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- 22965
Value Line Funds Investment Trust
(Exact name of registrant as specified in charter)
7 Times Square, New York, N.Y. 10036
(Address of principal executive offices) (Zip Code)
Registrant’s telephone number, including area code: 212-907-1900
Date of fiscal year end: September 30, 2016
Date of reporting period: September 30, 2016
Item I Reports to Stockholders
A copy of the Annual Report to Stockholders for the period ended 9/30/16 is included with this Form.
Value Line Defensive Strategies Fund
(A series of the Value Line Funds Investment Trust)
Investor Class (VLDSX)
Institutional Class (VLDIX)
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| Value Line Defensive Strategies Fund: | | | | | | | |
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President of the Value Line Funds
Issue | | | Shares | | | Value | | | Percentage of Net Assets | | |||||||||
Boston Partners Long/Short Equity Fund | | | | | 84,471 | | | | | $ | 1,692,791 | | | | | | 12.9% | | |
AQR Multi Strategy Alternative Fund | | | | | 167,577 | | | | | | 1,605,391 | | | | | | 12.2% | | |
Western Asset Macro Opportunities Fund | | | | | 146,605 | | | | | | 1,590,660 | | | | | | 12.1% | | |
Catalyst/Millburn Hedge Strategy Fund | | | | | 51,151 | | | | | | 1,510,491 | | | | | | 11.5% | | |
Deutsche Global Infrastructure Fund | | | | | 96,432 | | | | | | 1,390,547 | | | | | | 10.6% | | |
Westwood Income Opportunity Fund | | | | | 80,129 | | | | | | 1,181,109 | | | | | | 9.0% | | |
Osterweis Strategic Income Fund | | | | | 98,931 | | | | | | 1,104,070 | | | | | | 8.4% | | |
DoubleLine Total Return Bond Fund | | | | | 92,913 | | | | | | 1,014,610 | | | | | | 7.8% | | |
Grizzly Short Fund | | | | | 135,009 | | | | | | 833,006 | | | | | | 6.3% | | |
Abbey Capital Futures Strategy Fund | | | | | 70,370 | | | | | | 816,994 | | | | | | 6.2% | | |
Total | | | | | | | | | | | | | | | | | 97.0% | | |
Portfolio Highlights at September 30, 2016 (unaudited)
| | | Average Annual Total Return | | |||
Investor Class | | | |||||
Since inception 6/13/16 | | | | | 0.22% | | |
Institutional Class | | | |||||
1 year ended 9/30/16 | | | | | -1.92% | | |
3 year ended 9/30/16 | | | | | -2.59% | | |
Since inception 1/30/11 | | | | | 2.00% | | |
Schedule of Investments | September 30, 2016 |
| Shares | | | | | | Value | | ||||||
| OPEN-END MUTUAL FUNDS (97.0%) | | ||||||||||||
| | | | | | | ALTERNATIVE — 55.0% | | ||||||
| | | 70,370 | | | | Abbey Capital Futures Strategy Fund | | | | $ | 816,994 | | |
| | | 167,577 | | | | AQR Multi Strategy Alternative Fund | | | | | 1,605,391 | | |
| | | 84,471 | | | | Boston Partners Long/Short Equity Fund | | | | | 1,692,791 | | |
| | | 51,151 | | | | Catalyst/Millburn Hedge Strategy Fund * | | | | | 1,510,491 | | |
| | | 146,605 | | | | Western Asset Macro Opportunities Fund | | | | | 1,590,660 | | |
| | | | | | | | | | | | 7,216,327 | | |
| | | | | | | EQUITY — 16.9% | | ||||||
| | | 96,432 | | | | Deutsche Global Infrastructure Fund | | | | | 1,390,547 | | |
| | | 135,009 | | | | Grizzly Short Fund * | | | | | 833,006 | | |
| | | | | | | | | | | | 2,223,553 | | |
| | | | | | | FIXED INCOME — 16.1% | | ||||||
| | | 92,913 | | | | DoubleLine Total Return Bond Fund | | | | | 1,014,610 | | |
| | | 98,931 | | | | Osterweis Strategic Income Fund | | | | | 1,104,070 | | |
| | | | | | | | | | | | 2,118,680 | | |
| Shares | | | | | | Value | | ||||||
| OPEN-END MUTUAL FUNDS (97.0%) (continued) | | ||||||||||||
| | | | | | | MIXED ALLOCATION — 9.0% | | ||||||
| | | 80,129 | | | | Westwood Income Opportunity Fund | | | | $ | 1,181,109 | | |
| | | | | | | TOTAL OPEN-END MUTUAL FUNDS (Cost $12,476,642) (97.0%) | | | | | 12,739,669 | | |
| SHORT-TERM INVESTMENT (2.7%) | | ||||||||||||
| | | | | | | MONEY MARKET FUND (2.7%) | | ||||||
| | | 357,468 | | | | State Street Institutional Liquid Reserves Fund | | | | | 357,468 | | |
| | | | | | | TOTAL SHORT-TERM INVESTMENTS (Cost $357,468) (2.7%) | | | | | 357,468 | | |
| | | | | | | TOTAL INVESTMENT SECURITIES (99.7%) (Cost $12,834,110) | | | | $ | 13,097,137 | | |
| CASH AND OTHER ASSETS IN EXCESS OF LIABILITIES (0.3%) | | | | | 40,215 | | | ||||||
| NET ASSETS (100%) | | | | $ | 13,137,352 | | |
Investments in Securities: | | | Level 1 | | | Level 2 | | | Level 3 | | | Total | | ||||||||||||
Assets | | | | | | ||||||||||||||||||||
Open-End Mutual Funds** | | | | $ | 12,739,669 | | | | | $ | — | | | | | $ | — | | | | | $ | 12,739,669 | | |
Short-Term Investment | | | | | 357,468 | | | | | | — | | | | | | — | | | | | | 357,468 | | |
Total Investments in Securities | | | | $ | 13,097,137 | | | | | $ | — | | | | | $ | — | | | | | $ | 13,097,137 | | |
at September 30, 2016
| Assets: | | | |||||
| Investment securities, at value (Cost – $12,834,110) | | | | $ | 13,097,137 | | |
| Receivable for capital shares sold | | | | | 62,000 | | |
| Receivable from Adviser | | | | | 20,902 | | |
| Interest and dividends receivable | | | | | 9,318 | | |
| Total Assets | | | | | 13,189,357 | | |
| Liabilities: | | | |||||
| Accrued expenses: | | | |||||
| Custody and accounting fee payable | | | | | 12,893 | | |
| Management fee | | | | | 8,450 | | |
| Administration fee payable | | | | | 11,885 | | |
| Audit fee payable | | | | | 10,094 | | |
| Printing fee payable | | | | | 5,108 | | |
| Other | | | | | 3,575 | | |
| Total Liabilities | | | | | 52,005 | | |
| Net Assets | | | | $ | 13,137,352 | | |
| Net assets consist of: | | | |||||
| Capital stock, at $0.001 par value (authorized unlimited shares) | | | | $ | 1,433 | | |
| Additional paid-in capital | | | | | 15,769,912 | | |
| Undistributed net investment income | | | | | 43,480 | | |
| Accumulated net realized loss on investments | | | | | (2,940,500) | | |
| Net unrealized appreciation of investments | | | | | 263,027 | | |
| Net Assets | | | | $ | 13,137,352 | | |
| Net Asset Value Per Share | | | |||||
| Investor Class(1) | | | |||||
| Net Assets | | | | $ | 442,102 | | |
| Shares Outstanding | | | | | 48,244 | | |
| Net Asset Value, Offering and Redemption Price per Outstanding Share | | | | $ | 9.16 | | |
| Institutional Class | | | |||||
| Net Assets | | | | $ | 12,695,250 | | |
| Shares Outstanding | | | | | 1,384,422 | | |
| Net Asset Value, Offering and Redemption Price per Outstanding Share | | | | $ | 9.17 | | |
| Investment Income: | | | |||||
| Dividends | | | | $ | 315,706 | | |
| Interest | | | | | 362 | | |
| Total Income | | | | | 316,068 | | |
| Expenses: | | | |||||
| Advisory fee | | | | | 107,395 | | |
| Management fee | | | | | 8,450 | | |
| Service and distribution plan fees | | | | | 225 | | |
| Sub-transfer agent fees | | | | | 13,865 | | |
| Custody and accounting fees | | | | | 22,560 | | |
| Auditing and legal fees | | | | | 16,894 | | |
| Professional fees | | | | | 10,456 | | |
| Printing and postage | | | | | 8,724 | | |
| Transfer agent fees | | | | | 11,258 | | |
| Trustees’ fees and expenses | | | | | 7,936 | | |
| Registration and filing fees | | | | | 22,078 | | |
| Insurance | | | | | 3,283 | | |
| Administration fees | | | | | 49,228 | | |
| Other | | | | | 7,951 | | |
| Total Expenses Before Fees Waived and Expense Reimbursed (See Note 4) | | | | | 290,303 | | |
| Less: Advisory, Management and Distributor fees Waived and Expenses Reimbursed | | | | | (68,698) | | |
| Less: Sub-transfer Agent Fees Waived | | | | | (1,039) | | |
| Net Expenses | | | | | 220,566 | | |
| Net Investment Income | | | | | 95,502 | | |
| Net Realized and Unrealized Gain/(Loss) on Investments: | | | |||||
| Net Realized Gain/(Loss) From: | | | |||||
| Investments | | | | | (730,494) | | |
| Capital gain distributions from underlying funds | | | | | 3,100 | | |
| | | | | | (727,394) | | |
| Change in Net Unrealized Appreciation/(Depreciation) of: | | | |||||
| Investments | | | | | 178,361 | | |
| Net Realized Loss and Change in Net Unrealized Appreciation/(Depreciation) on Investments | | | | | (549,033) | | |
| Net Decrease in Net Assets from Operations | | | | $ | (453,531) | | |
| | | Year Ended | | |||||||||
| | | September 30, 2016 | | | September 30, 2015(1) | | ||||||
Operations: | | | | ||||||||||
Net investment income | | | | $ | 95,502 | | | | | $ | 813,487 | | |
Net realized loss on investments | | | | | (730,494) | | | | | | (1,520,835) | | |
Capital gain distributions from underlying funds | | | | | 3,100 | | | | | | 357,031 | | |
Change in net unrealized appreciation/(depreciation) on investments | | | | | 178,361 | | | | | | (1,281,488) | | |
Net decrease in net assets from operations | | | | | (453,531) | | | | | | (1,631,805) | | |
Distributions to Shareholders from: | | | | ||||||||||
Net investment income | | | | ||||||||||
Institutional Class | | | | | (298,085) | | | | | | (916,371) | | |
Share Transactions: | | | | ||||||||||
Proceeds from sale of shares | | | | ||||||||||
Investor Class(2) | | | | | 444,969 | | | | | | — | | |
Institutional Class | | | | | 3,118,350 | | | | | | 4,121,672 | | |
Proceeds from reinvestment of dividends to shareholders | | | | ||||||||||
Institutional Class | | | | | 298,085 | | | | | | 787,942 | | |
Cost of shares redeemed | | | | ||||||||||
Investor Class(2) | | | | | (2,489) | | | | | | — | | |
Institutional Class | | | | | (10,725,800) | | | | | | (19,184,944) | | |
Net decrease in net assets from fund share transactions | | | | | (6,866,885) | | | | | | (14,275,330) | | |
Total decrease in net assets | | | | | (7,618,501) | | | | | | (16,823,506) | | |
Net Assets: | | | | ||||||||||
Beginning of year | | | | | 20,755,853 | | | | | | 37,579,359 | | |
End of year | | | | $ | 13,137,352 | | | | | $ | 20,755,853 | | |
Undistributed net investment income included in net assets, at end of year | | | | $ | 43,480 | | | | | $ | 246,063 | | |
Capital Share Transactions: | | | | ||||||||||
Shares sold | | | | ||||||||||
Investor Class(2) | | | | | 48,516 | | | | | | — | | |
Institutional Class | | | | | 335,667 | | | | | | 417,566 | | |
Shares issued to shareholders in reinvestment of dividends | | | | ||||||||||
Institutional Class | | | | | 32,436 | | | | | | 79,913 | | |
Shares redeemed | | | | ||||||||||
Investor Class(2) | | | | | (272) | | | | | | — | | |
Institutional Class | | | | | (1,167,627) | | | | | | (1,970,051) | | |
Net decrease | | | | | (751,280) | | | | | | (1,472,572) | | |
| | | Value Line Defensive Strategies Fund Investor Class | | |||
| | | June 13, 2016(1) to September 30, 2016 | | |||
Net asset value, beginning of year | | | | $ | 9.14 | | |
Income/(loss) from investment operations: | | | |||||
Net investment income(2)(3) | | | | | 0.02 | | |
Net loss on securities (both realized and unrealized) | | | | | (0.00)(4) | | |
Total from investment operations | | | | | 0.02 | | |
Net asset value, end of year | | | | $ | 9.16 | | |
Total return | | | | | 0.22%(5) | | |
Ratios/Supplemental Data: | | | |||||
Net assets, end of year (in thousands) | | | | $ | 442 | | |
Ratio of gross expenses to average net assets(6)(7) | | | | | 5.82%(8) | | |
Ratio of net expenses to average net assets(6)(9) | | | | | 1.45%(8) | | |
Ratio of net investment income to average net assets(3) | | | | | 0.58%(8) | | |
Portfolio turnover rate | | | | | 268%(5) | | |
| | | Value Line Defensive Strategies Fund Institutional Class Years Ended September 30, | | |||||||||||||||||||||||||||
| | | 2016 | | | 2015(6) | | | 2014(6) | | | 2013(6) | | | 2012(6) | | |||||||||||||||
Net asset value, beginning of year | | | | $ | 9.50 | | | | | $ | 10.28 | | | | | $ | 9.95 | | | | | $ | 10.22 | | | | | $ | 9.88 | | |
Income/(loss) from investment operations: | | | | | | | |||||||||||||||||||||||||
Net investment income(1)(2) | | | | | 0.05 | | | | | | 0.25 | | | | | | 0.09 | | | | | | 0.12 | | | | | | 0.26 | | |
Net gains/(losses) on securities (both realized and unrealized) | | | | | (0.23) | | | | | | (0.76) | | | | | | 0.37 | | | | | | (0.23) | | | | | | 0.43 | | |
Total from investment operations | | | | | (0.18) | | | | | | (0.51) | | | | | | 0.46 | | | | | | (0.11) | | | | | | 0.69 | | |
Less distributions: | | | | | | | |||||||||||||||||||||||||
Dividends from net investment income | | | | | (0.15) | | | | | | (0.27) | | | | | | (0.13) | | | | | | (0.16) | | | | | | (0.35) | | |
Total distributions | | | | | (0.15) | | | | | | (0.27) | | | | | | (0.13) | | | | | | (0.16) | | | | | | (0.35) | | |
Net asset value, end of year | | | | $ | 9.17 | | | | | $ | 9.50 | | | | | $ | 10.28 | | | | | $ | 9.95 | | | | | $ | 10.22 | | |
Total return | | | | | (1.92)% | | | | | | (5.10)% | | | | | | 4.65% | | | | | | (1.07)% | | | | | | 7.13% | | |
Ratios/Supplemental Data: | | | | | | | |||||||||||||||||||||||||
Net assets, end of year (in thousands) | | | | $ | 12,695 | | | | | $ | 20,756 | | | | | $ | 37,579 | | | | | $ | 28,130 | | | | | $ | 15,950 | | |
Ratio of gross expenses to average net assets(3) | | | | | 1.61%(4) | | | | | | 1.21%(4) | | | | | | 1.18%(4) | | | | | | 1.33%(4) | | | | | | 2.24%(4) | | |
Ratio of net expenses to average net assets(3) | | | | | 1.24%(5) | | | | | | 1.25%(5) | | | | | | 1.25%(5) | | | | | | 1.25%(5) | | | | | | 1.25%(5) | | |
Ratio of net investment income to average net assets(2) | | | | | 0.54% | | | | | | 2.57% | | | | | | 0.93% | | | | | | 1.19% | | | | | | 2.64% | | |
Portfolio turnover rate | | | | | 268% | | | | | | 124% | | | | | | 103% | | | | | | 152% | | | | | | 128% | | |
Notes to Financial Statements | September 30, 2016 |
| | | Investor Class | | | Institutional Class | | | Total | | |||||||||
Value Line Defensive Strategies Fund, Inc. | | | | | |||||||||||||||
Registration and filing fees | | | | $ | 37 | | | | | $ | 22,041 | | | | | $ | 22,078 | | |
Transfer agent fees | | | | | 2,733 | | | | | | 8,525 | | | | | | 11,258 | | |
Sub-transfer agent fees | | | | | 99 | | | | | | 13,766 | | | | | | 13,865 | | |
Other | | | | | 370 | | | | | | 7,581 | | | | | | 7,951 | | |
| | | Year Ended September 30, 2016 | | |||
PURCHASES: | | | | | | | |
Investment Securities | | | | $ | 46,951,569 | | |
SALES: | | | | | | | |
Investment Securities | | | | $ | 54,172,941 | | |
| Cost of investments for tax purposes | | | | $ | 13,162,165 | | |
| Gross tax unrealized appreciation | | | | $ | 250,655 | | |
| Gross tax unrealized depreciation | | | | | (315,683) | | |
| Net tax unrealized depreciation on investments | | | | $ | (65,028) | | |
| Undistributed ordinary income | | | | $ | 43,480 | | |
| Undistributed long-term gain | | | | $ | — | | |
| Capital loss carryforward, no expiration date | | | | $ | 2,612,445 | | |
| | | 2016 | | | 2015 | | ||||||
Ordinary income | | | | $ | 298,085 | | | | | $ | 916,371 | | |
Expiration | | | Fees Waived and Reimbursed by the Adviser | | | Fees Waived and Reimbursed by the Manager | | | Fees Waived and Reimbursed by the Distributor | | |||||||||
September 30, 2019 | | | | $ | 12,137 | | | | | $ | 17,606 | | | | | $ | 78 | | |
Date of Reorganization | | | Surviving Fund | | | Shares Issued In Acquisition | | | Net Assets Before Reorganization | | | Net Assets After Reorganization | | |||||||||
6-10-16 | | | Value Line Defensive Strategies Fund | | | | | 2,025,680 | | | | | $ | — | | | | | $ | 18,655,396 | | |
Date of Reorganization | | | Acquired Fund | | | Shares Outstanding | | | Acquired Fund Net Assets | | | Acquired Fund Unrealized Appreciation/ Depreciation | | |||||||||
6-10-16 | | | Alpha Defensive Alternatives Fund | | | | | 2,025,680 | | | | | $ | 18,655,396 | | | | | $ | 447,105 | | |
New York, New York
November 22, 2016
| | | Beginning account value 03/31/16 | | | Ending account value 09/30/16 | | | Expenses paid during the period 03/31/16 thru 09/30/16* | | | Annualized Expense Ratio | | ||||||||||||
Actual | | | | | | ||||||||||||||||||||
Investor Class | | | | $ | 1,000.00 | | | | | $ | 1,002.20 | | | | | $ | 4.36 | | | | | | 1.45% | | |
Institutional Class | | | | | 1,000.00 | | | | | | 990.30 | | | | | | 6.07 | | | | | | 1.22% | | |
Hypothetical (5% return before expenses) | | | | | | ||||||||||||||||||||
Investor Class | | | | $ | 1,000.00 | | | | | $ | 1,010.67 | | | | | $ | 4.38 | | | | | | 1.45% | | |
Institutional Class | | | | | 1,000.00 | | | | | | 1,018.90 | | | | | | 6.16 | | | | | | 1.22% | | |
Name, Address, and Age | | | Position | | | Length of Time Served | | | Principal Occupations During the Past 5 Years | | | Number of Portfolios in Fund Complex Overseen by Director | | | Other Directorships Held by Director During the Past 5 Years | |
Interested Director* | | | | | | |||||||||||
Mitchell E. Appel Age: 45 | | | Director | | | Since 2010 | | | President of each of the Value Line Funds since June 2008; Chief Financial Officer of the Distributor since April 2008 and President since February 2009; President of the Adviser since February 2009, Trustee since December 2010 and Treasurer since January 2011. | | | 12 | | | Forethought Variable Insurance Trust (September 2013-present) | |
Non-Interested Directors | | | | | | |||||||||||
Joyce E. Heinzerling Age: 59 | | | Director | | | Since 2008 | | | President, Meridian Fund Advisers LLC (consultants) since 2009. | | | 12 | | | None | |
James E. Hillman Age: 59 | | | Director (Chairman since March 2016) | | | Since 2015 | | | Chief Financial Officer, Notre Dame School of Manhattan since 2011; Director and Principal Financial Officer, Merrill Lynch Global Wealth Management, (2006-2011). | | | 12 | | | Miller/Howard High Income Equity Fund (November 2014 to present). Miller/Howard Drill Bit to Burner Tip Fund (December 2015-present) | |
Michael Kuritzkes Age: 55 | | | Director | | | Since 2015 | | | Consultant, Coronado Advisors LLC since June 2014; Executive Vice President and General Counsel, Harbinger Group Inc. (public holding company), (2013-2014); Executive Vice President and General Counsel, Digital First Media (2012-2013); Executive Vice President and General Counsel, Philadelphia Media LLC, (2010-2013). | | | 12 | | | None | |
Francis C. Oakley Age: 84 | | | Director | | | Since 2000 | | | Professor of History, Williams College, (1961-2002), Professor Emeritus since 2002, President Emeritus since 1994 and President, (1985-1994); Chairman (1993-1997) and Interim President (2002-2003) of the America Council of Learned Societies; Trustee since 1997 and Chairman of the Board since 2005, National Humanities Center. | | | 12 | | | None | |
Name, Address, and Age | | | Position | | | Length of Time Served | | | Principal Occupations During the Past 5 Years | | | Number of Portfolios in Fund Complex Overseen by Director | | | Other Directorships Held by Director During the Past 5 Years | |
Paul Craig Roberts Age: 76 | | | Director | | | Since 1983 | | | Chairman, Institute for Political Economy. | | | 12 | | | None | |
Nancy-Beth Sheerr Age: 66 | | | Director | | | Since 1996 | | | Senior Financial Consultant, Veritable, L.P. (investment advisor) until December 2013. | | | 12 | | | None | |
Name, Address, and Age | | | Position | | | Length of Time Served | | | Principal Occupations During the Past 5 Years | |
Officers | | | | | ||||||
Mitchell E. Appel Age: 45 | | | President | | | Since 2008 | | | President of each of the Value Line Funds since June 2008; Chief Financial Officer of the Distributor since April 2008 and President since February 2009; President of the Adviser since February 2009, Trustee since December 2010 and Treasurer since January 2011. | |
Michael J. Wagner Age: 66 | | | Chief Compliance Officer | | | Since 2009 | | | Chief Compliance Officer of each of the Value Line Funds since 2009; President of Northern Lights Compliance Services, LLC (formerly Fund Compliance Services, LLC) (2006-present). | |
Emily D. Washington Age: 37 | | | Treasurer and Chief Financial Officer; Secretary | | | Since 2009 | | | Treasurer and Chief Financial Officer (Principal Financial and Accounting Officer) of each of the Value Line Funds since 2008 and Secretary since 2010; Secretary of the Adviser since 2011. | |
Item 2 Code of Ethics
(a) The Registrant has adopted a Code of Ethics that applies to its principal executive officer, and principal financial officer and principal accounting officer.
(f) Pursuant to item 12(a), the Registrant is attaching as an exhibit a copy of its Code of Ethics that applies to its principal executive officer, and principal financial officer and principal accounting officer.
Item 3 Audit Committee Financial Expert
((a)(1)The Registrant has an Audit Committee Financial Expert serving on its Audit Committee.
(2) The Registrant’s Board has designated both James Hillman and Michael Kuritzkes, members of the Registrant’s Audit Committee, as the Registrant’s Audit Committee Financial Experts. Mr. Hillman and Mr. Kuritzkes are independent directors. Mr. Hillman currently serves as the Chief Financial Officer at Notre Dame School of Manhattan since 2011. Mr. Kuritzkes currently serves as a consultant at Caronado
Advisors LLC since June 2014 and previously served as Executive Vice President and General Counsel at Harbinger Group, Inc. (2013 – 2014)
A person who is designated as an “audit committee financial expert” shall not make such person an "expert" for any purpose, including without limitation under Section 11 of the Securities Act of 1933 or under applicable fiduciary laws, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities that are greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and Board of Trustees in the absence of such designation or identification.
Item 4 Principal Accountant Fees and Services
(a) | Audit Fees for the year ended September 30, 2016 - $9,850 |
(b) | Audit-Related fees – None. |
(c) | Tax Preparation Fees the year ended September 30, 2016 - $4,500 |
(d) | All Other Fees – None |
(e) (1) | Audit Committee Pre-Approval Policy. All services to be performed for the Registrant by PricewaterhouseCoopers LLP must be pre-approved by the audit committee. All services performed were pre-approved by the committee. |
(e) (2) | Not applicable. |
(f) | Not applicable. |
(g) | Aggregate Non-Audit Fees the year ended September 30, 2016 - None |
(h) | Not applicable. |
Item 5. Audit Committee of Listed Registrants
Not Applicable.
Item 6. Investments
Not Applicable
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies
Not Applicable
Item 8. Portfolio Managers of Closed-End Management Investment Companies
Not Applicable
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers
Not Applicable
Item 10 Submission of Matters to a Vote of Security Holders
Not Applicable
Item 11 Controls and Procedures
(a) | The registrant’s principal executive officer and principal financial officer have concluded that the registrant’s disclosure controls and procedures (as defined in rule 30a-2(c) under the Act (17 CFR 270.30a-2(c) ) based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report, are appropriately designed to ensure that material information relating to the registrant is made known to such officers and are operating effectively. |
(b) | The registrant’s principal executive officer and principal financial officer have determined that there have been no significant changes in the registrant’s internal controls or in other factors that could significantly affect these controls subsequent to the date of their evaluation, including corrective actions with regard to significant deficiencies and material weaknesses. |
Item 12. Exhibits.
(a) | Code of Business Conduct and Ethics for Principal Executive and Senior Financial Officers attached hereto as Exhibit 100.COE |
(b) | (1) Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2) attached hereto as Exhibit 99.CERT. |
(2) Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 attached hereto as Exhibit 99.906.CERT.
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.
By | /s/ Mitchell E. Appel | ||
Mitchell E. Appel, President | |||
Date: | December 9, 2016 |
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: | /s/ Mitchell E. Appel | ||
Mitchell E. Appel, President, Principal Executive Officer | |||
By: | /s/ Emily D. Washington | ||
Emily D. Washington, Treasurer, Principal Financial Officer | |||
Date: | December 9, 2016 |