DoubleLine Flexible Income Fund Class N (DLINX) N-CSRS Certified semi-annual shareholder report (management investment company)

As filed with the Securities and Exchange Commission on 12/7/12

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 811-22378

DoubleLine Funds Trust

(Exact name of registrant as specified in charter)

333 South Grand Avenue, Suite 1800

Los Angeles, CA 90071

(Address of principal executive offices) (Zip code)

Ronald R. Redell

President

DoubleLine Funds Trust

333 South Grand Avenue, Suite 1800

Los Angeles, CA 90071

(Name and address of agent for service)

(213) 633-8200

Registrant’s telephone number, including area code

Date of fiscal year end: March 31

Date of reporting period: September 30, 2012

Item 1. Reports to Stockholders.

Semi-Annual Report

September 30, 2012

DoubleLine Total Return Bond Fund

DBLTX (I-share)

DLTNX (N-share)

DoubleLine Core Fixed Income Fund

DBLFX (I-share)

DLFNX (N-share)

DoubleLine Emerging Markets Fixed Income Fund

DBLEX (I-share)

DLENX (N-share)

DoubleLine Multi-Asset Growth Fund

DMLIX (I-share)

DMLAX (A-share)

DoubleLine Low Duration Bond Fund

DBLSX (I-share)

DLSNX (N-share)

DoubleLine Capital LP 333 S. Grand Avenue 18th Floor Los Angeles, California 90071   doubleline.com

Table of Contents

	Page
President’s Letter		4
Schedules of Investments		12
Statements of Assets and Liabilities		43
Statements of Operations		44
Statements of Changes in Net Assets		45
Financial Highlights		48
Notes to Financial Statements		53
Shareholder Expenses		65
Federal Tax Information		66
Information About Proxy Voting		69
Information About the Portfolio Holdings		69
Householding		69
Privacy Notice		70

Semi-Annual Report September 30, 2012 3

President’s Letter  

Dear DoubleLine Funds Shareholder:

On behalf of the team at DoubleLine, I am pleased to deliver this Semi-Annual Report. On the following pages, you will find specific information regarding each Fund’s operations and holdings. Investor assets in the DoubleLine Funds grew to approximately $37.5 billion as of September 30, 2012. In this challenging economic and market environment, DoubleLine continues to strive to deliver superior risk-adjusted returns while working to avoid crossing the double line of risk on the road to successful investing.

Highlights of Financial Markets through our Semi-Annual reporting period

· Agency Mortgage Backed Securities (MBS): The Agency MBS market returned 2.22% for the six-month period ending September 30, 2012. Lower coupon mortgages were up while higher coupon mortgages were flat to down in price over this time period. The lower coupons were up partly due to the announcement of a third round of quantitative easing (QE3) as the size of the program was larger than what the market was expecting. The Federal Reserve has stated it will be buying mainly lower coupon mortgages in this program to the size of $40 billion of Agency MBS a month in QE3. Keep in mind that one of the mandates in the extension of Operation Twist was reinvestment back into mortgages for the paydowns of the Federal Reserve’s mortgage portfolio purchased in QE1. This number amounts to around $25 billion per month. These two conditions bring the Federal Reserve’s expanded total monthly purchases to $65 billion. The market is producing between $120 and $150 billion of new mortgages per month so the Federal Reserve is buying about one half of all reporting new mortgages. Additionally, higher coupon mortgage performance has been hurt by faster prepayment speeds partly caused by HARP 2.0.

· Non-Agency MBS: During the six-month period ending September 30, 2012, prices in the non-Agency MBS sector were high in spite of supply and legal/legislative concerns. The sector continues to provide better price performance, and improvements, in severities and defaults.

	Non-Agency MBS Indices Closing Prices
	3/31/2012		9/28/2012		% Change
ABX 06-2 AAA		49.54		58.45		8.91
ABX 07-1 AAA		38.84		47.02		8.18
PrimeX FRM1*		106.20		109.46		3.26
PrimeX FRM2*		97.46		99.58		2.12
Source: Morgan Stanley

* FRM = Fixed Rate Mortgage. Please see the definition of the PrimeX Index at the end of this letter, which includes the sub-indices FRM1 and FRM2.

Tradable supply for non-Agency MBS increased during this period, helped in part by the liquidation of the Maiden Lane portfolio (the Federal Reserve’s position from AIG), as well as short-term holders selling positions

4 DoubleLine Funds

as prices rose. Throughout the period, the average monthly BWIC (Bids Wanted in Competition) supply exceeded $20 billion.

There was significant legal and congressional activity during this period as well: an Attorney General settlement worth $25 billion with the five largest originators, the introduction of a bill by Senator Feinstein to refinance all existing ‘underwater’ current non-Agency mortgages, the Boxer-Menendez bill designed to make Home Affordable Refinance Program (HARP) refinancing on Agency mortgages easier, and a new and untested use of eminent domain as a way to buy performing mortgages out of non-Agency pools. The eminent domain issue has had an interesting effect of uniting the entire mortgage investment community against this type of activity.

· Treasuries: The Treasury market continued to trade in lock step with the actions, both realized and expected, of monetary authorities in the U.S. and Europe. A steady stream of disappointing domestic economic statistics and rising concern about the approaching “fiscal cliff” pushed up expectations of new monetary accommodation from the Federal Reserve. Europe saw its sovereign debt crisis intensify, with both Greece and Spain on the brink of disaster, the survival of the Euro in question, and the authorities seemingly unable to fashion a coherent response. Demand for the safe-haven appeal of U.S. Treasuries – long maturity issues in particular – drove yields to new all-time lows in late July 2012. The 10-year Treasury note, which had made a previous low of 1.71% in September 2011 and which in early April sat at 2.16%, reached 1.40% on July 24.

The tide changed in August as European Central Bank’s Draghi made emphatic statements in support of the Euro. European governments, most notably Germany, made concrete progress toward a formal rescue mechanism in September. The Federal Reserve, as expected, unveiled a new open-ended asset purchase program at its September meeting. The program proved a boon to mortgage-backed securities and, to a lesser extent, inflation-indexed Treasuries, but did little to boost prices of conventional Treasury notes and bonds. Waning flight-to-quality demand pushed yields higher through August and September with the 10-year note yield ending September at 1.63%.

· Corporates: After posting negative excess returns in the second quarter, both investment grade and high yield corporate bonds, as measured by the Barclays Capital U.S. Credit Index and Barclays Capital U.S. Corporate High Yield Index, delivered excess returns in the third quarter of 2012. Returns during both periods were influenced by continuing eurozone and global growth issues, as well as the ongoing quantitative easing moves implemented by the Federal Reserve which instilled a “risk on” mentality among investors. Market liquidity overshadowed corporate and macroeconomic fundamentals to some degree during the period with record levels of funds flowing into the high yield credit space in particular. Issuance in both the investment grade and high yield space remained robust during the period given what appeared to be the unlimited demand for corporate credit in the market and low inventory levels among dealers. Towards the end of the third quarter, concerns about forward corporate earnings trends dampened some of this enthusiasm. Yet, throughout most of the period, risk markets continued to revel in central bank stimulus, both in the U.S. and abroad, despite the headwinds with regard to corporate and macroeconomic fundamentals.

· Emerging Markets Debt: Emerging markets (EM) external sovereign bonds, as measured by the JP Morgan Emerging Markets Bond Index Global Diversified (EMBI), were the best performing EM sector for the second and third quarter of 2012. Strong investor inflows to the asset class provided support for EM sovereign bonds, with spreads tightening approximately 68 basis points (bps) over the period. EM external corporate bonds, as measured by the JP Morgan Corporate Emerging Markets Bond Index Broad Diversified (CEMBI), were the next best performing EM sector as credit assets benefited from U.S. and European commitment for central bank intervention. Both non-investment grade sovereign (as measured by the EMBI high yield sub-index) and

Semi-Annual Report September 30, 2012 5

President’s Letter  (Cont.)

non-investment corporate EM bonds (as measured by the CEMBI high yield sub-index) outperformed their investment grade counterparts as investors sought higher yielding assets with developed market rates continuing to hover at historic lows. EM government local currency bonds, as measured by the JP Morgan Government Bond Index Emerging Markets Broad Diversified (GBI-EM), were more volatile and underperformed U.S. dollar-denominated EM sectors, which are the EMBI and CEMBI. Local currency bonds posted modestly negative returns in the second quarter and strong positive returns in the third quarter 2012.

· Commercial MBS (CMBS): The commercial mortgage market continued to perform well through 2012 as the search for yield under the current rate environment caused investors to shift focus toward spread products. For the second and third quarter of this year, CMBS, as measured by the CMBS component of the Barclays Capital U.S. Aggregate Bond Index, returned 4.72% outperforming the Barclays Capital U.S. Aggregate Bond Index by 104 bps. We saw a fairly robust new issuance pipeline as $21 billion of CMBS multi-borrower conduit transactions were brought to market, with each deal managing to price tighter over the previous. Of the $21 billion in CMBS issuance brought to market during this period, $7 billion were brought to market in September with the 10-year super senior AAAs clearing on average at swaps +85 bps. The most recent wides prior to September were seen back in May and June of this year at swaps +140 – swaps +150. In terms of commercial real estate fundamentals, collateral performance has been lack-luster albeit with a majority of problem loans having already defaulted over the previous two years. Most collateral issues now deal specifically with servicer modifications as well as anticipating potential modifications that may affect the trust. We believe the market remains well supported as we enter the fourth quarter, especially with the announcement of QE3.

· Global Equities: Following dismal second quarter performance off a first quarter high, the global equity markets, as measured by the MSCI All-World Country Index (MSCI ACWI), experienced a rally in the third quarter 2012. The MSCI ACWI returned 1.24% for the six-month period ending September 30, 2012. The rally at the end of the period reflected the global markets’ response to reflationary policies from the major central banks, including the U.S. Federal Reserve, the European Central Bank, and the Chinese government. The U.S. equity markets improved over the six-month period as well, as reflected in the three major U.S. equity indices’ returns: the S&P 500 Index returned 3.42%, the NASDAQ Composite Index returned 1.47%, and the Dow Jones Industrial Index returned 3.08%. Developed ex-U.S. equities as represented by the MSCI EAFE (Europe, Australia, and the Far East) Index returned -1.13% for the six-month period. In emerging markets, the MSCI EM Index returned -1.58%. The improvement during the third quarter was due in part to the anticipated central bank activity working to stimulate global growth to lead to continued gains in consumer demand within these markets. The challenges for the global equity markets include the U.S. Presidential Election, the looming U.S. fiscal cliff, and a slowing Chinese economy which has been an important contributor to global growth over the past decade.

· Commodities: As measured by the Standard & Poor’s Goldman Sachs Commodity Excess Return Index, the broad-based commodities market posted a 2.3% decline for the six-month period ended September 30, 2012. Performance was mixed as half of the 24 commodities in the index generated positive returns and half were negative over the six-month period. The agricultural sector was the strongest performing sector, driven primarily by grains, returning over 16.2% as elevated temperatures in the Midwestern United States caused reduced crop yields. Precious metals rebounded from a second quarter loss to end the six-month period up 5.6% as the Federal Reserve announced a third round of quantitative easing, which subsequently drove investors to seek refuge in precious metals against fiat currency devaluation.

6 DoubleLine Funds

Performance:

DoubleLine Total Return Bond Fund

For the six-month period ended September 30, 2012, the DoubleLine Total Return Bond Fund Class I shares outperformed the Barclays Capital U.S. Aggregate Bond Index by 1.51% (5.19% versus 3.68%). Over this period, interest rates fell with the 2-year Treasury rate down 10 bps to 0.23%, the 5-year Treasury rate down 41 bps to 0.63%, and the 10-year Treasury rate down 58 bps to 1.63%. Despite the drop in rates and the Fund’s lower duration, the Fund still outperformed over the period. Prices on the Agency Collateralized Mortgage Obligations (CMOs) were up with both lower coupon passthroughs and fixed-rate CMOs outperforming. The Agency inverse interest-only holdings in the portfolio continued to generate high cash flows due to the low short-term interest rates and relatively slow prepayments. In the non-Agency mortgage sector, prices were up significantly for all sub-sectors. The Alt-A securities held in the Fund were the best performing sector.

Period Ended: 9-30-2012	6-Months
I-Share		5.19%
N-Share		5.07%
Barclays Capital US Aggregate Bond Index		3.68%

DoubleLine Core Fixed Income Fund

For the six-month period ended September 30, 2012, the DoubleLine Core Fixed Income Fund Class I shares outperformed the Barclays Capital U.S. Aggregate Bond Index by 1.44% (5.12% versus 3.68%). The Fund’s outperformance over that time period was helped by the allocation to Agency MBS in which the lower coupon passthroughs and fixed rate CMOs outperformed. The non-index allocations to both emerging markets fixed income and non-Agency MBS further helped the outperformance of the Fund with Alt-A non-Agency Residential Mortgage Backed Securities (RMBS) being the best performing sector. The Fund’s holdings in U.S. corporate securities were in line with the benchmark while the Fund’s under allocation to U.S. Treasuries further enhanced the performance of the Fund as this sector underperformed for the six months.

Period Ended: 9-30-12	6-Month
I-Share		5.12%
N-Share		5.00%
Barclays Capital US Aggregate Bond Index		3.68%

DoubleLine Emerging Markets Fixed Income Fund

For the six-month period ended September 30, 2012, the DoubleLine Emerging Markets Fixed Income Fund Class I shares underperformed the JP Morgan EMBI Global Diversified Index by -4.11% (5.48% versus 9.59%). The Fund was defensively positioned with an overweight allocation to investment grade securities and a shorter duration relative to the index. Over the period, high yield bonds, as measured by the EMBI high yield sub-index, outperformed investment grade bonds, as measured by the EMBI investment grade sub-index, driven by the commitment to large scale central bank intervention out of Europe and the U.S., leading to improving investor confidence in the global markets. Additionally, the Fund’s performance was negatively affected from an overweight allocation to corporate debt securities relative to the index, which is made up of sovereign and quasi-sovereign issuers. The Fund was underweight in Central and Eastern European, Middle East, and Africa (CEEMEA) exposure, which was the regional outperformer over the period.

Semi-Annual Report September 30, 2012 7

President’s Letter  (Cont.)

Period Ended: 9-30-12	6-Month
I-Share		5.48%
N-Share		5.36%
JP Morgan Emerging Markets Bond Global Diversified Index		9.59%

DoubleLine Multi-Asset Growth Fund

For the six-month period ended September 30, 2012, the DoubleLine Multi-Asset Growth Fund Class I shares outperformed the Blended Benchmark (60% Barclays U.S. Capital Aggregate/25% Morgan Stanley Capital International All Country World Index/15% S&P 500 Goldman Sachs Commodity Total Return Index) by 0.52% (2.85% versus 2.33%). The Fund’s outperformance was helped by the allocation to the U.S. Fixed Income sector which performed well over the time period on the back of the drop in interest rates. Additionally, the non-Agency MBS portion of the portfolio also outperformed, with the Alt-A subsector being the top performer. The Fund’s holdings in equities underperformed over the time period detracting somewhat from the outperformance. The allocation to real assets remained a diversifier while also adding to the outperformance over the six months.

Period Ended: 9-30-12	6-Month
I-Share		2.85%
A-Share
No Load		2.76%
With Load		-1.61%
S&P 500 Index		3.43%
Blended Benchmark*		2.33%

* Blended Benchmark: 60% Barclays Capital Aggregate/25% Morgan Stanley Capital International All Country World Index/15% S&P 500 Goldman Sachs Commodity Total Return Index.

DoubleLine Low Duration Bond Fund

For the six-month period ended September 30, 2012, the DoubleLine Low Duration Bond Fund Class I shares outperformed the BofA Merrill Lynch 1-3 Year Treasury Index by 1.38% (1.83% versus 0.45%). All sectors of the Fund outperformed over the time period due to the high income generation of the underlying securities. Both the MBS and emerging markets fixed income holdings in the portfolio were the best performers adding to the outperformance of the Fund. The U.S. Treasury holdings in the Fund were the lowest performing securities given the current low interest rate environment.

Period Ended: 9-30-12	6-Month
I-Share		1.83%
N-Share		1.71%
BofA ML 1-3 Year Treasury		0.45%

8 DoubleLine Funds

On behalf of the team at DoubleLine, we thank you for your support of the Funds. We value the trust you have placed in us and if you have any questions please do not hesitate to call 877-DLINE11 (354-6311) or visit our website at www.doublelinefunds.com.

Sincerely,

Ronald R. Redell

November 1, 2012

Past Performance is not a guarantee of future results.

Opinions expressed herein are as of September 30, 2012 and are subject to change at any time, are not guaranteed and should not be considered investment advice.

The performance shown assumes the reinvestment of all dividends and distributions and does not reflect any reductions for taxes. Investment performance reflects fee waivers in effect. In the absence of such waivers, total return would be reduced.

Fund holdings and sector allocations are subject to change at any time and are not recommendations to buy or sell any security. Please refer to the Schedule of Investments for a complete list of fund holdings.

This report is for the information of shareholders of the Funds. It may also be used as sales literature when preceded or accompanied by the current prospectus.

Investments in debt securities typically decrease when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in Asset-Backed and Mortgage-Backed securities include additional risks that investors should note, including credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments. Investments in lower rated and certain non-rated securities present a greater risk of loss to principal and interest than higher rated securities. The Emerging Markets Fixed Income Fund and the Multi-Asset Growth Fund are non-diversified meaning each may concentrate its assets in fewer individual holdings than a diversified fund. Therefore, these Funds may be more susceptible to any single economic, political or regulatory event than a more diversified fund, and a decline in the market value of one of the Fund’s investments may affect that Fund’s value more than if the Fund were a diversified fund. The Core Fixed Income Fund, Emerging Markets Fixed Income Fund, Multi-Asset Growth Fund and Low Duration Bond Fund may invest in foreign securities, which involve political, economic, and currency risks, greater volatility, and differences in accounting methods. These risks are greater for investments in emerging markets. The Funds may invest in securities related to real estate, which may decline in value as a result of factors affecting the real estate industry. Derivatives may involve certain costs and risks such as liquidity, interest rate, market, credit, management and the risk that a position could not be closed when most advantageous. The Funds’ investments in derivatives potentially could lose more than the amount invested. Commodity-linked derivative instruments may involve additional costs and risks such as changes in commodity index volatility or factors affecting a particular industry or commodity, such as drought, floods, weather, livestock disease, embargoes, tariffs and international economic, political and regulatory developments. Equities may decline in value due to both real and perceived general market, economic, and industry conditions. For more details regarding the risks of the Funds, please consult the current prospectus.

Diversification does not assure a profit or protect against loss in a declining market.

ABX Index—The ABX Index consists of the 20 most liquid credit default swaps (CDS) on U.S. home equity asset-backed securities (ABS) and is used to hedge asset-backed exposure or to take a position in the subprime mortgage asset class. The ABX Index has four series (06-1, 06-2, 07-1 and 07-2) with five tranches per series. The ABX 07-1 AAA Index references underlying collateral of that 2007 vintage and AAA credit quality type, just as the ABX 06-2 AAA Index references underlying collateral of the 2006 vintage and AAA credit quality type.

Basis Point—A basis point (bps) is equal to 0.01%.

Barclays Capital U.S. Aggregate Bond Index—The Barclays Capital U.S. Aggregate Bond Index represents securities that are SEC-registered, taxable, and dollar denominated. The index covers the US investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities. These major sectors are subdivided into more specific indices that are calculated and reported on a regular basis.

Barclays Capital U.S. Corporate Index—The Barclays Capital U.S. Corporate Index is the corporate component of the Barclays Capital U.S. Credit Index. It consists of publically-issued U.S. corporate and specified foreign debentures and secured notes that meet the specified maturity, liquidity, and quality requirements. To qualify, bonds must be SEC-registered. The corporate sub-sectors are industrial, utility and finance, which include both U.S. and non-U.S. corporations.

Semi-Annual Report September 30, 2012 9

President’s Letter  (Cont.)

Barclays Capital U.S. Credit Index—This index is the US Credit component of the US Government/Credit Index and consists of publically issued US corporate and specified foreign debentures and secured notes that meet the specified maturity, liquidity, and quality requirements. To qualify, bonds must be SEC-registered. The US Credit Index is the same as the former US Corporate Investment Grade Index.

Barclays Capital U.S. Government Index—This index is the US Government component of the US Government/Credit Index and includes securities issued by the US Government, including treasuries and agencies. This includes public obligations of the US Treasury with a remaining maturity of one year or more and publically issued debt of US Government agencies, quasi-federal corporations, and corporate or foreign debt guaranteed by the US Government.

Barclays Capital U.S. Corporate High Yield Index—This index covers the universe of fixed rate, non-investment grade debt. Eurobonds and debt issuer from countries designated as emerging markets (e.g. Argentina, Brazil, Venezuela, etc.) are excluded, but Canadian and global bonds (SEC registered) of issuers in non-EMG countries are included. Original issue zeros, step-up coupon structures, 144-As and pay-in-kind (PIK, as of October 1, 2009) are also included.

Barclays Capital U.S. MBS Index—The Barclays Capital U.S. MBS Index measures the performance of investment grade fixed-rate mortgage-backed pass-through securities of the Government-Sponsored Enterprises (GSEs): Ginnie Mae (GNMA), Fannie Mae (FNMA), and Freddie Mac (FHLMC).

BofA Merrill Lynch 1-3 Year Treasury Index—The Index is an unmanaged index that tracks performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than three years.

Cash Flow—Cash flow measures the cash generating capability of a company by adding non-cash charges (e.g., depreciation) and interest expense to pretax income.

Dow Jones Industrial Index—This index, also referred to as The Dow, is a price-weighted measure of 30 U.S. blue-chip companies. It covers all industries with the exception of the transportation and utilities.

Duration—A measure of the sensitivity of a price of a fixed income investment to a change in interest rates, expressed as a number of years.

JP Morgan Corporate Emerging Markets Bond Broad Diversified Index (CEMBI)—This index is a market capitalization weighted index consisting of US-denominated Emerging Market corporate bonds. It is a liquid global corporate benchmark representing Asia, Latin America, Europe and the Middle East/Africa. The CEMBI also contains high yield and investment grade sub-indices.

JP Morgan Emerging Markets Bond Global Diversified Index (EMBI)—This index is uniquely-weighted version of the EMBI Global. It limits the weights of those index countries with larger debt stocks by only including specified portions of these countries’ eligible current face amounts of debt outstanding. The countries covered in the EMBI Global Diversified are identical to those covered by EMBI Global. The EMBI also contains high yield and investment grade sub-indices.

JP Morgan Government Bond Emerging Markets Broad Diversified Index (GBI EM)—This index is the first comprehensive, global local Emerging Markets index, and consists of regularly traded, liquid fixed-rate, domestic currency government bonds to which international investors can gain exposure.

Morgan Stanley Capital International All Country World Index (MSCI ACWI)—The MSCI All Country (AC) World Index is a market-capitalization-weighted index designed to provide a broad measure of stock performance throughout the world, including both developed and emerging markets.

Morgan Stanley Capital International EAFE Index (MSCI EAFE)—The MSCI EAFE (Europe, Australasia and Far East) is a market-capitalization weighted stock market index designed to measure equity market performance of developed markets outside of the U.S. and Canada. This index includes a selection of stocks from 21 developed markets, excluding the U.S. and Canada.

Morgan Stanley Capital International Emerging Markets Index (MSCI EM)—The MSCI Emerging Markets Index is a float-adjusted market capitalization index designed to measure equity market performance in global emerging markets. It consists of indices in 26 emerging economies, including but not limited to, Argentina, Brazil, China, India, Poland, Thailand, Turkey, and Venezuela.

NASDAQ Composite Index—The NASDAQ Composite Index is a broad-based capitalization-weighted index of stocks in all three NASDEQ tiers: Global Select, Global Market and Capital Market.

PrimeX—The PrimeX index is a synthetic credit default swap (CDS) index which references non-Agency, prime residential mortgage-backed securities (RMBS). There are 20 prime RMBS deals referenced from the 2005, 2006, and 2007 vintages. The vintages separate the PrimeX into four sub indices by cut-off dates and collateral type. The PrimeX Fixed-Rate Mortgage (FRM) 1 and FRM 2 are two of these sub indices that contain specific underlying collateral and vintage types.

S&P 500—Standard & Poor’s US 500 Index, a capitalized-weighted index of 500 stocks.

S&P/Goldman Sachs Commodity Excess Return Index (S&P GSCI)—Standard & Poor’s/Goldman Sachs Commodity Index, or GSCI, is a composite index of commodity sector returns which represents a broadly diversified, unleveraged, long-only position in commodity futures. The index’s components qualify for inclusion in the index based on liquidity measures and are weighted in relation to their global production levels, making the Index a valuable economic indicator and commodities market benchmark. The S&P GSCI Excess Return Index (SPSCI ER) is one of the three S&P GSCI Indices published, measuring the return accrued from investing in uncollateralized nearby commodity futures. This Excess Return Index includes an Energy component, which was referenced in this commentary.

A direct investment cannot be made in an index. The performance of any index mentioned in this commentary has not been adjusted for ongoing management, distribution and operating expenses applicable to mutual fund investments.

10 DoubleLine Funds

The DoubleLine Funds are distributed by Quasar Distributors, LLC.

DoubleLine^® is a registered trademark of DoubleLine Capital LP.

This commentary may include statements that constitute “forward-looking statements” under the U.S. securities laws. Forward-looking statements include, among other things, projections, estimates, and information about possible or future results related to a Fund and market or regulatory developments. The views expressed above are not guarantees of future performance or economic results and involve certain risks, uncertainties and assumptions that could cause actual outcomes and results to differ materially from the views expressed herein.

DoubleLine has no obligation to provide revised assessments in the event of changed circumstances. While we have gathered this information from sources believed to be reliable, DoubleLine cannot guarantee the accuracy of the information provided. Securities discussed are not recommendations and are presented as examples of issue selection or portfolio management processes. They have been picked for comparison or illustration purposes only. No security presented within is either offered for sale or purchase. DoubleLine reserves the right to change its investment perspective and outlook without notice as market conditions dictate or as additional information becomes available.

Investment strategies may not achieve the desired results due to implementation lag, other timing factors, portfolio management decision-making, economic or market conditions or other unanticipated factors. The views and forecasts expressed in this material are as of the date indicated, are subject to change without notice, may not come to pass and do not represent a recommendation or offer of any particular security, strategy, or investment. Past performance is no guarantee of future results.

Semi-Annual Report September 30, 2012 11

Schedule of Investments  DoubleLine Total Return Bond Fund

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	COLLATERALIZED LOAN OBLIGATIONS 0.7%
		ARES Ltd.,
$	1,159,778	Series 2006-5RA-A2		0.68%	#^		02/24/2018		1,139,030
	19,338,965	Series 2006-6RA-A2		0.68%	#		03/12/2018		18,615,239
		Atrium Corporation,
	2,330,466	Series 3A-A1		0.76%	#^		10/27/2016		2,310,669
		Avenue Ltd.,
	6,595,985	Series 2004-1A-A1L		0.78%	#^		02/15/2017		6,552,683
		Belle Haven Ltd.,
	1,150,145,174	Series 2006-1A-A1		0.71%	#^		07/05/2046		104,088,138
		Black Diamond Ltd.,
	1,432,240	Series 2005-1A-A1		0.65%	#^		06/20/2017		1,414,452
		Canyon Capital Ltd.,
	3,993,468	Series 2004-1A-A1A		0.84%	#^		10/15/2016		3,941,471
		Foxe Basin Ltd.,
	4,033,195	Series 2003-1-AB		2.09%	#^		12/15/2015		4,025,086
		Galaxy Ltd.,
	59,634,941	Series 2005-5A-A1		0.72%	#^		10/20/2017		59,110,702
		GSC Partners Fund Ltd.,
	1,112,026	Series 2004-5A-A1		0.81%	#^		11/20/2016		1,110,715
		LCM LP,
	20,000,000	Series 12A-A		1.87%	#^		10/19/2022		19,970,140
		Sargas II Ltd.,
	1,473,833	Series 2006-1A-D		1.71%	#^		10/20/2018		1,471,321
	526,369	Series 2006-1X-D		1.71%	#		10/20/2018		525,472
		Suffield Ltd.,
	2,831,293	Series 4-A		2.55%	#^		09/26/2014		2,791,393
		Symphony Ltd.,
	2,000,000	Series 2012-10A-X		1.44%	#^		07/23/2023		2,000,002
		Total Collateralized Loan Obligations (Cost $228,399,645)							229,066,513
	NON-AGENCY COMMERCIAL MORTGAGE-BACKED OBLIGATIONS 4.5%
		Banc of America Commercial Mortgage, Inc.,
	5,303,000	Series 2002-2-G		5.85%	^		07/11/2043		5,348,765
	227,606,934	Series 2006-1-XP		0.35%	# I/O		09/10/2045		179,127
	19,741,000	Series 2006-4-AM		5.68%			07/10/2046		22,083,980
	100,848,230	Series 2006-4-XP		0.61%	# I/O		07/10/2046		394,922
	11,700,000	Series 2007-2-AM		5.81%	#		04/10/2049		12,581,074
	325,864,413	Series 2007-5-XW		0.56%	#^ I/O		02/10/2051		4,256,441
		BCRR Trust,
	78,489	Series 2010-LEAF-32A		4.23%	^		12/22/2032		78,236
		Bear Stearns Commercial Mortgage Securities, Inc.,
	1,233,593	Series 2001-TOP2-C		6.83%	#		02/15/2035		1,244,914
	312,495	Series 2002-TOP8-A2		4.83%			08/15/2038		312,485
	19,175,000	Series 2004-PWR3-A4		4.72%			02/11/2041		19,954,608
	12,428,943	Series 2004-PWR4-A3		5.47%	#		06/11/2041		13,233,736
	38,525,969	Series 2004-PWR5-X2		1.05%	# I/O		07/11/2042		2,697
	101,324,329	Series 2004-PWR6-X2		0.85%	# I/O		11/11/2041		130,100
	16,500,000	Series 2004-T14-A4		5.20%	#		01/12/2041		17,353,677
	88,613,939	Series 2004-T16-X2		0.95%	# I/O		02/13/2046		75,499
	19,890,951	Series 2005-PWR7-X2		0.39%	# I/O		02/11/2041		20,985
	12,500,000	Series 2005-T18-AJ		5.01%	#		02/13/2042		13,331,656
	19,225,000	Series 2006-PW14-AM		5.24%			12/11/2038		21,203,983
	30,900,000	Series 2007-PW16-AM		5.91%	#		06/11/2040		33,911,746
	16,350,000	Series 2007-PW17-AM		5.92%	#		06/11/2050		18,018,060
	12,815,000	Series 2007-PW17-AMFL		0.92%	#^		06/11/2050		11,080,599
	2,441,055	Series 2007-T28-A2		5.59%			09/11/2042		2,440,438
		Capital Trust,
	14,478,140	Series 2005-3A-A2		5.16%	^		06/25/2035		14,478,140
		CD Commercial Mortgage Trust,
	433,270	Series 2005-CD1-A2FL		0.34%	#		07/15/2044		433,122
	5,969,915	Series 2006-CD2-AAB		5.51%	#		01/15/2046		6,153,714
	37,500,000	Series 2006-CD2-AM		5.53%	#		01/15/2046		40,376,212
	4,678,612	Series 2007-CD4-ASB		5.28%			12/11/2049		4,934,415
	532,097,515	Series 2007-CD5-XP		0.31%	#^ I/O		11/15/2044		2,209,269

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Citigroup Commercial Mortgage Trust,
$	14,503,000	Series 2005-C3-AM		4.83%	#		05/15/2043		15,468,537
	7,489,382	Series 2006-C4-ASB		5.92%	#		03/15/2049		7,897,755
	14,140,000	Series 2007-C6-AM		5.89%	#		12/10/2049		15,454,546
	11,250,000	Series 2008-C7-AM		6.06%	#		12/10/2049		12,311,021
	7,000,000	Series 2009-RR1-CA4B		5.32%	#^		12/17/2049		7,451,185
	307,948,684	Series 2012-GC8-XA		2.27%	#^ I/O		09/10/2045		41,669,245
		COBALT Commercial Mortgage Trust,
	21,750,000	Series 2007-C2-AMFX		5.53%	#		04/15/2047		22,928,970
		Commercial Mortgage Acceptance Corporation,
	14,313,783	Series 1998-C2-F		5.44%	^		09/15/2030		14,727,895
		Commercial Mortgage Pass-Through Certificates,
	96,901,378	Series 2002-LC4-XA		2.71%	#^ I/O		12/10/2044		14,980,856
	280,139,288	Series 2005-LP5-XC		0.47%	#^ I/O		05/10/2043		2,498,562
	4,700,000	Series 2006-C8-AM		5.35%			12/10/2046		5,041,105
	1,867,155	Series 2006-CN2A-A2FX		5.45%	^		02/05/2019		1,875,167
	1,107,814	Series 2007-C9-A2		5.81%	#		12/10/2049		1,106,694
	40,955,972	Series 2012-CR2-XA		2.14%	# I/O		08/15/2045		5,197,149
		Credit Suisse First Boston Mortgage Securities Corporation,
	3,050,000	Series 1998-C2-F		6.75%	#^		11/15/2030		3,281,855
	7,887,000	Series 2001-CF2-F		6.56%	^		02/15/2034		7,745,507
	1,235,000	Series 2001-CF2-G		6.93%	^		02/15/2034		1,206,005
	29,912	Series 2002-CKN2-A3		6.13%			04/15/2037		30,043
	2,595,227	Series 2003-CPN1-A2		4.60%			03/15/2035		2,610,143
	10,764,577	Series 2004-C1-A4		4.75%	#		01/15/2037		11,210,354
	7,675,000	Series 2005-C6-AM		5.23%	#		12/15/2040		8,461,254
		Credit Suisse Mortgage Capital Certificates,
	2,135,663	Series 2006-C3-AM		6.00%	#		06/15/2038		2,338,634
	46,521,320	Series 2006-C5-AM		5.34%			12/15/2039		48,389,035
	12,100,774	Series 2006-TF2A-A2		0.39%	#^		10/15/2021		11,772,347
	5,963,456	Series 2006-TF2A-SVA1		0.45%	#^		10/15/2021		5,780,336
	1,357,495,400	Series 2007-C1-ASP		0.57%	# I/O		02/15/2040		7,232,735
	24,000,000	Series 2007-TFLA-C		0.39%	#^		02/15/2022		22,350,648
	8,800,000	Series 2010-RR1-1B		5.69%	#^		04/16/2049		9,567,404
	5,150,000	Series 2010-RR2-3B		5.34%	#^		12/15/2043		5,499,026
	10,000,000	Series 2010-RR5-2B		5.34%	#^		12/18/2043		10,750,365
		Crest Ltd.,
	1,128,126	Series 2003-2A-A1		0.84%	#^		12/28/2018		1,054,797
		DBRR Trust,
	4,000,000	Series 2012-EZ1-A		0.95%	^		09/25/2045		4,004,612
		DBUBS Mortgage Trust,
	204,106,255	Series 2011-LC2A-XA		1.61%	#^ I/O		07/10/2044		14,337,342
		DLJ Commercial Mortgage Corporation,
	699,563	Series 1998-CF1-B4		7.60%	#^		02/15/2031		712,024
	1,778,135	Series 2000-CKP1-B1		7.85%	#		11/10/2033		1,776,197
		Extended Stay American Trust,
	53,175,390	Series 2010-ESHA-A		2.95%	^		11/05/2027		53,483,861
	281,995,761	Series 2010-ESHA-XA1		3.13%	#^ I/O		01/05/2013		1,580,868
	102,500,000	Series 2010-ESHA-XB1		1.17%	#^ I/O		01/05/2016		224,885
		Fontainebleau Miami Beach Trust,
	13,175,000	Series 2012-FBLU-C		4.27%	^		05/05/2027		13,780,562
	5,000,000	Series 2012-FBLU-E		5.25%	^		05/05/2027		5,214,055
		GE Capital Commercial Mortgage Corporation,
	7,000,000	Series 2004-C3-B		5.51%	#		07/10/2039		7,421,102
	11,781,000	Series 2005-C2-B		5.11%	#		05/10/2043		12,228,201
	7,374,797	Series 2007-C1-AAB		5.48%			12/10/2049		7,815,294
		GMAC Commercial Mortgage Securities, Inc.,
	750,440	Series 2001-C1-D		7.03%	#		04/15/2034		748,915
	3,500,000	Series 2003-C2-E		5.66%	#		05/10/2040		3,593,921
	14,612	Series 2003-C3-A3		4.65%			04/10/2040		14,616
	4,597,317	Series 2004-C3-A4		4.55%			12/10/2041		4,599,409
	23,800,000	Series 2006-C1-AJ		5.35%	#		11/10/2045		19,539,836
		Greenwich Capital Commercial Funding Corporation,
	6,575,000	Series 2003-C2-B		5.03%			01/05/2036		6,770,534
	4,000,000	Series 2003-C2-C		5.07%	#		01/05/2036		4,120,442
	7,936,000	Series 2004-FL2A-D		0.54%	#^		11/05/2019		7,845,053
	6,500,000	Series 2004-FL2A-G		0.71%	#^		11/05/2019		5,925,010
	7,000,000	Series 2006-GG7-AM		6.06%	#		07/10/2038		7,705,239

12 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT			SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
			GS Mortgage Securities Corporation II,
$	9,055,000		Series 2006-GG6-AM		5.62%	#		04/10/2038		9,745,516
	201,691,056		Series 2006-GG6-XC		0.15%	#^ I/O		04/10/2038		367,279
	25,000,000		Series 2006-GG8-AM		5.59%			11/10/2039		27,508,037
	43,200,000		Series 2007-EOP-A2		1.26%	#^		03/06/2020		43,187,256
	36,080,111		Series 2011-GC3-X		1.31%	#^ I/O		03/10/2044		1,854,698
	117,788,110		Series 2012-GC6-XA		2.40%	#^ I/O		01/10/2045		16,659,950
	4,296,272		Series 2012-GCJ7-A1		1.14%			05/10/2045		4,341,636
			JP Morgan Chase Commercial Mortgage Securities Corporation,
	3,271,525		Series 2001-CIB2-C		6.74%	#		04/15/2035		3,288,077
	2,000,000		Series 2003-LN1-D		5.20%	#		10/15/2037		2,019,577
	1,125,000		Series 2004-C3-A4		4.66%			01/15/2042		1,126,858
	1,286,696		Series 2004-CB8-A1A		4.16%	^		01/12/2039		1,329,345
	25,008,342		Series 2004-CBX-A5		4.65%			01/12/2037		25,623,022
	23,038,143		Series 2004-CBX-X1		0.87%	#^ I/O		01/12/2037		314,436
	5,000,000		Series 2004-LN2-A2		5.12%			07/15/2041		5,324,225
	108,487,826		Series 2005-LDP4-X1		0.14%	#^ I/O		10/15/2042		749,651
	258,689,444		Series 2006-CB14-X2		0.16%	# I/O		12/12/2044		68,553
	298,859,932		Series 2006-CB16-X2		0.71%	# I/O		05/12/2045		1,498,783
	9,704,000		Series 2006-LDP7-AM		6.06%	#		04/15/2045		10,955,564
	164,113,339		Series 2006-LDP8-X		0.73%	# I/O		05/15/2045		2,802,728
	10,599,893		Series 2007-C1-ASB		5.86%			02/15/2051		11,566,969
	24,000,000		Series 2007-CB18-AMFX		5.40%			06/12/2047		25,863,480
	180,090,162		Series 2007-CB18-X		0.44%	# I/O		06/12/2047		2,094,989
	21,380,000		Series 2007-CB20-AM		6.09%	#		02/12/2051		23,868,226
	2,785,361		Series 2007-CB20-ASB		5.69%			02/12/2051		3,066,603
	1,332,664,868		Series 2007-CB20-X1		0.20%	#^ I/O		02/12/2051		13,188,052
	6,900,000		Series 2007-CIBC18-AM		5.47%	#		06/12/2047		7,471,392
	11,336,000		Series 2009-RR2-GEB		5.54%	^		12/17/2049		12,264,578
	2,117,564		Series 2011-CCHP-A		2.60%	#^		07/15/2028		2,119,025
	5,000,000		Series 2011-CCHP-B		3.50%	#^		07/15/2028		5,067,580
	4,335,732		Series 2011-PLSD-A1		2.19%	^		11/13/2044		4,466,821
	231,428,182		Series 2012-C6-XA		2.20%	# I/O		05/15/2045		27,756,339
	496,698,000		Series 2012-C8-XA		2.38%	# I/O		10/15/2045		67,804,741
	202,270,012		Series 2012-CBX-XA		2.23%	# I/O		06/16/2045		23,671,255
			LB-UBS Commercial Mortgage Trust,
	565,000		Series 2004-C2-A4		4.37%			03/15/2036		590,983
	5,614,000		Series 2004-C7-B		4.84%	#		10/15/2036		5,962,217
	4,350,000		Series 2005-C3-AM		4.79%			07/15/2040		4,686,422
	20,000,000		Series 2005-C7-AJ		5.32%	#		11/15/2040		21,188,030
	11,954,000		Series 2006-C7-AJ		5.41%			11/15/2038		8,160,733
	176,842,481		Series 2006-C7-XCL		0.33%	#^ I/O		11/15/2038		2,492,064
	38,308,952		Series 2007-C1-AM		5.46%			02/15/2040		41,313,715
	696,709,961		Series 2007-C7-XCL		0.12%	#^ I/O		09/15/2045		6,551,164
			Merrill Lynch Mortgage Investors Trust,
	197,490,541		Series 1998-C1-IO		0.69%	# I/O		11/15/2026		4,949,409
			Merrill Lynch Mortgage Trust,
	19,000,000		Series 2003-KEY1-A4		5.24%	#		11/12/2035		19,783,208
	10,000,000		Series 2004-KEY2-A4		4.86%	#		08/12/2039		10,698,585
	1,976,482		Series 2005-CKI1-A4FL		0.48%	#		11/12/2037		1,975,423
	313,170,147	��	Series 2005-MCP1-XP		0.82%	# I/O		06/12/2043		1,482,861
			Merrill Lynch/Countrywide Commercial Mortgage Trust,
	1,724,525		Series 2006-4-A2FL		0.35%	#		12/12/2049		1,717,480
			Morgan Stanley Capital, Inc.,
	1,485,000		Series 1999-LIFE-G		6.96%	#^		04/15/2033		1,487,871
	4,665,751		Series 2003-T11-A4		5.15%			06/13/2041		4,775,667
	169,436,158		Series 2004-HQ4-X2		0.51%	#^ I/O		04/14/2040		4,575
	1,107,784		Series 2005-IQ10-AAB		5.18%	#		09/15/2042		1,115,718
	360,267,177		Series 2006-HQ10-X1		0.18%	#^ I/O		11/12/2041		6,349,709
	8,325,317		Series 2007-HQ12-A2FL		0.47%	#		04/12/2049		8,102,248
	16,650,633		Series 2007-HQ12-A2FX		5.76%	#		04/12/2049		17,316,118
	15,727,000		Series 2007-IQ16-AM		6.31%	#		12/12/2049		17,570,605
	481,753,484		Series 2007-IQ16-X2		0.36%	#^ I/O		12/12/2049		3,390,581
	10,000,000		Series 2008-T29-AAB		6.46%	#		01/11/2043		10,991,665
			Morgan Stanley Re-Remic Trust,
	5,022,000		Series 2010-HQ4-AJ		4.97%	^		04/15/2040		5,274,097
			Multi Security Asset Trust,
	3,798,802		Series 2005-RR4A-A3		5.00%	^		11/28/2035		3,813,048
			Nomura Asset Securities Corporation,
	6,463,094		Series 1998-D6-A2		7.33%	#		03/15/2030		6,509,254
	4,115,000		Series 1998-D6-A3		7.54%	#		03/15/2030		4,185,918

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Prudential Commercial Mortgage Trust,
$	194,729	Series 2003-PWR1-A1		3.67%			02/11/2036		194,609
		Prudential Mortgage Capital Funding, LLC,
	114,643	Series 2001-ROCK-F		8.21%	#^		05/10/2034		114,478
		RBSCF Trust,
	10,000,000	Series 2010-RR3-WBTB		6.12%	#^		02/16/2051		11,116,970
		TIAA Seasoned Commercial Mortgage Trust,
	16,746,000	Series 2007-C4-AJ		5.58%	#		08/15/2039		18,150,864
		UBS-Barclays Commercial Mortgage Trust,
	110,000,000	Series 2012-C3-XA		2.21%	#^ I/O		08/10/2049		15,655,090
		Wachovia Bank Commercial Mortgage Trust,
	5,840,000	Series 2005-C22-AM		5.52%	#		12/15/2044		6,330,986
	9,112,289	Series 2006-C23-AM		5.47%	#		01/15/2045		10,044,868
	357,984	Series 2006-C23-APB		5.45%			01/15/2045		357,884
		WF-RBS Commercial Mortgage Trust,
	90,156,847	Series 2011-C4-XA		1.03%	#^ I/O		06/15/2044		3,477,124
	119,815,505	Series 2012-C6-XA		2.68%	#^ I/O		04/15/2045		17,433,995
	139,278,623	Series 2012-C8-XA		2.42%	#^ I/O		08/15/2045		18,897,950
		Total Non-Agency Commercial Mortgage-Backed Obligations (Cost $1,484,602,106)							1,490,403,180
	NON-AGENCY RESIDENTIAL COLLATERALIZED MORTGAGE OBLIGATIONS 29.6%
		ACE Securities Corporation,
	36,849,546	Series 2006-HE1-A2C		0.41%	#		02/25/2036		35,250,662
	10,238,825	Series 2006-NC1-A2C		0.42%	#		12/25/2035		10,057,490
		Adjustable Rate Mortgage Trust,
	19,423,286	Series 2005-10-3A31		5.12%	#		01/25/2036		18,375,021
	6,200,000	Series 2005-2-6M2		1.20%	#		06/25/2035		2,843,568
	9,256,568	Series 2005-7-3A1		3.38%	#		10/25/2035		7,972,381
	45,651,615	Series 2006-1-2A1		3.31%	#		03/25/2036		32,050,242
	45,179,551	Series 2006-2-3A1		3.11%	#		05/25/2036		35,293,927
	40,935,334	Series 2007-1-3A1		5.87%	#		03/25/2037		30,328,620
	6,617,390	Series 2007-3-1A1		4.32%	#^		11/25/2037		4,075,505
		Aegis Asset Backed Securities Trust,
	633,303	Series 2003-2-M2		2.77%	#		11/25/2033		468,561
	4,949,202	Series 2004-1-M2		2.25%	#		04/25/2034		3,468,606
	846,867	Series 2004-2-M2		1.52%	#		06/25/2034		436,942
		American General Mortgage Loan Trust,
	12,000,000	Series 2010-1-A3		5.65%	#^		03/25/2058		12,534,024
	12,000,000	Series 2010-1-A4		5.65%	#^		03/25/2058		12,353,724
		American Home Mortgage Investment Trust,
	7,023,945	Series 2005-1-7A2		2.66%	#		06/25/2045		5,512,016
	14,537,704	Series 2005-4-3A1		0.52%	#		11/25/2045		10,148,350
	2,900,517	Series 2006-2-3A4		6.60%	#		06/25/2036		1,798,152
	13,265,423	Series 2007-A-13A1		6.10%	#^		01/25/2037		7,984,982
		Amortizing Residential Collateral Trust,
	18,662,326	Series 2002-BC7-M1		1.42%	#		10/25/2032		12,408,487
		Argent Securities, Inc.,
	643,181	Series 2004-W6-M1		0.77%	#		05/25/2034		540,360
		Asset Backed Securities Corporation Home Equity Loan Trust,
	7,797,130	Series 2003-HE6-M1		1.19%	#		11/25/2033		6,298,604
	1,211,899	Series 2004-HE3-M2		1.90%	#		06/25/2034		892,957
		Banc of America Alternative Loan Trust,
	8,317,728	Series 2005-10-4A1		5.75%			11/25/2035		7,525,314
	7,978,239	Series 2005-5-2CB1		6.00%			06/25/2035		6,700,109
	13,443,456	Series 2005-6-2CB2		6.00%			07/25/2035		12,542,704
	5,652,940	Series 2005-6-4CB1		6.50%			07/25/2035		5,232,019
	4,980,290	Series 2005-8-2CB1		6.00%			09/25/2035		3,897,024
	4,125,577	Series 2006-5-CB14		6.00%	#		06/25/2046		3,278,404
	7,703,564	Series 2006-6-CB3		6.00%			07/25/2046		6,439,529
	23,349,845	Series 2006-7-A4		6.00%	#		10/25/2036		17,919,640
	12,155,539	Series 2006-8-1A1		6.28%	# I/FI/O		11/25/2036		2,897,255
	4,332,163	Series 2006-8-1A2		0.67%	#		11/25/2036		2,295,695
	19,562,422	Series 2006-9-1CB1		6.00%			01/25/2037		13,612,375
	3,155,404	Series 2007-2-2A1		6.00%			06/25/2037		2,231,107

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 13

Schedule of Investments  DoubleLine Total Return Bond Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Banc of America Funding Corporation,
$	228,774	Series 2005-6-2A9		5.50%			10/25/2035		230,496
	23,293,543	Series 2006-2-3A1		6.00%			03/25/2036		23,909,832
	806,791	Series 2006-2-4A1		0.00%	# I/F		03/25/2036		1,011,626
	3,924,080	Series 2006-2-6A2		5.50%			03/25/2036		4,022,025
	6,553,681	Series 2006-3-6A1		6.34%	#		03/25/2036		6,733,095
	19,729,000	Series 2006-6-1A7		6.25%			08/25/2036		19,337,843
	4,639,250	Series 2006-7-T2A5		6.04%	#		10/25/2036		3,381,253
	21,867,424	Series 2006-7-T2A8		5.91%	#		10/25/2036		15,809,098
	4,538,398	Series 2006-8T2-A8		6.10%	#		10/25/2036		3,527,345
	2,574,535	Series 2006-B-7A1		5.63%	#		03/20/2036		2,233,132
	23,947,541	Series 2006-D-6A1		5.18%	#		05/20/2036		18,505,809
	2,461,278	Series 2006-G-2A1		0.44%	#		07/20/2036		2,150,355
	1,300,486	Series 2006-H-3A1		5.95%	#		09/20/2046		954,011
	2,979,870	Series 2007-1-TA10		5.84%	#		01/25/2037		2,248,905
	4,065,622	Series 2007-3-TA1B		5.83%	#		04/25/2037		3,180,862
	5,904,237	Series 2007-5-1A1		5.50%			07/25/2037		4,911,779
	6,657,710	Series 2009-R14-3A		16.02%	#^ I/F		06/26/2035		7,746,266
	6,107,936	Series 2009-R15A-4A2		5.75%	^		12/26/2036		3,944,630
	4,387,915	Series 2010-R1-3A		13.95%	#^ I/F		07/26/2036		4,050,484
	253,548,510	Series 2012-R4-A		0.49%	#^		03/04/2039		240,237,213
	83,905,511	Series 2012-R5-A		0.49%	#^		10/03/2039		81,388,346
		Banc of America Mortgage Securities, Inc.,
	3,919,084	Series 2004-K-4A1		5.27%	#		12/25/2034		3,876,646
	16,108,960	Series 2006-1-A9		6.00%			05/25/2036		14,345,625
	4,995,422	Series 2007-1-2A5		5.75%			01/25/2037		5,116,663
		BCAP LLC Trust,
	7,904,407	Series 2007-AA2-2A7		6.00%			04/25/2037		6,469,520
	8,557,603	Series 2007-AA2-2A8		5.75%			04/25/2037		6,915,797
	18,000,000	Series 2008-RR3-A1B		6.63%	#		10/25/2036		13,234,635
	7,325,044	Series 2010-RR10-5A1		7.73%	#^		04/27/2037		7,105,293
	13,405,284	Series 2010-RR12-3A15		7.20%	#^		08/26/2037		12,506,507
	3,350,000	Series 2010-RR5-2A3		6.10%	#^		04/26/2037		3,268,930
	7,037,170	Series 2011-RR12-2A5		2.66%	#^		12/26/2036		6,959,761
	16,168,629	Series 2012-RR1-3A3		3.50%	#^		10/26/2035		16,379,258
		Bear Stearns Adjustable Rate Mortgage Trust,
	26,004,503	Series 2005-12-13A1		5.37%	#		02/25/2036		24,973,840
	21,585,080	Series 2006-4-4A1		5.54%	#		10/25/2046		18,869,914
	19,025,839	Series 2007-1-2A1		2.77%	#		02/25/2047		13,292,973
		Bear Stearns Alt-A Trust,
	6,655,202	Series 2004-11-2A3		2.85%	#		11/25/2034		5,775,351
	26,792,081	Series 2006-6-2A1		4.85%	#		11/25/2036		19,773,855
		Bear Stearns Asset Backed Securities Trust,
	17,974,001	Series 2004-AC4-A2		5.50%	#		08/25/2034		18,504,162
	44,491,699	Series 2005-AC2-1A		5.25%	#		04/25/2035		42,601,914
	14,469,150	Series 2005-AC2-2A1		5.25%	#		04/25/2035		14,570,724
	21,229,812	Series 2005-AC7-A4		5.50%	#		10/25/2035		19,464,808
	23,507,965	Series 2006-AC1-1A1		5.75%	#		02/25/2036		18,760,602
	3,296,953	Series 2007-SD1-1A2A		6.00%			10/25/2036		2,469,586
	1,821,273	Series 2007-SD1-1A3A		6.50%			10/25/2036		1,427,564
	10,505,450	Series 2007-SD1-23A1		5.43%	#		10/25/2036		7,648,598
		Centex Home Equity,
	2,750,000	Series 2004-A-AF5		5.43%	#		01/25/2034		2,724,853
		Chase Funding Mortgage Loan Asset-Backed Certificates,
	3,664,250	Series 2003-4-2M1		1.12%	#		03/25/2033		2,585,070
		Chase Mortgage Finance Corporation,
	21,148,327	Series 2005-A1-2A4		2.73%	#		12/25/2035		18,676,500
	18,315,643	Series 2006-S3-1A2		6.00%			11/25/2036		15,500,190
	25,648,840	Series 2006-S4-A8		6.00%			12/25/2036		22,271,426
	24,003,874	Series 2007-A2-6A4		3.01%	#		07/25/2037		22,875,584
	9,235,092	Series 2007-S3-1A5		6.00%			05/25/2037		8,080,323
	4,327,588	Series 2007-S3-2A1		5.50%			05/25/2037		4,451,612
	10,729,332	Series 2007-S5-1A18		6.00%			07/25/2037		9,550,720
		Chaseflex Trust,
	1,488,123	Series 2006-1-A2A		5.78%	#		06/25/2036		1,532,526
	7,937,572	Series 2006-1-A5		5.78%	#		06/25/2036		8,014,277
	11,755,111	Series 2006-2-A2B		0.42%	#		09/25/2036		8,122,400
	9,708,591	Series 2007-1-1A1		6.50%			02/25/2037		6,169,780
	21,202,036	Series 2007-M1-2F4		6.35%	#		08/25/2037		17,336,968

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Citicorp Mortgage Securities, Inc.,
$	28,893,491	Series 2005-1-1A4		5.50%			02/25/2035		30,769,502
	6,074,712	Series 2006-7-1A1		6.00%			12/25/2036		5,878,049
		Citicorp Residential Mortgage Securities, Inc.,
	6,594,000	Series 2006-2-A5		6.04%	#		09/25/2036		5,856,540
		Citigroup Mortgage Loan Trust, Inc.,
	5,773,821	Series 2005-5-2A2		5.75%			08/25/2035		4,374,793
	2,819,068	Series 2005-9-21A1		5.50%			11/25/2035		2,306,808
	7,230,228	Series 2006-FX1-A6		5.85%	#		10/25/2036		5,807,373
	3,677,359	Series 2006-WF1-A2D		5.92%	#		03/25/2036		2,604,182
	20,731,766	Series 2006-WF2-A2D		6.15%	#		05/25/2036		13,090,120
	1,954,433	Series 2007-12-2A1		6.50%	^		10/25/2036		1,323,199
	2,015,864	Series 2007-2-2A		6.00%			11/25/2036		2,030,401
	2,547,010	Series 2007-9-2A2		6.50%	^		05/25/2037		1,404,676
	8,817,632	Series 2007-OPX1-A3A		5.97%	#		01/25/2037		6,012,615
	93,506,088	Series 2007-WFH3-A2		0.38%	#		06/25/2037		75,011,425
	20,000,000	Series 2008-AR4-1A1B		3.04%	#^		11/25/2038		11,320,970
	3,956,319	Series 2010-12-3A1		4.00%	^		04/25/2037		4,060,766
	3,617,013	Series 2010-2-5A1		5.50%	#^		12/25/2035		3,834,638
	205,000,000	Series 2010-8-5A4		10.49%	#^		11/25/2036		145,550,000
	32,517,720	Series 2010-8-5A6		4.00%	^		11/25/2036		33,907,771
	171,000,000	Series 2010-8-6A4		9.09%	#^		12/25/2036		124,776,648
	140,180,178	Series 2010-8-76I2		1.00%	^ I/O		06/25/2037		3,036,022
	151,347,523	Series 2010-8-7A4		8.84%	#^		06/25/2037		117,549,805
	8,573,037	Series 2011-12-1A1		3.50%	#^		04/25/2036		8,752,835
	11,534,566	Series 2011-12-3A1		5.59%	^		09/25/2047		11,680,565
		Citimortgage Alternative Loan Trust,
	12,226,390	Series 2006-A2-A2		6.00%			05/25/2036		9,886,240
	3,980,500	Series 2006-A5-2A1		5.50%			10/25/2021		3,901,637
	8,316,776	Series 2006-A5-3A3		6.00%			10/25/2036		6,562,452
	12,932,365	Series 2007-A1-1A5		6.00%			01/25/2037		10,158,327
	6,305,383	Series 2007-A1-1A7		6.00%			01/25/2037		4,952,857
	16,133,133	Series 2007-A1-1A9		5.18%	# I/F I/O		01/25/2037		2,652,900
	14,355,609	Series 2007-A3-1A1		6.00%	#		03/25/2037		10,703,743
	33,036,854	Series 2007-A3-1A3		5.18%	# I/F I/O		03/25/2037		6,419,705
	12,946,435	Series 2007-A3-1A4		5.75%			03/25/2037		9,484,519
	3,383,109	Series 2007-A5-1A11		6.00%			05/25/2037		2,690,866
	1,686,371	Series 2007-A8-A1		6.00%			10/25/2037		1,401,961
		Countrywide Alternative Loan Trust,
	55,599,432	Series 2004-36CB-1A1		6.00%			02/25/2035		49,241,081
	14,055,783	Series 2005-20CB-2A1		0.72%	#		07/25/2035		10,225,575
	28,697,223	Series 2005-20CB-2A2		4.78%	# I/F I/O		07/25/2035		3,398,985
	4,205,449	Series 2005-20CB-4A1		5.25%			07/25/2020		4,266,005
	10,057,546	Series 2005-26CB-A11		12.66%	# I/F		07/25/2035		10,488,335
	14,309,920	Series 2005-28CB-1A2		0.97%	#		08/25/2035		10,746,564
	3,782,333	Series 2005-28CB-3A6		6.00%			08/25/2035		2,867,145
	1,889,341	Series 2005-60T1-A7		34.35%	# I/F		12/25/2035		3,082,244
	2,550,702	Series 2005-64CB-1A14		5.50%			12/25/2035		2,152,452
	37,020,254	Series 2005-64CB-1A4		5.50%			12/25/2035		31,240,152
	6,527,137	Series 2005-73CB-1A5		1.02%	#		01/25/2036		4,304,680
	16,420,927	Series 2005-73CB-1A6		4.48%	# I/F I/O		01/25/2036		2,174,073
	137,968,838	Series 2005-77T1-1A1		6.00%			02/25/2036		105,889,703
	3,578,084	Series 2005-79CB-A5		5.50%			01/25/2036		2,639,515
	7,619,854	Series 2005-85CB-2A6		20.84%	# I/F		02/25/2036		9,622,523
	4,718,542	Series 2005-86CB-A5		5.50%			02/25/2036		3,559,222
	10,226,889	Series 2005-J10-1A11		5.50%			10/25/2035		8,898,043
	2,442,392	Series 2005-J10-1A13		0.92%	#		10/25/2035		1,786,882
	1,257,886	Series 2005-J10-1A15		5.50%			10/25/2035		1,177,950
	2,829,062	Series 2005-J11-1A3		5.50%			11/25/2035		2,789,576
	2,895,308	Series 2005-J11-6A1		6.50%			09/25/2032		2,627,961
	4,473,997	Series 2005-J13-2A5		0.70%	#		11/25/2035		3,103,258
	8,947,994	Series 2005-J13-2A6		4.80%	# I/F I/O		11/25/2035		1,540,764
	3,891,000	Series 2005-J1-5A3		5.50%			02/25/2035		3,385,170
	6,464,613	Series 2005-J1-7A1		5.50%			01/25/2020		6,373,711
	3,822,220	Series 2005-J2-1A5		0.72%	#		04/25/2035		2,974,631
	11,760,676	Series 2005-J2-1A6		4.78%	# I/F I/O		04/25/2035		1,778,055
	9,532,771	Series 2006-12CB-A3		5.75%	#		05/25/2036		6,479,654
	4,517,945	Series 2006-15CB-A1		6.50%			06/25/2036		3,024,547
	3,675,708	Series 2006-18CB-A12		0.82%	#		07/25/2036		2,005,595
	3,675,708	Series 2006-18CB-A13		5.28%	# I/F I/O		07/25/2036		682,368
	18,104,977	Series 2006-19CB-A12		0.62%	#		08/25/2036		10,492,151
	24,551,435	Series 2006-19CB-A13		5.38%	# I/F I/O		08/25/2036		4,937,073

14 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Countrywide Alternative Loan Trust, (Cont.)
$	3,675,016	Series 2006-19CB-A15		6.00%			08/25/2036		2,930,815
	5,647,995	Series 2006-24CB-A11		5.75%			06/25/2036		4,396,165
	16,487,104	Series 2006-24CB-A14		6.93%	# I/F I/O		06/25/2036		4,014,395
	13,255,699	Series 2006-24CB-A22		6.00%			06/25/2036		10,575,569
	14,227,347	Series 2006-24CB-A5		0.82%	#		06/25/2036		8,646,051
	5,356,148	Series 2006-26CB-A17		6.25%			09/25/2036		3,741,101
	6,875,073	Series 2006-26CB-A9		6.50%			09/25/2036		4,883,326
	14,135,813	Series 2006-29T1-1A2		6.25%			10/25/2036		12,021,491
	1,871,620	Series 2006-29T1-2A12		44.74%	# I/F		10/25/2036		3,506,494
	1,146,407	Series 2006-29T1-2A23		32.43%	# I/F		10/25/2036		1,731,673
	12,859,970	Series 2006-30T1-1A2		6.25%			11/25/2036		10,501,644
	8,408,173	Series 2006-32CB-A1		0.89%	#		11/25/2036		5,070,162
	14,024,833	Series 2006-32CB-A2		5.11%	# I/F I/O		11/25/2036		2,508,131
	5,341,861	Series 2006-36T2-2A1		6.25%			12/25/2036		3,806,463
	4,960,992	Series 2006-39CB-1A10		6.00%			01/25/2037		3,957,579
	24,083,869	Series 2006-39CB-2A2		6.33%	# I/F I/O		01/25/2037		6,275,185
	8,201,694	Series 2006-39CB-2A4		0.67%	#		01/25/2037		2,022,402
	8,108,002	Series 2006-40T1-1A11		6.00%			01/25/2037		6,391,343
	13,193,226	Series 2006-40T1-1A4		5.23%	# I/F I/O		01/25/2037		2,260,224
	9,933,765	Series 2006-45T1-1A4		0.82%	#		02/25/2037		5,572,951
	9,933,765	Series 2006-45T1-1A5		5.18%	# I/F I/O		02/25/2037		1,575,396
	4,193,808	Series 2006-6CB-1A4		5.50%			05/25/2036		3,282,739
	26,023,854	Series 2006-J1-1A3		5.50%			02/25/2036		20,003,470
	4,047,284	Series 2006-J4-2A2		6.00%			07/25/2036		3,130,305
	2,460,348	Series 2007-11T1-A24		38.60%	# I/F		05/25/2037		4,589,243
	25,836,416	Series 2007-16CB-2A1		0.67%	#		08/25/2037		13,744,095
	7,481,580	Series 2007-16CB-2A2		52.78%	# I/F		08/25/2037		18,423,246
	24,626,017	Series 2007-17CB-1A10		28.90%	# I/F		08/25/2037		41,592,493
	4,077,176	Series 2007-18CB-2A25		6.00%			08/25/2037		3,351,543
	2,267,369	Series 2007-19-1A10		37.70%	# I/F		08/25/2037		4,107,674
	60,036,904	Series 2007-19-2A1		6.50%			08/25/2037		43,529,607
	12,488,695	Series 2007-21CB-2A2		27.53%	# I/F		09/25/2037		16,649,840
	46,765,359	Series 2007-22-2A16		6.50%			09/25/2037		35,430,652
	29,575,295	Series 2007-23CB-A3		0.72%	#		09/25/2037		16,808,084
	41,973,475	Series 2007-23CB-A4		6.28%	# I/F I/O		09/25/2037		9,840,513
	21,871,511	Series 2007-4CB-2A1		7.00%			03/25/2037		9,043,684
	15,228,706	Series 2007-5CB-1A18		5.43%	#I/F I/O		04/25/2037		2,390,260
	15,228,706	Series 2007-5CB-1A23		0.77%	#		04/25/2037		8,509,763
	1,064,747	Series 2007-8CB-A12		38.90%	# I/F		05/25/2037		1,882,162
	1,136,601	Series 2007-8CB-A8		38.78%	# I/F		05/25/2037		2,003,131
	1,555,144	Series 2007-9T1-1A4		0.72%	#		05/25/2037		834,682
	1,555,144	Series 2007-9T1-1A5		5.28%	# I/F I/O		05/25/2037		218,028
	42,597,518	Series 2007-9T1-1A6		6.00%			05/25/2037		29,994,808
	4,486,907	Series 2007-9T1-2A1		6.00%			05/25/2037		3,379,179
	5,193,686	Series 2007-9T1-3A1		5.50%			05/25/2022		4,893,930
	22,923,304	Series 2007-HY5R-2A1A		5.46%	#		03/25/2047		22,185,564
		Countrywide Asset-Backed Certificates,
	5,798,033	Series 2003-BC6-M1		1.04%	#		11/25/2033		5,355,982
	3,391,112	Series 2005-13-AF3		5.41%	#		04/25/2036		2,815,481
	2,773,438	Series 2006-2-2A2		0.41%	#		06/25/2036		2,680,862
		Countrywide Home Loans,
	7,637,480	Series 2002-32-2A6		5.00%			01/25/2018		7,893,996
	12,777,192	Series 2003-60-4A1		5.35%	#		02/25/2034		13,019,064
	10,115,743	Series 2004-R2-1AF1		0.64%	#^		11/25/2034		8,418,402
	10,234,982	Series 2004-R2-1AS		5.70%	#^ I/O		11/25/2034		1,778,814
	13,046,187	Series 2005-20-A8		5.25%			10/25/2035		12,722,212
	41,060,768	Series 2005-23-A1		5.50%			11/25/2035		39,284,972
	3,333,157	Series 2005-27-2A1		5.50%			12/25/2035		3,079,045
	6,458,696	Series 2005-28-A7		5.25%			01/25/2019		5,820,890
	56,221,443	Series 2005-HYB1-4A1		2.80%	#		03/25/2035		46,628,547
	5,466,554	Series 2005-HYB8-1A1		2.86%	#		12/20/2035		4,284,614
	13,410,505	Series 2005-J3-2A4		4.50%			09/25/2035		12,049,124
	9,700,000	Series 2005-J4-A5		5.50%			11/25/2035		9,403,418
	3,027,883	Series 2005-R1-1AF1		0.58%	#^		03/25/2035		2,494,212
	3,066,565	Series 2005-R1-1AS		5.69%	#^ I/O		03/25/2035		588,989
	5,802,390	Series 2006-J3-A4		5.50%			05/25/2036		5,794,960
	2,683,430	Series 2007-15-1A16		6.25%			09/25/2037		2,418,723
	11,650,453	Series 2007-15-1A29		6.25%			09/25/2037		10,841,509
	3,092,440	Series 2007-18-1A1		6.00%			11/25/2037		2,889,398
	37,171,514	Series 2007-7-A1		6.00%			06/25/2037		34,230,486
	11,142,750	Series 2007-7-A2		5.75%			06/25/2037		10,221,200
	23,700,241	Series 2007-8-1A4		6.00%			01/25/2038		21,531,752
	6,466,607	Series 2007-9-A11		5.75%			07/25/2037		5,987,476
	61,337,279	Series 2007-J1-2A1		6.00%			02/25/2037		46,506,446

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Countrywide Home Loans, (Cont.)
$	2,755,959	Series 2007-J3-A1		0.72%	#		07/25/2037		1,654,988
	13,779,793	Series 2007-J3-A2		5.28%	# I/F I/O		07/25/2037		2,361,884
		Credit Suisse First Boston Mortgage Backed Trust,
	7,052,368	Series 2006-3-A4B		6.11%	#		11/25/2036		4,349,936
	5,040,508	Series 2006-4-A6A		5.68%	#		12/25/2036		3,486,678
	16,031,560	Series 2007-1-1A1A		5.90%	#		05/25/2037		10,395,152
		Credit Suisse First Boston Mortgage Securities Corporation,
	498,883	Series 2004-AR8-2A1		2.88%	#		09/25/2034		502,232
	6,209,983	Series 2005-10-5A4		5.50%			11/25/2035		5,297,457
	1,842,995	Series 2005-10-5A5		5.50%			11/25/2035		1,572,176
	15,025,895	Series 2005-12-7A1		7.00%			01/25/2036		8,655,825
	1,491,978	Series 2005-5-2A11		5.00%			07/25/2035		1,487,696
	16,000,000	Series 2005-8-3A10		5.50%			09/25/2035		16,193,376
		Credit Suisse Mortgage Capital Certificates,
	7,953,687	Series 2005-1R-2A5		5.75%	^		12/26/2035		6,681,121
	37,439,652	Series 2006-1-2A1		6.00%			02/25/2036		28,047,822
	5,657,930	Series 2006-2-3A1		6.50%			03/25/2036		3,782,295
	7,124,983	Series 2006-2-5A1		0.92%	#		03/25/2036		3,692,159
	39,825,377	Series 2006-2-5A2		5.08%	# I/F I/O		03/25/2036		7,849,701
	8,295,570	Series 2006-2-5A3		6.25%			03/25/2036		6,118,925
	22,451,132	Series 2006-2-5A4		6.00%			03/25/2036		16,268,977
	5,851,688	Series 2006-3-4A3		5.50%			04/25/2036		5,410,734
	12,672,918	Series 2006-3-4A4		5.50%			04/25/2036		11,708,610
	8,753,177	Series 2006-4-1A8		6.00%	#		05/25/2036		6,450,234
	32,795,599	Series 2006-4-4A1		7.00%			05/25/2036		16,318,860
	30,377,160	Series 2006-4-6A1		6.00%			05/25/2036		28,014,060
	25,837,637	Series 2006-6-1A4		6.00%			07/25/2036		18,484,104
	15,887,954	Series 2006-6-3A1		7.00%			07/25/2036		6,986,593
	1,061,760	Series 2006-7-3A11		6.00%			08/25/2036		915,063
	3,225,759	Series 2006-9-2A1		5.50%			11/25/2036		2,920,921
	9,174,211	Series 2006-9-3A1		6.00%			11/25/2036		9,106,377
	10,900,113	Series 2006-9-4A1		6.00%			11/25/2036		10,166,622
	4,267,426	Series 2006-9-6A15		38.60%	# I/F		11/25/2036		6,543,061
	15,113,320	Series 2007-1-1A4		6.13%	#		02/25/2037		9,373,228
	27,496,441	Series 2007-1-3A1		6.00%			02/25/2022		23,893,445
	17,289,797	Series 2007-1-5A14		6.00%			02/25/2037		14,641,865
	2,411,776	Series 2007-2-2A1		5.00%			03/25/2037		2,381,719
	10,556,134	Series 2007-5-2A5		5.00%			08/25/2037		9,556,437
	75,212,277	Series 2007-5-3A19		6.00%			08/25/2037		75,971,319
	33,897,033	Series 2007-5-3A9		6.00%			08/25/2037		33,805,308
	5,125,847	Series 2009-1R-4A2		3.70%	#^		07/20/2035		4,135,582
	93,898,000	Series 2010-17R-6A1		4.00%	#^		06/26/2037		62,178,129
	6,267,748	Series 2010-1R-5A1		5.00%	#^		01/27/2036		6,537,067
	61,073,862	Series 2010-2R-4A17		7.73%	#^		03/26/2037		40,228,926
	97,329,351	Series 2010-4R-3A17		8.76%	#^		06/26/2037		71,951,258
	48,053,665	Series 2010-4R-8A17		8.76%	#^		06/26/2037		36,532,775
	10,596,153	Series 2010-6R-2A6A		6.25%	^		07/26/2037		10,663,810
	33,422,790	Series 2010-7R-4A17		7.92%	#^		04/26/2037		22,327,995
	50,000,000	Series 2011-16R-6A1		2.50%	#^		09/27/2035		49,950,000
		Credit-Based Asset Servicing and Securitization LLC,
	1,262,090	Series 2005-CB6-A4		5.16%	#		07/25/2035		1,184,315
	9,750,000	Series 2007-MX1-A3		5.83%	#^		12/25/2036		7,627,206
		Deutsche ALT-A Securities, Inc. Mortgage Loan Trust,
	40,759,000	Series 2005-4-A5		5.50%	#		09/25/2035		32,428,268
	3,535,142	Series 2005-5-1A6		34.35%	# I/F		11/25/2035		5,963,859
	3,110,383	Series 2005-5-2A1		0.42%	#		11/25/2035		1,703,679
	9,387,473	Series 2005-5-2A2		5.08%	# I/F I/O		11/25/2035		1,775,781
	2,246,576	Series 2006-AB2-A2		6.16%	#		06/25/2036		1,675,520
	4,550,307	Series 2006-AB4-A1A		6.01%	#		10/25/2036		3,086,104
	4,526,549	Series 2006-AB4-A3		5.90%	#		10/25/2036		3,049,808
	6,682,915	Series 2006-AB4-A3A1		5.90%	#		10/25/2036		4,502,758
	13,339,322	Series 2006-AB4-A6A1		5.87%	#		10/25/2036		8,969,067
	22,685,261	Series 2006-AF1-A3		0.40%	#		04/25/2036		21,617,885
	2,380,806	Series 2007-1-1A2		0.38%	#		08/25/2037		2,333,723
	133,263,581	Series 2007-1-1A3A		0.43%	#		08/25/2037		96,443,187
	29,920,837	Series 2007-OA5-A1B		0.44%	#		08/25/2047		23,230,358
		Deutsche Mortgage Securities, Inc.,
	38,989,292	Series 2006-PR1-3A1		11.81%	#^ I/F		04/15/2036		41,952,673
	11,590,215	Series 2006-PR1-4AI1		11.80%	#^ I/F		04/15/2036		13,178,399
	18,997,789	Series 2006-PR1-4AI2		14.18%	#^ I/F		04/15/2036		21,963,011
	901,220	Series 2006-PR1-5AI1		18.69%	#^ I/F		04/15/2036		1,058,878

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 15

Schedule of Investments  DoubleLine Total Return Bond Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Deutsche Mortgage Securities, Inc., (Cont.)
$	7,811,066	Series 2006-PR1-5AI3		12.26%	#^ I/F		04/15/2036		7,943,440
	129,313,547	Series 2006-PR1-5AI4		11.81%	#^ I/F		04/15/2036		141,996,879
		Ellington Loan Acquisition Trust,
	2,024,394	Series 2007-1-A2A2		1.02%	#^		05/27/2037		1,995,137
		First Franklin Mortgage Loan Asset Backed Certificates,
	20,250,497	Series 2006-FF1-2A3		0.46%	#		01/25/2036		19,068,567
		First Horizon Alternative Mortgage Securities,
	20,735,172	Series 2005-AA4-1A1		2.60%	#		05/25/2035		16,123,400
	3,435,597	Series 2005-FA8-2A1		5.00%			11/25/2020		3,470,665
	8,900,365	Series 2006-FA1-1A12		6.00%			04/25/2036		7,344,007
	959,243	Series 2006-FA1-1A6		0.97%	#		04/25/2036		946,169
	6,080,855	Series 2006-FA2-1A5		6.00%			05/25/2036		5,130,935
	1,692,473	Series 2006-FA7-A8		6.25%			12/25/2036		1,326,775
	7,996,957	Series 2006-FA8-1A5		6.00%			02/25/2037		6,358,461
	19,560,434	Series 2006-RE1-A1		5.50%			05/25/2035		16,585,556
	2,501,400	Series 2007-FA3-A4		6.00%			06/25/2037		1,917,757
	2,613,371	Series 2007-FA4-1A13		6.25%			08/25/2037		2,063,444
	3,790,650	Series 2007-FA4-1A5		6.25%			08/25/2037		3,041,572
		First Horizon Asset Securities, Inc.,
	416,715	Series 2005-6-1A1		5.50%			11/25/2035		419,642
	17,177,290	Series 2007-1-A3		6.00%			03/25/2037		15,114,556
	8,700,902	Series 2007-4-1A1		6.00%			08/25/2037		8,193,709
		GMAC Mortgage Corporation Loan Trust,
	715,427	Series 2004-J2-A6		16.35%	# I/F		06/25/2034		738,767
	27,589,535	Series 2005-J1-A14		5.50%			12/25/2035		27,624,229
		GS Mortgage Securities Corporation,
	2,629,992	Series 2008-2R-1A1		7.50%	#^		09/25/2036		2,414,662
		GSAA Home Equity Trust,
	1,395,652	Series 2005-12-AF3		5.07%	#		09/25/2035		1,313,517
	39,330,451	Series 2005-7-AF2		4.48%	#		05/25/2035		38,806,078
	45,361,000	Series 2005-7-AF3		4.75%	#		05/25/2035		41,666,596
	15,216,483	Series 2006-10-AF3		5.98%	#		06/25/2036		9,567,942
	10,890,698	Series 2006-10-AF4		6.30%	#		06/25/2036		6,845,397
	21,520,149	Series 2006-15-AF4		5.96%	#		09/25/2036		12,629,756
	3,550,907	Series 2006-18-AF3A		5.77%	#		11/25/2036		2,282,773
	7,371,488	Series 2006-18-AF6		5.68%	#		11/25/2036		4,324,458
	22,690	Series 2006-4-4A1		0.32%	#		03/25/2036		22,627
	15,201,274	Series 2007-10-A1A		6.00%			11/25/2037		11,844,643
	6,514,378	Series 2007-10-A2A		6.50%			11/25/2037		4,595,226
		GSMPS Mortgage Loan Tust,
	25,314,015	Series 2005-RP2-1AF		0.57%	#^		03/25/2035		21,052,502
	25,314,015	Series 2005-RP2-1AS		5.17%	#^ I/O		03/25/2035		3,553,999
	14,049,041	Series 2005-RP3-1AF		0.57%	#^		09/25/2035		11,415,387
	14,049,041	Series 2005-RP3-1AS		5.07%	#^ I/O		09/25/2035		2,114,289
	53,985,864	Series 2006-RP1-1AS		4.92%	#^ I/O		01/25/2036		8,901,000
	53,985,864	Series 2006-RP1-AF1		0.57%	#^		01/25/2036		44,532,318
		GSR Mortgage Loan Tust,
	13,313,736	Series 2005-1F-3A3		6.00%			01/25/2035		13,309,582
	2,383,573	Series 2005-6F-3A5		6.00%			07/25/2035		2,489,080
	25,366,085	Series 2005-6F-3A9		6.68%	# I/F I/O		07/25/2035		4,901,121
	2,521,869	Series 2005-6F-4A1		0.72%	#		07/25/2035		2,207,217
	2,333,770	Series 2005-7F-3A1		0.72%	#		09/25/2035		2,027,368
	8,414,483	Series 2005-8F-4A1		6.00%			11/25/2035		8,160,521
	8,215,264	Series 2006-1F-1A2		5.50%			02/25/2036		8,451,482
	3,647,167	Series 2006-2F-2A3		5.75%			02/25/2036		3,506,943
	8,716,653	Series 2006-2F-3A3		6.00%			02/25/2036		7,684,811
	37,596,221	Series 2006-6F-2A3		6.00%			07/25/2036		34,155,810
	39,448,316	Series 2006-7F-2A1		6.00%			08/25/2036		35,636,780
	17,927,138	Series 2006-7F-3A4		6.25%			08/25/2036		15,390,368
	36,240,032	Series 2006-9F-2A1		6.00%			10/25/2036		34,447,057
	56,747,693	Series 2006-9F-4A1		6.50%			10/25/2036		51,484,997
	714,621	Series 2006-9F-8A1		5.50%			08/25/2021		704,643
	70,567,711	Series 2006-OA1-2A1		0.41%	#		08/25/2046		64,826,746
	13,925,245	Series 2007-1F-2A2		5.50%			01/25/2037		14,057,375
	10,689,893	Series 2007-4F-1A1		5.00%			07/25/2037		10,088,335
	107,763,489	Series 2007-4F-3A11		6.00%			07/25/2037		100,984,789
		Harborview Mortgage Loan Trust,
	6,337,492	Series 2005-14-3A1A		2.90%	#		12/19/2035		5,162,964

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Home Equity Asset Trust,
$	2,730,731	Series 2003-3-M1		1.51%	#		08/25/2033		2,359,382
	4,557,065	Series 2004-7-M2		1.21%	#		01/25/2035		3,929,368
		Homebanc Mortgage Trust,
	3,539,446	Series 2005-1-M2		0.71%	#		03/25/2035		2,657,347
	56,684,962	Series 2005-3-A1		0.46%	#		07/25/2035		47,594,366
	6,894,141	Series 2006-1-3A1		5.52%	#		04/25/2037		6,068,399
		HSBC Asset Loan Obligation,
	4,426,460	Series 2006-2-2A1		5.50%			12/25/2021		4,178,403
	87,187,466	Series 2007-2-3A6		6.00%			09/25/2037		81,653,460
	13,292,338	Series 2007-AR1-3A1		6.06%	#		01/25/2037		11,052,679
		IMPAC Trust,
	2,333,260	Series 2002-9F-A1		5.22%	#		12/25/2032		2,383,270
		Indymac Mortgage Loan Trust,
	49,709,762	Series 2006-AR3-1A1		2.78%	#		12/25/2036		37,431,153
	16,805,888	Series 2007-A1-A1		6.00%			08/25/2037		14,858,564
	12,303,223	Series 2007-A1-A7		6.00%			08/25/2037		10,740,935
	51,437,436	Series 2007-A3-A1		6.25%			11/25/2037		45,609,137
	1,247,280	Series 2007-F2-1A2		6.00%			07/25/2037		1,010,276
	37,316,468	Series 2007-F2-2A1		6.50%			07/25/2037		23,101,916
		Jefferies & Company, Inc.,
	11,017,491	Series 2010-R1-1A1		6.00%	#^		03/26/2037		11,510,402
	2,337,678	Series 2010-R6-1A2		6.00%	^		09/26/2037		2,444,695
		JP Morgan Alternative Loan Trust,
	28,571,208	Series 2005-S1-2A11		6.00%			12/25/2035		24,494,382
	9,159,320	Series 2005-S1-2A9		6.00%			12/25/2035		7,852,376
	8,953,807	Series 2006-S1-1A8		5.75%			03/25/2036		7,441,066
	6,500,000	Series 2006-S2-A4		6.19%	#		05/25/2036		3,835,195
	15,069,000	Series 2006-S4-A3A		5.78%	#		12/25/2036		13,663,658
		JP Morgan Mortgage Acquisition Corporation,
	16,000,000	Series 2006-CH2-AF3		5.46%	#		10/25/2036		9,579,952
	6,083,186	Series 2006-WF1-A5		6.41%	#		07/25/2036		3,679,360
	15,000,000	Series 2007-CH1-AF5		5.58%	#		11/25/2036		12,180,360
		JP Morgan Mortgage Trust,
	5,987,566	Series 2005-A6-5A1		5.29%	#		08/25/2035		6,017,013
	6,091,659	Series 2005-S2-2A13		5.50%			09/25/2035		6,363,932
	5,925,240	Series 2006-S2-3A3		6.00%			07/25/2036		5,262,229
	19,741,400	Series 2006-S3-1A2		6.00%			08/25/2036		17,556,520
	13,893,861	Series 2006-S3-1A21		0.60%	#		08/25/2036		8,692,430
	13,893,861	Series 2006-S3-1A22		6.90%	# I/F I/O		08/25/2036		3,504,976
	9,525,151	Series 2006-S3-1A9		6.00%			08/25/2036		8,516,932
	20,381,370	Series 2006-S4-A8		0.60%	#		01/25/2037		13,757,883
	20,381,369	Series 2006-S4-A9		6.40%	# I/F I/O		01/25/2037		4,934,544
	5,584,624	Series 2007-A2-2A1		2.90%	#		04/25/2037		4,657,088
	26,870,307	Series 2007-S1-2A6		6.00%			03/25/2037		22,754,905
	12,527,395	Series 2007-S3-1A1		5.50%			08/25/2037		11,247,365
	3,422,323	Series 2007-S3-1A9		6.00%			08/25/2037		2,947,663
	18,606,899	Series 2007-S3-1A96		6.00%			08/25/2037		16,790,652
	21,220,556	Series 2007-S3-1A97		6.00%			08/25/2037		19,113,811
	12,438,156	Series 2007-S3-2A2		5.50%			08/25/2022		12,113,277
		JP Morgan Research Trust,
	26,147,453	Series 2010-1-1A4		6.00%	^		02/26/2037		13,975,814
	20,452,000	Series 2010-2-3A9		6.00%	^		07/26/2036		10,788,952
	8,422,265	Series 2010-8-2A3		4.50%	#^		11/26/2034		8,615,017
	8,320,733	Series 2012-2-3A3		2.51%	#^		10/26/2036		8,236,693
		Lehman Mortgage Trust,
	8,918,283	Series 2005-2-3A5		5.50%			12/25/2035		7,496,129
	15,730,853	Series 2005-3-2A1		6.00%			01/25/2036		15,727,549
	1,673,884	Series 2005-3-2A3		5.50%			01/25/2036		1,629,393
	7,539,822	Series 2005-3-2A7		6.00%			01/25/2036		7,111,391
	4,513,118	Series 2006-1-1A1		0.97%	#		02/25/2036		2,630,259
	13,539,354	Series 2006-1-1A2		4.53%	# I/F I/O		02/25/2036		1,841,860
	20,016,899	Series 2006-1-3A1		0.97%	#		02/25/2036		15,413,723
	20,016,899	Series 2006-1-3A2		4.53%	# I/F I/O		02/25/2036		3,919,049
	7,354,156	Series 2006-1-3A4		5.50%			02/25/2036		6,788,525
	9,411,606	Series 2006-4-1A3		5.18%	# I/F I/O		08/25/2036		1,340,062
	5,981,813	Series 2006-4-1A4		6.00%			08/25/2036		4,675,167
	13,821,366	Series 2006-5-2A1		0.57%	#		09/25/2036		4,975,692
	28,789,755	Series 2006-5-2A2		6.93%	# I/F I/O		09/25/2036		8,972,989
	25,804,791	Series 2006-6-3A9		5.50%			10/25/2036		18,236,027
	6,772,199	Series 2006-7-2A2		0.67%	#		11/25/2036		3,104,176
	20,215,945	Series 2006-7-2A5		6.33%	# I/F I/O		11/25/2036		5,334,240

16 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Lehman Mortgage Trust, (Cont.)
$	7,029,853	Series 2006-9-1A19		29.69%	# I/F		01/25/2037		10,394,060
	7,809,568	Series 2006-9-1A5		0.82%	#		01/25/2037		4,314,782
	23,197,179	Series 2006-9-1A6		4.93%	# I/F I/O		01/25/2037		4,882,890
	8,941,236	Series 2006-9-2A1		0.60%	#		01/25/2037		4,019,752
	19,790,087	Series 2006-9-2A2		6.40%	# I/F I/O		01/25/2037		5,017,668
	21,742,197	Series 2007-10-2A1		6.50%			01/25/2038		20,701,942
	6,230,312	Series 2007-2-1A1		5.75%			02/25/2037		4,619,651
	5,864,175	Series 2007-4-2A11		0.55%	#		05/25/2037		2,256,370
	20,391,483	Series 2007-4-2A8		6.45%	# I/F I/O		05/25/2037		5,996,564
	2,343,486	Series 2007-4-2A9		0.55%	#		05/25/2037		1,282,934
	29,713,723	Series 2007-5-11A1		5.80%	#		06/25/2037		21,168,918
	20,536,209	Series 2007-5-3A4		5.00%			12/25/2035		19,407,190
	4,687,686	Series 2007-5-4A3		38.78%	# I/F		08/25/2036		7,436,194
	1,733,167	Series 2007-5-7A3		7.50%			10/25/2036		1,564,948
	1,635,916	Series 2007-6-1A8		6.00%			07/25/2037		1,373,282
	14,102,084	Series 2008-2-1A6		6.00%			03/25/2038		13,647,644
		Lehman XS Trust,
	3,564,132	Series 2005-10-2A3B		5.55%	#		01/25/2036		2,837,065
	16,500,000	Series 2005-4-2A3A		5.00%	#		10/25/2035		11,397,730
	3,178,922	Series 2006-11-2A1		0.35%	#		06/25/2046		3,065,504
	6,374,579	Series 2006-5-2A4A		5.89%	#		04/25/2036		5,917,910
		MASTR Adjustable Rate Mortgages Trust,
	7,558,020	Series 2005-2-2A1		2.66%	#		03/25/2035		5,702,269
	10,691,874	Series 2005-6-5A1		2.85%	#		07/25/2035		9,315,782
		MASTR Alternative Loans Trust,
	3,627,447	Series 2005-2-3A1		6.00%			03/25/2035		3,479,558
	2,152,874	Series 2005-5-2A3		5.50%			07/25/2025		2,140,325
	10,702,254	Series 2005-6-1A5		5.50%			12/25/2035		9,487,377
	5,643,031	Series 2006-3-1A2		6.25%			07/25/2036		4,543,896
	13,600,900	Series 2007-1-1A5		5.75%			10/25/2036		12,315,248
	12,151,330	Series 2007-1-2A7		6.00%			10/25/2036		10,735,493
		MASTR Asset Backed Securities Trust,
	4,975,000	Series 2003-OPT1-M3		4.34%	#		12/25/2032		3,748,088
	30,832,442	Series 2006-AM2-A3		0.39%	#		06/25/2036		19,281,777
	8,628,189	Series 2006-NC1-A3		0.41%	#		01/25/2036		7,773,722
		MASTR Asset Securitization Trust,
	929,920	Series 2003-1-30B2		5.75%			02/25/2033		928,785
	1,249,653	Series 2007-1-1A1		5.50%			11/25/2037		1,230,833
	10,480,454	Series 2007-1-1A3		6.25%			11/25/2037		9,847,550
		MASTR Seasoned Securitization Trust,
	1,511,826	Series 2005-2-1A4		6.00%			10/25/2032		1,362,493
	3,669,823	Series 2005-2-2A1		0.62%	#		10/25/2032		3,026,534
		Merrill Lynch Mortgage Investors Trust,
	16,757,224	Series 2006-3-1A		2.69%	#		10/25/2036		15,723,320
	6,895,533	Series 2006-F1-1A2		6.00%			04/25/2036		6,189,771
		Morgan Stanley Capital, Inc.,
	1,810,564	Series 2003-NC6-M2		3.14%	#		06/25/2033		1,411,028
		Morgan Stanley Mortgage Loan Trust,
	4,999,665	Series 2005-10-1A1		0.92%	#		12/25/2035		3,129,825
	13,725,599	Series 2005-10-2A1		5.64%	#		12/25/2035		13,231,759
	2,094,237	Series 2005-6AR-1A1		0.50%	#		11/25/2035		1,899,466
	7,726,181	Series 2006-11-1A6		6.23%	#		08/25/2036		3,956,415
	22,247,982	Series 2006-11-2A1		6.00%			08/25/2036		16,231,638
	11,371,143	Series 2006-17XS-A3A		5.65%	#		10/25/2046		7,832,597
	3,438,198	Series 2006-17XS-A6		5.58%	#		10/25/2046		2,189,976
	1,616,274	Series 2006-2-2A3		5.75%			02/25/2036		1,479,289
	73,222,803	Series 2006-7-3A		5.59%	#		06/25/2036		54,563,912
	5,919,032	Series 2006-7-4A4		6.00%			06/25/2036		4,823,943
	5,990,870	Series 2006-7-4A7		6.00%			06/25/2036		4,882,490
	8,114,789	Series 2007-13-6A1		6.00%			10/25/2037		5,734,758
	5,312,370	Series 2007-1XS-2A3		5.92%	#		09/25/2046		2,915,979
	3,991,474	Series 2007-1XS-2A4A		6.08%	#		09/25/2046		2,415,614
	3,035,147	Series 2007-3XS-1A2A		5.62%	#		01/25/2047		2,758,242
	12,026,759	Series 2007-3XS-2A3S		5.86%	#		01/25/2047		8,881,954
	7,034,519	Series 2007-3XS-2A4S		5.96%	#		01/25/2047		5,230,914
		Morgan Stanley Re-Remic Trust,
	4,997,635	Series 2010-R9-1A		4.00%	#^		08/26/2036		5,087,280
	8,215,558	Series 2010-R9-1B		7.25%	#^		08/26/2036		4,949,874
	67,512,392	Series 2010-R9-3C		8.20%	#^		11/26/2036		48,271,360
	9,935,487	Series 2011-R1-1A		5.94%	#^		02/26/2037		10,283,229
		MSDWCC Heloc Trust,
	48,721,061	Series 2007-1-A		0.32%	#		12/25/2031		40,035,606

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		New York Mortgage Trust,
$	1,905,940	Series 2005-2-A		0.55%	#		08/25/2035		1,879,824
		Newcastle Mortgage Securities Trust,
	54,917,209	Series 2006-1-A3		0.40%	#		03/25/2036		53,517,699
		Nomura Asset Acceptance Corporation,
	2,388,782	Series 2005-AP1-2A5		4.86%	#		02/25/2035		2,224,983
	21,530,103	Series 2006-AF1-1A2		6.16%	#		05/25/2036		11,971,921
	4,375,301	Series 2006-AF1-1A3		6.41%	#		05/25/2036		2,450,718
	21,587,949	Series 2006-AP1-A2		5.52%	#		01/25/2036		14,250,982
	4,685,507	Series 2006-AP1-A3		5.65%	#		01/25/2036		3,120,965
	2,336,417	Series 2006-WF1-A2		5.76%	#		06/25/2036		1,478,972
		Nomura Home Equity Loan, Inc.,
	22,834,762	Series 2006-AF1-A2		5.80%	#		10/25/2036		12,244,205
	4,198,745	Series 2007-1-1A1		6.06%	#		02/25/2037		2,538,044
	20,927,511	Series 2007-1-1A3		5.99%	#		02/25/2037		12,593,004
		Option One Mortgage Loan Trust,
	1,375,328	Series 2002-2-A		0.76%	#		06/25/2032		1,144,798
	1,834,498	Series 2004-3-M3		0.87%	#		11/25/2034		1,550,483
		PHH Alternative Mortgage Trust,
	2,388,937	Series 2007-2-3A1		6.00%			05/25/2037		1,989,766
	46,548,001	Series 2007-3-A2		0.41%	#		07/25/2037		38,578,541
		Popular ABS Mortgage Pass-Thru Trust,
	1,457,062	Series 2005-5-AF6		5.33%	#		11/25/2035		1,379,745
		Prime Mortgage Trust,
	3,983,593	Series 2006-1-2A5		6.00%			06/25/2036		3,905,664
	5,472,947	Series 2006-DR1-2A1		5.50%	^		05/25/2035		5,191,301
		RBSGC Structured Trust,
	68,855,692	Series 2008-B-A1		6.00%	^		06/25/2037		55,471,041
		Renaissance Home Equity Loan Trust,
	1,971,481	Series 2006-1-AF6		5.75%	#		05/25/2036		1,263,658
	11,300,000	Series 2006-4-AF4		5.47%	#		01/25/2037		6,185,010
	22,252,000	Series 2006-4-AF5		5.69%	#		01/25/2037		12,614,269
	18,475,444	Series 2007-2-AF2		5.68%	#		06/25/2037		8,393,487
	9,992,128	Series 2007-2-AF5		6.20%	#		06/25/2037		4,937,225
		Residential Accredit Loans, Inc.,
	14,656,947	Series 2004-QS15-A1		5.25%			11/25/2034		13,834,766
	1,401,048	Series 2005-QS12-A11		48.77%	# I/F		08/25/2035		3,016,272
	6,148,753	Series 2005-QS13-1A6		5.50%			09/25/2035		5,348,413
	10,592,492	Series 2005-QS13-2A1		0.92%	#		09/25/2035		6,758,672
	43,429,217	Series 2005-QS13-2A2		4.83%	# I/F I/O		09/25/2035		7,524,915
	19,405,994	Series 2005-QS14-2A1		6.00%			09/25/2035		14,519,623
	9,726,893	Series 2005-QS15-2A		6.00%			10/25/2035		6,910,325
	9,662,266	Series 2005-QS15-3A		6.00%			10/25/2035		8,151,532
	10,552,545	Series 2005-QS16-A1		0.92%	#		11/25/2035		6,943,396
	10,550,721	Series 2005-QS16-A2		4.58%	# I/F I/O		11/25/2035		1,612,899
	4,889,628	Series 2005-QS17-A1		6.00%			12/25/2035		4,244,801
	3,442,481	Series 2005-QS17-A10		6.00%			12/25/2035		2,937,650
	14,397,950	Series 2005-QS17-A11		6.00%			12/25/2035		12,286,527
	10,233,609	Series 2005-QS17-A2		1.07%	#		12/25/2035		7,093,871
	10,233,609	Series 2005-QS17-A4		4.93%	# I/F I/O		12/25/2035		1,601,299
	8,234,279	Series 2005-QS17-A6		6.00%			12/25/2035		7,026,742
	6,205,285	Series 2005-QS1-A5		5.50%			01/25/2035		5,841,262
	4,610,052	Series 2005-QS5-A3		5.70%			04/25/2035		3,998,540
	3,948,731	Series 2005-QS9-A1		0.72%	#		06/25/2035		3,176,049
	9,871,828	Series 2005-QS9-A4		4.78%	# I/F I/O		06/25/2035		1,511,046
	3,967,264	Series 2006-QS10-A4		5.75%			08/25/2036		2,877,075
	4,174,143	Series 2006-QS12-1A1		6.50%			09/25/2036		3,202,818
	10,092,589	Series 2006-QS12-2A18		5.75%			09/25/2036		7,234,681
	16,008,125	Series 2006-QS14-A18		6.25%			11/25/2036		11,680,721
	8,453,893	Series 2006-QS15-A1		6.50%			10/25/2036		6,214,330
	3,161,584	Series 2006-QS16-A10		6.00%			11/25/2036		2,318,252
	11,242,091	Series 2006-QS16-A11		6.00%			11/25/2036		8,359,630
	3,281,692	Series 2006-QS16-A7		6.00%			11/25/2036		2,338,558
	3,546,256	Series 2006-QS16-A8		6.00%			11/25/2036		2,636,999
	1,403,320	Series 2006-QS16-A9		6.00%			11/25/2036		1,043,510
	7,776,087	Series 2006-QS17-A4		6.00%			12/25/2036		5,722,904
	43,200,575	Series 2006-QS17-A5		6.00%			12/25/2036		31,793,981
	4,363,693	Series 2006-QS1-A6		41.20%	# I/F		01/25/2036		8,621,636
	30,073,391	Series 2006-QS3-1A11		6.00%			03/25/2036		23,316,020
	6,284,780	Series 2006-QS4-A8		1.33%	#		04/25/2036		4,251,450
	19,077,381	Series 2006-QS5-A3		6.00%			05/25/2036		13,061,653
	24,412,043	Series 2006-QS8-A1		6.00%			08/25/2036		18,631,345
	42,334,048	Series 2006-QS8-A5		5.33%	# I/F I/O		08/25/2036		7,791,899

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 17

Schedule of Investments  DoubleLine Total Return Bond Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY			VALUE $
		Residential Accredit Loans, Inc., (Cont.)
$	14,616,568	Series 2006-QS9-1A6		5.08%	# I/F I/O		07/25/2036			2,293,230
	12,997,217	Series 2007-QS11-A1		7.00%			10/25/2037			9,708,668
	43,873,449	Series 2007-QS1-1A2		5.23%	# I/F I/O		01/25/2037			7,614,391
	4,416,328	Series 2007-QS1-1A4		6.00%			01/25/2037			3,279,154
	11,118,013	Series 2007-QS1-2A10		6.00%			01/25/2037			8,468,657
	1,898,486	Series 2007-QS2-A6		6.25%			01/25/2037			1,373,461
	71,072,235	Series 2007-QS3-A1		6.50%			02/25/2037			53,198,670
	11,332,911	Series 2007-QS3-A4		6.25%			02/25/2037			8,344,377
	8,612,103	Series 2007-QS5-A1		5.50%			03/25/2037			6,203,513
	3,552,844	Series 2007-QS5-A5		0.52%	#		03/25/2037			1,886,043
	11,799,806	Series 2007-QS5-A8		6.48%	# I/F I/O		03/25/2037			2,880,492
	9,741,469	Series 2007-QS6-A102		5.75%			04/25/2037			6,925,381
	3,132,166	Series 2007-QS6-A13		53.20%	# I/F		04/25/2037			7,116,492
	13,949,020	Series 2007-QS6-A45		5.75%			04/25/2037			9,916,603
	22,230,428	Series 2007-QS6-A6		6.25%			04/25/2037			16,329,839
	1,535,385	Series 2007-QS6-A77		54.03%	# I/F		04/25/2037			3,544,017
	15,153,960	Series 2007-QS7-2A1		6.75%			06/25/2037			9,384,408
	12,775,318	Series 2007-QS9-A33		6.50%			07/25/2037			9,201,116
		Residential Asset Mortgage Products, Inc.,
	763,340	Series 2004-RS4-AI6		5.07%	#		04/25/2034			787,797
	4,361,973	Series 2004-RS5-AI6		5.55%	#		05/25/2034			3,577,164
	8,256,903	Series 2004-RS7-AI6		5.22%	#		07/25/2034			7,385,267
	1,332,108	Series 2004-RS8-AI4		5.06%	#		06/25/2032			1,356,819
	1,666,540	Series 2004-RS9-AI4		4.77%	#		10/25/2032			1,518,141
	2,227,652	Series 2004-RS9-AI6		4.72%	#		07/25/2034			1,918,752
	4,007,877	Series 2004-RZ2-AI4		5.35%	#		02/25/2033			3,641,192
	7,550,000	Series 2005-RS1-AI5		5.41%	#		01/25/2035			5,936,927
	10,628,083	Series 2006-RS5-A3		0.39%	#		09/25/2036			8,482,831
		Residential Asset Securities Corporation,
	820,254	Series 2002-KS1-AI6		6.08%	#		06/25/2032			717,830
	3,589,541	Series 2003-KS11-MI1		5.13%	#		01/25/2034			3,263,887
	6,195,530	Series 2005-AHL3-A2		0.46%	#		11/25/2035			5,954,527
	2,343,367	Series 2006-KS4-A3		0.37%	#		06/25/2036			2,256,129
		Residential Asset Securitization Trust,
	10,612,401	Series 2005-A11-2A4		6.00%			10/25/2035			6,571,692
	9,038,034	Series 2005-A12-A7		4.78%	# I/F I/O		11/25/2035			1,313,479
	6,952,262	Series 2005-A12-A8		0.77%	#		11/25/2035			5,028,477
	8,318,304	Series 2005-A15-5A3		5.75%			02/25/2036			6,763,842
	6,031,897	Series 2005-A7-A3		5.50%			06/25/2035			5,553,369
	11,034,028	Series 2005-A8CB-A11		6.00%			07/25/2035			9,962,585
	11,487,802	Series 2005-A8CB-A2		4.78%	# I/F I/O		07/25/2035			1,863,867
	9,923,063	Series 2006-A10-A5		6.50%			09/25/2036			7,041,395
	1,861,167	Series 2006-A1-1A3		6.00%			04/25/2036			1,485,055
	13,995,360	Series 2006-A12-A1		6.25%			11/25/2036			10,180,827
	14,513,761	Series 2006-A13-A1		6.25%			12/25/2036			10,638,340
	28,480,294	Series 2006-A1-3A2		6.00%			04/25/2036			23,650,649
	23,121,938	Series 2006-A14C-2A6		0.67%	#		12/25/2036			8,036,908
	51,026,648	Series 2006-A14C-2A7		6.33%	# I/F I/O		12/25/2036			12,439,429
	14,306,288	Series 2006-A2-A11		6.00%			01/25/2046			10,965,470
	1,819,294	Series 2006-A4-2A5		6.00%			05/25/2036			1,341,474
	8,473,475	Series 2006-A8-1A1		6.00%			08/25/2036			6,616,441
	11,354,394	Series 2006-R1-A1		27.53%	# I/F		01/25/2046			15,000,108
	75,734,104	Series 2007-A2-1A2		6.00%			04/25/2037			65,820,283
	1,956,036	Series 2007-A3-1A2		44.72%	# I/F		04/25/2037			3,575,717
	31,704,982	Series 2007-A5-1A4		5.88%	# I/F I/O		05/25/2037			7,388,878
	8,188,099	Series 2007-A5-1A6		0.62%	#		05/25/2037			2,301,020
	18,230,026	Series 2007-A5-2A3		6.00%			05/25/2037			16,256,170
	7,989,290	Series 2007-A5-2A5		6.00%			05/25/2037			7,152,044
	29,619,968	Series 2007-A6-1A2		6.00%			06/25/2037			25,539,462
	16,183,601	Series 2007-A7-A1		6.00%			07/25/2037			12,938,724
	31,540,957	Series 2007-A7-A6		6.00%			07/25/2037			25,216,869
		Residential Funding Mortgage Securities Trust,
	11,894,121	Series 2003-S16-A1		4.75%			09/25/2018	��		12,243,636
	26,926,176	Series 2005-S9-A6		5.75%			12/25/2035			27,418,104
	2,001,211	Series 2005-S9-A8		5.50%			12/25/2035			1,995,528
	25,747,244	Series 2006-S11-A1		6.00%			11/25/2036			24,115,268
	723,909	Series 2006-S5-A15		6.00%			06/25/2036			650,563
	14,716,402	Series 2007-S1-A7		6.00%			01/25/2037			13,006,245
	12,491,407	Series 2007-S2-A1		6.00%			02/25/2037			11,464,632
	14,072,945	Series 2007-S2-A4		6.00%			02/25/2037			12,916,170
	26,272,579	Series 2007-S2-A5		6.00%			02/25/2037			24,113,013
	4,105,528	Series 2007-S2-A9		6.00%			02/25/2037			3,768,060

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Residential Funding Mortgage Securities Trust, (Cont.)
$	11,268,738	Series 2007-S3-1A4		6.00%			03/25/2037		9,828,238
	3,661,102	Series 2007-S4-A1		6.00%			04/25/2037		3,224,007
	84,011,960	Series 2007-S5-A1		6.00%			05/25/2037		77,502,251
	14,014,736	Series 2007-S6-2A4		6.00%			06/25/2037		12,441,905
	27,201,073	Series 2007-S8-1A1		6.00%			09/25/2037		23,562,141
	13,191,831	Series 2007-SA1-4A		5.94%	#		02/25/2037		12,039,557
		Saxon Asset Securities Trust,
	72,440,000	Series 2006-3-A3		0.39%	#		10/25/2046		43,622,825
		Sequoia Mortgage Trust,
	674,654	Series 2003-4-2A1		0.57%	#		07/20/2033		667,261
		Soundview Home Equity Loan Trust,
	1,767,947	Series 2007-1-2A1		0.31%	#		03/25/2037		1,719,143
		Structured Adjustable Rate Mortgage Loan Trust,
	26,788,851	Series 2004-12-8A		4.29%	#		09/25/2034		26,541,362
	6,178,818	Series 2006-1-8A1		5.61%	#		02/25/2036		4,859,230
		Structured Asset Securities Corporation,
	49,000,000	Series 2003-12-7A		3.00%			09/01/2042		51,342,813
	135,864,519	Series 2003-12-7A		3.00%			10/01/2042		142,487,914
	833,645	Series 2003-18XS-A6		4.54%	#		06/25/2033		846,780
	6,920,911	Series 2003-24A-1A3		2.78%	#		07/25/2033		6,837,836
	33,920,128	Series 2003-35-1A1		5.17%	#		12/25/2033		34,229,310
	13,738,211	Series 2004-11XS-2A2		5.40%	#		06/25/2034		14,338,255
	7,531,470	Series 2004-15-2A1		4.75%			09/25/2019		7,664,702
	29,103,758	Series 2004-22-A2		4.86%	#		01/25/2035		28,985,306
	51,288,909	Series 2005-10-1A1		5.75%			06/25/2035		51,837,162
	11,844,431	Series 2005-10-6A1		5.00%			06/25/2020		12,490,106
	12,621,087	Series 2005-13-3A1		6.00%			09/25/2035		11,812,290
	6,651,008	Series 2005-14-1A1		0.52%	#		07/25/2035		5,952,080
	1,997,412	Series 2005-14-1A4		23.56%	# I/F		07/25/2035		2,523,338
	78,631,645	Series 2005-14-4A1		5.75%			07/25/2035		77,951,049
	8,243,204	Series 2005-15-1A1		5.50%			08/25/2035		8,441,016
	19,813,940	Series 2005-16-1A2		5.50%			09/25/2035		20,186,749
	12,500,000	Series 2005-3-1A6		5.75%			03/25/2035		11,476,506
		Suntrust Adjustable Rate Mortgage Loan Trust,
	17,775,249	Series 2007-3-1A1		3.15%	#		06/25/2037		14,778,342
		Suntrust Alternative Loan Trust,
	2,163,793	Series 2005-1F-2A3		5.75%			12/25/2035		1,840,243
	3,964,647	Series 2006-1F-1A3		6.00%			04/25/2036		2,610,633
		Thornburg Mortgage Securities Trust,
	2,492,355	Series 2003-6-A2		1.22%	#		12/25/2033		1,971,203
	19,787,546	Series 2004-4-5A		4.82%	#		12/25/2044		19,706,367
	32,994,060	Series 2007-1-A1		2.34%	#		03/25/2037		27,585,855
	10,433,044	Series 2007-1-A2A		5.80%	#		03/25/2037		8,886,350
		Washington Mutual Mortgage Pass-Through Certificates,
	12,233,352	Series 2005-1-2A		6.00%			03/25/2035		10,991,802
	7,238,606	Series 2005-4-5A1		5.50%			06/25/2035		6,551,616
	2,517,737	Series 2005-5-CB12		48.22%	# I/F		07/25/2035		5,971,804
	8,153,051	Series 2005-5-CB6		0.82%	#		07/25/2035		5,683,810
	4,497,394	Series 2005-6-2A7		5.50%			08/25/2035		4,131,695
	2,652,327	Series 2005-7-3CB		6.50%			08/25/2035		2,018,667
	7,304,854	Series 2005-9-CX		5.50%	I/O		11/25/2035		1,399,449
	5,164,937	Series 2005-AR14-1A1		2.47%	#		12/25/2035		5,159,018
	12,532,413	Series 2006-1-3A1		5.75%			02/25/2036		10,071,110
	6,177,519	Series 2006-1-3A2		5.75%			02/25/2036		4,964,285
	5,294,666	Series 2006-1-3A7		5.75%			02/25/2036		4,266,179
	6,095,041	Series 2006-5-1A8		5.75%			07/25/2036		4,617,642
	10,921,379	Series 2006-5-2CB1		6.00%			07/25/2036		7,732,883
	19,837,821	Series 2006-5-2CB6		6.00%			07/25/2036		14,046,169
	9,525,911	Series 2006-5-3A5		6.45%	#		07/25/2036		4,928,635
	6,628,537	Series 2006-9-A7		5.93%	#		10/25/2036		4,627,644
	23,632,472	Series 2006-AR10-1A1		2.74%	#		09/25/2036		18,177,896
	33,783,985	Series 2006-AR15-1A		0.99%	#		11/25/2046		25,943,887
	3,656,608	Series 2006-AR6-2A3		5.17%	#		08/25/2036		3,343,345
	25,289,443	Series 2007-4-1A1		5.50%			06/25/2037		22,562,596
	1,051,320	Series 2007-5-A11		38.18%	# I/F		06/25/2037		1,887,381
	26,282,994	Series 2007-5-A6		6.00%			06/25/2037		21,370,676
	48,910,187	Series 2007-HY3-4A1		2.76%	#		03/25/2037		43,747,301
	47,617,009	Series 2007-HY5-1A1		2.51%	#		05/25/2037		38,702,057
	44,317,159	Series 2007-HY6-2A3		5.17%	#		06/25/2037		37,681,617

18 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Wells Fargo Alternative Loan Trust,
$	5,170,363	Series 2007-PA1-A10		6.00%			03/25/2037		4,111,845
	19,574,024	Series 2007-PA1-A5		6.00%			03/25/2037		15,566,673
	161,989,877	Series 2007-PA2-1A1		6.00%			06/25/2037		145,511,457
	21,305,318	Series 2007-PA2-3A1		0.57%	#		06/25/2037		10,840,156
	31,386,033	Series 2007-PA2-3A2		6.43%	# I/F I/O		06/25/2037		7,978,298
	2,316,377	Series 2007-PA3-1A4		5.75%			07/25/2037		1,962,328
	10,847,131	Series 2007-PA3-2A1		6.00%			07/25/2037		9,800,334
	22,470,228	Series 2007-PA3-4A3		6.50%			07/25/2037		17,455,806
	274,165,525	Series 2007-PA5-1A1		6.25%			11/25/2037		259,619,536
	3,659,815	Series 2007-PA5-2A1		6.00%			11/25/2022		3,819,072
		Wells Fargo Mortgage Backed Securities Trust,
	42,851,087	Series 2004-Y-3A3		2.66%	#		11/25/2034		43,639,375
	32,153,817	Series 2005-12-1A5		5.50%			11/25/2035		32,639,918
	1,742,433	Series 2005-4-A7		23.03%	# I/F		04/25/2035		2,918,056
	9,007,804	Series 2005-8-A1		5.50%			10/25/2035		9,326,275
	6,896,291	Series 2005-AR16-6A4		2.66%	#		10/25/2035		3,443,649
	21,747,528	Series 2006-12-A3		6.00%			10/25/2036		20,868,493
	23,916,384	Series 2006-14-A1		6.00%			10/25/2036		23,276,884
	29,422,787	Series 2006-15-A1		6.00%			11/25/2036		29,051,427
	9,787,789	Series 2006-16-A2		5.00%			11/25/2036		10,066,991
	289,383	Series 2006-2-1A4		18.79%	# I/F		03/25/2036		408,613
	5,494,140	Series 2006-2-3A1		5.75%			03/25/2036		5,528,764
	5,589,642	Series 2006-3-A6		5.50%			03/25/2036		5,498,344
	2,782,358	Series 2006-4-1A8		5.75%			04/25/2036		2,802,882
	941,629	Series 2006-4-2A2		5.50%			04/25/2036		942,185
	13,479,660	Series 2006-6-2A1		0.62%	#		05/25/2036		9,446,944
	13,479,660	Series 2006-6-2A2		6.88%	# I/F I/O		05/25/2036		3,056,345
	5,752,414	Series 2006-9-2A1		0.00%	P/O		08/25/2036		3,356,557
	5,752,414	Series 2006-9-2A2		6.00%	I/O		08/25/2036		961,637
	29,157,718	Series 2006-AR12-1A1		3.04%	#		09/25/2036		24,108,417
	14,002,459	Series 2006-AR13-A2		2.61%	#		09/25/2036		11,728,572
	18,666,463	Series 2006-AR4-2A1		5.60%	#		04/25/2036		18,533,092
	6,347,704	Series 2007-10-1A18		6.00%			07/25/2037		6,404,671
	10,294,190	Series 2007-10-2A11		6.00%			07/25/2037		9,761,867
	9,533,194	Series 2007-11-A96		6.00%			08/25/2037		9,498,512
	79,791,656	Series 2007-14-1A1		6.00%			10/25/2037		80,032,227
	70,988,974	Series 2007-2-1A1		6.00%			03/25/2037		69,102,264
	4,108,351	Series 2007-2-1A18		5.75%			03/25/2037		3,962,026
	9,253,093	Series 2007-2-1A9		6.00%			03/25/2037		9,007,169
	6,041,553	Series 2007-2-3A2		5.25%			03/25/2037		6,320,848
	6,665,852	Series 2007-3-1A3		6.00%			04/25/2037		6,393,022
	7,291,662	Series 2007-4-A11		6.50%			04/25/2037		7,088,954
	27,536,401	Series 2007-4-A15		6.00%			04/25/2037		26,557,895
	6,354,548	Series 2007-5-1A6		23.59%	# I/F		05/25/2037		8,425,995
	21,729,567	Series 2007-6-A4		6.00%			05/25/2037		21,261,914
	2,385,892	Series 2007-7-A32		5.75%			06/25/2037		2,284,732
	77,253,835	Series 2007-7-A34		6.00%			06/25/2037		74,743,395
	9,723,895	Series 2007-7-A36		6.00%			06/25/2037		9,823,643
	7,115,956	Series 2007-7-A43		0.72%	#		06/25/2037		5,627,697
	19,440,641	Series 2007-7-A49		6.00%			06/25/2037		18,808,898
	8,230,139	Series 2007-7-A8		0.72%	#		06/25/2037		6,508,855
	3,712,760	Series 2007-7-A9		37.70%	# I/F		06/25/2037		6,902,251
	5,191,825	Series 2007-8-1A13		0.59%	#		07/25/2037		4,218,218
	5,191,825	Series 2007-8-1A14		38.48%	# I/F		07/25/2037		9,213,317
	4,326,521	Series 2007-8-1A16		6.00%			07/25/2037		4,264,144
	57,845,461	Series 2007-8-1A2		6.00%			07/25/2037		55,736,936
	5,020,341	Series 2007-8-2A2		6.00%			07/25/2037		4,991,371
	12,049,461	Series 2007-9-1A5		5.50%			07/25/2037		12,636,444
	136,054,649	Series 2007-AR9-A1		6.00%	#		12/28/2037		138,622,204

	Wells Fargo Mortgage Loan Trust,
49,855,100	Series 2012-RR1-A1	2.85%	#^	08/27/2037	50,569,025
	Total Non-Agency Residential Collateralized Mortgage Obligations (Cost $9,477,001,300)				9,886,509,343
US GOVERNMENT / AGENCY MORTGAGE BACKED OBLIGATIONS 47.9%
	Federal Home Loan Mortgage Corporation,
38,158,084	Pool C03490	4.50%		08/01/2040	41,166,442
140,667,006	Pool C91388	3.50%		02/01/2032	151,469,793
71,701,388	Pool C91403	3.50%		03/01/2032	77,207,831
79,985,043	Pool C91413	3.50%		12/01/2031	86,127,645
37,198,114	Pool C91417	3.50%		01/01/2032	40,054,814

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY			VALUE $
		Federal Home Loan Mortgage Corporation, (Cont.)
$	132,908,927	Pool C91447		3.50%			05/01/2032			143,115,918
	114,554,534	Pool G01840		5.00%			07/01/2035			124,509,016
	33,857,013	Pool G04817		5.00%			09/01/2038			36,714,454
	93,053,385	Pool G06172		5.50%			12/01/2038			101,509,192
	67,204,131	Pool G06871		6.00%			06/01/2038			73,993,548
	124,813,165	Pool G06954		6.00%			05/01/2040			137,227,618
	155,442,775	Pool G07011		6.00%			05/01/2040			170,903,780
	36,875,619	Pool T60392		4.00%			10/01/2041			38,978,272
	26,145,355	Pool T60681		4.00%			05/01/2042			27,636,167
	54,315,008	Pool T60782		3.50%			07/01/2042			56,975,595
	81,925,300	Pool T60853		3.50%			09/01/2042			85,938,360
	80,120,022	Pool T60854		3.50%			09/01/2042			84,044,652
	33,693,747	Pool T69016		5.00%			06/01/2041			35,847,740
	1,281,657	Pool U60299		4.00%			11/01/2040			1,432,838
	9,088,053	Series 2519-ZD		5.50%			11/15/2032			10,130,843
	4,799,287	Series 2596-ZL		5.00%			04/15/2033			5,319,926
	90,780,494	Series 267-30		3.00%			08/15/2042			95,271,988
	2,555,605	Series 2684-ZN		4.00%			10/15/2033			2,789,184
	165,229,840	Series 269-30		3.00%			08/15/2042			173,276,754
	244,635,504	Series 272-30		3.00%			08/15/2042			256,477,496
	71,900,641	Series 274-30		3.00%			08/15/2042			75,338,391
	13,351,091	Series 2750-ZT		5.00%			02/15/2034			14,502,622
	197,285,715	Series 280-30		3.00%			09/15/2042			207,109,113
	11,740,489	Series 2825-PZ		5.50%			07/15/2034			13,947,918
	20,609,503	Series 2898-JZ		5.00%			12/15/2034			22,933,678
	26,297,865	Series 2899-AZ		5.00%			12/15/2034			29,483,076
	21,051,135	Series 2909-Z		5.00%			12/15/2034			23,688,095
	56,231,403	Series 2932-Z		5.00%			02/15/2035			62,737,967
	5,844,532	Series 2990-JL		6.43%	# I/F  I/O		03/15/2035			788,675
	19,901,204	Series 3002-SN		6.28%	# I/F I/O		07/15/2035			3,646,074
	14,563,854	Series 3030-SL		5.88%	# I/F I/O		09/15/2035			2,454,902
	4,065,810	Series 3045-DI		6.51%	# I/F I/O		10/15/2035			741,764
	24,397,226	Series 3116-Z		5.50%			02/15/2036			28,028,838
	6,247,158	Series 3117-ZN		4.50%			02/15/2036			6,916,760
	7,499,070	Series 3174-PZ		5.00%			01/15/2036			8,783,376
	4,080,849	Series 3187-JZ		5.00%			07/15/2036			4,506,167
	5,616,581	Series 3188-ZK		5.00%			07/15/2036			6,348,436
	16,881,864	Series 3203-SE		6.28%	# I/F I/O		08/15/2036			2,492,062
	19,235,869	Series 3203-Z		5.00%			07/15/2036			22,381,135
	30,479,370	Series 3203-ZC		5.00%			07/15/2036			35,463,067
	18,491,554	Series 3261-SA		6.21%	# I/F I/O		01/15/2037			3,256,762
	39,013,814	Series 3267-BA		5.80%			11/15/2036			42,694,939
	33,579,467	Series 3275-SC		5.86%	# I/F I/O		02/15/2037			4,601,002
	13,760,302	Series 3315-HZ		6.00%			05/15/2037			16,152,901
	77,535,424	Series 3326-GS		6.43%	# I/F I/O		06/15/2037			10,538,522
	3,250,764	Series 3351-ZC		5.50%			07/15/2037			3,779,556
	42,184,169	Series 3355-BI		5.83%	# I/F I/O		08/15/2037			6,379,343
	3,348,932	Series 3369-Z		6.00%			09/15/2037			3,968,447
	11,626,708	Series 3405-ZG		5.50%			01/15/2038	��		13,312,191
	33,278,752	Series 3417-SI		5.96%	# I/F I/O		02/15/2038			4,435,891
	54,133,375	Series 3423-GS		5.43%	# I/F I/O		03/15/2038			4,954,422
	8,889,270	Series 3423-SG		5.43%	# I/F I/O		03/15/2038			1,102,491
	8,399,983	Series 3451-S		5.81%	# I/FI/O		02/15/2037			1,114,507
	15,168,750	Series 3455-SC		5.84%	# I/FI/O		06/15/2038			1,976,218
	9,631,387	Series 3473-SM		5.85%	# I/F I/O		07/15/2038			1,263,221
	31,680,309	Series 3484-SE		5.63%	# I/F I/O		08/15/2038			4,520,729
	18,322,096	Series 3519-SD		5.33%	# I/F I/O		02/15/2038			2,808,904
	9,656,130	Series 3524-LB		5.62%	# I/F I/O		06/15/2038			10,192,366
	1,620,693	Series 3530-GZ		4.50%			05/15/2039			1,683,973
	44,325,212	Series 3541-EI		6.53%	# I/F I/O		06/15/2039			6,052,559
	18,541,628	Series 3545-SA		5.93%	# I/F I/O		06/15/2039			2,547,230
	7,713,280	Series 3549-SA		5.58%	# I/F I/O		07/15/2039			713,149
	41,519,378	Series 3577-LS		6.98%	# I/F I/O		08/15/2035			7,705,469
	13,872,586	Series 3582-SA		5.78%	# I/F I/O		10/15/2049			1,831,423
	11,140,980	Series 3583-GB		4.50%			10/15/2039			12,208,826
	62,338,196	Series 3606-CS		6.13%	# I/F I/O		12/15/2039			9,652,720
	17,000,382	Series 3616-SG		6.13%	# I/F I/O		03/15/2032			3,510,159
	28,939,499	Series 3626-AZ		5.50%			08/15/2036			33,352,628
	18,789,568	Series 3631-SE		6.18%	# I/F I/O		05/15/2039			2,023,809
	16,663,546	Series 3641-SB		6.28%	# I/F I/O		10/15/2034			519,766
	25,234,909	Series 3641-Z		5.50%			02/15/2036			29,250,149
	19,672,210	Series 3654-ZB		5.50%			11/15/2037			23,248,687
	39,409,742	Series 3666-VZ		5.50%			08/15/2036			46,556,068
	22,753,317	Series 3667-SB		6.23%	# I/F I/O		05/15/2040			3,007,422
	52,680,946	Series 3688-CM		4.00%			07/15/2029			53,797,282
	34,920,489	Series 3702-SG		5.83%	# I/F I/O		08/15/2032			7,205,567

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 19

Schedule of Investments  DoubleLine Total Return Bond Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Federal Home Loan Mortgage Corporation, (Cont.)
$	12,589,319	Series 3704-EI		5.00%	I/O		12/15/2036		1,826,904
	3,741,293	Series 3712-SG		23.85%	# I/F		08/15/2040		7,637,163
	37,836,135	Series 3724-CM		5.50%			06/15/2037		42,059,972
	240,864,391	Series 3725-CS		5.78%	# I/F I/O		05/15/2040		35,206,209
	115,484,172	Series 3726-SA		5.83%	# I/F I/O		09/15/2040		15,481,820
	98,000,000	Series 3738-BP		4.00%			12/15/2038		107,337,587
	13,361,412	Series 3741-SC		9.56%	# I/F		10/15/2040		14,596,122
	8,068,594	Series 3745-SY		9.56%	# I/F		10/15/2040		8,459,703
	4,184,363	Series 3747-KS		14.34%	# I/F		10/15/2040		4,264,774
	7,007,384	Series 3748-CS		9.54%	# I/F		10/15/2040		7,038,376
	50,292,828	Series 3752-BS		9.54%	# I/F		11/15/2040		57,402,605
	5,973,124	Series 3758-SL		5.38%	# I/F		05/15/2039		5,983,402
	16,433,904	Series 3758-SM		9.54%	# I/F		11/15/2040		17,203,532
	2,455,931	Series 3764-S		9.46%	# I/F		11/15/2040		2,489,995
	13,094,926	Series 3768-ZX		5.00%			12/15/2040		15,297,100
	18,900,000	Series 3771-AL		4.00%			12/15/2030		20,752,625
	18,761,630	Series 3779-BY		3.50%			12/15/2030		20,218,095
	27,350,895	Series 3779-DZ		4.50%			12/15/2040		28,777,933
	24,250,000	Series 3779-LB		4.00%			12/15/2030		26,742,439
	10,345,419	Series 3779-SH		9.36%	# I/F		12/15/2040		11,085,038
	3,500,000	Series 3779-YA		3.50%			12/15/2030		3,782,056
	2,781,659	Series 3780-BS		9.46%	# I/F		12/15/2040		2,802,835
	15,000,000	Series 3783-AC		4.00%			01/15/2031		16,624,762
	22,686,510	Series 3786-SG		9.06%	# I/F		01/15/2041		24,400,850
	11,731,674	Series 3788-AY		3.50%			01/15/2031		12,666,636
	9,784,189	Series 3793-SA		9.36%	# I/F		01/15/2041		10,231,876
	10,688,206	Series 3795-VZ		4.00%			01/15/2041		11,596,495
	2,678,183	Series 3796-SK		9.46%	# I/F		01/15/2041		2,717,461
	6,913,088	Series 3798-SD		9.16%	# I/F		12/15/2040		7,219,361
	16,676,810	Series 3800-VZ		4.50%			02/15/2041		19,128,351
	62,173,920	Series 3806-CZ		5.50%			07/15/2034		74,290,778
	18,000,000	Series 3808-DB		3.50%			02/15/2031		19,433,583
	15,277,557	Series 3812-EY		3.50%			02/15/2031		16,481,917
	11,766,647	Series 3818-CZ		4.50%			03/15/2041		12,975,270
	17,372,704	Series 3819-ZU		5.50%			07/15/2034		20,437,996
	35,500,000	Series 3824-EY		3.50%			03/15/2031		38,313,197
	17,532,840	Series 3828-SW		12.54%	# I/F		02/15/2041		18,446,015
	9,858,898	Series 3838-TS		8.38%	# I/F		04/15/2041		10,050,593
	5,366,222	Series 3843-PZ		5.00%			04/15/2041		6,448,570
	6,549,381	Series 3843-SC		12.69%	# I/F		04/15/2041		6,935,949
	8,707,589	Series 3845-LS		12.69%	# I/F		03/15/2041		9,238,798
	66,706,349	Series 3863-ZA		5.50%			08/15/2034		79,317,785
	10,229,000	Series 3870-PB		4.50%			06/15/2041		11,732,162
	65,444,406	Series 3871-LZ		5.50%			06/15/2041		79,391,460
	133,567,490	Series 3872-BA		4.00%			06/15/2041		143,123,309
	30,000,000	Series 3877-EY		4.50%			06/15/2041		33,655,065
	12,378,000	Series 3877-GY		4.50%			06/15/2041		14,095,819
	48,304,307	Series 3877-ZU		4.50%			06/15/2041		54,211,175
	27,763,822	Series 3888-ZG		4.00%			07/15/2041		30,098,537
	16,860,785	Series 3888-ZU		4.50%			06/15/2041		18,965,509
	58,690,186	Series 3900-SB		5.75%	# I/F I/O		07/15/2041		7,216,410
	37,121,420	Series 3901-VZ		4.00%			07/15/2041		40,322,567
	18,999,751	Series 3910-GZ		5.00%			08/15/2041		22,450,581
	8,444,334	Series 3910-ZE		5.00%			10/15/2034		9,875,100
	12,330,000	Series 3919-KL		4.50%			09/15/2041		14,113,436
	25,097,632	Series 3919-ZJ		4.00%			09/15/2041		27,310,967
	11,940,640	Series 3924-US		9.10%	# I/F		09/15/2041		12,527,446
	10,601,837	Series 3942-JZ		4.00%			10/15/2041		11,527,579
	47,352,983	Series 3946-SM		14.04%	# I/F		10/15/2041		51,433,441
	7,206,867	Series 3957-DZ		3.50%			11/15/2041		7,474,181
	10,000,000	Series 3964-VM		4.00%			11/15/2034		11,105,825
	97,919,272	Series 3969-AB		4.00%			10/15/2033		107,686,230
	10,235,729	Series 3982-AZ		3.50%			01/15/2042		10,588,570
	51,428,398	Series 3990-ZA		3.50%			01/15/2042		52,614,465
	42,989,854	Series 3999-ZB		4.00%			02/15/2042		49,044,567
	24,375,174	Series 4016-KZ		4.00%			03/15/2042		26,393,036
	60,602,002	Series 4057-ZA		4.00%			06/15/2042		69,229,970
	60,380,533	Series 4084-TZ		4.00%			07/15/2042		64,895,910
	34,546,091	Series 4097-ZA		3.50%			08/15/2042		35,298,263
	211,789,187	Series R003-ZA		5.50%			10/15/2035		245,818,944
		Federal National Mortgage Association,
	3,446,357	Series 2002-70-QZ		5.50%			11/25/2032		3,907,397
	6,644,916	Series 2002-75-ZG		5.50%			11/25/2032		7,395,725
	9,629,452	Series 2003-117-KS		6.88%	# I/F I/O		08/25/2033		1,200,654

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	32,326,353	Series 2003-129-ZT		5.50%			01/25/2034		37,241,768
	15,060,264	Series 2003-29-ZL		5.00%			04/25/2033		16,666,094
	10,527,327	Series 2003-64-ZG		5.50%			07/25/2033		11,740,122
	20,060,534	Series 2003-84-PZ		5.00%			09/25/2033		23,344,393
	55,068,131	Series 2003-92-PZ		5.00%			09/25/2033		63,739,022
	19,500,000	Series 2003-W17-1A7		5.75%			08/25/2033		22,958,062
	16,834,490	Series 2004-46-PJ		5.78%	# I/F I/O		03/25/2034		2,535,187
	12,629,234	Series 2004-51-XP		7.48%	# I/F I/O		07/25/2034		2,045,450
	5,000,000	Series 2004-W10-A6		5.75%			08/25/2034		5,631,262
	7,000,000	Series 2004-W4-A5		5.50%			06/25/2034		7,976,307
	1,673,058	Series 2005-107-EG		4.50%			01/25/2026		1,808,050
	2,092,984	Series 2005-37-ZK		4.50%			05/25/2035		2,313,704
	34,589,563	Series 2005-87-SE		5.83%	# I/F I/O		10/25/2035		5,503,272
	28,130,066	Series 2005-87-SG		6.48%	# I/F I/O		10/25/2035		4,342,826
	19,973,532	Series 2006-101-SA		6.36%	# I/F I/O		10/25/2036		3,530,823
	7,714,215	Series 2006-123-LI		6.10%	# I/F I/O		01/25/2037		1,378,693
	10,763,482	Series 2006-16-HZ		5.50%			03/25/2036		12,128,577
	36,727,599	Series 2006-56-SM		6.53%	# I/F I/O		07/25/2036		6,623,863
	32,148,386	Series 2006-60-YI		6.35%	# I/F I/O		07/25/2036		6,346,098
	9,388,773	Series 2006-93-SN		6.38%	# I/F I/O		10/25/2036		1,353,644
	10,960,755	Series 2007-109-VZ		5.00%			10/25/2035		13,423,527
	9,235,522	Series 2007-116-BI		6.03%	# I/F I/O		05/25/2037		1,668,825
	46,514,074	Series 2007-14-PS		6.59%	# I/F I/O		03/25/2037		7,406,962
	4,963,326	Series 2007-2-SH		31.76%	# I/F		08/25/2036		6,649,351
	14,695,704	Series 2007-30-OI		6.22%	# I/F I/O		04/25/2037		2,611,776
	6,864,847	Series 2007-30-SI		5.89%	# I/F I/O		04/25/2037		813,578
	20,847,171	Series 2007-32-SG		5.88%	# I/F I/O		04/25/2037		3,091,800
	19,399,018	Series 2007-57-SX		6.40%	# I/F I/O		10/25/2036		3,042,071
	13,763,741	Series 2007-60-VZ		6.00%			07/25/2037		16,364,200
	12,664,954	Series 2007-71-GZ		6.00%			07/25/2047		15,217,937
	16,272,397	Series 2007-75-ID		5.65%	# I/F I/O		08/25/2037		2,674,267
	9,093,983	Series 2007-93-SB		3.93%	# I/F I/O		01/25/2036		409,005
	12,050,114	Series 2007-9-SD		6.43%	# I/F I/O		03/25/2037		2,074,944
	8,500,000	Series 2008-27-B		5.50%			04/25/2038		9,481,588
	17,625,548	Series 2008-29-ZA		4.50%			04/25/2038		19,575,762
	22,551,974	Series 2008-48-BE		5.00%			06/25/2034		25,864,228
	16,604,487	Series 2008-48-SD		5.78%	# I/F I/O		06/25/2037		2,248,887
	18,946,205	Series 2008-53-LI		5.93%	# I/F I/O		07/25/2038		2,529,803
	18,220,530	Series 2008-57-SE		5.78%	# I/F I/O		02/25/2037		2,390,074
	16,111,409	Series 2008-5-MS		6.03%	# I/F I/O		02/25/2038		2,405,201
	13,392,768	Series 2008-61-SC		5.78%	# I/F I/O		07/25/2038		1,719,704
	15,086,385	Series 2008-62-SC		5.78%	# I/F I/O		07/25/2038		1,971,620
	18,541,315	Series 2008-65-SA		5.78%	# I/F I/O		08/25/2038		2,279,132
	25,000,000	Series 2008-81-LP		5.50%			09/25/2038		27,373,012
	32,112,218	Series 2009-106-EZ		4.50%			01/25/2040		35,335,611
	24,846,340	Series 2009-111-SE		6.03%	# I/F I/O		01/25/2040		2,738,591
	3,118,282	Series 2009-16-MZ		5.00%			03/25/2029		3,511,181
	51,574,153	Series 2009-42-SI		5.78%	# I/F I/O		06/25/2039		5,596,874
	23,192,679	Series 2009-42-SX		5.78%	# I/F I/O		06/25/2039		3,088,446
	19,453,244	Series 2009-47-SA		5.88%	# I/F I/O		07/25/2039		2,236,942
	9,525,759	Series 2009-48-WS		5.73%	# I/F I/O		07/25/2039		1,206,198
	34,643,465	Series 2009-49-S		6.53%	# I/F I/O		07/25/2039		5,597,965
	7,753,032	Series 2009-51-BZ		4.50%			07/25/2039		8,476,064
	4,660,364	Series 2009-54-EZ		5.00%			07/25/2039		5,492,512
	22,193,898	Series 2009-70-SA		5.58%	# I/F I/O		09/25/2039		2,711,240
	10,000,000	Series 2009-80-PM		4.50%			10/25/2039		11,322,700
	20,596,461	Series 2009-83-Z		4.50%			10/25/2039		22,539,861
	36,221,046	Series 2009-85-ES		7.01%	# I/F I/O		01/25/2036		9,299,000
	29,572,111	Series 2009-90-IB		5.50%	# I/F I/O		04/25/2037		3,949,255
	5,950,063	Series 2009-94-BC		5.00%			11/25/2039		6,801,214
	45,583,979	Series 2010-101-SA		4.26%	# I/F I/O		09/25/2040		6,536,200
	19,048,612	Series 2010-101-ZC		4.50%			09/25/2040		21,046,449
	53,806,536	Series 2010-101-ZH		4.50%			07/25/2040		60,166,415
	43,063,081	Series 2010-10-SA		6.13%	# I/F I/O		02/25/2040		5,955,017
	12,502,853	Series 2010-10-ZA		4.50%			02/25/2040		13,699,139
	15,009,010	Series 2010-111-S		5.73%	# I/F I/O		10/25/2050		1,975,475
	11,880,995	Series 2010-116-Z		4.00%			10/25/2040		12,892,288
	23,384,832	Series 2010-117-SA		4.28%	# I/F I/O		10/25/2040		2,159,545
	20,000,000	Series 2010-120-KD		4.00%			10/25/2040		21,897,420
	112,999,310	Series 2010-121-SD		4.28%	# I/F I/O		10/25/2040		11,697,609
	3,527,848	Series 2010-126-SU		52.46%	# I/F		11/25/2040		4,702,008
	7,220,713	Series 2010-126-SX		14.31%	# I/F		11/25/2040		7,602,448
	11,854,098	Series 2010-128-HZ		4.00%			11/25/2040		12,794,756
	12,097,923	Series 2010-132-Z		4.50%			11/25/2040		13,366,469
	88,008	Series 2010-137-VS		14.31%	# I/F		12/25/2040		128,817
	6,470,000	Series 2010-142-AV		4.00%			11/25/2029		6,977,467
	16,540,702	Series 2010-142-AZ		4.00%			12/25/2040		17,978,122

20 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION		RATE			MATURITY		VALUE $
		Federal National Mortgage Association, (Cont.)
$	28,954,350	Series 2010-150-ZA			4.00%			01/25/2041		31,134,338
	4,674,000	Series 2010-153-VB			4.00%			05/25/2027		5,025,756
	6,766,632	Series 2010-155-SA			9.54%	# I/F		01/25/2041		7,014,750
	56,015,735	Series 2010-16-SA			5.23%	# I/F I/O		03/25/2040		6,759,587
	3,119,915	Series 2010-21-DZ			5.00%			03/25/2040		3,646,883
	22,850,496	Series 2010-21-KS			4.73%	# I/F I/O		03/25/2040		1,999,188
	8,615,431	Series 2010-2-GS			6.23%	# I/F I/O		12/25/2049		1,073,435
	20,587,743	Series 2010-2-MS			6.03%	# I/F I/O		02/25/2050		2,920,458
	36,724,848	Series 2010-31-SA			4.78%	# I/F I/O		04/25/2040		4,155,240
	21,604,019	Series 2010-31-VZ			4.00%			04/25/2040		23,461,144
	43,497,107	Series 2010-34-PS			4.71%	# I/F I/O		04/25/2040		2,566,738
	9,776,263	Series 2010-35-ES			6.23%	# I/F I/O		04/25/2040		1,268,202
	17,996,376	Series 2010-35-SV			6.23%	# I/F I/O		04/25/2040		2,322,353
	17,456,472	Series 2010-46-MS			4.73%	# I/F I/O		05/25/2040		1,551,179
	21,587,891	Series 2010-49-ZW			4.50%			05/25/2040		23,697,395
	11,123,877	Series 2010-4-SK			6.01%	# I/F I/O		02/25/2040		2,159,070
	8,500,000	Series 2010-58-ES			11.91%	# I/F		06/25/2040		10,360,315
	29,575,649	Series 2010-59-MS			5.55%	# I/F I/O		06/25/2040		5,077,349
	71,984,494	Series 2010-59-PS			6.23%	# I/F I/O		03/25/2039		9,685,622
	39,673,486	Series 2010-59-SC			4.78%	# I/F I/O		01/25/2040		4,479,613
	8,796,789	Series 2010-60-VZ			5.00%			10/25/2039		9,605,386
	5,000,000	Series 2010-61-EL			4.50%			06/25/2040		5,449,505
	12,230,733	Series 2010-64-EZ			5.00%			06/25/2040		14,441,126
	36,057,955	Series 2010-76-ZK			4.50%			07/25/2040		40,760,723
	21,880,211	Series 2010-79-CZ			4.00%			07/25/2040		23,233,458
	32,311,793	Series 2010-79-VZ			4.50%			07/25/2040		36,550,470
	22,044,209	Series 2010-84-ZC			4.50%			08/25/2040		24,161,356
	44,088,417	Series 2010-84-ZD			4.50%			08/25/2040		48,322,713
	40,085,189	Series 2010-84-ZG			4.50%			08/25/2040		43,088,259
	11,074,635	Series 2010-90-SA			5.63%	# I/F I/O		08/25/2040		1,445,596
	6,133,801	Series 2010-94-Z			4.50%			08/25/2040		6,749,908
	11,736,432	Series 2010-99-SG			23.85%	# I/F		09/25/2040		19,478,838
	28,485,710	Series 2010-9-DS			5.08%	# I/F I/O		02/25/2040		3,191,063
	5,262,322	Series 2011-110-LS			9.64%	# I/F		11/25/2041		5,526,796
	6,961,864	Series 2011-111-EZ			5.00%			11/25/2041		8,404,453
	14,521,975	Series 2011-111-VZ			4.00%			11/25/2041		15,786,127
	3,025,770	Series 2011-11-SC			9.07%	# I/F		03/25/2041		3,076,910
	20,143,869	Series 2011-123-SC	��		9.34%	# I/F		12/25/2041		20,604,005
	51,823,033	Series 2011-127-PM			4.00%			12/25/2041		51,299,025
	1,207,154	Series 2011-14-US			7.79%	# I/F		03/25/2041		1,209,211
	29,500,000	Series 2011-16-AL			3.50%			03/25/2031		31,643,824
	38,800,000	Series 2011-17-NY			3.50%			03/25/2031		41,862,639
	13,900,243	Series 2011-17-SA			6.25%	# I/F I/O		03/25/2041		1,972,757
	10,501,493	Series 2011-18-S			9.05%	# I/F		03/25/2041		10,754,586
	11,000,000	Series 2011-25-KY			3.00%			04/25/2026		11,635,690
	11,541,564	Series 2011-27-BS			8.54%	# I/F		04/25/2041		12,838,645
	56,000,000	Series 2011-29-AL			3.50%			04/25/2031		60,063,528
	16,032,309	Series 2011-2-GZ			4.00%			02/25/2041		17,310,220
	1,546,624	Series 2011-2-SC			9.14%	# I/F		02/25/2041		1,552,790
	10,000,000	Series 2011-2-VD			4.00%			07/25/2027		10,806,485
	18,342,116	Series 2011-36-VZ			4.50%			05/25/2041		20,290,103
	26,095,767	Series 2011-37-Z			4.50%			05/25/2041		29,202,012
	7,045,852	Series 2011-38-BZ			4.00%			05/25/2041		7,532,227
	8,748,233	Series 2011-39-CB			3.00%			05/25/2026		9,277,475
	16,907,312	Series 2011-40-LZ			4.50%			05/25/2041		18,610,707
	23,281,921	Series 2011-42-MZ			4.50%			05/25/2041		25,805,087
	15,845,536	Series 2011-45-ZA			4.00%			05/25/2031		17,453,937
	25,164,346	Series 2011-45-ZB			4.50%			05/25/2041		28,200,626
	11,000,000	Series 2011-48-SC			8.77%	# I/F		06/25/2041		12,643,812
	45,145,656	Series 2011-58-SA			6.33%	# I/F I/O		07/25/2041		9,473,644
	15,694,271	Series 2011-59-MA			4.50%			07/25/2041		17,081,966
	13,969,748	Series 2011-60-EL			3.00%			07/25/2026		14,809,972
	15,767,755	Series 2011-63-ZE			4.00%			08/25/2038		16,719,734
	136,491,695	Series 2011-64-DB			4.00%			07/25/2041		145,548,192
	21,322,276	Series 2011-72-LZ			5.50%			04/25/2037		25,693,182
	12,000,000	Series 2011-74-KL			5.00%			06/25/2040		14,183,550
	13,880,518	Series 2011-77-CZ			4.00%			08/25/2041		14,029,615
	21,748,471	Series 2011-77-Z			3.50%			08/25/2041		22,297,881
	4,730,394	Series 2011-87-US			13.26%	# I/F		09/25/2041		4,875,811
	21,787,531	Series 2011-8-AV			4.00%			01/25/2030		23,780,698
	409,746	Series 2011-8-HS			9.17%	# I/F		02/25/2041		413,353
	94,604,571	Series 2011-99-DZ			5.00%			10/25/2041		113,702,585
	10,331,420	Series 2012-104-Z			3.50%			09/25/2042		10,494,692
	8,700,328	Series 2012-14-BZ			4.00%			03/25/2042		9,261,538
	18,860,086	Series 2012-15-PZ			4.00%			03/25/2042		20,908,018
	15,308,943	Series 2012-20-ZT			3.50%			03/25/2042		15,699,895

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Federal National Mortgage Association, (Cont.)
$	45,907,533	Series 2012-30-DZ		4.00%			04/25/2042		51,048,052
	37,746,194	Series 2012-31-Z		4.00%			04/25/2042		40,205,264
	42,408,367	Series 2012-63-EB		2.00%			08/25/2040		43,161,137
	27,118,872	Series 2012-74-Z		4.00%			07/25/2042		29,922,068
	20,326,052	Series 2012-86-ZC		3.50%			08/25/2042		20,756,395
	28,319,515	Series 2012-96-VZ		3.50%			09/25/2042		28,850,266
	79,112,222	Series 2012-98-BG		4.50%			08/25/2040		89,145,511
	122,744,273	Series 2012-99-QE		3.00%			09/25/2042		127,398,183
	14,000,000	Series 247		3.00%			10/01/2032		14,830,156
	48,943,077	Series 400-S4		5.23%	# I/F I/O		11/25/2039		5,837,750
	188,812,043	Series 412-A3		3.00%			08/25/2042		199,329,410
		Federal National Mortgage Association Pass-Thru,
	57,672,859	Pool 555743		5.00%			09/01/2033		63,391,224
	61,215,039	Pool 735141		5.50%			01/01/2035		67,598,210
	22,034,272	Pool 735230		5.50%			02/01/2035		24,331,886
	42,918,907	Pool 735382		5.00%			04/01/2035		46,912,854
	70,517,068	Pool 735402		5.00%			04/01/2035		77,501,474
	51,683,495	Pool 735484		5.00%			05/01/2035		56,640,576
	18,281,919	Pool 735667		5.00%			07/01/2035		20,093,224
	17,622,232	Pool 735893		5.00%			10/01/2035		19,313,952
	44,289,732	Pool 745275		5.00%			02/01/2036		48,505,888
	6,387,994	Pool 745571		4.00%			01/01/2019		6,850,553
	2,249,041	Pool 888695		5.00%			08/01/2037		2,456,224
	7,025,093	Pool 888968		5.00%			08/01/2035		7,678,835
	26,490,598	Pool 889509		6.00%			05/01/2038		29,324,146
	76,603,724	Pool 889662		6.00%			06/01/2038		84,630,016
	90,687,571	Pool 890385		6.00%			12/01/2039		100,387,903
	13,075,818	Pool 929321		5.50%			03/01/2038		14,341,224
	3,982,479	Pool 931104		5.00%			05/01/2039		4,342,121
	8,253,128	Pool 961410		6.00%			01/01/2038		9,135,918
	2,299,997	Pool 975116		5.00%			05/01/2038		2,509,717
	17,872,640	Pool 982036		6.00%			05/01/2038		19,745,278
	36,285,281	Pool 985190		6.00%			08/01/2038		40,087,136
	9,927,294	Pool 986864		6.50%			08/01/2038		11,255,025
	12,834,613	Pool 987316		6.50%			09/01/2038		14,564,421
	104,097,207	Pool 995023		5.50%			08/01/2037		114,821,775
	38,420,528	Pool 995070		5.50%			08/01/2037		42,426,811
	141,265,560	Pool 995112		5.50%			07/01/2036		155,995,963
	73,637,946	Pool 995203		5.00%			07/01/2035		80,933,768
	9,518,815	Pool 995581		6.00%			01/01/2039		10,528,038
	124,635,885	Pool 995849		5.00%			08/01/2036		136,993,750
	70,326,098	Pool AB2123		4.00%			01/01/2031		76,349,343
	2,476,610	Pool AB2370		4.50%			09/01/2035		2,628,054
	11,577,865	Pool AB3713		4.00%			10/01/2031		12,569,479
	30,739,546	Pool AB3850		4.00%			11/01/2041		32,488,545
	64,995,786	Pool AB3923		4.00%			11/01/2041		68,693,876
	19,817,882	Pool AB5084		3.50%			05/01/2032		21,348,460
	33,640,240	Pool AB5156		3.50%			05/01/2032		36,238,347
	57,709,936	Pool AB5212		3.50%			05/01/2032		62,166,998
	34,602,521	Pool AB5243		4.00%			05/01/2042		36,571,313
	2,740,747	Pool AC1032		5.00%			06/01/2040		2,915,714
	161,831,933	Pool AD0189		5.50%			02/01/2039		178,504,595
	60,375,753	Pool AD0500		5.50%			09/01/2036		67,011,021
	3,647,582	Pool AD2177		4.50%			06/01/2030		3,974,358
	5,926,785	Pool AD6438		5.00%			06/01/2040		6,525,445
	495,861	Pool AD7018		5.00%			04/01/2040		527,516
	3,564,273	Pool AD7859		5.00%			06/01/2040		3,998,430
	13,043,484	Pool AH1140		4.50%			12/01/2040		13,841,088
	38,560,607	Pool AH4437		4.00%			01/01/2041		40,754,604
	7,427,025	Pool AH7309		4.00%			02/01/2031		8,063,130
	43,377,550	Pool AH9323		4.00%			04/01/2026		46,437,216
	16,565,989	Pool AI8889		4.00%			08/01/2041		17,508,550
	36,688,023	Pool AI9831		4.00%			09/01/2041		38,775,475
	16,499,158	Pool AJ1265		4.00%			09/01/2041		17,437,917
	22,309,714	Pool AJ1399		4.00%			09/01/2041		23,579,078
	78,501,129	Pool AJ1467		4.00%			10/01/2041		82,967,637
	31,413,309	Pool AJ3392		4.00%			10/01/2041		33,200,644
	25,302,956	Pool AJ3854		4.00%			10/01/2041		26,742,628
	169,772,628	Pool AJ4118		4.00%			11/01/2041		179,432,244
	55,857,561	Pool AJ4131		4.00%			10/01/2041		59,035,710
	20,438,286	Pool AJ5172		4.00%			11/01/2041		21,601,170
	83,148,188	Pool AJ7677		3.50%			12/01/2041		87,257,342
	20,282,967	Pool AJ8334		4.00%			12/01/2041		21,437,014
	40,739,181	Pool AK4039		4.00%			02/01/2042		43,057,134
	29,016,980	Pool AK4763		4.00%			02/01/2042		30,667,970

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 21

Schedule of Investments  DoubleLine Total Return Bond Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Federal National Mortgage Association Pass-Thru, (Cont.)
$	37,517,912	Pool AK9438		4.00%			03/01/2042		39,652,582
	52,596,682	Pool AK9439		4.00%			03/01/2042		55,589,295
	8,864,775	Pool AK9446		4.50%			03/01/2042		9,406,852
	52,037,269	Pool AL1485		6.00%			01/01/2040		57,603,398
	26,865,732	Pool AL1548		6.00%			07/01/2039		29,928,306
	55,517,006	Pool AL1554		6.00%			01/01/2040		61,455,343
	118,197,348	Pool AL1690		6.00%			05/01/2041		130,840,243
	117,559,407	Pool AL1691		6.00%			06/01/2041		130,134,065
	174,868,765	Pool AL1744		6.00%			10/01/2040		193,573,479
	56,725,235	Pool AL1745		6.00%			03/01/2040		62,792,810
	56,689,759	Pool AL1793		6.00%			01/01/2041		62,753,539
	151,809,787	Pool AO2980		4.00%			05/01/2042		160,447,364
	150,000,000	Pool AP4787		3.50%			09/01/2042		157,412,946
	158,936,000	Pool AP4789		3.50%			09/01/2042		166,790,560
	12,670,611	Pool MA0264		4.50%			12/01/2029		13,750,300
	496,315	Pool MA0315		4.50%			01/01/2025		521,009
	49,464,151	Pool MA0353		4.50%			03/01/2030		53,812,649
	11,366,645	Pool MA0406		4.50%			05/01/2030		12,335,220
	1,288,663	Pool MA0445		5.00%			06/01/2040		1,370,931
	4,157,234	Pool MA0459		4.00%			07/01/2020		4,449,168
	4,440,822	Pool MA0468		5.00%			07/01/2040		4,724,320
	13,244,966	Pool MA0502		4.00%			08/01/2020		14,175,070
	5,837,254	Pool MA0517		4.00%			09/01/2020		6,253,002
	14,745,066	Pool MA0534		4.00%			10/01/2030		16,007,943
	32,377,402	Pool MA0536		4.00%			10/01/2020		34,651,047
	39,376,109	Pool MA0580		4.00%			11/01/2020		42,141,226
	2,802,393	Pool MA0587		4.00%			12/01/2030		3,042,410
	66,630,447	Pool MA0616		4.00%			01/01/2031		72,337,169
	38,767,370	Pool MA0871		4.00%			10/01/2041		40,973,132
	46,176,546	Pool MA0896		4.00%			11/01/2041		48,803,870
	410,402,504	Pool MA0919		3.50%			12/01/2031		442,098,768
	174,851,310	Pool MA0949		3.50%			01/01/2032		188,355,451
	191,081,573	Pool MA0976		3.50%			02/01/2032		205,839,212
	89,398,796	Pool MA1010		3.50%			03/01/2032		96,303,257
	35,913,133	Pool MA1039		3.50%			04/01/2042		37,687,947
	109,584,322	Pool MA1059		3.50%			05/01/2032		118,047,753
	21,536,783	Pool MA1068		3.50%			05/01/2042		22,601,123
	240,942,947	Pool MA1084		3.50%			06/01/2032		259,551,486
	53,141,007	Pool MA1093		3.50%			06/01/2042		55,767,217
	65,623,638	Pool MA1094		4.00%			06/01/2042		69,357,450
	38,224,552	Pool MA1107		3.50%			07/01/2032		41,176,716
	477,765,280	Pool MA1117		3.50%			07/01/2042		501,376,269
	499,419,782	Pool MA1136		3.50%			08/01/2042		524,105,922
	91,454,667	Pool MA1138		3.50%			08/01/2032		98,517,906
	133,618,465	Pool MA1179		3.50%			09/01/2042		140,221,841
	73,000,000	Pool MA1200		3.00%			10/01/2032		77,597,533
	18,000,000	Pool MA1201		3.50%			10/01/2032		19,390,179
	208,751,556	Pool MA1209		3.50%			10/01/2042		219,068,042
	34,618,462	Pool MA3894		4.00%			09/01/2031		37,583,442
		Government National Mortgage Association,
	14,700,000	Series 2003-67-SP		6.88%	# I/F I/O		08/20/2033		5,212,354
	14,667,245	Series 2003-86-ZK		5.00%			10/20/2033		17,046,668
	5,898,514	Series 2004-49-Z		6.00%			06/20/2034		7,067,691
	6,500,000	Series 2004-80-PH		5.00%			07/20/2034		7,355,046
	23,981,842	Series 2004-83-CS		5.86%	# I/F I/O		10/20/2034		3,658,135
	2,907,717	Series 2005-21-Z		5.00%			03/20/2035		3,422,542
	19,031,425	Series 2005-39-ZB		5.00%			07/20/2034		22,465,227
	1,569,068	Series 2006-24-CX		38.36%	# I/F		05/20/2036		3,484,401
	43,752,037	Series 2007-26-SJ		4.47%	# I/F I/O		04/20/2037		4,568,054
	16,127,861	Series 2008-2-SM		6.28%	# I/F I/O		01/16/2038		2,886,423
	32,247,114	Series 2008-42-AI		7.47%	# I/F I/O		05/16/2038		6,667,500
	15,969,497	Series 2008-43-SH		6.12%	# I/F I/O		05/20/2038		2,447,118
	17,839,180	Series 2008-51-SC		6.03%	# I/F I/O		06/20/2038		2,763,803
	10,175,429	Series 2008-51-SE		6.03%	# I/F I/O		06/16/2038		1,887,704
	7,034,223	Series 2008-82-SM		5.83%	# I/F I/O		09/20/2038		1,135,516
	9,544,303	Series 2008-83-SD		6.34%	# I/F I/O		11/16/2036		1,813,416
	18,191,818	Series 2009-10-NS		6.43%	# I/F I/O		02/16/2039		4,264,173
	12,500,000	Series 2009-24-SN		5.88%	# I/F I/O		09/20/2038		1,846,235
	25,553,183	Series 2009-32-ZE		4.50%			05/16/2039		28,501,842
	63,882,959	Series 2009-35-DZ		4.50%			05/20/2039		72,678,109
	3,807,393	Series 2009-41-ZQ		4.50%			06/16/2039		3,883,412
	14,700,640	Series 2009-48-Z		5.00%			06/16/2039		17,002,922
	7,658,646	Series 2009-50-KP		4.50%			06/20/2039		8,362,782
	17,747,019	Series 2009-69-TS		5.98%	# I/F I/O		04/16/2039		2,544,715
	9,153,983	Series 2009-75-GZ		4.50%			09/20/2039		10,381,079

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Government National Mortgage Association, (Cont.)
$	27,353,438	Series 2009-87-IG		6.52%	# I/F I/O		03/20/2037		3,788,908
	14,854,069	Series 2010-166-SJ		9.34%	# I/F		12/20/2040		15,658,908
	56,828,483	Series 2010-1-SA		5.53%	# I/F I/O		01/16/2040		7,966,313
	7,194,404	Series 2010-25-ZB		4.50%			02/16/2040		7,423,614
	12,767,000	Series 2010-42-AY		5.00%			11/20/2039		14,833,198
	29,803,670	Series 2010-42-ES		5.46%	# I/F I/O		04/20/2040		5,308,305
	12,050,443	Series 2010-61-AS		6.33%	# I/F I/O		09/20/2039		1,830,602
	90,417,304	Series 2010-62-SB		5.53%	# I/F I/O		05/20/2040		13,122,526
	7,534,963	Series 2010-62-ZG		5.50%			05/16/2040		9,266,871
	10,325,097	Series 2011-12-PO		0.00%	P/O		12/20/2040		9,593,197
	6,341,253	Series 2011-14-SM		9.26%	# I/F		08/16/2040		6,623,669
	7,833,334	Series 2011-18-SN		9.06%	# I/F		12/20/2040		9,538,045
	8,333,334	Series 2011-18-YS		9.06%	# I/F		12/20/2040		10,147,182
	10,656,988	Series 2011-51-UZ		4.50%			04/20/2041		12,079,542
	14,789,196	Series 2011-69-OC		0.00%	P/O		05/20/2041		13,656,242
	125,989,466	Series 2011-69-SB		5.13%	# I/F I/O		05/20/2041		17,426,031
	22,154,854	Series 2011-71-ZA		4.50%			02/20/2041		25,239,197
	48,150,941	Series 2011-72-AS		5.16%	# I/F I/O		05/20/2041		6,387,523
	38,168,154	Series 2011-72-SK		5.93%	# I/F I/O		05/20/2041		5,658,005
	44,573,254	Series 2012-105-SE		5.98%	# I/F I/O		01/20/2041		7,221,790
		Total US Government / Agency Mortgage Backed Obligations (Cost $15,241,012,197)							15,962,170,340
	SHORT TERM INVESTMENTS 19.0%
	187,900,000	Fannie Mae Discount Note		0.00%			12/26/2012		187,886,471
	80,000,000	Federal Farm Credit Banks		1.88%			12/07/2012		80,255,040
	30,000,000	Federal Farm Credit Discount Note		0.00%			11/27/2012		29,994,775
	17,482,500	Federal Home Loan Banks		0.35%			10/03/2012		17,482,693
	25,000,000	Federal Home Loan Banks		0.24%			10/10/2012		25,000,525
	50,000,000	Federal Home Loan Banks		0.16%			10/19/2012		49,999,434
	50,000,000	Federal Home Loan Banks		0.20%			10/30/2012		50,001,800
	20,000,000	Federal Home Loan Banks		0.23%			10/30/2012		20,001,700
	69,000,000	Federal Home Loan Banks		0.13%			11/07/2012		68,997,930
	57,165,000	Federal Home Loan Banks		4.50%			11/15/2012		57,462,601
	50,000,000	Federal Home Loan Banks		0.21%			11/16/2012		50,003,450
	125,000,000	Federal Home Loan Banks		0.20%			11/19/2012		125,007,500
	256,000,000	Federal Home Loan Banks		1.63%			11/21/2012		256,522,240
	50,000,000	Federal Home Loan Banks		0.15%			11/26/2012		49,999,674
	150,000,000	Federal Home Loan Banks		0.18%			11/28/2012		150,005,850
	50,000,000	Federal Home Loan Banks		0.19%			11/28/2012		50,002,750
	30,000,000	Federal Home Loan Banks		0.20%			11/29/2012		30,002,160
	100,000,000	Federal Home Loan Banks		0.20%			12/06/2012		100,008,100
	250,000,000	Federal Home Loan Banks		1.75%			12/14/2012		250,782,250
	200,000,000	Federal Home Loan Banks		0.18%			12/27/2012		200,012,000
	150,000,000	Federal Home Loan Discount Note		0.00%			10/02/2012		149,999,514
	50,000,000	Federal Home Loan Discount Note		0.00%			10/03/2012		49,999,708

22 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE		MATURITY		VALUE $
$	100,000,000	Federal Home Loan Discount Note		0.00%		10/10/2012		99,997,000
	65,000,000	Federal Home Loan Discount Note		0.00%		10/17/2012		64,997,400
	150,000,000	Federal Home Loan Discount Note		0.00%		10/19/2012		149,993,250
	25,000,000	Federal Home Loan Discount Note		0.00%		10/22/2012		24,998,031
	184,000,000	Federal Home Loan Discount Note		0.00%		10/26/2012		183,983,056
	25,000,000	Federal Home Loan Discount Note		0.00%		10/30/2012		24,996,979
	175,000,000	Federal Home Loan Discount Note		0.00%		11/02/2012		174,983,556
	81,000,000	Federal Home Loan Discount Note		0.00%		11/14/2012		80,988,560
	150,000,000	Federal Home Loan Discount Note		0.00%		11/16/2012		149,976,361
	25,000,000	Federal Home Loan Discount Note		0.00%		12/04/2012		24,998,675
	12,100,000	Federal Home Loan Discount Note		0.00%		12/26/2012		12,099,129
	150,000,000	Federal Home Loan Mortgage Corporation		0.38%		11/30/2012		150,073,650
	210,000,000	Federal Home Loan Mortgage Corporation		4.13%		12/21/2012		211,846,530
	100,000,000	Federal Home Loan Mortgage Corporation		0.91%		12/26/2012		100,182,900
	100,000,000	Federal Home Loan Mortgage Corporation		1.10%		12/27/2012		100,230,400
	225,000,000	Federal Home Loan Mortgage Corporation		0.63%		12/28/2012		225,266,175
	150,000,000	Federal Home Loan Mortgage Corporation		0.75%		12/28/2012		150,222,750

PRINCIPAL AMOUNT/ SHARES		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	100,000,000	Federal Home Loan Mortgage Corporation		0.85%			12/28/2012		100,172,700
	102,855,000	Federal Home Loan Mortgage Corporation		7.87%			10/31/2012		103,485,707
	163,775,000	Federal National Mortgage Association		0.50%			10/30/2012		163,823,150
	65,000,000	Federal National Mortgage Association		0.50%			10/30/2012		65,013,845
	370,665,000	Federal National Mortgage Association		0.24%	#		11/23/2012		370,750,253
	150,000,000	Federal National Mortgage Association		1.00%			12/27/2012		150,309,750
	448,000,000	Federal National Mortgage Association		0.38%			12/28/2012		448,335,552
	762,034,352	Fidelity Institutional Government Portfolio		0.01%	¨				762,034,352
	100,000,000	Freddie Mac Discount Note		0.00%			10/02/2012		99,999,694
	25,000,000	Freddie Mac Discount Note		0.00%			11/19/2012		24,994,556
	25,000,000	Freddie Mac Discount Note		0.00%			12/11/2012		24,998,525
	50,000,000	Freddie Mac Discount Note		0.00%			12/28/2012		49,996,350
		Total Short Term Investments (Cost $6,342,875,118)							6,343,177,001
		Total Investments 101.7% (Cost $32,773,890,366)							33,911,326,377
		Liabilities in Excess of Other Assets (1.7)%							(564,888,092	)
		NET ASSETS 100.0%						$	33,346,438,285

PORTFOLIO HOLDINGS as % of Net Assets
US Government / Agency Mortgage Backed Obligations	47.9%
Non-Agency Residential Collateralized Mortgage Obligations	29.6%
Short Term Investments	19.0%
Non-Agency Commercial Mortgage-Backed Obligations	4.5%
Collateralized Loan Obligations	0.7%
Other Assets and Liabilities	(1.7)%
	100.0%

# Variable rate security. Rate disclosed as of September 30, 2012.

^ Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional buyers. These securities are determined to be liquid by the Adviser, unless otherwise noted, under procedures established by the Fund’s Board of Trustees. At September 30, 2012, the value of these securities amounted to $2,493,618,472 or 7.5% of net assets.

I/O Interest only security.

I/F Inverse floating rate security whose interest rate moves in the opposite direction of prevailing interest rates.

P/O Principal only security.

¨ Seven-day yield as of September 30, 2012.

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 23

Schedule of Investments  DoubleLine Core Fixed Income Fund

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	COLLATERALIZED LOAN OBLIGATIONS 0.0%
		N-Star Real Estate Ltd.,
$	364,826	Series 2004-2A-A1		0.57%	#^		06/28/2039		361,178
		Total Collateralized Loan Obligations (Cost $348,409)							361,178
	FOREIGN CORPORATE BONDS 12.1%
	4,000,000	Abu Dhabi National Energy Company		5.88%			12/13/2021		4,645,000
	1,000,000	Abu Dhabi National Energy Company		5.88%	^		12/13/2021		1,161,250
	700,000	AES Andres Dominicana Ltd.		9.50%	^		11/12/2020		763,000
	3,200,000	AES Andres Dominicana Ltd.		9.50%			11/12/2020		3,488,000
	2,000,000	AES Gener S.A.		7.50%			03/25/2014		2,164,682
	275,000	AES Panama S.A.		6.35%			12/21/2016		303,188
	1,600,000	AK Transneft OJSC		5.67%			03/05/2014		1,700,800
	4,700,000	Alfa Invest Ltd.		9.25%			06/24/2013		4,923,250
	2,200,000	AngloGold Holdings PLC		5.13%			08/01/2022		2,244,625
	490,000	AngloGold Holdings PLC		6.50%			04/15/2040		496,489
	10,575,000	Australia and New Zealand Banking Group Ltd.		4.88%	^		01/12/2021		12,177,863
	1,500,000	Axiata SPV1 Labuan Ltd.		5.38%			04/28/2020		1,688,982
	3,400,000	Banco Bradesco S.A.		5.75%	^		03/01/2022		3,629,500
	2,100,000	Banco de Bogota S.A.		5.00%	^		01/15/2017		2,226,000
	780,000	Banco de Chile		6.25%			06/15/2016		873,110
	1,400,000	Banco de Credito del Peru		4.75%			03/16/2016		1,484,000
	350,000	Banco de Credito del Peru		9.75%	#		11/06/2069		423,500
	503,000	Banco de Credito del Peru		9.75%	#^		11/06/2069		608,630
	7,000,000	Banco de Credito e Inversiones		3.00%	^		09/13/2017		7,007,210
	4,650,000	Banco do Brasil S.A.		8.50%	#		04/20/2021		5,551,170
	695,000	Banco Internacional del Peru		8.50%	#		04/23/2070		736,700
	1,950,000	Banco Latinoamericano de Comercio Exterior S.A.		3.75%	^		04/04/2017		2,028,000
	1,000,000	Banco Mercantil del Norte		4.38%			07/19/2015		1,065,000
	1,750,000	Banco Mercantil del Norte		6.86%	#		10/13/2021		1,903,125
	650,000	Bancolombia S.A.		4.25%			01/12/2016		677,625
	100,000	Bombardier, Inc.		5.75%	^		03/15/2022		103,000
	4,462,000	BP Capital Markets PLC		4.75%			03/10/2019		5,190,149
	9,163,000	British Telecommunications PLC		5.95%			01/15/2018		10,985,585
	100,000	BTA Bank		10.75%	(a)		07/01/2018		19,500
	5,100,000	CCL Finance Ltd.		9.50%			08/15/2014		5,756,625
	700,000	Celulosa Arauco y Constitucion S.A.		7.25%			07/29/2019		843,797
	500,000	Celulosa Arauco y Constitucion S.A.		5.00%			01/21/2021		530,364
	3,200,000	Celulosa Arauco y Constitucion S.A.		4.75%			01/11/2022		3,357,498
	1,500,000	Cemex Finance LLC		9.50%			12/14/2016		1,556,250
	2,500,000	CNPC General Capital Ltd.		2.75%			04/19/2017		2,591,313
	1,100,000	CNPC General Capital Ltd.		3.95%	^		04/19/2022		1,175,600
	800,000	Corporacion Financiera de Desarrollo S.A.		4.75%	^		02/08/2022		886,000
	2,000,000	Corporacion Lindley S.A.		6.75%	^		11/23/2021		2,255,000
	700,000	Corporacion Lindley S.A.		6.75%			11/23/2021		789,250
	1,530,000	Corporacion Nacional del Cobre de Chile		4.75%			10/15/2014		1,638,127
	4,000,000	Corporacion Nacional del Cobre de Chile		3.88%			11/03/2021		4,367,044
	1,000,000	Corporacion Nacional del Cobre de Chile		3.00%	^		07/17/2022		1,010,347
	2,344,000	Corporacion Pesquera Inca S.A.C.		9.00%			02/10/2017		2,543,240
	2,013,000	Covidien International Finance S.A.		2.80%			06/15/2015		2,119,590
	5,450,000	Covidien International Finance S.A.		6.00%			10/15/2017		6,706,923
	5,800,000	DBS Bank Ltd.		5.00%	#		11/15/2019		6,155,859

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	500,000	DBS Bank Ltd.		3.63%	#^		09/21/2022		515,020
	1,936,000	Deutsche Telekom International Finance B.V.		8.75%	#		06/15/2030		2,919,697
	5,550,000	Diageo Capital PLC		1.50%			05/11/2017		5,652,675
	3,601,800	Dolphin Energy Ltd.		5.89%			06/15/2019		4,097,048
	1,600,000	Dolphin Energy Ltd.		5.50%	^		12/15/2021		1,854,400
	4,195,000	EGE Haina Finance Company		9.50%			04/26/2017		4,425,725
	2,900,000	Embraer Overseas Ltd.		6.38%			01/24/2017		3,306,000
	1,500,000	Embraer Overseas Ltd.		6.38%			01/15/2020		1,732,500
	350,000	Empresas ICA S.A.B. de C.V.		8.38%			07/24/2017		365,750
	1,200,000	Empresas ICA S.A.B. de C.V.		8.38%	^		07/24/2017		1,254,000
	3,580,000	Empresas ICA S.A.B. de C.V.		8.90%			02/04/2021		3,776,900
	5,250,000	France Telecom S.A.		2.75%			09/14/2016		5,513,576
	3,000,000	Freeport-McMoRan Copper & Gold, Inc.		2.15%			03/01/2017		3,037,041
	7,000,000	Gaz Capital S.A.		8.13%			07/31/2014		7,738,570
	5,600,000	Gazprombank OJSC		7.93%			06/28/2013		5,866,000
	5,325,000	Globo Communicacao e Participacoes S.A.		6.25%	#		07/20/2015		5,804,250
	500,000	Globo Communicacao e Participacoes S.A.		5.31%	#^		05/11/2022		548,750
	1,500,000	GRUMA S.A.B. de C.V.		7.75%			12/29/2041		1,541,250
	600,000	Grupo Aval Ltd.		5.25%			02/01/2017		640,500
	2,100,000	Grupo Aval Ltd.		5.25%	^		02/01/2017		2,241,750
	3,000,000	Grupo Aval Ltd.		4.75%	^		09/26/2022		2,962,500
	4,300,000	Grupo KUO S.A.B. de C.V.		9.75%			10/17/2017		4,601,000
	2,400,000	Hongkong Electric Finance Ltd.		4.25%			12/14/2020		2,637,278
	3,280,698	IIRSA Norte Finance Ltd.		8.75%			05/30/2024		4,068,066
	600,000	Industry & Construction Bank		5.01%	#		09/29/2015		600,000
	400,000	Inkia Energy Ltd.		8.38%	^		04/04/2021		440,000
	1,100,000	Inkia Energy Ltd.		8.38%			04/04/2021		1,210,000
	2,700,000	Instituto Costarricense de Electricidad		6.95%	^		11/10/2021		3,010,500
	2,300,000	Instituto Costarricense de Electricidad		6.95%			11/10/2021		2,564,500
	500,000	Intercorp Retail Trust		8.88%	^		11/14/2018		557,500
	1,400,000	Inversiones CMPC S.A.		4.88%			06/18/2013		1,429,733
	200,000	Inversiones CMPC S.A.		4.75%			01/19/2018		215,153
	800,000	Inversiones CMPC S.A.		4.75%	^		01/19/2018		860,614
	250,000	Inversiones CMPC S.A.		4.75%			01/19/2018		268,942
	1,600,000	Inversiones CMPC S.A.		6.13%			11/05/2019		1,843,958
	2,700,000	Inversiones CMPC S.A.		4.50%	^		04/25/2022		2,818,301
	575,000	IOI Ventures BHD		5.25%			03/16/2015		613,086
	5,100,000	Itau Unibanco Holding S.A.		5.65%			03/19/2022		5,355,000
	500,000	Ixe Banco S.A.		9.25%			10/14/2020		595,000
	200,000	Ixe Banco S.A.		9.75%			12/29/2041		204,250
	8,100,000	Korea Development Bank		4.38%			08/10/2015		8,794,089
	3,800,000	Korea Development Bank		4.00%			09/09/2016		4,141,198
	900,000	Kuznetski Capital S.A.		5.97%	#		11/25/2015		932,400
	3,800,000	Mexichem S.A.B. de C.V.		4.88%	^		09/19/2022		3,866,500
	2,200,000	Minerva Luxembourg S.A.		12.25%	^		02/10/2022		2,549,140
	200,000	Minerva Overseas II Ltd.		10.88%			11/15/2019		223,000
	2,399,220	Nakilat, Inc.		6.27%			12/31/2033		2,850,873
	1,650,000	NET Servicos de Comunicacao S.A.		7.50%			01/27/2020		1,924,313
	6,800,000	Oversea-Chinese Banking Corporation		4.25%	#		11/18/2019		7,086,980
	1,900,000	Pacific Rubiales Energy Corporation		7.25%			12/12/2021		2,242,000
	3,800,000	Pacific Rubiales Energy Corporation		7.25%	^		12/12/2021		4,484,000
	10,450,000	Pemex Project Funding Master Trust		6.63%			06/15/2035		13,167,000
	300,000	Petroleos Mexicanos		4.88%			03/15/2015		323,250
	500,000	Petroleos Mexicanos		6.63%			09/28/2015		528,750
	4,026,000	Pohang Iron and Steel Company		4.25%	^		10/28/2020		4,291,414

24 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	1,260,000	Pohang Iron and Steel Company		5.25%	^		04/14/2021		1,440,162
	1,800,000	Prime Holdings Labuan Ltd.		5.38%			09/22/2014		1,906,043
	2,050,000	PTTEP Australia International Finance Ltd.		4.15%			07/19/2015		2,170,405
	3,200,000	Qtel International Finance Ltd.		3.38%			10/14/2016		3,356,800
	600,000	Raizen Energy Finance Ltd.		7.00%			02/01/2017		691,500
	2,432,375	Ras Laffan Liquefied Natural Gas Company		5.30%			09/30/2020		2,748,584
	1,800,000	Ras Laffan Liquefied Natural Gas Company		5.84%			09/30/2027		2,097,000
	1,450,000	Reliance Holdings USA, Inc.		5.40%	^		02/14/2022		1,547,370
	2,825,000	Royal KPN N.V.		8.38%			10/01/2030		3,788,285
	750,000	RSHB Capital S.A.		7.13%			01/14/2014		795,450
	500,000	Sociedad Quimica y Minera S.A.		5.50%			04/21/2020		567,027
	1,400,000	Telefonos de Mexico S.A.B.		5.50%			01/27/2015		1,551,855
	1,144,727	Tengizchevroil Finance Corporation		6.12%			11/15/2014		1,204,825
	1,200,000	Transnet Limited		4.50%			02/10/2016		1,275,618
	600,000	Transnet Limited		4.00%	^		07/26/2022		611,400
	4,900,000	Transocean, Inc.		6.00%			03/15/2018		5,728,654
	200,000	Transportadora de Gas Internacional S.A.		5.70%			03/20/2022		216,000
	5,000,000	United Overseas Bank Ltd.		5.38%	#		09/03/2019		5,309,725
	3,000,000	VIP Finance Ltd.		8.38%			04/30/2013		3,113,970
	2,700,000	Virgolino De Oliveira Finance Ltd.		11.75%	^		02/09/2022		2,700,000
	4,300,000	VTB Capital S.A.		6.88%			05/29/2018		4,638,840
	100,000	WPE International Cooperatief U.A.		10.38%	^		09/30/2020		86,000
	3,100,000	WPE International Cooperatief U.A.		10.38%			09/30/2020		2,666,000
		Total Foreign Corporate Bonds (Cost $317,586,111)							331,854,963
	FOREIGN GOVERNMENT BONDS AND NOTES, SUPRANATIONALS AND FOREIGN AGENCIES 2.1%
	190,000	Colombia Government International Bond		8.70%			02/15/2016		231,135
	10,540,000	Corporacion Andina de Fomento		3.75%			01/15/2016		11,103,089
	4,304,000	Costa Rica Government International Bond		6.55%			03/20/2014		4,540,720
	9,840,000	Mexico Government International Bond		5.63%			01/15/2017		11,552,160
	2,700,000	Panama Government International Bond		7.25%			03/15/2015		3,098,250
	4,995,000	Penerbangan BHD		5.63%			03/15/2016		5,659,520
	1,400,000	State of Qatar		4.00%			01/20/2015		1,489,600
	6,300,000	State of Qatar		4.50%			01/20/2022		7,150,500
	2,000,000	State of Qatar		4.50%	^		01/20/2022		2,270,000
	1,500,000	Wakala Global Sukuk BHD		2.99%			07/06/2016		1,573,060
	7,300,000	Wakala Global Sukuk BHD		4.65%			07/06/2021		8,461,963
		Total Foreign Government Bonds and Notes, Supranationals and Foreign Agencies (Cost $54,848,542)							57,129,997

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	NON-AGENCY COMMERCIAL MORTGAGE-BACKED OBLIGATIONS 4.4%
		Banc of America Commercial Mortgage, Inc.,
$	250,000	Series 2001-3-H		6.56%	^		04/11/2037		250,988
	400,000	Series 2007-1-A4		5.45%			01/15/2049		464,437
	2,500,000	Series 2007-2-AM		5.81%	#		04/10/2049		2,688,264
		Banc of America Re-Remic Trust,
	500,000	Series 2012-CLRN-B		1.84%	#^		08/15/2029		503,100
	1,400,000	Series 2012-CLRN-D		2.94%	#^		08/15/2029		1,408,680
		Bear Stearns Commercial Mortgage Securities, Inc.,
	308,398	Series 2001-TOP2-C		6.83%	#		02/15/2035		311,229
	1,000,000	Series 2005-T18-AJ		5.01%	#		02/13/2042		1,066,532
	375,000	Series 2006-PW13-AM		5.58%	#		09/11/2041		418,239
	325,000	Series 2006-TOP24-AM		5.57%	#		10/12/2041		365,415
	2,750,000	Series 2007-PW16-AM		5.91%	#		06/11/2040		3,018,036
	2,500,000	Series 2007-PW17-AM		5.92%	#		06/11/2050		2,755,055
		CD Commercial Mortgage Trust,
	617,000	Series 2006-CD3-AM		5.65%			10/15/2048		657,997
	1,166,000	Series 2007-CD4-A4		5.32%			12/11/2049		1,335,053
	363,387	Series 2007-CD4-ASB		5.28%			12/11/2049		383,256
	112,949,858	Series 2007-CD5-XP		0.31%	#^ I/O		11/15/2044		468,968
		Citigroup Commercial Mortgage Trust,
	700,000	Series 2005-C3-AM		4.83%	#		05/15/2043		746,602
	2,000,000	Series 2007-C6-AM		5.89%	#		12/10/2049		2,185,933
	4,000,000	Series 2008-C7-AM		6.06%	#		12/10/2049		4,377,252
	12,000,000	Series 2012-GC8-XA		2.27%	#^ I/O		09/10/2045		1,623,748
		COBALT Commercial Mortgage Trust,
	2,500,000	Series 2007-C2-AMFX		5.53%	#		04/15/2047		2,635,514
		Commercial Mortgage Acceptance Corporation,
	524,833	Series 1998-C2-F		5.44%	^		09/15/2030		540,017
		Commercial Mortgage Asset Trust,
	150,000	Series 1999-C1-B		7.23%	#		01/17/2032		156,048
		Commercial Mortgage Pass-Through Certificates,
	4,968,282	Series 2002-LC4-XA		2.71%	#^ I/O		12/10/2044		768,091
	985,000	Series 2006-C7-AM		5.96%	#		06/10/2046		1,056,949
	2,500,000	Series 2006-C8-AM		5.35%			12/10/2046		2,681,439
	3,470,876	Series 2010-C1-XPA		2.56%	#^ I/O		07/10/2046		217,782
	400,000	Series 2011-THL-E		5.95%	^		06/09/2028		417,737
		Credit Suisse First Boston Mortgage Securities Corporation,
	1,000,000	Series 1998-C2-F		6.75%	#^		11/15/2030		1,076,018
	325,000	Series 2001-CF2-G		6.93%	^		02/15/2034		317,370
		Credit Suisse Mortgage Capital Certificates,
	5,380,000	Series 2006-C3-AM		6.00%	#		06/15/2038		5,886,226
	2,500,000	Series 2006-C5-AM		5.34%			12/15/2039		2,600,369
	2,500,000	Series 2010-RR1-1B		5.69%	#^		04/16/2049		2,718,012
	1,500,000	Series 2010-RR2-3B		5.34%	#^		12/15/2043		1,601,658
		Crest Ltd.,
	306,306	Series 2003-2A-A1		0.84%	#^		12/28/2018		286,396
		DBRR Trust,
	2,500,000	Series 2012-EZ1-B		1.39%			09/25/2045		2,498,055
		DBUBS Mortgage Trust,
	5,911,592	Series 2011-LC2A-XA		1.61%	#^ I/O		07/10/2044		415,257
		Extended Stay American Trust,
	965,739	Series 2010-ESHA-A		2.95%	^		11/05/2027		971,341
		Fontainebleau Miami Beach Trust,
	2,500,000	Series 2012-FBLU-C		4.27%	^		05/05/2027		2,614,907
	1,150,000	Series 2012-FBLU-E		5.25%	^		05/05/2027		1,199,233
		GE Capital Commercial Mortgage Corporation,
	1,000,000	Series 2005-C2-B		5.11%	#		05/10/2043		1,037,959
		GMAC Commercial Mortgage Securities, Inc.,
	1,000,000	Series 2006-C1-AJ		5.35%	#		11/10/2045		821,001
	794,000	Series 2006-C1-AM		5.29%	#		11/10/2045		836,705
		Greenwich Capital Commercial Funding Corporation,
	300,000	Series 2004-FL2A-D		0.54%	#^		11/05/2019		296,562
	100,000	Series 2004-FL2A-F		0.63%	#^		11/05/2019		94,523
	795,000	Series 2007-GG9-A4		5.44%			03/10/2039		912,676

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 25

Schedule of Investments  DoubleLine Core Fixed Income Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		GS Mortgage Securities Corporation II,
$	1,000,000	Series 2004-GG2-A6		5.40%	#		08/10/2038		1,071,930
	1,000,000	Series 2006-GG6-AM		5.62%	#		04/10/2038		1,076,258
	18,324,343	Series 2006-GG6-XC		0.15%	#^ I/O		04/10/2038		33,369
	469,000	Series 2006-GG8-A4		5.56%			11/10/2039		544,632
	2,000,000	Series 2007-EOP-A2		1.26%	#^		03/06/2020		1,999,410
	735,000	Series 2007-GG10-A4		5.98%	#		08/10/2045		845,349
	4,940,375	Series 2011-GC5-XA		1.93%	#^ I/O		08/10/2044		432,411
	5,953,402	Series 2012-GC6-XA		2.40%	#^ I/O		01/10/2045		842,049
		JP Morgan Chase Commercial Mortgage Securities Corporation,
	640,000	Series 2003-LN1-D		5.20%	#		10/15/2037		646,265
	1,000,000	Series 2004-C3-A4		4.66%			01/15/2042		1,001,652
	1,065,000	Series 2006-CB16-A4		5.55%			05/12/2045		1,228,498
	739,075	Series 2006-CB16-X2		0.71%	# I/O		05/12/2045		3,706
	45,093,708	Series 2006-LDP8-X		0.73%	# I/O		05/15/2045		770,110
	1,750,000	Series 2007-C1-A4		5.72%			02/15/2051		2,073,888
	750,000	Series 2007-CB18-A4		5.44%			06/12/2047		869,155
	1,000,000	Series 2007-CB18-AMFX		5.40%			06/12/2047		1,077,645
	750,000	Series 2007-CB20-A4		5.79%	#		02/12/2051		895,773
	2,000,000	Series 2007-CB20-AM		6.09%	#		02/12/2051		2,232,762
	700,000	Series 2007-CB20-AMFX		5.93%	#		02/12/2051		769,056
	1,800,000	Series 2007-CIBC18-AM		5.47%	#		06/12/2047		1,949,059
	1,000,000	Series 2007-CIBC19-A4		5.92%	#		02/12/2049		1,182,594
	950,000	Series 2007-CIBC19-AM		5.92%	#		02/12/2049		990,717
	12,050,000	Series 2009-IWST-XB		0.29%	#^ I/O		12/05/2027		262,094
	2,000,000	Series 2009-RR2-GEB		5.54%	^		12/17/2049		2,163,828
	12,781,064	Series 2011-C4-XA		1.78%	#^ I/O		07/15/2046		908,229
	600,000	Series 2011-PLSD-A2		3.36%	^		11/13/2044		651,463
	35,000,000	Series 2012-C8-XA		2.38%	# I/O		10/15/2045		4,777,885
	8,968,073	Series 2012-CBX-XA		2.23%	# I/O		06/16/2045		1,049,516
		LB-UBS Commercial Mortgage Trust,
	1,000,000	Series 2004-C2-A4		4.37%			03/15/2036		1,045,988
	161,171	Series 2004-C4-A3		5.30%	#		06/15/2029		162,528
	1,000,000	Series 2005-C3-AM		4.79%			07/15/2040		1,077,338
	400,000	Series 2006-C6-AM		5.41%			09/15/2039		448,370
	1,000,000	Series 2006-C7-AJ		5.41%			11/15/2038		682,678
	10,597,760	Series 2006-C7-XCL		0.33%	#^ I/O		11/15/2038		149,344
	8,546,939	Series 2006-C7-XW		0.84%	#^ I/O		11/15/2038		188,208
	2,500,000	Series 2007-C1-AM		5.46%			02/15/2040		2,696,088
	71,015,787	Series 2007-C2-XCP		0.68%	# I/O		02/15/2040		526,937
		Merrill Lynch Mortgage Trust,
	780,000	Series 2003-KEY1-A4		5.24%	#		11/12/2035		812,153
	680,000	Series 2005-CIP1-AM		5.11%	#		07/12/2038		749,646
	78,096,269	Series 2005-CIP1-XP		0.36%	# I/O		07/12/2038		191,726
		Merrill Lynch/Countrywide Commercial Mortgage Trust,
	431,131	Series 2006-4-A2FL		0.35%	#		12/12/2049		429,370
		Morgan Stanley Bank of America Merrill Lynch Trust,
	2,994,464	Series 2012-C5-XA		2.10%	#^ I/O		08/15/2045		342,119
		Morgan Stanley Capital, Inc.,
	10,331,001	Series 2004-HQ4-X2		0.51%	#^ I/O		04/14/2040		279
	325,000	Series 2005-HQ7-AM		5.38%	#		11/14/2042		358,272
	800,000	Series 2006-HQ9-AM		5.77%	#		07/12/2044		894,782
	166,506	Series 2007-HQ12-A2FL		5.76%	#		04/12/2049		172,555
	83,253	Series 2007-HQ12-A2FL		0.47%	#		04/12/2049		81,022
	2,500,000	Series 2007-IQ16-AM		6.31%	#		12/12/2049		2,793,064
	36,222,067	Series 2007-IQ16-X2		0.36%	#^ I/O		12/12/2049		254,931
	29,841,511	Series 2011-C1-XA		1.14%	#^ I/O		09/15/2047		1,035,098
		Morgan Stanley Re-Remic Trust,
	1,400,000	Series 2010-GG10-A4A		5.98%	#^		08/15/2045		1,655,452
	2,500,000	Series 2010-HQ4-AJ		4.97%	^		04/15/2040		2,625,496
		Nomura Asset Securities Corporation,
	1,000,000	Series 1998-D6-A4		7.91%	#		03/15/2030		1,022,400
		RREF LLC,
	122,451	Series 2012-LT1A-A		4.75%	^		02/15/2025		122,586
		TIAA Seasoned Commercial Mortgage Trust,
	1,000,000	Series 2007-C4-AJ		5.58%	#		08/15/2039		1,083,892
		UBS-Barclays Commercial Mortgage Trust,
	15,000,000	Series 2012-C3-XA		2.21%	#^ I/O		08/10/2049		2,134,785
		Wachovia Bank Commercial Mortgage Trust,
	500,000	Series 2005-C22-AM		5.52%	#		12/15/2044		542,036

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Wachovia Bank Commercial Mortgage Trust, (Contd.)
$	1,500,000	Series 2006-C23-AM		5.47%	#		01/15/2045		1,653,514
	250,000	Series 2006-C25-AM		5.92%	#		05/15/2043		275,915
	108,542,344	Series 2006-C27-XC		0.10%	#^ I/O		07/15/2045		1,077,825
	18,578,696	Series 2006-C29-IO		0.54%	# I/O		11/15/2048		278,680
		WF-RBS Commercial Mortgage Trust,
	2,684,187	Series 2011-C2-XA		1.34%	#^ I/O		02/15/2044		135,074
		Total Non-Agency Commercial Mortgage-Backed Obligations (Cost $118,161,445)							119,736,083
	NON-AGENCY RESIDENTIAL COLLATERALIZED MORTGAGE OBLIGATIONS 14.8%
		ACE Securities Corporation,
	4,351,501	Series 2006-NC1-A2C		0.42%	#		12/25/2035		4,274,433
		Adjustable Rate Mortgage Trust,
	148,796	Series 2007-3-1A1		4.32%	#^		11/25/2037		91,640
		American General Mortgage Loan Trust,
	4,000,000	Series 2010-1-A3		5.65%	#^		03/25/2058		4,178,008
		Banc of America Funding Corporation,
	5,700,212	Series 2005-G-A3		5.20%	#		10/20/2035		5,594,553
	2,568,115	Series 2006-2-6A2		5.50%			03/25/2036		2,632,215
	1,709,877	Series 2006-6-1A2		6.25%			08/25/2036		1,701,111
		Banc of America Mortgage Securities, Inc.,
	1,104,754	Series 2004-8-4A1		5.50%			09/25/2024		1,130,108
		BCAP LLC Trust,
	2,742,542	Series 2009-RR13-6A5		6.06%	#^		04/26/2037		2,855,769
		Bear Stearns Asset Backed Securities Trust,
	352,504	Series 2007-SD1-1A3A		6.50%			10/25/2036		276,303
		Chase Mortgage Finance Corporation,
	10,690,353	Series 2007-A2-6A4		3.01%	#		07/25/2037		10,187,859
	3,202,150	Series 2007-S3-2A1		5.50%			05/25/2037		3,293,920
		Citicorp Mortgage Securities, Inc.,
	349,072	Series 2005-1-1A4		5.50%			02/25/2035		371,737
		Citicorp Residential Mortgage Securities, Inc.,
	1,800,000	Series 2006-2-A5		6.04%	#		09/25/2036		1,598,692
		Citigroup Mortgage Loan Trust, Inc.,
	446,019	Series 2006-WF2-A2C		5.85%	#		05/25/2036		272,489
	4,928,000	Series 2008-AR4-2A1B		2.89%	#^		11/25/2038		2,671,028
	3,000,000	Series 2010-8-5A4		10.49%	#^		11/25/2036		2,130,000
	16,000,000	Series 2010-8-6A4		9.09%	#^		12/25/2036		11,675,008
	3,844,855	Series 2011-12-3A1		5.59%	^		09/25/2047		3,893,522
		Citimortgage Alternative Loan Trust,
	400,414	Series 2006-A2-A2		6.00%			05/25/2036		323,774
	188,791	Series 2006-A5-3A3		6.00%			10/25/2036		148,968
	386,044	Series 2007-A1-1A7		6.00%			01/25/2037		303,236
		Countrywide Alternative Loan Trust,
	506,466	Series 2005-20CB-1A1		5.50%			07/25/2035		436,529
	497,107	Series 2005-28CB-3A6		6.00%			08/25/2035		376,825
	2,899,623	Series 2005-46CB-A22		5.25%			10/25/2035		2,490,730
	610,598	Series 2005-J10-1A13		0.92%	#		10/25/2035		446,721
	940,968	Series 2006-26CB-A9		6.50%			09/25/2036		668,364
	3,403,051	Series 2007-12T1-A1		6.00%			06/25/2037		2,630,633
	3,605,081	Series 2007-16CB-2A1		0.67%	#		08/25/2037		1,917,781
	1,043,941	Series 2007-16CB-2A2		52.78%	# I/F		08/25/2037		2,570,685
	279,841	Series 2007-17CB-1A10		28.90%	# I/F		08/25/2037		472,642
	1,422,069	Series 2007-18CB-2A17		6.00%			08/25/2037		1,168,977
	5,790,655	Series 2007-23CB-A3		0.72%	#		09/25/2037		3,290,916
	5,688,334	Series 2007-23CB-A4		6.28%	# I/F I/O		09/25/2037		1,333,607
	1,024,091	Series 2007-4CB-2A1		7.00%			03/25/2037		423,453
		Countrywide Asset-Backed Certificates,
	216,454	Series 2005-13-AF3		5.41%	#		04/25/2036		179,712
		Countrywide Home Loans,
	509,165	Series 2002-32-2A6		5.00%			01/25/2018		526,266
	1,404,064	Series 2005-28-A7		5.25%			01/25/2019		1,265,411
	2,599,234	Series 2007-10-A5		6.00%			07/25/2037		2,202,534
	1,113,623	Series 2007-15-1A16		6.25%			09/25/2037		1,003,770

26 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Countrywide Home Loans, (Cont.)
$	2,871,362	Series 2007-3-A17		6.00%			04/25/2037		2,617,356
		Credit Suisse First Boston Mortgage Securities Corporation,
	250,248	Series 2005-10-5A5		5.50%			11/25/2035		213,476
	4,480,408	Series 2005-8-1A3		5.25%			09/25/2035		4,128,293
	4,461,368	Series 2005-8-9A4		5.50%			09/25/2035		4,222,540
		Credit Suisse Mortgage Capital Certificates,
	10,125,720	Series 2006-4-6A1		6.00%			05/25/2036		9,338,020
	627,596	Series 2006-4-7A1		5.50%			05/25/2021		648,457
	3,741,660	Series 2006-7-1A3		5.00%			08/25/2036		3,101,177
	311,398	Series 2007-1-3A1		6.00%			02/25/2022		270,594
	949,300	Series 2007-2-2A1		5.00%			03/25/2037		937,469
	5,631,009	Series 2007-2-2A5		5.00%			03/25/2037		5,288,108
	9,992,747	Series 2010-4R-3A17		8.76%	#^		06/26/2037		7,387,193
		Deutsche Mortgage Securities, Inc.,
	3,602,272	Series 2006-PR1-3A1		11.81%	#^ I/F		04/15/2036		3,876,062
	330,807	Series 2006-PR1-4AI2		14.18%	#^ I/F		04/15/2036		382,440
	2,107,555	Series 2006-PR1-5AI4		11.81%	#^ I/F		04/15/2036		2,314,268
		First Horizon Alternative Mortgage Securities,
	991,179	Series 2006-FA2-1A5		6.00%			05/25/2036		836,342
	250,625	Series 2006-RE1-A1		5.50%			05/25/2035		212,509
		GSAA Home Equity Trust,
	1,913,195	Series 2005-7-AF5		4.61%	#		05/25/2035		1,899,612
	984	Series 2006-4-4A1		0.32%	#		03/25/2036		981
	3,634,561	Series 2007-10-A1A		6.00%			11/25/2037		2,832,005
	2,446,715	Series 2007-10-A2A		6.50%			11/25/2037		1,725,907
		GSR Mortgage Loan Trust,
	484,253	Series 2006-2F-5A1		4.50%			01/25/2021		473,957
	16,297,549	Series 2006-3F-4A1		6.00%			03/25/2036		14,628,248
	5,778,977	Series 2007-1F-2A2		5.50%			01/25/2037		5,833,810
		HSBC Asset Loan Obligation,
	383,167	Series 2006-2-2A1		5.50%			12/25/2021		361,694
	10,026,559	Series 2007-2-3A6		6.00%			09/25/2037		9,390,148
		Indymac Mortgage Loan Trust,
	12,019,383	Series 2006-AR3-1A1		2.78%	#		12/25/2036		9,050,523
		JP Morgan Alternative Loan Trust,
	500,000	Series 2006-S2-A4		6.19%	#		05/25/2036		295,015
	10,000,000	Series 2006-S3-A4		6.31%	#		08/25/2036		7,107,730
	3,243,813	Series 2006-S3-A6		6.12%	#		08/25/2036		3,076,857
	3,726,760	Series 2006-S4-A6		5.71%	#		12/25/2036		3,468,065
		JP Morgan Mortgage Trust,
	834,428	Series 2007-S3-1A7		6.00%			08/25/2037		718,697
		JP Morgan Research Trust,
	8,883,855	Series 2011-2-2A3		3.50%	#^		07/26/2036		9,172,789
		Leaf II Receivables Funding LLC,
	2,500,000	Series 2010-4-C		5.00%	^		01/20/2019		2,464,750
		Lehman Mortgage Trust,
	5,167,992	Series 2005-1-2A4		5.50%			11/25/2035		5,179,364
	1,462,168	Series 2006-3-1A5		6.00%			07/25/2036		1,090,032
	106,312	Series 2006-9-1A19		29.69%	# I/F		01/25/2037		157,188
	1,890,626	Series 2007-10-2A1		6.50%			01/25/2038		1,800,169
	391,942	Series 2007-2-1A1		5.75%			02/25/2037		290,617
		MASTR Alternative Loans Trust,
	240,700	Series 2005-2-3A1		6.00%			03/25/2035		230,886
	106,144	Series 2007-1-2A7		6.00%			10/25/2036		93,776
		MASTR Asset Securitization Trust,
	504,149	Series 2003-2-30B2		5.75%			04/25/2033		504,251
	315,357	Series 2005-1-2A5		5.00%			05/25/2035		316,471
		Morgan Stanley Mortgage Loan Trust,
	1,438,058	Series 2004-1-1A1		5.00%			11/25/2018		1,481,940
	3,209,473	Series 2005-7-7A4		5.50%			11/25/2035		3,265,669
	7,810,432	Series 2006-7-3A		5.59%	#		06/25/2036		5,820,151
		Morgan Stanley Re-Remic Trust,
	7,683,839	Series 2010-R6-5C		5.79%	#^		05/26/2037		6,437,144
		Nomura Asset Acceptance Corporation,
	319,386	Series 2006-AP1-A2		5.52%	#		01/25/2036		210,838

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY			VALUE $
		Nomura Home Equity Loan, Inc.,
$	771,408	Series 2006-AF1-A2		5.80%	#		10/25/2036			413,636
	1,399,582	Series 2007-1-1A1		6.06%	#		02/25/2037			846,015
		Option One Mortgage Loan Trust,
	109,063	Series 2004-3-M3		0.87%	#		11/25/2034			92,178
		PHH Alternative Mortgage Trust,
	3,450,329	Series 2007-2-4A1		6.00%			05/25/2022			3,337,284
		Residential Accredit Loans, Inc.,
	830,785	Series 2004-QS15-A1		5.25%			11/25/2034			784,183
	1,022,947	Series 2005-QS14-3A3		6.00%			09/25/2035			883,164
	356,287	Series 2005-QS1-A5		5.50%			01/25/2035			335,386
	1,048,616	Series 2006-QS10-A4		5.75%			08/25/2036			760,460
	2,367,119	Series 2006-QS6-1A15		6.00%			06/25/2036			1,745,608
	875,880	Series 2006-QS6-2A1		6.00%			06/25/2021			833,547
	3,372,890	Series 2007-QS3-A4		6.25%			02/25/2037			2,483,445
		Residential Asset Mortgage Products, Inc.,
	550,000	Series 2005-RS1-AI5		5.41%	#		01/25/2035	��		432,491
		Residential Asset Securitization Trust,
	601,032	Series 2005-A10-A3		5.50%			09/25/2035			531,633
	530,620	Series 2005-A11-2A4		6.00%			10/25/2035			328,585
	186,554	Series 2005-A7-A3		5.50%			06/25/2035			171,754
	2,690,486	Series 2006-A6-1A1		6.50%			07/25/2036			1,771,959
	279,206	Series 2006-R1-A1		27.53%	# I/F		01/25/2046			368,855
		Residential Funding Mortgage Securities Trust,
	369,953	Series 2006-S10-1A2		6.00%			10/25/2036			332,756
	1,871,198	Series 2006-S11-A3		6.00%			11/25/2036			1,752,593
	3,518,236	Series 2007-S2-A4		6.00%			02/25/2037			3,229,043
	2,253,748	Series 2007-S3-1A4		6.00%			03/25/2037			1,965,648
		Structured Adjustable Rate Mortgage Loan Trust,
	7,691,372	Series 2005-8XS-A3		0.78%	#		04/25/2035			7,639,570
	1,524,137	Series 2006-4-7A1		5.10%	#		05/25/2036			1,511,407
		Structured Asset Securities Corporation,
	4,728,260	Series 2003-35-1A1		5.17%	#		12/25/2033			4,771,358
	4,732,628	Series 2005-10-1A1		5.75%			06/25/2035			4,783,217
	6,118,927	Series 2005-14-1A1		0.52%	#		07/25/2035			5,475,914
	4,266,703	Series 2005-16-1A3		5.50%			09/25/2035			4,348,271
	2,837,509	Series 2005-RF1-A		0.57%	#^		03/25/2035			2,318,614
	2,876,719	Series 2005-RF1-AIO		5.50%	#^ I/O		03/25/2035			550,978
		Washington Mutual Mortgage Pass-Through Certificates,
	242,884	Series 2005-1-2A		6.00%			03/25/2035			218,234
	3,222,901	Series 2006-1-3A1		5.75%			02/25/2036			2,589,940
	7,288,832	Series 2006-8-A6		5.77%	#		10/25/2036			4,981,388
	6,344,087	Series 2006-AR19-2A		2.34%	#		01/25/2047			5,597,496
	5,381,251	Series 2007-3-A6		6.00%			04/25/2037			4,313,977
	338,349	Series 2007-5-A11		38.18%	# I/F		06/25/2037			607,422
		Wells Fargo Alternative Loan Trust,
	14,769,410	Series 2007-PA2-1A1		6.00%			06/25/2037			13,266,992
	17,574,713	Series 2007-PA5-1A1		6.25%			11/25/2037			16,642,278
		Wells Fargo Mortgage Backed Securities Trust,
	7,307,686	Series 2005-12-1A5		5.50%			11/25/2035			7,418,163
	5,410,436	Series 2005-17-1A1		5.50%			01/25/2036			5,634,428
	295,455	Series 2005-AR14-A6		5.34%	#		08/25/2035			239,653
	383,127	Series 2005-AR16-6A4		2.66%	#		10/25/2035			191,314
	1,772,776	Series 2006-2-3A1		5.75%			03/25/2036			1,783,948
	4,361,646	Series 2006-7-2A1		6.00%			06/25/2036			4,224,065
	847,643	Series 2007-10-1A36		6.00%			07/25/2037			815,133
	4,048,701	Series 2007-10-1A5		6.00%			07/25/2037			4,085,036
	7,099,187	Series 2007-11-A96		6.00%			08/25/2037			7,073,360
	8,778,346	Series 2007-14-1A1		6.00%			10/25/2037			8,804,813
	2,065,352	Series 2007-4-A16		5.50%			04/25/2037			1,933,921
	7,093,449	Series 2007-5-1A1		5.50%			05/25/2037			7,370,349
	561,220	Series 2007-7-A1		6.00%			06/25/2037			542,983
	10,054,011	Series 2007-8-2A2		6.00%			07/25/2037			9,995,994
		Wells Fargo Mortgage Loan Trust,
	12,879,234	Series 2012-RR1-A1		2.85%	#^		08/27/2037			13,063,665
		Total Non-Agency Residential Collateralized Mortgage Obligations (Cost $382,233,775)								404,357,621

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 27

Schedule of Investments  DoubleLine Core Fixed Income Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	US CORPORATE BONDS 17.7%
$	5,470,000	ADT Corporation		3.50%	^		07/15/2022		5,694,522
	5,454,000	Alcoa, Inc.		6.15%			08/15/2020		6,028,333
	11,625,000	Altria Group, Inc.		2.85%			08/09/2022		11,622,768
	10,790,000	American Express Credit Corporation		2.75%			09/15/2015		11,375,304
	5,225,000	Aristotle Holding, Inc.		2.10%	^		02/12/2015		5,363,170
	6,250,000	Arrow Electronics, Inc.		3.38%			11/01/2015		6,531,331
	4,575,000	AT&T, Inc.		5.35%			09/01/2040		5,528,101
	8,950,000	BB&T Corporation		1.60%			08/15/2017		9,121,276
	200,000	BE Aerospace, Inc.		6.88%			10/01/2020		223,000
	1,510,000	Becton Dickinson and Company		3.25%			11/12/2020		1,631,566
	7,400,000	Becton Dickinson and Company		3.13%			11/08/2021		7,941,236
	7,050,000	Biogen Idec, Inc.		6.88%			03/01/2018		8,683,259
	12,375,000	BMO Bank Of Montreal		1.40%			09/11/2017		12,453,532
	2,500,000	Boeing Company		6.88%			03/15/2039		3,888,557
	1,135,000	Boeing Company		5.88%			02/15/2040		1,584,280
	1,700,000	Boston Properties Ltd. Partnership		5.63%			11/15/2020		2,027,138
	3,300,000	Boston Properties Ltd. Partnership		4.13%			05/15/2021		3,583,361
	900,000	Boston Properties Ltd. Partnership		3.85%			02/01/2023		949,890
	100,000	Calpine Corporation		7.88%	^		07/31/2020		109,750
	100,000	CCO Holdings LLC		5.25%			09/30/2022		101,000
	5,725,000	Celgene Corporation		3.25%			08/15/2022		5,791,502
	100,000	Cinemark USA, Inc.		7.38%			06/15/2021		111,750
	4,300,000	Citigroup, Inc.		6.00%			12/13/2013		4,561,754
	1,000,000	Citigroup, Inc.		6.38%			08/12/2014		1,088,700
	7,025,000	Coca-Cola Company		1.80%			09/01/2016		7,326,204
	5,200,000	ConocoPhillips Company		6.50%			02/01/2039		7,510,688
	100,000	Constellation Brands, Inc.		7.25%			05/15/2017		117,250
	100,000	Copano Energy LLC		7.13%			04/01/2021		105,000
	1,855,000	Daimler Finance North America LLC		1.95%	^		03/28/2014		1,879,690
	7,492,000	Daimler Finance North America LLC		1.88%	^		09/15/2014		7,611,707
	100,000	DaVita, Inc.		5.75%			08/15/2022		104,500
	100,000	Delphi Corporation		5.88%			05/15/2019		108,500
	4,824,000	Devon Energy Corporation		6.30%			01/15/2019		5,997,134
	4,975,000	Devon Energy Corporation		4.00%			07/15/2021		5,480,112
	100,000	DineEquity, Inc.		9.50%			10/30/2018		113,250
	4,900,000	DIRECTV Holdings LLC		5.00%			03/01/2021		5,498,917
	100,000	DISH DBS Corporation		4.63%	^		07/15/2017		102,750
	5,609,000	Duke Energy Corporation		3.55%			09/15/2021		5,980,237
	7,250,000	Eastman Chemical Company		2.40%			06/01/2017		7,580,324
	4,170,000	Ecolab, Inc.		2.38%			12/08/2014		4,326,863
	200,000	El Paso Corporation		7.00%			06/15/2017		230,501
	100,000	Equinix, Inc.		7.00%			07/15/2021		112,375
	100,000	Felcor Lodging LP		6.75%			06/01/2019		107,750
	9,325,000	Ford Motor Company		7.45%			07/16/2031		11,644,594
	200,000	Forest Oil Corporation		7.25%			06/15/2019		199,500
	200,000	Frontier Communications Corporation		8.50%			04/15/2020		227,000
	11,925,000	General Electric Capital Corporation		2.90%			01/09/2017		12,629,100
	4,900,000	General Mills, Inc.		3.15%			12/15/2021		5,109,161
	5,000,000	Halliburton Company		6.15%			09/15/2019		6,239,660
	100,000	Hertz Corporation		7.50%			10/15/2018		108,500
	100,000	Huntsman International LLC		5.50%			06/30/2016		100,750
	6,000,000	IBM Corporation		1.95%			07/22/2016		6,272,406
	4,640,000	Illinois Tool Works, Inc.		3.38%			09/15/2021		4,997,725
	5,250,000	Intel Corporation		3.30%			10/01/2021		5,713,564
	100,000	International Lease Finance Corporation		5.88%			08/15/2022		103,498
	95,000	Interpublic Group of Companies, Inc.		10.00%			07/15/2017		106,044
	100,000	Iron Mountain, Inc.		5.75%			08/15/2024		100,750
	8,150,000	JP Morgan Chase & Company		4.95%			03/25/2020		9,323,592

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	1,750,000	JP Morgan Chase & Company		4.50%			01/24/2022		1,944,920
	3,598,000	Kellogg Company		7.45%			04/01/2031		5,038,869
	5,675,000	Kinder Morgan Energy Partners LP		6.95%			01/15/2038		7,280,838
	4,700,000	Kraft Foods, Inc.		5.38%			02/10/2020		5,678,751
	8,450,000	Kroger Company		3.40%			04/15/2022		8,818,454
	5,550,000	Liberty Mutual Group, Inc.		6.50%	^		05/01/2042		6,028,638
	100,000	LINN Energy LLC		6.50%	^		05/15/2019		100,500
	6,150,000	Marathon Petroleum Corporation		5.13%			03/01/2021		7,109,049
	5,700,000	Mattel, Inc.		2.50%			11/01/2016		5,962,200
	3,000,000	MetLife, Inc.		6.38%			06/15/2034		3,927,534
	1,750,000	MetLife, Inc.		5.70%			06/15/2035		2,157,736
	100,000	Michaels Stores, Inc.		7.75%			11/01/2018		107,750
	2,015,000	MidAmerican Energy Holdings Company		5.95%			05/15/2037		2,534,286
	4,254,000	MidAmerican Energy Holdings Company		6.50%			09/15/2037		5,716,504
	7,686,000	Motorola, Inc.		6.00%			11/15/2017		9,183,502
	9,330,000	National Rural Utilities Cooperative Finance Corporation		10.38%			11/01/2018		13,823,132
	2,150,000	News America, Inc.		6.65%			11/15/2037		2,737,513
	5,535,000	Novartis Capital Corporation		4.40%			04/24/2020		6,538,457
	5,590,000	Omnicom Group, Inc.		4.45%			08/15/2020		6,232,006
	4,675,000	ONEOK Partners LP		6.13%			02/01/2041		5,635,876
	100,000	Pantry, Inc.		8.38%	^		08/01/2020		102,750
	4,675,000	Phillips 66		5.88%	^		05/01/2042		5,572,161
	775,000	Plains All American Pipeline LP		5.15%			06/01/2042		885,063
	2,650,000	PNC Funding Corporation		6.70%			06/10/2019		3,375,846
	5,100,000	PNC Funding Corporation		4.38%			08/11/2020		5,828,086
	100,000	Reynolds Group LLC		7.88%			08/15/2019		108,500
	100,000	Sally Holdings LLC		5.75%			06/01/2022		107,000
	100,000	SBA Telecommunications, Inc.		5.75%	^		07/15/2020		105,375
	100,000	Service Corporation International		6.75%			04/01/2015		111,000
	100,000	SESI LLC		6.38%			05/01/2019		107,500
	4,427,000	Simon Property Group LP		5.65%			02/01/2020		5,334,880
	8,563,000	Southern Power Company, Series D		4.88%			07/15/2015		9,433,395
	2,596,000	Southwest Airlines Company		5.25%			10/01/2014		2,788,439
	604,000	Southwest Airlines Company		5.75%			12/15/2016		691,195
	4,675,000	Southwest Airlines Company		5.13%			03/01/2017		5,239,029
	4,778,000	Target Corporation		3.88%			07/15/2020		5,456,911
	2,000,000	Target Corporation		2.90%			01/15/2022		2,123,506
	5,800,000	Teck Resources Ltd.		5.40%			02/01/2043		5,680,166
	5,396,000	Time Warner Cable, Inc.		5.00%			02/01/2020		6,265,738
	5,850,000	Time Warner Cable, Inc.		4.50%			09/15/2042		5,857,985
	100,000	Toll Brothers Finance Corporation		5.88%			02/15/2022		111,280
	6,820,000	Tyson Foods, Inc.		4.50%			06/15/2022		7,178,050
	100,000	United Rentals, Inc.		8.38%			09/15/2020		107,500
	2,500,000	United Technologies Corporation		3.10%			06/01/2022		2,669,642
	100,000	Univision Communications, Inc.		6.88%	^		05/15/2019		103,500
	4,521,000	Valero Energy Corporation		6.13%			02/01/2020		5,499,738
	100,000	Vulcan Materials Company		6.50%			12/01/2016		110,250
	11,511,000	Wal-Mart Stores, Inc.		3.25%			10/25/2020		12,683,591
	7,225,000	Waste Management, Inc.		6.13%			11/30/2039		9,133,101
	6,185,000	WellPoint, Inc.		5.25%			01/15/2016		6,940,671
	3,940,000	WellPoint, Inc.		5.88%			06/15/2017		4,692,292
	10,150,000	Wells Fargo & Company		4.60%			04/01/2021		11,745,245
	200,000	Wynn Las Vegas LLC		7.88%			11/01/2017		219,000

28 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	5,150,000	Wynn Las Vegas LLC		7.75%			08/15/2020		5,755,125
	7,910,000	Xerox Corporation		4.25%			02/15/2015		8,405,617
		Total US Corporate Bonds (Cost $464,858,287)							486,250,318
	US GOVERNMENT / AGENCY MORTGAGE BACKED OBLIGATIONS 27.3%
		Federal Home Loan Mortgage Corporation,
	4,288,741	Pool G01840		5.00%			07/01/2035		4,661,421
	3,353,872	Pool G04817		5.00%			09/01/2038		3,636,930
	11,900,732	Pool G06871		6.00%			06/01/2038		13,103,024
	16,405,744	Pool G06954		6.00%			05/01/2040		18,037,529
	7,306,532	Pool N70081		5.50%			07/01/2038		7,970,480
	10,000,000	Pool T60854		3.50%			09/01/2042		10,489,844
	1,318,564	Pool U60299		4.00%			11/01/2040		1,474,099
	352,399	Series 2692-SC		12.85%	# I/F		07/15/2033		416,359
	29,918,933	Series 269-30		3.00%			08/15/2042		31,376,025
	5,300,000	Series 2722-PS		9.64%	# I/F		12/15/2033		6,641,741
	18,970,754	Series 272-30		3.00%			08/15/2042		19,889,066
	460,382	Series 2750-ZT		5.00%			02/15/2034		500,090
	14,043,291	Series 2890-ZA		5.00%			11/15/2034		15,685,113
	904,600	Series 3002-SN		6.28%	# I/F I/O		07/15/2035		165,731
	399,466	Series 3045-DI		6.51%	# I/F I/O		10/15/2035		72,878
	1,097,875	Series 3116-Z		5.50%			02/15/2036		1,261,298
	134,406	Series 3117-ZN		4.50%			02/15/2036		148,812
	1,354,639	Series 3203-ZC		5.00%			07/15/2036		1,576,136
	685,295	Series 3275-SC		5.86%	# I/F I/O		02/15/2037		93,898
	9,683,767	Series 3382-SB		5.78%	# I/F I/O		11/15/2037		951,723
	6,320,070	Series 3384-S		6.17%	# I/F I/O		11/15/2037		818,155
	7,154,932	Series 3417-SX		5.96%	# I/F I/O		02/15/2038		704,248
	911,720	Series 3423-GS		5.43%	# I/F I/O		03/15/2038		83,443
	911,720	Series 3423-SG		5.43%	# I/F I/O		03/15/2038		113,076
	795,814	Series 3524-LB		5.62%	# I/F I/O		06/15/2038		840,008
	3,265,345	Series 3562-WS		4.73%	# I/F I/O		08/15/2039		337,798
	1,809,468	Series 3582-SA		5.78%	# I/F I/O		10/15/2049		238,881
	1,781,091	Series 3606-CS		6.13%	# I/F I/O		12/15/2039		275,792
	1,038,191	Series 3616-SG		6.13%	# I/F I/O		03/15/2032		214,361
	5,209,110	Series 3626-AZ		5.50%			08/15/2036		6,003,473
	7,000,000	Series 3641-TB		4.50%			03/15/2040		7,561,438
	2,178,502	Series 3666-SC		5.55%	# I/F I/O		05/15/2040		332,610
	568,299	Series 3666-VZ		5.50%			08/15/2036		671,351
	923,110	Series 3688-CM		4.00%			07/15/2029		942,671
	12,175,000	Series 3738-BD		4.00%			10/15/2030		13,513,361
	1,694,039	Series 3745-SY		9.56%	# I/F		10/15/2040		1,776,154
	651,614	Series 3758-SL		5.38%	# I/F		05/15/2039		652,735
	2,458,401	Series 3779-DZ		4.50%			12/15/2040		2,586,669
	1,400,000	Series 3779-YA		3.50%			12/15/2030		1,512,822
	81,814	Series 3780-BS		9.46%	# I/F		12/15/2040		82,436
	847,955	Series 3780-YS		9.46%	# I/F		12/15/2040		907,278
	1,237,446	Series 3786-SG		9.06%	# I/F		01/15/2041		1,330,955
	1,467,628	Series 3793-SA		9.36%	# I/F		01/15/2041		1,534,781
	2,137,641	Series 3795-VZ		4.00%			01/15/2041		2,319,299
	864,136	Series 3798-SD		9.16%	# I/F		12/15/2040		902,420
	384,930	Series 3805-KS		9.06%	# I/F		02/15/2041		400,641
	1,636,156	Series 3806-CZ		5.50%			07/15/2034		1,955,020
	1,156,635	Series 3808-DB		3.50%			02/15/2031		1,248,753
	4,278,781	Series 3818-CZ		4.50%			03/15/2041		4,718,280
	9,175,412	Series 3818-JA		4.50%			01/15/2040		9,518,822
	2,155,262	Series 3819-ZU		5.50%			07/15/2034		2,535,543
	3,736,782	Series 3824-EY		3.50%			03/15/2031		4,032,903
	1,314,963	Series 3828-SW		12.54%	# I/F		02/15/2041		1,383,451
	4,303,635	Series 3863-ZA		5.50%			08/15/2034		5,117,276
	8,000,000	Series 3877-EY		4.50%			06/15/2041		8,974,684
	3,143,074	Series 3888-ZG		4.00%			07/15/2041		3,407,381
	2,294,302	Series 3910-GZ		5.00%			08/15/2041		2,711,005
	17,646,394	Series 3967-ZP		4.00%			09/15/2041		19,279,612
	5,132,792	Series 3972-AZ		3.50%			12/15/2041		5,269,273
	20,200,667	Series 4057-ZA		4.00%			06/15/2042		23,076,657
	7,493,062	Series 4096-DZ		3.50%			08/15/2042		7,682,535
	1,461,623	Series R003-ZA		5.50%			10/15/2035		1,696,473
		Federal National Mortgage Association,
	467,183	Series 2003-117-KS		6.88%	# I/F I/O		08/25/2033		58,251
	3,146,750	Series 2003-92-PZ		5.00%			09/25/2033		3,642,230
	500,000	Series 2003-W17-1A7		5.75%			08/25/2033		588,668
	5,000,000	Series 2005-20-QH		5.00%			03/25/2035		5,751,735

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Federal National Mortgage Association, (Cont.)
$	1,665,560	Series 2006-101-SA		6.36%	# I/F I/O		10/25/2036		294,429
	5,000,000	Series 2006-50-PE		5.00%			06/25/2036		5,805,010
	784,219	Series 2006-56-SM		6.53%	# I/F I/O		07/25/2036		141,435
	994,553	Series 2007-116-BI		6.03%	# I/F I/O		05/25/2037		179,712
	2,519,264	Series 2007-30-OI		6.22%	# I/F I/O		04/25/2037		447,733
	5,015,253	Series 2008-14-ZA		5.50%			03/25/2038		5,729,240
	428,399	Series 2008-29-ZA		4.50%			04/25/2038		475,800
	1,005,759	Series 2008-62-SC		5.78%	# I/F I/O		07/25/2038		131,441
	3,995,909	Series 2009-111-EZ		5.00%			01/25/2040		4,475,978
	438,465	Series 2009-111-SE		6.03%	# I/F I/O		01/25/2040		48,328
	358,732	Series 2009-16-MZ		5.00%			03/25/2029		403,932
	1,120,678	Series 2009-48-WS		5.73%	# I/F I/O		07/25/2039		141,906
	5,564,275	Series 2009-62-PS		5.88%	# I/F I/O		08/25/2039		600,532
	3,432,743	Series 2009-77-ZA		4.50%			10/25/2039		3,787,169
	1,830,797	Series 2009-83-Z		4.50%			10/25/2039		2,003,543
	291,859	Series 2010-101-ZH		4.50%			07/25/2040		326,356
	734,475	Series 2010-109-BS		52.46%	# I/F		10/25/2040		1,032,301
	1,624,714	Series 2010-112-ZA		4.00%			10/25/2040		1,755,338
	1,136,266	Series 2010-121-SD		4.28%	# I/F I/O		10/25/2040		117,625
	29,336	Series 2010-137-VS		14.31%	# I/F		12/25/2040		42,939
	2,144,767	Series 2010-150-ZA		4.00%			01/25/2041		2,306,247
	1,080,143	Series 2010-31-SA		4.78%	# I/F I/O		04/25/2040		122,213
	841,879	Series 2010-34-PS		4.71%	# I/F I/O		04/25/2040		49,679
	1,146,692	Series 2010-35-SP		6.13%	# I/F I/O		04/25/2050		155,032
	828,944	Series 2010-35-SV		6.23%	# I/F I/O		04/25/2040		106,972
	10,189,237	Series 2010-37-MY		4.50%			04/25/2040		11,361,769
	1,116,573	Series 2010-59-PS		6.23%	# I/F I/O		03/25/2039		150,237
	1,331,325	Series 2010-59-SC		4.78%	# I/F I/O		01/25/2040		150,323
	7,864,307	Series 2010-60-VZ		5.00%			10/25/2039		8,587,190
	337,042	Series 2010-64-EZ		5.00%			06/25/2040		397,953
	1,981,753	Series 2010-7-PE		5.00%			02/25/2040		2,184,586
	2,116,894	Series 2010-90-GS		5.78%	# I/F I/O		08/25/2040		199,371
	78,243	Series 2010-99-SG		23.85%	# I/F		09/25/2040		129,859
	6,477,879	Series 2011-127-PM		4.00%			12/25/2041		6,412,378
	6,278,329	Series 2011-141-PZ		4.00%			01/25/2042		6,744,630
	763,745	Series 2011-18-S		9.05%	# I/F		03/25/2041		782,152
	13,422,398	Series 2011-18-UZ		4.00%			03/25/2041		14,506,895
	1,533,918	Series 2011-25-KY		3.00%			04/25/2026		1,622,563
	1,000,000	Series 2011-29-AL		3.50%			04/25/2031		1,072,563
	10,884,994	Series 2011-59-MA		4.50%			07/25/2041		11,847,451
	9,460,653	Series 2011-63-ZE		4.00%			08/25/2038		10,031,840
	2,132,228	Series 2011-72-LZ		5.50%			04/25/2037		2,569,318
	2,478,664	Series 2011-77-CZ		4.00%			08/25/2041		2,505,288
	746,570	Series 2011-87-US		13.26%	# I/F		09/25/2041		769,521
	1,758,288	Series 2011-88-SB		8.84%	# I/F		09/25/2041		1,867,888
	10,000,000	Series 247		3.00%			10/01/2032		10,592,969
	1,668,514	Series 400-S4		5.23%	# I/F I/O		11/25/2039		199,014
		Federal National Mortgage Association Pass-Thru,
	845,643	Pool 555743		5.00%			09/01/2033		929,490
	715,315	Pool 735382		5.00%			04/01/2035		781,881
	5,495,406	Pool 735383		5.00%			04/01/2035		6,006,797
	2,938,211	Pool 735402		5.00%			04/01/2035		3,229,228
	4,398,225	Pool 735484		5.00%			05/01/2035		4,820,069
	4,751,652	Pool 889509		6.00%			05/01/2038		5,259,909
	4,205,695	Pool 889662		6.00%			06/01/2038		4,646,354
	5,804,005	Pool 890385		6.00%			12/01/2039		6,424,826
	663,746	Pool 931104		5.00%			05/01/2039		723,687
	10,190,001	Pool 995023		5.50%			08/01/2037		11,239,821
	4,944,295	Pool 995112		5.50%			07/01/2036		5,459,859
	4,725,791	Pool 995203		5.00%			07/01/2035		5,194,008
	2,905,710	Pool AB2123		4.00%			01/01/2031		3,154,577
	478,140	Pool AB2370		4.50%			09/01/2035		507,378
	19,240,839	Pool AB5459		4.00%			06/01/2042		20,335,592
	144,907	Pool AC1032		5.00%			06/01/2040		154,157
	14,662,683	Pool AD0500		5.50%			09/01/2036		16,274,105
	103,020	Pool AD2177		4.50%			06/01/2030		112,249
	4,456,215	Pool AH7309		4.00%			02/01/2031		4,837,878
	5,577,429	Pool AJ1399		4.00%			09/01/2041		5,894,769
	17,072,012	Pool AJ4997		4.00%			10/01/2041		18,043,365
	17,386,174	Pool AJ7677		3.50%			12/01/2041		18,245,393
	14,369,137	Pool AK4039		4.00%			02/01/2042		15,186,703
	3,134,918	Pool AL1691		6.00%			06/01/2041		3,470,242
	8,418,089	Pool AL1745		6.00%			03/01/2040		9,318,524
	6,561,842	Pool AO2980		4.00%			05/01/2042		6,935,193

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 29

Schedule of Investments  DoubleLine Core Fixed Income Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Federal National Mortgage Association Pass-Thru, (Cont.)
$	3,040,947	Pool MA0264		4.50%			12/01/2029		3,300,072
	364,622	Pool MA0282		5.00%			12/01/2039		410,460
	2,247,052	Pool MA0353		4.50%			03/01/2030		2,444,595
	284,220	Pool MA0468		5.00%			07/01/2040		302,365
	3,285,370	Pool MA0871		4.00%			10/01/2041		3,472,299
	17,651,721	Pool MA0919		3.50%			12/01/2031		19,015,001
	7,173,981	Pool MA0949		3.50%			01/01/2032		7,728,043
	2,809,146	Pool MA1068		3.50%			05/01/2042		2,947,973
	9,793,564	Pool MA1117		3.50%			07/01/2042		10,277,558
	22,116,600	Pool MA1136		3.50%			08/01/2042		23,209,815
	17,230,114	Pool MA1179		3.50%			09/01/2042		18,081,620
	10,000,000	Pool MA1200		3.00%			10/01/2032		10,629,799
		Government National Mortgage Association,
	2,158,288	Pool 752494		5.50%			09/20/2039		2,314,673
	271,875	Series 2003-67-SP		6.88%	# I/F I/O		08/20/2033		96,402
	703,422	Series 2008-82-SM		5.83%	# I/F I/O		09/20/2038		113,552
	8,130,558	Series 2009-32-ZE		4.50%			05/16/2039		9,068,768
	4,065,279	Series 2009-35-DZ		4.50%			05/20/2039		4,624,971
	4,004,867	Series 2009-75-GZ		4.50%			09/20/2039		4,541,722
	4,645,889	Series 2009-75-HZ		5.00%			09/20/2039		5,481,789
	248,702	Series 2010-25-ZB		4.50%			02/16/2040		256,626
	6,418,171	Series 2011-45-GZ		4.50%			03/20/2041		7,327,421
	10,617,174	Series 2011-71-ZA		4.50%			02/20/2041		12,095,270
		Total US Government / Agency Mortgage Backed Obligations (Cost $716,044,395)							747,751,101
	US GOVERNMENT BONDS AND NOTES 14.5%
	72,300,000	United States Treasury Bonds		3.75%			08/15/2041		86,454,966
	37,550,000	United States Treasury Notes		1.88%			09/30/2017		39,852,866
	49,000,000	United States Treasury Notes		2.38%			05/31/2018		53,360,265
	75,100,000	United States Treasury Notes		1.25%			04/30/2019		76,519,841
	12,350,000	United States Treasury Notes		1.00%			08/31/2019		12,321,052
	39,650,000	United States Treasury Notes		2.63%			11/15/2020		43,782,283
	85,350,000	United States Treasury Notes		1.75%			05/15/2022		86,563,592
		Total US Government Bonds and Notes (Cost $399,332,609)							398,854,865

PRINCIPAL AMOUNT/ SHARES		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	SHORT TERM INVESTMENTS 8.1%
	179,372,666	Fidelity Institutional Government Portfolio		0.01%	¨				179,372,666
	42,000,000	United States Treasury Bills		0.00%			12/06/2012		41,994,246
		Total Short Term Investments (Cost $221,363,124)							221,366,912
		Total Investments 101.0% (Cost $2,674,776,697)							2,767,663,038
		Liabilities in Excess of Other Assets (1.0)%							(28,624,145	)
		NET ASSETS 100.0%						$	2,739,038,893

PORTFOLIO HOLDINGS as % of Net Assets
US Government / Agency Mortgage Backed Obligations	27.3%
US Corporate Bonds	17.7%
Non-Agency Residential Collateralized Mortgage Obligations	14.8%
US Government Bonds and Notes	14.5%
Foreign Corporate Bonds	12.1%
Short Term Investments	8.1%
Non-Agency Commercial Mortgage-Backed Obligations	4.4%
Foreign Government Bonds and Notes, Supranationals and Foreign Agencies	2.1%
Collateralized Loan Obligations	0.0%
Other Assets and Liabilities	(1.0)%
	100.0%

# Variable rate security. Rate disclosed as of September 30, 2012.

^ Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional buyers. These securities are determined to be liquid by the Adviser, unless otherwise noted, under procedures established by the Fund’s Board of Trustees. At September 30, 2012, the value of these securities amounted to $219,343,728 or 8.0% of net assets.

I/O Interest only security.

I/F Inverse floating rate security whose interest rate moves in the opposite direction of prevailing interest rates.

¨ Seven-day yield as of September 30, 2012.

(a) Issuer is in default of interest payments.

30 DoubleLine Funds The accompanying notes are an integral part of these financial statements

Schedule of Investments  DoubleLine Emerging Markets Fixed Income Fund (Unaudited) September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	FOREIGN CORPORATE BONDS 85.0%
	ABU DHABI 4.1%
$	2,000,000	Abu Dhabi National Energy Company		4.75%			09/15/2014		2,117,500
	2,000,000	Abu Dhabi National Energy Company		5.88%	^		12/13/2021		2,322,500
	8,000,000	Abu Dhabi National Energy Company		5.88%			12/13/2021		9,290,000
	224,112	Dolphin Energy Ltd.		5.89%	^		06/15/2019		254,927
	3,121,560	Dolphin Energy Ltd.		5.89%			06/15/2019		3,550,775
	7,000,000	Dolphin Energy Ltd.		5.50%	^		12/15/2021		8,113,000
									25,648,702
	ARGENTINA 1.0%
	1,700,000	WPE International Cooperatief U.A.		10.38%	^		09/30/2020		1,462,000
	5,373,000	WPE International Cooperatief U.A.		10.38%			09/30/2020		4,620,780
									6,082,780
	BRAZIL 14.3%
	800,000	Banco Bradesco S.A.		5.75%	^		03/01/2022		854,000
	9,400,000	Banco do Brasil S.A.		8.50%	#		04/20/2021		11,221,720
	12,100,000	CCL Finance Ltd.		9.50%			08/15/2014		13,657,874
	8,220,000	Embraer Overseas Ltd.		6.38%			01/24/2017		9,370,800
	2,284,000	Embraer Overseas Ltd.		6.38%			01/15/2020		2,638,020
	9,305,000	Globo Communicacao e Participacoes S.A.		6.25%	#		07/20/2015		10,142,450
	1,600,000	Globo Communicacao e Participacoes S.A.		5.31%	#^		05/11/2022		1,756,000
	3,000,000	Globo Communicacao e Participacoes S.A.		5.31%	#		05/11/2022		3,292,500
	5,900,000	Itau Unibanco Holding S.A.		5.65%			03/19/2022		6,195,000
	5,300,000	Minerva Luxembourg S.A.		12.25%	^		02/10/2022		6,141,110
	170,000	Minerva Overseas II Ltd.		9.50%			02/01/2017		163,200
	800,000	Minerva Overseas II Ltd.		10.88%			11/15/2019		892,000
	7,380,000	NET Servicos de Comunicacao S.A.		7.50%			01/27/2020		8,606,925
	7,500,000	Petrobras International Finance Company		3.88%			01/27/2016		7,971,075
	1,200,000	Raizen Energy Finance Ltd.		7.00%			02/01/2017		1,383,000
	5,100,000	Virgolino De Oliveira Finance Ltd.		11.75%	^		02/09/2022		5,100,000
									89,385,674
	CHILE 10.9%
	1,615,000	AES Gener S.A.		7.50%			03/25/2014		1,747,981
	2,026,000	Banco de Chile		6.25%			06/15/2016		2,267,848
	17,000,000	Banco de Credito e Inversiones		3.00%	^		09/13/2017		17,017,510
	3,251,000	Celulosa Arauco y Constitucion S.A.		7.25%			07/29/2019		3,918,833
	3,500,000	Celulosa Arauco y Constitucion S.A.		5.00%			01/21/2021		3,712,552
	5,605,000	Celulosa Arauco y Constitucion S.A.		4.75%			01/11/2022		5,880,867
	1,200,000	Corporacion Nacional del Cobre de Chile		4.75%			10/15/2014		1,284,805
	8,000,000	Corporacion Nacional del Cobre de Chile		3.88%			11/03/2021		8,734,088
	5,000,000	Corporacion Nacional del Cobre de Chile		3.00%	^		07/17/2022		5,051,735
	3,800,000	Inversiones CMPC S.A.		4.88%			06/18/2013		3,880,704
	1,700,000	Inversiones CMPC S.A.		4.75%	^		01/19/2018		1,828,804
	2,009,000	Inversiones CMPC S.A.		4.75%			01/19/2018		2,161,216
	3,900,000	Inversiones CMPC S.A.		6.13%			11/05/2019		4,494,649
	4,900,000	Inversiones CMPC S.A.		4.50%	^		04/25/2022		5,114,693

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	240,000	Sociedad Quimica y Minera S.A.		6.13%			04/15/2016		267,934
	100,000	Sociedad Quimica y Minera S.A.		5.50%			04/21/2020		113,405
									67,477,624
	CHINA 1.2%
	4,870,000	CNPC General Capital Ltd.		2.75%			04/19/2017		5,047,877
	1,000,000	CNPC General Capital Ltd.		3.95%	^		04/19/2022		1,068,727
	400,000	CNPC General Capital Ltd.		3.95%			04/19/2022		427,491
	400,000	Hongkong Electric Finance Ltd.		4.25%			12/14/2020		439,546
	200,000	Sinopec Group Overseas Development Ltd.		2.75%	^		05/17/2017		207,878
									7,191,519
	COLOMBIA 5.4%
	2,200,000	Banco de Bogota S.A.		5.00%	^		01/15/2017		2,332,000
	4,950,000	Bancolombia S.A.		4.25%			01/12/2016		5,160,375
	1,100,000	Grupo Aval Ltd.		5.25%	^		02/01/2017		1,174,250
	1,000,000	Grupo Aval Ltd.		5.25%			02/01/2017		1,067,500
	7,200,000	Grupo Aval Ltd.		4.75%	^		09/26/2022		7,110,000
	6,314,000	Pacific Rubiales Energy Corporation		7.25%	^		12/12/2021		7,450,520
	5,025,000	Pacific Rubiales Energy Corporation		7.25%			12/12/2021		5,929,500
	3,076,000	Transportadora de Gas Internacional S.A.		5.70%			03/20/2022		3,322,080
									33,546,225
	COSTA RICA 1.9%
	6,000,000	Instituto Costarricense de Electricidad		6.95%	^		11/10/2021		6,690,000
	4,775,000	Instituto Costarricense de Electricidad		6.95%			11/10/2021		5,324,125
									12,014,125
	DOMINICAN REPUBLIC 2.9%
	1,600,000	AES Andres Dominicana Ltd.		9.50%	^		11/12/2020		1,744,000
	5,920,000	AES Andres Dominicana Ltd.		9.50%			11/12/2020		6,452,800
	9,050,000	EGE Haina Finance Company		9.50%			04/26/2017		9,547,750
									17,744,550
	INDIA 0.3%
	1,250,000	Reliance Holdings USA, Inc.		5.40%	^		02/14/2022		1,333,940
	500,000	Reliance Industries Ltd.		8.25%			01/15/2027		650,000
									1,983,940
	INDONESIA 1.0%
	6,000,000	Freeport-McMoRan Copper & Gold, Inc.		2.15%			03/01/2017		6,074,082
									6,074,082
	KAZAKHSTAN 0.1%
	700,000	BTA Bank		10.75%	(a)		07/01/2018		136,500
	357,727	Tengizchevroil Finance Corporation		6.12%			11/15/2014		376,508
									513,008

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 31

Schedule of Investments  DoubleLine Emerging Markets Fixed Income Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	MALAYSIA 1.3%
$	3,300,000	Axiata SPV1 Labuan Ltd.		5.38%			04/28/2020		3,715,760
	1,100,000	IOI Ventures BHD		5.25%			03/16/2015		1,172,861
	2,950,000	Prime Holdings Labuan Ltd.		5.38%			09/22/2014		3,123,793
									8,012,414
	MEXICO 10.8%
	1,775,000	Banco Mercantil del Norte		4.38%			07/19/2015		1,890,375
	5,900,000	Banco Mercantil del Norte		6.86%	#		10/13/2021		6,416,250
	3,900,000	Cemex Finance LLC		9.50%			12/14/2016		4,046,250
	3,350,000	Empresas ICA S.A.B. de C.V.		8.38%	^		07/24/2017		3,500,750
	676,000	Empresas ICA S.A.B. de C.V.		8.38%			07/24/2017		706,420
	7,765,000	Empresas ICA S.A.B. de C.V.		8.90%			02/04/2021		8,192,075
	2,859,000	GRUMA S.A.B. de C.V.		7.75%			12/29/2041		2,937,623
	7,615,000	Grupo KUO S.A.B. de C.V.		9.75%			10/17/2017		8,148,050
	1,745,000	Ixe Banco S.A.		9.25%			10/14/2020		2,076,550
	525,000	Ixe Banco S.A.		9.75%			12/29/2041		536,156
	9,600,000	Mexichem S.A.B. de C.V.		4.88%	^		09/19/2022		9,768,000
	36,000	Pemex Project Funding Master Trust		5.75%			12/15/2015		40,320
	4,800,000	Petroleos Mexicanos		4.88%			03/15/2015		5,172,000
	12,250,000	Petroleos Mexicanos		6.63%			09/28/2015		12,954,375
	500,000	Telefonos de Mexico S.A.B.		5.50%			01/27/2015		554,234
									66,939,428
	PANAMA 0.1%
	100,000	AES Panama S.A.		6.35%			12/21/2016		110,250
	300,000	Banco Latinoamericano de Comercio Exterior S.A.		3.75%	^		04/04/2017		312,000
									422,250
	PERU 5.1%
	3,720,000	Banco de Credito del Peru		4.75%			03/16/2016		3,943,200
	3,135,000	Banco de Credito del Peru		9.75%	#		11/06/2069		3,793,350
	1,566,000	Banco Internacional del Peru		8.50%	#		04/23/2070		1,659,960
	200,000	Corporacion Financiera de Desarrollo S.A.		4.75%	^		02/08/2022		221,500
	1,000,000	Corporacion Lindley S.A.		6.75%	^		11/23/2021		1,127,500
	2,300,000	Corporacion Lindley S.A.		6.75%			11/23/2021		2,593,250
	6,055,000	Corporacion Pesquera Inca S.A.C.		9.00%			02/10/2017		6,569,675
	6,155,410	IIRSA Norte Finance Ltd.		8.75%			05/30/2024		7,632,709
	600,000	Inkia Energy Ltd.		8.38%	^		04/04/2021		660,000
	1,900,000	Inkia Energy Ltd.		8.38%			04/04/2021		2,090,000
	1,250,000	Intercorp Retail Trust		8.88%	^		11/14/2018		1,393,750
									31,684,894
	QATAR 3.8%
	5,211,105	Nakilat, Inc.		6.27%			12/31/2033		6,192,095
	5,900,000	Qtel International Finance Ltd.		3.38%			10/14/2016		6,189,100
	1,939,200	Ras Laffan Liquefied Natural Gas Company		5.83%			09/30/2016		2,123,424
	3,248,875	Ras Laffan Liquefied Natural Gas Company		5.30%			09/30/2020		3,671,229
	4,775,000	Ras Laffan Liquefied Natural Gas Company		5.84%			09/30/2027		5,562,875
									23,738,723

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	RUSSIA 11.0%
$	4,000,000	AK Transneft OJSC		5.67%			03/05/2014		4,252,000
	10,450,000	Alfa Invest Ltd.		9.25%			06/24/2013		10,946,375
	16,300,000	Gaz Capital S.A.		8.13%			07/31/2014		18,019,813
	11,014,000	Gazprombank OJSC		7.93%			06/28/2013		11,537,165
	2,400,000	Industry & Construction Bank		5.01%	#		09/29/2015		2,400,000
	1,500,000	Kuznetski Capital S.A.		5.97%	#		11/25/2015		1,554,000
	1,400,000	RSHB Capital S.A.		7.13%			01/14/2014		1,484,840
	3,000,000	Sberbank of Russia		6.47%			07/02/2013		3,108,900
	5,700,000	VIP Finance Ltd.		8.38%			04/30/2013		5,916,543
	8,000,000	VTB Capital S.A.		6.88%			05/29/2018		8,630,400
									67,850,036
	SINGAPORE 6.4%
	13,120,000	DBS Bank Ltd.		5.00%	#		11/15/2019		13,924,978
	500,000	DBS Bank Ltd.		3.63%	#^		09/21/2022		515,020
	13,365,000	Oversea-Chinese Banking Corporation		4.25%	#		11/18/2019		13,929,043
	10,470,000	United Overseas Bank Ltd.		5.38%	#		09/03/2019		11,118,564
									39,487,605
	SOUTH AFRICA 1.9%
	4,800,000	AngloGold Holdings PLC		5.13%			08/01/2022		4,897,363
	2,030,000	AngloGold Holdings PLC		6.50%			04/15/2040		2,056,883
	3,000,000	Transnet Limited		4.50%			02/10/2016		3,189,045
	1,600,000	Transnet Limited		4.00%	^		07/26/2022		1,630,400
									11,773,691
	SOUTH KOREA 0.8%
	4,600,000	Korea Development Bank		5.75%			09/10/2013		4,809,696
									4,809,696
	THAILAND 0.7%
	4,144,000	PTTEP Australia International Finance Ltd.		4.15%			07/19/2015		4,387,394
									4,387,394
		Total Foreign Corporate Bonds (Cost $512,060,767)							526,768,360
	FOREIGN GOVERNMENT BONDS AND NOTES, SUPRANATIONALS AND FOREIGN AGENCIES 12.6%
	COLOMBIA 0.2%
	1,250,000	Colombia Government International Bond		8.70%			02/15/2016		1,520,625
									1,520,625
	COSTA RICA 1.9%
	11,128,000	Costa Rica Government International Bond		6.55%			03/20/2014		11,740,040
									11,740,040
	MALAYSIA 4.4%
	10,003,000	Penerbangan BHD		5.63%			03/15/2016		11,333,769
	3,000,000	Wakala Global Sukuk BHD		2.99%			07/06/2016		3,146,121
	10,250,000	Wakala Global Sukuk BHD		4.65%			07/06/2021		11,881,524
									26,361,414

32 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	MEXICO 1.1%
$	800,000	Mexico Government International Bond		6.63%			03/03/2015		907,200
	5,000,000	Mexico Government International Bond		5.63%			01/15/2017		5,870,000
									6,777,200
	PANAMA 0.9%
	4,744,000	Panama Government International Bond		7.25%			03/15/2015		5,443,740
									5,443,740
	QATAR 3.8%
	12,900,000	State of Qatar		4.00%			01/20/2015		13,725,600
	4,000,000	State of Qatar		4.50%	^		01/20/2022		4,540,000
	4,800,000	State of Qatar		4.50%			01/20/2022		5,448,000
									23,713,600
	SOUTH KOREA 0.3%
	2,005,000	Republic of Korea		5.75%			04/16/2014		2,154,234
									2,154,234
		Total Foreign Government Bonds and Notes, Supranationals and Foreign Agencies (Cost $75,418,185)							77,710,853
		Total Investments 97.6% (Cost $587,478,952)							604,479,213
		Other Assets in Excess of Liabilities 2.4%							14,705,165
		NET ASSETS 100.0%						$	619,184,378

PORTFOLIO HOLDINGS as % of Net Assets
Brazil	14.3%
Mexico	11.9%
Russia	11.0%
Chile	10.9%
Qatar	7.6%
Singapore	6.4%
Malaysia	5.7%
Colombia	5.6%
Peru	5.1%
Abu Dhabi	4.1%
Costa Rica	3.8%
Dominican Republic	2.9%
Other Assets and Liabilities	2.4%
South Africa	1.9%
China	1.2%
South Korea	1.1%
Argentina	1.0%
Indonesia	1.0%
Panama	1.0%
Thailand	0.7%
India	0.3%
Kazakhstan	0.1%
	100.0%

^ Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional buyers. These securities are determined to be liquid by the Adviser, unless otherwise noted, under procedures established by the Fund’s Board of Trustees. At September 30, 2012, the value of these securities amounted to $107,796,514 or 17.4% of net assets.

# Variable rate security. Rate disclosed as of September 30, 2012.

(a) Issuer is in default of interest payments

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 33

Schedule of Investments  DoubleLine Multi-Asset Growth Fund

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	FOREIGN CORPORATE BONDS 0.6%
$	200,000	AES Andres Dominicana Ltd.		9.50%			11/12/2020		218,000
	100,000	BTA Bank		10.75%	(a)		07/01/2018		19,500
	100,000	C10 Capital Ltd.		6.72%	#		12/31/2099		71,500
	100,000	Corporacion Pesquera Inca S.A.C.		9.00%			02/10/2017		108,500
	100,000	EGE Haina Finance Company		9.50%			04/26/2017		105,500
	100,000	Empresas ICA S.A.B. de C.V.		8.90%			02/04/2021		105,500
	100,000	Minerva Overseas II Ltd.		9.50%			02/01/2017		96,000
	100,000	Minerva Overseas II Ltd.		10.88%			11/15/2019		111,500
	100,000	WPE International Cooperatief U.A.		10.38%			09/30/2020		86,000
		Total Foreign Corporate Bonds (Cost $1,008,556)							922,000
	NON-AGENCY COMMERCIAL MORTGAGE-BACKED OBLIGATIONS 2.7%
		Bear Stearns Commercial Mortgage Securities, Inc.,
	245,795	Series 1998-C1-B		6.54%			06/16/2030		248,688
	32,467	Series 2002-TOP8-A2		4.83%			08/15/2038		32,466
		Commercial Mortgage Asset Trust,
	100,000	Series 1999-C1-B		7.23%	#		01/17/2032		104,032
		Commercial Mortgage Pass-Through Certificates,
	2,980,969	Series 2002-LC4-XA		2.71%	#^ I/O		12/10/2044		460,855
	47,915,374	Series 2005-LP5-XC		0.47%	#^ I/O		05/10/2043		427,357
		JP Morgan Chase Commercial Mortgage Securities Corporation,
	45,935,283	Series 2005-CB12-X1		0.49%	#^ I/O		09/12/2037		404,874
	4,000,000	Series 2012-C8-XA		2.38%	# I/O		10/15/2045		546,044
		LB-UBS Commercial Mortgage Trust,
	33,733,771	Series 2006-C6-XCP		0.86%	# I/O		09/15/2039		238,700
	62,348	Series 2006-C7-A2		5.30%			11/15/2038		64,022
	65,380,029	Series 2007-C2-XCP		0.68%	# I/O		02/15/2040		485,120
	51,551,257	Series 2007-C7-XCL		0.12%	#^ I/O		09/15/2045		484,736
		Morgan Stanley Capital, Inc.,
	19,278,132	Series 2005-HQ6-X2		0.64%	# I/O		08/13/2042		85,807
	54,333,100	Series 2007-IQ16-X2		0.36%	#^ I/O		12/12/2049		382,396
		RREF LLC,
	18,368	Series 2012-LT1A-A		4.75%	^		02/15/2025		18,388
		Wachovia Bank Commercial Mortgage Trust,
	28,188	Series 2006-C23-APB		5.45%			01/15/2045		28,180
		WF-RBS Commercial Mortgage Trust,
	6,632,747	Series 2011-C3-XA		1.89%	#^ I/O		03/15/2044		547,351
		Total Non-Agency Commercial Mortgage-Backed Obligations (Cost $5,246,880)							4,559,016
	NON-AGENCY RESIDENTIAL COLLATERALIZED MORTGAGE OBLIGATIONS 7.0%
		Adjustable Rate Mortgage Trust,
	414,404	Series 2006-1-2A1		3.31%	#		03/25/2036		290,937
		Banc of America Alternative Loan Trust,
	722,160	Series 2006-7-A4		6.00%	#		10/25/2036		554,216
		BCAP LLC Trust,
	82,859	Series 2007-AA2-2A5		6.00%			04/25/2037		67,818
	106,000	Series 2010-RR6-1A20		8.02%	#^		08/26/2022		104,050
		Chaseflex Trust,
	405,194	Series 2007-M1-2F4		6.35%	#		08/25/2037		331,329
		Citicorp Mortgage Securities, Inc.,
	288,162	Series 2007-2-3A1		5.50%			02/25/2037		267,109
		Citigroup Mortgage Loan Trust, Inc.,
	357,888	Series 2009-7-2A2		5.50%	^		10/25/2021		291,679
		Citimortgage Alternative Loan Trust,
	539,648	Series 2007-A6-1A11		6.00%			06/25/2037		439,205

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Countrywide Alternative Loan Trust,
$	193,835	Series 2006-32CB-A16		5.50%			11/25/2036		153,287
	998,388	Series 2006-J1-2A1		7.00%			02/25/2036		466,496
	44,775	Series 2007-17CB-1A10		28.90%	# I/F		08/25/2037		75,623
	31,222	Series 2007-21CB-2A2		27.53%	# I/F		09/25/2037		41,625
		Countrywide Asset-Backed Certificates,
	875,823	Series 2006-2-2A2		0.41%	#		06/25/2036		846,588
		Countrywide Home Loans,
	619,817	Series 2007-10-A5		6.00%			07/25/2037		525,220
	29,922	Series 2007-4-1A5		6.50%			05/25/2037		27,140
		Credit Suisse First Boston Mortgage Securities Corporation,
	358,433	Series 2005-8-1A3		5.25%			09/25/2035		330,263
		Credit Suisse Mortgage Capital Certificates,
	61,932	Series 2006-9-4A1		6.00%			11/25/2036		57,765
	477,468	Series 2010-7R-4A17		7.92%	#^		04/26/2037		318,971
		Deutsche Mortgage Securities, Inc.,
	320,500	Series 2006-PR1-3A1		11.81%	#^ I/F		04/15/2036		344,860
	421,511	Series 2006-PR1-5AI4		11.81%	#^ I/F		04/15/2036		462,854
		First Horizon Alternative Mortgage Securities,
	106,420	Series 2007-FA2-1A3		6.00%			04/25/2037		75,605
		GSAA Home Equity Trust,
	1,000,000	Series 2006-15-AF3B		5.93%	#		09/25/2036		196,822
		GSR Mortgage Loan Trust,
	364,169	Series 2006-2F-2A20		10.87%	# I/F		02/25/2036		368,485
		JP Morgan Alternative Loan Trust,
	65,934	Series 2005-S1-2A11		6.00%			12/25/2035		56,525
		JP Morgan Mortgage Acquisition Corporation,
	200,000	Series 2006-CH2-AF3		5.46%	#		10/25/2036		119,749
		Lavender Trust,
	297,000	Series 2010-R12A-A3		6.00%	^		06/26/2037		271,690
		Lehman Mortgage Trust,
	177,577	Series 2006-4-1A3		5.18%	# I/F I/O		08/25/2036		25,284
	11,098	Series 2006-4-1A4		6.00%			08/25/2036		8,674
	99,046	Series 2007-5-11A1		5.80%	#		06/25/2037		70,563
		Lehman XS Trust,
	320,000	Series 2005-1-3A3A		5.11%	#		07/25/2035		230,537
		Long Beach Mortgage Loan Trust,
	472,012	Series 2005-WL2-M1		0.69%	#		08/25/2035		458,062
		MASTR Resecuritization Trust,
	552,729	Series 2008-4-A1		6.00%	#^		06/27/2036		440,212
		Morgan Stanley Mortgage Loan Trust,
	529,694	Series 2007-13-6A1		6.00%			10/25/2037		374,337
		Residential Accredit Loans, Inc.,
	452,272	Series 2006-QS10-A9		6.50%			08/25/2036		342,787
	8,112	Series 2006-QS13-1A8		6.00%			09/25/2036		5,867
	451,154	Series 2006-QS2-1A4		5.50%			02/25/2036		326,995
	90,676	Series 2006-QS7-A4		0.62%	#		06/25/2036		49,831
	272,029	Series 2006-QS7-A5		5.38%	# I/F I/O		06/25/2036		50,424
	174,516	Series 2006-QS8-A4		0.67%	#		08/25/2036		99,460
	523,547	Series 2006-QS8-A5		5.33%	# I/F I/O		08/25/2036		96,363
		Residential Asset Mortgage Products, Inc.,
	470,003	Series 2004-RS2-MII1		1.09%	#		02/25/2034		406,984
	3,695	Series 2004-RS9-AI4		4.77%	#		10/25/2032		3,366
		Residential Asset Securitization Trust,
	35,000	Series 2005-A12-A12		5.50%			11/25/2035		31,349
	788,250	Series 2007-A1-A8		6.00%			03/25/2037		591,628
	827,719	Series 2007-A5-2A5		6.00%			05/25/2037		740,977
		Washington Mutual Mortgage Pass-Through Certificates,
	428,755	Series 2006-8-A6		5.77%	#		10/25/2036		293,023
		Total Non-Agency Residential Collateralized Mortgage Obligations (Cost $10,874,995)							11,732,634

34 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT/ SHARES		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	US GOVERNMENT / AGENCY MORTGAGE BACKED OBLIGATIONS 5.1%
		Federal Home Loan Mortgage Corporation,
$	928,570	Series 2890-ZA		5.00%			11/15/2034		1,037,131
	184,916	Series 3261-SA		6.21%	# I/F I/O		01/15/2037		32,568
	345,259	Series 3317-DS		14.45%	# I/F		05/15/2037		435,225
	394,245	Series 3355-BI		5.83%	# I/F I/O		08/15/2037		59,620
	592,507	Series 3384-S		6.17%	# I/F I/O		11/15/2037		76,702
	1,055,448	Series 3384-SG		6.09%	# I/F I/O		08/15/2036		131,361
	665,575	Series 3417-SX		5.96%	# I/F I/O		02/15/2038		65,511
	1,139,650	Series 3423-GS		5.43%	# I/F I/O		03/15/2038		104,304
	11,636,793	Series 3423-TG		0.35%	# I/F I/O		03/15/2038		98,095
	1,278,396	Series 3500-SA		5.30%	# I/F I/O		01/15/2039		147,076
	1,154,647	Series 3523-SM		5.78%	# I/F I/O		04/15/2039		161,048
	326,534	Series 3562-WS		4.73%	# I/F I/O		08/15/2039		33,780
	500,000	Series 3641-TB		4.50%			03/15/2040		540,103
	22,195	Series 3738-MS		11.39%	# I/F		10/15/2040		22,284
	105,256	Series 3739-LS		9.56%	# I/F		10/15/2040		109,301
	1,049,024	Series 3758-S		5.81%	# I/F I/O		11/15/2040		131,860
	77,120	Series 3779-DZ		4.50%			12/15/2040		81,144
	8,181	Series 3780-BS		9.46%	# I/F		12/15/2040		8,244
	79,870	Series 3780-YS		9.46%	# I/F		12/15/2040		85,458
	81,535	Series 3793-SB		9.95%	# I/F		01/15/2041		84,167
	51,013	Series 3796-SK		9.46%	# I/F		01/15/2041		51,761
	1,163,428	Series 3815-ST		5.63%	# I/F I/O		02/15/2041		147,738
	624,364	Series 3900-SB		5.75%	# I/F I/O		07/15/2041		76,770
	345,832	Series 3923-CZ		5.00%			09/15/2041		418,183
	513,279	Series 3972-AZ		3.50%			12/15/2041		526,927
	1,026,980	Series 3982-TZ		4.00%			01/15/2042		1,141,344
		Federal National Mortgage Association,
	346,992	Series 2006-101-SA		6.36%	# I/F I/O		10/25/2036		61,339
	169,713	Series 2006-123-LI		6.10%	# I/F I/O		01/25/2037		30,331
	825,490	Series 2007-57-SX		6.40%	# I/F I/O		10/25/2036		129,450
	53,339	Series 2009-49-S		6.53%	# I/F I/O		07/25/2039		8,619
	1,039,477	Series 2009-86-CI		5.58%	# I/F I/O		09/25/2036		137,567
	918,890	Series 2009-90-IA		5.53%	# I/F I/O		03/25/2037		126,473
	887,163	Series 2009-90-IB		5.50%	# I/F I/O		04/25/2037		118,478
	57,114	Series 2010-155-SA		9.54%	# I/F		01/25/2041		59,208
	1,316,609	Series 2010-39-SL		5.45%	# I/F I/O		05/25/2040		160,403
	135,251	Series 2011-11-SA		6.35%	# I/F		03/25/2031		136,667
	216,601	Series 2011-123-SC		9.34%	# I/F		12/25/2041		221,548
	10,060	Series 2011-14-US		7.79%	# I/F		03/25/2041		10,077
	1,248,761	Series 2011-5-PS		6.18%	# I/F I/O		11/25/2040		115,901
	305,030	Series 2012-30-DZ		4.00%			04/25/2042		339,186
		Government National Mortgage Association,
	120,155	Series 2009-6-SM		5.73%	# I/F I/O		02/20/2038		17,832
	68,834	Series 2011-12-PO		0.00%	P/O		12/20/2040		63,955
	77,834	Series 2011-14-SM		9.26%	# I/F		08/16/2040		81,300
	534,848	Series 2011-45-GZ		4.50%			03/20/2041		610,618
	250,000	Series 2011-7-LS		9.44%	# I/F		12/20/2040		310,164
		Taotal US Government / Agency Mortgage Backed Obligations (Cost $7,752,021)							8,546,821
	AFFILIATED MUTUAL FUNDS 21.3% (b)
	715,633	DoubleLine Low Duration Bond Fund							7,306,610
	2,477,404	DoubleLine Total Return Bond Fund							28,242,403
		Total Affiliated Mutual Funds (Cost $34,811,221)							35,549,013
	EXCHANGE TRADED FUNDS AND COMMON STOCK 24.9%
	190,000	First Trust ISE-Revere Natural Gas Index Fund							3,304,100
	86,000	Hugoton Royalty Trust							566,740

PRINCIPAL AMOUNT/ CONTRACTS~/ SHARES		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	70,000	iShares Barclays 1-3 Year Treasury Bond Fund							5,915,000
	170,000	iShares FTSE China 25 Index Fund							5,883,700
	123,650	Market Vectors Gold Miners ETF							6,641,242
	35,000	Market Vectors Junior Gold Miners ETF							865,200
	121,500	Morgan Stanley China A Share Fund, Inc.							2,269,620
	200,000	PowerShares Senior Loan Portfolio ETF Trust							4,990,000
	65,245	SPDR Dow Jones Industrial Average ETF Trust							8,746,092
	110,400	Ultra Petroleum Corporation							2,426,592
		Total Exchange Traded Funds and Common Stock (Cost $41,497,874)							41,608,286
	PURCHASED OPTIONS 0.1%
		COMEX Division Gold Call,
	10	Expiration December 2014, Strike Price $100.00							179,164
		Crude Oil European Call,
	5	Expiration December 2013, Strike Price $130.00							8,950
		London Gold Market Put,
	13,000	Expiration October 2012, Strike Price $1,565							13
		PDR Dow Jones Industrial Average ETF Trust Put,
	500	SExpiration October 2012, Strike Price $130.00							24,500
		SPDR Gold Trust Call,
	25	Expiration January 2014, Strike Price $200.00							21,750
		Total Purchased Options (Cost $1,138,121)							234,377
	SHORT TERM INVESTMENTS 40.2%
	58,670,115	Fidelity Institutional Government Portfolio		0.01%	¨				58,670,115
	7,500,000	United States Treasury Bills		0.00%			10/18/2012		7,499,741
	1,000,000	United States Treasury Bills		0.00%			12/27/2012		999,778
		Total Short Term Investments (Cost $67,169,593)							67,169,634
		Total Investments 101.9% (Cost $169,499,261)							170,321,781
		Liabilities in Excess of Other Assets (1.9)%							(3,148,454	)
		NET ASSETS 100.0%						$	167,173,327

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 35

Schedule of Investments  DoubleLine Multi-Asset Growth Fund(Cont.)

PORTFOLIO HOLDINGS as % of Net Assets
Short Term Investments	40.2%
Exchange Traded Funds and Common Stock	24.9%
Affiliated Mutual Funds	21.3%
Non-Agency Residential Collateralized Mortgage Obligations	7.0%
US Government / Agency Mortgage Backed Obligations	5.1%
Non-Agency Commercial Mortgage-Backed Obligations	2.7%
Foreign Corporate Bonds	0.6%
Purchased Options	0.1%
Other Assets and Liabilities	(1.9)%
	100.0%

# Variable rate security. Rate disclosed as of September 30, 2012.

^ Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional buyers. These securities are determined to be liquid by the Adviser, unless otherwise noted, under procedures established by the Fund’s Board of Trustees. At September 30, 2012, the value of these securities amounted to $4,960,273 or 3.0% of net assets.

I/O Interest only security

I/F Inverse floating rate security whose interest rate moves in the opposite direction of prevailing interest rates

P/O Principal only security

* Non-Income Producing

¨ Seven-day yield as of September 30, 2012

(a) Issuer is in default of interest payments

(b) Institutional class shares at each fund

Contracts ~
Written Options	Security Description	Value
5	Crude Oil Europe Call, Expiration December 2013, Strike Price $180.00	$	(1,650	)
500	Market Vectors Gold Miners Call, Expiration October 2012, Strike Price $52.50		(113,500	)
500	Market Vectors Gold Miners Call, Expiration October 2012, Strike Price $53.00		(101,000	)
200	Market Vectors Gold Miners Call, Expiration October 2012, Strike Price $53.50		(35,800	)
Total Written Options (Premiums Received $128,591)		$	(251,950	)

~ 100 shares per contract

Futures Contracts - Long
Contracts	Security Description	Expiration Month		Unrealized Appreciation (Depreciation)
20	Brent Crude		12/2012	$	(16,346	)
36	DJIA Mini E-CBOT		12/2012		(30,321	)
48	Gold Future		12/2012		682,313
48	Natural Gas Future		10/2013		97,434
				$	733,080

Credit Default Swaps - Buy Protection
Reference Entity	Counterparty	Notional Amount		Termination Date		Unrealized Appreciation (Depreciation)
French Republic	Morgan Stanley		2,000,000		09/20/2016	$	(16,426	)
French Republic	Morgan Stanley		2,000,000		12/20/2016		(61,470	)
						$	(77,896	)

Total Return Swaps - Long
Reference Entity	Counterparty	Notional Amount		Termination Date		Unrealized Appreciation (Depreciation)
J.P. Morgan Macro Hedge Index	J.P. Morgan		5,000,000		12/26/2012	$	92,323
S&P GSCI Brent Crude Official Close Index	Morgan Stanley		750,000		10/04/2012		2,631
S&P GSCI Copper Official Close Index	Morgan Stanley		750,000		10/04/2012		2,705
S&P GSCI Gas Oil Official Close Index	Morgan Stanley		750,000		10/04/2012		—
S&P GSCI Heating Oil Official Close Index	Morgan Stanley		750,000		10/04/2012		1,999
S&P GSCI Soybeans Official Close Index	Morgan Stanley		750,000		10/04/2012		14,444
S&P GSCI Unleaded Gasoline Official Close Index	Morgan Stanley		750,000		10/04/2012		5,928
						$	120,030

36 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

Total Return Swaps - Short
Reference Entity	Counterparty	Notional Amount		Termination Date		Unrealized Appreciation (Depreciation)
S&P GSCI Aluminum Official Close Index	Morgan Stanley		750,000		10/04/2012	$	(1,965	)
S&P GSCI Coffee Official Close Index	Morgan Stanley		750,000		10/04/2012		3,442
S&P GSCI Cotton Official Close Index	Morgan Stanley		750,000		10/04/2012		9,227
S&P GSCI Kansas Wheat Official Close Index	Morgan Stanley		750,000		10/04/2012		(42,058	)
S&P GSCI Wheat Official Close Index	Morgan Stanley		750,000		10/04/2012		(41,204	)
S&P GSCI Natural Gas Official Close Index	Morgan Stanley		750,000		10/04/2012		(5,243	)
						$	(77,801	)

Investments in Affiliates

Generally, an issuer is an affiliated person of a Fund under the Investment Company Act of 1940 if the Fund holds 5% or more of the outstanding voting securities of the issuer or if the issuer is under common control with the Fund.

A summary of DoubleLine Multi-Asset Growth Fund’s (Consolidated) investment in affiliated mutual funds for the period ended September 30, 2012, is as follows:

Fund	Value at March 31, 2012		Gross Purchases		Gross Sales		Shares Held at September 30, 2012		Value at September 30, 2012		Dividend Income Earned in the Period Ended September  30, 2012		Net Realized Gain (Loss) in the Period Ended September  30, 2012
DoubleLine Total Return Bond Fund	$	24,203,882	$	3,500,000	$	—		2,477,404	$	28,242,403	$	376,745	$	—
DoubleLine Core Fixed Income Fund		3,866,013		—		3,918,445		—		—		26,103		135,489
DoubleLine Emerging Markets Fixed Income Fund		6,863,366		—		6,824,881		—		—		21,186		79,392
DoubleLine Low Duration Bond Fund		4,003,271		4,380,000		—		715,633		7,306,610		29,600		—
	$	38,936,532	$	7,880,000	$	10,743,326		3,193,037	$	35,549,013	$	453,634		214,881

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 37

Schedule of Investments  DoubleLine Low Duration Bond Fund

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	COLLATERALIZED LOAN OBLIGATIONS 7.1%
		ARES Ltd.,
$	1,159,778	Series 2006-5RA-A2		0.68%	#^		02/24/2018		1,139,030
	1,762,268	Series 2006-6RA-A1B		0.63%	#^		03/12/2018		1,732,250
	1,681,649	Series 2006-6RA-A2		0.68%	#		03/12/2018		1,618,716
		Atrium Corporation,
	1,553,644	Series 3A-A1		0.76%	#^		10/27/2016		1,540,446
		Avalon Capital Ltd.,
	2,935,158	Series 2005-A1-A1		0.70%	#^		02/24/2019		2,884,399
		Avenue Ltd.,
	387,999	Series 2004-1A-A1L		0.78%	#^		02/15/2017		385,452
		Ballyrock Ltd.,
	2,383,000	Series 2006-1A-A		0.65%	#^		08/28/2019		2,343,130
		Black Diamond Ltd.,
	766,248	Series 2005-1A-A1		0.65%	#^		06/20/2017		756,732
		Canyon Capital Ltd.,
	3,993,468	Series 2004-1A-A1A		0.84%	#^		10/15/2016		3,941,471
		Equinox Funding,
	1,109,955	Series 2000-1A-B		1.53%	#^		11/15/2012		1,098,300
		Four Corners,
	733,439	Series 2005-1A-A3		0.67%	#^		03/26/2017		723,455
		Foxe Basin Ltd.,
	691,405	Series 2003-1-AB		2.09%	#^		12/15/2015		690,015
		FriedbergMilstein Private Capital Fund,
	334,766	Series 2004-1A-B2		5.41%	^		01/15/2019		340,086
		Galaxy Ltd.,
	890,074	Series 2005-5A-A1		0.72%	#^		10/20/2017		882,249
		GSC Partners Fund Ltd.,
	1,112,026	Series 2004-5A-A1		0.81%	#^		11/20/2016		1,110,715
		Gulf Stream-Sextant Ltd.,
	1,772,167	Series 2006-1A-A2		0.68%	#^		08/21/2020		1,730,140
		Katonah Ltd.,
	126,289	Series 2002-3A-A		0.87%	#^		05/18/2015		126,192
		KKR Trust,
	2,899,656	Series 2007-AA-A		1.21%	#^		10/15/2017		2,870,876
		Landmark III Ltd.,
	2,500,000	Series 2003-3A-A2L		1.46%	#^		01/15/2016		2,481,711
		Monument Park Ltd.,
	703,961	Series 2003-1A-A1		1.02%	#^		01/20/2016		702,298
		NYLIM Flatiron Ltd.,
	15,338	Series 2004-A1-A		0.79%	#^		10/20/2016		15,321
		Pacifica Ltd.,
	333,371	Series 2004-3A-A1		0.79%	#^		05/13/2016		330,952
		Regatta Funding Ltd.,
	240,000	Series 2007-1A-X		0.64%	#^		06/15/2013		238,709
		Sargas II Ltd.,
	210,548	Series 2006-1A-D		1.71%	#^		10/20/2018		210,189
		Suffield Ltd.,
	499,640	Series 4-A		2.55%	#^		09/26/2014		492,599
		Symphony Ltd.,
	1,250,000	Series 2012-10A-X		1.44%	#^		07/23/2023		1,250,001
		Venture Ltd.,
	778,323	Series 2003-1A-A1		0.97%	#^		01/21/2016		775,046
	452,512	Series 2004-1A-A1		0.78%	#^		08/15/2016		448,892
		Wind River Ltd.,
	476,886	Series 2004-1A-A1		0.71%	#^		12/19/2016		466,531
		Total Collateralized Loan Obligations (Cost $33,301,214)							33,325,903

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	FOREIGN CORPORATE BONDS 14.1%
$	400,000	Abu Dhabi National Energy Company		6.60%			08/01/2013		416,600
	200,000	Abu Dhabi National Energy Company		4.75%			09/15/2014		211,750
	300,000	Abu Dhabi National Energy Company		5.88%			10/27/2016		339,150
	818,000	AES Gener S.A.		7.50%			03/25/2014		885,355
	900,000	AK Transneft OJSC		5.67%			03/05/2014		956,700
	1,200,000	Alfa Invest Ltd.		9.25%			06/24/2013		1,257,000
	1,050,000	Australia and New Zealand Banking Group Ltd.		2.13%	^		01/10/2014		1,062,198
	1,500,000	Banco Bradesco S.A.		2.54%	#		05/16/2014		1,511,143
	200,000	Banco de Bogota S.A.		5.00%	^		01/15/2017		212,000
	1,070,000	Banco de Chile		6.25%			06/15/2016		1,197,728
	400,000	Banco de Credito del Peru		4.75%			03/16/2016		424,000
	1,800,000	Banco de Credito e Inversiones		3.00%	^		09/13/2017		1,801,854
	800,000	Banco do Brasil S.A.		4.50%			01/22/2015		844,000
	600,000	Banco do Brasil S.A.		3.88%			01/23/2017		625,500
	300,000	Banco Latinoamericano de Comercio Exterior S.A.		3.75%	^		04/04/2017		312,000
	703,000	Banco Mercantil del Norte		4.38%			07/19/2015		748,695
	600,000	Banco Safra S.A.		3.50%			05/16/2014		614,250
	1,400,000	Bancolombia S.A.		4.25%			01/12/2016		1,459,500
	850,000	BP Capital Markets PLC		3.63%			05/08/2014		891,714
	700,000	BP Capital Markets PLC		3.13%			10/01/2015		747,995
	1,300,000	British Telecommunications PLC		2.00%			06/22/2015		1,337,509
	1,300,000	CCL Finance Ltd.		9.50%			08/15/2014		1,467,375
	100,000	Celulosa Arauco y Constitucion S.A.		5.13%			07/09/2013		102,668
	1,070,000	Celulosa Arauco y Constitucion S.A.		5.63%			04/20/2015		1,162,591
	400,000	Centrais Eletricas Brasileiras S.A.		7.75%			11/30/2015		467,000
	200,000	CNPC General Capital Ltd.		2.75%	^		04/19/2017		207,305
	1,200,000	CNPC Overseas Capital Ltd.		3.13%			04/28/2016		1,254,000
	243,000	Corporacion Nacional del Cobre de Chile		5.50%			10/15/2013		254,506
	800,000	Corporacion Nacional del Cobre de Chile		4.75%			10/15/2014		856,537
	894,000	Covidien International Finance S.A.		1.88%			06/15/2013		902,898
	151,000	Covidien International Finance S.A.		1.35%			05/29/2015		153,046
	500,000	CSN Islands VIII Corporation		9.75%			12/16/2013		543,125
	1,500,000	Diageo Capital PLC		7.38%			01/15/2014		1,629,399
	400,200	Dolphin Energy Ltd.		5.89%			06/15/2019		455,228
	1,500,000	Embraer Overseas Ltd.		6.38%			01/24/2017		1,710,000
	300,000	Export-Import Bank of Korea		4.13%			09/09/2015		324,552
	1,145,000	France Telecom S.A.		4.38%			07/08/2014		1,212,072
	800,000	Freeport-McMoRan Copper & Gold, Inc.		2.15%			03/01/2017		809,878
	300,000	Gaz Capital S.A.		7.34%			04/11/2013		309,990
	300,000	Gaz Capital S.A.		7.51%			07/31/2013		316,125
	1,000,000	Gaz Capital S.A.		8.13%			07/31/2014		1,105,510
	1,200,000	Gazprombank OJSC		7.93%			06/28/2013		1,257,000
	200,000	Grupo Aval Ltd.		5.25%	^		02/01/2017		213,500
	1,500,000	Grupo Aval Ltd.		5.25%			02/01/2017		1,601,250
	300,000	Hutchison Whampoa International Ltd.		6.50%			02/13/2013		306,258
	1,300,000	Hutchison Whampoa International Ltd.		4.63%			09/11/2015		1,410,235
	700,000	Hyundai Capital America, Inc.		3.75%			04/06/2016		745,102
	150,000	Industrial Bank of Korea		7.13%			04/23/2014		163,875
	200,000	Industry & Construction Bank		5.01%	#		09/29/2015		200,000
	1,468,000	Inversiones CMPC S.A.		4.88%			06/18/2013		1,499,177
	800,000	IOI Ventures BHD		5.25%			03/16/2015		852,990
	150,000	KazMunayGas National Company		8.38%			07/02/2013		157,477

38 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	1,175,000	Korea Development Bank		4.38%			08/10/2015		1,275,686
	400,000	Korea Development Bank		3.25%			03/09/2016		421,742
	400,000	Lukoil International Finance BV		6.38%			11/05/2014		436,344
	815,000	Malayan Banking BHD		3.00%			02/10/2017		841,376
	100,000	MTR Corporation		4.50%			08/14/2013		103,450
	400,000	MTR Corporation		4.75%			01/21/2014		416,447
	1,450,000	National Australia Bank Ltd.		1.60%			08/07/2015		1,465,603
	660,000	Pemex Project Funding Master Trust		5.75%			12/15/2015		739,200
	1,900,000	Petrobras International Finance Company		3.88%			01/27/2016		2,019,339
	800,000	Petroleos Mexicanos		4.88%			03/15/2015		862,000
	1,000,000	Petronas Global Sukuk Ltd.		4.25%			08/12/2014		1,056,329
	363,000	Petronas Global Sukuk Ltd.		4.25%	^		08/12/2014		383,447
	700,000	Prime Holdings Labuan Ltd.		5.38%			09/22/2014		741,239
	850,000	PTTEP Australia International Finance Ltd.		4.15%			07/19/2015		899,924
	600,000	Qtel International Finance Ltd.		6.50%			06/10/2014		651,600
	700,000	Qtel International Finance Ltd.		3.38%			10/14/2016		734,300
	250,000	Ras Laffan Liquefied Natural Gas Company		5.50%			09/30/2014		271,355
	646,400	Ras Laffan Liquefied Natural Gas Company		5.83%			09/30/2016		707,808
	1,465,000	Royal Bank of Canada		1.15%	#		10/30/2014		1,479,731
	1,000,000	RSHB Capital S.A.		7.13%			01/14/2014		1,060,600
	600,000	Russian Agricultural Bank		7.18%			05/16/2013		619,905
	1,300,000	Sberbank of Russia		6.47%			07/02/2013		1,347,190
	800,000	Sinopec Group Overseas Development Ltd.		2.75%	^		05/17/2017		831,513
	120,000	Sociedad Quimica y Minera S.A.		6.13%			04/15/2016		133,967
	700,000	Southern Copper Corporation		6.38%			07/27/2015		791,195
	143,091	Tengizchevroil Finance Corporation		6.12%			11/15/2014		150,603
	820,000	TM Global, Inc.		5.25%			09/22/2014		869,600
	800,000	Transnet Limited		4.50%			02/10/2016		850,412
	718,000	United Overseas Bank Ltd.		4.50%			07/02/2013		737,138
	600,000	Vale Overseas Ltd.		9.00%			08/15/2013		634,500
	1,200,000	WPP Finance UK		8.00%			09/15/2014		1,347,719
		Total Foreign Corporate Bonds (Cost $65,622,809)							66,388,572
	FOREIGN GOVERNMENT BONDS AND NOTES, SUPRANATIONALS AND FOREIGN AGENCIES 3.2%
	500,000	1Malaysia Sukuk Global Bank		3.93%			06/04/2015		534,956
	116,000	Colombia Government International Bond		2.24%	#		11/16/2015		116,870
	1,000,000	Colombia Government International Bond		8.70%			02/15/2016		1,216,500
	1,000,000	Costa Rica Government International Bond		8.05%			01/31/2013		1,017,500
	1,350,000	Costa Rica Government International Bond		6.55%			03/20/2014		1,424,250
	1,150,000	Mexico Government International Bond		6.63%			03/03/2015		1,304,100
	2,000,000	Panama Government International Bond		7.25%			03/15/2015		2,295,000
	1,200,000	Penerbangan BHD		5.63%			03/15/2016		1,359,644
	1,600,000	Republic of Korea		4.88%			09/22/2014		1,724,565

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	600,000	South Africa Government International Bond		6.50%			06/02/2014		656,400
	2,400,000	State of Qatar		4.00%			01/20/2015		2,553,600
	750,000	Wakala Global Sukuk BHD		2.99%			07/06/2016		786,530
		Total Foreign Government Bonds and Notes, Supranationals and Foreign Agencies (Cost $14,808,273)							14,989,915
	NON-AGENCY COMMERCIAL MORTGAGE-BACKED OBLIGATIONS 19.2%
		Asset Securitization Corporation,
	9,160,056	Series 1997-D4-PS1		1.71%	# I/O		04/14/2029		390,053
		Banc of America Commercial Mortgage, Inc.,
	936,011	Series 2005-5-ASB		5.05%	#		10/10/2045		978,392
	652,317	Series 2006-5-AAB		5.38%			09/10/2047		688,499
		Banc of America Re-Remic Trust,
	1,406,990	Series 2011-STRP-A2		215%	#^		08/17/2038		1,408,925
	2,000,000	Series 2012-CLRN-A		1.39%	#^		08/15/2029		2,012,400
		Bank of America Commercial Mortgage, Inc.,
	100,000	Series 2003-2-A4		5.06%	#		03/11/2041		103,096
		Bear Stearns Commercial Mortgage Securities, Inc.,
	54,112	Series 2002-TOP8-A2		4.83%			08/15/2038		54,110
	1,015,000	Series 2004-PWR3-A4		4.72%			02/11/2041		1,056,267
	1,902,831	Series 2004-PWR4-A3		5.47%	#		06/11/2041		2,026,042
	825,000	Series 2004-T14-A4		5.20%	#		01/12/2041		867,684
	515,681	Series 2005-PWR7-AAB		4.98%			02/11/2041		517,232
	3,000,000	Series 2005-PWR8-A4		4.67%			06/11/2041		3,280,296
	331,263	Series 2005-PWR8-AAB		4.58%			06/11/2041		334,603
	1,300,000	Series 2005-T18-AJ		5.01%	#		02/13/2042		1,386,492
	1,487,248	Series 2006-PW12-AAB		5.87%	#		09/11/2038		1,526,449
	859,885	Series 2007-PW17-AAB		5.70%			06/11/2050		919,219
	27,596	Series 2007-T28-A2		5.59%			09/11/2042		27,589
		Capital Trust,
	1,185,567	Series 2005-3A-A2		5.16%	^		06/25/2035		1,185,567
		CD Commercial Mortgage Trust,
	590,504	Series 2007-CD4-ASB		5.28%			12/11/2049		622,790
	14,480,751	Series 2007-CD5-XP		0.31%	#^ I/O		11/15/2044		60,124
		Citigroup Commercial Mortgage Trust,
	615,000	Series 2005-C3-AM		4.83%	#		05/15/2043		655,944
		Commercial Mortgage Acceptance Corporation,
	47,050	Series 1998-C1-F		6.23%	^		07/15/2031		47,405
	524,833	Series 1998-C2-F		5.44%	^		09/15/2030		540,017
		Commercial Mortgage Pass-Through Certificates,
	9,989,262	Series 2012-CR2-XA		2.14%	# I/O		08/15/2045		1,267,597
		Credit Suisse First Boston Mortgage Securities Corporation,
	500,000	Series 1998-C2-F		6.75%	#^		11/15/2030		538,009
	14,186	Series 2002-CKN2-A3		6.13%			04/15/2037		14,248
	2,000,000	Series 2003-C4-B		5.25%	#		08/15/2036		2,063,438
	7,006,761	Series 2004-C1-A4		4.75%	#		01/15/2037		7,296,921
	2,000,000	Series 2005-C6-AM		5.23%	#		12/15/2040		2,204,887
		Credit Suisse Mortgage Capital Certificates,
	1,979,524	Series 2006-TF2A-A2		0.39%	#^		10/15/2021		1,925,798
		Crest Ltd.,
	967,008	Series 2003-2A-A1		0.84%	#^		12/28/2018		904,153
		DBRR Trust,
	4,000,000	Series 2012-EZ1-A		0.95%	^		09/25/2045		4,004,612
	687,000	Series 2012-EZ1-B		1.39%	^		09/25/2045		686,466
		DDR Corporation,
	1,770,588	Series 2009-DDR1-A		3.81%	^		10/14/2022		1,865,331
		Extended Stay American Trust,
	1,931,478	Series 2010-ESHA-A		2.95%	^		11/05/2027		1,942,682
		GE Capital Commercial Mortgage Corporation,
	487,000	Series 2004-C3-B		5.51%	#		07/10/2039		516,297
	1,000,000	Series 2005-C2-B		5.11%	#		05/10/2043		1,037,959
	178,286	Series 2007-C1-AAB		5.48%			12/10/2049		188,935

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 39

Schedule of Investments  DoubleLine Low Duration Bond Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		GMAC Commercial Mortgage Securities, Inc.,
$	601,282	Series 2004-C3-AAB		4.70%			12/10/2041		622,263
		Greenwich Capital Commercial Funding Corporation,
	2,000,000	Series 2005-GG3-A4		4.80%	#		08/10/2042		2,156,743
		GS Mortgage Securities Corporation II,
	139,635	Series 2003-C1-A3		4.61%			01/10/2040		139,871
	2,275,000	Series 2004-GG2-A6		5.40%	#		08/10/2038		2,438,641
	4,670,000	Series 2007-EOP-A2		1.26%	#^		03/06/2020		4,668,622
	637,000	Series 2007-EOP-A3		1.46%	#^		03/06/2020		637,004
	1,193,409	Series 2012-GCJ7-A1		1.14%			05/10/2045		1,206,010
		JP Morgan Chase Commercial Mortgage Securities Corporation,
	1,488,000	Series 2003-PM1A-A4		5.33%	#		08/12/2040		1,526,419
	524,329	Series 2004-CB8-A1A		4.16%	^		01/12/2039		541,708
	2,856,000	Series 2004-LN2-A2		5.12%			07/15/2041		3,041,197
	170,139	Series 2006-CB14-ASB		5.51%	#		12/12/2044		181,418
	96,988	Series 2006-CB15-ASB		5.79%	#		06/12/2043		103,883
	114,509,589	Series 2006-CB16-X2		0.71%	# I/O		05/12/2045		574,266
	203,938	Series 2006-CB17-ASB		5.42%			12/12/2043		218,869
	464,227	Series 2007-CB20-ASB		5.69%			02/12/2051		511,101
	434,065	Series 2007-LD11-ASB		6.00%	#		06/15/2049		475,449
	197,538	Series 2007-LDP12-ASB		5.83%	#		02/15/2051		217,505
	3,968,957	Series 2010-C1-A1		3.85%	^		06/15/2043		4,252,507
	867,146	Series 2011-PLSD-A1		2.19%	^		11/13/2044		893,364
		LB-UBS Commercial Mortgage Trust,
	8,639	Series 2003-C5-A3		4.25%			07/15/2027		8,746
	1,299,000	Series 2004-C2-A4		4.37%			03/15/2036		1,358,738
	2,000,000	Series 2004-C6-A6		5.02%	#		08/15/2029		2,133,522
	33,733,771	Series 2006-C6-XCP		0.86%	# I/O		09/15/2039		238,700
	98,070,043	Series 2007-C2-XCP		0.68%	# I/O		02/15/2040		727,680
		Merrill Lynch Mortgage Trust,
	138,000	Series 2003-KEY1-A4		5.24%	#		11/12/2035		143,689
	1,020,000	Series 2004-KEY2-A4		4.86%	#		08/12/2039		1,091,256
	500,000	Series 2005-CIP1-AM		5.11%	#		07/12/2038		551,210
	126,158	Series 2005-CKI1-A4FL		0.48%	#		11/12/2037		126,091
		Merrill Lynch/Countrywide Commercial Mortgage Trust,
	250,487	Series 2006-4-A2FL		0.35%	#		12/12/2049		249,464
		Morgan Stanley Bank of America Merrill Lynch Trust,
	3,992,619	Series 2012-C5-XA		2.10%	#^ I/O		08/15/2045		456,159
		Morgan Stanley Capital, Inc.,
	110,021	Series 2003-IQ5-A4		5.01%			04/15/2038		112,640
	1,586,355	Series 2003-T11-A4		5.15%			06/13/2041		1,623,727
	140,897	Series 2003-TOP9-A2		4.74%			11/13/2036		141,468
	43,171	Series 2004-T13-A3		4.39%			09/13/2045		43,500
	1,760,000	Series 2005-T17-A5		4.78%			12/13/2041		1,893,999
	25,733,370	Series 2006-HQ10-X1		0.18%	#^ I/O		11/12/2041		453,551
	218,369	Series 2006-HQ9-AAB		5.69%			07/12/2044		224,052
	1,409,218	Series 2007-T25-AAB		5.51%			11/12/2049		1,486,935
		Nomura Asset Securities Corporation,
	340,146	Series 1998-D6-A2		7.33%	#		03/15/2030		342,575
		RREF LLC,
	122,451	Series 2012-LT1A-A		4.75%	^		02/15/2025		122,586
		UBS Commercial Mortgage Trust,
	1,415,125	Series 2012-C1-A1		1.03%			05/10/2045		1,431,581
		Wachovia Bank Commercial Mortgage Trust,
	711,148	Series 2003-C3-A2		4.87%			02/15/2035		716,016
	1,096,142	Series 2004-C14-A3		4.93%			08/15/2041		1,124,833
	1,000,000	Series 2005-C17-A4		5.08%	#		03/15/2042		1,094,304
	97,478	Series 2006-C25-APB1		5.83%	#		05/15/2043		98,270
	66,976	Series 2006-C26-APB		6.00%			06/15/2045		72,594
		WF-RBS Commercial Mortgage Trust,
	386,095	Series 2011-C3-A1		1.99%	^		03/15/2044		395,173
	3,496,762	Series 2012-C8-XA		2.42%	#^ I/O		08/15/2045		474,456
		Total Non-Agency Commercial Mortgage-Backed Obligations (Cost $91,243,713)							90,490,883

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
	NON-AGENCY RESIDENTIAL COLLATERALIZED MORTGAGE OBLIGATIONS 19.5%
		ACE Securities Corporation,
$	1,127,807	Series 2006-NC1-A2C		0.42%	#		12/25/2035		1,107,833
		Banc of America Funding Corporation,
	3,239,777	Series 2005-E-6A1		5.06%	#		05/20/2035		3,252,898
	2,668,932	Series 2012-R4-A		0.49%	#^		03/04/2039		2,528,813
	8,298,625	Series 2012-R5-A		0.49%	#^		10/03/2039		8,049,666
		Banc of America Mortgage Securities, Inc.,
	1,375,340	Series 2005-2-2A1		5.00%			03/25/2020		1,398,143
		BCAP LLC Trust,
	73,810	Series 2009-RR13-6A5		6.06%	#^		04/26/2037		76,857
	1,699,389	Series 2011-RR12-2A5		2.66%	#^		12/26/2036		1,680,696
		Bear Stearns Asset Backed Securities Trust,
	2,912,751	Series 2004-AC2-2A		5.00%			05/25/2034		2,938,860
	889,081	Series 2005-3-A1		0.67%	#		09/25/2035		876,217
		Chase Funding Mortgage Loan Asset-Backed Certificates,
	171,265	Series 2003-5-1A6		4.60%			01/25/2015		172,933
	269,872	Series 2003-6-1A6		4.59%			11/25/2034		271,090
		Citigroup Mortgage Loan Trust, Inc.,
	1,192,920	Series 2010-12-3A1		4.00%	^		04/25/2037		1,224,413
	3,539,041	Series 2010-8-5A6		4.00%	^		11/25/2036		3,690,326
	2,435,522	Series 2011-12-1A1		3.50%	#^		04/25/2036		2,486,601
	1,473,349	Series 2011-12-3A1		5.59%	^		09/25/2047		1,491,997
		Countrywide Alternative Loan Trust,
	1,245,580	Series 2007-HY5R-2A1A		5.46%	#		03/25/2047		1,205,493
		Countrywide Asset-Backed Certificates,
	1,167,763	Series 2006-2-2A2		0.41%	#		06/25/2036		1,128,784
	303,310	Series 2007-10-2A1		0.27%	#		06/25/2047		301,774
		Countrywide Home Loans,
	468,040	Series 2004-9-A1		5.00%			06/25/2034		469,609
	939,357	Series 2005-5-A1		5.50%			03/25/2035		954,178
		Credit Suisse Mortgage Capital Certificates,
	2,643,031	Series 2009-13R-2A1		6.00%	^		01/26/2037		2,729,901
	12,344,000	Series 2010-18R-4A2		3.50%	#^		04/26/2038		12,354,486
	90,837	Series 2010-1R-5A1		5.00%	#^		01/27/2036		94,740
	5,141,000	Series 2011-16R-6A1		2.50%	#^		09/27/2035		5,135,859
		Deutsche ALT-A Securities, Inc. Mortgage Loan Trust,
	1,096,550	Series 2007-BAR1-A2		0.35%	#		03/25/2037		1,066,206
		Deutsche Mortgage Securities, Inc.,
	1,981,161	Series 2005-WF1-1A2		5.24%	#^		06/26/2035		2,008,679
		First Franklin Mortgage Loan Asset Backed Certificates,
	1,743,253	Series 2006-FF1-2A3		0.46%	#		01/25/2036		1,641,507
		Greenpoint Mortgage Funding Trust,
	17	Series 2006-AR8-1A1A		0.30%	#		01/25/2047		17
	2,138,473	Series 2007-AR2-1A1		0.35%	#		04/25/2047		2,004,837
		GSR Mortgage Loan Trust,
	1,634,243	Series 2006-AR1-2A2		2.71%	#		01/25/2036		1,619,284
		Jefferies & Company, Inc.,
	1,204,776	Series 2010-R7-5A1		1.22%	#^		09/26/2035		1,127,864
		JP Morgan Alternative Loan Trust,
	2,484,507	Series 2006-S4-A6		5.71%	#		12/25/2036		2,312,044
		JP Morgan Mortgage Trust,
	652,366	Series 2007-S1-1A1		5.00%			03/25/2022		645,092
	740,366	Series 2007-S3-2A2		5.50%			08/25/2022		721,028
		JP Morgan Research Trust,
	1,112,844	Series 2009-7-8A1		5.37%	#^		01/27/2047		1,140,774
	740,321	Series 2011-2-2A3		3.50%	#^		07/26/2036		764,399
	1,517,001	Series 2012-2-3A3		2.51%	#^		10/26/2036		1,501,679
		Lehman XS Trust,
	947,710	Series 2006-11-2A1		0.35%	#		06/25/2046		913,897
		MASTR Asset Backed Securities Trust,
	337,666	Series 2006-NC1-A3		0.41%	#		01/25/2036		304,226
		Morgan Stanley Capital, Inc.,
	3,250,000	Series 2005-WMC3-M3		0.92%	#		03/25/2035		3,111,555

40 DoubleLine Funds The accompanying notes are an integral part of these financial statements

(Unaudited)

September 30, 2012

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
		Morgan Stanley Mortgage Loan Trust,
$	522,930	Series 2004-1-1A1		5.00%			11/25/2018		538,887
		Park Place Securities, Inc.,
	694,819	Series 2004-WHQ2-M1		0.81%	#		02/25/2035		693,087
		Residential Funding Mortgage Securities Trust,
	506,133	Series 2003-S16-A1		4.75%			09/25/2018		521,006
	4,362,561	Series 2005-S6-A1		5.00%			08/25/2035		4,401,696
		Structured Adjustable Rate Mortgage Loan Trust,
	857,545	Series 2006-5-5A3		5.13%	#		06/25/2036		860,869
		Structured Asset Securities Corporation,
	817,920	Series 2003-24A-1A3		2.78%	#		07/25/2033		808,102
	710,516	Series 2004-15-2A1		4.75%			09/25/2019		723,085
	1,642,641	Series 2005-10-6A1		5.00%			06/25/2020		1,732,187
		Washington Mutual Mortgage Pass-Through Certificates,
	573,882	Series 2005-AR14-1A1		2.47%	#		12/25/2035		573,224
		Wells Fargo Alternative Loan Trust,
	1,696,304	Series 2007-PA5-2A1		6.00%			11/25/2022		1,770,118
		Wells Fargo Mortgage Backed Securities Trust,
	468,601	Series 2005-9-1A8		5.50%			10/25/2035		473,184
	479,209	Series 2006-13-A10		6.00%			10/25/2036		481,095
	428,743	Series 2006-4-1A8		5.75%			04/25/2036		431,905
		Wells Fargo Mortgage Loan Trust,
	1,246,377	Series 2012-RR1-A1		2.85%	#^		08/27/2037		1,264,226
		Total Non-Agency Residential Collateralized Mortgage Obligations (Cost $90,306,077)							91,777,926
	US CORPORATE BONDS 16.2%
	1,125,000	Altria Group, Inc.		8.50%			11/10/2013		1,221,149
	911,000	American Express Credit Corporation		5.88%			05/02/2013		939,733
	250,000	American Express Credit Corporation		7.30%			08/20/2013		264,935
	350,000	American Express Credit Corporation		1.75%			06/12/2015		358,241
	850,000	Amgen, Inc.		1.88%			11/15/2014		873,031
	380,000	Amgen, Inc.		4.85%			11/18/2014		412,823
	1,750,000	Anheuser-Busch InBev Worldwide, Inc.		5.38%			11/15/2014		1,926,067
	1,710,000	Aristotle Holding, Inc.		2.10%	^		02/12/2015		1,755,219
	2,000,000	AT&T, Inc.		2.50%			08/15/2015		2,102,980
	1,500,000	BB&T Corporation		3.20%			03/15/2016		1,612,332
	1,519,000	Berkshire Hathaway, Inc.		3.20%			02/11/2015		1,612,226
	751,000	Boeing Capital Corporation		3.25%			10/27/2014		793,168
	450,000	Boeing Company		5.00%			03/15/2014		479,795
	1,700,000	Caterpillar Financial Services Corporation		1.10%			05/29/2015		1,721,772
	1,750,000	Citigroup, Inc.		0.72%	#		11/05/2014		1,723,727
	937,000	Comcast Corporation		6.50%			01/15/2015		1,055,924
	577,000	ConocoPhillips Company		4.75%			02/01/2014		609,686
	1,000,000	ConocoPhillips Company		4.60%			01/15/2015		1,092,171
	416,000	Daimler Finance North America LLC		6.50%			11/15/2013		442,956
	350,000	Daimler Finance North America LLC		1.95%	^		03/28/2014		354,658
	950,000	Daimler Finance North America LLC		1.88%	^		09/15/2014		965,179
	1,615,000	Devon Energy Corporation		5.63%			01/15/2014		1,717,391
	1,400,000	DIRECTV Holdings LLC		4.75%			10/01/2014		1,502,116
	1,131,000	Dow Chemical Company		7.60%			05/15/2014		1,250,102
	1,514,000	Duke Energy Corporation		6.30%			02/01/2014		1,625,524
	2,000,000	eBay, Inc.		0.70%			07/15/2015		2,010,874
	1,050,000	Ecolab, Inc.		2.38%			12/08/2014		1,089,498
	350,000	Ecolab, Inc.		1.00%			08/09/2015		351,840
	986,000	General Electric Capital Corporation		3.75%			11/14/2014		1,045,665
	500,000	General Electric Capital Corporation		1.63%			07/02/2015		509,087

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE			MATURITY		VALUE $
$	1,150,000	General Mills, Inc.		5.20%			03/17/2015		1,276,273
	1,600,000	Gilead Sciences, Inc.		2.40%			12/01/2014		1,655,256
	1,100,000	Hewlett-Packard Company		1.25%			09/13/2013		1,103,560
	600,000	Hewlett-Packard Company		2.63%			12/09/2014		616,202
	1,750,000	John Deere Capital Corporation		0.88%			04/17/2015		1,763,302
	1,175,000	JP Morgan Chase & Company		4.75%			05/01/2013		1,204,951
	250,000	JP Morgan Chase & Company		1.88%			03/20/2015		255,218
	1,400,000	Kellogg Company		1.13%			05/15/2015		1,414,195
	522,000	Kinder Morgan Energy Partners LP		5.63%			02/15/2015		574,144
	1,000,000	Kinder Morgan Energy Partners LP		3.50%			03/01/2016		1,072,922
	500,000	Kraft Foods Group, Inc.		1.63%	^		06/04/2015		507,904
	719,000	Kraft Foods, Inc.		2.63%			05/08/2013		727,470
	200,000	Kroger Company		5.50%			02/01/2013		203,172
	500,000	Kroger Company		7.50%			01/15/2014		543,388
	400,000	Kroger Company		4.95%			01/15/2015		435,260
	1,700,000	KT Corporation		5.88%			06/24/2014		1,827,981
	810,000	Marriott International, Inc.		5.63%			02/15/2013		823,770
	175,000	Marriott International, Inc.		5.81%			11/10/2015		197,877
	300,000	MetLife Institutional Funding		1.63%	^		04/02/2015		304,665
	525,000	Metropolitan Life Global Funding		5.13%	^		04/10/2013		537,719
	500,000	Metropolitan Life Global Funding		5.13%	^		06/10/2014		536,446
	200,000	Metropolitan Life Global Funding		2.00%	^		01/09/2015		204,629
	1,510,000	MidAmerican Energy Holdings Company		5.00%			02/15/2014		1,596,762
	794,000	National Rural Utilities Cooperative Finance Corporation		3.88%			09/16/2015		865,520
	750,000	National Rural Utilities Cooperative Finance Corporation		1.90%			11/01/2015		774,265
	1,425,000	Phillips 66		1.95%	^		03/05/2015		1,458,935
	1,100,000	Procter & Gamble Company		0.70%			08/15/2014		1,107,465
	1,550,000	Raytheon Company		1.40%			12/15/2014		1,575,519
	775,000	Safeway, Inc.		6.25%			03/15/2014		828,701
	483,000	Simon Property Group LP		6.75%			05/15/2014		520,848
	500,000	Simon Property Group LP		4.20%			02/01/2015		532,759
	1,600,000	Southern Power Company, Series D		4.88%			07/15/2015		1,762,634
	1,528,000	Southwest Airlines Company		5.25%			10/01/2014		1,641,269
	999,000	Time Warner Cable, Inc.		6.20%			07/01/2013		1,041,443
	300,000	Time Warner Cable, Inc.		3.50%			02/01/2015		318,835
	1,400,000	Toyota Motor Credit Corporation		1.00%			02/17/2015		1,415,987
	1,100,000	Valero Energy Corporation		4.50%			02/01/2015		1,186,155
	1,650,000	Verizon Wireless Capital LLC		5.55%			02/01/2014		1,755,674
	120,000	Wal-Mart Stores, Inc.		3.00%			02/03/2014		124,120
	910,000	Wal-Mart Stores, Inc.		1.63%			04/15/2014		927,093
	648,000	Wellpoint, Inc.		5.00%			12/15/2014		702,550
	300,000	WellPoint, Inc.		5.25%			01/15/2016		336,653
	1,450,000	Wells Fargo & Company		1.50%			07/01/2015		1,475,388
	2,000,000	Westpac Banking Corporation		1.13%			09/25/2015		2,005,380
	1,215,000	Xerox Corporation		4.25%			02/15/2015		1,291,128
		Total US Corporate Bonds (Cost $75,966,492)							76,451,256

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 41

Schedule of Investments  DoubleLine Low Duration Bond Fund(Cont.)

PRINCIPAL AMOUNT		SECURITY DESCRIPTION	RATE		MATURITY		VALUE $
	US GOVERNMENT / AGENCY MORTGAGE BACKED OBLIGATIONS 2.8%
		Federal Home Loan Mortgage Corporation,
$	700,043	Pool G06871		6.00%		06/01/2038		770,766
	1,586,534	Pool G06954		6.00%		05/01/2040		1,744,338
	876,784	Pool N70081		5.50%		07/01/2038		956,458
	459,981	Series 3267-BA		5.80%		11/15/2036		503,382
	1,310,773	Series 3818-JA		4.50%		01/15/2040		1,359,832
	311,514	Series 3872-BA		4.00%		06/15/2041		333,800
		Federal National Mortgage Association,
	924,584	Series 2011-64-DB		4.00%		07/25/2041		985,932
		Federal National Mortgage Association Pass-Thru,
	176,582	Pool 995112		5.50%		07/01/2036		194,995
	791,261	Pool AB3850		4.00%		11/01/2041		836,282
	678,703	Pool AD0189		5.50%		02/01/2039		748,626
	1,479,682	Pool AL1690		6.00%		05/01/2041		1,637,955
	1,221,800	Pool AL1691		6.00%		06/01/2041		1,352,489
	1,650,308	Pool AL1744		6.00%		10/01/2040		1,826,831
		Total US Government / Agency Mortgage Backed Obligations (Cost $13,102,727)						13,251,686
	US GOVERNMENT BONDS AND NOTES 6.5%
	6,000,000	United States Treasury Notes		0.63%		12/31/2012		6,007,968
	5,000,000	United States Treasury Notes		0.63%		02/28/2013		5,010,745
	2,494,800	United States Treasury Notes		1.88%		07/15/2013		2,569,839
	5,000,000	United States Treasury Notes		0.25%		02/15/2015		4,997,655
	6,500,000	United States Treasury Notes		1.25%		10/31/2015		6,683,320
	5,500,000	United States Treasury Notes		0.88%		12/31/2016		5,586,795
		Total US Government Bonds and Notes (Cost $30,747,048)						30,856,322

SHARES		SECURITY DESCRIPTION	RATE			MATURITY	VALUE $
	SHORT TERM INVESTMENTS 11.4%
	53,600,505	Fidelity Institutional Government Portfolio		0.01%	¨			53,600,505
		Total Short Term Investments (Cost $53,600,505)						53,600,505
		Total Investments 100.0% (Cost $468,698,858)						471,132,968
		Liabilities in Excess of Other Assets 0.0%						(172,263	)
		NET ASSETS 100.0%					$	470,960,705

PORTFOLIO HOLDINGS as % of Net Assets
Non-Agency Residential Collateralized Mortgage Obligations	19.5%
Non-Agency Commercial Mortgage-Backed Obligations	19.2%
US Corporate Bonds	16.2%
Foreign Corporate Bonds	14.1%
Short Term Investments	11.4%
Collateralized Loan Obligations	7.1%
US Government Bonds and Notes	6.5%
Foreign Government Bonds and Notes, Supranationals and Foreign Agencies	3.2%
US Government / Agency Mortgage Backed Obligations	2.8%
Other Assets and Liabilities	0.0%
	100.0%

# Variable rate security. Rate disclosed as of September 30, 2012.

^ Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration to qualified institutional buyers. These securities are determined to be liquid by the Adviser, unless otherwise noted, under procedures established by the Fund’s Board of Trustees. At September 30, 2012, the value of these securities amounted to $122,724,953 or 26.1% of net assets.

I/O Interest only security.

¨ Seven-day yield as of September 30, 2012.

42 DoubleLine Funds The accompanying notes are an integral part of these financial statements

Statements of Assets and Liabilities (Unaudited) September 30, 2012

	DoubleLine Total Return Bond Fund			DoubleLine Core Fixed Income Fund			DoubleLine Emerging Markets Fixed Income Fund		DoubleLine Multi-Asset Growth Fund (Consolidated)			DoubleLine Low Duration Bond Fund
ASSETS
Investments in Unaffiliated Securities, at Value*	$	27,568,149,376		$	2,546,296,126		$	604,479,213	$	67,603,134		$	417,532,463
Investments in Affiliated Securities, at Value*		—			—			—		35,549,013			—
Short-term Securities*		6,343,177,001			221,366,912			—		67,169,634			53,600,505
Receivable for Fund Shares Sold		305,892,647			10,184,724			8,148,391		1,672,496			9,787,541
Interest and Dividends Receivable		128,226,345			17,643,269			8,746,526		445,917			2,281,133
Cash		1,906,661			—			—		—			19,833
Prepaid Expenses and Other Assets		1,021,553			142,167			90,462		47,452			73,669
Receivable for Investments Sold		453,904			3,877,514			7,749,874		4,549,499			402,589
Deposit at Broker for Futures		—			—			—		1,932,240			—
Swaps Premiums Paid		—			—			—		177,432			—
Total Assets		34,348,827,487			2,799,510,712			629,214,466		179,146,817			483,697,733
LIABILITIES
Payable for Investments Purchased		887,940,639			54,425,223			8,576,476		11,016,036			12,063,809
Distribution Payable		50,090,984			2,465,994			494,711		179,224			96,732
Payable for Fund Shares Redeemed		46,996,190			2,050,461			426,082		157,858			368,773
Investment Advisory Fees Payable		10,594,105			891,984			366,481		113,368			109,195
Transfer Agent Expenses Payable		1,875,038			185,152			44,752		34,217			16,203
Distribution Fees Payable		1,752,692			138,271			24,477		15,825			30,064
Registration Fees Payable		1,403,862			97,091			21,041		15,847			13,673
Administration, Fund Accounting and Custodian Fees Payable		920,389			100,538			29,820		24,926			19,723
Accrued Expenses		815,303			117,105			46,248		109,912			18,856
Written Option Contracts, at value (Premiums received $128,591)		—			—			—		251,950			—
Unrealized Depreciation on Swaps		—			—			—		35,667			—
Variation Margin Payable		—			—			—		18,660			—
Total Liabilities		1,002,389,202			60,471,819			10,030,088		11,973,490			12,737,028
Net Assets	$	33,346,438,285		$	2,739,038,893		$	619,184,378	$	167,173,327		$	470,960,705
NET ASSETS CONSIST OF:
Paid-in Capital	$	32,590,539,072		$	2,634,822,330		$	593,638,697	$	166,578,631		$	468,459,806
Undistributed (Accumulated) Net Investment Income (Loss)		(235,712,993	)		(8,706,935	)		8,377,902		(331,230	)		592,189
Accumulated Net Realized Gain (Loss) on Investments		(145,823,805	)		20,037,157			167,518		(470,648	)		(525,400	)
Net Unrealized Appreciation (Depreciation) on:
Investments in Unaffiliated Securities		1,137,134,128			92,882,553			17,000,261		84,687			2,434,110
Investments in Affiliated Securities		—			—			—		737,792			—
Short-term Securities		301,883			3,788			—		41			—
Futures		—			—			—		733,080			—
Swaps		—			—			—		(35,667	)		—
Written Options		—			—			—		(123,359	)		—
Net Assets	$	33,346,438,285		$	2,739,038,893		$	619,184,378	$	167,173,327		$	470,960,705
*Identified Cost:
Investments in Unaffiliated Securities	$	26,431,015,248		$	2,453,413,573		$	587,478,952	$	67,518,447		$	415,098,353
Investments in Affiliated Securities		—			—			—		34,811,221			—
Short-term Securities		6,342,875,118			221,363,124			—		67,169,593			53,600,505
Class I (unlimited shares authorized):
Net Assets	$	25,126,278,695		$	1,990,931,285		$	490,235,133	$	83,038,103		$	298,783,465
Shares Outstanding		2,204,319,421			174,632,302			44,281,863		8,205,568			29,262,053
Net Asset Value, Offering and Redemption Price per Share	$	11.40		$	11.40		$	11.07	$	10.12		$	10.21
Class N (unlimited shares authorized):
Net Assets	$	8,220,159,590		$	748,107,608		$	128,949,245	$	—		$	172,177,240
Shares Outstanding		721,410,316			65,658,231			11,647,265		—			16,875,942
Net Asset Value, Offering and Redemption Price per Share	$	11.39		$	11.39		$	11.07	$	—		$	10.20
Class A (unlimited shares authorized):
Net Assets	$	—		$	—		$	—	$	84,135,224		$	—
Shares Outstanding		—			—			—		8,325,372			—
Net Asset Value, Offering Price per Share	$	—		$	—		$	—	$	10.54		$	—
Net Asset Value, Redemption Price per Share	$	—		$	—		$	—	$	10.11		$	—

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 43

Statements of Operations (Unaudited) Six Months Ended September 30, 2012

	DoubleLine Total Return Bond Fund			DoubleLine Core Fixed Income Fund			DoubleLine Emerging Markets Fixed Income Fund			DoubleLine Multi-Asset Growth Fund (Consolidated)			DoubleLine Low Duration Bond Fund
INVESTMENT INCOME
Income:
Interest	$	686,323,754		$	46,796,973		$	11,810,167		$	1,864,804		$	4,267,601
Dividends from Unaffiliated Securities		—			—			—			604,573			—
Dividends from Affiliated Securities		—			—			—			453,634			—
Total Investment Income		686,323,754			46,796,973			11,810,167			2,923,011			4,267,601
Expenses:
Investment Advisory Fees		55,442,830			4,941,465			1,880,378			655,263			523,136
Distribution Fees - Class N		9,015,566			791,325			122,068			—			130,333
Distribution Fees - Class A		—			—			—			60,592			—
Transfer Agent Expenses		4,852,995			581,739			169,263			73,771			106,190
Administration, Fund Accounting and Custodian Fees		2,480,053			288,169			89,268			43,922			55,287
Registration Fees		2,000,754			226,489			89,829			55,409			62,047
Shareholder Reporting Expenses		951,778			92,846			24,308			10,308			10,080
Professional Fees		523,778			157,701			34,024			64,242			22,101
Insurance Expenses		321,587			24,490			6,547			1,674			2,396
Trustees’ Fees and Expenses		276,325			20,933			5,235			20,796			2,425
Miscellaneous Expenses		14,898			3,837			8,709			5,097			1,523
Total Expenses		75,880,564			7,128,994			2,429,629			991,074			915,518
Less Fees Waived		(12,622	)		(203,659	)		(11,145	)		(239,114	)		(82,688	)
Net Expenses		75,867,942			6,925,335			2,418,484			751,960			832,830
Net Investment Income		610,455,812			39,871,638			9,391,683			2,171,051			3,434,771
REALIZED & UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net Realized Gain (Loss) on:
Investments in Unaffiliated Securities		336,340			17,495,996			8,046,259			(763,185	)		428,532
Investments in Affiliated Securities		—			—			—			214,881			—
Futures		—			—			—			432,709			—
Swaps		—			—			—			(19,840	)		—
Written Options		—			—			—			172,107			—
Net Change in Unrealized Appreciation (Depreciation) of:
Investments in Unaffiliated Securities		820,870,595			64,691,422			9,790,861			784,637			1,663,199
Investments in Affiliated Securities		—			—			—			360,925			—
Futures		—			—			—			714,582			—
Swaps		—			—			—			61,168			—
Written Options		—			—			—			(93,388	)		—
Net Realized and Unrealized Gain (Loss) on Investments		821,206,935			82,187,418			17,837,120			1,864,596			2,091,731
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$	1,431,662,747		$	122,059,056		$	27,228,803		$	4,035,647		$	5,526,502

44 DoubleLine Funds The accompanying notes are an integral part of these financial statements

Statements of Changes in Net Assets

	DoubleLine Total Return Bond Fund						DoubleLine Core Fixed Income Fund
	Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012
OPERATIONS
Net Investment Income	$	610,455,812		$	840,072,116		$	39,871,638		$	40,810,521
Net Realized Gain (Loss) on Investments		336,340			1,666,979			17,495,996			9,794,979
Net Change in Unrealized Appreciation (Depreciation) of Investments		820,870,595			266,302,007			64,691,422			26,945,690
Net Increase (Decrease) in Net Assets Resulting from Operations		1,431,662,747			1,108,041,102			122,059,056			77,551,190
DISTRIBUTIONS TO SHAREHOLDERS
From Net Investment Income
Class I		(636,823,548	)		(707,169,191	)		(36,809,137	)		(32,668,808	)
Class N		(213,035,826	)		(268,342,590	)		(11,980,255	)		(11,470,441	)
From Net Realized Gain
Class I		—			—			—			(2,506,764	)
Class N		—			—			—			(980,385	)
Total Distributions to Shareholders		(849,859,374	)		(975,511,781	)		(48,789,392	)		(47,626,398	)
NET SHARE TRANSACTIONS
Class I		8,466,915,650			11,798,073,342			392,263,202			1,363,914,858
Class N		1,955,371,668			4,601,735,724			190,194,286			500,843,567
Class A		—			—			—			—
Increase (Decrease) in Net Assets Resulting from Net Share Transactions		10,422,287,318			16,399,809,066			582,457,488			1,864,758,425
Total Increase (Decrease) in Net Assets	$	11,004,090,691		$	16,532,338,387		$	655,727,152		$	1,894,683,217
NET ASSETS
Beginning of Period	$	22,342,347,594		$	5,810,009,207		$	2,083,311,741		$	188,628,524
End of Period	$	33,346,438,285		$	22,342,347,594		$	2,739,038,893		$	2,083,311,741
Undistributed (Accumulated) Net Investment Income (Loss)	$	(235,712,993	)	$	3,690,569		$	(8,706,935	)	$	210,819

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 45

Statements of Changes in Net Assets

	DoubleLine Emerging Markets Fixed Income Fund						DoubleLine Multi-Asset Growth Fund (Consolidated)
	Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012
OPERATIONS
Net Investment Income	$	9,391,683		$	12,675,234		$	2,171,051		$	2,810,824
Net Realized Gain (Loss) on Investments		8,046,259			2,118,974			36,672			(225,391	)
Net Change in Unrealized Appreciation (Depreciation) of Investments		9,790,861			5,899,028			1,827,924			(463,404	)
Net Increase (Decrease) in Net Assets Resulting from Operations		27,228,803			20,693,236			4,035,647			2,122,029
DISTRIBUTIONS TO SHAREHOLDERS
From Net Investment Income
Class I		(7,544,720	)		(10,225,912	)		(1,469,014	)		(1,875,262	)
Class N		(1,692,215	)		(2,456,543	)		—			—
Class A		—			—			(1,110,207	)		(956,064	)
From Net Realized Gain
Class I		—			(1,904,354	)		—			—
Class N		—			(408,055	)		—			—
Class A		—			—			—			—
Total Distributions to Shareholders		(9,236,935	)		(14,994,864	)		(2,579,221	)		(2,831,326	)
NET SHARE TRANSACTIONS
Class I		126,052,144			238,564,644			(2,503,916	)		63,368,833
Class N		43,731,227			54,642,195			—			—
Class A		—			—			40,887,514			36,474,077
Increase (Decrease) in Net Assets Resulting from Net Share Transactions		169,783,371			293,206,839			38,383,598			99,842,910
Total Increase (Decrease) in Net Assets	$	187,775,239		$	298,905,211		$	39,840,024		$	99,133,613
NET ASSETS
Beginning of Period	$	431,409,139		$	132,503,928		$	127,333,303		$	28,199,690
End of Period	$	619,184,378		$	431,409,139		$	167,173,327		$	127,333,303
Undistributed (Accumulated) Net Investment Income (Loss)	$	8,377,902		$	12,770		$	(331,230	)	$	76,940

46 DoubleLine Funds The accompanying notes are an integral part of these financial statements

Statements of Changes in Net Assets

	DoubleLine Low Duration Bond Fund
	Six Months Ended September 30, 2012 (Unaudited)			Period Ended March 31, 20121
OPERATIONS
Net Investment Income	$	3,434,771		$	871,624
Net Realized Gain (Loss) on Investments		428,532			262,486
Net Change in Unrealized Appreciation (Depreciation) of Investments		1,663,199			770,911
Net Increase (Decrease) in Net Assets Resulting from Operations		5,526,502			1,905,021
DISTRIBUTIONS TO SHAREHOLDERS
From Net Investment Income
Class I		(2,656,247	)		(706,448	)
Class N		(1,303,924	)		(264,005	)
Total Distributions to Shareholders		(3,960,171	)		(970,453	)
NET SHARE TRANSACTIONS
Class I		165,607,840			131,391,285
Class N		86,326,324			85,134,357
Increase (Decrease) in Net Assets Resulting from Net Share Transactions		251,934,164			216,525,642
Total Increase (Decrease) in Net Assets	$	253,500,495		$	217,460,210
NET ASSETS
Beginning of Period	$	217,460,210		$	—
End of Period	$	470,960,705		$	217,460,210
Undistributed (Accumulated) Net Investment Income (Loss)	$	592,189		$	—

¹  Commencement of operations on September 30, 2011.

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 47

Financial Highlights

	DoubleLine Total Return Bond Fund
	Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111			Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111
	Class I			Class I			Class I			Class N			Class N			Class N
Net Asset Value, Beginning of Period	$	11.17		$	10.96		$	10.00		$	11.16		$	10.96		$	10.00
Income (Loss) from Investment Operations:
Net Investment Income (Loss)4		0.22			0.77			1.02			0.21			0.73			0.99
Net Gain (Loss) on Investments (Realized and Unrealized)		0.35			0.31			0.87			0.35			0.31			0.87
Total from Investment Operations		0.57			1.08			1.89			0.56			1.04			1.86
Less Distributions:
Distributions from Net Investment Income		(0.34	)		(0.87	)		(0.93	)		(0.33	)		(0.84	)		(0.90	)
Distributions from Net Realized Gain		—			—			—			—			—			—
Total Distributions		(0.34	)		(0.87	)		(0.93	)		(0.33	)		(0.84	)		(0.90	)
Net Asset Value, End of Period	$	11.40		$	11.17		$	10.96		$	11.39		$	11.16		$	10.96
Total Return		5.19%	2		10.18%			19.28%	2		5.07%	2		9.83%			19.04%	2
Supplemental Data:
Net Assets, End of Period (000’s)	$	25,126,279		$	16,226,569		$	4,330,408		$	8,220,160		$	6,115,779		$	1,479,601
Ratios to Average Net Assets:
Expenses Before Fees Waived		0.48%	3		0.50%			0.53%	3		0.73%	3		0.75%			0.78%	3
Expenses After Fees Waived		0.48%	3		0.49%			0.49%	3		0.73%	3		0.74%			0.74%	3
Net Investment Income (Loss)		4.47%	3		6.86%			9.42%	3		4.22%	3		6.58%			9.17%	3
Portfolio Turnover Rate		11%	2		15%			17%	2		11%	2		15%			17%	2

¹  Commencement of operations on April 6, 2010.

²  Not annualized.

³  Annualized.

⁴  Calculated based on average shares outstanding during the period.

48 DoubleLine Funds The accompanying notes are an integral part of these financial statements

Financial Highlights

	DoubleLine Core Fixed Income Fund
	Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111			Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111
	Class I			Class I			Class I			Class N			Class N			Class N
Net Asset Value, Beginning of Period	$	11.06		$	10.46		$	10.00		$	11.05		$	10.46		$	10.00
Income (Loss) from Investment Operations:
Net Investment Income (Loss)4		0.18			0.50			0.57			0.17			0.47			0.55
Net Gain (Loss) on Investments (Realized and Unrealized)		0.38			0.65			0.41			0.38			0.65			0.41
Total from Investment Operations		0.56			1.15			0.98			0.55			1.12			0.96
Less Distributions:
Distributions from Net Investment Income		(0.22	)		(0.52	)		(0.48	)		(0.21	)		(0.50	)		(0.46	)
Distributions from Net Realized Gain		—			(0.03	)		(0.04	)		—			(0.03	)		(0.04	)
Total Distributions		(0.22	)		(0.55	)		(0.52	)		(0.21	)		(0.53	)		(0.50	)
Net Asset Value, End of Period	$	11.40		$	11.06		$	10.46		$	11.39		$	11.05		$	10.46
Total Return		5.12%	2		11.19%			9.90%	2		5.00%	2		10.85%			9.71%	2
Supplemental Data:
Net Assets, End of Period (000’s)	$	1,990,931		$	1,544,169		$	158,043		$	748,108		$	539,143		$	30,586
Ratios to Average Net Assets:
Expenses Before Fees Waived		0.51%	3		0.54%			0.85%	3		0.76%	3		0.79%			1.09%	3
Expenses After Fees Waived		0.50%	3		0.49%			0.49%	3		0.75%	3		0.74%			0.74%	3
Net Investment Income (Loss)		3.29%	3		4.51%			6.56%	3		3.04%	3		4.22%			6.38%	3
Portfolio Turnover Rate		50%	2		81%			84%	2		50%	2		81%			84%	2

¹  Commencement of operations on June 1, 2010.

²  Not annualized.

³  Annualized.

⁴  Calculated based on average shares outstanding during the period.

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 49

Financial Highlights

	DoubleLine Emerging Markets Fixed Income Fund
	Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111			Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111
	Class I			Class I			Class I			Class N			Class N			Class N
Net Asset Value, Beginning of Period	$	10.70		$	10.57		$	10.00		$	10.70		$	10.57		$	10.00
Income (Loss) from Investment Operations:
Net Investment Income (Loss)4		0.21			0.58			0.60			0.19			0.55			0.58
Net Gain (Loss) on Investments (Realized and Unrealized)		0.36			0.23			0.52			0.37			0.23			0.52
Total from Investment Operations		0.57			0.81			1.12			0.56			0.78			1.10
Less Distributions:
Distributions from Net Investment Income		(0.20	)		(0.58	)		(0.52	)		(0.19	)		(0.55	)		(0.50	)
Distributions from Net Realized Gain		—			(0.10	)		(0.03	)		—			(0.10	)		(0.03	)
Total Distributions		(0.20	)		(0.68	)		(0.55	)		(0.19	)		(0.65	)		(0.53	)
Net Asset Value, End of Period	$	11.07		$	10.70		$	10.57		$	11.07		$	10.70		$	10.57
Total Return		5.48%	2		7.96%			11.48%	2		5.36%	2		7.71%			11.25%	2
Supplemental Data:
Net Assets, End of Period (000’s)	$	490,235		$	349,926		$	106,227		$	128,949		$	81,484		$	26,277
Ratios to Average Net Assets:
Expenses Before Fees Waived		0.92%	3		0.95%			1.32%	3		1.17%	3		1.20%			1.57%	3
Expenses After Fees Waived		0.92%	3		0.95%			0.95%	3		1.17%	3		1.20%			1.20%	3
Net Investment Income (Loss)		3.80%	3		5.47%			5.85%	3		3.51%	3		5.26%			5.66%	3
Portfolio Turnover Rate		78%	2		177%			109%	2		78%	2		177%			109%	2

¹  Commencement of operations on April 6, 2010.

²  Not annualized.

³  Annualized.

⁴  Calculated based on average shares outstanding during the period.

50 DoubleLine Funds The accompanying notes are an integral part of these financial statements

Financial Highlights

	DoubleLine Multi-Asset Growth Fund
	Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111			Six Months Ended September 30, 2012 (Unaudited)			Year Ended March 31, 2012			Period Ended March 31, 20111
	Class I			Class I			Class I			Class A			Class A			Class A
Net Asset Value, Beginning of Period	$	10.03		$	10.11		$	10.00		$	10.02		$	10.09		$	10.00
Income (Loss) from Investment Operations:
Net Investment Income (Loss)4		0.20			0.42			0.10			0.21			0.41			0.10
Net Gain (Loss) on Investments (Realized and Unrealized)		0.08			(0.16	)		0.02			0.06			(0.16	)		—
Total from Investment Operations		0.28			0.26			0.12			0.27			0.25			0.10
Less Distributions:
Distributions from Net Investment Income		(0.19	)		(0.34	)		(0.01	)		(0.18	)		(0.32	)		(0.01	)
Distributions from Net Realized Gain		—			—			—			—			—			—
Total Distributions		(0.19	)		(0.34	)		(0.01	)		(0.18	)		(0.32	)		(0.01	)
Net Asset Value, End of Period	$	10.12		$	10.03		$	10.11		$	10.11		$	10.02		$	10.09
Total Return5		2.85%	2		2.67%			1.24%	2		2.76%	2		2.57%			1.02%	2
Supplemental Data:
Net Assets, End of Period (000’s)	$	83,038		$	85,073		$	22,128		$	84,135		$	42,261		$	6,071
Ratios to Average Net Assets:
Expenses Before Fees Waived		1.20%	3		1.51%			5.11%	3		1.45%	3		1.76%			6.05%	3
Expenses After Fees Waived		1.10%	3		1.09%			1.18%	3		1.35%	3		1.34%			1.43%	3
Net Investment Income (Loss)		3.76%	3		4.14%			3.57%	3		3.50%	3		3.88%			3.57%	3
Portfolio Turnover Rate		45%	2		48%			19%	2		45%	2		48%			19%	2

¹  Commencement of operations on December 20, 2010.

²  Not annualized.

³  Annualized.

⁴  Calculated based on average shares outstanding during the period.

⁵  Total return does not include the effects of sales charges for Class A.

The accompanying notes are an integral part of these financial statements Semi-Annual Report September 30, 2012 51

Financial Highlights

	DoubleLine Low Duration Bond Fund
	Six Months Ended September 30, 2012 (Unaudited)			Period Ended March 31, 20121			Six Months Ended September 30, 2012 (Unaudited)			Period Ended March 31, 20121
	Class I			Class I			Class N			Class N
Net Asset Value, Beginning of Period	$	10.16		$	10.00		$	10.15		$	10.00
Income (Loss) from Investment Operations:
Net Investment Income (Loss)4		0.12			0.11			0.11			0.09
Net Gain (Loss) on Investments (Realized and Unrealized)		0.06			0.13			0.06			0.13
Total from Investment Operations		0.18			0.24			0.17			0.22
Less Distributions:
Distributions from Net Investment Income		(0.13	)		(0.08	)		(0.12	)		(0.07	)
Distributions from Net Realized Gain		—			—			—			—
Total Distributions		(0.13	)		(0.08	)		(0.12	)		(0.07	)
Net Asset Value, End of Period	$	10.21		$	10.16		$	10.20		$	10.15
Total Return2		1.83	%		2.44	%		1.71	%		2.25	%
Supplemental Data:
Net Assets, End of Period (000's)	$	298,783		$	132,117		$	172,177		$	85,343
Ratios to Average Net Assets:
Expenses Before Fees Waived3		0.53	%		0.94	%		0.78	%		1.19	%
Expenses After Fees Waived3		0.47	%		0.47	%		0.72	%		0.72	%
Net Investment Income (Loss)3		2.38	%		2.10	%		2.14	%		1.74	%
Portfolio Turnover Rate2		39	%		46	%		39	%		46	%

¹  Commencement of operations on September 30, 2011.

²  Not annualized.

³  Annualized.

⁴  Calculated based on average shares outstanding during the period.

52 DoubleLine Funds The accompanying notes are an integral part of these financial statements

Notes to Financial Statements (Unaudited) September 30, 2012

1.  Organization

DoubleLine Funds Trust, a Delaware statutory trust (the “Trust”), is an open-end investment management company registered under the Investment Company Act of 1940, as amended (the “1940 Act”). The Trust consists of five funds, DoubleLine Total Return Bond Fund, DoubleLine Core Fixed Income Fund, DoubleLine Emerging Markets Fixed Income Fund, DoubleLine Multi-Asset Growth Fund and DoubleLine Low Duration Bond Fund (each a “Fund” and collectively the “Funds”). The DoubleLine Total Return Bond Fund, DoubleLine Core Fixed Income Fund, DoubleLine Emerging Markets Fixed Income Fund and the DoubleLine Low Duration Bond Fund each offer two classes of shares, Class N shares and Class I shares. The DoubleLine Multi-Asset Growth Fund currently offers two classes of shares, Class A shares and Class I shares.

The DoubleLine Total Return Bond Fund and DoubleLine Emerging Markets Fixed Income Fund commenced operations on April 6, 2010. The DoubleLine Core Fixed Income Fund commenced operations on June 1, 2010. The DoubleLine Multi-Asset Growth Fund commenced operations on December 20, 2010. The DoubleLine Low Duration Bond Fund commenced operations on September 30, 2011.

The DoubleLine Total Return Bond Fund’s investment objective is to seek to maximize total return. The DoubleLine Core Fixed Income Fund’s investment objective is to seek to maximize current income and total return. The DoubleLine Emerging Markets Fixed Income Fund’s investment objective is to seek high total return from current income and capital appreciation. The DoubleLine Multi-Asset Growth Fund’s investment objective is to seek long-term capital appreciation. The DoubleLine Low Duration Bond Fund’s investment objective is to seek current income.

2.  Significant Accounting Policies

The following is a summary of the significant accounting policies of the Funds. These policies are in conformity with accounting principles generally accepted in the United States of America (“US GAAP”).

A. Security Valuation. The Funds have adopted US GAAP fair value accounting standards which establish a definition of fair value and set out a hierarchy for measuring fair value. These standards require additional disclosures about the various inputs and valuation techniques used to develop the measurements of fair value and a discussion in changes in valuation techniques and related inputs during the period. These inputs are summarized in the three broad levels listed below:

• Level 1—Unadjusted quoted market prices in active markets

• Level 2—Quoted prices for identical or similar assets in markets that are not active, or inputs derived from observable market data

• Level 3—Unobservable inputs developed using the reporting entity’s estimates and assumptions, which reflect those that market participants would use

Assets and liabilities may be transferred between levels. The Funds use end of period timing recognition to account for any transfers.

Market values for domestic and foreign fixed income securities are normally determined on the basis of valuations provided by independent pricing services. Vendors value such securities based on one or more inputs described in the following table. The table provides examples of inputs that are commonly relevant for valuing particular classes of fixed income securities, in which the fund is authorized to invest. However, these classifications are not exclusive, and any of the inputs may be used to value any other class of fixed-income securities. Securities that use similar valuation techniques and inputs as described in the following table are categorized as Level 2 of the fair value hierarchy.

Fixed-income class	Examples of Standard Inputs
All	Benchmark yields, transactions, bids, offers, quotations from dealers and trading systems, new issues, spreads and other relationships observed in the markets among comparable securities; and pricing models such as yield measures calculated using factors such as cash flows, financial or collateral performance and other reference data (collectively referred to as “standard inputs”)
Corporate bonds and notes; convertible securities	Standard inputs and underlying equity of the issuer
Bonds and notes of government and government agencies	Standard inputs and interest rate volatilities
Mortgage-backed; asset-backed obligations (including collateralized loan obligations)	Standard inputs and cash flows, prepayment information, default rates, delinquency and loss assumptions, collateral characteristics, credit enhancements and specific deal information, trustee reports

Investments in registered open-end management investment companies will be valued based upon the NAVs of such investments and are categorized as Level 1 of the fair value hierarchy. Investments in privately held investment funds typically will be valued based upon the NAVs of such investments and are categorized as Level 2 of the fair value hierarchy.

Short-term investments having a maturity of 60 days or less are generally valued at amortized cost which approximates fair market value. These investments are categorized as Level 2 of the fair value hierarchy.

Common stocks, exchange-traded funds and financial derivative instruments, such as futures contracts or options contracts that are traded on a national securities or commodities exchange, are typically valued at the last reported sales price, in the case of common stocks and exchange-traded funds, or, in the

Semi-Annual Report September 30, 2012 53

Notes to Financial Statements  (Cont.)

case of futures contracts or options contracts, the settlement price determined by the relevant exchange. To the extent these securities are actively traded and valuation adjustments are not applied, they are categorized as Level 1 of the fair value hierarchy.

Over-the-counter financial derivative instruments, such as foreign currency contracts, options contracts, futures, or swaps agreements, derive their values from underlying asset prices, indices, reference rates, other inputs or a combination of these factors. These instruments are normally valued on the basis of broker dealer quotations or pricing service valuations. Depending on the instrument and the terms of the transaction, the value of the derivative instruments can be estimated by a pricing service provider using a series of techniques, such as simulation pricing models. The pricing models use issuer details and other inputs that are observed from actively quoted markets such as indices, spreads, interest rates, curves, dividends and exchange rates. Derivatives that use similar valuation techniques and inputs as described above are normally categorized as Level 2 of the fair value hierarchy.

Certain securities may be fair valued in accordance with the fair valuation procedures approved by the Board of Trustees. The Valuation Committee is generally responsible for overseeing the day to day valuation processes and reports periodically to the Board. The Valuation Committee is authorized to make all necessary determinations of the fair values of portfolio securities and other assets for which market quotations are not readily available or if it is deemed that the prices obtained from brokers and dealers or independent pricing services are deemed to be unreliable indicators of market value. As of September 30, 2012, the Funds did not hold securities fair valued by the Valuation Committee.

The following is a summary of the inputs used to value the Funds’ investments as of September 30, 2012¹:

Valuation Inputs	DoubleLine Total Return Bond Fund		DoubleLine Core Fixed Income Fund		DoubleLine Emerging Markets Fixed Income Fund		DoubleLine Multi-Asset Growth Fund (Consolidated)			DoubleLine Low Duration Bond Fund
Investments in Securities
Level 1
Money Market Funds	$	762,034,352	$	179,372,666	$	—	$	58,670,115		$	53,600,505
Exchange Traded Funds and Common Stock		—		—		—		41,608,286			—
Affiliated Mutual Funds		—		—		—		35,549,013			—
Purchased Options		—		—		—		55,200			—
Total Level 1		762,034,352		179,372,666		—		135,882,614			53,600,505
Level 2
US Government / Agency Mortgage Backed Obligations		15,962,170,340		747,751,101		—		8,546,821			13,251,686
Non-Agency Residential Collateralized Mortgage Obligations		9,886,509,343		404,357,621		—		11,732,634			91,777,926
Other Short Term Investments		5,581,142,649		41,994,246		—		8,499,519			—
Non-Agency Commercial Mortgage-Backed Obligations		1,490,403,180		119,736,083		—		4,559,016			90,490,883
Collateralized Loan Obligations		229,066,513		361,178		—		—			33,325,903
US Corporate Bonds		—		486,250,318		—		—			76,451,256
US Government Bonds and Notes		—		398,854,865		—		—			30,856,322
Foreign Corporate Bonds		—		331,854,963		526,768,360		922,000			66,388,572
Foreign Government Bonds and Notes, Supranationals and Foreign Agencies		—		57,129,997		77,710,853		—			14,989,915
Purchased Options		—		—		—		179,177			—
Total Level 2		33,149,292,025		2,588,290,372		604,479,213		34,439,167			417,532,463
Level 3		—		—		—		—			—
Total		33,911,326,377		2,767,663,038		604,479,213		170,321,781			471,132,968
Other Financial Instruments
Level 1
Futures Contracts		—		—		—		733,080			—
Written Options		—		—		—		(251,950	)		—
Total Level 1		—		—		—		481,130			—
Level 2
Swaps		—		—		—		(35,667	)		—
Total Level 2		—		—		—		(35,667	)		—
Level 3		—		—		—		—			—
Total		—		—		—		445,463			—

See the Schedule of Investments for further disaggregation of investment categories.

¹  There were no transfers into and out of Level 1, 2 and 3 during the period ended September 30, 2012.

54 DoubleLine Funds

(Unaudited)

September 30, 2012

B. Federal Income Taxes. Each Fund has elected to be taxed as a “regulated investment company” and intends to distribute substantially all of its taxable income to its shareholders and otherwise comply with the provisions of Subchapter M of the Internal Revenue Code applicable to regulated investment companies. Therefore, no provision for federal income taxes has been made.

The Funds may be subject to a nondeductible 4% excise tax calculated as a percentage of certain undistributed amounts of net investment income and net capital gains.

The Funds have adopted financial reporting rules that require the Funds to analyze all open tax years, as defined by the applicable statute of limitations, for all major jurisdictions. Open tax years, 2012 and 2011 for the Funds, are those that are open for exam by taxing authorities. As of September 30, 2012 the Funds have no examinations in progress.

Management has analyzed the Funds’ tax positions, and has concluded that no liability should be recorded related to uncertain tax positions expected to be taken on the tax return for the fiscal year-ended March 31, 2013. The Funds identify their major tax jurisdictions as U.S. Federal and the State of California. The Funds are not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months.

C. Security Transactions, Investment Income. Investment securities transactions are accounted for on trade date. Gains and losses realized on sales of securities are determined on a specific identification basis. Interest income is recorded on an accrual basis. Discounts/premiums on debt securities purchased are accreted/amortized over the life of the respective securities using the effective interest method. Dividend income is recorded on the ex-dividend date. Paydown gains and losses on mortgage-related and other asset-backed securities are recorded as components of interest income on the statements of operations.

D. Dividends and Distributions to Shareholders. Dividends from the net investment income of the DoubleLine Total Return Bond Fund, DoubleLine Core Fixed Income Fund, DoubleLine Emerging Markets Fixed Income Fund and the DoubleLine Low Duration Bond Fund will be declared and paid monthly. Dividends from the net investment income of the DoubleLine Multi-Asset Growth Fund will be declared and paid quarterly. The Funds will distribute any net realized long or short-term capital gains at least annually. Distributions are recorded on the ex-dividend date.

Income and capital gain distributions are determined in accordance with income tax regulations which may differ from accounting principles generally accepted in the United States of America. Permanent book and tax basis differences relating to shareholder distributions will result in reclassifications between paid-in capital, undistributed net investment income (loss), and/or undistributed (accumulated) realized gain (loss). Undistributed net investment income or loss may include temporary book and tax basis differences which will reverse in a subsequent period. Any taxable income or capital gain remaining at fiscal year end is distributed in the following year.

Distributions from investment companies will be classified as investment income or realized gains in the Statements of Operations based on the U.S. income tax characteristics of the distribution if such information is available. In cases where the tax characteristics are not available, such distributions are generally classified as investment income.

E. Use of Estimates. The preparation of financial statements in conformity with principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates.

F. Share Valuation. The net asset value (“NAV”) per share of a class of shares of a Fund is calculated by dividing the sum of the value of the securities held by the Fund, plus cash and other assets, attributable to that class, minus all liabilities (including estimated accrued expenses) attributable to that class by the total number of shares of that class outstanding, rounded to the nearest cent. The Funds’ net asset value will not be calculated on the days on which the NYSE is closed for trading.

G. Guarantees and Indemnifications. Under the Trust’s organizational documents, each Trustee and officer of the Fund is indemnified, to the extent permitted by the Act, against certain liabilities that may arise out of performance of their duties to the Fund. Additionally, in the normal course of business, the Funds enter into contracts that contain a variety of indemnification clauses. Each Fund’s 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, the Funds have not had prior claims or losses pursuant to these contracts.

H. Bases for Consolidation for the DoubleLine Multi-Asset Growth Fund. The DoubleLine Multi-Asset Growth Fund may invest up to 25% of its total assets in DoubleLine Cayman Multi-Asset Growth Fund I, Ltd. (the “Subsidiary”). The Subsidiary, which is organized under the laws of the Cayman Islands, is wholly-owned and controlled by the DoubleLine Multi-Asset Growth Fund. The Subsidiary invests in commodity-related investments and other investments. As of September 30, 2012 net assets of the DoubleLine Multi-Asset Growth Fund were $167,173,327 of which $24,379,410, or approximately 6.87%, represented the DoubleLine Multi-Asset Growth Fund’s ownership of the Subsidiary. Intercompany balances and transactions have been eliminated in consolidation.

I. Other. Each share class of a Fund is charged for those expenses that are directly attributable to that share class. Expenses that are not directly attributable to a Fund are allocated among all appropriate Funds in proportion to their respective net assets or on another reasonable basis. Investment income, expenses which are not class-specific, and realized and unrealized gains and losses are allocated directly to each class based upon the relative net assets of the classes.

Semi-Annual Report September 30, 2012 55

Notes to Financial Statements  (Cont.)

3.  Related Party Transactions

DoubleLine Capital LP (the “Adviser”) provides the Funds with investment management services under an Investment Advisory and Management Agreement (the “Agreement”). Under the Agreement, the Adviser manages the investment of the assets of each Fund, places orders for the purchase and sale of its portfolio securities and is responsible for the day-to-day management of the Trust’s business affairs. As compensation for its services, the Adviser is entitled to a monthly fee at the annual rate of 0.40%, 0.40%, 0.75%, 1.00% and 0.35% of the average daily net assets of the DoubleLine Total Return Bond Fund, DoubleLine Core Fixed Income Fund, DoubleLine Emerging Markets Fixed Income Fund, DoubleLine Multi-Asset Growth Fund and DoubleLine Low Duration Bond Fund, respectively.

The Adviser has contractually agreed to limit the DoubleLine Emerging Markets Fixed Income Fund’s ordinary operating expenses so that its ratio of such expenses to average net assets will not exceed 0.95% for the Class I shares and 1.20% for the Class N shares. The Adviser has contractually agreed to limit the DoubleLine Multi-Asset Growth Fund’s ordinary operating expenses so that its ratio of such expenses to average net assets will not exceed 1.20% for the Class I shares and 1.45% for the Class A shares. The Adviser has contractually agreed to limit the DoubleLine Low Duration Bond Fund’s ordinary operating expenses so that its ratio of such expenses to average net assets will not exceed 0.47% for the Class I shares and 0.72% for the Class N shares. For the purposes of the expense limitation agreement between the Adviser and the Funds, “ordinary operating expenses” excludes taxes, commissions, mark-ups, litigation expenses, indemnification expenses, interest expenses, acquired fund fees and expenses, and any extraordinary expenses. Each Fund’s expense limitation may be terminated during its term only by a majority vote of the disinterested Trustees of the Board of Trustees.

The Adviser is permitted to be reimbursed for fee waivers and/or expense reimbursements it made to a Fund in the prior three fiscal years. Each Fund must pay its current ordinary operating expenses before the Adviser is entitled to any reimbursement of fees waived and/or expenses reimbursed. Any such reimbursement requested by the Adviser is subject to review and approval by the Board of Trustees and will be subject to the Fund’s expense limitations in place when the fees were waived or the expenses were reimbursed.

For the period ended September 30, 2012, the Adviser contractually waived a portion of its fees or reimbursed certain operating expenses and may recapture a portion of the amounts no later than the dates as stated below:

Year of Expiration	DoubleLine Total Return Bond Fund		DoubleLine Core Fixed Income Fund		DoubleLine Emerging Markets Fixed Income Fund		DoubleLine Multi-Asset Growth Fund (Consolidated)		DoubleLine Low Duration Bond Fund
March 31, 2014	$	1,235,309	$	231,152	$	210,883	$	79,472	$	—
March 31, 2015		1,594,218		461,517		—		270,424		206,049
March 31, 2016		12,622		203,659		11,145		169,308		82,688

If a Fund invested in an affiliate Fund sponsored by the Adviser during the period covered by this report the Adviser agreed to waive its management fee payable to the Fund in an amount equal to the investment advisory fees paid by the affiliated Fund in respect of the Fund’s investment in the affiliated fund; accordingly, the Adviser waived $69,806 in fees from the DoubleLine Multi-Asset Growth Fund for the period ended September 30, 2012.

4.  Distribution, Sales Charge and Redemption Fees

Class N shares and Class A shares of the Funds make payments under a distribution plan (“Distribution Plan”) adopted pursuant to Rule 12b-1 under the 1940 Act. Pursuant to the Distribution Plan, each Fund compensates the Funds’ distributor for distribution and related services at an annual rate equal to 0.25% of the average daily net assets of the Fund attributable to its Class N and Class A shares. The fees may be used to pay the Fund’s distributor for distribution services and sales support services provided in connection with Class N and Class A shares.

The Class A shares of DoubleLine Multi-Asset Growth Fund have a maximum sales charge imposed on purchases of 4.25% of the offering price and a maximum contingent deferred sales charge of 0.75% that applies to purchases of $1 million or more of Class A shares if the shares are redeemed within 18 months of purchase.

The DoubleLine Multi-Asset Growth Fund imposes redemption fees. Redemption fees are paid to and retained by the Fund to limit the opportunity to market time the Fund and to help offset estimated portfolio transaction costs and other related costs incurred by the Fund as a result of short-term trading. The Fund will apply a redemption fee equal to 1% of the value of any shares redeemed within 90 days of purchase.

56 DoubleLine Funds

(Unaudited)

September 30, 2012

5.  Purchases and Sales of Securities

Investment transactions (excluding short-term investments) for the period ended September 30, 2012, were as follows:

	All Other				U.S. Government1
	Purchases at Cost		Sales or Maturity Proceeds		Purchases at Cost		Sales or Maturity Proceeds
DoubleLine Total Return Bond Fund	$	11,440,768,609	$	2,551,343,404	$	—	$	—
DoubleLine Core Fixed Income Fund		854,656,298		407,394,794		715,829,001		745,721,415
DoubleLine Emerging Markets Fixed Income Fund		501,685,337		371,508,248		—		—
DoubleLine Multi-Asset Growth Fund (Consolidated)		56,161,171		38,808,161		—		—
DoubleLine Low Duration Bond Fund		262,056,840		65,135,506		35,907,376		42,567,074

1 U.S. Government transactions are defined as those involving U.S. Treasury bills, bonds, and notes.

6.  Income Tax Information

The tax character of distributions for the Funds were as follows:

	DoubleLine Total Return Bond Fund				DoubleLine Core Fixed Income Fund
	Period Ended September 30, 2012		Year Ended March 31, 2012		Period Ended September 30, 2012		Year Ended March 31, 2012
Distributions Paid From:
Ordinary Income	$	849,859,374	$	975,511,781	$	48,789,392	$	47,531,637
Long Term Capital Gain		—		—		—		94,761
Total Distributions Paid	$	849,859,374	$	975,511,781	$	48,789,392	$	47,626,398

	DoubleLine Emerging Markets Fixed Income Fund				DoubleLine Multi-Asset Growth Fund (Consolidated)				DoubleLine Low Duration Bond Fund
	Period Ended September 30, 2012		Year Ended March 31, 2012		Period Ended September 30, 2012		Year Ended March 31, 2012		Period Ended September 30, 2012		Period Ended March 31, 2012
Distributions Paid From:
Ordinary Income	$	9,236,935	$	14,886,871	$	2,579,221	$	2,831,326	$	3,960,171	$	970,453
Long Term Capital Gain		—		107,993		—		—		—		—
Total Distributions Paid	$	9,236,935	$	14,994,864	$	2,579,221	$	2,831,326	$	3,960,171	$	970,453

The Fund designated as long-term capital gain dividend, pursuant to Internal Revenue Code Section 852(b)(3), the amount necessary to reduce the earnings and profits of the Fund related to net capital gain to zero for the tax year ended March 31, 2012.

The cost basis of investments for federal income tax purposes at September 30, 2012 was as follows:

	DoubleLine Total Return Bond Fund			DoubleLine Core Fixed Income Fund			DoubleLine Emerging Markets Fixed Income  Fund			DoubleLine Multi- Asset Growth  Fund (Consolidated)			DoubleLine Low Duration Bond Fund
Tax Cost of Investments	$	32,773,890,366		$	2,675,061,359		$	587,546,758		$	169,467,392		$	468,709,576
Gross Tax Unrealized Appreciation		1,315,470,762			98,637,391			19,040,080			4,182,268			3,658,882
Gross Tax Unrealized Depreciation		(178,034,751	)		(6,035,712	)		(2,107,625	)		(3,327,879	)		(1,235,490	)
Net Tax Unrealized Appreciation (Depreciation)	$	1,137,436,011		$	92,601,679		$	16,932,455		$	854,389		$	2,423,392

As of March 31, 2012, the components of accumulated earnings (losses) for income tax purposes were as follows:

	DoubleLine Total Return Bond Fund			DoubleLine Core Fixed Income Fund			DoubleLine Emerging Markets Fixed Income  Fund			DoubleLine Multi- Asset Growth Fund (Consolidated)			DoubleLine Low Duration Bond Fund
Net Tax Unrealized Appreciation (Depreciation)	$	316,565,416		$	27,910,257		$	7,141,594		$	(291,173	)	$	760,193
Undistributed Ordinary Income		41,024,124			5,503,110			1,355,730			204,776			220,990
Total Distributable Earnings		41,024,124			5,503,110			1,355,730			204,776			220,990
Other Accumulated Gains (Losses)		(183,493,700	)		(2,466,468	)		(943,511	)		(775,333	)		(46,615	)
Total Accumulated Earnings (Losses)	$	174,095,840		$	30,946,899		$	7,553,813		$	(861,730	)	$	934,568

Semi-Annual Report September 30, 2012 57

Notes to Financial Statements  (Cont.)

Under the Regulated Investment Company Modernization Act of 2010, capital losses incurred by the Funds after January 1, 2011 will not be subject to expiration. In addition, such losses must be utilized prior to the losses incurred in the years preceding enactment.

At March 31, 2012, the following capital loss carryforwards were available:

	Capital Loss Carryforwards		Expires
DoubleLine Total Return Bond Fund	$	3,709,758		3/31/2019
DoubleLine Total Return Bond Fund		70,828,118		Indefinite
DoubleLine Multi-Asset Growth Fund (Consolidated)		261,387		Indefinite

At March 31, 2012, the following Funds deferred, on a tax basis, Qualified Late-year losses of:

DoubleLine Total Return Bond Fund	$	71,622,269
DoubleLine Core Fixed Income Fund		50,635
DoubleLine Emerging Markets Fixed Income Fund		334,411
DoubleLine Multi-Asset Growth Fund (Consolidated)		199,835
DoubleLine Low Duration Bond Fund		—

Additionally, U.S. generally accepted accounting principles require that certain components of net assets relating to permanent differences be reclassified between financial and tax reporting. These reclassifications have no effect on net assets or net asset value per share. The permanent differences primarily relate to paydown losses and foreign currency gains/losses. For the period ended March 31, 2012, the following table shows the reclassifications made:

	Undistributed Net Investment Income (Loss)		Accumulated Net Realized Gain (Loss)			Paid In Capital
DoubleLine Total Return Bond Fund	$	125,211,144	$	(125,211,144	)	$	—
DoubleLine Core Fixed Income Fund		3,404,320		(3,404,320	)		—
DoubleLine Emerging Markets Fixed Income Fund		—		—			—
DoubleLine Multi-Asset Growth Fund (Consolidated)		62,812		(269,375	)		206,563
DoubleLine Low Duration Bond Fund		98,829		(98,829	)		—

58 DoubleLine Funds

(Unaudited)

September 30, 2012

7.  Share Transactions

Transactions in each Fund’s shares were as follows:

	DoubleLine Total Return Bond Fund						DoubleLine Core Fixed Income Fund						DoubleLine Emerging Markets Fixed Income Fund						DoubleLine Multi-Asset Growth Fund						DoubleLine Low Duration Bond Fund
	Class I						Class I						Class I						Class I						Class I
	Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount
Shares Sold		918,130,831		$	10,348,845,777			62,206,873		$	698,987,459			23,081,065		$	249,920,501			2,862,269		$	28,376,867			21,565,896		$	219,670,967
Reinvested Dividends		36,755,712			414,124,080			2,032,123			22,917,103			395,293			4,289,782			111,296			1,102,601			213,284			2,169,680
Shares Redeemed		(203,522,920	)		(2,296,054,207	)		(29,251,850	)		(329,641,360	)		(11,912,972	)		(128,158,139	)		(3,251,716	)		(31,983,384	)*		(5,517,875	)		(56,232,807	)
		751,363,623		$	8,466,915,650			34,987,146		$	392,263,202			11,563,386		$	126,052,144			(278,151	)	$	(2,503,916	)		16,261,305		$	165,607,840
Beginning Shares		1,452,955,798						139,645,156						32,718,477						8,483,719						13,000,748
Ending Shares		2,204,319,421						174,632,302						44,281,863						8,205,568						29,262,053
	Class N						Class N						Class N						Class A						Class N
	Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount			Shares			Amount
Shares Sold		245,231,407		$	2,763,608,217			25,627,465		$	288,653,068			7,285,621		$	78,982,443			5,731,002		$	56,884,400			10,725,110		$	109,235,292
Reinvested Dividends		14,398,993			162,138,397			915,004			10,315,410			145,845			1,584,024			106,082			1,054,670			121,083			1,230,778
Shares Redeemed		(86,007,739	)		(970,374,946	)		(9,666,463	)		(108,774,192	)		(3,402,456	)		(36,835,240	)		(1,730,762	)		(17,051,556	)*		(2,374,479	)		(24,139,746	)
		173,622,661		$	1,955,371,668			16,876,006		$	190,194,286			4,029,010		$	43,731,227			4,106,322		$	40,887,514			8,471,714		$	86,326,324
Beginning Shares		547,787,655						48,782,225						7,618,255						4,219,050						8,404,228
Ending Shares		721,410,316						65,658,231						11,647,265						8,325,372						16,875,942

* Net of redemption fees of $8,867 and $3,508 for Class I and A, respectively

8.  Additional Disclosures about Derivative Instruments

The following disclosures provide information on the Funds’ use of derivatives and certain related risks. The location and fair value amounts of these instruments on the Statements of Assets and Liabilities and the realized and changes in unrealized gains and losses on the Statements of Operations, each categorized by type of derivative contract, are included in a table below. The derivative instruments outstanding as of period end as disclosed in the Notes to Schedules of Investments and the amounts of realized and changes in unrealized gains and losses on derivative instruments during the period as disclosed in the Statements of Operations may serve as indicators of the volume of financial derivative activity for the Funds for the period covered by this report.

Futures Contracts  The Funds may use futures contracts for hedging purposes or otherwise to gain, or reduce, long or short exposure to one or more asset classes or issuers. Risks associated with the use of futures contracts include the potential for imperfect correlation between the change in market value of the securities held by the Funds and the prices of futures contracts and the possibility of an illiquid market. Futures contracts are valued based upon their quoted daily settlement prices determined by the relevant exchange. Upon entering into a futures contract, a Fund is required to deposit with its futures broker an amount of cash in accordance with the initial margin requirements of the broker or exchange. Futures contracts are marked to market daily and an appropriate payment reflecting the change in value (“variation margin”) is made or received by or for the accounts of the Funds. Gains or losses are recognized but not considered realized until the contracts expire or are closed. Futures contracts involve, to varying degrees, risk of loss in excess of the variation margin disclosed on the Statements of Assets and Liabilities.

Options Contracts  The Funds may purchase or sell put and call options. When a Fund purchases an option it pays a premium in return for the potential to profit from the change in value of an underlying investment or index during the term of the option. The option premium is included on the Funds’ Statements of Assets and Liabilities as an investment and subsequently marked to market to reflect the current value of the option. Premiums paid for purchasing options which expire are treated as realized losses. Certain options may be purchased with premiums to be determined on a future date. The premiums for these options are based upon implied volatility parameters at specified terms. The risk associated with purchasing options is limited to the loss of the premium paid. Premiums paid for purchasing options which are exercised or closed are added to the amounts paid or offset against the proceeds on the underlying investment transaction to determine the realized gain or loss. When a Fund writes or sells an option it receives a premium in return for bearing the risk of the change in value of an underlying instrument during the term off the option. Writing put options tends to increase a Fund’s exposure to the underlying instrument. Writing call options tends to decrease a Fund’s exposure to the underlying instrument. When a Fund writes a call or put, an amount equal to the premium received is recorded as a liability and subsequently marked to market to reflect the current value of the option written. These liabilities are reflected as written options outstanding on the Statements of Assets and Liabilities. Premiums received from writing options which expire are treated as realized gains. Premiums received from writing options which are exercised or closed are added to the proceeds or offset against amounts paid

Semi-Annual Report September 30, 2012 59

Notes to Financial Statements  (Cont.)

on the underlying instrument to determine the realized gain or loss when the underlying instrument is sold. A Fund as a writer of an option has no control over whether the underlying instrument may be sold (call) or purchased (put) and as a result bears the market risk of an unfavorable change in the price of the instrument underlying the written option. There is the risk a Fund may not be able to enter into a closing transaction because of an illiquid market.

The activity in written options during the period ended September 30, 2012, is as follows:

DoubleLine Multi-Asset Growth Fund (Consolidated)	Number of Contracts			Premium Amount
Outstanding, Beginning of Period		15,003,080		$	340,602
Options Written		2,213			153,736
Options Expired		(15,002,338	)		(254,833	)
Options Exercised		(1,150	)		(88,015	)
Options Closed		(600	)		(22,899	)
Outstanding, End of Period		1,205		$	128,591

Credit Default Swap Agreements  Credit default swap agreements often involve one party making a stream of payments (generally referred to as the buyer of protection) to another party (the seller of protection) in exchange for the right to receive a specified return in the event of a default or other credit event in respect of a referenced entity, obligation or index. As a seller of protection on credit default swap agreements, a Fund generally will receive from the buyer of protection a fixed rate of income throughout the term of the swap. As the seller, a Fund would effectively add leverage to its portfolio because, in addition to its total net assets, the Funds would be subject to investment exposure on the notional amount of the swap.

If a Fund is a seller of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Fund will either (i) pay to the buyer of protection an amount equal to the notional amount of the swap and take delivery of the referenced obligation, other deliverable obligations or the affected securities in the referenced index or (ii) pay a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or the affected securities in the referenced index. If a Fund is a buyer of protection and a credit event occurs, as defined under the terms of that particular swap agreement, the Funds typically will either (i) receive from the seller of protection an amount equal to the notional amount of the swap and deliver the referenced obligation, other deliverable obligations or the affected securities in the referenced index or (ii) receive a net settlement amount in the form of cash or securities equal to the notional amount of the swap less the recovery value of the referenced obligation or the affected securities in the referenced index. Recovery values are typically estimated by market makers considering either industry standard recovery rates or entity specific factors and considerations until a credit event occurs. An index credit default swap references all the names in the index, and if there is a default with respect to a single name in the index, the credit event is settled based on that name’s weight in the index.

Credit Default Swaps are considered to have credit risk related contingent features since they require payment by the protection seller to the protection buyer upon occurrence of a defined credit event. A Fund’s maximum risk of loss from counterparty risk, as the protection buyer, is the fair value of the contract, which may be mitigated by the posting of collateral by the counterparty to a Fund to cover a Fund’s exposure to the counterparty.

Total Return Swap AgreementsThe Funds may enter into total return swaps for investment purposes. Total return swaps are agreements to exchange the return generated by one instrument for the return generated by another instrument. For example, the agreement to pay a predetermined or fixed interest rate in exchange for a market-linked return based on a notional amount. To the extent the total return of a referenced index or instrument exceeds the offsetting interest obligation, a Fund will receive a payment from the counterparty. To the extent it is less, a Fund will make a payment to the counterparty. Payments received or made at the termination of the swap are recorded as realized gain or loss on the Statement of Operations.

The Funds’ derivative instrument holdings and their primary risk exposures are summarized in the following tables.

The effect of derivative instruments on the Statements of Assets and Liabilities for the period ended September 30, 2012 is as follows:

Fund	Derivatives not accounted for as hedging instruments	Statement of Assets and Liabilities Location	Unrealized Appreciation (Depreciation)
DoubleLine Multi-Asset Growth Fund (Consolidated)	Purchase Options
	Equity	Net Unrealized Appreciation (Depreciation) in Unaffiliated Securities	$	(903,744	)
	Written Options
	Commodity	Net Unrealized Appreciation (Depreciation) in Written Options	$	(123,359	)
	Futures contracts
	Commodity	Net Unrealized Appreciation (Depreciation) on Futures	$	733,080
	Swap contracts
	Credit Default		$	(77,896	)
	Total Return			42,229
		Net Unrealized Appreciation (Depreciation) on Swaps	$	(35,667	)

60 DoubleLine Funds

(Unaudited)

September 30, 2012

The effect of derivative instruments on the Statements of Operations for the period ended September 30, 2012:

Fund	Derivatives not accounted for as hedging instruments	Location of Gain (Loss) on Derivatives in Income	Realized Gain (Loss) on Derivatives			Chage in Unrealized Appreciation (Depreciation) on  Derivatives
DoubleLine Multi-Asset Growth Fund (Consolidated)	Purchase Options
	Equity	Net Realized and Unrealized Gain (Loss) on Unaffilated Securities	$	(1,137,041	)	$	(539,995	)
	Written Options
	Commodity		$	22,107		$	(44,338	)
	Exchange Rate			150,000			(49,050	)
		Net Realized and Unrealized Gain (Loss) on Written Options	$	172,107		$	(93,388	)
	Futures contracts
	Commodity		$	465,021		$	760,098
	Exchange Rate			(32,312	)	$	(45,516	)
		Net Realized and Unrealized Gain (Loss) on Futures	$	432,709		$	714,582
	Swap contracts
	Credit Default		$	35,222		$	(33,452	)
	Total Return			(55,062	)	$	94,620
		Net Realized and Unrealized Gain (Loss) on Swaps	$	(19,840	)	$	61,168

9.  Credit Facility

U.S. Bank, N.A. has made available to the DoubleLine Total Return Fund, DoubleLine Core Fixed Income Fund, DoubleLine Emerging Markets Fixed Income Fund, DoubleLine Multi-Asset Growth Fund and DoubleLine Low Duration Bond Fund an uncommitted credit facility for short term liquidity in connection with shareholder redemptions. Borrowings under this credit facility bear interest at the bank’s prime rate less 0.50%. As of September 30, 2012 the maximum amounts available were $300,000,000, $50,000,000, $5,000,000, $6,000,000, $5,000,000 for the DoubleLine Total Return Bond Fund, DoubleLine Core Fixed Income Fund, DoubleLine Emerging Markets Fixed Income Fund, DoubleLine Multi-Asset Growth Fund and DoubleLine Low Duration Bond Fund respectively. For the period ending September 30, 2012, the average borrowings and interest rate were $82,230 and 2.75%, respectively for the DoubleLine Emerging Markets Fixed Income Fund. The maximum amount outstanding during the period ended September 30, 2012 was $4,880,000 for the DoubleLine Emerging Markets Fixed Income Fund. Interest expense amounted to $1,150 for the period ending September 30, 2012 for the DoubleLine Emerging Markets Fixed Income Fund. There were no borrowings under this credit facility for the period ending September 30, 2012 for the DoubleLine Total Return Bond Fund, DoubleLine Core Fixed Income Fund, DoubleLine Multi-Asset Growth Fund (Consolidated) and DoubleLine Low Duration Bond Fund, respectively.

10.  Principal Risks

Below are summaries of the principal risks of investing in one or more of the Funds, each of which could adversely affect a Fund’s net asset value, yield and total return. Each risk listed below does not necessarily apply to each Fund, and you should read each Fund’s prospectus carefully for a description of the principal risks associated with investing in a particular Fund.

• affiliated fund risk:  the risk that the Adviser may be subject to a potential conflict of interest in determining whether to invest in an underlying fund managed by the Adviser or in a fund managed by an unaffiliated manager, and may have an economic or other incentive to select the fund managed by it over another fund.

• asset allocation risk:  the risk that a Fund’s investment performance depends, at least in part, on how its assets are allocated and reallocated among asset classes and underlying funds and that such allocation will focus on asset classes, underlying funds, or investments that perform poorly or underperform other asset classes, underlying funds, or available investments.

• asset-backed securities investment risk:  the risk that borrowers may default on the obligations that underlie the asset-backed security and that, during periods of falling interest rates, asset-backed securities may be called or prepaid, which may result in a Fund having to reinvest proceeds in other investments at a lower interest rate, and the risk that the impairment of the value of the collateral underlying a security in which a Fund invests (due, for example, to non-payment of loans) will result in a reduction in the value of the security.

Semi-Annual Report September 30, 2012 61

Notes to Financial Statements  (Cont.)

• commodities risk:  the risk that the value of a Fund’s shares may be affected by changes in the values of one or more commodities, which may be extremely volatile and difficult to value, risk of possible illiquidity, and the risks and costs associated with delivery, storage, and maintenance of precious metals or minerals or other commodity-related investments.

• debt securities risk:

( credit risk:  the risk that an issuer will default in the payment of principal and/or interest on a security.

( interest rate risk:  the risk that debt securities will decline in value because of increases in interest rates. The value of a security with a longer duration will be more sensitive to changes in interest rates than a similar security with a shorter duration.

• defaulted securities risk:  the risk of the uncertainty of repayment of defaulted securities and obligations of distressed issuers.

• derivatives risk:  the risk that an investment in derivatives will not perform as anticipated, cannot be closed out at a favorable time or price, or will increase a Fund’s volatility; that derivatives may create investment leverage; that, when a derivative is used as a substitute or alternative to a direct cash investment, the transaction may not provide a return that corresponds precisely with that of the cash investment; that a derivative will not perform in the manner anticipated by the Adviser; or that, when used for hedging purposes, derivatives will not provide the anticipated protection, causing a Fund to lose money on both the derivatives transaction and the exposure the Fund sought to hedge.

• emerging market country risk:  the risk that Fund share prices will decline due to the greater degree of economic, political and social instability of emerging market countries as compared to developed countries.

• equity issuer risk:  the risk that the value of a company’s stock will decline in value in response to factors affecting that company, that company’s industry, or the market generally.

• exchange-traded note risk:  the risk that the level of the particular market benchmark or strategy to which the note’s return is linked will fall in value; exchange-traded notes are subject to credit risk generally to the same extent as debt securities.

• financial services risk:  the risk associated with the financial services industry being subject to extensive government regulation, which may change frequently. In addition, the profitability of businesses in the financial services industry depends heavily on the availability and cost of money and may fluctuate significantly in response to changes in interest rates, as well as changes in general economic conditions. The financial services industry is exposed to risks that may impact the value of investments in the industry more severely than investments outside the industry. Businesses in the financial services industry often operate with substantial financial leverage.

• foreign currency risk:  the risk that fluctuations in exchange rates may adversely affect the value of a Fund’s foreign currency holdings and investments denominated in foreign currencies.

• foreign investing risk:  the risk that a Fund’s investments will be affected by the market conditions, currencies, and the economic and political climates in the foreign countries in which the Fund invests.

• inflation-indexed bond risk:  the risk that such bonds will change in value in response to changes in actual or anticipated changes in inflation rates, in a manner unanticipated by a Fund’s portfolio management team or investors generally. Inflation-indexed bonds are subject to debt securities risk generally to the same extent as other similar debt securities.

• investment company and exchange traded fund risk:  the risk that an investment company, including any exchange-traded fund (“ETF”), in which a Fund invests will not achieve its investment objective or execute its investment strategy effectively or that large purchase or redemption activity by shareholders of such an investment company might negatively affect the value of the investment company’s shares. A Fund must pay its pro rata portion of an investment company’s fees and expenses.

• junk bond risk:  the risk that these bonds have a higher degree of default risk and may be less liquid and subject to greater price volatility than investment grade bonds.

• leveraging risk:  the risk that certain investments by a Fund involving leverage may have the effect of increasing the volatility of the Fund’s portfolio, and the risk of loss in excess of invested capital.

• limited operating history risk:  the risk that a newly formed fund has a limited operating history to evaluate and may not attract sufficient assets to achieve or maximize investment and operational efficiencies.

• liquidity risk: the risk that low trading volume, lack of a market maker, or contractual or legal restrictions may limit or prevent a Fund from selling securities or closing derivative positions at desirable prices.

• market capitalization risk:  the risk that investing substantially in issuers in one market capitalization category (large, medium or small) may adversely affect a Fund because of unfavorable market conditions particular to that category of issuers, such as larger, more established companies being unable to respond quickly to new competitive challenges or attain the high growth rates of successful smaller companies, or, conversely, stocks of smaller companies being more volatile than those of larger companies due to, among other things, narrower product lines, more limited financial resources, fewer experienced managers and there typically being less publicly available information about small capitalization companies.

• market risk:  the risk that the overall market will perform poorly or that the returns from the securities in which a Fund invests will underperform returns from the general securities markets or other types of investments.

62 DoubleLine Funds

(Unaudited)

September 30, 2012

• mortgage-backed securities risk:  the risk that borrowers may default on their mortgage obligations or the guarantees underlying the mortgage-backed securities will default and that, during periods of falling interest rates, mortgage-backed securities will be called or prepaid, which may result in a Fund having to reinvest proceeds in other investments at a lower interest rate. During periods of rising interest rates, the average life of a mortgage-backed security may extend, which may lock in a below-market interest rate, increase the security’s duration, and reduce the value of the security. Enforcing rights against the underlying assets or collateral may be difficult, or the underlying assets or collateral may be insufficient if the issuer defaults. The values of certain types of mortgage-backed securities, such as inverse floaters and interest-only and principal-only securities, may be extremely sensitive to changes in interest rates and prepayment rates.

• non-diversification risk:  the risk that, because a relatively higher percentage of a Fund’s assets may be invested in the securities of a limited number of issuers, the Fund may be more susceptible to any single economic, political or regulatory event than a more diversified fund. A decline in the market value of one of a Fund’s investments may affect the Fund’s value more than if the Fund were a diversified fund.

• portfolio management risk:  the risk that an investment strategy may fail to produce the intended results or that the securities held by a Fund will underperform other comparable funds because of the portfolio managers’ choice of investments.

• portfolio turnover risk:  the risk that frequent purchases and sales of portfolio securities may result in higher Fund expenses and may result in larger distributions of taxable short-term capital gains to investors as compared to a fund that trades less frequently.

• preferred securities risk:  the risk that: (i) certain preferred stocks contain provisions that allow an issuer under certain conditions to skip or defer distributions; (ii) preferred stocks may be subject to redemption, including at the issuer’s call, and, in the event of redemption, the Fund may not be able to reinvest the proceeds at comparable rates of return; (iii) preferred stocks are generally subordinated to bonds and other debt securities in an issuer’s capital structure in terms of priority for corporate income and liquidation payments; and (iv) preferred stocks may trade less frequently and in a more limited volume and may be subject to more abrupt or erratic price movements than many other securities.

• price volatility risk:  the risk that the value of a Fund’s investment portfolio will change as the prices of its investments go up or down.

• real estate risk:  the risk that real estate related investments may decline in value as a result of factors affecting the real estate industry, such as the supply of real property in certain markets, changes in zoning laws, delays in completion of construction, changes in real estate values, changes in property taxes, levels of occupancy, and local and regional market conditions.

• reliance on the adviser:  the risk associated with each Fund’s ability to achieve its investment objective being dependent upon the Adviser’s ability to identify profitable investment opportunities for a Fund. While the portfolio managers of the Funds have considerable experience in managing other portfolios with investment objectives, policies and strategies that are similar and intend to use similar analytical methods to identify potential investments for the Funds, the past experience of the portfolio managers does not guarantee future results for the Adviser.

• securities or sector selection risk:  the risk that the securities held by a Fund will underperform other funds investing in similar asset classes or benchmarks that are representative of the asset class because of the portfolio managers’ choice of securities or sectors for investment.

• short sales risk:  the risk that a security a Fund has sold short increases in value.

• tax risk:  in order to qualify as a regulated investment company under the Internal Revenue Code of 1986, as amended (“Code”), a Fund must meet requirements regarding, among other things, the source of its income. It is possible that certain of a Fund’s investments in commodity-linked derivatives will not give rise to “qualifying income” for this purpose. Any income a Fund derives from investments in instruments that do not generate “qualifying income” must be limited to a maximum of 10% of the Fund’s annual gross income. If a Fund were to earn non-qualifying income in excess of 10% of its annual gross income, it could fail to qualify as a regulated investment company for that year. If a Fund were to fail to qualify as a regulated investment company, the Fund would be subject to tax and shareholders of the Fund would be subject to the risk of diminished returns.

• U.S. Government securities risk:  the risk that debt securities issued or guaranteed by certain U.S. Government agencies, instrumentalities, and sponsored enterprises are not supported by the full faith and credit of the U.S. Government, and so involve credit risk greater than investments in other types of U.S. Government securities.

11.  Recently Issued Accounting Pronouncements

Financial Accounting Standards Board (“FASB”) Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities

In December 2011, the FASB issued Accounting Standards Update (“ASU”) No. 2011-11 (“ASU No. 2011-11”) to enhance disclosures about financial instruments and derivative instruments that are subject to offsetting (“netting”) on the Statement of Assets and Liabilities. This information will enable users of the entity’s financial statements to evaluate the effect or potential effect of netting arrangements on the entity’s financial position. ASU No. 2011-11 is effective prospectively during interim or annual periods beginning on or after January 1, 2013. At this time, management is evaluating the implications of this guidance and the impact it will have to the financial statements amounts and footnote disclosures, if any.

In May 2011, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2011-04, Fair Value Measurement (Topic 820): Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs. The amendments in the ASU will improve the comparability of fair value measurements presented and disclosed in financial statements prepared in accordance with U.S. GAAP (Generally Accepted Accounting Principles) and IFRS (International Financial Reporting Standards) and include new guidance for certain fair value measurement principles and disclosure requirements. The ASU is effective for interim and annual periods beginning after December 15, 2011. Management assessed the requirements of this ASU and concluded that there is no material impact on the Funds’ financial statements.

Semi-Annual Report September 30, 2012 63

Notes to Financial Statements  (Cont.) (Unaudited) September 30, 2012

12.  Subsequent Events

In preparing these financial statements, the Funds have evaluated events and transactions for potential recognition or disclosure through the date the financial statements were available to be issued. The Funds have determined there are no subsequent events that would need to be disclosed in the Funds’ financial statements.

64 DoubleLine Funds

Shareholder Expenses (Unaudited)

Example

As a shareholder of DoubleLine Total Return Bond Fund, DoubleLine Core Fixed Income Fund, DoubleLine Emerging Markets Fixed Income Fund, DoubleLine Multi-Asset Growth Fund (Consolidated) and DoubleLine Low Duration Bond Fund (each a “Fund” and collectively the “Funds”), you incur two basic types of costs: (1) transaction costs , including sales charges (loads) on purchase payments, reinvested dividends, or other distributions; redemption fees; and exchange fees; and (2) ongoing costs, including management fees; distribution (12b-1) fees and other Fund expenses.

This Example is intended to help you understand your ongoing costs (in dollars) of investing in each Fund and to compare these costs with the ongoing costs of investing in other mutual funds. The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period covered by this report.

Actual Expenses

The actual return columns in the following table provide information about account values based on actual returns and actual expenses. You may use the information in these columns, 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 respective line under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period. In addition to the expenses shown below in the table, as a shareholder you will be assessed fees for outgoing wire transfers, returned checks and stop payment orders at prevailing rates charged by U.S. Bancorp Fund Services, LLC, the Fund’s transfer agent. Currently, if you request a redemption be made by wire, a $15.00 fee is charged by the Fund’s transfer agent. You will be charged a redemption fee equal to 1.00% of the net amount of the redemption if you redeem shares that have been held for less than 90 days in the DoubleLine Multi-Asset Growth Fund. An Individual Retirement Account (“IRA”) will be charged a $15.00 annual maintenance fee. The transfer agent charges a transaction fee of $25.00 on returned checks and stop payment orders. If you paid a transaction fee, you would add the fee amount to the expenses paid on your account this period to obtain your total expenses paid.

Hypothetical Example for Comparison Purposes

The hypothetical return columns in the following table provide information about hypothetical account values and hypothetical expenses based on a Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not a Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect the transaction fees discussed above. Therefore, those columns are 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.

						Actual				Hypothetical (5% return before expenses)
		Fund’s Annualized Expense Ratio		Beginning Account Value		Ending Account Value 9/30/12		Expenses Paid During Period *1		Ending Account Value 9/30/12		Expenses Paid During Period *1
DoubleLine Total Return Bond Fund	Class I		0.48%	$	1,000	$	1,059	$	2.48	$	1,023	$	2.43
	Class N		0.73%	$	1,000	$	1,051	$	3.75	$	1,021	$	3.70
DoubleLine Core Fixed Income Fund	Class I		0.50%	$	1,000	$	1,051	$	2.57	$	1,023	$	2.54
	Class N		0.75%	$	1,000	$	1,050	$	3.85	$	1,021	$	3.80
DoubleLine Emerging Markets Fixed Income Fund	Class I		0.95%	$	1,000	$	1,055	$	4.89	$	1,020	$	4.81
	Class N		1.20%	$	1,000	$	1,054	$	6.18	$	1,019	$	6.07
DoubleLine Multi-Asset Growth Fund (Consolidated)	Class I		1.20%	$	1,000	$	1,029	$	6.10	$	1,019	$	6.07
	Class A		1.45%	$	1,000	$	1,028	$	7.37	$	1,018	$	7.33
DoubleLine Low Duration Bond Fund	Class I		0.47%	$	1,000	$	1,018	$	2.38	$	1,023	$	2.38
	Class N		0.72%	$	1,000	$	1,017	$	3.64	$	1,021	$	3.65

* The dollar amounts shown as expenses paid during the period are equal to the annualized six-month expense ratio multiplied by the average account value during the period, multiplied by the number of days in the most recent six-month period and divided by the number of days in the most recent twelve month period.

¹ Reflects fee waiver and expense limitation arrangements in effect during the period

Semi-Annual Report September 30, 2012 65

Federal Tax Information (Unaudited)

For the fiscal year ended March 31, 2012, certain dividends paid by the Funds may be subject to a maximum tax rate of 15%, as provided for by the Jobs and Growth Tax Relief Reconciliation Act of 2003. The percentage of dividends declared from ordinary income designated as qualified dividend income was as follows:

Qualified Dividend Income
DoubleLine Total Return Bond Fund	0.00%
DoubleLine Core Fixed Income Fund	0.00%
DoubleLine Emerging Markets Fixed Income Fund	0.00%
DoubleLine Multi-Asset Growth Fund	11.29%
DoubleLine Low Duration Bond Fund	0.00%

For corporate shareholders, the percent of ordinary income distributions qualifying for the corporate dividends received deduction for the fiscal year ended March 31, 2012 was as follows:

Dividends Received Deduction
DoubleLine Total Return Bond Fund	0.00%
DoubleLine Core Fixed Income Fund	0.00%
DoubleLine Emerging Markets Fixed Income Fund	0.00%
DoubleLine Multi-Asset Growth Fund	11.29%
DoubleLine Low Duration Bond Fund	0.00%

The Percentage of taxable ordinary income distributions that are designated as short-term capital gain distributions under Internal Revenue Section 871(k)(2)(c) for each Fund were as follows:

DoubleLine Total Return Bond Fund	0.00%
DoubleLine Core Fixed Income Fund	7.14%
DoubleLine Emerging Markets Fixed Income Fund	14.81%
DoubleLine Multi-Asset Growth Fund	0.00%
DoubleLine Low Duration Bond Fund	0.00%

Shareholders are advised to consult their own tax adviser with respect to the tax consequences of their investment in the Funds.

66 DoubleLine Funds

Trustees and Officers (Unaudited)

Name, Address, and Year of Birth(1)	Position with Trust	Term of Office and Length of Time Served	Principal Occupation(s) During Past 5 Years	Number of Portfolios Overseen(2)	Other Directorships Held by Trustee
Independent Trustees
Joseph J. Ciprari, 1964	Trustee	Indefinite/Since Inception	President of Remo Consultants. Formerly, Managing Director, UBS AG. Formerly, Managing Director, Ally Securities, LLC.	6	None
John C. Salter, 1957	Trustee	Indefinite/Since Inception	California Desk Manager/Broker of Chapdelaine & Co. Formerly, Partner at Stark, Salter & Smith, a securities brokerage firm specializing in tax exempt bonds.	6	None
Raymond B. Woolson, 1958	Trustee	Indefinite/Since Inception	President of Apogee Group, Inc., a company providing financial consulting services.	6	None

(1) The address of each Independent Trustee is c/o DoubleLine Capital LP, 333 South Grand Avenue, Suite 1800, Los Angeles, CA 90071.

(2) Includes DoubleLine Opportunistic Credit Fund, a closed-end fund.

The following Trustees are “interested persons” of the Trust as defined in the 1940 Act because they are officers of the Adviser, and indirect shareholders in the Adviser.

Name, Address, and Year of Birth(1)	Position with Trust	Term of Office and Length of Time Served	Principal Occupation(s) During Past 5 Years	Number of Portfolios Overseen	Other Directorships Held by Trustee
Interested Trustees
Jeffrey E. Gundlach, 1959	Trustee	Indefinite/Since Inception	Chief Executive Officer of DoubleLine Capital LP (since December 2009); prior thereto, Chief Investment Officer, Group Managing Director and President of TCW Group.	5	None
Philip A. Barach, 1952	Trustee	Indefinite/Since Inception	President of DoubleLine Capital LP (since December 2009); prior thereto, Group Managing Director of TCW Group.	5	None

(1) The address of each Interested Trustee is DoubleLine Capital LP, 333 South Grand Avenue, Suite 1800, Los Angeles, CA 90071.

Change to Board of Trustees

Effective September 5, 2012, Robert Untracht resigned as a Trustee of the Trust.

Officers

The officers of the Trust who are not also Trustees of the Trust are:

Name, Address, and Year of Birth(1)	Position(s) Held with Fund	Term of Office and Length of Time Served	Principal Occupation(s) During Past 5 Years
Ronald R. Redell, 1970	President	Indefinite/Since Inception	Trustee, President and Chief Executive Officer of DoubleLine Opportunistic Credit Fund (since July 2011); President of DoubleLine Funds Trust (since January 2010); Executive Vice President of DoubleLine Capital LP (since July 2010); prior thereto, President and CEO of TCW Funds, Inc. and TCW Strategic Income Fund, Inc.
Susan Nichols, 1962	Treasurer and Principal Financial and Accounting Officer	Indefinite/Since October 2011	Treasurer and Principal Financial and Accounting Officer of DoubleLine Opportunistic Credit Fund (since July 2011); Treasurer and Principal Financial and Accounting Officer of DoubleLine Funds Trust (since October 2011); prior thereto, Assistant Treasurer of DoubleLine Funds Trust; Director of Operations, Mutual Funds and Southern Wholesaler of DoubleLine Capital LP (since December 2009); prior thereto, Senior Vice President of TCW.
Keith T. Kirk, 1963	Chief Compliance Officer	Indefinite/Since May 2012	Chief Compliance Officer of DoubleLine Opportunistic Credit Fund (since May 2012); Chief Compliance Officer of DoubleLine Funds Trust (since May 2012); Chief Compliance Officer of DoubleLine Capital LP (since January 2012); Independent Compliance Consultant (from September 2009 through December 2011); Chief Compliance Officer of Metropolitan West Asset Management LLC (September 2004 through August 2009).

Semi-Annual Report September 30, 2012 67

Trustees and Officers (Cont.) (Unaudited)

Name, Address, and Year of Birth(1)	Position(s) Held with Fund	Term of Office and Length of Time Served	Principal Occupation(s) During Past 5 Years
Louis C. Lucido, 1950	Secretary	Indefinite/Since Inception	Secretary of DoubleLine Opportunistic Credit Fund (since July 2011); Chief Operating Officer of DoubleLine Capital LP (since June 2010); Secretary of DoubleLine Funds Trust (since January 2010); Executive Vice President of DoubleLine Capital LP (from December 2009 through May 2010); prior thereto, Group Managing Director at TCW.
Grace Walker, 1970	Assistant Treasurer	Indefinite/Since March 2012	Assistant Treasurer of DoubleLine Opportunistic Credit Fund (since March 2012); Assistant Treasurer of DoubleLine Funds Trust (since March 2012); Assistant Treasurer of the private funds of Western Asset Management Company (from December 2004 through March 2012).
Cris Santa Ana, 1965	Vice President	Indefinite/Since April 2011	Vice President of DoubleLine Opportunistic Credit Fund (since July 2011); Vice President of DoubleLine Funds Trust (since April 2011); Chief Risk Officer of DoubleLine Capital LP (since June 2010); Chief Operating Officer of DoubleLine Capital LP (from December 2009 through May 2010); prior thereto, Managing Director at TCW.
Earl A. Lariscy, 1966	Vice President	Indefinite/Since May 2012	General Counsel at DoubleLine Capital LP (since April 2010); prior thereto, Director at Barclays Capital and Agency; General Manager of Barclays Bank PLC’s California-based banking operations beginning in October 2007. Prior to Barclays, Mr. Lariscy served as Vice President/Associate General Counsel to TCW since January 2006 and worked as outside counsel with Linklaters in New York.
David Kennedy, 1964	Vice President	Indefinite/Since May 2012	Vice President of DoubleLine Opportunistic Credit Fund (since May 2012); Vice President of DoubleLine Funds Trust (since May 2012); Director, Trading and Settlements at DoubleLine Capital LP (since December 2009); prior thereto, Senior Vice President of TCW.
Patrick A. Townzen, 1978	Vice President	Indefinite/Since September 2012	Vice President of DoubleLine Opportunistic Credit Fund (since September 2012); Vice President of DoubleLine Funds Trust (since September 2012); Director of Operations of DoubleLine Capital LP (since September 2012); prior thereto, Manager at Western Asset Management Company.

(1) The address of each officer is DoubleLine Capital LP, 333 South Grand Avenue, Suite 1800, Los Angeles, CA 90071.

The Statement of Additional Information includes additional information about the Trustees and is available, without charge, upon request, by calling 877-DLine11 (877-354-6311).

68 DoubleLine Funds

Information About Proxy Voting (Unaudited)

Information about how a Fund voted proxies relating to portfolio securities held during the most recent twelve month period ended June 30^th is available no later than the following August 31^st without charge, upon request, by calling 877-DLine11 (877-354-6311) and on the SEC’s website at http://www.sec.gov.

A description of the Funds’ proxy voting policies and procedures is available (i) without charge, upon request, by calling 877-DLine11 (877-354-6311); and (ii) on the commission’s web site at http://www.sec.gov.

Information About Portfolio Holdings

It is the policy of the Trust to provide certain unaudited information regarding the portfolio composition of the Funds as of month-end to shareholders and others upon request to the Funds, beginning on the 15th calendar day after the end of the month (or, if not a business day, the next business day thereafter).

Shareholders and others who wish to obtain portfolio holdings for a particular month may make a request by contacting the Funds at no charge at 877-DLine11 (877-354-6311) between the hours of 7:00 a.m. and 5:00 p.m. Pacific time, Monday through Friday, beginning on the 15th day following the end of that month (or, if not a business day, the next business day thereafter). Requests for portfolio holdings may be made on a monthly basis pursuant to this procedure, or standing requests for portfolio holdings may be accepted.

The Trust is required to file its complete schedule of portfolio holdings with the U.S. Securities and Exchange Commission for its first and third fiscal quarters on Form N-Q. The Trust’s Forms N-Q are available on the U.S. Securities and Exchange Commission’s website at www.sec.gov. You can also review and obtain copies of the Forms N-Q at the U.S. Securities and Exchange Commission’s Public Reference Room in Washington, DC (information on the operation of Public Reference Room may be obtained by calling 1-800-SEC-0330).

Householding — Important Notice Regarding Delivery of Shareholder Documents

In an effort to conserve resources, the Funds intend to reduce the number of duplicate Prospectuses and Annual and Semi-Annual Reports you receive by sending only one copy of each to addresses where we reasonably believe two or more accounts are from the same family. If you would like to discontinue householding of your accounts, please call toll-free 877-DLine11 (877-354-6311) to request individual copies of these documents. We will begin sending individual copies thirty days after receiving your request to stop householding.

Semi-Annual Report September 30, 2012 69

Privacy Notice (Unaudited)

What Does DoubleLine Do With Your Personal Information

Financial companies choose how they share your personal information. This notice provides information about how we collect, share, and protect your personal information, and how you might choose to limit our ability to share certain information about you. Please read this notice carefully.

All financial companies need to share customers’ personal information to run their everyday businesses. Accordingly, information, confidential and proprietary, plays an important role in the success of our business. However, we recognize that you have entrusted us with your personal and financial data, and we recognize our obligation to keep this information secure. Maintaining your privacy is important to us, and we hold ourselves to a high standard in its safekeeping and use. Most importantly, DoubleLine does not sell its customers’ non-public personal information to any third parties. DoubleLine uses its customers’ non-public personal information primarily to complete financial transactions that its customers request or to make its customers aware of other financial products and services offered by a DoubleLine affiliated company.

DoubleLine may collect non-public information about you from the following sources:

• Information we receive about you on applications or other forms;

• Information you may give us orally;

• Information about your transactions with us or others;

• Information you submit to us in correspondence, including emails or other electronic communications; and

• Information about any bank account you use for transfers between your bank account and any Fund account, including information provided when effecting wire transfers.

DoubleLine does not disclose any non-public personal information about our customers or former customers without the customer’s authorization, except that we may disclose the information listed above, as follows:

• It may be necessary for DoubleLine to provide information to nonaffiliated third parties in connection with our performance of the services we have agreed to provide you. For example, it might be necessary to do so in order to process transactions and maintain accounts.

• DoubleLine will release any of the non-public information listed above about a customer if directed to do so by that customer or if DoubleLine is authorized by law to do so, such as in the case of a court order, legal investigation, or other properly executed governmental request.

• In order to alert a customer to other financial products and services offered by an affiliate, DoubleLine may share information with an affiliate, including companies using the DoubleLine name. Such products and services may include, for example, other investment products offered by a DoubleLine company. If you prefer that we not disclose non-public personal information about you to our affiliates for this purpose, you may direct us not to make such disclosures (other than disclosures permitted by law) by calling 877-DLine11(877-354-6311). If you limit this sharing and you have a joint account, your decision will be applied to all owners of the account.

We will limit access to your personal account information to those agents and vendors who need to know that information to provide products and services to you. Your information is not provided by us to nonaffiliated third parties for marketing purposes. We maintain physical, electronic, and procedural safeguards to guard your non-public personal information.

As required by federal law, DoubleLine will notify customers of DoubleLine’s Privacy Policy annually. DoubleLine reserves the right to modify this policy at any time, but in the event that there is a change, DoubleLine will promptly inform its customers of that change.

70 DoubleLine Funds

DoubleLine Capital LP 333 South Grand Avenue 18th Floor Los Angeles, CA 90071   doubleline.com info@doubleline.com 1. 213. 633. 8200

Investment Adviser:

DoubleLine Capital LP

333 South Grand Avenue

18th Floor

Los Angeles, CA 90071

Distributor:

Quasar Distributors, LLC

615 East Michigan Street

Milwaukee, WI 53202

Administrator and Transfer Agent:

U.S. Bancorp Fund

Services, LLC

P.O. Box 701

Milwaukee, WI 53201

Custodian:

U.S. Bank, N.A.

1555 North River Center

Drive, Suite 302

Milwaukee, WI 53212

Independent Registered

Public Accounting Firm:

PricewaterhouseCoopers LLP

350 South Grand Avenue

Los Angeles, CA 90071

Legal Counsel:

Ropes & Gray LLP

Prudential Tower

800 Boylston Street

Boston, MA 02199

Contact Information:

doublelinefunds.com

fundinfo@doubleline.com

1-877-DLine11 or

1-877-354-6311

Item 2. Code of Ethics.

Not applicable for semi-annual reports.

Item 3. Audit Committee Financial Expert.

Not applicable for semi-annual reports.

Item 4. Principal Accountant Fees and Services.

Not applicable for semi-annual reports.

Item 5. Audit Committee of Listed Registrants.

Not applicable to registrants who are not listed issuers (as defined in Rule 10A-3 under the Securities Exchange Act of 1934).

Item 6. Investments.

(a) Schedule of Investments is included as part of the report to shareholders filed under Item 1 of this Form.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.

Not applicable to open-end investment companies.

Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Not applicable to open-end investment companies.

Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

Not applicable to open-end investment companies.

Item 10. Submission of Matters to a Vote of Security Holders.

There have been no material changes to the procedures by which shareholders may recommend nominees to the registrant’s board of trustees.

Item 11. Controls and Procedures.

(a) The Registrant’s principal executive and principal financial officers have reviewed the Registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “Act”)) as of a date within 90 days of the filing of this

report, as required by Rule 30a-3(b) under the Act and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934. Based on their review, such officers have concluded that the disclosure controls and procedures are effective in ensuring that information required to be disclosed in this report is appropriately recorded, processed, summarized and reported and made known to them by others within the Registrant and by the Registrant’s service provider.

(b) There were no changes in the Registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Act) that occurred during the last fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12. Exhibits.

(a) (1) Any code of ethics or amendment thereto, that is the subject of the disclosure required by Item 2, to the extent that the registrant intends to satisfy Item 2 requirements through filing an exhibit. Not Applicable.

(2) A separate certification for each principal executive and principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.

(3) Any written solicitation to purchase securities under Rule 23c-1 under the Act sent or given during the period covered by the report by or on behalf of the registrant to 10 or more persons. Not applicable to open-end investment companies.

(b) Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. Furnished 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.

(Registrant) DOUBLELINE FUNDS TRUST

By (Signature and Title)	/s/    Ronald R. Redell
	Ronald R. Redell, President

Date 12/7/12

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By (Signature and Title)	/s/    Ronald R. Redell
	Ronald R. Redell, President

Date 12/7/12

By (Signature and Title)	/s/    Susan Nichols
	Susan Nichols, Treasurer and
	Principal Financial and Accounting Officer

Date 12/7/12