Arrow Investments Trust N-CSR Certified annual shareholder report (management investment company)

united states
securities and exchange commission
washington, d.c. 20549

form n-csr

certified shareholder report of registered management
investment companies

Investment Company Act file number 811-22638

Arrow Investments Trust

(Exact name of registrant as specified in charter)

6100 Chevy Chase Drive Suite 100 , Laurel MD 20707

(Address of principal executive offices) (Zip code)

Corporation Service Company

251 Little Falls Drive

Wilmington, Delaware 19808

(Name and address of agent for service)

Registrant's telephone number, including area code: 631-470-2619

Date of fiscal year end: 7/31

Date of reporting period: 7/31/22

Item 1. Reports to Stockholders.

Arrow Reverse Cap 500 ETF

YPS

Annual Report 

July 31, 2022

1-877-277-6933

1-877-ARROW-FD

www.ArrowFunds.com

Dear Shareholder:

We are pleased to present this annual report for the Arrow Reverse Cap 500 ETF (“YPS” or the “Fund”) for the one-year period ended July 31, 2022.

YPS seeks to track the performance, before fees and expenses, of the Reverse Cap Weighted U.S. Large Cap Index (“the “Index”). The Index is a rules-based, reverse capitalization weighted index comprised of constituents of the S&P 500 Index, which consists of approximately 500 leading U.S.-listed companies representing approximately 80% of the U.S. equity market capitalization. The Index seeks to provide exposure to the U.S. large-cap market but with greater emphasis on the smaller- end of the large-cap market, unlike many traditional market capitalization weighted indexes that place a greater emphasis on the largest companies in the large-cap market. The Index includes common stocks and equity interests in real estate investment trusts (“REITS”).

Arrow Investment Advisors began managing the Fund in May 2021 and changed the ticker from RVRS to YPS. Net assets were over $17.3 million at the end of July 2022.

Management’s Discussion of Fund Performance

All performance is based on net asset value (“NAV”) and assumes the reinvestment of distributions, without regard to individual taxes or withholdings. Index returns assume reinvestment of distributions, but do not include fees. Individual performance will vary due to a number of factors, including, but not limited to, trading commissions, bid/ask spreads, premium/discounts relative to the NAV, time of trading and other potential market factors—please refer to the Fund’s prospectus for more information.

Since its inception in October 2017 through July 2022, the Fund had a total return of 9.49% versus the broad domestic stock market’s gain of 12.45% (S&P 500). For the one -year period ended July 31, 2022, the Fund had a return of -5.31%, underperforming the S&P 500 Index return of -4.64%. Over the last year, value outperformed growth and large cap companies outperformed small and mid-cap companies. Accordingly, the Fund’s performance was similar to the S&P 500 due to its value and small/mid-cap orientation.

The Fund generally pays distributions annually at the end of each calendar year, or as needed if special distributions are required. As of the last distribution made during the reporting period, with a record date of December 27, 2021, the Fund paid a $0.2436 per share distribution.

For more information about current performance, holdings or historical premiums/discounts, please visit our website at www.arrowfunds.com. We are grateful for your continued investment and for your confidence in our company.

Sincerely,

Joseph J. Barrato

Chief Executive Officer

Arrow Investment Advisors, LLC

September 2022

AD-092222

1

Arrow Reverse Cap 500 ETF 

PORTFOLIO REVIEW (Unaudited) 

July 31, 2022

The Fund’s performance figures* for the year ended July 31, 2022, as compared to its benchmarks:

			Annualized
		Annualized	Since Inception** -
	One Year	Three Year	July 31, 2022
Arrow Reverse Cap 500 ETF - NAV	(5.31)%	10.34%	9.49%
Arrow Reverse Cap 500 ETF - Market Price	(5.36)%	10.26%	9.47%
Reverse Cap Weighted U.S. Large Cap Index	(4.98)%	10.51%	9.69%
S&P 500 Index	(4.64)%	13.36%	12.45%

* Past performance does not guarantee future results. The investment return and principal value of an investment in the Fund will fluctuate so that an investor’s shares, when sold, may be worth more or less than their original cost. The returns shown do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or on the sale of Fund shares. Current performance of the Fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by visiting www.ArrowFunds.com or by calling 1-877-277-6933. The Fund’s per share net asset value or “NAV” is the value of one share of the Fund as calculated in accordance with the standard formula for valuing shares. The NAV return is based on the NAV of the Fund and the market return is based on the market price per share of the Fund. The price used to calculate market return (“Market Price”) is determined by using the market price or bid/ask as of close of market on the primary stock exchange on which shares of the Fund are listed for trading, as of the time that the Fund’s NAV is calculated. Market Price and NAV returns assume that dividends and capital gain distributions have been reinvested in the Fund at Market Price and NAV, respectively. Information detailing the number of days the Market Price of the Fund was greater than the Fund’s NAV and the number of days it was less than the Fund’s NAV can be obtained at www.arrowfunds.com. The Fund’s total annual operating expenses are 0.29% per the December 1, 2021 and the April 27, 2022 prospectus. Please see the Financial Highlights for a more recent expense ratio.

** As of the close of business on the day of commencement of trading on October 31, 2017.

The Reverse Cap Weighted U.S. Large Cap Index is a rule-based, reverse capitalization weighted index comprised of constituents of the S&P 500® Index, which consists of approximately 500 leading U.S.-listed companies representing approximately 80% of the U.S. equity market capitalization. The Index seeks to provide exposure to the U.S. large-cap market but with greater emphasis on the smaller-end of the large-cap market, unlike many traditional market capitalization weighted indexes that place a greater emphasis on the largest companies in the large-cap market. The Index includes common stocks and equity interests in real estate investment trusts (“REITs”). Investors cannot invest directly in an index.

The S&P 500 Index is a widely accepted, unmanaged index of U.S. stock market performance which does not take into account charges, fees and other expenses. Investors cannot invest directly in an index.

Comparison of the Change in Value of a $10,000 Investment

The Fund’s Holdings by Sector as of July 31, 2022 are as follows:

Sector	% of Net Assets
Common Stocks:
Consumer Discretionary		17.4	%
Industrials		14.8	%
Technology		13.6	%
Financials		11.0	%
Health Care		10.9	%
Real Estate		7.0	%
Utilities		5.7	%
Materials		5.4	%
Communications		5.3	%
Consumer Staples		5.0	%
Energy		2.6	%
Other Assets in Excess of Liabilities		1.3	%
		100.0	%

Please refer to the Schedule of Investments in this Annual Report for a detailed listing of the Fund’s Holdings.

2

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7%
		ADVERTISING & MARKETING - 0.7%
	2,263	Interpublic Group of Companies, Inc. (The)	$	67,595
	790	Omnicom Group, Inc.		55,174
				122,769
		AEROSPACE & DEFENSE - 1.9%
	68	Boeing Company(a)		10,833
	54	General Dynamics Corporation		12,240
	1,568	Howmet Aerospace, Inc.		58,220
	402	Huntington Ingalls Industries, Inc.		87,170
	67	L3Harris Technologies, Inc.		16,078
	15	Lockheed Martin Corporation		6,207
	27	Northrop Grumman Corporation		12,930
	58	Raytheon Technologies Corporation		5,406
	109	Teledyne Technologies, Inc.(a)		42,663
	875	Textron, Inc.		57,435
	38	TransDigm Group, Inc.(a)		23,649
				332,831
		APPAREL & TEXTILE PRODUCTS - 2.7%
	43	NIKE, Inc., Class B		4,942
	2,632	PVH Corporation		162,973
	1,704	Ralph Lauren Corporation		168,065
	2,631	Tapestry, Inc.		88,481
	838	VF Corporation		37,442
				461,903
		ASSET MANAGEMENT - 1.6%
	100	Ameriprise Financial, Inc.		26,992
	12	BlackRock, Inc.		8,030
	76	Charles Schwab Corporation (The)		5,248
	2,413	Franklin Resources, Inc.		66,237
	5,462	Invesco Ltd.		96,895
	427	Raymond James Financial, Inc.		42,047
	248	T Rowe Price Group, Inc.		30,621
				276,070
		AUTOMOTIVE - 0.9%
	268	Aptiv plc(a)		28,111

See accompanying notes to financial statements.

3

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		AUTOMOTIVE - 0.9% (Continued)
	2,317	BorgWarner, Inc.	$	89,111
	1,211	Ford Motor Company		17,790
	428	General Motors Company(a)		15,519
	2	Tesla, Inc.(a)		1,783
				152,314
		BANKING - 3.2%
	75	Bank of America Corporation		2,536
	142	Citigroup, Inc.		7,370
	1,080	Citizens Financial Group, Inc.		41,008
	945	Comerica, Inc.		73,492
	843	Fifth Third Bancorp		28,763
	201	First Republic Bank		32,705
	3,233	Huntington Bancshares, Inc.		42,967
	11	JPMorgan Chase & Company		1,269
	2,423	Key Corporation		44,341
	143	M&T Bank Corporation		25,375
	59	PNC Financial Services Group, Inc. (The)		9,790
	1,815	Regions Financial Corporation		38,442
	323	Signature Bank		59,939
	68	SVB Financial Group(a)		27,441
	187	Truist Financial Corporation		9,438
	204	US Bancorp		9,629
	100	Wells Fargo & Company		4,387
	1,661	Zions Bancorp NA		90,607
				549,499
		BEVERAGES - 1.0%
	490	Brown-Forman Corporation, Class B		36,368
	66	Coca-Cola Company (The)		4,235
	78	Constellation Brands, Inc., Class A		19,212
	396	Keurig Dr Pepper, Inc.		15,341
	1,227	Molson Coors Beverage Company, Class B		73,313
	169	Monster Beverage Corporation(a)		16,836
	27	PepsiCo, Inc.		4,724
				170,029

See accompanying notes to financial statements.

4

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		BIOTECH & PHARMA - 1.7%
	20	AbbVie, Inc.	$	2,870
	30	Amgen, Inc.		7,424
	124	Biogen, Inc.(a)		26,667
	73	Bristol-Myers Squibb Company		5,386
	12	Eli Lilly and Company		3,956
	195	Gilead Sciences, Inc.		11,651
	678	Incyte Corporation(a)		52,667
	6	Johnson & Johnson		1,047
	52	Merck & Company, Inc.		4,646
	106	Moderna, Inc.(a)		17,394
	2,324	Organon & Company		73,718
	71	Pfizer, Inc.		3,586
	18	Regeneron Pharmaceuticals, Inc.(a)		10,470
	42	Vertex Pharmaceuticals, Inc.(a)		11,777
	4,914	Viatris, Inc.		47,617
	51	Zoetis, Inc.		9,310
				290,186
		CABLE & SATELLITE - 0.8%
	15	Charter Communications, Inc., Class A(a)		6,482
	90	Comcast Corporation, Class A		3,377
	7,002	DISH Network Corporation, Class A(a)		121,624
				131,483
		CHEMICALS - 3.0%
	53	Air Products and Chemicals, Inc.		13,156
	122	Albemarle Corporation		29,806
	324	Avery Dennison Corporation		61,709
	353	Celanese Corporation - Series A		41,481
	415	CF Industries Holdings, Inc.		39,628
	302	Corteva, Inc.		17,380
	301	Dow, Inc.		16,016
	374	DuPont de Nemours, Inc.		22,900
	572	Eastman Chemical Company		54,872
	114	Ecolab, Inc.		18,829
	465	FMC Corporation		51,662

See accompanying notes to financial statements.

5

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		CHEMICALS - 3.0% (Continued)
	197	International Flavors & Fragrances, Inc.	$	24,438
	17	Linde plc		5,134
	231	LyondellBasell Industries N.V., Class A		20,587
	697	Mosaic Company (The)		36,704
	238	PPG Industries, Inc.		30,771
	57	Sherwin-Williams Company (The)		13,791
				498,864
		COMMERCIAL SUPPORT SERVICES - 1.1%
	58	Cintas Corporation		24,678
	161	Republic Services, Inc.		22,324
	937	Robert Half International, Inc.		74,154
	1,282	Rollins, Inc.		49,447
	85	Waste Management, Inc.		13,988
				184,591
		CONSTRUCTION MATERIALS - 0.4%
	113	Martin Marietta Materials, Inc.		39,785
	228	Vulcan Materials Company		37,695
				77,480
		CONTAINERS & PACKAGING - 1.8%
	3,054	Amcor PLC		39,549
	495	Ball Corporation		36,343
	963	International Paper Company		41,188
	342	Packaging Corp of America		48,089
	1,383	Sealed Air Corporation		84,528
	1,445	Westrock Company		61,210
				310,907
		DATA CENTER REIT - 0.2%
	156	Digital Realty Trust, Inc.		20,662
	19	Equinix, Inc.		13,371
				34,033
		DIVERSIFIED INDUSTRIALS - 1.2%
	72	3M Company		10,313
	309	Dover Corporation		41,307
	95	Eaton Corp plc		14,097

See accompanying notes to financial statements.

6

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		DIVERSIFIED INDUSTRIALS - 1.2% (Continued)
	159	Emerson Electric Company	$	14,321
	134	General Electric Company		9,904
	36	Honeywell International, Inc.		6,929
	63	Illinois Tool Works, Inc.		13,089
	1,968	Pentair PLC		96,215
				206,175
		E-COMMERCE DISCRETIONARY - 0.8%
	673	eBay, Inc.		32,728
	1,031	Etsy, Inc.(a)		106,935
				139,663
		ELECTRIC UTILITIES - 4.9%
	2,492	AES Corporation (The)		55,372
	839	Alliant Energy Corporation		51,120
	363	Ameren Corporation		33,803
	178	American Electric Power Company, Inc.		17,544
	1,318	CenterPoint Energy, Inc.		41,767
	568	CMS Energy Corporation		39,039
	232	Consolidated Edison, Inc.		23,031
	603	Constellation Energy Corporation		39,858
	149	Dominion Energy, Inc.		12,215
	262	DTE Energy Company		34,139
	98	Duke Energy Corporation		10,773
	445	Edison International		30,158
	275	Entergy Corporation		31,661
	737	Evergy, Inc.		50,308
	287	Eversource Energy		25,319
	440	Exelon Corporation		20,456
	744	FirstEnergy Corporation		30,578
	60	NextEra Energy, Inc.		5,069
	1,782	NRG Energy, Inc.		67,271
	1,220	Pinnacle West Capital Corporation		89,634
	1,278	PPL Corporation		37,164
	375	Public Service Enterprise Group, Inc.		24,626
	108	Sempra Energy		17,906

See accompanying notes to financial statements.

7

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		ELECTRIC UTILITIES - 4.9% (Continued)
	163	Southern Company (The)	$	12,533
	240	WEC Energy Group, Inc.		24,914
	307	Xcel Energy, Inc.		22,466
				848,724
		ELECTRICAL EQUIPMENT - 3.4%
	1,695	A O Smith Corporation		107,243
	738	Allegion plc		78,007
	223	AMETEK, Inc.		27,541
	252	Amphenol Corporation, Class A		19,437
	626	Carrier Global Corporation		25,372
	602	Fortive Corporation		38,799
	183	Generac Holdings, Inc.(a)		49,099
	401	Johnson Controls International plc		21,618
	210	Keysight Technologies, Inc.(a)		34,146
	367	Otis Worldwide Corporation		28,688
	143	Rockwell Automation, Inc.		36,505
	41	Roper Technologies, Inc.		17,903
	156	TE Connectivity Ltd.		20,862
	185	Trane Technologies PLC		27,193
	762	Trimble, Inc.(a)		52,906
				585,319
		ENGINEERING & CONSTRUCTION - 0.5%
	347	Jacobs Engineering Group, Inc.		47,643
	329	Quanta Services, Inc.		45,642
				93,285
		ENTERTAINMENT CONTENT - 1.6%
	163	Activision Blizzard, Inc.		13,032
	143	Electronic Arts, Inc.		18,766
	2,105	Fox Corporation, Class A		69,697
	3,127	Fox Corporation - Class B, CLASS B		96,623
	1,655	Paramount Global, Class B		39,141
	266	Take-Two Interactive Software, Inc.(a)		35,306
	26	Walt Disney Company (The)(a)		2,759

See accompanying notes to financial statements.

8

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		ENTERTAINMENT CONTENT - 1.6% (Continued)
	1,393	Warner Bros Discovery, Inc.(a)	$	20,895
				296,219
		FOOD - 2.5%
	1,072	Campbell Soup Company		52,902
	1,382	Conagra Brands, Inc.		47,278
	250	General Mills, Inc.		18,698
	109	Hershey Company (The)		24,848
	594	Hormel Foods Corporation		29,308
	399	J M Smucker Company (The)		52,796
	431	Kellogg Company		31,860
	482	Kraft Heinz Company (The)		17,752
	1,119	Lamb Weston Holdings, Inc.		89,139
	352	McCormick & Company, Inc.		30,747
	170	Mondelez International, Inc., Class A		10,887
	366	Tyson Foods, Inc., Class A		32,212
				438,427
		GAMING REITS - 0.2%
	827	VICI Properties, Inc.		28,275
		GAS & WATER UTILITIES - 0.8%
	195	American Water Works Company, Inc.		30,311
	421	Atmos Energy Corporation		51,105
	2,070	NiSource, Inc.		62,928
				144,344
		HEALTH CARE FACILITIES & SERVICES - 4.0%
	161	AmerisourceBergen Corporation		23,495
	15	Anthem, Inc.		7,157
	933	Cardinal Health, Inc.		55,569
	356	Catalent, Inc.(a)		40,264
	202	Centene Corporation(a)		18,780
	300	Charles River Laboratories International, Inc.(a)		75,162
	34	Cigna Corporation		9,362
	58	CVS Health Corporation		5,549
	885	DaVita, Inc.(a)		74,482

See accompanying notes to financial statements.

9

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		HEALTH CARE FACILITIES & SERVICES - 4.0% (Continued)
	69	HCA Healthcare, Inc.	$	14,657
	834	Henry Schein, Inc.(a)		65,744
	35	Humana, Inc.		16,870
	94	IQVIA Holdings, Inc.(a)		22,585
	151	Laboratory Corp of America Holdings		39,591
	50	McKesson Corporation		17,079
	166	Molina Healthcare, Inc.(a)		54,402
	371	Quest Diagnostics, Inc.		50,667
	4	UnitedHealth Group, Inc.		2,169
	877	Universal Health Services, Inc., Class B		98,636
				692,220
		HEALTH CARE REIT - 0.6%
	2,057	Healthpeak Properties, Inc.		56,835
	667	Ventas, Inc.		35,871
	226	Welltower, Inc.		19,513
				112,219
		HOME & OFFICE PRODUCTS - 1.1%
	4,852	Newell Brands, Inc.		98,059
	504	Whirlpool Corporation		87,126
				185,185
		HOME CONSTRUCTION - 2.7%
	452	DR Horton, Inc.		35,270
	1,379	Fortune Brands Home & Security, Inc.		96,089
	552	Lennar Corporation, Class A		46,920
	1,113	Masco Corporation		61,638
	703	Mohawk Industries, Inc.(a)		90,321
	14	NVR, Inc.(a)		61,503
	1,895	PulteGroup, Inc.		82,660
				474,401
		HOTEL REITS - 0.3%
	3,090	Host Hotels & Resorts, Inc.		55,033
		HOUSEHOLD PRODUCTS - 0.7%
	374	Church & Dwight Company, Inc.		32,902

See accompanying notes to financial statements.

10

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		HOUSEHOLD PRODUCTS - 0.7% (Continued)
	347	Clorox Company (The)	$	49,219
	168	Colgate-Palmolive Company		13,228
	51	Estee Lauder Companies, Inc. (The), Class A		13,928
	131	Kimberly-Clark Corporation		17,264
	17	Procter & Gamble Company (The)		2,361
				128,902
		INDUSTRIAL REIT - 0.2%
	687	Duke Realty Corporation		42,979
	51	Prologis, Inc.		6,761
				49,740
		INDUSTRIAL SUPPORT SERVICES - 0.6%
	487	Fastenal Company		25,012
	139	United Rentals, Inc.(a)		44,851
	60	WW Grainger, Inc.		32,612
				102,475
		INFRASTRUCTURE REIT - 0.2%
	32	American Tower Corporation		8,667
	63	Crown Castle International Corporation		11,382
	73	SBA Communications Corporation		24,513
				44,562
		INSTITUTIONAL FINANCIAL SERVICES - 1.3%
	481	Bank of New York Mellon Corporation (The)		20,904
	540	Cboe Global Markets, Inc.		66,625
	45	CME Group, Inc.		8,977
	23	Goldman Sachs Group, Inc. (The)		7,668
	132	Intercontinental Exchange, Inc.		13,463
	65	Morgan Stanley		5,480
	181	Nasdaq, Inc.		32,743
	357	Northern Trust Corporation		35,621
	459	State Street Corporation		32,607
				224,088
		INSURANCE - 4.3%
	349	Aflac, Inc.		19,998
	192	Allstate Corporation (The)		22,458

See accompanying notes to financial statements.

11

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		INSURANCE - 4.3% (Continued)
	305	American International Group, Inc.	$	15,790
	45	Aon plc, CLASS A		13,097
	143	Arthur J Gallagher & Company		25,596
	431	Assurant, Inc.		75,761
	3	Berkshire Hathaway, Inc., Class B(a)		902
	818	Brown & Brown, Inc.		53,252
	47	Chubb Ltd.		8,866
	317	Cincinnati Financial Corporation		30,857
	236	Everest Re Group Ltd.		61,679
	866	Globe Life, Inc.		87,231
	474	Hartford Financial Services Group, Inc. (The)		30,559
	1,671	Lincoln National Corporation		85,789
	812	Loews Corporation		47,299
	68	Marsh & McLennan Companies, Inc.		11,149
	242	MetLife, Inc.		15,307
	651	Principal Financial Group, Inc.		43,578
	94	Progressive Corporation (The)		10,816
	197	Prudential Financial, Inc.		19,698
	113	Travelers Companies, Inc. (The)		17,933
	571	W R Berkley Corporation		35,705
	162	Willis Towers Watson plc		33,524
				766,844
		INTERNET MEDIA & SERVICES - 1.0%
	5	Booking Holdings, Inc.(a)		9,678
	408	Expedia Group, Inc.(a)		43,269
	430	Match Group, Inc.(a)		31,523
	10	Meta Platforms, Inc., Class A(a)		1,591
	49	Netflix, Inc.(a)		11,020
	617	Twitter, Inc.(a)		25,673
	237	VeriSign, Inc.(a)		44,832
				167,586
		LEISURE FACILITIES & SERVICES - 5.6%
	1,867	Caesars Entertainment, Inc.(a)		85,303
	7,167	Carnival Corporation(a)		64,933

See accompanying notes to financial statements.

12

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		LEISURE FACILITIES & SERVICES - 5.6% (Continued)
	13	Chipotle Mexican Grill, Inc.(a)	$	20,335
	386	Darden Restaurants, Inc.		48,053
	132	Domino’s Pizza, Inc.		51,759
	147	Hilton Worldwide Holdings, Inc.		18,826
	811	Las Vegas Sands Corporation(a)		30,567
	405	Live Nation Entertainment, Inc.(a)		38,066
	96	Marriott International, Inc., Class A		15,247
	21	McDonald’s Corporation		5,531
	1,849	MGM Resorts International		60,518
	11,980	Norwegian Cruise Line Holdings Ltd.(a)		145,557
	4,748	Penn National Gaming, Inc.(a)		164,043
	1,672	Royal Caribbean Cruises Ltd.(a)		64,723
	104	Starbucks Corporation		8,817
	1,742	Wynn Resorts Ltd.(a)		110,582
	210	Yum! Brands, Inc.		25,733
				958,593
		LEISURE PRODUCTS - 0.3%
	733	Hasbro, Inc.		57,702
		MACHINERY - 2.2%
	32	Caterpillar, Inc.		6,344
	18	Deere & Company		6,177
	281	IDEX Corporation		58,659
	887	Ingersoll Rand, Inc.		44,173
	304	Nordson Corporation		70,221
	87	Parker-Hannifin Corporation		25,151
	320	Snap-on, Inc.		71,696
	406	Stanley Black & Decker, Inc.		39,516
	649	Xylem, Inc.		59,727
				381,664
		MEDICAL EQUIPMENT & DEVICES - 5.2%
	35	Abbott Laboratories		3,809
	267	ABIOMED, Inc.(a)		78,234
	161	Agilent Technologies, Inc.		21,590

See accompanying notes to financial statements.

13

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		MEDICAL EQUIPMENT & DEVICES - 5.2% (Continued)
	147	Align Technology, Inc.(a)	$	41,303
	277	Baxter International, Inc.		16,249
	45	Becton Dickinson and Company		10,994
	118	Bio-Rad Laboratories, Inc., Class A(a)		66,465
	162	Bio-Techne Corporation		62,415
	330	Boston Scientific Corporation(a)		13,547
	137	Cooper Companies, Inc. (The)		44,799
	17	Danaher Corporation		4,955
	2,397	DENTSPLY SIRONA, Inc.		86,675
	220	DexCom, Inc.(a)		18,058
	123	Edwards Lifesciences Corporation(a)		12,366
	571	Hologic, Inc.(a)		40,758
	72	IDEXX Laboratories, Inc.(a)		28,741
	114	Illumina, Inc.(a)		24,702
	49	Intuitive Surgical, Inc.(a)		11,278
	57	Medtronic plc		5,274
	21	Mettler-Toledo International, Inc.(a)		28,344
	279	PerkinElmer, Inc.		42,734
	115	ResMed, Inc.		27,660
	171	STERIS plc		38,586
	35	Stryker Corporation		7,516
	219	Teleflex, Inc.		52,661
	7	Thermo Fisher Scientific, Inc.		4,189
	109	Waters Corporation(a)		39,679
	112	West Pharmaceutical Services, Inc.		38,479
	277	Zimmer Biomet Holdings, Inc.		30,578
				902,638
		METALS & MINING - 0.1%
	253	Freeport-McMoRan, Inc.		7,983
	173	Newmont Corporation		7,833
				15,816
		MULTI ASSET CLASS REIT - 0.8%
	4,104	Vornado Realty Trust		124,720

See accompanying notes to financial statements.

14

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		OFFICE REIT - 0.5%
	220	Alexandria Real Estate Equities, Inc.	$	36,472
	510	Boston Properties, Inc.		46,492
				82,964
		OIL & GAS PRODUCERS - 1.7%
	1,479	APA Corporation		54,973
	14	Chevron Corporation		2,293
	65	ConocoPhillips		6,333
	866	Coterra Energy, Inc.		26,491
	222	Devon Energy Corporation		13,953
	186	Diamondback Energy, Inc.		23,812
	68	EOG Resources, Inc.		7,563
	26	Exxon Mobil Corporation		2,520
	159	Hess Corporation		17,883
	1,100	Kinder Morgan, Inc.		19,789
	1,247	Marathon Oil Corporation		30,925
	127	Marathon Petroleum Corporation		11,641
	202	Occidental Petroleum Corporation		13,282
	422	ONEOK, Inc.		25,210
	139	Phillips 66		12,371
	43	Pioneer Natural Resources Company		10,189
	101	Valero Energy Corporation		11,188
	530	Williams Companies, Inc. (The)		18,068
				308,484
		OIL & GAS SERVICES & EQUIPMENT - 0.3%
	606	Baker Hughes Company		15,568
	561	Halliburton Company		16,438
	316	Schlumberger N.V.		11,701
				43,707
		PUBLISHING & BROADCASTING - 0.7%
	6,910	News Corporation, CLASS A - NON-VOTING		118,437
		REAL ESTATE SERVICES - 0.2%
	420	CBRE Group, Inc., Class A(a)		35,960

See accompanying notes to financial statements.

15

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		RENEWABLE ENERGY - 0.6%
	153	Enphase Energy, Inc.(a)	$	43,480
	171	SolarEdge Technologies, Inc.(a)		61,582
				105,062
		RESIDENTIAL REIT - 1.5%
	135	AvalonBay Communities, Inc.		28,882
	379	Camden Property Trust		53,477
	367	Equity Residential		28,769
	153	Essex Property Trust, Inc.		43,839
	219	Mid-America Apartment Communities, Inc.		40,675
	1,125	UDR, Inc.		54,450
				250,092
		RETAIL - CONSUMER STAPLES - 0.5%
	7	Costco Wholesale Corporation		3,789
	55	Dollar General Corporation		13,664
	129	Dollar Tree, Inc.(a)		21,331
	357	Kroger Company (The)		16,579
	69	Target Corporation		11,273
	423	Walgreens Boots Alliance, Inc.		16,759
	14	Walmart, Inc.		1,849
				85,244
		RETAIL - DISCRETIONARY - 2.6%
	378	Advance Auto Parts, Inc.		73,188
	8	AutoZone, Inc.(a)		17,099
	2,644	Bath & Body Works, Inc.		93,967
	613	Best Buy Company, Inc.		47,195
	516	CarMax, Inc.(a)		51,363
	278	Genuine Parts Company		42,498
	8	Home Depot, Inc. (The)		2,408
	21	Lowe’s Companies, Inc.		4,022
	27	O’Reilly Automotive, Inc.(a)		18,997
	343	Ross Stores, Inc.		27,872
	183	TJX Companies, Inc. (The)		11,192
	165	Tractor Supply Company		31,594

See accompanying notes to financial statements.

16

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		RETAIL - DISCRETIONARY - 2.6% (Continued)
	82	Ulta Beauty, Inc.(a)	$	31,891
				453,286
		RETAIL REIT - 1.6%
	903	Federal Realty Investment Trust		95,366
	2,866	Kimco Realty Corporation		63,367
	269	Realty Income Corporation		19,903
	1,143	Regency Centers Corporation		73,643
	218	Simon Property Group, Inc.		23,684
				275,963
		SELF-STORAGE REIT - 0.3%
	191	Extra Space Storage, Inc.		36,198
	35	Public Storage		11,424
				47,622
		SEMICONDUCTORS - 2.1%
	46	Advanced Micro Devices, Inc.(a)		4,346
	71	Analog Devices, Inc.		12,209
	59	Applied Materials, Inc.		6,253
	6	Broadcom, Inc.		3,213
	96	Intel Corporation		3,486
	52	KLA Corporation		19,944
	25	Lam Research Corporation		12,513
	309	Microchip Technology, Inc.		21,278
	139	Micron Technology, Inc.		8,599
	90	Monolithic Power Systems, Inc.		41,825
	8	NVIDIA Corporation		1,453
	97	NXP Semiconductors N.V.		17,836
	491	ON Semiconductor Corporation(a)		32,789
	671	Qorvo, Inc.(a)		69,830
	26	QUALCOMM, Inc.		3,772
	474	Skyworks Solutions, Inc.		51,608
	508	Teradyne, Inc.		51,252
	31	Texas Instruments, Inc.		5,546
				367,752

See accompanying notes to financial statements.

17

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		SOFTWARE - 3.4%
	10	Adobe, Inc.(a)	$	4,101
	502	Akamai Technologies, Inc.(a)		48,302
	109	ANSYS, Inc.(a)		30,410
	101	Autodesk, Inc.(a)		21,848
	118	Cadence Design Systems, Inc.(a)		21,957
	1,948	Ceridian HCM Holding, Inc.(a)		106,693
	644	Citrix Systems, Inc.		65,308
	320	Fortinet, Inc.(a)		19,088
	13	Intuit, Inc.		5,930
	3	Microsoft Corporation		842
	2,355	NortonLifeLock, Inc.		57,768
	52	Oracle Corporation		4,048
	153	Paycom Software, Inc.(a)		50,565
	536	PTC, Inc.(a)		66,132
	22	Salesforce, Inc.(a)		4,048
	16	ServiceNow, Inc.(a)		7,147
	51	Synopsys, Inc.(a)		18,743
	161	Tyler Technologies, Inc.(a)		64,239
				597,169
		SPECIALTY FINANCE - 0.6%
	38	American Express Company		5,853
	152	Capital One Financial Corporation		16,694
	260	Discover Financial Services		26,260
	1,501	Synchrony Financial		50,253
				99,060
		SPECIALTY REITS - 0.3%
	1,003	Iron Mountain, Inc.		48,635
		STEEL - 0.1%
	191	Nucor Corporation		25,938
		TECHNOLOGY HARDWARE - 3.0%
	7	Apple, Inc.		1,138
	259	Arista Networks, Inc.(a)		30,207

See accompanying notes to financial statements.

18

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		TECHNOLOGY HARDWARE - 3.0% (Continued)
	58	Cisco Systems, Inc.	$	2,631
	743	Corning, Inc.		27,313
	485	F5, Inc.(a)		81,169
	353	Garmin Ltd.		34,460
	2,777	Hewlett Packard Enterprise Company		39,544
	577	HP, Inc.		19,266
	2,665	Juniper Networks, Inc.		74,699
	98	Motorola Solutions, Inc.		23,382
	729	NetApp, Inc.		52,000
	559	Seagate Technology Holdings plc		44,709
	875	Western Digital Corporation(a)		42,963
	146	Zebra Technologies Corporation, Class A(a)		52,223
				525,704
		TECHNOLOGY SERVICES - 5.1%
	11	Accenture plc, Class A		3,369
	45	Automatic Data Processing, Inc.		10,850
	311	Broadridge Financial Solutions, Inc.		49,931
	209	CDW Corporation/DE		37,940
	286	Cognizant Technology Solutions Corporation, Class A		19,437
	2,880	DXC Technology Company(a)		91,009
	138	EPAM Systems, Inc.(a)		48,197
	179	Equifax, Inc.		37,395
	143	FactSet Research Systems, Inc.		61,444
	127	Fidelity National Information Services, Inc.		12,974
	140	Fiserv, Inc.(a)		14,795
	176	FleetCor Technologies, Inc.(a)		38,736
	153	Gartner, Inc.(a)		40,618
	179	Global Payments, Inc.		21,895
	59	International Business Machines Corporation		7,717
	304	Jack Henry & Associates, Inc.		63,162
	523	Leidos Holdings, Inc.		55,961
	247	MarketAxess Holdings, Inc.		66,883
	8	Mastercard, Inc., Class A		2,830
	48	Moody’s Corporation		14,892

See accompanying notes to financial statements.

19

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		TECHNOLOGY SERVICES - 5.1% (Continued)
	48	MSCI, Inc.	$	23,104
	3,598	Nielsen Holdings plc		86,172
	157	Paychex, Inc.		20,140
	76	PayPal Holdings, Inc.(a)		6,576
	16	S&P Global, Inc.		6,031
	153	Verisk Analytics, Inc.		29,108
	9	Visa, Inc., Class A		1,909
				873,075
		TELECOMMUNICATIONS - 0.4%
	212	AT&T, Inc.		3,981
	5,787	Lumen Technologies, Inc.		63,021
	43	T-Mobile US, Inc.(a)		6,152
	59	Verizon Communications, Inc.		2,725
				75,879
		TIMBER REIT - 0.1%
	700	Weyerhaeuser Company		25,424
		TOBACCO & CANNABIS - 0.1%
	176	Altria Group, Inc.		7,719
	67	Philip Morris International, Inc.		6,509
				14,228
		TRANSPORTATION & LOGISTICS - 3.3%
	3,196	Alaska Air Group, Inc.(a)		141,678
	5,903	American Airlines Group, Inc.(a)		80,929
	524	CH Robinson Worldwide, Inc.		58,007
	308	CSX Corporation		9,958
	1,030	Delta Air Lines, Inc.(a)		32,754
	431	Expeditors International of Washington, Inc.		45,794
	68	FedEx Corporation		15,850
	255	JB Hunt Transport Services, Inc.		46,734
	46	Norfolk Southern Corporation		11,554
	104	Old Dominion Freight Line, Inc.		31,565
	854	Southwest Airlines Company(a)		32,554
	19	Union Pacific Corporation		4,319

See accompanying notes to financial statements.

20

ARROW REVERSE CAP 500 ETF

SCHEDULE OF INVESTMENTS (Continued)

July 31, 2022

Shares			Fair Value
		COMMON STOCKS — 98.7% (Continued)
		TRANSPORTATION & LOGISTICS - 3.3% (Continued)
	1,466	United Airlines Holdings, Inc.(a)	$	53,876
	31	United Parcel Service, Inc., Class B		6,042
				571,614
		TRANSPORTATION EQUIPMENT - 0.6%
	125	Cummins, Inc.		27,664
	284	PACCAR, Inc.		25,992
	495	Westinghouse Air Brake Technologies Corporation		46,267
				99,923
		WHOLESALE - CONSUMER STAPLES - 0.2%
	210	Archer-Daniels-Midland Company		17,382
	210	Sysco Corporation		17,829
				35,211
		WHOLESALE - DISCRETIONARY - 0.8%
	258	Copart, Inc.(a)		33,050
	1,054	LKQ Corporation		57,801
	134	Pool Corporation		47,932
				138,783
		TOTAL COMMON STOCKS (Cost $18,668,303)		17,122,994
		TOTAL INVESTMENTS - 98.7% (Cost $18,668,303)	$	17,122,994
		OTHER ASSETS IN EXCESS OF LIABILITIES - 1.3%		229,069
		NET ASSETS - 100.0%	$	17,352,063

ETF - Exchange-Traded Fund

LTD - Limited Company

MSCI - Morgan Stanley Capital International

NV - Naamioze Vennootschap

PLC - Public Limited Company

REIT - Real Estate Investment Trust

(a) - Non-income producing security.

See accompanying notes to financial statements.

21

Arrow Reverse Cap 500 ETF

STATEMENT OF ASSETS AND LIABILITIES

July 31, 2022

ASSETS
Investment securities:
At cost	$	18,668,303
At value	$	17,122,994
Cash		219,772
Dividends and interest receivable		11,846
TOTAL ASSETS		17,354,612
LIABILITIES
Investment advisory fees payable		2,549
TOTAL LIABILITIES		2,549
NET ASSETS		17,352,063
Net Assets Consist Of:
Paid in capital	$	20,774,193
Accumulated deficit		(3,422,130	)
NET ASSETS	$	17,352,063
Net Asset Value Per Share:
Net Assets	$	17,352,063
Shares of beneficial interest outstanding ($0 par value, unlimited shares authorized)		800,000
Net asset value (Net Assets ÷ Shares Outstanding)	$	21.69

See accompanying notes to financial statements.

22

Arrow Reverse Cap 500 ETF

STATEMENT OF OPERATIONS

For the Year Ended July 31, 2022

INVESTMENT INCOME
Dividends (net of foreign tax withholding of $88)	$	341,710
TOTAL INVESTMENT INCOME		341,710
EXPENSES
Investment advisory fees		59,906
TOTAL EXPENSES		59,906
NET INVESTMENT INCOME		281,804
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on:
In-kind redemptions		788,587
Security transactions		(844,719	)
		(56,132	)
Net change in unrealized depreciation on investments		(1,460,976	)
NET REALIZED AND UNREALIZED LOSS ON INVESTMENTS		(1,517,108	)
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS	$	(1,235,304	)

See accompanying notes to financial statements.

23

Arrow Reverse Cap 500 ETF

STATEMENTS OF CHANGES IN NET ASSETS

	Year Ended			Period Ended			Year Ended
	July 31, 2022			July 31, 2021 *			September 30, 2020
FROM OPERATIONS
Net investment income	$	281,804		$	243,671		$	211,185
Net realized gain (loss) on investments and In-kind redemptions		(56,132	)		4,978,990			(456,757	)
Net change in unrealized appreciation (depreciation) on investments		(1,460,976	)		1,232,690			(516,362	)
Net increase (decrease) in net assets resulting from operations		(1,235,304	)		6,455,351			(761,934	)
DISTRIBUTIONS TO SHAREHOLDERS
Total distributions paid		(231,420	)		(299,597	)		(177,756	)
Net decrease in net assets resulting from distributions to shareholders		(231,420	)		(299,597	)		(177,756	)
FROM SHARES OF BENEFICIAL INTEREST
Proceeds from shares sold		13,021,901			31,969,008			14,509,230
Cost of shares redeemed		(16,184,669	)		(29,954,471	)		(8,970,335	)
Net increase (decrease) in net assets resulting from shares of beneficial interest		(3,162,768	)		2,014,537			5,538,895
TOTAL INCREASE (DECREASE) IN NET ASSETS		(4,629,492	)		8,170,291			4,599,205
NET ASSETS
Beginning of Period		21,981,555			13,811,264			9,212,059
End of Period	$	17,352,063		$	21,981,555		$	13,811,264
SHARE ACTIVITY
Shares Sold		550,000			1,450,000			950,000
Shares Redeemed		(700,000	)		(1,400,000	)		(600,000	)
Net increase (decrease) in shares of beneficial interest outstanding		(150,000	)		50,000			350,000

* For the period October 1, 2020 to July 31, 2021.

See accompanying notes to financial statements.

24

Arrow Reverse Cap 500 ETF

FINANCIAL HIGHLIGHTS

Per Share Data and Ratios for a Share of Beneficial Interest Outstanding Throughout Each Period

	Year Ended			Period Ended			Year Ended			Year Ended			Period Ended
	July 31, 2022			July 31, 2021 *			September 30, 2020			September 30, 2019			September 30, 2018 (1)
Net asset value, beginning of period	$	23.14		$	15.35		$	16.75		$	16.86		$	15.00
Activity from investment operations:
Net investment income (2)		0.32			0.22			0.32			0.29			0.25
Net realized and unrealized gain (loss) on investments		(1.53	)		7.92			(1.40	)		(0.24	) (5)		1.66
Total from investment operations		(1.21	)		8.14			(1.08	)		0.05			1.91
Less distributions from:
Net investment income		(0.24	)		(0.35	)		(0.32	)		(0.16	)		(0.05	)
Total distributions		(0.24	)		(0.35	)		(0.32	)		(0.16	)		(0.05	)
Net asset value, end of period	$	21.69		$	23.14		$	15.35		$	16.75		$	16.86
Total return (4)		-5.31	%		53.66	% (7)		-6.70	%		0.46	%		12.78	% (7)
Net assets, at end of period (000s)	$	17,352		$	21,982		$	13,811		$	9,212		$	5,902
Ratio of net expenses to average net assets		0.29	%		0.29	% (6)		0.29	%		0.29	%		0.29	% (6)
Ratio of net investment income to average net assets		1.38	%		1.59	% (6)		2.04	%		1.80	%		1.66	% (6)
Portfolio Turnover Rate (3)		50	%		33	% (7)		42	%		24	%		36	% (7)

(1) The Arrow Reverse Cap 500 ETF commencement of operations on October 31, 2017.

(2) Per share amounts calculated using the average shares method, which more appropriately presents the per share data for the period.

(3) Portfolio turnover rate excludes portfolio securities received or delivered as a result of processing capital share transactions in Creation Units.

(4) Total return is calculated assuming a purchase of shares at net asset value on the first day and a sale at net asset value on the last day of the period. Distributions are assumed, for the purpose of this calculation, to be reinvested at the ex-dividend date net asset value per share on their respective payment dates.

(5) Net realized and unrealized gains and losses per share in this caption are balancing amounts necessary to reconcile the change in net asset value per share for the period, and may not reconcile with the aggregate gains and losses in the Statement of Operations due to share transactions during the period.

(6) Annualized for periods less than one year.

(7) Not annualized for periods less than one year.

* For the period October 1, 2020 to July 31, 2021.

See accompanying notes to financial statements.

25

ARROW REVERSE CAP 500 ETF

NOTES TO FINANCIAL STATEMENTS

July 31, 2022

1. ORGANIZATION

The Arrow Reverse Cap 500 ETF (the “Fund”) is a diversified series of Arrow Investments Trust (the “Trust”), a statutory trust organized under the laws of the State of Delaware on August 2, 2011, and is registered under the Investment Company Act of 1940, as amended (the “1940 Act”), as an open-end management investment company. The Fund’s investment objective is to track the performance, before fees and expenses, of the Reverse Cap Weighted U.S. Large Cap Index (the “Index”). The Fund commenced operations on October 31, 2017.

The Trust acquired the Reverse Cap Weighted U.S. Large Cap ETF (the “Predecessor Fund”), a series of ETF Series Solutions, in a tax-free reorganization on May 24, 2021 (the “Reorganization”). As a series of the Trust, the Fund is a continuation of the Predecessor fund.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies followed by the Fund in preparation of its financial statements. These policies are in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses for the period. Actual results could differ from those estimates. The Fund is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946 “Financial Services-Investment Companies” including FASB Accounting Standards Update (“ASU”) 2013-08.

Securities valuation – Securities listed on an exchange (including exchange-traded funds (“ETFs”)) are valued at the last reported sale price at the close of the regular trading session of the exchange on the business day the value is being determined, or in the case of securities listed on NASDAQ at the NASDAQ Official Closing Price (“NOCP”). In the absence of a sale, such securities shall be valued at the last bid price on the day of valuation. Investments valued in currencies other than the U.S. dollar are converted to U.S. dollars using exchange rates obtained from pricing services. If market quotations are not readily available or if Arrow Investment Advisors, LLC (the “Advisor”) believes the market quotations are not reflective of market value, securities will be valued at their fair value as determined in good faith by the Advisor and in accordance with the Trust’s Portfolio Securities Valuation Procedures (the “Procedures”), subject to review by the Board. The Board will review the fair value method in use for securities requiring a fair market value determination and supporting documentation from the Advisor at least quarterly for consistency with the Procedures. The Procedures consider, among others, the following factors to determine a security’s fair value: the nature and pricing history (if any) of the security; whether any dealer quotations for the security are available; and possible valuation methodologies that could be used to determine the fair value of the security. Fair value may also be used by the Board if extraordinary events occur after the close of the relevant world market but prior to the NYSE close. Short-term debt obligations having 60 days or less remaining until maturity, at time of purchase, may be valued at amortized cost.

26

ARROW REVERSE CAP 500 ETF

NOTES TO FINANCIAL STATEMENTS (Continued)

July 31, 2022

The Fund utilizes various methods to measure the fair value of all of its investments on a recurring basis. GAAP establishes a hierarchy that prioritizes inputs to valuation methods. The three levels of input are:

Level 1 – Unadjusted quoted prices in active markets for identical assets and liabilities that the Fund has the ability to access.

Level 2 – Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument in an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.

Level 3 – Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Fund’s own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.

The availability of observable inputs can vary from security to security and is affected by a wide variety of factors, including, for example, the type of security, whether the security is new and not yet established in the marketplace, the liquidity of markets, and other characteristics particular to the security. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3.

The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement falls in its entirety, is determined based on the lowest level input that is significant to the fair value measurement in its entirety.

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following table summarizes the inputs used as of July 31, 2022 for the Fund’s assets measured at fair value:

Assets *	Level 1		Level 2		Level 3		Total
Common Stocks	$	17,122,994	$	—	$	—	$	17,122,994
Total	$	17,122,994	$	—	$	—	$	17,122,994

The Fund did not hold any Level 3 securities during the year ended July 31, 2022.

* See Schedule of Investments for classification.

In accordance with the Fund’s investment objectives, the Fund may have increased or decreased exposure to one or more of the following risk factors defined below:

27

ARROW REVERSE CAP 500 ETF

NOTES TO FINANCIAL STATEMENTS (Continued)

July 31, 2022

Real Estate Investment Trust Risk (REIT) – Investments in securities of real estate companies involve risks including, among others, adverse changes in national, state or local real estate conditions; obsolescence of properties; changes in the availability, cost and terms of mortgage funds; and the impact of changes in environmental laws. The value of a REIT can depend on the structure of and cash flow generated by the REIT. In addition, like mutual funds, externally managed REITs have expenses, including advisory and administration fees, which are paid by their shareholders. Further, the failure of a company to qualify as a REIT or comply with applicable federal tax requirements could have adverse consequences for the Fund, including significantly reducing return to the Fund on its investment. REITs determine the characterization of their income annually and may characterize a portion of their distributions as a return of capital or capital gain.

Market Risk – The net asset value of the Fund will fluctuate based on changes in the value of the individual securities in which the Fund invests. The increasing interconnectivity between global economies and financial markets increases the likelihood that events or conditions in one region or financial market may adversely impact issuers in a different country, region or financial market. Securities in the Fund’s portfolio may underperform due to inflation (or expectations for inflation), interest rates, global demand for particular products or resources, natural disasters, climate change or climate related events, pandemics, epidemics, terrorism, regulatory events and governmental or quasi-governmental actions. The occurrence of global events similar to those in recent years may result in market volatility and may have long term effects on both the U.S. and global financial markets. The current novel coronavirus (COVID-19) global pandemic and the aggressive responses taken by many governments, including closing borders, restricting international and domestic travel, and the imposition of prolonged quarantines or similar restrictions, as well as the forced or voluntary closure of, or operational changes to, many retail and other businesses, has had negative impacts, and in many cases severe negative impacts, on markets worldwide. It is not known how long such impacts, or any future impacts of other significant events described above, will or would last, but there could be a prolonged period of global economic slowdown, which may impact your Fund investment.

Security transactions and related income – Security transactions are accounted for on the trade date. Interest income is recognized on an accrual basis. Dividend income is recorded on the ex-dividend date. Realized gains or losses from sales of securities are determined by comparing the identified cost of the security lot sold with the net sales proceeds.

Dividends and distributions to shareholders – Dividends from net investment income, if any, are generally declared and paid annually. Distributable net realized capital gains, if any, are declared and distributed annually. Dividends from net investment income and distributions from net realized gains are determined in accordance with federal income tax regulations, which may differ from GAAP. These “book/tax” differences are considered either temporary (e.g., deferred losses) or permanent in nature. To the extent these differences are permanent in nature, such amounts are reclassified within the composition of net assets based on their federal tax-basis treatment; temporary differences do not require reclassification. Dividends and distributions to shareholders are recorded on the ex-dividend date.

28

ARROW REVERSE CAP 500 ETF

NOTES TO FINANCIAL STATEMENTS (Continued)

July 31, 2022

Federal Income Taxes – The Fund intends to continue to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income to its shareholders. Therefore, no provision for federal income tax is required. The Fund recognizes the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained assuming examination by tax authorities. Management has analyzed the Fund’s tax positions, and has concluded that no liability for unrecognized tax benefits should be recorded related to uncertain tax positions taken on returns filed for open tax years September 30, 2019 – July 31, 2021 or expected to be taken in the Fund’s July 31, 2022 tax returns. The Fund identifies its major tax jurisdictions as U.S. Federal and foreign jurisdictions where the Fund makes significant investments. The Fund is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change materially in the next twelve months.

Indemnification – The Trust indemnifies its officers and Trustees for certain liabilities that may arise from the performance of their duties to the Trust. Additionally, in the normal course of business, the Fund enters into contracts that contain a variety of representations and warranties and which provide general indemnities. The Fund’s maximum exposure under these arrangements is unknown, as this would involve future claims that may be made against the Fund that have not yet occurred. However, based on experience, the risk of loss due to these warranties and indemnities appears to be remote.

3. INVESTMENT TRANSACTIONS

For the year ended July 31, 2022, cost of purchases and proceeds from sales of portfolio securities (excluding in-kind transactions and short-term investments), amounted to $10,420,836 and $10,268,079, respectively.

For the year ended July 31, 2022, cost of purchases and proceeds from sales of portfolio securities for in-kind transactions amounted to $12,691,497 and $16,066,361, respectively.

4. INVESTMENT ADVISORY AGREEMENT AND TRANSACTIONS WITH RELATED PARTIES

The business activities of the Fund are overseen by the Board, which is responsible for the overall management of the Fund. Arrow Investment Advisors, LLC serves as the Fund’s investment advisor pursuant to an investment advisory agreement with the Trust (the “Advisory Agreement”). The Trust has entered into a Global Custody Agreement with Brown Brothers Harriman & Co. (the “Custodian”) to serve as custodian and to act as transfer and shareholder services agent. The Trust has also entered into an ETF Distribution Agreement (the “Distribution Agreement”) with Northern Lights Distributors, LLC (the “Distributor”) to serve as the distributor for the Fund. Archer Distributors, LLC, an affiliate of the Advisor, is also a party to the Distribution Agreement and provides marketing services to the Fund, including responsibility for all the Fund’s marketing and advertising materials.

Pursuant to the Advisory Agreement, the Advisor, under the oversight of the Board, directs the daily operations of the Fund and supervises the performance of administrative and professional services provided by others. As compensation for its services and the related expenses borne by the Advisor,

29

ARROW REVERSE CAP 500 ETF

NOTES TO FINANCIAL STATEMENTS (Continued)

July 31, 2022

the Fund pays the Advisor a fee, computed and accrued daily and paid monthly, at an annual rate of 0.294% of the Fund’s average daily net assets. Prior to the Reorganization, CSat Investment Advisory, L.P., d/b/a Exponential ETFs, served as investment advisor to the Predecessor Fund.

The Advisor’s unitary management fee is designed to pay the Fund’s expenses and to compensate the Advisor for providing services for the Fund. Out of the unitary management fee, the Advisor pays substantially all expenses of the Fund, including the costs of transfer agency, custody, fund administration, legal, audit and other services and Independent Trustees’ fees, except for the advisory fee, acquired fund fees and expenses, payments under the Fund’s 12b-1 plan, brokerage expenses, taxes, interest (including borrowing costs and dividend expenses on securities sold short), litigation expense and other extraordinary expenses (including litigation to which the Fund may be a party and indemnification of the Trustees and officers with respect thereto). The Advisor, and not the Fund’s shareholders, would benefit from any reduction in fees paid for third-party services, including reductions based on increases in net assets.

The Trust, with respect to the Fund, has adopted a distribution and service plan (“Plan”) pursuant to Rule 12b-1 under the 1940 Act. Under the Plan, the Fund is authorized to pay distribution fees to the Distributor and other firms that provide distribution and shareholder services (“Service Providers”). If a Service Provider provides these services, the Fund may pay fees at an annual rate not to exceed 0.25% of average daily net assets, pursuant to Rule 12b-1 under the 1940 Act.

No distribution or service fees are currently paid by the Fund and there are no current plans to impose these fees. In the event Rule 12b-1 fees were charged, over time they would increase the cost of an investment in the Fund.

Ultimus Fund Solutions, LLC (“UFS”) – UFS, an affiliate of the Distributor, provides administration and fund accounting services to the Trust. Pursuant to separate servicing agreements with UFS, the Fund pays UFS customary fees for providing administration and fund accounting services to the Fund. Certain officers of the Trust are also officers of UFS, and are not paid any fees directly by the Fund for serving in such capacities. Prior to the Reorganization, U.S. Bank and Foreside, served as administrator and distributor, respectively, to the Predecessor Fund.

Blu Giant, LLC (“Blu Giant”) – Blu Giant, an affiliate of UFS and the Distributor, provides EDGAR conversion and filing services as well as print management services for the Fund on an ad-hoc basis. For the provision of these services, Blu Giant receives customary fees from the Fund.

5. CAPITAL SHARE TRANSACTIONS

Shares are not individually redeemable and may be redeemed by the Fund at NAV only in large blocks known as “Creation Units.” Shares are created and redeemed by the Fund only in Creation Unit size aggregations of 50,000 shares. Only Authorized Participants are permitted to purchase or redeem Creation Units from the Fund. An Authorized Participant is either (i) a broker-dealer or other participant in the clearing process through the Continuous Net Settlement System of the National Securities Clearing Corporation or (ii) a DTC participant and, in each case, must have executed a

30

ARROW REVERSE CAP 500 ETF

NOTES TO FINANCIAL STATEMENTS (Continued)

July 31, 2022

Participant Agreement with the Distributor. Such transactions are generally permitted on an in-kind basis, with a balancing cash component to equate the transaction to the NAV per share of the Fund on the transaction date. Cash may be substituted equivalent to the value of certain securities generally when they are not available in sufficient quantity for delivery, not eligible for trading by the Authorized Participant or as a result of other market circumstances. In addition, the Fund may impose transaction fees on purchases and redemptions of Fund shares to cover the custodial and other costs incurred by the Fund in effecting trades. A fixed fee payable to the custodian may be imposed on each creation and redemption transaction regardless of the number of Creation Units involved in the transaction (“Fixed Fee”). Purchases and redemptions of Creation Units for cash or involving cash-in-lieu are required to pay an additional variable charge to compensate the Fund and its ongoing shareholders for brokerage and market impact expenses relating to Creation Unit transactions (“Variable Charge,” and together with the Fixed Fee, the “Transaction Fees”). Transaction Fees may be used to cover the custodial and other costs incurred by the Fund.

The Transaction Fees for the Fund are listed in the table below:

Fixed Fee	Variable Charge
$500	2.00%*

* The maximum Transaction Fee may be up to 2.00% of the amount invested.

6. DISTRIBUTIONS TO SHAREHOLDERS AND TAX COMPONENTS OF CAPITAL

The tax character of fund distributions paid for the periods ending July 31, 2022, July 31, 2021, and September 30, 2020 were as follows:

	Fiscal Year Ended		Fiscal Period Ended		Fiscal Year Ended
	July 31, 2022		July 31, 2021		September 30, 2020
Ordinary Income	$	231,420	$	299,597	$	177,756
Long-Term Capital Gain		—		—
Return of Capital		—		—		—
	$	231,420	$	299,597	$	177,756

As of July 31, 2022, the components of accumulated earnings/(deficit) on a tax basis were as follows:

Undistributed		Undistributed		Post October Loss			Capital Loss			Other		Unrealized			Total
Ordinary		Long-Term		and			Carry			Book/Tax		Appreciation/			Distributable Earnings/
Income		Gains		Late Year Loss			Forwards			Differences		(Depreciation)			(Accumulated Deficit)
$	135,070	$	—	$	(788,828	)	$	(1,199,197	)	$	—	$	(1,569,175	)	$	(3,422,130	)

The difference between book basis and tax basis undistributed net investment income, accumulated net realized losses, and unrealized depreciation from investments is primarily attributable to the tax deferral of losses on wash sales and adjustments for C-Corporation return of capital distributions.

Capital losses incurred after October 31 within the fiscal year are deemed to arise on the first business day of the following fiscal year for tax purposes. The Fund incurred and elected to defer such capital losses of $788,828.

31

ARROW REVERSE CAP 500 ETF

NOTES TO FINANCIAL STATEMENTS (Continued)

July 31, 2022

At July 31, 2022, the Fund had capital loss carry forwards for federal income tax purposes available to offset future capital gains as follows:

Short-Term		Long-Term		Total		CLCF Utilized
$	663,870	$	535,327	$	1,199,197	$	—

Permanent book and tax differences, primarily attributable to tax adjustments for realized gain (loss) on in-kind redemptions resulted in reclassification for the year ended July 31, 2022 as follows:

Paid
In		Accumulated
Capital		Loss
$	751,879	$	(751,879	)

7. AGGREGATE UNREALIZED APPRECIATION AND DEPRECIATION – TAX BASIS

		Gross		Gross
		Unrealized		Unrealized			Net Unrealized
Tax Cost		Appreciation		Depreciation			Appreciation/ (Depreciation)
$	18,692,169	$	677,082	$	(2,246,257	)	$	(1,569,175	)

8. SUBSEQUENT EVENTS

Subsequent events after the date of the Statement of Assets and Liabilities have been evaluated through the date the financial statements were issued.

Management has determined that no events or transactions occurred requiring adjustment or disclosure in the financial statements.

32

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Trustees of Arrow Investments Trust

and the Shareholders of Arrow Reverse Cap 500 ETF

Opinion on the Financial Statements

We have audited the accompanying statement of assets and liabilities of Arrow Reverse Cap 500 ETF, a series of shares of beneficial interest in Arrow Investments Trust (the “Fund”), including the schedule of investments, as of July 31, 2022, and the related statement of operations for the year then ended, the statements of changes in net assets and the financial highlights for the year then ended and for the period October 1, 2020 through July 31, 2021, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of July 31, 2022, and the results of its operations for the year then ended, the changes in its net assets and its financial highlights for the year then ended and for the period October 1 2020 through July 31, 2021, in conformity with accounting principles generally accepted in the United States of America. The statement of changes in net assets for the year ended September 30, 2020, and the financial highlights from October 31, 2017 (commencement of operations) through September 30, 2020 were audited by other auditors, whose report dated November 25, 2020, expressed an unqualified option on such financial statements and financial highlights.

Basis for Opinion

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

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Fund is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Fund’s internal control over financial reporting. Accordingly, we express no such opinion.

33

Our audits included performing procedures to assess the risk of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of July 31, 2022 by correspondence with the custodian. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

BBD, LLP

We have served as the auditor of one or more of the Funds in the Arrow Investments Trust since 2012. We also served as the auditor of one or more of the Funds in the Funds’ former trust from 2006 through 2012

Philadelphia, Pennsylvania

September 29, 2022

34

Arrow Reverse Cap 500 ETF

EXPENSE EXAMPLE

July 31, 2022

As a shareholder of the Fund, you incur ongoing costs, including management fees. This example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other exchange traded funds. This example does not take into account transaction costs, such as brokerage commissions that you may pay on your purchases and sales of shares of the Fund.

The example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from February 1, 2022 through July 31, 2022.

Actual Expenses

The “Actual” line in the table below provides information about actual account values and actual expenses. You may use the information below, 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 table under the heading entitled “Expenses Paid During Period” to estimate the expenses you paid on your account during this period.

Hypothetical Example for Comparison Purposes

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

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

	Beginning	Ending	Expenses Paid	Expenses Paid
	Account Value	Account Value	During Period*	During Period**
	2/1/2022	7/31/2022	2/1/22 - 7/31/22	2/1/22 - 7/31/22
Actual	$1,000.00	$922.60	$1.38	0.29%
Hypothetical	$1,000.00	$1,023.36	$1.45	0.29%
(5% return before expenses)

* Actual expense information for the Fund is for the period from February 1, 2022 to July 31, 2022. Actual expenses are equal to the Fund’s annualized net expense ratio multiplied by 181/365 (to reflect the period from February 1, 2022 to July 31, 2022). “Hypothetical” expense information for the Fund is presented on the basis of the full one-half year period to enable comparison to other funds. It is based on assuming the same net expense ratio and average account value over the period, but it is multiplied by 181/365 (to reflect the full half-year period).

** Annualized.

35

Arrow Reverse Cap 500 ETF

Additional Information (Unaudited)

July 31, 2022

LIQUIDITY RISK MANAGEMENT PROGRAM

The Fund has adopted and implemented a written liquidity risk management program as required by Rule 22e-4 (the “Liquidity Rule”) under the Investment Company Act. The program is reasonably designed to assess and manage the Fund’s liquidity risk, taking into consideration, among other factors, the Fund’s investment strategy and the liquidity of its portfolio investments during normal and reasonably foreseeable stressed conditions; its short and long-term cash flow projections; and its cash holdings and access to other funding sources.

During the year ended July 31, 2022, the Trust’s Liquidity Risk Management Program Committee (the “Committee”) reviewed the Fund’s investments and determined that the Fund held adequate levels of cash and highly liquid investments to meet shareholder redemption activities in accordance with applicable requirements. Accordingly, the Committee concluded that (i) the Fund’s liquidity risk management program is reasonably designed to prevent violations of the Liquidity Rule and (ii) the Fund’s liquidity risk management program has been effectively implemented.

36

Arrow Reverse Cap 500 ETF

SUPPLEMENTAL INFORMATION (Unaudited)

July 31, 2022

Unless otherwise noted, the address of each Trustee and Officer is 6100 Chevy Chase Drive, Suite 100, Laurel, MD 20707. The following individuals serve as Trustees and officers of the Arrow Trust:

Independent Trustees:

Name, Address, and Year of Birth	Position(s)/Term of Office(1)	Principal Occupation(s) During the Past 5 Years	Number of Portfolios in Fund Complex Overseen by Trustee(2)	Other Directorships Held by Trustee
Robert Andrialis Born in 1944	Trustee since 2014	Independent Consultant (2016– present).	8	Arrow ETF Trust
Paul Montgomery Born in 1953	Trustee since 2011	Director of Research, Scotia Partners, LLC (2012–present).	8	Arrow ETF Trust
Thomas Sarkany Born in 1946	Trustee since 2014	Founder and President, TTS Consultants, LLC (2010– present).	8	Arrow ETF Trust; Northern Lights Fund Trust II; Northern Lights Fund Trust IV; Aquila Distributors, LLC

(1) The term of office for each Trustee will continue indefinitely until the individual resigns or is removed.

(2) The “Fund Complex” includes Arrow ETF Trust, a registered management investment company, in addition to the Trust.

37

Arrow Reverse Cap 500 ETF

SUPPLEMENTAL INFORMATION (Unaudited)(Continued)

July 31, 2022

Interested Trustees and Officers:

Name, Address, and Year of Birth	Position(s)/Term of Office(1)	Principal Occupation(s) During the Past 5 Years	Number of Funds in the Fund Complex Overseen by Trustee(2)	Other Directorships Held by Trustee
Joseph Barrato* Born in 1965	Chairman of the Board, Trustee, President, and Principal Executive Officer since 2011	Founder and Chief Executive Officer, Arrow Investment Advisors, LLC (2006–present).	8	Arrow ETF Trust
Chris Lewis Born in 1970	Chief Compliance Officer since 2021; Previously from 2016–2018	Chief Compliance Officer of Fund Complex(2) (2016–2018; 2021–present); Chief Compliance Officer, Arrow Investment Advisors, LLC (2017–2018; 2021–present); Founder, The Law Offices of Christopher H. Lewis (2019–present); General Counsel, Finitive LLC (2018).	N/A	N/A
Timothy Burdick(3) Born in 1986	Secretary since 2020	Assistant Vice President, Ultimus Fund Solutions, LLC (2019 – present); Senior Program Compliance Manager, CJ Affiliate (2016-2019)	N/A	N/A
Sam Singh(3) Born in 1976	Principal Financial Officer and Treasurer since 2013	Vice President, Ultimus Fund Solutions, LLC (2015–present).	N/A	N/A

* Joseph Barrato is considered to be an “interested person” of the Trust, as that term is defined in the 1940 Act, because he is a controlling interest holder of the investment advisor to the Fund, Arrow Investment Advisors, LLC.

(1) The term of office for each Trustee will continue indefinitely until the individual resigns or is removed. Officers of the Trust are elected annually.

(2) The “Fund Complex” includes Arrow ETF Trust, a registered management investment company, in addition to the Trust.

(3) The business address of this officer is 4221 North 203rd Street, Suite 100, Elkhorn, Nebraska 68022-3474.

The Fund’s Statement of Additional Information includes additional information about the Trustees and is available free of charge, upon request, by calling toll-free at 1-877-277-6933.

38

PRIVACY NOTICE

Arrow Investments Trust

Rev. November 2011

FACTS	WHAT DOES ARROW INVESTMENTS TRUST DO WITH YOUR PERSONAL INFORMATION?
Why?	Financial companies choose how they share your personal information. Federal law gives consumers the right to limit some, but not all sharing. Federal law also requires us to tell you how we collect, share, and protect your personal information. Please read this notice carefully to understand what we do.
What?	The types of personal information we collect and share depends on the product or service that you have with us. This information can include: ●     Social Security number and wire transfer instructions ●    account transactions and transaction history ●     investment experience and purchase history When you are no longer our customer, we continue to share your information as described in this notice.
How?	All financial companies need to share customers’ personal information to run their everyday business. In the section below, we list the reasons financial companies can share their customers’ personal information; the reasons Arrow Investments Trust chooses to share; and whether you can limit this sharing.

Reasons we can share your personal information:	Does Arrow Investments Trust share information?	Can you limit this sharing?
For our everyday business purposes - such as to process your transactions, maintain your account(s), respond to court orders and legal investigations, or report to credit bureaus.	YES	NO
For our marketing purposes - to offer our products and services to you.	NO	We don’t share
For joint marketing with other financial companies.	NO	We don’t share
For our affiliates’ everyday business purposes - information about your transactions and records.	NO	We don’t share
For our affiliates’ everyday business purposes - information about your credit worthiness.	NO	We don’t share
For nonaffiliates to market to you	NO	We don’t share

QUESTIONS? Call 1-877-277-6933

39

PRIVACY NOTICE

Arrow Investments Trust

Page 2

What we do:
How does Arrow Investments Trust protect my personal information?	To protect your personal information from unauthorized access and use, we use security measures that comply with federal law. These measures include computer safeguards and secured files and buildings. Our service providers are held accountable for adhering to strict policies and procedures to prevent any misuse of your nonpublic personal information.
How does Arrow Investments Trust collect my personal information?	We collect your personal information, for example, when you ●     open an account or deposit money ●     direct us to buy securities or direct us to sell your securities ●     seek advice about your investments We also collect your personal information from others, such as credit bureaus, affiliates, or other companies.
Why can’t I limit all sharing?	Federal law gives you the right to limit only: ●     sharing for affiliates’ everyday business purposes – information about your creditworthiness. ●     affiliates from using your information to market to you. ●     sharing for nonaffiliates to market to you. State laws and individual companies may give you additional rights to limit sharing.
Definitions
Affiliates	Companies related by common ownership or control. They can be financial and nonfinancial companies. ●     Arrow Investments Trust does not share with our affiliates.
Nonaffiliates	Companies not related by common ownership or control. They can be financial and nonfinancial companies. ●     Arrow Investments Trust does not share with nonaffiliates so they can market to you.
Joint marketing	A formal agreement between nonaffiliated financial companies that together market financial products or services to you. ●     Arrow Investments Trust does not jointly market.

40

PROXY VOTING POLICY

Information regarding how the Fund voted proxies relating to portfolio securities for the most recent twelve-month period ended June 30 as well as a description of the policies and procedures that the Fund uses to determine how to vote proxies is available without charge, upon request, by calling 1-877 -277-6933 or by referring to the Securities and Exchange Commission’s (“SEC”) website at http://www.sec.gov.

PORTFOLIO HOLDINGS

The Fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission (the “SEC”) for the first and third quarters of each fiscal year as an exhibit to its reports on Form N-PORT, within sixty days after the end of the period. Form N-PORT reports are available at the SEC’s website at www.sec.gov.

INVESTMENT ADVISOR

Arrow Investment Advisors, LLC

6100 Chevy Chase Drive

Suite 100

Laurel, MD 20707

ADMINISTRATOR

Ultimus Fund Solutions, LLC

225 Pictoria Drive, Suite 450

Cincinnati, OH 45246

YPS-AR22

Item 2. Code of Ethics.

(a)       As of the end of the period covered by this report, the registrant has adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party.

(b)        For purposes of this item, “code of ethics” means written standards that are reasonably designed to deter wrongdoing and to promote:

(1) Honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships;

(2) Full, fair, accurate, timely, and understandable disclosure in reports and documents that a registrant files with, or submits to, the Commission and in other public communications made by the registrant;

(3)        Compliance with applicable governmental laws, rules, and regulations;

(4) The prompt internal reporting of violations of the code to an appropriate person or persons identified in the code; and

(5)        Accountability for adherence to the code.

(c)        Amendments: During the period covered by the report, there have not been any amendments to the provisions of the code of ethics.

(d)        Waivers: During the period covered by the report, the registrant has not granted any express or implicit waivers from the provisions of the code of ethics.

(e) The Code of Ethics is not posted on Registrant’ website.

(f) A copy of the Code of Ethics is attached as an exhibit.

Item 3. Audit Committee Financial Expert.

The Registrant’s board of trustees has determined that Robert S. Andrialis is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Mr. Andrialis is independent for purposes of this Item.

Item 4. Principal Accountant Fees and Services.

(a) Audit Fees

2022 - $11,000

2021 - $11,000

(b) Audit-Related Fees

2022 – None

2021 – None

(c) Tax Fees

2022 - $ 2,200

2021 - $ 2,200

Preparation of Federal & State income tax returns, assistance with calculation of required income, capital gain and excise distributions and preparation of Federal excise tax returns.

(d) All Other Fees

2022 – None

2021 – None

(e) (1) Audit Committee’s Pre-Approval Policies

The registrant’s Audit Committee is required to pre-approve all audit services and, when appropriate, any non-audit services (including audit-related, tax and all other services) to the registrant. The registrant’s Audit Committee also is required to pre-approve, when appropriate, any non-audit services (including audit-related, tax and all other services) to its adviser, or any entity controlling, controlled by or under common control with the adviser that provides ongoing services to the registrant, to the extent that the services may be determined to have an impact on the operations or financial reporting of the registrant. Services are reviewed on an engagement by engagement basis by the Audit Committee.

(2) Percentages of Services Approved by the Audit Committee

	2022			2021
Audit-Related Fees:		0.00	%		0.00	%
Tax Fees:		0.00	%		0.00	%
All Other Fees:		0.00	%		0.00	%

(f) During the audit of registrant's financial statements for the most recent fiscal year, less than 50 percent of the hours expended on the principal accountant's engagement were attributed to work performed by persons other than the principal accountant's full-time, permanent employees.

(g) The aggregate non-audit fees billed by the registrant's accountant for services rendered to the registrant, and rendered to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant:

2022 - $2,200

2021 - $2,200

(h)        The registrant's audit committee has considered whether the provision of non-audit services to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the registrant, that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X, is compatible with maintaining the principal accountant's independence.

Item 5. Audit Committee of Listed Companies. The registrant is an issuer as defined in Rule 10A-3 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and has a separately-designated standing audit committee established in accordance with Section 3(a)(58)A of the Exchange Act. The registrant’s audit committee members are Robert S. Andrialis, Paul Montgomery and Thomas T. Sarkany.

Item 6. Schedule of Investments. See Item 1.

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Funds. 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 Funds. Not applicable to open-end investment companies.

Item 10. Submission of Matters to a Vote of Security Holders. There were 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)       Based on an evaluation of the Registrant’s disclosure controls and procedures as of a date within 90 days of filing date of this Form N-CSR, the principal executive officer and principal financial officer of the Registrant have concluded that the disclosure controls and procedures of the Registrant are reasonably designed to ensure that the information required in filings on Form N-CSR is recorded, processed, summarized, and reported by the filing date, including that information required to be disclosed is accumulated and communicated to the Registrant’s management, including the Registrant’s principal executive officer and principal financial officer, as appropriate to allow timely decisions regarding required disclosure.

(b)       There were no significant changes in the Registrant’s internal control over financial reporting that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies. - Not applicable to open-end investment companies.

Item 13. Exhibits.

(a)(1) Code of Ethics herewith.

(a)(2) Certifications required by Section 302 of the Sarbanes-Oxley Act of 2002 (and Item 11(a)(2) of Form N-CSR) are filed herewith.

(a)(3) Not applicable for open-end investment companies.

(b)       Certifications required by Section 906 of the Sarbanes-Oxley Act of 2002 (and Item 11(b) of Form N-CSR) are filed herewith.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant) Arrow Investments Trust

By (Signature and Title)

/s/ Joseph Barrato

Joseph Barrato, Principal Executive Officer/ President

Date 10/7/22

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/ Joseph Barrato

Joseph Barrato, Principal Executive Officer/ President

Date 10/7/22

By (Signature and Title)

/s/ Sam Singh

Sam Singh, Principal Financial Officer/ Treasurer

Date 10/7/22