Impact Shares Trust I N-CSRS Certified semi-annual shareholder report (management investment company)

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORMN-CSRS

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act File Number 811-23312

Impact Shares Trust I

(Exact name of registrant as specified in charter)

2189 Broken Bend

Frisco, Texas 75034

(Address of principal executive offices)

Ethan Powell

2189 Broken Bend

Frisco, Texas 75034

(Name and address of agent for service)

COPY TO:

Brian McCabe

Ropes & Gray LLP

Prudential Tower

800 Boylston Street

Boston, Massachusetts 02199-3600

(Name and address of agent for service)

Registrant’s telephone number, including area code:1-469-442-8424

Date of fiscal year end: June 30, 2020

Date of reporting period: December 31, 2019

Item 1. Reports to Stockholders.

A copy of the report transmitted to stockholders pursuant to Rule30e-1 under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR §270.30e-1), is attached hereto.

IMPACT SHARES TRUST I

Impact Shares YWCA Women’s Empowerment ETF

Impact Shares NAACP Minority Empowerment ETF

Impact Shares Sustainable Development Goals Global Equity ETF

Semi-Annual Report

December 31, 2019

Beginning on January 1, 2021, as permitted by regulations adopted by the Securities and Exchange Commission, paper copies of the Funds’ shareholder reports like this one will no longer be sent by mail, unless you specifically request paper copies of the reports or from your financial intermediary, such as a broker-dealer or bank. Instead, the reports will be made available on a website, and you will be notified by mail each time a report is posted and provided with a website link to access the report.

If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. You may elect to receive shareholder reports and other communications from your financial intermediary electronically by going to www.impactetfs.org.

You may elect to receive all future reports in paper free of charge. You can inform your financial intermediary that you wish to continue receiving paper copies of your shareholder reports by contacting your financial intermediary. Your election to receive reports in paper will apply to all funds held with Impact Shares, Corp.

Impact Shares Trust I

Table of Contents

Schedules of Investments	1
Statements of Assets and Liabilities	10
Statements of Operations	11
Statements of Changes in Net Assets	12
Financial Highlights	15
Notes to Financial Statements	16
Disclosure of Fund Expenses	28

Each Fund files its complete schedule of Fund holdings with the Securities and Exchange Commission (the “Commission”) for the first and third quarters of each fiscal year on FormN-Q or as an exhibit to its reports on FormN-PORT within sixty days after the end of the period. The Fund’s FormsN-Q and FormN-PORT are available on the Commission’s website athttp://www.sec.gov.

A description of the policies and procedures that Impact Shares, Corp. uses to determine how to vote proxies relating to Fund securities, as well as information relating to how a Fund voted proxies relating to Fund securities during the most recent12-month period ended June 30, is available (i) without charge, upon request, by calling1-844-448-3383; and (ii) on the Commission’s website athttp://www.sec.gov.

Impact Shares YWCA Women’s Empowerment ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Sector Weightings^†

^† Percentages based on total investments.

Description	Shares		Fair Value
COMMON STOCK†† — 98.5%
Communication Services—9.2%
Alphabet, Cl A*		61	$	81,703
Alphabet, Cl C*		61		81,558
AT&T		3,507		137,054
CenturyLink		530		7,001
Comcast, Cl A		2,155		96,910
Interpublic Group		195		4,505
Sprint*		265		1,380
Verizon Communications		1,962		120,467
Walt Disney		736		106,448
				637,026
Consumer Discretionary—10.2%
Amazon.com*		181		334,459
Autoliv		44		3,714
Best Buy		112		9,834
Capri Holdings*		72		2,747
Carnival		210		10,674
Darden Restaurants		51		5,559
Dunkin’ Brands Group		36		2,719
eBay		419		15,130
Expedia Group		62		6,705
Ford Motor		716		6,659
Gap		106		1,874
General Motors		640		23,424
Hasbro		56		5,914
Hilton Worldwide Holdings		38		4,215
Kohl’s		80		4,076
Kontoor Brands		22		924
Lululemon Athletica*		48		11,120
Macy’s		171		2,907
Marriott International, Cl A		135		20,443
McDonald’s		317		62,642
MercadoLibre*		8		4,575

Description	Shares		Fair Value
Nordstrom		60	$	2,456
PVH		36		3,785
Royal Caribbean Cruises		86		11,482
Starbucks		492		43,257
Target		240		30,770
Tiffany		52		6,950
TJX		585		35,720
VF		162		16,145
Wyndham Destinations		16		827
Yum! Brands		124		12,491
				704,197
Consumer Staples—6.7%
Brown-Forman, Cl A		20		1,255
Brown-Forman, Cl B		52		3,515
Campbell Soup		83		4,102
Church & Dwight		97		6,823
Clorox		51		7,830
Coca-Cola		1,551		85,848
Colgate-Palmolive		337		23,199
Conagra Brands		224		7,670
Estee Lauder, Cl A		83		17,143
General Mills		206		11,033
Hershey		56		8,231
JM Smucker		46		4,790
Kellogg		106		7,331
Kimberly-Clark		134		18,432
Kraft Heinz		294		9,446
Kroger		385		11,161
Molson Coors Brewing, Cl B		75		4,043
PepsiCo		549		75,032
Procter & Gamble		952		118,905
Tyson Foods, Cl A		110		10,014
Walgreens Boots Alliance		426		25,117
				460,920
Energy—4.2%
Chevron		726		87,490
ConocoPhillips		438		28,483
Equities		99		1,079
Equitrans Midstream		30		401
Exxon Mobil		1,619		112,974
Marathon Oil		306		4,156
Marathon Petroleum		32		1,928
Occidental Petroleum		294		12,116
Phillips 66		157		17,491
Schlumberger		638		25,647
				291,765
Financials—12.8%
Aflac		350		18,515
Allstate		158		17,767
American Express		336		41,829
Bank of America		4,118		145,036
Bank of New York Mellon		420		21,138
Citigroup		1,131		90,355
Comerica		74		5,309
Fifth Third Bancorp		300		9,222

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

1

Impact Shares YWCA Women’s Empowerment ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Description	Shares		Fair Value
First Republic Bank		75	$	8,809
Goldman Sachs Group		54		12,416
Hartford Financial Services Group		161		9,784
Huntington Bancshares		475		7,163
JPMorgan Chase		1,566		218,300
KeyCorp		474		9,594
MetLife		445		22,682
Northern Trust		102		10,836
PNC Financial Services Group		74		11,813
Principal Financial Group		118		6,490
Prudential Financial		188		17,623
S&P Global		116		31,674
State Street		56		4,430
T Rowe Price Group		114		13,890
US Bancorp		718		42,570
Voya Financial		72		4,391
Wells Fargo		1,992		107,170
				888,806
Health Care—14.1%
Agilent Technologies		148		12,626
Allergan		164		31,352
AmerisourceBergen, Cl A		78		6,632
Amgen		251		60,509
Anthem		118		35,640
Baxter International		228		19,066
Becton Dickinson		123		33,452
Biogen*		96		28,486
Bio-Rad Laboratories, Cl A*		6		2,220
Bristol-Myers Squibb		886		56,872
Cigna		147		30,060
CVS Caremark		687		51,037
Edwards Lifesciences*		100		23,329
Eli Lilly		335		44,029
Gilead Sciences		625		40,612
Johnson & Johnson		1,262		184,088
McKesson		92		12,725
Merck		977		88,858
Perrigo		72		3,720
Pfizer		2,249		88,116
PRA Health Sciences*		8		889
Quest Diagnostics		66		7,048
Regeneron Pharmaceuticals*		34		12,766
ResMed		72		11,158
UnitedHealth Group		297		87,312
				972,602
Industrials—7.3%
3M		277		48,868
Alaska Air Group		64		4,336
American Airlines Group		204		5,851
Caterpillar		223		32,933
CSX		372		26,918
Cummins		68		12,169
Delta Air Lines		309		18,070
Eaton		197		18,660
Flowserve		63		3,136
Fluor		66		1,246

Description	Shares		Fair Value
General Electric		2,940	$	32,811
Hexcel		33		2,419
IHS Markit*		172		12,960
Illinois Tool Works		140		25,148
Ingersoll-Rand		95		12,627
Johnson Controls International		442		17,994
ManpowerGroup		28		2,719
Nielsen Holdings PLC		172		3,491
Norfolk Southern		123		23,878
Owens Corning		52		3,386
Pentair		76		3,486
Rockwell Automation		58		11,755
Union Pacific		340		61,469
United Parcel Service, Cl B		319		37,342
United Technologies		312		46,725
Verisk Analytics, Cl A		76		11,350
Waste Management		148		16,866
Westinghouse Air Brake Technologies		12		934
Xylem		82		6,461
				506,008
Information Technology—28.8%
Accenture, Cl A		388		81,701
Adobe*		282		93,006
Advanced Micro Devices*		524		24,031
Alliance Data Systems		24		2,693
Apple		1,681		493,626
Autodesk*		126		23,116
Cognizant Technology Solutions, Cl A		108		6,698
Fidelity National Information Services		154		21,420
Hewlett Packard Enterprise		834		13,227
HP		1,016		20,879
Intel		2,703		161,774
International Business Machines		524		70,237
Intuit		144		37,718
Jabil		30		1,240
Keysight Technologies*		100		10,263
Leidos Holdings		26		2,545
Mastercard, Cl A		343		102,417
Microsoft		2,765		436,041
Motorola Solutions		96		15,469
NortonLifeLock		112		2,858
NVIDIA		380		89,414
ON Semiconductor*		76		1,853
Oracle		499		26,437
QUALCOMM		758		66,878
salesforce.com*		435		70,748
TE Connectivity		198		18,976
Texas Instruments		564		72,356
VMware, Cl A*		44		6,679
Workday, Cl A*		82		13,485
Xerox Holdings		116		4,277
				1,992,062

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

2

Impact Shares YWCA Women’s Empowerment ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Description	Shares		Fair Value
Materials—1.4%
Air Products & Chemicals		84	$	19,739
Alcoa*		73		1,570
Eastman Chemical		52		4,121
Ecolab		98		18,913
FMC		54		5,390
International Flavors & Fragrances		38		4,903
International Paper		160		7,368
Linde		44		9,368
Livent*		40		342
Mosaic		147		3,181
Newmont Goldcorp		212		9,211
PPG Industries		91		12,148
				96,254
Real Estate—1.9%
Apartment Investment & Management, Cl A‡		71		3,667
AvalonBay Communities‡		68		14,260
CBRE Group, Cl A*		142		8,703
Equinix‡		38		22,181
Healthpeak Properties‡		223		7,687
Host Hotels & Resorts‡		348		6,455
Iron Mountain‡		140		4,462
Jones Lang LaSalle		20		3,482
Kilroy Realty‡		48		4,027
Kimco Realty‡		204		4,225
Macerich‡		52		1,400
Prologis‡		302		26,920
Welltower‡		184		15,047
Weyerhaeuser‡		295		8,909
				131,425
Utilities—1.9%
American Water Works		88		10,811
CenterPoint Energy		191		5,209
CMS Energy		110		6,912
Consolidated Edison		122		11,037
Dominion Energy		255		21,119
Edison International		124		9,351
Entergy		71		8,506
Eversource Energy		125		10,634
Exelon		372		16,960
PG&E*		266		2,891
PPL		264		9,472
Sempra Energy		108		16,360
				129,262
Total Common Stock
(Cost $5,872,624)				6,810,327
RIGHT— 0.0%
Celgene Corp		253		762
Total Right
(Cost $539) ($ Thousands)				762

Description	Shares		Fair Value
SHORT-TERM INVESTMENT — 1.5%
Invesco Government & Agency, Cl Institutional, 1.500%(A)		103,117	$	103,117
Total Short-Term Investment
(Cost $103,117)				103,117
Total Investments - 100.0%
(Cost $5,976,280)			$	6,914,206

Percentages are based on Net Assets of $6,915,158.

††	More narrow industries are utilized for compliance purposes whereas broad sectors are utilized for reporting purposes.
*	Non-income producing security.
‡	Real Estate Investment Trust
(A)	Rate shown represents the7-day effective yield as of December 31, 2019

Cl — Class

PLC — Public Limited Company

As of December 31, 2019, all of the Fund’s investments were considered Level 1 in accordance with the authoritative guidance under U.S. Generally Accepted Accounting Principles.

For the period ended December 31, 2019, were no transfers in or out of Level 3.

For more information on valuation inputs, see Note 2 in Notes to Financial Statements.

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

3

Impact Shares NAACP Minority Empowerment ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Sector Weightings ^†

^† Percentages based on total investments.

Description	Shares		Fair Value
COMMON STOCK†† — 100.7%
Communication Services— 12.3%
Alphabet, Cl A*		57	$	76,345
Alphabet, Cl C*		60		80,221
AT&T		1,531		59,831
Comcast, Cl A		968		43,531
Sprint*		89		464
Verizon Communications		855		52,497
Walt Disney		319		46,137
				359,026
Consumer Discretionary— 11.3%
Adient*		16		340
Amazon.com*		85		157,066
Aptiv PLC		59		5,603
Autoliv		19		1,604
Best Buy		51		4,478
Carnival		88		4,473
eBay		199		7,186
Ford Motor		855		7,952
Gap		45		796
Garrett Motion*		11		110
General Motors		287		10,504
Goodyear Tire & Rubber		51		793
Hanesbrands		80		1,188
Hasbro		24		2,535
Hilton Worldwide Holdings		63		6,987
Home Depot		90		19,654
Macy’s		65		1,105
Marriott International, Cl A		63		9,540
Mattel*		76		1,030
McDonald’s		83		16,402
Newell Brands		72		1,384
Nordstrom		27		1,105
Ross Stores		82		9,547
Royal Caribbean Cruises		38		5,073

Description	Shares		Fair Value
Starbucks		139	$	12,221
Target		119		15,257
TJX		274		16,730
Whirlpool		14		2,065
Wyndham Destinations		18		931
Yum! Brands		36		3,626
				327,285
Consumer Staples— 4.9%
Archer-Daniels-Midland		119		5,516
Brown-Forman, Cl A		3		188
Brown-Forman, Cl B		7		473
Bunge		33		1,899
Campbell Soup		22		1,087
Church & Dwight		26		1,829
Clorox		15		2,303
Coca-Cola		402		22,251
Colgate-Palmolive		95		6,540
Estee Lauder, Cl A		26		5,370
General Mills		64		3,428
Hormel Foods		31		1,398
Kellogg		29		2,006
Keurig Dr Pepper		27		781
Kimberly-Clark		41		5,639
Kroger		172		4,986
McCormick		13		2,207
Molson Coors Brewing, Cl B		23		1,240
PepsiCo		155		21,184
Philip Morris International		183		15,572
Procter & Gamble		274		34,223
Tyson Foods, Cl A		33		3,004
				143,124
Energy— 3.3%
Chevron		216		26,030
ConocoPhillips		128		8,324
Continental Resources		12		412
Core Laboratories		6		226
Devon Energy		55		1,428
Encana		90		422
Equities		30		327
Equitrans Midstream		32		428
Exxon Mobil		498		34,750
Hess		29		1,938
Kinder Morgan		219		4,636
Marathon Oil		130		1,765
Noble Energy		55		1,366
Occidental Petroleum		100		4,121
Schlumberger		274		11,015
				97,188
Financials— 13.6%
Aflac		163		8,623
Allstate		73		8,209
AXA Equitable Holdings		29		719
Bank of America		1,992		70,158
Bank of New York Mellon		201		10,116
Citigroup		539		43,061

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

4

Impact Shares NAACP Minority Empowerment ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Description	Shares		Fair Value
Discover Financial Services		73	$	6,192
Goldman Sachs Group		79		18,164
Hartford Financial Services Group		77		4,679
JPMorgan Chase		715		99,671
KeyCorp		224		4,534
Moody’s		38		9,022
Morgan Stanley		282		14,416
Prudential Financial		94		8,811
S&P Global		56		15,291
State Street		84		6,644
US Bancorp		332		19,684
Wells Fargo		911		49,012
				397,006
Health Care—11.7%
Abbott Laboratories		372		32,312
AbbVie		312		27,625
Agilent Technologies		71		6,057
Baxter International		111		9,282
Becton Dickinson		60		16,318
Biogen*		43		12,759
BioMarin Pharmaceutical*		26		2,198
Bristol-Myers Squibb		182		11,682
CVS Caremark		283		21,024
Danaher		96		14,734
Eli Lilly		103		13,537
Gilead Sciences		280		18,195
Illumina*		30		9,952
Jazz Pharmaceuticals*		14		2,090
Johnson & Johnson		572		83,438
Merck		289		26,284
Mylan*		119		2,392
Perrigo		30		1,550
Pfizer		626		24,527
ResMed		30		4,649
				340,605
Industrials—8.9%
3M		125		22,052
AGCO		14		1,081
Arconic		53		1,631
Boeing		63		20,523
Cintas		20		5,382
Cummins		34		6,085
Deere		73		12,648
Delta Air Lines		135		7,895
Eaton		95		8,999
Emerson Electric		135		10,295
FedEx		54		8,165
Fluor		29		547
Fortune Brands Home & Security		22		1,438
General Electric		947		10,569
Honeywell International		84		14,868
IHS Markit*		82		6,179
Illinois Tool Works		68		12,215
Ingersoll-Rand		31		4,121
Johnson Controls International		202		8,223
Lockheed Martin		29		11,292

Description	Shares		Fair Value
ManpowerGroup		16	$	1,554
Masco		66		3,167
Nielsen Holdings PLC		75		1,522
Northrop Grumman		20		6,879
Oshkosh		10		946
Owens Corning		26		1,693
Pentair		32		1,468
Raytheon		34		7,471
Resideo Technologies*		19		227
Rockwell Automation		28		5,675
Roper Technologies		23		8,147
United Parcel Service, Cl B		153		17,910
United Technologies		91		13,628
Verisk Analytics, Cl A		36		5,376
Westinghouse Air Brake Technologies		9		700
WW Grainger		11		3,724
Xylem		42		3,309
				257,604
Information Technology—28.7%
Accenture, Cl A		158		33,270
Adobe*		121		39,907
Advanced Micro Devices*		235		10,777
Analog Devices		92		10,933
Apple		61		17,913
Cisco Systems		1,114		53,427
Dell Technologies, Cl C*		68		3,495
DXC Technology		69		2,594
First Solar*		20		1,119
Hewlett Packard Enterprise		366		5,805
HP		420		8,631
Intel		1,148		68,708
International Business Machines		224		30,025
Intuit		61		15,978
Lam Research		44		12,866
Mastercard, Cl A		109		32,546
Maxim Integrated Products		68		4,183
Micron Technology*		296		15,919
Microsoft		1,298		204,695
Motorola Solutions		40		6,446
NortonLifeLock		164		4,185
NVIDIA		157		36,942
Oracle		654		34,649
QUALCOMM		290		25,587
salesforce.com*		195		31,715
Seagate Technology		64		3,808
Texas Instruments		243		31,174
Visa, Cl A		376		70,650
Western Digital		50		3,173
Workday, Cl A*		36		5,920
Xerox Holdings		58		2,138
Xilinx		65		6,355
				835,533
Materials—2.2%
Air Products & Chemicals		27		6,345
Alcoa*		24		516

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

5

Impact Shares NAACP Minority Empowerment ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Description	Shares		Fair Value
Avery Dennison		20	$	2,617
Ball		75		4,850
Eastman Chemical		17		1,347
Ecolab		31		5,983
FMC		17		1,697
Freeport-McMoRan, Cl B		172		2,257
Huntsman		34		821
International Flavors & Fragrances		8		1,032
International Paper		46		2,118
Linde		118		25,122
Livent*		30		257
Mosaic		42		909
Newmont Goldcorp		65		2,824
PPG Industries		27		3,604
Sonoco Products		20		1,235
				63,534
Real Estate—1.7%
AvalonBay Communities‡		32		6,710
CBRE Group, Cl A*		69		4,229
Equinix‡		17		9,923
Healthpeak Properties‡		104		3,585
Jones Lang LaSalle		11		1,915
Kilroy Realty‡		22		1,846
Prologis‡		138		12,301
Welltower‡		82		6,706
Weyerhaeuser‡		83		2,507
				49,722
Utilities—2.1%
AES		76		1,512
American Electric Power		57		5,387
American Water Works		40		4,914
CMS Energy		35		2,200
Duke Energy		77		7,023
Entergy		23		2,755
Eversource Energy		38		3,233
Exelon		105		4,787
NextEra Energy		56		13,561
PG&E*		88		957
PPL		80		2,870
Public Service Enterprise Group		57		3,366
Sempra Energy		32		4,847
Xcel Energy		57		3,619
				61,031
Total Common Stock
(Cost $2,630,882)				2,931,658
Total Investments - 100.7%
(Cost $2,630,882)			$	2,931,658

Percentages are based on Net Assets of $2,909,874.

^††  More narrow industries are utilized for compliance purposes whereas broad sectors are utilized for reporting purposes.

* Non-income producing security.

^‡  Real Estate Investment Trust

Cl — Class

PLC — Public Limited Company

As of December 31, 2019, all of the Fund’s investments were considered Level 1 in accordance with the authoritative guidance under U.S. Generally Accepted Accounting Principles.

For the period ended December 31, 2019, there were no transfers in or out of Level 3.

For more information on valuation inputs, see Note 2 in Notes to Financial Statements.

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

6

Impact Shares Sustainable Development Goals Global Equity ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Sector Weightings^†

^† Percentages based on total investments.

Description		Shares		Fair Value
COMMON STOCK — 94.3%
Australia — 7.0%
AGL Energy			373	$	5,374
Australia & New Zealand Banking Group			1,653		28,570
Brambles			943		7,756
Dexus‡			432		3,547
Fortescue Metals Group			1,175		8,814
GPT Group‡			787		3,093
Mirvac Group‡			1,639		3,657
National Australia Bank			1,568		27,101
Qantas Airways			436		2,175
Santos			1,030		5,913
Stockland‡			946		3,067
Telstra			2,303		5,721
Vicinity Centres‡			2,686		4,693
Westpac Banking			1,881		31,983
Woodside Petroleum			534		12,883
Total Australia					154,347
Austria — 0.2%
OMV			61		3,427
Total Austria					3,427
Canada — 2.3%
CAE			84		2,224
First Quantum Minerals			1,234		12,515
Gildan Activewear			69		2,040
Kinross Gold*			481		2,282
Newmont Goldcorp			55		2,391
Suncor Energy	��		554		18,157
Teck Resources, Cl B			415		7,197
Thomson Reuters			70		5,007
Total Canada					51,813

Description	Shares		Fair Value
China — 1.2%
Bank of Communications, Cl H		7,909	$	5,623
BYD, Cl H		274		1,366
China Mobile		831		6,985
Lenovo Group		18,094		12,144
Towngas China*		59		41
Total China				26,159
Colombia — 0.0%
Millicom International Cellular		1		48
Total Colombia				48
Denmark — 5.0%
Coloplast, Cl B		128		15,879
GN Store Nord		149		7,007
ISS		156		3,743
Novo Nordisk, Cl B		1,085		62,973
Vestas Wind Systems		200		20,210
Total Denmark				109,812
Finland — 0.2%
Neste		124		4,315
Total Finland				4,315
France — 3.9%
Aeroports de Paris		10		1,975
AirFrance-KLM*		36		401
ALD		11		171
AXA		452		12,731
Credit Agricole		284		4,117
Gecina‡		10		1,790
JCDecaux		8		247
Kering		35		22,975
Legrand		89		7,252
Peugeot		165		3,942
Rexel		231		3,069
Societe Generale		763		26,544
Total France				85,214
Germany — 2.4%
adidas		79		25,680
Covestro		44		2,046
Henkel & KGaA		32		3,015
LANXESS		103		6,911
Muenchener Rueckversicherungs-Gesellschaft in Muenchen		53		15,635
Telefonica Deutschland Holding		30		87
Total Germany				53,374
Hong Kong — 0.1%
Li & Fung		395		43
New World Development		45		62
Swire Properties		532		1,765
Total Hong Kong				1,870
Ireland — 2.0%
NortonLifeLock		1,703		43,460
Total Ireland				43,460

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

7

Impact Shares Sustainable Development Goals Global Equity ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Description	Shares		Fair Value
Malaysia — 0.1%
IOI		195	$	220
Malayan Banking		861		1,819
Sime Darby		502		272
Sime Darby Plantation		200		266
Total Malaysia				2,577
Mexico — 0.5%
Grupo Financiero Banorte, Cl O		2,051		11,451
Total Mexico				11,451
Netherlands — 3.3%
ABN AMRO Bank		103		1,874
Akzo Nobel		325		33,043
APERAM		10		320
ING Groep		2,864		34,336
Unilever		41		2,356
Total Netherlands				71,929
Norway — 0.8%
DNB		966		18,045
Total Norway				18,045
Philippines — 0.0%
Ayala		1		16
Total Philippines				16
Singapore — 0.5%
City Developments		414		3,371
Olam International		308		415
Sembcorp Industries		253		431
Wilmar International		2,462		7,542
Total Singapore				11,759
South Africa — 0.8%
Barloworld		144		1,159
Gold Fields		131		897
Sasol		86		1,864
Standard Bank Group		881		10,588
Vodacom Group		361		2,972
Total South Africa				17,480
Spain — 0.4%
Enagas		89		2,270
Prosegur Cia de Seguridad		86		355
Repsol		449		7,016
Repsol*		449		213
Total Spain				9,854
Sweden — 7.6%
Assa Abloy, Cl B		1,154		26,982
Atlas Copco, Cl A		372		14,838
Atlas Copco, Cl B		430		14,930
BillerudKorsnas		89		1,052
SKF, Cl B		410		8,291
Telefonaktiebolaget LM Ericsson, Cl A		441		4,021
Telefonaktiebolaget LM Ericsson, Cl B		11,315		98,528
Total Sweden				168,642

Description	Shares		Fair Value
Switzerland — 9.3%
Nestle		1,011	$	109,457
Roche Holding – (BR)		9		2,860
Roche Holding – (GENUS)		265		85,978
SGS		1		2,739
Swisscom		8		4,237
Total Switzerland				205,271
United Kingdom — 0.1%
British Land PLC‡		10		85
Investec PLC		2		12
Lloyds Banking Group PLC		1,843		1,526
RELX PLC		28		707
Standard Chartered PLC		18		170
United Utilities Group PLC		2		25
WPP PLC		8		113
Total United Kingdom				2,638
United States — 46.6%
Communication Services—2.7%
Walt Disney		419		60,600
Consumer Discretionary—5.3%
Ford Motor		1,147		10,667
General Motors		451		16,507
NIKE, Cl B		472		47,818
Starbucks		477		41,938
				116,930
Consumer Staples—5.7%
Colgate-Palmolive		311		21,409
Kimberly-Clark		110		15,131
Procter & Gamble		708		88,429
				124,969
Energy—2.2%
ConocoPhillips		438		28,483
Hess		93		6,213
Occidental Petroleum		324		13,352
				48,048
Financials—5.5%
Bank of America		2,237		78,787
Goldman Sachs Group		106		24,372
Morgan Stanley		367		18,761
				121,920
Health Care—9.8%
AbbVie		536		47,458
Biogen*		81		24,035
Merck		1,043		94,861
Pfizer		1,299		50,895
				217,249
Industrials—3.4%
3M		182		32,108
Cintas		37		9,956
Johnson Controls International PLC		359		14,615
ManpowerGroup		26		2,525
Nielsen Holdings PLC		110		2,233

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

8

Impact Shares Sustainable Development Goals Global Equity ETF

Schedule of Investments

December 31, 2019 (Unaudited)

Description	Shares		Fair Value
Rockwell Automation		46	$	9,323
Xylem		55		4,334
				75,094
Information Technology—11.1%
Hewlett Packard Enterprise		4,163		66,025
HP		683		14,036
Intel		1,083		64,818
Microsoft		637		100,455
				245,334
Materials—0.6%
Avery Dennison		33		4,317
Newmont Goldcorp		174		7,560
				11,877
Utilities—0.3%
AES		287		5,711
Total United States				1,027,732
Total Common Stock
(Cost $1,961,834)				2,081,233
PREFERRED STOCK — 0.3%
Germany — 0.3%
Henkel & KGaA* (A)		57		5,895
Total Germany				5,895
Total Preferred Stock
(Cost $6,524)				5,895
SHORT-TERM INVESTMENT — 5.3%
Invesco Government & Agency, Cl Institutional, 1.500%(B)		117,892		117,892
Total Short-Term Investment (Cost $117,892)				117,892
Total Investments - 99.9%
(Cost $2,086,250)			$	2,205,020

Percentages are based on Net Assets of $2,207,279.

^‡  Real Estate Investment Trust

* Non-income producing security.

(A) There is currently no rate available.

(B) Rate shown represents the7-day effective yield as of December 31, 2019.

Cl — Class

PLC — Public Limited Company

As of December 31, 2019, all of the Fund’s investments were considered Level 1 in accordance with the authoritative guidance under U.S. Generally Accepted Accounting Principles.

For the period ended December 31, 2019, there were no transfers in or out of Level 3.

For more information on valuation inputs, see Note 2 in the Notes to Financial Statements.

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

9

Impact Shares Trust I

Statements of Assets and Liabilities

December 31, 2019 (Unaudited)

	Impact Shares YWCA Women’s Empowerment ETF		Impact Shares NAACP Minority Empowerment ETF		Impact Shares Sustainable Development Goals Global Equity ETF
Assets:
Investments, at Cost		$      5,976,280		$      2,630,882		$      2,086,250
Investments, at Fair Value		$      6,914,206		$      2,931,658		$      2,205,020
Cash and Cash Equivalents		35		—		3
Receivable for Expense Reimbursement		18,782		7,181		4,037
Dividend Receivable		5,216		1,962		2,731
Reclaims Receivable		34		34		1,259
Total Assets		6,938,273		2,940,835		2,213,050
Liabilities:
Payable to Trustees		18,782		7,181		4,037
Advisory Fees Payable		4,333		1,676		1,390
Due to Custodian		—		22,104		—
Foreign Currency Payable, at Value (Proceeds $-, $- and $341)		—		—		344
Total Liabilities		23,115		30,961		5,771
Net Assets		$      6,915,158		$      2,909,874		$      2,207,279
Net Assets Consist of:
Paid-in Capital		$      5,998,576		$      2,631,290		$      2,097,592
Total Distributable Earnings		916,582		278,584		109,687
Net Assets		$      6,915,158		$      2,909,874		$      2,207,279
Outstanding Shares of Beneficial Interest (unlimited authorization — no par value)		300,001		125,000		100,001
Net Asset Value, Offering and Redemption Price Per Share		$                23.05		$                23.28		$                22.07

Amounts designated as “-“ are either $0 or have been rounded to $0.

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

10

Impact Shares Trust I

Statements of Operations

For the Period Ended December 31, 2019 (Unaudited)

	Impact Shares YWCA Women’s Empowerment ETF		Impact Shares NAACP Minority Empowerment ETF		Impact Shares Sustainable Development Goals Global Equity ETF
Investment Income:
Dividend Income	$	64,296	$	23,163	$	13,840
Less: Foreign Taxes Withheld		—		—		(183)
Total Investment Income		64,296		23,163		13,657
Expenses:
Advisory Fees		22,320		8,533		4,797
Total Expenses		22,320		8,533		4,797
Net Investment Income		41,976		14,630		8,860
Net Realized Gain (Loss) on:
Investments		4,854		1,162		(23)
Net Realized Gain on Foreign Currency Transactions		—		—		3
Net Realized Gain (Loss) on Investments and Foreign Currency Transactions		4,854		1,162		(20)
Net Change in Unrealized Appreciation:
Investments		751,396		219,752		104,383
Foreign Currency Translations		—		—		3
Net Change in Unrealized Appreciation on Investments and Foreign Currency Translations		751,396		219,752		104,386
Net Realized and Unrealized Gain on Investments		756,250		220,914		104,366
Net Increase in Net Assets Resulting from Operations	$	798,226	$	235,544	$	113,226

Amounts designated as “-“are either $0 or have been rounded to $0.

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

11

Impact Shares Trust I

Statements of Changes in Net Assets

	Impact Shares YWCA Women’s Empowerment ETF
	Period Ended December 31, 2019 (Unaudited)		Period Ended June 30, 2019(1)
Operations:
Net Investment Income	$	41,976	$	36,815
Net Realized Gain (Loss) on Investments		4,854		(23,918)
Net Change in Unrealized Appreciation on Investments		751,396		186,530
Net Increase in Net Assets Resulting from Operations		798,226		199,427
Distributions		(42,078)		(38,993)
Capital Share Transactions:
Issued		2,032,827		3,965,749
Increase in Net Assets from Capital Share Transactions		2,032,827		3,965,749
Total Increase in Net Assets		2,788,975		4,126,183
Net Assets:
Beginning of Period		4,126,183		—
End of Period	$	6,915,158	$	4,126,183
Share Transactions:
Issued		100,000		200,001
Net Increase in Shares Outstanding from Share Transactions		100,000		200,001

Amounts designated as “-“are either $0 or have been rounded to $0.

⁽¹⁾The Fund commenced operations on August 24, 2018.

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

12

Impact Shares Trust I

Statements of Changes in Net Assets

	Impact Shares NAACP Minority Empowerment ETF
	Period Ended December 31, 2019 (Unaudited)		Period Ended June 30, 2019(1)
Operations:
Net Investment Income	$	14,630	$	29,212
Net Realized Gain on Investments		1,162		33,358
Net Change in Unrealized Appreciation on Investments		219,752		81,024
Net Increase in Net Assets Resulting from Operations		235,544		143,594
Distributions		(14,668)		(29,967)
Return of Capital		–		(37)
Capital Share Transactions:
Issued		573,717		3,113,767
Redeemed		(106,253)		(1,005,823)
Increase in Net Assets from Capital Share Transactions		467,464		2,107,944
Total Increase in Net Assets		688,340		2,221,534
Net Assets:
Beginning of Period		2,221,534		—
End of Period	$	2,909,874	$	2,221,534
Share Transactions:
Issued		25,000		155,000
Redeemed		(5,000)		(50,000)
Net Increase in Shares Outstanding from Share Transactions		20,000		105,000

Amounts designated as “-“are either $0 or have been rounded to $0.

⁽¹⁾The Fund commenced operations on July 18, 2018.

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

13

Impact Shares Trust I

Statements of Changes in Net Assets

	Impact Shares Sustainable Development Goals Global Equity ETF
	Period Ended December 31, 2019 (Unaudited)		Period Ended June 30, 2019(1)
Operations:
Net Investment Income	$	8,860	$	28,019
Net Realized Gain (Loss) on Investments and Foreign Currency Transactions		(20)		33,316
Net Change in Unrealized Appreciation on Investments and Foreign Currency Translations		104,386		14,423
Net Increase in Net Assets Resulting from Operations		113,226		75,758
Distributions		(9,427)		(26,447)
Capital Share Transactions:
Issued		1,076,289		2,000,020
Redeemed		–		(1,022,140)
Increase in Net Assets from Capital Share Transactions		1,076,289		977,880
Total Increase in Net Assets		1,180,088		1,027,191
Net Assets:
Beginning of Period		1,027,191		—
End of Period	$	2,207,279	$	1,027,191
Share Transactions:
Issued		50,000		100,001
Redeemed		–		(50,000)
Net Increase in Shares Outstanding from Share Transactions		50,000		50,001

Amounts designated as “-“are either $0 or have been rounded to $0.

⁽¹⁾The Fund commenced operations on September 20, 2018.

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

14

Impact Shares Trust I

Financial Highlights

Selected Per Share Data & Ratios

For the six month period ended December 31, 2019 (Unaudited) and the period ended June 30,

For a Share Outstanding Throughout the Period

	Net Asset Value, Beginning of Period ($)		Net Investment Income ($)*		Net Realized and Unrealized Gain on Investments ($)		Total from Operations ($)		Distributions from Net Investment Income ($)			Distributions from Net Realized Capital Gains ($)		Return of Capital ($)		Total Distributions ($)			Net Asset Value, End of Period ($)		Market Price, End of Period ($)		Total Return(%)(1)		Net Assets End of Period ($) (000)		Ratio of Expenses to Average Net Assets (%)(2)			Ratio of Net Investment Income to Average Net Assets (%)(2)		Portfolio Turnover (%)(3)
Impact Shares YWCA Women’s Empowerment ETF
2019**		20.63		0.15		2.41		2.56		(0.14	)		—		—		(0.14	)		23.05		23.07		12.44		6,915		0.75			1.41		—
2019(4)		20.00		0.27		0.63		0.90		(0.25	)		(0.02)		—^		(0.27	)		20.63		20.62		4.71		4,126		0.76	(7)		1.60		7
Impact Shares NAACP Minority Empowerment ETF
2019**		21.16		0.14		2.11		2.25		(0.13	)		—		—		(0.13	)		23.28		23.30		10.67		2,910		0.75			1.29		—
2019(5)		20.00		0.28		1.17		1.45		(0.28	)		(0.01)		—		(0.29	)		21.16		21.11		7.37		2,222		0.75	(8)		1.46		19
Impact Shares Sustainable Development Goals Global Equity ETF
2019**		20.54		0.15		1.52		1.67		(0.14	)		—		—		(0.14	)		22.07		22.26		8.15		2,207		0.75			1.39		—
2019(6)		20.00		0.32		0.60		0.92		(0.38	)		—		—		(0.38	)		20.54		20.66		4.67		1,027		0.75	(9)		2.08		25

Amounts designated as “-“are either $0 or have been rounded to $0.

*	Per share data calculated using average shares method.
**	For the six months ended December 31, 2019.
^	Amount is less than 0.005.
(1)	Total return is based on the change in net asset value of a share during the year or period and assumes reinvestment of dividends and distributions at net asset value. Total return is for the period indicated and periods of less than one year have not been annualized. The return shown does not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares.
(2)	Annualized.
(3)	Portfolio turnover rate is for the period indicated and has not been annualized. Excludes effect of in-kind transfers.
(4)	Commenced operations on August 24, 2018.
(5)	Commenced operations on July 18, 2018.
(6)	Commenced operations on September 20, 2018.
(7)	The ratio of Expenses to Average Net Assets includes the voluntary expense reimbursements (See Note 3). If these reimbursements were excluded, the ratio would have been 2.24% for the period ended June 30, 2019.
(8)	The ratio of Expenses to Average Net Assets includes the voluntary expense reimbursements (See Note 3). If these reimbursements were excluded, the ratio would have been 1.66% for the period ended June 30, 2019.
(9)	The ratio of Expenses to Average Net Assets includes the voluntary expense reimbursements (See Note 3). If these reimbursements were excluded, the ratio would have been 1.38% for the period ended June 30, 2019.

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

15

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

1. ORGANIZATION

Impact Shares Trust I (the “Trust”), anopen-end management investment company organized as a Delaware statutory trust pursuant to a Declaration of Trust dated May 19, 2016. The Trust is registered with the Securities and Exchange Commission (the “Commission”) under the Investment Company Act of 1940 (the “1940 Act”), as amended, as anopen-end management investment company with three separate exchange-traded funds or series. The financial statements herein and the related notes are those of Impact Shares YWCA Women’s Empowerment ETF (the “Women’s ETF”), Impact Shares NAACP Minority Empowerment ETF (the “Minority ETF”) and Impact Shares Sustainable Development Goals Global Equity ETF (the “Sustainable Development ETF”) (each a “Fund” and collectively, the “Funds”). The Funds seek to provide investment results that, before fees and expenses, track the total return performance of the Morningstar^® Women’s Empowerment Index, the Morningstar^® Minority Empowerment Index and the Morningstar^® Societal Development Index (the “Underlying Indices” or “Index”), respectively. The Funds are classified as“non-diversified” funds under the 1940 Act. Impact Shares, Corp. (the “Adviser”) serves as the investment adviser for the Funds and is subject to the supervision of the Board of Trustees (the “Board”). The Adviser is responsible for managing the investment activities of the Funds, the Funds’ business affairs and other administrative matters. The Adviser is a nonprofit corporation organized under the laws of Texas and is tax exempt under Section 501(c)(3) of the Internal Revenue Code.

The Women’s ETF commenced operations on August 24, 2018.

The NAACP Minority ETF commenced operations on July 18, 2018.

The Sustainable Development ETF commenced operations on September 20, 2018.

Shares of the Funds (“Shares”) are listed and traded on NYSE Arca, Inc. Market prices for the Shares may be different from their net asset value (“NAV”). The Funds will issue and redeem Shares on a continuous basis at NAV only in large blocks of Shares, each of which comprises 50,000 Shares, called “Creation Units”. Creation Units will be issued and redeemed principallyin-kind for securities included in the Funds’ Underlying Indices. Once created, Shares will trade in a secondary market at market prices that change throughout the day in amounts less than a Creation Unit.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of the significant accounting policies followed by the Funds:

Use of Estimates — The Funds are registered investment companies under Accounting Standard Codification in Topic 946 by the U.S. Financial Accounting Standards Board. The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could materially differ from those estimates.

Security Valuation — Securities listed on a securities exchange, market or automated quotation system for which quotations are readily available (except for securities traded on the NASDAQ Stock Market (the “NASDAQ”)), including securities traded over the counter, are valued at the last quoted sale price on the primary exchange or market (foreign or domestic) on which they are traded (or at approximately 4:00 pm Eastern Time if a security’s primary exchange is normally open at that time), or, if there is no such reported sale, at the most recent quoted bid. For securities traded on NASDAQ, the NASDAQ Official Closing Price will be used. The prices for foreign securities are reported in local currency and converted to U.S. dollars using spot currency exchange rates. If available, debt securities are priced based upon valuations provided by independent, third-party pricing agents. Such values generally reflect the last reported sales price if the security is actively traded. The third-party pricing agents may also value debt securities at an evaluated bid price by employing methodologies that utilize actual market transactions, broker-supplied valuations, or other methodologies designed to identify the fair value for such securities. Debt obligations with remaining maturities of sixty days or less may be valued at their amortized cost, if the Funds’ Fair Value Committee concludes it approximates market value after taking into account factors such as credit, liquidity and interest rate conditions as well as issuer specific factors. Foreign securities listed on foreign exchanges are valued based on quotations from the primary market in which they are traded and are translated from the local currency into U.S. dollars using current exchange rates. Foreign securities may trade on weekends or other days

16

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

when the Fund does not calculate NAV. As a result, the market value of these investments may change on days when you cannot buy or redeem shares of the Fund. Prices for most securities held in the Funds are provided daily by recognized independent pricing agents. If a security price cannot be obtained from an independent, third-party pricing agent, the Funds seek to obtain a bid price from at least one independent broker. Securities for which market prices are not “readily available” are valued in accordance with fair value procedures established and implemented by the Board. Some of the more common reasons that may necessitate that a security be valued using Fair Value Procedures include: the security’s trading has been halted or suspended; the security has beende-listed from a national exchange; the security’s primary trading market is temporarily closed at a time when under normal conditions it would be open; the security has not been traded for an extended period of time; the security’s primary pricing source is not able or willing to provide a price; or trading of the security is subject to local government-imposed restrictions. In addition, the Funds may fair value their securities if an event that may materially affect the value of the Funds’ securities that traded outside of the United States (a “Significant Event”) has occurred between the time of the security’s last close and the time that the Funds calculate their net asset value. A Significant Event may relate to a single issuer or to an entire market sector. Events that may be Significant Events include: government actions, natural disasters, armed conflict, acts of terrorism and significant market fluctuations. If the Adviser becomes aware of a Significant Event that has occurred with respect to a security or group of securities after the closing of the exchange or market on which the security or securities principally trade, but before the time at which the Funds calculate their net asset value, it may request that a Committee meeting be called. When a security is valued in accordance with the fair value procedures, the Committee will determine the value after taking into consideration relevant information reasonably available to the Committee .In accordance with the authoritative guidance on fair value measurements and disclosure under U.S. GAAP, the Funds disclose fair value of their investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure the fair value. The objective of a fair value measurement is to determine the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (an exit price). Accordingly, the fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below:

• Level 1 – Unadjusted quoted prices in active markets for identical, unrestricted assets or liabilities that the Funds have the ability to access at the measurement date;

• Level 2 – Quoted prices which are not active, or inputs that are observable (either directly or indirectly) for substantially the full term of the asset or liability; and

• Level 3 – Prices, inputs or exotic modeling techniques which are both significant to the fair value measurement and unobservable (supported by little or no market activity).

The valuation techniques used by the Funds to measure fair value during the period ended December 31, 2019 maximized the use of observable inputs and minimized the use of unobservable inputs.

For the period ended December 31, 2019, there have been no significant changes to the Funds’ fair valuation methodologies.

Federal Income Taxes — It is the Funds’ intention to qualify as a regulated investment company for Federal income tax purposes by complying with the appropriate provisions of Subchapter M of the Internal Revenue Code of 1986 (the “Code”), as amended. Accordingly, no provisions for federal income taxes have been made in the financial statements.

The Funds evaluate tax positions taken or expected to be taken in the course of preparing the Funds’ tax returns to determine whether it is “more-likely-than not” (i.e., greater than50-percent) that each tax position will be sustained upon examination by a taxing authority based on the technical merits of the position. Tax positions not deemed to meet themore-likely-than-not threshold are recorded as a tax benefit or expense in the current period. The Funds did not record any tax provision in the current period. However, management’s conclusions regarding tax positions taken may be subject to review and adjustment at a later date based on factors including, but not limited to, examination by tax authorities (i.e., the last 3 year ends, as applicable),on-going analysis of and changes to tax laws, regulations and interpretations thereof. As of and during the period ended December 31, 2019, the Funds did not have a liability for any unrecognized tax benefits. The Funds recognize interest

17

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

and penalties, if any, related to unrecognized tax benefits as income tax expense in the Statement of Operations. For the period ended December 31, 2019, the Funds did not recognize any interest or penalties.

Security Transactions and Investment Income — Security transactions are accounted for on trade date. Costs used in determining realized gains and losses on the sale of investment securities are based on specific identification. Dividend income is recorded on theex-dividend date. Interest income is recognized on the accrual basis. Withholding taxes and reclaims on foreign dividends have been provided for in accordance with the Funds’ understanding of the applicable country’s tax rules and rates.

Dividends and Distributions to Shareholders — The Funds intend to declare and pay dividends of net investment income quarterly and to pay any capital gain distributions on an annual basis. All distributions are recorded onex-dividend date.

Cash and Cash Equivalents — Idle cash may be swept into various time deposits and is classified as cash and cash equivalents on the Statement of Assets and Liabilities. The Funds maintain cash in bank deposit accounts which, at times, may exceed United States federally insured limits. Amounts swept overnight are available on the next business day.

Cash Overdraft Charges — Per the terms of an agreement with the Bank of New York Mellon, if a Fund has a cash overdraft on a given day, it will be assessed an overdraft charge. Cash overdraft charges are included in other fees on the Statement of Operations.

Creation Units — The Funds issue and redeem shares (“Shares”) at Net Asset Value (“NAV”) and only in large blocks of 50,000 Shares (each block of Shares for the Funds are called a “Creation Unit” or multiples thereof). Purchasers of Creation Units at NAV must pay a standard creation transaction fee of $500 per transaction. The fee is a single charge and will be the same regardless of the number of Creation Units purchased by an investor on the same day. An Authorized Participant who holds Creation Units (“Authorized Participants”) and wishes to redeem at NAV would also pay a standard redemption transaction fee of $500 per transaction to the custodian on the date of such redemption, regardless of the number of Creation Units redeemed that day. Creations and redemptions are also subject to an additional variable charge of up to 1% of the net asset value per Creation Unit, inclusive of the standard transaction fee, for(i) in-kind creations or redemptions effected outside the normal Clearing Process, (ii) in whole or partial cash creations, (iii) in whole or partial cash redemptions or(iv) non-standard orders. The variable component is primarily designed to covernon-standard charges, e.g., brokerage, taxes, foreign exchange, execution, market impact and other costs and expenses related to the execution of trades resulting from such transaction. In all cases, the Transaction Fee will be limited in accordance with the requirements of the SEC applicable to management investment companies offering redeemable securities. The Fund may determine not to charge the variable portion of a Transaction Fee on certain orders when Impact Shares has determined that doing so is in the best interests of Fund shareholders, e.g., for redemption orders that facilitate the rebalance of the Fund’s portfolio in a more tax efficient manner than could be achieved without such order. The variable portion of a Transaction Fee may be higher or lower than the trading expenses incurred by a Fund with respect to the transaction.

Except when aggregated in Creation Units, Shares are not redeemable securities of the Funds. Shares of the Funds may only be purchased or redeemed by certain financial institutions (“Authorized Participants”). 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 Depository Trust Company (“DTC”) participant and, in each case, must have executed an Authorized Participant Agreement with the Funds’ distributor. Most retail investors will not qualify as Authorized Participants or have the resources to buy and sell whole Creation Units. Therefore, they will be unable to purchase or redeem the Shares directly from the Funds. Rather, most retail investors will purchase Shares in the secondary market with the assistance of a broker and will be subject to customary brokerage commissions or fees.

18

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

If a Creation Unit is purchased or redeemed in cash, a higher transaction fee will be charged. The following table discloses the Creation Unit breakdown based on the NAV as of December 31, 2019:

	Creation Unit Shares	Creation Transaction Fee	Value	Redemption Transaction Fee
Impact Shares YWCA Women’s Empowerment ETF	50,000	$          500	$      1,152,500	$          500
Impact Shares NAACP Minority Empowerment ETF	50,000	500	1,164,000	500
Impact Shares Sustainable Development Goals Global Equity ETF	50,000	500	1,103,500	500

Foreign Currency Translation — The books and records of the Funds are maintained in U.S. dollars. Investment securities and other asset and liabilities denominated in a foreign currency are translated into U.S. dollars on the date of valuation. Purchases and sales of investment securities, income and expenses are translated into U.S. dollars at the relevant rates of exchange prevailing on the respective dates of such transactions. The Funds do not isolate that portion of realized or unrealized gains and losses resulting from changes in the foreign exchange rate from fluctuations arising from changes in the market prices of the securities. These gains and losses are included in net realized and unrealized gains and losses on investments on the Statement of Operations. Net realized and unrealized gains and losses on foreign currency transactions represent net foreign exchange gains or losses from foreign currency exchange contracts, disposition of foreign currencies, currency gains or losses realized between trade and settle dates on securities transactions and the difference between the amount of the investment income and foreign withholding taxes recorded on the Funds’ books and the U.S. dollar equivalent amounts actually received or paid.

Indemnifications — In the normal course of business, the Funds enter into contracts that provide general indemnifications. The Funds’ maximum exposure under these arrangements is dependent on future claims that may be made against the Funds and, therefore, cannot be established; however, based on experience, the risk of loss from such claims is considered remote.

3. AGREEMENTS

Investment Advisory Agreement

The Adviser serves as investment adviser to the Funds, pursuant to an investment advisory agreement (“Advisory Agreement”). The Adviser arranges for transfer agency, custody, fund administration and accounting, and othernon-distribution related services necessary for the Funds to operate. The Adviser administers the Funds’ business affairs, provides office facilities and equipment and certain clerical, bookkeeping and administrative services, and provides its officers and employees to serve as officers or Trustees of the Trust.

For the services it provides to the Funds, the Adviser receives a fee, which is calculated daily and paid monthly, at an annual rate of 0.75% of average daily net assets of the Funds. Under the Advisory Agreement, the Adviser is responsible for substantially all expenses of the Fund, including the cost of transfer agency, custody, fund administration, legal, audit and other services except for distribution and service fees payable pursuant to a Rule12b-1 plan, if any; salaries and other compensation or expenses, including travel expenses, of any of the Funds’ executive officers and employees, if any, who are not officers, directors, shareholders, members, partners or employees of the Adviser or its subsidiaries or affiliates; taxes and governmental fees, if any, levied against the Funds; brokerage fees and commissions, and other portfolio transaction expenses incurred by or for the Funds; expenses of the Funds’ securities lending (if any), including any securities lending agent fees, as governed by a separate securities lending agreement; costs, including interest expenses, of borrowing money or engaging in other types of leverage financing; fees and expenses of any underlying funds or other pooled vehicles in which the Funds invest; dividend and interest expenses on short positions taken by the Funds; fees and expenses, including travel expenses, and fees and expenses of legal counsel retained for their benefit, of Trustees who are not officers, employees, partners, shareholders or members of the Adviser or its subsidiaries or affiliates; extraordinary expenses, including extraordinary legal expenses, as may arise, including, without limitation, expenses incurred in connection with litigation, proceedings, other claims, contractual arrangements with Partner Nonprofits and the legal obligations of the Funds to indemnify its Trustees, officers, employees, shareholders, distributors, and agents with respect thereto; fees and expenses, including legal, printing and mailing, solicitation and other fees and expenses associated with and incident to shareholder meetings and proxy

19

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

solicitations involving shareholder proposals or othernon-routine matters that are not initiated or proposed by the Funds’ management; organizational and offering expenses of the Funds, including registration (including Share registration fees), legal, marketing, printing, accounting and other expenses, associated with organizing the Funds in its state of jurisdiction and in connection with the initial registration of the Funds under the 1940 Act and the initial registration of its shares under the Securities Act (i.e., through the effectiveness of the Funds’ initial registration statement on FormN-1A); fees and expenses associated with seeking, applying for and obtaining formal exemptive,no-action and/or other relief from the SEC; and expenses of the Funds which are capitalized in accordance with generally accepted accounting principles (the “Excluded Expenses”).

Certain officers or interested trustees of the Trust are also officers or employees of the Advisor or its affiliates. They receive no fees for serving as officers of the Trust.

The expense limitation is set at an annual rate of 0.75%. The Advisor has contractually agreed to reimburse the Funds for any expenses in excess of the limit. This expense limitation will continue through at least October 28, 2020, and may not be terminated prior to this date without the action or consent of the Board.

Distribution Agreement

SEI Investments Distribution Co. (the “Distributor”) serves as the Funds’ underwriter and distributor of Shares pursuant to a Distribution Agreement. Under the Distribution Agreement, the Distributor, as agent, receives orders to purchase shares in Creation Units and transmits such orders to the Funds’ custodian and transfer agent. The Distributor has no obligation to sell any specific quantity of Fund shares. The Distributor bears the following costs and expenses relating to the distribution of shares: (i) the expenses of maintaining its registration or qualification as a dealer or broker under federal or state laws; (ii) filing fees; and (iii) all other expenses incurred in connection with the distribution services, that are not reimbursed by the Adviser, as contemplated in the Distribution Agreement. The Distributor does not maintain any secondary market in Fund Shares.

The Funds have adopted a Distribution and Service Plan (the “Plan”) pursuant to Rule12b-1 under the 1940 Act. In accordance with the Plan, the Funds are authorized to pay an amount up to 0.25% of their average net assets each year for certain distribution-related activities. For the period ended December 31, 2019, no fees were charged by the Distributor under the Plan. No payments have yet been authorized by the Board, nor are any such expected to be made by a Fund under the Plan during the current fiscal year.

For the period ended December 31, 2019, the Funds incurred Trustee fees of $18,782, $7,181, and $4,037 for the Women’s ETF, Minority ETF, and Sustainable Development ETF, respectively, for which the Adviser voluntarily agreed to reimburse the Funds. Of these amounts, $18,782, $7,181, and $4,037 remain payable to the Trustees and are shown as a receivable from the Adviser on the Statements of Assets and Liabilities for the Women’s ETF, Minority ETF, and Sustainable Development ETF, respectively, as of December 31, 2019. Trustee fees are shown gross within expenses with a corresponding expense reimbursement on the Statement of Operations as such fees were voluntarily paid by the Adviser on behalf of the Funds. The Adviser does not have the ability to recoup these voluntary expense reimbursements in the future.

Administrator, Custodian and Transfer Agent

SEI Investments Global Funds Services (the “Administrator”) serves as the Funds’ Administrator pursuant to an Administration Agreement. The Bank of New York Mellon (the “Custodian” and “Transfer Agent”) serves as the Funds’ Custodian and Transfer Agent pursuant to a Custodian Agreement and Transfer Agency Services Agreement. The Adviser of the Funds pays these fees.

Certain officers of the Trust may also be officers of the Administrator or its affiliates. They receive no fees for serving as officers of the Trust.

20

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

4. INVESTMENT TRANSACTIONS

For the period ended December 31, 2019, the purchases and sales of investments in securities, excludingin-kind transactions, long-term U.S. Government and short-term securities were:

	Purchases		Sales
Impact Shares YWCA Women’s Empowerment ETF	$	14,682	$	27,437
Impact Shares NAACP Minority Empowerment ETF		489		2,719
Impact Shares Sustainable Development Goals Global Equity ETF		126		-

There were no purchases or sales of long-term U.S. Government securities by the Funds.

For the period ended December 31, 2019,in-kind transactions associated with creations and redemptions were:

	Purchases		Sales		Realized   Gain/(Loss)
Impact Shares YWCA Women’s Empowerment ETF	$	2,027,476	$	-	$	-
Impact Shares NAACP Minority Empowerment ETF		572,766		-		-
Impact Shares Sustainable Development Goals Global Equity ETF		993,812		-		-

For the period ended June 30, 2019,in-kind transactions associated with creations and redemptions were:

	Purchases		Sales		Realized   Gain/(Loss)
Impact Shares YWCA Women’s Empowerment ETF	$	4,211,993	$	-	$	-
Impact Shares NAACP Minority Empowerment ETF		3,132,519		1,004,168		55,919
Impact Shares Sustainable Development Goals Global Equity ETF		-		818,854		43,423

5. TAX INFORMATION

The amount and character of income and capital gain distributions to be paid, if any, are determined in accordance with Federal income tax regulations, which may differ from U.S. GAAP. As a result, net investment income (loss) and net realized gain (loss) on investment transactions for a reporting period may differ significantly from distributions during such period. These book/tax differences may be temporary or permanent. To the extent these differences are permanent in nature, they are charged or credited to distributable earnings orpaid-in capital, as appropriate, in the period that the differences arise.

The tax character of dividends and distributions paid during the period ended June 30, 2019 were as follows:

	Ordinary   Income		Long-Term  Capital Gain		Return of   Capital		Total
Impact Shares YWCA Women’s Empowerment ETF 2019		$38,993		$—		$ —		$38,993
Impact Shares NAACP Minority Empowerment ETF 2019		29,967		—		37		30,004
Impact Shares Sustainable Development Goals Global Equity ETF 2019		26,447		—		—		26,447

As of June 30, 2019, the components of distributable earnings (accumulated losses) on a tax basis were as follows:

	Undistributed  Ordinary Income		Post     October     Losses		Unrealized Appreciation		Total Distributable Earnings
Impact Shares YWCA Women’s Empowerment ETF		$            —		$      (16,855)		$      177,289		$        160,434
Impact Shares NAACP Minority Empowerment ETF		—		(21,641)		79,349		57,708
Impact Shares Sustainable Development Goals Global Equity ETF		1,359		(9,149)		13,678		5,888

Post-October capital losses represent losses realized on investment transactions from inception date through June 30, 2019 that, in accordance with Federal income tax regulations, the Funds may elect to defer and treat as having arisen in the following fiscal year.

21

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

The Federal tax cost and aggregate gross unrealized appreciation and depreciation on investments and foreign currency transactions held by the Funds at December 31, 2019, were as follows:

	Federal Tax  Cost		Aggregate Gross Unrealized   Appreciation		Aggregate Gross Unrealized   Depreciation		Net Unrealized  Appreciation
Impact Shares YWCA Women’s Empowerment ETF		$5,976,280		$      997,667		$        (59,741)		$      937,926
Impact Shares NAACP Minority Empowerment ETF		2,630,882		349,398		(48,622)		300,776
Impact Shares Sustainable Development Goals Global Equity ETF		2,086,250		164,816		(46,046)		118,770

6. RISKS OF INVESTING IN THE FUNDS

As with all exchange traded funds (“ETFs”), a shareholder of the Funds are subject to the risk that his or her investment could lose money. The Funds are subject to the principal risks noted below, any of which may adversely affect the Fund’s NAV, trading price, yield, total return and ability to meet its investment objective. A more complete description of principal risks is included in the prospectus under the heading “Principal Risks”.

Under normal circumstances, the Funds will invest at least 80% of their total assets in securities of the Index, which reflects the performance of an investable universe of publicly-traded companies that directly or indirectly provide services or support to ETFs, including but not limited to the management, servicing, trading or sale of ETFs (“ETF Activities”).

An investment in the Fund is not a bank deposit and is not insured or guaranteed by the FDIC or any other government agency. As with any investment company, there is no guarantee that the Fund will achieve its goal.

Asset Class Risk (All Funds) - The securities in an Underlying Index or in a Fund’s portfolio may underperform the returns of other securities or indices that track other countries, regions, industries, groups of industries, markets, asset classes or sectors. Various types of securities or indices tend to experience cycles of outperformance and underperformance in comparison to general securities markets.

Brexit (Impact Shares Sustainable Development Goals Global Equity ETF only) - In June 2016, the United Kingdom approved a referendum to leave the European Union (commonly known as “Brexit”). On March 29, 2017, the United Kingdom formally notified the European Council of its intention to leave the European Union, beginning the Brexit process. The withdrawal was delayed by a deadlock in the British parliament. Following a general election, Parliament ratified the formal withdrawal agreement with the European Union and left the European Union on January 31, 2020. This began a transition period that is currently set to end on December 31, 2020, during which the United Kingdom and the European Union will negotiate their future relationship. During the transition period, the United Kingdom will remain subject to European Union law with privileges to provide services under the single market directives, but is no longer part of the European Union’s political bodies or institutions. There is a significant degree of uncertainty about how negotiations relating to the UK’s new trade agreements with the European Union and other non-European Union countries will be conducted, as well as the potential consequences for Brexit. Given the size and importance of the United Kingdom’s economy, uncertainty about its legal, political, and economic relationship with the remaining member states of the European Union may continue to be a source of instability. Moreover, other countries may seek to withdraw from the European Union and/or abandon the euro, the common currency of the European Union. The ultimate effects of these events and other socio-political or geopolitical issues are not known but could profoundly affect global economies and markets. Whether or not a Fund invests in securities of issuers located in Europe or with significant exposure to European issuers or countries, these events could negatively affect the value and liquidity of the Fund’s investments.

Cash Transaction Risk (All Funds) - The Funds can effect creations and redemptions principally for cash, rather than forin-kind securities. ETFs generally are able to makein-kind redemptions and avoid being taxed on gain on the distributed portfolio securities at the fund level. Because the Funds currently can effect redemptions for cash, rather than forin-kind securities, they may be required to sell portfolio securities in order to obtain the cash needed to distribute redemption proceeds. The Funds may recognize a capital gain on these sales that might not have been incurred if the Funds had made a redemptionin-kind, and this may decrease the tax efficiency of the Funds compared to ETFs that utilize anin-kind redemption process.

22

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

Commodities Risk (All Funds) - Commodities markets historically have been extremely volatile, and the performance of securities and other instruments that provide exposure to those markets therefore also may be highly volatile. The commodities markets may fluctuate widely based on a variety of factors. These include changes in overall market movements, domestic and foreign political and economic events and policies, war, acts of terrorism, changes in domestic or foreign interest rates and/or investor expectations concerning interest rates, domestic and foreign inflation rates and/or investor expectations concerning inflation rates and investment and trading activities of mutual funds, hedge funds and commodities funds. Commodity-linked derivative instruments have a high degree of price variability and are subject to rapid and substantial price changes. Commodity-linked derivative instruments may employ leverage, which creates the possibility for losses greater than the amount invested. A Fund’s investments in commodity-linked instruments may bear on or be limited by each Fund’s intention to qualify as a regulated investment company.

Counterparty Risk (All Funds) - The Funds may engage in transactions in securities and financial instruments that involve counterparties. Counterparty risk is the risk that a counterparty (the other party to a transaction or an agreement or the party with whom a Fund executes transactions) to a transaction with a Fund may be unable or unwilling to make timely principal, interest, settlement or margin payments, or otherwise honor its obligations. If a counterparty becomes bankrupt or otherwise fails to perform its obligations due to financial difficulties, the affected Fund’s income or the value of its assets may decrease. A Fund may experience significant delays in obtaining any recovery in a bankruptcy or other reorganization proceeding and a Fund may obtain only limited recovery or may obtain no recovery in such circumstances. In an attempt to limit the counterparty risk associated with such transactions, the Funds conduct business only with financial institutions judged by the Adviser to present acceptable credit risk.

Derivatives Risk (All Funds) - Derivatives Risk is a combination of several risks, including the risks that: (1) an investment in a derivative instrument may not correlate well with the performance of the securities or asset class to which the Fund seeks exposure, (2) derivative contracts, including options, may expire worthless and the use of derivatives may result in losses to the Fund, (3) a derivative instrument entailing leverage may result in a loss greater than the principal amount invested, (4) derivatives not traded on an exchange may be subject to credit risk, for example, if the counterparty does not meet its obligations (see also “Counterparty Risk”), and (5) derivatives not traded on an exchange may be subject to liquidity risk and the related risk that the instrument is difficult or impossible to value accurately. As a general matter, when the Fund establishes certain derivative instrument positions, such as certain futures and options contract positions, it will segregate liquid assets (such as cash, U.S. Treasury bonds or commercial paper) equivalent to the Fund’s outstanding obligations under the contract or in connection with the position. In addition, recent legislation has called for a new regulatory framework for the derivatives market. The impact of the new regulations are still unknown, but has the potential to increase the costs of using derivatives, may limit the availability of some forms of derivatives or the Fund’s ability to use derivatives, and may adversely affect the performance of some derivative instruments used by the Fund as well as the Fund’s ability to pursue its investment objective through the use of such instruments.

Emerging Markets Risk (Impact Shares Sustainable Development Goals Global Equity ETF only) - Investing in issuers located in or tied economically to emerging markets is subject to the same risks as foreign market investments, generally to a greater extent. The Fund will be subject to these risks to an even greater extent, to the extent the Fund invests in issuers exposed to countries defined as “low income” or “lower middle income” by the World Bank or as a “Least Developed Country” by the United Nations. These countries typically confront severe structural impediments to sustainable development and are highly vulnerable to economic and environmental shocks and have low levels of human assets. Emerging markets may have additional risks including greater fluctuations in market values and currency exchange rates; increased risk of default; greater social, economic, and political uncertainty and instability; increased risk of nationalization, expropriation, or other confiscation of assets of issuers to which the Fund may be exposed; increased risk of embargoes or economic sanctions on a country, sector, or issuer; greater governmental involvement in the economy; less governmental supervision and regulation of the securities markets and participants in those markets; controls onnon-U.S. investment, capital controls and limitations on repatriation of invested capital, dividends, interest, and other income, and on the Fund’s ability to exchange local currencies for U.S. dollars; lower levels of liquidity; inability to purchase and sell investments or otherwise settle security or derivative transactions; greater risk of issues with share registration and safe custody; unavailability of currency hedging techniques; differences in, or lack of, auditing and financial reporting standards and resulting unavailability of material information about issuers; slower clearance and longer settlement; and difficulties in obtaining and/or enforcing legal judgments.

23

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

Exchange-Traded Funds Risk (All Funds) - The price movement of an exchange-traded fund may not exactly track the underlying index and may result in a loss. In addition, shareholders bear both their proportionate share of the Fund’s expenses and similar expenses of the underlying investment company when the Fund invests in shares of another investment company.

Equity Investing Risk (All Funds) - The market prices of equity securities owned by a Fund may go up or down, sometimes rapidly or unpredictably. The value of a security may decline for a number of reasons that may directly relate to the issuer, such as management performance, financial leverage,non-compliance with regulatory requirements, and reduced demand for the issuer’s goods or services. The values of equity securities also may decline due to general industry or market conditions that are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency rates, or adverse investor sentiment generally. In addition, equity markets tend to move in cycles, which may cause stock prices to fall over short or extended periods of time.

Ethnic Diversity Risk (Impact Shares NAACP Minority Empowerment ETF only) - The returns on a portfolio of securities that excludes companies that are not ethnically diverse may trail the returns on a portfolio of securities that includes companies that are not ethnically diverse. Investing only in a portfolio of securities that are ethnically diverse may affect the Fund’s exposure to certain types of investments and may adversely impact the Fund’s performance depending on whether such investments are in or out of favor in the market.

Fee Risk (All Funds) - Because the fees paid by a Fund to Impact Shares are based on the average daily value of the total assets of such Fund, less all accrued liabilities of such Fund (other than the amount of any outstanding borrowings constituting financial leverage), Impact Shares has a financial incentive to cause the Funds to utilize leverage, which creates a conflict of interest between Impact Shares, on the one hand, and the shareholders of the Funds, on the other hand.

Foreign Securities Risk (Impact Shares Sustainable Development Goals Global Equity ETF only) - Investments in securities ofnon-U.S. issuers involve certain risks not involved in domestic investments (for example, fluctuations in foreign exchange rates (fornon-U.S. securities not denominated in U.S. dollars); future foreign economic, financial, political and social developments; nationalization; exploration or confiscatory taxation; smaller markets; different trading and settlement practices; less governmental supervision; and different accounting, auditing and financial recordkeeping standards and requirements) that may result in the Fund experiencing more rapid and extreme changes in value than a fund that invests exclusively in securities of U.S. companies. These risks are magnified for investments in issuers tied economically to emerging markets, the economies of which tend to be more volatile than the economies of developed markets. In addition, investments by the Fund innon-U.S. securities may be subject to withholding and other taxes imposed by foreign countries on dividends, interest, capital gains, or other income or proceeds. Those taxes will reduce the Fund’s yield on any such securities.

Futures Contracts Risk (All Funds) - Futures contracts provide for the future sale by one party and purchase by another party of a specified amount of an underlying asset at a price, date and time specified when the contract is made. Funds, such as the Funds, that use futures contracts, which are a type of derivative, are subject to the risk of loss caused by unanticipated market movements. In addition, there may at times be an imperfect correlation between the movement in the prices of futures contracts and the value of their underlying instruments or indexes and there may at times not be a liquid secondary market for certain futures contracts.

Gender Diversity Risk (Impact Shares YWCA Women’s Empowerment ETF only) - The returns on a portfolio of securities that excludes companies that are not gender diverse may trail the returns on a portfolio of securities that includes companies that are not gender diverse. Investing only in a portfolio of securities that are gender diverse may affect the Fund’s exposure to certain types of investments and may adversely impact the Fund’s performance depending on whether such investments are in or out of favor in the market.

Geographic Risk (Impact Shares Sustainable Development Goals Global Equity ETF only) - To the extent the Fund’s investments in a single country or a limited number of countries represent a large percentage of the Fund’s assets, the Fund will be subject to the risk that economic, political and social conditions in those countries will have a significant impact on its investment performance and the Fund’s shares may be subject to increased price volatility.

Illiquid Securities Risk (All Funds) - Illiquid investments may be difficult to resell at approximately the price they are valued in the ordinary course of business within seven days. When investments cannot be sold readily at the desired time or price, a Fund

24

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

may have to accept a much lower price, may not be able to sell the investment at all or may be forced to forego other investment opportunities, all of which may adversely impact a Fund’s returns. Illiquid investments also may be subject to valuation risk.

Index Performance Risk (All Funds) - Each Fund is linked to an index maintained by a third party provider unaffiliated with the Funds or the Adviser. There can be no guarantee or assurance that the methodology used by the third party provider to create the index will result in the Funds achieving high, or even positive, returns. Further, there can be no guarantee that the methodology underlying the index or the daily calculation of the index will be free from error. It is also possible that the value of the index may be subject to intentional manipulation by third-party market participants. The particular indices used by the Funds may underperform other asset classes and may underperform other similar indices. Each of these factors could have a negative impact on the performance of the Funds.

Industry Concentration Risk (All Funds) - Because each Fund may invest 25% or more of the value of its assets in an industry or group of industries to the extent that the Underlying Index concentrates in an industry or group of industries, the Fund’s performance largely depends on the overall condition of such industry or group of industries and the Fund is susceptible to economic, political and regulatory risks or other occurrences associated with that industry or group of industries.

Intellectual Property Risk (All Funds) - The Funds rely on licenses that permit the Adviser to use the Underlying Indices and associated trade names, trademarks and service marks, as well as the Partner Nonprofits’ names and logos (the “Intellectual Property”) in connection with the investment strategies of each respective Fund and/or in marketing and other materials for each Fund. Such licenses may be terminated, and, as a result, the relevant Fund may lose its ability to use the Intellectual Property. In the event a license is terminated or the license provider does not have rights to license the Intellectual Property, the operations of such Fund may be adversely affected.

Limited Operating History Risk (All Funds) - The Funds are newly formed and have no operating history for investors to evaluate as of the date of this Prospectus. The Funds may not attract sufficient assets to achieve or maximize investment and operational efficiencies and remain viable. If a Fund fails to achieve sufficient scale, it may be liquidated.

Management Risk (All Funds) - Management risk is the risk associated with the fact that the Fund relies on the Adviser’s ability to achieve its investment objective. The Adviser may be incorrect in its assessment of the intrinsic value of companies whose securities the Fund holds, which may result in a decline in the value of Fund shares and failure to achieve its investment objective. The Fund’s portfolio manager uses qualitative analyses and/or models. Any imperfections or limitations in such analyses and models could affect the ability of the portfolio manager to implement strategies. The Adviser has no experience managing an ETF. The relative lack of experience of the Adviser may increase the Fund’s management risk.

Market Price Variance Risk (All Funds) - Fund shares are listed for trading on NYSE (the “Exchange”) and can be bought and sold in the secondary market at prevailing market prices. The market prices of shares will fluctuate in response to changes in the NAV and supply and demand for shares. As a result, the trading prices of Shares may deviate significantly from NAV during periods of market volatility. The Adviser cannot predict whether shares will trade above, below or at their NAV. Given the fact that shares can be created and redeemed in Creation Units, the Adviser believes that large discounts or premiums to the NAV of shares should not be sustained in the long-term. In addition, the securities held by the Fund may be traded in markets that close at a different time than NYSE. Liquidity in those securities may be reduced after the applicable closing times. Accordingly, during the time when NYSE is open but after the applicable market closing, fixing or settlement times,bid-ask spreads and the resulting premium or discount to the Shares’ NAV may widen. Further, secondary markets may be subject to irregular trading activity, wide bid/ask spreads and extended trade settlement periods, which could cause a material decline in the Fund’s NAV. In times of market stress, market makers and authorized participants may step away from their respective roles in making a market in Fund shares or in executing purchase and redemption orders, which could lead to variances between the market price of Fund shares and the underlying value of those shares. Also, in stressed market conditions, the market for Fund shares may become less liquid in response to deteriorating liquidity of the Fund’s portfolio holdings, which could lead to differences between the market price of the Fund’s shares and the underlying value of those shares. During periods of high market volatility, a Fund share may trade at a significant discount to its NAV, and in these circumstances certain types of brokerage orders may expose an investor to an increased risk of loss. A “stop order,” sometimes called a “stop-loss order,” may cause a Fund share to be sold at the next prevailing market price once the “stop” level is reached, which during a period of high volatility can be at a price that is substantially below NAV. By including a “limit” criteria with your brokerage order, you may be able to limit the size of the loss resulting from the execution of anill-timed stop order. The Fund’s shares may be listed or traded on U.S. andnon-U.S. stock exchanges other than the U.S. stock

25

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

exchange where the Fund’s primary listing is maintained, and may otherwise be made available tonon-U.S. investors through funds or structured investment vehicles similar to depositary receipts. There can be no assurance that the Fund’s shares will continue to trade on any such stock exchange or in any market or that the Fund’s shares will continue to meet the requirements for listing or trading on any exchange or in any market. The Fund’s shares may be less actively traded in certain markets than in others, and investors are subject to the execution and settlement risks and market standards of the market where they or their broker direct their trades for execution. Certain information available to investors who trade Fund shares on a U.S. stock exchange during regular U.S. market hours may not be available to investors who trade in other markets, which may result in secondary market prices in such markets being less efficient.

The Fund’s investment results are measured based upon the daily NAV of the Fund. Investors purchasing and selling shares in the secondary market may not experience investment results consistent with those experienced by those purchasing and redeeming directly with the Fund.

Mid-Cap Company Risk (All Funds) - Investing in securities ofmid-cap companies may entail greater risks than investments in larger, more established companies.Mid-cap companies tend to have more narrow product lines, more limited financial resources and a more limited trading market for their stocks, as compared with larger companies. As a result, their stock prices may decline significantly as market conditions change.

Non-Diversification Risk (All Funds) - Due to the nature of the Funds’ investment strategies and theirnon-diversified status (for purposes of the 1940 Act), the Funds may invest a greater percentage of their respective assets in the securities of fewer issuers than a “diversified” fund, and accordingly may be more vulnerable to changes in the value of those issuers’ securities. Since the Funds invest in the securities of a limited number of issuers, the Funds are particularly exposed to adverse developments affecting those issuers, and a decline in the market value of a particular security held by a Fund is likely to affect such Fund’s performance more than if such Fund invested in the securities of a larger number of issuers. Although the Funds will be“non-diversified” for purposes of the 1940 Act, the Funds intend to comply with the diversification requirements under Subchapter M of the Code in order to be eligible to qualify as a regulated investment company.

Operational and Technology Risk (All Funds) - Cyber-attacks, disruptions, or failures that affect the Fund’s service providers, index providers, Authorized Participants (as defined below), market makers, counterparties, market participants, or issuers of securities held by the Fund may adversely affect the Fund and its shareholders, including by causing losses for the Fund or impairing Fund operations.

Options Risk (All Funds) - Options, such as covered calls and covered puts, are subject to the risk that significant differences between the securities and options markets that could result in an imperfect correlation between these markets.

Passive Investment Risk (All Funds) - The Funds are not actively managed and may be affected by a general decline in market segments included in the applicable Underlying Indices. The Funds invest in securities included in, or representative of, each Fund’s respective Underlying Index regardless of such security’s investment merits. The Adviser does not attempt to take defensive positions under any market conditions, including during declining markets.

Securities Market Risk (All Funds) - The value of securities owned by the Fund may go up or down, sometimes rapidly or unpredictably, due to factors affecting particular companies or the securities markets generally. A general downturn in the securities market may cause multiple asset classes to decline in value simultaneously. Many factors can affect this value and you may lose money by investing in the Fund.

Small-Cap Company Risk (All Funds) - Investing in the securities ofsmall-cap companies either directly or indirectly through investments in ETFs,closed-end funds or mutual funds may pose greater market and liquidity risks than larger, more established companies, because of limited product lines and/or operating history, limited financial resources, limited trading markets, and the potential lack of management depth. In addition, the securities of such companies are typically more volatile than securities of larger capitalization companies.

Swaps Risk (All Funds) - Investments in swaps involve both the risks associated with an investment in the underlying investments or instruments (including equity investments) and counterparty risk. In a standardover-the-counter (“OTC”) swap

26

Impact Shares Trust I

Notes to Financial Statements

December 31, 2019 (Unaudited)

transaction, two parties agree to exchange the returns, differentials in rates of return or some other amount calculated based on the “notional amount” of predetermined investments or instruments, which may be adjusted for an interest factor. Swaps can involve greater risks than direct investments in securities, because swaps may be leveraged and OTC swaps are subject to counterparty risk (e.g., the risk of a counterparty’s defaulting on the obligation or bankruptcy), credit risk and pricing risk (i.e., swaps may be difficult to value). Swaps may also be considered illiquid. Certain swap transactions, including interest rate swaps and index credit default swaps, may be subject to mandatory clearing and exchange trading, although the swaps in which the Fund will invest are not currently subject to mandatory clearing and exchange trading. The use of swaps is a highly specialized activity which involves investment techniques, risk analyses and tax planning different from those associated with ordinary portfolio securities transactions. The value of swaps, like many other derivatives, may move in unexpected ways and may result in losses for the Fund.

Tracking Error Risk (All Funds) - The performance of the Fund may diverge from that of the Underlying Index. Because the Fund employs a representative sampling strategy, the Fund may experience tracking error to a greater extent than a fund that seeks to replicate an index. The Adviser may not be able to cause the Fund’s performance to correlate to that of the Fund’s benchmark, either on a daily or aggregate basis. Because the Underlying Index rebalances monthly but the Fund is not obligated to do the same, the risk of tracking error may increase following the rebalancing of the Underlying Index.

7. OTHER

At December 31, 2019, the records of the Trust reflected that 100% of the Funds’ total Shares outstanding were held by two Authorized Participants, in the form of Creation Units. However, the individual shares comprising such Creation Units are listed and traded on the NYSE Arca, Inc. and have been purchased and sold by persons other than Authorized Participants.

8. REGULATORY MATTERS

On August 17, 2018, the SEC adopted amendments to RegulationS-X. These changes are effective for periods after November 5, 2018. The updates to Registered Investment Companies were mainly focused on simplifying the presentation of distributable earnings by eliminating the need to present the components of distributable earnings on a book basis in the Statement of Assets and Liabilities. The update also impacted the presentation of undistributed net investment income and distribution to shareholders on the Statement of Changes in Net Assets. The amounts presented in the current Statements of Changes in Net Assets represent the aggregated total distributions of net investment income and realized capital gains, except for distributions classified as return of capital which are still presented separately.

9. SUBSEQUENT EVENTS

The Funds have evaluated the need for additional disclosures and/or adjustments resulting from subsequent events through the date the financial statements were issued. Based on this evaluation, no disclosure and/or adjustments were required to the financial statements.

27

Impact Shares Trust I

Disclosure of Fund Expenses

December 31, 2019 (Unaudited)

All ETFs have operating expenses. As a shareholder of the Fund you incur an Advisory fee. In addition to the Advisory fee, a shareholder may pay brokerage expenses, taxes, interest, litigation expenses and other extraordinary expenses (including acquired fund fees and expenses), if any. It is important for you to understand the impact of these ongoing costs of your investment returns. Shareholders may incur brokerage commissions on their purchases and sales of Fund shares, which are not reflected in these examples.

The following examples use the annualized expense ratio and are intended to help you understand the ongoing costs (in dollars) of investing in each Fund and to compare these costs with those of other funds. The examples are based on an investment of $1,000 made at the beginning of the period shown and held for the entire period (July 1, 2019 to December 31, 2019) (unless otherwise noted below).

The table below illustrates each Fund’s cost in two ways:

Actual Fund Return. This section helps you to estimate the actual expenses after fee waivers that your Fund incurred over the period. The “Expenses Paid During Period” column shows the actual dollar expense cost incurred by a $1,000 investment in the Fund, and the “Ending Account Value” number is derived from deducting that expense cost from the Fund’s gross investment return.

You can use this information, together with the actual amount you invested in the Fund, to estimate the expenses you paid over that period. Simply divide your actual account value by $1,000 to arrive at a ratio (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply that ratio by the number shown for your Fund under “Expenses Paid During Period.”

Hypothetical 5% Return. This section helps you compare your Fund’s costs with those of other funds. It assumes that the Fund had an annual 5% return before expenses during the year, but that the expense ratio (Column 3) for the period is unchanged. This example is useful in making comparisons because the Commission requires all funds to make this 5% calculation. You can assess your Fund’s comparative cost by comparing the hypothetical result for your Fund in the “Expenses Paid During Period” column with those that appear in the same charts in the shareholder reports for other funds.

NOTE: Because the return is set at 5% for comparison purposes — NOT your Fund’s actual return — the account values shown may not apply to your specific investment.

	Beginning Account Value 7/1/19		Ending Account Value 12/31/19		Annualized Expense Ratios			Expenses Paid During Period(1)
Impact Shares YWCA Women’s Empowerment ETF
Actual Fund Return	$	1,000.00	$	1,124.40		0.75	%	$	4.01
Hypothetical 5% Return		1,000.00		1,021.37		0.75			3.81
Impact Shares NAACP Minority Empowerment ETF
Actual Fund Return	$	1,000.00	$	1,106.70		0.75	%	$	3.97
Hypothetical 5% Return		1,000.00		1,021.37		0.75			3.81
Impact Shares Sustainable Development Goals Global Equity ETF
Actual Fund Return	$	1,000.00	$	1,081.50		0.75	%	$	3.92
Hypothetical 5% Return		1,000.00		1,021.37		0.75			3.81

(1) Expenses are equal to the Fund’s annualized expense ratio multiplied by the average account value over the period, multiplied 184/366 (to reflect the commencement of operations period shown).

28

[THIS PAGE INTENTIONALLY LEFT BLANK]

2189 Broken Bend

Frisco, Texas 75034

844-448-3383

www.impactetfs.org

Investment Adviser:

Impact Shares, Corp.

2189 Broken Bend

Frisco, Texas 75034

Distributor:

SEI Investments Distribution Co.

One Freedom Valley Drive

Oaks, PA 19456

Administrator:

SEI Investments

Global Funds Services

One Freedom Valley Drive

Oaks, PA 19456

Transfer Agent:

Bank of New York Mellon

225 Liberty Street

New York, NY 10286

Custodian:

Bank of New York Mellon

225 Liberty Street

New York, NY 10286

Legal Counsel:

Ropes & Gray LLP

Prudential Tower, 800 Boylston Street

Boston, MA 02199-3600

This information must be preceded or accompanied by a current prospectus for the Funds.

IMP-SA-002-0100

Item 2. Code of Ethics.

Not applicable for semi-annual report.

Item 3. Audit Committee Financial Expert.

Not applicable for semi-annual report.

Item 4. Principal Accountant Fees and Services.

Not applicable for semi-annual report.

Item 5. Audit Committee of Listed Registrants.

Not applicable for semi-annual report.

Item 6. Schedule of Investments.

Schedule of Investments is included as part of the Report to Shareholders filed under Item 1 of this form.

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

Not applicable toopen-end management investment companies.

Item 8. Portfolio Managers ofClosed-End Management Investment Companies.

Not applicable toopen-end management investment companies.

Item 9. Purchases of Equity Securities byClosed-End Management Company and Affiliated Purchasers.

Not applicable toopen-end management investment companies.

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

There have been no changes to the procedures by which shareholders may recommend nominees to the Registrant’s Board of Trustees during the period covered by this report.

Item 11. Controls and Procedures.

(a) The Registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the Registrant’s disclosure controls and procedures (as defined in Rule30a-3(c) under the Act (17 CFR §270.30a-3(c))) as of a date within 90 days of the filing date of the report, are effective based on the evaluation of these controls and procedures required by Rule30a-3(b) under the Act (17 CFR §270.30a-3(b)) and Rules13a-15(b) or15d-15(b) under the Exchange Act (17 CFR §240.13a-15(b) or §240.15d-15(b)).

(b) There has been no change in the Registrant’s internal control over financial reporting (as defined in Rule30a-3(d) under the Act (17 CFR §270.30a-3(d)) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting.

Item 12. Disclosure of Securities Lending Activities for theClosed-End Management Investment Companies.

Not applicable.

Item 13. Exhibits.

(a)(1) Not applicable for semi-annual report.

(a)(2) A separate certification for the principal executive officer and the principal financial officer of the Registrant as required by Rule30a-2(a) under the Investment Company Act of 1940, as amended (17 CFR §270.30a-2(a)), are filed herewith.

(b) Officer certifications as required by Rule30a-2(b) under the Investment Company Act of 1940, as amended (17 CFR §270.30a-2(b)) also accompany this filing as an Exhibit.

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)	Impact Shares Trust I
By (Signature and Title)*
	/s/ Ethan Powell
	Ethan Powell, President, Principal
	Executive Officer, Treasurer and Principal
	Financial Officer

Date: March 10, 2020

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/ Ethan Powell
	Ethan Powell, President and Principal
	Executive Officer

Date: March 10, 2020

By (Signature and Title)*
	/s/ Ethan Powell
	Ethan Powell, Treasurer and Principal
	Financial Officer

Date: March 10, 2020