UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-03651
Touchstone Strategic Trust – December Funds
(Exact name of registrant as specified in charter)
303 Broadway, Suite 1100
Cincinnati, Ohio 45202-4203
(Address of principal executive offices) (Zip code)
E. Blake Moore, Jr.
303 Broadway, Suite 1100
Cincinnati, Ohio 45202-4203
(Name and address of agent for service)
Registrant's telephone number, including area code: 800-638-8194
Date of fiscal year end: December 31
Date of reporting period: June 30, 2022
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Stockholders.
(a) | The Report to Shareholders is attached herewith. |
Touchstone Strategic Trust |
Touchstone Anti-Benchmark® US Core Equity Fund |
Touchstone Dynamic Allocation Fund (formerly known as Touchstone Dynamic Global Allocation Fund) |
Touchstone Sands Capital International Growth Fund |
Sector Allocation*(% of Net Assets) | |
Health Care | 25.1% |
Consumer Staples | 23.7 |
Information Technology | 11.3 |
Communication Services | 9.5 |
Consumer Discretionary | 9.0 |
Utilities | 5.1 |
Energy | 3.6 |
Materials | 3.3 |
Real Estate | 3.3 |
Financials | 3.2 |
Industrials | 2.1 |
Short-Term Investment Funds | 1.9 |
Other Assets/Liabilities (Net) | (1.1) |
Total | 100.0% |
Sector Allocation(% of Net Assets) | |
Affiliated Mutual Funds | |
Equity Funds | 58.9% |
Fixed Income Funds | 40.3 |
Short-Term Investment Fund | 0.9 |
Other Assets/Liabilities (Net) | (0.1) |
Total | 100.0% |
Geographic Allocation(% of Net Assets) | |
Common Stocks | |
Japan | 16.2% |
Netherlands | 10.5 |
China | 10.4 |
Switzerland | 8.7 |
Taiwan | 8.2 |
United States | 6.6 |
India | 6.6 |
United Kingdom | 3.6 |
Sweden | 3.5 |
Australia | 3.4 |
Hong Kong | 3.3 |
Canada | 3.3 |
France | 3.2 |
Denmark | 3.0 |
Argentina | 2.5 |
Germany | 1.9 |
Brazil | 0.5 |
Short-Term Investment Fund | 4.6 |
Other Assets/Liabilities (Net) | 0.0 |
Total | 100.0% |
Shares | Market Value | |||
Common Stocks — 99.2% | ||||
Health Care — 25.1% | ||||
1,129 | ABIOMED, Inc.* | $ 279,439 | ||
2,477 | Alnylam Pharmaceuticals, Inc.* | 361,270 | ||
2,368 | Baxter International, Inc. | 152,097 | ||
1,809 | Becton Dickinson & Co. | 445,973 | ||
2,334 | Biogen, Inc.* | 475,996 | ||
6,063 | DENTSPLY SIRONA, Inc. | 216,631 | ||
5,067 | Elanco Animal Health, Inc.* | 99,465 | ||
2,166 | Eli Lilly & Co. | 702,282 | ||
8,781 | Gilead Sciences, Inc. | 542,754 | ||
515 | Horizon Therapeutics PLC* | 41,076 | ||
377 | Humana, Inc. | 176,462 | ||
353 | Johnson & Johnson | 62,661 | ||
4,657 | Merck & Co., Inc. | 424,579 | ||
2,011 | Moderna, Inc.* | 287,271 | ||
14,136 | Pfizer, Inc. | 741,151 | ||
1,260 | Quest Diagnostics, Inc. | 167,555 | ||
342 | Regeneron Pharmaceuticals, Inc.* | 202,166 | ||
586 | Repligen Corp.* | 95,166 | ||
657 | Seagen, Inc.* | 116,250 | ||
290 | United Therapeutics Corp.* | 68,336 | ||
441 | Vertex Pharmaceuticals, Inc.* | 124,269 | ||
12,076 | Viatris, Inc. | 126,436 | ||
5,909,285 | ||||
Consumer Staples — 23.7% | ||||
3,521 | Church & Dwight Co., Inc. | 326,256 | ||
5,108 | Clorox Co. (The) | 720,126 | ||
457 | Colgate-Palmolive Co. | 36,624 | ||
19,480 | Conagra Brands, Inc. | 666,995 | ||
9,930 | General Mills, Inc. | 749,218 | ||
13,732 | Hormel Foods Corp. | 650,348 | ||
5,110 | J M Smucker Co. (The) | 654,131 | ||
10,152 | Kellogg Co. | 724,244 | ||
3,429 | Keurig Dr Pepper, Inc. | 121,352 | ||
2,484 | Kimberly-Clark Corp. | 335,713 | ||
12,977 | Kroger Co. (The) | 614,201 | ||
5,599,208 | ||||
Information Technology — 11.3% | ||||
832 | Akamai Technologies, Inc.* | 75,987 | ||
4,974 | Amdocs Ltd. | 414,384 | ||
444 | Check Point Software Technologies Ltd. (Israel)* | 54,070 | ||
600 | Enphase Energy, Inc.* | 117,144 | ||
862 | EPAM Systems, Inc.* | 254,100 | ||
30,557 | Hewlett Packard Enterprise Co. | 405,186 | ||
1,192 | HP, Inc. | 39,074 | ||
29,472 | NortonLifeLock, Inc. | 647,205 | ||
1,135 | SolarEdge Technologies, Inc.* | 310,627 | ||
593 | Zendesk, Inc.* | 43,923 | ||
2,841 | Zoom Video Communications, Inc. - Class A* | 306,743 | ||
2,668,443 | ||||
Communication Services — 9.5% | ||||
7,948 | AMC Entertainment Holdings, Inc. - Class A*† | 107,695 | ||
1,502 | AT&T, Inc. | 31,482 | ||
2,949 | Electronic Arts, Inc. | 358,746 | ||
44,913 | Lumen Technologies, Inc. | 490,001 | ||
222 | Netflix, Inc.* | 38,821 | ||
14,035 | Paramount Global - Class B | 346,384 | ||
1,089 | ROBLOX Corp.* | 35,784 | ||
16,674 | Snap, Inc. - Class A* | 218,930 | ||
1,399 | Spotify Technology SA* | 131,268 |
Shares | Market Value | |||
Communication Services — (Continued) | ||||
1,535 | Take-Two Interactive Software, Inc.* | $ 188,084 | ||
5,963 | Verizon Communications, Inc. | 302,622 | ||
2,249,817 | ||||
Consumer Discretionary — 9.0% | ||||
478 | Burlington Stores, Inc.* | 65,118 | ||
3,251 | Dollar Tree, Inc.* | 506,668 | ||
928 | Domino's Pizza, Inc. | 361,651 | ||
786 | Expedia Group, Inc.* | 74,536 | ||
5,224 | Las Vegas Sands Corp.* | 175,474 | ||
7,763 | Lucid Group, Inc.*† | 133,213 | ||
952 | Marriott International, Inc. - Class A | 129,482 | ||
277 | Vail Resorts, Inc. | 60,400 | ||
12,483 | Yum China Holdings, Inc. (China) | 605,426 | ||
2,111,968 | ||||
Utilities — 5.1% | ||||
7,424 | Consolidated Edison, Inc. | 706,022 | ||
818 | Edison International | 51,730 | ||
745 | Eversource Energy | 62,930 | ||
37,868 | PG&E Corp.* | 377,923 | ||
1,198,605 | ||||
Energy — 3.6% | ||||
3,362 | Baker Hughes Co. | 97,061 | ||
2,665 | Diamondback Energy, Inc. | 322,865 | ||
963 | EOG Resources, Inc. | 106,354 | ||
2,912 | Occidental Petroleum Corp. | 171,458 | ||
149 | Pioneer Natural Resources | 33,239 | ||
3,503 | Schlumberger NV | 125,267 | ||
856,244 | ||||
Materials — 3.3% | ||||
1,160 | CF Industries Holdings, Inc. | 99,447 | ||
1,211 | Mosaic Co. (The) | 57,196 | ||
10,456 | Newmont Corp. | 623,909 | ||
780,552 | ||||
Real Estate — 3.3% | ||||
2,432 | Extra Space Storage, Inc. REIT | 413,732 | ||
8,145 | Host Hotels & Resorts, Inc. REIT | 127,713 | ||
201 | Public Storage REIT | 62,847 | ||
2,261 | Regency Centers Corp. REIT | 134,100 | ||
374 | Welltower, Inc. REIT | 30,799 | ||
769,191 | ||||
Financials — 3.2% | ||||
184 | Assurant, Inc. | 31,804 | ||
3,046 | Cboe Global Markets, Inc. | 344,777 | ||
8,096 | First Horizon Corp. | 176,979 | ||
1,333 | M&T Bank Corp. | 212,467 | ||
766,027 | ||||
Industrials — 2.1% | ||||
4,809 | CH Robinson Worldwide, Inc. | 487,488 | ||
Total Common Stocks | $23,396,828 |
Shares | Market Value | |||
Short-Term Investment Funds — 1.9% | ||||
204,010 | Dreyfus Government Cash Management, Institutional Shares, 1.35%∞Ω | $ 204,010 | ||
243,271 | Invesco Government & Agency Portfolio, Institutional Class, 1.38%∞Ω** | 243,271 | ||
Total Short-Term Investment Funds | $447,281 | |||
Total Investment Securities—101.1% (Cost $22,075,738) | $23,844,109 | |||
Liabilities in Excess of Other Assets — (1.1%) | (252,728) | |||
Net Assets — 100.0% | $23,591,381 |
* | Non-income producing security. |
** | Represents collateral for securities loaned. |
† | All or a portion of the security is on loan. The total market value of the securities on loan as of June 30, 2022 was $235,835. |
∞ | Open-End Fund. |
Ω | Represents the 7-Day SEC yield as of June 30, 2022. |
Portfolio Abbreviations: |
PLC – Public Limited Company |
REIT – Real Estate Investment Trust |
Valuation Inputs at Reporting Date: | ||||
Description | Level 1 | Level 2 | Level 3 | Total |
Common Stocks | $23,396,828 | $— | $— | $23,396,828 |
Short-Term Investment Funds | 447,281 | — | — | 447,281 |
Total | $23,844,109 | $— | $— | $23,844,109 |
Shares | Market Value | |||
Affiliated Mutual Funds∞^~ — 99.2% | ||||
Equity Funds — 58.9% | ||||
673,628 | Touchstone Anti-Benchmark International Core Equity Fund | $ 5,449,651 | ||
212,178 | Touchstone Growth Opportunities Fund | 7,040,067 | ||
953,916 | Touchstone International ESG Equity Fund | 6,400,776 | ||
32,821 | Touchstone Mid Cap Fund | 1,364,363 | ||
310,130 | Touchstone Sands Capital Emerging Markets Growth Fund | 4,096,824 | ||
367,579 | Touchstone Sands Capital Select Growth Fund | 3,631,683 | ||
22,754 | Touchstone Small Cap Value Fund | 680,102 | ||
1,065,097 | Touchstone Value Fund | 10,576,415 | ||
39,239,881 | ||||
Fixed Income Funds — 40.3% | ||||
367,004 | Touchstone Active Bond Fund | 3,512,231 | ||
154,248 | Touchstone Ares Credit Opportunities Fund | 1,374,346 | ||
379,334 | Touchstone High Yield Fund | 2,700,857 | ||
1,835,752 | Touchstone Impact Bond Fund | 17,145,922 | ||
235,885 | Touchstone Ultra Short Duration Fixed Income Fund | 2,127,682 | ||
26,861,038 | ||||
Total Affiliated Mutual Funds | $66,100,919 | |||
Short-Term Investment Fund — 0.9% | ||||
622,211 | Dreyfus Government Cash Management, Institutional Shares, 1.35%∞Ω | 622,211 | ||
Total Investment Securities—100.1% (Cost $73,210,492) | $66,723,130 | |||
Liabilities in Excess of Other Assets — (0.1%) | (70,752) | |||
Net Assets — 100.0% | $66,652,378 |
^ | All affiliated fund investments are invested in the Institutional Class, unless otherwise indicated. |
~ | The financial statements of the underlying funds can be found on the SEC website. |
∞ | Open-End Fund. |
Ω | Represents the 7-Day SEC yield as of June 30, 2022. |
Valuation Inputs at Reporting Date: | ||||
Description | Level 1 | Level 2 | Level 3 | Total |
Affiliated Mutual Funds | $66,100,919 | $— | $— | $66,100,919 |
Short-Term Investment Fund | 622,211 | — | — | 622,211 |
Total | $66,723,130 | $— | $— | $66,723,130 |
Shares | Market Value | |||
Common Stocks — 95.4% | ||||
Japan — 16.2% | ||||
Consumer Staples — 1.7% | ||||
22,700 | Welcia Holdings Co. Ltd. | $ 456,371 | ||
Health Care — 2.5% | ||||
22,300 | M3, Inc. | 641,905 | ||
Industrials — 7.8% | ||||
43,500 | MonotaRO Co. Ltd. | 648,746 | ||
62,200 | Nihon M&A Center Holdings, Inc. | 663,061 | ||
24,700 | Recruit Holdings Co. Ltd. | 727,426 | ||
Information Technology — 4.2% | ||||
3,200 | Keyence Corp. | 1,097,402 | ||
Total Japan | 4,234,911 | |||
Netherlands — 10.5% | ||||
Information Technology — 10.5% | ||||
834 | Adyen NV, 144a* | 1,203,572 | ||
3,237 | ASML Holding NV | 1,540,424 | ||
Total Netherlands | 2,743,996 | |||
China — 10.4% | ||||
Communication Services — 3.2% | ||||
18,300 | Tencent Holdings Ltd. | 828,352 | ||
Consumer Discretionary — 2.8% | ||||
60,000 | ANTA Sports Products Ltd. | 738,383 | ||
Health Care — 4.4% | ||||
125,000 | Wuxi Biologics Cayman, Inc., 144a* | 1,158,178 | ||
Total China | 2,724,913 | |||
Switzerland — 8.7% | ||||
Consumer Staples — 0.7% | ||||
2,378 | Zur Rose Group AG* | 178,679 | ||
Health Care — 3.2% | ||||
1,557 | Lonza Group AG | 831,652 | ||
Industrials — 2.3% | ||||
2,542 | VAT Group AG, 144a | 607,936 | ||
Materials — 2.5% | ||||
2,844 | Sika AG | 656,501 | ||
Total Switzerland | 2,274,768 | |||
Taiwan — 8.2% | ||||
Communication Services — 2.4% | ||||
9,436 | Sea Ltd. ADR* | 630,891 | ||
Information Technology — 5.8% | ||||
18,653 | Taiwan Semiconductor Manufacturing Co. Ltd. ADR | 1,524,883 | ||
Total Taiwan | 2,155,774 | |||
United States — 6.6% | ||||
Consumer Discretionary — 2.8% | ||||
8,225 | Aptiv PLC* | 732,601 | ||
Information Technology — 3.8% | ||||
5,313 | Atlassian Corp. PLC - Class A* | 995,656 | ||
Total United States | 1,728,257 | |||
India — 6.6% | ||||
Financials — 6.6% | ||||
10,817 | Bajaj Finance Ltd. | 744,287 | ||
17,750 | HDFC Bank Ltd. ADR | 975,540 | ||
Total India | 1,719,827 |
Shares | Market Value | |||
United Kingdom — 3.6% | ||||
Consumer Discretionary — 3.6% | ||||
61,626 | Entain PLC* | $ 937,804 | ||
Sweden — 3.5% | ||||
Information Technology — 3.5% | ||||
86,688 | Hexagon AB - Class B | 905,808 | ||
Australia — 3.4% | ||||
Health Care — 3.4% | ||||
4,765 | CSL Ltd. | 884,741 | ||
Hong Kong — 3.3% | ||||
Financials — 3.3% | ||||
79,200 | AIA Group Ltd. | 865,384 | ||
Canada — 3.3% | ||||
Information Technology — 3.3% | ||||
27,390 | Shopify, Inc. - Class A* | 855,664 | ||
France — 3.2% | ||||
Health Care — 3.2% | ||||
2,636 | Sartorius Stedim Biotech | 831,705 | ||
Denmark — 3.0% | ||||
Health Care — 3.0% | ||||
2,414 | Genmab A/S* | 783,210 | ||
Argentina — 2.5% | ||||
Consumer Discretionary — 2.5% | ||||
1,028 | MercadoLibre, Inc.* | 654,702 | ||
Germany — 1.9% | ||||
Consumer Discretionary — 1.9% | ||||
19,196 | Zalando SE, 144a* | 505,673 | ||
Brazil — 0.5% | ||||
Information Technology — 0.5% | ||||
14,185 | Pagseguro Digital Ltd. - Class A* | 145,254 | ||
Total Common Stocks | $24,952,391 | |||
Short-Term Investment Fund — 4.6% | ||||
1,195,734 | Dreyfus Government Cash Management, Institutional Shares, 1.35%∞Ω | 1,195,734 | ||
Total Investment Securities — 100.0% (Cost $40,997,724) | $26,148,125 | |||
Other Assets in Excess of Liabilities — 0.0% | 12,822 | |||
Net Assets — 100.0% | $26,160,947 |
* | Non-income producing security. |
∞ | Open-End Fund. |
Ω | Represents the 7-Day SEC yield as of June 30, 2022. |
Portfolio Abbreviations: |
ADR – American Depositary Receipt |
PLC – Public Limited Company |
144a - This is a restricted security that was sold in a transaction qualifying for the exemption under Rule 144a of the Securities Act of 1933. This security may be sold in transactions exempt from registration, normally to qualified institutional buyers. At June 30, 2022, these securities were valued at $3,475,359 or 13.3% of net assets. These securities were deemed liquid pursuant to procedures approved by the Board of Trustees. |
Valuation inputs at Reporting Date: | ||||
Description | Level 1 | Level 2 | Level 3 | Total |
Common Stocks | ||||
Japan | $— | $4,234,911 | $— | $4,234,911 |
Netherlands | 1,540,424 | 1,203,572 | — | 2,743,996 |
China | — | 2,724,913 | — | 2,724,913 |
Switzerland | — | 2,274,768 | — | 2,274,768 |
Taiwan | 2,155,774 | — | — | 2,155,774 |
United States | 1,728,257 | — | — | 1,728,257 |
India | 975,540 | 744,287 | — | 1,719,827 |
United Kingdom | — | 937,804 | — | 937,804 |
Sweden | — | 905,808 | — | 905,808 |
Australia | — | 884,741 | — | 884,741 |
Hong Kong | — | 865,384 | — | 865,384 |
Canada | 855,664 | — | — | 855,664 |
France | — | 831,705 | — | 831,705 |
Denmark | — | 783,210 | — | 783,210 |
Argentina | 654,702 | — | — | 654,702 |
Germany | — | 505,673 | — | 505,673 |
Brazil | 145,254 | — | — | 145,254 |
Short-Term Investment Fund | 1,195,734 | — | — | 1,195,734 |
Total | $9,251,349 | $16,896,776 | $— | $26,148,125 |
Touchstone Anti- Benchmark® US Core Equity Fund | Touchstone Dynamic Allocation Fund | Touchstone Sands Capital International Growth Fund | |
Assets | |||
Affiliated securities, at cost | $— | $72,588,281 | $— |
Non-affiliated securities, at cost | 22,075,738 | 622,211 | 40,997,724 |
Affiliated securities, at market value | $— | $66,100,919 | $— |
Non-affiliated securities, at market value* | 23,844,109 | 622,211 | 26,148,125 |
Foreign currency † | — | — | 4,969 |
Dividends and interest receivable | 22,907 | — | 18,888 |
Receivable for capital shares sold | 39 | 6,767 | — |
Receivable for investments sold | — | 33,621 | — |
Receivable for securities lending income | 2,370 | 32 | — |
Tax reclaim receivable | — | — | 6,717 |
Other assets | 24,710 | 43,595 | 23,450 |
Total Assets | 23,894,135 | 66,807,145 | 26,202,149 |
Liabilities | |||
Payable for return of collateral for securities on loan | 243,271 | — | — |
Payable for capital shares redeemed | 19,383 | 94,864 | — |
Payable to Investment Advisor | 1,312 | — | 86 |
Payable to other affiliates | 3,248 | 3,802 | 3,629 |
Payable to Trustees | 13,649 | 13,649 | 13,649 |
Payable for professional services | 11,457 | 10,736 | 17,295 |
Payable for reports to shareholders | 4,581 | 3,613 | 3,503 |
Payable for transfer agent services | 5,853 | 25,248 | 2,754 |
Other accrued expenses and liabilities | — | 2,855 | 286 |
Total Liabilities | 302,754 | 154,767 | 41,202 |
Net Assets | $23,591,381 | $66,652,378 | $26,160,947 |
Net assets consist of: | |||
Paid-in capital | 18,727,097 | 72,109,180 | 49,226,927 |
Distributable earnings (deficit) | 4,864,284 | (5,456,802) | (23,065,980) |
Net Assets | $23,591,381 | $66,652,378 | $26,160,947 |
*Includes market value of securities on loan of: | $235,835 | $— | $— |
†Cost of foreign currency: | $— | $— | $5,004 |
Touchstone Anti- Benchmark® US Core Equity Fund | Touchstone Dynamic Allocation Fund | Touchstone Sands Capital International Growth Fund | |
Pricing of Class A Shares | |||
Net assets applicable to Class A shares | $5,284,744 | $61,534,752 | $— |
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 417,339 | 5,647,146 | — |
Net asset value price per share* | $12.66 | $10.90 | $— |
Maximum sales charge - Class A shares | 5.00% | 5.00% | — |
Maximum offering price per share (100%/(100%-maximum sales charge) of net asset value adjusted to the nearest cent) - Class A shares | $13.33 | $11.47 | $— |
Pricing of Class C Shares | |||
Net assets applicable to Class C shares | $1,040,944 | $1,475,702 | $— |
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 92,058 | 140,923 | — |
Net asset value and offering price per share** | $11.31 | $10.47 | $— |
Pricing of Class Y Shares | |||
Net assets applicable to Class Y shares | $12,728,394 | $3,641,924 | $1,393,146 |
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 992,566 | 330,642 | 238,587 |
Net asset value, offering price and redemption price per share | $12.82 | $11.01 | $5.84 |
Pricing of Institutional Class Shares | |||
Net assets applicable to Institutional Class shares | $4,537,299 | $— | $10,139,518 |
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | 348,338 | — | 1,733,285 |
Net asset value, offering price and redemption price per share | $13.03 | $— | $5.85 |
Pricing of Class R6 Shares | |||
Net assets applicable to Class R6 shares | $— | $— | $14,628,283 |
Shares of beneficial interest outstanding (unlimited number of shares authorized, no par value) | — | — | 2,500,250 |
Net asset value, offering price and redemption price per share | $— | $— | $5.85 |
* | There is no sales load on subscriptions of $1 million or more. Redemptions that were part of a $1 million or more subscription may be subject to a contingent deferred sales load if redeemed within a one-year period from the date of purchase. |
** | Redemption price per share varies by length of time shares are held due to the terms of the contingent deferred sales charge. |
Touchstone Anti- Benchmark® US Core Equity Fund | Touchstone Dynamic Allocation Fund | Touchstone Sands Capital International Growth Fund | |
Investment Income | |||
Dividends from affiliated securities | $— | $455,108 | $— |
Dividends from non-affiliated securities* | 259,343 | 1,145 | 135,191 |
Income from securities loaned | 10,261 | 1,841 | — |
Total Investment Income | 269,604 | 458,094 | 135,191 |
Expenses | |||
Investment advisory fees | 44,938 | 93,914 | 131,900 |
Administration fees | 17,113 | 50,050 | 21,927 |
Compliance fees and expenses | 1,594 | 1,594 | 1,594 |
Custody fees | 8,403 | 2,077 | 9,436 |
Professional fees | 13,359 | 20,674 | 16,452 |
Transfer Agent fees, Class A | 4,010 | 35,375 | — |
Transfer Agent fees, Class C | 680 | 1,389 | — |
Transfer Agent fees, Class Y | 6,058 | 2,482 | 672 |
Transfer Agent fees, Institutional Class | 32 | — | 6,252 |
Transfer Agent fees, Class R6 | — | — | 24 |
Registration Fees, Class A | 6,069 | 9,807 | — |
Registration Fees, Class C | 5,324 | 6,866 | — |
Registration Fees, Class Y | 7,662 | 4,101 | 4,791 |
Registration Fees, Institutional Class | 4,254 | — | 16,496 |
Registration Fees, Class R6 | — | — | 2,979 |
Reports to Shareholders, Class A | 1,610 | 4,094 | — |
Reports to Shareholders, Class C | 1,312 | 1,374 | — |
Reports to Shareholders, Class Y | 1,753 | 1,330 | 1,387 |
Reports to Shareholders, Institutional Class | 1,256 | — | 1,605 |
Reports to Shareholders, Class R6 | — | — | 1,308 |
Distribution expenses, Class A | 7,259 | 86,554 | — |
Distribution and shareholder servicing expenses, Class C | 6,019 | 8,854 | — |
Trustee fees | 14,160 | 14,160 | 14,160 |
Other expenses | 9,837 | 23,659 | 11,390 |
Total Expenses | 162,702 | 368,354 | 242,373 |
Fees waived and/or reimbursed by the Advisor and/or Affiliates(A) | (82,427) | (182,709) | (101,880) |
Net Expenses | 80,275 | 185,645 | 140,493 |
Net Investment Income (Loss) | 189,329 | 272,449 | (5,302) |
Realized and Unrealized Gains (Losses) on Investments | |||
Net realized gains(losses) on investments in non-affiliated securities | (256,936) | 522,237 | (7,288,303) |
Net realized loss on investments in affiliated securities | — | (1,053,681) | — |
Net realized gains on foreign currency transactions | 3 | — | 4,702 |
Net change in unrealized appreciation(depreciation) on investments in non-affiliated securities | (3,986,081) | (534,396) | (12,707,750) |
Net change in unrealized appreciation (depreciation) on investments in affiliated securities | — | (13,161,622) | — |
Net change in unrealized appreciation (depreciation) on foreign currency transactions | — | — | 237 |
Net Realized and Unrealized Gains (Losses) on Investments | (4,243,014) | (14,227,462) | (19,991,114) |
Change in Net Assets Resulting from Operations | $(4,053,685) | $(13,955,013) | $(19,996,416) |
*Net of foreign tax withholding of: | $— | $— | $14,669 |
(A) | See Note 4 in Notes to Financial Statements. |
Touchstone Anti- Benchmark® US Core Equity Fund | Touchstone Dynamic Allocation Fund | Touchstone Sands Capital International Growth Fund | ||||
For the Six Months Ended June 30, 2022 (Unaudited) | For the Year Ended December 31, 2021 | For the Six Months Ended June 30, 2022 (Unaudited) | For the Year Ended December 31, 2021 | For the Six Months Ended June 30, 2022 (Unaudited) | For the Period Ended December 31, 2021(A) | |
From Operations | ||||||
Net investment income (loss) | $189,329 | $476,576 | $272,449 | $1,109,427 | $(5,302) | $(191,526) |
Net realized gains (losses) on investments, capital gain distributions received and foreign currency transactions | (256,933) | 4,739,555 | (531,444) | 5,253,080 | (7,283,601) | (865,603) |
Net change in unrealized appreciation (depreciation) on investments and foreign currency transactions | (3,986,081) | (1,116,577) | (13,696,018) | (1,876,894) | (12,707,513) | (2,142,388) |
Change in Net Assets from Operations | (4,053,685) | 4,099,554 | (13,955,013) | 4,485,613 | (19,996,416) | (3,199,517) |
Distributions to Shareholders: | ||||||
Distributed earnings, Class A | — | (214,429) | (228,593) | (4,319,434) | — | — |
Distributed earnings, Class C | — | (44,902) | (25,293) | (98,167) | — | — |
Distributed earnings, Class Y | — | (579,062) | (18,534) | (289,245) | — | — |
Distributed earnings, Institutional Class | — | (510,927) | — | — | — | — |
Total Distributions | — | (1,349,320) | (272,420) | (4,706,846) | — | — |
Change in Net Assets from Share Transactions(B) | (1,400,095) | (22,329,169) | (4,081,980) | (4,191,020) | (16,657,254) | 66,014,134 |
Total Increase (Decrease) in Net Assets | (5,453,780) | (19,578,935) | (18,309,413) | (4,412,253) | (36,653,670) | 62,814,617 |
Net Assets | ||||||
Beginning of period | 29,045,161 | 48,624,096 | 84,961,791 | 89,374,044 | 62,814,617 | — |
End of period | $23,591,381 | $29,045,161 | $66,652,378 | $84,961,791 | $26,160,947 | $62,814,617 |
(A) | Represents the period from commencement of operations (March 8, 2021) through December 31, 2021. |
(B) | For details on share transactions by class, see Statements of Changes in Net Assets - Capital Stock Activity on page 14 to 15. |
Touchstone Anti- Benchmark® US Core Equity Fund | Touchstone Dynamic Allocation Fund | |||||||
For the Six Months Ended June 30, 2022 (Unaudited) | For the Year Ended December 31, 2021 | For the Six Months Ended June 30, 2022 (Unaudited) | For the Year Ended December 31, 2021 | |||||
Shares | Dollars | Shares | Dollars | Shares | Dollars | Shares | Dollars | |
Class A | ||||||||
Proceeds from Shares issued | 12,142 | $162,311 | 41,894 | $619,883 | 52,877 | $639,851 | 163,860 | $2,239,998 |
Reinvestment of distributions | — | — | 10,386 | 152,526 | 17,637 | 205,141 | 289,884 | 3,862,634 |
Cost of Shares redeemed | (33,459) | (440,699) | (53,991) | (809,581) | (341,347) | (4,085,859) | (702,314) | (9,645,407) |
Change from Class A Share Transactions | (21,317) | (278,388) | (1,711) | (37,172) | (270,833) | (3,240,867) | (248,570) | (3,542,775) |
Class C | ||||||||
Proceeds from Shares issued | 145 | 1,775 | 338 | 4,524 | 6,387 | 77,069 | 25,752 | 345,614 |
Reinvestment of distributions | — | — | 3,317 | 43,502 | 2,378 | 24,994 | 7,477 | 97,049 |
Cost of Shares redeemed | (19,981) | (240,496) | (47,554) | (631,369) | (25,955) | (303,357) | (107,897) | (1,446,387) |
Change from Class C Share Transactions | (19,836) | (238,721) | (43,899) | (583,343) | (17,190) | (201,294) | (74,668) | (1,003,724) |
Class Y | ||||||||
Proceeds from Shares issued | 2,170 | 29,188 | 32,704 | 490,829 | 18,238 | 219,681 | 63,672 | 886,019 |
Reinvestment of distributions | — | — | 34,967 | 519,941 | 1,463 | 17,238 | 20,088 | 270,809 |
Cost of Shares redeemed | (75,011) | (1,021,051) | (228,587) | (3,451,230) | (69,533) | (876,738) | (57,404) | (801,349) |
Change from Class Y Share Transactions | (72,841) | (991,863) | (160,916) | (2,440,460) | (49,832) | (639,819) | 26,356 | 355,479 |
Institutional Class | ||||||||
Proceeds from Shares issued | 9,197 | 120,021 | — | — | — | — | — | — |
Reinvestment of distributions | — | — | 33,650 | 510,927 | — | — | — | — |
Cost of Shares redeemed | (766) | (11,144) | (1,276,961) | (19,779,121) | — | — | — | — |
Change from Institutional Class Share Transactions | 8,431 | 108,877 | (1,243,311) | (19,268,194) | — | — | — | — |
Class R6 | ||||||||
Proceeds from Shares issued | — | — | — | — | — | — | — | — |
Cost of Shares redeemed | — | — | — | — | — | — | — | — |
Change from Class R6 Share Transactions | — | — | — | — | — | — | — | — |
Change from Share Transactions | (105,563) | $(1,400,095) | (1,449,837) | $(22,329,169) | (337,855) | $(4,081,980) | (296,882) | $(4,191,020) |
(A) | Represents the period from commencement of operations (March 8, 2021) through December 31, 2021. |
Touchstone Sands Capital International Growth Fund | |||
For the Six Months Ended June 30, 2022 (Unaudited) | For the Period Ended December 31, 2021(A) | ||
Shares | Dollars | Shares | Dollars |
— | $— | — | $— |
— | — | — | — |
— | — | — | — |
— | — | — | — |
— | — | — | — |
— | — | — | — |
— | — | — | — |
— | — | — | — |
120,851 | 883,264 | 171,130 | 1,927,465 |
— | — | — | — |
(6,718) | (41,890) | (46,676) | (532,912) |
114,133 | 841,374 | 124,454 | 1,394,553 |
513,005 | 4,195,037 | 3,614,814 | 40,776,835 |
— | — | — | — |
(2,283,700) | (21,693,665) | (110,834) | (1,159,754) |
(1,770,695) | (17,498,628) | 3,503,980 | 39,617,081 |
— | — | 2,500,250 | 25,002,504 |
— | — | — | (4) |
— | — | 2,500,250 | 25,002,500 |
(1,656,562) | $(16,657,254) | 6,128,684 | $66,014,134 |
Touchstone Anti-Benchmark® US Core Equity Fund | ||||||||||||||||||||||||||||||
Period ended | Net asset value at beginning of period | Net investment income | Net realized and unrealized gains (losses) on investments | Total from investment operations | Distributions from net investment income | Distributions from realized capital gains | Return of capital | Total distributions | Net asset value at end of period | Total return(1) | Net assets at end of period (000's) | Ratio of net expenses to average net assets | Ratio of gross expenses to average net assets | Ratio of net investment income (loss) to average net assets | Portfolio turnover rate | |||||||||||||||
Class A | ||||||||||||||||||||||||||||||
12/31/20(2) | $12.97 | $0.02 | $1.20 | $1.22 | $(0.15) | $ — | $ — | $(0.15) | $14.04 | 9.41%(3) | $6,184 | 0.79%(4) | 1.31%(4) | 0.70%(4) | 54%(3)(5) | |||||||||||||||
12/31/21 | 14.04 | 0.11(6) | 1.13 | 1.24 | (0.28) | (0.22) | — | (0.50) | 14.78 | 8.89 | 6,482 | 0.79 | 1.29 | 0.71 | 59 | |||||||||||||||
06/30/22(7) | 14.78 | 0.09(6) | (2.21) | (2.12) | — | — | — | — | 12.66 | (14.34)(3) | 5,285 | 0.79(4) | 1.50(4) | 1.31(4) | 45(3) | |||||||||||||||
Class C | ||||||||||||||||||||||||||||||
12/31/20(2) | $11.57 | $—(8) | $1.07 | $1.07 | $— | $ — | $ — | $— | $12.64 | 9.25%(3) | $1,969 | 1.54%(4) | 2.22%(4) | (0.05)%(4) | 54%(3)(5) | |||||||||||||||
12/31/21 | 12.64 | (—)(6)(8) | 1.00 | 1.00 | (0.18) | (0.22) | — | (0.40) | 13.24 | 8.05 | 1,482 | 1.54 | 2.44 | (0.04) | 59 | |||||||||||||||
06/30/22(7) | 13.24 | 0.03(6) | (1.96) | (1.93) | — | — | — | — | 11.31 | (14.64)(3) | 1,041 | 1.54(4) | 3.07(4) | 0.56(4) | 45(3) | |||||||||||||||
Class Y | ||||||||||||||||||||||||||||||
09/30/19(9)(10) | $11.22 | $0.10 | $0.63 | $0.73 | $(0.07) | $ — | $ — | $(0.07) | $11.88 | 6.57%(3) | $52 | 0.54%(4) | 110.89%(4) | 2.10%(4) | 137%(3)(11) | |||||||||||||||
09/30/20(9) | 11.88 | 0.29 | 1.44 | 1.73 | (0.38) | (0.17) | (0.01) | (0.56) | 13.05 | 14.63 | 159 | 0.54 | 9.63 | 1.91 | 73 | |||||||||||||||
12/31/20(9)(12)(13) | 13.05 | 0.04 | 1.30 | 1.34 | (0.19) | — | — | (0.19) | 14.20 | 10.23(3) | 17,411 | 0.54(4) | 1.04(4) | 0.92(4) | 54(3)(5) | |||||||||||||||
12/31/21 | 14.20 | 0.15(6) | 1.14 | 1.29 | (0.32) | (0.22) | — | (0.54) | 14.95 | 9.14 | 15,924 | 0.54 | 0.85 | 0.96 | 59 | |||||||||||||||
06/30/22(7) | 14.95 | 0.11(6) | (2.24) | (2.13) | — | — | — | — | 12.82 | (14.25)(3) | 12,728 | 0.54(4) | 1.07(4) | 1.56(4) | 45(3) | |||||||||||||||
Institutional Class | ||||||||||||||||||||||||||||||
09/30/19(9)(10) | $11.36 | $0.22 | $0.52 | $0.74 | $(0.07) | $ — | $ — | $(0.07) | $12.03 | 6.59%(3) | $26,648 | 0.44%(4) | 0.85%(4) | 2.21%(4) | 137%(3)(11) | |||||||||||||||
09/30/20(9) | 12.03 | 0.25 | 1.53 | 1.78 | (0.41) | (0.17) | (0.01) | (0.59) | 13.22 | 14.77 | 30,585 | 0.44 | 0.77 | 2.01 | 73 | |||||||||||||||
12/31/20(9)(12)(13) | 13.22 | 0.04 | 1.31 | 1.35 | (—)(8) | — | — | — | 14.57 | 10.22(3) | 23,061 | 0.44(4) | 0.82(4) | 1.02(4) | 54(3)(5) | |||||||||||||||
12/31/21 | 14.57 | 0.17(6) | 1.16 | 1.33 | (0.51) | (0.22) | — | (0.73) | 15.17 | 9.17 | 5,158 | 0.44 | 0.72 | 1.06 | 59 | |||||||||||||||
06/30/22(7) | 15.17 | 0.11(6) | (2.25) | (2.14) | — | — | — | — | 13.03 | (14.11)(3) | 4,537 | 0.44(4) | 1.09(4) | 1.66(4) | 45(3) |
(1) | Total returns shown exclude the effect of applicable sales loads and fees. If these charges were included, the returns would be lower. |
(2) | Represents the period from commencement of operations (October 2, 2020) through December 31, 2020. |
(3) | Not annualized. |
(4) | Annualized. |
(5) | Portfolio turnover excludes the purchases and sales of securities of the Touchstone Dynamic Equity Fund merger on October 2, 2020. If these transactions were included, portfolio turnover would have been higher. |
(6) | The net investment income (loss) per share was based on average shares outstanding for the period. |
(7) | Unaudited. |
(8) | Less than $0.005 per share. |
(9) | During the three months ended December 31, 2020, the Fund effected the following reverse stock split effective the close of business October 2, 2020: 0.8911 for 1 for Class Y shares and 0.8799 for 1 for Institutional Class shares. All historical per share information has been retroactively adjusted to reflect this reverse stock split. |
(10) | Represents the period from commencement of operations (November 19, 2018) through September 30, 2019. |
(11) | Portfolio turnover excludes securities received from processing a subscription-in-kind. |
(12) | Represents the three months ended December 31, 2020. |
(13) | The Fund changed its fiscal year end from September 30 to December 31. |
Touchstone Dynamic Allocation Fund | ||||||||||||||||||||||||||||
Period ended | Net asset value at beginning of period | Net investment income | Net realized and unrealized gains (losses) on investments | Total from investment operations | Distributions from net investment income | Distributions from realized capital gains | Total distributions | Net asset value at end of period | Total return(1) | Net assets at end of period (000's) | Ratio of net expenses to average net assets(2) | Ratio of gross expenses to average net assets(2) | Ratio of net investment income (loss) to average net assets | Portfolio turnover rate | ||||||||||||||
Class A | ||||||||||||||||||||||||||||
12/31/17 | $11.56 | $0.21 | $1.39 | $1.60 | $(0.26) | $ (0.34) | $(0.60) | $12.56 | 13.96% | $67,562 | 0.49% | 0.91% | 1.72% | 32% | ||||||||||||||
12/31/18 | 12.56 | 0.20 | (1.16) | (0.96) | (0.26) | (0.71) | (0.97) | 10.63 | (7.91) | 54,871 | 0.49 | 0.92 | 1.57 | 40 | ||||||||||||||
12/31/19 | 10.63 | 0.21 | 1.68 | 1.89 | (0.26) | (0.20) | (0.46) | 12.06 | 17.95 | 77,001 | 0.49 | 0.94 | 1.77 | 38 | ||||||||||||||
12/31/20 | 12.06 | 0.16 | 1.41 | 1.57 | (0.19) | (0.20) | (0.39) | 13.24 | 13.09 | 81,624 | 0.49 | 0.91 | 1.26 | 33 | ||||||||||||||
12/31/21 | 13.24 | 0.17 | 0.50 | 0.67 | (0.33) | (0.42) | (0.75) | 13.16 | 5.11 | 77,866 | 0.49 | 0.88 | 1.26 | 20 | ||||||||||||||
06/30/22(3) | 13.16 | 0.04(4) | (2.26) | (2.22) | (0.04) | — | (0.04) | 10.90 | (16.89)(5) | 61,535 | 0.49(6) | 0.94(6) | 0.73(6) | 48(5) | ||||||||||||||
Class C | ||||||||||||||||||||||||||||
12/31/17 | $11.31 | $0.12 | $1.35 | $1.47 | $(0.16) | $ (0.34) | $(0.50) | $12.28 | 13.10% | $33,039 | 1.24% | 1.66% | 0.97% | 32% | ||||||||||||||
12/31/18 | 12.28 | 0.11 | (1.13) | (1.02) | (0.17) | (0.71) | (0.88) | 10.38 | (8.55) | 24,897 | 1.24 | 1.68 | 0.82 | 40 | ||||||||||||||
12/31/19 | 10.38 | 0.25 | 1.51 | 1.76 | (0.14) | (0.20) | (0.34) | 11.80 | 17.01 | 5,250 | 1.24 | 1.90 | 1.02 | 38 | ||||||||||||||
12/31/20 | 11.80 | 0.25 | 1.20 | 1.45 | (0.10) | (0.20) | (0.30) | 12.95 | 12.28 | 3,015 | 1.24 | 2.03 | 0.51 | 33 | ||||||||||||||
12/31/21 | 12.95 | 0.08 | 0.48 | 0.56 | (0.22) | (0.42) | (0.64) | 12.87 | 4.34 | 2,035 | 1.24 | 2.33 | 0.51 | 20 | ||||||||||||||
06/30/22(3) | 12.87 | (—)(4) | (2.22) | (2.22) | (0.18) | — | (0.18) | 10.47 | (17.24)(5) | 1,476 | 1.24(6) | 2.64(6) | (0.02)(6) | 48(5) | ||||||||||||||
Class Y | ||||||||||||||||||||||||||||
12/31/17 | $11.66 | $0.24 | $1.40 | $1.64 | $(0.29) | $ (0.34) | $(0.63) | $12.67 | 14.21% | $12,758 | 0.24% | 0.78% | 1.97% | 32% | ||||||||||||||
12/31/18 | 12.67 | 0.27 | (1.21) | (0.94) | (0.29) | (0.71) | (1.00) | 10.73 | (7.69) | 5,525 | 0.24 | 0.85 | 1.82 | 40 | ||||||||||||||
12/31/19 | 10.73 | 0.31 | 1.64 | 1.95 | (0.29) | (0.20) | (0.49) | 12.19 | 18.35 | 4,060 | 0.24 | 0.97 | 2.02 | 38 | ||||||||||||||
12/31/20 | 12.19 | 0.17 | 1.42 | 1.59 | (0.21) | (0.20) | (0.41) | 13.37 | 13.23 | 4,735 | 0.24 | 0.88 | 1.51 | 33 | ||||||||||||||
12/31/21 | 13.37 | 0.21 | 0.51 | 0.72 | (0.37) | (0.42) | (0.79) | 13.30 | 5.39 | 5,061 | 0.24 | 0.87 | 1.51 | 20 | ||||||||||||||
06/30/22(3) | 13.30 | 0.06(4) | (2.29) | (2.23) | (0.06) | — | (0.06) | 11.01 | (16.83)(5) | 3,642 | 0.24(6) | 0.93(6) | 0.98(6) | 48(5) |
(1) | Total returns shown exclude the effect of applicable sales loads and fees. If these charges were included, the returns would be lower. |
(2) | Ratio does not include expenses of the underlying funds. |
(3) | Unaudited. |
(4) | The net investment income per share was based on average shares outstanding for the period. |
(5) | Not annualized. |
(6) | Annualized. |
Touchstone Sands Capital International Growth Fund | ||||||||||||||||||||||
Period ended | Net asset value at beginning of period | Net investment income (loss) | Net realized and unrealized gains (losses) on investments | Total from investment operations | Net asset value at end of period | Total return | Net assets at end of period (000's) | Ratio of net expenses to average net assets | Ratio of gross expenses to average net assets | Ratio of net investment income (loss) to average net assets | Portfolio turnover rate | |||||||||||
Class Y | ||||||||||||||||||||||
12/31/21(1) | $10.00 | $(0.03) | $0.27 | $0.24 | $10.24 | 2.40%(2) | $1,274 | 0.98%(3) | 2.57%(3) | (0.67)%(3) | 18%(2) | |||||||||||
06/30/22(4) | 10.24 | (0.01) | (4.39) | (4.40) | 5.84 | (42.97)(2) | 1,393 | 0.98(3) | 2.32(3) | (0.16)(3) | 16(2) | |||||||||||
Institutional Class | ||||||||||||||||||||||
12/31/21(1) | $10.00 | $(0.02) | $0.27 | $0.25 | $10.25 | 2.50%(2) | $35,915 | 0.88%(3) | 1.36%(3) | (0.57)%(3) | 18%(2) | |||||||||||
06/30/22(4) | 10.25 | 0.01 | (4.41) | (4.40) | 5.85 | (42.93)(2) | 10,140 | 0.88(3) | 1.62(3) | (0.06)(3) | 16(2) | |||||||||||
Class R6 | ||||||||||||||||||||||
12/31/21(1) | $10.00 | $(0.04) | $0.29 | $0.25 | $10.25 | 2.50%(2) | $25,625 | 0.82%(3) | 1.25%(3) | (0.51)%(3) | 18%(2) | |||||||||||
06/30/22(4) | 10.25 | (— )(5) | (4.40) | (4.40) | 5.85 | (42.93)(2) | 14,628 | 0.82(3) | 1.30(3) | (—)(3)(5) | 16(2) |
(1) | Represents the period from commencement of operations (March 8, 2021) through December 31, 2021. |
(2) | Not annualized. |
(3) | Annualized. |
(4) | Unaudited. |
(5) | Less than $0.005 per share or 0.005%. |
Touchstone Anti-Benchmark® US Core Equity Fund ("Anti-Benchmark® US Core Equity Fund”) |
Touchstone Dynamic Allocation Fund (formerly known as Touchstone Dynamic Global Allocation Fund) ("Dynamic Allocation Fund”) |
Touchstone Sands Capital International Growth Fund ("Sands Capital International Growth Fund”) |
Equity Fund Allocation | Fixed Income Fund Allocation | |
Dynamic Allocation Fund | 45-75% | 25-55% |
Fund | Investment Goal |
Touchstone Active Bond Fund | Seeks to provide as high a level of current income as is consistent with the preservation of capital. Capital appreciation is a secondary goal. |
Touchstone Anti-Benchmark® International Core Equity Fund | Seeks capital appreciation. |
Touchstone Ares Credit Opportunities Fund | Seeks absolute total return, primarily from income and capital appreciation. |
Touchstone Growth Opportunities Fund | Seeks long-term growth of capital. |
Touchstone High Yield Fund | Seeks to achieve a high level of income as its main goal. Capital appreciation is a secondary consideration. |
Touchstone Impact Bond Fund | Seeks high current income. Capital appreciation is secondary goal. |
Touchstone International ESG Equity Fund | Seeks long-term growth of capital. |
Touchstone International Growth Fund | Seeks to achieve long-term capital appreciation. |
Touchstone Mid Cap Fund | Seeks long-term capital growth. |
Touchstone Sands Capital Emerging Markets Growth Fund | Seeks long-term capital appreciation. |
Touchstone Sands Capital Select Growth Fund | Seeks long-term capital appreciation. |
Touchstone Small Cap Value Fund | Seeks long-term capital growth. |
Touchstone Ultra Short Duration Fixed Income Fund | Seeks maximum total return consistent with the preservation of capital. |
Touchstone Value Fund | Seeks to provide investors with long-term capital growth. |
Dreyfus Government Cash Management | Seeks as high a level of current income as is consistent with the preservation of capital and the maintenance of liquidity. |
(1) | market value of investment securities, assets and liabilities at the current rate of exchange on the valuation date; and |
(2) | purchases and sales of investment securities, income, and expenses at the relevant rates of exchange prevailing on the respective dates of such transactions. |
Fund | Security Type | Market Value of Securities Loaned* | Market Value of Collateral Received** | Net Amount*** |
Anti-Benchmark® US Core Equity Fund | Common Stocks | $235,835 | $243,271 | $7,436 |
* | The remaining contractual maturity is overnight for all securities. |
** | Gross amount of recognized liabilities for securities lending included in the Statements of Assets and Liabilities. |
*** | Net amount represents the net amount payable due to (receive from) the borrower in the event of default. |
Anti- Benchmark® US Core Equity Fund | Dynamic Allocation Fund | Sands Capital International Growth Fund | |
Purchases of investment securities | $11,625,848 | $36,444,441 | $5,556,574 |
Proceeds from sales and maturities | $13,407,890 | $40,428,675 | $20,575,313 |
Anti-Benchmark® US Core Equity Fund | 0.35% on the first $1 billion 0.30% on such assets over $1 billion |
Dynamic Allocation Fund | 0.25% on the first $1 billion 0.225% on the next $1 billion 0.20% on the next $1 billion 0.175% on such assets over $3 billion |
Sands Capital International Growth Fund | 0.80% on all assets |
TOBAM S.A.S. | Wilshire Advisors, LLC | Sands Capital Management, LLC |
Anti-Benchmark® US Core Equity Fund | Dynamic Allocation Fund | Sands Capital International Growth Fund |
Class A | Class C | Class Y | Institutional Class | Class R6 | Termination Date | |
Anti-Benchmark® US Core Equity Fund | 0.79% | 1.54% | 0.54% | 0.44% | — | April 29, 2023 |
Dynamic Allocation Fund | 0.49% | 1.24% | 0.24% | — | — | April 29, 2023 |
Sands Capital International Growth Fund | — | — | 0.98% | 0.88% | 0.82% | April 29, 2023 |
Fund | Investment Advisory Fees Waived | Administration Fees Waived | Other Operating Expenses Reimbursed/ Waived | Total |
Anti-Benchmark® US Core Equity Fund | $— | $14,237 | $68,190 | $82,427 |
Dynamic Allocation Fund | 5,785 | 17,667 | 159,257 | 182,709 |
Sands Capital International Growth Fund | 6,131 | 21,927 | 73,822 | 101,880 |
Fund | Expires on or before September 30, 2022 | Expires on or before December 31, 2022 | Expires on or before September 30, 2023 | Expires on or before December 31, 2023 | Expires on or before December 31, 2024 | Expires on or before December 31, 2025 | Total |
Anti-Benchmark® US Core Equity Fund | $36,640 | $— | $102,369 | $49,914 | $139,222 | $69,149 | $397,294 |
Dynamic Allocation Fund | — | 141,481 | — | 189,693 | 145,484 | 87,300 | 563,958 |
Sands Capital International Growth Fund | — | — | — | — | 165,985 | 101,880 | 267,865 |
Fund | Amount |
Anti-Benchmark® US Core Equity Fund | $ 2 |
Dynamic Allocation Fund | 4,161 |
Fund | Class C |
Dynamic Allocation Fund | $ 157 |
Underlying Fund^ | Market Value 12/31/21 | Purchases at cost | Proceeds from sales | Net Realized Gain (Loss) | Net Change in Unrealized Appreciation (Depreciation) | Market Value 6/30/22 | Dividend Income | Shares |
Touchstone Active Bond Fund | $— | $3,607,850 | $(40,703) | $(7) | $(54,909) | $3,512,231 | $17,851 | 367,004 |
Touchstone Anti-Benchmark International Core Equity Fund | 8,755,808 | 81,175 | (1,945,326) | (364,840) | (1,077,166) | 5,449,651 | — | 673,628 |
Underlying Fund^ | Market Value 12/31/21 | Purchases at cost | Proceeds from sales | Net Realized Gain (Loss) | Net Change in Unrealized Appreciation (Depreciation) | Market Value 6/30/22 | Dividend Income | Shares | ||||||
Touchstone Ares Credit Opportunities Fund | $3,475,073 | $223,315 | $(1,982,391) | $(191,297) | $(150,354) | $1,374,346 | $62,360 | 154,248 | ||||||
Touchstone Growth Opportunities Fund | 7,951,664 | 1,894,509 | (607,119) | (106,543) | (2,092,444) | 7,040,067 | — | 212,178 | ||||||
Touchstone High Yield Fund | — | 3,216,658 | (164,225) | (6,056) | (345,520) | 2,700,857 | 46,883 | 379,334 | ||||||
Touchstone Impact Bond Fund | 12,045,281 | 11,920,630 | (4,694,679) | (378,495) | (1,746,815) | 17,145,922 | 202,013 | 1,835,752 | ||||||
Touchstone International ESG Equity Fund | — | 9,118,318 | (813,039) | (84,695) | (1,819,808) | 6,400,776 | — | 953,916 | ||||||
Touchstone International Growth Fund | 4,151,715 | — | (4,034,456) | 120,087 | (237,346) | — | — | — | ||||||
Touchstone Mid Cap Fund | 1,721,397 | 18,457 | (99,400) | 25,734 | (301,825) | 1,364,363 | — | 32,821 | ||||||
Touchstone Sands Capital Emerging Markets Growth Fund | 2,638,101 | 3,357,289 | (387,249) | (107,138) | (1,404,179) | 4,096,824 | — | 310,130 | ||||||
Touchstone Sands Capital Select Growth Fund | 3,843,262 | 2,614,281 | (499,555) | (109,177) | (2,217,128) | 3,631,683 | — | 367,579 | ||||||
Touchstone Small Cap Value Fund | 1,724,384 | 1,266 | (863,152) | 102,641 | (285,037) | 680,102 | 790 | 22,754 | ||||||
Touchstone Ultra Short Duration Fixed Income Fund | 6,072,252 | 293,675 | (4,161,477) | (92,408) | 15,640 | 2,127,682 | 32,007 | 235,885 | ||||||
Touchstone Value Fund | 13,667,473 | 97,018 | (1,881,858) | 138,513 | (1,444,731) | 10,576,415 | 93,204 | 1,065,097 | ||||||
Total: | $66,046,410 | $36,444,441 | $(22,174,629) | $(1,053,681) | $(13,161,622) | $66,100,919 | $455,108 |
^ | All affiliated fund investments are invested in the Institutional Class, unless otherwise indicated. |
Fund | Daily Average Amount Borrowed | Weighted Average Interest Rate | Interest Expense* |
Dynamic Allocation Fund | $ 22,595 | 0.68% | $ 77 |
Sands Capital International Growth Fund | $ 85,541 | 0.68% | $ 290 |
* | Included in Other expenses in the Statements of Operations. |
Anti-Benchmark® US Core Equity Fund | Dynamic Allocation Fund | Sands Capital International Growth Fund | ||||
Year Ended December 31, 2021 | Three Months Ended December 31, 2020 | Year Ended September 30, 2020 | Year Ended December 31, 2021 | Year Ended December 31, 2020 | Period Ended December 31, 2021(A) | |
From ordinary income | $1,349,320 | $290,036 | $905,831 | $2,665,675 | $2,182,735 | $— |
From long-term capital gains | — | — | 373,296 | 2,041,171 | 347,206 | — |
From return of capital | — | — | 28,904 | — | — | — |
Total distributions | $1,349,320 | $290,036 | $1,308,031 | $4,706,846 | $2,529,941 | $— |
(A) | Represents the period from commencement of operations (March 8, 2021) through December 31, 2021. |
Anti-Benchmark® US Core Equity Fund | Dynamic Allocation Fund | Sands Capital International Growth Fund | |
Tax cost of portfolio investments | $25,458,307 | $84,073,683 | $65,615,464 |
Gross unrealized appreciation on investments | 6,570,551 | 7,518,555 | 4,165,893 |
Gross unrealized depreciation on investments | (2,060,845) | (415,512) | (6,542,336) |
Net unrealized appreciation (depreciation) on investments | 4,509,706 | 7,103,043 | (2,376,443) |
Gross unrealized appreciation on foreign currency transactions | — | — | 331 |
Gross unrealized depreciation on foreign currency transactions | — | — | (1,227) |
Net unrealized appreciation (depreciation) on foreign currency transactions | — | — | (896) |
Capital loss carryforwards | (1,067,749) | — | (641,706) |
Late year ordinary losses deferrals | — | — | (50,519) |
Undistributed ordinary income | 1,185,991 | — | — |
Undistributed capital gains | 4,312,476 | 1,667,588 | — |
Other temporary differences | (22,455) | — | — |
Accumulated earnings (deficit) | $8,917,969 | $8,770,631 | $(3,069,564) |
Fund | No Expiration Short Term | No Expiration Long Term | Total |
Anti-Benchmark® US Core Equity Fund | $ — | $ 1,067,749 | $ 1,067,749 |
Sands Capital International Growth Fund | 641,706 | — | 641,706 |
Fund | Utilized |
Anti-Benchmark® US Core Equity Fund | $ 212,652 |
Fund | Federal Tax Cost | Gross Unrealized Appreciation on Investments | Gross Unrealized Depreciation on Investments | Gross Unrealized Appreciation on Other* | Gross Unrealized Depreciation on Other* | Net Unrealized Appreciation (Depreciation) |
Anti-Benchmark® US Core Equity Fund | $22,075,738 | $3,053,216 | $(1,284,845) | $— | $— | $1,768,371 |
Dynamic Allocation Fund | 73,210,492 | 1,530,121 | (8,017,483) | — | — | (6,487,362) |
Sands Capital International Growth Fund | 40,997,724 | — | (14,849,599) | 8 | (310) | (14,849,901) |
* | Other includes Foreign Currency Transactions. |
Net Expense Ratio Annualized June 30, 2022 | Beginning Account Value January 1, 2022 | Ending Account Value June 30, 2022 | Expenses Paid During the Six Months Ended June 30, 2022* | ||
Anti-Benchmark® US Core Equity Fund | |||||
Class A | Actual | 0.79% | $1,000.00 | $856.60 | $3.64 |
Class A | Hypothetical | 0.79% | $1,000.00 | $1,020.88 | $3.96 |
Class C | Actual | 1.54% | $1,000.00 | $853.60 | $7.08 |
Class C | Hypothetical | 1.54% | $1,000.00 | $1,017.16 | $7.70 |
Class Y | Actual | 0.54% | $1,000.00 | $857.50 | $2.49 |
Net Expense Ratio Annualized June 30, 2022 | Beginning Account Value January 1, 2022 | Ending Account Value June 30, 2022 | Expenses Paid During the Six Months Ended June 30, 2022* | ||
Class Y | Hypothetical | 0.54% | $1,000.00 | $1,022.12 | $2.71 |
Institutional Class | Actual | 0.44% | $1,000.00 | $858.90 | $2.03 |
Institutional Class | Hypothetical | 0.44% | $1,000.00 | $1,022.61 | $2.21 |
Dynamic Allocation Fund | |||||
Class A | Actual | 0.49% | $1,000.00 | $831.10 | $2.22 |
Class A | Hypothetical | 0.49% | $1,000.00 | $1,022.36 | $2.46 |
Class C | Actual | 1.24% | $1,000.00 | $827.60 | $5.62 |
Class C | Hypothetical | 1.24% | $1,000.00 | $1,018.65 | $6.21 |
Class Y | Actual | 0.24% | $1,000.00 | $831.70 | $1.09 |
Class Y | Hypothetical | 0.24% | $1,000.00 | $1,023.60 | $1.20 |
Sands Capital International Growth Fund | |||||
Class Y | Actual | 0.98% | $1,000.00 | $570.30 | $3.82 |
Class Y | Hypothetical | 0.98% | $1,000.00 | $1,019.93 | $4.91 |
Institutional Class | Actual | 0.88% | $1,000.00 | $570.70 | $3.43 |
Institutional Class | Hypothetical | 0.88% | $1,000.00 | $1,020.43 | $4.41 |
Class R6 | Actual | 0.82% | $1,000.00 | $570.70 | $3.19 |
Class R6 | Hypothetical | 0.82% | $1,000.00 | $1,020.73 | $4.11 |
* | Expenses are equal to the Fund’s annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect one-half year period). |
303 Broadway
Cincinnati, Ohio 45202-4203
800.638.8194
www.touchstoneinvestments.com
303 Broadway
Cincinnati, Ohio 45202-4203
4400 Computer Drive
Westborough, Massachusetts 01581
(b) | Not applicable. |
Item 2. Code of Ethics.
Not applicable.
Item 3. Audit Committee Financial Expert.
Not applicable.
Item 4. Principal Accountant Fees and Services.
Not applicable.
Item 5. Audit Committee of Listed Registrants.
Not applicable.
Item 6. Investments.
(a) | Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1(a) of this form. |
(b) | Not applicable. |
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
There have been no material changes to the procedures by which the shareholders may recommend nominees to the registrant’s board of trustees, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as required by Item 22(b)(15) of Schedule 14A (17 CFR 240.14a-101)), or this Item.
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 Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)). |
(b) | There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 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 Closed-End Management Investment Companies.
Not applicable.
Item 13. Exhibits.
(a)(1) | Not applicable. |
(a)(2) | Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto. |
(a)(2)(1) | Not applicable. |
(a)(2)(2) | Not applicable. |
(b) | Certifications pursuant to Rule 30a-2(b) under the 1940 Act and Section 906 of the Sarbanes-Oxley Act of 2002 are attached hereto. |
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) | Touchstone Strategic Trust |
By (Signature and Title)* | /s/ E. Blake Moore, Jr | |
E. Blake Moore, Jr., President | ||
(principal executive officer) |
Date: | September 1, 2022 |
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/ E. Blake Moore, Jr | |
E. Blake Moore, Jr., President | ||
(principal executive officer) |
Date: | September 1, 2022 |
By (Signature and Title)* | /s/ Terrie A. Wiedenheft | |
Terrie A. Wiedenheft, Controller and Treasurer | ||
(principal financial officer) |
Date: | September 1, 2022 |
* Print the name and title of each signing officer under his or her signature.