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 811-21872
Mutual Fund Series Trust
(Exact name of Registrant as specified in charter)
4221 North 203rd Street, Suite 100, Elkhorn, NE 68022
(Address of principal executive offices) (Zip code)
Ultimus Fund Solutions
80 Arkay Drive, Suite 100, Hauppauge, NY 1788
(Name and address of agent for service)
Registrant's telephone number, including area code: 402-895-1600
Date of fiscal year end: 6/30
Date of reporting period: 6/30/23
ITEM 1. REPORTS TO SHAREHOLDERS.
ANNUAL REPORT
Catalyst Insider Buying Fund
(INSAX, INSCX, INSIX)
Catalyst Energy Infrastructure Fund
(MLXAX, MLXCX, MLXIX)
Catalyst/MAP Global Equity Fund
(CAXAX, CAXCX, CAXIX)
Catalyst/Lyons Tactical Allocation Fund
(CLTAX, CLTCX, CLTIX)
Catalyst Dynamic Alpha Fund
(CPEAX, CPECX, CPEIX)
June 30, 2023
Mutual Fund Series Trust
CATALYST FUNDS
ANNUAL REPORT
TABLE OF CONTENTS
| Portfolio Review | Page 1 |
| Schedules of Investments | Page 20 |
| Statements of Assets and Liabilities | Page 35 |
| Statements of Operations | Page 37 |
| Statements of Changes in Net Assets | Page 39 |
| Financial Highlights | Page 41 |
| Notes to Financial Statements | Page 51 |
| Supplemental Information | Page 63 |
| Expense Example | Page 79 |
| Privacy Notice | Page 80 |
June 30, 2023
Catalyst Insider Buying Fund (INSAX, INSCX, INSIX) (unaudited)
Dear Shareholders,
The Catalyst Insider Buying Fund (the “Fund”) invests in large-capitalization U.S. companies that are experiencing corporate insider buying. Over the past year, we have witnessed diverse insider buying across sectors. With a wide range of insider buying opportunities to choose from, we focused on the insider buying at companies that have the highest quality earnings growth potential and revenue growth potential. During FY 2023, the Fund outperformed the S&P500 Total Return Index1 benchmark. The outperformance relative to the benchmark was driven by strong performance from secular, high growth companies amid a resilient market.
Investment Strategy
The Fund’s strategy uses a quantitative methodology that ranks insider activity based on the strength of the signals that insiders are generating relative to how many executives are buying and how many shares they are purchasing. We believe that corporate insiders understand their own firm better than any outside investor possibly could.
The advisor uses public information that is filed with the Securities and Exchange Commission (SEC) on corporate insider and large shareholder buying and selling activity for its investment decisions. Numerous academic studies and our own research of insider trading data over long periods of time have resulted in the development of a proprietary method of analyzing activity that we believe can provide long-term capital appreciation. When looking at SEC filings, we focus on the insider identity (position in the company), potential motivations for buying, insider trading trends, trading volumes, firm size, and other factors to select stocks for the portfolio. We sell stocks when the relevant insider trading trends reverse or when portfolio positions achieve or no longer provide the targeted risk-adjusted return.
Fund Performance
The Fund outperformed its S&P500 Total Return Index benchmark during FY 2023. The Fund saw relative outperformance from holdings in the healthcare and consumer discretionary sectors and relative underperformance in the information technology and communication services sectors.
At the start of FY 2023, we believed that the Fund held several companies that were undervalued by the market. The largest holdings of the Fund were tilted heavily towards companies that we believed were intrinsically underpriced relative to their fundamentals and growth prospects. Despite daunting headlines, including the collapse of five banks, continued geopolitical uncertainty, and concerns related to the U.S. debt crisis, domestic markets have remained resilient. Given our positioning at the start of the fiscal year, we were able to capture significant gains in companies that have moved back into favor with investors. As information technology companies have accounted for much of the gains in 2023 thus far in broader equity markets, we feel comfortable positioning ourselves in risk-on assets that have high revenue growth, strong margins, and disruptive business models.
We are optimistic heading into the second half of 2023 and believe that the Fund is well-positioned. There are still questions regarding how far the Fed will go with their interest rate hiking cycle and the impact that will have on the equity market. During times of uncertainty, we think it is even more important to look at the insider buying actions of corporate executives as they are the people who are the most well-informed about their company’s prospects for the future. We follow a long- term strategy that invests in companies whose insiders believe their own shares are undervalued.
The Fund’s total returns for the fiscal year ended 06/30/23 and for the period since inception through 06/30/23 as compared to the S&P500 Total Return Index were as follows:
| | Fiscal Year | 5 Years | 10 Years | Since Inception 2 |
| Class A | 32.57% | -4.11% | 2.25% | 4.77% |
| Class C | 31.52% | -4.83% | 1.48% | 4.20% |
| S&P 500 Total Return Index | 19.59% | 12.31% | 12.86% | 13.13% |
| Class A with Sales Charge | 24.95% | -5.24% | 1.64% | 4.25% |
| | Fiscal Year | 5 Years | 10 Years | Since Inception 2 |
| Class I | 32.87% | -3.87% | N/A | 0.15% |
| S&P 500 Total Return Index | 19.59% | 12.31% | N/A | 11.62% |
Inception Date: 07/29/2011 for Class A and Class C, 6/6/14 for Class I
Investments in mutual funds involve risks. Performance is historic and does not guarantee future results. Investment return and principal value will fluctuate with changing market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. To obtain the most recent month-end performance information or the Fund’s prospectus please call the Fund, toll free at 1-866-447-4228. You can also obtain a prospectus at www.CatalystMF.com.
Summary
The Fund holds a relatively concentrated portfolio of large-capitalization U.S. companies experiencing significant insider buying—situations where those who know the most about the company are taking their own money and putting it back in the company through open market purchases. By reviewing numerous academic studies and performing our own historical research, we’ve found that this strategy can outperform the S&P 500 Total Return Index over the long run. Successful investing requires a long-term outlook focused on objective criteria that create value. We have adopted this outlook for the Fund, and we are pleased that you have decided to share in our vision.
Sincerely,
David Miller
Senior Portfolio Manager
This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current Fund prospectus. To obtain a prospectus or other information about the Fund, please visit www.CatalystMF.com or call 1-866-447-4228. Please read the prospectus carefully before investing.
| 1 | The S&P500 Total Return Index by Standard & Poor’s Corp. is a capitalization-weighted index comprising 500 issues listed on various exchanges, representing the performance of the stock market generally. Please note that indices do not take into account any fees and expenses of investing in the individual securities that they track, and individuals cannot invest directly in any index, although individuals may invest in exchange traded funds or other investment vehicles that attempt to track the performance of an index. The Fund may or may not purchase the types of securities represented by the S&P500 Total Return Index. |
| 2 | Since inception returns assume inception date of 07/29/2011 for Class A and Class C shares and 06/06/2014 for the Class I shares. The performance information quoted in this Annual Report assumes the reinvestment of all dividend and capital gain distributions, if any, and represents past performance, which is not a guarantee of future results. An investor’s return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data quoted. Updated performance data to the most recent month-end can be obtained by calling the Fund at 1-866-447-4228. There is a maximum sales load of 5.75% (“sales load”) on certain Class A subscriptions. A 1% Contingent Deferred Sales Charge (“CDSC fee”) is imposed on certain redemptions of Class A shares held less than two years after the date of purchase (excluding shares purchased with reinvested dividends and/or distributions). The returns shown do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. |
5549-NLD-7/19/2023
June 30, 2023
Catalyst Energy Infrastructure Fund (MLXAX, MLXCX, MLXIX)
Dear Fellow Shareholders,
The Catalyst Energy Infrastructure Fund (the “Fund”) (MLXAX, MLXCX & MLXIX) returned +22.42% for the fiscal year ended June 30, 2023 (Class I share). This performance (for Class I) was 8.09% behind our benchmark, the Alerian MLP Total Return Index. Since inception, the Fund has returned -0.12%, and its benchmark has returned 0.11%. The Fund invests in the securities of corporations and master limited partnerships (MLPs) that derive a majority of their revenue from energy infrastructure activities. The manager believes that valuations are compelling, and the Fund has attractive upside potential.
Investment Strategy
The Fund seeks to achieve its investment objective by primarily investing in the publicly listed equity securities of U.S. and Canadian companies that generate a majority of their cash flow from midstream energy infrastructure activities. The Fund’s strategy aims to achieve current income and capital appreciation over the long-term. The Fund may also invest in the equity securities of MLPs (publicly traded partnerships) engaged in energy-related businesses. Most of the entities in which the Fund will invest derive a majority of their revenue from “midstream” energy infrastructure-related activities, including the treatment, gathering, compression, processing, transportation, transmission, fractionation, storage, and terminaling of natural gas, natural gas liquids, crude oil, and refined products. Under normal conditions, the Fund invests at least 80% of its net assets (plus borrowings for investment purposes) in companies that derive a majority of their revenue from energy infrastructure activities. The Fund may invest in U.S. and foreign issuers of any market capitalization. The Fund intends to be taxed as a regulated investment company (“RIC”) and comply with all RIC-related restrictions, including limiting its investment in entities taxed as limited partnerships, including MLPs, to 25%.
The Fund seeks to pay a monthly distribution of no less than $0.10 per share. To the extent that this exceeds the distribution yield on the underlying portfolio, a portion of the Fund’s distribution may be classified as a return of capital for tax purposes.
Fiscal Year 2023 Performance
The fiscal year 2023 performance was a continuation of the sector’s recovery following the Covid low of March 2020. MLPs outperformed corporations as increased risk tolerance among investors led some to favor smaller companies. Since the Alerian MLP Total Return Index is 100% MLPs, the Fund lagged with its 25% limit on MLP holdings. Global demand for hydrocarbons continued to grow and energy companies generally maintained fiscal discipline regarding growth investments. We believe the Fund is well positioned to achieve long term outperformance and believe that midstream energy infrastructure will generate attractive returns for investors.
The Fund’s total returns for the period since inception1 and YTD through 06/30/23 as compared to the Alerian MLP Total Return Index2 were as follows (unaudited):
| | YTD 2023
(06/30/23) | 1 Year
(06/30/23) | Since Inception
(12/22/14)1 |
| Class A | 9.46% | 22.08% | --0.38% |
| Class C | 9.02% | 21.15% | -1.10% |
| Class I | 9.61% | 22.42% | -0.12% |
| Alerian MLP Total Return Index2 | 9.70% | 30.51% | 0.11% |
| Class A with Sales Charge | 3.15% | 15.06% | -1.07% |
The Fund’s maximum sales charge for Class A shares is 5.75%. Investments in mutual funds involve risks. Performance is historic and does not guarantee future results. Investment return and principal value will fluctuate with changing market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. To obtain the most recent month- end performance information or the Fund’s prospectus please call the Fund, toll free at 1-866-447-4228. You can also obtain a prospectus at www.CatalystMF.com.
Portfolio Holdings
We emphasize securities with exposure to midstream infrastructure, predominantly fee-based cash flows, better than average visibility around future earnings, and attractive growth prospects. As of June 30, 2023, we held 24 names.
As of June 30, 2023, the Fund’s top five holdings were as follows (unaudited):
| Fund’s Top 5 Holdings | % of Total Investments |
| NextDecade Corp | 9.4% |
| Cheniere Energy, Inc | 9.3% |
| Energy Transfer | 9.1% |
| Williams Companies | 8.1% |
| Equitrans Corp | 6.4% |
Percentages in the above table are based on market value of the Fund’s portfolio as of June 30, 2023. Holdings are subject to change and should not be considered investment advice.
As of June 30, 2023, the Fund’s equity holdings were divided among economic industries as follows (unaudited):
| Industry Common Stock | |
| Gathering & Processing | 19.2% |
| LNG Transportation & Storage | 18.7% |
| Canadian Energy Infrastructure | 11.9% |
| Natural Gas Transportation & Storage | 11.9% |
| NGL Energy Infrastructure | 9.3% |
| Mixed Energy Infrastructure MLP | 9.1% |
| NGL Energy Infrastructure MLP | 4.4% |
| Crude Transportation & Storage | 4.4% |
| Refined Products Transportation & Storage MLP | 3.4% |
| Canadian Natural Gas Transportation & Storage | 1.8% |
| Gathering & Processing MLP | 1.8% |
| Canadian Crude Transportation & Storage | 1.7% |
| Liquids Transportation & Storage MLP | 1.7% |
| Refining | 0.5% |
| Cash | 0.3% |
Percentages in the above table are based on market value (excluding collateral) of the Fund’s portfolio as of June 30, 2023.
Summary
We believe that investing in U.S. midstream energy infrastructure represents a way to seek to benefit from the development of shale oil and gas resources in the U.S. Moreover, the Fund is structured as a pass-through vehicle and as such incurs no tax liability of its own. Consequently, the tax characteristics of the cash flows received from its holdings are passed through to investors in the Fund, unlike many other RICs that invest in MLPs.
The continued strength in global energy demand and Europe’s pivot away from Russian natural gas supplies represent a very positive environment for midstream energy infrastructure companies. We believe the sector continues to offer attractive upside. We are glad you share in this vision, and we value your investment with us. Your portfolio management team is currently invested in the strategy alongside you.
Sincerely,
Simon Lack
Portfolio Manager
This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current Fund prospectus. To obtain a prospectus or other information about the Fund, please visit www.CatalystMF.com or call 1-866-447-4228. Please read the prospectus carefully before investing.
| 1 | Since inception returns assume inception date of 12/22/2014. The performance information quoted in this Annual Report assumes the reinvestment of all dividend and capital gain distributions, if any, and represents past performance, which is not a guarantee of future results. An investor’s return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data quoted. Updated performance data to the most recent month- end can be obtained by calling the Fund at 1-866-447-4228. There is a maximum sales load of 5.75% (“sales load”) on certain Class A subscriptions. A 1% Contingent Deferred Sales Charge (“CDSC fee”) is imposed on certain redemptions of Class A shares held less than two years after the date of purchase (excluding shares purchased with reinvested dividends and/or distributions). The returns shown do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. |
| 2 | The Alerian MLP Total Return Index is the leading gauge of large- and mid-cap energy MLPs. The float-adjusted, capitalization-weighted index includes 50 prominent companies and captures approximately 75% of available market capitalization. Please note that indices do not take into account any fees and expenses of investing in the individual securities that they track, and individuals cannot invest directly in any index, although individuals may invest in exchange traded funds or other investment vehicles that attempt to track the performance of an index. The Catalyst Energy Infrastructure Fund may or may not purchase the types of securities represented by the Alerian MLP Total Return Index. |
5587-NLD-8/2/2023
June 30, 2023
Catalyst/MAP Global Equity Fund (CAXAX, CAXCX, CAXIX) (unaudited)
Dear Fellow Shareholders:
The Catalyst/MAP Global Equity Fund’s (the “Fund”) total returns for the one-year, five-year, ten-year and since inception periods through 06/30/2023 as compared to the MSCI All Country World Stock Index1 and the MSCI All Country World Stock Value Index 2 were as follows (unaudited):
| Fund vs. Index Performance | Current YTD | 1 Year | 5 Years | 10 Years | Since Inception3 |
| Class A without sales charge | 7.10% | 7.65% | 5.12% | 7.37% | 7.32% |
| Class A with sales charge | 0.94% | 1.46% | 3.88% | 6.73% | 6.79% |
| Class C | 6.65% | 6.79% | 4.33% | 6.56% | 6.51% |
| MSCI All Country World Stock Index1 | 14.26% | 17.13% | 8.64% | 9.31% | 8.79% |
| MSCI All Country World Stock Value Index2 | 4.71% | 10.83% | 5.94% | 6.96% | 6.91% |
| Class I (Inception Date – 6/6/14) | 7.22% | 7.90% | 5.39% | n/a | 5.76% |
| MSCI All Country World Stock Index1 | 14.26% | 17.13% | 8.64% | n/a | 7.86% |
| MSCI All Country World Stock Value Index2 | 4.71% | 10.83% | 5.94% | n/a | 5.29% |
The Fund’s maximum sales charge for Class A shares is 5.75%. Investments in mutual funds involve risks. Performance is historic and does not guarantee future results. Investment return and principal value will fluctuate with changing market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. To obtain the most recent month- end performance information or the Fund’s prospectus, please call the Fund, toll-free at 1-866-447-4228. You can also obtain a prospectus at www. CatalystMF.com.
Markets reached peak valuations in 2021, which left them exposed to sharp drawdowns when market dynamics changed. Valuations at the index level are already above their historical averages and are reaching levels they were at in 2020/2021. This implies that growth needs to reach a level larger than is currently expected or interest rates need to decline. Both factors are heavily exposed to the economic environment and cause us to tread carefully. So far this year, corporate results have exceeded expectations. Some of these gains can be attributable to the fact that many companies have been able to successfully pass along higher costs to consumers. However, somewhat alarmingly, profits have also been aided by some companies adopting looser accounting practices. A recent study published in the Journal of Financial Economics found that the aggregate Beneish M-score for U.S. companies was at its highest level in 40 years. The Beneish M-score is a mathematical model that utilizes eight financial ratios to identify potential earnings manipulation. While elevated readings don’t necessarily signal a market top, high readings have historically coincided with tops of economic cycles and therefore suggest that investors exercise caution.
Relative fund performance for the year was capricious in nature. Strong outperformance during the second half of 2022 was eclipsed by underperformance in the first half of 2023 due to outsized performance in technology-related stocks, particularly those involved with Artificial Intelligence (AI). Top contributors to Fund performance for the year were Meta Platforms (META), contributing 156 basis points to the Fund’s overall return, up nearly 78% for the year; Applied Materials (AMAT), contributing 116 basis points to the Fund’s overall return, up over 62% for the year; Novartis (NVS), contributing 100 basis points to the Fund’s overall return, up nearly 25% for the year; Microsoft (MSFT), contributing 95 basis points to the Fund’s overall return, up almost 34% for the year; and Holcim, Ltd. (HOLN SW), contributing 94 basis points to the Fund’s overall return, up almost 65% for the year. While not top contributors,
our covered call positions in The Mosaic Company (MOS) and Nokia contributed 11 and 14 basis points, respectively, to the Fund’s performance for the year. Top detractors to Fund performance for the year were MOS , detracting 82 basis points from the Fund’s overall return, down nearly 24% for the year; Vodafone Group (VOD), detracting 80 basis points from the Fund’s overall return, down over 35% for the year; National Fuel Gas (NFG), detracting 62 basis points from the Fund’s overall return, down nearly 20% for the year; UGI Corporation (UGI), detracting 60 basis points from, the Fund’s overall return, down almost 28% for the year; and Intel (INTC), detracting 46 basis points from the Fund’s overall return, down almost 29% for the year.
In terms of portfolio activity, turnover remains relatively low for the Fund. We did, however, make several changes to the portfolio during the year. We exited shares of Campbell Soup (CPB) after the shares nearly hit our target price and a lack of additional catalysts remained visible at the time of sale. We also exited shares of Grupo Herdez (HERDEZ* MM), as the shares no longer met our required liquidity constraints. United Malt (UMG AU) shares were sold as the company received a takeover offer from Malterie Soufflet (a subsidiary of InVivo). We sold our remaining positions in South Africa (JSE and Multichoice) as the geopolitical/economic environment was becoming increasingly uncertain. And we also sold shares of Koninklijke Philips (PHG) and Intel (INTC), as our projected catalysts failed to emerge. With these sales, also came new additions to the portfolio. We added shares in consumer staple company Unilever (ULVR LN), energy companies Chevron (CVX) and Hess Corp (HES), consumer discretionary company Kering (KER PA), and materials company Grupo Mexico (GMEXICOB MM). Additionally, we received shares of construction materials company Knife River (KNF) from a planned spinoff of MDU Resources (MDU), which was one of the expected catalysts of owning MDU. After the spinoff, we added to our shares of MDU in order to position ourselves positively for the next expected catalysts from the company. Finally, we added to our position in health care company Medtronic (MDT), and re-entered technology company Intel (INTC), as we believed the company had made progress towards delivering on its financial/product goals and felt it was a prudent time to re-enter the name.
Looking ahead, there remains considerable debate about the Federal Reserve’s actions for the second half of 2023. While headline inflation numbers have dropped substantially from where they were a year ago as supply chain constraints stemming from the COVID-19 pandemic have largely been resolved coupled with the Fed’s tightening action, it remains well above the Fed’s stated two percent target. Additionally, sticky inflation (dubbed so because even as prices in the U.S. come down for items such as food and energy, they remain elevated for services such as airfares, rent, and education) remains little changed from its peak. This is because sticky inflation responds slowly to changing economic conditions. With that said, it seems that everyone on Wall Street is a momentum player these days. Since inflation has been trending lower for the past year, many investors believe it will continue downward until it reaches the Fed’s target. We are skeptical of that belief and contend it will be more difficult to bring inflation down from its current five percent level to the Fed’s two percent goal than it was to lower it from the nine percent plus to where it is currently.
As we have stated previously, we believe the Fed is between a rock and a hard place in terms of fulfilling its two official mandates (stable prices and full employment) as well as its unofficial mandate (stabilizing markets during periods of financial duress). Historically, Fed tightening cycles have resulted in breakage of financial markets. The 1929 and 1987 crashes occurred while the Fed was tightening, as did the 2001 recession, and the Great Financial Crisis of 2008, among others. Most recently, the Fed’s tightening actions resulted in the failures of Silicon Valley Bank (SVB), First Republic Bank (FRB) and Signature Bank, as well as the ultimate sale of Credit Suisse to UBS Group AG in the first quarter of 2023, as rising interest rates and jittery depositors pressured banks with extended maturity bonds on their balance sheets. Against this seemingly treacherous backdrop and with some economic indicators, such as those related to manufacturing, signaling a lackluster economy, we question if the Fed will hike rates twice more this year, despite their implied pledge to do so.
While a downturn appears possible, our economic views remain much the same. We expect growth will be hard to come by, hence our continued overweighting towards the consumer staples (which people tend to buy regardless of economic strength) and healthcare sectors (which should benefit from a post-pandemic recovery). We own the technology sector selectively, as we do have high expectations for AI. We also believe select names in the materials
sector should benefit from persistent inflation. We emphasize that our material stocks (such as Grupo Mexico - mentioned above) and Mosaic (MOS)) each have catalysts, such as an increasing need for copper stemming from a projected increase in demand for electric vehicles, and fertilizer as farmers try to increase yield in a volatile global climate environment.
Kindest Regards,
Michael S. Dzialo, Peter J. Swan and Karen M. Culver
Portfolio Managers
This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current Fund prospectus. To obtain a prospectus or other information about the Fund, please visit www.CatalystMF.com or call 1-866-447-4228. Please read the prospectus carefully before investing.
| 1 | The MSCI All Country World Stock Index is a market capitalization-weighted index designed to provide a broad measure of equity-market performance throughout the world. The MSCI ACWI is maintained by Morgan Stanley Capital International and is comprised of stocks from both developed and emerging markets. The Fund may or may not purchase the types of securities represented by the MSCI All Country World Stock Index. |
| 2 | The MSCI All Country World Stock Value Index captures large- and mid-cap securities exhibiting overall value style characteristics across 23 developed markets (DM) countries. The MSCI ACWI Value is maintained by Morgan Stanley Capital International. The Fund may or may not purchase the types of securities represented by the MSCI All Country World Stock Value Index. |
| 3 | Since inception returns assume inception date of 7/29/11. Class I has inception date of 7/29/11. The performance information quoted in this Annual Report assumes the reinvestment of all dividend and capital gain distributions, if any, and represents past performance, which is not a guarantee of future results. An investor’s return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data quoted. Updated performance data to the most recent month-end can be obtained by calling the Fund at 1-866-447-4228. There is a maximum sales load of 5.75% (“sales load”) on certain Class A subscriptions. A 1% Contingent Deferred Sales Charge (“CDSC fee”) is imposed on certain redemptions of Class A shares held less than two years after the date of purchase and Class C shares held less than one year after the date of purchase (excluding in each case, shares purchased with reinvested dividends and/or distributions). The returns shown do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. |
5615-NLD-8/11/2023
June 30, 2023
Catalyst/Lyons Tactical Allocation Fund (CLTAX, CLTCX, CLTIX) (unaudited)
Dear Fellow Shareholders,
We are pleased to provide our annual report for the Catalyst/Lyons Tactical Allocation Fund (the “Fund”), with a discussion of highlights and performance for the fiscal year ended June 30, 2023 (“FY2023”).
Performance Discussion
The Fund returned +3.84% (class A shares) for the fiscal year ending 6/30/2023, compared with +8.84% for the benchmark Lipper Flexible Portfolio Funds Index and +5.08% for the Morningstar Tactical Allocation category. Since inception, CLTAX has returned +140.84% compounded (+8.32% annually), compared with +108.10% for the benchmark (+6.89% annually) and +53.64% for the peer group (+3.98% annually).
Class I Shares
Inception: 6/6/2014 | 1 Year
As of 06/30/23 | 5 Years
As of 06/30/23 | Since Inception1
(6/6/2014 – 6/30/23) |
| Class I | 4.05% | 2.56% | 5.35% |
| Lipper Flexible Portfolio Funds Index2 | 8.84% | 5.92% | 5.28% |
Class A & C Shares
Inception: 7/2/2012 | 1 Year
As of
06/30/23 | 5 Years
As of 06/30/23 | 10 Years
As of 06/30/23 | Since Inception1
(07/02/12 – 06/30/23) |
| Class A | 3.84% | 2.32% | 6.95 | 8.32% |
| Class C | 3.05% | 1.55% | 6.16 | 7.52% |
| Lipper Flexible Portfolio Funds Index2 | 8.84% | 5.92% | 6.46 | 6.89% |
| Class A with Sales Charge | -2.13% | 1.11% | 6.32 | 7.74% |
The Fund’s maximum sales charge for Class “A” shares is 5.75%. Investments in mutual funds involve risks. Performance is historic and does not guarantee future results. Investment return and principal value will fluctuate with changing market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. To obtain the most recent month- end performance information or the Fund’s prospectus please call the Fund, toll free at 1-866-447-4228. You can also obtain a prospectus at www.CatalystMF.com.
The market weakness in the first half of calendar year 2022, paired with a record drop in consumer sentiment, triggered the Catalyst/Lyons Tactical Allocation Fund to make a defensive tactical shift to U.S. Treasuries to start FY2023 on July 1st, with an accompanying whipsaw hedge intended to participate in any potential market reversal against the allocation change. The market rallied fiercely in July on speculation that the Federal Reserve would need to pivot on its hawkish interest rate policy. While our portfolio of 1-10 year Treasury securities was essentially flat for the month of July, gaining +0.33%, our whipsaw hedge quickly kicked into gear, leading the Fund to a +4.00% July gain. Strength continued into August until midway through the month when the Fed reaffirmed its stance. Just before the mid-month top in equity markets, we rolled the hedge to take meaningful profits, and reduce the hedge delta (sensitivity to market moves) to mitigate the potential drag from a market reversal downward. This defensive positioning allowed the Fund to largely avoid the market weakness in the 3rd quarter that led to equity index declines.
The remainder of 2023 saw resilient equity market strength and a break in the positive correlation between stock and Treasury prices that had marked a roughly six-month period through the middle of 2022. Markets climbed a wall of worry in the face of relentless hawkishness from Fed officials, cuts to corporate earnings expectations, and persistent inflation. Fund performance remained relatively flat during this period while equity markets rose.
The Fund remained on defense to start 2023, owing to depressed momentum and consumer sentiment factors. The new year brought a new narrative on inflation. Optimism began to take hold of policy expectations as inflation data showed a slight reduction from its record pace, however still high in absolute terms. This new disinflation narrative fueled hopes that the pace of the Federal Reserve’s interest rate increases would cool off quid pro quo, increasing bets that both inflation and policy tightening had peaked. However, the shift from the fervent goods spending that took place during Covid restrictions, back toward services that suffered during the same period, continues leading a shift in the trends underpinning strong inflation. The Fed remained devoted to its overarching “higher for longer” and “raise and hold” messaging, though began to show cracks after the December CPI reading on January 10th triggered an acknowledgment of cooling inflation by policymakers, and a concession that a slowdown in the pace of rate hikes is coming. Projections for the February FOMC meeting quickly priced in a reduction to a 25 bps rate hike, which was all but telegraphed when the Fed made it official on February 1st. Investors were enthusiastic in their takeaways. The S&P 500 rallied over 6% for the month of January. The strength was attributed in large part to depressed positioning and short covering, with some of the most heavily shorted stocks among January’s biggest winners. Improved sentiment surrounding inflation and rate policy also led to gains in fixed income, with Treasury yields declining across most of the curve. Signaling, however, remained recessionary as the short end rose and curve inversion continued.
Conflicting signals and competing dynamics had equity markets largely consolidating the remainder of Q1. February was mostly a cool-off period for investors to digest the implications of the modest rate of disinflation after the prior month’s enthusiastic celebration. March’s bank failures kept the bulls in check, and quick action by regulators, the Fed, and Treasury held the bears at bay. Treasury prices resumed their positive correlation to stocks during the quarter while markets worked through the mixed signals around inflation and the Fed’s policy path. Despite a brief risk-off flight to safety during the handful of bank failures in March, the positive cross asset correlation remained in place and allowed the Fund to trend with markets but with less volatility. The Fund posted a +1.56% in Q1, trailing its benchmark and market indexes that largely held onto January’s gains.
In the 2nd quarter of 2023 and the final quarter of the Fund’s fiscal year, fears over the debt ceiling as the June 1st deadline approached (and headlines ramped up heavily) undeservingly stole the spotlight from improving inflation expectations. A late month debt ceiling deal took a notable tail risk off the table. Though market reaction was relatively subdued, the S&P 500 broke free of its recent trading range and above the 4,200 level for the first time since August 2022, shortly after the Fund made a tactical shift to the safe haven asset of U.S. Treasuries. The rising longer-term trends in equity markets and consumer sentiment delivered a positive signal from our risk indicators. The Fund tactically shifted its portfolio allocation back to U.S. equities to start June after an 11-month defensive positioning that held investor capital steady. Concurrent with the allocation shift, the Fund implemented a whipsaw hedge with options on equity market indexes intended to mitigate the risk of a potential reversal in market strength over the coming months. This hedge provided a great degree of protection for Fund investors during the COVID market crash in February-March 2020, resulting in a drawdown approximately half the degree of the broader market.
Equity markets rolled momentum through June, building on the late May debt ceiling resolution that removed a key tail risk. The S&P 500 posted its best month of the year with a 6.47% gain. The disinflation trend gained traction with the release of May CPI data that showed the slowest annual increase in headline inflation since early 2021. Thus, the Fed’s June pause in rate hikes was expected and priced in. Recession odds worked their way down, with increased calls for a soft landing being the more likely scenario in the event that recession
strikes. These positive dynamics culminated in a large increase in consumer sentiment (+9%) as measured by the University of Michigan’s final reading for the month of June, reflecting rapid improvement in economic and inflation expectations.
The Catalyst/Lyons Tactical Allocation Fund tactically shifted its portfolio allocation back to U.S. equities in early June. The Fund gained +3.76% for the month, compared with +3.23% for the benchmark Lipper Flexible Portfolio Funds Index and +3.74% for the Morningstar Tactical Allocation peer group. It must be noted that due to the timing of our allocation change (the Fund held its defensive portfolio of U.S. Treasuries at the close of May 31st and through June 1st) equities were not yet owned during the market’s 1-2% rally that kick-started the month. A more representative measurement period to compare portfolio performance accounts for this timing. The Fund’s equity portfolio gained +5.21% from initial allocation. Across the same time period, the S&P 500 gained +5.43% if measured from the June 1st market close, and approximately +5.00% when excluding the early day gains on June 2nd as the Fund began its shift to equities. Leadership came from selections in the Industrials sector, led by Grainger (NYSE:GWW, +4.33%) gaining +16.35% for June, and Consumer Discretionary, led by Penske Automotive Group (NYSE:PAG, +4.24%) with a +13.85% gain. With a median gain of +4.97% and 22 out of 25 stocks gaining, portfolio strength was led by a concentrated group of stocks (much like the S&P 500), with an average +12.88% gain among the top 5 winners and just a -0.63% average loss from the three decliners. The portfolio boasts a slight value stock tilt, with value stocks generating the highest outperformance relative to their respective style index.
Closing
Markets have remained strong due in part to resilient economic activity in the face of high inflation. With the rate of price growth slowing meaningfully in recent months, and a resilient consumer, tail risks of a hard landing have dissipated. Downside risks do remain, with the lagged effect of Fed rate policy decisions. The Fund is positioned to grow with continued equity market strength, while also providing a buffer against large near-term declines. We thank you for your continued support.
Sincerely,
Matthew N. Ferratusco, CIPM
Portfolio Manager
Lyons Wealth Management, LLC, Fund Sub-Adviser
Alexander Read
CEO
Lyons Wealth Management, LLC, Fund Sub-Adviser
This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current Fund prospectus. To obtain a prospectus or other information about the Fund, please visit www.CatalystMF.com or call 1-866-447-4228. Please read the prospectus carefully before investing.
| 1 | Since inception returns assume inception date of 07/02/2012 The performance information quoted in this Annual Report assumes the reinvestment of all dividend and capital gain distributions, if any, and represents past performance, which is not a guarantee of future results. An investor’s return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data quoted. Updated performance data to the most recent month-end can be obtained by calling the Fund at 1-866-447-4228. There is a maximum sales load of 5.75% (“sales load”) on certain Class A subscriptions. A 1% Contingent Deferred Sales Charge (“CDSC fee”) is imposed on certain redemptions of Class A shares held less than two years after the date of purchase (excluding shares purchased with reinvested dividends and/or distributions). The returns shown do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. |
| 2 | Lipper Flexible Portfolio Funds Index measures the unweighted average total return performance of the thirty largest share classes (as available) of funds in the Flexible Portfolio Funds classification. The full list of Lipper Index components is available directly from Lipper. Lipper Indices are unmanaged. The Thomson Reuters Lipper Fund Awards, granted annually, highlight funds and fund companies that have excelled in delivering consistently strong risk-adjusted performance relative to their peers. The Lipper Fund Awards are based on the Lipper Leader for Consistent Return rating, which is a risk-adjusted performance measure calculated over 36, 60 and 120 months. The fund with the highest Lipper Leader for Consistent Return (Effective Return) value in each eligible classification wins the Lipper Fund Award. For more information, see www.lipperfundawards.com. Although Lipper makes reasonable efforts to ensure the accuracy and reliability of the data contained herein, the accuracy is not guaranteed by Lipper. There is no assurance that the Fund will achieve its investment objective. |
5654-NLD-8/28/2023
June 30, 2023
Catalyst Dynamic Alpha Fund (CPEAX, CPECX, CPEIX) (unaudited)
Dear Fellow Shareholders,
We are pleased to provide you with the annual report for the Catalyst Dynamic Alpha Fund (the “Fund”). Since collaborating with Catalyst Funds more than a decade ago to offer our flagship equity investment strategy as a mutual fund, we have made numerous significant accomplishments. We have leveraged the distribution advantages afforded through our partnership, vastly expanded the accessibility of the strategy, and produced noteworthy investment results for our investors. We continue to build upon our prior successes and are confident in our future.
The Fund’s total returns through 06/30/23 as compared to the S&P 500 Total Return Index1 are as follows:
| Fund vs Index Performance | Fiscal Year
(06/30/22-06/30/23) | Since Inception
(12/22/11-06/30/23)2 |
| Class A without sales charge | 16.55% | 12.74% |
| Class A with sales charge | 9.85% | 12.16% |
| Class C | 15.65% | 11.90% |
| Class I (Inception Date – 6/6/14) | 16.85% | 10.33% |
| S&P 500 Total Return Index1 | 19.59% | 13.81% |
The Fund’s maximum sales charge for Class A shares is 5.75%. Investments in mutual funds involve risks. Performance is historic and does not guarantee future results. Investment return and principal value will fluctuate with changing market conditions so that when redeemed, shares may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. To obtain the most recent month- end performance information or the Fund’s prospectus please call the Fund, toll free at 1-866-447-4228. You can also obtain a prospectus at www.CatalystMF.com.
The Fund seeks to achieve long-term capital appreciation by investing in what we believe to be outperforming securities from industries that are displaying emerging strength. Our security selection methodology is built upon proprietary quantitative algorithms, which are applied to both individual securities and custom industry groupings. This highly replicable selection approach is paired with an open architecture portfolio construction mandate that affords the portfolio management team the freedom to create and tactically shift portfolio exposures as market dynamics dictate. This style-agnostic approach, we believe, results in a nimble portfolio, which has produced a performance history that often displays a lower correlation to the broad equity market than more traditional institutional strategies.
The Fund modestly underperformed the broad equity market over the trailing one-year timeframe, but that masks the highly bifurcated nature of results in the Fund and the stock market over that time. For the first half of the period, equities struggled under the pressure of ever higher interest rates as the Federal Reserve aimed to tamp out inflationary pressures. However, as the calendar flipped, stocks quickly shifted to rally mode. Investments which performed well in one half of the period largely underperformed in the other half. The Fund navigated the first six months of the past year in top form but struggled to keep up with the advance in the most recent six-month period. This dynamic is well illustrated by the performance of the Fund’s investments in the Technology sector. Selections in the space produced robust outperformance of the benchmark and the sector from June 2022 through December 2022 but gave back all that advantage over the six months ending in June 2023 as leadership trends acutely switched. As a result of these factors, portfolio positioning in the Fund has adjusted. Investments in the Consumer Discretionary sector have risen from zero one year ago to benchmark weight today while Finance investments have been cut in half.
As of June 30, 2023, the portfolio was allocated in the following fashion.
| Sector Allocation | % Assets |
| Information Technology | 28.0% |
| Industrials | 20.7% |
| Health Care | 16.1% |
| Consumer Discretionary | 12.2% |
| Consumer Staples | 11.0% |
| Financials | 7.2% |
| Real Estate | 2.4% |
| Materials | 1.7% |
| Communication Services | 0.0% |
| Energy | 0.0% |
| Utilities | 0.0% |
Percentages in the above table are based on market value of the Fund’s portfolio as of June 30, 2023 and are subject to change.
Two of the Fund’s most significant contributors to performance over the past year hail from the Industrial sector and were mentioned in last year’s Annual Letter to Shareholders. Quanta Services, (PWR, 6.9% of the portfolio) and Builders FirstSource (BLDR, 5.9% of the portfolio) have risen over 50% and 150%, respectively, since the start of the measurement period. Quanta, an infrastructure construction services provider, exceeded earnings expectations each quarter over the past year while growing their bottom line by double digits. Builders FirstSource, a manufacturer and distributor of building products to professional builders, continued to deliver strong operating results and could continue to benefit from a recovery in the homebuilding industry. The most significant detractor from performance within the Fund was the severe underweight exposure to mega-capitalization technology firms. Simply lacking investments in Apple, Inc. and NVIDIA Corp during the period detracted significantly from the relative performance of the Fund, the totality of which accrued during the last six months.
As of June 30, 2023, the top five holdings in the Fund as a percentage of market value were:
| Company | Weight |
| Quanta Services, Inc. | 6.9% |
| ON Semiconductor Corp. | 6.5% |
| Builders FirstSource, Inc. | 5.9% |
| AmerisourceBergen, Corp. | 4.3% |
| Hershey Co. | 3.9% |
Holdings are subject to change and should not be considered investment advice.
After stumbling early in the period, stocks have rallied throughout 2023 as the recovery toward all-time high equity levels persists. The advance has been propagated by better than feared economic news, investor enthusiasm around the prospects for artificial intelligence and a quick recovery in the banking industry from the chaos induced by Silicon Valley Bank’s collapse. Just three months ago, investors were grappling with the potential implications of stress in the banking system. As largely anticipated, this crisis of confidence quickly waned as the Treasury and the Federal Reserve took steps to backstop the system which allowed a relief rally in risk assets to occur. Stock prices have been further boosted by economic reports indicative of above expectation growth and modestly declining inflationary pressures. This combination could translate to a coveted “soft landing” scenario where growth moderates just sufficiently to reduce price pressures, but not so much to meaningfully detract from growth. For now, market participants would appear to believe the probability of this confluence is growing, thus the continued rally in equity prices.
With little in the way of near-term corporate earnings growth anticipated, the rally in stock prices has come by way of expanding earnings multiples. The price to earnings ratio of the S&P 500 now stands at more than 19 times the next four quarters’ earnings, meaningfully above the 15.5 average of the past 20 years. The extended nature of valuation is not, however, proportionate across all segments of the market. Small and mid-capitalization stocks trade at or below their historic norms and value stocks, irrespective of capitalization, cast a similar profile. Where valuation is most skewed relative to the past is in the aspect of the market which has rallied most acutely in 2023, large capitalization growth stocks. With their outsized year to date performance, the top 10 largest firms in the S&P 500 now account for more than 30% of the total weight of the index (an all-time high) and trade at a 50% premium to the overall index. While it would be difficult to argue that any broad aspect of the current equity market is priced at a discount, mega capitalization, growth stocks appear priced for future perfection. However, lofty valuation is unlikely to immediately derail the current stock market advance in the absence of a larger catalyst. Stocks can persist at elevated (and discounted) levels for significant time periods before transitioning to a reflection of their more intrinsic value. Nonetheless, the current risk versus reward relationship for these stocks appears skewed, at least modestly, unfavorably.
With the market just a few percentage points away from all-time highs, the recovery from last year’s rate-induced selloff has been swift. It is especially noteworthy given that interest rates today, at all points on the curve, stand far higher than at most any time in the past decade. While enthusiasm for the prospects of rate cuts by the Federal Reserve remains high, investors may ultimately find disappointment in both the terminal level of the curve and the catalysts for the inflection. In this environment, discretion is prudent. Maintaining an overall investment allocation which aligns with one’s goals is paramount, while equity exposures should be managed to balance opportunity and risk. Growth-style investments are being rewarded in the short run but come with the potential of facing falling multiples. Value stocks have fallen out of favor but could ballast a portfolio by offering support in the face of higher rates. With investors having routinely underestimated the strength of economic momentum since the pandemic, it seems appropriate to favor the continuation of this trend. The domestic economy is likely to slow as a lagged effect of the Fed’s policy of higher rates, but current data support the thesis that the slowdown is likely to be mostly benign. If this can be orchestrated in concert with moderating price pressures, the current ascent of the market could be supported. If either metric, inflation or growth, skews unfavorably, volatility in the equities is likely to reemerge. A tactical, flexible investment method, like the approach of CooksonPeirce, is appropriate for this environment and could prove valuable as greater economic clarity emerges.
Sincerely,
Cory Krebs
President and Chief Executive Officer, Cookson, Peirce & Co., Sub-Advisor to the Fund
Portfolio Manager
This report is intended for the Fund’s shareholders. It may not be distributed to prospective investors unless it is preceded or accompanied by the current Fund prospectus. To obtain a prospectus or other information about the Fund, please visit www.CatalystMF.com or call 1-866-447-4228. Please read the prospectus carefully before investing.
| (1) | The S&P 500 Total Return Index by Standard & Poor’s Corp. is a capitalization-weighted index comprising 500 issues listed on various exchanges, representing the performance of the stock market generally. Please note that indices do not take into account any fees and expenses of investing in the individual securities that they track, and individuals cannot invest directly in any index, although individuals may invest in exchange traded funds or other investment vehicles that attempt to track the performance of an index. The Fund may or may not purchase the types of securities represented by the S&P 500 Total Return Index. |
| (2) | Since inception returns assume an inception date of 12/22/2011. The performance information quoted in this Annual Report assumes the reinvestment of all dividend and capital gain distributions, if any, and represents past performance, which is not a guarantee of future results. An investor’s return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than the performance data quoted. Updated performance data to the most recent month-end can be obtained by calling the Fund at 1-866-447-4228. There is a maximum sales load of 5.75% (“sales load”) on certain Class A subscriptions. A 1% Contingent Deferred Sales Charge (“CDSC fee”) is imposed on certain redemptions of Class A shares held less than two years after the date of purchase and Class C shares held less than one year after the date of purchase (excluding in each case, shares purchased with reinvested dividends and/or distributions). The returns shown do not reflect taxes that a shareholder would pay on Fund distributions or on the redemption of Fund shares. |
6364-NLD-08022023
Catalyst Insider Buying Fund
PORTFOLIO REVIEW (Unaudited)
June 30, 2023
The Fund’s performance figures* for each of the periods ended June 30, 2023, compared to its benchmark:
| | | Annualized | Annualized | Annualized | Annualized |
| | 1 Year Return | 5 Year Return | Ten Year Return | Since Inception** | Since Inception*** |
| Class A | 32.57% | (4.11)% | 2.25% | 4.77% | N/A |
| Class A with load | 24.95% | (5.24)% | 1.64% | 4.25% | N/A |
| Class C | 31.52% | (4.83)% | 1.48% | 4.20% | N/A |
| Class I | 32.87% | (3.87)% | N/A | N/A | 0.15% |
| S&P 500 Total Return Index(a) | 19.59% | 12.31% | 12.86% | 13.13% | 11.62% |
| * | The performance data quoted here represents past performance. The performance comparison includes reinvestment of all dividends and capital gains and has been adjusted for the Class A maximum applicable sales charge of 5.75%. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Class A shares may be subject to a 1.00% maximum deferred sales charge. The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemptions of Fund shares. Past performance is no guarantee of future results. Performance figures for periods greater than 1 year are annualized. As disclosed in the Fund’s prospectus dated November 1, 2022, the Fund’s total gross annual operating expenses are 1.81% for Class A, 2.56% for Class C and 1.56% for Class I shares. Please review the Fund’s most recent prospectus for more detail on the expense waiver. For performance information current to the most recent month-end, please call toll-free 1-866-447-4228. |
| (a) | The S&P 500 Total Return Index, a registered trademark of McGraw-Hill Co., Inc., is a market capitalization-weighted index of 500 widely held common stocks. Investors cannot invest directly in an index. |
| ** | Inception date is July 29, 2011 for Class A, Class C and the benchmark. |
| *** | Inception date is June 6, 2014 for Class I and the benchmark. |
Comparison of the Change in Value of a $10,000 Investment
| Top Ten Holdings by Industry or Asset Type | | % of Net Assets | |
| Software | | | 26.0 | % |
| Metals & Mining | | | 9.6 | % |
| Asset Management | | | 8.6 | % |
| Medical Equipment & Devices | | | 7.8 | % |
| Healthcare Facilities & Services | | | 6.8 | % |
| Automotive | | | 6.7 | % |
| Electrical Equipment | | | 6.6 | % |
| Technology Services | | | 6.6 | % |
| Wholesale - Discretionary | | | 5.2 | % |
| Semiconductors | | | 4.7 | % |
| Other/Cash & Equivalents | | | 11.4 | % |
| | | | 100.0 | % |
Please refer to the Schedule of Investments for a more detailed listing of the Fund’s assets.
| Catalyst Energy Infrastructure Fund |
| PORTFOLIO REVIEW (Unaudited) |
| June 30, 2023 |
The Fund’s performance figures* for each of the periods ended June 30, 2023, compared to its benchmark:
| | 1 Year Return | Annualized
5 Year Return | Annualized
Since Inception** |
| Class A | 22.08% | 4.63% | (0.38)% |
| Class A with load | 15.06% | 3.41% | (1.07)% |
| Class C | 21.15% | 3.83% | (1.10)% |
| Class I | 22.42% | 4.87% | (0.12)% |
| Alerian MLP Total Return Index(a) | 30.51% | 6.16% | 0.11% |
| * | The performance data quoted here represents past performance. The performance comparison includes reinvestment of all dividends and capital gains and has been adjusted for the Class A maximum applicable sales charge of 5.75%. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Class A shares may be subject to a 1.00% maximum deferred sales charge. The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemptions of Fund shares. Past performance is no guarantee of future results. Performance figures for periods less than 1 year are not annualized. As disclosed in the Fund’s prospectus dated November 1, 2022, the Fund’s total gross annual operating expenses are 1.73% for Class A, 2.48% for Class C, and 1.48% for Class I shares. Please review the Fund’s most recent prospectus for more detail on the expense waiver. For performance information current to the most recent month-end, please call toll-free 1-866-447-4228. |
| (a) | The Alerian MLP Total Return Index is the leading gauge of large-cap and mid-cap energy Master Limited Partnerships. Investors cannot invest directly in an index. |
| ** | Inception date is December 22, 2014. |
Comparison of the Change in Value of a $10,000 Investment
| Top Holdings by Industry | | % of Net Assets | |
| Oil & Gas Producers | | | 99.7 | % |
| Other/Cash & Equivalents | | | 0.3 | % |
| | | | 100.0 | % |
Please refer to the Schedule of Investments for a more detailed listing of the Fund’s assets.
| Catalyst/MAP Global Equity Fund |
| PORTFOLIO REVIEW (Unaudited) |
| June 30, 2023 |
The Fund’s performance figures* for each of the periods ended June 30, 2023, compared to its benchmarks:
| | | Annualized | Annualized | Annualized | Annualized |
| | 1 Year Return | 5 Year Return | Ten Year Return | Since Inception** | Since Inception*** |
| Class A | 7.65% | 5.12% | 7.37% | 7.32% | N/A |
| Class A with load | 1.46% | 3.88% | 6.73% | 6.79% | N/A |
| Class C | 6.79% | 4.33% | 6.56% | 6.51% | N/A |
| Class I | 7.90% | 5.39% | N/A | N/A | 5.76% |
| MSCI All Country World Stock Index(a) | 17.13% | 8.64% | 9.31% | 8.79% | 7.86% |
| MSCI All Country World Stock Value Index(b) | 10.83% | 5.94% | 6.96% | 6.91% | 5.29% |
| * | The performance data quoted here represents past performance. The performance comparison includes reinvestment of all dividends and capital gains and has been adjusted for the Class A maximum applicable sales charge of 5.75%. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Class A shares may be subject to a 1.00% maximum deferred sales charge. The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemptions of Fund shares. Past performance is no guarantee of future results. Performance figures for periods greater than 1 year are annualized. As disclosed in the Fund’s prospectus dated November 1, 2022, the Fund’s total gross annual operating expenses, including the cost of underlying funds, are 1.59% for Class A, 2.34% for Class C, and 1.34% for Class I shares. Please review the Fund’s most recent prospectus for more detail on the expense waiver. For performance information current to the most recent month-end, please call toll-free 1-866-447-4228. |
| (a) | The MSCI All Country World Stock Index is a free float-adjusted market capitalization index that is designed to measure global developed market equity performance consisting of 24 developed market country indices. Investors cannot invest directly in an index. |
| (b) | The MSCI All Country World Stock Value Index captures large and mid cap securities exhibiting overall value style characteristics across 23 Developed Markets countries and 27 Emerging Markets countries. The value investment style characteristics for index construction are defined using three variables: book value to price, 12-month forward earnings to price and dividend yield. Investors cannot invest directly in an index. |
| ** | Inception date is July 29, 2011 for Class A, Class C and the benchmark. |
| *** | Inception date is June 6, 2014 for Class I and the benchmark. |
Comparison of the Change in Value of a $10,000 Investment
| Top Holdings by Industry or Asset Type | | % of Net Assets | |
| Biotech & Pharma | | | 13.1 | % |
| Technology Hardware | | | 8.0 | % |
| Exchange-Traded Funds | | | 7.9 | % |
| Semiconductors | | | 5.7 | % |
| Telecommunications | | | 5.2 | % |
| Construction Materials | | | 4.8 | % |
| Entertainment Content | | | 4.8 | % |
| Food | | | 4.4 | % |
| Software | | | 3.8 | % |
| Engineering & Construction | | | 3.7 | % |
| Tobacco & Cannabis | | | 3.6 | % |
| Other/Cash & Equivalents | | | 35.0 | % |
| | | | 100.0 | % |
Please refer to the Schedule of Investments for a more detailed listing of the Fund’s assets.
| Catalyst/Lyons Tactical Allocation Fund |
| PORTFOLIO REVIEW (Unaudited) |
| June 30, 2023 |
The Fund’s performance figures* for each of the periods ended June 30, 2023, compared to its benchmarks:
| | 1 Year Return | Annualized
5 Year Return | Annualized
Ten Year Return | Annualized
Since Inception** | Annualized
Since Inception*** |
| Class A | 3.84% | 2.32% | 6.95% | 8.32% | N/A |
| Class A with load | (2.13)% | 1.11% | 6.32% | 7.74% | N/A |
| Class C | 3.05% | 1.55% | 6.16% | 7.52% | N/A |
| Class I | 4.05% | 2.56% | N/A | N/A | 5.35% |
| Lipper Flexible Portfolio Funds Index(a) | 8.84% | 5.92% | 6.46% | 6.89% | 5.28% |
| S&P 500 Total Return Index(b) | 19.59% | 12.31% | 12.86% | 13.53% | 11.62% |
| * | The performance data quoted here represents past performance. The performance comparison includes reinvestment of all dividends and capital gains and has been adjusted for the Class A maximum applicable sales charge of 5.75%. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Class A shares may be subject to a 1.00% maximum deferred sales charge. The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemptions of Fund shares. Past performance is no guarantee of future results. Performance figures for periods greater than 1 year are annualized. As disclosed in the Fund’s prospectus dated November 1, 2022, the Fund’s total gross annual operating expenses are 1.90% for Class A, 2.65% for Class C, and 1.65% for Class I shares. Please review the Fund’s most recent prospectus for more detail on the expense waiver. For performance information current to the most recent month-end, please call toll-free 1-866-447-4228. |
| (a) | The Lipper Flexible Portfolio Funds Index, is an index that, by portfolio practice, allocates its investments across various asset classes, including both domestic and foreign stocks, bonds, and money market instruments, with a focus on total return. At least 25% of its portfolio is invested in securities traded outside of the United States. Investors cannot invest directly in an index. |
| (b) | The S&P 500 Total Return Index, a registered trademark of McGraw-Hill Co., Inc., is a market capitalization-weighted index of 500 widely held common stocks. Investors cannot invest directly in an index. |
| ** | Inception date is July 2, 2012 for Class A, Class C and the benchmarks. |
| *** | Inception date is June 6, 2014 for Class I and the benchmarks. |
Comparison of the Change in Value of a $10,000 Investment
| Top Holdings by Industry or Asset Type | | % of Net Assets | |
| Health Care Facilities & Service | | | 15.2 | % |
| Retail - Discretionary | | | 12.3 | % |
| Oil & Gas | | | 10.4 | % |
| Technology Services | | | 7.9 | % |
| Retail - Consumer Staples | | | 7.5 | % |
| Industrial Support Services | | | 4.4 | % |
| Steel | | | 4.1 | % |
| Electrical Equipment | | | 4.1 | % |
| Technology Hardware | | | 3.9 | % |
| Chemicals | | | 3.8 | % |
| Other/Cash & Equivalents | | | 26.4 | % |
| | | | 100.0 | % |
Please refer to the Schedule of Investments for a more detailed listing of the Fund’s assets.
| Catalyst Dynamic Alpha Fund |
| PORTFOLIO REVIEW (Unaudited) |
| June 30, 2023 |
The Fund’s performance figures* for each of the periods ended June 30, 2023, compared to its benchmark:
| | | Annualized | Annualized | Annualized | Annualized |
| | 1 Year Return | 5 Year Return | Ten Year Return | Since Inception** | Since Inception*** |
| Class A | 16.55% | 7.26% | 12.36% | 12.74% | N/A |
| Class A with load | 9.85% | 5.99% | 11.69% | 12.16% | N/A |
| Class C | 15.65% | 6.45% | 11.51% | 11.90% | N/A |
| Class I | 16.85% | 7.52% | N/A | N/A | 10.33% |
| S&P 500 Total Return Index(a) | 19.59% | 12.31% | 12.86% | 13.81% | 11.62% |
| * | The performance data quoted here represents past performance. The performance comparison includes reinvestment of all dividends and capital gains and has been adjusted for the Class A maximum applicable sales charge of 5.75%. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Class A shares may be subject to a 1.00% maximum deferred sales charge. The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the redemptions of Fund shares. Past performance is no guarantee of future results. Performance figures for periods greater than 1 year are annualized. As disclosed in the Fund’s prospectus dated November 1, 2022, the Fund’s total gross annual operating expenses are 1.49% for Class A, 2.24% for Class C and 1.24% for Class I shares. Please review the Fund’s most recent prospectus for more detail on the expense waiver. For performance information current to the most recent month-end, please call toll-free 1-866-447-4228. |
| (a) | The S&P 500 Total Return Index, a registered trademark of McGraw-Hill Co., Inc., is a market capitalization-weighted index of 500 widely held common stocks. Investors cannot invest directly in an index. |
| ** | Inception date is December 22, 2011 for Class A, Class C and the benchmark. |
| *** | Inception date is June 6, 2014 for Class I and the benchmark. |
Comparison of the Change in Value of a $10,000 Investment
| Top Holdings by Industry or Asset Type | | % of Net Assets | |
| Semiconductors | | | 12.4 | % |
| Biotech & Pharma | | | 9.4 | % |
| Food | | | 8.8 | % |
| Retail - Discretionary | | | 8.1 | % |
| Engineering & Construction | | | 6.9 | % |
| Software | | | 6.6 | % |
| Technology Hardware | | | 6.5 | % |
| Aerospace & Defense | | | 5.7 | % |
| Health Care Facilities & Services | | | 4.3 | % |
| Asset Management | | | 2.9 | % |
| Other/Cash & Equivalents | | | 28.4 | % |
| | | | 100.0 | % |
Please refer to the Schedule of Investments for a more detailed listing of the Fund’s assets.
| CATALYST INSIDER BUYING FUND |
| SCHEDULE OF INVESTMENTS |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 99.5% | | | | |
| | | | | ASSET MANAGEMENT - 8.6% | | | | |
| | 9,030 | | | Apollo Global Management, Inc. | | $ | 693,594 | |
| | 5,540 | | | Ares Management Corporation, Class A | | | 533,779 | |
| | 420 | | | KKR & Company, Inc. (b) | | | 23,520 | |
| | | | | | | | 1,250,893 | |
| | | | | AUTOMOTIVE - 6.7% | | | | |
| | 2,325 | | | Tesla, Inc.(a) | | | 608,615 | |
| | 4,270 | | | XPEL, Inc.(a) (b) | | | 359,619 | |
| | | | | | | | 968,234 | |
| | | | | BIOTECH & PHARMA - 4.5% | | | | |
| | 4,050 | | | Novo Nordisk A/S - ADR | | | 655,412 | |
| | | | | | | | | |
| | | | | ELECTRICAL EQUIPMENT - 6.6% | | | | |
| | 3,065 | | | Amphenol Corporation, Class A | | | 260,372 | |
| | 4,435 | | | Atkore International Group, Inc.(a) (b) | | | 691,594 | |
| | | | | | | | 951,966 | |
| | | | | HEALTH CARE FACILITIES & SERVICES - 6.8% | | | | |
| | 3,590 | | | Ensign Group, Inc. (The) (b) | | | 342,701 | |
| | 1,150 | | | HCA Healthcare, Inc. | | | 349,003 | |
| | 605 | | | UnitedHealth Group, Inc. | | | 290,787 | |
| | | | | | | | 982,491 | |
| | | | | MEDICAL EQUIPMENT & DEVICES - 7.8% | | | | |
| | 2,675 | | | Danaher Corporation | | | 642,000 | |
| | 935 | | | Thermo Fisher Scientific, Inc. | | | 487,836 | |
| | | | | | | | 1,129,836 | |
| | | | | METALS & MINING - 9.6% | | | | |
| | 3,570 | | | Alpha Metallurgical Resources, Inc. (b) | | | 586,765 | |
| | 17,340 | | | Peabody Energy Corporation(b) | | | 375,584 | |
| | 11,150 | | | Warrior Met Coal, Inc. | | | 434,293 | |
| | | | | | | | 1,396,642 | |
| | | | | RETAIL - DISCRETIONARY - 2.0% | | | | |
| | 600 | | | Ulta Beauty, Inc.(a) | | | 282,357 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST INSIDER BUYING FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 99.5% (Continued) | | | | |
| | | | | SEMICONDUCTORS - 4.7% | | | | |
| | 1,400 | | | KLA Corporation | | $ | 679,028 | |
| | | | | | | | | |
| | | | | SOFTWARE - 26.0% | | | | |
| | 358,220 | | | Hims & Hers Health, Inc.(a) (b) | | | 3,367,268 | |
| | 1,190 | | | Microsoft Corporation(b) | | | 405,243 | |
| | | | | | | | 3,772,511 | |
| | | | | TECHNOLOGY HARDWARE - 4.4% | | | | |
| | 3,900 | | | Arista Networks, Inc.(a) | | | 632,034 | |
| | | | | | | | | |
| | | | | TECHNOLOGY SERVICES - 6.6% | | | | |
| | 40 | | | Fair Isaac Corporation(a) | | | 32,368 | |
| | 160 | | | Jack Henry & Associates, Inc. | | | 26,773 | |
| | 800 | | | Mastercard, Inc., Class A | | | 314,640 | |
| | 480 | | | MSCI, Inc. | | | 225,259 | |
| | 4,325 | | | Pagseguro Digital Ltd., Class A(a) (b) | | | 40,828 | |
| | 1,310 | | | Visa, Inc., Class A(b) | | | 311,099 | |
| | | | | | | | 950,967 | |
| | | | | WHOLESALE - DISCRETIONARY - 5.2% | | | | |
| | 7,370 | | | Copart, Inc.(a) | | | 672,218 | |
| | 220 | | | Pool Corporation | | | 82,420 | |
| | | | | | �� | | 754,638 | |
| | | | | | | | | |
| | | | | TOTAL COMMON STOCKS (Cost $11,717,990) | | | 14,407,009 | |
| | | | | | | | | |
| Shares | | | | | Fair Value | |
| | | | | SHORT-TERM INVESTMENTS — 34.2% | | | | |
| | | | | COLLATERAL FOR SECURITIES LOANED – 33.6% | | | | |
| | 4,863,034 | | | Mount Vernon Liquid Assets Portfolio, LLC, 5.22% (Cost $4,863,034)(c)(d)(e) | | | 4,863,034 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST INSIDER BUYING FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | SHORT-TERM INVESTMENTS — 34.2% (Continued) | | | | |
| | | | | MONEY MARKET FUND - 0.6% (Continued) | | | | |
| | 85,679 | | | First American Treasury Obligations Fund, Class X, 5.03% (Cost $85,679)(c) | | $ | 85,679 | |
| | | | | | | | | |
| | | | | TOTAL SHORT-TERM INVESTMENTS (Cost $4,948,713) | | | 4,948,713 | |
| | | | | | | | | |
| | | | | TOTAL INVESTMENTS – 133.7% (Cost $16,666,703) | | $ | 19,355,722 | |
| | | | | LIABILITIES IN EXCESS OF OTHER ASSETS - (33.7)% | | | (4,877,703 | ) |
| | | | | NET ASSETS - 100.0% | | $ | 14,478,019 | |
| ADR | - American Depositary Receipt |
| | |
| A/S | - Anonim Sirketi |
| | |
| LLC | - Limited Liability Company |
| | |
| LTD | - Limited Company |
| | |
| MSCI | - Morgan Stanley Capital International |
| (a) | Non-income producing security. |
| (b) | All or a portion of the security is on loan. The Total fair value of the securities on loan as of June 30, 2023 was $4,789,675. |
| (c) | Rate disclosed is the seven day effective yield as of June 30, 2023. |
| (d) | Mutual Fund Series Trust’s securities lending policies and procedures require that the borrower: (i) deliver cash or U.S. Government securities as collateral with respect to each new loan of U.S. securities, equal to at least 102% of the value of the portfolio securities loaned, and (ii) at all times thereafter mark-to-market the collateral on a daily basis so that the market value of such collateral is at least 100% of the value of securities loaned. From time to time the collateral may not be 102% due to end of day market movement. The next business day additional collateral is obtained/received from the borrower to replenish/reestablish 102%. |
| (e) | Security was purchased with cash received as collateral for securities on loan at June 30, 2023. Total collateral had a value of $4,863,034 at June 30, 2023. |
See accompanying notes which are an integral part of these financial statements.
The accompanying notes are an integral part of these financial statements.
| CATALYST ENERGY INFRASTRUCTURE |
| SCHEDULE OF INVESTMENTS |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 99.7% | | | | |
| | | | | OIL & GAS PRODUCERS - 99.7% | | | | |
| | 145,531 | | | Cheniere Energy, Inc. | | $ | 22,173,103 | |
| | 159,072 | | | Crestwood Equity Partners, L.P. | | | 4,212,227 | |
| | 121,199 | | | DT Midstream, Inc. | | | 6,007,834 | |
| | 244,477 | | | Enbridge, Inc. | | | 9,082,321 | |
| | 1,702,332 | | | Energy Transfer, L.P. | | | 21,619,615 | |
| | 1,043,866 | | | EnLink Midstream, LLC | | | 11,064,980 | |
| | 394,693 | | | Enterprise Products Partners, L.P. | | | 10,400,161 | |
| | 1,588,189 | | | Equitrans Midstream Corporation | | | 15,183,087 | |
| | 263,581 | | | Gibson Energy, Inc. | | | 4,144,537 | |
| | 181,427 | | | Hess Midstream, L.P., Class A | | | 5,566,180 | |
| | 189,256 | | | Keyera Corporation | | | 4,364,490 | |
| | 516,367 | | | Kinder Morgan, Inc. | | | 8,891,840 | |
| | 103,859 | | | Kinetik Holdings, Inc. | | | 3,649,605 | |
| | 51,538 | | | Magellan Midstream Partners, L.P. | | | 3,211,848 | |
| | 10,245 | | | Marathon Petroleum Corporation | | | 1,194,567 | |
| | 118,275 | | | MPLX, L.P. | | | 4,014,254 | |
| | 2,714,755 | | | NextDecade Corporation(a) | | | 22,288,138 | |
| | 280,821 | | | NuStar Energy, L.P. | | | 4,813,272 | |
| | 177,954 | | | ONEOK, Inc. | | | 10,983,321 | |
| | 311,796 | | | Pembina Pipeline Corporation | | | 9,802,866 | |
| | 700,578 | | | Plains GP Holdings, L.P., Class A | | | 10,389,572 | |
| | 146,201 | | | Targa Resources Corporation | | | 11,125,896 | |
| | 234,752 | | | TC Energy Corporation | | | 9,486,328 | |
| | 158,177 | | | Western Midstream Partners, L.P. | | | 4,194,854 | |
| | 592,471 | | | Williams Companies, Inc. (The) | | | 19,332,329 | |
| | | | | | | | 237,197,225 | |
| | | | | | | | | |
| | | | | TOTAL COMMON STOCKS (Cost $183,781,495) | | | 237,197,225 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST ENERGY INFRASTRUCTURE |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | SHORT-TERM INVESTMENT — 0.3% | | | | |
| | | | | MONEY MARKET FUND - 0.3% | | | | |
| | 616,286 | | | First American Treasury Obligations Fund, Class X, 5.03% (Cost $616,286)(b) | | $ | 616,286 | |
| | | | | | | | | |
| | | | | TOTAL INVESTMENTS - 100.0% (Cost $183,397,791) | | $ | 237,813,511 | |
| | | | | OTHER ASSETS IN EXCESS OF LIABILITIES - 0.0% | | | 13,142 | |
| | | | | NET ASSETS - 100.0% | | $ | 237,826,653 | |
| LLC | - Limited Liability Company |
| | |
| LP | - Limited Partnership |
| (a) | Non-income producing security. |
| (b) | Rate disclosed is the seven day effective yield as of June 30, 2023. |
See accompanying notes which are an integral part of these financial statements.
The accompanying notes are an integral part of these financial statements.
| CATALYST/MAP GLOBAL EQUITY FUND |
| SCHEDULE OF INVESTMENTS |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 91.4% | | | | |
| | | | | AEROSPACE & DEFENSE - 2.5% | | | | |
| | 128,840 | | | Kratos Defense & Security Solutions, Inc.(a) | | $ | 1,847,566 | |
| | | | | | | | | |
| | | | | APPAREL & TEXTILE PRODUCTS - 0.4% | | | | |
| | 600 | | | Kering S.A. | | | 331,034 | |
| | | | | | | | | |
| | | | | ASSET MANAGEMENT - 1.6% | | | | |
| | 14,800 | | | Groupe Bruxelles Lambert S.A. | | | 1,165,395 | |
| | | | | | | | | |
| | | | | BEVERAGES - 1.8% | | | | |
| | 3,200,000 | | | Thai Beverage PCL | | | 1,372,416 | |
| | | | | | | | | |
| | | | | BIOTECH & PHARMA - 13.1% | | | | |
| | 9,900 | | | Johnson & Johnson | | | 1,638,648 | |
| | 31,180 | | | Novartis A.G. - ADR | | | 3,146,374 | |
| | 54,750 | | | Sanofi - ADR | | | 2,951,025 | |
| | 128,000 | | | Takeda Pharmaceutical Company Ltd. - ADR | | | 2,010,880 | |
| | | | | | | | 9,746,927 | |
| | | | | CHEMICALS - 2.4% | | | | |
| | 51,000 | | | Mosaic Company (The) | | | 1,785,000 | |
| | | | | | | | | |
| | | | | CONSTRUCTION MATERIALS - 4.8% | | | | |
| | 25,180 | | | Holcim Ltd. | | | 1,693,652 | |
| | 12,877 | | | Knife River Corporation(a) | | | 560,150 | |
| | 61,510 | | | MDU Resources Group, Inc. | | | 1,288,019 | |
| | | | | | | | 3,541,821 | |
| | | | | E-COMMERCE DISCRETIONARY - 1.6% | | | | |
| | 25,853 | | | eBay, Inc. | | | 1,155,371 | |
| | | | | | | | | |
| | | | | ENGINEERING & CONSTRUCTION - 3.7% | | | | |
| | 16,925 | | | Tetra Tech, Inc. | | | 2,771,299 | |
| | | | | | | | | |
| | | | | ENTERTAINMENT CONTENT - 4.8% | | | | |
| | 5,919 | | | Electronic Arts, Inc. | | | 767,694 | |
| | 256,280 | | | Vivendi S.A. | | | 2,350,818 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST/MAP GLOBAL EQUITY FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 91.4% (Continued) | | | | |
| | | | | ENTERTAINMENT CONTENT - 4.8% (Continued) | | | | |
| | 36,002 | | | Warner Bros Discovery, Inc.(a) | | $ | 451,465 | |
| | | | | | | | 3,569,977 | |
| | | | | FOOD - 4.4% | | | | |
| | 169,700 | | | GrainCorp Ltd | | | 885,008 | |
| | 19,550 | | | Nestle S.A. - ADR | | | 2,352,843 | |
| | | | | | | | 3,237,851 | |
| | | | | GAS & WATER UTILITIES - 3.5% | | | | |
| | 28,270 | | | National Fuel Gas Company | | | 1,451,947 | |
| | 43,000 | | | UGI Corporation | | | 1,159,710 | |
| | | | | | | | 2,611,657 | |
| | | | | HOUSEHOLD PRODUCTS - 3.3% | | | | |
| | 94,900 | | | Reckitt Benckiser Group plc - ADR | | | 1,441,530 | |
| | 18,960 | | | Unilever plc - ADR | | | 988,385 | |
| | | | | | | | 2,429,915 | |
| | | | | INTERNET MEDIA & SERVICES - 2.1% | | | | |
| | 5,428 | | | Meta Platforms, Inc., Class A(a) | | | 1,557,727 | |
| | | | | | | | | |
| | | | | MEDICAL EQUIPMENT & DEVICES - 2.4% | | | | |
| | 20,263 | | | Medtronic PLC | | | 1,785,170 | |
| | | | | | | | | |
| | | | | METALS & MINING - 2.6% | | | | |
| | 25,755 | | | Freeport-McMoRan, Inc. | | | 1,030,200 | |
| | 188,340 | | | Grupo Mexico S.A.B. de C.V. - Series B | | | 905,423 | |
| | | | | | | | 1,935,623 | |
| | | | | OIL & GAS PRODUCERS - 2.1% | | | | |
| | 4,907 | | | Chevron Corporation | | | 772,116 | |
| | 5,710 | | | Hess Corporation | | | 776,275 | |
| | | | | | | | 1,548,391 | |
| | | | | RETAIL - CONSUMER STAPLES - 2.5% | | | | |
| | 12,062 | | | Walmart, Inc. | | | 1,895,905 | |
| | | | | | | | | |
| | | | | RETAIL - DISCRETIONARY - 1.9% | | | | |
| | 4,445 | | | Home Depot, Inc. (The) | | | 1,380,795 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST/MAP GLOBAL EQUITY FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 91.4% (Continued) | | | | |
| | | | | SEMICONDUCTORS - 5.7% | | | | |
| | 14,472 | | | Applied Materials, Inc. | | $ | 2,091,783 | |
| | 10,000 | | | Intel Corporation | | | 334,400 | |
| | 28,619 | | | Micron Technology, Inc. (b) | | | 1,806,145 | |
| | | | | | | | 4,232,328 | |
| | | | | SOFTWARE - 3.8% | | | | |
| | 8,310 | | | Microsoft Corporation | | | 2,829,887 | |
| | | | | | | | | |
| | | | | TECHNOLOGY HARDWARE - 8.0% | | | | |
| | 11,300 | | | Apple, Inc. | | | 2,191,861 | |
| | 44,810 | | | Cisco Systems, Inc. | | | 2,318,470 | |
| | 365,550 | | | Nokia OYJ - ADR(b) | | | 1,520,688 | |
| | | | | | | | 6,031,019 | |
| | | | | TELECOMMUNICATIONS - 5.2% | | | | |
| | 62,300 | | | AT&T, Inc. | | | 993,685 | |
| | 142,000 | | | Orange S.A. - ADR | | | 1,652,880 | |
| | 134,930 | | | Vodafone Group plc - ADR | | | 1,275,089 | |
| | | | | | | | 3,921,654 | |
| | | | | TOBACCO & CANNABIS - 3.6% | | | | |
| | 18,800,000 | | | Hanjaya Mandala Sampoerna Tbk P.T. | | | 1,183,690 | |
| | 67,000 | | | Imperial Brands plc - ADR | | | 1,503,480 | |
| | | | | | | | 2,687,170 | |
| | | | | WHOLESALE - CONSUMER STAPLES - 3.6% | | | | |
| | 27,560 | | | Bunge Ltd. | | | 2,600,286 | |
| | | | | | | | | |
| | | | | TOTAL COMMON STOCKS (Cost $55,547,095) | | | 67,972,184 | |
| | | | | | | | | |
| Shares | | | | | Fair Value | |
| | | | | EXCHANGE-TRADED FUNDS — 7.9% | | | | |
| | | | | COMMODITY - 3.3% | | | | |
| | 65,000 | | | SPDR Gold MiniShares Trust(a) | | | 2,475,850 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST/MAP GLOBAL EQUITY FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | | | | | | | | | | | | | Fair Value | |
| | | | | EXCHANGE-TRADED FUNDS — 7.9% (Continued) | | | | | |
| | | | | FIXED INCOME - 4.6% | | | | | | | | | | |
| | 37,200 | | | SPDR Bloomberg 1-3 Month T-Bill ETF | | | $ | 3,415,704 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TOTAL EXCHANGE-TRADED FUNDS (Cost $5,887,685) | | | | 5,891,554 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | SHORT-TERM INVESTMENT — 0.3% | | | | | |
| | | | | MONEY MARKET FUND - 0.3% | | | | | | | |
| | 230,344 | | | First American Treasury Obligations Fund, Class X, 5.03% (Cost $230,344)(c) | | | | 230,344 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TOTAL INVESTMENTS - 99.6% (Cost $61,665,124) | | | | | $ | 74,094,082 | |
| | | | | CALL OPTIONS WRITTEN - 0.0% (Proceeds - $212,799) | | | | | | (31,800 | ) |
| | | | | OTHER ASSETS IN EXCESS OF LIABILITIES- 0.4% | | | | 311,214 | |
| | | | | NET ASSETS - 100.0% | | | $ | 74,373,496 | |
| | | | | | | | | | | | | | | | | | | | | |
| Contracts(d) | | | | | Counterparty | | Expiration Date | | Exercise Price | | | Notional Value | | | Fair Value | |
| | | | | WRITTEN EQUITY OPTIONS - 0.0% (e) | | | | | | | | | | | | | | | | |
| | | | | CALL OPTIONS WRITTEN- 0.0%(e) | | | | | | | | | | | | | | | | |
| | 275 | | | Micron Technology, Inc. | | PER | | 07/21/2023 | | $ | 70 | | | $ | 1,735,525 | | | $ | 6,600 | |
| | 3,600 | | | Nokia OYJ | | PER | | 01/19/2024 | | | 6 | | | | 1,497,600 | | | | 25,200 | |
| | | | | TOTAL CALL OPTIONS WRITTEN (Proceeds - $212,799) | | | | | | | | | | | | | | | 31,800 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TOTAL WRITTEN EQUITY OPTIONS (Proceeds - $212,799) | | | | | | | | | | | | | | $ | 31,800 | |
| ADR | - American Depositary Receipt |
| | |
| ETF | - Exchange-Traded Fund |
| | |
| LTD | - Limited Company |
| | |
| OYJ | - Julkinen osakeyhtiö |
| | |
| PLC | - Public Limited Company |
| | |
| SPDR | - Standard & Poor’s Depositary Receipt |
| | |
| PER | - Pershing LLC |
| (a) | Non-income producing security. |
| (b) | All of portion of this security is being held as collateral for Options Written. |
| (c) | Rate disclosed is the seven day effective yield as of June 30, 2023. |
| (d) | Each option contract allows the holder of the option to purchase or sell 100 shares of the underlying security. |
| (e) | Percentage rounds to greater than (0.1%). |
The accompanying notes are an integral part of these financial statements.
| CATALYST/LYONS TACTICAL ALLOCATION FUND |
| SCHEDULE OF INVESTMENTS |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 96.0% | | | | |
| | | | | AEROSPACE & DEFENSE - 3.7% | | | | |
| | 2,659 | | | Lockheed Martin Corporation | | $ | 1,224,150 | |
| | | | | | | | | |
| | | | | CHEMICALS - 3.8% | | | | |
| | 23,573 | | | Dow, Inc. | | | 1,255,498 | |
| | | | | | | | | |
| | | | | COMMERCIAL SUPPORT SERVICES - 3.8% | | | | |
| | 7,320 | | | Waste Management, Inc. | | | 1,269,434 | |
| | | | | | | | | |
| | | | | CONSUMER SERVICES - 3.6% | | | | |
| | 18,629 | | | Service Corp International | | | 1,203,247 | |
| | | | | | | | | |
| | | | | DIVERSIFIED INDUSTRIALS - 3.8% | | | | |
| | 6,073 | | | Honeywell International, Inc. | | | 1,260,148 | |
| | | | | | | | | |
| | | | | ELECTRICAL EQUIPMENT - 4.1% | | | | |
| | 4,101 | | | Lennox International, Inc. | | | 1,337,213 | |
| | | | | | | | | |
| | | | | HEALTH CARE FACILITIES & SERVICES - 15.2% | | | | |
| | 6,884 | | | AmerisourceBergen Corporation | | | 1,324,688 | |
| | 2,246 | | | Chemed Corporation | | | 1,216,591 | |
| | 4,372 | | | HCA Healthcare, Inc. | | | 1,326,814 | |
| | 2,409 | | | UnitedHealth Group, Inc. | | | 1,157,862 | |
| | | | | | | | 5,025,955 | |
| | | | | INDUSTRIAL SUPPORT SERVICES - 4.4% | | | | |
| | 1,810 | | | WW Grainger, Inc. | | | 1,427,348 | |
| | | | | | | | | |
| | | | | LEISURE FACILITIES & SERVICES - 3.8% | | | | |
| | 6,858 | | | Marriott International, Inc., Class A | | | 1,259,746 | |
| | | | | | | | | |
| | | | | OIL & GAS PRODUCERS - 10.4% | | | | |
| | 11,122 | | | ConocoPhillips | | | 1,152,350 | |
| | 10,230 | | | EOG Resources, Inc. | | | 1,170,721 | |
| | 19,071 | | | Occidental Petroleum Corporation | | | 1,121,375 | |
| | | | | | | | 3,444,446 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST/LYONS TACTICAL ALLOCATION FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | | | | | | | | | | | Fair Value | |
| | | | | COMMON STOCKS — 96.0% (Continued) | | | | | |
| | | | | RETAIL - CONSUMER STAPLES - 7.5% | | | | | |
| | 2,335 | | | Costco Wholesale Corporation | | | $ | 1,257,118 | |
| | 7,258 | | | Dollar General Corporation | | | | 1,232,263 | |
| | | | | | | | | | | | | | | | | | | | 2,489,381 | |
| | | | | RETAIL - DISCRETIONARY - 12.3% | | | | | |
| | 4,093 | | | Home Depot, Inc. (The) | | | | 1,271,450 | |
| | 8,386 | | | Penske Automotive Group, Inc. | | | | | 1,397,359 | |
| | 2,923 | | | Ulta Beauty, Inc.(a) | | | | | 1,375,549 | |
| | | | | | | | | | | | | | | | | | | | 4,044,358 | |
| | | | | SOFTWARE - 3.7% | | | | | | |
| | 3,591 | | | Microsoft Corporation | | | | | 1,222,879 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | STEEL - 4.1% | | | | | | |
| | 12,295 | | | Steel Dynamics, Inc. | | | | | 1,339,294 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TECHNOLOGY HARDWARE - 3.9% | | | | | | |
| | 6,673 | | | Apple, Inc. | | | | | | | | | | | | | | | 1,294,362 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TECHNOLOGY SERVICES - 7.9% | | | | | | |
| | 7,904 | | | Broadridge Financial Solutions, Inc. | | | | | 1,309,141 | |
| | 3,179 | | | S&P Global, Inc. | | | | | 1,274,429 | |
| | | | | | | | | | | | | | | | | | | | 2,583,570 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TOTAL COMMON STOCKS (Cost $30,002,158) | | | | | 31,681,029 | |
| | | | | | | | | | | | | | | | | | | | | |
| Shares | | | | | | | | | | | | | | | | | Fair Value | |
| | | | | SHORT-TERM INVESTMENT — 2.4% | | | | | | |
| | | | | MONEY MARKET FUND - 2.4% | | | | | | |
| | 785,275 | | | First American Treasury Obligations Fund, Class X, 5.03% (Cost $785,275)(b) | | | | 785,275 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | Contracts(c) | | | | | Broker/Counterparty | | Expiration Date | | | Exercise Price | | | | Notional Value | | | Fair Value | |
| | | | | INDEX OPTIONS PURCHASED - 1.5% | | | | | | | | | | | | | | | | |
| | | | | PUT OPTIONS PURCHASED - 1.5% | | | | | | | | | | | | | | | | |
| | 65 | | | S&P 500 INDEX SPX | | USB | | 09/15/2023 | | $ | 4,000 | | | $ | 26,000,000 | | | $ | 119,275 | |
| | 60 | | | S&P 500 INDEX SPX | | USB | | 10/20/2023 | | | 3,900 | | | $ | 23,400,000 | | | | 150,000 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST/LYONS TACTICAL ALLOCATION FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Contracts(c) | | | | | Broker/Counterparty | | Expiration Date | | Exercise Price | | | Notional Value | | | Fair Value | |
| | | | | INDEX OPTIONS PURCHASED - 1.5% (Continued) | | | | | | | | | | | | | | | | |
| | | | | PUT OPTIONS PURCHASED - 1.5% (Continued) | | | | | | | | | | | | | | | | |
| | 75 | | | S&P 500 INDEX SPX | | USB | | 11/17/2023 | | $ | 3,850 | | | $ | 28,875,000 | | | $ | 228,375 | |
| | | | | TOTAL PUT OPTIONS PURCHASED (Cost - $921,601) | | | | | | | | | | | | | | | 497,650 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TOTAL INDEX OPTIONS PURCHASED (Cost - $921,601) | | | | | | | | | | | | | | | 497,650 | |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | TOTAL INVESTMENTS - 99.9% (Cost $31,709,034) | | | | | | | | | | | | | | $ | 32,963,954 | |
| | | | | OTHER ASSETS IN EXCESS OF LIABILITIES- 0.1% | | | | | | | | | | | | | | | 37,800 | |
| | | | | NET ASSETS - 100.0% | | | | | | | | | | | | | | $ | 33,001,754 | |
| (a) | Non-income producing security. |
| (b) | Rate disclosed is the seven day effective yield as of June 30, 2023. |
| (c) | Each option contract allows the holder of the option to purchase or sell 100 shares of the underlying security. |
See accompanying notes which are an integral part of these financial statements.
The accompanying notes are an integral part of these financial statements.
| CATALYST DYNAMIC ALPHA FUND |
| SCHEDULE OF INVESTMENTS |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 99.6% | | | | |
| | | | | AEROSPACE & DEFENSE - 5.7% | | | | |
| | 36,050 | | | Raytheon Technologies Corporation | | $ | 3,531,458 | |
| | 3,975 | | | TransDigm Group, Inc. | | | 3,554,326 | |
| | | | | | | | 7,085,784 | |
| | | | | APPAREL & TEXTILE PRODUCTS - 2.8% | | | | |
| | 6,700 | | | Deckers Outdoor Corporation(a) | | | 3,535,322 | |
| | | | | | | | | |
| | | | | ASSET MANAGEMENT - 2.9% | | | | |
| | 46,450 | | | Apollo Global Management, Inc. | | | 3,567,825 | |
| | | | | | | | | |
| | | | | AUTOMOTIVE - 2.5% | | | | |
| | 62,250 | | | BorgWarner, Inc. | | | 3,044,648 | |
| | | | | | | | | |
| | | | | BANKING - 2.4% | | | | |
| | 79,100 | | | HSBC Holdings plc - ADR(b) | | | 3,133,942 | |
| | | | | | | | | |
| | | | | BIOTECH & PHARMA - 9.4% | | | | |
| | 42,250 | | | Merck & Company, Inc. | | | 4,875,228 | |
| | 52,900 | | | Sanofi - ADR | | | 2,851,310 | |
| | 11,300 | | | Vertex Pharmaceuticals, Inc.(a) | | | 3,976,583 | |
| | | | | | | | 11,703,121 | |
| | | | | CONSTRUCTION MATERIALS - 1.7% | | | | |
| | 4,600 | | | Martin Marietta Materials, Inc. | | | 2,123,774 | |
| | | | | | | | | |
| | | | | ELECTRICAL EQUIPMENT - 2.7% | | | | |
| | 39,300 | | | Amphenol Corporation, Class A | | | 3,338,535 | |
| | | | | | | | | |
| | | | | ENGINEERING & CONSTRUCTION - 6.9% | | | | |
| | 43,600 | | | Quanta Services, Inc.(b) | | | 8,565,220 | |
| | | | | | | | | |
| | | | | FOOD - 8.8% | | | | |
| | 19,575 | | | Hershey Company (The) | | | 4,887,877 | |
| | 15,800 | | | J M Smucker Company (The) | | | 2,333,186 | |
| | 32,425 | | | Lamb Weston Holdings, Inc. | | | 3,727,254 | |
| | | | | | | | 10,948,317 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST DYNAMIC ALPHA FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 99.6% (Continued) | | | | |
| | | | | HEALTH CARE FACILITIES & SERVICES - 4.3% | | | | |
| | 27,700 | | | AmerisourceBergen Corporation | | $ | 5,330,311 | |
| | | | | | | | | |
| | | | | INSURANCE - 1.8% | | | | |
| | 32,500 | | | Brown & Brown, Inc. | | | 2,237,300 | |
| | | | | | | | | |
| | | | | INTERNET MEDIA & SERVICES - 2.2% | | | | |
| | 76,750 | | | Trip.com Group Ltd. - ADR(a) | | | 2,686,250 | |
| | | | | | | | | |
| | | | | LEISURE FACILITIES & SERVICES - 2.6% | | | | |
| | 28,200 | | | Texas Roadhouse, Inc.(b) | | | 3,166,296 | |
| | | | | | | | | |
| | | | | MEDICAL EQUIPMENT & DEVICES - 2.4% | | | | |
| | 10,400 | | | Shockwave Medical, Inc.(a) | | | 2,968,264 | |
| | | | | | | | | |
| | | | | RETAIL - CONSUMER STAPLES - 2.2% | | | | |
| | 57,550 | | | Kroger Company (The) | | | 2,704,850 | |
| | | | | | | | | |
| | | | | RETAIL - DISCRETIONARY - 8.1% | | | | |
| | 53,500 | | | Builders FirstSource, Inc.(a) (b) | | | 7,275,999 | |
| | 20,950 | | | Dick’s Sporting Goods, Inc.(b) | | | 2,769,381 | |
| | | | | | | | 10,045,380 | |
| | | | | SEMICONDUCTORS - 12.4% | | | | |
| | 8,900 | | | KLA Corporation | | | 4,316,678 | |
| | 85,150 | | | ON Semiconductor Corporation(a) | | | 8,053,486 | |
| | 56,200 | | | STMicroelectronics N.V. - ADR(b) | | | 2,809,438 | |
| | | | | | | | 15,179,602 | |
| | | | | SOFTWARE - 6.6% | | | | |
| | 34,000 | | | Fortinet, Inc.(a) | | | 2,570,060 | |
| | 4,050 | | | HubSpot, Inc.(a) | | | 2,154,965 | |
| | 10,350 | | | Microsoft Corporation | | | 3,524,589 | |
| | | | | | | | 8,249,614 | |
| | | | | SPECIALTY REITS - 2.4% | | | | |
| | 53,400 | | | Iron Mountain, Inc. | | | 3,034,188 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST DYNAMIC ALPHA FUND |
| SCHEDULE OF INVESTMENTS (Continued) |
| June 30, 2023 |
| Shares | | | | | Fair Value | |
| | | | | COMMON STOCKS — 99.6% (Continued) | | | | |
| | | | | TECHNOLOGY HARDWARE - 6.5% | | | | |
| | 146,850 | | | Flex Ltd.(a) | | $ | 4,058,934 | |
| | 13,700 | | | Motorola Solutions, Inc. | | | 4,017,936 | |
| | | | | | | | 8,076,870 | |
| | | | | TECHNOLOGY SERVICES - 2.3% | | | | |
| | 25,750 | | | Booz Allen Hamilton Holding Corporation | | | 2,873,700 | |
| | | | | | | | | |
| | | | | TOTAL COMMON STOCKS (Cost $97,320,794) | | | 123,599,113 | |
| | | | | | | | | |
| Shares | | | | | Fair Value | |
| | | | | SHORT-TERM INVESTMENTS — 11.9% | | | | |
| | | | | COLLATERAL FOR SECURITIES LOANED - 11.3% | | | | |
| | 13,966,343 | | | Mount Vernon Liquid Assets Portfolio, LLC, 5.22% (Cost $13,966,343)(c)(d)(e) | | | 13,966,343 | |
| | | | | | | | | |
| | | | | MONEY MARKET FUND - 0.6% | | | | |
| | 760,897 | | | First American Treasury Obligations Fund, Class X, 5.03% (Cost $760,897)(c) | | | 760,897 | |
| | | | | TOTAL SHORT-TERM INVESTMENTS (Cost $14,727,240) | | | 14,727,240 | |
| | | | | | | | | |
| | | | | TOTAL INVESTMENTS - 111.5% (Cost $112,048,034) | | $ | 138,326,353 | |
| | | | | LIABILITIES IN EXCESS OF OTHER ASSETS - (11.5)% | | | (14,177,350 | ) |
| | | | | NET ASSETS - 100.0% | | $ | 124,149,003 | |
| ADR | - American Depositary Receipt |
| | |
| LLC | - Limited Liability Company |
| | |
| LTD | - Limited Company |
| | |
| PLC | - Public Limited Company |
| | |
| REIT | - Real Estate Investment Trust |
| (a) | Non-income producing security. |
| (b) | All or a portion of the security is on loan. The Total fair value of the securities on loan as of June 30, 2023 was $13,753,774. |
| (c) | Rate disclosed is the seven day effective yield as of June 30, 2023. |
| (d) | Mutual Fund Series Trust’s securities lending policies and procedures require that the borrower: (i) deliver cash or U.S. Government securities as collateral with respect to each new loan of U.S. securities, equal to at least 102% of the value of the portfolio securities loaned, and (ii) at all times thereafter mark-to-market the collateral on a daily basis so that the market value of such collateral is at least 100% of the value of securities loaned. From time to time the collateral may not be 102% due to end of day market movement. The next business day additional collateral is obtained/received from the borrower to replenish/reestablish 102%. |
| (e) | Security was purchased with cash received as collateral for securities on loan at June 30, 2023. Total collateral had a value of $13,966,343 at June 30, 2023. |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Statements of Assets and Liabilities |
| June 30, 2023 |
| | | Catalyst Insider | | | Catalyst Energy | | | Catalyst/MAP | |
| | | Buying Fund | | | Infrastructure Fund | | | Global Equity Fund | |
| ASSETS: | | | | | | | | | | | | |
| Investment in Securities, at Cost | | $ | 16,666,703 | | | $ | 184,397,781 | | | $ | 61,665,124 | |
| Investment in Securities, at Value | | $ | 19,355,722 | | | $ | 237,813,511 | | | $ | 74,094,082 | |
| Foreign Currency, at value (at cost $0, $34,674, $0) | | | — | | | | 36,221 | | | | — | |
| Receivable for securities sold | | | 216,463 | | | | — | | | | — | |
| Receivable for Fund shares sold | | | 309 | | | | 75,709 | | | | 200 | |
| Dividends and interest receivable | | | 10,779 | | | | 310,580 | | | | 434,913 | |
| Prepaid expenses and other assets | | | 29,044 | | | | 45,762 | | | | 28,528 | |
| Total Assets | | | 19,612,317 | | | | 238,281,783 | | | | 74,557,723 | |
| | | | | | | | | | | | | |
| LIABILITIES: | | | | | | | | | | | | |
| Options written (proceeds $0, $0, $212,799) | | | — | | | | — | | | | 31,800 | |
| Payable upon return of securities loaned (Market value of securities on loan $4,789,675, $0, $0) | | | 4,863,034 | | | | — | | | | — | |
| Payable for securities purchased | | | 218,068 | | | | — | | | | — | |
| Payable for Fund shares redeemed | | | 6,090 | | | | 108,369 | | | | 63,705 | |
| Management fees payable | | | 5,508 | | | | 216,768 | | | | 34,767 | |
| Trustee fee payable | | | 3,618 | | | | 3,643 | | | | 3,694 | |
| Payable to related parties | | | 4,143 | | | | 11,876 | | | | 5,600 | |
| Compliance Officer fees payable | | | — | | | | 43 | | | | — | |
| Accrued 12b-1 fees | | | 9,552 | | | | 56,947 | | | | 11,262 | |
| Accrued expenses and other liabilities | | | 24,285 | | | | 57,484 | | | | 33,399 | |
| Total Liabilities | | | 5,134,298 | | | | 455,130 | | | | 184,227 | |
| | | | | | | | | | | | | |
| Net Assets | | $ | 14,478,019 | | | $ | 237,826,653 | | | $ | 74,373,496 | |
| | | | | | | | | | | | | |
| NET ASSETS CONSIST OF: | | | | | | | | | | | | |
| Paid in capital | | $ | 65,704,365 | | | $ | 226,844,894 | | | $ | 59,940,350 | |
| Accumulated earnings (deficits) | | | (51,226,346 | ) | | | 10,981,759 | | | | 14,433,146 | |
| Net Assets | | $ | 14,478,019 | | | $ | 237,826,653 | | | $ | 74,373,496 | |
| | | | | | | | | | | | | |
| Class A | | | | | | | | | | | | |
| Net Assets | | $ | 8,321,878 | | | $ | 28,701,916 | | | $ | 9,719,182 | |
| Shares of beneficial interest outstanding (a) | | | 554,084 | | | | 1,396,740 | | | | 580,668 | |
| Net asset value per share (Net assets/shares outstanding) | | $ | 15.02 | | | $ | 20.55 | | | $ | 16.74 | |
| Maximum offering price per share (b) | | $ | 15.94 | | | $ | 21.80 | | | $ | 17.76 | |
| Minimum redemption price per share (c) | | $ | 14.87 | | | $ | 20.34 | | | $ | 16.57 | |
| | | | | | | | | | | | | |
| Class C | | | | | | | | | | | | |
| Net Assets | | $ | 2,243,957 | | | $ | 26,744,802 | | | $ | 7,807,699 | |
| Shares of beneficial interest outstanding (a) | | | 157,258 | | | | 1,303,151 | | | | 482,246 | |
| Net asset value, offering price and redemption price per share (Net assets/shares outstanding) | | $ | 14.27 | | | $ | 20.52 | | | $ | 16.19 | |
| | | | | | | | | | | | | |
| Class I | | | | | | | | | | | | |
| Net Assets | | $ | 3,912,184 | | | $ | 182,379,935 | | | $ | 56,846,615 | |
| Shares of beneficial interest outstanding (a) | | | 254,731 | | | | 8,838,248 | | | | 3,385,732 | |
| Net asset value, offering price and redemption price per share (Net assets/shares outstanding) | | $ | 15.36 | | | $ | 20.64 | | | $ | 16.79 | |
| (a) | Unlimited number of shares of no par value beneficial interest authorized. |
| (b) | There is a maximum front-end sales charge (load) of 5.75% imposed on purchases of Class A shares for each Fund. |
| (c) | Investments in Class A shares made at or above $1 million breakpoint are not subject to an initial sales charge and may be subject to a 1% contingent deferred sales charge (“CDSC”) on shares redeemed within two years of purchase. |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Statements of Assets and Liabilities (Continued) |
| June 30, 2023 |
| | | Catalyst/Lyons | | | Catalyst | |
| | | Tactical | | | Dynamic Alpha | |
| | | Allocation Fund | | | Fund | |
| ASSETS: | | | | | | | | |
| Investment in Securities, at Cost | | $ | 31,709,034 | | | $ | 112,048,034 | |
| Investment in Securities, at Value | | $ | 32,963,954 | | | $ | 138,326,353 | |
| Receivable for securities sold | | | 225,475 | | | | 53,582 | |
| Receivable for Fund shares sold | | | 600 | | | | 62,884 | |
| Dividends and interest receivable | | | 34,510 | | | | 93,979 | |
| Prepaid expenses and other assets | | | 33,237 | | | | 37,454 | |
| Total Assets | | | 33,257,776 | | | | 138,574,252 | |
| | | | | | | | | |
| LIABILITIES: | | | | | | | | |
| Payable upon return of securities loaned (Market value of securities on loan $0, $13,753,774) | | | — | | | | 13,966,343 | |
| Payable for securities purchased | | | 143,550 | | | | — | |
| Payable for Fund shares redeemed | | | 46,077 | | | | 234,494 | |
| Management fees payable | | | 22,045 | | | | 90,851 | |
| Trustee fee payable | | | 3,637 | | | | 3,661 | |
| Payable to related parties | | | 4,425 | | | | 8,813 | |
| Compliance Officer fees payable | | | 297 | | | | 9 | |
| Accrued 12b-1 fees | | | 11,271 | | | | 77,058 | |
| Accrued expenses and other liabilities | | | 24,720 | | | | 44,020 | |
| Total Liabilities | | | 256,022 | | | | 14,425,249 | |
| | | | | | | | | |
| Net Assets | | $ | 33,001,754 | | | $ | 124,149,003 | |
| | | | | | | | | |
| NET ASSETS CONSIST OF: | | | | | | | | |
| Paid in capital | | $ | 32,979,764 | | | $ | 98,055,618 | |
| Accumulated earnings (deficits) | | | 21,990 | | | | 26,093,385 | |
| Net Assets | | $ | 33,001,754 | | | $ | 124,149,003 | |
| | | | | | | | | |
| Class A | | | | | | | | |
| Net Assets | | $ | 5,228,546 | | | $ | 63,267,079 | |
| Shares of beneficial interest outstanding (a) | | | 371,168 | | | | 3,151,670 | |
| Net asset value per share (Net assets/shares outstanding) | | $ | 14.09 | | | $ | 20.07 | |
| Maximum offering price per share (b) | | $ | 14.95 | | | $ | 21.29 | |
| Minimum redemption price per share (c) | | $ | 13.95 | | | $ | 19.87 | |
| | | | | | | | | |
| Class C | | | | | | | | |
| Net Assets | | $ | 14,774,867 | | | $ | 25,098,295 | |
| Shares of beneficial interest outstanding (a) | | | 1,100,983 | | | | 1,420,793 | |
| Net asset value, offering price and redemption price per share (Net assets/shares outstanding) | | $ | 13.42 | | | $ | 17.66 | |
| | | | | | | | | |
| Class I | | | | | | | | |
| Net Assets | | $ | 12,998,341 | | | $ | 35,783,629 | |
| Shares of beneficial interest outstanding (a) | | | 919,736 | | | | 1,743,713 | |
| Net asset value, offering price and redemption price per share (Net assets/shares outstanding) | | $ | 14.13 | | | $ | 20.52 | |
| (a) | Unlimited number of shares of no par value beneficial interest authorized. |
| (b) | There is a maximum front-end sales charge (load) of 5.75% imposed on purchases of Class A shares for each Fund. |
| (c) | Investments in Class A shares made at or above $1 million breakpoint are not subject to an initial sales charge and may be subject to a 1% contingent deferred sales charge (“CDSC”) on shares redeemed within two years of purchase. |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Statements of Operations |
| For the Year Ended June 30, 2023 |
| | | Catalyst Insider | | | Catalyst Energy | | | Catalyst/MAP | |
| | | Buying Fund | | | Infrastructure Fund | | | Global Equity Fund | |
| Investment Income: | | | | | | | | | | | | |
| Dividend income | | $ | 307,588 | | | $ | 10,873,666 | | | $ | 2,265,272 | |
| Interest income | | | 5,534 | | | | 30,837 | | | | 60,849 | |
| Securities lending - net | | | 11,044 | | | | — | | | | — | |
| Foreign tax withheld | | | (7,891 | ) | | | (367,817 | ) | | | (227,631 | ) |
| Total Investment Income | | | 316,275 | | | | 10,536,686 | | | | 2,098,490 | |
| | | | | | | | | | | | | |
| Operating Expenses: | | | | | | | | | | | | |
| Investment management fees | | | 153,537 | | | | 2,910,987 | | | | 753,715 | |
| 12b-1 fees: | | | | | | | | | | | | |
| Class A | | | 22,299 | | | | 72,288 | | | | 22,871 | |
| Class C | | | 23,275 | | | | 253,538 | | | | 79,688 | |
| Registration fees | | | 48,151 | | | | 61,233 | | | | 41,879 | |
| Administration fees | | | 22,141 | | | | 79,524 | | | | 45,181 | |
| Networking fees | | | 18,111 | | | | 228,649 | | | | 63,394 | |
| Trustees’ fees | | | 15,312 | | | | 15,312 | | | | 15,320 | |
| Legal fees | | | 14,912 | | | | 14,664 | | | | 14,094 | |
| Audit fees | | | 13,462 | | | | 13,965 | | | | 15,436 | |
| Compliance officer fees | | | 6,002 | | | | 16,391 | | | | 10,630 | |
| Custody fees | | | 5,818 | | | | 21,840 | | | | 14,740 | |
| Transfer agent fees | | | 4,101 | | | | 14,797 | | | | 7,309 | |
| Printing expense | | | 3,550 | | | | 44,669 | | | | 6,904 | |
| Management services fees | | | 3,026 | | | | 47,152 | | | | 15,261 | |
| Interest expense | | | 1,601 | | | | 15,558 | | | | 2,217 | |
| Insurance expense | | | 894 | | | | 4,999 | | | | 2,693 | |
| Miscellaneous expense | | | 2,626 | | | | 2,937 | | | | 2,696 | |
| Total Operating Expenses | | | 358,818 | | | | 3,818,503 | | | | 1,114,028 | |
| Less: Fees waived and/or reimbursed by Manager | | | (114,421 | ) | | | (145,542 | ) | | | (285,664 | ) |
| Net Operating Expenses | | | 244,397 | | | | 3,672,961 | | | | 828,364 | |
| | | | | | | | | | | | | |
| Net Investment Income | | | 71,878 | | | | 6,863,725 | | | | 1,270,126 | |
| | | | | | | | | | | | | |
| Realized and Unrealized Gain (Loss) on Investments, Foreign Currency Transactions, Options Written, and Foreign Currency Translations: | | | | | | | | | | | | |
| Net realized gain (loss) from: | | | | | | | | | | | | |
| Investments | | | (4,941,992 | ) | | | 12,901,563 | | | | 2,158,617 | |
| Options written | | | — | | | | — | | | | 82,948 | |
| Foreign currency transactions | | | — | | | | (8,172 | ) | | | 13,808 | |
| Net realized gain (loss) | | | (4,941,992 | ) | | | 12,893,391 | | | | 2,255,373 | |
| | | | | | | | | | | | | |
| Net change in unrealized appreciation (depreciation) on: | | | | | | | | | | | | |
| Investments | | | 9,112,947 | | | | 25,119,971 | | | | 2,027,830 | |
| Options written | | | — | | | | — | | | | 180,999 | |
| Foreign currency translations | | | — | | | | (1,123 | ) | | | 4,314 | |
| Net change in unrealized appreciation (depreciation) | | | 9,112,947 | | | | 25,118,848 | | | | 2,213,143 | |
| | | | | | | | | | | | | |
| Net Realized and Unrealized Gain on Investments | | | 4,170,955 | | | | 38,012,239 | | | | 4,468,516 | |
| | | | | | | | | | | | | |
| Net Increase in Net Assets Resulting From Operations | | $ | 4,242,833 | | | $ | 44,875,964 | | | $ | 5,738,642 | |
| | | | | | | | | | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Statements of Operations (Continued) |
| For the Year Ended June 30, 2023 |
| | | Catalyst/Lyons | | | Catalyst | |
| | | Tactical | | | Dynamic Alpha | |
| | | Allocation Fund | | | Fund | |
| Investment Income: | | | | | | | | |
| Dividend Income | | $ | 43,629 | | | $ | 2,103,957 | |
| Interest Income | | | 1,033,178 | | | | 24,035 | |
| Securities lending - net | | | — | | | | 44,340 | |
| Foreign tax withheld | | | — | | | | (22,907 | ) |
| Total Investment Income | | | 1,076,807 | | | | 2,149,425 | |
| | | | | | | | | |
| Operating Expenses: | | | | | | | | |
| Investment management fees | | | 462,314 | | | | 1,259,773 | |
| 12b-1 fees: | | | | | | | | |
| Class A | | | 14,259 | | | | 167,835 | |
| Class C | | | 155,896 | | | | 255,921 | |
| Registration fees | | | 46,898 | | | | 52,442 | |
| Networking fees | | | 31,871 | | | | 104,961 | |
| Administration fees | | | 29,003 | | | | 50,528 | |
| Trustees’ fees | | | 15,312 | | | | 15,250 | |
| Legal fees | | | 14,359 | | | | 19,244 | |
| Audit fees | | | 13,477 | | | | 13,469 | |
| Compliance officer fees | | | 12,593 | | | | 14,126 | |
| Management services fees | | | 7,519 | | | | 25,455 | |
| Custody fees | | | 3,922 | | | | 10,884 | |
| Printing expense | | | 3,702 | | | | 12,700 | |
| Transfer agent fees | | | 3,457 | | | | 9,765 | |
| Insurance expense | | | 1,322 | | | | 4,722 | |
| Interest expense | | | 284 | | | | 613 | |
| Miscellaneous expense | | | 2,938 | | | | 2,880 | |
| Total Operating Expenses | | | 819,126 | | | | 2,020,568 | |
| Less: Fees waived and/or reimbursed by Manager | | | (175,583 | ) | | | (172,829 | ) |
| Net Operating Expenses | | | 643,543 | | | | 1,847,739 | |
| | | | | | | | | |
| Net Investment Income | | | 433,264 | | | | 301,686 | |
| | | | | | | | | |
| Realized and Unrealized Gain (Loss) on Investments, and Purchased Options: | | | | | | | | |
| Net realized gain (loss) from: | | | | | | | | |
| Investments | | | 2,005,007 | | | | (226,897 | ) |
| Purchased Options | | | 803,596 | | | | — | |
| Net realized gain (loss) | | | 2,808,603 | | | | (226,897 | ) |
| | | | | | | | | |
| Net change in unrealized appreciation (depreciation) on: | | | | | | | | |
| Investments | | | (1,719,887 | ) | | | 18,743,834 | |
| Purchased Options | | | (423,951 | ) | | | — | |
| Net change in unrealized appreciation (depreciation) | | | (2,143,838 | ) | | | 18,743,834 | |
| | | | | | | | | |
| Net Realized and Unrealized Gain on Investments | | | 664,765 | | | | 18,516,937 | |
| | | | | | | | | |
| Net Increase in Net Assets Resulting From Operations | | $ | 1,098,029 | | | $ | 18,818,623 | |
| | | | | | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Statements of Changes in Net Assets |
| | | Catalyst Insider Buying Fund | | | Catalyst Energy Infrastructure Fund | | | Catalyst/MAP Global Equity Fund | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2023 | | | June 30, 2022 | |
| Operations: | | | | | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) | | $ | 71,878 | | | $ | (487,316 | ) | | $ | 6,863,725 | | | $ | 6,393,609 | | | $ | 1,270,126 | | | $ | 1,000,299 | |
| Net realized gain (loss) on investments | | | (4,941,992 | ) | | | (3,196,706 | ) | | | 12,893,391 | | | | 796,264 | | | | 2,255,373 | | | | 2,352,304 | |
| Net change in unrealized appreciation (depreciation) on investments | | | 9,112,947 | | | | (22,181,333 | ) | | | 25,118,848 | | | | 9,293,258 | | | | 2,213,143 | | | | (9,134,818 | ) |
| Net increase (decrease) in net assets resulting from operations | | | 4,242,833 | | | | (25,865,355 | ) | | | 44,875,964 | | | | 16,483,131 | | | | 5,738,642 | | | | (5,782,215 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Distributions to Shareholders from: | | | | | | | | | | | | | | | | | | | | | | | | |
| Return of Capital | | | | | | | | | | | | | | | | | | | | | | | | |
| Class A | | | — | | | | — | | | | (1,254,772 | ) | | | (1,376,812 | ) | | | — | | | | — | |
| Class C | | | — | | | | — | | | | (988,694 | ) | | | (999,754 | ) | | | — | | | | — | |
| Class I | | | — | | | | — | | | | (8,108,984 | ) | | | (7,153,659 | ) | | | — | | | | — | |
| Accumulated Earnings | | | | | | | | | | | | | | | | | | | | | | | | |
| Class A | | | — | | | | — | | | | (713,353 | ) | | | (730,042 | ) | | | — | | | | (176,950 | ) |
| Class C | | | — | | | | — | | | | (558,438 | ) | | | (448,443 | ) | | | — | | | | (104,120 | ) |
| Class I | | | — | | | | — | | | | (4,517,891 | ) | | | (2,697,632 | ) | | | — | | | | (1,176,800 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total distributions to shareholders | | | — | | | | — | | | | (16,142,132 | ) | | | (13,406,342 | ) | | | — | | | | (1,457,870 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Share Transactions of Beneficial Interest: | | | | | | | | | | | | | | | | | | | | | | | | |
| Net proceeds from shares sold | | | | | | | | | | | | | | | | | | | | | | | | |
| Class A | | | 1,276,137 | | | | 2,119,328 | | | | 5,806,317 | | | | 5,041,825 | | | | 1,929,257 | | | | 1,233,569 | |
| Class C | | | 64,648 | | | | 35,851 | | | | 3,771,867 | | | | 4,696,736 | | | | 559,160 | | | | 303,589 | |
| Class I | | | 409,052 | | | | 1,670,896 | | | | 62,856,294 | | | | 92,897,377 | | | | 18,225,081 | | | | 16,339,473 | |
| Reinvestment of distributions | | | | | | | | | | | | | | | | | | | | | | | | |
| Class A | | | — | | | | — | | | | 1,477,624 | | | | 1,536,394 | | | | — | | | | 127,800 | |
| Class C | | | — | | | | — | | | | 1,344,374 | | | | 1,251,436 | | | | — | | | | 84,475 | |
| Class I | | | — | | | | — | | | | 10,731,615 | | | | 8,180,489 | | | | — | | | | 1,006,888 | |
| Cost of shares redeemed | | | | | | | | | | | | | | | | | | | | | | | | |
| Class A | | | (3,220,141 | ) | | | (4,634,769 | ) | | | (8,695,450 | ) | | | (11,496,202 | ) | | | (1,706,467 | ) | | | (1,804,824 | ) |
| Class C | | | (993,178 | ) | | | (3,099,476 | ) | | | (4,464,186 | ) | | | (5,111,503 | ) | | | (1,545,929 | ) | | | (1,619,080 | ) |
| Class I | | | (2,428,359 | ) | | | (9,186,085 | ) | | | (68,010,317 | ) | | | (51,274,406 | ) | | | (20,944,683 | ) | | | (8,185,612 | ) |
| Net increase (decrease) in net assets from share transactions of beneficial interest | | | (4,891,841 | ) | | | (13,094,255 | ) | | | 4,818,138 | | | | 45,722,146 | | | | (3,483,581 | ) | | | 7,486,278 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Total Increase (Decrease) in Net Assets | | | (649,008 | ) | | | (38,959,610 | ) | | | 33,551,970 | | | | 48,798,935 | | | | 2,255,061 | | | | 246,193 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Net Assets: | | | | | | | | | | | | | | | | | | | | | | | | |
| Beginning of year | | | 15,127,027 | | | | 54,086,637 | | | | 204,274,683 | | | | 155,475,748 | | | | 72,118,435 | | | | 71,872,242 | |
| End of year | | $ | 14,478,019 | | | $ | 15,127,027 | | | $ | 237,826,653 | | | $ | 204,274,683 | | | $ | 74,373,496 | | | $ | 72,118,435 | |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Share Activity: | | | | | | | | | | | | | | | | | | | | | | | | |
| Class A | | | | | | | | | | | | | | | | | | | | | | | | |
| Shares Sold | | | 88,872 | | | | 97,561 | | | | 291,830 | | | | 283,723 | | | | 120,470 | | | | 71,890 | |
| Shares Reinvested | | | — | | | | — | | | | 74,973 | | | | 85,832 | | | | — | | | | 7,585 | |
| Shares Redeemed | | | (237,077 | ) | | | (279,913 | ) | | | (442,423 | ) | | | (654,096 | ) | | | (108,485 | ) | | | (105,703 | ) |
| Net increase (decrease) in shares of Beneficial interest | | | (148,205 | ) | | | (182,352 | ) | | | (75,620 | ) | | | (284,541 | ) | | | 11,985 | | | | (26,228 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Class C | | | | | | | | | | | | | | | | | | | | | | | | |
| Shares Sold | | | 4,806 | | | | 1,964 | | | | 192,238 | | | | 257,042 | | | | 35,771 | | | | 18,270 | |
| Shares Reinvested | | | — | | | | — | | | | 68,284 | | | | 69,531 | | | | — | | | | 5,123 | |
| Shares Redeemed | | | (76,614 | ) | | | (161,141 | ) | | | (225,203 | ) | | | (290,398 | ) | | | (99,734 | ) | | | (96,407 | ) |
| Net increase (decrease) in shares of Beneficial interest | | | (71,808 | ) | | | (159,177 | ) | | | 35,319 | | | | 36,175 | | | | (63,963 | ) | | | (73,014 | ) |
| | | | | | | | | | | | | | | | | | | | | | | | | |
| Class I | | | | | | | | | | | | | | | | | | | | | | | | |
| Shares Sold | | | 30,026 | | | | 93,442 | | | | 3,185,789 | | | | 4,997,996 | | | | 1,155,045 | | | | 950,085 | |
| Shares Reinvested | | | — | | | | — | | | | 542,340 | | | | 448,349 | | | | — | | | | 59,791 | |
| Shares Redeemed | | | (180,318 | ) | | | (658,775 | ) | | | (3,455,554 | ) | | | (2,773,173 | ) | | | (1,302,723 | ) | | | (479,058 | ) |
| Net increase (decrease) in shares of Beneficial interest | | | (150,292 | ) | | | (565,333 | ) | | | 272,575 | | | | 2,673,172 | | | | (147,678 | ) | | | 530,818 | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Statements of Changes in Net Assets (Continued) |
| | | Catalyst/Lyons Tactical Allocation Fund | | | Catalyst Dynamic Alpha Fund | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2023 | | | June 30, 2022 | |
| Operations: | | | | | | | | | | | | | | | | |
| Net investment income (loss) | | $ | 433,264 | | | $ | (262,655 | ) | | $ | 301,686 | | | $ | (52,598 | ) |
| Net realized gain (loss) on investments | | | 2,808,603 | | | | (92,636 | ) | | | (226,897 | ) | | | 5,475,629 | |
| Net change in unrealized appreciation (depreciation) on investments | | | (2,143,838 | ) | | | (10,085,474 | ) | | | 18,743,834 | | | | (12,908,628 | ) |
| Net increase (decrease) in net assets resulting from operations | | | 1,098,029 | | | | (10,440,765 | ) | | | 18,818,623 | | | | (7,485,597 | ) |
| | | | | | | | | | | | | | | | | |
| Distributions to Shareholders from: | | | | | | | | | | | | | | | | |
| Accumulated Earnings | | | | | | | | | | | | | | | | |
| Class A | | | (638,235 | ) | | | (51,044 | ) | | | (810,927 | ) | | | (21,254,845 | ) |
| Class C | | | (1,831,281 | ) | | | (126,964 | ) | | | (344,376 | ) | | | (9,902,033 | ) |
| Class I | | | (1,695,438 | ) | | | (149,253 | ) | | | (397,220 | ) | | | (12,443,436 | ) |
| | | | | | | | | | | | | | | | | |
| Total distributions to shareholders | | | (4,164,954 | ) | | | (327,261 | ) | | | (1,552,523 | ) | | | (43,600,314 | ) |
| | | | | | | | | | | | | | | | | |
| Share Transactions of Beneficial Interest: | | | | | | | | | | | | | | | | |
| Net proceeds from shares sold | | | | | | | | | | | | | | | | |
| Class A | | | 461,529 | | | | 1,737,274 | | | | 9,252,880 | | | | 5,712,846 | |
| Class C | | | 738,210 | | | | 2,461,069 | | | | 574,197 | | | | 1,333,846 | |
| Class I | | | 4,436,731 | | | | 6,645,576 | | | | 8,953,316 | | | | 4,332,865 | |
| Reinvestment of distributions | | | | | | | | | | | | | | | | |
| Class A | | | 602,569 | | | | 48,257 | | | | 788,680 | | | | 20,598,490 | |
| Class C | | | 1,812,645 | | | | 124,323 | | | | 333,482 | | | | 9,541,554 | |
| Class I | | | 1,539,451 | | | | 137,176 | | | | 360,101 | | | | 10,984,410 | |
| Cost of shares redeemed | | | | | | | | | | | | | | | | |
| Class A | | | (1,714,838 | ) | | | (2,656,778 | ) | | | (21,428,547 | ) | | | (19,598,175 | ) |
| Class C | | | (2,859,091 | ) | | | (3,241,990 | ) | | | (5,503,332 | ) | | | (9,013,761 | ) |
| Class I | | | (8,790,018 | ) | | | (7,663,518 | ) | | | (12,999,169 | ) | | | (17,616,059 | ) |
| Net increase (decrease) in net assets from share transactions of beneficial interest | | | (3,772,812 | ) | | | (2,408,611 | ) | | | (19,668,392 | ) | | | 6,276,016 | |
| | | | | | | | | | | | | | | | | |
| Total Decrease in Net Assets | | | (6,839,737 | ) | | | (13,176,637 | ) | | | (2,402,292 | ) | | | (44,809,895 | ) |
| | | | | | | | | | | | | | | | | |
| Net Assets: | | | | | | | | | | | | | | | | |
| Beginning of year | | | 39,841,491 | | | | 53,018,128 | | | | 126,551,295 | | | | 171,361,190 | |
| End of year | | $ | 33,001,754 | | | $ | 39,841,491 | | | $ | 124,149,003 | | | $ | 126,551,295 | |
| | | | | | | | | | | | | | | | | |
| Share Activity: | | | | | | | | | | | | | | | | |
| Class A | | | | | | | | | | | | | | | | |
| Shares Sold | | | 32,289 | | | | 90,536 | | | | 496,831 | | | | 261,234 | |
| Shares Reinvested | | | 44,602 | | | | 2,479 | | | | 41,488 | | | | 993,177 | |
| Shares Redeemed | | | (120,036 | ) | | | (145,423 | ) | | | (1,137,291 | ) | | | (906,745 | ) |
| Net increase (decrease) in shares of Beneficial interest | | | (43,145 | ) | | | (52,408 | ) | | | (598,972 | ) | | | 347,666 | |
| | | | | | | | | | | | | | | | | |
| Class C | | | | | | | | | | | | | | | | |
| Shares Sold | | | 52,354 | | | | 134,690 | | | | 35,386 | | | | 61,218 | |
| Shares Reinvested | | | 140,298 | | | | 6,592 | | | | 19,862 | | | | 516,039 | |
| Shares Redeemed | | | (212,097 | ) | | | (183,736 | ) | | | (335,679 | ) | | | (466,897 | ) |
| Net increase (decrease) in shares of Beneficial interest | | | (19,445 | ) | | | (42,454 | ) | | | (280,431 | ) | | | 110,360 | |
| | | | | | | | | | | | | | | | | |
| Class I | | | | | | | | | | | | | | | | |
| Shares Sold | | | 292,412 | | | | 346,867 | | | | 456,072 | | | | 189,026 | |
| Shares Reinvested | | | 113,781 | | | | 7,053 | | | | 18,562 | | | | 520,095 | |
| Shares Redeemed | | | (603,551 | ) | | | (430,267 | ) | | | (695,937 | ) | | | (790,708 | ) |
| Net decrease in shares of Beneficial interest | | | (197,358 | ) | | | (76,347 | ) | | | (221,303 | ) | | | (81,587 | ) |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst Insider Buying Fund |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class A | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 11.33 | | | $ | 24.08 | | | $ | 18.49 | | | $ | 19.28 | | | $ | 18.53 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) (A) | | | 0.07 | | | | (0.24 | ) | | | (0.28 | ) | | | (0.04 | ) | | | (0.17 | ) |
| Net realized and unrealized gain (loss) on investments | | | 3.62 | | | | (12.51 | ) | | | 5.87 | | | | (0.75 | ) | | | 0.92 | |
| Total from investment operations | | | 3.69 | | | | (12.75 | ) | | | 5.59 | | | | (0.79 | ) | | | 0.75 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 15.02 | | | $ | 11.33 | | | $ | 24.08 | | | $ | 18.49 | | | $ | 19.28 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 32.57 | % | | | (52.95 | )% | | | 30.23 | % | | | (4.10 | )% | | | 4.05 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 8,322 | | | $ | 7,959 | | | $ | 21,299 | | | $ | 14,703 | | | $ | 20,850 | |
| Ratios to average net assets (including interest expense)(E) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 2.29 | % | | | 1.81 | % | | | 1.70 | % | | | 1.69 | % | | | 1.63 | % |
| Expenses, net waiver and reimbursement (C) | | | 1.55 | % | | | 1.53 | % | | | 1.53 | % | | | 1.54 | % | | | 1.52 | % |
| Net investment loss, before waiver and reimbursement (C,D) | | | (0.21 | )% | | | (1.57 | )% | | | (1.47 | )% | | | (0.34 | )% | | | (1.01 | )% |
| Net investment income (loss), net waiver and reimbursement (C,D) | | | 0.53 | % | | | (1.29 | )% | | | (1.30 | )% | | | (0.20 | )% | | | (0.90 | )% |
| Portfolio turnover rate | | | 214 | % | | | 66 | % | | | 77 | % | | | 249 | % | | | 220 | % |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | Class C | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 10.85 | | | $ | 23.22 | | | $ | 17.97 | | | $ | 18.87 | | | $ | 18.28 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment loss (A) | | | (0.03 | ) | | | (0.37 | ) | | | (0.43 | ) | | | (0.17 | ) | | | (0.30 | ) |
| Net realized and unrealized gain (loss) on investments | | | 3.45 | | | | (12.00 | ) | | | 5.68 | | | | (0.73 | ) | | | 0.89 | |
| Total from investment operations | | | 3.42 | | | | (12.37 | ) | | | 5.25 | | | | (0.90 | ) | | | 0.59 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 14.27 | | | $ | 10.85 | | | $ | 23.22 | | | $ | 17.97 | | | $ | 18.87 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 31.52 | % | | | (53.27 | )% | | | 29.22 | % | | | (4.77 | )% | | | 3.23 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 2,244 | | | $ | 2,485 | | | $ | 9,015 | | | $ | 7,926 | | | $ | 11,973 | |
| Ratios to average net assets (including interest expense)(F) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 3.04 | % | | | 2.56 | % | | | 2.45 | % | | | 2.44 | % | | | 2.38 | % |
| Expenses, net waiver and reimbursement (C) | | | 2.29 | % | | | 2.28 | % | | | 2.28 | % | | | 2.29 | % | | | 2.27 | % |
| Net investment loss, before waiver and reimbursement (C,D) | | | (1.00 | )% | | | (2.32 | )% | | | (2.22 | )% | | | (1.09 | )% | | | (1.75 | )% |
| Net investment loss, net waiver and reimbursement (C,D) | | | (0.25 | )% | | | (2.04 | )% | | | (2.05 | )% | | | (0.94 | )% | | | (1.64 | )% |
| Portfolio turnover rate | | | 214 | % | | | 66 | % | | | 77 | % | | | 249 | % | | | 220 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends and does not reflect the impact of sales charges. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (D) | Recognition of net investment income (loss) is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
| (E) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 2.28 | % | | | 1.81 | % | | | 1.70 | % | | | 1.68 | % | | | | |
| Expenses, net waiver and reimbursement (C) | | | 1.54 | % | | | 1.53 | % | | | 1.53 | % | | | 1.53 | % | | | | |
| (F) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 3.03 | % | | | 2.56 | % | | | 2.45 | % | | | 2.43 | % | | | | |
| Expenses, net waiver and reimbursement (C) | | | 2.28 | % | | | 2.28 | % | | | 2.28 | % | | | 2.28 | % | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst Insider Buying Fund (Continued) |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class I | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 11.56 | | | $ | 24.50 | | | $ | 18.77 | | | $ | 19.51 | | | $ | 18.71 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) (A) | | | 0.10 | | | | (0.20 | ) | | | (0.23 | ) | | | 0.02 | | | | (0.12 | ) |
| Net realized and unrealized gain (loss) on investments | | | 3.70 | | | | (12.74 | ) | | | 5.96 | | | | (0.76 | ) | | | 0.92 | |
| Total from investment operations | | | 3.80 | | | | (12.94 | ) | | | 5.73 | | | | (0.74 | ) | | | 0.80 | |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 15.36 | | | $ | 11.56 | | | $ | 24.50 | | | $ | 18.77 | | | $ | 19.51 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 32.87 | % | | | (52.82 | )% | | | 30.53 | % | | | (3.79 | )% | | | 4.28 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 3,912 | | | $ | 4,682 | | | $ | 23,773 | | | $ | 17,478 | | | $ | 19,386 | |
| Ratios to average net assets (including interest expense)(E) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 2.04 | % | | | 1.56 | % | | | 1.45 | % | | | 1.44 | % | | | 1.38 | % |
| Expenses, net waiver and reimbursement (C) | | | 1.29 | % | | | 1.28 | % | | | 1.28 | % | | | 1.29 | % | | | 1.27 | % |
| Net investment loss, before waiver and reimbursement (C,D) | | | (0.01 | )% | | | (1.32 | )% | | | (1.22 | )% | | | (0.06 | )% | | | (0.73 | )% |
| Net investment income (loss), net waiver and reimbursement(C,D) | | | 0.74 | % | | | (1.04 | )% | | | (1.05 | )% | | | 0.09 | % | | | (0.62 | )% |
| Portfolio turnover rate | | | 214 | % | | | 66 | % | | | 77 | % | | | 249 | % | | | 220 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (D) | Recognition of net investment income (loss) is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
| (E) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 2.03 | % | | | 1.56 | % | | | 1.45 | % | | | 1.43 | % | | | | |
| Expenses, net waiver and reimbursement (C) | | | 1.28 | % | | | 1.28 | % | | | 1.28 | % | | | 1.28 | % | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst Energy Infrastructure Fund |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class A | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | (C) | | June 30, 2019 | (C) |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 18.02 | | | $ | 17.47 | | | $ | 12.18 | | | $ | 22.94 | | | $ | 27.40 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (A) | | | 0.56 | | | | 0.63 | | | | 0.59 | | | | 0.96 | | | | 1.05 | |
| Net realized and unrealized gain (loss) on investments | | | 3.31 | | | | 1.25 | | | | 6.00 | | | | (9.19 | ) | | | (2.36 | ) |
| Total from investment operations | | | 3.87 | | | | 1.88 | | | | 6.59 | | | | (8.23 | ) | | | (1.31 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | (0.48 | ) | | | (0.42 | ) | | | (0.16 | ) | | | (1.63 | ) | | | (0.20 | ) |
| From return of capital | | | (0.86 | ) | | | (0.91 | ) | | | (1.14 | ) | | | (0.90 | ) | | | (2.95 | ) |
| Total distributions | | | (1.34 | ) | | | (1.33 | ) | | | (1.30 | ) | | | (2.53 | ) | | | (3.15 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 20.55 | | | $ | 18.02 | | | $ | 17.47 | | | $ | 12.18 | | | $ | 22.94 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 22.08 | % | | | 11.07 | % | | | 58.01 | % | | | (38.65 | )% | | | (4.60 | )% |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 28,702 | | | $ | 26,527 | | | $ | 30,687 | | | $ | 23,625 | | | $ | 50,216 | |
| Ratios to average net assets (including interest expense)(D) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement | | | 1.75 | % | | | 1.73 | % | | | 1.81 | % | | | 1.81 | % | | | 1.73 | % |
| Expenses, net waiver and reimbursement | | | 1.69 | % | | | 1.68 | % | | | 1.68 | % | | | 1.70 | % | | | 1.68 | % |
| Net investment income, before waiver and reimbursement | | | 2.78 | % | | | 3.46 | % | | | 4.16 | % | | | 5.34 | % | | | 4.14 | % |
| Net investment income, net waiver and reimbursement | | | 2.84 | % | | | 3.51 | % | | | 4.28 | % | | | 5.45 | % | | | 4.19 | % |
| Portfolio turnover rate | | | 18 | % | | | 25 | % | | | 32 | % | | | 49 | % | | | 40 | % |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | Class C | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | (C) | | June 30, 2019 | (C) |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 18.00 | | | $ | 17.45 | | | $ | 12.17 | | | $ | 22.92 | | | $ | 27.40 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (A) | | | 0.41 | | | | 0.49 | | | | 0.48 | | | | 0.83 | | | | 0.85 | |
| Net realized and unrealized gain (loss) on investments | | | 3.31 | | | | 1.26 | | | | 6.00 | | | | (9.18 | ) | | | (2.33 | ) |
| Total from investment operations | | | 3.72 | | | | 1.75 | | | | 6.48 | | | | (8.35 | ) | | | (1.48 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | (0.43 | ) | | | (0.38 | ) | | | (0.15 | ) | | | (1.54 | ) | | | (0.20 | ) |
| From return of capital | | | (0.77 | ) | | | (0.82 | ) | | | (1.05 | ) | | | (0.86 | ) | | | (2.80 | ) |
| Total distributions | | | (1.20 | ) | | | (1.20 | ) | | | (1.20 | ) | | | (2.40 | ) | | | (3.00 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 20.52 | | | $ | 18.00 | | | $ | 17.45 | | | $ | 12.17 | | | $ | 22.92 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 21.15 | % | | | 10.26 | % | | | 56.78 | % | | | (39.03 | )% | | | (5.49 | )% |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 26,745 | | | $ | 22,817 | | | $ | 21,492 | | | $ | 17,127 | | | $ | 31,580 | |
| Ratios to average net assets (including interest expense)(E) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement | | | 2.50 | % | | | 2.48 | % | | | 2.56 | % | | | 2.57 | % | | | 2.48 | % |
| Expenses, net waiver and reimbursement | | | 2.44 | % | | | 2.43 | % | | | 2.43 | % | | | 2.45 | % | | | 2.43 | % |
| Net investment income, before waiver and reimbursement | | | 2.03 | % | | | 2.67 | % | | | 3.40 | % | | | 4.61 | % | | | 3.40 | % |
| Net investment income, net waiver and reimbursement | | | 2.09 | % | | | 2.72 | % | | | 3.52 | % | | | 4.73 | % | | | 3.45 | % |
| Portfolio turnover rate | | | 18 | % | | | 25 | % | | | 32 | % | | | 49 | % | | | 40 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends and does not reflect the impact of sales charges. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Effective March 25, 2020, the Fund had a five-for-one reverse stock split. Per Share amounts for the periods have been adjusted to give effect to the five-for-one stock split. |
| (D) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement | | | 1.75 | % | | | 1.73 | % | | | 1.80 | % | | | 1.79 | % | | | | |
| Expenses, net waiver and reimbursement | | | 1.69 | % | | | 1.68 | % | | | 1.67 | % | | | 1.68 | % | | | | |
| (E) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement | | | 2.50 | % | | | 2.48 | % | | | 2.55 | % | | | 2.54 | % | | | | |
| Expenses, net waiver and reimbursement | | | 2.44 | % | | | 2.43 | % | | | 2.42 | % | | | 2.43 | % | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst Energy Infrastructure Fund (Continued) |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class I | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | (C) | | June 30, 2019 | (C) |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 18.09 | | | $ | 17.53 | | | $ | 12.22 | | | $ | 23.02 | | | $ | 27.50 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (A) | | | 0.61 | | | | 0.68 | | | | 0.62 | | | | 1.01 | | | | 1.15 | |
| Net realized and unrealized gain (loss) on investments | | | 3.34 | | | | 1.26 | | | | 6.03 | | | | (9.24 | ) | | | (2.38 | ) |
| Total from investment operations | | | 3.95 | | | | 1.94 | | | | 6.65 | | | | (8.23 | ) | | | (1.23 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | (0.50 | ) | | | (0.44 | ) | | | (0.17 | ) | | | (1.65 | ) | | | (0.25 | ) |
| From return of capital | | | (0.90 | ) | | | (0.94 | ) | | | (1.17 | ) | | | (0.92 | ) | | | (3.00 | ) |
| Total distributions | | | (1.40 | ) | | | (1.38 | ) | | | (1.34 | ) | | | (2.57 | ) | | | (3.25 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 20.64 | | | $ | 18.09 | | | $ | 17.53 | | | $ | 12.22 | | | $ | 23.02 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 22.42 | % | | | 11.37 | % | | | 58.39 | % | | | (38.45 | )% | | | (4.54 | )% |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 182,380 | | | $ | 154,931 | | | $ | 103,297 | | | $ | 58,983 | | | $ | 118,252 | |
| Ratios to average net assets (including interest expense)(D) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement | | | 1.50 | % | | | 1.48 | % | | | 1.55 | % | | | 1.56 | % | | | 1.48 | % |
| Expenses, net waiver and reimbursement | | | 1.44 | % | | | 1.43 | % | | | 1.43 | % | | | 1.45 | % | | | 1.43 | % |
| Net investment income, before waiver and reimbursement | | | 3.03 | % | | | 3.65 | % | | | 4.32 | % | | | 5.63 | % | | | 4.51 | % |
| Net investment income, net waiver and reimbursement | | | 3.09 | % | | | 3.70 | % | | | 4.43 | % | | | 5.74 | % | | | 4.56 | % |
| Portfolio turnover rate | | | 18 | % | | | 25 | % | | | 32 | % | | | 49 | % | | | 40 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Effective March 25, 2020, the Fund had a five-for-one reverse stock split. Per Share amounts for the periods have been adjusted to give effect to the five-for-one stock split. |
| (D) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement | | | 1.50 | % | | | 1.48 | % | | | 1.55 | % | | | 1.54 | % | | | | |
| Expenses, net waiver and reimbursement | | | 1.44 | % | | | 1.43 | % | | | 1.42 | % | | | 1.43 | % | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst/MAP Global Equity Fund |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class A | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 15.55 | | | $ | 17.10 | | | $ | 13.28 | | | $ | 14.75 | | | $ | 15.33 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (A) | | | 0.25 | | | | 0.20 | | | | 0.16 | | | | 0.18 | | | | 0.14 | |
| Net realized and unrealized gain (loss) on investments | | | 0.94 | | | | (1.44 | ) | | | 3.93 | | | | (1.14 | ) | | | 0.57 | |
| Total from investment operations | | | 1.19 | | | | (1.24 | ) | | | 4.09 | | | | (0.96 | ) | | | 0.71 | |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | (0.31 | ) | | | (0.27 | ) | | | (0.31 | ) | | | — | |
| From net realized gains on investments | | | — | | | | — | | | | — | | | | (0.20 | ) | | | (1.29 | ) |
| Total distributions | | | — | | | | (0.31 | ) | | | (0.27 | ) | | | (0.51 | ) | | | (1.29 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 16.74 | | | $ | 15.55 | | | $ | 17.10 | | | $ | 13.28 | | | $ | 14.75 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 7.65 | % | | | (7.41 | )% | | | 31.10 | % | | | (6.81 | )% | | | 5.39 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 9,719 | | | $ | 8,845 | | | $ | 10,172 | | | $ | 10,667 | | | $ | 11,977 | |
| Ratios to average net assets (including interest expense)(E) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 1.59 | % | | | 1.57 | % | | | 1.63 | % | | | 1.64 | % | | | 1.62 | % |
| Expenses, net waiver and reimbursement (C) | | | 1.21 | % | | | 1.21 | % | | | 1.21 | % | | | 1.21 | % | | | 1.28 | % |
| Net investment income, before waiver and reimbursement (C,D) | | | 1.20 | % | | | 0.83 | % | | | 0.60 | % | | | 0.86 | % | | | 0.63 | % |
| Net investment income, net waiver and reimbursement (C,D) | | | 1.58 | % | | | 1.19 | % | | | 1.02 | % | | | 1.29 | % | | | 0.97 | % |
| Portfolio turnover rate | | | 27 | % | | | 10 | % | | | 14 | % | | | 42 | % | | | 13 | % |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | Class C | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 15.16 | | | $ | 16.67 | | | $ | 12.95 | | | $ | 14.40 | | | $ | 15.11 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (A) | | | 0.12 | | | | 0.07 | | | | 0.04 | | | | 0.07 | | | | 0.03 | |
| Net realized and unrealized gain (loss) on investments | | | 0.91 | | | | (1.40 | ) | | | 3.85 | | | | (1.12 | ) | | | 0.55 | |
| Total from investment operations | | | 1.03 | | | | (1.33 | ) | | | 3.89 | | | | (1.05 | ) | | | 0.58 | |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | (0.18 | ) | | | (0.17 | ) | | | (0.20 | ) | | | — | |
| From net realized gains on investments | | | — | | | | — | | | | — | | | | (0.20 | ) | | | (1.29 | ) |
| Total distributions | | | — | | | | (0.18 | ) | | | (0.17 | ) | | | (0.40 | ) | | | (1.29 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 16.19 | | | $ | 15.16 | | | $ | 16.67 | | | $ | 12.95 | | | $ | 14.40 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 6.79 | % | | | (8.07 | )% | | | 30.18 | % | | | (7.54 | )% | | | 4.58 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 7,808 | | | $ | 8,279 | | | $ | 10,321 | | | $ | 8,961 | | | $ | 10,534 | |
| Ratios to average net assets (including interest expense)(F) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 2.34 | % | | | 2.32 | % | | | 2.38 | % | | | 2.39 | % | | | 2.37 | % |
| Expenses, net waiver and reimbursement (C) | | | 1.96 | % | | | 1.96 | % | | | 1.96 | % | | | 1.96 | % | | | 2.03 | % |
| Net investment income (loss), before waiver and reimbursement (C,D) | | | 0.40 | % | | | 0.05 | % | | | (0.13 | )% | | | 0.10 | % | | | (0.06 | )% |
| Net investment income, net waiver and reimbursement (C,D) | | | 0.78 | % | | | 0.41 | % | | | 0.29 | % | | | 0.53 | % | | | 0.28 | % |
| Portfolio turnover rate | | | 27 | % | | | 10 | % | | | 14 | % | | | 42 | % | | | 13 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends and does not reflect the impact of sales charges. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (D) | Recognition of net investment income (loss) is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
| (E) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 1.59 | % | | | 1.57 | % | | | | | | | | | | | | |
| Expenses, net waiver and reimbursement (C) | | | 1.21 | % | | | 1.21 | % | | | | | | | | | | | | |
| (F) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 2.34 | % | | | 2.32 | % | | | | | | | | | | | | |
| Expenses, net waiver and reimbursement (C) | | | 1.96 | % | | | 1.96 | % | | | | | | | | | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst/MAP Global Equity Fund (Continued) |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class I | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 15.56 | | | $ | 17.11 | | | $ | 13.29 | | | $ | 14.76 | | | $ | 15.32 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (A) | | | 0.29 | | | | 0.25 | | | | 0.21 | | | | 0.21 | | | | 0.22 | |
| Net realized and unrealized gain (loss) on investments | | | 0.94 | | | | (1.45 | ) | | | 3.92 | | | | (1.14 | ) | | | 0.53 | |
| Total from investment operations | | | 1.23 | | | | (1.20 | ) | | | 4.13 | | | | (0.93 | ) | | | 0.75 | |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | (0.35 | ) | | | (0.31 | ) | | | (0.34 | ) | | | (0.02 | ) |
| From net realized gains on investments | | | — | | | | — | | | | — | | | | (0.20 | ) | | | (1.29 | ) |
| Total distributions | | | — | | | | (0.35 | ) | | | (0.31 | ) | | | (0.54 | ) | | | (1.31 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 16.79 | | | $ | 15.56 | | | $ | 17.11 | | | $ | 13.29 | | | $ | 14.76 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 7.90 | % | | | (7.15 | )% | | | 31.42 | % | | | (6.59 | )% | | | 5.70 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 56,847 | | | $ | 54,994 | | | $ | 51,380 | | | $ | 32,104 | | | $ | 40,221 | |
| Ratios to average net assets (including interest expense)(E) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 1.34 | % | | | 1.32 | % | | | 1.37 | % | | | 1.38 | % | | | 1.37 | % |
| Expenses, net waiver and reimbursement (C) | | | 0.96 | % | | | 0.96 | % | | | 0.96 | % | | | 0.96 | % | | | 1.03 | % |
| Net investment income, before waiver and reimbursement (C)(D) | | | 1.44 | % | | | 1.12 | % | | | 0.96 | % | | | 1.06 | % | | | 1.17 | % |
| Net investment income, net waiver and reimbursement (C)(D) | | | 1.82 | % | | | 1.48 | % | | | 1.38 | % | | | 1.48 | % | | | 1.51 | % |
| Portfolio turnover rate | | | 27 | % | | | 10 | % | | | 14 | % | | | 42 | % | | | 13 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (D) | Recognition of net investment income is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
| (E) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 1.34 | % | | | 1.32 | % | | | | | | | | | | | | |
| Expenses, net waiver and reimbursement (C) | | | 0.96 | % | | | 0.96 | % | | | | | | | | | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst/Lyons Tactical Allocation Fund |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class A | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 15.25 | | | $ | 19.01 | | | $ | 13.81 | | | $ | 15.38 | | | $ | 16.92 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) (A) | | | 0.20 | | | | (0.06 | ) | | | (0.03 | ) | | | 0.10 | | | | 0.13 | |
| Net realized and unrealized gain (loss) on investments | | | 0.31 | | | | (3.59 | ) | | | 5.81 | | | | — | (E,H) | | | (1.26 | ) |
| Total from investment operations | | | 0.51 | | | | (3.65 | ) | | | 5.78 | | | | 0.10 | | | | (1.13 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | — | | | | — | | | | (0.15 | ) | | | (0.09 | ) |
| From net realized gains on investments | | | (1.67 | ) | | | (0.11 | ) | | | (0.58 | ) | | | (1.52 | ) | | | (0.32 | ) |
| Total distributions | | | (1.67 | ) | | | (0.11 | ) | | | (0.58 | ) | | | (1.67 | ) | | | (0.41 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 14.09 | | | $ | 15.25 | | | $ | 19.01 | | | $ | 13.81 | | | $ | 15.38 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 3.84 | % | | | (19.33 | )% | | | 42.45 | % | | | 0.72 | % | | | (6.71 | )% |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 5,229 | | | $ | 6,317 | | | $ | 8,874 | | | $ | 5,775 | | | $ | 15,438 | |
| Ratios to average net assets (including interest expense)(F) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 2.01 | % | | | 1.90 | % | | | 1.94 | % | | | 1.95 | % | | | 1.82 | % |
| Expenses, net waiver and reimbursement (C) | | | 1.53 | % | | | 1.53 | % | | | 1.53 | % | | | 1.56 | % | | | 1.53 | % |
| Net investment income (loss), before waiver and reimbursement (C,D) | | | 0.91 | % | | | (0.70 | )% | | | (0.62 | )% | | | 0.28 | % | | | 0.51 | % |
| Net investment income (loss), net waiver and reimbursement (C,D) | | | 1.39 | % | | | (0.33 | )% | | | (0.20 | )% | | | 0.67 | % | | | 0.78 | % |
| Portfolio turnover rate | | | 94 | % | | | 54 | % | | | 32 | % | | | 108 | % | | | 182 | % |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | Class C | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 14.71 | | | $ | 18.48 | | | $ | 13.53 | | | $ | 15.08 | | | $ | 16.64 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) (A) | | | 0.09 | | | | (0.19 | ) | | | (0.16 | ) | | | (0.02 | ) | | | 0.01 | |
| Net realized and unrealized gain (loss) on investments | | | 0.29 | | | | (3.47 | ) | | | 5.69 | | | | 0.01 | (E) | | | (1.24 | ) |
| Total from investment operations | | | 0.38 | | | | (3.66 | ) | | | 5.53 | | | | (0.01 | ) | | | (1.23 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | — | | | | — | | | | (0.02 | ) | | | (0.01 | ) |
| From net realized gains on investments | | | (1.67 | ) | | | (0.11 | ) | | | (0.58 | ) | | | (1.52 | ) | | | (0.32 | ) |
| Total distributions | | | (1.67 | ) | | | (0.11 | ) | | | (0.58 | ) | | | (1.54 | ) | | | (0.33 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 13.42 | | | $ | 14.71 | | | $ | 18.48 | | | $ | 13.53 | | | $ | 15.08 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 3.05 | % | | | (19.94 | )% | | | 41.46 | % | | | (0.03 | )% | | | (7.44 | )% |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 14,775 | | | $ | 16,480 | | | $ | 21,494 | | | $ | 15,542 | | | $ | 22,334 | |
| Ratios to average net assets (including interest expense)(G) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 2.76 | % | | | 2.65 | % | | | 2.69 | % | | | 2.72 | % | | | 2.56 | % |
| Expenses, net waiver and reimbursement (C) | | | 2.28 | % | | | 2.28 | % | | | 2.28 | % | | | 2.32 | % | | | 2.28 | % |
| Net investment income (loss), before waiver and reimbursement (C,D) | | | 0.16 | % | | | (1.44 | )% | | | (1.37 | )% | | | (0.52 | )% | | | (0.23 | )% |
| Net investment income (loss), net waiver and reimbursement (C,D) | | | 0.64 | % | | | (1.07 | )% | | | (0.96 | )% | | | (0.12 | )% | | | 0.05 | % |
| Portfolio turnover rate | | | 94 | % | | | 54 | % | | | 32 | % | | | 108 | % | | | 182 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends and does not reflect the impact of sales charges. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (D) | Recognition of net investment income (loss) is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
| (E) | As required by SEC standard per share data calculation methodology, this represents a balancing figure derived from the other amounts in the financial highlights tables that captures all other changes affecting net asset value per share. This per share gain amount does not correlate to the aggregate of the net realized and unrealized loss in the Statement of Operations for the year ended June 30, 2020, primarily due to the timing of sales and repurchases of the Fund’s shares in relation to fluctuating market values of the Fund’s portfolio. |
| (F) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 2.01 | % | | | 1.90 | % | | | 1.94 | % | | | 1.95 | % | | | | |
| Expenses, net waiver and reimbursement (C) | | | 1.53 | % | | | 1.53 | % | | | 1.53 | % | | | 1.55 | % | | | | |
| (G) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 2.76 | % | | | 2.65 | % | | | 2.69 | % | | | 2.70 | % | | | | |
| Expenses, net waiver and reimbursement (C) | | | 2.28 | % | | | 2.28 | % | | | 2.28 | % | | | 2.30 | % | | | | |
| (H) | Represents an amount less than $0.01 per share. |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst/Lyons Tactical Allocation Fund (Continued) |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class I | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 15.26 | | | $ | 18.98 | | | $ | 13.75 | | | $ | 15.33 | | | $ | 16.91 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) (A) | | | 0.23 | | | | (0.01 | ) | | | 0.01 | | | | 0.14 | | | | 0.17 | |
| Net realized and unrealized gain (loss) on investments | | | 0.31 | | | | (3.60 | ) | | | 5.80 | | | | 0.01 | (E) | | | (1.27 | ) |
| Total from investment operations | | | 0.54 | | | | (3.61 | ) | | | 5.81 | | | | 0.15 | | | | (1.10 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | — | | | | — | | | | (0.21 | ) | | | (0.16 | ) |
| From net realized gains on investments | | | (1.67 | ) | | | (0.11 | ) | | | (0.58 | ) | | | (1.52 | ) | | | (0.32 | ) |
| Total distributions | | | (1.67 | ) | | | (0.11 | ) | | | (0.58 | ) | | | (1.73 | ) | | | (0.48 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 14.13 | | | $ | 15.26 | | | $ | 18.98 | | | $ | 13.75 | | | $ | 15.33 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 4.05 | % | | | (19.15 | )% | | | 42.86 | % | | | 1.02 | % | | | (6.53 | )% |
| | | | | | | | | | | | | | | | | | | | �� | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 12,998 | | | $ | 17,044 | | | $ | 22,650 | | | $ | 13,016 | | | $ | 29,104 | |
| Ratios to average net assets (including interest expense)(F) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (C) | | | 1.75 | % | | | 1.65 | % | | | 1.69 | % | | | 1.70 | % | | | 1.56 | % |
| Expenses, net waiver and reimbursement (C) | | | 1.28 | % | | | 1.28 | % | | | 1.28 | % | | | 1.30 | % | | | 1.28 | % |
| Net investment income (loss), before waiver and reimbursement (C,D) | | | 1.15 | % | | | (0.44 | )% | | | (0.36 | )% | | | 0.53 | % | | | 0.75 | % |
| Net investment income (loss), net waiver and reimbursement (C,D) | | | 1.62 | % | | | (0.07 | )% | | | 0.05 | % | | | 0.93 | % | | | 1.02 | % |
| Portfolio turnover rate | | | 94 | % | | | 54 | % | | | 32 | % | | | 108 | % | | | 182 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (D) | Recognition of net investment income (loss) is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
| (E) | As required by SEC standard per share data calculation methodology, this represents a balancing figure derived from the other amounts in the financial highlights tables that captures all other changes affecting net asset value per share. This per share gain amount does not correlate to the aggregate of the net realized and unrealized loss in the Statement of Operations for the year ended June 30, 2020, primarily due to the timing of sales and repurchases of the Fund’s shares in relation to fluctuating market values of the Fund’s portfolio. |
| (F) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement (C) | | | 1.75 | % | | | 1.65 | % | | | 1.69 | % | | | 1.69 | % | | | | |
| Expenses, net waiver and reimbursement (C) | | | 1.28 | % | | | 1.28 | % | | | 1.28 | % | | | 1.30 | % | | | | |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst Dynamic Alpha Fund |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class A | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 17.42 | | | $ | 24.69 | | | $ | 20.47 | | | $ | 19.50 | | | $ | 22.51 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) (A) | | | 0.06 | | | | 0.01 | | | | (0.13 | ) | | | — | (E) | | | 0.11 | |
| Net realized and unrealized gain (loss) on investments | | | 2.81 | | | | (0.62 | ) | | | 4.35 | | | | 0.99 | | | | 0.31 | |
| Total from investment operations | | | 2.87 | | | | (0.61 | ) | | | 4.22 | | | | 0.99 | | | | 0.42 | |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | — | | | | — | | | | (0.02 | ) | | | (0.05 | ) |
| From net realized gains on investments | | | (0.22 | ) | | | (6.66 | ) | | | — | | | | — | | | | (3.38 | ) |
| Total distributions | | | (0.22 | ) | | | (6.66 | ) | | | — | | | | (0.02 | ) | | | (3.43 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | �� | $ | 20.07 | | | $ | 17.42 | | | $ | 24.69 | | | $ | 20.47 | | | $ | 19.50 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 16.55 | % | | | (6.77 | )% | | | 20.62 | % | | | 5.10 | % | | | 3.04 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 63,267 | | | $ | 65,337 | | | $ | 84,018 | | | $ | 84,563 | | | $ | 132,383 | |
| Ratios to average net assets (including interest expense)(C) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (F) | | | 1.52 | % | | | 1.49 | % | | | 1.48 | % | | | 1.54 | % | | | 1.45 | % |
| Expenses, net waiver and reimbursement (F) | | | 1.38 | % | | | 1.38 | % | | | 1.38 | % | | | 1.39 | % | | | 1.37 | % |
| Net investment income (loss), before waiver and reimbursement (F,G) | | | 0.19 | % | | | (0.05 | )% | | | (0.67 | )% | | | (0.14 | )% | | | 0.45 | % |
| Net investment income (loss), net waiver and reimbursement (F,G) | | | 0.33 | % | | | 0.06 | % | | | (0.58 | )% | | | 0.01 | % | | | 0.54 | % |
| Portfolio turnover rate | | | 79 | % | | | 85 | % | | | 116 | % | | | 106 | % | | | 113 | % |
| | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | |
| | | Class C | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 15.47 | | | $ | 22.74 | | | $ | 18.99 | | | $ | 18.21 | | | $ | 21.35 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment loss (A) | | | (0.07 | ) | | | (0.14 | ) | | | (0.28 | ) | | | (0.13 | ) | | | (0.05 | ) |
| Net realized and unrealized gain (loss) on investments | | | 2.48 | | | | (0.47 | ) | | | 4.03 | | | | 0.91 | | | | 0.29 | |
| Total from investment operations | | | 2.41 | | | | (0.61 | ) | | | 3.75 | | | | 0.78 | | | | 0.24 | |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net realized gains on investments | | | (0.22 | ) | | | (6.66 | ) | | | — | | | | — | | | | (3.38 | ) |
| Total distributions | | | (0.22 | ) | | | (6.66 | ) | | | — | | | | — | | | | (3.38 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 17.66 | | | $ | 15.47 | | | $ | 22.74 | | | $ | 18.99 | | | $ | 18.21 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 15.65 | % | | | (7.45 | )% | | | 19.75 | % | | | 4.28 | % | | | 2.26 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 25,098 | | | $ | 26,315 | | | $ | 36,180 | | | $ | 35,572 | | | $ | 59,985 | |
| Ratios to average net assets (including interest expense)(D) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement (F) | | | 2.27 | % | | | 2.24 | % | | | 2.23 | % | | | 2.29 | % | | | 2.20 | % |
| Expenses, net waiver and reimbursement (F) | | | 2.13 | % | | | 2.13 | % | | | 2.13 | % | | | 2.14 | % | | | 2.12 | % |
| Net investment loss, before waiver and reimbursement (F,G) | | | (0.56 | )% | | | (0.81 | )% | | | (1.43 | )% | | | (0.89 | )% | | | (0.33 | )% |
| Net investment loss, net waiver and reimbursement (F,G) | | | (0.42 | )% | | | (0.70 | )% | | | (1.33 | )% | | | (0.74 | )% | | | (0.24 | )% |
| Portfolio turnover rate | | | 79 | % | | | 85 | % | | | 116 | % | | | 106 | % | | | 113 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends and does not reflect the impact of sales charges. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement | | | 1.52 | % | | | 1.49 | % | | | 1.48 | % | | | 1.53 | % | | | | |
| Expenses, net waiver and reimbursement | | | 1.38 | % | | | 1.38 | % | | | 1.38 | % | | | 1.38 | % | | | | |
| (D) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement | | | 2.27 | % | | | 2.24 | % | | | 2.23 | % | | | 2.28 | % | | | | |
| Expenses, net waiver and reimbursement | | | 2.13 | % | | | 2.13 | % | | | 2.13 | % | | | 2.13 | % | | | | |
| (E) | Represents an amount less than $0.01 per share. |
| (F) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (G) | Recognition of net investment income (loss) is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| Catalyst Dynamic Alpha Fund (Continued) |
| Financial Highlights |
For a Share Outstanding Throughout Each Year.
| | | Class I | |
| | | For the | | | For the | | | For the | | | For the | | | For the | |
| | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | | | Year Ended | |
| | | June 30, 2023 | | | June 30, 2022 | | | June 30, 2021 | | | June 30, 2020 | | | June 30, 2019 | |
| | | | | | | | | | | | | | | | |
| Net asset value, beginning of year | | $ | 17.76 | | | $ | 25.00 | | | $ | 20.67 | | | $ | 19.71 | | | $ | 22.72 | |
| | | | | | | | | | | | | | | | | | | | | |
| INCOME (LOSS) FROM INVESTMENT OPERATIONS: | | | | | | | | | | | | | | | | | | | | |
| Net investment income (loss) (A) | | | 0.11 | | | | 0.07 | | | | (0.08 | ) | | | 0.05 | | | | 0.17 | |
| Net realized and unrealized gain (loss) on investments | | | 2.87 | | | | (0.65 | ) | | | 4.41 | | | | 0.99 | | | | 0.31 | |
| Total from investment operations | | | 2.98 | | | | (0.58 | ) | | | 4.33 | | | | 1.04 | | | | 0.48 | |
| | | | | | | | | | | | | | | | | | | | | |
| LESS DISTRIBUTIONS: | | | | | | | | | | | | | | | | | | | | |
| From net investment income | | | — | | | | — | | | | — | | | | (0.08 | ) | | | (0.11 | ) |
| From net realized gains on investments | | | (0.22 | ) | | | (6.66 | ) | | | — | | | | — | | | | (3.38 | ) |
| Total distributions | | | (0.22 | ) | | | (6.66 | ) | | | — | | | | (0.08 | ) | | | (3.49 | ) |
| | | | | | | | | | | | | | | | | | | | | |
| Net asset value, end of year | | $ | 20.52 | | | $ | 17.76 | | | $ | 25.00 | | | $ | 20.67 | | | $ | 19.71 | |
| | | | | | | | | | | | | | | | | | | | | |
| Total return (B) | | | 16.85 | % | | | (6.54 | )% | | | 20.95 | % | | | 5.32 | % | | | 3.32 | % |
| | | | | | | | | | | | | | | | | | | | | |
| RATIOS/SUPPLEMENTAL DATA: | | | | | | | | | | | | | | | | | | | | |
| Net assets, end of year (in 000’s) | | $ | 35,784 | | | $ | 34,899 | | | $ | 51,163 | | | $ | 59,938 | | | $ | 147,479 | |
| Ratios to average net assets (including interest expense)(C) | | | | | | | | | | | | | | | | | | | | |
| Expenses, before waiver and reimbursement | | | 1.27 | % | | | 1.24 | % | | | 1.23 | % | | | 1.29 | % | | | 1.21 | % |
| Expenses, net waiver and reimbursement | | | 1.13 | % | | | 1.13 | % | | | 1.13 | % | | | 1.14 | % | | | 1.12 | % |
| Net investment income (loss), before waiver and reimbursement (D,E) | | | 0.44 | % | | | 0.18 | % | | | (0.43 | )% | | | 0.10 | % | | | 0.72 | % |
| Net investment income (loss), net waiver and reimbursement (D,E) | | | 0.58 | % | | | 0.29 | % | | | (0.33 | )% | | | 0.25 | % | | | 0.81 | % |
| Portfolio turnover rate | | | 79 | % | | | 85 | % | | | 116 | % | | | 106 | % | | | 113 | % |
| (A) | Per share amounts calculated using average shares method, which more appropriately presents the per share data for the year. |
| (B) | Total return in the above table represents the rate that the investor would have earned or lost on an investment in the Fund assuming reinvestment of dividends. Had the manager not waived its fees and reimbursed certain expenses, total return would have been lower. |
| (C) | Ratios to average net assets (excluding interest expense) |
| Expenses, before waiver and reimbursement | | | 1.27 | % | | | 1.24 | % | | | 1.23 | % | | | 1.28 | % | | | | |
| Expenses, net waiver and reimbursement | | | 1.13 | % | | | 1.13 | % | | | 1.13 | % | | | 1.13 | % | | | | |
| (D) | Does not include expenses of the underlying investment companies in which the Fund invests. |
| (E) | Recognition of net investment income (loss) is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests. |
The accompanying notes are an integral part of these financial statements.
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS |
| June 30, 2023 | ANNUAL REPORT |
| (1) | ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES |
Mutual Fund Series Trust (the “Trust”), was organized as an Ohio business trust on February 27, 2006. The Trust is registered as an open-end management investment company under the Investment Company Act of 1940, as amended, (“1940 Act”). The Trust currently consists of thirty-six series. These financial statements include the following five series set forth below (each a “Fund” and collectively, the “Funds”). The investment objectives of each Fund are set forth below. The Funds’ investment manager is Catalyst Capital Advisors, LLC (the “Manager” or “CCA”).
| Fund | | Sub-Advisor | | Primary Objective |
| Catalyst Insider Buying Fund (“Insider Buying”) | | | | Long-term capital appreciation |
| Catalyst Energy Infrastructure Fund (“Energy Infrastructure”) | | SL Advisors, LLC (“SL”) | | Current income and capital appreciation |
| Catalyst/MAP Global Equity Fund (“Global Equity”) | | Managed Asset Portfolios, LLC (“MAP”) | | Long-term capital appreciation |
| Catalyst/Lyons Tactical Allocation Fund (“Tactical Allocation”) | | Lyons Wealth Management, LLC (“Lyons”) | | Long-term capital appreciation |
| Catalyst Dynamic Alpha Fund (“Dynamic Alpha”) | | Cookson, Peirce & Co., Inc. (“CP”) | | Long-term capital appreciation |
Energy Infrastructure and Dynamic Alpha are each non-diversified series of the Trust and Insider Buying, Global Equity, and Tactical Allocation are each diversified series of the Trust.
Each Fund offers Class A, Class C and Class I shares. Each class represents an interest in the same assets of the applicable Fund, and the classes are identical except for differences in their sales charge structures and ongoing service and distribution charges. All classes of shares have equal voting privileges except that each class has exclusive voting rights with respect to its service and/or distribution plans.
As of the close of business on April 30, 2021, the Catalyst Small-Cap Insider Buying Fund became part of the Insider Buying Fund and Insider Buying Fund acquired all the net assets and certain liabilities of the Catalyst Small-Cap Insider Buying Fund in a tax-free plan of reorganization approved by the Trust’s Board of Trustees.
The following is a summary of significant accounting policies consistently followed by the Funds and is in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Each Fund is an investment company and accordingly follow the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946 “Financial Services – Investment Companies” and Accounting Standards Update (“ASU”) 2013-08.
a) Securities Valuation – Securities listed on an exchange are valued at the last reported sale price at the close of the regular trading session of the exchange on the business day the value is being determined, or in the case of securities listed on NASDAQ, at the NASDAQ Official Closing Price (“NOCP”). In the absence of a sale, such securities shall be valued at the last bid price on the day of valuation. Debt securities including Bank Loans (other than short-term obligations) are valued each day by an independent pricing service approved by the Board of Trustees (the “Board”) using methods which include current market quotations from a major market maker in the securities and based on methods which include the consideration of yields or prices of securities of comparable quality, coupon, maturity and type. The Funds may invest in portfolios of open-end (the “open-end funds”) or closed-end investment companies. Open-end funds are valued at their respective net asset values as reported by such investment companies. The underlying funds value securities in their portfolios for which market quotations are readily available at their market values (generally the last reported sale price) and all other securities and assets at their fair value by the methods established by the boards of directors of the open-end funds. The shares of many closed-end investment companies, after their initial public offering, frequently trade at a price per share, which is different than the net asset value per share. The difference represents a market premium or market discount of such shares. There can be no assurances that the market discount or market premium on shares of any closed-end investment company purchased by the Funds will not change. Short-term debt obligations having 60 days or less remaining until maturity, at time of purchase, may be valued at amortized cost, provided each such valuation represents fair value. Options are valued at their closing price on the exchange they are traded on. When no closing price is available, options are valued at their mean price. Futures, which are traded on an exchange, are valued at the settlement price determined by the exchange. Foreign currency and forward currency exchange contracts are valued daily at the London Stock Exchange close each day.
In unusual circumstances, instead of valuing securities in the usual manner, the Funds may value securities at “fair value” as determined in good faith by the Board, pursuant to the procedures (the “Procedures”) approved by the Board. The Procedures consider, among others, the following factors to determine a security’s fair value: the nature and pricing history (if any) of the security; whether any dealer quotations for the security are available; and possible valuation methodologies that could be used to determine
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
the fair value of the security. Fair value may also be used by the Board if extraordinary events occur after the close of the relevant world market but prior to the NYSE close.
Each Fund utilizes various methods to measure the fair value of most of its investments on a recurring basis. GAAP establishes a hierarchy that prioritizes inputs to valuation methods. The three levels of input are:
Level 1 – Unadjusted quoted prices in active markets for identical assets and liabilities that the Funds have the ability to access.
Level 2 – Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument in an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
Level 3 – Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Funds’ own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.
The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.
The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety, is determined based on the lowest level input that is significant to the fair value measurement in its entirety.
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following tables summarize the inputs used as of June 30, 2023, for each Fund’s assets and liabilities measured at fair value:
| Insider Buying | | | | | | | | | | | | |
| Assets(a) | | Total | | | Level 1 | | | Level 2 | | | Level 3 | |
| Common Stocks | | $ | 14,407,009 | | | $ | 14,407,009 | | | $ | — | | | $ | — | |
| Money Market Fund | | | 85,679 | | | | 85,679 | | | | — | | | | — | |
| Total | | $ | 14,492,688 | | | $ | 14,492,688 | | | $ | — | | | $ | — | |
| Collateral for Securities Loaned(b) | | | 4,863,034 | | | | | | | | | | | | | |
| Total Assets | | $ | 19,355,722 | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | |
| Energy Infrastructure | | | | | | | | | | | | |
| Assets(a) | | Total | | | Level 1 | | | Level 2 | | | Level 3 | |
| Common Stocks | | $ | 237,197,225 | | | $ | 237,197,225 | | | $ | — | | | $ | — | |
| Short-Term Investment | | | 616,286 | | | | 616,286 | | | | — | | | | — | |
| Total Assets | | $ | 237,813,511 | | | $ | 237,813,511 | | | $ | — | | | $ | — | |
| | | | | | | | | | | | | | | | | |
| Global Equity | | | | | | | | | | | | |
| Assets(a) | | Total | | | Level 1 | | | Level 2 | | | Level 3 | |
| Common Stocks | | $ | 67,972,184 | | | $ | 67,972,184 | | | $ | — | | | $ | — | |
| Exchange-Traded Funds | | | 5,891,554 | | | | 5,891,554 | | | | — | | | | — | |
| Short-Term Investment | | | 230,344 | | | | 230,344 | | | | — | | | | — | |
| Total Assets | | $ | 74,094,082 | | | $ | 74,094,082 | | | $ | — | | | $ | — | |
| | | | | | | | | | | | | | | | | |
| Liabilities(a) | | Total | | | Level 1 | | | Level 2 | | | Level 3 | |
| Call Options Written | | $ | 31,800 | | | $ | 31,800 | | | $ | — | | | $ | — | |
| Total Liabilities | | $ | 31,800 | | | $ | 31,800 | | | $ | — | | | $ | — | |
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
| Tactical Allocation | | | | | | | | | | | | |
| Assets(a) | | Total | | | Level 1 | | | Level 2 | | | Level 3 | |
| Common Stocks | | $ | 31,681,029 | | | $ | 31,681,029 | | | $ | — | | | $ | — | |
| Short-Term Investment | | | 785,275 | | | | 785,275 | | | | — | | | | — | |
| Put Options Purchased | | | 497,650 | | | | 497,650 | | | | — | | | | — | |
| Total Assets | | $ | 32,963,954 | | | $ | 32,963,954 | | | $ | — | | | $ | — | |
| | | | | | | | | | | | | | | | | |
| Dynamic Alpha | | | | | | | | | | | | |
| Assets(a) | | Total | | | Level 1 | | | Level 2 | | | Level 3 | |
| Common Stocks | | $ | 123,599,113 | | | $ | 123,599,113 | | | $ | — | | | $ | — | |
| Money Market Fund | | | 760,897 | | | | 760,897 | | | | — | | | | — | |
| Total | | $ | 124,360,010 | | | $ | 124,360,010 | | | $ | — | | | $ | — | |
| Collateral for Securities Loaned (b) | | | 13,966,343 | | | | | | | | | | | | | |
| Total Assets | | $ | 138,326,353 | | | | | | | | | | | | | |
The Funds did not hold any Level 3 securities during the year.
| (a) | Refer to the Schedule of Investments for industry security classifications. |
| (b) | In accordance with Subtopic 820-10, certain investments that are measured at fair value using the net asset value per share (or its equivalent) have not been classified in the fair value hierarchy. The fair value amount presented in this table is intended to permit reconciliation of the fair value hierarchy to the amounts presented in the Statements of Assets and Liabilities. |
b) Accounting for Options – The Funds are subject to equity price risks in the normal course of pursuing their investment objectives and may purchase or sell options to help hedge against risk. When the Funds write a call or put option, an amount equal to the premium received is included in the Statements of Assets and Liabilities as a liability. The amount of the liability is subsequently marked-to-market to reflect the current market value of the option. If an option expires on its stipulated expiration date or if the Funds enter into a closing purchase transaction, a gain or loss is realized. If a written put option is exercised, the purchase cost of the underlying security is reduced by the premium originally received. If a written call option is exercised, a gain or loss is realized for the sale of the underlying security and the proceeds from the sale are increased by the premium originally received. As writer of an option, the Funds have no control over whether the option will be exercised and, as a result, retain the market risk of an unfavorable change in the price of the security underlying the written option.
Certain Funds may purchase put and call options. Put options are purchased to hedge against a decline in the value of securities held in a Fund’s portfolio. If such a decline occurs, the put options will permit the Fund to sell the securities underlying such options at the exercise price, or to close out the options at a profit. The premium paid for a put or call option plus any transaction costs will reduce the benefit, if any, realized by the Fund upon exercise of the option, and, unless the price of the underlying security rises or declines sufficiently, the option may expire worthless to the Fund. In addition, in the event that the price of the security in connection with which an option was purchased moves in a direction favorable to a Fund, the benefits realized by the Fund as a result of such favorable movement will be reduced by the amount of the premium paid for the option and related transaction costs. Written and purchased options are non-income producing securities. With purchased options, there is minimal counterparty risk to the Funds since these options are exchange traded and the exchange’s clearinghouse, as counterparty to all exchange traded options, guarantees against a possible default. Initial margin deposits required upon entering into options contracts are satisfied by the deposits of cash as collateral for the account of the broker (the Funds’ agent in acquiring the options).
Foreign Currency – All assets and liabilities denominated in foreign currencies are translated into U.S. dollars based on the rate of exchange of such currencies against U.S. dollars on the date of valuation. Purchases and sales of securities and income and expenses are translated at the rate of exchange quoted on the respective date that such transactions are recorded. The Funds do not isolate the portion of the results of operations for realized gain and losses resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Unrealized gains and losses resulting from changes in foreign exchange rates on investments are not isolated from changes in the valuation of securities held.
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
Foreign Exchange Rate Risk – Foreign exchange rate risk relates to the change in the U.S. dollar value of a security held that is denominated in a foreign currency. The U.S. dollar value of a foreign currency denominated security will decrease as the dollar appreciates against the currency, while the U.S. dollar value will increase as the dollar depreciates against the currency.
Volatility Risk – Volatility risk refers to the magnitude of the movement, but not the direction of the movement, in a financial instrument’s price over a defined time period. Large increases or decreases in a financial instrument’s price over a relative time period typically indicate greater volatility risk, while small increases or decreases in its price typically indicate lower volatility risk.
Market Risk – Overall market risks may also affect the value of the Funds. The market values of securities or other investments owned by the Funds will go up or down, sometimes rapidly or unpredictably. Factors such as economic growth and market conditions, interest rate levels, exchange rates and political events affect the securities markets. Changes in market conditions and interest rates generally do not have the same impact on all types of securities and instruments. Unexpected local, regional or global events and their aftermath, such as war; acts of terrorism; financial, political or social disruptions; natural environmental or man-made disasters; climate-change and climate related events; the spread of infectious illnesses or other public health issues; recessions and depressions; or other tragedies, catastrophes and events could have a significant impact on the Funds and their investments and could result in increased premiums or discounts to a Fund’s net asset value, and may impair market liquidity, thereby increasing liquidity risk. Such events can cause investor fear and panic, which can adversely affect the economies of many companies, sectors, nations, regions and the market in general, in ways that cannot necessarily be foreseen. The Funds could lose money over short periods due to short-term market movements and over longer periods during prolonged market downturns. During a general market downturn, multiple asset classes may be negatively affected. In times of severe market disruptions, you could lose your entire investment.
Derivatives are not accounted for as hedging instruments under GAAP. The effect of derivative instruments on the Statements of Assets and Liabilities at June 30, 2023, were as follows:
| | | | | | | Location of derivatives on | | Fair value of asset/liability | |
| Fund | | Derivative | | Risk Type | | Statements of Assets and Liabilities | | derivatives | |
| Global Equity | | | | | | |
| | | Written Options | | Equity | | Options Written | | $ | 31,800 | |
| | | | | | | Totals | | $ | 31,800 | |
| | | | | | | | | | | |
| Tactical Allocation | | | | | | |
| | | Purchased Options | | Equity | | Investment in Securities, at Value | | $ | 497,650 | |
| | | | | | | Totals | | $ | 497,650 | |
| | | | | | | | | | | |
| The effect of derivative instruments on the Statements of Operations for the year ended June 30, 2023, were as follows: |
| | | | | | | | | | | |
| | | | | | | | | Realized and unrealized gain | |
| Fund | | Derivative | | Risk Type | | Location of gain (loss) on derivatives | | (loss) on derivatives | |
| Global Equity | | | | | | |
| | | Written Options | | Equity | | Net realized gain on written options | | $ | 82,948 | |
| | | Written Options | | Equity | | Net change in unrealized appreciation on options written | | | 180,999 | |
| | | | | | | Totals | | $ | 263,947 | |
| | | | | | | | | | | |
| Tactical Allocation | | | | | | |
| | | Purchased Options | | Equity | | Net realized loss on purchased options | | $ | 803,596 | |
| | | Purchased Options | | Equity | | Net change in unrealized depreciation on purchased options | | $ | (423,951 | ) |
| | | | | | | Totals | | $ | 379,645 | |
As of June 30, 2023, the amounts realized and changes in unrealized gains and losses on derivative instruments during the year as disclosed above and within the Statements of Operations serve as indicators of the volume of derivative activity for the Funds.
c) Investment Companies – Some Funds may invest in other investment companies, including closed-end funds and exchange traded funds (“ETFs”)(collectively, “Underlying Funds”). ETFs are a type of index fund bought and sold on a securities exchange. An ETF trades like common stock and represents a fixed portfolio of securities. The risks of owning an ETF generally reflect the risks of owning the underlying securities it is designed to track, although the lack of liquidity on an ETF could result in it being more volatile. Additionally, ETFs have fees and expenses that reduce their value.
Underlying Funds in which the Funds invest are subject to investment advisory and other expenses, which will be indirectly paid by the Funds. As a result, the cost of investing in the Funds will be higher than the cost of investing directly in the Underlying Funds and
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
may be higher than other mutual funds that invest directly in stocks and bonds. Each Underlying Fund is subject to its own specific risks, but the manager and/or sub-advisor expects the principal investments risks of such Underlying Funds will be similar to the risks of investing in the Funds.
d) Federal Income Tax – The Funds have qualified and intend to continue to qualify as regulated investment companies and to comply with the applicable provisions of the Internal Revenue Code of 1986, as amended, and to distribute substantially all of their taxable income to their shareholders. Therefore, no federal income or excise tax provisions are required.
As of and during the year ended June 30, 2023, the Funds did not have a liability for any unrecognized tax expense. The Funds recognize interest and penalties, if any, related to unrecognized tax expense as income tax expense in the Statements of Operations. As of June 30, 2023, the Funds did not incur any interest or penalties. As required, management has analyzed the Funds’ tax positions on federal income tax returns for all open tax years (tax years or periods ended 2020-2022 for the Funds) or expected to be taken in 2023 and has concluded that no provision for income tax is required in these financial statements. The tax filings are open for examination by applicable taxing authorities, including the Internal Revenue Service. No examinations of the Funds’ filings are presently in progress.
e) Security Transactions and Investment Income – Investment and shareholder transactions are recorded on trade date. The Funds determine the gain or loss realized from the investment transactions by comparing the original cost of the security lot sold with the net sales proceeds. Dividend income is recognized on the ex-dividend date or as soon as information is available to the Funds and interest income is recognized on an accrual basis. Discounts and premiums on debt securities are amortized over their respective lives using the effective interest method, except certain callable debt securities that are held at premium and will be amortized to the earliest call date. Withholding taxes on foreign dividends have been provided for in accordance with the Funds’ understanding of the applicable country’s tax rules and rates. Distributions received from a Fund’s investments in Master Limited Partnerships (“MLPs”) generally are comprised of income and return of capital. The Funds record these distributions as investment income and subsequently adjusts these distributions within the components of net assets based upon their tax treatment when the information becomes available.
f) Energy Infrastructure typically concentrates its investments in the energy sector and, therefore, is more susceptible to energy sector risk. Investments in MLPs and MLP-related securities involve risks different from those of investing in common stock including risks related to limited control and limited rights to vote on matters affecting the MLP or MLP-related security, risks related to potential conflicts of interest between an MLP and the MLP’s general partner, cash flow risks, dilution risks (which could occur if the MLP raises capital and then invests it in projects whose return fails to exceed the cost of capital raised) and risks related to the general partner’s limited call right. MLPs and MLP-related securities are generally considered interest-rate sensitive investments. During periods of interest rate volatility, these investments may not provide attractive returns. Depending on the state of interest rates in general, the use of MLPs or MLP-related securities could enhance or harm the overall performance of the Fund. The Energy Infrastructure Fund has a tax year end of November 30.
g) Multiple Class Allocations – Income, non-class specific expenses and realized/unrealized gains or losses are allocated to each class based on relative net assets. Distribution fees are charged to each respective share class in accordance with the distribution plan.
h) Expenses of the Trust that are directly identifiable to a specific Fund are charged to that Fund. Expenses, which are not readily identifiable to a specific Fund, are allocated in such a manner as deemed equitable, taking into consideration the nature and type of expense and the relative sizes of the Funds in the Trust.
i) Distribution to Shareholders – Distributions to shareholders, which are determined in accordance with income tax regulations and may differ from GAAP, are recorded on the ex-dividend date. The following table summarizes each Fund’s dividend and capital gain declaration policy:
| Fund | Income Dividends | Capital Gains |
| Insider Buying | Annually | Annually |
| Energy Infrastructure | Monthly | Annually |
| Global Equity | Annually | Annually |
| Tactical Allocation | Annually | Annually |
| Dynamic Alpha | Annually | Annually |
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
j) Use of Estimates – The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Funds follow the specialized accounting and reporting requirements under GAAP that are applicable to investment companies.
k) Indemnification – The Trust indemnifies its Officers and Trustees for certain liabilities that may arise from the performance of their duties to the Trust. Additionally, in the normal course of business, the Funds enter into contracts that contain a variety of representations and warranties and which provide general indemnities. The Funds’ maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Funds that have not yet occurred. However, based on experience, the risk of loss due to these warranties and indemnities appears to be remote.
l) Redemption Fees and Sales Charges (loads) – A wire transfer fee of $15 may be charged to defray custodial charges for redemptions paid by wire transfer. A maximum sales charge of 5.75% is imposed on Class A shares of the Funds. Investments in Class A shares made at or above the $1 million breakpoint are not subject to an initial sales charge and may be subject to a 1% contingent deferred sales charge (“CDSC”) on shares redeemed within two years of purchase (excluding shares purchased with reinvested dividends and/or distributions). A CDSC of 1.00% is imposed on Class A in the event of certain redemption transactions within one year following such investments. There were no CDSC fees paid by the shareholders of the Funds.
m) Cash – Each Fund considers its investment in an FDIC insured interest bearing savings account to be cash. Each Fund maintains cash balances, which, at times, may exceed federally insured limits. Each Fund maintains these balances with a high quality financial institution.
n) Distributions from REITs — Distribution from REITs are initially recorded as dividend income and, to the extent such represent a return of capital or capital gain for tax purposes, are reclassified when such information becomes available.
| (2) | INVESTMENT TRANSACTIONS |
For the year ended June 30, 2023, aggregate purchases and proceeds from sales of investment securities (excluding short-term investments) for the Funds were as follows:
| | | Purchases | | | Sales Proceeds | | | | | | | |
| | | (excluding U.S. | | | (excluding U.S. | | | Purchases of | | | Sales Proceeds of | |
| | | Government | | | Government | | | U.S. Government | | | U.S. Government | |
| Fund | | Securities) | | | Securities) | | | Securities | | | Securities | |
| Insider Buying | | $ | 32,616,390 | | | $ | 37,352,147 | | | $ | — | | | $ | — | |
| Energy Infrastructure | | | 42,432,313 | | | | 44,849,619 | | | | — | | | | — | |
| Global Equity | | | 20,108,462 | | | | 19,855,986 | | | | — | | | | — | |
| Tactical Allocation | | | 30,225,692 | | | | 40,233,122 | | | | — | | | | — | |
| Dynamic Alpha | | | 98,465,790 | | | | 118,996,759 | | | | — | | | | — | |
| (3) | MANAGEMENT AGREEMENT AND OTHER RELATED PARTY TRANSACTIONS |
CCA acts as investment manager for the Funds pursuant to the terms of a Management Agreement with the Trust, on behalf of the Funds (the “Management Agreement”). Under the terms of the Management Agreement, the Manager manages the investment operations of the Funds in accordance with each Fund’s respective investment policies and restrictions. Each investment sub-advisor is responsible for the day-to-day management of their Fund’s portfolio. The Manager provides the Funds with investment advice and supervision and furnishes an investment program for the Funds. For its investment management services, the Funds pay to the Manager an annualized fee as shown in the below table, such fees to be computed daily based upon daily average net assets of the Funds. The Funds’ sub-advisors are paid by the Manager, not the Funds.
The Manager and the Trust, with respect to the Funds, have entered into Expense Limitation Agreements (the “Expense Limitation”) under which the Manager has contractually agreed to waive fees and/or reimburse expenses to the extent necessary to ensure total
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
annual operating expenses (excluding brokerage costs; borrowing costs, such as (a) interest and (b) dividends on securities sold short; taxes; underlying fund expenses; and extraordinary expenses such as regulatory inquiry and litigation expenses) do not exceed the expense limitation shown in the table below, based each Fund’s average daily net assets.
For the year ended June 30, 2023, the Manager waived management fees. The Manager may recapture a portion of the waived amounts. The Manager may seek reimbursement only for fees waived or expenses reimbursed by a Fund within the three years following the date the waiver and/or reimbursement was incurred, if the Fund is able to make the repayment without exceeding the limitation in effect at that time of the waiver or at the time of the reimbursement, no later than the dates as stated below:
| | | | | | | | | | | | | Management Fees |
| | | Management | | Expense Limitation | | | | Waived and/or |
| Fund | | Agreement | | Cl A | | Cl C | | Cl I | | Expires | | Reimbursed | |
| Insider Buying | | 1.00% | | 1.53% | | 2.28% | | 1.28% | | 10/31/2023 | | $ | 114,421 | |
| Energy Infrastructure | | 1.25% | | 1.68% | | 2.43% | | 1.43% | | 10/31/2023 | | | 145,542 | |
| Global Equity | | 1.00% | | 1.21% | | 1.96% | | 0.96% | | 10/31/2023 | | | 285,664 | |
| Tactical Allocation | | 1.25% | | 1.53% | | 2.28% | | 1.28% | | 10/31/2023 | | | 175,583 | |
| Dynamic Alpha | | 1.00% | | 1.38% | | 2.13% | | 1.13% | | 10/31/2023 | | | 172,829 | |
| | | Recapture Expires | |
| | | No Later Than June 30, | |
| Fund | | 2024 | | | 2025 | | | 2026 | |
| Insider Buying | | $ | 77,264 | | | | $106,821 | | | $ | 114,421 | |
| Energy Infrastructure | | | 129,460 | | | | 88,950 | | | | 145,542 | |
| Global Equity | | | 249,594 | | | | 277,805 | | | | 285,664 | |
| Tactical Allocation | | | 180,235 | | | | 196,082 | | | | 175,583 | |
| Dynamic Alpha | | | 173,971 | | | | 177,953 | | | | 172,829 | |
A Trustee is also the controlling member of MFund Services, LLC (“MFund”) and the Manager, and is not paid any fees directly by the Trust for serving in such capacities.
Trustees who are not “interested persons” as that term is defined in the 1940 Act, are paid a quarterly retainer and receive compensation for each special Board meeting and Risk and Compliance Committee meeting attended. The fees paid to the Independent Trustees for their attendance at a meeting will be shared equally by the Funds of the Trust in which the meeting relates. The Lead Independent Trustee of the Trust, and the Chairmen of the Trust’s Audit Committee and Risk and Compliance Committee receive an additional quarterly retainer. The “interested persons” of the Trust receive no compensation from the Funds. The Trust reimburses each Trustee and Officer for his or her travel and other expenses related to attendance at such meetings.
The Board has adopted the Trust’s Master Distribution and Shareholder Servicing Plan (the “Plan”) pursuant to rule 12b-1 under the 1940 Act. Each class of shares, excluding Class I shares, allows the Funds to pay distribution and shareholder servicing expenses of up to 0.50% per annum for the Class A shares and up to 1.00% for the Class C shares based on average daily net assets of each class. The Class A shares are currently paying 0.25% per annum of 12b-1 fees and Class C shares are currently paying 1.00% per annum of 12b-1 fees. The fee may be used for a variety of purposes, including compensating dealers and other financial service organizations for eligible services provided by those parties to the Funds and their shareholders and to reimburse Northern Lights Distributors, LLC (the “Distributor”) and Manager for distribution related expenses. Brokers may receive a 1.00% commission from the Distributor for the sale of Class C shares. Alt Fund Distributors LLC, acts as a wholesale marketing and distribution agent for the Funds. As compensation for these services, Alt Fund Distributors is entitled to reimbursement, through the Funds’ Rule 12b-1 Plan, of expenses attributable to sales of Fund shares including marketing materials, broker commission financing costs, and wholesaling fees.
Pursuant to the Management Services Agreement between the Trust and Mfund Services LLC (“Mfund”), Mfund, an affiliate of the Advisor, provides the Funds with various management and legal administrative services (the “Management Services Agreement”). For these services, the Funds pay MFund as of the last day of each month an annualized asset-based fee which scales downward based upon net assets. In addition, the Funds reimburse MFund for any reasonable out-of-pocket expenses incurred in the performance of its duties under the Management Services Agreement. The amounts due to MFund for the Management Services Agreement are listed in the Statements of Assets and Liabilities under “Payable to related parties” and the amounts accrued for the year are shown in the Statements of Operations under “Management service fees.”
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
Pursuant to the Compliance Services Agreement, MFund an affiliate of the Manager, provides chief compliance officer services to the Funds (the “Compliance Services Agreement”). For these services, the Funds pay MFund as of the last day of each month annualized base fees. In addition, the Funds reimburse MFund for any reasonable out-of-pocket expenses incurred in the performance of its duties under the Compliance Services Agreement. The amounts due to MFund for chief compliance officer services are listed in the Statements of Assets and Liabilities under “Compliance Officer fees payable” and the amounts accrued for the year are shown in the Statements of Operations under “Compliance Officer fees.”
In addition, certain affiliates of the Distributor provide services to the Funds as follows:
Ultimus Fund Solutions, LLC (“UFS”) ��� UFS, an affiliate of the Distributor, provides administrative, fund accounting, and transfer agency services to the Funds pursuant to agreements with the Trust, for which it receives from each Fund: (i) basis points in decreasing amounts as assets reach certain breakpoints; and (ii) any related out-of-pocket expenses. Officers of the Trust are also employees of UFS, and are not paid any fees directly by the Trust for serving in such capacity.
Blu Giant, LLC (“Blu Giant”) – Blu Giant, an affiliate of the Distributor and UFS, provides EDGAR conversion and filing services as well as print management services for the Funds on an ad-hoc basis. For the provision of these services, Blu Giant receives customary fees from the Funds.
For the year ended June 30, 2023, the 12b-1 expenses accrued by the Funds were as follows:
| | | 12b-1 Fees | |
| Fund | | Class A | | | Class C | |
| Insider Buying | | $ | 22,299 | | | $ | 23,275 | |
| Energy Infrastructure | | | 72,288 | | | | 253,538 | |
| Global Equity | | | 22,871 | | | | 79,688 | |
| Tactical Allocation | | | 14,259 | | | | 155,896 | |
| Dynamic Alpha | | | 167,835 | | | | 255,921 | |
| (4) | AGGREGATE UNREALIZED APPRECIATION AND DEPRECIATION – TAX BASIS |
The Funds for the year ended June 30, 2023 (except for the Energy Infrastructure Fund in which its tax period-ended November 30, 2022 cost has been adjusted for June 30, 2023 activity).
| | | | | | Gross | | | Gross | | | Net Unrealized | |
| | | | | | Unrealized | | | Unrealized | | | Appreciation/ | |
| Fund | | Tax Cost | | | Appreciation | | | Depreciation | | | (Depreciation) | |
| Insider Buying | | $ | 16,695,428 | | | $ | 2,838,703 | | | $ | (178,409 | ) | | $ | 2,660,294 | |
| Energy Infrastructure | | | 143,732,140 | | | | 63,531,625 | | | | (22,865,984 | ) | | | 40,665,641 | |
| Global Equity | | | 61,452,325 | | | | 15,929,610 | | | | (3,319,653 | ) | | | 12,609,957 | |
| Tactical Allocation | | | 31,285,083 | | | | 1,741,829 | | | | (62,958 | ) | | | 1,678,871 | |
| Dynamic Alpha | | | 112,088,881 | | | | 26,667,658 | | | | (430,186 | ) | | | 26,237,472 | |
| (5) | DISTRIBUTIONS TO SHAREHOLDERS AND TAX COMPONENTS OF CAPITAL |
The tax character of distributions paid for the years ended June 30, 2023 and June 30, 2022 (for the period ended November 30, 2022 and November 30, 2021 for the Energy Infrastructure Fund) was as follows:
| For fiscal year ended | | Ordinary | | | Long-Term | | | Return of | | | | |
| 6/30/2023 | | Income | | | Capital Gains | | | Capital | | | Total | |
| Insider Buying | | $ | — | | | $ | — | | | $ | — | | | $ | — | |
| Energy Infrastructure | | | 4,707,130 | | | | — | | | | 10,352,450 | | | | 15,059,580 | |
| Global Equity | | | — | | | | — | | | | — | | | | — | |
| Tactical Allocation | | | 337,185 | | | | 3,827,769 | | | | — | | | | 4,164,954 | |
| Dynamic Alpha | | | 12,818 | | | | 1,539,705 | | | | — | | | | 1,552,523 | |
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
| | |
| For fiscal year ended | | Ordinary | | | Long-Term | | | Return of | | | | |
| 6/30/2022 | | Income | | | Capital Gains | | | Capital | | | Total | |
| Insider Buying | | $ | — | | | $ | — | | | $ | — | | | $ | — | |
| Energy Infrastructure | | | 1,740,188 | | | | — | | | | 9,530,225 | | | | 11,270,413 | |
| Global Equity | | | 1,457,870 | | | | — | | | | — | | | | 1,457,870 | |
| Tactical Allocation | | | 227,063 | | | | 99,760 | | | | 438 | | | | 327,261 | |
| Dynamic Alpha | | | 11,633,009 | | | | 31,967,305 | | | | — | | | | 43,600,314 | |
As of June 30, 2023, the components of accumulated earnings/(deficit) on a tax basis were as follows (except for the Energy Infrastructure Fund in which its November 30, 2022 components of distributable earnings have been adjusted for June 30, 2023 activity):
| | | Undistributed | | | Undistributed | | | Post October Loss | | | Capital Loss | | | Other | | | Unrealized | | | Total | |
| | | Ordinary | | | Long-Term | | | and | | | Carry | | | Book/Tax | | | Appreciation/ | | | Accumulated | |
| | | Income | | | Capital Gains | | | Late Year Loss | | | Forwards | | | Differences | | | (Depreciation) | | | Earnings/(Deficits) | |
| Insider Buying | | $ | — | | | $ | — | | | $ | (1,513,568 | ) | | $ | (52,373,108 | ) | | $ | — | | | $ | 2,660,330 | | | $ | (51,226,346 | ) |
| Energy Infrastructure | | | — | | | | — | | | | — | | | | (37,029,563 | ) | | | — | | | | 45,966,811 | | | | 8,937,248 | |
| Global Equity | | | 1,379,891 | | | | 442,423 | | | | — | | | | — | | | | — | | | | 12,610,832 | | | | 14,433,146 | |
| Tactical Allocation | | | — | | | | — | | | | (1,656,881 | ) | | | — | | | | — | | | | 1,678,871 | | | | 21,990 | |
| Dynamic Alpha | | | 118,985 | | | | — | | | | — | | | | (263,072 | ) | | | — | | | | 26,237,472 | | | | 26,093,385 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
The difference between book basis and tax basis unrealized appreciation (depreciation), undistributed net investment income (loss) and accumulated net realized gains (losses) from investments is primarily attributable to the tax deferral of losses on wash sales, mark-to-market on 1256 options contracts, adjustments for partnerships, and C-Corporation return of capital distributions. The unrealized appreciation (depreciation) in the table above may include unrealized foreign currency gains (losses).
Late year losses incurred after December 31 within the fiscal year are deemed to arise on the first business day of the following fiscal year for tax purposes. The following Funds incurred and elected to defer such late year losses as follows:
| | | Late Year | |
| | | Losses | |
| Insider Buying | | $ | 50,718 | |
| Energy Infrastructure | | | — | |
| Global Equity | | | — | |
| Tactical Allocation | | | — | |
| Dynamic Alpha | | | — | |
Capital losses incurred after October 31 within the fiscal year are deemed to arise on the first business day of the following fiscal year for tax purposes. The following Funds incurred and elected to defer such capital losses as follows:
| | | Post October | |
| | | Losses | |
| Insider Buying | | $ | 1,462,850 | |
| Energy Infrastructure | | | — | |
| Global Equity | | | — | |
| Tactical Allocation | | | 1,656,881 | |
| Dynamic Alpha | | | — | |
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
At June 30, 2023, the Funds below had capital loss carry forwards for federal income tax purposes available to offset future capital gains and utilized capital loss carryforwards as follows (except for the Energy Infrastructure Fund in which its November 30, 2022 capital loss carryforwards are as follows):
| | | Short-Term | | | Long-Term | | | | | | | |
| | | Non-Expiring | | | Non-Expiring | | | Total | | | CLCF Utilized | |
| Insider Buying | | $ | 48,144,179 | | | $ | 4,228,929 | | | $ | 52,373,108 | | | $ | — | |
| Energy Infrastructure | | | 9,606,809 | | | | 27,422,754 | | | | 37,029,563 | | | | 4,248,864 | |
| Global Equity | | | — | | | | — | | | | — | | | | 798,488 | |
| Tactical Allocation | | | — | | | | — | | | | — | | | | 46,497 | |
| Dynamic Alpha | | | 263,072 | | | | — | | | | 263,072 | | | | — | |
| | | | | | | | | | | | | | | | | |
During the fiscal period ended June 30, 2023, certain of the Funds utilized tax equalization which is the use of earnings and profits distributions to shareholders on redemption of shares as part of the dividends paid deduction for income tax purposes. Permanent book and tax differences, primarily attributable to the book/tax basis treatment of net operating losses, use of tax equalization credits and distributions in excess resulted in reclassifications for the Funds for the fiscal year ended June 30, 2023 as follows:
| | | Paid In | | | Accumulated | |
| | | Capital | | | Earnings (Deficit) | |
| Insider Buying | | $ | (88,442 | ) | | $ | 88,442 | |
| Energy Infrastructure | | | — | | | | — | |
| Global Equity | | | 243,966 | | | | (243,966 | ) |
| Tactical Allocation | | | — | | | | — | |
| Dynamic Alpha | | | 169,883 | | | | (169,883 | ) |
Currently, the Funds have a $150,000,000 uncommitted line of credit provided by U.S. Bank National Association (the “Bank”) under an agreement (the “Uncommitted Line”). Any advance under the Uncommitted Line is contemplated primarily for temporary or emergency purposes, including the meeting of redemption requests that otherwise might require the untimely disposition of securities. Interest on borrowings is payable on an annualized basis. The Uncommitted Line is not a “committed” line of credit, which is to say that the Bank is not obligated to lend money to the Funds. Accordingly, it is possible that the Funds may wish to borrow money for a temporary or emergency purpose but may not be able to do so. During the year ended June 30, 2023, the Funds accessed the line of credit, based only on the days borrowed, as follows:
| | | Average Amount | | | | | | | | | | | | Outstanding | |
| | | Borrowings | | | Interest | | | Average | | | Number of Days | | | Borrowings | |
| | | Outstanding | | | Expense (1) | | | Interest Rate | | | Outstanding | | | 6/30/2023 | |
| Insider Buying | | $ | 181,947 | | | $ | 679 | | | | 7.05 | % | | | 19 | | | $ | — | |
| Energy Infrastructure | | | 1,490,207 | | | | 18,021 | | | | 7.43 | % | | | 58 | | | | — | |
| Global Equity | | | 556,438 | | | | 1,932 | | | | 8.02 | % | | | 16 | | | | — | |
| Dynamic Alpha | | | 371,000 | | | | 329 | | | | 7.88 | % | | | 4 | | | | — | |
| (1) | Includes only Interest Expense related to Line of Credit for the year ended June 30, 2023 and may not tie back to the Statements of Operations, which also may include overdrafts, line of credit fees, and broker interests. |
During the year ended June 30, 2023, Tactical Allocation did not access the line of credit.
The Funds have entered into a Securities Lending Agreement with the Bank. Each participating Fund can lend its securities to brokers, dealers and other financial institutions approved by the Board to earn additional income. Loans are collateralized at a value at least equal to 105% of the then current market value of any loaned security that are foreign, or 102% of the then current market value of any other loaned security. All interest and dividend payments received on securities which are held on loan, provided that there is no material default, will be paid to the respective Fund. A portion of the income generated by the investment in the Funds’ collateral, net of any rebates paid by the Bank to the borrowers is remitted to the Bank as lending agent and the remainder is paid to the Fund(s).
Securities lending income, if any, is disclosed in the Funds’ Statements of Operations and is net of fees retained by the counterparty. Although risk is mitigated by the collateral, the Funds could experience a delay in recovering their securities and possible loss of income or value if the borrower fails to return them. Should the borrower of the securities fail financially, each Fund has the right to repurchase the securities using the collateral in the open market. The remaining contractual maturity of all securities lending transactions are overnight and continuous.
| CATALYST FUNDS |
| NOTES TO FINANCIAL STATEMENTS (Continued) |
| June 30, 2023 | ANNUAL REPORT |
The following table presents financial instruments that are subject to enforceable netting arrangements as of June 30, 2023.
| | | | | | | | | Percentage of | |
| | | Market Value of | | | Market Value of | | | Total Investment | |
| Fund | | Loaned Securities | | | Collateral (1) | | | Income | |
| Insider Buying | | $ | 4,789,675 | | | $ | 4,863,034 | | | | 3.49 | % |
| Dynamic Alpha | | | 13,753,774 | | | | 13,966,343 | | | | 2.05 | % |
The below table shows the collateral held by each Fund at the year ended June 30, 2023.
| | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | Gross Amounts Not Offset in the | | | | |
| | | | | | | | | | | | | | | Statement of Assets & Liabilities | | | | |
| | | | | | | | | Gross Amounts | | | Net Amounts of | | | | | | | | | | |
| | | | | | Gross Amounts | | | Offset in the | | | Liabilities Presented in | | | | | | | | | | |
| | | | | | of Recognized | | | Statement of Assets & | | | the Statement of Assets | | | Financial | | | Cash Collateral | | | | |
| | Description | | Counterparty | | Liabilities | | | Liabilities | | | & Liabilities | | | Instruments | | | Pledged | | | Net Amount | |
| | Insider Buying | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Securities Loaned | | US Bank | | $ | (4,863,034 | ) | | $ | — | | | $ | (4,863,034 | ) | | $ | 4,863,034 | | | $ | — | | | $ | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Dynamic Alpha | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Securities Loaned | | US Bank | | $ | (13,966,343 | ) | | $ | — | | | $ | (13,966,343 | ) | | $ | 13,966,343 | | | $ | — | | | $ | — | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | |
The beneficial ownership, either directly or indirectly, of more than 25% of the voting securities of a Fund creates a presumption of control of the Fund, under Section 2(a)(9) of the 1940 Act. As of June 30, 2023, the companies that held more than 25% of the voting securities of the Funds, and may be deemed to control each respective Fund, are as follows:
| | | Energy | | Dynamic |
| Owner | | Infrastructure | | Alpha |
| LPL Financial, LLC * | | 41.4% | | — |
| Charles Schwab & Co., Inc. | | — | | 29.6% |
| * | These owners are comprised of multiple investors and accounts. |
Subsequent events after the date of the Statements of Assets and Liabilities have been evaluated through the date the financial statements were issued. Management has determined no events or transactions occurred requiring adjustment or disclosure in the financial statements.
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Shareholders of Catalyst Insider Buying Fund, Catalyst Energy Infrastructure Fund, Catalyst/MAP Global Equity Fund, Catalyst/Lyons Tactical Allocation Fund, Catalyst Dynamic Alpha Fund and
Board of Trustees of Mutual Fund Series Trust
Opinion on the Financial Statements
We have audited the accompanying statements of assets and liabilities, including the schedules of investments, of Catalyst Insider Buying Fund, Catalyst Energy Infrastructure Fund, Catalyst/MAP Global Equity Fund, Catalyst/Lyons Tactical Allocation Fund, and Catalyst Dynamic Alpha Fund (the “Funds”), each a series of Mutual Fund Series Trust, as of June 30, 2023, and the related statements of operations and changes in net assets, the related notes, and the financial highlights for the year then ended (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Funds as of June 30, 2023, the results of their operations, the changes in net assets, and the financial highlights for the year then ended, in conformity with accounting principles generally accepted in the United States of America.
The Funds’ financial statements and financial highlights for the years ended June 30, 2022, and prior, were audited by another auditor whose report dated August 29, 2022 expressed an unqualified opinion on those financial statements and financial highlights.
Basis for Opinion
These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements 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 Funds 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 audits to obtain reasonable assurance about whether the financial statements 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, 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. Our procedures included confirmation of securities owned as of June 30, 2023, by correspondence with the custodians and brokers; when replies were not received from brokers, we performed other 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. We believe that our audits provide a reasonable basis for our opinion.
We have served as the Funds’ auditor since 2023.
COHEN & COMPANY, LTD.
Philadelphia, Pennsylvania
August 29, 2023
COHEN & COMPANY, LTD.
800.229.1099 | 866.818.4538 fax | cohencpa.com
Registered with the Public Company Accounting Oversight Board
| CATALYST FUNDS |
| SUPPLEMENTAL INFORMATION (Unaudited) |
| June 30, 2023 |
LIQUIDITY RISK MANAGEMENT PROGRAM
The Funds have adopted and implemented a written liquidity risk management program as required by Rule 22e-4 (the “Liquidity Rule”) under the Investment Company Act. The program is reasonably designed to assess and manage each Fund’s liquidity risk, taking into consideration, among other factors, each respective Fund’s investment strategy and the liquidity of its portfolio investments during normal and reasonably foreseeable stressed conditions; its short and long-term cash flow projections; and its cash holdings and access to other funding sources.
During the fiscal year ended June 30, 2023, the Trust’s Liquidity Risk Management Program Committee (the “Committee”) reviewed the Funds’ investments and determined that the Funds held adequate levels of cash and highly liquid investments to meet shareholder redemption activities in accordance with applicable requirements. Accordingly, the Committee concluded that (i) the Funds’ liquidity risk management program is reasonably designed to prevent violations of the Liquidity Rule and (ii) the Funds’ liquidity risk management program has been effectively implemented.
| CATALYST FUNDS |
| Change in Independent Registered Public Accounting Firm (Unaudited) |
| June 30, 2023 |
On March 9, 2023, BBD LLP (“BBD”) ceased to serve as the independent registered public accounting firm of Catalyst Insider Buying Fund, Catalyst Energy Infrastructure Fund, Catalyst MAP Global Equity Fund, Catalyst/Lyons Tactical Allocation Fund and Catalyst Dynamic Alpha Fund (the “Funds”), each a series of Mutual Fund Series Trust. The Audit Committee of the Board of Trustees approved the replacement of BBD as a result of Cohen & Company, Ltd.’s (“Cohen”) acquisition of BBD’s investment management group.
The reports of BBD on the financial statements of the Funds as of and for the fiscal years ended June 30, 2021 and June 30, 2022 did not contain an adverse opinion or a disclaimer of opinion, and were not qualified or modified as to uncertainties, audit scope or accounting principles. During the fiscal years ended June 30, 2021 and June 30, 2022 and during the subsequent interim period through March 9, 2023: (i) there were no disagreements between the registrant and BBD on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which disagreements, if not resolved to the satisfaction of BBD, would have caused it to make reference to the subject matter of the disagreements in its report on the financial statements of the Funds for such years or interim period; and (ii) there were no “reportable events,” as defined in Item 304(a)(1)(v) of Regulation S-K under the Securities Exchange Act of 1934, as amended.
The registrant requested that BBD furnish it with a letter addressed to the U.S. Securities and Exchange Commission stating that it agrees with the above statements. A copy of such letter is filed as an exhibit to Form N-CSR.
On May 22, 2023, the Audit Committee of the Board of Trustees also recommended and approved the appointment of Cohen as the Funds’ independent registered public accounting firm for the fiscal year ending June 30, 2023.
During the fiscal years ended June 30, 2021 and June 30, 2022, and during the interim period through May 22, 2023, neither the registrant, nor anyone acting on its behalf, consulted with Cohen on behalf of the Funds regarding the application of accounting principles to a specified transaction (either completed or proposed), the type of audit opinion that might be rendered on the Funds’ financial statements, or any matter that was either: (i) the subject of a “disagreement,” as defined in Item 304(a)(1)(iv) of Regulation S-K and the instructions thereto; or (ii) “reportable events,” as defined in Item 304(a)(1)(v) of Regulation S-K.
| CATALYST FUNDS |
| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
Consideration and Renewal of the Management Agreement between Catalyst Capital Advisors, LLC and Mutual Fund Series Trust with respect to Catalyst Systematic Alpha Fund, Catalyst/Warrington Strategic Program Fund, Catalyst Buffered Shield Fund, Catalyst Income and Multi-Strategy Fund, Catalyst/Millburn Dynamic Commodity Strategy Fund, Catalyst/Millburn Hedge Strategy Fund, Catalyst Nasdaq-100 Hedged Equity Fund, Catalyst Insider Buying Fund, Catalyst Energy Infrastructure Fund, Catalyst/MAP Global Equity Fund, Catalyst/MAP Global Balanced Fund, Catalyst/Lyons Tactical Allocation Fund, Catalyst Dynamic Alpha Fund, Catalyst Insider Income Fund, Catalyst/SMH High Income Fund, Catalyst/SMH Total Return Income Fund, Catalyst/CIFC Floating Rate Income Fund, and Catalyst Enhanced Income Strategy Fund
In connection with a meeting held on May 9, 10 and 22, 2023, the Board of Trustees (the “Board”) of Mutual Fund Series Trust (the “Trust”), including a majority of the Trustees who are not “interested persons” as that term is defined in the Investment Company Act of 1940, as amended, discussed the renewal of the management agreement (the “Catalyst Agreement”) between the Trust and Catalyst Capital Advisors, LLC (“Catalyst”) with respect to Catalyst Systematic Alpha Fund (“Catalyst SA”), Catalyst/Warrington Strategic Program Fund (“Warrington SP”), Catalyst Buffered Shield Fund (“Catalyst Shield”), Catalyst Income and Multi-Strategy Fund (“Catalyst IMS”), Catalyst/Millburn Dynamic Commodity Strategy Fund (“Millburn DCS”), Catalyst/Millburn Hedge Strategy Fund (“Millburn HS”), Catalyst Nasdaq-100 Hedged Equity Fund (“Catalyst HE”), Catalyst Insider Buying Fund (“Catalyst IB”), Catalyst Energy Infrastructure Fund (“Catalyst Energy”), Catalyst/MAP Global Equity Fund (“MAP Global Equity”), Catalyst/MAP Global Balanced Fund (“MAP Global Balanced”), Catalyst/Lyons Tactical Allocation Fund (“Lyons TA”), Catalyst Dynamic Alpha Fund, (“Catalyst DA”), Catalyst Insider Income Fund (“Catalyst Insider”), Catalyst/SMH High Income Fund (“SMH High Income”), Catalyst/SMH Total Return Income Fund (“SMH Total Return”), Catalyst/CIFC Floating Rate Income Fund (“CIFC Floating Rate”) and Catalyst Enhanced Income Strategy Fund (“Catalyst EIS”) (collectively, the “Catalyst Renewal Funds”).
The Board examined Catalyst’s responses to a series of questions regarding, among other things, its management services provided to the Catalyst Renewal Funds, comparative fee and expense information, and profitability from managing the Catalyst Renewal Funds. The Board was assisted by legal counsel throughout the review process and relied upon the advice of legal counsel and its own business judgment in determining the material factors to be considered in evaluating the Catalyst Agreement and the weight to be given to each factor considered. The conclusions reached by the Board were based on a comprehensive evaluation of all of the information provided and were not the result of any one factor. Moreover, each Trustee may have afforded different weight to the various factors in reaching his conclusions with respect to renewal of the Catalyst Agreement.
Nature, Extent and Quality of Services: The Board reviewed Catalyst’s key personnel servicing the Catalyst Renewal Funds and noted their expertise and years of experience, and changes in some key personnel during the past year. The Board acknowledged that Catalyst reviewed and analyzed the Catalyst Renewal Funds’ portfolios regularly and coordinated and monitored the Funds’ administration, accounting and regulatory compliance. The Board noted that Catalyst provided oversight to each sub-advisor and that Catalyst utilized a risk management function to assess and monitor portfolio risk for all the Catalyst Renewal Funds and to oversee the sub-advisors’ risk management programs. The Board observed that there were no material compliance issues and that Catalyst continued to contract with a cybersecurity and compliance specialty firm as a partner to help manage cybersecurity risks. The Board discussed that Catalyst implemented enhanced cyber training programs which integrated simulations into the process and experienced no material data security incidents since the management agreement’s last renewal. The Board observed that Catalyst intended to renew the expense limitation agreements it had with each Catalyst Renewal Fund, except Millburn HS, which currently did not have an expense limitation agreement. After further discussion, the Board concluded that Catalyst had sufficient quality and depth of personnel, resources, investment methods and compliance policies and procedures necessary to perform its duties under the management agreement, and that the nature, overall quality and extent of the advisory services provided by Catalyst to each Catalyst Renewal Fund were satisfactory. The Board determined that Catalyst had the resources to continue providing high quality service to each Catalyst Renewal Fund and its shareholders.
Performance. The Board reviewed performance reports including each of the Catalyst Renewal Funds as of February 28, 2023 along with information that Catalyst provided in connection with renewing the Catalyst Agreement. The
| CATALYST FUNDS |
| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
Board reviewed the performance of each Catalyst Renewal Fund relative to its Morningstar category and a peer group selected by Catalyst.
Catalyst SA: The Board observed that Catalyst SA had significantly outperformed its peer group and Morningstar category across all periods and had outperformed the BNP Paribas Catalyst Systematic Alpha Index II over the 1-year and 3-year periods. The Board remarked that Catalyst SA had outperformed the S&P 500 TR Index over the 1-year, 3-year and 5-year periods. A representative of Catalyst noted that performance for the since inception period reflected an investment strategy that was significantly different than the Catalyst SA’s current investment strategy.
Warrington SP: The Board recalled that Warrington SP had engaged a subadvisor in January 2020 and noted that Warrington SP outperformed its peer group and Morningstar category for the 1-year and 3-year periods and the S&P 500 TR Index over the 1-year period. The Board noted Catalyst’s explanation that Warrington SP was not expected to outperform the S&P 500 TR Index during bull markets.
Catalyst Shield: The Board observed that Catalyst Shield underperformed its peer group and Morningstar category over the 1-year, 3-year and 5-year periods, but outperformed the Morningstar category over the since inception period. The Board noted that Catalyst Shield outperformed the HFRX Equity Hedge Index over the 5-year and since inception period but lagged the S&P 500 TR Index across all periods. The Board considered that Catalyst attributed the recent underperformance to Catalyst Shield’s losses on the corporate bond collateral used in its portfolio, which had come under stress, as well as a market downturn with too short a duration on a portion of the options. The Board considered Catalyst’s contention that the sub-advisor was exploring additional processes and adjustments to its approach and that Catalyst Shield’s current yields showed improvement, which the sub-advisor believed could enhance fund returns in the future.
Catalyst IMS: The Board recalled that Catalyst IMS’s investment objective and investment strategy changed in November 2021 to allow Catalyst IMS to invest in a fixed income portfolio with a managed futures overlay. The Board noted that Catalyst IMS underperformed all benchmarks over the 1-year and 3-year periods except for the BofA US 3-Month Treasury Bill TR Index over the 3-year period and 10-year period. The Board acknowledged Catalyst’s explanation that Catalyst IMS’s performance could be attributed to the outperformance of pure long-term trends over the past two years and to the drag from the portfolio’s fixed income allocation during the past year. The Board noted Catalyst IMS’s trading advisor informed Catalyst that the futures program had outperformed Credit Suisse Managed Futures Liquid Index since 2018.
Millburn DCS: The Board acknowledged the change in sub-advisor, investment strategy and investment objective for Millburn DCS in June 2021. The Board observed that Millburn DCS outperformed the Commodities Broad Basket Morningstar Category and the Bloomberg Commodity Index but underperformed the Peer Group and Morningstar Systematic Trend category for the 1-year period, which was the relevant period to evaluate the new sub-advisor. The Board discussed Catalyst’s explanation that the underperformance compared to the Systematic Trend Morningstar category and peer group across was due to the exceptionally strong returns generated by the pure play trend following strategies during the past year.
Millburn HS: The Board observed that Millburn HS outperformed its peer group, the Macro Trading Morningstar category, the Multistrategy Morningstar category and the BofA US 3-Month Treasury Bill TR Index across all periods. The Board commented that Millburn HS outperformed the Credit Suisse MF Hedge Fund Index over the 3-year, 5- year and 10-year periods and outperformed the S&P 500 TR Index over the 1-year period. The Board noted Catalyst did not expect Millburn HS to outperform the S&P 500 TR Index during extreme bull markets due to its sub-100% equity allocation. The Board commented that Millburn HS underperformed the Systematic Trend Morningstar category and Credit Suisse MF Hedge Fund Index over the 1-year period due to strong returns of pure play trend following strategies over the past year.
Catalyst HE: The Board discussed that Catalyst HE’s sub-advisor began managing Catalyst HE pursuant to its new investment strategy in October 2020. The Board noted that Catalyst HE had underperformed all benchmarks for the 1-year period. The Board considered that Catalyst attributed the underperformance to Catalyst HE’s volatility overlay combined with the Nasdaq-100 Index’s underperformance relative to the S&P 500 TR Index.
| CATALYST FUNDS |
| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
Catalyst IB: The Board observed that Catalyst IB outperformed its peer group, the Large Growth Morningstar Category and the S&P 500 TR Index over the 1-year period. The Board acknowledged that only one other fund in the peer group outperformed Catalyst IB. The Board discussed Catalyst’s explanation that Catalyst IB’s underperformance over other periods was largely attributed to the Fund’s defensive position following March 2020 and to innovative growth and stay-at-home stocks being out of favor.
Catalyst Energy: The Board acknowledged that Catalyst Energy outperformed its peer group and the Energy Limited Partnership Morningstar category with positive returns over the 1-year, 3-year and 5-year periods. The Board noted that Catalyst Energy underperformed the Alerian MLP TR Index across all periods but recognized that the index did not have limitations on MLPs like the Fund had in order to qualify as a registered investment company.
MAP Global Equity: The Board commented that MAP Global Equity outperformed the MSCI ACWI Index for the 1- year period but trailed all other benchmarks. The Board acknowledged Catalyst’s explanation that, because of MAP Global Equity’s concentrated portfolio, MAP Global Equity was often over- or under-weight industry allocations relative to its peer group, Morningstar category and benchmark over certain time periods. The Board discussed that the COVID-19 pandemic and value-oriented holdings of the MAP Global Equity had a negative impact on MAP Global Equity’s performance. The Board noted that MAP Global Equity’s underperformance was not material relative to its primary benchmark.
MAP Global Balanced: The Board recognized that MAP Global Balanced outperformed its peer group, Morningstar category and MSCI ACWI Index over the 1-year period. The Board acknowledged MAP Global Balanced underperformed the blended benchmarks for the 1-year period due to the Fund’s equity exposure relative to the blended benchmarks.
Lyons TA: The Board observed that Lyons TA had underperformed its benchmarks for the 1-year period due to defensive positioning in July 2022. The Board observed that Lyons TA outperformed all benchmarks over the 3-year and 10-year periods.
Catalyst DA: The Board commented that Catalyst DA had a strong year and outperformed all benchmarks over the 1-year period. The Board observed that Catalyst DA outperformed or was on par with all but one of its benchmarks for the 3-year and 10-year periods, though it underperformed all benchmarks for the 5-year period. The Board discussed that Catalyst DA’s underperformance with respect to the S&P 500 TR Index could be attributed to its exposure to high momentum stocks. The Board recognized Catalyst DA’s improved performance.
Catalyst Insider: The Board commented that Catalyst Insider outperformed the Short-Term Bond Morningstar category and the High Yield Bond Morningstar category over the 1-year period and outperformed or performed in line with all benchmarks for the 3-year and 5-year periods. The Board acknowledged Catalyst’s explanation that Catalyst Insider underperformed its peer group and High Yield Bond Morningstar category since inception due to a drag on returns from trading costs associated with launching a diversified bond portfolio with a small asset base.
SMH High Income: The Board noted that while SMH High Income underperformed all benchmarks over the 1-year and 10-year periods. It outperformed all benchmarks over the 3-year period. The Board observed that SMH High Income was often over- or underweight industry allocations relative to its benchmarks because of its concentrated portfolio, and therefore was not expected to closely track its benchmarks. The Board discussed that a contributing factor to the Fund’s underperformance over the 1-year period was that SMH High Income duration was longer than its benchmarks, and SMH High Income was adversely impacted by rising interest rates.
SMH Total Return: The Board recognized that SMH Total Return outperformed all benchmarks over the 1-year period. The Board observed that SMH Total Return was often over- or underweight industry allocations relative to its benchmarks because of its concentrated portfolio, and therefore was not expected to closely track its benchmarks. The Board observed that Catalyst reported that income-generating equities generally trailed the S&P 500 TR Index which accounted for SMH Total Return’s underperformance for the 3-year, 5-year and 10-year periods.
CIFC Floating Rate: The Board acknowledged that CIFC Floating Rate outperformed all its peer group and Morningstar category across all periods but underperformed the S&P LSTA US Leveraged Loan 100 Index over the 1-year, 3-year and 5-year periods. The Board acknowledged Catalyst’s explanation that CIFC Floating Rate historically
| CATALYST FUNDS |
| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
outperformed the S&P LSTA US Leveraged Loan 100 Index during normal market environments and that the underperformance could be attributed to the index’s higher allocation to the BB-rated part of the market.
Catalyst EIS: The Board commented that Catalyst EIS outperformed all benchmarks over the 3-year and since inception periods and the Bloomberg US Aggregate Bond TR Index and Bloomberg MBS Index over the 1-year period. The Board noted Catalyst’s explanation that Catalyst EIS’s limited duration exposure between November 2022 and January 2023 was a contributing factor to its underperformance of its peer group and Morningstar categories over the 1-year period.
After discussion, the Board concluded that the performance of each Catalyst Renewal Fund was acceptable.
Fees and Expenses: The Board reviewed the management fee for each Catalyst Renewal Fund, and the average fees charged by each Catalyst Renewal Fund’s peer group and Morningstar category. The Board reviewed the expense limitation agreements currently in place with respect to the Catalyst Renewal Funds and discussed that Catalyst intended to renew each of those agreements with the exception of Milburn HS, which currently did not have an expense limitation agreement in place. The Board considered the allocation of the management fee to pay each sub- advisory fee compared to the allocation of duties between Catalyst and each sub-advisor of the Catalyst Renewal Funds managed by a sub-advisor. The Board acknowledged that the fee allocation between Catalyst and each sub- advisor was the result of arm’s length negotiations and determined that the allocations were appropriate.
Catalyst SA: The Board noted that although Catalyst SA’s management fee and net expense ratio were higher than the medians and averages of its peer group and Morningstar category, they were significantly lower than the highs of each.
Warrington SP: The Board noted that Warrington SP’s management fee was tied with the high of its peer group and the Options Trading Morningstar category. The Board reviewed Warrington SP’s net expense ratio and noted that it was higher than the medians and averages of its peer group and the Morningstar category, but below the highs of each.
Catalyst Shield: The Board noted that Catalyst Shield’s management fee and net expense ratio were higher than the medians and averages of its peer group and Morningstar category, but significantly below the highs of each.
Catalyst IMS: The Board recognized that Catalyst IMS’s management fee was higher than the medians and averages of its peer group and Morningstar categories, but lower than the highs of each, and significantly lower than the high of the Systematic Trend Morningstar category. The Board discussed that Catalyst IMS’s net expense ratio was higher than the medians and averages of its peer group, Macro Trading Morningstar category and Systematic Trend Morningstar category, but was lower than the highs of each.
Millburn DCS: The Board noted that Millburn DCS’s management fee was higher than the medians and averages of its peer group, Commodities Broad Basket Morningstar category and Systematic Trend Morningstar category. The Board observed that Millburn DCS’s management fee was below the highs of its peer group and Systematic Trend Morningstar category and in line of the high of the Commodities Broad Basket Morningstar category. The Board discussed that the net expense ratio for Millburn DCS was higher than the medians and averages of its peer group and Morningstar categories, but lower than the high of its peer group and Systematic Trend Morningstar category. The Board noted that the net expense ratio was the highest of the Commodities Broad Basket Morningstar category. The Board discussed Catalyst’s explanation that neither Morningstar category provided an apt comparison to Millburn DCS and that, after waiver, Catalyst’s management fee was below the medians and averages of its peer group and Morningstar categories.
Millburn HS: The Board observed that Millburn HS’s management fee was higher than the medians and averages of its peer group and Morningstar categories but below the highs of its peer group, Multistrategy Morningstar category and Systematic Trend Morningstar category and in line with the high of the Macro Trading Morningstar category. The Board considered that Millburn HS’s net expense ratio was higher than the medians and averages of its peer group and Morningstar categories, but below the highs of each.
| CATALYST FUNDS |
| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
Catalyst HE: The Board noted that Catalyst HE’s management fee and expense ratio were higher than the medians and averages of its peer group and Morningstar categories, lower than the high of its peer group and Options Trading Morningstar category, and the highest of the Derivative Income Morningstar category. The Board noted that Catalyst considered the Options Trading Morningstar category to provide a more apt comparison than the Derivative Income Morningstar category because the latter historically consisted of equity funds that utilized covered call writing to supplement income whereas Catalyst HE used a proprietary and dynamic volatility overlay strategy.
Catalyst IB: The Board reviewed Catalyst IB’s management fee and net expense ratios and noted that they were higher than the averages and medians of its peer group and the Large Growth Morningstar category, but lower than the highs of each.
Catalyst Energy: The Board observed that Catalyst Energy’s management fee was higher than the medians and averages of its peer group and Morningstar category and noted that it was tied with the high of its peer group and Morningstar category. The Board discussed that Catalyst Energy’s net expense ratio was higher than the medians and averages of its peer group and Morningstar category, but significantly below the high of its peer group and Morningstar category.
MAP Global Equity: The Board commented that MAP Global Equity’s management fee was tied with the high of its peer group and lower than the high of the Global Large-Stock Value Morningstar category. The Board discussed that MAP Global Equity’s net expense ratio was higher than the medians and averages of its peer group and Morningstar category but well below the highs of each.
MAP Global Balanced: The Board recognized that MAP Global Balanced’s management fee was tied with the high of its peer group but well below the high of its Morningstar category. The Board discussed that MAP Global Balanced’s net expense ratio was in line with the average of its peer group and well below the high of its Morningstar category.
Lyons TA: The Board discussed that the management fee for Lyons TA was higher than the averages and medians of its peer group and Morningstar category and in line with the high of its peer group and slightly lower than the high of the Tactical Allocation Morningstar category. The Board noted that the net expense ratio for Lyons TA was slightly higher than the median expense ratio of its Morningstar category but below the average and median of its peer group.
Catalyst DA: The Board observed that Catalyst DA’s management fee and net expense ratio were higher than the averages and medians of its peer group and Morningstar category, but lower than the highs of each.
Catalyst Insider: The Board reviewed Catalyst Insider’s management fee and noted that it was higher than the median and averages of its peer group and Short-Term Bond Morningstar category and High Yield Bond Morningstar category but significantly lower than the highs of each. The Board observed that Catalyst Insider’s net expense ratio was lower than the averages and medians of its peer group and significantly lower than the highs of the Morningstar categories.
SMH High Income: The Board noted that SMH High Income’s management fee and net expense ratio were higher than the averages and medians of its peer group and Morningstar category, but significantly lower than the highs of each.
SMH Total Return: The Board acknowledged that SMH Total Return’s management fee was higher than the medians and averages of its peer group and Morningstar category, but below the highs of each. The Board noted that SMH Total Return’s net expense ratio was higher than the peer group and Morningstar category medians and averages but below the highs of each.
CIFC Floating Rate: The Board noted that the management fee for CIFC Floating Rate was higher than the high of its peer group but on par with the high of its Morningstar category. The Board noted that the CIFC Floating Rate’s net expense ratio was lower than the highs of its peer group and Morningstar category. The Board considered that CIFC Floating Rate was actively managed and that its portfolio consisted of bank loans and high yield loans, and the fee was comparable to high yield funds. The Board acknowledged that CIFC Floating Rate’s net management fee, after
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| June 30, 2023 |
fee waiver, was within range of its peer group and that the expense cap for the Fund was set at a lower level than the management fee.
Catalyst EIS: The Board recognized that Catalyst EIS’s management fee was the highest of its peer group, tied with the high of the Multisector Bond Morningstar category but below the high of the Nontraditional Bond Morningstar category. The Board discussed that Catalyst EIS’s net expense ratio was on par with the median of its peer group and significantly below the highs of its Morningstar categories.
After further discussion, the Board concluded that based on the information and advisory services provided by Catalyst and the various sub-advisors, including the payment of the sub-advisory fees, the management fee for each Catalyst Renewal Fund was not unreasonable.
Profitability. The Board discussed Catalyst’s profitability from its relationship with each Catalyst Renewal Fund based on the information that Catalyst provided, including soft dollar benefits, the payment of the sub-advisory fees and the reimbursement received by Catalyst from certain of the Catalyst Renewal Funds for distribution expenses pursuant to the Trust’s Rule 12b-1 plans. The Board noted that Catalyst was operating at a loss with respect to Catalyst IB, Catalyst SA, MAP Global Balanced and Catalyst IMS and therefore concluded that excessive profitability with respect to those Funds was not an issue at this time.
The Board acknowledged that, for all of the other Catalyst Renewal Funds without sub-advisors, profits were used to compensate the owner personnel of Catalyst that provided management services to certain Catalyst Renewal Funds. The Board recognized that Catalyst’s aggregate profits would be reduced if those payments were taken into account.
The Board discussed that Catalyst earned a marginal profit from its Catalyst Agreement with the Trust for Catalyst HE, Catalyst IB, MAP Global Balanced and SMH High Income. The Board observed that Catalyst earned a reasonable profit from managing Catalyst Insider, Millburn HS, Millburn DCS, MAP Global Equity, SMH Total Return, Catalyst DA, Lyons TA, Catalyst EIS, Catalyst Shield, CIFC Floating Rate and Catalyst Energy. The Board discussed that Catalyst’s profit margins for each of these Catalyst Renewal Funds were well-within the industry norms for strategies similar to the particular Catalyst Renewal Fund. The Board determined Catalyst’s profitability for each Catalyst Renewal Fund was not excessive.
Economies of Scale. The Board noted that the Catalyst Agreement did not contain breakpoints reducing the fee rate on assets above specified levels, but that shareholders of most Catalyst Renewal Funds had benefitted from the respective Catalyst Renewal Fund’s expense limitation. The Board agreed that breakpoints may be an appropriate way for Catalyst to share economies of scale with a Catalyst Renewal Fund and its shareholders if the Catalyst Renewal Fund experienced significant growth in assets. The Board acknowledged Catalyst’s explanation that breakpoints were not currently appropriate due to significant risks inherent in management of the Catalyst Renewal Funds arising from daily liquidity, operational complexity and heightened regulatory demands. The Board noted that no Catalyst Renewal Fund had reached such levels where profits were excessive and agreed to revisit the issue of breakpoints at the Catalyst Agreement’s next renewal.
Conclusion. Having requested and received such information from Catalyst as the Board believed to be reasonably necessary to evaluate the terms of the Catalyst Agreement, and as assisted by the advice of counsel, the Board concluded that renewal of the Catalyst Agreement was in the best interests of each Catalyst Renewal Fund and its respective shareholders.
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| June 30, 2023 |
Consideration and Renewal of Sub-Advisory Agreement between Catalyst Capital Advisors, LLC and SL Advisors, LLC with respect to Catalyst Energy Infrastructure Fund
In connection with a meeting held on May 9, 10, and 22, 2023, the Board of Trustees (the “Board”) of Mutual Fund Series Trust, including a majority of the Trustees who are not “interested persons” as that term is defined in the Investment Company Act of 1940, as amended, discussed the renewal of a sub-advisory agreement (the “SL Agreement”) between Catalyst Capital Advisors, LLC (“Catalyst”) and SL Advisors, LLC (“SL Advisors”) with respect to Catalyst Energy Infrastructure Fund (“Catalyst Energy”).
The Board examined SL Advisor’s responses to a series of questions regarding, among other things, its sub-advisory services provided to Catalyst Energy, comparative fee and expense information, and profitability from sub-advising Catalyst Energy. The Board was assisted by legal counsel throughout the review process and relied upon the advice of legal counsel and its own business judgment in determining the material factors to be considered in evaluating the SL Agreement and the weight to be given to each factor considered. The conclusions reached by the Board were based on a comprehensive evaluation of all of the information provided and were not the result of any one factor. Moreover, each Trustee may have afforded different weight to the various factors in reaching his conclusions with respect to renewal of the SL Agreement.
Nature, Extent, and Quality of Services: The Board discussed that there had been no recent changes in SL Advisors’ key personnel managing Catalyst Energy. The Board remarked that SL Advisors conducted research through a bottom-up fundamental analysis with a focus on financial statements, company filings, presentations, and publications. The Board recognized that SL Advisors utilized a trade support function to compare positions held by Catalyst Energy with its investment limitations and to produce daily reports for SL Advisor’s to ensure compliance. The Board observed that SL Advisors selected broker-dealers based on competitive commissions, ability to execute, quality of service and the trading technology platform. The Board commented on SL Advisors’ addition of a policy requiring the use of a virtual private network on laptops used in public settings and an information technology consultant’s examination of electronic devices for any problematic software on a semi-annual basis. The Board noted that SL Advisors did not report any material compliance issues, cybersecurity breaches, regulatory examinations or material litigation since the SL Agreement’s most recent renewal. The Board concluded that the services provided by SL Advisors were satisfactory and in line with its expectations.
Performance: The Board acknowledged that Catalyst Energy outperformed its peer group and the Energy Limited Partnership Morningstar category with positive returns over the 1-year, 3-year and 5-year periods. The Board noted that Catalyst Energy underperformed the Alerian MLP TR Index across all periods but recognized that the index did not have limitations on MLPs like the Fund had in order to qualify as a registered investment company.
Fees and Expenses: The Board commented that the advisor paid SL Advisors 50% of the advisor’s total management fee of 1.25% less waivers, if any, with a maximum annual fee of 0.625%. The Board noted that SL Advisors’ maximum sub-advisory fee for Catalyst Energy was lower than the fee it charged to other client accounts. The Board concluded that SL Advisors’ sub-advisory fee was not unreasonable.
Profitability: The Board acknowledged that, based on information provided by SL Advisors, SL Advisors was sub- advising Catalyst Energy at a modest profit. The Board concluded, therefore, that SL Advisors’ profits in connection with Catalyst Energy were not excessive.
Economies of Scale: The Board considered whether SL Advisors had realized economies of scale with respect to the sub-advisory services provided to Catalyst Energy. The Board agreed that this was primarily an advisor level issue and should be considered with respect to the overall management agreement, taking into consideration the impact of the sub-advisory expense. The Board agreed that SL Advisors did not appear to have materially benefited from economies of scale.
Conclusion: Having requested and received such information from SL Advisors as the Board believed to be reasonably necessary to evaluate the terms of the SL Agreement, and as assisted by the advice and guidance of counsel, the Board concluded that renewal of the SL Agreement was in the best interests of Catalyst Energy and its shareholders.
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| June 30, 2023 |
Consideration and Renewal of Sub-Advisory Agreement between Catalyst Capital Advisors, LLC and Managed Asset Portfolios, LLC, with respect to Catalyst/MAP Global Equity Fund and Catalyst/MAP Global Balanced Fund
In connection with a meeting held on May 9, 10, and 22, 2023, the Board of Trustees (the “Board”) of Mutual Fund Series Trust, including a majority of the Trustees who are not “interested persons” as that term is defined in the Investment Company Act of 1940, as amended, discussed the renewal of a sub-advisory agreement (the “MAP Agreement”) between Catalyst Capital Advisors, LLC (“Catalyst”) and Managed Asset Portfolios, LLC (“MAP”) with respect to Catalyst/MAP Global Equity Fund (“MAP Global Equity”) and Catalyst/MAP Global Balanced Fund (“MAP Global Balanced”) (collectively, the “MAP Funds”).
The Board examined MAP’s responses to a series of questions regarding, among other things, its sub-advisory services provided to the MAP Funds, comparative fee and expense information, and profitability from sub-advising the MAP Funds. The Board was assisted by legal counsel throughout the review process and relied upon the advice of legal counsel and its own business judgment in determining the material factors to be considered in evaluating the MAP Agreement and the weight to be given to each factor considered. The conclusions reached by the Board were based on a comprehensive evaluation of all of the information provided and were not the result of any one factor. Moreover, each Trustee may have afforded different weight to the various factors in reaching his conclusions with respect to renewal of the MAP Agreement.
Nature, Extent and Quality of Services. The Board discussed the experience of MAP’s investment team and recognized that there had been no changes to the key personnel serving the MAP Funds. The Board noted the services provided by MAP and the resources and analysis it utilized to generate investment ideas and monitor portfolio holdings. The Board acknowledged MAP’s efforts to execute strategies with a margin of safety and the value of the investment team’s judgment and experience. The Board commented on MAP’s collaborative approach and commitment to cybersecurity, including establishing a committee to regularly discuss cybersecurity, technology and network administration, and working with a third-party to continuously enhance its cybersecurity program. The Board noted MAP selected its broker-dealers on the basis of best execution and reviewed its best execution tests quarterly. The Board concluded that MAP could be expected to continue providing high quality services to the MAP Funds.
Performance. The Board reviewed the performance of each MAP Fund relative to its benchmarks.
MAP Global Equity: The Board commented that MAP Global Equity outperformed the MSCI ACWI Index for the 1- year period but trailed all other benchmarks. The Board acknowledged the advisor’s explanation that, because of MAP Global Equity’s concentrated portfolio, MAP Global Equity was often over- or under-weight industry allocations relative to its peer group, Morningstar category and benchmark over certain time periods. The Board discussed that the COVID-19 pandemic and value-oriented holdings of the MAP Global Equity had a negative impact on MAP Global Equity’s performance. The Board noted that MAP Global Equity’s underperformance was not material relative to its primary benchmark.
MAP Global Balanced: The Board recognized that MAP Global Balanced outperformed its peer group, Morningstar category and MSCI ACWI Index over the 1-year period. The Board acknowledged MAP Global Balanced underperformed the blended benchmarks for the 1-year period due to the Fund’s equity exposure relative to the blended benchmarks.
After discussion, the Board concluded that the performance of each MAP Fund was acceptable.
Fees and Expenses: The Board noted that the advisor charged a management fee of 1.00% for each MAP Fund and that 50% of each MAP Fund’s net management fee (after certain expenses) was paid to MAP by the advisor. The Board acknowledged that MAP’s sub-advisory fee for each MAP Fund was equal to or lower than the fees MAP charged to its other client accounts with similar strategies. The Board discussed the allocation of fees between the advisor and MAP relative to their respective duties and other factors and agreed the allocation for each MAP Fund was appropriate. The Board concluded that the sub-advisory fee received by MAP for each MAP Fund was not unreasonable.
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| June 30, 2023 |
Profitability: The Board discussed MAP’s profitability in connection with each MAP Fund. The Board commented that MAP was earning a reasonable profit from its relationship with MAP Global Equity while operating MAP Global Balanced at a loss. The Board noted that no profits were used to compensate portfolio managers or owner personnel, rather profits were used to contribute to the overall revenue of MAP, which was used to support MAP’s operations. The Board concluded that MAP’s profitability from either MAP Fund was not excessive.
Economies of Scale: The Board considered whether MAP had realized economies of scale with respect to the sub- advisory services provided to each MAP Fund. The Board agreed that this was primarily an advisor-level issue and should be considered with respect to the overall management agreement taking into consideration the impact of the sub-advisory expense. The Board concluded that, based on the current size of each MAP Fund, it was unlikely that MAP was benefitting from any material economies of scale.
Conclusion: Having requested and received such information from MAP as the Board believed to be reasonably necessary to evaluate the terms of the MAP Agreement, and as assisted by the advice of counsel, the Board concluded that renewal of the MAP Agreement was in the best interests of each MAP Fund and its respective shareholders.
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| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
Consideration and Renewal of Sub-Advisory Agreement between Catalyst Capital Advisors, LLC and Lyons Wealth Management, LLC with respect to Catalyst/Lyons Tactical Allocation Fund
In connection with a meeting held on May 9, 10, and 22, 2023, the Board of Trustees (the “Board”) of Mutual Fund Series Trust, including a majority of the Trustees who are not “interested persons” as that term is defined in the Investment Company Act of 1940, as amended, discussed the renewal of a sub-advisory agreement (the “Lyons Agreement”) between Catalyst Capital Advisors, LLC (“Catalyst”) and Lyons Wealth Management, LLC (“Lyons”) with respect to Catalyst/Lyons Tactical Allocation Fund (“Lyons TA”).
The Board examined Lyons’ responses to a series of questions regarding, among other things, its sub-advisory services provided to Lyons TA, comparative fee and expense information, and profitability from sub-advising Lyons TA. The Board was assisted by legal counsel throughout the review process and relied upon the advice of legal counsel and its own business judgment in determining the material factors to be considered in evaluating the Lyons Agreement and the weight to be given to each factor considered. The conclusions reached by the Board were based on a comprehensive evaluation of all of the information provided and were not the result of any one factor. Moreover, each Trustee may have afforded different weight to the various factors in reaching his conclusions with respect to renewal of the Lyons Agreement.
Nature, Extent and Quality of Services: The Board reviewed the investment advisory services provided by Lyons, including portfolio management, research, analysis, trading and compliance. The Board noted that Lyons’ investment committee made investment decisions based on its proprietary tactical allocation risk model and stock selection model. The Board commented that Lyons maintained a security screen that restricted stock selection to only those companies that fell within Lyons’ investment parameters. The Board observed that Lyons adhered to investment limitations by reviewing daily and monthly reports that were disseminated to various Lyons personnel to allow for multiple reconciliation of inflows, outflows and trade executions. The Board observed that Lyons’ chief compliance officer reviewed the operational, financial and regulatory status of potential broker-dealers, and periodically reviewed broker-dealers once selected. The Board noted that Lyons reported no material compliance, regulatory, litigation or cybersecurity issues since the Lyons Agreement’s most recent renewal. The Board concluded that the services provided by Lyons were in line with its expectations.
Performance: The Board observed that Lyons TA had underperformed its benchmarks for the 1-year period due to defensive positioning in July 2022. The Board observed that Lyons TA outperformed all benchmarks over the 3-year and 10-year periods.
Fees and Expenses: The Board observed that Lyons’ sub-advisory fee was 50% of the advisor’s net management fee, or a maximum of 0.625% annually. It noted that Lyons’ sub-advisory fee, which was paid to it by the advisor, was lower than the fee it charged to other accounts. The Board concluded that Lyons’ sub-advisory fee was not unreasonable.
Profitability: The Board noted that Lyons was operating at a profit based on the information it provided. The Board commented that the expenses were calculated based on Lyons TA’s percentage of Lyons’ AUM. The Board concluded that excessive profitability was not an issue for Lyons at this time.
Economies of Scale: The Board considered whether Lyons had realized economies of scale with respect to the sub- advisory services provided to Lyons TA. The Board agreed that this was primarily an advisor level issue and should be considered with respect to the overall management agreement, taking into consideration the impact of the sub- advisory expense. The Board agreed that Lyons did not appear to have benefited from material economies of scale.
Conclusion. Having requested and received such information from Lyons as the Board believed to be reasonably necessary to evaluate the terms of the Lyons Agreement, and as assisted by the advice and guidance of counsel, the Board concluded that renewal of the Lyons Agreement was in the best interests of Lyons TA and its shareholders.
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| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
Consideration and Renewal of Sub-Advisory Agreement between Catalyst Capital Advisors, LLC and Cookson, Peirce & Co. with respect to Catalyst Dynamic Alpha Fund
In connection with a meeting held on May 9, 10, and 22, 2023, the Board of Trustees (the “Board”) of Mutual Fund Series Trust, including a majority of the Trustees who are not “interested persons” as that term is defined in the Investment Company Act of 1940, as amended, discussed the renewal of a sub-advisory agreement (the “CP Agreement”) between Catalyst Capital Advisors, LLC (“Catalyst”) and Cookson, Peirce & Co. (“Cookson Peirce”) with respect to Catalyst Dynamic Alpha (“Catalyst DA”).
The Board examined Cookson Peirce’s responses to a series of questions regarding, among other things, its sub- advisory services provided to and Catalyst DA, comparative fee and expense information, and profitability from sub- advising Catalyst DA. The Board was assisted by legal counsel throughout the review process and relied upon the advice of legal counsel and its own business judgment in determining the material factors to be considered in evaluating the CP Agreement and the weight to be given to each factor considered. The conclusions reached by the Board were based on a comprehensive evaluation of all of the information provided and were not the result of any one factor. Moreover, each Trustee may have afforded different weight to the various factors in reaching his conclusions with respect to renewal of the CP Agreement.
Nature, Extent and Quality of Services. The Board reviewed the professional backgrounds of the key personnel of Cookson Peirce and noted that there were no changes in the key personnel that serviced Catalyst DA. The Board reviewed Cookson Peirce’s services provided to Catalyst DA, including portfolio management with an emphasis on stock selection and factor exposure, portfolio security trading, compliance monitoring, reporting to the Board, and handling investor calls to meet shareholders needs directly. The Board discussed that broker-dealers were reviewed quarterly to ensure best execution. The Board commented that Cookson Peirce contracted with a third-party information technology consultant to guide it through a robust cybersecurity program that included an annual training for all employees. The Board observed that Cookson Peirce reported no material data security incidents or material litigation since the CP Agreement’s most recent renewal. After further discussion, the Board concluded that Cookson Peirce had the resources to continue providing high quality service to Catalyst DA.
Performance. The Board commented that Catalyst DA had a strong year and outperformed all benchmarks over the 1-year period. The Board observed that Catalyst DA outperformed or was on par with all but one of its benchmarks for the 3-year and 10-year periods, though it underperformed all benchmarks for the 5-year period. The Board discussed that Catalyst DA’s underperformance with respect to the S&P 500 TR Index could be attributed to its exposure to high momentum stocks. The Board recognized Catalyst DA’s improved performance.
Fees and Expenses. The Board noted that Cookson Peirce received 100% of the net management fee (with a maximum amount of 1.00%) earned on assets invested in Catalyst DA by its advisory clients, and 50% of the net management fee (after certain expenses) earned on the balance of Catalyst DA’s assets. The Board recognized that Cookson Peirce’s sub-advisory fee for Catalyst DA was comparable to the range of fees Cookson Peirce charged to its separately managed client accounts. The Board commented on the allocation of fees between the advisor and Cookson Peirce relative to their respective duties and other factors and agreed the allocation for Catalyst DA was appropriate. The Board concluded that the sub-advisory fee received by Cookson Peirce for managing Catalyst DA was not unreasonable.
Profitability. The Board remarked that Cookson Peirce earned a profit from sub-advising Catalyst DA. The Board noted that Cookson Peirce determined its direct and indirect expenses based on its percentage of AUM. The Board discussed how Cookson Peirce’s profits from sub-advising Catalyst DA were used to compensate Cookson Peirce’s members who provided services to Catalyst DA, including Catalyst DA’s portfolio managers. The Board recognized that Cookson Peirce’s profits would be reduced if those payments were taken into account. After further discussion, the Board determined that Cookson Peirce’s profit in connection with Catalyst DA was not excessive.
Economies of Scale. The Board considered whether Cookson Peirce had realized economies of scale with respect to the sub-advisory services provided to Catalyst DA. The Board agreed that this was primarily an advisor-level issue and should be considered with respect to the overall management agreement taking into consideration the impact
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| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
of the sub-advisory expense. The Board concluded that, based on the current size of Catalyst DA, it was unlikely that Cookson Peirce was benefiting from any meaningful economies of scale.
Conclusion. Having requested and received such information from Cookson Peirce as the Board believed to be reasonably necessary to evaluate the terms of the CP Agreement, and as assisted by the advice of counsel, the Board concluded that renewal of the CP Agreement was in the best interests of Catalyst DA and its shareholders.
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| SUPPLEMENTAL INFORMATION (Unaudited)(Continued) |
| June 30, 2023 |
Independent Trustees
Name, Address
Year of Birth | Position(s)
Held
with
Registrant | Term
and
Length
Served* | Principal
Occupation(s)
During Past 5
Years | Number of
Portfolios
Overseen in
the Fund
Complex** | Other Directorships Held
During Past 5 Years |
Tobias Caldwell
c/o Mutual Fund
Series Trust
36 N. New York
Avenue,
Huntington, NY
11743
Year of Birth: 1967 | Lead Trustee, Chairman of the Audit Committee and Nominating Committee | Since 6/2006 | Manager of Genovese Family Enterprises LLC & affiliates, the Genovese family office, since 1999; Managing Member of Bear Properties, LLC, a real estate management firm, since 2006; Managing Member of PTL Real Estate LLC, from 2000 until 2019. | 53 | Trustee of Variable Insurance Trust since 2010; Chairman of the Board of Mutual Fund and Variable Insurance Trust since 2016; Chairman of the Board of Strategy Shares since 2016; Trustee of IDX Funds Trust since 2016; Chairman of the Board of AlphaCentric Prime Meridian Income Fund since 2018 |
| | | | | | |
Tiberiu Weisz
c/o Mutual Fund
Series Trust
36 N. New York
Avenue,
Huntington, NY
11743
Year of Birth: 1949 | Trustee, Chairman of the Risk and Compliance Committee | Since 6/2006 | Attorney since 1982. | 37 | Trustee of Variable Insurance Trust since 2010 |
| | | | | | |
Stephen P. Lachenauer
c/o Mutual Fund
Series Trust
36 N. New York
Avenue,
Huntington, NY
11743
Year of Birth: 1967 | Trustee | Since 4/2022 | Attorney, private practice since 2010. | 53 | Trustee and Chair of the Audit and Risk and Compliance Committees since 2016, and Chair of the Investment Committee since November 2020, Mutual Fund and Variable Insurance Trust; Trustee and Chair of the Audit and Risk and Compliance Committees since 2016, and Chair of the Investment Committee since November 2020, Strategy Shares; Chairman of the Board, TCG Financial Series Trusts I-X since 2015; Trustee and Chair of the Audit and Risk and Compliance Committees since 2018, and Chair of the Investment Committee since November 2020, AlphaCentric Prime Meridian Income Fund. |
CATALYST FUNDS
SUPPLEMENTAL INFORMATION (Unaudited)(Continued)
June 30, 2023
Interested Trustee*** and Officers
Name, Address,
Year of Birth | Position(s)
Held
with
Registrant | Term and
Length
Served* | Principal Occupation(s)
During Past 5 Years | Number of
Portfolios
Overseen In
The Fund
Complex** | Other
Directorships
Held
During Past 5
Years |
Jerry Szilagyi
53 Palmeras St.
Suite 601
San Juan, PR
00901
Year of Birth: 1962 | Chairman of the Board | Trustee since 7/2006; President 2/2012- 3/2022 | President of the Trust, 2/2012- 3/2022; President, Rational Advisors, Inc., 1/2016 - present; Chief Executive Officer, Catalyst Capital Advisors LLC, 1/2006- present; Member, AlphaCentric Advisors LLC, 2/2014 to Present; Managing Member, MFund Distributors LLC, 10/2012- present; Managing Member, MFund Services LLC, 1/2012 – Present; CEO, Catalyst International Advisors LLC, 11/2019 to present; CEO, Insights Media LLC, 11/2019 to present; CEO, MFund Management LLC, 11/2019 to present. | 37 | Variable Insurance Trust since 2010 |
| | | | | | |
Michael Schoonover
53 Palmeras St.
Suite 601
San Juan, PR
00901
Year of Birth: 1983 | President | Since 3/2022 | Vice President of the Trust, 2018-- 2022; Chief Operating Officer, Catalyst Capital Advisors LLC and Rational Advisors, Inc., 6/2017 to present; Portfolio Manager, Catalyst Capital Advisors LLC 12/2013 to 5/2021; Portfolio Manager, Rational Advisors, Inc. 1/2016 to 5/2018; President, MFund Distributors LLC, 1/2020 to present; COO, Catalyst International Advisors LLC, 11/2019 to present; COO, Insights Media LLC, 11/2019 to present; COO, MFund Management LLC, 11/2019 to present; COO, AlphaCentric Advisors LLC, since 1/2021. | N/A | N/A |
| | | | | | |
Alex Merino
53 Palmeras St.
Suite 601
San Juan, PR
00901
Year of Birth: 1985 | Vice President | Since 3/2022 | Investment Operations Manager, MFund Management LLC, 1/2022 to present; Investment Operations Analyst, MFund Management LLC, 9/2020 to 12/2021; Tax Senior Associate, PwC Asset & Wealth Management NY Metro, 7/2016-6/2019. | N/A | N/A |
| | | | | | |
Erik Naviloff
4221 North 203rd
Street, Suite 100,
Elkhorn, Nebraska,
68022
Year of Birth: 1968 | Treasurer | Since 4/2012 | Vice President – Fund Administration, Ultimus Fund Solutions, LLC, since 2011. | N/A | N/A |
| | | | | | |
Brian Curley
4221 North 203rd
Street, Suite 100,
Elkhorn, Nebraska,
68022
Year of Birth: 1970 | Assistant Treasurer | Since 11/2013 | Vice President – Fund Administration, Ultimus Fund Solutions, LLC since 1/2015. | N/A | N/A |
| | | | | | |
Sam Singh
4221 North 203rd
Street, Suite 100,
Elkhorn, Nebraska,
68022
Year of Birth: 1976 | Assistant Treasurer | Since 2/2015 | Vice President – Fund Administration, Ultimus Fund Solutions, LLC since 1/2015. | N/A | N/A |
| | | | | | |
Frederick J. Schmidt
36 N. New York
Avenue
Huntington, NY
11743
Year of Birth: 1959 | Chief Compliance Officer | Since 5/2015 | Director of Compliance Services, MFund Services LLC since 5/2015. | N/A | N/A |
| | | | | | |
Jennifer A. Bailey
36 N. New York
Avenue
Huntington, NY
11743
Year of Birth: 1968 | Secretary | Secretary since 4/2014 | Director of Legal Services, MFund Services LLC, since 2012. | N/A | N/A |
| * | The term of office of each Trustee is indefinite. |
| ** | The ‘Fund Complex’ includes the Trust, Variable Insurance Trust, Mutual Fund and Variable Insurance Trust, Strategy Shares, and AlphaCentric Prime Meridian Income Fund, each a registered investment company. |
| *** | The Trustee who is an “interested person” of the Trust as defined in the 1940 Act is an interested person by virtue of being an officer of the advisor to certain series of the Trust. |
The Fund’s SAI includes additional information about the Trustees and is available, free of charge, by calling toll-free 1-877-329- 4246.
| CATALYST FUNDS |
| INFORMATION ABOUT YOUR FUNDS’ EXPENSES (Unaudited) |
As a shareholder of the Fund(s), you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments; and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees; and other Fund expenses. The example below is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The example below illustrates an investment of $1,000 invested at the beginning of the period (01/01/23) and held for the entire period through 06/30/23.
Actual Expenses
The “Actual” columns of the table below provide information about actual account values and actual expenses. You may use the information in these sections, 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 row under the heading entitled “Expenses Paid During the Period” to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The “Hypothetical” columns of the table below provide information about the hypothetical account values and hypothetical expenses based on each Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Funds’ actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Funds 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) or exchange fees. Therefore, the second section 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. For more information on transactional costs, please refer to the Funds’ prospectus.
| | | | | | | | | | | | | | | Hypothetical | |
| | | | | | | | | Actual | | | (5% return before expenses) | |
| | | Fund’s | | | Beginning | | | | | | | | | | | | | |
| | | Annualized | | | Account Value | | | Ending Account | | | Expenses Paid | | | Ending Account | | | Expenses Paid | |
| | | Expense Ratio | | | 01/01/23 | | | Value 06/30/23 | | | During Period * | | | Value 06/30/23 | | | During Period * | |
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| Catalyst Insider Buying Fund - Class A | | | 1.55 | % | | $ | 1,000.00 | | | $ | 1,168.90 | | | $ | 8.34 | | | $ | 1,017.11 | | | $ | 7.75 | |
| Catalyst Insider Buying Fund - Class C | | | 2.29 | % | | | 1,000.00 | | | | 1,164.90 | | | | 12.29 | | | | 1,013.44 | | | | 11.43 | |
| Catalyst Insider Buying Fund - Class I | | | 1.29 | % | | | 1,000.00 | | | | 1,170.70 | | | | 6.94 | | | | 1,018.40 | | | | 6.46 | |
| Catalyst Energy Infrastructure Fund - Class A | | | 1.69 | % | | | 1,000.00 | | | | 1,094.60 | | | | 8.78 | | | | 1,016.41 | | | | 8.45 | |
| Catalyst Energy Infrastructure Fund - Class C | | | 2.44 | % | | | 1,000.00 | | | | 1,090.20 | | | | 12.65 | | | | 1,012.69 | | | | 12.18 | |
| Catalyst Energy Infrastructure Fund - Class I | | | 1.44 | % | | | 1,000.00 | | | | 1,096.10 | | | | 7.48 | | | | 1,017.65 | | | | 7.20 | |
| Catalyst/MAP Global Equity Fund - Class A | | | 1.21 | % | | | 1,000.00 | | | | 1,071.00 | | | | 6.21 | | | | 1,018.79 | | | | 6.06 | |
| Catalyst/MAP Global Equity Fund - Class C | | | 1.96 | % | | | 1,000.00 | | | | 1,066.50 | | | | 10.04 | | | | 1,015.08 | | | | 9.79 | |
| Catalyst/MAP Global Equity Fund - Class I | | | 0.96 | % | | | 1,000.00 | | | | 1,072.20 | | | | 4.93 | | | | 1,020.03 | | | | 4.81 | |
| Catalyst/Lyons Tactical Allocation Fund - Class A | | | 1.53 | % | | | 1,000.00 | | | | 1,050.70 | | | | 7.78 | | | | 1,017.21 | | | | 7.65 | |
| Catalyst/Lyons Tactical Allocation Fund - Class C | | | 2.28 | % | | | 1,000.00 | | | | 1,046.80 | | | | 11.57 | | | | 1,013.49 | | | | 11.38 | |
| Catalyst/Lyons Tactical Allocation Fund - Class I | | | 1.28 | % | | | 1,000.00 | | | | 1,052.10 | | | | 6.51 | | | | 1,018.45 | | | | 6.41 | |
| Catalyst Dynamic Alpha Fund - Class A | | | 1.38 | % | | | 1,000.00 | | | | 1,105.20 | | | | 7.20 | | | | 1,017.95 | | | | 6.90 | |
| Catalyst Dynamic Alpha Fund - Class C | | | 2.13 | % | | | 1,000.00 | | | | 1,101.00 | | | | 11.10 | | | | 1,014.23 | | | | 10.64 | |
| Catalyst Dynamic Alpha Fund - Class I | | | 1.13 | % | | | 1,000.00 | | | | 1,106.80 | | | | 5.90 | | | | 1,019.19 | | | | 5.66 | |
| * | Expenses are equal to the Funds’ annualized expense ratios multiplied by the average account value over the period, multiplied by 181/365 to reflect the one-half year period. |
For more information on Fund expenses, please refer to the Funds’ prospectus, which can be obtained from your investment representative or by calling 1-866-447-4228. Please read it carefully before you invest or send money.
PRIVACY NOTICE
Mutual Fund Series Trust
Rev. August 2021
| FACTS | WHAT DOES MUTUAL FUND SERIES TRUST DO WITH YOUR PERSONAL INFORMATION? |
| Why? | Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some, but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do. |
| What? | The types of personal information we collect and share depends on the product or service that you have with us. This information can include: ● Social Security number and wire transfer instructions ● account transactions and transaction history ● investment experience and purchase history When you are no longer our customer, we continue to share your information as described in this notice. |
| How? | All financial companies need to share customers’ personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers’ personal information; the reasons Mutual Fund Series Trust chooses to share; and whether you can limit this sharing. |
Reasons we can share your
personal information: | Does Mutual Fund Series
Trust share information? | Can you limit this
sharing? |
| For our everyday business purposes - such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus. | YES | NO |
| For our marketing purposes - to offer our products and services to you. | NO | We don’t share |
| For joint marketing with other financial companies. | NO | We don’t share |
| For our affiliates’ everyday business purposes - information about your transactions and records. | NO | We don’t share |
| For our affiliates’ everyday business purposes - information about your credit worthiness. | NO | We don’t share |
| For our affiliates to market to you | NO | We don’t share |
| For non-affiliates to market to you | NO | We don’t share |
PRIVACY NOTICE
Mutual Fund Series Trust
| What we do: |
How does Mutual Fund Series Trust protect my personal information? | To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings. Our service providers are held accountable for adhering to strict policies and procedures to prevent any misuse of your nonpublic personal information. |
How does Mutual Fund Series Trust collect my personal information? | We collect your personal information, for example, when you: ● open an account or deposit money ● direct us to buy securities or direct us to sell your securities ● seek advice about your investments We also collect your personal information from others, such as credit bureaus, affiliates, or other companies. |
Why can’t I limit all sharing? | Federal law gives you the right to limit only: ● sharing for affiliates’ everyday business purposes – information about your creditworthiness. ● affiliates from using your information to market to you. ● sharing for non-affiliates to market to you. State laws and individual companies may give you additional rights to limit sharing. |
| Definitions |
| Affiliates | Companies related by common ownership or control. They can be financial and non-financial companies. ● Mutual Fund Series Trust does not share with affiliates. |
| Non-affiliates | Companies not related by common ownership or control. They can be financial and non-financial companies. ● Mutual Fund Series Trust doesn’t share with non-affiliates so they can market to you. |
| Joint marketing | A formal agreement between nonaffiliated financial companies that together market financial products or services to you. ● Mutual Fund Series Trust doesn’t jointly market. |
| QUESTIONS? CALL | Alpha Centric | 844-223-8637 |
| Catalyst | 866-447-4228 |
| Day Hagan | 877-329-4246 |
| Empiric | 888-839-7424 |
| Eventide | 877-771-3836 |
| JAG | 855-552-4596 |
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| MUTUAL FUND SERIES TRUST |
| 4221 North 203rd Street, Suite 100 |
| Elkhorn, NE 68022 |
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| MANAGER |
| Catalyst Capital Advisors, LLC |
| 53 Palmeras Street, Suite 601 |
| San Juan, PR 00901 |
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| ADMINISTRATOR |
| Ultimus Fund Solutions, LLC |
| 225 Pictoria Drive, Suite 450 |
| Cincinnati, OH 45246 |
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| TRANSFER AGENT |
| Ultimus Fund Solutions, LLC |
| 225 Pictoria Drive, Suite 450 |
| Cincinnati, OH 45246 |
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| INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM |
| Cohen & Company |
| 1835 Market Street |
| Suite 310 |
| Philadelphia, PA 19103 |
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| LEGAL COUNSEL |
| Thompson Hine LLP |
| 41 South High Street |
| Suite 1700 |
| Columbus, OH 43215 |
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| CUSTODIAN BANK |
| U.S. Bank |
| 1555 N. Rivercenter Drive. |
| Suite 302 |
| Milwaukee, WI 53212 |
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Reference is made to the Prospectus and the Statement of Additional Information for more detailed descriptions of the Management Agreements, Services Agreements and Distribution and/or Service (12b-1) Plans, tax aspects of the Funds and the calculations of the net asset values of shares of the Funds. The Funds file their complete schedules of portfolio holdings with the Securities and Exchange Commission (the “Commission”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT. The Funds’ Forms N-PORT are available on the Commission’s website at http://www.sec.gov. The Funds’ Forms N-PORT may be obtained by calling 1-800-SEC-0330. A description of the policies and procedures that the Funds use to determine how to vote proxies relating to portfolio securities is available without charge, upon request, by calling 1-866-447-4228; and on the Commission’s website at http://www.sec.gov. Information regarding how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available without charge, upon request, by calling 1-866-447-4228; and on the Commission’s website at http://www.sec.gov. CatalystEquity-A23 |
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ITEM 2. CODE OF ETHICS.
(a) The registrant has, as of the end of the period covered by this report, adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, and principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party.
(b) N/A
(c) During the period covered by this report, there were no amendments to any provision of the code of ethics.
(d) During the period covered by this report, there were no waivers or implicit waivers of a provision of the code of ethics.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
| | The Registrant’s Board of Trustees has determined that it does not have an audit committee financial expert serving on its audit committee. At this time, the Registrant believes that the experience provided by each member of the audit committee together offer the Registrant adequate oversight for the Registrant’s level of financial complexity. |
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
| (a) | Audit Fees. The aggregate fees billed for each of the last two fiscal years for professional services rendered by the Registrant's principal accountant for the audit of the Registrant's annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years are as follows: |
| Trust Series | 2023 | 2022 |
| Catalyst Insider Buying Fund | 11,000 | 11,000 |
| Catalyst Dynamic Alpha Fund | 11,000 | 1,000 |
| Catalyst/Lyons Tactical Allocation Fund | 11,000 | 11,000 |
| Catalyst/MAP Global Equity Fund | 13,000 | 13,000 |
| Catalyst Energy Infrastructure Fund | 11,000 | 11,000 |
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| (b) | Audit-Related Fees. There were no fees billed in each of the last two fiscal years for assurances and related services by the principal accountant that are reasonably related to the performance of the audit of the Registrant’s financial statements and are not reported under paragraph (a) of this item. |
| (c) | Tax Fees. The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance are as follows: |
| Trust Series | 2023 | 2022 |
| Catalyst Insider Buying Fund | 2,500 | 2,000 |
| Catalyst Dynamic Alpha Fund | 2,500 | 2,000 |
| Catalyst/Lyons Tactical Allocation Fund | 2,500 | 2,000 |
| Catalyst/MAP Global Equity Fund | 2,500 | 2,000 |
| Catalyst Energy Infrastructure Fund | 3,000 | 2,000 |
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| (d) | All Other Fees. The aggregate fees billed in each of the last two fiscal years for products and services provided by the Registrant’s principal accountant, other than the services reported in paragraphs (a) through (c) of this item were $0 and $0 for the fiscal years ended June 30, 2023, and 2022 respectively. |
| (e)(1) | The audit committee does not have pre-approval policies and procedures. Instead, the audit committee or audit committee chairman approves on a case-by-case basis each audit or non-audit service before the principal accountant is engaged by the Registrant. |
| (e)(2) | There were no services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X. |
| f) | Not applicable. The percentage of hours expended on the principal accountant's engagement to audit the Registrant's financial statements for the most recent fiscal year that were attributed to work performed by persons other than the principal accountant's full-time, permanent employees was zero percent (0%). |
| (g) | All non-audit fees billed by the Registrant's principal accountant for services rendered to the Registrant for the fiscal years ended June 30, 2022 and 2023, respectively, are disclosed in (b)-(d) above. There were no audit or non-audit services performed by the Registrant's principal accountant for the Registrant's adviser. |
| (h) | Not Applicable |
(I) (J) | Not Applicable. Not Applicable |
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable
ITEM 6. SCHEDULE OF INVESTMENT
Included in annual 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 Fund is an open-end management investment company
ITEM 8. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES
Not applicable Fund is an open-end management investment company
ITEM 9. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.
Not applicable Fund is an open-end management investment company
ITEM 10. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.
Not applicable at this time.
ITEM 11. CONTROLS AND PROCEDURES.
(a) Based on an evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of filing date of this Form N-CSR,, the Registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the 1940 Act, are effective, as of a date within 90 days of the filing date of this report, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended.
(b) There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the period covered by this report that
have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting.
ITEM 12. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLSOED-END MANAGEMENT INVESTMENT COMPANIES.
Not applicable to open-end investment companies.
ITEM 13. EXHIBITS
(a)(1) Code of Ethics for Principal Executive and Senior Financial Officers is attached hereto.
(a)(2) Certifications required by Section 302 of the Sarbanes-Oxley Act of 2002 (and Item 13(a)(2) of Form N-CSR) are filed herewith.
(a)(3) Not applicable.
(a)(4) Disclosure regarding change in registrant’s independent registered public accountant is attached hereto.
(b) Certifications required by Section 906 of the Sarbanes-Oxley Act of 2002 (and Item 13(b) of Form N-CSR) are filed herewith.
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.
Mutual Fund Series Trust
| By Michael Schoonover | /s/ Michael Schoonover __________ |
| President |
| Date: September 06, 2023 | |
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 person on behalf of the Registrant and in the capacities and on the date indicated.
| By Michael Schoonover | /s/ Michael Schoonover ___________ |
| President |
| Date: September 06, 2023 | |
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 person on behalf of the Registrant and in the capacities and on the date indicated.
| By Erik Naviloff | /s/ Erik Naviloff_____________ |
| Treasurer |
| Date: September 06, 2023 | |
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