AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (97.3%) | | Value | | (a) |
| | | Communication Services (9.2%) | | | | |
| | | Advertising Services (1.6%) | | | | |
| | | Advantage Sales & Marketing, Inc. | | | | |
| $ 2,850,000 | | 6.500%, 11/15/28 144A | | $ 2,970,384 | | |
| | | | | | | |
| | | Broadcast Services/Program (1.6%) | | | | |
| | | Nexstar Broadcasting, Inc. | | | | |
| 2,800,000 | | 5.625%, 07/15/27 144A | | 2,962,330 | | |
| | | | | | | |
| | | Cable/Satellite TV (0.7%) | | | | |
| | | CCO Holdings LLC/CCO Holdings Capital Corp. | | | | |
| 1,176,000 | | 5.500%, 05/01/26 144A | | 1,212,785 | | |
| | | | | | | |
| | | Computer Software (1.1%) | | | | |
| | | Rackspace Technology Global, Inc. | | | | |
| 2,100,000 | | 5.375%, 12/01/28 144A | | 2,063,250 | | |
| | | | | | | |
| | | E-Commerce/Services (1.0%) | | | | |
| | | Cars.com, Inc. | | | | |
| 1,850,000 | | 6.375%, 11/01/28 144A | | 1,951,750 | | |
| | | | | | | |
| | | Telephone - Integrated (0.5%) | | | | |
| | | Level 3 Financing, Inc. | | | | |
| 925,000 | | 5.375%, 05/01/25 | | 944,945 | | |
| | | | | | | |
| | | Theaters (2.7%) | | | | |
| | | Live Nation Entertainment, Inc. | | | | |
| 1,475,000 | | 4.875%, 11/01/24 144A | | 1,491,476 | | |
| 3,550,000 | | 4.750%, 10/15/27 144A | | 3,607,634 | | |
| | | | | 5,099,110 | | |
| | | Total Communication Services | | 17,204,554 | | |
| | | | | | | |
| | | Consumer Discretionary (21.1%) | | | | |
| | | Building - Residential/Commercial (1.5%) | | | | |
| | | Century Communities, Inc. | | | | |
| 1,175,000 | | 6.750%, 06/01/27 | | 1,254,301 | | |
| | | | | | | |
| | | Shea Homes LP/Shea Homes Funding Corp. | | | | |
| 1,525,000 | | 4.750%, 02/15/28 144A | | 1,568,844 | | |
| | | | | | | |
| | | | | 2,823,145 | | |
| | | Casinos & Gaming (5.0%) | | | | |
| | | Boyd Gaming Corp. | | | | |
| 1,500,000 | | 4.750%, 12/01/27 | | 1,546,035 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Consumer Discretionary (continued) | | | | |
| | | Caesars Entertainment, Inc. | | | | |
| $ 4,100,000 | | 6.250%, 07/01/25 144A | | $ 4,316,306 | | |
| 2,250,000 | | 8.125%, 07/01/27 144A | | 2,529,506 | | |
| | | | | | | |
| | | Scientific Games International, Inc. | | | | |
| 900,000 | | 8.625%, 07/01/25 144A | | 974,641 | | |
| | | | | | | |
| | | | | 9,366,488 | | |
| | | Funeral Services & Related Items (0.6%) | | | | |
| | | Service Corp. International/US | | | | |
| 1,000,000 | | 5.125%, 06/01/29 | | 1,087,150 | | |
| | | | | | | |
| | | Hotels & Motels (0.8%) | | | | |
| | | Marriott Ownership Resorts Inc./ILG LLC | | | | |
| 1,450,000 | | 4.750%, 01/15/28 | | 1,479,000 | | |
| | | | | | | |
| | | Racetracks (5.2%) | | | | |
| | | Churchill Downs, Inc. | | | | |
| 3,350,000 | | 5.500%, 04/01/27 144A | | 3,475,625 | | |
| 2,000,000 | | 4.750%, 01/15/28 144A | | 2,092,500 | | |
| | | | | | | |
| | | Penn National Gaming, Inc. | | | | |
| 4,000,000 | | 5.625%, 01/15/27 144A | | 4,120,000 | | |
| | | | | | | |
| | | | | 9,688,125 | | |
| | | Retail - Automobile (3.7%) | | | | |
| | | Carvana Co. | | | | |
| 2,875,000 | | 5.625%, 10/01/25 144A | | 2,972,031 | | |
| 2,750,000 | | 5.500%, 04/15/27 144A | | 2,806,925 | | |
| | | | | | | |
| | | Sonic Automotive, Inc. | | | | |
| 1,150,000 | | 6.125%, 03/15/27 | | 1,195,184 | | |
| | | | | | | |
| | | | | 6,974,140 | | |
| | | Retail - Misc/Diversified (1.1%) | | | | |
| | | Bath & Body Works, Inc. | | | | |
| 870,000 | | 6.694%, 01/15/27 | | 1,002,675 | | |
| 1,000,000 | | 7.500%, 06/15/29 | | 1,140,475 | | |
| | | | | | | |
| | | | | 2,143,150 | | |
| | | Retail - Restaurants (0.6%) | | | | |
| | | Dave & Buster's, Inc. | | | | |
| 990,000 | | 7.625%, 11/01/25 144A | | 1,059,260 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Consumer Discretionary (continued) | | | | |
| | | Retail - Sporting Goods (1.2%) | | | | |
| | | Academy Ltd. | | | | |
| $ 2,050,000 | | 6.000%, 11/15/27 144A | | $ 2,214,000 | | |
| | | | | | | |
| | | Rubber - Tires (1.4%) | | | | |
| | | The Goodyear Tire & Rubber Co. | | | | |
| 1,700,000 | | 5.000%, 05/31/26 | | 1,744,625 | | |
| 750,000 | | 4.875%, 03/15/27 | | 809,063 | | |
| | | | | 2,553,688 | | |
| | | Total Consumer Discretionary | | 39,388,146 | | |
| | | | | | | |
| | | Consumer Staples (7.3%) | | | | |
| | | Food - Canned (2.0%) | | | | |
| | | Del Monte Foods, Inc. | | | | |
| 3,350,000 | | 11.875%, 05/15/25 144A | | 3,777,125 | | |
| | | | | | | |
| | | Food - Miscellaneous/Diversified (0.5%) | | | | |
| | | B&G Foods, Inc. | | | | |
| 900,000 | | 5.250%, 04/01/25 | | 921,465 | | |
| | | | | | | |
| | | Food - Retail (2.5%) | | | | |
| | | Albertsons Companies, Inc./Safeway, Inc. | | | | |
| 1,325,000 | | 4.625%, 01/15/27 144A | | 1,389,970 | | |
| 1,300,000 | | 5.875%, 02/15/28 144A | | 1,384,500 | | |
| | | | | | | |
| | | SEG Holding LLC/ SEG Finance Corp. | | | | |
| 1,875,000 | | 5.625%, 10/15/28 144A | | 1,954,688 | | |
| | | | | | | |
| | | | | 4,729,158 | | |
| | | Food - Wholesale/Distributors (2.3%) | | | | |
| | | Performance Food Group, Inc. | | | | |
| 1,075,000 | | 6.875%, 05/01/25 144A | | 1,139,500 | | |
| | | | | | | |
| | | United Natural Foods, Inc. | | | | |
| 1,925,000 | | 6.750%, 10/15/28 144A | | 2,083,813 | | |
| | | | | | | |
| | | US Foods, Inc. | | | | |
| 1,000,000 | | 4.750%, 02/15/29 144A | | 1,026,250 | | |
| | | | | 4,249,563 | | |
| | | Total Consumer Staples | | 13,677,311 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Energy (5.9%) | | | | |
| | | Midstream Oil & Gas (3.8%) | | | | |
| | | Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp. | | | | |
| $ 1,100,000 | | 5.750%, 04/01/25 | | $ 1,123,375 | | |
| | | | | | | |
| | | Global Partners LP/GLP Finance Corp. | | | | |
| 1,175,000 | | 7.000%, 08/01/27 | | 1,224,938 | | |
| | | | | | | |
| | | New Fortress Energy, Inc. | | | | |
| 1,800,000 | | 6.750%, 09/15/25 144A | | 1,732,500 | | |
| | | | | | | |
| | | Targa Resources Partners LP/Targa Resources Partners Finance Corp. | | | | |
| 2,950,000 | | 5.875%, 04/15/26 | | 3,080,906 | | |
| | | | | | | |
| | | | | 7,161,719 | | |
| | | Oil Company - Exploration & Production (0.6%) | | | | |
| | | PDC Energy, Inc. | | | | |
| 1,000,000 | | 6.125%, 09/15/24 | | 1,015,000 | | |
| | | | | | | |
| | | Oil Refining & Marketing (0.6%) | | | | |
| | | Sunoco LP/Sunoco Finance Corp. | | | | |
| 1,100,000 | | 5.500%, 02/15/26 | | 1,122,110 | | |
| | | | | | | |
| | | Oil - Field Services (0.9%) | | | | |
| | | ChampionX Corp. | | | | |
| 476,000 | | 6.375%, 05/01/26 | | 495,040 | | |
| | | | | | | |
| | | USA Compression Partners LP/USA Compression Finance Corp. | | | | |
| 1,200,000 | | 6.875%, 04/01/26 | | 1,249,442 | | |
| | | | | 1,744,482 | | |
| | | Total Energy | | 11,043,311 | | |
| | | | | | | |
| | | Financials (21.6%) | | | | |
| | | Finance - Auto Loans (0.8%) | | | | |
| | | Credit Acceptance Corp. | | | | |
| 1,350,000 | | 6.625%, 03/15/26 | | 1,410,750 | | |
| | | | | | | |
| | | Finance - Investment Banker/Broker (3.0%) | | | | |
| | | LPL Holdings, Inc. | | | | |
| 5,375,000 | | 4.625%, 11/15/27 144A | | 5,576,563 | | |
| | | | | | | |
| | | Finance - Mortgage Loan/Banker (2.2%) | | | | |
| | | LD Holdings Group LLC | | | | |
| 1,500,000 | | 6.500%, 11/01/25 144A | | 1,496,250 | | |
| 2,850,000 | | 6.125%, 04/01/28 144A | | 2,686,125 | | |
| | | | | 4,182,375 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Financials (continued) | | | | |
| | | Real Estate Management/Service (4.7%) | | | | |
| | | Cushman & Wakefield | | | | |
| $ 3,100,000 | | 6.750%, 05/15/28 144A | | $ 3,363,500 | | |
| | | | | | | |
| | | Realogy Group LLC/Realogy Co-Issuer Corp. | | | | |
| 5,000,000 | | 9.375%, 04/01/27 144A | | 5,493,750 | | |
| | | | | 8,857,250 | | |
| | | Real Estate Operator/Developer (0.4%) | | | | |
| | | The Howard Hughes Corp. | | | | |
| 730,000 | | 5.375%, 08/01/28 144A | | 769,238 | | |
| | | | | | | |
| | | REITS - Diversified (3.8%) | | | | |
| | | iStar, Inc. | | | | |
| 3,000,000 | | 5.500%, 02/15/26 | | 3,135,000 | | |
| | | | | | | |
| | | New Residential Investment Corp. | | | | |
| 1,875,000 | | 6.250%, 10/15/25 144A | | 1,889,559 | | |
| | | | | | | |
| | | VICI Properties LP/VICI Note Co., Inc. | | | | |
| 2,000,000 | | 4.625%, 12/01/29 144A | | 2,150,000 | | |
| | | | | 7,174,559 | | |
| | | REITS - Hotels (5.7%) | | | | |
| | | RHP Hotel Properties LP/RHP Finance Corp. | | | | |
| 4,625,000 | | 4.750%, 10/15/27 | | 4,786,736 | | |
| | | | | | | |
| | | Service Properties Trust | | | | |
| 1,100,000 | | 4.500%, 06/15/23 | | 1,122,022 | | |
| 1,950,000 | | 4.650%, 03/15/24 | | 1,969,500 | | |
| 825,000 | | 4.350%, 10/01/24 | | 835,915 | | |
| | | | | | | |
| | | XHR LP | | | | |
| 1,800,000 | | 6.375%, 08/15/25 144A | | 1,909,585 | | |
| | | | | 10,623,758 | | |
| | | REITS - Storage (1.0%) | | | | |
| | | Iron Mountain, Inc. | | | | |
| 925,000 | | 4.875%, 09/15/27 144A | | 960,317 | | |
| 875,000 | | 5.250%, 03/15/28 144A | | 914,375 | | |
| | | | | 1,874,692 | | |
| | | Total Financials | | 40,469,185 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Healthcare (6.1%) | | | | |
| | | Diagnostic Equipment (0.6%) | | | | |
| | | Avantor Funding, Inc. | | | | |
| $ 1,000,000 | | 4.625%, 07/15/28 144A | | $ 1,052,500 | | |
| | | | | | | |
| | | Disposable Medical Products (0.6%) | | | | |
| | | Teleflex, Inc. | | | | |
| 1,100,000 | | 4.250%, 06/01/28 144A | | 1,142,999 | | |
| | | | | | | |
| | | Medical Laboratories & Testing Services (1.6%) | | | | |
| | | Catalent Pharma Solutions, Inc. | | | | |
| 500,000 | | 3.125%, 02/15/29 144A | | 490,975 | | |
| | | | | | | |
| | | IQVIA, Inc. | | | | |
| 1,150,000 | | 5.000%, 10/15/26 144A | | 1,178,601 | | |
| | | | | | | |
| | | MEDNAX, Inc. | | | | |
| 1,250,000 | | 6.250%, 01/15/27 144A | | 1,314,063 | | |
| | | | | 2,983,639 | | |
| | | Medical - Drugs (1.2%) | | | | |
| | | Bausch Health Companies, Inc. | | | | |
| 2,202,000 | | 6.125%, 04/15/25 144A | | 2,247,471 | | |
| | | | | | | |
| | | Medical - Hospitals (1.0%) | | | | |
| | | Prime Healthcare Services, Inc. | | | | |
| 1,800,000 | | 7.250%, 11/01/25 144A | | 1,930,500 | | |
| | | | | | | |
| | | Medical - Wholesale Drug Distribution (1.1%) | | | | |
| | | AdaptHealth LLC | | | | |
| 1,850,000 | | 6.125%, 08/01/28 144A | | 1,965,625 | | |
| | | Total Healthcare | | 11,322,734 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Industrials (14.9%) | | | | |
| | | Aerospace/Defense - Equipment (1.2%) | | | | |
| | | TransDigm, Inc. | | | | |
| $ 2,250,000 | | 6.375%, 06/15/26 | | $ 2,321,235 | | |
| | | | | | | |
| | | Auto - Medium & Heavy Duty Trucks (1.9%) | | | | |
| | | JB Poindexter & Co., Inc. | | | | |
| 3,350,000 | | 7.125%, 04/15/26 144A | | 3,525,875 | | |
| | | | | | | |
| | | Building & Construction Products - Miscellaneous (0.5%) | | | | |
| | | Builders FirstSource, Inc. | | | | |
| 825,000 | | 5.000%, 03/01/30 144A | | 879,145 | | |
| | | | | | | |
| | | Building - Heavy Construction (0.8%) | | | | |
| | | Tutor Perini Corp. | | | | |
| 1,400,000 | | 6.875%, 05/01/25 144A | | 1,431,500 | | |
| | | | | | | |
| | | Building Products - Doors & Windows (0.2%) | | | | |
| | | PGT Innovations, Inc. | | | | |
| 366,000 | | 4.375%, 10/01/29 144A | | 368,745 | | |
| | | | | | | |
| | | Electric Products - Miscellaneous (0.4%) | | | | |
| | | WESCO Distribution, Inc. | | | | |
| 750,000 | | 7.250%, 06/15/28 144A | | 830,625 | | |
| | | | | | | |
| | | Human Resources (0.9%) | | | | |
| | | ASGN, Inc. | | | | |
| 1,575,000 | | 4.625%, 05/15/28 144A | | 1,630,125 | | |
| | | | | | | |
| | | Transportation - Air Freight (0.9%) | | | | |
| | | Cargo Aircraft Management, Inc. | | | | |
| 1,650,000 | | 4.750%, 02/01/28 144A | | 1,706,100 | | |
| | | | | | | |
| | | Transportation - Equipment & Leasing (2.4%) | | | | |
| | | Fortress Transportation and Infrastructure Investors LLC | | | | |
| 1,950,000 | | 6.500%, 10/01/25 144A | | 2,007,291 | | |
| 2,250,000 | | 9.750%, 08/01/27 144A | | 2,548,125 | | |
| | | | | 4,555,416 | | |
| | | Transportation - Rail (2.0%) | | | | |
| | | Watco Companies LLC | | | | |
| 3,550,000 | | 6.500%, 06/15/27 144A | | 3,798,500 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Industrials (continued) | | | | |
| | | Waste Management (3.7%) | | | | |
| | | Covanta Holding Corp. | | | | |
| $ 1,625,000 | | 5.875%, 07/01/25 | | $ 1,677,813 | | |
| | | | | | | |
| | | GFL Environmental, Inc. | | | | |
| 1,125,000 | | 5.125%, 12/15/26 144A | | 1,181,374 | | |
| | | | | | | |
| | | Waste Pro USA, Inc. | | | | |
| 4,000,000 | | 5.500%, 02/15/26 144A | | 4,040,000 | | |
| | | | | 6,899,187 | | |
| | | Total Industrials | | 27,946,453 | | |
| | | | | | | |
| | | Information Technology (9.7%) | | | | |
| | | Applications Software (1.0%) | | | | |
| | | SS&C Technologies, Inc. | | | | |
| 1,825,000 | | 5.500%, 09/30/27 144A | | 1,927,077 | | |
| | | | | | | |
| | | Commercial Services - Finance (0.5%) | | | | |
| | | Shift4 Payments LLC/Shift4 Payments Finance Sub, Inc. | | | | |
| 875,000 | | 4.625%, 11/01/26 144A | | 913,281 | | |
| | | | | | | |
| | | Communications Software (1.1%) | | | | |
| | | Avaya, Inc. | | | | |
| 1,900,000 | | 6.125%, 09/15/28 144A | | 1,997,793 | | |
| | | | | | | |
| | | Computer Services (0.6%) | | | | |
| | | Unisys Corp. | | | | |
| 1,100,000 | | 6.875%, 11/01/27 144A | | 1,201,750 | | |
| | | | | | | |
| | | Computer Software (0.5%) | | | | |
| | | Camelot Finance SA | | | | |
| 1,000,000 | | 4.500%, 11/01/26 144A | | 1,038,750 | | |
| | | | | | | |
| | | Consulting Services (0.6%) | | | | |
| | | Gartner, Inc. | | | | |
| 1,000,000 | | 4.500%, 07/01/28 144A | | 1,050,000 | | |
| | | | | | | |
| | | Office Automation & Equipment (0.5%) | | | | |
| | | CDW LLC/CDW Finance Corp. | | | | |
| 825,000 | | 4.250%, 04/01/28 | | 861,486 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
Principal
Amount | | Corporate Bonds (continued) | | Value | | (a) |
| | | Information Technology (continued) | | | | |
| | | Semiconductor Equipment (0.5%) | | | | |
| | | Entegris, Inc. | | | | |
| $ 1,000,000 | | 4.375%, 04/15/28 144A | | $ 1,047,500 | | |
| | | | | | | |
| | | Telecommunication Equipment (3.0%) | | | | |
| | | CommScope Technologies LLC | | | | |
| 5,500,000 | | 6.000%, 06/15/25 144A | | 5,568,750 | | |
| | | | | | | |
| | | Transactional Software (0.4%) | | | | |
| | | Black Knight InfoServ LLC | | | | |
| 750,000 | | 3.625%, 09/01/28 144A | | 753,750 | | |
| | | | | | | |
| | | Wireless Equipment (1.0%) | | | | |
| | | Viasat, Inc. | | | | |
| 1,800,000 | | 5.625%, 09/15/25 144A | | 1,824,178 | | |
| | | Total Information Technology | | 18,184,315 | | |
| | | | | | | |
| | | Materials (1.5%) | | | | |
| | | Chemicals - Specialty (0.1%) | | | | |
| | | Diamond BC BV | | | | |
| 183,000 | | 4.625%, 10/01/29 144A | | 185,745 | | |
| | | | | | | |
| | | Containers - Metal/Glass (0.3%) | | | | |
| | | Ball Corp. | | | | |
| 500,000 | | 2.875%, 08/15/30 | | 485,313 | | |
| | | | | | | |
| | | Containers - Paper/Plastic (0.6%) | | | | |
| | | Berry Global, Inc. | | | | |
| 1,000,000 | | 5.625%, 07/15/27 144A | | 1,056,710 | | |
| | | | | | | |
| | | Paper & Related Products (0.5%) | | | | |
| | | Mercer International, Inc. | | | | |
| 975,000 | | 5.500%, 01/15/26 | | 995,719 | | |
| | | Total Materials | | 2,723,487 | | |
| | | Total Corporate Bonds
(cost $180,021,566) | | 181,959,496 | | |
| Shares | | Short-Term Investment (3.0%) | | | | |
| 5,595,369 | | Dreyfus Treasury Obligations Cash Management - Institutional Shares, 0.01%*
(cost $5,595,369) | | 5,595,369 | | |
| | | Total Investments
(cost $185,616,935 - note b) | 100.3% | | 187,554,865 | | |
| | | Other assets less liabilities | (0.3) | | (561,738) | | |
| | | Net Assets | 100.0% | | $ 186,993,127 | | |
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
| Portfolio Distribution | | Percent of
Investments |
| Advertising Services | | 1.6% |
| Aerospace/Defense - Equipment | | 1.3 |
| Applications Software | | 1.1 |
| Auto - Medium & Heavy Duty Trucks | | 1.9 |
| Broadcast Services/Program | | 1.6 |
| Building - Heavy Construction | | 0.8 |
| Building - Residential/Commercial | | 1.5 |
| Building & Construction Products - Miscellaneous | | 0.5 |
| Building Products - Doors & Windows | | 0.2 |
| Cable/Satellite TV | | 0.7 |
| Casinos & Gaming | | 5.1 |
| Chemicals - Specialty | | 0.1 |
| Commercial Services - Finance | | 0.5 |
| Communications Software | | 1.1 |
| Computer Services | | 0.7 |
| Computer Software | | 1.7 |
| Consulting Services | | 0.6 |
| Containers - Metal/Glass | | 0.3 |
| Containers - Paper/Plastic | | 0.6 |
| Diagnostic Equipment | | 0.6 |
| Disposable Medical Products | | 0.6 |
| E-Commerce/Services | | 1.1 |
| Electric Products - Miscellaneous | | 0.5 |
| Finance - Auto Loans | | 0.8 |
| Finance - Investment Banker/Broker | | 3.1 |
| Finance - Mortgage Loan/Banker | | 2.3 |
| Food - Canned | | 2.1 |
| Food - Miscellaneous/Diversified | | 0.5 |
| Food - Retail | | 2.6 |
| Food - Wholesale/Distributors | | 2.3 |
| Funeral Services & Related Items | | 0.6 |
| Hotels & Motels | | 0.8 |
| Human Resources | | 0.9 |
| Medical - Drugs | | 1.2 |
| Medical - Hospitals | | 1.1 |
| Medical - Wholesale Drug Distribution | | 1.1 |
| Medical Laboratories & Testing Services | | 1.6 |
| Midstream Oil & Gas | | 3.9 |
| Office Automation & Equipment | | 0.5 |
| Oil Company - Exploration & Production | | 0.6 |
| Oil - Field Services | | 1.0 |
| Oil Refining & Marketing | | 0.6 |
| Paper & Related Products | | 0.5 |
| Racetracks | | 5.3 |
| Real Estate Management/Service | | 4.9 |
| Real Estate Operator/Developer | | 0.4 |
See accompanying notes to financial statements.
AQUILA THREE PEAKS HIGH INCOME FUND
SCHEDULE OF INVESTMENTS (continued)
September 30, 2021
(unaudited)
| Portfolio Distribution | | Percent of
Investments |
| REITS - Diversified | | 3.9 |
| REITS - Hotels | | 5.8 |
| REITS - Storage | | 1.0 |
| Retail - Automobile | | 3.8 |
| Retail - Misc/Diversified | | 1.2 |
| Retail - Restaurants | | 0.6 |
| Retail - Sporting Goods | | 1.2 |
| Rubber - Tires | | 1.4 |
| Semiconductor Equipment | | 0.6 |
| Telecommunication Equipment | | 3.1 |
| Telephone - Integrated | | 0.5 |
| Theaters | | 2.8 |
| Transactional Software | | 0.4 |
| Transportation - Air Freight | | 0.9 |
| Transportation - Equipment & Leasing | | 2.5 |
| Transportation - Rail | | 2.1 |
| Waste Management | | 3.8 |
| Wireless Equipment | | 1.0 |
| | | 100.0% |
| * The rate is an annualized seven-day yield at period end. |
| |
| Note: 144A – Private placement subject to SEC rule 144A, which modifies a two-year holding period requirement to permit qualified institutional buyers to trade these securities among themselves, thereby significantly improving the liquidity of these securities. |
See accompanying notes to financial statements.
AQUILA THREE PEAKS HIGH INCOME FUND
NOTES TO FINANCIAL STATEMENTS
September 30, 2021
(unaudited)
(a) Securities valuation policies and other investment related disclosures are hereby incorporated by reference in the annual and semi-annual reports previously filed with the Securities and Exchange Commission on Form N-CSR.
(b) At September 30, 2021, the net unrealized appreciation on investments, based on cost for federal income tax purposes of $186,024,328 amounted to $1,530,537, which consisted of aggregate gross unrealized appreciation of $2,293,321 and aggregate gross unrealized depreciation of $762,784.
(c) Fair Value Measurements: The Fund follows a fair value hierarchy that distinguishes between market data obtained from independent sources (observable inputs) and the Fund’s own market assumptions (unobservable inputs). These inputs are used in determining the value of the Fund’s investments and are summarized in the following fair value hierarchy:
Level 1 – Unadjusted quoted prices in inactive markets for identical assets or liabilities that the Fund has the ability to access.
Level 2 – Observable inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
Level 3 – Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Fund’s own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.
The inputs or methodology used for valuing securities are not an indication of the risk associated with investing in those securities.
The following is a summary of the valuation inputs, representing 100% of the Fund’s investments, used to value the Fund’s net assets as of September 30, 2021:
| Valuation Inputs+ | | Investments in
Securities |
| Level 1 – Quoted Prices | | |
| Short-Term Investment | | $ | 5,595,369 |
| Level 2 – Other Significant Observable Inputs: | | |
| Corporate Obligations | | 181,959,496 |
| Level 3 – Significant Unobservable Inputs | | — |
| Total | | $ | 187,554,865 |
| +See schedule of investments for a detailed listing of securities. | | |
(d) Subsequent Event: On October 1, 2021, Three Peaks Capital Management, LLC will no longer serve as Sub-Adviser to the Fund. Aquila Investment Management will remain as the Fund's Investment Adviser. No Material changes to the Fund's investment objective, principal investment strategies, fees or expenses are currently anticipated in connection with the change. Effective October 1, 2021, the Fund was renamed Aquila High Income Fund.
