursuant to the contract, the Fund agrees to receive from or pay to the broker an amount of cash equal to the daily fluctuation in market value of the contract (“variation margin”). The variation margin is recorded as an unrealized gain (or loss) and shown as variation margin receivable (or payable) on centrally cleared swaps in the Statement of Assets and Liabilities. Payments received from (paid to) the counterparty, including at termination, are recorded as realized gains (losses) in the Statement of Operations.

Credit default swaps

The Fund is subject to credit risk in the normal course of pursuing its investment objectives. The Fund may enter into credit default swaps for hedging or speculative purposes to provide or receive a measure of protection against default on a referenced entity, obligation or index or a basket of single-name issuers or traded indexes. An index credit default swap references all the names in the index, and if a credit event is triggered, the credit event is settled based on that name’s weight in the index. Credit default swaps are agreements in which the protection buyer pays fixed periodic payments to the protection seller in consideration for a promise from the protection seller to make a specific payment should a negative credit event take place with respect to the referenced entity (e.g., bankruptcy, failure to pay, obligation acceleration, repudiation, moratorium or restructuring).

The Fund may enter into credit default swaps as either the seller of protection or the buyer of protection. If the Fund is the buyer of protection and a credit event occurs, the Fund will either receive from the seller an amount equal to the notional amount of the swap and deliver the referenced security or underlying securities comprising the index, or receive a net settlement of cash equal to the notional amount of the swap less the recovery value of the security or underlying securities comprising the index. If the Fund is the seller of protection and a credit event occurs, the Fund will either pay the buyer an amount equal to the notional amount of the swap and take delivery of the referenced security or underlying securities comprising the index or pay a net settlement of cash equal to the notional amount of the swap less the recovery value of the security or underlying securities comprising the index.

34 Wells Fargo Strategic Income Fund Notes to financial statements

As the seller of protection, the Fund is subject to investment exposure on the notional amount of the swap and has assumed the risk of default of the underlying security or index. As the buyer of protection, the Fund could be exposed to risks if the seller of the protection defaults on its obligation to perform, or if there are unfavorable changes in the fluctuation of interest rates.

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. 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 been determined to be doubtful based on consistently applied procedures and the fair value has decreased. 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.

Income from foreign securities is recorded net of foreign taxes withheld where recovery of such taxes is not assured.

Income dividends and capital gain distributions from investment companies are recorded on the ex-dividend date. Capital gain distributions from investment companies are treated as realized gains.

Distributions to shareholders

Distributions to shareholders are recorded on the ex-dividend date and paid from net investment income monthly and any net realized gains are paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $51,125,530 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	429,085
Gross unrealized losses		(1,406,033	)
Net unrealized losses	$	(976,948	)

As of September 30, 2018, the Fund had capital loss carryforwards which consist of $469,892 in short-term capital losses and $414,571 in long-term capital losses.

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

Notes to financial statements Wells Fargo Strategic Income Fund 35

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

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

∎ 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.

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Asset-backed securities	$	0	$	5,448,227	$	0	$	5,448,227
Corporate bonds and notes		0		10,660,263		0		10,660,263
Exchange-traded funds		2,023,190		0		0		2,023,190
Foreign corporate bonds and notes		0		2,742,734		0		2,742,734
Foreign government bonds		0		4,703,305		0		4,703,305
Loans		0		2,792,689		282,724		3,075,413
Municipal obligations		0		1,333,402		0		1,333,402
Non-agency mortgage-backed securities		0		9,514,017		0		9,514,017
Rights
Utilities		0		4,887		0		4,887
U.S. Treasury securities		19,701		0		0		19,701
Yankee corporate bonds and notes		0		3,763,140		0		3,763,140
Yankee government bonds and notes		0		1,345,299		0		1,345,299
Short-term investments
Investment companies		5,204,420		0		0		5,204,420
U.S. Treasury securities		209,096		0		0		209,096
		7,456,407		42,307,963		282,724		50,047,094
Credit default swap contracts		0		2,632		0		2,632
Forward foreign currency contracts		0		48,517		0		48,517
Futures contracts		177,754		0		0		177,754
Total assets	$	7,634,161	$	42,359,112	$	282,724	$	50,275,997
Liabilities
Credit default swap contracts	$	0	$	1,968	$	0	$	1,968
Forward foreign currency contracts		0		125,447		0		125,447
Total liabilities	$	0	$	127,415	$	0	$	127,415

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

Futures contracts, forward foreign currency contracts and swap contracts are reported at their cumulative unrealized gains (losses) at measurement date as reported in the tables following the Portfolio of Investments. For futures contracts and centrally cleared swaps, the current day’s variation margin is reported on the Statement of Assets and Liabilities. All other assets and liabilities are reported at their market value at measurement date.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

36 Wells Fargo Strategic Income Fund Notes to financial statements

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadvisers and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.525% and declining to 0.405% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.525% of the Fund’s average daily net assets.

Funds Management has retained the services of certain subadvisers to provide daily portfolio management to the Fund. The fee for subadvisory services is borne by Funds Management. WellsCap is a subadviser to the Fund and is entitled to receive a fee from Funds Management at an annual rate starting at 0.30% and declining to 0.15% as the average daily net assets of the Fund increase. Wells Fargo Asset Management (International), LLC (formerly, First International Advisors, LLC) an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo, is also a 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.16	%
Administrator Class		0.10
Institutional Class		0.08

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 0.90% for Class A shares, 1.65% for Class C shares, 0.75% for Administrator Class shares, and 0.60% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $92 from the sale of Class A shares. No contingent deferred sales charges were incurred by Class A and Class C shares for the year ended September 30, 2018.

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 are charged a fee at an annual rate of 0.25% of the average daily net assets of each respective class.

Notes to financial statements Wells Fargo Strategic Income Fund 37

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

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices. Pursuant to these procedures, the Fund had $876,913 in interfund sales during the year ended September 30, 2018.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding short-term securities, for the year ended September 30, 2018 were as follows:

Purchases at cost		Sales proceeds
U.S. government	Non-U.S. government	U.S. government	Non-U.S. government
$212,395	$28,417,912	$3,364,495	$18,517,015

6. DERIVATIVE TRANSACTIONS

During the year ended September 30, 2018, the Fund entered into futures contracts and forward foreign currency contracts for economic hedging purposes and credit default swap contracts as a substitute for taking a position in the underlying security or basket of securities or to potentially enhance the Fund’s total return.

The volume of the Fund’s derivative activity during the year ended September 30, 2018 was as follows:

Futures contracts
Average notional balance on long futures	$	172,196
Average notional balance on short futures		20,039,585
Forward foreign currency contracts
Average contract amounts to buy		1,501,105
Average contract amounts to sell		5,554,779
Credit default swap contracts
Average notional balance		4,902,436

The Fund’s credit default swap may contain provisions for early termination in the event the net assets of the Fund declines below specific levels identified by the counterparty. If these levels are triggered, the counterparty may terminate the transaction and seek payment or request full collateralization of the derivative transactions in net liability positions.

A summary of the location of derivative instruments on the financial statements by primary risk exposure is outlined following tables.

The fair value of derivative instruments as of September 30, 2018 was as follows for the Fund:

	Asset derivatives				Liability derivatives
	Statement of Assets and Liabilities location	Fair value			Statement of Assets and Liabilities location	Fair value
Interest rate risk	Unrealized gains on futures contracts	$	157,287	*	Unrealized losses on futures contracts	$	0	*
Foreign currency risk	Unrealized gains on futures contracts		20,467	*	Unrealized losses on futures contracts		0	*
	Unrealized gains on forward foreign currency contracts		48,517		Unrealized losses on forward foreign currency contracts		125,447
Credit risk	Net unrealized gains on swap contracts		2,632	*	Net unrealized losses on swap contracts		1,968	*
		$	228,903			$	127,415

* Amount represents cumulative unrealized gains (losses) as reported in the tables following the Portfolio of Investments. Only the current day’s variation margin as of September 30, 2018 is reported separately on the Statement of Assets and Liabilities.

38 Wells Fargo Strategic Income Fund Notes to financial statements

The effect of derivative instruments on the Statement of Operations for the year ended September 30, 2018 was as follows for the Fund:

	Amount of realized gains (losses) on derivatives
	Futures contracts			Forward foreign currency contracts			Swap contracts			Total
Interest rate risk	$	661,658		$	0		$	0		$	661,658
Foreign currency risk		(28,702	)		200,159			0			171,457
Credit risk		0			0			71,887			71,887
	$	632,956		$	200,159		$	71,887		$	905,002
	Change in unrealized gains (losses) on derivatives
	Futures contracts			Forward foreign currency contracts			Swap contracts			Total
Interest rate risk	$	24,465		$	0		$	0		$	24,465
Foreign currency risk		19,147			(102,816	)		0			(83,669	)
Credit risk		0			0			(16,373	)		(16,373	)
	$	43,612		$	(102,816	)	$	(16,373	)	$	(75,577	)

For certain types of derivative transactions, the Fund has entered into International Swaps and Derivatives Association, Inc. master agreements (“ISDA Master Agreements”) or similar agreements with approved counterparties. The ISDA Master Agreements or similar agreements may have requirements to deliver/deposit securities or cash to/with an exchange or broker-dealer as collateral and allows the Fund to offset, with each counterparty, certain derivative financial instrument’s assets and/or liabilities with collateral held or pledged. Collateral requirements differ by type of derivative. Collateral or margin requirements are set by the broker or exchange clearinghouse for exchange traded derivatives while collateral terms are contract specific for over-the-counter traded derivatives. Cash collateral that has been pledged to cover obligations of the Fund under ISDA Master Agreements or similar agreements, if any, are reported separately in the Statement of Assets and Liabilities. Securities pledged as collateral, if any, are noted in the Portfolio of Investments. With respect to balance sheet offsetting, absent an event of default by the counterparty or a termination of the agreement, the reported amounts of financial assets and financial liabilities in the Statement of Assets and Liabilities are not offset across transactions between the Fund and the applicable counterparty. A reconciliation of the gross amounts on the Statement of Assets and Liabilities to the net amounts by counterparty, including any collateral exposure, is as follows:

Counterparty	Gross amounts of assets in the Statement of Assets and Liabilities		Amounts subject to netting agreements			Collateral received		Net amount of assets
State Street	$	20,801	$	(20,801	)	$	0	$	0
Citibank		27,716		0			0		27,716
Counterparty	Gross amounts of liabilities in the Statement of Assets and Liabilities		Amounts subject to netting agreements			Collateral pledged		Net amount of liabilities
State Street	$	125,447	$	(20,801	)	$	0	$	104,646

7. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

Notes to financial statements Wells Fargo Strategic Income Fund 39

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

8. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid was $1,743,065 and $891,551 of ordinary income for the years ended September 30, 2018 and September 30, 2017, respectively.

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Unrealized losses	Capital loss carryforward
$361,575	$(976,948)	$(884,463)

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net investment income
Class A	$	28,157
Class C		9,306
Administrator Class		12,437
Institutional Class		841,651

9. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 PRONOUNCEMENTS

In August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

In March 2017, FASB issued ASU No. 2017-08, Premium Amortization on Purchased Callable Debt Securities. ASU 2017-08 shortens the amortization period for certain callable debt securities held at a premium. The amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 is effective for fiscal years beginning after December 15, 2018 and for interim periods within those fiscal years. Management is currently evaluating the potential impact of this new guidance to the financial statements.

11. SUBSEQUENT DISTRIBUTIONS

On October 25, 2018, the Fund declared distributions from net investment income to shareholders of record on October 24, 2018. The per share amounts payable on October 26, 2018 were as follows:

	Net investment income
Class A	$	0.04550
Class C		0.03868
Administrator Class		0.04258
Institutional Class		0.04793

40 Wells Fargo Strategic Income Fund Notes to financial statements

On November 26, 2018, the Fund declared distributions from net investment income to shareholders of record on November 23, 2018. The per share amounts payable on November 27, 2018 were as follows:

	Net investment income
Class A	$	0.02464
Class C		0.01980
Administrator Class		0.02373
Institutional Class		0.02802

These distributions are not reflected in the accompanying financial statements.

Report of independent registered public accounting firm Wells Fargo Strategic Income Fund 41

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Strategic Income Fund (the “Fund”), one of the funds constituting the Wells Fargo Funds Trust, including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for the two-year period ended September 30, 2018, for the period ended September 30, 2016, and for each of the years or periods in the three-year period ended October 31, 2015. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

42 Wells Fargo Strategic Income Fund Other information (unaudited)

TAX INFORMATION

For the fiscal year ended September 30, 2018, $809,729 has been designated as interest-related dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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 Strategic Income Fund 43

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

44 Wells Fargo Strategic Income Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

Other information (unaudited) Wells Fargo Strategic Income Fund 45

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

46 Wells Fargo Strategic Income Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Strategic Income Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Strategic Income Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreements with Wells Capital Management Incorporated (“WellsCap”), an affiliate of Funds Management; and (iii) an investment sub-advisory agreement with Wells Fargo Asset Management (International), LLC (“WFAM International”), an affiliate of Funds Management. The sub-advisory agreements with WellsCap and WFAM International (the “Sub-Advisers”) are collectively referred to as the Sub-Advisory Agreements, and the Management Agreement and the Sub-Advisory Agreements 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-Advisers and the approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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-Advisers 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 2018. 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-Advisers 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Advisers under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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-Advisers under the Advisory Agreements. This information included a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Advisers are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Advisers, and a description of Funds Management’s and the Sub-Advisers’ business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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-Advisers 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-Advisers. In addition, the Board took into account the full range of services provided to the Fund by Funds Management and its affiliates.

Other information (unaudited) Wells Fargo Strategic Income Fund 47

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Administrator Class) was higher than the average investment performance of the Universe for the one-year period under review, but lower than the average investment performance of the Universe for the three-year period under review. The Board also noted that the investment performance of the Fund was higher than its benchmark index, the Bloomberg Barclays U.S. Universal Bond Index, for the one-year period under review, but lower than its benchmark index for the three-year period under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the Universe and benchmark for the period identified above. The Board took note of the explanations for the relative underperformance during this period, including with respect to investment decisions and market factors that affected the Fund’s investment performance.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge 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 for each share class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). The Board also reviewed and considered the contractual investment sub-advisory fee rates that are payable by Funds Management to the Sub-Advisers for investment sub-advisory services.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were lower than or in range of the sum of these average rates for the Fund’s expense Groups for all share classes.

The Board also received and considered information about the portion of the total management fee that was retained by Funds Management after payment of the fee to the Sub-Advisers for sub-advisory services. In assessing the reasonableness of this amount, the Board received and evaluated information about the nature and extent of responsibilities retained and risks assumed by Funds Management and not delegated to or assumed by the Sub-Advisers, and about Funds Management’s on-going oversight services. Given the affiliation between Funds Management and the Sub-Advisers, the Board ascribed limited relevance to the allocation of fees between them.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Advisers under the Sub-Advisory Agreements was reasonable.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Advisers’ profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

48 Wells Fargo Strategic Income Fund Other information (unaudited)

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

Other benefits to Funds Management and the Sub-Advisers

The Board received and considered information regarding potential “fall-out” or ancillary benefits received by Funds Management and its affiliates, including the Sub-Advisers, as a result of their relationships 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-Advisers’ business as a result of their relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Advisers, fees earned by Funds Management and WellsCap from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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-Advisers, were unreasonable.

Conclusion

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Advisers under each of the Advisory Agreements was reasonable.

Appendix A (unaudited) Wells Fargo Strategic Income Fund 49

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

50 Wells Fargo Strategic Income Fund Appendix A (unaudited)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

Appendix A (unaudited) Wells Fargo Strategic Income Fund 51

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317288 11-18 A263/AR263 09-18

Annual Report

September 30, 2018

Wells Fargo C&B Mid Cap Value Fund

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	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	15
Statement of operations	16
Statement of changes in net assets	17
Financial highlights	18
Notes to financial statements	23
Report of independent registered public accounting firm	28
Other information	29
Appendix A	36

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

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

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo C&B Mid Cap Value Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

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

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

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

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

This page is intentionally left blank.

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

Investment objective

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

Manager

Wells Fargo Funds Management, LLC

Subadviser

Cooke and Bieler, L.P.

Portfolio managers

Andrew B. Armstrong, 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 returns (%) as of September 30, 2018¹

		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		1.81		8.68		10.47		8.02		9.97		11.13		1.31		1.26
Class C (CBMCX)	7-26-2004		6.22		9.15		10.30		7.22		9.15		10.30		2.06		2.01
Class R6 (CMBYX)	7-31-2018		–		–		–		8.44		10.34		11.48		0.88		0.81
Administrator Class (CBMIX)	7-26-2004		–		–		–		8.13		10.06		11.20		1.23		1.16
Institutional Class (CBMSX)	7-26-2004		–		–		–		8.41		10.33		11.48		0.98		0.91
Russell Midcap® Value Index4	–		–		–		–		8.81		10.72		11.29		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred sales charge assumes the sales charge for the corresponding time period. Class R6, Administrator Class, and Institutional 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 7.

Performance highlights (unaudited) Wells Fargo C&B Mid Cap Value Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

¹  Historical performance shown for the Class R6 shares prior to their inception reflects the performance of the Institutional Class shares, and is not adjusted to reflect Class R6 expenses. If these expenses had been included, returns for Class R6 would be higher.

²  Reflects the expense ratios as stated in the most recent prospectuses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³  The manager has contractually committed through January 31, 2019 (January 31, 2020 for Class R6), to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at 1.25% for Class A, 2.00% for Class C, 0.80% for Class R6, 1.15% for Administrator Class, and 0.90% for Institutional Class. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  The Russell Midcap^® Value Index measures the performance of those Russell Midcap companies with lower price/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 chart compares the performance of Class A shares for the most recent ten years with the Russell Midcap^® Value Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁶  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁷  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

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

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund underperformed its benchmark, the Russell Midcap^® Value Index, for the 12-month period that ended September 30, 2018.

∎ Whirlpool Corporation; Hanesbrands Incorporated; and Crown Holdings, Incorporated, were the largest detractors from performance. The Fund’s underweight to the energy sector was also a significant drag on returns.

∎ Top contributors to the Fund’s performance were Helen of Troy Limited; TCF Financial Corporation; and FirstCash, Incorporated. Portfolio positioning also contributed, particularly the underweight to real estate and the overweight to information technology (IT).

U.S. markets performed well over the past year, propelled by robust corporate earnings, consumer confidence, and economic growth. All sectors in the index posted gains, but the energy and IT sectors were particularly strong. The Fund underperformed the index, hurt by rising energy prices and poor performance by some individual stocks.

Ten largest holdings (%) as of September 30, 20186
Helen of Troy Limited	4.04
Crown Holdings Incorporated	3.40
Gildan Activewear Incorporated	3.38
Colfax Corporation	3.38
Syneos Health Incorporated	3.20
AerCap Holdings NV	3.19
Arrow Electronics Incorporated	3.01
FNF Group	2.94
Schweitzer-Mauduit International Incorporated	2.88
TCF Financial Corporation	2.56

Both the market and the Fund are cheaper on many measures than earlier in this period due to robust corporate earnings growth fueled by a strong economy and lower taxes. This dynamic has improved relative attractiveness of the portfolio, and we continue to find compelling opportunities. We initiated positions in IT services provider Amdocs Limited; two industrial companies—Colfax Corporation and Johnson Controls International plc; specialty retailer Williams-Sonoma, Incorporated; insurer Arch Capital Group Limited; and hotel owner and operator Extended Stay America, Incorporated.

To make room for these holdings, we eliminated IT services provider Black Knight, Incorporated; specialty

retailer Sally Beauty Holdings, Incorporated; two consumer discretionary companies—Brinker International, Incorporated, and Tenneco Incorporated; engineering and consulting company Tetra Tech, Incorporated; and auto dealer Penske Automotive Group, Incorporated.

Sector distribution as of September 30, 2018⁷

Helen of Troy and four financial firms were the largest contributors to the Fund’s return.

Four of the top five contributors to return were from the financials sector, interestingly representing three different industries: bank holding company TCF Financial; consumer finance companies FirstCash and PRA Group, Incorporated; and insurer The Progressive Corporation. The leading contributor, however, was household and personal products company Helen of Troy, which rebounded after it had been penalized in the first half of 2018 following the publication of a poorly researched short thesis. From a portfolio positioning standpoint, the Fund was aided by its underweight to real estate and its overweight to IT, both driven by our bottom estimates of quality and intrinsic value.

Whirlpool was the Fund’s largest detractor, but we believe its problems are temporary.

Whirlpool, which continues to struggle integrating its recently acquired European operations, was the largest detractor from performance. However, we believe management ultimately will fix these issues and the business is undervalued. Apparel

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo C&B Mid Cap Value Fund 9

manufacturer Hanesbrands, hurt by the loss of a contract with Target Corporation, also detracted from performance, as did container and packaging producer Crown Holdings, which made an unpopular, but we believe rational, acquisition. Other detractors included pharmaceuticals and medical supplier Cardinal Health, Incorporated, which reported modestly disappointing results due to lingering profit-sapping operational issues at Cordis, and building materials manufacturer Quanex Building Products Corporation, hurt by rising materials costs. From a positioning standpoint, the Fund’s lack of exposure to energy hurt performance, particularly in the first nine months of the period.

A growing economy and corporate profits should provide support for stock prices, but risks are rising.

As we enter the final quarter of 2018, we continue to see pockets of value in a market that, as a whole, has grown more exuberant. Consumer staples, utilities, and energy in particular seem more than fairly valued, and the Fund remains underweight these areas. We find more compelling value in the industrials and consumer discretionary sectors and, increasingly, in the IT sector. The economy appears to be growing robustly and corporate profits are benefiting from lower taxes, both of which should provide support for stock prices. However, after an extended period of extraordinary monetary stimulus, the U.S. Federal Reserve has been steadily moving toward a more neutral stance—raising rates seven times since December 2016. Rising interest rates will put pressure on companies and business models that have grown dependent on cheap financing and should slow the economy over time. The risks of a more significant crisis, while not high, are rising as well. Against this backdrop, the Fund continues to be positioned in conservatively financed, high-quality businesses that we believe are well positioned to benefit from continued expansion and, equally importantly, to weather any downturn.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,057.81	$	6.45		1.25	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.80	$	6.33		1.25	%
Class C
Actual	$	1,000.00	$	1,054.02	$	10.30		2.00	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.04	$	10.10		2.00	%
Class R6
Actual	$	1,000.00	$	1,060.11	$	4.06		0.79	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.13	$	3.98		0.79	%
Administrator Class
Actual	$	1,000.00	$	1,058.52	$	5.93		1.15	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.30	$	5.82		1.15	%
Institutional Class
Actual	$	1,000.00	$	1,059.83	$	4.65		0.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.56	$	4.56		0.90	%

¹  Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo C&B Mid Cap Value Fund 11

Security name	Shares		Value
Common Stocks: 94.02%
Communication Services: 2.20%
Media: 2.20%
Omnicom Group Incorporated		110,100	$	7,489,002
Consumer Discretionary: 12.45%
Hotels, Restaurants & Leisure: 0.79%
Extended Stay America Incorporated		132,500		2,680,475
Household Durables: 5.81%
Helen of Troy Limited †		105,200		13,770,679
Whirlpool Corporation		51,000		6,056,250
				19,826,929
Specialty Retail: 0.90%
Williams-Sonoma Incorporated «		46,600		3,062,552
Textiles, Apparel & Luxury Goods: 4.95%
Gildan Activewear Incorporated		379,000		11,532,970
HanesBrands Incorporated «		290,900		5,361,287
				16,894,257
Consumer Staples: 0.77%
Food & Staples Retailing: 0.77%
United Natural Foods Incorporated †		88,000		2,635,600
Energy: 1.24%
Oil, Gas & Consumable Fuels: 1.24%
World Fuel Services Corporation		152,700		4,226,736
Financials: 22.05%
Banks: 4.23%
Commerce Bancshares Incorporated		86,302		5,697,658
TCF Financial Corporation		367,000		8,738,270
				14,435,928
Capital Markets: 2.33%
State Street Corporation		95,000		7,959,100
Consumer Finance: 6.10%
FirstCash Financial Services Incorporated		103,500		8,487,000
PRA Group Incorporated †«		202,000		7,272,000
Synchrony Financial		161,800		5,028,744
				20,787,744
Insurance: 9.39%
Arch Capital Group Limited †		168,200		5,014,042
FNF Group		254,800		10,026,380

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

12 Wells Fargo C&B Mid Cap Value Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Insurance (continued)
Markel Corporation †		2,520	$	2,994,995
RenaissanceRe Holdings Limited		56,900		7,600,702
The Progressive Corporation		69,600		4,944,384
Torchmark Corporation		16,700		1,447,723
				32,028,226
Health Care: 9.89%
Health Care Providers & Services: 4.84%
Cardinal Health Incorporated		111,200		6,004,800
Laboratory Corporation of America Holdings †		30,700		5,331,976
MEDNAX Incorporated †		111,000		5,179,260
				16,516,036
Life Sciences Tools & Services: 3.20%
Syneos Health Incorporated †		212,000		10,928,600
Pharmaceuticals: 1.85%
Perrigo Company plc		88,900		6,294,120
Industrials: 21.60%
Building Products: 3.80%
Johnson Controls International plc		189,300		6,625,500
Quanex Building Products Corporation		348,800		6,348,160
				12,973,660
Commercial Services & Supplies: 2.23%
Steelcase Incorporated Class A		410,800		7,599,800
Electrical Equipment: 3.43%
AMETEK Incorporated		57,800		4,573,136
Eaton Corporation plc		82,200		7,129,206
				11,702,342
Machinery: 8.94%
Colfax Corporation †		319,800		11,531,988
Donaldson Company Incorporated		83,500		4,864,710
Snap-On Incorporated		37,000		6,793,200
Woodward Governor Company		90,200		7,293,572
				30,483,470
Trading Companies & Distributors: 3.20%
AerCap Holdings NV †		189,400		10,894,288
Information Technology: 10.92%
Electronic Equipment, Instruments & Components: 4.30%
Arrow Electronics Incorporated †		139,200		10,261,824
TE Connectivity Limited		50,000		4,396,500
				14,658,324

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

Portfolio of investments—September 30, 2018 Wells Fargo C&B Mid Cap Value Fund 13

Security name				Shares		Value
IT Services: 5.71%
Alliance Data Systems Corporation					22,100	$	5,219,136
Amdocs Limited					113,100		7,462,338
Genpact Limited					222,000		6,795,420
							19,476,894
Semiconductors & Semiconductor Equipment: 0.91%
Analog Devices Incorporated					33,600		3,106,656
Materials: 11.54%
Chemicals: 1.20%
Axalta Coating Systems Limited †					139,900		4,079,484
Containers & Packaging: 5.18%
Ball Corporation					138,500		6,092,615
Crown Holdings Incorporated †					241,400		11,587,200
							17,679,815
Metals & Mining: 2.28%
Reliance Steel & Aluminum Company					91,100		7,769,919
Paper & Forest Products: 2.88%
Schweitzer-Mauduit International Incorporated					256,300		9,818,853
Real Estate: 1.36%
Real Estate Management & Development: 1.36%
CBRE Group Incorporated Class A †					105,100		4,634,910
Total Common Stocks (Cost $268,889,341)							320,643,720
	Yield
Short-Term Investments: 10.59%
Investment Companies: 10.59%
Securities Lending Cash Investment LLC (l)(r)(u)		2.17	%		14,621,190		14,622,652
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99			21,485,564		21,485,564
Total Short-Term Investments (Cost $36,107,977)							36,108,216

Total investments in securities (Cost $304,997,318)	104.61	%		356,751,936
Other assets and liabilities, net	(4.61	)		(15,706,206	)
Total net assets	100.00	%	$	341,045,730

† Non-income-earning security

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

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(r) The investment is a non-registered investment company purchased with cash collateral received from securities on loan.

(u) The rate represents the 7-day annualized yield at period end.

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

14 Wells Fargo C&B Mid Cap Value Fund Portfolio of investments—September 30, 2018

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)			Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC		9,592,251		105,632,077		100,603,138		14,621,190	$	(233	)	$	0	$	44,688	$	14,622,652
Wells Fargo Government Money Market Fund Select Class		13,092,556		165,043,260		156,650,252		21,485,564		0			0		207,448		21,485,564
									$	(233	)	$	0	$	252,136	$	36,108,216		10.59	%

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

Statement of assets and liabilities—September 30, 2018 Wells Fargo C&B Mid Cap Value Fund 15

Assets
Investments in unaffiliated securities (including $14,412,233 of securities loaned), at value (cost $268,889,341)	$	320,643,720
Investments in affiliated securities, at value (cost $36,107,977)		36,108,216
Receivable for Fund shares sold		1,219,742
Receivable for dividends		333,790
Receivable for securities lending income		3,254
Prepaid expenses and other assets		90,127
Total assets		358,398,849
Liabilities
Payable upon receipt of securities loaned		14,621,800
Payable for investments purchased		2,138,531
Payable for Fund shares redeemed		295,284
Management fee payable		189,869
Administration fees payable		44,300
Distribution fee payable		5,195
Accrued expenses and other liabilities		58,140
Total liabilities		17,353,119
Total net assets	$	341,045,730
NET ASSETS CONSIST OF
Paid-in capital	$	290,192,232
Total distributable earnings		50,853,498
Total net assets	$	341,045,730
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	111,353,988
Shares outstanding – Class A1		2,939,816
Net asset value per share – Class A		$37.88
Maximum offering price per share – Class A2		$40.19
Net assets – Class C	$	8,370,973
Shares outstanding – Class C1		235,753
Net asset value per share – Class C		$35.51
Net assets – Class R6	$	25,600
Shares outstanding – Class R61		669
Net asset value per share – Class R6		$38.27
Net assets – Administrator Class	$	20,959,877
Shares outstanding – Administrator Class1		546,548
Net asset value per share – Administrator Class		$38.35
Net assets – Institutional Class	$	200,335,292
Shares outstanding – Institutional Class1		5,236,667
Net asset value per share – Institutional Class		$38.26

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.

16 Wells Fargo C&B Mid Cap Value Fund Statement of operations—year ended September 30, 2018

Investment income
Dividends (net of foreign withholding taxes of $20,739)	$	3,789,016
Income from affiliated securities		252,136
Total investment income		4,041,152
Expenses
Management fee		2,112,445
Administration fees
Class A		236,583
Class C		18,499
Class R6		1	1
Administrator Class		22,005
Institutional Class		186,239
Shareholder servicing fees
Class A		281,646
Class C		22,023
Administrator Class		42,318
Distribution fee
Class C		66,067
Custody and accounting fees		21,476
Professional fees		39,833
Registration fees		69,438
Shareholder report expenses		59,644
Trustees’ fees and expenses		20,599
Other fees and expenses		10,263
Total expenses		3,209,079
Less: Fee waivers and/or expense reimbursements		(140,630	)
Net expenses		3,068,449
Net investment income		972,703
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Unaffiliated securities		15,513,160
Affiliated securities		(233	)
Net realized gains on investments		15,512,927
Net change in unrealized gains (losses) on investments		7,326,810
Net realized and unrealized gains (losses) on investments		22,839,737
Net increase in net assets resulting from operations	$	23,812,440

¹  For the period from July 31, 2018 (commencement of operations) to September 30, 2018

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

Statement of changes in net assets Wells Fargo C&B Mid Cap Value Fund 17

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	972,703					$	281,516
Net realized gains on investments					15,512,927						22,529,075
Net change in unrealized gains (losses) on investments					7,326,810						14,893,325
Net increase in net assets resulting from operations					23,812,440						37,703,916
Distributions to shareholders
Class A					(10,376	)					(83,058	)
Administrator Class					(21,699	)					(9,681	)
Institutional Class					(345,183	)					(150,215	)
Total distributions to shareholders					(377,258	)					(242,954	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		304,664			11,072,438			329,229			10,679,080
Class C		35,196			1,207,072			52,816			1,621,177
Class R6		669	2		25,000	2		N/A			N/A
Administrator Class		398,153			14,622,451			460,062			15,785,454
Institutional Class		4,171,649			152,624,942			3,656,287			121,259,348
					179,551,903						149,345,059
Reinvestment of distributions
Class A		278			10,143			2,574			82,120
Administrator Class		473			17,442			154			4,968
Institutional Class		8,408			308,732			3,867			124,207
					336,317						211,295
Payment for shares redeemed
Class A		(651,887	)		(23,945,939	)		(1,145,224	)		(37,191,746	)
Class B		N/A			N/A			(2,793	)3		(82,744	)3
Class C		(58,143	)		(2,005,684	)		(56,912	)		(1,760,044	)
Administrator Class		(450,885	)		(16,245,676	)		(141,587	)		(4,659,587	)
Institutional Class		(1,924,282	)		(70,722,538	)		(1,971,512	)		(66,556,409	)
					(112,919,837	)					(110,250,530	)
Net increase in net assets resulting from capital share transactions					66,968,383						39,305,824
Total increase in net assets					90,403,565						76,766,786
Net assets
Beginning of period					250,642,165						173,875,379
End of period				$	341,045,730					$	250,642,165

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Undistributed net investment income at September 30, 2017 was $243,989. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 7, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from July 31, 2018 (commencement of operations) to September 30, 2018

³  For the period from October 1, 2016 to December 5, 2016. Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund.

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

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

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$35.07			$29.27			$25.12			$25.26			$23.74
Net investment income (loss)		0.06			(0.00	)1,2		0.07	1		0.05	1		0.06
Net realized and unrealized gains (losses) on investments		2.75			5.82			4.13			(0.14	)		1.55
Total from investment operations		2.81			5.82			4.20			(0.09	)		1.61
Distributions to shareholders from
Net investment income		(0.00	)3		(0.02	)		(0.05	)		(0.05	)		(0.09	)
Net asset value, end of period		$37.88			$35.07			$29.27			$25.12			$25.26
Total return4		8.02	%		19.89	%		16.73	%		(0.36	)%		6.78	%
Ratios to average net assets (annualized)
Gross expenses		1.29	%		1.30	%		1.33	%		1.35	%		1.35	%
Net expenses		1.25	%		1.25	%		1.24	%		1.20	%		1.20	%
Net investment income (loss)		0.16	%		(0.00	)%		0.27	%		0.18	%		0.24	%
Supplemental data
Portfolio turnover rate		39	%		54	%		35	%		41	%		55	%
Net assets, end of period (000s omitted)		$111,354			$115,258			$120,020			$19,862			$21,465

¹  Calculated based upon average shares outstanding

²  Amount is more than $(0.005).

³  Amount is less than $0.005.

⁴  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo C&B Mid Cap Value Fund 19

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$33.12			$27.83			$24.02			$24.29			$22.92
Net investment loss		(0.20	)1		(0.26	)		(0.14	)1		(0.15	)1		(0.13	)1
Net realized and unrealized gains (losses) on investments		2.59			5.55			3.95			(0.12	)		1.50
Total from investment operations		2.39			5.29			3.81			(0.27	)		1.37
Net asset value, end of period		$35.51			$33.12			$27.83			$24.02			$24.29
Total return2		7.22	%		19.01	%		15.86	%		(1.11	)%		5.98	%
Ratios to average net assets (annualized)
Gross expenses		2.04	%		2.05	%		2.08	%		2.10	%		2.10	%
Net expenses		2.00	%		2.00	%		1.98	%		1.95	%		1.95	%
Net investment loss		(0.59	)%		(0.74	)%		(0.55	)%		(0.57	)%		(0.52	)%
Supplemental data
Portfolio turnover rate		39	%		54	%		35	%		41	%		55	%
Net assets, end of period (000s omitted)		$8,371			$8,567			$7,314			$6,737			$7,531

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

20 Wells Fargo C&B Mid Cap Value Fund Financial highlights

(For a share outstanding throughout the period)

CLASS R6	Year ended September 30, 20181
Net asset value, beginning of period		$37.39
Net investment income		0.08	2
Net realized and unrealized gains (losses) on investments		0.80
Total from investment operations		0.88
Net asset value, end of period		$38.27
Total return3		2.35	%
Ratios to average net assets (annualized)
Gross expenses		0.86	%
Net expenses		0.80	%
Net investment income		1.24	%
Supplemental data
Portfolio turnover rate		39	%
Net assets, end of period (000s omitted)		$26

¹  For the period from July 31, 2018 (commencement of class operations) to September 30, 2018

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 C&B Mid Cap Value Fund 21

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$35.52			$29.63			$25.42			$25.54			$24.01
Net investment income		0.10	1		0.04	1		0.08	1		0.06	1		0.07	1
Net realized and unrealized gains (losses) on investments		2.78			5.89			4.19			(0.13	)		1.56
Total from investment operations		2.88			5.93			4.27			(0.07	)		1.63
Distributions to shareholders from
Net investment income		(0.05	)		(0.04	)		(0.06	)		(0.05	)		(0.10	)
Net asset value, end of period		$38.35			$35.52			$29.63			$25.42			$25.54
Total return		8.13	%		20.02	%		16.82	%		(0.30	)%		6.82	%
Ratios to average net assets (annualized)
Gross expenses		1.21	%		1.22	%		1.25	%		1.21	%		1.19	%
Net expenses		1.15	%		1.15	%		1.15	%		1.15	%		1.15	%
Net investment income		0.26	%		0.12	%		0.28	%		0.22	%		0.26	%
Supplemental data
Portfolio turnover rate		39	%		54	%		35	%		41	%		55	%
Net assets, end of period (000s omitted)		$20,960			$21,267			$8,302			$9,725			$12,830

¹  Calculated based upon average shares outstanding

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

22 Wells Fargo C&B Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$35.41			$29.53			$25.34			$25.49			$23.95
Net investment income		0.19			0.16			0.16			0.10			0.14
Net realized and unrealized gains (losses) on investments		2.78			5.82			4.17			(0.12	)		1.55
Total from investment operations		2.97			5.98			4.33			(0.02	)		1.69
Distributions to shareholders from
Net investment income		(0.12	)		(0.10	)		(0.14	)		(0.13	)		(0.15	)
Net asset value, end of period		$38.26			$35.41			$29.53			$25.34			$25.49
Total return		8.41	%		20.30	%		17.11	%		(0.09	)%1		7.09	%
Ratios to average net assets (annualized)
Gross expenses		0.96	%		0.97	%		1.00	%		0.94	%		0.92	%
Net expenses		0.90	%		0.90	%		0.90	%		0.90	%		0.90	%
Net investment income		0.56	%		0.37	%		0.54	%		0.47	%		0.54	%
Supplemental data
Portfolio turnover rate		39	%		54	%		35	%		41	%		55	%
Net assets, end of period (000s omitted)		$200,335			$105,550			$38,161			$18,229			$33,881

¹  Total return reflects adjustments to conform with generally accepted accounting principles.

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

Notes to financial statements Wells Fargo C&B Mid Cap Value Fund 23

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo C&B Mid Cap Value Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through December 5, 2016.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending

24 Wells Fargo C&B Mid Cap Value Fund Notes to financial statements

Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities 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 any net realized gains are recorded on the ex-dividend date and paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $306,737,872 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	55,565,790
Gross unrealized losses		(5,551,726	)
Net unrealized gains	$	50,014,064

Reclassifications are made to the Fund’s capital accounts for permanent tax differences to reflect income and gains available for distribution (or available capital loss carryforwards) under federal income tax regulations. U.S. generally accepted accounting principles require that certain components of net assets be adjusted to reflect permanent differences between financial and tax reporting. These reclassifications have no effect on net assets or net asset values per share. The primary permanent difference causing such reclassifications is due to expiration of capital loss carryforwards. At September 30, 2018, as a result of permanent book-to-tax differences, the following reclassification adjustments were made on the Statement of Assets and Liabilities:

Paid-in capital	Total distributable earnings
$(4,042,652)	$4,042,652

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

Notes to financial statements Wells Fargo C&B Mid Cap Value Fund 25

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 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:

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

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

∎ 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.

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Communication services	$	7,489,002	$	0	$	0	$	7,489,002
Consumer discretionary		42,464,213		0		0		42,464,213
Consumer staples		2,635,600		0		0		2,635,600
Energy		4,226,736		0		0		4,226,736
Financials		75,210,998		0		0		75,210,998
Health care		33,738,756		0		0		33,738,756
Industrials		73,653,560		0		0		73,653,560
Information technology		37,241,874		0		0		37,241,874
Materials		39,348,071		0		0		39,348,071
Real estate		4,634,910		0		0		4,634,910
Short-term investments
Investment companies		21,485,564		14,622,652		0		36,108,216
Total assets	$	342,129,284	$	14,622,652	$	0	$	356,751,936

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES AND OTHER EXPENSES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.75% and declining to 0.63% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.75% of the Fund’s average daily net assets.

26 Wells Fargo C&B Mid Cap Value Fund Notes to financial statements

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., which is not 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Class R6		0.03
Administrator Class, Institutional Class		0.13

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed to waive fees and/or reimburse expenses to the extent necessary to cap expenses as follows:

	Expense ratio cap			Expiration date
Class A		1.25	%		January 31, 2019
Class C		2.00	%		January 31, 2019
Class R6		0.80	%		January 31, 2020
Administrator Class		1.15	%		January 31, 2019
Institutional Class		0.90	%		January 31, 2019

After the expiration date, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $4,214 from the sale of Class A shares and $12 in contingent deferred sales charges from redemptions of Class C shares. No contingent deferred sales charges were incurred by Class A shares for the year ended September 30, 2018.

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 are 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.

Notes to financial statements Wells Fargo C&B Mid Cap Value Fund 27

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $165,056,445, and $105,054,334, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

7. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid was $377,258 and $242,954 of ordinary income for the years ended September 30, 2018 and September 30, 2017, respectively.

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Unrealized gains
$839,434	$50,014,064

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net investment income
Class A	$	83,058
Administrator Class		9,681
Institutional Class		150,215

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

28 Wells Fargo C&B Mid Cap Value Fund Report of independent registered public accounting firm

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo C&B Mid Cap Value Fund (the “Fund”), including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years or periods in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

Other information (unaudited) Wells Fargo C&B Mid Cap Value Fund 29

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 100% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $377,258 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $13,473 has been designated as interest-related dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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.

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

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

Other information (unaudited) Wells Fargo C&B Mid Cap Value Fund 31

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

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

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

Other information (unaudited) Wells Fargo C&B Mid Cap Value Fund 33

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo C&B Mid Cap Value Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo C&B Mid Cap Value Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Cooke & Bieler, L.P. (the “Sub-Adviser”). The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management is a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

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

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Administrator Class) was higher than the average performance of the Universe for the three-, five-, and ten-year periods under review, but lower than the average performance of the Universe for the one-year period under review. The Board also noted that the investment performance of the Fund was higher than its benchmark index, the Russell Midcap Value 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 periods identified above. The Board took note of the explanations for the relative underperformance during these periods, including with respect to investment decisions and market factors that affected the Fund’s investment performance. The Board also took note of the Fund’s outperformance relative to the Fund’s benchmark index.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge reports, the Board noted that the net operating expense ratios of the Fund were lower than or equal to the median net operating expense ratios of the expense Groups for Class A and Institutional Class, but higher than the median net operating expense ratios of the expense Group for the Administrator Class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the other funds in the expense Groups. The Board noted that the Management Rates of the Fund were lower than, equal to, or in range of the sum of these average rates for the Fund’s expense Groups for all share classes. The Board also discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management.

The Board also received and considered information about the portion of the total management 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 Broadridge to be similar to the Fund. In assessing the reasonableness of this amount, the Board received and evaluated 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.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Other information (unaudited) Wells Fargo C&B Mid Cap Value Fund 35

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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. The Board did not consider profitability with respect to the Sub-Adviser, as the sub-advisory fees paid to the Sub-Adviser had been negotiated by Funds Management on an arm’s-length basis.

Based on its review, the Board did not deem the profits reported by Funds Management, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund. The Board also discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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, the Sub-Adviser, and their affiliates as a result of their relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and its affiliate from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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, the Sub-Adviser, and their affiliates were unreasonable.

Conclusion

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

36 Wells Fargo C&B Mid Cap Value Fund Appendix A (unaudited)

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

Appendix A (unaudited) Wells Fargo C&B Mid Cap Value Fund 37

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

38 Wells Fargo C&B Mid Cap Value Fund Appendix A (unaudited)

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317289 11-18 A228/AR228 09-18

Annual Report

September 30, 2018

Wells Fargo Common Stock Fund

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Contents

Letter to shareholders	2
Performance highlights	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	16
Statement of operations	17
Statement of changes in net assets	18
Financial highlights	19
Notes to financial statements	24
Report of independent registered public accounting firm	29
Other information	30
Appendix A	37

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

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

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Common Stock Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

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

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Common Stock Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Common Stock Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Ann M. Miletti

Christopher G. Miller, CFA^®

Average annual total returns (%) as of September 30, 2018¹

		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		7.07		8.65		10.63			13.62		9.94		11.28		1.26		1.26
Class C (STSAX)	11-30-2000		11.74		9.11		10.44			12.74		9.11		10.44		2.01		2.01
Class R6 (SCSRX)	6-28-2013		–		–		–			14.12		10.43		11.66		0.83		0.83
Administrator Class (SCSDX)	7-30-2010		–		–		–			13.84		10.11		11.43		1.18		1.11
Institutional Class (SCNSX)	7-30-2010		–		–		–	��		14.12		10.39		11.64		0.93		0.86
Russell 2500TM Index4	–		–		–		–			16.19		11.37		12.02		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred sales charge assumes the sales charge for the corresponding time period. Class R6, Administrator Class, and Institutional 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 7.

Performance highlights (unaudited) Wells Fargo Common Stock Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

¹  Historical performance shown for Class R6 shares prior to their inception reflects the performance of Institutional Class shares, and includes the higher expenses applicable to Institutional Class shares. If these expenses had not been included, the returns for Class R6 shares would be higher. Historical performance shown for Administrator Class and Institutional Class shares prior to their inception reflects the performance of Class A shares, and includes the higher expenses applicable to Class A shares. If these expenses had not been included, the returns for Administrator and Institutional Class shares would be higher.

²  Reflects the expense ratios as stated in the most recent prospectuses, which include the impact of 0.01% in acquired fund fees and expenses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report, which do not include acquired fund fees and expenses.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at 1.26% for Class A, 2.01% for Class C, 0.85% for Class R6, 1.10% for Administrator Class, and 0.85% for Institutional Class. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

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 chart compares the performance of Class A shares for the most recent ten years with the Russell 2500^TM Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁶  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁷  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo Common Stock Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund underperformed its benchmark, the Russell 2500^TM Index, for the 12-month period that ended September 30, 2018.

∎ Weak results due to stock selection in the consumer discretionary, financials, and industrials sectors detracted from relative performance.

∎ Favorable stock selection and positioning within the health care, real estate, and energy sectors benefited relative performance.

The U.S. stock market rallied and many U.S. stock market indices hit new all-time highs during the reporting period. The benchmark was no exception and rose 16.19% for the 12-month period. Market volatility hit an all-time low in the last quarter of 2017 and, except for a brief spike in the first quarter of 2018, has remained low for most of the period. Across the broader market spectrum, larger-cap and growth stocks generally have outperformed smaller-cap and value stocks.

A number of factors influenced the U.S. stock market during the period. The lowering of corporate taxes, reduction in burdensome regulations, and other progrowth government policies fueled optimism in U.S. businesses and bolstered overall economic activity. The U.S. equity markets also benefited from the repatriation of cash held overseas, a significant ramp-up in share buybacks, increased capital spending, and high-profile merger and acquisition activity. By the end of the period, U.S. gross domestic product had increased for the 17th quarter in a row, unemployment was at recovery lows, and job openings were at recovery highs. Lower personal income taxes and household debt ratios combined with higher household net worth fueled consumer confidence and optimism. The U.S. government was actively negotiating trade agreements and even put some tariffs in place, but neither trade nor other geopolitical events had much of an impact on the equity markets. The U.S. Federal Reserve (Fed) raised its benchmark interest rate four times during the reporting period, most recently to a range of 2.00% to 2.25% at its September 2018 meeting.

Through all of the market and economic events that occurred during the reporting period and with the expectation of tighter U.S. monetary policy going forward, we continued to seek well-positioned companies—those with solid business models, strong management teams, and healthy cash flows—trading at attractive discounts to their private market values (PMVs). The PMV represents the expected price that would have to be paid for the entire company if it were acquired or taken private.

Ten largest holdings (%) as of September 30, 20186
LivaNova plc	3.38
E*TRADE Financial Corporation	2.44
Raymond James Financial Incorporated	2.06
Concho Resources Incorporated	2.02
Genesee & Wyoming Incorporated Class A	1.70
Stericycle Incorporated	1.66
Cornerstone OnDemand Incorporated	1.63
Hologic Incorporated	1.62
Tractor Supply Company	1.59
Fortinet Incorporated	1.59

Stock selection in the consumer discretionary and financials sectors and related industries hindered Fund performance.

The largest individual detractor from performance was Diebold Nixdorf, Incorporated, which provides financial self-service and security solutions, including ATM-related products. The company’s banking business is increasingly made up of large, complex projects with higher software content, creating a longer customer decision-making process and order-to-revenue conversion cycle. This resulted in disappointing financial results, which combined with a highly leveraged balance sheet and cyclical pressures led us to exit our position. In the consumer discretionary sector, Whirlpool Corporation,

which manufactures home appliances, and Mohawk Industries, Incorporated, which designs, manufactures, and distributes flooring products, were negatively affected by inflation, competitive dynamics, and macroeconomic concerns relating to rising interest rates. In the auto components industry, Dana Incorporated is a world leader in highly engineered solutions for improving the efficiency, performance, and sustainability of powered vehicles and machinery. Concerns over its largest end market peaking, uncertainty over tariffs, and rising input costs—mostly steel—have pressured the stock’s valuation. Within the financials sector, the Fund’s holdings in the insurance and banking industries underperformed their peers, including CNO Financial Group, Incorporated, and Sterling Bancorp.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Common Stock Fund 9

Portfolio allocation as of September 30, 2018⁷

Favorable positioning and stock selection drove relative outperformance within certain sectors in the Fund.

All sectors in the benchmark had positive returns for the period, with health care and information technology (IT) being the best performers, returning over 29% each. The Fund’s holdings in both of those sectors outperformed the benchmark. The largest contributor to relative performance came from the health care equipment industry, where the market rewarded high growth rates and faster-than-expected monetization of product innovation. Two such companies were Haemonetics Corporation, a global health care company providing innovative blood management solutions, and LivaNova PLC, a medical company specializing in neurology and cardiology products.

In the IT sector, holdings in the software and semiconductor industries outperformed the benchmark. The two best performers in this group were Zendesk, Incorporated, offering cloud-based customer-service software, and Fortinet, Incorporated, offering cybersecurity software and services. Holdings in the energy sector beat the benchmark and returned over 27%, aided by a 46% increase in West Texas Intermediate crude-oil prices, supply disruptions, and a favorable demand backdrop. Our overweight to exploration and production versus our underexposure to energy services companies also enhanced performance, as energy services continued to face hypercompetition, high debt levels, and low capital expenditures from producers. Real estate investment trusts rose the least of all the sectors, and the Fund’s underweight to the benchmark aided relative performance.

Our focus remains constant: to add value for shareholders through investment in attractively priced Fund holdings.

Our methodology includes buying stocks at a discount to their estimated PMV and selling stocks as they approach or exceed the upper end of their PMV range. Our disciplined, bottom-up investment process leads us to be overweight or underweight certain sectors. This positioning changes over time based on macroeconomic and industry-specific factors. During the reporting period, our process led us to be overweight the health care, industrials, and financials sectors and underweight the utilities, consumer discretionary, and real estate sectors. Through our disciplined investment process, we remain keenly aware of both price and enterprise values on a company-by-company basis. Our proprietary database of historical company acquisitions across industries, sectors, and time frames enables us to maintain an extensive foundation for assessing the PMVs of companies compared with their public stock prices. We strive to take advantage of those price discrepancies for the benefit of Fund shareholders by purchasing stocks when we believe they are selling at a discount to their PMV.

Looking ahead, interest rates, energy prices, and the policies of the U.S. government likely may be themes that influence the overall market and the relative performance of the Fund. Lower taxes and reduced regulations have already had an impact on the overall U.S. economy. The government has been actively negotiating trade agreements, with the first major deal between the U.S., Mexico, and Canada reached on the last day of the reporting period. However, the outcome of the midterm elections and subsequent influence on the direction of U.S. policy remain key items to watch. The U.S. Federal Reserve (Fed) has signaled more rate hikes in late 2018 and 2019 if labor markets tighten further, global economic risks remain well balanced, and inflation measures hit the Fed’s target.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,076.18	$	6.50		1.25	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.80	$	6.32		1.25	%
Class C
Actual	$	1,000.00	$	1,072.26	$	10.38		2.00	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.05	$	10.09		2.00	%
Class R6
Actual	$	1,000.00	$	1,079.05	$	4.27		0.82	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.97	$	4.15		0.82	%
Administrator Class
Actual	$	1,000.00	$	1,077.45	$	5.73		1.10	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.55	$	5.57		1.10	%
Institutional Class
Actual	$	1,000.00	$	1,078.83	$	4.43		0.85	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.81	$	4.31		0.85	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Common Stock Fund 11

Security name	Shares		Value
Common Stocks: 96.13%
Communication Services: 1.05%
Media: 1.05%
Interpublic Group of Companies Incorporated		549,946	$	12,577,265
Consumer Discretionary: 8.13%
Auto Components: 1.32%
Dana Incorporated		850,544		15,879,656
Diversified Consumer Services: 0.64%
Houghton Mifflin Harcourt Company †		1,100,249		7,701,743
Hotels, Restaurants & Leisure: 1.25%
Jack in the Box Incorporated		179,703		15,064,502
Household Durables: 2.04%
Mohawk Industries Incorporated †		68,487		12,009,195
Whirlpool Corporation		105,574		12,536,913
				24,546,108
Internet & Direct Marketing Retail: 1.29%
Expedia Incorporated		119,210		15,554,521
Specialty Retail: 1.59%
Tractor Supply Company		210,172		19,100,431
Consumer Staples: 1.22%
Household Products: 1.22%
Church & Dwight Company Incorporated		247,302		14,682,320
Energy: 6.81%
Oil, Gas & Consumable Fuels: 6.81%
Cimarex Energy Company		126,998		11,803,194
Concho Resources Incorporated †		158,786		24,254,562
Parsley Energy Incorporated Class A †		403,937		11,815,157
Targa Resources Corporation		289,006		16,273,928
WPX Energy Incorporated †		883,442		17,774,853
				81,921,694
Financials: 16.74%
Banks: 5.81%
Bank of the Ozarks Incorporated		179,170		6,801,293
First Horizon National Corporation		448,240		7,736,622
MB Financial Incorporated		159,201		7,340,758
PacWest Bancorp		307,973		14,674,913
Sterling Bancorp		816,168		17,955,696
Webster Financial Corporation		260,183		15,340,390
				69,849,672

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

12 Wells Fargo Common Stock Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Capital Markets: 4.50%
E*TRADE Financial Corporation †		561,139	$	29,398,072
Raymond James Financial Incorporated		269,422		24,800,295
				54,198,367
Insurance: 6.43%
Arch Capital Group Limited †		486,078		14,489,985
CNO Financial Group Incorporated		899,405		19,085,374
Reinsurance Group of America Incorporated		97,713		14,125,391
RenaissanceRe Holdings Limited		94,817		12,665,655
Willis Towers Watson plc		120,278		16,951,981
				77,318,386
Health Care: 14.72%
Biotechnology: 3.01%
Agios Pharmaceuticals Incorporated †«		47,581		3,669,447
Alkermes plc †		166,557		7,068,679
BioMarin Pharmaceutical Incorporated †		89,629		8,691,324
Neurocrine Biosciences Incorporated †		98,771		12,143,894
Sage Therapeutics Incorporated †		32,496		4,590,060
				36,163,404
Health Care Equipment & Supplies: 6.36%
Haemonetics Corporation †		142,720		16,352,858
Hologic Incorporated †		475,862		19,500,825
LivaNova plc †		328,315		40,701,211
				76,554,894
Health Care Providers & Services: 4.10%
Humana Incorporated		47,524		16,087,824
Laboratory Corporation of America Holdings †		100,733		17,495,307
Universal Health Services Incorporated Class B		123,651		15,807,544
				49,390,675
Life Sciences Tools & Services: 1.25%
Agilent Technologies Incorporated		212,392		14,982,132
Industrials: 16.91%
Aerospace & Defense: 0.72%
Hexcel Corporation		129,159		8,660,111
Airlines: 2.35%
Alaska Air Group Incorporated		189,844		13,072,658
Spirit Airlines Incorporated †		324,463		15,240,027
				28,312,685
Commercial Services & Supplies: 4.11%
Republic Services Incorporated		189,119		13,741,387
Steelcase Incorporated Class A		854,937		15,816,335

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

Portfolio of investments—September 30, 2018 Wells Fargo Common Stock Fund 13

Security name	Shares		Value
Commercial Services & Supplies (continued)
Stericycle Incorporated †		339,434	$	19,917,987
				49,475,709
Electrical Equipment: 2.64%
AMETEK Incorporated		207,782		16,439,712
Sensata Technologies Holding plc †		309,751		15,348,162
				31,787,874
Industrial Conglomerates: 1.39%
Carlisle Companies Incorporated		136,962		16,681,972
Machinery: 2.63%
Gardner Denver Holdings Incorporated †		575,393		16,306,638
Rexnord Corporation †		497,931		15,336,275
				31,642,913
Road & Rail: 1.70%
Genesee & Wyoming Incorporated Class A †		224,497		20,426,982
Trading Companies & Distributors: 1.37%
MRC Global Incorporated †		879,400		16,506,338
Information Technology: 15.65%
Electronic Equipment, Instruments & Components: 0.99%
Avnet Incorporated		266,045		11,910,835
IT Services: 2.91%
Amdocs Limited		188,230		12,419,415
Gartner Incorporated †		58,179		9,221,372
Global Payments Incorporated		105,086		13,387,956
				35,028,743
Semiconductors & Semiconductor Equipment: 3.37%
Integrated Device Technology Incorporated †		192,521		9,050,412
Marvell Technology Group Limited		714,316		13,786,299
Maxim Integrated Products Incorporated		187,431		10,569,234
ON Semiconductor Corporation †		384,279		7,082,262
				40,488,207
Software: 8.38%
8x8 Incorporated †		709,565		15,078,256
Cornerstone OnDemand Incorporated †		346,077		19,639,870
Fortinet Incorporated †		206,848		19,085,865
Nuance Communications Incorporated †		970,944		16,816,750
Red Hat Incorporated †		89,363		12,178,390
Zendesk Incorporated †		254,386		18,061,406
				100,860,537

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

14 Wells Fargo Common Stock Fund Portfolio of investments—September 30, 2018

Security name				Shares		Value
Materials: 5.59%
Chemicals: 2.13%
Axalta Coating Systems Limited †					422,919	$	12,332,318
Valvoline Incorporated					616,303		13,256,678
							25,588,996
Containers & Packaging: 1.05%
Crown Holdings Incorporated †					264,446		12,693,408
Metals & Mining: 2.41%
Royal Gold Incorporated					184,098		14,186,592
Steel Dynamics Incorporated					327,211		14,786,665
							28,973,257
Real Estate: 9.31%
Equity REITs: 9.31%
Camden Property Trust					175,655		16,436,038
CoreSite Realty Corporation					150,004		16,671,445
Hudson Pacific Properties Incorporated					476,195		15,581,100
Physicians Realty Trust					1,131,696		19,080,395
SBA Communications Corporation †					91,646		14,721,097
Sun Communities Incorporated					166,061		16,861,834
Taubman Centers Incorporated					211,267		12,640,105
							111,992,014
Total Common Stocks (Cost $780,188,881)							1,156,516,351
Exchange-Traded Funds: 1.07%
SPDR S&P Biotech ETF «					133,689		12,816,764
Total Exchange-Traded Funds (Cost $5,998,737)							12,816,764
	Yield
Short-Term Investments: 4.11%
Investment Companies: 4.11%
Securities Lending Cash Investment LLC (l)(r)(u)		2.17	%		13,692,114		13,693,483
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99			35,775,121		35,775,121
Total Short-Term Investments (Cost $49,467,235)							49,468,604

Total investments in securities (Cost $835,654,853)	101.31	%		1,218,801,719
Other assets and liabilities, net	(1.31	)		(15,713,779	)
Total net assets	100.00	%	$	1,203,087,940

† Non-income-earning security

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

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(r) The investment is a non-registered investment company purchased with cash collateral received from securities on loan.

(u) The rate represents the 7-day annualized yield at period end.

Abbreviations:

ETF Exchange-traded fund

REIT Real estate investment trust

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

Portfolio of investments—September 30, 2018 Wells Fargo Common Stock Fund 15

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)		Net change in unrealized gains (losses)			Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC		73,560,412		327,264,002		387,132,300		13,692,114	$	51	$	(928	)	$	295,371	$	13,693,483
Wells Fargo Government Money Market Fund Select Class		13,029,319		289,713,788		266,967,986		35,775,121		0		0			279,546		35,775,121
									$	51	$	(928	)	$	574,917	$	49,468,604		4.11	%

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

16 Wells Fargo Common Stock Fund Statement of assets and liabilities—September 30, 2018

Assets
Investments in unaffiliated securities (including $13,409,368 of securities loaned), at value (cost $786,187,618)	$	1,169,333,115
Investments in affiliated securities, at value (cost $49,467,235)		49,468,604
Receivable for investments sold		1,130,887
Receivable for Fund shares sold		142,475
Receivable for dividends		963,581
Receivable for securities lending income		7,331
Total assets		1,221,045,993
Liabilities
Payable upon receipt of securities loaned		13,690,975
Payable for investments purchased		2,598,203
Management fee payable		749,263
Payable for Fund shares redeemed		390,998
Administration fees payable		191,384
Distribution fee payable		10,250
Trustees’ fees and expenses payable		3,966
Accrued expenses and other liabilities		323,014
Total liabilities		17,958,053
Total net assets	$	1,203,087,940
NET ASSETS CONSIST OF
Paid-in capital	$	676,387,821
Total distributable earnings		526,700,119
Total net assets	$	1,203,087,940
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	971,731,468
Shares outstanding – Class A1		39,525,741
Net asset value per share – Class A		$24.58
Maximum offering price per share – Class A2		$26.08
Net assets – Class C	$	16,541,297
Shares outstanding – Class C1		898,750
Net asset value per share – Class C		$18.40
Net assets – Class R6	$	36,477,395
Shares outstanding – Class R61		1,414,048
Net asset value per share – Class R6		$25.80
Net assets – Administrator Class	$	6,141,164
Shares outstanding – Administrator Class1		245,292
Net asset value per share – Administrator Class		$25.04
Net assets – Institutional Class	$	172,196,616
Shares outstanding – Institutional Class1		6,692,596
Net asset value per share – Institutional Class		$25.73

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—year ended September 30, 2018 Wells Fargo Common Stock Fund 17

Investment income
Dividends	$	12,245,281
Income from affiliated securities		574,917
Total investment income		12,820,198
Expenses
Management fee		9,186,057
Administration fees
Class A		2,020,407
Class C		38,123
Class R6		15,471
Administrator Class		7,615
Institutional Class		218,094
Shareholder servicing fees
Class A		2,405,246
Class C		45,384
Administrator Class		14,644
Distribution fee
Class C		136,152
Custody and accounting fees		65,066
Professional fees		51,652
Registration fees		96,210
Shareholder report expenses		60,890
Trustees’ fees and expenses		24,901
Other fees and expenses		35,877
Total expenses		14,421,789
Less: Fee waivers and/or expense reimbursements		(121,353	)
Net expenses		14,300,436
Net investment loss		(1,480,238	)
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments:
Unaffiliated securities		168,782,024
Affiliated securities		51
Net realized gains on investments		168,782,075
Net change in unrealized gains (losses) on:
Unaffiliated securities		(10,618,039	)
Affiliated securities		(928	)
Net change in unrealized gains (losses) on investments		(10,618,967	)
Net realized and unrealized gains (losses) on investments		158,163,108
Net increase in net assets resulting from operations	$	156,682,870

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

18 Wells Fargo Common Stock Fund Statement of changes in net assets

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment loss				$	(1,480,238	)				$	(3,746,611	)
Net realized gains on investments					168,782,075						121,745,388
Net change in unrealized gains (losses) on investments					(10,618,967	)					68,747,398
Net increase in net assets resulting from operations					156,682,870						186,746,175
Distributions to shareholders
Class A					(97,640,556	)					(34,833,443	)
Class C					(2,494,352	)					(1,072,237	)
Class R6					(11,401,103	)					(3,722,907	)
Administrator Class					(613,023	)					(308,980	)
Institutional Class					(16,747,502	)					(6,486,421	)
Total distributions to shareholders					(128,896,536	)					(46,423,988	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		651,357			15,351,401			975,399			21,721,156
Class C		43,484			772,480			58,484			1,036,989
Class R6		278,881			6,924,814			851,975			19,951,604
Administrator Class		37,039			896,077			68,428			1,537,967
Institutional Class		894,739			22,089,498			1,763,589			41,457,596
					46,034,270						85,705,312
Reinvestment of distributions
Class A		4,106,240			92,965,271			1,499,574			33,260,548
Class C		137,871			2,350,702			52,926			920,375
Class R6		481,095			11,397,143			161,865			3,722,907
Administrator Class		24,808			571,322			13,054			293,584
Institutional Class		696,871			16,460,103			279,367			6,411,478
					123,744,541						44,608,892
Payment for shares redeemed
Class A		(4,413,777	)		(104,881,783	)		(6,314,787	)		(142,096,079	)
Class B		N/A			N/A			(1,872	)2		(33,351	)2
Class C		(295,049	)		(5,313,557	)		(442,603	)		(7,836,662	)
Class R6		(3,965,442	)		(93,857,873	)		(954,160	)		(22,265,015	)
Administrator Class		(76,020	)		(1,845,632	)		(589,682	)		(13,418,635	)
Institutional Class		(1,608,638	)		(39,681,646	)		(3,134,026	)		(73,012,502	)
					(245,580,491	)					(258,662,244	)
Net decrease in net assets resulting from capital share transactions					(75,801,680	)					(128,348,040	)
Total increase (decrease) in net assets					(48,015,346	)					11,974,147
Net assets
Beginning of period					1,251,103,286						1,239,129,139
End of period				$	1,203,087,940					$	1,251,103,286

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Accumulated net investment loss at September 30, 2017 was $3,859. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 7, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from October 1, 2016 to December 5, 2016. Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund.

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

Financial highlights Wells Fargo Common Stock Fund 19

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$24.06			$21.50			$21.62			$24.79			$24.45
Net investment loss		(0.04	)		(0.09	)		(0.01	)1		(0.04	)1		(0.07	)
Net realized and unrealized gains (losses) on investments		3.10			3.48			2.45			(0.32	)		2.48
Total from investment operations		3.06			3.39			2.44			(0.36	)		2.41
Distributions to shareholders from
Net realized gains		(2.54	)		(0.83	)		(2.56	)		(2.81	)		(2.07	)
Net asset value, end of period		$24.58			$24.06			$21.50			$21.62			$24.79
Total return2		13.62	%		16.10	%		12.43	%		(1.76	)%		10.26	%
Ratios to average net assets (annualized)
Gross expenses		1.25	%		1.25	%		1.25	%		1.27	%		1.28	%
Net expenses		1.25	%		1.25	%		1.25	%		1.26	%		1.26	%
Net investment loss		(0.18	)%		(0.38	)%		(0.05	)%		(0.19	)%		(0.27	)%
Supplemental data
Portfolio turnover rate		33	%		35	%		32	%		51	%		38	%
Net assets, end of period (000s omitted)		$971,731			$942,596			$924,864			$127,732			$277,517

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

20 Wells Fargo Common Stock Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$18.75			$17.04			$17.77			$21.02			$21.18
Net investment loss		(0.17	)1		(0.20	)1		(0.14	)1		(0.18	)		(0.22	)1
Net realized and unrealized gains (losses) on investments		2.36			2.74			1.97			(0.26	)		2.13
Total from investment operations		2.19			2.54			1.83			(0.44	)		1.91
Distributions to shareholders from
Net realized gains		(2.54	)		(0.83	)		(2.56	)		(2.81	)		(2.07	)
Net asset value, end of period		$18.40			$18.75			$17.04			$17.77			$21.02
Total return2		12.74	%		15.29	%		11.52	%		(2.49	)%		9.42	%
Ratios to average net assets (annualized)
Gross expenses		2.00	%		2.00	%		2.00	%		2.02	%		2.03	%
Net expenses		2.00	%		2.00	%		2.00	%		2.00	%		2.01	%
Net investment loss		(0.94	)%		(1.14	)%		(0.87	)%		(0.93	)%		(1.01	)%
Supplemental data
Portfolio turnover rate		33	%		35	%		32	%		51	%		38	%
Net assets, end of period (000s omitted)		$16,541			$18,978			$22,902			$25,668			$30,245

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Common Stock Fund 21

(For a share outstanding throughout each period)

	Year ended September 30
CLASS R6	2018			2017			2016			2015			2014
Net asset value, beginning of period		$25.03			$22.25			$22.20			$25.27			$24.78
Net investment income		0.05	1		0.01			0.07	1		0.05			0.07	1
Net realized and unrealized gains (losses) on investments		3.26			3.60			2.54			(0.31	)		2.49
Total from investment operations		3.31			3.61			2.61			(0.26	)		2.56
Distributions to shareholders from
Net realized gains		(2.54	)		(0.83	)		(2.56	)		(2.81	)		(2.07	)
Net asset value, end of period		$25.80			$25.03			$22.25			$22.20			$25.27
Total return		14.12	%		16.56	%		12.91	%		(1.29	)%		10.76	%
Ratios to average net assets (annualized)
Gross expenses		0.82	%		0.82	%		0.82	%		0.80	%		0.80	%
Net expenses		0.82	%		0.82	%		0.82	%		0.80	%		0.80	%
Net investment income		0.20	%		0.05	%		0.32	%		0.28	%		0.27	%
Supplemental data
Portfolio turnover rate		33	%		35	%		32	%		51	%		38	%
Net assets, end of period (000s omitted)		$36,477			$115,641			$101,436			$95,037			$95,213

¹  Calculated based upon average shares outstanding

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

22 Wells Fargo Common Stock Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$24.42			$21.78			$21.84			$24.98			$24.59
Net investment income (loss)		(0.01	)1		(0.06	)1		0.02			(0.01	)1		(0.02	)1
Net realized and unrealized gains (losses) on investments		3.17			3.53			2.48			(0.32	)		2.48
Total from investment operations		3.16			3.47			2.50			(0.33	)		2.46
Distributions to shareholders from
Net realized gains		(2.54	)		(0.83	)		(2.56	)		(2.81	)		(2.07	)
Net asset value, end of period		$25.04			$24.42			$21.78			$21.84			$24.98
Total return		13.84	%		16.26	%		12.59	%		(1.62	)%		10.41	%
Ratios to average net assets (annualized)
Gross expenses		1.17	%		1.17	%		1.17	%		1.12	%		1.11	%
Net expenses		1.10	%		1.10	%		1.10	%		1.10	%		1.09	%
Net investment income (loss)		(0.04	)%		(0.27	)%		0.03	%		(0.03	)%		(0.07	)%
Supplemental data
Portfolio turnover rate		33	%		35	%		32	%		51	%		38	%
Net assets, end of period (000s omitted)		$6,141			$6,336			$16,720			$18,050			$45,364

¹  Calculated based upon average shares outstanding

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

Financial highlights Wells Fargo Common Stock Fund 23

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$24.97			$22.20			$22.16			$25.25			$24.77
Net investment income		0.05	1		0.00	1,2		0.06	1		0.03			0.03
Net realized and unrealized gains (losses) on investments		3.25			3.60			2.54			(0.31	)		2.52
Total from investment operations		3.30			3.60			2.60			(0.28	)		2.55
Distributions to shareholders from
Net realized gains		(2.54	)		(0.83	)		(2.56	)		(2.81	)		(2.07	)
Net asset value, end of period		$25.73			$24.97			$22.20			$22.16			$25.25
Total return		14.12	%		16.55	%		12.88	%		(1.38	)%		10.72	%
Ratios to average net assets (annualized)
Gross expenses		0.92	%		0.92	%		0.92	%		0.86	%		0.85	%
Net expenses		0.85	%		0.85	%		0.85	%		0.85	%		0.85	%
Net investment income		0.21	%		0.02	%		0.28	%		0.24	%		0.14	%
Supplemental data
Portfolio turnover rate		33	%		35	%		32	%		51	%		38	%
Net assets, end of period (000s omitted)		$172,197			$167,552			$173,175			$226,729			$223,525

¹  Calculated based upon average shares outstanding

²  Amount is less than $0.005.

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

24 Wells Fargo Common Stock Fund Notes to financial statements

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo Common Stock Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through December 5, 2016.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending

Notes to financial statements Wells Fargo Common Stock Fund 25

Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities 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.

Income dividends and capital gain distributions from investment companies are recorded on the ex-dividend date. Capital gain distributions from investment companies are treated as realized gains.

Distributions to shareholders

Distributions to shareholders from net investment income and any net realized gains are recorded on the ex-dividend date and paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $845,416,910 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	401,038,122
Gross unrealized losses		(27,653,313	)
Net unrealized gains	$	373,384,809

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

∎ 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.

26 Wells Fargo Common Stock Fund Notes to financial statements

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Communication services	$	12,577,265	$	0	$	0	$	12,577,265
Consumer discretionary		97,846,961		0		0		97,846,961
Consumer staples		14,682,320		0		0		14,682,320
Energy		81,921,694		0		0		81,921,694
Financials		201,366,425		0		0		201,366,425
Health care		177,091,105		0		0		177,091,105
Industrials		203,494,584		0		0		203,494,584
Information technology		188,288,322		0		0		188,288,322
Materials		67,255,661		0		0		67,255,661
Real estate		111,992,014		0		0		111,992,014
Exchange-traded funds		12,816,764		0		0		12,816,764
Short-term investments
Investment companies		35,775,121		13,693,483		0		49,468,604
Total assets	$	1,205,108,236	$	13,693,483	$	0	$	1,218,801,719

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.80% and declining to 0.63% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.76% 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 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Class R6		0.03
Administrator Class, Institutional Class		0.13

Notes to financial statements Wells Fargo Common Stock Fund 27

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 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 C shares, 0.85% for Class R6 shares, 1.10% for administrator Class shares, and 0.85% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended August 31, 2018, Funds Distributor received $3,265 from the sale of Class A shares. No contingent deferred sales charges were incurred by Class A and Class C shares for the year ended September 30, 2018.

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 are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $397,333,773 and $624,164,385, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

7. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	17,715,099	$	8,270,040
Long-term capital gain		111,181,437		38,153,948

28 Wells Fargo Common Stock Fund Notes to financial statements

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$16,372,921	$136,946,287	$373,384,809

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net realized gains
Class A		$34,833,443
Class C		1,072,237
Class R6		3,722,907
Administrator Class		308,980
Institutional Class		6,486,421

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

Report of independent registered public accounting firm Wells Fargo Common Stock Fund 29

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Common Stock Fund (the “Fund”), including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

30 Wells Fargo Common Stock Fund Other information (unaudited)

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 44.99% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018

Pursuant to Section 852 of the Internal Revenue Code, $111,181,437 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $8,561,271 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $17,715,099 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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 Common Stock Fund 31

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

32 Wells Fargo Common Stock Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

Other information (unaudited) Wells Fargo Common Stock Fund 33

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

34 Wells Fargo Common Stock Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Common Stock Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Common Stock Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

Other information (unaudited) Wells Fargo Common Stock Fund 35

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Class A) was higher than the average investment performance of the Universe for the one-, three- and ten-year periods under review, but lower than the average investment performance of the Universe for the five-year period under review. The Board also noted that the investment performance of the Fund was higher than or in range of its benchmark index, the Russell 2500 Index, for the one- and ten-year periods under review, but lower than its benchmark index for the three- and five-year periods under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the Universe and benchmark for the periods identified above. The Board took note of the explanations for the relative underperformance during these periods, including with respect to investment decisions and market factors that affected the Fund’s investment performance.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge reports, the Board noted that the net operating expense ratios of the Fund were lower than, equal to or in range of the median net operating expense ratios of the expense Groups for each share class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were in range of the sum of these average rates for the Fund’s expense Groups for all Classes.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

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 with investment strategies similar to those of the Fund. 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 institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

36 Wells Fargo Common Stock Fund Other information (unaudited)

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

Appendix A (unaudited) Wells Fargo Common Stock Fund 37

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

38 Wells Fargo Common Stock Fund Appendix A (unaudited)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

Appendix A (unaudited) Wells Fargo Common Stock Fund 39

• Shares purchased through a Morgan Stanley self-directed brokerage account

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317290 11-18 A229/AR229 09-18

Annual Report

September 30, 2018

Wells Fargo Discovery Fund

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	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	16
Statement of operations	17
Statement of changes in net assets	18
Financial highlights	19
Notes to financial statements	24
Report of independent registered public accounting firm	29
Other information	30
Appendix A	37

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo Discovery Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Discovery Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo Discovery Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸  The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Discovery Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

This page is intentionally left blank.

6 Wells Fargo Discovery Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Michael T. Smith, CFA^®

Christopher J. Warner, CFA^®

Average annual total returns (%) as of September 30, 2018¹

		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		16.75		10.25		12.71		23.86		11.56		13.38		1.21		1.21
Class C (WDSCX)	7-31-2007		21.94		10.72		12.53		22.94		10.72		12.53		1.96		1.96
Class R6 (WFDRX)	6-28-2013		–		–		–		24.39		12.04		13.84		0.78		0.78
Administrator Class (WFDDX)	4-8-2005		–		–		–		23.97		11.66		13.51		1.13		1.13
Institutional Class (WFDSX)	8-31-2006		–		–		–		24.25		11.95		13.80		0.88		0.88
Russell 2500TM Growth Index4	–		–		–		–		23.13		12.88		13.61		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred sales charge assumes the sales charge for the corresponding time period. Class R6, Administrator Class, and Institutional 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 7.

Performance highlights (unaudited) Wells Fargo Discovery Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

¹  Historical performance shown for Class R6 shares prior to their inception reflects the performance of Institutional Class shares, and includes the higher expenses applicable to Institutional Class shares. If these expenses had not been included, the returns for Class R6 shares would be higher.

²  Reflects the expense ratios as stated in the most recent prospectuses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at 1.22% for Class A, 1.97% for Class C, 0.84% for Class R6, 1.15% for Administrator Class, and 0.89% for Institutional Class. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  The Russell 2500™ Growth Index measures the performance of those Russell 2500 companies with higher price/book ratios and higher forecasted growth values. You cannot invest directly in an index.

⁵  The chart compares the performance of Class A shares for the most recent ten years with the Russell 2500™ Growth Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁶  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁷  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo Discovery Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund (Class A, excluding sales charge) outperformed its benchmark, the Russell 2500^TM Growth Index, for the 12-month period that ended September 30, 2018.

∎ Stock selection in the health care and consumer discretionary sectors contributed to performance.

∎ Stock selection in the information technology (IT) sector detracted from performance.

As the period began, bullish sentiment for U.S. equities was apparent as global growth was synchronized, corporate earnings were strong, widespread tax cuts had been passed, and deregulations were being enacted. More recently, evidence began to mount that global economic growth has clearly become desynchronized as foreign equity markets, specifically emerging markets, experienced heightened volatility. The U.S. market, however, remained largely rational and supportive of our bottom-up fundamentally based investment process.

Ten largest holdings (%) as of September 30, 20186
Waste Connections Incorporated	2.62
WEX Incorporated	2.47
WellCare Health Plans Incorporated	2.18
Veeva Systems Incorporated Class A	1.90
Zebra Technologies Corporation Class A	1.90
First Data Corporation Class A	1.89
Gartner Incorporated	1.79
Insulet Corporation	1.77
Ultimate Software Group Incorporated	1.75
Vail Resorts Incorporated	1.71

Stock selection benefited the Fund’s relative performance, especially within health care and consumer discretionary.

Within the health care sector, Veeva Systems Incorporated delivered a notable contribution to the Fund’s outperformance. Veeva’s growth is at the intersection of health care and IT. While classified as a health care company, Veeva is benefiting from innovation in both the life-sciences and software industries. The company provides cloud-based customer relationship management (CRM) software with a specific emphasis on the life-sciences industry. Veeva’s products facilitate sales and marketing compliance within the pharmaceutical and biotechnology industries. The company has a dominant market-share position within the pharmaceutical industry

where roughly half of the largest companies use Veeva’s platform. In addition to Veeva’s legacy CRM business, the company’s Vault product has provided a new path for growth. Vault provides a software solution to manage clinical trial data and documents. Recently, strong growth in sales and adoption of Vault were largely responsible for the company reporting better-than-expected quarterly earnings that helped the holding contribute to returns over the past 12 months. Additionally, Veeva is beginning to show growth outside the health care industry. We view the company as a core holding with a very strong management team and impressive margins.

Within the consumer discretionary sector, Etsy, Incorporated, is benefiting from the ongoing strength of e-commerce relative to traditional brick-and-mortar retailers. Etsy operates a global online marketplace for unique and creative goods. Over the past year, the company reported better-than-expected revenue and earnings growth, which helped propel shares sharply higher. The company is benefiting from two vectors of growth as its current customers have increased their activity while at the same time attracting new customers to its platform. Finally, Etsy’s unique platform has afforded it a benefit that has become increasingly rare among retailers: pricing power. During the period, Etsy was able to raise its transaction fees without a material impact to demand.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Discovery Fund 9

Sector distribution as of September 30, 2018⁷

The Fund’s performance was hindered by stock selection in the IT sector.

Within the IT sector, competitive pressure weighed on LogMeIn, Incorporated. The provider of cloud-based communication and connectivity software saw its shares come under pressure due to issues within its key collaboration division. The division, which includes the GoTo applications, such as GoTo Meeting and GoTo Training, represents over half of LogMeIn’s revenue. Recently, customer churn increased as the company’s sales team did not execute as expected. Product-quality issues were also apparent as customers reported problems with new features/functionality. The most

glaring issue, however, was a heightened competitive landscape. Privately held competitor Zoom was particularly aggressive in attempting to win business from current LogMeIn customers. These issues forced management to reduce revenue and earnings guidance, sending shares lower. Our thesis on the holding became compromised as organic growth will be harder to achieve in this competitive environment. As such, we sold the position in favor of higher-conviction ideas.

Stock selection in the industrials sector weighed on performance.

The Fund’s position in The Brink’s Company detracted from performance. Brink’s, the cash management and logistics provider, experienced a sharp correction as a result of its exposure to Argentina. The Argentine peso devalued considerably, which reduced Brink’s earnings when translated into U.S. dollars. We feel the currency issue is transitory in nature and the main tenets of our investment thesis remain valid. As such, we have maintained a position in the company.

We remain somewhat cautious given geopolitical and macroeconomic uncertainties; however, we maintain confidence in the Fund’s positioning.

Looking broadly at financial markets through our lens of a bottom-up, fundamentally based investment process, we see ample reasons to maintain a cautious stance given factors such as trade wars, political instability, softness in China, and a hawkish U.S. Federal Reserve. We are, however, unquestionably excited about companies held in the portfolio, those with organic growth and on the right side of change. Yet, with uncertainties on the rise, we advise clients to be mindful of downside risks and to moderate return expectations.

From a portfolio positioning standpoint, our strategy is to stay balanced. We have a healthy allocation to core holdings, which are companies with consistent and durable fundamentals. These are businesses with highly profitable models, massive competitive advantages, and long runways of visible growth. On the other side, we own companies we consider to have idiosyncratic qualities. These are developing situations, which allow our process to find stocks that have unique drivers that are not yet clearly visible to investors. These companies typically trade at reasonable valuations and, importantly, should buffer volatility if the market rotates out of momentum and high-beta factors. Finally, we are being very selective with the parts of our universe where valuations are approaching extremes, including certain cloud-software, medical-device, and biotechnology companies. The portfolio is full of companies with strong fundamentals and superior earnings growth, and yet it trades at a reasonable valuation profile. This is an attractive setup and has us excited to continue to generate strong performance for our clients.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,131.85	$	6.42		1.20	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.05	$	6.08		1.20	%
Class C
Actual	$	1,000.00	$	1,127.74	$	10.40		1.95	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.29	$	9.85		1.95	%
Class R6
Actual	$	1,000.00	$	1,134.45	$	4.13		0.77	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.20	$	3.91		0.77	%
Administrator Class
Actual	$	1,000.00	$	1,132.35	$	5.99		1.12	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.45	$	5.67		1.12	%
Institutional Class
Actual	$	1,000.00	$	1,133.98	$	4.66		0.87	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.70	$	4.41		0.87	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Discovery Fund 11

Security name	Shares		Value
Common Stocks: 98.35%
Communication Services: 5.72%
Entertainment: 3.05%
Take-Two Interactive Software Incorporated †		329,100	$	45,412,509
World Wrestling Entertainment Incorporated Class A		463,200		44,805,336
				90,217,845
Interactive Media & Services: 2.67%
Match Group Incorporated †«		793,300		45,940,003
Yandex NV Class A †		997,122		32,795,343
				78,735,346
Consumer Discretionary: 15.19%
Diversified Consumer Services: 3.06%
Adtalem Global Education Incorporated †		846,400		40,796,480
Bright Horizons Family Solutions Incorporated †		420,540		49,556,434
				90,352,914
Hotels, Restaurants & Leisure: 7.75%
Chipotle Mexican Grill Incorporated †		76,600		34,816,232
Eldorado Resorts Incorporated †«		962,400		46,772,640
Hilton Grand Vacations Incorporated †		1,096,038		36,278,858
Melco Crown Entertainment Limited ADR		1,304,800		27,596,520
Six Flags Entertainment Corporation «		470,340		32,839,139
Vail Resorts Incorporated		184,114		50,524,564
				228,827,953
Household Durables: 0.70%
Skyline Corporation		722,600		20,644,682
Internet & Direct Marketing Retail: 2.14%
Etsy Incorporated †		437,500		22,478,750
MercadoLibre Incorporated		119,510		40,689,570
				63,168,320
Specialty Retail: 1.54%
Burlington Stores Incorporated †		280,065		45,628,190
Consumer Staples: 2.95%
Beverages: 1.60%
National Beverage Corporation †«		405,400		47,277,748
Food Products: 1.35%
Lamb Weston Holdings Incorporated		598,400		39,853,440
Energy: 1.07%
Oil, Gas & Consumable Fuels: 1.07%
Viper Energy Partners LP		751,100		31,621,310

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

12 Wells Fargo Discovery Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Financials: 2.50%
Capital Markets: 1.38%
Raymond James Financial Incorporated		441,445	$	40,635,012
Consumer Finance: 1.12%
SLM Corporation †		2,961,800		33,024,070
Health Care: 23.36%
Biotechnology: 5.15%
AnaptysBio Incorporated †		177,235		17,682,736
Array BioPharma Incorporated †		1,413,579		21,486,401
Avrobio Incorporated †		248,200		12,874,134
CRISPR Therapeutics AG †«		281,571		12,487,674
Exact Sciences Corporation †		356,700		28,150,764
Flexion Therapeutics Incorporated †«		1,336,103		24,998,487
Mirati Therapeutics Incorporated †		150,300		7,079,130
Sarepta Therapeutics Incorporated †		169,035		27,300,843
				152,060,169
Health Care Equipment & Supplies: 9.53%
Avanos Medical Incorporated †		488,800		33,482,800
DexCom Incorporated †		284,600		40,709,184
Haemonetics Corporation †		282,000		32,311,560
Hill-Rom Holdings Incorporated		478,170		45,139,248
ICU Medical Incorporated †		165,061		46,670,998
Insulet Corporation †		494,195		52,359,960
iRhythm Technologies Incorporated †		324,700		30,736,102
				281,409,852
Health Care Providers & Services: 3.17%
Amedisys Incorporated †		234,752		29,334,610
WellCare Health Plans Incorporated †		201,100		64,450,539
				93,785,149
Health Care Technology: 1.90%
Veeva Systems Incorporated Class A †		516,700		56,253,129
Life Sciences Tools & Services: 1.26%
Bio-Rad Laboratories Incorporated Class A †		118,500		37,089,315
Pharmaceuticals: 2.35%
Elanco Animal Health Incorporated †		609,118		21,252,127
GW Pharmaceuticals plc ADR †		147,700		25,513,698
MyoKardia Incorporated †		165,245		10,773,974
Wave Life Sciences Limited †		238,300		11,914,997
				69,454,796

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

Portfolio of investments—September 30, 2018 Wells Fargo Discovery Fund 13

Security name	Shares		Value
Industrials: 15.81%
Aerospace & Defense: 4.19%
Curtiss-Wright Corporation		357,255	$	49,093,982
Mercury Computer Systems Incorporated †		655,319		36,252,247
Teledyne Technologies Incorporated †		155,500		38,358,740
				123,704,969
Building Products: 1.22%
A.O. Smith Corporation		675,900		36,072,783
Commercial Services & Supplies: 3.74%
The Brink’s Company		473,500		33,026,625
Waste Connections Incorporated		970,329		77,403,144
				110,429,769
Construction & Engineering: 1.23%
WillScot Corporation †«		2,109,539		36,178,594
Machinery: 1.05%
Evoqua Water Technologies Company †		1,738,011		30,901,836
Road & Rail: 1.38%
Saia Incorporated †		534,200		40,839,590
Trading Companies & Distributors: 3.00%
SiteOne Landscape Supply Incorporated †		545,243		41,078,608
Univar Incorporated †		1,554,541		47,662,227
				88,740,835
Information Technology: 28.16%
Communications Equipment: 1.04%
Motorola Solutions Incorporated		236,660		30,798,932
Electronic Equipment, Instruments & Components: 4.80%
Littelfuse Incorporated		151,324		29,945,506
Novanta Incorporated †		415,440		28,416,096
Rogers Corporation †		184,299		27,150,929
Zebra Technologies Corporation Class A †		317,800		56,196,574
				141,709,105
IT Services: 13.85%
Black Knight Incorporated †		870,419		45,218,267
EPAM Systems Incorporated †		285,679		39,337,998
Euronet Worldwide Incorporated †		483,972		48,503,674
First Data Corporation Class A †		2,279,600		55,781,812
Gartner Incorporated †		333,200		52,812,200
GreenSky Incorporated Class A †		1,068,004		19,224,072
Shopify Incorporated Class A †«		200,200		32,924,892
Switch Incorporated Class A «		815,981		8,812,595

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

14 Wells Fargo Discovery Fund Portfolio of investments—September 30, 2018

Security name				Shares		Value
IT Services (continued)
Total System Services Incorporated					340,600	$	33,630,844
WEX Incorporated †					363,600		72,996,336
							409,242,690
Semiconductors & Semiconductor Equipment: 1.38%
Universal Display Corporation «					344,535		40,620,677
Software: 6.40%
2U Incorporated †					430,700		32,384,333
Envestnet Incorporated †					511,725		31,189,639
Globant SA †					629,400		37,128,306
Proofpoint Incorporated †					345,644		36,752,327
The Ultimate Software Group Incorporated †					160,300		51,647,057
							189,101,662
Technology Hardware, Storage & Peripherals: 0.69%
NCR Corporation †					718,200		20,404,062
Materials: 3.59%
Chemicals: 2.60%
Albemarle Corporation					298,800		29,814,264
Ingevity Corporation †					461,100		46,976,868
							76,791,132
Construction Materials: 0.99%
Vulcan Materials Company					262,900		29,234,480
Total Common Stocks (Cost $2,136,477,659)							2,904,810,356
	Yield
Short-Term Investments: 8.68%
Investment Companies: 8.68%
Securities Lending Cash Investment LLC (l)(r)(u)		2.17	%		224,067,768		224,090,174
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99			32,383,204		32,383,204
Total Short-Term Investments (Cost $256,470,390)							256,473,378

Total investments in securities (Cost $2,392,948,049)	107.03	%		3,161,283,734
Other assets and liabilities, net	(7.03	)		(207,545,247	)
Total net assets	100.00	%	$	2,953,738,487

† Non-income-earning security

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

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(r) The investment is a non-registered investment company purchased with cash collateral received from securities on loan.

(u) The rate represents the 7-day annualized yield at period end.

Abbreviations:

ADR American depositary receipt

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

Portfolio of investments—September 30, 2018 Wells Fargo Discovery Fund 15

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)			Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC		138,258,417		1,130,887,182		1,045,077,831		224,067,768	$	(16,792	)	$	0	$	2,101,667	$	224,090,174
Wells Fargo Government Money Market Fund Select Class		63,484,377		807,011,865		838,113,038		32,383,204		0			0		772,731		32,383,204
									$	(16,792	)	$	0	$	2,874,398	$	256,473,378		8.68	%

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

16 Wells Fargo Discovery Fund Statement of assets and liabilities—September 30, 2018

Assets
Investments in unaffiliated securities (including $214,775,008 of securities loaned), at value (cost $2,136,477,659)	$	2,904,810,356
Investments in affiliated securities, at value (cost $256,470,390)		256,473,378
Receivable for investments sold		23,301,176
Receivable for Fund shares sold		3,013,318
Receivable for dividends		386,604
Receivable for securities lending income		699,386
Total assets		3,188,684,218
Liabilities
Payable upon receipt of securities loaned		224,101,649
Payable for investments purchased		5,486,105
Payable for Fund shares redeemed		2,543,196
Management fee payable		1,744,342
Administration fees payable		319,824
Distribution fee payable		25,378
Trustees’ fees and expenses payable		330
Accrued expenses and other liabilities		724,907
Total liabilities		234,945,731
Total net assets	$	2,953,738,487
NET ASSETS CONSIST OF
Paid-in capital	$	1,842,342,916
Total distributable earnings		1,111,395,571
Total net assets	$	2,953,738,487
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	676,929,995
Shares outstanding – Class A1		17,799,418
Net asset value per share – Class A		$38.03
Maximum offering price per share – Class A2		$40.35
Net assets – Class C	$	40,860,317
Shares outstanding – Class C1		1,221,152
Net asset value per share – Class C		$33.46
Net assets – Class R6	$	530,879,028
Shares outstanding – Class R61		12,865,653
Net asset value per share – Class R6		$41.26
Net assets – Administrator Class	$	353,042,267
Shares outstanding – Administrator Class1		8,990,199
Net asset value per share – Administrator Class		$39.27
Net assets – Institutional Class	$	1,352,026,880
Shares outstanding – Institutional Class1		32,936,628
Net asset value per share – Institutional Class		$41.05

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—year ended September 30, 2018 Wells Fargo Discovery Fund 17

Investment income
Dividends (net of foreign withholding taxes of $84,165)	$	10,903,553
Securities lending income from affiliates, net		2,101,667
Income from affiliated securities		772,731
Total investment income		13,777,951
Expenses
Management fee		19,461,065
Administration fees
Class A		1,344,288
Class C		84,631
Class R6		127,055
Administrator Class		433,535
Institutional Class		1,639,298
Shareholder servicing fees
Class A		1,600,343
Class C		100,751
Administrator Class		833,457
Distribution fee
Class C		302,253
Custody and accounting fees		128,826
Professional fees		43,480
Registration fees		184,508
Shareholder report expenses		193,284
Trustees’ fees and expenses		24,191
Other fees and expenses		63,659
Total expenses		26,564,624
Net investment loss		(12,786,673	)
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Unaffiliated securities		373,081,656
Affiliated securities		(16,792	)
Net realized gains on investments		373,064,864
Net change in unrealized gains (losses) on investments		224,747,286
Net realized and unrealized gains (losses) on investments		597,812,150
Net increase in net assets resulting from operations	$	585,025,477

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

18 Wells Fargo Discovery Fund Statement of changes in net assets

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment loss				$	(12,786,673	)				$	(12,091,379	)
Net realized gains on investments					373,064,864						442,264,301
Net change in unrealized gains (losses) on investments					224,747,286						90,993,116
Net increase in net assets resulting from operations					585,025,477						521,166,038
Distributions to shareholders
Class A					(99,511,453	)					(8,136,174	)
Class C					(7,025,882	)					(671,858	)
Class R6					(54,328,520	)					(3,804,488	)
Administrator Class					(51,960,260	)					(4,526,561	)
Institutional Class					(179,090,110	)					(16,230,955	)
Total distributions to shareholders					(391,916,225	)					(33,370,036	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		1,452,010			51,353,312			1,274,807			41,940,957
Class C		112,021			3,424,044			48,882			1,447,999
Class R6		4,113,741			158,001,613			1,956,366			69,699,870
Administrator Class		918,595			33,383,569			1,012,912			34,218,485
Institutional Class		6,492,817			245,683,308			5,741,288			198,618,853
					491,845,846						345,926,164
Reinvestment of distributions
Class A		3,004,879			96,516,712			255,886			7,873,622
Class C		221,675			6,302,232			19,199			537,750
Class R6		1,557,379			54,087,762			116,203			3,804,488
Administrator Class		1,557,195			51,621,001			142,683			4,504,510
Institutional Class		4,841,719			167,426,637			471,707			15,401,227
					375,954,344						32,121,597
Payment for shares redeemed
Class A		(3,309,751	)		(116,123,418	)		(6,316,847	)		(202,308,530	)
Class C		(327,097	)		(10,270,806	)		(666,827	)		(19,445,166	)
Class R6		(1,827,978	)		(69,640,517	)		(2,489,101	)		(84,079,620	)
Administrator Class		(2,456,379	)		(87,966,732	)		(5,246,628	)		(170,695,467	)
Institutional Class		(8,225,567	)		(314,872,170	)		(17,883,060	)		(606,158,168	)
					(598,873,643	)					(1,082,686,951	)
Net increase (decrease) in net assets resulting from capital share transactions					268,926,547						(704,639,190	)
Total increase (decrease) in net assets					462,035,799						(216,843,188	)
Net assets
Beginning of period					2,491,702,688						2,708,545,876
End of period				$	2,953,738,487					$	2,491,702,688

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Accumulated net investment loss at September 30, 2017 was $396. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 7, Distributions to Shareholders, in the notes to the financial statements.

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

Financial highlights Wells Fargo Discovery Fund 19

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$36.47			$29.94			$30.48			$32.35			$33.50
Net investment loss		(0.26	)		(0.23	)		(0.18	)1		(0.24	)		(0.30	)
Net realized and unrealized gains (losses) on investments		7.85			7.17			2.23			0.96			1.36
Total from investment operations		7.59			6.94			2.05			0.72			1.06
Distributions to shareholders from
Net realized gains		(6.03	)		(0.41	)		(2.59	)		(2.59	)		(2.21	)
Net asset value, end of period		$38.03			$36.47			$29.94			$30.48			$32.35
Total return2		23.86	%		23.42	%		7.33	%		2.09	%		3.15	%
Ratios to average net assets (annualized)
Gross expenses		1.20	%		1.21	%		1.20	%		1.23	%		1.25	%
Net expenses		1.20	%		1.21	%		1.20	%		1.21	%		1.22	%
Net investment loss		(0.69	)%		(0.70	)%		(0.64	)%		(0.64	)%		(0.95	)%
Supplemental data
Portfolio turnover rate		67	%		73	%		78	%		87	%		84	%
Net assets, end of period (000s omitted)		$676,930			$607,318			$641,786			$294,661			$335,221

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

20 Wells Fargo Discovery Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$32.99			$27.32			$28.24			$30.37			$31.81
Net investment loss		(0.46	)		(0.42	)1		(0.37	)1		(0.43	)1		(0.35	)
Net realized and unrealized gains (losses) on investments		6.96			6.50			2.04			0.89			1.12
Total from investment operations		6.50			6.08			1.67			0.46			0.77
Distributions to shareholders from
Net realized gains		(6.03	)		(0.41	)		(2.59	)		(2.59	)		(2.21	)
Net asset value, end of period		$33.46			$32.99			$27.32			$28.24			$30.37
Total return2		22.94	%		22.51	%		6.51	%		1.35	%		2.33	%
Ratios to average net assets (annualized)
Gross expenses		1.95	%		1.96	%		1.95	%		1.98	%		2.00	%
Net expenses		1.95	%		1.96	%		1.95	%		1.96	%		1.97	%
Net investment loss		(1.45	)%		(1.45	)%		(1.41	)%		(1.39	)%		(1.70	)%
Supplemental data
Portfolio turnover rate		67	%		73	%		78	%		87	%		84	%
Net assets, end of period (000s omitted)		$40,860			$40,070			$49,538			$66,772			$84,585

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Discovery Fund 21

(For a share outstanding throughout each period)

	Year ended September 30
CLASS R6	2018			2017				2016			2015			2014
Net asset value, beginning of period		$38.93			$31.80				$32.08			$33.78			$34.73
Net investment loss		(0.10	)1		(0.08	)			(0.07	)		(0.07	)		(0.17	)
Net realized and unrealized gains (losses) on investments		8.46			7.62				2.38			0.96			1.43
Total from investment operations		8.36			7.54				2.31			0.89			1.26
Distributions to shareholders from
Net realized gains		(6.03	)		(0.41	)			(2.59	)		(2.59	)		(2.21	)
Net asset value, end of period		$41.26			$38.93				$31.80			$32.08			$33.78
Total return		24.39	%		23.98	%			7.77	%		2.53	%		3.60	%
Ratios to average net assets (annualized)
Gross expenses		0.78	%		0.78	%			0.77	%		0.76	%		0.77	%
Net expenses		0.78	%		0.78	%	��		0.77	%		0.76	%		0.77	%
Net investment loss		(0.26	)%		(0.27	)%			(0.22	)%		(0.21	)%		(0.45	)%
Supplemental data
Portfolio turnover rate		67	%		73	%			78	%		87	%		84	%
Net assets, end of period (000s omitted)		$530,879			$351,268				$300,118			$273,941			$221,043

¹  Calculated based upon average shares outstanding

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

22 Wells Fargo Discovery Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$37.44			$30.70			$31.17			$32.99			$34.08
Net investment loss		(0.23	)		(0.20	)1		(0.17	)1		(0.20	)		(0.27	)1
Net realized and unrealized gains (losses) on investments		8.09			7.35			2.29			0.97			1.39
Total from investment operations		7.86			7.15			2.12			0.77			1.12
Distributions to shareholders from
Net realized gains		(6.03	)		(0.41	)		(2.59	)		(2.59	)		(2.21	)
Net asset value, end of period		$39.27			$37.44			$30.70			$31.17			$32.99
Total return		23.97	%		23.52	%		7.40	%		2.24	%		3.25	%
Ratios to average net assets (annualized)
Gross expenses		1.12	%		1.13	%		1.12	%		1.09	%		1.08	%
Net expenses		1.12	%		1.13	%		1.12	%		1.09	%		1.08	%
Net investment loss		(0.62	)%		(0.62	)%		(0.58	)%		(0.52	)%		(0.81	)%
Supplemental data
Portfolio turnover rate		67	%		73	%		78	%		87	%		84	%
Net assets, end of period (000s omitted)		$353,042			$335,898			$400,997			$575,568			$687,537

¹  Calculated based upon average shares outstanding

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

Financial highlights Wells Fargo Discovery Fund 23

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$38.79			$31.72			$32.04			$33.76			$34.74
Net investment loss		(0.18	)		(0.13	)1		(0.10	)		(0.09	)		(0.20	)
Net realized and unrealized gains (losses) on investments		8.47			7.61			2.37			0.96			1.43
Total from investment operations		8.29			7.48			2.27			0.87			1.23
Distributions to shareholders from
Net realized gains		(6.03	)		(0.41	)		(2.59	)		(2.59	)		(2.21	)
Net asset value, end of period		$41.05			$38.79			$31.72			$32.04			$33.76
Total return		24.25	%		23.88	%		7.68	%		2.47	%		3.51	%
Ratios to average net assets (annualized)
Gross expenses		0.87	%		0.88	%		0.87	%		0.82	%		0.82	%
Net expenses		0.87	%		0.88	%		0.87	%		0.82	%		0.82	%
Net investment loss		(0.36	)%		(0.37	)%		(0.32	)%		(0.26	)%		(0.54	)%
Supplemental data
Portfolio turnover rate		67	%		73	%		78	%		87	%		84	%
Net assets, end of period (000s omitted)		$1,352,027			$1,157,148			$1,316,107			$1,436,125			$1,396,603

¹  Calculated based upon average shares outstanding

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

24 Wells Fargo Discovery Fund Notes to financial statements

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo 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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Foreign currency translation

The accounting records of the Fund are maintained in U.S. dollars. The values of other assets and liabilities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee. Purchases and sales of securities, and income and expenses are converted at the rate of exchange on the respective dates of such transactions. 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 from changes in exchange rates. The changes in net assets arising from changes in exchange rates of securities and the changes in net assets resulting from changes in market prices of securities are not separately presented. Such changes are included in net realized and unrealized gains or losses from investments.

Securities lending

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

Notes to financial statements Wells Fargo Discovery Fund 25

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund is included in securities lending income from affiliates (net of fees and rebates) 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 any net realized gains are recorded on the ex-dividend date and paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $2,399,438,158 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	819,186,186
Gross unrealized losses		(57,340,610	)
Net unrealized gains	$	761,845,576

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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

26 Wells Fargo Discovery Fund Notes to financial statements

gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to 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:

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

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

∎ 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.

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Communication services	$	168,953,191	$	0	$	0	$	168,953,191
Consumer discretionary		448,622,059		0		0		448,622,059
Consumer staples		87,131,188		0		0		87,131,188
Energy		31,621,310		0		0		31,621,310
Financials		73,659,082		0		0		73,659,082
Health care		690,052,410		0		0		690,052,410
Industrials		466,868,376		0		0		466,868,376
Information technology		831,877,128		0		0		831,877,128
Materials		106,025,612		0		0		106,025,612
Short-term investments
Investment companies		32,383,204		224,090,174		0		256,473,378
Total assets	$	2,937,193,560	$	224,090,174	$	0	$	3,161,283,734

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.80% and declining to 0.63% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.72% 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 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.

Notes to financial statements Wells Fargo Discovery Fund 27

Administration fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Class R6		0.03
Administrator Class, Institutional Class		0.13

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 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, 0.84% for Class R6 shares, 1.15% for Administrator Class shares, and 0.89% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $7,418 from the sale of Class A shares and $1,092 in contingent deferred sales charges from redemptions of Class C shares. No contingent deferred sales charges were incurred by Class A shares for the year ended September 30, 2018.

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 are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $1,781,341,672 and $1,889,440,783, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

28 Wells Fargo Discovery Fund Notes to financial statements

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

7. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	60,679,267	$	0
Long-term capital gain		331,236,958		33,370,036

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$51,161,676	$298,388,719	$761,845,576

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net realized gains
Class A		$8,136,174
Class C		671,858
Class R6		3,804,488
Administrator Class		4,526,561
Institutional Class		16,230,955

8. CONCENTRATION RISK

Concentration risks result from exposure to a limited number of sectors. A fund that invests a substantial portion of its assets in any sector may be more affected by changes in that sector than would be a fund whose investments are not heavily weighted in any sector.

9. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

Report of independent registered public accounting firm Wells Fargo Discovery Fund 29

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Discovery Fund (the “Fund”), including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

30 Wells Fargo Discovery Fund Other information (unaudited)

TAX INFORMATION

Pursuant to Section 852 of the Internal Revenue Code, $331,236,958 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 18.98% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $11,515,854 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $60,679,267 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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 Discovery Fund 31

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

32 Wells Fargo Discovery Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

Other information (unaudited) Wells Fargo Discovery Fund 33

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

34 Wells Fargo Discovery Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Discovery Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Discovery Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

Other information (unaudited) Wells Fargo Discovery Fund 35

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Administrator Class) was higher than the average investment performance of the Universe for all periods under review. The Board also noted that the investment performance of the Fund was higher than or in range of its benchmark index, the Russell 2500 Growth Index, for the one-, three- and ten-year periods under review, but lower than its benchmark index for the five-year period under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the benchmark for the period identified above. The Board took note of the explanations for the relative underperformance during this period, including with respect to investment decisions and market factors that affected the Fund’s investment performance. The Board also took note of the Fund’s outperformance relative to the Universe for all periods under review.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge reports, the Board noted that the net operating expense ratios of the Fund were lower than or equal to the median net operating expense ratios of the expense Groups for each share class.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were lower than or in range of the sum of these average rates for the Fund’s expense Groups for all Classes.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

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 with investment strategies similar to those of the Fund. 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 institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

36 Wells Fargo Discovery Fund Other information (unaudited)

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

Appendix A (unaudited) Wells Fargo Discovery Fund 37

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

38 Wells Fargo Discovery Fund Appendix A (unaudited)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

Appendix A (unaudited) Wells Fargo Discovery Fund 39

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317291 11-18 A230/AR230 09-18

Annual Report

September 30, 2018

Wells Fargo Enterprise Fund

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	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	16
Statement of operations	17
Statement of changes in net assets	18
Financial highlights	19
Notes to financial statements	24
Report of independent registered public accounting firm	29
Other information	30
Appendix A	37

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo Enterprise Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Enterprise Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo Enterprise Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Enterprise Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Enterprise Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Michael T. Smith, CFA^®

Christopher J. Warner, CFA^®

Average annual total returns (%) as of September 30, 2018¹

		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		13.88		9.48		11.12		20.83		10.78		11.78		1.26		1.18
Class C (WENCX)	3-31-2008		18.93		9.95		10.95		19.93		9.95		10.95		2.01		1.93
Class R6 (WENRX)	10-31-2014		–		–		–		21.30		11.19		12.21		0.83		0.80
Administrator Class (SEPKX)	8-30-2002		–		–		–		20.95		10.90		11.92		1.18		1.10
Institutional Class (WFEIX)	6-30-2003		–		–		–		21.24		11.15		12.19		0.93		0.85
Russell MidCap® Growth Index4	–		–		–		–		21.10		13.00		13.46		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred sales charge assumes the sales charge for the corresponding time period. Class R6, Administrator Class, and Institutional 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 7.

Performance highlights (unaudited) Wells Fargo Enterprise Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

¹  Historical performance shown for Class R6 shares prior to their inception reflects the performance of the Institutional Class shares, and is not adjusted to reflect the expenses of Class R6. If these expenses had been included, returns for Class R6 shares would be higher.

²  Reflects the expense ratios as stated in the most recent prospectuses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at the amounts shown. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  The Russell Midcap^® Growth Index measures the performance of those Russell Midcap companies with higher price/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 chart compares the performance of Class A shares for the most recent ten years with the Russell Midcap^® Growth Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁶  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁷  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo Enterprise Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund (Class A, excluding sales charge) modestly lagged its benchmark, the Russell MidCap^® Growth Index, for the 12-month period that ended September 30, 2018.

∎ Stock selection within the industrials and consumer discretionary sectors detracted from performance.

∎ Stock selection in the health care and communication services sectors contributed to performance.

As the period began, bullish sentiment for U.S. equities was apparent as global growth was synchronized, corporate earnings were strong, widespread tax cuts had been passed, and deregulations were being enacted. More recently, evidence began to mount that global economic growth has clearly become desynchronized as foreign equity markets, specifically emerging markets, experienced heightened volatility. The U.S. market, however, remained largely rational and supportive of our bottom-up, fundamentally based investment process.

Ten largest holdings (%) as of September 30, 20186
First Data Corporation Class A	2.84
Waste Connections Incorporated	2.59
Edwards Lifesciences Corporation	2.37
Gartner Incorporated	2.19
WEX Incorporated	2.17
ServiceNow Incorporated	2.08
Cintas Corporation	2.08
Rockwell Automation Incorporated	2.03
WellCare Health Plans Incorporated	2.03
Autodesk Incorporated	1.97

Stock selection benefited the Fund’s relative performance, especially within health care and communication services.

Within the health care sector, Veeva Systems Incorporated delivered a notable contribution to the Fund’s performance. Veeva’s growth is at the intersection of health care and information technology. While classified as a health care company, Veeva is benefiting from innovation in both the life-sciences and software industries. The company provides cloud-based customer relationship management (CRM) software with a specific emphasis on the life-sciences industry. Veeva’s products facilitate sales and marketing compliance within the pharmaceutical and biotechnology industries. The company has a dominant market-share position within

the pharmaceutical industry, where roughly half of the largest companies use Veeva’s platform. In addition to Veeva’s legacy CRM business, the company’s Vault product has provided a new path for growth. Vault provides a software solution to manage clinical trial data and documents. Recently, strong growth in sales and adoption of Vault were largely responsible for the company reporting better-than-expected earnings that helped the holding contribute to returns over the past 12 months. Additionally, Veeva is beginning to show growth outside the health care industry. We view the company as possessing a very strong management team and impressive margins.

Within the communication services sector, our position in Take-Two Interactive Software, Incorporated, contributed to returns over the past 12 months as the video game software company reported consistently strong financial results. Take-Two, like many game-software firms, is benefiting from rising digital downloads and in-game monetization opportunities. These revenue streams offer significantly higher profit-margin opportunities. The company’s flagship Grand Theft Auto franchise continues to produce strong results as the online version of the game has meaningfully exceeded expectations.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Enterprise Fund 9

Sector distribution as of September 30, 2018⁷

Security selection in the consumer discretionary and industrials sectors detracted from the Fund’s performance.

Within the consumer discretionary sector, macroeconomic concerns weighed on Melco Resorts & Entertainment Limited. Our original thesis on Melco, an operator of resort hotels and casinos in Macau, China, is playing out much as we expected. The company’s new property, Morpheus, has added much needed room supply and has been successful in attracting mass premium guests. Recently, however, investor concern mounted regarding the impact of proposed tariffs on the Chinese consumer. Coupled with Chinese currency volatility, these concerns negatively influenced sentiment for China-exposed consumer

companies and helped send Melco shares down sharply. We have maintained our position, as we feel these macro issues eventually will dissipate and the current risk/return profile of the holding is attractive.

Within the industrials sector, the Fund’s position in The Brink’s Company detracted from performance. Brink’s, the cash management and logistics provider, experienced a sharp correction as a result of its exposure to Argentina. The Argentine peso devalued considerably, which reduced Brink’s earnings when translated back into U.S. dollars. We feel the currency issue is transitory in nature and the main tenets of our investment thesis remain valid. As such, we have maintained a position in the company.

We remain somewhat cautious given geopolitical and macroeconomic uncertainties; however, we maintain confidence in the Fund’s positioning.

Looking broadly at financial markets through our lens of a bottom-up, fundamentally based investment process, we see ample reasons to maintain a cautious stance given factors such as trade wars, political instability, softness in China, and a hawkish U.S. Federal Reserve. We are, however, unquestionably excited about companies held in the portfolio, those with organic growth and on the right side of change. Yet, with uncertainties on the rise, we advise clients to be mindful of downside risks and to moderate return expectations.

From a portfolio positioning standpoint, our strategy is to stay balanced. We have a healthy allocation to core holdings, which are companies with consistent and durable fundamentals. These are businesses with highly profitable models, massive competitive advantages, and long runways of visible growth. On the other side, we own companies we consider to have idiosyncratic qualities. These are developing situations, which allow our process to find stocks that have unique drivers that are not yet clearly visible to investors. These companies typically trade at reasonable valuations and, importantly, should buffer volatility if the market rotates out of momentum and high-beta factors. Finally, we are being very selective with the parts of our universe where valuations are approaching extremes, including certain cloud-software, medical-device, and biotechnology companies. The portfolio is full of companies with strong fundamentals and superior earnings growth, and yet it trades at a reasonable valuation profile. This is an attractive setup and has us excited to continue to generate strong performance for our clients.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,116.83	$	6.26		1.18	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.15	$	5.97		1.18	%
Class C
Actual	$	1,000.00	$	1,112.59	$	10.22		1.93	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.39	$	9.75		1.93	%
Class R6
Actual	$	1,000.00	$	1,119.04	$	4.25		0.80	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.06	$	4.05		0.80	%
Administrator Class
Actual	$	1,000.00	$	1,117.52	$	5.82		1.10	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.57	$	5.55		1.10	%
Institutional Class
Actual	$	1,000.00	$	1,118.72	$	4.51		0.85	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.81	$	4.31		0.85	%

¹  Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Enterprise Fund 11

Security name	Shares		Value
Common Stocks: 99.75%
Communication Services: 7.19%
Entertainment: 4.61%
Nintendo Company Limited ADR		235,400	$	10,702,461
Take-Two Interactive Software Incorporated †		99,900		13,785,201
World Wrestling Entertainment Incorporated Class A		110,800		10,717,684
				35,205,346
Interactive Media & Services: 2.58%
Match Group Incorporated †«		205,900		11,923,669
Yandex NV Class A †		235,900		7,758,751
				19,682,420
Consumer Discretionary: 15.30%
Auto Components: 1.91%
Aptiv plc		173,685		14,572,172
Automobiles: 1.28%
Ferrari NV «		71,100		9,734,301
Diversified Consumer Services: 2.84%
Adtalem Global Education Incorporated †		197,900		9,538,780
Bright Horizons Family Solutions Incorporated †		103,200		12,161,088
				21,699,868
Hotels, Restaurants & Leisure: 6.27%
Chipotle Mexican Grill Incorporated †		24,200		10,999,384
Hilton Grand Vacations Incorporated †		278,600		9,221,660
Melco Resorts & Entertainment Limited ADR		340,500		7,201,575
Six Flags Entertainment Corporation «		119,400		8,336,508
Vail Resorts Incorporated		44,217		12,134,029
				47,893,156
Internet & Direct Marketing Retail: 1.31%
MercadoLibre Incorporated		29,400		10,009,818
Specialty Retail: 1.69%
Burlington Stores Incorporated †		79,300		12,919,556
Consumer Staples: 2.56%
Beverages: 1.22%
Constellation Brands Incorporated Class A		43,300		9,336,346
Food Products: 1.34%
Lamb Weston Holdings Incorporated		153,000		10,189,800
Energy: 1.16%
Oil, Gas & Consumable Fuels: 1.16%
Diamondback Energy Incorporated		65,600		8,868,464

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

12 Wells Fargo Enterprise Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Financials: 3.06%
Capital Markets: 3.06%
Intercontinental Exchange Incorporated		161,225	$	12,074,140
Raymond James Financial Incorporated		122,600		11,285,330
				23,359,470
Health Care: 17.95%
Biotechnology: 1.43%
Exact Sciences Corporation †		82,200		6,487,224
Sarepta Therapeutics Incorporated †		27,700		4,473,827
				10,961,051
Health Care Equipment & Supplies: 8.27%
Align Technology Incorporated †		19,000		7,433,180
Avanos Medical Incorporated †		110,200		7,548,700
DexCom Incorporated †		73,300		10,484,832
Edwards Lifesciences Corporation †		103,800		18,071,580
Hill-Rom Holdings Incorporated		110,900		10,468,960
Insulet Corporation †		86,400		9,154,080
				63,161,332
Health Care Providers & Services: 2.03%
WellCare Health Plans Incorporated †		48,300		15,479,667
Health Care Technology: 1.77%
Veeva Systems Incorporated Class A †		123,900		13,488,993
Life Sciences Tools & Services: 2.84%
Bio-Rad Laboratories Incorporated Class A †		31,300		9,796,587
Illumina Incorporated †		32,500		11,929,450
				21,726,037
Pharmaceuticals: 1.61%
Elanco Animal Health Incorporated †		158,287		5,522,633
GW Pharmaceuticals plc ADR †«		39,000		6,736,860
				12,259,493
Industrials: 15.61%
Aerospace & Defense: 2.91%
Curtiss-Wright Corporation		88,916		12,218,837
Teledyne Technologies Incorporated †		40,500		9,990,540
				22,209,377
Building Products: 1.14%
A.O. Smith Corporation		163,700		8,736,669
Commercial Services & Supplies: 5.62%
Cintas Corporation		80,100		15,844,581
The Brink’s Company		105,100		7,330,725
Waste Connections Incorporated		247,639		19,754,163
				42,929,469

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

Portfolio of investments—September 30, 2018 Wells Fargo Enterprise Fund 13

Security name	Shares		Value
Electrical Equipment: 2.03%
Rockwell Automation Incorporated		82,700	$	15,507,904
Machinery: 0.99%
Evoqua Water Technologies Company †		424,434		7,546,437
Trading Companies & Distributors: 2.92%
SiteOne Landscape Supply Incorporated †		129,700		9,771,598
Univar Incorporated †		408,346		12,519,888
				22,291,486
Information Technology: 30.62%
Communications Equipment: 1.11%
Motorola Solutions Incorporated		64,940		8,451,292
Electronic Equipment, Instruments & Components: 2.68%
Littelfuse Incorporated		35,300		6,985,517
Zebra Technologies Corporation Class A †		76,400		13,509,812
				20,495,329
IT Services: 16.02%
Black Knight Incorporated †		212,500		11,039,375
EPAM Systems Incorporated †		78,754		10,844,426
First Data Corporation Class A †		885,500		21,668,185
FleetCor Technologies Incorporated †		49,500		11,278,080
Gartner Incorporated †		105,600		16,737,600
GreenSky Incorporated Class A †		278,400		5,011,200
PagSeguro Digital Limited Class A †		260,500		7,208,035
Shopify Incorporated Class A †		47,200		7,762,512
Switch Incorporated Class A «		209,824		2,266,099
Total System Services Incorporated		120,900		11,937,665
WEX Incorporated †		82,500		16,562,700
				122,315,877
Semiconductors & Semiconductor Equipment: 3.43%
Infineon Technologies AG ADR		327,800		7,447,616
Marvell Technology Group Limited		427,100		8,243,030
Universal Display Corporation «		88,900		10,481,310
				26,171,956
Software: 7.38%
Autodesk Incorporated †		96,400		15,049,004
Red Hat Incorporated †		93,000		12,674,040
ServiceNow Incorporated †		81,250		15,894,938
Ultimate Software Group Incorporated †		39,400		12,694,286
				56,312,268

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

14 Wells Fargo Enterprise Fund Portfolio of investments—September 30, 2018

Security name				Shares		Value
Materials: 5.20%
Chemicals: 3.82%
Air Products & Chemicals Incorporated					56,000	$	9,354,800
Albemarle Corporation					77,300		7,712,994
The Sherwin-Williams Company					26,600		12,108,586
							29,176,380
Construction Materials: 1.38%
Vulcan Materials Company					94,500		10,508,400
Real Estate: 1.10%
Equity REITs: 1.10%
SBA Communications Corporation †					52,100		8,368,823
Total Common Stocks (Cost $564,637,870)							761,568,957
	Yield
Short-Term Investments: 5.08%
Investment Companies: 5.08%
Securities Lending Cash Investment LLC (l)(r)(u)		2.17	%		33,993,921		33,997,320
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99			4,785,042		4,785,042
Total Short-Term Investments (Cost $38,782,362)							38,782,362

Total investments in securities (Cost $603,420,232)	104.83	%		800,351,319
Other assets and liabilities, net	(4.83	)		(36,888,117	)
Total net assets	100.00	%	$	763,463,202

† Non-income-earning security

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

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(r) The investment is a non-registered investment company purchased with cash collateral received from securities on loan.

(u) The rate represents the 7-day annualized yield at period end.

Abbreviations:

ADR American depositary receipt

REIT Real estate investment trust

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

Portfolio of investments—September 30, 2018 Wells Fargo Enterprise Fund 15

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized losses			Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC		24,700,733		383,384,128		374,090,940		33,993,921	$	(2,446	)	$	0	$	213,340	$	33,997,320
Wells Fargo Government Money Market Fund Select Class		7,539,373		213,718,755		216,473,086		4,785,042		0			0		114,143		4,785,042
									$	(2,446	)	$	0	$	327,483	$	38,782,362		5.08	%

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

16 Wells Fargo Enterprise Fund Statement of assets and liabilities—September 30, 2018

Assets
Investments in unaffiliated securities (including $32,711,635 of securities loaned), at value (cost $564,637,870)	$	761,568,957
Investments in affiliated securities, at value (cost $38,782,362)		38,782,362
Receivable for investments sold		410,704
Receivable for Fund shares sold		158,401
Receivable for dividends		155,898
Receivable for securities lending income		20,377
Prepaid expenses and other assets		51,269
Total assets		801,147,968
Liabilities
Payable upon receipt of securities loaned		33,999,688
Payable for investments purchased		2,619,651
Management fee payable		433,916
Payable for Fund shares redeemed		246,629
Administration fees payable		120,973
Distribution fee payable		4,764
Accrued expenses and other liabilities		259,145
Total liabilities		37,684,766
Total net assets	$	763,463,202
NET ASSETS CONSIST OF
Paid-in capital	$	486,645,147
Total distributable earnings		276,818,055
Total net assets	$	763,463,202
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	655,338,315
Shares outstanding – Class A1		12,373,535
Net asset value per share – Class A		$52.96
Maximum offering price per share – Class A2		$56.19
Net assets – Class C	$	7,628,942
Shares outstanding – Class C1		163,212
Net asset value per share – Class C		$46.74
Net assets – Class R6	$	48,363,222
Shares outstanding – Class R61		827,116
Net asset value per share – Class R6		$58.47
Net assets – Administrator Class	$	3,687,197
Shares outstanding – Administrator Class1		66,060
Net asset value per share – Administrator Class		$55.82
Net assets – Institutional Class	$	48,445,526
Shares outstanding – Institutional Class1		830,511
Net asset value per share – Institutional Class		$58.33

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—year ended September 30, 2018 Wells Fargo Enterprise Fund 17

Investment income
Dividends (net of foreign withholding taxes of $42,203)	$	3,782,939
Securities lending income from affiliates, net		213,340
Income from affiliated securities		114,143
Total investment income		4,110,422
Expenses
Management fee		5,397,099
Administration fees
Class A		1,303,720
Class C		18,367
Class R6		13,549
Administrator Class		4,775
Institutional Class		63,483
Shareholder servicing fees
Class A		1,552,048
Class C		21,866
Administrator Class		8,973
Distribution fee
Class C		65,597
Custody and accounting fees		62,510
Professional fees		42,155
Registration fees		101,983
Shareholder report expenses		83,251
Trustees’ fees and expenses		20,925
Other fees and expenses		18,150
Total expenses		8,778,451
Less: Fee waivers and/or expense reimbursements		(467,414	)
Net expenses		8,311,037
Net investment loss		(4,200,615	)
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains (losses) on:
Unaffiliated securities		90,690,120
Affiliated securities		(2,446	)
Net realized gains (losses) on investments		90,687,674
Net change in unrealized gains (losses) on investments		51,811,573
Net realized and unrealized gains (losses) on investments		142,499,247
Net increase in net assets resulting from operations	$	138,298,632

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

18 Wells Fargo Enterprise Fund Statement of changes in net assets

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment loss				$	(4,200,615	)				$	(3,345,751	)
Net realized gains on investments					90,687,674						81,607,624
Net change in unrealized gains (losses) on investments					51,811,573						50,265,823
Net increase in net assets resulting from operations					138,298,632						128,527,696
Distributions to shareholders
Class A					(61,896,652	)					(23,114,697	)
Class C					(1,047,354	)					(425,970	)
Class R6					(4,095,973	)					(1,209,334	)
Administrator Class					(378,790	)					(197,246	)
Institutional Class					(4,654,368	)					(2,319,994	)
Total distributions to shareholders					(72,073,137	)					(27,267,241	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		185,378			9,099,671			195,089			8,516,613
Class C		4,536			198,917			13,435			531,304
Class R6		178,922			9,819,356			53,059			2,534,424
Administrator Class		12,688			658,208			24,924			1,147,821
Institutional Class		132,493			7,163,466			211,541			10,100,449
					26,939,618						22,830,611
Reinvestment of distributions
Class A		1,280,198			58,530,640			533,814			21,805,829
Class C		25,557			1,037,343			10,964			405,900
Class R6		81,337			4,092,854			27,250			1,209,334
Administrator Class		7,722			371,790			4,560			195,026
Institutional Class		89,154			4,477,339			51,089			2,264,283
					68,509,966						25,880,372
Payment for shares redeemed
Class A		(1,203,590	)		(59,203,661	)		(1,542,559	)		(67,085,160	)
Class B		N/A			N/A			(9,343	)2		(353,582	)2
Class C		(69,340	)		(3,062,717	)		(62,115	)		(2,474,823	)
Class R6		(108,785	)		(6,087,430	)		(62,855	)		(2,999,473	)
Administrator Class		(26,820	)		(1,379,035	)		(64,120	)		(3,098,008	)
Institutional Class		(425,040	)		(22,883,844	)		(587,234	)		(27,287,442	)
					(92,616,687	)					(103,298,488	)
Net increase (decrease) in net assets resulting from capital share transactions					2,832,897						(54,587,505	)
Total increase in net assets					69,058,392						46,672,950
Net assets
Beginning of period					694,404,810						647,731,860
End of period				$	763,463,202					$	694,404,810

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Accumulated net investment loss at September 30, 2017 was $22,316. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 7, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from October 1, 2016 to December 5, 2016. Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund.

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

Financial highlights Wells Fargo Enterprise Fund 19

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$48.80			$41.94			$41.90			$47.93			$49.54
Net investment loss		(0.31	)		(0.25	)		(0.21	)1		(0.29	)		(0.43	)1
Net realized and unrealized gains (losses) on investments		9.66			8.94			3.61			0.18			3.00
Total from investment operations		9.35			8.69			3.40			(0.11	)		2.57
Distributions to shareholders from
Net realized gains		(5.19	)		(1.83	)		(3.36	)		(5.92	)		(4.18	)
Net asset value, end of period		$52.96			$48.80			$41.94			$41.90			$47.93
Total return2		20.83	%		21.55	%		8.63	%		(0.67	)%		5.27	%
Ratios to average net assets (annualized)
Gross expenses		1.25	%		1.26	%		1.26	%		1.29	%		1.29	%
Net expenses		1.18	%		1.18	%		1.18	%		1.18	%		1.18	%
Net investment loss		(0.61	)%		(0.55	)%		(0.52	)%		(0.60	)%		(0.87	)%
Supplemental data
Portfolio turnover rate		62	%		75	%		99	%		101	%		98	%
Net assets, end of period (000s omitted)		$655,338			$591,002			$542,077			$370,743			$417,971

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

20 Wells Fargo Enterprise Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$43.95			$38.23			$38.75			$45.07			$47.14
Net investment loss		(0.60	)1		(0.85	)		(0.47	)1		(0.59	)1		(0.75	)1
Net realized and unrealized gains (losses) on investments		8.58			8.40			3.31			0.19			2.86
Total from investment operations		7.98			7.55			2.84			(0.40	)		2.11
Distributions to shareholders from
Net realized gains		(5.19	)		(1.83	)		(3.36	)		(5.92	)		(4.18	)
Net asset value, end of period		$46.74			$43.95			$38.23			$38.75			$45.07
Total return2		19.93	%		20.66	%		7.80	%		(1.41	)%		4.49	%
Ratios to average net assets (annualized)
Gross expenses		2.00	%		2.01	%		2.01	%		2.04	%		2.04	%
Net expenses		1.93	%		1.93	%		1.93	%		1.93	%		1.93	%
Net investment loss		(1.37	)%		(1.13	)%		(1.28	)%		(1.36	)%		(1.62	)%
Supplemental data
Portfolio turnover rate		62	%		75	%		99	%		101	%		98	%
Net assets, end of period (000s omitted)		$7,629			$8,898			$9,181			$9,399			$9,658

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Enterprise Fund 21

(For a share outstanding throughout each period)

	Year ended September 30
CLASS R6	2018			2017			2016			20151
Net asset value, beginning of period		$53.17			$45.37			$44.89			$52.65
Net investment loss		(0.13	)2		(0.08	)		(0.06	)2		(0.08	)
Net realized and unrealized gains (losses) on investments		10.62			9.71			3.90			(1.76	)
Total from investment operations		10.49			9.63			3.84			(1.84	)
Distributions to shareholders from
Net realized gains		(5.19	)		(1.83	)		(3.36	)		(5.92	)
Net asset value, end of period		$58.47			$53.17			$45.37			$44.89
Total return3		21.30	%		22.01	%		9.06	%		(3.84	)%
Ratios to average net assets (annualized)
Gross expenses		0.82	%		0.82	%		0.83	%		0.81	%
Net expenses		0.80	%		0.80	%		0.80	%		0.80	%
Net investment loss		(0.23	)%		(0.17	)%		(0.14	)%		(0.19	)%
Supplemental data
Portfolio turnover rate		62	%		75	%		99	%		101	%
Net assets, end of period (000s omitted)		$48,363			$35,923			$29,861			$24

¹  For the period from October 31, 2014 (commencement of class operations) to September 30, 2015

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.

22 Wells Fargo Enterprise Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$51.12			$43.81			$43.58			$49.54			$51.03
Net investment loss		(0.28	)1		(0.20	)1		(0.18	)1		(0.23	)1		(0.37	)1
Net realized and unrealized gains (losses) on investments		10.17			9.34			3.77			0.19			3.06
Total from investment operations		9.89			9.14			3.59			(0.04	)		2.69
Distributions to shareholders from
Net realized gains		(5.19	)		(1.83	)		(3.36	)		(5.92	)		(4.18	)
Net asset value, end of period		$55.82			$51.12			$43.81			$43.58			$49.54
Total return		20.95	%		21.66	%		8.74	%		(0.46	)%		5.33	%
Ratios to average net assets (annualized)
Gross expenses		1.16	%		1.18	%		1.15	%		1.09	%		1.12	%
Net expenses		1.10	%		1.10	%		1.07	%		1.07	%		1.09	%
Net investment loss		(0.53	)%		(0.44	)%		(0.41	)%		(0.47	)%		(0.74	)%
Supplemental data
Portfolio turnover rate		62	%		75	%		99	%		101	%		98	%
Net assets, end of period (000s omitted)		$3,687			$3,705			$4,693			$3,542			$44,760

¹  Calculated based upon average shares outstanding

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

Financial highlights Wells Fargo Enterprise Fund 23

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$53.08			$45.32			$44.87			$50.77			$52.07
Net investment loss		(0.15	)1		(0.09	)1		(0.09	)1		(0.13	)1		(0.28	)1
Net realized and unrealized gains (losses) on investments		10.59			9.68			3.90			0.15			3.16
Total from investment operations		10.44			9.59			3.81			0.02			2.88
Distributions to shareholders from
Net realized gains		(5.19	)		(1.83	)		(3.36	)		(5.92	)		(4.18	)
Net asset value, end of period		$58.33			$53.08			$45.32			$44.87			$50.77
Total return		21.24	%		21.97	%		8.97	%		(0.32	)%		5.61	%
Ratios to average net assets (annualized)
Gross expenses		0.92	%		0.93	%		0.93	%		0.88	%		0.86	%
Net expenses		0.85	%		0.85	%		0.85	%		0.85	%		0.85	%
Net investment loss		(0.29	)%		(0.19	)%		(0.21	)%		(0.27	)%		(0.54	)%
Supplemental data
Portfolio turnover rate		62	%		75	%		99	%		101	%		98	%
Net assets, end of period (000s omitted)		$48,446			$54,877			$61,563			$87,279			$76,790

¹  Calculated based upon average shares outstanding

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

24 Wells Fargo Enterprise Fund Notes to financial statements

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo Enterprise Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on December 5, 2016, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through December 5, 2016.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the

Notes to financial statements Wells Fargo Enterprise Fund 25

fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund is included in securities lending income from affiliates (net of fees and rebates) 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 any net realized gains are recorded on the ex-dividend date and paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $604,365,124 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	208,695,143
Gross unrealized losses		(12,708,948	)
Net unrealized gains	$	195,986,195

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

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

26 Wells Fargo Enterprise Fund Notes to financial statements

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

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Communication services	$	54,887,766	$	0	$	0	$	54,887,766
Consumer discretionary		116,828,871		0		0		116,828,871
Consumer staples		19,526,146		0		0		19,526,146
Energy		8,868,464		0		0		8,868,464
Financials		23,359,470		0		0		23,359,470
Health care		137,076,573		0		0		137,076,573
Industrials		119,221,342		0		0		119,221,342
Information technology		233,746,722		0		0		233,746,722
Materials		39,684,780		0		0		39,684,780
Real estate		8,368,823		0		0		8,368,823
Short-term investments
Investment companies		4,785,042		33,997,320		0		38,782,362
Total assets	$	766,353,999	$	33,997,320	$	0	$	800,351,319

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.75% and declining to 0.63% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.74% 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 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Class R6		0.03
Administrator Class, Institutional Class		0.13

Notes to financial statements Wells Fargo Enterprise Fund 27

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 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 C shares, 0.80% for Class R6 shares, 1.10% for Administrator Class shares, and 0.85% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $4,293 from the sale of Class A shares. No contingent deferred sales charges were incurred by Class A and Class C shares for the year ended September 30, 2018.

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 are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $447,579,003 and $514,604,923, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

7. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	10,391,651	$	0
Long-term capital gain		61,681,486		27,267,241

28 Wells Fargo Enterprise Fund Notes to financial statements

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$14,372,015	$66,482,394	$195,986,195

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net realized gains
Class A		$23,114,697
Class C		425,970
Class R6		1,209,334
Administrator Class		197,246
Institutional Class		2,319,994

8. CONCENTRATION RISK

Concentration risks result from exposure to a limited number of sectors. A fund that invests a substantial portion of its assets in any sector may be more affected by changes in that sector than would be a fund whose investments are not heavily weighted in any sector.

9. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

Report of independent registered public accounting firm Wells Fargo Enterprise Fund 29

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Enterprise Fund (the “Fund”), including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years or periods in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

30 Wells Fargo Enterprise Fund Other information (unaudited)

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 29.90% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 852 of the Internal Revenue Code, $61,681,486 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $4,945,841 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $10,391,651 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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 Enterprise Fund 31

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms.��Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

32 Wells Fargo Enterprise Fund Other information (unaudited)

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

Other information (unaudited) Wells Fargo Enterprise Fund 33

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

34 Wells Fargo Enterprise Fund Other information (unaudited)

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Enterprise Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Enterprise Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

Other information (unaudited) Wells Fargo Enterprise Fund 35

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Administrator Class) was higher than the average investment performance of the Universe for the one-year period under review, but lower than the average investment performance of the Universe for the three-, five- and ten-year periods under review. The Board also noted that the investment performance of the Fund was higher than its benchmark index, the Russell Midcap Growth Index, for the one-year period under review, but lower than its benchmark index 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 Universe and benchmark for the periods identified above. The Board took note of the explanations for the relative underperformance during these periods, including with respect to investment decisions and market factors that affected the Fund’s investment performance.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge 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 for Class A, Administrator Class and Institutional Class, but higher than the median net operating expense ratios of the expense Group for Class R6.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were in range of the sum of these average rates for the Fund’s expense Groups for Class A, Administrator Class and Institutional Class, but higher than the sum of these average rates for the Fund’s expense Group for Class R6. The Board discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

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 with investment strategies similar to those of the Fund. 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 institutional separate accounts.

36 Wells Fargo Enterprise Fund Other information (unaudited)

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund. The Board also discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

Appendix A (unaudited) Wells Fargo Enterprise Fund 37

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

38 Wells Fargo Enterprise Fund Appendix A (unaudited)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

Appendix A (unaudited) Wells Fargo Enterprise Fund 39

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317293 11-18 A231/AR231 09-18

Annual Report

September 30, 2018

Wells Fargo Opportunity Fund

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	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	15
Statement of operations	16
Statement of changes in net assets	17
Financial highlights	18
Notes to financial statements	22
Report of independent registered public accounting firm	28
Other information	29
Appendix A	36

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo Opportunity Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Opportunity Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo Opportunity Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Opportunity Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Opportunity Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

Ann M. Miletti

Christopher G. Miller, CFA^®

Average annual total returns (%) as of September 30, 2018¹

		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		8.53		9.71		9.79		15.16		11.01		10.44		1.21		1.21
Class C (WFOPX)	3-31-2008		13.31		10.18		9.62		14.31		10.18		9.62		1.96		1.96
Administrator Class (WOFDX)	8-30-2002		–		–		–		15.38		11.25		10.70		1.13		1.00
Institutional Class (WOFNX)	7-30-2010		–		–		–		15.69		11.53		10.91		0.88		0.75
Russell 3000® Index4	–		–		–		–		17.58		13.46		12.01		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred 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.

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 7.

Performance highlights (unaudited) Wells Fargo Opportunity Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

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

²  Reflects the expense ratios as stated in the most recent prospectuses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at the amounts shown. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  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.

⁵  The chart compares the performance of Class A shares for the most recent ten years with the Russell 3000^® Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁶  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁷  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

* This security was no longer held at the end of the reporting period.

8 Wells Fargo Opportunity Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund underperformed its benchmark, the Russell 3000^® Index, for the 12-month period that ended September 30, 2018.

∎ Stock selection in the information technology (IT), consumer discretionary, and financials sectors detracted the most from performance.

∎ Positioning and stock selection added value in the energy, consumer staples, and communication services sectors.

The U.S. stock market rallied and many U.S. stock market indices hit new all-time highs during the reporting period. The Fund’s benchmark was no exception and rose 17.58% for the 12-month period. Market volatility hit an all-time low in the last quarter of 2017 and, except for a brief spike in the first quarter of 2018, has remained low for most of the period. Across the broader market spectrum, larger-cap and growth stocks generally have outperformed smaller-cap and value stocks.

A number of factors influenced the U.S. stock market during the period. The lowering of corporate taxes, reduction in burdensome regulations, and other pro-growth government policies fueled optimism in U.S. businesses and bolstered overall economic activity. The U.S. equity markets also benefited from the repatriation of cash held overseas, a significant ramp-up in share buybacks, increased capital spending, and high-profile merger and acquisition activity. By the end of the period, U.S. gross domestic product had increased for the 17th quarter in a row, unemployment was at recovery lows, and job openings were at recovery highs. Lower personal income taxes and household debt ratios combined with higher household net worth fueled consumer confidence and optimism. The U.S. government was actively negotiating trade agreements and even put some tariffs in place, but neither trade nor other geopolitical events had much of an impact on the equity markets. The U.S. Federal Reserve (Fed) raised its benchmark interest rate four times during the reporting period, most recently to a range of 2.00% to 2.25% at its September 2018 meeting.

Through all of the market and economic events that occurred during the reporting period and with the expectation of tighter U.S. monetary policy going forward, we continued to seek well-positioned companies—those with solid business models, strong management teams, and healthy cash flows—trading at attractive discounts to their private market values (PMVs). The PMV represents the expected price that would have to be paid for the entire company if it were acquired or taken private.

Ten largest holdings (%) as of September 30, 20186
Alphabet Incorporated Class C	3.74
LivaNova plc	3.34
Salesforce.com Incorporated	3.21
Concho Resources Incorporated	3.17
MasterCard Incorporated Class A	2.68
EOG Resources Incorporated	2.65
E*TRADE Financial Corporation	2.47
Apple Incorporated	2.34
Novartis AG ADR	2.30
Airbus SE	2.15

Stock selection in the IT and consumer discretionary sectors hindered Fund performance.

All sectors in the benchmark had positive returns for the period, with IT and consumer discretionary being the best performers, returning 36% and 31%, respectively. However, Fund holdings in those sectors, particularly within the software, semiconductors, automobiles, and specialty retail industries, were unable to keep up with the benchmark and therefore detracted from performance. Broadcom Limited was a long-time holding that had previously been a strong performer benefiting from proliferation of wireless technology, exposure to the iPhone product cycle, and several accretive mergers. However, in June 2018, the company announced the

acquisition of CA Technologies. This acquisition of a legacy infrastructure software business with declining revenues was unexpected and signaled a confusing change in corporate direction, causing us to exit our position. In the automobile industry, General Motors Company declined after lowering forecasts due to concerns over inflation, steel prices, tariffs, and the Chinese markets. In the specialty retail industry, L Brands, Incorporated, is well known for its Victoria’s Secret and Bath & Body Works brands, but unfortunately, the company lost value as it continued to lower earnings guidance even as top-line sales were growing. The largest single detractor from performance was in the health care space—Celgene Corporation, a biotechnology company that focuses on cancer and inflammatory diseases; it declined due to pricing pressures, increased competition, and the discontinuation and/or delay of certain therapeutics in its pipeline. We continue to hold the stock, as it remains attractively valued versus the growth opportunity.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Opportunity Fund 9

Sector distribution as of September 30, 2018⁷

Fund performance benefited from positioning and stock selection in the energy, consumer staples, and communication services sectors.

Holdings in the energy sector beat the benchmark and returned about 30%, aided by a 46% increase in West Texas Intermediate crude-oil prices, supply disruptions, and a favorable demand backdrop. Two notable holdings were RSP Permian, Incorporated*, and EOG Resources, Incorporated. Our overweight to exploration and production versus our underexposure to energy services companies also enhanced performance. Energy services continued to face hypercompetition, high debt levels, and low capital expenditures from producers. In the communication services sector, Twenty-First Century

Fox, Incorporated, rose 79% during the period after it announced its intention to spin off certain parts of the company and multiple suitors competed for those assets. Consumer staples was one of the lowest-performing sectors in the benchmark, and the Fund’s underweight aided relative performance. Salesforce.com, Incorporated, a software-as-a-service (SaaS) customer relationship management software company, was the largest contributor to performance. It had previously traded at a discount to other high-quality SaaS companies, but its valuation multiple increased as it continued to grow and demonstrate the durability of its business model and its competitive position.

Our focus remains constant: to add value for shareholders through investment in attractively priced Fund holdings.

Our methodology includes buying stocks at a discount to their estimated PMV and selling stocks as they approach or exceed the upper end of their PMV range. Our disciplined, bottom-up investment process leads us to be overweight or underweight certain sectors. This positioning changes over time based on macroeconomic and industry-specific factors. During the reporting period, our process led us to be overweight the health care, financials, and energy sectors and underweight the consumer staples, utilities, and consumer discretionary sectors. Through our disciplined investment process, we remain keenly aware of both price and enterprise values on a company-by-company basis. Our proprietary database of historical company acquisitions across industries, sectors, and time frames enables us to maintain an extensive foundation for assessing the PMVs of companies compared with their public stock prices. We strive to take advantage of those price discrepancies for the benefit of Fund shareholders by purchasing stocks when we believe they are selling at a discount to their PMV.

Looking ahead, interest rates, energy prices, and the policies of the U.S. government likely may be themes that influence the overall market and the relative performance of the Fund. Lower taxes and reduced regulations have already had an impact on the overall U.S. economy. The government has been actively negotiating trade agreements, with the first major deal between the U.S., Mexico, and Canada reached on the last day of the reporting period. However, the outcome of the midterm elections and subsequent influence on the direction of U.S. policy remain key items to watch. The Fed has signaled more rate hikes in late 2018 and 2019 if labor markets tighten further, global economic risks remain well balanced, and inflation measures hit the Fed’s target.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,085.56	$	6.30		1.21	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.03	$	6.10		1.21	%
Class C
Actual	$	1,000.00	$	1,081.69	$	10.20		1.95	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.27	$	9.88		1.95	%
Administrator Class
Actual	$	1,000.00	$	1,086.96	$	5.23		1.00	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.05	$	5.06		1.00	%
Institutional Class
Actual	$	1,000.00	$	1,088.33	$	3.93		0.75	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.31	$	3.80		0.75	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Opportunity Fund 11

Security name	Shares		Value
Common Stocks: 99.30%
Communication Services: 8.62%
Entertainment: 1.37%
Twenty-First Century Fox Incorporated Class B		549,771	$	25,190,506
Interactive Media & Services: 5.63%
Alphabet Incorporated Class C †		57,496		68,619,751
Facebook Incorporated Class A †		210,721		34,655,176
				103,274,927
Media: 1.62%
Comcast Corporation Class A		835,970		29,601,698
Consumer Discretionary: 8.49%
Automobiles: 1.65%
General Motors Company		897,905		30,232,461
Hotels, Restaurants & Leisure: 2.15%
Starbucks Corporation		693,074		39,394,326
Internet & Direct Marketing Retail: 2.06%
Amazon.com Incorporated †		18,860		37,776,580
Multiline Retail: 1.91%
Dollar General Corporation		320,751		35,058,084
Specialty Retail: 0.72%
L Brands Incorporated		436,639		13,230,162
Consumer Staples: 2.57%
Beverages: 1.23%
Molson Coors Brewing Company Class B		367,235		22,584,953
Household Products: 1.34%
Church & Dwight Company Incorporated		414,290		24,596,397
Energy: 8.04%
Oil, Gas & Consumable Fuels: 8.04%
Cimarex Energy Company		128,776		11,968,441
Concho Resources Incorporated †		380,713		58,153,911
EOG Resources Incorporated		380,799		48,578,528
Noble Energy Incorporated		925,300		28,860,107
				147,560,987
Financials: 15.71%
Banks: 5.50%
Pinnacle Financial Partners Incorporated		495,027		29,775,874
PNC Financial Services Group Incorporated		251,524		34,255,054
Webster Financial Corporation		625,731		36,893,100
				100,924,028

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

12 Wells Fargo Opportunity Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Capital Markets: 5.42%
E*TRADE Financial Corporation †		864,555	$	45,294,036
Intercontinental Exchange Incorporated		429,646		32,176,189
S&P Global Incorporated		111,673		21,819,787
				99,290,012
Insurance: 4.79%
Chubb Limited		261,233		34,911,178
Marsh & McLennan Companies Incorporated		326,657		27,021,067
Willis Towers Watson plc		184,007		25,933,947
				87,866,192
Health Care: 18.30%
Biotechnology: 2.18%
Alexion Pharmaceuticals Incorporated †		107,955		15,006,825
Celgene Corporation †		279,365		25,000,374
				40,007,199
Health Care Equipment & Supplies: 6.25%
LivaNova plc †		494,097		61,253,205
Medtronic plc		308,505		30,347,637
Zimmer Biomet Holdings Incorporated		175,388		23,058,260
				114,659,102
Health Care Providers & Services: 1.43%
Cigna Corporation		125,499		26,135,167
Life Sciences Tools & Services: 4.89%
Agilent Technologies Incorporated		341,483		24,088,211
Bio-Rad Laboratories Incorporated Class A †		119,306		37,341,585
Thermo Fisher Scientific Incorporated		115,799		28,264,220
				89,694,016
Pharmaceuticals: 3.55%
Mylan NV †		625,992		22,911,307
Novartis AG ADR		489,201		42,149,558
				65,060,865
Industrials: 13.01%
Aerospace & Defense: 5.40%
Airbus SE		314,561		39,509,629
Lockheed Martin Corporation		104,612		36,191,568
Safran SA		165,996		23,262,479
				98,963,676
Airlines: 2.08%
Alaska Air Group Incorporated		280,580		19,320,739
Delta Air Lines Incorporated		324,904		18,789,198
				38,109,937

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

Portfolio of investments—September 30, 2018 Wells Fargo Opportunity Fund 13

Security name	Shares		Value
Building Products: 1.32%
Fortune Brands Home & Security Incorporated		462,645	$	24,224,092
Commercial Services & Supplies: 1.26%
Republic Services Incorporated		318,168		23,118,087
Machinery: 2.95%
Gardner Denver Holdings Incorporated †		939,422		26,623,219
The Timken Company		552,216		27,527,968
				54,151,187
Information Technology: 17.77%
Electronic Equipment, Instruments & Components: 1.66%
Amphenol Corporation Class A		323,044		30,372,597
IT Services: 4.32%
Fidelity National Information Services Incorporated		276,445		30,151,856
MasterCard Incorporated Class A		220,415		49,066,583
				79,218,439
Semiconductors & Semiconductor Equipment: 3.12%
Marvell Technology Group Limited		1,090,209		21,041,034
Texas Instruments Incorporated		336,454		36,098,150
				57,139,184
Software: 6.33%
Oracle Corporation		756,088		38,983,897
Red Hat Incorporated †		134,335		18,307,174
Salesforce.com Incorporated †		370,145		58,864,159
				116,155,230
Technology Hardware, Storage & Peripherals: 2.34%
Apple Incorporated		190,206		42,937,102
Materials: 4.01%
Chemicals: 1.69%
The Sherwin-Williams Company		67,980		30,945,176
Metals & Mining: 2.32%
Goldcorp Incorporated		1,681,652		17,152,850
Steel Dynamics Incorporated		561,556		25,376,716
				42,529,566
Real Estate: 2.78%
Equity REITs: 2.78%
American Tower Corporation		157,722		22,917,007
Equinix Incorporated		64,847		28,071,618
				50,988,625
Total Common Stocks (Cost $1,269,896,325)				1,820,990,560

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

14 Wells Fargo Opportunity Fund Portfolio of investments—September 30, 2018

Security name	Yield			Shares		Value
Short-Term Investments: 0.82%
Investment Companies: 0.82%
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99	%		15,041,392	$	15,041,392
Total Short-Term Investments (Cost $15,041,392)							15,041,392

Total investments in securities (Cost $1,284,937,717)	100.12	%		1,836,031,952
Other assets and liabilities, net	(0.12	)		(2,126,885	)
Total net assets	100.00	%	$	1,833,905,067

† Non-income-earning security

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(u) The rate represents the 7-day annualized yield at period end.

Abbreviations:

ADR American depositary receipt

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliated persons of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)		Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC *		17,482,656		183,490,765		200,973,421		0	$	0	$	0	$	50,931	$	0
Wells Fargo Government Money Market Fund Select Class		59,194,191		338,233,348		382,386,147		15,041,392		0		0		322,678		15,041,392
									$	0	$	0	$	373,609	$	15,041,392		0.82	%

* No longer held at the end of the period.

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

Statement of assets and liabilities—September 30, 2018 Wells Fargo Opportunity Fund 15

Assets
Investments in unaffiliated securities, at value (cost $1,269,896,325)	$	1,820,990,560
Investments in affiliated securities, at value (cost $15,041,392)		15,041,392
Receivable for investments sold		857,970
Receivable for Fund shares sold		256,561
Receivable for dividends		1,712,210
Prepaid expenses and other assets		34,155
Total assets		1,838,892,848
Liabilities
Payable for investments purchased		1,920,501
Payable for Fund shares redeemed		1,103,489
Management fee payable		1,058,846
Shareholder servicing fees payable		371,041
Administration fees payable		298,797
Distribution fee payable		19,553
Accrued expenses and other liabilities		215,554
Total liabilities		4,987,781
Total net assets	$	1,833,905,067
NET ASSETS CONSIST OF
Paid-in capital	$	1,109,312,819
Total distributable earnings		724,592,248
Total net assets	$	1,833,905,067
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	1,528,852,345
Shares outstanding – Class A1		33,010,965
Net asset value per share – Class A		$46.31
Maximum offering price per share – Class A2		$49.14
Net assets – Class C	$	31,381,123
Shares outstanding – Class C1		722,553
Net asset value per share – Class C		$43.43
Net assets – Administrator Class	$	244,109,903
Shares outstanding – Administrator Class1		4,833,779
Net asset value per share – Administrator Class		$50.50
Net assets – Institutional Class	$	29,561,696
Shares outstanding – Institutional Class1		574,048
Net asset value per share – Institutional Class		$51.50

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.

16 Wells Fargo Opportunity Fund Statement of operations—year ended September 30, 2018

Investment income
Dividends (net of foreign withholding taxes of $374,238)	$	21,292,522
Income from affiliated securities		373,609
Total investment income		21,666,131
Expenses
Management fee		13,086,328
Administration fees
Class A		3,176,943
Class C		68,684
Administrator Class		312,631
Institutional Class		39,037
Shareholder servicing fees
Class A		3,782,075
Class C		81,767
Administrator Class		600,656
Distribution fee
Class C		245,301
Custody and accounting fees		94,840
Professional fees		51,677
Registration fees		89,453
Shareholder report expenses		156,848
Trustees’ fees and expenses		17,043
Other fees and expenses		33,025
Total expenses		21,836,308
Less: Fee waivers and/or expense reimbursements		(337,405	)
Net expenses		21,498,903
Net investment income		167,228
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on investments		178,981,131
Net change in unrealized gains (losses) on investments		78,123,312
Net realized and unrealized gains (losses) on investments		257,104,443
Net increase in net assets resulting from operations	$	257,271,671

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

Statement of changes in net assets Wells Fargo Opportunity Fund 17

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	167,228					$	2,151,448
Net realized gains on investments					178,981,131						215,325,821
Net change in unrealized gains (losses) on investments					78,123,312						48,036,389
Net increase in net assets resulting from operations					257,271,671						265,513,658
Distributions to shareholders
Class A					(187,514,177	)					(88,341,329	)
Class B					N/A						(69,785	)2
Class C					(4,256,830	)					(2,126,589	)
Administrator Class					(27,907,658	)					(13,307,594	)
Institutional Class					(3,553,387	)					(1,247,654	)
Total distributions to shareholders					(223,232,052	)					(105,092,951	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		321,107			14,237,392			431,395			18,572,948
Class B		N/A			N/A			104	2		4,292	2
Class C		7,752			322,067			18,274			754,023
Administrator Class		81,574			3,929,312			90,883			4,235,879
Institutional Class		160,930			7,973,373			375,768			17,731,095
					26,462,144						41,298,237
Reinvestment of distributions
Class A		4,280,718			182,109,847			2,058,839			86,052,018
Class B		N/A			N/A			1,720	2		68,785	2
Class C		104,852			4,191,994			49,931			1,986,269
Administrator Class		566,744			26,279,904			278,197			12,532,938
Institutional Class		69,002			3,263,351			24,783			1,134,964
					215,845,096						101,774,974
Payment for shares redeemed
Class A		(3,871,565	)		(173,423,798	)		(4,097,274	)		(176,512,570	)
Class B		N/A			N/A			(44,500	)2		(1,816,478	)2
Class C		(150,655	)		(6,331,672	)		(175,866	)		(7,256,150	)
Administrator Class		(614,100	)		(29,945,551	)		(602,797	)		(27,931,325	)
Institutional Class		(246,531	)		(12,279,582	)		(187,341	)		(8,851,083	)
					(221,980,603	)					(222,367,606	)
Net increase (decrease) in net assets resulting from capital share transactions					20,326,637						(79,294,395	)
Total increase in net assets					54,366,256						81,126,312
Net assets
Beginning of period					1,779,538,811						1,698,412,499
End of period				$	1,833,905,067					$	1,779,538,811

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Undistributed net investment income at September 30, 2017 was $7,274,751. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 7, Distributions to Shareholders, in the notes to the financial statements.

²  For the period from October 1, 2016 to May 5, 2017. Effective at the close of business on May 5, 2017, Class B shares were converted to Class A shares and are no longer offered by the Fund.

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

18 Wells Fargo Opportunity Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$45.83			$41.86			$43.35			$49.56			$46.23
Net investment income (loss)		(0.01	)1		0.04			0.13	1		0.64			(0.07	)
Net realized and unrealized gains (losses) on investments		6.41			6.60			4.72			(1.52	)		6.46
Total from investment operations		6.40			6.64			4.85			(0.88	)		6.39
Distributions to shareholders from
Net investment income		(0.17	)		(0.13	)		(0.57	)		0.00			0.00
Net realized gains		(5.75	)		(2.54	)		(5.77	)		(5.33	)		(3.06	)
Total distributions to shareholders		(5.92	)		(2.67	)		(6.34	)		(5.33	)		(3.06	)
Net asset value, end of period		$46.31			$45.83			$41.86			$43.35			$49.56
Total return2		15.16	%		16.49	%		12.46	%		(2.27	)%		14.35	%
Ratios to average net assets (annualized)
Gross expenses		1.20	%		1.21	%		1.21	%		1.24	%		1.26	%
Net expenses		1.20	%		1.21	%		1.21	%		1.22	%		1.22	%
Net investment income (loss)		(0.01	)%		0.11	%		0.33	%		1.30	%		(0.13	)%
Supplemental data
Portfolio turnover rate		30	%		43	%		34	%		42	%		32	%
Net assets, end of period (000s omitted)		$1,528,852			$1,479,457			$1,418,614			$390,154			$442,840

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Opportunity Fund 19

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$43.46			$39.99			$41.60			$48.10			$45.27
Net investment income (loss)		(0.43	)		(0.26	)1		(0.16	)1		0.26			(0.42	)1
Net realized and unrealized gains (losses) on investments		6.15			6.27			4.51			(1.43	)		6.31
Total from investment operations		5.72			6.01			4.35			(1.17	)		5.89
Distributions to shareholders from
Net investment income		0.00			0.00			(0.19	)		0.00			0.00
Net realized gains		(5.75	)		(2.54	)		(5.77	)		(5.33	)		(3.06	)
Total distributions to shareholders		(5.75	)		(2.54	)		(5.96	)		(5.33	)		(3.06	)
Net asset value, end of period		$43.43			$43.46			$39.99			$41.60			$48.10
Total return2		14.31	%		15.62	%		11.62	%		(3.01	)%		13.48	%
Ratios to average net assets (annualized)
Gross expenses		1.95	%		1.96	%		1.96	%		1.99	%		2.01	%
Net expenses		1.95	%		1.96	%		1.96	%		1.97	%		1.97	%
Net investment income (loss)		(0.76	)%		(0.64	)%		(0.40	)%		0.55	%		(0.88	)%
Supplemental data
Portfolio turnover rate		30	%		43	%		34	%		42	%		32	%
Net assets, end of period (000s omitted)		$31,381			$33,057			$34,721			$37,196			$42,940

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

20 Wells Fargo Opportunity Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$49.45			$44.93			$46.11			$52.27			$48.50
Net investment income		0.07			0.15	1		0.24	1		0.79			0.08
Net realized and unrealized gains (losses) on investments		6.97			7.09			5.04			(1.62	)		6.75
Total from investment operations		7.04			7.24			5.28			(0.83	)		6.83
Distributions to shareholders from
Net investment income		(0.24	)		(0.18	)		(0.69	)		0.00			0.00
Net realized gains		(5.75	)		(2.54	)		(5.77	)		(5.33	)		(3.06	)
Total distributions to shareholders		(5.99	)		(2.72	)		(6.46	)		(5.33	)		(3.06	)
Net asset value, end of period		$50.50			$49.45			$44.93			$46.11			$52.27
Total return		15.38	%		16.74	%		12.68	%		(2.04	)%		14.60	%
Ratios to average net assets (annualized)
Gross expenses		1.12	%		1.13	%		1.13	%		1.10	%		1.10	%
Net expenses		1.00	%		1.00	%		1.00	%		1.00	%		1.00	%
Net investment income		0.19	%		0.31	%		0.56	%		1.52	%		0.09	%
Supplemental data
Portfolio turnover rate		30	%		43	%		34	%		42	%		32	%
Net assets, end of period (000s omitted)		$244,110			$237,315			$226,140			$223,281			$253,121

¹  Calculated based upon average shares outstanding

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

Financial highlights Wells Fargo Opportunity Fund 21

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$50.30			$45.63			$46.76			$52.82			$48.86
Net investment income		0.22			0.22	1		0.35	1		0.92	1		0.19	1
Net realized and unrealized gains (losses) on investments		7.08			7.25			5.12			(1.65	)		6.83
Total from investment operations		7.30			7.47			5.47			(0.73	)		7.02
Distributions to shareholders from
Net investment income		(0.35	)		(0.26	)		(0.83	)		0.00			0.00
Net realized gains		(5.75	)		(2.54	)		(5.77	)		(5.33	)		(3.06	)
Total distributions to shareholders		(6.10	)		(2.80	)		(6.60	)		(5.33	)		(3.06	)
Net asset value, end of period		$51.50			$50.30			$45.63			$46.76			$52.82
Total return		15.69	%		17.02	%		12.97	%		(1.81	)%		14.89	%
Ratios to average net assets (annualized)
Gross expenses		0.87	%		0.88	%		0.88	%		0.83	%		0.83	%
Net expenses		0.75	%		0.75	%		0.75	%		0.75	%		0.75	%
Net investment income		0.44	%		0.47	%		0.79	%		1.79	%		0.36	%
Supplemental data
Portfolio turnover rate		30	%		43	%		34	%		42	%		32	%
Net assets, end of period (000s omitted)		$29,562			$29,709			$17,222			$11,906			$29,335

¹  Calculated based upon average shares outstanding

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

22 Wells Fargo Opportunity Fund Notes to financial statements

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo Opportunity Fund (the “Fund”) which is a diversified series of the Trust.

Effective at the close of business on May 5, 2017, Class B shares were converted to Class A shares and are no longer offered by the Fund. Information for Class B shares reflected in the financial statements represents activity through May 5, 2017.

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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

The values of securities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee at 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 of the Fund 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 net asset values that are higher or lower than net asset values based on the last reported sales price or latest quoted bid price. On September 30, 2018, such fair value pricing was not used in pricing foreign securities.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith 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 Wells Fargo Asset Management Pricing Committee. 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Foreign currency translation

The accounting records of the Fund are maintained in U.S. dollars. The values of other assets and liabilities denominated in foreign currencies are translated into U.S. dollars at rates provided by an independent foreign currency pricing source at a time each business day specified by the Wells Fargo Asset Management Pricing Committee. Purchases and sales of securities, and income and expenses are converted at the rate of exchange on the respective dates of such transactions.

Notes to financial statements Wells Fargo Opportunity Fund 23

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 from changes in exchange rates. The changes in net assets arising from changes in exchange rates of securities and the changes in net assets resulting from changes in market prices of securities are not separately presented. Such changes are included in net realized and unrealized gains or losses from investments.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities 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, except for certain dividends from foreign securities, which are recorded as soon as the custodian verifies the ex-dividend date. Dividend income from foreign securities 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 any net realized gains are recorded on the ex-dividend date and paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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.

24 Wells Fargo Opportunity Fund Notes to financial statements

As of September 30, 2018, the aggregate cost of all investments for federal income tax purposes was $1,287,737,166 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	598,377,476
Gross unrealized losses		(50,082,690)
Net unrealized gains	$	548,294,786

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

∎ 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.

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Communication services	$	158,067,131	$	0	$	0	$	158,067,131
Consumer discretionary		155,691,613		0		0		155,691,613
Consumer staples		47,181,350		0		0		47,181,350
Energy		147,560,987		0		0		147,560,987
Financials		288,080,232		0		0		288,080,232
Health care		335,556,349		0		0		335,556,349
Industrials		238,566,979		0		0		238,566,979
Information technology		325,822,552		0		0		325,822,552
Materials		73,474,742		0		0		73,474,742
Real estate		50,988,625		0		0		50,988,625
Short-term investments
Investment companies		15,041,392		0		0		15,041,392
Total assets	$	1,836,031,952	$	0	$	0	$	1,836,031,952

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

Notes to financial statements Wells Fargo Opportunity Fund 25

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.75% and declining to 0.63% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management fee was equivalent to an annual rate of 0.72% 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 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C		0.21	%
Administrator Class, Institutional Class		0.13

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.21% for Class A shares, 1.96% for Class C shares, 1.00% for Administrator Class shares, and 0.75% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees.

Distribution fee

The Trust has adopted a distribution plan for Class C shares of the Fund pursuant to Rule 12b-1 under the 1940 Act. A distribution fee is charged to Class C shares and paid to Wells Fargo Funds Distributor, LLC (“Funds Distributor”), the principal underwriter, at an annual rate of 0.75% of the average daily net assets of Class C shares.

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $4,061 from the sale of Class A shares and $21 in contingent deferred sales charges from redemptions of Class C shares. No contingent deferred sales charges were incurred by Class A shares for the year ended September 30, 2018.

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 are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

26 Wells Fargo Opportunity Fund Notes to financial statements

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $543,465,613 and $699,870,316, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

7. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	32,866,802	$	8,715,519
Long-term capital gain		190,365,250		96,377,432

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$20,040,545	$156,360,551	$548,294,786

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net investment income			Net realized gains
Class A		$4,495,053			$83,846,276
Class B		0	*		69,785	*
Class C		0			2,126,589
Administrator Class		942,123			12,365,471
Institutional Class		123,346			1,124,308

* For the period from October 1, 2016 to May 5, 2017. Effective at the close of business on May 5, 2017, Class B shares were converted to Class A shares and are no longer offered by the Fund.

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 Wells Fargo Opportunity Fund 27

9. NEW ACCOUNTING PRONOUNCEMENT

In August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

28 Wells Fargo Opportunity Fund Report of independent registered public accounting firm

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Opportunity Fund (the “Fund”), including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

Other information (unaudited) Wells Fargo Opportunity Fund 29

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 47.77% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 852 of the Internal Revenue Code, $190,365,250 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $26,987,895 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $25,489,182 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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.

30 Wells Fargo Opportunity Fund Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

Other information (unaudited) Wells Fargo Opportunity Fund 31

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

32 Wells Fargo Opportunity Fund Other information (unaudited)

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

Other information (unaudited) Wells Fargo Opportunity Fund 33

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Opportunity Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Opportunity Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

34 Wells Fargo Opportunity Fund Other information (unaudited)

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Administrator Class) was higher than or in range of the average investment performance of the Universe for all periods under review. The Board also noted that the investment performance of the Fund was lower than its benchmark index, the Russell 3000 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 the periods identified above. The Board took note of the explanations for the relative underperformance during these periods, including with respect to investment decisions and market factors that affected the Fund’s investment performance. The Board also took note of the Fund’s performance relative to the Universe.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge reports, the Board noted that the net operating expense ratios of the Fund were equal to or in range of the median net operating expense ratios of the expense Groups for all share classes.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were in range of the sum of these average rates for the expense Group for Administrator Class, but higher than the sum of these average rates for the expense Groups for Class A and Institutional Class. The Board also discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

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 with investment strategies similar to those of the Fund. 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 institutional separate accounts.

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Other information (unaudited) Wells Fargo Opportunity Fund 35

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund. The Board also discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

36 Wells Fargo Opportunity Fund Appendix A (unaudited)

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

Appendix A (unaudited) Wells Fargo Opportunity Fund 37

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

38 Wells Fargo Opportunity Fund Appendix A (unaudited)

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

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For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317294 11-18 A232/AR232 09-18

Annual Report

September 30, 2018

Wells Fargo Special Mid Cap Value Fund

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Contents

Letter to shareholders	2
Performance highlights	6
Fund expenses	10
Portfolio of investments	11
Financial statements
Statement of assets and liabilities	16
Statement of operations	17
Statement of changes in net assets	18
Financial highlights	19
Notes to financial statements	25
Report of independent registered public accounting firm	30
Other information	31
Appendix A	38

The views expressed and any forward-looking statements are as of September 30, 2018, 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 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 and the Fund disclaim any obligation to publicly update or revise any views expressed or forward-looking statements.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

2 Wells Fargo Special Mid Cap Value Fund Letter to shareholders (unaudited)

Andrew Owen

President

Wells Fargo Funds

Economic growth and stock markets globally diverged beginning early in 2018.

Dear Shareholder:

We are pleased to offer you this annual report for the Wells Fargo Special Mid Cap Value Fund for the 12-month period that ended September 30, 2018. A strong fourth-quarter performance for equity and fixed-income markets closed 2017. Economic growth and stock markets globally diverged beginning early in 2018. For fixed-income investors, taxable bond returns were restrained in a rising-rate environment while high-yield and municipal bond returns were positive.

For the period, U.S. stocks, as measured by the S&P 500 Index,¹ gained 17.91% and international stocks, as measured by the MSCI ACWI ex USA Index (Net),² returned 1.76%. Based on the MSCI EM Index (Net),³ emerging market stocks lost 0.81%. For bond investors, the Bloomberg Barclays U.S. Aggregate Bond Index⁴ declined 1.22% while the Bloomberg Barclays Global Aggregate ex-USD Index⁵ fell 1.45%. The Bloomberg Barclays Municipal Bond Index⁶ added 0.35%, and the ICE BofAML U.S. High Yield Index⁷ was up 2.94%.

Continued optimism in the U.S. characterized the fourth quarter of 2017.

Economic conditions in late 2017 were characterized by synchronized global growth, low inflation, healthy corporate earnings, growing consumer confidence, declining unemployment, and a weaker U.S. dollar that supported international growth. The U.S. Bureau of Economic Analysis reported that annualized U.S. gross domestic product (GDP) growth for the fourth quarter of 2017 was 2.9% and inflation remained below U.S. Federal Reserve (Fed) targets.

Economic momentum increased in Europe. The Bank of England (BOE) raised interest rates in November 2017 to 0.50%, the first increase in more than 10 years, indicating confidence in the economy’s growth potential. Meanwhile, the European Central Bank and the Bank of Japan kept interest rates low to spur business activities and bought bonds in an effort to encourage equity investments. The People’s Bank of China’s (PBOC) policies sought to stimulate business. Many emerging market economies benefited from stronger currencies versus the U.S. dollar, while commodity price increases generally benefited countries that rely on natural resources for exports.

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 Morgan Stanley Capital International (MSCI) All Country World Index (ACWI) ex USA Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed markets, excluding the United States and Canada. 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 indices or any securities or financial products. This report is not approved, reviewed, or produced by MSCI. You cannot invest directly in an index.

³  The MSCI Emerging Markets (EM) Index (Net) is a free-float-adjusted market-capitalization-weighted index that is designed to measure large- and mid-cap equity market performance of emerging markets. The MSCI EM Index (Net) consists of the following 24 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Pakistan, Peru, the Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey, and the United Arab Emirates. You cannot invest directly in an index.

⁴ The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market, including Treasuries, government-related and corporate securities, mortgage-backed securities (agency fixed-rate and hybrid adjustable-rate mortgage pass-throughs), asset-backed securities, and commercial mortgage-backed securities. You cannot invest directly in an index.

⁵  The Bloomberg Barclays Global Aggregate ex-USD Index is an unmanaged index that provides a broad-based measure of the global investment-grade fixed-income markets excluding the U.S. dollar-denominated debt market. You cannot invest directly in an index.

⁶  The Bloomberg Barclays Municipal Bond Index is an unmanaged index composed of long-term tax-exempt bonds with a minimum credit rating of Baa. You cannot invest directly in an index.

⁷  The ICE BofAML U.S. High Yield Index is a market-capitalization-weighted index of domestic and Yankee high-yield bonds. The index tracks the performance of high-yield securities traded in the U.S. bond market. You cannot invest directly in an index. Copyright 2018. ICE Data Indices, LLC. All rights reserved.

Letter to shareholders (unaudited) Wells Fargo Special Mid Cap Value Fund 3

Volatility reemerged during the first quarter of 2018 as global tensions and inflation fears increased.

Stock market gains in January 2018 followed the passage of lower U.S. tax rates. Investors then grew concerned about trade, particularly between the U.S. and China, and the specter of inflation. The Fed followed its 25-basis-point (bp; 100 bps equal 1.00%) federal funds rate increase in December 2017 with a further 25-bp increase in March 2018. The inflation rate in March reached the Fed’s 2% target for the first time in a year.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014. Overseas investment markets reversed strong returns in 2017, hurt by a stronger U.S. dollar and mounting trade and diplomatic tensions. After gaining 27.19% for the 12-month period that ended December 31, 2017, the MSCI ACWI ex USA Index (Net) declined 1.81% for the quarter that ended March 31, 2018.

Global trade tensions escalated during the second quarter.

Global trade tensions escalated throughout the second quarter of 2018. The U.S. government imposed tariffs, and foreign governments in North America, Europe, and Asia retaliated. The escalating tensions chilled investment activity as observers awaited signals of next steps.

Meanwhile, inflation continued an upward trend. The CPI-U⁸ added 0.1% in June after an increase of 0.2% in both April and May. On a year-over-year basis, the all-items index rose 2.9% for the 12 months that ended June 30, 2018. The index for all items less food and energy rose 2.3% for the same 12-month period.

U.S. stocks gained while international stocks and bonds declined during the third quarter of 2018.

The U.S. economy strengthened during the summer months. Revised second-quarter GDP data released in August showed the U.S. economy growing at a 4.2% rate. The unemployment rate in the U.S. was 3.7% by the end of September, according to the U.S. Department of Labor. Wages showed more consistent growth, and consumer confidence remained strong. Several U.S. equity market indices reached records during August, with the S&P 500 Index gaining 7.20% for the three-month period that ended September 30, 2018. In contrast, the MSCI ACWI ex USA Index (Net) gained 0.71%, while the MSCI EM Index (Net) declined 1.09% during the same three-month period.

In June, the Fed increased the range for the federal funds rate from 1.75% to 2.00%, then again in September from 2.00% to 2.25%. Observers expected at least one more rate increase before the end of 2018. Long-term interest rates in the U.S. remained at higher levels relative to the prior 10 years. Rates on 10-year and 30-year Treasury bonds—2.46% and 2.81%, respectively, on January 1, 2018—were 3.05% and 3.19%, respectively, on September 30, 2018, off their peak levels on May 17, 2018, of 3.11% and 3.25%, respectively. Some investors became more aware of and concerned about the potential for an inverted yield curve—sometimes a recession signal—as short-term rates increased more quickly than long-term rates.

The S&P 500 Index closed the first quarter with a negative return, the first negative quarterly return for the index since 2014.

⁸ The Consumer Price Index for All Urban Consumers (CPI-U) measures the changes in the price of a basket of goods and services purchased by urban consumers. The urban consumer population is deemed by many as a better representative measure of the general public because close to 90% of the country’s population lives in highly populated areas. You cannot invest directly in an index.

4 Wells Fargo Special Mid Cap Value Fund Letter to shareholders (unaudited)

Internationally, members of Prime Minister Theresa May’s U.K./Brexit negotiating team resigned amid unproductive negotiations. In early August, the BOE’s Monetary Policy Committee increased its key interest rate to 0.75%. Central banks in Europe and Japan maintained low interest rates and accommodative monetary policies. Amid rising trade uncertainty, the PBOC cut reserve requirement ratios and accelerated infrastructure spending and tax cuts for business enterprises and individuals. Nevertheless, a strengthening U.S. dollar and the trade tensions remained headwinds for investors overseas.

Don’t let short-term uncertainty derail long-term investment goals.

Periods of investment uncertainty can present challenges, but experience has taught us that maintaining long-term investment goals can be an effective way to plan for the future. To help you create a sound strategy based on your personal goals and risk tolerance, Wells Fargo Funds offers more than 100 mutual funds spanning a wide range of asset classes and investment styles. Although diversification cannot guarantee an investment profit or prevent losses, we believe it can be an effective way to manage investment risk and potentially smooth out overall portfolio performance. We encourage investors to know their investments and to understand that appropriate levels of risk-taking may unlock opportunities.

Thank you for choosing to invest with Wells Fargo Funds. We appreciate your confidence in us and remain committed to helping you meet your financial needs.

Sincerely,

Andrew Owen

President

Wells Fargo Funds

Notice to shareholders

At a meeting held on August 14-15, 2018, the Board of Trustees of the Fund approved the following policy which will be effective on or about February 5, 2019:

Class C shares will convert automatically into Class A shares ten years after the initial date of purchase or, if you acquired your Class C shares through an exchange or conversion from another share class, ten years after the date you acquired your Class C shares. When Class C shares that you acquired through a purchase or exchange convert, any other Class C shares that you purchased with reinvested dividends and distributions also will convert into Class A shares on a pro rata basis. A shorter holding period may also apply depending on your intermediary. Please see “Appendix A—Sales Charge Reductions and Waivers for Certain Intermediaries” in the Fund’s prospectus or at the end of this report.

For further information about your Fund, contact your investment professional, visit our website at wellsfargofunds.com, or call us directly at 1-800-222-8222.

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6 Wells Fargo Special Mid Cap Value Fund Performance highlights (unaudited)

Investment objective

The Fund seeks long-term capital appreciation.

Manager

Wells Fargo Funds Management, LLC

Subadviser

Wells Capital Management Incorporated

Portfolio managers

James M. Tringas, CFA^®

Bryant VanCronkhite, CFA^®, CPA

Average annual total returns (%) as of September 30, 2018¹

		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		(1.52	)		8.65		10.72		4.50		9.95		11.38		1.18		1.18
Class C (WFPCX)	7-31-2007		2.72			9.13		10.55		3.72		9.13		10.55		1.93		1.93
Class R (WFHHX)	9-30-2015		–			–		–		4.23		9.67		11.12		1.43		1.43
Class R6 (WFPRX)	6-28-2013		–			–		–		4.95		10.44		11.85		0.75		0.75
Administrator Class (WFMDX)	4-8-2005		–			–		–		4.58		10.06		11.51		1.10		1.10
Institutional Class (WFMIX)	4-8-2005		–			–		–		4.84		10.34		11.80		0.85		0.85
Russell Midcap® Value Index4	–		–			–		–		8.81		10.72		11.29		–		–

Figures quoted represent past performance, which is no guarantee of future results, and do not reflect 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, which assumes the reinvestment of dividends and capital gains. Current month-end performance is available on the Fund’s website, wellsfargofunds.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 a contingent deferred sales charge assumes the sales charge for the corresponding time period. Class R, Class R6, Administrator Class, and Institutional 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 7.

Performance highlights (unaudited) Wells Fargo Special Mid Cap Value Fund 7

Growth of $10,000 investment as of September 30, 2018⁵

¹  Historical performance shown for the Class R shares prior to their inception reflects the performance of the Institutional Class shares, adjusted to reflect the higher expenses applicable to Class R shares. Historical performance shown for Class R6 shares prior to their inception reflects the performance of Institutional Class shares, and includes the higher expenses applicable to Institutional Class shares. If these expenses had not been included, the returns for Class R6 shares would be higher.

²  Reflects the expense ratios as stated in the most recent prospectuses, which include the impact of 0.01% in acquired fund fees and expenses. The expense ratios shown are subject to change and may differ from the annualized expense ratios shown in the financial highlights of this report, which do not include acquired fund fees and expenses.

³  The manager has contractually committed through January 31, 2019, to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s Total Annual Fund Operating Expenses After Fee Waivers at 1.19% for Class A, 1.94% for Class C, 1.44% for Class R, 0.76% for Class R6, 1.11% for Administrator Class, and 0.85% for Institutional Class. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Brokerage commissions, stamp duty fees, interest, taxes, acquired fund fees and expenses (if any), and extraordinary expenses are excluded from the expense cap. Without this cap, the Fund’s returns would have been lower. The expense ratio paid by an investor is the net expense ratio (the total annual fund operating expenses after fee waivers) as stated in the prospectuses.

⁴  The Russell Midcap^® Value Index measures the performance of those Russell Midcap companies with lower price/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 chart compares the performance of Class A shares for the most recent ten years with the Russell Midcap^® Value Index. The chart assumes a hypothetical investment of $10,000 in Class A shares and reflects all operating expenses and assumes the maximum initial sales charge of 5.75%.

⁶  The ten largest holdings, excluding cash, cash equivalents and any money market funds, are calculated based on the value of the investments divided by total net assets of the Fund. Holdings are subject to change and may have changed since the date specified.

⁷  Amounts are calculated based on the total long-term investments of the Fund. These amounts are subject to change and may have changed since the date specified.

8 Wells Fargo Special Mid Cap Value Fund Performance highlights (unaudited)

MANAGER’S DISCUSSION

Fund highlights

∎ The Fund underperformed its benchmark, the Russell Midcap^® Value Index, for the 12-month period that ended September 30, 2018.

∎ Detractors from performance included stock selection in the consumer staples and energy sectors.

∎ Contributors to performance included stock selection in the health care and consumer discretionary sectors.

Investors remained optimistic of future growth.

Over the 12-month period, the U.S. stock market produced solid returns, primarily driven by confidence in the economic backdrop and strong corporate earnings growth supported by tax reform. Some risks to future market returns have begun to emerge, such as heighted trade tensions, increasing inflation, and a rising interest rate environment. Mid-cap value stocks, along with the overall stock market, have continued to show resiliency as investors have remained optimistic.

Our bottom-up process is designed to find companies that can control their own destiny, via their clear competitive advantages, strong and sustainable free cash flows, and flexible balance sheets that can be used to grow shareholder value regardless of the macro environment.

We made modest changes to sector weightings.

Our stock-selection process is predominantly driven by our bottom-up stock selection; this process led to modest changes to the Fund’s sector weightings during the period. We maintained overweights to the industrials and materials sectors as they continued to offer an attractive set of companies that, in our view, potentially create unique reward/risk opportunities. The Fund added to its overweight in the health care sector through several new positions that presented attractive entry points and long-term prospects. The Fund’s overweight to the information technology (IT) sector narrowed over the 12-month period, partly because we trimmed positions as valuations moved higher and individual reward/risk ratios decreased. We reduced the Fund’s exposure to the consumer staples sector to an underweight position as we uncovered potentially stronger value-creation opportunities within other sectors.

Stock selection in the consumer staples and energy sectors detracted from the Fund’s performance.

Consumer staples holding TreeHouse Foods, Incorporated, was the Fund’s largest detractor over the period. A manufacturer of private-label food and beverage products, TreeHouse Foods continued to face challenges including higher inflation, lower volume growth, complications with integrating acquisitions, and a need to increase investment in its packaging solutions. The Fund exited the position in the company during the period, as we believed many of these headwinds would continue. Within the energy sector, the Fund’s exposure to oil and gas producer Cimarex Energy Company detracted from performance as the market became overly focused on the lack of takeaway capacity out of the Permian Basin, one of the key areas where Cimarex operates. We view this as a short-term issue and believe the company’s strong acreage and quality balance sheet will result in long-term prospects coming to fruition.

Ten largest holdings (%) as of September 30, 20186
Jacobs Engineering Group Incorporated	2.99
Sealed Air Corporation	2.62
Brown & Brown Incorporated	2.59
Ameren Corporation	2.58
Kansas City Southern	2.58
Loews Corporation	2.44
Fidelity National Information Services Incorporated	2.36
Molson Coors Brewing Company Class B	2.29
Republic Services Incorporated	2.26
American Electric Power Company Incorporated	2.26

Stock selection in the health care and consumer discretionary sectors benefited the Fund’s performance.

Within the health care sector, insurance provider Humana Incorporated was a positive contributor to the Fund’s performance. The company continues to allocate capital to its Medicare Advantage business, which has allowed for competitive pricing and improved market share. Humana’s strong balance sheet fortifies its unique competitive position and helped the company expand in favorable markets. In consumer discretionary, department store operator Kohl’s Corporation significantly contributed to the Fund’s performance. The company has executed on a number of initiatives

throughout the year that have helped drive strong same-store sales and margin expansion. We are attracted to the long-term value Kohl’s has created but continue to monitor the position’s reward/risk valuation.

Please see footnotes on page 7.

Performance highlights (unaudited) Wells Fargo Special Mid Cap Value Fund 9

Sector distribution as of September 30, 2018⁷

Our outlooks for the Fund and our process remain positive.

As we look toward the end of 2018, we see numerous forces at play that could bring increased volatility. Equity investors continue to balance persistent economic strength with ongoing trade tensions and rising interest rates. The November midterm elections and December U.S. Federal Reserve meetings will be watched closely and could have significant influences on the markets. We are not experts in forecasting macro events or the direction of the market; however, it is commonly the sources of macro-driven volatility such as political, interest rates, input-cost pressure, regulatory changes, or

investing style factors that create inefficiencies in individual stock prices. We believe it is prudent to manage downside risks, and we will continue to invest in companies that we believe have taken steps to control their own destiny.

We believe our team’s fundamental analysis, risk management, and active investment process are well suited to take advantage of new opportunities as the stock market evolves. While volatility may increase, we look to the strong balance sheets and stable cash flows of the companies within the Fund to support consistent long-term performance. We maintain a favorable outlook for the portfolio as we enter the calendar-year fourth quarter of 2018.

Please see footnotes on page 7.

10 Wells Fargo 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 servicing 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 April 1, 2018 to September 30, 2018.

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 4-1-2018		Ending account value 9-30-2018		Expenses paid during the period1		Annualized net expense ratio
Class A
Actual	$	1,000.00	$	1,033.82	$	5.86		1.15	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.31	$	5.82		1.15	%
Class C
Actual	$	1,000.00	$	1,030.03	$	9.66		1.90	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,015.55	$	9.60		1.90	%
Class R
Actual	$	1,000.00	$	1,032.53	$	7.13		1.40	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,018.05	$	7.08		1.40	%
Class R6
Actual	$	1,000.00	$	1,036.17	$	3.67		0.72	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,021.46	$	3.65		0.72	%
Administrator Class
Actual	$	1,000.00	$	1,034.35	$	5.45		1.07	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,019.72	$	5.41		1.07	%
Institutional Class
Actual	$	1,000.00	$	1,035.40	$	4.18		0.82	%
Hypothetical (5% return before expenses)	$	1,000.00	$	1,020.96	$	4.15		0.82	%

¹ Expenses paid is equal to the annualized net 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—September 30, 2018 Wells Fargo Special Mid Cap Value Fund 11

Security name	Shares		Value
Common Stocks: 97.44%
Consumer Discretionary: 5.40%
Auto Components: 0.91%
Aptiv plc		936,400	$	78,563,960
Hotels, Restaurants & Leisure: 1.20%
The Wendy’s Company		6,028,100		103,321,634
Household Durables: 1.65%
Mohawk Industries Incorporated †		813,700		142,682,295
Multiline Retail: 1.64%
Kohl’s Corporation		1,906,000		142,092,300
Consumer Staples: 3.90%
Beverages: 2.29%
Molson Coors Brewing Company Class B		3,213,676		197,641,074
Household Products: 1.61%
Church & Dwight Company Incorporated		748,200		44,420,634
Spectrum Brands Holdings Incorporated		1,273,600		95,163,392
				139,584,026
Energy: 8.20%
Energy Equipment & Services: 2.38%
National Oilwell Varco Incorporated		2,151,400		92,682,312
Patterson-UTI Energy Incorporated		6,642,000		113,644,620
				206,326,932
Oil, Gas & Consumable Fuels: 5.82%
Anadarko Petroleum Corporation		2,410,400		162,485,064
Cimarex Energy Company		1,723,500		160,182,090
Hess Corporation		1,952,800		139,781,424
WPX Energy Incorporated †		2,023,900		40,720,868
				503,169,446
Financials: 18.08%
Banks: 4.94%
Fifth Third Bancorp		3,584,500		100,079,240
PacWest Bancorp		2,865,007		136,517,584
Regions Financial Corporation		6,159,500		113,026,825
Zions Bancorporation		1,554,100		77,938,115
				427,561,764
Capital Markets: 1.64%
Northern Trust Corporation		1,384,200		141,368,346

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

12 Wells Fargo Special Mid Cap Value Fund Portfolio of investments—September 30, 2018

Security name	Shares		Value
Insurance: 11.50%
Arch Capital Group Limited †		5,475,908	$	163,236,817
Brown & Brown Incorporated		7,565,800		223,720,706
Fidelity National Financial Incorporated		3,433,814		135,120,581
Loews Corporation		4,202,600		211,096,598
The Allstate Corporation		1,357,300		133,965,510
Willis Towers Watson plc		906,400		127,748,016
				994,888,228
Health Care: 9.97%
Health Care Equipment & Supplies: 5.04%
Hologic Incorporated †		1,382,100		56,638,458
Steris plc		971,800		111,173,920
Varian Medical Systems Incorporated †		1,137,300		127,297,989
Zimmer Biomet Holdings Incorporated		1,070,300		140,712,341
				435,822,708
Health Care Providers & Services: 3.34%
AmerisourceBergen Corporation		731,400		67,449,708
Humana Incorporated		429,000		145,225,080
Universal Health Services Incorporated Class B		597,800		76,422,752
				289,097,540
Life Sciences Tools & Services: 1.59%
Charles River Laboratories International Incorporated †		1,019,100		137,109,714
Industrials: 19.41%
Aerospace & Defense: 2.45%
Arconic Incorporated		1,997,500		43,964,975
Harris Corporation		993,100		168,042,451
				212,007,426
Building Products: 1.55%
Owens Corning Incorporated		2,475,730		134,357,867
Commercial Services & Supplies: 3.51%
Republic Services Incorporated		2,695,875		195,882,278
Stericycle Incorporated †		1,831,300		107,460,684
				303,342,962
Construction & Engineering: 2.99%
Jacobs Engineering Group Incorporated		3,385,043		258,955,790
Electrical Equipment: 1.02%
Acuity Brands Incorporated		563,600		88,597,920
Industrial Conglomerates: 1.22%
Carlisle Companies Incorporated		865,000		105,357,000

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

Portfolio of investments—September 30, 2018 Wells Fargo Special Mid Cap Value Fund 13

Security name	Shares		Value
Machinery: 3.23%
Cummins Incorporated		656,800	$	95,938,776
Deere & Company		583,300		87,687,489
Stanley Black & Decker Incorporated		651,000		95,332,440
				278,958,705
Road & Rail: 3.44%
Kansas City Southern		1,966,700		222,787,776
Ryder System Incorporated		1,021,100		74,611,777
				297,399,553
Information Technology: 9.18%
IT Services: 6.37%
Amdocs Limited		2,374,100		156,643,118
Euronet Worldwide Incorporated †		1,259,600		126,237,112
Fidelity National Information Services Incorporated		1,873,500		204,342,645
Leidos Holdings Incorporated		923,100		63,841,596
				551,064,471
Semiconductors & Semiconductor Equipment: 0.61%
Analog Devices Incorporated		518,700		47,959,002
MKS Instruments Incorporated		55,000		4,408,250
				52,367,252
Software: 0.70%
Check Point Software Technologies Limited †		511,100		60,141,137
Technology Hardware, Storage & Peripherals: 1.50%
NCR Corporation †		4,576,020		130,004,728
Materials: 8.46%
Chemicals: 2.56%
International Flavors & Fragrances Incorporated		357,400		49,721,488
PPG Industries Incorporated		1,567,500		171,061,275
				220,782,763
Construction Materials: 0.37%
Eagle Materials Incorporated		376,300		32,075,812
Containers & Packaging: 5.53%
International Paper Company		2,739,200		134,631,680
Packaging Corporation of America		1,064,713		116,788,369
Sealed Air Corporation		5,652,500		226,947,875
				478,367,924
Real Estate: 5.90%
Equity REITs: 4.24%
American Campus Communities Incorporated		3,179,585		130,871,719
Invitation Homes Incorporated		5,655,628		129,570,437
Mid-America Apartment Communities Incorporated		1,063,300		106,521,394
				366,963,550

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

14 Wells Fargo Special Mid Cap Value Fund Portfolio of investments—September 30, 2018

Security name				Shares		Value
Real Estate Management & Development: 1.66%
CBRE Group Incorporated Class A †					3,256,000	$	143,589,600
Utilities: 8.94%
Electric Utilities: 4.16%
American Electric Power Company Incorporated					2,759,560		195,597,613
FirstEnergy Corporation					2,992,700		111,238,658
PG&E Corporation					1,143,700		52,621,637
							359,457,908
Multi-Utilities: 2.58%
Ameren Corporation					3,531,850		223,283,557
Water Utilities: 2.20%
American Water Works Company Incorporated					2,168,700		190,780,539
Total Common Stocks (Cost $7,220,376,437)							8,427,086,431
	Yield
Short-Term Investments: 2.12%
Investment Companies: 2.12%
Wells Fargo Government Money Market Fund Select Class (l)(u)		1.99	%		183,466,427		183,466,427
Total Short-Term Investments (Cost $183,466,427)							183,466,427

Total investments in securities (Cost $7,403,842,864)	99.56	%		8,610,552,858
Other assets and liabilities, net	0.44			37,800,230
Total net assets	100.00	%	$	8,648,353,088

† Non-income-earning security

(l) The issuer of the security is an affiliated person of the Fund as defined in the Investment Company Act of 1940.

(u) The rate represents the 7-day annualized yield at period end.

Abbreviations:

REIT Real estate investment trust

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

Portfolio of investments—September 30, 2018 Wells Fargo Special Mid Cap Value Fund 15

Investments in Affiliates

An affiliated investment is an investment in which the Fund owns at least 5% of the outstanding voting shares of the issuer or as a result of other relationships, such as the Fund and the issuer having the same investment manager. Transactions with issuers that were either affiliates of the Fund at the beginning of the period or the end of the period were as follows:

	Shares, beginning of period		Shares purchased		Shares sold		Shares, end of period		Net realized gains (losses)		Net change in unrealized gains (losses)		Income from affiliated securities		Value, end of period		% of net assets
Short-Term Investments
Investment Companies
Securities Lending Cash Investment LLC *		131,645,898		1,030,113,945		1,161,759,843		0	$	4,812	$	0	$	519,943	$	0
Wells Fargo Government Money Market Fund Select Class		450,420,430		1,750,004,853		2,016,958,856		183,466,427		0		0		5,500,064		183,466,427
									$	4,812	$	0	$	6,020,007	$	183,466,427		2.12	%

* No longer held at the end of the period.

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

16 Wells Fargo Special Mid Cap Value Fund Statement of assets and liabilities—September 30, 2018

Assets
Investments in unaffiliated securities, at value (cost $7,220,376,437)	$	8,427,086,431
Investments in affiliated securities, at value (cost $183,466,427)		183,466,427
Receivable for investments sold		32,737,602
Receivable for Fund shares sold		19,347,816
Receivable for dividends		8,797,549
Total assets		8,671,435,825
Liabilities
Payable for Fund shares redeemed		10,819,698
Payable for investments purchased		4,939,239
Management fee payable		4,784,094
Administration fees payable		890,810
Distribution fees payable		115,164
Accrued expenses and other liabilities		1,533,732
Total liabilities		23,082,737
Total net assets	$	8,648,353,088
NET ASSETS CONSIST OF
Paid-in capital	$	7,284,199,351
Total distributable earnings		1,364,153,737
Total net assets	$	8,648,353,088
COMPUTATION OF NET ASSET VALUE AND OFFERING PRICE PER SHARE
Net assets – Class A	$	1,038,883,480
Shares outstanding – Class A1		27,633,826
Net asset value per share – Class A		$37.59
Maximum offering price per share – Class A2		$39.88
Net assets – Class C	$	174,838,714
Shares outstanding – Class C1		4,854,359
Net asset value per share – Class C		$36.02
Net assets – Class R	$	24,575,160
Shares outstanding – Class R1		645,260
Net asset value per share – Class R		$38.09
Net assets – Class R6	$	1,493,786,550
Shares outstanding – Class R61		38,632,575
Net asset value per share – Class R6		$38.67
Net assets – Administrator Class	$	978,368,232
Shares outstanding – Administrator Class1		25,588,306
Net asset value per share – Administrator Class		$38.23
Net assets – Institutional Class	$	4,937,900,952
Shares outstanding – Institutional Class1		127,893,898
Net asset value per share – Institutional Class		$38.61

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—year ended September 30, 2018 Wells Fargo Special Mid Cap Value Fund 17

Investment income
Dividends	$	127,138,991
Income from affiliated securities		6,020,007
Total investment income		133,158,998
Expenses
Management fee		57,101,768
Administration fees
Class A		2,279,630
Class C		397,386
Class R		44,749
Class R6		385,383
Administrator Class		1,507,314
Institutional Class		6,255,489
Shareholder servicing fees
Class A		2,713,845
Class C		473,079
Class R		53,273
Administrator Class		2,893,591
Distribution fees
Class C		1,419,236
Class R		53,273
Custody and accounting fees		265,378
Professional fees		44,867
Registration fees		601,562
Shareholder report expenses		1,197,450
Trustees’ fees and expenses		20,313
Other fees and expenses		44,873
Total expenses		77,752,459
Net investment income		55,406,539
REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS
Net realized gains on:
Unaffiliated securities		170,027,397
Affiliated securities		4,812
Net realized gains on investments		170,032,209
Net change in unrealized gains (losses) on investments		160,007,260
Net realized and unrealized gains (losses) on investments		330,039,469
Net increase in net assets resulting from operations	$	385,446,008

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

18 Wells Fargo Special Mid Cap Value Fund Statement of changes in net assets

	Year ended September 30, 2018						Year ended September 30, 20171
Operations
Net investment income				$	55,406,539					$	69,856,974
Net realized gains on investments					170,032,209						263,905,671
Net change in unrealized gains (losses) on investments					160,007,260						507,582,662
Net increase in net assets resulting from operations					385,446,008						841,345,307
Distributions to shareholders
Class A					(44,792,710	)					(15,990,832	)
Class C					(7,147,489	)					(796,996	)
Class R					(758,370	)					(36,238	)
Class R6					(46,138,407	)					(6,717,311	)
Administrator Class					(48,230,988	)					(10,625,243	)
Institutional Class					(209,509,970	)					(38,727,254	)
Total distributions to shareholders					(356,577,934	)					(72,893,874	)
Capital share transactions		Shares						Shares
Proceeds from shares sold
Class A		8,052,054			299,880,019			13,154,908			465,537,737
Class C		955,547			34,325,290			2,711,868			92,767,956
Class R		449,380			17,074,096			375,826			13,756,543
Class R6		21,764,043			834,124,233			15,662,932			576,145,190
Administrator Class		9,533,075			364,176,209			11,300,924			409,573,144
Institutional Class		44,252,567			1,696,256,312			73,476,646			2,698,093,386
					3,245,836,159						4,255,873,956
Reinvestment of distributions
Class A		1,134,296			42,153,674			430,399			15,319,605
Class C		190,448			6,787,622			21,636			747,041
Class R		20,056			757,010			1,001			36,238
Class R6		1,188,583			45,410,964			184,501			6,716,950
Administrator Class		1,273,292			48,143,405			293,544			10,613,440
Institutional Class		5,050,159			192,715,031			939,200			34,186,140
					335,967,706						67,619,414
Payment for shares redeemed
Class A		(10,111,787	)		(376,581,084	)		(26,185,672	)		(938,590,776	)
Class C		(1,618,894	)		(57,851,833	)		(1,041,925	)		(35,763,015	)
Class R		(205,099	)		(7,778,102	)		(48,532	)		(1,793,289	)
Class R6		(7,858,969	)		(300,909,538	)		(3,316,560	)		(121,702,544	)
Administrator Class		(15,565,814	)		(589,131,375	)		(6,021,913	)		(218,649,630	)
Institutional Class		(40,848,909	)		(1,566,068,850	)		(23,386,735	)		(854,924,224	)
					(2,898,320,782	)					(2,171,423,478	)
Net increase in net assets resulting from capital share transactions					683,483,083						2,152,069,892
Total increase in net assets					712,351,157						2,920,521,325
Net assets
Beginning of period					7,936,001,931						5,015,480,606
End of period				$	8,648,353,088					$	7,936,001,931

¹  Effective for all filings after November 4, 2018, the SEC prospectively eliminated the requirements to parenthetically disclose undistributed net investment income at the end of the period and to disaggregate distributions to shareholders between distributions from net investment income and distributions from realized gains. Undistributed net investment income at September 30, 2017 was $56,598,980. The disaggregated distributions information for the year ended September 30, 2017 is included in Note 7, Distributions to Shareholders, in the notes to the financial statements.

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

Financial highlights Wells Fargo Special Mid Cap Value Fund 19

(For a share outstanding throughout each period)

	Year ended September 30
CLASS A	2018			2017			2016			2015			2014
Net asset value, beginning of period		$37.49			$33.12			$29.91			$32.68			$30.36
Net investment income		0.15			0.33			0.19			0.25			0.12	1
Net realized and unrealized gains (losses) on investments		1.50			4.42			4.23			0.07			4.47
Total from investment operations		1.65			4.75			4.42			0.32			4.59
Distributions to shareholders from
Net investment income		(0.23	)		(0.19	)		(0.08	)		(0.18	)		(0.09	)
Net realized gains		(1.32	)		(0.19	)		(1.13	)		(2.91	)		(2.18	)
Total distributions to shareholders		(1.55	)		(0.38	)		(1.21	)		(3.09	)		(2.27	)
Net asset value, end of period		$37.59			$37.49			$33.12			$29.91			$32.68
Total return2		4.50	%		14.41	%		15.34	%		0.69	%		15.70	%
Ratios to average net assets (annualized)
Gross expenses		1.15	%		1.18	%		1.19	%		1.25	%		1.28	%
Net expenses		1.15	%		1.18	%		1.19	%		1.24	%		1.25	%
Net investment income		0.40	%		0.78	%		0.82	%		0.85	%		0.38	%
Supplemental data
Portfolio turnover rate		37	%		46	%		30	%		58	%		58	%
Net assets, end of period (000s omitted)		$1,038,883			$1,070,690			$1,363,213			$509,386			$110,219

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

20 Wells Fargo Special Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS C	2018			2017			2016			2015			2014
Net asset value, beginning of period		$36.03			$31.91			$29.00			$31.82			$29.73
Net investment income (loss)		(0.14	)		0.06			0.03			0.02	1		(0.04	)
Net realized and unrealized gains (losses) on investments		1.46			4.26			4.02			0.07			4.31
Total from investment operations		1.32			4.32			4.05			0.09			4.27
Distributions to shareholders from
Net investment income		(0.01	)		(0.01	)		(0.01	)		0.00			0.00
Net realized gains		(1.32	)		(0.19	)		(1.13	)		(2.91	)		(2.18	)
Total distributions to shareholders		(1.33	)		(0.20	)		(1.14	)		(2.91	)		(2.18	)
Net asset value, end of period		$36.02			$36.03			$31.91			$29.00			$31.82
Total return2		3.72	%		13.56	%		14.47	%		(0.05	)%		14.86	%
Ratios to average net assets (annualized)
Gross expenses		1.90	%		1.92	%		1.94	%		2.00	%		2.03	%
Net expenses		1.90	%		1.92	%		1.94	%		1.99	%		2.00	%
Net investment income (loss)		(0.35	)%		0.14	%		0.03	%		0.08	%		(0.38	)%
Supplemental data
Portfolio turnover rate		37	%		46	%		30	%		58	%		58	%
Net assets, end of period (000s omitted)		$174,839			$191,954			$116,022			$63,431			$29,217

¹  Calculated based upon average shares outstanding

²  Total return calculations do not include any sales charges.

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

Financial highlights Wells Fargo Special Mid Cap Value Fund 21

(For a share outstanding throughout each period)

	Year ended September 30
CLASS R	2018			2017			2016			20151
Net asset value, beginning of period		$38.08			$33.78			$30.70			$30.70
Net investment income		0.09			0.32			0.12	2		0.00
Net realized and unrealized gains (losses) on investments		1.49			4.43			4.32			0.00
Total from investment operations		1.58			4.75			4.44			0.00
Distributions to shareholders from
Net investment income		(0.25	)		(0.26	)		(0.23	)		0.00
Net realized gains		(1.32	)		(0.19	)		(1.13	)		0.00
Total distributions to shareholders		(1.57	)		(0.45	)		(1.36	)		0.00
Net asset value, end of period		$38.09			$38.08			$33.78			$30.70
Total return3		4.23	%		14.13	%		15.05	%		0.00	%
Ratios to average net assets (annualized)
Gross expenses		1.40	%		1.42	%		1.44	%		0.00	%
Net expenses		1.40	%		1.42	%		1.44	%		0.00	%
Net investment income		0.18	%		0.77	%		0.37	%		0.00	%
Supplemental data
Portfolio turnover rate		37	%		46	%		30	%		58	%
Net assets, end of period (000s omitted)		$24,575			$14,505			$1,778			$25

¹  The class commenced operations on September 30, 2015. Information represents activity for the one day of operation.

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.

22 Wells Fargo Special Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
CLASS R6	2018			2017			2016			2015			2014
Net asset value, beginning of period		$38.52			$34.03			$30.71			$33.39			$30.90
Net investment income		0.32	1		0.50	1		0.38	1		0.41	1		0.41	1
Net realized and unrealized gains (losses) on investments		1.55			4.53			4.30			0.05			4.43
Total from investment operations		1.87			5.03			4.68			0.46			4.84
Distributions to shareholders from
Net investment income		(0.40	)		(0.35	)		(0.23	)		(0.23	)		(0.17	)
Net realized gains		(1.32	)		(0.19	)		(1.13	)		(2.91	)		(2.18	)
Total distributions to shareholders		(1.72	)		(0.54	)		(1.36	)		(3.14	)		(2.35	)
Net asset value, end of period		$38.67			$38.52			$34.03			$30.71			$33.39
Total return		4.95	%		14.88	%		15.84	%		1.14	%		16.29	%
Ratios to average net assets (annualized)
Gross expenses		0.72	%		0.74	%		0.76	%		0.79	%		0.80	%
Net expenses		0.72	%		0.74	%		0.76	%		0.79	%		0.80	%
Net investment income		0.85	%		1.37	%		1.21	%		1.26	%		1.22	%
Supplemental data
Portfolio turnover rate		37	%		46	%		30	%		58	%		58	%
Net assets, end of period (000s omitted)		$1,493,787			$906,784			$374,557			$105,973			$4,013

¹  Calculated based upon average shares outstanding

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

Financial highlights Wells Fargo Special Mid Cap Value Fund 23

(For a share outstanding throughout each period)

	Year ended September 30
ADMINISTRATOR CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$38.12			$33.67			$30.45			$33.14			$30.71
Net investment income		0.18	1		0.34	1		0.26			0.31	1		0.15
Net realized and unrealized gains (losses) on investments		1.52			4.52			4.26			0.05			4.55
Total from investment operations		1.70			4.86			4.52			0.36			4.70
Distributions to shareholders from
Net investment income		(0.27	)		(0.22	)		(0.17	)		(0.14	)		(0.09	)
Net realized gains		(1.32	)		(0.19	)		(1.13	)		(2.91	)		(2.18	)
Total distributions to shareholders		(1.59	)		(0.41	)		(1.30	)		(3.05	)		(2.27	)
Net asset value, end of period		$38.23			$38.12			$33.67			$30.45			$33.14
Total return		4.58	%		14.50	%		15.42	%		0.84	%		15.89	%
Ratios to average net assets (annualized)
Gross expenses		1.07	%		1.09	%		1.10	%		1.12	%		1.12	%
Net expenses		1.07	%		1.09	%		1.10	%		1.11	%		1.12	%
Net investment income		0.47	%		0.95	%		0.88	%		0.95	%		0.48	%
Supplemental data
Portfolio turnover rate		37	%		46	%		30	%		58	%		58	%
Net assets, end of period (000s omitted)		$978,368			$1,156,796			$834,134			$394,188			$187,968

¹  Calculated based upon average shares outstanding

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

24 Wells Fargo Special Mid Cap Value Fund Financial highlights

(For a share outstanding throughout each period)

	Year ended September 30
INSTITUTIONAL CLASS	2018			2017			2016			2015			2014
Net asset value, beginning of period		$38.47			$34.00			$30.70			$33.38			$30.91
Net investment income		0.26			0.41			0.35	1		0.41	1		0.24
Net realized and unrealized gains (losses) on investments		1.56			4.58			4.29			0.04			4.57
Total from investment operations		1.82			4.99			4.64			0.45			4.81
Distributions to shareholders from
Net investment income		(0.36	)		(0.33	)		(0.21	)		(0.22	)		(0.16	)
Net realized gains		(1.32	)		(0.19	)		(1.13	)		(2.91	)		(2.18	)
Total distributions to shareholders		(1.68	)		(0.52	)		(1.34	)		(3.13	)		(2.34	)
Net asset value, end of period		$38.61			$38.47			$34.00			$30.70			$33.38
Total return		4.84	%		14.76	%		15.73	%		1.10	%		16.17	%
Ratios to average net assets (annualized)
Gross expenses		0.82	%		0.84	%		0.86	%		0.85	%		0.85	%
Net expenses		0.82	%		0.84	%		0.86	%		0.85	%		0.85	%
Net investment income		0.73	%		1.24	%		1.07	%		1.23	%		0.81	%
Supplemental data
Portfolio turnover rate		37	%		46	%		30	%		58	%		58	%
Net assets, end of period (000s omitted)		$4,937,901			$4,595,274			$2,325,777			$411,919			$174,989

¹  Calculated based upon average shares outstanding

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

Notes to financial statements Wells Fargo Special Mid Cap Value Fund 25

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”). As an investment company, the Trust follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies. These financial statements report on the Wells Fargo 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 (generally 4 p.m. Eastern Time), although the Fund may deviate from this calculation time under unusual or unexpected circumstances.

Equity securities that are listed on a foreign or domestic exchange or market are valued at the official closing price or, if none, the last sales price. If no sale occurs on the principal exchange or market that day, a fair value price will be determined in accordance with the Fund’s Valuation Procedures.

Investments in registered open-end investment companies are valued at net asset value. Interests in non-registered investment companies that are redeemable at net asset value are fair valued normally at net asset value.

Investments which are not valued using any of the methods discussed above are valued at their fair value, as determined in good faith by the Board of Trustees of the Fund. 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 Wells Fargo Asset Management Pricing Committee at 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 Wells Fargo Asset Management Pricing Committee which may include items for ratification.

Securities lending

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 Securities Lending Cash Investments, LLC (the “Securities Lending Fund”). The Securities Lending 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”), an affiliate of Funds Management and an indirect wholly owned subsidiary of Wells Fargo & Company (“Wells Fargo”). Funds Management receives an advisory fee starting at 0.05% and declining to 0.01% as the average daily net assets of the Securities Lending Fund increase. All of the fees received by Funds Management are paid to WellsCap for its services as subadviser. The Securities Lending 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. Securities Lending Fund investments are valued at the evaluated bid price provided

26 Wells Fargo Special Mid Cap Value Fund Notes to financial statements

by an independent pricing service. Income earned from investment in the Securities Lending Fund, if any, is included in income from affiliated securities 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 any net realized gains are recorded on the ex-dividend date and paid at least annually. Such distributions are determined in accordance with income tax regulations and may differ from U.S. generally accepted accounting principles. Dividend sources are estimated at the time of declaration. The tax character of distributions is determined as of the Fund’s fiscal year end. Therefore, a portion of the Fund’s distributions made prior to the Fund’s fiscal year end may be categorized as a tax return of capital at year end.

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, 2018, the aggregate cost of all investments for federal income tax purposes was $7,412,360,047 and the unrealized gains (losses) consisted of:

Gross unrealized gains	$	1,542,652,918
Gross unrealized losses		(344,460,107	)
Net unrealized gains	$	1,198,192,811

Class allocations

The separate classes of shares offered by the Fund differ principally in applicable sales charges, distribution, shareholder servicing, and administration fees. Class specific expenses are charged directly to that share class. Investment income, common expenses, and realized and unrealized gains (losses) on investments are allocated daily to each class of shares based on the relative proportion of net assets of each class.

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 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:

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

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

∎ 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 Wells Fargo Special Mid Cap Value Fund 27

The following is a summary of the inputs used in valuing the Fund’s assets and liabilities as of September 30, 2018:

	Quoted prices (Level 1)		Other significant observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
Assets
Investments in:
Common stocks
Consumer discretionary	$	466,660,189	$	0	$	0	$	466,660,189
Consumer staples		337,225,100		0		0		337,225,100
Energy		709,496,378		0		0		709,496,378
Financials		1,563,818,338		0		0		1,563,818,338
Health care		862,029,962		0		0		862,029,962
Industrials		1,678,977,223		0		0		1,678,977,223
Information technology		793,577,588		0		0		793,577,588
Materials		731,226,499		0		0		731,226,499
Real estate		510,553,150		0		0		510,553,150
Utilities		773,522,004		0		0		773,522,004
Short-term investments
Investment companies		183,466,427		0		0		183,466,427
Total assets	$	8,610,552,858	$	0	$	0	$	8,610,552,858

Additional sector, industry or geographic detail is included in the Portfolio of Investments.

At September 30, 2018, the Fund did not have any transfers into/out of Level 3.

4. TRANSACTIONS WITH AFFILIATES

Management fee

Funds Management, an indirect wholly owned subsidiary of Wells Fargo, is the manager of the Fund and provides advisory and fund-level administrative services under an investment management agreement. Under the investment management agreement, Funds Management is responsible for, among other services, implementing the investment objectives and strategies of the Fund, supervising the subadviser and providing fund-level administrative services in connection with the Fund’s operations. As compensation for its services under the investment management agreement, Funds Management is entitled to receive an annual management fee starting at 0.75% and declining to 0.63% as the average daily net assets of the Fund increase. For the year ended September 30, 2018, the management 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 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 fees

Under a class-level administration agreement, Funds Management provides class-level administrative services to the Fund, which includes paying fees and expenses for services provided by the transfer agent, sub-transfer agents, omnibus account servicers and record-keepers. As compensation for its services under the class-level administration agreement, Funds Management receives an annual fee which is calculated based on the average daily net assets of each class as follows:

	Class-level administration fee
Class A, Class C, Class R		0.21	%
Class R6		0.03
Administrator Class, Institutional Class		0.13

28 Wells Fargo Special Mid Cap Value Fund Notes to financial statements

Funds Management has contractually waived and/or reimbursed management and administration fees to the extent necessary to maintain certain net operating expense ratios for the Fund. When each class of the Fund has exceeded its expense cap, Funds Management has waived fees and/or reimbursed expenses from fund level expenses on a proportionate basis and then from class specific expenses; otherwise, waivers and/or reimbursements are applied against class specific expenses before fund level expenses. Funds Management has committed through January 31, 2019 to waive fees and/or reimburse expenses to the extent necessary to cap the Fund’s expenses at 1.19% for Class A shares, 1.94% for Class C shares, 1.44% for Class R shares, 0.76% for Class R6, 1.11% for Administrator Class shares, and 0.85% for Institutional Class shares. After this time, the cap may be increased or the commitment to maintain the cap may be terminated only with the approval of the Board of Trustees. Prior to February 1, 2018, the Fund’s expenses were capped at 1.22% for Class A shares, 1.97% for Class C shares, 1.47% for Class R shares, 0.79% for Class R6 shares, 1.14% for Administrator Class shares, and 0.87% for Institutional Class shares.

Distribution fees

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

In addition, Funds Distributor is entitled to receive the front-end sales charge from the purchase of Class A shares and a contingent deferred sales charge on the redemption of certain Class A shares. Funds Distributor is also entitled to receive the contingent deferred sales charges from redemptions of Class C shares. For the year ended September 30, 2018, Funds Distributor received $99,674 from the sale of Class A shares and $1,277 in contingent deferred sales charges from redemptions of Class C shares. No contingent deferred sales charges were incurred by Class A shares for the year ended September 30, 2018.

Shareholder servicing fees

The Trust has entered into contracts with one or more shareholder servicing agents, whereby Class A, Class C, Class R and Administrator Class of the Fund are 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.

Interfund transactions

The Fund may purchase or sell portfolio investment securities to certain other Wells Fargo affiliates pursuant to Rule 17a-7 under the 1940 Act and under procedures adopted by the Board of Trustees. The procedures have been designed to ensure that these interfund transactions, which do not incur broker commissions, are effected at current market prices.

5. INVESTMENT PORTFOLIO TRANSACTIONS

Purchases and sales of investments, excluding U.S. government obligations (if any) and short-term securities, for the year ended September 30, 2018 were $3,673,111,271 and $2,990,702,856, respectively.

6. BANK BORROWINGS

The Trust (excluding the money market funds), Wells Fargo Master Trust and Wells Fargo Variable Trust are parties to a $280,000,000 revolving credit agreement 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 0.25% of the unused balance is allocated to each participating fund.

For the year ended September 30, 2018, there were no borrowings by the Fund under the agreement.

7. DISTRIBUTIONS TO SHAREHOLDERS

The tax character of distributions paid during the years ended September 30, 2018 and September 30, 2017 were as follows:

	Year ended September 30
	2018		2017
Ordinary income	$	175,777,950	$	52,453,889
Long-term capital gain		180,799,984		20,439,985

Notes to financial statements Wells Fargo Special Mid Cap Value Fund 29

As of September 30, 2018, the components of distributable earnings on a tax basis were as follows:

Undistributed ordinary income	Undistributed long-term gain	Unrealized gains
$39,551,240	$126,409,671	$1,198,192,811

Beginning October 2018, the Securities and Exchange Commission eliminated the requirement to separately state the components of distributions to shareholders. The amounts of distributions to shareholders for the year ended September 30, 2017 were as follows:

	Net investment income		Net realized gains
Class A	$	7,950,644	$	8,040,188
Class C		22,847		774,149
Class R		20,893		15,345
Class R6		4,366,000		2,351,311
Administrator Class		5,647,481		4,977,762
Institutional Class		24,469,171		14,258,083

8. INDEMNIFICATION

Under the Trust’s organizational documents, the officers and Trustees have been granted certain indemnification rights 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 August 2018, FASB issued Accounting Standards Update (“ASU”) No. 2018-13, Fair Value Measurement (Topic 820) Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 updates the disclosure requirements for fair value measurements by modifying or removing certain disclosures and adding certain new disclosures. The amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted. Management has early adopted the removal and modification disclosures, as permitted, and will adopt the additional new disclosures at the effective date.

30 Wells Fargo Special Mid Cap Value Fund Report of independent registered public accounting firm

BOARD OF TRUSTEES AND SHAREHOLDERS OF WELLS FARGO FUNDS TRUST:

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Wells Fargo Special Mid Cap Value Fund (the “Fund”), including the portfolio of investments, as of September 30, 2018, the related statement of operations for the year then ended, the statements of changes in net assets for each of the years in the two-year period then ended, and the related notes (collectively, the “financial statements”) and the financial highlights for each of the years or periods in the five-year period then ended. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of the Fund as of September 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the years in the two-year period then ended, and the financial highlights for each of the years or periods in the five-year period then ended, in conformity with U.S. generally accepted accounting principles.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Such procedures also included confirmation of securities owned as of September 30, 2018, by correspondence with the custodian and brokers, or by other appropriate auditing procedures. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. We believe that our audits provide a reasonable basis for our opinion.

We have not been able to determine the specific year that we began serving as the auditor of one or more Wells Fargo Funds investment companies, however we are aware that we have served as the auditor of one or more Wells Fargo Funds investment companies since at least 1955.

Boston, Massachusetts

November 26, 2018

Other information (unaudited) Wells Fargo Special Mid Cap Value Fund 31

TAX INFORMATION

For corporate shareholders, pursuant to Section 854 of the Internal Revenue Code, 53.09% of ordinary income dividends qualify for the corporate dividends-received deduction for the fiscal year ended September 30, 2018.

Pursuant to Section 852 of the Internal Revenue Code, $180,799,984 was designated as a 20% rate gain distribution for the fiscal year ended September 30, 2018.

Pursuant to Section 854 of the Internal Revenue Code, $119,341,246 of income dividends paid during the fiscal year ended September 30, 2018 has been designated as qualified dividend income (QDI).

For the fiscal year ended September 30, 2018, $1,696,165 has been designated as interest-related dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

For the fiscal year ended September 30, 2018, $103,323,686 has been designated as short-term capital gain dividends for nonresident alien shareholders pursuant to Section 871 of the Internal Revenue Code.

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, upon request, by calling 1-800-222-8222, visiting our website at wellsfargofunds.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 on the Fund’s website at wellsfargofunds.com or by visiting the SEC website at sec.gov.

PORTFOLIO HOLDINGS INFORMATION

The complete portfolio holdings for the Fund are publicly available monthly on the Fund’s website (wellsfargofunds.com), on a one-month delayed basis. In addition, top ten holdings information (excluding derivative positions) 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 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.

32 Wells Fargo Special Mid Cap Value Fund Other information (unaudited)

BOARD OF TRUSTEES AND OFFICERS

Each of the Trustees and Officers¹ listed in the table below acts in identical capacities for each fund in the Wells Fargo family of funds, which consists of 153 mutual funds 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. 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 or longer	Current other public company or investment company directorships
William R. Ebsworth (Born 1957)	Trustee, since 2015	Retired. From 1984 to 2013, equities analyst, portfolio manager, research director and chief investment officer at Fidelity Management and Research Company in Boston, Tokyo, and Hong Kong, and retired in 2013 as Chief Investment Officer of Fidelity Strategic Advisers, Inc. where he led a team of investment professionals managing client assets. Prior thereto, Board member of Hong Kong Securities Clearing Co., Hong Kong Options Clearing Corp., the Thailand International Fund, Ltd., Fidelity Investments Life Insurance Company, and Empire Fidelity Investments Life Insurance Company. Board member of the Vincent Memorial Hospital Endowment (non-profit organization), where he serves on the Investment Committee and as a Chair of the Audit Committee. Mr. Ebsworth is a CFA® charterholder.	N/A
Jane A. Freeman (Born 1953)	Trustee, since 2015; Chair Liaison, since 2018	Retired. From 2012 to 2014 and 1999 to 2008, Chief Financial Officer of Scientific Learning Corporation. From 2008 to 2012, Ms. Freeman provided consulting services related to strategic business projects. Prior to 1999, Portfolio Manager at Rockefeller & Co. and Scudder, Stevens & Clark. Board member of the Harding Loevner Funds from 1996 to 2014, serving as both Lead Independent Director and chair of the Audit Committee. Board member of the Russell Exchange Traded Funds Trust from 2011 to 2012 and the chair of the Audit Committee. Ms. Freeman is a Board Member of The Ruth Bancroft Garden (non-profit organization). She is also an inactive Chartered Financial Analyst.	N/A
Isaiah Harris, Jr. (Born 1952)	Trustee, since 2009	Retired. Chairman of the Board of CIGNA Corporation since 2009, and Director since 2005. From 2003 to 2011, Director of Deluxe Corporation. 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 Harbor Academy (private school). Advisory Board Member, Child Evangelism Fellowship (non-profit). Mr. Harris is a certified public accountant (inactive status).	CIGNA Corporation
Judith M. Johnson (Born 1949)	Trustee, since 2008; Audit Committee Chairman, since 2009	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.	N/A
David F. Larcker (Born 1950)	Trustee, since 2009	James Irvin Miller Professor of Accounting at the Graduate School of Business, Stanford University, Director of the Corporate Governance Research Initiative 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.	N/A

Other information (unaudited) Wells Fargo Special Mid Cap Value Fund 33

Name and year of birth	Position held and length of service*	Principal occupations during past five years or longer	Current other public company or investment company directorships
Olivia S. Mitchell (Born 1953)	Trustee, since 2006; Governance Committee Chairman, since 2018	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.	N/A
Timothy J. Penny (Born 1951)	Trustee, since 1996; Chairman, since 2018; Vice Chairman, from 2017 to 2018	President and Chief Executive Officer of Southern Minnesota Initiative Foundation, a non-profit organization, since 2007. Member of the Board of Trustees of NorthStar Education Finance, Inc., a non-profit organization, since 2007.	N/A
James G. Polisson (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Retired. Chief Marketing Officer, Source (ETF) UK Services, Ltd, from 2015 to 2017. From 2012 to 2015, Principal of The Polisson Group, LLC, a management consulting, corporate advisory and principal investing company. Chief Executive Officer and Managing Director at Russell Investments, Global Exchange Traded Funds from 2010 to 2012. Managing Director of Barclays Global Investors from 1998 to 2010 and Global Chief Marketing Officer for iShares and Barclays Global Investors from 2000 to 2010. Trustee of the San Francisco Mechanics’ Institute, a non-profit organization, from 2013 to 2015. Board member of the Russell Exchange Traded Fund Trust from 2011 to 2012. Director of Barclays Global Investors Holdings Deutschland GmbH from 2006 to 2009. Mr. Polisson is an attorney and has a retired status with the Massachusetts and District of Columbia Bar Associations.	N/A
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. Trustee of the Evergreen Fund complex (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.	N/A
Pamela Wheelock (Born 1959)	Trustee, since 2018; Advisory Board Member, from 2017 to 2018	Chief Operating Officer, Twin Cities Habitat for Humanity, since January, 2017. Vice President of University Services, University of Minnesota from 2012 to 2017. Prior thereto, on the Board of Directors, Governance Committee and Finance Committee for the Minnesota Philanthropy Partners (Saint Paul Foundation) from 2012 to 2018, Interim President and Chief Executive Officer of Blue Cross Blue Shield of Minnesota from 2010 to 2011, Chairman of the Board from 2009 to 2011 and Board Director from 2003 to 2015. Vice President, Leadership and Community Engagement, Bush Foundation, Saint Paul, Minnesota (a private foundation) from 2009 to 2011. Executive Vice President and Chief Financial Officer, Minnesota Sports and Entertainment from 2004 to 2009 and Senior Vice President from 2002 to 2004. Commissioner of Finance, State of Minnesota, from 1999 to 2002. Currently the Board Chair of the Minnesota Wild Foundation since 2010.	N/A

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

34 Wells Fargo Special Mid Cap Value Fund Other information (unaudited)

Officers

Name and year of birth	Position held and length of service	Principal occupations during past five years or longer
Andrew Owen (Born 1960)	President, since 2017	Executive Vice President of Wells Fargo & Company and Head of Affiliated Managers, Wells Fargo Asset Management, since 2014. In addition, Mr. Owen is currently President, Chief Executive Officer and Director of Wells Fargo Funds Management, LLC since 2017. Prior thereto, Executive Vice President responsible for marketing, investments and product development for Wells Fargo Funds Management, LLC, from 2009 to 2014.
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.
Alexander Kymn3 (Born 1973)	Secretary, since 2018; Chief Legal Officer, since 2018	Senior Company Counsel of Wells Fargo Bank, N.A. since 2018 (previously Senior Counsel from 2007 to 2018). Vice President of Wells Fargo Funds Management, LLC from 2008 to 2014.
Michael H. Whitaker (Born 1967)	Chief Compliance Officer, since 2016	Senior Vice President and Chief Compliance Officer since 2016. Senior Vice President and Chief Compliance Officer for Fidelity Investments from 2007 to 2016.
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. 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 and head of the Fund Reporting and Control Team within Fund Administration from 2005 to 2010.

¹ Nancy Wiser acts as Treasurer of 76 funds in the Fund Complex. Jeremy DePalma acts as Treasurer of 77 funds and Assistant Treasurer of 76 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 wellsfargofunds.com.

³  Alexander Kymn became the Secretary and Chief Legal Officer effective April 17, 2018.

Other information (unaudited) Wells Fargo Special Mid Cap Value Fund 35

BOARD CONSIDERATION OF INVESTMENT MANAGEMENT AND SUB-ADVISORY AGREEMENTS:

Wells Fargo Special Mid Cap Value Fund

Under the Investment Company Act of 1940 (the “1940 Act”), the Board of Trustees (the “Board”) of Wells Fargo Funds Trust (the “Trust”) must determine annually whether to approve the continuation of the Trust’s investment management and sub-advisory agreements. In this regard, at an in-person meeting held on May 22-23, 2018 (the “Meeting”), the Board, all the members of which have no direct or indirect interest in the investment management and sub-advisory agreements and are not “interested persons” of the Trust, as defined in the 1940 Act (the “Independent Trustees”), reviewed and approved for Wells Fargo Special Mid Cap Value Fund (the “Fund”): (i) an investment management agreement (the “Management Agreement”) with Wells Fargo Funds Management, LLC (“Funds Management”); and (ii) an investment sub-advisory agreement (the “Sub-Advisory Agreement”) with Wells Capital Management Incorporated (the “Sub-Adviser”), an affiliate of Funds Management. The Management Agreement and the Sub-Advisory Agreement 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 approval of the Advisory Agreements. Prior to the Meeting, including at an in-person meeting in April 2018, the Trustees conferred extensively among themselves and with representatives of Funds Management about these matters. Also, the Board has adopted a team-based approach, with each team consisting of a sub-set of Trustees, to assist the full Board in the discharge of its duties in reviewing investment 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 2018. 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 investment 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 approved the continuation of the Advisory Agreements for a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable. The Board considered the approval of the Advisory Agreements for the Fund as part of its consideration of agreements for funds across the complex, but its approvals were made on a fund-by-fund basis. The following summarizes a number of important, but not necessarily all, factors considered by the Board in support of its approvals.

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 a description of the investment advisory services and Fund-level administrative services covered by the Management Agreement, as well as, among other things, a summary of the background and experience of senior management of Wells Fargo Asset Management (“WFAM”), of which Funds Management and the Sub-Adviser are a part, a summary of investments made in the business of WFAM, a summary of certain organizational and personnel changes involving Funds Management and the Sub-Adviser, and a description of Funds Management’s and the Sub-Adviser’s business continuity planning programs and of their approaches to data privacy and cybersecurity. The Board also considered 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 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 full range of services provided to the Fund by Funds Management and its affiliates.

36 Wells Fargo Special Mid Cap Value Fund Other information (unaudited)

Fund investment performance and expenses

The Board considered the investment performance results for the Fund over various time periods ended December 31, 2017. The Board considered these results in comparison to the investment performance of funds in a universe that was determined by Broadridge Inc. (“Broadridge”) to be similar to the Fund (the “Universe”), and in comparison to the Fund’s benchmark index and to other comparative data. Broadridge is an independent provider of investment company data. The Board received a description of the methodology used by Broadridge to select the mutual funds in the performance Universe. The Board noted that the investment performance of the Fund (Administrator Class) was higher than the average investment performance of the Universe for the three-, five- and ten-year periods under review, but lower than the average investment performance of the Universe for the one-year period under review. The Board also noted that the investment performance of the Fund was higher than the average investment performance of its benchmark index, the Russell Midcap Value Index, for the three-, five-, and ten-year periods under review, but lower than its benchmark index for the one-year period under review.

The Board received information concerning, and discussed factors contributing to, the underperformance of the Fund relative to the Universe and benchmark for the period identified above. The Board took note of the explanations for the relative underperformance during this period, including with respect to investment decisions and market factors that affected the Fund’s investment performance. The Board also took note of the Fund’s outperformance relative to the Universe and benchmark over the longer term periods under review.

The Board also received and considered information regarding the Fund’s net operating expense ratios and their various components, including actual management fees, custodian and other non-management fees, and Rule 12b-1 and non-Rule 12b-1 shareholder service fees. The Board considered these ratios in comparison to the median ratios of funds in class-specific expense groups that were determined by Broadridge to be similar to the Fund (the “Groups”). The Board received a description of the methodology used by Broadridge to select the mutual funds in the expense Groups and an explanation of how funds comprising expense groups and their expense ratios may vary from year-to-year. Based on the Broadridge 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 for each share class except Administrator Class. The Board noted that the net operating expense ratio caps for the Fund’s Class A, Class C, Class R, Administrator Class, Institutional Class and Class R6 would be reduced.

The Board took into account the Fund’s investment performance and expense information provided to it among the factors considered in deciding to re-approve the Advisory Agreements.

Investment management and sub-advisory fee rates

The Board reviewed and considered the contractual fee rates payable by the Fund to Funds Management under the Management Agreement, as well as the contractual fee rates payable by the Fund to Funds Management for class-level administrative services under a Class-Level Administration Agreement, which include, among other things, class-level transfer agency and sub-transfer agency costs (collectively, the “Management Rates”). 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.

Among other information reviewed by the Board was a comparison of the Fund’s Management Rates with the average contractual investment management fee rates of funds in the expense Groups at a common asset level as well as transfer agency costs of the funds in the expense Groups. The Board noted that the Management Rates of the Fund were lower than or in range of the sum of these average rates for the expense Groups for each share class except Administrator Class. The Board also discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management, and noted that the net operating expense ratio caps for the Fund’s Class A, Class C, Class R, Administrator Class, Institutional Class and Class R6 would be reduced.

The Board also received and considered information about the portion of the total management 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 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. Given the affiliation between Funds Management and the Sub-Adviser, the Board ascribed limited relevance to the allocation of fees between them.

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 with investment strategies similar to those of the Fund. 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 institutional separate accounts.

Other information (unaudited) Wells Fargo Special Mid Cap Value Fund 37

Based on its consideration of the factors and information it deemed relevant, including those described here, the Board determined that the compensation payable to Funds Management under the Management Agreement and to the Sub-Adviser under the Sub-Advisory Agreement was reasonable.

Profitability

The Board received and considered information concerning the profitability of Funds Management, as well as the profitability of both WFAM and Wells Fargo & Co. (“Wells Fargo”) as a whole, from providing services to the Fund and the fund family as a whole. The Board noted that the Sub-Adviser’s profitability information with respect to providing services to the Fund was subsumed in the WFAM and Wells Fargo profitability analysis.

Funds Management reported on the methodologies and estimates used in calculating profitability, including a description of the methodology used to allocate certain expenses and recent enhancements made to the methodology. 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, WFAM or Wells Fargo from services provided to the Fund to be at a level that would prevent it from approving the continuation of the Advisory Agreements.

Economies of scale

The Board considered the extent to which Funds Management may experience economies of scale in the provision of management services, and the extent to which scale benefits, if any, would be shared with shareholders. In particular, the Board noted the existence of breakpoints in the Fund’s management 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 that in addition to management fee breakpoints, competitive management fee rates set at the outset without regard to breakpoints and fee waiver and expense reimbursement arrangements, as well as investments in the business intended to enhance services available to Fund shareholders, are means of sharing potential economies of scale with shareholders of the Fund. The Board also discussed and accepted Funds Management’s proposal to revise the Management Agreement to reduce the management fees paid by the Fund to Funds Management, and noted that the net operating expense ratio caps for the Fund’s Class A, Class C, Class R, Administrator Class, Institutional Class and Class R6 would be reduced.

The Board concluded that the Fund’s fee and expense arrangements, including contractual breakpoints, constituted a reasonable approach to sharing potential economies of scale with the Fund and its shareholders.

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 relationships 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 relationships with the Fund. The Board noted that various affiliates of Funds Management may receive distribution-related fees, shareholder servicing payments and sub-transfer agency fees in respect of shares sold or held through them and services provided.

The Board also reviewed information about soft dollar credits earned and utilized by the Sub-Adviser, fees earned by Funds Management and the Sub-Adviser from managing a private investment vehicle for the fund family’s securities lending collateral and commissions earned by an affiliated broker from portfolio transactions.

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

At the Meeting, 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 a one-year term and determined that the compensation payable to Funds Management and the Sub-Adviser under each of the Advisory Agreements was reasonable.

38 Wells Fargo Special Mid Cap Value Fund Appendix A (unaudited)

SALES CHARGE REDUCTIONS AND WAIVERS FOR CERTAIN INTERMEDIARIES

Ameriprise

Effective June 1, 2018, shareholders purchasing Fund shares through an Ameriprise Financial platform or account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Ameriprise Financial

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs or SAR-SEPs.

• Shares purchased through an Ameriprise Financial investment advisory program (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased by third party investment advisors on behalf of their advisory clients through Ameriprise Financial’s platform (if an Advisory or similar share class for such investment advisory program is not available)

• Shares purchased through reinvestment of distributions and dividend reinvestment when purchasing shares of the same Fund (but not any other fund within the same fund family)

• Shares exchanged from Class C shares of the same fund in the month of or following the 10-year anniversary of the purchase date. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to such shares following a shorter holding period, that waiver will apply to exchanges following such shorter period. To the extent that the Fund’s prospectus elsewhere provides for a waiver with respect to exchanges of Class C shares for load-waived shares, that waiver will also apply to such exchanges.

• Employees and registered representatives of Ameriprise Financial or its affiliates and their immediate family members

• Shares purchased by or through qualified accounts (including IRAs, Coverdell Education Savings Accounts, 401(k)s, 403(b) TSCAs subject to ERISA and defined benefit plans) that are held by a covered family member, defined as an Ameriprise financial advisor and/or the advisor’s spouse, advisor’s lineal ascendant (mother, father, grandmother, grandfather, great grandmother, great grandfather), advisor’s lineal descendant (son, step-son, daughter, step-daughter, grandson, granddaughter, great grandson, great granddaughter) or any spouse of a covered family member who is a lineal descendant

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (i.e. Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

Automatic Exchange of Class C Shares Available at Ameriprise Financial

• Class C shares will automatically exchange to Class A shares in the month of the 10-year anniversary of the purchase date.

Merrill Lynch

Effective April 10, 2017, shareholders purchasing Fund shares through a Merrill Lynch platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares available at Merrill Lynch

• Employer-sponsored retirement, deferred compensation and employee benefit plans (including health savings accounts) and trusts used to fund those plans, provided that the shares are not held in a commission-based brokerage account and shares are held for the benefit of the plan

• Shares purchased by or through a 529 Plan

• Shares purchased through a Merrill Lynch affiliated investment advisory program

Appendix A (unaudited) Wells Fargo Special Mid Cap Value Fund 39

• Shares purchased by third party investment advisors on behalf of their advisory clients through Merrill Lynch’s platform

• Shares of funds purchased through the Merrill Edge Self-Directed platform (if applicable)

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family)

• Shares exchanged from Class C (i.e. level-load) shares of the same fund in the month of or following the 10-year anniversary of the purchase date

• Employees and registered representatives of Merrill Lynch or its affiliates and their family members, as defined by Merrill Lynch, which may differ from the definition of family member in the Fund’s prospectus.

• Directors or Trustees of the Fund, and employees of the Fund’s investment adviser or any of its affiliates, as described in the Fund’s prospectus

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement). Subject to the Fund’s policy regarding frequent purchases and redemptions of Fund shares, you may not be able to repurchase shares for the first 30 days after your redemption.

CDSC Waivers on A, B and C Shares available at Merrill Lynch

• Death or disability of the shareholder

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s prospectus

• Return of excess contributions from an IRA Account

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½

• Shares sold to pay Merrill Lynch fees but only if the transaction is initiated by Merrill Lynch

• Shares acquired through a right of reinstatement

• Shares held in retirement brokerage accounts, that are exchanged for a lower cost share class due to transfer to certain fee based accounts or platforms (applicable to A and C shares only)

Front-end load Discounts Available at Merrill Lynch: Breakpoints, Rights of Accumulation & Letters of Intent

• Breakpoints as described in the Fund’s prospectus

• Rights of Accumulation (ROA) which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Merrill Lynch. Eligible fund family assets not held at Merrill Lynch may be included in the ROA calculation only if the shareholder notifies his or her financial advisor about such assets.

• Letters of Intent (LOI) which allow for breakpoint discounts based on anticipated purchases within a fund family, through Merrill Lynch, over a 13-month period of time (if applicable)

Morgan Stanley

Effective on or about July 1, 2018, shareholders purchasing Fund shares through a Morgan Stanley Wealth Management transactional brokerage account will be eligible only for the following Class A load waivers (front-end sales charge waivers), which may differ from and be more limited than those disclosed in the Fund’s prospectus or Statement of Additional Information.

Front-end Sales Load Waivers on Class A Shares Available at Morgan Stanley

• Employer-sponsored retirement plans (e.g., 401(k) plans, 457 plans, employer-sponsored 403(b) plans, profit sharing and money purchase pension plans and defined benefit plans). For purposes of this provision, employer-sponsored retirement plans do not include SEP IRAs, Simple IRAs, SAR-SEPs or Keogh plans.

• Morgan Stanley employee and employee-related accounts according to Morgan Stanley’s account linking rules

• Shares purchased through reinvestment of dividends and capital gains distributions when purchasing shares of the same fund

• Shares purchased through a Morgan Stanley self-directed brokerage account

40 Wells Fargo Special Mid Cap Value Fund Appendix A (unaudited)

• Class C (i.e., level-load) shares that are no longer subject to a contingent deferred sales charge and are exchanged to Class A shares of the same fund pursuant to Morgan Stanley Wealth Management’s share class exchange program.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (i) the repurchase occurs within 90 days following the redemption, (ii) the redemption and purchase occur in the same account, and (iii) redeemed shares were subject to a front-end or deferred sales charge. This waiver is subject to the Fund’s policy regarding frequent purchases and redemption of Fund shares, as discussed under “Account Information—Frequent Purchases and Redemptions of Fund Shares” in the Fund’s prospectus.

Raymond James & Associates, Inc., Raymond James Financial Services & Raymond James affiliates (“Raymond James”)

Effective on or about March 1, 2019, shareholders purchasing Fund shares through a Raymond James platform or account will be eligible only for the following load waivers (front-end sales charge waivers and contingent deferred, or back-end, sales charge waivers) and discounts, which may differ from those disclosed elsewhere in the Fund’s Prospectus or SAI.

Front-end Sales Load Waivers on Class A shares Available at Raymond James

• Shares purchased in an investment advisory program.

• Shares purchased through reinvestment of capital gains distributions and dividend reinvestment when purchasing shares of the same fund (but not any other fund within the fund family).

• Employees and registered representatives of Raymond James or its affiliates and their family members as designated by Raymond James.

• Shares purchased from the proceeds of redemptions within the same fund family, provided (1) the repurchase occurs within 90 days following the redemption, (2) the redemption and purchase occur in the same account, and (3) redeemed shares were subject to a front-end or deferred sales load (known as Rights of Reinstatement).

• A shareholder in the fund’s Class C shares will have their shares automatically exchanged at net asset value to Class A shares (or the appropriate share class) of the fund if the shares are no longer subject to a CDSC and the exchange is in line with the policies and procedures of Raymond James.

CDSC Waivers on Class A and C Shares Available at Raymond James

• Death or disability of the shareholder.

• Shares sold as part of a systematic withdrawal plan as described in the Fund’s Prospectus.

• Return of excess contributions from an IRA Account.

• Shares sold as part of a required minimum distribution for IRA and retirement accounts due to the shareholder reaching age 70½ as described in the Fund’s prospectus.

• Shares sold to pay Raymond James fees but only if the transaction is initiated by Raymond James.

• Shares acquired through a right of reinstatement.

Front-end Load Discounts Available at Raymond James: Breakpoints, and/or Rights of Accumulation

• Breakpoints as described in the Fund’s Prospectus.

• Rights of accumulation which entitle shareholders to breakpoint discounts will be automatically calculated based on the aggregated holding of fund family assets held by accounts within the purchaser’s household at Raymond James. Eligible fund family assets not held at Raymond James may be included in the rights of accumulation calculation only if the shareholder notifies his or her financial advisor about such assets.

For more information

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

Wells Fargo Funds

P.O. Box 219967

Kansas City, MO 64121-9967

Website: wellsfargofunds.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 the Fund. If this report is used for promotional purposes, distribution of the report must be accompanied or preceded by a current prospectus. Before investing, please consider the investment objectives, risks, charges, and expenses of the investment. For a current prospectus and, if available, a summary prospectus, containing this information, call 1-800-222-8222 or visit the Fund’s website at wellsfargofunds.com. Read the prospectus carefully before you invest or send money.

Wells Fargo Asset Management (WFAM) is the trade name for certain investment advisory/management firms owned by Wells Fargo & Company. These firms include but are not limited to Wells Capital Management Incorporated and Wells Fargo Funds Management, LLC. Certain products managed by WFAM entities are distributed by Wells Fargo Funds Distributor, LLC (a broker/dealer and Member FINRA).

This material is for general informational and educational purposes only and is NOT intended to provide investment advice or a recommendation of any kind—including a recommendation for any specific investment, strategy, or plan.

NOT FDIC INSURED  ◾  NO BANK GUARANTEE  ◾   MAY LOSE VALUE

© 2018 Wells Fargo Funds Management, LLC. All rights reserved.

317295 11-18 A234/AR234 09-18

ITEM 2. CODE OF ETHICS

(a) As of the end of the period covered by the report, Wells Fargo Funds Trust has adopted a code of ethics that applies to its President and Treasurer. A copy of the code of ethics is filed as an exhibit to this Form N-CSR.

(c) During the period covered by this report, there were no amendments to the provisions of the code of ethics adopted in Item 2(a) above.

(d) During the period covered by this report, there were no implicit or explicit waivers to the provisions of the code of ethics adopted in Item 2(a) above.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT

The Board of Trustees of Wells Fargo Funds Trust has determined that Judith Johnson is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Mrs. Johnson is independent for purposes of Item 3 of Form N-CSR.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES

(a), (b), (c), (d) The following table presents aggregate fees billed in each of the last two fiscal years for services rendered to the Registrant by the Registrant’s principal accountant. These fees were billed to the registrant and were approved by the Registrant’s audit committee.

	Fiscal year ended September 30, 2018		Fiscal year ended September 30, 2017
Audit fees	$	372,201	$	360,232
Audit-related fees		—		—
Tax fees (1)		48,510		46,665
All other fees		—		—
	$	420,711	$	406,897

⁽¹⁾  Tax fees consist of fees for tax compliance, tax advice, tax planning and excise tax.

(e) The Chairman of the Audit Committees is authorized to pre-approve: (1) audit services for the mutual funds of Wells Fargo Funds Trust; (2) non-audit tax or compliance consulting or training services provided to the Funds by the independent auditors (“Auditors”) if the fees for any particular engagement are not anticipated to exceed $50,000; and (3) non-audit tax or compliance consulting or training services provided by the Auditors to a Fund’s investment adviser and its controlling entities (where pre-approval is required because the engagement relates directly to the operations and financial reporting of the Fund) if the fee to the Auditors for any particular engagement is not anticipated to exceed $50,000. For any such pre-approval sought from the Chairman, Management shall prepare a brief description of the proposed services. If the Chairman approves of such service, he or she shall sign the statement prepared by Management. Such written statement shall be presented to the full Committees at their next regularly scheduled meetings.

(f) Not applicable

(g) Not applicable

(h) Not applicable

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS

Not applicable.

ITEM 6. INVESTMENTS

A Portfolio of Investments for each series of Wells Fargo Funds Trust 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 MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS

Not applicable.

ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s Board of Trustees that have been implemented since the registrant’s last provided disclosure in response to the requirements of this Item.

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 fiscal 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) Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as Exhibit COE.

(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/ Andrew Owen
	Andrew Owen
	President
Date:	November 26, 2018

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:	Andrew Owen
	Andrew Owen
	President
Date:	November 26, 2018
By:	/s/ Nancy Wiser
	Nancy Wiser
	Treasurer
Date:	November 26, 2018
By:	/s/ Jeremy DePalma
	Jeremy DePalma
	Treasurer
Date:	November 26, 2018